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FCC Chairman to Open Up Quiet Period for Comment
Martin on Quiet Period: "It Is Important as You Approach the DTV Transition"
| Source: American Cable Association
PITTSBURGH, PA--(Marketwire - November 11, 2008) - Federal Communications Commission (FCC)
Chairman Kevin Martin yesterday voiced his support for a rulemaking that
would establish a quiet period for broadcast carriage talks between cable
operators and broadcasters during the digital television (DTV) transition.
Responding to a report by Broadcasting & Cable yesterday, ACA applauded the
Chairman for his leadership and renewed its claim that for a quiet period
to be effective, it must begin no later than December 31, 2008 -- the
expiration date of thousands of current broadcast carriage deals.
"The date of the DTV transition is rapidly approaching and every precaution
must be taken to ensure its success," said ACA president and Chief
Executive Officer Matthew M. Polka. "It is encouraging that Chairman Martin
continues to recognize how important a quiet period is to the success of
the transition, and that he is committed to issuing a rulemaking notice to
solicit comments from interested parties. We thank the Chairman and the
other Commissioners for their leadership on this matter.
"Unless the FCC establishes a quiet period, dropped signals in the months
ahead will continue to cause confused cable and satellite customers to
needlessly request digital-to-analog converter box coupons," Polka
continued. "These added requests would cause a potentially unsustainable
strain on the National Telecommunications and Information Agency's (NTIA)
coupon program and could ultimately mean households that actually need
government coupons and converter boxes may not be able to get them and
would lose television service. To minimize this risk, it's essential that
the Commission establish a quiet period that beings before December 31, the
date most broadcast carriage agreements expire."
The NTIA recently reported an "uptick" in households requesting coupons in
some markets affected by LIN TV's decision to pull 15 broadcast stations
from 1.5 million Time Warner and Bright House cable customers in 11 markets
for nearly a month in October. There is reason to believe that the
increase in coupon demand in these markets was caused by confused cable
customers. The Government Accountability Office's (GAO) June report to
Congress found that among households that would be unaffected by the
transition, which includes many cable and satellite TV customers, 30
percent actually had plans to ready themselves -- despite the fact that no
action is required on their part to maintain television service (the report
is available here).
On October 22, Reps. Anna Eshoo (D-CA) and Nathan Deal (R-GA), two
lawmakers who support the establishment of a quiet period, sent a letter to
NTIA Acting Secretary Meredith Baker and FCC Chairman Kevin Martin seeking
data to determine the impact of pulled stations caused by broadcast
carriage disputes on the government's coupon program (the letter is
available here). Noting the NTIA's report of an "uptick" in demand for
converter box coupons in markets affected by the recent carriage dispute
involving LIN TV, the lawmakers asked the NTIA to provide coupon request
data from affected markets. The NTIA has not yet responded to the
Representatives' request.
According to the Government Accountability Office's (GAO) September 15
Congressional Report, an increase in coupon requests as the transition date
nears, might mean that consumers who actually need a box would incur a
significant wait time before they receive their coupons, and might even
lose television service before the coupon arrives (the report is available
here). Some
lawmakers and policymakers have also raised concerns that the NTIA's coupon
program does not have enough funding to meet the demands of all
broadcast-only homes.
In July, the American Cable Association (ACA) first urged the Commission to
prohibit broadcasters and operators from pulling television stations from
cable and satellite TV customers for a period of time around the digital
transition that lasts until at least May 31, 2009 (the filing is available
here). In May, the ACA
first notified Congress that there was risk that upcoming broadcast
carriage negotiations could derail the digital television transition (the
testimony is available here).
About the American Cable Association
Based in Pittsburgh, the American Cable Association is a trade organization
representing 1,100 smaller and medium-sized, independent cable companies
who provide broadband services for more than 7 million cable subscribers
primarily located in rural and smaller suburban markets across America.
Through active participation in the regulatory and legislative process in
Washington, D.C., ACA's members work together to advance the interests of
their customers and ensure the future competitiveness and viability of
their business. For more information, visit www.americancable.org.