Gazing Into the Crystal Ball - What Washington Has In Store For Broadcasters in 2013

Every year, about this time, I dust off the crystal ball to offer a look at the year ahead to see what Washington has in store for broadcasters. This year, like many in the recent past, Washington will consider important issues for both radio and TV, as well as issues affecting the growing on-line presence of broadcasters. The FCC, Congress, and other government agencies are never afraid to provide their views on what the industry should be doing but, unlike other members of the broadcasters' audience, they can force broadcasters to pay attention to their views by way of new laws and regulations. And there is never a shortage of ideas from Washington as to how broadcasters should act. Some of the issues discussed below are perennials, coming back over and over again on my yearly list (often without resolution), while others are unique to this coming year.

Last week, we published a calendar of regulatory deadlines for broadcasters.  This article looks ahead, providing a preview of what other changes might be coming for broadcasters this year – but these are delivered with no guarantees that the issues listed will in fact bubble up to the top of the FCC's long list of pending items, or that they will be resolved when we predict. But at least this gives you some warning of what might be coming your way this year. Issues unique to radio and TV, and those that could affect the broadcast industry generally, are addressed below.

General Broadcast Issues

 

There are numerous issues before the FCC that affect both radio and television broadcasters, some of which have been pending for many years and are ripe for resolution, while others are raised in proceedings that are just beginning. These include:

 

Multiple Ownership Rules Review: The FCC is very close to resolving its Quadrennial review of its multiple ownership proceeding, officially begun in 2011 with a Notice of Proposed Rulemaking. The rumors were that the FCC was ready to issue an order at the end of 2012 relaxing the rules against the cross-ownership of broadcast stations and newspapers, as well as the radio-television cross-interest prohibitions, while leaving most other rules in place. TV Joint Sales Agreements were also rumored to be part of the FCC's considerations – perhaps making some or all of these agreements attributable. But even these modest changes in the rules are now on hold, while parties submit comments on the impact of any relaxation of the ownership rules on minority ownership. Still, we would expect that some decision on changes to the ownership rules should be expected at some point this year – probably early in the year. 

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The Care and Feeding of the Broadcaster's Public Inspection File - An FCC Reminder and a Compliance Seminar

The care and feeding of the broadcaster's public file is a hot topic once again. For many years, the public file was often overlooked, being visited most often by competing broadcasters looking for dirt on their cross-town rivals, or by college journalism students assigned a project by their professor requiring the review of local stations' files. But, with the debate that occurred earlier this year over the online public file for television stations, the file has received much publicity, being the subject of review and analysis in the popular and academic press, as well as in the broadcast trade journals. This week, the FCC issued a reminder about the obligations of a television broadcaster for complying with the public file rules (see that reminder here). In the past two weeks, I've conducted two seminars for broadcast groups on the public file obligations of stations. The first was a webinar for 20 state broadcast associations and their members, organized by the Michigan Association of Broadcasters. The PowerPoint slides used in that presentation are available here.

The slides set out information about the importance of the file, and provide some description of the required contents of the file, and the retention period for documents that need to be contained in the file. Radio stations have the obligation to place all of the required documents in their local, paper files and maintain them there for the appropriate period of time. TV stations, with the advent of the FCC-hosted public file (see one of our previous posts on the mechanics of the online file here), actually have a somewhat easier time in meeting some of their obligations – as the FCC itself will post to the file all documents that stations are required to file with the FCC – including renewal and technical applications, ownership reports, children's television reports, coverage maps, the station license and the Public and Broadcasting procedure manual. Radio stations need to find all of these documents and manually place them into their files. TV stations need only upload other information that is not filed at the FCC – like Quarterly Issues Programs lists, annual EEO Public File Reports, and certifications as to the station's compliance with the Children's television commercial limits. Beyond these basics, in the seminars that I recently conducted, several other interesting questions were raised.

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FCC Sets Deadlines and Procedures for the April 2013 Auction of 112 New FM Channels - February 6 Deadline for Applications to Participate

112 new FM channels will be available in the next auction for new FM channels (referred to by the FCC as "Auction 94") to be held beginning April 23, 2013. To participate, interested parties must file their "short form" applications – setting out information about the ownership of the applicant and the channels in which they are interested – by February 6, 2003. All of the procedures for the auction are set out in the order released late Wednesday, available here. The locations of the available channels, authorizing the winners to build new FM stations  serving the named communities and the nearby area, are also set out in this attachment to the order. The notice adopts many of the same procedures set out when the Commission first proposed the auction back in September (see our article here). However, the Commission pushed the auction back the initially scheduled date for the auction by about a month to avoid religious holidays and the NAB Convention, ending up with the new starting date of April 23. The Commission also pushed back other dates associated with the auction, deleted a handful of channels that had been proposed for inclusion in the auction but had not been properly published in the Federal Register, and announced other decisions relating to the auction – all with many cautions for those who may be bidding about the possible pitfalls of the auction process.

The relevant auction dates are as follows:

Auction Tutorial Available (via Internet) .........................January 28, 2013

Short-Form Application (FCC Form 175)

Filing Window Opens .......................................................January 28, 2013; 12:00 noon ET

Short-Form Application (FCC Form 175)

Filing Window Deadline...................................................February 6, 2013; prior to 6:00 p.m. ET

Upfront Payments (via wire transfer)................................March 18, 2013; 6:00 p.m. ET

Mock Auction ...................................................................April 19, 2013

Auction Begins..................................................................April 23, 2013

The most important dates for bidders are the deadline for the submission of the "short-form" application of February 6, the date for the Upfront Payments, and of course the dates for the start of the auction itself. The short-form lists the owners, any bidding agreements that the parties have with other bidders, and the channels in which the party is interested in bidding. The bidder can also submit specific proposed transmitter site coordinates for any channel in which they are bidding, which protects those named sites from moves by other existing stations that could otherwise preclude their use.   The failure to meet this February 6 deadline means that a party cannot participate in the auction.

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Reconsideration of FCC's Rural Radio Decision - Making It Difficult to Move a Radio Station from a Rural to an Urban Area

Moving a station from a rural area into a more urban one was a fairly common occurrence until the recent recession – when the value of new "move-in" stations in many larger markets essentially collapsed. Soon after the collapse, the FCC stepped in to stop what the marketplace had already severely slowed, by effectively prohibiting the practice of moving stations into urbanized areas.  In its Rural Radio Order (which we summarized here), the Commission adopted “presumptions” that eliminated preferences that applicants had received for proposing a new service to large suburban communities, and preferences based solely on the number of people that a modified station would serve. A number of parties (including ones that I represented), sought reconsideration of the FCC’s order, challenging both the theory of the FCC order and some of the details. On Friday, the FCC issued its order on reconsideration, denying any fundamental changes in the policy, but clarifying some of the details of the showings to be made in evaluating city of license changes for broadcast stations, and also grandfathering under the old rules more of the applications that were pending when the new rules were adopted.

Before discussing the changes, it is worth reviewing the Commission’s processes for deciding which of competing proposals for new FM channels in different communities should be granted, and whether the change in the city of license of an existing station is in the public interest. These choices are governed by Section 307(b) of the Communications Act and the substantial case law that has built up at the FCC around that section. Section 307(b) requires that the Commission make a “fair, efficient and equitable” distribution of radio service among the states and communities. Over the years, the FCC has adopted standards for determining how to make this distribution – favoring applications that propose a “first local reception service” (or service to “white areas” – those that currently receive no predicted service from other stations), net favoring a second reception service, next giving a preference to those providing a “first transmission service” (i.e. a first station licensed to a community). Finally, if none of the preceding preferences come into play, the Commission looks at “other public interest factors” – usually the total population served by a proposal, including an evaluation of the other services from other stations available in both the gain and loss area of a proposed facility move (or in the proposed coverage areas of the new allotments that the Commission is evaluating). 

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FCC Announces Auction for 117 New FM Channels - And Freezes Certain FM Applications that Could Affect Those Channels

Do you want to start a new FM station?   In what seems to have become a yearly event, the FCC has released a list of 117 new FM channels to be auctioned (a list that also includes the proposed minimum bid for each channel). The FCC also issued a “freeze” on FM applications that could impact these channels. The auction itself is scheduled to begin on March 26, 2013. If the Commission follows the schedule used in the last FM auction, we should expect that the deadline for the "short-form" application to participate in the auction (which basically contains information about the ownership of the applicant and a list of the channels in which they are interested) will be due in early 2013, likely sometime between January 1 and January 15, 2013. The upfront payment of the necessary minimum bids would then likely be due around February 20, 2013.

The channels in this auction on which new stations can be built are spread all across the country. Many are located in large western states, including multiple channels in California, Oklahoma, Arizona and Texas, among other states. If you are interested in starting a station from scratch, look through this list of channels to see if there are opportunities for a construction permit for a new station in an area of interest. If you find something that you might consider, you need to start your due diligence on each channel now, as any bidder is responsible for insuring that the channel for which they are bidding can be built and will serve the audience that you expect. If you win the auction and decide that you can't really find a transmitter site, then you may well be on the hook for the full amount of the bid even if you don't build the station. And, if you are successful in the auction, you will have to have an available transmitter site to specify in your "long-form" application submitted about a month after the end of the auction - an application that will specify all of the technical details of the new station. So look at zoning issues, FAA considerations, coverage questions, and even whether technical details like the rural radio order limiting move-ins of FM stations from rural to more urban areas, may limit the potential economic value of the channel in which you are interested.

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May 7 Deadline Set for Comments on Proposed Rules on Interference to Full-Power FM by LPFM Stations, and on LPFM Service Rules (Including Proposal for 250 Watt LPFM Stations)

Determining how much interference to full-power FM stations is acceptable from LPFM stations is perhaps, in the long run, one of the most important issues discussed in the FCC's two orders released two weeks ago clarifying the rules for LPFM stations.  The FCC's proposals on this issue, and several others, has now been published in the Federal Register, asking for public comments by May 7, with reply comments due May 21.   As we detailed when we wrote about the proposals that have now been published in the Federal Register, while the FCC did away with strict mileage limitations on third-adjacent channel spacings between LPFM stations and full-power FMs as required by the Local Community Radio Act ("LCRA"), it did not totally eliminate all interference requirements.  Instead, it proposed a two-tier system requiring more remediation efforts by LPFMs that operate at less than what had been the required spacings, and lesser interference for stations that did observe the old mileage separations.  The May 7 comment deadline also applies to comments on the FCC's proposals for second-adjacent channel waivers of the required spacings between LPFMs and full-power FM stations, and on changes to the service rules for LPFMs - including allowing them to operate at powers as high as 250 watts ERP in rural areas.

The ruling eliminating the third-adjacent channel spacing rule as required by the LCRA was published in the Federal Register yesterday, meaning that the rule becomes effective on June 4, but practically that should mean little until the FCC addresses the interference-complaint resolution issues addressed in the Further NPRM.  The abolition of the third adjacent channel spacing rules did leave in place one limitation, that LPFM stations cannot cause more interference than they can under present rules for stations that offer reading services for the blind

The Further NPRM also addresses second adjacent channel interference, proposing very strict rules that require an LPFM to cease operations if it creates any interference to a regularly used FM signal - even outside of the full-power station's protected service contours.  This is essentially the FM translator interference requirement - which has, in the past, caused many translators to cease operations or change their technical facilities to protect full-power stations.  Further details on this proposal are available in our summary of the order.  That summary, however, did not address the proposed changes in the LPFM service rules, which we address below.

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FCC Clarifies Rules for LPFM - Part 2 - Interference to Full Power FM Stations

In part one of our report on the FCC’s recent actions on LPFM issues, we wrote about the FCC decisions about what to do with pending FM translator applications that may have an impact on LPFM availability. In this part two, we discuss the Commission’s separate order addressing the provisions of the Local Community Radio Act eliminating third-adjacent channel spacing restrictions between LPFM stations and full-power stations and otherwise modifying the interference protection standards that apply to these stations.  In a third part of this series, to be published soon, we will report on the proposals for changes in the LPFM service rules.

The impetus driving Congress in its adoption of the Local Community Radio Act ("LCRA") was the desire of LP FM advocates for the elimination of all third-adjacent channel protections between LPFMs and full-power FM stations. While the statutory changes mean that LPFM stations do not need to be spaced at any particular distance from third-adjacent channel FM stations, the changes do not completely eliminate all interference protections afforded to full-power stations. In fact, the LCRA sets up a very extensive scheme where LPFM stations must work to resolve any interference that is created to adjacent channel full-power station. The Commission set forth its reading of the statutory requirements, summarized below, and asked for public comment on that interpretation.

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Strong Interest in FCC Auction for New FM Construction Permits

The FCC today released its further Public Notice in connection with FCC Auction No. 93, which offers for sale 119 construction permits for new FM radio stations in various communities across the country.  Further details about the auction can be found in our earlier post here as well as on the Commission's auction page here.  In all, 145 applicants filed the necessary short-form application expressing an interest in participating in the auction, although two of the applications were outright rejected as unacceptable.  Even though there are fewer permits available in this auction than in last year's Auction No. 91 (119 rather than last year's 144), interest in the auction appears to be strong as nearly the same number of applications were filed for this year's auction as for the last.  Of the 145 applications filed, 111 were listed as "complete" and 32 were designated as "incomplete", meaning that the FCC is requesting more information from those folks.  Those applicants will need to amend their applications prior to 6 PM ET on February 22nd in order to be eligible to participate in the auction. 

The next step in the auction process is for applicants to make an upfront payment by wire transfer to the FCC's bank before 6 PM East Coast Time on Wednesday, February 22nd. Only those applicants whose short-form applications are accepted as "complete" and have ponied up enough money to cover the minimum opening bid for at least one of the permits they have specified an interest in on their forms will actually be qualified to bid in the auction, which will begin on March 27th.  As always, the FCC advises applicants to make their wire transfer early to make sure that it is properly received rather than waiting for the last day.  Approximately two weeks before the start of the auction, the FCC will issue a subsequent public notice listing the qualified bidders and the amount of money they have put on deposit with the Commission.  The FCC will also conduct a Mock Auction on March 23rd so that applicants can familiarize themselves with the auction software and bidding process in advance of the actual auction on March 27th.  today's Public Notice also notes that the prohibition on communicating with competing applicants is now in effect. So applicants are prohibited from talking to other applicants about bids, bidding strategies, post-market structure, etc., unless they've indicated that the bidders have entered into a joint bidding agreement. 

