,i #aafth ,,congress #b;d ,session ,h4 ,r4 #haed ,,in ,,the ,,house ,,of ,,representatives ,september #a1 #bjbj,mr4 ,walden introduced the following bill2 which was referred to the ,committee on ,energy and ,commerce ,a ,,bill ,to direct the ,federal ,communications ,commission to establish a broadcast incubator program to support the entry of new and diverse voices in the broadcasting industry by providing for an established broadcaster and an emerging broadcaster to enter into a qualifying incubation relationship4 #a4 ,short title ,this ,act may be cited as the ,broadcast ,diversity in ,leadership ,act4 #b4 ,broadcast ,incubator ,program 7a7 ,findings ,congress finds the following3 7#a7 ,our ,nation continues to respond to the ongoing ,,covid-#ai pandemic1 and all ,americans must have access to accurate1 reliable information4 7#b7 ,americans are fighting racial injustice1 and promoting local and diverse media will play an important role in limiting misinformation4 7#c7 ,congress should commit to promoting media diversity and pledging to work with media entities and diverse stakeholders to develop common-ground solutions to eliminate barriers to media diversity4 7#d7 ,the principle that an informed and engaged electorate is critical to a vibrant democracy is deeply rooted in our laws of free speech and underpins the virtues on which we established our ,constitution3 in ,order to form a more perfect ,union1 establish ,justice1 insure domestic ,tranquility1 provide for the common defence1 promote the general ,welfare1 and secure the ,blessings of ,liberty to ourselves and our ,posterity4 7#e7 ,having independent1 diverse1 and local media that provide exposure to a broad range of viewpoints and the ability to contribute to the political debate is central to sustaining informed engagement4 7#f7 ,it is in the public interest to encourage source1 content1 and audience diversity on our ,nation's shared media platforms4 7#g7 ,the survival of small1 independent1 and diverse media outlets that serve diverse audiences and local media markets is essential to preserving local culture and building understanding on important community issues that impact the daily lives of residents4 7#h7 ,research by the ,american ,society of ,news ,editors1 the ,radio ,television ,digital ,news ,association1 the ,pew ,research ,center1 and others has documented the continued challenges of increasing diversity among all types of media entities4 7#i7 ,with increasing media experience and sophistication1 it is even more important to have minority participation in local media to ensure a diverse range of information sources are available and different ideas and viewpoints are expressed to strengthen social cohesion among different communities4 7#aj7 ,the constriction in small1 independent1 and diverse media outlets and limited participation of diverse populations in media ownership and decisionmaking are combining to negatively impact our goal of increasing local civic engagement and civic knowledge through increased voter participation1 membership in civic groups1 and knowledge of local political and civil information4 7#aa7 ,the ,advisory ,committee on ,diversity and ,digital ,empowerment of the ,commission1 and predecessor ,federal advisory committees1 have recommended for decades that the ,commission adopt an incubator program providing structural rule changes to facilitate new and diverse entrants into the marketplace4 7#ab7 ,the ,broadcast ,incubator ,program established under this section is consistent with the national policy described in section #beg7;b7 of the ,communications ,act of #aicd 7#dg ,u4,s4,c4 #beg7;b773 to promote the policies and purposes of this ,act favoring diversity of media voices1 vigorous economic competition1 technological advancement1 and promotion of the public interest1 convenience1 and necessity4 7b7 ,establishment ,not later than #bgj days after the date of the enactment of this ,act1 the ,commission shall promulgate regulations establishing a program1 to be known as the ,broadcast ,incubator ,program1 to support the entry of new and diverse voices in the broadcasting industry by providing for an established broadcaster and an emerging broadcaster to enter into a qualifying incubation relationship with respect to one or more incubated stations of the emerging broadcaster4 7c7 ,qualifying incubation relationship 7#a7 ,requirements ,the ,commission shall establish in the regulations promulgated under subsection 7b7 requirements for a qualifying incubation relationship under the ,program that include the following3 7,a7 ,eligibility criteria that an established broadcaster and an emerging broadcaster shall meet in order to enter into such relationship1 including-- 7i7 a limit1 expressed in terms of a number of broadcast stations1 on how many broadcast stations of which