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

Ruth Presslaff Named MIW 2026 Trailblazer
Ruth Presslaff
Ruth Presslaff
Mentoring and Inspiring Women in Radio has named Ruth Presslaff as the recipient of its 2026 Frances Preston Trailblazer Award, recognizing her leadership and long-standing contributions to advancing women in radio. The honor, MIW's highest accolade, was presented during the NAB Show 2026 on April 20. More

Trusty Highlights Broadcasters' Public Interest Role
FCC Commissioner Olivia Trusty
FCC Commissioner Olivia Trusty
At the NAB Show 2026, FCC Commissioner Olivia Trusty outlined her vision for how broadcasters can fulfill the long-standing "public interest" standard, emphasizing localism, accountability and the need for updated policies in a rapidly evolving media landscape. In remarks titled "Finding the Angel of the More

Aaron Miller Returns to CMG Tampa as Director of Sales
Aaron Miller
Aaron Miller
Cox Media Group (CMG) Tampa has named Aaron Miller Director of Sales, marking his return to the organization. Miller rejoins CMG from Audacy and previously worked with CMG Tampa, where the company says he developed strong ties to the local market and client base. In his new role, Miller will oversee the More
Advertisement

Westwood One Blog Outlines AI Best Practices
Cumulus Media | Westwood One
Cumulus Media | Westwood One
A new blog post from Cumulus Media's Westwood One Audio Active Group highlights how local advertisers can more effectively use artificial intelligence tools to guide media planning and buying decisions. Authored by Cumulus Operations President Bob Walker, the piece emphasizes that AI platforms require a More

Talent Farm Adds Five New 24/7 Radio Formats
Talent Farm
Talent Farm
Talent Farm has expanded its syndication portfolio with the launch of five new 24/7 radio formats, offering affiliates additional programming options across multiple high-demand music genres. The new formats -- "The Harbor" (Yacht Rock & Smooth Classics), "The Coast" (Classic Alternative), "The Boombox" More

KUNV/LAs Vegas Marks 45 Years, Nears $45K Drive Goal
KUNV-FM/Las Vegas
KUNV-FM/Las Vegas
KUNV 91.5 FM in Las Vegas is celebrating its 45th anniversary, highlighting decades of student-driven broadcasting while nearing its fundraising goal during its Spring Membership Drive. The station, licensed to University of Nevada, Las Vegas, is approaching its $45,000 target, boosted by a special live 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