An Alaska AM Wins Reduced Civil Penalty For FCC Rulebreaking

By
Adam Jacobson
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The licensee of a 1kw AM in Alaska that is presently dark has successfully convinced the FCC to reduce a civil penalty tied to a consent decree it has entered into by $3,000.


It puts an end to an investigation by the Commission that involves a reduction in daytime power, operating hours of the station and silencing the AM without telling the FCC or getting its approval.

A $4,000 civil penalty will be paid to the U.S. Treasury by WorthRome LLC, the licensee of KVHZ-AM in Wasilla, Ak., and its associated FM translator, K296FP in Willow Creek, Ak.

Several issues had come to the attention of the Media Bureau, which initially assessed a $7,000 penalty against the station owner, which originated programming on the FM translator while KVHZ was off the air — a big no-no.

WorthRome argued that its state of finances would not allow it to pay the full amount of the proposed penalty. As such, it submitted financial records to claim an inability to pay the $7,000.
While the FCC usually considers a licensee’s gross revenues as an indicator of their ability to pay a forfeiture, they also take into account other financial factors, such as net losses. In this case, the Media Bureau noted that WorthRome’s stations only generated enough revenue to cover 73% and 71% of their operating expenses in 2021 and 2022, respectively.

 

— With reporting by Cameron Coats

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