Here are some of the regulatory developments of significance to broadcasters from the past week, with links to where you can go to find more information as to how these actions may affect your operations.
- The Senate Commerce Committee held a hearing on several political appointees’ nominations, including the nomination of Danielle Thumann Severs to fill the third Republican seat. She was nominated to fill that seat by President Trump in September. She currently works as Senior Counsel to FCC Chair Brendan Carr. At the hearing, there were many questions about her independence from the Chairman and on whether the FCC should use its authority to pressure or punish broadcasters for protected speech. She committed to be independent and to base licensing decisions on the law and the record. She stated that licensing decisions should be based on the full record before the Commission and not be based purely on the President’s discontent with a broadcaster’s content. Earlier in her legal career, in addition to other positions at the FCC, Thumann worked for Crown Castle tower company and the Wilkinson Barker Knauer law firm in Washington. Information on the hearing, including video and testimony, is available here. The Senate is scheduled to vote on Thumann’s nomination on November 18.
- During the course of the hearing, and in other statements made during the week, Democratic members of the House and Senate promised to increase FCC oversight when they hold the majority in those chambers starting in December. Senator Ben Ray Luján (D-NM) suggested that those hearings could come up monthly. Democratic Senators also complained that the nomination of Thumann was being advanced without either a paired nomination for the empty seat on the FCC that cannot go to a Republican or the renomination of Commissioner Gomez whose term has ended (unless her seat is otherwise filled, she can continue to serve until the end of 2027 even without being renominated).
- The FCC announced that January 11, 2027 is the effective date of its Report and Order eliminating the 39% national TV ownership cap, which the FCC adopted at its August Open Meeting (see our note here). Under the new policy, the FCC will do a case-by-case review of any proposed TV combination exceeding the 39% cap to see if it is in the public interest by weighing factors including the transaction’s potential benefits (e.g., increased local programing and technical innovation) and its potential harms (e.g., decreased local programming, increased retransmission consent fees, and loss of broadcast jobs). By abolishing the cap, the FCC appears to be starting from a position that the cap is no longer necessary so any objections to proposed combinations that would exceed the current cap must provide specific showings why the transaction would harm the public interest (e.g., by showing historical tendencies of the acquiring company to engage in conduct that produced negative results).
- In connection with the Local Television Ownership Rule, the Media Bureau granted an application for the assignment of a Reno, Nevada TV station to Sinclair, waiving the rule to allow Sinclair to own three TV stations in the Reno, NV Designated Market Area (DMA). The rules currently permit one owner to hold only two TV licenses in any market, but changes are being considered in the 2022 Quadrennial Review, the resolution of which is expected soon. The Bureau found that granting the waiver was in the public interest because Sinclair’s acquisition of the station would expand local news, sports, and other programming offerings in the DMA—including services that the station cannot currently provide under its joint sales and shared services agreements with Sinclair due to FCC rules restricting the programming that can be provided under those agreements. Sinclair also cited its actions in other markets designed to increase local service to the public. The Bureau found that it was unlikely that an out-of-market competitor could operate the station as a standalone station due to the station’s low revenue prospects as the DMA’s second to last ranked station. As we noted here and here, the Bureau recently granted Sinclair waivers of the Local TV Ownership Rule on similar grounds allowing it to own three TV stations in both the Wilkes-Barre-Scranton-Hazelton, PA and the Flint-Saginaw-Bay City, MI DMAs. In March, we noted that the Bureau permitted another company to acquire a third TV station in the Indianapolis DMA and, as we wrote here, in the Bureau’s approval of Nexstar’s acquisition of TEGNA, it authorized Nexstar to own three TV stations in several markets.
- The FCC’s Office of Economic Analysis and the FCC’s Media Bureau released a Public Notice announcing the status of the FCC Form 175 short-form applications filed for Auction 114—in which the FCC will auction 132 construction permits for new FM stations in various parts of the country (see the list of channels here). The auction is scheduled to begin on February 2, 2027. As we noted here, applicants seeking to bid in Auction 114 had until September 30 to file their short-form applications necessary to participate in the auction. Of the 60 Auction 114 short-form applications received, 38 were deemed to be complete, 21 incomplete, and 1 was rejected. Applicants with incomplete applications have until 6:00 p.m. ET on December 3 to amend their applications to correct their defects. Applicants have until 6:00 p.m. ET on December 3 to make their required upfront payments necessary to become a qualified bidder. The Public Notice sets out other rules that qualified bidders must follow. For more on Auction 114, see our article here, the FCC’s participation instructions here, and the FCC’s Small Entity Compliance Guide summarizing the requirements and procedures for the auction.
- The FCC submitted its semi-annual report to Congress on U.S.-based foreign media outlets—entities that are agents of a foreign government and produce or distribute video programming transmitted, or intended for transmission, by multichannel video programming distributors in the United States. The John S. McCain National Defense Authorization Act requires the FCC to update Congress every six months with a list of the U.S.-based foreign media outlets that registered with the FCC during the previous six months. In its report, the FCC stated that no U.S.-based foreign media outlets registered with the agency between April and October 2026, a result that is the same as that submitted by the FCC for the last several years (see, for instance, our notes here and here).
Recent Comments