IB 
Union Calendar No. 379
108TH CONGRESS 
2D SESSION 
H. R. 4501
[Report No. 108–634] 
To extend the statutory license for secondary transmissions under section 
119 of title 17, United States Code, and to amend the Communications 
Act of 1934 with respect to such transmissions, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
JUNE 3, 2004
Mr. UPTON (for himself, Mr. MARKEY, Mr. BARTON of Texas, and Mr. DIN-
GELL) introduced the following bill; which was referred to the Committee 
on Energy and Commerce 
JULY 22, 2004
Committed to the Committee of the Whole House on the State of the Union 
and ordered to be printed 
A BILL 
To extend the statutory license for secondary transmissions 
under section 119 of title 17, United States Code, and 
to amend the Communications Act of 1934 with respect 
to such transmissions, and for other purposes.
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 II—FEDERAL COMMUNICATIONS COMMISSION OPERATIONS 
Sec. 201. Extension of retransmission consent exemption. 
Sec. 202. Cable/satellite comparability. 
Sec. 203. Carriage of local stations on a single dish. 
Sec. 204. Replacement of distant signals with local signals. 
Sec. 205. Additional notices to subscribers, networks, and stations concerning 
signal carriage. 
Sec. 206. Privacy rights of satellite subscribers. 
Sec. 207. Reciprocal bargaining obligations. 
Sec. 208. Unserved digital customers. 
Sec. 209. Reduction of required tests. 
Sec. 210. Carriage of certain additional stations.
TITLE 
II—FEDERAL 
COMMU-
NICATIONS COMMISSION OP-
ERATIONS 
SEC. 201. EXTENSION OF RETRANSMISSION CONSENT EX-
EMPTION. 
Section 325(b)(2)(C) of the Communications Act of 
1934 (47 U.S.C. 325(b)(2)(C)) is amended by striking 
‘‘December 31, 2004’’ and inserting ‘‘December 31, 
2009’’. 
SEC. 202. CABLE/SATELLITE COMPARABILITY. 
(a) AMENDMENT.—Part I of title III of the Commu-
nications Act of 1934 is amended by inserting after sec-
tion 339 (47 U.S.C. 339) the following new section:
‘‘SEC. 340. SIGNIFICANTLY VIEWED SIGNALS PERMITTED 
TO BE CARRIED. 
‘‘(a) SIGNIFICANTLY VIEWED STATIONS.—In addi-
tion to the broadcast signals that subscribers may receive 
under section 338 and 339, a satellite carrier is also au-
thorized to retransmit to subscribers located in a commu-
nity the signal of any station that a cable system in the 
same community is authorized to retransmit pursuant to 
section 111 of title 17, United States Code, if such station 
is treated as significantly viewed in the county within 
which such community is located in accordance with the 
rules, regulations, and authorizations of the Commission. 
‘‘(b) LIMITATIONS.—
‘‘(1) ANALOG
SERVICE
LIMITED
TO
SUB-
SCRIBERS
TAKING
LOCAL-INTO-LOCAL
SERVICE.—
With respect to a signal that originates as an analog 
signal of a television broadcast station, this section 
shall apply only to retransmissions to subscribers 
who receive retransmissions from a satellite carrier 
pursuant to the statutory license under section 122 
of title 17, United States Code. 
‘‘(2) DIGITAL SERVICE LIMITATIONS.—With re-
spect to a signal that originates as a digital signal 
of a network station, this section shall apply only 
if—
‘‘(A) the subscriber receives from the sat-
ellite carrier pursuant to the statutory license 
under section 122 of title 17, United States 
Code, the retransmission of the digital signal of 
a network station in the subscriber’s local mar-
ket that is affiliated with the same television 
network; and 
‘‘(B) either—
‘‘(i) the retransmission of the local 
network station occupies at least the equiv-
alent bandwidth as the digital signal re-
transmitted pursuant to this section; or 
‘‘(ii) the retransmission of the local 
network station carries the entire band-
width of the digital signal broadcast by 
such local network station. 
‘‘(3) LIMITATION NOT APPLICABLE WHERE NO 
NETWORK
AFFILIATES.—The limitations in para-
graphs (1) and (2) shall not prohibit a retrans-
mission under this section to a subscriber located in 
a local market in which there are no network sta-
tions affiliated with the same television network as 
the station whose signal is being retransmitted pur-
suant to this section.
‘‘(4) AUTHORITY TO GRANT STATION-SPECIFIC 
WAIVERS.—Notwithstanding paragraphs (1) and (2), 
a satellite carrier may provide to subscribers the re-
transmission of a network station that is determined 
to be significantly viewed under this section, if and 
to the extent that the network station in the local 
market in which the subscriber is located, and that 
is affiliated with the same television network, has 
granted a waiver from the requirements of para-
graphs (1) and (2) to such satellite carrier with re-
spect to such significantly viewed station. 
‘‘(c) MODIFICATIONS OF LIST.—
‘‘(1) PETITIONS FROM SATELLITE CARRIERS.—
In addition to cable operators and television broad-
cast station licensees, the Commission shall permit a 
satellite carrier to petition for decisions and or-
ders—
‘‘(A) by which stations and communities 
may be added to those that are eligible for re-
transmission under subsection (a); and 
‘‘(B) by which stations and communities 
may be determined to be eligible for retrans-
mission under paragraph (2) of this subsection. 
‘‘(2) APPLICATION
OF
CRITERIA
TO
COMMU-
NITIES WITHOUT CABLE SERVICE.—In addition to
the stations and communities that are eligible for re-
transmission under subsection (a), in a community 
that is not served by a cable system, a satellite car-
rier is also authorized to retransmit to subscribers 
located in such community the signal of any station 
that a cable system in that community would be au-
thorized to retransmit pursuant to section 111 of 
title 17, United States Code, if such signal would 
be treated as significantly viewed in the county with-
in which such community is located in accordance 
with the rules, regulations, and authorizations of the 
Commission. 