Broadcast Station Reminders: License Renewals, Pre- and Post-filing Announcements, EEO Public File Reports, and Noncommercial Ownership Reports due for Select States

Just a reminder to broadcast stations in certain states of several upcoming February obligations.  First up, February 1st is the deadline for Radio Stations in Arkansas, Louisiana, and Mississippi to file their FCC Form 303-S license renewal applications seeking a renewal of their broadcast licenses.  (See our earlier license renewal advisory for more information about the FCC's license renewal process.)  Accordingly, radio stations in those state/territories will also need to begin their License Renewal Post-Filing Announcements on February 1st to inform their communities of the renewal filing.  Specific language for the announcements can be found on the Commission's website here, and the post-filing announcements continue on Feb. 16, Mar. 1, Mar. 16, April 1, and April 16.

Second, the next batch of radio license renewals -- which will be filing their renewals on April 2nd -- is Indiana, Kentucky, and Tennessee, which means that Radio Stations licensed to those states, must begin their License Renewal Pre-Filing Announcements on February 1.  The precise language of the pre-filing announcements—which is again dictated by the FCC’s Rules—can be found here. The pre-filing announcements for these stations continue on Feb. 16, Mar. 1, and Mar. 16. 

Third, by February 1, Radio and Television Station Employment Units (SEUs) in Arkansas, Kansas, Louisiana, Mississippi, Nebraska, New Jersey, New York and Oklahoma must prepare and place in their public inspection file their Annual EEO Public File Report.  Stations that have websites must also post the Annual Report on their website.  The Annual EEO Public File Report summarizes the station's or the SEU's EEO activities during the previous 12 months, and provides information about the recruitment and outreach that the station conducted in the past year.  A copy of our recent reminder advisory with more information can be found here.  In addition, Radio Stations in Arkansas, Louisiana, and Mississippi will also be filing an FCC Form 396 EEO Report by February 1 in connection with their license renewal filing.

Finally, February 1st is the deadline for Noncommercial radio stations in Arkansas, Louisiana, Mississippi, New Jersey and New York, and Noncommercial television stations in Kansas, Nebraska and Oklahoma to prepare and file an FCC Form 323-E Biennial Ownership Report with the FCC.  Please note, this filing date applies only to noncommercial radio and TV stations in the states noted above. The FCC has revised its rules regarding the reporting of ownership interests for commercial broadcast stations, as well as revised the commercial Ownership Report—Form 323. Accordingly, commercial stations now file biennial ownership reports on one unified filing date, which will next occur on Nov. 1, 2013.  A copy of our recent reminder to noncommercial stations about the February 1 filing deadline can be found here.

FCC Makes Changing City of License of Radio Stations More Difficult

Changing the city of license of an AM or FM station is getting more difficult, based on recent FCC decisions.  As we have written before, the FCC's Rural Radio order changed the manner in which the FCC reviews city of license changes.  In connection with any proposed city of license change, the FCC reviews the proposal to make sure that the change will result in a favorable arrangement of allotments, making sure that the distribution of radio channels is in the public interest.  In making that decision, the FCC has relied on a series of priorities - first insuring that all areas of the country get at least two radio reception services (Priority 1 was to provide service to "white areas" that currently receive no radio service at all, Priority 2 was to provide a second reception service to all areas).  The next priority was to provide as many communities as possible with their first "transmission service", i.e. a station licensed to that community that would have a primary responsibility to address its needs and interests.  Finally, if there was no proposal to provide a first or second reception service or a first local transmission service, the FCC  looked at Priority 4 factors, i.e. other public interest matters.  In the past, service to a greater number of people itself was a Priority 4 consideration.  Based on a case released last week, service to a greater population apparently is no longer be viewed as justification for the change in the city of license of a radio station - even if the proposed move is from a rural community that already has a significant amount of service to a similarly well served urbanized area and results in a significant increase in the population served by the station.

The Rural Radio order changed the Priority 3 preference for a first transmission service by determining that any proposal for a city of license within an urbanized area would be viewed as being a proposal for service to the entire urbanized area (meaning that, instead of being a first local service to a named community, all the stations in the urbanized area would be considered as serving the same city). Thus, a proposal to take a station from a rural area (e.g. proposing to take the third radio station from some smaller rural town) to a city without a service in a urbanized area would no longer be viewed as providing the first local transmission service to the suburban community (but would instead be viewed as being a proposal to provide just another service to a metro area that probably already has many stations that are licensed to the various communities in the urbanized area).  Some had thought that, while Priority 3 would no longer justify such a move, a Priority 4 preference would be available if the move would allow the station to serve a much larger population, and if any loss area was already well served.  In the proposed move discussed last week, the Commission relied on language in the Rural Radio Order that stated that population increases alone would not be enough to justify a city of license change when a station proposed to move into an urbanized area.  In this case, the Commission's staff found wanting a proposal to move from the well-served community of Boone, Iowa to a community in the Des Moines urbanized area - even though the proposed change would result in service to over 300,000 more people than are currently served by the station - increasing the number of people served by the station from less than 100,000 to over 400,000. The request was not denied outright, but instead the applicant was given another opportunity to supply additional information to demonstrate the public interest benefits that would result from the move. 

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FCC Deadlines in January - Quarterly Issues Programs Lists, Children's Program Reports, Comments on TV Online Public File and Public Interest Obligation Proposals, FM Window and More

In addition to the normal FCC deadlines for routine filings, January brings the deadline for comments in a number of FCC proceedings, and a filing window for new FM applications.  For TV stations, the Commission recently extended to January 17 the Reply Comment deadline on its proposals (summarized here) for an online public inspection file.  Many public interest groups have supported the FCC's proposals to put the public file online, including the political file and new information concerning sponsorship identification information, while broadcasters have expressed concerns about the burden and practicality of an online file with all the information that the FCC is considering.  Comments are also due on January 17 on the related Notice of Inquiry looking into the adoption of a new form to document the public interest programming of TV broadcasters to replace the never-effective Form 355.  Comments deadlines on Petitions for Reconsideration of two other rulemaking decisions - on the adoption of rules allowing AM stations to use FM translators, and the Rural Radio proceeding - are due on January 4 with replies on January 17.  That the FCC only now sought comments on the 3 year old Reconsideration petitions in the AM translator proceeding is unusual, as the issue raised by the reconsideration petitions has also been incorporated in the recent FCC proceeding looking at the relationship between FM translators and LPFM opportunities.

We just reminded broadcasters of the new FM window, where applications for 119 new FM channels can now be filed between now and the January 12 deadline.  Broadcasters also need to remember to complete their Quarterly Issues Programs lists, and place them in their public file, by January 10.  As we've written, there are big fines for stations who forget to complete these reports and have to report their absence at license renewal time.  See our advisory on the Quarterly Issues Programs Lists, here, and also our advisory on Children's Television obligations, including Form 398, that needs to be filed at the FCC by January 10, along with a public file report documenting compliance with the limitations on commercial advertising in children's programming . 

For more information on many of the routine regulatory deadlines for broadcasters, see our Broadcasters Calendar for 2012 here.

All I Want for Christmas is a New Radio Station: Window for FM Auction Opens Jan. 3

As the year hurtles to a close and desks are cleared for the holidays, don't forget that the window for filing an application to participate in the upcoming FCC Auction opens on January 3, 2012, the first business day of the new year.  As we wrote about earlier (here), the FCC will hold an auction on March 27, 2012, offering 119 construction permits for new FM radio stations. The permits are scattered across the country and have minimum opening bid amounts ranging from $1,500 to $100,000.  A complete list of the construction permits available in the auction can be found here.  The filing window opens at noon ET on January 3rd, and parties interested in potentially bidding in the auction must prepare and file an FCC Form 175 Short Form application before 6 PM ET on January 12, 2012 in order to be eligible to participate. Instructions on how to file a Form 175 and further information about Auction No. 93 can be found in the FCC's Public Notice

And even if you are not interested in participating in the upcoming Auction, stations should remember that in connection with Auction 93, the FCC will temporarily freeze the submission of all minor change applications for both commercial and noncommercial FM stations from January 3 through January 12, 2012.  This freeze will prevent existing stations from filing minor modification applications that might be mutually exclusive with the preferred allotment site coordinates that a potential bidder might specify on its short form application.  Licensees of existing stations should plan accordingly.  

Filing Dates Set as FCC Prepares to Auction 119 New FM Radio Channels in March 2012; Related Freeze on All Minor FM Mods Imposed Jan. 3-12, 2012

The Commission today released its further Public Notice establishing the filing dates and adopting the procedures for the upcoming auction of 119 New FM Radio channels, scheduled to start on March 27, 2012.  The auction has been designated as FM Auction No. 93 and offers vacant FM allotments in various communities across the country.  Although the Commission removed four allotments from the slate of available channels, the remaining 119 channels are up for grabs.  A full list of the licenses available in the auction can be found here.  Anyone potentially interested in bidding on these new FM stations should start doing their due diligence now (and see our earlier posting for tips about specific issues to consider). 

The auction process will start with a filing window from January 3 to January 12, 2012 for the submission of an FCC Form 175 "short form" application expressing interest in the auction.  All potential bidders must submit a Form 175 by 6:00 PM ET on January 12, 2012 in order to be eligible to bid.  Next, applicants will need to make an Upfront Payment by 6:00 PM ET on February 22, 2012, in order to deposit funds with the Commission equal to the starting price for at least one of the licenses for which they are interested in bidding.  In order to be eligible to participate in the auction, bidders will need to follow both steps and timely file an acceptable short form application and wire a sufficient upfront payment.  The FCC will hold a Mock Auction on March 23, 2012 to allow bidders to test the bidding software and familiarize themselves with the auction process, and the real auction will kick off on Tuesday, March 27, 2012

In connection with Auction 93, the FCC will temporarily freeze the submission of all minor change applications for both commercial and noncommercial FM stations from January 3 through January 12, 2012.  This freeze will prevent existing stations from filing minor modification applications that might be mutually exclusive with the preferred allotment site coordinates that a potential bidder might specify on its short form application.  Licensees of existing stations should plan accordingly and file any minor modifications before January 3rd lest they have to wait until the freeze is lifted following the close of the Auction filing window on January 12.

 

 

Limited Freeze on FM Applications in Anticipation of Upcoming Auction for New Radio Stations

In anticipation of the new auction of 123 FM channels scheduled for March 2012 (about which we wrote here) the FCC has frozen the filing of FM applications and rulemaking requests which seek changes in the frequencies of any of the channels proposed for inclusion in the auction or which otherwise fail to protect the reference coordinates for these channels. This is not a blanket freeze of all FM filings, but instead simply is meant to protect the channels that are included in the auction so that interested applicants can begin the search for transmitter sites and otherwise evaluate the prospects for these channels in a stable environment.

While the procedural dates for this auction (including the dates by which applications must be submitted) have not been finalized, we anticipate that these dates will be set soon, and that initial short-form applications specifying the channels in which each applicant is interested, will be due early in 2012. So if you are interested in the possibility of building a new FM station, check out the tentative list of new allotments here to see what is available, and start making your plans to participate.

Auction for New FM Stations Scheduled for March - Look for Filing Deadline Late This Year - FCC Also Proposes Deletion of Channels for Which No Bids Were Received

Looking for opportunities for a new FM station?  The FCC has just released a list of new FM channels to be auctioned in the next FM auction, scheduled to begin on March 27, 2012, along with the proposed rules for that auction.  On the list of channels, the proposed minimum bid for each channel is also set out.  If the Commission follows the schedule used in prior auctions, we should expect that the deadline for the "short-form" application to participate in the auction (which basically contains information about the ownership of the applicant and a list of the channels in which they are interested) will be due in early 2012, likely sometime between January 1 and January 15, 2012.  The upfront payment of the necessary minimum bids would then likely be due around February 20, 2012 or so.  In another Notice of Proposed Rulemaking released late last week, the FCC also proposed to delete a number of FM channels that have gone unsold in previous auctions.

The construction permits for the new stations that will be available in the auction are spread all across the country.  Many are located in large western states including multiple channels in California, Colorado, Oklahoma and Texas, among other states.  But there are even opportunities in eastern states like Florida, Vermont and Virginia.  So, if you are interested in starting a station from scratch, look through this list of channels to see if there are opportunities for a construction permit for a new station in which you might be interested.  If you find something that might be interesting, you need to start your due diligence on each channel now, as the bidder is responsible for insuring that the channel for which they are bidding can be built and will serve the audience that the applicant expects.  If you win the auction and decide that you can't really find a transmitter site, then you may well be on the hook for the full amount of the bid even if you don't build the station.  And, if you are successful in the auction, you will have to have an available transmitter site to specify in your "long-form" application about a month after the end of the auction - an application which will specify all of the technical details of the new station.  So look at zoning issues, FAA considerations, coverage questions, and even whether technical details like the rural radio order limiting move-ins of FM stations from rural to more urban areas, may limit the potential economic value of the channel in which you are interested. 

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FCC Clarifies Rural Radio Order for City of License Changes Within a Market and From One Market to Another

Changing the city of license of a broadcast station was made more difficult by the FCC's rural radio order.  That order, about which we wrote here, imposed substantial obstacles on broadcasters attempting to move their stations from rural areas into urbanized areas - making such moves difficult if not impossible in many cases.  However, in two recent cases, the FCC clarified that decision so as to permit some changes to be made without the substantial new showings. Specifically, these cases permit the move of stations from one city within a market to another in the same market, or from one urbanized area to another, without doing the complex showing that might otherwise be required.

The rural radio decision had changed the an FCC policy that had favored, in allocations decisions, a first transmission service (i.e. the first station licensed to a community) to a large community within an urbanized area over a service to a less populous community, even if that community was outside an urbanized area.  After the rural radio decision, there was a presumption that service to any community within an urbanized area was service to the entire urbanized area - so a first service to a suburban community, instead of being treated as the first transmission service to that community, was treated as if it were the 20th (or 30th or 40th,depending on the number of stations in the entire market) service to the urban area.  Thus, the proposal would routinely not be entitled to a preference over a new service to a community outside of the urban area in the absence of a complex and convincing "Tuck showing" that analyzed a number of factors to show that the suburban community was independent of the central city in the urban area and that the proposed station would really meet the needs of this independent community, not of the whole urbanized area.  In one decision released last month, the FCC made clear that a move from one city within an urbanized are to another within the same urbanized area did not need this Tuck showing, as both were considered part of the same community for allocations purposes.  In a variation on that theme in a case released last week, the FCC's staff held that a move of a station from one urban area to an adjacent urban area did not require the showing.  Presumably this was because each urban area would have dozens of services, so that loss of one service in one market and the gain in another would be inconsequential.  Seemingly simple decisions, but ones that can save applicants significant time and trouble when filing city of license change applications for stations that are already located within urbanized areas. 

