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

Audacy Ups Joe LaCroix at 105.7 The Fan in Baltimore
Joe LaCroix
Joe LaCroix
Audacy has promoted Joe LaCroix to Assistant Brand Manager of WJZ-FM (105.7 The Fan) in Baltimore. In his new role, LaCroix will support the station's content strategy, air talent, operations, and overall branding for the sports outlet. "Joe has been an incredible resource and tremendous help to the More

KUFO Returns as Portland's Rock Authority on 102.9 FM
KUFO-FM Portland OR
KUFO-FM Portland OR
Connoisseur Media has relaunched KUFO on 102.9 FM in Portland, OR bringing a modern, Active Rock outlet back to the market after a 15-year absence. The KUFO brand returns following a run of on-air stunts that sparked local buzz ahead of its official launch at midnight on February 4. More

Spirit FM Camdenton Adds Nybakken as Creative Director
Jaden Nybakken
Jaden Nybakken
Contemporary Christian KCVO (Spirit FM) Camdenton, MO, has named Jaden Nybakken as its new Creative Director and on-air host, effective March 2. A graduate of University of Northwestern - St. Paul, Nybakken brings experience in storytelling and media production. Spirit FM Station Manager Jenn Pooler said More
Advertisement

RVA Sets First CRS Pre-Show Seminar on Radio's Future
CRS 2026
CRS 2026
The Radio Vendor Alliance (RVA) will hold its first-ever seminar, "The Radio Station of the Future: CRS Pre-Show Seminar," on Tuesday, March 17, in Nashville, immediately ahead of the 2026 Country Radio Seminar (CRS). The half-day event, scheduled from 1:45-5pm with breaks, will be moderated by Mike More

NAB Names Joey Martin SVP of Sales Strategy for Events
Joey Martin
Joey Martin
The National Association of Broadcasters (NAB) has named Joey Martin Senior Vice President of Sales Strategy and Enablement for Global Connections and Events (GCE), overseeing sales and revenue generation for NAB Show and NAB Show New York. Martin will report to Karen Chupka, executive vice president of More

TuneIn Expands In-Vehicle Audio With Nissan Partnership
TuneIn
TuneIn
TuneIn has announced a collaboration with Nissan to bring its catalog of radio stations and podcasts to select Nissan and INFINITI vehicles in the United States. Under the agreement, TuneIn will be integrated into vehicles equipped with Google built-in, giving drivers access to 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