[Federal Register Volume 63, Number 179 (Wednesday, September 16, 1998)]
[Rules and Regulations]
[Pages 49487-49501]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-24004]


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FEDERAL COMMUNICATIONS COMMISSION

47 CFR Part 73

[MM Docket No. 97-138, RM-8855, 8856, 8857, 8858, 8872; FCC 98-175]


Main Studio and Public Inspection File of Broadcast Stations

AGENCY: Federal Communications Commission.

ACTION: Final rule.

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SUMMARY: In this Report and Order (``R&O''), the Commission adopts 
amendments to its rules governing main studio and local public 
inspection file requirements for broadcast licensees. The Commission 
relaxes the standard governing the location of the main studio to allow 
a station to locate within the principal community contour of any 
station licensed to the community of license, and requires the local 
public inspection file to be located at the broadcast station's main 
studio, wherever located. The Commission also amended the public 
inspection file rules to streamline the contents of the public 
inspection file. For additional information, see Supplementary 
Information.

EFFECTIVE DATE: These rules contain information collection requirements 
that are not effective until approved by the Office of Management and 
Budget. FCC will publish a document in the Federal Register announcing 
the effective date of this document.

ADDRESSES: Federal Communications Commission, 1919 M Street, NW., Room 
222, Washington, DC 20554. In addition to filing comments with the 
Secretary, a copy of any comments on the information collections 
contained herein should be submitted to Judy Boley, Federal 
Communications Commission, Room 234, 1919 M Street, NW., Washington, DC 
20554, or via the Internet to [email protected].

FOR FURTHER INFORMATION CONTACT: Victoria M. McCauley or Kim Matthews 
Mass Media Bureau, (202) 418-2130. For additional information 
concerning the information collections contained in this R&O contact 
Judy Boley at 202-418-0214, or via the Internet at [email protected].

SUPPLEMENTARY INFORMATION: This is a synopsis of the Commission's 
Report and Order, MM Docket No. 97-138, adopted July 27, 1998 and 
released August 11, 1998. The full text of this Commission decision is 
available for inspection and copying during normal business hours in 
the FCC Reference Center (Room 239), 1919 M Street, NW., Washington, 
DC. The complete text of this decision may also be purchased from the 
Commission's copy contractor, International Transcription Services, 
Inc., 1231 20th Street, NW., Washington, DC, 20036, (202) 857-3800.

Synopsis of Report and Order on Main Studio and Public Inspection 
File

I. Introduction

    1. With this Report and Order, we amend our rules regarding the 
main studio and local public inspection file for broadcast stations. In 
the Notice of Proposed Rule Making, 62 FR 32061 (June 12, 1997), we 
proposed that modification of these rules could serve the public 
interest. We here conclude that it is possible to grant broadcast 
licensees additional flexibility in locating their main studios, 
together with their public files, and adhere to the original purpose 
underlying these rules: to maintain reasonable accessibility of station 
facilities, personnel and information to members of the station's 
community of license, which enables the residents of the community to 
monitor a station's performance, and encourages a continuing dialogue 
between the station and its community. In this way, a station is better 
integrated into the activities of the community and can be more 
responsive to local community needs in its programming. In order to 
facilitate this interaction, this R&O also amends Sections 73.3526 and 
73.3527 of our rules to clarify and update the required contents of the 
public inspection files. The actions we take today are consistent with 
our ongoing effort to ensure that our rules continue to serve the 
public interest without imposing unnecessary regulatory burdens. These 
modifications in no way alter the obligation of each broadcast licensee 
to serve the needs and interests of its community.

II. Main Studio Rule

    2. Discussion. In the NPRM in this proceeding, we set forth two 
goals in determining whether to modify the main studio rule. Our first 
goal is to strike an appropriate balance between ensuring that the 
public has reasonable access to each station's main studio and public 
file and minimizing regulatory burdens on licensees. Our second goal is 
to adopt clear rules that are easy to administer and understand. In the 
NPRM, sought comment on the option of permitting a station to locate 
its main studio anywhere in the principal community contour of any 
station licensed to the same community, or

[[Page 49488]]

within a set distance from the community center, whichever it chooses.
    3. The R&O adopts this option. Specifically, we will allow a 
station to locate its main studio at any location that is within either 
the principal community contour of any station, of any service, 
licensed to its community of license or 25 miles from the reference 
coordinates of the center of its community of license, whichever it 
chooses. This approach fulfills our stated goals. By establishing a 
clear, bright line test for determining location of the main studio, it 
is clear and easy to administer. It also lessens regulatory burdens. It 
expands the area in which most licensees may locate their main studios 
while maintaining a close connection to the community. The contour 
aspect increases the area in which licensees in communities with 
multiple stations will be able to choose location, putting all 
licensees in a community on equal footing, and the mileage aspect 
increases the area for smaller radio stations, particularly those 
providing the sole local service in a community. Although this 
expansion is not limited to co-owned stations, the increased 
flexibility it provides should allow many more multi-station licensees 
to combine the resources of their jointly-owned stations, which can 
allow them to better serve the public. Revising the rule to permit 
greater co-location of main studios should also reduce the number of 
waiver requests we have received from licensees in the past, which will 
reduce the burden on both licensees and the Commission. We note that 
the action we take today will not affect any stations operating 
pursuant to a waiver of these rules, particularly licensees of 
noncommercial educational stations operating their stations as 
satellites of a main station which historically have been given 
distinct treatment from commercial stations. Absent a waiver, however, 
the rules apply equally to commercial and noncommercial stations.
    4. At the same time, the standard we are adopting places the main 
studio in a reasonably accessible location to the community of license. 
The amended rule maintains broadcasters' obligations under Section 
307(b) to provide service to their communities of license by continuing 
the main studio's connection to the community of license. Our 
relaxation of the main studio location requirement takes into account 
the evidence in the record that more people use remote rather than 
face-to-face means of communication for routine contact with their 
local stations, and that permitting stations greater flexibility in 
locating their main studios should not unduly burden the public.
    5. Our adoption of a 25-mile permissible range as an alternative 
option for the licensee is based on a number of factors. First, the 25-
mile standard reflects an approximation of the weighted average of the 
principal community contour radii of FM radio and TV stations (actual 
weighted average: 23.08 miles). AM radio station contours, based on 
frequency, power, radiation and ground conductivity, and conceivably 
quite large, were not taken into account because they vary very 
significantly from station to station. Second, a 25-mile radius from 
city center gives stations a 50-mile diameter (1962.5 square miles) 
within which to locate the main studio. With this standard, citizens at 
the opposite end of the community would not be expected to have to 
travel more than 50 miles to reach the studio, which we believe is a 
reasonably accessible distance to expect members of the public to 
travel, given today's modern transportation and good roads.
    6. Alternative proposals. Some commenters proposed variations to 
the rule we adopt today, some of which would further relax the rules, 
while others would be more restrictive. As an initial matter, some 
commenters suggest that we delete the main studio requirement 
altogether. We continue to believe that the main studio requirement is 
necessary to ensure that broadcast stations are reasonably accessible 
to the communities they serve, which provides important public interest 
benefits.
    7. We also are not persuaded by the alternatives advanced by other 
commenters because those proposals provide relief to fewer stations and 
could, in some cases, make the studios less accessible than the rule we 
adopt today. We are satisfied that use of principal community contours 
or the mileage standard will give stations ample area within which to 
locate their main studios. Other commenters suggest that we require 
location of the main studio within the principal community contours of 
any mutually overlapping co-owned stations. We believe that this 
approach would benefit only the licensees of multiple stations, and 
could place the main studio location well beyond a reasonably 
accessible location to the station's community of license. Other 
suggestions include defining the permissible area to locate the main 
studio by TV Grade B contour, designated market area, Arbitron radio 
market, metropolitan statistical area, or ``protected service 
contour,'' i.e., the .5 mV/m contour for AM and 1 mV/m contour for FM. 
We believe that these suggestions would potentially place the main 
studio at too distant a location from the community to be considered 
reasonably accessible.
    8. We also decline to adopt the proposal which would more 
restrictively permit location within any contour of any station 
licensed to the community, or 25 miles from the community center, 
whichever is less.
    9. We also reject another variation, which argues that the 
Commission should continue to require each station to locate its main 
studio in the community of license because in-person visits will be 
deterred by a too distant main studio.

III. Local Public Inspection File Rules

A. Location of the Local Public Inspection File

    10. Background. The Commission's rules generally require a 
broadcast station to maintain its local public inspection file at its 
main studio, when the main studio is located within the station's 
community of license, or at any accessible place in the community of 
license (e.g., an attorney's office or local public library) if the 
station's main studio is located outside the community. As with the 
main studio rule, reasonable access to the public inspection file 
serves the important purpose of facilitating citizen monitoring of a 
station's operations and public interest performance and fostering 
community involvement with local stations. This in turn helps ensure 
that stations are responsive to the needs and interests of their local 
communities.
    11. Discussion. Based on the proposals and comments before us, we 
believe that it is in the public interest to amend the public file 
rules, Secs. 73.3526(d) and 73.3527(d) of our rules, to provide that 
the licensee of a station locate its public file at its main studio, 
wherever located. In addition, the rules we adopt today provide that an 
applicant for a new station or change of community locate its public 
inspection file in the proposed community of license or at its proposed 
main studio. We also are giving licensees the option of maintaining all 
or part of their public file in a computer database rather than in 
paper files, and are encouraging licensees who chose this option to 
post their ``electronic'' public files on any World Wide Web sites they 
maintain on the internet.
    12. We believe that having a licensee maintain its public file at 
its main studio will fulfill our stated goals. It takes into account 
the fact that many members of the public contact stations

