Satellite Television Extension and Localism Act of 2010 and Satellite Home Viewer Extension and Reauthorization Act of 2004, 80354-80363 [2010-32037]
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Federal Register / Vol. 75, No. 245 / Wednesday, December 22, 2010 / Rules and Regulations
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Dated: December 7, 2010.
Sandra K. Knight,
Deputy Federal Insurance and Mitigation
Administrator, Mitigation.
[FR Doc. 2010–32106 Filed 12–21–10; 8:45 am]
BILLING CODE 9110–12–P
FEDERAL COMMUNICATIONS
COMMISSION
47 CFR Part 73
[ET Docket No. 10–152; FCC 10–194]
Satellite Television Extension and
Localism Act of 2010 and Satellite
Home Viewer Extension and
Reauthorization Act of 2004
Federal Communications
Commission.
ACTION: Final rule.
emcdonald on DSK2BSOYB1PROD with RULES
AGENCY:
In this document the
Commission, adopts a point-to-point
predictive model for determining the
ability of individual locations to receive
an over-the-air digital television
SUMMARY:
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broadcast signal at the intensity level
needed for service through the use of an
antenna as required by the Satellite
Television Extension and Localism Act
of 2010 (STELA). The STELA
reauthorizes the Satellite Home Viewer
Extension and Reauthorization Act of
2004 (SHVERA) by extending the
statutory copyright license for satellite
carriage of distant broadcast signals, as
well as provisions in the
Communications Act, and by amending
certain provisions in the
Communications Act and the Copyright
Act.
DATES: Effective January 21, 2011.
ADDRESSES: Federal Communications
Commission, 445 12th Street, SW.,
Washington, DC 20554.
FOR FURTHER INFORMATION CONTACT:
Alan Stillwell, Office of Engineering
and Technology, (202) 418–2925,
e-mail: Alan.Stillwell@fcc.gov, TTY
(202) 418–2989.
SUPPLEMENTARY INFORMATION: This is a
summary of the Commission’s Report
and Order, ET Docket No. 10–152, FCC
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10–194, adopted November 22, 2010
and released November 23, 2010. The
full text of this document is available for
inspection and copying during normal
business hours in the FCC Reference
Center (Room CY–A257), 445 12th
Street, SW., Washington, DC 20554. The
complete text of this document also may
be purchased from the Commission’s
copy contractor, Best Copy and Printing,
Inc., 445 12th Street, SW., Room, CY–
B402, Washington, DC 20554. The full
text may also be downloaded at:
https://www.fcc.gov.
People with Disabilities: To request
materials in accessible formats for
people with disabilities (braille, large
print, electronic files, audio format),
send an e-mail to fcc504@fcc.gov or call
the Consumer & Governmental Affairs
Bureau at 202–418–0530 (voice), 202–
418–0432 (tty).
Summary of Report and Order
1. The Satellite Television Extension
and Localism Act of 2010 (STELA)
reauthorizes the Satellite Home Viewer
Extension and Reauthorization Act of
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Federal Register / Vol. 75, No. 245 / Wednesday, December 22, 2010 / Rules and Regulations
2004 (SHVERA) by extending the
statutory copyright license for satellite
carriage of distant broadcast signals, as
well as provisions in the
Communications Act, and amending
certain provisions in the
Communications Act and the Copyright
Act. To implement the new statutory
regime, the STELA, inter alia, requires
the Commission to ‘‘develop and
prescribe by rule a point-to-point
predictive model for reliably and
presumptively determining the ability of
individual locations, through the use of
an antenna, to receive signals in
accordance with the signal intensity
standard in § 73.622(e)(1) of [its rules],
or a successor regulation, including to
account for the continuing operation of
translator stations and low power
television stations.’’ In this action, the
Commission has adopted a point-topoint predictive model for determining
the ability of individual locations to
receive an over-the-air digital television
broadcast signal at the intensity level
needed for service through the use of an
antenna as required by the STELA. The
new digital ILLR model will be used as
a means for reliably and presumptively
determining whether individual
households are eligible to receive the
signals of distant network-affiliated
digital television stations, including TV
translator and low power television
stations, from their satellite carrier. The
predictive model the Commission
adopts, which is based on the current
model for predicting the intensity of
analog television signals at individual
locations, will allow such
determinations to be made in a timely
and cost effective manner for all parties
involved, including network TV
stations, satellite carriers and satellite
subscribers. The Commission is also
providing a plan for the model’s
continued refinement by use of
additional data as it may become
available. Under that plan, refinements
based on additional data may be
proposed by referencing the docket of
this proceeding, which will be held
open indefinitely for this purpose.
Consistent with this intention to refine
the model as new information becomes
available, the Commission has also
initiated a Further Notice of Proposed
Rulemaking published elsewhere in this
issue, in this proceeding to request
comment on possible modifications to
the methodology in the digital ILLR
model to improve its predictive
accuracy as suggested by one of the
parties responding to the Notice of
Proposed Rulemaking (NPRM), 75 FR
46885, August 4, 2010, in this
proceeding.
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2. As directed by Congress in the
STELA, the Commission is adopting a
new digital ILLR model for predicting
the ability of individual locations to
receive, through use of an antenna, an
over-the-air digital television broadcast
signal in accordance with the intensity
standards specified in § 73.622(e)(1) of
our rules. This new model will be
established in the Commission’s rules as
the point-to-point model for
presumptively determining the ability of
individual locations to receive with an
antenna the digital signals of full service
television stations, low power television
stations (including digital Class A
stations) and TV translator stations.
Consistent with the specifications in the
STELA, the Commission is basing this
new model on the SHVIA ILLR model
that it adopted in CS Docket No. 98–
201, Report and Order, 64 FR 7113,
February 12, 1999, as revised
previously, for use in predicting the
signal strengths of analog television
signals. The new digital ILLR model
incorporates parameters and features
appropriate for prediction of the signal
strengths of digital television signals.
The Commission also adopts a
procedure for continued refinement of
this model through use of additional
data and information as it may become
available. As part of that effort, the
Commission requested comment on
possible revisions to the digital ILLR
model in the Further Notice of Proposed
Rulemaking, published elsewhere in
this issue, adopted November 22, 2010
in this proceeding.
3. In developing the new model, the
Commission considered, in addition to
the modifications necessary to enable
the model to predict digital television
signal strengths, three ways in which
the STELA revises the definition of
‘‘unserved household’’: (1) The
definition now references an ‘‘antenna’’
without specifying the kind of antenna
or where it is located; (2) the definition
specifically recognizes both a ‘‘primary
stream’’ and a ‘‘multicast stream’’
affiliated with a network; and (3) the
definition now limits network stations
whose signals are to be considered to
those network affiliates in the same
DMA as the subscriber. The new STELA
digital ILLR model and its specifications
are described in OET’s new ‘‘OET
Bulletin No. 73’’ in Appendix A of the
Report and Order.
A. The ILLR Model for Digital Television
Signals
4. The Commission is adopting the
methodology and parameters for
describing the basic radiofrequency
environment of the SHVIA ILLR model
as proposed in the NPRM for the digital
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ILLR model. As indicated by the
Broadcasters and CDE, the methodology
in the ILLR model as modified over time
has been time-tested and proven
successful. The Commission expects
that the new digital ILLR model will
provide the same reliable and accurate
predictions of signal availability as the
analog SHVIA ILLR model. Like its
predecessor, the new model
incorporates features to account for the
radio propagation environment through
which television signals pass and the
receiving systems used by consumers.
These features are described in the
‘‘planning factors’’ that describe a set of
assumptions for digital and analog
television reception systems. Since
digital and analog television signals are
transmitted in the same frequency
bands, the planning factors affecting
basic propagation of signals using the
two different modulation methods and
the background noise level are the same.
The Commission is not modifying in the
digital ILLR model any of the
parameters of the SHVIA ILLR model
that describe basic propagation and the
background noise levels. The planning
factors that are different for digital and
analog signals include antenna location
(outdoor vs. indoor) and performance,
time and location variability, and land
use and land cover. The Commission’s
decisions on each of these features in
the digital ILLR model are discussed.
The Commission also observes that the
planning factor differences for antenna
location and performance and for time
and location variability are incorporated
into the threshold signal level for
reception for digital television service,
which the STELA directs to be set at the
noise-limited levels specified in
§ 73.622(e)(1).
5. The Commission is not including
adjustments to account for interference
and multipath in the digital ILLR model.
As the Commission observed in its 2005
Report to Congress, a receiver’s ability
to provide service in the presence of
interfering signals is not relevant to the
field strength needed to provide service.
While the presence of other signals on
the same or adjacent channels does have
the potential for disrupting service, the
effects of other signals are a separate
matter from the basic functioning of a
receiver in an interference-free
environment that forms the basis for the
Commission’s field strength standards.
With regard to multipath, in the 2005
Report to Congress, the Commission
finds that while the sensitivity of
television receivers may degrade to a
small degree when they process
multipath signals, the difficult
multipath conditions under which
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degradation of as much as 2 dB could
occur are not expected to be the norm.
Moreover, the incidence of multipath
varies significantly over very short
distances and the level of multipath and
its character is generally not a
predictable factor. Further, the
Commission sees no indication in the
STELA that Congress intended that it
add interference or multipath
consideration to the signal strength
standard. The Commission also observes
that at locations where interference or
multipath are present, consumers can
often take steps such as repositioning or
re-orienting their antenna to resolve the
impact and achieve reception.
Accordingly, the Commission finds no
basis or need for including adjustments
to the digital ILLR model for
interference or multipath.
6. The Commission is not adopting
the revisions to the estimating
methodology proposed by Mr. Shumate
as it has not had an opportunity to fully
explore the changes he suggests.
Therefore, the Commission is not
addressing his proposals for improving
the ILLR methodology in the Further
Notice of Proposed Rulemaking herein.
Nonetheless, the Commission believes
there may be merit in the improvements
he describes for the methodology for
predicting digital television signal
strengths at individual locations and
perhaps more generally, and that they
warrant further investigation as possible
modifications to the digital ILLR model.
The Commission will explore these
improvements through a Further Notice
of Proposed Rulemaking that is
included in the instant action. It also is
not acting on Adaptrum’s suggestion
that we allow optional use of the digital
ILLR model for prediction of signal
strengths for purposes of identifying
unused spectrum in the TV bands where
unlicensed devices could operate as it is
beyond the scope of this proceeding.
7. Antenna Location and
Performance. In the NPRM, the
Commission proposed to use the current
standard for an outdoor antenna as
specified in the DTV planning factors in
OET Bulletin No. 69 for predicting
digital television signal strengths at
individual locations, citing the
information and conclusions regarding
outdoor and indoor antennas in the
2005 Report to Congress. As set forth in
the OET Bulletin No. 73, the prediction
model would use an antenna at 6 meters
(20 feet) for one-story structures and 9
meters (30 feet) for structures taller than
one story. Consistent with Congress’
modification of the specification of the
receiving antenna to simply say an
‘‘antenna,’’ and its concern that using the
outdoor antenna model may result in
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instances where a consumer who either
cannot use an outdoor antenna or
cannot receive service using an outdoor
antenna and is not able to receive a
station’s service with an indoor antenna
will be found ineligible for satellite
delivery of a distant network signal, the
Commission again requested comments,
suggestions and new information that
would provide a solution for satellite
television subscribers in such
circumstances. In this regard, it
indicated that it was particularly
interested in new ideas and information
that have been developed in the time
since the 2005 Report to Congress.
8. The Commission concludes that the
current standard for an outdoor antenna
as specified in the digital television
planning factors in OET Bulletin No. 69
and on which the digital television
signal strength standards in
§ 73.622(e)(1) are based, at the
alternative heights proposed in the
NPRM, should be used as the basis for
predicting digital television signal
strengths at individual locations in the
digital ILLR model. As discussed in the
NPRM, Congress’s use of the term
‘‘antenna’’ in the STELA grants the
Commission greater flexibility to take
into account different types of antennas
than was previously available, without
requiring the Commission to incorporate
any particular type of antenna into the
model. The Commission is not
persuaded by the Broadcasters’
arguments that the omission of the word
‘‘outdoor’’ from the antenna description
in the STELA has no significance and
that the Commission is required to
assume use of an outdoor antenna in
predicting digital television signal
strengths. While they are correct that the
STELA directs the Commission to rely
on the ILLR model recommended with
respect to digital signals in the 2005
Report to Congress, which assumes use
of an outdoor antenna, the Commission
believes that STELA’s use of the term
‘‘rely’’ provides us latitude in the
manner in which the ILLR model is
implemented. Their argument that the
Commission must specify an outdoor
antenna because the minimum signal
strengths specified by the STELA are
premised on use of an outdoor antenna
(through the digital television planning
factors), is similarly not persuasive in
that, as DIRECTV/DISH observe, other
specifications of parameters that include
an indoor antenna are possible while
still adhering to those signal strengths as
the standard.
