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should radically reorientshould radically digital-firsttoward local news, and they how could do it Why public radio and television stations Why and television radio public stations ADAM RAGUSEA ADAM TOWERS THE TOPPLE

knightfoundation.org | @knightfdn 22 / 2 THE CASE FOR LOCAL FOR CASE THE THE CASE AGAINST BROADCASTING AGAINST CASE THE TRANSFORMATION FOR OPTION IMPRACTICAL PROBABLY AND A RADICAL, TRANSFORMATION FOR IDEAS REALISTIC MORE SOME RAISING THE BAR VS. FILLING THE GAPS THE FILLING VS. BAR THE RAISING INTRODUCTION CONTENTS 9 3 4 15 19 11

TOPPLE THE TOWERS | Contents knightfoundation.org | @knightfdn 22 / 3 in ProPublica some more practical, incremental approaches toward change. toward approaches incremental practical, more some every city, made economically feasible by government subsidies. government by feasible economically made city, every I will argue thisIn paper, why such a system would best achieve the goal of meeting the information needs of all Americans. I’ll also game out a radical convert fully could stations television or radio public which by proposal themselves local into news organizations for the digital age, and also explore People will come up with good many answers, but mine: here’s I would want widely-dispersed nonprofit, a be user-supported of to system media public and service public in specializing organizations news local publishing primarily online, primarily in text — in other words, a The current system serves millions of people with remarkable programming, but is also a holdover from a very different time, both in terms of its organizational structure and its mission. On the occasion of the Public Broadcasting Act’s 50th anniversary, it would be worthwhile for everyone in the public media community ask to themselves: What would I publicwant media be to if started we itover from scratch? Would it be network of television and radio stations primarily that function as local pass-throughs for national news, cultural and entertainment services available which duplicates arguably programming, already of much in the commercial market? I doubt it. that thethat educational stations and networks never formed; the that Public Broadcasting Act never of 1967 passed; NPR, that PBS and all of their hundreds of member stations never existed. in Now imagine this that year, there was a sudden,2017, of interest national wave in creating a new media like? look system a such would What dollars. taxpayer by subsidized system INTRODUCTION Imagine public that broadcasting never happened in the United States —

TOPPLE THE TOWERS | Introduction knightfoundation.org | @knightfdn 22 / 4

to which . At the. At time, she , a from the public media The Pub unit, which covers race and identity. She . Most episodes consist ofessays on matters of Code Switch Current , represents one of the fastest-growingand most exciting I interviewed her on The Pub in the summer of 2016 ProPublica media, while matters of race and identity do not receive ample coverage, particularly as covered outlets people by Many of do color. finework in this area, but there are command few that the massaudience enjoys, NPR that and it is therefore role NPR’s fill to gap that leftby non-subsidized media. To the latter criticism,To she responded sarcastically, wonder“I if these are the same people who read the sports section ‘Why and say, is everything in here about a game was that played, or box scores?’” extend Montgomery’sTo argument, sports least — at certain sports, from non-subsidized —receive coverage men ample by played generally was leading NPR’s made the remark in response common to criticisms of I invited her respond: to it that only covers race from the perspective of people it that makes every issue of color, an issue into about race, etc. as today.) categories media “NPR is here talk to about the points of view are that not getting a platform,” is editor how NPR Alicia Montgomery articulated one aspect of “fill the gaps” when the non-subsidized market fails to offer in sufficient measure. (Note: I refer refer I (Note: measure. sufficient in offer to fails non-subsidized market the “non-subsidized” as media other most and “subsidized” as media public to because the latter category encompasses both for-profit media and nonprofit media is that not subsidizedby government in any significant way other than through its tax exemptions. Unsubsidized nonprofit media, such In all ofIn those conversations, I’ve noticed there seem be to two distinct media. public of mandate essential the about peers my among philosophies I will call these two philosophies the “fill-the-gaps and mandate,” the “raise- the-bar mandate.” “Fill the gaps” asserts public that media exists offer to important things that three I’ve hosted and produced publication, trade interest the to public media community, and also of interviews, usually with professionals. media public former or current VS. FILLING THE GAPS THE FILLING VS. I’ve worked in or around public media for the past years, 12 and for the last I. RAISINGBAR THE