an emerging broadcaster may have effective control on the day before the date on which the established broadcaster and the emerging broadcaster submit the application for the ,program under subsection 7d72 7ii7 a cap1 expressed in terms of a dollar amount1 on the gross revenue that the emerging broadcaster may earn during the calendar year ending most recently before the date on which the established broadcaster and the emerging broadcaster submit the application for the ,program under subsection 7d72 and 7iii7 a requirement for the established broadcaster to have effective control of-- 7,i7 if any incubated station under such relationship will be a radio broadcast station1 any class of ,,am or ,,fm radio broadcast station 7except for a low power radio station or a radio translator station72 and 7,,ii7 if any incubated station under such relationship will be a television broadcast station1 any class or assignment of television broadcast station 7except for a low power television station or a television translator station74 7,b7 ,criteria for the incubation activities that the established broadcaster shall perform as part of such relationship4 ,such activities shall include the provision by the established broadcaster to the emerging broadcaster of training1 financing1 or access to resources4 7,c7 ,a requirement that the established broadcaster and the emerging broadcaster establish mutually agreed-upon goals for such relationship4 7,d7 ,a requirement that the established broadcaster and the emerging broadcaster establish a mutually agreed-upon limitation on the amount of equity 7if any7 that the established broadcaster may hold in the emerging broadcaster4 7,e7 ,a minimum duration of #b years for such relationship4 7,f7 ,an option1 which may be exercised upon the agreement of the established broadcaster and the emerging broadcaster1 for such relationship to continue on an ongoing basis4 7,g7 ,a requirement that1 upon successful completion of such relationship in accordance with the application approved by the ,commission under subsection 7d7 and in compliance with the other requirements for the ,program established by the ,commission1 the emerging broadcaster shall have effective control of each incubated station under such relationship4 7#b7 ,determination of successful relationship ,the ,commission shall provide in the regulations promulgated under subsection 7b7 for the determination of whether a qualifying incubation relationship is being carried out successfully or has been completed successfully to be made by the ,commission on a case-by-case basis based on information provided in the application process and related forms and materials4 7d7 ,application process 7#a7 ,joint application ,the ,commission shall require an established broadcaster and an emerging broadcaster who propose to enter into a qualifying incubation relationship under the ,program to submit to the ,commission a joint application for participation in the ,program4 7#b7 ,process1 forms1 and materials ,the ,commission shall develop an application process and related forms and materials necessary to carry out the ,program4 7#c7 ,application review process 7,a7 ,deadline 7i7 ,in general ,except as provided in clause 7ii7 and subparagraph 7,b71 the ,commission shall approve or deny an application for participation in the ,program not later than #ij days after the date of the submission of the application4 7ii7 ,additional time needed by ,commission ,if the ,commission determines that1 because an excessive number of applications have been filed at one time1 the ,commission needs additional time for employees of the ,commission to process the applications1 the ,commission may extend the deadline described in clause 7i7 for not more than #de days4 7,b7 ,opportunity for applicant to cure deficiency ,if the ,commission determines that an application is materially deficient1 the ,commission shall provide the applicants a #ae-;day period to cure the defect before denying the application4 ,if such period would extend beyond the deadline under subparagraph 7,a7 for approving or denying the application1 such deadline shall be extended through the end of such period4 7,c7 ,effect of denial ,denial of an application for participation in the ,program shall not preclude the applicants from resubmitting the application or any applicant from submitting a new application for participation in the ,program at a later date4 7#d7 ,certifications ,the ,commission shall require each applicant submitting an application for participation in the ,program to certify to the ,commission in the application that1 as of the date of the submission of the application-- 7,a7 the applicant intends to participate1 in good faith1 in the ,program2 7,b7 in the case of an emerging broadcaster1 the applicant would be unable1 without the