Sec. 76.977  Minority and educational programming used in lieu of 
          designated commercial leased access capacity.

    (a) A cable operator required by this section to designate channel 
capacity for commercial use pursuant to 47 U.S.C. 532, may use any such 
channel capacity for the provision of programming from a qualified 
minority programming source or from any qualified educational 
programming sources, whether or not such source is affiliated with cable 
operator. The channel capacity used to provide programming from a 
qualified minority programming source or from any qualified educational 
programming source pursuant to this section may not exceed 33 percent of 
the channel capacity designated pursuant to 47 U.S.C. 532 and must be 
located on a tier with more than 50 percent subscriber penetration.
    (b) For purposes of this section, a qualified minority programming 
source is a programming source that devotes substantially all of its 
programming to coverage of minority viewpoints, or to programming 
directed at members of minority groups, and which is over 50 percent 
minority-owned.
    (c) For purposes of this section, a qualified educational 
programming source is a programming source that devotes substantially 
all of its programming to educational or instructional programming that 
promotes public understanding of mathematics, the sciences, the 
humanities, or the arts and has a documented annual expenditure on 
programming exceeding $15 million. The annual expenditure on programming 
means all annual costs incurred by the programming source to produce or 
acquire programs which are scheduled to be televised, and specifically 
excludes marketing, promotion, satellite transmission and operational 
costs, and general administrative costs.
    (d) For purposes of paragraphs (b) and (c) of this section, 
substantially all means that 90% or more of the programming offered must 
be devoted to minority or educational purposes, as defined in paragraphs 
(b) and (c) of this section, respectively.
    (e) For purposes of paragraph (b) of this section, ``minority'' is 
defined as in 47 U.S.C. 309(i)(3)(c)(ii) to include Blacks, Hispanics, 
American Indians, Alaska Natives, Asians and Pacific Islanders.

[ 58 FR 29753 , May 21, 1993, as amended at  62 FR 11382 , Mar. 12, 1997]