*3 CARNES, Before TJOFLAT Corp., GTE Serv. Raposa, Francis John GARWOOD*,Senior Judges, Circuit TX, GTE Service Irvin, Intervenor Judge. Circuit Corp.
* Garwood, designation. U.S. Cir- Senior Will L. Honorable Circuit, sitting Judge the Fifth cuit
TJOFLAT,
ed,
Judge:
Circuit
operate
the formula will
to take their
property
just compensation,
without
in vio-
Act,
The 1996 Pole Attachment
lation of the Fifth Amendment. We de-
(the
(Supp.II.1996)
§ 224
U.S.C.
“1996
claim,
cline
takings
to reach this
because it
Act”),
providers of
gives
cable and tele-
ripe.
is not
challenge
The Petitioners
communications
also
right
services the
to at-
poles
tach wires to the
the FCC’s other
power
rulings.
As to those rul-
telephone companies.
If
power
ings,
unripe
we find
challenge
their
telephone companies
accept
will not
overlashing provision
rent
providers
pay,
offer to
the Fed- Order; we hold that the FCC lacks author-
(the
eral Communications Commission
ity
placement
of wireless
“Commission”)
“FCC” or
sets the rent.
equipment
utility poles
and attachments
*4
In
Implementation
In re
Section
service;
for Internet
and that its decision
703(e)
the Telecommunications Act
regarding
dark fiber
constitutes
reason-
13 F.C.C.R.
In
petitions
these consolidated
for re-
agreements:
tachment
Order,
monopoly
view of
their
in
Report
several
(the “Petitioners”)
power
companies3
supply
poles
chal-
could accommo-
lenge the FCC’s formula
determining
them,
date television cables has allowed
in
that,
rent on the ground
implement-
when
past,
to charge monopoly rents.
Overlashing
physi-
occurs when an
Light
attacher
Company,
va Power &
Public Service
cally ties additional cables
already
to cables
Company,
Electric & Gas
Lighting
Houston
&
Order,
pole.
attached to a
Company,
Power
Texas Utilities Electric
(1998).
F.C.C.R.
Company,
INS v.
Act,
C.F.R.
1.1409.
1996
Under the
446,
1207, 1221,
107 S.Ct.
The Petitioners’
ed
pole.
costs of the
See 47 U.S.C.
to the
Report and Order is that
(d)(1).
224(b),
A
higher
rent that is
rate
formula
establishes cannot pass
lower than these statutory limits would be
muster under the Fifth Amendment Tak
unjust and unreasonable. Because the
ings
The
challenge
Clause.
Petitioners’
outer boundaries of the FCC’s formula are
presents
separate questions:
Act,
two
will the
identical to those of
Gulf
formula,
implemented,
Commission’s
when
ripeness
Power /’s
standard binds us.
part
utility
Thus,
effect
taking
poles,
inquire
we
whether
Petitioners
so,
if will
operate
deny
the formula
have shown that the Commission’s formula
just compensation
utilities
in every
always deny
just
case. will
compensa-
utilities
tion.
The
I panel
Power
decided that the
Gulf
case,
1996 Act
taking
authorized a
In
utilities
upon
are not called
property,
concluded that the
but
issue of
review an FCC
determination that a
whether
operate
the statute would
to deny
pole space at a
rent
does not
just
compensation
every
just
case was
amount
compensation
mandated
ripe
I,
Takings
review. See
Power
Clause. All that is before
Gulf
1338;
F.3d at
see also Abbott Lab. v. Gard
us is a facial attack on the Commission’s
ner,
136, 148-49,
U.S.
S.Ct.
formula
allegation
Petitioners’
(1967).
panel’s
even access and rents for antenna sites.
In
when Congress amended the
Id. Before
Act,
the FCC’s
regulatory
it once again expanded the
authority did not
power
extend to
compa-
jurisdiction;
FCC’s
this time to include
nies
power
because
companies did not use
attachments
telecommunications service
their poles primarily for
communication
providers. Nothing in the legislative his-
153(51)
thus,
such
transmission.”
47 U.S.C.
may
end our review with that lan-
added).