9. The Commission also is not
persuaded by DIRECTV/DISH’s
arguments that Congress’ deletion of the
qualifiers specifying a ‘‘conventional,
stationary, outdoor rooftop receiving
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antenna’’ from the definition of an
‘‘unserved household’’ from the STELA
means that a household is now
unserved if it cannot receive a signal of
sufficient strength by means of a simple
indoor antenna. Again, it believes that
this change simply affords the
Commission latitude to consider all
types of antennas in implementing the
digital ILLR model. Even assuming that
DIRECTV/DISH are correct that more
consumers are now using indoor
antennas, their argument that Congress
was responding to greater use of indoor
antennas by consumers misses the fact
that consumers are only using indoor
antennas where such antennas provide
service. As observed in the 2005 Report
to Congress, the Commission has always
assumed that households will use the
type of antenna that they need to
achieve service; if an indoor antenna is
insufficient for a particular household,
it generally will rely on a rooftop
antenna. Nothing in the STELA reflects
a Congressional intent for the
Commission to abandon that
assumption. Thus, the Commission
disagrees that households that are not
able to receive service with an indoor
antenna should be considered unserved
simply because they do not use an
outdoor antenna. The Commission has
considered the full range of antenna
options in developing the digital TV
ILLR prediction model.
10. Turning to the specification of
antennas in the prediction model, the
Commission finds that an approach that
specifies an outdoor antenna at 6 meters
above ground for one-story structures
and 9 meters above ground for taller
structures (household roof-top levels)
with gain as specified in the digital
television planning factors is most
consistent with the directives for the
digital TV signal strength prediction
model set forth in the STELA. The
Commission reached this conclusion for
the following reasons. First, given that
the STELA specifies use of the digital
television signal strength standard in
§ 73.622(e)(1) of the rules as the
threshold metric against which
predictions are to be compared to make
determinations of ‘‘served’’ and
‘‘unserved,’’ it is important and
necessary that the signal strengths
predicted by the model can be
meaningfully compared to that
standard. To provide for such
comparisons, the signals whose
strengths are predicted by the model
must have the same qualities as the
signal specified in the standard. This
can occur only if the assumptions
underlying the signal strength needed
for reception as described by the
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standard are the same as the
assumptions underlying the signal
predicted by the model and their
relationship is well defined, so that the
two represent the same conditions of
reception. The § 73.622(e)(1) digital
television signal strength standard is
derived from the assumptions in the
digital television planning factors as
described in OET Bulletin No. 69 and
those assumptions include an outdoor
antenna as described above. This signal
strength standard is important under the
Commission’s rules because it serves to
define the service boundary or ‘‘service
contour’’ of a digital television station
and the threshold at which a station’s
service is considered to be available in
areas within that service contour.
Congress specified this same signal
strength standard for defining ‘‘served’’
and ‘‘unserved’’ locations for purposes of
determining households’ eligibility for
satellite delivery of distant network
signals in the STELA. For these reasons,
the Commission agrees with the
Broadcasters that it is appropriate to
incorporate into the digital ILLR model
the assumptions in the planning factors
in OET Bulletin No. 69, including the
specified outdoor antenna, to obtain
predictions of signal strength for
comparison to the standard specified in
the STELA.
11. The Commission also rejects
DIRECTV/DISH’s proposed adjustments
to the signal strength standard to
account for differences in the expected
signal level and in the gain of indoor
and outdoor antennas. It finds that
application of these adjustments would
significantly alter the digital television
service description as defined in the
§ 73.622(e)(1) signal strength standard
by reducing the likelihood that a given
location would be predicted to receive
service. Under the plan they propose,
between 36.7 dB and 46.7 dB
(depending on whether the location is
in an urban area), or more, would be
subtracted from the prediction
calculated by the ILLR model for
locations that do not have an outdoor
antenna. They do not offer any
additional modifications to the model or
its assumptions to compensate for this
proposed change in the signal strength
standard; nor are we aware of any
modifications that would provide such
compensation. In application,
DIRECTV/DISH’s proposal would raise
the signal strength needed for reception
of UHF signals from 41 dBμV/m to
between 77.7 dbμV/m and 87.7 dBμV/m
for households without outdoor
antennas. Such a change could, as the
broadcasters observe, drastically
increase the number of households
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eligible for satellite delivery of distant
network signals by allowing viewers to
claim use of an indoor antenna when
such viewers generally could in fact
receive service using an outdoor
antenna. Notwithstanding the
difficulties in developing a model that
would provide accurate and reliable
indoor predictions, the Commission is
concerned that many satellite
subscribers who could use an outdoor
antenna would have an incentive to take
the ‘‘easy path’’ and simply report that
they cannot use an outdoor antenna and
thereby be evaluated under the indoor
antenna standard, when in fact they
could readily receive a station’s service
with outdoor antenna. For example,
subscribers located within a station’s
service area but at distances from its
transmitter where indoor reception is
not possible could simply assert that
they cannot use an outdoor antenna and
thus be eligible to receive a distant
network signal. This would remove
large numbers of viewers from local
stations potential audience. In view of
Congress’ selection of the § 73.622(e)(2)
signal strength standard as the threshold
for distant signal eligibility in the
STELA, the Commission does not
believe that Congress envisioned or
contemplated such an increase in the
numbers of satellite subscribers eligible
for delivery of distant network signals.
12. In addition, as the Commission
discussed in the 2005 Report to
Congress and the NPRM, there are
significant difficulties in achieving
accurate and reliable estimates of digital
television signal strengths in indoor
environments, which make it very
difficult if not impossible to obtain
accurate and reliable predictions of
digital television signal strengths
indoors. The Commission is concerned
that simplification of indoor antenna
reception to a single set of
circumstances as suggested by
DIRECTV/DISH and Mr. Kurby would
ignore the significant differences that
exist in indoor reception scenarios,
particularly with respect to attenuation
of signals due to the materials with
which a building is constructed, which
vary substantially in the degree to
which they absorb or reflect signals, and
the antenna’s location within the
structure, which affects the number and
pathways of structural features (walls or
ground in the case of basements) that
signals must penetrate to reach the
antenna. In this regard, the Commission
also observes that in the DTV transition,
it advised consumers of the wide
variability in the performance of
antennas generally and indoor antennas
in particular in materials provided to
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the public for the DTV transition. For
example, the Commission noted that
consumers having problems with indoor
antennas needed to check the
performance information for the
antenna, move the antenna for best
reception, place it near a window, as
high as possible, away from electronic
equipment and change the direction the
antenna is facing. Further, the
Commission advised that a roof-top
antenna may be needed.
13. These differences in indoor
reception scenarios are very difficult to
account for properly in a model’s input
values and can also be challenging for
a user of a model to assess so as to
specify appropriate input values for any
particular location. These factors
together greatly reduce the reliability
and accuracy of any indoor signal
strength predictions that might be
provided by a model. While the
Commission understands that there are
also variations in signal strength across
outdoor receive locations due to terrain
and the presence of man-made terrain
features, including aspects of the
structure on which an antenna is
mounted, that variability is generally
much less than the variability of signal
strengths indoors which are affected by
building materials and location within
the building as well as the same terrain
and man-made features that affect
signals received outdoors. The
Commission also expects that there
would be an incentive for households in
areas where service is not available with
an indoor antenna to simply submit that
they have an indoor antenna in order to
be eligible for distant signal delivery
when in fact they could receive that
signal with an outdoor antenna under
the standard specified in the STELA.
This type of behavior would, to the
extent it occurred, undermine
broadcasters’ coverage and complicate
our administration of an indoor antenna
standard. The Commission also is not
persuaded that any of the options for
modifying their proposed adjustments
that DIRECTV/DISH have submitted in
recent ex parte presentations would
remedy the problems discussed. None of
those suggestions would provide
reliable and accurate estimates of indoor
signal strengths; nor do they offer
modifications that would compensate
for the change their plan would make to
digital signal strength standard set forth
in the STELA. Accordingly, the
Commission will use the current
standard for an outdoor antenna as
specified in the digital television
planning factors in OET Bulletin No. 69
in the digital ILLR model.
14. Notwithstanding this decision, the
Commission remains aware and
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concerned that using the outdoor
reception model may result in instances
where a consumer who either cannot
use an outdoor antenna or cannot
receive service using an outdoor
antenna and is not able to receive a
station’s service with an indoor antenna
will be found ineligible for satellite
delivery of a distant network signal.
This concern is mitigated by new localinto-local offerings by satellite carriers,
which the Commission believes will
significantly reduce the number of
instances where satellite subscribers
would need to consider requesting
delivery of distant network signals. Dish
Network now provides local network
stations (local-into-local service) in all
210 DMAs. In addition, DIRECTV now
provides local-into-local service in all
but 60 relatively small markets. The
Commission recognizes that DIRECTV/
DISH will still have to qualify some
distant signals even after they provide
local-into-local service in all 210 DMAs.
However, the locations that they will
not reach with local-into-local service
are likely to be in areas with relatively
small populations that are at the edge of
some DMAs that are served by satellite
service ‘‘spot beams’’ that provide
localized service to the major portion of
a DMA, including its center of
population. Those populations are
served by their carrier’s larger regional
coverage signals that do not have the
local signals carried on the spot beams.
Moreover, the areas not reached by the
spot beams will generally be in less
densely populated areas where there are
generally fewer residences that are not
able to use an outdoor antenna. In
concluding that the outdoor antenna
standard remains appropriate, the
Commission has also considered that
most subscribers who will request
distant signals from their satellite
carriers are likely to be in rural areas
where use of outdoor antennas is more
common and practical than in urban
areas. Dish now serves all 210 DMAs
and only a small number of Dish
subscribers are beyond the spot beams
serving those DMAs and therefore
potentially eligible for distant signals.
Although DIRECTV does not offer local
stations in 60 DMAs, these are small
market areas and mostly in rural areas
where outdoor antennas are likely to be
more prevalent.
15. The Commission also observes
that under section 339(a)(2)(E) of the
Communications Act, satellite TV
subscribers who are denied delivery of
a distant network signal based on the
signal strength predictive model or a
measurement may request a waiver,
through the subscriber’s satellite carrier,
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from the station that asserts that such
retransmission is prohibited. While the
Commission does not know the extent
to which stations have granted such
waivers, the waiver process is available.
It hopes that stations receiving such
waiver requests will consider whether
the subscriber is in an urban area or
residing in a multiple dwelling unit,
and therefore confined to reliance on an
indoor antenna, and that the stations
will act accordingly to grant the waiver
request on a case-by-case basis in such
circumstances. Finally, the Commission
will remain open to consideration of
new ideas, approaches and methods for
identifying households that cannot use
or receive service with an outdoor
antenna that are predicted to be served
by our digital ILLR predictive model.
The Commission is holding this
proceeding open for continued
refinement of the digital TV ILLR
Model, so parties may submit proposals
for such new ideas, approaches and
methods.
16. Time and Location Variability
Factors. The field strength of radio
signals, including television signals, at a
given distance from a transmitter vary
by location and with time due to factors
affecting their propagation. The time
and location (situational) variability
factors are commonly represented using
the notation ‘‘F(L,T),’’ where a signal of
a specified strength level will be
available at L percent of locations T
percent of the time. The variations over
time are also known as ‘‘fading.’’ In the
NPRM, the Commission proposed to use
50% as the location variability factor
and 90% as the time variability factor in
the digital ILLR model, in accordance
with the DTV planning factors. The
SHVIA ILLR model applicable to analog
stations uses 50% as the location
variability and 50% as the time
variability factor.
17. The Commission continues to
believe that the F(50,90) specifications
for time and location variability set forth
in the digital television planning factors
are the appropriate values for those
factors in the digital ILLR model. While
the Commission understands DIRECTV/
DISH’s position that viewers desire
service to be available nearly all the
time and that digital television service
does not degrade gradually, the fact is
that the propagation paths of terrestrial
broadcast television signals are much
different than those of sky-based
satellite signals and this affects the
practically achievable degree of
broadcast signal availability. As
observed in the NPRM, terrestrial
signals follow paths that are close to the
surface and are attenuated by the
natural and man-made surface features
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they encounter along those paths. The
attenuation caused by those features
results in propagation conditions
whereby signal strength varies
statistically by location and time. The
power and/or antenna height needed to
improve broadcast television signal
availability increase in a non-linear
manner such that it is unrealistic to
require such availability to approach
100%. These propagation conditions are
much different than those faced by
satellite signals, which travel over paths
that are generally affected only by
weather and other atmospheric
conditions.
18. The F(50,90) values for digital
television service availability were
established based on an industryGovernment consensus that relied on
the traditional TV service model that
worked well for analog TV service and
that, as argued by the broadcasters, is
also appropriate for digital TV service.
Changing the time variability factor
value to 99% reliability as requested by
the satellite providers would greatly
shrink the predicted local DTV service
areas and would not reflect the
capability of the vast majority of viewers
to receive signals. Moreover, as pointed
out by the Broadcasters and in MSW’s
Engineering Statement, the assumed
10% reduction in signal availability
over time occurs at the outermost limit
of a station’s service area and is not the
typical statistical figure for reliable
reception across a station’s entire
service area. As the distance to a
station’s transmitter decreases, time
availability of the signal above the
noise-limited threshold value also
increases. The Commission also
observes that households at the edge of
a station’s service area can often
improve their reception (and thereby
reduce or eliminate periods when the
station’s signal is not available) by
mounting their antennas higher, using
higher gain antennas, or using low-noise
pre-amplifiers at their antennas. In
addition, it is more likely that a station’s
signal strength at a household that is
located near the edge of its service area
will be predicted to be below the
threshold needed for reception and
therefore eligible for delivery of a
distant signal by its satellite provider.
Accordingly, the Commission finds no
basis for modifying the time variability
factor for broadcast television signals for
purposes of determining a household’s
eligibility for delivery of distant
network signals and therefore will
specify the time and availability factors
in the digital ILLR model as F(50,90).
