NPR rooted in stations that still require federal dollars

When Gary Knell officially started work this month as NPR’s president, he probably found no shortage of ideas about what he should do with an organization that has recently survived bad headlines, turmoil at the top and a near-death experience with federal funding cuts. But he would be well advised to ignore some of those recommendations. Some say NPR should simply forgo federal funding, which accounts for 2 percent of its annual budget. Receiving even that small amount, they say, leaves NPR vulnerable to accusations of political bias in its news coverage. How much easier it would be, they argue, if public radio would give up the federal dollars and ignore the occasional outbreaks of criticism from Capitol Hill.

APTS operating without dues from 1/4 of stations

A drop in dues-paying members over the last three years has diminished the resources of the Association of Public Television Stations at an especially critical time for the Washington-based lobbying organization. APTS’ membership has fallen to 75 percent of public TV licensees from a high of 85 percent in 2008. With dues from fewer of the 170-some station licensees, APTS is short about $1 million in annual membership revenue and unable to fill several key positions, including vice presidents for government relations and communication and a regulatory counsel, in a year when the recession, anti-deficit worries and political opposition are bearing down on pubcasting funding. “This is a problem,” APTS President Patrick Butler said in a session at public TV’s National Educational Telecommunications Association Conference last month in Kansas City, Mo. “If we could get to a point where everybody was in this boat and supporting our efforts in Washington, it could have a transformative effect.”

Will Glasscock, an APTS director of government relations, cautioned that “the very challenging environment continues” on Capitol Hill and “the partisan atmosphere has never been quite this bad.” Just last week, GOP presidential hopeful Mitt Romney said in a USA Today op-ed that if elected, CPB will be one of his targets for “deep reductions in subsidies.”

The situation poses a dilemma: APTS needs resources to fight for federal appropriations on Capitol Hill, which has been one of the most stable sources of revenue during the recession despite the ongoing partisan fights over it.

NPR back as a House target: Draft bill seeks ban on aid

The draft for the House Appropriations Committee’s fiscal year 2012 Labor, Health and Human Services and Education appropriations bill, introduced Sept. 29 by subcommittee Chair Denny Rehburg (R-Mont.), would prohibit CPB from funding NPR and requests a report from CPB on how to remove NPR totally from federal funding by 2014. Under the bill, CPB would receive the already-appropriated amount of $445 million for that year, including $6 million for digital projects. Other agencies in the draft bill would fare worse for the year that began Oct. 1.

CPB survives, but not the facilities program

This year, St. Patrick’s Day was the deadline for pubcasters to ask Uncle Sam for help replacing their ancient, failing transmitters, or for a broadcast starter-set to put a new station on the air. It was also one of those days when Congress lurched toward its budget compromise — and took back the offer. Gone is the 49-year-old Public Telecommunications Facilities Program, a $20-million line item in the Department of Commerce, which had been saved year after year by supporters in Congress. This time they were too busy saving PTFP’s younger and bigger sibling, CPB.

House vote would axe CPB in 2013

Last time, in 2005, the emissary to Congress was Clifford the Big Red Dog. This time, it’s an aardvark named Arthur. Last time, lawmakers showed off boxes of 1 million petitions with signatures; now, the million signatures are digital. Back then, when the Republican-led House Appropriations Committee tried for a 25 percent cut in the CPB appropriation, public support moved the House to save it by a 2-to-1 vote. This year, no such luck.

Public Broadcasting Act of 1967

Public Law 90-129, 90th Congress, November 7, 1967 (as amended to April 26, 1968)
This law was enacted less than 10 months after the report of the Carnegie Commission on Educational Broadcasting. The act initiates federal aid to the operation (as opposed to funding capital facilities) of public broadcasting. Provisions include:

extend authorization of the earlier Educational Television Facilities Act,
forbid educational broadcasting stations to editorialize or support or oppose political candidates,
establish the Corporation for Public Broadcasting and defines its board,
defines its purposes,
authorize reduced telecommunications rates for its interconnection,
authorize appropriations to CPB, and
authorize a federal study of instructional television and radio. Title I—Construction of Facilities
Extension of duration of construction grants for educational broadcasting

Sec. 101.

Accounting problems cost WNET $1 for every $7 in federal grants

WNET’s accounting problems have cost it $1.96 million out of a series of production grants totaling $13 million, following  a two-year federal investigation of the big New York station’s grant accounting. Federal lawyers and the licensee — Educational Broadcasting Corp., now officially known as WNET.org — signed a settlement in which the station gave up 15 percent of the grant money:

$950,000 to be paid back to the feds for inadequately documented or prohibited costs, and
$1,015,046 that the station has spent on the productions but agreed to give up. By the time of the settlement, the growing sum of unreimbursed expenses had cut a $7.8 million hole in the station’s financial fabric. To keep federally backed productions going, the nonprofit continued spending money on them but stopped asking for reimbursements. Robert Feinberg, general counsel, said it was a voluntary decision by the station: “If we have done something wrong, we didn’t want to compound the error.”

