Articles Posted in Noncommercial Operation

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Pillsbury’s communications lawyers have published FCC Enforcement Monitor monthly since 1999 to inform our clients of notable FCC enforcement actions against FCC license holders and others.  This month’s issue includes:

  • Foreign Ownership Violation by Telecommunications Provider Leads to $50,000 Penalty and Four-Year Compliance Plan
  • Arizona LPFM Station Hit with $20,000 Penalty and $41,500 Suspended Penalty for Underwriting Violations
  • Unauthorized Station Transfers Result in $8,000 Consent Decree

Telecommunications Provider to Pay $50,000 and Implement Four-Year Compliance Plan After Foreign Ownership Violations

A Guam-based telecommunications provider (Telecom Provider) settled an investigation by the Federal Communications Commission (FCC) into its ownership structure by entering into a consent decree that requires a $50,000 payment to the government and implementation of a 48-month compliance plan.  The Telecom Provider holds domestic and international Section 214 authorizations, 84 wireless licenses, three submarine cable licenses, and an earth station satellite license.  The FCC’s investigation concerned the Telecom Provider’s ownership, which includes two foreign corporations and a foreign government’s finance ministry.

Section 310(b)(4) of the Communications Act of 1934, as amended (Act), places a 25 percent limit on ownership by foreign individuals, corporations, and governments in U.S.-organized entities controlling common carrier licensees.  Under the Act, the FCC may permit higher levels of foreign ownership of an FCC licensee if it determines it is not contrary to the public interest.  Since 2013, FCC approval has also been required for any foreign individual or entity not previously approved by the FCC to acquire more than a five percent equity or voting interest in the entity.  These public interest determinations by the FCC incorporate input from a federal Executive Branch review of national security, law enforcement, foreign policy, and trade policy concerns conducted by a multi-agency group known as Team Telecom.

In 2015, the FCC granted an application that allowed the Telecom Provider to have 100 percent foreign ownership consisting of a parent entity two steps up in the ownership chain (Indirect Parent Entity) (owning up to 65.15 percent of the equity and voting interests) and the finance ministry (owning up to 26.95 percent of the equity interests and 41.53 percent of the voting interests).  Five years later, the Indirect Parent Entity commenced a tender offer for outstanding shares in the parent entity directly above the telecom provider (Direct Parent Entity).  Two months later, the Indirect Parent Entity acquired the tendered shares, which increased its indirect ownership interests in the Telecom Provider to 91.46 percent.  At the end of 2020, the Indirect Parent Entity also acquired all shares of the Direct Parent Entity’s common stock held by the remaining minority shareholders, resulting in it owning 100 percent of the equity and voting interests of the Telecom Provider.  These transactions led to the finance ministry having an indirect ownership interest in the Telecom Provider (held through Indirect Parent Entity) of 33.93 percent equity and voting.  The result was higher levels of foreign ownership in the Telecom Provider than had previously been approved by the FCC.

The Telecom Provider attempted to correct the problem by filing a Petition for Declaratory Ruling seeking approval for the Indirect Parent Entity and finance ministry to exceed their previously approved foreign ownership limits.  In late 2021, the International Bureau granted the Petition, but the FCC’s Enforcement Bureau pursued the prior foreign ownership violation, resulting in a Consent Decree with the Telecom Provider.

In addition to paying a $50,000 civil penalty for exceeding the foreign ownership levels approved by the FCC, the Telecom Provider must implement a plan to ensure compliance with the terms of the Consent Decree, including developing a compliance manual, administering employee compliance training, and submitting compliance reports to the Commission for four years regarding foreign ownership compliance.  During that time, the Telecom Provider must also report instances of noncompliance with the FCC’s foreign ownership rules and the terms of the Consent Decree within 15 days of discovering them.

