[Federal Register Volume 80, Number 63 (Thursday, April 2, 2015)]
[Notices]
[Pages 17745-17748]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2015-07561]


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FEDERAL COMMUNICATIONS COMMISSION

[MB Docket No. 15-43; DA 15-253]


Media Bureau Seeks Comment for Report Required by the STELA 
Reauthorization Act of 2014

AGENCY: Federal Communications Commission.

ACTION: Notice; solicitation of comments.

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SUMMARY: This document solicits public comments and data for use in 
preparation of a report required by the STELA Reauthorization Act of 
2014. The report must contain an analysis of designated market areas 
and recommendations for fostering increased localism. The Commission is 
required to submit the report no later than June 3, 2016.

DATES: Comments may be filed on or before May 12, 2015, and reply 
comments may be filed on or before June 11, 2015.

ADDRESSES: You may submit comments, identified by MB Docket No. 15-43, 
DA-15-253, by any of the following methods:
    [ssquf] Federal Communications Commission's Web site: http://fjallfoss.fcc.gov/ecfs2/. Follow the instructions for submitting 
comments.
    [ssquf] Mail: Federal Communications Commission, 445 12th Street 
SW., Washington, DC, 20554.
    [ssquf] People with Disabilities: Contact the FCC to request 
reasonable accommodations (accessible format documents, sign language 
interpreters, CART, etc.) by email: <a href="/cdn-cgi/l/email-protection#bff9fcfc8a8f8bffd9dcdc91d8d0c9"><span class="__cf_email__" data-cfemail="6d2b2e2e585d592d0b0e0e430a021b">[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: Dan Bring, Media Bureau (202) 418-
2164, TTY (202) 418-7172, or email at <a href="/cdn-cgi/l/email-protection#793d18171700573b0b10171e391f1a1a571e160f"><span class="__cf_email__" data-cfemail="b5f1d4dbdbcc9bf7c7dcdbd2f5d3d6d69bd2dac3">[email protected]</span></a>.

SUPPLEMENTARY INFORMATION: This is a synopsis of the Commission's 
document in MB Docket No. 15-43, DA-15-253, released February 25, 2015. 
The complete text of the document is available for inspection and 
copying during normal business hours in the FCC Reference Center, 445 
12th Street SW., Washington, DC 20554.

Synopsis

    1. By this Public Notice, the Media Bureau seeks data, information, 
and comment for use in preparation of a report required by the STELA 
Reauthorization Act of 2014 (STELAR), Public Law 113-200, sec. 109, 128 
Stat. 2059, 2065 (2014). Section 109 of STELAR requires the Commission 
to submit a report on designated market areas and considerations for 
fostering increased localism to the appropriate congressional 
committees not later than 18 months after the date of enactment (i.e., 
June 3, 2016). Specifically, Section 109 states:
    SEC. 109. REPORT ON DESIGNATED MARKET AREAS.
    (a) IN GENERAL. Not later than 18 months after the date of the 
enactment of this Act, the Commission shall submit to the appropriate 
congressional committees a report that contains--
    (1) An analysis of--
    (A) The extent to which consumers in each local market have access 
to broadcast programming from television broadcast stations located 
outside their local market, including through carriage by cable 
operators and satellite carriers of signals that are significantly 
viewed (within the meaning of section 340 of the Communications Act of 
1934 (47 U.S.C. 340)); and
    (B) Whether there are technologically and economically feasible 
alternatives to the use of designated market areas to define markets 
that would provide consumers with more programming

[[Page 17746]]

options and the potential impact such alternatives could have on 
localism and on broadcast television locally, regionally, and 
nationally; and
    (2) Recommendations on how to foster increased localism in counties 
served by out-of-State designated market areas.
    (b) CONSIDERATIONS FOR FOSTERING INCREASED LOCALISM. In making 
recommendations under subsection (a)(2), the Commission shall 
consider--
    (1) The impact that designated market areas that cross State lines 
have on access to local programming;
    (2) The impact that designated market areas have on local 
programming in rural areas; and
    (3) The state of local programming in States served exclusively by 
out-of-State designated market areas.
    2. The legislative history of Section 109 instructs the Commission 
to consider a number of factors in making its recommendations to foster 
increased localism in counties served by out-of-State designated market 
areas (DMA), including: (1) The impact DMAs that cross State lines have 
on access to local programming; (2) the impact DMAs have on local 
programming in rural areas; and (3) the impact such alternatives to the 
DMA system could have on localism, as well as broadcast television 
locally, regionally, and nationally. The legislative history also 
provides the following guidance regarding the report:

    The Committee intends that the FCC's report will interpret local 
programming to include not only television programming (in 
particular news, sports, weather, and other programming containing 
content relevant to a consumer's daily life) originating from and 
about the DMA in which a consumer resides, but also television 
programming originating from and about the State in which a consumer 
resides.
    The Committee also intends that the analysis concerning 
alternatives to the DMA system should explore in detail the merits 
and advantages to those alternatives to consumers, and not just the 
impact those alternatives may have on broadcast television.

    3. To prepare the STELAR Section 109 Report, we seek comment on the 
appropriate methodologies and data sources, as well as the submission 
of data and information, to analyze the extent consumers have access to 
broadcast stations located outside their local markets. We ask 
commenters to identify technologically and economically feasible 
alternatives to DMAs that would provide more programming options and 
the potential impact of such alternatives on localism and on broadcast 
television locally, regionally, and nationally. We also ask commenters 
to provide recommendations that would foster localism in counties 
served by out-of-State DMAs and the impact of such recommendations as 
required under Section 109(b).

Data Analysis--Section 109(a)(1)(A)

    4. Section 109(a)(1)(A) requires the Commission to analyze the 
extent to which consumers in each local market have access to broadcast 
programming from television broadcast stations located outside their 
local markets, including through carriage by cable operators and 
satellite carriers of signals that are significantly viewed (within the 
meaning of section 340 of the Communications Act of 1934 (47 U.S.C. 
340)). We interpret Section 109(a)(1)(A) to require the Commission to 
identify in each DMA the out-of-market broadcast stations available 
over-the-air or carried by DBS, cable, and telephone MVPDs, and the 
number of consumers that have access to each out-of-market broadcast 
station through any of these distribution means. In 2011, pursuant to 
STELA, the Commission reported to Congress regarding the extent that 
consumers in a State receive broadcast signals from stations licensed 
to another State as well as the extent to which consumers have access 
to in-State broadcast programming, among other things. While the focus 
of the Report to Congress pursuant to Section 304 of the Satellite 
Extension and Localism Act of 2010 (2011 STELA Report) differed 
somewhat from the requirements of Section 109, it provided information 
about consumer access to out-of-State and out-of-DMA broadcast 
stations. We believe, however, that information at the DMA level, as 
contained in the 2011 STELA Report, may not be fully responsive to 
Congress' directive in STELAR. We note that Section 109(a)(2) seeks 
recommendations to foster localism in counties served by out-of-State 
DMAs. Thus, we believe we should report data on out-of-market broadcast 
stations on a county basis within each DMA. We request comment on this 
belief and input on additional data and analysis that would be fully 
responsive.
    5. Section 109(a)(1)(A) requires us to consider access to broadcast 
programming, including through DBS and cable carriage. We seek comment 
on the appropriate methodologies and submission of essential data for 
the analysis. Do data exist that would allow us to determine consumer 
access to out-of-market broadcast programming from one source 
regardless of distribution technology? In the absence of one data 
source, we tentatively conclude that we should consider the 
availability of broadcast stations over-the-air by calculating the 
number of housing units in each DMA reached by the predicted broadcast 
signal contour of each out-of-market broadcast station, as we did in 
the 2011 STELA Report. We seek comment on this tentative conclusion.
    6. We believe we have access to comprehensive data for analysis of 
DBS carriage and over-the-air reception of out-of-market broadcast 
stations. We note that Section 108 of STELAR requires DBS carriers to 
provide data regarding satellite carriage of broadcast stations and 
that these data should be useful for this report. We seek comment on 
whether the Section 108 reports DBS operators submit are sufficient for 
this purpose. Will these reports include the carriage of significantly 
viewed signals that we must take into consideration?
    7. With respect to cable and telephone MVPD carriage of out-of-
market broadcast stations, we seek comment on what data are available 
that would be adequate for such analysis and what methodology we could 
use to analyze the available data. In 2011, pursuant to STELA, the 
Bureau was unable to provide separate data for cable and telephone 
MVPDs, and therefore instead the Bureau used Nielsen data to identify 
for each DMA the out-of-market broadcast television stations that 
earned a cumulative rating of at least 2.5 percent from all sources. 
Are comprehensive data available that would enable us to determine for 
each county in each DMA the out-of-market broadcast stations carried by 
each cable and telephone MVPD? In the absence of such data, we seek 
comment on the use of Nielsen data and the methodology used for the 
2011 STELA Report. What other options are available to the Commission 
to analyze this question?
    8. In this regard, we note that the Commission collects cable 
system data in its Annual Report of Cable Television Systems (FCC Form 
325) and in its Annual Report on Cable Prices, but these data are not 
comprehensive. Only a limited number of cable systems must file FCC 
Form 325. All cable systems with more than 20,000 subscribers are 
subject to the reporting requirement as are a sample of cable systems 
with fewer than 20,000 subscribers. Other than on a sample basis, cable 
systems with fewer than 20,000 subscribers, however, are not required 
to report information to the Commission. Also, many rural counties of 
interest to the STELAR Section 109 Report may be served by cable 
systems not subject to the requirement.
    9. Cable systems subject to the FCC Form 325 reporting requirement 
provide