License Renewal Pre-Filing Announcements Start June 1st for Radio Stations in North Carolina and South Carolina

Just a reminder that radio stations in North Carolina and South Carolina are up next in the license renewal cycle, which means that pre-filing announcements for radio stations in these states must start on June 1st.  The announcements continue on June 16, July 1, and July 16, for a total of four pre-filing announcements.  These announcements give notice to the local community that the station will be filing a license renewal application with the Commission and invite participation in the renewal process.  The precise language of the pre-filing announcements—which is dictated by the FCC’s Rules—can be found here.

The announcements should be aired in the primary language used on the station, so if the station broadcasts primarily in a foreign language, the announcements should be broadcast in that language. For commercial radio stations, at least two of the required pre-filing announcements must air on the station between 7 a.m. and 9 a.m., or 4 p.m. and 6 p.m. local time. If the station does not operate between 7 a.m. and 9 a.m. or between 4 p.m. and 6 p.m., then at least two of the required announcements must be made during the first two hours of broadcast operations. For noncommercial educational stations, the timing of the announcements is the same as for commercial stations, except that such stations need not broadcast the announcements during any month during which the station does not operate.

For more details about the pre-filing announcements and the license renewal process for radio stations, please see our recent advisory which will help radio stations prepare for the process.  A copy of the advisory is available here.  And next up in the queue will be radio stations in Florida, Puerto Rico, and the Virgin Islands, who will start their pre-filing announcements on August 1st in advance of filing their renewal applications on October 1st. 

FCC to Study Economic Effect of LPFM on Full-Power FM - But Not the Economic Impact of Any Interference that May Be Caused

As part of the Local Community Radio Act which, among other things, repealed restrictions against protecting full-power FM stations from third-adjacent channel interference from LPFM stations, Congress required that the FCC conduct a study of the economic impact that such stations will have on full-power FM stations.  The FCC began the process of conducting that study, asking for public comment on a series of questions designed to look at that impact.  Comments are due on June 24, 2011, with reply comments to be filed by July 25.  The Commission asks for comments in two general areas, asking what impact LPFM will have on full-power stations' revenues and on their audience share, but tentatively decided that it would not look at any economic impact that interference from LPFM would have on full-power stations.

What led the FCC to this tentative conclusion?  The FCC said that the Act did not specifically require any study of the economic impact of interference and, since the principal purpose of the Act was to set out how the FCC should deal with interference remediation, Congress had already addressed all that needed to be considered about any potential interference.  This view was bolstered by the inclusion in previous legislation of a specific directive to study interference, which led to the report from the MITRE  Corporation.  That report concluded that there would be no substantial interference from LPFM to full-power stations, which opened the door to the passage of the Act.  Thus, the Commission reached the tentative conclusion that no additional study of the economic impact of LPFM was necessary, but they seek comment on that tentative conclusion.  We expect that there will be such comments.

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FCC Radio License Renewals Close at Hand; Pre-Filing Announcements Start April 1st for Stations in DC, MD, VA, and WV

The start of the FCC's license renewal cycle for radio stations is close at hand, and we have issued an advisory to help radio stations prepare for the process.  A copy of the advisory is available here, and contains information about the pre- and post-filing announcements that stations are required to air, as well as information about recent changes to the FCC Form 303-S License Renewal application, and guidance on what radio stations should be doing as they head toward the filing date. 

Radio stations in Maryland, Virginia, Washington, DC, and West Virginia are the first batch to file on June 1st, just over two months away.  Even more pressing for stations in these states, however, is the requirement that they begin broadcasting their pre-filing announcements on April 1st.  The announcements continue on April 16, May 1, and May 16, for a total of four pre-filing announcements.  These announcements give notice to the local community that the station will be filing a license renewal application with the Commission and invite participation in the renewal process.  The precise language of the pre-filing announcements—which is dictated by the FCC’s Rules—can be found here.

The announcements should be aired in the primary language used on the station, so if the station broadcasts primarily in a foreign language, the announcements should be broadcast in that language. For commercial radio stations, at least two of the required pre-filing announcements must air on the station between 7 a.m. and 9 a.m., or 4 p.m. and 6 p.m. local time. If the station does not operate between 7 a.m. and 9 a.m. or between 4 p.m. and 6 p.m., then at least two of the required announcements must be made during the first two hours of broadcast operations. For noncommercial educational stations, the timing of the announcements is the same as for commercial stations, except that such stations need not broadcast the announcements during any month during which the station does not operate.

Next up in the queue will be radio stations in North Carolina and South Carolina, who will start their pre-filing announcements on June 1st in advance of filing their renewal applications on August 1st. 

FCC Adopts Rules Restricting Rural to Urban Radio Moves and Translator Band Hopping - And Adopts Tribal Area Preferences

The FCC's decision in its rural radio proceeding addresses numerous radio issues - some of which seem to provide a solution in search of a problem.  In an era where the President has called for agencies to review their decisions to access how they will affect businesses and job creation, some aspects of this rural radio decision appear to be moving in the opposite direction - imposing new hurdles on broadcasters trying to improve their operational facilities. While the FCC in this decision adopted largely uncontested rules that would promote the development of new radio stations on Tribal lands, the Commission also adopted rules making it harder for radio stations to move from more rural areas into more urban ones - rule that were almost universally condemned by broadcasters. The decision also restricted the ability of FM translators to "hop" from the commercial to the noncommercial band and vice versa, and adopted rules that codified the determination of how AM applications are determined to be "mutually exclusive" when filed in the same window for new or major change applications.  The changes to the procedures for consideration of AM and FM station allotment and movement are summarized below.  The other changes made in this proceeding will be discussed in a subsequent post on this blog.

Easily the most controversial of the decisions made by the Commission in this proceeding was the conclusions reached as to the movement of AM and FM radio stations from more rural areas into more urbanized ones.  We wrote about some of the concerns raised by broadcasters last week.  Many of the new rules and policies adopted by the Commission were ones feared by broadcasters - though many of the policies are still undefined, and how they are enforced may well determine their ultimate impact.  That impact may well take years to sort out.  Regardless of the ultimate impact on the actual movement of stations, there is no question that these rules will require far more paperwork from broadcasters seeking to allot new channels and from those seeking to change the cities of license of existing stations, and open more moves to challenge, making the process slower and more expensive.

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Restrictions on Moving Radio Stations From Rural to Urban Areas May Be Coming - What's The Potential Impact?

At the FCC meeting next week, the Commission will be considering an item dealing with radio stations that serve rural areas, and the ability of licensees to make technical modifications to those stations that would change the communities which they serve.  While, as we wrote last week, most of the attention of broadcasters has centered on the television issues to be considered at the meeting as the Commission is to begin an inquiry on the retransmission consent process.  The rural radio issue poses real concerns for radio operators - especially those contemplating a move of a radio station from a community outside of a metropolitan area to one in a metro.  In the name of protecting service to rural areas, the Commission may well restrict minority groups, specialty programmers, and other new entrants from bringing new services to metropolitan areas - permanently entrenching those companies who currently have major market stations as the only competition in those markets.  A proposal to protect service to rural areas may well have the impact of decreasing diversity in large markets.

In virtually every large market, there is little or no potential to add new channels for FM service both because of interference protections that need to be accorded to stations in the market and because of protections to stations outside of the market but close enough to be short-spaced to any potential station in the metro area.  In some cases, creative engineering has found ways for some of these non-metro stations to be moved into the metropolitan area, or at least close enough to provide some service to those markets.  "Move-in stations" have allowed new entrants, some with specialized programming, to provide service to large cities - when such entrants could never afford the price of an existing in-market station, even if one was for sale.  Even "rim shots", those move-ins that don't provide full coverage of a metro area, may be very worthwhile for groups with unique formats (religion, Spanish language, and other targeted programming) trying to reach a small audience that is not otherwise going to get service in such markets.   

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Next FCC Meeting Full of Issues for Broadcasters - Retransmission Consent, Moving Rural Radio Stations Toward Urban Areas, and TV Video Description

After a series of FCC meetings where the only mention of broadcasters was in connection with taking TV spectrum for wireless broadband, the tentative agenda for the next FCC meeting, to be held on March 3, 2011, is full of broadcast issues - issues that could have broadcasters wishing that they were ignored once more.  The biggest issue is the initiation of a proceeding to re-examine the retransmission consent process by which television broadcasters negotiate with cable and satellite companies for payment for the carriage of their signals.  But also on the agenda are proceedings to look at rural radio services and whether the Commission should limit the ability of broadcasters to move stations from rural to urban areas, and the initiation of a proceeding to require that television programmers provide audio descriptions of the action taking place on the video portion of their programs to aid those who are visually impaired.

The retransmission consent proceeding is one which arises after several well-publicized cases where television stations and multichannel video program distributors (like cable and satellite television providers) have had disputes about the amount to be paid to the television broadcaster for the carriage of their signal by the MVPD.  In a few cases, this has resulted in the television station being pulled from the MVPD for some period of time until the dispute can be resolved.  Some MVPDs have argued that there should be more oversight over the process by which television stations can force the MVPD to pull the station's signal until the retransmission negotiation is completed.  MVPDs argue that viewers, who can get the signal over the air as it is made available by the TV station for free, should not be held hostage to the negotiations and should not suffer when the station is pulled from the MVPD to further the TV station's negotiation posture.  Broadcasters, on the other hand, argue that the system is working, that the number of stations who have been pulled from an MVPD is few, and that the MVPD should pay for the valuable television signal, just as it pays for other programming that it carries from cable networks.  The FCC is expected to ask whether some reform of the process, and perhaps some government oversight or mandatory mediation, should be required.

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As Applications for New FM Auction Are About to be Filed - FCC Clarifies Rules on Changes to New Allotments

The FCC is now accepting Form 175 applications for FM Auction 91 - an auction of 144 new FM channels across the country.  Applications are due between now and February 10.  We wrote about the auction here, and the list of channels to be auctioned is available here.   So, if you are interested in a new FM channel, act now!

While this auction is proceeding, in a recent case, the FCC addressed what to do with new FM channels that are not yet set for auction.  The FCC regularly receives petitions for rulemaking, seeking the addition of new FM channels.  Once allotted, these channels may sit on hold for a year or more before being listed for an auction like that now starting.  There are many such channels awaiting auction now, and not included in Auction 91.  During that period between auctions, owners of existing stations may find that these vacant allocations block upgrades or other changes that the owners may want to make to their existing stations.   Until recently, the existing licensee could suggest changes to the new allotments while they were sitting there waiting to be put out for auction - changes including restricting the transmitter site location for that new channel, changing the city of license for the allotment, downgrading it, or even deleting the channel altogether.  As set forth in the recent case, the policy has been to entertain these proposals, unless there was a showing that there was a party ready to file for the vacant allotment.  In the recent case, the FCC decided that no future proposals to change vacant allotments would be entertained, as the Commission believes that all channels have someone who is interested in the channel, or there will be an interested person when the next auction begins.  This policy will govern all future proceedings, with the limited exception that the FCC will entertain a change in frequency for a new allotment, as long as no other changes are made in that allotment (i.e. it stays at the same location and will continue to be able to operate with the same power).

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FCC Announces Filing Window and Minimum Bids for Next Auction for 144 New FM Stations - And a Freeze on FM Minor Change Applications

Applications to participate in the auction of 144 new FM channels are to be filed at the FCC between January 31 and February 10, 2011.  The FCC today released a Public Notice setting out the dates and procedures to be used in the auction.  Upfront payments of the minimum bids for channels in the auction will be due on March 21.  The auction itself will begin on April 27 - a postponement of about a month from the dates originally proposed as the initially scheduled dates could have resulted in the auction running through this year's NAB Convention, making it difficult for some entities to participate.  We had written about the initial announcement of the proposed auction here.  Note that the list of channels available in the auction has changed slightly, as a few channels originally listed for sale were deleted when it was discovered that they were not vacant or were otherwise not available to be sold.  Thus, the auction will include only 144 channels, not the 147 originally proposed.  The list of open channels is available here, and this list also sets out the minimum bids established for each channel.

To freeze the FCC database so as to allow applicants in the filing window to specify a transmitter site that will be protected from new applications, the FCC will freeze the filing of all applications for minor changes to existing FM stations during the filing window.  Thus, if you need a technical change in an FM station, get that application on file before the January 31-February 10 window.  The FCC Issued a Public Notice setting out the details of the freeze.  After the window, all subsequently filed applications for minor changes in existing stations will need to protect sites specified for the new channels during the window.  The FCC also froze - effective right now - any rulemaking proposal asking for a change in the coordinates assigned to any of the channels to be sold in the auction. 

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Reflections on the State of Radio - A Month of Discussions at The Radio Show, State Broadcasters Meetings and Digital Media Conferences

The NAB Radio Show in Washington two weeks ago was a upbeat reflection of the present state of the broadcast industry.  But sandwiched around that conference, in the last three weeks, I have spoken at three digital media conferences - and as someone who has grown up on over-the-air radio, and based a career on representing radio stations, the discussions at these conferences raised many questions about the future of the radio industry. At the Radio and Internet Newsletter (RAIN) Summit East in DC, prior to the NAB Radio Show, I gave a summary of the royalty issues facing Internet Radio operators. At the Future of Music Policy Summit in DC the next week, I spoke on a panel on the Future of Radio. And at the Digital Music Forum West in Los Angeles last week, I moderated a panel on music licensing issue for digital media companies. At each of these conferences, the focus was on the digital media, not on over-the-air broadcasting, and many times the question was raised as to whether traditional radio was still relevant in the digital age. I’m not sure how many times I was asked, when I told someone that I am a lawyer who represents radio stations, what I plan to do next when my clients are extinct? Even in media-related industries, many seem to regard radio broadcasters as old-school – a throw back to some other entertainment era. Yet, what surprised me was how these same people who questioned the relevance of radio were all able to talk about what songs were or were not being played on the local rock station, or about the crazy thing some local DJ said that morning and the contests running on radio stations in their market, or about the story on NPR that kept them in their car seats when they were sitting in their driveway at home the night before.

