The Corporation for Public Broadcasting:
Federal Funding and Issues
Glenn J. McLoughlin
Section Research Manager
Rita Tehan
Information Research Specialist
January 13, 2015
Congressional Research Service
7-5700
www.crs.gov
RS22168
The Corporation for Public Broadcasting: Federal Funding and Issues
Summary
Federal Funding and Issues
March 8, 2016
(RS22168)
Jump to Main Text of Report
Summary
The Corporation for Public Broadcasting (CPB) receives virtually all of its funding through
federal appropriations; overall, about 15% of public television and 10% of radio broadcasting
funding comes from the federal appropriations that CPB distributes. CPB
’'s appropriation is
allocated through a distribution formula established in its authorizing legislation and has
historically received two-year advanced appropriations. Congressional
policy makers are
policymakers are increasingly interested in the federal role in supporting CPB due to concerns over the federal
debt, the role of the federal government funding for public radio and television, and whether
public broadcasting provides a balanced and nuanced approach to covering news of national
interest.
It is also important to note that many congressional
policy makerspolicymakers defend the federal role of
funding public broadcasting. They contend that it provides news and information to large
segments of the population that seek to understand complex policy issues in depth, and in
particular for children
’'s television broadcasting, has a significant and positive impact on early
learning and education for children.
On June 20, 2012, the Corporation for Public Broadcasting released a report, Alternative Sources
of Funding for Public Broadcasting Stations. The report was undertaken in response to the
conference report accompanying the Military Construction and Veterans Affairs and Related
Appropriations Act of 2012 (incorporated into the Consolidated Appropriations Act, FY2012,
H.R. 2055
, , P.L. 112-74). The CPB engaged the consulting firm of Booz & Company to explore
possible alternatives to the federal appropriation to CPB. Among its findings, the report stated
that ending federal funding for public broadcasting would severely diminish, if not destroy, public
broadcasting service in the United States.
The two-year advanced appropriations process for CPB means that in any given year
congressional policy makers congressional policymakers are considering what the CPB appropriations will be two years from
that time. So as Congress considers funding for the upcoming FY2016 fiscal year, that
deliberation will include CPB funding for FY2018. The Administration
’'s request for FY2017 was
$445 million; on December 13, 2014, the Senate, after House approval the day before, passed
H.R. 83, the Consolidated and Further Continuing Appropriations Act, 2015. This bill provided
$445 million to CPB in advanced appropriations. The President signed this legislation into law on
December 16, 2014 (P.L. 113-235
).
The Corporation for Public Broadcasting: Federal Funding and Issues
Background
The Corporation for Public Broadcasting (CPB) was incorporated in 1967 as a private nonprofit corporation under the authority of the Public Broadcasting Act of 1967 (P.L. 90-129). CPB funding promotes public television and radio stations and their programs. These CPB-funded stations reach virtually every household in the United States. CPB is the largest single source of funding for public television and radio programming.
Most CPB-funded television programs are distributed through the Public Broadcasting Service (PBS) created in 1969 by CPB. CPB-funded radio programs are distributed primarily through National Public Radio (NPR), created in 1970 by CPB. Both PBS and NPR are private, not for profit corporations.
The number of radio and television public broadcasting stations supported by CPB increased from 270 in 1969 to 1,406 in 20151 of which 365 are television stations. Public broadcasting stations are run by universities, nonprofit community associations, state government agencies, and local school boards all of which are licensed by the FCC.
Corporation for Public Broadcasting
CPB is a nonprofit private corporation and is guided by a nine-member board of directors. These directors are appointed by the President with the advice and consent of the Senate. The directors serve for staggered six-year terms. The current chairman is Elizabeth Sembler, reappointed by President Obama and confirmed by the Senate in September 2014. CPB's principal function is to receive and distribute the federal appropriation in accordance with the Public Broadcasting Act, supporting qualified public radio and television stations and funding national content. Seventy percent of the federal appropriation is used to provide Community Service Grants (or CSGs) to stations that meet specified eligibility criteria. CPB exercises minimum control of program content and other activities of local stations, and is prohibited from owning or operating any of the primary facilities used in broadcasting. In addition, it may not produce, disseminate, or schedule programs. The current president and CEO of CPB is Patricia de Stacy Harrison, appointed by the board of directors in June 2005.
Approximately 15% of public television and 10% of radio broadcasting funding comes from the federal appropriations that CPB distributes.2 However, among individual public broadcasting stations, the amount of federal dollars that contributes to a station's annual budget depends on the funds it receives from nonfederal sources; the number and extent of broadcast transmitters required to service its coverage area; the extent to which a station is serving rural areas and minority audiences; and whether or not it is a television or radio station.