[[Page 49489]]

by telephone, and the accommodation we set forth below will facilitate 
access to the public file by permitting individuals to call a station 
and request that it mail portions of the file to the caller's home or 
office. As several commenters point out, the main studio is the most 
logical and likely place for the public to expect to find a station's 
public inspection file. It is listed in the telephone book, and is 
usually well marked by commercial signage. These factors are likely to 
increase the convenience to the public in some cases, and could also 
facilitate public involvement at the station. The public would also be 
better served if the file is maintained and stored under the direct 
control of the station. Not only would there be greater assurance that 
the file is kept up-to-date and in proper order, but also the licensee 
would be able to provide assistance to those researching the public 
file, if necessary. As some commenters point out, collocating the 
public file and main studio will reduce the burdens on licensees who 
previously were required to maintain an off-premises public file in the 
community of license because their main studios are outside the city 
limits of the community of license. Moreover, we note that co-location 
of the main studio and public file will aid same-market, multiple-
station owners by allowing them to channel their resources in ways that 
would better serve the public.
    13. Accommodation. We will require stations to make available, by 
mail upon telephone request, photocopies of documents in the public 
file, including our revised version of ``The Public and Broadcasting'' 
(as drafted by the FCC staff; see infra) which shall also be placed on 
the FCC's internet site. This manual will generally describe 
broadcasters' public file obligations, and how the public can help 
monitor licensee performance. The station may require the person 
requesting the copies to pay the reasonable cost of photocopying and 
the station will pay postage. To facilitate requests for public file 
documents over the telephone, we will require stations to provide 
callers, if they wish to receive one, a copy of the new edition of 
``The Public and Broadcasting'' free of charge. This description will 
assist callers in identifying documents they may ask to be sent to them 
by mail. We will require licensees to assist callers in this process 
and answer questions they may have about the actual contents of the 
station's public file. For example, stations, if asked, should describe 
to a caller the number of pages and time periods covered by a 
particular ownership report or children's television programming 
report, or the types of applications actually maintained in the 
station's public file and the dates they were filed with the FCC. We 
also encourage stations to place the descriptions of their public files 
on any Internet home page that they maintain. We believe that this 
accommodation for the public should ensure that public file materials 
continue to be reasonably accessible to all members of the public. The 
revised ``The Public and Broadcasting'' should facilitate this access 
by educating the public about the contents of the file.
    14. We reject the other accommodations mentioned in the NPRM and 
proposed by commenters. In addition to the accommodations raised in the 
NPRM, accommodations supported by commenters include courier, fax or e-
mail delivery, toll-free telephone service, or requiring stations to 
make their studio available at non-business hours by appointment. Some 
commenters suggest that the actual method of provision of public file 
access be voluntary or left to licensee discretion, but within a set 
period of time from the time of the request. We have considered all of 
the alternate suggestions and have determined that the accommodation we 
require in this rule fulfills our stated goals of balancing public 
access with regulatory burden and ease and clarity of administration. 
As noted, toll-free telephone service is already required. We believe 
that requiring stations to provide transportation to requesters, to 
transport the public file to them or open the main studio during non-
business hours would be unnecessarily burdensome to station owners. 
Finally, Noncommercial Educational Licensees request that we place a 
limit on the number of requests to avoid harassing requests. We will 
not adopt such a limit; there is no evidence in the record that public 
requests for information are made in bad faith to any significant 
extent, or that stations are being overwhelmed by such requests. A 
licensee, may, of course, seek a waiver or special relief from the 
Commission in the event such circumstances arise.
    15. Several commenters specifically disagree with making any 
accommodation, including the one we have adopted. Most cite the undue 
burden on broadcasters, discouragement from locating outside the 
community, and the ease with which the accommodations could be abused. 
One specifically notes that allowing requests by phone rather than in-
person could encourage frivolous requests and that allowing requests 
without in-person review by the requestor will burden licensees because 
the requestor will not be able to make an informed request without 
looking through the file, and stations will have to interpret these 
vague requests and become researchers to determine exactly what the 
requestor needs. We believe that the rules we adopt today address these 
concerns. First, a requestor is entitled to ``The Public and 
Broadcasting,'' which should provide adequate guidance to make an 
intelligent request for information. In addition, the rules regarding 
the public file's contents in their revised form will be much easier to 
understand and administer for both licensees and the public seeking 
information. Finally, we expect that requiring a person seeking 
documents from a station's public file to pay the reasonable expenses 
of photocopying should reduce the possibility for abusive and frivolous 
requests.

B. Contents of the Local Public Inspection File

    16. Background. In the NPRM, we sought comment on updating our 
requirements regarding the materials that a station must place in its 
public inspection file. Currently, both commercial and noncommercial 
broadcast licensees must maintain a local public inspection file 
containing copies of certain applications and related materials filed 
by the station with the FCC, ownership reports, employment reports, and 
a list of programs aired by the station during the previous three 
months that provided its most significant treatment of community issues 
(the ``issues/programs list''). Commercial broadcast licensees must 
also retain written comments and suggestions received from the public 
regarding operation of their stations. In addition, broadcast licensees 
must maintain a separate public file concerning requests by political 
candidates for broadcast time on the station, and commercial television 
licensees must maintain a file containing information regarding the 
educational and informational programming they air for children.
    17. Updates to the Rules. In the NPRM, we proposed the following 
specific amendments to update and clarify the public inspection file 
rules:
    (a) We proposed to delete the requirement that licensees maintain 
in their public file a copy of the 1974 manual entitled ``The Public 
and Broadcasting,'' noting that this manual is long out-of-date.
    (b) We proposed to delete the reference in Sec. 73.3526(a)(11) of 
our rules regarding the maintenance of reports

[[Page 49490]]

required under our financial interest and syndication rules, which have 
been repealed.
    (c) We stated that we will correct the cross-reference in the 
public inspection file rules to the rule section governing a licensee's 
political file.
    (d) We proposed to delete the note set forth under 
Secs. 73.3526(a)(1) and 73.3527(a)(1) of the public inspection file 
rules exempting from the rules certain applications filed on or before 
May 13, 1965. We noted that, even without the exemption, the retention 
periods for maintaining such applications have long since expired.
    18. We will adopt the three specific proposals, described as (b), 
(c), and (d) above, to amend our public inspection file rules. No 
commenters objected to these revisions, and they will serve to clarify 
and make current licensees' obligations under these rules. With respect 
to our first proposal regarding the 1974 manual ``The Public and 
Broadcasting,'' we will no longer require licensees to maintain this 
out-of-date document. Rather, the FCC Staff will update this manual and 
the new manual will describe our new requirements regarding the 
contents of the public file, and discuss ways in which the public can 
help monitor licensee performance. We believe that this updated manual 
will provide a useful description of the documents that are available 
for public inspection, and will facilitate interaction between 
licensees and their communities that may lead to improved service to 
the public. The Commission staff will prepare the manual, and issue a 
Public Notice notifying licensees when it is complete. We expect that 
the staff will be issuing the new version of this manual in the fourth 
quarter of this year. The Commission will place the new manual on its 
World Wide Web site on the internet, where it can be accessed and 
downloaded by licensees and the public. The address for the 
Commission's internet home page is: http://www.fcc.gov. We will require 
all commercial and noncommercial licensees to replace their 1974 
manuals with the updated version when it is available.
    19. Assignment of License. Our current rules provide that after the 
Commission approves an application for assignment of license and the 
transaction has been consummated, the assignee is responsible for 
ensuring that the public file contains all the documents previously 
required to be maintained in the file by the assignor. We stated in the 
NPRM that we had received a petition for rule making requesting that 
the Commission amend the public file rule to delete this requirement. 
The petitioner argued that the proposed change is warranted because the 
public file need only contain information concerning the current 
licensee or permittee, as the public has no practical use for 
information regarding the ownership, programming, and EEO practices of 
a station's prior licensees. The petitioner also contended that a new 
licensee should not bear the burden of locating documents missing from 
a prior licensee's public file. We stated our belief that there is 
merit to these arguments regarding licensee-specific information, but 
noted that there may be information in the public file relevant to a 
station's facilities that is not licensee-specific (e.g., engineering 
material in a modification application filed by the assignor) and 
therefore should be maintained by the assignee. We invited commenters 
to address this issue.
    20. In the case of an assignment of license, we will continue to 
require the assignee to retain public file documents obtained from the 
assignor for the period required by our revised rules. However, we will 
not hold assignees responsible for correcting any omissions in the file 
that exist at the time of the assignment. We believe that, on balance, 
requiring licensees to retain the assignor's public file intact is a 
minimal burden which is outweighed by the benefit to the public of 
continued access to these materials for the entire retention period. We 
are persuaded by those commenters who argued that relatively little 
effort and expense is required to simply retain public file materials 
obtained from an assignor, rather than disposing of all or part of 
those materials. Documents that relate to the operations of a previous 
licensee can be relevant and useful in the context of a challenge to or 
investigation of the qualifications of that licensee to hold other FCC 
authorizations. In view of the large number of station sales in recent 
years, especially in the radio market, and the longer eight-year 
license period, it increasingly occurs that a station is assigned to a 
new owner before the license term is complete. To ensure that the 
previous owner's record is available for review, we will require that 
the file inherited from the assignor be retained for the full period 
specified by our rules.
    21. While we will continue to require an assignee to retain records 
obtained from an assignor, we will not hold licensees strictly liable 
for omissions created by predecessors. However, we expect parties 
engaged in the purchase of a station to make a good faith effort to 
correct deficiencies in the assignor's file that exist at the time of 
the assignment through the due diligence process typically undertaken 
by a purchaser of a station. Given the other rule changes we are 
adopting today, we expect that as a general matter there will be fewer 
instances where a licensee's public file will be missing required 
documents, whether at the time of an assignment or any other time. In 
particular, we are making revisions today both to reduce the number of 
documents required to be maintained in the public file and to clarify 
the retention requirements. This should help reduce the number of 
instances in which the public file is found to be incomplete. Moreover, 
the revisions we are making today to our rules governing public file 
location should improve management and maintenance of the file by 
licensees, further facilitating compliance. We emphasize that all 
licensees have a duty to comply with our public file rules, and expect 
that licensees will find this obligation easier to meet in light of the 
revisions we are making today.
    22. Electronic mail. We proposed in the NPRM to clarify the 
requirement that ``[a]ll written comments and suggestions received from 
the public by licensees of commercial AM, FM, and TV broadcast stations 
regarding operation of their station shall be maintained in the local 
public inspection file.'' We stated our wish to clarify that such 
``written comments and suggestions'' include electronic mail messages 
transmitted via the internet. We noted that internet ``e-mail'' is an 
increasingly popular means of communication, and invited comment on 
this proposed clarification.
    23. We will adopt our proposal to clarify that our rules require 
the retention by licensees of e-mail messages as well as traditional 
printed communications. We concur with those commenters that expressed 
the view that there is no fundamental distinction between e-mail and 
printed letters that would justify treating those forms of 
communication differently for purposes of this rule. Both means of 
communication can be used to convey important comments or suggestions 
regarding programming, and should be treated in a similar fashion. We 
will give licensees the option of retaining e-mail messages either in a 
computer or a paper file. Rather than printing out hard copies of these 
e-mail communications, licensees that choose the computer file option 
may provide the public upon request with a computer diskette containing 
copies of the e-mails received by the station, or may make available to 
the public a computer terminal where these communications may be 
accessed. In the case of identical