At each of these conferences, in listening to the discussions of the issues facing all the new media (like how to make money), the dark view of radio seemed overblown.  Radio still seems to be a vital medium, especially if it can emphasize the advantages that it has. Harnessing the power of radio with digital media creates platforms that neither has on its own. In many ways radio, of all the traditional media, is best able to use its place in the media landscape to expand in the digital world. Radio has always excelled in reaching niche audiences, in much the same way that the Internet now does. By playing to its strengths, whether that be music, news, talk or sports, or some combination thereof, radio can expand its connection and provide broader and deeper services to its listeners, and serve its audiences like never before.  And all the digital media companies seem to recognize this potential, but seem to be discounting radio's ability to capitalize on its advantages. 

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FCC Plans March Auction for New FM Stations - 147 New FM Licenses for Sale

Interested in a new FM radio station?  Now might be your chance.  The Commission today announced an upcoming auction, designated as FCC Auction No. 91, offering licenses for 147 new FM channels in various communities across the country.  The auction will begin on March 29.  Today's public notice merely lists the channels to be auctioned and the proposed minimum bid in the auction to be associated with each channel, and asks for comments on the procedures that will apply in conducting the auction.  We would expect that applications to participate in the auction will probably be due sometime in or around January, 2011.  The list of the 147 licenses to be offered for sale is available here.  The FCC Public Notice asking for comment on the auction procedures is available here

Parties who are interested in bidding for any of these channels will be able to submit short form applications indicating the channels in which they are interested.  As stated above, we would expect these applications will be due sometime early in 2011, so that the FCC can process those applications and receive the necessary upfront payments from parties interested in the auction in time for the auction itself to begin in March.  Thus, parties who are interested in any of these channels should start their due diligence process now, and determine which channels may be of interest, and which channels can actually be built in such a way as to cover areas that an applicant may want to serve, so that they can be ready to file their applications.

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FAA Working On Proposals to Require FAA Coordination For FM Changes Even Where There is No Change in Tower Height - Rejects That Requirement for Other Services

In 2006, the FAA proposed requiring that many communications users seek FAA No Hazard Determinations not only before they make changes in the height of a tower, but also prior to frequency or power changes.  The FAA sought to review applications to determine if proposals would create any interference to frequencies used by the by aircraft and by the FAA for air navigation purposes. This review would be in addition to any review that the FCC made of interference considerations.  Many communications companies and engineering firms argued that this second layer of frequency review was unnecessary; and certain engineering groups contended that the FAA's interference programs were not accurate - finding interference where none existed.  After over 4 years of consideration,the FAA has now decided that most of the frequency blocks that it was considering did not really pose a threat to air navigation, with one exception.  The FAA determined that interference problems do arise from FM operations, and thus the FAA did not dismiss their proposal to require its approval of FM changes - even where no tower height changes are planned.

The FAA, however, apparently will not be making this decision alone.  Instead, that FAA is coordinating with the FCC and NTIA (an Administration in the Commerce Department that coordinates between various government agencies that use spectrum) to adopt policies that will govern the potential for interference from FM stations to FAA operations.   The FAA's Notice says that more information about what is to be proposed for FM stations should be forthcoming soon.  This can be a real issue for FM stations, especially ones proposing significant power increases or frequency changes in congested metropolitan areas with numerous public, private and military airfields in the vicinity. 

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Commissioner Clyburn Suggests TV Channels 5 and 6 Could Be Used For Radio - Will It Happen?

In a recent speech before the Community Radio Conference, FCC Commissioner Mignon Clyburn suggested that the proposal to reallocate Channels 5 and 6 for FM radio use had merit and should be considered further.  That proposal is already before the FCC, and ripe for decision - so it could theoretically be adopted tomorrow.  However, the proposal is not backed by all.  While Commissioner Clyburn may think that the idea bears more exploration, there seems to be significantly more consideration that is necessary before a decision on the pending proposals can be made.  What are these proposals, and what is standing in the way of a reallocation? 

As we have written before, the proposals have been made to take TV Channels 5 and 6, which are immediately adjacent to the FM band, and reallocate them to radio broadcasting.  The pending proposals include suggestions that LPFM stations could be located on the new FM channels that could be created, that new space for noncommercial radio operations could be created and, if they operated digitally, there would even be room to move the entire AM band to Channel 5.  While some have suggested that any relief from such a transition would be long in coming, as radios would need to be manufactured, in fact that process might not be as prolonged as suggested, as the frequencies used by these television channels are already used for FM radio in Asia.  Radios already exist that could pick up these channels (at least for analog reception).  However, television interests have opposed this reallotment, but it may well be the broadband plan which could have the greatest impact on the consideration of this issue. 

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Beware of City of License Change Proposal That May Not Be Implemented

To move or not to move? For broadcasters considering a change in a station’s community of license, this question now requires a bit more forethought. There may be unintended consequences for broadcasters that request a community of license change based on tenuous future plans.   In a recent letter decision, the Commission’s staff reminded an applicant that upon receiving a final Commission decision to change the commercial FM radio station’s community of license, it traded in its license for an ‘implied STA’ to continue operating its station with its existing licensed facilities. In other words, the existing facilities would no longer receive contour protection from other stations and technical proposals that they wanted to make through modifications or other applications. The FCC staff stated that the applicant who had received authority to change city of license was obligated to construct its stations at the new community. Furthermore, the Commission could cancel the implied STA, requiring the station to cease operations, if the existing facilities continue to impede construction of any approved third party modifications.   According to the Commission, a request to change a community of license carried with it an implied certification that the applicant is ‘ready, willing and able’ to construct and operate the facility. Because the applicant who changed city of license in this case did so through a modification of the FM Table of Allotments rather than through a one-step application (which was not available to make the change they requested at the time they first sought the city of license modification), this decision leaves us with many questions, but certainly warns applicants for city of license changes that they must consider their plans carefully.       

The facts in this case began in 2003 when, as part of a rulemaking proceeding, the FCC issued a Report and Order modifying the KIKT(FM) community of license from Greenville, Texas to Cooper, Texas and later that year granted a construction permit to implement the same. Immediately prior to expiration of the construction permit in 2006, its licensee re-filed for identical facilities, and did so again immediately prior to the 2009 expiration date. The Commission granted the licensee a total of three construction permits for the same facilities in Cooper, Texas. Meanwhile, another broadcaster filed an application to improve the facilities of its station KNOR(FM) - an upgrade that was mutually exclusive with the existing KIKT(FM) facilities at Greenville.  Therefore, the Commission’s approval of the KNOR(FM) upgrade contained a special operating condition requiring KIKT(FM) to initiate operations at Cooper, Texas before KNOR(FM) could implement its upgrade. After what amounted to three, three-year extensions, the KNOR licensee petitioned the Commission for the condition to be removed and KIKT(FM) be forced to make its move to Cooper, Texas. The Commission agreed, finding that, despite the fact that allowing KNOR(FM) to implement its upgrade would result in interference to KIKT(FM)’s existing facilities, the Commission decided that it was in the public interest to remove the special operating condition at issue. However, the Commission denied the request to cancel the implied STA, and instead threatened to cancel the implied STA if KIKT(FM) isn’t constructed at Cooper on or before the current construction permit deadline in 2012.

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FM Analog Translator Can Rebroadcast FM Digital Multicast Programming - Opportunities for New Signals in Local Markets

In a recent decision, the FCC made clear that analog FM translators can rebroadcast the signal of a HD digital multicast channel from a commonly owned FM station.  For months, broadcasters have been introducing "new" FM stations to their communities via translators rebroadcasting HD-2 signals which are broadcast digitally on a primary FM station, and available only to those who have purchased HD radio receivers.  In the decision that was just released, the Commission's staff rejected an objection to the use of an FM translator taking a signal that can only be heard on a digital HD Radio and turning it into an analog signal capable of being received on any FM receiver.  In this case, the broadcaster rebroadcast his AM station on the FM HD station so that it could then be rebroadcast on the FM translator.  But, even if the HD multicast channel was a totally independent station that could otherwise only be heard on an HD digital radio, it could be rebroadcast on the FM translator and received by anyone with an FM radio in the limited area served by the translator station. 

The Commission did make clear, however, that a broadcaster cannot use another station owner's HD multicast channel and rebroadcast that on a translator if the broadcaster already owned the maximum number of stations allowed by the multiple ownership rules.  In other words, if a broadcaster is allowed by the multiple ownership rules to own 4 FM stations in a market, it could put a fifth (low power) FM signal in that market through the use of an FM translator rebroadcasting one of its own HD multicast signals.  However, if it had not itself converted its FM stations to digital so that it had its own multicast abilities, it could not do a time brokerage agreement and program the multicast signal of another broadcaster in town who had installed the digital equipment needed to do such multicasts.  An LMA or time brokerage agreement with another station for use of an HD multicast channel counts for multiple ownership purposes in the same way that such a programming agreement would if it provided for programming of a primary analog  FM station. 

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Power Boost for Digital FM Radio Stations Effective May 10th

The FCC's January 2010 Order authorizing FM radio stations to increase power on their hybrid digital radio operations was published in the Federal Register on Thursday establishing the effective date of the new rules as May 10th.  As we wrote earlier, the Commission's Order allows stations to increase from the current maximum permissible level of one percent of authorized analog effective radiated power (ERP) to a maximum of ten percent of authorized analog ERP.  So as of May 10, 2010, eligible FM stations may commence operations with FM digital operating power up to -14 dBc (that is, up to a 6 dB increase), consistent with the existing IBOC notification procedures and with no further authorization from the FCC.  Eligible stations may simply avail themselves of the voluntary power increase, but must notify the FCC electronically of the increased digital power within 10 days of commencement using the Digital Notification form via the Commission's Consolidated Database System (CDBS).

The exception to the ability to increase power is super-powered FM stations, which, regardless of their class, are limited to the higher of either the currently permitted -20 dBc level or 10 dB below the maximum analog power that would be authorized for the particular class of station, as adjusted for the station's antenna height above average terrain. The Audio Division's web site contains an FM Super-Powered Maximum Digital ERP Calculator available here to assist super-powered stations with determining the maximum permissible Digital ERP. Licensees of super-powered FM stations must file an application, in the form of an informal request, for any increase in the station's FM Digital ERP.  For power increases over 6 dB, licensees will be required to submit an application to the FCC, in the form of an informal request, for any increase in FM Digital ERP beyond 6 dB.  Licensees wishing to operate with an FM Digital ERP in excess of -14 dBc must make a calculation and determine the station's max permissible Digital ERP as detailed in paragraphs 17 through 20 in the Order, available here

FCC Gives Digital FM Radio a Power Boost

This afternoon the Commission released an Order authorizing FM radio stations to increase power on their hybrid digital radio operations. This power increase is a welcome boost to HD radio operations and was eagerly awaited by many FM stations broadcasting in digital.  In a nutshell, the rule change allows stations to increase from the current maximum permissible level of one percent of authorized analog effective radiated power (ERP) to a maximum of ten percent of authorized analog ERP.  In raising the power permitted for digital radio operations, the Commission acknowledged that the current digital power levels are insufficient to replicate stations' analog coverage and that indoor and portable coverage are particularly diminished.  Building on proposals advocated by National Public Radio (NPR) and iBiquity, the Commission has provided for an immediate voluntary 6 dB increase in Digital ERP (except for super-powered FM stations, as discussed below).   In addition, stations will be allowed to seek authority for increases over 6 dB up to a maximum of 10 dB using an informal application process.

Once the Order becomes effective, eligible FM stations may commence operations with FM digital operating power up to -14 dBc (that is, up to a 6 dB increase), consistent with the existing IBOC notification procedures.  Stations availing themselves of the voluntary power increase must notify the FCC electronically of the increased digital power within 10 days of commencement using the Digital Notification form via the Commission's Consolidated Database System (CDBS).   The exception to this is super-powered FM stations, which, regardless of their class, are limited to the higher of either the currently permitted -20 dBc level or 10 dB below the maximum analog power that would be authorized for the particular class of station, as adjusted for the station's antenna height above average terrain.   The Audio Division's web site contains an FM Super-Powered Maximum Digital ERP Calculator available here to assist super-powered stations with determining the maximum permissible Digital ERP.  Licensees of super-powered FM stations must file an application, in the form of an informal request, for any increase in the station's FM Digital ERP. 

For power increases over 6 dB, licensees will be required to submit an application to the FCC, in the form of an informal request, for any increase in FM Digital ERP beyond 6 dB. Licensees wishing to operate with an FM Digital ERP in excess of -14 dBc must make a calculation and determine the station's max permissible Digital ERP as detailed in paragraphs 17 through 20 in the Order, available here.  

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FCC Postpones Window for New Noncomercial FM Radio Stations Until February 2010

Last Friday we posted about the FCC's announcement that it would open a filing window in December for noncommercial applicants interested in seeking authority for 67 existing vacant FM allotments.  Today, the FCC revised the timing of that window and postponed the opening until February 2010.  Accordingly, rather than accepting applications for these vacant noncommercial allocations in December, the window for filing will now be from February 19 through February 26, 2010.  In addition, the accompanying freeze on the filing of commercial and noncommercial minor modifications will now go into effect on February 6th and last through the closing of the window on February 26, 2010.  The FCC postponed the window in response to a request from a group of noncommercial entities and associations who said that two months would not be enough time for interested applicants to get approval from their boards and pull together an application.  The FCC agreed and pushed the date back.  So noncommercial entities interested in filing for these new stations have some additional time to prepare.  Further information is available in our earlier blog and in the FCC's Public Notice released today. 

FCC Opens Filing Window for New Noncommercial Educational FM Stations, Imposes Freeze on Minor Changes

The FCC today announced the opening of a filing window for noncommercial applicants interested in seeking authority for 67 existing vacant FM allotments.  Applications on FCC Form 340 will be accepted from December 11th through December 18th for these vacant FM allotments in the non-reserved band between Channels 221 and 300.  A full listing of the allotments that are available can be found here.  Although the vacant channels are in the non-reserved FM Band these particular allocations have been reserved exclusively for noncommercial use.  Thus, the window is restricted to noncommercial educational applicants only.

