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Guidelines for Applying for
a STV (Cable) Licence

1. All prospective applicants for STV licenses are required to satisfy the Commission that they have

a. the ability to adequately staff the business, technically and administratively;
b. a business plan for the viable operation of the
business;
c. the capability to offer the service for at least eight continuous hours per day;
d. secured the relevant permission or have entered into agreements or arrangements necessary for the operation of the business;
e. an implementation plan and a timetable for the
provision of service in the area for which application is made;
f. the capacity to meet the technical standards set out in the Second Schedule; and
g. the capacity to offer a minimum of ten channels to each subscriber.

REQUIRED DOCUMENTS

2. Applicants are required to submit the following documents:

a. Copies of:
  •  Certificate of Incorporation
  •  Articles of Association
  •  Memorandum of Association
  •  Articles of Incorporation
b.  The prescribed application form
c. clearly labeled technical information in keeping with the requirements of the application form
d. Jamaica Public Service Co. Ltd. Application form for Attachment to Utility Poles
Note: Pole maps are not to be included in this
application
e. Business plan – The following documents are
required:
  • Trading, Profit and Loss Account
  • Projected Balance Sheet (Years one and two)
  • Projected Revenue Schedule
  • Projected Expense Schedule (Establishment
    operating and Administration)
  • Projected Cash Flow Schedule
  • Loan Repayment Schedule
f. An implementation plan and timetable for the
provision of service in the area(s) for which
application is made
g. Certified copy of list of Directors (Form 23)
h. Permits for programming use:
- Letters of intent
- Properly executed contracts

RECEIPT OF APPLICATIONS

3. As an applicant you are responsible for ensuring that you submit all the necessary documents. However, the Commission will verify, on receipt, that a complete package has been presented. If your application is missing any documents, the Commission will immediately advise you what materials need to be provided before your application can be evaluated. Please note that at this point the Commission officers only verify completeness. This is NOT A GUARANTEE that your application meets the required standards for the Commission's recommendation that you be granted a licence by the Minister.

FORM OF PRESENTATION

4. Applicants must ensure that the material submitted is clear and self explanatory. Applicants should focus their efforts on the specific requirements as detailed in the Regulations and application forms and should not submit information not asked for. Where necessary, documents
and diagrams must be labeled with diagram keys. The Evaluation Committees will not attempt to guess the meaning of unmarked and/or ambiguous diagrams and maps. The use of contrasting colours on diagrams is particularly helpful.

5. Submitted documents should be collated, in sequence and should be secured firmly e.g. with staples or bull dog clips. The documents presented should be labeled and each application package should be numbered and
parceled separately. A list of documents, or a content list, should be included in the application package. The evaluation committees will not attempt to identify pages out of sequence. The suggested sequence of documents is:

a. list of contents
b. documents of incorporation
c. application form with technical checklist
d. a business plan
e. implementation plan
f. Jamaica Public Service Co. Ltd Application Form for Attachment to Utility Poles.
g. All other supporting documents
   

 

6. Applicants must ensure that all information requested on the prescribed forms is provided, including signatures and certifying stamps or seals.

 

7.  Applicants must ensure that all written instructions in the regulations and on the Application forms are noted and followed.

TECHNICAL REQUIREMENTS

8. Personnel

The Applicant must demonstrate the ability to hire an adequate number of appropriately trained technical staff. Applicants should note that the regulations clearly state that the Licensee shall employ, and keep employed at all times, a Chief Technical Officer. Applicants are advised that persons employed as a CTO with one licensee, cannot hold the same position with any other licensee. Note also that the application form asks for a list of engineers, technicians and pole line men on staff, along with their qualifications. A list of proposed staffing may be submitted in a separate document, or included in the implementation plan.

9. Zone Layout

Applicants must clearly define the zone(s) for which they are applying. The zone layout must show the cable layout within the zones including the head end location.

10.Block and Signal Level Diagram

The block and signal level diagram is a critical component of the technical submission, and it is important that the diagram be clear, easily understandable, and properly labeled. The diagram should be clearly annotated with information to display and depict the following:

a. Head End. AU parts of this system must be clearly
labeled, and the annotations should provide explicit, understandable information on the:

1. frequency and number of channels inserted into
    thetrunk system

2. Standard channel band
b. Trunk Cable System. The diagram must show the
distribution of amplifiers along the cable and the
separation distance between amplifiers. Annotation must clearly show the
:

1. size of the cable

2. gain of amplifiers

3. attenuation along the cable

4. input and output signal levels of trunk amplifiers in dBmV.

c. Feeder cables. The diagram must show how these
cables split from the trunk cable, the dispersal of
feeder amplifiers, or the extenders along the cable
and the separation distance between amplifiers.
Annotation and/or quantitative notes must clearly
show the:

1. size of the cable

2. gain of amplifiers

3. attenuation along cable

4. input and output signal levels of distribution amplifier in dBmV

5. dispersal along the feeder cable of taps and multi-taps and the typical distance between them.

d. Test Drop. The diagram may demonstrate at least one subscriber residence "drop". The schematic annotation and notes must clearly provide information on:
1. the customer tap

2. the size of flexible drop cable

3. converters and descramblers (where applicable)

11. Head-end- Site Plan

This plan view of the head-end location must show the major buildings and structures within the site, as well as walls, fences, poles, antenna and other significant structures.

