FAQ: Another group never built their granted construction permit and now the permit is about to expire. Can another group "take over" the permit and build it?

Select FAQ Category:

§73.865(d) prohibits a construction permit from being transferred for any reason. This is to prevent speculators for filing during the window, being granted a construction permit and then selling the permit under the table. Constant "above the table" trafficking of construction permits during the 2003 FM Translator window was one of the primary motivators of this rule.

Let's say that Organization A is the holder of the expiring construction permit. Organization B wants to help out Organization A building the station.

You can not transfer a construction permit from Organization A to Organization B.

If Organization B is willing to help Organization A build the station then Organization B should reach an informal agreement with Organization A to help build the station in exchange for some airtime.

In this case, Organization A would continue to be the licensee and will have full control over the station. If a program from Organization B is not compliant with the rules or someone from Organization B violates Section 399b of the Communications Act with advertising, Organization A would be liable and would be fined.

If the CP is going to expire and it is eligible for a 18-month extension, please follow the process to get the permit extended.

If Organization A's bylaws allow, Organization A can always add members of Organization B to their board of directors. The FCC should be notified of any board changes through either Form 315 or 316. But even with that, Organization A is still the licensee and is still liable.

After the station has been fully licensed for 3 years, Organization A can assign the license to Organization B and Organization A is no longer responsible for the station. (See §73.865(c))


LPFM eligibility and ownership questions
LPFM station planning and construction
Answer Date: 
Tuesday, August 18, 2015