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FCC’s Pai, O’Rielly Look To Future In Talks At Free State Foundation Event
December 8, 2016 at 5:53 AM (PT)
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FCC Commissioners AJIT PAI and MIKE O'RIELLY gave talks to the FREE STATE FOUNDATION at its 10th anniversary celebration WEDNESDAY (12/7), addressing several issues that the Commission will face under the new administration.
PAI, noting his support of FREE STATE's free-market, limited-government mission, said that despite the Commission's recent regulatory moves, he is "optimistic that last month’s election will prove to be an inflection point -- and that during the TRUMP Administration, we will shift from playing defense at the FCC to going on offense." He endorsed the comments by FREE STATE's MIKE HORNEY offering a cost-effectiveness analysis of regulation with a three-question threshold of whether the regulation addresses a market failure or systemic problem; if it does, how it corrects that problem; and then, do the benefits of regulation exceed the costs.
PAI said that the Commission's Internet Title II order "failed to respect these principles. There was no evidence of systemic failure in the Internet marketplace.....public-utility regulation was a solution that wouldn’t work for a problem that didn’t exist. And the Title II Order itself failed to include even a basic cost-benefit analysis."
PAI added that he is "hopeful that beginning next year, our general regulatory approach will be a more sober one that is guided by evidence, sound economic analysis, and a good dose of humility. I’m also optimistic that the FCC will once again respect the limits that Congress has placed on our authority. We can’t simply enact whatever we think is good public policy. We also have to make sure that we have the power to do so. But the Commission hasn’t done a very good job of that recently.... Going forward, I hope that the Commission will do a much better job of respecting the rule of law." And he called for the removal of "outdated and unnecessary regulations."
O'RIELLY also praised the Foundation's "invaluable contributions to nearly every major policy debate in the communications world" and added that he looks "forward to working with everyone here to live up to their expectations, by helping to chart a new course and tenor in communications policy. Examining closely the track record of this Commission
and the current state of play, I can’t help but feel that this opportunity has arrived not a moment too soon. The last few years have been marked by a comprehensive effort to exert full control over every detail of anything even arguably within the agency’s grasp, while also expanding our reach into every nook and cranny of the vast Internet economy. Many at the Commission seem to believe that innovation in the marketplace is driven by disruptive regulation, not disruptive technology. Unfortunately, this urge to micromanage has become pervasive across a number of matters.""In all honesty," O'RIELLY said, "I’m excited and honored to play a part in the new Commission," pointing to "four general themes" to be considered by the new administration's FCC, "undoing harmful policies, clearing regulatory underbrush, developing and executing a strong pro-growth, pro-innovation agenda, and overhauling the Commission’s arcane processes and its organization." He warned that "As we speak, the Commission is working on a number of last-minute projects in an attempt to move the goalposts a little more to the left, despite the clear instructions of Congress that we should immediately stop work on any controversial items," including the zero-rating probe of ISPs.