Children's Television Programming Rules, 41949-41953 [2019-16005]

Agencies

• FEDERAL COMMUNICATIONS COMMISSION

[Federal Register Volume 84, Number 159 (Friday, August 16, 2019)]
[Proposed Rules]
[Pages 41949-41953]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-16005]


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FEDERAL COMMUNICATIONS COMMISSION

47 CFR Part 73

[MB Docket Nos. 18-202 and 17-105; FCC 19-67]


Children's Television Programming Rules

AGENCY: Federal Communications Commission.

ACTION: Proposed rule.

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SUMMARY: In this document, the Commission seeks further comment on the 
creation of a framework under which a broadcaster could satisfy its 
children's programming obligations by relying in part on special 
efforts to produce or support Core Programming aired on another station 
or stations in the market. The Children's Television Act (CTA) permits 
the Commission to consider special sponsorship efforts, in addition to 
consideration of a licensee's programming, in evaluating whether a 
licensee has served the educational and informational needs of 
children. The Commission invites commenters to submit proposals 
detailing a specific framework under which special sponsorship efforts 
may be considered as part of a broadcaster's license renewal.

DATES: Comments are due on or before September 16, 2019; reply comments 
are due on or before October 15, 2019.

ADDRESSES: You may submit comments, identified by MB Docket Nos. 18-202 
and 17-105, by any of the following methods:
     Federal Communications Commission's website: https://www.fcc.gov/cgb/ecfs/. Follow the instructions for submitting comments.
     Mail: Filings can be sent by hand or messenger delivery, 
by commercial overnight courier, or by first-class or overnight U.S. 
Postal Service mail (although the Commission continues to experience 
delays in receiving U.S. Postal Service mail). All filings must be 
addressed to the Commission's Secretary, Office of the Secretary, 
Federal Communications Commission.
     People With Disabilities: Contact the FCC to request 
reasonable accommodations (accessible format documents, sign language 
interpreters, CART, etc.) by email: [email protected] or phone: (202) 418-
0530 or TTY: (202) 418-0432.
    For detailed instructions for submitting comments and additional 
information on the rulemaking process, see the SUPPLEMENTARY 
INFORMATION section of this document.

FOR FURTHER INFORMATION CONTACT: For additional information, contact 
Kathryn Berthot of the Media Bureau, Policy Division, (202) 418-7454, 
or Jonathan Mark of the Media Bureau, Policy Division, (202) 418-3634. 
Direct press inquiries to Janice Wise at (202) 418-8165.

SUPPLEMENTARY INFORMATION: This is a summary of the Commission's 
Further Notice of Proposed Rulemaking (FNPRM), FCC 19-67, adopted on 
July 10, 2019, and released on July 12, 2019. The full text of this 
document is available electronically via the FCC's Electronic Document 
Management System (EDOCS) website at https://fjallfoss.fcc.gov/edocs_public/ or via the FCC's Electronic Comment Filing System (ECFS) 
website at https://fjallfoss.fcc.gov/ecfs2/. (Documents will be 
available electronically in ASCII, Microsoft Word, and/or Adobe 
Acrobat.) This document is also available for public inspection and 
copying during regular business hours in the FCC Reference Information 
Center, which is located in Room CY-A257 at FCC Headquarters, 445 12th 
Street SW, Washington, DC 20554. The Reference Information Center is 
open to the public Monday through Thursday from 8:00 a.m. to 4:30 p.m. 
and Friday from 8:00 a.m. to 11:30 a.m. The complete text may be 
purchased from the Commission's copy contractor, 445 12th Street SW, 
Room CY-B402, Washington, DC 20554. Alternative formats are available 
for people with disabilities (Braille, large print, electronic files, 
audio format), by sending an email to [email protected] or calling the 
Commission's Consumer and Governmental Affairs Bureau at (202) 418-0530 
(voice), (202) 418-0432 (TTY).

