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

In the Matter of                )
                                )
Shaner Cable, Inc.              )    File No. EB-02-TS-062
                                )
Operator of Cable Systems in:   )
                                )
Ashford/West Valley, New York   )    
Limestone, New York             )
Rushford, New York              )
                                )
Request for Waiver of Section 11.11(a) of the     )    
Commission's Rules              )    
                                        
                              ORDER 

Adopted:  July 25, 2002                 Released:  July 30, 2002

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

1.        In this Order, we grant Shaner Cable, Inc. (``Shaner'') 
  a  temporary,  36-month  waiver  of  Section  11.11(a)  of  the 
  Commission's Rules  (``Rules'') for  the three  above-captioned 
  cable  television  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.        Shaner filed a request for a waiver of Section 11.11(a) 
  for the three captioned  cable systems on August 30, 2001.   In 
  support of  its waiver  request, Shaner states  that these  are 
  small, rural  cable systems  which serve  few subscribers.   In 
  particular, Shaner  states that  Rushford, New  York serves  67 
  subscribers,   Ashford/West  Valley,   New  York   serves   123 
  subscribers, and  Limestone, New York  serves 256  subscribers.  
  Based on price quotes provided by EAS equipment  manufacturers, 
  Shaner estimates  that it would  cost approximately $10,000  to 
  install  EAS  equipment  at  each  of  these  systems.   Shaner 
  asserts  that this  cost will  impose a  substantial  financial 
  hardship on it and  provides financial data in support of  this 
  assertion.  In  addition, Shaner submits  that its  subscribers 
  will continue to have ready access to national EAS  information 
  from  other  sources, including  its  cable  system.   In  this 
  regard,  Shaner asserts  that  its subscribers  currently  have 
  access to national EAS messages on more than 50 percent of  all 
  programmed  channels.  Finally,  Shaner subscribers  will  have 
  access  to EAS  information through  over-the-air reception  of 
  broadcast television and radio stations. 

4.        Based upon our review of  the financial data and  other 
  information submitted  by Shaner, we  conclude that  temporary, 
  36-month waivers  of Section 11.11(a)  for the three  captioned 
  cable systems is  warranted.9  In particular, we find that  the 
  estimated $10,000  cost of  EAS equipment for  the small  cable 
  systems could impose a financial hardship on Shaner.  

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 Shaner Cable,  Inc. 
  IS GRANTED  a waiver  of Section  11.11(a) of  the Rules  until 
  October  1,  2005  for  each  of  the  three  captioned   cable 
  television systems.

7.        IT IS FURTHER ORDERED that  Shaner Cable, Inc. place  a 
  copy of this waiver 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 Shaner  Cable, Inc., Peter K.  Hulburt, Esq., Shaner  Hotel 
  Group,  LP,  1965  Waddle  Road,  State  College,  Pennsylvania 
  16803.

                         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 waivers  will extend  36 months  from October  1,  2002, 
until October 1, 2005.  Additionally, 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.