Violations of Noncommercial Broadcast Underwriting Laws Result in $20,000 Penalty and a $41,500 Suspended Penalty for Low Power FM Station

The FCC’s Enforcement Bureau entered into a Consent Decree with the licensee of an Arizona LPFM station to resolve an investigation into violations of the FCC’s rules regarding underwriting.  Under the Consent Decree, the licensee agreed to implement a compliance plan and pay a $20,000 civil penalty, with a suspended civil penalty of $41,500 to be levied in the event of default. Continue reading →

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Pillsbury’s communications lawyers have published the FCC Enforcement Monitor monthly since 1999 to inform our clients of notable FCC enforcement actions against FCC license holders and others. This month’s issue includes:

  • Sports Entertainment Company’s Malfunctioning Microphone Interferes with Public Safety Communications
  • Florida Radio Application Dismissed Over Disclosure Issues
  • Late Issues/Programs Lists and Children’s Television Programming Reports Causes $18,000 Proposed Fine for Maryland Television Station

Notice of Violation Issued After Malfunctioning Wireless Microphone Transmits on Wrong Frequency

A sports entertainment company with dozens of locations across the country received a Notice of Violation from the FCC for causing interference to a city’s licensed wireless operations. FCC field agents investigating interference complaints using direction finding techniques located “drifting” radio emissions in the area and determined that the source was a malfunctioning wireless microphone used by the sports entertainment company in its local operations.

The microphone was causing interference to the city’s 800 MHz communication system, and as noted by the Enforcement Bureau, the sports entertainment company did not hold a license to operate the microphone on that frequency. The city used the 800 MHz facilities for public safety operations, making the interference particularly concerning.

Under the Notice of Violation, the company must respond within twenty days and (1) fully explain each violation, including all relevant surrounding facts and circumstances, (2) include a statement of the specific action(s) taken to correct each violation and prevent recurrence, and (3) include a timeline for completion of any pending corrective action(s). The Notice of Violation also indicated the possibility of further enforcement action “to ensure compliance.”

Applicant Loses Chance at Noncommercial Radio Station After Failing to Make Required Disclosures

An applicant seeking to build a new noncommercial educational (NCE) station in Florida saw its application dismissed after a petition to deny raised disclosure issues with it. The company filed the application in November 2021 during the most recent filing window for new NCE applications. Applicants with applications deemed to be mutually exclusive (MX) are given an opportunity to work together to resolve technical conflicts through settlement arrangements. If the conflicts are not resolved, the FCC compares and analyzes the competing applications and tentatively selects a winning application.

The FCC’s comparative analysis of MX NCE applications generally consists of three main components. When NCE FM applicants in an MX group propose service to different communities, the FCC performs a threshold fair distribution analysis under Section 307(b) of the Communications Act of 1934 to determine if one of the applicants is proposing service to an underserved area. Application conflicts that are not resolved under this “fair distribution” analysis are next compared by the FCC under an NCE point system, which is a simplified, “paper hearing” process. If necessary, the FCC then makes a tie-breaker determination, based on applicant-provided data and certifications. Continue reading →

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Pillsbury’s communications lawyers have published the FCC Enforcement Monitor monthly since 1999 to inform our clients of notable FCC enforcement actions against FCC license holders and others. This month’s issue includes:

  • LPFM Station Fined $15,000 for Airing Commercial Advertisements
  • FCC Issues Notices to the Landowners of Sixteen Pirate Radio Sites
  • Telecommunications Carrier Pays $227,200 To Resolve 911 Outage Investigation

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Pillsbury’s communications lawyers have published the FCC Enforcement Monitor monthly since 1999 to inform our clients of notable FCC enforcement actions against FCC license holders and others. This month’s issue includes:

  • Failure to File License Renewal Application Results in Cancelled License
  • Call Provider Receives Cease-and-Desist Letter From FCC for Apparently Transmitting Illegal Robocalls
  • New York Broadcaster Agrees to Consent Decree for Violations Relating to the Public Inspection File

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With the end of another year soon upon us, we have begun to look forward to the highs, lows, joys, and filings that 2023 has in store.  In accordance with a Pillsbury holiday tradition, earlier this month we published our annual Broadcasters’ Calendar of upcoming regulatory deadlines for broadcasters–a compendium of the currently known deadlines occurring throughout 2023. It’s full of dates and deadlines affecting TV and radio in the coming year, and cross-references some of our other Advisories to help stations meet their regulatory obligations in the year ahead. We hope this Calendar helps guide you into and through the new year.  Happy 2023 to all.