TOPPLE THE TOWERS | I. Raising the bar vs. filling the gaps knightfoundation.org | @knightfdn 22 / 5 , who by Eric by Nuzum as being distinct from . It is in serving. It on the children’s cable The Pub The Pub argued on , “we deal with such things as the inner Dora the Explorer Explorer the Dora and Mister Rogers’ Neighborhood Rogers’ Mister her 2015 appearance on Blues’ Clues Clues Blues’ Mister Rogers’ Neighborhood Rogers’ Mister was in his final NPR’s as vicedays president for programming when he spoke meto in the spring of 2015. he began Soon his after, current job as head commercial, subscription-based a service. Audible, at content original of The original mission of public media, Nuzum argued, was not necessarily beto free, or provide to categories of service not found in the commercial fields of the arts that commercial media neglects, and—most media commercial arts the that of significantly fields for the purposes of this paper—intelligent local news and public affairs programming. media’s public of philosophy bar” the “raise the gaps, the filling to contrast In strongly was purpose fundamental Other examples of public media trying fills to gaps leftby unsubsidized geographically-comprehensive emergency abound: broadcasting, media specialized information services for farmers and fishers, community announcements for rural and tribal areas, cultural programming on It shouldIt also be mentioned even that if Nickelodeon offered more shows for whose children to available be only still would preschoolers, programs those parents are able afford to cable or streaming services. Publictelevision, in contrast, continues be to available the for to free, overwhelming over the air, American households. of majority “At PBS, thinking we’re “At about kids between the ages of two and eight. Cable channels run age and that slightly older; they’re thinking about kids six-plus,” said Simensky, who herself Nickelodeon worked at before coming public to broadcasting. network Nickelodeon. commercialHowever, television still lags in offering such programming for the youngest viewers, said PBS Vice President for Children’s Programming SimenskyLinda in preschoolers where PBS Kids continues try to fill to a gap, she said. In the years since Rogers offered that testimony, commercial children’s children’s commercial testimony, that offered Rogers since years the In by articulated criticism producers—partially the to response television in Rogers and also the popularity of his show and others on public television — children’s developmentally-beneficial and moreeducational offering began shows, such as On drama of childhood. bop to don’t somebody have We over the head [...] drama make to on the screen,” Rogers said. “I think it’s that much more dramatic two that men could be working out their feelings of anger —much gunfire.” of something showing than — dramatic more public television children’s programming. Fred Rogers, in his now-legendary his Rogers, in programming. Fred children’s television public testimony1969 before the U.S. Senate Subcommittee on Communications, crystalized how he saw popular commercial TV shows watched children by the at time: Anotherclassic example of public media working fill to gaps can be seen in

TOPPLE THE TOWERS | I. Raising the bar vs. filling the gaps knightfoundation.org | @knightfdn 22 / 6 Ask is the the is , both of which is the best. There are lots Pop Culture Pop Happy Hour Pop CulturePop Happy Hour AskMe Another and such such as and or holes in the marketplace. The first and lastauthority on American mandate publicis the Public media’s Broadcasting Act itself, and it endorses both “raise the bar” and “fill the gaps” — conveniently in the same sentence: is in the “It public interest encourage to of acceptability — which is what keeps commercial TV from climbing the staircase.” Upon signing the Act, President Johnson Lyndon spoke of America’s “appetite for excellence” and public broadcasting’s charge bring to forth “the best in broadcasting,” and spoke not a single word about underserved communities Nuzum himself, in points arguing letter a 1966 to of “raise in favor the bar,” Television, Commission Educational Carnegie on the E.B. to White author by eventually that recommendations made research and conducted which formed the basis of the Public Broadcasting Act. White wrote, “Non- commercial TV should address itself the to ideal of excellence, not the idea television for being bad. While Minow’s remarks nothing had directly to do with public broadcasting, his phrase “vast wasteland” was a rallying cry of those successfully who, just a few years later, advocated for the Public Broadcasting which created Act the of 1967, Corporation for Public Broadcasting. Kennedy-era FCC chairman Newton Minow’s famous 1961 speech the to National Association of Broadcasters, in which he characterized commercial television as a “vast wasteland,” did not indicttelevision for shutting out marginalized voices or for failing serve to a wide array of needs; it indicted Nuzum’s overtNuzum’s competitiveness might sound heretical some to in public broadcasting, and more broadly political to conservatives, who often argue compete not should — entities government-subsidized or — government that support in find does “raise-the-bar the But mandate” enterprise. private with the foundational texts of American public broadcasting. “There are lots of trivia podcasts; of podcasts talk that about pop culture, and best. hit to I want mark, that and I don’t a competitor want hit to mark,” that he said. would aspire to be bigger.” be to aspire would adherenceNuzum’s the to “raise-the-bar is mandate” evidenced in his legacy NPR,at where he oversawdevelopment and launch of the quiz show Me Another duplicated services available in the non-subsidized market. “Its actual mission was to be better. To climb the ladder. To be things that To climb the“Its actual ladder. mission was be to better. were extraordinary,” Nuzum said. “Because it was founded people by who to going was television that — worried legitimately — worried really were dumb down the American public, and there would not be things of quality that marketplace.

