[Federal Register Volume 83, Number 155 (Friday, August 10, 2018)]
[Proposed Rules]
[Pages 39648-39656]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-17097]


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FEDERAL COMMUNICATIONS COMMISSION

47 CFR Part 11

[PS Docket Nos. 15-94, 15-91; FCC 18-94]


Emergency Alert System; Wireless Emergency Alerts

AGENCY: Federal Communications Commission.

ACTION: Further motice of proposed rulemaking.

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SUMMARY: In this document, the Federal Communications Commission (FCC 
or Commission) seeks comment on whether additional alert reporting 
measures are needed; whether State EAS Plans should be required to 
include procedures to help prevent false alerts, or to swiftly mitigate 
their consequences should a false alert occur; and on factors that 
might delay or prevent delivery of Wireless Emergency Alerts (WEA) to 
members of the public and measures the Commission could take to address 
inconsistent WEA delivery.

DATES: Comments are due on or before September 10, 2018 and reply 
comments are due on or before October 9, 2018.

ADDRESSES: You may submit comments, identified by PS Docket Nos. 15-94, 
15-91 by any of the following methods:
    <bullet> Federal eRulemaking Portal: http://www.regulations.gov. 
Follow the instructions for submitting comments.
    <bullet> Federal Communications Commission's Website: http://www.fcc.gov/ecfs/. Follow the instructions for submitting comments.

[[Page 39649]]

    <bullet> Mail: Filings can be sent by hand or messenger delivery, 
by commercial overnight courier, or by first-class or overnight U.S. 
Postal Service mail (although the Commission continues to experience 
delays in receiving U.S. Postal Service mail). All filings must be 
addressed to the Commission's Secretary, Office of the Secretary, 
Federal Communications Commission.
    <bullet> People with Disabilities: Contact the Commission to 
request reasonable accommodations (accessible format documents, sign 
language interpreters, CART, etc.) by email: <a href="/cdn-cgi/l/email-protection#b3f5f0f0868387f3d5d0d09dd4dcc5"><span class="__cf_email__" data-cfemail="cb8d8888fefbff8bada8a8e5aca4bd">[email protected]</span></a> or phone: 
202-418-0530 or TTY: 202-418-0432.
    For detailed instructions for submitting comments and additional 
information on the rulemaking process, see the SUPPLEMENTARY 
INFORMATION section of this document.

FOR FURTHER INFORMATION CONTACT: Gregory Cooke, Deputy Chief, Policy 
and Licensing Division, Public Safety and Homeland Security Bureau, at 
(202) 418-7452, or by email at <a href="/cdn-cgi/l/email-protection#1a5d687f7d75686334597575717f5a7c7979347d756c"><span class="__cf_email__" data-cfemail="175065727078656e395478787c725771747439707861">[email protected]</span></a>.

SUPPLEMENTARY INFORMATION: This is a summary of the Commission's 
Further Notice of Proposed Rulemaking (FNPRM) in PS Docket Nos. 15-94 
and 15-91, FCC 18-94, adopted on July 12, 2018, and released on July 
13, 2018. The full text of this document is available for inspection 
and copying during normal business hours in the FCC Reference Center 
(Room CY-A257), 445 12th Street SW, Washington, DC 20554. The full text 
may also be downloaded at: www.fcc.gov.

Synopsis of the FNPRM

    1. In the FNPRM, to further enhance the efficacy and utility of the 
EAS and WEA, the Commission seeks comment on whether to adopt false 
alert reporting measures; proposals to require that State EAS Plans 
include procedures to help prevent and mitigate the consequences of 
false alerts; factors that might delay or prevent delivery of WEA 
alerts to the public; and measures the Commission could take to address 
inconsistent WEA delivery.

I. Background

    2. The EAS is a national public warning system through which EAS 
Participants deliver alerts to the public to warn them of impending 
emergencies. The primary purpose of the EAS is to provide the President 
of the United States (President) with ``the capability to provide 
immediate communications and information to the general public at the 
National, State and Local Area levels during periods of national 
emergency.'' State and local authorities also use this common 
distribution architecture of the EAS to distribute voluntary weather-
related and other emergency alerts. Further, testing of the system at 
the state and local level increases the proficiency of local emergency 
personnel, provides insight into the system's functionality and 
effectiveness at the federal level, and enhances the public's ability 
to respond to EAS alerts when they occur. The integrity of the EAS is 
maintained through the Commission's EAS rules, which set forth the 
parameters and frequency with which EAS Participants must test the 
system, prohibit the unauthorized use of the EAS Attention Signal and 
codes, and require EAS Participants to keep their EAS equipment in good 
working order.

II. Discussion

A. False Alert Reporting

    3. In the FNPRM, the Commission seeks further comment on whether 
there is a need for additional false alert and lockout reporting beyond 
the reporting rule adopted in the companion Report and Order in PS 
Docket Nos. 15-94 and 15-91, FCC 18-94, adopted on July 12, 2018, and 
released on July 13, 2018. Should there be a dedicated mechanism by 
which EAS Participants, Participating CMS Providers, other stakeholders 
and the public can report false alerts? What form should such a 
reporting mechanism take? Should it be integrated into the Alert 
Reporting System (ARS)? Should it be mandatory for EAS Participants and 
Participating CMS Providers? If such reporting were mandatory, what 
time frame, if any, should be established for the false alert report to 
be made (e.g., should such reports be required within five minutes of 
discovery)?
    4. Alternatively, the Commission seeks comment on whether, in lieu 
of adopting a dedicated reporting mechanism for false EAS or WEA alerts 
or EAS lockouts, it should instead implement a process by which EAS 
Participants, Participating CMS Providers, emergency managers, and 
members of the public could inform the Commission about false alerts 
through currently available means other than that adopted in the 
companion Report and Order (also in PS Docket Nos. 15-94 and 15-91, FCC 
18-94, adopted on July 12, 2018, and released on July 13, 2018). 
Regardless of what type of system might be used to facilitate false 
alert reporting, could and should the Commission incorporate reporting 
parameters to minimize reports concerning the same EAS or WEA false 
alert, or are there benefits from receiving different descriptions, 
times, locations and reporting identities covering the same false 
alert?
    5. The Commission seeks comment on the costs and benefits of this 
proposal. What burdens, if any, would a dedicated false alert reporting 
system impose on anyone who might want to make such a report? Would 
incorporating some kind of feedback mechanism into the false alert 
reporting system on false alerts already reported be helpful to reduce 
burdens on other entities that might otherwise make identical reports 
covering the same false alert? What quantifiable benefits might be 
expected to result from implementation of such reporting? To the extent 
offering a standard way to report on false alerts could speed 
corrective action, would the benefits of such an outcome outweigh 
whatever burdens might be associated with making the false alert 
report?

