FCC dismissed 6 must-carry complaints against EchoStar in separate rulings announced Fri. Good Life Bcstg.(WTGL-TV Cocoa, Fla.), Christian TV (WFGC Palm Beach), Christian TV Network (WHTN Murfreesboro, Tenn.), LeSEA Bcstg. (WHMB-TV Indianapolis), Carolina Christian Bcstg.(WGGS-Greenville, S.C.) and Community TV (WATC Atlanta) had filed complaints in Sept. charging DISH network had refused to carry their programming. Stations “have been dropping their complaints simply because we have agreed to carry their channel or we have assisted them with proving their signal quality,” EchoStar spokesman said Mon. Signal quality was major issue in disputes. Spokesman said EchoStar hadn’t revealed how many complaints were filed or how many of public stations it intended to carry. Instead, company will allow FCC to sort out numbers. “We're concentrating all of our efforts on getting ready” for must-carry legislation, he said.
U.S. Appeals Court, D.C., upheld FCC revision of installment payment rules for interactive video and data service (IVDS) licensees. Court rejected Celtronix Telemetry argument that rule change violated Administrative Procedure Act prohibition on retroactive rulemaking. Celtronix said agency had exceeded its authority when it changed installment payment rules for companies that won IVDS licenses in 1994 auction. Celtronix won license for Norfork-Virginia Beach metropolitan service area and because it was small company it was allowed to pay winning bid in installments over term of license. In Dec. 1997, FCC changed rules to adopt 90-day grace period for each installment payment, automatically followed by 2nd 90-day period. Commission also imposed late fees on licensees that failed to make timely payment. Rule change replaced 3-6 month grace periods after 90 days delinquency that FCC had granted at its discretion to companies in financial distress. Court said FCC acted within its licensing authority when it changed payment rules as action was reasonable both in substance and in being made retroactive. “The Commission merely replaced the possibility of 2 (or maybe more) 3-month grace periods, available only on a successful appeal to the Commission’s discretion, with the assurance of two 90-day periods subject to 5% and 10% penalties on the delayed payments,” Judge Stephen Williams wrote: “Looking at licensees as a class, there is no reason to think the change disadvantageous. Indeed, the Commission described the change as a ‘liberalization.'” Celtronix claimed to have had “vested right” to keep requesting additional grace periods and to force FCC to “consider any unique circumstances.” Company never explained where vested right came from, Williams wrote, and “preauction license system offered no vested right.” Chief Judge Douglas Ginsburg and Judge Karen Henderson joined in ruling.
Northpoint wants FCC to adopt plan to mitigate interference between satellite and terrestrial companies using same spectrum. In meeting with FCC Wireless Bureau, Northpoint said new rules should prevent DBS industry from charging excessive fees to companies such as Northpoint by adding incentive in rulemaking. “Northpoint fully expects to always bear the cost of any necessary mitigation,” company said in ex parte filing, “but where a DBS operator seeks to require mitigation in circumstances that turn out, upon appropriate investigation, to be unnecessary, the DBS operator should compensate Northpoint for expenses incurred in investigating and demonstrating that no such mitigation is needed.” Northpoint also said it didn’t want “targeted or preferential access” to DBS customers as part of mitigation rules and it “hasn’t sought out DBS subscriber lists.” Careful site selection and system design will be cornerstone of service and minimize need for mitigation of interference, it said.
FCC Comr. Copps said Mon. that “hundreds of Americans have registered their displeasure” as result of ABC Thurs. special Victoria’s Secret Fashion Show, which featured female models in revealing lingerie. Pointing out complaints that program was indecent, he said he had referred “the many complaints that came to my office” to FCC Enforcement Bureau to “take such action as may be appropriate.” Many of those complaining were “especially angered” because show aired when children were watching before 9 p.m. “when indecent programming may not be aired in accordance with FCC rules” designed to protect children. Commission has obligation to follow up on complaints, he said, and agency has “responsibility to investigate complaints that the law has been violated.” ABC TV Network’s response to FCC and public complaints over program: “As with any other program, viewers have a choice to tune in or not.” Network said program was approved by Standards & Practices Dept. and carried parental guidance label. Late Mon., FCC official told us: “The issue is under review.” Note: Former voluntary TV Code -- which was dropped by NAB in late 1970s following successful Justice Dept. antitrust suit against ad time standards in Code -- prohibited showing of live models dressed only in lingerie.
