Arizona radio stations ask FCC for looser underwriting rules

The licensee of KJZZ and KBAQ in Phoenix has asked the FCC for temporary permission to sidestep the agency’s rules governing language in underwriting announcements in a test of whether “enhanced” sponsor messages could boost income. In a March 18 letter to the FCC, the Maricopa County Community College District proposed a three-year trial window “to conduct a limited and controlled demonstration project to test a modified loosening of the Commission’s enhanced underwriting policies.” Under the looser rules, KBAQ and KJZZ would air announcements that include:

“factually accurate information concerning interest rates available at underwriter banks, credit unions, automobile dealerships, and other local businesses”;
notification of sales and special events such as discounts and promotions; and
qualitative adjectives based on factual data, such as “certified,” “accredited,” “award-winning,” “experienced” or “long-established.”

During this experimental phase, the stations would monitor listener satisfaction and revenue resulting from the enhanced announcements. If sales rose and listeners accepted the new language without complaint, other public radio stations could adopt the looser rules as well, the college district suggested. In the letter, submitted by communications attorney Ernie Sanchez, the college district cited the need to experiment as stations grapple with cuts in state funding, declines in underwriting revenue and the possible elimination of federal support for public broadcasting. “Could public radio stations remain financially viable, even with diminished federal funding, if the guidelines were simply relaxed or — expressed another way — enhanced somewhat more than previous levels?” the letter asked.

Two Native tribes are first to benefit from FCC rules favoring tribal applicants

Native tribes in New Mexico and Arizona are the first to benefit from the FCC’s Tribal Radio Priority, a provision created by the commission to help tribal entities start new radio stations. The FCC announced March 1 that it set aside FM allotments for Navajo Technical College in Crownpoint, N.M., and for the Hualapai Tribe in Peach Springs, Ariz. Allotments serve as placeholders for future FM stations; the tribes must now wait until the FCC opens a filing window and accepts their applications for construction permits. The commission created the Tribal Radio Priority provision in 2010, establishing standards by which Native tribes could be given priority in securing licenses for AM and FM stations. “The need for Tribal radio stations is clear,” wrote Geoffrey Blackwell, chief of the FCC’s Office of Native Affairs and Policy, in a blog post announcing the allotments.

FCC will allow low-power FMs in urban markets, accept applications in October 2013

The FCC adopted new rules today regarding low-power FM stations, paving the way to accept a wave of applications for new LPFMs in October 2013. Under the rules, the FCC will allow LPFMs on second-adjacent frequencies to full-power FM stations if the low-power applicant provides evidence that the new station will not cause interference. These second-adjacency waivers will allow for more low-power stations in big cities where the FM band is more crowded. Other provisions of the Report and Order adopted today include:

A modified point system that will give an edge to Native applicants and to LPFMs with a staffed main studio and local programming;
Permission of cross-ownership of an LPFM station and up to two translator stations;
And an allowance for tribal nations to operate more than one LPFM. The Prometheus Radio Project, which advocates for low-power radio, estimates that the number of LPFMs in America could double or triple after the next filing window.

Grants bolster Native radio program services

Two foundations will back capacity-building for Koahnic Broadcast Corp., the public media nonprofit that operates KNBA in Anchorage, Alaska, and Native Voice One, the New Mexico-based producer and distributor of national shows Native America Calling and National Native News, among others. The grants, totaling $375,000, are intended to strengthen Koahnic’s Native radio programming, marketing and distribution services. The Ford Foundation committed $300,000 to the initiative over three years, and the Nathan Cummings Foundation provided the balance in a one-year grant, according to Jaclyn Sallee, Koahnic president. Koahnic and Native Voice One serve a growing but economically fragile field of tribal stations. They added 11 new affiliates over the past year and anticipate more new tribal stations in Louisiana, Idaho and New York, according to the grant announcement.

Justice Dept. asks Ninth Circuit to reconsider pubcasting ad decision

The U.S. Department of Justice is asking the Ninth Circuit Court to reconsider its April decision that a federal law banning public television and radio stations from running political advertising was unconstitutional. In its June 29 filing, the Justice Department argued that the finding “threatens the fundamental nature of public broadcasting.”

In Minority Television Project v. FCC, a three-judge panel of the Ninth Circuit voted 2-1 to overturn the ban in the case brought by the longtime licensee of noncommercial San Francisco station KMTP-TV (Current, April 23). The Justice Department’s appeal to the full court argues that that the panel majority “applied erroneous legal standards and misinterpreted the record” to reach their conclusion. “Federal law has consistently precluded public television licensees from airing paid advertisements,” the Justice Department’s filing contends. “The reasons for this are straightforward and uncontested: public broadcasters provide educational programming (particularly high-quality children’s programming) that is not available on commercial stations and subjecting public stations to advertisers’ market pressures would undermine their ability to provide such programming.”

FCC to clear translator backlog, create new LPFMs

The FCC took another step March 19 toward licensing more low-power FM stations, a move long advocated by community radio leaders. The agency will work through a backlog of thousands of applications for FM translators under a new system that it formally adopted, modifying a proposal floated last summer (Current, July 25, 2011). The pending translator apps must be processed before any new LPFM licenses can be awarded. The commission will toss out FM translator apps in larger markets to make way for LPFMs in those areas while continuing to process requests for translators in less-populous areas. Applicants can seek no more than 50 translator licenses nationwide, a new limitation cracking down on speculative filings seen in the past (Current, March 28, 2005).

