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Announcement :: Civil & Human Rights : Elections & Legislation : Media : Political-Economy |
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FEDERAL COURT PRESERVES STAY OF RULES, CALLS FCC DEREGULATORY TENDENCIES 'IRRATIONAL' AND 'INCONSISTENT' |
Current rating: 0 |
by Prometheus Radio Project
(No verified email address) |
24 Jun 2004
|
The court's decision in this case requires the FCC to reverse its
controversial June 2003 decision relaxing the regulation of ownership of
the newspaper, television and radio industries. |
FOR IMMEDIATE RELEASE: FEDERAL COURT PRESERVES STAY OF RULES, CALLS FCC
DEREGULATORY TENDENCIES 'IRRATIONAL' AND 'INCONSISTENT'
Contact: Pete Tridish, 215.727.9620, 215.605.9297, petri (at) prometheusradio.org
Contact: Hannah Sassaman, 215.727.9620, 267.970.4007, hannahjs (at) prometheusradio.org
In a lengthy decision of over 200 pages, the Third District Court today
told the Federal Communications Commission that its attempts to further
deregulate the American media system are unjustified. The court
determined that the FCC relied on "irrational assumptions and
inconsistencies" in determining the new cross-ownership caps, and ordered
them to make a new decision that takes seriously their duty to regulate
media to preserve the public interest.
The court's decision in this case requires the FCC to reverse its
controversial June 2003 decision relaxing the regulation of ownership of
the newspaper, television and radio industries. Judges faulted the FCC's
methodology in measuring concentration, and rejected the FCC's argument
ownership limits should be removed unless evidence could be shown to
warrant their retention. With the burden of proof back on the FCC,
consumers groups, parents, activist organizations, and even FCC
Commissioner Michael Copps joined Prometheus in celebration of the Court's
decision. "The rush to media consolidation approved by the FCC last June
was wrong as a matter of law and policy," said Commissioner Copps in a
released statement. "The commission has a second chance to do the right
thing."
"This outstanding decision comes at a time when unprecedented debate on
the role of media outlets in Americans' lives is taking place," said
Prometheus Program Director Hannah Sassaman. "Thousands of Americans are
telling the Commission and everyone who will listen that consolidation is
bad for their communities and families. It is of paramount importance
that the FCC use that testimony to inform new ownership rules that will
preserve and protect America's diverse, local voices."
The Prometheus Radio Project is also currently working to expand the
number of Low Power FM (LPFM) Radio stations in the United States. FCC
Chairman Michael Powell, Senator John McCain of Arizona, Senator Patrick
Leahy of Vermont, and many thousands of Americans have looked to LPFM to
provide a good source of local, diverse content in an era of profoundly
consolidated media. "Senators McCain and Leahy recently proposed Senate
Bill 2505, which will, if passed, bring thousands of low-power community
radio stations to America's cities and countryside," said Prometheus
Technical Director Pete Tridish. "Now that the American people, members
of Congress, and the courts have all said that consolidated ownership of
media doesn't serve us, we urge Congress to pass this bill, and bring more
truly independent media outlets to our country."
Prometheus brought the original motion to stay the rules on behalf of
their constituents, the many thousands of Americans fighting to build low
power, independent radio stations. The Prometheus Radio Project is an
activist organization that fights for more democratic ownership and
regulation of media. Prometheus advocates for community organizations that
want to start radio stations, and has helped build the first radio
stations owned by civil rights and environmental organizations in the
United States.
For more information about this case, and the continued work to expand Low
Power FM, contact Hannah Sassaman or Pete Tridish at the Prometheus Radio
Project. |
See also:
http://www.prometheusradio.org/
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Comments
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Court Reverses F.C.C's Media Ownership Rules |
by Reuters
(No verified email address) |
Current rating: 0
24 Jun 2004
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WASHINGTON, June 24 (Reuters) - A U.S. appeals court refused on Thursday to allow loosened federal rules on media ownership to take effect, dealing a blow to large broadcasters like News Corp. and Tribune Co. looking to extend their reach.
Federal rules like allowing one company to own both a newspaper and a television or radio station in the same town will remain on hold until the Federal Communications Commission better explained them, the court said.
"The Commission has not sufficiently justified its particular chosen numerical limits for local television ownership, local radio ownership, and cross-ownership of media within local markets," said the 218-page opinion by the U.S. Court of Appeals for the Third Circuit in Philadelphia.
The decision is the latest blow to the federal agency, which has been struggling to write new media ownership rules for years after a series of judicial challenges.
FCC Chairman Michael Powell said in a statement that the ruling was "deeply troubling" and would make it harder for the agency to limit greater media consolidation.
"This has created a clouded and confused state of media law," Powell said.
