I 
108TH CONGRESS 
2D SESSION 
H. R. 4518
To extend the statutory license for secondary transmissions under section 
119 of title 17, United States Code. 
IN THE HOUSE OF REPRESENTATIVES 
JUNE 4, 2004
Mr. SMITH of Texas (for himself, Mr. CONYERS, and Mr. BERMAN) introduced 
the following bill; which was referred to the Committee on the Judiciary 
A BILL 
To extend the statutory license for secondary transmissions 
under section 119 of title 17, United States Code.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 
(a) SHORT TITLE.—This Act may be cited as the 
‘‘Satellite Home Viewer Extension and Reauthorization 
Act of 2004’’. 
(b) TABLE OF CONTENTS.—
Sec. 1. Short title; table of contents. 
TITLE I—STATUTORY LICENSE FOR SATELLITE CARRIERS 
Sec. 101. Extension of authority. 
Sec. 102. Reporting of subscribers; significantly viewed and other signals; tech-
nical amendments.
Sec. 103. Statutory license for satellite carriers outside local markets. 
Sec. 104. Study. 
Sec. 105. Effect on certain proceedings.
TITLE I—STATUTORY LICENSE 
FOR SATELLITE CARRIERS 
SEC. 101. EXTENSION OF AUTHORITY. 
(a) IN GENERAL.—Section 4(a) of the Satellite Home 
Viewer Act of 1994 (17 U.S.C. 119 note; Public Law 103–
369; 108 Stat. 3481) is amended by striking ‘‘December 
31, 2004’’ and inserting ‘‘December 31, 2009’’. 
(b) EXTENSION FOR CERTAIN SUBSCRIBERS.—Sec-
tion 119(e) of title 17, United States Code, is amended 
by striking ‘‘December 31, 2004’’ and inserting ‘‘Decem-
ber 31, 2009’’. 
SEC. 102. REPORTING OF SUBSCRIBERS; SIGNIFICANTLY 
VIEWED AND OTHER SIGNALS; TECHNICAL 
AMENDMENTS. 
Section 119(a) of title 17, United States Code, is 
amended—
(1) in paragraph (1)—
(A) in the paragraph heading, by striking 
‘‘AND PBS SATELLITE FEED’’; 
(B) in the first sentence, by striking ‘‘(3), 
(4), and (6)’’ and inserting ‘‘(5), (6), and (8)’’; 
(C) in the first sentence, by striking ‘‘or by 
the Public Broadcasting Service satellite feed’’; 
and
(D) by striking the second sentence; 
(2) in paragraph (2)—
(A) in subparagraph (A), by striking ‘‘(3), 
(4), (5), and (6)’’ and inserting ‘‘(5), (6), (7), 
and (8)’’; and 
(B) by amending subparagraph (C) to read 
as follows: 
‘‘(C) SUBMISSION
OF
SUBSCRIBER
LISTS 
TO NETWORKS.—
‘‘(i) INITIAL LISTS.—A satellite car-
rier that makes secondary transmissions of 
a primary transmission made by a network 
station pursuant to subparagraph (A) 
shall, 90 days after commencing such sec-
ondary transmissions, submit to the net-
work that owns or is affiliated with the 
network station—
‘‘(I) a list identifying (by name 
and street address, including county 
and zip code) all subscribers to which 
the satellite carrier makes secondary 
transmissions of that primary trans-
mission to subscribers in unserved 
households; and
‘‘(II) a separate list, aggregated 
by designated market area (as defined 
in section 122(j)) (by name and street 
address, including county and zip 
code), which shall indicate those sub-
scribers being served pursuant to sub-
section (a)(3), relating to significantly 
viewed stations. 
‘‘(ii) MONTHLY LISTS.—After the sub-
mission of the initial lists under clause (i), 
on the 15th of each month, the satellite 
carrier shall submit to the network—
‘‘(I) a list identifying (by name 
and street address, including county 
and zip code) any persons who have 
been added or dropped as subscribers 
under clause (i)(I) since the last sub-
mission under clause (i); and 
‘‘(II) a separate list, aggregated 
by designated market area (by name 
and street address, including county 
and zip code), identifying those sub-
scribers whose service pursuant to 
subsection (a)(3), relating to signifi-
cantly viewed stations, has been added 
or dropped. 
