The FCC Wednesday pulled a draft emergency alert system order from the next day's commissioners' meeting agenda, after industry and agency officials said it was controversial. Five other agenda items also were pulled, though four were adopted on circulation.
The current average price per MHz pop in the incentive auction below the threshold needed to trigger the final stage rule won't lead to a failed auction, attorneys following the process said in interviews Monday. It may mean the auction is less likely to close in the current Stage 4 (see 1612050062) than is commonly thought, they said. To trigger the final stage rule, the average auction price this stage must reach $1.25 per MHz POP for the most valuable spectrum. When the reverse auction starts Tuesday (see 1612090028), the price will be a fraction under $1.22 per MHz pop, said the public notice announcing Stage 4.
Incoming President Donald Trump's FCC isn't seen as more likely to pursue broadcast indecency enforcement than past commissions, and cleaning up TV content isn't seen as a high priority for the incoming administration, anti-indecency consumer groups and industry lawyers told us. The president-elect likely gives little thought to broadcast indecency, said Parents Television Council President Tim Winter and Patrick Trueman, president of the National Center on Sexual Exploitation (formerly Morality in Media). “What matters is where it is on the chairman's agenda,” said Trueman. “We'll see who's going to head the commission.”
The incentive auction's slipping into latter stages could make the post-auction repacking less damaging to low-power TV, but a GAO report issued last week shows broadcasters are pessimistic about the fate of the LPTV industry and doubtful of FCC efforts to preserve it (see 1612050062). The band plan for Stage 4 of the incentive auction doesn't reserve as much space for guard bands, making it easier for stations to be repacked and thus leaving more room for low-powers, emailed LPTV Spectrum Rights Coalition Director Mike Gravino. “We predict most all licensed LPTV and Translators will find a new channel.”
Though the draft emergency alert system order set for next week's FCC meeting agenda is largely free of provisions that were opposed by Republican commissioners and the pay-TV and broadcast industries, internal tensions on the eighth floor could keep the item from being approved, agency and industry officials told us. The item still includes the provisions that would make state EAS plans more uniform that were proposed in the NPRM, but reporting deadlines and cybersecurity requirements would be relaxed, and a controversial proposal to change the rules for pay-TV “force tuning” would be shifted to a Further NPRM, they said. That still may not leave the item with a clear path to being approved, an FCC official said.
The FCC and the next iteration of the Disability Advisory Committee should address the accessibility challenges of the IoT and the accessibility of emergency communications, alongside many other accessibility issues, said the various subcommittees at the group's final meeting Tuesday. The DAC is expected to be convened under the upcoming administration by February, said Elaine Gardner, attorney adviser in the Office of the Managing Director. Several speakers praised the DAC process for opening dialogue between industry and advocates on accessibility matters. That sort of cooperation could have prevented previous technology challenges for the disabled, such as the button-less, touch-screen design of most smartphones, said American Foundation for the Blind Public Policy Director Mark Richert.
The U.S. Court of Federal Claims ruled against the FCC landlord Parcel 49C in its protest of the General Service Administration's handling of bids for the commission's new headquarters, according to court documents (in Pacer). The court dismissed Republic Properties' affiliate Parcel 49C's allegations (see 1609280048) of conflicts of interest in the GSA's selection of a new FCC HQ site in the Trammell Crow owned-Sentinel Square, near North Capitol and L streets NE in Washington's NoMa section. Trammel Crow was an intervenor and defendant in the case. Parcel 49C bid to have the commission stay at its current home at The Portals and the landlord's allegations were based on GSA's having contracted CBRE to broker the FCC's search for a new home. CBRE owns Trammell Crow, the eventual winning bidder, and also represented Parcel 49C. This wasn't a conflict because the information and employees involved were kept separate at the intertwined companies, said Trammell Crow and the GSA. Parcel 49C also argued the FCC request for a higher first-floor ceiling and backup power supply were unreasonable. Parcel 49C filed a notice of appeal in the case. GSA, Parcel 49C and Trammel Crow didn't comment Monday.
The Stage 3 forward auction concluded in just one round Monday, as some had expected (see 1612010072). It was more than $20 billion short of the $42 billion that would have been needed to trigger the final round of the incentive auction, said the Public Reporting System. Though numerous broadcasters and analysts are still predicting the auction will close in Stage 4, several auction watchers were confused or angry about the auction's results.
The NAB will look to the next FCC to reverse media ownership rules instead of the courts, said a petition for reconsideration filed with the commission Thursday. NAB already had filed a court challenge of the 2014 quadrennial review with the U.S. Court of Appeals for the D.C. Circuit, but it filed a motion to withdraw that petition for review Friday. The decision to pursue the matter at the FCC indicates NAB believes the upcoming Republican-controlled FCC will be more sympathetic to the association’s arguments than the courts, a possibility that was foreseen by some broadcast attorneys following the case (see 1611090061). “This is not a surprise,” said Georgetown University Institute for Public Representation Senior Counselor Andrew Schwartzman, who represents Prometheus Radio Project in its court challenge of the media ownership rules. Nexstar Broadcasting and Connoisseur Media also filed recon petitions with the FCC against aspects of the media ownership rules.
The reverse auction portion of Stage 3 of the FCC incentive auction concluded Thursday, as expected (see 1611280055), at a clearing cost of $40.3 billion to clear 108 MHz, said the Public Reporting System. That’s within the range expected (see 1610250060), and a further stage is considered likely, said Justin Nielson, senior researcher for S&P Global Market Intelligence, in an interview. The Stage 2 reverse auction clearing cost was $56.5 billion, and Neilson said a reduction into the $30 billion range for Stage 4 likely will bring the spectrum on auction into line with what forward auction bidders are looking to pay. Stage 4 is expected to have a clearing cost of 84 MHz, according to the FCC's band plan. The forward auction generated $20.9 billion in Stage 2, and closed in a single day. That’s not likely to occur this time because the prices are likely low enough for some bidders to make a serious grab for spectrum, Nielson said. Stage 3 of the forward auction is expected to start Monday.