While federal funding for CPB primarily comes from the Departments of Labor-Health and Human Services-Education appropriations bill as a separate entry under the "Related Agencies" section of that bill, it may receive other sources of funding from the federal government. For example, on September 8, 2015, CPB and PBS received a five-year Ready to Learn grant from the Department of Education's Office of Innovation and Improvement, which will provide $19 million in the first year of funding. CPB and PBS will use this money to fund research, development, and deployment of transmedia content to improve the math and literacy skills of children ages 2-8, especially those living in poverty.3
Public Television: PBS
PBS was created by CPB in 1969 to operate and manage a nationwide (now satellite) program distribution system interconnecting all the local public television stations, and to provide a distribution channel for national programs to those public television stations. Although PBS does not produce programs for its members, it aggregates funding for the creation and acquisition of programs by and for the stations, and distributes programs through its satellite distribution system. Paula Kerger became the sixth and current president and CEO of PBS in March 2006.
Public Radio: NPR
For radio, a different division of responsibilities was established. CPB created National Public Radio (NPR) in 1970 as a news-gathering, production, and program-distribution company governed by its member public radio stations. Unlike its public television counterpart, NPR is authorized to produce radio programs for its members as well as to provide, acquire, and distribute radio programming through its satellite program distribution system. NPR Inc., located in Washington, DC, provides these administrative operations. On July 2014, Jarl Mohn became the current president and CEO of NPR.
After the firing of Juan Williams, a news analyst for NPR,4 in October 2010, NPR Inc. announced that its board of directors had accepted several recommendations to provide greater clarity and transparency for its code of ethics regarding NPR employees. These include reviewing and updating of policies and training with respect to the role of NPR journalists appearing on other media outlets, reviewing and defining their roles (including those of news analysts) in a changing news environment, and encouraging a broad range of viewpoints to reflect the diversity of NPR's national audiences. At the same time these recommendations were announced, Ellen Weiss, vice president of news for NPR, resigned; it was also announced that Ms. Schiller would not receive a bonus for 2010. On March 9, 2011, Vivian Schiller resigned as president and CEO of NPR, over continued scrutiny and criticism over NPR's handling of an incident regarding Ronald Schiller (no relation) in a taped interview.
In response, some policymakers are revisiting the issue of whether federal appropriations should continue to support any part of the public broadcasting system. They are addressing the overall federal appropriations for CPB (discussed below), as well as any direct funding the NPR ).
Congressional Research Service
The Corporation for Public Broadcasting: Federal Funding and Issues
Contents
Background ...................................................................................................................................... 1
Corporation for Public Broadcasting ............................................................................................... 1
Public Television: PBS .................................................................................................................... 2
Public Radio: NPR........................................................................................................................... 2
Federal Funding ............................................................................................................................... 3
Legislative History: 111th—113th Congresses............................................................................ 6
Issues................................................................................................................................................ 8
Tables
Table 1. CPB Federal Appropriations .............................................................................................. 4
Contacts
Author Contact Information............................................................................................................. 9
Congressional Research Service
The Corporation for Public Broadcasting: Federal Funding and Issues
Background
The Corporation for Public Broadcasting (CPB) was incorporated in 1967 as a private nonprofit
corporation under the authority of the Public Broadcasting Act of 1967 (P.L. 90-129). CPB
funding promotes public television and radio stations and their programs. These CPB-funded
stations reach virtually every household in the United States. CPB is the largest single source of
funding for public television and radio programming.
Most CPB-funded television programs are distributed through the Public Broadcasting Service
(PBS) created in 1969 by CPB. CPB-funded radio programs are distributed primarily through
National Public Radio (NPR), created in 1970 by CPB. Both PBS and NPR are private, not for
profit corporations.
The number of radio and television public broadcasting stations supported by CPB increased
from 270 in 1969 to 1,300 in 2012,1 of which 368 are television stations. Public broadcasting
stations are run by universities, nonprofit community associations, state government agencies,
and local school boards all of which are licensed by the FCC.
Corporation for Public Broadcasting
CPB is a nonprofit private corporation and is guided by a nine-member board of directors. These
directors are appointed by the President with the advice and consent of the Senate. The directors
serve for staggered six-year terms. The current chairman is Patty Cahill, elected by the board of
directors in September 2012. CPB’s principal function is to receive and distribute the federal
appropriation in accordance with the Public Broadcasting Act, supporting qualified public radio
and television stations and funding national content. Seventy percent of the federal appropriation
is used to provide Community Service Grants (or CSGs) to stations that meet specified eligibility
criteria. CPB exercises minimum control of program content and other activities of local stations,
and is prohibited from owning or operating any of the primary facilities used in broadcasting. In
addition, it may not produce, disseminate, or schedule programs. The current president and CEO
of CPB is Patricia de Stacy Harrison, appointed by the board of directors in June 2005.
