Review of the Commission's Broadcast and Cable Equal Employment Opportunity Rules and Policies, 21478-21482 [2024-05940]

Download as PDF 21478 Federal Register / Vol. 89, No. 61 / Thursday, March 28, 2024 / Proposed Rules ‘‘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). The Commission will publish the required summary of this Notice of Proposed Rulemaking on https://www.fcc.gov/proposedrulemakings, pursuant to The Providing Accountability Through Transparency Act, see 5 U.S.C. 553(b)(4). Provisions of the Regulatory Flexibility Act of 1980 do not apply to this proceeding. Members of the public should note that from the time a Notice of Proposed Rule Making is issued until the matter is no longer subject to Commission consideration or court review, all ex parte contacts are prohibited in Commission proceedings, such as this one, which involve channel allotments. See 47 CFR 1.1204(b) for rules governing permissible ex parte contacts. For information regarding proper filing procedures for comments, see 47 CFR 1.415 and 1.420. [U.S. States] * * * * Channel No. * * * * * * [FR Doc. 2024–06616 Filed 3–27–24; 8:45 am] BILLING CODE 6712–01–P FEDERAL COMMUNICATIONS COMMISSION 47 CFR Part 76 [MB Docket No. 98–204; FCC 24–18; FR ID 207778] Review of the Commission’s Broadcast and Cable Equal Employment Opportunity Rules and Policies Federal Communications Commission. ACTION: Proposed rule. AGENCY: In this document, the Federal Communications Commission Radio, Radio broadcasting. (Commission) refreshes the existing record regarding the statutorily Federal Communications Commission. mandated collection of workforce Nazifa Sawez, composition data for multichannel Assistant Chief, Audio Division, Media video programming distributors Bureau. (MVPDs) on FCC Form 395–A. Proposed Rules DATES: Comments due on or before For the reasons discussed in the April 29, 2024; reply comments due on preamble, the Federal Communications or before May 13, 2024. Commission proposes to amend 47 CFR ADDRESSES: You may submit comments, part 73 as follows: identified by MB Docket No. 98–204, by any of the following methods: PART 73—RADIO BROADCAST • Electronic Filers: Comments may be SERVICES filed electronically using the internet by accessing the ECFS: https://apps.fcc.gov/ ■ 1. The authority citation for part 73 ecfs/. continues to read as follows: • Paper Filers: Parties who choose to Authority: 47 U.S.C. 154, 155, 301, 303, file by paper must file an original and 307, 309, 310, 334, 336, 339. one copy of each filing. ■ 2. In § 73.202, in paragraph (b), amend Filings can be sent by commercial the Table of FM Allotments under overnight courier, or by first-class or Illinois by adding in alphabetical an overnight U.S. Postal Service mail. All entry for ‘‘Mattoon’’ to read as follows: filings must be addressed to the Commission’s Secretary, Office of the § 73.202 Table of Allotments. Secretary, Federal Communications * * * * * Commission. (b) * * * • Commercial overnight mail (other than U.S. Postal Service Express Mail TABLE 1 TO PARAGRAPH (b) and Priority Mail) must be sent to 9050 Junction Drive, Annapolis Junction, MD [U.S. States] Channel No. 20701. • U.S. Postal Service first-class, * * * * * Express, and Priority mail must be addressed to 45 L Street NE, Illinois Washington, DC 20554. • Effective March 19, 2020, and until further notice, the Commission no * * * * * Mattoon ................................. 245B1 longer accepts any hand or messenger delivered filings. This is a temporary List of Subjects in 47 CFR Part 73 ddrumheller on DSK120RN23PROD with PROPOSALS1 TABLE 1 TO PARAGRAPH (b)— Continued VerDate Sep<11>2014 17:37 Mar 27, 2024 Jkt 262001 SUMMARY: PO 00000 Frm 00038 Fmt 4702 Sfmt 4702 measure taken to help protect the health and safety of individuals, and to mitigate the transmission of COVID–19. See FCC Announces Closure of FCC Headquarters Open Window and Change in Hand-Delivery Policy, Public Notice, DA 20–304 (March 19, 2020). https://www.fcc.gov/document/fcccloses-headquarters-open-window-andchanges-hand-delivery-policy. People with Disabilities: To request materials in accessible formats for people with disabilities (braille, large print, electronic files, audio format), send an email to fcc504@fcc.gov (mail to: fcc504@fcc.gov) or call the FCC’s Consumer and Governmental Affairs Bureau at (202) 418–0530 (voice), (202) 418–0432 (TTY). FOR FURTHER INFORMATION CONTACT: For additional information on this proceeding, please contact Christopher Sova of the Media Bureau, Industry Analysis Division, christopher.sova@ fcc.gov. SUPPLEMENTARY INFORMATION: This is a summary of the Commission’s Second Further Notice of Proposed Rulemaking (Second FNPRM) FCC 24–18, in MB Docket No. 98–204, adopted on February 7, 2024, and released on February 22, 2024. The complete text of this document is available electronically via the search function on the FCC’s website at https://docs.fcc.gov/public/ attachments/FCC-24-18A1.pdf. Synopsis 1. Having addressed the issues concerning the reinstatement of the Form 395–B data collection, we now seek, by this Second Further Notice of Proposed Rulemaking (Second FNPRM), to refresh the existing record regarding the statutorily mandated collection of Form 395–A data pursuant to 47 U.S.C. 554(d)(3)(A)–(B). Since 1984 the Commission has required MVPDs with six or more full-time employees to file the FCC Form 395–A. Similar to the Form 395–B collected from broadcasters, Form 395–A seeks to gather workforce composition data from multichannel video programming distributors (MVPDs) on an annual basis. The Commission suspended the filing of Form 395–A in 2001 in the wake of the decision by the U.S. Circuit Court of Appeals for the District of Columbia Circuit in MD/DC/DE Broadcasters Associations v. FCC (MD/ DC/DE Broadcasters), which vacated certain aspects of the Commission’s EEO requirements for broadcasters. While the similar requirements for MVPDs have never been challenged, the Commission suspended the collection of both Forms 395–A and B, along with various EEO E:\FR\FM\28MRP1.SGM 28MRP1 Federal Register / Vol. 89, No. 61 / Thursday, March 28, 2024 / Proposed Rules ddrumheller on DSK120RN23PROD with PROPOSALS1 requirements, in order to analyze the impact of the MD/DC/DE Broadcasters decision. In the Third Report and Order and Fourth Notice of Proposed Rulemaking (Third Report and Order and Fourth NPRM), the Commission reinstated Forms 395–A and B pending resolution of questions about confidential collection and use. As the Commission had not resolved those questions until its adoption of the Fourth Report and Order in MB Docket No. 98–204 (Fourth R&O), the collection of the Form 395–A remained suspended along with the Form 395–B. Despite that suspension, the Commission continued to seek OMB approval for the information collection, and during that time, OMB approved both Forms 395– A and B, subject to the Commission’s resolution of confidentiality issues regarding the forms’ collection and use. Although the filing of the Form 395–A has been suspended since 2001, OMB has most recently approved the information collection through January 31, 2026. Discussion 2. We now seek by this Second FNPRM to refresh the record stemming from the Third Report and Order and Fourth NPRM regarding the collection of MVPD workforce composition data. Consistent with the analysis provided in the Fourth R&O for making Form 395– B data public, we tentatively conclude that the collection of Form 395–A also should be reinstated and made available for public review. We seek comment as to whether Congress’s directive that MVPD operators make Form 395–A available for public inspection at their own facilities would be consistent with our amending our rules to require that MVPD operators instead make Form 395–A publicly available through the Commission-hosted Online Public Inspection File (OPIF). While section 634(d)(3)(B) of the Act states that an MVPD should make Form 395–A available for public inspection at the MVPD’s central office and at every office where five or more