U.S. GOVERNMENT PRINTING OFFICE

WASHINGTON : 

1 

99–010 

" ! SENATE 

111TH CONGRESS

2d Session 

REPORT

2010

111–385 

Calendar No. 709 

SATELLITE TELEVISION EXTENSION AND 

LOCALISM ACT OF 2009 

R E P O R T 

OF THE

COMMITTEE ON COMMERCE, SCIENCE, AND 

TRANSPORTATION 

ON

S. 2764 

DECEMBER 22, 2010.—Ordered to be printed 


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(II) 

SENATE COMMITTEE ON COMMERCE, SCIENCE, AND TRANSPORTATION 

ONE HUNDRED ELEVENTH CONGRESS

SECOND SESSION

JOHN D. ROCKEFELLER IV, West Virginia, Chairman 

DANIEL K. INOUYE, Hawaii 

JOHN F. KERRY, Massachusetts 

BYRON L. DORGAN, North Dakota 

BARBARA BOXER, California 

BILL NELSON, Florida 

MARIA CANTWELL, Washington 

FRANK R. LAUTENBERG, New Jersey 

MARK PRYOR, Arkansas 

CLAIRE MCCASKILL, Missouri 

AMY KLOBUCHAR, Minnesota 

TOM UDALL, New Mexico 

MARK WARNER, Virginia 

MARK BEGICH, Alaska 

KAY BAILEY HUTCHISON, Texas 

OLYMPIA J. SNOWE, Maine 

JOHN ENSIGN, Nevada 

JIM DEMINT, South Carolina 

JOHN THUNE, South Dakota 

ROGER F. WICKER, Mississippi 

GEORGE S. LEMIEUX, Florida 

JOHNNY ISAKSON, Georgia 

DAVID VITTER, Louisiana 

SAM BROWNBACK, Kansas 

MIKE JOHANNS, Nebraska 

ELLEN DONESKI, Staff Director 

JAMES REID, Deputy Staff Director 

BRUCE ANDREWS, General Counsel 

ANN BEGEMAN, Republican Staff Director 

BRIAN HENDRICKS, Republican General Counsel 

TODD BERTOSON, Republican Senior Counsel 


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Calendar No. 709 

111TH CONGRESS REPORT " ! SENATE 2d Session 111–385 

SATELLITE TELEVISION EXTENSION AND LOCALISM ACT 

OF 2009 

DECEMBER 22, 2010.—Ordered to be printed 

Mr. ROCKEFELLER, from the Committee on Commerce, Science, and 

Transportation, submitted the following 

R E P O R T 

[To accompany S. 2764] 

The Committee on Commerce, Science, and Transportation, to 

which was referred the bill (S. 2764) to reauthorize the Satellite 

Home Viewer Extension and Reauthorization Act of 2004 

(SHVERA), having considered the same, reports favorably thereon 

with an amendment (in the nature of a substitute) and recommends that the bill (as amended) do pass. 

PURPOSE OF THE BILL

The purpose of S. 2764, the Satellite Television Extension and 

Localism Act of 2009 (STELA) is to reauthorize and amend certain 

provisions of the Communications Act of 1934 that govern satellite 

retransmission of television broadcast signals that are set to expire 

at the end of 2009 and to update the Communications Act to reflect 

the transition of full-power television stations from analog to digital systems. 

BACKGROUND AND NEEDS

Direct broadcast satellite (DBS) service is a nationally distributed subscription service that delivers video and audio programming over satellite to a small antenna located at a subscriber’s residence. The Federal Communications Commission (Commission or 

FCC) first authorized the service in 1988, which became commercially available in 1994. Currently, there are two major DBS providers, DIRECTV and Dish Network. 


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Over the past 15 years, subscribership to DBS service has grown 

substantially, and satellite carriers have become significant competitors to cable operators. As of June 2006, approximately 87 percent of households in the United States subscribed to a multichannel video programming distributor (MVPD), which includes 

cable operators, satellite carriers, and new telephone company entrants offering comparable video programming packages. Of the 

total number of MVPD subscribers, 29.2 percent are satellite customers. As of that date, DIRECTV was the largest DBS provider 

and the second largest MVPD. Dish Network was the second largest DBS provider and the third largest MVPD. 

Where satellite carriers offer subscribers access to local broadcast 

signals, they have been more successful in competing with terrestrial-based MVPDs. The licensing and regulatory regime that enables satellite operators to retransmit broadcast signals to subscribers has developed through a series of laws, of which SHVERA 

is the latest. 

Satellite Home Viewer Act (SHVA). Starting in the 1960s, the 

cable industry began to offer broadcast programming to its customers without paying broadcast television stations copyright royalties. To address this, Congress passed the Copyright Revision Act 

of 1976 (Copyright Act), which made cable provider retransmission 

of broadcast signals without a license a copyright violation. It also 

established a compulsory copyright license and statutory royalty regime to allow the retransmission of broadcast programming. 

In 1988, Congress passed SHVA, creating a similar compulsory 

copyright license in section 119 of the Copyright Act for satellite 

carriers. A significant difference was that it allowed satellite carriers to retransmit broadcast network and superstation (e.g., WGN) 

programming only to those households unable to receive viewable 

signals using over-the-air antennas (so-called ‘‘unserved households’’). The reason for this limitation was to preserve ‘‘localism’’ 

and to prevent non-local or ‘‘distant’’ signals from taking viewers 

away from local stations that provide community-focused programming such as local news and weather. SHVA established a 5-year 

compulsory copyright license, under which a satellite carrier may 

retransmit distant network signals to unserved households without 

permission from the copyright owners as well as established a government-set copyright royalty to be paid by such carrier. 

SHVA also established the ‘‘Grade B contour’’ around a broadcast 

tower as the determining factor as to whether a particular household was eligible to receive distant signals from a satellite operator. 

Individuals living inside a Grade B contour were not allowed to receive distant signals, while those outside the contour were. Following the passage of SHVA, some satellite carriers began to offer 

distant signals to served as well as unserved households. Network 

broadcasters brought suit against one satellite carrier, Primetime 

24, asserting that it willfully violated SHVA by providing distant 

network signals to households that did not meet the definition of 

‘‘unserved.’’ In 1998, the court found for the broadcasters and 

issued a permanent injunction prohibiting Primetime 24 from using 

the section 119 license to offer distant network signals. The injunction was to take effect in stages the following year and would have 

resulted in over 2 million subscribers who were receiving the signals illegally losing access to distant network signals. While this 


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service was terminated for some subscribers, the parties agreed to 

postpone the termination of service for the remaining subscribers 

until the end of 1999. 

Satellite Home Viewer Improvement Act (SHVIA). By the end of 

1999, Congress had passed SHVIA. The act extended the compulsory license regime of SHVA for an additional 5 years and grandfathered certain customers who were receiving distant signals illegally. SHVIA also established a ‘‘waiver process’’ under which consumers in an unserved market who cannot receive local broadcast 

stations over-the-air, despite residing within a Grade B contour, 

may seek a waiver to receive distant signals. 

A significant change in SHVIA was the creation of a new, permanent, and free compulsory copyright license in section 122 of the 

Copyright Act, which permits satellite carriers to retransmit local 

broadcast signals back into the same local market from which they 

originated (local-into-local service). The local market was defined 

by reference to the Nielsen Designated Market Area (DMA). This 

provision was intended to increase competition between satellite 

and cable operators. Congress determined that over-the-air television would not be adversely impacted and that advertising revenue would increase because more viewers would have access to 

local stations. 

Satellite carriers are not required to provide local-into-local service to subscribers within a DMA, but if an operator decides to provide local programming in a market, it is required to carry all the 

local broadcast stations in the market. This so-called ‘‘carry one, 

carry all’’ provision, which is codified in section 338 of the Communications Act, has an exception for duplicative stations and requires the broadcaster seeking carriage to provide a good quality 

signal. 

Generally, under section 325 of the Communications Act, cable 

and satellite carriers are prohibited (with some exceptions) from retransmitting the signal of a broadcast television station without 

the express authority of the station. In SHVIA, Congress exempted 

a satellite carrier from having to obtain retransmission consent 

with respect to distant network signals for five years. Satellite carriers, however, still must comply with other FCC rules and regulations, including the network non-duplication rule, the syndicated 

exclusivity rule, and, to the extent feasible, the sports blackout 

rule. 

SHVERA. Five years later, driven by the expiration of the compulsory copyright licenses in section 119 of the Copyright Act and 

the retransmission consent exception in section 325 of the Communications Act, Congress passed SHVERA, which was enacted on 

December 8, 2004. In addition to extending the distant signal license and the retransmission consent exemption for distant signals 

until December 31, 2009, SHVERA acknowledged that stations 

were starting to transition to digital broadcasting. Congress directed the FCC to study and report on a digital signal strength 

standard as well as testing procedures. 

SHVERA also established a regime for the delivery of certain 

‘‘significantly viewed’’ signals to consumers living in a DMA adjacent to the DMA from which a signal originated. Under SHVIA, 

broadcast signals originating from neighboring DMAs would not be 

considered local even if members of a community could view them 


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over the air. SHVERA created a copyright license that gives satellite carriers the option to offer subscribers signals from an adjacent DMA, if they live in a community that meets the ‘‘significantly 

viewed’’ definition. SHVERA also grants satellite carriers retransmission rights for such ‘‘significantly viewed’’ signals. 

In addition, the act sought to rationalize a patchwork of local and 

distant network signal service that grew as satellite carriers offered local-into-local service in more markets. SHVERA established 

a framework for when subscribers were eligible to receive distant 

versus local signals. For example, in areas where local signals were 

offered, certain subscribers who illegally received distant signals 

prior to SHVIA had to elect whether to receive local or distant network signals. They could no longer receive both. In comparison, 

with limited exceptions, new customers in markets where localinto-local service is offered may only receive local signals. 

Transition to Digital. On June 12, 2009, the nation’s full power 

television stations ceased analog broadcasts and began broadcasting only digital signals. This shift necessitates a series of 

amendments to the Communications Act to both remove references 

to analog broadcast television signals and to ensure that the Commission adjusts its rules related to the retransmission of digital 

broadcast signals in a timely manner. 

SUMMARY OF PROVISIONS

S. 2764, the Satellite Television Extension and Localism Act of 

2009, would amend the Communications Act to extend for five 

years various provisions set to expire at the end of 2009; to reflect 

the transition of full-power television stations from analog to digital; direct the FCC to complete its on-location testing proceeding 

and consider ways to minimize consumer burdens associated with 

such testing; to make sure consumers who are lawfully receiving 

distant network signals as of the date of enactment do not lose access to those signals; to require satellite carriers within two years 

to carry the high definition (HD) local signals of noncommercial, 

educational television stations into markets where the satellite carrier offers other local HD stations; to direct the FCC to conduct a 

study of the current DMA system, including the extent to which 

consumers in each local market have access to in-state broadcast 

programming; to encourage satellite carriers to carry state-wide 

public affairs networks; and to direct the Comptroller General to 

study and report within 12 months of enactment on the changes to 

communications laws and regulations that would be necessary or 

beneficial to consumers should Congress phase-out the statutory licensing requirements set forth under sections 111, 119, and 122 of 

the Copyright Act. 

LEGISLATIVE HISTORY

In the 111th Congress, the Satellite Television Extension and Localism Act of 2009 (S. 2764) was introduced by Senator Rockefeller 

on November 10, 2009 and referred to the Senate Committee on 

Commerce, Science, and Transportation. The bill is co-sponsored by 

Senator Kerry. On October 7, 2009, the Committee’s Subcommittee 

on Communications, Technology, and the Internet held a hearing 

on ‘‘Reauthorization of the Satellite Home Viewer Extension and 


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Reauthorization Act of 2004.’’ On November 19, 2009, the Committee considered the bill, as amended in the nature of a substitute, in an open executive session. Senator Cantwell offered an 

amendment to allow satellite providers to count the carriage of 

State public affairs networks for the purpose of meeting the provider’s noncommercial programming carriage obligation. Senator 

McCaskill offered an amendment to require satellite providers to 

report information to the Commission regarding their carriage of 

local broadcast stations and to direct the Commission to study 

ways to incentivize such providers to offer local broadcast stations 

to subscribers in local markets. Senator Cantwell’s and Senator 

McCaskill’s amendments were adopted as part of a manager’s 

package. The Committee, without objection, ordered that S. 2764, 

as amended, be reported. 

ESTIMATED COSTS

In accordance with paragraph 11(a) of rule XXVI of the Standing 

Rules of the Senate and section 403 of the Congressional Budget 

Act of 1974, the Committee provides the following cost estimate, 

prepared by the Congressional Budget Office: 

S. 2764—Satellite Television Extension and Localism Act of 2009 

Under current law, satellite carriers pay royalty fees for the right 

to transmit certain television signals to their subscribers without 

obtaining specific permission from copyright holders. S. 2764 would 

extend provisions of current law that allow satellite carriers to 

transmit copyrighted material without specific permission but 

would not extend the requirement to pay royalties on those copyrighted transmissions. The requirement to pay royalties will expire 

on December 31, 2009. The bill also would require the Federal 

Communications Commission (FCC) to conduct a study on local 

network channel broadcasts and the Government Accountability 

Office to conduct a report on satellite and cable company licenses. 

CBO estimates that implementing S. 2764 would not significantly affect spending subject to appropriation; enacting the bill 

would not affect direct spending or revenues. 

S. 2764 contains no intergovernmental mandates as defined in 

the Unfunded Mandates Reform Act (UMRA) and would not affect 

the budgets of state, local, or tribal governments. 

S. 2764 would impose private-sector mandates, as defined in 

UMRA, on satellite carriers and television broadcasters. Based on 

information from industry sources, CBO estimates that the aggregate cost of complying with the mandates in the bill would fall 

below the annual threshold for private-sector mandates ($139 million in 2009, adjusted annually for inflation). 

The bill would require that, in each market for which a satellite 

carrier chooses to provide local channels in high definition, the carrier must also provide high definition signals of any local noncommercial, educational stations by December 31, 2011. Assuming 

agreements with such stations could be reached, CBO estimates 

that the cost for satellite carriers to comply with this mandate 

would probably be small relative to the annual threshold. In addition, the bill would require satellite carriers to submit a report to 

the FCC containing certain information about the markets in 

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try sources about the availability of such information, CBO estimates that the cost of this mandate would be minimal. 

The bill also would extend an existing mandate on broadcasters 

that prohibits them from entering certain exclusive contracts for 

the rights to broadcast their programs and requires them to negotiate in good faith. The cost of the mandate to broadcasters would 

be the net income forgone as a result of the requirement to negotiate contracts with multiple carriers. Based on information from 

industry sources, CBO expects that few exclusive contracts would 

be reached. Therefore, CBO estimates that the cost of the mandate 

would be small. Additionally, the bill would impose a mandate on 

network broadcasters by extending a provision that allows satellite 

carriers to retransmit distant network signals to unserved households without obtaining consent or providing compensation to 

broadcasters. The cost of the mandate would be the forgone net income broadcasters could obtain by charging satellite carriers for 

such transmissions. Based upon information from industry sources, 

CBO estimates the cost would be minimal. 

