California Public Broadcasting Forum v. Federal Communications Commission, Kqed, Inc., Intervenor

752 F.2d 670, 243 U.S. App. D.C. 213
CourtCourt of Appeals for the D.C. Circuit
DecidedJanuary 22, 1985
Docket82-1235, 83-2105
StatusPublished
Cited by25 cases

This text of 752 F.2d 670 (California Public Broadcasting Forum v. Federal Communications Commission, Kqed, Inc., Intervenor) is published on Counsel Stack Legal Research, covering Court of Appeals for the D.C. Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
California Public Broadcasting Forum v. Federal Communications Commission, Kqed, Inc., Intervenor, 752 F.2d 670, 243 U.S. App. D.C. 213 (D.C. Cir. 1985).

Opinions

J. SKELLY WRIGHT, Circuit Judge:

This case concerns an appeal from a series of Federal Communications Commission decisions not to hold hearings on several petitions to deny renewal of the licenses of KQED, Inc., the owner and operator of public television stations in San Francisco, California. The issue presented is whether the FCC could reasonably have found that the appellants here had not, in their petitions, made specific allegations raising substantial and material questions of fact that would constitute a prima facie showing that renewal of KQED’s licenses was not in the public interest. As discussed below, we hold that the Commission’s actions were, with one exception, reasonable. With respect to appellants’ allegation of KQED misrepresentation to the FCC, however, we find that the FCC’s dismissal of this allegation without a hearing was arbitrary and capricious and we therefore reverse and remand for a hearing on that claim.

I. Background

KQED holds broadcast licenses for two public television stations (KQED-TY and KQEC-TV) and one FM radio station (KQED-FM) in San Francisco. These licenses currently run for three years at a time, and KQED’s renewal schedule has called for renewal applications in 1977, 1980, and 1983.

As with many public broadcasters, KQED is a “member-supported” entity. Appellants in this ease, public interest groups and a group representing a faction of dissatisfied members of KQED, first filed a petition to deny renewal of KQED’s [673]*673broadcast licenses in 1977. In that petition they alleged generally (1) that KQED was betraying its noncommercial status by operating for private gain and by allowing commercial activities to interfere with its obligation to service the community; (2) that KQED had refused to disclose financial information and to open its meetings to the public fully; (3) that KQED was inadequately serving the local news, public affairs, and children’s programming needs of the community; and (4) that KQED was not sufficiently pursuing affirmative action policies. See Verified Petition to Deny Renewal of Broadcast License, October 28, 1977, reproduced in Joint Appendix (JA) at 26-50. They requested not only that KQED’s license renewal applications be denied but also that a hearing be held on the factual issues they raised. See id. at 25, JA 50.

On May 14, 1980 the Commission denied this petition and granted KQED’s 1977 license renewals without a hearing. It held that the allegations did not raise the substantial and material factual questions that, under the applicable statute, 47 U.S.C. § 309(d) (1982), would mandate a hearing on the license renewal and concluded that renewal of the licenses would be in the public interest. See In re: License Renewal Applications of KQED, Inc. (KQED I), 77 FCC2d 973 (1980), JA 1.

On June 10, 1980 appellants filed with the Commission a petition for reconsideration of KQED I. In this petition for reconsideration appellants, in addition to pressing their original claims, asserted a new allegation: that KQED had knowingly lied to FCC about its reasons for deactivating KQEC-TV in late 1979 and early 1980. See Petition for Reconsideration of Memorandum Opinion and Order FCC 80-245, June 10, 1980, reproduced in JA at 235-260.

Before the Commission had ruled on the petition for reconsideration of its decision granting the 1977 license renewals, appellants filed a new petition to deny KQED’s 1980 license renewals. This petition to deny, filed on October 30, 1980, made the same allegations as those in the earlier petitions and again requested denial of KQED's license renewal applications (this time the 1980 ones) or at least a hearing on those applications. See Petition to Deny, October 30, 1980, reproduced in JA at 355-383. Both the petition for reconsideration of KQED I and the petition to deny the 1980 license renewals were denied by the Commission on February 2, 1982. See In Re Applications of KQED, Inc. (KQED II), 88 FCC2d 1159 (1982), JA 6. Again, the FCC granted the license renewal applications without a hearing.

On March 4, 1982 appellants filed another petition for reconsideration — this time of KQED II, the Commission’s denial of the petition to deny the 1980 renewals. See Petition for Reconsideration of Denial of Petition to Deny, March 4, 1982, reproduced in JA at 620-635. This petition was also denied by the Commission on September 20, 1983. See In re Applications of KQED, Inc. (KQED III), FCC 83-403, reproduced in JA at 20-25.

In this consolidated appeal appellants challenge the failure of the FCC to hold hearings before granting KQED’s 1977 and 1980 license renewals.1 Specifically, they argue that three of their claims constituted a showing sufficient to mandate a hearing: (1) the claim that the station made misrepresentations to the FCC regarding its 1979-1980 deactivation of KQEC-TV; (2) the claim that commercial activities conducted by the station interfered to an unacceptable extent with the station’s local public interest programming; and (3) the claim that [674]*674the station failed to comply with the “open meeting” provisions of the Public Broadcasting Act. 47 U.S.C. § 390 et seq. (1982). They contend that the Commission’s failure to hold a hearing on these claims was arbitrary and capricious. After noting the applicable statutory provisions and the standard for judicial review, we will consider each of these claims in turn.

II. Statutory Requirements and Standard for Judicial Review

The Communications Act provides for the granting of a broadcast license by the Federal Communications Commission when the Commission finds that granting the license will serve the “public interest, convenience, and necessity.” 47 U.S.C. § 309(a). The Act also provides a mechanism for interested parties to object to the granting of licenses: “Any party in interest may file with the Commission a petition to deny any application [for a broadcast license].” Id. § 309(d)(1). In addition, the Act sets up standards for such petitions:

The petition shall contain specific allegations of fact sufficient to show that the petitioner is a party in interest and that a grant of the application [for a broadcast license] would be prima facie inconsistent with [the public interest]. Such allegations of fact shall, except for those of which official notice may be taken, be supported by affidavit of a person or persons with personal knowledge thereof. * * *

Id. Finally, the Act creates guidelines for the Commission to follow in dealing with such petitions to deny. In the face of such petitions the Commission may grant the license without a hearing, but only if it “finds * * * that there are no substantial and material questions of fact and that a grant of the application would be consistent with [the public interest].” Id. § 309(d)(2).

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Cite This Page — Counsel Stack

Bluebook (online)
752 F.2d 670, 243 U.S. App. D.C. 213, Counsel Stack Legal Research, https://law.counselstack.com/opinion/california-public-broadcasting-forum-v-federal-communications-commission-cadc-1985.