Items of Note in 2023[1]

  1. Commercial and Noncommercial Biennial Ownership Report: December 1, 2023 is the deadline by which all commercial and noncommercial radio and television stations must file their biennial ownership reports. Commercial stations will file FCC Form 2100, Schedule 323, and noncommercial stations will file FCC Form 2100, Schedule 323-E. The filing window opens October 1, 2023, and all ownership reports must reflect information current as of that date.
  2. Applications for Renewal of License: The three-year long state-by-state license renewal cycle ends in April 2023 for stations in the television services (full-power television, Class A television, LPTV, and TV Translator). The three-year renewal cycle for stations in the radio services (AM, FM, FM Translator, and LPFM) ended in April 2022. Stations will file their license renewal applications on FCC Form 2100, Schedule 303-S (“Form 303-S”) along with their Equal Opportunity Employment Reports on Form 2100, Schedule 396 (“Form 396”). The date by which the licensee must file a station’s application for license renewal depends on the state or territory of the station’s community of license. All licensees should familiarize themselves now with the dates associated with this important filing. As noted in previous Calendars, stations are no longer required to air pre-filing announcements during the two months preceding the filing of their license renewal application and instead need only air six post-filing announcements over four consecutive weeks, beginning within five business days after the FCC has “accepted for filing” their license renewal application. Additional information can be found in our License Renewal Advisories published on CommLawCenter prior to each state-by-state application deadline.
  • TV Spectrum Repack Progress Report and Reimbursement Deadlines: Because the 39-month post-auction transition period for full-power and Class A television stations ended in 2020, the post-repack Transition Progress Report (FCC Form 2100, Schedule 387) filing deadlines are not noted in this year’s calendar. However, stations that received an extension of time to complete their transition must continue to file Transition Progress Reports on a quarterly basis until they have ceased operating on their pre-repack channels, completed construction of their post-repack facilities, and reported that information to the FCC. In addition to these quarterly reports, transitioning stations must file Transition Progress Reports ten weeks before the end of their assigned construction deadline, ten days after completion of all work related to constructing their post-repack facilities, and five days after ceasing operations on their pre-auction channel. Throughout 2021 and 2022, all repacked full-power and Class A television stations and FM stations and LPTV/translator stations that sought reimbursement had to submit all invoices and supporting documentation, and initiate interim close-out procedures. The FCC announced in February 2022 that it intends to visit a random sample of Broadcaster Relocation Fund participants to verify the existence and operational status of equipment for which the participant received reimbursement.

January 1

Audio Description Requirements Extend to Nielsen Designated Market Areas 81 to 90—Commercial television stations affiliated with one of the top four broadcast networks and assigned to the Madison, Waco-Temple-Bryan, Harlingen-Weslaco-Brownsville-McAllen, Paducah-Cape Girardeau-Harrisburg, Colorado Springs-Pueblo, Shreveport, Syracuse, Champaign and Springfield-Decatur, Savannah, or Cedar Rapids-Waterloo-Iowa City and Dubuque Nielsen Designated Market Areas must comply with the FCC’s audio description (formerly video description) rules.

January 10

Quarterly Issues/Programs List Due—All full-power radio, full-power television, and Class A television stations must upload to their Public Inspection File by this date the Quarterly Issues/Programs List covering the period October 1, 2022 through December 31, 2022. Continue reading →

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Pillsbury’s communications lawyers have published FCC Enforcement Monitor monthly since 1999 to inform our clients of notable FCC enforcement actions against FCC license holders and others. This month’s issue includes:

  • FCC Proposes $34,000 Fine for Interrupting Emergency Communications During Wildfire
  • Late Programs/Issues Lists and Failure to Disclose Violation Causes $15,000 Proposed Fine for North Dakota Noncommercial Licensee
  • License Rescinded for Mississippi Station Not Built as Authorized

Amateur Ham Radio Operator Receives $34,000 Proposed Fine for Transmitting on Radio Frequency Used by Fire Suppression Aircraft

The FCC issued a Notice of Apparent Liability for Forfeiture (NAL) to an amateur radio operator for interfering with the U.S. Forest Service while it and the Idaho Department of Lands were directing aircraft fighting a 1,000-acre wildfire outside of Elk River in northern Idaho. The FCC found that the individual violated Sections 301 and 333 of the Communications Act (the “Act”), and Sections 1.903(a) and 97.101(d) of the Commission’s Rules by operating on government frequencies without a license and causing intentional harmful interference to licensed radio operations.

