One of the most disturbing trends in local TV news is the persistence of “pay for play”—when local TV newscasts allow sponsors to dictate content.
The Federal Communications Commission has proposed a rule that would make it easier for the public to see which stations are engaging in these and other deceptive or ethically dubious practices. The National Association of Broadcasters (NAB), which represents local TV stations, has responded that this would be burdensome to local TV stations and would “provide no clear new benefit to the public.” They note that the new rule was based on the FCC’s Information Needs of Communities study, which was “strictly anecdotal, providing little to no evidence that ‘pay for play’ sponsorships in news, where advertisers are allow to dictate news scripts, are a systematic problem.”
I was the lead author of that report, so I naturally think the evidence was vast and persuasive. A few examples:
• One study found that in a ten-month period, seventy-seven stations ran ninety-eight instances of thirty-six video news releases without disclosing that they were press releases. (A video news release may include an actor pretending to be a TV reporter describing the benefits of a particular product or service.)
• Stations around the country ran a piece ostensibly by a TV reporter about a rehabilitation system for kids without disclosing that the reporter was actually a former reporter who now worked at the hospital pitching the service.
• A news director in Eau Claire, Wisconsin, resigned when told that a local hospital would “pay the station to air two health stories twice a week on topics selected from a list provided by the hospital. The only people the reporters could interview for those stories were personnel at that hospital.”
• One station wanted to create a ninety-minute show with thirty minutes of news produced by the news department, followed by a sixty-minute “value-added show,” shaped by advertisers, and hard to distinguish from the news show.
• A station in Florida, according to The Washington Post, attempted to charge guests $2,500 to be interviewed.
Other cases in point are provided on pages ninety-one to ninety-six of the report.
Paul Farhi of The Washington Post recently offered more examples in a piece titled, “Despite law against it, stealth commercials frequently masquerade as TV news.”
In September, James Rainey of the Los Angeles Times described still another batch of cases and declared, “The trend promises to continue and grow.”
What is the FCC proposing to do about this? Perhaps surprisingly, it’s not proposing to ban or even restrict such practices—it’s simply advocating greater transparency.
There is a policy already in place known as “sponsorship identification,” which stems from the 1950s payola cases in which it was revealed that radio disc jockeys were being paid to play certain songs. Over time, this developed into a broad principle for broadcasters that, according to the Communications Act, “listeners are entitled to know by whom they are being persuaded.”
So, TV stations are currently required to post, on air, information about which sponsors are behind portions of their newscasts. The FCC now proposes that the information already required to be disclosed on air should also be put online, in a searchable format. This would greatly increase the effectiveness of transparency, because the current on-air mentions are fleeting. As a coalition of public interest groups wrote, “most TV broadcasters relegate sponsorship identification disclosures to a minuscule, fast-moving scroll at the end of the program credits .”
The NAB argues that putting this material online would not have any benefit: “It strains credibility to suggest that many, if any, interested members of the public will, rather than simply read a list of sponsors at the end of a program they are already watching, choose instead to reach deep into a large government database to find that information.”
This contention reflects a lack of awareness of how information flows on the Internet. It’s not that every citizen would now spend their hours on the FCC website. It’s that journalists, citizen groups, and competitors would use the government data to create consumer-friendly information sources and reports. Local newspaper reporters would write about the stations in their area. National best-and-worst lists would follow. Apps would be born. The news about which stations engage in these practices would spread.
That may be exactly what broadcasters fear. Seeping through the comments submitted to the FCC from industry representatives is the sense that they prefer the current system in which the “public inspection file” is not actually inspected by the public. For instance, four TV licensees (in San Diego, Texas, New Mexico, and Illinois) objected to a proposal that the public be notified on-air about the existence of the public inspection file: “Such announcements may arouse the public’s interest in examining a PIF, but the Licensees do not believe that the Commission should attempt to stimulate such examinations.” Right. We wouldn’t want the public actually paying attention because that would, in the stations’ words, result in their playing “Sherlock Holmes” rather than engaging station managers in “productive dialogue.”
These licensees note that in “the ensuing forty-five years, the public has generally made little use of the PIF files for either dialogue or confrontational purposes.” But amazingly, they offer this as evidence that the system works fine and should not be changed.
Now, it may be there are ways in which the proposed rules could be improved or sharpened. And broadcasters are absolutely right when they say that for such a system to work, the FCC itself will have to up its game technologically.
It’s worth reminding ourselves of something basic: that the organizations arguing against better disclosure represent local news operations—yes, the same news organizations that routinely (and appropriately) demand greater transparency from public officials. Can these local TV news organizations really be so tone-deaf as to demand greater transparency from everyone else but resist even the most rudimentary, common-sense forms of transparency for themselves?
January 17 is the newly extended deadline to respond to the rule and the first wave of comment that have been submitted. Whether you agree with my take or not, I’d urge you to weigh in. To read the comments offered so far, go here and put it in proceeding number 00-168. To post your own comment, click on the “submit a filing” link on the side or click here. To read the FCC’s proposal in full, go here.
This is one of two articles about new FCC rules on media transparency; here’s the other.

