Supporting statement OMB 3060-0419 (032020)

Supporting statement OMB 3060-0419 (032020).docx

Sections 76.94, Notification; 76.95, Exceptions, 76.105, Notification; 76.106, Exceptions; 76.107, Exclusivity contracts; and 76.1609, Non duplication and syndicated exclusivity

OMB: 3060-0419

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OMB 3060‑0419 March 2020

Title: Sections 76.94, Notification; 76.95, Exceptions; 76.105, Notification; 76.106, Exceptions; 76.107, Exclusivity Contracts and 76.1609, Non‑Duplication and Syndicated Exclusivity


SUPPORTING STATEMENT 



A. Justification


1. On January 30, 2020, the Commission adopted a Report and Order, FCC 20-8, in MB Docket Nos. 19-165 and 17-105 (Report and Order). The Report and Order updated the Commission’s notification rules for cable operators and direct broadcast satellite providers by transitioning certain written notices from paper to electronic delivery via e-mail. To help effectuate this transition to e-mail delivery of notices, the Report and Order revises 47 CFR 76.1609 to require that after July 31, 2020, the notices mandated by the rule must be delivered to broadcast stations electronically in accordance with 47 CFR 76.1600.1


This supporting statement is being updated to reflect the changes to 47 CFR 76.1609.


The following revisions to this information collection require approval from the Office of Management and Budget (OMB). These changes are non-substantive in nature to a currently approved information collection.


47 CFR 76.1609 is amended to require that after July 31, 2020, in lieu of serving paper copies on the relevant stations, cable operators shall provide the required copies to such stations by electronic delivery in accordance with 47 CFR Section 76.1600.


The following information collection requirements are currently approved under this collection.


47 CFR Sections 76.94(a) and 76.105(a) require television stations and program distributors to notify cable television system operators of network non-duplication protection and syndicated exclusivity rights2 being sought. The notification shall include (1) the name and address of the party requesting non-duplication protection/syndicated exclusivity rights and the television broadcast station holding the non-duplication/syndicated exclusivity right; (2) the name of the program or series for which protection/exclusivity is sought; and (3) the dates on which protection/exclusivity is to begin and end.


47 CFR Section 76.94(b) requires broadcasters entering into contracts providing for network non-duplication protection to notify cable systems within 60 days of the signing of such a contract. If they are unable to provide notices as provided for in Section 74.94(a), they must provide modified notices that contain the name of the network which has extended non-duplication protection, the time periods by time of day and by network for each day of the week that the broadcaster will be broadcasting programs from that network, and the duration and extent of the protection.


47 CFR Section 76.105(b) requires broadcasters entering into contracts providing for syndicated exclusivity protection to notify cable systems within 60 days of the signing of such a contract.


47 CFR Section 76.94(d) requires broadcasters to provide the following information to cable

television systems under the following circumstances: (1) In the event the protection specified in the notices described in 47 CFR Section 76.94(a) or (b) has been limited or ended prior to the time specified in the notice, or in the event a time period, as identified to the cable system in a notice pursuant to Section 76.94(b) for which a broadcaster has obtained protection is shifted to another time of day or another day (but not expanded), the broadcaster shall, as soon as possible, inform each cable television system operator that has previously received the notice of all changes from the original notice. Notice to be furnished "as soon as possible" under this subsection shall be furnished by telephone, telegraph, facsimile, overnight mail or other similar expedient means. (2) In the event the protection specified in the modified notices described in Section 76.94(b) has been expanded, the broadcaster shall, at least 60 calendar days prior to broadcast of a protected program entitled to such expanded protection, notify each cable system operator that has previously received notice of all changes from the original notice.


47 CFR Sections 76.94(e)(2) and 76.105(c)(2) state that if a cable television system asks a television station for information about its program schedule, the television station shall answer the request.