On July 22, 2021, the FCC received a complaint from the U.S. Forest Service about an individual who had been transmitting on government frequencies, noting that the transmissions had caused interference to fire suppression aircraft operations. The complaint explained that on July 17th and 18th, firefighters working on the “Johnson Fire,” a 1,000-acre wildfire on national forest lands in northern Idaho, received several communications from an individual calling himself “comm tech.” He advised firefighters and aircraft of hazards at a radio repeater sight in Elk Butte and identified his location as the Elk River airstrip. On July 18th, the fire operations section chief drove to the airstrip and found an individual who admitted to transmitting on government frequencies as “comm tech.”

On July 22, 2021, a U.S. Forest Service Law Enforcement and Investigations Branch agent interviewed the individual about the incident. The individual admitted to operating on the government frequency and that he was not authorized to do so. On October 15, 2021, the FCC sent a Letter of Inquiry (LOI) to the individual. In the individual’s response, he again admitted to operating on the government frequency but argued that he was not trying to cause interference and instead was trying to provide information to the firefighters. He suggested a third party may have also been transmitting, and may have continued to do so after he spoke to the fire chief and ceased his own operations.

Section 333 of the Act states that “[n]o person shall willfully or maliciously interfere with or cause interference to any radio communications of any station licensed or authorized by or under the Act or operated by the United States government.” The legislative history of Section 333 describes willful and malicious interference as “intentional jamming, deliberate transmission on top of the transmissions of authorized users already using specific frequencies in order to obstruct their communications, repeated interruptions, and the use and transmission of whistles, tapes, records, or other types of noisemaking devices to interfere with the communications or radio signals of other stations.” Section 97.101(d) of the Commission’s Rules states that “[n]o amateur operator shall willfully or maliciously interfere with or cause interference to any radio communications or signal.” The FCC found that the individual violated Sections 333 of the Act and 97.101(d) of the Rules when he caused harmful interference by making repeated interruptions to the Forest Service’s communications. The unauthorized transmissions impeded legitimate communications and resulted in personnel being diverted away from the fire and to his location at the airstrip.

Section 301 of the Act states that “[n]o person shall use or operate any apparatus for the transmission of energy or communications or signals by radio . . . without a license granted by the Commission.” Section 1.903(a) of the FCC’s Rules requires that wireless licensees operate in accordance with the rules applicable to their particular service, and only with a valid Commission authorization. The FCC found that the individual violated those sections when he made eight separate radio transmissions on the government’s frequency, as he did not have a license to operate on that frequency. According to the FCC, his statements to the U.S. Forest Service and his written response confirmed his actions.

Section 1.80 of the FCC’s Rules establishes a base fine of $10,000 for operating without a license, and $7,000 for causing interference to authorized stations for each violation or each day of a continuing violation. Here, the Commission proposed a total fine of $34,000 – a $10,000 fine for each of the two days of unlicensed operations, and $7,000 for each of the two days of harmful interference. The FCC concluded that there were no mitigating factors supporting any downward adjustment of the proposed fines, and issued the NAL for the full $34,000.

FCC Proposes $9,000 and $6,000 Fines for Minnesota and North Dakota Television Stations’ Late-Filed Programs/Issues Lists

The FCC issued proposed fines of $9,000 and $6,000 in response to allegations that two noncommercial television stations owned by a North Dakota licensee failed to timely upload all of their Quarterly Programs/Issues Lists to the stations’ Public Inspection Files. An FCC staff review of the stations’ Public Inspection Files as part of the license renewal process revealed that during the license term, both stations uploaded numerous Quarterly Programs/Issues Lists late and failed to properly disclose these violations in the stations’ license renewal applications.