(emphasis
guage.
understanding
An
of the communica-
industry
Congress'
tions
attempts
regu-
24. The
power companies
fact that
lating
helps
that do not
it
one
why Congress
understand
poles
use their
to transmit wire communica-
wrote
prohibit
section 224 to
the FCC from
tions are not
covered
the Act and the
regulating
pro-
wireless communications. To
implementing regulations,
supra
see
vide
understanding,
this
we use normal tools
nn.12
supports
&
further
this narrow
statutory
construction
eliminate
reading
authority.
of the FCC’s
The dissent
ambiguity
hint of
statutory
language.
takes
reading
issue
Cardoza-Fonseca,
section
The FCC that Internet service tion of provided by system According a cable television the words “or use.” to is “solely subject either cable or is Report accompanying services” the House the 1996 224(b)(l)’s regulation amendments, to under section inclusion the words rates, terms, mandate to “ensure that the “or use” was meant to “reflect[ ] the evolu- pole [for and conditions attachments] are tion of video toward programming interac- just and reasonable.” 97, 104-204, tive Rep. services.” H. No. at (internal 13 quotation F.C.C.R. 6795-96 reprinted in 1996 U.S.C.C.A.N. 64. omitted). marks To accept argument this only This is the in the legislative sentence requires disregard to unambiguous us history attempts explain that to Congress’ Act, language the 1996 we which cannot change to the definition of “cable service.” Co., do. Robinson v. Oil See Shell 519 Although what it reflect means to an evo- 337, 340-41, 843, 846, 117 S.Ct. 136 lution programming of video toward inter- (1997). L.Ed.2d The Act 808 1996 calls for exactly clear, active service is not it is to Commission two establish rates for Congress’ clear from lack discussion pole One, attachments.29 described sec- change that it was minor both lan- 224(d), applies “any pole tion to guage Congress by and intent. If system used cable television addition of these two words meant to ex- solely provide to cable 47 service.” U.S.C. pand scope of the “cable service” defi- 224(d)(3). § The applies second rate to nition its traditional video base “charges used services, include all interactive video and provide carriers non-video, it would have said so. Without telecommunications services.” 47 U.S.C. comment, we substantive will not read 224(e)(1). For the FCC be able to this change minor a major effectuate regulate rent for an attachment that statutory shift. See v. Walters National provides then, Internet service Internet Survivors, Ass’n Radiation 473 U.S. qualify service must as either a cable ser- 305, 318, 3187, S.Ct. 87 L.Ed.2d vice or a telecommunications service. (1985) (stating that without substantive service,
Cable comment “it generally defined held that a one-way is “the change during transmission to sub codification not intended (i) (ii) scribers of programming, video alter the statute’s scope”) (citing Muniz reading The Although dissent contends that our section 522 states that its defini- (b)(l)'s ignores section 224 subsection man- apply only subchapter, give tions to that provide just date rates and reasonable meaning throughout words a consistent contrary, attachments. To the statute unless otherwise instructed Con- reading parts gives our effect to all of section States, gress. See Richards v. United 369 U.S. reading ignores 224 while the dissent’s 585, 591-92, S.Ct. L.Ed.2d 492 (d) (e) fact that subsections narrow (1962) ("We believe it fundamental that (b)(l)’s general just mandate to set rea- section of statute not be should read in straightforward sonable The language rates. Act.”) isolation from context of whole (d) (e) of subsections directs the FCC to (footnotes omitted); quotations and internal specific just establish two and reasonable Smith, (11th Nipper v. 39 F.3d rates, systems provid- one cable television Cir.1994). ing solely cable and one for telecom- providing munications carriers telecommuni- service; cations no other rates authorized. service, not as cable an information 467-74, 95 S.Ct. Hoffman, Bd. Joint Re Fed.-State (1975)). In service. 45 L.Ed.2d Serv., 13 F.C.C.R. on Universal “or the words the addition then did How (“Internet ¶ 66, 1998 WL service”? of “cable definition alter the use” information themselves providers Congress’ language plain The statute’s ”). Thus, lacks services.... suggest explanation sentence one the Inter- authority to statutory to in- definition expanded Congress theo- Act on the based the 1996 compa- net under television services clude a cable service. service is Internet ry allow them their customers offer to nies program- video with traditional interact Com- only remaining basis ming.31 Inter- mission’s is to treat 1996 Act interaction includes net under statute Although the addition to service. as a telecommunications Internet programming —in (e) 224(d)(3), (directing