Across the nation, small towns and big cities are losing something irreplaceable—their local news. From conservative publications to more liberal media outlets, all have been affected by changes in the newspaper industry that have made it increasingly difficult to survive as an independent voice. Do we need to create new options that will help ensure the survival of investigative and insightful reporting that is most often done today by newspapers? I believe we do.
In recent months, the Seattle Post-Intelligencer, the Rocky Mountain News, the Baltimore Examiner, and the San Francisco Chronicle, among others, have ceased daily print publication or announced they may have to stop publishing. The Tribune Co., owner of the Los Angeles Times and the Baltimore Sun, has filed for bankruptcy. This does not bode well for our democracy. We depend on an open and free press to monitor and report on what is happening in our communities so that we as Americans can make reasoned judgments about our leaders. I think Thomas Jefferson, a man who was vilified by newspapers daily, summed it up best when he said, "If I had to choose between government without newspapers, and newspapers without government, I wouldn't hesitate to choose the latter."
Like Jefferson, I believe that a well-informed public is the core of our democracy. Most recently, newspapers were critical in uncovering the appalling treatment of our brave veterans at Walter Reed and other veterans' hospitals. From the Watergate scandal to the AIG bonus debacle to school board decisions or local zoning debates, news stories—reported by journalists—often bring to public attention the most important decisions and actions that affect all of us.
Despite the 24-7 availability of news from print, broadcast, and digital sources, there remains one clear fact: When it comes to original, in-depth reporting that records and exposes accomplishments, issues, opportunities, and corruption in our communities, nothing has replaced a newspaper. Google, Yahoo, blogs, and even most local and national broadcasters pull their news stories and postings from the original and laborious—and expensive—work of experienced newspaper reporters diligently working their beats over the course of years and months, not hours.
If he were alive today, Jefferson would be truly horrified to see the demise of the newspaper industry. While the economy has caused an immediate problem, the business model for newspapers, based on circulation and advertising revenue, is broken, and that is a real tragedy for communities across the nation and for our democracy.
For that reason, I have introduced the Newspaper Revitalization Act to help our disappearing community and metropolitan papers by allowing them to become nonprofit organizations, if they so choose. This is not a solution for every newspaper across the country, but some may take advantage of its benefits. My goal is to save local coverage by local reporters who know their communities, work their beats, and develop the important stories. Newspaper reporters forge relationships with people; they build a network, which creates avenues to information that someone outside of the local community may never find or understand.
This is not another government bailout of a failing industry. Taxpayer funds will not be used to buy shares or an interest in any media corporation. Instead, my bill would create a new option under the Internal Revenue Code for a "qualified newspaper corporation," allowing newspapers to operate under 501(c)(3) status for educational purposes. It would be the same IRS status that is utilized by churches, hospitals, educational institutions, public broadcasting, and other nonprofit entities. It would allow local communities an option to support an independent local paper. The change to the IRS code is needed because current regulations require nonprofit news organizations to distribute their publications in a manner distinguishable from their commercial counterparts in order to maintain their 501(c)(3) status.
Corrected on : Benjamin L. Cardin, a Democratic senator from Maryland, was a member of the House from 1987 to 2006.