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FCC Releases Text of Leased Access Order

The FCC has now released the text of the Commercial Leased Access (“CLA”) Report and Order it adopted in late November. The Order drastically reduces the rates cable operators may charge for the lease of channel capacity. It establishes a 10 cent per subscriber per month cap on CLA rates, but also creates a complicated formula likely to produce actual CLA rates well below that amount.

In addition to radically reducing the amounts cable operators may charge for valuable channel capacity, the Order adopts new rules that tightly prescribe the process by which the terms and conditions of leased carriage are established; imposes onerous requirements upon operators responding to requests for information; expands discovery in complaint proceedings; and imposes new annual reporting requirements on cable operators. 

Read the full article: www.dwt.com/practc/communications/bulletins/02-08_FCCReleases.htm.