Section 73.3527(e)(8) of the FCC’s Rules requires every noncommercial broadcast station to place in its Public Inspection File “a list of programs that have provided the station’s most significant treatment of community issues during the preceding three month period.” The list must include a brief narrative of the issues addressed, as well as the date, time, duration, and title of each program addressing those issues. The list must be placed in the Public Inspection File within 10 days of the end of each calendar quarter. Continue reading →

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The deadline to file the 2021 Annual Children’s Television Programming Report with the FCC is January 30, 2022, reflecting programming aired during the 2021 calendar year.  Note that because this deadline falls on a weekend, this filing may be made on January 31, 2022.  In addition, commercial stations’ documentation of their compliance with the commercial limits in children’s programming during the 2021 calendar year must be placed in their Public Inspection File by January 30, 2022.

Overview

The Children’s Television Act of 1990 requires full power and Class A television stations to: (1) limit the amount of commercial matter aired during programs originally produced and broadcast for an audience of children 12 years of age and under, and (2) air programming responsive to the educational and informational needs of children 16 years of age and under.  In addition, stations must comply with paperwork requirements related to these obligations.

In 2019, the FCC adopted a number of changes to its children’s television programming rules.  Substantively, the new rules provide broadcasters with additional flexibility in scheduling educational children’s television programming, and modified some aspects of the definition of “core” educational children’s television programming.  Those portions of the revisions went into effect in 2019.  Procedurally, the new rules eliminated quarterly filing of the commercial limits certifications and the Children’s Television Programming Report in favor of annual filings.  Those revisions went into effect in 2020. As a result, the Children’s Television Programming Report and commercial limits documentation filed in 2022 will be the second year that annual filings are submitted.

Commercial Television Stations

Commercial Limitations

The FCC’s rules require that stations limit the amount of “commercial matter” appearing in programs aimed at children 12 years old and younger to 12 minutes per clock hour on weekdays and 10.5 minutes per clock hour on the weekend.  The definition of commercial matter includes not only commercial spots, but also (i) website addresses displayed during children’s programming and promotional material, unless they comply with a four-part test, (ii) websites that are considered “host-selling” under the Commission’s rules, and (iii) program promos, unless they promote (a) children’s educational/informational programming, or (b) other age-appropriate programming appearing on the same channel.

Licensees must upload supporting documents to the Public Inspection File to demonstrate compliance with these limits on an annual basis by January 30 each year, covering the preceding calendar year.  Documentation to show that the station has been complying with this requirement can be maintained in several different forms.  It must, however, always identify the specific programs that the station believes are subject to the rules, and must list any instances of noncompliance.

Core Programming Requirements

To help stations identify which programs qualify as “educational and informational” for children 16 years of age and under, and determine how much of that programming they must air to demonstrate compliance with the Children’s Television Act, the FCC has adopted a definition of “core” educational and informational programming, as well as three different safe harbor renewal processing guidelines that establish the minimum amount of core programming stations must air to receive a staff-level license renewal grant.  Stations should document all core children’s programming that they air, even where it exceeds the safe harbor minimums, to best present their performance at license renewal time.

Under these rules, the FCC generally defines “core programming” as television programming that has as a significant purpose serving the educational and informational needs of children 16 years old or under and which is aired between 6:00 a.m. and 10:00 p.m.  In addition, commercial stations must also identify each core program by displaying an “E/I” symbol onscreen throughout the program.  Licensees must also provide information identifying each core program they air to publishers of program guides, though they no longer need to indicate a program’s intended age range.

There are three ways to satisfy the Commission’s processing guidelines:

  • Category A1: Stations can meet their obligation by airing at least three hours per week (as averaged over a six-month period) of core programming, all of which is regularly scheduled, weekly, and at least 30 minutes in length.  To satisfy Category A1’s three-hour-per-week minimum, at least two hours must air on the primary stream and up to one hour may air on a multicast stream.
  • Category A2: Stations can meet their obligation by airing at least 156 hours of core programming per year, including at least 26 hours per quarter that is regularly scheduled, weekly, and 30 minutes in length, and up to an additional 52 hours of programming throughout the year that is not provided on a regularly scheduled basis, but is at least 30 minutes in length.  To the extent a station airs more than two hours per week of regularly scheduled core programming, it has the flexibility to air such additional regularly scheduled programming on a multicast stream.  However, all non-regularly scheduled programming aired to satisfy the Category A2 minimum must air on the primary stream.
  • Category B: Stations can meet their obligation by airing at least 156 hours of core programming per year, including at least 26 hours per quarter that is regularly scheduled, weekly, and 30 minutes in length, and up to an additional 52 hours of programming throughout the year that is not provided on a regularly scheduled basis, and may be less than 30 minutes in length, such as PSAs and interstitials. To the extent a station airs more than two hours per week of regularly scheduled core programming, it has the flexibility to air such additional regularly scheduled programming on a multicast stream.  However, all non-regularly scheduled programming aired to satisfy the Category B minimum must air on the primary stream.

These processing guidelines, as well as other changes the Commission introduced regarding rebroadcasts and the rescheduling of preempted programming, provide stations greater flexibility in scheduling children’s television programming.  However, they require that stations understand these requirements and document them accurately in their Annual Children’s Television Programming Report filings.

Filing the Children’s Television Programming Report

The next Children’s Television Programming Report must be filed electronically with the FCC by January 31, 2022 (because, as noted above, the actual January 30 due date falls on a weekend).  Broadcasters must file their Children’s Television Programming Reports via the Licensing and Management System (LMS), accessible at https://enterpriseefiling.fcc.gov/dataentry/login.html.  Once filed, the FCC’s electronic filing system will automatically place the Children’s Television Programming Report into the station’s Public Inspection File.  However, each station should confirm that has occurred to ensure that its Public Inspection File is complete.

Noncommercial Educational Television Stations

Because noncommercial educational television stations are precluded from airing commercials, the commercial limitation rules do not apply to them.  Accordingly, noncommercial television stations have no obligation to place commercial limits documentation in their Public Inspection File.  Similarly, though noncommercial stations are required to air programming responsive to the educational and informational needs of children 16 years of age and under, they do not need to complete Children’s Television Programming Reports.  They must, however, maintain records of their own in the event their performance is challenged at license renewal time.  In the face of such a challenge, a noncommercial station will be required to have documentation available that demonstrates its efforts to meet the needs of children.

Please do not hesitate to contact the attorneys in the Communications Practice for specific advice on compliance with these rules or for assistance in preparing any of the above documentation.

A PDF version of this article can be found at Meeting Your Annual Children’s Television Programming Reporting Obligations.

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Pillsbury’s communications lawyers have published FCC Enforcement Monitor monthly since 1999 to inform our clients of notable FCC enforcement actions against FCC license holders and others. This month’s issue includes:

  • FCC Proposes $20,000 Fine for Broadcast of False EAS Alert Tone
  • Mississippi Television Station Fined $18,000 for Late Issues/Programs Lists and Failure to Disclose Violation
  • Illinois High School Agrees to Consent Decree for Violations Relating to Periods of Silence, Late Issues/Programs Lists, and Failing to File a Biennial Ownership Report and EEO Program Report

Nevada Radio Licensee Receives Proposed Fine of $20,000 for Transmitting False EAS Tone

The FCC issued a Notice of Apparent Liability for Forfeiture (NAL) to a radio station licensee for violating the Commission’s Emergency Alert System (EAS) rules—specifically Section 11.45 of the Commission’s Rules, which prohibits the transmission of false or deceptive EAS tones.

The EAS is a nationwide public warning system designed to alert the public in an emergency. In order to maintain the effectiveness of such emergency alerts, EAS tones may only be aired in specific circumstances, such as an actual emergency, an authorized test, or a public service announcement educating the public about EAS. Section 11.45 strictly prohibits airing an EAS tone, or simulations thereof, except in connection with of one of these permitted uses.

In October 2020, the FCC received a complaint alleging that a Nevada radio station had transmitted EAS tones during a talk show that were not connected to an actual emergency. In January 2021, the FCC’s Enforcement Bureau sent a Letter of Inquiry to the broadcaster seeking information regarding the potential violation.

