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Lawmakers, witnesses say FCC27s Nexstar-TEGNA approval raises questions about media-ownership caps
Summary
Members and witnesses criticized the FCC media bureau27s recent approval of the Nexstar-TEGNA deal for potentially sidestepping a statutory 39% national ownership cap and warned of local news consolidation and higher consumer costs.
WASHINGTON — Several members of the House Energy and Commerce subcommittee and witnesses at Thursday's hearing said a recent media-bureau order clearing the Nexstar20TEGNA transaction appeared to contravene the national broadcast-ownership cap Congress set and could harm local news.
What happened: Ranking members on the panel and witnesses cited the bureau's approval as an example of an agency exceeding its authority. "The FCC rubber stamped the Nexstar TEGNA merger, flying in the face of the law," the ranking member said in an opening statement. Multiple witnesses called the bureau's action procedurally flawed and legally suspect.
Witness testimony: Matt Wood of Free Press told the subcommittee the merger would likely reduce newsroom diversity in affected markets and produce cost-cutting synergies that eliminate local journalists. "Sometimes they'll claim they're increasing [local news], but what they're often doing is just having nationalized content being pushed down to local stations," he said.
Former FCC commissioner Michael O27Rielly agreed members are the proper forum to change national caps and said the commission lacks authority to waive the statute. "I laid out why only Congress has the authority to change a national cap, not the FCC," he said, citing his recent amicus brief.
Why it matters: Broadcast ownership limits are intended to preserve a diversity of local voices. Lawmakers warned that unilateral agency decisions that appear to sidestep statutory limits invite litigation and may prompt legislative responses.
Status and next steps: Subcommittee members asked witnesses to provide additional documentation and suggested the committee may pursue oversight or legislative measures to reaffirm statutory limits or clarify agency authority. Several state attorneys general have already filed suits in connection with the transaction, according to members' statements.
Attribution: Quotes in this article come from committee members and the witnesses who testified at the April hearing.
