[Congressional Record Volume 153, Number 168 (Thursday, November 1, 2007)]
[Senate]
[Page S13701]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Ms. SNOWE:
  S. 2297. A bill to require the FCC to conduct an economic study on 
the impact that low-power FM stations will have on full-power 
commercial FM stations; to the Committee on Commerce, Science, and 
Transportation.
  Ms. SNOWE. Mr. President, I rise today to introduce legislation that 
would require the Federal Communications Commission to fulfill its 
obligation of conducting an economic study on the impact low-power FM 
stations have on full-power commercial stations. The reason it is 
imperative the FCC perform this study is because we don't have a 
comprehensive understanding as to the effect that low-power FM stations 
have on their full-power counterparts.
  When Congress imposed the three-adjacent-channel restriction on low-
power licensees in 2001, we tasked the FCC with conducting two studies 
because we were concerned about the interference LPFM stations could 
cause with being too close in frequency to full-power commercial 
stations. The two studies were to determine the impact that the 
presence of a low-power channel would have with respect to interference 
with a nearby full-power station and the economic impact the presence 
of low power stations would bring to the commercial licensees. However, 
the FCC completed only one study--the interference analysis.
  My legislation calls for the FCC to complete an economic study on the 
impact LPFM stations have on full-power commercial radio stations 
within 18 months and report its findings to Congress.
  Volunteer, non-profit LPFM stations have found a niche but they also 
provide competition to full-power stations without having to incur the 
same costs as those commercial stations, particularly with the absence 
of licensing fees and employees' salaries. Most of us have raised 
serious concerns about the continued media consolidation that is 
occurring and negatively affecting localism and diversity.
  Part of the reason for this consolidation is because local, 
independently owned stations are seeing lower profit margins, which are 
making it more and more difficult to continue broadcasting. Due to 
shrinking profit, these stations either go out of business or are sold 
out to larger, nationwide companies. The buy-out of local stations by 
out-of-town firms does more to harm diverse and locally oriented 
broadcasting than anything else. So we must actively investigate this 
trend and determine what is contributing to the diminishing returns of 
independently owned stations.
  Some may question why perform this study since Mitre Corporation, the 
company that performed the initial interference study, recommended the 
FCC should not undertake the additional expense of a formal listener 
test program or a Phase II economic analysis. The reason is because the 
Phase II economic analysis was only on the potential radio interference 
impact of LPFM on incumbent full-power stations and did not take into 
account other economic impacts that were outside the scope of that 
effort. The Government must ensure that by opening up low-power FM 
broadcast opportunities we are not causing any undue harm to the full-
power radio stations, which we have obligations to as the issuer of 
their licenses.
  I hope my colleagues join me in supporting the critical legislation.
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