$//ORDER Denying Community TV Corp. Confidentiality, DA 94-1248//$ $/0.459 Withholding Information From Public Inspection/$ $/76.956 Cable Operator Response to Complaint/$ $/76.938 Proprietary Information/$ Before the FEDERAL COMMUNICATIONS COMMISSION DA 94-1248 Washington, D.C. 20554 In the Matter of ) ) Community TV Corp. ) in the Town of ) Merrimack, New Hampshire (NH0047) ) ) Request for Confidentiality ) ) MEMORANDUM OPINION AND ORDER Adopted: November 9, 1994 Released: By the Chief, Cable Services Bureau: 1. The Commission has received a request filed by Community TV Corp., d/b/a The Americable Group ("Community TV"), that information submitted by Community TV pursuant to Section 76.956 of the Commission's rules not be made routinely available for public inspection as it otherwise would be pursuant to our rules. For the reasons set forth below, we deny Community TV's request. 2. In response to a complaint regarding the rates charged for cable programming service in the town of Merrimack, New Hampshire, Community TV filed an FCC Form 393 pursuant to Commission rules. The submission was accompanied by a request that none of the information contained in the rate justification be made routinely available for public inspection pursuant to Section 0.459 of the Commission's rules. Community TV contended that the material was confidential proprietary information, consisting of the details of its revenues, expenses (identified by category), profits and losses. 3. Section 0.459 of the Commission's rules provides that a party submitting information to the FCC may request confidentiality with respect to specific portions of the material. However, the party must show by a preponderance of the evidence that non- disclosure is consistent with the provisions of the Freedom of Information Act, 5 U.S.C. 552 ("FOIA"). Exemption 4 of the FOIA authorizes the Commission to withhold from public disclosure trade secrets as well as confidential commercial or financial information. 4. Exemption 4 of the FOIA covers two broad categories: (1) trade secrets; and (2) information which is (a) commercial or financial, and (b) obtained from a person, and (c) privileged or confidential. The confidential or privileged criterion is satisfied if either (1) disclosure of the information is likely to impair the government's ability to obtain necessary information in the future or (2) disclosure is likely to cause substantial harm to the competitive position of the person from whom the information was obtained. 5. In this case, Community TV does not claim that the information constitutes a trade secret. Community TV asserts that the information is commercial or financial information submitted pursuant to a regulatory requirement, and thus Community TV is required to show that the information is privileged or confidential. Since the FCC's information-gathering abilities in this context would not be impaired by disclosure, the pivotal question is whether disclosure of the material is likely to cause substantial competitive harm to Community TV. 6. The Commission has said, "While an elaborate economic analysis need not be made to establish the likelihood of substantial competitive injury, conclusory and generalized allegations cannot support nondisclosure." In addition, requests for confidentiality must conform to Section 0.459 of the rules and "casual" requests for confidentiality will not be honored. In this case, Community TV has claimed that the submission contains detailed financial information similar to that routinely afforded protection under Section 0.457(d)(1)(i), (iii) and (iv) of our rules. However, Community TV has made no allegations concerning the likelihood of competitive harm which would result if the materials are made available for public inspection. 7. We conclude, therefore, that Community TV has failed to demonstrate any likelihood of competitive injury resulting from disclosure of the rate justification materials. Furthermore, there is a compelling public interest supporting disclosure of rate justification information. Subscribers have a vital interest in the conduct and outcome of cable rate proceedings which are based upon these materials. For all of these reasons, we find that Community TV has failed to make a showing adequate to warrant the granting of its request for confidentiality. 8. Accordingly, IT IS ORDERED, pursuant to Section 4(i) of the Communications Act of 1934, as amended, 47 U.S.C. 154(i), that the request of Community TV Corp. for confidentiality of its rate justification materials IS DENIED. 9. IT IS FURTHER ORDERED, pursuant to Section 0.459(g) of the Commission's rules, the Cable Services Bureau will provide Community TV Corp. with notice of this denial and the time for seeking review by the Commission or a judicial stay by telephone, with follow-up notice in writing. 10. IT IS FURTHER ORDERED, pursuant to Section 0.459(g) of the Commission's Rules, that Community TV's rate justification materials will be available for public inspection on the sixth working day following the oral notice of this Order to Community TV Corp. This action is taken by the Chief, Cable Services Bureau, pursuant to authority delegated by 0.321 of the Commission's Rules. FEDERAL COMMUNICATIONS COMMISSION Meredith J. Jones Chief, Cable Services Bureau