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Applications Due Aug. 12, 2005, for November FM Auction

07.12.05
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The FCC has scheduled an auction of vacant FM allotments for Nov. 1, 2005. In order to participate in this auction, potential bidders will need to file an electronic “short form” FCC Form 175 by 6 p.m. Eastern time on Aug. 12, 2005. No filing fee or engineering will be required at that time. However, the “upfront payment/minimum bid amount” for each station desired will have to be wired to the FCC by Sept. 30, 2005. During the auction, bids will be accepted only electronically or by telephone.

A “new entrant bidding credit” will be given to those who have up to three other media interests (full power broadcast stations, cable systems, DBS, MDS or newspapers), so long as none of them serve them the same area as the FM station on which the owner is bidding. The bidding credit is 35 percent for no those who have no other media interests, and 25 percent for those who have an ownership interest in from one to three other mass media facilities.

In a separate but related matter, the FCC has announced that it will not accept minor change applications for commercial or noncommercial FM stations during the auction application filing window, from July 27, 2005, through Aug. 12, 2005. This short-term application freeze is designed to avoid potential conflicts between existing facilities and potential bidders for the vacant allotments. Similarly, the FCC will not accept counterproposals to amend the FM Table of Allotments where such proposals would affect one of the vacant allotments scheduled for auction. The Commission cautions potential applicants, however, that FM allotments to be auctioned may be subject to pending rulemakings and applications, and advises that due diligence be conducted prior to bidding.

Please contact us if you would like more information regarding the available allotments or the application/auction process.

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