full-time employees are regularly assigned to work, section 634(d)(4) of the Act permits the Commission to amend the requirements associated with Form 395– A as needed. We tentatively conclude that requiring the Form 395–A to be placed in the OPIF would be more efficient for the public that wishes to review such reports, as OPIF provides one online site for such review. We also tentatively conclude that hosting the reports in OPIF will reduce the burdens placed on MVPDs, as this will relieve the MVPDs of maintaining such reports at individual central offices, including VerDate Sep<11>2014 17:37 Mar 27, 2024 Jkt 262001 providing sufficient staffing for such offices. We also tentatively conclude that our proposal to change the location of where the Form 395–A data will be housed from the MVPD’s central office to the OPIF website is consistent with the basic intent of section 634(d)(3)(B) of the Act, which is to ensure that the public has access to the Form 395–A data. We seek comment on these tentative conclusions. Alternatively, if section 634(d)(3)(B) of the Act were to be read to compel availability of Form 395–A at MVPD offices, would it be within our authority and consistent with sound policy to additionally require availability through OPIF? 3. In the Order on Reconsideration, we modified § 73.3612 of our rules to specifically state that the Form 395–B data will not be used in assessing any aspect of an individual broadcast licensee’s or permittee’s compliance with both the nondiscrimination and equal employment opportunity requirements of § 73.2080. Despite the slight variation in the underlying statutory authority for the collection of the workforce employment data from MVPDs versus broadcasters, the Commission traditionally has treated both data collections in a similar manner. In this regard, the Commission has imposed the same restrictions on the use of workforce composition data stemming from both Forms 395–A and B. Consequently, we tentatively conclude that § 76.1802 of our rules concerning the MVPD annual employment report should be modified so as to align with the modifications made to § 73.3612 of our rules for broadcasters in the Order on Reconsideration. In the Order on Reconsideration, we incorporated what appears as a Note to § 73.3612 into the rule itself to conform to the publishing conventions of the National Archives and Records Administration’s Office of the Federal Register. We seek comment on our tentative conclusion to do the same with regard to the language that currently appears as a Note to § 76.1802, to read as follows: Each employment unit with six or more full-time employees shall file an annual employment report on the FCC Form 395–A with the Commission on or before September 30 of each year. Data concerning the gender, race and ethnicity of an employment unit’s workforce collected in the annual employment report will be used only for purposes of analyzing industry trends and making reports to Congress. Such data will not be used for the purpose of assessing any aspect of an individual employment unit’s compliance with our nondiscrimination or EEO rules for PO 00000 Frm 00039 Fmt 4702 Sfmt 4702 21479 multi-channel video program distributors. 4. As stated in the Fourth R&O, the Form 395–B will include a mechanism to provide further specificity about broadcaster employees’ gender identities. We seek comment on whether we should adopt a similar mechanism for the Form 395–A. 5. We also seek comment on the attendant costs and benefits of any proposals advanced in response to this item. 6. Digital Equity and Inclusion. Finally, the Commission, as part of its continuing effort to advance digital equity for all under 47 U.S.C. 151, including people of color, persons with disabilities, persons who live in rural or Tribal areas, and others who are or have been historically underserved, marginalized, or adversely affected by persistent poverty or inequality, invites comment on any equity-related considerations and benefits (if any) that may be associated with the proposals and issues discussed herein. Specifically, we seek comment on how our proposals may promote or inhibit advances in diversity, equity, inclusion, and accessibility, as well the scope of the Commission’s relevant legal authority. Procedural Matters 7. Ex Parte Rules—Permit-ButDisclose. With respect to the Second FNPRM, this proceeding shall be treated as a ‘‘permit-but-disclose’’ proceeding in accordance with the Commission’s ex parte rules at 47 CFR 1.1200 et seq. Persons making ex parte presentations must file a copy of any written presentation or a memorandum summarizing any oral presentation within two business days after the presentation (unless a different deadline applicable to the Sunshine period applies). Persons making oral ex parte presentations are reminded that memoranda summarizing the presentation must (1) list all persons attending or otherwise participating in the meeting at which the ex parte presentation was made, and (2) summarize all data presented and arguments made during the presentation. If the presentation consisted in whole or in part of the presentation of data or arguments already reflected in the presenter’s written comments, memoranda, or other filings in the proceeding, the presenter may provide citations to such data or arguments in his or her prior comments, memoranda, or other filings (specifying the relevant page and/or paragraph numbers where such data or arguments can be found) in lieu of summarizing E:\FR\FM\28MRP1.SGM 28MRP1 ddrumheller on DSK120RN23PROD with PROPOSALS1 21480 Federal Register / Vol. 89, No. 61 / Thursday, March 28, 2024 / Proposed Rules them in the memorandum. Documents shown or given to Commission staff during ex parte meetings are deemed to be written ex parte presentations and must be filed consistent with rule 1.1206(b). In proceedings governed by rule 1.49(f) or for which the Commission has made available a method of electronic filing, written ex parte presentations and memoranda summarizing oral ex parte presentations, and all attachments thereto, must be filed through the electronic comment filing system available for that proceeding, and must be filed in their native format (e.g., .doc, .xml, .ppt, searchable .pdf). Participants in this proceeding should familiarize themselves with the Commission’s ex parte rules. 8. Filing Requirements—Comments and Replies. Pursuant to §§ 1.415 and 1.419 of the Commission’s rules, 47 CFR 1.145 and 1.419, interested parties may file comments and reply comments on or before the dates indicated on the first page of this document. Comments may be filed using the Commission’s Electronic Comment Filing System (ECFS). See Electronic Filing of Documents in Rulemaking Proceedings, (63 FR 24121). 9. Regulatory Flexibility Act. The Regulatory Flexibility Act of 1980, as amended (RFA) requires that an agency prepare a regulatory flexibility analysis for notice and comment rulemakings, unless the agency certifies that ‘‘the rule will not, if promulgated, have a significant economic impact on a substantial number of small entities.’’ Accordingly, we have prepared an Initial Regulatory Flexibility Analysis (IRFA) concerning the potential impact of rule and policy change proposals on small entities in the Second Further Notice of Proposed Rulemaking. 