No, iHeart is fine with a more generic news product coming from their TTN/24-7 studio in Long Beach. That's the plan. iHeart doesn't think it needs a solution beyond that.
Like Scott, I don't work for iHeart. But if they're now running TTN content, they're also clearing TTN spots instead of (or perhaps in addition to) their own. TTN is its own division with its own budget and bonus structure. That's now more money for TTN, and potentially less for the local station. Unless the local station creates some new sponsorable items to sell to replace the former local news money. That's my tip for people who work in corporate radio: Always know where the money is going. You want to be attached somehow to a revenue stream. Otherwise, you're just an expense.