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Friday, June 10, 2011

TV Spectrum Dominates NAB Board Meeting

While the performance "tax" issue is still a very important issue to the radio industry, it's not as white-hot as the spectrum issue is on the television side. The NAB concluded two days of board meetings in Washington yesterday and NAB Joint Board President Steve Newberry tells Radio Ink the performance rights issue is still in the hands of the R.I.A.A. "We made an offer back in November and the ball is in their court." Newberry says the topic most important right now to all broadcasters is the spectrum issue. "We heard the FCC Chairman (Genochowski) say giving up spectrum space should be voluntary. We don't want the word voluntary to have quotes around it."

A bill Newberry and broadcasters are keeping their eye on is Senate Bill 911, the Public Safety Spectrum and Wireless Innovation Act. Yesterday it was sent to the full Senate for consideration.  The bill to build a nationwide communications network for first responders was overwhelmingly approved by the Commerce Committee 21-4. The bill allows broadcasters and other spectrum licensees to voluntarily return unused portions of the airwaves.  The freed up spectrum would be re-auctioned for commercial wireless broadband use in exchange for a portion of the proceeds through ?incentive auctions.?  The costs to build the public safety network will be offset by the proceeds of incentive auctions, and the surplus revenue will go toward deficit reduction."

Broadcasters do not oppose rebuilding the safety infrastructure that failed America on September 11th, 2011. What they are clearly opposed to is a government hammer that mandates a return of spectrum space. Newberry cautioned that the Federal Communications Commission is holding their plans regarding spectrum "close to the vest." He adds "there's a strong inclination to try to address this issue coming from the White House, the FCC and the Senate." Newberry says "we also have a lot of good friends in Congress." Without actually coming out and using the exact words, it appears broadcasters may be slightly worried that while the government keeps saying voluntary, voluntary may either mean something else or turn into something else."

Back in January Chairman Genochowski said "A lot of that spectrum is currently occupied by TV broadcasters, a large majority of which was freed up after the recent digital transition. As part of its national broadband plan, the FCC last year proposed allowing broadcast TV stations to voluntarily sell some of their spectrum for mobile broadband purposes. Genachowski on Thursday pushed hard to make those incentive auctions a reality. In the case of TV broadcasters, under our plan a broadcaster could choose to contribute the six megahertz they are using, or continue to broadcast by sharing a channel with one or more stations, or simply not participate and continue to broadcast as they do today," he said. "Since the DTV transition, some broadcasters are making effective use of the capabilities of their spectrum, but some are not."

It's clear the NAB board is somewhat worried that "voluntary" may turn into "mandatory" and that is when the real fight will begin.

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