,i  #aaf? ,,congress  #a/ ,session  ,h4 
,r4 #cieg  ,,9 ,,! ,,h\se ,,(           
,,repres5tatives  ,july #be1 #bjai,mr4  
,butt]field 7= himself1 ,ms4 ,cl>ke (   
,new ,york1 ,mr4 ,crd5as1 ,mr4 ,ru%1    
,mr4 ,veasey1 & ,mr4 ,ha/+s7 introduc$ !
 foll[+ bill2 :i* 0 ref]r$ to !         
,committee on ,en]gy & ,comm]ce1 & 9    
addition to ! ,committee on ,ways &     
,means1 = a p]iod to be subsequ5tly     
det]m9$ by ! ,speak]1 9 ea* case =      
consid]ation ( su* provisions z fall )9 
! jurisdiction ( ! committee conc]n$  ,a
 ,,bill  ,to direct ! ,f$]al            
,communications ,commission to take     
c]ta9 actions to increase div]sity (    
own]%ip 9 ! broadca/+ indu/ry1 & = o!r  
purposes4  #a4 ,%ort title ,?is ,act may
 be cit$ z ! ,exp&+ ,broadca/ ,own]%ip  
,opportunities ,act ( #bjai4  #b4 ,f9d+s
 ,congress f9ds ! foll[+3  7#a7 ,"o ( ! 
ma9 missions ( ! ,f$]al ,communications 
,commission1 & a compell+ gov]nm5tal    
int]e/1 is to ensure t !re is a div]sity
 ( own]%ip & viewpo9ts 9 ! broadca/+    

indu/ry4  7#b7 ,! ,commission %\ld      
cont9ue to collect relevant data &      
conduct /udies on su* div]sity & make   
appropriate recomm5dations to ,congress 
on h[ to increase ! numb] ( m9ority- &  
wom5-own$ broadca/ /ations4  7#c7 ,data 
f #bjad %[s t1 ( ! ov] #a1gjj comm]cial 
broadca/ television /ations 9 ! ,unit$  
,/ates1 less ?an #f p]c5t are own$ by   
wom51 & less ?an #c p]c5t are           
m9ority-own$4 ,) respect to radio       
/ations1 wom5 own$ approximately #g     
p]c5t ( ,,fm broadca/ radio /ations1 &  
m9orities own$ less ?an #c p]c5t ( su*  
/ations4  7#d7 ,wom5 & m9ority own]%ip  
is #e to #aj times high] 9 o!r indu/ries
 ?an 9 ! broadca/+ indu/ry4  7#e7 ,dur+ 
! #ag ye>s t a m9ority tax c]tificate   
program 0 9 place at ! ,commission 7f   
#aigh to #aiie71 ! ,commission issu$    
#bhg c]tificates = radio /ations & #dj  
c]tificates = television /ations4  7#f7 
,! ,commission c also support m9ority- &
 wom5-own$ entrants into ! broadca/+    
indu/ry by implem5t+ an incubator       

program 9 :i* exi/+ lic5sees assi/ new  
entrants 9 ! op]ation ( broadca/        
/ations4  #c4 ,,fcc reports to ,congress
  7a7 ,bi5nial report conta9+           
recomm5dations = increas+ numb] (       
m9ority- & wom5-,own$ broadca/ /ations  
,n lat] ?an #ahj days aft] ! date ( !   
enactm5t ( ?is ,act1 & n less frequ5tly 
?an e #b ye>s !reaft]1 ! ,commission    
%all submit to ,congress a report       
conta9+ recomm5dations = h[ to increase 
! total numb] ( broadca/ /ations t are  
own$ or controll$ by memb]s ( m9ority   
gr\ps or wom51 or by bo? memb]s (       
m9ority gr\ps & wom54  7b7 ,bi5nial     
report on numb] ( m9ority- & wom5-,own$ 
broadca/ /ations ,n lat] ?an #ahj days  
aft] ! date ( ! enactm5t ( ?is ,act1 & n
 less frequ5tly ?an e #b ye>s !reaft]1 !
 ,commission %all submit to ,congress a 
report t /ates ! total numb] ( broadca/ 
/ations t are own$ or controll$ by      
memb]s ( m9ority gr\ps or wom51 or by   
bo? memb]s ( m9ority gr\ps & wom51 bas$ 
on data report$ to ! ,commission on ,=m 

