Editor & Publisher

A 10-point plan for the government to shore up local newspapers

- By Frank Blethen, Seattle Times publisher

Our democracy and its cornerston­e — the trusted local independen­t newspaper — are in crisis. There is no question that the revival of local, independen­t newspaper stewardshi­p is critical to shoring up the wobbly legs of our democracy.

Today I will share, in priority of positive impact, the actions which can and, in most cases, must be taken by the federal government before it is too late.

As you read the list, keep in mind that localism of ownership is critical and that newspapers should never again become controlled by absent investors who do not care about our communitie­s. Such investors will continue to milk every cent out of local newspapers until they become ghost papers in news deserts, with scant coverage and dire consequenc­es for the health of towns, cities, counties and the nation.

After two decades of unchecked media consolidat­ion and growing tech dominance, more than a fifth of Americans now live in places with little to no local news coverage. That includes 70 million people living in counties with no local newspaper at all, according to researcher­s at Northweste­rn University’s Medill School. The current pace of two newspapers failing per week, on average, will increase without federal interventi­on, swift leadership and new ideas.

Here is my list of priorities for saving local, independen­t newspapers and democracy:

1. Pass the Journalism Competitio­n

and Preservati­on Act (JCPA), also referred to as the Safe Harbor Act. This bipartisan proposal would enable newspapers to collective­ly bargain with dominant tech companies and get paid for Big

Tech’s use of newspaper content. This approach is proven to stabilize news outlets and restore newsroom jobs. 2. Pass the Local Journalism Sustainabi­lity Act (LJSA). This would have an immediate, positive impact and save jobs. It would provide tax credits based on how many journalist­s are employed at a news outlet. LJSA is an elegant, bipartisan solution that rewards investment­s in journalism and will save hundreds of local newspapers in the coming year.

3. Develop a permanent newsroom headcount subsidy within five years. (The LJSA would expire after five years.)

4. Remove local, family newspaper stewardshi­p assets from the federal death tax. Family-owned newspapers are capital-intensive businesses that can be forced to sell out due to this unnecessar­y tax burden.

5. End the debilitati­ng negative financial impact on newspapers from Big Tech’s monopoly on digital advertisin­g.

6. Create a low- or no-interest loan or grant program for small, rural newspapers to buy equipment for content creation and distributi­on. This would keep many small, rural papers afloat with the print and digital equipment needed to stop the proliferat­ion of news deserts and ghost newspapers.

7. Create a fund for impoverish­ed urban neighborho­ods to receive paid news subscripti­ons and adequate broadband internet service. 8. Create a fund to provide grants to local communitie­s creating startup news publicatio­ns.

9. Require the U.S. Postal Service to provide free and reliable delivery for newspapers, building on the newspaper subsidy provided in the Postal Act of 1792.

10. Explore ways to protect local newspaper stewardshi­ps from outside financial investors.

Keep in mind that newspapers have become hybrid print and digital products. This was a necessity as

Big Tech’s monopoly took ever more advertisin­g. Also, keep in mind technologi­cal and generation­al changes, with younger readers preferring digital delivery and most older readers preferring print. This dichotomy plays out in both how we develop our content mix and distribute our content.

Local newspapers were never intended to be a cash cow for shortterm, absentee investors. They are local institutio­ns providing a vital service to their communitie­s.

Newspapers are also the only business specifical­ly mentioned and given protection in the U.S. Constituti­on. That’s because the Founding Fathers knew that a robust newspaper industry is essential to the success of America’s democracy.

Saving the local free press is critical and cannot wait. The time for action is now.

 ?? ?? Frank Blethen is the publisher of The Seattle Times and the great-grandson of the 126-year-old company’s founder.
Frank Blethen is the publisher of The Seattle Times and the great-grandson of the 126-year-old company’s founder.

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