As expected, FCC decides to sunset analog/digital viewability rule

The FCC is officially ending its viewability rule, which required cable operators with analog/digital systems to deliver must-carry TV stations in both formats, reports Broadcasting & Cable. Broadcasters wanted  the FCC to extend the requirement another three years, but the cable industry backed the FCC proposal to sunset the rule. Cable operators must still provide dual carriage for a six-month transition period and give customers 90 days’ warning before ending analog transmissions. If too many consumers complain, the FCC may reinstate the requirement.The National Association of Broadcasters “remains concerned” that the decision “has the potential to impose negative financial consequences on small local TV stations that are a source for minority, religious and independent program diversity across America,” said Dennis Wharton, NAB spokesperson. Those stations had protested the end of analog signals.

Underwriting drop leaves NPR with $2.6M shortfall

Facing an operating deficit of $2.6 million this fiscal year due to a shortfall in corporate sponsorship income, NPR is stepping up efforts to cover the gap with additional gifts, grants and underwriting. These measures are being taken rather than “cutting deep into NPR,” a spokesperson told Current last week, after the Washington Post reported that the network had considered cutting Tell Me More, the daily newsmagazine aimed at people of color. The Post’s report cited anonymous sources describing internal discussions. NPR President Gary Knell later told media outlets that there were no plans to cancel the show. NPR hit a record high in corporate sponsorship income last year but is now struggling, with a variety of factors contributing to the slowdown in sponsorship revenue.

Advocates press FCC to open more channels for LPFMs

NPR, the National Association of Broadcasters and advocates for low-power radio expressed opposing views to the FCC in a proceeding that will shape the future of the commission’s expanding class of low-power FM broadcasters. For the second time since it created the LPFM service in 2000, the FCC has been preparing to accept another round of applications from would-be LPFM operators. In March the commission asked broadcasters and other stakeholders to comment on changes that it may implement before granting the next wave of low-power licenses. The licenses go strictly to noncommercial operators, and so far have permitted stations of only up to 100 watts. This time the stakes are particularly high for LPFM hopefuls, as the commission expects all available LPFM frequencies may be exhausted in the next application window.

Court would let public stations sell candidate and issues ads

No, there won’t be any windfall of Obama and Romney Super PAC gazillions for public stations this year. By a 2–1 vote, a three-judge panel of the U.S. Court of Appeals in San Francisco did indeed rule April 12 that public broadcasters can carry political and public-issue commercials, but the decision is unlikely to take effect any time soon, even in the Ninth Circuit states of the West. Neither side in Minority Television Project v. FCC got everything it wanted in the decision, so one or the other could ask the appeals court for a review by a larger panel of its judges even before the District Court implements the appeals court’s order. For Minority Television Project, licensee of San Francisco pubTV station KMTP, the court decision left standing the main legislation that bars untrammeled advertising on public stations. The low-profile non-PBS station, which fills much of its four DTV multicast channels with German, Chinese, South Korean and other imported or foreign-language programs, went to court after the FCC fined it $10,000 for violating that law 1,900 times between 1999 and 2002.

With FCC’s eye on Daystar, WMFE-TV sale nixed

The FCC has delayed decisions on two transactions involving sales of public TV stations to Daystar Television Network to examine whether the religious broadcaster meets its criteria for localism and educational programming by noncommercial broadcasters. The scrutiny scuttled a deal involving WMFE in Orlando, pending for nearly a year, and held up a decision on KWBU in Waco, Texas. Daystar, a Texas-based religious network, has been in the market for public TV stations since at least 2003, when it paid $20 million for KERA’s second TV channel in Dallas. It most recently bid on KCSM in San Mateo, Calif. The WMFE sale fell apart after the FCC sent queries to the local entities that had been set up to operate the Orlando and Waco stations.

As NBC partners, pubmedia may expand reporting, visibility

NBC will share stories, resources and content distribution with two public broadcasters, ProPublica and two local nonprofit newsrooms under the FCC agreement clearing Comcast’s 2011 takeover of NBC Universal. If the preexisting, five-year collaboration between NBC-owned KNSD in San Diego and the nonprofit Voice of San Diego news site is anything to go by, news consumers may see real benefits. Boosting NBC Universal stations’ local content through partnerships with nonprofit news organizations was one of the conditions placed on the network to complete its deal with Comcast. ProPublica, the Pulitzer-winning investigative enterprise that frequently partners with other top news outlets, will work with WNBC-TV in New York, as well as with all 10 NBC-owned stations in the country. In other metro areas, WCAU in Philadelphia will work with pubcaster WHYY, and KNBC in Los Angeles with team up with public radio station KPCC, operated by a sister organization to American Public Media.

CPI hires four, Abumrad gets $500K MacArthur fellowship, three join FCC panel, and more…

Ellen Weiss, the NPR News chief who took the network’s blame for the Juan Williams affair, has joined the Center for Public Integrity as its executive editor as of Oct. 3, the watchdog newsroom announced. The center is headed by one of her predecessors at NPR, Bill Buzenberg. “Ellen Weiss is one of the best and most creative news executives in the business,” he said in a news release. CPI hired three other top editors, including Christine Montgomery, the center’s new chief digital officer, who was managing editor of PBS.org for two years while it expanded and then sharply reduced its online-news plans.