FCC 88·235 Federal Communications Commission Record 3 FCC Rcd No. 17 Before the Federal Communications Commission Washington, D.C. 20554 tour standard in the main studio location rule is necessary. The positions of the parties and the Commission's decision on these issues is discussed in detail belOW. DISCUSSION MM Docket No. 86·406 MEMORANDUM OPINION AND ORDER (Proceeding Terminated) INTRODUCTION 1. On April 16, 1987, the Commission adopted its Re port and Order in the above-captioned proceeding, amending the main studio fules governing television and radio broadcast stations.. 1 In., the Report and Order, the Commission revised the main studio rules to conform their requirements to broadcast station operations in the current marketplace and regulatory environment..Specifi cally, the Commission amended the main studio location rule to permit broadcast stations to locate their main studios outside their communities of license at any point within their principal community ("city grade") contours,2 and eliminated the station program origination rule in its entirety. 3 However, to preserve the public's accessibility to the station's public file, the Commission amended its public inspection rules to provide that the licensee main tain the file within its station's community of license. 4 At the suggestion of numerous parties commenting on the Notice in this proceeding,S the Commission also added a requirement that stations maintain a local or toll-free tele phone number if 'community residents will incur toll charges in telephoning the station. 2. Now before the Commission for its consideration are seven petitions requesting reconsideration and clarification of this decision. 6 The petitions generally raise five issues: (1) whether the Commission should modify its require ment that every station locate its public inspection file in the community of license and maintain a local or toll-free number if community residents would incur toll charges in telephoning the station; (2) whether the main studio has a function in light of the Commission's elimination of the program origination rule and, if so, what is the func tion and how is main studio defined; (3) whether the Commission should apply the main studio rule to non commercial educational stations; (4) whether the Commis sion should modify the main studio location standard; and (5) whether clarification of the principal community con- In the Matter of A. Public File and Local I Toll· Free Telephone Require ments 3. The first issue raised by petitioners is whether' the Commission should modify its new requirements that ev ery station locate its public inspection file in the commu nity of license and maintain a local or toll-free number if community residents would incur toll charges in telephon ing the station. At the request of several petitioners,' the Commission granted a limited stay of the revised public inspection file rules on July 16, 1987 to permit those stations that kept their public files outside the community of license, either at the AM transmitter main studio site or at a main studio location authorized by a previous rule waiver, to continue to maintain their public files at those locations pending a decision on this reconsideration. 8 4. Under the former public file rules, astation'~was required to maintain the public inspection file at its main studio or any accessible place in the community of li cense. 9 Under certain exceptions to the main studio loca tion rule, stations could locate their main studio, and thus their public file, outside the community of license. lO In this proceeding the Commission relaxed the main studio location rule to permit a station to locate its main studio outside its community of license. ll At the same time, the Commission amended its public file rules to require that a station locate' its public inspection file only in the commu nity of license. 12 The Commission also required a station located outside the community of license to maintain a local or toll-free number if community residents would incur toll charges in telephoning the station. 13 5. Five of the seven petitioners and one commenter objected to the Commission's require,ment that stations maintain a public file in the community of license. Peti tioners urge modifications of, the public file rule ranging from deleting the new requirement to grandfathering li censees that maintained their files outside the community of license on the effective date of the new rules. 6. Petitioners The National Association of Broadcasters (NAB), the Arkansas Educational Television Commission, et aI. (Arkansas Commission, et aI.),14 Greater Media, Inc. (Greater Media) and joint commenters WCKG, Inc. and WVEC Television, Inc. (WCKG) urge the Commission to return to its former public file rules under which a station could locate its file at its main studio, irrespective of the studio's location. The petitioners argue generally that the Commission's new public file rules are more costly to the stations, and disserve, rather than serve the public interest. They assert that one of the same rationales that prompted the Commission to relax the main studio rule -- reduced travel time due to improved transportation systems that may make a studio outside the community as accessible to residents as a facility within the community -- similarly supports permitting a station to maintain its public file at its main studio. 7. They further argue that the Commission's goal of reducing the stations' costs and creating efficiencies will be frustrated because of the costs and burdens involved in maintaining public files at a separate location. 1s In addi tion, petitioners and commenters variously argue (1) that RM-5480 Released: August 17, 1988 By the Commission: Amendment of Sections 73.1125 and 73.1130 of the Commission's Rules, the Main Studio and Program Origination Rules for Radio and Television Broadcast Stations Adopted: Jnly 11, 1988; 5024 3 FCC Rcd No. 17 Federal Communications Commission Record FCC 88-235 members of the pllblic expect [he files to be located at the main studio, aHi wdib(~confused by a separate location; (2) that licensees will have to rely on third parties to maintain the files, who can easily misplat.:e files. ano. are unable to answer the public's questions regarding the files; (3) that IOCUli{JH of the fiies oll.tside the main studio will inhibit the public from discussing infofmarion in the files with the management or may require the public to travei to two differentlocation~to inspect the files and discuss them with r;:lanagCl"ltent, and (4) that licensees will have problems keeping the files current. 