qualifying incubation relationship proposed in the application-- 7i7 in the case of any incubated station of which the applicant has effective control as of such date1 to continue to successfully operate such station2 and 7ii7 in the case of any incubated station of which the applicant proposes to acquire effective control after such date1 to acquire such effective control2 7,c7 the applicants have established the mutually agreed-upon goals required by subsection 7c77#a77;,c72 and 7,d7 the applicants have established the mutually agreed-upon limitation required by subsection 7c77#a77;,d74 7#e7 ,limitation on reapplication by established broadcaster after failed relationship ,if1 in #c or more instances1 the ,commission has terminated the participation of an established broadcaster in the ,program under subsection 7f7 and determined that such established broadcaster was primarily at fault in causing the circumstances on which the termination was based1 such established broadcaster may not submit another application for participation in the ,program4 7e7 ,waiver of local ownership rules 7#a7 ,in general ,if the ,commission makes the determination described in paragraph 7#b7 with respect to an established broadcaster and an emerging broadcaster1 the ,commission shall1 not earlier than #a year after making such determination1 grant to the established broadcaster a waiver of paragraph 7a7 or 7b7 of section #gc4ceee of title #dg1 ,code of ,federal ,regulations 7or any successor regulation7 to the extent necessary to permit the established broadcaster-- 7,a7 to hold a cognizable interest in any incubated station under the qualifying incubation relationship2 and 7,b7 to hold a cognizable interest in-- 7i7 if the established broadcaster had effective control of an ,,am or ,,fm radio broadcast station 7except for a low power radio station or a radio translator station7 on the day before the date on which the established broadcaster and the emerging broadcaster submitted the application for the ,program under subsection 7d71 #a radio broadcast station in excess of the number of radio broadcast stations in which the established broadcaster is permitted to hold a cognizable interest under section #gc4ceee7;a7 of such title in a radio market that is-- 7,i7 specified in paragraph 7#c77;,a72 and 7,,ii7 selected by the established broadcaster2 7ii7 if the established broadcaster had effective control of a television broadcast station 7except for a low power television station or a television translator station7 on the day before the date on which the established broadcaster and the emerging broadcaster submitted the application for the ,program under subsection 7d71 #a television broadcast station in excess of the number of television broadcast stations in which the established broadcaster is permitted to hold a cognizable interest under section #gc4ceee7;b7 of such title in a ,,dma that is-- 7,i7 specified in paragraph 7#c77;,a72 and 7,,ii7 selected by the established broadcaster2 or 7iii7 if the established broadcaster had effective control of an ,,am or ,,fm radio broadcast station 7except for a low power radio station or a radio translator station7 and a television broadcast station 7except for a low power television station or a television translator station7 on the day before the date on which the established broadcaster and the emerging broadcaster submitted the application for the ,program under subsection 7d71 either 7at the option of the established broadcaster7-- 7,i7 #a radio broadcast station in excess of the number of radio broadcast stations in which the established broadcaster is permitted to hold a cognizable interest under section #gc4ceee7;a7 of such title in a radio market determined in the same manner as under clause 7i72 or 7,,ii7 #a television broadcast station in excess of the number of television broadcast stations in which the established broadcaster is permitted to hold a cognizable interest under section #gc4ceee7;b7 of such title in a ,,dma determined in the same manner as under clause 7ii74 7#b7 ,determination of ,commission described ,the determination described in this paragraph is a determination that an established broadcaster and an emerging broadcaster have entered into and are successfully carrying out a qualifying incubation relationship under the ,program in accordance with an application approved by the ,commission under subsection 7d7 and are in compliance 7with respect to such relationship7 with the other requirements for the ,program established by the ,commission4 7#c7 ,specification of radio markets and ,d,m,as 7,a7 ,in general ,the radio markets or ,d,m,as 7as the case may be7 specified in this subparagraph are-- 7i7 if the highest-ranked radio market or ,,dma in which an incubated station under the qualifying incubation relationship is located