This post originally appeared at https://www.badgerinstitute.org/plan-to-prop-up-wisconsin-newspapers-sets-off-alarm-bells/

Analysis: Danger of government interference in proposals for ‘fellowships’ and grants to media

With all the pressing problems facing Wisconsin, it’s difficult to imagine that state legislators would be even remotely concerned about the dwindling ranks of newspaper reporters statewide.

But it’s time to recalibrate expectations in the wake of a recently introduced bill that would have the state pay $1 million annually to fund a journalism fellowship program. The program would pay 25 newspaper reporters an annual salary of $40,000 in an effort to bolster local news coverage in communities underserved by newspapers.

The bill is one of three related measures introduced by Sen. Mark Spreitzer (D-Beloit) and Reps. Jimmy Anderson (D-Fitchburg) and Jodi Emerson (D-Eau Claire).

The second bill would create a Civic Information Consortium Board (CICB), a group that would oversee a new nonprofit corporation called the Wisconsin Civic Information Consortium Inc. (WCIC). In partnership with the University of Wisconsin System, the corporation would award grants to fund “local news and media projects.”

The third bill would provide an income tax credit for newspaper subscribers, equal to 50 percent of a subscription cost, capped at $250 per person per year.

The trio of bills, reportedly supported by the Wisconsin Newspaper Association, raises some troubling issues. Should the state stick its nose in the media business, even in a tangential way? Should it be propping up failing industries? How would the process of selecting the 25 reporters — and the newspapers, for that matter — be kept apolitical? And what about potential conflicts of interest when these reporters cover state legislative issues?

Furthermore, as a practical matter, given that there are 200 newspapers in Wisconsin as of November 2023, according to a database compiled by the University of North Carolina Hussman School of Journalism and Media, how much difference is 25 reporters going to make?

Bad precedent

State Sen. Duey Stroebel (R-Saukville) says the bills is one of the worst pieces of legislation he’s ever seen.

“Having served in the Legislature for over a decade, I have seen my fair share of ridiculous ideas, but this one might be near the top,” he says. “The notion that it is government’s job to subsidize and prop up a dying industry like journalism is preposterous.”

  Stroebel also notes that state subsidies for newspapers open up a whole new set of questions when it comes to journalistic integrity.

“Will reporters accurately report on stories or thoroughly investigate matters related to state government when it’s that very government that is subsidizing their employment?” he asks. “Public trust in traditional media is already in decline — these bills would likely exacerbate that. 

“These bills are an example of government picking winners and losers while driving us closer to the desired outcome, which is essentially a state-sponsored media,” he concludes. “This is something that should concern all of us.”

Jack Shafer, a media writer for Politico, calls the proposals “an incredibly bad idea.” He questioned whether newspapers and reporters could be objectively selected and also asked why just newspapers — not other media outlets — were targeted.

“It also creates a conflict of interest,” he adds. “It doesn’t inspire a lot of confidence, knowing that news reports might be coming from someone who’s essentially paid by the government. To me, that seems untenable.

“No government subsidy comes without some kind of compromise,” Shafer continues. “You can easily imagine the news industry becoming dependent on handouts, then have their funding removed if they’re critical of the state Legislature.

“The last thing you want is a press that becomes a captive of government interests.”

Shafer also says that legislation like this reflects liberals’ propensity for government intervention in order to maintain a status quo for failing industries.

‘Unserious’ legislation

Spreitzer was not available for an interview. But in a press release, he said the legislation is necessary to help local news organizations that have suffered deep staffing cuts. More than a quarter of American newspapers have folded and one in every five Americans now live in local news deserts, he added. 

“As a state senator, I know first-hand how important local journalism is to the foundation of our democracy — keeping Wisconsinites informed about their government and local community, providing opportunities for discussion on important civic issues and helping to cultivate an informed and engaged electorate,” the release said.

“Every Wisconsinite deserves access to high-quality and affordable local journalism. This package is an important tool to support local news while encouraging civic participation.”

Rep. Jimmy Anderson (D-Fitchburg) says the legislation is intended to bolster democracy.

“I genuinely believe that one of the big reasons why thing have gotten so partisan and divisive is that people have poor media diets,” he says. “I’m trying to improve the media landscape in Wisconsin.”

As for potential conflicts of interest, Anderson asserts the bill has “guardrails” in place that would prevent government from interfering with reporters in the fellowship program.

“We want to make sure reporters can report on what they want to report on without any government influence,” he says.

Asked if government should be picking winners and losers in an industry, particularly one that’s seriously faltering, Anderson notes that there are other many other precedents for government subsidies for industries, such as the paper industry, for starters.

“We’re not proposing to spend a million dollars on an obsolete industry,” he explains. “Journalism is a fundamental part of our democracy and our society…and we need to support it as much as we can.”

Will 25 reporters really make a difference? Anderson says every reporter matters, especially in rural or low-income areas where defunct newspapers have created “media deserts.”

“Adding any number of reporters can only improve the situation,” he says.

Anderson concedes that the bills have no chance of advancing in this legislative session, but says they’ve generated some excitement.

“I’m glad we’ve started a conversation about the media and its role in our society,” he say.

Money for media

To qualify for the $40,000-a-year “fellowships,” applicants would be required to complete a two- or four-year degree in journalism, media, communications or “a similar program.” They also would have to demonstrate how their participation in the program will “help increase access to high quality local journalism, bolster media literacy, meet state residents’ civic information needs or a combination of these,” according to a summary of the bill.

As for the CICB, the group would consist of two members appointed by the governor, one from each political party; two state senators and two state representatives, with one each picked from the majority party and the majority party; representatives with media expertise from UW-Madison, UW-Oshkosh, UW-Stevens Point and UW-Superior, appointed by the president of the UW System; and one representative from a local media group, one from the technology sector and two at-large public members, all appointed by a majority of the aforementioned members.

The media grants distributed by the CICB would fund local news and media projects aimed at “addressing communities’ information needs, bolstering media literacy and civic engagement and supporting access to high-quality, consistent local journalism, especially among underserved communities,” according to a bill summary.

According to a summary of the bill, a grant application would have to include an explanation of “how the proposed project benefits the state’s civic information needs and provides media literacy skills or local journalism access to currently underserved residents of this state.” Furthermore, a grant recipient must agree to remain independent, and the corporation must ensure that at least 30 percent of the total amount of all grants awarded are distributed to “off-campus partners” in rural communities.

The WCIC also would be required to collect data on state populations and communities that are “underserved by local news” and prioritize grant funding for these populations and communities.

How much would it cost the state to fund this corporation? No dollar amount was provided in the bill summary, but it indicated that funding would come in the form of “a new general fund appropriation.”

The proposed bills are not precedent-setting. Since 2017, at least 13 states have proposed similar legislation. The proposals were approved in other states, including California, New Mexico, New Jersey and Washington. Similar programs are under consideration in other states, including Illinois, Massachusetts, New York and Virginia.

Stroebel believes the Wisconsin proposals have no chance of advancing right now.

“However, as unserious as these policies are, that doesn’t mean we should ignore them,” he cautions. “Democrats are telling us exactly what their agenda will be if they are able to take control of the Legislature this fall. These bills show just how out of touch Democrats are with the needs of Wisconsinites.”

 Shafer agrees, noting that liberal initiatives like this rarely die.

“Just because it doesn’t pass this time doesn’t mean it won’t pass the next time,” he says.

Ken Wysocky is a Milwaukee-area freelance journalist and editor with more than 40 years of journalism experience.

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