‘‘(d) 
EFFECT
ON
OTHER
OBLIGATIONS
AND 
RIGHTS.—
‘‘(1) NO EFFECT ON CARRIAGE OBLIGATIONS.—
Carriage of a signal under this section is not manda-
tory, and any right of a station licensee to have the 
signal of such station carried under section 338 is 
not affected by the eligibility of such station to be 
carried under this section. 
‘‘(2) RETRANSMISSION CONSENT RIGHTS NOT 
AFFECTED.—The eligibility of the signal of a station 
to be carried under this section does not affect the 
right of the licensee of such station to grant (or
withhold) retransmission consent under section 
325(b)(1). 
‘‘(e) NETWORK NONDUPLICATION AND SYNDICATED 
EXCLUSIVITY.—
‘‘(1) NOT APPLICABLE EXCEPT AS PROVIDED 
BY COMMISSION REGULATIONS.—Signals eligible to 
be carried under this section are not subject to the 
Commission’s regulations concerning network non-
duplication or syndicated exclusivity unless, pursu-
ant to regulations adopted by the Commission, the 
Commission determines to permit network non-
duplication or syndicated exclusivity to apply within 
the appropriate zone of protection. 
‘‘(2) LIMITATION.—Nothing in this subsection 
or Commission regulations shall permit the applica-
tion of network nonduplication or syndicated exclu-
sivity regulations to the retransmission of distant 
signals of network stations that are carried by a sat-
ellite carrier pursuant to a statutory license under 
section 119(a)(2)(A) or (B), with respect to persons 
who 
reside 
in 
unserved 
households, 
under 
119(a)(4)(A), or under section 119(a)(12). 
‘‘(f) ENFORCEMENT PROCEEDINGS.—
‘‘(1) NOTICE BY TELEVISION BROADCAST STA-
TIONS.—If a television broadcast station believes
that a satellite carrier has retransmitted to any sub-
scriber in the local market of such station the signal 
of another television broadcast station affiliated with 
the same television network in violation of this sec-
tion, the station may provide the satellite carrier 
with written notice of such violation. Such notice 
shall be provided via overnight delivery, addressed to 
the chief executive officer of the satellite carrier at 
its principal place of business and marked ‘UR-
GENT LITIGATION MATTER’ on the outer pack-
aging. Such notification shall set forth—
‘‘(A) the name, address, and call letters of 
the station that is claimed to have been unlaw-
fully retransmitted (for purposes of this sub-
section, the ‘imported station’); 
‘‘(B) the name and address of the satellite 
carrier; 
‘‘(C) the dates on which the alleged re-
transmission occurred; 
‘‘(D) the street address of at least one per-
son to whom the alleged retransmission was 
made; 
‘‘(E) a statement that the retransmission 
was not permitted because—
‘‘(i) the Commission had not deter-
mined that the imported station is signifi-
cantly viewed in the relevant community; 
‘‘(ii) the subscriber is not eligible for 
the retransmission of the signal because of 
the limitation in subsection (b) (1) or (2); 
‘‘(iii) the satellite carrier had not pro-
vided the notification required by sub-
section (h)(3); or 
‘‘(iv) two or more of the above; and 
‘‘(F) the name and address of counsel for 
the station. 
‘‘(2) COMPLAINTS BY TELEVISION BROADCAST 
STATIONS.—If, within 30 days of providing to the 
satellite carrier a notice pursuant to paragraph (1), 
the satellite carrier has not cured the alleged re-
transmission in violation of this section, or if the 
satellite carrier cures the alleged violation after no-
tice and then renews such violation within the next 
two years, the station may file a complaint with the 
Commission. Such complaint shall set forth the in-
formation provided in a notice under paragraph (1). 
‘‘(3) SERVICE OF COMPLAINTS ON SATELLITE 
CARRIERS.—For purposes of any proceeding under 
this subsection, any satellite carrier that retransmits
the signal of any broadcast station shall be deemed 
to designate the Secretary of the Commission as its 
agent for service of process. A television broadcast 
station may serve a satellite carrier with a complaint 
concerning an alleged violation of this section 
through retransmission of a station within the local 
market of such station by filing the original and two 
copies of the complaint with the Secretary of the 
Commission and serving a copy of the complaint on 
the satellite carrier by means of two commonly used 
overnight delivery services, each addressed to the 
chief executive officer of the satellite carrier at its 
principal place of business, and each marked ‘UR-
GENT LITIGATION MATTER’ on the outer pack-
aging. Service shall be deemed complete one business 
day after a copy of the complaint is provided to the 
delivery services for overnight delivery. On receipt of 
a complaint filed by a television broadcast station 
under this subsection, the Secretary of the Commis-
sion shall send the original complaint by United 
States mail, postage prepaid, receipt requested, ad-
dressed to the chief executive officer of the satellite 
carrier at its principal place of business. 
‘‘(4) ANSWERS
BY
SATELLITE
CARRIERS.—
Within 20 business days after the date of service,
the satellite carrier shall file an answer with the 
Commission and shall serve the answer by a com-
monly used overnight delivery service and by United 
States mail, on the counsel designated in the com-
plaint at the address listed for such counsel in the 
complaint. The answer shall include, as a schedule, 
a complete and accurate list of all subscribers to 
which the satellite carrier retransmitted the im-
ported station into the community in question pursu-
ant to this section for each month during the rel-
evant time period. Such subscriber information sub-
mitted by a satellite carrier may be used only for 
purposes of determining compliance by the satellite 
carrier with this section. 
‘‘(5) DEFENSES.—
‘‘(A) EXCLUSIVE
DEFENSES.—The de-
fenses under this paragraph are the exclusive 
defenses available to a satellite carrier against 
which a complaint under this subsection is filed. 
