From: Chris Llana <cbllana@earthlink.net>
To: Milton Brown <coupon@ntia.doc.gov>
Date: Tue, Aug 15, 2006 4:07 PM
Subject: Comments on Coupon Program NPRM

Comments on:
Implementation and Administration of a Coupon Program for Digital-to-
Analog Converter Boxes
[Docket Number: 060512129–6129–01]

1. Effective date of end of transition

The transition to digital television ends on February 17, 2009, and
not on February 18, as you state in the preamble to your proposed
rule. Right away, this mistake will confuse consumers, even though
it is only one day off.
The law states:
"A full-power television broadcast license that authorizes analog
television service may not be renewed to authorize such service for a
period that extends beyond February 17, 2009." 47 USC 309(j)(14)(A)

Which means that analog broadcasts will no longer be available after
February 17, and not after February 18, as you state:

"The converter boxes are necessary for consumers who wish to continue
receiving broadcast programming over the air using analog-only
televisions after February 18, 2009—the date that full-power
televisions stations are required to cease analog broadcasting."

The law also requires the FCC:
"(1) to terminate all licenses for full-power television stations in
the analog television service, and to require the cessation of
broadcasting
by full-power stations in the analog television service, by February 18,
2009; and"

The words "by February 18" in this instance mean "before February
18," as must be construed by the requirement that restricts analog
television service to end on February 17. "Before" is a synonym of
"by."

2. Eligible U.S. Households

Your NPRM says:

"NTIA proposes that a "television household" is a "household" with at
least one television. A "household" consists of all persons who
currently occupy a house, apartment, mobile home, group of rooms, or
single room that is occupied as separate living quarters and has a
separate U.S. postal address. An eligible household address shall
not be a post office box."

While this proposed definition of "household" may meet the needs of
the Census Bureau, it is not consistent with the purposes of the
converter-box subsidy program. Your proposed definition is based on
traditional mainstream ideals of family units, and while this may be
a good fit for a majority of Americans, it excludes living
arrangements common among that portion of the population most in need
of the converter-box subsidy.

People who cannot afford cable or satellite programming services who
rely on over-the-air broadcasts often cannot afford their own house
or apartment. People who cannot afford to buy a new television set
(or a new converter box) frequently share living quarters with
others. Just because they all live under the same roof doesn't mean
they all share a common television.

A group of people splitting the cost of housing are in most cases
also sharing a U.S. postal address. The cost of housing today is so
high that for many low income people a separate house or apartment is
not a realistic option.

Having a separate television set should be.

These housing sharers can be students, single people, or families.
Having a common postal address should not make them a household
"unit" for purposes of coupon eligibility.

A better definition would look to the purposes of the converter-box
subsidy program. That purpose is to make sure that people who get
their TV programming exclusively over-the-air via analog television
sets will not be left in the dark at the end of the transition. Look
at people (not brick and mortar) and their individual and joint
relationships with television sets.

A suggested alternative definition:
"A television household is:
(1) a single person at least 18-years-old who maintains exclusive
control over at least one television set at his or her domicile, OR
(2) a family unit of two or more people including at least one 18-
year-old person who share one or more television sets at their domicile.
(3) A person cannot be a member of more than one television household."

3. Over-the-air exclusivity

I agree that coupons should be limited to those households that get
their TV programming exclusively over-the-air via antennas and analog
television sets.

4. Financial means test

The legislative history and the amount of money that Congress made
available for the program imply that the assistance program is aimed
at low-income Americans. That said, I do not believe that a means
test is necessary or practicable in order to achieve that intent.
The cost of converter boxes will not be so high and the value of the
coupons not so great that people who can afford to buy a digital TV
or a converter box without assistance will be motivated to apply for
a coupon.

The amount of time and inconvenience that will be required to
complete the bureaucratic process of obtaining and redeeming a coupon
will tend to discourage anyone who can afford to simply walk in a
store and buy. If a means test was imposed, the amount of money it
would take the government to verify financial eligibility would be in
excess of the value of the coupon.

5. Self-certification

The NPRM says ". . . must certify that it only receives over-the-air
television signals using an analog-only (NTSC) television receiver,
and that they receive only over-the-air transmissions in analog
format, . . ."

The NTIA should keep in mind that most people do not know what an
"analog" TV set is. Fewer still know what "NTSC" means. (Could be
different for communications lawyers inside the beltway.)

Self-certification has the benefit of reminding honest people what
the eligibility requirements are (in case they have not read the
instructions--doesn't everybody?). Anyone intent on committing fraud
will not be deterred at all by a "certification" requirement.

6. Coupon expiration

The three-month period of time is plenty for the consumer, as long as
the NTIA ensures that eligible converter boxes will be readily
available during that period.

Any reasonable start time calculation should not be an issue. Two or
three days out of three months is insignificant.

7. Converter box technical specifications

The proposed technical specifications are good.

Converter boxes eligible for the coupon program should be labeled as
such on the box itself and on the packaging. A list of eligible
boxes should be included with the coupons.

8. Consumer education

The NPRM states:

"According to the FCC Web site, a wide range of broadcasters,
equipment manufacturers, retailers, consumer groups and others have
begun to produce and provide information concerning the digital
transition."

The FCC web site by all indicators was prepared using industry
resources, and has never provided candid up-to-date information on
the state of the transition. Your statement above characterizing the
great flood of information from the various segments of the TV
industry is without merit, as they say. Go into a TV retailer, and
there is virtually no effective information about the transition to
the digital TV standard. The same can be said about consumer
information spots on broadcast TV. Proposed regulations and
legislation requiring effective consumer education has been defeated
at the hands of the TV industry lobby.

The TV industry lobby told Washington regulators that it is mounting
an aggressive voluntary consumer education campaign, but outside of
the beltway, it doesn't exist.

As they say, it's up to you. But it's late. The FCC has bailed over
and over on this. Ditto the Congress.
Pending legislation in Congress contains (again) consumer education
provisions. Many of these are so belated as to be moot. But there
is a requirement for broadcast station public service announcements
that, if enacted, would be effective. Big if.

The same draft legislation directs the FCC to mount a public outreach
program to educate consumers. Lots of talk and no action. Form a
committee. Talk about it. For years. The FCC has the advantage
over the NTIA of regulatory authority. They can require the TV
industry to educate.

You note that "Any public information campaign undertaken by NTIA
will only be
successful if other stakeholders in the digital-to-analog converter
box program
contribute significant effort to the production and distribution of
this information."

You are correct. You will not be successful.

You should get the Secretary of Commerce to vigorously lobby Congress
and the White House to apply pressure to make any consumer education
program happen. You should do it now. If there is not strong
political support and will to make this happen, it will not.

Asking for proposals for programs will accomplish nothing. The
motivations of the "other stakeholders" are more often as not to delay.

The internet is NOT a good way to reach the people who most need to
know about the transition. Warning labels on analog TVs and TV
public service announcements target the audience (people who are
buying TVs and people who are looking at TV).

You should consider a direct-mail approach. Find someone good to
write it (informally and quickly -- no committees) and send it out to
all households.

Thanks.
=================

www.dtvprimer.com
Consumer's Guide to HDTV and the Transition to Digital Television