When you have been representing broadcasters in Washington for as long as I have, you see cycles in regulation of the industry.  I was reminded of how long the FCC has been on a deregulatory cycle in reading today’s Washington Post obituary of former Democratic FCC Chair Charlie Ferris, who headed the FCC many decades ago when I interned there and when I later started to work in private practice representing broadcasters.  One line in the Post article in particular stood out – where Ferris was said to have “argued that unless regulations were ‘improving the market,’ they ‘were nothing but a nuisance.’”  Since the administration of Chairman Ferris, the FCC has generally moved forward to implement that philosophy of eliminating unnecessary regulation, with only occasional consideration given to the reinstatement of certain regulations (efforts that were often unsuccessful).  With the spate of recent rulings from the FCC, one questions whether the direction that Chairman Ferris pointed the FCC is now being slowed or reversed at a time when the market may well be crying out for an increase in the speed of that deregulation.

The obituary itself quoted one media observer as suggesting that the deregulatory direction in which Ferris took the FCC might not have been entirely successful, based on a persistent lack of minority ownership of broadcast properties, and “’a shortage of local, professional, accountable reporting’ in many communities.”  But are those failings ones that are attributable to the deregulatory trends of the FCC, or greater marketplace forces that have strained not just broadcasting but all traditional media?  In reading the media headlines in the last few weeks, one can’t help but conclude that the latter is more likely the cause, and that another quote from Chairman Ferris cited in the article has never been more appropriate, as he warned broadcasters: “If you cannot compete with new technologies, you will be overcome by them.”  As we’ve argued in this blog before (see for instance our article here reflecting on the warnings of another former Chairman, Ajit Pai), given the slew of new technologies available to consumers, imposing new rules on a broadcast industry flooded with new competition for audience and revenues simply does not make sense.Continue Reading Just Because the FCC Can Regulate Broadcasting, Should It? 

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.

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 released its agenda for its Open Meeting scheduled for February 15.  The FCC will consider two items of

The FCC last week issued a Notice of Proposed Rulemaking aimed to give incentives to broadcasters to air more local journalism and local programming by prioritizing the processing of certain applications by stations that feature local programming.  That decision drew dissents from both of the FCC’s Republican Commissioners, not because of the proposal for the preference, but because they were concerned about language in the Notice asking for comment on whether the FCC was correct in its 2017 decision that abolished the main studio rule and the policy requiring broadcasters to have the capability of originating programming from a physical location in their service areas.  

The proposal to prioritize the processing of applications by stations with local programming is a narrow one.  The priority would only apply to renewal applications, and applications for sales of full-power stations (assignments of licenses and transfers of control).  The FCC’s proposal would not apply this preference to routine applications that are processed in the normal course (with renewals usually being granted within a month after the three-month comment period following the renewal filing deadline, and assignment and transfer applications similarly being routinely granted within a few weeks of the end of the 30 day public comment period following the public notice of the filing of an application for FCC approval of the sale).  Instead, the majority decision proposes to apply the priority only to applications that are non-routine, giving faster processing to applications that have petitions filed against them, or where the FCC has other concerns with a routine grant of the application (seemingly, in the renewal context, that would apply to cases where there are certifications in the application that cannot be made by an applicant, e.g., where it cannot certify that it had properly maintained its public inspection file during the license term, or that the applicant had not violated FCC rules or had not been silent for an extended period during the license term).Continue Reading FCC Proposes to Prioritize Processing of Applications by Stations with Local Programming – And Asks Many Questions About Whether the FCC Should Have Abolished the Main Studio Rule