NJBA Weekly Newsletter Friday, July 24, 2009

Congressman Adler Signs on Against P-Tax

The NJBA is pleased to announce that Congressman John Adler (NJ-3) is the latest Member of the House of Representatives to cosponsor H. Con Res. 49- The Local Radio Freedom Act, bringing the total number of cosponsors up to 244! We are particularly grateful to Congressman Adler, who was originally a cosponsor of the P-Tax (H.R. 848), for reviewing and ultimately reversing his position in response to the concerns raised by New Jersey Broadcasters. By standing up for New Jersey broadcasters, and all of the millions of New Jersey residents who enjoy New Jersey radio, Congressman Adler has shown tremendous leadership and genuine involvement in the community he serves. The citizens of New Jersey’s Third Congressional District are fortunate to have the benefit of his advocacy in Congress on this most important issue and we at the NJBA are particularly grateful to the Congressman for his support of Free Over-the-Air Radio.  

Time for an FM Chip in Cell Phones

Radio Heard Here asks: “Why not add an inexpensive analog FM radio receiver into all mobile devices?” It provides essential access to critical information over the air during times of crisis using a device that consumers will already be carrying. In times of grave crises, it’s clear that the only functioning source of information will be "over the air" broadcasting. Broadcom recently announced an integrated circuit device that combines WiFi, Bluetooth and FM on a single "chip," making it easier for manufacturers to integrate essential functionality in one chip. Verizon Wireless, AT&T and T-Mobile are including FM radio-capable handsets in their offering and the radio industry is working on getting Apple on board as well. In fact, the Apple iPhone 3GS includes the Broadcom chip described above which has FM receiver capability. Nokia has already sold more than 700 million devices with built-in FM radio receivers worldwide, demonstrating consumer recognition of the value.

What Can You Do?

Start by visiting www.radioheardhere.com/fmchip. Spread the word among our radio industry colleagues and ask them to do the same. Spread the word to listeners over the air and on your radio station website and ask them to voice their support for FM radio on cell phones. Together, we can mobilize this initiative throughout the industry and the listening population to demonstrate the fundamental necessity for FM radio receivers in mobile devices. 

Millennium Makes More Moves

Russ Del Core has joined Millennium’s Jersey Shore “Memories Station” WOBM, Lakewood (1160) and “Soft Rock 92.7” WOBM-FM, Toms River, as their new Local Sales Manager. He returns to Millennium, after most recently serving as the local sales manager at Beasley’s WXTU, Philadelphia (92.5). Del Core’s hiring comes not long after John Furno left Millennium to join the cross-town Press Communications Group. Also at Millennium - Andy Gury takes on the LSM job at classic rock “Hawk 105.7” WCHR-FM in Manahawkin, NJ. 

TV Copyright Royalty Claims Due by July 31

Television stations with locally-produced programming whose signals were carried as distant signals by at least one cable system in 2008, and television stations with locally-produced programming whose signals were carried by at least one satellite carrier for home viewing in 2008, are eligible to file royalty claims for compensation with the Copyright Office in Washington, DC by 4PM this date. Under the federal Copyright Act, cable systems and satellite operators must pay “compulsory license” royalties to carry TV signals on their systems.   

NAB May Look to a Sitting Rep to be its Rep-in-Chief

The search committee looking for the National Association of Broadcasters’ new president will have an unexpected set of candidates to consider — sitting members of Congress. Identities are being closely guarded since if they are not chosen it could be very difficult to win re-election after voters learned they were job hunting.  With Democrats firmly in control of Congress and morale among Republicans at its lowest point in decades, sources say the list includes more GOP names.   

Guadagno Picked to be First GOP Lt. Gov. Candidate

The Star Ledger broke the story that GOP gubernatorial candidate Chris Christie chose Monmouth County Sheriff Kim Guadagno to join his ticket as candidate for lieutenant governor in the first New Jersey campaign to feature that office.  