TOPPLE THE TOWERS | I. Raising the bar vs. filling the gaps knightfoundation.org | @knightfdn 22 / 7 . Pop In my The Weeds Weeds The in reference to New York Times York New The Pub, Culture Gabfest. , is significantly outmatched in is very good, I think Vox’s Up First Love it it, or hate Love truckers they can’t stop say : “ .”) Current is very good, but so is Slate’s — are really much that better than their commercial , a direct competitor from the for-profit NPR Politics Podcast The PBS Newshour today, be it on terrestrial/cabletoday, TV or in on-demand video. debatable It’s whether public TV’s national news and information offerings — such as the counterparts. Local news and public affairs shows on many public TV stations easily outmatch the perpetually dismal quality of commercial local — a comparable commercial product — is just as good. Likewise, NPR’s Culture Happy Hour opinion, daily NPR’s news podcast, quality by On the television side of public media, “raise the bar” is much less relevant longer the case,” said Nuzum in his appearance on as such programming, audio internet-based of forms other and podcasting the content he now offersat Audible. Indeed, while the they are unencumbered the by huge economic barriers entry to present in and licenses broadcast commercial costs of the as such radio, commercial facilities. tower “Part of the public radio value equation has been it that was a very unique island in a sea of mediocrity and other audio entertainment. That is no different on the internet, where commercial and noncommercial players are are noncommercial players and where commercial internet, the on different on more equal footing. Commercial and other non-subsidized entities in recent have, years, made where market, podcast burgeoning the to contributions creative enormous Public media’s nearPublic monopoly media’s on quality in the realm of terrestrial radio is partly a function of economics: there simply isn’t much that money in radio anymore, so the only broadcasters can that still afford quality are nonprofits, which generally lower fixed have costs and more diverse income streams than their commercial counterparts. the situation is dramatically However, conservative public radio listeners who continue be to devotees, despite what they perceive be to public liberal radio’s slant, because they think there simply isn’t anything else smart on the dial. (Also, see WHYY reporter Alan August articleYu’s in radio public to listening for public media, should public media get exist to for another 50 years. I’ll concede “raise that the bar” remains relevant on terrestrial radio, where there are few sources of high-quality commercial programming. That is, of course, a highly subjective assessment, but I feel all the more confident in it based on the correspondences I’ve maintained in recent years with politically addresses the needs of unserved and underserved audiences, particularly underserved particularly audiences, and unserved of needs the addresses minorities.” and children As approach we the Act’s 50th anniversary, it seems clear me to filling that the gaps will be a more relevant — and more politically viable — core mission the development of programming that involves creative risks and that that and risks creative involves that programming of development the

TOPPLE THE TOWERS | I. Raising the bar vs. filling the gaps knightfoundation.org | @knightfdn 22 / 8 in a March The Pub Howard Husock on , as Congress considered a budget Congress as budget considered, a t Washington Pos Washington . “The Golden Age of American original drama, which public television television public which drama, American original “The of . Age Golden that is local journalism.” local is that he has demonstrated one, big soft spot. As he put it me to in 2015 when the “If relevance, ongoing media’s public question the of contemplating then non-subsidized media], [by filled being role is every that were answer it’s plausible think to about, ‘Should public broadcasting go I happen on?’ not thinkto that’s the that case when it comes a cause to that’s near and dear to heartmy — and I know is that very important the to Corporation — and today audiences the in private ways market can’t. Otherwise, the budget system’s will deserve be to zeroed out.” imagine we Husock that If is the kind of person advocates for public media will need persuade to in the inevitable funding battlesto come, “[P]ublic media looks today far too much a niche like programming service for a left-leaning, upmarket urban constituency,” Husock wrote in 2017 piece for the CPB’s the eliminating for called that administration Trump from the proposal funding. “Public media must demonstrate it that can serve truly diverse advocating for the elimination of federal funding for the Corporation for for Corporation the for funding federal of elimination the for advocating Public Broadcasting — a stance would that appear incongruous with his the board CPB role is a partisan as However, board a CPB member. body by and Husocklaw, is a Republican who sees his role on the board as of an that not a booster. overseer, originally contemplated supporting seeing — we’re an incredible flowering of appropriate it’s context, that think, in I marketplace. commercial the in that for public media think to about what roles are not being filled.” controversial most the of one become has Husock conversation, our Since figures might(some hated) say in public media for his series of op-eds from foreign —mainly British — sources. “I do think the world has changed dramatically since the advent of public member board CPB said broadcasting,” 2015 some time in this “Golden whichAge of Television,” critics contend began in the 1990s or late early 2000s. Cable, network, and streaming services are all high-qualityoffering stunningly and programs,comedic scripted dramatic creative the outmatch easily that “prestige television,” called sometimes achievements scripted of any public television shows, with the possible imports simply television public American that programs those of exception almost pointless. Only a handful of public television stations, most of them in the largest markets, offer a 30-minute or longer daily local news program. When it comes public to television’s cultural and entertainment programming, “raise the bar” is almost totally irrelevant, and has been for TV news, but the difference in scale between the two renders the comparison

TOPPLE THE TOWERS | I. Raising the bar vs. filling the gaps knightfoundation.org | @knightfdn 22 / 9

