updated 2/18/2011 8:50:39 AM ET 2011-02-18T13:50:39

Republicans in the House of Representatives moved to block the Federal Communications Commission from enforcing new rules that prohibit broadband providers from interfering with Internet traffic on their networks.

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With a 244-181 vote on Thursday, Republican leaders succeeded in attaching an amendment to a sweeping spending bill that would bar the FCC from using government money to implement its new "network neutrality" regulations.

The rules prohibit phone and cable companies from favoring or discriminating against Internet content and services, including online calling services like Skype and Web video services like Netflix that could compete with their core operations.

Story: House passes bill to cut $60 billion in spending

The FCC's three Democrats voted to adopt the regulations late last year over the opposition of the agency's two Republicans.

The rules are already facing court challenges from Verizon Communications Inc. and Metro PCS Communications Inc. Republicans in both chambers of Congress have introduced legislation to try to repeal the rules outright.

Leaders up the ante on government shutdown threat

GOP: FCC overstepped its authority
Republicans argue that the net neutrality rules amount to onerous and unnecessary regulations that will discourage phone and cable companies from continuing to upgrade their broadband networks by making it too hard for them to earn a healthy return on those investments. They also maintain that the FCC overstepped its authority in adopting the rules.

Republican Rep. Greg Walden, the sponsor of the spending bill amendment and chairman of the House Commerce Subcommittee on Communications and Technology, said his measure is "about keeping the government out of the business of running the Internet."

The FCC had no comment Thursday.

The new FCC rules require broadband providers to let subscribers access all legal online content, applications and services over their wired networks.

The rules do give providers flexibility to manage data on their systems to deal with network congestion and unwanted traffic, including spam, as long as they publicly disclose those practices. But they prohibit unreasonable network discrimination — a category that would likely include "paid prioritization," which favors the broadband providers' own traffic or the traffic of business partners that can pay extra.

Video: Budget battle heats up on Capitol Hill (on this page)

The regulations also prohibit wireless carriers from blocking access to any websites or competing services such as Internet calling applications on mobile devices, and they require carriers to disclose their network management practices, too.

Still, they do give wireless companies more flexibility to manage data traffic because wireless systems have less network bandwidth and can become overwhelmed with traffic more easily than wired lines.

Likely battle in Senate, courts
While Republican efforts to repeal the FCC rules are likely to face an uphill battle in the Senate, where Democrats remain in control, the regulations may be harder to defend in court.

Both Verizon and Metro PCS are challenging the rules in federal appeals court in the District of Columbia. That is the same court that ruled last year that the FCC had exceeded its legal authority in rebuking cable giant Comcast Corp. for blocking its subscribers from accessing an Internet file-sharing service used to trade online video and other big files. Comcast maintained that traffic from the service was clogging its network.

The agency said Comcast had violated broad net neutrality principles first established by the commission in 2005. Those principles served as a foundation for the formal rules adopted by the FCC late last year.

Copyright 2011 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Video: Budget battle heats up on Capitol Hill

  1. Closed captioning of: Budget battle heats up on Capitol Hill

    >>> in the nation's capital, there is new fallout from the already angry debate over money. your money, your tax dollars, how to turn them into a budget that president obama and the republicans can agree on. kelly o'donnell, our capitol hill correspondent, with us from the hill tonight. kelly , good evening.

    >> reporter: hi there, brian. well, the temperature was really turned up here today. we talk about the chance of a government shutdown . you've got leaders from both parties digging in over how deep and how painful budget cuts need to be. with government spending on the chopping block --

    >> when we say we're going to cut spending, read my lips . we're going to cut spending.

    >> reporter: that provoked the senate's top democrat to accuse speaker boehner of being reckless enough to trigger a government shutdown .

    >> and now he's resorting to threats to do just that, without any negotiations. that is not permissible. we will not stand for that. he's wrong.

    >> reporter: if congress can't agree on cuts soon, the government is scheduled to run out of money to pay its bills in two weeks. but some republicans predicted a more dire fate.

    >> if we're not careful, the united states will follow the roman empire .

    >> reporter: there was drama, with a debate until almost 4:00 this morning and again all day over cuts as different as trimming programs to corral wild horses out west.

    >> it's too expensive and problematic.

    >> reporter: to complaints about the size of bureaucracy at the transportation security administration .

    >> the airports i go through, there are way too many tsa employees just standing around.

    >> reporter: some of the turmoil is actually internal. for conservatives, their ideology pitted against hometown interests.

    >> this is not about me. this is not about my district.

    >> reporter: but when nearly 50 freshmen house republicans voted to eliminate a fire jet engine considered obsolete, jobs near boehner's ohio district were put at risk.

    >> listen, i don't want anyone to lose their job, whether they're a federal employee or not. but come on, we're broke.

    >> reporter: and, brian, i should mention that that fighter jet engine is built by ge, a part owner of nbc. ge still lobbying to restore that funding. meanwhile democrats' biggest complaint is they say these cuts could actually hurt jobs at a time when so many are suffering.

    >> kelly o'donnell on the hill tonight. kelly , thanks.


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