UPDATE

November 21, 2011 

FCC Open Internet Order Rules Went Into Effect Yesterday

The FCC’s “Net Neutrality” regulations, adopted in its December 2010 Open Internet Order, became effective yesterday, November 20, 2011.  If your company provides broadband Internet service and has not yet posted disclosures prominently on your website, you should take steps to create and post such consumer disclosures as quickly as possible.  

A short overview of the new rules follows. 

For the first time, the regulations impose affirmative disclosure obligations on broadband ISPs.  Disclosures must cover service characteristics, network performance, network management techniques and privacy protections.  All providers will need to examine their existing service descriptions and disclosures to ensure conformity with the new requirements, and place these disclosures prominently on their websites. 

Specifically, the FCC adopted three “high-level” rules:  transparency, no blocking, and no unreasonable discrimination.  The new rules also establish both informal and formal complaint processes for potential violations.  The most immediate impact of the rules is the first time imposition of specific consumer disclosure obligations on broadband ISPs under the “transparency” requirement:  

• Broadband ISPs must publicly disclose information regarding network management practices, network performance, and commercial terms of the broadband Internet access service sufficient for consumers to make informed choices and for third party applications, services and device makers to develop, maintain and market their Internet offerings.  
• Disclosures must appear on the broadband ISP’s website and be provided at the point of sale.   
• The level of detail is left to providers to determine.  

If you have questions about the proposed transparency rule, or would like more information on how your company can begin to prepare a disclosure statement, please contact Chris Cinnamon at (312) 372-3930, Barbara Esbin at (202) 872-6811, or James Moskowitz at (202) 872-6881. 

FCC Mails Equal Employment Opportunity (“EEO”) Audit Letters to MVPDs

On November 16, 2011, the FCC’s Media Bureau released a public notice announcing that it has mailed its EEO audit letters to randomly selected MVPDs.  Each year, the FCC randomly selects about 5% of MVPDs to complete EEO audits.  

If you have been selected for an audit this year and have questions about the audit process or need assistance responding to the audit request, please contact Scott Friedman at (312) 372-3930. 

first QUARTER 2012 Reminders

Copyright Forms and Fees Due March 1, 2012

Cable operators must file with the U.S. Copyright Office their Statement of Account (Form SA1-2 or SA3) and pay any royalty fees due for the July 2011 – December 2011 accounting period by March 1, 2012.  

The following forms apply:  

• SA1-2 Short Form. For use by cable television systems with semiannual gross receipts of less than $527,600. 
• SA3 Long Form. For use by cable television systems with semiannual gross receipts of $527,600 or more. 

Copyright royalty fees must be remitted by electronic payment. 

Note:  Cable operators must now report all distant multicast streams.  The 2010 Satellite Television Extension and Localism Act amended the definition of “primary transmission” to include both the primary stream and any multicast streams (simulcasts are excluded), and delayed the applicability of distant multicast streams until the July 2010 – December 2010 accounting period. 

If you have any questions about copyright forms or fees, please contact Heidi Schmid at (312) 372-3930. 

CPNI Officer’s Certificate Due On or Before March 1, 2012

The FCC’s CPNI rules require that an officer of an interconnected VoIP provider file an annual certificate with the FCC stating that the officer has personal knowledge that the provider has established operating procedures adequate to ensure compliance with the FCC’s CPNI rules.  The carrier must also provide a statement explaining how its operating procedures ensure that it is in compliance with the FCC’s CPNI rules.  The annual certificate for 2011 must be filed on or before March 1, 2012. 

The provider must also include, if applicable, an explanation of any actions taken against data brokers and a summary of all customer complaints concerning the unauthorized release of CPNI received in the past year.  The officer’s certificate, as well as the information noted above, must be filed in and reference EB Docket No. 06-36. 

In past years, the FCC has issued Public Notices in January and February offering further guidance regarding the filing of the officer’s certificate, including an acceptable sample form.  Use of the sample form is not mandatory provided all required information is included.  

If you have any questions regarding CPNI or the filing of the officer’s certificate, please contact Bruce Beard at (636) 778-0646. 

Form 477 Due March 1, 2012 

FCC Form 477 is due on March 1, 2012.  Operators are required to include information about broadband connections and local telephone service as of December 31, 2011.   Filing instructions and a link to the electronic filing system are available at http://www.fcc.gov/form477/.  

As a reminder, broadband providers must provide the following information: 

• The number of broadband connections in individual census tracts, broken down by technology type and upload and download speed.
• The percentage of broadband connections that is residential. 

 Moreover, interconnected VoIP providers must report the following information: 

• The number of subscribers served (both end-user and resale).
• The percentage of subscribers that is residential.
• Whether the service is provided over a broadband connection provided by the filer or the filer’s affiliate. 
• A list of the 5-digit zip codes in which the filer has at least one subscriber.
• Whether the service is fixed or nomadic. 

If you have any questions about Form 477, please contact Scott Friedman at (312) 372-3930.

__________________________________________________________________________________

Please visit our website at www.cinnamonmueller.com http://www.cinnamonmueller.com to learn more about our lawyers and practice.  You can reach Cinnamon Mueller at (312) 372-3930.  This update is provided by the law firm of Cinnamon Mueller.  The document is intended for informational purposes only as a service to clients of Cinnamon Mueller and to the members of the American Cable Association.  It is not intended to provide specific legal advice or to substitute obtaining appropriate legal counsel.  We encourage you to consult with counsel to address special compliance issues and for assistance in negotiating or handling any such matter referred to in the update. 

UPDATE

November 4, 2011 

FCC Nationwide Emergency Alert System Test Wednesday, November 9, 2011

The FCC will conduct the first nationwide test of the Emergency Alert System (EAS) on November 9, 2011, at 2 p.m. EST.  All EAS Participants must report the results of the national test to the FCC.  

Last week, the FCC released a public notice outlining the reporting requirements.  Under the reporting system, EAS participants must complete three forms.  All three forms may be completed online (http://apps.fcc.gov/easnt/home1.cfm) and must be submitted no later than December 27, 2011. 

Form 1:  Collects background information, including EAS system and equipment information and EAS point-of-contact information.  Complete prior to November 9, 2011 

Form 2:  Collects information on whether the National EAS Test alert code was received and rebroadcast.  Complete on November 9, 2011 

Form 3:  Collects information regarding receipt and rebroadcasting of the alert code, including an explanation of any complications in receiving or rebroadcasting the code.  Complete between November 9 and December 27, 2011 

In addition, the FCC also released the Nationwide EAS Test Handbook.  EAS participants must place the handbook at all EAS equipment locations and make it immediately available to all staff responsible for administering the EAS test.  The Handbook is available here: http://transition.fcc.gov/pshs/eas/EAS%20Handbook%20-%20National%20Test.pdf. 

If you have questions about preparing your cable system for the nationwide EAS test, please contact Scott Friedman at (312) 372-3930 or Bruce Beard at (314) 394-1535. 

FCC Open Internet Order Rules Effective November 20, 2011

The FCC’s “Net Neutrality” regulations, adopted in its December 2010 Open Internet Order, become effective November 20, 2011.  

For the first time, the regulations impose affirmative disclosure obligations on broadband ISPs.  Disclosures must cover service characteristics, network performance, network management techniques and privacy protections.  All providers will need to examine their existing service descriptions and disclosures to ensure conformity with the new requirements, and place these disclosures prominently on their websites. 

Specifically, the FCC adopted three “high-level” rules:  transparency, no blocking, and no unreasonable discrimination.  The new rules also establish both informal and formal complaint processes for potential violations.  The most immediate impact of the rules is the first time imposition of specific consumer disclosure obligations on broadband ISPs under the “transparency” requirement:  

• Broadband ISPs must publicly disclose information regarding network management practices, network performance, and commercial terms of the broadband Internet access service sufficient for consumers to make informed choices and for third party applications, services and device makers to develop, maintain and market their Internet offerings.  
• Disclosures must appear on the broadband ISP’s website and be provided at the point of sale.   
• The level of detail is left to providers to determine.  

Broadband ISPs should begin their compliance efforts immediately by reviewing their network management practices, acceptable use policies, terms of service, privacy policies, and other customer disclosures.  Providers that do not already have notices posted prominently on their websites should take steps to create and post such consumer disclosures as quickly as possible.  

If you have questions about the proposed transparency rule, or would like more information on how your company can begin to prepare a disclosure statement, please contact Chris Cinnamon at (312) 372-3930, Barbara Esbin at (202) 872-6811, or James Moskowitz at (202) 872-6881.

Preparing For Retransmission Consent 

Bargaining in Good Faith

The FCC’s rules obligate television broadcast stations and MVPDs to negotiate in good faith the terms and conditions of retransmission consent agreements.  The FCC issued regulations addressing retransmission consent negotiations following enactment of the 1999 Satellite Home Viewer Improvement Act, and amended these “good faith negotiation regulations” pursuant to the 2004 Satellite Home Viewer Extension and Reauthorization. 

Under the FCC’s rules, the following actions or practices violate a broadcast television stations or MVPDs duty to negotiate retransmission consent agreements in good faith:  

• Refusal to negotiate retransmission consent;
• Refusal to designate a representative with authority to make binding representations;
• Refusal to meet and negotiate at reasonable times and locations, or acting in a manner that unreasonably delays retransmission consent negotiations;
• Refusal to put forth more than a single, unilateral proposal;
• Failure to respond to a proposal of the other party, including the reasons for the rejection of any such proposal;
• Execution of an agreement that prevents a party from entering into a retransmission consent agreement with any other television broadcast station or MVPD; and
• Refusal to execute a written agreement that sets forth the full understanding of the parties. 

