LPTV INDUSTRY NEWS - FRI. - MAY 8, 2015 - AM EDITION
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I would say to this industry, as I said to those who have joined this Coalition: "I have nothing to offer but ideas, toil, tears and sweat."
Meanwhile, the industry should prepare itself for hard and heavy tidings. I have only to add that nothing which may happen in this battle can in any way relieve us of our duty to defend our legacy businesses to which we have vowed ourselves; nor should it destroy our confidence in our power to make our way, as on former occasions in our history, through new laws, rule makings, and through grief to the ultimate defeat of our enemies.
Turning once again, and this time more generally, to the question of displacement, I would observe that there has never been a period in all these long decades of which we boast when an absolute guarantee against displacement, still less against serious rule makings, could have been given to our businesses. In the days of Wiley, of which I was speaking just now, the same wind which would have carried his ideas across the national mall, and might have driven away the blockading competing conglomerates. There was always the chance, and it is that chance which has excited and befooled the imaginations of many spectrum tyrants. Many are the tales that are told.
We are assured that novel methods will be adopted, and when we see the originality of malice, the ingenuity of aggression, which our enemy displays, we may certainly prepare ourselves for every kind of novel stratagem and every kind of brutal and treacherous maneuver. I think that no idea is so outlandish that it should not be considered and viewed with a searching, but at the same time, I hope, with a steady eye. We must never forget the solid assurances of our Part 74 rules, and those which belong to Congress and the Courts, if they can be locally exercised.
I have, myself, full confidence that if all do their duty, if nothing is neglected, and if the best arrangements are made, as they are being made, we shall prove ourselves once more able to defend our spectrum neighborhood, to ride out the storm of the "volunatry" incentive auction, and to outlive the menace of displacement, if necessary for years, if necessary alone. At any rate, that is what we are going to try to do. That is the resolve of your Coalition, your Alliance, and your Association - every licensee and permittee of them. That is the will of this Coalition and the industry. LPTV and TV translators, linked together in their cause and in their need, will defend to the death their native spectrum, aiding each other like good comrades to the utmost of their strength.
Even though large tracts of low-band spectrum and many old and famous channels have fallen or may fall into the grip of the wireless industry and all the odious apparatus of their desire to have no public interest obligations, we shall not flag or fail. We shall go on to the end. We shall fight from 51-38, we shall fight on from 36-27, we shall fight with growing confidence and growing strength in the courts, we shall defend our spectrum usage rights, whatever the cost may be. We shall fight in the large urban DMA, we shall fight in the rural mountains and plains, we shall fight in the suburbs and in the islands, we shall fight in our cities of license; we shall never surrender, and if, which I do not for a moment believe, this industry or a large part of it were subjugated and displaced, then our Class-A cousins beyond the harm of displacement, armed and guarded by their windfall profits from the incentive auction, would carry on the struggle, until, in good time, the new LPTV industry, with all its power and might, steps forth to the rescue and the liberation of the old.
Paraphrased liberally from Winston Churchill's "We Shall Fight on the Beaches" which is a common title given to a famous speech he delivered to the House of Commons of the Parliament of the United Kingdom on 4 June 1940, at the gravest and darkest hours of WWII.
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COALITION COMMENTARY
We got word this morning from a senior FCC official that their recommendations about the Incentive Auction Petitions for Reconsideration were now in circulation with the Commissioners. This means that the Commissioners now get to vote on the recommendations. We were further told that most all of the Petitions, including those from LPTV, were being denied. The process is not over, it is just beginning. And while would have in the past encouraged all of you to call and email the Commissioners to make sure our collective voice is heard, I also need to report that they will not be listening to any of our pleas. Don't forget, the fix is in, and without Congress or the Courts stepping in, this freight train called the Incentive Auction is getting ready to leave the station.
