Consultant to CPB: Public broadcasting is worth billions to the public

If public broadcasting loses its federal aid, it’s “highly unlikely” that it will recover the same amounts by increasing revenues from product licensing, individual contributors or local and state governments, an economics consulting firm reported back to CPB last week. Moreover, “the nature of public broadcasting will inevitably change” if the field loses its federal assistance, according to National Economic Research Associates, a White Plains, N.Y., firm that presented conclusions of its CPB-commissioned study to the CPB Board on March 14. Steven Schwartz, v.p. of NERA, also estimated that public broadcasting has a value of $2.8 billion to $4.3 billion to the American public–far more than the $1.8 billion from all sources that are spent on it, or the $285 million that Congress appropriated for this year. The study responded to remarks by public broadcasting’s opponents on the CPB funding issue, who contend that the field could easily replace the federal aid. No easy options
Revenues from product licensing are “too small and uncertain to be relied upon,” Schwartz told the CPB Board.

Pressler gets three boxes of especially dry reading

Public broadcasting’s response to a detailed inquiry by Sen. Larry Pressler (R-S.D.) arrived on Capitol Hill the evening of Feb. 10 [1995], accompanied by three boxes of supporting material. All but one of the major national organizations submitted responses to the Senate Commerce Committee chairman’s 16-page, single-spaced questionnaire, which included more than 200 questions about the field’s financing, program policies and interrelationships. Pressler earlier had withdrawn some of his queries about political contributions by public broadcasting employees and personal data on NPR staffers. CPB said collecting the information by the senator’s deadline cost $92,000 for staff time, legal fees and copying.

Pressler gets three boxes of especially dry reading

Public broadcasting’s response to a detailed inquiry by Sen. Larry Pressler (R-S.D.) arrived on Capitol Hill the evening of Feb. 10, accompanied by three boxes of supporting material. All but one of the major national organizations submitted responses to the Senate Commerce Committee chairman’s 16-page, single-spaced questionnaire, which included more than 200 questions about the field’s financing, program policies and interrelationships [earlier story]. Pressler earlier had withdrawn some of his queries about political contributions by public broadcasting employees and personal data on NPR staffers. CPB said collecting the information by the senator’s deadline cost $92,000 for staff time, legal fees and copying.

Public view on CPB funding: favorable but also ‘soft’

Three polls taken last month gave majorities of 62 to 84 percent favoring CPB’s federal funding. Then, a few days later, comes one showing the public 63 percent okaying cutbacks. Why such a flip-flop? “Question wording can move poll results very drastically,” replies John Brennan, polling director at the Los Angeles Times, which published the fourth poll. In the first three polls, the questions about CPB appropriations simply asked whether the funding should be continued or eliminated or, in the case of PBS’s own commissioned poll, whether it should be increased, maintained or decreased.

Pubcasting finds itself put ‘in play’ — briefly

When public broadcasters awoke on Jan. 23 [1995], they saw the headlines and their heads started spinning. Newspapers reported that Bell Atlantic [later renamed Verizon] was interested in a partnership with CPB “that would have the Baby Bell step into the funding role now played by the federal government,” as the Wall Street Journal put it. That news came from Sen. Larry Pressler who revealed on CBS’s Face the Nation that the company and other telecom firms were interested in buying or partnering with public broadcasting after Congress privatizes it. To people who thought they understood media economics, it made no sense.

Congress sells billboard space on its walls to Pizza Hut

Let’s privatize Congress!

It’s time to privatize Congress. The federal subsidy of this playground for the rich is bleeding American taxpayers and adding to the deficit. Not only does Congress cost more than $60 million annually in direct salaries, but its staff, perks and infrastructure add hundreds of millions more. Why should all of us pay for an institution benefiting only the few? Each congressional candidate should seek sponsorship from a corporation or association willing to pay his campaign costs and, if elected, his salary and office expenses.

Pressler stocking up on ammunition

An inquiry by Sen. Larry Pressler last week put public broadcasters on notice that they face hostile scrutiny during Senate consideration of CPB’s reauthorization. The South Dakota senator’s office sent a 16-page, single-spaced questionnaire to CPB and other major pubcasting organizations seeking a myriad details about the field’s finances and program policies, as well as the political contributions of those working within the field and personal data about all members of NPR’s staff. [Later article on the responses.]

Pressler later withdrew a handful of the more than 200 questions after CPB Chairman Henry Cauthen advised him that answering them would violate individuals’ rights to privacy. People for the American Way also criticized Pressler’s inquiry as a attempt to “chill political speech … not seen since the era of Sen. Joseph McCarthy.”

Fordham station sues for PTFP grant eligibility

Reportedly denied eligibility for a federal equipment grant because it carries one church service a week, Fordham University’s WFUV-FM has sued the Commerce Department for relief. Both the university and the Commerce Department’s Public Telecommunications Facilities Program (PTFP) apparently use First Amendment arguments to justify their cases. The Jesuit university says Commerce is violating its First Amendment right of free speech as well as the Communications Act, which it says prohibits government control of program content. And PTFP’s overseer, new Assistant Secretary of Commerce Larry Irving, reportedly believes that awarding equipment grants to stations with religious programming would undermine the church/state separation required by the First Amendment. Irving’s spokesman Larry Williams said the agency is not commenting on the matter because of the pending lawsuit.

