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If you need the complete document, download the WordPerfect version or Adobe Acrobat version, if available. ***************************************************************** Before the Federal Communications Commission Washington, D.C. 20554 In re ) ) Complaint of Whitehead Media of ) CSR-4878-M Georgia, Inc. against Prestige Cable ) TV, Inc. ) ) Request for Carriage ) MEMORANDUM OPINION AND ORDER Adopted: May 13, 1997 Released: May 15, 1997 By the Chief, Consumer Protection and Competition Division, Cable Services Bureau: INTRODUCTION 1. Whitehead Media of Georgia, Inc. ("Whitehead"), licensee of television Station WNGM(TV), Athens, Georgia, filed a complaint pursuant to Section 614 of the Communications Act, as amended, 47 U.S.C.  534, and Sections 76.7 and 76.61(a) of the Commission's Rules, 47 C.F.R.  76..7 & 76.61(a) claiming entitlement to mandatory carriage of WNGM(TV) on Prestige Cable TV, Inc.'s (Prestige) system serving the communities of Canton and Cartersville, Georgia. Prestige Cable filed an Opposition to the complaint, and Whitehead filed a Reply. BACKGROUND 2. Pursuant to Section 614 of the Communications Act and implementing rules adopted by the Commission in its Report and Order in MM Docket 92-259 commercial television broadcast stations are entitled to assert mandatory carriage on cable systems located within the station's market. A station's market for this purpose is its area of "dominant influence,"or ADI, as defined by the Arbitron audience research organization. Both the station and the communities are located in the Atlanta, Georgia ADI. An ADI is a geographic market designation that defines each television market exclusive of others, based on measured viewing. Essentially, each county in the United States is allocated to a market based on which home-market stations receive a prepondence of total viewing hours in the county. For purposes of this calculation, both over-the-air and cable television viewing are included. SUMMARIES OF PLEADINGS 3. According to Station WNGM(TV), it advised Prestige Cable by letter dated April 26, 1996, that it was electing must-carry staus on Prestige Cable's system serving Canton, and Cartersville, Georgia, which is within the Atlanta, Georgia ADI. Station WNGM(TV) states that it is also within the Atlanta, Georgia ADI and is therefore entitled to mandatory carriage on Prestige Cable's system. Further, Station WNGM(TV) states that effective May 15, 1996, with the improved facilities of its station, it would deliver a good quality signal to Prestige Cable's principal headend, and that carriage of its signal would not cause increased copyright liability for Prestige Cable. Additionally, Station WNGM(TV) requests carriage on cable channel 34, which is the station's off- the-air broadcast channel. Station WNGM(TV) further states that if cable channel 34 has already been chosen by another station entitled to mandatory carriage on the system, it would discuss the matter with Prestige Cable. By letter dated July 10, 1996, to Station WNGM(TV), Prestige Cable informed the station that its signal was adequate and that it would carry Station WNGM(TV) only if (1) the Copyright Office provided a letter indemnifying Prestige Cable from any copyright liability for carrying Station WNGM(TV), and (2) that the station would reimburse Prestige $4,844.90 for Prestige Cable's "time spent" and other costs of testing Station WNGM(TV)'s signal. 4. In its oppostition, filed January 9, 1997 to Station WNGM(TV)'s request for mandatory carriage, Prestige Cable states that it has always intended to carry Station WNGM((TV) on its system. However, Prestige Cable states that its requests for indemnification and reimbersement have yet to be met by the station. 5. In its reply to Prestige Cable's opposition, Station WNGM(TV) reiterates its must- carry rights on Prestige Cable's system serving Canton, and Cartersville, Georgia. Station WNGM(TV) asserts that Prestige Cable's position seems to be that it is entitled to withhold carriage of Station WNGM(TV) until it receives a letter from the Copyright Office assuring that carriage of the station would not result in increased copyright liability. Finally, Station WNGM(TV) states that the Copyright Office does not generally provide such a service, even in cases such as this. DISCUSSION 6. From the information before us, it appears that Station WNGM(TV) is entitled to carriage on the system operated by Prestige Cable. Despite WNGM(TV)'s efforts, Prestige Cable has declined to add the station to its system and Prestige has failed to demonstrate that carriage of the station would increase the system's copyright liability. Prestige Cable and Station WNGM(TV) are both located in the same ADI, and it is undisputed that station WNGM(TV) provides a good quality signal to Prestige Cable's headend. While Prestige Cable has declined carriage over the issue of copyright, it should be noted that since the amendment to the Copyright Act, there is no copyright liability for a cable system carrying a station which is located in the same ADI. See Satellite Home Viewer Act of 1994, Pub. L. 103-369, 108 Stat. 3477. Therefore, Prestige has no valid argument for its refusal to add Station WNGM(TV). ORDER 7. Accordingly, IT IS ORDERED that the petition filed December 13, 1996, on behalf of Whitehead Media of Georgia, Inc. IS GRANTED pursuant to 614 of the Communications Act of 1934, as amended (47 U.S.C. 534), and Prestige Cable TV, IS ORDERDED to commence carriage of Station WNGM(TV) within sixty (60) days of the release date of this decision. 8. This action is taken pursuant to authority delegated under 0.321 of the Commission's Rules. FEDERAL COMMUNICATIONS COMMISSION Gary M. Laden, Chief Consumer Protection and Competition Division Cable Services Bureau