19. Land Use and Land Cover Factors.
The land use and land cover (LULC)
data provides information on building
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structures and other man-made
terrestrial features and on land cover
features such as forests and open land
that can affect radio propagation.
Inclusion of this data in the prediction
methodology of the SHVIA ILLR TV
computer model significantly enhanced
the accuracy and reliability of its signal
strength predictions. The method for
considering these land cover factors is
to assign certain signal loss values, in
addition to those already factored in the
model for terrain variation, as a function
of the LULC category of the reception
point. More specifically, the field
strength predicted by the basic LongleyRice model is reduced by the clutter loss
value associated with the respective
LULC category. Reception point
environments at individual locations are
classified in terms of the codes used in
the LULC database of the United States
Geological Survey (USGS). In the
NPRM, the Commission proposed to
apply the LULC categories and clutter
loss values for describing land use and
land cover features in the digital TV
ILLR model in the same manner as
currently incorporated into the SHVIA
ILLR model. These values were
specified in the SHVIA First Report and
Order.
20. The Commission concludes that
the LULC categories and clutter loss
values for describing land use and land
cover features in the digital TV ILLR
model should be applied in the digital
ILLR in the same manner as currently
applied in the SHVIA ILLR model.
While the Commission understands the
seeming inconsistency of using no
LULC corrections for VHF signals, it has
found previously that the clutter loss
values used in the current SHVIA ILLR
model, including zero values for VHF
signals, strike the correct balance.
Analysis of the data on the model’s
performance shows that using the
values used in the SHVIA ILLR model
produce approximately an equal
number of over-predictions as underpredictions. Thus, the Commission has
found a range of clutter values,
including zero, that correspond to
different land cover types are valid. It
sees no merit in DIRECTV/DISH’s
argument that the studies used by the
Commission in determining that the
LULC adjustment for VHF signals
should be zero were conducted in some
of the flattest states in the country.
Rather, the Commission finds that the 5
markets examined have varied terrain
characteristics that are sufficient to
represent the terrain in television
markets across the nation. Also, at this
time, the Commission is not aware of
any LULC database that would provide
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more refined or granular information on
land use and land clutter than that
provided by the USGS LULC database.
In this regard, DIRECTV/DISH’s
suggestion to use Google Earth is not
practical as that service provides does
not provide data on terrain and surface
clutter variation. The Commission also
will not alter the LULC correction
factors to add additional attenuation to
account for lower antenna heights as the
model will continue to use the same 30
foot (9 meters) and 20 foot (6 meters)
antenna heights used in the SHVIA ILLR
model. The Commission also finds that
it would not be practical to introduce
clutter height and density factors into
the clutter calculations of the ILLR
software at this time as suggested by Mr.
Shumate. Also, there is no height and
density information available for the
current LULC data. Accordingly, the
Commission will apply the land use and
land cover categories and USGS cluttler
loss values for describing land use and
land cover features in the digital TV
ILLR model in the same manner as these
elements are currently incorporated into
the SHVIA ILLR model.
21. Multicast program streams. In the
NPRM, the Commission stated that it
believes that the proposed digital signal
strength prediction model would
account for multicast as well as primary
streams that are transmitted by a station
and affiliated with one or more
networks. Therefore, it proposed to
provide no special adjustment in the
model to predict the availability of
network signals that are transmitted on
multicast streams, rather than on a
station’s primary program stream. In
their comments, the Broadcasters agree
with the Commission’s position in the
NPRM that all multicast streams can be
treated equally for purposes of both
prediction and measurement of signal
strength. They note that all of the
streams arrive on the same signal and at
the same strength and that the different
programming on multicast channels
simply consists of different packets
within a station’s transport stream.
22. The Commission finds that there
is no need for adjusting predictions
from the digital ILLR model to reflect
the added reference to network affiliated
multicast streams in the STELA. The
prediction of signal strength for a digital
television broadcast signal applies
regardless of the content, including the
presence of multicast program streams.
If a household is predicted to receive a
station, then all of that station’s program
streams would be received equally.
Accordingly, the Commission will not
provide any special adjustment or
procedure in the model for network
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signals carried on multicast program
streams.
B. Other Issues
23. Previous findings of eligibility. In
the NPRM, the Commission proposed to
uphold any previous findings of
eligibility for delivery of distant signals
based on the predictive model in the
event that it were to update that model
and a prediction from the updated
model were to indicate that a previously
unserved location could receive service
from a local network station. In its
comments, CDE observes that because of
changes many television stations are
still making to their digital operations,
the potential situation arises for those
stations that a lack-of-service
determination under STELA may be
rendered moot at a later date by an
upgrade in their television facilities and
improved off-the-air service. It asks that
the Commission clarify how the
predictive model is to be administered
for those viewers who opted at one
juncture to choose satellite service due
to lack of off-the-air service but later are
predicted to receive off-the-air service as
a result of an upgrade to a stations
facilities.
24. The Commission continues to
believe that it is appropriate to
‘‘grandfather’’ the eligibility of
households in cases where a location
was predicted to be unserved by a local
network station using an adopted
version of the digital ILLR model and
the household at that location is
receiving a signal of that network from
a distant station by its satellite provider.
This provision will avoid disruption of
the existing services to which
households have been accustomed to
receiving if the Commission updates the
digital ILLR model or a station modifies
its transmission facilities. This
grandfathering will apply only in cases
where the household already is
receiving a distant signal from its
satellite provider prior to a change in
the digital ILLR prediction model or in
the coverage of the local station.
25. Analog Low Power TV and TV
Translator Stations. Although all fullservice television stations converted
fully to digital operation on June 12,
2009, TV translator and low power/
Class A TV stations were not required
to make that conversion and many of
those stations continue to broadcast in
analog format. In the NPRM the
Commission, recognizing the provisions
of Section 205 of the STELA and that
many TV translators and low power TV
stations continue to transmit analog
signals, tentatively concluded that it
would continue to apply the existing
analog SHVIA ILLR model specified in
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OET Bulletin No. 72 for predicting
signal strengths in distant network
eligibility cases involving TV translator
and low-power/Class A television
stations that use the analog TV standard
to broadcast their own programming or
to retransmit the content of local digital
network stations. In their comments, the
Broadcasters support the Commission’s
proposal to continue to use the analog
SHVIA ILLR model for LPTV, Class A,
and translator stations that are still
broadcasting using the analog
transmission standard. They state that,
to the extent such stations continue
broadcasting in analog, it makes sense to
continue to use the Commission’s
existing tools for predicting analog
signal reception, including OET Bulletin
72. They state that those tools have
worked well for years and there is no
reason not to continue to employ them
with this category of stations.
26. Consistent with Section 205 of the
STELA, the Commission will continue
to apply the methods in OET Bulletin
No. 72 for predicting the signal
strengths of TV translator and low
power/Class A stations that operate
using the analog TV standard. It sees no
reason or basis for changing from the
use of the SHVIA ILLR model for
obtaining predictions of signal strength
for determining eligibility for satellite
delivery of distant network signals for
those stations.
27. Procedure for Continued
Refinement of the Digital TV ILLR
Model. The STELA requires that the
Commission establish procedures for
continued refinement in the application
of the digital TV ILLR model through
use of additional data as it becomes
available. In the NPRM, the Commission
proposed to comply with this
requirement by establishing a procedure
under which it would consider possible
changes to OET Bulletin No. 73 (which
describes the model and is referenced in
the rules) to implement improvements
to the model. The commenting parties
did not address our proposals for the
procedures for continued refinement of
the application of the digital TV ILLR
model.
28. The Commission continues to
believe the most efficient, effective, fair,
transparent and timely approach for
revising the digital TV ILLR model if
new information becomes available is to
hold open the docket in this proceeding
and then conduct further rule making as
proposed in the NPRM. This plan is
consistent with the Commission’s past
action concerning the SHVIA model.
Given that the digital ILLR model is
being incorporated into its rules, the
Commission believes that this plan also
is consistent with the requirements of
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section 553 of the Administrative
Procedures Act. Parties with new data,
analysis or other information relating to
improving the predictive model will be
able to submit requests to modify the
model in the instant docket. The
Commission has instructed OET to
evaluate such requests and, as
appropriate, prepare a Notice of
Proposed Rulemaking for consideration
by the Commission. The Commission
also could initiate rulemaking action on
its own motion.
29. Stations to Consider for Distant
Signals. Under the SHVIA and the
SHVERA, the predicted signal strengths
of all the stations affiliated with the
same network were considered,
regardless of those stations’ DMAs. That
is, if a satellite subscriber desired to
receive the distant signal of the ‘‘XYZ’’
network, then the predicted results from
any stations affiliated with the XYZ
network would be analyzed for that
subscriber’s location. If one or more of
those affiliated stations were predicted
to deliver a signal of the requisite
intensity, the subscriber would be
predicted ‘‘served’’ by that network and
not eligible for a distant signal from that
network unless each of the stations
predicted to serve the subscriber granted
a waiver. Section 102 of the STELA
changes this regime by specifying that
only ‘‘local’’ stations are to be
considered, i.e., stations that are located
in the same DMA as the satellite
subscriber. In the NPRM, the
Commission proposed to address this
statutory modification by changing the
way the digital ILLR model’s results are
to be used, rather than through a change
in the digital TV ILLR model itself that
would limit the signals examined to
those located in the same DMA as the
subscriber. That is, instead of having the
computer software for the model limit
consideration of network stations to any
such stations in the subscriber’s DMA
that the model predicts to be available,
the Commission proposed to amend its
rules to specify that satellite carriers are
required to consider only the signals of
network stations located in the
subscriber’s DMA in determining
whether a subscriber is eligible for
delivery of distant network signals. The
commenting parties did not address this
issue.
30. The Commission is adopting its
proposal to address the statutory change
to limit the network stations to be
considered in satellite signal delivery
eligibility cases to those stations that are
located in the same DMA as the satellite
subscriber by amending its rules to
specify that eligibility determinations
are to consider only the signals of
network stations located in the
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subscriber’s DMA. The Commission
notes that this statutory change will also
reduce the burden associated with
distant network signal eligibility waiver
requests by reducing the number of
stations from which a waiver would
need to be requested. In addition, this
change will reduce the burden of on-site
measurement of signal strengths where
such tests are performed for the purpose
of determining a satellite subscriber’s
eligibility to receive distant signals.
Procedural Matters
Final Regulatory Flexibility Analysis
31. As required by the Regulatory
Flexibility Act of 1980, as amended
(RFA) 1 an Initial Regulatory Flexibility
Analysis (IRFA) was incorporated in the
Notice of Proposed Rulemaking (NPRM)
to this proceeding.2 The Commission
sought written public comment on the
proposals in the NPRM, including
comment on the IRFA. The Commission
received no comments on the IRFA.
This present Final Regulatory Flexibility
Analysis (‘‘FRFA’’) conforms to the
RFA.3
A. Need for and Objectives of the
Report and Order. In this Report and
Order, we are adopting a point-to-point
predictive model for determining the
ability of individual locations to receive
an over-the-air digital television
broadcast signal at the intensity level
needed for service through the use of an
antenna as required by the STELA.4 The
new digital ILLR model will be used as
a means for reliably and presumptively
determining whether individual
households are eligible to receive the
signals of distant network-affiliated
digital television stations, including TV
translator and low power television
stations, from their satellite carrier. The
1 See 5 U.S.C. 603. The RFA, see 5 U.S.C. 601 et.
seq., has been amended by the Small Business
Regulatory Enforcement Fairness Act of 1996
(‘‘SBREFA’’), Public Law 104–121, Title II, 110 Stat.
847 (1996). The SBREFA was enacted as Title II of
the Contract With America Advancement Act of
1996 (CWAAA).
2 Implementation of the Satellite Home Viewer
Extension and Reauthorization Act of 2004, 20 FCC
Rcd 2983, Appendix C (2005) (NPRM).
3 See 5 U.S.C. 604.
4 In its implementation provisions, the STELA
also requires that the Commission issue an order
completing its rulemaking to establish a procedure
for on-site measurement of digital television signals
in ET Docket No. 06–94. 47 U.S.C. 339(c)(3)(B). In
the Notice of Proposed Rulemaking (NPRM) and
Further Notice of Rulemaking (FNPRM) preceding
the instant Report and Order, the Commission
requested additional comment in the ET Docket No.
06–94 signal measurement proceeding. We are
today, in a separate action in that docket, issuing
a Report and Order to establish the required
procedure for on-site measurement of digital
television signals. See Report and Order in ET
Docket No. 06–94, FCC 10–195, adopted November
22, 2010.
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predictive model we are adopting,
which is based on the current model for
predicting the intensity of analog
television signals at individual
locations, will allow such
determinations to be made in a timely
and cost effective manner for all parties
involved, including network TV
stations, satellite carriers and satellite
subscribers. We are also providing a
plan for the model’s continued
refinement by use of additional data as
it may become available. Under that
plan, refinements based on additional
data may be proposed by referencing the
docket of this proceeding, which will be
held open indefinitely for this purpose.
Consistent with this intention to refine
the model as new information becomes
available, we are also initiating a
Further Notice of Proposed Rulemaking
herein to request comment on possible
modifications to the methodology in the
digital Individual Location Longley-Rice
(ILLR) model to improve its predictive
accuracy as suggested by one of the
parties responding to the NPRM in this
proceeding.
