10 FCC Red No. 17 Federal Communications Commission Record DA 95-1806 Before the FEDERAL COMMUNICATIONS COMMISSION WMUnftoa, D.C JOSS4 LETTER August 15,1995 Released: August 18,1995 CERTIFIED MAIL - RETURN RECEIPT REQUESTED 1800E WWOR-TV, Inc. 9 Broadcast Plaza Secaucus,NJ 07096 Dear Licensee: This letter constitutes a NOTICE OF APPARENT LIABILITY FOR FORFEITURE in the amount of twelve thousand five hundred dollars ($12,500) pursuant to Section 503(b) of the Communications Act of 1934, as amended, 47 U.S.C. §503(b), under authority delegated to the Chief of the Mass Media Bureau by Section 0.283 of the Commission's Rules, 47 C.F.R. §0.283, for repeated violations of the Commission's rule limiting the amount of commercial matter that may be aired during children's programming. hi the Children's Television Act of 1990, Pub. L. No. 101-437,104 Stat 996-1000, codified at 47 U.S.C. Sections 303a, 303b and 394, Congress directed the Commission to adopt rules, niter aha, limiting the number of minutes of commercial matter that television stations may air during children's programming, and to consider in its review of television license renewals the extent to which the licensee has complied with such commercial limits. Pursuant to this statutory mandate, the Commission adopted Section 73.670 of the Rules, 47 C.F.R. §73.670, which limits the amount of commercial matter which may be aired during children's programming to 10.5 minutes on weekends and 12 minutes on weekdays. The Commission also reaffirmed and clarified its long standing policy that a program associated with a product, in which commercials for that product are aired, would cause the entire program to be counted as commercial time (a "program-length reial"). Children's Television Programming. 6 FCC Red 2111, 2118, recon. granted in part. 6 FCC Red 5093, 5098 (1991). These commercial limitations became effective on January 1, 1992. Children's Television Programming. 6 FCC Red 5529,5530(1991). On February 1, 1994, you filed an application for renewal of license (FCC Form 303- S) for station WWOR-TV, Seeaucu?, NJ (File No. BRCT-940201KX). hi a supplement to that renewal application you state that during the previous license term WWOR-TV did not comply with the limitations on commercial matter in children's programming specified in Section 73.670 of the Commission's Rules, hi Exhibit 9(c) to your application you state that between February 16, and September 6, 1992, WWOR-TV exceeded the commercial limitations on children's programming during 22 broadcasts of the "Bugs & Daffy Hour" cartoon program. Of these 22 "Bugs & Daffy" overages, Exhibit 9(c) states that nine were 45 seconds in length; three were 30 seconds in length; and ten were 15 seconds in length. (However, a WWOR-TV inter-office memo dated October 8, 1992, submitted as part of Exhibit 9(c), states that, between Jury 1, and September 30,1992, six "Bugs and Daffy" cartoon programs exceeded the children's television commercial limits by one minute.) Exhibit 9(c) further states that, in September and October, 1992, the station exceeded the commercial limits during nine broadcasts of other cartoon programs. Of these nine overages, three were 60 seconds in length; one was 45 seconds in length; and five were 30 seconds in length. You state that these cartoon programs were edited by the station, and that the overages occurred because "[i]n certain instances, th[e] editing process left the program too short, and the remaining time was filled with commercial spots", hi this regard, you assert that the station "promptly corrected this editing problem after identifying it in early October, 1992." 8908 Federal Communications Commission DA 95-1806 In addition, Exhibit 9(c) lists seven other instances where the station exceeded the children's television trial limits: one 90-second overage on March 29, 1992; four 15-second overages in September- October, 1992; one 30-second overage on November 30,1992; and one 15-second overage on May 2, 1993. You attribute these overages to inadvertence and/or human error. Finally, On October 7, 1994, you filed an amendment to your renewal application in which you state that the station "inadvertently broadcast a 30-second commercial involving Exosquad characters in the 'Exosquad' program" on September 15,1994.1 WWOR-TVs record of exceeding the Commission's commercial limits on children's television programming on 39 occasions constitutes a willful and repeated violation of Section 73.670 of the Commission's rules. Accordingly, pursuant to Section 503(b) of the Communications Act, WWOR-TV, Inc. is hereby advised of its apparent liability for forfeiture in the amount of twelve thousand five hundred dollars ($12,500) for its apparent repeated violation of Section 73.670 of the Commission's Rules. The amount specified was reached after consideration of the factors set forth in Section 503(bX2) of the Communications Act, and, in particular, the following criteria: (1) the number of instances of commercial overages; (2) the length of each such overage; (3) the period of time over which such overages occurred; (4) whether or not the licensee established an effective program to ensure compliance; and (5) the specific reasons that the licensee gives for the overages. These criteria were considered by the Commission in earlier cases when determining the appropriate forfeiture amounts for violations of the commercial limits during children's programming. See, e.g.. Koplar Communications. 