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

In the Matter of                )
                                )
Kennedy Cablevision, Inc.       )    File No. EB-02-TS-479
                                )
Operator of Cable Systems in:   )
                                )    
Cobbtown, Georgia               )
Georgia State Prison, Georgia   )
Reidsville, Georgia             )
                                )
Request for Waiver of Section 11.11(a) of the     )    
Commission's Rules              )    
                                        
                              ORDER 

Adopted:   November 12, 2002            Released:   November  26, 
2002

By the Chief, Technical  and Public Safety Division,  Enforcement 
Bureau:

1.        In  this  Order,  we  grant  Kennedy  Cablevision,  Inc 
  (``Kennedy   Cablevision'')  temporary   waivers   of   Section 
  11.11(a) of  the Commission's Rules  (``Rules'') for the  three 
  above-captioned  cable television  systems.   Specifically,  we 
  grant a temporary, 24-month waiver of Section 11.11(a) for  the 
  Reidsville,  Georgia  cable  system  and  temporary,   36-month 
  waivers  of Section  11.11(a)  for the  Cobbtown,  and  Georgia 
  State  Prison,   Georgia  cable   systems.   Section   11.11(a) 
  requires  cable systems  serving fewer  than 5,000  subscribers 
  from  a headend  to  either provide  national  level  Emergency 
  Alert System (``EAS'')  messages on all programmed channels  or 
  install EAS equipment  and provide a video interrupt and  audio 
  alert  on all  programmed  channels  and EAS  audio  and  video 
  messages  on at  least one  programmed  channel by  October  1, 
  2002.1

2.        The Cable Act of 1992  added new Section 624(g) to  the 
  Communications  Act  of 1934  (``Act''),  which  requires  that 
  cable  systems be  capable of  providing  EAS alerts  to  their 
  subscribers.2  In 1994, the Commission adopted rules  requiring 
  cable systems to participate in EAS.3  In 1997, the  Commission 
  amended the  EAS rules  to provide financial  relief for  small 
  cable systems.4  The Commission declined to exempt small  cable 
  systems  from the  EAS requirements,  concluding that  such  an 
  exemption would be  inconsistent with the statutory mandate  of 
  Section  624(g).5    However,  the   Commission  extended   the 
  deadline   for  cable   systems  serving   fewer  than   10,000 
  subscribers to  begin complying with the  EAS rules to  October 
  1, 2002,  and provided cable systems  serving fewer than  5,000 
  subscribers the option  of either providing national level  EAS 
  messages  on   all  programmed  channels   or  installing   EAS 
  equipment and  providing a video interrupt  and audio alert  on 
  all programmed channels and EAS audio and video messages on  at 
  least  one programmed  channel.6  In  addition, the  Commission 
  stated that  it would grant waivers of  the EAS rules to  small 
  cable  systems  on  a case-by-case  basis  upon  a  showing  of 
  financial  hardship.7   The Commission  indicated  that  waiver 
  requests must contain at least the following information:   (1) 
  justification for the waiver, with reference to the  particular 
  rule sections  for which  a waiver is  sought; (2)  information 
  about the financial status of the requesting entity, such as  a 
  balance sheet and  income statement for the two previous  years 
  (audited, if possible);  (3) the number of other entities  that 
  serve the  requesting entity's coverage area  and that have  or 
  are expected to  install EAS equipment; and (4) the  likelihood 
  (such  as proximity  or frequency)  of hazardous  risks to  the 
  requesting entity's audience.8   

3.        Kennedy Cablevision filed  a request  for a  temporary, 
  24-month  waiver and  temporary,  36-month waivers  of  Section 
  11.11(a) for  the three captioned cable  systems on August  21, 
  2002.  In  support of its  waiver request, Kennedy  Cablevision 
  states that  these are small, rural  cable systems which  serve 
  between  91  and 1,196  subscribers.   Based  on  price  quotes 
  provided  by   EAS  equipment   vendors,  Kennedy   Cablevision 
  estimates that it would  cost more than $23,000 to install  EAS 
  equipment at  the three systems.   Kennedy Cablevision  asserts 
  that  the cost  of installing  EAS equipment  at these  systems 
  will  impose  a  substantial  financial  hardship  on  it   and 
  provides financial statements  for 1999 and 2000 in support  of 
  this assertion.  In addition, Kennedy Cablevision submits  that 
  its subscribers will continue to have ready access to  national 
  EAS  information  from  other  sources,  including  its   cable 
  systems.  In  this regard, Kennedy  Cablevision notes that  its 
  subscribers currently have  access to national EAS messages  on 
  over   33  percent   of  all   programmed  channels.    Kennedy 
  Cablevision also asserts that its subscribers will have  access 
  to EAS information through over-the-air reception of  broadcast 
  television and radio stations and other sources.