[[Page 49491]]

e-mails or letters received from different parties, we will also give 
licensees the option of retaining, either on paper or in a computer 
file, a single sample copy of the e-mail or letter as well as list of 
all parties that sent identical e-mails or letters to the station.
    24. For reasons of clarity, rather than retaining our rules 
governing the retention of letters received by commercial broadcast 
stations in a separate rule section, Sec. 73.1202, we have moved those 
rules to Sec. 73.3526, our public file rule section for commercial 
broadcast stations. The obligation to retain letters received from the 
public is fundamentally a public file obligation, and should therefore 
be part of the public file rules themselves.
    25. Retention requirements. We also sought comment in the NPRM on 
whether the retention periods for the materials in the public 
inspection file and political file should be revised to update and 
clarify those provisions. At a minimum, we proposed to revise those 
retention periods tied to the broadcast license term to reflect the new 
license term of eight years. We also proposed to amend the rules to 
require that all documents required to be retained for the license term 
be retained not only for the eight-year term but until the grant of the 
renewal application is final, i.e., no longer subject to 
reconsideration, review, or appeal either at the FCC or in the courts. 
In addition, we sought comment on whether any of the public file 
retention periods can be shortened to reduce regulatory burdens. In 
particular, we noted that we currently require that certain 
applications filed with the FCC be retained until ``the expiration of 
one license term * * * or until grant of the first renewal application 
of the television or radio broadcast license in question.'' We proposed 
shortening the required retention period for license assignment and 
transfer applications and applications for major facilities 
modifications to the period in which they are pending before the FCC or 
the courts. We noted that this is the period of time these applications 
are of particular relevance to the public, and that after this period 
other public file materials such as ownership reports may provide an 
alternative source for the information contained in these applications. 
Finally, we also sought comment on other ways to clarify and streamline 
our retention period requirements, and on the appropriate retention 
periods for letters received from the public, annual employment 
reports, and annual ownership reports.
    26. We believe there is significant room for clarification of our 
public file retention requirements, and agree with those commenters who 
argue that some of the current rules are unnecessarily complex. We also 
believe that our public file requirements can be streamlined, either by 
shortening the retention period where appropriate or eliminating the 
retention requirement altogether for documents that are not useful to 
the public.
    27. As we proposed in the NPRM, for those documents we believe 
should be retained for the entire license term (including issues/
programs lists and Children's Television Programming Reports), we will 
update our rules to reflect the current eight-year license term for 
both television and radio licenses. We will also require that those 
documents required to be retained for the full eight-year term be 
retained until the grant of the renewal application is final, i.e. no 
longer subject to reconsideration, review, or appeal either at the FCC 
or in the courts. This revision will ensure that those documents we 
believe should be available to the public for the entire license term 
remain available until final action has been taken on the license 
renewal application, thus facilitating monitoring of licensee 
performance by interested parties and their participation in the 
license renewal process. We disagree with those commenters who argued 
that the retention period for issues/programs lists, which is now 5 or 
7 years based on the former license term for radio and TV stations, be 
reduced. The lists contain information about licensee compliance with 
public interest obligations which is relevant to the evaluation of 
licensee performance at renewal, and must continue to be available 
throughout the license term and until final grant of the next renewal 
application. Similarly, we decline to reduce the retention period for 
Children's Television Programming Reports, as one commenter suggested. 
Compliance with our children's programming requirements is an important 
issue to be examined at time of renewal. Consequently, these reports 
also must remain available through the entire license term and until 
final grant of the next renewal application.
    28. In addition, as we proposed in the NPRM, we have decided to 
shorten the public file retention period for most applications filed 
with the FCC. Our current rules generally require that all applications 
be retained for the term of the license. The applications subject to 
this retention period include, for example, license assignment and 
transfer applications and applications for major facilities 
modifications. As we noted in the NPRM, and as many commenters agreed, 
these applications are most relevant to the public during the period 
they are pending before the FCC or the courts. Moreover, much of the 
information contained in these applications is available in other 
public file documents; information about the applicant's ownership 
structure, for example, is also available in the ownership reports. 
Accordingly, we will require that applications and related materials be 
retained in the public file only until final action has been taken on 
the application, except that new construction permit applications and 
applications for assignment or transfer of license that are granted 
pursuant to a waiver showing must be retained for as long as the waiver 
is in effect. With respect to these latter applications, the Commission 
has granted the waiver based, in part, on representations contained in 
the application and waiver exhibit. We believe these applications must 
remain available to the public for the entire period the waiver is in 
effect to ensure the public can assist the FCC in evaluating licensee 
performance in light of the representations made in the application and 
waiver request. Commenters that addressed this issue generally agreed 
that applications granted pursuant to a waiver request should be 
retained. Finally, we will also require that renewal applications 
granted on a short-term basis be retained throughout the short-term 
license period and until completion of the next renewal review. As the 
performance of these licensees has lead to imposition of a short-term 
renewal sanction, it is especially important that these renewal 
applications remain available to the public over the entire, shortened 
license term.
    29. Regarding other possible means of streamlining our retention 
period requirements, we have concluded that we will require licensees 
to retain only the most recent, complete ownership report (FCC Form 
323) in the public file, together with any subsequent statements filed 
with the FCC certifying that the current report is accurate. The 
current rule requires retention of all ownership reports for the term 
of the license. We agree with those commenters who argued that the most 
recent ownership report contains current information regarding the 
licensee's ownership structure, and that it is unnecessary to require 
licensees to retain previous ownership reports filed during the license 
term that contain out-of-date information. In the unusual case that a 
member of the public desires access to previous ownership information, 
these reports can be obtained from the

[[Page 49492]]

Commission. We note that the Commission has proposed, in a proceeding 
examining ways to streamline Mass Media applications, rules, and 
processes, to decrease the frequency with which Ownership Reports for 
commercial and noncommercial broadcast stations must be filed with the 
Commission. The changes to our public file requirements adopted herein 
will, of course, be subject to the outcome of that proceeding.
    30. To further reduce the paperwork burden on licensees, as 
suggested by some licensees we will revise our current requirement that 
licensees retain in their public inspection files contracts required to 
be filed with the Commission under Sec. 73.3613 of the rules. Rather 
than requiring copies of all such contracts to be kept in the public 
file, we will permit stations, as an alternative option, to maintain an 
up-to-date list identifying all such contracts and to provide copies to 
requesting parties within seven days. We believe this revision will 
reduce the burden on licensees, and especially on group owners who 
presently may have to retain multiple copies of the same agreement. At 
the same time, the public will have immediate access to a complete list 
of such contracts pertaining to the licensee, and can rapidly obtain 
any specific documents they wish to review.
    31. Finally, with regard to communications (including e-mail) 
received from the public by commercial broadcasters regarding operation 
of their station and required to be maintained in the public file 
pursuant to current Sec. 73.1202 of the rules, we will retain the 
current three year retention period for such communications. We will 
not extend the retention period for such letters to coincide with the 
eight year license term. We believe that an eight year retention 
requirement would be overly burdensome, and that older letters are less 
relevant to current licensee performance. While we will not extend the 
retention period for such communications beyond the existing three year 
term, we decline to shorten the retention period, or to eliminate the 
retention requirement altogether, as advocated by some commenters who 
argued that these letters are rarely requested by the public or used by 
the licensee or others in connection with a contested license renewal, 
especially in light of the expedited renewal procedures mandated by the 
1996 Telecommunications Act. We are not persuaded by these arguments, 
and continue to believe that these letters and e-mails, retained for a 
three-year period, can play a helpful role in assisting the public in 
monitoring station performance. A member of the public may, for 
example, wish to know whether others have expressed similar concerns in 
letters to the station during the previous several years. We 
consequently believe a three-year retention period for letters and e-
mails is warranted and will help promote a dialogue between stations 
and their communities.
    32. In light of our goal to reduce unnecessary paperwork burdens, 
we will delete the requirement that letters from the public received by 
commercial TV licensees be separated into programming and non-
programming subject categories. The burden imposed on licensees by this 
requirement seems to outweigh the relatively minimal benefit to those 
members of the public interested in reviewing these letters. Our rules 
will still require that licensees maintain a separate file containing 
letters requesting broadcast time for political candidates, making 
these letters more readily available. In addition, we note that 
licensees are required to prepare a summary at time of renewal of any 
letters they have received regarding violent programming, thereby 
assisting members of the public interested in letters received by 
licensees on this issue.
    33. Electronic Public File Option. We will adopt our proposal to 
give stations the voluntary option of maintaining all or part of their 
public inspection file in a computer database rather than in paper 
files. We noted in the NPRM that many stations are equipped with 
computers and make information available to the public on their own 
World Wide Web home pages on the internet. Stations that post their 
``electronic'' public files on the World Wide Web increase the number 
of locations from which these files may be accessed. Such measures can 
facilitate communication between licensees and their communities that 
can lead to better service to the public. Commenters generally 
supported giving stations the option to use computer technology to 
maintain and improve access to their public file, as long as such use 
is voluntary and not required. As proposed in the NPRM, a station that 
chooses the option of maintaining an ``electronic'' public file will be 
required to make a computer terminal available to members of the public 
interested in reviewing the station's file, and will be required to 
provide paper copies of such public file materials upon request.
    34. Contents of Local Public Inspection File. To summarize the 
actions we are taking today to update, clarify, and revise our public 
inspection file rules, following is a list of our revised public file 
requirements. In addition to the revisions discussed above, this list 
includes certain other revisions and clarifications addressed in the 
NPRM and in comments as well as other modifications, more editorial in 
nature, designed to shorten and clarify the rules.
    (i) Authorization. All licensees will be required to retain a copy 
of their current authorization, as well as any other documents 
necessary to reflect any modifications thereto or conditions that the 
Commission has placed on the authorization. Our current rule does not 
require that authorizations be maintained in the public file. This 
revision will ensure that the public has ready access to the technical 
parameters of the station license and any conditions on station 
operation imposed by the FCC.
    (ii) Applications and related materials. We will require retention 
of applications filed with the FCC only until final action has been 
taken on the application, except that applications for a construction 
permit and applications for assignment or transfer of license granted, 
in either case, pursuant to a waiver must be retained for as long as 
the waiver remains in effect. In addition, renewal applications granted 
on a short-term basis must be retained through the short-term renewal 
review and until final grant of the next renewal application.
    (iii) Citizen Agreements. As under the current rules, we will 
continue to require that a copy of every written citizen agreement be 
retained in the file for the term of the agreement.
    (iv) Contour maps. As under the current rules, we will continue to 
require that applicants, permittees, and licensees retain in the file 
copies of any service contour maps submitted with any application 
tendered for filing with the FCC, together with any other information 
in the application showing service contours and/or main studio and 
transmitter location. These documents must be retained for as long as 
they reflect current, accurate information about the station.
    (v) Ownership Reports and related materials. We will require 
licensees to retain only the most recent, complete ownership report 
(FCC Form 323) and any statement certifying the continuing accuracy of 
the report, until replaced by a new, complete report.
    (vi) List of contracts required to be filed with the FCC. We will 
give licensees the option either of retaining in the public file a copy 
of all contracts

