81 FR 24655 - Adjustment of Cable Statutory License Royalty Rates

LIBRARY OF CONGRESS
Copyright Royalty Board

Federal Register Volume 81, Issue 80 (April 26, 2016)

Page Range		24655-24656
FR Document		2016-09635

The Copyright Royalty Judges (Judges) announce partial settlement of the proceeding to adjust the rates for the cable statutory license described in section 111 of the Copyright Act (Rate Adjustment Proceeding). The Judges also announce commencement of further proceedings resulting from action by the Federal Communications Commission (FCC) effecting a change in the Sports Rule. Any party that has filed a Petition to Participate in the present proceeding may file a Notice of Intent to Participate in the Sports Rule Surcharge portion of the proceeding without payment of a further filing fee. Any other party in interest wishing to participate in the Sports Rule Surcharge portion of the proceeding must file its Petition to Participate and pay the $150 filing fee.

Federal Register, Volume 81 Issue 80 (Tuesday, April 26, 2016)

[Federal Register Volume 81, Number 80 (Tuesday, April 26, 2016)]
[Notices]
[Pages 24655-24656]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2016-09635]


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LIBRARY OF CONGRESS

Copyright Royalty Board

[Docket No. 15-CRB-0010-CA]


Adjustment of Cable Statutory License Royalty Rates

AGENCY: Copyright Royalty Board, Library of Congress.

ACTION: Notice announcing partial settlement and commencement of 
further proceedings on the issue of a proposed Sports Rule Surcharge, 
with request for further petitions to participate.

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SUMMARY: The Copyright Royalty Judges (Judges) announce partial 
settlement of the proceeding to adjust the rates for the cable 
statutory license described in section 111 of the Copyright Act (Rate 
Adjustment Proceeding). The Judges also announce commencement of 
further proceedings resulting from action by the Federal Communications 
Commission (FCC) effecting a change in the Sports Rule. Any party that 
has filed a Petition to Participate in the present proceeding may file 
a Notice of Intent to Participate in the Sports Rule Surcharge portion 
of the proceeding without payment of a further filing fee. Any other 
party in interest wishing to participate in the Sports Rule Surcharge 
portion of the proceeding must file its Petition to Participate and pay 
the $150 filing fee.

DATES: Petitions to Participate and the filing fee are due no later 
than May 26, 2016.

ADDRESSES: This notice and request is posted on the agency's Web site 
(www.loc.gov/crb) and on Regulations.gov (www.regulations.gov). Parties 
who plan to participate should see the ``How to Submit Petitions to 
Participate'' sub-section of the Supplementary Information section 
below for physical addresses and further instructions.

FOR FURTHER INFORMATION CONTACT: Kimberly Whittle, Attorney-Advisor, by 
telephone at (202) 707-7658, or by email at [email protected].

SUPPLEMENTARY INFORMATION: 

Background

    Section 111 of the Copyright Act grants a statutory copyright 
license to cable television systems for the retransmission of over-the-
air television and radio broadcast stations to their subscribers. 17 
U.S.C. 111(c). In exchange for the license, cable operators submit 
royalty payments and statements of account detailing their 
retransmissions semiannually to the

[[Page 24656]]

