FCC Ruling Update


To begin, I want to thank those of you who sent letters to the FCC to object to the proposed rule changes regarding cable operators “in-kind contributions.”  As always your support is very important and much appreciated.

On August 1, 2019, the FCC adopted its new rules that changes how cable franchise fees can be determined for purposes of the federal franchise fee cap at 5% of cable services.  Most significantly, the new FCC rules permit the value of “in-kind contributions” to offset the monetary payment of franchise fees.  For example: I Presume that monetary payment of franchise fees is $10,000, and cable operators claim “in-kind contributions” to the amount of $8,000.  The  cable operator’s payment of franchise fees is now $2,000.  As you can see from this simple example, the effects of the new rules can and will have significant adverse impact to the operations of PEG access organizations like ‘Ōlelo.

The new rules will become effective 30 days after publication in the Federal Register.  Any challenge to the rules cannot be initiated until after the rules become effective.  To date, we understand the new rules have not yet been published.   As you know, we have been and will continue to work with the other PEG organizations in Hawai’i and our national organization – Alliance for Community Media to address and challenge the new rules.  We will also continue to keep you updated on our efforts whenever there is news to report.

This year marks the 30th anniversary of ‘Ōlelo.  As we have done in the past with your help, we will  continue to provide the highest level of services to you and our communities and to building capacity for the future of ‘Ōlelo to serve our island for another 30 years!

On behalf of all of us at ‘Ōlelo, Mahalo for you continued support and engagement.

All the best,

Sanford Inouye
President & CEO
‘Ōlelo Community Media