‘‘(iii) USE OF SUBSCRIBER INFORMA-
TION.—Subscriber information submitted 
by a satellite carrier under this subpara-
graph may be used only for purposes of 
monitoring compliance by the satellite car-
rier with this subsection. 
‘‘(iv) APPLICABILITY.—The submis-
sion requirements of this subparagraph 
shall apply to a satellite carrier only if the 
network to whom the submissions are to be 
made places on file with the Register of 
Copyrights a document identifying the 
name and address of the person to whom 
such submissions are to be made. The Reg-
ister shall maintain for public inspection a 
file of all such documents.’’; 
(3) by adding at the end the following new sub-
paragraph: 
‘‘(D) STATES WITH SINGLE COMMERCIAL 
FULL-POWER NETWORK STATION.—In a State 
in which there is licensed by the Federal Com-
munications Commission a single full-power sta-
tion that was a network station on January 1,
tion’s local market (as defined in section 
122(j)) but within a community in which the 
signal of that station is determined to be sig-
nificantly viewed under section 340 of the Com-
munications Act of 1934. 
‘‘(B) 
LIMITATION.—Subparagraph 
(A) 
shall apply only to secondary transmissions of 
network stations and superstations to sub-
scribers who receive secondary transmissions 
from a satellite carrier pursuant to the statu-
tory license under section 122.’’; and 
(8) in paragraph (2)(B)(i), by adding at the 
end the following new sentence: ‘‘The limitation in 
this clause shall not apply to secondary trans-
missions under paragraph (3).’’. 
SEC. 103. STATUTORY LICENSE FOR SATELLITE CARRIERS 
OUTSIDE LOCAL MARKETS. 
Section 119 of title 17, United States Code, is 
amended as follows: 
(1) Subsection (a) is amended by inserting after 
paragraph (3), as added by section 102 of this Act, 
the following: 
‘‘(4) STATUTORY
LICENSE
WHERE
RETRANS-
MISSIONS INTO LOCAL MARKET AVAILABLE.—
‘‘(A) RULES
FOR
SUBSCRIBERS
UNDER 
SUBSECTION (e).—In the case of a subscriber of 
a satellite carrier who is eligible to receive the 
signal of a network station solely by reason of 
subsection (e) (in this subparagraph referred to 
as a ‘distant signal’), the following shall apply: 
‘‘(i) In a case in which the signal of 
a local network station affiliated with the 
same television network is made available 
by that satellite carrier to the subscriber 
pursuant to the statutory license under 
section 122, the statutory license under 
paragraph (2) shall apply only to sec-
ondary transmissions by that satellite car-
rier of the distant signal of such network 
station to that subscriber—
‘‘(I) if, within 60 days after re-
ceiving the notice of the satellite car-
rier under section 338(h) of the Com-
munications Act of 1934, the sub-
scriber elects to retain the distant sig-
nal; but 
‘‘(II) only until such time as the 
subscriber elects to receive such local 
signal.
‘‘(ii) Notwithstanding clause (i), the 
statutory license under paragraph (2) shall 
not apply to any subscriber who is eligible 
to receive the signal of a network station 
solely by reason of subsection (e) unless 
the subscriber’s satellite carrier, within 60 
days after the date of the enactment of the 
Satellite Home Viewer Extension and Re-
authorization Act of 2004, submits to that 
television network a list, aggregated by 
designated market area (as defined in sec-
tion 122(j)(2)(C)), that—
‘‘(I) identifies that subscriber by 
name and address (street or RFD 
number, city, State, and zip code) and 
specifies the distant signals received 
by the subscriber; and 
‘‘(II) states, to the best of the 
satellite carrier’s knowledge and be-
lief, after having made diligent and 
good faith inquiries, that the sub-
scriber is eligible under subsection (e) 
to receive the distant signals. 