8. If the Commission maintains its amended public file rules. NAB. Pillar of Fire(Pil!~r)!'l.nd Knight Cnmmu ni:.::ations Corp.. Knight Radio, Inc. and Quality Radio Corp. (Knight) urge the Commission to grandfather the location of aU existing public files as of the effective date of the new fuie. UtUJt:l this grandfather provision. all licensees who were pceviously authorized to locate main studios. including their public files, OL!tsi(le the community of license would be permitted to continue to maintain the public files at their existing location. 9. In support of the grandfather provision, pt::titioners argue that (1) the new rule will confuse and incom:e nience members of tne public who are accustomed to inspecting the files at the main studio: (2) relocation of the files wiH be burdensome and costly for thelic~nsce~ who have traclitionally relied on rhe former rule to main tain their public files at the main studio: and (3) the rule as it stands will prompt thousands of stations to seek waivers of the ruie, imposing a tremendous hurden on Commission resources. 16 Moreo\ier. pedtoners argue that it is difficult tnrec-.J~cikthe new public file location re quirement with the rationale underlying the amendment of the main studio loc:ltion rule. In this reg?rd. Pillar argues that the Commission "seemingly ignored its rec ognition of modern accessibility." which supported the decision to relax the main studio location rule, in adopting the new requirement. 10. Onepetition~r.Arkansas Commission, el at., also requests the Commission to eliminate the requirement that each broadcast station maintain a local or toll-free tele phone number, asserting that it is costly and not suffi ciently justified. 11. Analysis. We have carefully considered petitioners' arguments and we have further evaluated our new pUblic file requirement. We have decided to maintain the public file requirement as adopted in the Repon and Order, but we will grandfather the location of public files established outside of the community of license pursuant to exception or waiver provisions in former Section 73.1125 (a) prior to the effective date of the Report and Order. 12. Petitioners have not persuaded us to modify substan tially or to eliminate altogether our requirement that the public file be maintained in the community of license. Contrary to petitioners' assertions, this requirement is not inconsistent with the Commission's relaxation of the main studio location rule. We determined that public files must be maintained in the station's community of license to .,[t]o assure meaningful public participation in our licens ing process.'1l7 Notwith.standing the Commission's de regulatory measures, public participation continues to play a significant role in the licensing process. For example, although we eliminated extensive applications for license renewal, we continue to rely on public participation in the renewal process, among other enforcement tools, to insure licensee compliance with Commission rules and policies. 18 Similarly. although we eliminated formal ascertainmept requirements and quantitative prog.ramming guideiines, we still rely on the public to insure that licensees fulfill their obligation of providing programming responsive to the needs and interests of their community of license. 19 The informRtion needed by the public to monitor licensees' performance is kept in the public files. 2Q Thus, it is impor· tant that the public files be physically accessible to all the residents oi the station'sc~mmunityof license. 13 Moreover, the question of where the public file should be located raises different issues than the matter of the accessibility of the main studio. In our Report and Order. we emphasized that locat.ion of the main studio in the community of license Wrt$ no longer necessary to assure that the station was accessible. A significant factor in this determination was evidence that community resi dents generally communicate with a station by telephone or mail, neither of which is dependent on location. In contrast. a member of the community cannot review the public files by phone Qf mail, but must go to where the files are located. Thus, physical accessibility to the files is more important them physical accessibility to t.he main studio. We therefore believe that we should maintain the requirement that public files be located in the community of license. 14. We recognize that thisrequir~n1entmay impose additional costs and administrati'\-'e burdens on licensees who chose to locate their main studios outside the com munity of license. We continue to believe, however, that we must maintain optimal accessibiiity to the public file within the community of license. 15. For these samel"/~asons,.,,:e affirm our requirement that licensees who are located outside the community of license provide a local or toll-free numher if community residents would incur charges in telephoning the station. Central to our determination that a main studio outside the community is accessible is the fact that it is reachable by phone. The particular hardships suffered by the .single petitioner who raised this issue are best addressed in the context of a waiver application to the Commission. 16. We are persuaded, however, that it is in the public interest to aHow licensees who have maintained public files at main studios oUf-side the community of license, pursuant to an exception or waiver under former Section 73.1125(a), to keep their files at their main studios. For these licensees, we had previously determined that it was appropriate. under given circumstances, to permit them to locate main studios, along with public files, outside the community of license. The same reasons that prompted us to allow licensees to maintain main studios and public files outside the community of license prior to amendment of the rule apply equally under lhe amended rule. The amendment to the main studio rule, which was designed to relax the location requirement, should not operate to impose more stringent requirements on licensees we pre viously had determined merited relief from the rule. 17. Significantly, accessibility of the main studio (as well as the public files) was a consideration in formulating the exceptions to, and granting waivers from the former rule. Under the AM transmitter site exception (former Section 73.1125(.)). AM stations whose main studio was co located with its transmitter, and commonly-owned AMIFM stations serving the same community whose main studios were COR located with the AM transmitter could be located outside the community of license?l This exception rested on the determination that lIteehnical considerations 5025 FCC 88-235 Federal Communications Commission Record 3 FCC Red No. 17 governing AM transmitter site selection usually place such sites in close proximity to the community of license." 