10. Initial Paperwork Reduction Act Analysis for Second Further Notice of Proposed Rulemaking in MB Docket No. 98–204. This Second FNPRM may contain proposed new or modified information collection requirements. The Commission, as part of its continuing effort to reduce paperwork burdens, invites the general public and the Office of Management and Budget (OMB) to comment on these information collection requirements, as required by the Paperwork Reduction Act of 1995, Public Law 104–13. In addition, pursuant to the Small Business Paperwork Relief Act of 2002, Public Law 107–198, see 44 U.S.C. 3506(c)(4), we seek specific comment on how we might further reduce the information collection burden for small business concerns with fewer than 25 employees. VerDate Sep<11>2014 17:37 Mar 27, 2024 Jkt 262001 11. Providing Accountability Through Transparency Act. The Providing Accountability Through Transparency Act of 2023 requires each agency, in providing notice of a rulemaking, to post online a brief plain-language summary of the proposed rule. Accordingly, the Commission will publish the required summary of this Second Further Notice of Proposed Rulemaking on https://www.fcc.gov/ proposed-rulemakings. Initial Regulatory Flexibility Act Analysis 12. As required by the Regulatory Flexibility Act of 1980, as amended (RFA), the Commission has prepared this Initial Regulatory Flexibility Analysis (IRFA) concerning the possible significant economic impact on small entities of the policies and rules proposed in this Second Further Notice of Proposed Rulemaking (Second FNPRM). The Commission requests written public comments on this IRFA. Comments must be identified as responses to the IRFA and must be filed by the deadlines for comments specified in the Second FNPRM. The Commission will send a copy of the Second FNPRM, including this IRFA, to the Chief Counsel for Advocacy of the Small Business Administration (SBA). In addition, the Second FNPRM and IRFA (or summaries thereof) will be published in the Federal Register. A. Need for, and Objectives of, the Proposed Rules 13. The Second FNPRM seeks to refresh the record regarding the Commission’s annual collection of broadcaster multichannel video programming distributor (MVPD) composition data by race and gender on FCC Form 395–A. In 2001, the Commission suspended the filing of Form 395–A after a federal court decision vacated certain aspects of the Commission’s equal employment opportunity (EEO) requirements for broadcasters. Although the similar requirements for MVPDs have never been challenged, the Commission suspended the collection of both the broadcasters’ Form 395–B and the MVPDs’ Form 395–A, along with various EEO requirements, in order to analyze the impact of the federal court decision. In 2004, the Commission reinstated Forms 395–A and B pending resolution of questions about confidential collection and use of the forms’ data. Today, having resolved the issues related to the confidentiality of the Form 395–B data in the Fourth Report and Order, the Commission now seeks public comment on the legal PO 00000 Frm 00040 Fmt 4702 Sfmt 4702 issues pertaining to availability and confidentiality of Form 395–A data. 14. Consistent with the decision in the Fourth Report and Order to make Form 395–B data public, the Commission tentatively concludes in the Second FNPRM that the collection of Form 395–A should also be reinstated in the same manner as it was previously with regard to public availability. The Communications Act requires an MVPD to make its Form 395–A available for public inspection at the MVPD’s central office and at every office where five or more full-time employees are regularly assigned to work. The Commission has traditionally treated Form 395–A and B data in the same manner with regard to confidentiality. Consequently, the Second FNPRM seeks comment on whether instead of (or in addition to) maintaining the Form 395–A at a MVPD’s central office, the form should now be maintained on the Commission’s website similar to the requirement now established in the Fourth Report and Order for broadcasters’ Form 395–B. Other than a proposal to include a mechanism in the Form 395–A that would enable MVPDs to account for those employees who identify as gender non-binary, the proposed reinstatement of this collection does not change the form’s reporting requirements. We predict that inclusion of this mechanism, which would allow for accurate data gathering, would incur only a minimal economic impact on a substantial number of small entities. B. Legal Basis 15. The proposed action is authorized under sections 1, 2(a), 4(i), 4(j), 4(k), 303, 403, and 634(d) of the Communications Act of 1934, as amended 47 U.S.C. 151, 152(a), 154(i), 154(k), 303, 403, and 554(d). C. Description and Estimate of the Number of Small Entities to Which the Proposed Rules Will Apply 16. The RFA directs agencies to provide a description of, and where feasible, an estimate of the number of small entities that may be affected by the proposed revisions, if adopted. The RFA generally defines the term ‘‘small entity’’ as having the same meaning as the terms ‘‘small business,’’ ‘‘small organization,’’ and ‘‘small governmental jurisdiction.’’ In addition, the term ‘‘small business’’ has the same meaning as the term ‘‘small business concern’’ under the Small Business Act (SBA). A small business concern is one which: (1) is independently owned and operated; (2) is not dominant in its field of operations; and (3) satisfies any E:\FR\FM\28MRP1.SGM 28MRP1 ddrumheller on DSK120RN23PROD with PROPOSALS1 Federal Register / Vol. 89, No. 61 / Thursday, March 28, 2024 / Proposed Rules additional criteria established by the SBA. Below, we provide a description of such small entities, as well as an estimate of the number of such small entities, where feasible. 17. Cable Companies and Systems (Rate Regulation). The Commission has developed its own small business size standard for the purpose of cable rate regulation. Under the Commission’s rules, a ‘‘small cable company’’ is one serving 400,000 or fewer subscribers nationwide. Based on industry data, there are about 420 cable companies in the U.S. Of these, only seven have more than 400,000 subscribers. In addition, under the Commission’s rules, a ‘‘small system’’ is a cable system serving 15,000 or fewer subscribers. Based on industry data, there are about 4,139 cable systems (headends) in the U.S. Of these, about 639 have more than 15,000 subscribers. Accordingly, the Commission estimates that the majority of cable companies and cable systems are small. 18. Cable System Operators (Telecom Act Standard). The Communications Act of 1934, as amended, contains a size standard for a ‘‘small cable operator,’’ which is ‘‘a cable operator that, directly or through an affiliate, serves in the aggregate fewer than one percent of all subscribers in the United States and is not affiliated with any entity or entities whose gross annual revenues in the aggregate exceed $250,000,000.’’ For purposes of the Telecom Act Standard, the Commission determined that a cable system operator that serves fewer than 498,000 subscribers, either directly or through affiliates, will meet the definition of a small cable operator. Based on industry data, only six cable system operators have more than 498,000 subscribers. Accordingly, the Commission estimates that the majority of cable system operators are small under this size standard. We note however, that the Commission neither requests nor collects information on whether cable system operators are affiliated with entities whose gross annual revenues exceed $250 million. Therefore, we are unable at this time to estimate with greater precision the number of cable system operators that would qualify as small cable operators under the definition in the Communications Act. 19. Open Video Systems. The open video system (OVS) framework was established in 1996 and is one of four statutorily recognized options for the provision of video programming services by local exchange carriers. The OVS framework provides opportunities for the distribution of video programming other than through cable systems. OVS operators provide VerDate Sep<11>2014 17:37 Mar 27, 2024 Jkt 262001 subscription services and therefore fall within the SBA small business size standard for the cable services industry, which is ‘‘Wired Telecommunications Carriers.’’ The SBA small business size standard for this industry classifies firms having 1,500 or fewer employees as small. U.S. Census Bureau data for 2017 show that there were 3,054 firms in this industry that operated for the entire year. Of this total, 2,964 firms operated with fewer than 250 employees. Thus, under the SBA size standard the majority of firms in this industry can be considered small. Additionally, we note that the Commission has certified some OVS operators who are now providing service and broadband service providers (BSPs) are currently the only significant holders of OVS certifications or local OVS franchises. The Commission does not have financial or employment information for the entities authorized to provide OVS however, the Commission believes some of the OVS operators may qualify as small entities. 20. Satellite Master Antenna Television (SMATV) Systems, also known as Private Cable Operators (PCOs). SMATV systems or PCOs are video distribution facilities that use closed transmission paths without using any public right-of-way. They acquire video programming and distribute it via terrestrial wiring in urban and suburban multiple dwelling units such as apartments and condominiums, and commercial multiple tenant units such as hotels and office buildings. SMATV systems or PCOs are included in the Wired Telecommunications Carriers’ industry which includes wireline telecommunications businesses. The SBA small business size standard for Wired Telecommunications Carriers classifies firms having 1,500 or fewer employees as small. U.S. Census Bureau data for 2017 show that there were 3,054 firms in this industry that operated for the entire year. Of this total, 2,964 firms operated with fewer than 250 employees. Thus under the SBA size standard, the majority of firms in this industry can be considered small. 21. 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. DBS is included in the Wired Telecommunications Carriers industry which 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 PO 00000 Frm 00041 Fmt 4702 Sfmt 4702 21481 wired telecommunications networks. Transmission facilities may be based on a single technology or 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. 22. The SBA small business size standard for Wired Telecommunications Carriers classifies firms having 1,500 or fewer employees as small. U.S. Census Bureau data for 2017 show that 3,054 firms operated in this industry for the entire year. Of this number, 2,964 firms operated with fewer than 250 employees. Based on this data, the majority of firms in this industry can be considered small under the SBA small business size standard. According to Commission data however, only two entities provide DBS service—DIRECTV (owned by AT&T) and DISH Network, which require a great deal of capital for operation. DIRECTV and DISH Network both exceed the SBA size standard for classification as a small business. Therefore, we must conclude based on internally developed Commission data, in general DBS service is provided only by large firms. D. Description of Projected Reporting, Recordkeeping, and Other Compliance Requirements 23. In this section, we identify the reporting, recordkeeping, and other compliance requirements contained in the Second FNPRM and consider whether small entities are affected disproportionately by any such requirements. To a large degree, the Second FNPRM only seeks to reinstitute the previous reporting, recordkeeping, or compliance requirements for collection of MVPD workforce composition data on Form 395–A, as this collection was previously suspended in 2001. The Second FNPRM, does, however, seek comment on whether to replace the existing requirement that a MVPD maintain a copy of the Form 395–A at its central office with a requirement that a MVPD instead upload a copy of its Form 395– A to the Commission’s website. Alternatively, if the statute were read to compel availability of Form 395–A at MVPD offices, the Second FNPRM seeks comment on whether it is within our authority and consistent with sound E:\FR\FM\28MRP1.SGM 28MRP1 21482 Federal Register / Vol. 89, No. 61 / Thursday, March 28, 2024 / Proposed Rules policy to additionally require availability through the OPIF. So as to harmonize the MVPD requirements with those imposed on broadcasters, the Second FNPRM also seeks comment on whether to modify the Commission’s rules so as to include a statement that the Commission will not use the Form 395–A data when assessing compliance with both the nondiscrimination and EEO requirements of its rules. Currently, the prohibition contained in the Commission’s rules only references a restriction on the use of the Form 395– A data for assessing compliance with the EEO rules. Because the only proposed modification in the Second FNPRM with regard to reporting or recordkeeping obligations is merely a change in the location of where the Form 395–A will be housed (i.e., on the Commission’s website rather than (or in addition to) the MVPDs’ central office), we do not anticipate a significant change in the compliance burden for small entities. Additionally, MVPD employment units with less than six full-time employees are exempt from filing the statistical data requested on the form. Hence, the Commission concludes that small entities will not be disproportionately affected by the Second FNPRM. ddrumheller on DSK120RN23PROD with PROPOSALS1 E. Steps Taken To Minimize Significant Economic Impact on Small Entities, and Significant Alternatives Considered 24. 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, VerDate Sep<11>2014 17:37 Mar 27, 2024 Jkt 262001 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 coverage of the rule, or any part thereof, for small entities. 25. The Second FNPRM seeks to refresh the record regarding the Commission’s annual collection of MVPD workforce composition data by race and gender on Form 395–A. It would lead to a resumption of this data collection and would propose only to modify one of the locations where the Form 395–A should be retained, by seeking comment on whether an MVPD should retain a copy on the Commission’s website in lieu of (or in addition to) at the MVPDs’ central office. To the extent MVPDs were maintaining hard copies of the Form 395–A at their central offices, we anticipate that storing an electronic copy on the Commission’s website will minimize the economic burdens on MVPDs. Where maintenance of a hard copy necessitates the use of MVPD staff time to monitor public access to the Form 395–A, retention of an electronic copy on the Commission’s website presents itself as a simple and straightforward process, requiring only a minimal degree of navigating the Commission’s database system to upload the information. Further, as detailed in the Second FNPRM, the collection of MVPD workforce composition data and providing the data for public inspection are required by section 634(d) of the Act. F. Federal Rules That May Duplicate, Overlap, or Conflict With the Second FNPRM 26. None. PO 00000 Frm 00042 List of Subjects in 47 CFR Part 76 Radio; Reporting and recordkeeping requirements; Television. Federal Communications Commission. Marlene Dortch, Secretary. Proposed Rules For the reasons discussed in the preamble, the Federal Communications Commission proposes to amend 47 CFR part 76 as follows: PART 76—MULTICHANNEL VIDEO AND CABLE TELEVISION SERVICE 1. The authority citation for part 76 continues to read as follows: ■ Authority: 47 U.S.C. 151, 152, 153, 154, 301, 302, 302a, 303, 303a, 307, 308, 309, 312, 315, 317, 325, 338, 339, 340, 341, 503, 521, 522, 531, 532, 534, 535, 536, 537, 543, 544, 544a, 545, 548, 549, 552, 554, 556, 558, 560, 561, 571, 572, 573. ■ 2. Revise § 76.1802 to read as follows: § 76.1802 Annual employment report. Each employment unit with six or more full-time employees shall file an annual employment report on the FCC Form 395–A with the Commission on or before September 30 of each year. Data concerning the gender, race and ethnicity of an employment unit’s workforce collected in the annual employment report will be used only for purposes of analyzing industry trends and making reports to Congress. Such data will not be used for the purpose of assessing any aspect of an individual employment unit’s compliance with our nondiscrimination or EEO rules for multi-channel video program distributors. [FR Doc. 2024–05940 Filed 3–27–24; 8:45 am] BILLING CODE 6712–01–P Fmt 4702 Sfmt 9990 E:\FR\FM\28MRP1.SGM 28MRP1

