Mr. President, I thank my colleague from North Dakota for, as always, informing, and sometimes with very startling information. I still find it very difficult to understand the situation that happened in his State. When there was a toxic…
Mr. President, I thank my colleague from North Dakota for, as always, informing, and sometimes with very startling information. I still find it very difficult to understand the situation that happened in his State. When there was a toxic spill, and the radio stations were attempted to be contacted to alert the population, the citizenry, there was not a single soul in any of the six radio stations. All the broadcasting was done from somewhere else. That, obviously, was not the intent of the law, the intent of Congress, nor, indeed, the intent of the Federal Communications Commission. But these examples happen today.
I rise to speak in opposition to S.J. Res. 17, which has already been described by my colleague from North Dakota. As a result, pursuant to the Congressional Review Act, these rules would have no force or effect, and the FCC would not be able to adopt any similar regulations until Congress authorized the Commission to do so.
I share many of the concerns expressed by my friends from North Dakota and Mississippi. I oppose the resolution because I believe that rejecting the rules without providing further guidance is not an appropriate congressional response. In addition, the nullification of all of the FCC's new media ownership regulations is, in my opinion, too sweeping.
Whether we agree with them or not, the FCC's actions are a direct result of the direction given to it by Congress in the Telecommunications Act of 1996, which should have been called ``Leave No Lobbyist Behind Act of 1996.''
And might I add, as we are all responsible for our votes, my colleague from North Dakota voted for that bill, as did my colleague from Mississippi. I voted against it. I voted against it because I thought it was an outrageous exercise of lobbying power and special interest power and would have enormous unintended as well as intended consequences; and the unintended consequences we are dealing with today.
So let's be clear, all of my colleagues, what is the genesis of this problem. That is the 1996 Telecommunications Act. I say so because the DC Court of Appeals vacated the 35-percent cap and remanded it back to the FCC. The DC Circuit Court of Appeals found that:
Congress set in motion a process to deregulate the
structure of the broadcast and cable television industries
[in the act].
In fact, the court--I think very appropriately--characterized the 1996 act's deregulatory tone as not subtle but quite explicit, likening it to ``Farragut's order at the battle of Mobile Bay--`Damn the torpedoes! Full speed ahead.' '' That is how the court described the 1996 deregulatory act that my colleagues are on the floor now examining and wanting to reverse.
Let's at least take responsibility for our action that set this train in motion. I agree with my colleagues, particularly on the issue of radio. When there is an example such as what happened in Minot, ND, and testimony before our committee that there is an organization, Clear Channel--let's say who they are--that owns, as the Senator from North Dakota mentioned, 1,300 radio stations, the ticket sales, the promotions, and the concerts--artists have come to us and stated unequivocally that they have been basically blackmailed and told to do concerts at a certain place or their works would not be played on the radio stations.
Now, I can't prove that. I am only telling you what information was given us. So we have a tough situation.
The resolution offers neither congressional direction for the FCC's next review of these rules nor a remedy for the infirmities of the existing statute that pushed the FCC to its recent decision. Moreover, the resolution would throw out the entirety of the FCC's action, including some rules that would actually tighten radio ownership limitations. Finally, the resolution could result in significant uncertainty about the status of the FCC's media ownership rules.
Let me mention one other thing before I go into a little bit more about this process.
As usual, unfortunately, tragically, the Appropriations Committee has now gotten into the act. The Appropriations Committee, I understand, on the Commerce, State, and Justice appropriations bill is now going to remove the provision of 35 to 45 percent media ownership, but they are not--they are not--going to touch the cross-ownership aspect of the rules that the FCC issued. Why? Why would that be?
Well, my dear friends and colleagues, I only know one reason: The National Association of Broadcasters supports the 35 to 45 percent and opposes the cross ownership. Which is worse, that a conglomerate owns now 45 percent of the television stations in a market, or a conglomerate owns three televisions stations, the newspaper--the Los Angeles Times--the Internet, the cable company, and 8 radio stations? That is okay according to the Appropriations Committee. But they are going to take care of the 35 to 45 percent aspect of it and jam it into an appropriations bill, by the way, without a hearing before the Appropriations Committee, as usual.
The Commerce Committee acted with a piece of legislation that is on the calendar. S. 1046, which passed through the committee, addresses the entire issue. Do you think we will get S. 1046 before this body before this year ends, my friends? No. But we will have to fight like blazes a one single shot provision that has been placed in an appropriations bill, in clearly a gross excess of their responsibilities, which are to fund authorized programs.
So I guess if there is any lack of cynicism amongst my colleagues about this whole process we are undergoing right now, any lack of cynicism should be dispelled by the actions of the Appropriations Committee.
Whether we agree with them or not, as I mentioned, those actions are a direct result of the 1996 act.