In the event that multiple applications are filed seeking the same allotment, then the channel will be awarded by applying the Commission's comparative point system for noncommercial applicants.  Further details on filing an application can be found in today's Public Notice, and complete step-by-step instructions are available on the Commission's website here

In order to provide stability and predictability for applicants interested in filing for these vacant allotments, the FCC is imposing a freeze on the filing of minor change applications for both commercial and noncommercial FM radio stations.  The freeze will go into effect after 11:59 PM on November 25, 2009 and remain in effect through the close of the filing window.  Accordingly, any existing FM stations that intend to file a minor modification in November and December should plan ahead so they don't get delayed by the freeze.  In addition, the FCC has also imposed a freeze, effective immediately, on any applications proposing to change the reference coordinates for these 67 allotments.  Similarly, petitions or counterproposals proposing a change in the class, channel, or community of license of any of the allotments will not be accepted until December 19th, after the filing window has closed. 

Will TV Channel 6 Be Used For Radio? - MMTC Petition Raises the Issue, Again

With the end of the DTV transition, the future use of TV channels 5 and 6, about which we have written before, is now back before the Commission in connection with an FCC filing by the Minority Media and Telecommunications Council, whose "radio rescue petition" was recently placed on a public notice opening a 30 day public comment period.   The FCC already has before it comments filed in its Diversity proceeding suggesting that these channels be reallocated for radio use, as Channel 6 is immediately adjacent to the lower end of the FM band, and the sound from many analog channel 6 TV stations could be heard on FM receivers.  While this petition has been opposed by certain TV interests, it is interesting to note that many television operators have been acknowledging that VHF channels, which had been the preferred channels for analog operations, may not be as advantageous for digital use, especially in urban areas, and may be particularly problematic for use with mobile digital television systems which are about to be introduced.

 In an analog world, VHF channels (those between 2 and 13) were prized by broadcasters, as stations operating on those channels could operate at power levels significantly lower than UHF stations (saving electricity costs), and still cover greater areas.  Many broadcasters thought that these benefits, particularly the lower power costs, would carry over into the digital world, and opted to remain on VHF channels for their digital operations - in some case abandoning the UHF temporary transition channel on which they were operating digitally during the period when they were running both a digital and an analog station before the end of the transition, to return to their VHF channel for their final digital operation.  Right after the digital transition was complete and these stations had moved back to their old VHF channels for their digital operations, in several major markets, many broadcasters operating on VHF channels found that their digital operations had significant problems, as the power levels were insufficient to reach many over-the-air sets, particularly those using "rabbit ears" antennas in urban areas.  

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Lots of Leftovers as FM Auction Comes to a Close

The FCC's auction of 122 FM radio licenses came to a close last week with nearly a third of the licenses -- 37 to be precise -- remaining unsold at the closing hammer.  The outcome of the auction, which raised a net total of just $5.25 million on the sale of 85 licenses, may be seen by some as but the latest example of the current state of the radio industry.  As others have noted , the auction did not attract much attention from the beginning, with many of the qualified bidders depositing only small amounts of money, signaling that interest in the slate of licenses was not very keen. 

Admittedly, the large number of unsold licenses and the small total earnings for the 85 licenses that did sell is a reflection of the fact that many of the licenses being offered were smaller facilities in less populated areas, however, the auction results also reflect that it is a buyer's market these days.  The fact that 37 licenses went unsold meant that not a single bidder was willing to pay even the opening bid amounts for over three dozen of the licenses.  In the current marketplace, the FCC's opening price for these licenses was simply thought to be too high.  Further, of the 85 licenses that did sell, 33 of them were virtually uncontested, with the winning bid being submitted in the first, second, or third round.  Only a handful of the licenses saw active bidding throughout the auction. 

For those that succeeded in picking up a station in the auction, the 20% down payment is due by October 2, with the final payment and long form applications due by October 19, 2009.  A copy of the FCC's closing Public Notice is available here.  And for now, the unsold licenses will remain with the FCC to be re-auctioned at some point in the future, hopefully to a better result. 

FCC Adopts Rules Permitting AM Rebroadcasts on FM Translators

The FCC today adopted an Order revising its rules to permit the rebroadcast of AM radio stations on FM translator stations.  A copy of the Order is available here.  By this Order, the FCC formally adopted the interim policy that it has experimented with in the past year and a half since the release of the Notice of Proposed Rule Making in this proceeding.  The Commission acknowledged that the interim rule has worked well and that allowing AM stations the same flexibility to use FM translators to enhance their service is in the public interest. 

Per today's Order:  "Specifically, AM broadcast stations will be allowed to use currently authorized FM translator stations (i.e., those now licensed or authorized in construction permits that have not expired) to rebroadcast their AM signals, provided that no portion of the 60 dBu contour of any such FM translator station extends beyond the smaller of: (a) a 25-mile radius from the AM transmitter site; or (b) the 2 mV/m daytime contour of the AM station. In addition, AM broadcast licensees with Class D facilities will be allowed to originate programming on such FM translators during periods when their AM station is not operating."

Several things to note:

First, "currently authorized FM translators" means translator stations with licenses or permits in effect as of May 1st, 2009.  As expected, there is no opportunity to seek authorization for new FM translators, and by extension, there was no need for the FCC to address the issue of priorities between LPFM stations and FM translators (which the FCC says it will address in the pending LPFM rule making).  So this rule change simply allows existing FM translator stations to rebroadcast AM stations.

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LPFM - When a Secondary Service Becomes Primary

When the Low Power FM service was first authorized, it was as a "secondary service," though a recent court decision shows how that secondary status is becoming less and less a reality.  A secondary service is traditionally one that can be allotted where there are no other uses for a particular frequency, and which is subject to being bumped off the spectrum should there be another demand for that spectrum by a "primary" user.  LPFM stations were originally supposed to provide service to areas between full-power FM radio stations, and to be bumped off the air if there was a new FM station authorized or a change in the frequency or power of an existing station.  A decision of the Court of Appeals released earlier this month , upholding an FCC order giving more protections to LPFM stations, puts this secondary service into question.

The Court decision upheld the Commission's decision, about which we wrote here, determining that waivers of second adjacent channel interference limitations between LPFM and full power stations should be permitted to help preserve LPFM service.  In addition, the Court upheld the FCC's process in adopting a new "interim" policy which provides that, where an LPFM is providing 8 hours a day of local programming and would be knocked off the air by an upgrade or city of license change of a full-power station, the LPFM station could apply for a waiver of its secondary status, and there would be a rebuttable presumption in favor of such a waiver.  If the waiver is granted, the LPFM station would be preserved, and the application of the full-power station dismissed.  Thus, effectively, LPFM would no longer be secondary, but instead will have assumed a primary, protected status.

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FCC (Belatedly) Suspends June 1st Ownership Report Deadline

In a truly eleventh-hour decision, the FCC released an Order late Friday evening suspending the filing of FCC Form 323 Ownership Reports that would otherwise be due on Monday, June 1st for certain broadcast stations.  In its recent Report and Order adopted in the proceeding devoted to Promoting Diversification of Ownership in the Broadcasting Services, the Commission revised its rules to implement a single November 1st filing deadline for all commercial broadcast stations to submit an ownership report.  The Order, however, neglected to address the fact that numerous broadcast stations faced filing deadlines under the current rules that would require an ownership report to be filed by June 1, August 1, or October 1 (depending on a station's license renewal anniversary). 

It is unclear why this issue was not addressed as part of the earlier Report and Order, which was adopted nearly two months ago on April 8th, or why today's Order was not released earlier in order to prevent stations from filing in advance of the June 1st deadline, but the clarification will be helpful for those stations that have not yet filed, or for those that would otherwise face an August 1st or October 1st ownership report deadline.  For those stations that have already filed their Ownership Reports consistent with the June 1st deadline, the Order is silent as to whether the FCC will refund the filing fees paid by those licensees, or alternatively, if those licensees will be required to pay another fee come November 1st. 

Comments Due on July 13 on FCC Proposals to Restrict Movement of FM Stations

Last month, the FCC released its proposal to restrict the movement of FM stations from rural areas into larger markets (which we summarized here).  The proposals that the FCC has put forward would greatly restrict the ability of broadcast owners to move stations to cover larger population areas - in many senses reversing the decision of the FCC just two years ago granting stations more flexibility to change cities of license and otherwise improve their facilities (see our posts here and here).  As we pointed out in our summary of the proposals, if adopted, these new rules could impair diversity - making it harder for minorities and other new entrants to acquire stations in larger markets, as move-in stations often provide the only opportunities for such groups to acquire stations at reasonable prices.  The FCC order advancing these changes has now been published in the Federal Register, setting the date for the filing of public comments on these proposals.  Comments are due to be filed on July 13, with replies due by August 11.   Broadcasters interested in these issues should start to prepare those comments now, providing the Commission with sufficient information to show the public interest benefits of these station moves.   

FCC Proposes to Encourage Rural Radio By Making it More Difficult to Move Radio Stations to Urban Areas

Rural communities – do their radio stations need government protection? The FCC seems to think so, proposing a series of new rules and policies that restrict the ability of the owners of rural radio stations to move their stations into Urban areas. These rules would make it harder for entrepreneurs to do “move in” applications – taking stations from less populated areas and moving them to communities where they can serve larger populations in nearby cities. The Commission states that it is making these proposals to attempt to live up to its obligations under Section 307(b) of the Communications Act to ensure a “fair, efficient and equitable” distribution of radio services to the various states and communities in the country. While this may be a noble goal, one wonders if it is a solution in search of a problem. Are there really rural communities that have an unmet demand for missing radio services – and which can economically support such services? And do these proposals conflict with other goals of the new Commission, by effectively decreasing the opportunities for minorities and other new entrants from acquiring stations in major markets – by taking away move-in stations that are often the only stations that these broadcast station owners can afford in urban markets?  These are questions that the FCC will need to resolve as part of this proceeding. 

A Section 307(b) analysis is done by the FCC when it faces conflicting proposals, specifying different communities of license, for new AM stations or requests for new FM allotments. It is also required when an applicant proposes to move a station from one community to another, as the applicant must demonstrate that the move to the new community would better serve the objectives of Section 307(b) than would the current location of the station. In the past, the 307(b)  analysis looks at several factors, or “Priorities.” These include:

 

  1. Service to white areas – when a proposed station will serve “white area,” an area where residents currently receive no predicted radio service (no “reception service” in FCC parlance). 
  2. Service to gray areas – when a proposed station will serve areas that currently receive only a single reception service
  3. Provision of a first local “transmission” service – where the proposed station will be the first station licensed to a particular community, and thus the first station that has the primary responsibility to serve the needs of that community
  4. Other public interest factors – usually meaning which proposal will provide the service to the most people (with service to “underserved areas,” i.e. those that receive 5 or fewer “reception services,” getting somewhat more weight).
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Rules for September Auction for New FM Stations Set - Application Filing Deadline Is June 25

The dates and minimum bids are set – and the next auction for new FM stations is a go for September 1, 2009Applications to participate in the auction are due during the period June 16 to June 25, and must be filed electronically at the FCC, specifying on which of the 122 available channels an applicant is interested in bidding. Full, detailed auction instructions can be found in the FCC’s Public Notice, and the list of available channels and the minimum bids for each is available here. To give time for applicants to prepare their applications, the Commission has also initiated a variety of freezes on the filing of certain FM applications.

A freeze on any application or Petition for Rulemaking seeking a change in the channel of any channel proposed for use in this auction has been imposed effective immediately. Applications that shortspace any of the reference points for any of these stations are also barred. A subsequent freeze on the filing of any minor change application by an FM licensee will also be imposed during the June window. These freezes are to give applicants for channels the opportunity to evaluate which channels are worth bidding for, and to specify specific transmitter sites for certain channels (different than the reference coordinates) which will be protected during the auction process. Thus, applicants who see the potential for an increase in value of one of these channels that may come through the location of the station at a particular transmitter site can specify that site, protecting it and the value that they see. 

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FCC to Hold Auction for New FM Stations in September

The FCC has released a public notice asking for comment on the procedures that it plans to use for a new FM auction now scheduled to be held in September.  The channels to be included in that auction, and the proposed minimum bids for those channels, can be found on a list released by the Commission, here.  Parties who are interested in bidding for any of these channels will be able to submit short form applications indicating the channels in which they are interested at some point to be determined in the future - probably late Spring or early Summer, so that the FCC can process those applications and receive the necessary upfront payments from parties interested in the auction in time for the auction itself to begin in September.  Thus, parties who are interested in any of these channels should start their due diligence process now, and determine which channels may be of interest, and which channels can actually be built in such a way as to cover areas that an applicant may want to serve, so that they can be ready to file their applications, probably in May or June.

Applications, when filed, will not need to specify a specific transmitter site but, once the auction is over, winning bidders will need to quickly identify and file complete applications containing specific transmitter sites for which they have reasonable assurance.  Thus, they should begin preparations for the auction now.  Applicants who have identified a site can specify that site in their applications to protect it from subsequent applications.  Thus, FM broadcasters should also anticipate a freeze on the filing of any FM technical applications at some point in late Spring in anticipation of the auction, in order to give applicants a stable technical situation so that they can identify usable transmitter sites. 

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FCC Asks for Comments on Increased Power for Digital Radio

The FCC has requested public comment on the proposal (about which we wrote here) to increase the power of the digital radio transmissions from 1 per cent of a primary station's power to 10 per cent of that station's power.  The proposal to increase power for stations using the HD Radio system is supposed to help overcome reception issues, especially in buildings and in areas with terrain obstacles.  The Commission pointed to the discrepancy between that request, which minimized problems that would occur from such a power increase in HD Radio's In Band On Channel digital operation, and the report issued by National Public Radio (about which we wrote here) that suggested that such a power increase would result in significant interference.  This proposal may well divide FM broadcasters between those who feel that it is more important to increase power to help digital broadcasts penetrate buildings and other obstacles, and those who fear that this increased power will interfere with their analog operations - particularly affecting stations operating on channels adjacent to stronger stations operating in digital or with a fringe signal in their target market.  Comments are due November 28, and replies on January 4.  As with any proposal on radio's digital conversion, this is bound to be controversial. 

