NEWSReport No. CS 96-20 ACTION IN DOCKET CASE April 26, 1996 COMMISSION ADOPTS REPORT AND ORDER AND FURTHER NOTICE OF PROPOSED RULEMAKING REGARDING DEFINITION OF MARKETS FOR PURPOSES OF THE CABLE TELEVISION BROADCAST SIGNAL CARRIAGE RULES. (CS DOCKET NO. 95-178) The Commission has decided to continue to use Arbitron's 1991-1992 "Area of Dominant Influence" or "ADI" market list for purposes of determining local television markets for commercial broadcast television stations' 1996 must-carry/retransmission consent election and to use Nielsen's "Designated Market Areas" or "DMAs" to define markets beginning with the 1999 election. This action is necessary because the mechanism used by the Commission relies on Arbitron's commercially published market list which is no longer available. The Report and Order revises Section 76.55(e) of the rules accordingly. The Commission has decided to postpone the switch to a DMA based market standard because it is concerned about potential problems that might result from an immediate change of market definitions. A switch to DMAs will affect a greater number of stations, cable systems, and cable subscribers than would have been affected by simply using a newer ADI market list, as the rules had contemplated. The Commission is issuing the Further Notice of Proposed Rulemaking to seek comments on mechanisms for facilitating the transition from a market definition based on ADIs to one based on DMAs. In addition, in light of the new statutory requirement that the Commission act on Section 614(h) market modification petitions within 120 days, the Commission is requesting comment on changes to the Section 614(h) process that would establish specific requirements regarding the evidence to be submitted in support of any requests for market modification. Action by the Commission by Order and Further Notice of proposed Rulemaking, April 25, 1996 (FCC 96-197), Chairman Hundt, Commissioners Quello, Ness and Chong. News Media Contact: Morgan Broman (202) 418-7200 Cable Services Bureau Contact: Marcia Glauberman (202) 418-7200