[BC] RE: Unrated markets

[tpt at literock93r.com]

If you look at the current multiple ownership rules, the only method  
in effect is the "contour method," which works as follows:

1. Plot the city grade contours (5 mv=AM, 70 dbu=FM) of the stations  
now owned and the station to be brought into the group.

2. Plot the city grade contours of the other commercial stations in  
the market to determine how many have intersecting contours.

3. The total number of stations with intersecting contours determines  
the size of the market.  If there are less than 15, one company can  
own 5 stations, or 1/2 the stations in the market whichever is the  
smaller number.

(There are some ifs, ands, and buts involved, of course).

Now, however, there is a second method for "rated" markets; which are  
defined as Arbitron's some 300 metro markets. It's not in the rules,  
but the Commission seems to be using it:

1. The number of stations in the market includes all commercial AND  
non-commercial stations licensed to the metro county or counties;

2. The market also includes those suburban stations which have a  
significant share of the audience, even though they are licensed to a  
county outside of the metro.

In my market we have a Class B that is now licensed to a non-metro  
county that has its transmitter site in the metro county.  They, of  
course, have a significant share of the audience so would be counted  
in any tally for multiple-ownership purposes. (They actually switched  
COL out of the metro to allow a co-owned Class A to move into the  
metro).  Another example: WLW, Cincinnati regularly shows with a small  
share in the Columbus market, they arguably have a significant  
presence in the market to be included in the station count for  
multiple ownership purposes.

In either example, translators do not count; nor do LPFM or Class D  
stations, as they are secondary services, not licensed broadcast  
services in the FCC's thinking. One unintended consequence of the  
proposal to improve LPFM status may be to decrease diversity of  
ownership in certain markets by increasing the station count.

AS vague as the rules are now, I would bite the bullet & hire FCC  
counsel before agreeing to any purchase.  Having a station sale hang  
in limbo because of a competitor's challenge costs much more in future  
time sales than you will pay in legal fees.