[[Page 49493]]

required to be filed with the FCC under Sec. 73.3613, as our rules 
currently require, or of retaining an up-to-date list identifying all 
such contracts. Licensees who choose this latter option will be 
required to provide copies of such contracts to requesting parties 
within seven days.
    (vii) Political file. We are making no substantive changes to our 
current political file requirements. We decline to reduce the current 
two-year retention period for records required to be maintained in the 
political file, as requested by at least one commenter. These records 
are necessary to permit political candidates and others to verify that 
licensees have complied with their obligations relating to use of their 
facilities by candidates for political office. We are not persuaded 
that the current retention period is overly burdensome to licensees, 
and believe this retention period provides interested parties necessary 
and adequate access to these important records.
    (viii) Annual employment reports and related material. We will 
require retention of all annual employment reports until grant of the 
next renewal application becomes final. The current rule requires 
retention of these reports for five years for radio licensees and seven 
years for TV licensees, based on the former license terms for these 
facilities.
    (ix) ``The Public and Broadcasting'' manual. We will require 
licensees to maintain in the public file an updated version of this 
manual, to be prepared by the FCC staff.
    (x) Letters from the public. As under the current rule, commercial 
licensees will be required to retain for a period of three years 
written comments and suggestions received from the public regarding 
operation of their station. The revised rule will clarify that the rule 
extends to e-mail communications as well as letters, and will relieve 
commercial TV licensees of their current obligation to separate letters 
into programming and non-programming subject categories. For reasons of 
clarity, the rules governing retention of letters from the public 
(currently in Sec. 73.1202 of our rules) will be incorporated into our 
public file rule for commercial stations (Sec. 73.3526 of our rules).
    (xi) Material relating to FCC investigation or complaint. As under 
the current rule, licensees will be required to retain material 
relating to a matter which is the subject of an FCC complaint or 
investigation until the licensee is notified by the FCC that the 
material may be discarded. The current rule will be revised, however, 
to delete the requirement that licensees retain materials related 
solely to private disputes, as the FCC does not involve itself in such 
disputes.
    (xii) Issues/programs list. Sections 73.3526(a)(8)(i) and 
73.3527(a)(7) require licensees to prepare a quarterly issues/programs 
list that must be retained in the public file for the term of the 
license (5 or 7 years under the current rule, based on the former 
license term). The new rule will require retention of such lists until 
grant of the next renewal application becomes final.
    (xiii) Records regarding children's programming commercial limits. 
The revised rule requires retention of such records until grant of the 
next renewal application becomes final, which is the revised retention 
period for children's television programming reports. The current rule 
is unclear, requiring retention of ``records sufficient to permit 
substantiation of the station's certification, in its license renewal 
application, of compliance * * * '' with the commercial limits. The 
revised rule will also clarify that commercial records must be placed 
in the station's public file no later than the tenth day of the quarter 
following the quarter in which the programming aired.
    (xiv) Children's Television Programming Reports. The revised rule 
will require retention of such reports until final grant of the next 
renewal application. The current rule has a five-year retention period, 
based on the former license term.
    (xv) Local public notice announcements. As under our current rules, 
applicants for renewal of license must retain in the public file a copy 
of the local public notice of filing announcement required by 
Sec. 73.3580 of the rules, which must be retained for the same period 
of time as the renewal application.
    (xvi) Radio time brokerage agreements. The revised rule requires 
retention of such agreements in the public file until the contract 
expires. The current rule has not been updated to reflect the 
specification of this retention period in the 1992 radio ownership rule 
Report and Order, 57 FR 18089 (April 29, 1992).
    (xvii) Must-carry or retransmission consent election. As under our 
current rules, statements of a commercial TV station's election with 
respect to either must-carry or retransmission consent must be retained 
for the duration of the three year election period to which the 
statement applies.
    35. Noncommercial Educational Stations. Section 73.3527 of our 
rules governing public file requirements for noncommercial educational 
stations is very similar to the rule for commercial stations, and we 
have made the applicable revisions discussed above to both rules. In 
addition, we have made the following revisions to the rule relating to 
noncommercial educational stations.
    36. Letters from the public. Currently, unlike commercial 
licensees, noncommercial educational stations are not required to 
retain letters from the public regarding operation of the station. In 
the NPRM, we noted that the 1996 Telecommunications Act requires 
licensees to summarize in their renewal applications letters received 
from the public and maintained by the licensee regarding violent 
programming. As noncommercial licensees are not presently required to 
retain letters from the public, public television commenters sought 
guidance regarding the obligations of noncommercial licensees to retain 
letters regarding violent programming. We have concluded that such 
licensees may retain letters from the public if they choose, but we 
will not require them to do so. The issue of violent programming has 
almost exclusively been raised in connection with programming aired by 
commercial television licensees. In light of our overall goal of 
streamlining public file obligations where appropriate, we do not 
believe it is necessary to require noncommercial television licensees 
to retain letters regarding violent programming or other programming 
issues. However, we will require that all noncommercial television 
licensees include in their renewal applications a summary of any 
letters they receive regarding violent programming. We believe that 
this requirement is appropriate in light of Congress' concern with the 
issue of violent programming, and will help ensure that the Commission 
and the public are kept informed of concerns raised by the public about 
such programming on both commercial and noncommercial stations.
    37. Ownership Reports. We will revise Sec. 73.3527 to require that 
noncommercial licensees retain a copy of their current complete 
ownership report (FCC Form 323-E) in the public file. Presently, that 
section of our rules does not reflect the language in Sections 
73.3615(d)-(g) requiring that ownership reports be retained in the 
public inspection files of noncommercial licensees. Section 73.3615(d) 
requires that noncommercial licensee file ownership reports at renewal, 
as is required for commercial licensees. We will update our rules to 
mirror our new provision for commercial stations, discussed above.
    38. Donor's Lists. One commenter advocated that we eliminate the

[[Page 49494]]

requirement that noncommercial broadcast licensees include in their 
public file a list of donors supporting specific programs. We disagree 
that this provision is obsolete. The donor list requirement is tied to 
our sponsorship identification requirements, the basic premise of which 
is that the public is entitled to know by whom they are being 
persuaded. The donor list requirement for noncommercial licensees is 
related to the Commission's determination that noncommercial 
educational stations are permitted to limit their on-air program 
sponsorship announcements to major donors or underwriters only, but 
must maintain a complete donor list in their public file. The donor 
lists therefore provide the only complete information regarding program 
sponsorship on noncommercial stations, and will be retained.

IV. Administrative Matters

    39. Paperwork Reduction Act of 1995 Analysis. The action contained 
herein has been analyzed with respect to the Paperwork Reduction Act of 
1995 and found to impose new or modified reporting and recordkeeping 
requirements or burdens on the public. Implementation of these new or 
modified reporting and recordkeeping requirements will be subject to 
approval by the Office of Management and Budget as prescribed by the 
Act.

V. Final Regulatory Flexibility Analysis

    40. As required by the Regulatory Flexibility Act (RFA), an Initial 
Regulatory Flexibility Analysis (IRFA) was incorporated in the Review 
of the Commission's Rules Regarding the Main Studio and Public 
Inspection File of Broadcast Television and Radio Stations Notice of 
Proposed Rule Making in MM Docket No. 97-138 (``NPRM''), 12 FCC Rcd 
6993, 7011 (1997). The Commission sought written public comment on the 
proposals in the NPRM, including comment on the IRFA. This present 
Final Regulatory Flexibility Analysis (FRFA) conforms to the RFA.