Copyright Office. 17 U.S.C. 111(d)(1). The Copyright Office deposits 
the royalties into the United States Treasury for later distribution to 
copyright owners of the broadcast programming that the cable systems 
retransmit. 17 U.S.C. 111(d)(2).
    A cable system calculates its royalty payments in accordance with 
the statutory formula described in 17 U.S.C. 111(d)(1). Royalty rates 
are based upon a cable system's gross receipts from subscribers who 
receive retransmitted broadcast signals. For rate calculation purposes, 
cable systems are divided into three tiers based on their gross 
receipts (small, medium, and large). 17 U.S.C. 111(d)(1)(B) through 
(F). Both the applicable rates and the tiers are subject to adjustment. 
17 U.S.C. 801(b)(2).
    Every five years persons with a significant interest in the royalty 
rates may file petitions to initiate a proceeding to adjust the rates. 
17 U.S.C. 804(a) and (b). No person with a significant interest filed a 
petition to initiate a proceeding in 2015.\1\ Therefore, the Copyright 
Royalty Judges (Judges) initiated this rate adjustment proceeding 
relating to statutory licenses for the distant retransmission by cable 
systems of over-the-air broadcast radio and television programming. See 
17 U.S.C. 801(b)(2), 803(b)(1), 804(a) and (b), by notice published in 
the Federal Register on June 19, 2015.
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    \1\ The cable rates were last adjusted in 2005. Although the 
Judges commenced a rate proceeding relating to the 2010 rate 
adjustment, the Judges terminated it when passage of the Satellite 
Television Extension and Localism Act of 2010, Pub. L. 111-175, 
rendered the proceeding unnecessary. Order Granting Request to 
Terminate Proceeding, Docket No. 2010-1 CRB Cable Rate (July 13, 
2010).
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    The Judges received two joint Petitions to Participate, one from a 
group referring to itself as Phase I Parties \2\ and another from the 
National Cable & Telecommunications Association and the American Cable 
Association. The Judges accepted these petitions and commenced a 
Voluntary Negotiation Period (VNP).
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    \2\ The Phase I Parties consist of: Program Suppliers, Joint 
Sports Claimants, Public Television Claimants, Commercial Television 
Claimants, Music Claimants, Canadian Claimants Group, National 
Public Radio, and Devotional Claimants.
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    On November 23, 2015, the Joint Sports Claimants \3\ filed a 
``Petition . . . to Initiate Cable Royalty Rate Adjustment 
Proceedings'' with a self-styled caption indicating a proceeding for 
cable rate adjustments ``for Retransmission of Certain Sports 
Telecasts.'' On December 15, 2015, at the conclusion of the VNP, all 
participants, including the Joint Sports Claimants, notified the Judges 
of a global settlement and asked that cable retransmission rates remain 
unchanged for the rate period 2015 to 2019, inclusive. Given the 
conflicting positions of the Joint Sports Claimants, the Judges 
rejected the proposed global settlement, without prejudice.
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    \3\ The Joint Sports Claimants consist of: The National 
Basketball Association, the National Collegiate Athletic 
Association, the National Football League, the National Hockey 
League, the Office of the Commissioner of Baseball, and the Women's 
National Basketball Association.
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    Settling participants have now asked that the Judges accept the 
negotiated settlement as a ``partial settlement'' and permit continuing 
proceedings to determine whether and to what degree to make a rate 
adjustment under section 801(b)(2)(C). Section 801(b)(2)(C) provides 
for adjustment proceedings \4\ in the event of an FCC rule change 
``with respect to . . . sports program exclusivity. . . .'' The Joint 
Sports Claimants base their separate petition on an FCC rule change, 
viz., repeal of the sports exclusivity rule, effective November 24, 
2014.
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    \4\ Sports program exclusivity proceedings may be conducted 
apart from the quinquennial proceedings required by Sec.  804 of the 
Act.
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    The Judges give this notice and opportunity for additional parties 
to file a Petition to Participate in the extant proceeding. The Judges 
shall continue the proceeding solely for determination of what rate 
adjustment, if any, should result from the FCC rule change. According 
to the Act, any adjustment resulting from the remainder of this 
proceeding shall be limited to those broadcast signals carried on 
systems affected by the FCC rule change. See 17 U.S.C. 801(b)(2)(C).

How To Submit Petitions to Participate

    Any party that has filed a Petition to Participate in the present 
proceeding need only file a Notice of Intent to Participate in the 
Sports Rule Surcharge portion of the proceeding. Any other party 
wishing to participate in the proceeding to determine a Sports Rule 
Surcharge adjustment to the cable royalty rate shall submit to the 
Copyright Royalty Board the filing fee (US $150), an original Petition 
to Participate, five paper copies, and an electronic copy on a CD or 
other portable memory device in Portable Document Format (PDF) that 
contains searchable, accessible text (not a scanned image of text). 
Participants should conform filed electronic documents to the Judges' 
Guidelines for Electronic Documents posted online at www.loc.gov/crb/docs/Guidelinesfor_Electronic_Documents.pdf. Participants shall deliver 
Petitions to Participate to only one of the following addresses.
    U.S. mail: Copyright Royalty Board, PO Box 70977, Washington, DC 
20024-0977; or
    Overnight service (only USPS Express Mail is acceptable): Copyright 
Royalty Board, PO Box 70977, Washington, DC 20024-0977; or
    Commercial courier: Address package to: Copyright Royalty Board, 
Library of Congress, James Madison Memorial Building, LM-403, 101 
Independence Avenue SE., Washington, DC 20559-6000. Deliver to: 
Congressional Courier Acceptance Site, 2nd Street NE. and D Street NE., 
Washington, DC; or
    Hand delivery: Library of Congress, James Madison Memorial 
Building, LM-401, 101 Independence Avenue SE., Washington, DC 20559-
6000.

