Performance Tax Fight Will Go On

A report from the National Journal says that the Congressional battle over the foolish Performance Tax is unlikely to be concluded this year, and will most likely continue on Capitol Hill into the year 2010. Judiciary Committee Chairmen Patrick Leahy (D-VT) in the Senate and John Conyers (D-MI) in the House each pushed the bill through committee, but neither seems particularly sanguine about prospects for a floor vote.

Our broadcasters have rounded up over 250 members who support the Local Radio Freedom Act, which is in direct opposition to P-Tax. But the greedy, foreign owned record companies aren’t going to give up, so if this matter isn’t concluded in 2010, it could spill into the schedule of the 112th Congress in 2011, and so on. Just this week, the AFL/CIO sent a letter to Congress in support of the P-Tax. It is interesting that big labor is supporting a position that will put many of its members out of a job. This is a fight we will need to continue for as long as it takes and is the NJBA’s top priority, and we thank our member stations for their unwavering support of our efforts to fight this industry destroying measure.  

Biennial Ownership Reports Due January 11, 2010
Electronic Version of Form 323 Now Available

Earlier this year, the Federal Communications Commission (FCC) revised its ownership report form, FCC Form 323, and the revisions were approved by Office of Management and Budget. Biennial ownership reports on the newly revised form must by filed for all commercial broadcast licensees (including LPTV licensees) by Monday, January 11, 2010.  As in the past, these ownership report forms are required to be filed electronically using the FCC’s Consolidated Database System (CDBS). Reports may be filed at any time between the date the form goes live in CDBS and the deadline. Among other changes to Form 323, the FCC now requires filers to provide FCC Registration Numbers (FRN) for all attributable individuals and entities within a broadcast licensee's ownership chain. Broadcasters may obtain more information about the revised Form 323 from the FCC by sending an email to Form323@fcc.gov. You may also contact the NAB Legal department for general questions on FCC Form 323 at 866-682-0276. For station-specific matters, please contact your station counsel.

ASCAP/BMI Radio Music Licenses Expire This Month

The current ASCAP/BMI (PROs) licenses of stations represented by the Radio Music License Committee (RMLC) expire on December 31, 2009. Stations that are licensed through the RMLC have four options, one of which should be exercised by year end:

Sign up with the RMLC; for specialty and niche formatted stations, authorize the National Religious Broadcasters Music License Committee (NRBMLC) to represent your station; Sign extension agreements directly with the PROs; File applications for new licenses directly with the Federal Rate Court in the Southern District of New York.

Stations must exercise their own individual business judgment and should seek the advice of counsel on which of these options to pursue. NJBA does not recommend any particular option.

FCC Staffer Trying to Improve Image

Broadcasters should not fear FCC Diversity Czar Mark Lloyd, who told a Media Access Project gathering that he'd like to "clear away some mud.” He says that “I am not a czar appointed by President Obama. I am not at the FCC to restore the Fairness Doctrine through the front door or back door, or to carry out a secret plot funded by George Soros to get rid of Rush Limbaugh, Glenn Beck or any other conservative talk show host." Before he joined the FCC this year as Chief Diversity Officer, Lloyd had written and promulgated many incendiary comments about the Fairness Doctrine. But he says right now, he's working on ideas for increasing broadband availability to minorities. This comment might give broadcasters more comfort if Chairman Genachowski would please explain the outrageous statements made by another recent FCC appointee, Stuart Benjamin, who advocates the rapid demise of broadcasters through oppressive regulation and increased costs of station operation. Among other disturbing comments, Benjamin says “the FCC should favor regulations that have the extra benefit of burdening broadcasters with extra costs and speeding their demise.” Yeah, broadcasters have nothing to fear in Washington.

Congress Steps Up Demands on PPM

Media Week reports that House Oversight and Government Reform Committee Chairman Rep. Edolphus "Ed" Towns (D-N.Y.) is keeping the pressure on Arbitron to address problems with its portable people meter rating system. The chairman, who held hearings Dec. 2 on the PPM's effect on minority broadcasters, once again threatened to introduce legislation unless Arbitron, the Media Rating Council and the members of the PPM Coalition come up with a workable plan in 30 days. "It took decades of hard-fought battles to finally create diversity on the airwaves. I will not let this diversity perish overnight because of inaccurate ratings," Towns wrote in a letter dated Dec. 10. Arbitron took a beating during the hearing from several of its minority broadcast clients including PPM Coalition members Univision Communications, Spanish Broadcasting System and Inner City Broadcasting. The MRC was also critical of Arbitron, which has been unable to achieve accreditation in 31 of 33 PPM markets. "We want accreditation before Arbitron discontinues its diary service. The MRC voluntary code calls for that," said Ceril Shagrin, EVP, corporate research for Univision, which no longer subscribes to Arbitron. "We're ready to work with Arbitron. The MRC is ready. It will be up to Arbitron." Arbitron did not have any immediate comment.