[[Page 17747]]

the Commission with a list of the broadcast stations carried by each 
reporting system. The geographic configuration of a cable system is 
determined by its physical system, which consists of a cable system 
technically integrated to a principal headend. Cable system data are 
provided for the entire system. The data do not correspond to census 
blocks, counties, DMAs, or other common geographic units and, 
therefore, cannot be aggregated or disaggregated to provide estimates 
for those geographic units or households. Thus, the data cable 
companies provide to the Commission do not permit analysis on a 
comparable geographic basis to data available for over-the-air 
broadcast stations, DBS carriage of broadcast stations, or the Bureau 
of the Census household data.
    10. The Commission publishes annually a cable price report, which 
collects a listing of broadcast stations carried by a random sample of 
cable operators. According to the Bureau's most recent report, over 
33,000 communities are served by cable operators. The report, however, 
included information on only 800 communities. As such, it does not 
provide comprehensive data and many rural counties of interest to the 
STELAR Section 109 Report may be served by cable operators not included 
in the Commission's cable price report. We seek comment on the 
availability of other more comprehensive data sources that might be 
available to the Commission to perform the required analysis.
    11. In the absence of comprehensive data, we propose including case 
studies for specific counties where commenters have indicated a lack of 
local programming. In 2011, pursuant to STELA, the Bureau undertook a 
number of case studies for specific counties in which commenters 
indicated a lack of in-State broadcast programming. For each case, the 
Bureau examined the extent to which consumers had access to in-State 
programming over the air, from cable operators and from DBS operators 
on a county basis within each relevant DMA. The Bureau described the 
availability of in-State broadcast stations and the carriage of in-
State stations by DBS operators and cable systems. For cable system 
information, the Bureau identified the cable systems in the counties 
and communities under study using the Commission's Cable Operations and 
Licensing System. To determine the carriage of in-State broadcast 
stations, the Bureau used cable operators' 2010 FCC Form 325 
submissions, to the extent they were available, and publicly available 
information, including the Warren Television & Cable Factbook data and 
the Web sites of individual cable systems.
    12. For each case study for the STELAR Section 109 Report, we 
propose to examine, using the best available information, the extent to 
which consumers have access to out-of-market broadcast programming from 
DBS, cable, and telephone MVPDs, and over the air. We seek comment on 
the use of case studies for our report. Is there a better approach to 
case studies? We seek data, information, and comment for the analysis 
of cable and telephone MVPD carriage of out-of-market broadcast 
stations.
    13. Out-of-market broadcast stations may provide multiple 
programming streams. Should the STELAR Section 109 Report include all 
out-of-market broadcast programming? We seek comment on the appropriate 
methodologies and the availability of data for including multiple 
programming steams. Are there other mechanisms for carriage that we 
should include (e.g., online access to broadcast programming)? 
Commenters are asked to consider these issues and to provide any 
additional suggestions and data for the quantitative analysis required 
for this Report.

