Chapter 11: Regulatory Influences on Media Management

FCC’s Programming Policies

Children’s TV Programming

TV ratings system

Obscenity

Indecency

Equal time provisions

Broadcasting a hoax

Lotteries

Contests

FCC and Telecommunications Regulation

FCC and Broadcasting

Ownership limits

Limits on number of broadcast stations someone may own

1996 telecommunications act eliminated limits for radio

For local, number of radio stations owned depends on number of tv stations someone control

No individual may reach more than 39% of national audience

Duopoly and triopoly rules

No duopoly is allowed among the top 4 stations in terms of market share

2 tv stations owned by same provider is allowed provided 8 stations remained postmerger

2 TV stations owned in the same market reduces number of radio stations a provider may own

Depends on market size and number of stations

Triopoly

Ownership of 3 tv stations allowed if there is at least 18 tv stations in the market

One of 3 stations rated among the 4 highest allowed

Local marketing agreements

Allow 1 station to take over the programming and advertising sales for another station in the market without assuming ownership

Most existing LMAs would be allowed to become TV duopolies

License Renewal

Both TV and Radio licenses extended to 8 years

FCC eliminate some procedures for challenging a license renewal

EEO Guidelines

Require broadcasters and multichannel video program distributors(MVPDs or cable and satellite operators) to

Widely distribute info on full time vacancies

Provide notice of vacancies to recruitment agencies requesting notices

Engage in long term recruitment initiative to inform public about employment opportunities

Job fairs

Scholarships

Internship programs

Requires record keeping and reporting requirements related to EEO initiatives

Cross-ownership rules

Allows broadcast station to acquire cable systems

Cable operators may acquire broadcast stations but not broadcast networks

Liberalized cross ownership restrictions in regard to newspaper -TV cross ownership but limits to top 20 markets.

Transition to digital TV

Required existing analog stations to convert to digital TV transmission and move to a new digital channel

Commission has not required MVPDs to carry additional digital channels

FCC wants to reclaim 120 MHz from analog spectrum from TV broadcasters and reallocate it to wireless services

Public file

All broadcast stations must maintain certain docs and info in a file available for public inspection during regular business hours

Stations must handle phone requests for info from the public file during business hours

Operating and technical requirements

All broadcast stations must follow strict operating guidelines

License specifies channel for,

Channel for operation

Transmitter power

Hours of broadcasting

Maintenance of antenna and tower lights

Compliance of the Common alert protocols/Emergency Alert System(CAS-EAS)

Failure will result in fines for the station

V-chip requirements

Mandated that new TV receivers must be equipped with a V chip

Used in conjunction with a voluntary ratings system for TV programming

Give parents the option to block unwanted programs

FCC and Cable TV

Rate deregulation for basic cable

Must carry/retransmission consent

Ownership provisions

Network exclusivity

Syndication exclusivity (Syndex)

Program access channels

Other Federal Departments and Agencies

Department of Justice

Gauges impact of mergers and acquisitions

Concerned with anticompetitive practices

Federal Trade Commission

Advertising regulations in the US

Investigates false or deceptive advertising as well as unfair trade practices

National Telecommunications and Information Administration(NTIA)

Advises the president on telecommunications issues

Federal Aviation Administration

Potential risk to aviators due to broadcast towers

Fines broadcast stations for not properly maintaining proper lighting for towers and antennas