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Before the
Federal Communications Commission
Washington, D.C. 20554
In the Matter of )
)
James Cable Partners, L.P. ) File No. EB-02-TS-239
)
Operator of Cable Systems in the States of: )
)
Alabama, Colorado, Florida, Georgia, Louisiana, )
Oklahoma, Texas, Wyoming )
)
Request for Waiver of Section 11.11(a) of the )
Commission's Rules )
ORDER
Adopted: September 27, 2002 Released: October 4,
2002
By the Chief, Technical and Public Safety Division, Enforcement
Bureau:
1. In this Order, we grant James Cable Partners, L.P.
(``James Cable'') temporary, 12-month waivers of Section
11.11(a) of the Commission's Rules (``Rules'') for five cable
television systems and temporary, 36-month waivers of Section
11.11(a) of the Rules for 33 cable television systems in the
eight above-captioned states as listed in Attachment A. Also
in this Order, we deny James Cable waivers of Section 11.11(a)
of the Rules for seven cable television systems in six of the
above-captioned states as listed in Attachment A. 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. On June 3, 2002, James Cable filed a request for a
permanent waiver or a five-year temporary waiver of Section
11.11(a) for 45 small, rural cable systems in the eight
captioned states. James Cable states that these cable systems
serve less than 5,000 subscribers. In particular, James Cable
indicates that 33 cable systems serve between 10 and 791
subscribers, five cable systems serve between 1,165 and 1,656
subscribers, and seven cable systems serve between 2,776 and
4,939 subscribers. Based on price quotes provided by EAS
equipment manufacturers, James Cable estimates that it would
cost approximately $8,000 to install EAS equipment at each of
these systems for a total cost of $350,000. James Cable
asserts that this cost will impose a substantial financial
hardship on it and provides its financial statements for 2000
and 2001 in support of this assertion. In addition, James
Cable submits that its subscribers will continue to have ready
access to national EAS information from other sources,
including its cable systems. In this regard, James Cable
notes that its subscribers currently have access to national
EAS messages on a substantial number of all programmed
channels. James Cable also asserts that its 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 James Cable, we decline to grant
James Cable a permanent waiver of Section 11.11(a).
Additionally, we conclude that temporary waivers of Section
11.11(a) for James Cable's seven largest cable systems in
Almond, Alabama; Stalvey, Florida; Hawkinsville, Georgia;
Durant, Oklahoma; Decatur, Texas; Jacksboro, Texas; and
Torrington, Wyoming are not warranted.
5. However, the estimated $8,000 headend cost to install
EAS equipment at the 38 remaining cable systems could impose a
financial hardship on James Cable. Therefore, we conclude
that temporary, 12-month waivers of Section 11.11(a) for five
of the cable systems in Attachment A and temporary, 36-month
waivers of Section 11.11(a) for 33 of the cable systems in
Attachment A are warranted 9
6. 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
7. Accordingly, IT IS ORDERED that, pursuant to Sections
0.111, 0.204(b) and 0.311 of the Rules,12 James Cable
Partners, L.P. IS GRANTED a waiver of Section 11.11(a) of the
Rules until October 1, 2003 for five cable television systems
listed in Attachment A and IS GRANTED a waiver of Section
11.11(a) of the Rules until October 1, 2005 for 33 cable
television systems listed in Attachment A.
8. IT IS FURTHER ORDERED that James Cable Partners, L.P.
place a copy of this waiver in its system files.
9. IT IS FURTHER ORDERED that a copy of this Order shall
be sent by Certified Mail Return Receipt Requested to counsel
for James Cable Partners, L.P., James F. Ireland, Esq., Cole,
Raywid & Braverman, LLP, 1919 Pennsylvania Avenue, N.W., Suite
200, Washington, D.C. 20006.
FEDERAL COMMUNICATIONS COMMISSION
Joseph P. Casey
Chief, Technical and Public Safety
Division
Enforcement Bureau
Attachment A
James Cable Partners, L.P.
Cable Systems: Waivers:
Alabama
Almond, Alabama No Waiver Granted.
Cleburne Co., Alabama Granted Until
October 1, 2005
Guin, Alabama Granted Until October 1,
2005
Hackleburg, Alabama Granted Until October 1,
2005
Phil Campbell, Alabama Granted Until October 1,
2005
Sulligent, Alabama Granted Until October 1,
2005
Vernon, Alabama Granted Until October 1,
2005
Colorado
Akron, Colorado Granted Until October 1,
2005
Otis, Colorado Granted Until October 1,
2005
Yuma, Colorado Granted Until October 1, 2005
Florida
Hawthorne, Florida Granted Until October 1,
2005
Orange Lake, Florida Granted Until
October 1, 2005
Stalvey, Florida No Waiver Granted
Steinhatchee, Florida Granted Until
October 1, 2005
Georgia
Crawford., Georgia Granted Until October 1,
2005
Crawfordville, Georgia Granted Until
October 1, 2005
Hawkinsville, Georgia No Waiver Granted
Pinehurst, Georgia Granted Until October 1,
2005
Unadilla., Georgia Granted Until October 1,
2005
Louisiana
Lake Arthur, Louisiana Granted Until
October 1, 2003
Oberlin, Louisiana Granted Until October 1,
2003
Oklahoma
Achille, Oklahoma Granted Until October 1,
2005
Atoka, Oklahoma Granted Until October 1,
2003
Caddo, Oklahoma Granted Until October 1,
2003
Durant, Oklahoma No Waiver Granted
Kingston, Oklahoma Granted Until October 1,
2005
Stringtown, Oklahoma Granted Until
October 1, 2005
Tishomingo, Oklahoma Granted Until
October 1, 2005
Wampanucka, Oklahoma Granted Until October 1,
2005
Cable Systems: Waivers:
Texas
Decatur, Texas No Waiver Granted
Newton, Texas Granted Until October 1,
2005
Huntington, Texas Granted Until October 1,
2005
Jacksboro, Texas No Waiver Granted
Kirbyville, Texas Granted Until October 1,
2005
Springtown, Texas Granted Until October 1,
2005
Sand Point, Texas Granted Until October 1,
2005
Wyoming
Elk Mountain, Wyoming Granted Until October 1,
2005
Encampment, Wyoming Granted Until October 1,
2005
Glendo, Wyoming Granted Until October 1,
2005
Glenrock, Wyoming Granted Until October 1,
2005
Hanna, Wyoming Granted Until October 1, 2005
Lusk, Wyoming Granted Until October 1,
2005
Saratoga, Wyoming Granted Until October 1,
2005
Torrington, Wyoming No Waiver Granted
Wheatland, Wyoming Granted Until October 1,
2003
_________________________
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 12-month waiver will extend from October 1, 2002, until
October 1, 2003, 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.