. The Reconstruction of American American of The Reconstruction its September, 2009 report 2009 September, its Local Journalism Center project announced in Columbia Journalism Review ” for . Nearly a decade later, we are we not yet inNearly a post-newspaper a decade later, world, but we do seem headed in direction. that Between 2005 and 2015, the number of nearly industry plummeted newspaper America’s in reporters editors and 40 percent, from 66,490 25,090, to according the to Bureau of Labor corresponding a been has there time, same the at Granted, Statistics. increase in employment digital-native new, at news organizations. However have historicallyhave led on the substantive way local journalism, and in the bleak of 2009, advocates for strong local reporting were contemplating a post- newspaper world and asking themselves who could pick up the torch. Public candidate. logical a seemed media media system, such as its its as such system, media 2010 not a coincidenceIt’s both that of these reports came similar to conclusions about public media in the same year: 2009 was a year of particular carnage for the newspaper industry, following the 2008 financial crisis. Newspapers money, and requiremoney, stations report to publicly the to on CPB their progress in reaching specified goals.” didCPB not heed recommendation, that though it did launch a number of initiatives aimed building at up local journalism muscle across the public “Public radio and television should be substantially reoriented to provide provide to reoriented substantially be should television and radio “Public significant local news reporting in every community servedby public stations and their sites,” Web they wrote, and they proposed a specific policy change accomplishto goal: that “The should CPB requirea minimum amount of local news reporting every by public radio and television station receiving CPB enhancing the performance of public broadcasting in local news.” journalism scholars months later, Leonard and MichaelTwo Downie, Jr. Schudson echoed point that in their report “ Journalism “Public stations a strong do not have recordof spearheading local investigative journalism, and most public radio broadcasters little have or no local news reporting wrote staff,” the Knight Commission on theInformation Needs of Communities in a Democracy, in (though the same could been have said of public television). is important “It now for public policy in the digital a more play age to determined role in In 2009,In there was a flurry of conversation about the need for public media bolsterto its local reporting capacity. II. LOCAL FOR CASE THE

TOPPLE THE TOWERS | II. The case for local knightfoundation.org | @knightfdn 22 / 10 that a 2016 analysis . , he laid out a case for public media The Pub or ‘public as media’ it prefers be to called in the digital Columbia Journalism Review — by University by of Pennsylvania doctoral candidate Alex T. 2015 article forthe conservative journal National Affairs was not originally conceived primarily be to a provider of journalism, — from his same conservative ideological viewpoint come to the to same conclusion. effectively to However, fill the local journalism gap as Husock suggests, not be it may enough simply to shift from away other types of programming — thenational news, the cultural and entertainment shows, etc. Public media need may shift to from away broadcasting itself. sharply in direction, that as local stations across the country become have alive the to fact listeners that will both tune in and provide financial support for newsroom operations whose work fills a role others arevacating.” I think Husock is right, and I don’t think one needs approach to this issue “A nationwide network “A of some 364 television stations and 1,048 radio state every in present and licensees independent by managed most stations, and major city, would seem an obvious like candidate fill to the coverage gap. Public broadcasting era but it has, especially through local public radio, already begun move to In Husock’sIn on conversation our occasioned shifting more of its resources toward filling the gap in local journalism being industry: newspaper the of contraction ongoing and dramatic the left by and Los Angeles actually grew,while it stayed about the same inNew York mostCity. Relatedly, digital news outlets are located in these major markets. Asa result, citizens outside of these areas fewer reporters likely have acting as local watchdogs and the media system is becoming increasingly coastalconcentrated in cities,” Williams wrote. contraction) and geographically concentrated, according to to according concentrated, geographically and contraction) of the data available Williams published in “Between 2004 and 2014, the number of news reporters in Washington, DC, that growththat has been both modest (relative the to scale of the newspaper

TOPPLE THE TOWERS | II. The case for local knightfoundation.org | @knightfdn 22 / 11 , which spends about three quarters of its $1.7 is good. has more It impact journalistically than many Voice of SanVoice Diego Voice of SanVoice Diego investigative stories his staff such has exposé brokenas an this year, on San regionalDiego’s planning and transportation agency led that a formal to director. longtime its of resignation the and investigation “I KPBS,” love Lewis wrote of San public Diego’s radio and television station, journalistic in nature a digital-native, — to online-only local news nonprofit, as such million budget on content, according its to and editor CEO Scott Lewis. “ entities much larger than it,” Lewis wrote me, to pointing several to major sales reps bring to in the money for all pays that of the above. Broadcasting is expensive. Compare — a gold-standard OPB public media organization nonetheless that spends less than a quarter of its budget on local content, only some of it However, when looking overall OPB’s expenditures,However, at million the spent $7.2 on local content is dwarfed the by $25 million spent on everything else. This is big need You expensive. incredibly is broadcasting because surprising, hardly highly-skilled to people towers, and centers control master studios, buildings, operate and maintain all those facilities and a leadership administer team to underwriting and fundraisers of army an need And,them. course, you of content accounted for 65 percent of the organization’s $11.2 million fiscal year 2017 content expenditures, compared with just 35 percent spent on acquiring national content. That’s very impressive in a system where there are still small stations spend that virtually nothing on local content. and efforts, most of which are still dedicatedto the old mission of locally content. national broadcasting media public the of jewel considered widely a is Broadcasting Oregon Public system and produces a relative bounty of local programming for its radio, television and online platforms. According figures to sharedby OPB, local stations in particular —have significantly stepped up their local journalism game in recent years, both in a deliberate effortto fill the gaps being leftby their local papers and also justify to their ongoing existence as users are able get to national content via local the content internet. continues However, representto a small portion of a typical overall station’s expenditures BROADCASTING radio public — organizations media public local correct that is Husock III. THE CASE AGAINST

TOPPLE THE TOWERS | III. The case against broadcasting knightfoundation.org | @knightfdn 22 / 12