is ranked not lower than #be1 all radio markets or ,d,m,as2 7ii7 if the highest-ranked radio market or ,,dma in which an incubated station under the qualifying incubation relationship is located is ranked lower than #be but not lower than #ge1 the radio markets or ,d,m,as ranked lower than #be2 7iii7 if the highest-ranked radio market or ,,dma in which an incubated station under the qualifying incubation relationship is located is ranked lower than #ge but not lower than #ajj1 the radio markets or ,d,m,as ranked lower than #ge2 7iv7 if the highest-ranked radio market or ,,dma in which an incubated station under the qualifying incubation relationship is located is ranked lower than #ajj but not lower than #aej1 the radio markets or ,d,m,as ranked lower than #ajj2 and 7v7 if the highest-ranked radio market or ,,dma in which an incubated station under the qualifying incubation relationship is located is ranked lower than #aej1 the radio markets or ,d,m,as ranked lower than #aej4 7,b7 ,market rankings ,for purposes of subparagraph 7,a7-- 7i7 a ,,dma ranking refers to the rankings of ,d,m,as based on the number of television households1 as determined by ,nielsen ,media ,research and published most recently before the granting of the waiver in the ,nielsen ,station ,index ,directory and ,nielsen ,station ,index ,united ,states ,television ,household ,estimates 7or any successor publication72 and 7ii7 a radio market ranking refers to the rankings of radio markets based on population1 as determined by ,nielsen ,media ,research and published most recently before the granting of the waiver in ,radio ,market ,survey ,population1 ,rankings ,information 7or any successor publication74 7#d7 ,termination of waiver ,the ,commission shall specify in the regulations promulgated under subsection 7b7 when a waiver granted under paragraph 7#a7 shall terminate4 7f7 ,termination of participation in ,program 7#a7 ,in general ,except as provided in paragraph 7#b71 if the ,commission determines that an established broadcaster and an emerging broadcaster are not successfully carrying out a qualifying incubation relationship in accordance with the application approved by the ,commission under subsection 7d7 or are not in compliance 7with respect to such relationship7 with the other requirements of the ,program established by the ,commission1 the ,commission shall terminate the qualifying incubation relationship under the ,program and the participation of the established broadcaster and the emerging broadcaster in the ,program with respect to such relationship4 7#b7 ,exception for transfer of incubated station 7,a7 ,in general ,the transfer by an emerging broadcaster of effective control of an incubated station to another person shall not terminate the qualifying incubation relationship under the ,program1 and such other person shall be substituted as a party to such relationship1 if-- 7i7 such other person meets the requirements for an emerging broadcaster under the ,program2 7ii7 such other person and the established broadcaster continue1 with respect to such station1 to successfully carry out the qualifying incubation relationship in accordance with the application approved by the ,commission under subsection 7d7 and to comply with the other requirements of the ,program established by the ,commission2 and 7iii7 in a case in which the original emerging broadcaster retains effective control of any incubated station under the qualifying incubation relationship1 such emerging broadcaster and the established broadcaster continue1 with respect to any such station1 to successfully carry out the qualifying incubation relationship in accordance with the application approved by the ,commission under subsection 7d7 and to comply with the other requirements of the ,program established by the ,commission4 7,b7 ,treatment as single qualifying incubation relationship ,if1 after a transfer described in subparagraph 7,a71 the original emerging broadcaster retains effective control of any incubated station under the qualifying incubation relationship1 any such station and any station of which effective control has been so transferred shall be treated as being part of a single qualifying incubation relationship4 7#c7 ,revocation of waiver prohibited 7,a7 ,in general ,except as provided in subparagraph 7,b71 the ,commission may not1 as a penalty for or consequence of the termination under paragraph 7#a7 of a qualifying incubation relationship between an established broadcaster and an emerging broadcaster1 revoke any waiver granted to the established broadcaster under subsection 7e77#a7 as a result of such relationship4 7,b7 ,exception for willful and knowing violations ,if the ,commission determines that the circumstances on which the termination under paragraph 7#a7 of a qualifying incubation relationship between