81 FR 62812 - Adjustment of Cable Statutory License Royalty Rates

LIBRARY OF CONGRESS
Copyright Royalty Board

Federal Register Volume 81, Issue 177 (September 13, 2016)

Page Range		62812-62813
FR Document		2016-20529

On April 26, 2016, the Copyright Royalty Judges (Judges) published for comment proposed regulations governing royalty rates and terms for the distant retransmission of over-the-air television and radio broadcast stations by cable television systems to their subscribers. The participants in the proceeding concluded their negotiations and asked for readoption of the cable rate regulations without change. The Judges accepted the negotiated settlement and did not propose any substantive changes to the participants' proposed rates and terms. However, the Judges' proposed regulations updated terms, moved the rules to the chapter of the CFR that includes other applicable rules of the Copyright Royalty Board, and proposed certain other non-substantive changes to make the rules easier to read. The Judges received comments from the Phase I parties on the proposed changes and finding the suggested revisions therein clarified the rule, accepted all of the proposed changes.

Federal Register, Volume 81 Issue 177 (Tuesday, September 13, 2016)

[Federal Register Volume 81, Number 177 (Tuesday, September 13, 2016)]
[Rules and Regulations]
[Pages 62812-62813]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2016-20529]


=======================================================================
-----------------------------------------------------------------------

LIBRARY OF CONGRESS

Copyright Royalty Board

37 CFR Part 387

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


Adjustment of Cable Statutory License Royalty Rates

AGENCY: Copyright Royalty Board, Library of Congress.

ACTION: Final rule.

-----------------------------------------------------------------------

SUMMARY: On April 26, 2016, the Copyright Royalty Judges (Judges) 
published for comment proposed regulations governing royalty rates and 
terms for the distant retransmission of over-the-air television and 
radio broadcast stations by cable television systems to their 
subscribers. The participants in the proceeding concluded their 
negotiations and asked for readoption of the cable rate regulations 
without change. The Judges accepted the negotiated settlement and did 
not propose any substantive changes to the participants' proposed rates 
and terms. However, the Judges' proposed regulations updated terms, 
moved the rules to the chapter of the CFR that includes other 
applicable rules of the Copyright Royalty Board, and proposed certain 
other non-substantive changes to make the rules easier to read. The 
Judges received comments from the Phase I parties on the proposed 
changes and finding the suggested revisions therein clarified the rule, 
accepted all of the proposed changes.

DATES: Effective: September 13, 2016.
    Applicability date: January 1, 2015, through December 31, 2019.

ADDRESSES: The final rule is also posted on the agency's Web site 
(www.loc.gov/crb).

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

SUPPLEMENTARY INFORMATION: 

Background

    On April 26, 2016, the Copyright Royalty Judges (Judges) published 
for comment in the Federal Register proposed regulations governing 
royalty rates and terms for the distant retransmission of over-the-air 
television and radio broadcast stations by cable television systems to 
their subscribers for the period 2015-2019. See 81 FR 24523. The 
proposal was the result of a settlement between the National Cable & 
Telecommunications Association, the American Cable Association, and a 
group referring to itself as the ``Phase I Parties.'' \1\ The 
settlement proposed that the extant rates, terms, and gross receipts 
limitations remain unchanged through 2019. See 17 U.S.C. 111(d)(1)(B) 
and 37 CFR 256.2(c)-(d). The notice included a request for comments 
from interested parties as required by 17 U.S.C. 801(b)(7)(A).
---------------------------------------------------------------------------

    \1\ The ``Phase I Parties'' are the Program Suppliers, Joint 
Sports Claimants, Public Television Claimants, Commercial Television 
Claimants, Music Claimants, Canadian Claimants Group, National 
Public Radio, and Devotional Claimants.
---------------------------------------------------------------------------

    The Judges received the following comments on the substance of the 
proposal from the Phase I Parties:

    Proposed Sec.  387.1, second sentence. The proposed language ``. 
. . a cable system entity may engage in the activities set forth in 
17 U.S.C. 111'' appears to be vague and overly broad as compared to 
the scope of the Section 111 statutory license that is limited to 
``secondary transmissions to the public by a cable system of a 
performance or display of a work embodied in a primary transmission 
made by a broadcast station'' under certain conditions that are set 
forth in 17 U.S.C. 111(c). Accordingly, the Phase I Parties suggest 
the above-quoted language of proposed Sec.  387.1 be changed to ``. 
. . a cable system shall be subject to a statutory license 
authorizing secondary transmissions of broadcast signals to the 
extent provided in 17 U.S.C. 111.''
    Proposed Sec.  387.2(a). The proposed language, ``the royalty 
fee rates for secondary transmission by cable systems are those 
established by 17 U.S.C. 111(d)(1)(B)(i)-(iv), as amended,'' is 
potentially ambiguous in light of the express limitation at the 
beginning of Section 111(d)(1)(B) that: ``Except in the case of a 
cable system whose royalty fee is specified by subparagraph (E) or 
(F).'' This limitation means that the royalty rates in subsections 
(i)-(iv) of Section 111(d)(1)(B) apply to only one class of cable 
systems--those with semi-annual gross receipts of $527,600 or more 
(commonly known as ``Form 3 systems'')--not to all ``cable systems'' 
as the general reference in proposed Sec.  387.2(a) now suggests. 
Accordingly, the Phase I Parties suggest that the above-quoted 
language of proposed Sec.  387.2(a) be modified to incorporate the 
statutory limitation, perhaps by revising the language to state ``. 
. . by cable systems not subject to Sec.  387.2(b) of these 
regulations . . . ''
    Proposed Sec.  387.2(b). The use of ``alternate tiered rates'' 
in the title and body of this section is potentially confusing 
because these rates are not ``alternate'' rates that might apply to 
any cable system, but a separate set of rates, established by 17 
U.S.C. 111(d)(1)(E) and (F), that apply to cable systems with less 
than $527,600 in semi-annual gross receipts (commonly known as 
``Form \1/2\ systems''). In addition, use of the phrase, ``tiered 
rates,'' could cause some confusion because monthly subscriber fees 
for cable service are almost universally based on ``tiered'' bundles 
of programming services and rates. Accordingly, the Phase I Parties 
suggest that the title of proposed Sec.  387.2(b) be changed to 
``Rates for Certain Classes of Cable Systems,'' and the words 
``alternate tiered'' be deleted from the text of the regulation.
    Proposed Sec.  387.2(e). The language, ``Computation of royalty 
fess shall be governed by 17 U.S.C. 111(d)(1)(C),'' is potentially 
confusing because it might be read to suggest that any and all 
aspects of the royalty fee computation can be determined by 
reference to Section 111(d)(1)(C). While that paragraph identifies 
the computation to be used in some specific situations that might 
apply to some Form 3 systems, it does not address how some other key 
components (e.g., gross receipts and distant signal equivalent 
values) of the royalty fee calculation are determined, or how the 
3.75 percent rate and syndicated exclusivity surcharge are computer. 
Accordingly the Phase I Parties suggest that either Sec.  387.2(e) 
be deleted in its entirety or it be rewritten to state: 
``Computation of royalty fees shall be governed by 17 U.S.C. 111(d) 
and 111(f), and 37 CFR 201.17.''

Comments of the Phase I Parties on Proposed Rule at 1-3 (May 17, 2016).
    In addition to seeking comments on the proposed settlement, the 
Judges also solicited comments on the Judges' proposed relocation of 
the regulations to 37 CFR part 387, which includes other applicable 
rules of the Copyright Royalty Board. The Judges likewise solicited 
comments on certain non-substantive changes to the regulations to make 
them easier to read. The Judges received no comments on the editorial 
proposals.
    The Judges' authority to adopt proposed settlements as statutory 
rates and terms is codified in Section 801(b)(7)(A) of the Copyright 
Act. That provision of the Act authorizes the Judges to adopt as a 
basis for statutory terms and rates an agreement concerning such 
matters reached among ``some or all of the participants'' in a 
proceeding ``at any time during the proceeding'' except that the Judges 
must provide an opportunity to comment on the agreement to those that 
would be bound by the agreement. 17 U.S.C. 801(b)(7)(A)(i). In light of 
the statutory requirements regarding adoption of settlements and the 
absence of any opposition to the proposed settlement, the Judges find 
that the proposed settlement (along with the revisions proposed by the 
settling parties in their comments), which leaves the current rates and 
terms unchanged and adjusts the regulatory language to improve