The reports ] every day. When] every they day. The York New . Globe survey results published Septembersurvey in Things All or ’s Sacha Pfeiffer said to me when we worked together together worked we when me to Pfeiffer said Sacha ’s ’s celebrated’s Spotlight investigative would team be (she later , which no had reservations about breaking a story for which Globe Boston Globe Boston

The by the Pew Research Center. The theby Research Pew number Center. of people getting their news from online sources is closing in fast 43 at percent, but those sources are in ground hold stations radio and television while counting, beyond numerous a landscape where property is finite. Simply having a spot on the dial draws audience simply that in a way having an internet address does not. from selectively targeting the main force of their effortsto those few stories where they can the make biggest impact. Broadcasting, of course, has its merits — reach being the most obvious. Half of Americans they say often get their news via television and a quarter of them get it via radio, according to Indeed, a vast amount of time and energy goes into making broadcast broadcast making energy into goes and time of amount vast a Indeed, journalism look and/or sound beautiful and compelling—so much so the that time spent acquiring information worth broadcasting can feel a drop like in the the bucket. titanic Moreover, and ceaseless effort involved in filling out an entire programming can prevent day broadcast news organizations played by Rachel by played McAdams in the 2015 movie of the and same radio name), reporting she said, seemed resemble to her, to “arts and crafts” as much as it did the kind of investigative print journalism she was used doing. to was It evident me to Pfeiffer that also greathad andlove respect for public radio, but she did eventually go back the to This distinction between broadcast and text news brings mind to something that WBUR. Boston’s at the At time, Pfiefferhad recently come to publicradio from the that onethat reason NBC News editors rejected journalist Ronan Farrow’s October exposé on the alleged sexual misconduct of movie producer Harvey Weinstein was their concern Farrow that would be unable get to of any accusersWeinstein’s appear to on camera. Farrow took his scoop to Yorker New there were not strong any visuals. narratives. contrast, In what makes some of the best text-based journalism is simply finding important information thethat public doesn’tyet possess and writing it up as briefly and plainly as possible. For a timely non-public (albeit media) example, I will join Lewis in acknowledging the finework producedby KPBS journalists, production observes broadcasting the he about bottleneck what however is quite consistent with experience my as a public radio reporter and as speaking, Generally what industry. media public the covering journalist a makes good radio or TV is finding strong scenes, colorful characters, striking sounds and/or visuals, and painstakingly weaving them absorbing into vastly larger organization. “KPBS has skilled reporters but it seems like gomany a long time without doing one of the two or three local stories they squeeze in [ do, they’re forced do to web, TV and audio and it seems a real like bottleneck.” but he argued it has “trouble everowning major stories” despite being a

TOPPLE THE TOWERS | III. The case against broadcasting knightfoundation.org | @knightfdn 22 / 13 Voice of The Texas and in its own annual content ProPublica , a nonprofit newsroom is that inewsource , or were reported by , those pieces look that the most journalistically significantwere indicate donors that are for eager investigative pay to journalism; Or perhaps not, and perhaps it wouldn’t matterbecause anyway, online-only, journalism. broadcast produce than to cheaper far is journalism text-based ought stations broadcasting public local that organizations news the Perhaps becometo in order best to serve their communities are, as a bonus, simply However, were a public stationHowever, abandon to its traditional broadcast services, new revenue doors might open while others closed. The fundraising successes of such digital-native nonprofits as Tribune perhaps if were OPB able even devote more to of its organizational heft to such work than it already does, more donations would follow. content. at contribution, positive a “makes content national broadcasting and Buying leastfor the foreseeable future,” Bass wrote. audience reach, is the ability use to reach that money make to — via underwriting and membership drives — and therefore to be able afford to more make to content. The role stations that in play locally broadcasting content from national networks be sliding may slowly technological into that broadcasting by make stations that money the but obsolescence, programming is, a great to extent, what allows them produce to local but also we get much more revenue from our distribution of broadcast programming than spend,” we wrote Steve CEO Bass OPB when I asked him contemplateto giving up broadcasting entirely. Indeed, the other chief virtue of being a radio and/or TV station, beyond public organization would save massively on overhead, the commercial commercial the overhead, on massively save would organization public would that stories get would viewers and free content, get would stations likely be more substantive than what they usually see on the news. 11 o’clock wins, right? Everyone “Sure, on some save costs we’d without the broadcast infrastructure, public and commercial stations, but considering how slim local public TV news offerings are in most markets, it’s reasonable to assume that most respondents meant commercial. What if a local public television organization, instead of throwing money its into own TV station, made video packages and simply handed them theto local commercial stations? The either done in collaboration with text-based news orgs, such as San Diego otherwise independent. is KPBS but by housed physically According same that to report, Pew 37 percent of Americans still often get their news from local TV news. The survey did not distinguish between maximize their reach partnering by with traditional broadcast outlets, without audiences broadcast with audiences online their supplementing thehaving pay astounding to overhead costs of maintaining their own stations. Of the local journalism KPBS that touts reports However, internet-native news nonprofitsHowever, proven have their ability to

