A year ago, the FCC approved the use of a computer modeling technique, known as "moment method modeling", to allow certain AM stations to do Proofs of Performance of directional antenna patterns without the costly and time-consuming process of proofing the antenna performance through the use of actual field strength measurements. 
David Oxenford
David Oxenford represents broadcasting and digital media companies in connection with regulatory, transactional and intellectual property issues. He has represented broadcasters and webcasters before the Federal Communications Commission, the Copyright Royalty Board, courts and other government agencies for over 30 years.
$16.57 Million Verdict in Hold Your Wee for Wii Case – What are the FCC Implications and What Should Broadcasters Learn?
A jury in Sacramento returned a $16.57 million verdict against Entercom Broadcasting’s local subsidiary in the case involving the death of a contestant in a radio station-sponsored contest. The contest – drinking water and waiting to see which contestant would win the Nintendo Wii by being the last to have to use the bathroom – led to the death of contestant Jennifer Strange by water intoxication. The station had argued that water intoxication was not a readily known risk of the contest that could have reasonably been anticipated. The plaintiff’s case, to refute this argument, included testimony of warnings from on-air station callers of the risks, and health complaints from contestants themselves, which were apparently ignored or minimized by the station employees who were involved in supervising the contest. This Blog does not purport to address negligence and personal liability questions, which we will leave to others. Instead, we’ll talk about the lesson to broadcasters and the FCC impact of this case.
First, the decision itself serves as a warning to broadcasters of the need to make employees aware of the ramifications of what goes on at a station. In a Radio Ink Column today, Publisher Eric Rhoads suggests that broadcasters must be careful in what they do, but also submits that owners and managers cannot take the fun out of radio. And while I wholeheartedly agree with the last sentiment, the fact that radio can be a fun business is all the more reason that owners and managers need to be careful about what goes on at a station. While we hate to be the lawyers who ruin all the fun, management does need to make employees aware of the nature of the broadcast medium, and the fact that real people are impacted by whatever is done on the station – whether it be a "joke" on the air which some people find offensive, a dangerous contest, or simply putting off compliance with some FCC rule. We are in a litigious time, and we have an FCC and a Congress with lots of pending matters that could determine the future of the industry. While it may seem amazing, a single contest gone wrong or wardrobe malfunction can set the tone for the regulation of an entire industry. So, while broadcast managers need to avoid being the heavies and playing it so safe that they take the fun out of broadcasting, they do need to impress on employees that they must be aware of the ramifications that their actions can have. Broadcasting is still a powerful medium, and because of that fact, actions taken by broadcasters can have an impact that is magnified far beyond what might be the case in other media or other industries. And because it is such a regulated industry, that impact can have huge consequences.Continue Reading $16.57 Million Verdict in Hold Your Wee for Wii Case – What are the FCC Implications and What Should Broadcasters Learn?
December 15 Deadline Set for Broadcasters to File Ownership Reports on New Form 323
As we expected, the FCC has set the date for the filing of the newly revised Ownership Reports on the revised FCC Form 323. All commercial broadcast stations nationwide will need to file by December 15, according to the Public Notice released today. According to the Public Notice, the Form will be available in…
Look for New Ownership Report Soon With Filing Deadline Likely for December
The FCC’s struggles to get a new FCC Ownership Report adopted, and to establish a uniform filing date for ownership reports from all commercial broadcasters, seems to be coming to an end. The new Form 323 Ownership Report was approved by the Office of Management and Budget last week, with the OMB apparently finding the FCC’s…
Could Calls on the FCC for More Spectrum Lead to the End of Over The Air TV?
