* I see a huge problem with this US Senate development…
The Senate Thursday night voted to nullify a Federal Communications Commission rule that allows media companies to own a newspaper and a television station in the same market.
The unusual “resolution of disapproval,” sponsored by Sen. Byron Dorgan, D-N.D., and 26 other senators, was approved by a voice vote. The measures sponsors include both Democratic candidates for president, Sens. Hillary Rodham Clinton of New York and Barack Obama of Illinois.
Republican FCC Chairman Kevin Martin has described the agency’s action as a “relatively minor loosening” of broadcast media ownership restrictions. The rule was approved by the FCC on a 3-2 party-line vote in December with both Democrats dissenting.
The FCC decision allows one company to own a newspaper and a broadcast station in the nation’s 20 largest metropolitan areas. The TV station may not be among the top four in the market, and post-transaction, at least eight independent media voices must remain. The rule replaced an outright ban on cross-ownership.
* In Chicago, the Tribune is grandfathered into the law so its parent company can own WGN TV/Radio and CLTV. That means the Trib can better weather a downturn in newspaper ad revenues. The Sun-Times, which was once owned by Marshall Field and long ago sold off Channel 32, is not insulated. If you take even a quick look at the Sun-Times Media Group’s financial statements, you’ll see what dire straits that company is in right now. A buyout by a TV station or cable company could save it.
I’m far less worried about cross-ownership than I used to be. The Tribune has shown that it can be a healthy thing for the market.
So, my opinion is either get rid of the unfair grandfather clause, or expand it to everyone else.
What do you think?