the definition See 47 U.S.C. programming video —within the lan a rate for telecom- develop *14 read to service,” cannot we Commission “cable of broadly to in telecommu- providing carriers programming” munications “other guage however, service). FCC, did program “Other The services. Internet nications clude of Nor the us. argument of definition before part that been not raise ming” has specifi- the Inter when has the FCC since have because service” could it “cable and the tele- is not a researchers Internet only a tool for cally said net was re would commodity that See military, service. not communications (“The used Congress at Univer- regulation. When 6795 quire 13 F.C.C.R. have in then, it could that Internet language this concluded Service Order sal provid services Internet of a it cover telecom- provision tended is not the service Act.”); we will not Again, companies. the 1996 by cable under ed service munications of the definition scope the radically expand on Universal Joint Bd. Fed.-State In Re to an (“Internet ¶ base from video “cable service” Serv., 12 F.C.C.R. without some base statutory all-interactive-services defini- the meet does not service Congress that ”).33 indication substantive service.’ a ‘telecommunications tion of Walters, basis, its intent. is indeed statutory is no Accordingly, there 318, 105 at 3187.32 S.Ct. as a Internet the regulate under the service telecommunications aside, note that Furthermore, as an Act. Internet itself, FCC, the defined has the ambiguous. The statute found the court “programming means programming Video therefore, court, FCC's inter- to the compa- deferred considered by, generally provided were cov- co-mingled services by, a televi- provided that pretation programming rable 522(20). Today we are faced 47 U.S.C. station.” section sion broadcast ered faced from that entirely different situation an adopt urges us to Commission 32. The Electric Utilities in Texas D.C. Circuit reasoning in Texas Utilities Circuit’s D.C. Congress, amended in Co. because (D.C.Cir. FCC, F.2d 925 Electric Co. that ambiguity at issue eliminate Act to 1993), determining attach whether 224(d)(3) states section The new case. company to television a cable ments used regulated receive “solely services” cable regu to a are entitled provide Internet service services, which (Telecommunications rents. decline Act. We the 1996 under lated rent are discussed regulated rents receive also Utili Texas decided D.C. Circuit so. do The we now know infra.) Because the text 1996 amendments before the Co. ties Electric over type emphasizes statute enacted. Prior were attachment, entity acquiring the type of rent set a reasonable FCC to instructed reasoning of to follow no need we have sys by a cable television "any attachment Indeed, to follow Co. Electric (d)(1) (1994). Texas Utilities 224(a)(4), 47 U.S.C. tem.” duty disregard be to our reasoning would of a particular services specify It did not Congress’ un- give effect Chevron to were entitled to under system that cable television Chevron, at 842- passing Congress, in ambiguous intent. Because regulated rent. Act, it specify whether did not at 2781. S.Ct. the 1978 type of emphasis "place[d] greater following exam- given FCC has 33.The over the distributed be service to or the cellular services: ples attaching,” entity doing the type of services; radio mobile paging telephone and Co., F.2d Elec. Texas Utils. sum, Act,
In Congress, the 1996 au- within cables that also contain pro- fibers develop thorized the FCC to rent viding formulas cable or telecommunications ser- attachments providing vices, i.e., and tele- lit clearly fibers has communications services. Internet service the authority Thus, to regulate. unlike does not meet the definition of either a Internet carriers, service or wireless cable service or telecommunications ser- statute’s silence does not resolve the issue Therefore, vice. the 1996 Act does not of whether the may Commission regulate authorize the FCC to pole attach- dark fiber. Both Internet service and ments for Internet service. wireless carriers are similar to items the statute covers. The statute defines the
VI.
kinds of
covers,
attachers
and wireless
The Petitioners’ final challenge is
carriers do not fall within that definition.
statutory
to regu Similarly, the statute defines the types of
charge
late
rents utilities
for dark fiber
covers,
wire services it
and Internet ser-
fiber,
attachments. Dark
which exists vices are not
one
those services. We
cable,
within a
optic
fiber
can, therefore,
“consists of ...
say, based on the 1996 Act
capacity
bare
and does not
alone,
involve
that the FCC
the authority
lacks
necessary
the electronics
transmit or
wireless
provi-
carriers and the
receive signals over that capacity.” Re
sion of Internet
fiber,
services. Dark
how-
Order;
port and
13 F.C.C.R.
ever,
at 6810.
