Jimm Phillips

House Commerce Committee Chair Cathy McMorris Rodgers, R-Wash., urged FCC Chairwoman Jessica Rosenworcel and FTC Chair Lina Khan Wednesday to stand down from working on controversial matters during the transition from President Joe Biden to former President Donald Trump, who won a second term that morning (see 2411060042). Senate GOP leaders will likely send similar “pencils down” letters, lobbyists told us. Senate Commerce Committee ranking member Ted Cruz of Texas and other GOP leaders are likely to have their positions against controversial FCC and FTC action strengthened given the party won control of the upper chamber Tuesday night, lobbyists said. Cruz appears on course to take the Senate Commerce gavel next year, having prevailed Tuesday as part of the Republicans' victory (see 2411060001).

FCC Commissioner Brendan Carr is in prime position to take over the commission’s chairmanship in January following former President Donald Trump’s election to a second term, giving him leeway to make potentially sweeping changes on a range of high-profile communications policy matters, lawyers and other observers said in interviews Wednesday. Carr’s agenda if he becomes chairman is likely to mirror elements of the FCC chapter he wrote for the Heritage Foundation’s Project 2025 policy agenda (see 2407050015), but he may need to delay non-bipartisan actions until the Senate can confirm a Republican nominee to fill current Chairwoman Jessica Rosenworcel’s seat if she resigns, as is tradition, observers told us.

Senate Commerce Committee ranking member Ted Cruz of Texas appears on course to take the panel's gavel next year, having prevailed Tuesday night in his reelection bid as Republicans won back control of the chamber. All major news organizations called the election for Cruz, who led Democratic Rep. Colin Allred Wednesday 53%-44% with 95% of votes counted.

The Tuesday congressional elections could lead to significant turnover on the Senate Commerce Committee even beyond ranking member Ted Cruz, R-Texas, with four other panel members facing tough or potentially competitive reelection fights. The outcome of Cruz’s reelection bid against Rep. Colin Allred, D-Texas, has the biggest potential to alter the Senate Commerce dynamic because Cruz is poised to become panel chairman if he's reelected and Republicans gain a majority in the upper chamber (see 2411040049). Late polls suggested both of these results are more likely than not. It's less likely there will be substantial turnover on the Senate Judiciary, House Commerce and House Judiciary committees, as only a handful of those panels’ members face competitive contests.

The outcome of Tuesday's Senate elections could scramble Senate Commerce Committee Republicans’ leadership structure given the competitive contest between ranking member Ted Cruz, R-Texas, and Rep. Colin Allred, his Democratic challenger. Four other panel members also face tough or competitive reelection fights (see 2411040051). Democratic leaders on the House and Senate Commerce committees indicated they intend to stay in those roles in the upcoming 119th Congress regardless of the election’s outcome.

Senate Intelligence Committee Chairman Mark Warner, D-Va., said during a Thursday Punchbowl News event he would prefer the chamber pursue a middle-ground between the Spectrum and National Security Act (S-4207) and 2024 Spectrum Pipeline Act (S-3909) as a legislative package for renewing the FCC’s lapsed airwaves auction authority. He also voiced concerns about the Biden administration’s implementation of $65 billion in broadband money from the Infrastructure Investment and Jobs Act, echoing criticisms congressional Republicans raised about how long it has taken for funded projects to come online.

Senate Commerce Committee ranking member Ted Cruz, R-Texas, will likely redirect the panel's airwaves legislative focus toward a version of his 2024 Spectrum Pipeline Act (S-3909) next year should Republicans control the Senate after the Nov. 5 elections and he becomes chairman. Cruz could face continued headwinds from DOD's staunchest Capitol Hill backers if he pursues legislation similar to S-3909, lobbyists and others predicted. Current Senate Commerce Chair Maria Cantwell, D-Wash., hopes she can attach her rival Spectrum and National Security Act (S-4207) to an end-of-year omnibus package (see 2409170066).

FCC Chairwoman Jessica Rosenworcel is pushing back against House GOP criticisms (see 2410070040) of the commission’s September approval of radio broadcaster Audacy’s request for a temporary waiver of foreign-ownership requirements to complete a bankruptcy restructuring that includes George Soros-affiliated entities purchasing its stock. The waiver vote was 3-2, with Republican Commissioners Brendan Carr and Nathan Simington claiming the agency deviated from normal procedure (see 2409300046).

Digital First Project Executive Director Nathan Leamer on Wednesday said whoever chairs the FCC during the next administration should take on a more forceful role in advocating for Congress to renew the commission’s lapsed spectrum auction authority. Leamer, who served as an aide to former FCC Chairman Ajit Pai, said during a Georgetown University Center for Business and Public Policy webcast that whichever party wins the White House Nov. 5 will reexamine broadband affordability issues. He believes the FCC will have to brace for the impact of potential federal court rulings striking down its recent orders reclassifying broadband as a Communications Act Title II service and instituting anti-digital discrimination rules.

Congressional Republicans are eyeing potential legislative changes to rein in what they view as NTIA’s flawed implementation of the $42.5 billion broadband equity, access and deployment program if the party wins control of Capitol Hill in the Nov. 5 elections. GOP lawmakers are stopping short of publicly suggesting Congress claw back BEAD funding, but Democrats are raising concerns about that possibility. Policy experts expect it will be difficult for lawmakers to reach a consensus on major BEAD changes during the next Congress given the Hill’s polarized reactions to the program over the past year.