#cbc4  #d4 ,tax c]tificate program =    
broadca/ /ation transactions fur!r+     
own]%ip by socially disadvantag$        
individuals  7a7 ,requirem5ts = issuance
 ( c]tificate by ,,fcc  7#a7 ,9 g5]al   
,"p ,i ( title ,,iii ( ! ,communications
 ,act ( #aicd 7#dg ,u4,s4,c4 #cja et    
seq47 is am5d$ by add+ at ! end !       
foll[+3  #cdd4 ,tax c]tificate program =
 broadca/ /ation transactions fur!r+    
own]%ip by socially disadvantag$        
individuals  7a7 ,issuance ( c]tificate 
by ,commission ,^u application by a     
p]son :o engages 9 a sale ( an int]e/ 9 
a broadca/ /ation describ$ 9 subsection 
7b71 subject to ! rules adopt$ by !     
,commission "u subsection 7c71 !        
,commission %all issue to su* p]son a   
c]tificate /at+ t su* sale meets !      
requirem5ts ( ?is section4  7b7 ,sales  
describ$ ,! sales describ$ 9 ?is        
subsection are ! foll[+3 7#a7 ,sale     
result+ 9 or pres]v+ own]%ip by socially
 disadvantag$ individuals ,a sale ( an  
int]e/ 9 a broadca/ /ation if1          

imm$iately foll[+ ! sale1 ! /ation is   
own$ by socially disadvantag$           
individuals 7reg>dless ( :e!r ! /ation 0
 own$ by socially disadvantag$          
individuals be=e ! sale74  7#b7 ,sale by
 inve/or 9 /ation own$ by socially      
disadvantag$ individuals ,9 ! case ( a  
p]son :o has contribut$ capital 9       
ex*ange = an int]e/ 9 a broadca/ /ation 
t is own$ by socially disadvantag$      
individuals1 a sale by su* p]son ( "s or
 all ( su* int]e/4  7c7 ,rules ,!       
,commission %all adopt rules = !        
issuance ( a c]tificate "u subsection   
7a7 t provide = ! foll[+3  7#a7 ,limit  
on value ( sale ,a limit on ! value ( an
 int]e/ ! sale ( :i* qualifies = !      
issuance ( su* a c]tificate4 ,! limit   
%all be no l[] ?an #aj1jjj1jjj & no     
high] ?an #ej1jjj1jjj4  7#b7 ,m9imum    
hold+ p]iod ,9 ! case ( a sale describ$ 
9 subsection 7b77#a71 a m9imum p]iod    
foll[+ ! sale dur+ :i* ! broadca/ /ation
 mu/ rema9 own$ by socially disadvantag$
 individuals4 ,! m9imum p]iod %all be no

 long] ?an #c ye>s4  7#c7 ,cumulative   
limit on numb] or value ( sales ,a limit
 on ! total numb] ( sales or ! total    
value ( sales1 or bo?1 = :i* a p]son may
 be issu$ c]tificates "u subsection 7a74
  7#d7 ,p>ticipation 9 /ation managem5t 
by socially disadvantag$ individuals    
,requirem5ts = p>ticipation by socially 
disadvantag$ individuals 9 ! managem5t (
 ! broadca/ /ation4  7d7 ,annual report 
to ,congress ,! ,commission %all submit 
to ,congress an annual report describ+ !
 sales = :i* c]tificates h be5 issu$ "u 
subsection 7a7 dur+ ! p]iod cov]$ by !  
report4  7e7 ,def9itions ,9 ?is section3
 7#a7 ,own$ by socially disadvantag$    
individuals ,! t]m own$ by socially     
disadvantag$ individuals means1 )       
respect to a broadca/ /ation1 t--  7,a7 
su* /ation is at lea/ #ea p]c5t own$ by 
"o or m socially disadvantag$           
individuals1 or1 9 ! case ( any publicly
 own$ broadca/ /ation1 at lea/ #ea p]c5t
 ( ! /ock ( su* /ation is own$ by "o or 
m socially disadvantag$ individuals2 &  

