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. Continue Reading Gazing Into the Crystal Ball – What Washington Has In Store For Broadcasters in 2013

As we wrote last month, the FCC has issued an order attempting to resolve the remaining issues between FM translators from the 2003 FM translator window, whose processing has been frozen for over 5 years, and LPFM stations. As part of the Commission’s order, it decided that translator applicants would be limited to 3 applications in any "Appendix A market" – essentially the Top 150 Arbitron markets and a handful of other markets with high numbers of translator applicants – and 70 applications nationwide, of which at least 20 must be outside of the Appendix A markets. To move the processing of these applications forward, so that the FCC can get to its goal of clearing out the translator applications so that it can open a window for the filing of new LPFM applications in October, the FCC announced in a Public Notice released just before Christmas that translator applicants with applications pending that would be in excess of either the in-market cap of 3 application or the national cap of 70 applications, need to make elections as to which applications they will pursue during a window from January 10 through January 25. If only it were so simple.

The election is not a simple one – as it goes far beyond simply submitting a list of applications that an applicant seeks to prosecute. Instead, the applicant must meet the other criteria set out by the FCC in its order last month, and information demonstrating such compliance. For applicants seeking to prosecute more than 50 applications, or more than one application in any market, the applicant must show that each of the applications they are pursuing do not have 60 dbu overlap with any other application that they are pursuing, or with any translator authorization that they currently hold. For applicants seeking to prosecute more than 50 translator application (with those applications in excess of 50 having to be outside of the Appendix A markets), the applicant must also show that, at the transmitter site that they propose, there will be an opportunity at their proposed site for at least one LPFM station to operate on another frequency in the upcoming LPFM window. For those seeking to prosecute more than one application in an Appendix A market, the applicant must show that any additional applications will not preclude the use of LPFM opportunities identified through the use of the "grids" that the Commission adopted for measuring LPFM opportunities in their March order on this issue. These are not easy showings to make, so applicants looking to take advantage of these relaxations in the application caps need to get started on their engineering reviews immediately.Continue Reading Processing of 2003 FM Translators Continues – January 25 Deadline to Select Applications to Meet Application Caps

The FCC offered its solution for the remaining conflicts between LPFM advocates, applicants for new FM translators from the 2003 FM translator window, and full-power FM stations with a series of orders approved by the FCC at its open meeting on Friday. We wrote about some of the issues on the table for the FCC’s resolution

The relationship between low power FM stations and both FM translators and full-power FM stations will be addressed by the FCC at its open meeting on November 30 – the only issues on the FCC’s agenda for that meeting. We expect that two controversial matters will be discussed – (1) the effect that the thousands of FM translators that remain pending from the 2003 translator window will have on LPFM availability and how to deal with those applications and (2) the interference considerations between translators and full-power stations, including issues such as second-adjacent channel interference waivers and the situations in which LPFM interference to full-power stations will require that the LPFM cease operations. For LPFM advocates and applicants, issues are also outstanding about the qualifications for LPFM applicants in an upcoming (yet-to-be announced LPFM filing window), including whether there will be obligations placed on LPFM operations for specific amounts of local program origination.

The FM translator issue has been a long and contentious one. In 2003, during the last FM translator window, thousands of applications for FM translators were filed. LPFM advocates have contended that the grant of these applications would preclude LPFM opportunities. After processing applications for a couple of years, the FCC froze the processing of all the remaining applications, and in 2007 announced that applicants would only be able to prosecute 10 of their remaining pending applications. There were many objections filed to that decision. Last year, the FCC announced a much more granular process for determining which translator applications could be processed, looking on a market-by-market basis at the prospects of LPFM interference, and deciding that translator applications would only have to be dismissed where interference limited LPFM opportunities for a given number of LPFM stations. The Commission also decided that a cap of 50 applications should be imposed on the number of applications that one entity could continue to prosecute, and limited applicants to prosecuting one application per market. See our summary of the FCC decision on the translator-LPFM issues here. These issues are all subject to petitions for reconsideration.Continue Reading FM Translators and LPFM on FCC Agenda for November 30 Meeting – A Final Resolution for the Pending 2003 Translator Applications?

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.Continue Reading 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)

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.Continue Reading FCC Clarifies Rules for LPFM – Part 2 – Interference to Full Power FM Stations

The status of LPFM stations has been up in the air almost since they were first created over a decade ago, as the FCC has been slow to open a window for filing applications for new stations while controversies about interference with full-power FM stations and FM translators, and other issues, were being hashed out. This past week, the FCC issued two orders interpreting the Local Community Radio Act ("LCRA") passed by Congress in late 2010 (which we summarized here), and clarifying other issues affecting the service.  This article will discuss the first of the two orders – attempting to resolve the priorities between LPFM stations and the thousands of applications for new FM translators still remaining to be processed from the FCC’s 2003 FM translator window. Subsequent articles will discuss the second order (which also contains a Notice of Proposed Rulemaking asking for public comment on several proposals).  That order and NPRM addresses the interference protections between LPFM and full-power FM stations, the elimination of third-adjacent channel protections, and proposes some changes in LPFM rules, including proposals to allow LPFM stations to operate with up to 250 watts ERP in smaller markets, and even to operate FM translator stations of their own.