(nor,
is not a
course,
is it a
advantage of
cables with
stringing
attacher).
lit
type
Thus, the fact that it
*15
dark fiber is that dark
provides
fiber
ex
falls outside the definitions of “cable ser-
cess distribution and transmittal capacity vice” and “telecommunications service”
a
cable or telecommunications company tells
nothing
us
Congress’
about
intent to
to use as its
network expands.
service
regulate dark
Congress
fiber.
say
did
that
Dark fiber also may
leased to
be
a
it
third
did not
intend
have an
pay
attacher
party. Because dark
capaci
fiber is bare
twice for a single attachment, see H.R.Rep.
ty, it technically is neither a telecommuni
92,
No.
reprinted in 1996
cations service nor a cable service.
59,
In U.S.C.C.A.N. at
but
legislative
the
his-
fact,
all;
it is not a
is simply tory does not indicate whether dark fiber
an inactive fiber.
and its host
were
be
single
considered a
attachment. Congress’ intent
is ambigu-
The 1996 Act authorizes the FCC to
ous; therefore,
proceed
we
step
two of
regulate the pole attachments of cable
the Chevron analytical framework and con-
television and
compa-
sider whether the FCC reasonably inter-
that provide
nies
cable and telecommunica-
preted Congress’ silence on dark fiber.
tions
224;
services. See 47 U.S.C.
su-
Chevron,
See
son majority opinion is how problem 135, 147-48, States, 510 U.S. United v. the FCC is the conclusion reaches 126 L.Ed.2d 114 S.Ct. It does dark fiber. regulate authorized history to (“we legislative do not resort fiber is because dark concluding that clear”); so Unit statutory text that is cloud a Paradies, nor telecommuni- 1288 neither a cable service 98 F.3d ed States Cir.1996) (“Because (11th language service, ambiguous. is the statute cations clear, improper it would be is the statute also con- majority opinion the same But clarifi legislative history to look is nei- Internet service cludes because cation.”). statutory language Because a telecommunica- nor a cable service ther legisla unambiguous, resort is at issue unambiguous service, statute tions it is order to undermine history in tive outside the Internet service improper. unnecessary cannot majority authority. The regulatory service, the Internet respect With un- ways statute it both have —either concludes that majority opinion authority gives the FCC ambiguously it because regulate no has telecommunica- only a cable is neither Internet services, ambiguous the statute is tions service, and is a telecommunications nor authority to has whether about de- rate formulas by the not covered thus telecommu- more than cable *18 224(d) “solely” cable in section scribed consistent: My view is services. nications 224(e) for telecom- and in section services the FCC gives unambiguously The statute majority But munications services. pole at- any and all address fails opinion opinion’s view 224(b)(1) “regulate majority mandate tachments. rates, terms, and conditions not consistent. rates, that such unam- the statute I believe Because just and reason- terms, and conditions ” au- regulatory gives biguously attachment is de- .... Because able wireless thority over attachment,” because “any fined service, I dissent and Internet “any,” sec- unambiguous definition parts majority from those opinion
holding contrary. America,
UNITED STATES of
Plaintiff-Appellee, DUARTE-ACERO,
Jose Defendant-
Appellant.
No. 98-5756.
United States Appeals, Court of Circuit.
Eleventh
April Farnsworth,
Robin J. Asst. Fed. Pub. Def., Lauderdale, FL, Ft. Kathleen M. Williams, Def., Miami, FL, Fed. Pub. Defendant-Appellant.
Marc Eagelson, Sullivan, Michael P. Jordan, Miami, FL, Adalberto for Plain- tiff-Appellee. TJOFLAT,
Before FAY, Judge, Circuit Senior Circuit HANCOCK*, Judge, Senior District Judge.
TJOFLAT, Judge: Circuit This is an interlocutory appeal of a dis- *19 trict court decision denying appellant’s mo- * Hancock, Honorable James H. silting Senior by designation. Alabama Judge District Northern District
