MIA At FCC: No Aug. Vote On Ownership

The controversial proposal to change how many stations companies can own didn’t show up on the schedule for the commission’s Aug. 2 meeting.

On Thursday, the FCC released the agenda for its Aug. 2 open meeting and, for broadcasters, it is more noteworthy for what’s not on the agenda than what is.

What isn’t is a vote on the FCC’s rulemaking to relax the national ownership cap.

That proceeding is highly controversial, drawing opposition from interest groups opposed to media consolidation as well as from cable operators concerned that further consolidation will strengthen broadcasters’ hand in retransmission consent negotiations.

The rulemaking has also divided the broadcasting industry, with some calling for elimination of the cap, while others favor simplifying and easing the current cap.

The cap limits station groups to a reach of no more than 39% of U.S. TV homes. However, because coverage of UHF stations is discounted by half in calculating reach, groups can technically grow to as much as 78%.

Because groups have a mix of UHF and fully counted VHFs, each group has a different cap somewhere between 39% and 78%.

BRAND CONNECTIONS

The rulemaking also has implications for the long-pending Sinclair-Tribune merger, which, as now structured, would create a group with a reach of around 60%.

The FCC has the option to vote on the rulemaking “on circulation” — that is, by voting in private by passing it around the commissioners’ offices. But that it usually not done in with high-profile or controversial proceedings.

After Aug. 2, the next scheduled FCC meeting isn’t until Sept. 26.


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