Yes, it is possible to sell or transfer control of an LPFM (Low Power FM) station to a different organization. However, there are certain regulatory processes and requirements that need to be followed when making such a transfer. The Federal Communications Commission (FCC) has guidelines and procedures in place for the sale or transfer of broadcast licenses, including LPFM licenses. These processes involve obtaining FCC approval, ensuring compliance with ownership limits and other regulations, and notifying the FCC of the intended transfer.
Yes, it is possible to sell or transfer control of an LPFM (Low Power FM) station to a different organization. However, there are certain regulatory processes and requirements that need to be followed when making such a transfer. The Federal Communications Commission (FCC) has guidelines and procedures in place for the sale or transfer of broadcast licenses, including LPFM licenses. These processes involve obtaining FCC approval, ensuring compliance with ownership limits and other regulations, and notifying the FCC of the intended transfer.
It’s important to note that the transfer process can be intricate and might involve legal, financial, and technical considerations. It’s advisable to consult with legal experts and professionals who are knowledgeable about FCC regulations and the specifics of broadcast station transfers to ensure that the transfer is executed smoothly and in compliance with all applicable rules and requirements.
An LPFM station license or construction permit can be transferred to another organization under the following circumstances:
- The station was granted a construction permit but was never constructed, and at least 18 months have passed since the original construction permit was issued.
- The station has been built and has been on the air for less than 4 years (excluding silent periods), and the transfer meets the requirements specified in §73.865 (see additional details below).
- The station has been built and has been on the air for a minimum of 4 years (excluding silent periods).
For unbuilt construction permits and constructed stations operating for less than 4 years (excluding silent periods), a transfer can only be made in accordance with §73.865 if:
- At the time of the original application, there were no competing applications during the filing window (referred to as a “singleton”).
- Competing applications existed, but those applicants were either dismissed or modified their proposals to remove competition (also a “singleton”).
- The station resolved competing applications during the remediation period after the filing window (still a “singleton”).
- The original application was part of a group of competing applicants, and the FCC used a point system to dismiss lower-scoring applicants as “non-tentative selectees.” The assignee (new organization) must qualify for the same number of points as the current licensee during the filing window.
- The original application was granted as part of an involuntary time-share group. The assignee must have qualified for the same number of points and have an earlier local community presence date than the “youngest” organization in the timeshare group.
LPFM stations seeking assignment must include in their application a statement demonstrating how they meet the criteria outlined in §73.865 of the regulations.
LPFM station transfers can involve compensation based on the amount paid by the original licensee for equipment and construction costs that will benefit the assignee after the transfer. This compensation cannot include ongoing operating expenses such as rent, salaries, utilities, licensing fees, etc. The application should include a breakdown detailing the names and model numbers of items, their sources, and the actual costs incurred.
However, LPFM stations cannot be sold for a profit; any transfer should adhere to non-profit principles.