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H.R. 852 (ih) To require the Department of Agriculture to establish an electronic [Introduced in House] ...


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                        market includes any station that is licensed to 
                        a community within the same designated market 
                        area as the noncommercial educational 
                        television broadcast station.
                    ``(B) County of license.--In addition to the area 
                described in subparagraph (A), a station's local market 
                includes the county in which the station's community of 
                license is located.
                    ``(C) Designated market area.--For purposes of 
                subparagraph (A), the term `designated market area' 
                means a designated market area, as determined by 
                Nielsen Media Research and published in the DMA Market 
                and Demographic Report.'';
            (3) by inserting after paragraph (39) (as redesignated by 
        paragraph (1) of this section) the following new paragraph:
            ``(40) Satellite carrier.--The term `satellite carrier' 
        means an entity that uses the facilities of a satellite or 
        satellite service licensed by the Commission, and operates in 
        the Fixed-Satellite Service under part 25 of title 47 of the 
        Code of Federal Regulations or the Direct Broadcast Satellite 
        Service under part 100 of title 47 of the Code of Federal 
        Regulations, to establish and operate a channel of 
        communications for point-to-multipoint distribution of 
        television station signals, and that owns or leases a capacity 
        or service on a satellite in order to provide such point-to-
        multipoint distribution, except to the extent that such entity 
        provides such distribution pursuant to tariff under this 
        Act.''; and
            (3) by inserting after paragraph (50) (as redesignated by 
        paragraph (1) of this section) the following new paragraph:
            ``(51) Television network; television network station.--
                    ``(A) Television network.--The term `television 
                network' means a television network in the United 
                States which offers an interconnected program service 
                on a regular basis for 15 or more hours per week to at 
                least 25 affiliated broadcast stations in 10 or more 
                States.
                    ``(B) Television network station.--The term 
                `television network station' means a television 
                broadcast station that is owned or operated by, or 
                affiliated with, a television network.''.

SEC. 107. COMPLETION OF BIENNIAL REGULATORY REVIEW.

    Within 180 days after the date of enactment of this Act, the 
Commission shall complete the biennial review required by section 
202(h) of the Telecommunications Act of 1996.

          TITLE II--AMENDMENTS TO TITLE 17, UNITED STATES CODE

SEC. 201. LIMITATIONS ON EXCLUSIVE RIGHTS; SECONDARY TRANSMISSIONS BY 
              SATELLITE CARRIERS WITHIN LOCAL MARKETS.