47 CFR Sections 76.94(f) and 76.107 require broadcaster or program distributor exercising network non-duplication protection or syndicated exclusivity rights to provide to the cable system, upon request, an exact copy of those portions of the contracts, such portions to be signed by both the network or program distributor and the broadcaster, setting forth in full the provisions pertinent to the duration, nature, and extent of the network non‑duplication or syndicated exclusivity terms concerning broadcast signal exhibition to which the parties have agreed. Providing copies of relevant portions of the contracts is assumed to be accomplished in the notification process set forth in Sections 76.94 and 76.105.


47 CFR Section 76.95 states that the provisions of Sections 76.92 through 76.94 (including the notification provisions of Section 76.94) shall not apply to a cable system serving fewer than 1,000 subscribers. Within 60 days following the provision of service to 1,000 subscribers, the operator of each such system shall file a notice to that effect with the Commission, and serve a copy of that notice on every television station that would be entitled to exercise network non-duplication protection against it.


47 CFR Section 76.105(d) requires that in the event the exclusivity specified in Section 76.105(a) has been limited or has ended prior to the time specified in the notice, the distributor or broadcaster who has supplied the original notice shall, as soon as possible, inform each cable television system operator that has previously received the notice of all changes from the original notice. In the event the original notice specified contingent dates on which exclusivity is to begin and/or end, the distributor or broadcaster shall, as soon as possible, notify the cable television system operator of the occurrence of the relevant contingency. Notice to be furnished "as soon as possible" under this subsection shall be furnished by telephone, telegraph, facsimile, overnight mail or other similar expedient means.

47 CFR Section 76.106(b) states that the provisions of Sections 76.101 through 76.105 (including the notification provisions of Section 76.105) shall not apply to a cable system serving fewer than 1,000 subscribers. Within 60 days following the provision of service to 1,000 subscribers, the operator of each such system shall file a notice to effect with the Commission, and serve a copy of that notice on every television station that would be entitled to exercise syndicated exclusivity protection against it.


47 CFR Section 76.1609 states that within 60 days following the provision of service to 1,000 subscribers, the operator of each cable system shall file a notice to that effect with the Commission, and serve a copy of that notice on every television station that would be entitled to exercise network non-duplication or syndicated exclusivity protection against it.


This information collection does not affect individuals or households; thus, there are no impacts under the Privacy Act.


Statutory authority for this collection of information is contained in Section 4(i) of the Communications Act of 1934, as amended.


2. The purpose of the various notification and disclosure requirements accounted for in this collection is to protect broadcasters who purchase the exclusive rights to transmit network or syndicated programming in their recognized market areas. The Commission's network non-duplication and syndicated exclusivity rules permit, but do not require broadcasters and program distributors to obtain the same enforceable exclusive distribution rights for network and syndicated programming that all other video programming distributors possess.


3. Where possible, information technology has been relied upon to reduce the burden of compliance for these procedures..


4. This agency does not impose similar information collection requirements on the respondents.


5. This collection does not have a significant impact on a substantial number of small entities. The Commission's network non-duplication provisions and syndicated exclusivity provisions are not applicable to cable television systems serving fewer than 1,000 subscribers.


6. If the Commission did not sponsor this collection, broadcasters would have no process for exercising their network non-duplication and syndicated exclusivity rights.

7. The following special circumstances apply to this collection of information:


Sections 76.94(e) and 76.105(c) require a broadcaster to provide cable systems with information on programs subject to deletion within ten business days following the television station's receipt of the request or sixty days before the program is to be broadcast, whichever comes later. This is necessary because program schedules are subject to change on a short-term basis.


Under section 76.94(d)(1), if an affiliate decides to preempt or otherwise not to carry network programming during the hours specified in its notice, the affiliate must give the cable system notice as soon as possible. Additionally, under section 76.105(d), if a broadcaster has lost or abandoned its syndicated exclusivity rights to a program for which the broadcaster has previously requested protection, it must notify the cable system as soon as possible of the loss of any syndicated exclusivity protection that the broadcaster has previously claimed. This is necessary to allow cable systems ample time to plan their program schedules.


