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

In the Matter of                )
                                )
Johnsonburg Community Television, Inc.  )    File  No.  EB-02-TS-
375                             
                                )
Operator of Cable System in:    )
                                )
Johnsonburg, Pennsylvania       )
                                )
Request for Waiver of Section 11.11(a) of the     )    
Commission's Rules              )    
                                        
                              ORDER 


Adopted:  November 13, 2003             Released:   November  17, 
2003

By the Chief, Spectrum Enforcement Division, Enforcement Bureau:

1.        In this  Order,  we  deny the  request  of  Johnsonburg 
  Community Television, Inc. (``JCTI'') to extend the  temporary, 
  12-month waiver of  Section 11.11(a) of the Commission's  Rules 
  (``Rules'') previously  granted for  the above-captioned  cable 
  television system.1   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, 2002.2  

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.3  In 1994, the Commission adopted rules  requiring 
  cable systems to participate in EAS.4  In 1997, the  Commission 
  amended the  EAS rules  to provide financial  relief for  small 
  cable systems.5  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).6    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.7  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.

3.        On July 29, 2002, JCTI filed a request for a temporary, 
  24-month waiver  of Section  11.11(a) for  the captioned  cable 
  system.  In  its waiver request, JCTI  stated that this  small, 
  rural,  cable system  served approximately  1,432  subscribers.  
  In  support of  its  waiver  request, JCTI  asserted  that  the 
  estimated $10,000 cost  to install EAS equipment at the  system 
  would  impose  a  substantial  financial  hardship  on  it  and 
  provided financial statements  for 2001 and 2002 in support  of 
  this  assertion.   On      May  2,  2003,  we  granted  JCTI  a 
  temporary, 12-month  waiver of Section  11.11(a) for its  small 
  cable system.8  We concluded that the financial data and  other 
  information submitted by  JCTI did not justify a waiver  period 
  of longer duration.   

4.        On September 15, 2003, JCTI  filed a request for a  24-
  month extension  to the temporary,  12-month waiver granted  in 
  the Waiver Order  for the captioned cable system.  JCTI  states 
  that  it is  a non-profit  company with  a growing  accumulated 
  deficit.  JCTI further  states that the captioned cable  system 
  serves  approximately  1,385  subscribers,  reflecting  a   3.3 
  percent customer loss  within the year.  JCTI submits that  the 
  deterioration of its  customer base and finances has  increased 
  its financial  hardship.  JCTI asserts  that an extension  will 
  allow time for the price of EAS equipment to drop and for  JCTI 
  to budget to purchase the equipment.

5.        Based upon  our review  of the  additional  information 
  submitted by JCTI, we do not find that an extension of the  12-
  month waiver of Section  11.11(a) of the Rules granted for  the 
  captioned  cable  system  is  warranted.   In  particular,  the 
  information  provided  by  JCTI  does  not  support   financial 
  hardship of a  magnitude that would warrant a waiver  extension 
  to   install   EAS   equipment.    JCTI's   gross   income   is 
  significantly more  than the  cost of  EAS equipment.   Indeed, 
  its  financial  statement  shows  that  it  has  liquid  assets 
  sufficient to  cover the expense.   Regarding JCTI's  assertion 
  that  an  extension  will allow  time  for  the  price  of  EAS 
  equipment to drop,  we note that the Commission has  authorized 
  cable systems serving  fewer than 5,000 subscribers to  install 
  FCC  certified decoder-only  units, rather  than both  encoders 
  and  decoders.9  Such  decoder-only units  are available  at  a 
  substantially lower  cost.10  Further, JCTI  has had more  than 
  eight  years since  the EAS  rules  were initially  adopted  to 
  budget for  EAS equipment.  It  is particularly troubling  that 
  when we gave JCTI  a one-year extension rather than a  two-year 
  extension, JCTI did not then begin budgeting for EAS  equipment 
  and, indeed, now seeks an even longer extension (a total of  36 
  months  from  October  1,  2002)  that  we  originally  denied.  
  Accordingly, we deny JCTI's request for a waiver extension.  

6.        Accordingly, IT IS ORDERED  that, pursuant to  Sections 
  0.111,  0.204(b)   and  0.311  of   the  Rules,11   Johnsonburg 
  Community Television, Inc.'s request for a waiver extension  IS 
  DENIED. 

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

                         FEDERAL COMMUNICATIONS COMMISSION
                         


                         Joseph P. Casey     
                         Chief, Spectrum Enforcement Division
                         Enforcement Bureau
_________________________

  1  Johnsonburg Community  Television,  Inc., 18  FCC  Rcd  8554 
(Enf. Bur., Tech. & Pub. Safety Div., 2003) (``Waiver Order'').

  2 47 C.F.R.  11.11(a).

  3 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).  

  4 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), reconsideration  granted in  part, 
denied in part, 10 FCC Rcd 11494 (1995).

  5 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).

  6 Id. at 15512-13.

  7 Id. at 15516-15518.

  8 18 FCC Rcd at 8554.

  9 Amendment of Part 11 of the Commission's Rules Regarding  the 
Emergency Alert System, Report and Order, EB Docket No. 01-66, 17 
FCC Rcd 4055 (2002).

  10 Three manufacturers have received equipment certifications 
from the Commission for decoder-only units.  See 
www.fcc.gov/eb/eas/certsel.html.  See also Public Notice, Notice 
Regarding FCC Certification of EAS Decoder, DA 02-2312 (September 
19, 2002).  EAS decoders have been advertised at a cost of 
approximately $2,000.

  11 47 C.F.R.  0.111, 0.204(b) and 0.311.