Future of Local News Act of 2021

II 117TH CONGRESS 1ST SESSION S. 1601 To establish the Future of Local News Committee to examine and report on the role of local news gathering in sustaining democracy in the United States and the factors contributing to the demise of local jour- nalism, and to propose policies and mechanisms that could reinvigorate local news to meet the critical information needs of the people of the United States in the 21st century. IN THE SENATE OF THE UNITED STATES MAY 12, 2021 Mr. SCHATZ (for himself, Mr. BENNET, and Ms. KLOBUCHAR) introduced the following bill; which was read twice and referred to the Committee on Commerce, Science, and Transportation A BILL To establish the Future of Local News Committee to examine and report on the role of local news gathering in sus- taining democracy in the United States and the factors contributing to the demise of local journalism, and to propose policies and mechanisms that could reinvigorate local news to meet the critical information needs of the people of the United States in the 21st century. Be it enacted by the Senate and House of Representa- 1 tives of the United States of America in Congress assembled, 2 VerDate Sep 11 2014 00:40 May 27, 2021 Jkt 019200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\S1601.IS S1601 kjohnson on DSK79L0C42PROD with BILLS 2 •S 1601 IS SECTION 1. SHORT TITLE. 1 This Act may be cited as the ‘‘Future of Local News 2 Act of 2021’’. 3 SEC. 2. FINDINGS. 4 Congress finds and declares the following: 5 (1) The United States of America was founded 6 on the press freedom principle enshrined in the First 7 Amendment to the Constitution, declaring that 8 ‘‘Congress shall make no law . . . abridging the free- 9 dom of speech, or of the press . . . .’’. 10 (2) Democracy demands wisdom and vision in 11 its citizens, and an informed citizenry depends on 12 accurate and unbiased news reporting to inform the 13 people’s judgments. 14 (3) Thomas Jefferson famously and wisely 15 wrote, ‘‘[W]ere it left to me to decide whether we 16 should have a government without newspapers or 17 newspapers without a government, I should not hesi- 18 tate a moment to prefer the latter.’’. 19 (4)(A) According to research by the University 20 of North Carolina School of Media and Journalism, 21 Center for Innovation and Sustainability in Local 22 Media: 23 (i) The United States has lost more than 24 2,100 local print outlets since 2004. 25 VerDate Sep 11 2014 00:40 May 27, 2021 Jkt 019200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\S1601.IS S1601 kjohnson on DSK79L0C42PROD with BILLS 3 •S 1601 IS (ii) More than 200 counties in the United 1 States have no newspaper at all, creating a 2 news shortage for the 3,200,000 residents of 3 those counties. 4 (iii) Of the remaining counties, more than 5 half, or 1,528, have only one newspaper, often 6 a weekly newspaper, to cover populations rang- 7 ing from under 1,000 to more than 1,000,000 8 residents. 9 (iv) More than half of all United States 10 newspapers have changed owners in the past 11 decade, and in 2018 just 25 companies owned 12 two-thirds of all daily newspapers. 13 (v) Of the surviving 6,700 newspapers in 14 the United States, at least 1,000 qualify as 15 ‘‘ghost newspapers’’, or newspapers ‘‘whose re- 16 porting staffs are so significantly reduced that 17 they can no longer provide much of the break- 18 ing news or public service journalism that once 19 informed readers about vital issues in their 20 communities’’. 21 (vi) Rural counties are among the counties 22 most deeply impacted. More than 500 of the 23 2,100 newspapers that have closed or merged 24 since 2004 have been in rural counties. 25 VerDate Sep 11 2014 00:40 May 27, 2021 Jkt 019200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\S1601.IS S1601 kjohnson on DSK79L0C42PROD with BILLS 4 •S 1601 IS (B) According to the Pew Research Center, 1 total newsroom employment (meaning in news- 2 papers, television, radio, and digital) dropped by 3 roughly 25 percent from 2008 to 2018, while the 4 plunge in newspaper newsrooms alone was much 5 worse, at 47 percent. 6 (C) According to the program ‘‘On the Media’’ 7 of WNYC Studios, beat reporting, meaning the day- 8 to-day coverage of a particular field that allows a 9 journalist to develop expertise and cultivate sources, 10 has been gutted. 11 (D) Freedom of Information Act requests sub- 12 mitted by local newspapers to local, State, and Fed- 13 eral agencies fell by nearly 50 percent between 2005 14 and 2010, demonstrating a significant drop in the 15 extent to which reporters request government 16 records. 17 (E) According to the Pew Research Center, 18 newspapers alone lost more than $35,000,000,000 in 19 advertising revenue between 2004 and 2018. 20 (F) A 2018 study by American Indian Media 21 Today found that the number of American Indian 22 print media sources has shrunk dramatically in re- 23 cent years, from 700 media outlets in 1998 to only 24 200 in 2018. 