A new DTV transition bill has been introduced in the U.S. House of Representatives.  Former House Commerce Committee Chairman Joe Barton (R-TX) and Representatives Fred Upton (R-MI) and Dennis Hastert (R-IL) have introduced the Digital Television Consumer Education Act of 2007 last week dealing with a number of educational efforts related to the Feb. 18, 2009, “hard date” for turning off analog television. 

Aldo Cugnini
Analyst

Among the key provisions of the bill are the following:

• Requiring labeling and signs - Set manufacturers would be required to place labels on analog TVs. Retailers would be required to display signs near analog televisions.
• Energy standards - The NTIA would be required to establish energy standards for digital-to-analog converter boxes (DTAs).
• Requiring billing notices - Cable and satellite operators would be required to include information in their bills notifying subscribers about the DTV transition and the digital-to-analog converter-box program.
• Consumer education - The FCC would be required to create a public outreach program to help educate consumers, including the creation of a DTV consumer education working group that includes representatives from the FCC, the National Telecommunications and Information Administration (NTIA), broadcasters, cable and satellite operators, consumer electronics manufacturers and retailers, and consumer groups.

“Regrettably, those provisions were stripped out and left behind because of Senate procedural rules,” Barton said, referring to the DTV transition bill that passed in late 2005. “Senate rules are fine things, but they’re not likely to be standing around, explaining how digital television works.  So the bill we introduce today reasserts the necessary public education provisions that were left out last year.”

The labeling provision is a harder rule than the “voluntary” approach now in place - a mandatory label would be required 45 days after the law is passed; it would only apply to analog TVs, i.e., not VCRs, etc.  The existing analog tuner cutoff date of March 1, 2007 will certainly precede the passage of the bill - but expect some analog-only sets to remain legally in inventory - and on store shelves - past the cutoff date.

Since the NTIA is already considering an energy-consumption requirement for DTAs, this bill would put statutory muscle behind the issue.  It’s probably no coincidence that the bill was introduced just days before the NTIA is expected to release its own requirements for subsidized DTAs.  The bill does not state what the exact power requirement should be, but it is likely that, if the bill is enacted, the NTIA ruling will become the law.

So far, the bill has only been referred to the House Committee on Energy and Commerce.  This means there are several months of political process ahead.  During that time, the bill could proceed to law, or it could also be killed.   Because the bill is not controversial, and enacting it would not incur a government cost, chances are it will pass.  The only question is whether any parts of it would be re-written or amended. 

Not surprisingly, the National Association of Broadcasters immediately endorsed the bill.  The billing notice requirement, which provides a bit of free promotion to the broadcast networks and makers of DTA boxes, is sure to raise the ire of cable and satellite service providers.

In a letter sent to the NTIA in November, Democratic members of the Commerce Committee urged the Administration to address certain “flawed” aspects of the “Republican [DTV] transition plan,” such as its “woefully inadequate funding” for consumer education.  Unfortunately, the partisan lines seem to be drawn: while the Committee letter criticizes the “Republican budget bill,” the new bill still does not authorize any additional funds for the transition plan.  Without that, it befalls the FCC, with limited budgets, to do what they can - which would be far short of the tens of millions needed for a truly effective information campaign, say sources.  Of course, there may still be some surprises ahead as the bill works its way through committee and then onward.  Short of that, the onus will continue to be where it has been - with broadcasters and CE manufacturers - and that means we’ll continue to hurry up and wait.