Need for Objectives and Action

    41. The main studio and public inspection file rules seek to ensure 
that members of the local community have access to the broadcast 
stations that are obligated under the FCC's rules to serve them. Our 
goals in this proceeding are to relieve undue regulatory burdens on 
licensees while retaining their basic obligations to serve their 
communities of license, and adopt a rule that is clear and easy to 
administer.
    42. This Report and Order adopts rules that relax the main studio 
rule to reduce the burdens on licensees of broadcast stations, and 
provide them greater flexibility in locating their main studios. The 
Report and Order replaces the current requirement--that the main studio 
be located within a station's principal community contour--with a new 
standard that allows a station to locate its main studio within the 
principal community contour of any station (in any service) licensed to 
its community or within 25 miles of the center of its community of 
license, whichever it chooses. This standard fulfills the goals set in 
this proceeding. It is clear and easy to administer, and it strikes a 
balance between ensuring that the public has reasonable access to each 
station's main studio and public file and minimizing regulatory burdens 
on licensees. This rule should continue to ensure that the main studio 
is reasonably accessible to a station's community of license, and grant 
more flexibility to licensees of broadcast stations. We also believe 
that this amendment of the main studio rule will lessen the 
disproportionate effect that the previous rule had on owners of smaller 
stations.
    43. The Report and Order also amends the local public inspection 
file rules to provide that licensees keep their public files at their 
main studio, wherever located, rather than in the community, as 
previously required. In addition, the Report and Order clarifies and 
updates aspects of the public inspection file rules regarding contents. 
These changes will reduce burdens on licensees providing access and the 
public seeking information. Licensees with out-of-community main 
studios will be able to exercise dominion over their public files, 
making sure the files are complete and available to the public seeking 
information, and that personnel are available to answer questions if 
necessary. This will also benefit the public.

Significant Issues Raised by Public Comments in Response to the 
IRFA

    44. No comments were received specifically in response to the IRFA 
attached to the NPRM. Most commenters, agree generally that the 
Commission should amend the rule. Many commenters, agree generally with 
the combination approach for location of the main studio we adopt in 
the rule. Some of these commenters proposed amendments that would 
benefit only multiple station licensees, and others proposed amending 
the rule to allow licensees to locate their main studios at a more 
distant location (e.g., 40-50 miles from city-center, or within a 
``market'' rather than community) than we adopt in our rule today. We 
considered the potential significant economic impact of these rules on 
small entities, and determined that our approach would benefit more 
small entities than those proposed by commenters and not adopted.

Description and Estimate of the Number of Small Entities To Which 
Rules Will Apply

Definition of a ``Small Business''

    45. Under the RFA, small entities may include small organizations, 
small businesses, and small governmental jurisdictions. 5 U.S.C. 
601(6). The RFA, 5 U.S.C. 601(3), generally defines the term ``small 
business'' as having the same meaning as the term ``small business 
concern'' under the Small Business Act, 15 U.S.C. 632. 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 Small Business Administration 
(``SBA''). Pursuant to 4 U.S.C. 601(3), the statutory definition of a 
small business applies ``unless an agency after consultation with the 
Office of Advocacy of the SBA and after opportunity for public comment, 
establishes one or more definitions of such term which are appropriate 
to the activities of the agency and publishes such definition(s) in the 
Federal Register.''

Issues in Applying the Definition of a ``Small Business''

    46. As discussed below, we could not precisely apply the foregoing 
definition of ``small business'' in developing our estimates of the 
number of small entities to which the rules will apply. Our estimates 
reflect our best judgments based on the data available to us.
    47. An element of the definition of ``small business'' is that the 
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 radio or television station is dominant in its field of 
operation. Accordingly, the following estimates of small businesses to 
which the new rules will apply do not exclude any radio or television 
station from the definition of a small business on this basis and are 
therefore overinclusive to that extent. An additional element of the 
definition of ``small business'' is that the entity must be 
independently owned and operated. As discussed further below, we could 
not fully apply this criterion, and our estimates of small businesses 
to which the rules may apply may be overinclusive to this extent. The 
SBA's general size standards are

[[Page 49495]]

developed taking into account these two statutory criteria. This does 
not preclude us from taking these factors into account in making our 
estimates of the numbers of small entities.
    48. With respect to applying the revenue cap, the SBA has defined 
``annual receipts'' specifically in 13 CFR 121.104, and its 
calculations include an averaging process. We do not currently require 
submission of financial data from licensees that we could use in 
applying the SBA's definition of a small business. Thus, for purposes 
of estimating the number of small entities to which the rules apply, we 
are limited to considering the revenue data that are publicly 
available, and the revenue data on which we rely may not correspond 
completely with the SBA definition of annual receipts.
    49. Under SBA criteria for determining annual receipts, if a 
concern has acquired an affiliate or been acquired as an affiliate 
during the applicable averaging period for determining annual receipts, 
the annual receipts in determining size status include the receipts of 
both firms. 13 CFR 121.104(d)(1). The SBA defines affiliation in 13 CFR 
121.103. In this context, the SBA's definition of affiliate is 
analogous to our attribution rules. Generally, under the SBA's 
definition, concerns are affiliates of each other when one concern 
controls or has the power to control the other, or a third party or 
parties controls or has the power to control both. 13 CFR 
121.103(a)(1). The SBA considers factors such as ownership, management, 
previous relationships with or ties to another concern, and contractual 
relationships, in determining whether affiliation exists. 13 CFR 
121.103(a)(2). Instead of making an independent determination of 
whether television stations were affiliated based on SBA's definitions, 
we relied on the databases available to us to provide us with that 
information.

Estimates Based on Census Data

    50. The rules proposed in this Notice of Proposed Rule Making will 
apply to full service television and radio stations. The Small Business 
Administration defines a television broadcasting station that has no 
more than $10.5 million in annual receipts as a small business. 
Television broadcasting stations consist of establishments primarily 
engaged in broadcasting visual programs by television to the public, 
except cable and other pay television services. Included in this 
industry are commercial, religious, educational, and other television 
stations. Also included are establishments primarily engaged in 
television broadcasting and which produce taped television program 
materials. Separate establishments primarily engaged in producing taped 
television program materials are classified under another SIC number.
    51. There were 1,509 television stations operating in the nation in 
1992. That number has remained fairly constant as indicated by the 
approximately 1,580 operating television broadcasting stations in the 
nation as of June 1998. For 1992 the number of television stations that 
produced less than $10.0 million in revenue was 1,155 establishments. 
Thus, the proposed rules will affect approximately 1,569 television 
stations; approximately 77%, or 1,208 of those stations are considered 
small businesses. We use the 77 percent figure of TV stations operating 
at less than $10 million for 1992 and apply it to the 1998 total of 
1569 TV stations to arrive at stations categorized as small businesses. 
These estimates may overstate the number of small entities since the 
revenue figures on which they are based do not include or aggregate 
revenues from non-television affiliated companies. We recognize that 
the proposed rules may also affect minority and women owned stations, 
some of which may be small entities. In 1995, minorities owned and 
controlled 37 (3.0%) of 1,221 commercial television stations in the 
United States. According to the U.S. Bureau of the Census, in 1987 
women owned and controlled 27 (1.9%) of 1,342 commercial and non-
commercial television stations in the United States.
    52. The proposed rule changes would also affect radio stations. The 
SBA defines a radio broadcasting station that has no more than $5 
million in annual receipts as a small business. A radio broadcasting 
station is an establishment primarily engaged in broadcasting aural 
programs by radio to the public. Included in this industry are 
commercial religious, educational, and other radio stations. Radio 
broadcasting stations which primarily are engaged in radio broadcasting 
and which produce ratio program materials are similarly included. 
However, radio stations which are separate establishments and are 
primarily engaged in producing radio program material are classified 
under another SIC number. The 1992 Census indicates that 96 percent 
(5,861 of 6,127) of radio station establishments produced less than $5 
million in revenue in 1992. Official Commission records indicate that 
11,334 individual radio stations were operating in 1992. As of June 
1998, official Commission records indicate that 12,329 radio stations 
are currently operating.

Alternative Classification of Small Television Stations

    53. An alternative way to classify small television stations is by 
the number of employees. The Commission currently applies a standard 
based on the number of employees in administering its Equal Employment 
Opportunity (``EEO'') rule for broadcasting. Thus, radio or television 
stations with fewer than five full-time employees are exempted from 
certain EEO reporting and recordkeeping requirements.

Description of Projected Reporting, Recordkeeping, and Other 
Compliance Requirements

    54. The Report and Order adopts modifications to existing 
recordkeeping requirements. In general, these rules will allow 
broadcasters greater flexibility in locating their main studios, and 
would simply describe more specifically where a licensee must retain 
the public file it is already required by the Commission's rules to 
maintain. Generally, the costs of compliance will be reduced for all 
entities. The Report and Order also addresses how a licensee can make 
its public inspection file available via the internet, but broadcasters 
would retain the discretion not to utilize internet technology at all. 
The Report and Order clarifies which materials are required to be kept 
in the public file, and clarifies the required retention period for 
public file materials. No special skills will be necessary to comply 
with these requirements.
    55. Specifically, the Report and Order requires stations to make 
available, by mail upon telephone request, photocopies of documents in 
the public file. The station may require the person requesting the 
copies to pay the reasonable cost of photocopying prior to mailing, and 
the station will pay postage. The Report and Order requires stations to 
provide callers, if they wish to receive one, a copy of the new edition 
of ``The Public and Broadcasting'' free of charge. The Report and Order 
requires licensees to assist callers in this process and answer 
questions they may have about the actual contents of the station's 
public file, such as the number of pages and time periods covered by a 
particular report or the types and dates of applications maintained in 
the station's public file. Any increased burdens associated with these 
accommodations will apply equally to all stations.
    56. With respect to the contents of the local public inspection 
file, several

