Electronic Cable Notifications Get Support, but Divides Remain on Carriage Elections Delivery

NAB urged carriage elections rules changes so when a broadcaster fails to make an election decision for a cable system, the default is retransmission consent instead of must-carry status, and that broadcasters can satisfy their notice requirements by putting those elections in their online public files. It said direct broadcast satellite rules already default to retransmission consent if broadcasters don't make a carriage election, and standardizing cable rules with DBS reduces the risk of a broadcaster inadvertently violating the election rules. CBS, Disney, Fox and Univision, plus the ABC, CBS, NBC and Fox TV affiliates associations, also backed the retransmission consent default for broadcast stations and providing carriage election notices electronically, as did Nexstar (see here). Meredith supported stations being allowed to put their election notices in their FCC.gov public inspection files, making it easy for cable operators to check those files for elections.

American Cable Association backed delivering required subscriber notices and responding to some consumer requests or billing dispute complaints electronically, and urged "a cautious approach" to changes to rules about how broadcasters notify MVPDs about their carriage elections. It said new procedures must not allow uncertainty about whether a cable operator has received a timely notice and must not impose new MVPD regulatory burdens. It also urged eliminating rules requiring cable operators to offer and provide special equipment enabling the simultaneous reception of multiple signals and offer consumer education on equipment and signal compatibility. Dish Network said carriage election process changes aren't necessary, but if changes are made, one could be creating an FCC-hosted website where broadcasters would make their carriage election decisions. It opposed carriage election notification changes such as email delivery, saying it doesn't provide "the necessary level of certainty."

Cable operators should have more flexibility in pointing customers to company websites and the freedom to use other electronic messaging formats like SMS texting, NCTA said, saying it doesn't oppose simplifying the retrans/must-carry election notification process. Both it and ACA also urged eliminating FCC rules requiring provision of special equipment to support picture-in-picture functionality and multiple signal reception, and the obligation to educate consumers on VCRs and picture-in-picture compatibility. NTCA said allowing emailing notices to subscribers would be a particular boon to small rural MVPDs with limited resources.

"Consumers increasingly prefer the ease and effectiveness" of electronic communication with service providers, AT&T said in support of allowing video providers to email privacy notifications to subscribers. Verizon also backed (see here) allowing electronic delivery of routine subscriber notices and broadcaster carriage election notices. But AT&T said it opposes letting broadcasters post triennial satellite carriage elections to their websites or to online public files in lieu of mailing those notices to DBS operators, since that would force it and Dish Network to "scour 1,700 broadcaster websites or online public files." It suggested the FCC could shave the DBS carriage election notice burdens by moving the satellite election deadline from Oct. 1 to July 1, giving DBS operators six months’ notice before commencement of a new election cycle. It also asked that the FCC require DBS providers to respond to broadcaster requests within 60 days instead of the current 30 days.

America's Public TV Stations, Corporation for Public Broadcasting and Public Broadcasting Service in joint comments said the certified mail system for carriage election notifications to MVPDs has resulted in "regulatory 'gotcha,'" with at least one noncommercial educational TV (NCE-TV) station recently being told its carriage election was improper when it used another, faster U.S. Postal Service delivery method. They also urged the FCC to tackle a "rule misalignment" that requires them to elect to choose mandatory carriage on DBS every three years, even though there are no other options to select and such mandatory carriage is automatic on cable systems. They said the NCE-TV obligation to re-file satellite carriage requests every three years should be axed.