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Cost and Fees

• An application fee of $1,000 is payable to National Content & Technology Cooperative (“NCTC”)
• Applicants offered membership in NCTC will have their $1,000 application fee applied to the initial membership fee.
• The initial membership fee is calculated with the following information requested in the application:
  • Content Affiliates: $1 per the projected number of video homes passed in the applicant’s intended service area in two years, with a minimum of $5,000 and a maximum of $100,000.
  • Technology Affiliates: $0.50 per the projected number of broadband homes passed in the applicant’s intended service area in two years, with a minimum of $3,500 and a maximum of $100,000.
• There may be additional requirements for membership based on answers provided in the application. As a result, there may be other fees, dues, charges or costs associated with membership, participation, the membership application or the membership activation process, such as:
  • Any expenses incurred by NCTC, including legal expenses, shall be the responsibility of the applicant. NCTC will reasonably estimate said expenses in the event they are necessary.
  • Pursuant to its bylaws, NCTC shall not admit a new member owning, operating or controlling any telecommunications system for which any payment to NCTC has not been paid or resolved by any predecessor entity.
• The NCTC bylaws provide provisions for NCTC to impose annual dues per such schedule as may be adopted by the board of directors or fees as may be determined by the president (section 2.07). NCTC is not currently imposing annual dues.

Disclosures and Disclaimers

• Confidentiality: All responses are confidential and will not be shared.
• Application Changes: While NCTC tries not to make changes to the application often, NCTC reserves the right to change the application at any time. In the event there is a change to the application, NCTC shall notify the applicant and the applicant shall be responsible for completing the most up-to-date application.
• Membership is No Guarantee of Access to Master Agreements: As each master agreement with programmers, hardware and/or service suppliers has its own participation requirements, an applicant granted NCTC membership has no guarantee that it shall be permitted to participate in any master agreement, as the member may not qualify to participate in one or more master agreements.
• Minimum Data Reporting Requirements:
  • For Content Affiliates:
    • Report the company’s total number of video subscribers monthly so NCTC can generate the company’s monthly programming content invoice.
    • Report the company’s total number of broadband subscribers, if any, by May of each year to calculate the number of votes allotted to the company. Votes may be used to elect NCTC board of directors and other official business.
    • Designated Advantage Administrators (e.g. NCTC’s primary contact) verify the contacts NCTC has on file are accurate or provide any necessary updates by Jan. 1 each year.
  • For Technology Affiliates:
    • Report the company’s total number of broadband subscribers, if any, by May of each year to calculate the number of votes allotted to the company. Votes may be used to elect NCTC board of directors and other official business.
    • Designated Advantage Administrators (e.g. NCTC’s primary contact) verify the contacts NCTC has on file are accurate or provide any necessary updates by Jan. 1 each year.

Minimum Participation Requirements:

For Content Affiliates: Within 365 days after the effective date of the NCTC member agreement, the Content Affiliate must meet the following requirements:

• Maintain participation in at least two (2) master agreements with programmers from the network family groups (currently A&E, Discovery/Scripps, Disney/ESPN, Fox Cable Networks NBCUniversal, Turner Networks and Viacom; subject to change and verification in the offer of membership letter) and at least one (1) other master programming agreement of the member’s choosing for the remainder of your membership with NCTC.
• For only the first year of membership, purchase at least $10 per the total number of video subscribers reported to NCTC on the one-year anniversary of the member agreement in equipment, advanced platform and/or broadband solutions services.

^{*There is a 1% service fee added to all equipment order invoices before shipping and taxes, which is capped at $7,500 per calendar year.}

For Technology Affiliates: Maintain participation in at least 1 of the following agreement categories that include recurring monthly charges (Managed Wi-Fi, MVNO, Network Broadband Solutions, Transit & Transport, Video Solutions, Connectbase, and Video Delivery Platforms) or each calendar year, make purchases of hardware and/or technology through NCTC’s Marketplace procurement website in the amount of $5 per the number of broadband subscribers the company was billing at the end of the prior year. If the MPR is not met in any year, NCTC shall invoice the Member at the beginning of the following year for the difference.

*NCTC will prorate the MPR amount on a quarterly basis and the effective date provided on the NCTC Member Agreement for the first year of Membership.