[[Page 49496]]

changes affect reporting, recordkeeping and compliance. These changes 
are: all licensees must retain a copy of their current authorization, 
as well as any other documents necessary to reflect any modifications 
thereto or conditions that the Commission has placed on the 
authorization. This does not increase any burdens, merely requires the 
licensee to keep its authorization in its public file as well as in the 
station.
    57. Applications filed with the FCC must be retained only until 
final action has been taken on the application, except that 
applications for a construction permit and applications for assignment 
or transfer of license granted pursuant to a waiver must be retained 
for as long as the waiver remains in effect. Renewal applications 
granted on a short-term basis must be retained through the short-term 
renewal review and until final grant of the next renewal application. 
This reduces the burden on licensees, both by clearly defining what 
must be retained, and the period during which it must be retained.
    58. Licensees must retain only the most recent, complete ownership 
report (FCC Form 323) and any statement certifying the continuing 
accuracy of the report, until replaced by a new, complete report. This 
clarification reduces burdens on all licensees.
    59. Licensees may either retain in the public file a copy of all 
contracts referenced under Sec. 73.3613 of the Commission's Rules, or 
retain an up-to-date list identifying all such contracts, and then 
provide copies of such contracts to requesting parties within seven 
days. The list option reduces paperwork burdens on licensees.
    60. Licensees must maintain in the public file an updated version 
of ``The Public and Broadcasting'' manual.
    61. Letters from the public required to be retained are clarified 
to include e-mail communications. To mitigate any burden of increased 
paperwork resulting from retention of computer e-mails, licensees may, 
at their option maintain such documents on diskette rather than in hard 
copy. Commercial TV licensees need not separate letters into 
programming and non-programming subject categories, reducing burdens 
required in maintaining two separate categories.
    62. With respect to material relating to FCC investigation or 
complaint, licensees are no longer required to retain materials related 
solely to private disputes, as the FCC does not involve itself in such 
disputes.
    63. Radio time brokerage agreements must be retained in the public 
file until the contract expires. This is a clarification.
    64. Retention periods for the following are updated to reflect the 
current eight-year license term, noting that all items are to be 
retained until grant of the next renewal becomes final: Issues/programs 
list; records regarding children's programming commercial limits; 
Children's Television programming reports; Local public notice 
announcements. Most changes herein are no more burdensome than the 
previous rule.
    65. With respect to rules specific to noncommercial educational 
stations, we have amended the public inspection file requirements to 
require noncommercial licensees to retain a copy of their current 
complete ownership report (FCC Form 323-E) in the public file. All 
noncommercial television licensees must also include in their renewal 
applications a summary of any letters they receive regarding violent 
programming. These changes are not burdensome to small businesses.

Steps Taken to Minimize Significant Economic Impact on Small 
Entities, and Significant Alternatives Considered

    66. We considered four options to achieve our goals in this 
proceeding. Our first goal was to balance reasonable access to the 
public and regulatory burdens on licensees, and our second goal was to 
achieve clarity in our rules and ease of administration. The approach 
we have chosen will grant flexibility to licensees of multiple 
stations, as well as licensees of smaller stations, and those that are 
the sole local services in a community. One of our concerns in adopting 
a rule was to address the differential treatment larger and smaller 
stations received under the previous rule. We believe that the rule we 
adopt today addresses this differential treatment and assures that the 
main studio remains in the primary reception area of a station licensed 
to the same community. It also grants small station licensees a much 
wider degree of latitude in choosing main studio locations compared to 
the latitude they had under the previous rule.
    67. As stated above, we have adopted an accommodation which applies 
to all licensees. We considered and rejected other accommodations 
mentioned in the NPRM and proposed by commenters. We considered all of 
the alternate suggestions and have determined that the accommodation we 
require in this rule fulfills our stated goals of balancing public 
access with regulatory burden and ease and clarity of administration. 
We believe that requiring stations to provide transportation to 
requesters, to transport the public file to them or open the main 
studio during non-business hours would be unnecessarily burdensome to 
station owners, large and small.
    68. We have considered whether only commercial licensees should 
continue to be required to retain letters from the public. Since the 
1996 Telecommunications Act requires licensees to summarize in their 
renewal applications letters received from the public and maintained by 
the licensee regarding violent programming, commenters asked to address 
whether noncommercial licensees would be required to retain these 
letters. In the interest of streamlining and reducing burdens, we have 
not required noncommercial television licensees to retain letters from 
the public regarding violent programming or other programming issues. 
As stated above, noncommercial television licensees will submit a 
summary of such letters with their renewal applications.

Federal Rules That May Duplicate, Overlap, or Conflict With the 
Proposed Rules

    None.
    69. The Commission will send a copy of the Main Studio and Public 
Inspection File Report and Order, including this FRFA, in a report to 
be sent to Congress pursuant to the Small Business Regulatory 
Enforcement Fairness Act of 1996, see 5 U.S.C. Sec. 801(a)(1)(A). In 
addition, the Commission will send a copy of the Main Studio and Public 
Inspection File Report and Order, including FRFA, to the Chief Counsel 
for Advocacy of the Small Business Administration.
    70. Accordingly, it is ordered that, pursuant to the authority 
contained in Sections 154, 303, and 307 of the Communications Act of 
1934, as amended, 47 U.S.C. Secs. 154, 303, and 307, Sections 73.1125, 
73.1202, 73.3526 and 73.3527 of the Commission's Rules, 47 CFR 
Secs. 73.1125, 73.1202, 73.3526 and 73.3527 are amended.
    71. It is further ordered that the Commission staff shall dismiss 
all main studio and/or public file waiver requests currently pending 
unless parties submitting such waiver requests amend their requests by 
October 16, 1998 to show why the relief they request continues to be 
warranted given the newly revised main studio and public file rules.
    72. These rules contain information collection requirements that 
are not effective until approved by the Office of Management and 
Budget. FCC will publish a document in the Federal Register announcing 
the effective date for these sections.

[[Page 49497]]

    73. It is further ordered that the Commission's Office of Public 
Affairs, Reference Operations Division, shall send a copy of this 
Report and Order, including the Final Regulatory Flexibility Analysis, 
to the Chief Counsel for Advocacy of the Small Business Administration.
    71. It is further ordered that this proceeding is terminated.

List of Subjects in 47 CFR Part 73

    Radio, Television.

Federal Communications Commission.
Magalie Roman Salas,
Secretary.

Rule Changes

    Part 73 of Title 47 of the U.S. Code of Federal Regulations is 
amended as follows:

PART 73--RADIO BROADCAST SERVICES

    1. The authority citation for part 73 continues to read as follows:

    Authority: 47 U.S.C. 154, 303, 334 and 336.

    2. Section 73.1125 is revised to read as follows:


Sec. 73.1125  Station main studio location.

    (a) Except for those stations described in paragraph (b) of this 
section, each AM, FM, and TV broadcast station shall maintain a main 
studio at one of the following locations:
    (1) within the station's community of license;
    (2) at any location within the principal community contour of any 
AM, FM, or TV broadcast station licensed to the station's community of 
license; or
    (3) within twenty-five miles from the reference coordinates of the 
center of its community of license as described in Sec. 73.208(a)(1).

    Note to paragraph (a): The principal community contour of AM 
stations that simulcast on a frequency in the 535-1605 kHz band and 
on a frequency in the 1605-1705 kHz band shall be the 5 mV/m contour 
of the lower band operation during the term of the simultaneous 
operating authority. Upon termination of the 535-1605 kHz band 
portion of the dual frequency operation, the principal community 
contour shall become the 5 mV/m of the remaining operation in the 
1605-1705 kHz band.

    (b) The following stations are not required to maintain their main 
studio at the locations described in paragraph (a) of this section.
    (1) AM stations licensed as synchronous amplifier transmitters 
(``AM boosters'') or,
    (2) AM, FM, or TV stations, when good cause exists for locating the 
main studio at a location other than that described in paragraph (a) of 
this section, and when so doing would be consistent with the operation 
of the station in the public interest.
    (c) Relocation of the main studio may be made:
    (1) From one point to another within the locations described in 
paragraph (a) this section or from a point outside the locations 
specified in paragraph (a) to one within those locations, without 
specific FCC authority, but notification to the FCC in Washington shall 
be made promptly.
    (2) Written authority to locate a main studio outside the locations 
specified in paragraph (a) of this section for the first time must be 
obtained from the Audio Services Division, Mass Media Bureau for AM and 
FM stations, or the Television Branch, Video Services Division, Mass 
Media Bureau for television stations before the studio may be moved to 
that location. Where the main studio is already authorized at a 
location outside those specified in paragraph (a), and the licensee or 
permittee desires to specify a new location also located outside those 
locations, written authority must also be received from the Commission 
prior to the relocation of the main studio. Authority for these changes 
may be requested by filing a letter with an explanation of the proposed 
changes with the appropriate division. Licensees or permittees should 
be aware that the filing of such a letter request does not imply 
approval of the relocation request, because each request is addressed 
on a case-by-case basis. A filing fee is required for commercial AM, 
FM, or TV licensees or permittees filing a letter request under this 
section (see Sec. 1.1104).
    (d) Each AM, FM, and TV broadcast station shall maintain a local 
telephone number in its community of license or a toll-free number.
    3. Section 73.3526 is revised to read as follows:


Sec. 73.3526  Local public inspection file of commercial stations.