Approximately 15% of public television and 10% of radio broadcasting funding comes from the
federal appropriations that CPB distributes.2 However, among individual public broadcasting
stations, the amount of federal dollars that contributes to a station’s annual budget depends on the
funds it receives from nonfederal sources; the number and extent of broadcast transmitters
required to service its coverage area; the extent to which a station is serving rural areas and
minority audiences; and whether or not it is a television or radio station.
While federal funding for CPB primarily comes from the Departments of Labor-Health and
Human Services-Education appropriations bill as a separate entry under the “Related Agencies”
section of that bill, it may receive other sources of funding from the federal government. For
example, on October 15, 2010, CPB and PBS received notification of a Ready to Learn grant of
nearly $72 million from the Department of Education’s Office of Innovation and Improvement.
1
2
http://www.cpb.org/aboutpb/faq/stations.html.
http://www.cpb.org/stations/reports/revenue/2012PublicBroadcastingRevenue.pdf.
Congressional Research Service
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The Corporation for Public Broadcasting: Federal Funding and Issues
CPB and PBS will use this money to fund research, development, and deployment of transmedia
content to improve the math and literacy skills of children ages 2-8, especially those living in
poverty.3
Public Television: PBS
PBS was created by CPB in 1969 to operate and manage a nationwide (now satellite) program
distribution system interconnecting all the local public television stations, and to provide a
distribution channel for national programs to those public television stations. Although PBS does
not produce programs for its members, it aggregates funding for the creation and acquisition of
programs by and for the stations, and distributes programs through its satellite distribution
system. Paula Kerger became the sixth and current president and CEO of PBS in March 2006.
Public Radio: NPR
For radio, a different division of responsibilities was established. CPB created National Public
Radio (NPR) in 1970 as a news-gathering, production, and program-distribution company
governed by its member public radio stations. Unlike its public television counterpart, NPR is
authorized to produce radio programs for its members as well as to provide, acquire, and
distribute radio programming through its satellite program distribution system. NPR Inc., located
in Washington, DC, provides these administrative operations. Paul Haaga is currently the acting
president and CEO of NPR.
On October 20, 2010, Juan Williams, a news analyst working as an independent contractor
reporter for NPR, was fired by executives in the office of NPR News for comments Mr. Williams
made on the Fox News Channel, as well as apparently for previous incidents that violated the
terms of Mr. Williams’s contract.4 In an appearance on The O’Reilly Factor show, Mr. Williams
stated that he gets “nervous” when he sees someone in “Muslim garb” on an airplane. Two days
after his appearance, Mr. Williams was notified by telephone that his contract with NPR was
being terminated. In a memorandum to NPR staff on October 24, 2010, Vivian Schiller, then
president and chief executive at NPR, stated that she “regrets that NPR executives did not meet
with (Mr.) Williams in person to discuss the situation.” In addition, Ms. Schiller also stated that
Mr. Williams’s comment was just the most recent in a series of objectionable remarks Mr.
Williams has made while offering commentary on Fox News. This decision was supported by the
leadership of NPR news.5 However, almost immediately there was a strong reaction from some
among the media and public about the process and fairness of this firing. This in turn has raised
questions about any federal funding that supports NPR policies and programs.
3
Corporation for Public Broadcasting, “The Corporation for Public Broadcasting and PBS Receive Ready To Learn
Grant Funding from the U.S. Department of Education,” press release, October 15, 2010, http://www.cpb.org/
pressroom/release.php?prn=840.
4
Mike Riksen, Vice President, Policy & Representation, letter to the Congressional Research Service, December 6,
2010. p. 1.
5
Ibid., and as cited at http://www.npr.org/blogs/thetwo-way/2010/10/25/130805049/npr-ceo-apologizes-for-handlingof-williams-termination. Information on NPR’s code of ethics may be viewed at http://www.npt.org/about/aboutnpr/
ethics/, December 23, 2010.
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The Corporation for Public Broadcasting: Federal Funding and Issues
On January 6, 2011, NPR Inc. announced that its board of directors had accepted several
recommendations to provide greater clarity and transparency for its code of ethics regarding NPR
employees. These include reviewing and updating of policies and training with respect to the role
of NPR journalists appearing on other media outlets, reviewing and defining their roles (including
those of news analysts) in a changing news environment, and encouraging a broad range of
viewpoints to reflect the diversity of NPR’s national audiences. At the same time these
recommendations were announced, Ellen Weiss, vice president of news for NPR, resigned; it was
also announced that Ms. Schiller would not receive a bonus for 2010. On March 9, 2011, Vivian
Schiller resigned as president and CEO of NPR, over continued scrutiny and criticism over NPR’s
handling of an incident regarding Ronald Schiller (no relation) in a taped interview.