B. Summary of Significant Issues
Raised by Public Comments in Response
to the IRFA: There were no comments
filed that specifically addressed the
rules and policies propose in the IRFA.
C. Description and Estimates of the
Number of Small Entities to Which the
Rules will apply: The RFA directs
agencies to provide a description of and,
where feasible, an estimate of the
number of small entities that will be
affected by the rules adopted herein.5
The RFA generally defines the term
‘‘small entity’’ as having the same
meaning as the terms ‘‘small business,’’
‘‘small organization,’’ and ‘‘small
governmental jurisdiction.’’ 6 In
addition, the term ‘‘small business’’ has
the same meaning as the term ‘‘small
business concern’’ under the Small
Business Act.7 A small business concern
is one which: (1) Is independently
owned and operated; (2) is not
dominant in its field of operation; and
(3) satisfies any additional criteria
established by the Small Business
Administration (SBA).8
55
U.S.C. 603(b)(3), 604(a)(3).
601(6).
7 5 U.S.C. 601(3) (incorporating by reference the
definition of ‘‘small business concern’’ in the Small
Business Act, 15 U.S.C. 632). Pursuant to 5 U.S.C.
601(3), the statutory definition of a small business
applies ‘‘unless an agency, after consultation with
the Office of Advocacy of the Small Business
Administration and after opportunity for public
comment, establishes one or more definitions of
such terms which are appropriate to the activities
of the agency and publishes such definitions(s) in
the Federal Register.’’
8 15 U.S.C. 632.
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Nationwide, there are a total of
approximately 29.6 million small
businesses, according to the SBA.9 A
‘‘small organization’’ is generally ‘‘any
not-for-profit enterprise which is
independently owned and operated and
is not dominant in its field.’’ 10
Nationwide, as of 2002, there were
approximately 1.6 million small
organizations.11 The term ‘‘small
governmental jurisdiction’’ is defined
generally as ‘‘governments of cities,
towns, townships, villages, school
districts, or special districts, with a
population of less than fifty
thousand.’’ 12 Census Bureau data for
2002 indicate that there were 87,525
local governmental jurisdictions in the
United States.13 We estimate that, of this
total, 84,377 entities were ‘‘small
governmental jurisdictions.’’ 14 Thus, we
estimate that most governmental
jurisdictions are small.
Cable Television Distribution
Services. The ‘‘Cable and Other Program
Distribution’’ census category includes
cable systems operators, closed circuit
television services, direct broadcast
satellite services, multipoint
distribution systems, satellite master
antenna systems, and subscription
television services. Since 2007, these
services have been defined within the
broad economic census category of
Wired Telecommunications Carriers;
that category is defined as follows: ‘‘This
industry comprises establishments
primarily engaged in operating and/or
providing access to transmission
facilities and infrastructure that they
own and/or lease for the transmission of
voice, data, text, sound, and video using
wired telecommunications networks.
Transmission facilities may be based on
a single technology or a combination of
technologies. Establishments in this
industry use the wired
telecommunications network facilities
that they operate to provide a variety of
services, such as wired telephony
services, including VoIP services; wired
(cable) audio and video programming
distribution; and wired broadband
9 See SBA, Office of Advocacy, ‘‘Frequently
Asked Questions,’’ https://web.sba.gov/faqs/
faqindex.cfm?areaID=24 (revised Sept. 2009).
10 5 U.S.C. 601(4).
11 Independent Sector, The New Nonprofit
Almanac & Desk Reference (2002).
12 5 U.S.C. 601(5).
13 U.S. Census Bureau, Statistical Abstract of the
United States: 2006, Section 8, page 272, Table 415.
14 We assume that the villages, school districts,
and special districts are small, and total 48,558. See
U.S. Census Bureau, Statistical Abstract of the
United States: 2006, section 8, page 273, Table 417.
For 2002, Census Bureau data indicate that the total
number of county, municipal, and township
governments nationwide was 38,967, of which
35,819 were small. Id.
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Internet services. By exception,
establishments providing satellite
television distribution services using
facilities and infrastructure that they
operate are included in this industry.’’
The SBA has developed a small
business size standard for this category,
which is: All such firms having 1,500 or
fewer employees. To gauge small
business prevalence for these cable
services the Commission must,
however, use current census data that
are based on the previous category of
Cable and Other Program Distribution
and its associated size standard; that
size standard was: All such firms having
$13.5 million or less in annual receipts.
According to Census Bureau data for
2002, there were a total of 1,191 firms
in this previous category that operated
for the entire year. Of this total, 1,087
firms had annual receipts of under $10
million, and 43 firms had receipts of
$10 million or more but less than $25
million. Thus, the majority of these
firms can be considered small.
Direct Broadcast Satellite (DBS)
Service. DBS service is a nationally
distributed subscription service that
delivers video and audio programming
via satellite to a small parabolic ‘‘dish’’
antenna at the subscriber’s location.
Because DBS provides subscription
services, DBS falls within the SBArecognized definition of Wired
Telecommunications Carriers. However,
as discussed above, the Commission
relies on the previous size standard,
Cable and Other Subscription
Programming, which provides that a
small entity is one with $13.5 million or
less in annual receipts. Currently, only
two operators—DirecTV and EchoStar
Communications Corporation
(EchoStar)—hold licenses to provide
DBS service, which requires a great
investment of capital for operation. Both
currently offer subscription services and
report annual revenues that are in
excess of the threshold for a small
business. Because DBS service requires
significant capital, the Commission
believes it is unlikely that a small entity
as defined by the SBA would have the
financial wherewithal to become a DBS
licensee. Nevertheless, given the
absence of specific data on this point,
the Commission acknowledges the
possibility that there are entrants in this
field that may not yet have generated
$13.5 million in annual receipts, and
therefore may be categorized as a small
business, if independently owned and
operated.
Television Broadcasting. The rules
and policies apply to television
broadcast licensees and potential
licensees of television service. The SBA
defines a television broadcast station as
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a small business if such station has no
more than $14 million in annual
receipts.15 Business concerns included
in this industry are those ‘‘primarily
engaged in broadcasting images together
with sound.’’ 16 The Commission has
estimated the number of licensed
commercial television stations to be
1,392.17 According to Commission staff
review of the BIA/Kelsey, MAPro
Television Database (BIA) as of April 7,
2010, about 1,015 of an estimated 1,380
commercial television stations 18 (or
about 74 percent) have revenues of $14
million or less and thus qualify as small
entities under the SBA definition. The
Commission has estimated the number
of licensed non-commercial educational
(NCE) television stations to be 390.19 We
note, however, that, in assessing
whether a business concern qualifies as
small under the above definition,
business (control) affiliations 20 must be
included. Our estimate, therefore, likely
overstates the number of small entities
that might be affected by our action,
because the revenue figure on which it
is based does not include or aggregate
revenues from affiliated companies. The
Commission does not compile and
otherwise does not have access to
information on the revenue of NCE
stations that would permit it to
determine how many such stations
would qualify as small entities.
In addition, an element of the
definition of ‘‘small business’’ is that the
entity not be dominant in its field of
operation. We are unable at this time to
define or quantify the criteria that
would establish whether a specific
15 See
13 CFR 121.201, NAICS Code 515120.
This category description continues, ‘‘These
establishments operate television broadcasting
studios and facilities for the programming and
transmission of programs to the public. These
establishments also produce or transmit visual
programming to affiliated broadcast television
stations, which in turn broadcast the programs to
the public on a predetermined schedule.
Programming may originate in their own studios,
from an affiliated network, or from external
sources.’’ Separate census categories pertain to
businesses primarily engaged in producing
programming. See Motion Picture and Video
Production, NAICS code 512110; Motion Picture
and Video Distribution, NAICS Code 512120;
Teleproduction and Other Post-Production
Services, NAICS Code 512191; and Other Motion
Picture and Video Industries, NAICS Code 512199.
17 See News Release, ‘‘Broadcast Station Totals as
of December 31, 2009,’’ 2010 WL 676084
(F.C.C.)(dated Feb. 26, 2010) (Broadcast Station
Totals); also available at https://www.fcc.gov/mb/.
18 We recognize that this total differs slightly from
that contained in Broadcast Station Totals, supra
note 446; however, we are using BIA’s estimate for
purposes of this revenue comparison.
19 See Broadcast Station Totals, supra note 239.
20 ‘‘[Business concerns] are affiliates of each other
when one concern controls or has the power to
control the other or a third party or parties controls
or has the power to control both.’’ 13 CFR
121.103(a)(1).
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television station is dominant in its field
of operation. Accordingly, the estimates
of small businesses to which rules may
apply do not exclude any television
station from the definition of a small
business on this basis and are therefore
over-inclusive to that extent. Also as
noted, an additional element of the
definition of ‘‘small business’’ is that the
entity must be independently owned
and operated. We note that it is difficult
at times to assess these criteria in the
context of media entities and our
estimates of small businesses to which
they apply may be over-inclusive to this
extent.
Class A TV, LPTV, and TV translator
stations. The rules and policies adopted
in this Report and Order include
licensees of Class A TV stations, low
power television (LPTV) stations, and
TV translator stations, as well as
potential licensees in these television
services. The same SBA definition that
applies to television broadcast licensees
would apply to these stations. The SBA
defines a television broadcast station as
a small business if such station has no
more than $14 million in annual
receipts.21 Currently, there are
approximately 537 licensed Class A
stations, 2,386 licensed LPTV stations,
and 4,359 licensed TV translators.22
Given the nature of these services, we
will presume that all of these licensees
qualify as small entities under the SBA
definition. We note, however, that
under the SBA’s definition, revenue of
affiliates that are not LPTV stations
should be aggregated with the LPTV
station revenues in determining whether
a concern is small. Our estimate may
thus overstate the number of small
entities since the revenue figure on
which it is based does not include or
aggregate revenues from non-LPTV
affiliated companies. We do not have
data on revenues of TV translator or TV
booster stations, but virtually all of
these entities are also likely to have
revenues of less than $14 million and
thus may be categorized as small, except
to the extent that revenues of affiliated
non-translator or booster entities should
be considered.
D. Description of Projected Reporting,
Recordkeeping and Other Compliance
Requirement for Small Entities. We are
adopting the methodology and
parameters for describing the basic
radiofrequency environment of the
SHVIA ILLR model as proposed in the
NPRM for the digital ILLR model. As
indicated by the Broadcasters and CDE,
the methodology in the ILLR model as
modified over time has been time-tested
21 See
22 See
PO 00000
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Broadcast Station Totals, supra note 239.
Frm 00076
Fmt 4700
Sfmt 4700
and proven successful. We expect that
the new digital ILLR model will provide
the same reliable and accurate
predictions of signal availability as the
analog SHVIA ILLR model. Like its
predecessor, the new model
incorporates features to account for the
radio propagation environment through
which television signals pass and the
receiving systems used by consumers.
These features are described in the
‘‘planning factors’’ that describe a set of
assumptions for digital and analog
television reception systems.23 Since
digital and analog television signals are
transmitted in the same frequency
bands, the planning factors affecting
basic propagation of signals using the
two different modulation methods and
the background noise level are the same.
We therefore have not modified in the
digital ILLR model any of the
parameters of the SHVIA ILLR model
that describe basic propagation and the
background noise levels. The planning
factors that are different for digital and
analog signals include antenna location
(outdoor vs. indoor) and performance,
time and location variability, and land
use and land cover. We also observe that
the planning factor differences for
antenna location and performance and
for time and location variability are
incorporated into the threshold signal
level for reception for digital television
service, which the STELA directs to be
set at the noise-limited levels specified
in § 73.622(e)(1).
E. Steps Taken to Minimize
Significant Economic Impact on Small
Entities, and Significant Alternatives
Considered. The RFA requires an
agency to describe any significant
alternatives that it has considered in
reaching its proposed approach, which
may include the following four
alternatives (among others): (1) The
establishment of differing compliance or
reporting requirements or timetables
that take into account the resources
available to small entities; (2) the
clarification, consolidation, or
simplification of compliance or
reporting requirements under the rule
for small entities; (3) the use of
performance, rather than design,
standards; and (4) an exemption from
23 The planning factors for analog television
assume a height of 30 feet, which is slightly
different from the height of 10 meters (33 feet) used
in the digital planning factors. The planning factors
for analog TV are provided in Robert A. O’Conner,
‘‘Understanding Television’s Grade A and Grade B
Service Contours,’’ IEEE Transactions on
Broadcasting, Vol. BC–14, No. 4, December 1968
(O’Connor) at page 142; the planning factors of
digital TV are set forth in OET Bulletin No. 69 at
Table 3.
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Federal Register / Vol. 75, No. 245 / Wednesday, December 22, 2010 / Rules and Regulations
coverage of the rule, or any part thereof,
for small entities.24
We are not adopting the revisions to
the estimating methodology proposed
by Mr. Shumate as we have not had an
opportunity to fully explore the changes
he suggests.25 Nonetheless, we believe
there may be merit in the improvements
he describes for the methodology for
predicting digital television signal
strengths at individual locations and
perhaps more generally, and that they
warrant our further investigation as
possible modifications to the digital
ILLR model. We are therefore
addressing his proposals for improving
the ILLR methodology in the Further
Notice of Proposed Rulemaking herein.