4.        Based upon our review of  the financial data and  other 
  information submitted by Kennedy Cablevision, we conclude  that 
  a  temporary,  24-month waiver  of  Section  11.11(a)  for  the 
  Reidsville, Georgia system  and temporary, 36-month waivers  of 
  Section 11.11(a)  for the  Cobbtown and  Georgia State  Prison, 
  Georgia systems  are warranted.9  In  particular, we find  that 
  the estimated  cost of more than  $23,000 of EAS equipment  for 
  these small cable systems could impose a financial hardship  on 
  Kennedy Cablevision.  

5.        We note that  the Commission recently  amended the  EAS 
  rules  to  permit  cable  systems  serving  fewer  than   5,000 
  subscribers  to   install  FCC-certified  decoder-only   units, 
  rather  than both  encoders  and  decoders, if  such  a  device 
  becomes  available.10    Based  on   comments  from   equipment 
  manufacturers, we  anticipate that such  a decoder-only  system 
  could  result  in  significant  cost  savings  to  small  cable 
  systems.11  

6.        Accordingly, IT IS ORDERED  that, pursuant to  Sections 
  0.111, 0.204(b) and 0.311 of the Rules,12 Kennedy  Cablevision, 
  Inc.  IS GRANTED  a waiver  of Section  11.11(a) of  the  Rules 
  until  October  1,  2004  for  the  Reidsville,  Georgia  cable 
  television system  and IS GRANTED  waivers of Section  11.11(a) 
  of  the  Rules until  October  1,  2005 for  the  Cobbtown  and 
  Georgia State Prison, Georgia cable television systems.

7.        IT IS FURTHER  ORDERED that  Kennedy Cablevision,  Inc. 
  place a copy of these waivers in its system files.

8.        IT IS FURTHER ORDERED that  a copy of this Order  shall 
  be sent by  Certified Mail Return Receipt Requested to  counsel 
  for Kennedy Cablevision,  Inc., Christopher C. Cinnamon,  Esq., 
  Cinnamon  Muller,  307  North  Michigan  Avenue,  Suite   1020, 
  Chicago, Illinois 60601.

                         FEDERAL COMMUNICATIONS COMMISSION
                         


                         Joseph P. Casey
                         Chief, Technical and Public Safety 
Division
                         Enforcement Bureau


_________________________

  1 47 C.F.R.  11.11(a).

  2 Cable Television  Consumer Protection and Competition Act  of 
1992, Pub. L. No. 102-385,  16(b), 106 Stat. 1460, 1490  (1992).  
Section 624(g) provides that  ``each cable operator shall  comply 
with such standards as the  Commission shall prescribe to  ensure 
that viewers of video programming  on cable systems are  afforded 
the same emergency  information as is  afforded by the  emergency 
broadcasting system pursuant to Commission regulations ....''  47 
U.S.C.  544(g).  

  3 Amendment  of Part 73, Subpart  G, of the Commission's  Rules 
Regarding the Emergency  Broadcast System, Report  and Order  and 
Further Notice of Proposed Rule Making, FO Docket Nos. 91-171/91-
301, 10  FCC  Rcd  1786  (1994)  (``First  Report  and  Order''), 
reconsideration granted in part, denied in part, 10 FCC Rcd 11494 
(1995).

  4 Amendment  of Part 73, Subpart  G, of the Commission's  Rules 
Regarding the  Emergency  Broadcast  System,  Second  Report  and 
Order, FO  Docket Nos.  91-171/91-301, 12  FCC Rcd  15503  (1997) 
(``Second Report and Order'').

  5 Id. at 15512-13.

  6 Id. at 15516-15518.

  7 Id. at 15513.

  8 Id. at 15513, n. 59.

  9 The 24-month waiver  will extend from October 1, 2002,  until 
October 1, 2004 and the 36-month waiver will extend from  October 
1, 2002, until October 1, 2005.   We clarify that the waivers  we 
are granting  also  encompass  the  EAS  testing  and  monitoring 
requirements.  

  10 Amendment  of Part  11 of the  Commission's Rules  Regarding 
the Emergency Alert System,  EB Docket 01-66, FCC  02-64 at   71 
(released February 26, 2002).

  11 One manufacturer  estimated that an EAS decoder-only  system 
can reduce the cost by 64% over what a cable operator would spend 
for an encoder/decoder unit.  Id. at  70.

  12 47 C.F.R.  0.111, 0.204(b) and 0.311.