NAB VOWS TO CONTINUE FIGHT AGAINST REPEAL OF 35% OWNERSHIP CAP
PALM BEACH -- Concluding 4 days of noncontroversial meetings here Wed., NAB board vowed to continue fight to maintain FCC 35% cap on viewers that any single licensee could cover. TV broadcasters here expect U.S. Appeals Court, D.C., to rule any day on Fox’s appeal of restriction. Broadcasters, as well as NAB staffers, expect court to repeal cap and/or remand case to Commission. If that happens, NAB “will continue in every venue available to us” to keep cap in place, Pres. Edward Fritts told us.
Whatever court’s decision, NAB’s official position is that it “stands ready to pursue whatever course of action [necessary] in opposition to a change in the cap.” That means, we're told, first step is likely to be petition for reconsideration -- if 3-judge panel rules against TV stations -- by full Court of Appeals. Stations have ally in Senate Commerce Committee Chmn. Hollings (D-S.C.). Once court rules on cap, NAB expects FCC Chmn. Powell to begin formal rulemaking on issue (Powell has told Hollings that agency will do nothing until court acts). It was NAB support of ownership cap that caused Fox, NBC and CBS TV Networks and their owned stations to pull out of NAB.
TV Board was told by Exec. Vp James May that joint EIA- NAB campaign seeking consumer support of transition to digital TV (CD Jan 10 p1) already had had “positive impact” in Congress by focusing attention on cable industry’s alleged refusal to add DTV signals from local stations (which requires carriage of both analog and digital signals from same station). NAB retained Edelman Worldwide PR firm to promote sales of DTV sets and “the remarkable efforts being made by local broadcasters in the DTV transition.” Meetings with members of Congress on transition have caused “newfound appreciation” on Hill that broadcasters require help in meeting DTV deadlines, board was told.
Proposal for NAB to finance start of digital technical lab, sought by MSTV, which had been expected to be brought up by TV directors (CD Jan 7 p6), wasn’t mentioned during formal meetings. NAB TV Chmn. Paul Karpowicz of LIN TV told us “it’s up to the other guys [MSTV]” to make funding proposal to NAB -- and that hasn’t happened.
NAB reaffirmed its opposition to campaign finance reform bill, which May said was certain to be “resurrected early in the new Congress.” He cited “onerous” amendment by Sen. Toricelli (D-N.J.) that would apply newly defined lowest unit charge restrictions on stations. Broadcasters said they already provided significant discounts for political advertising.
NAB’s newly defined position on EEO was approved without comment by board members (CD Jan 15 p11) as was its continuing fight against EchoStar takeover of DirecTV and opposition of use of terrestrial repeaters by satellite audio systems. On radio side, Exec. Vp John David said station membership in NAB now was at “a record level” despite loss of several hundred CBS-Infinity stations because of 35% TV cap dispute. He said several other radio groups had joined NAB, offsetting defections.
In contrast to previous board meetings -- such as controversy over 35% ownership cap at recent semiannual sessions, there was total lack of controversy on any issue in 4 days here. NAB Chmn. David Kennedy of Susquehanna Radio perhaps set tone at opening session when he called for “diversity, debate and unity” as means of strengthening Assn. Fritts told us lack of controversy “reinforced NAB’s current positions” on major issues.