Federal Circuits, D.C. Cir. (November 22, 1974)
Docket number: 73-1074
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U.S. Court of Appeals for the D.C. Cir. - Metro-Act of Rochester, Inc., Appellant, v. Federal Communications Commission, Appellee, Rust Communications Group, Inc., Intervenor. Action for a Better Community, Appellant, v. Federal Communications Commission, Appellee, Rust Communications Group, Inc., Intervenor., 670 F.2d 202 (D.C. Cir. 1981) Inc., Appellant, v. Federal Communications Commission, Appellee, Rust Communications Group, Inc., Intervenor. Action for a Better Community, Appellant, v. Federal Communications Commission, Appellee, Rust Communications Group, Inc., Intervenor.
U.S. Court of Appeals for the D.C. Cir. - Los Angeles Women'S Coalition for Better Broadcasting, Appellant, v. Federal Communications Commission, Appellee, Cbs, Inc., Intervenor. Los Angeles Women'S Coalition for Better Broadcasting, Appellant, v. Federal Communications Commission, Appellee, Metromedia, Inc., Intervenor. Los Angeles Women'S Coalition for Better Broadcasting, Appellant, v. Federal Communications Commission, Appellee, Kcop Television, Inc., Intervenor., 584 F.2d 1089 (D.C. Cir. 1978) Appellant, v. Federal Communications Commission, Appellee, Cbs, Inc., Intervenor. Los Angeles Women'S Coalition for Better Broadcasting, Appellant, v. Federal Communications Commission, Appellee, Metromedia, Inc., Intervenor. Los Angeles Women'S Coalition for Better Broadcasting, Appellant, v. Federal Communications Commission, Appellee, Kcop Television, Inc., Intervenor.
U.S. Court of Appeals for the D.C. Cir. - Citizens for Jazz on Wrvr, Inc., Appellant, v. Federal Communications Commission, Appellee, Riverside Broadcasting Co., Inc., Intervenor., 775 F.2d 392 (D.C. Cir. 1985) Inc., Appellant, v. Federal Communications Commission, Appellee, Riverside Broadcasting Co., Inc., Intervenor.
U.S. Court of Appeals for the D.C. Cir. - Washington Association for Television and Children, Appellant, v. Federal Communications Commission, Taft Broadcasting Company, Intervenor. Washington Association for Television and Children, Appellant, v. Federal Communications Commission, Taft Broadcasting Company, Intervenor., 665 F.2d 1264 (D.C. Cir. 1981) Appellant, v. Federal Communications Commission, Taft Broadcasting Company, Intervenor. Washington Association for Television and Children, Appellant, v. Federal Communications Commission, Taft Broadcasting Company, Intervenor.
U.S. Court of Appeals for the D.C. Cir. - Waterway Communications Systems, Inc., Petitioner, v. Federal Communications Commission and United States of America, Respondents, Riverphone, Inc., Intervenor., 851 F.2d 401 (D.C. Cir. 1988) Inc., Petitioner, v. Federal Communications Commission and United States of America, Respondents, Riverphone, Inc., Intervenor.
Charles M. Firestone, Washington, D.C., with whom Albert H. Kramer and Frank W. Lloyd, III, Washington, D.C., were on the brief, for appellant.
Philip V. Permut, Counsel, Federal Communications Commission, with whom John W. Pettit, Gen. Counsel, and Joseph A. Marino, Associate Gen. Counsel, Federal Communications Commission, were on the brief, for appellee. R. Michael Senkowski, Counsel, Federal Communications Commission, also entered an appearance for appellee.Daniel W. Toohey, Washington, D.C., with whom Thomas H. Wall and Richard D. Marks, Washington, D.C., were on the brief, for intervenors.Before TAMM, LEVENTHAL and ROBINSON, Circuit Judges.TAMM, Circuit Judge:This is an appeal pursuant to 47 U.S.C. 402(b)(6) (1970) challenging an order1 of the Federal Communications Commission (hereafter 'the Commission') granting license renewal for stations WBNS-AM, FM, and TV, Columbus, Ohio.2 The basic issue raised is whether the Commission could reasonably find that appellant had not raised substantial and material issues of fact sufficient to demonstrate prima facie that license renewal would contravene the public interest. We hold that the Commission could so find and, accordingly, affirm the Commission's order granting the license renewal application and dismissing appellant's Petition to Deny renewal.I. BACKGROUNDAppellant Columbus Broadcasting Coalition (hereafter 'the Coalition') is composed of individuals residing in the Columbus stations' broadcast area. The Coalition seeks, inter alia, to advance the interests of black residents of Columbus. The Coalition here challenges the granting of three separate license renewal applications,3 timely filed by licensees on July 1, 1970. On August 31, 1970, the Coalition, pursuant to Commission rules, 47 C.F.R. 1.580(i) (1970), filed a petition to deny the license renewal applications. The Coalition sought a hearing to examine licensees' ascertainment efforts, alleged monopolistic practices, employment practices, and programming performance.4 After several extensions of time were granted to both sides and numerous oppositions and replies thereto had been filed,5 the Commission agreed to consider the matter upon all submitted papers.6On January 3, 1973, the Commission issued its Decision and Order, granting the license renewal applications and denying appellant's petition to deny the renewal. The Commission concluded, after a full consideration of all the pleadings, that the Coalition had raised no substantial or material issues of fact which established a prima facie case for denial, and thus no