UPDATE

December 16, 2011

HAPPY HOLIDAYS FROM CINNAMON MUELLER!

FCC Adopts CALM Act Rules – New Rules Address TV Commercial Volumes 

On December 13, 2011, the FCC adopted an Order implementing rules in response to the 2010 Commercial Advertisement Loudness Mitigation Act (the “CALM Act”).  The rules require broadcast stations and MVPDs, beginning December 13, 2012, to ensure that all commercials are transmitted to consumers at the appropriate loudness level.  The rules cover advertisements locally inserted by MVPDs and those that come embedded from a content provider.  

For MVPDs that locally insert commercials, the FCC will assume compliance if the MVPD: 

• Has installed the required equipment (under the A/85 Recommended Practice, a standard adopted by the ATSC) ;
• Uses the equipment in connection with the insertions; and
• Keeps the equipment in good working order (with records showing the equipment’s use and that the equipment has undergone periodic maintenance and testing).

For embedded commercials, MVPDs can rely on a “safe harbor” to prove compliance:  

• For certified programming, the MVPD may rely on a programmer’s certification if the MVPD has no reason to believe the certification is false.  
• For non-certified programming, MVPDs with over 10 million subscribers must annually spot check 100% of non-certified programming, and MVPDs with between 400,000 and 10 million subscribers must annually spot check 50% of non-certified programming.  MVPDs with less than 400,000 subscribers are exempt from these spot check obligations.  

If you have any questions about the CALM Act rules, please contact Scott Friedman at (312) 372-3930 or via email at sfriedman@cm-chi.com.

FCC Issues Form 477 Enforcement Advisory – Form 477 Filing Due March 1, 2012 

To promote compliance with the FCC’s Form 477 filing rules, the FCC’s Enforcement Bureau recently released an Enforcement Advisory reminding broadband and interconnected VoIP providers of the March 1, 2012 filing deadline.  In addition, the FCC warned that it will take appropriate enforcement action against non-compliant companies. 

The FCC noted three recurring deficiencies:  (i) failing to file data in a timely fashion, if at all; (ii) failing to have a company official certify that the information submitted is correct; and (iii) filing incomplete or inaccurate data. 

The next Form 477 filing is due March 1, 2012 (reporting data as of December 31, 2011).  For this filing, the FCC’s electronic system will only recognize 2010 Census tract codes.  Further information about the Form 477 and 2010 Census tracts is available online: 

• Census Tract Information, Filing Instructions, and a Link to File Form 477:                          http://transition.fcc.gov/form477
• 2010 Census Tract Reference Maps: http://www.census.gov/geo/www/maps/pl10_map_suite/tract.html
• 2010 Census Tract Relationship Files: http://www.census.gov/geo/www/2010census/tract_rel/tract_rel.html  

For more information about filing Form 477, please contact Scott Friedman at (312) 372-3930 or via email at sfriedman@cm-chi.com.

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. 

If you have any questions about copyright forms or fees, please contact Heidi Schmid at (312) 372-3930 or via email at hschmid@cm-chi.com. 

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 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 or via email at bbeard@cm-chi.com.

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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.