25 VerDate Sep 11 2014 00:40 May 27, 2021 Jkt 019200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\S1601.IS S1601 kjohnson on DSK79L0C42PROD with BILLS 5 •S 1601 IS (5) According to the Native American Journal- 1 ists Association, Tribal news outlets are often de- 2 pendent on Tribal governments for funding, but 3 most Tribal news outlets lack the policy structure 4 necessary to fully protect journalistic independence. 5 (6) As a result, freedoms of speech and press 6 among Tribal nations are inconsistent, as Tribal 7 media journalists report experiencing punitive budg- 8 etary restrictions, censorship, required prior ap- 9 proval of content, and workplace harassment in pur- 10 suit of Tribal reporting. 11 (7) In its 2019 call-to-action report, ‘‘Losing 12 the News: The Decimation of Local Journalism and 13 the Search for Solutions’’, PEN America proposed 14 ‘‘a major reimagining of the local news space, in 15 which local reporting is re-conceptualized as a public 16 good’’, calling on society and government to urgently 17 address the alarming demise of local journalism. 18 (8) Half a century ago, Congress perceived that 19 the commercial television industry would not on its 20 own provide the educational and public interest 21 broadcasting that was appropriate and necessary for 22 the country, and, informed by an independent report 23 prepared by the Carnegie Commission on Edu- 24 cational Television, saw fit to create the Corporation 25 VerDate Sep 11 2014 00:40 May 27, 2021 Jkt 019200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6201 E:\BILLS\S1601.IS S1601 kjohnson on DSK79L0C42PROD with BILLS 6 •S 1601 IS for Public Broadcasting, which has since ensured 1 that radio and television include public interest edu- 2 cational and reporting programs, using annually ap- 3 propriated funds. 4 (9) In order to determine an appropriate course 5 of action to preserve and sustain local news across 6 the United States, including in all States, territories, 7 insular communities, and Tribal areas, it is desirable 8 to establish a Federal advisory committee on the fu- 9 ture of local news to prepare a report that would 10 make recommendations to Congress. 11 SEC. 3. FUTURE OF LOCAL NEWS COMMITTEE. 12 (a) ESTABLISHMENT.—There is established an advi- 13 sory committee to be known as the ‘‘Future of Local News 14 Committee’’ (in this section referred to as the ‘‘Com- 15 mittee’’). 16 (b) PURPOSE.—The purpose of the Committee is 17 to— 18 (1) examine the state of local news and the 19 ability of local news to sustain democracy by meet- 20 ing the critical information needs of the people of 21 the United States; and 22 (2) provide recommendations on mechanisms 23 that the Federal Government can create and effec- 24 tively implement to support production of profes- 25 VerDate Sep 11 2014 00:40 May 27, 2021 Jkt 019200 PO 00000 Frm 00006 Fmt 6652 Sfmt 6201 E:\BILLS\S1601.IS S1601 kjohnson on DSK79L0C42PROD with BILLS 7 •S 1601 IS sional, independent, and high-quality local news to 1 meet the needs of the public, which recommenda- 2 tions, in addition to any other proposals deemed ap- 3 propriate, may explore the possible creation of a new 4 national endowment for local journalism, or the re- 5 form and expansion of the Corporation for Public 6 Broadcasting or another appropriate institution, to 7 make public funds a part of a multi-faceted ap- 8 proach to sustaining local news. 9 (c) MEMBERSHIP.— 10 (1) COMPOSITION.—The Committee shall be 11 composed of 13 members, of whom— 12 (A) 2 shall be appointed by the majority 13 leader of the Senate; 14 (B) 2 shall be appointed by the minority 15 leader of the Senate; 16 (C) 2 shall be appointed by the Speaker of 17 the House of Representatives; 18 (D) 2 shall be appointed by the minority 19 leader of the House of Representatives; 20 (E) 2 shall be appointed by the Chairman 21 of the Board of Directors of the Corporation for 22 Public Broadcasting; 23 VerDate Sep 11 2014 00:40 May 27, 2021 Jkt 019200 PO 00000 Frm 00007 Fmt 6652 Sfmt 6201 E:\BILLS\S1601.IS S1601 kjohnson on DSK79L0C42PROD with BILLS 8 •S 1601 IS (F) 2 shall be appointed by the Chair- 1 person of the National Endowment for the Hu- 2 manities; and 3 (G) 1 shall be appointed by the Chief Ex- 4 ecutive Officer of the United States Agency for 5 Global Media. 6 (2) CRITERIA FOR SERVICE ON THE COM- 7 MITTEE.—To the extent practicable, the Committee 8 shall include members with relevant expertise, such 9 as individuals in the following positions: 10 (A) Print media news editor. 11 (B) Digital-native or digital-first news edi- 12 tor. 13 (C) Broadcast news editor. 14 (D) Local county editor or journalist of a 15 news outlet with circulation or readership of not 16 more than 75,000. 17 (E) Print media journalist or editor for a 18 news outlet that serves national readership. 