The broadcaster responded that the tones had indeed aired, and included an audio recording of the program in question. The broadcaster indicated it did not review the program containing the EAS tones prior to broadcast as the program was part of a programming block purchased by the talk show’s host.  It noted that the program containing the EAS tones was also simulcast on the digital subchannel of another co-owned radio station and on an FM translator.

Based on the broadcaster’s admissions and the FCC’s review of the audio recording, the Commission found that the broadcaster willfully violated Section 11.45 of the Commission’s Rules. The FCC also noted that while the base fine for violations of the EAS rule is $8,000, it looks at the particular facts of each case and may upwardly adjust that amount based on a number of specific factors, including the number of repetitions, the duration of the violation, the audience reach of the transmission, and the public safety impact.

In this instance, the FCC emphasized the stations’ sizeable audience reach, noting that the violation was exacerbated by rebroadcasts on the digital subchannel and FM translator. Because all three stations are located in Las Vegas, a top 50 market, the audience reach was substantial. The FCC therefore concluded that an upward adjustment was warranted, proposing a total fine of $20,000. The company has 30 days from release of the NAL to pay the fine or file a written statement seeking reduction or cancellation of the proposed fine.

FCC Proposes $18,000 Fine for Mississippi Television Station’s Late-Filed Issues/Programs Lists

The FCC fined a Mississippi television station $18,000 for failing to timely upload all of its quarterly Issues/Programs Lists to its Public Inspection File. The station recently filed a license renewal application, and an FCC staff review of the station’s Public Inspection File revealed that during the license term, the station uploaded twenty-one of the Lists late and failed to properly disclose these violations in its application.

Section 73.3526(e)(11)(i) of the FCC’s Rules requires every commercial television station to place in its Public Inspection File “a list of programs that have provided the station’s most significant treatment of community issues during the preceding three month period.” The list must include a brief narrative of the issues addressed, as well as the date, time, duration, and title of each program addressing those issues. The list must be placed in the Public Inspection File on a quarterly basis within 10 days of the end of each calendar quarter.

The FCC noted that six of the Lists created during the license term were uploaded more than one year late, eleven Lists were uploaded between one month and one year late, and four Lists were uploaded between one day and one month late. The licensee also did not disclose the violations in its license renewal application. When the licensee failed to provide an adequate explanation for the late uploads, the Commission concluded that the licensee willfully and repeatedly violated Section 73.3526 of the FCC’s Rules. The FCC also found that the failure to report the violations constituted an apparent violation of Section 73.3514(a) of its Rules, which requires that applications filed with the Commission be accurate and complete.

Section 1.80(b)(10) of the FCC’s Rules establishes a base fine of $10,000 for Public Inspection File violations and a base fine of $3,000 for failure to file a required form or information. However, the Commission may adjust the amount upwards or downwards based upon factors such as the “nature, circumstances, extent and gravity of the violation,” in addition to the licensee’s “degree of culpability” and “any history of prior offenses.” Taking those factors into account, the FCC proposed a fine of $15,000 for the late-filed Lists and a fine of $3,000 for the failure to disclose those violations in the license renewal application, resulting in a total proposed fine of $18,000. Noting that the violation did not constitute a “serious violation” nor a pattern of abuse that would prevent renewal of the station’s license, the FCC indicated it would grant the license renewal application by separate action if no other issues arose.

Illinois High School Enters Into Consent Decree for Violations Relating to Periods of Silence, Late Issues/Programs Lists, and Failure to File a Biennial Ownership Report and EEO Program Report

An Illinois High School, the licensee of a noncommercial radio station, recently entered into a Consent Decree with the FCC for failing to (i) promptly notify the Commission that the station was silent for more than ten days, (ii) request Commission authorization to remain silent for more than 30 days, (iii) file required Biennial Ownership Reports, (iv) submit an EEO Program Report, and (v) timely upload its quarterly Issues/Programs Lists to its Public Inspection File throughout the license term.

Section 73.561(d) of the FCC’s Rules permits stations to limit or discontinue operation for a period of no more than 30 days, but requires licensees to notify the Commission no later than the 10th day of limited or discontinued operation. If the station needs to remain silent beyond 30 days, a licensee must request Special Temporary Authority (an “STA”) from the FCC to do so. In this case, the station discontinued operations on June 1, 2019 but did not notify the FCC until September 24, 2019, when it sought an STA.