Agencies

[Federal Register Volume 89, Number 61 (Thursday, March 28, 2024)]
[Proposed Rules]
[Pages 21478-21482]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-05940]


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FEDERAL COMMUNICATIONS COMMISSION

47 CFR Part 76

[MB Docket No. 98-204; FCC 24-18; FR ID 207778]


Review of the Commission's Broadcast and Cable Equal Employment 
Opportunity Rules and Policies

AGENCY: Federal Communications Commission.

ACTION: Proposed rule.

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SUMMARY: In this document, the Federal Communications Commission 
(Commission) refreshes the existing record regarding the statutorily 
mandated collection of workforce composition data for multichannel 
video programming distributors (MVPDs) on FCC Form 395-A.

DATES: Comments due on or before April 29, 2024; reply comments due on 
or before May 13, 2024.

ADDRESSES: You may submit comments, identified by MB Docket No. 98-204, 
by any of the following methods:
     Electronic Filers: Comments may be filed electronically 
using the internet by accessing the ECFS: https://apps.fcc.gov/ecfs/.
     Paper Filers: Parties who choose to file by paper must 
file an original and one copy of each filing.
    Filings can be sent by commercial overnight courier, or by first-
class or overnight U.S. Postal Service mail. All filings must be 
addressed to the Commission's Secretary, Office of the Secretary, 
Federal Communications Commission.
     Commercial overnight mail (other than U.S. Postal Service 
Express Mail and Priority Mail) must be sent to 9050 Junction Drive, 
Annapolis Junction, MD 20701.
     U.S. Postal Service first-class, Express, and Priority 
mail must be addressed to 45 L Street NE, Washington, DC 20554.
     Effective March 19, 2020, and until further notice, the 
Commission no longer accepts any hand or messenger delivered filings. 
This is a temporary measure taken to help protect the health and safety 
of individuals, and to mitigate the transmission of COVID-19. See FCC 
Announces Closure of FCC Headquarters Open Window and Change in Hand-
Delivery Policy, Public Notice, DA 20-304 (March 19, 2020). https://www.fcc.gov/document/fcc-closes-headquarters-open-window-and-changes-hand-delivery-policy.
    People with Disabilities: To request materials in accessible 
formats for people with disabilities (braille, large print, electronic 
files, audio format), send an email to [email protected] (mail to: 
[email protected]) or call the FCC's Consumer and Governmental Affairs 
Bureau at (202) 418-0530 (voice), (202) 418-0432 (TTY).

FOR FURTHER INFORMATION CONTACT: For additional information on this 
proceeding, please contact Christopher Sova of the Media Bureau, 
Industry Analysis Division, [email protected].

SUPPLEMENTARY INFORMATION: This is a summary of the Commission's Second 
Further Notice of Proposed Rulemaking (Second FNPRM) FCC 24-18, in MB 
Docket No. 98-204, adopted on February 7, 2024, and released on 
February 22, 2024. The complete text of this document is available 
electronically via the search function on the FCC's website at https://docs.fcc.gov/public/attachments/FCC-24-18A1.pdf.

Synopsis

    1. Having addressed the issues concerning the reinstatement of the 
Form 395-B data collection, we now seek, by this Second Further Notice 
of Proposed Rulemaking (Second FNPRM), to refresh the existing record 
regarding the statutorily mandated collection of Form 395-A data 
pursuant to 47 U.S.C. 554(d)(3)(A)-(B). Since 1984 the Commission has 
required MVPDs with six or more full-time employees to file the FCC 
Form 395-A. Similar to the Form 395-B collected from broadcasters, Form 
395-A seeks to gather workforce composition data from multichannel 
video programming distributors (MVPDs) on an annual basis. The 
Commission suspended the filing of Form 395-A in 2001 in the wake of 
the decision by the U.S. Circuit Court of Appeals for the District of 
Columbia Circuit in MD/DC/DE Broadcasters Associations v. FCC (MD/DC/DE 
Broadcasters), which vacated certain aspects of the Commission's EEO 
requirements for broadcasters. While the similar requirements for MVPDs 
have never been challenged, the Commission suspended the collection of 
both Forms 395-A and B, along with various EEO

[[Page 21479]]

requirements, in order to analyze the impact of the MD/DC/DE 
Broadcasters decision. In the Third Report and Order and Fourth Notice 
of Proposed Rulemaking (Third Report and Order and Fourth NPRM), the 
Commission reinstated Forms 395-A and B pending resolution of questions 
about confidential collection and use. As the Commission had not 
resolved those questions until its adoption of the Fourth Report and 
Order in MB Docket No. 98-204 (Fourth R&O), the collection of the Form 
395-A remained suspended along with the Form 395-B. Despite that 
suspension, the Commission continued to seek OMB approval for the 
information collection, and during that time, OMB approved both Forms 
395-A and B, subject to the Commission's resolution of confidentiality 
issues regarding the forms' collection and use. Although the filing of 
the Form 395-A has been suspended since 2001, OMB has most recently 
approved the information collection through January 31, 2026.

