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Before the
Federal Communications Commission
Washington, D.C. 20554
In the Matter of )
)
SM Cable Holdings, L.L.C. ) File No. EB-02-TS-301
)
Operator of Cable Systems in the States of: )
)
Alabama, California, Florida, Georgia, Idaho, )
Montana, Nevada, Oregon, South Carolina, Utah, )
and Wyoming )
)
Request for Waiver of Section 11.11(a) of the )
Commission's Rules )
ORDER
Adopted: January 10, 2003 Released: January 13,
2003
By the Chief, Technical and Public Safety Division, Enforcement
Bureau:
1. In this Order, we grant SM Cable Holdings, L.L.C. (``SM
Cable'') temporary waivers of Section 11.11(a) of the
Commission's Rules (``Rules'') for 180 cable television
systems in the 11 above- captioned states. Specifically, we
grant temporary, 12-month waivers of Section 11.11(a) for 12
cable television systems and temporary, 36-month waivers of
Section 11.11(a) for 168 cable television systems 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 July 11, 2002, SM Cable filed a request for
temporary 36-month waivers of Section 11.11(a) for 180 small,
rural cable systems in the 11 captioned states. In support of
its waiver request, SM Cable indicates that 168 of its
cable systems serve less than 1,000 subscribers, with 146
systems serving less than 500 subscribers. In addition, SM
Cable notes that only 12 of its systems serve between 1,029
and 2,792 subscribers. Based on price quotes provided by EAS
equipment manufacturers, SM Cable estimates that it
would cost an average of approximately $7,300 to install EAS
equipment at each of these systems for a total cost of
$1,314,000. SM Cable asserts that this cost will impose a
substantial financial hardship on it and provides financial
statements for 2000 and 2001 in support of this assertion. SM
Cable submits that its subscribers will continue to have ready
access to national EAS information from other sources,
including many of the programmed channels carried over its
cable systems. SM Cable further submits 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 SM Cable, we decline to
issue temporary, 36-month waivers of Section 11.11(a) for 12
of the cable systems. However, we conclude that temporary,
12-month waivers of Section 11.11(a) for 12 cable systems and
temporary, 36-month waivers of Section 11.11(a) for 168
systems are warranted.9 In particular, we find that the
estimated $1,314,000.00 cost of EAS equipment for these small
cable systems could impose a financial hardship on SM Cable.
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 SM Cable Holdings,
L.L.C. IS GRANTED waivers of Section 11.11(a) of the Rules
until October 1, 2003 for 12 cable television systems and IS
GRANTED waivers of Section 11.11(a) of the Rules until October
1, 2005 for 168 cable television systems listed in Attachment
A.
7. IT IS FURTHER ORDERED that SM Cable Holdings, L.L.C.
place a copy of these waivers in its systems files.
8. IT IS FURTHER ORDERED that a copy of this Order shall
be sent by Certified Mail Return Receipt Requested to counsel
for SM Cable Holdings, L.L.C., Sharon O'Malley Monahan, Esq.,
Fleischman and Walsh, L.L.P., 1400 Sixteenth Street, N.W.,
Washington, D.C. 20036.
FEDERAL COMMUNICATIONS COMMISSION
Joseph P. Casey
Chief, Technical and Public Safety
Division
Enforcement Bureau
Attachment A
SM Cable Holdings, L.L.C.
