FCC Modestly Relaxes Newspaper/Broadcast Cross-Ownership Ban
On December 18, the Federal Communications Commission (FCC) approved a rule to relax its 32 year old ban on a company owning a newspaper and a TV or radio station in the same market. By a 3-2 party line vote, the republican commissioners backed a limited proposal to permit a newspaper/broadcast combination in the 20 largest markets, as long as the station is not among the top four TV stations and eight independently owned and operated major newspapers and/or full power commercial TV stations remain in that market after the transaction. This rule creates only a “presumption” in favor of cross-ownership, which means that opponents would have an opportunity to make the case that a given combination should be precluded.
Beyond the top 20 markets, cross-ownership of a newspaper and broadcast property in smaller markets is presumed against the public interest. This negative presumption can be reversed if the broadcast station currently does not air local news and the new owner commits to provide at least 7 hours of local news programming per week; or the newspaper or broadcast outlet meets the criteria for a “failed” or “failing” property.
The FCC will also consider applications to overcome the presumption against newspaper/broadcast combinations in smaller markets by considering factors such as whether the combined properties will increase the dissemination of local news, whether each affected media outlet will maintain its own news and editorial staff exercising independent news judgment, the level of concentration in the market, and the financial condition of the newspaper or broadcast station involved.
The FCC order approving this new rule also permits existing combinations that were either grandfathered in 1975 or have been granted permanent waivers to remain in existence. The FCC also grandfathered existing combinations operating under temporary waivers.
As previously reported in recent editions of Public Policy News, NAA has been pushing for the full repeal of this outdated rule. NAA believes that the FCC’s December 18th decision provides a modest amount relief from an unjustified rule that has restricted the enhancement of local news, in both print and over-the-air, in communities across the country.
NAA expects court challenges to the FCC’s rule by advocates on both sides of the issue. In addition, a group of Senators are expected to pursue a legislative recission of the rule, called a “Resolution of Disapproval,” as soon as Congress reconvenes after the holiday recess.
First Published:
December 20, 2007
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