TOPPLE THE TOWERS | III. The case against broadcasting knightfoundation.org | @knightfdn 22 / 14 ’s Scott Voice of SanVoice Diego selling what, for most of them, is likely the most valuable thing they own: their licenses. broadcast “What people don’t realize is how cheap it would be run to something this. like Compared a normal to museum or opera house or symphony, $4–5 million is LewisNOTHING,” wrote. Beyond the savings involved, giving up on broadcasting could also present by funds significant one-time raise a opportunity with to stations public $2 million annually of $100 an average Add at per in major member. gifts and revenue events live sponsorships, philanthropy, institutional and merchandising, and Lewis is confident thethat rest of the money could be subsidy. government possibility the of in factoring even without — found Lewis laid out an elaborate hypothetical for what an optimal digital local news nonprofit might look a newsroom like: 25 of reporters and editors plus some additional support staff, all of which might cost about $4 million annually, in his reckoning. This fantasy organization, he estimated, should be able to contributing jointly people, 20,000 of base member contributing a build Lewis argued me. to “Effective local newsrooms should not be bigger than25 journalists,” Lewis wrote. “I believe giant newsrooms, for a few major save entities, actually lose significant productivity when they cross this line.” less expensive operate. to That is precisely what

TOPPLE THE TOWERS | III. The case against broadcasting knightfoundation.org | @knightfdn 22 / 15 . ,

The Pub ProPublica Columbia Columbia As I wrote in , that sounds, that “a sensible like expenditure, in May I spoke Rhode to Island PBS President Piccerelli David on expendable broadcast license in an electromagnetically crowded part of the country where wireless companies were starving for spectrum. But all public radio and television stations are sitting on licenses theythat could theoretically sell in order help to fund their transition a local into spot, and without broadcasting another minute of television. What can you do with $4.7 According million? Scott to Lewis,you can run a digital-only newsroom with journalists, 25 and still sock for a year when $700,000 away average. performs below endowment the Rhode Island PBS is an extreme example. was lucky It enough an have to The back-of-the-envelope math generally used by people in the nonprofit nonprofit the in people by used generally math back-of-the-envelope The in value their of percent five yield, average, on endowments that is world spendable Rhode If Island cash PBS every put year. its $94.5 million into an endowment, it could make, on average, $4.7 million a year in perpetuity, underwriting another selling without pledge drive, another running without accomplishing the VHF to UHF move and paying for expensive broadcast facility upgrades they’d that been putting off. Journalism Review assuming the intention is for Rhode Island PBS go to on being a television station. There’s no reason as that take to a given.” million. When he said he and his board planned put to most of the astounding sum they earnedhad in the sale an endowment, into but also spend to some of it almost $20 billion buying up electromagnetic spectrum occupied by by occupied spectrum electromagnetic up buying billion $20 almost television channels in a first-of-its-kind reverseauction runby theFCC. About $2 billion went of for that noncommercial station spectrum, and of that, $94.5 million Rhode went to Island PBS in exchange for channel a UHF that the station will simply be put able amount that the move into to VHF band. To of money in context, the annual budget of Rhode Island PBS is only about $3 TRANSFORMATION spent T-Mobile Comcast and wireless as such carriers year, this Earlier PROBABLY IMPRACTICALPROBABLY OPTION FOR IV. AND ARADICAL,

TOPPLE THE TOWERS | IV. A radical, and probably impractical option for transformation knightfoundation.org | @knightfdn 22 / 16 “While the auction was able clear to a lot of low-hanging fruit (institutional public broadcasters who were not really invested in the mission, second stations), overlap and stations, independent affiliates, network tier third and the of broadcasters next wave either were not interested in participating revenues in 2016 were more than $82 million. There is the possibility of another spectrum auction in the future would that bring wireless carriers back the to table as buyers, though it won’t happen leastfor at years, 10 according Ari to an attorneyat Meltzer, WileyRein LLP who helped craft the rules for the firstauction. station in New York probablystation in New York gotten would have $180-200 million, and now it’s down substantially,” Hand said, estimating a sale price of under today $50 million for one of the most valuable radio frequencies in the United States. an endowment,In $50 million could yield $2.5 million annually—a figure admittedlythat looks puny when consideringYorktotal PublicRadio’s New Some public broadcast stations, on licenses however, in the commercial band — WNYC being the prime Public example. Radio could New York theoretically sell its 93.9 frequency FM a commercial to broadcaster. “But even with WNYC, they had sold the at peak of the market, a commercial According Hand, to the theoretical value of a noncommercial license today, based on recent sales, is $2–2.50 per person within range of the frequency, though he questions whether public many stations could even find a serious buyer. Further complicating matters is mostthat broadcast licenses in the public media system are designated noncommercial the by FCC, andthus can only be sold another to noncommercial entity. Generally, there are only two broad categories of organizations are that interested in buying noncommercial of latter the broadcasters, religious and stations public/community licenses: which, Hand said, more have or less their saturated desired markets already. Clinton-era broadcast deregulation to which he referred allowed single single allowed referred he which to deregulation Clinton-era broadcast entities own to more many stations than was previously allowed, so large up buying sums huge spent organizations noncommercial and commercial licenses. The market, in estimation, Hand’s topped out in the early 2000s. broadcasters, and is that not a seller’s market. you were“If really going sell to these things, the time do to it probably would cross-ownership when said 1996 around changed,” rules right been have Marc Hand, of the CEO Public Media a consulting Company, firm that, among other things, advises public media orgs on buying and selling licenses. That the cash canthat be in exchange had for a channel, because the wireless companies were that buying are highly profitable, rapidlyexpanding enterprises. Unless and until the FCC decides again reallocate to some spectrum from the broadcast bandsthe to wireless bands, the only buyers radio that and television broadcasters can hope court to are other Unfortunately, the spectrum auction was, itself, an extreme example of