The first order attempts to resolve the issues about the FM translator applications that have been pending since 2003.  LPFM advocates contend that the thousands of applications that remain to be processed will foreclose LPFM opportunities, particularly in larger markets, by using up all available spectrum.  The translator applicants, on the other hand, have contended that translators provide an important service – expanding the reach of noncommercial stations and now allowing new outlets to more readily make available to the public the signals of AM stations and FM HD streams.  The order sets out markets where the FCC has found that spectrum is indeed limited for LPFM opportunities, where translator applications will be dismissed to provide opportunities for a certain base level of  LPFM service.  The order does not fully adopt the system proposed in the FCC’s July NPRM in this matter (see our summaries here and here)  which would have required the blanket dismissals of all translator applications in spectrum limited markets.  Instead, it provides opportunities for some translators to be processed even in these markets with limited LPFM opportunities, where it can be shown that these translators do not in fact block such opportunities. This is detailed below, as are the rules that the FCC has adopted which set local and national limits on the number of applications from the 2003 window that one applicant can continue to process and some changes in the rules regarding FM translator use by AM stations.Continue Reading 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

The long-brewing debate between Low Power FM advocates and FM translator applicants is on the FCC’s tentative agenda for its March open meeting, to be held on March 21.  The FCC’s agenda includes two items.  The first deals with the priorities between the potential spectrum available for LPFM stations and the pending applications for FM translators left to be processed from the 2003 FM translator window.  This follows up on the FCC’s Notice of Proposed Rulemaking issued in July, proposing to process all of the translator applications pending in certain markets, while dismissing all of the applications remaining in other markets where it appears that spectrum available for LPFM is very limited, and where the grant of translator applications would block LPFM opportunities.

The second item deals with the future processing of LPFM applications in light of the passage of the Local Community Radio Act (summarized here).  The LCRA, among other things, lifted the prohibition against predicted third-adjacent channel interference from LPFM stations to full-power FM stations, and also provided for waivers of second adjacent channel interference in instances where the new LPFM would not create any actual interference to other FM users.  Where interference would be created, there would be a strict policy, like that which applies to translators, that the LPFM would have to cease operations if there were any interference to a regular user of an FM station – even outside of the station’s protected contour.  The second item to be addressed by the Commission will give details on how they plan to implement the requirements of the LCRA. 

The adoption of these two items will clear the way for a new window for LPFM applications – perhaps later this year.  In anticipation of that window, an LPFM advocacy group recently issued a press release indicating that they expected 10,000 new LPFM applications to be filed in an upcoming FM window.  Is that number realistic?   Who knows, though we’d be surprised if there was really that much pent up demand, especially given the ownership limits on LPFM applications, essentially limiting most parties to one application.  But if anything even approaching that number of applications is filed, look for potential problems in the FM band.Continue Reading FCC Prepares to Resolve the Conflicts Between LPFM and FM Translators – Could 10,000 Low Power FM Applications Be On the Way to the FM Band?

An FCC letter to the licensee of an FM translator owner asking very specific information about a series of applications to move that translator to a larger market raises question as to whether the FCC is shutting the door on moves of translators from one market to another – where they have often been used to rebroadcast the signal of an AM or an FM HD signal, adding new competition.  While this letter does not explicitly say that multi-hop moves of translators are impermissible under FCC rules, the fact that an investigatory letter from the FCC to one applicant is published in the FCC’s general releases indicates that a message is being sent by the Commission.  And the letter questions whether the large move accomplished by a series of small hops is an abuse of the FCC’s processes.  The letter asks for the details of each move in the series – where the station was built, who gave permission to use the transmitter sites that were used, how long the station operated at each location, what primary station’s signal did the translator rebroadcast at each site, and what the applicant’s ultimate purpose in the moves was.  

We’ve written about the FCC’s apparent crackdown on FM translator moves – first by simply slowing the processing of such applications, then entering into a consent decree with a monetary penalty and the forfeiture of a translator license by a translator licensee who apparently did not have reasonable assurance of every transmitter site in a multi-hop move, then suggesting that such moves were an abuse of process (while, at the same time, making more limited moves easier).  Now  it seems to be actually taking steps to enforce the thinking that, where there is an intent to accomplish a "major change by multiple minor change applications", there is an abuse of process.  Thus, the FCC seems to be drawing the noose tighter around the ability to move these stations large distances.

The FCC, when it authorized the use of FM translators for AM stations  did so with the caveat that only translators that had been granted as of the date of its 2009 order would be allowed to be used for such rebroadcasts.  In many markets, this put a premium on existing translators, as there were not enough translators to rebroadcast all the stations that wanted to be rebroadcast – even where the spectrum to locate such translators existed.  A number of broadcasters found translators in other communities that could technically fit in the community where the broadcaster operated, and agreed to buy them if they could be moved.  Outside a "major change window", translators can only be moved by "minor changes", i.e. where their existing contour overlaps the proposed new contour.  During translator windows, larger moves are permitted, but the last translator window was in 2003.  Another is not expected for at least another year or, most probably, two or more.  To get around the limitation on major changes, translator licensees would file a series of minor change applications to move a translator from one site to another (commonly referred to as a "hop"), build the translator at each site, and, through a series of minor changes, ultimately move to the city where there was an AM station or HD signal that wanted to use that translator.  For a time, the FCC seemed fine with this process.Continue Reading FCC Letter Questions Multi-Hop Move of FM Translator – Limits on Availability of Translators for AM Stations?