********************* ********************* ************** NOTICE ********************* ********************* ************** This document was converted from WordPerfect to ASCII Text format. Content from the original version of the document such as headers, footers, footnotes, endnotes, graphics, and page numbers will not show up in this text version. All text attributes such as bold, italic, underlining, etc. from the original document will not show up in this text version. Features of the original document layout such as columns, tables, line and letter spacing, pagination, and margins will not be preserved in the text version. If you need the complete document, download the WordPerfect version or Adobe Acrobat version, if available. ********************* ********************* ********************* ** PUBLIC NOTICE FEDERAL COMMUNICATIONS COMMISSION 1919 M STREET, N.W. WASHINGTON, D.C. 20554 DA 97-1246 News media information 202/418-0500 Fax-On-Demand 202/418-2830 Internet: http://www.fcc.gov ftp.fcc.gov Approved by OMB 3060-0778 Expires 8/31/97 Released: June 17 , 1997 COMMISSION SEEKS FURTHER INFORMATION REGARDING TELEVISION LMAs By this Public Notice, the Commission requests parties to all existing television local marketing agreements ("LMA") to provide certain factual information regarding the terms and characteristics of these agreements. This information will supplement the record in rulemaking proceedings currently pending before the Commission that relate to the treatment of television LMAs under the broadcast attribution and ownership rules. An LMA, or time brokerage agreement, is a type of contract in which the licensee of a broadcast station makes available blocks of broadcast time to a broker, who then supplies the programming to fill that time and sells the commercial spot announcements to support the programming. Currently, the Commission does not attribute television LMAs; they consequently are not subject to the broadcast ownership rules. See 47 C.F.R.  73.3555. The Commission, however, has proposed to treat time brokerage of another television station in the same market for more than 15 percent of the brokered station's weekly broadcast hours as being attributable, and therefore as counting toward the brokering licensee's multiple ownership limits. See Further Notice of Proposed Rule Making in MM Docket Nos. 94-150, 92-51, 87-154, FCC 96-436, at  26-31 (released Nov. 7, 1996) (Attribution Notice). The Commission has also sought comment on how to treat existing television LMAs, including to what extent such LMAs should be grandfathered, under any guidelines that are adopted that would attribute LMAs to the brokering station. See Second Further Notice of Proposed Rule Making in MM Docket Nos. 91-221, 87-8, FCC 96-438, at  80-91 (released Nov. 7, 1996) (Local TV Ownership Notice). In seeking comment on these proposals, the Commission requested information on the terms and characteristics of existing television LMAs. Attribution Notice at  31; Local TV Ownership Notice at  87. The commenters, however, have not provided us sufficient information on a range of important factual issues. For example, we do not have complete information about the number of existing television LMAs, the date of origination, the duration of these contractual arrangements, or the location of stations subject to LMAs. To provide a more complete record, the Commission consequently requests parties to any existing television LMA, whether it involves stations in the same local market or in different markets, to submit the following information: (1) For both the brokering and brokered stations, the name of the licensee, call letters, channel number, and community of license. (2) The name and rank of the Nielsen Designated Market Area(s) in which the brokering and brokered stations are located. (3) Whether the brokering and brokered stations have overlapping signal contours and, if so, specify the degree of city grade, grade A or grade B overlap. (4) The date on which the parties entered into the LMA. (5) Information regarding the term of the LMA -- specifically, the start and end dates of the initial term of the LMA, whether the LMA includes renewal provisions, and, if so, the specific terms of such renewal provisions, e.g., length, at which party's option the renewal may be exercised, whether renewal is automatic, notice for exercising renewal option, etc. (6) The percentage of the brokered station's weekly broadcast hours that is brokered to the brokering station. (7) Whether the brokering or brokered stations are owned by or affiliated with the ABC, CBS, Fox, NBC, UPN, or WB broadcast television networks. If so, please specify the identity of the network and whether the relationship between network and station is that of ownership or affiliation. (8) The reported Nielsen all-day audience share (measuring 9 a.m. through midnight) for both the brokering and brokered station during the last three most recent rating periods. (9) A brief summary of any other information that parties to an LMA, at their option, may wish to bring to the Commission's attention, such as any efficiencies or public interest benefits they believe have resulted from the LMA, whether the station was off the air prior to the LMA being entered into, whether the station has been or is for sale, or whether the station was constructed while under the LMA. This factual information will greatly assist the Commission in considering the proposals in the Attribution Notice regarding the attribution of television LMAs. It is also particularly relevant to the Commission's assessment of the need to grandfather existing television LMAs in the event they are deemed attributable, and the form this grandfathering should take. Parties to existing LMAs are the best, if not the sole, source of this information. Failure to provide the requested information may impair the Commission's ability to fashion appropriate grandfathering rights in the event LMAs are deemed attributable. We consequently require for every existing television LMA the licensee of the brokering station and/or the licensee of the brokered station to submit the information described above. In the event parties to an LMA seeking grandfathered status fail to provide this information they will be required to explain their failure to do so. Parties should file an original and four copies of the requested information within 15 days of the publication of this Public Notice in the Federal Register. These submissions should reference MM Docket Nos. 91-221, 87-8, 94-150, 92-51, and 87-154, and should be addressed to: Office of the Secretary, Federal Communications Commission, Washington, D.C. 20554. In addition, we encourage, but do not require, parties to submit the requested information on diskette. Such diskette submissions would be in addition to, and not a substitute for the formal filing requirements described above. Those parties submitting diskettes should submit them to Alan Baughcum, Federal Communications Commission, Mass Media Bureau, Policy & Rules Division, 2000 M Street, Suite 531, Washington, D.C. 20554. Such a submission should be on a 3.5 inch diskette formatted in an IBM compatible form using WordPerfect for Windows or Wordperfect for DOS, versions 5.1 or higher. The diskette should be submitted in "read only" mode. The diskette should be clearly labeled with the party's name, the words "TV LMA," and the date of submission. The submissions will be available for viewing and copying in the FCC's Public Reference Room, Room 239, 1919 M Street, N.W., Washington, D.C. 20554. Copies may also be purchased from the Commission's copy contractor, International Transcription Service (202-857-3800). For additional information, please contact Alan Baughcum (202-418-2170) or Kim Matthews (202-418-2130) of the Policy & Rules Division, Mass Media Bureau. By the Chief, Mass Media Bureau FCC NOTICE TO INDIVIDUALS REQUIRED BY THE PAPERWORK REDUCTION ACT Public reporting burden for this collection of information is estimated to average 1 hour per filing, including the time for reviewing instructions, searching existing data sources, gathering and maintaining the data needed, and completing and reviewing the collection of information. Send comments regarding this burden estimate or any other aspect of this collection of information, including suggestions for reducing the burden to the Federal Communications Commission, Performance Evaluation & Record Management, AMD-PERM, Paperwork Reduction Project (3060-0778), Washington, DC 20554. FCC may not conduct or sponsor, and a person is not required to respond to, a collection of information unless it displays a currently valid OMB control number. THE FOREGOING NOTICE IS REQUIRED BY THE PAPERWORK REDUCTION ACT OF 1995, P.L.104-13, OCTOBER 1, 1995, 44 U.S.C. 3507.