In addition, a television broadcast station or MVPD may demonstrate, based on the totality of the circumstances of a particular retransmission consent negotiation, that the opposing party breached its duty to negotiate in good faith. 

If you have questions about the FCC’s good faith rules, or retransmission consent negotiations in general, please contact Heidi Schmid or Scott Friedman at (312) 372-3930, or Bruce Beard at (314) 394-1535.

Cinnamon Mueller News 

Telco TV Presentation.  On October 27, 2011, CM Partner Chris Cinnamon participated in a panel titled “Compelling Content That is Affordable” at the 10^th annual Telco TV conference in New Orleans.  

PLI Faculty.  CM attorney Barbara Esbin will again participate as a speaker at the Practising Law Institute’s (“PLI”) Broadband and Cable Industry Law Seminar, scheduled for January 30-31, 2012 in New York City.   Barbara will discuss the need for the FCC to reform its retransmission consent framework and adopt additional good faith rules to address pressing problems in the market for broadcast signal carriage. 

Melanie McMullen joins the firm.  We would like to extend a warm welcome to Melanie McMullen.  Melanie joins Cinnamon Mueller with over twenty years of experience in the cable television industry.  Before joining Cinnamon Mueller, Melanie was in-house counsel for the National Cable Television Cooperative and Directory of Regulatory Affairs for Time Warner Cable, and also served as outside counsel to a number of cable and telecommunications providers.  Melanie is a graduate of Central Missouri State University and the University of Kansas School of Law.  Welcome, Melanie!

__________________________________________________________________________________

Please visit our website at www.cinnamonmueller.com http://www.cinnamonmueller.com to learn more about our lawyers and practice.  You can reach Cinnamon Mueller at (312) 372-3930.  This update is provided by the law firm of Cinnamon Mueller.  The document is intended for informational purposes only as a service to clients of Cinnamon Mueller and to the members of the American Cable Association.  It is not intended to provide specific legal advice or to substitute obtaining appropriate legal counsel.  We encourage you to consult with counsel to address special compliance issues and for assistance in negotiating or handling any such matter referred to in the update. 

UPDATE

October 14, 2011 

FCC Open Internet Order Rules Effective November 20, 2011

            The FCC’s “Net Neutrality” regulations, adopted in its December 2010 Open Internet Order, become effective November 20, 2011.  

            For the first time, the regulations impose affirmative disclosure obligations on broadband ISPs.  Disclosures must cover service characteristics, network performance, network management techniques and privacy protections.  All providers will need to examine their existing service descriptions and disclosures to ensure conformity with the new requirements, and place these disclosures prominently on their websites. 

           Specifically, the FCC adopted three “high-level” rules:  transparency, no blocking, and no unreasonable discrimination.  The new rules also establish both informal and formal complaint processes for potential violations.  The most immediate impact of the rules is the first time imposition of specific consumer disclosure obligations on broadband ISPs under the “transparency” requirement:  

• Broadband ISPs must publicly disclose information regarding network management practices, network performance, and commercial terms of the broadband Internet access service sufficient for consumers to make informed choices and for third party applications, services and device makers to develop, maintain and market their Internet offerings.  
• Disclosures must appear on the broadband ISP’s website and be provided at the point of sale.   
• The level of detail is left to providers to determine.  

            Broadband ISPs should begin their compliance efforts immediately by reviewing their network management practices, acceptable use policies, terms of service, privacy policies, and other customer disclosures.  Providers that do not already have notices posted prominently on their websites should take steps to create and post such consumer disclosures as quickly as possible.  

            If you have questions about the proposed transparency rule, or would like more information on how your company can begin to prepare a disclosure statement, please contact Chris Cinnamon at (312) 372-3930, Barbara Esbin at (202) 872-6811, or James Moskowitz at (202) 872-6881. 

FCC Nationwide Emergency Alert System Test Date Approaching:  November 9, 2011 

            The FCC will conduct the first nationwide test of the Emergency Alert System (EAS) on November 9, 2011, at 2 p.m. EST.  

            EAS participants currently participate in state-level monthly tests and local-level weekly tests.  The FCC, along with the Federal Emergency Management Agency, will use the results of the first nationwide test to assess EAS system functionality and determine if improvements need to be made to the system.   

            Pursuant to the FCC’s rules, all EAS Participants must report back to the FCC on the results of this test, including whether, and from whom, they received the alert message and whether they rebroadcast it.  The FCC will post instructions on how to report, as well as release further information, through the FCC’s nationwide test website (www.fcc.gov/nationwideEAStest).  

            If you have questions about preparing your cable system for the nationwide EAS test, please contact Scott Friedman at (312) 372-3930 or Bruce Beard at (314) 394-1535.

Preparing For Retransmission Consent

 Network Non-Duplication and Syndicated Exclusivity 

            Our last update outlined the requirements for a commercial broadcast station to properly elect retransmission consent.  In this update, we briefly cover the FCC’s broadcast exclusivity regulations – network non-duplication and syndicated exclusivity. 

            Television broadcast station licensees affiliated with broadcast networks often receive, through their affiliation agreement, exclusive rights to distribute certain network programming within a specified geographic area.  Television station licensees may also exercise exclusivity rights in accordance with the contractual provisions of their syndicated program license agreements.  

            In short, when a broadcaster receives exclusive rights by contract, the station can use the FCC’s rules to prevent cable systems from carrying duplicate programming.  

Notice Requirements.  The network non-duplication and syndicated exclusivity rules require that, following proper notice from a station, a cable operator must delete duplicating programming in a community that falls within a station’s protected zone.  A broadcaster’s failure to meet the FCC’s notice requirements can lead to forfeited network non-duplication or syndicated exclusivity rights. 

Extent of Protection.  In general, a broadcast station’s protected zone extends 35 miles from the station’s community of license reference point.  For network non-duplication purposes, smaller market stations receive an extra 20 mile secondary zone. 

Exceptions.  Several exceptions may trump a broadcaster’s assertion of network non-duplication or syndicated exclusivity, including: 

• Small systems.  The network non-duplication and syndicated exclusivity rules do not apply to cable systems with fewer than 1,000 subscribers.   
• Significantly viewed stations.  A cable system need not delete the duplicate network or syndicated programming of any television station “significantly viewed.”   

           If you have questions about the FCC’s broadcast exclusivity rules, or retransmission consent negotiations in general, please contact Heidi Schmid or Scott Friedman at (312) 372-3930, or Bruce Beard at (314) 394-1535.

__________________________________________________________________________________

Please visit our website at www.cinnamonmueller.com http://www.cinnamonmueller.com to learn more about our lawyers and practice.  You can reach Cinnamon Mueller at (312) 372-3930.  This update is provided by the law firm of Cinnamon Mueller.  The document is intended for informational purposes only as a service to clients of Cinnamon Mueller and to the members of the American Cable Association.  It is not intended to provide specific legal advice or to substitute obtaining appropriate legal counsel.  We encourage you to consult with counsel to address special compliance issues and for assistance in negotiating or handling any such matter referred to in the update. 

UPDATE

September 30, 2011 

FCC Open Internet Order Rules Effective November 20, 2011

            The FCC recently published the “Net Neutrality” regulations adopted in its December 2010 Open Internet Order in the Federal Register, triggering a 60-day countdown until the new rules become effective.  That date?  November 20, 2011.  

           For the first time, the regulations impose affirmative disclosure obligations on broadband ISPs.  Disclosures must cover service characteristics, network performance, network management techniques and privacy protections.  All providers will need to examine their existing service descriptions and disclosures to ensure conformity with the new requirements, and place these disclosures prominently on their websites. 

           Specifically, the FCC adopted three “high-level” rules:  transparency, no blocking, and no unreasonable discrimination.  The new rules also establish both informal and formal complaint processes for potential violations.  The most immediate impact of the rules is the first time imposition of specific consumer disclosure obligations on broadband ISPs under the “transparency” requirement:  

• Broadband ISPs must publicly disclose information regarding network management practices, network performance, and commercial terms of the broadband Internet access service sufficient for consumers to make informed choices and for third party applications, services and device makers to develop, maintain and market their Internet offerings.  
• Disclosures must appear on the broadband ISP’s website and be provided at the point of sale.   
• The level of detail is left to providers to determine.  

            Broadband ISPs should begin their compliance efforts immediately by reviewing their network management practices, acceptable use policies, terms of service, privacy policies, and other customer disclosures.  Providers that do not already have notices posted prominently on their websites should take steps to create and post such consumer disclosures as quickly as possible.  

           If you have questions about the proposed transparency rule, or would like more information on how your company can begin to prepare a disclosure statement, please contact Chris Cinnamon at (312) 372-3930, Barbara Esbin at (202) 872-6811, or James Moskowitz at (202) 872-6881.

Signal Leakage Reports Due by December 31, 2011 

           If your system uses aeronautical frequencies, you must conduct signal leakage measurements and file FCC Form 320 at least once each calendar year.  The form should be filed within 45 days of testing so that the most current CLI information is on record with the Commission.  In the past, the FCC has fined cable operators for violating the signal leakage rules, even when a third party caused the signal leakage.  

           FCC Form 320 must be filed electronically through the FCC’s Cable Operations and Licensing System (COALS).  To access COALS, go to http://fcc.gov/coals.  

           If you have questions about FCC Form 320, please contact Scott Friedman at (312) 372-3930.