evidentiary hearing was required. Additionally, the Commission found that the grant of these renewal applications would serve the public interest, convenience and necessity.7The Coalition now brings this appeal, asserting that it raised substantial and material issues of fact requiring a hearing, and the Commission erred in not granting such a hearing. In particular, appellant submits that substantial and material issues of fact exist as to the following matters: (a) that renewal of the licenses would lead to excessive concentration in control of 'mass media' in Columbus;(b) that renewal of the FM license does not serve the public interest in that 1) WBNS-FM's past programming performance varied from its prior promised programming; 2) WBNS-FM's past programming did not meet the needs of the black community; 3) WBNS FM's proposals for future programming are unsatisfactory; (c) that the licensees discriminated in employment.Additionally, appellant argues that the Commission failed to give its allegations a 'hard look.'8II. THE STANDARD OF REVIEWBefore discussing each of appellant's alleged errors, we must focus on section 309(d) of the Communications Act of 1934,9 which governs Commission conduct in the area of broadcast license applications. In a thorough opinion which analyzed section 309(d), we said recently:The legislative history accompanying the 1960 amendment of Section 309(d) indicates Congress' intent that petitions to deny filed under the amended Section 309(d) should make a substantially stronger showing of greater probative value than is now necessary in the case of a post grant (of initial license) protest. The allegation of ultimate, conclusionary facts or more general allegations on information and belief, supported by general affidavits, as is now possible with protests, are not sufficient. In the event, then, that a petition to deny does not make substantial and specific allegations of fact which, if true, would indicate that a grant of the application would be prima facie inconsistent with the public interest, the petition may be denied without hearing on the basis of a concise statement of the Commission's reasons for denial. While this court in West Michigan Telecasters, Inc. v. FCC (130 U.S.App.D.C. 39, 396 F.2d 688) remanded a decision of the Commission in order that the FCC might either state with particularity the reasons for its grant of a broadcast application or hold a hearing, we recognized: Admittedly, the scope of our review is quite narrow; we defer to the expertise and experience of the Commission within its field of specialty and would reverse only where the Commission's position is arbitrary, capricious or unreasonable . . . and it is clear that the decision of when hearings are necessary or desirable to clarify issues is one which lies in the first instance with the Commission.Stone v. FCC, 151 U.S.App.D.C. 145, 151, 466 F.2d 316, 322 (1972) We also reiterate our words in Stone, that a hearing is not required to resolve undisputed facts.10 Further, if the question is not of facts but of 'inferences to be drawn from facts already known and the legal conclusions to be derived from these facts;'11 no hearing is required. To summarize, the decision of whether or not hearings are necessary or desirable is a matter in which the Commission's discretion and expertise is paramount. We must examine the Commission's statement of reasons for denial, and if the Commission's action was not arbitrary, capricious or unreasonable, we must affirm.12III. APPELLANT'S SPECIFIC OBJECTIONSA. Concentration of ControlWe now turn to the Coalition's specific allegations of error. The Coalition asserts that the Commission improperly refused to consider allegations of undue concentration of control of mass media in the Columbus area. Appellant points out that the licensees' principals own not only the three WBNS stations, but also the Dispatch Publishing Co., publishers of two daily newspapers and a Sunday newspaper in Columbus. The Commission has elected to deal with the problem of concentration of media control via rulemaking. In First Report and Order, Multiple Ownership of Standard, FM and TV Broadcast Stations,13 22 F.C.C.2d 306 (1970), the Commission held that ownership of more than one unlimited time broadcast facility in a single market was contrary to the public interest. Rules were promulgated to prohibit common ownership or control of both a television station and a radio station or both an AM and a FM station.14 In order to prevent potentially disruptive divestitures under the new rules, the Commission 'grandfathered' all existing multiple license holders. First Report and Order, supra, 22 F.C.C.2d at 323. At the same time, the Commission initiated a further rulemaking to examine questions of divestiture by present multiple licensees and whether ownership of broadcast facilities by newspapers should be prohibited. Further Notice of Proposed Rule Making, Multiple Ownership of Standard, FM and TV Broadcast Stations, 22 F.C.C.2d 339 (1970). During the pendency of this rulemaking the Commission has refused to consider questions of concentration of control unless specific abuses are shown. This court has approved the policy. Stone v. FCC, supra at 331; Hale v. FCC, 138 U.S.App.D.C. 125, 129, 425 F.2d 556, 560 (1970).The Coalition now submits that the Commission has abused its discretion because it has not been diligent in