“It’s definitely been a drain,” Feinberg said.

‘Sloppiness,’ not wrongdoing, led to probe, says WNET chair

The leadership of WNET said a federal investigation into the station’s use of federal grants totaling almost $13 million is wrapping up, and the organization is financially sound. “There was sloppiness as opposed to real wrongdoing in terms of our accounting systems, which has been addressed,” said James Tisch, chairman of the WNET Board, in an interview. The station has hired a new chief financial officer and created the position of executive director, financial control, to ensure compliance with federal grant rules, said Neal Shapiro, president. “We have a new CFO. We have a new compliance person to make it very clear we take all these rules very seriously,” Shapiro said.

New CPB chair sees watershed for public media

Maybe we’re at a 1967 moment again,” says Ernest Wilson III, shortly after his election as chair of the Corporation for Public Broadcasting on Sept. 16 [2009]. He’s making a hopeful comparison with the year when a Carnegie Commission report slid into President Johnson’s in-box in January and  returned for his signature as the Public Broadcasting Act in November. Wilson, who is dean of the Annenberg School for Communication at the University of Southern California, admires the way the stars are aligning for an advance of federal policy on public media:

Foundations are examining the plight of journalism and reengaging with public media. Congressional leaders are supportive.

Shadows in the corridors

The scene: a small conference room of the Senate Committee on Commerce, late on a February afternoon. The players: a senior committee staffer and her longtime acquaintance, a public broadcasting general manager. The author is president of Colorado Public Television (KBDI) in Denver. Illustration: Elene Usdin. ‘Well, the bastards have you right where they want you!” growled the aide, barely looking up from her papers spread across the conference table.

Citizens’ group organizes to back full CPB funding

A professional campaign firm has begun setting up a Citizens’ Committee for Public Broadcasting to coordinate grassroots support for “full funding” of CPB. Proposed and organized by a New York consumer rights lawyer, Donald Ross, the committee has startup funding from about five major public TV stations, Ross says. The initiative is the latest in a long line of citizen interventions to support or protect public broadcasting. Separate plans for a big-name commission of prominent citizens to resolve “serious issues” in the field’s future were announced by CPB Chairman Henry Cauthen two weeks ago, but have been delayed, according to CPB. The citizen’s committee’s handful of staffers, meanwhile, is starting to recruit field activists and organizers out of the downtown Washington branch office of Ross’s firm, M&R Strategic Services.

Public ranks pubcasting high in value per dollar

In a Roper Poll taken March 18-25, Americans ranked public TV and public radio among the services that provide the best value for the tax dollar. Only military defense of the country and the police had higher percentages of the sample calling them an “excellent value” or a “good value.” Highways, public schools, environmental protection and the court system ranked lower. The pollsters asked: “Here is a list of some different services that the government provides using tax dollars it collects from the public. Thinking of what you get for what you pay in taxes, would you read down that list and for each one tell me whether you feel you get excellent value for the dollar, or good value, or only fair value for the dollar, or poor value for the dollar?” These were the results:

Rank
Services provided with tax dollars
Percent excellent or good value

1
Military defense of the country
60

2
Police and law enforcement agencies
59

3
Public TV broadcasting
57

4
Public radio broadcasting
53

5
Medical, technological,d other research
52

6
Overseeing the safety of food products
50

7
The space program
49

8
Overseeing safety of prescription drugs
49

9
Highways, roads and bridges
45

10
Public schools
41

11
Environmental protection
41

12
Public transportation
40

13
Sponsorship of the arts
39

14
Overseeing soundness of financial institutions
35

15
The courts
33

16
International intelligence gathering
31

17
Contributions to the United Nations
30

18
Social welfare programs
28

 

“Quite frankly, I was really surprised,” said CPB researcher Janice Jones.

The plans that went to Congress

Here are brutally shortened summaries of proposals in the two funding plans that went to Congress in spring 1995: “Common Sense for the Future” from CPB, and “The Road to Self-Sufficiency” from the quartet of the public stations’ major national organizations, APTS, NPR, PBS and PRI. CPB
APTS, NPR,
PBS and PRI

Trust fund

Recommends a trust fund and says it has examined options for financing it, but doesn’t name them. “We look forward to exploring these and any other alternatives Congress may suggest to make such a trust fund viable.” A temporary financing mechanism would build up trust fund until it becomes large enough to pay out sufficient annual interest. As payout grows, federal appropriations could decline.