In short, if the Congress is unsatisfied with the result of the FCC review, it should step in to provide new direction. Simply saying, ``You got it wrong, try again,'' in my view, is not an appropriate response.
Although they are not provided in the resolution before us, new directions to the FCC have been provided and reported out of the Commerce Committee. The bill is on the Senate calendar awaiting action. The bill would establish explicit, sustainable media ownership limits while preserving new radio ownership rules tightened by the FCC in its June 2 order.
While I don't support the resolution, I do support S. 1046. I have not always supported retaining strict limits on media consolidation, and in the past I have spoken frequently about the merits of deregulation of media markets. Over the years, I have written letters to the FCC insisting that they deregulate in this area of media markets. Moreover, even a few years ago, I offered legislation to raise the national television station ownership cap to 50 percent and to eliminate limits on newspaper and broadcast cross-ownership. I continue to believe in the principle of allowing markets, and not government, to regulate the way businesses operate.
After chairing seven hearings on media ownership and observing unprecedented public outcry, it is apparent to me that the business of media ownership, which can so affect the nature and quality of our democracy, is too important to be dealt with so categorically. As a result, I have come to believe that stringent, but reasonable, limits on media ownership may very well be appropriate.
It is a testament to the vitality and health of our democracy that the public mobilized to defend what they perceived as a challenge to this democracy. If Congress is displeased with the Commission's new rules, however, we must accept some responsibility for them. Congress and the courts gave the Commission little choice but to deregulate the media industry. When the D.C. circuit court of Appeals vacated the 35 percent cap and remanded it back to the FCC for further consideration, it found that ``Congress set in motion a process to deregulate the structure of the broadcast and cable television industries'' in the Act. In fact, the court characterized the 1996 Act's deregulatory tone as not subtle, but quite explicit, likening it to ``Farragut's order at the battle of Mobile Bay--`Damn the torpedoes! Full speed ahead.'''
Led by the able chairman, Michael Powell, the Commission followed the direction of Congress and the courts.
The commission incrementally increased the network ownership cap to 4.5 percent finding that a ``modest relaxation of the cap will help networks compete more effectively with cable and DBS operators and will promote free, over-the-air television by deterring migration of expensive programming to cable networks.''
I ask unanimous consent that an article by Michael K. Powell that appeared in the Wall Street Journal this morning be printed in the Record.
Mr. President, two networks, Viacom/CBS and News Corp. have been operating at almost 40 percent for almost 2 years now due to stay from courts and waivers from the FCC. The Commission also relaxed its cross-ownership rules by permitting combinations of multiple television, radio, and newspaper outlets in more American media markets.
The Commission had limited discretion in its decision-making process. We, however, do not. If Congress is displeased with the results of the Commission's review, it should legislate a solution, not just disapprove of the Commission's actions. Unlike the Commission, Congress consists of elected officials who must consider the views of the American public, not court mandates and statutory directives, when tackling difficult questions like the ones posed here.
The public has strongly voiced its dissatisfaction with the new rules. The Commission received more public comments about its media ownership proceeding than any other proceeding. My office continues to receive numerous letters, phone calls, and e-mails from the public addressing the new rules. As representatives of the public, Congress should take a lead role in examining these rules, and if necessary, crafting new limits.
As William Safire wrote recently in an Op-Ed piece in the New York Times, itself a large owner of several media outlets: ``The effect of the media's march to amalgamation on Americans' freedom of voice is too worrisome to be left to three unelected commissioners. This far- reaching political decision should be made by Congress and the White House, after extensive hearings and fair coverage by too-shy broadcasters, no-local-news cable networks and conflicted newspapers.''
In discussing this resolution, we must also be mindful that its passage would roll back all of the FCC's rules, even those that tightened radio ownership limits. The Telecommunications Act eliminated the national radio ownership cap thereby allowing one company to grow at an unprecedented pace from 40 to more than 1,200 radio stations, including ownership of 6 of the 7 commercial radio stations in Minot, ND. At a hearing before the Commerce Committee, all five FCC Commissioners agreed that the consolidation of radio that has occurred in local markets has been excessive.
This brings me to the issue we must continue to discuss and to which I don't know the answer: How much is too much? In my home State of Arizona, Gannett owns a newspaper and a television station. Is that bad? I have seen no ill effects of it. I have seen no consolidation problems, no collusion between the two, no problem with the citizens of my State receiving correct and accurate and unbiased information. What if Gannett owned two television stations, or three stations or four stations? What is the point, I ask my colleagues--and that requires an incredible amount of knowledge, which I admit I don't possess, as to what the proper degree of media concentration is allowable.
Then you have a difference in markets. Minot, ND--with all due respect to the large population of North Dakota--I think has 27,000 or 37,000 people--higher than that. The valley which I was just describing has over 3 million people. So it is not only a problem of the criterion itself for ownership, it also has a lot to do with large or small populations.
