Prometheus Radio Project v. Federal Communications Commission, No. 17-1107 (3d Cir. 2019)Annotate this Case
Under the Communications Act of 1934, 47 U.S.C. 151, the Federal Communications Commission had rules governing ownership of broadcast media to promote “competition, diversity, and localism.” The 1996 Telecommunications Act, Section 202(h) requires the Commission to review those rules regularly to “determine whether any of such rules are necessary in the public interest.” The Third Circuit has ruled on previous reviews. Following a remand, the Commission failed to complete its 2010 review cycle before the start of the 2014 cycle. The Third Circuit found the FCC had unreasonably delayed action and remanded several issues concerning the broadcast ownership rules and diversity initiatives. The Commission then substantially changed its approach to regulation of broadcast media ownership, issuing an order that retained almost all of its existing rules, effectively abandoning its long-running efforts to change those rules since the first round of litigation. The Commission then changed course, granting petitions for rehearing and repealing or otherwise scaling back most of those same rules. It also created a new “incubator” program designed to help new entrants into the broadcast industry. The Third Circuit vacated and remanded most of the Commission’s actions. Although some of those actions, including the incubator program, were not unreasonable, the Commission did not adequately consider the effect its sweeping rule changes will have on ownership of broadcast media by women and racial minorities.