High-Stakes Duel in DC: NAB Vs. FCC

It was a bad day for broadcasting at the Federal Communications Commission, and perhaps a worse one for the National Association of Broadcasters, the lobby that is supposed to make sure the industry doesn't have any bad days anywhere in Washington.

Despite the vigorous opposition of the NAB, the FCC closed loopholes in its local ownership rules that have allowed broadcasters to effectively operate multiple stations, sometimes two Big Four affiliates, in small and medium markets. It banned new joint sales agreements (JSAs) and ordered broadcasters to unwind existing ones within two years.

The NAB is "getting pounded" at the FCC, said one group TV station executive and NAB member, who asked not to be identified. But the news out of the nation's capital is not all bad for NAB, according to communications policy players. The association is holding its own on Capitol Hill, where the battles may be fewer, but the stakes are considerably higher.

The NAB’s ineffectiveness at the FCC is worrisome to broadcasters because other important issues are currently in the regulatory pipeline. Among them are the UHF discount and the sports blackout rule. The FCC is considering eliminating both.