FCC Record, Volume 8, No. 19, Pages 6621 to 6998, September 6 - September 17, 1993 Page: 6,765
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8 FCC Rcd No. 19
Federal Communications Commission Record
Before the
Federal Communications Commission
Washington, D.C. 20554
In Re Application of
BIG HORN COMMUNICATIONS, INC.
(Assignor)and
File No. BALCT-930503KG
KCTZ COMMUNICATIONS, INC.
(Assignee)
For Consent to Assign
the License for Station KCTZ(TV),
Channel 7, Bozeman, MT
MEMORANDUM OPINION AND ORDER
Adopted: September 7, 1993; Released: September 17, 1993
By the Commission:
1. The Commission has before it the unopposed application
to assign the license of television station KCTZ(TV)
(ABC), Channel 7, Bozeman, Montana, from Big Horn
Communications, Inc. ("Big Horn") to KCTZ Communications,
Inc. ("KCTZ, Inc."), a subsidiary of Evening Post
Publication Co. ("Post"). Another subsidiary of the Post is
the licensee of KXLF-TV (CBS), Butte, Montana. The
Grade B contours of KCTZ(TV) and KXLF-TV overlap.
Thus, KCTZ. Inc. proposes to operate KCTZ(TV) as a
satellite,' pursuant to the satellite exception to the duopoly
prohibition set forth in Note 5 to Section 73.3555 of the
Commission's Rules.2
2. Under our satellite policy, See Television Satellite Stations,
6 FCC Rcd 4212 (1991) (petitions for partial stay and
reconsideration pending), an applicant for television satellite
status is entitled to a presumption that the proposed
satellite operation is in the public interest if it meets three
criteria: (1) there is no City Grade contour overlap between
the parent and the satellite; (2) the proposed satellite
would provide service to an underserved area; and (3) no
alternative operator is ready and able to construct or to
purchase and operate the satellite as a full-service station.
Id. at 4213-14. The Commission will view favorably applications
that qualify for the presumption and are
unrebutted by an opposing party. Id. at 4214. If an applicant
cannot qualify for the presumption, we will evaluate
the proposal on an ad hoc basis and grant the
application if there are other compelling circumstancesWe note that KCTZ(TV) has primarily rebroadcast the programming
of commonly owned KSVI(TV), Billings, Montana,
since KCTZ(TV) began operation in 1991.
2 We note that there is an outstanding proceeding concerning
television satellite stations, which invites comment on whether
television satellites should be exempted from the 12-station
limit set out in the multiple ownership rules. Second Furtherthat warrant approval. For the reasons set forth below, we
find that the proposed operation of KCTZ(TV) as a satellite
is consistent with our policy.
3. With regard to the first criterion of the public interest
presumption, the applicant has submitted an engineering
study which demonstrates that the present City Grade contours
of KCTV(TV) and KXLF-TV will not overlap. Thus
the satellite proposal meets the first component of the
presumption.
4. With respect to the second criterion, the applicant has
demonstrated that the area is underserved using one of our
two tests. The first is a "transmission test," which defines as
"underserved" an area with two or fewer full-service stations
licensed to the community.3 The applicant has shown
that there is only one full-service television station licensed
to Bozeman, non-commercial television station KUSM. Accordingly,
the applicant's proposal meets the second criterion
for the satellite presumption.
5. Finally, to qualify for the presumption, applicants
must demonstrate that no alternative operator is ready and
able to construct or to purchase and operate the proposed
satellite as a full-service station. Initially, it should be noted
that KCTZ(TV) has never been operated as an independent,
stand-alone station. See note 1. The applicant has
submitted a declaration of Thomas Hendrickson, President
of Big Horn, which demonstrates the licensee's failed efforts
for the past three years to find a buyer which would
operate the station on a full-service basis. Specifically, Mr.
Hendrickson declares that in 1990, a prospective buyer
withdrew its offer to buy the station because its station's
Grade B contour overlapped with that of KCTZ(TV) and
the buyer did not want to request a Commission waiver of
the multiple ownership rules. Mr. Hendrickson further
declares that thereafter a number of brokers rejected Big
Horn's request to list the station for sale, and one specifically
voiced his doubts that any buyer could be found in
today's market. In September, 1992. Big Horn listed the
station with a broker for six months but received no serious
offers from potential buyers. Thus, it appears that Big
Horn has been diligent in its efforts to find a buyer ready
and willing to operate the station on a stand-alone basis,
and has been able to elicit only one serious offer, which
was subsequently withdrawn. Under the circumstances, we
believe that the applicant has also satisfied the third criterion.
6. Therefore, we find that the applicant is entitled to the
presumption that the proposed satellite operation is in the
public interest. In addition, no showing has been provided
to rebut the presumption, and we find no reason to override
the presumption on our own motion.
7. In view of the foregoing, we conclude, having found
that the applicant is qualified in all other respects, that a
grant of the application would serve the public interest,
convenience, and necessity.Notice of Proposed Rulemaking in Docket No. 87-8, 6 FCC Rcd
5010 (1991). Grant of the application now before us will not
implicate the 12-station rule.
3 We have also defined an "underserved area" in terms of a
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United States. Federal Communications Commission. FCC Record, Volume 8, No. 19, Pages 6621 to 6998, September 6 - September 17, 1993, book, September 1993; Washington D.C.. (https://digital.library.unt.edu/ark:/67531/metadc1865/m1/161/?rotate=90: accessed July 18, 2024), University of North Texas Libraries, UNT Digital Library, https://digital.library.unt.edu; crediting UNT Libraries Government Documents Department.