Source: http://supreme.justia.com/cases/federal/us/534/327/case.html
Timestamp: 2013-12-05 05:21:26
Document Index: 657977257

Matched Legal Cases: ['§224', '§ 224', '§ 224', '§224', '§ 224', '§ 224', '§ 224', '§ 224', '§ 224', '§ 224', '§ 224', '§ 224', '§224', '§ 153', '§ 224', '§ 224', '§ 224', '§ 224', '§ 224', '§ 224', '§ 224', '§ 703', '§ 224', '§ 402', '§ 2342', '§ 2112', '§ 224', '§ 224', '§ 224', '§ 224', '§ 224', '§ 224', '§ 224']

National Cable & Telecommunications Assn., Inc. v. Gulf Power Co. - 534 U.S. 327 :: Justia US Supreme Court Center
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National Cable & Telecommunications Assn., Inc. v. Gulf Power Co. - 534 U.S. 327
Case	OCTOBER TERM, 2001SyllabusNATIONAL CABLE & TELECOMMUNICATIONS ASSOCIATION, INC. v. GULF POWER CO. ET AL.CERTIORARI TO THE UNITED STATES COURT OF APPEALS FOR THE ELEVENTH CIRCUITNo. 00-832. Argued October 2, 200l-Decided January 16,2002*The Pole Attachments Act requires the Federal Communications Commission (FCC) to set reasonable rates, terms, and conditions for certain attachments to telephone and electric poles. 47 U. S. C. §224(b). A "pole attachment" includes "any attachment by a cable television system or provider of telecommunications service to a [utility's] pole, duct, conduit, or right-of-way." § 224(a)(4). Certain pole-owning utilities challenged an FCC order that interpreted the Act to cover pole attachments for commingled high-speed Internet and traditional cable television services and attachments by wireless telecommunications providers. Mter the challenges were consolidated, the Eleventh Circuit reversed the FCC on both points, holding that commingled services are not covered by either of the Act's two specific rate formulas-for attachments used "solely to provide cable service," § 224(d)(3), and for attachments that telecommunications carriers use for "telecommunications services," §224(e)(1)-and so not covered by the Act. The Eleventh Circuit also held that the Act does not give the FCC authority to regulate wireless communications.Held:1. The Act covers attachments that provide high-speed Internet access at the same time as cable television. Pp. 333-341.(a) This issue is resolved by the Act's plain text. No one disputes that a cable attached by a cable television company to provide only cable television service is an attachment "by a cable television system." The addition of high-speed Internet service on the cable does not change the character of the entity the attachment is "by." And that is what matters under the statute. This is the best reading of an unambiguous statute. Even if the statute were ambiguous, the FCC's reading must be accepted provided that it is reasonable. P. 333.(b) Respondents cannot prove that the FCC's interpretation is unreasonable. This Court need not consider in the first instance the argument that a facility providing commingled cable television and In-*Together with No. 00-843, Federal Communications Commission et al. v. Gulf Power Co. et al., also on certiorari to the same court.
328328 NATIONAL CABLE & TELECOMMUNICATIONS ASSN., INC. v. GULF POWER CO.
Syllabusternet service is a "cable television system" only "to the extent that" it provides cable television, because neither the Eleventh Circuit nor the FCC has had the opportunity to pass upon it. This does not leave the cases in doubt, however. Because "by" limits pole attachments by who is doing the attaching, not by what is attached, an attachment by a "cable television system" is an attachment "by" that system whether or not it does other things as well. The Eleventh Circuit's theory that §§ 224(d)(3)'s and (e)(1)'s just and reasonable rates formulas narrow § 224(b)(1)'s general rate-setting mandate has no foundation in the plain language of §§ 224(a)(4) and (b). Neither subsection (d)'s and (e)'s text nor the Act's structure suggests that these are exclusive rates, for the sum of the transactions addressed by the stated rate formulas is less than the theoretical coverage of the Act as a whole. Likewise, 1996 amendments to the Act do not suggest an intent to decrease the FCC's jurisdiction. Because §§ 224(d) and (e) work no limitation on §§ 224(a)(4) and (b), this Court need not decide the scope of the former. The FCC had to go one step further, because once it decided that it had jurisdiction over commingled services, it then had to set a just and reasonable rate. In doing so it found that Internet services are not telecommunications services, but that it need not decide whether they are cable services. Respondents are frustrated by the FCC's refusal to categorize Internet services and its contingent decision that commingled services warrant the § 224(d) rate even if they are not cable service. However, the FCC cannot be faulted for dodging hard questions when easier ones are dispositive, and a challenge to the rate chosen by the FCC is not before this Court. Even if the FCC decides, in the end, that Internet service is not "cable service," the result obtained by its interpretation of §§ 224(a)(4) and (b) is sensible. The subject matter here is technical, complex, and dynamic; and, as a general rule, agencies have authority to fill gaps where statutes are silent. Chevron U. S. A. Inc. v. Natural Resources Defense