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                            Before the
                Federal Communications Commission
                      Washington, D.C. 20554

In the Matter of                             )
                                        )
Implementation of Section 505 of                  )     CS Docket No. 96-40
the Telecommunications Act of 1996           )
                                        )
Scrambling of Sexually Explicit Adult Video       )  
Service Programming                     )


                             ORDER

     Adopted:  April 17, 1997           Released:  April 17, 1997  

By the Commission:  

     1.   On February 8, 1996, the Telecommunications Act of 1996 ("1996 Act") was
enacted.  Section 505 of the 1996 Act amends the Communications Act by adding a new Section
641, entitled "Scrambling of Sexually Explicit Adult Video Service Programming."  Section 641(a)
requires that

     [i]n providing sexually explicit adult programming or other programming that is
     indecent on any channel of its service primarily dedicated to sexually-oriented
     programming, a multichannel video programming distributor shall fully scramble
     or otherwise fully block the video and audio portion of such channel so that one not
     a subscriber to such channel or programming does not receive it.  

Section 641(b) provides that

     [u]ntil a multichannel video programming distributor complies with the requirement
     set forth in subsection (a), the distributor shall limit the access of children to the
     programming referred to in that subsection by not providing such programming
     during the hours of the day (as determined by the Commission) when a significant
     number of children are likely to view it.  

     2.   The Commission adopted an Order and Notice of Proposed Rulemaking
implementing Section 505 and defining, on an interim basis, the hours of 6:00 am to 10:00 pm as
those hours when a significant number of children are likely to view such programming.  Section
505 provides that these provisions take effect 30 days after the date of enactment of the 1996 Act,
i.e., March 9, 1996.  The Commission has not enforced Section 505 due to a temporary restraining
order and a number of stays that were granted by the United States District Court for the District of
Delaware.  
     3.   On November 8, 1996, a three judge panel of the District Court for the District of
Delaware denied a request for a preliminary injunction of Section 505.  On March 24, 1997, the
Supreme Court affirmed the District Court's denial of the preliminary injunction.  The time to seek
rehearing of the Supreme Court's decision expires on April 18, 1997.  Congress, prior to the above
referenced judicial proceedings, provided that Section 641 would become effective with 30 days
advance notice.  Consistent with that initial schedule, the rules implementing Section 505 will
become effective on May 18, 1997.  We believe that this amount of time is reasonable given any
previous uncertainty with respect to enforcement of this provision and that it will permit operators
to comply, to the maximum extent feasible, with any relevant subscriber notice requirements.    

     4.   Accordingly, IT IS ORDERED THAT, pursuant to Sections 4(i) and 641 of the
Communications Act of 1934, as amended, 47 U.S.C.  154(i), 561, and Section 505 of the
Telecommunications Act of 1996,  47 C.F.R.  76.227 is effective on May 18, 1997.


                         FEDERAL COMMUNICATIONS COMMISSION



                         William F. Caton
                         Acting Secretary