12. Head-end Equipment Block Diagram

The diagram must show channel allocations and use of encryption equipment combiners, modulators and other significant components.

13. Customer Service Facilities

Customer service facilities such as telecommunications
equipment, service vehicles and decoders for channels presenting adult programming should be clearly listed.

14. Technical Checklist

The technical checklist is to be filled out, cross checked with the actual documentation, and signed and stamped with the company seal.

15. Children’s Code for Programming

Information on the technology to be used to implement the Code such as negative traps or addressable system should be provided. Also, the Commission must be advised which member/s of staff will be responsible for rating of channels and coordinating information on channel rating to be supplied to subscribers.

FINANCIAL REQUIREMENTS

16. It is important that information is arranged in an orderly manner to facilitate an understanding of the business plan.

17. The financial statements must be checked for any errors in calculations.

18. All financial information requested must be submitted.

19. To enable proper evaluation of applications, it is critical that all assumptions used in arriving at the projected revenue and expenses are clearly documented. Assumptions must be realistic.

20. Financing

It is important that adequate information regarding the financing of the Company is made available e.g. the amount of capital the shareholders will inject into the company. The business plan must show how any possible shortfall will be met if the capital is not adequate to operate the business. If the company is to use debt capital, e.g. loans, to fund the shortfall, the terms of the loans must be stated, and commitment letters made available.

21. Operating Costs

The operating costs must be clearly outlined and as much documentation as possible should be presented to support assumptions made in arriving at the costs. It is important that the projected costs are consistent with the level of operation. If the project is to be financed partly by debt capital, e.g. loans, the projected profit and loss statement should include the cost of interest and other charges.

NOTE: Allocation should be made for the payment of annual licence fees which is 5% of all fees received from
subscribers. These costs must include allocation for
expenditure on technology to be used in the implementation of the Children’s Code for Programming.

22. Revenue

The projected revenue must be consistent with the projected number of subscribers and assumed rate.

23. Cash Flow

The cash flow proposed in the business plan must be consistent with expected revenue and projected expenses. It must also incorporate all loan proceeds and repayments (if any).

24. Profit and Loss

It is important to ensure that all items included as expenses are genuine expense items. In particular, the repayment of loan principal cannot be considered as an expense and therefore should not be included in the expense items.

25. The Balance Sheet

The figures must be consistent with all other projections made. For example, if all equipment is not purchased in the first year of operation, the equipment purchased in subsequent years should not be included in the first year's projected balance sheet.

GENERAL SUMMARY

26. It is intended that the information presented in these guidelines should assist applicants in fulfilling the criteria required for a complete and easily understandable application. The substance of the material submitted
should be checked on a point by point basis against the requirements of the regulations, the application form and these guidelines.

Glossary

Application - all of the materials submitted by each applicant together comprise an application.

Balance Sheet - this outlines the company's assets and liabilities at a specific point in time.

Block and Signal Diagram - a schematic drawing which is a true representation of the applicant's cable system to be installed and operated in the defined zone/s for which the applicant is seeking a licence.

Cash Flow - the total inflows and outflows of funds.

Distribution Plant - the hardware of a cable system consisting of the trunk cable and feeder lines, attached to utility poles or fed through underground conduits.

Feeder Line - the intermediate cable distribution lines that connect the main trunk to the smaller house drops that leads to residence.

Head-End - the output of the head end distribution system that transmit the signal into the trunk cable system and the electronic control centre, generally located at the antenna site of a cable TV system.

Head-End Equipment Block Diagram - this diagram represents the deployment
of the head-end equipment from TVRO antenna to the trunk launch amplifier.

House Drop - the coaxial cable that connects each building or home to the nearest feeder line of a cable network.

Main Trunk - the major link from the head-end to feeder lines.

Profit and Loss - the profit and loss statement identifies the profits or deficits arising from operation.

Signal-To-Noise Ratio - the ratio of the signal level to the noise level with both measured either at the input or output of the electronic equipment, usually
expressed in decibels (dB).

Trunk Line - the major distribution cable used in hardwire STV. It divides into
feeder lines which are tapped for service to subscribers.

Television Receive Only (TVRO) - a satellite system that can only receive but not transmit signals.

 

For more information on the Broadcasting Commission, check other sections of our website or email us at: email

 

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Page Last Updated: June 05, 2008