So now we need the TV police to come in and tell us what's real or not. Really? Whatever happened to buyer beware and the concept of turning the channel when you don't like something? Please stop over-regulation.
#1 Posted by Joe Liberty, CJR on Fri 30 Dec 2011 at 05:22 PM
"Sunlight is the best disinfectant," as Brandeis famously said. These are PUBLIC airwaves, and the public has a right to know if they're getting commercial pap or serious programming by professional newsgatherers. Remember the Bush administration video news releases run without disclosure by hundreds of TV stations during the Iraq war? Could we have a little light here, please? And it should be easily accessible, online. What's not so shocking is that the broadcasting lobby resists any transparency or the slightest, most tepid regulation -- they always have. See my CJR article 11+ years ago, “Media Money: How Corporate Spending Blocked Political Ad Reform & Other Stories of Influence,” Columbia Journalism Review, September/October 2000, p. 20-27.
#2 Posted by Charles Lewis, CJR on Sat 31 Dec 2011 at 11:52 AM
I think Steve and Chuck have it right. Good things happen when people and companies and governments tell the truth about who they are and what they are doing. Consumers can't "beware" when they are being deliberately misled in sophisticated ways. If they could, organizations like Consumer's Union would not exist.
I think this also applies to anonymous comments on legitimate news sites. Perhaps CJR can require real names and IDs on its web site.
#3 Posted by Eric Newton, CJR on Mon 2 Jan 2012 at 11:51 AM
Anonymous authorship is a hallmark of any free society.
People who are against it are against free expression in general.
The modern digital spectrum isn't any more or less "public" than than the atmosphere is - the same atmosphere that carries the sound waves of the free speech generated from the voiceboxes of free citizens - nor anymore more or less "public" than the sidewalks, libraries, schoolhouses and courthouses are where the right to free speech is guaranteed.
Leftists always want news operations regulated. Just look at Pravda. But they only want it regulated in a leftie-approved manner. Let some right-leaning Gubmint official suggest regulation and DAMN it's a different story then, Brother!
How would CJR feel about, say, requiring, as a matter of public policy, that all CJR employees had to publicly post any political or charitable donations they've made in the last five years on the internet? Why wouldn't that "greatly increase the effectiveness of transparency" in the news operation? HUH?
Or perhaps document all email contacts with any non-profits? Boy, that type of "transparency" sure would help the readers, right? Easy enough to do, just filter the inboxes by sender or recipent and click "forward" right to a public database on the website! Why not do this?
After all... CJR is using the "public" internet, right?
These screwball leftie "watchdogs" (who can no longer be called "commies" under Pravda's... er, I mean CJR's new comment censorship policy) need short leashes.
#4 Posted by padikiller, CJR on Mon 2 Jan 2012 at 03:33 PM
"Anonymous authorship is a hallmark of any free society.
People who are against it are against free expression in general."
I agree with this, so long as it's equal volume. You and me shooting the breeze on a weblog shouldn't require our birth certificates. Massive ad buys which threaten to monopolize air time forcing opponents to get into a pr war of attrition or to get drowned out, those should be signed by the buyers.
Because at that point, it ceases to be less about speech and more about political product, at which point consumers need to know who's selling the product in order to make an intelligent 'buy into it'.
If you want to operate as an individual with an individual's resources at your disposal, then there's no need to disclose your ID and background because people can react and respond to an individual's comments.
If you want to operate as an institution on an authoritive medium like tv ads (where the mass audience can't question nor respond) then we should know who you are.
"How would CJR feel about, say, requiring, as a matter of public policy, that all CJR employees had to publicly post any political or charitable donations they've made in the last five years on the internet? Why wouldn't that "greatly increase the effectiveness of transparency" in the news operation? HUH?"
I don't have a problem with this, political disclosure is a good thing(I thought political contributions were publically documented).
"Or perhaps document all email contacts with any non-profits? Boy, that type of "transparency" sure would help the readers, right? Easy enough to do, just filter the inboxes by sender or recipent and click "forward" right to a public database on the website! Why not do this?"
That's individual communication which, by right of privacy, no one has the right to without sufficient cause, not that these rights are respected anymore. It's funny how governments, media companies, and right wingers have one criteria for disclosure and the exposure of their information and another criteria for The information of private citizens and climatologists.
#5 Posted by Thimbles, CJR on Tue 3 Jan 2012 at 01:25 PM
Well for starters, Padikiller, some of us in print did exactly that, requiring all news staff to file broad-ranging personal disclosure reports from which problematic information would be selected for publication on an ethics website: political donations, memberships, personal and family ties, etc. It's really not much work and it has a way of keeping people honest.
And while the American press is a private enterprise, it operates under public protections and -by it's own description- in the public interest, which means it's not much of a stretch to suggest transparency.
It's not clear where you watch TV, but in small markets, the degree to which "health news" amounts to advertisements for the biggest hospital advertisers is striking. The only reason to oppose aggregating these quid-pro-quo deals on a public website is if you're ashamed of them.
And, yes, if other media formats are falsely labelling advertisements as independent news...they should be disclosing it as well.
#6 Posted by Dean Miller, CJR on Fri 6 Jan 2012 at 08:22 PM