‘‘(B) RULES FOR OTHER SUBSCRIBERS.—
In the case of a subscriber of a satellite carrier
who is eligible to receive the signal of a network 
station under the statutory license under para-
graph (2) (in this subparagraph referred to as 
a ‘distant signal’), other than subscribers to 
whom subparagraph (A) applies, the following 
shall apply: 
‘‘(i) In a case in which the signal of 
a local network station affiliated with the 
same television network is made available 
by that satellite carrier, on the date of the 
enactment of the Satellite Home Viewer 
Extension and Reauthorization Act of 
2004, to the subscriber pursuant to the 
statutory license under section 122, the 
statutory license under paragraph (2) shall 
apply only to secondary transmissions by 
that satellite carrier of the distant signal 
of such network station to that sub-
scriber—
‘‘(I)(aa) if, on such date of enact-
ment, the subscriber is receiving such 
distant signal and is also receiving 
such local signal, and 
‘‘(bb) the subscriber’s satellite 
carrier, within 60 days after such date
of enactment, submits to that tele-
vision network a list, aggregated by 
designated market area (as defined in 
section 122(j)(2)(C)), that identifies 
that subscriber by name and address 
(street or RFD number, city, State, 
and zip code) and specifies the distant 
signals received by the subscriber; or 
‘‘(II)(aa) if, on such date of en-
actment, the subscriber is receiving 
such distant signal and is not receiv-
ing such local signal; but 
‘‘(bb) only until such time as the 
subscriber elects to receive such local 
signal. 
‘‘(ii) In a case in which the signal of 
a local network station affiliated with the 
same television network is not made avail-
able by that satellite carrier, on the date of 
the enactment of the Satellite Home View-
er Extension and Reauthorization Act of 
2004, to a subscriber pursuant to the stat-
utory license under section 122, the statu-
tory license under paragraph (2) shall 
apply only to secondary transmissions by
that satellite carrier of the distant signal 
of such network station to any person—
‘‘(I) who is subscriber of that 
satellite carrier on such date of enact-
ment, or 
‘‘(II) who becomes a subscriber 
of that satellite carrier after such date 
but before the local signal is available, 
but only until such time as the subscriber 
elects to receive the local signal from that 
satellite carrier. 
‘‘(C) FUTURE APPLICABILITY.—The statu-
tory license under paragraph (2) shall not apply 
to secondary transmissions by a satellite carrier 
of a primary transmission of a network station 
to a subscriber in a location to which the signal 
of a local network station affiliated with the 
same television network was made available by 
that satellite carrier, before that person became 
a subscriber to that satellite carrier, pursuant 
to the statutory license under section 122. 
‘‘(D) NULLIFICATION OF EXISTING WAIV-
ERS.—In the case of any subscriber to whom 
subparagraph (B)(i)(II) or (B)(ii) applies, at 
such time as the subscriber elects to receive the
local signal of a network station, any waiver by 
that network station under section 339(c)(2) of 
the Communications Act of 1934 shall cease to 
be effective with respect to that subscriber. 
‘‘(E) 
OTHER
PROVISIONS
NOT
AF-
FECTED.—This paragraph shall not affect the 
applicability of the statutory license to sec-
ondary transmissions under paragraph (3) or to 
unserved households included under subsection 
(a)(12). ’’. 
(2) Subsection (b)(1) is amended by striking 
subparagraph (B) and inserting the following: 
‘‘(B) a royalty fee for that 6-month period, 
computed by multiplying the total number of 
subscribers receiving each secondary trans-
mission of each superstation or network station 
during each calendar month by the appropriate 
rate in effect under this section.’’. 
(3) Subsection (b)(1) is further amended by 
adding at the end the following flush sentence: 
‘‘Notwithstanding the provisions of subparagraph 
(B), a satellite carrier whose secondary trans-
missions are subject to statutory licensing under 
paragraph (1) or (2) of subsection (a) shall have no 
royalty obligation for secondary transmissions to a
subscriber who resides outside the station’s local 
market (as defined in section 122(j)(2)) but within 
a community in which the signal of that station is 
determined to be significantly viewed under section 
340 of the Communications Act of 1934.’’. 
