Federal Communications Commission DA 11-1977 Before the Federal Communications Commission Washington, D.C. 20554 In the Matter of Media Mining Group, LLC Licensee of Station KRDD(AM) Roswell, NM Facility ID # 68131 ) ) ) ) ) ) ) File Number: EB-11-SD-0124 NAL/Acct. No.: 201232940001 FRN: 0010036804 NOTICE OF APPARENT LIABILITY FOR FORFEITURE AND ORDER Adopted: December 6, 2011 Released: December 7, 2011 By the District Director, San Diego Office, Western Region, Enforcement Bureau: I. INTRODUCTION 1. In this Notice of Apparent Liability for Forfeiture and Order (“NAL”), we find that Media Mining Group, LLC., (“MMG”), licensee of Station KRDD(AM), in Roswell, New Mexico, apparently willfully and repeatedly violated section 11.35 of the Commission’s rules (“Rules”)1 by failing to ensure the operational readiness of the Station KRDD(AM) Emergency Alert System (“EAS”) equipment. We conclude that MMG is apparently liable for a forfeiture in the amount of eight thousand dollars ($8,000). In addition, no later than 30 days from the date of this NAL, MMG must submit a statement signed under penalty of perjury that the Station KRDD(AM) EAS equipment is operating consistent with Section 11.35 of the Rules. II. BACKGROUND 2. On June 21, 2011, an agent from the Enforcement Bureau’s San Diego Office (“San Diego Office”) conducted an inspection at Station KRDD(AM)’s main studio located in Roswell, New Mexico. The agent observed that although Station KRDD(AM) had EAS equipment installed, the equipment was not operational. Specifically, the equipment was not capable of receiving the required tests and station personnel were unable to produce any documentation, logs, or records for the agent showing that required EAS weekly or monthly tests had been sent or received.2 Station KRDD(AM) personnel also informed the agent that the station’s EAS equipment had not been operational since December of 2010, when the station was vandalized. 1 47 C.F.R. § 11.35. 2 See 47 C.F.R. § 11.61(a)(1) (“Required Monthly Tests of the EAS header codes, Attention Signal, Test Script and [End of Message] code . . . . must be transmitted with in 60 minutes of receipt by EAS Participants in an EAS Local Area or State.”); 47 C.F.R. § 11.61(a)(2) (“Required Weekly Tests: . . . Analog and digital AM, FM and TV broadcast stations must conduct tests of the EAS header and [End of Message] codes at least once a week at random days and times”). Federal Communications Commission DA 11-1977 2 III. DISCUSSION 3. Section 503(b) of the Communications Act of 1934, as amended (“Act”),3 provides that any person who willfully or repeatedly fails to comply substantially with the terms and conditions of any license, or willfully or repeatedly fails to comply with any of the provisions of the Act or of any rule, regulation or order issued by the Commission thereunder, shall be liable for a forfeiture penalty. Section 312(f)(1) of the Act defines willful as the “conscious and deliberate commission or omission of [any] act, irrespective of any intent to violate” the law.4 The legislative history to section 312(f)(1) of the Act clarifies that this definition of willful applies to both section 312 and 503(b) of the Act5 and the Commission has so interpreted the term in the section 503(b) context.6 The Commission may also assess a forfeiture for violations that are merely repeated, and not willful.7 The term “repeated” means the commission or omission of such act more than once or for more than one day.8 A. Emergency Alert System Equipment Operational Readiness 4. Every broadcast station is part of the nationwide EAS network and is categorized as a participating national EAS source unless the station affirmatively requests authority to refrain from participation, and that request is approved by the Commission.9 The EAS enables the President and state and local governments to provide immediate and emergency communications and information to the general public.10 State and local area plans identify local primary sources responsible for coordinating carriage of common emergency messages from sources such as the National Weather Service or local emergency management officials.11 Required monthly and weekly tests originate from EAS Local or State Primary sources and must be retransmitted by the participating station. 3 47 U.S.C. § 503(b). 4 47 U.S.C. § 312(f)(1). 5 H.R. Rep. No. 97-765, 97th Cong. 2d Sess. 51 (1982) (“This provision [inserted in section 312] defines the terms ‘willful’ and ‘repeated’ for purposes of section 312, and for any other relevant section of the act (e.g., section 503)…. As defined … ‘willful’ means that the licensee knew that he was doing the act in question, regardless of whether there was an intent to violate the law. ‘Repeated’ means more than once, or where the act is continuous, for more than one day. Whether an act is considered to be ‘continuous’ would depend upon the circumstances in each case. The definitions are intended primarily to clarify the language in sections 312 and 503, and are consistent with the Commission’s application of those terms …”). 