But I do want you to see these two items
from the FCC website which are part of the government-wide Administrative Procedures Act (APA):
What is the role of Congress in the rulemaking process? Under the Congressional Review Act, agencies must submit final rules to Congress. After submission, Congress can begin a process to overturn the rule. Congress can also use a variety of processes as part of its oversight of agency action, including holding hearings, issuing reports, or adopting legislation. What is the role of the courts in the rulemaking process? Under the APA, a rule can be challenged in court on the basis that it is arbitrary, capricious, an abuse of discretion; contrary to the Constitution or a statute; or the agency failed to follow required legal procedures. Even if a court does not overturn an agency's rule for one of these reasons, it may send the matter back for further consideration or explanation by the agency. The agency can also be sued to "compel action unlawfully withheld or unreasonably delayed."
So you can see, the battle is just beginning. We have staked out the battlespace, and we are preparing our troops. But we need your help, and that means money.
LPTV SPECTRUM RIGHTS DEFENSE FUND
SUPPORT THE DEFENSE OF OUR INDUSTRY IN
FCC FILINGS, CONGRESS, AND THE COURTS!
The Coalition is the only group with wide standing in the rule making proceedings and for the Courts on all LPTV issues. We need to make sure we take all of the actions we can to protect our collective interests, stall the auction process, and get compensations for relocation moves, technical flexibility, and a fair share of the now $50 billion which the FCC says the LPTV spectrum is worth (post AWS-3 auction valuation!).
THANKS
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LPTV TAX CREDIT PLAN UPDATE
As most of you know, the Coalition has been getting vetted its' legislative proposal to have Congress issue tax credits in 2016 for buyers of LPTV and TV translator spectrum, both licenses and permits, if the buyer then surrenders the license back to the FCC, so that the unlicensed economy will have enough low-band spectrum to be kickstarted during the post auction and repack period. The "floor price" we are advocating for is $3.00 per coverage pop, and the sale price would be $6.00. LPTV sellers would then be assessed a 50% windfall tax, and clear the full $3.00 per coverage pop. The government would also get $3.00 per coverage pop in the first year. If the unlicensed economy is not able to reach a large enough critical mass by some point post-repack, then the FCC could auction the spectrum and would get prices comparable to the Incentive Auction. Selling LPTV and TV translator licensees could then reinvest part of their funds back into new wireless internet businesses, which is what everyone wants. The mechanics of this plan have been vetted by tax economists, and we are now testing the political climate and winds.
There is a projected $5.8 billion 2017 domestic budget shortfall which would increase the deficit. Key domestic programs could be cut. But with the LPTV plan, the government could easily make up the difference. Remember, the $3.00 is the floor, not the ceiling.
Did you know that the collective coverage pops of all 8,000 LPTV and TV translator licensed facilities and new construction permits is over 1.6 billion coverage pops! (The 430 Class-A's have an additional 525 million coverage pops, and are valued in the Incentive Auction starting at $65 billion, and projected to close at $6.5 billion. The Coalition thinks that as many as 1 billion LPTV coverage pops could be cleared and compensated in this proposal.
There would be no FCC rule making needed, as LPTV already has the right to conduct a private market transaction. All the FCC would need to do is to approve the sales, and accept the surrendered licenses and permits, just like they do now.
This proposal would not in any way affect the Incentive Auction, since LPTV is not part of it, and we do not factor into any decisions or rules about it.
If you would like to be considered to be part of the Coalition pool of coverage pops to be mass brokered if this proposal turns into legislation and passes, please contact us asap to be involved.
Why fight when we can make love instead! Congress, industry, the FCC, and people all want more and better wireless internet. Let's give it to them, and get paid to do so!
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National Digital Distributors offers three unique channels. Moxie, a 24/7 movie channel, Oldie Goldie, a classic TV channel, and La Mega Mundial, a Latin/Tropical music channel. Each is delivered to your station via the Internet, and is proven to generate revenues. www.nationaldigitaldistributors.com |
2015 NAB SHOW LPTV DAY - MORNING PANEL
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Communications Law Attorneys representing clients before the FCC, the federal courts, and other regulatory, and governmental agencies on communications matters.
Chip Grange & Wray Fitch (703) 873-7349 - www.gg-law.com |
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If you would like to be part of our collective effort to make sure LPTV and TV translators are treated fairly in the Incentive Auction and channel repacking JOIN US today!
Mike Gravino
Director
LPTV Spectrum Rights Coalition
(202) 604-0747
http://www.lptvcoalition.com
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