Some public radio stations will accept financial contributions from alcoholic beverage companies.
The Federal Communications Commission (FCC) does not regulate announcements relating to alcoholic beverages on any kind of broadcast station, be it radio or television, commercial or noncommercial. As a result, media companies have adopted varying policies regarding whether they will accept alcohol advertisements. Public broadcasters technically do not have advertisements. However, they do acknowledge corporate sponsors through what are called underwriting announcements. No federal regulations bar the mention of alcohol during underwriting announcements, although public broadcasters may have their own policies barring contributions from such sponsors.
FCC Regulations
The FCC has resisted imposing restrictions on alcohol announcements. This is due in part to free speech provisions in the First Amendment, as well as Section 326 of the Communications Act, which bars censorship of broadcast content. FCC regulations do bar the advertisement of cigarettes and some other tobacco products, although ads for cigars, pipes and pipe tobacco are permitted. When it comes to alcohol ads, however, the Commission has suggested that voluntary industry restraint may be better than federal regulations.
Underwriting
Just as the FCC has been silent on alcohol advertising, no federal regulations have prohibited public broadcasters from accepting underwriting contributions from alcoholic beverage companies, or acknowledging those sponsorships on the air. Public broadcasters are, however, free to reject any underwriting contributions they choose. Thus, some public stations may voluntarily bar corporate underwriters that make or distribute alcoholic beverages. National guidelines that were developed for public radio programs, however, do permit some alcohol underwriters. The guidelines recommend that the announcements be confined to a small fraction of underwriting and that they use language that is restrained in tone.
Controversy
Underwriting by alcoholic beverage companies on public radio stations has been controversial. A Texas Public Radio listener wrote to complain about hard liquor underwriting announcements, asking whether adult video, strip clubs and bars would be next. Texas Public Radio's Director of Programming and Operations responded that those other businesses would not be permitted as sponsors, and that there was nothing morally offensive about companies that make alcoholic beverages.
Voluntary Bans
At one time, the FCC asked companies that were seeking radio licenses to adhere to the National Association of Broadcasters' Code of Conduct, which forbade advertisements for hard liquor. The NAB abandoned its code in the early 1980s, however, after the Department of Justice raised antitrust concerns about other unrelated provisions. Although the code is no longer in effect today, many radio stations have continued their previous policies that banned ads for hard liquor.
Contractual Influences
Contractual relationships can also influence policies on alcohol announcements. Many public stations, for example, are based at colleges and universities, which may have their own bans on alcohol sponsorships. The National Collegiate Athletic Association also limits alcohol advertising during its broadcasts to 60 seconds per hour, up to a maximum of 120 seconds during an entire broadcast. The ads must also include a message to drink responsibly, and not include sexual innuendo or displays of reckless behavior.
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