The FCC doesn’t like the idea of people acquiring Construction Permits for new radio stations who have no intention of actually ever building a station. The FCC gives you three years to build your radio station once you get the permit. During that time CP speculators hope to be able to resell the CP and make a profit.
The FCC has had a rule that has been working contrary to that rule – if you got near the end of the three years and were not going to be able to build the station in time, if you transferred the CP to an “eligible entity” special type of licensee (aka Black, woman, Native American, Hispanic, hermaphrodites, Martians, and any other constituent of the Democratic Party), the FCC would give you an extra 18 months to build out the station (or sell the CP).
The other day, I noticed an expiring CP was transferred into a fake entity in the name of the owner’s wife (Hey, it’s a female owner!)… once the extension was approved, he rescinded the transfer.
A federal appeals court has thrown out the entire concept of “Eliglble Entities” for “Diversity” – forcing the FCC to rescind this practice. So for those people who own CP who were counting on having an extra 18 months to build their station, the clock is ticking. There is no extension – if you aren’t broadcasting at the end of 3 years, you forfeit the license, even if you have a vagina (real or artificial) or your ancestors came from Africa.
http://transition.fcc.gov/Daily_Releases/Daily_Business/2011/db0725/DA-11-1232A1.pdf