The FCC’s June 9 agenda item saying some ownership limitations doesn't precisely apply to TV broadcasters banding together to use ATSC 3.0 to lease their spectrum for wireless uses isn’t a new policy but more of a clarification, said Commissioner Brendan Carr and industry attorneys in interviews. The item includes an NPRM seeking comment on other rule changes that could help datacasting.
Monty Tayloe
Monty Tayloe, Associate Editor, covers broadcasting and the Federal Communications Commission for Communications Daily. He joined Warren Communications News in 2013, after spending 10 years covering crime and local politics for Virginia regional newspapers and a turn in television as a communications assistant for the PBS NewsHour. He’s a Virginia native who graduated Fork Union Military Academy and the College of William and Mary. You can follow Tayloe on Twitter: @MontyTayloe .
Broadcasters are divided whether the FCC should change how it determines whether a station is significantly viewed in a market. Hubbard agrees with NCTA and Nielsen that the agency shouldn’t disrupt the status quo. Gray Television and others want more flexibility.
COVID-19 is affecting the launch of ATSC 3.0 stations and creating uncertainty about when they will begin airing the new standard, said broadcasters and NextGenTV advocates Thursday on an NAB Show Express streamed panel. “We’re still on track to get a bunch of markets launched this year,” said John Hane, CEO of Spectrum Consortium (Spectrum Co).
Republican FCC Commissioners Brendan Carr and Mike O’Rielly defended recent tweets from President Donald Trump critical of NBC, Comcast and NBC reporter Chuck Todd (see 2005110046), answering our questions during news conferences. “The president has every right to criticize any news publication,” O’Rielly said. Some tweets tagged the FCC and Chairman Ajit Pai, and Trump previously urged the agency to take away NBC’s “license.” Carr has vocally condemned on First Amendment grounds calls by Free Press for the commission to act against false information broadcast about COVID-19. Carr drew a distinction between Free Press and the president’s tweets, noting FP filed a petition, explicitly seeking action against broadcasters. The president was expressing a view about Todd’s reporting, said Carr, saying he believes in the pushback between subjects and reporters. O’Rielly called the NBC report on Attorney General William Barr that was the focus of Trump's criticisms “crappy” and said the news outlet’s subsequent apology was “half-assed.” O'Rielly said protocol norms between the White House and the FCC stopped during the administration of then-President Barack Obama, who O'Rielly said pressured the agency to change its stance on net neutrality rules. Since that happened, such protocols have "gone out the window," he said. NBC News didn’t comment.
The FCC could move to its new headquarters in August (see 2005010052), but not sooner, Chairman Ajit Pai said in an interview with NAB President Gordon Smith Wednesday to kick off NAB Express, the group’s virtual replacement for the postponed NAB Show. FCC staff needs “plenty of time” to pack up their offices, and time is also needed to make the new building ready, Pai said. The new HQ is Sentinel Square III, at 90 K St. NE, near Union Station in Washington. Smith told Pai that broadcast advertising has been crippled by COVID-19. “Broadcasters are confronting plummeting advertising sales and enormous operational challenges,” said Smith in a keynote. Smith said there’s bipartisan support in Congress for initiatives to allow stations to apply for forgivable loans and to direct federal advertising to local media. The chairman responded he’s open to suggestions for how the FCC can provide relief for broadcasters, possibly by some action on regulatory fees. Pai made similar comments last month (see 2004230046). “Let us know how we can advocate for you,” Pai told Smith. An item on regulatory fees approved by commissioners 5-0 earlier Wednesday seeks comment on possible COVID-19 relief measures (see 2005130057). Any action the FCC could take to waive fees would be appreciated, Smith said. Pai deflected questions from Smith about when he plans to leave the chairmanship or what he might seek to do after --- Pai joked that he could seek to replace TV host “Judge Judy” or Kansas City Chiefs quarterback Patrick Mahomes.
If his inquiry into radio payola doesn’t produce new evidence of the practice, Commissioner Mike O’Rielly could push for the FCC to recommend anti-payola rules be “taken off the books,” he answered our question Wednesday during his news conference. The agency should eliminate unnecessary burdens on companies, he said. O’Rielly posted Wednesday on Twitter the final response to his queries to record labels for information on payola violations (see 2004220045). Like other labels, Universal Music Group didn’t provide evidence of payola, and said it was in compliance with federal rules. The label expressed interest in O’Rielly’s suggestion that the rules could be outdated. “In your letter, you correctly note that the lines among alternative technologies are becoming blurred,” said Universal. O’Rielly’s tweet included a call for evidence: “Again, if anyone has credible, tangible facts disputing this response, please let me know.”
The order and NPRM on regulatory fees is expected to include changes from the draft intended to accommodate the concerns of VHF TV stations, said broadcast industry and FCC officials in interviews this week. The NPRM is likely to include language proposing possible regulatory fee relief for entities affected by the COVID-19 pandemic, an FCC official noted. The order is to be approved before Wednesday's commissioners’ meeting, and unanimous approval is expected (see 2005080046).
Broadcasters and industry analysts expressed in interviews this month cautious optimism about the economy ramping up from the COVID-19 slowdown. They touted cost-saving measures while declining to offer forecasts.
A draft item on allowing broadcasters to fulfill notice requirements with online and on-air listings instead of buying newspaper advertisements is expected to change in response to criticisms from broadcasters, industry and FCC officials told us. The agency is expected to walk back docket 17-264 draft requirements that would have affected broadcaster websites and mobile apps, FCC officials said. The item isn’t expected to get much opposition at the agency, and is slated to be voted before commissioners’ telephonic meeting Wednesday. In the two previous FCC meetings since the COVID-19 shutdown, all items voted on circulation before the meeting were approved unanimously.
A voted on yet unreleased order and consent decree resolving investigations into conduct of Sinclair (see 2005060063) doesn’t conclude it was untruthful with the commission and says the TV broadcaster acted in good faith based on the company’s understanding of precedent during negotiations to buy Tribune, industry and FCC officials told us Thursday. The order and consent decree was approved 3-2, with the Democrats opposed, officials said. The decree includes a compliance plan that requires reporting for four years but doesn’t involve spinoffs or other stiffer requirements beyond the $48 million penalty, and prevents further FCC proceedings on the allegations, the officials said.