Arbitron Reports 10% Gain in Profits---Loses Univision

Arbitron reports that it brought in $86.8 million in revenues in the second quarter of 2009, up 10.4 percent from $78.7 million in Q2 2008. This in spite of spending over $1.2mm in legal fees defending PPM. The company said revenue benefited from the commercialization of the PPM in Boston, as well as pre-currency revenue from five new PPM markets. However, New Jersey’s own Tom Taylor reported that Univision’s taking the calculated gamble that it doesn’t need Arbitron, even in major markets where transactional business typically requires somebody to have some kind of numbers. (Last week, Univision made known that it was “invisible” in the first-ever Miami People Meter ratings, because its stations weren’t even encoding.) Univision may be relying on its strong franchises and betting that agencies and clients who want access to its loyal Spanish-language brands will buy regardless. One thing Univision won’t have to worry about is the added expense of paying Arbitron for ratings that it doesn’t believe in. 

The Trenton Report from the Marcus Group

THE $8 BILLION QUESTION: Some old TV buffs may remember the popular 1950s game show, The $64,000 Question. It spawned a number of copycat TV game shows but was taken off the air when numerous game shows of that era were discovered to be rigged. Now we have an $8 billion dollar question haunting Trenton. The release this week of a report showing the Garden State facing an $8 billion structural deficit for the next fiscal year hit the gubernatorial race like a grenade—and no one wanted to fall on it. The non-partisan Office of Legislative Services calculated the shortfall by counting all mandatory increases in state funding and assuming all programs currently in the budget would be included next year. Republican gubernatorial candidate Chris Christie called for the cancellation of Gov. Jon Corzine re-election campaign. The Corzine camp has called Christie’s statement “laughable.” Two things are certain. Corzine is not withdrawing from the race and neither candidate is rushing forward with a fiscal plan to address the $8 Billion Question.  

Washington Week

Both of the congressional commerce committees are devoting time to broadcast matters this week, with three sessions on the schedule in the Senate and a fundamental session being held by a key House subcommittee. The Senate will vote on the nominations of Commissioners Mignon Clyburn and Meredith Attwell Baker, look at advertising issues and children's TV. The House Subcommittee on Communications, Technology, and the Internet has an FCC oversight hearing booked. (Interestingly enough, FCC Commissioner McDowell asked the new Chairman why the FCC is making such a huge profit on regulatory fees taken from licensees, when it is not supposed to be “turning a profit”.)  

On the Performance tax, we are up to 244 cosponsors in the House, and we are up to 23 cosponsors in Senate. Sen. Collins (ME) and Sen. Cochran (MS) are the two newest editions to S. Con. Res. 14. We anticipate a hearing in the Senate Judiciary Committee prior to August recess and will let you know if/when it is scheduled. Finally, the House Judiciary committee released a draft version of the SHVERA legislation last week. We anticipate a mark-up on this draft bill on July 29 in Judiciary Committee, and there is a strong possibility of a mark-up in the House Energy and Commerce Committee sometime next week.  

Remembering Walter

Last Friday, Walter Cronkite died at his New York home at the age of 92. Cronkite began his decades-long broadcast career in radio after the Second World War and anchored the nightly news for CBS Television from 1961-1982. To say that he was a broadcasting legend is almost trite. NJBA President Paul Rotella recalls “It was an honor and a pleasure to have met the “Most trusted man in America”. Rotella remembers the advice “Uncle Walter” gave him upon his election to the Paramus Borough Council in 1982: “Give it to ‘em straight, and keep it honest”. Good advice- timeless-like he was. We’re going to miss him. 

Declaration of Independence in NJ

Outstanding participation in the 2008 National Student/Parent Mock Election by New Jersey schools and schoolchildren won for the Garden State a presentation of one of the few remaining copies of the Declaration of Independence, which is now on display at the State Museum in Trenton.  The Pearson Foundation presented awards to the New Jersey Press Foundation, which served as the Mock Election coordinator, and to the New Jersey Division of Elections.  Congratulations to the students, the NJ Press Foundation, and our Division of Elections for making us proud. 

Please Say Thank You to our Congressmen

QuickNews is provided for general information purposes only and should not be relied upon as legal or tax advice pertaining to any specific factual situation. Legal and tax related decisions should be made only after proper consultation with a legal professional of your choosing.