We also are not acting on Adaptrum’s
suggestion that we allow optional use of
the digital ILLR model for prediction of
signal strengths for purposes of
identifying unused spectrum in the TV
bands where unlicensed devices could
operate as it is beyond the scope of this
proceeding.26
32. Report to Congress: The
Commission will send a copy of the
Report and Order, including this FRFA,
in a report to be sent to Congress
pursuant to the Congressional Review
Act.27 In addition, the Commission will
send a copy of the Report and Order,
including this FRFA, to the Chief
Counsel for Advocacy of the SBA.
33. Paperwork Reduction Act
Analysis: This document does not
contain proposed information
collection(s) subject to the Paperwork
Reduction Act of 1995 (PRA), Public
Law 104–13. In addition, therefore, it
does not contain any new or modified
‘‘information collection burden for small
business concerns with fewer than 25
employees,’’ pursuant to the Small
Business Paperwork Relief Act of 2002,
Public Law 107–198, see 44 U.S.C.
3506(c)(4).
24 5
U.S.C. 603(c).
para.16 of the Report and Order, FCC 10–
25 See
194.
26 See
para.17 of the Report and Order, FCC 10–
194.
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27 See
5 U.S.C. 801(a)(1)(A).
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Ordering Clauses
34. Pursuant to sections 1, 4, 301, and
339(c)(3) of the Communications Act of
1934, as amended, 47 U.S.C. 151, 154,
301, 339(c)(3), and section 119(d)(10)(a)
of the Copyright Act, 17 U.S.C.
119(d)(10)(a), this report and order is
hereby adopted.
35. Part 73 of the Commission’s rules
is amended as specified in Appendix A
and such rule amendment shall be
effective January 21, 2011.
36. The Commission’s Consumer and
Governmental Affairs Bureau, Reference
Information Center, shall send a copy of
this report and order, including the
Initial Regulatory Flexibility
Certification, and IRFA, to the Chief
Counsel for Advocacy of the Small
Business Administration.
List of Subjects in 47 CFR Part 73
Communications equipment,
Reporting and recordkeeping
requirements, Television.
Federal Communications Commission.
Marlene H. Dortch,
Secretary.
Final Rules
For the reasons discussed in the
preamble, the Federal Communications
Commission amends Part 73 to read as
follows:
■
PART 73—RADIO BROADCAST
SERVICES
1. The authority citation for part 73
continues to read as follows:
■
Authority: 47 U.S.C. 154, 303, 334, 336
and 339.
2. Section 73.683 is amended by
revising paragraphs (d) and (e) to read
as follows:
■
§ 73.683 Field strength contours and
presumptive determination of field strength
at individual locations.
*
*
*
*
*
(d) For purposes of determining the
eligibility of individual households for
satellite retransmission of distant
network signals under the copyright law
provisions of 17 U.S.C. 119(d)(10)(A),
PO 00000
Frm 00077
Fmt 4700
Sfmt 9990
80363
field strength shall be determined by the
Individual Location Longley-Rice (ILLR)
propagation prediction model. Such
eligibility determinations shall consider
only the signals of network stations
located in the subscriber’s Designated
Market Area. Guidance for use of the
ILLR model in predicting the field
strength of analog television signals for
such determinations is provided in OET
Bulletin No. 72 (stations operating with
analog signals include some Class A
stations licensed under part 73 of this
chapter and some licensed low power
TV and TV translator stations that
operate under part 74 of this chapter).
Guidance for use of the ILLR model in
predicting the field strength of digital
television signals for such
determinations is provided in OET
Bulletin No. 73 (stations operating with
digital signals include all full service
stations and some Class A stations that
operate under part 73 of this chapter
and some low power TV and TV
translator stations that operate under
Part 74 of this chapter). OET Bulletin
No. 72 and OET Bulletin No. 73 are
available at the FCC’s Headquarters
Building, 445 12th St., SW., Reference
Information Center, Room CY–A257,
Washington, DC, or at the FCC’s Office
of Engineering and Technology (OET)
Web site: https://www.fcc.gov/oet/info/
documents/bulletins/.
(e) If a location was predicted to be
unserved by a local network station
using a version of the ILLR model
specified in OET Bulletin No. 72 or OET
Bulletin No. 73, as appropriate, and the
satellite subscriber at that location is
receiving a distant signal affiliated with
the same network from its satellite
provider, the satellite subscriber shall
remain eligible for receiving the distant
signal from its satellite provider if that
location is subsequently predicted to be
served by the local station due to either
a change in the ILLR model or a change
in the station’s operations that change
its coverage.
*
*
*
*
*
[FR Doc. 2010–32037 Filed 12–21–10; 8:45 am]
BILLING CODE 6712–01–P
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Agencies
[Federal Register Volume 75, Number 245 (Wednesday, December 22, 2010)]
[Rules and Regulations]
[Pages 80354-80363]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2010-32037]
=======================================================================
-----------------------------------------------------------------------
FEDERAL COMMUNICATIONS COMMISSION
47 CFR Part 73
[ET Docket No. 10-152; FCC 10-194]
Satellite Television Extension and Localism Act of 2010 and
Satellite Home Viewer Extension and Reauthorization Act of 2004
AGENCY: Federal Communications Commission.
ACTION: Final rule.
-----------------------------------------------------------------------
SUMMARY: In this document the Commission, adopts a point-to-point
predictive model for determining the ability of individual locations to
receive an over-the-air digital television broadcast signal at the
intensity level needed for service through the use of an antenna as
required by the Satellite Television Extension and Localism Act of 2010
(STELA). The STELA reauthorizes the Satellite Home Viewer Extension and
Reauthorization Act of 2004 (SHVERA) by extending the statutory
copyright license for satellite carriage of distant broadcast signals,
as well as provisions in the Communications Act, and by amending
certain provisions in the Communications Act and the Copyright Act.
DATES: Effective January 21, 2011.
ADDRESSES: Federal Communications Commission, 445 12th Street, SW.,
Washington, DC 20554.
FOR FURTHER INFORMATION CONTACT: Alan Stillwell, Office of Engineering
and Technology, (202) 418-2925, e-mail: Alan.Stillwell@fcc.gov, TTY
(202) 418-2989.
SUPPLEMENTARY INFORMATION: This is a summary of the Commission's Report
and Order, ET Docket No. 10-152, FCC 10-194, adopted November 22, 2010
and released November 23, 2010. The full text of this document is
available for inspection and copying during normal business hours in
the FCC Reference Center (Room CY-A257), 445 12th Street, SW.,
Washington, DC 20554. The complete text of this document also may be
purchased from the Commission's copy contractor, Best Copy and
Printing, Inc., 445 12th Street, SW., Room, CY-B402, Washington, DC
20554. The full text may also be downloaded at: https://www.fcc.gov.
People with Disabilities: To request materials in accessible
formats for people with disabilities (braille, large print, electronic
files, audio format), send an e-mail to fcc504@fcc.gov or call the
Consumer & Governmental Affairs Bureau at 202-418-0530 (voice), 202-
418-0432 (tty).
Summary of Report and Order
1. The Satellite Television Extension and Localism Act of 2010
(STELA) reauthorizes the Satellite Home Viewer Extension and
Reauthorization Act of
[[Page 80355]]
2004 (SHVERA) by extending the statutory copyright license for
satellite carriage of distant broadcast signals, as well as provisions
in the Communications Act, and amending certain provisions in the
Communications Act and the Copyright Act. To implement the new
statutory regime, the STELA, inter alia, requires the Commission to
``develop and prescribe by rule a point-to-point predictive model for
reliably and presumptively determining the ability of individual
locations, through the use of an antenna, to receive signals in
accordance with the signal intensity standard in Sec. 73.622(e)(1) of
[its rules], or a successor regulation, including to account for the
continuing operation of translator stations and low power television
stations.'' In this action, the Commission has adopted a point-to-point
predictive model for determining the ability of individual locations to
receive an over-the-air digital television broadcast signal at the
intensity level needed for service through the use of an antenna as
required by the STELA. The new digital ILLR model will be used as a
means for reliably and presumptively determining whether individual
households are eligible to receive the signals of distant network-
affiliated digital television stations, including TV translator and low
power television stations, from their satellite carrier. The predictive
model the Commission adopts, which is based on the current model for
predicting the intensity of analog television signals at individual
locations, will allow such determinations to be made in a timely and
cost effective manner for all parties involved, including network TV
stations, satellite carriers and satellite subscribers. The Commission
is also providing a plan for the model's continued refinement by use of
additional data as it may become available. Under that plan,
refinements based on additional data may be proposed by referencing the
docket of this proceeding, which will be held open indefinitely for
this purpose. Consistent with this intention to refine the model as new
information becomes available, the Commission has also initiated a
Further Notice of Proposed Rulemaking published elsewhere in this
issue, in this proceeding to request comment on possible modifications
to the methodology in the digital ILLR model to improve its predictive
accuracy as suggested by one of the parties responding to the Notice of
Proposed Rulemaking (NPRM), 75 FR 46885, August 4, 2010, in this
proceeding.
2. As directed by Congress in the STELA, the Commission is adopting
a new digital ILLR model for predicting the ability of individual
locations to receive, through use of an antenna, an over-the-air
digital television broadcast signal in accordance with the intensity
standards specified in Sec. 73.622(e)(1) of our rules. This new model
will be established in the Commission's rules as the point-to-point
model for presumptively determining the ability of individual locations
to receive with an antenna the digital signals of full service
television stations, low power television stations (including digital
Class A stations) and TV translator stations. Consistent with the
specifications in the STELA, the Commission is basing this new model on
the SHVIA ILLR model that it adopted in CS Docket No. 98-201, Report
and Order, 64 FR 7113, February 12, 1999, as revised previously, for
use in predicting the signal strengths of analog television signals.
The new digital ILLR model incorporates parameters and features
appropriate for prediction of the signal strengths of digital
television signals. The Commission also adopts a procedure for
continued refinement of this model through use of additional data and
information as it may become available. As part of that effort, the
Commission requested comment on possible revisions to the digital ILLR
model in the Further Notice of Proposed Rulemaking, published elsewhere
in this issue, adopted November 22, 2010 in this proceeding.
3. In developing the new model, the Commission considered, in
addition to the modifications necessary to enable the model to predict
digital television signal strengths, three ways in which the STELA
revises the definition of ``unserved household'': (1) The definition
now references an ``antenna'' without specifying the kind of antenna or
where it is located; (2) the definition specifically recognizes both a
``primary stream'' and a ``multicast stream'' affiliated with a
network; and (3) the definition now limits network stations whose
signals are to be considered to those network affiliates in the same
DMA as the subscriber. The new STELA digital ILLR model and its
specifications are described in OET's new ``OET Bulletin No. 73'' in
Appendix A of the Report and Order.
A. The ILLR Model for Digital Television Signals
4. The Commission is adopting the methodology and parameters for
describing the basic radiofrequency environment of the SHVIA ILLR model
as proposed in the NPRM for the digital ILLR model. As indicated by the
Broadcasters and CDE, the methodology in the ILLR model as modified
over time has been time-tested and proven successful. The Commission
expects that the new digital ILLR model will provide the same reliable
and accurate predictions of signal availability as the analog SHVIA
ILLR model. Like its predecessor, the new model incorporates features
to account for the radio propagation environment through which
television signals pass and the receiving systems used by consumers.
These features are described in the ``planning factors'' that describe
a set of assumptions for digital and analog television reception
systems. Since digital and analog television signals are transmitted in
the same frequency bands, the planning factors affecting basic
propagation of signals using the two different modulation methods and
the background noise level are the same. The Commission is not
modifying in the digital ILLR model any of the parameters of the SHVIA
ILLR model that describe basic propagation and the background noise
levels. The planning factors that are different for digital and analog
signals include antenna location (outdoor vs. indoor) and performance,
time and location variability, and land use and land cover. The
Commission's decisions on each of these features in the digital ILLR
model are discussed. The Commission also observes that the planning
factor differences for antenna location and performance and for time
and location variability are incorporated into the threshold signal
level for reception for digital television service, which the STELA
directs to be set at the noise-limited levels specified in Sec.
73.622(e)(1).
5. The Commission is not including adjustments to account for
interference and multipath in the digital ILLR model. As the Commission
observed in its 2005 Report to Congress, a receiver's ability to
provide service in the presence of interfering signals is not relevant
to the field strength needed to provide service. While the presence of
other signals on the same or adjacent channels does have the potential
for disrupting service, the effects of other signals are a separate
matter from the basic functioning of a receiver in an interference-free
environment that forms the basis for the Commission's field strength
standards. With regard to multipath, in the 2005 Report to Congress,
the Commission finds that while the sensitivity of television receivers
may degrade to a small degree when they process multipath signals, the
difficult multipath conditions under which
[[Page 80356]]
degradation of as much as 2 dB could occur are not expected to be the
norm. Moreover, the incidence of multipath varies significantly over
very short distances and the level of multipath and its character is
generally not a predictable factor. Further, the Commission sees no
indication in the STELA that Congress intended that it add interference
or multipath consideration to the signal strength standard. The
Commission also observes that at locations where interference or
multipath are present, consumers can often take steps such as
repositioning or re-orienting their antenna to resolve the impact and
achieve reception. Accordingly, the Commission finds no basis or need
for including adjustments to the digital ILLR model for interference or
multipath.