    (a) Responsibility to maintain a file. The following shall maintain 
for public inspection a file containing the material set forth in this 
section.
    (1) Applicants for a construction permit for a new station in the 
commercial broadcast services shall maintain a public inspection file 
containing the material, relating to that station, described in 
paragraphs (e)(2) and (e)(10) of this section. A separate file shall be 
maintained for each station for which an application is pending. If the 
application is granted, paragraph (a)(2) of this section shall apply.
    (2) Every permittee or licensee of an AM, FM, or TV station in the 
commercial broadcast services shall maintain a public inspection file 
containing the material, relating to that station, described in 
paragraphs (e)(1) through (e)(10) and paragraph (e)(13) of this 
section. In addition, every permittee or licensee of a commercial TV 
station shall maintain for public inspection a file containing 
material, relating to that station, described in paragraphs (e)(11) and 
(e)(15) of this section, and every permittee or licensee of a 
commercial AM or FM station shall maintain for public inspection a file 
containing the material, relating to that station, described in 
paragraphs (e)(12) and (e)(14) of this section. A separate file shall 
be maintained for each station for which an authorization is 
outstanding, and the file shall be maintained so long as an 
authorization to operate the station is outstanding.
    (b) Location of the file. The public inspection file shall be 
maintained at the main studio of the station. An applicant for a new 
station or change of community shall maintain its file at an accessible 
place in the proposed community of license or at its proposed main 
studio.
    (c) Access to material in the file. (1) The file shall be available 
for public inspection at any time during regular business hours. All or 
part of the file may be maintained in a computer database, as long as a 
computer terminal is made available, at the location of the file, to 
members of the public who wish to review the file. Material in the 
public inspection file shall be made available for printing or machine 
reproduction upon request made in person. The applicant, permittee, or 
licensee may specify the location for printing or reproduction, require 
the requesting party to pay the reasonable cost thereof, and may 
require guarantee of payment in advance (e.g., by requiring a deposit, 
obtaining credit card information, or any other reasonable method). 
Requests for copies shall be fulfilled within a reasonable period of 
time, which generally should not exceed 7 days.
    (2) The applicant, permittee, or licensee shall make available, by 
mail upon telephone request, photocopies of documents in the file, and 
the station shall pay postage. Licensees shall mail the most recent 
version of ``The Public and Broadcasting'' to any member of the public 
that requests a copy. Licensees shall be prepared to assist members of 
the public in identifying the documents they may ask to be sent to them 
by mail, for example, by describing to the caller,

[[Page 49498]]

if asked, the period covered by a particular report and the number of 
pages included in the report.
    (d) Responsibility in case of assignment or transfer. (1) In cases 
involving applications for consent to assignment of broadcast station 
construction permits or licenses, with respect to which public notice 
is required to be given under the provisions of Sec. 73.3580 or 
Sec. 73.3594, the file mentioned in paragraph (a) of this section shall 
be maintained by the assignor. If the assignment is consented to by the 
FCC and consummated, the assignee shall maintain the file commencing 
with the date on which notice of the consummation of the assignment is 
filed with the FCC. The assignee shall retain public file documents 
obtained from the assignor for the period required under these rules.
    (2) In cases involving applications for consent to transfer of 
control of a permittee or licensee of a broadcast station, the file 
mentioned in paragraph (a) of this section shall be maintained by the 
permittee or licensee.
    (e) Contents of the file. The material to be retained in the public 
inspection file is as follows:
    (1) Authorization. A copy of the current FCC authorization to 
construct or operate the station, as well as any other documents 
necessary to reflect any modifications thereto or any conditions that 
the FCC has placed on the authorization. These materials shall be 
retained until replaced by a new authorization, at which time a copy of 
the new authorization and any related materials shall be placed in the 
file.
    (2) Applications and related materials. A copy of any application 
tendered for filing with the FCC, together with all related material, 
and copies of Initial Decisions and Final Decisions in hearing cases 
pertaining thereto. If petitions to deny are filed against the 
application and have been served on the applicant, a statement that 
such a petition has been filed shall be maintained in the file together 
with the name and address of the party filing the petition. 
Applications shall be retained in the public inspection file until 
final action has been taken on the application, except that 
applications for a new construction permit granted pursuant to a waiver 
showing and applications for assignment or transfer of license granted 
pursuant to a waiver showing shall be retained for as long as the 
waiver is in effect. In addition, license renewal applications granted 
on a short-term basis shall be retained until final action has been 
taken on the license renewal application filed immediately following 
the shortened license term.
    (3) Citizen agreements. A copy of every written citizen agreement. 
These agreements shall be retained for the term of the agreement, 
including any renewal or extension thereof.

    Note to paragraph (e)(3): For purposes of this section, a 
citizen agreement is a written agreement between a broadcast 
applicant, permittee, or licensee, and one or more citizens or 
citizen groups, entered for primarily noncommercial purposes. This 
definition includes those agreements that deal with goals or 
proposed practices directly or indirectly affecting station 
operations in the public interest, in areas such as--but not limited 
to--programming and employment. It excludes common commercial 
agreements such as advertising contracts; union, employment, and 
personal services contracts; network affiliation, syndication, 
program supply contracts, etc. However, the mere inclusion of 
commercial terms in a primarily noncommercial agreement--such as a 
provision for payment of fees for future services of the citizen-
parties (see ``Report and Order,'' Docket 19518, 57 FCC 2d 494 
(1976))--would not cause the agreement to be considered commercial 
for purposes of this section.

    (4) Contour maps. A copy of any service contour maps, submitted 
with any application tendered for filing with the FCC, together with 
any other information in the application showing service contours and/
or main studio and transmitter location (State, county, city, street 
address, or other identifying information). These documents shall be 
retained for as long as they reflect current, accurate information 
regarding the station.
    (5) Ownership reports and related materials. A copy of the most 
recent, complete ownership report filed with the FCC for the station, 
together with any statements filed with the FCC certifying that the 
current report is accurate, and together with all related material. 
These materials shall be retained until a new, complete ownership 
report is filed with the FCC, at which time a copy of the new report 
and any related materials shall be placed in the file. The permittee or 
licensee must retain in the public file either a copy of the contracts 
listed in such reports in accordance with Sec. 73.3615(a)(4)(i), or an 
up-to-date list of such contracts. Licensees or permittees who choose 
to retain a list of contracts must provide a copy of any contracts to 
requesting parties within 7 days.
    (6) Political file. Such records as are required by Sec. 73.1943 to 
be kept concerning broadcasts by candidates for public office. These 
records shall be retained for the period specified in Sec. 73.1943 (2 
years).
    (7) Annual employment reports. A copy of every annual employment 
report filed by the licensee or permittee for the station, together 
with all related material (Form 395-B). These materials shall be 
retained until final action has been taken on the station's next 
license renewal application.
    (8) The public and broadcasting. At all times, a copy of the most 
recent version of the manual entitled ``The Public and Broadcasting.''
    (9) Letters and e-mail from public. All written comments and 
suggestions received from the public regarding operation of the 
station, unless the letter writer has requested that the letter not be 
made public or when the licensee feels that it should be excluded from 
public inspection because of the nature of its content, such as a 
defamatory or obscene letter. Letters and electronic mail messages 
shall be retained for a period of three years from the date on which 
they are received by the licensee. For purposes of this section, 
written comments and suggestions received from the public include 
electronic mail messages transmitted via the internet. Licensees may 
retain e-mails either on paper or in a computer file. Licensees who 
choose to maintain a computer file of e-mails may make the file 
available to the public either by providing the public with access to a 
computer terminal at the location of the public file, or providing the 
public with a copy of such e-mails on computer diskette, upon request. 
In the case of identical communications, licensees and permittees may 
retain one sample copy of the letter or electronic mail message 
together with a list identifying other parties who sent identical 
communications.
    (10) Material relating to FCC investigation or complaint. Material 
having a substantial bearing on a matter which is the subject of an FCC 
investigation or complaint to the FCC of which the applicant, 
permittee, or licensee has been advised. This material shall be 
retained until the applicant, permittee, or licensee is notified in 
writing that the material may be discarded.
    (11)(i) TV issues/programs lists. For commercial TV broadcast 
stations, every three months a list of programs that have provided the 
station's most significant treatment of community issues during the 
preceding three month period. The list for each calendar quarter is to 
be filed by the tenth day of the succeeding calendar quarter (e.g., 
January 10 for the quarter October--December, April 10 for the quarter 
January--March, etc.). The list shall include a brief narrative 
describing what

[[Page 49499]]

issues were given significant treatment and the programming that 
provided this treatment. The description of the programs shall include, 
but shall not be limited to, the time, date, duration, and title of 
each program in which the issue was treated. The lists described in 
this paragraph shall be retained in the public inspection file until 
final action has been taken on the station's next license renewal 
application.
    (ii) Records concerning commercial limits. For commercial TV 
broadcast stations, records sufficient to permit substantiation of the 
station's certification, in its license renewal application, of 
compliance with the commercial limits on children's programming 
established in 47 U.S.C. 303a and 47 CFR 73.670. The records for each 
calendar quarter must be filed in the public inspection file by the 
tenth day of the succeeding calendar quarter (e.g., January 10 for the 
quarter October--December, April 10 for the quarter January--March, 
etc.). These records shall be retained until final action has been 
taken on the station's next license renewal application.
    (iii) Children's television programming reports. For commercial TV 
broadcast stations, on a quarterly basis, a completed Children's 
Television Programming Report (``Report''), on FCC Form 398, reflecting 
efforts made by the licensee during the preceding quarter, and efforts 
planned for the next quarter, to serve the educational and 
informational needs of children. The Report for each quarter is to be 
filed by the tenth day of the succeeding calendar quarter. The Report 
shall identify the licensee's educational and informational programming 
efforts, including programs aired by the station that are specifically 
designed to serve the educational and informational needs of children, 
and it shall explain how programs identified as Core Programming meet 
the definition set forth in Sec. 73.671(c). The Report shall include 
the name of the individual at the station responsible for collecting 
comments on the station's compliance with the Children's Television 
Act, and it shall be separated from other materials in the public 
inspection file. These Reports shall be retained in the public 
inspection file until final action has been taken on the station's next 
license renewal application. Licensees shall publicize in an 
appropriate manner the existence and location of these Reports. For an 
experimental period of three years, licensees shall file these Reports 
with the Commission on an annual basis, i.e. four quarterly reports 
filed jointly each year, preferably in electronic form. These Reports 
shall be filed with the Commission on January 10, 1998, January 10, 
1999, and January 10, 2000.
    (12) Radio issues/programs lists. For commercial AM and FM 
broadcast stations, every three months a list of programs that have 
provided the station's most significant treatment of community issues 
during the preceding three month period. The list for each calendar 
quarter is to be filed by the tenth day of the succeeding calendar 
quarter (e.g., January 10 for the quarter October--December, April 10 
for the quarter January--March, etc.). The list shall include a brief 
narrative describing what issues were given significant treatment and 
the programming that provided this treatment. The description of the 
programs shall include, but shall not be limited to, the time, date, 
duration, and title of each program in which the issue was treated. The 
lists described in this paragraph shall be retained in the public 
inspection file until final action has been taken on the station's next 
license renewal application.
    (13) Local public notice announcements. Each applicant for renewal 
of license shall, within 7 days of the last day of broadcast of the 
local public notice of filing announcements required pursuant to 
Sec. 73.3580(h), place in the station's local public inspection file a 
statement certifying compliance with this requirement. The dates and 
times that the pre-filing and post-filing notices were broadcast and 
the text thereof shall be made part of the certifying statement. The 
certifying statement shall be retained in the public file for the 
period specified in Sec. 73.3580 (for as long as the application to 
which it refers).
    (14) Radio time brokerage agreements. For commercial radio 
stations, a copy of every agreement or contract involving time 
brokerage of the licensee's station or of another station by the 
licensee, with confidential or proprietary information redacted where 
appropriate. These records shall be retained as long as the contract or 
agreement is in force.
    (15) Must-carry or retransmission consent election. Statements of a 
commercial television station's election with respect to either must-
carry or retransmission consent as defined in Sec. 76.64 of this 
chapter. These records shall be retained for the duration of the three 
year election period to which the statement applies.