Opponents who waged a grass-roots campaign against the rules cheered the court's decision, saying it would now provide an opportunity to write rules that would slow industry consolidation.
The new rules adopted by the FCC last year would allow one company to own both a newspaper and a television or radio station in the same town. In many cases, one company could also own two television stations in the same media market.
The new rules would have also allow TV networks like Viacom Inc.'s CBS to reach 45 percent of the national audience through direct ownership of local TV stations, up from 35 percent. But Congress overruled the FCC and lowered that figure to 39 percent in January.
Despite stiff opposition, Powell pushed through the new rules to help broadcasters compete against pay-television services. But opponents feared the rules would allow media giants to grow even bigger to the detriment of local news reporting and diverse viewpoints.
The court agreed that the FCC was justified in setting limits on ownership but did not approve of the standards established, particularly a complex formula developed to determine whether a given media market had enough different news outlets to allow for consolidation.
The formula gave too much weight to Internet Web sites and smaller TV stations, the court said.
Major media companies were not immediately available for comment.
The commission's two Democrats praised the ruling.
"Clearly, the court found that the FCC's previous studies were inadequate and lacked credibility," said Democratic FCC commissioner Michael Copps in a statement.
Andrew Schwartzman, a lawyer for Prometheus Radio Project, which challenged the rules, said the court had ordered the FCC to "take the deregulatory thumb off of the scale." "It looks like the court agreed with us that preserving democracy is more important than helping big companies grow bigger," Schwartzman said.
The court's chief judge said his colleagues had overreached.
"The Court has substituted its own policy judgment for that of the Federal Communications Commission," Chief Judge Anthony Scirica said in a dissenting opinion.
Copyright 2004 Reuters |
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'Big, Big Win for Diversity' |
by Bloomberg News
(No verified email address) |
Current rating: 0
25 Jun 2004
|
FCC Media-Ownership Rules Sent Back for Agency Review
The Federal Communications Commission was ordered by a U.S. appeals court to review its new rules that let companies such as News Corp. and Viacom Inc. buy more television stations and newspapers.
The 3rd U.S. Circuit Court of Appeals in Philadelphia also blocked implementation of the media ownership rules, approved a year ago by the FCC under Chairman Michael Powell, until the agency acts, a copy of the decision shows.
``The Commission falls short of its obligation to justify its decisions to retain, repeal or modify its media ownership regulations with reasoned analysis,'' the appeals court said in its ruling, which was approved on a 2-to-1 vote.
The 218-page decision affects rules that let a single media company own a daily newspaper, three TV stations, eight radio stations and a cable system in the same large city. It doesn't affect legislation passed by Congress earlier this year that allows a company to own TV stations reaching as much as 39 percent of the national audience, up from 35 percent.
The ruling lends support to a coalition of disparate groups including the Consumer Federation of America, National Rifle Association and National Organization of Women that fought the FCC rules. They argued that allowing further media consolidation would reduce the diversity of local news and programs.
More individuals sent comments to the FCC in Washington on this issue than on any topic before, the agency has said, and nearly all opposed the new rules.
Diverse Landscape
Powell, a Republican, has argued that the media landscape has become more diverse than ever with the advent of the Internet and cable and satellite TV. Broadcasters such as Viacom's CBS and News Corp.'s Fox should be allowed to expand to compete better with cable operators such as Comcast Corp. and satellite-TV companies like EchoStar Communications Corp., he said.
Powell had the support of companies such as Viacom, which owns CBS, UPN and MTV; News Corp., owner of Fox and the New York Post; Tribune Co., owner of the Los Angeles Times and Chicago Tribune; and Gannett Co., which owns USA Today. Tribune and Gannett would benefit from a new rule allowing a single company to own a newspaper and TV station in the same city.
`Second Chance'
The FCC voted 3-2, along party lines, to approve the rules a year ago.
``The rush to media consolidation approved by the FCC last June was wrong as a matter of law and policy,'' said FCC Commissioner Michael Copps, a Democrat who led the battle against the rules. ``The Commission has a second chance to do the right thing.''
FCC spokesman David Fiske said agency officials are reviewing the decision and would have no immediate comment.
News Corp. spokesman Andrew Butcher, Gannett Co. spokeswoman Tara Connell, Tribune Co. spokesman Gary Weitman and Viacom Inc. spokeswoman Susan Duffy didn't immediately return calls seeking comment on the ruling.
The three-judge court in Philadelphia said the FCC rules were flawed in their computation of newspaper, TV and radio ownership limits in particular markets. It ordered the FCC ``to justify or modify its approach to setting numerical limits,'' the court said.
``This is a big, big win for diversity,'' said Andrew Schwartzman, president of the nonprofit Media Access Project, one of the parties appealing the FCC rules.
© Copyright 2004 Bloomberg News
http://quote.bloomberg.com |
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