STELA Reauthorization Act of 2014

Summary: STELA Reauthorization Act of 2014 - Title I: Communications Provisions - (Sec. 101) Amends the Communications Act of 1934, as amended by the Satellite Television Extension and Localism Act of 2010 (STELA), to extend until December 31, 2019, the exemption from retransmission consent requirements (which prohibit cable systems or other multichannel video programming distributors [MVPDs] from retransmitting broadcasting station signals without the authority of the originating station) for satellite retransmissions of network station signals to subscribers located outside of a station's local market who reside in unserved households (commonly referred to as &quot;distant signals&quot;). Extends until January 1, 2020: (1) the prohibition on exclusive retransmission consent contracts, and (2) the requirement that television broadcast stations and MVPDs negotiate in good faith. (Sec. 102) Directs the Federal Communications Commission (FCC) to prohibit television broadcast stations from coordinating their negotiations or negotiating jointly in the same local market to grant retransmission consent to an MVPD, unless such stations are directly or indirectly under common de jure control permitted under FCC regulations. (Sec. 103) Establishes a process to delay application of the FCC's amendments to joint sales agreement (JSA) rules under which a television station that sells more than 15% of the weekly advertising time of another station in the same market is attributed an ownership interest subject to ownership limitation rules. Prohibits a JSA party that submits a petition to the FCC for a waiver of such attribution rules from being considered in violation of ownership limits until the later of: (1) 18 months after the FCC denies such petition, or (2) December 31, 2016. (Currently, the FCC requires compliance with ownership limits within two years of the FCC's order adopting such amended attribution rules.) (Sec. 104) Removes a prohibition against deletion or reposition of a local commercial television station during periods in which major television ratings services measure the size of local television station audiences (commonly referred to as &quot;sweeps&quot; weeks).  (Sec. 105) Repeals an integration ban that prohibits certain MVPDs from placing in service new navigation devices (set-top boxes) for sale, lease, or use that perform both conditional access (mechanisms that provide for selective access and denial of specific services and can prevent a signal from being received by unauthorized users) and other functions in a single integrated device.  (Sec. 106) Requires a Comptroller General (GAO) report concerning changes to carriage requirements currently imposed on MVPDs that would be required, or beneficial to consumers, if Congress implemented a phase-out of statutory compulsory licensing procedures (a licensing and royalty distribution system administered by the U.S. Copyright Office under which cable and satellite operators may retransmit programming, without negotiating with every copyright holder, by paying licensing royalties at statutorily-defined rates determined by Copyright Royalty Judges or by using a royalty-free license for the retransmission of local broadcasts) under federal copyright law.  (Sec. 107) Directs satellite carriers to submit annual reports to the FCC regarding: (1) the local markets in which television broadcast station signals are retransmitted with a community of license, and (2) the use and potential use of satellite capacity for the retransmission of local signals in each local market. Terminates such reporting requirements after each satellite carrier has submitted five reports.  (Sec. 108) Requires the FCC to report to Congress regarding: (1) the extent to which consumers in each local market have access to broadcast programming from television broadcast stations located outside their local market, including through carriage by cable operators and satellite carriers of signals that are significantly viewed; and (2) whether there are technologically and economically feasible alternatives to the use of designated market areas to define markets that would provide consumers with more programming options and the potential impact such alternatives could have on localism and on broadcast television locally, regionally, and nationally. Title II: Copyright Provisions - Amends federal copyright law to extend until December 31, 2019, the statutory license under which satellite carriers retransmit distant television broadcast stations to viewers who are unable to receive signals for such stations in their local market. (Currently, the statutory licensing authority for such satellite retransmissions is scheduled to expire on December 31, 2014.)

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``STELA 
Reauthorization Act of 2014''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. No additional appropriations authorized.
                   TITLE I--COMMUNICATIONS PROVISIONS

Sec. 101. Extension of authority.
Sec. 102. Retransmission consent negotiations.
Sec. 103. Delayed application of JSA attribution rule in case of waiver 
                            petition.
Sec. 104. Deletion or repositioning of stations during certain periods.
Sec. 105. Repeal of integration ban.
Sec. 106. Report on communications implications of statutory licensing 
                            modifications.
Sec. 107. Local network channel broadcast reports.
Sec. 108. Report on designated market areas.
Sec. 109. Definitions.
                     TITLE II--COPYRIGHT PROVISIONS

Sec. 201. Reauthorization.
Sec. 202. Termination of license.

SEC. 2. NO ADDITIONAL APPROPRIATIONS AUTHORIZED.