22 Similarly, accessibility was a factor generally considered by the Commission in determining whether waivers of the main studio location requirement were in the public inter est under former Section 73.1125(a)(3).23 Thus, main stu dios operating under exceptions to or waivers from the former rule were generally located immediately near the community of license or at a site deemed readily acces sible to residents of the community by the Commission. 18. For these reasons, allowing licensees to keep their public files at these studios will address petitioners' con cerns without offending the Commission's goal of afford ing community residents access to the files. We will therefore modify amended Sections 73.3526 and 73.3527 of the Rules to allow ,tations that have been authorized to .locate their main studios outside of the community of license under Section 73.1125(a) prior to the effective date of the Report and Order to continue to locate their public inspection files at the main studio. B. Main Studio Function 19. The second issue presented is whether the main studio has a function in light of the Commission's elimina tion of the program origination rule and, if so, what is the role of the main studio and how is it defined. 20. In the Report and Order, the Commission relaxed its main studio rule to permit a station to locate its main studio outside its community of license at any point within its principal community contour. 24 At the same time the Commission eliminated i.ts program origination rule, which required a station to originate a minimum percent age of its programming from its main studio or other points within its community of license. 2s The Commission reasoned in part that, due to changes in broadcast technol ogy and marketplace demands, the main studio no longer plays a central role in producing the station's program ming. Consequently, the Commission determined that the location of the main studio within the community of license does not necessarily promote better programming. 21. Petitioners Arkansas Commission, et al. and Diocese Telecommunications Corporation (DTC), along with com menters Boothbay Harbor Communications, Inc. (BHC), assert that the elimination of the program origination rule makes the role of the main studio unclear. Arkansas Com mission, et al. specifically assert that since no program ming need be originated in the main studio, the main studio need be little more than a local office. They argue further that, Il{i]n the absence of an articulated role for the main studio, the significance placed on the location of the main studio is without basis." 26 Accordingly, Arkansas Commission, et al. urge the Commission to eliminate the main studio rule altogether, at least for noncommercial educational stations. 22. Alternatively, Arkansas Commission, et al., along with Central Valley Communications, Inc. (CVe) and BRC, stress the need for clarification of the role and definition of a main studio. cve urges the Commission to set minimum requirements for a main studio. BRC asks the Commission for a clear statement as to the continued need, if any, for a licensee to originate programming from its main studio, or to maintain the capability to originate programming. 23. Analysis. Contrary to petitioners' assertions, we did not negate the role of the main studio when we eliminated the program origination requirement. While program origination has traditionally been a key function of the main studio,27 it has not been its sole function. As we repeatedly stressed in our Report and Order in this pro ceeding, the main studio is still expected to facilitate the key function of serving the needs and interests of the residents of the station's community of license. We specifi cally rejected proposals to eliminate the main studio rule or adopt a "service area location standard H which would have permitted some stations to locate their main studio at a distance of over 100 miles from the'community of license. Instead, we adopted a location standard for the main studio that would extend additional flexibility to broadcast stations "without affecting the station's ability to meet its local service obligations." 2s In sum, it is very clear from the Report and Order that a primary function of the main studio was and continues to be, even in the absence of the program origination requirement, to serve the needs and interests of the residents of its community of license. We therefore reject petitioners' request on reconsideration that we eliminate the main studio rule for the same rea sons we refused to eliminate the rule in the Report and Order. 24. In response to petitioners' request that the Commis sion clarify the definition of and requirements for a main studio, we offer the following clarification. A station must maintain a main studio which has the capability ade quately to meet its function, as discussed above, of serv:ing the needs and interests of the residents of the station's community of license. To fulfill this function, a station must equip the main studio with production and transmis sion facilities that meet applicable standards, maintain continuous program transmission capability, and maintain a meaningful management and staff presence. 29 Mainten ance of production and transmission facilities and program transmission capability will allow broadcasters to continue, at their option, and as the marketplace demands, to pro duce local programs at the studio. 