‘‘(B) DEFENSES.—The defenses referred 
to under subparagraph (A) are the defenses—
‘‘(i) that the satellite carrier did not 
retransmit the imported station to any per-
son in the complaining station’s local mar-
ket pursuant to this section during the 
time period specified in the complaint; 
‘‘(ii) if the complaining station has al-
leged that the retransmission was unlawful 
because the Commission had not deter-
mined that the station is significantly 
viewed in the relevant community, that the 
Commission had in fact made that deter-
mination; 
‘‘(iii) with respect to particular sub-
scribers referenced in the complaint, that 
those subscribers reside in communities in 
which the Commission has determined the 
station to be significantly viewed; 
‘‘(iv) if the complaining station has al-
leged that the retransmission is unlawful 
because the subscriber is ineligible for the 
retransmission because of the limitation in 
subsection (b) (1) or (2), that such limita-
tion is inapplicable; and 
‘‘(v) if the complaining station has al-
leged that the retransmission was unlawful 
because the satellite carrier had not pro-
vided the notification required by sub-
section (h)(3), that the satellite carrier had 
in fact provided that notification. 
‘‘(6) COUNTING OF VIOLATIONS.—The unlawful 
retransmission of a particular television broadcast 
station on a particular day subsequent to the notice 
and opportunity to cure described in paragraphs (1) 
and (2) of this subsection to a single subscriber pur-
suant to this section shall be considered a separate 
violation of this section. 
‘‘(7) PROCEDURES.—
‘‘(A) 
REGULATIONS.—Within 
days 
after the date of enactment, the Commission 
shall issue procedural regulations implementing 
this subsection which shall supersede proce-
dures under section 312. 
‘‘(B) DETERMINATIONS.—
‘‘(i) IN
GENERAL.—Within 45 days 
after the filing of a complaint, the Com-
mission shall issue a final determination in 
any proceeding brought under this sub-
section, unless the Commission issues an 
interim determination in writing that there 
has been a genuine, reasonable, good faith 
dispute about the applicability of one of 
the defenses set forth in paragraph (5), in
which case the Commission shall have 135 
additional days to issue a final determina-
tion. The Commission shall hear witnesses 
only if it clearly appears, based on written 
filings by the parties, that there is a gen-
uine dispute about material facts. Except 
as provided in the preceding sentence, the 
Commission may issue a final ruling based 
on written filings by the parties. 
‘‘(ii) DISCOVERY.—The Commission 
may direct the parties to exchange perti-
nent documents, and if necessary to take 
prehearing depositions, on such schedule as 
the Commission may approve, but only if 
the Commission first determines that such 
discovery is necessary to resolve a genuine 
dispute about material facts, consistent 
with the obligation to make a final deter-
mination within 45 days (or 180 days, as 
appropriate). 
‘‘(8) RELIEF.—If the Commission determines 
that a satellite carrier has retransmitted the im-
ported stations to at least one person in the com-
plaining station’s local market based on this section 
and has failed to meet its burden of proving one of
the defenses under paragraph (5) with respect to 
such retransmission, the Commission shall be re-
quired to—
‘‘(A) make a finding that the satellite car-
rier violated this section with respect to that 
station; and 
‘‘(B) issue an order containing—
‘‘(i) a cease-and-desist order directing 
the satellite carrier immediately to stop 
making any further retransmissions in vio-
lation of this section; 
‘‘(ii) a monetary penalty of $50 per 
violation, which may be waived by the 
Commission only if the Commission deter-
mines that there was a genuine, reason-
able, good faith dispute about the applica-
bility of one of the defenses set forth in 
paragraph (5); and 
‘‘(C) an award to the complainant of the 
complainant’s costs and reasonable attorney’s 
fees. 
‘‘(9) COURT PROCEEDINGS ON ENFORCEMENT 
OF COMMISSION ORDER.—
‘‘(A) IN GENERAL.—On entry by the Com-
mission of a final order granting relief under 
this subsection—
‘‘(i) a television broadcast station may 
apply within 30 days after such entry to 
the United States District Court for the 
District of Columbia for a final judgment 
enforcing all relief granted by the Commis-
sion; and 
‘‘(ii) the satellite carrier may apply 
within 30 days after such entry to the 
United States District Court for the Dis-
trict of Columbia for a judgment reversing 
the Commission’s order. 
‘‘(B) APPEAL.—
‘‘(i) For cases in which the Commis-
sion has not determined that there has 
been a genuine, reasonable, good faith dis-
pute about the applicability of one of the 
defenses set forth in paragraph (5), the 
procedure for an appeal under this sub-
paragraph by the satellite carrier shall su-
persede any other appeal rights under Fed-
eral or State law. The United States Dis-
trict Court for the District of Columbia
may find personal jurisdiction based on the 
satellite carrier’s ownership of licenses 
issued by the Commission. An application 
by a television broadcast station for an 
order enforcing any cease-and-desist relief 
granted by the Commission shall be re-
solved on a highly expedited schedule. No 
discovery may be conducted by the parties 
in any such proceeding. The district court 
shall enforce the Commission order unless 
the Commission record reflects manifest 
error and an abuse of discretion by the 
Commission. 
‘‘(ii) For cases in which the Commis-
sion has determined that there has been 
genuine, reasonable, good faith dispute 
about the applicability of one of the de-
fenses set forth in paragraph (5), the ap-
peals process set forth in section 402 shall 
apply, with the following caveats: 
‘‘(I) If the Commission has found 
the retransmissions in question to be 
in violation of this section, the sat-
ellite carrier must cease such retrans-
missions during the pendency of any
appeal. 
Any 
such 
retransmissions 
after the date of the Commission’s 
order but prior to any order over-
turning the Commission on appeal 
shall be considered violations under 
paragraph (6). 
‘‘(II) If the Commission has 
found the retransmissions in question 
to be not in violation of this section, 
the satellite carrier may continue such 
retransmissions during the pendency 
of the appeal. Any such retrans-
missions after the date of the Com-
mission’s order but prior to any order 
overturning the Commission on appeal 
shall not be considered violations 
under paragraph (6). 
