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PBS Will Fight For Federal Funding

By DAVID BAUDER, AP

NEW YORK (AP) - Under fire on Capitol Hill for sharing its donor lists with the Democrats, PBS is determined to fight for its federal funding, even if it represents only 14 percent of its budget.

The Public Broadcasting Service argues that the subsidy is more important than the small percentage might suggest, since it triggers other donations and its elimination would represent a major philosophical shift.

It's not worth going it alone, even if avoids nasty political scrapes, said Ervin Duggan, PBS president and chief executive.  ``If you talk about privatizing public broadcasting, you're really using a euphemism for commercializing public broadcasting,'' he said, ``and the entire mission of the institution changes.'' Last week it was disclosed that at least two dozen public television stations exchanged membership lists with political groups. Some Republican lawmakers responded by renewing calls to strip public broadcasting of its $250 million government subsidy.  PBS's portion of that money accounts for 14 percent of its operating revenue. When the system began 30 years ago, Congress kicked in more than half of the funds, one expert said. It was down to one-fifth by 1980 and the percentage has dropped steadily since then.

Through the Corporation for Public Broadcasting, member television and radio stations also get a portion of the federal pie. The money represents anywhere from 10 percent to nearly 40 percent of the TV stations' budgets, with the money more important for smaller stations that serve rural areas.

PBS's share of $37 million is ``absolutely essential seed money,'' spokesman Thomas Epstein said. The federal funds trigger matching state grants for educational programming and encourage private investment, he said.

Some PBS programming, such as the investigative series ``Frontline'' and American drama, wouldn't attract enough private funding to stay on the air, the executives said.

PBS attracted $186 million in corporate underwriting in 1998, up $44 million from the previous year. Its largest source of funding remains donations by viewers.

Public broadcasting's aggressiveness in seeking other funding sources has led some critics to suggest the system's mission has already changed. Certainly it has led to touchy moments: ``Sesame Street'' was criticized by Ralph Nader for broadcasting a 15-second message from an indoor playground manufacturer that had kicked in $1 million toward producing the show.

``The greater the commercial pressure, the greater the need to tailor programming to corporate underwriting,'' said James Ledbetter, author of ``Made Possible By...,'' a book about public broadcasting. ``There are a lot of people who would argue that they are there already.''

It's been more than a decade since PBS produced a program geared to blacks, arguably the type of community underserved by commercial broadcasters that the public system was invented for, Ledbetter said.

At the same time, PBS produces a nightly business roundup, even though several cable channels do the same thing, because that's attractive to corporate sponsors, he said.

``Public TV is best looked upon as a kind of niche market within commercial broadcasting, rather than an alternative to it,'' Ledbetter said.

Duggan said he is ``aware of no evidence that we have pulled our punches or succumbed to the needs'' of sponsors. Public broadcasting's diversity of funding sources ensures its independence, he said.

Public broadcasters are also protective of public funding because of the looming expenses related to the transformation to a digital marketplace. It will require the formation of new channels and major equipment purchases, costing an estimated $1.7 billion, Epstein said.

PBS and Ledbetter agree that public broadcasting would be better served by a funding mechanism that insulates it from recurring political battles, either a trust fund or a dedicated revenue stream.

``In a lot of ways, there is now more than ever a need for a truly public broadcasting system,'' Ledbetter said. ``I think the issue of providing a true lens on American society is always a vital idea and something that cable networks and commercial broadcasting does very incompletely.''

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