At our deadline, FCC authorized SBC to offer long distance service in Ark. and Mo., giving company Sec. 271 authority in all of its original 5-state Southwestern Bell territory. WorldCom spokeswoman said company was disappointed that FCC would give SBC entry “despite problems in both states with pricing and reliable OSS [operational support systems].” Comr. Copps concurred in voting. FCC noted that SBC uses regionwide OSS that FCC already approved in giving SBC Sec. 271 authority for other states in same region.
Concerned over adverse reaction, especially in Congress, to FCC decision allowing PTV stations to solicit ads on their excess nonbroadcast digital capacity, CPB board Fri. directed management not to include revenue raised from PTV stations’ commercial ancillary and supplementary services for calculating grants based on nonfederal financial support. In special telephone meeting, board also directed management to exclude ad supported revenue in calculating CPB grants. Saying it needed to clear “confusion” caused by FCC decision, board said it was aware that present funding sources didn’t meet PTV stations’ needs to for transition to, and effective use of, digital broadcasting, but it would view with concern any increased commercialization of public broadcasting. While board recognized need for public broadcasters to find additional funding to support their “vital mission, the public broadcasting industry must act in ways that reaffirm its commitment to a noncommercial foundation.” Saying FCC decision to allow public broadcasters to accept ads on their excess DTV channel capacity would “accelerate trend toward creeping commercialism,” House Commerce Committee leaders urged Commission to reconsider decision (CD Nov 2 p9). House Commerce Committee Chmn. Tauzin (R-La.), Vice Chmn. Burr (R- N.C.) and Telecom Subcommittee ranking Democrat Markey (Mass.) told FCC Chmn. Powell in recent letter that funding goals for public broadcasting shouldn’t guide Commission action. “Federal decisions regarding the level of funding for the public broadcasting system reside with Congress,” they said.
One favorable result of structural regulations imposed on broadcasting has been diversity of media voices, FCC Chmn. Powell told Media Institute symposium in Washington Fri. But, he said, “I have no idea” how many such voices there should be for any given market. He said he perceived “a slow movement away” from structural regulations by govt. and “it’s time to say I want proof now” that regulations still were necessary.
At occasionally emotionally charged meeting of Public Safety National Coordination Committee (NCC) in Brooklyn Fri., public safety officials, including several who themselves had responded to attacks on World Trade Center and Pentagon, laid out for policymakers critical spectrum needs in wake of Sept. 11. At top of many lists was clearing analog TV incumbents from 700 MHz to make way for public safety users to operate in 24 MHz that FCC has set aside from them in that band. In first days following N.Y. attack, TV stations went off air after their equipment on top of World Trade Center was destroyed, said Peter Meade, chief of Nassau County, N.Y., Fire Dept. “I didn’t hear anybody saying, ‘I need Channel 2 back,'” Meade said. “But there are literally millions of people in the New York metropolitan area who cannot live and who will not live without an augmentation to the existing public safety communications channels. So television be damned.” Other key issues that surfaced repeatedly in day-long meeting included need for better interoperability between jurisdictions, for redundant wireless data network that could function during disasters and for more govt. funding. Several new proposals were put on table as well, including one by Nextel that was receiving kudos from public safety community and would relocate users in 700 MHz and 800 MHz bands for more efficient operations.
It’s important for FCC commissioners to be personally involved in agency’s new Homeland Security Policy Council (CD Nov 15 p7), FCC Comr. Copps said Fri. at breakfast conference with reporters. He said such task forces worked best if they had clear mission and schedule. As independent agency, FCC doesn’t make policy but it’s “also the agency with the most expertise” so it should be very involved in looking at “what worked, what didn’t work” in wake of terrorist attacks, Copps said. He said he planned to participate actively in task force’s work and he hoped other commissioners would join him.
FCC asked for comments on Verizon Wireless’ request for waiver so it could offer priority access service (PAS) to National Communications System (NCS). Comments are due Nov. 21, replies Nov. 28.