On November 5, 2009, CBO transmitted a cost estimate for H.R. 

2994, the Satellite Home Viewer Reauthorization Act of 2009, as 

ordered reported by the House Committee on Energy and Commerce on October 15, 2009. The two pieces of legislation are similar 

and the CBO cost estimates (including mandate statements) are 

the same. 

The CBO staff contacts for this estimate are Susan Willie and 

Matthew Pickford (for federal costs) and Sam Wice (for the privatesector impact). The estimate was approved by Theresa Gullo, Deputy Assistant Director for Budget Analysis. 

REGULATORY IMPACT STATEMENT

In accordance with paragraph 11(b) of rule XXVI of the Standing 

Rules of the Senate, the Committee provides the following evaluation of the regulatory impact of the legislation, as reported: 

NUMBER OF PERSONS COVERED

S. 2764 would reauthorize and amend certain provisions of the 

Communications Act that govern satellite retransmission of television broadcast signals. The bill would affect broadcasters and 

multichannel video programming distributors (e.g. cable and satellite operators) already subject to these obligations under the 

Communication Act, and, therefore, the number of persons covered 

should be consistent with the current levels of individuals impacted 

under the provisions that are addressed in the bill. 

ECONOMIC IMPACT

S. 2764 would not have an adverse impact on the nation’s economy. 

PRIVACY

The reported bill would have no impact on the personal privacy 

of U.S. citizens. 


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PAPERWORK

The reported bill would not significantly increase paperwork requirements for individuals and businesses. 

CONGRESSIONALLY DIRECTED SPENDING

In compliance with paragraph 4(b) of rule XLIV of the Standing 

Rules of the Senate, the Committee provides that no items contained in the bill, as reported, meet the definition of congressionally directed spending items under the rule. 

SECTION-BY-SECTION ANALYSIS

Section 1. Short Title 

This section would provide that the legislation may be cited as 

the ‘‘Satellite Television Extension and Localism Act of 2009.’’ 

Section 2. Extension of Authority 

Section 2 would amend section 325(b) of the Communications Act 

to extend for five years the statutory provision that permits a satellite carrier to retransmit, without first having to obtain consent, 

the signal of a distant network station to certain unserved households. The section also would extend the provisions in the Communications Act requiring that retransmission consent negotiations be 

in good faith and prohibiting exclusive carriage deals. 

Section 3. Significantly Viewed Stations 

Section 3(a) of the bill would amend section 340(b) of the Communications Act to provide that a satellite carrier may offer a significantly viewed station in high definition format only if the carrier also provides the local station’s programming in high definition 

format, if such format is available from the local station. 

Section 3(b) of the bill would require the FCC to take all actions 

necessary to implement the amendments in section 3(a) within 180 

days of the enactment of this bill. 

Section 4. Conforming Amendments 

This section would make modifications to sections 338, 339 and 

340 of the Communications Act of 1934, as amended, to address the 

transition of full-power broadcast stations from analog to digital 

television. 

Section 4(a) of the bill would amend section 338(g) to require satellite carriers to retransmit local broadcast signals in such a manner that a subscriber may receive all local signals using one reception antenna. Section 4(a) also would amend section 338(g) to require satellite carriers to carry high definition local television 

broadcasts on a single antenna; however, the reception antenna 

used to receive the local signals in high definition format may be 

different from the reception antenna used to receive the signals in 

non-high definition, or standard format, provided that all local stations carried pursuant to section 338 are available on one reception 

antenna; either the one used to receive signals in standard definition format or the one used to receive signals in high definition format. 


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Section 4(b) of the bill would update the so-called 

‘‘grandfathering’’ provisions that make sure that certain consumers 

that are lawfully receiving distant signals do not lose access to 

those signals because of a change in law or a change in broadcast 

signal availability. The Committee has established such provisions 

in the past to prevent unnecessary disruptions to consumers. 

Section 4(b)(1)(iv) of the bill would amend section 339(a)(2)(B) to 

provide that a satellite subscriber who is lawfully receiving a distant network signal on the day before the date of enactment of 

STELA does not lose access to that signal and may continue to receive such a distant signal until such subscriber chooses to no 

longer receive such distant signal from such carrier, whether or not 

such subscriber elects to subscribe to local signals. 

Section 4(b)(1)(v) of the bill would amend section 339(a)(2)(C) to 

not allow a satellite carrier to provide a distant signal to a person 

who is not lawfully receiving that distant signal as of the date of 

the enactment of STELA and either at the time such person seeks 

to subscribe to receive such distant signal, resides in a local market 

where the satellite carrier makes available to that person the signal of a local network station affiliated with the same television 

network pursuant to section 338 of the Communications Act and 

the retransmission of such signal by such carrier can reach such 

subscriber; or receives from the satellite carrier the signal of a network station affiliated with the same network that is broadcast by 

a local station in the market where the subscriber resides, but is 

not the local station’s primary video. 

Section 4(b)(1)(vi) of the bill would amend section 339(a)(2)(D) to 

provide that a subscriber would be eligible to receive a distant signal of a network station if the subscriber either is determined, 

based on the Commission’s predictive model, not to be able to receive over the air a signal of the same network exceeding the signal 

intensity standard in the Commission’s rules, or successor rules, or 

is determined to be an unserved household by the definition in section 119(d)(10)(A) of the Copyright Act. 

This section also would update the requirement that a satellite 

carrier may not use distant signals to ‘‘time-shift’’ programming. A 

satellite carrier may only retransmit the distant signal of a television network to a subscriber in a local market if the prime time 

network programming associated with that distant signal is generally broadcast simultaneously with, or later than, the prime time 

network programming of the affiliate of the same network in the 

local market. 

Section 4(b)(2) would amend section 339(c) to direct the Commission to complete all actions necessary to develop and prescribe by 

rule a point-to-point predictive model for reliably and presumptively determining the ability of an individual location, through the 

use of an antenna, to receive a distant network signal, within 180 

days of the date of enactment of STELA. The Committee provides 

the Commission the discretion to determine the appropriate type of 

antenna that should be used for purposes of establishing the new 

predictive model. 

The section also would direct the Commission to compete, within 

180 days of the date of enactment of STELA, its rulemaking proceeding concerning on-location testing of a household’s ability to receive an over-the-air digital signal. The Commission is directed to 


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seek ways to minimize consumer burdens associated with on-location testing. The Committee intends that the Commission consider 

how best to make these on-location testing procedures as minimally 

burdensome on consumers as possible. 

The section also would amend the waiver provisions of section 

339(c)(4)(A) of the Communications Act. 

Section 5. Application Pending Completion of Rulemaking 

This section would direct the FCC to follow its current rules and 

regulations until the FCC adopts new rules pursuant to this Act. 

Section 5(a) of the bill would provide that between the date of enactment of STELA and the adoption of rules by the Commission 

pursuant to STELA, the Commission shall follow its rules and regulations as in effect on the day before the date of enactment of 

STELA. The Committee intends that, until the Commission completes the rulemaking proceedings required by STELA, the Commission’s current rules shall continue to remain in effect. 

Section 5(b) of the bill would provide that for purposes of determining whether a subscriber within the local market served by a 

translator station or a low power television station affiliated with 

a television network is eligible to receive distant signals under section 339 of the Act, the Commission shall follow its rules and regulations for determining such subscriber’s eligibility as in effect on 

the day before the date of enactment of this Act until the date on 

which the translator station or low power television station is licensed to broadcast a digital signal. 

Section 6. Savings Clause Regarding Definitions 

Section 6 of the bill would provide that nothing in this Act shall 

be construed to affect the definitions of ‘‘program related’’ and ‘‘primary video’’ in the Communications Act of 1934 or any regulations 

promulgated pursuant to that Act by the FCC. The purpose of this 

language is to ensure that the treatment of multicast signals in 

STELA and in the Judiciary Committee’s companion legislation 

have no effect, one way or the other, on ongoing consideration by 

the Commission of policy issues relating to multicast signals. 

Section 7. Nondiscrimination in Carriage of High Definition Digital 

Signals of Noncommercial Educational Television Stations 

Section 7 of the bill addresses the carriage of local public television broadcast signals in high definition format by satellite carriers. 

In 1952, the Commission set aside 242 channels for the exclusive 

use of local public television broadcasting. Congress recognized the 

value of such stations to the public and provided funding for public 

broadcasting starting in 1962. The federal government continues to 

fund public television stations in order to support its mission to inform, enlighten, and enrich the public, particularly unserved and 

underserved audiences such as children and minorities. Congress 

further supported noncommercial, educational stations by requiring 

that cable and satellite providers set aside capacity for such programming. As more people used MVPD services, Congress determined that carriage obligations were necessary to ensure Americans’ access to public television. 


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As technology has changed, Congress has modified the obligations on MVPDs, including satellite providers, to make sure consumers have access to noncommercial, educational programming. 

This section would be a step toward requiring of equal access and 

treatment of high definition noncommercial, educational programming. 

Public television representatives have reached high definition 

format carriage agreements with the cable industry, Verizon and 

the largest DBS operator, DirecTV. Despite ongoing efforts to reach 

agreement with all satellite operators, these efforts have been unsuccessful. As a result, millions of consumers do not receive public 

broadcasting in high definition format from their MVPD service. 

The Committee believes this constitutes discriminatory treatment 

of locally owned and controlled stations that serve their communities with high-quality, local, educational, and cultural content. 

Absent a private agreement, the Committee believes it is in the 

public interest for Congress to require the carriage of local public 

television programming in high definition format. 

Section 7(a) of the bill would amend section 338(a) of the Communications Act of 1934 to provide that an eligible satellite carrier 

offer subscribers the high definition signals of qualified noncommercial educational television stations in local markets in 

which the carrier currently offers local television broadcasts in high 

definition. The section would provide that such an eligible carrier 

begin providing the high definition format signals of qualified noncommercial education television stations in at least 50 percent of 

the markets where it offers local high definition format service by 

December 31, 2010, and in 100 percent of those markets by December 31, 2011. This section also would require, after the date of enactment of STELA, such a satellite provider, when it initiates the 

provision of high definition local broadcast format in a local market, to carry the high definition format signals of the qualified noncommercial educational television station in that market. 

Section 7(b) of the bill would amend section 338(k) of the Communications Act to reflect the Committee’s strong preference for 

privately negotiated carriage agreements. Specifically, the bill 

would define eligible satellite carrier in a way to nullify the above 

carriage requirements if a carrier is a party to a carriage contract 

with a qualified noncommercial educational television station or its 

representative that governs carriage of more than 30 such stations 

and is in force and effect as of the date of enactment of STELA. 

Section 8. Report on Communications Implications of Statutory Licensing Modifications 

Section 8(a) of the bill would direct the Comptroller General to 

study and report on the changes to communications laws and regulations that would be necessary or beneficial to consumers should 

Congress phase-out the statutory licensing requirements set forth 

under sections 111, 119, and 122 of the Copyright Act. The section 

would direct the Comptroller General, as part of the study, to consider, among other things, the impact such a phase-out and related 

changes to carriage requirements would have on consumer prices 

and access to programming. 

In June 2008, the United States Copyright Office issued a report 

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right Office with examining the compulsory statutory licenses and 

making recommendations to improve the current system. The principal recommendation of the Copyright Office report was to move 

towards abolishing the licenses. 

Section 8(b) of the bill would direct the Comptroller General to 

report the results of the study to the Committee and the House of 

Representatives Committee on Energy and Commerce not later 

than 12 months after the date of enactment of this Act, including 

any recommendations for legislative or administrative actions. 

Section 9. Local Network Channel Broadcast Reports 

Section 9 of the bill would direct the FCC to conduct a study of 

the current DMA system, including the extent to which consumers 

in each local market have access to in-state broadcast programming. 

Section 9(a) of the bill would require satellite carriers to submit 

a report to the FCC beginning six months after enactment of this 

Act. Each satellite carrier would be required to submit a report 

that contains: each local market in which it provides signals of one 

or more network stations licensed to provide signals in that market; detailed information regarding the use of satellite capacity for 

the provision of local signals into local markets; each local market 

in which it has commenced providing such signals in the six-month 

period covered by the report; and each local market in which it has 

ceased to provide such signals in the six-month period covered by 

the report. 

Section 9(b) of the bill would direct the FCC to initiate a study 

as soon as practicable after the date of enactment of STELA, to 

study the incentives that would induce a satellite carrier to provide 

the signals of one or more television stations licensed to provide 

signals in local markets in which the satellite carrier does not provide such signals; and the economic and satellite capacity conditions affecting delivery of local signals by satellite carriers to these 

markets. The FCC would be required to submit its report, containing its findings, conclusions and recommendations, within one 

year after enactment of this Act to the Committee and the House 

of Representatives Committee on Energy and Commerce. 

Section 10. State Public Affairs Broadcasts 

Section 10 of the bill would encourage satellite carriers to carry 

State public affairs networks by reducing the carrier’s required reserve for the retransmission of educational or informational noncommercial programming pursuant to section 335(b) of the Communications Act. 

This section would amend section 335(b) of the Communications 

Act to reduce the portion of channel capacity that a ‘‘qualified satellite provider’’ is required to reserve exclusively for noncommercial 

programming of an educational or information nature from a minimum of 4 percent to 3.5 percent of channel capacity. 

The section would define ‘‘qualified satellite provider’’ as any provider that provides the retransmission of the ‘‘State public affairs 

network’’ of at least 15 different States upon reasonable prices, 

terms, and conditions, and one that does not delete any of the noncommercial education or information programming in connection 

with the carriage of a State public affairs network. 


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The section would define ‘‘State public affairs network’’ as a noncommercial, non-broadcast network or a noncommercial educational 

television station whose programming consists of information about 

State government deliberations and public policy events, and that 

is operated by a State government, a 501(c)(3) organization that is 

governed by an independent board of directors, or a cable system. 

Section 11. Severability 

This section would provide that if any provision or application of 

a provision is held unconstitutional, the remainder of this Act, the 

amendments made by the Act, and the application of such provisions shall not be affected thereby. 


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(13) 

CHANGES IN EXISTING LAW

In compliance with paragraph 12 of rule XXVI of the Standing 

Rules of the Senate, changes in existing law made by the bill, as 

reported, are shown as follows (existing law proposed to be omitted 

is enclosed in black brackets, new material is printed in italic, existing law in which no change is proposed is shown in roman): 

COMMUNICATIONS ACT OF 1934 

SEC. 325. FALSE, FRAUDULENT, OR UNAUTHORIZED TRANSMISSIONS. 

[47 U.S.C. 325] 

(A) FALSE DISTRESS SIGNALS; REBROADCASTING PROGRAMS.—No 

person within the jurisdiction of the United States shall knowingly 

utter or transmit, or cause to be uttered or transmitted, any false 

or fraudulent signal of distress, or communication relating thereto, 

nor shall any broadcasting station rebroadcast the program or any 

part thereof of another broadcasting station without the express 

authority of the originating station. 