Council, Inc., 467 U. S. 837, 843-844. pp. 333-341.2. Wireless telecommunications providers' equipment is susceptible of FCC regulation under the Act. The parties agree that the Act covers wireline attachments by wireless carriers, but dispute whether it covers attachments composed of distinctively wireless equipment. The Act's text is dispositive. It requires FCC regulation of a pole attachment, § 224(b), which is defined as "any attachment by a ... provider of telecommunications service," §224(a)(4). "Telecommunications service," in turn, is defined as the offering of telecommunications to the public for a fee, "regardless of the facilities used." § 153(46). A provider of wireless telecommunications service is a "provider of telecommunications service," so its attachment is a "pole attachment." Respondents' attempt to seek refuge in §§ 224(a)(1) and (d)(2) is unavailing, for those
329sections do not limit which pole attachments are covered and thus do not limit § 224(a)(4) or § 224(b). Even if they did, respondents would have to contend with the fact that § 224(d)(2)'s rate formula is based upon the poles' space usable for attachment of "wires, cable, and associated equipment." If, as respondents concede, the Act covers wireline attachments by wireless providers, then it must also cover their attachments of associated equipment. The FCC was not unreasonable in declining to draw a distinction between wire-based and wireless associated equipment, which finds no support in the Act's text and appears quite difficult to draw. And if the text were ambiguous, this Court would defer to the FCC's judgment on this technical question. Pp. 341-342.3. Because the attachments at issue fall within the Act's heartland, there is no need either to enunciate or to disclaim a specific limiting principle based on the possibility that a literal interpretation of "any attachment" would lead to the absurd result that the Act would cover attachments such as, e. g., clotheslines. Attachments of other sorts may be examined by the agency in the first instance. P. 342.208 F.3d 1263, reversed and remanded.KENNEDY, J., delivered the opinion of the Court, in which REHNQUIST, C. J., and STEVENS, SCALIA, GINSBURG, and BREYER, JJ., joined, and in which SOUTER and THOMAS, JJ., joined as to Parts I and III. THOMAS, J., filed an opinion concurring in part and dissenting in part, in which SOUTER, J., joined, post, p. 347. O'CONNOR, J., took no part in the consideration or decision of the cases.James A. Feldman argued the cause for petitioners in No. 00-843. With him on the brief were Solicitor General Olson, Acting Solicitor General Underwood, Acting Assistant Attorney General Nannes, Deputy Solicitor General Wallace, Robert B. Nicholson, Robert J. Wiggers, and Jane E. Mago. Peter D. Keisler argued the cause for petitioner in No. 00-832. With him on the briefs were Paul J. Zidlicky, Daniel L. Brenner, Neal M. Goldberg, David L. Nicoll, Paul Glist, John D. Seiver, and Geoffrey C. Cook. Anthony C. Epstein and William Single IV filed a brief for Worldcom, Inc., respondent under this Court's Rule 12.6, in support of petitioners in both cases.Thomas P. Steindler argued the cause for respondents in both cases. With him on the brief for respondents American
330330 NATIONAL CABLE & TELECOMMUNICATIONS ASSN., INC. v. GULF POWER CO.Electric Power Service Corp. et al. were Shirley S. Fujimoto, Christine M. Gill, J. Russell Campbell, Andrew W Tunnell, and Ralph A. Peterson. Robert P. Williams II and Charles A. Zdebski filed a brief for respondents Atlantic City Electric Co. et al. in both cases. Jonathan L. Wiener and Neil Anderson filed a brief for respondent TXU Electric Co. in both cases. Jean G. Howard filed a brief for Florida Power & Light Co., respondent in No. 00-843.tJUSTICE KENNEDY delivered the opinion of the Court.
ISince the inception of cable television, cable companies have sought the means to run a wire into the home of each subscriber. They have found it convenient, and often essential, to lease space for their cables on telephone and electric utility poles. Utilities, in turn, have found it convenient to charge monopoly rents.Congress first addressed these transactions in 1978, by enacting the Pole Attachments Act, 92 Stat. 35, as amended, 47 U. S. C. § 224 (1994 ed.), which requires the Federal Communications Commission (FCC) to "regulate the rates,tBriefs of amici curiae urging reversal were filed for the Association for Local Telecommunications Services et al. by Philip L. Verveer, Theodore Case Whitehouse, Joseph M. Sandri, Jr., Howard J. Symons, and Douglas I. Brandon; and for the United States Telecom Association et al. by William P. Barr, Michael E. Glover, Edward Shakin, RichardBriefs of amici curiae urging affirmance were filed for Real Access Alliance by William Malone, Matthew C. Ames, and Clarine Nardi Riddle; for the Site Owners and Managers Alliance of the Personal Communications Industry Association by Dennis P. Corbett and H. Anthony Lehv; and for the United Telecom Council et al. by Jill Mace Lyon and Edward Comer.Briefs of amici curiae were filed for the Consumers Union et al. by Cheryl A. Leanza, Andrew Jay Schwartzman, and Harold J. Feld; and for Earthlink, Inc., by John W Butler, Earl W Comstock, and David Baker.