Synopsis

I. Further Notice of Proposed Rulemaking

    1. In this FNPRM, we seek further comment on the creation of a 
framework under which a broadcaster could satisfy its children's 
programming obligations by relying in part on special efforts to 
produce or support Core Programming aired on another station or 
stations in the market. The CTA permits the Commission to consider 
special sponsorship efforts, in addition to consideration of a 
licensee's programming, in evaluating whether a licensee has served the 
educational and informational needs of children. In the NPRM, the 
Commission noted that ``few, if any, broadcasters have taken advantage 
of this opportunity to date'' because the rules require the full

[[Page 41950]]

Commission to approve the children's programming portion of renewal 
applications relying on such special efforts and there is little 
guidance on how such special efforts will be counted. The Commission 
accordingly invited comment on the establishment of a framework that 
would make the use of special sponsorship efforts a more viable option 
for broadcasters. We received very few comments on this issue. As NAB 
asserts, however, ``[n]o broadcaster . . . will increase the risk to 
its license renewal by relying on a vague, uncertain option for 
fulfilling its children's TV obligations. To encourage stations to 
explore sponsorships, the standards for this option must be clear.'' 
Because the current record does not provide an adequate foundation for 
the Commission to adopt a clear standard for special sponsorship 
efforts, this FNPRM aims to create a more robust record and to solicit 
industry proposals for a detailed framework for evaluating special 
sponsorship efforts.
    2. We invite commenters to submit proposals detailing a specific 
framework under which special sponsorship efforts may be considered as 
part of a broadcaster's license renewal. We tentatively conclude that 
such proposals should include, at a minimum, the following three 
elements: (1) The station must sponsor programming on a noncommercial 
television broadcast station located in the same DMA; (2) the proposal 
must establish a benchmark for how much funding a sponsoring station 
would be required to provide based on the size or circumstances of the 
sponsoring station; and (3) the sponsorship must result in the creation 
of new Core Programming or expanded hours of an existing Core Program. 
We discuss these three elements and seek comment on our tentative 
conclusions below.
    3. First, we tentatively conclude that a proposed framework for 
special sponsorship efforts should require that the station sponsor 
programming on an in-market noncommercial station. We think that it 
would be beneficial to foster sponsorship of children's educational and 
informational programming on stations that are more likely to attract 
child audiences. Noncommercial stations in general, and PBS stations in 
particular, have a demonstrated commitment to serving the educational 
and informational needs of children and therefore may be more likely to 
attract larger audiences for their children's programming. NAB states 
that public television's experience with the 24/7 PBS KIDS channel 
illustrates that fostering more educational content on child-focused 
stations or program streams could boost viewership, as children's 
viewing of PBS has increased 47% among low-income families and 32% in 
broadcast-only homes since the inception of PBS KIDS. We seek comment 
on our tentative conclusion. Should we require that there be 
significant overlap between the coverage area of the sponsoring station 
and that of the noncommercial station? Are there other benefits to 
promoting sponsorship of children's programming on noncommercial 
stations? For example, is it reasonable to expect that it would be 
easier for parents to identify and locate Core Programming aired on 
noncommercial stations? Alternatively, should we consider a framework 
that also would permit special sponsorship efforts on in-market 
commercial stations?
    4. Second, we tentatively conclude that a proposed framework for 
special sponsorship efforts should include a funding benchmark that 
takes into account the size or circumstances of the sponsoring station. 
Specifically, we tentatively conclude that large broadcast stations 
and/or stations with greater resources should be required to undertake 
more substantial sponsorship efforts (i.e., by providing a higher level 
of funding) than small broadcast stations and/or stations with less 
resources in order to receive sponsorship credit. We seek comment on 
this tentative conclusion. In addition, we seek comment on how to 
define or categorize sponsoring stations for purposes of such a 
requirement. For example, should sponsoring stations be categorized 
based on annual revenues, network affiliation and market size, or some 
other measure that appropriately factors the size and resources of the 
station? How many separate categories of sponsoring stations should 
there be? Further, we seek comment on how much funding a station in 
each of these categories should be required to provide to receive 
credit for sponsoring programming on an in-market noncommercial 
station. Should such funding levels be defined as a percentage of the 
cost to produce the Core Program for a noncommercial station, a 
percentage of the sponsoring station's annual revenues, a percentage of 
the sponsoring station's advertising revenues for the timeslot ``freed 
up'' as a result of the sponsorship, or should such funding levels be 
based on some other measure?
    5. Third, consistent with the Commission's previous guidance on 
this issue, we tentatively conclude that a proposed framework for 
special sponsorship efforts must require that the sponsorship result in 
the creation of new Core Programming or expand the hours of an existing 
Core Program on the in-market noncommercial station. We think that a 
licensee should receive credit only where its sponsorship results in a 
net increase in the amount of Core Programming on the in-market 
noncommercial station. We seek comment on this tentative conclusion.
    6. We invite commenters to address the costs and benefits of the 
proposed framework discussed above and to suggest alternatives. In 
particular, we invite noncommercial stations to provide input on how 
this or any alternative proposed framework would be effective in 
facilitating the sponsorship of children's educational and 
informational programming on noncommercial stations. We reiterate that 
without a clear framework for evaluating the sponsorship efforts of 
broadcast stations, broadcasters are unlikely to risk their license 
renewals by pursuing this option; thus, we urge commenters to offer 
detailed proposals so that we are able to provide specific guidance on 
how special sponsorship efforts will be evaluated.
    7. We seek comment on how a station's sponsorship efforts should be 
attributed to its overall Core Programming hours. We tentatively 
conclude that a sponsored Core Program that satisfies each element of 
the proposed framework discussed above should be counted on a minute-
for-minute basis (i.e., count each minute of a sponsored program as the 
equivalent of a minute of Core Programming). We request comment on this 
tentative conclusion and invite commenters to suggest alternative 
proposals for quantifying sponsorship efforts. Should multiple stations 
in the same market be permitted to jointly sponsor a Core Program on an 
in-market noncommercial station? If so, how should each station's 
individual sponsorship efforts count toward its overall Core 
Programming hours?
    8. As noted above, the CTA states that special sponsorship efforts 
may be considered only ``in addition to considering the licensee's 
[educational] programming.'' Thus, we think it is clear that the 
statute requires that each broadcast station air some amount of Core 
Programming on its own station. We seek comment on whether broadcasters 
that sponsor Core Programs on in-market noncommercial stations should 
have the flexibility to decide how much Core Programming to air on 
their own stations, provided that their Core Programming hours when 
combined with their special sponsorship efforts are the equivalent of 
156 annual Core Programming hours