[[Page 62813]]

clarity and precision, provides a reasonable basis for setting 
statutory terms and rates and, therefore, the Judges adopt the 
settlement as proposed as well as the improved language.
    Moreover, the Judges believe that the proposed change to the 
placement of the extant regulations (i.e., relocating them to 37 CFR 
part 387) and the non-substantive changes to the regulations are 
reasonable and appropriate measures to consolidate related CRB 
regulations and to make those regulations more comprehensible. 
Therefore, the Judges adopt the regulations as proposed.

List of Subjects in 37 CFR Part 387

    Cable television, Copyright, Royalties.

Final Regulations

0
In consideration of the foregoing, the Copyright Royalty Judges amend 
37 CFR chapter III by adding part 387 to read as follows:

PART 387--ADJUSTMENT OF ROYALTY FEE FOR CABLE COMPULSORY LICENSE

Sec.
387.1 General.
387.2 Royalty fee for compulsory license for secondary transmission 
by cable systems.

    Authority:  17 U.S.C. 801(b)(2), 803(b)(6).


Sec.  387.1  General.

    This part establishes adjusted terms and rates for royalty payments 
in accordance with the provisions of 17 U.S.C. 111 and 801(b)(2)(A), 
(B), (C), and (D). Upon compliance with 17 U.S.C. 111 and the terms and 
rates of this part, a cable system shall be subject to a statutory 
license authorizing secondary transmissions of broadcast signals to the 
extent provided in 17 U.S.C. 111.


Sec.  387.2  Royalty fee for compulsory license for secondary 
transmission by cable systems.

    (a) Royalty fee rates. Commencing with the first semiannual 
accounting period of 2015 and for each semiannual accounting period 
thereafter, the royalty fee rates for secondary transmission by cable 
systems not subject to paragraph (b) of this section are those 
established by 17 U.S.C. 111(d)(1)(B)(i)-(iv), as amended.
    (b) Rates for certain classes of cable systems. Commencing with the 
first semiannual accounting period of 2015 and for each semiannual 
accounting period thereafter, the alternate tiered royalty fee rates 
for cable systems with certain levels of gross receipts as described in 
17 U.S.C. 111(d)(1)(E) and (F), are those described therein.
    (c) 3.75 percent rate. Commencing with the first semiannual 
accounting period of 2015, and for each semiannual accounting period 
thereafter, and notwithstanding paragraphs (a) and (d) of this section, 
for each distant signal equivalent or fraction thereof not represented 
by the carriage of:
    (1) Any signal that was permitted (or, in the case of cable systems 
commencing operations after June 24, 1981, that would have been 
permitted) under the rules and regulations of the Federal 
Communications Commission in effect on June 24, 1981 (former 47 CFR 
76.1 through 76.617 (1980)); or
    (2) A signal of the same type (that is, independent, network, or 
non-commercial educational) substituted for such permitted signal; or
    (3) A signal that was carried pursuant to an individual waiver of 
(former 47 CFR 76.1 through 76.617 (1980)); in lieu of the royalty 
rates specified in paragraphs (a) and (d) of this section, the royalty 
rate shall be 3.75 percent of the gross receipts of the cable system 
for each distant signal equivalent. Any fraction of a distant signal 
equivalent shall be computed at its fractional value.
    (d) Syndicated exclusivity surcharge. Commencing with the first 
semiannual accounting period of 2015 and for each semiannual accounting 
period thereafter, in the case of a cable system located outside the 
35-mile specified zone of a commercial VHF station that places a 
predicted Grade B contour, in whole or in part, over the cable system, 
and that is not significantly viewed or otherwise exempt from the FCC's 
syndicated exclusivity rules in effect on June 24, 1981 (former 47 CFR 
76.151 through 76.617 (1980)), for each distant signal equivalent or 
fraction thereof represented by the carriage of such commercial VHF 
station, the royalty rate shall be, in addition to the amount specified 
in paragraph (a) of this section:
    (1) For cable systems located wholly or in part within a top 50 
television market:
    (i) 0.599 percent of such gross receipts for the first distant 
signal equivalent;
    (ii) 0.377 percent of such gross receipts for each of the second, 
third, and fourth distant signal equivalents; and
    (iii) 0.178 percent of such gross receipts for the fifth distant 
signal equivalent and each additional distant signal equivalent 
thereafter;
    (2) For cable systems located wholly or in part within a second 50 
television market:
    (i) 0.300 percent of such gross receipts for the first distant 
signal equivalent;
    (ii) 0.189 percent of such gross receipts for each of the second, 
third, and fourth distant signal equivalents; and
    (iii) 0.089 percent of such gross receipts for the fifth distant 
signal equivalent and each additional distant signal equivalent 
thereafter;
    (3) For purposes of this section ``first 50 major television 
markets'' and ``second 50 major television markets'' shall be defined 
as those terms are defined or interpreted in accordance with the 
Federal Communications Commission rule ``Major television markets'' in 
effect on June 24, 1981 (47 CFR 76.51 (1980)).
    (e) Computation of rates. Computation of royalty fees shall be 
governed by 17 U.S.C. 111(d) and 111(f) and 37 CFR 201.17.