In response, some policy makers are revisiting the issue of whether federal appropriations should
continue to support any part of the public broadcasting system. They are addressing the overall
federal appropriations for CPB (discussed below), as well as any direct funding the NPR
Foundation receives from federal sources. H.R. 68 and H.R. 69 (Representative Lamborn, and
discussed more fully later in this report) were introduced on January 5, 2011. These bills would
have eliminated federal appropriations for NPR and CPB, respectively, in FY2013.
In both FY2011 and FY2012
In FY2015, CPB distributed its community service grants (CSG) money to over
400 radio licensees operating
around 1000more than 1,000 public radio stations. NPR directly received $2 million
in discretionary grants ($0 in FY2011 and $2.04 million in FY2012).
65 In addition, there appears
to be at least another source of federal funding for NPR. NPR Inc., which oversees the NPR
system, states that annually NPR receives direct funding in the range of $1.5 million to $3 million
from two federal agencies and CPB, and that this funding accounts for less than 2% of its annual
budget. In FY2009 NPR Inc. received $1.6 million and in FY2010, $2.5 million. The sources of
this funding are the National Endowment of the Arts, CPB, and the Department of Education.
7
Federal Funding
6
Federal Funding
The Obama Administration requested a $445 million appropriation for CPB in its FY2015 budget
request (which would be dispersed in FY2017). The vehicle that is used to provide appropriations
to CPB is the Departments of Labor-Health and Human Services-Education bill. On December
13, 2014, the Senate, after House approval the day before, passed H.R. 83, the Consolidated and
Further Continuing Appropriations Act, 2015. This bill provided $445 million to CPB in
advanced appropriations. The President signed this legislation into law on December 16, 2014
( (P.L. 113-235
).
).
From the last year of available information, the U.S. public broadcasting system—comprised of
the national public radio and television stations—reported total revenue of $2.8 billion in
FY2012. According to CPB, for public broadcasting revenue by source, CPB funds made up 16%
6
Also described by NPR as “occasional projects.” It is important to note that the original numbers provided to CRS
were $3.9 million in FY2009 and $4.1 million in FY2010, for a total of $8 million. Telephone Conversation, Office of
Congressional Affairs, Corporation for Public Broadcasting, October 21, 2010. The purposes of these grants were to
develop HD radio technology for those who are “print- and hearing-impaired”; to distribute next generation public
broadcasting technology to individual stations; to support collaborations between public radio and public broadcasting
stations for content related to news events of 2008 and 2009; and for other projects. Mike Riksen, Vice President,
Policy & Representation, letter to the Congressional Research Service, December 6, 2010. p. 2.
7
Personal Communication, Anna Christopher, Communications Office, NPR, October 26, 2010.
Congressional Research Service
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The Corporation for Public Broadcasting: Federal Funding and Issues
of the total; another 2.2 FY2012. According to CPB, for public broadcasting revenue by source, CPB funds made up 14.9% of the total; another 1.6% came from federal grants and contracts. The remaining
81.883.5% was
raised from nonfederal sources (including individuals, businesses, foundations, state and local
governments, and educational institutions). The largest single income source (28.5% in
FY2012)
FY2013) came from membership.
Federal appropriations which go through CPB to the individual public radio and television
stations generally are designated as unrestricted federal funds.
For those public radio stations
which applied for grants, the amount of grants awarded by CPB totaled $68.6 million in FY2012.
CPB distributed $69.31 million in FY2014 funding to public radio stations that qualify for its Community Service Grant program. However, member stations also pay NPR fees for content and programming; some contend that
federal grant money is supporting part of the revenue streams back to NPR Inc.
A history of CPB appropriations is presented in Table 1. Additional information on both NPR and
PBS funding may be obtained at their respective websites (http://www.npr.org and
http://www.pbs.org, respectively).
Table 1. CPB Federal Appropriations
($ in millions)
Fiscal Year
Administration
Request
House
Appropriation
Senate
Appropriation
Final
Appropriation
1969
$9
a
$6
$5
1970
15
a
15
15
1971
22
a
27
23
1972
35
35
35
35
1973
45
45
45
35
1974
45
a
55
50
1975
60
60
65
62
1976
70
78.5
78.5
78.5
TQb
17
17.5
17.5
17.5
1977
70
96.7
1978
80
1979
90
1980
103
103
107.1
121.1
119.2
120.2
140
120.2
120
145
172
152
1981
162
162
162
162
1982
172
172
172
172
1983
172
172
172
137
1984
110
110
130
137.5
1985
85
130
130
150.5
1986
75
130
130
159.5
1987
186
a
238
200
1988
214
a
214
214
1989
214
214
238
228
1990
214
238
248
229.4c
Congressional Research Service
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The Corporation for Public Broadcasting: Federal Funding and Issues
Fiscal Year
Administration
Request
1991
214
1992
House
Appropriation
Senate
Appropriation
Final
Appropriation
a
302.5d
298.9d
242.1
314.1d
340.5d
327.3d
1993
306.5d
306.5d
341.9
318.6d
1994
260
253.3
284
275
1995
275
271.6
310
285.6
1996
292.6
292.6
320
275
1997
292.6
a
330
260
1998
296.4
240
260
250
1999
275
250
250
250
2000
325
300
300
300
2001
340
340
340
340
2002
350
340
350
350
2003
365
365
365
362.8
2004
e
365
395
377.8
2005
e
380
395
386.8f
2006
e, g
335
400
396h
2007
e, g
400
400
400
2008
e, g
400
400
393i
2009
e, g
None
400
400
2010
e, g
420
420
420
2011
e
430
430
429.1
2012
440
440
450
444.1
2013
460
460
460
421.8j
2014
451k
None
445
445l
2015
445m
None
445
445
2016
445n
None
445
445
2017
445o
None
445
445
Source: Compiled by the Congressional Research Service from information from the Corporation for Public
Broadcasting (http://www.cpb.org).