331terms, and conditions for pole attachments to provide that such rates, terms, and conditions are just and reasonable." § 224(b). (The Act is set forth in full in the Appendix, infra.) The cases now before us present two questions regarding the scope of the Act. First, does the Act reach attachments that provide both cable television and high-speed (broadband) Internet service? Second, does it reach attachments by wireless telecommunications providers? Both questions require us to interpret what constitutes a "pole attachment" under the Act.In the original Act a "pole attachment" was defined as "any attachment by a cable television system to a pole, duct, conduit, or right-of-way owned or controlled by a utility," § 224(a)(4). The Telecommunications Act of 1996, § 703, 110 Stat. 150, expanded the definition to include, as an additional regulated category, "any attachment by a ... provider of telecommunications service." § 224(a)(4) (1994 ed., Supp. V).Cable companies had begun providing high-speed Internet service, as well as traditional cable television, over their wires even before 1996. The FCC had interpreted the Act to cover pole attachments for these commingled services, and its interpretation had been approved by the Court of Appeals for the District of Columbia Circuit. Texas Util. Elec. Co. v. FCC, 997 F.2d 925, 927, 929 (1993). Finding nothing in the 1996 amendments to change its view on this question, the FCC continued to assert jurisdiction over pole attachments for these particular commingled services. In re Implementation of Section 703(e) of the Telecommunications Act of 1996: Amendment of the Commission's Rules and Policies Governing Pole Attachments, 13 FCC Rcd. 6777 (1998). In the same order the FCC concluded further that the amended Act covers attachments by wireless telecommunications providers. "[T]he use of the word 'any'
332332 NATIONAL CABLE & TELECOMMUNICATIONS ASSN., INC. v. GULF POWER CO.precludes a position that Congress intended to distinguish between wire and wireless attachments." Id., at 6798.Certain pole-owning utilities challenged the FCC's order in various Courts of Appeals. See 47 U. S. C. § 402(a) (1994 ed.); 28 U. S. C. § 2342 (1994 ed.). The challenges were consolidated in the Court of Appeals for the Eleventh Circuit, see § 2112(a), which reversed the FCC on both points. 208 F.3d 1263 (2000). On the question of commingled services, the court held that the two specific rate formulas in 47 U. S. C. §§ 224(d)(3) and (e)(l) (1994 ed., Supp. V) narrow the general definition of pole attachments. The first formula applies to "any pole attachment used by a cable television system solely to provide cable service," § 224(d)(3), and the second applies to "pole attachments used by telecommunications carriers to provide telecommunications services," § 224(e)(1). The majority concluded that attachments for commingled services are neither, and that "no other rates are authorized." 208 F. 3d, at 1276, n. 29. Because it found that neither rate formula covers commingled services, it ruled those attachments must be excluded from the Act's coverage.On the wireless question, the majority relied on the statutory definition of "utility": "any person ... who owns or controls poles, ducts, conduits, or rights-of-way used, in whole or in part, for any wire communications." § 224(a)(1). The majority concluded that the definition of "utility" informed the definition of "pole attachment," restricting it to attachments used, at least in part, for wire communications. Attachments for wireless communications, it held, are excluded by negative implication. Id., at 1274.Judge Carnes dissented on these two issues. In his view, §§ 224(a)(4) and (b) "unambiguously giv[e] the FCC regulatory authority over wireless telecommunications service and Internet service." Id., at 1281 (opinion concurring in part and dissenting in part). We granted certiorari. 531 U. S. 1125 (2001).
IIWe turn first to the question whether the Act applies to attachments that provide high-speed Internet access at the same time as cable television, the commingled services at issue here. As we have noted, the Act requires the FCC to "regulate the rates, terms, and conditions for pole attachments," § 224(b) (1994 ed.), and defines these to include "any attachment by a cable television system," § 224(a)(4) (1994 ed., Supp. V). These provisions resolve the question.No one disputes that a cable attached by a cable television company, which provides only cable television service, is an attachment "by a cable television system." If one day its cable provides high-speed Internet access, in addition to cable television service, the cable does not cease, at that instant, to be an attachment "by a cable television system." The addition of a service does not change the character of the attaching entity-the entity the attachment is "by." And this is what matters under the statute.This is our own, best reading of the statute, which we find unambiguous. If the statute were thought ambiguous, however, the FCC's reading must be accepted nonetheless, provided it is a reasonable interpretation. See Chevron U. S. A. Inc. v. Natural Resources Defense Council, Inc., 467 U. S. 837, 842-844 (1984). Respondents' burden, then, is not merely to refute the proposition that "any attachment" means "any attachment"; they must prove also the FCC's interpretation is unreasonable. This they cannot do.Some respondents now advance an interpretation of the statute not presented to the Court of Appeals, or, so far as our review discloses, to the FCC. They contend it is wrong to concentrate on whose attachment is at issue; the question, they say, is what does the attachment do? Under this approach, an attachment is only an attachment by a cable television system to the exten