(b) CONSENT TO RETRANSMISSION OF BROADCASTING STATION SIGNALS.—(1) No cable system or other multichannel video programming distributor shall retransmit the signal of a broadcasting station, or any part thereof, except— 

(A) with the express authority of the originating station; 

(B) under section 614, in the case of a station electing, in accordance with this subsection, to assert the right to carriage 

under such section; or 

(C) under section 338, in the case of a station electing, in accordance with this subsection, to assert the right to carriage 

under such section. 

(2) This subsection shall not apply— 

(A) to retransmission of the signal of a noncommercial television broadcast station; 

(B) to retransmission of the signal of a television broadcast 

station outside the station’s local market by a satellite carrier 

directly to its subscribers, if— 

(i) such station was a superstation on May 1, 1991; 

(ii) as of July 1, 1998, such station was retransmitted by 

a satellite carrier under the statutory license of section 

119 of title 17, United States Code; and 

(iii) the satellite carrier complies with any network nonduplication, syndicated exclusivity, and sports blackout 

rules adopted by the Commission under section 339(b) of 

this Act; 

(C) until øDecember 31, 2009¿ December 31, 2014, to retransmission of the signals of network stations directly to a 

home satellite antenna, if the subscriber receiving the signal— 


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14 

(i) is located in an area outside the local market of such 

stations; and 

(ii) resides in an unserved household; 

(D) to retransmission by a cable operator or other multichannel video provider, other than a satellite carrier, of the 

signal of a television broadcast station outside the station’s 

local market if such signal was obtained from a satellite carrier 

and— 

(i) the originating station was a superstation on May 1, 

1991; and 

(ii) as of July 1, 1998, such station was retransmitted by 

a satellite carrier under the statutory license of section 

119 of title 17, United States Code; or 

(E) during the 6-month period beginning on the date of the 

enactment of the Satellite Home Viewer Improvement Act of 

1999, to the retransmission of the signal of a television broadcast station within the station’s local market by a satellite carrier directly to its subscribers under the statutory license of 

section 122 of title 17, United States Code. 

For purposes of this paragraph, the terms ‘‘satellite carrier’’ and 

‘‘superstation’’ have the meanings given those terms, respectively, 

in section 119(d) of title 17, United States Code, as in effect on the 

date of the enactment of the Cable Television Consumer Protection 

and Competition Act of 1992, the term ‘‘unserved household’’ has 

the meaning given that term under section 119(d) of such title, and 

the term ‘‘local market’’ has the meaning given that term in section 

122(j) of such title. 

(3)(A) Within 45 days after the date of enactment of the Cable 

Television Consumer Protection and Competition Act of 1992, the 

Commission shall commence a rulemaking proceeding to establish 

regulations to govern the exercise by television broadcast stations 

of the right to grant retransmission consent under this subsection 

and of the right to signal carriage under section 614, and such 

other regulations as are necessary to administer the limitations 

contained in paragraph (2). The Commission shall consider in such 

proceeding the impact that the grant of retransmission consent by 

television stations may have on the rates for the basic service tier 

and shall ensure that the regulations prescribed under this subsection do not conflict with the Commission’s obligation under section 623(b)(1) to ensure that the rates for the basic service tier are 

reasonable. Such rulemaking proceeding shall be completed within 

180 days after the date of enactment of the Cable Television Consumer Protection and Competition Act of 1992. 

(B) The regulations required by subparagraph (A) shall require 

that television stations, within one year after the date of enactment 

of the Cable Television Consumer Protection and Competition Act 

of 1992 and every three years thereafter, make an election between 

the right to grant retransmission consent under this subsection and 

the right to signal carriage under section 614. If there is more than 

one cable system which services the same geographic area, a station’s election shall apply to all such cable systems. 

(C) The Commission shall commence a rulemaking proceeding to 

revise the regulations governing the exercise by television broadcast stations of the right to grant retransmission consent under 


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15 

this subsection, and such other regulations as are necessary to administer the limitations contained in paragraph (2). Such regulations shall— 

(i) establish election time periods that correspond with those 

regulations adopted under subparagraph (B) of this paragraph; 

(ii) until øJanuary 1, 2010¿ January 1, 2015, prohibit a television broadcast station that provides retransmission consent 

from engaging in exclusive contracts for carriage or failing to 

negotiate in good faith, and it shall not be a failure to negotiate in good faith if the television broadcast station enters into 

retransmission consent agreements containing different terms 

and conditions, including price terms, with different multichannel video programming distributors if such different terms 

and conditions are based on competitive marketplace considerations; and 

(iii) until øJanuary 1, 2010¿ January 1, 2015, prohibit a 

multichannel video programming distributor from failing to negotiate in good faith for retransmission consent under this section, and it shall not be a failure to negotiate in good faith if 

the distributor enters into retransmission consent agreements 

containing different terms and conditions, including price 

terms, with different broadcast stations if such different terms 

and conditions are based on competitive marketplace considerations. 

(4) If an originating television station elects under paragraph 

(3)(B) to exercise its right to grant retransmission consent under 

this subsection with respect to a cable system, the provisions of section 614 shall not apply to the carriage of the signal of such station 

by such cable system. If an originating television station elects 

under paragraph (3)(C) to exercise its right to grant retransmission 

consent under this subsection with respect to a satellite carrier, 

section 338 shall not apply to the carriage of the signal of such station by such satellite carrier. 

(5) The exercise by a television broadcast station of the right to 

grant retransmission consent under this subsection shall not interfere with or supersede the rights under section 338, 614, or 615 of 

any station electing to assert the right to signal carriage under 

that section. 

(6) Nothing in this section shall be construed as modifying the 

compulsory copyright license established in section 111 of title 17, 

United States Code, or as affecting existing or future video programming licensing agreements between broadcasting stations and 

video programmers. 

(7) For purposes of this subsection, the term— 

(A) ‘‘network station’’ has the meaning given such term 

under section 119(d) of title 17, United States Code; and 

(B) ‘‘television broadcast station’’ means an over-the-air commercial or noncommercial television broadcast station licensed 

by the Commission under subpart E of part 73 of title 47, Code 

of Federal Regulations, except that such term does not include 

a low-power or translator television station. 

(c) Broadcast to foreign countries for rebroadcast to United 

States; permit. No person shall be permitted to locate, use, or 

maintain a radio broadcast studio or other place or apparatus from 


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which or whereby sound waves are converted into electrical energy, 

or mechanical or physical reproduction of sound waves produced, 

and cause to be transmitted or delivered to a radio station in a foreign country for the purpose of being broadcast from any radio station there having a power output of sufficient intensity and/or 

being so located geographically that its emissions may be received 

consistently in the United States, without first obtaining a permit 

from the Commission upon proper application therefor. 

(d) APPLICATION FOR PERMIT.—Such application shall contain 

such information as the Commission may by regulation prescribe, 

and the granting or refusal thereof shall be subject to the requirements of section 309 hereof with respect to applications for station 

licenses or renewal or modification thereof, and the license or permission so granted shall be revocable for false statements in the 

application so required or when the Commission, after hearings, 

shall find its continuation no longer in the public interest. 

(e) ENFORCEMENT PROCEEDINGS AGAINST SATELLITE CARRIERS

CONCERNING RETRANSMISSIONS OF TELEVISION BROADCAST STATIONS

IN THE RESPECTIVE LOCAL MARKETS OF SUCH CARRIERS.— (1) COMPLAINTS BY TELEVISION BROADCAST STATIONS.—If 

after the expiration of the 6-month period described under subsection (b)(2)(E) a television broadcast station believes that a 

satellite carrier has retransmitted its signal to any person in 

the local market of such station in violation of subsection 

(b)(1), the station may file with the Commission a complaint 

providing— 

(A) the name, address, and call letters of the station; 

(B) the name and address of the satellite carrier; 

(C) the dates on which the alleged retransmission occurred; 

(D) the street address of at least one person in the local 

market of the station to whom the alleged retransmission 

was made; 

(E) a statement that the retransmission was not expressly authorized by the television broadcast station; and 

(F) the name and address of counsel for the station. 

(2) SERVICE OF COMPLAINTS ON SATELLITE CARRIERS.—For 

purposes of any proceeding under this subsection, any satellite 

carrier that retransmits the signal of any broadcast station 

shall be deemed to designate the Secretary of the Commission 

as its agent for service of process. A television broadcast station may serve a satellite carrier with a complaint concerning 

an alleged violation of subsection (b)(1) through retransmission 

of a station within the local market of such station by filing the 

original and two copies of the complaint with the Secretary of 

the Commission and serving a copy of the complaint on the 

satellite carrier by means of two commonly used overnight delivery services, each addressed to the chief executive officer of 

the satellite carrier at its principal place of business, and each 

marked ‘‘URGENT LITIGATION MATTER’’ on the outer packaging. Service shall be deemed complete one business day after 

a copy of the complaint is provided to the delivery services for 

overnight delivery. On receipt of a complaint filed by a television broadcast station under this subsection, the Secretary of 


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17 

the Commission shall send the original complaint by United 

States mail, postage prepaid, receipt requested, addressed to 

the chief executive officer of the satellite carrier at its principal 

place of business. 

(3) ANSWERS BY SATELLITE CARRIERS.—Within five business 

days after the date of service, the satellite carrier shall file an 

answer with the Commission and shall serve the answer by a 

commonly used overnight delivery service and by United 

States mail, on the counsel designated in the complaint at the 

address listed for such counsel in the complaint. 

(4) DEFENSES.— (A) EXCLUSIVE DEFENSES.—The defenses under this 

paragraph are the exclusive defenses available to a satellite carrier against which a complaint under this subsection is filed. 

(B) DEFENSES.—The defenses referred to under subparagraph (A) are the defenses that— 

(i) the satellite carrier did not retransmit the television broadcast station to any person in the local 

market of the station during the time period specified 

in the complaint; 

(ii) the television broadcast station had, in a writing 

signed by an officer of the television broadcast station, 

expressly authorized the retransmission of the station 

by the satellite carrier to each person in the local market of the television broadcast station to which the 

satellite carrier made such retransmissions for the entire time period during which it is alleged that a violation of subsection (b)(1) has occurred; 

(iii) the retransmission was made after January 1, 

2002, and the television broadcast station had elected 

to assert the right to carriage under section 338 as 

against the satellite carrier for the relevant period; or 

(iv) the station being retransmitted is a noncommercial television broadcast station. 

(5) COUNTING OF VIOLATIONS.—The retransmission without 

consent of a particular television broadcast station on a particular day to one or more persons in the local market of the 

station shall be considered a separate violation of subsection 

(b)(1). 

(6) BURDEN OF PROOF.—With respect to each alleged violation, the burden of proof shall be on a television broadcast station to establish that the satellite carrier retransmitted the 

station to at least one person in the local market of the station 

on the day in question. The burden of proof shall be on the satellite carrier with respect to all defenses other than the defense 

under paragraph (4)(B)(i). 

(7) PROCEDURES.— 

(A) REGULATIONS.—Within 60 days after the date of the 

enactment of the Satellite Home Viewer Improvement Act 

of 1999, the Commission shall issue procedural regulations 

implementing this subsection which shall supersede procedures under section 312. 

(B) DETERMINATIONS.— 


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(i) IN GENERAL.—Within 45 days after the filing of 

a complaint, the Commission shall issue a final determination in any proceeding brought under this subsection. The Commission’s final determination shall 

specify the number of violations committed by the satellite carrier. The Commission shall hear witnesses 

only if it clearly appears, based on written filings by 

the parties, that there is a genuine dispute about material facts. Except as provided in the preceding sentence, the Commission may issue a final ruling based 

on written filings by the parties. 

(ii) DISCOVERY.—The Commission may direct the 

parties to exchange pertinent documents, and if necessary to take prehearing depositions, on such schedule as the Commission may approve, but only if the 

Commission first determines that such discovery is 

necessary to resolve a genuine dispute about material 

facts, consistent with the obligation to make a final 

determination within 45 days. 

(8) RELIEF.—if the Commission determines that a satellite 

carrier has retransmitted the television broadcast station to at 

least one person in the local market of such station and has 

failed to meet its burden of proving one of the defenses under 

paragraph (4) with respect to such retransmission, the Commission shall be required to— 

(A) make a finding that the satellite carrier violated subsection (b)(1) with respect to that station; and 

(B) issue an order, within 45 days after the filing of the 

complaint, containing— 

(i) a cease-and-desist order directing the satellite 

carrier immediately to stop making any further retransmissions of the television broadcast station to 

any person within the local market of such station 

until such time as the Commission determines that 

the satellite carrier is in compliance with subsection 

(b)(1) with respect to such station; 

(ii) if the satellite carrier is found to have violated 

subsection (b)(1) with respect to more than two television broadcast stations, a cease-and-desist order directing the satellite carrier to stop making any further 

retransmission of any television broadcast station to 

any person within the local market of such station, 

until such time as the Commission, after giving notice 

to the station, that the satellite carrier is in compliance with subsection (b)(1) with respect to such stations; and 

(iii) an award to the complainant of that complainant’s costs and reasonable attorney’s fees. 

(9) COURT PROCEEDINGS ON ENFORCEMENT OF COMMISSION

ORDER.— 

(A) IN GENERAL.—On entry by the Commission of a final 

order granting relief under this subsection— 

(i) a television broadcast station may apply within 

30 days after such entry to the United States District 


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Court for the Eastern District of Virginia for a final 

judgment enforcing all relief granted by the Commission; and 

(ii) the satellite carrier may apply within 30 days 

after such entry to the United States District Court for 

the Eastern District of Virginia for a judgment reversing the Commission’s order. 

(B) APPEAL.—The procedure for an appeal under this 

paragraph by the satellite carrier shall supersede any 

other appeal rights under Federal or State law. A United 

States district court shall be deemed to have personal jurisdiction over the satellite carrier if the carrier, or a company under common control with the satellite carrier, has 

delivered television programming by satellite to more than 

30 customers in that district during the preceding 4-year 

period. If the United States District Court for the Eastern 

District of Virginia does not have personal jurisdiction over 

the satellite carrier, an enforcement action or appeal shall 

be brought in the United States District Court for the District of Columbia, which may find personal jurisdiction 

based on the satellite carrier’s ownership of licenses issued 

by the Commission. An application by a television broadcast station for an order enforcing any cease-and-desist relief granted by the Commission shall be resolved on a 

highly expedited schedule. No discovery may be conducted 

by the parties in any such proceeding. The district court 

shall enforce the Commission order unless the Commission 

record reflects manifest error and an abuse of discretion by 

the Commission. 