    Dated: June 28, 2016.
Suzanne M. Barnett,
Chief Copyright Royalty Judge.
    Approved:
David S. Mao,
Acting Librarian of Congress.
[FR Doc. 2016-20529 Filed 9-12-16; 8:45 am]
BILLING CODE 1410-72-P

62812 Federal Register / Vol. 81, No. 177 / Tuesday, September 13, 2016 / Rules and Regulations

Issued under authority provided by 49 retransmission of over-the-air television and (F), that apply to cable systems with less
U.S.C. 106(f), 44701(a), and 44703, in and radio broadcast stations by cable than $527,600 in semi-annual gross receipts
Washington, DC, on September 7, 2016. television systems to their subscribers (commonly known as ‘‘Form 1⁄2 systems’’). In
Lirio Liu, addition, use of the phrase, ‘‘tiered rates,’’
for the period 2015–2019. See 81 FR could cause some confusion because monthly
Director, Office of Rulemaking. 24523. The proposal was the result of a subscriber fees for cable service are almost
[FR Doc. 2016–21963 Filed 9–12–16; 8:45 am] settlement between the National Cable & universally based on ‘‘tiered’’ bundles of
BILLING CODE 4910–13–P Telecommunications Association, the programming services and rates.
American Cable Association, and a Accordingly, the Phase I Parties suggest that
group referring to itself as the ‘‘Phase I the title of proposed § 387.2(b) be changed to
Parties.’’ 1 The settlement proposed that ‘‘Rates for Certain Classes of Cable Systems,’’
LIBRARY OF CONGRESS and the words ‘‘alternate tiered’’ be deleted
the extant rates, terms, and gross
from the text of the regulation.
Copyright Royalty Board receipts limitations remain unchanged Proposed § 387.2(e). The language,
through 2019. See 17 U.S.C. 111(d)(1)(B) ‘‘Computation of royalty fess shall be
37 CFR Part 387 and 37 CFR 256.2(c)–(d). The notice governed by 17 U.S.C. 111(d)(1)(C),’’ is
[Docket No. 15–CRB–0010–CA]
included a request for comments from potentially confusing because it might be
interested parties as required by 17 read to suggest that any and all aspects of the
U.S.C. 801(b)(7)(A). royalty fee computation can be determined
Adjustment of Cable Statutory License by reference to Section 111(d)(1)(C). While
Royalty Rates The Judges received the following
that paragraph identifies the computation to
comments on the substance of the
be used in some specific situations that might
AGENCY: Copyright Royalty Board, proposal from the Phase I Parties: apply to some Form 3 systems, it does not
Library of Congress. Proposed § 387.1, second sentence. The address how some other key components
ACTION: Final rule. proposed language ‘‘. . . a cable system (e.g., gross receipts and distant signal
entity may engage in the activities set forth equivalent values) of the royalty fee
SUMMARY: On April 26, 2016, the in 17 U.S.C. 111’’ appears to be vague and calculation are determined, or how the 3.75
Copyright Royalty Judges (Judges) overly broad as compared to the scope of the percent rate and syndicated exclusivity
published for comment proposed Section 111 statutory license that is limited surcharge are computer. Accordingly the
regulations governing royalty rates and to ‘‘secondary transmissions to the public by Phase I Parties suggest that either § 387.2(e)
terms for the distant retransmission of a cable system of a performance or display be deleted in its entirety or it be rewritten to
of a work embodied in a primary state: ‘‘Computation of royalty fees shall be
over-the-air television and radio
transmission made by a broadcast station’’ governed by 17 U.S.C. 111(d) and 111(f), and
broadcast stations by cable television under certain conditions that are set forth in 37 CFR 201.17.’’
systems to their subscribers. The 17 U.S.C. 111(c). Accordingly, the Phase I
