Here are some of the regulatory developments of significance to broadcasters from the past week, with links to where you can go to find more information as to how these actions may affect your operations.

• The FCC’s Media Bureau released a Public Notice requesting comment on the TV Parental Guidelines ratings system.  In 1996, Congress determined that parents should be informed about the nature of TV programming and be able to block programming they believe is harmful to their children.  TV industry representatives created the TV Parental Guidelines age ratings system, which is overseen by TV Oversight Management Board (TVOMB).  In 2019, the FCC submitted a report to Congress on the status of the TV Parental Guidelines system, which included suggestions on increasing the system’s accuracy, accessibility, and transparency to the public, and increasing awareness of the TVOMB’s role.  The Bureau seeks comments on various issues related to these Guidelines, including whether the industry has adopted the FCC’s 2019 suggestions, the TVOMB’s effectiveness in administering the system, and the public’s awareness and understanding of the system.  Notably, the Bureau asks if changes are needed to include specific disclosures for shows with transgender and gender non-binary content.  Comments and reply comments responding to the Public Notice are due May 22 and June 22, respectively. 
• The U.S. Department of Justice’s Drug Enforcement Administration announced the rescheduling of state-regulated medical marijuana products from Schedule I to Schedule III of the Controlled Substances Act.  Schedule I drugs have no approved uses, while those on Schedule III can be distributed for medical purposes.  The DEA’s order did not address how medical marijuana can be advertised, as Schedule III drugs are still “controlled substances” whose marketing is regulated.  The DOJ also initiated an expedited administrative hearing process beginning June 29 to consider other changes to marijuana’s status under federal law.  Last December, we discussed how even after the rescheduling to Schedule III, marijuana advertising could remain restricted under federal law.  It is possible that the DOJ could address the legality of marijuana advertising in the upcoming June hearing.
• At the NAB Show, FCC Commissioner Trusty made remarks regarding broadcasters and their public interest obligations.  Trusty referenced a 1998 speech made by former FCC Chairman Powell in which Powell stated that he hoped for a visit from “the angel of the public interest,” someone who might appear and offer guidance on how to apply and follow that standard.  Trusty noted that broadcasters’ public interest obligations were more than a set of discrete rules and instead were designed to bring out the very best in broadcasting.  Trusty stated that she believed broadcasters could be their own “angels of the public interest” in delivering trusted information, connection, and service to their local communities, but to do so, the FCC must ensure that broadcasters can compete on a level playing field in today’s media marketplace.  She also stated that the renewed emphasis under Chairman Carr on ensuring broadcasters meet their public interest obligations was a “reason for optimism” that broadcasters would meet these obligations – expressing that a “trust but verify” regime was more nimble in addressing issues than one that merely relies on blanket rules. 
• The Media Bureau granted an application for the assignment of a Scranton, Pennsylvania TV station to Sinclair, which required a waiver of the Local TV Ownership Rule, which limits a broadcaster to owning two TV stations in any market, to allow Sinclair to own 3 TV stations in the Wilkes-Barre-Scranton-Hazelton, PA Nielsen Designated Market Area (DMA).  The Bureau found that granting the waiver was in the public interest because Sinclair’s acquisition of the station would expand local news and programming offerings in the DMA, and concluded that it was unlikely that an out-of-market competitor could operate the station as a standalone station due to the station’s diminished revenue prospects as the second to last ranked station in the DMA.  The Bureau further found that Sinclair’s acquisition of the station would not harm competition in the market, but would instead bolster it through Sinclair’s expanded programming offerings enabled by the combined stations’ revenues. 
• The Media Bureau released a Report and Order updating the FM Table of Allotments by allotting Channel 265C3 at Enterprise, Utah, as the community’s second local service, and changing KXUT’s community of license from Channel 227C2, Page, Arizona, to Channel 226C1, Orderville, Utah, and changing KXQX’s community of license from Channel 223A, Tusayan, Arizona, to Channel 223C2, Big Water, Utah, both as first local services.  The FCC will announce in the future when a filing window will open for applications to construct a new station on Channel 265C3 at Enterprise.
• The Media Bureau and Office of Managing Director issued an Order to Pay or to Show Cause against the licensee of a current and a former Montana AM station and a former Montana FM translator station proposing to revoke its current station’s license unless, within 60 days, the licensee pays its delinquent regulatory fees and interest, administrative costs, and penalties, or shows that the debts are not owed or should be waived or deferred.  The licensee has an unpaid regulatory fee debt totaling $6,754.80 for fiscal years 2019, 2021, 2022, and 2023 for both its currently and formerly licensed stations.