    Dated: April 20, 2016.
Suzanne M. Barnett,
Chief Copyright Royalty Judge.
[FR Doc. 2016-09635 Filed 4-25-16; 8:45 am]
 BILLING CODE 1410-72-P

Federal Register / Vol. 81, No. 80 / Tuesday, April 26, 2016 / Notices 24655

the ETP Performance Report is also notices published in the Federal LIBRARY OF CONGRESS
included in this ICR. While not Register on April 16, 2015 (80 FR
proposing a format that persons 20573), and July 22, 2015 (80 FR 43474). Copyright Royalty Board
participating in WIOA covered Interested parties are encouraged to [Docket No. 15–CRB–0010–CA]
programs must follow, as these process send comments to the OMB, Office of
decisions may be best left to State Information and Regulatory Affairs at Adjustment of Cable Statutory License
agencies that may have additional the address shown in the ADDRESSES Royalty Rates
needs, the ICR does recognize that section within thirty (30) days of
performance reporting may require the publication of this notice in the Federal AGENCY: Copyright Royalty Board,
collection of information that would not Register. In order to help ensure Library of Congress.
otherwise be obtained; consequently, appropriate consideration, comments ACTION: Notice announcing partial
the agencies have estimated the impact should mention OMB ICR Reference settlement and commencement of
of those activities on individuals and Number 201604–1205–002. further proceedings on the issue of a
States. WIOA section 185 authorizes While comments on any aspect of this proposed Sports Rule Surcharge, with
this information collection. See 29 ICR are welcome, specific comments are request for further petitions to
U.S.C. 3245. sought on ETP terms definitions and participate.
This ICR does not include the corresponding calculations of WIOA
specifics on the data collection format performance measures as they relate to SUMMARY: The Copyright Royalty Judges
(e.g., a spreadsheet, comma delimited the ETP report. Comments are also (Judges) announce partial settlement of
text file, or other application program sought on the proposed method for the proceeding to adjust the rates for the
interface) that must be used to submit calculating the total number of cable statutory license described in
the data to the DOL (e.g., through an individuals served in a program of section 111 of the Copyright Act (Rate
online portal). That feature will be the study. The OMB is also particularly Adjustment Proceeding). The Judges
subject of a future ICR, and public interested in comments that: also announce commencement of
comment will be solicited at that time. • Evaluate whether the proposed further proceedings resulting from
This ICR is being submitted to OMB collection of information is necessary action by the Federal Communications
for review, comment, and approval for the proper performance of the Commission (FCC) effecting a change in
under a process that will subsequently functions of the agency, including the Sports Rule. Any party that has filed
allow other agencies to use this ICR. The whether the information will have a Petition to Participate in the present
Department of Education is also engaged practical utility; proceeding may file a Notice of Intent to
in the collection of WIOA performance • Evaluate the accuracy of the Participate in the Sports Rule Surcharge
data, and the two Departments have agency’s estimate of the burden of the portion of the proceeding without
worked collaboratively to develop this proposed collection of information, payment of a further filing fee. Any
ICR. In accordance with the PRA and including the validity of the other party in interest wishing to
guidance provided by OMB for common methodology and assumptions used; participate in the Sports Rule Surcharge
form types of collections used by more • Enhance the quality, utility, and portion of the proceeding must file its
than one agency, Reginfo.gov database clarity of the information to be Petition to Participate and pay the $150
burden information is to reflect that collected; and filing fee.
only for host agency (DOL in this case) • Minimize the burden of the
DATES: Petitions to Participate and the
when the collection is first submitted; collection of information on those who
are to respond, including through the filing fee are due no later than May 26,
consequently, this notice also reflects 2016.
only the DOL burden. In order to use of appropriate automated,
electronic, mechanical, or other ADDRESSES: This notice and request is
present a more complete view for public
technological collection techniques or posted on the agency’s Web site
comment, however, the supporting
other forms of information technology, (www.loc.gov/crb) and on
statement discusses total burdens—
including that for the Department of e.g., permitting electronic submission of Regulations.gov (www.regulations.gov).
Education. Under the common form responses. Parties who plan to participate should
data collection type, the DOL burden Agency: DOL–ETA. see the ‘‘How to Submit Petitions to
must first be approved by OMB with Title of Collection: Workforce Participate’’ sub-section of the
other agency burden added by OMB Innovation and Opportunity Act Supplementary Information section
through a change request process once Common Performance Reporting. below for physical addresses and further
the common form has been cleared. OMB ICR Reference Number: 201604– instructions.
This proposed information collection 1205–002. FOR FURTHER INFORMATION CONTACT:
is subject to the PRA. A Federal agency Affected Public: State, Local, and Kimberly Whittle, Attorney-Advisor, by
generally cannot conduct or sponsor a Tribal Governments; Individuals or telephone at (202) 707–7658, or by
collection of information, and the public Households. email at crb@loc.gov.
is generally not required to respond to Total Estimated Number of
SUPPLEMENTARY INFORMATION:
an information collection, unless it is Respondents: 15,489,620.
Total Estimated Number of Background
approved by the OMB under the PRA
Responses: 30,969,570.
and displays a currently valid OMB Section 111 of the Copyright Act
Total Estimated Annual Time Burden:
Control Number. In addition, grants a statutory copyright license to
7,965,526 hours.
mstockstill on DSK4VPTVN1PROD with NOTICES