participants in the proceeding Comments of the Phase I Parties on
Parties suggest the above-quoted language of
concluded their negotiations and asked proposed § 387.1 be changed to ‘‘. . . a cable
Proposed Rule at 1–3 (May 17, 2016).
for readoption of the cable rate system shall be subject to a statutory license In addition to seeking comments on
regulations without change. The Judges authorizing secondary transmissions of the proposed settlement, the Judges also
accepted the negotiated settlement and broadcast signals to the extent provided in 17 solicited comments on the Judges’
did not propose any substantive changes U.S.C. 111.’’ proposed relocation of the regulations to
to the participants’ proposed rates and Proposed § 387.2(a). The proposed 37 CFR part 387, which includes other
language, ‘‘the royalty fee rates for secondary applicable rules of the Copyright
terms. However, the Judges’ proposed transmission by cable systems are those
regulations updated terms, moved the Royalty Board. The Judges likewise
established by 17 U.S.C. 111(d)(1)(B)(i)–(iv), solicited comments on certain non-
rules to the chapter of the CFR that as amended,’’ is potentially ambiguous in
includes other applicable rules of the light of the express limitation at the substantive changes to the regulations to
Copyright Royalty Board, and proposed beginning of Section 111(d)(1)(B) that: make them easier to read. The Judges
certain other non-substantive changes to ‘‘Except in the case of a cable system whose received no comments on the editorial
make the rules easier to read. The royalty fee is specified by subparagraph (E) proposals.
or (F).’’ This limitation means that the royalty The Judges’ authority to adopt
Judges received comments from the
rates in subsections (i)–(iv) of Section proposed settlements as statutory rates
Phase I parties on the proposed changes 111(d)(1)(B) apply to only one class of cable and terms is codified in Section
and finding the suggested revisions systems—those with semi-annual gross 801(b)(7)(A) of the Copyright Act. That
therein clarified the rule, accepted all of receipts of $527,600 or more (commonly
provision of the Act authorizes the
the proposed changes. known as ‘‘Form 3 systems’’)—not to all
‘‘cable systems’’ as the general reference in Judges to adopt as a basis for statutory
DATES: Effective: September 13, 2016. terms and rates an agreement
Applicability date: January 1, 2015, proposed § 387.2(a) now suggests.
Accordingly, the Phase I Parties suggest that concerning such matters reached among
through December 31, 2019. the above-quoted language of proposed ‘‘some or all of the participants’’ in a
ADDRESSES: The final rule is also posted § 387.2(a) be modified to incorporate the proceeding ‘‘at any time during the
on the agency’s Web site (www.loc.gov/ statutory limitation, perhaps by revising the proceeding’’ except that the Judges must
crb). language to state ‘‘. . . by cable systems provide an opportunity to comment on
FOR FURTHER INFORMATION CONTACT: not subject to § 387.2(b) of these regulations
the agreement to those that would be
. . . ’’
Kimberly Whittle, Attorney Advisor, by Proposed § 387.2(b). The use of ‘‘alternate bound by the agreement. 17 U.S.C.
telephone at (202) 707–7658, or by tiered rates’’ in the title and body of this 801(b)(7)(A)(i). In light of the statutory
email at crb@loc.gov. section is potentially confusing because these requirements regarding adoption of
SUPPLEMENTARY INFORMATION: rates are not ‘‘alternate’’ rates that might settlements and the absence of any
apply to any cable system, but a separate set opposition to the proposed settlement,
Lhorne on DSK30JT082PROD with RULES

