[Congressional Record (Bound Edition), Volume 155 (2009), Part 21]
[House]
[Pages 29005-29023]
[From the U.S. Government Publishing Office, www.gpo.gov]




           SATELLITE HOME VIEWER REAUTHORIZATION ACT OF 2009

  Mr. CONYERS. Madam Speaker, I move to suspend the rules and pass the

[[Page 29006]]

bill (H.R. 3570) to amend title 17, United States Code, to reauthorize 
the satellite statutory license, to conform the satellite and cable 
statutory licenses to all-digital transmissions, and for other 
purposes, as amended.
  The Clerk read the title of the bill.
  The text of the bill is as follows:

                               H.R. 3570

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Satellite Home Viewer 
     Reauthorization Act of 2009''.

                      TITLE I--STATUTORY LICENSES

     SEC. 101. REFERENCE.

       Except as otherwise provided, whenever in this title an 
     amendment is made to a section or other provision, the 
     reference shall be considered to be made to such section or 
     provision of title 17, United States Code.

     SEC. 102. MODIFICATIONS TO STATUTORY LICENSE FOR SATELLITE 
                   CARRIERS.

       (a) Heading Renamed.--
       (1) In general.--The heading of section 119 is amended by 
     striking ``superstations and network stations for private 
     home viewing'' and inserting ``distant television programming 
     by satellite''.
       (2) Table of contents.--The table of contents for chapter 1 
     is amended by striking the item relating to section 119 and 
     inserting the following:

``119. Limitations on exclusive rights: Secondary transmissions of 
              distant television programming by satellite.''.

       (b) Unserved Household Defined.--Section 119(d)(10) is 
     amended--
       (1) by striking subparagraph (A) and inserting the 
     following:
       ``(A) cannot receive, through the use of a conventional, 
     stationary, outdoor rooftop receiving antenna, an over-the-
     air signal containing the primary stream, or, on or after 
     January 1, 2013, the multicast stream, originating in that 
     household's local market and affiliated with that network 
     of--
       ``(i) if the signal originates as an analog signal, Grade B 
     intensity as defined by the Federal Communications Commission 
     in section 73.683(a) of title 47, Code of Federal 
     Regulations, as in effect on January 1, 1999; or
       ``(ii) if the signal originates as a digital signal, 
     intensity defined in the values for digital television noise-
     limited service contour, as defined in regulations issued by 
     the Federal Communications Commission (section 73.622(e) of 
     title 47, Code of Federal Regulations), as such regulations 
     may be amended from time to time;'';
       (2) in subparagraph (B)--
       (A) by striking ``subsection (a)(14)'' and inserting 
     ``subsection (a)(13),''; and
       (B) by striking ``Satellite Home Viewer Extension and 
     Reauthorization Act of 2004'' and inserting ``Satellite Home 
     Viewer Reauthorization Act of 2009''; and
       (3) in subparagraph (D), by striking ``(a)(12)'' and 
     inserting ``(a)(11)''.
       (c) Filing Fee.--Section 119(b)(1) is amended--
       (1) in subparagraph (A), by striking ``and'' after the 
     semicolon at the end;
       (2) in subparagraph (B), by striking the period and 
     inserting ``; and''; and
       (3) by adding at the end the following:
       ``(C) a filing fee, as determined by the Register of 
     Copyrights pursuant to section 708(a).''.
       (d) Emergency Monitoring, Planning, or Responding.--Section 
     119(a) is amended by adding at the end the following:
       ``(17) Retransmission for emergency preparation, response, 
     or recovery.--
       ``(A) Authority.--The secondary transmission by a satellite 
     carrier of a performance or display of a work embodied in a 
     primary transmission of a television broadcast station is not 
     an infringement of copyright if such secondary transmission 
     is made--
       ``(i) to a Federal governmental body designated by the 
     Office of Emergency Communications, in coordination with the 
     Federal Communications Commission, or an organization 
     established with the purpose of carrying out a system of 
     national and international relief efforts and chartered under 
     section 300101 of title 36;
       ``(ii) to officers or employees of such body or such 
     organization as a part of the official duties or employment 
     of such officers or employees;
       ``(iii) at the request of the Secretary of Homeland 
     Security; and
       ``(iv) for the sole purpose of preparing for, responding 
     to, or recovering from an emergency described under 
     subparagraph (B).
       ``(B) Emergencies.--An emergency is described under this 
     subparagraph if the Secretary of Homeland Security identifies 
     such emergency as a major disaster, a catastrophic incident, 
     an act of terrorism, or a transportation security incident.
       ``(C) Regulations.--Not later than 6 months after the date 
     of the enactment of this paragraph, the Secretary of Homeland 
     Security, in coordination with the Federal Communications 
     Commission, the National Telecommunications and Information 
     Administration, and the Register of Copyrights, shall issue 
     regulations to protect copyright owners by preventing the 
     unauthorized access to the secondary transmissions described 
     in subparagraph (A).
       ``(D) Reports to congressional committees.--Not later than 
     one year after the date of the enactment of this paragraph 
     and by September 30 of each year thereafter, the Secretary of 
     Homeland Security, acting through the Office of Emergency 
     Communications, shall submit a report to the Committees on 
     the Judiciary, on Homeland Security, and on Energy and 
     Commerce of the House of Representatives and the Committees 
     on the Judiciary, on Homeland Security, and on Commerce, 
     Science, and Transportation of the Senate describing--
       ``(i) the manner in which the authority granted under 
     subparagraph (A) is being used, including to whom and for 
     what purposes the secondary transmissions are being provided; 
     and
       ``(ii) any additional legislative recommendations the 
     Secretary may have.
       ``(E) Definitions.--As used in this paragraph:
       ``(i) Terrorism.--The term `terrorism' has the meaning 
     given that term in section 2(16) of the Homeland Security Act 
     of 2002 (6 U.S.C. 101(16)).
       ``(ii) Transportation security incident.--The term 
     `transportation security incident' has the meaning given that 
     term in section 70101 of title 46.
       ``(iii) Catastrophic incident.--The term `catastrophic 
     incident' means any natural disaster, act of terrorism, or 
     other man-made disaster that results in extraordinary levels 
     of casualties or damage or disruption severely affecting the 
     population (including mass evacuations), infrastructure, the 
     environment, the economy, national morale, or government 
     functions in a geographic area.
       ``(F) Effective date.--This paragraph shall apply with 
     respect to secondary transmissions described under 
     subparagraph (A) that are made after the end of the 30-day 
     period beginning on the effective date of the regulations 
     issued by the Secretary of Homeland Security under 
     subparagraph (C).''.
       (e) License Provided for Certain Networks of Noncommercial 
     Educational Broadcast Stations.--Section 119(a)(2)(C) is 
     amended by adding at the end the following new clause:
       ``(vi) Networks of noncommercial educational broadcast 
     stations.--In the case of a system of three or more 
     noncommercial educational broadcast stations licensed by a 
     single State, public agency, or political, educational, or 
     special purpose subdivision of a State, the statutory license 
     provided for in subparagraph (A) shall apply to the secondary 
     transmission of the primary transmission of such system to 
     any subscriber in any county within such State, if such 
     subscriber is located in a designated market area that is not 
     otherwise eligible to receive the secondary transmission of 
     the primary transmission of a noncommercial educational 
     broadcast station located with the State pursuant to section 
     122(a).''.
       (f) Deposit of Statements and Fees; Verification 
     Procedures.--Section 119(b) is amended--
       (1) by amending the subsection heading to read as follows: 
     ``(b) Deposit of Statements and Fees; Verification 
     Procedures.--'';
       (2) in paragraph (1), by striking subparagraph (B) and 
     inserting the following:
       ``(B) a royalty fee payable to copyright owners pursuant to 
     paragraph (4) for that 6 month period, computed by 
     multiplying the total number of subscribers receiving each 
     secondary transmission of a primary or multicast stream of 
     each non-network station or network station during each 
     calendar year month by the appropriate rate in effect under 
     this subsection''.
       (3) by redesignating paragraphs (2), (3), and (4) as 
     paragraphs (3), (4), and (5), respectively;
       (4) by inserting after paragraph (1) the following:
       ``(2) Verification of accounts and fee payments.--The 
     Register of Copyrights shall issue regulations to permit 
     interested parties to verify and audit the statements of 
     account and royalty fees submitted by satellite carriers 
     under this subsection.'';
       (5) in paragraph (3), as redesignated, in the first 
     sentence--
       (A) by inserting ``(including the filing fee specified in 
     paragraph (1)(C))'' after ``shall receive all fees''; and
       (B) by striking ``paragraph (4)'' and inserting ``paragraph 
     (5)'';
       (6) in paragraph (4), as redesignated--
       (A) by striking ``paragraph (2)'' and inserting ``paragraph 
     (3)''; and
       (B) by striking ``paragraph (4)'' each place it appears and 
     inserting ``paragraph (5)''; and
       (7) in paragraph (5), as redesignated, by striking 
     ``paragraph (2)'' and inserting ``paragraph (3)''.
       (g) Adjustment of Royalty Fees.--Section 119(c) is amended 
     as follows:
       (1) Paragraph (1) is amended--
       (A) in the heading for such paragraph, by striking 
     ``analog'';
       (B) in subparagraph (A)--
       (i) by striking ``primary analog transmissions'' and 
     inserting ``primary transmissions''; and
       (ii) by striking ``July 1, 2004'' and inserting ``July 1, 
     2009'';
       (C) in subparagraph (B)--

[[Page 29007]]

       (i) by striking ``January 2, 2005, the Librarian of 
     Congress'' and inserting ``January 4, 2010, the Copyright 
     Royalty Judges''; and
       (ii) by striking ``primary analog transmission'' and 
     inserting ``primary transmissions'';
       (D) in subparagraph (C), by striking ``Librarian of 
     Congress'' and inserting ``Copyright Royalty Judges'';
       (E) in subparagraph (D)--
       (i) in clause (i)--

       (I) by striking ``(i) Voluntary agreements'' and inserting 
     the following:

       ``(i) Voluntary agreements; filing.--Voluntary 
     agreements''; and

       (II) by striking ``that a parties'' and inserting ``that 
     are parties''; and

       (ii) in clause (ii)--

       (I) by striking ``(ii)(I) Within'' and inserting the 
     following:

       ``(ii) Procedure for adoption of fees.--

       ``(I) Publication of notice.--Within'';
       (II) in subclause (I), by striking ``an arbitration 
     proceeding pursuant to subparagraph (E)'' and inserting ``a 
     proceeding under subparagraph (F)'';
       (III) in subclause (II), by striking ``(II) Upon receiving 
     a request under subclause (I), the Librarian of Congress'' 
     and inserting the following:
       ``(II) Public notice of fees.--Upon receiving a request 
     under subclause (I), the Copyright Royalty Judges''; and
       (IV) in subclause (III)--

       (aa) by striking ``(III) The Librarian'' and inserting the 
     following:

       ``(III) Adoption of fees.--The Copyright Royalty Judges'';

       (bb) by striking ``an arbitration proceeding'' and 
     inserting ``the proceeding under subparagraph (F)''; and
       (cc) by striking ``the arbitration proceeding'' and 
     inserting ``that proceeding'';
       (F) in subparagraph (E)--
       (i) by striking ``Copyright Office'' and inserting 
     ``Copyright Royalty Judges''; and
       (ii) by striking ``December 31, 2009'' and inserting 
     ``December 31, 2014''; and
       (G) in subparagraph (F)--
       (i) in the heading, by striking ``compulsory arbitration'' 
     and inserting `` copyright royalty judges proceeding'';
       (ii) in clause (i)--

       (I) in the heading, by striking ``proceedings'' and 
     inserting ``the proceeding'';
       (II) in the matter preceding subclause (I)--

       (aa) by striking ``May 1, 2005, the Librarian of Congress'' 
     and inserting ``May 3, 2010, the Copyright Royalty Judges'';
       (bb) by striking ``arbitration proceedings'' and inserting 
     ``a proceeding'';
       (cc) by striking ``fee to be paid'' and inserting ``fees to 
     be paid'';
       (dd) by striking ``primary analog transmission'' and 
     inserting ``the primary transmissions''; and
       (ee) by striking ``distributors'' and inserting 
     ``distributors--'';

       (III) in subclause (II)--

       (aa) by striking ``Librarian of Congress'' and inserting 
     ``Copyright Royalty Judges''; and
       (bb) by striking ``arbitration''; and

       (IV) by amending the last sentence to read as follows: 
     ``Such proceeding shall be conducted under chapter 8.'';

       (iii) in clause (ii), by amending the matter preceding 
     subclause (I) to read as follows:
       ``(ii) Establishment of royalty fees.--In determining 
     royalty fees under this subparagraph, the Copyright Royalty 
     Judges shall establish fees for the secondary transmissions 
     of the primary transmissions of network stations and non-
     network stations that most clearly represent the fair market 
     value of secondary transmissions, except that the Copyright 
     Royalty Judges shall adjust royalty fees to account for the 
     obligations of the parties under any applicable voluntary 
     agreement filed with the Copyright Royalty Judges in 
     accordance with subparagraph (D). In determining the fair 
     market value, the Judges shall base their decision on 
     economic, competitive, and programming information presented 
     by the parties, including--'';
       (iv) by amending clause (iii) to read as follows:
       ``(iii) Effective date for decision of copyright royalty 
     judges.--The obligation to pay the royalty fees established 
     under a determination that is made by the Copyright Royalty 
     Judges in a proceeding under this paragraph shall be 
     effective as of January 1, 2010.''; and
       (v) in clause (iv)--

       (I) in the heading, by striking ``fee'' and inserting 
     ``fees''; and
       (II) by striking ``fee'' and inserting ``fees''.

       (2) Paragraph (2) is amended to read as follows:
       ``(2) Annual royalty fee adjustment.--Effective January 1 
     of each year, the royalty fee payable under subsection 
     (b)(1)(B) for the secondary transmission of the primary 
     transmissions of network stations and non-network stations 
     shall be adjusted by the Copyright Royalty Judges to reflect 
     any changes occurring in the cost of living as determined by 
     the most recent Consumer Price Index (for all consumers and 
     for all items) published by the Secretary of Labor before 
     December 1 of the preceding year. Notification of the 
     adjusted fees shall be published in the Federal Register at 
     least 25 days before January 1.''.
       (h) Definitions.--
       (1) Subscriber.--Section 119(d)(8) is amended to read as 
     follows:
       ``(8) Subscriber; subscribe.--
       ``(A) Subscriber.--The term `subscriber' means a person or 
     entity that receives a secondary transmission service from a 
     satellite carrier and pays a fee for the service, directly or 
     indirectly, to the satellite carrier or to a distributor.
       ``(B) Subscribe.--The term `subscribe' means to elect to 
     become a subscriber.''.
       (2) Low power television station.--Section 119(d)(12) is 
     amended by striking ``low power television as'' and inserting 
     ``low power TV station as''.
       (3) Local market.--Section 119(d)(11) is amended to read as 
     follows:
       ``(11) Local market.--The term `local market' has the 
     meaning given such term under section 122(j).''.
       (4) Noncommercial educational broadcast station.--Section 
     119(d) is amended--
       (A) in paragraph (2)(B), by striking ``(as defined in 
     section 397 of the Communications Act of 1934)''; and
       (B) by adding at the end the following:
       ``(14) Noncommercial educational broadcast station.--The 
     term `noncommercial educational broadcast station' means a 
     television broadcast station that--
       ``(A) under the rules and regulations of the Federal 
     Communications Commission in effect on November 2, 1978, is 
     eligible to be licensed by the Federal Communications 
     Commission as a noncommercial educational television 
     broadcast station and is owned and operated by a public 
     agency or nonprofit private foundation, corporation, or 
     association; or
       ``(B) is owned and operated by a municipality and transmits 
     only noncommercial programs for education purposes.''.
       (5) Multicast stream.--Section 119(d), as amended by 
     paragraph (4), is further amended by adding at the end the 
     following new paragraph:
       ``(15) Multicast stream.--The term `multicast stream' means 
     a digital stream containing programming and program-related 
     material affiliated with a television network, other than the 
     primary stream.''.
       (6) Primary stream.--Section 119(d), as amended by 
     paragraph (5), is further amended by adding at the end the 
     following new paragraph:
       ``(16) Primary stream.--The term `primary stream' means--
       ``(A) the single digital stream of programming as to which 
     a television broadcast station has the right to mandatory 
     carriage with a satellite carrier under the rules of the 
     Federal Communications Commission in effect on July 1, 2009; 
     or
       ``(B) if there is no such stream, either--
       ``(i) the single digital stream of programming associated 
     with the network last transmitted by the station as an analog 
     signal; or
       ``(ii) the single digital stream of programming affiliated 
     with the network that, as of July 1, 2009, had been offered 
     by the television broadcast station for the longest period of 
     time.''.
       (7) Clerical amendment.--Section 119(d) is amended in 
     paragraphs (1), (2), and (5) by striking ``which'' each place 
     it appears and inserting ``that''.
       (i) Superstation Redesignated as Non-network Station.--
     Section 119 is amended--
       (1) by striking ``superstation'' each place it appears in a 
     heading and each place it appears in text and inserting 
     ``non-network station''; and
       (2) by striking ``superstations'' each place it appears in 
     a heading and each place it appears in text and inserting 
     ``non-network stations''.
       (j) Low Power Television Stations.--Section 119(a)(15) is 
     amended to read as follows:
       ``(15) Secondary transmissions of low power television 
     programming.--
       ``(A) In general.--Notwithstanding paragraph (2)(B), and 
     subject to subparagraphs (B) through (D) of this paragraph, 
     the statutory license provided for in paragraph (1) shall 
     apply to the secondary transmission by a satellite carrier of 
     the primary transmission of the programming of a non-network 
     station that is licensed as a low power television station, 
     to a subscriber who resides within the same designated market 
     area as the station that originates the programming signal.
       ``(B) No applicability to repeaters and translators.--
     Secondary transmissions provided for in subparagraph (A) 
     shall not apply to any low power television station that 
     retransmits the programs and signals of another television 
     station for more than 2 hours each day.
       ``(C) Royalty fees.--A satellite carrier whose secondary 
     transmission of the primary transmission of the programming 
     of a low power television station is subject to statutory 
     licensing under this section shall be subject to royalty 
     payments under subsection (b)(1)(B) for any transmission to a 
     subscriber outside of the local market of the low power 
     television station.
       ``(D) Limitation to subscribers taking local-into-local 
     service.--Secondary transmissions provided for in 
     subparagraph (A) may be made by a satellite carrier only to 
     subscribers who receive secondary transmissions of primary 
     transmissions from that satellite carrier pursuant to the 
     statutory license under section 122.''.