B. State EAS Plan Revisions

    6. Section 11.21 of the Commission's EAS rules specifies that State 
EAS Plans include ``procedures for State emergency management and other 
State officials, the NWS, and EAS Participants' personnel to transmit 
emergency information to the public during a State emergency using the 
EAS.'' Section 11.21, however, does not specify that these procedures 
include those to prevent and correct false alerts.
    7. In the Public Safety & Homeland Security Bureau's (Bureau) 
report released in April 2018 concerning the false ballistic missile 
alert issued in Hawaii on January 13, 2018 (Report on Hawaii False 
Alert), the Bureau made several recommendations to state, local, 
Tribal, and territorial emergency alert originators and managers to 
help prevent the recurrence of a false alert and to improve 
preparedness for responding to any false alert that may occur. To the 
extent the Commission can aid states and localities in effecting 
mechanisms to prevent and correct false alerts over EAS and WEA, and 
promote regular communication with the SECCs to further that end, such 
endeavor fulfills the Commission's statutory goal promoting of safety 
of life and property through the regulation of wire and radio 
communications networks.
    8. In light of the foregoing, the Commission proposes ways it can 
aid states and localities in implementing the Bureau's recommendations 
in the Report on Hawaii False Alert. In particular, the Commission 
proposes to revise Section 11.21 to require State EAS Plans to include 
procedures to help prevent false alerts, or to swiftly

[[Page 39650]]

mitigate their consequences should a false alert occur. Such 
information could be supplied by state and local emergency management 
authorities, at their discretion, to SECCs for inclusion in the State 
EAS Plans they administer, and would then be available to other 
emergency management authorities within the state for quick and easy 
reference. The Commission further proposes that the State EAS Plan 
template recently adopted by the Commission should be revised to 
require SECCs to identify their states' procedures for the reporting 
and mitigation of false alerts, (or, where the state and local 
emergency management authorities either do not have or will not share 
such information with the SECC, to specifically note that in the EAS 
Plan). With regard to this proposal, should any listing of such 
procedures contain any or all of the following:
    <bullet> The standard operating procedures that state and local 
alert initiators follow to prepare for ``live code'' and other public 
facing EAS tests and alerts.
    <bullet> The standard operating procedures that state and local 
alert initiators have developed for the reporting and correction of 
false alerts, including how the alert initiator would issue any 
corrections to false alerts over the same systems used to issue the 
false alert, including the EAS and WEA.
    <bullet> The procedures agreed upon by the SECC and state emergency 
management agency or other State-authorized alert initiator by which 
they plan to consult with each other on a regular basis--at least 
annually--to ensure that EAS procedures, including initiation and 
cancellation of actual alerts and tests, are mutually understood, 
agreed upon, and documented in the State EAS Plan.
    <bullet> The procedures ensuring redundant and effective lines of 
communication between the SECC and key stakeholders during emergencies.
    <bullet> Other information that could prevent or mitigate the 
issuance of false alerts.
    Would inclusion of this information in State EAS Plans be 
beneficial to alert originators and state and local emergency 
management authorities in preventing and correcting false alerts, and 
conducting tests of the EAS? Would this action spur greater 
communication between alert originators and state and local emergency 
management authorities and their respective SECCs? Would its inclusion 
provide a single source of information to which state, local, Tribal 
and territorial emergency alert originators and managers might refer if 
the need arose? Alternatively, are there reasons why such information 
should not be included in State EAS Plans? The Commission seeks comment 
on these proposals. As to the development of the false alert procedures 
themselves, the FNPRM asks which agency or agencies are best situated 
to require their creation or otherwise have oversight over these 
processes. Is the FCC best positioned to take action with respect to 
helping prevent the transmission of false alerts, or is this better 
left to other agencies, such as DHS/FEMA or local alert originators?
    9. The Commission seeks comment on the costs and benefits of this 
proposal. What costs or burdens, if any, would fall on SECCs or state, 
local, Tribal and territorial emergency alert originators and managers, 
by the inclusion of the state and local alerting procedures in State 
EAS Plans, as described above? What quantifiable benefits might be 
expected to result from such action? To the extent including state and 
local alerting procedures in State EAS Plans might prevent false alerts 
from occurring, and speed corrective action with respect to any false 
alerts that might issue, would the potential benefits of such outcomes, 
such as minimizing public confusion and disruptions caused by false 
alerts, outweigh whatever burdens might be associated with that 
process? Would the inclusion of this information in State EAS Plans 
more generally enhance the efficacy of state and local alerting?