6. The Commission is not adopting the revisions to the estimating
methodology proposed by Mr. Shumate as it has not had an opportunity to
fully explore the changes he suggests. Therefore, the Commission is not
addressing his proposals for improving the ILLR methodology in the
Further Notice of Proposed Rulemaking herein. Nonetheless, the
Commission believes there may be merit in the improvements he describes
for the methodology for predicting digital television signal strengths
at individual locations and perhaps more generally, and that they
warrant further investigation as possible modifications to the digital
ILLR model. The Commission will explore these improvements through a
Further Notice of Proposed Rulemaking that is included in the instant
action. It also is not acting on Adaptrum's suggestion that we allow
optional use of the digital ILLR model for prediction of signal
strengths for purposes of identifying unused spectrum in the TV bands
where unlicensed devices could operate as it is beyond the scope of
this proceeding.
7. Antenna Location and Performance. In the NPRM, the Commission
proposed to use the current standard for an outdoor antenna as
specified in the DTV planning factors in OET Bulletin No. 69 for
predicting digital television signal strengths at individual locations,
citing the information and conclusions regarding outdoor and indoor
antennas in the 2005 Report to Congress. As set forth in the OET
Bulletin No. 73, the prediction model would use an antenna at 6 meters
(20 feet) for one-story structures and 9 meters (30 feet) for
structures taller than one story. Consistent with Congress'
modification of the specification of the receiving antenna to simply
say an ``antenna,'' and its concern that using the outdoor antenna
model may result in instances where a consumer who either cannot use an
outdoor antenna or cannot receive service using an outdoor antenna and
is not able to receive a station's service with an indoor antenna will
be found ineligible for satellite delivery of a distant network signal,
the Commission again requested comments, suggestions and new
information that would provide a solution for satellite television
subscribers in such circumstances. In this regard, it indicated that it
was particularly interested in new ideas and information that have been
developed in the time since the 2005 Report to Congress.
8. The Commission concludes that the current standard for an
outdoor antenna as specified in the digital television planning factors
in OET Bulletin No. 69 and on which the digital television signal
strength standards in Sec. 73.622(e)(1) are based, at the alternative
heights proposed in the NPRM, should be used as the basis for
predicting digital television signal strengths at individual locations
in the digital ILLR model. As discussed in the NPRM, Congress's use of
the term ``antenna'' in the STELA grants the Commission greater
flexibility to take into account different types of antennas than was
previously available, without requiring the Commission to incorporate
any particular type of antenna into the model. The Commission is not
persuaded by the Broadcasters' arguments that the omission of the word
``outdoor'' from the antenna description in the STELA has no
significance and that the Commission is required to assume use of an
outdoor antenna in predicting digital television signal strengths.
While they are correct that the STELA directs the Commission to rely on
the ILLR model recommended with respect to digital signals in the 2005
Report to Congress, which assumes use of an outdoor antenna, the
Commission believes that STELA's use of the term ``rely'' provides us
latitude in the manner in which the ILLR model is implemented. Their
argument that the Commission must specify an outdoor antenna because
the minimum signal strengths specified by the STELA are premised on use
of an outdoor antenna (through the digital television planning
factors), is similarly not persuasive in that, as DIRECTV/DISH observe,
other specifications of parameters that include an indoor antenna are
possible while still adhering to those signal strengths as the
standard.
9. The Commission also is not persuaded by DIRECTV/DISH's arguments
that Congress' deletion of the qualifiers specifying a ``conventional,
stationary, outdoor rooftop receiving antenna'' from the definition of
an ``unserved household'' from the STELA means that a household is now
unserved if it cannot receive a signal of sufficient strength by means
of a simple indoor antenna. Again, it believes that this change simply
affords the Commission latitude to consider all types of antennas in
implementing the digital ILLR model. Even assuming that DIRECTV/DISH
are correct that more consumers are now using indoor antennas, their
argument that Congress was responding to greater use of indoor antennas
by consumers misses the fact that consumers are only using indoor
antennas where such antennas provide service. As observed in the 2005
Report to Congress, the Commission has always assumed that households
will use the type of antenna that they need to achieve service; if an
indoor antenna is insufficient for a particular household, it generally
will rely on a rooftop antenna. Nothing in the STELA reflects a
Congressional intent for the Commission to abandon that assumption.
Thus, the Commission disagrees that households that are not able to
receive service with an indoor antenna should be considered unserved
simply because they do not use an outdoor antenna. The Commission has
considered the full range of antenna options in developing the digital
TV ILLR prediction model.
10. Turning to the specification of antennas in the prediction
model, the Commission finds that an approach that specifies an outdoor
antenna at 6 meters above ground for one-story structures and 9 meters
above ground for taller structures (household roof-top levels) with
gain as specified in the digital television planning factors is most
consistent with the directives for the digital TV signal strength
prediction model set forth in the STELA. The Commission reached this
conclusion for the following reasons. First, given that the STELA
specifies use of the digital television signal strength standard in
Sec. 73.622(e)(1) of the rules as the threshold metric against which
predictions are to be compared to make determinations of ``served'' and
``unserved,'' it is important and necessary that the signal strengths
predicted by the model can be meaningfully compared to that standard.
To provide for such comparisons, the signals whose strengths are
predicted by the model must have the same qualities as the signal
specified in the standard. This can occur only if the assumptions
underlying the signal strength needed for reception as described by the
[[Page 80357]]
standard are the same as the assumptions underlying the signal
predicted by the model and their relationship is well defined, so that
the two represent the same conditions of reception. The Sec.
73.622(e)(1) digital television signal strength standard is derived
from the assumptions in the digital television planning factors as
described in OET Bulletin No. 69 and those assumptions include an
outdoor antenna as described above. This signal strength standard is
important under the Commission's rules because it serves to define the
service boundary or ``service contour'' of a digital television station
and the threshold at which a station's service is considered to be
available in areas within that service contour. Congress specified this
same signal strength standard for defining ``served'' and ``unserved''
locations for purposes of determining households' eligibility for
satellite delivery of distant network signals in the STELA. For these
reasons, the Commission agrees with the Broadcasters that it is
appropriate to incorporate into the digital ILLR model the assumptions
in the planning factors in OET Bulletin No. 69, including the specified
outdoor antenna, to obtain predictions of signal strength for
comparison to the standard specified in the STELA.
11. The Commission also rejects DIRECTV/DISH's proposed adjustments
to the signal strength standard to account for differences in the
expected signal level and in the gain of indoor and outdoor antennas.
It finds that application of these adjustments would significantly
alter the digital television service description as defined in the
Sec. 73.622(e)(1) signal strength standard by reducing the likelihood
that a given location would be predicted to receive service. Under the
plan they propose, between 36.7 dB and 46.7 dB (depending on whether
the location is in an urban area), or more, would be subtracted from
the prediction calculated by the ILLR model for locations that do not
have an outdoor antenna. They do not offer any additional modifications
to the model or its assumptions to compensate for this proposed change
in the signal strength standard; nor are we aware of any modifications
that would provide such compensation. In application, DIRECTV/DISH's
proposal would raise the signal strength needed for reception of UHF
signals from 41 dB[mu]V/m to between 77.7 db[mu]V/m and 87.7 dB[mu]V/m
for households without outdoor antennas. Such a change could, as the
broadcasters observe, drastically increase the number of households
eligible for satellite delivery of distant network signals by allowing
viewers to claim use of an indoor antenna when such viewers generally
could in fact receive service using an outdoor antenna. Notwithstanding
the difficulties in developing a model that would provide accurate and
reliable indoor predictions, the Commission is concerned that many
satellite subscribers who could use an outdoor antenna would have an
incentive to take the ``easy path'' and simply report that they cannot
use an outdoor antenna and thereby be evaluated under the indoor
antenna standard, when in fact they could readily receive a station's
service with outdoor antenna. For example, subscribers located within a
station's service area but at distances from its transmitter where
indoor reception is not possible could simply assert that they cannot
use an outdoor antenna and thus be eligible to receive a distant
network signal. This would remove large numbers of viewers from local
stations potential audience. In view of Congress' selection of the
Sec. 73.622(e)(2) signal strength standard as the threshold for
distant signal eligibility in the STELA, the Commission does not
believe that Congress envisioned or contemplated such an increase in
the numbers of satellite subscribers eligible for delivery of distant
network signals.
12. In addition, as the Commission discussed in the 2005 Report to
Congress and the NPRM, there are significant difficulties in achieving
accurate and reliable estimates of digital television signal strengths
in indoor environments, which make it very difficult if not impossible
to obtain accurate and reliable predictions of digital television
signal strengths indoors. The Commission is concerned that
simplification of indoor antenna reception to a single set of
circumstances as suggested by DIRECTV/DISH and Mr. Kurby would ignore
the significant differences that exist in indoor reception scenarios,
particularly with respect to attenuation of signals due to the
materials with which a building is constructed, which vary
substantially in the degree to which they absorb or reflect signals,
and the antenna's location within the structure, which affects the
number and pathways of structural features (walls or ground in the case
of basements) that signals must penetrate to reach the antenna. In this
regard, the Commission also observes that in the DTV transition, it
advised consumers of the wide variability in the performance of
antennas generally and indoor antennas in particular in materials
provided to the public for the DTV transition. For example, the
Commission noted that consumers having problems with indoor antennas
needed to check the performance information for the antenna, move the
antenna for best reception, place it near a window, as high as
possible, away from electronic equipment and change the direction the
antenna is facing. Further, the Commission advised that a roof-top
antenna may be needed.
13. These differences in indoor reception scenarios are very
difficult to account for properly in a model's input values and can
also be challenging for a user of a model to assess so as to specify
appropriate input values for any particular location. These factors
together greatly reduce the reliability and accuracy of any indoor
signal strength predictions that might be provided by a model. While
the Commission understands that there are also variations in signal
strength across outdoor receive locations due to terrain and the
presence of man-made terrain features, including aspects of the
structure on which an antenna is mounted, that variability is generally
much less than the variability of signal strengths indoors which are
affected by building materials and location within the building as well
as the same terrain and man-made features that affect signals received
outdoors. The Commission also expects that there would be an incentive
for households in areas where service is not available with an indoor
antenna to simply submit that they have an indoor antenna in order to
be eligible for distant signal delivery when in fact they could receive
that signal with an outdoor antenna under the standard specified in the
STELA. This type of behavior would, to the extent it occurred,
undermine broadcasters' coverage and complicate our administration of
an indoor antenna standard. The Commission also is not persuaded that
any of the options for modifying their proposed adjustments that
DIRECTV/DISH have submitted in recent ex parte presentations would
remedy the problems discussed. None of those suggestions would provide
reliable and accurate estimates of indoor signal strengths; nor do they
offer modifications that would compensate for the change their plan
would make to digital signal strength standard set forth in the STELA.
Accordingly, the Commission will use the current standard for an
outdoor antenna as specified in the digital television planning factors
in OET Bulletin No. 69 in the digital ILLR model.
14. Notwithstanding this decision, the Commission remains aware and
[[Page 80358]]
concerned that using the outdoor reception model may result in
instances where a consumer who either cannot use an outdoor antenna or
cannot receive service using an outdoor antenna and is not able to
receive a station's service with an indoor antenna will be found
ineligible for satellite delivery of a distant network signal. This
concern is mitigated by new local-into-local offerings by satellite
carriers, which the Commission believes will significantly reduce the
number of instances where satellite subscribers would need to consider
requesting delivery of distant network signals. Dish Network now
provides local network stations (local-into-local service) in all 210
DMAs. In addition, DIRECTV now provides local-into-local service in all
but 60 relatively small markets. The Commission recognizes that
DIRECTV/DISH will still have to qualify some distant signals even after
they provide local-into-local service in all 210 DMAs. However, the
locations that they will not reach with local-into-local service are
likely to be in areas with relatively small populations that are at the
edge of some DMAs that are served by satellite service ``spot beams''
that provide localized service to the major portion of a DMA, including
its center of population. Those populations are served by their
carrier's larger regional coverage signals that do not have the local
signals carried on the spot beams. Moreover, the areas not reached by
the spot beams will generally be in less densely populated areas where
there are generally fewer residences that are not able to use an
outdoor antenna. In concluding that the outdoor antenna standard
remains appropriate, the Commission has also considered that most
subscribers who will request distant signals from their satellite
carriers are likely to be in rural areas where use of outdoor antennas
is more common and practical than in urban areas. Dish now serves all
210 DMAs and only a small number of Dish subscribers are beyond the
spot beams serving those DMAs and therefore potentially eligible for
distant signals. Although DIRECTV does not offer local stations in 60
DMAs, these are small market areas and mostly in rural areas where
outdoor antennas are likely to be more prevalent.
15. The Commission also observes that under section 339(a)(2)(E) of
the Communications Act, satellite TV subscribers who are denied
delivery of a distant network signal based on the signal strength
predictive model or a measurement may request a waiver, through the
subscriber's satellite carrier, from the station that asserts that such
retransmission is prohibited. While the Commission does not know the
extent to which stations have granted such waivers, the waiver process
is available. It hopes that stations receiving such waiver requests
will consider whether the subscriber is in an urban area or residing in
a multiple dwelling unit, and therefore confined to reliance on an
indoor antenna, and that the stations will act accordingly to grant the
waiver request on a case-by-case basis in such circumstances. Finally,
the Commission will remain open to consideration of new ideas,
approaches and methods for identifying households that cannot use or
receive service with an outdoor antenna that are predicted to be served
by our digital ILLR predictive model. The Commission is holding this
proceeding open for continued refinement of the digital TV ILLR Model,
so parties may submit proposals for such new ideas, approaches and
methods.
