Home Login RADIO ONLINE RSS Facebook
Advertisement

NAB Submits Comments to FCC Over Fee Increases for Radio


NAB
NAB

The National Association of Broadcasters (NAB) submitted comments on Friday to the FCC in response to the Commission's Notice of Proposed Rulemaking concerning regulatory fees for Fiscal Year 2019. NAB claims the NPRM proposes "extraordinary" regulatory fee increases for radio stations for Fiscal Year 2019, while providing little or no explanation. The trade association says that the agency has a checkered history when it comes to clearly explaining the basis for its collection of regulatory fees.

In 2012, the Government Accountability Office concluded that the FCC's regulatory fee process lacked transparency and reported a lack of information in FCC regulatory fee notices. Unfortunately, NAB says the current NPRM suffers from the same confounding flaws. Instead, the NPRM offers only conclusory statements about the Commission's operations and its allocations of regulatory expenses. What bits of information the Commission has provided are left unexplained and, if anything, appear to contradict other publicly available Commission data.

As a result, NAB writes, "Commenters responsible for paying these taxes for regulation are left with no ability to provide meaningful input in this proceeding because the Commission has withheld or obscured the basis for its proposals. We urge the Commission to immediately provide further information to allow stakeholders to constructively participate in this proceeding. Without such data, the comment process is virtually worthless."

NAB is urging the Commission to take this opportunity to reconsider the basis on which it determines which entities are subject to regulatory fees. The Commission is not bound to collect regulatory fees solely from licensees. Under the current as well as proposed framework, however, the trade group claims licensees subsidize companies -- including well-funded competitors -- who benefit from the Commission's activities but do not contribute towards their funding.

These regulatory free riders leverage Commission proceedings and the hard and ongoing work of Commission staff to develop profitable business models without contributing regulatory fees. By expanding the base of contributors, the Commission can significantly lower the regulatory taxes currently paid by some licensees while making its collection as a whole more accurately reflect the work of the Commission and those who benefit from that work NAB said.

With a roughly $17 million increase in budget for the 2019 fiscal year, the Consolidated Appropriations Act of 2018 states the Commission must either raise the regulatory fees for at least some categories of payors -- or expand the base of contributors. However, while the overall budget is expanding by a modest 5.3 percent, NAB claims the impact on the radio industry is more severe, with regulatory fee increases of 18-20 percent for most stations.

"The NPRM provides no coherent explanation for the steep and disproportionate increase directed to radio licensees," NAB wrote. "Absent additional information, commenters cannot reasonably provide meaningful feedback in response to the NPRM."

Advertisement

Latest Radio Stories

MARC Media Adds Five Stations on Florida Gulf Coast
MARC Media
MARC Media
MARC Media Group has agreed to acquire five radio stations along Florida's Gulf Coast, continuing an expansion that has more than doubled the company's station holdings in the state during 2026. Pending FCC approval, MARC will acquire WGHR (Hits 106), WXCV (Citrus 95.3), simulcast More

Radio News Salaries Rise for Second Straight Year
Radio news salaries increased for the second consecutive year in 2025, rising 7.64% and outpacing the 2.9% U.S. inflation rate, according to the latest RTDNA/Newhouse School at Syracuse University Survey. The increase was considerably smaller than the 14.5% jump reported a year earlier. News reporters, More

BFOA Sets Chicago Media Mixer for October 7
BFOA Media Mixer
BFOA Media Mixer
The Broadcasters Foundation of America (BFOA) will hold its next Media Mixer on October 7 at the Museum of Broadcast Communications in Chicago, featuring iHeartMedia Chairman and CEO Bob Pittman as a special guest. The event, scheduled from 5:30-7:30pm CT, will serve as a kickoff More
Advertisement

CRB Names 2026-27 Board of Directors
Country Radio Broadcasters
Country Radio Broadcasters
Country Radio Broadcasters, Inc. (CRB) has announced its 2026-27 Board of Directors, adding four new members to the group that oversees the organization and its annual Country Radio Seminar (CRS). Returning officers include Townsquare Media's Kurt Johnson as President, Country's Radio Coach's John Shomby More

Topic, Hosts Drive Podcast Choices, Edison Finds
Edison Research
Edison Research
Podcast topic and host are the two most important factors for U.S. weekly podcast consumers when choosing a show to listen to or watch, according to new data from Edison Research at SSRS. Edison Podcast Metrics found that 64% of weekly podcast consumers consider a show's topic important when selecting a More

Bob & Sheri to End Syndication After 30 Years
L-R: Kary Bowser, Heather Furr, Lamar Richardson, Max Sweeten, Sheri Lynch, and Tony Garcia
L-R: Kary Bowser, Heather Furr, Lamar Richardson, Max Sweeten, Sheri Lynch, and Tony Garcia
The syndicated "Bob & Sheri Show" will end its radio syndication run on December 31, 2026, after 30 years and transition to a paid direct-to-consumer model beginning in January. The show's approximately 50 affiliates have been notified of the decision. The move will end a syndication run that began in More

Return to Menu

Advertisement

Subscribe to our Newsletter
Radio news and headlines delivered right to your e-mail box -- and it's free.

Advertisement

Advertisement