NPR Considers Fundraiser

[TheBigA]

The Washington Post reports that NPR (the national network, not the stations) is considering holding its own fundraiser because of an $8 million budget gap: http://www.washingtonpost.com/wp-dyn/content/article/2009/03/27/AR2009032703483.html

 

[gr8oldies]

How much is that going to P-O the local affiliates? My guess is a lot.

 

[TheBigA]

The Post article points out that such fundraisers are forbidden in the NPR by-laws. The stations pay huge dues supposedly to cover NPR costs. And after the 1983 crisis, the stations took over ownership of NPR.

 

[aaronread]

Perhaps of greater concern is that non-commercial/educational licensees...which most NPR affiliates are...are forbidden by the FCC to fundraise on behalf of organizations other than themselves. So they can't do it without a waiver from the FCC. The FCC is usually inclined to grant such waivers where there's a major disaster in play; the Post mentions Sept.11th and Hurricane Katrina. But this is not the case with NPR...whether they want to tap it or not, they've still got the $200+ million endowment from Joan Kroc to tap before taking an action as drastic as this.

As a station manager, I would be utterly furious if NPR did what Stamberg and Bloch suggest. It's not like all of us affiliate stations aren't getting hit hard financially, too...why should we allow NPR to basically "steal" our fundraising dollars?

 

[TheBigA]

But this is not the case with NPR...whether they want to tap it or not, they've still got the $200+ million endowment from Joan Kroc to tap before taking an action as drastic as this.

They've been using the endowment for specific purposes. There are rules regarding its use. I think an annual reporting seminar is funded by the endowment. I don't know how it's being administered, but a lot of endowments were hit hard by the stock market crash. I doubt they can simply use it to cover general costs.

As a station manager, I would be utterly furious if NPR did what Stamberg and Bloch suggest. It's not like all of us affiliate stations aren't getting hit hard financially, too...why should we allow NPR to basically "steal" our fundraising dollars?

I agree. In 1983, the relationship between the stations and NPR was very different. Dues were much lower. My area station is considering dropping NPR because the dues are more than the cost of employing local staffers.

The battle between stations and NPR is what cost the previous CEO his job. I expect the new one will tread very carefully here.

 

[TheBigA]

R&R now has a story on their web site where NPR's CEO distances them from any fundraiser:

http://www.radioandrecords.com/RRWebSite20/Members/ShowHeadLine.aspx?ContentID=48196&ContentTypeID=101&Archive=0&FormatId=0