Before the FEDERAL COMMUNICATIONS COMMISSION Washington, D.C
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Before the FEDERAL COMMUNICATIONS COMMISSION Washington, D.C. 20554 In the Matter of ) ) MB Docket No._______ Amendment of Section 73.622, ) RM- Digital Television Table of Allotments for ) KSNB-TV, Superior, Nebraska ) (Facility 21161) ) To: Office of the Secretary, Federal Communications Commission Attn: Chief, Media Bureau PETITION FOR RULEMAKING Gray Television Licensee, LLC (“Gray”), licensee of television station KSNB-TV, Superior, Nebraska (Facility ID 21161; Channel 4) (“KSNB”) hereby requests that the Commission institute a rulemaking proceeding for the purpose of amending the DTV Table of Allotments (the “DTV Table”) contained in Section 73.622(i) of the Commission’s rules.1 Specifically, Gray requests that the Commission amend the DTV Table to: (1) delete Channel 4 at Superior, Nebraska, and add Channel 4 at York, Nebraska; and (2) change the digital allotment for KSNB from Channel 4 to Channel 24 at York consistent with the technical parameters set forth in the attached Engineering Statement. As set forth herein, grant of this Petition will create a preferential arrangement of allotments by expanding the availability of free, over-the-air television service. 1 See 47 C.F.R. §§ 1.401, 73.622(i). To the extent necessary, Gray requests that the Commission waive its freezes on the filing and processing of petitions for digital channel substitutions and community of license changes for KSNB based on the showing of good cause contained herein.2 Gray also requests that the Commission waive any provisions in its rules that prevent the Commission from considering the community of license change and the digital channel substitution as a single consolidated proposal. I. INTRODUCTION AND BACKGROUND Gray is the licensee of full power television station KSNB. Gray is also the licensee of KOLN(TV), Lincoln, Nebraska (Facility ID 7890) (“KOLN”). The instant Petition is part of a coordinated effort by Gray to improve service to viewers in the Lincoln & Hastings-Kearney 2 See Freeze on the Filing of Petitions for Digital Channel Substitutions, Effective Immediately, Public Notice, 26 FCC Rcd. 7721 (MB 2011) (“Channel Substitution Freeze Notice”); Freeze on the Filing of Certain TV and DTV Requests for Allotment or Service Area Changes, Public Notice, 19 FCC Rcd. 14810 (MB 2004) (“Allotment Freeze Notice”). The FCC lifted the freeze on petitions for community of license changes in 2018 for proposals, such as the instant proposal, that do not require a change in technical specifications. See Media Bureau Partially Lifts Freeze on Filing Petitions for Rulemaking, 33 FCC Rcd. 151 (MB 2018). Because a proposal to change KSNB’s community of license from Superior to York would not require a change in KSNB’s technical specifications, no waiver of this freeze is needed. Gray acknowledges, however, that a waiver of the channel substitution freeze and the allotment freeze may still be necessary. In any event, both the channel substitution freeze and the allotment freeze have served their purpose, and enforcement of these freezes in the instant circumstances is not in the public interest. The Media Bureau implemented the channel substitution freeze to “permit the Commission to evaluate its reallocation and repacking proposals and their impact on the Post- Transition Table of DTV Allotment” in advance of the incentive auction. Channel Substitution Freeze Notice at 1. The intent of the allotment freeze, meanwhile, was “to ensure a stable television database” in preparing for the digital transition. Allotment Freeze Notice at 2. Now, with the digital transition and repack complete, the Commission can no longer justify these freezes. Moreover, waiver of the freezes in this instance will serve the public interest by providing a more efficient allocation of television service. As explained below, Gray acquired KSNB in February 2013, when both the channel substitution freeze and the allotment freeze were already in effect. As such, Gray never had an opportunity to apply for the community of license change or channel substitution that it is requesting in this Petition. Finally, as a former failing station, the prior owner did not have the resources to pursue and implement a community of license change or channel substitution. 