Preparing For Retransmission Consent 

Election Letters Must be Postmarked by October 1, 2011 

            The next round of retransmission consent negotiations is upon us.  To help you prepare, we outline the requirements for a commercial broadcast station to properly elect retransmission consent. 

           Since 1992, Federal law has provided two, and only two, legal ways for a cable operator to retransmit a commercial broadcast station.  The first is “must carry” – mandatory carriage for qualified stations that request it.  The second is retransmission consent.  Must carry stations aside, the law is clear:  no consent, no carriage.  Carriage of a commercial station without consent violates FCC regulations, the Communications Act, and constitutes copyright infringement.  Simply put, with limited exceptions, carriage of a commercial broadcast station without consent is not an option. 

            FCC rules govern how a broadcaster elects retransmission consent.  Under these rules, local commercial broadcast stations must elect retransmission consent every three years by sending a valid election letter.  Valid letters must be: 

• Postmarked by October 1, 2011.
• Sent by certified mail, return receipt requested.
• Placed in the broadcaster’s public file.
• Consistent throughout the franchise area.

           If a local broadcaster gets this wrong, the station defaults to must carry.  Accordingly, cable operators should carefully review and document each election letter received.  

           Note that if you want to carry a distant station, you still need retransmission consent but the station is not obligated to send election letters to operators outside its market. 

           If you have questions about retransmission consent elections or negotiations, please contact Heidi Schmid or Scott Friedman at (312) 372-3930, or Bruce Beard at (314) 394-1535.

__________________________________________________________________________________

Please visit our website at www.cinnamonmueller.com http://www.cinnamonmueller.com to learn more about our lawyers and practice.  You can reach Cinnamon Mueller at (312) 372-3930.  This update is provided by the law firm of Cinnamon Mueller.  The document is intended for informational purposes only as a service to clients of Cinnamon Mueller and to the members of the American Cable Association.  It is not intended to provide specific legal advice or to substitute obtaining appropriate legal counsel.  We encourage you to consult with counsel to address special compliance issues and for assistance in negotiating or handling any such matter referred to in the update. 

SPECIAL UPDATE

September 23, 2011 

FCC Open Internet Order Published in Federal Register

Rules Effective November 20, 2011 

            The FCC has finally published the “Net Neutrality” regulations adopted in its December 2010 Open Internet Order in the Federal Register, triggering a 60-day countdown until the new rules become effective.  That date?  November 20, 2011. 

           For the first time, the regulations impose affirmative disclosure obligations on broadband ISPs.  Disclosures must cover service characteristics, network performance, network management techniques and privacy protections.  All providers will need to examine their existing service descriptions and disclosures to ensure conformity with the new requirements, and place these disclosures prominently on their websites. 

           Specifically, the FCC adopted three “high-level” rules:  transparency, no blocking, and no unreasonable discrimination.  The new rules also establish both informal and formal complaint processes for potential violations.  The most immediate impact of the rules is the first time imposition of specific consumer disclosure obligations on broadband ISPs under the “transparency” requirement:  

• Broadband ISPs must publicly disclose information regarding network management practices, network performance, and commercial terms of the broadband Internet access service sufficient for consumers to make informed choices and for third party applications, services and device makers to develop, maintain and market their Internet offerings.  
• Disclosures must appear on the broadband ISP’s website and be provided at the point of sale.   
• The level of detail is left to providers to determine.  

           Broadband ISPs should begin their compliance efforts immediately by reviewing their network management practices, acceptable use policies, terms of service, privacy policies and other customer disclosures.  Providers that do not already have notices posted prominently on their websites should take steps to create and post such consumer disclosures as quickly as possible.  

           If you have questions about the proposed transparency rule, or would like more information on how your company can begin to prepare a disclosure statement, please contact Chris Cinnamon at (312) 372-3930, Barbara Esbin at (202) 872-6811, or James Moskowitz at (202) 872-6881. __________________________________________________________________________________

Please visit our website at www.cinnamonmueller.com http://www.cinnamonmueller.com to learn more about our lawyers and practice.  You can reach Cinnamon Mueller at (312) 372-3930.  This update is provided by the law firm of Cinnamon Mueller.  The document is intended for informational purposes only as a service to clients of Cinnamon Mueller and to the members of the American Cable Association.  It is not intended to provide specific legal advice or to substitute obtaining appropriate legal counsel.  We encourage you to consult with counsel to address special compliance issues and for assistance in negotiating or handling any such matter referred to in the update. 

 UPDATE

September 16, 2011

FCC Postpones CAP Compliance Deadline to June 30, 2012, Cautions EAS Participants About “Intermediate” Devices 

The FCC announced today that it has extended the deadline to comply with the Common Alerting Protocol (“CAP”) requirements to June 30, 2012.  Without today’s extension, EAS Participants would have been required to comply with the CAP requirements beginning September 30, 2011. 

The Order granting the CAP extension also cautioned EAS Participants about “intermediate” devices designed to provide some CAP capabilities.  Under the FCC’s EAS rules, equipment that meets the definition of an encoder or a decoder must be certified under 47 C.F.R. § 11.34.  The FCC has not yet decided whether intermediary devices comply with these requirements.  Consequently, the FCC urged EAS Participants that have purchased or are considering purchase of any type of EAS equipment to verify with manufacturers and vendors that the equipment complies with current FCC rules.  

            If you have questions related to EAS or CAP compliance, please contact Bruce Beard at (314) 394-1535. 

FCC Net Neutrality Rules Clear Last Procedural Hurdle Before Federal Register Publication

The Office of Management and Budget (“OMB”) approved the FCC’s “Net Neutrality” rules on September 9, 2011.  With OMB approval, the FCC has cleared the last procedural hurdle before its new rules can take effect.  For the first time, the regulations impose affirmative disclosure obligations on broadband ISPs.  Disclosures must cover service characteristics, network performance, network management techniques and privacy protections.  

All providers will need to examine their existing service descriptions and disclosures to ensure conformity with the new requirements, and place these disclosures prominently on their websites. 

            On December 21, 2010, the FCC adopted an Order imposing “Open Internet” (Net Neutrality) rules on wireline broadband providers (“Open Internet Order”).  Specifically, the FCC adopted three “high-level” rules:  transparency, no blocking, and no unreasonable discrimination.  The “no blocking” and “no unreasonable discrimination” rules are to be applied consistent with the principle of “reasonable network management.”  According to the FCC, the new rules are designed to “preserve the Internet as an open platform enabling consumer choice, freedom of expression, end-user control, competition, and the freedom to innovate without permission.”  The Open Internet Order also establishes both informal and formal complaint processes for potential violations of the Open Internet rules.            

The most immediate impact of the rules is the first time imposition of specific consumer disclosure obligations on broadband ISPs under the “transparency” requirement.  

• The transparency rule requires broadband ISPs to publicly disclose information regarding network management practices, network performance, and commercial terms of the broadband Internet access service sufficient for consumers to make informed choices and for third party applications, services and device makers to develop, maintain and market their Internet offerings. 
• Disclosures must appear on the broadband ISP’s website and be provided at the point of sale. 
• The level of detail is left to providers to determine.  

The Open Internet Order lists numerous specific items to be disclosed, while making clear that the list is not a safe harbor.    

            On June 30, 2011, the FCC issued an “Advisory” containing guidance for compliance with the transparency rule when it becomes effective.  The guidance significantly narrows the scope of the disclosures concerning network performance (speed and latency) and network security, and clarifies that reference to website disclosure postings will satisfy the point of sale obligation.  The Advisory is important as an indication of FCC enforcement policy, but it does not change either the language of the rule adopted or the explanatory text of the Open Internet Order.   Providers will therefore need to take the language of the actual rules, the explanatory text of the Open Internet Order, and the Advisory into account in drafting consumer disclosures. 

            The FCC set the effective date the rules 60 days following publication in the Federal Register, a step we expect to occur shortly.  Accordingly, the net neutrality rules could go into effect as early as mid-to late November.  

            Broadband ISPs should begin their compliance efforts now by reviewing their network management practices, acceptable use policies, terms of service, privacy policies and other customer disclosures to ensure consistency with the new rules.  Providers that do not already have such notices posted prominently on their websites should take steps to create and post such consumer disclosure as quickly as possible.  We can begin assisting you now in creating or modifying your customer disclosures to achieve compliance and respond to potential FCC complaints. 

If you have questions about the proposed transparency rule, or would like more information on how your company can begin to prepare a disclosure statement, please contact Chris Cinnamon at (312) 372-3930, Barbara Esbin or James Moskowitz at (202) 872-6811. 

EAS Participant Virtual Roundtable to Occur September 30, 2011

            FEMA will hold an online virtual roundtable discussion titled “Prepared & Ready: The Final Stretch Before the Nationwide EAS Test” on September 30, 2011 from 1:30-3:30 pm EST.  To view the meeting, go to https://www323.livemeeting.com/cc/eiip/join?id=IPAWS&role=attend%27 (link will be active the morning of September 30, 2011). 

Government and industry officials will discuss the EAS Best Practices guide and National EAS Test Informational Toolkit.  On October 3, 2011, FEMA will release the best practice guide, which will offer suggestions on how to implement end-to-end National EAS message procedures.   

If you have questions regarding the November 9, 2011 EAS National Test, please contact Bruce Beard at (314) 394-1535.