[[Page 29008]]

       (k) Removal of Significantly Viewed Provision.--
       (1) Removal of provision.--Section 119(a), as amended by 
     subsections (d) and (j), is amended by striking paragraph (3) 
     and redesignating paragraphs (4) through (17) as paragraphs 
     (3) through (16), respectively.
       (2) Conforming amendments.--Section 119 is amended--
       (A) in subsection (a)--
       (i) in paragraph (1), by striking ``(5), (6), and (8)'' and 
     inserting ``(4), (5), and (7)'';
       (ii) in paragraph (2)--

       (I) in subparagraph (A), by striking ``paragraphs (5), (6), 
     (7), and (8)'' and inserting ``paragraphs (4), (5), (6), and 
     (7)'';
       (II) in subparagraph (B)(i), by striking the second 
     sentence; and
       (III) in subparagraph (D), by striking clauses (i) and (ii) 
     and inserting the following:

       ``(i) Initial lists.--A satellite carrier that makes 
     secondary transmissions of a primary transmission made by a 
     network station pursuant to subparagraph (A) shall, not later 
     than 90 days after commencing such secondary transmissions, 
     submit to the network that owns or is affiliated with the 
     network station a list identifying (by name and address, 
     including street or rural route number, city, State, and 9-
     digit zip code) all subscribers to which the satellite 
     carrier makes secondary transmissions of that primary 
     transmission to subscribers in unserved households.
       ``(ii) Monthly lists.--After the submission of the initial 
     lists under clause (i), the satellite carrier shall, not 
     later than the 15th of each month, submit to the network a 
     list identifying (by name and address, including street or 
     rural route number, city, State, and 9-digit zip code) any 
     persons who have been added or dropped as subscribers under 
     clause (i) since the last submission under clause (i).''; and
       (iii) in subparagraph (E) of paragraph (3) (as 
     redesignated)--

       (I) by striking ``under paragraph (3) or''; and
       (II) by striking ``paragraph (12)'' and inserting 
     ``paragraph (11)''; and

       (B) in subsection (b)(1), by striking the final sentence.
       (l) Modifications to Provisions for Secondary Transmissions 
     by Satellite Carriers.--
       (1) Predictive model.--Section 119(a)(2)(B)(ii) is amended 
     by adding at the end the following:

       ``(III) Accurate predictive model with respect to digital 
     signals.--Notwithstanding subclause (I), in determining 
     presumptively whether a person resides in an unserved 
     household under subsection (d)(10)(A) with respect to digital 
     signals, a court shall rely on a predictive model set forth 
     by the Federal Communications Commission pursuant to a 
     rulemaking as provided in section 339(c)(3) of the 
     Communications Act of 1934 (47 U.S.C. 339(c)(3)), as that 
     model may be amended by the Commission over time under such 
     section to increase the accuracy of that model. Until such 
     time as the Commission sets forth such model, a court shall 
     rely on the predictive model as recommended by the Commission 
     with respect to digital signals in its Report to Congress in 
     ET Docket N. 05-182, FCC 05-199 (released December 9, 
     2005).''.

       (2) Modifications to statutory license where 
     retransmissions into local market available.--Section 
     119(a)(3) (as redesignated) is amended--
       (A) by striking ``analog'' each place it appears in a 
     heading and text;
       (B) by striking subparagraphs (B), (C), and (D), and 
     inserting the following:
       ``(B) Rules for lawful subscribers as of date of enactment 
     of 2009 act.--In the case of a subscriber of a satellite 
     carrier who, on the day before the date of the enactment of 
     the Satellite Home Viewer Reauthorization Act of 2009, was 
     lawfully receiving the secondary transmission of the primary 
     transmission of a network station under the statutory license 
     under paragraph (2) (in this subparagraph referred to as the 
     `distant signal'), other than subscribers to whom 
     subparagraph (A) applies, the statutory license under 
     paragraph (2) shall apply to secondary transmissions by that 
     satellite carrier to that subscriber of the distant signal of 
     a station affiliated with the same television network, and 
     the subscriber's household shall continue to be considered to 
     be an unserved household with respect to such network, until 
     such time as the subscriber elects to terminate such 
     secondary transmissions.
       ``(C) Rules for new subscribers after enactment of 2009 
     act.--In the case of a person who first seeks to subscribe 
     with a satellite carrier, on or after the date of the 
     enactment of the Satellite Home Viewer Reauthorization Act of 
     2009, to receive secondary transmissions of the primary 
     transmission of a network station under the statutory license 
     under paragraph (2) (in this subparagraph referred to as the 
     `distant signal'), the following shall apply:
       ``(i) Except in a case in which clause (ii) applies, the 
     statutory license under paragraph (2) shall apply to 
     secondary transmissions by that satellite carrier to that 
     subscriber of the distant signal of a station affiliated with 
     the same television network, and the subscriber's household 
     shall continue to be considered an unserved household with 
     respect to such network, until such time as the satellite 
     carrier makes available to the subscriber and the subscriber 
     receives from the satellite carrier the secondary 
     transmission of the primary transmission of a primary stream 
     or a multicast stream affiliated with that network and 
     located in the subscriber's local market.
       ``(ii) If, at the time such person seeks to so subscribe, 
     the satellite carrier does not offer service in the 
     subscriber's local market pursuant to section 122, the 
     statutory license under paragraph (2) shall apply to 
     secondary transmissions by that satellite carrier to that 
     subscriber of the distant signal of a station affiliated with 
     the same television network, and the subscriber's household 
     shall continue to be considered an unserved household with 
     respect to such network, until such time as the subscriber 
     elects to terminate such secondary transmissions.'';
       (C) by redesignating subparagraphs (E), (F), and (G) as 
     subparagraphs (D), (E), and (F), respectively;
       (D) in subparagraph (E) (as redesignated), by striking 
     ``(C) or (D)'' and inserting ``(B) or (C)''; and
       (E) in subparagraph (F) (as redesignated), by inserting 
     ``9-digit'' before ``zip code''.
       (3) Statutory damages for territorial restrictions.--
     Section 119(a)(6) (as redesignated) is amended--
       (A) in subparagraph (A)(ii), by striking ``$5'' and 
     inserting ``$250'';
       (B) in subparagraph (B)----
       (i) in clause (i), by striking ``$250,000 for each 6-month 
     period'' and inserting ``$2,500,000 for each 3-month 
     period''; and
       (ii) in clause (ii), by striking ``$250,000'' and inserting 
     ``$2,500,000''; and
       (C) by adding at the end the following flush sentence:

     ``The court shall direct one half of any statutory damages 
     ordered under clause (i) to be deposited with the Register of 
     Copyrights for distribution to copyright owners pursuant to 
     subsection (b). The Copyright Royalty Judges shall issue 
     regulations establishing procedures for distributing such 
     funds, on a proportional basis, to copyright owners whose 
     works were included in the secondary transmissions that were 
     the subject of the statutory damages.''.
       (4) Clerical amendment.--Section 119(a)(2)(B)(iii)(II) is 
     amended by striking ``In this clause'' and inserting ``In 
     this clause,''.
       (m) Moratorium Extension.--Section 119(e) is amended by 
     striking ``2009'' and inserting ``2014''.
       (n) Clerical Amendments.--Section 119 is amended--
       (1) by striking ``of the Code of Federal Regulations'' each 
     place it appears and inserting ``, Code of Federal 
     Regulations''; and
       (2) in subsection (d)(6), by striking ``or the Direct'' and 
     inserting ``, or the Direct''.

     SEC. 103. MODIFICATIONS TO STATUTORY LICENSE FOR SATELLITE 
                   CARRIERS IN LOCAL MARKETS.

       (a) Heading Renamed.--
       (1) In general.--The heading of section 122 is amended by 
     striking ``by satellite carriers within local markets'' and 
     inserting ``of local television programming by satellite''.
       (2) Table of contents.--The table of contents for chapter 1 
     is amended by striking the item relating to section 122 and 
     inserting the following:

``122. Limitations on exclusive rights: Secondary transmissions of 
              local television programming by satellite.''.

       (b) Statutory License.--Section 122(a) is amended to read 
     as follows:
       ``(a) Secondary Transmissions Into Local Markets.--
       ``(1) Secondary transmissions of television broadcast 
     stations within a local market.--A secondary transmission of 
     a performance or display of a work embodied in a primary 
     transmission of a television broadcast station into the 
     station's local market shall be subject to statutory 
     licensing under this section if--
       ``(A) the secondary transmission is made by a satellite 
     carrier to the public;
       ``(B) with regard to secondary transmissions, the satellite 
     carrier is in compliance with the rules, regulations, or 
     authorizations of the Federal Communications Commission 
     governing the carriage of television broadcast station 
     signals; and
       ``(C) the satellite carrier makes a direct or indirect 
     charge for the secondary transmission to--
       ``(i) each subscriber receiving the secondary transmission; 
     or
       ``(ii) a distributor that has contracted with the satellite 
     carrier for direct or indirect delivery of the secondary 
     transmission to the public.
       ``(2) Significantly viewed stations.--
       ``(A) In general.--The statutory license under paragraph 
     (1) shall apply to the secondary transmission of the primary 
     transmission of a network station or a non-network station to 
     a subscriber who resides outside the station's local market 
     but within a community in which the signal has been 
     determined by the Federal Communications Commission to be 
     significantly viewed in such community, pursuant to the 
     rules, regulations, and authorizations of the Federal 
     Communications Commission in effect on April 15, 1976, 
     applicable to determining with respect to a cable system 
     whether signals are significantly viewed in a community.

[[Page 29009]]

       ``(B) Limitation.--Subparagraph (A) shall apply only to 
     secondary transmissions of the primary transmissions of 
     network stations or non-network stations to subscribers who 
     receive secondary transmissions from a satellite carrier 
     pursuant to the statutory license under paragraph (1).
       ``(C) Waiver.--A subscriber who is denied the secondary 
     transmission of the primary transmission of a network station 
     or a non-network station under subparagraph (B) may request a 
     waiver from such denial by submitting a request, through the 
     subscriber's satellite carrier, to the network station or 
     non-network station in the local market affiliated with the 
     same network or non-network where the subscriber is located. 
     The network station or non-network station shall accept or 
     reject the subscriber's request for a waiver within 30 days 
     after receipt of the request. If the network station or non-
     network station fails to accept or reject the subscriber's 
     request for a waiver within that 30-day period, that network 
     station or non-network station shall be deemed to agree to 
     the waiver request.
       ``(3) Secondary transmission of low power programming.--
       ``(A) In general.--Subject to subparagraphs (B) through (D) 
     of this paragraph, the statutory license provided under 
     paragraph (1) shall apply to the secondary transmission by a 
     satellite carrier of the primary transmission of a network 
     station or a non-network station that is licensed as a low 
     power television station, to a subscriber who resides within 
     the same local market as the station that originates the 
     transmission.
       ``(B) No applicability to repeaters and translators.--
     Secondary transmissions provided for in subparagraph (A) 
     shall not apply to any low power television station that 
     retransmits the programs and signals of another television 
     station for more than 2 hours each day.
       ``(C) Limitation to subscribers taking local-into-local 
     service.--Secondary transmissions by a satellite carrier 
     provided for in subparagraph (A) may be made only to 
     subscribers who receive secondary transmissions of primary 
     transmissions from that satellite carrier pursuant to the 
     statutory license in paragraph (1), and only in conformity 
     with the requirements under section 340(b) of the 
     Communications Act of 1934, as in effect on the date of the 
     enactment of the Satellite Home Viewer Reauthorization Act of 
     2009.
       ``(D) No impact on other secondary transmissions 
     obligations.--A satellite carrier that makes secondary 
     transmissions of a primary transmission of a low power 
     television station under a statutory license provided under 
     this section is not required, by reason of such secondary 
     transmissions, to make any other secondary transmissions.''.
       (c) Reporting Requirements.--Section 122(b) is amended--
       (1) in paragraph (1), by striking ``station a list'' and 
     all that follows through the end and inserting the following: 
     ``station--
       ``(A) a list identifying (by name in alphabetical order and 
     street address, including county and 9-digit zip code) all 
     subscribers to which the satellite carrier makes secondary 
     transmissions of that primary transmission under subsection 
     (a); and
       ``(B) a separate list, aggregated by designated market area 
     (by name and address, including street or rural route number, 
     city, State, and 9-digit zip code), which shall indicate 
     those subscribers being served pursuant to subsection (a)(2), 
     relating to significantly viewed stations.''; and
       (2) in paragraph (2), by striking ``network a list'' and 
     all that follows through the end and inserting the following: 
     ``network--
       ``(A) a list identifying (by name in alphabetical order and 
     street address, including county and 9-digit zip code) any 
     subscribers who have been added or dropped as subscribers 
     since the last submission under this subsection; and
       ``(B) a separate list, aggregated by designated market area 
     (by name and street address, including street or rural route 
     number, city, State, and 9-digit zip code), identifying those 
     subscribers whose service pursuant to subsection (a)(2), 
     relating to significantly viewed stations, has been added or 
     dropped since the last submission under this subsection.''.
       (d)  Violations for Territorial Restrictions.--
       (1) Modification to statutory damages.--Section 122(f) is 
     amended--
       (A) in paragraph (1)(B), by striking ``$5'' and inserting 
     ``$250''; and
       (B) in paragraph (2), by striking ``$250,000'' each place 
     it appears and inserting ``$2,500,000''.
       (2) Conforming amendment for significantly viewed 
     stations.--Section 122 is amended--
       (A) in subsection (f), by striking ``section 119 or'' each 
     place it appears and inserting the following: ``section 119, 
     subject to statutory licensing by reason of subsection 
     (a)(2)(A), or subject to''; and
       (B) in subsection (g), by striking ``section 119 or'' and 
     inserting the following: ``section 119, subsection (a)(2)(A), 
     or''.
       (e) Definitions.--Section 122(j) is amended--
       (1) in paragraph (1), by striking ``which contracts'' and 
     inserting ``that contracts'';
       (2) by amending paragraph (2)(A) to read as follows:
       ``(A) In general.--The term `local market' means--
       ``(i) in the case of a television broadcast station that is 
     not a low power television station, the designated market 
     area in which such station is located, and--

       ``(I) in the case of a commercial television broadcast 
     station, all commercial television broadcast stations 
     licensed to a community within the same designated market 
     area are within the same local market; and
       ``(II) in the case of a noncommercial educational 
     television broadcast station, any station that is licensed to 
     a community within the same designated market area as the 
     noncommercial educational television broadcast station; and

       ``(ii) in the case of a low power television broadcast 
     station, the area that is both--

       ``(I) within the designated market area in which such 
     station is located; and
       ``(II) within the area within 35 miles of the transmitter 
     site of such station, except that in the case of such a 
     station located in a standard metropolitan statistical area 
     that has 1 of the 50 largest populations of all standard 
     metropolitan statistical areas (based on the 1980 decennial 
     census of population taken by the Secretary of Commerce), the 
     area within 20 miles of the transmitter site of such 
     station.'';

       (3) in paragraph (3)--
       (A) in the heading of such paragraph, by inserting ``non-
     network station; noncommercial educational broadcast 
     station;'' after ``Network station;''; and
       (B) by inserting ```non-network station; noncommercial 
     educational broadcast station','' after ```network 
     station','';
       (4) by amending paragraph (4) to read as follows:
       ``(4) Subscriber.--The term `subscriber' means a person or 
     entity that receives a secondary transmission service from a 
     satellite carrier and pays a fee for the service, directly or 
     indirectly, to the satellite carrier or to a distributor.''; 
     and
       (5) by adding at the end the following:
       ``(6) Low power television station.--The term `low power 
     television station' means a low power TV station as defined 
     under section 74.701(f) of title 47, Code of Federal 
     Regulations, as in effect on June 1, 2004. For purposes of 
     this paragraph, the term `low power television station' 
     includes a low power television station that has been 
     accorded primary status as a Class A television licensee 
     under section 73.6001(a) of title 47, Code of Federal 
     Regulations.''.

     SEC. 104. MODIFICATIONS TO CABLE SYSTEM SECONDARY 
                   TRANSMISSION RIGHTS UNDER SECTION 111.

       (a) Heading Renamed.--
       (1) In general.--The heading of section 111 is amended by 
     inserting at the end the following: ``of broadcast 
     programming by cable''.
       (2) Table of contents.--The table of contents for chapter 1 
     is amended by striking the item relating to section 111 and 
     inserting the following:

``111. Limitations on exclusive rights: Secondary transmissions of 
              broadcast programming by cable.''.

