PIRATE Act Clears House Committee, With Amendments

On July 12, the House Energy and Commerce Committee approved H.R. 5709, the Preventing Illegal Radio Abuse Through Enforcement Act (aka PIRATE Act) on a voice vote. This comes one month after a subcommittee signed off on it. There were some notable amendments offered and accepted by the Committee, sponsored by Reps. Chris Collins (R-NY) and Mike Doyle (D-PA), both of whom are cosponsors.
First, the number of enforcement sweeps of the top five markets identified by prevalence of unlicensed broadcast activity has been reduced from twice per year to once per year. However, six months after this annual sweep, the FCC will be required to conduct “monitoring sweeps” of target markets “to ascertain whether the pirate radio broadcasting identified by enforcement sweeps is continuing to broadcast and whether aditional pirate radio broadcasting is occurring.”
Rep. Doyle explained that this change was made so that anti-pirate enforcement would not unduly take time and resources away from “other critical missions” of the FCC’s Enforcement Bureau and its field staff. Continue reading “PIRATE Act Clears House Committee, With Amendments”

PIRATE Act Sets Sail in House

In May, Rep. Leonard Lance (R-NJ) introduced the “Preventing Illegal Radio Abuse Through Enforcement Act,” otherwise known by the acronym PIRATE Act. The bill makes several changes to existing FCC regulations regarding unlicensed broadcasting:
1. The maximum monetary penalty that can be assessed for unlicensed broadcasting on the AM and FM bands is increased from an aggregate maximum of $100,000 to $2 million, and can be doled out in increments of $100,000 per day. These fines can be issued against the pirate broadcaster directly, or against any entity that “knowingly and intentionally facilitates pirate radio broadcasting.”
“Facilitates” is defined as “providing access to property (and improvements thereon) or providing physical goods or services, including providing housing, facilities, or financing, that directly aid pirate radio broadcasting.” This hearkens back to a historical precedent set by European laws in the 1960s that attempted to outlaw offshore pirate radio by making it illegal to supply and advertise on the station-ships and platforms operating in international waters. Continue reading “PIRATE Act Sets Sail in House”

FCC on Pirate Radio: From Paper Tiger to Puffer Fish

At the 2018 NAB Show in Las Vegas last month, FCC Chairman Ajit Pai highlighted the agency’s extensive efforts to combat unlicensed broadcasting. In addition to announcing that, in 2017, the agency issued “210 Notices of Unlicensed Operation” (I can only confirm 171), Pai said the agency “fined illegal broadcasters $143,800” (it’s actually $158,800) and “proposed fines totaling $323,688” (it’s actually $204,344). He also mentioned the recent raid of pirate stations in Boston, and reported “that we recently took similar action against a pirate operator in Miami and another operator in Queens, New York.”
Considering that station-raids tend to generate a lot of publicity, both among local media in affected markets and in the radio industry trade-press, I was surprised that the Queens and Miami raids have not been reported on at all. This may be because they didn’t actually happen – or happened on dates and at times that don’t fit Chairman Pai’s narrative. In addition, further information has come to light that casts doubt on just how effective the FCC’s recent activity in Boston really was.
First, let’s break down the Queens case. This involves a guy by the name of Jose Luis Gerez and a station he used to run (and actually may still be running) called “Mambo FM.” According to an unsealed complaint dated last November, this station first appeared on the FCC’s radar in July 2013, when agents in the New York field office observed “what appeared to be an unlicensed broadcast station operating at 95.1 MHz in Queens, New York.” They tracked the signal to an apartment building on Gleane Street, less than a three-mile drive from LaGuardia Airport. After interviewing the superintendent of the apartment building, agents found an FM antenna on the roof with a coaxial cable running into the basement, where a transmitter and desktop computer providing the station’s programming was found. Agents sent a Notice of Unlicensed Operation to the property-owner, who subsequently reported that the station had been removed from the premises. Continue reading “FCC on Pirate Radio: From Paper Tiger to Puffer Fish”

Raids, Bills, Staff Moves: FCC Enforcement Changes Afoot?

The Federal Communications Commission is making new moves to demonstrate the seriousness with which it takes the “problem” of unlicensed broadcasting. This is being reflected in several ways, including the deployment of more tools in field enforcement, legislative activity, and staff changes.
First, enforcement: on Monday, March 26 the agency, in conjunction with Federal Marshals and the Boston Police Department, conducted two station-raids and equipment seizures. Both stations were effectively co-located on the same block of Blue Hill Avenue in the Dorchester neighborhood, which is populated by two-story structures with businesses on the ground floor and apartments above, as well as an old theater which now houses a Baptist church.
In reality, this was an easy two-fer for the FCC: minimum effort expended for maximum impact. The court complaints make for interesting reading. (All publicly available documents involving previous enforcement actions against these stations can be found in our Enforcement Action Database.) Continue reading “Raids, Bills, Staff Moves: FCC Enforcement Changes Afoot?”

