Warning: I am about to present a circular argument. If you get caught up in it, you may have trouble finding the exit. 🙄
That's really the issue with religious groups buying stations in the commercial band. This would not be possible if there were more commercial broadcasters offering to buy those licenses. No one could ever imagine WPLJ in NYC being sold to a religious group. But they made the best offer and it was accepted. I've suggested many ways for fans of various musical genres to do the same thing as EMF. All it takes is the ability to organize and put together a competitive offer.
The religious broadcasters are pretty much all sitting on piles of cash donated by their loyal audience who are somehow convinced that their "radio from Heaven" would go off the air tomorrow if they didn't. (I know of one particularly odious religious "network" which actually encourages their listeners to
tithe a percentage of their income to them, and they are the most efficient at that "donate or we can't stay on the air" pitch.)
Those piles of cash, if they were a commercial broadcaster, would be used for operating expenses. Part of the reason the commercial broadcasters get outbid is that EMF (and VCY, and Family, and pretty much all the rest of them) comes in, buys a station, shuts down the local offices, studios, and phone number, puts a satellite dish at the transmitter site with a simple automation system to play the legal I.D. once an hour, and then their only expense is the electric bill and whatever engineering maintenance might be occasionally needed.
And
that is why they can outbid anyone else when they want a station in a market. EMF paid more for 100.3 in Los Angeles when Entercom had to spin it off than any of the commercial groups could, because the latter had to consider expenses and EMF did not. Same thing with WPLJ. (And VCY did the same to acquire two of the stations in the Stolz' bankruptcy, for that matter.) And now they are all making even more money to toss onto the pile because each acquisition brings a new group of sheep ... er, listeners to donate, or tithe, or whatever.
There is
no such thing as a "competitive" offer when the unfairness of the religious broadcasters' direct listener-provided revenue is contrasted against their much lower operating costs ... and when each new station acquired by those piles of cash practically guarantees that the pile will be bigger the next time they want to outbid everyone else for a signal.
So I can't buy your argument, A. The deck is stacked against everyone else.