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RAB expects record 2 billion political ad spend

The RAB reports the potential for a media-buying spike is on the horizon for 2006, and broadcast media (including Radio) can profit from it. Numerous reports are predicting that political ad spending in total could reach a record 2 billion. Despite the fact that 2006 is considered an "off-year" election - a non-Presidential campaign year - most forecasters are expecting significantly more spending this year than during the Presidential election in 2004.

There are many more elections taking place this year nationwide - races for governors, senators, mayors and congressman - thus, the expected influx of political advertising and spending will be dispersed around the country. According to TNS Media Intelligence and the Campaign Media Analysis Group, "the first four weeks of 2006 have generated advertising totals nearly equal to the advertising witnessed during the same period in 2004."

In an effort to aid broadcasters in the essential concepts of political advertising, the Broadcast Cable Financial Management Association hosted a seminar to address the Top 10 Political Broadcasting Questions. Since political advertising can play a pivotal role in Radio advertising, it is essential that Radio stations are well-versed in the basic rules of political broadcasting. These rules are ever changing, but they basically break down into five general categories: (1) Reasonable Access; (2) Equal Opportunities; (3) Lowest Unit Charge; (4) Sponsorship Identification; and (5) Recordkeeping and Political file.


RAB's "Political Advertising 101: The Basic Guide"

Who Is A Legally Qualified Candidate For Public Office?

According to the FCC, a legally qualified candidate is in accordance with the following:

Has publicly announced that he or she is a candidate

Meets the qualifications to hold the office he or she seeks

Has qualified for a place on the ballot

If there is ever a question of someone being a "legally qualified candidate," that candidate must prove that he or she is a legally qualified candidate. It is solely up to the judgment of the station to determine whether a candidate has made that showing.

What is a "Use"?

A "use" is any positive, broadcast of a candidate's voice, or picture, that lasts four seconds or more. This is true regardless of whether the appearance is in a campaign related broadcast, or not. Exemptions from the definition of use are usually appearances by legally qualified candidates in some form of a news broadcast.

The Essentials of Political Broadcasting

Reasonable Access

All legally qualified candidates for federal office are to be granted "reasonable access" to "reasonable amounts of time" for the use of any commercial broadcast station on behalf of their candidacy. Reasonable access does not apply to non-commercial stations and the provisions do not extend to legally qualified state and local candidates. Radio stations make their own determination if they want to sell air-time in state and/or local races. All requests for access by a federal candidate are assessed individually based on the following factors: (a) the expressed individual needs of the candidate; (b) the amount of time previously provided to the candidate; (c) potential disruption of regular programming; (d) the number of opposing candidates that could potentially request equal opportunities; and (e) the timing of the request.

Under reasonable access, stations are not required to make free time available to federal candidates, nor do candidates have rights to a particular program on a particular day. They do however, have the right to access to all day-parts, including prime-time or drive time. Stations cannot have upfront limitations for federal candidates, which includes no regulation on spot allocation. News programming is the only exception to reasonable access. Candidates have no right of access to news programming and stations may refuse to sell political advertising to run in any form of news programming.

Equal opportunities

Whenever a legally qualified candidate for public (not just federal) office uses a broadcast station, equal opportunities are applicable. An opposing candidate is entitled to equal opportunities, but must make his or her request within seven days of the first prior use by the competing candidate. This does not mean that the opposing candidate is allotted exactly the same time period in regards to air-time, but rather a "comparable" time period in terms of audience share and demographics. It is the full responsibility of the candidate to monitor their station's local public inspection file to determine if they have a right to equal opportunities. The station is not obligated to notify a candidate about requests for time by an opponent.

Lowest Unit Charge (LUC)

During the first 45 days before a primary and 60 days before a general election, legally qualified candidates for public office are allowed to purchase advertising time at the lowest unit charge ("LUC"). The LUC is the lowest rate that a station sells to commercial advertisers within each class and type of advertising spot. All legally qualified candidates for public office are entitled to LUC during the appropriate window. Additionally, stations must allow candidates to purchase advertising time at the lowest rate the station would charge any other buyer for the same class of time. LUC is calculated by figuring the lowest rate for each class of time and period that advertisements are sold. This includes all volume discounts, bonus spots and preemption priorities. Candidates are able to benefit from any discounts stations allocate any other purchaser.

Sponsorship Identification

For the 2006 election year, sponsorship identification should be paid close attention to. The FCC's rules require that a broadcaster identify the sponsor of any material broadcast. This sponsorship identification is to be broadcast at the beginning and end of a program that is more than five minutes in length and at the beginning or end of a program that is five minutes or less. The sponsorship identification is required to state the particular candidate or organization that the announcement is "paid for" or "sponsored by" and the name of the candidate or organization that paid for the time. Anything less than the terminology "paid for" or "sponsored by" will not suffice, and the name of the paying unit must be identified specifically. All advertisements sponsored by candidates for federal office must include an audio statement by the candidate personally identifying themselves, stating the approval of the broadcast, and that the candidate or their official committee has paid for the broadcast.

Recordkeeping and Political File

Stations are duty-bound to maintain a public file that is open to inspection. In regards to political broadcasting, there are two important parts that stations need to pay particular attention to - the political file and the broadcast history of any political matters of national importance. Public inspection of all records regarding requests for political advertising time made by federal, state or local candidates must be allowed and maintained. In this file the station should include:

The name of the candidate, the candidate's authorized committee, the treasurer's name and the office sought

The disposition of the candidate's request (whether the request to purchase political time was accepted or rejected)

The schedule of time provided or purchased, including the length of the ad and class of time

Rates charged (including notations of no charges)

The actual time the ad aired

Any rebates paid, and the amount, date and order to which they were paid

Any free time that was given to the candidate or authorized committee

According to FCC rules, the political file must be maintained for at least two years and must be accessible to the public and made available for inspection and copying during normal business hours. As new information is provided, the political file must be updated and should contain a contact person(s) for any information that is only produced periodically.

Under newly expanded recordkeeping requirements, broadcasters are required to maintain records of any requests to purchase air-time that communicates any political matter of national importance. This provision includes references to legally qualified candidates, elections to Federal office and national legislative issues. The public inspection file rules for this category of advertising and recordkeeping are basically the same as those incurred to candidate advertising.





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