8 FCC Red 7884 (1993); Independent Communications. Inc.. 8 FCC Red 1 This violation occurred after the expiration of the license term for which renewal is sought. However, since the station's renewal application is still pending, the violation is being considered in connection with the other violations listed in that application. 7886 (1993); KXRM Partnership. 8 FCC Red 7890 (1993). A recent decision by the U.S. Court of Appeals for the District of Columbia set aside Policy Statement - Standards for Assessing Forfeitures. 6 FCC Red 4695 (1991), recon. denied. 7 FCC Red 5339 (1992), revised. 8 FCC Red 6215 (1993)("Policv Statement/Assessing Forfeitures"'), which the Commission has used since 1991 as a guideline for assessing forfeitures. In United States Telephone Assfr-v. FCC. 28 F3rd 1232 (D.C. Cir. 1994), the court indicated that the guidelines established in Policy Statement/Assessing Forfeitures, supra, must be subject to public comment to comply with the Administrative Procedure Act The Commission will act on the Court's Order in a separate proceeding. While the criteria considered in connection with commercial overages in children's programming were developed in cases decided under Policy Statement/Assessing Forfeitures, id., they were not inherently tied to Policy Statement/Assessing Forfeitures, id. Without regard to Policy Statement/Assessing Forfeitures. id., we continue to believe that these criteria are appropriate in analyzing violations of the commercial limits during children's programming, since they take into account, inter alia, "the nature, circumstances, extent, and gravity of the violation, and, with respect to the violator, the degree of culpability", as required under §503(b)(2)(D) of the Communications Act. See Clear Channel Television. Inc. (KTrUfTVY). 10 FCC Red 3773 (1995); Nortfastar Television of Erie. Inc. (WSEE- TV). 10 FCC Red 3779 (1995). The 39 occasions on which WWOR-TV exceeded the hourly limits on commercial matter during children's programming is a high number of violations. Moreover, as many as ten of the overages were 60 seconds or greater in duration, and one was a program-length commercial. Congress was particularly concerned about program-length commercials because young children often have difficulty distinguishing between commercials and programs. S. Rep. No. 227,101st Cong., 1st Sess. 24 (1989). Overages of this frequency and magnitude mean that children have been subjected to commercial matter greatly in excess of the limits 8909 Federal Communications Commission DA 95-1806 contemplated by Congress when it enacted the Children's Television Act of 1990. Children's Television Programming, supra 6 FCC Red at 2117- 18. In addition, when the Commission delayed the effective date of Section 73.670 of the Rules until January 1, 1992, we stated that "giving the additional time to broadcasters and cable operators before compliance with the commercial limits is required will have the effect of enabling broadcasters and cable operators to hone their plans to ensure compliance...[and], in the context of any enforcement action for violations of the limits, we would be unlikely to be sympathetic to claims of transitional difficulties." Children's Television Programming, supra 6 FCC Red at 5530 a 10. You have not proffered any extraordinary transitional or other difficulties that would have prevented Station WWOR-TV from complying with the children's television commercial limitations during the last license period. Indeed, you admit that all of the cited violations occurred because of human error. Further, 31 of the commercial overages described in your renewal application occurred solely because WWOR-TV station personnel, when faced with edited cartoon programs too short to fill their time periods, merely filled in all available time with commercial matter without any apparent knowledge of or concern for the children's television rcial limitations. These violations began in February, 1992, and continued for a period of nine months, until October, 1992. Thus, it is apparent that WWOR-TV initially did not establish an effective program to monitor compliance with the children's television commercial limitations. Further, the fact that WWOR-TV may now have implemented a plan to prevent future commercial overages does not relieve the station of liability for prior violations. See International Broadcasting Corp.. 19 FCC 2d 793 (1969). Consideration of all of these factors warrants a forfeiture in the above- specified amount of $12,500. You are afforded a period of thirty (30) days from the date of this letter "to show, in writing, why a forfeiture penalty should not be imposed or should be reduced, or to pay the forfeiture. Any showing as to why the forfeiture should not be imposed or should be reduced shall include a detailed factual statement and such documentation and affidavits as may be pertinent." Section 1.80(f)(3) of the Commission's Rules, 47 C.F.R. § 1.80(f)(3). Other relevant provisions of Section 1.80(f)(3) of the Commission's Rules are summarized in the attachment to this letter. Notwithstanding the substantial nature of the violations described here and the severity with which we regard them, there is no suggestion that the licensee has acted in bad faith, and we do not believe that the violations teflect a deliberate disregard for Commission requirements. Accordingly, no further action is required in this matter. FEDERAL COMMUNICATIONS COMMISSION RoyJ. Stewart Chief, Mass Media Bureau Enclosure cc: William R. Richardson, Jr., Esq. 8910