What to Do With TV Channels 5 and 6 - Proposals to Turn Them Over to Radio Services

The Digital Television conversion has allowed the FCC to reclaim significant portions of the TV spectrum for wireless and public safety uses - television channels above 51 will no longer be used for broadcast TV at the end of the analog to digital transition.  But, as part of the FCC's Diversity proceeding (see our post here), a proposal dealing with the other end of the TV spectrum is being considered - whether to remove Channels 5 and 6 from the television band and instead use these channels for FM radio.  These channels are adjacent to the lower end of the FM band.  Because of this adjacency, the existence of TV Channel 6 in a market can limit the use of the lowest end of the FM band (used for Noncommercial Educational stations) to avoid interference to the TV station.  Similarly, Channel 6's audio can be heard on many FM radio receivers, a fact that has recently been used by some LPTV operators to use their stations to deliver an audio service that can be received by FM radios (see our post on this subject).  In comments filed in the Diversity proceeding, parties have taken positions all across the spectrum - from television operators who have opposed using the channel for anything but television, to those suggesting that the channels be entirely cleared of television users and turned into a digital radio service.  Proposals also suggest using the band for LPFM operations, and even for clearing the AM band by assigning AM operators to this band to commence new digital operations.

In comments that our firm submitted on behalf of a group of noncommercial FM radio licensees who also rebroadcast their signals on a number of FM translator stations, we suggested that Channel 6 could provide a home for LPFM operations, instead of trying to squeeze those stations into the existing FM band.  There are currently proposals to squeeze more LPFM stations into the FM band by supplanting some FM translators (see our summary of some of those proposals here).  In these comments in the Diversity proceeding, we pointed out that, as there are currently radios on the market that receive 87.9, 87.7 and even 87.5, using these three channels for LPFM service would provide an immediate home to these stations, and far more opportunity for than LPFM would have in the already congested FM band.  These opportunities would exist even in most of the largest radio markets in the country, except in the handful of markets where a Channel 6 television station will continue to operate after the digital transition.  By adopting this proposal, the service that would be provided by FM translators would not be threatened. 

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Proposal Filed at the FCC for Increase in HD Radio Power

In a proposal filed by many of the nation's largest radio broadcasters, a request was made that the FCC allow FM stations operating with the HD Radio (or "IBOC system" - for "In Band On Channel" as the digital signal is transmitted on the same channel as the current analog signal) to increase power by up to 10 dbu, which is said to be less than 10% of a station's authorized analog power.  The proposal cites the power increase as one that, in most cases, can be made without interference to adjacent channel stations.  In certain instances, particularly those of grandfathered short-spaced stations, only certain lesser power increases would be permitted under this proposal.  The proponents contend that the increased power will help stations replicate their analog service and increase building penetration so that the service can be received inside large office buildings and even in parking garages.  The proponents submit engineering studies that support their position.

I have worded this post very cautiously.  We write about many significant and controversial issues on this blog - e.g. indecency, music royalties, multiple ownership rules - but the most animated responses we usually receive is when a post deals with HD Radio.  While we have written about many broadcasters who have adopted the HD radio system and are using the multicast ability to bring new services to their communities, we recognize that there are many critics of the programming on HD Radio, or the design of the tuning functions on the radio, or for the lack of the consumer "value proposition" for the purchase of a new radio required to receive the digital transmissions.  However, we have found that there are also many who feel vehemently that there are engineering issues with the service.  So we post this notice of the FCC filing, and look forward to the response that we will receive.

NCE Application Processing Marches On - FCC Identifies A Number of Groups of Mutually Exclusive Applications

The processing of the applications for new noncommercial FM stations marches on.  This week, the FCC released a list of groups of Mutually Exclusive applications (commonly known by those who regularly deal with the FCC as "MX groups"), i.e. applications that are linked together in that, because of interference concerns, not all can be granted.  In some cases, all of the applications in an MX group overlap with each other so that only one can be granted.  In other cases, referred to as "daisy chains", you have a situation where Application A precludes Application B from being granted, and Application B prevents Application C from being granted.  While A and C could be granted if not for B, all three end up in a single MX group.  According to the Public Notice released with the list of MX groups, the applications on this list are all situations were there are 13 or fewer applicants in the MX group.  MX groups with a greater number of applications will appear on a subsequent public notice.  MX Groups with 4 or fewer applications were identified back in March.

The Commission has advised all applicants to review the lists to see if they were included in an MX group erroneously or omitted from an MX group in which they should have been included.  If they discover a mistake, the applicant should file, within 30 days, notice with the FCC so that its application can be processed with the group to which it belongs.  Applicants can also try to work out settlements during the 30 day comment period (or notify the FCC at the end of the period that they are still working on a settlement).  Otherwise, at the end of the 30 day period the FCC promises to begin work to resolve the MX cases through the use of the point system (which we explained, here).  So the process marches on, and we should start to see more applications from the noncommercial filing window acted on in the coming months.

FCC Extends Comment Deadline in Diversity Proceeding

The FCC today issued an order extending the comment deadline in its Broadcast Diversity proceeding, extending the comment date a full month until July 30, with Reply Comments now due on August 29.  This important proceeding, about which we wrote here, will address many issues, including proposals to, among other things, repurpose television Channel 6 (and possibly Channel 5) for FM use after the completion of the television digital transition, to allow FM licensees who multicast to sell one of their multicast channels independently of the main channel, to allow certain AM stations with expanded band channels to avoid turning in one of their channels at the end of the 5 year transition period if the licensee is a designated entity (or sells one of its channels to a designated entity), and to provide Class A television stations with must-carry status.  The rulemaking proceeding will also look at whether the current definition of a designated entity (focusing on the fact that it is a small business as opposed to any review of the race or gender of its owners) is the one that the FCC should continue to use.  Thus, this is an important proceeding in which many broadcasters should be interested, and now you have more time to prepare comments on the issues that are raised.

REVISED Comment Date for FCC Diversity Proceeding -- Comments now due June 30th

The Commission today published notice in the Federal Register revising the dates for submitting comments in its rule making "In the Matter of Promoting Diversification of Ownership in the Broadcasting Services."  If you will recall, this is the rule making proceeding that seeks comment on a number of new proposals, including whether to revise the definition of "Designated Entities", possibly expanding the FM band to include TV channels 5 and 6, possibly adopting rules to allow AM expanded band stations to retain those stations or transfer them to Designated Entities, and whether Class A LPTV stations should be afforded must-carry rights on cable systems. 

Although the FCC had initially pegged the comment date at July 15th when it first published notice a couple of weeks ago, apparently that date was a miscalculation.  Thus, the dates for commenting have now been revised, and Comments in the proceeding are now due on or before June 30, 2008, and Reply Comments are due on or before July 14, 2008.  This means that interested parties have a couple of weeks less than initially thought to prepare and file comments in this proceeding, so start drafting now.  See our earlier summary of this proceeding for more information.  A copy of today's Federal Register notice can be found here

Comment Date Set for FCC Diversity Proceeding - Including Proposals on Expanding the FM Band and the Expanded AM Band

UPDATE  5-29-2008-  Please note, the Commission has revised the dates for submitting comments in this rule making proceeding.  Comments in the proceeding are now due on or before June 30, 2008, and Reply Comments are due on or before July 14, 2008.  This means that interested parties have a couple of weeks less than initially thought to prepare and file comments in this proceeding, so start drafting now.  A copy of the Federal Register correction notice can be found here

The FCC has published its Further Notice of Proposed Rulemaking on its efforts to encourage diversity in the broadcast media in the Federal Register, thus setting the dates for public comments.  The FCC is seeking comment on a number of ideas – some to restrict the definition of the Designated Entities that are eligible to take advantage of the rules promote diversity to minority groups and perhaps women, others to expand the universe of media outlets available to potential broadcast owners – including proposals to expand the FM band onto TV channels 5 and 6, and proposals to allow certain AM stations, which were to be returned to the FCC after their owners received construction permits for expanded band stations, to retain those stations or transfer them to Designated Entities.  There are numerous other issues to be considered that we summarized in detail here.  Check out the details, and file your comments, which are due on June 30. 

The Federal Register publication also sets the effective date for the Diversity rules that the FCC did adopt.  These rules will become effective on July 15.  We summarized the new rules here.  While many of these new rules are relatively uncontroversial, allowing certain limited exceptions to the multiple ownership rules for companies that help minority ownership, some have imposed new obligations that, in some cases, are not easily defined.  For instance, while no one would argue with the proposition that parties who discriminate based on race or gender should be penalized, the FCC adopted some rules that may need further clarification.  For instance, the FCC adopted new rules to require certifications that there has been no discrimination in all FCC applications seeking approval for the sale of a station (FCC Forms 314 and 315).  The FCC also adopted rules prohibiting dictates by advertisers that their advertising not run on urban or Spanish formatted stations ('no urban, no Spanish" dictates).  Yet, on neither of these rules did the FCC provide any specificity as to what they were prohibiting, or what the Commission would look at in enforcing these rules.  Watch for potential requests for reconsideration or clarification of these and perhaps other rules - which are due on June 15. 

Want a New FM Station? - The FCC Offers to Help Find One

As part of its efforts to diversify the ownership of the broadcast media, the FCC promised in its recent order on Localism in the media (see our summary here) to have its engineering staff come up with a computer program to help people determine where a new FM station can be allotted by the FCC, opening the process that will result in an auction to determine who gets a construction permit to build that station.  Today, the Commission's staff released a public notice announcing that this new program is now on-line, and that interested people can see where a new FM station will "fit" consistent with all FCC rules that require that certain spacings be maintained between stations on the same or adjacent channels to avoid interference.  The program for determining whether new allotments can be made is available here.  All you need to do is provide geographic coordinates for a potential station, and the Commission's new program will tell you if a new FM station could work there.

As the Commission notes in its Public Notice, the tool will only locate Class A FM stations - the lowest power station - limited to 6 kw of effective radiated power at 100 meters tower height - giving a station a protected coverage radius of approximately 15 miles (though actual coverage may differ depending on factors including terrain and the proximity of other stations).  Also note that simply finding an empty channel does not get you a station.  Instead, a party who finds a channel in an area that they would like to serve must then petition the FCC to "allot" the channel to a specific community that they want to serve.  That proposal is processed by the FCC's staff and, if acceptable, placed on public notice when other parties can comment on the proposal or file counterproposals suggesting the use of the frequency at some other location.  Once the Commission reviews any comments, they will decide whether to allot the channel.  If and when an allotment is made, it still isn't ready for application.  Instead, the FCC saves new allotments and periodically puts out lists of these new allotments available for application - a "window" notice as a precursor to a possible auction.  Interested parties can then file with the FCC indicating interest in the channel and, if more than one person expresses interest in the channel (which virtually always happens), the channel will be auctioned to the highest bidder (though new entrants do get some bidding credits).  All told, the process can take several years from the discovery of the available channel to the award of the construction permit.  But, while the process may not be fast, this new tool provided by the Commission has made it somewhat easier.

Broadcast Station Reminder -- Quarterly Filings due April 10th for DTV Education Efforts, Children's Programming, and Programs Lists

Quarterly Issues Programs Lists Due April 10th -- This is a eminder to all radio and television stations, both commercial and noncommercial, that Quarterly Issues Programs Lists reporting on the important issues facing the stations' communities, and the programs aired in the months of January, February, and March dealing with those issues must be prepared and placed in the stations' public inspection file by April 10, 2008. The failure to have a complete set of Quarterly Issues Programs lists, which were timely prepared and placed in a station’s public file, can lead to significant fines at license renewal time so all stations are urged to prepare their Quarterly Issues Programs lists in a timely fashion. See our full advisory for further details.

Please note, the New Form 355 for television stations has not yet become effective, but when it does, television stations will be required to use this new form to report on their programming content in great detail.  Stations should prepare for the implementation of this form now. 

Children's Program Reports Due April 10th --  Commercial full power and Class A low power television stations are reminded that Children's Television Programming Reports on FCC Form 398 must be prepared and filed electronically with the FCC by April 10, 2008. The Reports must also be placed in the stations' public inspection files by that date. Our recent advisory is available here with all the details, including the requirements for DTV stations airing multiple program streams and details about the new Form 398. Quarterly certifications regarding compliance with the commercial limitations in Children's Programming should also be prepared and placed in the public inspection file by April 10th.

New Form 388 Report on DTV Educational Efforts Due April 10th -- Last, and definitely not least, by April 10th full power television stations must electronically file the newly minted Form 388 reporting on their efforts to inform viewers about the DTV transition.  Although the FCC's new rules mandating educational efforts by TV stations were only effective March 31st (the last day of the quarter), the FCC nevertheless is requiring that all stations file a report detailing their DTV education efforts during the First Quarter of 2008.  Thus, stations will largely be reporting on any voluntary educational efforts undertaken in the first quarter (PSAs, news programs, etc.), as well as electing which of the three Options that they intend to employ for their DTV educational efforts going forward.  More information is available in our recent advisory

FCC's Acts to Increase Diversity in Media Ownership - Part 2, The Proposals for Future Actions - Channel 6 for FM, AM Expanded Band, Definition of Designated Entity, Must Carry for Class A TV and Others

We recently wrote about the Federal Communications Commission’s actions in their Diversity docket, designed to promote new entrants into the ranks of broadcast station owners. In addition to the rules adopted in the proceeding, the FCC is seeking comment on a number of other ideas – some to restrict the definition of the Designated Entities that are eligible to take advantage of these rules, others to expand the universe of media outlets available to potential broadcast owners – including proposals to expand the FM band onto TV channels 5 and 6, and proposals to allow certain AM stations, which were to be returned to the FCC after their owners received construction permits for expanded band stations, to retain those stations or transfer them to Designated Entities. The proposals, on which public comment is being sought, are summarized below.

Definition of Designated Entity. The first issue raised by the Commission deals with whether the class of applicants entitled to Designated Entity status and entitled to take advantage of the Commission’s diversity initiatives should be restricted. One proposal is to restrict the Designated Entity status to companies controlled by racial minorities. The Commission expressed skepticism about that proposal, noting that the courts had throw out several versions of the FCC’s EEO rules, finding that there was insufficient justification offered by the FCC to constitutionally justify raced-based preferences. The Commission asked that proponents of such preferences provide a “compelling” showing of needed, as necessary for a constitutional justification for governmental race-based discrimination.

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Dates Set for Comments on the Relationship Between Low Power FM Stations, FM Translators, and Full Power FM Upgrades

Federal Register publication of the Further Notice of Proposed Rulemaking on Low Power FM (LPFM) stations and their relationship to FM translators and upgrades of full-power FM stations occurred today.  This sets the comment dates in that proceeding - with comments due April 7, and replies on April 21.  This proceeding looks at technical issues of whether LPFM stations (which were originally authorized as secondary stations, subject to being knocked off the air if they caused interference to full-power stations (including new stations or increases in the facilities of existing stations), should be protected against interference from such new FM facilities.  Also, the proceeding looks at whether LPFM should get a preference over FM translators, perhaps even being able to bump existing FM translators off the air to make way for new LPFM stations.  We wrote more about this proceeding, here.  FM station and FM translator licensees should be sure to file comments with the FCC on how this proceeding could affect their operations.

