This week, the FCC released a Notice of Proposed Rulemaking containing its proposal for the annual regulatory fees to be paid by broadcasters in September of this year.  The annual fees are paid by all entities that the FCC regulates to reimburse the government for the cost of FCC operations.  The FCC decides how much each industry pays based on the percentage of the FCC’s workforce which is dedicated to regulating that industry.  In recent years, there has been significant debate over the amount of fees paid by broadcasters, with broadcast interests arguing that the FCC’s allocation of its workforce overestimated the number of employees working on broadcast matters.  In the proposal released this week, the FCC appeared to agree, allocating to other industries the work done by certain employees who were at least partially counted against broadcasters in the past.  This resulted in a proposal for the total fees to be paid by broadcast interests to decrease from the $62.07 million paid in 2022 to $55.68 million for 2023. 

The Commission will take comments on the proposed allocations and come up with final numbers late in the summer.  In recent years, the final order setting the fees has been released right around the Labor Day weekend.  Fees are typically paid in mid to late September (because they must be paid before the new fiscal year begins on October 1).

Continue Reading FCC Seeks Comments on Proposed Annual Regulatory Fees – Proposal Includes a Decrease in Fees To Be Paid By Broadcasters
  • The FCC’s Enforcement Bureau released a Public Notice announcing that EEO Mid-Term Reviews for radio and television stations will start

This week, the FCC released two Notices of Apparent Liability proposing to impose big fines on two pirate radio operators.  Using the enforcement tools – particularly the higher fines – authorized by the PIRATE Act passed by Congress in 2020, the FCC proposed a to impose a fine of $2,316,034 on one alleged operator of a pirate radio station in the New York City area, and a fine of $80,000 fine on another operator of a pirate station in Oregon.  We’ve written in the past about the FCC sending warning letters to landowners and pirate radio operators threatening big fines if they don’t cease operations (or, for landowners, if they don’t force their tenants to cease illegal operations).  But, as noted in the FCC’s Press Release, this is the first time since the adoption of the PIRATE Act that the FCC has gone beyond the warning phase to issue these notices of multimillion dollar “forfeitures” (fines) on pirate operators and, in the New York case, use the full force permitted by the law to levy the multimillion dollar fine.  Theoretically, the alleged pirates could respond to the Notices and contest the fines, but the FCC’s decisions seem adamant that these operators should be paying a substantial penalty.  It is probably no coincidence that these Notices were issued a little over a month after the FCC sent its annual report to Congress on its activities under the PIRATE Act, promising increased efforts to combat pirate radio in the new year. 

The New York pirate appears particularly brazen, prompting the largest fine yet levied against a pirate radio operator.  According to the Notice of Apparent Liability, two individuals have operated a pirate radio station in the New York borough of Queens for over a decade.  In 2013, the FCC’s Enforcement Bureau issued three Notices of Unauthorized Operation to the operators, warning them that their operations were illegal and needed to stop.  In 2014, agents personally confronted one of the operators who admitted ownership of the equipment, and again told him to stop operating.  When operations continued, a proposed fine of $20,000 was issued in 2015, but never paid or contested.   In 2016, as operations had continued, Federal Marshalls seized the station’s equipment.  Yet the pirate came back and continued operations – even using a website and social media to promote programs hosted by the two individuals named in this week’s Notice.  The FCC emphasized that the repeated, ongoing nature of the violation even after multiple warnings and prior government action prompted its substantial fine.  The PIRATE statute limits fines to $2,316,034 – otherwise, the FCC would have proposed a fine ten times larger, given the nature of the violation and the pirate’s apparent disregard of the FCC’s prior attempts to enforce the law.

Continue Reading Two Million Dollar Fine for Pirate Radio – Don’t Cross the Commission Again After You’ve Been Caught Once, Especially as More Enforcement Appears to be on the Way
  • As widely reported, Gigi Sohn has asked President Biden to withdraw her nomination to become the third Democratic FCC Commissioner
  • The FCC’s Media Bureau designated for evidentiary hearing a series of applications that, if granted, would transfer control of TEGNA

Early this year, we provided our look into the crystal ball to see what was on the FCC’s agenda for broadcasters in  the coming year.  Yesterday, the FCC published in the Federal Register its own list – its Semiannual Regulatory Agenda – listing an inventory of the matters at the FCC awaiting Commission action.  The

  • The American Music Fairness Act, proposing to enact a sound recording performance royalty for over-the-air broadcasters, was introduced in