    (a) In General.--Section 119 of title 17, United States Code, is 
amended to read as follows:
``Sec. 119. Limitations on exclusive rights; Secondary transmissions by 
              satellite carriers
    ``(a) Secondary Transmissions of Television Broadcast Stations by 
Satellite Carriers.--
            ``(1) Statutory license.--Subject to the provisions of 
        paragraphs (2), (3), (4), and (5) of this subsection and 
        section 114(d), a secondary transmission that is in compliance 
        with the rules, regulations, and authorizations of the Federal 
        Communications Commission of a primary transmission made by a 
        television broadcast station and embodying a performance or 
        display of a work may have a statutory license under this 
        section if the satellite carrier makes a direct or indirect 
        charge to subscribers for the secondary transmission or to a 
        distributor that has contracted with the satellite carrier for 
        direct or indirect delivery of the secondary transmission. For 
        purposes of this section, the Public Broadcasting Service 
        satellite feed shall be considered a primary transmission made 
        by a television broadcast station that is in compliance with 
        the rules, regulations, and authorizations of the Federal 
        Communications Commission, except that subsequent to--
                    ``(A) the date when a majority of subscribers to 
                satellite carriers are able to receive the signal of at 
                least one noncommercial educational television 
                broadcast station from their satellite carrier within 
                such stations' local market, or
                    ``(B) 2 years after the effective date of the 
                Satellite Competition and Consumer Protection Act,
        whichever is earlier, the statutory license created by this 
        section with respect to such satellite feed shall be 
        conditioned on the annual certification of support under 
        section 396(n) of the Communications Act of 1934.
            ``(2) Submission of subscriber lists.--(A) A satellite 
        carrier that makes secondary transmissions of a primary 
        transmission of a television broadcast station under paragraph 
        (1) shall, within 90 days after commencing such secondary 
        transmissions, submit to that station a list identifying all 
        subscribers to which the satellite carrier currently makes 
        secondary transmissions of that primary transmission. Such list 
        shall be organized by State, identifying all subscribers by 
        name (including street address, county, and 9-digit zip code) 
        in that State that receive secondary transmissions of that 
        primary transmission.
            ``(B) After the list is submitted under subparagraph (A), 
        the satellite carrier shall, on the 15th of each month, submit 
        to the television broadcast station a list identifying by State 
        the names (including street address, county, and 9-digit zip 
        code) of any subscribers who have been added or dropped as 
        subscribers since the last submission under this paragraph.
            ``(C) Subscriber information submitted by a satellite 
        carrier under this paragraph may be used only for purposes of 
        monitoring compliance by the satellite carrier with the 
        statutory license created by this section. The submission of 
        subscriber lists is only required for those television 
        broadcast stations that place on file with the Register of 
        Copyrights a document identifying the name and address of the 
        person to whom such submissions are to be made. The Register 
        shall maintain for public inspection a file of all such 
        documents.
            ``(3) Noncompliance with reporting and payment 
        requirements.--Notwithstanding the provisions of paragraph (1), 
        the willful or repeated secondary transmission to the public 
        that is in compliance with the rules, regulations, and 
        authorizations of the Federal Communications Commission by a 
        satellite carrier of a primary transmission made by a 
        television broadcast station and embodying a performance or 
        display of a work is actionable as an act of infringement under 
        section 501, and is fully subject to the remedies provided by 
        sections 502 through 506 and 509, if the satellite carrier has 
        not deposited the statement of account and royalty fees 
        required by subsection (b).
            ``(4) Willful alterations.--Notwithstanding the provisions 
        of paragraph (1), the secondary transmission to the public that 
        is in compliance with the rules, regulations, and 
        authorizations of the Federal Communications Commission by a 
        satellite carrier of a primary transmission made by a 
        television broadcast station and embodying a performance or 
        display of a work is actionable as an act of infringement under 
        section 501, and is fully subject to the remedies provided by 
        sections 502 through 506 and sections 509 and 510, if the 
        content of the particular program in which the performance or 
        display is embodied, or any commercial advertising or station 
        announcement transmitted by a primary transmitter during, or 
        immediately before or after the transmission of such program, 
        is in any way willfully altered by the satellite carrier 
        through changes, deletions, or additions, or is combined with 
        programming from any other broadcast signal.
            ``(5) Discrimination by satellite carrier.--Notwithstanding 
        the provisions of paragraph (1), the willful or repeated 
        secondary transmission to the public that is in compliance with 
        the rules, regulations, and authorizations of the Federal 
        Communications Commission by a satellite carrier of a primary 
        transmission made by a television broadcast station and 
        embodying the performance or display of a work is actionable as 
        an act of infringement under section 501, and is fully subject 
        to the remedies provided by sections 502 through 506 and 509, 
        if the satellite carrier unlawfully discriminates against a 
        distributor.
            ``(6) Geographic limitation on secondary transmissions.--
        The statutory license created by this section shall apply only 
to secondary transmissions to subscribers located in the United States.
    ``(b) Statutory License for Secondary Transmissions of Television 
Broadcast Stations.--
            ``(1) Deposits with the register of copyrights.--A 
        satellite carrier whose secondary transmissions are subject to 
        statutory licensing under subsection (a) shall, on a semiannual 
        basis, deposit with the Register of Copyrights, in accordance 
        with the requirements that the Register shall prescribe by 
        regulation--
                    ``(A) a statement of account, covering the 
                preceding 6-month period, specifying the names and 
                locations of all television broadcast stations whose 
                signals were retransmitted at any time during that 
                period to subscribers, the total number of subscribers 
                that received such secondary transmissions, and such 
                other data as the Register of Copyrights may from time 
                to time prescribe by regulation, and
                    ``(B) a royalty fee for that 6-month period, 
                computed as follows:
                            ``(i) For each television network station 
                        that is retransmitted to subscribers located 
                        outside the local market of that station, by 
                        multiplying the total number of subscribers 
                        receiving such secondary transmission during 