C. Delivery of WEA to Subscriber Handsets

    10. In the Report on Hawaii False Alert, the Bureau indicated that 
some wireless subscribers did not receive either the false alert or the 
subsequent correction over WEA. Further, news reports in connection 
with the recent National Capital Region end-to-end WEA test, the recent 
Vail Colorado test and Ellicott City floods indicate that some 
subscribers did not receive timely WEA tests or alerts. Wireless 
providers have identified possible reasons that members of the public, 
who have not opted out of receipt of WEA alerts on their mobile 
devices, may not receive a particular WEA message, including: (1) 
Whether a mobile device can receive WEA messages; (2) whether the 
mobile device falls within the radio coverage of a cell site 
transmitting a WEA message and is not impacted with adverse radio 
frequency conditions such as interference, building or natural 
obstructions, etc.; (3) whether a handset is being served by a 3G cell 
site during a voice call or data session (in which case a WEA message 
would not be received until the voice or data session is ended); and 
(4) whether the device remains connected to the provider's network. Are 
there other reasons why a WEA may not be received by a member of the 
public? Are WEA alert messages broadcast from all cell sites inside the 
alert's geo-targeted area? What about an instance where the consumer 
inside the geo-targeted area may be served by a tower outside the geo-
targeted area? Will the manner of delivering a WEA message to a mobile 
device within a geo-targeted area change after the Commission's new 
geolocation rules go into effect in November of 2019, and if so, how? 
Is it possible that due to certain network conditions, such as 
congestion, certain cell sites within the alert's geo-target area may 
not transmit a particular alert message? Are there any network 
conditions or resource scheduler-related issues that may cause the 
Participating CMS Provider's network to delay or fail to transmit WEA 
alert messages that it has received from IPAWS? The Commission also 
invites commenters to address what, if any, role that handsets and 
handset manufacturers play in ensuring WEA capable devices can receive 
WEA alerts.
    11. How should WEA performance be measured and reported? The 
Commission seeks comment regarding WEA delivery issues that 
stakeholders have encountered or are aware of, either in connection 
with a live alert or with a regional end-to-end test.
    12. The Commission also seeks comment on how stakeholders could 
report WEA performance. Commenters should discuss the technical 
feasibility, usefulness, and desirability of this option. Are there 
other technical ways to get feedback automatically from a WEA 
recipient? What might the appropriate data points look like? Who should 
receive such data, and how would it be protected? Should the Commission 
develop a testing template for state and local governments that want to 
test the effectiveness of WEA alerts, including how precisely WEA 
alerts geotarget the desired area for various carriers?
    13. The Commission also seeks comment on whether and if so, how, it 
should take measures to address inconsistent WEA delivery. For example, 
should the Commission adopt technical standards (or benchmarks) for WEA 
performance and delivery? What form should these take? Should these be 
focused on internal network performance or mobile device performance, 
or both? Is there any practical way to ameliorate the impact of 
external factors (such as interference, building or natural 
obstructions, etc.) on WEA delivery? Should the Commission adopt rules 
related to WEA performance

[[Page 39651]]

(and if so, what form should those take), or would best practices be 
sufficient? What are the costs and benefits of the various options 
available to address inconsistent WEA delivery?

III. Procedural Matters

A. Ex Parte Rules

    14. The proceeding this FNPRM initiates shall be treated as 
``permit-but-disclose'' proceedings in accordance with the Commission's 
ex parte rules. Persons making ex parte presentations must file a copy 
of any written presentation or a memorandum summarizing any oral 
presentation within two business days after the presentation (unless a 
different deadline applicable to the Sunshine period applies). Persons 
making oral ex parte presentations are reminded that memoranda 
summarizing the presentation must: (1) List all persons attending or 
otherwise participating in the meeting at which the ex parte 
presentation was made; and (2) summarize all data presented and 
arguments made during the presentation. If the presentation consisted 
in whole or in part of the presentation of data or arguments already 
reflected in the presenter's written comments, memoranda, or other 
filings in the proceeding, the presenter may provide citations to such 
data or arguments in his or her prior comments, memoranda, or other 
filings (specifying the relevant page and/or paragraph numbers where 
such data or arguments can be found) in lieu of summarizing them in the 
memorandum. Documents shown or given to Commission staff during ex 
parte meetings are deemed to be written ex parte presentations and must 
be filed consistent with rule 1.1206(b). In proceedings governed by 
rule 1.49(f) or for which the Commission has made available a method of 
electronic filing, written ex parte presentations and memoranda 
summarizing oral ex parte presentations, and all attachments thereto, 
must be filed through the electronic comment filing system available 
for that proceeding, and must be filed in their native format (e.g., 
.doc, .xml, .ppt, searchable .pdf). Participants in this proceeding 
should familiarize themselves with the Commission's ex parte rules.

B. Comment Filing Procedures

    15. Pursuant to Sections 1.415 and 1.419 of the Commission's rules, 
47 CFR 1.415, 1.419, interested parties may file comments and reply 
comments on or before the dates indicated on the first page of this 
document. Comments may be filed using the Commission's Electronic 
Comment Filing System (ECFS). See Electronic Filing of Documents in 
Rulemaking Proceedings, 63 FR 24121 (1998).
    [ssquf] Electronic Filers: Comments may be filed electronically 
using the internet by accessing the ECFS: http://fjallfoss.fcc.gov/ecfs2/.
    [ssquf] Paper Filers: Parties that choose to file by paper must 
file an original and one copy of each filing. If more than one docket 
or rulemaking number appears in the caption of this proceeding, filers 
must submit two additional copies for each additional docket or 
rulemaking number.
    Filings can be sent by hand or messenger delivery, by commercial 
overnight courier, or by first-class or overnight U.S. Postal Service 
mail. All filings must be addressed to the Commission's Secretary, 
Office of the Secretary, Federal Communications Commission.
    [ssquf] All hand-delivered or messenger-delivered paper filings for 
the Commission's Secretary must be delivered to FCC Headquarters at 445 
12th St. SW, Room TW-A325, Washington, DC 20554. The filing hours are 
8:00 a.m. to 7:00 p.m. All hand deliveries must be held together with 
rubber bands or fasteners. Any envelopes and boxes must be disposed of 
before entering the building.
    [ssquf] Commercial overnight mail (other than U.S. Postal Service 
Express Mail and Priority Mail) must be sent to 9050 Junction Drive, 
Annapolis Junction, MD 20701.
    [ssquf] U.S. Postal Service first-class, Express, and Priority mail 
must be addressed to 445 12th Street SW, Washington, DC 20554.

C. Accessible Formats

    16. To request materials in accessible formats for people with 
disabilities (Braille, large print, electronic files, audio format), 
send an email to <a href="/cdn-cgi/l/email-protection" class="__cf_email__" data-cfemail="b0d6d3d3858084f0d6d3d39ed7dfc6">[email protected]</a> or call the Consumer & Governmental 
Affairs Bureau at 202-418-0530 (voice), 202-418-0432 (tty).

