New questions in the FCC Enforcement Bureau’s previously routine equal employment opportunity (EEO) audit letters appear to be aimed at seeking out broadcaster diversity hiring programs and grievances against them.
The U.S. District Court for the District of Columbia dismissed Standard General’s lawsuit accusing former FCC Chairwoman Jessica Rosenworcel, Allen Media CEO Byron Allen and Dish Chairman Charlie Ergen of conspiring to block Standard’s attempted purchase of Tegna in 2023, according to an opinion issued Tuesday. Standard’s attempt to buy Tegna for $8.6 billion unraveled after the matter was designated for hearing (see 2404250059). Nexstar on Tuesday announced its plan to buy Tegna (see 2508190042).
Nexstar agreed to purchase Tegna in a $6.2 billion deal that could receive regulatory approval only if the national ownership cap is relaxed or eliminated, Nexstar said in a news release and conference call Tuesday. If the deal is consummated, Nexstar would control 265 TV stations, become the largest owner of affiliates for "all four of the biggest networks, and reach 80% of U.S. households. The current rule caps audience reach for a single station owner at 39%, but the FCC has a proceeding that will possibly change the cap. Reply comments in the proceeding are due in docket 17-318 Friday. Nexstar CEO Perry Sook said he doesn't “want to presume where [FCC Chairman Brendan Carr] will come out in his national ownership proceeding” but also that Nexstar feels “very, very positive about moving forward to the regulatory approval process.”
CPB said Monday it can no longer administer the Next Generation Warning System, which, America’s Public Television Stations said, could threaten public safety. The Federal Emergency Management Agency announced a $40 million NGWS grant to states and tribal nations earlier this month. “With CPB’s closure imminent, FEMA should assume responsibility for disbursing the funds as Congress intended,” said a CPB release. If FEMA doesn’t assume the program, “most of the FY 2022 funding -- and all funds from FY 2023 and FY 2024 -- will go undistributed,” CPB added. That would leave communities, “especially those in rural and disaster-prone areas, without the upgrades Congress intended.”
The FCC’s new direct final rule process doesn’t give enough time and information to the public, provides too much authority to the bureaus, and is of questionable legality, said local governments, public interest groups and civil rights groups in filings in docket 25-133 last week. All the comments objected to the DFR process, rather than specific rules the process is being used to eliminate in orders voted at the FCC’s July (see 2507240055) and August (see 2508070037) meetings.
TV broadcasters are positioning for a wave of deals in anticipation of changes to FCC limits on broadcast ownership, according to broadcasters, media brokers and recent announcements from station groups. Sinclair Broadcast announced in a release Monday that it's evaluating “all value-enhancing opportunities,” and Nexstar and Tegna are reportedly negotiating a possible deal. The rumors are likely an indication of pent-up demand but could also be aimed at mollifying shareholders, said broadcasters and media brokers.
Broadcasters called for the FCC to save their industry by immediately eliminating the national TV ownership cap in comments filed in docket 17-318 by Monday’s deadline. Meanwhile, MVPD groups, labor unions, public interest groups and conservative entities Newsmax and the Conservative Political Action Conference (CPAC) disputed the FCC’s authority to alter the cap and said doing so would hurt localism, retransmission consent rates and journalism.
Upcoming FCC items on revamping emergency alerting and outage reporting are expected to be approved unanimously at Thursday’s open meeting, while a direct final rule item on eliminating broadcast regulations is likely to draw a dissent from FCC Commissioner Anna Gomez, industry and FCC officials told us.
FCC Chairman Brendan Carr has opened an investigation into Comcast NBCUniversal’s relationship with its affiliates, days after President Donald Trump targeted the network in a social media post. Carr told Comcast in a letter Tuesday that the Media Bureau will scrutinize its affiliation agreements for restrictions on streaming negotiations or competing for local sports rights, as well as terms that could “unduly inhibit” local broadcast station programming decisions.
A disciplinary complaint filed Monday with the entity that investigates D.C. Bar members for professional misconduct is unlikely to lead to proceedings against FCC Chairman Brendan Carr, legal ethics scholars told us.