a.
Allowance not included in House Bill because of lack of authorizing legislation.
b.
Transition Quarter funding, during which federal budget year changed from July to September.
c.
Reduced FY1990 by Sequestration.
d.
Includes funds appropriated for the Satellite Replacement Fund.
e.
From FY2002-FY2011, the Bush Administration declined to request two-year advance funding for CPB.
Similarly, the President’s budget request did not provide separate funding for digital or, where applicable,
interconnection replacement, but would have permitted CPB to use a portion of its general appropriation
to fund both.
f.
($ in millions)
Fiscal Year
|
Administration Request
House Appropriation
Senate Appropriation
Final Appropriation
1969
|
a
1970
|
a
1971
|
a
1972
|
1973
|
1974
|
a
1975
|
1976
|
TQb
1977
|
1978
|
1979
|
1980
|
1981
|
1982
|
1983
|
1984
|
1985
|
1986
|
1987
|
a
1988
|
a
1989
|
1990
|
229 | .4c
1991
|
a
302 | .5d
298 | .9d
1992
|
314 | .1d
340 | .5d
327 | .3d
1993
|
306 | .5d
306 | .5d
318 | .6d
1994
|
1995
|
1996
|
1997
|
a
1998
|
1999
|
2000
|
2001
|
2002
|
2003
|
2004
|
e
2005
|
e
386 | .8f
2006
|
e, g
396h
2007
|
e, g
2008
|
e, g
393i
2009
|
e, g
2010
|
e, g
2011
|
e
2012
|
2013
|
421 | .8j
2014
|
451k
445l
2015
|
445m
2016
|
445n
2017
|
445o
Source: Compiled by the Congressional Research Service from information from the Corporation for Public Broadcasting (http://www.cpb.org).
a.
Allowance not included in House Bill because of lack of authorizing legislation.
b.
Transition Quarter funding, during which federal budget year changed from July to September.
c.
Reduced FY1990 by Sequestration.
d.
Includes funds appropriated for the Satellite Replacement Fund.
e.
From FY2002-FY2011, the Bush Administration declined to request two-year advance funding for CPB. Similarly, the President's budget request did not provide separate funding for digital or, where applicable, interconnection replacement, but would have permitted CPB to use a portion of its general appropriation to fund both.
f.
FY2005 funding ($390 million) reduced by 0.80% across-the-board rescission in
P.L. 108-447.
g.
P.L. 108-447.
Congressional Research Service
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The Corporation for Public Broadcasting: Federal Funding and Issues
g.
From FY2006-FY2010, the Bush Administration proposed rescissions to CPB
’'s already-enacted two-year
advanced funding. The proposed rescissions: $10 million from FY2006; $53.5 million from FY2007; $50
million from FY2008; $200 million from FY2009 and $220 million from FY2010.
h.
h.
FY2006 funding ($400 million) reduced by 1% across-the-board rescission in P.L. 109-148
.
i.
.
i.
FY2008 funding ($400 million) reduced by 1.747% across-the-board rescission in P.L. 110-161
.
j.
.
j.
Reduced 5.2% for sequestration and an across the board rescission in P.L. 113-6
.
k.
.
k.
Fiscal Year 2012 Appendix Budget of the U.S. Government.
l.
l.
P.L. 112-74, the Consolidated Appropriations Act (H.R. 2055
).
m.
).
m.
Fiscal Year 2013 Appendix Budget of the U.S. Government.
n.
n.
Fiscal Year 2014 Appendix Budget of the U.S. Government.
o.
o.
Fiscal Year 2015 Appendix Budget of the U.S. Government.
Legislative History: 111th—113th Congresses
Legislative History: 111th-113th Congresses
There was significant legislative interest and activity regarding federal funding for CPB from the
end of the
111th111th Congress through the
112th112th Congress. During the
111th111th Congress, Representative
Lamborn (CO) introduced H.R. 5538, a bill that would have eliminated federal funding for CPB
after FY2012.
