Time Short to Issue FCC Localism Rules, Copps, McDowell Say

Copps said he and his colleagues are busy with a host of high-priority issues, including a white spaces proceeding and Universal Service Fund reform. The DTV transition has FCC members traveling to educate the public, in the process using lots of time, he said. Broadcast lawyers said neither FCC Chairman Kevin Martin nor any other FCC member seems likely to push successfully this year for new rules. A spokeswoman said Martin declined to comment, and the other two commissioners weren’t available to comment.

“We're into almost the middle of October” with “change coming to Washington, change coming to the commission,” said Copps. “We've got a huge agenda facing the commission now -- everything from action on intercarrier compensation, USF reform, white spaces, mergers, D block auction rules, the list goes on and on.” That means “the entire media and telecommunications world cannot be remade between now” and Dec. 31, Copps added. “We can’t solve every issue.”

“The sand is running out of the hourglass for this commission,” said McDowell, “and I doubt we would have the time to tackle that issue. I of course question the need to implement any comprehensive localism rules at all.” An FCC rulemaking notice approved in 2007 proposes to require that stations be staffed when broadcasting and that main studios be located in the cities where broadcasters are licensed. Implementing those proposals would “disproportionately harm small broadcasters and especially minority-owned and women- owned broadcasters, who we all agree need some help,” added McDowell.

Copps understands that stations could suffer under the main-studio and 24/7 staffing rules, he said. That’s all the more reason for the FCC to take care in considering such rules before voting on any order, he said. Broadcasters’ fears of a large financial hit to their businesses if such rules are put in place merit heed, added Copps. “I understand that some of these things can have some adverse financial implications on stations. We need to put that into the calculator.” If stations aren’t staffed at all times, they must work closely with public safety officials so broadcasters are able quickly to alert viewers about emergencies, Copps said. FCC rules led some stations to move studios outside their town of license, but “I don’t think we're looking at turning back the clock and making them move out of that nice building they built a while back,” Copps said.

Commission action on localism is years overdue, given that the rules have been under review since Michael Powell’s 2001-2005 tenure as chairman, Copps said. “Getting to localism, getting to diversity, enhancing diversity, that’s what the Telecommunications Act is all about,” he said. Though it would be difficult to promulgate rules this year, “I'm not in the inner circle of knowing what exactly the entire agenda is around here,” he added. “We're trying to build some lost localism back into broadcasting. This is a huge priority and the need is to get it right” is high, Copps said.

Commissioners and groups urging more industry regulation seem to acknowledge broadcaster fears about mandatory staffing and main studio location rules, industry lawyers said. Noting scant support for such rules, lawyer David Oxenford said they seem “almost off the table … Even some of the public interest groups recognized that we didn’t have to go back to the old rules.” An NAB spokesman said it continues to have “some serious concerns over the 24-7 staffing and main studio rule proposal.”