D. Initial Regulatory Flexibility Analysis

    17. As required by the Regulatory Flexibility Act of 1980, as 
amended (RFA), the Commission has prepared this Initial Regulatory 
Flexibility Analysis (IRFA) of the possible significant economic impact 
on a substantial number of small entities by the policies and rules 
proposed in the Further Notice of Proposed Rulemaking (FNPRM). Written 
public comments are requested on this IRFA. Comments must be identified 
as responses to the IRFA and must be filed by the deadlines for 
comments on the FNPRM. The Commission will send a copy of the FNPRM, 
including this IRFA, to the Chief Counsel for Advocacy of the Small 
Business Administration (SBA). In addition, the FNPRM and IRFA (or 
summaries thereof) will be published in the Federal Register.
1. Need for, and Objectives of, the Proposed Rules
    18. In the FNPRM, the Commission proposes actions to prevent and 
correct false alerts and to otherwise improve the effectiveness of the 
EAS and WEA. First, the Commission seeks comment on whether to adopt a 
dedicated reporting system, or use currently available means, such as 
the Commission's Operations Center or Public Safety Support Center, so 
that EAS Participants, Participating CMS Providers, emergency managers, 
and members of the public can inform the Commission about false alerts. 
Second, the Commission proposes to revise its rules governing State EAS 
Plans to require the inclusion of standard operating procedures 
implemented within states to prevent and correct false alerts, where 
such information has been provided by state and local emergency 
management authorities. Finally, the Commission seeks comment on 
whether to adopt technical benchmarks or best practices to help ensure 
effective delivery of WEA alerts to the public. These proposed and 
contemplated actions and rule revisions potentially would enhance the 
Commission's awareness of false alerts issued over the EAS and WEA, and 
provide state, local, Tribal and territorial emergency alert 
originators and managers with a common source to find standard 
operating procedure applicable within their jurisdictions to conduct 
EAS tests and correct false alerts. To the extent these proposed and 
contemplated actions may prevent the transmittal of false alerts and 
hasten corrective action of any false alerts issued, they would benefit 
the public by minimizing confusion and disruption caused by false 
alerts.
2. Legal Basis
    19. The proposed action is taken pursuant to Sections 1, 2, 4(i), 
4(o), 301, 303(r), 303(v), 307, 309, 335, 403, 624(g),706, and 715 of 
the Communications Act of 1934, as amended, 47 U.S.C. 151, 152, 154(i), 
154(o), 301, 303(r), 303(v), 307, 309, 335, 403, 544(g), 606, and 615, 
as well as by sections 602(a), (b), (c), (f), 603, 604 and 606 of the 
WARN Act, 47 U.S.C. 1202(a), (b), (c), (f), 1203, 1204 and 1206.

[[Page 39652]]

