Report No. IN 98-42                  INTERNATIONAL ACTION                 July 31, 1998

                U.S. AND MEXICO REACH AGREEMENT
          FOR IMPLEMENTING DIGITAL TELEVISION SERVICE 
      ALONG THE U.S./MEXICO BORDER, APPROVING ALL STATIONS
     SLATED TO BEGIN SERVICE IN NOVEMBER 1998 AND MAY 1999

     The FCC and Mexico's Secretariat of Communications and Transportation (SCT) have
signed a Memorandum of Understanding (MOU) that establishes procedures for implementing
digital television (DTV) service along the United States/Mexico border and approves all five DTV
stations in the U.S./Mexico border area slated to begin service in November 1998 and May 1999. 
The MOU was signed by FCC Chairman William E. Kennard and SCT Undersecretary of
Communications Jorge Nicolin.  As stated by Chairman Kennard, "this MOU represents a major
step forward in the cooperative efforts of Mexico and the U.S. to bring the benefits of DTV to
consumers quickly, and clears the way for the imminent roll-out of DTV in the Top 10 U.S.
markets."  

     The MOU provides an expedited notification process through which most authorized
DTV stations can begin operation within 15 days of notification to the other country.  In addition,
the MOU specifies that no further notification is needed for the five U.S. television stations in Los
Angeles which have voluntarily committed to begin DTV operation by November 1, 1998, or
which are required to begin DTV operations by May 1, 1999.  The FCC has required stations
affiliated with ABC, CBS, Fox and NBC to build their digital facilities in the 10 largest television
markets by May 1, 1999.  In addition, 24 stations in the Top 10 markets have committed to begin
operations by November 1, 1998.  Los Angeles is the only Top 10 market located within the
U.S./Mexico border zone.

     "This MOU, in conjunction with recent notification approvals from Canada, means that
the 42 U.S. television stations in the Top 10 markets that are expected to begin DTV operations
in the next three to nine months can do so without having to wait for further approval from either
Mexico or Canada," added Chairman Kennard.






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     The MOU, which covers DTV operations in the area extending 275 kilometers on either
side of the U.S./Mexico common border, contains the following major provisions:  

     1.  A list of mutually acceptable second channel DTV allotments for each country. 

     2.  Procedures to be used for notifying each administration of plans to implement     
     DTV service relative to an allotment.  

     3.  The methods to be used by each administration in evaluating the acceptability of 
     proposed DTV facilities. 

     The first part of the MOU describes the procedures for notifying DTV facilities that are
intended to be brought into service, along with tables listing distance separation requirements
where DTV facilities are involved.  The MOU appendices contain:  (1) lists of NTSC channel
allotments and second channel DTV allotments for each country, (2) a list of the technical
parameters to be included in notifications, (3) the methodology to be used in evaluating proposed
DTV facilities, and (4) lists of each country's accepted DTV facilities.  This MOU supersedes an
earlier MOU, signed April 2, 1997, in which the U.S. and Mexico agreed to work together to
develop a list of second channels for DTV.    

     The full text of the Memorandum of Understanding has been placed on file at the
International Bureau Reference Room located on the first floor of 2000 M St. N.W.  Copies
are available from International Transcription Service at (202) 857-3800 and can be downloaded
from the FCC's International Bureau internet site at http://www.fcc.gov/ib/pnd/agree.

                            - FCC -

     News Media contact:  Rosemary Kimball at (202) 418-0500.
     International Bureau contact:  Larry Olson at (202) 418-2142. 
     Office of Engineering and Technology contact:  Bruce Franca at (202) 418-2470.