(10) CIVIL ACTION FOR STATUTORY DAMAGES.—Within 6 

months after issuance of an order by the Commission under 

this subsection, a television broadcast station may file a civil 

action in any United States district court that has personal jurisdiction over the satellite carrier for an award of statutory 

damages for any violation that the Commission has determined 

to have been committed by a satellite carrier under this subsection. Such action shall not be subject to transfer under section 1404(a) of title 28, United States Code. On finding that 

the satellite carrier has committed one or more violations of 

subsection (b), the District Court shall be required to award 

the television broadcast station statutory damages of $ 25,000 

per violation, in accordance with paragraph (5), and the costs 

and attorney’s fees incurred by the station. Such statutory 

damages shall be awarded only if the television broadcast station has filed a binding stipulation with the court that such 

station will donate the full amount in excess of $ 1,000 of any 

statutory damage award to the United States Treasury for 

public purposes. Notwithstanding any other provision of law, a 

station shall incur no tax liability of any kind with respect to 

any amounts so donated. Discovery may be conducted by the 

parties in any proceeding under this paragraph only if and to 

the extent necessary to resolve a genuinely disputed issue of 

fact concerning one of the defenses under paragraph (4). In any 

such action, the defenses under paragraph (4) shall be excluVerDate Mar 15 2010 02:13 Dec 28, 2010 Jkt 099010 PO 00000 Frm 00021 Fmt 6604 Sfmt 6601 E:\HR\OC\SR385.XXX SR385

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sive, and the burden of proof shall be on the satellite carrier 

with respect to all defenses other than the defense under paragraph (4)(B)(i). A judgment under this paragraph may be enforced in any manner permissible under Federal or State law. 

(11) APPEALS.— (A) IN GENERAL.—The nonprevailing party before a 

United States district court may appeal a decision under 

this subsection to the United States Court of Appeals with 

jurisdiction over that district court. The Court of Appeals 

shall not issue any stay of the effectiveness of any decision 

granting relief against a satellite carrier unless the carrier 

presents clear and convincing evidence that it is highly 

likely to prevail on appeal and only after posting a bond 

for the full amount of any monetary award assessed 

against it and for such further amount as the Court of Appeals may believe appropriate. 

(B) APPEAL.—If the Commission denies relief in response 

to a complaint filed by a television broadcast station under 

this subsection, the television broadcast station filing the 

complaint may file an appeal with the United States Court 

of Appeals for the District of Columbia Circuit. 

(12) SUNSET.—No complaint or civil action may be filed 

under this subsection after December 31, 2001. This subsection 

shall continue to apply to any complaint or civil action filed on 

or before such date. 

* * * * * * * 

SEC. 335. DIRECT BROADCAST SATELLITE SERVICE OBLIGATIONS. 

[47 U.S.C. 335] 

(a) PROCEEDING REQUIRED TO REVIEW DBS RESPONSIBILITIES.— The Commission shall, within 180 days after the date of enactment 

of this section, initiate a rulemaking proceeding to impose, on providers of direct broadcast satellite service, public interest or other 

requirements for providing video programming. Any regulations 

prescribed pursuant to such rulemaking shall, at a minimum, 

apply the access to broadcast time requirement of section 312(a)(7) 

and the use of facilities requirements of section 315 to providers of 

direct broadcast satellite service providing video programming. 

Such proceeding also shall examine the opportunities that the establishment of direct broadcast satellite service provides for the 

principle of localism under this Act, and the methods by which 

such principle may be served through technological and other developments in, or regulation of, such service. 

(b) CARRIAGE OBLIGATIONS FOR NONCOMMERCIAL, EDUCATIONAL, 

STATE PUBLIC AFFAIRS, AND INFORMATIONAL PROGRAMMING.— 

ø(1) CHANNEL CAPACITY REQUIRED.—The Commission shall 

require, as a condition of any provision, initial authorization, 

or authorization renewal for a provider of direct broadcast satellite service providing video programming, that the provider of 

such service reserve a portion of its channel capacity, equal to 

not less than 4 percent nor more than 7 percent, exclusively for 

noncommercial programming of an educational or informational nature.¿ 

(1) CHANNEL CAPACITY REQUIRED.— 


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(A) Except as provided in subparagraph (B), the Commission shall require, as a condition of any provision, initial 

authorization, or authorization renewal for a provider of 

direct broadcast satellite service providing video programming, that the provider of such service reserve a portion of 

its channel capacity, equal to not less than 4 percent nor 

more than 7 percent, exclusively for noncommercial programming of an educational or informational nature. 

(B) The Commission shall require, as a condition of any 

provision, initial authorization, or authorization renewal 

for a qualified satellite provider of direct broadcast satellite 

service providing video programming, that such provider 

reserve a portion of its channel capacity, equal to not less 

than 3.5 percent nor more than 7 percent, exclusively for 

noncommercial programming of an educational or informational nature. 

(2) USE OF UNUSED CHANNEL CAPACITY.—A provider of such 

service may utilize for any purpose any unused channel capacity required to be reserved under this subsection pending the 

actual use of such channel capacity for noncommercial programming of an educational or informational nature. 

(3) PRICES, TERMS, AND CONDITIONS; EDITORIAL CONTROL.—A 

provider of direct broadcast satellite service shall meet the requirements of this subsection by making channel capacity 

available to national educational programming suppliers, upon 

reasonable prices, terms, and conditions, as determined by the 

Commission under paragraph (4). The provider of direct broadcast satellite service shall not exercise any editorial control 

over any video programming provided pursuant to this subsection. 

(4) LIMITATIONS.—In determining reasonable prices under 

paragraph (3)— 

(A) the Commission shall take into account the nonprofit 

character of the programming provider and any Federal 

funds used to support such programming; 

(B) the Commission shall not permit such prices to exceed, for any channel made available under this subsection, 50 percent of the total direct costs of making such 

channel available; and 

(C) in the calculation of total direct costs, the Commission shall exclude— 

(i) marketing costs, general administrative costs, 

and similar overhead costs of the provider of direct 

broadcast satellite service; and 

(ii) the revenue that such provider might have obtained by making such channel available to a commercial provider of video programming. 

(5) DEFINITIONS.—For purposes of this subsection— 

(A) The term ‘‘provider of direct broadcast satellite service’’ means— 

(i) a licensee for a Ku-band satellite system under 

part 100 of title 47 of the Code of Federal Regulations; 

or 


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(ii) any distributor who controls a minimum number 

of channels (as specified by Commission regulation) 

using a Ku-band fixed service satellite system for the 

provision of video programming directly to the home 

and licensed under part 25 of title 47 of the Code of 

Federal Regulations. 

(B) The term ‘‘national educational programming supplier’’ includes any qualified noncommercial educational 

television station, other public telecommunications entities, and public or private educational institutions. 

(C) The term ‘‘qualified satellite provider’’ means any 

provider of direct broadcast satellite service that— 

(i) provides the retransmission of the State public affairs networks of at least 15 different States; 

(ii) offers the programming of State public affairs 

networks upon reasonable prices, terms, and conditions 

as determined by the Commission under paragraph (4) 

of this subsection; and 

(iii) does not delete any noncommercial programming 

of an educational or informational nature in connection with the carriage of a State public affairs network. 

(D) The term ‘‘State public affairs network’’ means a noncommercial non-broadcast network or a noncommercial 

educational television station— 

(i) whose programming consists of information about 

State government deliberations and public policy 

events; and 

(ii) that is operated by— 

(I) a State government; 

(II) an organization described in section 

501(c)(3) of the Internal Revenue Code of 1986 that 

is exempt from taxation under section 501(a) of 

such Code and that is governed by an independent 

board of directors; or 

(III) a cable system. 

* * * * * * * 

SEC. 338. CARRIAGE OF LOCAL TELEVISION SIGNALS BY SATELLITE 

CARRIERS. 

[47 U.S.C. 338] 

(a) CARRIAGE OBLIGATIONS.— 

(1) IN GENERAL.—Each satellite carrier providing, under section 122 of title 17, United States Code, secondary transmissions to subscribers located within the local market of a television broadcast station of a primary transmission made by 

that station shall carry upon request the signals of all television broadcast stations located within that local market, subject to section 325(b). 

(2) REMEDIES FOR FAILURE TO CARRY.—In addition to the 

remedies available to television broadcast stations under section 501(f) of title 17, United States Code, the Commission may 

use the Commission’s authority under this Act to assure compliance with the obligations of this subsection, but in no instance shall a Commission enforcement proceeding be required 


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as a predicate to the pursuit of a remedy available under such 

section 501(f). 

(3) LOW POWER STATION CARRIAGE OPTIONAL.—No low power 

television station whose signals are provided under section 

ø119(a)(14)¿ 119(a)(15) of title 17, United States Code, shall be 

entitled to insist on carriage under this section, regardless of 

whether the satellite carrier provides secondary transmissions 

of the primary transmissions of other stations in the same local 

market pursuant to section 122 of such title, nor shall any 

such carriage be considered in connection with the requirements of subsection (c) of this section. 

ø(3) EFFECTIVE DATE.—No satellite carrier shall be required 

to carry local television broadcast stations under paragraph (1) 

until January 1, 2002.¿ 

(4) CARRIAGE OF SIGNALS OF LOCAL STATIONS IN CERTAIN

MARKETS.—A satellite carrier that offers multichannel video 

programming distribution service in the United States to more 

than 5,000,000 subscribers shall (A) within 1 year after the 

date of the enactment of the Satellite Home Viewer Extension 

and Reauthorization Act of 2004, retransmit the signals originating as analog signals of each television broadcast station located in any local market within a State that is not part of the 

contiguous United States, and (B) within 30 months after such 

date of enactment retransmit the signals originating as digital 

signals of each such station. The retransmissions of such stations shall be made available to substantially all of the satellite carrier’s subscribers in each station’s local market, and 

the retransmissions of the stations in at least one market in 

the State shall be made available to substantially all of the 

satellite carrier’s subscribers in areas of the State that are not 

within a designated market area. The cost to subscribers of 

such retransmissions shall not exceed the cost of retransmissions of local television stations in other States. Within 1 

year after the date of enactment of that Act, the Commission 

shall promulgate regulations concerning elections by television 

stations in such State between mandatory carriage pursuant to 

this section and retransmission consent pursuant to section 

325(b), which shall take into account the schedule on which 

local television stations are made available to viewers in such 

State. 

(5) NONDISCRIMINATION IN CARRIAGE OF HIGH DEFINITION

SIGNALS OF NONCOMMERCIAL EDUCATIONAL TELEVISION STATIONS.— 

(A) EXISTING CARRIAGE OF HIGH DEFINITION SIGNALS.— 

Each eligible satellite carrier providing, under section 122 

of title 17, United States Code, any secondary transmissions in high definition to subscribers located within 

the local market of a television broadcast station of a primary transmission made by that station prior to the date 

of enactment of the Satellite Television Extension and Localism Act of 2009 shall carry the high definition signals 

of qualified noncommercial educational television stations 

located within that local market in accordance with the following schedule: 


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(i) By December 31, 2010, in at least 50 percent of 

the markets in which such satellite carrier provides 

such secondary transmissions in high definition. 

(ii) By December 31, 2011, in every market in which 

such satellite carrier provides such secondary transmissions in high definition. 

(B) NEW INITIATION OF SERVICE.—Each eligible satellite 

carrier that initiates the provision, under section 122 of 

title 17, United States Code, of any secondary transmissions in high definition to subscribers located within 

the local market of a television broadcast station of a primary transmission made by that station after the date of 

enactment of the Satellite Television Extension and Localism Act of 2009 shall carry the high definition signals of 

all qualified noncommercial educational television stations 

located within that local market. 

(b) GOOD SIGNAL REQUIRED.— (1) COSTS.—A television broadcast station asserting its right 

to carriage under subsection (a) shall be required to bear the 

costs associated with delivering a good quality signal to the 

designated local receive facility of the satellite carrier or to another facility that is acceptable to at least one-half the stations 

asserting the right to carriage in the local market. 

(2) REGULATIONS.—The regulations issued under subsection 

(g) shall set forth the obligations necessary to carry out this 

subsection. 

(c) DUPLICATION NOT REQUIRED.— (1) COMMERCIAL STATIONS.—Notwithstanding subsection 

(a)(1), a satellite carrier shall not be required to carry upon request the signal of any local commercial television broadcast 

station that substantially duplicates the signal of another local 

commercial television broadcast station which is secondarily 

transmitted by the satellite carrier within the same local market, or to carry upon request the signals of more than one local 

commercial television broadcast station in a single local market that is affiliated with a particular television network unless such stations are licensed to communities in different 

States. 

(2) NONCOMMERCIAL STATIONS.—The Commission shall prescribe regulations limiting the carriage requirements under 

subsection (a) of satellite carriers with respect to the carriage 

of multiple local noncommercial television broadcast stations. 

To the extent possible, such regulations shall provide the same 

degree of carriage by satellite carriers of such multiple stations 

as is provided by cable systems under section 615. 

(d) CHANNEL POSITIONING.—No satellite carrier shall be required 

to provide the signal of a local television broadcast station to subscribers in that station’s local market on any particular channel 

number or to provide the signals in any particular order, except 

that the satellite carrier shall retransmit the signal of the local television broadcast stations to subscribers in the stations’ local market on contiguous channels and provide access to such station’s signals at a nondiscriminatory price and in a nondiscriminatory manner on any navigational device, on-screen program guide, or menu. 


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(e) COMPENSATION FOR CARRIAGE.—A satellite carrier shall not 

accept or request monetary payment or other valuable consideration in exchange either for carriage of local television broadcast 

stations in fulfillment of the requirements of this section or for 

channel positioning rights provided to such stations under this section, except that any such station may be required to bear the costs 

associated with delivering a good quality signal to the local receive 

facility of the satellite carrier. 

(f) REMEDIES.— 

(1) COMPLAINTS BY BROADCAST STATIONS.—Whenever a local 

television broadcast station believes that a satellite carrier has 

failed to meet its obligations under subsections (b) through (e) 

of this section, such station shall notify the carrier, in writing, 

of the alleged failure and identify its reasons for believing that 

the satellite carrier failed to comply with such obligations. The 

satellite carrier shall, within 30 days after such written notification, respond in writing to such notification and comply with 

such obligations or state its reasons for believing that it is in 

compliance with such obligations. A local television broadcast 

station that disputes a response by a satellite carrier that it is 

in compliance with such obligations may obtain review of such 

denial or response by filing a complaint with the Commission. 

Such complaint shall allege the manner in which such satellite 

carrier has failed to meet its obligations and the basis for such 

allegations. 

(2) OPPORTUNITY TO RESPOND.—The Commission shall afford 

the satellite carrier against which a complaint is filed under 

paragraph (1) an opportunity to present data and arguments 

to establish that there has been no failure to meet its obligations under this section. 

(3) REMEDIAL ACTIONS; DISMISSAL.—Within 120 days after 

the date a complaint is filed under paragraph (1), the Commission shall determine whether the satellite carrier has met its 

obligations under subsections (b) through (e). If the Commission determines that the satellite carrier has failed to meet 

such obligations, the Commission shall order the satellite carrier to take appropriate remedial action. If the Commission determines that the satellite carrier has fully met the requirements of such subsections, the Commission shall dismiss the 

complaint. 

