FCC Seeks Comment on Proposed FY2016 Regulatory Fees

May 31, 2016

The FCC has issued a Notice of Proposed Rulemaking (“NPRM”) seeking comment on the proposed Fiscal Year 2016 regulatory fees. Comments are due June 20, 2016 and reply comments are due July 5, 2016.

The proposed 2016 fees for AM and FM stations are generally higher, but drop in a handful of instances. The most notable proposed change for radio stations is the addition of a new population category. Previously, all AM and FM radio stations in the same class that served a population greater than 3,000,000 paid the same regulatory fee. Now, the FCC is proposing to add a category for stations that serve a population ranging from 3,000,001 through 6,000,000, while stations that serve a population greater than 6,000,000 will be in a separate category with a higher fee.

The proposed fees for AM and FM radio stations are as follows:

Comparison of FY2015 and Proposed FY2016 Regulatory Fee Rates for AM and FM Radio Stations

Population

Served

AM
Class A

(FY2016 Proposed)

Differential

AM
Class B

(FY2016 Proposed)

Differential

AM
Class C

(FY2016 Proposed)

Differential

AM
Class D

(FY2016 Proposed)

Differential

FM Classes

A, B1 & C3

(FY2016 Proposed)

Differential

FM Classes

B, C, C0, C1 & C2

(FY2016 Proposed)

Differential

<=25,000

$1,100

$325

$795

$150

$690

$100

$760

$90

$1,200

$450

$1,375

$450

25,001 – 75,000

$1,650

$100

$1,200

($100)

$1,025

$125

$1,150

$150

$1,800

$300

$2,050

$425

75,001 – 150,000

$2,200

($125)

$1,600

($25)

$1,375

$175

$1,525

($150)

$2,400

$350

$2,750

($250)

150,001 – 500,000

$3,300

($175)

$2,375

($375)

$2,075

$275

$2,275

$250

$3,600

$425

$4,125

$200

500,001 – 1,200,000

$5,500

$475

$3,975

($250)

$3,450

$450

$3,800

$425

$6,000

$950

$6,875

$1,100

1,200,001 – 3,000,00

$8,250

$500

$5,950

($550)

$5,175

$675

$5,700

$300

$9,000

$750

$10,300

$1,050

3,000,001 – 6,000,00

$11,000

$1,700

$7,950

$150

$6,900

$1,200

$7,600

$850

$12,000

$1,500

$13,750

$1,725

>6,000,000

$13,750

$4,450

$9,950

$2,150

$8,625

$2,925

$9,500

$2,750

$15,000

$4,500

$17,175

$5,150

For television stations, the most significant proposed increase is for stations in the top 10 markets. The FCC justifies this increase by explaining that stations in the top 10 markets should pay approximately double what stations in markets 26 to 50 pay. Stations in markets 51 to 100 may see a decrease in their FY2016 regulatory fees, while the remaining markets may see a modest increase. The proposed fees for full-power television stations are as follows:

Comparison of FY2015 and Proposed FY2016 Regulatory Fee Rates for Television Stations

Digital TV (47 CFR part 73) VHF and UHF Commercial

FY 2015 Fee Rates

FY 2016 Proposed Fee Rates

Differential

Markets 1-10

$46,825

$60,775

$13,950

Markets 11-25

$43,200

$45,750

$2,550

Markets 26-50

$27,625

$30,575

$2,950

Markets 51-100

$16,275

$15,225

($1,050)

Remaining Markets

$4,850

$5,000

$150

Construction Permits

$4,850

$5,000

$150

In the NPRM, the FCC says that it is too early to tell what impact the incentive auction will have on regulatory fees. The FCC says it will address any changed circumstances as a result of the incentive auction during next year’s FY2017 regulatory fee proceeding.

If you wish to file comments in connection with the proposed FY2016 regulatory fees or have questions about regulatory fees, please contact any attorney in our office.

Categories: Media