3. Description and Estimate of the Number of Small Entities to Which 
Rules Will Apply
    20. The RFA directs agencies to provide a description of and, where 
feasible, an estimate of, the number of small entities that may be 
affected by the proposed actions, if adopted. The RFA generally defines 
the term ``small entity'' as having the same meaning as the terms 
``small business,'' ``small organization,'' and ``small governmental 
jurisdiction.'' In addition, the term ``small business'' has the same 
meaning as the term ``small business concern'' under the Small Business 
Act. A ``small business concern'' is one which: (1) Is independently 
owned and operated; (2) is not dominant in its field of operation; and 
(3) satisfies any additional criteria established by the SBA.
    21. Small Businesses, Small Organizations, and Small Governmental 
Jurisdictions. Our action may, over time, affect small entities that 
are not easily categorized at present. The Commission therefore 
describes here, at the outset, three broad groups of small entities 
that could be directly affected herein. First, while there are industry 
specific size standards for small businesses that are used in the 
regulatory flexibility analysis, according to data from the SBA's 
Office of Advocacy, in general a small business is an independent 
business having fewer than 500 employees. These types of small 
businesses represent 99.9% of all businesses in the United States which 
translates to 28.8 million businesses.
    22. Next, the type of small entity described as a ``small 
organization'' is generally ``any not-for-profit enterprise which is 
independently owned and operated and is not dominant in its field.'' 
Nationwide, as of August 2016, there were approximately 356,494 small 
organizations based on registration and tax data filed by nonprofits 
with the Internal Revenue Service (IRS).
    23. Finally, the small entity described as a ``small governmental 
jurisdiction'' is defined generally as ``governments of cities, 
counties, towns, townships, villages, school districts, or special 
districts, with a population of less than fifty thousand.'' U.S. Census 
Bureau data from the 2012 Census of Governments indicate that there 
were 90,056 local governmental jurisdictions consisting of general 
purpose governments and special purpose governments in the United 
States. Of this number there were 37,132 General purpose governments 
(county, municipal and town or township) with populations of less than 
50,000 and 12,184 Special purpose governments (independent school 
districts and special districts) with populations of less than 50,000. 
The 2012 U.S. Census Bureau data for most types of governments in the 
local government category show that the majority of these governments 
have populations of less than 50,000. Based on this data the Commission 
estimates that at least 49,316 local government jurisdictions fall in 
the category of ``small governmental jurisdictions.''
    24. Radio Stations. This Economic Census category comprises 
establishments primarily engaged in broadcasting aural programs by 
radio to the public. Programming may originate in their own studio, 
from an affiliated network, or from external sources.'' The SBA has 
established a small business size standard for this category as firms 
having $38.5 million or less in annual receipts. Economic Census data 
for 2012 show that 2,849 radio station firms operated during that year. 
Of that number, 2,806 firms operated with annual receipts of less than 
$25 million per year, 17 with annual receipts between $25 million and 
$49,999,999 million and 26 with annual receipts of $50 million or more. 
Therefore, based on the SBA's size standard the majority of such 
entities are small entities.
    25. According to Commission staff review of the BIA/Kelsey, LLC's 
Media Access Pro Radio Database as of January 2018, about 11,261 (or 
about 99.9 percent) of 11,383 commercial radio stations had revenues of 
$38.5 million or less and thus qualify as small entities under the SBA 
definition. The Commission has estimated the number of licensed 
commercial AM radio stations to be 4,639 stations and the number of 
commercial FM radio stations to be 6,744, for a total number of 11,383. 
The Commission notes that the Commission has also estimated the number 
of licensed noncommercial (NCE) FM radio stations to be 4,120. 
Nevertheless, the Commission does not compile and otherwise does not 
have access to information on the revenue of NCE stations that would 
permit it to determine how many such stations would qualify as small 
entities.
    26. The Commission also notes, that in assessing whether a business 
entity qualifies as small under the above definition, business control 
affiliations must be included. The Commission's estimate therefore 
likely overstates the number of small entities that might be affected 
by its action, because the revenue figure on which it is based does not 
include or aggregate revenues from affiliated companies. In addition, 
to be determined a ``small business,'' an entity may not be dominant in 
its field of operation. The Commission further notes that it is 
difficult at times to assess these criteria in the context of media 
entities, and the estimate of small businesses to which these rules may 
apply does not exclude any radio station from the definition of a small 
business on these basis, thus our estimate of small businesses may 
therefore be over-inclusive. Also, as noted above, an additional 
element of the definition of ``small business'' is that the entity must 
be independently owned and operated. The Commission notes that it is 
difficult at times to assess these criteria in the context of media 
entities and the estimates of small businesses to which they apply may 
be over-inclusive to this extent.
    27. FM Translator Stations and Low-Power FM Stations. FM 
translators and Low Power FM Stations are classified in the category of 
Radio Stations and are assigned the same NAICs Code as licensees of 
radio stations. This U.S. industry, Radio Stations, comprises 
establishments primarily engaged in broadcasting aural programs by 
radio to the public. Programming may originate in their own studio, 
from an affiliated network, or from external sources. The SBA has 
established a small business size standard which consists of all radio 
stations whose annual receipts are $38.5 million dollars or less. U.S. 
Census Bureau data for 2012 indicate that 2,849 radio station firms 
operated during that year. Of that number, 2,806 operated with annual 
receipts of less than $25 million per year, 17 with annual receipts 
between $25 million and $49,999,999 million and 26 with annual receipts 
of $50 million or more. Therefore, based on the SBA's size standard the 
Commission concludes that the majority of FM Translator Stations and 
Low Power FM Stations are small.
    28. Television Broadcasting. This Economic Census category 
``comprises establishments primarily engaged in broadcasting images 
together with sound.'' These establishments operate television 
broadcast studios and facilities for the programming and transmission 
of programs to the public. These establishments also produce or 
transmit visual programming to affiliated broadcast television 
stations, which in turn broadcast the programs to the public on a 
predetermined schedule. Programming may originate in their own studio, 
from an affiliated network, or from external sources. The SBA has 
created the following small business size standard for such businesses: 
Those having $38.5 million or less in annual receipts. The 2012 
Economic Census reports that 751 firms in this category

[[Page 39653]]