Background of rates, established by 17 U.S.C. 111(d)(1)(E) the Judges find that the proposed
On April 26, 2016, the Copyright settlement (along with the revisions
1 The ‘‘Phase I Parties’’ are the Program Suppliers,
Royalty Judges (Judges) published for proposed by the settling parties in their
Joint Sports Claimants, Public Television
comment in the Federal Register Claimants, Commercial Television Claimants,
comments), which leaves the current
proposed regulations governing royalty Music Claimants, Canadian Claimants Group, rates and terms unchanged and adjusts
rates and terms for the distant National Public Radio, and Devotional Claimants. the regulatory language to improve

VerDate Sep<11>2014 15:24 Sep 12, 2016 Jkt 238001 PO 00000 Frm 00004 Fmt 4700 Sfmt 4700 E:\FR\FM\13SER1.SGM 13SER1

Federal Register / Vol. 81, No. 177 / Tuesday, September 13, 2016 / Rules and Regulations 62813

clarity and precision, provides a described in 17 U.S.C. 111(d)(1)(E) and (i) 0.300 percent of such gross receipts
reasonable basis for setting statutory (F), are those described therein. for the first distant signal equivalent;
terms and rates and, therefore, the (c) 3.75 percent rate. Commencing (ii) 0.189 percent of such gross
Judges adopt the settlement as proposed with the first semiannual accounting receipts for each of the second, third,
as well as the improved language. period of 2015, and for each semiannual and fourth distant signal equivalents;
Moreover, the Judges believe that the accounting period thereafter, and and
proposed change to the placement of the notwithstanding paragraphs (a) and (d) (iii) 0.089 percent of such gross
extant regulations (i.e., relocating them of this section, for each distant signal receipts for the fifth distant signal
to 37 CFR part 387) and the non- equivalent or fraction thereof not equivalent and each additional distant
substantive changes to the regulations represented by the carriage of: signal equivalent thereafter;
are reasonable and appropriate (1) Any signal that was permitted (or, (3) For purposes of this section ‘‘first
measures to consolidate related CRB in the case of cable systems 50 major television markets’’ and
regulations and to make those commencing operations after June 24, ‘‘second 50 major television markets’’
regulations more comprehensible. 1981, that would have been permitted) shall be defined as those terms are
Therefore, the Judges adopt the under the rules and regulations of the defined or interpreted in accordance
regulations as proposed. Federal Communications Commission with the Federal Communications
in effect on June 24, 1981 (former 47 Commission rule ‘‘Major television
List of Subjects in 37 CFR Part 387 CFR 76.1 through 76.617 (1980)); or markets’’ in effect on June 24, 1981 (47
Cable television, Copyright, Royalties. (2) A signal of the same type (that is, CFR 76.51 (1980)).
independent, network, or non- (e) Computation of rates.
Final Regulations Computation of royalty fees shall be
commercial educational) substituted for
such permitted signal; or governed by 17 U.S.C. 111(d) and 111(f)
■ In consideration of the foregoing, the
(3) A signal that was carried pursuant and 37 CFR 201.17.
Copyright Royalty Judges amend 37 CFR
chapter III by adding part 387 to read as to an individual waiver of (former 47 Dated: June 28, 2016.
follows: CFR 76.1 through 76.617 (1980)); in lieu Suzanne M. Barnett,
of the royalty rates specified in Chief Copyright Royalty Judge.
PART 387—ADJUSTMENT OF paragraphs (a) and (d) of this section, Approved:
ROYALTY FEE FOR CABLE the royalty rate shall be 3.75 percent of David S. Mao,
COMPULSORY LICENSE the gross receipts of the cable system for
Acting Librarian of Congress.
each distant signal equivalent. Any
Sec. [FR Doc. 2016–20529 Filed 9–12–16; 8:45 am]
fraction of a distant signal equivalent
387.1 General. BILLING CODE 1410–72–P
387.2 Royalty fee for compulsory license for shall be computed at its fractional value.
secondary transmission by cable (d) Syndicated exclusivity surcharge.
systems. Commencing with the first semiannual
accounting period of 2015 and for each ENVIRONMENTAL PROTECTION
Authority: 17 U.S.C. 801(b)(2), 803(b)(6). AGENCY
semiannual accounting period
§ 387.1 General. thereafter, in the case of a cable system
located outside the 35-mile specified 40 CFR Part 52
This part establishes adjusted terms
and rates for royalty payments in zone of a commercial VHF station that [EPA–R02–OAR–2016–0060; FRL–9945–84–
accordance with the provisions of 17 places a predicted Grade B contour, in Region 2]
U.S.C. 111 and 801(b)(2)(A), (B), (C), whole or in part, over the cable system,
and that is not significantly viewed or Approval of Air Quality Implementation
and (D). Upon compliance with 17 Plans; Puerto Rico; Infrastructure
U.S.C. 111 and the terms and rates of otherwise exempt from the FCC’s
syndicated exclusivity rules in effect on Requirements for the 1997 and 2008
this part, a cable system shall be subject Ozone, 1997 and 2006 Fine Particulate
to a statutory license authorizing June 24, 1981 (former 47 CFR 76.151
through 76.617 (1980)), for each distant Matter and 2008 Lead NAAQS
secondary transmissions of broadcast
signals to the extent provided in 17 signal equivalent or fraction thereof AGENCY: Environmental Protection
U.S.C. 111. represented by the carriage of such Agency (EPA).
commercial VHF station, the royalty rate ACTION: Final rule.
§ 387.2 Royalty fee for compulsory license shall be, in addition to the amount
for secondary transmission by cable specified in paragraph (a) of this SUMMARY: The Environmental Protection
systems. section: Agency (EPA) is approving most
(a) Royalty fee rates. Commencing (1) For cable systems located wholly elements of the five State
with the first semiannual accounting or in part within a top 50 television Implementation Plan (SIP) revision
period of 2015 and for each semiannual market: submittals from the Commonwealth of
accounting period thereafter, the royalty (i) 0.599 percent of such gross receipts Puerto Rico to demonstrate that the
fee rates for secondary transmission by for the first distant signal equivalent; State meets the requirements of section
cable systems not subject to paragraph (ii) 0.377 percent of such gross 110(a)(1) and (2) of the Clean Air Act
(b) of this section are those established receipts for each of the second, third, (CAA) for the 1997 and 2008 ozone,
by 17 U.S.C. 111(d)(1)(B)(i)–(iv), as and fourth distant signal equivalents; 1997 and 2006 fine particulate matter
amended. and (PM2.5) and 2008 lead National Ambient
(b) Rates for certain classes of cable (iii) 0.178 percent of such gross Air Quality Standards (NAAQS). The
Lhorne on DSK30JT082PROD with RULES