An article from TV NewsCheck last week reported on an approach by an FCC representative to television operators, floating an idea that the FCC would "buy" TV spectrum from existing television station operators, and repurpose that spectrum for wireless users – presumably some sort of wireless broadband. The funds to buy the spectrum would come from the auction of the frequencies. Over-the-air TV viewers would perhaps be left with a limited over-the-air service. Today, another article cites a study filed at the Commission that suggests that the auction of TV spectrum could bring in more than three times the value of what that spectrum is for broadcasting. Could these developments grow into a ground swell that could signal the end of over-the-air television? Nicholas Negroponte made the much quoted observation almost 15 years ago, before the Internet was the multi-media service that it is today – that communications devices that were wired will become unwired, and those that were wireless would become wired – the "Negroponte Switch" or the process of "unwiring." But is this switch inevitable for television, and is it in the industry’s best interest?
The theory of unwiring looked at the growing demands of wireless data networks for more and more bandwidth. While voice and data services were, at one time, wired services (the plain old telephone, the fax, even the telegraph), more and more of that information is now being digitally packaged and delivered wirelessly. At the same time, video programming was delivered through wireless over-the-air television (though no one ever referred to it as "wireless"), but each year is more and more delivered by wired means (by cable companies and what used to be telephone companies). At this point, estimates are that only a bit more than 10% of television households get their television programming exclusively from over-the-air reception. Looking at this transition, some have theorized that the progression would continue, and the broadcast services would end up being delivered to fixed locations by wire, while the data services would be delivered wirelessly.Continue Reading Could Calls on the FCC for More Spectrum Lead to the End of Over The Air TV?
FCC Releases Agenda for First Workshop on Revisions to its Multiple Ownership Rules – Localism and Economic Competition Issues Included
The FCC has released the agenda for its Workshop on the multiple ownership rules (about which we wrote here). The workshop will span three mornings (November 2-4), and will include live testimony from a different panel each morning. The first panel will include the academic perspective on ownership rules, the second the view from "public interest organizations", and the third from industry representatives, though the participants on that panel are, at this point, the most unsettled. The Commission also requests written comments from the public, which can be filed through November 20. As we wrote when this topic first came up last month, these workshops are the first step in the FCC’s consideration of the multiple ownership rules – a review that it is required to conduct once every 4 years – with 2010 being the year in which such review is required.
The Commission sets out a series of questions that it would like to have addressed. These questions include:
- The FCC is required by statute to consider the rules governing local radio ownership, local television ownership, radio-TV cross-ownership, broadcast-newspaper cross-ownership and the dual network rule. The Commission asks if it should consider other rules in the context of this proceeding.
- In assessing ownership rules, should the Commission treat each rule in isolation, or should it look at all media together and attempt to craft more general rules addressing media consolidation as a whole in relevant markets?
- Should rules that are adopted be "bright line" rules, that limit entities to specific numbers of stations, or should the Commission make a case by case determination of whether a combination is in the public interest, subject to some general principles?
- Should the Commission address the traditional concepts of competition, diversity and localism to this proceeding, or come up with new ways of looking at these concepts, or different concepts to assess ownership goals?
- How should the FCC analyze competition, localism and diversity in today’s marketplace? What are the relevant markets for analysis? What metrics should be used?
- What studies or analysis should the FCC use to inform its decisions on these topics.
House Committee Passes Bill to Allow for More LPFM Stations – With Some Protections for Existing Broadcasters
Last Thursday, the possibility of more Low Power FM (LPFM) stations came a step closer, as a subcommittee of the House of Representatives Energy and Commerce Committee passed a bill (the text of which is here) which would remove existing Congressional restrictions on the FCC adopting rules to ignore potential interference from new LPFM stations to full power FMs operating on third-adjacent channels. With this committee approval coming at the same time as the Senate Judiciary Committee’s approval of a bill that would authorize a sound recording performance royalty on radio broadcasters’ over-the-air programming, this was not a good day legislatively for traditional broadcasters. But it certainly could have been worse, as the LPFM bill does contain new provisions that would serve to extend some protection to existing broadcasters from interference from new LPFM stations. Perhaps because of these new protections, the committee action was unanimous.
