Martin’s Refusal to Delay Media Ownership Vote Upsets Senators

His determination annoyed several members of the committee, including departing Sen. Trent Lott, R-Miss. “I don’t see why Republicans should be crying alligator tears over newspapers having problems,” Lott said, a reference to Martin’s opening statement in which he cited newspapers’ declining circulation, layoffs and scaled-back news coverage as a reason the commission needs to act. “If we believe that newspaper journalism plays a unique role in the functioning of our democracy, we cannot turn a blind eye to the financial condition in which these companies find themselves,” Martin said.

Fellow Republican and ranking member Ted Stevens of Alaska urged Martin to put off the ownership vote. “I think the December 18 vote ought to be postponed,” Stevens told Martin: “You need a little more time.” Others made stronger statements. “If Chairman Martin plows ahead with this vote, he knows beyond any doubt that he does so over our objections,” said Sen. John Kerry, D-Mass., who reminded Martin that the committee had approved a bill (S-2332) requiring the commission to deal with minority media ownership before moving forward with larger media ownership rules.

“By moving forward with Tuesday’s vote, Chairman Martin is acting in direct contrast to the intent of Congress,” Kerry said. Many members complained that the commission was neglecting its responsibility to supervise public education about the digital transition, a point raised in a damaging GAO report (CD Dec 12 p1) that Martin rebutted. “You've got a train coming down the track at you,” said Sen. Barbara Boxer, D-Calif., referring to the backlash possible if consumers aren’t properly prepared for the transition. “If it was me, I'd slow down the other thing [media ownership] and work on the DTV transition.”

Boxer said she plans a bill to make independent the office of FCC inspector general, out of concern over handling of an investigation into media ownership reports. “Imagine you get a report, you don’t like it, you deep six it,” Boxer said. She said she had a “big argument” with the FCC inspector general when he visited her office about why the report wasn’t publicized. “Now I get it,” she said, after Martin told her he appointed the inspector general. FCC Commissioner Jonathan Adelstein, a Democrat, said he was “very troubled” by the IG’s handling of the media ownership report. “It was clearly improper. The report was so at odds with its own evidence. It was a very strange and inappropriate finding by the IG.”

Sen. Jay Rockefeller, D-W.Va., also wants to do some FCC housecleaning next year. He recommended that Congress not move forward with any FCC nominations -- Adelstein and Republican Commissioner Deborah Tate are up -- until next year’s political landscape is set. “I believe that we can spend 2008 thinking about the reorganization of the agency and give the new administration a chance to put its mark on communications policy,” Rockefeller said. The FCC “appears to be more concerned about making sure the policies they advocate serve the needs of the companies they regulate and their bottom lines rather than the public interest,” Rockefeller said. “Congress cannot allow this to happen.”

Commissioner Michael Copps seemed to agree. “The commission’s priorities are dangerously out of whack, and we urgently need this committee’s help to save us from ourselves,” Copps told the committee. The commission has given “short shrift” to concerns about minority ownership in broadcasting and local news, and it has neglected the DTV transition. “If we don’t turn this around quickly, the DTV transition will result in widespread television outages and a consumer backlash the likes of which you and I haven’t seen for a long, long time.”

Several members pointed to a recent GAO report criticizing the commission as lacking a comprehensive consumer education plan. Sen. Claire McCaskill, D-Mo., said Martin should be further along with a rulemaking on the digital transition. “I don’t think you have a sense of urgency,” she said. “The idea that it’s not on the agenda next week is troubling.” But Martin said the commission was moving “very smoothly” on the proceeding. He also pointed out that Congress denied his request for additional money for consumer education, and said the agency is “doing a very good job” considering that.

Stevens conceded that “the mistake is right here,” in Congress’ decision to spend only $1.5 billion on a program to supply consumers with converter boxes. He said the $40 subsidy for converter boxes “may not be enough,” adding, “I urge you to get us some advice on what to do.”

Martin drew a pointed rebuke at the start of the hearing from Chairman Daniel Inouye, D-Hawaii, for the “tone” of a letter he included in the GAO report complaining that the GAO unfairly declined to publish a commission document addressing DTV transition steps. Inouye said the letter contained language that was “regrettable,” adding that he hoped it did not portend Martin’s “unwillingness to work with GAO and Congress.” Martin said he was “frustrated” with the GAO’s contention that the FCC had no plan, especially after staff had supplied numerous documents showing its work. But he assured Inouye that the commission would comply with “any investigations.”