The FCC granted the STA request on October 10, 2019 for a period of no longer than 180 days. The licensee requested an STA extension on March 10, 2020 which was granted on March 17, 2020 for a period ending June 1, 2020.  Citing reasons associated with the COVID-19 pandemic, the licensee filed a final extension request on June 1, 2020 which the FCC granted on July 15, 2020 for a period ending December 1, 2020. During this time, the licensee filed the station’s license renewal application on August 3, 2020. The station resumed operations on November 14, 2020.

In October 2020, an informal complaint was filed against the license renewal application, arguing that the station was silent for longer than 12 months and that granting the application would be unfair to other high school stations in the region. The complaint also pointed out that the application falsely certified that the station had not been silent for any consecutive 12-month period.  Section 312(g) of the Communications Act states that a license shall automatically expire if a broadcast station “fails to transmit broadcast signals for any consecutive 12-month period.”

In response, the FCC noted its discretion under Section 312(g) to extend or reinstate a license “to promote equity and fairness.” The FCC also noted that the station did resume operations on November 14 – prior to the STA expiring on December 1. The Commission agreed that the licensee incorrectly certified compliance with Section 312(g), but indicated it did not believe the licensee’s incorrect certification was intentionally false, as the station had an STA allowing it to remain silent. However, the FCC did conclude that the licensee violated Section 73.3615(d) (failing to file required Biennial Ownership Reports), Section 73.2080(f)(1) (failing to submit an EEO Program Report with the license renewal application), and Section 73.3527(b)(2)(i) (failing to timely upload Issues/Programs Lists to the Public Inspection File).

In light of the Commission’s findings, the licensee elected to enter into a Consent Decree with the FCC to resolve the matter rather than face an extended FCC proceeding. Pursuant to the Consent Decree, the licensee admitted the violations and agreed to pay a civil penalty of $1,000. The Consent Decree also requires the licensee to file an EEO Program Report within 10 days, and implement a compliance program, including appointment of a compliance officer, development of a compliance manual, implementation of a training program, filing of a compliance report with the FCC a year after entering into the Decree, and reporting to the FCC any violation of the Consent Decree, the Silent Notification Rule, the Ownership Report Rule, the EEO Program Report Rule, or the Public Inspection File Rule within 10 days of discovering a violation.

A PDF version of this article can be found at FCC Enforcement ~ December 2021.

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The filing window for broadcast Biennial Ownership Reports (FCC Form 323 and 323-E) opened on October 1, 2021. All licensees of commercial and noncommercial AM, FM, full-power TV, Class A Television and Low Power Television stations must submit their ownership reports by December 1, 2021.

To save parties from preparing an ownership report from scratch, the filing system permits parties to validate and resubmit previously filed ownership reports, so long as those reports were submitted through the current filing system and remain accurate.  Parties also have the ability to copy and then make changes to information included in previously submitted reports.  There is also a search page which allows a party to search for and review previously-submitted Ownership Reports.

For additional information on preparing and filing a biennial ownership report, the FCC hosted a video information session which is available at Information Session on Filing Biennial Ownership Reports, Forms 323 and 323-E and a PDF copy of the presentation is available here.

As a reminder, Biennial Ownership Reports submitted during this filing window must reflect the ownership interests associated with the station as they existed on October 1, 2021, even if an assignment or transfer of control was consummated after October 1, 2021. Should you need assistance preparing and filing your Biennial Ownership Report, please contact your Pillsbury counsel or any of the attorneys in Pillsbury’s Communications Practice.

A PDF of this article can be found at Biennial Ownership Reports Are Due by December 1, 2021 for All Broadcast Stations.

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Full power commercial and noncommercial radio, LPFM, and FM Translator stations, licensed to communities in Alaska, Hawaii, Oregon, Washington, Guam, Mariana Islands, and American Samoa and full power TV, Class A TV, LPTV, and TV Translator stations licensed to communities in Iowa and Missouri, must file their license renewal applications by October 1, 2021.

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