Comments in Localism Proceeding due March 14

The Commission's Localism Report and related Notice of Proposed Rule Making seeking comment on a slate of proposed new rules has been published in the Federal Register.  Accordingly, Comments in this rule making proceeding must be filed with the Commission by March 14 and Reply Comments must be filed by April 14.  This is a very short period of time in which to comment on a number of significant proposals that are poised to return the broadcast industry to the regulatory structure of the 1980s.  As we reported earlier, the Commission proposes to re-regulate broadcast stations, and the NPRM suggests a number of substantive rule changes, such as effectively re-instating ascertainments, eliminating the unmanned operation of broadcast stations, imposing quantitative programming requirements, and requiring that main studios be maintained within a station's community of license.  This NPRM proposes a number of potentially burdensome requirements, many of which were eliminated by the Commission long ago, and many of which go beyond what the FCC has ever required.

Given the potential impact that the FCC's proposed rules could have on broadcast stations, broadcasters are encouraged to file comments in this important rule making proceeding. 
Comments can be filed with the Commission in paper or electronically through the FCC’s Electronic Comment Filing System.  When submitting comments, commenters should be sure to reference the docket number for this rule making, MB Docket No. 04-233.  

Correction - Comment Date Not Set on LPFM/Broadcaster Relationship

Last week, we published a note that the FCC had published the new rules on Low Power FM (LPFM) stations in the Federal Register, starting the comment period on the issues raised in the Further Notice of Proposed Rulemaking in that proceeding - principally addressing the relationship between LPFM stations and FM translators and improvements in full power FM stations.  But we were wrong about the comment date.  In an unusual action, the Federal Register publication only contained that portion of the FCC's order actually adopting new rules on ownership and transferability of LPFM stations, limiting the number of FM translator applications that one entity can process from the 2003 filing window, and announcing interim processing rules with respect to situations where interference to an LPFM station would be caused by upgrades to FM stations.  The section of the document which constitutes the Further Notice of Proposed Rulemaking were omitted from the Federal Register publication, even though it had been acted on simultaneously with the new rules that are going into effect, and even though the language dealing with the Further Notice was released together with the new rules, in a single document back in early December.

So the comment date on the relationship between LPFM stations, FM translators and the upgrades of full-power stations remain to be set - watch for the date to be set soon. 

Comment Date on the Relationship of Low Power FM Stations to FM Full Power Stations and Translators Set

[Correction 1/24/2008- we have published a correction to this entry, here, noting that the Federal Register publication described below contained only half of the FCC's order in its LPFM proceeding, omitting the portion seeking public comment.  That section of the order will apparently be published in the Federal Register at a later date - so the February 19 comment date set out below is incorrect.  Everyone has more time to prepare their comments.  The actual filing date will be set in the future.]

The FCC Order establishing new rules for Low Power FM (LPFM) Stations was published in the Federal Register on January 17.  This sets the date of February 19 for the filing of comments on the question of the relationship between LPFM stations and both FM translators and full-power FM stations.  These comments will address two issues, (1) whether LPFM stations should remain secondary stations, subject to being knocked off the air by new full-power FM stations and (2) whether LPFM stations should get some sort of priority over some or all FM translator stations.

LPFM stations have been "secondary" stations, meaning that they could be knocked off the air when a new FM station came on the air, or when improvements to the facilities of an existing FM station were constructed, if the new full-power FM facilities would be caused interference from the existing LPFM station.  As we wrote here, at its November meeting, the FCC decided that it needed more information to determine whether LPFM stations should continue to be secondary to new or improved FM stations.   While not reaching a final determination on that issue, the FCC adopted temporary processing policies which essentially force the full-power stations to deal with LPFM operators in cases where such interference arises - potentially blocking improvements in the facilities of a number of FM stations. 

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Broadcast Station Reminder: Children's Programming Reports and Quarterly Issues Programs Lists Due January 10th

A reminder to all radio and television broadcast stations, both commercial and noncommercial, that Quarterly Issues Programs Lists reporting on the important issues facing the stations' communities, and the programs aired in the months of October, November, and December dealing with those issues must be prepared and placed in the stations' public inspection file by January 10, 2008.  The failure to have a complete set of Quarterly Issues Programs lists, which were timely prepared and placed in a station’s public file, can lead to significant fines at license renewal time so all stations are urged to prepare their Quarterly Issues Programs lists in a timely fashion.  See our full advisory for further details.

In addition, commercial full power and Class A low power television stations are reminded that Children's Television Programming Reports on FCC Form 398 must be prepared and filed electronically with the FCC by January 10, 2008.  The Reports must also be placed in the stations' public inspection files by that date.  Our recent advisory is available here with all the details, including the requirements for DTV stations airing multiple program streams and details about the new Form 398.  Quarterly certifications regarding compliance with the commercial limitations in Children's Programming should also be prepared and placed in the public inspection file by January 10th. 

Who Needs LPFM? - Why Not Just Expand the FM Dial?

At last Tuesday's FCC meeting, the Commission adopted a controversial order, over the objection of two Commissioners, that could limit the processing of some applications for improvements by some full power FM stations, and would restrict translator applications, all in the name of encouraging Low Power FM (LPFM) stations to provide outlets for expression by groups that cannot get access to full-power radio stations (see our summary of that action here).  In recent weeks, two ideas have received some publicity providing an alternative outlet for these prospective local broadcasters - and both provide a simple solution (one more immediate and ad hoc than that other), but both leading to the same result - why not just extend the FM band by using TV channel 6?

The current FM band begins at 88.1 MHz, a channel that is actually immediately adjacent to TV Channel 6.  The FCC has for years restricted operations of noncommercial FM stations (which operate from 88.1 to 91.9 on the FM dial) in areas where there are Channel 6 TV stations in order to prevent the radio stations from creating interference to the reception of the TV stations.  That's while you will often find fewer noncommercial stations, or ones with weaker coverage, in communities that have TV Channel 6 licensees.  TV stations use an FM transmission system for their audio.  Thus, you will also find that most FM receivers (especially ones without digital tuners) will pick up the audio from TV channel 6 if tuned all the way to the left of the dial.  The short-term solution to expanding the FM band came from one broadcaster who noted that fact.

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Next Step Announced for NCE FM Window Applications

This afternoon, FCC today released a Public Notice regarding the recent NCE FM filing window during which the FCC accepted applications for new noncommercial FM radio stations.  By this Public Notice, the Commission has opened a 60-day settlement period for parties to resolve any technical conflicts between their applications, either by making technical amendments or by reaching a settlement with the other parties.  Instead of providing lists indicating the applications filed in response to the window that are Singletons (i.e., don't have any conflicts and can go straight to processing), dismissed outright,  or mutually exclusive with other applications as it has done in the past, the FCC instead leaves it to the applicants to figure out which category they are in and to identify any other mutually exclusive proposals that might be blocking their proposal.

This, of course, can only be accomplished if the FCC makes the applications available in their databases, which it started to do this afternoon.  Thus, the next step is for applicants to check the FCC's CDBS database and see if their application is either:  1.) Dismissed, 2.) Accepted for Filing, or 3.) Tendered for Filing.  Dismissed is self-explanatory.  Accepted for Filing means that there were no initial conflicts and that the application will progress through the normal processing procedures, hopefully to be granted in due course.  These applications will appear as accepted for filing in the FCC's daily public notices some time next week and move on from there. 

In the event that the database reflects that an application is Tendered for Filing, this indicates that there is a conflict with at least one other application that was filed during the NCE FM window.  The next step in that case is to have your consulting engineer study the situation and see what the conflict is.  Once you have a sense of the conflicts you are facing, you can start to assess whether there is an engineering solution that might allow your application  to be granted, whether you could settle with the other applicants, or if your application could win on the basis of preferential service or a comparative point analysis.  The 60-day period for technical amendments and joint settlements starts today and will expire on January 7th.

Comment Date Set for Proceeding Regarding Use of FM Translators by AM Stations

The FCC's proposal to allow FM translators to rebroadcast the signals of AM stations as a fill-in service has been published in the Federal Register setting the dates for comment.  Comments in the proceeding will be due by January 7, 2008, with Reply Comments due on or before February 4, 2008.  As we wrote back in August (available here), the Commission's rule making proposes to allow FM translators to rebroadcast the signal of AM stations - and potentially to originate programming during those nighttime hours when a daytime-only AM station is not permitted to operate.  The proposal is to permit AM stations to operate FM translators in an area that is the lesser of a circle 25 miles from their transmitter site or within their 2 mv/m daytime service contour.  In proposing the changes in its rules, the Commission raised a number of questions on which it seeks public comment, including whether the proposal is in the public interest, whether there should be a cap on the number of translators an AM station can employ, and whether an extension beyond the AM station's 2 mv/m contour should be permitted.  Please see the FCC's Notice of Proposed Rule Making or our earlier blog entry for further information.  Comments can be filed with the Commission in paper or electronically via ECFS, and should refer to MB Docket No. 07-172.

Another Indication that LPFM Could Get More Protections

Last week, FCC Chairman Kevin Martin was quoted in several trade press reports as having told the House Small Business Committee that his office was working on an item to be circulated among the other commissioners that would ensure low power FM ("LPFM") stations "would have reasonable access to limited radio spectrum."  So what does this mean?  As we wrote recently, the FCC seems to be delaying the processing of some applications for modifications of full-power FM stations because those applications would create interference which would knock an LPFM station off the air.  The FCC is currently looking for ways to preserve the LPFM.  We've expressed concerns that this action could be a precursor to the resolution of a pending rulemaking proceeding which asks whether the protection of LPFM stations by new full power stations or ones seeking upgrades should be mandatory.  Could the Chairman's statements provide an indication of where that proceeding is going?  If so, it would be bad news for full-power FM stations.

The adoption of such an order would also raise questions of how the FCC will deal with conflicts between LPFM stations and translators.  The same proceeding that asked whether LPFM stations should be protected from increases in power by full-power stations also asked whether LPFM should have a preference over FM translators, even suggesting that a new LPFM could knock an FM translator off the air.  Given the broad investment across the country in translators and the unique service that they provide in both rural and more urban areas, often importing unique noncommercial channels, would the additional localism provided by LPFM justify the change in FCC policy?  We may well see how the FCC balances these competing interests in the near future. 

LPFM Slowing Processing of Full Power FM Stations

During a panel at the NAB Radio Show, FCC Audio Services Division Chief Peter Doyle was asked a question about the processing of FM applications filed under the new simplified process for upgrades in their technical facilities and for changes in their cities of license (see our post here for details about that process).  The question dealt with rumors that the processing of certain FM applications were being delayed if the proposed upgrade would cause interference problems to any LPFM stations which would threaten their existence.  We have written about our concerns that such a policy was possible, here.  According to the response yesterday, these delays are indeed taking place - meaning that LPFM stations that are supposed to be secondary services which yield to new or improved full-service stations are now blocking improvements in the facilities of these full-power stations.

Doyle explained that, at the moment, there is no policy of denying the full-service station's application - but these applications are being put on hold if they would impede an LPFM's ability to continue to operate in order to study options as to how the LPFM service might be preserved through a technical change or through agreements to accept interference.  While no final determination has been reached as to what will happen to the applications if there is no available resolution to the LPFM interference issue, he pointed to the pending rulemaking (pending for almost two years) that would give LPFM's higher status, and in effect allow them to preclude new or improved full-service operations.  There was some indication that these actions were being taken pursuant to the potential policies set out in that Notice of Proposed Rulemaking - even though these policies were simply proposals advanced for public comment and have not yet been adopted by the full Commission.

 

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Broadcast Station Reminder: Children's Programming Reports and Quarterly Issues Programs Lists Due October 10th

A reminder to all radio and television broadcast stations, both commercial and noncommercial, that Quarterly Issues Programs Lists reporting on the important issues facing the stations' communities, and the programs aired in the months of July, August, and September dealing with those issues must be prepared and placed in the stations' public inspection file by October 10, 2007.  The failure to have a complete set of Quarterly Issues Programs lists, which were timely prepared and placed in a station’s public file, can lead to significant fines at license renewal time so all stations are urged to prepare their Quarterly Issues Programs lists in a timely fashion.  See our full advisory here for further details.

In addition, commercial full power and Class A low power television stations are reminded that Children's Television Programming Reports on FCC Form 398 must be prepared and filed electronically with the FCC by October 10, 2007.  The Reports must also be placed in the stations' public inspection files by that date.  Our recent advisory is available here with all the details, including the requirements for DTV stations airing multiple program streams and details about the new Form 398.  Quarterly certifications regarding compliance with the commercial limitations in Children's Programming should also be prepared and placed in the public inspection file by October 10th.

IBOC Digital Radio Rules Become Effective - Some Stations Lead the Way on Multicasting

Last Friday, the rules on over-the-air digital radio for AM and FM stations - the IBOC system or, as it is commonly known, HD Radio - became effective.  The most immediate effect of the new rules, which we summarized here, is the ability of AM stations to operate using the IBOC system at night.  The Commission determined that such operation offered more benefits than any interference it might create.  The final rules also allowed stations to begin digital operations - and multicast operations - on a permanent basis without prior FCC approval.  As these rules take effect, some stations are beginning to look to the multicast channels to provide new programming opportunities.

NPR has, in many ways, led the efforts to utilize digital radio for multicast operations.  In today's Washington Post, there is an article about the city's NPR affiliate, WAMU, which has recently announced plans to take its multicast operations to a new level.  WAMU had in the past programmed a substantial amount of bluegrass music, a local DC favorite.  Over time, that programming had been reduced as the station broadcast more and more talk programming.  The station had moved bluegrass to a full time Internet radio stream, and has now announced plans to move all of the remaining bluegrass and roots music programming (which had been limited to Sundays) to one of its IBOC digital multicast streams - and to include live announcers during at least some of this digital programming.  The Post article quotes the station manager as saying that the local Best Buy now knows that HD Radio is different from the service that XM or Sirius provide.