2010 RADAR Report Available

The RADAR 103 survey period saw an increase in the number of people reached by network radio from the RADAR 102 period for key buying and selling demographic groups.  The RADAR 103 December 2009 release is the eighth RADAR release to include both Arbitron PPM and diary respondents. The People Meter is generally showing larger audiences for radio than the diary, and as Arbitron brings more markets to PPM measurement, the reach of network radio grows.  Arbitron posts RADAR Radio Network Ratings for Persons aged 18-49 and Persons aged 25-54 on its Web site at: http://www.arbitron.com/national_radio/radar103_network_rankings.htm

RAB and NAB Announce Expanded Working Relationship

The Radio Advertising Bureau (RAB) and National Association of Broadcasters (NAB) today announced an expanded partnership of communications and events, including a combined Radio convention Sept. 29-Oct. 1, 2010 in Washington, DC.   This natural extension of the relationship forged under one voice for Radio in 2007 entails a long-term program of communications and events for Radio sales and representation in Washington to coincide with "The Radio Show produced by RAB and NAB."  More details on the fall convention will be forthcoming in early 2010.  This enhanced partnership is designed to positively address the needs of our radio station members and bring about proactive change for both of our trade associations. In addition to a new and revised Radio Show, NAB and RAB will partner on programs such as the NAB Show in Las Vegas and other industry leadership events.

New Measure Would Give Engineers Seat at the FCC’s Table

Senators Olympia Snow and Mark Warner have introduced S. 2881, a bill authorizing each FCC commissioner to add one staff assistant position to the three they currently have.  This new position would require that the holder either have a degree in electrical engineering or be a computer scientist.  If passed, this bill could help reverse the de-emphasis in technical expertise that has plagued the Commission for the past 25 years. 

The Trenton Report from The Marcus Group

Last week, legislation creating the Silver Alert was approved by the full state Senate. The original bill called for activation of the EAS for missing elderly persons. However, the NJBA was successful in securing amendments that did not include the EAS, but elaborated on a voluntary, cooperative effort between state and local law enforcement agencies and the media. The bill also seeks to limit the issuance of alerts. It only applies to missing persons with dementia or another cognitive impairment and only in cases involving the risk of serious injury or death.  If Governor Corzine signs the bill into law, New Jersey will become the 11th state in the country with a Silver Alert program. Additionally, yesterday Governor-elect Christie announced the first of several cabinet appointments he will make in the next few weeks. Christie announced Essex County Prosecutor Paula Dow as his nominee for attorney general. Dow is a registered Democrat and a former member of Christie’s U.S. attorney’s office. If confirmed by the state Senate, Dow would be New Jersey’s first African-American female attorney general. Dow will take over the attorney general’s office in the midst of a hiring and salary freeze.  The busy G-E also announce that Kim Guadagno, lieutenant governor-elect, will also serve as secretary of state. She will perform the responsibilities of the secretary of state, such as overseeing arts, tourism, cultural programs, and the Division of Elections and also head the "New Jersey Partnership for Action," a new organization charged with assisting businesses looking to move to or expand in New Jersey.

New Jersey Has New US Attorney

Paul Fishman, a prominent defense lawyer and former federal prosecutor, was officially inducted Monday as U.S. attorney for New Jersey at a ceremony at Rutgers Law School in Newark, a report in NorthJersey.com said. U.S. Supreme Court Justice Samuel Alito Jr., who is also a former U.S. attorney in New Jersey, administered the oath, according to the report. Fishman has done the duties of the state's top federal prosecutor job since mid-October. After being nominated by President Obama in May, Fishman, 53 was confirmed by the Senate in October. He had been recommended for the U.S. Attorney post in February by Frank Lautenberg and Robert Menendez. Fishman served 11 years as an assistant U.S. Attorney in New Jersey and was chief of the office's criminal division.

2009: The Year in Review

As you know, the FCC and Congress have thrown multiple, concurrent proceedings proposing numerous, re-regulatory requirements at the radio and television broadcast industries.  At year end, the NJBA would like to thank all of our members, and especially our devoted Board of Directors, for their dedicated support of the many initiatives we have been involved with as a state association.  Because of their time, talent and terrific support, your association has taken a leadership role throughout the industry by advocating our membership’s interest before the FCC and Congress. We are fighting a cancerous Performance Tax, and through our member’s efforts, congressional support for the Local Radio Freedom Act continues to grow as we just secured our 253rd member of House of Representatives to cosponsor the resolution. To date, a bipartisan group of 253 House lawmakers and 27 U.S. senators have publicly expressed opposition to the RIAA-backed P-Tax legislation. We raised awareness of several inadequacies with our EAS and PPM accuracy in New Jersey. Together, we are working on improving both within the state. Also, the NJBA became a member of the Media Ratings Council, with President Paul Rotella serving on the MRC’s Board of Directors, and several MRC committees and task forces, including the important Radio and Television Committees. And, as you know, we have done much more, all of which well illustrates how hard the NJBA is fighting for New Jersey radio and television. 

Without question, there is still much to be done. As we look ahead, our efforts continue to be focused and strategic as we aggressively advocate New Jersey broadcast issues. We expect 2010 will bring even more regulatory and legislative challenges to our industry. So, please renew your valuable NJBA membership today and let’s continue to fight for free speech and free-over-the-air broadcast together in the New Year. Now, more than ever, it is important that your association remain strong and resolute in the face of these challenges.

Ho, Ho, Ho!

During this busy holiday season, the NJBA would like to take a moment to thank our great New Jersey broadcasters for all that they do, day in, and day out. Congratulations on another year of unparalleled service to your communities and to New Jersey! Paul, Mary and Debbie want to wish all of our Broadcasters, friends and family, a very Merry Christmas, Happy Hanukkah, and a healthy and prosperous New Year!

Quick News will return in January!

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.

Broadcast House, 348 Applegarth Road, Monroe Twp., NJ  08831 (888) 657-2346 FAX: (888) 652-2329, njba@njba.com