Cable Systems: Temporary Waiver Granted
Until:
Alabama
Andalusia (Heath), Alabama October 1, 2003
Ashville, Alabama October 1, 2003
Barnwell, Alabama October 1, 2003
Blount County, Alabama October 1, 2003
Good Hope, Alabama October 1, 2003
Addison, Alabama October 1, 2005
Beatrice, Alabama October 1, 2005
Castleberry, Alabama October 1, 2005
Daphne, Alabama October 1, 2005
Hayneville, Alabama October 1, 2005
Lowndes, Alabama October 1, 2005
McKenzie, Alabama October 1, 2005
Montgomery, Alabama October 1, 2005
Perdido Beach, Alabama October 1, 2005
Stapleton, Alabama October 1, 2005
St. Clair, Margaret, Alabama October 1, 2005
California
Frazier Park, California October 1, 2003
Lake Almanor, California October 1, 2003
Cedarville, California October 1, 2005
Dorris, California October 1, 2005
Fall River, California October 1, 2005
Happy Camp, California October 1, 2005
Herlong Base, California October 1, 2005
Klamath, California October 1, 2005
Olinda, California October 1, 2005
Orick, California October 1, 2005
Trinity Center, California October 1, 2005
Tulelake, California October 1, 2005
Willow Creek, California October 1, 2005
Florida
Port St. Joe, Florida October 1, 2003
Baker, Florida October 1, 2005
Dowling Park, Florida October 1, 2005
East Milton, Florida October 1, 2005
Cable Systems: Temporary Waiver Granted
Until:
Greenville, Florida October 1, 2005
Holiday Heights, Florida October 1, 2005
Lee, Florida October 1, 2005
Live Oak, Florida October 1, 2005
Marion Co. Highland, Florida October 1, 2005
Oak Forest, Florida October 1, 2005
Ozello, Florida October 1, 2005
Georgia
Abbeville, Georgia October 1, 2005
Allentown, Georgia October 1, 2005
Arabi, Georgia October 1, 2005
Attapulgus, Georgia October 1, 2005
Berlin, Georgia October 1, 2005
Chauncey, Georgia October 1, 2005
Climax, Georgia October 1, 2005
Collins, Georgia October 1, 2005
Colquitt, Georgia October 1, 2005
Dry Branch, Georgia October 1, 2005
Dudley, Georgia October 1, 2005
E. Baldwin Co., Georgia October 1, 2005
East Dublin, Georgia October 1, 2005
Flint River, Georgia October 1, 2005
Gibson, Georgia October 1, 2005
Gordon, Georgia October 1, 2005
Guyton, Georgia October 1, 2005
Hayneville, Georgia October 1, 2005
Hoboken, Georgia October 1, 2005
Iron City, Georgia October 1, 2005
Irwinton, Georgia October 1, 2005
Jeffersonville, Georgia October 1, 2005
Jones, Co./Haddock, Georgia October 1, 2005
Lake Blackshear/Cobb, Georgia October 1, 2005
Leslie, Georgia October 1, 2005
Midville, Georgia October 1, 2005
Milan, Georgia October 1, 2005
N. Baldwin Co., Georgia October 1, 2005
Newton Co., Georgia October 1, 2005
Oak Park, Georgia October 1, 2005
Pineview, Georgia October 1, 2005
Pitts, Georgia October 1, 2005
Plains, Georgia October 1, 2005
Port Wentworth, Georgia October 1, 2005
Portal, Georgia October 1, 2005
Cable Systems: Temporary Waiver Granted
Until:
Rebecca, Georgia October 1, 2005
Recovery, Georgia October 1, 2005
Rentz, Georgia October 1, 2005
Rhine, Georgia October 1, 2005
Rochelle, Georgia October 1, 2005
Sardis, Georgia October 1, 2005
Seminole, Georgia October 1, 2005
Smithville, Georgia October 1, 2005
Sparta, Georgia October 1, 2005
Stapleton, Georgia October 1, 2005
Stillmore, Georgia October 1, 2005
Surrency, Georgia October 1, 2005
Toomsboro, Georgia October 1, 2005
Uvalda, Georgia October 1, 2005
Warwick, Georgia October 1, 2005