87 This bill was referred to the House Committee on Energy and Commerce. During
the
“"lame duck
”" period of the
111th111th Congress in November 2010, Representative Lamborn sought
to have his bill considered for floor action in the House, but this action was defeated by a vote of
239-171. In response, Representative Earl Blumenauer (OR) defended public broadcasting by
stating that
“"National Public Radio is one of the few areas where the American public can
actually get balanced information.
”9
"8
On January 5, 2011, Representative Lamborn introduced H.R. 68 (To amend the Communications
Act of 1934 to prohibit Federal funding for the Corporation of Public Broadcasting after FY2013)
and H.R. 69 (To prohibit Federal funding of certain public radio programming, to provide for the
transfer of certain public debt, and for other purposes). The first bill, like its predecessor
H.R. 5538H.R.
5538, would have eliminated federal appropriations for CPB when its two-year advanced funding
ends. The second bill would have prohibited federal funding to organizations incorporated for
specified purposes related to (1) broadcasting, transmitting, and programming over
noncommercial educational radio broadcast stations, networks, and systems; (2) cooperating with
foreign broadcasting systems and networks in international radio programming and broadcasting;
(3) assisting and supporting such noncommercial educational radio broadcasting pursuant to the
Public Broadcasting Act of 1967; or (4) acquiring radio programs from such organizations. In
effect, it would have prohibited any individual public radio station from using federal funding to
engage in transactions with NPR Inc. Both bills were referred to the House Committee on Energy
and Commerce.
On January 11, 2011, NPR Inc. responded to the two bills by stating, in part:
“"The proposal to
prohibit public radio stations from using CPB grants to purchase NPR programming interjects
federal authority into local station program decision-making. Furthermore, restrictions on the
8
Full title: “To amend the Communications Act of 1934 to prohibit Federal funding for the Corporation for Public
Broadcasting after fiscal year 2012.”
9
Frances Symes, CQ Today Online News, “House Rejects GOP Bid to Reduce Federal Funding for NPR and Local
Stations.” http://www.cq.com/doc/news.
Congressional Research Service
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The Corporation for Public Broadcasting: Federal Funding and Issues
authority of CPB—a Congressionally chartered, independent, nonprofit organization—to make
competitive grants to NPR, or any other public broadcasting entity, is misguided.
”10
"9
Other legislation was introduced addressing federal support for public broadcasting. On January
7, 2011, Representative Kevin Brady introduced H.R. 235 (Cut Unsustainable and Top-Heavy
Spending Act of 2011 or the CUTS ACT), which provided that all unobligated balances held by
the CPB that consist of federal funds be rescinded and no federal funds appropriated hereafter
shall be obligated or expended.
On January 24, 2011, Representative Jim Jordan introduced H.R. 408 (Spending Reduction Act of
2011), which would have reduced federal spending by $2.5 trillion through FY2021 in part by
eliminating the CPB.
On March 15, 2011, Representative Lamborn introduced H.R. 1076, a bill to prohibit the funding
of National Public Radio and restrict the use of federal funds for member stations to acquire NPR
broadcasting content. The House Rules Committee passed H.Res. 174, which permitted
H.R. 1076H.R.
1076 to go directly to the floor and, without any points of order or amendments, be open to one
hour of debate before a full vote in the House of Representatives. H.R. 1076 passed the House
228-192, and was referred to the Senate. No further action was taken on this bill.
Other proposals in the
112th112th Congress addressed federal funding for public broadcasting. On
January 20, 2011, the Republican Study Group, a conservative caucus comprised of 100 Members
of Congress, released its list of proposed budget cuts, including elimination of CPB
’s
's appropriations starting in FY2012. At the same time, Representative Ryan (WI), the chairman of
the House Committee on the Budget for the
112th112th Congress, proposed a new continuing resolution
that would have set the rest of the FY2011 budget at FY2008 levels (excluding defense,
homeland security, and veterans
’' programs).
In the 113th
In the 113th Congress, several bills have been introduced addressing the Corporation for Public
Broadcasting, National Public Radio, the Public Broadcasting System, and issues related to these
institutions and their funding. H.R. 2597, a bill To Prohibit Federal Funding of National Public
Radio and the Use of Federal Funds to Acquire Radio Content (Lamborn), was introduced on July
5, 2013, and was referred to the House Subcommittee on Communications and Technology of the
Energy and Commerce Committee. As the title indicates, this bill would eliminate all direct
federal funding for NPR as well as federal funding to sell or acquire NPR-based programming
content. H.R. 2647, the Emergency Information Improvement Act of 2013 (Higgins), was
introduced on July 10, 2013, and referred to the House Subcommittee on Economic
Development, Committee on Public Buildings and Emergency Management. The bill would
revise disaster relief law to include public broadcasting facilities, among other provisions. On
July 11, 2013, S. 1284, the Departments of Labor, Health and Human Services, and Education
and Related Agencies Appropriations Act, 2014 (Harkin), was introduced and placed on the
Senate Legislative calendar. In this bill, the congressional request for CPB in FY2016—the
forward two-year appropriation—is $445 million.