3D A meaningful manage ment and staff presence will help expose stations to community activities, help them identify community needs and interests and thereby meet their community service requirements,31 The term "m.ain studio" continues to des ignate a broadcast station's only studio when no, auxiliary studio is maintained. If a licensee has two or more studios that meet the applicable criteria, it may select one (within its community contour) to designate as its main studio. C. Application oj the Main Studio Rule to Noncommer cial Educational Stations 25. The third issue raised by petitioners is whether the Commission should apply the amended main studio rule to noncommercial educational stations. 26. In the Report and Order, we stated that the main studio requirements llhave applied, and will continue to apply, absent waiver to noncommercial educational sta tions."32 Petitioners Arkansas Commission, el ,al., noncom mercial radio and television licensees, ask us to reconsider this decision to apply the amended main studio location rule to public broadcasters. Citing Commission decisions from 1945, petitioners maintain that the Commission has never imposed main studio and program origination re quirements on noncommercial educational FM stations, and that the Commission's application of these require ments to noncommercial television stations has been 5026 3 FCC Red No. 17 Federal Communications Commission Record FCC 88·235 "inconsistent. at best.,,33 They contend that "persuasive reasons arising out of the nature and mission of public broadcasting ll explain "the Commission's previous forbear ance in this area." and that these same reasons "require the Commission to reconsider the Report and Order. ,,34 Specifically, they assert that the highest quality and most responsive educational programming can generally be pro vided to an area by a station operating as part of a state or regional network without its main studio. Petitioners argue that through satellite stations in the areas, they increase the reach of public television and radio, and achieve economies of scale that permit them to enhance program ming. They contend that if they were required to operate independently equipped and staffed stations at these sat ellite locations, as required under our main studio location rule, areas would go unserved and resources would be directed away from high quality programming. 27. In the event we determine that the main studio rule applies to noncommercial educational stations, Arkansas Commission el al. request us to confirm the validity of waivers obtained by these stations under the former main studio location rule to operate state or regional public television and radio network stations using satellite sta tions. Petitioners also urge us not to require stations op erating under these waivers to create new public inspection files or set up costly toll-free telephone systems. Petitioners argue that such requirements would increase the burdens on currently operating network and satellite stations. 28. Analysis. We do not agree with Arkansas Commis sion, et at. that the public interest mandates a blanket exception to the main studio location rule for public broadcasters. Contrary to petitioners' assertions. the Com mission had, prior to this proceeding, applied the main studio location requirement to all noncommercial educa tional stations. In 1979, we consolidated the main studio location requirements governing broadcast stations and placed them in Section 73.1125, a rule that by its terms is applicable to all stations, commercial and noncommer cia1. 35 29. The thrust of petitioners' argument is that in con solidating the main studio requirements into Section 73.1125 the Commission applied these requirements to noncommercial educational FM stations for the first time without proper notice and comment Rule Making. Con trary to this assertion, the Commission has exercised regu latory 'oversight over the location of main studios of noncommercial educational FM stations since 1947. when the Commission adopted regulations governing the non commercial educational FM service. 36 rn any event, there is no question that the Commission affirmed the imposi tion of the main studio requirement on all noncommercial educational stations in its Report and Order in this pro ceeding. 30. To the extent that there are policy considerations favoring exempting noncommercial educational stations from the main studio location requirement, as petitioners argue, we have traditionally addressed these on a case by-case basis through the waiver process. In the past, we have recognized the benefits of centralized operations for noncommercial educational stations, given the limited fun ding available to these stations, and we have granted waivers to state and regional public television and radio networks to operate "satellite" stations that do not nec essarily meet the requirements of a main studio. 37 These stations, however, have not been permitted to ignore local service obligations.3 8 and waivers generally have been granted only upon a showing that the local community would be served. Thus, all waivers issued prior to the Report and Order in this proceeding, whether under the waiver provision of the former main studio rule (Section 73.1125 (a)(3)) or pursuant to the original grant of a license, are valid and will remain in effect as long as the stations continue to operate under the terms of the waiver. Moreover, noncommercial educational stations will con tinue to be able to seek waivers from the main studio location rule either in the permit applications. or under the same "good cause'! waiver standard applied under the previous rules. 39 31. Finally, for reasons similar to those discussed in paragraph 16, noncommercial educational stations, operat ing under waivers in effect on the date of the Report and Order in this proceeding will not be required to create new public inspection files within the community of li cense. However, absent a new waiver, such stations will be subject to the local/toll-free telephone number require ment. D. Modification of the Main Studio Location Standard 32. The fourth issue presented by petitioners on reconsi deration is whether the Commission should modify the main studio location standard (1) to equalize its impact on the different classes of FM stations and/or (2) to relax the impact of the ['ule on noncommercial educational FM stations. 33. As discussed above, we amended the main studio location rule in the Report and Order to· require that all broadcast stations. absent waiver or exception, locate their main studios within their principal community contours. 