operated in that year. Of that number, 656 had annual receipts of 
$25,000,000 or less, 25 had annual receipts between $25,000,000 and 
$49,999,999 and 70 had annual receipts of $50,000,000 or more. Based on 
this data the Commission therefore estimates that the majority of 
commercial television broadcasters are small entities under the 
applicable SBA size standard.
    29. The Commission has estimated the number of licensed commercial 
television stations to be 1,378. Of this total, 1,258 stations (or 
about 91 percent) had revenues of $38.5 million or less, according to 
Commission staff review of the BIA Kelsey Inc. Media Access Pro 
Television Database (BIA) on November 16, 2017, and therefore these 
licensees qualify as small entities under the SBA definition. In 
addition, the Commission has estimated the number of licensed 
noncommercial educational television stations to be 395. 
Notwithstanding, the Commission does not compile and otherwise does not 
have access to information on the revenue of NCE stations that would 
permit it to determine how many such stations would qualify as small 
entities. There are also 2,367 low power television stations, including 
Class A stations (LPTV) and 3,750 TV translator stations. Given the 
nature of these services, the Commission will presume that all of these 
entities qualify as small entities under the above SBA small business 
size standard.
    30. The Commission notes, however, that in assessing whether a 
business concern qualifies as ``small'' under the above definition, 
business (control) affiliations must be included. Our estimate, 
therefore likely overstates the number of small entities that might be 
affected by our action, because the revenue figure on which it is based 
does not include or aggregate revenues from affiliated companies. In 
addition, another element of the definition of ``small business'' 
requires that an entity not be dominant in its field of operation. The 
Commission is unable at this time to define or quantify the criteria 
that would establish whether a specific television broadcast station is 
dominant in its field of operation. Accordingly, the estimate of small 
businesses to which rules may apply does not exclude any television 
station from the definition of a small business on this basis and is 
therefore possibly over-inclusive. Also, as noted above, an additional 
element of the definition of ``small business'' is that the entity must 
be independently owned and operated. The Commission notes that it is 
difficult at times to assess these criteria in the context of media 
entities and its estimates of small businesses to which they apply may 
be over-inclusive to this extent.
    31. Cable and Other Subscription Programming. This industry 
comprises establishments primarily engaged in operating studios and 
facilities for the broadcasting of programs on a subscription or fee 
basis. The broadcast programming is typically narrowcast in nature 
(e.g., limited format, such as news, sports, education, or youth-
oriented). These establishments produce programming in their own 
facilities or acquire programming from external sources. The 
programming material is usually delivered to a third party, such as 
cable systems or direct-to-home satellite systems, for transmission to 
viewers. The SBA size standard for this industry establishes as small, 
any company in this category which receives annual receipts of $38.5 
million or less. According to 2012 U.S. Census Bureau data, 367 firms 
operated for the entire year. Of that number, 319 operated with annual 
receipts of less than $25 million a year and 48 firms operated with 
annual receipts of $25 million or more. Based on this data, the 
Commission estimates that the majority of firms operating in this 
industry are small.
    32. Cable System Operators (Rate Regulation Standard). The 
Commission has developed its own small business size standards for the 
purpose of cable rate regulation. Under the Commission's rules, a 
``small cable company'' is one serving 400,000 or fewer subscribers 
nationwide. Industry data indicate that there are currently 4,600 
active cable systems in the United States. Of this total, all but nine 
cable operators nationwide are small under the 400,000-subscriber size 
standard. In addition, under the Commission's rate regulation rules, a 
``small system'' is a cable system serving 15,000 or fewer subscribers. 
Current Commission records show 4,600 cable systems nationwide. Of this 
total, 3,900 cable systems have fewer than 15,000 subscribers, and 700 
systems have 15,000 or more subscribers, based on the same records. 
Thus, under this standard as well, the Commission estimates that most 
cable systems are small entities.
    33. Cable System Operators (Telecom Act Standard). The 
Communications Act of 1934, as amended, also contains a size standard 
for small cable system operators, which is ``a cable operator that, 
directly or through an affiliate, serves in the aggregate fewer than 
one percent of all subscribers in the United States and is not 
affiliated with any entity or entities whose gross annual revenues in 
the aggregate exceed $250,000,000.'' There are approximately 52,403,705 
cable video subscribers in the United States today. Accordingly, an 
operator serving fewer than 524,037 subscribers shall be deemed a small 
operator if its annual revenues, when combined with the total annual 
revenues of all its affiliates, do not exceed $250 million in the 
aggregate. Based on available data, the Commission finds that all but 
nine incumbent cable operators are small entities under this size 
standard. The Commission notes that the Commission neither requests nor 
collects information on whether cable system operators are affiliated 
with entities whose gross annual revenues exceed $250 million. Although 
it seems certain that some of these cable system operators are 
affiliated with entities whose gross annual revenues exceed $250 
million, the Commission is unable at this time to estimate with greater 
precision the number of cable system operators that would qualify as 
small cable operators under the definition in the Communications Act.
    34. Satellite Telecommunications. This category comprises firms 
``primarily engaged in providing telecommunications services to other 
establishments in the telecommunications and broadcasting industries by 
forwarding and receiving communications signals via a system of 
satellites or reselling satellite telecommunications.'' Satellite 
telecommunications service providers include satellite and earth 
station operators. The category has a small business size standard of 
$32.5 million or less in average annual receipts, under SBA rules. For 
this category, U.S. Census Bureau data for 2012 show that there were a 
total of 333 firms that operated for the entire year. Of this total, 
299 firms had annual receipts of less than $25 million. Consequently, 
the Commission estimates that the majority of satellite 
telecommunications providers are small entities.
    35. All Other Telecommunications. The ``All Other 
Telecommunications'' category is comprised of establishments that are 
primarily engaged in providing specialized telecommunications services, 
such as satellite tracking, communications telemetry, and radar station 
operation. This industry also includes establishments primarily engaged 
in providing satellite terminal stations and associated facilities 
connected with one or more terrestrial systems and capable of 
transmitting telecommunications to, and receiving telecommunications 
from, satellite systems. Establishments providing internet services or 
voice over internet

[[Page 39654]]

