I. Introduction
Thank you for applying to the NCTC
Membership Eligibility Criteria: Our Bylaws limit Membership to facilities-based providers of video and/or broadband services that deliver last mile service via a terrestrial network to consumers or businesses for the purposes of supporting the telecommunications services industry. Our Bylaws also require us to evaluate applicants based on a number of criteria including financial responsibility, technical ability/experience, adequate facilities, compliance with our current agreements and other items. Questions in the Application give us the minimal information to evaluate the Applicant’s ability to meet the eligibility requirements.Types of companies that could be eligible for Membership include ISPs, Electric Cooperatives, Regional Fiber Networks, Municipalities, WISPs that provide service via terrestrial networks or any affiliate or subsidiary controlled by an existing Member that provides video and/or broadband services via a terrestrial network. But at this time, NCTC is not accepting applications from OTT providers, satellite video or broadband providers, pure WISPs and wireless voice and data service providers.
Per the NCTC Bylaws, the term "Member" represents two membership categories: Content Affiliate and Technology Affiliate.
Content Affiliate: Applicants are currently or intend to offer video services and are applying with the intention of participating in the master agreements NCTC negotiates with the programming networks for linear video content access, with suppliers and vendors for discounted pricing on products and services and with carriers for competitive rates on IP transit and transport (point-to-point), managed Wi-fi and smart home services.
Technology Affiliate: Applicants do not currently intend to offer video services and are applying with the intention of participating in the master agreements NCTC negotiates with streaming content providers that allow for Technology Affiliates (currently includes Amazon, Cheddar, Curiosity Stream, MobiTV, FuboTV, Hopster, Hulu, Vu-IT, Philo and Zone TV), with suppliers and vendors for discounted pricing on products and services and with carriers for competitive rates on IP transit and transport (point-to-point), managed Wi-fi and smart home services.
Services Offered to Members: Below provides more information on the types of agreements NCTC negotiates for the benefit of our Members.
- Linear Video Content (Programming) – Competitive pricing and terms with more than 200 networks, consisting of large media companies, independent networks, and broadcast station owners, as well as the following efficiencies:
- NCTC manages all aspects of content provider billing and provide a consolidated breakdown of monthly fees for each Member.
- NCTC works with content providers to secure marketing dollars and/or promotional support opportunities.
- NCTC provides guidance and forecasting tools to help Members manage costs.
- NCTC provides guidance and overview of new agreements through the use of webinars, notices and direct one-on-one communication.
- Equipment and Services (Group Purchasing) - Competitive pricing on products ranging from fiber cable and CPE hardware to video solutions from nearly 100 suppliers offering thousands of products to our Members along with the following efficiencies:
- Dedicated webstore serves as a one-stop shop for hardware, software and services.
- Members work with a single point of contact at NCTC for purchases from multiple suppliers and for multiple products.
- Advanced Technology and Platforms (Video Solutions) - Competitive rates with companies offering technologies that allow Members to provide their subscribers with an intuitive, multi-screen experience and improve their product margins.
- NCTC develops solutions that meet consumer demands for more flexibility, more choices and more interactivity.
- NCTC negotiates and maintain agreement with strategic partners in the advanced video platform space.
- Agreements include efficiencies normally only available to large providers including full launch support, fast-tracking of OTT provider/app deals, a managed road map and NCTC expertise on the platforms.
- Internet Software and Access (Broadband Solutions) - Competitive rates on IP transit and transport (point-to-point), managed home Wi-Fi and smart home services.
- NCTC negotiates agreements with strategic carriers and CPE partners to obtain lower rates, better terms and dedicated support.
Membership is No Guarantee of Access to Master Agreements: As each master agreement with programmers. hardware and/or service suppliers and broadband carriers has its own participation requirements, an Applicant granted membership in the NCTC has no guarantee that it shall be permitted to patriciate in any master agreement as the Member may not qualify to participate in one or more master agreements. Please note, the linear video content agreements NCTC has with the programming networks, do not include express wireless delivery rights. Therefore, a company utilizing a wireless delivery method for video content will more than likely only qualify for those benefits available to Technology Affiliates of NCTC.
The grant of membership may be conditioned upon the Applicant satisfying and completing certain requirements or providing NCTC additional information.
Time Limit to Participate:
Content Affiliates: Within 365 days after the effective date of the NCTC Member Agreement, Member must meet the following:
- 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) and at least one (1) other master programming agreement of the Member's choosing.