[[Page 41951]]

under the revised processing guidelines, or whether we should establish 
a minimum number. Additionally, we seek comment on how special 
sponsorship efforts will work in conjunction with our revised 
processing guidelines. We tentatively conclude that a station that 
sponsors programming on an in-market noncommercial station should treat 
all such sponsored programming as regularly scheduled weekly 
programming for purposes of the processing guidelines. Thus, for 
example, if a station sponsors a half hour per week of Core Programming 
on an in-market noncommercial station for 52 weeks, the station will be 
credited with airing 26 hours of regularly scheduled weekly 
programming. The station could then satisfy the processing guidelines 
by complying with either Category A or B for the remaining hours. We 
seek comment on this tentative conclusion.
    9. Finally, we tentatively conclude that Media Bureau staff, rather 
than the full Commission, should be permitted to approve the children's 
programming portion of renewal applications of licensees relying in 
part on special sponsorship efforts that satisfy the proposed framework 
discussed above. We tentatively conclude that requiring full Commission 
review of the renewal applications of stations engaging in sponsorship 
efforts effectively discourages any station from exploring such an 
option. We seek comment on this tentative conclusion. In addition, we 
note that FCC Form 2100 Schedule H (formerly, Form 398), Children's 
Television Programming Report, requires stations to provide certain 
information regarding each Core Program sponsored on another station. 
We request comment on any changes to this portion of the form that may 
be necessitated as a result of guidance on special sponsorship efforts 
provided in this proceeding.

II. Procedural Matters

A. Initial Paperwork Reduction Act Analysis

    10. This document may result in new or modified information 
collection requirements. The Commission, as part of its continuing 
effort to reduce paperwork burdens, invites the general public and the 
Office of Management and Budget (OMB) to comment on the information 
collection requirements contained in this document, as required by the 
Paperwork Reduction Act of 1995 (PRA). Public and agency comments are 
due 60 days after publication of this document in the Federal Register. 
In addition, pursuant to the Small Business Paperwork Relief Act of 
2002, Public Law 107-198, see 44 U.S.C. 3506(c)(4), we seek specific 
comment on how we might ``further reduce the information collection 
burden for small business concerns with fewer than 25 employees.''

