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

FCC Warns Broadcasters on Public Interest Duties
Federal Communications Commission
Federal Communications Commission
The Federal Communications Commission has issued a forceful reminder to radio and television broadcasters that their licenses are conditioned on serving the public interest, warning that the agency is prepared to take enforcement action against stations that fail to meet those obligations. In a More

NAB Announces 2026 Radio Board Election Results
National Association of Broadcasters (NAB)
National Association of Broadcasters (NAB)
The National Association of Broadcasters (NAB) has announced the results of its 2026 Radio Board of Directors elections, with the newly elected members set to begin two-year terms in June, 2026. Among those elected to represent their districts are Molly Draper Russell of Draper Radio (District 4 - More

Lisa Berigan Returns to BIG100 Midday Slot
Lisa Berigan
Lisa Berigan
iHeartMedia Washington, DC has named Lisa Berigan as the new midday host on WBIG (BIG100), effective immediately. Berigan will be heard weekdays from 10am-3pm on the Classic Rock outlet. She will report to Dustin Matthews, Director of Rock Programming for iHeartMedia DC. In announcing the appointment, More
Advertisement

House Panel Advances AM Radio Vehicle Bill
U.S. Congress
U.S. Congress
A key congressional committee has advanced the AM Radio for Every Vehicle Act, moving the bipartisan legislation one step closer to becoming law. In a recent post on the NAB Blog, Carrie Healey, Vice President of Communications for the National Association of Broadcasters, said the House Energy and More

Katz Study: Radio Boosts World Cup Hosting Interest
Katz Radio Group
Katz Radio Group
A new case study from Katz Radio Group suggests radio advertising can play a significant role in motivating homeowners to explore short-term hosting opportunities tied to the upcoming FIFA World Cup 2026. The study, featured in Katz Radio's Sound Answers blog, examined how audio More

WROR/Boston Launches New Morning Show on June 1
LBF and Adam 12
LBF and Adam 12
Beasley Media has announced the launch of "The ROR Morning Show with LBF and Adam 12," debuting Monday, June 1, on 105.7 WROR-FM in Boston. The new morning program will be hosted by longtime Boston radio personalities Lauren Beckham Falcone, known on-air as LBF, and Adam 12. 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