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LPTV Spectrum Auction?

U.S. LPTV Digital Switch a Step Nearer with FCC Rulemaking

Finishing the DTV transition is a step closer with release of an FCC rulemaking notice on setting deadlines for low-power broadcasters, about half of which already are going all-digital, to end all analog operations. Commissioners on Friday approved an item that proposed 2012 as the transition deadline for all low-power TV (LPTV) stations not operating in the 700 MHz band, as expected (CD Sept 14 p5). The regulator proposed LPTV outlets on channels 52-69, vacated in last year’s full-power analog transition, go all-digital by Dec. 31, 2011, in other slots, and submit an application picking another channel by June 30 of that year.

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The LPTV transition has implications for the National Broadband Plan’s goal of reallocating TV spectrum for wireless broadband, the notice said. Some low-power TV supporters hope those broadcasters will be able to participate in any spectrum auction, though industry lawyers told us it’s not certain if that will happen. If LPTV goes digital in 2012, the number of channels that may need to be reallocated or repacked “will be less with many low power stations having returned their second digital channel and all stations operating on their final digital facilities,” the FCC said (http://xrl.us/bhzu83). That would simplify “the reallocation/repacking process” and promote “regulatory certainty,” the agency said. It sought comment on whether a 2012 analog cutoff would mean “such stations may transition to digital only to find that their digital channel is no longer available as a result of the spectrum reallocation” eyed in the broadband plan.

LPTV stations “would be forced to transition a second time, therefore incurring additional relocation costs” under that scenario, the rulemaking notice said. Although analog LPTV stations primarily are in the UHF band, “considering the more limited service area and often rural locations of these stations, we seek comment on whether VHF channels, which are now underutilized, accompanied by additional power, provide a viable alternative for continued operation.” The notice also sought feedback on a 2015 transition or one after TV spectrum reallocation is complete. Of the 7,536 U.S. low-power stations, 56 percent have taken steps to go digital, and the FCC “has seen a rapid increase of the licensing of digital low power television facilities over the past year,” the agency said.

Any legislation allowing the FCC to auction spectrum and share proceeds with broadcasters should make explicit that LPTV can participate, said Executive Director David Honig of the Minority Media and Telecommunications Council. “If there is a medium that is most deserving of this kind of relief, you'd think it would be low-power television.” Lawyer Peter Tannenwald of Fletcher Heald, who has LPTV clients, has heard some concerns that such stations would get a “windfall” if they were able to sell their spectrum, he said. “But I just don’t think it’s a problem given all the cellular lottery winners had a huge windfall,” bigger than what LPTV would get.

A 2012 analog cutoff “is too early and I think the commission knows that,” as shown in the notice asking about hardship situations, Tannenwald said. “On the other hand, there’s some reason to see how many you can get to move by 2012. If they said 2015, a lot of people wouldn’t move until 2014.” FCC officials spoke with LPTV stations in working on the broadband plan, so “I have to imagine that it’s gotta be part of the equation” when it comes to spectrum reallocation, said lawyer Brendan Holland of Davis Wright, with TV station clients. “I think they're sensitive to the niche that LPTV serves” though it’s uncertain whether such stations will be allowed to sell their spectrum, he said.

The FCC sought comment on costs of going digital for equipment and other items and on how to address instances of “hardship” for stations that, “despite their best efforts, are unable to make a timely conversion.” The agency also asked about how it should educate viewers about a low-power DTV switch, asking about the availability of converter boxes to households that still rely on analog TV. “Consumers will not be able to avail themselves of the widely-advertised and promoted digital to analog converter box coupon program which was completed in 2009,” the notice said: “We propose to undertake a targeted initiative for select communities nationwide to increase awareness” of the coming transition, focusing on “markets with the largest number” of LPTV viewers and “at-risk populations."

The FCC “will learn from the previous transition and improve upon it,” Commissioner Michael Copps said. “This will be a complex undertaking. Its success will depend upon close partnership between the private and public sectors; it will require effective consumer outreach and providing assistance to consumers who need help.”