New Video Description Obligations Require MVPD Compliance Beginning July 1, 2012

            On August 25, 2011, the FCC released a Report and Order requiring multichannel video program distributors (“MVPDs”) and broadcast stations to offer audio narration of the action depicted in television programming (“video description”).  These rules go into effect October 8, 2011, and give broadcasters and MVPDs until July 1, 2012 to become complaint.  Video description aids people who are blind or visually impaired by providing an oral narration of visual images present on screen.  We cover the main requirements and exceptions under the new rules below. 

            Requirements for MVPDs.  Beginning July 1, 2012, all MVPDs must, regardless of size, “pass through” video descriptions provided on both broadcast and non-broadcast programming.  This requirement only applies if the MVPD has the “technical capability” to pass through the video description and that technical capacity is not being used for another purpose. 

Subsequent Airings.  Once an MVPD airs a program with video description it generally must include the video description on all subsequent airings. 

Additional Obligations for MVPD Systems with 50,000 Subscribers or More.  These MVPD systems must offer 50 hours of video description, per calendar quarter, for each of the top five non-broadcast channels (currently:  USA, Disney Channel, TNT, Nickelodeon, and TBS).  MVPD systems that reach the 50,000 subscriber threshold after July 1, 2012 will have three months to come into compliance. 

Exceptions.  If an MVPD does not have the technical capability to pass through the video description, it is not required to upgrade its system if doing so would cost more than a small amount.  “Technical capability” means that an MVPD has “virtually all necessary equipment and infrastructure . . . except for items that would be of minimal cost . . . .”  Systems that can currently offer a second audio channel would likely be considered as having the “technical capability” to comply with these rules. 

In addition, the pass through requirement does not apply where the technical capacity to provide video description is used for another purpose related to the programming that conflicts with providing video descriptions.  For example, most cable systems only have the capacity to pass through a primary and secondary audio channel.  If the programmer sends video descriptions on a third audio channel, the system operator would not be required to replace its existing secondary audio feed with the video description.  

Requirements for Broadcasters.  Beginning July 1, 2012, broadcast affiliates of the top four national networks (ABC, CBS, Fox and NBC) located in the top 25 television markets (as determined by Nielsen as of January 1, 2011), must provide 50 hours per calendar quarter of programming with video descriptions.  Broadcasters must also “pass through” video descriptions provided by their networks and other programming sources.  On July 1, 2015, the video description rules will expand to cover the top 60 television markets. 

If you have questions about preparing your cable system for compliance with the new video description rules, please contact Scott Friedman at (312) 372-3930.

REMINDER: FCC EEO Form 396-C Filing Due September 30, 2011 

The FCC’s MVPD EEO Program Annual Report (Form 396-C) must be submitted electronically by midnight on September 30, 2011.   To file Form 396-C, go to https://fjallfoss.fcc.gov/cgi-bin/ws.exe/prod/cdbs/forms/prod/cdbsmenu.hts. 

Each year, the FCC randomly selects cable operators to complete a Supplemental Investigation Sheet.  This year, Supplemental Investigation Sheet filers must: 

• Include three job descriptions for the “Professional” category in Part I, Item 2;
• Answer questions 1, 2, and 6 of Part II; and
• Attach, as Part III, a copy of the unit’s EEO public file report created in 2011 covering the previous 12 months.   

If you have questions about EEO compliance, please call Scott Friedman at (312) 372-3930. 

Cinnamon Mueller News

Congratulations to CM attorney Emily Denney on the birth of her son, Michael Robert Germani!  Michael was born on August 25, 2011, weighing in at 8 lbs 2 oz.  The Germani family is doing great!

________________________________________________________________________________

Please visit our website at www.cinnamonmueller.com http://www.cinnamonmueller.com to learn more about our lawyers and practice.  You can reach Cinnamon Mueller at (312) 372-3930.  This update is provided by the law firm of Cinnamon Mueller.  The document is intended for informational purposes only as a service to clients of Cinnamon Mueller and to the members of the American Cable Association.  It is not intended to provide specific legal advice or to substitute obtaining appropriate legal counsel.  We encourage you to consult with counsel to address special compliance issues and for assistance in negotiating or handling any such matter referred to in the update. 

FCC Net Neutrality Rules Clear Last Procedural Hurdle Before Federal Register Publication

Providers are Advised to Begin Compliance Preparations Now

            The FCC has now cleared the last procedural hurdle before its new “Net Neutrality” rules can take effect.  For the first time, the regulations impose affirmative disclosure obligations on broadband ISPs.  Disclosures must cover service characteristics, network performance, network management techniques and privacy protections.  All providers will need to examine their existing service descriptions and disclosures to ensure conformity with the new requirements, and place these disclosures prominently on their websites. 

            On December 21, 2010, the FCC adopted an Order imposing “Open Internet” (Net Neutrality) rules on wireline broadband providers (“Open Internet Order”).  Specifically, the FCC adopted three “high-level” rules: transparency, no blocking, and no unreasonable discrimination. The “no blocking” and “no unreasonable discrimination” rules are to be applied consistent with the principle of “reasonable network management.”  According to the FCC, the new rules are designed to “preserve the Internet as an open platform enabling consumer choice, freedom of expression, end-user control, competition, and the freedom to innovate without permission.”  The Open Internet Order also establishes both informal and formal complaint processes for potential violations of the Open Internet rules.    

            The most immediate impact of the rules is the first time imposition of specific consumer disclosure obligations on broadband ISPs under the “transparency” requirement.  

• The transparency rule requires broadband ISPs to publicly disclose information regarding network management practices, network performance, and commercial terms of the broadband Internet access service sufficient for consumers to make informed choices and for third party applications, services and device makers to develop, maintain and market their Internet offerings. 
• Disclosures are to appear on the broadband ISP’s website and be provided at the point of sale. 
• The level of detail is left to providers to determine.  

The Open Internet Order lists 20-30 specific items to be disclosed, while making clear that the list is not a safe harbor.    

            On June 30, 2011, the FCC issued an “Advisory” containing guidance for compliance with the transparency rule when it becomes effective.  The guidance significantly narrows the scope of the disclosures concerning network performance (speed and latency) and network security, and clarifies that reference to website disclosure postings will satisfy the point of sale obligation.  The Advisory is important as an indication of FCC enforcement policy, but it does not change either the language of the rule adopted or the explanatory text of the Open Internet Order.   Providers will therefore need to take the language of the actual rules, the explanatory text of the Open Internet Order, and the Advisory into account in drafting consumer disclosures. 

            The FCC set the effective date the rules 60 days following publication in the Federal Register, a step that had not yet been taken, pending approval by the Office of Management and Budget (OMB) pursuant to the Paperwork Reduction Act (PRA).  OMB posted approval of the “Open Internet” – Net Neutrality — disclosure and formal complaint rules on its website on September 9, 2011.  This was the last hurdle prior to publication of the rules in the Federal Register, which we expect to occur shortly.  Accordingly, the net neutrality rules could go into effect as early as mid-November.  

            Broadband ISPs should begin their compliance efforts now by reviewing their network management practices, acceptable use policies, terms of service, privacy policies and other customer disclosures to ensure consistency with the new rules.  Providers that do not already have such notices posted prominently on their websites should take steps to create and post such consumer disclosure as quickly as possible.  We will keep you informed as to the actual effective date of the rules and can begin assisting you now in creating or modifying your customer disclosures to achieve compliance and respond to potential FCC complaints. 

If you have questions about the proposed transparency rule, or would like more information on how your company can begin to prepare a disclosure statement, please contact Chris Cinnamon at (312) 372-3930, Barbara Esbin at (202) 872-6811, or James Moskowitz at (202) 872-6881.  _______________________________________________________________________________________________

Please visit our website at http://www.cinnamonmueller.com to learn more about our lawyers and practice.  You can reach Cinnamon Mueller at (312) 372-3930.  This update is provided by the law firm of Cinnamon Mueller.  The document is intended for informational purposes only as a service to clients of Cinnamon Mueller and to the members of the American Cable Association.  It is not intended to provide specific legal advice or to substitute obtaining appropriate legal counsel.  We encourage you to consult with counsel to address special compliance issues and for assistance in negotiating or handling any such matter referred to in the update.   

 UPDATE

September 2, 2011 

FCC to Hold September 8 Workshop and Webinar on Proposed Extension of Network Outage Reporting Requirements 

            The FCC’s Public Safety and Homeland Security Bureau will hold a workshop and webinar on September 8, 2011, from 9:30 am – 3:00 pm EST.  Three panels will discuss: 

1.  Proposed extension of outage reporting requirements to Interconnected VoIP service providers and broadband Internet service providers (ISPs).  The first two panels will examine how public safety agencies rely on communications and how VoIP and ISP outages could affect the agencies.  The discussion will also explore the processes and methods by which information about outages can be made available to the FCC in an attempt to minimize the burden on filers.  

2.  Issues regarding the reliability and continuity of communications networks.  The third panel will discuss issues related to communications network and broadband reliability.  The discussion will examine more generally what the FCC’s role has been and should be in promoting reliability, resiliency, and continuity of communications services.   

Panels are open to the public, as seating allows, and through an online portal.  Individuals interested in attending the event in person or via the Internet must pre-register by September 6, 2011 at http://www.fcc.gov/pshs/event-registration.html. 

            If you have questions about the FCC’s network outage reporting requirements, please call Bruce Beard at (314) 394-1535. 

FCC Releases Additional Information to Help Operators Prepare for Nationwide Emergency Alert System Test  

On August 23, 2011, the FCC’s Public Safety and Homeland Security Bureau released a Public Notice that provided further guidance on the first nationwide test of the Emergency Alert System (EAS), scheduled for November 9, 2011, at 2 p.m. EST.   