16. Time and Location Variability Factors. The field strength of
radio signals, including television signals, at a given distance from a
transmitter vary by location and with time due to factors affecting
their propagation. The time and location (situational) variability
factors are commonly represented using the notation ``F(L,T),'' where a
signal of a specified strength level will be available at L percent of
locations T percent of the time. The variations over time are also
known as ``fading.'' In the NPRM, the Commission proposed to use 50% as
the location variability factor and 90% as the time variability factor
in the digital ILLR model, in accordance with the DTV planning factors.
The SHVIA ILLR model applicable to analog stations uses 50% as the
location variability and 50% as the time variability factor.
17. The Commission continues to believe that the F(50,90)
specifications for time and location variability set forth in the
digital television planning factors are the appropriate values for
those factors in the digital ILLR model. While the Commission
understands DIRECTV/DISH's position that viewers desire service to be
available nearly all the time and that digital television service does
not degrade gradually, the fact is that the propagation paths of
terrestrial broadcast television signals are much different than those
of sky-based satellite signals and this affects the practically
achievable degree of broadcast signal availability. As observed in the
NPRM, terrestrial signals follow paths that are close to the surface
and are attenuated by the natural and man-made surface features they
encounter along those paths. The attenuation caused by those features
results in propagation conditions whereby signal strength varies
statistically by location and time. The power and/or antenna height
needed to improve broadcast television signal availability increase in
a non-linear manner such that it is unrealistic to require such
availability to approach 100%. These propagation conditions are much
different than those faced by satellite signals, which travel over
paths that are generally affected only by weather and other atmospheric
conditions.
18. The F(50,90) values for digital television service availability
were established based on an industry-Government consensus that relied
on the traditional TV service model that worked well for analog TV
service and that, as argued by the broadcasters, is also appropriate
for digital TV service. Changing the time variability factor value to
99% reliability as requested by the satellite providers would greatly
shrink the predicted local DTV service areas and would not reflect the
capability of the vast majority of viewers to receive signals.
Moreover, as pointed out by the Broadcasters and in MSW's Engineering
Statement, the assumed 10% reduction in signal availability over time
occurs at the outermost limit of a station's service area and is not
the typical statistical figure for reliable reception across a
station's entire service area. As the distance to a station's
transmitter decreases, time availability of the signal above the noise-
limited threshold value also increases. The Commission also observes
that households at the edge of a station's service area can often
improve their reception (and thereby reduce or eliminate periods when
the station's signal is not available) by mounting their antennas
higher, using higher gain antennas, or using low-noise pre-amplifiers
at their antennas. In addition, it is more likely that a station's
signal strength at a household that is located near the edge of its
service area will be predicted to be below the threshold needed for
reception and therefore eligible for delivery of a distant signal by
its satellite provider. Accordingly, the Commission finds no basis for
modifying the time variability factor for broadcast television signals
for purposes of determining a household's eligibility for delivery of
distant network signals and therefore will specify the time and
availability factors in the digital ILLR model as F(50,90).
19. Land Use and Land Cover Factors. The land use and land cover
(LULC) data provides information on building
[[Page 80359]]
structures and other man-made terrestrial features and on land cover
features such as forests and open land that can affect radio
propagation. Inclusion of this data in the prediction methodology of
the SHVIA ILLR TV computer model significantly enhanced the accuracy
and reliability of its signal strength predictions. The method for
considering these land cover factors is to assign certain signal loss
values, in addition to those already factored in the model for terrain
variation, as a function of the LULC category of the reception point.
More specifically, the field strength predicted by the basic Longley-
Rice model is reduced by the clutter loss value associated with the
respective LULC category. Reception point environments at individual
locations are classified in terms of the codes used in the LULC
database of the United States Geological Survey (USGS). In the NPRM,
the Commission proposed to apply the LULC categories and clutter loss
values for describing land use and land cover features in the digital
TV ILLR model in the same manner as currently incorporated into the
SHVIA ILLR model. These values were specified in the SHVIA First Report
and Order.
20. The Commission concludes that the LULC categories and clutter
loss values for describing land use and land cover features in the
digital TV ILLR model should be applied in the digital ILLR in the same
manner as currently applied in the SHVIA ILLR model. While the
Commission understands the seeming inconsistency of using no LULC
corrections for VHF signals, it has found previously that the clutter
loss values used in the current SHVIA ILLR model, including zero values
for VHF signals, strike the correct balance. Analysis of the data on
the model's performance shows that using the values used in the SHVIA
ILLR model produce approximately an equal number of over-predictions as
under-predictions. Thus, the Commission has found a range of clutter
values, including zero, that correspond to different land cover types
are valid. It sees no merit in DIRECTV/DISH's argument that the studies
used by the Commission in determining that the LULC adjustment for VHF
signals should be zero were conducted in some of the flattest states in
the country. Rather, the Commission finds that the 5 markets examined
have varied terrain characteristics that are sufficient to represent
the terrain in television markets across the nation. Also, at this
time, the Commission is not aware of any LULC database that would
provide more refined or granular information on land use and land
clutter than that provided by the USGS LULC database. In this regard,
DIRECTV/DISH's suggestion to use Google Earth is not practical as that
service provides does not provide data on terrain and surface clutter
variation. The Commission also will not alter the LULC correction
factors to add additional attenuation to account for lower antenna
heights as the model will continue to use the same 30 foot (9 meters)
and 20 foot (6 meters) antenna heights used in the SHVIA ILLR model.
The Commission also finds that it would not be practical to introduce
clutter height and density factors into the clutter calculations of the
ILLR software at this time as suggested by Mr. Shumate. Also, there is
no height and density information available for the current LULC data.
Accordingly, the Commission will apply the land use and land cover
categories and USGS cluttler loss values for describing land use and
land cover features in the digital TV ILLR model in the same manner as
these elements are currently incorporated into the SHVIA ILLR model.
21. Multicast program streams. In the NPRM, the Commission stated
that it believes that the proposed digital signal strength prediction
model would account for multicast as well as primary streams that are
transmitted by a station and affiliated with one or more networks.
Therefore, it proposed to provide no special adjustment in the model to
predict the availability of network signals that are transmitted on
multicast streams, rather than on a station's primary program stream.
In their comments, the Broadcasters agree with the Commission's
position in the NPRM that all multicast streams can be treated equally
for purposes of both prediction and measurement of signal strength.
They note that all of the streams arrive on the same signal and at the
same strength and that the different programming on multicast channels
simply consists of different packets within a station's transport
stream.
22. The Commission finds that there is no need for adjusting
predictions from the digital ILLR model to reflect the added reference
to network affiliated multicast streams in the STELA. The prediction of
signal strength for a digital television broadcast signal applies
regardless of the content, including the presence of multicast program
streams. If a household is predicted to receive a station, then all of
that station's program streams would be received equally. Accordingly,
the Commission will not provide any special adjustment or procedure in
the model for network signals carried on multicast program streams.
B. Other Issues
23. Previous findings of eligibility. In the NPRM, the Commission
proposed to uphold any previous findings of eligibility for delivery of
distant signals based on the predictive model in the event that it were
to update that model and a prediction from the updated model were to
indicate that a previously unserved location could receive service from
a local network station. In its comments, CDE observes that because of
changes many television stations are still making to their digital
operations, the potential situation arises for those stations that a
lack-of-service determination under STELA may be rendered moot at a
later date by an upgrade in their television facilities and improved
off-the-air service. It asks that the Commission clarify how the
predictive model is to be administered for those viewers who opted at
one juncture to choose satellite service due to lack of off-the-air
service but later are predicted to receive off-the-air service as a
result of an upgrade to a stations facilities.
24. The Commission continues to believe that it is appropriate to
``grandfather'' the eligibility of households in cases where a location
was predicted to be unserved by a local network station using an
adopted version of the digital ILLR model and the household at that
location is receiving a signal of that network from a distant station
by its satellite provider. This provision will avoid disruption of the
existing services to which households have been accustomed to receiving
if the Commission updates the digital ILLR model or a station modifies
its transmission facilities. This grandfathering will apply only in
cases where the household already is receiving a distant signal from
its satellite provider prior to a change in the digital ILLR prediction
model or in the coverage of the local station.
25. Analog Low Power TV and TV Translator Stations. Although all
full-service television stations converted fully to digital operation
on June 12, 2009, TV translator and low power/Class A TV stations were
not required to make that conversion and many of those stations
continue to broadcast in analog format. In the NPRM the Commission,
recognizing the provisions of Section 205 of the STELA and that many TV
translators and low power TV stations continue to transmit analog
signals, tentatively concluded that it would continue to apply the
existing analog SHVIA ILLR model specified in
[[Page 80360]]
OET Bulletin No. 72 for predicting signal strengths in distant network
eligibility cases involving TV translator and low-power/Class A
television stations that use the analog TV standard to broadcast their
own programming or to retransmit the content of local digital network
stations. In their comments, the Broadcasters support the Commission's
proposal to continue to use the analog SHVIA ILLR model for LPTV, Class
A, and translator stations that are still broadcasting using the analog
transmission standard. They state that, to the extent such stations
continue broadcasting in analog, it makes sense to continue to use the
Commission's existing tools for predicting analog signal reception,
including OET Bulletin 72. They state that those tools have worked well
for years and there is no reason not to continue to employ them with
this category of stations.
26. Consistent with Section 205 of the STELA, the Commission will
continue to apply the methods in OET Bulletin No. 72 for predicting the
signal strengths of TV translator and low power/Class A stations that
operate using the analog TV standard. It sees no reason or basis for
changing from the use of the SHVIA ILLR model for obtaining predictions
of signal strength for determining eligibility for satellite delivery
of distant network signals for those stations.
27. Procedure for Continued Refinement of the Digital TV ILLR
Model. The STELA requires that the Commission establish procedures for
continued refinement in the application of the digital TV ILLR model
through use of additional data as it becomes available. In the NPRM,
the Commission proposed to comply with this requirement by establishing
a procedure under which it would consider possible changes to OET
Bulletin No. 73 (which describes the model and is referenced in the
rules) to implement improvements to the model. The commenting parties
did not address our proposals for the procedures for continued
refinement of the application of the digital TV ILLR model.
28. The Commission continues to believe the most efficient,
effective, fair, transparent and timely approach for revising the
digital TV ILLR model if new information becomes available is to hold
open the docket in this proceeding and then conduct further rule making
as proposed in the NPRM. This plan is consistent with the Commission's
past action concerning the SHVIA model. Given that the digital ILLR
model is being incorporated into its rules, the Commission believes
that this plan also is consistent with the requirements of section 553
of the Administrative Procedures Act. Parties with new data, analysis
or other information relating to improving the predictive model will be
able to submit requests to modify the model in the instant docket. The
Commission has instructed OET to evaluate such requests and, as
appropriate, prepare a Notice of Proposed Rulemaking for consideration
by the Commission. The Commission also could initiate rulemaking action
on its own motion.
29. Stations to Consider for Distant Signals. Under the SHVIA and
the SHVERA, the predicted signal strengths of all the stations
affiliated with the same network were considered, regardless of those
stations' DMAs. That is, if a satellite subscriber desired to receive
the distant signal of the ``XYZ'' network, then the predicted results
from any stations affiliated with the XYZ network would be analyzed for
that subscriber's location. If one or more of those affiliated stations
were predicted to deliver a signal of the requisite intensity, the
subscriber would be predicted ``served'' by that network and not
eligible for a distant signal from that network unless each of the
stations predicted to serve the subscriber granted a waiver. Section
102 of the STELA changes this regime by specifying that only ``local''
stations are to be considered, i.e., stations that are located in the
same DMA as the satellite subscriber. In the NPRM, the Commission
proposed to address this statutory modification by changing the way the
digital ILLR model's results are to be used, rather than through a
change in the digital TV ILLR model itself that would limit the signals
examined to those located in the same DMA as the subscriber. That is,
instead of having the computer software for the model limit
consideration of network stations to any such stations in the
subscriber's DMA that the model predicts to be available, the
Commission proposed to amend its rules to specify that satellite
carriers are required to consider only the signals of network stations
located in the subscriber's DMA in determining whether a subscriber is
eligible for delivery of distant network signals. The commenting
parties did not address this issue.
30. The Commission is adopting its proposal to address the
statutory change to limit the network stations to be considered in
satellite signal delivery eligibility cases to those stations that are
located in the same DMA as the satellite subscriber by amending its
rules to specify that eligibility determinations are to consider only
the signals of network stations located in the subscriber's DMA. The
Commission notes that this statutory change will also reduce the burden
associated with distant network signal eligibility waiver requests by
reducing the number of stations from which a waiver would need to be
requested. In addition, this change will reduce the burden of on-site
measurement of signal strengths where such tests are performed for the
purpose of determining a satellite subscriber's eligibility to receive
distant signals.
Procedural Matters
Final Regulatory Flexibility Analysis
31. As required by the Regulatory Flexibility Act of 1980, as
amended (RFA) \1\ an Initial Regulatory Flexibility Analysis (IRFA) was
incorporated in the Notice of Proposed Rulemaking (NPRM) to this
proceeding.\2\ The Commission sought written public comment on the
proposals in the NPRM, including comment on the IRFA. The Commission
received no comments on the IRFA. This present Final Regulatory
Flexibility Analysis (``FRFA'') conforms to the RFA.\3\
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\1\ See 5 U.S.C. 603. The RFA, see 5 U.S.C. 601 et. seq., has
been amended by the Small Business Regulatory Enforcement Fairness
Act of 1996 (``SBREFA''), Public Law 104-121, Title II, 110 Stat.