34. eve asks the Commission to revise this standard to permit stations to locate their main studios within 20 miles of their respective transmitters or within the princi pal community contour, whichever is greater. 4Q CVC as serts that the present rule discriminates against these stations because it allows Class B and Class· C FM stations greater discretion in locating their studios than Class A FM stations. cve notes that the principal community contour of Class A stations extends for approximately 8 miles from the transmitter site, whereas the same contour, for Class B stations is approximately 20 miles. Thus, the modification requested by evc would essentially equalize the impact of the rule on Class A and B stations. CVC maintains that its proposal will" further the objectives un derlying relaxation of the main studio rule by permitting Class A FM stations lito achieve efficiencies while still serving their markets."41 35. DTC asks the Commission to revise the location standard for noncommercial educational FM stations to permit these stations to locate their studios anywhere within their 60 dbu contours, rather than the 70 dbu contour applicable to such stations under the new rule. 42 DTC asserts, in the alternative, that if the Commission is unwilling to accept this 60 dbu contour for the more powerful stations, it should at least allow small Class A noncommercial educational FM stations to locate their main studio within the 60 dbu contour. DTC asserts that the present rule is not sufficiently flexible to permit small noncommercial educational FM stations to benefit from relaxation of the main studio location rule. Furthermore DTC notes that the difference between a station's 70 dbu contour and i.ts 60 dbu contour is "relatively minor ,11 4 3 and "should not result in the remote studio location separa- 5027 FCC 88·235 Federal Communications Commission Record 3 FCC Red No. 17 tions which the Commission feared." 44 Finally, DTC rea sons that thi$ flexibility will not offend the Commission'$ goals because noncommercial educational stations, which derive their funding .from community donations, cannot ignore their community service roles. 36. Analysis. Petitioners have not persuaded us to alter our previous determinatio.n that the use of the principal community contour as the main studio location standard for all broadcast stations strikes the appropriate balance. 37. In the Report and Order, we recognized that the principal community contour standard would afford some licensees greater flexibility than others. We adopted that contour standard, nevertheless, because its use best bal ances our objectives. As we noted in the Report and Order, it will permit co-location of the main studio and transmitter in all cases, while at the same time ensuring that the main studio is located in the primary reception area of the station. 45 Petitioners may· be correct in assert ing that, in their particular cases, they could operate their main studios beyond the principal community contour standard and still meet their local service obligations. However. this does not alter our determination that the balance we have struck is appropriate in most cases. If the rule creates inequities in particular situations, the appro priate 'recourse, rather than mOdifying the rule to fit par ticular facts, is for the station to seek a waiver. The "good cause. 1I waiver standard is retained in the amended rule. 46 38. In sum, all stations, absent waiver or exception, will continue to be required to locate their main studios within the principal community contour. E. Clarification of the Principal Community Contour Standard 39. The final issue raised by the petitioners is whether clarification of the principal community contour standard, as used in the amended main studio location rule, is necessary. 40. In its Report and Order, the Commission stated that the principal community contours for AM, FM and televi sion broadcast stations are found in Sections 73.240), 73.315(a) and 73.685(a), respectively. The Commission noted that the daytime contour requirement of Section 73.240) will be applicable to AM stations, and the contour in Section 73.315(a) will be applicable to noncommercial educational FM stations. 47 41. NAB asks the Commission to define the principal community contour standard with greater precision· by clarifying whether the main studio must be located within a station's actual or its predicted principal community or "ci.ty gradeII contour. NAB notes that a station's actual contour may be farther from thestation·s transmitter than its predicted contour, or vice versa. In clarifying the defi nition, NAB urges the Commission to permit licensees to choose the contour, either actual or predicted, which gives them the greater flexibility in locating their main studio. NAB asserts that this would be consistent with the Com mission's decision to amend the main studio location rule to accord licensees greater flexibility in locating their main studios. 42. Analysis. In resportse to NAB's request, we clarify below the definition of principal community contour as it ·applies in our amended main studio rule. 43. The Commission's rules provide that the principal community Clcity grade") contour is the contour that encompasses the minimum field .strength a station is re- quired to place over its community of license. Every sta tion in the AM, commercial FM, and television broadcast services is required to demonstrate compliance with a minimum field strength requirement in its initial construc tion permit application or application for change in facili- . ties affecting that contour. 48 Generally, stations plot only,a predicted field strength contour, determined in accordance with our rules. to ,demonstrate compliance. For. these sta tions, this predicted contour is the applicable principal community contour under our rules. 44. For AM stations, it is possible to establish a princi pal community contour based on actual. rather than pre dicted field strength. 49 If a licensee of an AM station uses actual field strength to establish the station's community contour in its initial construction permit application or application for change of facilities, a contour based on actual measurements is the station's applicable contour under our rules. Unlike AM service. there is no method for locating a principal community contour by actual mea surements for FM or television service. 