Discussion

    2. We now seek by this Second FNPRM to refresh the record stemming 
from the Third Report and Order and Fourth NPRM regarding the 
collection of MVPD workforce composition data. Consistent with the 
analysis provided in the Fourth R&O for making Form 395-B data public, 
we tentatively conclude that the collection of Form 395-A also should 
be reinstated and made available for public review. We seek comment as 
to whether Congress's directive that MVPD operators make Form 395-A 
available for public inspection at their own facilities would be 
consistent with our amending our rules to require that MVPD operators 
instead make Form 395-A publicly available through the Commission-
hosted Online Public Inspection File (OPIF). While section 634(d)(3)(B) 
of the Act states that an MVPD should make Form 395-A available for 
public inspection at the MVPD's central office and at every office 
where five or more full-time employees are regularly assigned to work, 
section 634(d)(4) of the Act permits the Commission to amend the 
requirements associated with Form 395-A as needed. We tentatively 
conclude that requiring the Form 395-A to be placed in the OPIF would 
be more efficient for the public that wishes to review such reports, as 
OPIF provides one online site for such review. We also tentatively 
conclude that hosting the reports in OPIF will reduce the burdens 
placed on MVPDs, as this will relieve the MVPDs of maintaining such 
reports at individual central offices, including providing sufficient 
staffing for such offices. We also tentatively conclude that our 
proposal to change the location of where the Form 395-A data will be 
housed from the MVPD's central office to the OPIF website is consistent 
with the basic intent of section 634(d)(3)(B) of the Act, which is to 
ensure that the public has access to the Form 395-A data. We seek 
comment on these tentative conclusions. Alternatively, if section 
634(d)(3)(B) of the Act were to be read to compel availability of Form 
395-A at MVPD offices, would it be within our authority and consistent 
with sound policy to additionally require availability through OPIF?
    3. In the Order on Reconsideration, we modified Sec.  73.3612 of 
our rules to specifically state that the Form 395-B data will not be 
used in assessing any aspect of an individual broadcast licensee's or 
permittee's compliance with both the nondiscrimination and equal 
employment opportunity requirements of Sec.  73.2080. Despite the 
slight variation in the underlying statutory authority for the 
collection of the workforce employment data from MVPDs versus 
broadcasters, the Commission traditionally has treated both data 
collections in a similar manner. In this regard, the Commission has 
imposed the same restrictions on the use of workforce composition data 
stemming from both Forms 395-A and B. Consequently, we tentatively 
conclude that Sec.  76.1802 of our rules concerning the MVPD annual 
employment report should be modified so as to align with the 
modifications made to Sec.  73.3612 of our rules for broadcasters in 
the Order on Reconsideration. In the Order on Reconsideration, we 
incorporated what appears as a Note to Sec.  73.3612 into the rule 
itself to conform to the publishing conventions of the National 
Archives and Records Administration's Office of the Federal Register. 
We seek comment on our tentative conclusion to do the same with regard 
to the language that currently appears as a Note to Sec.  76.1802, to 
read as follows:
    Each employment unit with six or more full-time employees shall 
file an annual employment report on the FCC Form 395-A with the 
Commission on or before September 30 of each year. Data concerning the 
gender, race and ethnicity of an employment unit's workforce collected 
in the annual employment report will be used only for purposes of 
analyzing industry trends and making reports to Congress. Such data 
will not be used for the purpose of assessing any aspect of an 
individual employment unit's compliance with our nondiscrimination or 
EEO rules for multi-channel video program distributors.
    4. As stated in the Fourth R&O, the Form 395-B will include a 
mechanism to provide further specificity about broadcaster employees' 
gender identities. We seek comment on whether we should adopt a similar 
mechanism for the Form 395-A.
    5. We also seek comment on the attendant costs and benefits of any 
proposals advanced in response to this item.
    6. Digital Equity and Inclusion. Finally, the Commission, as part 
of its continuing effort to advance digital equity for all under 47 
U.S.C. 151, including people of color, persons with disabilities, 
persons who live in rural or Tribal areas, and others who are or have 
been historically underserved, marginalized, or adversely affected by 
persistent poverty or inequality, invites comment on any equity-related 
considerations and benefits (if any) that may be associated with the 
proposals and issues discussed herein. Specifically, we seek comment on 
how our proposals may promote or inhibit advances in diversity, equity, 
inclusion, and accessibility, as well the scope of the Commission's 
relevant legal authority.

Procedural Matters

    7. Ex Parte Rules--Permit-But-Disclose. With respect to the Second 
FNPRM, this proceeding shall be treated as a ``permit-but-disclose'' 
proceeding in accordance with the Commission's ex parte rules at 47 CFR 
1.1200 et seq. Persons making ex parte presentations must file a copy 
of any written presentation or a memorandum summarizing any oral 
presentation within two business days after the presentation (unless a 
different deadline applicable to the Sunshine period applies). Persons 
making oral ex parte presentations are reminded that memoranda 
summarizing the presentation must (1) list all persons attending or 
otherwise participating in the meeting at which the ex parte 
presentation was made, and (2) summarize all data presented and 
arguments made during the presentation. If the presentation consisted 
in whole or in part of the presentation of data or arguments already 
reflected in the presenter's written comments, memoranda, or other 
filings in the proceeding, the presenter may provide citations to such 
data or arguments in his or her prior comments, memoranda, or other 
filings (specifying the relevant page and/or paragraph numbers where 
such data or arguments can be found) in lieu of summarizing

[[Page 21480]]

them in the memorandum. Documents shown or given to Commission staff 
during ex parte meetings are deemed to be written ex parte 
presentations and must be filed consistent with rule 1.1206(b). In 
proceedings governed by rule 1.49(f) or for which the Commission has 
made available a method of electronic filing, written ex parte 
presentations and memoranda summarizing oral ex parte presentations, 
and all attachments thereto, must be filed through the electronic 
comment filing system available for that proceeding, and must be filed 
in their native format (e.g., .doc, .xml, .ppt, searchable .pdf). 
Participants in this proceeding should familiarize themselves with the 
Commission's ex parte rules.
    8. Filing Requirements--Comments and Replies. Pursuant to 
Sec. Sec.  1.415 and 1.419 of the Commission's rules, 47 CFR 1.145 and 
1.419, interested parties may file comments and reply comments on or 
before the dates indicated on the first page of this document. Comments 
may be filed using the Commission's Electronic Comment Filing System 
(ECFS). See Electronic Filing of Documents in Rulemaking Proceedings, 
(63 FR 24121).
    9. Regulatory Flexibility Act. The Regulatory Flexibility Act of 
1980, as amended (RFA) requires that an agency prepare a regulatory 
flexibility analysis for notice and comment rulemakings, unless the 
agency certifies that ``the rule will not, if promulgated, have a 
significant economic impact on a substantial number of small 
entities.'' Accordingly, we have prepared an Initial Regulatory 
Flexibility Analysis (IRFA) concerning the potential impact of rule and 
policy change proposals on small entities in the Second Further Notice 
of Proposed Rulemaking.
    10. Initial Paperwork Reduction Act Analysis for Second Further 
Notice of Proposed Rulemaking in MB Docket No. 98-204. This Second 
FNPRM may contain proposed new or modified information collection 
requirements. The Commission, as part of its continuing effort to 
reduce paperwork burdens, invites the general public and the Office of 
Management and Budget (OMB) to comment on these information collection 
requirements, as required by the Paperwork Reduction Act of 1995, 
Public Law 104-13. In addition, pursuant to the Small Business 
Paperwork Relief Act of 2002, Public Law 107-198, see 44 U.S.C. 
3506(c)(4), we seek specific comment on how we might further reduce the 
information collection burden for small business concerns with fewer 
than 25 employees.
    11. Providing Accountability Through Transparency Act. The 
Providing Accountability Through Transparency Act of 2023 requires each 
agency, in providing notice of a rulemaking, to post online a brief 
plain-language summary of the proposed rule. Accordingly, the 
Commission will publish the required summary of this Second Further 
Notice of Proposed Rulemaking on https://www.fcc.gov/proposed-rulemakings.

