The FCC should “think long and hard” about adopting...

The FCC should “think long and hard” about adopting any repacking plan that would cost more than the $1.75 billion set aside to reimburse repacked broadcasters, said Commissioner Ajit Pai in a speech Monday at the Pennsylvania Association of Broadcasters Convention (http://fcc.us/1njcPAn). “If broadcasters that stay in business are repacked and are required to pay some of their relocation costs, can we say that the incentive auction is truly voluntary?” Pai asked. The commission should ensure that non-participating broadcasters are “held harmless,” and make it simple for broadcasters to channel-share with the goal of encouraging them to participate in the auction, he said. “Channel sharing can allow broadcasters to stay in business while still receiving a cash infusion that can be used to improve their services or facilities,” he said. Keeping the repacking cost under the $1.75 billion mark is one of several ways Pai said the FCC could improve its relationship with broadcasters. “Every segment of the industry we regulate should have confidence that the commission will give them a fair hearing, and none should be under the impression that the FCC is out to get them.” Pai said it isn’t the commission’s role to urge broadcasters into the over-the-top video marketplace, a reference to Chairman Tom Wheeler’s speech at the National Association of Broadcasters show last month (CD April 9 p1). “For all of the talk of over-the-top programming, it’s still over-the-air programming that draws the largest crowds,” Pai said. Another way to help broadcasters would be to “modernize” the commission’s media ownership rules and eliminate the prohibition against newspaper-radio cross-ownership, he said. “The commission has signaled an openness to getting rid of this anachronism,” he said. “The FCC has no evidence at all justifying our newspaper-radio cross-ownership prohibition -- and nobody even bothers trying anymore.” The AM revitalization proposal could also be a way for the FCC to help broadcasting, and enjoys broad support, Pai said. “There are many issues at the FCC that are controversial. AM radio isn’t one of them.” The FCC should move forward with an FM translator window for AM broadcasters, Pai said. The commissioner said he will hold meetings with stakeholders this summer to collect more ideas for improving the AM band. “Our decisions should reflect a consistent regulatory philosophy instead of appearing to help or harm a particular segment of the industry,” Pai said.