EAS participants currently participate in state-level monthly tests and local-level weekly tests.  The FCC, along with the Federal Emergency Management Agency (FEMA), will use the results of the first nationwide test to assess EAS system functionality and determine if improvements need to be made to the system. 

The public notice provided additional guidance on four items: 

1.  End of Message (EOM) code:  An EOM code will conclude the test instead of an Emergency Action Termination code.  The EOM does not require EAS Participants to reconfigure their EAS encoder/decoder devices. 

2.  Location code for the test:  Washington, D.C. 

3.  Duration of the test:  Approximately three minutes.  

4.  Pre-tests of EAS equipment:  The FCC does not plan to conduct a pre-test.  FEMA is working with states and EAS participants to conduct state tests ahead of the nationwide test. 

Information about state EAS Plan is available at http://transition.fcc.gov/pshs/services/eas/chairs.html.     

Further information regarding the test will be released through subsequent public notices and through the Public Safety and Homeland Security Bureau’s website (http://www.fcc.gov/pshs/). 

If you have questions about preparing your cable system for the nationwide EAS test, please call Bruce Beard at (314) 394-1535. 

FCC Sets Fiscal Year 2011 Cable Regulatory Fees – Payment Due By September 14, 2011  

The FCC has opened its automated filing and payment system (“Fee Filer”) for filing and payment of FY 2011 regulatory fees through 11:59pm, ET, September 14, 2011.  Below, we cover the payment process and fee amounts. 

How to Pay.  All licensees must use their FRN and password to access the Fee Filer system (http://www.fcc.gov/fees/feefiler.html), and review, create, update, or change the fees owed.  Then, each licensee may decide on a payment method – online payment with a credit card, online payment from a bank account, mailing a check, or sending a wire transfer.  Fee Filer will print a Form 159-E for users who do not wish to pay online. 

Fee Amounts.  

• 2011 cable regulatory fee:  Cable television systems operating on October 1, 2010 must pay $0.93 per subscriber, a $0.04 increase from 2010.   
• CARS licenses and permits:  CARS facilities operating on October 1, 2010 must pay $395.00, an $80 increase from 2010, even if the facility’s license expired after October 1, 2010. 
• Interconnected VoIP regulatory fee:  $0.00375 for each dollar of interstate and international telecommunications revenue that a provider reports on its Form 499-A.   

If you have any questions about regulatory fee payments, please call Scott Friedman at (312) 372-3930. 

FCC Reminds Cable Operators of EEO Form 396-C Filing Deadline Notice Lists Cable Operators Who Must File Supplemental Investigation Sheet

On July 13, 2011, the Media Bureau released a reminder that the FCC’s MVPD EEO Program Annual Report (Form 396-C) must be submitted electronically by midnight on September 30, 2011.  To file Form 396-C, go to https://fjallfoss.fcc.gov/cgi-bin/ws.exe/prod/cdbs/forms/prod/cdbsmenu.hts. 

The reminder also lists the cable operators the FCC has randomly selected to file a Supplemental Investigation Sheet.  For this year’s filing, Supplemental Investigation Sheet filers must: 

• Include three job descriptions for the “Professional” category in Part I, Item 2;
• Answer questions 1, 2, and 6 of Part II; and
• Attach, as Part III, a copy of the unit’s EEO public file report created in 2011 covering the previous 12 months.   

If you have any questions about EEO compliance, please call Scott Friedman at (312) 372-3930.

________________________________________________________________________________

Please visit our website at www.cinnamonmueller.com http://www.cinnamonmueller.com to learn more about our lawyers and practice.  You can reach Cinnamon Mueller at (312) 372-3930.  This update is provided by the law firm of Cinnamon Mueller.  The document is intended for informational purposes only as a service to clients of Cinnamon Mueller and to the members of the American Cable Association.  It is not intended to provide specific legal advice or to substitute obtaining appropriate legal counsel.  We encourage you to consult with counsel to address special compliance issues and for assistance in negotiating or handling any such matter referred to in the update. 

 UPDATE

August 16, 2011 

New CableCARD Rules Became Effective August 8, 2011

FCC Releases Enforcement Advisory, Will Review Consumer Complaints Carefully

On August 8, 2011, the FCC’s new CableCARD rules took effect.  Cable operators must now provide customers with disclosures related to the pricing and installation of CableCARDs and retail set-top boxes, and treat consumers similarly, whether they buy a retail device or lease a set-top box. 

The advisory (http://transition.fcc.gov/Daily_Releases/Daily_Business/2011/db0809/DA-11-1373A1.pdf) underscores the FCC’s commitment to “strictly enforce [its] navigation device rules in order to ensure proper support for CableCARD devices.”  Cable operators should review their policies, procedures, and operations to ensure compliance.  The FCC’s Enforcement Bureau will review consumer complaints carefully to determine if cable systems are in compliance with the rules. 

What do the new rules require?  Under the new rules, cable operators must:  

• Disclose accurate information about the capability of retail CableCARD-compatible devices: Cable operators must not provide misleading information about the ability of retail CableCARD-compatible devices to access switched digital channels. 
• Discount packaged services for subscribers who do not rent devices:  Cable operators must reduce the price of programming packages that include set-top box rentals by the cost of the rental for customers that use retail devices. 
• Price CableCARDs uniformly and disclose fees prominently:  Cable operators must price CableCARD rental fees uniformly across a cable system whether the CableCARD is used in a leased set-top box or a retail device.  Cable operators must also prominently list the CableCARD fee as a line item on the operator’s website and annual rate card, and provide this information orally or in writing upon a subscriber’s request.   
• No discriminatory fees on retail CableCARD-compatible devices: Cable operators may not assess fees on retail CableCARD-compatible devices that the operator does not access on leased devices. 
• Permit self-installation of CableCARDs:  Cable operators that allow self-installation of equipment must also allow CableCARD self-installation. Cable operators that do not currently permit self-installation must allow CableCARD self-installation starting November 1, 2011.  The obligation to offer self-installation only applies where device manufacturers or vendors provide detailed, device-specific instructions on how to install a CableCARD, and the manufacturer’s or vendor’s toll-free number is included within the packaging of the device and on their websites.  
• Requirements for professional installers:  Technicians must arrive with at least the number of CableCARDs requested by the customer and make good faith efforts to ensure that the devices work.  
• Provide multi-stream CableCARDs:  Cable operators must provide multi-stream CableCARDs, unless a customer requests a single-stream CableCARD. 
• Ensure access to all linear channels:  Cable operators must ensure that customers can use their retail devices to access all linear channels.  Operators must ensure that retail devices can tune to the greater of four simultaneous channels, or as many switched-digital channels as the greatest number of streams supported by the cable operator’s most sophisticated set-top box.

Failure to comply with these rules may result in enforcement action.  For more information about the new CableCARD rules, please contact Scott Friedman or Heidi Schmid at (312) 372-3930.

FCC Reminds Cable Operators of EEO Form 396-C Filing Deadline

Notice Lists Cable Operators Who Must File Supplemental Investigation Sheet

On July 13, 2011, the Media Bureau released a reminder that the FCC’s MVPD EEO Program Annual Report (Form 396-C) must be submitted electronically by midnight on September 30, 2011.  To file Form 396-C, go to https://fjallfoss.fcc.gov/cgi-bin/ws.exe/prod/cdbs/forms/prod/cdbsmenu.hts. 

The reminder also lists the cable operators the FCC has randomly selected to file a Supplemental Investigation Sheet.  For this year’s filing, Supplemental Investigation Sheet filers must: 

• Include three job descriptions for the “Professional” category in Part I, Item 2;
• Answer questions 1, 2, and 6 of Part II; and
• Attach, as Part III, a copy of the unit’s EEO public file report created in 2011 covering the previous 12 months.   

If you have any questions about EEO compliance, please call Scott Friedman at (312) 372-3930.

Copyright Forms and Fees Due August 29, 2011

Cable statement of account (“SOA”) forms for the January 2011 – June 2011 accounting period must be filed with the copyright office by August 29, 2011. The following forms apply:  

• SA1-2 Short Form. For use by cable television systems with semiannual gross receipts of less than $527,600. 
• SA3 Long Form. For use by cable television systems with semiannual gross receipts of $527,600 or more. 

SOA forms can now be completed online on the U.S. Copyright Office website (www.copyright.gov/licensing/ldocs.html).  To file the SOA, operators must print the completed form, sign it with an original signature, apply the appropriate calculations, and submit the SOA by postal mail.  

If you have any questions about copyright forms or fees, please contact Heidi Schmid at (312) 372-3930.

FCC Form 477 Due September 1, 2011 

FCC Form 477 is due on September 1, 2011.  Broadband and interconnected VoIP providers must report information about broadband connections and local telephone service as of June 30, 2011.  You can access the filing instructions and electronic filing system through http://www.fcc.gov/form477/. 

As a reminder, broadband providers must provide the following information: 

• Number of broadband connections in individual census tracts, broken down by technology type and upload and download speed.
• Percentage of residential broadband connections. 

Moreover, interconnected VoIP providers must report the following information: 

• Number of subscribers served (both end-user and resale).
• Percentage of residential subscribers.
• Whether the service is provided over a broadband connection provided by the filer or the filer’s affiliate.
• A list of the 5-digit zip codes in which the filer has at least one subscriber.
• Whether the service is fixed or nomadic. 

If you have questions about FCC Form 477, please contact Scott Friedman at (312) 372-3930.