8. The Commission published a Notice (83 FR 49923) in the Federal Register on October 3, 2018 seeking comment from the public on the information collection requirements contained in this supporting statement. No comments were received from the public.


9. There will be no payment or gifts given to respondents.


10. There is no need for confidentiality with this collection of information.


11. This collection of information does not address any private matters of a sensitive nature.


12. The Commission estimates the annual paperwork burden for the various notification and disclosure requirements as follows:








Rule Sections





Total Number of Respondents





Estimated Number of Responses





Total Number of Responses


Estimated Hours for Respondent to Complete Information Collections




Total Annual

Burden Hours




Hourly

In House” Cost





Total

In House” Costs


Section 76.94(a) &

Section 76.105(a)

(Notification of Rights)




1,377 Commercial TV Stations





12 Notifications






16,524

Notifications





1 hour/ notification






16,524 hours






$18/hr.







$297,432









Sections 76.94(b) and 76 .105(b)

(Notifications of Contracts)



1,377 Commercial TV Stations




12 Notifications




16,524

Notifications




1 hour/

notification





16,524 hours





$18/hr.





$297,432










Section 76.94(d) &

Section 76.105(d)

(Notification to Cable Systems of Change)





1,377 Commercial TV Stations






52 Notifications







71,604

Notifications






1 hour/ notification







71,604 hours







$18/hr.








$1,288,872












Section 76.94(e)(2) and

Section 76.105(c)

(2) (Responses to Cable Systems)




1,377 Commercial TV Stations






1 Response/TV Station







1,377

Responses







1

hour/response








1,377 hours








$18/hr.









$24,786




Sections 76.94(f) and 76.107

(Exact copy of contract to cable systems)








4,600 Cable TV Systems






24 Request/

System for Copies of Contract









110,400

Requests









1 hour/request








110,400

hours









$18/hr.










$1,987,200





Sections 76.94(f) and 76.107 (Exact copy of contract to cable systems)








1,377 Commercial TV Stations

24 responses/

television station responding to cable television request for copies of contracts








33,048

Responses








.50 hours/response









16,524 hours









$18/hr.










$297,432









Section 76.95(a), Section 76.106(b) and Section 76.1609

(Termination of Small System Exceptions)


100 Cable TV Systems



1 Notice



100 Notices



2 hours/notice



200 hours



$18/hr.



$3,600



















Totals:








249,577

Responses




233,153

hours







$4,196,754

Total Number of Respondents: 1,377 Commercial TV Stations

4,600 Cable Systems

5,977


Total Number of Reponses: 249,577 (multiple responses)



Total Annual Burden Hours: 233,153 hours



Total Annual In-house Cost: $4,196,754


These estimates are based on Commission staff's knowledge and familiarity with the availability of the data required.


13. Annual Cost Burden:


  1. Total annualized capital/startup costs: None


  1. Total annual costs (O&M): None


(c) Total annualized cost requested: None

14. There is no cost to the Federal Government.


15. There are no program changes or adjustments to this collection.


16. These data will not be published for statistical use.


17. We do not seek approval to not display the expiration date for OMB approval of this information collection.


18. There are no exceptions to the Certification Statement.


B. Collections of Information Employing Statistical Methods:


No statistical methods are employed.

1 See OMB Control No. 3060-0652, Section 76.309, Customer Service Obligations; Section 76.1600, Electronic Delivery of Notices; Section 76.1602, Customer Service  – General Information, Section 76.1603, Customer Service – Rate and Service Changes and 76.1619, Information and Subscriber Bills.

2 The term “network non-duplication and syndicated exclusivity rights” refers to the Commission’s rules which prohibit cable operators from importing network or syndicated programming of distant station for which local broadcasters have acquired exclusive broadcast rights.




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