6 See, e.g., Application for Review of Southern California Broadcasting Co., Memorandum Opinion and Order, 6 FCC Rcd 4387, 4388 (1991), recon. denied, 7 FCC Rcd 3454. 7 See, e.g., Callais Cablevision, Inc., Notice of Apparent Liability for Monetary Forfeiture, 16 FCC Rcd 1359, 1362 ¶ 10 (2001) (“Callais Cablevision, Inc.”) (proposing a forfeiture for, inter alia, a cable television operator’s repeated signal leakage). 8 Section 312(f)(2) of the Act, 47 U.S.C. § 312(f)(2), which also applies to violations for which forfeitures are assessed under section 503(b) of the Act, provides that “[t]he term 'repeated', when used with reference to the commission or omission of any act, means the commission or omission of such act more than once or, if such commission or omission is continuous, for more than one day.” See Callais Cablevision, Inc., 16 FCC Rcd at 1362. 9 47 C.F.R. §§ 11.11, 11.41. 10 47 C.F.R. §§ 11.1, 11.21. 11 47 C.F.R. § 11.18. State EAS plans contain guidelines that must be followed by broadcast and cable personnel, emergency officials and National Weather Service personnel to activate the EAS for state and local emergency alerts. The state plans include the EAS header codes and messages to be transmitted by the primary state, local, and relay EAS sources. Federal Communications Commission DA 11-1977 3 5. As the nation’s emergency warning system, the Emergency Alert System is critical to public safety, and we recognize the vital role that broadcasters play in ensuring its success. The Commission takes seriously any violations of the Rules implementing the EAS and expects full compliance from its licensees. Section 11.35 of the Rules requires all broadcast stations to ensure that EAS encoders, EAS decoders, and attention signal generating and receiving equipment are installed and operational so that the monitoring and transmitting functions are available during the times the station is in operation.12 Broadcast stations must also determine the cause of any failure to receive required monthly and weekly EAS tests, and must indicate in the station’s log why any required tests were not received, and when defective equipment is removed and restored to service.13 6. On June 21, 2011, an agent from the San Diego Office inspected the Station KRDD(AM) EAS equipment and found that it was not operational. The EAS equipment was unable to receive the required tests and Station KRDD(AM) personnel were unable to produce documentation, logs, or records concerning EAS tests successfully or unsuccessfully received or sent. Station personnel acknowledged to the San Diego agent that the Station KRDD(AM) EAS equipment had not been operational since the station was vandalized in December of 2010. Based on the evidence before us, we find that MMG apparently willfully and repeatedly violated section 11.35 of the Rules by failing to ensure the operational readiness of the Station KRDD(AM) EAS equipment. B. Proposed Forfeiture Amount 7. Pursuant to the Commission’s Forfeiture Policy Statement and section 1.80 of the Rules, the base forfeiture amount for EAS equipment not installed or operational is $8,000.14 In assessing the monetary forfeiture amount, we must also take into account the statutory factors set forth in section 503(b)(2)(E) of the Act, which include the nature, circumstances, extent, and gravity of the violations, and with respect to the violator, the degree of culpability, and history of prior offenses, ability to pay, and other such matters as justice may require.15 Applying the Forfeiture Policy Statement, section 1.80 of the Rules, and the statutory factors to the instant case, we conclude that MMG is apparently liable for a forfeiture of $8,000 for its violation of section 11.35 of the Rules. We further order MMG to submit a written statement pursuant to section 1.16 of the Rules16 signed under penalty of perjury by an officer or director of MMG within thirty (30) days of the release date of this NAL that Station KRDD(AM) is now in compliance with section 11.35 of the Rules. IV. ORDERING CLAUSES 8. Accordingly, IT IS ORDERED that, pursuant to section 503(b) of the Communications Act of 1934, as amended, and sections 0.111, 0.204, 0.311, 0.314, and 1.80 of the Commission's Rules, Media Mining Group, LLC, is hereby NOTIFIED of this APPARENT LIABILITY FOR A FORFEITURE AND ORDER in the amount of eight thousand dollars ($8,000) for violation of section 12 47 C.F.R. § 11.35. 