       (b) National Emergency Monitoring Exemption.--Section 111 
     is amended--
       (1) in subsection (a)--
       (A) in paragraph (4), by striking ``; or'' and inserting 
     ``or section 122;'';
       (B) in paragraph (5), by striking the period and inserting 
     ``; or''; and
       (C) by adding at the end the following new paragraph:
       ``(6) the secondary transmission is made by a cable system 
     for emergency preparation, response, or recovery as described 
     under subsection (g).''; and
       (2) by adding at the end the following new subsection:
       ``(g) Retransmission for Emergency Preparation, Response, 
     or Recovery.--
       ``(1) Authority.--For purposes of subsection (a)(6), a 
     secondary transmission by a cable system of a performance or 
     display of a work embodied in a primary transmission by a 
     television broadcast station is made for emergency 
     preparation, response, or recovery if such transmission is 
     made--
       ``(A) by a cable system to a Federal governmental body 
     designated by the Office of Emergency Communications, in 
     coordination with the Federal Communications Commission, or 
     an organization established with the purpose of carrying out 
     a system of national and international relief efforts and 
     chartered under section 300101 of title 36;
       ``(B) to officers or employees of such body or such 
     organization as a part of the official duties or employment 
     of such officers or employees;
       ``(C) at the request of the Secretary of Homeland Security; 
     and
       ``(D) for the sole purpose of preparing for, responding to, 
     or recovering from an emergency described under paragraph 
     (2).
       ``(2) Emergencies.--An emergency is described under this 
     paragraph if the Secretary of Homeland Security identifies 
     such emergency as a major disaster, a catastrophic incident, 
     an act of terrorism, or a transportation security incident.
       ``(3) Regulations.--Not later than 6 months after the date 
     of the enactment of this subsection, the Secretary of 
     Homeland Security, in coordination with the Federal

[[Page 29010]]

     Communications Commission, the National Telecommunications 
     and Information Administration, and the Register of 
     Copyrights, shall issue regulations to protect copyright 
     owners by preventing the unauthorized access to the secondary 
     transmissions described in paragraph (1).
       ``(4) Reports to congressional committees.--Not later than 
     one year after the date of the enactment of this subsection 
     and by September 30 of each year thereafter, the Secretary of 
     Homeland Security, acting through the Office of Emergency 
     Communications, shall submit a report to the Committees on 
     the Judiciary, on Homeland Security, and on Energy and 
     Commerce of the House of Representatives and the Committees 
     on the Judiciary, on Homeland Security, and on Commerce, 
     Science, and Transportation of the Senate describing--
       ``(A) the manner in which the authority granted under 
     paragraph (1) is being used, including to whom and for what 
     purposes the secondary transmissions are being provided; and
       ``(B) any additional legislative recommendations the 
     Secretary may have.
       ``(5) Definitions.--As used in this subsection:
       ``(A) Terrorism.--The term `terrorism' has the meaning 
     given that term in section 2(16) of the Homeland Security Act 
     of 2002 (6 U.S.C. 101(16)).
       ``(B) Transportation security incident.--The term 
     `transportation security incident' has the meaning given that 
     term in section 70101 of title 46.
       ``(C) Catastrophic incident.--The term `catastrophic 
     incident' means any natural disaster, act of terrorism, or 
     other man-made disaster that results in extraordinary levels 
     of casualties or damage or disruption severely affecting the 
     population (including mass evacuations), infrastructure, the 
     environment, the economy, national morale, or government 
     functions in a geographic area.
       ``(6) Effective date.--This subsection shall apply with 
     respect to secondary transmissions described under paragraph 
     (1) that are made after the end of the 30-day period 
     beginning on the effective date of the regulations issued by 
     the Secretary of Homeland Security under paragraph (3).''.
       (c) Statutory License for Secondary Transmissions by Cable 
     Systems.--Section 111(d) is amended--
       (1) in paragraph (1)--
       (A) in the matter preceding subparagraph (A)--
       (i) by striking ``A cable system whose secondary'' and 
     inserting the following: ``Statement of account and royalty 
     fees.--Subject to paragraph (5), a cable system whose 
     secondary''; and
       (ii) by striking ``by regulation--'' and inserting ``by 
     regulation the following:'';
       (B) in subparagraph (A)--
       (i) by striking ``a statement of account'' and inserting 
     ``A statement of account''; and
       (ii) by striking ``; and'' and inserting a period; and
       (C) by striking subparagraphs (B), (C), and (D), and 
     inserting the following:
       ``(B) Except in the case of a cable system whose royalty 
     fee is specified in subparagraph (E) or (F), a total royalty 
     fee payable to copyright owners pursuant to paragraph (3) for 
     the period covered by the statement, computed on the basis of 
     specified percentages of the gross receipts from subscribers 
     to the cable service during such period for the basic service 
     of providing secondary transmissions of primary broadcast 
     transmitters, as follows:
       ``(i) 1.064 percent of such gross receipts for the 
     privilege of further transmitting, beyond the local service 
     area of such primary transmitter, any non-network programming 
     of a primary transmitter in whole or in part, such amount to 
     be applied against the fee, if any, payable pursuant to 
     clauses (ii) through (iv);
       ``(ii) 1.064 percent of such gross receipts for the first 
     distant signal equivalent;
       ``(iii) 0.701 percent of such gross receipts for each of 
     the second, third, and fourth distant signal equivalents; and
       ``(iv) 0.330 percent of such gross receipts for the fifth 
     distant signal equivalent and each distant signal equivalent 
     thereafter.
       ``(C) In computing amounts under clauses (ii) through (iv) 
     of subparagraph (B)--
       ``(i) any fraction of a distant signal equivalent shall be 
     computed at its fractional value;
       ``(ii) in the case of any cable system located partly 
     within and partly outside of the local service area of a 
     primary transmitter, gross receipts shall be limited to those 
     gross receipts derived from subscribers located outside of 
     the local service area of such primary transmitter; and
       ``(iii) if a cable system provides a secondary transmission 
     of a primary transmitter to some but not all communities 
     served by that cable system--

       ``(I) the gross receipts and the distant signal equivalent 
     values for such secondary transmission shall be derived 
     solely on the basis of the subscribers in those communities 
     where the cable system provides such secondary transmission; 
     and
       ``(II) the total royalty fee for the period paid by such 
     system shall not be less than the royalty fee calculated 
     under subparagraph (B)(i) multiplied by the gross receipts 
     from all subscribers to the system.

       ``(D) A cable system that, on a statement submitted before 
     the date of the enactment of the Satellite Home Viewer 
     Reauthorization Act of 2009, computed its royalty fee 
     consistent with the methodology under subparagraph (C)(iii) 
     or that amends a statement filed before such date of 
     enactment to compute the royalty fee due using such 
     methodology shall not be subject to an action for 
     infringement, or eligible for any royalty refund or offset, 
     arising out of its use of such methodology on such statement.
       ``(E) If the actual gross receipts paid by subscribers to a 
     cable system for the period covered by the statement for the 
     basic service of providing secondary transmissions of primary 
     broadcast transmitters are $263,800 or less--
       ``(i) gross receipts of the cable system for the purpose of 
     this paragraph shall be computed by subtracting from such 
     actual gross receipts the amount by which $263,800 exceeds 
     such actual gross receipts, except that in no case shall a 
     cable system's gross receipts be reduced to less than 
     $10,400; and
       ``(ii) the royalty fee payable under this paragraph to 
     copyright owners pursuant to paragraph (3) shall be 0.5 
     percent, regardless of the number of distant signal 
     equivalents, if any.
       ``(F) If the actual gross receipts paid by subscribers to a 
     cable system for the period covered by the statement for the 
     basic service of providing secondary transmissions of primary 
     broadcast transmitters are more than $263,800 but less than 
     $527,600, the royalty fee payable under this paragraph to 
     copyright owners pursuant to paragraph (3) shall be--
       ``(i) 0.5 percent of any gross receipts up to $263,800, 
     regardless of the number of distant signal equivalents, if 
     any; and
       ``(ii) 1 percent of any gross receipts in excess of 
     $263,800, but less than $527,600, regardless of the number of 
     distant signal equivalents, if any.
       ``(G) A filing fee, as determined by the Register of 
     Copyrights pursuant to section 708(a).'';
       (2) in paragraph (2), in the first sentence--
       (A) by striking ``The Register of Copyrights'' and 
     inserting the following ``Handling of fees.--The Register of 
     Copyrights'';
       (B) by inserting ``(including the filing fee specified in 
     paragraph (1)(G))'' after ``shall receive''; and
       (3) in paragraph (3)--
       (A) by striking ``The royalty fees'' and inserting the 
     following: ``Distribution of royalty fees to copyright 
     owners.--The royalty fees'';
       (B) in subparagraph (A)--
       (i) by striking ``any such'' and inserting ``Any such''; 
     and
       (ii) by striking ``; and'' and inserting a period;
       (C) in subparagraph (B)--
       (i) by striking ``any such'' and inserting ``Any such''; 
     and
       (ii) by striking the semicolon and inserting a period; and
       (D) in subparagraph (C), by striking ``any such'' and 
     inserting ``Any such'';
       (4) in paragraph (4), by striking ``The royalty fees'' and 
     inserting the following: ``Procedures for royalty fee 
     distribution.--The royalty fees''; and
       (5) by adding at the end the following new paragraphs:
       ``(5) 3.75 percent rate and syndicated exclusivity 
     surcharge not applicable to multicast streams.--The royalty 
     rates specified in sections 256.2(c) and 256.2(d) of title 
     37, Code of Federal Regulations (commonly referred to as the 
     `3.75 percent rate' and the `syndicated exclusivity 
     surcharge', respectively), as in effect on the date of 
     enactment of the Satellite Home Viewer Reauthorization Act of 
     2009, as such rates may be adjusted, or such sections 
     redesignated, thereafter by the Copyright Royalty Judges, 
     shall not apply to the secondary transmission of a multicast 
     stream.
       ``(6) Verification of accounts and fee payments.--The 
     Register of Copyrights shall issue regulations to provide for 
     the confidential verification and audit of the information 
     reported on the semi-annual statements of account filed after 
     the date of the enactment of the Satellite Home Viewer 
     Reauthorization Act of 2009. The regulations shall provide 
     for a single verification procedure, with respect to the 
     semi-annual statements of account filed by a cable system, to 
     be conducted by a qualified independent auditor on behalf of 
     all copyright owners whose works were the subject of a 
     secondary transmission to the public by a cable system of a 
     performance or display of a work embodied in a primary 
     transmission and for a mechanism to review and cure defects 
     identified by any such audit.
       ``(7) Acceptance of additional deposits.--Any royalty fee 
     payments received by the Copyright Office from cable systems 
     for the secondary transmission of primary transmissions that 
     are in addition to the payments calculated and deposited in 
     accordance with this subsection shall be deemed to have been 
     deposited for the particular accounting period for which they 
     are received and shall be distributed as specified under this 
     subsection.''.
       (d) Effective Date of New Royalty Fee Rates.--The royalty 
     fee rates established in section 111(d)(1)(B) of title 17, 
     United States

[[Page 29011]]

     Code, as amended by subsection (c)(1)(C) of this section, 
     shall take effect commencing with the first accounting period 
     occurring in 2010.
        (e) Definitions.--Section 111(f) is amended--
       (1) by striking the first undesignated paragraph and 
     inserting the following:,
       ``(1) Primary transmission.--A `primary transmission' is a 
     transmission made to the public by a transmitting facility 
     whose signals are being received and further transmitted by a 
     secondary transmission service, regardless of where or when 
     the performance or display was first transmitted. In the case 
     of a television broadcast station, the primary stream and any 
     multicast streams transmitted by the station constitute 
     primary transmissions.'';
       (2) in the second undesignated paragraph--
       (A) by striking ``A `secondary transmission''' and 
     inserting the following:
       ``(2) Secondary transmission.--A `secondary 
     transmission'''; and
       (B) by striking ```cable system''' and inserting ``cable 
     system'';
       (3) in the third undesignated paragraph--
       (A) by striking ``A `cable system''' and inserting the 
     following:
       ``(3) Cable system.--A `cable system'''; and
       (B) by striking ``Territory, Trust Territory, or 
     Possession'' and inserting ``territory, trust territory, or 
     possession of the United States'';
       (4) in the fourth undesignated paragraph, in the first 
     sentence--
       (A) by striking ``The `local service area of a primary 
     transmitter', in the case of a television broadcast station, 
     comprises the area in which such station is entitled to 
     insist'' and inserting the following:
       ``(4) Local service area of a primary transmitter.--The 
     `local service area of a primary transmitter', in the case of 
     both the primary stream and any multicast streams transmitted 
     by a primary transmitter that is a television broadcast 
     station, comprises the area where such primary transmitter 
     could have insisted'';
       (B) by striking ``76.59 of title 47 of the Code of Federal 
     Regulations'' and inserting the following: ``76.59 of title 
     47, Code of Federal Regulations, or within the noise-limited 
     contour as defined in 73.622(e)(1) of title 47, Code of 
     Federal Regulations''; and
       (C) by striking ``as defined by the rules and regulations 
     of the Federal Communications Commission,'';
       (5) by amending the fifth undesignated paragraph to read as 
     follows:
       ``(5) Distant signal equivalent.--
       ``(A) In general.--Except as provided under subparagraph 
     (B), a `distant signal equivalent'--
       ``(i) is the value assigned to the secondary transmission 
     of any non-network television programming carried by a cable 
     system in whole or in part beyond the local service area of 
     the primary transmitter of such programming; and
       ``(ii) is computed by assigning a value of one to each 
     primary stream and to each multicast stream (other than a 
     simulcast) that is an independent station, and by assigning a 
     value of one-quarter to each primary stream and to each 
     multicast stream (other than a simulcast) that is a network 
     station or a noncommercial educational station.
       ``(B) Exceptions.--The values for independent, network, and 
     noncommercial educational stations specified in subparagraph 
     (A) are subject to the following:
       ``(i) Where the rules and regulations of the Federal 
     Communications Commission require a cable system to omit the 
     further transmission of a particular program and such rules 
     and regulations also permit the substitution of another 
     program embodying a performance or display of a work in place 
     of the omitted transmission, or where such rules and 
     regulations in effect on the date of enactment of the 
     Copyright Act of 1976 permit a cable system, at its election, 
     to effect such omission and substitution of a nonlive program 
     or to carry additional programs not transmitted by primary 
     transmitters within whose local service area the cable system 
     is located, no value shall be assigned for the substituted or 
     additional program.
       ``(ii) Where the rules, regulations, or authorizations of 
     the Federal Communications Commission in effect on the date 
     of enactment of the Copyright Act of 1976 permit a cable 
     system, at its election, to omit the further transmission of 
     a particular program and such rules, regulations, or 
     authorizations also permit the substitution of another 
     program embodying a performance or display of a work in place 
     of the omitted transmission, the value assigned for the 
     substituted or additional program shall be, in the case of a 
     live program, the value of one full distant signal equivalent 
     multiplied by a fraction that has as its numerator the number 
     of days in the year in which such substitution occurs and as 
     its denominator the number of days in the year.
       ``(iii) In the case of the secondary transmission of a 
     primary transmitter that is a television broadcast station 
     pursuant to the late-night or specialty programming rules of 
     the Federal Communications Commission, or the secondary 
     transmission of a primary transmitter that is a television 
     broadcast station on a part-time basis where full-time 
     carriage is not possible because the cable system lacks the 
     activated channel capacity to retransmit on a full-time basis 
     all signals that it is authorized to carry, the values for 
     independent, network, and noncommercial educational stations 
     set forth in subparagraph (A), as the case may be, shall be 
     multiplied by a fraction that is equal to the ratio of the 
     broadcast hours of such primary transmitter retransmitted by 
     the cable system to the total broadcast hours of the primary 
     transmitter.
       ``(iv) No value shall be assigned for the secondary 
     transmission of the primary stream or any multicast streams 
     of a primary transmitter that is a television broadcast 
     station in any community that is within the local service 
     area of the primary transmitter .'';
       (6) by striking the sixth undesignated paragraph and 
     inserting the following:
       ``(6) Network station.--
       ``(A) Treatment of primary stream.--The term `network 
     station' shall be applied to a primary stream of a television 
     broadcast station that is owned or operated by, or affiliated 
     with, one or more of the television networks in the United 
     States providing nationwide transmissions, and that transmits 
     a substantial part of the programming supplied by such 
     networks for a substantial part of the primary stream's 
     typical broadcast day.
       ``(B) Treatment of multicast streams.--The term `network 
     station' shall be applied to a multicast stream on which a 
     television broadcast station transmits all or substantially 
     all of the programming of an interconnected program service 
     that--
       ``(i) is owned or operated by, or affiliated with, one or 
     more of the television networks described in subparagraph 
     (A); and
       ``(ii) offers programming on a regular basis for 15 or more 
     hours per week to at least 25 of the affiliated television 
     licensees of the interconnected program service in 10 or more 
     States.''; and
       (7) by striking the seventh undesignated paragraph and 
     inserting the following:
       ``(7) Independent station.--The term `independent station' 
     shall be applied to the primary stream or a multicast stream 
     of a television broadcast station that is not a network 
     station or a noncommercial educational station.'';
       (8) by striking the eighth undesignated paragraph and 
     inserting the following:
       ``(8) Noncommercial educational station.--A `noncommercial 
     educational station' is television station that is a 
     noncommercial educational broadcast station as defined in 
     section 397 of the Communications Act of 1934, as in effect 
     on the date of the enactment of the Satellite Home Viewer 
     Reauthorization Act of 2009.''; and
       (9) by adding at the end the following:
       ``(9) Primary stream.--A `primary stream' is--
       ``(A) the single digital stream of programming that prior 
     to june 12, 2009 was substantially duplicating the 
     programming transmitted by the television broadcast station 
     as an analog signal; or
       ``(B) if there is no such stream, the single digital stream 
     of programming transmitted by the station for the longest 
     period of time.
       ``(10) Primary transmitter.--A `primary transmitter' is a 
     television or radio broadcast station licensed by the Federal 
     Communications Commission, or by an appropriate governmental 
     authority of Canada or Mexico, that makes primary 
     transmissions to the public.
       ``(11) Multicast stream.--A `multicast stream' is a digital 
     stream of programming transmitted by a television broadcast 
     station that is not the station's primary stream.
       ``(12) Simulcast.--A `simulcast' is a multicast stream of a 
     television broadcast station that duplicates the programming 
     transmitted by the primary stream or another multicast stream 
     of such station.
       ``(13) Subscriber; subscribe.--
       ``(A) Subscriber.--The term `subscriber' means a person or 
     entity that receives a secondary transmission service from a 
     cable system and pays a fee for the service, directly or 
     indirectly, to the cable system.
       ``(B) Subscribe.--The term `subscribe' means to elect to 
     become a subscriber.''.
        (f) Timing of Section 111 Proceedings.--Section 804(b)(1) 
     is amended by striking ``2005'' each place it appears and 
     inserting ``2015''.
        (g) Technical and Conforming Amendments.--
       (1) Corrections to fix level designations.--Section 111 is 
     amended--
       (A) in subsections (a), (c), and (e), by striking 
     ``clause'' each place it appears and inserting ``paragraph'';
       (B) in subsection (c)(1), by striking ``clauses'' and 
     inserting ``paragraphs''; and
       (C) in subsection (e)(1)(F), by striking ``subclause'' and 
     inserting ``subparagraph''.
       (2) Conforming amendment to hyphenate nonnetwork.--Section 
     111 is amended by striking ``nonnetwork'' each place it 
     appears and inserting ``non-network''.
       (3) Previously undesignated paragraph.--Section 111(e)(1) 
     is amended by striking ``second paragraph of subsection (f)'' 
     and inserting ``subsection (f)(2)''.
       (4) Removal of superfluous ands.--Section 111(e) is 
     amended--