ø(g) CARRIAGE OF LOCAL STATIONS ON A SINGLE DISH.— 

ø(1) SINGLE DISH.—Each satellite carrier that retransmits 

the analog signals of local television broadcast stations in a 

local market shall retransmit such analog signals in such market by means of a single reception antenna and associated 

equipment. 

ø(2) EXCEPTION.—If the carrier retransmits signals in the 

digital television service, the carrier shall retransmit such digital signals in such market by means of a single reception antenna and associated equipment, but such antenna and associated equipment may be separate from the single reception antenna and associated equipment used for analog television 

service signals. 


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ø(3) EFFECTIVE DATE.—The requirements of paragraphs (1) 

and (2) of this subsection shall apply on and after 18 months 

after the date of enactment of the Satellite Home Viewer Extension and Reauthorization Act of 2004. 

ø(4) NOTICE OF DISRUPTIONS.—A carrier that is providing signals of a local television broadcast station in a local market 

under this section on the date of enactment of the Satellite 

Home Viewer Extension and Reauthorization Act of 2004 shall, 

not later than 15 months after such date of enactment, provide 

to the licensees for such stations and the carrier’s subscribers 

in such local market a notice that displays prominently and 

conspicuously a clear statement of— 

ø(A) any reallocation of signals between different reception antennas and associated equipment that the carrier 

intends to make in order to comply with the requirements 

of this subsection; 

ø(B) the need, if any, for subscribers to obtain an additional reception antenna and associated equipment to receive such signals; and 

ø(C) any cessation of carriage or other material change 

in the carriage of signals as a consequence of the requirements of this paragraph.¿ 

(g) CARRIAGE OF LOCAL STATIONS ON A SINGLE RECEPTION ANTENNA.— 

(1) SINGLE RECEPTION ANTENNA.—Each satellite carrier that 

retransmits the signals of local television broadcast stations in 

a local market shall retransmit such stations in such market so 

that a subscriber may receive such stations by means of a single 

reception antenna and associated equipment. 

(2) ADDITIONAL RECEPTION ANTENNA.—If the carrier retransmits the signals of local television broadcast stations in a local 

market in high definition format, the carrier shall retransmit 

such signals in such market so that a subscriber may receive 

such signals by means of a single reception antenna and associated equipment, but such antenna and associated equipment 

may be separate from the single reception antenna and associated equipment used to comply with paragraph (1). 

(h) ADDITIONAL NOTICES TO SUBSCRIBERS, NETWORKS, AND STATIONS CONCERNING SIGNAL CARRIAGE.— 

(1) NOTICES TO AND ELECTIONS BY SUBSCRIBERS CONCERNING

GRANDFATHERED SIGNALS.—Any carrier that provides a distant 

signal of a network station to a subscriber pursuant section 

339(a)(2)(A) shall— 

(A) within 60 days after the local signal of a network 

station of the same television network is available pursuant to section 338, or within 60 days after the date of enactment of the Satellite Home Viewer Extension and Reauthorization Act of 2004, whichever is later, send a notice 

to the subscriber— 

(i) offering to substitute the local network signal for 

the duplicating distant network signal; and 

(ii) informing the subscriber that, if the subscriber 

fails to respond in 60 days, the subscriber will lose the 


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distant network signal but will be permitted to subscribe to the local network signal; and 

(B) if the subscriber— 

(i) elects to substitute such local network signal 

within such 60 days, switch such subscriber to such 

local network signal within 10 days after the end of 

such 60-day period; or 

(ii) fails to respond within such 60 days, terminate 

the distant network signal within 10 days after the 

end of such 60-day period. 

(2) NOTICE TO STATION LICENSEES OF COMMENCEMENT OF

LOCAL-INTO-LOCAL SERVICE.— (A) NOTICE REQUIRED.—Within 180 days after the date 

of enactment of the Satellite Home Viewer Extension and 

Reauthorization Act of 2004, the Commission shall revise 

the regulations under this section relating to notice to 

broadcast station licensees to comply with the requirements of this paragraph. 

(B) CONTENTS OF COMMENCEMENT NOTICE.—The notice 

required by such regulations shall inform each television 

broadcast station licensee within any local market in 

which a satellite carrier proposes to commence carriage of 

signals of stations from that market, not later than 60 

days prior to the commencement of such carriage— 

(i) of the carrier’s intention to launch local-into-local 

service under this section in a local market, the identity of that local market, and the location of the carrier’s proposed local receive facility for that local market; 

(ii) of the right of such licensee to elect carriage 

under this section or grant retransmission consent 

under section 325(b); 

(iii) that such licensee has 30 days from the date of 

the receipt of such notice to make such election; and 

(iv) that failure to make such election will result in 

the loss of the right to demand carriage under this 

section for the remainder of the 3-year cycle of carriage under section 325. 

(C) TRANSMISSION OF NOTICES.—Such regulations shall 

require that each satellite carrier shall transmit the notices required by such regulation via certified mail to the 

address for such television station licensee listed in the 

consolidated database system maintained by the Commission. 

(i) PRIVACY RIGHTS OF SATELLITE SUBSCRIBERS.— 

(1) NOTICE.—At the time of entering into an agreement to 

provide any satellite service or other service to a subscriber 

and at least once a year thereafter, a satellite carrier shall provide notice in the form of a separate, written statement to such 

subscriber which clearly and conspicuously informs the subscriber of— 

(A) the nature of personally identifiable information collected or to be collected with respect to the subscriber and 

the nature of the use of such information; 


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(B) the nature, frequency, and purpose of any disclosure 

which may be made of such information, including an 

identification of the types of persons to whom the disclosure may be made; 

(C) the period during which such information will be 

maintained by the satellite carrier; 

(D) the times and place at which the subscriber may 

have access to such information in accordance with paragraph (5); and 

(E) the limitations provided by this section with respect 

to the collection and disclosure of information by a satellite 

carrier and the right of the subscriber under paragraphs 

(7) and (9) to enforce such limitations. 

In the case of subscribers who have entered into such an agreement before the effective date of this subsection, such notice 

shall be provided within 180 days of such date and at least 

once a year thereafter. 

(2) DEFINITIONS.—For purposes of this subsection, other than 

paragraph (9)— 

(A) the term ‘‘personally identifiable information’’ does 

not include any record of aggregate data which does not 

identify particular persons; 

(B) the term ‘‘other service’’ includes any wire or radio 

communications service provided using any of the facilities 

of a satellite carrier that are used in the provision of satellite service; and 

(C) the term ‘‘satellite carrier’’ includes, in addition to 

persons within the definition of satellite carrier, any person who— 

(i) is owned or controlled by, or under common ownership or control with, a satellite carrier; and 

(ii) provides any wire or radio communications service. 

(3) PROHIBITIONS.— 

(A) CONSENT TO COLLECTION.—Except as provided in 

subparagraph (B), a satellite carrier shall not use any facilities used by the satellite carrier to collect personally 

identifiable information concerning any subscriber without 

the prior written or electronic consent of the subscriber 

concerned. 

(B) EXCEPTIONS.—A satellite carrier may use such facilities to collect such information in order to— 

(i) obtain information necessary to render a satellite 

service or other service provided by the satellite carrier to the subscriber; or 

(ii) detect unauthorized reception of satellite communications. 

(4) DISCLOSURE.— 

(A) CONSENT TO DISCLOSURE.—Except as provided in 

subparagraph (B), a satellite carrier shall not disclose personally identifiable information concerning any subscriber 

without the prior written or electronic consent of the subscriber concerned and shall take such actions as are necVerDate Mar 15 2010 02:13 Dec 28, 2010 Jkt 099010 PO 00000 Frm 00030 Fmt 6604 Sfmt 6601 E:\HR\OC\SR385.XXX SR385

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essary to prevent unauthorized access to such information 

by a person other than the subscriber or satellite carrier. 

(B) EXCEPTIONS.—A satellite carrier may disclose such 

information if the disclosure is— 

(i) necessary to render, or conduct a legitimate business activity related to, a satellite service or other 

service provided by the satellite carrier to the subscriber; 

(ii) subject to paragraph (9), made pursuant to a 

court order authorizing such disclosure, if the subscriber is notified of such order by the person to whom 

the order is directed; 

(iii) a disclosure of the names and addresses of subscribers to any satellite service or other service, if— 

(I) the satellite carrier has provided the subscriber the opportunity to prohibit or limit such 

disclosure; and 

(II) the disclosure does not reveal, directly or indirectly, the— 

(aa) extent of any viewing or other use by 

the subscriber of a satellite service or other 

service provided by the satellite carrier; or 

(bb) the nature of any transaction made by 

the subscriber over any facilities used by the 

satellite carrier; or 

(iv) to a government entity as authorized under 

chapter 119, 121, or 206 of title 18, United States 

Code, except that such disclosure shall not include 

records revealing satellite subscriber selection of video 

programming from a satellite carrier. 

(5) ACCESS BY SUBSCRIBER.—A satellite subscriber shall be 

provided access to all personally identifiable information regarding that subscriber which is collected and maintained by 

a satellite carrier. Such information shall be made available to 

the subscriber at reasonable times and at a convenient place 

designated by such satellite carrier. A satellite subscriber shall 

be provided reasonable opportunity to correct any error in such 

information. 

(6) DESTRUCTION OF INFORMATION.—A satellite carrier shall 

destroy personally identifiable information if the information is 

no longer necessary for the purpose for which it was collected 

and there are no pending requests or orders for access to such 

information under paragraph (5) or pursuant to a court order. 

(7) PENALTIES.—Any person aggrieved by any act of a satellite carrier in violation of this section may bring a civil action 

in a United States district court. The court may award— 

(A) actual damages but not less than liquidated damages 

computed at the rate of $ 100 a day for each day of violation or $ 1,000, whichever is higher; 

(B) punitive damages; and 

(C) reasonable attorneys’ fees and other litigation costs 

reasonably incurred. 

The remedy provided by this subsection shall be in addition to 

any other lawful remedy available to a satellite subscriber. 


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(8) RULE OF CONSTRUCTION.—Nothing in this title shall be 

construed to prohibit any State from enacting or enforcing laws 

consistent with this section for the protection of subscriber privacy. 

(9) COURT ORDERS.—Except as provided in paragraph 

(4)(B)(iv), a governmental entity may obtain personally identifiable information concerning a satellite subscriber pursuant to 

a court order only if, in the court proceeding relevant to such 

court order— 

(A) such entity offers clear and convincing evidence that 

the subject of the information is reasonably suspected of 

engaging in criminal activity and that the information 

sought would be material evidence in the case; and 

(B) the subject of the information is afforded the opportunity to appear and contest such entity’s claim. 

(j) REGULATIONS BY COMMISSION.—Within 1 year after the date 

of the enactment of this section, the Commission shall issue regulations implementing this section following a rulemaking proceeding. 

The regulations prescribed under this section shall include requirements on satellite carriers that are comparable to the requirements 

on cable operators under sections 614(b)(3) and (4) and 615(g)(1) 

and (2). 

(k) DEFINITIONS.—As used in this section: 

(1) DISTRIBUTOR.—The term ‘‘distributor’’ means an entity 

which contracts to distribute secondary transmissions from a 

satellite carrier and, either as a single channel or in a package 

with other programming, provides the secondary transmission 

either directly to individual subscribers or indirectly through 

other program distribution entities. 

(2) ELIGIBLE SATELLITE CARRIER.—The term ‘‘eligible satellite 

carrier’’ means any satellite carrier that is not a party to a carriage contract with a qualified noncommercial educational television station or its representative that— 

(A) governs carriage of more than 30 such stations; and 

(B) is in force and effect as of the date of enactment of 

the Satellite Television Extension and Localism Act of 

2009. 

ø(2)¿ (3) LOCAL RECEIVE FACILITY.—The term ‘‘local receive 

facility’’ means the reception point in each local market which 

a satellite carrier designates for delivery of the signal of the 

station for purposes of retransmission. 

ø(3)¿ (4) LOCAL MARKET.—The term ‘‘local market’’ has the 

meaning given that term under section 122(j) of title 17, 

United States Code. 

ø(4)¿ (5) LOW POWER TELEVISION STATION.—The term ‘‘low 

power television station’’ means a low power television station 

as defined under section 74.701(f) of title 47, Code of Federal 

Regulations, as in effect on June 1, 2004. For purposes of this 

paragraph, the term ‘‘low power television station’’ includes a 

low power television station that has been accorded primary 

status as a Class A television licensee under section 73.6001(a) 

of title 47, Code of Federal Regulations. 

(6) QUALIFIED NONCOMMERCIAL EDUCATIONAL TELEVISION

STATION.—The term ‘‘qualified noncommercial educational teleVerDate Mar 15 2010 02:13 Dec 28, 2010 Jkt 099010 PO 00000 Frm 00032 Fmt 6604 Sfmt 6603 E:\HR\OC\SR385.XXX SR385

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vision station’’ has the meaning given such term in section 

615(l)(1) of this Act. 

ø(5)¿ (7) SATELLITE CARRIER.—The term ‘‘satellite carrier’’ 

has the meaning given such term under section 119(d) of title 

17, United States Code. 

ø(6)¿ (8) SECONDARY TRANSMISSION.—The term ‘‘secondary 

transmission’’ has the meaning given such term in section 

119(d) of title 17, United States Code. 

ø(7)¿ (9) SUBSCRIBER.—The term ‘‘subscriber’’ has the meaning given that term under section 122(j) of title 17, United 

States Code. 

ø(8)¿ (10) TELEVISION BROADCAST STATION.—The term ‘‘television broadcast station’’ has the meaning given such term in 

section 325(b)(7). 

SEC. 339. CARRIAGE OF DISTANT TELEVISION STATIONS BY SATELLITE CARRIERS. 

[47 U.S.C. 339] 

(a) PROVISIONS RELATING TO CARRIAGE OF DISTANT SIGNALS.— (1) CARRIAGE PERMITTED.— (A) IN GENERAL.—Subject to section 119 of title 17, 

United States Code, any satellite carrier shall be permitted to provide the signals of no more than two network 

stations in a single day for each television network to any 

household not located within the local markets of those 

network stations. 

(B) ADDITIONAL SERVICE.—In addition to signals provided under subparagraph (A), any satellite carrier may 

also provide service under the statutory license of section 

122 of title 17, United States Code, to the local market 

within which such household is located. The service provided under section 122 of such title may be in addition to 

the two signals provided under section 119 of such title. 

