US: Bush administration fast-tracks relaxation of media ownership constraints

The plan would repeal a rule prohibiting a single company from both a newspaper and a television or radio station in a single city. Many companies already operate on the basis of exceptions to this rule. It would also relax regulations on the number of television and radio stations that a company can own. Polling indicates that the overwhelming majority of the population opposes greater media consolidation.

FCC chairman Kevin J. Martin announced that he would allow public comment on the rules in mid-November and hold a commission vote December 18. According to an October 19 Associated Press report, agency officials have indicated that the proposal already has the support of three of the FCC’s five-member voting board.

This schedule coincides neatly with the completion of an $8.2 billion buyout of the Tribune Company by Chicago real estate magnate Samuel Zell. Tribune—a conglomerate with annual revenues of $5.5 billion and includes newspapers such as the Los Angeles Times, the Chicago Tribune, and the Baltimore Sun—currently operates on waivers to the cross-ownership rule that would be voided by a sell-off.

The Tribune corporation owns 30 television stations, one radio station, 26 newspapers, 10 magazines, and several publishing companies. Its waivers apply to broadcast properties in the largest cities in the US including New York, Los Angeles, and Chicago. If the FCC board votes to eliminate the cross-ownership ban in December, the Tribune sale could close before the end of the year.

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