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

MIW Opens Applications for Speak Up! Mentorship
Mentoring and Inspiring Women in Radio (MIW)
Mentoring and Inspiring Women in Radio (MIW)
Mentoring and Inspiring Women in Radio (MIW) has opened applications for the fourth annual Speak Up! Mentorship Program, a year-long leadership initiative created in partnership with Media Staffing Network. Applications are being accepted through Friday, August 28. Established in honor of the late Laurie More

K-LOVE Promotes Bradshaw to HR Vice President
Tanesha Bradshaw
Tanesha Bradshaw
K-LOVE has promoted Tanesha Bradshaw to Vice President of Human Resources, expanding her leadership role within the ministry's parent organization, K-LOVE, Inc. Bradshaw, who previously oversaw employee relations across the organization, will now lead the ministry's people strategy while overseeing key human More

Urban One Names New Dallas Leadership Team
Maurice Potts
Maurice Potts
Urban One Dallas has announced a series of leadership appointments for its Dallas-Fort Worth radio cluster following the company's acquisition of Service Broadcasting. Maurice Potts (pictured) has been named Vice President and General Manager, Karl Whittingham has been promoted to Director of Sales, and More
Advertisement

SiriusXM Launches $5-Per-Month Sports Pass
SiriusXM
SiriusXM
SiriusXM is introducing SiriusXM Sports Pass, a new subscription tier that packages the company's complete sports audio lineup into a standalone offering for $5 per month or $49 annually. The new service launches September 1, timed with the start of the college football and NFL More

Ian Rambo Named OM for Connoisseur Fredericksburg
Ian Rambo
Ian Rambo
Connoisseur Media has appointed veteran programmer Ian Rambo as Operations Manager for its Fredericksburg, VA, cluster. Rambo joins the company after more than a decade in Midwest broadcasting. Most recently, he served as Operations Manager for Riverfront Broadcasting in Rapid City, SD. Prior to More

Edison: Audio Key to Reaching 2026 Voters
Edison Research at SSRS
Edison Research at SSRS
A new analysis from Edison Research's Share of Ear study highlights the importance of ad-supported audio as political campaigns gear up for the 2026 U.S. election cycle, finding that 81% of voting-age Americans are reached by ad-supported audio every day. The report examines which audio platforms most 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