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Reminder: Annual EEO Public File Reports and Biennial Ownership Reports due October 1 for Select States

Annual EEO Public File Report Deadline - October 1

Affected StatesAlaska, American Samoa, Florida, Guam, Hawaii, Iowa, Mariana Islands, Missouri, Oregon, Puerto Rico, Virgin Islands, Washington

By October 1, 2007, radio and television Station Employment Units (SEU) in the states listed above must:  (1) prepare their Annual EEO Public File Report; (2) place it in the public inspection files of all stations comprising the SEU; and (3) post the Report on the websites, if any station in the SEU has a website.  The Annual EEO Public File Report summarizes the station's or the SEU's EEO activities during the previous 12 months, and provides information about the recruitment and outreach that the station conducted in the past year.  The states with the October 1 filing deadline are:  Alaska, American Samoa, Florida, Guam, Hawaii, Iowa, Mariana Islands, Missouri, Oregon, Puerto Rico, Virgin Islands, Washington. 

In addition to preparing the Annual EEO Public File Report by October 1, larger radio stations in Florida, Puerto Rico, and the Virgin Islands must also prepare and file with the Commission an FCC Form 397 Mid-Term EEO Report.  Please note, only radio station SEUs located in these three jurisdictions with 11 or more full-time employees are required to file an FCC Form 397 by October 1, 2007.

Biennial Ownership Report Deadline - October 1

Affected States:   Radio:  Alaska, American Samoa, Florida, Guam, Hawaii, Mariana Islands, Oregon, Puerto Rico, Virgin Islands, and Washington;  Television:  Iowa and Missouri

By October 1, 2007, radio stations in Alaska, American Samoa, Florida, Guam, Hawaii, Mariana Islands, Oregon, Puerto Rico, Virgin Islands, and Washington, and television stations in Iowa and Missouri must prepare and file an FCC Form 323 Biennial Ownership Report with the FCC.  Similarly, noncommercial stations in these states must file a Biennial Ownership Report on FCC Form 323-E.  Ownership Reports are filed every other year, reporting on changes in the licensee’s ownership and updating the information requested by the form.

The timing for the filing of the Biennial Ownership Report and the preparation of the Annual EEO Public File Report is based on the anniversary of the filing of the station's license renewal.  In turn, the renewal cycles are organized by state and type of service, and are staggered based on the FCC's prearranged schedule.  Periodically, we will remind groups of stations as to their upcoming deadlines, and stations should be vigilant to make these required filings.  Copies of our complete reminder memos containing additional information on each of these requirements can be found here (Ownership) and here (EEO).

More Information on October Filing Window for New Noncommerical FM Radio Stations

This article is no longer available. For more information on this tpoic, see  FCC Releases List of Groups of Mutually Exclusive Applications for New Noncommercial FM Stations

Broadcast Station Reminder: Annual EEO Public File Reports and Biennial Ownership Reports due August 1 for Select States

This article is no longer available. For more information on this topic, see  FCC Announces New Round of EEO Audits for Radio Stations; Reminds Broadcsters of Requirement to Post Annual EEO Public File Report on Station Website, and Cable Companies of Obligation to File EEO Program Annual Report

Broadcast Station Reminder: Children's Programming Reports and Quarterly Issues Programs Lists Due July 10th

This article is no longer available. For more information on this topic, see February Legal Deadlines for Broadcasters - Online Public File, Review of Incentive Auction Comments, Filing Deadline for FM Auction, and Lots of Renewals and EEO Public File Reports

FCC Issues Rules on Digital Radio - With Some Surprises that Could Eventually Impact Analog Operations

The FCC today issued the long-awaited text of its decision on Digital Audio radio - the so-called IBOC system.  As we have written, while adopted at its March meeting, the text of the decision has been missing in action.  With the release of the decision, which is available here, the effective date of the new rules can be set in the near future - 30 days after its publication in the Federal Register.  With the Order, the Commission also released its Second Further Notice of Proposed Rulemaking, addressing a host of new issues - some not confined to digital radio, but instead affecting the obligations of all radio operations.

The text provides the details for many of the actions that were announced at the March meeting, including authorizing the operation of AM stations in a digital mode at night, and the elimination of the requirements that stations ask permission for experimental operations before commencing multicast operations.  The Order also permits the use of dual antennas - one to be used solely for digital use - upon notification to the FCC.  In addition, the order addresses several other matters not discussed at the meeting, as set forth below. 

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FCC Releases Details on the Processing of Simplified City of License Change Applications

The FCC has just released a Public Notice providing guidance on various situations that may arise under the new simplified processing rules for changes in the city of license of AM and FM stations. These clarifications had been promised for many months, ever since the new rules became effective in mid-January.  The Public Notice sets out a number of scenarios as to when a broadcast station may change its channel or make a change in a city of license by using a Form 301 application, be processed on a first-come, first serve basis, not subject to competing applications, and when a more lengthy process must be used, requiring public notice and comment and the opportunity for counterproposals, before the change can be made. 

For those who have been involved in the filing of these applications since the January 19 effective date of the rules, and who have informally discussed these processes with the FCC, there are few if any major revelations in the Public Notice.  Essentially, city of license changes can be made on an application where the proposal moves a station from one city to another, when no new station could be located at the second city because of the licensed facilities of the station.  One clarification that had been discussed with the staff in preparation for applications already on file, and confirmed by this notice, is the fact that the new rules allow the change of channel of an existing station, at its current city of license, to a nonadjacent channel (one which is not precluded by the current station operation), using a Form 301 application, as long as there is no upgrade in facilities of the station.  Thus, a station could move from 92.1 to 105.3 (if it works under the FCC's technical standards), without any sort of notice and comment or competing proposal.  In some cases, the station could use this process to change channels, then file an upgrade application on the new channel, and complete a non-adjacent channel upgrade through a two step process never subject to formal comment or counterproposals. 

Even for those without applications currently pending, this public notice is worth reading, as it may give the broadcaster ideas of possible changes that can be made to improve the facilities of its stations.

FCC Revises Form 340 - Noncommercial Stations Can Now File One-Step City of License Changes

The FCC yesterday released a Public Notice announcing that the new Form 340 - Application for Construction Permit for Noncommercial Station - has been approved and is now effective.  This is the revised form that allows noncommercial FM stations operating in the educational reserved band to file for city of license changes as minor changes, rather than having to wait for major change filing windows - which historically have been rare for noncommercial operators.  So, noncommercial FM licensees who have been contemplating city of license changes - or commercial licensees looking at noncommercial city of license changes to "back fill" for their own proposed city of license change applications - are now free to file. 

Commercial FM operators have been free to file city of license changes as minor changes since January 19.  Many such applications have been filed, and they are being quickly processed by the FCC. For details about the new city-of-license-change procedure, see our posts here and here

New Noncommercial Educational Stations and New NCE Filing Window on the Way

This article is no longer available. For more information on this topic, see FCC Clarifies Rules for LPFM - Part 1 - What to Do With FM Translator Applications From the 2003 Filing Window, and Using Translators for the Rebroadcasting of AM Stations  

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Noncommercial Radio - New Stations on the Way

The Agenda for next week's FCC meeting includes the consideration of 76 groups of mutually exclusive applications for new noncommercial FM stations.  Many of the 200 or so applications contained in these groups have been pending at the FCC for almost 10 years.  Several years ago, the FCC adopted a point system to resolve cases involving these applications as many of the applications were mutually exclusive - meaning that technical considerations prevented more than one of the applications in each of these groups from being granted.  The point system awards each application points for perceived positive attributes such as being owned by a local organization or being part of a state-wide educational broadcasting network.    The adoption of the point system was supposed to speed the processing of these applications, and many such applications were granted using the point system before the processing seemingly stopped last year.  If the remaining applications are all dealt with next week as announced, this should clear the way for the opening of a new window for the filing of applications for new noncommercial FM stations

As it has been years since such a window last opened, the FCC expects that there is significant pent-up demand for new noncommercial stations, and that many applications will be filed.  Questions remain as to when the window will open (we are hearing Fall of 2007), and if there will be any sort of limit on the number of applications that can be filed.  Watch for further information on a noncommercial filing window in the coming months.

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Revised Form 301 Now Available

This article is no longer available. For more information on this topic, see FCC Releases Details on the Processing of Simplified City of License Change Applications  

 

Broadcast Station Reminder: January 10, 2007 - Quarterly Issues Programs Lists and Form 398 Children's Programming Reports Due

This article is no longer available. For more information on this topic, see Big Fines for Public File Violation that Escalated 

New City of License Change Rules Effective January 19

The FCC Order announcing a simplification of the procedures for changing cities of licenses of radio stations, and the modification of procedures for amending the FM Table of Allotments, was published in the Federal Register today.  Thus, the new rules will become effective in 30 days, on January 19.  The freeze on FM allotment changes that has been in place for the last year and a half will be lifted on that date.

Substantial questions remain about how these new rules will be implemented in practice.  Informal conversations with FCC staffers have indicated that further explanations of the procedures may be forthcoming.  Issues in the new rules include the fact that only 4 stations may be changed in any single, interrelated filing, which may hamper some of the larger, more complicated facilities changes that have become common over the last few years - and which allow many stations to improve their facilities through interrelated changes. 

There are also issues with city of license changes for noncommercial FM stations, as the new rules as written limit city of license changes to situations where the 1 mv/m contour of the station when moved would overlap with some part of the 1 mv/m service area of the station as currently licensed.  In other services, the limits are that the move must be mutually exclusive with the present facilities (e.g. the interfering and protected contours of the stations would overlap). 

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Text of Rulemaking on City of License Changes and FM Allotments Procedure Released

The FCC today released the full text of its Order amending the procedures to be used when making changes in the FM Table of Allotments, and allowing city-of-license changes for all radio services to be processed as minor change applications, which should substantially speed their processing.  The text, which provides the details of the decision announced earlier this month (which we summarized in our posting of November 3) can be found on the FCC's website, here.  The changes in the procedures will be effective 30 days after publication in the Federal Register.  We will provide a more detailed summary of this decision later today. 

Another FM Freeze in Anticipation of FM Auction 70


The FCC has announced that there will be a freeze on the filing of all FM minor change applications during the filing window for the initial applications (on Form 175 ) for Auction 70.   We gave more details on the upcoming auction in a posting last week.  The filing window, for an auction of 121 new FM channels, will open on December 6, 2006 and close on December 19, 2006. In addition to the freeze on all FM minor change applications during the filing window, a freeze on any proposal to amend the FM Table of Allotments for any of the 121 channels goes into effect immediately, and will last through the Auction 70 filing window.

The freeze will allow Auction 70 applicants to select transmitter sites without fear of the allowable area for their transmitter site changing beneath them as they plan their filings.  Auction applicants can, but don't need to, specify in their Form 175 applications a particular site that they will use if they are the successful bidder in the auction.  This allows auction applicants to protect preferred sites as, following the close of the Form 175 application filing window, the Media Bureau will not accept any applications or counterproposals which do not fully protect preferred site coordinates specified in Auction No. 70 Form 175 applications.

A copy of the Commission's Public Notice on the freeze can be found here.

FCC Adopts Procedure For New FM Auction

On Friday, just as parties are getting ready to submit applications due this week for an FM auction for "leftover" channels, the FCC announced the dates and procedures for its next FM auction.  The next auction will feature the 121 new FM channels listed in an appendix to the Public Notice.  The Public Notice sets out the rules and procedures that will govern the auction.  The auction itself will begin on March 7, 2007, with short-form applications (expressing an intent to bid on some or all of the channels) due between December 6 and December 19.

Other auction deadlines include the requirement for posting Upfront Payments necessary to compete in the auction on February 5, 2007.  An Auction Seminar will be conducted on December 6 in Washington to go over all the auction processes and procedures, and a Mock Auction, to allow applicants to practice with the electronic bidding system, will be held on March 5. 

So check the list to see if there might be a channel in which you might be interested.

 

Order Adopted Streamlining Changes to the FM Table of Allotments

At its open meeting this morning, the FCC unanimously adopted a Report and Order streamlining the process of modifying the community of license for FM and AM stations.  According to the comments at this morning's meeting, and the Commisison's News Release, the Order will do the following:

  • Allow AM and FM stations to seek a community of license change on a first-come, first-serve basis on an FCC Form 301 minor modification application.  Previously, AM stations were required to wait for a filing window, and FM stations had to endure a rule making proceeding before it could file a change to the community of license.   Such changes will be allowed on a Form 301 application if they are mutually exclusive with the station's daytime facilities, and must include a 307(b) showing demonstrating that the change in community is in the public interest. 
  • Require local public notice by FM stations to both the community it is moving into and the community that it is leaving.  The proposed community of license changes will also be published in the Federal Register and no action will be taken for 60 days in order to allow for public comment.
  • These community of license procedures will extend to noncommercial educational licensees as well.
  • The rule making filing fee will be required at the time that an applicant files a Form 301 application.
  • Allow electronic filing for allotment proceedings.
  • Defers consideration of a limit on the number of proposals that can be filed simultaneously until the Media Bureau can evaluate the impact of the new rules.
  • Leaves unchanged the current case-by-case review of proposals to relocate a community's sole local service to be another community's first local service.
  • And finally, the freeze on FM rule makings will be lifted when the new rules become effective, which will be 30 days after publication in the Federal Register. 

In addition to lifting the freeze that has been in place for a year and a half, this streamlining Order will greatly accelerate the process of modifying a station's community of license.  Previously, the two-step process of a rule making followed by an application for the change of community of license of an FM station took an estimated two years to complete.  Such changes for AM stations took twice that time, due to the fact that applicants had to wait for the FCC to open a filing window for such changes.  More details will be available once the text of the Order is released, so check back in the future. 

Reminder - Freeze on FM Minor Mod Applications and Opening of FM Auction Window

This article is no longer available. For more information on this topic, see  Another FM Freeze in Anticipation of FM Auction 70 

FCC to Consider FM Allotment Changes

According to the agenda for its meeting to be held on Friday, November 3, the FCC will finally adopt changes to its rules on FM allotment procedures and on changes in the city of license of broadcast stations.  The FCC issued its Notice of Proposed Rulemaking in this proceeding in June 2005.  This proceeding includes a proposal to make a city of license change a "minor change," which would not require a rulemaking for FM stations, and would not require a window filing for AM stations.  This could speed the processing of such changes, allowing stations to upgrade and otherwise improve their facilities.

The proceeding also deals with a number of other procedural issues, including whether a station should be allowed to change its city of license if it is the only station licensed to a community (generally prohibited under current rules), and whether the proponent of a new FM allotment should be required to file its Form 301 application for a construction permit (and pay the required filing fee) at the same time as it files a Petition seeking the new allotment (intended to encourage only serious applicants for new channels).

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