Initial Regulatory Flexibility Act Analysis

    12. As required by the Regulatory Flexibility Act of 1980, as 
amended (RFA), the Commission has prepared this Initial Regulatory 
Flexibility Analysis (IRFA) concerning the possible significant 
economic impact on small entities of the policies and rules proposed in 
this Second Further Notice of Proposed Rulemaking (Second FNPRM). The 
Commission requests written public comments on this IRFA. Comments must 
be identified as responses to the IRFA and must be filed by the 
deadlines for comments specified in the Second FNPRM. The Commission 
will send a copy of the Second FNPRM, including this IRFA, to the Chief 
Counsel for Advocacy of the Small Business Administration (SBA). In 
addition, the Second FNPRM and IRFA (or summaries thereof) will be 
published in the Federal Register.

A. Need for, and Objectives of, the Proposed Rules

    13. The Second FNPRM seeks to refresh the record regarding the 
Commission's annual collection of broadcaster multichannel video 
programming distributor (MVPD) composition data by race and gender on 
FCC Form 395-A. In 2001, the Commission suspended the filing of Form 
395-A after a federal court decision vacated certain aspects of the 
Commission's equal employment opportunity (EEO) requirements for 
broadcasters. Although the similar requirements for MVPDs have never 
been challenged, the Commission suspended the collection of both the 
broadcasters' Form 395-B and the MVPDs' Form 395-A, along with various 
EEO requirements, in order to analyze the impact of the federal court 
decision. In 2004, the Commission reinstated Forms 395-A and B pending 
resolution of questions about confidential collection and use of the 
forms' data. Today, having resolved the issues related to the 
confidentiality of the Form 395-B data in the Fourth Report and Order, 
the Commission now seeks public comment on the legal issues pertaining 
to availability and confidentiality of Form 395-A data.
    14. Consistent with the decision in the Fourth Report and Order to 
make Form 395-B data public, the Commission tentatively concludes in 
the Second FNPRM that the collection of Form 395-A should also be 
reinstated in the same manner as it was previously with regard to 
public availability. The Communications Act requires an MVPD to make 
its Form 395-A available for public inspection at the MVPD's central 
office and at every office where five or more full-time employees are 
regularly assigned to work. The Commission has traditionally treated 
Form 395-A and B data in the same manner with regard to 
confidentiality. Consequently, the Second FNPRM seeks comment on 
whether instead of (or in addition to) maintaining the Form 395-A at a 
MVPD's central office, the form should now be maintained on the 
Commission's website similar to the requirement now established in the 
Fourth Report and Order for broadcasters' Form 395-B. Other than a 
proposal to include a mechanism in the Form 395-A that would enable 
MVPDs to account for those employees who identify as gender non-binary, 
the proposed reinstatement of this collection does not change the 
form's reporting requirements. We predict that inclusion of this 
mechanism, which would allow for accurate data gathering, would incur 
only a minimal economic impact on a substantial number of small 
entities.

B. Legal Basis

    15. The proposed action is authorized under sections 1, 2(a), 4(i), 
4(j), 4(k), 303, 403, and 634(d) of the Communications Act of 1934, as 
amended 47 U.S.C. 151, 152(a), 154(i), 154(k), 303, 403, and 554(d).

C. Description and Estimate of the Number of Small Entities to Which 
the Proposed Rules Will Apply

    16. The RFA directs agencies to provide a description of, and where 
feasible, an estimate of the number of small entities that may be 
affected by the proposed revisions, if adopted. The RFA generally 
defines the term ``small entity'' as having the same meaning as the 
terms ``small business,'' ``small organization,'' and ``small 
governmental jurisdiction.'' In addition, the term ``small business'' 
has the same meaning as the term ``small business concern'' under the 
Small Business Act (SBA). A small business concern is one which: (1) is 
independently owned and operated; (2) is not dominant in its field of 
operations; and (3) satisfies any

[[Page 21481]]

additional criteria established by the SBA. Below, we provide a 
description of such small entities, as well as an estimate of the 
number of such small entities, where feasible.
    17. Cable Companies and Systems (Rate Regulation). The Commission 
has developed its own small business size standard for the purpose of 
cable rate regulation. Under the Commission's rules, a ``small cable 
company'' is one serving 400,000 or fewer subscribers nationwide. Based 
on industry data, there are about 420 cable companies in the U.S. Of 
these, only seven have more than 400,000 subscribers. In addition, 
under the Commission's rules, a ``small system'' is a cable system 
serving 15,000 or fewer subscribers. Based on industry data, there are 
about 4,139 cable systems (headends) in the U.S. Of these, about 639 
have more than 15,000 subscribers. Accordingly, the Commission 
estimates that the majority of cable companies and cable systems are 
small.
    18. Cable System Operators (Telecom Act Standard). The 
Communications Act of 1934, as amended, contains a size standard for a 
``small cable operator,'' which is ``a cable operator that, directly or 
through an affiliate, serves in the aggregate fewer than one percent of 
all subscribers in the United States and is not affiliated with any 
entity or entities whose gross annual revenues in the aggregate exceed 
$250,000,000.'' For purposes of the Telecom Act Standard, the 
Commission determined that a cable system operator that serves fewer 
than 498,000 subscribers, either directly or through affiliates, will 
meet the definition of a small cable operator. Based on industry data, 
only six cable system operators have more than 498,000 subscribers. 
Accordingly, the Commission estimates that the majority of cable system 
operators are small under this size standard. We note however, that the 
Commission neither requests nor collects information on whether cable 
system operators are affiliated with entities whose gross annual 
revenues exceed $250 million. Therefore, we are unable at this time to 
estimate with greater precision the number of cable system operators 
that would qualify as small cable operators under the definition in the 
Communications Act.
    19. Open Video Systems. The open video system (OVS) framework was 
established in 1996 and is one of four statutorily recognized options 
for the provision of video programming services by local exchange 
carriers. The OVS framework provides opportunities for the distribution 
of video programming other than through cable systems. OVS operators 
provide subscription services and therefore fall within the SBA small 
business size standard for the cable services industry, which is 
``Wired Telecommunications Carriers.'' The SBA small business size 
standard for this industry classifies firms having 1,500 or fewer 
employees as small. U.S. Census Bureau data for 2017 show that there 
were 3,054 firms in this industry that operated for the entire year. Of 
this total, 2,964 firms operated with fewer than 250 employees. Thus, 
under the SBA size standard the majority of firms in this industry can 
be considered small. Additionally, we note that the Commission has 
certified some OVS operators who are now providing service and 
broadband service providers (BSPs) are currently the only significant 
holders of OVS certifications or local OVS franchises. The Commission 
does not have financial or employment information for the entities 
authorized to provide OVS however, the Commission believes some of the 
OVS operators may qualify as small entities.
    20. Satellite Master Antenna Television (SMATV) Systems, also known 
as Private Cable Operators (PCOs). SMATV systems or PCOs are video 
distribution facilities that use closed transmission paths without 
using any public right-of-way. They acquire video programming and 
distribute it via terrestrial wiring in urban and suburban multiple 
dwelling units such as apartments and condominiums, and commercial 
multiple tenant units such as hotels and office buildings. SMATV 
systems or PCOs are included in the Wired Telecommunications Carriers' 
industry which includes wireline telecommunications businesses. The SBA 
small business size standard for Wired Telecommunications Carriers 
classifies firms having 1,500 or fewer employees as small. U.S. Census 
Bureau data for 2017 show that there were 3,054 firms in this industry 
that operated for the entire year. Of this total, 2,964 firms operated 
with fewer than 250 employees. Thus under the SBA size standard, the 
majority of firms in this industry can be considered small.
    21. 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. DBS is included in the Wired 
Telecommunications Carriers industry which 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 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.
    22. The SBA small business size standard for Wired 
Telecommunications Carriers classifies firms having 1,500 or fewer 
employees as small. U.S. Census Bureau data for 2017 show that 3,054 
firms operated in this industry for the entire year. Of this number, 
2,964 firms operated with fewer than 250 employees. Based on this data, 
the majority of firms in this industry can be considered small under 
the SBA small business size standard. According to Commission data 
however, only two entities provide DBS service--DIRECTV (owned by AT&T) 
and DISH Network, which require a great deal of capital for operation. 
DIRECTV and DISH Network both exceed the SBA size standard for 
classification as a small business. Therefore, we must conclude based 
on internally developed Commission data, in general DBS service is 
provided only by large firms.

