The FCC Wireline Bureau approved a temporary waiver the California Public Utilities Commission sought for Lifeline recertification and non-usage rules for subscribers in Butte County, California, affected by the Camp Fire. The CPUC last week asked the FCC to waive the rules from Nov. 1 to May 1, for 12,686 subscribers affected by the massive wildfire (see 1812200016). “Based on the record before us, we find that good cause exists to temporarily waive these rules and deadlines,” said a Wednesday order in docket 11-42.

Commissioners voted for the FCC to no longer be accounting authority of last resort for those customers in maritime mobile and maritime mobile-satellite radio services who haven't otherwise designated one. “The public interest would be better served by relying upon private accounting authorities,” said Friday's 4-0 order. “Such private authorities are certified under Part 3 of the Commission’s rules and operate under the Commission’s regulatory oversight.” The order instructs FCC staff to work with the Coast Guard and other federal agencies to announce this transition within 120 days. “We are providing a substantial transition period of up to one year following announcement” to complete the transition, the FCC said.

Two FCC Office of Managing Director drafts circulated last week, said the agency's updated list Friday. A Part 0 item would implement a statutory change on the authority of the commission's chief information officer, and a Part 1 item concerns a lockbox used to collect certain fees for the Enforcement Bureau, said a spokesperson. A Media Bureau item is an order on New Life Community Temple of Faith.

Sprint will pay $330 million to settle a New York state lawsuit alleging the carrier knowingly failed to collect and remit more than $100 million in state and local sales taxes owed on flat-rate wireless calling plans, Attorney General Barbara Underwood (D) said Friday. The AG said it’s the largest-ever recovery by a single state in an action brought under a state false claims act, and it followed another record-breaking New York settlement with Charter Communications about internet speed claims (see 1812180027). The AG said it has already distributed “a substantial portion” of the $330 million to localities directly harmed by Sprint’s conduct. Per terms of the New York False Claims Act, the whistleblower who brought the case in 2011 will receive $62.7 million, the AG said. Sprint collected state and local taxes for only the portion of the flat-rate charge it deemed intrastate, even though tax law and guidance doesn’t differentiate among intrastate, interstate and international calls, the AG said. Sprint violated tax law from 2005 to 2014, including after New York started investigating and after the state sued, the AG said. “Sprint knew exactly how New York sales tax law applied to its plans -- yet for years the company flagrantly broke the law, cheating the state and its localities out of tax dollars that should have been invested in our communities,” said Underwood. Acting Commissioner of Taxation and Finance Nonie Manion said that “Sprint violated the trust of its customers and deprived communities across New York State of revenue needed.” The company didn’t comment.

Five states remain to clear T-Mobile buying Sprint after the New Jersey Board of Public Utilities joined 13 other states needed, Sprint said in a Thursday letter to the Pennsylvania Public Utility Commission, which is reviewing the deal. The carriers await state OKs in California, Hawaii, Mississippi and New York, Sprint said. The New Jersey BPU cleared the deal Tuesday without conditions, saying it's "not expected to adversely impact competition," rates, jobs or service. The board lacks jurisdiction over wireless infrastructure, it added. Earlier last week, the Committee on Foreign Investment in the U.S. and Team Telecom, comprising DOJ, the Department of Homeland Security and DOD, withdrew its request the FCC defer action (see 1812180044). The New York Public Service Commission should give more time to file a second round of comments on T-Mobile/Sprint, the Communications Workers of America and Public Utility Law Project said Friday. The commission Thursday gave until Jan. 3 (see 1812200049), but CWA and PULP said they should be due around Jan. 17. Under current deadlines, they would “functionally have five working days” when considering holidays, travel and other commitments, they said. “This time frame will make it impossible to comply with the Protective Order, receive the Confidential material, analyze such material and other parts of the Petitioner’s comments, receive benefit of expert analysis and otherwise fully and fairly participate.”

The FCC is working to make sure the U.S. will lead the world on 5G, FCC Chairman Ajit Pai told the Israel Business Conference Thursday. “They call Israel the ‘Start-up Nation,’” said his written remarks. “You have more startups here per capita than any other country in the world. And during my trip, I have seen your innovative spirit for myself. I’ve visited companies like Siklu, Sckipio, and Gilat Satellite” (see 1812190058). The U.S. still leads the world on venture investment. “Venture capital investment in the U.S. was 160 percent higher in 2017 than 2010, and we saw more venture investment during the first half of 2018 than we did during most full years of the previous decade,” he said. Pai tweeted about meetings with Intel’s Mobileye and Israel-based OrCam (see here and here). He said the FCC, holding an event on artificial intelligence, isn't trying to regulate AI. Monday, the FCC and Israeli Ministry of Communications convened the first meeting of a new joint working group to exchange information between the two countries. “The relationship between our two agencies has never been stronger, and I look forward to continuing our cooperation,” Pai said.