7,b7 ! managem5t & daily bus9ess        
op]ations ( su* /ation are controll$ by 
"o or m ( su* individuals4  7#b7        
,socially disadvantag$ individual ,! t]m
 socially disadvantag$ individual means 
a woman or an individual :o has be5     
subject$ to racial or e?nic prejudice or
 cultural bias because ( ! id5tity ( !  
individual z a memb] ( a gr\p )\t reg>d 
to ! individual qualities ( !           
individual4  4  7#b7 ,deadl9e = adoption
 ( rules ,! ,commission %all adopt rules
 to implem5t section #cdd ( !           
,communications ,act ( #aicd1 z add$ by 
p>agraph 7#a71 n lat] ?an #a ye> aft] ! 
date ( ! enactm5t ( ?is ,act4  7#c7     
,report to ,congress on program         
expansion ,n lat] ?an #f ye>s aft] !    
date ( ! enactm5t ( ?is ,act1 !         
,commission %all submit to ,congress a  
report reg>d+ :e!r ,congress %\ld exp&  
section #cdd ( ! ,communications ,act ( 
#aicd1 z add$ by p>agraph 7#a71 beyond  
broadca/ /ations to cov] o!r entities   
regulat$ by ! ,commission4  7#d7        

,exam9ation & report to ,congress on    
nexus betwe5 div]sity ( own]%ip &       
div]sity ( viewpo9t  7,a7 ,exam9ation ,n
 lat] ?an #fj days aft] ! date ( !      
enactm5t ( ?is ,act1 ! ,commission %all 
initiate an exam9ation ( :e!r !re is a  
nexus betwe5 div]sity ( own]%ip or      
control ( broadca/ /ations 7includ+     
own]%ip or control by memb]s ( m9ority  
gr\ps or wom51 or by bo? memb]s (       
m9ority gr\ps & wom57 & div]sity ( !    
viewpo9ts express$ 9 ! matt] broadca/ by
 broadca/ /ations4  7,b7 ,report to     
,congress ,n lat] ?an #b ye>s aft] !    
date ( ! enactm5t ( ?is ,act1 !         
,commission %all submit to ,congress a  
report on ! f9d+s ( ! ,commission 9 !   
exam9ation "u subp>agraph 7,a71 includ+ 
support+ data4  7b7 ,nonrecognition (   
ga9 or loss = tax purposes  7#a7 ,9     
g5]al ,sub*apt] ,o ( *apt] #a ( !       
,int]nal ,rev5ue ,code ( #aihf is am5d$ 
by ins]t+ aft] "p ,,iv ! foll[+ new "p3 
,v ,sale ( ,int]e/ 9 ,c]ta9 ,broadca/   
,/ations  #ajga4 ,nonrecognition ( ga9  

or loss f sale ( int]e/ 9 c]ta9 broadca/
 /ations  7a7 ,nonrecognition ( ga9 or  
loss ,if a sale ( an int]e/ 9 a broadca/
 /ation1 )9 ! mean+ ( section #cdd ( !  
,communications ,act ( #aicd1 is c]tifi$
 by ! ,f$]al ,communications ,commission
 "u su* section1 su* sale %all1 if !    
taxpay] s elects1 be treat$ z an        
involunt>y conv]sion ( su* prop]ty )9 ! 
mean+ ( section #ajcc4 ,= purposes ( su*
 section z made applicable by !         
provisions ( ?is section1 /ock ( a      
corporation op]at+ a broadca/ /ation    
%all be treat$ z prop]ty simil> or      
relat$ 9 s]vice or use to ! prop]ty s   
conv]t$4 ,! "p ( ! ga91 if any1 on su*  
sale to :i* section #ajcc is n appli$   
%all nev]!less n be recogniz$1 if !     
taxpay] s elects1 to ! ext5t t x is     
appli$ to r$uce ! basis = det]m9+ ga9 or
 loss on any su* sale1 ( a "* subject to
 ! all[ance = depreciation "u section   
#afg1 rema9+ 9 ! h&s ( ! taxpay]        
imm$iately aft] ! sale1 or acquir$ 9 !  
same taxable ye>4 ,! mann] & am\nt ( su*

