FCC 76.504 Revised as of October 1, 2014
Goto Year:2013 |
§ 76.504 Limits on carriage of vertically integrated programming.
(a) Except as otherwise provided in this section no cable operator
shall devote more than 40 percent of its activated channels to the
carriage of national video programming services owned by the cable
operator or in which the cable operator has an attributable interest.
(b) The channel occupancy limits set forth in paragraph (a) of this
section shall apply only to channel capacity up to 75 channels.
(c) A cable operator may devote two additional channels or up to 45
percent of its channel capacity, whichever is greater, to the carriage
of video programming services owned by the cable operator or in which
the cable operator has an attributable interest provided such video
programming services are minority-controlled.
(d) Cable operators carrying video programming services owned by the
cable operator or in which the cable operator holds an attributable
interest in excess of limits set forth in paragraph (a) of this section
as of December 4, 1992, shall not be precluded by the restrictions in
(e) Minority-controlled means more than 50 percent owned by one or more
members of a minority group.
(f) Minority means Black, Hispanic, American Indian, Alaska Native,
Asian and Pacific Islander.
Note 1: Attributable interest shall be defined by reference to the
criteria set forth in Notes 1 through 5 to § 76.501 provided however,
(a) Notes 2(f) and 2(g) to § 76.501 to shall not apply;
(b)(1) Subject to Note 2(i) to § 76.501, a limited partnership interest
shall be attributed to a limited partner unless that partner is not
materially involved, directly or indirectly, in the management or
operation of the video programming-related activities of the
partnership and the relevant entity so certifies. An interest in a
Limited Liability Company ("LLC") or Registered Limited Liability
Partnership ("RLLP") shall be attributed to the interest holder unless
that interest holder is not materially involved, directly or
indirectly, in the management or operation of the video
programming-related activities of the partnership and the relevant
entity so certifies.
(2) In the case of a limited partnership, in order for an entity to
make the certification set forth in paragraph (b)(1) of this section,
it must verify that the partnership agreement or certificate of limited
partnership, with respect to the particular limited partner exempt from
attribution, establishes that the exempt limited partner has no
material involvement, directly or indirectly, in the management or
operation of the video programming activities of the partnership. In
the case of an LLC or RLLP, in order for an entity to make the
certification set forth in paragraph (g)(1) of this section, it must
verify that the organizational document, with respect to the particular
interest holder exempt from attribution, establishes that the exempt
interest holder has no material involvement, directly or indirectly, in
the management or operation of the video programming activities of the
LLC or RLLP. The criteria which would assume adequate insulation for
purposes of these certifications are described in the Report and Order,
FCC No. 99-288, CS Docket No. 98-82 (released October 20, 1999). In
order for the Commission to accept the certification, the certification
must be accompanied by facts, e.g. in the form of documents, affidavits
or declarations, that demonstrate that these insulation criteria are
met. Irrespective of the terms of the certificate of limited
partnership or partnership agreement, or other organizational document
in the case of an LLC or RLLP, however, no such certification shall be
made if the individual or entity making the certification has actual
knowledge of any material involvement of the limited partners, or other
interest holders in the case of an LLC or RLLP, in the management or
operation of the video-programming activities of the partnership or LLC
(3) In the case of an LLC or RLLP, the entity seeking insulation shall
certify, in addition, that the relevant state statute authorizing LLCs
permits an LLC member to insulate itself as required by our criteria.
(c) Officers and directors of an entity covered by this rule are
considered to have a cognizable interest in the entity with which they
are so associated. If any such entity engages in activities other than
video-programming activities, it may request the Commission to waive
attribution for any officer or director whose duties and
responsibilities are wholly unrelated to the entity's video-programming
activities. In the case of common or appointed directors and officers,
if common or appointed directors or officers have duties and
responsibilities that are wholly unrelated to video-programming
activities for both entities, the relevant entity may request the
Commission to waive attribution of the director or officer. The
officers and directors of a parent company of a video-programming
business, with an attributable interest in any such subsidiary entity,
shall be deemed to have a cognizable interest in the subsidiary unless
the duties and responsibilities of the officer or director involved are
wholly unrelated to the video-programming subsidiary, and a
certification properly documenting this fact is submitted to the
Commission. The officers and directors of a sister corporation of a
cable system shall not be attributed with ownership of that entity by
virtue of such status.
Note 2 to § 76.504: Section 76.1710 contains recordkeeping requirements
for cable operators with regard to attributable interests.
[ 58 FR 60141 , Nov. 15, 1993, as amended at 64 FR 67196 , Dec. 1, 1999;
65 FR 53615 , Sept. 5, 2000]
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