TOPPLE THE TOWERS | IV. A radical, and probably impractical option for transformation knightfoundation.org | @knightfdn 22 / 17 what public public what a $419 million grant to , where state government government where state , announced in September in announced engagement, etc. a nonprofit If newspaper appliesfor a grant,we will theevaluate request accordingly.” I would not be the first personto argue CPB mustthat toways untether find its mission from broadcasting. 2010, In then-CPB board chair Ernest Wilson online news organization. news online King replied such that funds be “may used acquire to programs and provide that companies services including from non-broadcast entities, TV or services the services, support as radio programming long online as content, online related with programs broadcast supplementing as such – radio network and its member stations. I asked King if CPB, under its interpretation of its own legal mandate, could have that organizations to grants (non-CSG) discretionary its of some direct nothing do to with radio and television, suchas a local non-profittext-based CPB doesCPB other make types of grants, and has historically funded projects little have that if anythingto do with radio televisionor broadcasting. For Corporation the example, “toNPR help public radio stations Alley’ in ‘Tornado improve and expand their digital other and devices mobile on emergency-messaginglocal capabilities platforms.” But, despite being a digital-only effort, this remainsa a grantto Letitia King, who consulted with general CPB’s counsel. “Funds allocated for CSGs be paid may only qualifying to radio and TV stations,” King wrote. garnered $332 million in the spectrum auction for two NJTV channels. Also, station any up on broadcasting gave that would also sacrifice its eligibility for Community Service Grants, which are the primary mechanism whichby the Corporation for Public Broadcasting distributes funds local to spokesperson CPB by me to confirmed was This organizations. media public station organizations hold their own licenses. The other half are licensed might which authorities, government state/local or colleges/universities to be tempted spend to the proceeds from license any sale on things having nothing do to with public mission. media’s That is precisely media advocates fear will happen in Jersey New for wireless use. The conclusion here seems clear: Whether in a spectrum auction or in the conventional market, most local stations should not expect much make to money selling by their licenses, if they could sell them all. at I should also acknowledge that, according figures to compiled and shared with me the by Station Resource Group, only about half of public media expect the FCC try to again until there is a significant change on either the side.” demand or supply Meltzer also raised the possibility improvements that in wireless broadband efficiency couldanyobviate future need to reallocate broadcast spectrum or demanded prices were that too high,” Meltzer wrote me. to “I would not

TOPPLE THE TOWERS | IV. A radical, and probably impractical option for transformation knightfoundation.org | @knightfdn 22 / 18 that public media should “move beyond broadcasting” broadcasting” beyond “move should media public that testimony before an FCC workshop on the information information the on workshop FCC an before testimony In the meantime, there are some less radical, more practical options that that options practical more radical, less some are there meantime, the In station leaders can explore further to reorient their missions toward local journalism. needs of communities of needs and must reimagine itself as “public service media.” Until happens, that the reality organization is any that hoping win to federalfunding for public media must least keep at foot a in radio and/or television. made the case in

TOPPLE THE TOWERS | IV. A radical, and probably impractical option for transformation knightfoundation.org | @knightfdn 22 / 19 Here about .” The article,.” which had about collaboration between between collaboration about , is one lives that on and is among the strong many station’s a 2016 text-and-images article Nathaniel CPR’s by Minor audience online-first that content can generate for stations.At KERA in Dallas, the most-viewed story in KERA.org’s history is a charming and useful 2014 listicle then-digital by editor managing Eric editor) (now Aasen: “ Die BeforeAre You Should 39 Things Texas Do In You no on-air component, has been viewed half a million times over the last three years and continues generate to traffic,KERA Vice President for News Rick Minor was interviewed about it on-air host. a CPR by This allowed turn to CPR Minor’s reporting radio into programming without weighing him down with the onerous task of creating a scripted radio feature on top of his text piece. While clicks are an imperfect metric of success, it’s worth noting how much and only became later a radio feature. ColoradoAt Public Radio, “we look for opportunities from break to away daily radio-centric features,” digital CPR editor Hart Denburg Van wrote me, to pointing to online, piece the After publishing River. Fraser preserve effortsColorado’s to of being for air,” MPR visual MPR news editorof being Regina McCombs for air,” wrote me. to “Although sometimes it surprises us,” she wrote, such as in the case of a September piece Nancy MPR’s Yang by farmers and artists Hmong in Minnesota’s Chinese population began that as an online-only text article with photos Maria MPR’s by Alejandra Cardona, and the Knight Foundation pilot to -based news verticals a dozen at stations. since Most have discontinued, but WBUR’s health news vertical, CommonHealth offerings. The digital Minnesota team at Public Radio “does a lot has that no expectation stations or networks, and then sometimes grown include to podcasts and regular on-air spots. CodeNPR’s Switch is perhaps the prime example, and much excellent work also came out Project of NPR’s Argo, a 2009 initiative funded CPB by Some of the most exciting journalism come to out of public mediain recent have that organizations, within units or from organizations, been has years maybe (or first, on-airsecond “online of philosophy operating the embraced Historically, such many units grownnever).” have out of based at REALISTIC IDEAS FOR TRANSFORMATION V. SOME MORE