    No additional funds are authorized to carry out this Act, or the 
amendments made by this Act. This Act, and the amendments made by this 
Act, shall be carried out using amounts otherwise authorized or 
appropriated.

                   TITLE I--COMMUNICATIONS PROVISIONS

SEC. 101. EXTENSION OF AUTHORITY.

    Section 325(b) of the Communications Act of 1934 (47 U.S.C. 325(b)) 
is amended--
            (1) in paragraph (2)(C), by striking ``December 31, 2014'' 
        and inserting ``December 31, 2019''; and
            (2) in paragraph (3)(C), by striking ``January 1, 2015'' 
        each place it appears and inserting ``January 1, 2020''.

SEC. 102. RETRANSMISSION CONSENT NEGOTIATIONS.

    (a) In General.--Section 325(b)(3)(C) of the Communications Act of 
1934 (47 U.S.C. 325(b)(3)(C)) is amended--
            (1) in clause (ii), by striking ``and'' at the end;
            (2) in clause (iii), by striking the period at the end and 
        inserting ``; and''; and
            (3) by adding at the end the following:
            ``(iv) prohibit a television broadcast station from 
        coordinating negotiations or negotiating on a joint basis with 
        another television broadcast station in the same local market 
        (as defined in section 122(j) of title 17, United States Code) 
        to grant retransmission consent under this section to a 
        multichannel video programming distributor, unless such 
        stations are directly or indirectly under common de jure 
        control permitted under the regulations of the Commission.''.
    (b) Margin Correction.--Section 325(b)(3)(C) of the Communications 
Act of 1934 (47 U.S.C. 325(b)(3)(C)) is further amended by moving the 
margin of clause (iii) 4 ems to the left.
    (c) Deadline for Regulations.--Not later than 9 months after the 
date of the enactment of this Act, the Commission shall promulgate 
regulations to implement the amendments made by this section.

SEC. 103. DELAYED APPLICATION OF JSA ATTRIBUTION RULE IN CASE OF WAIVER 
              PETITION.

    In the case of a party to a joint sales agreement (as defined in 
Note 2(k) to section 73.3555 of title 47, Code of Federal Regulations) 
that is in effect on the effective date of the amendment to Note 
2(k)(2) to such section made by the Further Notice of Proposed 
Rulemaking and Report and Order adopted by the Commission on March 31, 
2014 (FCC 14-28), and who, not later than 90 days after the date of the 
enactment of this Act, submits to the Commission a petition for a 
waiver of the application to such agreement of the rule in such Note 
2(k)(2) (as so amended), such party shall not be considered to be in 
violation of the ownership limitations of such section by reason of the 
application of such rule to such agreement until the later of--
            (1) the date that is 18 months after the date on which the 
        Commission denies such petition; or
            (2) December 31, 2016.

SEC. 104. DELETION OR REPOSITIONING OF STATIONS DURING CERTAIN PERIODS.

    (a) In General.--Section 614(b)(9) of the Communications Act of 
1934 (47 U.S.C. 534(b)(9)) is amended by striking the second sentence.
    (b) Revision of Rules.--Not later than 90 days after the date of 
the enactment of this Act, the Commission shall revise section 76.1601 
of its rules (47 CFR 76.1601) and any note to such section by removing 
the prohibition against deletion or repositioning of a local commercial 
television station during a period in which major television ratings 
services measure the size of audiences of local television stations.

SEC. 105. REPEAL OF INTEGRATION BAN.

    (a) No Force or Effect.--The second sentence of section 
76.1204(a)(1) of title 47, Code of Federal Regulations, shall have no 
force or effect after the date of the enactment of this Act.
    (b) Removal From Rules.--Not later than 180 days after the date of 
the enactment of this Act, the Commission shall complete all actions 
necessary to remove the sentence described in subsection (a) from its 
rules.

SEC. 106. REPORT ON COMMUNICATIONS IMPLICATIONS OF STATUTORY LICENSING 
              MODIFICATIONS.