an established broadcaster and an emerging broadcaster is based involve a willful and knowing violation by the established broadcaster of this section or a regulation promulgated under this section1 the ,commission may revoke any waiver granted to the established broadcaster under subsection 7e77#a7 as a result of such relationship4 7g7 ,exclusion from quadrennial review ,the ,program1 the regulations promulgated by the ,commission under this section1 and any waiver granted under subsection 7e77#a7 shall not be subject to review under section #bjb7;h7 of the ,telecommunications ,act of #aiif or section #aa of the ,communications ,act of #aicd 7#dg ,u4,s4,c4 #afa74 7h7 ,implementation and enforcement ,the ,commission shall implement and enforce this section as if this section is a part of the ,communications ,act of #aicd 7#dg ,u4,s4,c4 #aea et seq474 ,a violation of this section1 or a regulation promulgated under this section1 shall be considered to be a violation of the ,communications ,act of #aicd1 or a regulation promulgated under such ,act1 respectively4 7i7 ,consideration in ,communications ,marketplace ,report ,section #ac7;d7 of the ,communications ,act of #aicd 7#dg ,u4,s4,c4 #afc7;d77 is amended by adding at the end the following3 7#d7 ,considering effectiveness of ,broadcast ,incubator ,program ,in assessing the state of competition under subsection 7b77#a7 and regulatory barriers under subsection 7b77#c71 the ,commission1 with the input of the ,office of ,communications ,business ,opportunities of the ,commission1 shall consider the efficacy of the ,broadcast ,incubator ,program established under section #b of the ,broadcast ,diversity in ,leadership ,act in promoting competition4 4 7j7 ,rule of construction ,nothing in this section shall be construed to limit the development by the ,commission of additional programs or policies to promote the entry of new and diverse voices in the broadcasting industry4 7k7 ,definitions ,in this section3 7#a7 ,broadcast station ,the term broadcast station has the meaning given such term in section #c of the ,communications ,act of #aicd 7#dg ,u4,s4,c4 #aec74 7#b7 ,cognizable interest ,the term cognizable interest has the meaning given such term in note #a to section #gc4ceee of title #dg1 ,code of ,federal ,regulations 7as in effect on the date of the enactment of this ,act74 7#c7 ,commission ,the term ,commission means the ,federal ,communications ,commission4 7#d7 ,,dma ,the term ,,dma means a ,designated ,market ,area1 as determined by ,nielsen ,media ,research and published in the ,nielsen ,station ,index ,directory and ,nielsen ,station ,index ,united ,states ,television ,household ,estimates 7or any successor publication74 7#e7 ,emerging broadcaster ,the term emerging broadcaster means a person who-- 7,a7 has effective control of a broadcast station 7including any class or assignment of television broadcast station and any class of ,,am or ,,fm radio broadcast station7 that such person would be unable to continue to operate successfully without a qualifying incubation relationship under the ,program2 or 7,b7 plans to acquire effective control of a broadcast station 7including any class or assignment of television broadcast station and any class of ,,am or ,,fm radio broadcast station7 that such person would be unable to acquire without a qualifying incubation relationship under the ,program4 7#f7 ,established broadcaster ,the term established broadcaster means a person who-- 7,a7 has effective control of a broadcast station1 including any class or assignment of television broadcast station 7except for a low power television station or a television translator station7 and any class of ,,am or ,,fm radio broadcast station 7except for a low power radio station or a radio translator station72 and 7,b7 is established in the broadcasting industry1 as determined by the ,commission4 7#g7 ,incubated station ,the term incubated station means a broadcast station-- 7,a7 of which an emerging broadcaster has 7or plans to acquire7 effective control2 and 7,b7 with respect to which an established broadcaster performs 7or will perform7 incubation activities as part of a qualifying incubation relationship under the ,program4 7#h7 ,low power television station ,the term low power television station does not include a low power television station that has been accorded primary status as a ,class ,a television licensee under section #gc4fjja7;a7 of title #dg1 ,code of ,federal ,regulations4 7#i7 ,program ,the term ,program means the ,broadcast ,incubator ,program established by the regulations promulgated under subsection 7b74 7#aj7 ,radio market ,the term radio market means a radio market1 as determined by ,nielsen ,media ,research and published in ,radio ,market ,survey ,population1 ,rankings ,information 7or any successor publication74