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Misunderstanding?

AM Translators, Online Political File, FM Chips Important Topics at NAB Radio Show

The FCC AM revitalization draft order and FCC Chairman Tom Wheeler's views on the AM translator application window are expected to be the primary topics at the NAB Radio Show in Atlanta opening Wednesday. Radio broadcasters also are concerned about enforcement or rules against pirate radio stations (see 1509240066) and recent proposals by Commissioner Mike O'Rielly, the possible application of online political file rules to radio, and the progress of the effort to get active FM chips in smartphones. So said industry lawyers in interviews this week. “They're going to be asking, 'Where is the AM revitalization?'” said Womble Carlyle radio attorney John Garziglia, of broadcasters at the upcoming show.

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Wheeler's recent statements characterizing the request for an AM-only FM translator window as an attempt at getting free spectrum (see 1509170041) show a misunderstanding of the translator process, said industry lawyers. Broadcasters want to know the progress of the AM revitalization draft order and the likelihood of it containing the application window, said National Association of Black Owned Broadcasters (NABOB) President Jim Winston. Although the proposed revitalization rules affect only FM stations, many of the larger station groups own AM's and FM's, so the topic will have broad appeal among radio broadcasters, said Fletcher Heald broadcast attorney Harry Cole. FCC officials have told us Wheeler's office is discussing alternatives to the window with other eighth-floor offices. One such alternative, a waiver that would allow stations to move translators from up to 250 miles away, has been criticized by NABOB, the Multicultural Media, Telecom and Internet Council and other advocates of the translator window. However, some broadcasters see the policy as having a great deal of potential, Garziglia said. NAB and other supporters of the translator window have said the FCC should enact both policies.

O'Rielly's draft pirate radio policy released Thursday is seen as being broadly supported by broadcasters. O'Rielly's endorsement of “vigorous enforcement” that would extend beyond pirate radio operators to the owners of the buildings they broadcast from and the advertisers who pay them might be difficult to actually implement, said Cole and Garziglia. “They just reduced the field offices,” said Cole. “Where are they going to find staff to go after landlords?” The FCC “doesn't have the legal ability to do what he's asking them to do,” said Garziglia. “I was very glad that he said something, but I wonder how he intends to pull this off.”

The Enforcement Bureau recently released a series of $15,000 notices of apparent liability against several pirate radio operators (see 1509250061">1509250061). It isn't issuing enough of them to combat the scope of the problem, Winston said. Since an NAL is a proposed fine rather than an actual fine, it's not likely to deter pirates, Cole said. “They probably just throw that NAL in the trash.” O'Rielly's office, the FCC and the Enforcement Bureau didn't comment.

The specter of an FCC effort to apply online political file rules to radio may also concern broadcasters at the convention, lawyers said. Though the Media Bureau sought comments on only doing a proposal and nothing suggests a specific draft order is in the works, the concept is seen as teed up, they said. It's expected that if it were to happen, such an order would be approved in time for it to apply to the high volume of political ads expected with the 2016 presidential election year, they said. Many radio stations aren't currently equipped to comply with such an order, Cole said.

The effort to get active FM chips in smartphones is nearly universally seen as a positive for radio by broadcasters, Garziglia said. Though the process is going slowly, its recent success with AT&T (see 1507280054) is likely to make it an important topic at the convention, said broadcast lawyers. Radio broadcasters also are concerned about the future of Voltair, a device that boosts the inaudible signal Nielsen uses to rate radio programs, Garziglia said. The industry is concerned about possible Nielsen action against stations that use the device, he said.

A petition to change the low-power FM service rules to allow commercials is also seen as of interest to broadcasters at the radio show. Though the petition was opposed by NAB and numerous full-power broadcast associations, LPFM is seen as having surprising sway among FCC officials and legislators, Cole said. Though he and other radio attorneys said the petition isn't seen as likely to succeed, it's of concern to full-power and commercial broadcasters, he said.