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House Moves to Expand Small ISP Transparency Exemption

March 16, 2016

House Moves to Expand Small ISP Transparency Exemption

Key Development: The House voted 411-0 to approve legislation (HR 4596) to extend and expand a small business exemption from transparency requirements in the FCC's net neutrality rules.

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Before passing the House bill, Republican and Democratic lawmakers said the measure would reduce regulatory burdens on small, often rural ISPs, which would help expand broadband availability.

“Small ISPs do not have the resources the bigger guys do,” Rep. Dave Loebsack (D-Iowa) said. “That's the important thing to remember with this bill.”

Loebsack said his home state has 99 counties, but 134 individual ISPs under the bill's definition of small businesses.

Lawmakers said the five-year extension should give small ISPs time to prepare to comply with the enhanced disclosure requirements while the FCC mulls whether the exemption should be made permanent.

Rep. Marc Veasey (D-Texas) withdrew an amendment that would have required the FCC to answer whether a permanent exemption would increase access to services offered by small ISPs. Veasey said he was satisfied the bill as written would achieve the same end.