Alternatives and Recommendations--Sections 109(a)(1)(B), (a)(2), and 
(b)

    14. Sections 109(a)(1)(B), (a)(2), and (b) require the Commission 
to analyze alternatives to the use of DMAs to define markets and to 
make recommendations on how to foster increased localism in counties 
served by out-of State DMAs taking into account a number of factors. 
Specifically, Section 109(a)(1)(B) requires the Commission to analyze 
whether there are technologically and economically feasible 
alternatives to the use of designated market areas to define markets 
that would provide consumers with more programming options and the 
potential impact such alternatives could have on localism and on 
broadcast television locally, regionally, and nationally. Section 
109(a)(2) requires the Commission to make recommendations on how to 
foster increased localism in counties served by out-of-State designated 
market areas. Section 109(b) directs the Commission to consider three 
enumerated factors related to the impact of DMAs on access to local 
programming when making its recommendations.
    15. We ask commenters to provide suggested alternatives to the use 
of DMAs to define market areas, pursuant to Section 109(a)(1)(B). For 
each alternative, we request that commenters explain how the 
alternative would provide consumers with more programming options and 
what the impact would be on localism and on broadcast television 
locally, regionally and nationally. What specific programming options 
should we consider in our analysis? For instance, should we consider 
news, sports, weather, coverage of State-level politics and government, 
or other content relevant to a consumers' daily life, including 
advertising from local businesses, and if so how should we identify and 
consider such content? Commenters also should address the technological 
and economic feasibility of each alternative proposed and provide data 
and information on these issues. To analyze the various alternatives, 
we request suggestions on how to evaluate and compare the proposed 
alternatives for the STELAR Section 109 Report.
    16. Section 109(a)(2) requires the Commission to make 
recommendations on how to foster increased localism in counties served 
by out-of-State DMAs. In making recommendations, Section 109(b) 
instructs the Commission to consider: (1) the impact that DMAs that 
cross State lines have on access to local programming; (2) the impact 
that DMAs have on local programming in rural areas; and (3) the state 
of local programming in States served exclusively by out-of-State DMAs. 
We seek recommendations that could increase television programming from 
and about the DMA, and television programming from and about the State, 
in which a consumer resides. We specifically ask commenters to address 
the three considerations identified in Section 109(b). In particular, 
how do DMAs affect access to local programming for each of the three 
areas of concern? To what extent do consumers in DMAs that cross State 
lines have access to television programming from and about their State? 
How will the proposed recommendations foster increased local 
programming for consumers residing in such locations?
    17. To assist us in analyzing proposed recommendations that we will 
consider including in the STELAR Section 109 Report, we also seek 
comment on the effects of each recommendation on consumers, local 
broadcast stations, the number of stations that MVPDs would be required 
to carry, the advertising market, broadcast network affiliation 
agreements and areas of exclusivity. What would be the benefits and 
costs of each recommendation? How would the

[[Page 17748]]

proposed recommendation provide consumers with increased local 
programming without curtailing the broadcast programming consumers 
currently view? Are there other criteria we should consider when 
evaluating recommendations to foster increased localism? We seek 
comment on these issues and any other comments that address the 
requirements of Section 109 of STELAR.

Procedural Matters

    18. Comment Information. 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 who 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 9300 East Hampton 
Drive, Capitol Heights, MD 20743.
    [ssquf] U.S. Postal Service first-class, Express, and Priority mail 
must be addressed to 445 12th Street SW., Washington DC 20554.
    People with Disabilities: 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="62040101575256220401014c050d14">[email protected]</a> or call the 
Consumer & Governmental Affairs Bureau at 202-418-0530 (voice), 202-
418-0432 (tty).
    19. For further information about this Public Notice, please 
contact Marcia Glauberman at (202) 418-7046, <a href="/cdn-cgi/l/email-protection#2944485b4a4048074e45485c4b4c5b444847694f4a4a074e465f"><span class="__cf_email__" data-cfemail="05686477666c642b6269647067607768646b456366662b626a73">[email protected]</span></a> 
or Dan Bring at (202) 418-2164, <a href="/cdn-cgi/l/email-protection" class="__cf_email__" data-cfemail="d0b4b1bebea9feb2a2b9beb790b6b3b3feb7bfa6">[email protected]</a>. Press inquiries 
should be directed to Janice Wise at (202) 418-8165, 
<a href="/cdn-cgi/l/email-protection#254f444b4c46400b524c5640654346460b424a53"><span class="__cf_email__" data-cfemail="f09a919e999395de87998395b0969393de979f86">[email protected]</span></a>.

Federal Communications Commission.
Thomas Horan,
Chief of Staff, Media Bureau.
[FR Doc. 2015-07561 Filed 4-1-15; 8:45 am]
BILLING CODE CODE 6712-01-P


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