protocol (VoIP) services via client-supplied telecommunications 
connections are also included in this industry. The SBA has developed a 
small business size standard for ``All Other Telecommunications,'' 
which consists of all such firms with gross annual receipts of $32.5 
million or less. For this category, U.S. Census data for 2012 show that 
there were 1,442 firms that operated for the entire year. Of these 
firms, a total of 1,400 had gross annual receipts of less than $25 
million. Thus, the Commission estimates that the majority of ``All 
Other Telecommunications'' firms potentially affected by our action can 
be considered small.
    36. Broadband Radio Service and Educational Broadband Service. 
Broadband Radio Service systems, previously referred to as Multipoint 
Distribution Service (MDS) and Multichannel Multipoint Distribution 
Service (MMDS) systems, and ``wireless cable,'' transmit video 
programming to subscribers and provide two-way high speed data 
operations using the microwave frequencies of the Broadband Radio 
Service (BRS) and Educational Broadband Service (EBS) (previously 
referred to as the Instructional Television Fixed Service (ITFS)).
    37. BRS--In connection with the 1996 BRS auction, the Commission 
established a small business size standard as an entity that had annual 
average gross revenues of no more than $40 million in the previous 
three calendar years. The BRS auctions resulted in 67 successful 
bidders obtaining licensing opportunities for 493 Basic Trading Areas 
(BTAs). Of the 67 auction winners, 61 met the definition of a small 
business. BRS also includes licensees of stations authorized prior to 
the auction. At this time, the Commission estimates that of the 61 
small business BRS auction winners, 48 remain small business licensees. 
In addition to the 48 small businesses that hold BTA authorizations, 
there are approximately 86 incumbent BRS licensees that are considered 
small entities (18 incumbent BRS licensees do not meet the small 
business size standard). After adding the number of small business 
auction licensees to the number of incumbent licensees not already 
counted, there are currently approximately 133 BRS licensees that are 
defined as small businesses under either the SBA or the Commission's 
rules.
    38. In 2009, the Commission conducted Auction 86, the sale of 78 
licenses in the BRS areas. The Commission offered three levels of 
bidding credits: (i) A bidder with attributed average annual gross 
revenues that exceed $15 million and do not exceed $40 million for the 
preceding three years (small business) received a 15 percent discount 
on its winning bid; (ii) a bidder with attributed average annual gross 
revenues that exceed $3 million and do not exceed $15 million for the 
preceding three years (very small business) received a 25 percent 
discount on its winning bid; and (iii) a bidder with attributed average 
annual gross revenues that do not exceed $3 million for the preceding 
three years (entrepreneur) received a 35 percent discount on its 
winning bid. Auction 86 concluded in 2009 with the sale of 61 licenses. 
Of the ten winning bidders, two bidders that claimed small business 
status won 4 licenses; one bidder that claimed very small business 
status won three licenses; and two bidders that claimed entrepreneur 
status won six licenses.
    39. EBS--Educational Broadband Service has been included within the 
broad economic census category and SBA size standard for Wired 
Telecommunications Carriers since 2007. Wired Telecommunications 
Carriers are comprised of establishments primarily engaged in operating 
and/or providing access to transmission facilities and infrastructure 
that they own and/or lease for the transmission of voice, data, text, 
sound, and video using wired telecommunications networks. Transmission 
facilities may be based on a single technology or a combination of 
technologies. The SBA's small business size standard for this category 
is all such firms having 1,500 or fewer employees. U.S. Census Bureau 
data for 2012 show that there were 3,117 firms that operated that year. 
Of this total, 3,083 operated with fewer than 1,000 employees. Thus, 
under this size standard, the majority of firms in this industry can be 
considered small. In addition to Census data, the Commission's 
Universal Licensing System indicates that as of October 2014, there are 
2,206 active EBS licenses. The Commission estimates that of these 2,206 
licenses, the majority are held by non-profit educational institutions 
and school districts, which are by statute defined as small businesses.
    40. Direct Broadcast Satellite (``DBS'') Service. DBS service is a 
nationally distributed subscription service that delivers video and 
audio programming via satellite to a small parabolic ``dish'' antenna 
at the subscriber's location. DBS is included in SBA's economic census 
category ``Wired Telecommunications Carriers.'' The Wired 
Telecommunications Carriers industry comprises establishments primarily 
engaged in operating and/or providing access to transmission facilities 
and infrastructure that they own and/or lease for the transmission of 
voice, data, text, sound, and video using wired telecommunications 
networks. Transmission facilities may be based on a single technology 
or combination of technologies. Establishments in this industry use the 
wired telecommunications network facilities that they operate to 
provide a variety of services, such as wired telephony services, 
including VoIP services, wired (cable) audio and video programming 
distribution; and wired broadband internet services. By exception, 
establishments providing satellite television distribution services 
using facilities and infrastructure that they operate are included in 
this industry. The SBA determines that a wireline business is small if 
it has fewer than 1,500 employees. U.S. Census Bureau data for 2012 
indicates that 3,117 wireline companies were operational during that 
year. Of that number, 3,083 operated with fewer than 1,000 employees. 
Based on that data, the Commission concludes that the majority of 
wireline firms are small under the applicable SBA standard. Currently, 
however, only two entities provide DBS service, which requires a great 
deal of capital for operation: DIRECTV (owned by AT&T) and DISH 
Network. DIRECTV and DISH Network each report annual revenues that are 
in excess of the threshold for a small business. Accordingly, the 
Commission must conclude that internally developed FCC data are 
persuasive that, in general, DBS service is provided only by large 
firms.
4. Description of Projected Reporting, Recordkeeping, and Other 
Compliance Requirements for Small Entities
    41. The Commission expects the actions proposed in the FNPRM, if 
adopted, will impose additional reporting, recordkeeping and/or other 
compliance obligations on small as well as other entities who inform 
the Commission about false alerts, and who submit additional 
information in State EAS Plans about the procedures they are using to 
prevent and correct false alerts. More specifically, the FNPRM seeks 
comment on implementing a mechanized process, or utilizing currently 
available means, such as the Public Safety Support Center reporting 
portal, to enable EAS Participants, Participating CMS Providers, 
emergency managers, and members of the public to inform the Commission 
about false alerts. Additionally, the FNPRM seeks comment on whether 
the Commission

[[Page 39655]]

should adopt additional requirements regarding false alert reporting in 
light of the Hawaii false alert and the recommendations in the Report 
on Hawaii False Alert, which has the potential to impact reporting 
requirements. For example, the Commission seeks comment on whether 
requiring false alert reporting, or specifying the false alert 
information required in a false alert report, would encourage 
implementation of standard operating procedures for reporting and 
responding to false alerts by alert originators.
    42. The FNPRM also proposes to amend its rules governing State EAS 
Plans to allow them to include procedures implemented by alert 
originators within states to prevent and correct false alerts. This 
information includes standard operating procedures that alert 
initiators follow to prepare for ``live code'' and other public facing 
EAS tests and alerts; standard operating procedures that alert 
initiators have developed for the reporting and correction of false 
alerts; procedures agreed upon by the SECC and state emergency 
management agency or other State-authorized alert initiator by which 
they plan to consult with each other on a regular basis; and the 
procedures ensuring redundant and effective lines of communication 
between the SECC and key stakeholders during emergencies.
    43. Finally, the FNPRM seeks comment on whether to adopt technical 
benchmarks or best practices to help ensure effective delivery of WEA 
alerts to the public.
5. Steps Taken To Minimize the Significant Economic Impact on Small 
Entities, and Significant Alternatives Considered
    44. The RFA requires an agency to describe any significant, 
specifically small business alternatives that it has considered in 
reaching its proposed approach, which may include the following four 
alternatives (among others): ``(1) The establishment of differing 
compliance or reporting requirements or timetables that take into 
account the resources available to small entities; (2) the 
clarification, consolidation, or simplification of compliance or 
reporting requirements under the rule for small entities; (3) the use 
of performance, rather than design, standards; and (4) and exemption 
from coverage of the rule, or any part thereof, for small entities.''
    45. The Commission does not expect the actions in the FNPRM to have 
a significant economic impact on small entities. Although the 
Commission seeks further comment on additional requirements regarding 
false alert reporting in light of the Hawaii false alert and the 
recommendations in the Report on Hawaii False Alert, the comments are 
designed to be minimally burdensome to all affected entities, including 
small businesses. A potential burden associated filing a false alert 
report would likely be limited to the time expended to make such 
report--which would entail entering false alert information into an 
online filing portal. Given the relatively rare occurrence of false 
alerts, however, the number of individuals or entities that might 
ultimately use the online filing portal is likely to be extremely 
small.
    46. The proposed changes to the State EAS Plan requirements will 
enable state and local alert originators to include procedures 
implemented by alert originators within states to prevent and correct 
false alerts, standard operating procedures that alert initiators 
follow to prepare for ``live code'' and other public facing EAS tests 
and alerts; standard operating procedures that alert initiators have 
developed for the reporting and correction of false alerts. To the 
extent that there are costs associated with submitting this information 
to SECCs, and to the Commission, these costs are expected to be de 
minimis. With respect to the Commission's request for comment on 
whether and how to address inconsistent WEA delivery, there is a range 
of measures that could ultimately be adopted. The Commission has 
requested comment on the relative costs and benefits of these various 
approaches to ensure it has input from small entities and others to 
minimize the economic impacts of whatever actions it might take. 
Nevertheless, in addition to the steps taken by the Commission 
discussed herein, commenters are invited to propose steps that the 
Commission may take to further minimize any economic impact on small 
entities. When considering proposals made by other parties, commenters 
are also invited to propose alternatives that serve the goals of these 
proposals.
6. Federal Rules That May Duplicate, Overlap, or Conflict With the 
Proposed Rules
    47. None.