Twentieth Century Fund panel seeks more federal aid for PTV, but would halt CPB grants to stations

With the warning that public television must “reinvent itself” if it is to “meet the needs of the American public in the 21st century,” a task force appointed by the Twentieth Century Fund recommended fundamental restructuring of the existing public television system in a report issued [in July 1993]. [Task force members included former PBS President Lawrence Grossman; Ervin Duggan, soon to be appointed to head PBS later in 1993; and other prominent national-level figures in media and finance.]

Completing what task force members characterized as a reexamination of the basic purpose and principles of public broadcasting on the 25th anniversary of the field’s creation, the 21-member group envisioned a significant role for public television in the multichannel environment of the future — one that calls for an expansion of educational programming, strengthening of its mission at all levels, and a redirection of federal funds toward diversified national programming. Most controversial among the panel’s recommendations is a proposal to cut off federal funding to local stations within three years and aggregate those dollars for national programs.
“A feeling of ‘entitlement” is rampant within the system,” wrote Richard Somerset-Ward. “There are 351 local stations to be accommodated, and they (or their 175 licensees who receive [grants] from the CPB each year) effectively hold most of the purse strings.” That would mean the end of the Community Service Grants (CSGs) to public TV stations, which consumed half of CPB’s federal appropriation in 1992 and amount to 13.5 percent of the public TV system’s total income, according to the report.

Annenberg comes back with $60 million

Walter H. Annenberg has returned to CPB with $60 million—and a revised educational purpose — a year and a half after pulling the same amount out of the Annenberg/CPB Project. CPB announced June 19 [1991] that the Annenberg Foundation, chaired by the billionaire retired publisher and philanthropist, has joined CPB in a project to help elementary- and secondary-level students learn math and science. May go nonbroadcast

The project is likely to put more of its money into nonbroadcast technologies than the older college-level venture has. “If you take a careful look at that press release, he is not giving his money to public broadcasting,” says an adviser to the Annenberg Foundation. “It is not a broadcasting program from here on.

Will Pete Rose watch Virginia public TV?

Virginia public broadcasters and state lottery officials are hoping for a big payoff in audience numbers by televising the state’s lottery prize show. In an unusual arrangement, officials of public television and the state lottery will broadcast Virginia’s Monthly Million, which hits the airwaves Sept. 30 [1989]. Unlike the regular one-minute daily drawings, the half-hour program will be shown once a month and feature eight contestants and “at home” players and offer prizes of between $10,000 and $1 million. For viewers and others who may fear the Old Dominion’s public TV outlets are ignoring public broadcasting’s “mission,” the program is not just a game show.

GAO statement on NPR financial crisis, 1984

NPR was shaken, President Frank Mankiewicz and other top managers toppled and some 60 staffers laid off in the network’s 1983 financial crisis. NPR, then largely dependent on federal aid through the Corporation for Public Broadcasting, had expanded activities to generate nonfederal money. But those efforts contributed to NPR’s near-collapse. The U.S. Government Accounting Office found that revenues lagged behind budget, expenditures exceeded budget and management lacked systems to monitor the situation, resulting in a $6.4 million deficit in fiscal year 1983. In this statement, Frederick D. Wolf, director of GAO’s Accounting and Financial Management Division, reviewed factors in NPR’s fiscal crisis and cutbacks that barely enabled it to break even at that point.

Temporary Commission on Alternative Financing, 1983

The Temporary Commission on Alternative Financing for Public Telecommunications (TCAF) delivered its recommendations to Congress on Oct. 1, 1983, after extensive research, including an Advertising Demonstration Program at a number of public TV stations. Letter of transmittal | Membership of TCAF | Executive Summary
 

Chairman’s letter of transmittal

To the Congress of the United States:

In accordance with Congress’ direction in the Public Broadcasting Amendments Act of 1981, Public Law Number 97-35, the Temporary Commission on Alternative Financing for Public Telecommunications hereby submits its Final Report. This report describes the Advertising Demonstration Program in which selected public television stations experimented with the carriage of limited advertising. The report includes findings, conclusions, and recommendations to Congress concerning the financing of public broadcasting.

The Hidden Medium: A Status Report on Educational Radio in the United States, 1967

With support building for federal aid to public TV, the advocates of public radio found they had to act quickly to make their case. National Educational Radio, a division of the National Association of Educational Broadcasters, hired Herman W. Land Associates to study the field and its potential. The resulting book, The Hidden Medium: A Status Report on Educational Radio in the United States, was published in April 1967. Overview and Summary
The oldest of the electronic media, going back in service to experimental beginnings as station 9xm in the year 1919, educational radio, almost a half century later, remains virtually unknown as a communications force in its own right. Overshadowed first by commercial radio, then by television, it has suffered long neglect arising from disinterest and apathy among the educational administrators who control much of its fortunes.