(4) Subsection (c) is amended—
(A) by amending paragraph (1) to read as 
follows: 
‘‘(1) APPLICABILITY AND DETERMINATION OF 
ROYALTY FEES.—The appropriate rate for purposes 
of determining the royalty fee under subsection 
(b)(1)(B) shall be the appropriate rate set forth in 
part 258 of title 37, Code of Federal Regulations, as 
in effect on the date of the enactment of the Sat-
ellite Home Viewer Extension and Reauthorization 
Act of 2004, as modified under this subsection.’’; 
(B) by striking paragraph (2); 
(C) in paragraph (3)—
(i) by redesignating that paragraph as 
paragraph (2); 
(ii) in subparagraph (A)—
(I) by striking ‘‘January 1, 
1997,’’ and inserting ‘‘January 1, 
2005,’’; and
(II) by striking ‘‘who are not 
parties to a voluntary agreement filed 
with the Copyright Office in accord-
ance with paragraph (2)’’; 
(iii) in subparagraph (C), by striking 
‘‘as provided’’ and all that follows through 
‘‘later’’ and inserting ‘‘January 1, 2006’’; 
and 
(iv) by striking subparagraph (D); 
and 
(D) by striking paragraphs (4) and (5) 
and inserting the following: 
‘‘(3) COST OF LIVING ADJUSTMENT.—The roy-
alty rates set forth in subsection (b)(1)(B), as ad-
justed under paragraph (2) of this subsection, shall 
be adjusted by the Librarian of Congress—
‘‘(A) on January 1, 2005, to reflect any 
changes occurring during the period beginning 
on January 1, 2000, and ending on November 
30, 2004, in the cost of living as determined by 
the most recent Consumer Price Index (for all 
consumers and items) published by the Sec-
retary of Labor during that period; and 
‘‘(B) on January 1, 2007, and on January 
1 of each year thereafter, to reflect any changes
occurring during the preceding 12 months in 
the cost of living as determined by the most re-
cent Consumer Price Index so published. 
‘‘(4) REDUCTIONS.—The rate of the royalty fee 
determined under paragraph (2)—
‘‘(A) for superstations shall be reduced by 
30 percent; and 
‘‘(B) for network stations shall be reduced 
by 45 percent.’’. 
(5) Subsection (d) is amended—
(A) by amending paragraph (9) to read as 
follows: 
‘‘(9) SUPERSTATION.—The term ‘superstation’ 
means a television broadcast station, other than a 
network station, licensed by the Federal Commu-
nications Commission that is secondarily transmitted 
by a satellite carrier.’’; 
(B) in paragraph (10)(D), by striking 
‘‘(a)(11)’’ and inserting ‘‘(a)(12)’’; and 
(C) by striking paragraph (12). 
SEC. 104. STUDY. 
No later than June 30, 2008, the Register of Copy-
rights shall report to the Committee on the Judiciary of 
the House of Representatives and the Committee on the 
Judiciary of the Senate the Register’s findings and rec-
ommendations on the operation and revision of the statu-
tory licenses under sections 111, 119, and 122 of title 17, 
United States Code. The report should include, but not 
be limited to, the following: 
(1) A comparison of the royalties paid by licens-
ees under such sections, including historical rates of 
increases in these royalties, a comparison between 
the royalties under each such section and the prices 
paid in the marketplace for comparable program-
ming. 
(2) An analysis of the differences in the terms 
and conditions of the licenses under such sections, 
an analysis of whether these differences are required 
or justified by historical, technological, or regulatory 
differences that affect the satellite and cable indus-
tries, and an analysis of whether either the cable or 
satellite industry is placed in a competitive disadvan-
tage due to these terms and conditions. 
(3) An analysis of whether the licenses under 
such sections are still justified by the bases upon 
which they were originally created. 
(4) An analysis of the correlation, if any, be-
tween the royalties, or lack thereof, under such sec-
tions and the fees charged to cable and satellite sub-
scribers, addressing whether cable and satellite com-
panies have passed to subscribers any savings real-
ized as a result of the royalty structure and amounts 
under such sections. 
SEC. 105. EFFECT ON CERTAIN PROCEEDINGS. 
Nothing in this Act shall modify any remedy imposed 
on a party that is required by a final judgment of a court 
in any action that was brought before May 1, 2004, 
against that party for a violation of section 119 of title 
17, United States Code.
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