2 designated market area (the “Lincoln DMA”). Concurrently herewith, Gray is filing an application to modify KOLN’s technical facilities (the “KOLN Modification”), and the Commission should consider this Petition together with the KOLN Modification. The urgency of these efforts is necessitated by two factors: (1) the imminent failure of KSNB’s existing technical facilities; and (2) the collapse of KOLN’s tower during an ice storm in January 2020, necessitating a complete rebuild of KOLN’s technical facility. Gray acquired KSNB pursuant to a failing station waiver in 2013.3 In the three years prior to Gray’s acquisition, the station was silent almost as often than it was broadcasting,4 and it incurred hundreds of thousands of dollars in net losses.5 As a result, the former owner had very limited resources and constructed KSNB’s digital facility on Low VHF Channel 4 with older, repurposed equipment that never worked as well as predicted using the FCC’s standard contour prediction methodologies. Soon after acquiring KSNB in 2013, Gray determined that KSNB’s digital facilities were grossly inadequate and incapable of serving most viewers in the station’s predicted service area.6 But, because of the various broadcast application freezes that have been in effect since before Gray acquired KSNB, Gray has not pursued any meaningful upgrade proposals. Moreover, in recent years, Gray’s engineering resources have been devoted fully to the repack. With the repack now complete, Gray can put off KSNB no longer. The station’s repurposed Channel 4 3 See BALCDT-20121121AOO. 4 See BLSTA-20101222AAP (requesting authority to be silent); BLSTA-20100203AAW (same). 5 See Exhibit 18 in BALCDT-20121121AOO. 6 Because so few viewers are able to receive KSNB with an over-the-air antenna, Gray has been rebroadcasting KSNB’s programming on multicast channels for KOLN and satellite stations KGIN and KNHL. 3 equipment, which was unsuitable for digital broadcasting when it was installed, is failing and not expected to last another 6 months. Indeed, the equipment has lasted this long only due to creative repairs by a contract engineer who has now retired. In short, Gray must invest significant capital funds now to rebuild KSNB from scratch. Meanwhile, on January 18, 2020, KOLN’s 1,500-foot tower near Beaver Crossing, Nebraska collapsed during an ice storm. As a result, KOLN, which is the market’s CBS network affiliate, has been forced to remain silent for over six months.7 Although KOLN has restored service through fiber optic connections to MVPDs, carriage on a commonly owned low-power station, and carriage on the digital multicast channel of another station in the market, its over- the-air coverage has suffered.8 Gray is in the process of rebuilding this tower and the KOLN technical facility. The silver lining to the KOLN tower collapse is it presents a once-in-a-generation opportunity to rebuild and invest in Gray’s Lincoln DMA stations to ensure that they are best positioned to serve viewers for decades to come. Accordingly, this Petition seeks authority for KSNB to operate on Channel 24, and for Gray to relocate the station from its current tower to the KOLN tower (once rebuilt). In advance of this technical change, Gray proposes to change KSNB’s community of license from Superior, Nebraska to York, Nebraska. While the change in community of license would leave Superior, Nebraska without a first local service, it would allow York, Nebraska to gain a first local service. As shown below, allocating the station to 7 See 10/11 Signal Available to Most Viewers After Tower Collapse, 1011now.com (updated Jan. 21, 2020), https://www.1011now.com/content/news/KOLN-TV-tower-in-Beaver- Crossing-collapses-due-to-ice-storm-567106121.html; LMS File No. 0000098791. 8 KOLN is currently providing a signal to all the major MVPDs in the market via fiber. Gray has also arranged for carriage of KOLN’s programming on low power station KCWH (also licensed to Gray) and on a multicast stream of ABC network affiliate KLKN (licensed to KLKN Lincoln License LLC). 4 York, Nebraska results in a more preferential arrangement of allotments. Meanwhile, the channel substitution serves the public interest by resolving the significant VHF-related reception problems in certain areas of KSNB’s predicted service area. Combining the channel substitution with the move to the KOLN tower is crucial to ensure KSNB’s long-term viability and to bolster the Station’s service to its local audience. Additionally, because Gray must already reconstruct KOLN’s facilities, rebuilding KSNB’s facilities at the same time and location with the same vendors is an efficient use of resources and will not divert any additional resources from stations still completing construction of their permanent post-incentive auction facilities. In fact, Gray will save several hundred thousand dollars by not duplicating efforts and requiring second trips from tower crews, transmitter installers, and other vendors. With broadcasters already suffering through a historic collapse of the advertising market, these savings from constructing KOLN and KSNB together will be critical for Gray’s leading news stations in the Lincoln DMA to continue serving local viewers during the COVID-19 pandemic. II. COMMUNITY OF LICENSE CHANGE Under