B. Initial Regulatory Flexibility Analysis

    11. As required by the Regulatory Flexibility Act of 1980, as 
amended, (RFA) the Commission has prepared this Initial Regulatory 
Flexibility Act Analysis (IRFA) concerning the possible significant 
economic impact on small entities by the rules proposed in this Further 
Notice of Proposed Rulemaking. Written public comments are requested on 
this IRFA. Comments must be identified as responses to the IRFA and 
must be filed by the deadlines for comments provided on the first page 
of the FNPRM. Pursuant to the requirements established in 5 U.S.C. 
603(a), The Commission will send a copy of the FNPRM, including this 
IRFA, to the Chief Counsel for Advocacy of the Small Business 
Administration (SBA).
    12. Need for, and Objectives of, the FNPRM. The Children's 
Television Act of 1990 (CTA) requires that the Commission consider, in 
its review of television license renewals, the extent to which the 
licensee ``has served the educational and informational needs of 
children through its overall programming, including programming 
specifically designed to serve such needs.'' The CTA provides that, in 
addition to considering the licensee's programming, the Commission also 
may consider in its review of television license renewals any special 
efforts by the licensee to produce or support programming broadcast by 
another station in the licensee's marketplace which is specifically 
designed to serve the educational and informational needs of children. 
The Commission adopted rules implementing the CTA in 1991, and revised 
these rules in 1996, 2004, and 2006.
    13. On July 12, 2018, the Commission released a Notice of Proposed 
Rulemaking seeking comment on the creation of a framework under which 
broadcasters could satisfy their children's programming obligations by 
relying in part on special sponsorship efforts. The Commission, 
however, received very few comments on this issue. Because the current 
record does not provide an adequate foundation for the Commission to 
adopt a clear standard for evaluating special sponsorship efforts, the 
FNPRM invites commenters to submit proposals detailing a specific 
framework under which special sponsorship efforts may be considered as 
part of a broadcaster's license renewal. The FNPRM tentatively 
concludes that such proposals should include, at a minimum, the 
following three elements: (1) The station must sponsor programming on a 
noncommercial television broadcast station located in the same DMA; (2) 
the proposal must establish a benchmark for how much funding a 
sponsoring station would be required to provide based on the size or 
circumstances of the sponsoring station; and (3) the sponsorship must 
result in the creation of new Core Programming or expanded hours of an 
existing Core Program. Further, the FNPRM tentatively concludes that 
Media Bureau staff, rather than the full Commission, should be 
permitted to approve the children's programming portion of renewal 
applications of licensees relying in part on special sponsorship 
efforts that satisfy the proposed sponsorship framework.
    14. Legal Basis. The proposed action is authorized pursuant to 
sections 303, 303b, 307, and 336 of the Communications Act of 1934, as 
amended, 47 U.S.C. 303, 303b, 307, and 336.
    15. Description and Estimates of the Number of Small Entities to 
Which the Proposed Rules Will Apply. The RFA directs agencies to 
provide a description of and, where feasible, an estimate of the number 
of small entities that may be affected by the proposed rules, if 
adopted. The RFA generally defines the term ``small entity'' as having 
the same meaning as the terms ``small business,'' ``small 
organization,'' and ``small governmental jurisdiction.'' In addition, 
the term ``small business'' has the same meaning as the term ``small 
business concern'' under the Small Business Act. A small business 
concern is one which: (1) Is independently owned and operated; (2) is 
not dominant in its field of operation; and (3) satisfies any 
additional criteria established by the SBA. The rules proposed herein 
will directly affect certain small television stations. Below is a 
description of these small entities, as well as an estimate of the 
number of such small entities, where feasible.
    16. Television Broadcasting. This Economic Census category 
``comprises establishments primarily engaged in broadcasting images 
together with sound.'' These establishments operate television 
broadcast studios and facilities for the programming and transmission 
of programs to the public. These establishments also produce or 
transmit visual programming to affiliated broadcast television 
stations,