notwithstanding any other provisions of Total Estimated Annual Other Costs cable television systems for the
law, no person shall generally be subject Burden: $25,848,060. retransmission of over-the-air television
to penalty for failing to comply with a and radio broadcast stations to their
collection of information if the Dated: April 20, 2016. subscribers. 17 U.S.C. 111(c). In
collection of information does not Michel Smyth, exchange for the license, cable operators
display a valid Control Number. See 5 Departmental Clearance Officer. submit royalty payments and statements
CFR 1320.5(a) and 1320.6. For [FR Doc. 2016–09637 Filed 4–25–16; 8:45 am] of account detailing their
additional information, see the related BILLING CODE 4510–FN–P retransmissions semiannually to the

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24656 Federal Register / Vol. 81, No. 80 / Tuesday, April 26, 2016 / Notices

Copyright Office. 17 U.S.C. 111(d)(1). Retransmission of Certain Sports shall deliver Petitions to Participate to
The Copyright Office deposits the Telecasts.’’ On December 15, 2015, at only one of the following addresses.
royalties into the United States Treasury the conclusion of the VNP, all U.S. mail: Copyright Royalty Board,
for later distribution to copyright participants, including the Joint Sports PO Box 70977, Washington, DC 20024–
owners of the broadcast programming Claimants, notified the Judges of a 0977; or
that the cable systems retransmit. 17 global settlement and asked that cable Overnight service (only USPS Express
U.S.C. 111(d)(2). retransmission rates remain unchanged Mail is acceptable): Copyright Royalty
A cable system calculates its royalty for the rate period 2015 to 2019, Board, PO Box 70977, Washington, DC
payments in accordance with the inclusive. Given the conflicting 20024–0977; or
statutory formula described in 17 U.S.C. positions of the Joint Sports Claimants, Commercial courier: Address package
111(d)(1). Royalty rates are based upon the Judges rejected the proposed global to: Copyright Royalty Board, Library of
a cable system’s gross receipts from settlement, without prejudice. Congress, James Madison Memorial
subscribers who receive retransmitted Settling participants have now asked Building, LM–403, 101 Independence
broadcast signals. For rate calculation that the Judges accept the negotiated Avenue SE., Washington, DC 20559–
purposes, cable systems are divided into settlement as a ‘‘partial settlement’’ and 6000. Deliver to: Congressional Courier
three tiers based on their gross receipts permit continuing proceedings to Acceptance Site, 2nd Street NE. and D
(small, medium, and large). 17 U.S.C. determine whether and to what degree Street NE., Washington, DC; or
111(d)(1)(B) through (F). Both the Hand delivery: Library of Congress,
to make a rate adjustment under section
applicable rates and the tiers are subject James Madison Memorial Building, LM–
801(b)(2)(C). Section 801(b)(2)(C)
to adjustment. 17 U.S.C. 801(b)(2). 401, 101 Independence Avenue SE.,
provides for adjustment proceedings 4 in
Every five years persons with a Washington, DC 20559–6000.
the event of an FCC rule change ‘‘with
significant interest in the royalty rates respect to . . . sports program Dated: April 20, 2016.
may file petitions to initiate a exclusivity. . . .’’ The Joint Sports Suzanne M. Barnett,
proceeding to adjust the rates. 17 U.S.C. Claimants base their separate petition Chief Copyright Royalty Judge.
804(a) and (b). No person with a on an FCC rule change, viz., repeal of [FR Doc. 2016–09635 Filed 4–25–16; 8:45 am]
significant interest filed a petition to the sports exclusivity rule, effective BILLING CODE 1410–72–P
initiate a proceeding in 2015.1 November 24, 2014.
Therefore, the Copyright Royalty Judges
The Judges give this notice and
(Judges) initiated this rate adjustment
opportunity for additional parties to file NATIONAL ARCHIVES AND RECORDS
proceeding relating to statutory licenses
a Petition to Participate in the extant ADMINISTRATION
for the distant retransmission by cable
proceeding. The Judges shall continue
systems of over-the-air broadcast radio [NARA–2016–027]
the proceeding solely for determination
and television programming. See 17
of what rate adjustment, if any, should Records Schedules; Availability and
U.S.C. 801(b)(2), 803(b)(1), 804(a) and
result from the FCC rule change. Request for Comments
(b), by notice published in the Federal
According to the Act, any adjustment
Register on June 19, 2015. AGENCY: National Archives and Records
resulting from the remainder of this
The Judges received two joint Administration (NARA).
proceeding shall be limited to those
Petitions to Participate, one from a
broadcast signals carried on systems ACTION: Notice of availability of
group referring to itself as Phase I
affected by the FCC rule change. See 17 proposed records schedules; request for
Parties 2 and another from the National
U.S.C. 801(b)(2)(C). comments.
Cable & Telecommunications
Association and the American Cable How To Submit Petitions to Participate SUMMARY: The National Archives and
Association. The Judges accepted these Records Administration (NARA)
petitions and commenced a Voluntary Any party that has filed a Petition to
Participate in the present proceeding publishes notice at least once monthly
Negotiation Period (VNP). of certain Federal agency requests for
On November 23, 2015, the Joint need only file a Notice of Intent to
Participate in the Sports Rule Surcharge records disposition authority (records
Sports Claimants 3 filed a ‘‘Petition . . . schedules). Once approved by NARA,
to Initiate Cable Royalty Rate portion of the proceeding. Any other
party wishing to participate in the records schedules provide mandatory
Adjustment Proceedings’’ with a self- instructions on what happens to records
styled caption indicating a proceeding proceeding to determine a Sports Rule
Surcharge adjustment to the cable when no longer needed for current
for cable rate adjustments ‘‘for Government business. They authorize
royalty rate shall submit to the
Copyright Royalty Board the filing fee agencies to preserve records of
1 The cable rates were last adjusted in 2005.
(US $150), an original Petition to continuing value in the National
Although the Judges commenced a rate proceeding
relating to the 2010 rate adjustment, the Judges Participate, five paper copies, and an Archives of the United States and to
terminated it when passage of the Satellite electronic copy on a CD or other destroy, after a specified period, records
Television Extension and Localism Act of 2010,
portable memory device in Portable lacking administrative, legal, research,
Pub. L. 111–175, rendered the proceeding or other value. NARA publishes notice
unnecessary. Order Granting Request to Terminate Document Format (PDF) that contains
Proceeding, Docket No. 2010–1 CRB Cable Rate searchable, accessible text (not a for records schedules in which agencies
(July 13, 2010). scanned image of text). Participants propose to destroy records not
2 The Phase I Parties consist of: Program
should conform filed electronic previously authorized for disposal or
Suppliers, Joint Sports Claimants, Public Television reduce the retention period of records
mstockstill on DSK4VPTVN1PROD with NOTICES

