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Wednesday, December 7, 2016

Behind Closed Doors, Broadcasters Battle Online Disclosure of Political Ad Buys

by Justin Elliott, ProPublica

The Federal Communications Commission is scheduled to vote April 27 on whether to require TV stations to post online public information about political ad buys. Some form of the rule seems likely to pass, but the industry and others are lobbying the FCC to alter the nature of the final rule.

(With the help of readers around the country, ProPublica is collecting stations’ public paper files containing data on political ads and posting them online because the information is generally unavailable elsewhere. See “Free the Files.”)

Right now we only know the broad thrust the proposed FCC rule: That broadcasters would have to electronically send the commission updates to its political file 2014 in other words, information about what political ads are being purchased, by whom, and for how much money 2014 instead of merely maintaining paper files at the stations, the current practice. The information would be made public on an FCC website.

The rule would apply initially to affiliates of the four major networks 2014 ABC, CBS, NBC and FOX 2014 in the top 50 markets. All other stations would have another two years before they’d have to begin filing electronically.

But the FCC won’t release the exact text of the rule until after the panel votes to finalize it later this month. Meanwhile, the wording is subject to change based on input from interested parties.

That’s why the National Association of Broadcasters has been paying visits to key FCC officials this month. A group of influential Republican senators has also told the FCC they oppose the proposed rule.

On April 3 and 10, National Association of Broadcasters President Gordon Smith met officials, including all three FCC commissioners, to make his case against required online disclosure of the public political ad information.

We know about Smith’s closed-door meetings at the FCC because of commission rules requiring prompt public disclosure filings that detail what is said when lobbyists come calling. The filings, which summarize the lobbyists’ pitches, are designed to assure that “FCC decisions are not influenced by impermissible off-the-record communications between decision-makers and others.”

Smith is not just another Washington lobbyist. He’s a former two-term Republican senator from Oregon who sat on the Senate Committee on Commerce, Science and Transportation, which oversees broadcast-related legislation. He was hired less than a year after losing his Senate seat in a close race in 2008, reportedly in part because of “the wow factor” a former senator could offer the NAB.

It’s been a lucrative career change for Smith, who was paid $1.4 million by the NAB in 2010, more than eight times a senator’s salary of $174,000. (Smith, a lawyer and businessman, is used to making millions. His Oregon frozen-food businesses paid him millions of dollars in 2008, according to his final Senate financial disclosure.)

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