‘‘(g) RULEMAKING.—
‘‘(1) 
REQUIREMENTS.—The 
Commission 
shall—
‘‘(A) commence a rulemaking proceeding 
to implement this section by publication of a 
notice of proposed rulemaking within 180 days 
after the date of enactment of the Satellite
Home Viewer Extension and Reauthorization 
Act of 2004; 
‘‘(B) include in such notice a list of the 
stations or communities eligible for carriage 
under subsection (a); and 
‘‘(C) adopt rules pursuant to such rule-
making within one year after such date of en-
actment. 
‘‘(2) INTERIM ELIGIBILITY.—Stations and com-
munities listed as eligible for carriage in the notice 
of proposed rulemaking issued by the Commission 
under paragraph (1) may be treated as eligible for 
carriage under this section on an interim basis pend-
ing adoption of such rules and publication of the list 
of eligible stations and communities under such 
rules. 
‘‘(h) ADDITIONAL CORRESPONDING CHANGES
IN 
REGULATIONS.—
‘‘(1) 
COMMUNITY-BY-COMMUNITY
ELEC-
TIONS.—The Commission shall, no later than April 
30, 2005, revise section 76.66 of its regulations (47 
C.F.R. 76.66), concerning satellite broadcast signal 
carriage, to permit (at the next cycle of elections 
under section 325) a television broadcast station 
that is located in a local market into which a sat-
ellite carrier retransmits a television broadcast sta-
tion on the basis of a statutory license under section 
122 of title 17, United States Code, to elect, with 
respect to such satellite carrier, between retrans-
mission consent pursuant to such section 325 and 
mandatory carriage pursuant to section 338 sepa-
rately for each county within such station’s local 
market, if—
‘‘(A) the satellite carrier has notified the 
station, pursuant to paragraph (3), that it in-
tends to carry another affiliate of the same net-
work pursuant to this section during the rel-
evant election period in the station’s local mar-
ket; or 
‘‘(B) on the date notification under para-
graph (3) was due, the satellite carrier was re-
transmitting into the station’s local market pur-
suant to this section an affiliate of the same tel-
evision network. 
‘‘(2) SINGLE
NEGOTIATIONS.—In revising its 
regulations as required by paragraph (1), the Com-
mission shall provide that any such station shall con-
duct a single negotiation for the entire portion of its 
local market for which retransmission consent is 
elected.
‘‘(3) ADDITIONAL PROVISIONS.—The Commis-
sion shall, no later than April 30, 2005, revise its 
regulations to provide the following: 
‘‘(A) NOTIFICATIONS BY SATELLITE CAR-
RIER.—A satellite carrier’s retransmission of 
television broadcast stations pursuant to this 
section shall be subject to the following limita-
tions: 
‘‘(i) In any local market in which the 
satellite carrier provides service on the 
basis of a statutory license under section 
122 of title 17, United States Code, on the 
date of enactment of the Satellite Home 
Viewer Extension and Reauthorization Act 
of 2004, the carrier may notify a television 
broadcast station in that market, at least 
60 days prior to any date on which the 
station must thereafter make an election 
under section 76.66 of the Commission’s 
regulations (47 C.F.R. 76.66), of—
‘‘(I) each affiliate of the same 
television network that the carrier re-
serves the right to retransmit into 
that station’s local market pursuant 
to this section during the next election
cycle under such section of such regu-
lations; and 
‘‘(II) for each such affiliate, the 
communities into which the satellite 
carrier reserves the right to make 
such retransmissions. 
‘‘(ii) In any local market in which the 
satellite carrier commences service on the 
basis of a statutory license under section 
122 of title 17, United States Code, after 
the date of enactment of the Satellite 
Home Viewer Extension and Reauthoriza-
tion Act of 2004, the carrier may notify a 
station in that market, at least 60 days 
prior to the introduction of such service in 
that market, and thereafter at least 60 
days prior to any date on which the station 
must thereafter make an election under 
section 76.66 of the Commission’s regula-
tions (47 C.F.R. 76.66), of each affiliate of 
the same television network that the car-
rier reserves the right to retransmit into 
that station’s local market during the next 
election cycle under such section of such 
regulations.
‘‘(iii) Beginning with the 2005 elec-
tion cycle, a satellite carrier may only re-
transmit pursuant to this section during 
the pertinent election period a signal—
‘‘(I) as to which it has provided 
the notifications set forth in clauses 
(i) and (ii); or 
‘‘(II) that it was retransmitting 
into the local market under this sec-
tion as of the date such notifications 
were due. 
‘‘(B) HARMONIZATION OF ELECTIONS AND 
RETRANSMISSION CONSENT AGREEMENTS.—If a 
satellite carrier notifies a television broadcast 
station that it reserves the right to retransmit 
an affiliate of the same television network dur-
ing the next election cycle pursuant to this sec-
tion, the station may choose between retrans-
mission consent and mandatory carriage for 
any portion of the 3-year election cycle that is 
not covered by an existing retransmission con-
sent agreement. 
‘‘(i) DEFINITIONS.—As used in this section: 
‘‘(1) LOCAL
MARKET; SATELLITE
CARRIER; 
SUBSCRIBER; TELEVISION
BROADCAST
STATION.—
The terms ‘local market’, ‘satellite carrier’, ‘sub-
scriber’, and ‘television broadcast station’ have the 
meanings given such terms in section 338(k). 
‘‘(2) NETWORK
STATION; TELEVISION
NET-
WORK.—The terms ‘network station’ and ‘television 
network’ have the meanings given such terms in sec-
tion 339(d). 
‘‘(3) 
BANDWIDTH.—The 
terms 
‘equivalent 
bandwidth’ and ‘entire bandwidth’ shall be defined 
by the Commission by regulation.’’. 
SEC. 203. CARRIAGE OF LOCAL STATIONS ON A SINGLE 
DISH. 