øSuch two network stations may be comprised of both the 

analog signal and digital signal of not more than two network stations.¿ 

(2) REPLACEMENT OF DISTANT SIGNALS WITH LOCAL SIGNALS.—Notwithstanding any other provision of paragraph (1), 

the following rules shall apply after the date of enactment of 

the øSatellite Home Viewer Extension and Reauthorization Act 

of 2004:¿ Satellite Television Extension and Localism Act of 

2009: 

(A) RULES FOR øGRANDFATHERED SUBSCRIBERS TO ANALOG SIGNALS.—¿ CERTAIN GRANDFATHERED SUBSCRIBERS.— 

(i) FOR THOSE RECEIVING DISTANT øANALOG¿ SIGNALS.—In the case of a subscriber of a satellite carrier 

who is eligible to receive the øanalog¿ signal of a network station solely by reason of section 119(e) of title 

17, United States Code (in this subparagraph referred 

to as a ‘‘distant øanalog¿ signal’’), and who, as of øOctober 1, 2004,¿ October 1, 2009, is receiving the distant øanalog¿ signal of that network station, the following shall apply: 

(I) In a case in which the satellite carrier makes 

available to the subscriber the analog signal of a 


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local network station affiliated with the same television network pursuant to section 338, the carrier may only provide the secondary transmissions 

of the distant analog signal of a station affiliated 

with the same network to that subscriber— 

(aa) if, within 60 days after receiving the 

notice of the satellite carrier under section 

338(h)(1) of this Act, the subscriber elects to 

retain the distant analog signal; but 

(bb) only until such time as the subscriber 

elects to receive such local analog signal. 

(II) Notwithstanding subclause (I), the carrier 

may not retransmit the distant analog signal to 

any subscriber who is eligible to receive the analog signal of a network station solely by reason of 

section 119(e) of title 17, United States Code, unless such carrier, within 60 days after the date of 

the enactment of the Satellite Home Viewer Extension and Reauthorization Act of 2004, submits 

to that television network the list and statement 

required by subparagraph (F)(i). 

(ii) FOR THOSE NOT RECEIVING DISTANT øANALOG¿ 

SIGNALS.—In the case of any subscriber of a satellite 

carrier who is eligible to receive the distant øanalog¿ 

signal of a network station solely by reason of section 

119(e) of title 17, United States Code, and who did not 

receive a distant øanalog¿ signal of a station affiliated 

with the same network on October 1, ø2004,¿ 2009, 

the carrier may not provide the secondary transmissions of the distant øanalog¿ signal of a station affiliated with the same network to that subscriber. 

ø(B) RULES FOR OTHER SUBSCRIBERS TO ANALOG SIG- NALS.—In the case of a subscriber of a satellite carrier who 

is eligible to receive the analog signal of a network station 

under this section (in this subparagraph referred to as a 

‘‘distant analog signal’’), other than subscribers to whom 

subparagraph (A) applies, the following shall apply: 

ø(i) In a case in which the satellite carrier makes 

available to that subscriber, on January 1, 2005, the 

analog signal of a local network station affiliated with 

the same television network pursuant to section 338, 

the carrier may only provide the secondary transmissions of the distant analog signal of a station affiliate with the same network to that subscriber if the 

subscriber’s satellite carrier, not later than March 1, 

2005, submits to that television network the list and 

statement required by subparagraph (F)(i). 

ø(ii) In a case in which the satellite carrier does not 

make available to that subscriber, on January 1, 2005, 

the analog signal of a local network station pursuant 

to section 338, the carrier may only provide the secondary transmissions of the distant analog signal of a 

station affiliated with the same network to that subscriber if— 


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ø(I) that subscriber seeks to subscribe to such 

distant analog signal before the date on which 

such carrier commences to carry pursuant to section 338 the analog signals of stations from the 

local market of such local network station; and 

ø(II) the satellite carrier, within 60 days after 

such date, submits to each television network the 

list and statement required by subparagraph 

(F)(ii).¿ 

(B) RULES FOR OTHER SUBSCRIBERS.—A subscriber of a 

satellite carrier, other than a subscriber to whom subparagraph (A) applies, who was lawfully receiving the distant 

signal of a network station on the day before the date of enactment of the Satellite Television Extension and Localism 

Act of 2009 may continue to receive such distant signal 

until such subscriber chooses to no longer receive such distant signal from such carrier, whether or not such subscriber elects to subscribe to local signals. 

(C) FUTURE APPLICABILITY.—A satellite carrier may not 

provide a distant øanalog¿ signal (within the meaning of 

subparagraph (A) or (B)) to a person who— 

(i) is not a subscriber lawfully receiving such secondary transmission as of the date of the enactment of 

øthe Satellite Home Viewer Extension and Reauthorization Act of 2004;¿ the Satellite Television Extension 

and Localism Act of 2009; and 

ø(ii) at the time such person seeks to subscribe to 

receive such secondary transmission, resides in a local 

market where the satellite carrier makes available to 

that person the analog signal of a local network station affiliated with the same television network pursuant to section 338, and the retransmission of such signal by such carrier can reach such subscriber.¿ 

(ii) either— 

(I) at the time such person seeks to subscribe to 

receive such secondary transmission, resides in a 

local market where the satellite carrier makes 

available to that person the signal of a local network station affiliated with the same television 

network pursuant to section 338, and the retransmission of such signal by such carrier can reach 

such subscriber; or 

(II) receives from the satellite carrier the signal 

of a network station affiliated with the same network that is broadcast by a local station in the 

market where the subscriber resides, but is not the 

local station’s primary video. 

ø(D) SPECIAL RULES FOR DISTANT DIGITAL SIGNALS.— 

ø(i) ELIGIBILITY.—In the case of a subscriber of a 

satellite carrier who, with respect to a local network 

station— 

ø(I) is a subscriber whose household is located 

outside the coverage area of the analog signal of 

such station as predicted by the model specified in 


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subsection (c)(3) of this section for the signal intensity required under section 73.683(a) of title 47 

of the Code of Federal Regulations, or a successor 

regulation; 

ø(II) is in an unserved household as determined 

under section 119(d)(1)(A) of title 17, United 

States Code; or 

ø(III) is, after the date on which the conditions 

required by clause (vii) are met with respect to 

such station, determined under clause (vi) of this 

subparagraph to be unable to receive a digital signal of such local network station that exceeds the 

signal intensity standard specified in such clause; 

such subscriber is eligible to receive the digital signal 

of a distant network station affiliated with the same 

network under this section (in this subparagraph referred to as a ‘‘distant digital signal’’) subject to the 

provisions of this subparagraph. 

ø(ii) PRE-ENACTMENT DISTANT DIGITAL SIGNAL SUB- SCRIBERS.—Any eligible subscriber under this subparagraph who is a lawful subscriber to such a distant digital signal as of the date of enactment of the Satellite 

Home Viewer Extension and Reauthorization Act of 

2004 may continue to receive such distant digital signal, whether or not such subscriber elects to subscribe 

to local digital signals. 

ø(iii) LOCAL-TO-LOCAL ANALOG MARKETS.—In a case 

in which the satellite carrier makes available to an eligible subscriber under this subparagraph the analog 

signal of a local network station pursuant to section 

338, the carrier may only provide the distant digital 

signal of a station affiliated with the same network to 

that subscriber if— 

ø(I) in the case of any local market in the 48 

contiguous States of the United States, the distant 

digital signal is the secondary transmission of a 

station whose prime time network programming is 

generally broadcast simultaneously with, or later 

than, the prime time network programming of the 

affiliate of the same network in the local market; 

ø(II) in any local market, the retransmission of 

the distant digital signal of the distant station occupies at least the equivalent bandwidth (as such 

term is defined by the Commission under section 

340(h)(4)) as the digital signal broadcast by such 

station; and 

ø(III) the subscriber subscribes to the analog 

signal of such local network station within 60 

days after such signal is made available by the 

satellite carrier, and adds to or replaces such analog signal with the digital signal from such local 

network station within 60 days after such signal 

is made available by the satellite carrier, except 

that such distant digital signal may continue to be 


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provided to a subscriber who cannot be reached by 

the satellite transmission of the local digital signal. 

ø(iv) LOCAL-TO-LOCAL DIGITAL MARKETS.—After the 

date on which a satellite carrier makes available the 

digital signal of a local network station, the carrier 

may not offer the distant digital signal of a network 

station affiliated with the same television network to 

any new subscriber to such distant digital signal after 

such date, except that such distant digital signal may 

be provided to a new subscriber who cannot be 

reached by the satellite transmission of the local digital signal. 

ø(v) Non-local-to-local markets. After the date of enactment of the Satellite Home Viewer Extension and 

Reauthorization Act of 2004, if the satellite carrier 

does not make available the digital signal of a local 

network station in a local market, the satellite carrier 

may offer a new subscriber after such date who is eligible under this subparagraph a distant digital signal 

from a station affiliated with the same network and, 

in the case of any local market in the 48 contiguous 

States of the United States, whose prime time network 

programming is generally broadcast simultaneously 

with, or later than, the prime time network programming of the affiliate of the same network in the local 

market, except that— 

ø(I) such carrier may continue to provide such 

distant digital signal to such a subscriber after 

the date on which the carrier makes available the 

digital signal of a local network station affiliated 

with such network only if such subscriber subscribes to the digital signal from such local network station; and 

ø(II) the limitation contained in subclause (I) of 

this clause shall not apply to a subscriber that 

cannot be reached by the satellite transmission of 

the local digital signal. 

ø(vi) SIGNAL TESTING FOR DIGITAL SIGNALS.— ø(I) A subscriber shall be eligible for a distant 

digital signal under clause (i)(III) if such subscriber is determined, based on a test conducted in 

accordance with section 73.686(d) of title 47, Code 

of Federal Regulations, or any successor regulation, not to be able to receive a signal that exceeds 

the signal intensity standard in section 

73.622(e)(1) of title 47, Code of Federal Regulations, as in effect on the date of enactment of the 

Satellite Home Viewer Extension and Reauthorization Act of 2004. 

ø(II) Such test shall be conducted, upon written 

request for a digital signal strength test by the 

subscriber to the satellite carrier, within 30 days 

after the date the subscriber submits such request 


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for the test. Such test shall be conducted by a 

qualified and independent person selected by the 

satellite carrier and the network station or stations, or who has been previously approved by the 

satellite carrier and by each affected network station but not previously disapproved. A tester may 

not be so disapproved for a test after the tester 

has commenced such test. 

ø(III) Unless the satellite carrier and the network station or stations otherwise agree, the costs 

of conducting the test shall be borne as follows: 

ø(aa) If the subscriber is not eligible for a 

distant digital signal under clause (i)(I) of this 

subparagraph (by reason of being outside of 

the coverage area of the analog signal), the 

satellite carrier may request the station licensee for a waiver. 

ø(bb) If the licensee agrees to a waiver, or 

fails to respond to a waiver request within 30 

days, the subscriber may receive such distant 

digital signal. 

ø(cc) If the licensee refuses to grant a waiver, the subscriber may request the satellite 

carrier to conduct the test. 

ø(dd) If the satellite carrier requests the 

test and— 

ø(AA) the station’s signal is determined 

to exceed such signal intensity standard, 

the costs of the test shall be borne by the 

satellite carrier; and 

ø(BB) the station’s signal is determined 

to not exceed such signal intensity standard, the costs of the test shall be borne by 

the licensee. 

ø(ee) If the satellite carrier does not request 

the test, or fails to respond within 30 days, 

the subscriber may request the test be conducted under the supervision of the carrier, 

and the costs of the test shall be borne by the 

subscriber in accordance with regulations prescribed by the Commission. Such regulations 

shall also require the carrier to notify the subscriber of the typical costs of such test. 

ø(vii) TRIGGER EVENTS FOR USE OF TESTING.—A subscriber shall not be eligible for a distant digital signal 

under clause (i)(III) pursuant to a test conducted 

under clause (vii) until— 

ø(I) in the case of a subscriber whose household 

is located within the area predicted to be served 

(by the predictive model for analog signals under 

subsection (b)(3) of this section) by the signal of a 

local network station and who is seeking a distant 

digital signal of a station affiliated with the same 

network as that local network station— 


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37 

ø(aa) April 30, 2006, if such local network 

station is within the top 100 television markets and— 

ø(AA) has received a tentative digital 

television service channel designation 

that is the same as such station’s current 

digital television service channel; or 

ø(BB) has been found by the Commission to have lost interference protection; 

or 

ø(bb) July 15, 2007, for any other local network stations, other than translator stations 

licensed to broadcast on the date of enactment 

of the Satellite Home Viewer Extension and 

Reauthorization Act of 2004; or 

ø(II) in the case of a translator station, 1 year 

after the date on which the Commission completes 

all actions necessary for the allocation and assignment of digital television licenses to television 

translator stations. 

ø(viii) TESTING WAIVERS.—Upon request by a local 

network station, the Commission may grant a waiver 

with respect to such station to the beginning of testing 

under clause (vii), and prohibit subscribers from receiving digital signal strength testing with respect to 

such station. Such a request shall be filed not less 

than 5 months prior to the implementation deadline 

specified in such clause, and the Commission shall act 

on such request by such implementation deadline. 

Such a waiver shall expire at the end of not more than 

6 months, except that a waiver may be renewed upon 

a proper showing. The Commission may only grant 

such a request upon submission of clear and convincing evidence that the station’s digital signal coverage is limited due to the unremediable presence of 

one or more of the following: 

ø(I) the need for international coordination or 

approvals; 

ø(II) clear zoning or environmental legal impediments; 

ø(III) force majeure; 

ø(IV) the station experiences a substantial decrease in its digital signal coverage area due to 

necessity of using side-mounted antenna; 

ø(V) substantial technical problems that result 

in a station experiencing a substantial decrease in 

its coverage area solely due to actions to avoid interference with emergency response providers; or 

ø(VI) no satellite carrier is providing the retransmission of the analog signals of local network 

stations under section 338 in the local market. 

Under no circumstances may such a waiver be based 

upon financial exigency. 


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ø(ix) SPECIAL WAIVER PROVISION FOR TRANS- LATORS.—Upon request by a television translator station, the Commission may grant, for not more than 3 

years, a waiver with respect to such station to the beginning of testing under clause (vii), and prohibit subscribers from receiving digital signal strength testing 

with respect to such station, if the Commission determines that the translator station is not broadcasting a 

digital signal due to one or more of the following: 

ø(I) frequent occurrence of inclement weather; 

or 

ø(II) mountainous terrain at the transmitter 

tower location. 

ø(x) SAVINGS PROVISION.—Nothing in this subparagraph shall be construed to affect a satellite carrier’s 

obligations under section 338. 

ø(xi) DEFINITION.—For purposes of clause (viii), the 

term ‘‘emergency response providers’’ means Federal, 

State, or local governmental and nongovernmental 

emergency public safety, law enforcement, fire, emergency response, emergency medical (including hospital 

emergency facilities), and related personnel, organizations, agencies, or authorities.¿ 

(D) SPECIAL RULES FOR DISTANT SIGNALS.— (i) IN GENERAL.—In the case of a subscriber of a satellite carrier who, with respect to a local network station— 

(I) is a subscriber whose household is not predicted by the model specified in subsection (c)(3) of 

this section to receive the signal intensity required 

under section 73.622(e)(1) or 73.683(a) of 47 of the 

Code of Federal Regulations, or a successor regulation, or 

(II) is in an unserved household, as determined 

under section 119(d)(10)(A) of title 17, United 

States Code, 

such subscriber is eligible to receive the signal of a distant network station affiliated with the same network 

under this section, subject to the provisions of this subparagraph. 