FCC Sets Fiscal Year 2011 Cable Regulatory Fees – Payment Due By September 14, 2011  

On Monday, August 15, 2011, the FCC opened its automated filing and payment system (“Fee Filer”) for filing and payment of FY 2011 regulatory fees.  The FCC will accept FY 2011 regulatory fees through 11:59pm, ET, September 14, 2011.  Below, we cover the payment process and fee amounts. 

How to Pay.  All licensees must use their FRN and password to access the Fee Filer system (http://www.fcc.gov/fees/feefiler.html), and review, create, update, or change the fees owed.  Then, each licensee may decide on a payment method – online payment with a credit card, online payment from a bank account, mailing a check, or sending a wire transfer.  Fee Filer will print a Form 159-E for users who do not wish to pay online. 

Fee Amounts.  

• 2011 cable regulatory fee:  Cable television systems operating on October 1, 2010 must pay $0.93 per subscriber, a $0.04 increase from 2010.   
• CARS licenses and permits:  CARS facilities operating on October 1, 2010 must pay $395.00, an $80 increase from 2010, even if the facility’s license expired after October 1, 2010. 
• Interconnected VoIP regulatory fee:  $0.00375 for each dollar of interstate and international telecommunications revenue that a provider reports on its Form 499-A. 

If you have any questions about regulatory fee payments, please call Scott Friedman at (312) 372-3930.

________________________________________________________________________________

Please visit our website at www.cinnamonmueller.com http://www.cinnamonmueller.com to learn more about our lawyers and practice.  You can reach Cinnamon Mueller at (312) 372-3930.  This update is provided by the law firm of Cinnamon Mueller.  The document is intended for informational purposes only as a service to clients of Cinnamon Mueller and to the members of the American Cable Association.  It is not intended to provide specific legal advice or to substitute obtaining appropriate legal counsel.  We encourage you to consult with counsel to address special compliance issues and for assistance in negotiating or handling any such matter referred to in the update. 

SPECIAL UPDATE

August 8, 2011 

New CableCARD Rules Effective August 8, 2011 

Cable Operators Must Provide Notice of CableCARD Fees

The FCC’s new CableCARD Rules became effective today, August 8, 2011.  Under the new rules, your company must notify customers of certain CableCARD billing and pricing information.  

We believe the new notice rules will be an area of heightened FCC Enforcement Bureau scrutiny going forward.  Accordingly, we outline the new notice rules in more detail below.  

CableCARD Pricing and Billing Disclosures.  The new CableCARD rules require cable operators to “prominently list the fee for their CableCARDs as a line item on their website and annual rate cards separate from their host devices, and provide such information orally or in writing at a subscriber’s request.”  

Specifically, the new rules require cable operators to notify subscribers: 

(i)            Of any assessed fees for the rental of single and additional CableCARDs and the rental of operator-supplied navigation devices; and

(ii)           If the provider includes equipment in the price of a bundled offer of one or more services, the fees reasonably allocable to the rental of single and additional CableCARDs and the rental of operator-supplied navigation devices. 

Cable operators must provide this notice:  

(i)            At the time of installation;

(ii)           Annually;

(iii)          At any time upon request; and

(iv)         On websites (readily accessible to members of the public) or billing inserts.  

Your company should take steps to update your customer notices and website immediately. 

These notice requirements comprise only a subset of the new CableCARD rules.  If you have any questions about the new rules, please contact Scott Friedman or Heidi Schmid at (312) 372-3930.

__________________________________________________________________________________

Please visit our website at www.cinnamonmueller.com http://www.cinnamonmueller.com to learn more about our lawyers and practice.  You can reach Cinnamon Mueller at (312) 372-3930.  This update is provided by the law firm of Cinnamon Mueller.  The document is intended for informational purposes only as a service to clients of Cinnamon Mueller and to the members of the American Cable Association.  It is not intended to provide specific legal advice or to substitute obtaining appropriate legal counsel.  We encourage you to consult with counsel to address special compliance issues and for assistance in negotiating or handling any such matter referred to in the update. 

UPDATE

July 15, 2011 

FCC Releases Advisory to Comply with Open Internet Transparency Rule

On June 30^th, the FCC issued a Public Notice containing “Advisory Guidance for Compliance with Open Internet Transparency Rule” (“Advisory”).  The Advisory offers initial guidance on specific measures of disclosures that the FCC will consider in compliance with the transparency rule adopted in the FCC’s Dec. 2010 Open Internet Order.  

As adopted, the transparency rule requires disclosure of, among other things, network management practices, actual network performance characteristics, network security information, and commercial terms on the broadband ISP’s website and at the point of sale.  Five areas specific of guidance on transparency rule compliance are:  

• Point-of-Sale Disclosures:  The Advisory clarifies that the rule does not compel distribution of printed materials “at the point of sale,” nor does the rule require extensive training of sales employees.  Also, providers may comply by directing prospective customers to disclosures posted prominently on its website.
• Service Description:  The Open Internet Order requires broadband providers to disclose accurate network performance information for each broadband service offered.  The Advisory encourages parties to use internal testing, methodology gathered through the FCC’s “SamKnows” project, or reliable 3^rd-party sources. 
• Extent of Required Disclosures:  The Advisory clarifies that a disclosure statement will comply if it includes areas of disclosure specifically indentified in paragraph 56 of the Open Internet Order.
• Content, Applications, Service, and Device Providers:  The Advisory clarifies that development of an additional edge provider-specific disclosure statement is unnecessary if the consumer disclosure is designed for a technologically sophisticated Internet user.
• Security Measures:  The Advisory clarifies that broadband providers will be required only to use “sound judgment” in deciding whether it is necessary and appropriate to disclose particular security measures.    

The key for broadband ISPs remains disclosure of accurate information sufficient for consumers to make informed choices regarding use of broadband Internet services and for edge providers to develop, market and maintain Internet offerings. 

Currently, OMB is reviewing the FCC’s revised paperwork reduction act burden estimates.  Comments are due to OMB August 8, 2011.  At any time after August 8^th, OMB may approve the rules.  Once approved and published in the Federal Register, the rules will go into effect 60 days later.  

If you have questions about the proposed transparency rule, or would like more information on how your company can begin to prepare a disclosure statement, please contact Barbara Esbin at (202) 872-6811.

Copyright Forms and Fees Due August 29, 2011

Cable statement of account (“SOA”) forms for the January 2011 – June 2011 accounting period must be filed with the copyright office between July 1, 2011 and August 29, 2011. The following forms apply:  

• SA1-2 Short Form. For use by cable television systems with semiannual gross receipts of less than $527,600. 
• SA3 Long Form. For use by cable television systems with semiannual gross receipts of $527,600 or more. 

SOA forms can now be completed online on the U.S. Copyright Office website (www.copyright.gov/licensing/ldocs.html).  To file the SOA, cable operators must print the completed form, sign it with an original signature, apply the appropriate calculations, and submit the SOA by postal mail.  

If you have any questions about copyright forms or fees, please contact Heidi Schmid at (312) 372-3930.

EAS/CAP Compliance Deadline is September 30, 2011 

The deadline to implement the new federal Common Alerting Protocol (CAP) adopted by the Federal Emergency Management Agency for emergency alert system (EAS) alerts is September 30, 2011.  CAP is an XML-based open, interoperable, data interchange format for collecting and distributing all-hazard safety notifications and emergency warnings.  CAP allows messages to be sent to multiple information networks, public safety alerting systems, and personal communications devices.   

All EAS participants – including cable operators – must have the capability to receive CAP-formatted EAS messages by September 30, 2011.  If you have questions about the EAS/CAP requirement, please contact Scott Friedman at (312) 372-3930.

FCC Form 477 Due September 1, 2011 

FCC Form 477 is due on September 1, 2011. All broadband and interconnected VoIP providers must include information about broadband connections and local telephone service as of June 30, 2011. Filing instructions and a link to the electronic filing system are available at http://www.fcc.gov/form477/. 

As a reminder, broadband providers must provide the following information: 

• Number of broadband connections in individual census tracts, broken down by technology type and upload and download speed.
• Percentage of residential broadband connections. 

Moreover, interconnected VoIP providers must report the following information: 

• Number of subscribers served (both end-user and resale).
• Percentage of residential subscribers.
• Whether the service is provided over a broadband connection provided by the filer or the filer’s affiliate.
• A list of the 5-digit zip codes in which the filer has at least one subscriber.
• Whether the service is fixed or nomadic. 

If you have questions about FCC Form 477, please contact Scott Friedman at (312) 372-3930.

FCC to Conduct First Nationwide Emergency Alert System Test November 9, 2011 

The FCC will conduct the first nationwide test of the Emergency Alert System (EAS) on November 9, 2011, at 2 p.m. EST.  

EAS participants currently participate in state-level monthly tests and local-level weekly tests.  The FCC, along with the Federal Emergency Management Agency, will use the results of the first nationwide test to assess EAS system functionality and determine if improvements need to be made to the system.   

In preparation for the test, the FCC encourages EAS participants to:  (i) review your state’s EAS plans; (ii) review the manner in which you deploy EAS assets – particularly EAS participant encoder/decoder equipment – to minimize any single points of failure within your state’s EAS architecture; and (iii) ensure that your EAS equipment operates in compliance with FCC rules.   

The FCC will release further information regarding the test through subsequent public notices and through the Public Safety and Homeland Security Bureau’s website (http://www.fcc.gov/pshs/).  If you have questions about preparing your cable system for the nationwide EAS test, please contact Scott Friedman at (312) 372-3930.