D. Description of Projected Reporting, Recordkeeping, and Other 
Compliance Requirements

    23. In this section, we identify the reporting, recordkeeping, and 
other compliance requirements contained in the Second FNPRM and 
consider whether small entities are affected disproportionately by any 
such requirements. To a large degree, the Second FNPRM only seeks to 
reinstitute the previous reporting, recordkeeping, or compliance 
requirements for collection of MVPD workforce composition data on Form 
395-A, as this collection was previously suspended in 2001. The Second 
FNPRM, does, however, seek comment on whether to replace the existing 
requirement that a MVPD maintain a copy of the Form 395-A at its 
central office with a requirement that a MVPD instead upload a copy of 
its Form 395-A to the Commission's website. Alternatively, if the 
statute were read to compel availability of Form 395-A at MVPD offices, 
the Second FNPRM seeks comment on whether it is within our authority 
and consistent with sound

[[Page 21482]]

policy to additionally require availability through the OPIF. So as to 
harmonize the MVPD requirements with those imposed on broadcasters, the 
Second FNPRM also seeks comment on whether to modify the Commission's 
rules so as to include a statement that the Commission will not use the 
Form 395-A data when assessing compliance with both the 
nondiscrimination and EEO requirements of its rules. Currently, the 
prohibition contained in the Commission's rules only references a 
restriction on the use of the Form 395-A data for assessing compliance 
with the EEO rules. Because the only proposed modification in the 
Second FNPRM with regard to reporting or recordkeeping obligations is 
merely a change in the location of where the Form 395-A will be housed 
(i.e., on the Commission's website rather than (or in addition to) the 
MVPDs' central office), we do not anticipate a significant change in 
the compliance burden for small entities. Additionally, MVPD employment 
units with less than six full-time employees are exempt from filing the 
statistical data requested on the form. Hence, the Commission concludes 
that small entities will not be disproportionately affected by the 
Second FNPRM.

E. Steps Taken To Minimize Significant Economic Impact on Small 
Entities, and Significant Alternatives Considered

    24. 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 coverage of the rule, or any part thereof, for small 
entities.
    25. The Second FNPRM seeks to refresh the record regarding the 
Commission's annual collection of MVPD workforce composition data by 
race and gender on Form 395-A. It would lead to a resumption of this 
data collection and would propose only to modify one of the locations 
where the Form 395-A should be retained, by seeking comment on whether 
an MVPD should retain a copy on the Commission's website in lieu of (or 
in addition to) at the MVPDs' central office. To the extent MVPDs were 
maintaining hard copies of the Form 395-A at their central offices, we 
anticipate that storing an electronic copy on the Commission's website 
will minimize the economic burdens on MVPDs. Where maintenance of a 
hard copy necessitates the use of MVPD staff time to monitor public 
access to the Form 395-A, retention of an electronic copy on the 
Commission's website presents itself as a simple and straightforward 
process, requiring only a minimal degree of navigating the Commission's 
database system to upload the information. Further, as detailed in the 
Second FNPRM, the collection of MVPD workforce composition data and 
providing the data for public inspection are required by section 634(d) 
of the Act.

F. Federal Rules That May Duplicate, Overlap, or Conflict With the 
Second FNPRM

    26. None.

List of Subjects in 47 CFR Part 76

    Radio; Reporting and recordkeeping requirements; Television.

Federal Communications Commission.
Marlene Dortch,
Secretary.

Proposed Rules

    For the reasons discussed in the preamble, the Federal 
Communications Commission proposes to amend 47 CFR part 76 as follows:

PART 76--MULTICHANNEL VIDEO AND CABLE TELEVISION SERVICE

0
1. The authority citation for part 76 continues to read as follows:

    Authority:  47 U.S.C. 151, 152, 153, 154, 301, 302, 302a, 303, 
303a, 307, 308, 309, 312, 315, 317, 325, 338, 339, 340, 341, 503, 
521, 522, 531, 532, 534, 535, 536, 537, 543, 544, 544a, 545, 548, 
549, 552, 554, 556, 558, 560, 561, 571, 572, 573.

0
2. Revise Sec.  76.1802 to read as follows:


Sec.  76.1802  Annual employment report.

    Each employment unit with six or more full-time employees shall 
file an annual employment report on the FCC Form 395-A with the 
Commission on or before September 30 of each year. Data concerning the 
gender, race and ethnicity of an employment unit's workforce collected 
in the annual employment report will be used only for purposes of 
analyzing industry trends and making reports to Congress. Such data 
will not be used for the purpose of assessing any aspect of an 
individual employment unit's compliance with our nondiscrimination or 
EEO rules for multi-channel video program distributors.

[FR Doc. 2024-05940 Filed 3-27-24; 8:45 am]
BILLING CODE 6712-01-P


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