2 months ago
The leaders of nan Senate committee that oversees nan FCC are questioning really nan agency gave support to nan Nexstar–Tegna transaction, nan broadcast position merger that already has been paused by a national court.
Sen. Ted Cruz (R-TX) and Sen. Maria Cantwell (D-WA), nan chair and ranking personnel of nan Senate Commerce Committee, wrote successful a missive to FCC Chairman Brendan Carr that nan greenlight fixed to nan merger earlier this period raises “serious concerns” astir nan “use of delegated authority successful matters involving important legal, policy, and economical consequences.”
Reach nan senators’ FCC missive connected Nexstar-Tegna.
The FCC’s Media Bureau signed disconnected connected nan merger, but it did not get a ballot of nan afloat commission. Shortly aft nan FCC announced its support and nan Justice Department didn’t situation it, Nexstar announced that it had closed nan deal.
The senators wrote, “The transaction is unprecedented successful scale, resulting successful nan largest section broadcast
television group successful U.S. history, pinch 259 full-power tv stations crossed 44 states, reaching
nearly 80 percent of U.S. tv households, moreover aft required divestitures. A transaction
of this magnitude unsocial warranted information and a ballot by nan afloat Commission.”
At a property convention past week, Carr said that nan merger whitethorn still spell to a ballot of nan afloat commission.
But Cruz and Cantwell wrote connected their missive to Carr, “Although you person indicated that a afloat Commission ballot whitethorn still occur, nan Commission has already approved nan transaction connected delegated authority, efficaciously determining nan outcome. Under these circumstances, immoderate consequent ballot risks being mostly procedural alternatively than a genuine workout of Commission responsibility.”
A FCC spokesperson did not instantly return a petition for comment.
On Friday evening, a national judge successful California granted a impermanent restraining bid that requires that Nexstar support its assets and operations abstracted from Tegna for 14 days, aliases earlier if location is simply a caller bid from nan court. The judge, ruling successful an antitrust lawsuit brought by DirecTV, group an April 7 day for a preliminary injunction.
Cruz and Cantwell wrote, “The size of nan transaction and nan scope of nan waivers presented are precisely nan type of caller and consequential issues that Commission precedent, arsenic good arsenic basal principles of administrative accountability to nan American people, require to beryllium decided by nan afloat Commission.”
They besides noted that because bureau-level decisions are not last orders, parties that are challenging a merger must first activity a reappraisal by nan committee earlier going to nan courts. Newsmax, DirecTV and a group of broadband and cablegram groups revenge suit against nan FCC successful a national appellate tribunal successful Washington.
Cruz and Cantwell wrote, “In a transaction of this scale, wherever integration proceeds quickly and unwinding becomes impractical, hold successful judicial reappraisal tin insulate nan determination from meaningful challenge. That result is difficult to reconcile pinch nan Commission’s responsibility to guarantee transparency and accountability successful awesome actions.”
The FCC’s Media Bureau announced its support little than a time aft a group of states and DirecTV revenge lawsuits challenging nan merger connected antitrust grounds. Carr already had signaled than he favored nan transaction, aft Donald Trump endorsed nan merger successful a societal media station successful early February.
Shares of Nexstar continued to autumn connected Tuesday, aft dropping by 13% connected Monday.
Anna Gomez, nan sole Democrat connected nan FCC, posted a transcript of nan missive connected X, and wrote, “There’s bipartisan statement that nan Nexstar-Tegna merger—the largest section broadcast TV transaction successful history—should’ve been voted by nan afloat Commission, not approved down closed doors to thief billionaire buddies bypass nan law.”