Cinnamon Mueller News 

James Moskowitz joins the firm.  We would like to extend a warm welcome to James Moskowitz.  James joins Cinnamon Mueller with over fifteen years of experience with communications, litigation, transactional, and privacy matters.  Before joining Cinnamon Mueller, James worked at the FCC and on Capitol Hill, as well as at other national law firms where he represented telecommunications, cable television, and information technology companies.   James is a graduate of the College of William & Mary and the Georgetown University Law Center.   Based in Cinnamon Mueller’s Washington DC office, James will, among other things, assist our team in representing the ACA and its members.  Welcome, James!

__________________________________________________________________________________

Please visit our website at www.cinnamonmueller.com http://www.cinnamonmueller.com to learn more about our lawyers and practice.  You can reach Cinnamon Mueller at (312) 372-3930.  This update is provided by the law firm of Cinnamon Mueller.  The document is intended for informational purposes only as a service to clients of Cinnamon Mueller and to the members of the American Cable Association.  It is not intended to provide specific legal advice or to substitute obtaining appropriate legal counsel.  We encourage you to consult with counsel to address special compliance issues and for assistance in negotiating or handling any such matter referred to in the update. 

SPECIAL UPDATE

July 8, 2011 

FCC to Hold July 15^th Webinar on Form 477 Compliance 

Today, the FCC’s Wireline Competition Bureau announced that it will hold a webinar to discuss broadband providers’ compliance with FCC Form 477 on Friday, July 15, 2011 from 12:00-12:30p.m. EST.

Broadband and interconnected VoIP providers must file Form 477 twice annually – by March 1^st (reporting data as of December 31^st of the prior year) and September 1^st (reporting data as of June 30^th).  Filing instructions and a link to the electronic filing system are available at http://www.fcc.gov/form477/. 

Because Form 477 is the FCC’s primary means of collecting data on broadband and voice subscriptions, making it an important input to FCC policies, the FCC is taking several measures to improve compliance with filing rules.  The July 15^th webinar will reinforce the importance of Form 477 to FCC activities, provide an overview of basic filing requirements, and discuss some of the common problems the FCC encounters in filings currently.  This webinar coincides with increased FCC efforts to ensure full compliance and to take enforcement actions to address non-compliance. 

As a reminder, broadband providers must provide the following information: 

• The number of broadband connections in individual census tracts, broken down by technology type and upload and download speed.
• The percentage of broadband connections that is residential. 

Moreover, interconnected VoIP providers must report the following information: 

• The number of subscribers served (both end-user and resale).
• The percentage of subscribers that is residential.
• Whether the service is provided over a broadband connection provided by the filer or the filer’s affiliate. 
• A list of the 5-digit zip codes in which the filer has at least one subscriber.
• Whether the service is fixed or nomadic. 

If you have any questions about FCC Form 477, please contact Scott Friedman at (312) 372-3930.

__________________________________________________________________________________

Please visit our website at www.cinnamonmueller.com http://www.cinnamonmueller.com to learn more about our lawyers and practice.  You can reach Cinnamon Mueller at (312) 372-3930.  This update is provided by the law firm of Cinnamon Mueller.  The document is intended for informational purposes only as a service to clients of Cinnamon Mueller and to the members of the American Cable Association.  It is not intended to provide specific legal advice or to substitute obtaining appropriate legal counsel.  We encourage you to consult with counsel to address special compliance issues and for assistance in negotiating or handling any such matter referred to in the update. 

UPDATE

June 17, 2011 

FCC Reminds Cable Operators of Obligation to Provide Emergency Information

to Persons with Hearing or Vision Disabilities 

Due to recent tornado outbreaks and flooding, the FCC released a public notice on June 17, 2011, reminding video programming distributors (“VPDs”) of their obligation to make emergency information accessible to persons with hearing and vision disabilities.  All VPDs, which include cable operators, must make emergency information available in a manner accessible to visually impaired and deaf or hard of hearing individuals.  No exemptions exist. 

Under FCC regulations, emergency information encompasses “critical details” regarding emergencies and how to respond to emergencies.  For blind or visually impaired individuals, cable operators must ensure that emergency information provided in the video portion of a regularly scheduled newscast or newscast that interrupts regulator programming be made accessible.  Similarly, for deaf or hard of hearing individuals, the emergency information provided in the audio portion of the programming must be made accessible using closed captioning or other methods of visual presentation.  Additional requirements apply as well.  

The public notice also stressed that the need to make critical details of emergency information accessible is not always limited to the immediate geographic areas affected by the emergency.  If you have questions about your obligation to provide emergency information to persons with hearing or vision disabilities, please contact Bruce Beard at (314) 394-1535.

FCC to Conduct First Nationwide Emergency Alert System Test November 9, 2011 

The FCC recently announced that it will conduct the first nationwide test of the Emergency Alert System (EAS) on November 9, 2011, at 2 p.m. EST.  

EAS participants currently participate in state-level monthly tests and local-level weekly tests.  The FCC, along with the Federal Emergency Management Agency, will use the results of the first nationwide test to assess EAS system functionality and determine if improvements need to be made to the system.   

In preparation for the test, the FCC encourages EAS participants to:  (i) review your state’s EAS plans; (ii) review the manner in which you deploy EAS assets – particularly EAS participant encoder/decoder equipment – to minimize any single points of failure within your state’s EAS architecture; and (iii) ensure that your EAS equipment operates in compliance with FCC rules.    

The FCC will release further information regarding the test through subsequent public notices and through the Public Safety and Homeland Security Bureau’s website (http://www.fcc.gov/pshs/).  If you have questions about preparing your cable system for the nationwide EAS test, please contact Scott Friedman at (312) 372-3930.

Copyright Office Announces Fill-In Statement of Account Forms Now Available

Cable statement of account (SOA) forms can now be completed online on the U.S. Copyright Office website (www.copyright.gov/licensing/ldocs.html).  To file the SOA, cable operators must print the completed form, sign it with an original signature, apply the appropriate calculations, and submit the SOA by postal mail.   

SOAs for the January 2011 – June 2011 accounting period must be filed with the copyright office between July 1, 2011 and August 29, 2011. The following forms apply:  

• SA1-2 Short Form. For use by cable television systems with semiannual gross receipts of less than $527,600. 
• SA3 Long Form. For use by cable television systems with semiannual gross receipts of $527,600 or more. 

If you have any questions about copyright forms or fees, please contact Heidi Schmid at (312) 372-3930.

EAS/CAP Compliance Deadline is September 30, 2011 

The deadline to implement the new federal Common Alerting Protocol (CAP) adopted by the Federal Emergency Management Agency for emergency alert system (EAS) alerts is September 30, 2011. CAP is an XML-based open, interoperable, data interchange format for collecting and distributing all-hazard safety notifications and emergency warnings.  CAP allows messages to be sent to multiple information networks, public safety alerting systems, and personal communications devices.   

All EAS participants – including cable operators – must have the capability to receive CAP-formatted EAS messages by September 30, 2011.  

If you have questions about the EAS/CAP requirement, please contact Scott Friedman at (312) 372-3930. 

FCC Form 477 Due September 1, 2011 

FCC Form 477 is due on September 1, 2011. Broadband and interconnected VoIP providers must include information about broadband connections and local telephone service as of June 30, 2011. Filing instructions and a link to the electronic filing system are available at http://www.fcc.gov/form477/. 

As a reminder, broadband providers must provide the following information: 

• Number of broadband connections in individual census tracts, broken down by technology type and upload and download speed.
• Percentage of residential broadband connections. 

Moreover, interconnected VoIP providers must report the following information: 

• Number of subscribers served (both end-user and resale).
• Percentage of residential subscribers.
• Whether the service is provided over a broadband connection provided by the filer or the filer’s affiliate.
• A list of the 5-digit zip codes in which the filer has at least one subscriber.
• Whether the service is fixed or nomadic. 

If you have questions about FCC Form 477, please contact Scott Friedman at (312) 372-3930.

Increased FCC Filing Fees Effective June 20, 2011

New FCC filing fees, reflecting the net change in the consumer price index, go into effect June 20, 2011.  Of particular importance to cable operators are: 

• CARS Licenses, Renewals, Modifications, Assignments – $270.00 ($10 increase).
• Special Temporary Authority – $175.00 ($5 increase)
• Cable Special Relief Petition – $1,355.00 ($45 increase)
• Cable Community Registration – $60.00 (no change).
• Aeronautical Frequency Usage Notifications – $60.00 (no change) 

If you have questions about filings at the FCC, please contact Scott Friedman at (312) 372-3930.

__________________________________________________________________________________

Please visit our website at www.cinnamonmueller.com http://www.cinnamonmueller.com to learn more about our lawyers and practice.  You can reach Cinnamon Mueller at (312) 372-3930.  This update is provided by the law firm of Cinnamon Mueller.  The document is intended for informational purposes only as a service to clients of Cinnamon Mueller and to the members of the American Cable Association.  It is not intended to provide specific legal advice or to substitute obtaining appropriate legal counsel.  We encourage you to consult with counsel to address special compliance issues and for assistance in negotiating or handling any such matter referred to in the update. 

UPDATE

June 3, 2011 

FCC Denies Emergency Motion to Stay New Telecom Rate Formula for Pole Attachments 

On June 1, 2011, the FCC’s Wireline Competition Bureau denied an emergency motion seeking to stay the new telecom rate formula for pole attachments.  Nine utility companies filed the motion for stay one week after filing an appeal of the FCC’s recent pole attachment order with the D.C. Court of Appeals.  The Wireline Competition Bureau found that the utility companies failed to meet the legal standard required to grant a stay. 

