2006 Digital Radio Conversion Fund FY06 Round Two Update

FY06 Round Two Funding Cycle

Digital Conversion Grants

CPB has awarded 540 digital conversion grants since June 2003.

Over 200 digitally converted public radio transmitters are on-air with HD Radio.

Over 100 more digitally converted public radio transmitters will sign-on with HD Radio in 2007.

Many of these stations offer additional channels of programming through multicasting.

FY 06-02 Grant Round expects up to 60 grant applications by the end of March for $5M pool.

Digital Grant Program

Objective: Convert as many station transmitters to digital radio as possible.

Eligibility: all CPB-qualified grantees.

Competitive priorities:

  • First service to areas without HD public radio
  • Compelling advancement of public service
  • CSG-qualified Minority and Rural stations

Minority and rural stations can receive 80% of eligible costs, up to $85,000.

All other stations can receive 70% of eligible costs, up to $75,000.

CPB-determined Hardship Status may provide for 85% of station's eligible costs, up to $110,000.

Project costs average $120,000 to $130,000.

Digital Grant Guidelines

Deadline: Friday March 30, 2007 5PM EDT.

Timeline: Projects typically completed within 12 months of execution of grant agreement.

Applicants submitting multiple applications must rank their priority of each project.

Retroactive funding is not available.

After conversion complete, station must commence IBOC HD Radio broadcast and maintain on-going digital service.

Stations must time-align their analog and digital broadcasts.

iBiquity Agreement Remains.

CPB's preferred iBiquity Agreement remains in effect for FY 07.

Under the agreement stations enjoy favorable terms and a one time Main Channel License Fee of $5,000. Currently, the Main Channel License Fee is $10,000 and will be $15,000 beginning July 1, 2007.

Under agreement CPB pre-pays the main channel fee on behalf of qualifying station.

Stations still must execute an individual Station License Agreement (SLA) with iBiquity.

Due to CPB's pre-payment of the Main Channel License Fees, each participating station’s cash award is reduced by $5,000.

Stations enjoy favorable royalty terms.

These reduced prices and favorable terms remain available as long as:

  • CPB meets pre-payment schedule
  • 100 CPB-qualified stations convert annually
  • Converted stations execute SLA, complete digital conversion, broadcast time-aligned IBOC HD Radio
  • CPB pre-payment funds remain available

Eligible/Ineligible Equipment

Eligible/Ineligible Equipment remains the same for FY06-02 grant round. This includes transmitters that have already received Digital Radio Conversion Funding as well as HD translators and HD boosters.

Hardship Consideration

A licensee unable to complete project at standard funding level may apply for Hardship Status.

Status intended for licensee whose financial match is a disproportionately high percentage of station's total revenue.

To apply: Check Hardship Status box on application.

Submit with standard application a detailed narrative explaining why standard funding is insufficient.

Must include total station revenue (TSR) for each of the past three years.

Hardship determinations are case by case at CPB's sole discretion.

Other Digital Radio Projects

Digital Radio Coverage and Interference Analysis Project: DRCIA

  • Technical analysis of Public Radio's HD coverage problems and the loss of analog and digital coverage due to interference from co- or adjacent channel HD stations

Program Associated Data: PAD

NPR:

  • Technical Standards;
  • How PAD technology will work
  • How it's operated
  • What's the investment

PRI:

  • System Processes;
  • What PAD Content will be
  • Who creates the content
  • What are its costs

Digital Transition Fund Future

As always our future is uncertain pending Congressional action.

CPB's FY 07 digital TV and Radio funding request is $40M.

Actual FY 07 digital TV and Radio funding will not be known until Congress finalizes budget.

About CPB

CPB promotes the growth and development of public media in communities throughout America.

Programs & Projects

CPB awards grants to stations and independent producers to create programs and services.