[[Page 29012]]

       (A) in paragraph (1)(A), by striking ``and'' at the end;
       (B) in paragraph (1)(B), by striking ``and'' at the end;
       (C) in paragraph (1)(C), by striking ``and'' at the end;
       (D) in paragraph (1)(D), by striking ``and'' at the end; 
     and
       (E) in paragraph (2)(A), by striking ``and'' at the end;
       (5) Removal of variant forms references.--Section 111 is 
     amended--
       (A) in subsection (e)(4), by striking ``, and each of its 
     variant forms,''; and
       (B) in subsection (f), by striking ``and their variant 
     forms''.
       (6) Correction to territory reference.--Section 111(e)(2) 
     is amended in the matter preceding subparagraph (A) by 
     striking ``three territories'' and inserting ``five 
     entities''.
       (h) Effective Date With Respect to Multicast Streams.--
       (1) In general.--Subject to paragraphs (2) and (3), the 
     amendments made by this section, to the extent such 
     amendments assign a distant signal equivalent value to the 
     secondary transmission of the multicast stream of a primary 
     transmitter, shall take effect on the date of the enactment 
     of this Act.
       (2) Delayed applicability.--
       (A) Secondary transmissions of a multicast stream beyond 
     the local service area of its primary transmitter before 2009 
     act.--In any case in which a cable system was making 
     secondary transmissions of a multicast stream beyond the 
     local service area of its primary transmitter before the date 
     of the enactment of this Act, a distant signal equivalent 
     value (referred to in paragraph (1)) shall not be assigned to 
     secondary transmissions of such multicast stream that are 
     made on or before June 30, 2010.
       (B) Multicast streams subject to preexisting written 
     agreements for the secondary transmission of such streams.--
     In any case in which the secondary transmission of a 
     multicast stream of a primary transmitter is the subject of a 
     written agreement entered into on or before June 30, 2009, 
     between a cable system or an association representing the 
     cable system and a primary transmitter or an association 
     representing the primary transmitter, a distant signal 
     equivalent value (referred to in paragraph (1)) shall not be 
     assigned to secondary transmissions of such multicast stream 
     beyond the local service area of its primary transmitter that 
     are made on or before the date on which such written 
     agreement expires.
       (C) No refunds or offsets for prior statements of 
     account.--A cable system that has reported secondary 
     transmissions of a multicast stream beyond the local service 
     area of its primary transmitter on a statement of account 
     deposited under section 111 of title 17, United States Code, 
     before the date of the enactment of this Act shall not be 
     entitled to any refund, or offset, of royalty fees paid on 
     account of such secondary transmissions of such multicast 
     stream.
       (3) Definitions.--In this subsection, the terms ``cable 
     system'', ``secondary transmission'', ``multicast stream'', 
     and ``local service area of a primary transmitter'' have the 
     meanings given those terms in section 111(f) of title 17, 
     United States Code, as amended by this section.

     SEC. 105. CERTAIN WAIVERS GRANTED TO PROVIDERS OF LOCAL-INTO-
                   LOCAL SERVICE FOR ALL DMAS.

       Section 119 is amended by adding at the end the following 
     new subsection:
       ``(g) Certain Waivers Granted to Providers of Local-Into-
     Local Service to All DMAs.--
       ``(1) Injunction waiver.--A court that issued an injunction 
     pursuant to subsection (a)(7)(B) before the date of the 
     enactment of this subsection shall waive such injunction if 
     the court recognizes the entity against which the injunction 
     was issued as a qualified carrier.
       ``(2) Limited temporary waiver.--
       ``(A) In general.--Upon a request made by a satellite 
     carrier, a court that issued an injunction against such 
     carrier under subsection (a)(7)(B) before the date of the 
     enactment of this subsection shall waive such injunction with 
     respect to the statutory license provided under subsection 
     (a)(2) to the extent necessary to allow such carrier to make 
     secondary transmissions of primary transmissions made by a 
     network station to unserved households located in short 
     markets in which such carrier was not providing local service 
     pursuant to the license under section 122 as of December 31, 
     2009.
       ``(B) Expiration of temporary waiver.--A temporary waiver 
     of an injunction under subparagraph (A) shall expire after 
     the end of the 120-day period beginning on the date such 
     temporary waiver is issued unless extended for good cause by 
     the court making the temporary waiver.
       ``(C) Failure to make good faith effort to provide local-
     into-local service to all dmas.--
       ``(i) Willful failure.--If the court issuing a temporary 
     waiver under subparagraph (A) determines that the satellite 
     carrier that made the request for such waiver has failed to 
     make a good faith effort to provide local-into-local service 
     to all DMAs and determines that such failure was willful, 
     such failure--

       ``(I) is actionable as an act of infringement under section 
     501 and the court may in its discretion impose the remedies 
     provided for in sections 502 through 506 and subsection 
     (a)(6)(B) of this section; and

       ``(II) shall result in the termination of the waiver issued 
     under subparagraph (A).

       ``(ii) Nonwillful failure.--If the court issuing a 
     temporary waiver under subparagraph (A) determines that the 
     satellite carrier that made the request for such waiver has 
     failed to make a good faith effort to provide local-into-
     local service to all DMAs and determines that such failure 
     was nonwillful, the court may in its discretion impose 
     financial penalties that reflect--

       ``(I) the degree of control the carrier had over the 
     circumstances that resulted in the failure;
       ``(II) the quality of the carrier's efforts to remedy the 
     failure; and
       ``(III) the severity and duration of any service 
     interruption.

       ``(D) Single temporary waiver available.--An entity may 
     only receive one temporary waiver under this paragraph.
       ``(E) Short market defined.--For purposes of this 
     paragraph, the term `short market' means a local market in 
     which programming of one or more of the four most widely 
     viewed television networks nationwide as measured on the date 
     of enactment of this subsection is not offered on the primary 
     stream transmitted by any local television broadcast station.
       ``(3) Establishment of qualified carrier recognition.--
       ``(A) Statement of eligibility.--An entity seeking to be 
     recognized as a qualified carrier under this subsection shall 
     file a statement of eligibility with the court that imposed 
     the injunction. A statement of eligibility must include--
       ``(i) an affidavit that the entity is providing local-into-
     local service to all DMAs;
       ``(ii) a request for a waiver of the injunction; and
       ``(iii) a certification issued pursuant to section 342(a) 
     of Communications Act of 1934.
       ``(B) Grant of recognition as a qualified carrier.--Upon 
     receipt of a statement of eligibility, the court shall 
     recognize the entity as a qualified carrier and issue the 
     waiver under paragraph (1).
       ``(C) Voluntary termination.--At any time, an entity 
     recognized as a qualified carrier may file a statement of 
     voluntary termination with the court certifying that it no 
     longer wishes to be recognized as a qualified carrier. Upon 
     receipt of such statement, the court shall reinstate the 
     injunction waived under paragraph (1).
       ``(D) Loss of recognition prevents future recognition.--No 
     entity may be recognized as a qualified carrier if such 
     entity had previously been recognized as a qualified carrier 
     and subsequently lost such recognition or voluntarily 
     terminated such recognition under subparagraph (C).
       ``(4) Qualified carrier obligations and compliance.--
       ``(A) Continuing obligations.--
       ``(i) In general.--An entity recognized as a qualified 
     carrier shall continue to provide local-into-local service to 
     all DMAs.
       ``(ii) Cooperation with gao examination.--An entity 
     recognized as a qualified carrier shall fully cooperate with 
     the Comptroller General in the examination required by 
     subparagraph (B).
       ``(B) Qualified carrier compliance examination.--
       ``(i) Examination and report.--The Comptroller General 
     shall conduct an examination and publish a report concerning 
     the qualified carrier's compliance with the royalty payment 
     and household eligibility requirements of the license under 
     this section. The report shall address the qualified 
     carrier's conduct during the period beginning on the date on 
     which the qualified carrier is recognized as such under 
     paragraph (3)(B) and ending on December 31, 2011.
       ``(ii) Records of qualified carrier.--Beginning on the date 
     that is one year after the date on which the qualified 
     carrier is recognized as such under paragraph (3)(B), the 
     qualified carrier shall provide the Comptroller General with 
     all records that the Comptroller General, in consultation 
     with the Register of Copyrights, considers to be directly 
     pertinent to the following requirements under this section:

       ``(I) Proper calculation and payment of royalties under the 
     statutory license under this section.
       ``(II) Provision of service under this license to eligible 
     subscribers only.

       ``(iii) Submission of report.--The Comptroller General 
     shall file the report required by clause (i) not later than 
     March 1, 2012, with the court referred to in paragraph (1) 
     that issued the injunction, the Register of Copyrights, and 
     the Committees on the Judiciary of the House of 
     Representatives and the Senate.
       ``(iv) Evidence of infringement.--The Comptroller General 
     shall include in the report a statement of whether the 
     examination by the Comptroller General indicated that there 
     is substantial evidence that a copyright holder could bring a 
     successful action under this section against the qualified 
     carrier for infringement. The Comptroller General shall 
     consult with the Register of Copyrights in preparing such 
     statement.

[[Page 29013]]

       ``(v) Subsequent examination.--If the report includes the 
     Comptroller General's statement that there is substantial 
     evidence that a copyright holder could bring a successful 
     action under this section against the qualified carrier for 
     infringement, the Comptroller General shall, not later than 6 
     months after the report under clause (i) is published, 
     initiate another examination of the qualified carrier's 
     compliance with the royalty payment and household eligibility 
     requirements of the license under this section since the last 
     report was filed under clause (iii). The Comptroller General 
     shall file a report on such examination with the court 
     referred to in paragraph (1) that issued the injunction, the 
     Register of Copyrights, and the Committees on the Judiciary 
     of the House of Representatives and the Senate. The report 
     shall include a statement described in clause (iv), prepared 
     in consultation with the Register of Copyrights.
       ``(C) Affirmation.--A qualified carrier shall file an 
     affidavit with the district court and the Register of 
     Copyrights 30 months after such status was granted stating 
     that, to the best of the affiant's knowledge, it is in 
     compliance with the requirements for a qualified carrier.
       ``(D) Compliance determination.--Upon the motion of an 
     aggrieved television broadcast station, the court recognizing 
     an entity as a qualified carrier may make a determination of 
     whether the entity is providing local-into-local service to 
     all DMAs.
       ``(E) Pleading requirement.--In any motion brought under 
     subparagraph (D), the party making such motion shall specify 
     one or more designated market areas (as such term is defined 
     in section 122(j)(2)(C)) for which the failure to provide 
     service is being alleged, and, for each such designated 
     market area, shall plead with particularity the circumstances 
     of the alleged failure.
       ``(F) Burden of proof.--In any proceeding to make a 
     determination under subparagraph (D), and with respect to a 
     designated market area for which failure to provide service 
     is alleged, the entity recognized as a qualified carrier 
     shall have the burden of proving that the entity provided 
     local-into-local service with a good quality satellite signal 
     to at least 90 percent of the households in such designated 
     market area (based on the most recent census data released by 
     the United States Census Bureau) at the time and place 
     alleged.
       ``(G) Enforcement.--Upon motion filed by an interested 
     party, the court recognizing an entity as a qualified carrier 
     shall terminate such designation upon finding that the entity 
     has failed to meet the requirements imposed on the entity 
     under this paragraph.
       ``(5) Failure to provide service.--
       ``(A) Penalties.--If the court recognizing an entity as a 
     qualified carrier finds that such entity has willfully failed 
     to provide local-into-local service to all DMAs, such finding 
     shall result in the loss of recognition of the entity as a 
     qualified carrier and the termination of the waiver provided 
     under paragraph (1), and the court may, in its discretion--
       ``(i) treat such failure as an act of infringement under 
     section 501, and subject such infringement to the remedies 
     provided for in sections 502 through 506 and subsection 
     (a)(6)(B) of this section; and
       ``(ii) impose a fine of not more than $250,000.
       ``(B) Exception for nonwillful violation.--If the court 
     determines that the failure to provide local-into-local 
     service to all DMAs is nonwillful, the court may in its 
     discretion impose financial penalties for noncompliance that 
     reflect--
       ``(i) the degree of control the entity had over the 
     circumstances that resulted in the failure;
       ``(ii) the quality of the entity's efforts to remedy the 
     failure and restore service; and
       ``(iii) the severity and duration of the service 
     interruption.
       ``(6) Penalties for violations of license.--A court that 
     finds, under subsection (a)(6)(A), that an entity recognized 
     as a qualified carrier has willfully made a secondary 
     transmission of a primary transmission made by a network 
     station and embodying a performance or display of a work to a 
     subscriber who is not eligible to receive the transmission 
     under this section shall reinstate the injunction waived 
     under paragraph (1), and the court may order statutory 
     damages of not more than $2,500,000.
       ``(7) Local-into-local service to all dmas defined.--For 
     purposes of this subsection:
       ``(A) In general.--An entity provides `local-into-local 
     service to all DMAs' if the entity provides local service in 
     all designated market areas (as such term is defined in 
     section 122(j)(2)(C)) pursuant to the license under section 
     122.
       ``(B) Household coverage.--For purposes of subparagraph 
     (A), an entity that makes available local-into-local service 
     with a good quality satellite signal to at least 90 percent 
     of the households in a designated market area based on the 
     most recent census data released by the United States Census 
     Bureau shall be considered to be providing local service to 
     such designated market area.
       ``(C) Good quality satellite signal defined.--The term 
     `good quality signal' has the meaning given such term under 
     section 342(e)(2) of Communications Act of 1934.''.

     SEC. 106. TERMINATION OF LICENSE.

       (a) Termination.--Section 119, as amended by this title, 
     shall cease to be effective on December 31, 2014.
       (b) Conforming Amendment.--Section 4(a) of the Satellite 
     Home Viewer Act of 1994 (17 U.S.C. 119 note; Public Law 103-
     369) is repealed.

     SEC. 107. SURCHARGE ON STATUTORY LICENSES.

       (a) Surcharges.--The Copyright Royalty Judges shall 
     establish a surcharge or surcharges to be paid, in accordance 
     with subsection (b), by cable systems subject to statutory 
     licensing under section 111(c) of title 17, United States 
     Code, and satellite carriers whose secondary transmissions 
     are subject to statutory licensing under section 119(a) of 
     such title, in addition to the royalty fees paid by such 
     cable systems under section 111(d)(1) of such title and by 
     such satellite carriers under section 119(b)(1) of such 
     title.
       (b) Amount and Timing of Surcharges.--Surcharges under 
     subsection (a) shall be assessed, during fiscal years 2009 
     through 2019, in amounts that, in the aggregate, will equal 
     at least $92,000,000.
       (c) Funds Unavailable for Obligation.--Surcharges collected 
     under this section shall be deposited in the Treasury of the 
     United States and shall not be available for obligation.
       (d) Authorities.--The Copyright Royalty Judges may exercise 
     the authorities such Judges have under chapter 8 of title 17, 
     United States Code, to carry out this section.

     SEC. 108. CONSTRUCTION.

       Nothing in section 111, 119, or 122 of title 17, United 
     States Code, including the amendments made to such sections 
     by this title, shall be construed to affect the meaning of 
     any terms under the Communications Act of 1934, except to the 
     extent that such sections are specifically cross-referenced 
     in such Act or the regulations issued thereunder.

                  TITLE II--COMMUNICATIONS PROVISIONS

     SEC. 201. REFERENCE.

       Except as otherwise provided, whenever in this title an 
     amendment is made to a section or other provision, the 
     reference shall be considered to be made to such section or 
     provision of the Communications Act of 1934 (47 U.S.C. 151 et 
     seq.).

     SEC. 202. EXTENSION OF AUTHORITY.

       Section 325(b) is amended--
       (1) in paragraph (2)(C), by striking ``December 31, 2009'' 
     and inserting ``December 31, 2014''; and
       (2) in paragraph (3)(C), by striking ``January 1, 2010'' 
     each place it appears in clauses (ii) and (iii) and inserting 
     ``January 1, 2015''.

     SEC. 203. SIGNIFICANTLY VIEWED STATIONS.

       (a) In General.--Paragraphs (1) and (2) of section 340(b) 
     are amended to read as follows:
       ``(1) Service limited to subscribers taking local-into-
     local service.--This section shall apply only to 
     retransmissions to subscribers of a satellite carrier who 
     receive retransmissions of a signal from that satellite 
     carrier pursuant to section 338.
       ``(2) Service limitations.--A satellite carrier may 
     retransmit to a subscriber in high definition format the 
     signal of a station determined by the Commission to be 
     significantly viewed under subsection (a) only if such 
     carrier also retransmits in high definition format the signal 
     of a station located in the local market of such subscriber 
     and affiliated with the same network whenever such format is 
     available from such station.''.
       (b) Rulemaking Required.--Within 180 days after the date of 
     the enactment of this Act, the Federal Communications 
     Commission shall take all actions necessary to promulgate a 
     rule to implement the amendments made by subsection (a).

     SEC. 204. DIGITAL TELEVISION TRANSITION CONFORMING 
                   AMENDMENTS.