19 (F) Nonprofit news outlet journalist or edi- 20 tor. 21 (G) Broadcast news reporter who works 22 for a local broadcast outlet serving a single 23 community or geographic area. 24 VerDate Sep 11 2014 00:40 May 27, 2021 Jkt 019200 PO 00000 Frm 00008 Fmt 6652 Sfmt 6201 E:\BILLS\S1601.IS S1601 kjohnson on DSK79L0C42PROD with BILLS 9 •S 1601 IS (H) A research expert on the state of local 1 news and the phenomenon of the industry’s rev- 2 enue loss and overall contraction during last 10 3 or more years. 4 (I) Business leader in the media industry. 5 (J) Labor union leader in the media indus- 6 try. 7 (K) Dean or professor at a university 8 school of journalism. 9 (L) Civil society representative from a non- 10 partisan organization that examines the nature 11 of the local news crisis. 12 (M) Editor or other senior professional of 13 a regional ethnic media outlet serving commu- 14 nities in which English is a second language. 15 (N) Editor or other senior professional of 16 a Tribal news outlet or a news outlet serving 17 American Indian, Alaska Native, or Native Ha- 18 waiian communities. 19 (3) DIVERSITY.—To the extent practicable, the 20 Committee shall— 21 (A) include members from diverse regions 22 of the country and reflect the experience of 23 rural, urban, suburban, insular, and Tribal 24 communities; and 25 VerDate Sep 11 2014 00:40 May 27, 2021 Jkt 019200 PO 00000 Frm 00009 Fmt 6652 Sfmt 6201 E:\BILLS\S1601.IS S1601 kjohnson on DSK79L0C42PROD with BILLS 10 •S 1601 IS (B) reflect the gender, racial, and ethnic 1 diversity of the United States. 2 (4) DESIGNATION OF ALTERNATES.—If a mem- 3 ber of the Committee is unable to serve on the Com- 4 mittee for the duration of the Committee, the official 5 who had appointed the resigning committee member 6 shall appoint an alternate not later than 30 days 7 after the member withdraws or becomes unable to 8 serve. 9 (5) CHAIRPERSON.—The chairperson of the 10 Committee shall be elected by the Committee from 11 among the members by a majority vote at the initial 12 meeting. 13 (6) TERM OF MEMBERSHIP.—Members of the 14 Committee shall serve until the date on which the 15 Committee terminates under subsection (h). 16 (7) COMPENSATION.—Members of the Com- 17 mittee shall not be compensated for membership on 18 the Committee but may be allowed reimbursement 19 for travel and incidental expenses, including per 20 diem in lieu of subsistence, in the same manner as 21 persons employed intermittently in the Government 22 service are allowed expenses under section 5703(b) 23 of title 5, United States Code. 24 VerDate Sep 11 2014 00:40 May 27, 2021 Jkt 019200 PO 00000 Frm 00010 Fmt 6652 Sfmt 6201 E:\BILLS\S1601.IS S1601 kjohnson on DSK79L0C42PROD with BILLS 11 •S 1601 IS (d) DUTIES.—The duties of the Committee are as fol- 1 lows: 2 (1) To examine the implications for the democ- 3 racy of the United States of the disappearance of so 4 many local newspapers, digital news outlets, and 5 broadcasting outlets— 6 (A) in every State and territory; 7 (B) in rural, urban, suburban, insular, and 8 Tribal communities, of the United States; and 9 (C) that serve Black communities and non- 10 English-speaking communities. 11 (2) To assess— 12 (A) the impact the coronavirus pandemic 13 has had on the demise of the news industry; 14 and 15 (B) whether the Paycheck Protection Pro- 16 gram set forth in section 7(a)(36) of the Small 17 Business Act (15 U.S.C. 636(a)(36)) has had 18 beneficial effects on local news organizations. 19 (3) To assess the effectiveness of existing Fed- 20 eral statutes (including the Internal Revenue Code 21 of 1986 and the antitrust laws), regulations, institu- 22 tions (including the Corporation for Public Broad- 23 casting), and programs in supporting the production 24 of local news. 25 VerDate Sep 11 2014 00:40 May 27, 2021 Jkt 019200 PO 00000 Frm 00011 Fmt 6652 Sfmt 6201 E:\BILLS\S1601.IS S1601 kjohnson on DSK79L0C42PROD with BILLS 12 •S 1601 IS (4) To examine potential new mechanisms for 1 public funding for the production of local news to 2 meet the critical information needs of the people of 3 the United States and address systemic inequities in 4 media coverage and representation throughout the 5 country. 6 (5) To consider issues of transparency and 7 other guardrails, such as editorial independence 8 from government actors and a distinct, independent 9 legal and financial structure for the funding institu- 10 tion, which must be addressed if public funding is 11 viewed in principle as one path forward to support 12 production of local news. 13 (e) POWERS OF THE COMMITTEE.— 14 (1) HEARINGS.—The Committee may, for the 15 purpose of carrying out this section, hold hearings, 16 sit and act at times and places, take testimony, and 17 receive evidence as the Committee considers appro- 18 priate. 19 (2) POWERS OF MEMBERS AND AGENTS.—Any 20 member of the Committee may, upon authorization 21 by the Committee, take any action [Text truncated for display. 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