Statement of Congressman John D. Dingell, Ranking Member
Committee on Energy and Commerce

COMMITTEE ON ENERGY AND COMMERCE
MARKUP ON RECONCILIATION MEASURES
TITLE I, THE DIGITAL TELEVISION
TRANSITION ACT OF 2005

October 26, 2005

Today this Committee will decide who is going to pay for the digital television transition.

Under the Republican plan, every consumer with an analog television will pay – some could pay $20, others could pay $60. But everyone will pay something, and we will certainly hear about it from our constituents.

There are other problems as well.

First, the Republican plan is underfunded. It provides only $830 million, which means only 20 million coupons will be available to cover 73 million sets that need a converter box. Even if boxes cost as low as $60, those lucky few who get a coupon will still have to pay $20 for each box.

Second, the Republican plan is misdirected. Homes most reliant on over-the-air broadcasts may not get coupons while vacation homes will. There is no guarantee that those who need help most will be covered.

Third, the Republican plan is intrusive. Consumers should not have to fill out an application and provide personal information to the Government just to watch television.

Fourth, the Republican plan is first-come, first-served. When the money runs out, you’re out of luck.

The Republican plan is designed to meet a budget goal rather than help Americans most affected by the transition. And it will levy a television tax to the tune of $3.5 billion on the unsuspecting American people. Since the Government is accelerating this transition, it is only fair that the Government bears the costs.

The Democratic substitute offers a chance to do this right. Consumers will not pay out-of-pocket for this Government-mandated transition, and first responders will get much-needed funding for interoperability.

Our substitute measure provides households with a voucher redeemable for up to two free converter boxes. No one needs to apply. Vouchers will be mailed to every household to minimize the inconvenience of the transition on consumers.

There will be no television tax under the Democratic substitute. By forcing this transition, the Government is expected to receive at least $10 billion. The auction will provide more than sufficient funds to cover the $3½ to $4 billion expected cost of our program.

Any remaining auction proceeds under the Democratic substitute will be spent on public safety and other telecommunications priorities.

Public safety can expect to receive $5.8 billion for interoperable communications under the Democratic substitute. It is projected to cost at least $15 billion to achieve interoperable public safety communications. The Republican plan does not commit a dollar. Even a mere $500 million would leave first responders with little more than outdated communications equipment. I urge you to address the needs of your local police, fire, and public safety officials and not place tax cuts above public safety needs.

The substitute also funds an enhanced 911 system, and provides digital television assistance for translators and stations in New York City and along the Mexican border. Any excess above $10 billion will fund broadband deployment in rural and underserved areas.

Finally, our measure sets a more practical hard date of April 7, 2009, significantly enhances consumer education, including for Spanish-speaking Americans, and simplifies warning labels for analog sets.

This is a vote about priorities. I urge my colleagues to vote for a plan that doesn’t leave ordinary Americans and public safety behind.

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(Contact: Jodi Seth, 202-225-3641)