       (a) Section 338.--Section 338 is amended--
       (1) in subsection (a), by striking ``(3)  effective date.--
     No satellite'' and all that follows through ``until January 
     1, 2002.''; and
       (2) by amending subsection (g) to read as follows:
       ``(g) Carriage of Local Stations on a Single Reception 
     Antenna.--
       ``(1) Single reception antenna.--Each satellite carrier 
     that retransmits the signals of local television broadcast 
     stations in a local market shall retransmit such stations in 
     such market so that a subscriber may receive such stations by 
     means of a single reception antenna and associated equipment.
       ``(2) Additional reception antenna.--If the carrier 
     retransmits the signals of local television broadcast 
     stations in a local market in high definition format, the 
     carrier shall retransmit such signals in such market so that 
     a subscriber may receive such signals by means of a single 
     reception antenna and associated equipment, but such antenna 
     and associated equipment may be separate from the single 
     reception antenna and associated equipment used to comply 
     with paragraph (1).''.
       (b) Section 339.--Section 339 is amended--
       (1) in subsection (a)--
       (A) in paragraph (1)(B), by striking ``Such two network 
     stations'' and all that follows through ``more than two 
     network stations.''; and
       (B) in paragraph (2)--
       (i) in the heading for subparagraph (A), by striking ``to 
     analog signals'';

[[Page 29014]]

       (ii) in subparagraph (A)--

       (I) in the heading for clause (i), by striking ``analog'';
       (II) in clause (i)--

       (aa) by striking ``analog'' each place it appears; and
       (bb) by striking ``October 1, 2004'' and inserting 
     ``October 1, 2009'';

       (III) in the heading for clause (ii), by striking 
     ``analog''; and
       (IV) in clause (ii)--

       (aa) by striking ``analog'' each place it appears; and
       (bb) by striking ``2004'' and inserting ``2009'';
       (iii) by amending subparagraph (B) to read as follows:
       ``(B) Rules for other subscribers.--
       ``(i) In general.--In the case of a subscriber of a 
     satellite carrier who is eligible to receive the signal of a 
     network station under this section (in this subparagraph 
     referred to as a `distant signal'), other than subscribers to 
     whom subparagraph (A) applies, the following shall apply:

       ``(I) In a case in which the satellite carrier makes 
     available to that subscriber, on January 1, 2005, the signal 
     of a local network station affiliated with the same 
     television network pursuant to section 338, the carrier may 
     only provide the secondary transmissions of the distant 
     signal of a station affiliated with the same network to that 
     subscriber if the subscriber's satellite carrier, not later 
     than March 1, 2005, submits to that television network the 
     list and statement required by subparagraph (F)(i).
       ``(II) In a case in which the satellite carrier does not 
     make available to that subscriber, on January 1, 2005, the 
     signal of a local network station pursuant to section 338, 
     the carrier may only provide the secondary transmissions of 
     the distant signal of a station affiliated with the same 
     network to that subscriber if--

       ``(aa) that subscriber seeks to subscribe to such distant 
     signal before the date on which such carrier commences to 
     carry pursuant to section 338 the signals of stations from 
     the local market of such local network station; and
       ``(bb) the satellite carrier, within 60 days after such 
     date, submits to each television network the list and 
     statement required by subparagraph (F)(ii).
       ``(ii) Special circumstances.--A subscriber of a satellite 
     carrier who was lawfully receiving the distant signal of a 
     network station on the day before the date of enactment of 
     the Satellite Home Viewer Reauthorization Act of 2009 may 
     receive both such distant signal and the local signal of a 
     network station affiliated with the same network until such 
     subscriber chooses to no longer receive such distant signal 
     from such carrier.'';
       (iv) in subparagraph (C)--

       (I) by striking ``analog'';
       (II) in clause (i), by striking ``the Satellite Home Viewer 
     Extension and Reauthorization Act of 2004'' and inserting 
     ``the Satellite Home Viewer Reauthorization Act of 2009''; 
     and
       (III) by amending clause (ii) to read as follows:

       ``(ii) either--

       ``(I) at the time such person seeks to subscribe to receive 
     such secondary transmission, resides in a local market where 
     the satellite carrier makes available to that person the 
     signal of a local network station affiliated with the same 
     television network pursuant to section 338, and the 
     retransmission of such signal by such carrier can reach such 
     subscriber; or
       ``(II) receives from the satellite carrier the programming 
     of a network station affiliated with the same network that is 
     broadcast by a local station in the market where the 
     subscriber resides, but such programming is not contained 
     within the local station's primary video.'';

       (v) in subparagraph (D)--

       (I) in the heading, by striking ``digital'';
       (II) by striking clauses (i), (iii) through (v), (vii) 
     through (ix), and (xi);
       (III) by redesignating clause (vi) as clause (i) and 
     transferring such clause to appear before clause (ii);
       (IV) by amending such clause (i) (as so redesignated) to 
     read as follows:

       ``(i) Signal testing.--A subscriber shall be eligible to 
     receive a distant signal of a distant network station 
     affiliated with the same network under this section if such 
     subscriber is determined, based on a test conducted in 
     accordance with section 73.686(d) of title 47, Code of 
     Federal Regulations, or any successor regulation, not to be 
     able to receive a signal that exceeds the signal intensity 
     standard in section 73.622(e)(1) of title 47, Code of Federal 
     Regulations.'';

       (V) in clause (ii)--

       (aa) by striking ``digital'' in the heading;
       (bb) by striking ``digital'' the first two places such term 
     appears;
       (cc) by striking ``Satellite Home Viewer Extension and 
     Reauthorization Act of 2004'' and inserting ``Satellite Home 
     Viewer Reauthorization Act of 2009''; and
       (dd) by striking ``, whether or not such subscriber elects 
     to subscribe to local digital signals'';

       (VI) by inserting after clause (ii) the following new 
     clause:

       ``(iii) Time-shifting prohibited.--In a case in which the 
     satellite carrier makes available to an eligible subscriber 
     under this subparagraph the signal of a local network station 
     pursuant to section 338, the carrier may only provide the 
     distant signal of a station affiliated with the same network 
     to that subscriber if, in the case of any local market in the 
     48 contiguous States of the United States, the distant signal 
     is the secondary transmission of a station whose prime time 
     network programming is generally broadcast simultaneously 
     with, or later than, the prime time network programming of 
     the affiliate of the same network in the local market.''; and

       (VII) by redesignating clause (x) as clause (iv); and

       (vi) in subparagraph (E), by striking ``distant analog 
     signal or'' and all that follows through ``(B), or (D))'' and 
     inserting ``distant signal'';
       (2) in subsection (c)--
       (A) by amending paragraph (3) to read as follows:
       ``(3) Establishment of improved predictive model and on-
     location testing required.--
       ``(A) Predictive model.--Within 180 days after the date of 
     the enactment of the Satellite Home Viewer Reauthorization 
     Act of 2009, the Commission shall take all actions necessary 
     to develop and prescribe by rule a point-to-point predictive 
     model for reliably and presumptively determining the ability 
     of individual locations, through the use of a conventional, 
     stationary, outdoor rooftop receiving antenna, to receive 
     signals in accordance with the signal intensity standard in 
     section 73.622(e)(1) of title 47, Code of Federal 
     Regulations, including to account for the continuing 
     operation of translator stations and low power television 
     stations. In prescribing such model, the Commission shall 
     rely on the Individual Location Longley-Rice model set forth 
     by the Commission in CS Docket No. 98-201, as previously 
     revised with respect to analog signals, and as recommended by 
     the Commission with respect to digital signals in its Report 
     to Congress in ET Docket No. 05-182, FCC 05-199 (released 
     December 9, 2005). The Commission shall establish procedures 
     for the continued refinement in the application of the model 
     by the use of additional data as it becomes available.
       ``(B) On-location testing.--The Commission shall issue an 
     order completing its rulemaking proceeding in ET Docket No. 
     06-94 within 180 days after the date of enactment of the 
     Satellite Home Viewer Reauthorization Act of 2009.
       ``(C) Study of types of antennas available to receive 
     digital signals.--
       ``(i) Study required.--Not later than 1 year after the date 
     of enactment of the Satellite Home Viewer Reauthorization Act 
     of 2009, the Commission shall complete a study regarding 
     whether, for purposes of identifying if a household is 
     unserved by an adequate digital signal under section 
     119(d)(10) of title 17, United States Code, the digital 
     signal strength standard in section 73.622(e)(1) of title 47, 
     Code of Federal Regulations, or the testing procedures in 
     section 73.686 of title 47, Code of Federal Regulations, such 
     statutes or regulations should be revised to take into 
     account the types of antennas that are available to and used 
     by consumers.
       ``(ii) Study consideration.--In conducting the study under 
     clause (i), the Commission shall consider whether to account 
     for the fact that an antenna can be mounted on a roof or 
     placed in a home and can be fixed or capable of rotating.
       ``(iii) Report.--Not later than 1 year after the date of 
     enactment of the Satellite Home Viewer Reauthorization Act of 
     2009, the Commission shall submit to the Committee on Energy 
     and Commerce of the House of Representatives and the 
     Committee on Commerce, Science, and Transportation of the 
     Senate a report containing--

       ``(I) the results of the study conducted under clause (i); 
     and
       ``(II) recommendations, if any, regarding changes to be 
     made to Federal statutes or regulations.'';

       (B) by amending paragraph (4)(A) to read as follows:
       ``(A) In general.--If a subscriber's request for a waiver 
     under paragraph (2) is rejected and the subscriber submits to 
     the subscriber's satellite carrier a request for a test 
     verifying the subscriber's inability to receive a signal of 
     the signal intensity referenced in clause (i) of subsection 
     (a)(2)(D), the satellite carrier and the network station or 
     stations asserting that the retransmission is prohibited with 
     respect to that subscriber shall select a qualified and 
     independent person to conduct the test referenced in such 
     clause. Such test shall be conducted within 30 days after the 
     date the subscriber submits a request for the test. If the 
     written findings and conclusions of a test conducted in 
     accordance with such clause demonstrate that the subscriber 
     does not receive a signal that meets or exceeds the requisite 
     signal intensity standard in such clause, the subscriber 
     shall not be denied the retransmission of a signal of a 
     network station under section 119(d)(10)(A) of title 17, 
     United States Code.'';
       (C) in paragraph (4)(B), by striking ``the signal 
     intensity'' and all that follows through ``United States 
     Code'' and inserting ``such requisite signal intensity 
     standard''; and

[[Page 29015]]

       (D) in paragraph (4)(E), by striking ``Grade B intensity''.
       (c) Section 340.--Section 340(i) is amended by striking 
     paragraph (4).

     SEC. 205. APPLICATION PENDING COMPLETION OF RULEMAKINGS.

       (a) In General.--During the period beginning on the date of 
     the enactment of this Act and ending on the date on which the 
     Federal Communications Commission adopts rules pursuant to 
     the amendments to the Communications Act of 1934 made by 
     sections 203 and 204 of this Act, the Federal Communications 
     Commission shall follow its rules and regulations promulgated 
     pursuant to sections 338, 339, and 340 of the Communications 
     Act of 1934 as in effect on the day before the date of 
     enactment of this Act.
       (b) Translator Stations and Low Power Television 
     Stations.--Notwithstanding subsection (a), for purposes of 
     determining whether a subscriber within the local market 
     served by a translator station or a low power television 
     station affiliated with a television network is eligible to 
     receive distant signals under section 339 of the 
     Communications Act of 1934, the Federal Communications 
     Commission shall follow its rules and regulations for 
     determining such subscriber's eligibility as in effect on the 
     day before the date of enactment of this Act until the date 
     on which the translator station or low power television 
     station is licensed to broadcast a digital signal.
       (c) Definitions.--As used in this title:
       (1) Local market; low power television station; satellite 
     carrier; subscriber; television broadcast station.--The terms 
     ``local market'', ``low power television station'', 
     ``satellite carrier'', ``subscriber'', and ``television 
     broadcast station'' have the meanings given such terms in 
     section 338(k) of the Communications Act of 1934.
       (2) Network station; television network.--The terms 
     ``network station'' and ``television network'' have the 
     meanings given such terms in section 339(d) of such Act.

     SEC. 206. PROCESS FOR ISSUING QUALIFIED CARRIER 
                   CERTIFICATION.

       Part I of title III is amended by adding at the end the 
     following new section:

     ``SEC. 342. PROCESS FOR ISSUING QUALIFIED CARRIER 
                   CERTIFICATION.

       ``(a) Certification.--The Commission shall issue a 
     certification for the purposes of section 119(g)(3)(A)(iii) 
     of title 17, United States Code, if the Commission determines 
     that--
       ``(1) a satellite carrier is providing local service 
     pursuant to the statutory license under section 122 of such 
     title in each designated market area; and
       ``(2) with respect to each designated market area in which 
     such satellite carrier was not providing such local service 
     as of the date of enactment of the Satellite Home Viewer 
     Reauthorization Act of 2009--
       ``(A) the satellite carrier's satellite beams are designed, 
     and predicted by the satellite manufacturer's pre-launch test 
     data, to provide a good quality satellite signal to at least 
     90 percent of the households in each such designated market 
     area based on the most recent census data released by the 
     United States Census Bureau; and
       ``(B) there is no material evidence that there has been a 
     satellite or sub-system failure subsequent to the satellite's 
     launch that precludes the ability of the satellite carrier to 
     satisfy the requirements of subparagraph (A).
       ``(b) Information Required.--Any entity seeking the 
     certification provided for in subsection (a) shall submit to 
     the Commission the following information:
       ``(1) An affidavit stating that, to the best of the 
     affiant's knowledge, the satellite carrier provides local 
     service in all designated market areas pursuant to the 
     statutory license provided for in section 122 of title 17, 
     United States Code, and listing those designated market areas 
     in which local service was provided as of the date of 
     enactment of the Satellite Home Viewer Reauthorization Act of 
     2009.
       ``(2) For each designated market area not listed in 
     paragraph (1):
       ``(A) Identification of each such designated market area 
     and the location of its local receive facility.
       ``(B) Data showing the number of households, and maps 
     showing the geographic distribution thereof, in each such 
     designated market area based on the most recent census data 
     released by the United States Census Bureau.
       ``(C) Maps, with superimposed effective isotropically 
     radiated power predictions obtained in the satellite 
     manufacturer's pre-launch tests, showing that the contours of 
     the carrier's satellite beams as designed and the geographic 
     area that the carrier's satellite beams are designed to cover 
     are predicted to provide a good quality satellite signal to 
     at least 90 percent of the households in such designated 
     market area based on the most recent census data released by 
     the United States Census Bureau.
       ``(D) For any satellite relied upon for certification under 
     this section, an affidavit stating that, to the best of the 
     affiant's knowledge, there have been no satellite or sub-
     system failures subsequent to the satellite's launch that 
     would degrade the design performance to such a degree that a 
     satellite transponder used to provide local service to any 
     such designated market area is precluded from delivering a 
     good quality satellite signal to at least 90 percent of the 
     households in such designated market area based on the most 
     recent census data released by the United States Census 
     Bureau.
       ``(E) Any additional engineering, designated market area, 
     or other information the Commission considers necessary to 
     determine whether the Commission shall grant a certification 
     under this section.
       ``(c) Certification Issuance.--
       ``(1) Public comment.--The Commission shall provide 30 days 
     for public comment on a request for certification under this 
     section.
       ``(2) Deadline for decision.--The Commission shall grant or 
     deny a request for certification within 90 days after the 
     date on which such request is filed.
       ``(d) Subsequent Affirmation.--An entity granted qualified 
     carrier status pursuant to section 119(g) of title 17, United 
     States Code, shall file an affidavit with the Commission 30 
     months after such status was granted stating that, to the 
     best of the affiant's knowledge, it is in compliance with the 
     requirements for a qualified carrier.
       ``(e) Definitions.--For the purposes of this section:
       ``(1) Designated market area.--The term `designated market 
     area' has the meaning given such term in section 122(j)(2)(C) 
     of title 17, United States Code.
       ``(2) Good quality satellite signal.--
       ``(A) In general.--The term ``good quality satellite 
     signal'' means--
       ``(i) a satellite signal whose power level as designed 
     shall achieve reception and demodulation of the signal at an 
     availability level of at least 99.7 percent using--

       ``(I) models of satellite antennas normally used by the 
     satellite carrier's subscribers; and
       ``(II) the same calculation methodology used by the 
     satellite carrier to determine predicted signal availability 
     in the top 100 designated market areas; and

       ``(ii) taking into account whether a signal is in standard 
     definition format or high definition format, compression 
     methodology, modulation, error correction, power level, and 
     utilization of advances in technology that do not circumvent 
     the intent of this section to provide for non-discriminatory 
     treatment with respect to any comparable television broadcast 
     station signal, a video signal transmitted by a satellite 
     carrier such that--

       ``(I) the satellite carrier treats all television broadcast 
     stations' signals the same with respect to statistical 
     multiplexer prioritization; and
       ``(II) the number of video signals in the relevant 
     satellite transponder is not more than the then current 
     greatest number of video signals carried on any equivalent 
     transponder serving the top 100 designated market areas.

       ``(B) Determination.--For the purposes of subparagraph (A), 
     the top 100 designated market areas shall be as determined by 
     Nielsen Media Research and published in the Nielsen Station 
     Index Directory and Nielsen Station Index United States 
     Television Household Estimates or any successor publication 
     as of the date of a satellite carrier's application for 
     certification under this section.''.

     SEC. 207. NONDISCRIMINATION IN CARRIAGE OF HIGH DEFINITION 
                   DIGITAL SIGNALS OF NONCOMMERCIAL EDUCATIONAL 
                   TELEVISION STATIONS.

       (a) In General.--Section 338(a) is amended by adding at the 
     end the following new paragraph:
       ``(5) Nondiscrimination in carriage of high definition 
     signals of noncommercial educational television stations.--
       ``(A) Existing carriage of high definition signals.--If, 
     prior to the date of enactment of the Satellite Home Viewer 
     Reauthorization Act of 2009, an eligible satellite carrier is 
     providing, under section 122 of title 17, United States Code, 
     any secondary transmissions in high definition to subscribers 
     located within the local market of a television broadcast 
     station of a primary transmission made by that station, then 
     such satellite carrier shall carry the high-definition 
     signals of qualified noncommercial educational television 
     stations located within that local market in accordance with 
     the following schedule:
       ``(i) By December 31, 2010, in at least 50 percent of the 
     markets in which such satellite carrier provides such 
     secondary transmissions in high definition.
       ``(ii) By December 31, 2011, in every market in which such 
     satellite carrier provides such secondary transmissions in 
     high definition.
       ``(B) New initiation of service.--If, after the date of 
     enactment of the Satellite Home Viewer Reauthorization Act of 
     2009, an eligible satellite carrier initiates the provision, 
     under section 122 of title 17, United States Code, of any 
     secondary transmissions in high definition to subscribers 
     located within the local market of a television broadcast 
     station of a primary transmission made by that station, the 
     such satellite carrier shall carry the high-definition 
     signals of all qualified noncommercial educational television 
     stations located within that local market.''.
       (b) Definitions.--Section 338(k) is amended--
       (1) by redesignating paragraphs (2) through (8) as 
     paragraphs (3) through (9), respectively;

[[Page 29016]]

       (2) by inserting after paragraph (1) the following new 
     paragraph:
       ``(2) Eligible satellite carrier.--The term `eligible 
     satellite carrier' means any satellite carrier that is not a 
     party to a carriage contract with a   qualified noncommercial 
     educational television station, or its representative, that 
     is in force and effect as of the date of enactment of the 
     Satellite Home Viewer Reauthorization Act of 2009.'';
       (3) by redesignating paragraphs (6) through (9) (as 
     previously redesignated) as paragraphs (7) through (10), 
     respectively; and
       (4) by inserting after paragraph (5) (as so redesignated) 
     the following new paragraph:
       ``(6) Qualified noncommercial educational television 
     station.--The term `qualified noncommercial educational 
     television station' has the meaning given such term in 
     section 615(l)(1) of this Act.''.

