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Domestic Section 214 Grant for Transfer of US Cable of Coastal-Texas

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Released: May 22, 2012

PUBLIC NOTICE

Federal Communications Commission

News Media Information 202 / 418-0500

445 12th St., S.W.

Internet: http://www.fcc.gov

Washington, D.C. 20554

TTY: 1-888-835-5322

DA 12-802

May 22, 2012

DOMESTIC SECTION 214 AUTHORIZATION GRANTED

Domestic Section 214 Application Filed for the Acquisition of Certain Assets of US Cable of

Coastal-Texas, L.P. By Charter Fiberlink-Missouri, LLC

WC Docket No. 11-166

On October 3, 2011, US Cable of Coastal-Texas, L.P. (US Cable), Charter Communications
Entertainment I, LLC (CCE I), and Charter Fiberlink – Missouri, LLC (Charter Fiberlink) filed an
application, pursuant to section 63.03 of the Commission’s rules1 to transfer certain of US Cable’s assets
in the communities of Hannibal, Mexico, Moberly, and several surrounding areas in Missouri from US
Cable to CCE I, and to contemporaneously transfer these telephone assets from CCE I to its affiliate,
Charter Fiberlink.
On November 15, 2011, the Bureau released a public notice accepting the application for
streamlined processing.2 On November 29, 2011, the Department of Justice, including the Federal
Bureau of Investigation, with the concurrence of the Department of Homeland Security (collectively, the
Executive Branch Agencies), filed a letter requesting that the Commission defer action on this application
while they reviewed potential national security, law enforcement, and public safety issues.3 In response
to the request, the Bureau removed the application from streamlined review.4 On May 21, 2012, the
Executive Branch Agencies withdrew their request to defer action, stating that they have no objection to
the application.5
The Bureau finds, upon consideration of the record, that grant of the application will serve the
public interest, convenience, and necessity. Upon consummation of the transaction, the resulting entity
would have a market share in the U.S. interstate interexchange market of less than 10 percent, and would
provide competitive telephone exchange services or exchange access services (if at all) exclusively in


1 47 C.F.R § 63.03; see 47 U.S.C. § 214.
2 Domestic Section 214 Application Filed for Acquisition of Certain Assets of US Cable of Coastal-Texas, L.P. By
Charter Fiberlink-Missouri, LLC
, WC Docket No. 11-166, Public Notice, 26 FCC Rcd 15919 (WCB 2011).
3 Letter from Christopher Hale, U.S. Department of Justice, to Marlene H. Dortch, FCC, WC Docket No. 11-166
(filed Nov. 29, 2011).
4 Notice of Removal of Domestic Section 214 Application From Streamlined Treatment, WC Docket No. 11-166,
Public Notice, 26 FCC Rcd 16465 (WCB 2011).
5 Letter from Richard C. Sofield, U.S. Department of Justice, to Marlene H. Dortch, FCC, WC Docket No. 11-166
(filed May 21, 2012).

geographic areas served by a dominant local exchange carrier that is not a party to the transaction. In
addition, neither Charter Fiberlink nor US Cable is dominant with respect to any service.6
Consistent with Commission precedent, the Bureau accords the appropriate level of deference to
the Executive Branch Agencies’ expertise on national security and law enforcement issues.7 Therefore,
pursuant to section 214 of the Communications Act of 1934, as amended, 47 U.S.C. § 214, and section
0.291 of the Commission’s rules, 47 C.F.R. § 0.291, the Bureau hereby grants the application discussed in
this Public Notice.
Pursuant to section 1.103 of the Commission’s rules, 47 C.F.R. § 1.103, the grant is effective
upon release of this Public Notice. Petitions for reconsideration under section 1.106 or applications for
review under section 1.115 of the Commission’s rules, 47 C.F.R. §§ 1.106, 1.115, may be filed within 30
days of the date of this Public Notice.
For further information, please contact Christopher Sova at (202) 418-1868, Competition Policy
Division, Wireline Competition Bureau.


6 47 C.F.R. 63.03(b)(2)(i).
7 The Commission considers national security, law enforcement, foreign policy, and trade policy concerns when
analyzing a transfer of control or assignment application in which foreign ownership is an issue. See Amendment of
the Commission’s Regulatory Policies to Allow Non-U.S. Licensed Satellites Providing Domestic and International
Service in the United States
, Report and Order, 12 FCC Rcd 24094, 24170-72, paras. 178-82 (1997); Rules and
Policies on Foreign Participation in the U.S. Telecommunications Market
, Report and Order and Order on
Reconsideration, 12 FCC Rcd 23891, 23919-21, paras. 61-66 (1997) (Foreign Participation Order), Order on
Reconsideration, 15 FCC Rcd 18158 (2000). In assessing the public interest, the Commission considers the record
and accords the appropriate level of deference to Executive Branch expertise on national security and law
enforcement issues. See Foreign Participation Order, 12 FCC Rcd at 23919-21, paras. 61-66.
2

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