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If you need the complete document, download the WordPerfect version or Adobe Acrobat version, if available. ***************************************************************** Before the Federal Communications Commission Washington, D.C. 20554 In re: ) ) Complaint of United Broadcast Group)CSR-4965-M II, Inc. against Falcon Cable TV) ) Request for Carriage ) MEMORANDUM OPINION AND ORDER Adopted: July 14, 1997Released: July 17, 1997 By the Chief, Consumer Protection & Competition Division, Cable Services Bureau: INTRODUCTION 1. United Broadcast Group II, Inc., licensee of Television Broadcast Station KINZ, Arlington, Texas, has filed a must carry complaint requesting that the Commission order Falcon Cable TV ("Falcon"), operator of a cable television system serving Comanche, Texas and surrounding areas to commence carriage of KINZ. Falcon has opposed KINZ's petition and KINZ has replied. BACKGROUND 2. Pursuant to Section 614 of the Communications Act and implementing rules adopted by the Commission in its Report and Order in MM Docket 92-259, commercial television broadcast stations are entitled to assert mandatory carriage rights on cable systems located within the station's market. A station's market for this purpose is its "area of dominant influence," or ADI, as defined by the Arbitron audience research organization. ARGUMENTS OF THE PARTIES 3. In support of its request, KINZ states that, pursuant to 76.64(f)(4) of the Commission's Rules, it notified Falcon by letter dated December 11, 1996, that it was conducting on-air program tests and would be commencing regular broadcasting shortly. In the same letter, KINZ indicates that it informed Falcon that it was electing must carry status in lieu of retransmission consent and requested carriage on Falcon's Comanche, Texas system. In a February 18, 1997, response, KINZ states that Falcon alleged that the station did not deliver an adequate signal to its system's headend and therefore was not entitled to carriage. KINZ points out, however, that the signal quality test information provided by Falcon does not conform to the Commission's stated criteria and it informed Falcon of this in a March 4, 1997 follow-up letter. KINZ argues that, despite its stated willingness to work with Falcon to resolve any signal quality problems, and its offer to provide any specialized equipment necessary to ensure a good signal, the cable system did not respond and remains unwilling to carry its signal. KINZ maintains that even if the signal quality tests performed by Falcon indicate that its signal does not meet the Commission's criteria for a good quality signal, its willingness to provide equipment to improve its signal should overcome this deficiency. KINZ therefore requests that the Commission grant its request. 4. In opposition, Falcon argues that, despite KINZ's allegations, it did respond to the station's follow-up letter on the very same day, but since KINZ filed its must carry complaint only three days later (March 7, 1997), it apparently did not have the opportunity to receive the response prior to the complaint's filing. In any event, Falcon states that in its response it informed KINZ that it had utilized a simplified procedure for initially testing the station's signal since, as all of the signals carried on its Comanche system have to be imported via microwave at Falcon's own cost in order to be receivable at the system's principal headend, KINZ's signal would have no chance of meeting the Commission's signal level criteria. Falcon states that it has now retested KINZ's signal in strict compliance with Commission criteria and this test confirms that KINZ's signal is inadequate. Moreover, Falcon maintains that KINZ's offer to provide any necessary equipment does not overcome the station's failure to take any steps to do so. Therefore, Falcon argues that it cannot be deemed in violation of the must carry requirements until such time as KINZ can deliver an adequate signal. 5. KINZ states in reply that it is a qualified local commercial station entitled to carriage on Falcon's system since it has offered to provide any specialized equipment necessary to ensure a good quality signal. KINZ argues that Falcon's second engineering test not only admits to the deficiencies in the systems's first test, but is a belated attempt to justify the system's continued refusal to carry the station. In addition, KINZ indicates that not only did Falcon not permit the station to participate in or corroborate its later test, but it again conducted its test at an antenna height of 25 feet when the system's own diagram reveals that other stations it carries are received at a height of 190 feet. Therefore, states KINZ, this second test should be rejected as well. DISCUSSION 6. We will grant KINZ's petition. According to 76.55(e) of the Commission's Rules, commercial television broadcast stations, such as KINZ, are entitled to carriage on cable systems located in the same Area of Dominant Influence (or "ADI"). KINZ is located in the Dallas-Ft. Worth, Texas ADI, which is also where the system served by Falcon is located. While the second engineering test conducted by Falcon appears to establish that KINZ fails to provide a good quality signal, we note that the 25-foot measurement height used by Falcon in its test of KINZ's signal is apparently considerably less than that called for when compared to the normal placement of antenna on Falcon's 300-600-foot headend tower. When measured against our criteria, we conclude that the determination reached by Falcon is insufficient to demonstrate that KINZ's signal is not of "good quality" at its system headend. We note that KINZ has offered to provide specialized equipment to Falcon and maintains that with the use of this specialized equipment it can provide a signal to Falcon's headend that is consistent with Commission criteria. Moreover, KINZ has stated that it will bear the costs of installing such equipment to assure a good quality signal. The Commission has stated that specialized equipment may be employed to deliver a good quality signal to a cable system headend. The Commission in the Must Carry Clarification Order, after re-emphasizing that it was the television station's obligation to bear the costs associated with delivering a good quality signal to the system's principal headend, stated: This may include improved antennas, increased tower height, microwave relay equipment, amplification equipment and tests that may be needed to determine whether the station's signal complies with the signal strength requirements. . . KINZ, by committing to provide specialized equipment, satisfies its obligation to bear the costs associated with delivering a good signal to Falcon's headend. We encourage Falcon and KINZ to work together in this regard. Moreover, any future engineering tests conducted by the parties should be at an antenna height comparable to that of other similarly-received stations. Consequently, we shall order Falcon to carry KINZ's signal in the event that KINZ provides a good quality signal. ORDERING CLAUSES 7. Accordingly, IT IS ORDERED that the petition filed March 10, 1997, by United Broadcast Group II, Inc. IS GRANTED pursuant to 614 of the Communications Act of 1934, as amended (4 U.S.C. 534). Falcon Cable TV IS ORDERED to commence carriage of Station KINZ on its Comanche, Texas cable system sixty (60) days from the date that KINZ provides a good quality signal at Falcon's principal headend. KINZ shall notify Falcon in writing of its carriage and channel position elections (76.56, 76.57, and 76.64(f) of the Commission's Rules) within thirty (30) days of providing a good quality signal. 8. This action is taken pursuant to authority delegated by 0.321 of the Commission's Rules. FEDERAL COMMUNICATIONS COMMISSION Gary M. Laden, Chief Consumer Protection and Competition Division Cable Services Bureau