     SEC. 208. SAVINGS CLAUSE REGARDING USE OF NON-COMPULSORY 
                   LICENSES.

       (a) In General.--Nothing in this title, the Communications 
     Act of 1934, or regulations promulgated by the Federal 
     Communications Commission under this title or the 
     Communications Act of 1934 shall be construed to prevent a 
     multichannel video programming distributor from 
     retransmitting a performance or display of a work pursuant to 
     an authorization granted by the copyright owner or, if within 
     the scope of its authorization, its licensee.
       (b) Limitation.--Nothing in subsection (a) shall be 
     construed to affect any obligation of a multichannel video 
     programming distributor under section 325(b) of the 
     Communications Act of 1934 to obtain the authority of a 
     television broadcast station before retransmitting that 
     station's signal.

     SEC. 209. SAVINGS CLAUSE REGARDING DEFINITIONS.

       Nothing in this title or the amendments made by this title 
     shall be construed to affect--
       (1) the meaning of the terms ``program related'' and 
     ``primary video'' under the Communications Act of 1934; or
       (2) the meaning of the term ``multicast'' in any 
     regulations issued by the Federal Communications Commission.

                           TITLE III--REPORTS

     SEC. 301. DEFINITION.

       In this title, the term ``appropriate Congressional 
     committees'' means the Committees on the Judiciary and on 
     Commerce, Science, and Transportation of the Senate and the 
     Committees on the Judiciary and on Energy and Commerce of the 
     House of Representatives.

     SEC. 302. REPORT ON MARKET BASED ALTERNATIVES TO STATUTORY 
                   LICENSING.

       Not later than 1 year after the date of the enactment of 
     this Act, and after consultation with the Federal 
     Communications Commission, the Register of Copyrights shall 
     submit to the appropriate Congressional committees a report 
     containing--
       (1) proposed mechanisms, methods, and recommendations on 
     how to implement a phase-out of the statutory licensing 
     requirements set forth in sections 111, 119, and 122 of title 
     17, United States Code, by making such sections inapplicable 
     to the secondary transmission of a performance or display of 
     a work embodied in a primary transmission of a broadcast 
     station that is authorized to license the same secondary 
     transmission directly with respect to all of the performances 
     and displays embodied in such primary transmission;
       (2) any recommendations for alternative means to implement 
     a timely and effective phase-out of the statutory licensing 
     requirements set forth in sections 111, 119, and 122 of title 
     17, United States Code; and
       (3) any recommendations for legislative or administrative 
     actions as may be appropriate to achieve such a phase-out.

     SEC. 303. REPORT ON COMMUNICATIONS IMPLICATIONS OF STATUTORY 
                   LICENSING MODIFICATIONS.

       (a) Study.--The Comptroller General shall conduct a study 
     that analyzes and evaluates the changes to the carriage 
     requirements currently imposed on multichannel video 
     programming distributors under the Communications Act of 1934 
     (47 U.S.C. 151 et seq.) and the regulations promulgated by 
     the Federal Communications Commission that would be required 
     or beneficial to consumers, and such other matters as the 
     Comptroller General deems appropriate, if Congress 
     implemented a phase-out of the current statutory licensing 
     requirements set forth under sections 111, 119, and 122 of 
     title 17, United States Code. Among other things, the study 
     shall consider the impact such a phase-out and related 
     changes to carriage requirements would have on consumer 
     prices and access to programming.
       (b) Report.--Not later than 1 year after the date of 
     enactment of this Act, the Comptroller General shall report 
     to the appropriate Congressional committees the results of 
     the study, including any recommendations for legislative or 
     administrative actions.

     SEC. 304. REPORT ON IN-STATE BROADCAST PROGRAMMING.

       Not later than 1 year after the date of enactment of this 
     Act, the Federal Communications Commission shall submit to 
     the appropriate Congressional committees a report containing 
     an analysis of--
       (1) the number of households in a State that receive local 
     broadcast stations from a station of license that is located 
     in a different State;
       (2) the extent to which consumers have access to in-state 
     broadcast programming; and
       (3) whether there are alternatives to the use of designated 
     market areas, as defined in section 122 of title 17, United 
     States Code, to define local markets that would provide more 
     consumers with in-state broadcast programming.

                         TITLE IV--SEVERABILITY

     SEC. 401. SEVERABILITY.

       If any provision of this Act, an amendment made by this 
     Act, or the application of such provision or amendment to any 
     person or circumstance is held to be unconstitutional, the 
     remainder of this Act, the amendments made by this Act, and 
     the application of such provision or amendment to any person 
     or circumstance shall not be affected thereby.

  The SPEAKER pro tempore. Pursuant to the rule, the gentleman from 
Michigan (Mr. Conyers) and the gentleman from Texas (Mr. Smith) each 
will control 20 minutes.
  The Chair recognizes the gentleman from Michigan.


                             General Leave

  Mr. CONYERS. Madam Speaker, I ask unanimous consent that all Members 
have 5 legislative days to revise and extend their remarks and include 
extraneous material on the bill under consideration.
  The SPEAKER pro tempore. Is there objection to the request of the 
gentleman from Michigan?
  There was no objection.
  Mr. CONYERS. I also further ask unanimous consent that the gentleman 
from Virginia (Mr. Boucher) be yielded 10 minutes of my time and that 
he be allowed to control that time.
  The SPEAKER pro tempore. Is there objection to the request of the 
gentleman from Michigan?
  There was no objection.
  Mr. CONYERS. I yield myself such time as I may consume.
  Madam Speaker and Members, H.R. 3570 extends the compulsory copyright 
license for satellite television providers for another 5 years, as 
Congress has done in each of the last two other cycles that this 
measure has been reauthorized.

                              {time}  1715

  This is an important intellectual property law and will also make a 
number of critical updates and much-needed clarifications to the 
compulsory copyright licenses for both satellite and cable television. 
Passage of this legislation before the end of the year is crucial. We 
must pass this bill in both bodies by December 31. If we don't pass 
this bill, thousands upon thousands of satellite television subscribers 
will lose their signals.
  In addition to simply reauthorizing the license, the bill ambitiously 
tackles several other issues for consumers, for content owners, and for 
cable and satellite companies as well. For example, this bill restores 
the section 119 license to DISH Satellite Network if they serve every 
market in the United States, even neglected rural markets. The bill 
also resolves the phantom signal problem that has caused instability 
and confusion for the cable and content industries, to the detriment of 
consumers.
  In addition, the bill provides an audit right to content owners so 
they can be sure that they are being fairly compensated for the use of 
their intellectual property. It significantly increases penalties for 
copyright infringement under the licenses and updates the licenses to 
reflect the national digital television transition.
  The Judiciary Committee marked this bill up in September and reported 
it with a unanimous vote of 34-0. Since the markup, we have worked with 
the Energy and Commerce Committee, which has jurisdiction over 
communications policy. The bill that we vote on today is a combined 
Judiciary and Commerce bill. Title I contains the Judiciary piece on 
copyright. Title II contains the Commerce piece on communications. The 
committees have done their best to respect each other's jurisdiction, 
and I thank the chairman of the committee for his cooperation.
  Since the markup, we have made further improvements to the language. 
We've attempted to address some concerns expressed by members of the

[[Page 29017]]

committee. The changes include: Harmonizing the so-called 
``grandfathering'' provisions in the bill with those in the Energy and 
Commerce bill to ensure that consumers who lawfully receive certain 
kinds of programming are not abruptly cut off because of changes in the 
law; providing a method for calculating the value of multicast 
programming schemes under the section 111 license; strengthening the 
protections for copyright owners in the qualified carrier provision, 
which provides an incentive for a satellite carrier to serve every 
market in the United States; increasing the effectiveness of the 
national emergency provisions; and authorizing a study of how the 
compulsory licenses may be phased out in favor of direct negotiation 
for copyrights over time without disrupting the television marketplace.
  Title I also includes a savings clause to make absolutely clear that 
the changes we make and issues we address have no application to 
communications law unless specifically mentioned. The committee is 
amending the cable and satellite licenses to reflect the digital 
transition--something new--and multicasting, in particular, as it 
pertains to copyright law only. Nothing in this title should be used as 
a basis for conclusions concerning cable and satellite regulation in 
areas where Congress has not yet spoken.
  Among the many Members who contributed to this progress, I would like 
to single out in particular my good friend from Virginia, Rick Boucher, 
who serves in the dual role as a senior member of the Judiciary 
Committee and the Chair of the Telecommunications Subcommittee. I also 
must thank Lamar Smith, the ranking member of the Judiciary Committee, 
for helping work to improve the bill in several ways. Of course the 
distinguished chairman of Energy and Commerce, Chairman Henry Waxman, 
and Ranking Member Barton for all their counsel and cooperation which 
made this legislation possible.
  We've been working on these issues for more than a year now, and the 
result is a consensus bill among just about all of the industry 
stakeholders, including satellite and cable companies, studios, sports 
leagues, public television and several others. Most importantly, it's a 
bill that improves service to television consumers and fosters 
efficiency and competition between cable, satellite, and broadcasters. 
The satellite license expires in less than a month, December 31, and we 
must have this reauthorized without delay to avoid the immediate loss 
of service to tens of thousands of satellite consumers.

                                         House of Representatives,


                               Committee on Homeland Security,

                                 Washington, DC, October 28, 2009.
     Hon. John Conyers, Jr.,
     Chairman, Committee on the Judiciary, House of 
         Representatives, Washington, DC.
       Dear Chairman Conyers: I write to you regarding H.R. 3570, 
     the ``Satellite Home Viewer Update and Reauthorization Act of 
     2009.''
       H.R. 3570 contains provisions that fall within the 
     jurisdiction of the Committee on Homeland Security. I 
     recognize and appreciate your desire to bring this 
     legislation before the House in an expeditious manner and, 
     accordingly, I will not seek a sequential referral of the 
     bill. However, agreeing to waive consideration of this bill 
     should not be construed as the Committee on Homeland Security 
     waiving, altering, or otherwise affecting its jurisdiction 
     over subject matters contained in the bill which fall within 
     its Rule X jurisdiction.
       Further, I request your support for the appointment of an 
     appropriate number of Members of the Committee on Homeland 
     Security to be named as conferees during any House- Senate 
     conference convened on H.R. 3570 or similar legislation. I 
     also ask that a copy of this letter and your response be 
     included in the legislative report on H.R. 3570 and in the 
     Congressional Record during floor consideration of this bill.
       I look forward to working with you as we prepare to pass 
     this important legislation.
           Sincerely,
                                               Bennie G. Thompson,
     Chairman.
                                  ____

                                         House of Representatives,


                                   Committee on the Judiciary,

                                 Washington, DC, October 28, 2009.
     Hon. Bennie G. Thompson,
     Chairman, Committee on Homeland Security, House of 
         Representatives, Washington, DC.
       Dear Mr. Chairman: Thank you for your letter regarding your 
     Committee's jurisdictional interest in H.R. 3570, the 
     Satellite Home Viewer Update and Reauthorization Act of 2009.
       I appreciate your willingness to support expediting floor 
     consideration of this important legislation today. I 
     understand and agree that this is without prejudice to your 
     Committee's jurisdictional interests in this or similar 
     legislation in the future. In the event a House-Senate 
     conference on this or similar legislation is convened, I 
     would support your request for an appropriate number of 
     conferees.
       Per your request, I will include a copy of your letter and 
     this response in the Committee report, as well as in the 
     Congressional Record in the debate on the bill. Thank you for 
     your cooperation as we work towards enactment of this 
     legislation.
           Sincerely,
                                                John Conyers, Jr.,
                                                         Chairman.

  I urge my colleagues to support this important legislation, and I 
reserve the balance of my time.
  Mr. SMITH of Texas. Madam Speaker, I yield myself as much time as I 
may consume.
  H.R. 3570, the Satellite Home Viewer Reauthorization Act of 2009, in 
my judgment, is the single most important copyright bill Congress will 
consider this year. The legislation combines two separate bills: H.R. 
3570, which was introduced by Chairman Conyers and reported by the 
Judiciary Committee on September 16, 2009, and H.R. 2994, which is the 
Energy and Commerce Committee's related measure that contains 
amendments to the Communications Act.
  The combined bill extends the compulsory license in section 119 of 
the Copyright Act that authorizes satellite carriers to deliver distant 
network programming to subscribers. Far fewer consumers rely upon this 
license to receive network programming than in past years, but there 
still remain about 1 million households that will lose such programming 
if the license is not extended beyond the end of this year, which is 
when it is currently due to expire. To avoid this outcome, the bill 
extends the compulsory license an additional 5 years to December 31, 
2014. My hope is that this will be the last time Congress needs to 
reauthorize what was originally envisioned to be a temporary license.
  H.R. 3570 also contains a number of significant amendments to the 
cable license in section 111 of the Copyright Act governing the 
retransmission of both local and distant programming, and the local 
programming license in section 122 that governs the satellite 
retransmission of local-into-local programming. The most significant 
immediate change to the cable license is a negotiated resolution of the 
phantom signal liability issue that I appreciate the chairman including 
in this bill.
  I commend Chairman Conyers for his decision to expand this 
reauthorization beyond the narrow limits of the expiring section 119 
provisions. While circumstances prevented us from being able to iron 
out all the wrinkles from these related licenses, I'm pleased we were 
able to make substantial improvements and address some of the most 
urgent concerns. Among the elements for which there was bipartisan 
support to include in this bill are provisions that, one, modernize a 
license to account for digital broadcasting; two, preserve the ability 
of consumers to continue to receive lifeline network programming; 
three, make clear that copyright owners are generally entitled to a 
royalty for each stream of multicast programming; and four, establish a 
new audit right to permit copyright owners to make sure they are being 
paid the royalties they are entitled to.
  Madam Speaker, I have strong reservations about the decision to 
permit DISH Network to again benefit from section 119's distant signal 
license in light of its prior record of willful infringement. However, 
I share the goal of making sure more Americans can benefit from 
satellite delivery of local-into-local programs. I'm grateful for 
Chairman Conyers' recognition of the seriousness of these concerns and 
his willingness to work with me and Chairman Berman to strengthen the 
deterrence and enforcement provisions in

[[Page 29018]]

the bill. The enhanced penalties we've included for any future 
violation, along with provisions that require the GAO to audit DISH for 
its compliance with the law and DISH to certify its compliance to the 
Federal District Court, reflects substantial improvements from previous 
versions of the bill. The incorporation of these provisions reflect a 
carefully negotiated and fair compromise.
  Madam Speaker, I urge my colleagues to support H.R. 3570, the 
Satellite Home Viewer Reauthorization Act. When enacted, this bill will 
both preserve and expand the ability of Americans to view vital network 
and independent station programming without interruption.
  Madam Speaker, again, I want to thank the chairman for working with 
us to come up with a good bipartisan product. And this bipartisan 
effort, by the way, has gone on since last February.
  I would now like to recognize several staff members on both sides of 
the aisle who have contributed so much to the success of this 
legislation. Those staff members would include David Whitney, sitting 
to my left here on the House floor on our side; and on the majority's 
side it would be Stacey Dansky, the chief copyright counsel, and 
Elizabeth Kendall, counsel as well. I thank Chairman Conyers again for 
his cooperative efforts in getting this House bill to the floor today.
  I ask unanimous consent that the gentleman from Florida (Mr. 
Stearns), a senior member of the Commerce Committee, be able to control 
the remainder of the time.
  The SPEAKER pro tempore. Is there objection to the request of the 
gentleman from Texas?
  There was no objection.
  Mr. SMITH of Texas. With that, I will reserve the balance of the 
time.
  Mr. CONYERS. Madam Speaker, I would like to insert into the Record at 
this point a more detailed description of the changes that have been 
made in the bill since it was reported.

                    Explanation of Changes to SHVRA


                              Introduction

       The Committee believes that the licenses in Sections 111 
     and 119 should be updated to accommodate the growing practice 
     of multicast broadcasting, by which television stations 
     transmit multiple streams of digital television programming 
     over a single broadcast signal. While the Committee has 
     endeavored to avoid including in the bill any provisions that 
     would interfere with existing communications law and 
     regulation, the Committee has been cognizant of the interplay 
     between the copyright and the communications elements of the 
     legislation and intends to confine its amendments to the 
     copyright licenses only.
       In addition to addressing issues raised by multicasting in 
     the 111 and 119 licenses, this bill addresses important 
     concerns raised by Members at markup.
       The penalties for willful and large-scale infringement of 
     the license have been increased, and some damages now go 
     directly to the pool of copyright owners.
       The qualified carrier provisions have also been clarified 
     and strengthened. While nothing in the qualified carrier 
     provisions reported by the Committee lessened the qualified 
     carrier's obligation to comply with all aspects of the 
     Section 119 license, the Committee recognizes that the 
     royalty and household eligibility requirements of the Section 
     119 license should not be overshadowed by the qualified 
     carrier's unique commitment to provide local-into-local 
     service to all 210 markets. Therefore, the bill provides for 
     at least one compliance examination and a certification 
     requirement for the qualified carrier.
       Finally, the bill responds to some Members' concerns about 
     the continued necessity of these compulsory copyright 
     licenses by providing for a study of policy alternatives that 
     may enable Congress to phase out the licenses without 
     unfairly altering the television market or diminishing the 
     value of the copyrights involved.