    Note 1 to paragraph (e): For purposes of this section, action 
taken on an application tendered with the FCC becomes final when 
that action is no longer subject to reconsideration, review, or 
appeal either at the FCC or in the courts.
    Note 2 to paragraph (e): For purposes of this section, the term 
``all related material'' includes all exhibits, letters, and other 
documents tendered for filing with the FCC as part of an 
application, report, or other document, all amendments to the 
application, report, or other document, copies of all documents 
incorporated therein by reference and not already maintained in the 
public inspection file, and all correspondence between the FCC and 
the applicant pertaining to the application, report, or other 
document, which according to the provisions of Secs. 0.451 through 
0.461 of this part are open for public inspection at the offices of 
the FCC.

    4. Section 73.3527 is revised to read as follows:


Sec. 73.3527  Local public inspection file of noncommercial educational 
stations.

    (a) Responsibility to maintain a file. The following shall maintain 
for public inspection a file containing the material set forth in this 
section.
    (1) Applicants for a construction permit for a new station in the 
noncommercial educational broadcast services shall maintain a public 
inspection file containing the material, relating to that station, 
described in paragraph (e)(2) and (e)(11) of this section. A separate 
file shall be maintained for each station for which an application is 
pending. If the application is granted, paragraph (a)(2) of this 
section shall apply.
    (2) Every permittee or licensee of an AM, FM, or TV station in the 
noncommercial educational broadcast services shall maintain a public 
inspection file containing the material, relating to that station, 
described in paragraphs (e)(1) through (e)(11) of this section. In 
addition, every permittee or licensee of a noncommercial educational TV 
station shall maintain for public inspection a file containing 
material, relating to that station, described in paragraphs (e)(12) of 
this section. A separate file shall be maintained for each station for 
which an authorization is outstanding, and the file shall be maintained 
so long as an authorization to operate the station is outstanding.
    (b) Location of the file. The public inspection file shall be 
maintained at the main studio of the station. An applicant for a new 
station or change of community shall maintain its file at an accessible 
place in the proposed community of license or at its proposed main 
studio.
    (c) Access to material in the file. (1) The file shall be available 
for public inspection at any time during regular business hours. All or 
part of the file may be maintained in a computer database, as long as a 
computer terminal

[[Page 49500]]

is made available, at the location of the file, to members of the 
public who wish to review the file. Material in the public inspection 
file shall be made available for printing or machine reproduction upon 
request made in person. The applicant, permittee, or licensee may 
specify the location for printing or reproduction, require the 
requesting party to pay the reasonable cost thereof, and may require 
guarantee of payment in advance (e.g., by requiring a deposit, 
obtaining credit card information, or any other reasonable method). 
Requests for copies shall be fulfilled within a reasonable period of 
time, which generally should not exceed 7 days.
    (2) The applicant, permittee, or licensee shall make available, by 
mail upon telephone request, photocopies of documents in the file, and 
the station shall pay postage. Licensees shall mail the most recent 
version of ``The Public and Broadcasting'' to any member of the public 
that requests a copy. Licensees shall be prepared to assist members of 
the public in identifying the documents they may ask to be sent to them 
by mail, for example, by describing to the caller, if asked, the period 
covered by a particular report and the number of pages included in the 
report.
    (d) Responsibility in case of assignment or transfer. (1) In cases 
involving applications for consent to assignment of broadcast station 
construction permits or licenses, with respect to which public notice 
is required to be given under the provisions of Sec. 73.3580 or 
Sec. 73.3594, the file mentioned in paragraph (a) of this section shall 
be maintained by the assignor. If the assignment is consented to by the 
FCC and consummated, the assignee shall maintain the file commencing 
with the date on which notice of the consummation of the assignment is 
filed with the FCC. The assignee shall retain public file documents 
obtained from the assignor for the period required under these rules.
    (2) In cases involving applications for consent to transfer of 
control of a permittee or licensee of a broadcast station, the file 
mentioned in paragraph (a) of this section shall be maintained by the 
permittee or licensee.
    (e) Contents of the file. The material to be retained in the public 
inspection file is as follows:
    (1) Authorization. A copy of the current FCC authorization to 
construct or operate the station, as well as any other documents 
necessary to reflect any modifications thereto or any conditions that 
the FCC has placed on the authorization. These materials shall be 
retained until replaced by a new authorization, at which time a copy of 
the new authorization and any related materials shall be placed in the 
file.
    (2) Applications and related materials. A copy of any application 
tendered for filing with the FCC, together with all related material, 
and copies of Initial Decisions and Final Decisions in hearing cases 
pertaining thereto. If petitions to deny are filed against the 
application and have been served on the applicant, a statement that 
such a petition has been filed shall be maintained in the file together 
with the name and address of the party filing the petition. 
Applications shall be retained in the public inspection file until 
final action has been taken on the application, except that 
applications for a new construction permit granted pursuant to a waiver 
showing and applications for assignment or transfer of license granted 
pursuant to a waiver showing shall be retained for as long as the 
waiver is in effect. In addition, license renewal applications granted 
on a short-term basis shall be retained until final action has been 
taken on the license renewal application filed immediately following 
the shortened license term.
    (3) Contour maps. A copy of any service contour maps, submitted 
with any application tendered for filing with the FCC, together with 
any other information in the application showing service contours and/
or main studio and transmitter location (State, county, city, street 
address, or other identifying information). These documents shall be 
retained for as long as they reflect current, accurate information 
regarding the station.
    (4) Ownership reports and related materials. A copy of the most 
recent, complete ownership report filed with the FCC for the station, 
together with any subsequent supplemental report or statement filed 
with the FCC certifying that the current report is accurate, and 
together with all related material. These materials shall be retained 
until a new, complete ownership report is filed with the FCC, at which 
time a copy of the new report and any related materials shall be placed 
in the file. The permittee or licensee must retain in the public file 
either a copy of the contracts listed in such reports in accordance 
with Sec. 73.3615(d)(3), or an up-to-date list of such contracts. 
Licensees and permittees who choose to maintain a list of contracts 
must provide a copy of any contracts to requesting parties within 7 
days.
    (5) Political file. Such records as are required by Sec. 73.1943 to 
be kept concerning broadcasts by candidates for public office. These 
records shall be retained for the period specified in Sec. 73.1943 (2 
years).
    (6) Annual employment reports. A copy of every annual employment 
report (Form 395) filed by the licensee or permittee for the station, 
together with all related material. These materials shall be retained 
until final action has been taken on the station's next license renewal 
application.
    (7) The Public and Broadcasting. At all times, a copy of the most 
recent version of the manual entitled ``The Public and Broadcasting.''
    (8) Issues/programs lists. For nonexempt noncommercial educational 
broadcast stations, every three months a list of programs that have 
provided the station's most significant treatment of community issues 
during the preceding three month period. The list for each calendar 
quarter is to be filed by the tenth day of the succeeding calendar 
quarter (e.g., January 10 for the quarter October-December, April 10 
for the quarter January-March, etc.). The list shall include a brief 
narrative describing what issues were given significant treatment and 
the programming that provided this treatment. The description of the 
programs shall include, but shall not be limited to, the time, date, 
duration, and title of each program in which the issue was treated. The 
lists described in this paragraph shall be retained in the public 
inspection file until final action has been taken on the station's next 
license renewal application.
    (9) Donor lists. The lists of donors supporting specific programs. 
These lists shall be retained for two years.
    (10) Local public notice announcements. Each applicant for renewal 
of license shall, within 7 days of the last day of broadcast of the 
local public notice of filing announcements required pursuant to 
Sec. 73.3580(h), place in the station's local public inspection file a 
statement certifying compliance with this requirement. The dates and 
times that the pre-filing and post-filing notices were broadcast and 
the text thereof shall be made part of the certifying statement. The 
certifying statement shall be retained in the public file for the 
period specified in Sec. 73.3580 (for as long as the application to 
which it refers).
    (11) Material relating to FCC investigation or complaint. Material 
having a substantial bearing on a matter which is the subject of an FCC 
investigation or complaint to the FCC of which the applicant, 
permittee, or licensee has been advised. This material shall be 
retained until the applicant, permittee, or licensee is notified in

[[Page 49501]]

writing that the material may be discarded.
    (12) Must-carry requests. Noncommercial television stations 
requesting mandatory carriage on any cable system pursuant to 
Sec. 76.56 of this chapter shall place a copy of such request in its 
public file and shall retain both the request and relevant 
correspondence for the duration of any period to which the request 
applies.

    Note (1) to paragraph (e): For purposes of this section, a 
decision made with respect to an application tendered with the FCC 
becomes final when that decision is no longer subject to 
reconsideration, review, or appeal either at the FCC or in the 
courts.
    Note (2) to paragraph (e): For purposes of this section, the 
term ``all related material'' includes all exhibits, letters, and 
other documents tendered for filing with the FCC as part of an 
application, report, or other document, all amendments to the 
application, report, or other document, copies of all documents 
incorporated therein by reference and not already maintained in the 
public inspection file, and all correspondence between the FCC and 
the applicant pertaining to the application, report, or other 
document, which according to the provisions of Secs. 0.451 through 
0.461 of the rules are open for public inspection at the offices of 
the FCC.


Sec. 73.1202  [Removed]

    5. Section 73.1202 is removed.

[FR Doc. 98-24004 Filed 9-15-98; 8:45 am]
BILLING CODE 6712-01-P