[opendtv] News: UHF Reg Fees Hiked

http://www.broadcastingcable.com/article/CA431113?display=Breaking+News&promocode=SUPP

UHF Reg Fees Hiked

By Bill McConnell -- Broadcasting & Cable, 6/28/2004 4:21:00 PM

As expected, owners of UHF stations will see a hefty increase in this 
year's bill from the Federal Communications Commission. The 
commission Monday approved its proposed 2004 regulatory fees, which 
hike payments all UHF stations must pay for the privilege of being 
regulated by the FCC. Most VHF stations by contrast will get a fee 
cut.

For UHF stations in top-10 markets, the fee is $17,775, up 12% from 
fiscal 2003. In markets 11-25 the fee is going up 26% to $16,175; 
markets 26-50 will get a 15% boost to $9,300; markets 51-100, up 12% 
to $5,550, remaining markets up 16% to $1,650.

  For VHF stations, only those in top-10 markets will pay more--an 
increase of 5% to $60,350. The rest will go down between 3% and 9%.

  The UHF hikes resulted from a culling of exempt stations from the 
pool of stations used to calculate the fees. Because the FCC sets 
revenue targets for each category of licensee, a drop in the number 
of paying stations means the remaining ones have to pay more.

Fee waivers are granted for financial hardship or other reasons and 
UHF stations are more likely to win exemptions than VHF. A similar 
culling of the rolls led to higher fees for some radio stations. 
Broadcasters did not object to the increases.

Over the objections of the NCTA, cable operators' annual regulatory 
fees are going up 6%, compared to an average of 1.5% for all telecom 
providers overseen by the FCC. Each system will pay 70 cents per sub 
and $135 per satellite relay license, up from 66 cents and $90, 
respectively, in 2003.

On orders from Congress, the FCC will take in $273 million in 
regulatory fees from all of its licensees, up 1.5% from 2003. 
Licensees will be billed via postcard.
 
 
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