The FCC has failed to study what impact...

Wednesday, according to an ex parte filing (http://tinyurl.com/nohv7e8). The draft order on circulation “makes sweeping generalizations and is thus arbitrary and capricious in its determination that all JSAs harm diversity and localism,” NAB said. “In contrast, the record is replete with examples of JSAs and other service agreements among stations that demonstrate that they, in fact, greatly foster localism and diversity.” The draft order is a “sledgehammer where a scalpel, if anything, is far more appropriate,” NAB said, saying the commission should address sharing arrangements on a case by case basis or with rules punishing behaviors prohibited by the Communications Act. “It is manifestly unfair for the Commission to prohibit broadcasters from engaging in joint advertising or retransmission consent negotiations when, at the same time, it permits the cable industry to do so,” NAB said. “If the Commission is serious about promoting localism and diversity, it should work with the broadcasting industry to find the most effective ways to do so.” NAB General Counsel Jane Mago and Ric Gorman of Gocom Media also met with Clyburn, along with Commissioners Jessica Rosenworcel and Mike O'Rielly, Media Bureau Chief Bill Lake, Chairman Tom Wheeler’s aide Maria Kirby and commission staff on the subject of JSAs, another ex parte filing said (http://tinyurl.com/pr3u3me). Gorman’s NBC affiliate station, KNVN Chico, Calif., would not be able to offer local news without it’s sharing arrangements with a nearby CBS affiliate, Gorman said. “The proposal to make JSAs attributable would have the unintended consequence of creating serious harm to his company and the service he provides in the Chico market,” the NAB filing said. A proposal in the draft order to allow sharing arrangements in the public interest to receive a waiver for the new attribution rules is “not a viable solution,” NAB said. “Such a waiver plan would place the burden of proof on precisely the wrong parties -- the ‘good operators’ that are promoting localism, diversity and competition,” NAB said. Instead, the FCC should set clear standards for transactions involving JSAs that require licensees to retain control over 85 percent of programming, retain at least 70 percent of revenues from ad sales and maintain at least 20 percent of station value in the license itself, said NAB: “The Commission should clearly describe standards for joint arrangements and prohibit only those operations that do not meet those standards.”