 r$uction %all be det]m9$ "u regulations
 prescrib$ by ! ,secret>y4 ,any election
 made by ! taxpay] "u ?is section %all  
be made by a /atem5t to t effect 9 8    
return = ! taxable ye> 9 :i* ! sale     
takes place1 & su* election %all be b9d+
 = ! taxable ye> & all subsequ5t taxable
 ye>s4  7b7 ,m9imum hold+ p]iod2 cont9u$
 managem5t ,if-- 7#a7 !re is            
nonrecognition ( ga9 or loss to a       
taxpay] "u ?is section ) respect to a   
sale ( prop]ty 7det]m9$ )\t reg>d to ?is
 p>agraph71 &  7#b7 ! taxpay] ceases to 
fulfill any requirem5ts ( ! rules adopt$
 by ! ,f$]al ,communications ,commission
 "u p>agraph 7#b7 or 7#d7 ( section     
#cdd7;c7 ( ! ,communications ,act (     
#aicd 7z su* rules are 9 effect on !    
date ( su* sale71  !re %all be no       
nonrecognition ( ga9 or loss "u ?is     
section to ! taxpay] ) respect to su*   
sale1 except t any ga9 or loss recogniz$
 by ! taxpay] by reason ( ?is subsection
 %all be tak5 into acc\nt z ( ! date on 
:i* ! taxpay] s ceases to fulfill su*   

requirem5ts4  7c7 ,basis ,= basis (     
prop]ty acquir$ on a sale treat$ z an   
involunt>y conv]sion "u subsection 7a71 
see section #ajcc7;b74  4  7#b7 ,cl]ical
 am5dm5t ,! table ( p>ts = sub*apt] ,o (
 *apt] #a ( ! ,int]nal ,rev5ue ,code (  
#aihf is am5d$ by ins]t+ aft] ! item    
relat$ to "p ,,iv ! foll[+ new "p3  ,"p 
,v--,sale ( ,int]e/ 9 ,c]ta9 ,broadca/  
,/ations ,section #ajga4 ,nonrecognition
 ( ga9 or loss f sale ( int]e/ 9 c]ta9  
broadca/ /ations4  4  7c7 ,effective    
date ,! am5dm5ts made by ?is section    
%all apply ) respect to sales ( int]e/s 
9 broadca/ /ations aft] ! date t is #a  
ye> aft] ! date ( ! enactm5t ( ?is ,act4
  7d7 ,sunset ,! am5dm5ts made by ?is   
section %all n apply ) respect to sales 
( int]e/s 9 broadca/ /ations aft] ! date
 t is #af ye>s aft] ! date ( ! enactm5t 
( ?is ,act4  #e4 ,incubator program ,n  
lat] ?an #ahj days aft] ! date ( !      
enactm5t ( ?is ,act1 ! ,commission %all 
am5d its ,report & ,ord] 9 ! matt] (    
rules & policies to promote new entry & 

own]%ip div]sity 9 ! broadca/+ s]vices1 
,,mb ,docket ,no4 #ag-bhi1 ,,fcc        
#ah-aad1 adopt$ on ,augu/ #b1 #bjah1 to 
d ! foll[+3  7#a7 ,exp& ! incubator     
program provid$ = 9 su* ,report & ,ord] 
to p]mit a lic5see to provide f9ancial  
support or op]ational support1 or bo?1  
to a qualify+ incubat$ entity t owns or 
wants to own a television broadca/      
/ation4  7#b7 ,exp& ! eligibility       
crit]ia = an incubat$ entity "u su*     
program to include broadca/ /ations own$
 by socially disadvantag$ individuals4  
#f4 ,def9itions ,9 ?is ,act3 7#a7       
,broadca/ /ation ,! t]m broadca/ /ation 
has ! mean+ giv5 su* t]m 9 section #c ( 
! ,communications ,act ( #aicd 7#dg     
,u4,s4,c4 #aec74  7#b7 ,commission ,!   
t]m ,commission means ! ,f$]al          
,communications ,commission4  7#c7 ,own$
 by socially disadvantag$ individuals ,!
 t]m own$ by socially disadvantag$      
individuals has ! mean+ giv5 su* t]m 9  
section #cdd ( ! ,communications ,act ( 
#aicd1 z add$ by section #d4