    (a) Study.--The Comptroller General of the United States shall 
conduct a study that analyzes and evaluates the changes to the carriage 
requirements currently imposed on multichannel video programming 
distributors under the Communications Act of 1934 (47 U.S.C. 151 et 
seq.) and the regulations promulgated by the Commission that would be 
required or beneficial to consumers, and such other matters as the 
Comptroller General considers appropriate, if Congress implemented a 
phase-out of the current statutory licensing requirements set forth 
under sections 111, 119, and 122 of title 17, United States Code. Among 
other things, the study shall consider the impact such a phase-out and 
related changes to carriage requirements would have on consumer prices 
and access to programming.
    (b) Report.--Not later than 18 months after the date of the 
enactment of this Act, the Comptroller General shall submit to the 
appropriate congressional committees a report on the results of the 
study conducted under subsection (a), including any recommendations for 
legislative or administrative actions. Such report shall also include a 
discussion of any differences between such results and the results of 
the study conducted under section 303 of the Satellite Television 
Extension and Localism Act of 2010 (124 Stat. 1255).

SEC. 107. LOCAL NETWORK CHANNEL BROADCAST REPORTS.

    (a) Requirement.--
            (1) In general.--On the 270th day after the date of the 
        enactment of this Act, and on each succeeding anniversary of 
        such 270th day, each satellite carrier shall submit an annual 
        report to the Commission setting forth--
                    (A) each local market in which it--
                            (i) retransmits signals of 1 or more 
                        television broadcast stations with a community 
                        of license in that market;
                            (ii) has commenced providing such signals 
                        in the preceding 1-year period; and
                            (iii) has ceased to provide such signals in 
                        the preceding 1-year period; and
                    (B) detailed information regarding the use and 
                potential use of satellite capacity for the 
                retransmission of local signals in each local market.
            (2) Termination.--The requirement under paragraph (1) shall 
        cease after each satellite carrier has submitted 5 reports 
        under such paragraph.
    (b) Definitions.--In this section--
            (1) the terms ``local market'' and ``satellite carrier'' 
        have the meaning given such terms in section 339(d) of the 
        Communications Act of 1934 (47 U.S.C. 339(d)); and
            (2) the term ``television broadcast station'' has the 
        meaning given such term in section 325(b)(7) of the 
        Communications Act of 1934 (47 U.S.C. 325(b)(7)).

SEC. 108. REPORT ON DESIGNATED MARKET AREAS.

    Not later than 18 months after the date of the enactment of this 
Act, the Commission shall submit to the appropriate congressional 
committees a report containing an analysis of--
            (1) the extent to which consumers in each local market (as 
        defined in section 122(j) of title 17, United States Code) have 
        access to broadcast programming from television broadcast 
        stations (as defined in section 325(b)(7) of the Communications 
        Act of 1934 (47 U.S.C. 325(b)(7))) located outside their local 
        market, including through carriage by cable operators and 
        satellite carriers of signals that are significantly viewed 
        (within the meaning of section 340 of such Act (47 U.S.C. 
        340)); and
            (2) whether there are technologically and economically 
        feasible alternatives to the use of designated market areas (as 
        defined in section 122(j) of title 17, United States Code) to 
        define markets that would provide consumers with more 
        programming options and the potential impact such alternatives 
        could have on localism and on broadcast television locally, 
        regionally, and nationally.

SEC. 109. DEFINITIONS.

    In this title:
            (1) Appropriate congressional committees.--The term 
        ``appropriate congressional committees'' means the Committee on 
        Energy and Commerce and the Committee on the Judiciary of the 
        House of Representatives and the Committee on Commerce, 
        Science, and Transportation and the Committee on the Judiciary 
        of the Senate.
            (2) Commission.--The term ``Commission'' means the Federal 
        Communications Commission.

                     TITLE II--COPYRIGHT PROVISIONS

SEC. 201. REAUTHORIZATION.

    Chapter 1 of title 17, United States Code, is amended--
            (1) in section 111(d)(3)--
                    (A) in the matter preceding subparagraph (A), by 
                striking ``clause'' and inserting ``paragraph''; and
                    (B) in subparagraph (B), by striking ``clause'' and 
                inserting ``paragraph''; and
            (2) in section 119--
                    (A) in subsection (c)(1)(E), by striking ``2014'' 
                and inserting ``2019''; and
                    (B) in subsection (e), by striking ``2014'' and 
                inserting ``2019''.

SEC. 202. TERMINATION OF LICENSE.

    (a) In General.--Section 119 of title 17, United States Code, as 
amended in section 201, is amended by adding at the end the following:
    ``(h) Termination of License.--This section shall cease to be 
effective on December 31, 2019.''.
    (b) Conforming Amendment.--Section 107(a) of the Satellite 
Television Extension and Localism Act of 2010 (17 U.S.C. 119 note) is 
repealed.

            Passed the House of Representatives July 22, 2014.

            Attest:

                                                 KAREN L. HAAS,

                                                                 Clerk.