The FCC’s April 7, 2011 order established a four-stage timeline for attachers to access utility poles, reinterpreted the telecommunications rate formula to reduce the disparity between the existing telecommunications rate and cable rate, and clarified the treatment of commingled services.  

The reinterpreted telecom rate formula adopts a new definition of “cost” that allows utilities to recover 66% of the fully-allocated costs used for purposes of the pre-existing telecom rate in urban areas (population of 50,000 or more), and 44% of the fully-allocated costs used for purposes of the preexisting Telecom Rate in non-urban areas (population of 50,000 or less).  This new telecom rate formula will generally recover the same portion of pole costs as the current cable rate, or approximately 7.4% of the fully-allocated pole costs. 

The new telecom rate formula becomes effective on June 8, 2011.  If you have questions about the FCC’s revised pole attachment rules, please contact Bruce Beard at (314) 394-1535. 

New FCC Rules on Ex Parte Presentations Effective June 1, 2011 

The FCC’s new ex parte rules, adopted in February, became effective on June 1, 2011.  The February order amended the FCC’s rules on ex parte presentations made in the course of FCC rulemakings and other permit-but-disclose proceedings.  Under the new rules, parties must: 

• File ex parte notices for all oral ex parte presentations in permit-but-disclose proceedings, not just for those presentations that involve new information or arguments not already on the record. 
• Submit ex parte notices electronically in machine-readable format.  Confidential information may continue to be submitted by paper filing, but parties must simultaneously file a redacted version electronically.   
• Include the name of the person(s) who made the ex parte presentation, as well as a list of all persons attending or otherwise participating in the meeting. 
• File ex parte notices within two business days of the presentation. 

If you have questions about the new ex parte rules, or presentations to the FCC in general, please contact Jeremy Kissel at (312) 372-3930.

Media Bureau Postpones New Electronic Filing Requirements

The FCC’s new electronic filing rules also became effective on June 1, 2011.  Under the new rules, certain filings, including cable special relief petitions, must be filed electronically.  Because electronic filing procedures are not yet in place, the Media Bureau has postponed the requirement to electronically file cable special relief petitions until the revised filing procedures are implemented. 

If you have questions about new electronic filing requirements, please contact Scott Friedman at (312) 372-3930. 

Copyright Office Announces Fill-In Statement of Account Forms Now Available

Cable statement of account (SOA) forms can now be completed online on the U.S. Copyright Office website at www.copyright.gov/licensing/ldocs.html.  To file the SOA, cable operators must print the completed form, sign it with an original signature, apply the appropriate calculations, and submit the SOA by postal mail.  

SOAs for the January 2011 – June 2011 accounting period must be filed with the copyright office between July 1, 2011 and August 29, 2011. The following forms apply:  

• SA1-2 Short Form. For use by cable television systems with semiannual gross receipts of less than $527,600. 
• SA3 Long Form. For use by cable television systems with semiannual gross receipts of $527,600 or more. 

If you have any questions about copyright forms or fees, please contact Heidi Schmid at (312) 372-3930.

EAS/CAP Compliance Deadline is September 30, 2011 

The deadline to implement the new federal Common Alerting Protocol (CAP) adopted by the Federal Emergency Management Agency for emergency alert system (EAS) alerts is September 30, 2011. CAP is an XML-based open, interoperable, data interchange format for collecting and distributing all-hazard safety notifications and emergency warnings.  CAP allows messages to be sent to multiple information networks, public safety alerting systems, and personal communications devices.   

All EAS participants – including cable operators – must have the capability to receive CAP-formatted EAS messages by September 30, 2011.  

If you have questions about the EAS/CAP requirement, please contact Scott Friedman at (312) 372-3930. 

Increased FCC Filing Fees Effective June 20, 2011 

            New FCC filing fees, reflecting the net change in the consumer price index, go into effect June 20, 2011.  

• CARS Licenses, Renewals, Modifications, Assignments – $270.00 ($10 increase).
• Special Temporary Authority – $175.00 ($5 increase)
• Cable Special Relief Petition – $1,355.00 ($45 increase)
• Cable Community Registration – $60.00 (no change).
• Aeronautical Frequency Usage Notifications – $60.00 (no change) 

If you have questions about filings at the FCC, please contact Scott Friedman at (312) 372-3930.

FCC Form 477 Due September 1, 2011 

FCC Form 477 is due on September 1, 2011. Broadband and interconnected VoIP providers must include information about broadband connections and local telephone service as of June 30, 2011. Filing instructions and a link to the electronic filing system are available at http://www.fcc.gov/form477/. 

As a reminder, broadband providers must provide the following information: 

• Number of broadband connections in individual census tracts, broken down by technology type and upload and download speed.
• Percentage of residential broadband connections. 

Moreover, interconnected VoIP providers must report the following information: 

• Number of subscribers served (both end-user and resale).
• Percentage of residential subscribers.
• Whether the service is provided over a broadband connection provided by the filer or the filer’s affiliate.
• A list of the 5-digit zip codes in which the filer has at least one subscriber.
• Whether the service is fixed or nomadic. 

If you have questions about FCC Form 477, please contact Scott Friedman at (312) 372-3930.

__________________________________________________________________________________

Please visit our website at www.cinnamonmueller.com http://www.cinnamonmueller.com to learn more about our lawyers and practice.  You can reach Cinnamon Mueller at (312) 372-3930.  This update is provided by the law firm of Cinnamon Mueller.  The document is intended for informational purposes only as a service to clients of Cinnamon Mueller and to the members of the American Cable Association.  It is not intended to provide specific legal advice or to substitute obtaining appropriate legal counsel.  We encourage you to consult with counsel to address special compliance issues and for assistance in negotiating or handling any such matter referred to in the update. 

UPDATE

May 13, 2011 

NTIA Needs Broadband Service Provider Information to Update National Broadband Map 

On February 17, 2011, NTIA launched its National Broadband Map (available online at http://broadbandmap.gov/).  As part of the State Broadband Initiative (“SBI”), the National Broadband Map provides information on broadband speeds and broadband availability across the country. The SBI originated in the Broadband Data Improvement Act of 2008 and the American Recovery and Reinvestment Act of 2009.  Since then, NTIA has awarded a total of $293 million to 56 state and territorial grantees and collected biannual data from states on the availability, speed, and location of broadband services – all of which was used to update the National Broadband Map.  

NTIA has encouraged broadband service providers to participate in the continued mapping effort.  Providers can find further information on how to update or submit information on broadband services at the state websites at ttp://www2.ntia.doc.gov/StateBroadbandLinks. In general, broadband service providers are asked to submit a map with maximum advertised speeds.  A non-disclosure agreement may also be available to protect the data providers submit. 

If you have questions about how to participate in your state’s broadband mapping activities, please contact Bruce Beard at (636) 778-0646.

FY 2011 Cable Regulatory Fees 

The Commission has released its proposed Fiscal Year 2011 Regulatory Fees: 

• 2011 cable regulatory fee:  $0.93 per subscriber, a $0.04 increase from 2010.   
• CARS licenses and permits:  $370.00, a $55 increase from 2010.   
• Interconnected VoIP regulatory fee:  $0.00361 for each dollar of interstate and international telecommunications revenue that a provider reports on its Form 499-A.   

Later this summer, the FCC will finalize the fees for FY 2011.  We will let you know when the FCC releases the order.  If you have any questions about regulatory fee payments, please call Scott Friedman at (312) 372-3930.

EAS/CAP Compliance Deadline is September 30, 2011 

The deadline to implement the new federal Common Alerting Protocol (CAP) adopted by the Federal Emergency Management Agency for emergency alert system (EAS) alerts is September 30, 2011. CAP is an XML-based open, interoperable, data interchange format for collecting and distributing all-hazard safety notifications and emergency warnings.  CAP allows messages to be sent to multiple information networks, public safety alerting systems, and personal communications devices.   

All EAS participants – including cable operators – must have the capability to receive CAP-formatted EAS messages by September 30, 2011.  If you have questions about the EAS/CAP requirement, please contact Jeremy Kissel at (312) 372-3930. 

FCC Form 477 Due September 1, 2011 

FCC Form 477 is due on September 1, 2011. Broadband and interconnected VoIP providers must include information about broadband connections and local telephone service as of June 30, 2011. Filing instructions and a link to the electronic filing system are available at http://www.fcc.gov/form477/. 

As a reminder, broadband providers must provide the following information: 

• Number of broadband connections in individual census tracts, broken down by technology type and upload and download speed.
• Percentage of residential broadband connections. 

Moreover, interconnected VoIP providers must report the following information: 

• Number of subscribers served (both end-user and resale).
• Percentage of residential subscribers.
• Whether the service is provided over a broadband connection provided by the filer or the filer’s affiliate.
• A list of the 5-digit zip codes in which the filer has at least one subscriber.
• Whether the service is fixed or nomadic. 

If you have questions about FCC Form 477, please contact Scott Friedman at (312) 372-3930.

__________________________________________________________________________________

Please visit our website at www.cinnamonmueller.com http://www.cinnamonmueller.com to learn more about our lawyers and practice.  You can reach Cinnamon Mueller at (312) 372-3930.  This update is provided by the law firm of Cinnamon Mueller.  The document is intended for informational purposes only as a service to clients of Cinnamon Mueller and to the members of the American Cable Association.  It is not intended to provide specific legal advice or to substitute obtaining appropriate legal counsel.  We encourage you to consult with counsel to address special compliance issues and for assistance in negotiating or handling any such matter referred to in the update.