Section 338 of the Communications Act of 1934 (47 
U.S.C. 338(d)) is amended—
(1) by redesignating subsections (g) and (h) as 
subsections (j) and (k), respectively; 
(2) by inserting after subsection (f) the fol-
lowing new subsection: 
‘‘(g) CARRIAGE OF LOCAL STATIONS ON A SINGLE 
DISH.—
‘‘(1) SINGLE DISH.—Each satellite carrier that 
retransmits the signals of local television broadcast 
stations in a local market shall retransmit the sig-
nals of all local television broadcast stations retrans-
mitted by that carrier to subscribers in such market
by means of a single reception antenna and associ-
ated equipment. 
‘‘(2) EXCEPTION.—Notwithstanding paragraph 
(1), if the carrier retransmits signals in the digital 
television service, the carrier shall retransmit the 
digital television service signals of all the local tele-
vision broadcast stations retransmitted by that car-
rier to subscribers in such market by means of a sin-
gle reception antenna and associated equipment, but 
such antenna and associated equipment may be sep-
arate from the single reception antenna and associ-
ated equipment used for signals that are not in the 
digital television service. 
‘‘(3) EFFECTIVE DATE.—The requirements of 
paragraphs (1) and (2) of this subsection shall apply 
on and after one year after the date of enactment 
of the Satellite Home Viewer Extension and Reau-
thorization Act of 2004. 
‘‘(4) NOTICE OF DISRUPTIONS.—A carrier that 
is providing signals of a local television broadcast 
station in a local market under this section on the 
date of enactment of the Satellite Home Viewer Ex-
tension and Reauthorization Act of 2004 shall, not 
later than 270 days after such date of enactment, 
provide to the licensees for such stations and the
carrier’s subscribers in such local market a notice 
that displays prominently and conspicuously a clear 
statement of—
‘‘(A) any reallocation of signals between 
different reception antennas and associated 
equipment that the carrier intends to make in 
order to comply with the requirements of this 
subsection; 
‘‘(B) the need, if any, for subscribers to 
obtain an additional reception antenna and as-
sociated equipment to receive such signals; and 
‘‘(C) any cessation of carriage or other ma-
terial change in the carriage of signals as a con-
sequence of the requirements of this paragraph. 
‘‘(5) 
ENFORCEMENT.—Notwithstanding 
any 
other provision of this section, the Commission may 
enforce this section and any regulation thereunder in 
accordance with titles IV and V of this Act.’’. 
SEC. 204. REPLACEMENT OF DISTANT SIGNALS WITH 
LOCAL SIGNALS. 
Section 339(a) of the Communications Act of 1934 
(47 U.S.C. 339(a)) is amended—
(1) by redesignating paragraph (2) as para-
graph (3); and
(2) by inserting after paragraph (1) the fol-
lowing new paragraph: 
‘‘(2) REPLACEMENT OF DISTANT SIGNALS WITH 
LOCAL SIGNALS.—Notwithstanding any other provi-
sion of paragraph (1), the following rules shall apply 
after the date of enactment of the Satellite Home 
Viewer Extension and Reauthorization Act of 2004: 
‘‘(A) RULES FOR GRANDFATHERED SUB-
SCRIBERS.—In the case of a subscriber of a sat-
ellite carrier who is eligible to receive the signal 
of a network station solely by reason of section 
119(e) of title 17, United States Code (in this 
subparagraph referred to as a ‘distant 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 
pursuant to the statutory license under 
section 122 by that satellite carrier to the 
subscriber, the carrier may only provide 
the secondary transmissions of the distant 
signal of such network station to that sub-
scriber—
‘‘(I) if, within 60 days after re-
ceiving the notice of the satellite car-
signal’), other than subscribers to whom sub-
paragraph (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 
pursuant to the statutory license under 
section 122 by that satellite carrier to the 
subscriber on the date of the enactment of 
the Satellite Home Viewer Extension and 
Reauthorization Act of 2004, the carrier 
may only provide the secondary trans-
missions of the distant signal of such net-
work station to that subscriber—
‘‘(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 the date 
of the enactment of the Satellite 
Home Viewer Extension and Reau-
thorization Act of 2004, submits to 
that television network the list and 
statement 
required 
by 
section 
338(h)(2); 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 pursuant to the statutory license 
under section 122 by that satellite carrier 
to a subscriber on the date of the enact-
ment of the Satellite Home Viewer Exten-
sion and Reauthorization Act of 2004, the 
carrier may only provide the secondary 
transmissions of the distant signal of such 
network station to that subscriber—
‘‘(I) who is a 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 made 
available by the carrier, but only until
such time as the subscriber elects to 
receive the local signal from that sat-
ellite carrier. 
‘‘(C) FUTURE APPLICABILITY.—A satellite 
carrier may not provide a distant signal (within 
the meaning of subparagraph (A) or (B)) to 
any person in a location to which the signal of 
a local network station affiliated with the same 
television network was made available by that 
carrier pursuant to the statutory license under 
section 122 of title 17, United States Code, be-
fore the person becomes a subscriber to that 
carrier. 
‘‘(D) AUTHORITY TO GRANT STATION-SPE-
CIFIC
WAIVERS.—Notwithstanding the provi-
sions of this paragraph, a satellite carrier may 
provide the distant signal (within the meaning 
of subparagraph (A) or (B)) of any distant net-
work station to any person to whom the signal 
of a local network station is available pursuant 
to the statutory license under section 122 of 
title 17, United States Code, if and to the ex-
tent that such local network station has granted 
a waiver from the requirements of this para-
graph to such satellite carrier with respect to 
such distant network station. 
‘‘(E) 
OTHER
PROVISIONS
NOT
AF-
FECTED.—This paragraph shall not affect the 
eligibility of a subscriber to receive secondary 
transmissions under section 119(a)(3) of title 
17, United States Code, or as an unserved 
household included under section 119(a)(12) of 
such title.’’. 
SEC. 205. ADDITIONAL NOTICES TO SUBSCRIBERS, NET-
WORKS, AND STATIONS CONCERNING SIGNAL 
CARRIAGE. 