                      I. Section 111 Multicasting

       With the transition from analog to digital technology, 
     questions have arisen as to how digital streams shall be 
     treated for cable royalty purposes. The definitions in 
     Section 111 have been amended to address the multiple digital 
     streams that television stations are now able to transmit. 
     The definition of ``primary transmission'' now includes both 
     the primary stream and any multicast streams transmitted by a 
     television station. The ``local service area'' definition has 
     been amended to clarify that the primary stream of a 
     television broadcast station and any multicast streams of 
     that station have the same local service area. For example, 
     if the FCC has determined that a television broadcast station 
     is ``significantly viewed'' in a particular area, that area 
     will be part of the local service area of all of the 
     station's digital streams for purposes of section 111. This 
     definition is relevant to the Copyright Act only, and is not 
     intended to create any inference in favor or against carriage 
     obligations for cable multicast streams, which are the 
     exclusive jurisdiction of the Communications Act and the 
     Federal Communications Commission.
       The calculation of royalties under the cable license has 
     been amended to value multicast signals. The ``distant signal 
     equivalent'' definition now specifies that each non-simulcast 
     primary and multicast stream carried outside of its local 
     service area will be subject to a separate royalty payment 
     calculation by cable operators and should be evaluated 
     separately to determine its distant signal equivalent value 
     assignment.
       Section 111 allows cable systems to pay less than full DSE 
     rates where FCC rules permit only a portion of a distant 
     signal to be carried. This amendment gives the same treatment 
     to multicast streams. The significantly viewed status of a 
     primary stream under the FCC rules and regulations also 
     applies to the multicast streams of the same television 
     stations, to determine distant or local status for royalty 
     purposes. However, the 3.75 percent ``market quota rate'' and 
     the ``syndicated exclusivity'' surcharge royalty rates are 
     only payable for retransmission of primary streams, and are 
     not applicable to secondary transmission of multicast 
     streams.
       In order to clarify the different types of digital streams 
     that may be offered by television stations, definitions for 
     ``primary stream,'' and ``multicast stream'' have been 
     slightly altered and a definition has been added for 
     ``simulcast stream,'' in Section 111. A ``primary stream'' is 
     the digital stream that a television station is entitled to 
     demand be carried by cable systems located within the 
     station's local service area under the FCC's rules in effect 
     on July 1, 2009. A ``multicast stream'' is any digital stream 
     transmitted by a television station other than the primary 
     stream.
       The Committee recognizes that some broadcasters may use 
     their multicast streams to create ``simulcast'' streams--
     i.e., streams that duplicate the programming on the 
     broadcaster's primary stream or on other multicast streams. 
     For example, a broadcaster may transmit the same content on 
     two streams, but one stream will be in high definition format 
     and the other will be in standard definition. In such 
     instances, a DSE value will be assigned only to one of the 
     duplicating streams. The Copyright Office may, as 
     multicasting evolves, determine whether there are other 
     circumstances in which two streams should be considered 
     duplicating.
       The definitions of ``network station,'' ``independent 
     station,'' and ``noncommercial station'' have all been 
     expanded to include a television station's multicast streams 
     as well as its primary stream. The ``network station'' 
     definition incorporates the conditions under which a 
     multicast stream may be deemed a network station for royalty 
     purposes. Thus, to be considered a network station for 
     royalty purposes, a multicast stream must transmit all or 
     substantially all of the programming from an interconnected 
     program service that (a) is owned and operated by one or more 
     of the networks that supply nationwide programming for a 
     substantial part of the typical broadcast day and (b) offers 
     programming on a regular basis for 15 or more hours per week 
     to at least 25 affiliated television station licensees 
     located in at least 10 states. These revisions do not alter 
     the statutory definition of ``network station'' as it applies 
     to a primary stream.
       DSE values are applied to individual multicast streams as 
     of the date of enactment, except where a cable system was 
     retransmitting a distant multicast stream prior to that date, 
     in which case the assignment of a DSE value to that multicast 
     stream shall commence on July 1, 2010. Separately, a 
     multicast stream retransmitted by a cable system subject to 
     an agreement requiring carriage of multicast streams that was 
     entered into prior to July 1, 2009 will not be assigned a DSE 
     value for royalty purposes until the first accounting period 
     after the expiration of the agreement.
       While cable operators that did not account for multicast 
     streams in their royalty calculations prior to the effective 
     date are not retroactively liable for royalties for such 
     carriage, cable operators that did may not seek refunds or 
     offsets of any royalties paid on account of such secondary 
     transmissions.
       The Committee does not intend that any of its audit 
     provisions in this bill alter existing liability and related 
     damages for copyright infringements.


                     II. Section 119 Grandfathering

       The Committee also believes that simply because Congress 
     changes the law, law-abiding consumers should not be deprived 
     of programming they have become accustomed to receiving 
     without fair warning. In Section 119, where changes to the 
     law that govern the treatment of multicast streams have the 
     potential to render certain consumers ineligible for distant 
     signals that consumers are currently receiving, 
     grandfathering provisions have been added to facilitate a 
     smooth transition to the changed compulsory license system.

[[Page 29019]]

       Households classified as ``unserved'' with respect to a 
     particular network station are the only households eligible 
     to receive secondary transmissions of an affiliate of that 
     network station under the Section 119 license. The advent of 
     multicasting has introduced confusion about whether a 
     ``multicast stream'' of a particular network renders a 
     household served, which would force the satellite carrier to 
     stop providing distant signal programming to the household 
     for that network.
       The bill harmonizes the preexisting grandfathering 
     provisions with those in the Energy and Commerce bill to 
     ensure a smooth transition to a new regime in which, in three 
     years' time, any stream of local programming, primary or 
     multicast, will render a household served. Specifically, the 
     bill provides that households that subscribed to distant 
     signals before the date of enactment who were lawfully 
     receiving them can keep those distant signals until the 
     subscriber elects to no longer receive those signals.
       A household that requests a network's distant signal from a 
     satellite carrier after enactment can receive such a signal 
     if: (1) the household is in a market where the satellite 
     carrier offers local service, but does not yet receive from 
     the satellite carrier the primary stream of an affiliate of 
     that network that originates within its local market (in 
     which case the subscriber can keep the distant signal until 
     he or she does receive such stream from the satellite 
     carrier); or (2) the household is in a market where the 
     satellite operator does not yet offer local service (in which 
     case the subscriber can keep the distant signal until he or 
     she decides to discontinue it).


     III. Increased Protections for Copyright Owners in Section 119

       The bill also responds to concerns expressed by Committee 
     Members at the markup by increasing transparency and 
     accountability by the qualified carrier concerning its 
     obligations to copyright owners. A certification provision 
     similar to the one passed by the Committee on Energy and 
     Commerce has been added. It requires the satellite carrier to 
     certify to the district court and the Copyright Office that 
     it remains compliant with the license 30 months after the 
     district court initially recognized the satellite company as 
     a qualified carrier.
       The bill provides for at least one Qualified Carrier 
     Compliance Examination. This examination is not intended to 
     be punitive. The Committee anticipates that the Comptroller 
     General will take precautions to ensure that compliance with 
     its examination does not burden the qualified carrier any 
     more than is necessary to examine the qualified carrier's 
     observance of the proper royalty calculation, payment and 
     adherence to the license's standards for eligible households. 
     Only if the Comptroller General, in consultation with the 
     Register of Copyrights, determines that there is a 
     substantial likelihood that a copyright owner could bring a 
     successful infringement action will a second examination be 
     initiated.
       The report does not replace the judgment of the district 
     court, which retains exclusive jurisdiction over the waiver 
     of the injunction and assessment of damages against the 
     qualified carrier.
       The Committee has taken one other additional step to 
     strengthen protections for content-owners. The Committee has 
     increased the damages available for infringement of copyright 
     by any satellite carrier who engages in a pattern or practice 
     of wrongful provision of distant signals on a substantially 
     national basis. Statutory damages of up to $2,500,000 are now 
     available for each 3-month period of infringement. 
     Furthermore, these vastly increased damages will be split 
     between the plaintiff and the pool of copyright holders whose 
     funds are distributed by the United States Copyright Office, 
     to compensate copyright owners who may have been unaware of 
     the infringement.


            IV. Study of Alternatives to Compulsory Licenses

       Despite these improvements, the Committee is aware that the 
     compulsory license is not a perfect system. It is, however, 
     deeply entrenched in the current cable and satellite 
     television industries, and cannot be eliminated at the 
     present moment without causing serious disruption for both 
     the industries and the consumers. The compulsory license 
     expires at the end of the year and must be reauthorized, but 
     we know that the television marketplace and broadcast 
     technology will continue to evolve. This legislation provides 
     for a study of whether the licenses can be eliminated in the 
     future, and how the marketplace could and should transition 
     away from the licenses.

  Madam Speaker, I yield with pleasure to Chairman Boucher.
  Mr. BOUCHER. Madam Speaker, I thank the gentleman from Michigan for 
yielding the customary 10 minutes to the Energy and Commerce Committee.
  At this time, I would like to yield such time as he may consume to 
the gentleman from the State of California (Mr. Waxman), the chairman 
of the full Energy and Commerce Committee.
  Mr. WAXMAN. Madam Speaker, I rise in support of H.R. 3570, the 
Satellite Home Viewer Update and Reauthorization Act of 2009. I want to 
commend Mr. Boucher, the chairman of the Subcommittee on 
Communications, Technology, and the Internet as well as Subcommittee 
Ranking Member Stearns for their hard work on this bill. Mr. Boucher 
has been working on these issues since the first satellite TV bill in 
1988, and he and his staff have been a tremendous resource for all of 
us as this bill has moved forward. Of course I also want to thank and 
recognize Mr. Barton and his staff for their work on this legislation. 
This has been a bipartisan effort from the start of the 111th Congress, 
and I appreciate the cooperative manner in which this legislation was 
processed.
  This bill is an important step forward for consumers. The 
communication provisions of this bill update the Communications Act to 
take account of the transition to digital television. The bill makes 
changes to the existing rules on ``significantly viewed'' signals in an 
effort to promote competition between satellite and cable companies. It 
directs the FCC to study issues that directly impact consumers, and it 
establishes a regime that should bring for the first time satellite-
delivered local television programming, so-called ``local-into-local'' 
service, to communities throughout the country that currently lack such 
service.
  These can be arcane issues, but they determine the availability of 
satellite-delivered video programming to American households. It 
involves communications and copyright law, and we need, as technology 
evolves, to revisit the issues and strike the right policy balance.
  The task of combining separate Energy and Commerce and Judiciary 
Committee bills into a single product was complex and time consuming, 
but the final product is a balanced, bipartisan measure. I would like 
to commend Chairman Conyers, Ranking Member Smith and Judiciary 
Committee staff for working cooperatively with the Energy and Commerce 
Committee to produce a final bill. I note that the bill before us 
incorporates the language of H.R. 3570 as well as H.R. 2994. H.R. 3570 
was referred solely to the Committee on the Judiciary, while H.R. 2994 
was referred solely to the Committee on Energy and Commerce. The 
members of both committees worked diligently on their respective bills 
to address issues within the jurisdiction of each committee, and both 
committees filed reports on their separate bills.
  Accordingly, the legislative history of H.R. 3570 incorporates the 
legislative history of H.R. 2994. The Judiciary Committee's title of 
this bill concerns the use of compulsory copyright licenses by cable 
and satellite companies to retransmit broadcast television programming.

                              {time}  1730

  The reauthorization and refinement of these provisions will serve to 
promote competition for pay television services and to ensure that 
consumers can continue to benefit from this competition.
  The Judiciary Committee wisely chose to address for the first time 
the existence of the so-called ``multicast'' signals and how these 
signals are being treated with respect to the compulsory copyright 
license. It is important to note, however, that the Judiciary 
Committee's treatment of multicast signals does not, and should not, 
have any bearing on the treatment of multicast signals in other 
regulatory or statutory contexts.
  Simply put, the treatment of multicast in title I of this bill is 
limited in application to copyright law. It is imperative that the way 
multicast signals are treated under copyright law cannot be confused 
with the way multicast signals are treated under communications law. 
Similarly, it's important that the communications law provisions of 
this bill do not affect copyright law beyond what is explicitly 
intended by the act.
  To address this concern, the legislation includes savings clauses 
that make clear that the melding of two complicated statutes should not 
lead to

[[Page 29020]]

changes in title 47 or title 17 beyond the scope of this 
reauthorization. These clauses are important provisions designed to 
avoid unintended consequences.
  In sum, I believe we have before us a carefully crafted bill that 
strikes the right balance among an array of complicated legal and 
policy matters. The bill is good for consumers, and I urge my 
colleagues to vote to approve this legislation.
  Mr. STEARNS. Madam Speaker, I yield myself such time as I may 
consume.
  My colleagues, this bill is about a hundred pages, and the Judiciary 
Committee had probably the majority of this bill. We start at page 74 
in title II, and the preponderance is in the Judiciary. But the bill is 
critical in the sense that this act itself is going to expire at the 
end of this month and we need to make sure that this passes.
  This has been a great display of bipartisanship. You had two 
committees. The Judiciary Committee and the Energy and Commerce 
Committee had separate bills just like they have in the Senate. The 
Senate has a separate bill in their Commerce Committee and also in the 
Judiciary. But we've come together, and it's a tribute to Mr. Boucher 
and Mr. Waxman as well as Mr. Barton that we came together here in the 
House of Representatives with a bipartisan bill, and we now have it on 
the floor. And we're hopeful that the Senate will do the same thing, 
because at this point, they haven't, and we might have to have an 
extension. I hope not. But I think it's been outlined pretty much, some 
of the aspects about it, so I'm going to concentrate in the areas that 
deal with telecommunications, a committee I serve as the ranking 
member.
  The Communications Act provisions make clerical and substantive 
changes to reflect the end of analog broadcasting. That's a statement 
in itself with the new digital spectrum.
  They also require an FCC report on whether the signal strength and 
antenna standards for distant signal eligibility should be modified in 
light of the DTV transition. They implement the deal DISH has struck 
with broadcasters to regain authority to provide distant signals if 
they offer local-into-local service in all 210 markets. They clarify 
that nothing in this act affects must-carry rights. They clarify that 
if a subscriber starts receiving from their satellite operator the 
network programming from a local station's multicast stream, the 
subscriber shall no longer receive a distant signal carrying that 
network's programming. They include language clarifying that 
restrictions on use of compulsory licenses do not limit private deals 
negotiated without compulsory licenses, such as to provide in-State 
programming to orphan counties. It requires an FCC report analyzing, 
one, the number of households that receive out-of-State signals; two, 
the extent to which consumers have access to in-State programming; and, 
three, whether there are alternatives to use of the existing Nielsen-
defined markets.
  Earlier, Lamar Smith, the gentleman from Texas, mentioned there are 
some things that have to be ironed out, and I think that's true.
  While it still contains, in this bill, a provision we opposed in the 
committee during the markup that tries to twist DISH's arm into 
carrying public broadcasting stations in high-definition format, and I 
was the one that spoke against this, the additional views in the 
committee report reflect our concerns, and there is a chance that 
provision will become moot since, obviously, the parties are in 
negotiation, and we're hoping for a favorable negotiation so that will 
work itself out.
  Madam Speaker, I reserve the balance of my time.
  Mr. BOUCHER. Madam Speaker, I yield myself such time as I may 
consume.
  Madam Speaker, in a collaborative process, the House Energy and 
Commerce and Judiciary Committees are presenting to the House this 
afternoon a renewal of the Satellite Home Viewer Act, provisions of 
which are scheduled to expire at the end of this year. The act enables 
the delivery by satellite of distant network signals to homes that 
cannot receive network programming from a local television station.
  We're taking the opportunity of this reauthorization to achieve a 
long-held goal of having all 210 local television markets across the 
Nation uplinked by satellite for retransmission of those local stations 
back into the market of their origination. The goal is to ensure that 
satellite TV subscribers everywhere will be able to receive both 
national television programs and local TV stations that serve their 
area.
  At the present time, there are 28 local television markets in rural 
areas in various places of the Nation that do not have local television 
signals delivered by either of the major satellite television carriers, 
and much of our effort this year has been directed toward finding a way 
to obtain satellite carriage of these 28 rural markets for local 
television signals.
  Earlier this year, following extensive discussions with the company, 
I received a letter from EchoStar, a company commonly known in the 
trade as the DISH Network, agreeing to uplink for local retransmission 
all 210 local television markets upon certain conditions. One condition 
is that the company receive the ability in our legislation to import 
into the markets distant network signals in order to supply the missing 
networks in the markets that do not have a full complement of the 
networks represented by local affiliates. The bill that we're 
presenting today grants that permission if EchoStar, in fact, provides 
local TV service in all 210 television markets nationwide.
  Another condition of the company's willingness to serve all 210 
markets is that the law not impose new carriage obligations that the 
company would have to devote its satellite capacity in order to meet. 
While the bill does impose some new carriage obligations, I'm 
optimistic that they will not be so extreme as to prevent EchoStar from 
launching local TV service in all 210 local markets over the coming 
year.
  Providing local TV service in the 28 currently unserved local markets 
will make local TV news, sports, weather, essential emergency 
information, and locally originated programs available in every part of 
the Nation, a goal that we're now very close to achieving. Serving the 
28 now unserved local TV markets involves a major expenditure by 
EchoStar for ground-based facilities in each of the currently unserved 
markets and for the launch, in 2010, of a new satellite that itself 
will cost hundreds of millions of dollars.
  I want to commend EchoStar for expressing a willingness to make these 
very substantial investments if we pass legislation that meets the 
conditions I have previously described, and I think our legislation 
does. I also commend television broadcasters and DirecTV, the other 
major satellite television provider, both of which groups played highly 
constructive roles as our negotiations proceeded. And I want to thank 
the gentleman from Michigan (Mr. Stupak), a member of our Commerce 
Committee, for bringing to our attention in very forceful terms the 
need to serve all of the 28 currently unserved local television markets 
across our Nation.
  The bill before us makes other changes needed to harmonize the 
satellite carriage licenses with the transition from analog to digital 
television broadcasting, and it will result in more high-definition 
carriage of public broadcasting television under the terms of an 
amendment that was offered by the gentlewoman from California (Ms. 
Eshoo) and adopted during Commerce Committee consideration of our bill.
  I want to say thank you this afternoon to Chairman Conyers and his 
excellent staff for the cooperation with my staff and with me as our 
two committees structured the bill that we present to the House this 
afternoon. And I want to say thank you to the gentleman from Texas (Mr. 
Smith) and the gentleman from Florida (Mr. Stearns) for the highly 
constructive and cooperative bipartisan role that they have played in 
helping us move this measure through our two committees.

