The draft legislation attempts to further two important policy goals and address several consumer concerns that have arisen since Congress last reauthorized this statute in 1999. First, the draft seeks to strengthen the ability of satellite companies to compete with cable providers in the video marketplace by providing the satellite companies with increased regulatory parity. Second, it attempts to foster localism by continuing to ensure that consumers receive all local broadcast signals when such signals are made available.

There is a dearth of competition in the multichannel video marketplace, and consumers are paying the price in the form of higher cable rates. As satellite companies work hard to roll out a competitive service which includes local broadcast signals in a growing number of markets, these companies must be permitted to provide consumers with the same programming as does cable. Accordingly, the staff draft affords the satellite competitors the same ability as cable to provide consumers with broadcast network signals that are significantly viewed in markets served by the satellite company.

Local broadcasters -- whether they be major network affiliates, public broadcasters, independent, foreign language, or religious -- play a critical role in providing programming geared to their local communities. This concept of localism benefits communities by ensuring that they receive their news, weather, sports and other content that matters most to them -- programming that is important to a person in Denver may not necessarily be the same programming that is important to a person living in Detroit.

In order to foster the goal of localism, when Congress last reauthorized this statute, it required a satellite competitor to offer all local broadcast signals in each market where it offers local-into-local, and to offer such signals in a nondiscriminatory manner. In my view, this provision -- dubbed "carry one, carry all" -- was the cornerstone of the 1999 reauthorization. Since that time, however, Congress and the Federal Communications Commission (FCC) have heard from consumers and broadcasters alike that one of the satellite competitors has engaged in a pattern and practice of not providing its consumers with all local broadcast signals in a given market and, on occasion, has affirmatively told consumers that such signals are unavailable or available only at additional cost. The Congress cannot condone such behavior.

Accordingly, the staff draft requires that all local broadcast stations be received by consumers through a single satellite dish. I would note, however, that the draft provides substantial flexibility with regard to the deadline for compliance with this requirement in order to minimize the disruptions to current subscribers of the service. Additionally, the draft does not specify that a satellite provider is required to offer all programming on only one dish. Such companies may use any number of dishes, so long as all the local broadcast stations are received on the same dish.

The draft will also promote localism by prohibiting the provision of distant network signals in a market once a satellite provider begins offering local-into-local service in that market. Importantly, the provision allows consumers who are currently receiving distant signals to continue to receive such signals unless they choose to begin receiving the local-into-local service.

As you are aware, the draft we are discussing today is simply that, a draft, and I am interested in the testimony of our witnesses today. Localism and the health of the local broadcast industry will be of paramount importance to me as we continue to shape a bill. We will also work to strengthen the ability of satellite companies to compete fairly and aggressively in the video marketplace.