U.S. government is "always mindful of the uncertainty" about Privacy Shield and is doing its best to ensure the trans-Atlantic personal data transfer framework continues to work for American companies, James Sullivan, deputy assistant secretary of the Department of Commerce International Trade Administration, told reporters Thursday. There are legal and political challenges plus questions about when the Trump administration will appoint the permanent ombudsman required by PS, he said. European Justice, Consumers and Gender Equality Commissioner Vera Jourova said Wednesday she's losing patience over the time it's taking to do so, and that if the position isn't filled by the end of February, the EC will consider cracking down (see 1812190002). Europe calls the role a "permanent ombudsman," but Sullivan stressed that the acting official, Manisha Singh, has all powers needed. Any ombudsman will always be "independent, experienced and empowered" according to the terms of PS, said Sullivan. The nomination process is underway, and so far, no requests for assistance from the office have been received, he said: The State Department has made public the ombudsman's procedures about how the system works. His office is sensitive to EU concerns about the situation, but an ombudsman mechanism has been fully resourced for two years and is functioning, added Sullivan. He cited the European Commission's "very positive second annual review" of the system, saying the EC made clear PS is a success and EU-U.S. collaboration over the past year enhanced it. Since the system's August 2016 launch, over 4,200 companies have committed to it, most small to mid-sized enterprises, he said.

U.S. authorities "are living up to their commitments" and Privacy Shield works, but the European Commission may be forced to act if no permanent ombudsman is appointed by Feb. 28, European Justice, Consumers and Gender Equality Commissioner Vera Jourova told reporters Wednesday. Such actions could include limiting access by U.S. government bodies to Europeans' personal information or even suspending PS, she said. Despite the warning, the EC's second review of the trans-Atlantic personal data transfer system showed the U.S. has implemented most recommendations from last year's report, she said. Asked why it has taken so long to put an ombudsman in place, Jourova said that in March 2017, the U.S. administration asked her to be patient because so many posts needed Senate confirmation. Now, she said, "my patience is coming to an end." The report noted that as of now, "the Ombudsman mechanism had not yet received any requests," but a complaint to the acting ombudsman "had been submitted to the Croatian data protection authority and the relevant checks were ongoing." If the EC is "forced to take steps" over the appointment, it could amend PS in ways that could make compliance by U.S. companies more cumbersome or suspend the system altogether, Jourova said. The review found the Department of Commerce boosted its certification process and introduced new oversight procedures, including requiring first-time applicants to refrain from advertising their membership until their certification is complete. DOC also is "actively" using tools to catch companies that falsely claim membership and has referred more than 50 cases to the FTC, which took enforcement actions when needed, the EC said. The FTC has started issuing administrative subpoenas to seek information from some shield participants, it said. The review noted growing discussion in DOC and FTC on a federal approach to data privacy, and cheered the naming of a full quorum of Privacy and Civil Liberties Oversight Board members. The FTC "welcomes the European Commission’s conclusion that Privacy Shield continues to provide an adequate level of protection," a spokesperson emailed. The DOC and its NTIA and International Trade Administration had no comment. The Computer & Communications Industry Association commended the "thorough review."

Cellular and data service reaches more than half of Metrorail tunnels in the District of Columbia area, said the Washington Metropolitan Area Transit Authority Wednesday. Cellular service from AT&T, Sprint, T-Mobile and Verizon Wireless is available in all Metro stations and more than 50 of 100 track miles covering parts of all six lines, said WMATA, announcing three new “wireless ready” tunnel segments: 5.6 track miles between Ballston and Rosslyn, 4.8 miles between Rosslyn and Metro Center, and 7.4 miles between College Park and Fort Totten. WMATA expects total coverage by mid-2020. It’s an “important milestone,” but “there is much work left to do to eliminate rider and employee risk for those using the other 50 percent not connected,” FCC Commissioner Mike O’Rielly said in a statement. “We have to do this quicker and the new year must bring new ways to do just that.” O’Rielly last summer lightly praised a WMATA update (see 1808020005) after earlier slamming the organization as incompetent (see 1802220026).

Intelsat and SES “anticipate” they will have to procure eight new satellites to implement the C-Band Alliance’s plan for the band, and, if it's accepted, they are ready to do so, emailed Preston Padden, CBA head-advocacy and government relations, to FCC commissioners and top staff, posted Wednesday in docket 18-122. “This assessment is based on future demand currently expressed by CBA member’s customers,” Padden explained. “These new satellites will enable Intelsat and SES to operate approximately the same amount of capacity to carry video and other services that they have today in 500 MHz, but using only 300 MHz of spectrum.” The satellites are key to clearing the C-band, he said: “No other plan before the Commission contemplates the procurement of 8 new satellites." All current C-band users would continue to be served in C-band and their expenses for filters and "other reasonable transition expenses" would be paid by CBA. Padden stressed the new satellites will be launched only under his group's plan. He said other plans "ignore the necessity of creating incremental capacity to maintain current user services." Every "plan for clearing C‐band spectrum, other than the CBA plan, necessarily would reduce the capacity for today’s C‐band users," he added.