50 Thus the princi pal community contour for FM (commercial and noncommercial educational) and television stations is based on the predicted ,field strength in all cases. 51 45. Since a principal community contour for AM sta tions can be defined by actual or predicted field strength, a licensee .of an AM station may locate its main studio within a,contour established by either; actual or predicted measurements.·If an AM licensee ustM'-a'predicted contour in its initial construction permit application, but wishes to rely on actual measurements in relocating a main studio under the amended rule. the licensee must comply with Section 73.186 of our' rules. Since there is no method for locating a principal community contour based on actual measurements for FM (commercial and noncommercial educational) and television stations. the applicable contour for locating a main studio of an FM' or television station under the amended rule is the predicted contour in all cases. 46. This clarification is 'consistent with our rules and allows licensees the greatest flexibility possible in locating main studios given the constraints in establishing a princi pal community contour for FM and television services based on actual measurements. CONCLUSION 47. After carefully reviewing the petitions. for reconsi deration and clarification, we believe the public interest is best served by implementing the main studio and 'public inspection file requirements. as adopted in the Report and Order and modified herein. PROCEDURAL MATTERS 48. The requirements contained in this Memorandum Opinion and Order. have been analyzed withresp~ctto the Paperwork ReductIOn Act of 198<1'2 and found to contain no new or modified form, information collection andlor record keeping. labeling, disclosure. or record retention requirements; and will not increase or decrease burden hours imposed on the public. 49. The Secretary shall cause a copy of this A1emoran M dum Opinion and Order, including the Final Regulatory Flexibility Analysis which is set forth in Appendix B, to be sent to the Chief Counsel for Advocacy of the Small 5028 3 FCC Rcd No. 17 Federal Communications Commission Record FCC 88·235 Business Administration, in accordance with Section 604 of the Regulatory Flexibility Act. Pub. L. No. 96-354, 94 Stat. 1164 (codified at 5 U.S.c. Sections 601-612 (1982)). 50. Accordingly, IT IS ORDERED. THAT Part 73 of the Commission's Rules and Regulations is amended as described above and as set forth in Appendix A below. 51. IT IS FURTHER ORDERED, THAT the petitions for reconsideration and/or clarification ARE GRANTED to the extent indicated herein, and in all other respects, ARE DENIED. 52. IT IS FURTHER ORDERED, THAT pursuant to the Administrative Procedure Act, 5 U.S.c. Section 553(d)(I), the amendments to the Commission's Rules and Regulations shall become immediately effective upon pub lication in the Federal Regisler. 53. IT IS FURTHER ORDERED, THAT the limited stay of the revised public inspection file rules adopted on July 16, 1987 IS RESCINDED. 54. IT IS FURTHER ORDERED, THAT this proceed ing IS TERMINATED. 55. Authority for the action taken herein is contained in Sections 4(i) and 303 of the Communications Act of 1934, as amended, and Section 1.429 of the Commission's Rules. FEDERAL COMMUNICATIONS COMMISSION H. Walker Feaster, III Acting Secretary APPENDIX A Part 73 of Title 47 of the Code of Federal Regulations is amended as follows: 1. The authority citation for Part 73 continues to read as follows: Authority: 47 U.S.C. 154 and 303. 2. Section 73.3526 is amended by revising paragraph (d) to read as fo Haws: Section 73.3526 Local public inspection file of commer cial stations. ' * * * * * (d) Location of records. The file shall be maintained at the main studio of the station, where such studio is lo cated in the community to which the station is licensed or where such studio is located outside of the community of license pursuant to authorization granted under Section 73.1125(a) of the rules prior to July 16, 1987, or at any accessible place (such as a public registry for documents or an attorney's office) in the community to which the station is or is proposed to be licensed. The file shall be available for public inspection at any time during regular business hours. '1< * ". * >i< 3. Section 73.3527 is amended by revising paragraph (d) to read as follows: Section 73.3527 Local public inspection file of noncom mercial educational stations. '1< * * * * (d) Location of records. The file shall be maintained at the main studio of the station, where such studio is 10 M cated in the community to which the station is licensed or where such studio is located outside of the community of license pursuant to authorization granted under Section 73.1125(a) of the rules prior to July 16, 1987, or at any accessible place (such as a public registry for documents or an attorney's office) in the community to which the station is or is proposed to be licensed. The file shall be available for public inspection at any time during regular business hours. * * * * * APPENDIX B Final Regulatory Flexibility Analysis 1. Need for and Purpose of this Action. In the Report and Order in this proceeding, the Commission amended its rules to: (1) permit all broadcast stations to locate their main studios within their principal community contours; (2) allow broadcast stations to originate programming from any location; and (3) require broadcast stations to maintain a local or toll-free telephone number and to keep their public inspection files in their communities of license, The Commission concluded therein that these amendments would afford broadcasters more flexibility and permit them to realize greater efficiencies without altering current local service obligations or affecting a licensee's ability to meet those obligations. In the attached Memorandum Opinion and Order, the Commission reaffirmed the amendments adopted in the Report and Order, but grandfathered the location of public inspection files that were maintained by stations outside the community of license prior to the effective date of the Report and Order. The Commission concluded that this refinement of the order is consistent with the Objectives of the earlier decision and will reduce the administrative burden on stations that had located public files outside the community of licen.se prior to the Report and Order, 2. Issues Raised in Response to the Initial Regulatory Flexibility Analysis. No party to this proceeding raised any issue specifically in response to the Initial Regulatory Flexibility Analysis contained in the Notice of Proposed Rule Making or the Final Regulatory Flexibility Analysis contained in the Report and Order. 