concluding the proposed rulemaking for over 4 years, and thus should no longer be allowed to refuse to consider concentration of control questions. In the alternative, the Coalition submits that they have pled facts sufficient to show specific abuses by licensees, thus entitling them, under Stone and Hale, to a hearing despite the pendency of the proposed rulemaking.While four years might be characterized as an excessive period for a rulemaking, we realize that concentration of control is an extremely complex question. The Coalition does not allege bad faith or purposefully dilatory proceedings by the Commission. If we are to encourage the Commission to proceed by rulemaking for basic policy changes,15 we must necessarily be patient. We are not, at this time, prepared to say that the Commission has acted improperly by not terminating the rulemaking proceeding and announcing its new rules before now. We, of course, encourage the Commission to act expeditiously in this rulemaking, and reserve the question of at what point a continuing failure to act could be the basis for a different conclusion. It is enough that for now we see no abuse. Further, the harshness of the general refusal to review concentration questions in licensing proceedings is mitigated to an extent by the exception, recognized in both Hale and Stone, that a hearing will be required if specific abuse of multiple ownership can be alleged.With respect to the Coalition's allegations of specific anticompetitive practices by the licensees, we think that the Commission was correct in deciding that appellant failed to raise substantial questions of abuse by the licensees' principals. The Coalition alleged that the Dispatch favored WBNS in its television listings. Further, it was alleged that the Dispatch had caused a competing TV channel's advertisements to be deleted in retribution for the competing channel's broadcast of a program critical of the Dispatch. Licensees in rebuttal submitted an affidavit of the executive editor of the Dispatch stating that the change in advertising format was made solely for journalistic reasons, and that his decision to change was made several weeks prior to the program critical of the Dispatch. We believe that the Commission acted properly when it ruled that the Coalition's allegations, without specific factual support were not sufficient to require a hearing.The other major issue relating to abuse of media control by licensees concerns WBNS-TV's reaction to a program broadcast over WBNS in 1967 during which theHousing Director of the Urban League purportedly criticized licensees' principals for attempting to block the formation of a new minority owned bank. The Coalition alleged that, after broadcast, licensees attempted to force the Urban League to pay for the program, although it was normally carried on a sustaining basis. Further, the Coalition alleged that licensees forced the resignation of the Housing Director. Licensees submitted a statement from the Urban League that payment was never demanded. The Executive Director of the Urban League stated positively that the resignation of the Housing Director was not caused by any action on the part of the licensees. We again agree with the Commission that the Coalition failed to submit specific facts which demonstrated an abuse by the licensees' principals of their joint ownership of the Dispatch and the various broadcast facilities.B. ProgrammingNext, the Coalition urges that the Commission erred by not granting a hearing on substantial and material issues concerning whether the grant of the renewal application would be prima facie inconsistent with the public interest. These issues center around WBNS-FM, and concern its programming, past and proposed.As we have held in prior cases, a renewal applicant must literally 'run on his record' in demonstrating that his past programming performance has been responsive to the needs of his broadcast area. Office of Communication of United Church of Christ v. FCC, 123 U.S.App.D.C. 328, 341, 359 F.2d 994, 1007 (1966). However, there remains tension between allowing private broadcasting to develop with wide journalistic freedom, on the one hand, and the restriction on this freedom which inheres in the broadcaster's statutory duty to serve the public interest, on the other. See Columbia Broadcasting System, Inc. v. Democratic Nat'l Committee, 412 U.S. 94, 110, 93 S.Ct. 2080, 36 L.Ed.2d 772 (1973); Stone v. FCC, 151 U.S.App.D.C. 145, 157-158, 466 F.2d 316, 328-329 (1972). The licensee is accorded considerable discretion in programming choice, so long as it meets the needs of the community. Columbia Broadcasting System, supra. Petitioners to deny, such as the Coalition, must plead facts with specificity which will show that an existing licensee's programming has not met the needs of the community. Stone, supra at 329.As to programming, the Coalition asserts, first, that sufficient evidence was produced to require a hearing on whether WBNS-FM's past programming performance varied substantially from its prior representations before the Commission.16 This can, of course, be grounds for denial of a renewal application. FCC v. WOKO, Inc., 329 U.S. 223, 227, 67 S.Ct. 213, 91 L.Ed. 204 (1946); Brandywine-Main Line Radio, Inc. v. FCC, 153 U.S.App.D.C. 305, 473 F.2d 16 (1972), cert. denied,Try vLex for FREE for 3 days
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