E. Paperwork Reduction Analysis

    48. The Commission notes that pursuant to the Small Business 
Paperwork Relief Act of 2002, Public Law 107-198, the Commission 
previously sought specific comment on how the Commission might 
``further reduce the information collection burden for small business 
concerns with fewer than 25 employees.'' In addition, the Commission 
have described impacts that might affect small businesses, which 
includes most businesses with fewer than 25 employees, in the IRFA, 
supra.
    49. The FNPRM in this document contains proposed new and modified 
information collection requirements. The Commission, as part of its 
continuing effort to reduce paperwork burdens, invites the general 
public and the Office of Management and Budget (OMB) to comment on the 
information collection requirements contained in this document, as 
required by the Paperwork Reduction Act of 1995 (PRA). Public and 
agency comments are due 60 days after publication of this document in 
the Federal Register. In addition, pursuant to the Small Business 
Paperwork Relief Act of 2002, Public Law 107-198, see 44 U.S.C. 
3506(c)(4), the Commission seeks specific comment on how it might 
``further reduce the information collection burden for small business 
concerns with fewer than 25 employees.'' The Commission will submit the 
FNPRM to the Office of Management and Budget for review under Section 
3507(d) of the PRA.
    50. The Commission specifically seek comment on the time and cost 
burdens associated with the voluntary false alert and lockout, and 
State EAS Plan reporting proposals contained in the FNPRM and whether 
there are ways of minimizing the costs burdens associated therewith.

F. Ordering Clauses

    51. Accordingly, it is ordered, pursuant to Sections 1, 2, 4(i), 
4(o), 301, 303(r), 303(v), 307, 309, 335, 403, 624(g), 706, and 713 of 
the Communications Act of 1934, as amended, 47 U.S.C. 151, 152, 154(i), 
154(o), 301, 303(r), 303(v), 307, 309, 335, 403, 544(g), 606, and 613, 
as well as by sections 602(a), (b), (c), (f), 603, 604 and 606 of the 
WARN Act, 47 U.S.C. 1202(a), (b), (c), (f), 1203, 1204 and 1206, and 
the Twenty-First Century Communications and Video Accessibility Act of 
2010, Public Law 111-260 and Public Law 111-265, that this Further 
Notice of Proposed Rulemaking is adopted.
    52. It is further ordered that the Commission's Consumer and 
Governmental Affairs Bureau, Reference Information Center, shall send a 
copy of this Notice of Proposed Rulemaking including the Regulatory 
Flexibility Analysis, to the Chief Counsel for Advocacy of the Small 
Business Administration.

[[Page 39656]]

    53. It is further ordered that pursuant to applicable procedures 
set forth in sections 1.415 and 1.419 of the Commission's rules, 47 CFR 
1.415, 1.419, interested parties may file comments on this Further 
Notice of Proposed Rulemaking on or before September 10, 2018, and 
interested parties may file reply comments on or before October 9, 
2018.

List of Subjects in 47 CFR Part 11

    Radio, Television.

Federal Communications Commission.
Marlene Dortch,
Secretary.

Proposed Rules

    For the reasons discussed in the preamble, the Federal 
Communications Commission proposes to amend 47 CFR part 11 as follows:

PART 11--EMERGENCY ALERT SYSTEM (EAS)

0
1. The authority citation for 47 CFR part 11 continues to read as 
follows:

    Authority:  47 U.S.C. 151, 154(i) and (o), 303(r), 544(g) and 
606.

0
2. Amend Sec.  11.21 by adding paragraph (g) to read as follows:


Sec.  11.21  State and Local Area plans and FCC Mapbook.

* * * * *
    (g) The State EAS Plan must contain procedures implemented within 
the state to prevent and correct false alerts initiated over the EAS 
and Wireless Emergency Alert systems, including:
    (1) The standard operating procedures that state and local alert 
initiators follow to prepare for ``live code'' and other public facing 
EAS tests and alerts.
    (2) The standard operating procedures that state and local alert 
initiators have developed for the reporting and correction of false 
alerts, including how the alert initiator would issue any corrections 
to false alerts over the same systems used to issue the false alert, 
including the EAS and WEA.
    (3) The procedures agreed upon by the SECC and state emergency 
management agency or other State-authorized alert initiator by which 
they plan to consult with each other on a regular basis to ensure that 
EAS procedures, including initiation and cancellation of actual alerts 
and tests, are mutually understood, agreed upon, and documented in the 
State EAS Plan.
    (4) The procedures ensuring redundant and effective lines of 
communication between the SECC and key stakeholders during emergencies.
    (5) Other information that could prevent or mitigate the issuance 
of false alerts.
    Where the state and local emergency management authorities either 
do not have or will not share the foregoing information with the SECC, 
the SECC must specifically note that in the EAS Plan.
* * * * *
[FR Doc. 2018-17097 Filed 8-9-18; 8:45 am]
 BILLING CODE 6712-01-P


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