10
NPR Statement Regarding Proposed Legislation, H.R. 68/69, NPR., Inc., Washington, DC, January 11, 2011.
Congressional Research Service
7
The Corporation for Public Broadcasting: Federal Funding and Issues
Issues
114th Congress
To date, no legislation has been introduced addressing the federal role in funding or supporting public broadcasting in the 114th Congress. It is expected that appropriations for CPB in FY2019 will be addressed in the FY2017 Labor-HHS-Education appropriations bill later this year.
Issues
In an age of multiple cable channel options, digital radio, and computerized digital streaming,
some ask whether there is a need for federal appropriations to support public broadcasting. The
array of commercial all-news radio and radio talk shows, many of which are also streamed on the
Internet, provides sources of news and opinion. Supporters of public broadcasting argue that
public radio and television broadcasters, free of commercial interruption, provide perhaps the last
bastion of balanced and objective information, news, children
’'s education, and entertainment in
an era of a changing media landscape. Still, others contend that public broadcasting has lost much
of its early impact since the media choices have grown so much over the last several decades and
that the federal role in public broadcasting should be re-evaluated as well.
Supporters of public broadcasting contend that public radio and public television provide
education and news to many underserved parts of the American population. Public broadcasters
may provide this service to an underserved and less commercially attractive population that
commercial broadcasters do not address. For example, PBS broadcasting for children includes
lessons in reading, counting, and spelling as part of its content, subjects not normally found on
commercial broadcasts. According to NPR Inc., approximately 90% of public radio stations
provide local newscasts, airing both newscast and non-newscast content (primarily in weekday
drive times and especially during morning drive-time). About half of all public radio stations
carry local news during the weekends, says NPR, and 74% of stations are producing and inserting
stories into their programming.
On June 20, 2012, the CPB released a report, Alternative Sources of Funding for Public
Broadcasting Stations. The report was undertaken in response to language in the Military
Construction and Veterans Affairs and Related Agencies Appropriations Act of 2012 directing the
CPB to provide a report to congressional appropriations committees on alternative sources of
federal funding for public broadcasting stations. (H.R. 2055
, , P.L. 112-74). The report, undertaken
by the consulting firm of Booz & Company, provides several alternative or new funding options
for public broadcasting stations, with possible benefits as well as liabilities for each option. Five
options considered by Booz & Company are television advertising, radio advertising,
retransmission consent fees, paid digital subscriptions, and digital game publishing. In addition,
fourteen current sources of revenue streams already employed by public broadcasting, ranging
from merchandise licensing to mobile device applications, were also analyzed as options to
replace federal funding for public broadcasting. Booz & Company found
“"there is simply no
substitute for the federal investment
”" in public broadcasting and that
“"Ending federal funding for
public broadcasting would severely diminish, if not destroy, public broadcasting service in the
United States.
”11"10 The report concludes that if the existing public broadcasting structure were
commercialized, the new revenue streams would not offset the loss of federal funding; and that
many public broadcasters would have to deviate from their statutory service mission or compete
for advertising with established commercial broadcasters in a difficult economic environment.
Still, some critics contend that the report substantiates criticisms of the public broadcasting
model: required to compete with commercial television and radio broadcasters that also provide
news and entertainment, many public broadcasters could not adapt to a changing media world
11
Corporation for Public Broadcasting, Alternative Sources of Funding for Public Broadcasting Stations, June 20,
2012, pp. 2, 3.
Congressional Research Service
8
The Corporation for Public Broadcasting: Federal Funding and Issues
that provides multiple sources of information and entertainment. For these critics, if many public
broadcasters struggle to operate with budget deficits even with federal funding available, what
does that say about the need and viability of these stations in a multi-media world, or the ability
of their audiences to sustain this business model going forward?
Several important issues are facing congressional
policy makerspolicymakers as they address federal
appropriations for all forms of public broadcasting. On the most fundamental level, many
question the 1967 law that created the national public broadcasting system and whether the
federal government should be in the
“business”"business" of providing general appropriations to CPB every
year since 1969. They ask: is this still a relevant and appropriate role of the federal government?
On a second level, some may contend that in an era of spiraling federal deficits, in which many (if
not all) federal expenditures are being re-examined, appropriations for CPB should be reduced if
not eliminated. These questions revolve around whether federal funding for public broadcasting
should be continued at its current level; whether the funding should be modified or reduced;
whether the arrangement between the federal funding process and public broadcasting should be
changed; or whether federal funding for public broadcasting should be eliminated.