Section 338 of the Communications Act of 1934 (47 
U.S.C. 338) is further amended by inserting after sub-
section (g) (as added by section 203) the following new 
subsection: 
‘‘(h) ADDITIONAL NOTICES TO SUBSCRIBERS, NET-
WORKS, 
AND
STATIONS
CONCERNING
SIGNAL
CAR-
RIAGE.—
‘‘(1) NOTICES
TO
AND
ELECTIONS
BY
SUB-
SCRIBERS
CONCERNING
GRANDFATHERED
SIG-
NALS.—Any carrier that provides a distant signal of 
a network station to a subscriber pursuant to a stat-
utory license under section 119(a)(4)(A) of title 17, 
United States Code, shall—
‘‘(A) within 60 days after the local signal 
of a network station of the same television net-
work is available pursuant to a statutory license 
under section 122, or within 60 days after the 
date of enactment of the Satellite Home Viewer 
Extension and Reauthorization Act of 2004, 
whichever is later, send a notice to the sub-
scriber—
‘‘(i) offering to substitute the local 
network signal for the duplicating distant 
network signal; and 
‘‘(ii) informing the subscriber that, if 
the subscriber fails to respond in 60 days, 
the subscriber will lose the distant network 
signal but will be permitted to subscribe to 
the local network signal; and 
‘‘(B) if the subscriber—
‘‘(i) elects to substitute such local net-
work signal within such 60 days, switch 
such subscriber to such local network sig-
nal within 10 days after the end of such 
60-day period; or 
‘‘(ii) fails to respond within such 60 
days, terminate the distant network signal
within 10 days after the end of such 60-
day period. 
‘‘(2) NOTICES TO NETWORKS OF DISTANT SIG-
NAL SUBSCRIBERS.—Within 60 days after the date 
of enactment of the Satellite Home Viewer Exten-
sion and Reauthorization Act of 2004, each satellite 
carrier that provides a distant signal of a network 
station to a subscriber pursuant to a statutory li-
cense under section 119(a)(4)(A) or 119(a)(4)(B)(i) 
of title 17, United States Code, shall submit to each 
network—
‘‘(A) a list, aggregated by designated mar-
ket area, identifying each subscriber provided 
such a signal by—
‘‘(i) name; 
‘‘(ii) address (street or RFD number, 
city, state, and zip code); and 
‘‘(iii) the distant network signal or 
signals received; and 
‘‘(B) a statement that, to the best of the 
carrier’s knowledge and belief after having 
made diligent and good faith inquiries, the sub-
scriber is qualified under the existing law to re-
ceive the distant network signal or signals pur-
suant to a statutory license under section
119(a)(4)(A) or 119(a)(4)(B)(i) of title 17, 
United States Code. 
‘‘(3) NOTICE TO STATION LICENSEES OF COM-
MENCEMENT OF LOCAL-INTO-LOCAL SERVICE.—
‘‘(A) NOTICE
REQUIRED.—Within 180 
days after the date of enactment of the Satellite 
Home Viewer Extension and Reauthorization 
Act of 2004, the Commission shall revise the 
regulations under this section relating to notice 
to broadcast station licensees to comply with 
the requirements of this paragraph. 
‘‘(B) CONTENTS OF COMMENCEMENT NO-
TICE.—The notice required by such regulations 
shall inform each television broadcast station li-
censee within any local market in which a sat-
ellite carrier proposes to commence carriage of 
signals of stations from that market, not later 
than 60 days prior to the commencement of 
such carriage—
‘‘(i) of the carrier’s intention to 
launch local-into-local service under this 
section in a local market, the identity of 
that local market, and the location of the 
carrier’s proposed local receive facility for 
that local market;
‘‘(ii) of the right of such licensee to 
elect carriage under this section or grant 
retransmission 
consent 
under 
section 
325(b); 
‘‘(iii) that such licensee has 30 days 
from the date of the receipt of such notice 
to make such election; and 
‘‘(iv) that failure to make such elec-
tion will result in the loss of the right to 
demand carriage under this section for the 
remainder of the 3-year cycle of carriage 
under section 325. 
‘‘(C) TRANSMISSION
OF
NOTICES.—Such 
regulations shall require that each satellite car-
rier shall transmit the notices required by such 
regulation via certified mail to the address for 
such television station licensee listed in the con-
solidated database system maintained by the 
Commission. 
‘‘(4) NOTICES
CONCERNING
SIGNIFICANTLY 
VIEWED STATIONS.—Each satellite carrier that pro-
poses to commence the retransmission of a station 
pursuant to section 340 in any local market shall—
‘‘(A) not less than 60 days before com-
mencing such retransmission, provide a written
notice to any television broadcast station in 
such local market of a such proposal; and 
‘‘(B) designate on such carrier’s website all 
significantly viewed signals carried pursuant to 
section 340 and the communities in which the 
signals are carried.’’. 
SEC. 206. PRIVACY RIGHTS OF SATELLITE SUBSCRIBERS. 
(a) AMENDMENT.—Section 338 of the Communica-
tions Act of 1934 (47 U.S.C. 338) is further amended by 
inserting after subsection (h) (as added by section 205) 
the following new subsection: 
‘‘(i) 
PRIVACY
RIGHTS
OF
SATELLITE
SUB-
SCRIBERS.—
‘‘(1) NOTICE.—At the time of entering into an 
agreement to provide any satellite service or other 
service to a subscriber and at least once a year 
thereafter, a satellite carrier shall provide notice in 
the form of a separate, written statement to such 
subscriber which clearly and conspicuously informs 
the subscriber of—
‘‘(A) the nature of personally identifiable 
information collected or to be collected with re-
spect to the subscriber and the nature of the 
use of such information;
‘‘(B) the nature, frequency, and purpose of 
any disclosure which may be made of such in-
formation, including an identification of the 
types of persons to whom the disclosure may be 
made; 
‘‘(C) the period during which such infor-
mation will be maintained by the satellite car-
rier; 
‘‘(D) the times and place at which the sub-
scriber may have access to such information in 
accordance with paragraph (5); and 
‘‘(E) the limitations provided by this sec-
tion with respect to the collection and disclosure 
of information by a satellite carrier and the 
right of the subscriber under paragraphs (7) 
and (9) to enforce such limitations. 
