FCC Adopts Consent Decree with Cable Operator for Delaying Access to Public Inspection File Operator to Make $8,000 Voluntary Contribution to U.S. Treasury
On April 23, 2012, the FCC adopted a Consent Decree that settled an investigation and Notice of Apparent Liability (“NAL”) for a cable operator’s failure to make its public inspection file available upon request during regular business hours. While the NAL, released in February 2012, set the potential fine at $10,000, under the terms of the consent decree, the cable operator will make an $8,000 voluntary contribution to the U.S. Treasury.
This serves as a cautionary tale that when FCC field inspectors visit a cable system, public file compliance is on their checklist. The best practice is to put the public files in order, and proper procedures in place, before the inspector calls. A cable operator risks fines if it fails to do so.
According to the NAL, an FCC enforcement agent visited the cable operator’s office on October 26, 2011, and requested to inspect the public inspection file. The operator’s customer service representative refused. The enforcement agent then telephoned the operator’s CEO, who stated that customer service representatives are not allowed access to the public inspection file unless a manger is present.
FCC rules require cable operators to maintain certain files and records for public inspection during regular business hours. Authorized FCC representatives may also request to view the file at any reasonable hour. While the FCC recognizes that brief, security-related delays to access a public file are reasonable, the FCC issued the NAL even though enforcement agents returned on October 27, 2011, when a manager was present, and observed that the operator’s public inspection file was complete.
Cable public file and recordkeeping requirements vary with the size of the system. Systems with fewer than 1,000 subscribers have the fewest obligations, while obligations for systems with more than 5,000 subscribers are more extensive.
If you have questions about the FCC’s public file obligations, please contact Scott Friedman or Heidi Schmid at (312) 372-3930 or sfriedman@cinnamonmueller.com or hschmid@cinnamonmueller.com.