3. Significant Alternatives Considered and Rejected. As noted in the Regulatory Flexibility Analysis in the Report and Order, the Commission carefully considered the sig nificant alternatives presented in this proceeding before reaching its final determination to revise the rules as adopted therein. The Commission continues to believe 5029 FCC 88-235 Federal Communications Commission Record 3 FCC Red No. 17 that these amendments, as refined in the lvlemorandum Opinion and Order on reconsideration, provide relief to broadcasters consistent with Commission objectives. FOOTNOTES 1 See Amendment of Sections 73. 1125 and 73. 1130 of the Commission's Rules. Report and Order in MM Docket86~406. FCC 87-137, 2 FCC Red 3215 (1987) [hereinafter Report and Order J. The amended rules aTe published at Broadcast Services. Amendment ojthe Main Studio Location and Program Origination Rules jar Radio and Television Broadcast Stations, S2 FR 21684 (June 9. 1987) (codified at 47 C.F.R. Parts 0 & 73). 2 See 52 FR 21684 (June 4. 1987) (codified at 47 C.F.R. § . 73.1125 (1987». 3 The fonner program origination rule was found in Section 73.1130. That rule required that every broadcast station originate more than SO percent of its non-network programs from its main studio or other points within its communityof license. , See 52 FR 21684 (June 9, 1987) (codified at 47 C.F.R. §§ 73.3526(d) and 73.3527(d) (1987)). In an order adopted 00 July 16, 1987, the Commission granted a limited stay of the revised public inspection file rules. See Memorandum Opinion and Order. FCC 87-248 (released July 17, 1987). summarized. 52 FR 28825 (August 4, 1987). 5 See, e. g., Comments of the National Association ofBroad~ casters (NAB) at 2: Comments of Brown Broadcasting Company at 5; Comments of the Pappas Telecasting Companies at 3: Com ments of Western Broadcasting Corporation of Puerto Rico at 6; Comments of May & Dunne, Chartered at 7; and Comments of The Ohio University, The Miami University, Northern Michigan University, Washington State University, and the Ohio Educa tional Broadcasting Network at 5. 6 Petitions for reconsideration were filed by: (1) The Arkansas Educational Television Commission, filed jointly with the Iowa :Public Broadcasting Board, Lehigh Valley Public Telecommunica tions Corporation, Nebraska Educational Telecommunications Commission, South Carolina Educational Television Commission, State of Wisconsin~Educational CommunicationsBoard, Univer sity of Maine System. West Central Illinois .Educational Telecommunications Corporation. and WSKG Pubhc Telecom w munications Council (Arkansas Commission. et al.): (2) Central Valley Communications,lnc. (CVe): (3) Diocesan Telecommuni w cations Corporation, Inc. (DTC): (4) Greater Media, Inc. (Greater Media); (5) Knight Communications Corp., filed jointly with Knight Radio, Inc. and Quality Radio Corp. (Knight): (6) NAB: and (7) Pillar of Fire (Pillar). In addition, the Commission re ceived comments in support of the petitions from Boothbay Har bor Communications, Inc. (BHC) and from WCKG, Inc. and WVEC Television, Inc. (WCKG). No pleadings were filed in opposition to the petitions. 7 Requests for a stay of the revised rules'were filed by the NAB and Greater Media, Inc. A motion was also filed by Knight requesting a limited stay of the same rules. Although the Com mission found that the petitioners had not made the requisite showing to warrant grant of the stay request under the applicable standard, the Commission in its own discretion granted a limited stay pf the revised public inspection rules. 8 See Memorandum Opinion and Order, FCC 87 w 248 (released July 17. 1987), summarized. 52 FR 28825 (August 4, 1987). 9 See former Sections 73.3526(d) and 73.3527(d), 47 C.F.R. §§ 73.3526(d) and 73.3527(d) (1986). to Seeforme~Section 73.1125(a). 47 C.F.R. § 73.1125(a) (1986). 11 See Report and Order, 2 FCC Rcd at 3218, 3221 w 22. 12 [d. at 3218, 3222. 13 [d. 14 See note 2 supra. 15 For example, Arkansas Commission. et al. note that the Nebraska Educational TelecommunicationsCommission estimates that it will cost $12,000 annually to maintain separate files for its nine stations. a figure which includes duplication expenses and travel costs to upkeep the files on a monthlybasis. 16 These specific concerns were raised by WCMS Radio Nor w folk, Inc. (WCMS) in a request for waiver of the new require ment, a copy of which was submitted by WCMS forconside~ation in this proceeding. WCMS also asserts that relocation of the file from the main studio might result in less effective access because: (1) station personnel would not be available to answer questions; (2) the custodian of the file might be less diligent than station personnel in maintainingthe file; and (3) the possible time delay in getting information to the file. 11 See Report and Order, 2 FCC Rcd at 3218. 18 See Radio Broadcast Services : Revision of Applications for Renewal of License of Commercial and Noncommercial AM, FM, and Television Licensees. 49 RR 2d 740, recon. denied, 87 FCC 2d 1127 (1981), aff' d sub nom, Black Citizens for a Fair Media v. FCC, 719 F.2d 407 (D.C. Cir. 1983). 19 See Deregulation of Radio, 84 FCC 2d 968. recon. denied in part, 87 FCC 2d 797 (1981), aff d in part and remanded inp~rt sub nom. Office of Communication Of the United Church oj Chnst v. FCC, 707 F.2d 1413 (D.C. Cir. 1983): Revision of Programming and Commercialization Policies, Ascertainment Requirements, and Program Log Requirements jor Commercial Television Stations, 98 FCC 2d 1076 (1984). recon. denied, 104 FCC 2d 357 (1986), aff'd in part and remanded in part sub nom. Action for Children's Television v. FCC, 821 F.2d 741 (D.C. Cir. 1987). 