I don't think a small town is going to have five television stations or eight television stations. So should the owner of the television station in Greenwood, MS, be allowed to own the newspaper? Is that control there? That may be excessive. But in Phoenix, AZ, ownership of one television station and a newspaper clearly is not of significant impact.
So this is why it is important that we continue to examine these issues carefully and try to get the best knowledge and information we have.
But I think there is one area of agreement, whether we succeed or whether the proponents of the CRA succeed: There is too much concentration in radio. I know of no credible person who disagrees with that. While it received little credit amid the outcry against the regulations, the FCC attempted to address this problem by prescribing new market definitions designed to tighten the limits on local radio ownership.
This resolution would therefore have the perverse consequence of eliminating efforts taken by the Commission to strengthen its radio ownership rules--a move that surely would be applauded in the corporate offices of large radio station groups that hope to perpetuate their ability to benefit from existing loopholes. Moreover, the resolution would limit the FCC's ability to reinstate its more stringent radio market definition, because the CRA precludes the FCC from adopting rules ``in substantially the same form'' as those that have been disapproved without further direction from Congress.
Finally, the use of the CRA in the present case will create a regulatory void likely to be filled only by uncertainty about the status of the FCC's media ownership rules. The absence of an affirmative Congressional directive will cast considerable doubt on the enforceability of the FCC's previous rules, given that one of the FCC's previous attempts to retain the rules was found by the D.C. Circuit to be arbitrary and capricious, and another was found not to have justified that the rules are ``necessary in the public interest.'' In both cases, the D.C. circuit remanded the rules to the FCC and directed the agency to either articulate a justification for retaining the rules or modify them. The lack of an enforceable FCC order will leave these court orders unanswered, risking additional court action that relaxes the rules even further, or even invalidates them entirely.
Moreover, passage of this resolution would appear to set up the FCC for failure when conducting its next biennial review in 2004. In that proceeding, the FCC will likely have to justify its new rules before a court that has stated that the Telecommunications Act sets in motion a process of deregulation, while remaining mindful of Congress' disapproval of its 2002 Biennial Review. Chairman Powell has stated that the courts placed ``a high hurdle before the Commission for maintaining a given regulation, and made clear that failure to surmount that hurdle, based on a thorough record, must result in the rule's modification or elimination.'' Moreover, the Commission will also be forced to explain how it reached a different conclusion after previously having made extensive findings that undercut the network ownership cap and cross-ownership limits. Whatever action the Commission takes will be ripe for challenge by an unsatisfied party.
These rules have been mired in litigation for too long. If Congress believes that it is appropriate to retain certain ownership restrictions under today's market conditions, then it should pass legislation explicitly stating so. Again, S. 1046 is the appropriate legislative vehicle to achieve this goal.
The Commission did its job by promulgating new rules after completing an intense twenty-month review. During that time the Commission reviewed twelve studies it commissioned to gather empirical evidence on the media industry, and studied over 500,000 public comments to better understand the media marketplace. As Mr. Safire suggested, it is now time for Congress to do its job. Congress has spent the past few months studying the previous rules, digesting the new rules, and holding multiple hearings on this issue. I have come to appreciate the importance of appropriate limits on media ownership. The media has a tremendous impact on the everyday lives of all Americans. By selecting and framing issues and ideas and promoting public discourse, the media facilitate a critical function in our democracy. It is now time for Congress to offer guidance, not simply reject the FCC's rules.
My decision to oppose this resolution has been a difficult one for me, in large part, because I hold the senior senator from North Dakota in such high regard. I commend Senator Dorgan for his leadership in bringing the issue of media ownership to the attention of his colleagues. Earlier this year, he raised the now-famous issue of radio ownership in Minot, ND, in the Senate Commerce Committee. That issue was the catalyst for the Committee's subsequent review of media ownership, which included seven hearings this year. Few, if any, members of the Commerce Committee or the Senate understands the intricacies of this issue better than Senator Dorgan.
Finally, I thank colleagues for their interest and involvement in this issue--especially three colleagues on the Commerce Committee: Senators Wyden, Lott, and Dorgan. They have been incredibly involved in these issues. We have had some of the best hearings I have ever participated in on these issues. I think we have contributed not only to the knowledge of our colleagues but to that of the American people.
I want to commit, no matter how it comes out today, that we will continue to bring the Commissioners before the committee, bring the smartest people we can find before the committee, and move forward in an orderly legislative process. I hope one of the things we can do as early as possible is get consideration of the legislation that we passed through the committee, after careful deliberation and discussion and a very spirited markup.
So I thank my colleagues. I think this is an important part of the debate and, for sure, we will be discussing this issue for a long time.
I ask Members to vote against S.J. Res. 17 but support passage of S. 1046.
I yield the floor.