Last Bites of Translator Feast At Hand

The final element of a radio spectrum “land rush” that began more than a decade ago involving FM translator stations is upon us.
Translators exploded onto the scene as a way for broadcasters to gain new FM signals on the cheap back in 2003, when some clever religious broadcasters flooded a filing window which resulted in the tendering of thousands of translator-station construction permits. These folks inspired other spectrum-spectulators to jump in, sensing that this would be the last chance to colonize the FM dial in the United States. They all then sold the majority of these permits, for thousands to millions of dollars apiece.
These translators have been mostly utilized to give HD Radio-only programming (like that found on FM HD-2 and -3 subchannels) an analog presence, which some have likened to launching an entirely new station, and to allow AM stations a foothold on the FM dial. Since that first rush, the FCC’s opened multiple opportunities for broadcasters to purchase existing translator stations, most recently as part of FCC Chair Ajit Pai’s vaunted AM revitalization initiative. Continue reading “Last Bites of Translator Feast At Hand”

Bring the Noise (Floor)

In a little-covered meeting earlier this summer, the FCC’s Technological Advisory Council voted to proceed with what could potentially be a controversial study of noise across the electromagnetic spectrum. This two-page PDF outlines the TAC’s proposal and asks several questions about what such a study should cover, and how to go about doing it.
Many FCC-watchers seem pleasantly surprised that the TAC is wading into this mess. The study itself will be broken down along two lines: attempting to quantify interference from intentional and unintentional radiators. Intentional radiators are sources of potential noise that mean to broadcast — think radio and TV stations, wireless routers, and the like. Unintentional radiators are things that emit RF energy (and potential noise) but that is not their primary reason for being — think most electronic devices, older-model LED systems, and whatnot. Continue reading “Bring the Noise (Floor)”

HD Radio: "We're Still Here"

After its lackluster appearance at the NAB Show earlier this year, HD Radio‘s new owners, DTS Inc., are trying mightily to demonstrate that the technology remains a viable future for broadcast radio. In May, DTS announced its first-quarter financials, representing the first full quarter of its ownership of iBiquity. As expected, the acquisition had a positive effect on DTS’ bottom line, no doubt from the revenue stream involving licensing HD receivers in cars (for which the company gets paid as much as $12 per unit).
Presently, however, HD Radio is found in just 37% of all new vehicles sold in the United States — a far cry from widespread penetration, but more than enough to move the needle in DTS’ ledgers. According to a company conference call earlier this year, the acquisition of HD Radio is part of a pivot by DTS away from developing/acquiring audio enhancement systems for home entertainment technologies (which are on the decline) and toward the mobile and portable device spaces (which are growing mightily). By the end of 2016, DTS expects its automotive division (which includes HD Radio) to account for some 40% of all revenues. Continue reading “HD Radio: "We're Still Here"”

AM Broadcasters' Last Grasp at FM Translator Marketplace

If you read the latest round of ex parte filings in the FCC’s AM revitalization proceeding, you’d think the future of the band hangs on its eventual migration to FM. Yet of the many things the agency’s considering to help AM broadcasters, opening a new applications window for AM stations to acquire FM translators has not been one of them. Now the drafting of new policy has begun that would take AM revitalization from consideration to implementation — and broadcasters are making a last-minute push to grab some FM crumbs.
In the last month, a motley crew of advocates for more FM translators have been making the rounds at FCC HQ. These include trade groups, individual broadcasters and other interested parties. Some of their arguments espouse wrongheaded notions of “salvation” for the most beleagured AM broadcasters. Continue reading “AM Broadcasters' Last Grasp at FM Translator Marketplace”

FCC to Congress on Pirate Radio: We Got Nothin'

With little fanfare, the FCC has replied to the Congressional delegations of New York and New Jersey, who are demanding that the agency do something about the proliferation of unlicenesed broadcasters in the New York metropolitan area. At last count, at least three dozen stations are operating in the borough of Brooklyn alone; if you extrapolate that across the five boroughs and add in cities on the New Jersey side of the Hudson River, it’s not inconceivable to estimate that as many as 100 pirate stations may be on the air here.
The rising tide of unlicensed broadcast activity in the NYC area — a trend that is several years old now — is exacerbated by the FCC’s utter lack of resources to deal with the issue. Just last month the agency announced a major restructuring of its field enforcement resources, which will result in a net diminution of boots on the ground across the country. In the NYC metroplex, the number of field agents is being increased by one, from four to five people. Although they will be ostensibly be backed up by one of two flying squads of roving agents who will travel the country to enforcement hot-spots (this includes dealing with many issues other than unlicensed broadcasting), it remains to be seen whether this will meaningfully improve the FCC’s overall enforcement abilities. Continue reading “FCC to Congress on Pirate Radio: We Got Nothin'”

Voltair Controversy: The Seduction of Denial

Next month is the National Association of Broadcasters’ annual radio convention, to be held in Atlanta. I wish I could be a fly on the wall in some select panels and the local off-hours watering-holes. Fireworks are expected over an issue that’s been feistily percolating for more than a year — the integrity of the U.S. radio ratings system.
First, a quick primer about radio ratings in the United States. Administered by Nielsen, the ratings are collected by two primary means: listener diaries and Portable People Meters (PPM). The PPM system is a small pager-like device that selected listeners carry around with them; when exposed to a station’s broadcast, the meter logs the station and time spent listening. How? Stations that subscribe to the Nielsen ratings in PPM-enabled markets broadcast a special audio watermark that is inaudible to listeners, but that PPM devices can hear. The watermark is a 1000-3000 Hz tone; as a proprietary technology, the only way to work out how it really operates is by observing it in the wild or by examining its patents.
When the PPM system was introduced in 2007, it was touted as a new era for measuring radio ratings because listeners aren’t all that great about accurately and meticulously recording all the stations they’re exposed to. For example, radio often functions as background noise in places like restaurants, stores, and offices; when you’re at the dentist are you really paying attention to the smooth/lite pabulum oozing from the waiting room ceiling? Today, four dozen markets are measured using PPM technology. Continue reading “Voltair Controversy: The Seduction of Denial”