Public broadcasting retains its strong supporters. Most federal appropriations go through CPB to
directly support member stations of NPR, PBS, and other independent affiliates. Since according
to NPR, federal funding to supplement administrative functions amounts to less than 2% of its
annual budget, some may question whether such a small amount is worthy of congressional
action to eliminate. Independent of the 2011controversy regarding NPR, over the last several
years some in Congress have questioned whether the federal appropriations for CPB should be
reduced or eliminated as well. Underlying this position are concerns that the federal role, once so
clear in 1967, has been eclipsed in a multi-media Internet age; concerns that the size and scope of
the federal government budget deficit requires significant cutbacks in many areas; and allegations
that public broadcasting is not objective, balanced, or free of an ideological slant.
As indicated in Table 1, CPB has consistently received increasing federal appropriations since
1969. Some would contend that this demonstrates a general consensus among congressional
policy makers policymakers that there is a federal role in public broadcasting. In addition, public support of
public radio and television broadcasting generally has been consistent as well. Supporters of a
public broadcasting network system contend that local programming content is not determined by
NPR Inc., or PBS, and that most content is local serving community needs. Balanced against
concerns about the role of the federal government in public broadcasting, as well as strong
pressure to reduced federal spending, these issues will likely continue to be of interest to federal
policy makers.
Author Contact Information
Glenn J. McLoughlin
Section Research Manager
gmcloughlin@crs.loc.gov, 7-7073
Congressional Research Service
Rita Tehan
Information Research Specialist
rtehan@crs.loc.gov, 7-6739
9
policymakers.
Author Contact Information
[author name scrubbed], Section Research Manager
([email address scrubbed], [phone number scrubbed])
[author name scrubbed], Research Librarian
([email address scrubbed], [phone number scrubbed])
Footnotes
| 1.
|
http://www.cpb.org/aboutpb/faq/stations.html.
|
| 2.
|
http://www.cpb.org/stations/reports/revenue/2012PublicBroadcastingRevenue.pdf.
|
| 3.
|
Corporation for Public Broadcasting, "CPB and PBS Receive Ready to Learn Grant from the U.S. Department of Education," press release, September 8, 2015, http://www.cpb.org/pressroom/release.php?pm=1235.
|
| 4.
|
On October 20, 2010, Juan Williams, a news analyst working as an independent contractor reporter for NPR, was fired by executives in the office of NPR News for comments Mr. Williams made on the Fox News Channel, as well as apparently for previous incidents that violated the terms of Mr. Williams's contract. In an appearance on the O'Reilly Factor show, Mr. Williams stated that he gets "nervous" when he sees someone in "Muslim garb" on an airplane. Two days after his appearance, Mr. Williams was notified by telephone that his contract with NPR was being terminated. In a memorandum to NPR staff on October 24, 2010, Vivian Schiller, then president and chief executive at NPR, stated that she "regrets that NPR executives did not meet with (Mr.) Williams in person to discuss the situation." In addition, Ms. Schiller also stated that Mr. Williams's comment was just the most recent in a series of objectionable remarks Mr. Williams has made while offering commentary on Fox News. This decision was supported by the leadership of NPR news. However, almost immediately there was a strong reaction from some among the media and public about the process and fairness of this firing. This incident became part of the discussion regarding any federal funding that supports NPR policies and programs.
|
| 5.
|
Also described by NPR as "occasional projects." It is important to note that the original numbers provided to CRS were $3.9 million in FY2009 and $4.1 million in FY2010, for a total of $8 million. Telephone Conversation, Office of Congressional Affairs, Corporation for Public Broadcasting, October 21, 2010. The purposes of these grants were to develop HD radio technology for those who are "print- and hearing-impaired"; to distribute next generation public broadcasting technology to individual stations; to support collaborations between public radio and public broadcasting stations for content related to news events of 2008 and 2009; and for other projects. Mike Riksen, Vice President, Policy & Representation, letter to the Congressional Research Service, December 6, 2010. p. 2.
|
| 6.
|
Personal Communication, Anna Christopher, Communications Office, NPR, October 26, 2010.
|
| 7.
|
Full title: "To amend the Communications Act of 1934 to prohibit Federal funding for the Corporation for Public Broadcasting after fiscal year 2012."
|
| 8.
|
Frances Symes, CQ Today Online News, "House Rejects GOP Bid to Reduce Federal Funding for NPR and Local Stations." http://www.cq.com/doc/news.
|
| 9.
|
NPR Statement Regarding Proposed Legislation, H.R. 68/69, NPR, Inc., Washington, DC, January 11, 2011.
|
| 10.
|
Corporation for Public Broadcasting, Alternative Sources of Funding for Public Broadcasting Stations, June 20, 2012, pp. 2, 3.
|