FCC Chair Aims to Revamp Media Broadcast Rules to Boost Local Journalism

FCC Chair Brendan Kerr is working on overhauling the agency’s media broadcasting regulations to support local journalism and address the influence of large tech companies.

The FCC plans to release an announcement tonight that will invite public commentary on potential reforms related to national broadcast television ownership.

Individuals familiar with Kerr’s proposals indicate that he’s aiming to diminish the power of major tech firms by setting a cap on national ownership. This could introduce more competition for advertising revenue, which is crucial for staving off the expansion of big tech.

There are discussions about reforming specific regulations to strengthen local journalism.

Kerr has historically been skeptical of the national press, yet surveys show that many Americans trust local journalists to deliver the news.

“In terms of national media, there’s a significant lack of trust, but on the local level, especially with FCC-regulated broadcasters, people tend to trust them more,” Kerr mentioned at a Semafor event in February.

He continued, “People interact with local journalists in their everyday lives—like at the grocery store. My goal is to empower local broadcasters to better serve their communities.”

In a letter to Disney’s CEO Bob Iger last December, Kerr highlighted the legal obligation of local TV stations to act in the public interest and cater to their communities.

Current FCC regulations restrict a single entity from owning a station that serves over 39% of American households, plus there are strict rules about ownership of major network affiliates like ABC, CBS, FOX, and NBC.

Similar limits are in place for AM and FM radio stations, too.

Proposed changes in media broadcasting regulations could open the door for these networks to attract more investment, ultimately strengthening their negotiating position with larger networks.

Kerr pointed out that many stations feel underfunded; some small-town stations are limited to playing music via a single computer system streaming from major cities. He has voiced concerns about this during discussions with media outlets.

In his December letter to Disney, Kerr accused ABC of using exploitative tactics in negotiations with local affiliates, asserting that the network was attempting to impose unfair financial and operational demands.

He noted that ABC had been pulling key programming, including local sports, from traditional broadcast to prioritize its own cable network or subscription service.

This relationship dynamic indicates, Kerr argued, that national networks have an advantage over local affiliates.

Indeed, there has long been concern regarding the imbalance of power between networks and their affiliates. Kerr emphasized that increasing pressure from national networks could jeopardize local journalism and the unique needs of community programming.

On the legislative side, Senator Jerry Moran (R-KS) is leading a group of 22 Republican senators advocating for reform in broadcast rules, adding that the current guidelines are outdated, especially given their creation in a pre-Internet era.

Proposed reforms could help local broadcasters not only compete with tech giants for advertising dollars but also secure essential funding for local journalism.

“Advertising is vital for local journalism, and a lot of that revenue is now going to big tech firms,” Kerr noted in March.

This initiative has gained backing from the National Association of Broadcasters (NAB) and support from numerous lawmakers in both the Senate and House.

In communications with the FCC, groups have underscored that local stations face direct competition from streamers and social media but are constrained by ownership rules that limit their reach compared to these platforms.

These community leaders expressed appreciation for Kerr’s leadership on this crucial issue and anticipate the positive impact of modernization on local broadcasters, consumers, and public safety.