[Congressional Record (Bound Edition), Volume 149 (2003), Part 10]
[House]
[Pages 13351-13352]
[From the U.S. Government Publishing Office, www.gpo.gov]




                   FCC VOTE ON MEDIA CROSS-OWNERSHIP

  The SPEAKER pro tempore (Mr. Chocola). Under a previous order of the 
House, the gentlewoman from California (Ms. Watson) is recognized for 5 
minutes.
  Ms. WATSON of California. Mr. Speaker, I rise today to voice my 
utmost frustration and disappointment with the Federal Communication 
Commission's vote today to relax media cross-ownership rules. I am 
frustrated by the process through which the Republican-controlled 
commission sought to manipulate its rulemaking by limiting public input 
and discussion. I am frustrated that the majority on the commission 
chose to ignore the overwhelming public opposition to the proposed 
rules, and I am disappointed that these commissioners failed to learn 
from existing evidence, especially in the area of radio ownership, the 
dangerous impacts of unfettered media consolidation.
  By voting to radically deregulate media ownership, this 
administration has created the most unimaginable atmosphere for further 
national and local concentration of media outlets, leading to the 
erosion of localism, diversity and competition so essential to a 
healthy democracy. I fear that as the media conglomerates move forward 
with the rulings and gobble up more and more independent outlets, not 
only will the consumers suffer from the lack of diverse voices on our 
airwaves, but the core values of what it means to live in a free and 
open society will be greatly demolished.
  Many of my colleagues in both Chambers of Congress have expressed a 
great deal of skepticism toward today's FCC rule. Close to 150 Members 
of this House, including the Congressional Black Caucus, Hispanic 
Caucus and Asian and Pacific American Caucus have asked the FCC to 
delay its decision. That came in addition to nearly 750,000 e-mails, 
letters and phone calls from the public to the FCC expressing their 
opposition to the current rulemaking process and the rule. All of them, 
including a letter I sent on behalf of 28 other Members of the 
Congressional Black Caucus, have fallen on deaf ears.
  Over the entire course of the rulemaking process, FCC Chairman Powell 
has held only two public hearings while meeting 71 times, I repeat, 71 
times, with top broadcasters behind closed doors. How can we say that 
the FCC is following Congressional statutory guidance to serve the 
public's interest? How is the FCC performing its special duty as 
mandated by the Supreme Court to protect an uninhibited marketplace of 
ideas?
  Chairman Powell says that the rule changes will help preserve free, 
over-the-air television, but free, over-the-air television is alive and 
well. Advertising revenues for free, over-the-air television were up 15 
percent last year. However, it is not the job of the FCC to make sure 
that every network in this

[[Page 13352]]

country makes a lot of money. It is the job of the FCC to make sure 
that Americans get a variety and diversity of viewpoints.
  The bottom line is that as the rule changes lead to greater media 
consolidation, small and independent companies will be drowned out. 
Some critics have called it ``the Wal-Mart effect,'' ``the emergence of 
a 21st century Citizen Kane,'' as noted by Commissioner Adelstein. The 
big five media companies, Disney, Viacom, AOL-Time Warner, News Corp. 
and General Electric Company will end up squeezing out the small 
companies. It is already happening. The new rules will only speed up 
the process.
  Ted Turner is right in saying that when small businesses get hurt, 
big ideas get lost. When the next Watergate happens, Americans need to 
know that a truly independent third estate will be up to the task of 
conducting a free and independent investigation. Minorities are deeply 
suspicious of the rule changes. There is ample precedent for their 
feelings since the passage of the 1996 Telecommunications Act which 
resulted in a frenzy of media consolidation, radio station ownership 
has decreased by 30 percent. Many of the stations gobbled up were 
minority owned.
  It was a bad decision at the FCC today.
  Minority broadcasters believe that media consolidation has all but 
eliminated opportunities they need to expand their media companies. 
They can't expand or compete with the big players and are often left 
with one alternative: To sell.
  It would have been prudent for the FCC to allow more time for public 
hearings as well as congressional input. We have been presented with a 
backroom deal that will dramatically change the structure of our media 
marketplace, significantly impact media diversity, and inhibit the free 
flow of information.
  Today's adoption of media ownership rules represent a giant step 
backward for consumers, and as members of Congress we have a 
responsibility to exercise our legislative oversight role. As 
Commissioner Copps said today, this is only the beginning. I strongly 
urge my colleagues and the public to take up this important debate.

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