Whigham, Georgia October 1, 2005
Wiley Acres, Georgia October 1, 2005
Wrens, Georgia October 1, 2005
Idaho
Soda Springs, Idaho October 1, 2003
Arco, Idaho October 1, 2005
Ashton, Idaho October 1, 2005
Challis, Idaho October 1, 2005
Downey, Idaho October 1, 2005
Driggs, Idaho October 1, 2005
Lava, Idaho October 1, 2005
Mackay, Idaho October 1, 2005
Malad, Idaho October 1, 2005
McCammon, Idaho October 1, 2005
Victor, Idaho October 1, 2005
Montana
Baker, Montana October 1, 2005
Belt, Montana October 1, 2005
Big Sky, Montana October 1, 2005
Charlo, Montana October 1, 2005
Chester, Montana October 1, 2005
Culbertson, Montana October 1, 2005
Darby, Montana October 1, 2005
Dutton, Montana October 1, 2005
Ennis, Montana October 1, 2005
Fromberg, Montana October 1, 2005
Cable Systems: Temporary Waiver Granted
Until:
Harlowton, Montana October 1, 2005
Hot Springs, Montana October 1, 2005
Hysham, Montana October 1, 2005
Joliet, Montana October 1, 2005
Paradise, Montana October 1, 2005
Plains, Montana October 1, 2005
Plentywood, Montana October 1, 2005
Poplar, Montana October 1, 2005
Ryegate, Montana October 1, 2005
Scobey, Montana October 1, 2005
St. Ignatius, Montana October 1, 2005
St. Regis, Montana October 1, 2005
Valier, Montana October 1, 2005
Vaughn/Sun Pr., Montana October 1, 2005
West Billings, Montana October 1, 2005
West Yellowstone, Montana October 1, 2005
Nevada
Winnemucca, Nevada October 1, 2003
Oregon
Shady Cove, Oregon October 1, 2003
Bonanza, Oregon October 1, 2005
Butte Falls, Oregon October 1, 2005
Chiloquin, Oregon October 1, 2005
Cove, Oregon October 1, 2005
Glendale, Oregon October 1, 2005
Haines, Oregon October 1, 2005
Imbler, Oregon October 1, 2005
Malin, Oregon October 1, 2005
Merrill, Oregon October 1, 2005
North Powder, Oregon October 1, 2005
Prospect, Oregon October 1, 2005
Sumpter, Oregon October 1, 2005
South Carolina
Bowman, South Carolina October 1, 2005
Cameron, South Carolina October 1, 2005
Clarendon Co., South Carolina October 1, 2005
Ehrhardt, South Carolina October 1, 2005
Holly Hill, South Carolina October 1, 2005
Norway, South Carolina October 1, 2005
Cable Systems: Temporary Waiver Granted
Until:
Rowesville, South Carolina October 1, 2005
Santee, South Carolina October 1, 2005
Springfield, South Carolina October 1, 2005
St. George, South Carolina October 1, 2005
Utah
Beaver, Utah October 1, 2005
Brian Head, Utah October 1, 2005
Central, Utah October 1, 2005
Cleveland/Elmo, Utah October 1, 2005
Enoch, Utah October 1, 2005
Enterprise, Utah October 1, 2005
Escalante, Utah October 1, 2005
Eureka, Utah October 1, 2005
Glenwood, Utah October 1, 2005
Goshen, Utah October 1, 2005
Kanarraville, Utah October 1, 2005
Lyman, Utah October 1, 2005
Mayfield, Utah October 1, 2005
Mona, Utah October 1, 2005
New Harmony, Utah October 1, 2005
Panguitch, Utah October 1, 2005
Paragonah, Utah October 1, 2005
Parowan, Utah October 1, 2005
Santaquin, Utah October 1, 2005
Winchester, Utah October 1, 2005
Wyoming
Kemmerer, Wyoming October 1, 2003
Afton, Wyoming October 1, 2005
Dubois, Wyoming October 1, 2005
Medicine Bow, Wyoming October 1, 2005
Meeteetse, Wyoming October 1, 2005
Pinedale, Wyoming October 1, 2005
_________________________
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 waivers will extend from October 1, 2002 until
October 1, 2003, and the 36-month waivers will extend 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.