[[Page 41952]]

which in turn broadcast the programs to the public on a predetermined 
schedule. Programming may originate in their own studio, from an 
affiliated network, or from external sources. The SBA has created the 
following small business size standard for such businesses: Those 
having $38.5 million or less in annual receipts. The 2012 Economic 
Census reports that 751 firms in this category operated in that year. 
Of that number, 656 had annual receipts of $25,000,000 or less. Based 
on this data, we estimate that the majority of commercial television 
broadcasters are small entities under the applicable SBA size standard.
    17. In addition, the Commission has estimated the number of 
licensed commercial television stations to be 1,383. Of this total, 
1,257 stations had revenues of $38.5 million or less, according to 
Commission staff review of the BIA Kelsey Inc. Media Access Pro 
Television Database (BIA) on February 24, 2017. Such entities, 
therefore, qualify as small entities under the SBA definition. The 
Commission has estimated the number of licensed noncommercial 
educational (NCE) television stations to be 378. The Commission, 
however, does not compile and does not have access to information on 
the revenue of NCE stations that would permit it to determine how many 
such stations would qualify as small entities.
    18. We note, however, that in assessing whether a business concern 
qualifies as ``small'' under the above definition, business (control) 
affiliations must be included. Our estimate, therefore likely 
overstates the number of small entities that might be affected by our 
action, because the revenue figure on which it is based does not 
include or aggregate revenues from affiliated companies. In addition, 
another element of the definition of ``small business'' requires that 
an entity not be dominant in its field of operation. We are unable at 
this time to define or quantify the criteria that would establish 
whether a specific television broadcast station is dominant in its 
field of operation. Accordingly, the estimate of small businesses to 
which the proposed rules would apply does not exclude any television 
station from the definition of a small business on this basis and 
therefore could be over-inclusive.
    19. There are also 417 Class A stations. Given the nature of this 
service, we will presume that all 417 of these stations qualify as 
small entities under the above SBA small business size standard.
    20. Description of Projected Reporting, Recordkeeping, and Other 
Compliance Requirements. In this section, we identify the reporting, 
recordkeeping, and other compliance requirements proposed in the FNPRM 
and consider whether small entities are affected disproportionately by 
any such requirements.
    21. Reporting Requirements. The FNPRM may result in modifications 
to the special sponsorship efforts portion of FCC Form 398.
    22. Recordkeeping Requirements. The FNPRM does not propose to adopt 
recordkeeping requirements.
    23. Other Compliance Requirements. The FNPRM seeks further comment 
on the creation of a framework under which broadcasters could satisfy 
their children's programming obligations by relying in part on special 
sponsorship efforts.
    24. Steps Taken To Minimize Significant Economic Impact on Small 
Entities, and Significant Alternatives Considered. The RFA requires an 
agency to describe any significant, specifically small business, 
alternatives that it has considered in reaching its proposed approach, 
which may include the following four alternatives (among others): (1) 
The establishment of differing compliance or reporting requirements or 
timetables that take into account the resources available to small 
entities; (2) the clarification, consolidation, or simplification of 
compliance and reporting requirements under the rule for such small 
entities; (3) the use of performance, rather than design, standards; 
and (4) an exemption from coverage of the rule, or any part thereof, 
for small entities.
    25. The framework proposed in the FNPRM is intended to provide 
broadcasters, including small entities, greater flexibility in 
fulfilling their children's programming obligations. The FNPRM 
tentatively concludes that a proposed framework for special sponsorship 
efforts should include a funding benchmark that takes into account the 
size or circumstances of the sponsoring station and seeks comment on 
whether such a funding benchmark should be based on a station's annual 
revenues, network affiliation and market size, or some other measure. 
Thus, we expect that the proposed revisions, if adopted, will only 
benefit affected small entities.
    26. Federal Rules that May Duplicate, Overlap, or Conflict With the 
Proposed Rule. None.