In the case of subscribers who have entered into 
such an agreement before the effective date of this 
subsection, such notice shall be provided within 180 
days of such date and at least once a year there-
after. 
‘‘(2) DEFINITIONS.—For purposes of this sub-
section, other than paragraph (9)—
‘‘(A) the term ‘personally identifiable infor-
mation’ does not include any record of aggre-
gate data which does not identify particular 
persons; 
‘‘(B) the term ‘other service’ includes any 
wire or radio communications service provided 
using any of the facilities of a satellite carrier 
that are used in the provision of satellite serv-
ice; and 
‘‘(C) the term ‘satellite carrier’ includes, in 
addition to persons within the definition of sat-
ellite carrier, any person who—
‘‘(i) is owned or controlled by, or 
under common ownership or control with, 
a satellite carrier; and 
‘‘(ii) provides any wire or radio com-
munications service. 
‘‘(3) PROHIBITIONS.—
‘‘(A) CONSENT TO COLLECTION.—Except 
as provided in subparagraph (B), a satellite 
carrier shall not use any facilities used by the 
satellite carrier to collect programming selection 
or subscription information from such a sub-
scriber to collect personally identifiable informa-
tion concerning any subscriber without the prior 
written or electronic consent of the subscriber 
concerned.
‘‘(B) EXCEPTIONS.—A satellite carrier 
may use such facilities to collect such informa-
tion in order to—
‘‘(i) obtain information necessary to 
render a satellite service or other service 
provided by the satellite carrier to the sub-
scriber; or 
‘‘(ii) detect unauthorized reception of 
satellite communications. 
‘‘(4) DISCLOSURE.—
‘‘(A) CONSENT TO DISCLOSURE.—Except 
as provided in subparagraph (B), a satellite 
carrier shall not disclose personally identifiable 
information concerning any subscriber without 
the prior written or electronic consent of the 
subscriber concerned and shall take such ac-
tions as are necessary to prevent unauthorized 
access to such information by a person other 
than the subscriber or satellite carrier. 
‘‘(B) EXCEPTIONS.—A satellite carrier 
may disclose such information if the disclosure 
is—
‘‘(i) necessary to render, or conduct a 
legitimate business activity related to, a
satellite service or other service provided 
by the satellite carrier to the subscriber; 
‘‘(ii) subject to paragraph (9), made 
pursuant to a court order authorizing such 
disclosure, if the subscriber is notified of 
such order by the person to whom the 
order is directed; 
‘‘(iii) a disclosure of the names and 
addresses of subscribers to any satellite 
service or other service, if—
‘‘(I) the satellite carrier has pro-
vided the subscriber the opportunity 
to prohibit or limit such disclosure; 
and 
‘‘(II) the disclosure does not re-
veal, directly or indirectly, the—
‘‘(aa) extent of any viewing 
or other use by the subscriber of 
a satellite service or other service 
provided by the satellite carrier; 
or 
‘‘(bb) the nature of any 
transaction made by the sub-
scriber over any facilities used by 
the satellite carrier to collect pro-
gramming selection or subscrip-
tion information from such a 
subscriber; or 
‘‘(iv) to a government entity as au-
thorized under chapters 119, 121, or 206 
of title 18, United States Code, except that 
such disclosure shall not include records 
revealing satellite subscriber selection of 
video programming from a satellite carrier. 
‘‘(5) ACCESS BY SUBSCRIBER.—A satellite sub-
scriber shall be provided access to all personally 
identifiable information regarding that subscriber 
which is collected and maintained by a satellite car-
rier. Such information shall be made available to the 
subscriber at reasonable times and at a convenient 
place designated by such satellite carrier. A satellite 
subscriber shall be provided reasonable opportunity 
to correct any error in such information. 
‘‘(6) DESTRUCTION OF INFORMATION.—A sat-
ellite carrier shall destroy personally identifiable in-
formation if the information is no longer necessary 
for the purpose for which it was collected and there 
are no pending requests or orders for access to such 
information under paragraph (5) or pursuant to a 
court order.
‘‘(7) PENALTIES.—Any person aggrieved by 
any act of a satellite carrier in violation of this sec-
tion may bring a civil action in a United States dis-
trict court. The court may award—
‘‘(A) actual damages but not less than liq-
uidated damages computed at the rate of $100 
a day for each day of violation or $1,000, 
whichever is higher; 
‘‘(B) punitive damages; and 
‘‘(C) reasonable attorneys’ fees and other 
litigation costs reasonably incurred. 
The remedy provided by this subsection shall be in 
addition to any other lawful remedy available to a 
satellite subscriber. 
‘‘(8) RULE
OF
CONSTRUCTION.—Nothing in 
this title shall be construed to prohibit any State 
from enacting or enforcing laws consistent with this 
section for the protection of subscriber privacy. 
‘‘(9) COURT ORDERS.—Except as provided in 
paragraph (4)(B)(iv), a governmental entity may ob-
tain personally identifiable information concerning a 
satellite subscriber pursuant to a court order only if, 
in the court proceeding relevant to such court 
order—
‘‘(A) such entity offers clear and con-
vincing evidence that the subject of the infor-
mation is reasonably suspected of engaging in 
criminal activity and that the information 
sought would be material evidence in the case; 
and 
‘‘(B) the subject of the information is af-
forded the opportunity to appear and contest 
such entity’s claim.’’. 
(b) EFFECTIVE DATE.—Section 338(i) of the Com-
munications Act of 1934 (47 U.S.C. 338(i)) as amended 
by subsection (a) of this section shall be effective 60 days 
after the date of enactment of this Act. 
SEC. 207. RECIPROCAL BARGAINING OBLIGATIONS. 