847 (1996). The SBREFA was enacted as Title II of the Contract With
America Advancement Act of 1996 (CWAAA).
\2\ Implementation of the Satellite Home Viewer Extension and
Reauthorization Act of 2004, 20 FCC Rcd 2983, Appendix C (2005)
(NPRM).
\3\ See 5 U.S.C. 604.
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A. Need for and Objectives of the Report and Order. In this Report
and Order, we are adopting a point-to-point predictive model for
determining the ability of individual locations to receive an over-the-
air digital television broadcast signal at the intensity level needed
for service through the use of an antenna as required by the STELA.\4\
The new digital ILLR model will be used as a means for reliably and
presumptively determining whether individual households are eligible to
receive the signals of distant network-affiliated digital television
stations, including TV translator and low power television stations,
from their satellite carrier. The
[[Page 80361]]
predictive model we are adopting, which is based on the current model
for predicting the intensity of analog television signals at individual
locations, will allow such determinations to be made in a timely and
cost effective manner for all parties involved, including network TV
stations, satellite carriers and satellite subscribers. We are also
providing a plan for the model's continued refinement by use of
additional data as it may become available. Under that plan,
refinements based on additional data may be proposed by referencing the
docket of this proceeding, which will be held open indefinitely for
this purpose. Consistent with this intention to refine the model as new
information becomes available, we are also initiating a Further Notice
of Proposed Rulemaking herein to request comment on possible
modifications to the methodology in the digital Individual Location
Longley-Rice (ILLR) model to improve its predictive accuracy as
suggested by one of the parties responding to the NPRM in this
proceeding.
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\4\ In its implementation provisions, the STELA also requires
that the Commission issue an order completing its rulemaking to
establish a procedure for on-site measurement of digital television
signals in ET Docket No. 06-94. 47 U.S.C. 339(c)(3)(B). In the
Notice of Proposed Rulemaking (NPRM) and Further Notice of
Rulemaking (FNPRM) preceding the instant Report and Order, the
Commission requested additional comment in the ET Docket No. 06-94
signal measurement proceeding. We are today, in a separate action in
that docket, issuing a Report and Order to establish the required
procedure for on-site measurement of digital television signals. See
Report and Order in ET Docket No. 06-94, FCC 10-195, adopted
November 22, 2010.
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B. Summary of Significant Issues Raised by Public Comments in
Response to the IRFA: There were no comments filed that specifically
addressed the rules and policies propose in the IRFA.
C. Description and Estimates of the Number of Small Entities to
Which the Rules will apply: The RFA directs agencies to provide a
description of and, where feasible, an estimate of the number of small
entities that will be affected by the rules adopted herein.\5\ The RFA
generally defines the term ``small entity'' as having the same meaning
as the terms ``small business,'' ``small organization,'' and ``small
governmental jurisdiction.'' \6\ In addition, the term ``small
business'' has the same meaning as the term ``small business concern''
under the Small Business Act.\7\ A small business concern is one which:
(1) Is independently owned and operated; (2) is not dominant in its
field of operation; and (3) satisfies any additional criteria
established by the Small Business Administration (SBA).\8\
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\5\ 5 U.S.C. 603(b)(3), 604(a)(3).
\6\ Id., 601(6).
\7\ 5 U.S.C. 601(3) (incorporating by reference the definition
of ``small business concern'' in the Small Business Act, 15 U.S.C.
632). Pursuant to 5 U.S.C. 601(3), the statutory definition of a
small business applies ``unless an agency, after consultation with
the Office of Advocacy of the Small Business Administration and
after opportunity for public comment, establishes one or more
definitions of such terms which are appropriate to the activities of
the agency and publishes such definitions(s) in the Federal
Register.''
\8\ 15 U.S.C. 632.
---------------------------------------------------------------------------
Nationwide, there are a total of approximately 29.6 million small
businesses, according to the SBA.\9\ A ``small organization'' is
generally ``any not-for-profit enterprise which is independently owned
and operated and is not dominant in its field.'' \10\ Nationwide, as of
2002, there were approximately 1.6 million small organizations.\11\ The
term ``small governmental jurisdiction'' is defined generally as
``governments of cities, towns, townships, villages, school districts,
or special districts, with a population of less than fifty thousand.''
\12\ Census Bureau data for 2002 indicate that there were 87,525 local
governmental jurisdictions in the United States.\13\ We estimate that,
of this total, 84,377 entities were ``small governmental
jurisdictions.'' \14\ Thus, we estimate that most governmental
jurisdictions are small.
---------------------------------------------------------------------------
\9\ See SBA, Office of Advocacy, ``Frequently Asked
Questions,'' https://web.sba.gov/faqs/faqindex.cfm?areaID=24 (revised
Sept. 2009).
\10\ 5 U.S.C. 601(4).
\11\ Independent Sector, The New Nonprofit Almanac & Desk
Reference (2002).
\12\ 5 U.S.C. 601(5).
\13\ U.S. Census Bureau, Statistical Abstract of the United
States: 2006, Section 8, page 272, Table 415.
\14\ We assume that the villages, school districts, and special
districts are small, and total 48,558. See U.S. Census Bureau,
Statistical Abstract of the United States: 2006, section 8, page
273, Table 417. For 2002, Census Bureau data indicate that the total
number of county, municipal, and township governments nationwide was
38,967, of which 35,819 were small. Id.
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Cable Television Distribution Services. The ``Cable and Other
Program Distribution'' census category includes cable systems
operators, closed circuit television services, direct broadcast
satellite services, multipoint distribution systems, satellite master
antenna systems, and subscription television services. Since 2007,
these services have been defined within the broad economic census
category of Wired Telecommunications Carriers; that category is defined
as follows: ``This industry comprises establishments primarily engaged
in operating and/or providing access to transmission facilities and
infrastructure that they own and/or lease for the transmission of
voice, data, text, sound, and video using wired telecommunications
networks. Transmission facilities may be based on a single technology
or a combination of technologies. Establishments in this industry use
the wired telecommunications network facilities that they operate to
provide a variety of services, such as wired telephony services,
including VoIP services; wired (cable) audio and video programming
distribution; and wired broadband Internet services. By exception,
establishments providing satellite television distribution services
using facilities and infrastructure that they operate are included in
this industry.'' The SBA has developed a small business size standard
for this category, which is: All such firms having 1,500 or fewer
employees. To gauge small business prevalence for these cable services
the Commission must, however, use current census data that are based on
the previous category of Cable and Other Program Distribution and its
associated size standard; that size standard was: All such firms having
$13.5 million or less in annual receipts. According to Census Bureau
data for 2002, there were a total of 1,191 firms in this previous
category that operated for the entire year. Of this total, 1,087 firms
had annual receipts of under $10 million, and 43 firms had receipts of
$10 million or more but less than $25 million. Thus, the majority of
these firms can be considered small.
Direct Broadcast Satellite (DBS) Service. DBS service is a
nationally distributed subscription service that delivers video and
audio programming via satellite to a small parabolic ``dish'' antenna
at the subscriber's location. Because DBS provides subscription
services, DBS falls within the SBA-recognized definition of Wired
Telecommunications Carriers. However, as discussed above, the
Commission relies on the previous size standard, Cable and Other
Subscription Programming, which provides that a small entity is one
with $13.5 million or less in annual receipts. Currently, only two
operators--DirecTV and EchoStar Communications Corporation (EchoStar)--
hold licenses to provide DBS service, which requires a great investment
of capital for operation. Both currently offer subscription services
and report annual revenues that are in excess of the threshold for a
small business. Because DBS service requires significant capital, the
Commission believes it is unlikely that a small entity as defined by
the SBA would have the financial wherewithal to become a DBS licensee.
Nevertheless, given the absence of specific data on this point, the
Commission acknowledges the possibility that there are entrants in this
field that may not yet have generated $13.5 million in annual receipts,
and therefore may be categorized as a small business, if independently
owned and operated.
Television Broadcasting. The rules and policies apply to television
broadcast licensees and potential licensees of television service. The
SBA defines a television broadcast station as
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a small business if such station has no more than $14 million in annual
receipts.\15\ Business concerns included in this industry are those
``primarily engaged in broadcasting images together with sound.'' \16\
The Commission has estimated the number of licensed commercial
television stations to be 1,392.\17\ According to Commission staff
review of the BIA/Kelsey, MAPro Television Database (BIA) as of April
7, 2010, about 1,015 of an estimated 1,380 commercial television
stations \18\ (or about 74 percent) have revenues of $14 million or
less and thus qualify as small entities under the SBA definition. The
Commission has estimated the number of licensed non-commercial
educational (NCE) television stations to be 390.\19\ We note, however,
that, in assessing whether a business concern qualifies as small under
the above definition, business (control) affiliations \20\ must be
included. Our estimate, therefore, likely overstates the number of
small entities that might be affected by our action, because the
revenue figure on which it is based does not include or aggregate
revenues from affiliated companies. The Commission does not compile and
otherwise does not have access to information on the revenue of NCE
stations that would permit it to determine how many such stations would
qualify as small entities.
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\15\ See 13 CFR 121.201, NAICS Code 515120.
\16\ Id. This category description continues, ``These
establishments operate television broadcasting studios and
facilities for the programming and transmission of programs to the
public. These establishments also produce or transmit visual
programming to affiliated broadcast television stations, which in
turn broadcast the programs to the public on a predetermined
schedule. Programming may originate in their own studios, from an
affiliated network, or from external sources.'' Separate census
categories pertain to businesses primarily engaged in producing
programming. See Motion Picture and Video Production, NAICS code
512110; Motion Picture and Video Distribution, NAICS Code 512120;
Teleproduction and Other Post-Production Services, NAICS Code
512191; and Other Motion Picture and Video Industries, NAICS Code
512199.
\17\ See News Release, ``Broadcast Station Totals as of December
31, 2009,'' 2010 WL 676084 (F.C.C.)(dated Feb. 26, 2010) (Broadcast
Station Totals); also available at https://www.fcc.gov/mb/.
\18\ We recognize that this total differs slightly from that
contained in Broadcast Station Totals, supra note 446; however, we
are using BIA's estimate for purposes of this revenue comparison.
\19\ See Broadcast Station Totals, supra note 239.
\20\ ``[Business concerns] are affiliates of each other when one
concern controls or has the power to control the other or a third
party or parties controls or has the power to control both.'' 13 CFR
121.103(a)(1).
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In addition, an element of the definition of ``small business'' is
that the entity not be dominant in its field of operation. We are
unable at this time to define or quantify the criteria that would
establish whether a specific television station is dominant in its
field of operation. Accordingly, the estimates of small businesses to
which rules may apply do not exclude any television station from the
definition of a small business on this basis and are therefore over-
inclusive to that extent. Also as noted, an additional element of the
definition of ``small business'' is that the entity must be
independently owned and operated. We note that it is difficult at times
to assess these criteria in the context of media entities and our
estimates of small businesses to which they apply may be over-inclusive
to this extent.
Class A TV, LPTV, and TV translator stations. The rules and
policies adopted in this Report and Order include licensees of Class A
TV stations, low power television (LPTV) stations, and TV translator
stations, as well as potential licensees in these television services.
The same SBA definition that applies to television broadcast licensees
would apply to these stations. The SBA defines a television broadcast
station as a small business if such station has no more than $14
million in annual receipts.\21\ Currently, there are approximately 537
licensed Class A stations, 2,386 licensed LPTV stations, and 4,359
licensed TV translators.\22\ Given the nature of these services, we
will presume that all of these licensees qualify as small entities
under the SBA definition. We note, however, that under the SBA's
definition, revenue of affiliates that are not LPTV stations should be
aggregated with the LPTV station revenues in determining whether a
concern is small. Our estimate may thus overstate the number of small
entities since the revenue figure on which it is based does not include
or aggregate revenues from non-LPTV affiliated companies. We do not
have data on revenues of TV translator or TV booster stations, but
virtually all of these entities are also likely to have revenues of
less than $14 million and thus may be categorized as small, except to
the extent that revenues of affiliated non-translator or booster
entities should be considered.
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\21\ See 13 CFR 121.201, NAICS Code 515120.
\22\ See Broadcast Station Totals, supra note 239.
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D. Description of Projected Reporting, Recordkeeping and Other
Compliance Requirement for Small Entities. We are adopting the
methodology and parameters for describing the basic radiofrequency
environment of the SHVIA ILLR model as proposed in the NPRM for the
digital ILLR model. As indicated by the Broadcasters and CDE, the
methodology in the ILLR model as modified over time has been time-
tested and proven successful. We expect that the new digital ILLR model
will provide the same reliable and accurate predictions of signal
availability as the analog SHVIA ILLR model. Like its predecessor, the
new model incorporates features to account for the radio propagation
environment through which television signals pass and the receiving
systems used by consumers. These features are described in the
``planning factors'' that describe a set of assumptions for digital and
analog television reception systems.\23\ Since digital and analog
television signals are transmitted in the same frequency bands, the
planning factors affecting basic propagation of signals using the two
different modulation methods and the background noise level are the
same. We therefore have not modified in the digital ILLR model any of
the parameters of the SHVIA ILLR model that describe basic propagation