The new protections built into the bill include the following:
- Protection for third-adjacent channel full-power FM stations providing reading services for the blind
- Providing protection for FM translator input signals from interference from new LPFM stations
- For a year after a new LPFM goes on the air, it must broadcast notices that any listener who experiences interference to another FM station or FM translator from this new LPFM should report that interference to the LPFM station. In the event that interference is reported:
- The LPFM must notify the FCC and the third-adjacent channel station that is getting interference
- The LPFM station must address the interference that arises
- The FCC is charged with looking for ways to assist the LPFM in remediating interference, including allowing co-location of the LPFM at the same tower site as the FM station or FM translator to which interference is being caused
- The FCC will investigate allegations of interference from an FM broadcaster or FM translator, no matter how far that interference is from the station, and even if the interference is to mobile reception
The bill does not say, however, what happens if the interference is not remediated. Under current FCC rules for the FM translator service, a new translator must sign off if interference to existing stations cannot be resolved. The bill does not specify that remedy for LPFM. This issue remains to be resolved if the bill eventually passes Congress.Continue Reading House Committee Passes Bill to Allow for More LPFM Stations – With Some Protections for Existing Broadcasters
David Oxenford and FCC’s Bobby Baker Prepare Broadcasters for 2010 Elections with Webinar on Political Broadcasting Rules
On November 10, Davis Wright Tremaine’s David Oxenford and Bobby Baker, the head of the FCC’s Office of Political Broadcasting, conducted a webinar on the FCC’s political broadcasting rules and policies. The webinar originated from Lansing, Michigan, before an audience of Michigan Broadcasters, and was webcast to broadcasters in 13 other states. Topics discussed included reasonable…
Senate Judiciary Committee Approves Broadcast Performance Royalty – With Issues Yet to Resolve
The Senate Judiciary Committee today approved the bill to impose a performance royalty (or the "performance tax" as the NAB had called it) on radio broadcasters for the public performance of sound recordings on their over-the-air stations. As was the case in the House of Representatives when its Judiciary Committee approved their version of the bill, the Committee acknowledged that there was still work to do before a final bill would be ready for the full Congress. Nevertheless, this is the first time that the Judiciary Committees in both Houses of Congress have approved the performance royalty, serving as a warning to broadcasters that this issue may well be moving to a showdown before the full House and Senate during the current session of Congress.
There was only limited debate on the bill at the Committee hearing, yet several open issues were identified. The Committee made clear that, even though it was approving the bill in the form introduced and amended by its managers, there were still changes that would be made in the future before any legislation was ready to be finalized. Senator Feinstein of California discussed several of the issues. First, the bill as amended by the Senate managers (Senators Leahy and Hatch), the bill provided relief for small broadcasters so that any performance royalty would not impose an undue burden on them. The bill proposed the following royalty structure for small broadcasters:
(I) revenues of less than $50,000 – a royalty fee of $100 per year;
(II) revenues of at least $50,000 but less than $100,000 – a royalty fee of $500 per year;
(III) revenues of at least $100,000 but less than $500,000 – a royalty of $2,500 per year;
(IV) revenues of at least $500,000 but less than $1,250,000 – a royalty of $5,000 per year.
Senator Feinstein, who stated that she favored parity between all music services that pay a royalty, suggested that this same royalty structure should be applied to small webcasters who, under current settlement agreements, can pay almost 30 times the amount that a small broadcaster with the same revenues would pay under this bill – and those settlements were an improvement on the royalties that would have been paid under the decision of the Copyright Royalty Board. Senator Feinstein stated that "the parties" were working on an agreement that would amend the bill to extend these rates to small webcasters.Continue Reading Senate Judiciary Committee Approves Broadcast Performance Royalty – With Issues Yet to Resolve
Another FCC EEO Audit – This Time for Cable Systems, Not Broadcasters
As we’ve written before, the FCC every year aims to randomly audit 5% of all broadcast stations and multichannel video programming distributors (MVPDs) to assure their compliance with the Commission’s EEO rules. Every few months, the FCC releases a list of the lucky regulatees who have to respond to the audit. Today, the Commission issued…