(a) AMENDMENTS.—Section 325(b)(3)(C) of the 
Communications Act of 1934 (47 U.S.C. 325(b)(3)(C)) is 
amended—
(1) by striking ‘‘Within 45 days’’ and all that 
follows through ‘‘1999, the’’ and inserting ‘‘The’’; 
(2) by striking the second sentence; 
(3) by striking ‘‘and’’ at the end of clause (i); 
(4) in clause (ii)—
(A) by striking ‘‘January 1, 2006’’ and in-
serting ‘‘January 1, 2010’’; and
(B) by striking the period at the end and 
inserting ‘‘; and’’; and 
(5) by adding at the end the following new 
clauses: 
‘‘(iii) until January 1, 2010, prohibit 
a multichannel video programming dis-
tributor from failing to negotiate in good 
faith for retransmission consent under this 
section, and it shall not be a failure to ne-
gotiate in good faith if the distributor en-
ters into retransmission consent agree-
ments containing different terms and con-
ditions, including price terms, with dif-
ferent broadcast stations if such different 
terms and conditions are based on com-
petitive marketplace considerations.’’. 
(b) DEADLINE.—The Federal Communications Com-
mission shall prescribe regulations to implement the 
amendments made by subsection (a)(5) within 180 days 
after the date of enactment of this Act. 
SEC. 208. UNSERVED DIGITAL CUSTOMERS. 
(a) INQUIRY REQUIRED.—Consistent with the digital 
television service rules of Federal Communications Com-
mission in effect on the date of enactment of this Act, 
and the propagation prediction models derived from Bul-
letin No. 69 of the Commission’s Office of Engineering 
and Technology, the Commission shall initiate an inquiry 
to recommend the appropriate methodologies for deter-
mining which consumers are in locations where the con-
sumer will be unable, on and after the date on which ana-
log television services are discontinued pursuant to the 
provisions of section 309(j)(14) of the Communications 
Act of 1934 (47 U.S.C. 309(j)(14)), to receive broadcast 
digital television service signals that are transmitted from 
a station’s permanent digital television channel that are 
of sufficient intensity to be able to receive and display dig-
ital television service using receiving terrestrial outdoor 
antennas of reasonable cost and ease of installation. Such 
methodologies shall be based on the current field strength 
requirements for digital television stations in section 
73.622(e)(1) of the Commission’s regulations (47 C.F.R. 
622(e)(1)). 
(b) REPORT REQUIRED.—The Federal Communica-
tions Commission shall submit a report on the results of 
the inquiry required by subsection (a) to the Committee 
on Energy and Commerce of the House of Representatives 
and the Committee on Commerce, Science, and Transpor-
tation of the Senate not later than December 31, 2005. 
Such report shall include—
SEC. 209. REDUCTION OF REQUIRED TESTS. 
Section 339(c)(4) of the Communications Act of 1934 
(47 U.S.C. 339(c)(4)) is amended by inserting after sub-
paragraph (C) the following new subparagraphs: 
‘‘(D) REDUCTION OF VERIFICATION BUR-
DENS.—Within one year after the date of enact-
ment of the Satellite Home Viewer Extension 
and Reauthorization Act of 2004, the Commis-
sion shall by rule exempt from the verification 
requirements of subparagraph (A) any request 
for a test made by a subscriber to a satellite 
carrier—
‘‘(i) to whom the retransmission of 
the signals of local broadcast stations is 
available under section 122 of title 17, 
United States Code, from such carrier; or 
‘‘(ii) for whom the predictive model 
required by paragraph (3) predicts a signal 
intensity that exceeds the signal intensity 
standard 
in 
effect 
under 
section 
119(d)(11)(A) of such title by such num-
ber of decibels as the Commission specifies 
in such rule. 
‘‘(E) EXCEPTION.—Notwithstanding any 
provision of this Act, this section does not pro-
hibit a subscriber who is predicted to receive a
signal that meets or exceeds such signal inten-
sity standard from conducting a signal strength 
test at the subscriber’s own expense for the 
purpose of determining their eligibility for dis-
tant signals under this section.’’. 
SEC. 210. CARRIAGE OF CERTAIN ADDITIONAL STATIONS. 
Section 340 of the Communications Act of 1934, as 
added by section 202(a) of this Act, is amended by insert-
ing at the end of subsection (c) the following new para-
graph: 
‘‘(3) CARRIAGE OF CERTAIN ADDITIONAL STA-
TIONS.—
‘‘(A) 
ADDITIONAL
STATIONS
AUTHOR-
IZED.—In addition to the signals that are eligi-
ble to be carried under subsection (a) and para-
graph (2) of this subsection, a satellite carrier 
is also authorized to retransmit to subscribers 
in no more than two counties in a State that 
are in a local market principally comprised of 
counties in another State, the signals of any tel-
evision station located in the capital city of the 
State in which such counties are located, if the 
total number of television households in the two 
counties combined did not exceed 10,000 for
the year 2003 according to Nielson Media Re-
search. 
‘‘(B) 
TREATMENT
AS
SIGNIFICANTLY 
VIEWED; LIMITATIONS.—Such signals shall be 
deemed, solely for purposes of this section, to 
be significantly viewed in such two counties. In 
total, a satellite carrier that carries one or more 
additional signals under this paragraph may re-
transmit no more than four television broadcast 
stations in such counties pursuant to this para-
graph. All rules applicable to carriage of sta-
tions pursuant to subsection (a) or paragraph 
(2) of this subsection shall apply to carriage of 
stations pursuant to this paragraph.’’.
Union Calendar No. 379
108TH CONGRESS 
2D SESSION 
H. R. 4501
[Report No. 108–634] 
A BILL 
To extend the statutory license for secondary trans-
missions under section 119 of title 17, United 
States Code, and to amend the Communications 
Act of 1934 with respect to such transmissions, 
and for other purposes. 
JULY 22, 2004
Committed to the Committee of the Whole House on the 
State of the Union and ordered to be printed