Missing Broadcast Program Reports Leads to $38,000 in FCC Fines

In a challenging economy, regulatory compliance may become the first casualty for a business.  A recent lack of diligence in meeting basic Federal Communications Commission obligations spelled trouble for four broadcasters in FCC enforcement actions announced last week. The FCC fined these broadcasters a combined $38,000 because their stations’ local public inspection files were missing the required quarterly issues/programs reports. 

Under FCC rules, broadcasters must place in their local public inspection file at the end of each quarter a list of those programs broadcast on the station responsive to issues of importance to the community.  These quarterly issues/programs reports form the basis for documenting broadcasters’ license-renewal expectancy, which in turn protects broadcasters from the filing of competing applications for their broadcast license at license renewal time. 

When the FCC inspects a broadcast station, even on an unrelated matter, it is almost a certainty that the FCC will check the station’s local public inspection file.  The FCC may inspect the local public file as part of a random inspection or in response to a complaint and may discover the missing quarterly issues/programs reports.  Broadcast licensees must disclose on their license renewal application if any reports are missing. 

The individual fines ranged from $8,000 for missing quarterly/programs reports for two full years to $12,000 for missing reports for three full years

The next license renewal cycle for radio broadcasters begins on June 1, 2011.  Now is the time for broadcasters to review their local public inspection file and make sure it is complete and accurate.  Most state broadcasters associations will also conduct a mock inspection.  These can be valuable in avoiding costly fines later.  It will be too late once the FCC inspector or a member of the public stops by to check out the file.