                        each calendar month by the royalty fee 
                        prescribed in section 258.3(b)(2) of title 37, 
                        Code of Federal Regulations, as in effect on 
                        January 1, 1998.
                            ``(ii) For each superstation that is 
                        retransmitted to subscribers located outside 
                        the local market of that station, by 
                        multiplying the total number of subscribers 
                        receiving such secondary transmission during 
                        each calendar month by the royalty fee 
                        prescribed in section 258.3(b)(1) of title 37, 
                        Code of Federal Regulations, as in effect on 
                        January 1, 1998.
                            ``(iii) By adding together the totals 
                        computed under clauses (i) and (ii).
        For secondary transmissions of a television broadcast station 
        to subscribers who reside within the local market of that 
        station, there shall be no royalty fee.
            ``(2) Investment of fees.--The Register of Copyrights shall 
        receive all fees deposited under this section and, after 
        deducting the reasonable costs incurred by the Copyright Office 
        under this section (other than the costs deducted under 
        paragraph (4)), shall deposit the balance in the Treasury of 
        the United States, in such manner as the Secretary of the 
        Treasury directs. Any funds held by the Secretary of the 
        Treasury shall be invested in interest bearing securities of 
        the United States for later distribution with interest by the 
        Librarian of Congress as provided by this title. The Register 
        may, in the Register's discretion, at any time after four years 
        have elapsed since the close of any calendar year, close out 
        the royalty payments account for that calendar year, and may 
        treat any funds remaining in such account and any subsequent 
        deposits that would otherwise be attributable to that calendar 
        year as attributable to the succeeding calendar year.
            ``(3) Persons to whom fees are distributed.--The royalty 
        fees deposited under paragraph (2) shall, in accordance with 
        the procedures provided by paragraph (4), be distributed to 
        those copyright owners whose works were included in a secondary 
        transmission to the public made by a satellite carrier during 
        the applicable 6-month accounting period and who file a claim 
        with the Librarian of Congress under paragraph (4). For 
        purposes of section 802 of this title, with respect to royalty 
        fees paid by satellite carriers for retransmitting the Public 
        Broadcasting Service satellite feed, the Public Broadcasting 
        Service shall be agent for all public television copyright 
        claimants and all Public Broadcasting Service member stations.
            ``(4) Procedures for distribution.--The royalty fees 
        deposited under paragraph (2) shall be distributed in 
        accordance with the following procedures:
                    ``(A) Filing of claims for fees.--During the month 
                of July in each year, each person claiming to be 
                entitled to statutory license fees for secondary 
                transmissions under this section shall file a claim 
                with the Librarian of Congress, in accordance with 
                requirements that the Librarian shall prescribe by 
                regulation. For purposes of this paragraph, any 
                claimants may agree among themselves as to the 
                proportionate division of statutory license fees among 
                them, may lump their claims together and file them 
                jointly or as a single claim, or may designate a common 
                agent to receive payment on their behalf.
                    ``(B) Determination of controversy; 
                distributions.--After the first day of August of each 
                year, the Librarian of Congress shall determine whether 
                there exists a controversy concerning the distribution 
                of royalty fees. If the Librarian determines that no 
                such controversy exists, the Librarian shall, after 
                deducting reasonable administrative costs under this 
                paragraph, distribute such fees to the copyright owners 
                entitled to receive them, or to their designated 
                agents. If the Librarian finds the existence of a 
                controversy, the Librarian shall, pursuant to chapter 8 
                of this title, convene a copyright arbitration royalty 
                panel to determine the distribution of fees.
                    ``(C) Withholding of fees during controversy.--
                During the pendency of any proceeding under this 
                subsection, the Librarian of Congress shall withhold 
                from distribution an amount sufficient to satisfy all 
                claims with respect to which a controversy exists, but 
                shall have discretion to proceed to distribute any 
                amounts that are not in controversy.
    ``(c) Definitions.--As used in this section--
            ``(1) Distributor.--The term `distributor' means any entity 
        which contracts to distribute secondary transmissions from a 
        satellite carrier and, either as a single channel or in a 
        package with other programming, provides the secondary 
        transmission either directly to individual subscribers or 
indirectly through other program distribution entities.
            ``(2) Local market.--The term `local market' of a 
        television broadcast station has the meaning given that term 
        section 3 of the Communications Act of 1934 (47 U.S.C. 153) as 
        interpreted under the rules, regulations, and authorizations of 
        the Federal Communications Commission relating to carriage of 
        television broadcast signals by satellite carriers.
            ``(3) Primary transmission.--The term `primary 
        transmission' has the meaning given that term in section 111(f) 
        of this title.
            ``(4) Public broadcasting service satellite feed.--The term 
        `Public Broadcasting Service satellite feed' means the national 
        satellite feed distributed by the Public Broadcasting Service 
        for purposes of this section consisting of educational and 
        informational programming, to which the Public Broadcasting 
        Service holds national terrestrial broadcast rights.
            ``(5) Satellite carrier.--The term `satellite carrier' has 
        the meaning given that term in section 3 of the Communications 
        Act of 1934.
            ``(6) Secondary transmission.--The term `secondary 
        transmission' has the meaning given that term in section 111(f) 
        of this title.
            ``(7) Subscriber.--The term `subscriber' means an entity 
        that receives a secondary transmission service by means of a 
        secondary transmission from a satellite and pays a fee for the 
        service, directly or indirectly, to the satellite carrier or a 
        distributor.
            ``(8) Superstation.--The term `superstation' means a 
        television broadcast station, other than a television network 
        station, licensed by the Federal Communications Commission that 
        is secondarily transmitted by a satellite carrier, and includes 
        the Public Broadcasting Service satellite feed.
            ``(9) Television broadcast station.--The term `television 
        broadcast station' has the meaning given that term in section 
        325(b)(7) of the Communications Act of 1934.

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