- For the remainder of the Member Agreement's term, if participation falls below minimum requirement, membership shall "sunset"
- Member may not opt into new agreements or renew existing agreements as they expire without NCTC's approval
- Once last agreement Member participated in expires, membership shall be inactivated for non-participation
- Make expenditures for hardware or broadband services (not including programming) through NCTC's Group Purchasing Department of at least $10 per the total number of video subscribers being reported to NCTC on the 1 year anniversary of the NCTC Member Agreement
- Minimum purchase requirement is for only the first year of Membership.
Technology Affiliates: On an annual basis, each Technology Affiliate is asked to spend a minimum of 5% of the company's annual non-labor capital expenditures each fiscal year in equipment, advanced platform and/or broadband solutions services through NCTC. A minimum participation fee shall be charged each year that will be generated by the purchases a Technology Affiliate makes through NCTC.
- The minimum participation fee shall be calculated in accordance with the following schedule. NCTC will request each Technology Affiliate to provide their annual non-labor capital expenditures by November 1st every year and a fee schedule shall be issued for the following year.
- Under $30M non labor capital expenditures: $7,500 annual fee
- $30M - $50M non labor capital expenditures: $15,000 annual fee
- Above $50M non labor capital expenditures: $25,000 annual fee
Minimum Data Reporting Requirements:
- For Content Affiliates:
- Report the company's total number of video subscribers by the 25th of every month to 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.
- Designated Advantage Administrators verify the contact NCTC have on file are accurate or provide any necessary updates, by January 1st 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.
- Report the company's non-labor capital expenditures by November 1st of each year to calculate the minimum spend amount.
- Designated Advantage Administrators verify the contacts NCTC have on file are accurate or provide any necessary updates by January 1st each year.
Costs and Fees:
- An Application Fee of $1,000 is payable to National Content and Technology Cooperative, Inc.
- Applicants that are offered Membership in NCTC will have their $1,000 Application Fee applied to their Initial Membership Fee.
- The Initial Membership Fee is calculated with the following information requested in the application:
- Content Affiliates: $1.00 per the projected number of video homes passed in the applicant's intended service area in 2 years. With a minimum of $5,000 and a maximum of $100,000.
- Technology Affiliates: $.50 cents per the projected number of broadband homes passed in the applicant's intended service area in 2 years. With a minimum of $3,500 and a maximum of $100,000.
- Service fee for equipment purchase orders (*with exception of Plume pods due to the 3% fee associated with this equipment item)
- For Content Affiliates:
- There is a 1% service fee added to all equipment order invoices before shipping and taxes and is capped at $7,500 per calendar year
- For Technology Affiliates:
- There is a 1% service fee added to all equipment order invoices before shipping and taxes, but does not include an annual cap.
- 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 provide a reasonable estimation of 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 in accordance with such schedule as may be adopted by the Board of Directors or fees as may be determined by the President (Section 2.07). At the present time, NCTC is not imposing annual dues.
Instructions Summary
Time to Complete the Application: If you have all the information at your fingertips, NCTC expects this application should take about 1 hour to complete. Based on your answers, NCTC may request supplemental information to different areas of your application (i.e. distribution methodologies, financial review and/or parent and subsidiary entities). NCTC reserves the right in its sole discretion to charge a supplemental amount to the application fee if NCTC must repeatedly go back to the applicant for missing or incomplete information. Accordingly, please complete all questions thoroughly. Please provide the appropriate documents where indicated. All responses shall be considered confidential.
Confidentiality: All responses shall be considered confidential and will only be shared with NCTC employees authorized to review the material consistent with NCTC’s Confidentiality Policy.
Please complete the application questions. If you need to save your application and come back to it, you may do so by completing the following steps:
- Click on the Save and Resume Later link at the bottom of each section of the application
- Either copy the link Formstack creates to your saved work or provide a valid email address for Formstack to email you the link it creates to your saved work.
- You can use the link anytime within 30 days to resume answering questions
- Signatures, and file uploads are not retained in saved work for security purposes and will need to be resubmitted
- Without a valid link, the data you have entered cannot be retrieved and you will have to start filling out the application from the beginning.
Once you have completed the application, please click the Submit Application button. The Application Review process will begin when NCTC has received all of the information requested in the Application and the $1,000 Application Fee. The fee can be mailed to NCTC at:
Attn: Member Services
11200 Corporate Ave
Lenexa, KS 66219
If you should have any problems, please contact Hilary Baldwin, NCTC’s Member Service Specialist at (913) 310-1528 or hbaldwin@nctconline.org