Filed at 11:47 p.m. ET
WASHINGTON (AP) -- House lawmakers voted Wednesday to block a new
regulation that would allow individual companies to buy up
television stations reaching nearly half the nation's viewers.
The provision, included in a spending bill approved 400-21, would
roll back part of a Federal Communications Commission decision
overhauling decades-old restrictions governing ownership of
newspapers and television and radio stations. That June 2 ruling by
the Republican-dominated FCC was a victory for media companies who
sought relaxed rules.
Opponents, from consumer groups to songwriters to small
broadcasters, say the changes could lead to a wave of mergers
leaving a dwindling number of companies controlling what people see,
hear and read. They are urging Congress to roll back all the
changes, but the House measure only addresses TV station
ownership.
The FCC voted to allow single companies to own TV stations
reaching 45 percent of U.S. households. The House measure would
return the cap to 35 percent.
``It's extremely rare to be able to reverse a regulatory decision
that gives away the store to the big boys,'' said Rep. David Obey,
D-Wis., chief sponsor of the provision to derail the FCC change.
The fight now moves to the Senate, where several lawmakers of
both parties want to include a similar provision in their version of
the spending bill. Broader rollback efforts also are being
considered.
Top Republicans are hoping that, with leverage from the threat of
a first-ever veto by President Bush, the final House-Senate
compromise bill later this year will drop the provision.
FCC Chairman Michael Powell defended his agency's decision before
the House vote.
``We created enforceable rules that reflect the realities of
today's media marketplace,'' Powell said in a statement. ``The rules
will benefit Americans by protecting localism, competition and
diversity.''
The FCC also allowed individual companies to own more TV stations
in some cities and largely ended a ban on one company owning a
newspaper and a broadcast station in a community.
Michael Copps, one of two Democrats on the five-member FCC who
opposed the changes, told the Senate Commerce Committee that the new
rules ``surrender awesome powers over our news, information and
entertainment to a handful of large conglomerates.''
The committee voted last month for a bill that would undo much of
the FCC changes, including rolling back the ownership cap and
reinstating the broadcast-newspaper cross-ownership ban.
A bipartisan group of senators also have introduced a
``resolution of disapproval'' to undo all of FCC's changes. To
succeed, the seldom-used legislative maneuver would need majority
approval in the Senate and House and the president's signature.
With resistance from Republican leaders in the House, the
prospects for legislation opposing the new ownership rules had
initially appeared bleak.
``We've been facing a total roadblock on doing anything in the
House,'' said Gene Kimmelman, public policy director for Consumers
Union, publisher of Consumer Reports magazine. He said the House
vote meant ``that roadblock will be torn apart.''
Many media companies said the FCC changes were needed because the
old restrictions hindered their ability to grow and compete in a
market changed by cable TV, satellite broadcasts and the
Internet.
News Corp.,
owner of Fox, and Viacom Inc., which
owns CBS and UPN, benefit from a higher national TV ownership cap
because deals have left them above the 35 percent level. If that
lower level is ultimately enforced, the companies could be forced to
sell stations.
Smaller broadcasters said a higher cap would allow the networks
to gobble up stations and take away local control of programming.
The major networks wanted the cap eliminated.
NBC lobbyist Bob Okun praised the FCC decision and called the
House legislation ``extremely disappointing.''
On Tuesday, a White House budget office statement threatened a
veto if the final bill contains the FCC provision or something
similar. The administration said the new FCC rules ``more accurately
reflect the changing media landscape and the current state of
network station ownership, while still guarding against undue
concentration in the marketplace.''
The FCC provision was included last week in a $37.9 billion
measure financing the departments of Commerce, State and Justice
next year.
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