(ii) SIGNAL TESTING.—A subscriber shall be eligible 

to receive a distant signal of a distant network station 

affiliated with the same network under this section if 

such subscriber is determined, based on a test conducted in accordance with section 73.686(d) of title 47, 

Code of Federal Regulations, or any successor regulation, not to be able to receive a signal that exceeds the 

signal intensity standard in section 73.622(e)(1) or 

73.683(a) of title 47, Code of Federal Regulations. 

(iii) TIME-SHIFTING PROHIBITED.—In a case in which 

the satellite carrier makes available to an eligible subscriber under this subparagraph the signal of a local 

network station pursuant to section 338, the carrier 

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ated with the same network to that subscriber if, in the 

case of any local market in the 48 contiguous States of 

the United States, the distant signal is the secondary 

transmission of a station whose prime time network 

programming is generally broadcast simultaneously 

with, or later than, the prime time network programming of the affiliate of the same network in the local 

market. 

(iv) SAVINGS PROVISION.—Nothing in this subparagraph shall be construed to affect a satellite carrier’s 

obligations under section 338. 

(E) AUTHORITY TO GRANT STATION-SPECIFIC WAIVERS.— 

This paragraph shall not prohibit a retransmission of a 

ødistant analog signal or distant digital signal (within the 

meaning of subparagraph (A), (B), or (D))¿ distant signal 

of any distant network station to any subscriber to whom 

the signal of a local network station affiliated with the 

same network is available, if and to the extent that such 

local network station has affirmatively granted a waiver 

from the requirements of this paragraph to such satellite 

carrier with respect to retransmission of such distant network station to such subscriber. 

(F) NOTICES TO NETWORKS OF DISTANT SIGNAL SUBSCRIBERS.— 

(i) Within 60 days after the date of enactment of the 

Satellite Home Viewer Extension and Reauthorization 

Act of 2004, each satellite carrier that provides a distant signal of a network station to a subscriber pursuant to subparagraph (A) or (B)(i) of this paragraph 

shall submit to each network— 

(I) a list, aggregated by designated market area, 

identifying each subscriber provided such a signal 

by— 

(aa) name; 

(bb) address (street or rural route number, 

city, State, and zip code); and 

(cc) the distant network signal or signals received; and 

(II) a statement that, to the best of the carrier’s 

knowledge and belief after having made diligent 

and good faith inquiries, the subscriber is qualified under the existing law to receive the distant 

network signal or signals pursuant to subparagraph (A) or (B)(i) of this paragraph. 

(ii) Within 60 days after the date a satellite carrier 

commences to carry pursuant to section 338 the signals of stations from a local market, such a satellite 

carrier that provides a distant signal of a network station to a subscriber pursuant to subparagraph (B)(ii) 

of this paragraph shall submit to each network— 

(I) a list identifying each subscriber in that local 

market provided such a signal by— 

(aa) name; 


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(bb) address (street or rural route number, 

city, State, and zip code); and 

(cc) the distant network signal or signals received; and 

(II) a statement that, to the best of the carrier’s 

knowledge and belief after having made diligent 

and good faith inquiries, the subscriber is qualified under the existing law to receive the distant 

network signal or signals pursuant to subparagraph (B)(ii) of this paragraph. 

(G) OTHER PROVISIONS NOT AFFECTED.—This paragraph 

shall not affect the eligibility of a subscriber to receive secondary transmissions under section 340 of this Act or as 

an unserved household included under section 119(a)(12) 

of title 17, United States Code. 

(H) AVAILABLE DEFINED.—For purposes of this paragraph, a satellite carrier makes available a local signal to 

a subscriber or person if the satellite carrier offers that 

local signal to other subscribers who reside in the same zip 

code as that subscriber or person. 

(3) PENALTY FOR VIOLATION.—Any satellite carrier that 

knowingly and willfully provides the signals of television stations to subscribers in violation of this subsection shall be liable for a forfeiture penalty under section 503 in the amount of 

$ 50,000 for each violation or each day of a continuing violation, except that paragraph (2)(D) of this subsection, relating 

to the provision of distant digital signals, shall be enforceable 

under the provisions of section 340(f). 

(b) EXTENSION OF NETWORK NONDUPLICATION, SYNDICATED EX- CLUSIVITY, AND SPORTS BLACKOUT TO SATELLITE RETRANSMISSION.— (1) EXTENSION OF PROTECTIONS.—Within 45 days after the 

date of the enactment of the Satellite Home Viewer Improvement Act of 1999, the Commission shall commence a single 

rulemaking proceeding to establish regulations that— 

(A) apply network nonduplication protection (47 CFR 

76.92) syndicated exclusivity protection (47 CFR 76.151), 

and sports blackout protection (47 CFR 76.67) to the retransmission of the signals of nationally distributed superstations by satellite carriers to subscribers; and 

(B) to the extent technically feasible and not economically prohibitive, apply sports blackout protection (47 CFR 

76.67) to the retransmission of the signals of network stations by satellite carriers to subscribers. 

(2) DEADLINE FOR ACTION.—The Commission shall complete 

all actions necessary to prescribe regulations required by this 

section so that the regulations shall become effective within 1 

year after such date of enactment. 

(c) ELIGIBILITY FOR RETRANSMISSION.— 

(1) STUDY OF DIGITAL STRENGTH TESTING PROCEDURES.— (A) STUDY REQUIRED.—Not later than 1 year after the 

date of the enactment of the Satellite Home Viewer Extension and Reauthorization Act of 2004, the Federal Communications Commission shall complete an inquiry regarding 

whether, for purposes of identifying if a household is 


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unserved by an adequate digital signal under section 

119(d)(10) of title 17, United States Code, the digital signal 

strength standard in section 73.622(e)(1) of title 47, Code 

of Federal Regulations, or the testing procedures in section 

73.686(d) of title 47, Code of Federal Regulations, such 

statutes or regulations should be revised to take into account the types of antennas that are available to consumers. 

(B) STUDY CONSIDERATIONS.—In conducting the study 

under this paragraph, the Commission shall consider 

whether— 

(i) to account for the fact that an antenna can be 

mounted on a roof or placed in a home and can be 

fixed or capable of rotating; 

(ii) section 73.686(d) of title 47, Code of Federal Regulations, should be amended to create different procedures for determining if the requisite digital signal 

strength is present than for determining if the requisite analog signal strength is present; 

(iii) a standard should be used other than the presence of a signal of a certain strength to ensure that a 

household can receive a high-quality picture using antennas of reasonable cost and ease of installation; 

(iv) to develop a predictive methodology for determining whether a household is unserved by an adequate digital signal under section 119(d)(10) of title 

17, United States Code; 

(v) there is a wide variation in the ability of reasonably priced consumer digital television sets to receive 

over-the-air signals, such that at a given signal 

strength some may be able to display high-quality pictures while others cannot, whether such variation is 

related to the price of the television set, and whether 

such variation should be factored into setting a standard for determining whether a household is unserved 

by an adequate digital signal; and 

(vi) to account for factors such as building loss, external interference sources, or undesired signals from 

both digital television and analog television stations 

using either the same or adjacent channels in nearby 

markets, foliage, and man-made clutter. 

(C) REPORT.—Not later than 1 year after the date of the 

enactment of the Satellite Home Viewer Extension and Reauthorization Act of 2004, the Federal Communications 

Commission shall submit to the Committee on Energy and 

Commerce of the House of Representatives and the Committee on Commerce, Science, and Transportation of the 

Senate a report containing— 

(i) the results of the study under this paragraph; 

and 

(ii) recommendations, if any, as to what changes 

should be made to Federal statutes or regulations. 

(2) WAIVERS.—A subscriber who is denied the retransmission 

of a signal of a network station under section 119 of title 17, 


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United States Code, may request a waiver from such denial by 

submitting a request, through such subscriber’s satellite carrier, to the network station asserting that the retransmission 

is prohibited. The network station shall accept or reject a subscriber’s request for a waiver within 30 days after receipt of 

the request. The subscriber shall be permitted to receive such 

retransmission under section 119(d)(10)(B) of title 17, United 

States Code, if such station agrees to the waiver request and 

files with the satellite carrier a written waiver with respect to 

that subscriber allowing the subscriber to receive such retransmission. If a television network station fails to accept or reject 

a subscriber’s request for a waiver within the 30-day period 

after receipt of the request, that station shall be deemed to 

agree to the waiver request and have filed such written waiver. 

ø(3) ESTABLISHMENT OF IMPROVED PREDICTIVE MODEL REQUIRED.—Within 180 days after the date of the enactment of 

the Satellite Home Viewer Improvement Act of 1999, the Commission shall take all actions necessary, including any reconsideration, to develop and prescribe by rule a point-to-point 

predictive model for reliably and presumptively determining 

the ability of individual locations to receive signals in accordance with the signal intensity standard in effect under section 

119(d)(10)(A) of title 17, United States Code. In prescribing 

such model, the Commission shall rely on the Individual Location Longley-Rice model set forth by the Federal Communications Commission in Docket No. 98-201 and ensure that such 

model takes into account terrain, building structures, and 

other land cover variations. The Commission shall establish 

procedures for the continued refinement in the application of 

the model by the use of additional data as it becomes available.¿ 

(3) ESTABLISHMENT OF IMPROVED PREDICTIVE MODEL AND ONLOCATION TESTING REQUIRED.— 

(A) PREDICTIVE MODEL.—Within 180 days after the date 

of the enactment of the Satellite Television Extension and 

Localism Act of 2009, the Commission shall take all actions 

necessary to develop and prescribe by rule a point-to-point 

predictive model for reliably and presumptively determining the ability of individual locations, through the use 

of an antenna, to receive signals in accordance with the signal intensity standard in section 73.622(e)(1) of title 47, 

Code of Federal Regulations, including to account for the 

continuing operation of translator stations and low power 

television stations. In prescribing such model, the Commission shall rely on the Individual Location Longley-Rice 

model set forth by the Commission in CS Docket No. 98– 

201, as previously revised with respect to analog signals, 

and as recommended by the Commission with respect to 

digital signals in its Report to Congress in ET Docket No. 

05–182, FCC 05–199 (released December 9, 2005). The 

Commission shall establish procedures for the continued refinement in the application of the model by the use of additional data as it becomes available. 


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(B) ON-LOCATION TESTING.—The Commission shall issue 

an order completing its rulemaking proceeding in ET Docket No. 06–94 within 180 days after the date of enactment 

of the Satellite Television Extension and Localism Act of 

2009. In conducting such rulemaking, the Commission 

shall seek ways to minimize consumer burdens associated 

with on-location testing. 

(4) OBJECTIVE VERIFICATION.— ø(A) IN GENERAL.—If a subscriber’s request for a waiver 

under paragraph (2) is rejected and the subscriber submits 

to the subscriber’s satellite carrier a request for a test 

verifying the subscriber’s inability to receive a signal that 

meets the signal intensity standard in effect under section 

119(d)(10)(A) of title 17, United States Code, the satellite 

carrier and the network station or stations asserting that 

the retransmission is prohibited with respect to that subscriber shall select a qualified and independent person to 

conduct a test in accordance with section 73.686(d) of its 

regulations (47 CFR 73.686(d)), or any successor regulation. Such test shall be conducted within 30 days after the 

date the subscriber submits a request for the test. If the 

written findings and conclusions of a test conducted in accordance with such section (or any successor regulation) 

demonstrate that the subscriber does not receive a signal 

that meets or exceeds the signal intensity standard in effect under section 119(d)(10)(A) of title 17, United States 

Code, the subscriber shall not be denied the retransmission of a signal of a network station under section 119 

of title 17, United States Code.¿ 

(A) IN GENERAL.—If a subscriber’s request for a waiver 

under paragraph (2) is rejected and the subscriber submits 

to the subscriber’s satellite carrier a request for a test 

verifying the subscriber’s inability to receive a signal of the 

signal intensity referenced in clause (i) of subsection 

(a)(2)(D), the satellite carrier and the network station or 

stations asserting that the retransmission is prohibited 

with respect to that subscriber shall select a qualified and 

independent person to conduct the test referenced in such 

clause. Such test shall be conducted within 30 days after 

the date the subscriber submits a request for the test. If the 

written findings and conclusions of a test conducted in accordance with such clause demonstrate that the subscriber 

does not receive a signal that meets or exceeds the requisite 

signal intensity standard in such clause, the subscriber 

shall not be denied the retransmission of a signal of a network station under section 119 of title 17, United States 

Code. 

(B) DESIGNATION OF TESTER AND ALLOCATION OF

COSTS.—If the satellite carrier and the network station or 

stations asserting that the retransmission is prohibited are 

unable to agree on such a person to conduct the test, the 

person shall be designated by an independent and neutral 

entity designated by the Commission by rule. Unless the 

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wise agree, the costs of conducting the test under this 

paragraph shall be borne by the satellite carrier, if the station’s signal meets or exceeds øthe signal intensity standard in effect under section 119(d)(10)(A) of title 17, United 

States Code¿ such requisite signal intensity standard, or 

by the network station, if its signal fails to meet or exceed 

such standard. 

(C) AVOIDANCE OF UNDUE BURDEN.—Commission regulations prescribed under this paragraph shall seek to avoid 

any undue burden on any party. 

(D) REDUCTION OF VERIFICATION BURDENS.—Within 1 

year after the date of enactment of the Satellite Home 

Viewer Extension and Reauthorization Act of 2004, the 

Commission shall by rule exempt from the verification requirements of subparagraph (A) any request for a test 

made by a subscriber to a satellite carrier to whom the retransmission of the signals of local broadcast stations is 

available under section 338 from such carrier. 

(E) EXCEPTION.—A satellite carrier may refuse to engage 

in the testing process. If the carrier does so refuse, a subscriber in a local market in which the satellite carrier does 

not offer the signals of local broadcast stations under section 338 may, at his or her own expense, authorize a signal intensity test to be performed pursuant to the procedures specified by the Commission in section 73.686(d) of 

title 47, Code of Federal Regulations, by a tester who is 

approved by the satellite carrier and by each affected network station, or who has been previously approved by the 

satellite carrier and by each affected network station but 

not previously disapproved. A tester may not be so disapproved for a test after the tester has commenced such 

test. The tester shall give 5 business days advance written 

notice to the satellite carrier and to the affected network 

station or stations. A signal intensity test conducted in accordance with this subparagraph shall be determinative of 

the signal strength received at that household for purposes 

of determining whether the household is capable of receiving a øGrade B intensity¿ signal. 

(5) DEFINITION.—Notwithstanding subsection (d)(4), for purposes of paragraphs (2) and (4) of this subsection, the term 

‘‘satellite carrier’’ includes a distributor (as defined in section 

119(d)(1) of title 17, United States Code), but only if the satellite distributor’s relationship with the subscriber includes 

billing, collection, service activation, and service deactivation. 