systems. Commencing with the first receipts for the fifth distant signal SIP is required to address basic program
semiannual accounting period of 2015 equivalent and each additional distant elements, including, but not limited to:
and for each semiannual accounting signal equivalent thereafter; Regulatory structure, monitoring,
period thereafter, the alternate tiered (2) For cable systems located wholly modeling, legal authority, and adequate
royalty fee rates for cable systems with or in part within a second 50 television resources necessary to assure attainment
certain levels of gross receipts as market: and maintenance of the standards.

VerDate Sep<11>2014 15:24 Sep 12, 2016 Jkt 238001 PO 00000 Frm 00005 Fmt 4700 Sfmt 4700 E:\FR\FM\13SER1.SGM 13SER1

Document Created: 2018-02-09 13:16:57
Document Modified: 2018-02-09 13:16:57

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		Rules and Regulations
Action		Final rule.
Dates		Effective: September 13, 2016.
Contact		Kimberly Whittle, Attorney Advisor, by telephone at (202) 707-7658, or by email at [email protected]
FR Citation		81 FR 62812
CFR Associated		Cable Television; Copyright and Royalties

81 FR 62812 - Adjustment of Cable Statutory License Royalty Rates

LIBRARY OF CONGRESSCopyright Royalty Board

Federal Register Volume 81, Issue 177 (September 13, 2016)

LIBRARY OF CONGRESS
Copyright Royalty Board