13 47 C.F.R. § 11.35(a) – (b). An EAS Participant may operate without the defective equipment pending its repair or replacement for 60 days with out further FCC authority. See 47 C.F.R. § 11.35(b). If the repair or replacement of defective equipment is not completed within 60 days, an EAS Participant shall submit an informal request to the District Director of the local FCC field office for additional time to repair the defective equipment. See 47 C.F.R. § 11.35(c). No such request was submitted by MMG to the San Diego Office. 14 The Commission’s Forfeiture Policy Statement and Amendment of Section 1.80 of the Rules to Incorporate the Forfeiture Guidelines, Report and Order, 12 FCC Rcd 17087 (1997) (“Forfeiture Policy Statement”), recon. denied, 15 FCC Rcd 303 (1999); 47 C.F.R. § 1.80. 15 47 U.S.C. § 503(b)(2)(E). 16 47 C.F.R. § 1.16. Federal Communications Commission DA 11-1977 4 11.35 of the Rules.17 9. IT IS FURTHER ORDERED that, pursuant to section 1.80 of the Commission’s Rules within thirty days of the release date of this Notice of Apparent Liability for Forfeiture and Order, Media Mining Group, LLC, SHALL PAY the full amount of the proposed forfeiture or SHALL FILE a written statement seeking reduction or cancellation of the proposed forfeiture. 10. IT IS FURTHER ORDERED that Media Mining Group, LLC, SHALL SUBMIT a written statement, as described in paragraph 6, within thirty (30) days of the release date of this Notice of Apparent Liability for Forfeiture and Order. The statement must be mailed to Federal Communications Commission, Enforcement Bureau, Western Region, San Diego Office, 4542 Ruffner Street, Rm. 370, San Diego, CA, 92111. MMG shall also email the written statement to WR-Response@fcc.gov. 11. Payment of the forfeiture must be made by credit card, check or similar instrument, payable to the order of the Federal Communications Commission. The payment must include the Account Number and FRN Number referenced above. Payment by check or money order may be mailed to Federal Communications Commission, P.O. Box 979088, St. Louis, MO 63197-9000. Payment by overnight mail may be sent to U.S. Bank – Government Lockbox #979088, SL-MO-C2-GL, 1005 Convention Plaza, St. Louis, MO 63101. Payment by wire transfer may be made to ABA Number 021030004, receiving bank TREAS/NYC, and account number 27000001. For payment by credit card, an FCC Form 159 (Remittance Advice) must be submitted. When completing the FCC Form 159, enter the NAL/Account number in block number 23A (call sign/other ID), and enter the letters “FORF” in block number 24A (payment type code). Requests for full payment under an installment plan should be sent to: Chief Financial Officer – Financial Operations, 445 12th Street, S.W., Room 1-A625, Washington, D.C. 20554.18 If you have questions regarding payment procedures, please contact the Financial Operations Group Help Desk at 1-877-480-3201 or Email: ARINQUIRIES@fcc.gov. MMG will send electronic notification on the date said payment is made to WR-Response@fcc.gov. 12. The written statement seeking reduction or cancellation of the proposed forfeiture, if any, must include a detailed factual statement supported by appropriate documentation and affidavits pursuant to sections 1.80(f)(3) and 1.16 of the Rules.19 Mail the written statement to Federal Communications Commission, Enforcement Bureau, Western Region, San Diego Office, 4542 Ruffner Street, Rm. 370, San Diego, CA, 92111, and must include the NAL/Acct. No. referenced in the caption. MMG shall also email the written response to WR-Response@fcc.gov. 13. The Commission will not consider reducing or canceling a forfeiture in response to a claim of inability to pay unless the petitioner submits: (1) federal tax returns for the most recent three-year period; (2) financial statements prepared according to generally accepted accounting practices (“GAAP”); or (3) some other reliable and objective documentation that accurately reflects the petitioner’s current financial status. Any claim of inability to pay must specifically identify the basis for the claim by reference to the financial documentation submitted. 17 47 U.S.C. § 503(b); 47 C.F.R. §§ 0.111, 0.204, 0.311, 0.314, 1.80, 11.35. 18 See 47 C.F.R. § 1.1914. 19 47 C.F.R. §§ 1.16, 1.80(f)(3). Federal Communications Commission DA 11-1977 5 14. IT IS FURTHER ORDERED that a copy of this Notice of Apparent Liability for Forfeiture and Order shall be sent by Certified Mail, Return Receipt Requested, and regular mail, to Media Mining Group, LLC, 25 Central Park W., #17U, New York, NY 10023. FEDERAL COMMUNICATIONS COMMISSION James T. Lyon District Director San Diego District Office Western Region Enforcement Bureau