President-elect Barack Obama is urging Congress to postpone the Feb. 17 switch from analog to digital television broadcasting, arguing that too many Americans who rely on analog TV sets to pick up over-the-air channels won’t be ready.

In a letter to key lawmakers Thursday, Obama transition team co-chair John Podesta said the digital transition needs to be delayed largely because the Commerce Department has run out of money for coupons to subsidize digital TV converter boxes for consumers. People who don’t have cable or satellite service or a new TV with a digital tuner will need the converter boxes to keep their older analog sets working.

His proposal to push off the transition, however, is running into some resistance, particularly among Republicans.

Meredith Attwell Baker, head of the NTIA, said the Bush administration opposes a postponement in the digital TV transition since the government and broadcasters have “invested so much in preparing for this date.”

A delay, she said, “would create uncertainty, frustration and confusion among consumers.”

Baker added that the current administration wants to focus instead on quickly fixing the problems facing the coupon program to meet last-minute demand. It is asking for another $250 million in funding to do that.

Breaking: DTV delay bill fails in the House
Wed Jan 28, 2009 2:09PM EST

House Republicans managed Wednesday to defeat the so-called "DTV delay" bill—and that means that the planned Feb. 17 date for the digital TV transition is still on, barring any last-minute maneuvering by Democrats and the Obama administration.

Sen. Jay Rockefeller's DTV delay bill—which included a series of compromises to mollify House and Senate Republicans, who've been resisting calls to push back the transition date—was passed by the Senate on Monday, and many observers (myself included) expected smooth sailing in the House.

But while the bill, which would have delayed the DTV transition date to June 12, needed a two-thirds majority to pass, according to the AP—and apparently, it fell short.

So now it's back to the drawing board for Democrats and President Obama, who have argued that too many people still aren't ready for the shutoff of analog TV signals. (The transition only affects those with analog TVs and over-the-air antennas; such viewers would need a $40-$60 DTV converter box to receive digital signals on their old TVs.)

Of course, that's a matter of debate: A recent report from Nielsen revealed that 5.7 percent of U.S. households aren't ready for the DTV transition, but some say that figure is inflated—and after all, it also means that 94.3 percent of the country is ready for digital TV.

Republicans in Congress have further argued that pushing back the DTV transtition date would only add to the confusion (no argument there, given the recent flood of TV spots announcing the Feb. 17 date), and that a delay would put an undue burden on those TV stations that have already started dismantling their analog TV equipment. Rockefeller's compromise bill included a provision allowing TV stations to make the jump to digital prior to the proposed June 12 deadline.

Meanwhile, a government coupon program that allows for two $40 DTV converter box coupons per household is still in disarray. The $1.5-billion program ran out of money earlier this month, although as unused coupons expire (after 90 days), more money flows back into the program. Still, about 2.6 million people are stuck on a waiting list, and while Obama's proposed economic stimulus plan includes $650 million in additional DTV coupon funding, there's no saying when—or if—the stimulus package will pass.

Also: Rockefeller's DTV delay bill would have allowed those who'd applied for coupons but allowed them to expire to reapply for new ones. But for now, those with expired coupons are simply out of luck.

So, what do you think? Relieved that the Feb. 12 DTV transition date is still on? Worried we're headed for a train wreck? Sound off below.

Senate approves bill to delay digital TV

Thu Jan 29, 11:33 pm ET

WASHINGTON (Reuters) – The U.S. Senate unanimously passed another bill on Thursday to delay the national transition to digital television.

Efforts to move the transition date to June 12 from February 17 are fueled by worries an estimated 20 million mostly poor, elderly and rural households are not technically ready for the congressionally mandated switch.

President Barack Obama supports a delay in the switch.

Earlier this week, the Senate passed another bill delaying the DTV transition, but the measure failed in the House of Representatives.

The bill is essentially the same that previously passed the Senate, but with a few minor modifications from the House.

Senate Commerce Committee Chairman John Rockefeller, a West Virginia Democrat, and Texas Republican Kay Bailey Hutchison worked out the compromise bill.

Hutchison said the delay was voluntary and television stations could go ahead if they wished with digital transmission on February 17 as scheduled and drop analog transmission.

The measure now goes back to the House.

"The House will have a second chance next week to implement this delay. I am hopeful they will pass this bill so we can send it to President Obama," Rockefeller said.

Broadcasters are moving from analog to digital signals to give public safety officials more spectrum, especially useful for emergencies, and to improve viewing quality.

Only those who watch television on older sets that receive analog signals, and do not get cable, must act to prevent their screens from going black.

About 6.5 million households are not ready for the transition, according to the latest data from Nielsen Ratings.

(Reporting by JoAnne Allen; Editing by Peter Cooney)