[[Page 29021]]

  Madam Speaker, I urge approval of the bill, and I reserve any time I 
may have remaining.
  The SPEAKER pro tempore. The time of the gentleman has expired.
  Mr. STEARNS. Madam Speaker, I yield 3 minutes to the gentleman from 
Texas (Mr. Barton), the distinguished ranking member of the Energy and 
Commerce Committee.
  Mr. BARTON of Texas. I thank the gentleman from Florida for yielding.
  Madam Speaker, I rise in support of the Satellite Home Viewer Update 
and Reauthorization Act of 2009. I want to thank the majority in both 
the Energy and Commerce Committee and the Judiciary Committee for 
working with the minority. This is one of those rare instances in this 
Congress when there has been bipartisan cooperation and the result is a 
bill that both sides can support.
  The bill itself is an example of what Congress should be about. It is 
an authorization bill with a finite authorization--in this case, 5 
years--that authorizes the transfer of satellite signals to home 
viewers who cannot get cable or over-the-air broadcast signals. The 
industry today is much different than it was 20 years ago when we first 
authorized the Satellite Home Viewer Act, and this bill reflects that. 
As we are transitioning to digital television and high-definition 
television, this bill takes those technical advances into 
consideration, which I think is a good thing.
  There is one provision in the legislation that is nettlesome from my 
point of view. We have adopted a provision that I opposed in committee 
that forces the DISH Network to carry high-definition signals for 
public broadcast stations. I'm not opposed to public television being 
broadcast in high definition, but I don't think it's the end of the 
world if DISH chooses for right now not to carry those signals because 
they're engaged in an upgrade of their base and won't be able to do so 
in their business model until 2013. So congressional intervention in 
this bill in that case is something that I wish was not in the bill. 
There is a chance, however, that the parties will negotiate and this 
provision of the bill will become moot by the time the bill moves to 
the other body.
  With that said, Madam Speaker, this is a good piece of legislation. I 
want to compliment Ranking Member Stearns, who's worked very hard on 
it, and the staffs on both sides of the aisle for their hard work, and 
I would hope the House will pass this bill at the appropriate time.
  Mr. CONYERS. Madam Speaker, I have no further requests for time, and 
I yield back the balance of my time.

                              {time}  1745

  Mr. STEARNS. Madam Speaker, it is my pleasure to yield as much time 
as she may consume to the gentlelady from Tennessee, Marsha Blackburn.
  Mrs. BLACKBURN. Madam Speaker, I do rise in support of SHVERA, as we 
call it. And for those individuals that live in rural areas like my 
Seventh District in Tennessee, fixing a short market problem, which we 
have heard discussed on this floor tonight, is much more than just a 
convenience or an ``I want to see TV'' issue. For us, it is an issue of 
health and security and public safety. And by working to expand the 
definition of the unserved customer, which we have done on a bipartisan 
basis in this bill, my constituents in rural west Tennessee counties 
like Hardin and Hardeman and Chester are now going to be able to get 
that distant satellite signal that we've discussed.
  The reason it is important for us is because a couple of years ago, 
we had a devastating tornado that swept through west Tennessee and 
touched down in our district. Nearly three dozen Tennesseeans were 
killed and 150 people were seriously injured. Communities were 
paralyzed and had significant difficulty in receiving news alerts and 
communicating.
  By fixing this short market, we will all rest a little better knowing 
that should we be faced with any other such disaster of this magnitude, 
that we will be better prepared and able to respond and to persevere.
  I do want to take a moment to thank Chairman Conyers, Chairman 
Boucher, Ranking Member Barton, and Ranking Member Stearns for all of 
their hard work in fixing this short market issue and helping to 
resolve this issue for my constituents in Tennessee.
  As has been said, the bill's not perfect, and there is an area that 
has been mentioned mandating that a private company like DISH Network 
carry public broadcasting in high def. It really does go against free 
market principles. I do know that is going to continue to be worked on. 
We are looking forward to getting that issue resolved.
  I thank the gentleman from Florida.
  Mr. STEARNS. Madam Speaker, how much time do I have left?
  The SPEAKER pro tempore. The gentleman from Florida has 7\1/2\ 
minutes.
  Mr. STEARNS. I yield such time as she may consume to the gentlelady 
from Wyoming (Mrs. Lummis).
  Mrs. LUMMIS. I would like to thank the chairman and ranking member of 
the Judiciary Committee for the inclusion of language from my bill on 
statewide public television. Passage of this legislation will remove 
the legal obstacles for satellite carriers to offer statewide public 
television in Wyoming and other States. I don't care whether it's in 
high def or not. I just want public television carried in Wyoming and 
other States, and that's been achieved. So thank you kindly.
  I also thank the gentleman from Georgia (Mr. Deal) who worked 
diligently to address the problem of local television market areas. 
Despite his good work, I rise today to express regret for the missed 
opportunity the passage of this bill represents.
  The decision to put off for another 5 years any real reform to the 
system of designated market areas carries with it very negative 
consequences for the citizens of my State. Out of Wyoming's 23 
counties, 16 do not have satellite access to Wyoming-based stations. 
Over half of all television households in Wyoming do not have access to 
local television.
  For a rural State like Wyoming, satellite sometimes represents the 
only viable option to receiving television programming. The inability 
to receive local stations restricts access to local content and 
severely limits the reach of emergency notifications.
  Emergency situations, like the butane tank truck that recently 
overturned on an icy highway during a blizzard, should serve as proof 
that the availability of local stations on satellite television is not 
just an entertainment issue. The DMA system may make sense for the 
densely populated areas in the East, but it has created an absurdity in 
the sparsely populated areas of the West. I am grateful for the 
inclusion of a study to find a better way to determine what the local 
market is.
  But, Madam Speaker, people in Wyoming do not need a study to tell 
them that when their network TV station originates 400 miles away from 
a different State, they are not receiving the local content they need. 
For this reason, I cannot support passage of this bill despite its 
tremendous improvements.
  Mr. JOHNSON of Georgia. Madam Speaker, I rise today in support of 
H.R. 3570, the Satellite Home Viewer Update and Reauthorization Act of 
2009. I strongly support this important piece of satellite television 
reauthorization legislation.
  H.R. 3570 reauthorizes satellite operators' licenses to import 
distant network affiliate television signals to viewers who cannot 
receive a viewable signal from their local affiliate. This is important 
as it allows satellite and cable television providers to carry out-of-
market television signals to households that cannot receive stations in 
their own local markets. This allows state public television networks 
to reach all their state's residents with important news and public 
affairs programming.
  Alongside the chairman, I worked hard to get the phantom signal 
language included in the bill. I am proud of the final product and 
believe it is something about which all Americans can be proud.
  Previously, due to flaws in existing law, broadcasters sometimes paid 
royalties to content producers even when programming was not actually 
delivered to subscribers. Royalties for the transmission of broadcast 
signals to cable systems were paid as if the entire cable system 
received the transmission, even if it was only received by some 
subscribers within

[[Page 29022]]

the cable system. This has been known as the phantom signal problem. 
The cost of this flaw was passed down to consumers. With the passage of 
this reauthorization, including my phantom signal language, the 
American people will no longer be forced to pay for programming they 
have not received.
  I join the chairman in urging my colleagues to support this bill. As 
a result of this legislation, constituents in my district will not be 
forced to pay for satellite and cable programming they have not 
received and, as a result, save money in this economy.
  Mr. SMITH of Nebraska. Madam Speaker, I rise today to oppose 
suspending the rules to pass H.R. 3570, the Satellite Home Viewer 
Update and Reauthorization Act.
  I understand this legislation must be reauthorized by December 31 to 
ensure satellite television viewers have continued access to local 
stations. In many rural areas--including large portions of my 
district--satellite television carriage of local stations is one of the 
only sources for up-to-the-minute news and weather. It is vital we 
maintain that link.
  I am pleased this legislation addresses two issues of concern to my 
constituents. It includes language allowing satellite carriers to 
provide in-state public television signals to all viewers in the state, 
regardless of television market, DMA. This means the thirteen counties 
in my district served by the Denver DMA will have improved access to 
the quality programming of NET--Nebraska's statewide PBS station.
  The bill also takes steps to encourage satellite carriers to carry 
all 210 DMAs. Currently, 31 DMAs, including the city of North Platte in 
my district, are not carried by either of the two major satellite 
carriers and another 76 are carried by only one of the two. These 
unserved and underserved markets are typically small, rural areas and 
are often in the greatest need of satellite carriage for distant 
viewers to receive their signals. I am pleased the bill takes steps to 
encourage their coverage rather than implementing strong new mandates 
on these private companies.
  However, I must oppose passage of this legislation under suspension 
of the rules. It does not contain language to address the needs of 
consumers in out-of-state DMAs who wish to receive in-state broadcast 
programming over satellite. Under suspension of the rules, no member 
will have the opportunity to offer an amendment to address this issue.
  Under this legislation the thirteen counties which would gain access 
to Nebraska public television would still be forced to watch local 
broadcast programming from the Denver DMA. This includes places such as 
Sheridan and Cherry Counties which are over 400 miles from Denver and 
have three closer and arguably more local markets unavailable to them 
on satellite--North Platte, Scottsbluff-Cheyenne, and even Rapid City, 
South Dakota.
  With this in mind, I must oppose suspending the rules to pass this 
legislation today in hope that this bill can be brought back up under a 
rule with the opportunity to make these needed changes for my 
constituents.
  Ms. ESHOO. Madam Speaker, I rise in support of H.R. 3570, the 
Satellite Home Viewer Update and Reauthorization Act of 2009. This bill 
provides much-needed improvements to the current legal structure 
governing the transmission of satellite signals to American consumers. 
We've come a long way since the days where satellite companies were 
fledging businesses with small customer bases and large backyard 
dishes. Now this industry is robust and competitive and holds its own 
in the world of multi-video providers.
  With this increased popularity comes an increased responsibility to 
those who subscribe to satellite services. I sponsored an amendment to 
the bill that was adopted in the Energy and Commerce Committee which 
underscores the importance of the rights of satellite customers.
  My language will finally end DISH Network's discrimination against 
noncommercial High Definition signals. Many of you know these 
noncommercial stations as educational and Public Broadcast Stations. 
DISH has roughly 14 million subscribers and they all deserve access to 
Public Television's signals. DISH had been providing preferential 
treatment to high-paying networks for the transmission of programming, 
but denying equal carriage for a television service supported by tax 
dollars. DISH gets privileges under this bill and with those privileges 
comes the obligation to serve the public interest.
  The premise of my language is simple.
  It requires satellite carriers to provide their customers with local 
noncommercial HDTV transmissions when carrying other local broadcast HD 
signals.
  It provides for carriage compliance for 50 percent of the stations by 
the end of 2010, with an extra year for the remainder, thus 
accelerating the FCC 2013 date.
  It ensures that when new service is initiated, noncommercial stations 
get equal treatment.
  And, it gives carriers one last opportunity to sign a carriage 
contract because anyone who has one, has a safe harbor from the 
language here.
  Most importantly, this language locks the door and rips off the 
knob--it not only accelerates the carriage date, it precludes potential 
waivers of that date extending well into the future.
  It's important to note that Direct TV offers HD channels of 106 local 
public television stations in their local markets. DISH is carrying HD 
in local commercial broadcasts in 152 markets covering 93 percent of 
U.S. households. But they only carry local public television HD 
broadcasts in Alaska and Hawaii--where they are legally obligated to do 
so.
  Consumers in all states have the right to view publicly funded 
programming. My preference would have been that some time during the 
past three years of negotiations with PBS, DISH would have decided to 
serve the public interest and provide equal treatment for noncommercial 
stations. Unfortunately, that didn't happen. There's been adequate 
notice of a serious problem, but no action. I encourage DISH to 
continue negotiating with PBS to reach a viable compromise on this 
issue before this measure passes the Senate as well. Otherwise, there 
will be no additional flexibility--and DISH will be legally obligated 
to carry those HD signals.
  Thank you, Madam Speaker. I look forward to final passage of the 
Satellite bill, and especially the anti-discriminatory section which is 
part of it.
  Mr. KRATOVIL. Madam Speaker, I rise in support of H.R. 3570, the 
Satellite Home Viewer Update and Reauthorization Act of 2009. This 
legislation reauthorizes the satellite compulsory license for carriage 
of distant network satellite affiliate TV station signals. If this bill 
does not become law before the end of the year, the distant network 
carriage license will expire and satellite subscribers would be left in 
the dark.
  While I support the underlying legislation, I would like to draw 
attention to a provision that I believe could undermine our efforts to 
ensure rural residents have access to local programming. By redefining 
an ``unserved household'' to include those served by multicast 
networks, this legislation allows satellite broadcasters to continue to 
import distant, out-of-market signals into short markets when they are 
no longer necessary. I request that a letter signed by 18 bipartisan 
Members of the House of Representatives expressing concern over this 
definition of ``unserved household,'' be inserted as an extraneous 
material.

                                               Washington, DC,

                                                 December 2, 2009.
     Hon. John Conyers, Jr.,
     Chairman, Committee on the Judiciary, House of 
         Representatives, Washington, DC.
     Hon. Lamar Smith,
     Ranking Member, Committee on the Judiciary, House of 
         Representatives, Washington, DC.
       Dear Chairman Conyers and Ranking Member Smith: We write 
     today to express our concerns regarding the manner in which 
     H.R. 3570, the Satellite Home Viewer Update and 
     Reauthorization Act of 2009, would diminish the availability 
     of local programming available to satellite television 
     subscribers.
       Digital multicasting enables broadcasters to provide TV 
     viewers with expanded options for free, local TV programming 
     beyond the primary network affiliate channel. In pursuit of 
     this promise, many broadcasters have already begun 
     multicasting dedicated sports, ethnic, minority, weather, 
     news, and hyper-local channels.
       In various markets, including ``short markets,'' i.e., 
     television markets lacking a full complement of network 
     affiliates, some stations have begun multicasting a local 
     network affiliate other than the network affiliate carried on 
     their primary channel. For example, television viewers in the 
     Beaumont, TX market, which lacked a local NBC station, can 
     now watch local NBC affiliate K-JAC as a multicast channel 
     provided by a station that broadcasts the ABC affiliate KBMT 
     on its primary channel. It is important to note that this 
     multicast channel, like numerous similar network affiliates 
     that are broadcast on multicast channels across the country, 
     is a full-fledged network station providing viewers with a 
     full slate of a network's programming to the same geographic 
     area as the station's other digital channel that broadcasts 
     ABC programming. There is no rational public policy reason to 
     treat the two network channels differently under copyright 
     law.
       Unfortunately, H.R. 3570, the Satellite Home Viewer Update 
     and Reauthorization Act of 2009, enables DBS companies to 
     impede and undermine multicast network affiliates. By re-
     defining a household capable of receiving a local network 
     signal through the air as ``unserved'' if the signal is 
     delivered via digital multicast technology, Sections 3(h)(1) 
     and 3(h)(6) of H.R. 3570 together

[[Page 29023]]

     allow DBS companies to import distant network affiliates that 
     duplicate the programming of the local, multicast network 
     affiliate. This provision will not only undermine existing 
     multicast stations, but it will also give local stations far 
     less incentive to multicast an additional local network 
     affiliate in the future if large numbers of potential viewers 
     are already receiving an affiliate of that network through a 
     DBS provider. Thus, these provisions may deprive viewers of 
     locally-oriented programming by undermining existing 
     multicast arrangements and removing the incentive for local 
     stations to continue to offer or roll out new multicast 
     network affiliated channels.
       While H.R. 3570 only provides satellite companies this 
     ability for 3 years following enactment, after the recent 
     economic downturn, the next three years will be critical to 
     the development of new, innovative, free, over-the-air 
     digital network broadcast services, including networks that 
     contain programming developed for ethnic minorities. Sections 
     3(h)(1) and 3(h)(6) of H.R. 3570 should be changed to ensure 
     that DBS companies cannot import a distant network signal 
     that duplicates a local network affiliated multicast station.
       Additionally, as twelve members of the House Judiciary 
     Committee stated in the additional views that were filed in 
     the report language that accompanied H.R. 3570, ``the 
     preference in section three of the bill may result in 
     discouraging free over-the-air local broadcasters from 
     affiliating with more than one network and developing a 
     market-based solution to the 'missing network affiliate' 
     problem. This would limit the number of free network 
     programming options available to consumers and, in effect, 
     require consumers to subscribe to pay television to receive 
     network they might otherwise have been able to view for 
     free.''
       We appreciate your attention to this critically important 
     issue. As you continue to work on the reauthorization of the 
     Satellite Home Viewer Extension and Reauthorization Act 
     during a House-Senate conference committee, we encourage you 
     to support the approach to protecting multicast channels that 
     was adopted by the Senate Judiciary Committee.
           Sincerely,
         Frank Kratovil; Roy Blunt; Tom Cole; Alan Mollohan; 
           Rodney Alexander; Michael McMahon; Brett Guthrie; Bob 
           Filner; Thomas Rooney; Nick J. Rahall; Christopher Lee; 
           Gregory Meeks; Blaine Luetkemeyer; Raul Grijalva; 
           Shelley Capito; Sam Farr.

  Mr. STEARNS. Madam Speaker, I have no further requests for time, and 
I yield back the balance of my time.
  The SPEAKER pro tempore. The question is on the motion offered by the 
gentleman from Michigan (Mr. Conyers) that the House suspend the rules 
and pass the bill, H.R. 3570, as amended.
  The question was taken.
  The SPEAKER pro tempore. In the opinion of the Chair, two-thirds 
being in the affirmative, the ayes have it.
  Mr. CONYERS. Madam Speaker, on that I demand the yeas and nays.
  The yeas and nays were ordered.
  The SPEAKER pro tempore. Pursuant to clause 8 of rule XX and the 
Chair's prior announcement, further proceedings on this motion will be 
postponed.

                          ____________________