C. Ex Parte Rules

    27. Permit-But-Disclose. This proceeding shall be treated as a 
``permit-but-disclose'' proceeding in accordance with the Commission's 
ex parte rules. Persons making ex parte presentations must file a copy 
of any written presentation or a memorandum summarizing any oral 
presentation within two business days after the presentation (unless a 
different deadline applicable to the Sunshine period applies). Persons 
making oral ex parte presentations are reminded that memoranda 
summarizing the presentation must (1) list all persons attending or 
otherwise participating in the meeting at which the ex parte 
presentation was made, and (2) summarize all data presented and 
arguments made during the presentation. If the presentation consisted 
in whole or in part of the presentation of data or arguments already 
reflected in the presenter's written comments, memoranda or other 
filings in the proceeding, the presenter may provide citations to such 
data or arguments in his or her prior comments, memoranda, or other 
filings (specifying the relevant page and/or paragraph numbers where 
such data or arguments can be found) in lieu of summarizing them in the 
memorandum. Documents shown or given to Commission staff during ex 
parte meetings are deemed to be written ex parte presentations and must 
be filed consistent with rule 1.1206(b). In proceedings governed by 
rule 1.49(f) or for which the Commission has made available a method of 
electronic filing, written ex parte presentations and memoranda 
summarizing oral ex parte presentations, and all attachments thereto, 
must be filed through the electronic comment filing system available 
for that proceeding, and must be filed in their native format (e.g., 
.doc, .xml, .ppt, searchable .pdf). Participants in this proceeding 
should familiarize themselves with the Commission's ex parte rules.

D. Filing Requirements

    28. Comments and Replies. Pursuant to sections 1.415 and 1.419 of 
the Commission's rules, 47 CFR 1.415, 1.419, interested parties may 
file comments and reply comments on or before the dates indicated on 
the first page of this document. Comments may be filed using the 
Commission's Electronic Comment Filing System (ECFS). See Electronic 
Filing of Documents in Rulemaking Proceedings, 63 FR 24121 (1998).
     Electronic Filers: Comments may be filed electronically 
using the internet by accessing the ECFS: https://fjallfoss.fcc.gov/ecfs2/.
     Paper Filers: Parties who choose to file by paper must 
file an original and one copy of each filing. If more than one docket 
or rulemaking number appears in

[[Page 41953]]

the caption of this proceeding, filers must submit two additional 
copies for each additional docket or rulemaking number.
    Filings can be sent by hand or messenger delivery, by commercial 
overnight courier, or by first-class or overnight U.S. Postal Service 
mail. All filings must be addressed to the Commission's Secretary, 
Office of the Secretary, Federal Communications Commission.
     All hand-delivered or messenger-delivered paper filings 
for the Commission's Secretary must be delivered to FCC Headquarters at 
445 12th St. SW, Room TW-A325, Washington, DC 20554. The filing hours 
are 8:00 a.m. to 7:00 p.m. All hand deliveries must be held together 
with rubber bands or fasteners. Any envelopes and boxes must be 
disposed of before entering the building.
     Commercial overnight mail (other than U.S. Postal Service 
Express Mail and Priority Mail) must be sent to 9050 Junction Drive, 
Annapolis Junction, MD 20701.
     U.S. Postal Service first-class, Express, and Priority 
mail must be addressed to 445 12th Street SW, Washington, DC 20554.
    29. Availability of Documents. Comments, reply comments, and ex 
parte submissions will be available for public inspection during 
regular business hours in the FCC Reference Center, Federal 
Communications Commission, 445 12th Street SW, CY-A257, Washington, DC 
20554. These documents will also be available via ECFS. Documents will 
be available electronically in ASCII, Microsoft Word, and/or Adobe 
Acrobat.
    30. People With Disabilities. To request materials in accessible 
formats for people with disabilities (Braille, large print, electronic 
files, audio format), send an email to [email protected] or call the FCC's 
Consumer and Governmental Affairs Bureau at (202) 418-0530 (voice), 
(202) 418-0432 (TTY).
    31. Accordingly, it is ordered, pursuant to the authority contained 
in sections 303, 303b, 307, 335, and 336 of the Communications Act of 
1934, as amended, 47 U.S.C. 303, 303b, 307, 335, and 336, that this 
Further Notice of Proposed Rulemaking is adopted.

List of Subjects in 47 CFR Part 73

    Education, Reporting and recordkeeping, Television.

Federal Communications Commission.
Marlene Dortch,
Secretary.
[FR Doc. 2019-16005 Filed 8-15-19; 8:45 am]
 BILLING CODE 6712-01-P