(d) DEFINITIONS.—For the purposes of this section: 

(1) LOCAL MARKET.—The term ‘‘local market’’ has the meaning given that term under section 122(j) of title 17, United 

States Code. 

(2) NATIONALLY DISTRIBUTED SUPERSTATION.—The term ‘‘nationally distributed superstation’’ means a television broadcast 

station, licensed by the Commission, that— 

(A) is not owned or operated by or affiliated with a television network that, as of January 1, 1995, offered interconnected program service on a regular basis for 15 or 


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45 

more hours per week to at least 25 affiliated television licensees in 10 or more States; 

(B) on May 1, 1991, was retransmitted by a satellite carrier and was not a network station at that time; and 

(C) was, as of July 1, 1998, retransmitted by a satellite 

carrier under the statutory license of section 119 of title 

17, United States Code. 

(3) NETWORK STATION.—The term ‘‘network station’’ has the 

meaning given such term under section 119(d) of title 17, 

United States Code. 

(4) SATELLITE CARRIER.—The term ‘‘satellite carrier’’ has the 

meaning given such term under section 119(d) of title 17, 

United States Code. 

(5) TELEVISION NETWORK.—The term ‘‘television network’’ 

means a television network in the United States which offers 

an interconnected program service on a regular basis for 15 or 

more hours per week to at least 25 affiliated broadcast stations 

in 10 or more States. 

SEC. 340. SIGNIFICANTLY VIEWED SIGNALS PERMITTED TO BE CARRIED. 

[47 U.S.C. 340] 

(a) SIGNIFICANTLY VIEWED STATIONS.—In addition to the broadcast signals that subscribers may receive under section 338 and 

339, a satellite carrier is also authorized to retransmit to a subscriber located in a community the signal of any station located 

outside the local market in which such subscriber is located, to the 

extent such signal— 

(1) has, before the date of enactment of the Satellite Home 

Viewer Extension and Reauthorization Act of 2004, been determined by the Federal Communications Commission to be a signal a cable operator may carry as significantly viewed in such 

community, except to the extent that such signal is prevented 

from being carried by a cable system in such community under 

the Commission’s network nonduplication and syndicated exclusivity rules; or 

(2) is, after such date of enactment, determined by the Commission to be significantly viewed in such community in accordance with the same standards and procedures concerning 

shares of viewing hours and audience surveys as are applicable 

under the rules, regulations, and authorizations of the Commission to determining with respect to a cable system whether 

signals are significantly viewed in a community. 

(b) LIMITATIONS.— 

ø(1) ANALOG SERVICE LIMITED TO SUBSCRIBERS TAKING

LOCAL-INTO-LOCAL SERVICE.—With respect to a signal that 

originates as an analog signal of a network station, this section 

shall apply only to retransmissions to subscribers of a satellite 

carrier who receive retransmissions of a signal that originates 

as an analog signal of a local network station from that satellite carrier pursuant to section 338. 

ø(2) DIGITAL SERVICE LIMITATIONS.—With respect to a signal 

that originates as a digital signal of a network station, this section shall apply only if— 


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ø(A) the subscriber receives from the satellite carrier 

pursuant to section 338 the retransmission of the digital 

signal of a network station in the subscriber’s local market 

that is affiliated with the same television network; and 

ø(B) either— 

ø(i) the retransmission of the local network station 

occupies at least the equivalent bandwidth as the digital signal retransmitted pursuant to this section; or 

ø(ii) the retransmission of the local network station 

is comprised of the entire bandwidth of the digital signal broadcast by such local network station.¿ 

(1) SERVICE LIMITED TO SUBSCRIBERS TAKING LOCAL-INTO- LOCAL SERVICE.—This section shall apply only to retransmissions to subscribers of a satellite carrier who receive retransmissions of a signal from that satellite carrier pursuant to section 338. 

(2) SERVICE LIMITATIONS.—A satellite carrier may retransmit 

to a subscriber in high definition format the signal of a station 

determined by the Commission to be significantly viewed under 

subsection (a) only if such carrier also retransmits in high definition format the signal of a station located in the local market 

of such subscriber and affiliated with the same network whenever such format is available from such station. 

(3) LIMITATION NOT APPLICABLE WHERE NO NETWORK AFFILI- ATES.—The limitations in paragraphs (1) and (2) shall not prohibit a retransmission under this section to a subscriber located in a local market in which there are no network stations 

affiliated with the same television network as the station 

whose signal is being retransmitted pursuant to this section. 

(4) AUTHORITY TO GRANT STATION-SPECIFIC WAIVERS.—Paragraphs (1) and (2) shall not prohibit a retransmission of a network station to a subscriber if and to the extent that the network station in the local market in which the subscriber is located, and that is affiliated with the same television network, 

has privately negotiated and affirmatively granted a waiver 

from the requirements of paragraph (1) and (2) to such satellite carrier with respect to retransmission of the significantly 

viewed station to such subscriber. 

(c) PUBLICATION AND MODIFICATIONS OF LISTS; REGULATIONS.— (1) IN GENERAL.—The Commission shall— 

(A) within 60 days after the date of enactment of the 

Satellite Home Viewer Extension and Reauthorization Act 

of 2004— 

(i) publish a list of the stations that are eligible for 

retransmission under subsection (a)(1) and the communities in which such stations are eligible for such 

retransmission; and 

(ii) commence a rulemaking proceeding to implement this section by publication of a notice of proposed 

rulemaking; 

(B) adopt rules pursuant to such rulemaking within 1 

year after such date of enactment. 

(2) PUBLIC AVAILABILITY OF LIST.—The Commission shall 

make readily available to the public in electronic form, on the 


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Internet website of the Commission or other comparable facility, a list of the stations that are eligible for retransmission 

under subsection (a) and the communities in which such stations are eligible for such retransmission. The Commission 

shall update such list within 10 business days after the date 

on which the Commission issues an order making any modification of such stations and communities. 

(3) MODIFICATIONS.—In addition to cable operators and television broadcast station licensees, the Commission shall permit 

a satellite carrier to petition for decisions and orders— 

(A) by which stations may be added to those that are eligible for retransmission under subsection (a), and by which 

communities may be added in which such stations are eligible for such retransmission; and 

(B) by which network nonduplication or syndicated exclusivity regulations are applied to the retransmission in 

accordance with subsection (e). 

(d) EFFECT ON OTHER OBLIGATIONS AND RIGHTS.— (1) NO EFFECT ON CARRIAGE OBLIGATIONS.—Carriage of a signal under this section is not mandatory, and any right of a station licensee to have the signal of such station carried under 

section 338 is not affected by the eligibility of such station to 

be carried under this section. 

(2) RETRANSMISSION CONSENT RIGHTS NOT AFFECTED.—The 

eligibility of the signal of a station to be carried under this section does not affect any right of the licensee of such station to 

grant (or withhold) retransmission consent under section 

325(b)(1). 

(e) NETWORK NONDUPLICATION AND SYNDICATED EXCLUSIVITY.— (1) NOT APPLICABLE EXCEPT AS PROVIDED BY COMMISSION

REGULATIONS.—Signals eligible to be carried under this section 

are not subject to the Commission’s regulations concerning network nonduplication or syndicated exclusivity unless, pursuant 

to regulations adopted by the Commission, the Commission determines to permit network nonduplication or syndicated exclusivity to apply within the appropriate zone of protection. 

(2) LIMITATION.—Nothing in this subsection or Commission 

regulations shall permit the application of network nonduplication or syndicated exclusivity regulations to the retransmission 

of distant signals of network stations that are carried by a satellite carrier pursuant to a statutory license under section 

119(a)(2)(A) or (B) of title 17, United States Code, with respect 

to persons who reside in unserved households, under 

119(a)(4)(A), or under section 119(a)(12), of such title. 

(f) ENFORCEMENT.— 

(1) ORDERS AND DAMAGES.—Upon complaint, the Commission 

shall issue a cease and desist order to any satellite carrier 

found to have violated this section in carrying any television 

broadcast station. Such order may, if a complaining station requests damages— 

(A) provide for the award of damages to a complaining 

station that establishes that the violation was committed 

in bad faith, in an amount up to $ 50 per subscriber, per 

station, per day of the violation; and 


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(B) provide for the award of damages to a prevailing satellite carrier if the Commission determines that the complaint was frivolous, in an amount up to $ 50 per subscriber alleged to be in violation, per station alleged, per 

day of the alleged violation. 

(2) COMMISSION DECISION.—The Commission shall issue a 

final determination resolving a complaint brought under this 

subsection not later than 180 days after the submission of a 

complaint under this subsection. The Commission may hear 

witnesses if it clearly appears, based on written filings by the 

parties, that there is a genuine dispute about material facts. 

Except as provided in the preceding sentence, the Commission 

may issue a final ruling based on written filings by the parties. 

(3) REMEDIES IN ADDITION. THE REMEDIES UNDER THIS SUB- SECTION ARE IN ADDITION TO ANY REMEDIES AVAILABLE UNDER

TITLE 17, UNITED STATES CODE. (4) NO EFFECT ON COPYRIGHT PROCEEDINGS.—Any determination, action, or failure to act of the Commission under this subsection shall have no effect on any proceeding under title 17, 

United States Code, and shall not be introduced in evidence in 

any proceeding under that title. In no instance shall a Commission enforcement proceeding under this subsection be required as a predicate to the pursuit of a remedy available 

under title 17. 

(g) NOTICES CONCERNING SIGNIFICANTLY VIEWED STATIONS.—Each 

satellite carrier that proposes to commence the retransmission of a 

station pursuant to this section in any local market shall— 

(1) not less than 60 days before commencing such retransmission, provide a written notice to any television broadcast 

station in such local market of such proposal; and 

(2) designate on such carrier’s website all significantly 

viewed signals carried pursuant to section 340 and the communities in which the signals are carried. 

(h) ADDITIONAL CORRESPONDING CHANGES IN REGULATIONS.— 

(1) COMMUNITY-BY-COMMUNITY ELECTIONS.—The Commission 

shall, no later than October 30, 2005, revise section 76.66 of its 

regulations (47 CFR 76.66), concerning satellite broadcast signal carriage, to permit (at the next cycle of elections under section 325) a television broadcast station that is located in a local 

market into which a satellite carrier retransmits a television 

broadcast station pursuant to section 338, to elect, with respect 

to such satellite carrier, between retransmission consent pursuant to such section 325 and mandatory carriage pursuant to 

section 338 separately for each county within such station’s 

local market, if— 

(A) the satellite carrier has notified the station, pursuant to paragraph (3), that it intends to carry another affiliate of the same network pursuant to this section during 

the relevant election period in the station’s local market; 

or 

(B) on the date notification under paragraph (3) was 

due, the satellite carrier was retransmitting into the station’s local market pursuant to this section an affiliate of 

the same television network. 


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(2) UNIFIED NEGOTIATIONS.—In revising its regulations as required by paragraph (1), the Commission shall provide that 

any such station shall conduct a unified negotiation for the entire portion of its local market for which retransmission consent is elected. 

(3) ADDITIONAL PROVISIONS.—The Commission shall, no later 

than October 30, 2005, revise its regulations to provide the following: 

(A) NOTIFICATIONS BY SATELLITE CARRIER.—A satellite 

carrier’s retransmission of television broadcast stations 

pursuant to this section shall be subject to the following 

limitations: 

(i) In any local market in which the satellite carrier 

provides service pursuant to section 338 on the date of 

enactment of the Satellite Home Viewer Extension 

and Reauthorization Act of 2004, the carrier may notify a television broadcast station in that market, at 

least 60 days prior to any date on which the station 

must thereafter make an election under section 76.66 

of the Commission’s regulations (47 CFR 76.66), of— 

(I) each affiliate of the same television network 

that the carrier reserves the right to retransmit 

into that station’s local market pursuant to this 

section during the next election cycle under such 

section of such regulations; and 

(II) for each such affiliate, the communities into 

which the satellite carrier reserves the right to 

make such retransmissions. 

(ii) In any local market in which the satellite carrier 

commences service pursuant to section 338 after the 

date of enactment of the Satellite Home Viewer Extension and Reauthorization Act of 2004, the carrier may 

notify a station in that market, at least 60 days prior 

to the introduction of such service in that market, and 

thereafter at least 60 days prior to any date on which 

the station must thereafter make an election under 

section 76.66 of the Commission’s regulations (47 CFR 

76.66), of each affiliate of the same television network 

that the carrier reserves the right to retransmit into 

that station’s local market during the next election 

cycle under such section of such regulations. 

(iii) Beginning with the 2005 election cycle, a satellite carrier may only retransmit pursuant to this section during the pertinent election period a signal— 

(I) as to which it has provided the notifications 

set forth in clauses (i) and (ii); or 

(II) that it was retransmitting into the local 

market under this section as of the date such notifications were due. 

(B) HARMONIZATION OF ELECTIONS AND RETRANSMISSION

CONSENT AGREEMENTS.—If a satellite carrier notifies a television broadcast station that it reserves the right to retransmit an affiliate of the same television network during 

the next election cycle pursuant to this section, the station 


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may choose between retransmission consent and mandatory carriage for any portion of the 3-year election cycle 

that is not covered by an existing retransmission consent 

agreement. 

(i) DEFINITIONS.—As used in this section: 

(1) LOCAL MARKET; SATELLITE CARRIER; SUBSCRIBER; TELE- VISION BROADCAST STATION.—The terms ‘‘local market’’, ‘‘satellite carrier’’, ‘‘subscriber’’, and ‘‘television broadcast station’’ 

have the meanings given such terms in section 338(k). 

(2) NETWORK STATION; TELEVISION NETWORK.—The terms 

‘‘network station’’ and ‘‘television network’’ have the meanings 

given such terms in section 339(d). 

(3) COMMUNITY.—The term ‘‘community’’ means— 

(A) a county or a cable community, as determined under 

the rules, regulations, and authorizations of the Commission applicable to determining with respect to a cable system whether signals are significantly viewed; or 

(B) a satellite community, as determined under such 

rules, regulations, and authorizations (or revisions thereof) 

as the Commission may prescribe in implementing the requirements of this section. 

ø(4) BANDWIDTH.—The terms ‘‘equivalent bandwidth’’ and 

‘‘entire bandwidth’’ shall be defined by the Commission by regulation, except that this paragraph shall not be construed— 

ø(A) to prevent a satellite operator from using compression technology; 

ø(B) to require a satellite operator to use the identical 

bandwidth or bit rate as the local or distant broadcaster 

whose signal it is retransmitting; 

ø(C) to require a satellite operator to use the identical 

bandwidth or bit rate for a local network station as it does 

for a distant network station; 

ø(D) to affect a satellite operator’s obligations under subsection (a)(1); or 

ø(E) to affect the definitions of ‘‘program related’’ and 

‘‘primary video’’. 

Æ 


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