TOPPLE THE TOWERS | V. Some more realistic ideas for transformation knightfoundation.org | @knightfdn 22 / 20 Launched Launched The Boston . They did finework, St. Louis Beacon. showing the alarming rise rise alarming the showing St. Louis Post-Dispatch into the into operation was far by the quickest get to it way was an online-only, donor-supported news org staffed raised about $3 million from donors fund to their merger — Beacon Beacon series of charts he published in April Beacon ’s Sacha Pfeiffer. Sacha ’s “My work often (I informs hope) our reporters’ Jones wrote to work on air,” me, but his own work is obviously invisible on the radio, and St. Louis Public Radio has been wise allow to him remain to on course. that now works for St. Louis Public Radio is Brent Jones, whose title visual is “data specialist.” He primarily reports from data sets and creates visualizations, such as the in Fentanyl-related deaths in St. Louis and St. Louis County, an area plagued opioid crisis. the by best, rather thanawkwardly forcing them the into mold of standard-issue broadcast reporters, producers or hosts — as WBUR did the to Globe An example of the do to right it: way one of the former Beacon reporters who As newspapers across the country continue lose to some of their most experienced reporters layoffs to and buyouts, other station organizations could consider making a similarly dramatic for play talent. Dramatic plays can often attract dramatic in scenario,that funding. it is However, vital for stations allow to newspaper journalists continue to doing what they do expenditures jumped from approximately percent 15 of the overall station’s budget pre-merger in FY 2013 ($825,000 out of $5.6 million 34 total) to percent in the current fiscal ($2.75 millionyear out of $8 millionIf that’s total). not a radical reorientation toward local news, it’s certainlysignificant a and one. rapid “We the had always had aspiration grow to want to our newsroom,” said. Eby “Bringing the done, as opposed adding to one or two people a year over several years.” According figures Eby provided, St. Louis localPublic Radio’s programming by 15 former 15 by journalists from the but trouble had finding enough moneyto afloat.stay St. Louis PublicRadio and the an initial funding round that’s still helping for thepay to newsroom, said St. Louis Public Radio General Manager Tim Eby. percent of the budget station’s on online-first journalism within years,five for example. One particularly dramatic example of a station plunging in direction that is the 2013 merger of St. Louis Public Radio and the in 2008, the Whether considering audience reach or mission, station leaders should feel feel should mission, leaders or reach Whether station considering audience comfortable making new hires and / or starting new initiatives no have that consider even might They broadcast. connection to immediate or obvious setting an easily quantifiable goal in direction that to — spend perhaps20 Holter said. said. Holter

TOPPLE THE TOWERS | V. Some more realistic ideas for transformation knightfoundation.org | @knightfdn 22 / 21 of its ’s desire’s to ProPublica announced creation the

, and likely won’t be for much But longer). ProPublica barely so have, as of thishave, writing, a remarkable opportunity try to it ProPublica ProPublica people do not need directly to consume watchdog journalism in order be to served it. by Reporting holds that the powerful account to and spurs change serves everyone, be and the may highest form of the “public service media” Ernestthat Wilson envisioned as the necessary future of public broadcasting. subsidized media. media. subsidized that me reminded insiders media public several paper, this researching In serve a mandate to they have all Americans, and not that all Americans are (though true That’s online. “support accountability reporting” — precisely the kind of journalism I that arguedhave here is the most important gap be to filled on the local levelby organizations in cities with population below 1 million.” Public broadcasters broadcasters Public million.” 1 below population with cities in organizations would seem be to ideal candidates for these grants. notableIt’s the that grant application emphasizes local local out on a small scale. October, In new “Local Reporting Network,” a three-year grant program in which it “will salarypay plus an allowance for benefits for one full-time reporter dedicated investigativeto work throughout each 2018 of up six at to partner news Lastly, station leaderswho are intrigued the at prospect of becoming little, a

TOPPLE THE TOWERS | V. Some more realistic ideas for transformation knightfoundation.org | @knightfdn 22 / 22 is a journalist in residence and visiting assistant professor at at professor assistant visiting and residence in journalist a is

COLOPHON Suite 3300 Suite Miami, 33131–2349 FL 200 S. Biscayne Blvd. Mercer University’s Center for Collaborative Journalism. Collaborative for Center University’s Mercer Adam Ragusea Telephone: (305) 908–2600 (305) Telephone: JOHN S. AND JAMES L. FOUNDATION KNIGHT

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