Claimants, Commercial Television Claimants, documents to the Judges’ Guidelines for
Music Claimants, Canadian Claimants Group, Electronic Documents posted online at already authorized for disposal. NARA
National Public Radio, and Devotional Claimants. www.loc.gov/crb/docs/Guidelinesfor_ invites public comments on such
3 The Joint Sports Claimants consist of: The
Electronic_Documents.pdf. Participants records schedules, as required by 44
National Basketball Association, the National U.S.C. 3303a(a).
Collegiate Athletic Association, the National
DATES: NARA must receive requests for
Football League, the National Hockey League, the 4 Sports program exclusivity proceedings may be

Office of the Commissioner of Baseball, and the conducted apart from the quinquennial proceedings copies in writing by May 26, 2016. Once
Women’s National Basketball Association. required by § 804 of the Act. NARA completes appraisal of the

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Document Created: 2016-04-26 01:37:00
Document Modified: 2016-04-26 01:37:00

Category		Regulatory Information
Collection		Federal Register
sudoc Class		AE 2.7: GS 4.107: AE 2.106:
Publisher		Office of the Federal Register, National Archives and Records Administration
Section		Notices
Action		Notice announcing partial settlement and commencement of further proceedings on the issue of a proposed Sports Rule Surcharge, with request for further petitions to participate.
Dates		Petitions to Participate and the filing fee are due no later than May 26, 2016.
Contact		Kimberly Whittle, Attorney-Advisor, by telephone at (202) 707-7658, or by email at [email protected]
FR Citation		81 FR 24655

81 FR 24655 - Adjustment of Cable Statutory License Royalty Rates

LIBRARY OF CONGRESSCopyright Royalty Board

Federal Register Volume 81, Issue 80 (April 26, 2016)

LIBRARY OF CONGRESS
Copyright Royalty Board