20 In the radio and television deregulation proceedings, the Commission implemented a new issues-programslist requirem,ent. This record keeping requirement, which was refined during the proceedings, provides that a licensee, on a .quarterly basis, must compile a list of programs that have provided the station's most significant treatment of community issues during the preceding three month period and place that list in its local public inspec· tion file. See Office of Communication of the United Church of Christ v. FCC, 707 F.2d 1413 (D.C. Cir. 1983). Deregulation of Radio, 96 FCC 2d 930 (1984) (revising issueswprograms list re w quirement), remanded sub nom. Office of Communicati?n Of the United Church of Christ v. FCC, 779 F.2d 702 (D.C. Clr. 1985): Deregulation of Radio, 104 FCC 2d 50S (1986) (revisingissues~ programs list requirement). The Commission has proposedco~­ forming the issues-programs list requirement for noncommercIal licensees to the requirement adopted for commercial stations. See Revision of Section 73.3527(a)(7) relating to the Issues-programs Listfor Public Broadcasting Licensees, 2 FCC Rcd 507 (1986). 2t See 47 C.F.R. § 73.1125(a)(I)-(a)(3) (1986). 22 FM-TV Main Studio Moves, 27 FCC 2d 851, 853 (1971). 23 See, e.g., Central Virginia Educational Television Corp., 49 RR 2d 435 (1981): Jersey Cape Broadcasting Corp., 85 FCC 2d 654 (1981). 24 See Report and Order, 2 FCC Rcd at 3218. 2S [d. at 3218-19. 26 Arkansas'Commission, et al. Petition for Reconsideration at 10. 27 The main studio,rule was based in part on the premise that a studio's location in the community would foster responsive communitywbased programming. The program origination rule was adopted to complement the main studio requirement. It was premised on the notionth~tif a significant amount of program w 5030 3 FCC Red No. 17 Federal Communications Commission Record FCC 88-235 DTC Petition for Reconsideration at 5. 44 DTC Petition for Reconsideration at 6. As an alternative, DTC suggests liberalizing the waiver process for educational FM stations. DTC states that a "waiver should be permitted if a station can show that by locating outside of its principal commu nily contour, it will continue to offer reasonable access and provide programming to meet local needs." hi. at q. 45 See Report and Order, 2 FCC Red at 3218. "See 52 FR 21685 (1987) (codified at 47 C.F.R. § 73.ll25(a)(4) (1987)). 01 7 See Report and Order, 2 FCC Rcd at 3224 n.lO. 018 See 47 C.F.R. Sections 73.24{j), 73.315(a) and 73.685(a) (1987). ..\9 See 47 C.F.R. Sections 73.183 and 73.153 (1987). 50 Although the rules permit FM stations to use field strength data to determine whether FM broadcast service encompasses specific communities, see 47 CFR Sections 73.314 and 73.315(d) (1987), an entire contour cannot be located under the rules by actual measurements. 51 As stated in the Report and Order, the principal community contour for noncommercial educational stations is that applicable to FM commercial stations. 2 FCe Rcd at 3224 n.lO. DTC questions whether the reference in note 10 of the Report and Order to Section 73.315(a) to describe the contour to be used by noncommercial educational FM stations imposed a principal city coverage requirement. It did not. That reference was made solely to indicate the applicable main studio location standard for the stations. 52 Federal Paperwork Reduction Act, 44 U.S.c. Sections 3501-3520 (1984 Supp.). ming originated in studios located within a community, this would result in locally-oriemedprogramming. Report and Orde,., 2 FCC Red at 3217- 19. 28 [d. at 3214. 29 See, e.g., Pappas Telecasting of the Carolinas, 60 RR 2d 1394, 1400 (1986). However, licensees who are operating main studios in a manner inconsistent with lhis definition pursuant to a waiver granted under Arizona Communications COlp., 17 fCC 2d 283 (1971), commonly referred to as an Arizona prior to the Report and Order, are permitted to continue to operate their main studio in the manner authorized in the waiver. This exemption from the main studio rule applies as long as a licensee operates a main studio in the same location and pursuant to the conditions set forth in the waiver. Should a licensee change the location of a main studio covered by a waiver, the exemption no longer ap plies. 30 Report and Order, 2 FCC Red at 3218. 31 [d. 32 [d. at 3224 n.10. 33 Arkansas Commission's Petition for Reconsideration at 6. 3J [d. at 6-7. 35 See Regulations and Rules Oversight of the AM, FM and TV Broadcast Rules, 44 FR 69,933 (1979). Accord Central Virginia Educational Television Corp., 49 RR 2d 435 (1981) (waiver of main studio location rule granted to noncommercial educational television station). 36 See Noncommercial EducationalFl~'[Broadcast Stations, 12 FR 1369 (1947). Petitioners incorrectly contend that these rules did not contain a main studio requirement. Section 3.557 of these rules provided that a station must receive Commission authority, through formal application, for a "[c]hange in location of main studio, if it is proposed to move the main studio to a different city from that specified in the license." 12 FR at 1332. 37 See, e.g., Nebraska Educational Television Commission, 4 RR 2d 771 (1965). 38 See, e.g., Georgia State Board of Education, 70 FCC 2d 948 (1979). 39 See 52 FR 21685 (1987) (codified at 47 C.F.R. § 73.ll25(a)(4) (1987)). 40 eve is the licensee of two radio stations, an AM station and a Class A FM station, licensed to communities approximately 16 miles apart. evc maintains that the present rule does not permit it toco~locateits studios at the AM station's main studio site because the principal communitycontour of the FM station does not extend over that site. 41 CVC Petition for Reconsideration and/or Clarification at 4. 42 See Report and Order 2 FCC Rcd at 3224 n.10. DTC is the licensee of a noncommercial Class A educational station licensed to Robstown, Texas. It utilizes the studio of the Telecommunica tions Center of the Diocese of Corpus Christi located in Corpus Christi as an auxiliary studio. The Robstown station is an affiliate of the Catholic Telecommunications Network of America, (CTNA). CTNA programming is received at and distributed from the Corpus Christi facility. DTC asserts that it would achieve significant operating efficiencies if it could consolidate its oper ations at the Corpus Christi facility. DTC notes that such consoli dation is not possible under the present rule because the Corpus Christi facility is 1.8 miles outside the Robstown station's 70 dbu contour, but would be possible if a 60 dbu contour standard were adopted. <13 DTC notes that the 70 dbu and 60 dbu contours for the various class FM stations extend approximately to the following distances: 5031 Class A BI Band C2 CI C 70 dbu (miles) 8,43 14.35 20.21 30.96 41.88 60 dbu (miles) 15 22.35 32.21 ~4.94 57.08