PUBLIC NOTICE
FEDERAL COMMUNICATIONS COMMISSION
1919 M STREET, N.W.
WASHINGTON, D.C. 20554                                DA 97-2014 

News media information 202/418-0500     Fax-On-Demand  202/418-2830     Internet:  http://www.fcc.gov    ftp.fcc.gov


                                    Released: September 17, 1997 


         COMMISSION WILL NOT ENFORCE MOST RESTRICTIONS
           ON LOTTERY ADVERTISEMENTS WITH RESPECT TO
     STATIONS LICENSED TO COMMUNITIES IN THE NINTH CIRCUIT
                                

The Commission has received numerous inquiries concerning the February 25, 1997, decision of the United
States Court of Appeals for the Ninth Circuit in Valley Broadcasting Company v. United States, 107 F.3d
1328 (9th Cir. 1997).  In the interest of clarifying the FCC's enforcement position in light of this ruling, the
Office of General Counsel and the Mass Media Bureau are issuing this Public Notice.

In the Valley Broadcasting decision, the Court of Appeals for the Ninth Circuit affirmed the district court's
ruling and held that the restrictions on the broadcast of lottery information contained in Title 18 United
States Code, Section 1304, and Section 73.1211 of the Commission's Rules, are an "unconstitutional
infringement" of the plaintiffs' First Amendment rights.  The Ninth Circuit denied the Petition for Rehearing
filed in this case by the Department of Justice and the court issued its mandate on September 4, 1997. The
government has until November 24, 1997, to ask the Supreme Court to review the Ninth Circuit's ruling in
this case.  The decision whether to seek Supreme Court review will be made by the Solicitor General of the
United States.

The district court judgment in this case, now affirmed by the Ninth Circuit, does not enjoin the Commission
from enforcing Section 73.1211 of the Commission's Rules against persons other than the stations that
brought this suit.  Nevertheless, the Commission will not enforce the ban on the broadcast of lottery
information against stations licensed to communities in the Ninth Circuit, with the exception of the
prohibition on the broadcast of information concerning state-run lotteries.  This policy of non-enforcement
applies to any such broadcasts which air from September 4, 1997, the date of the mandate, unless and until
such time as the Ninth Circuit Court's decision in Valley Broadcasting is overturned or otherwise altered. 
The Ninth Circuit includes:  Alaska, Arizona, California, Guam, Hawaii, Idaho, Montana, Nevada, the
Northern Mariana Islands, Oregon, and Washington.

We recognize that the Ninth Circuit's decision could be read to apply to state-run lotteries.  However, such
an interpretation would conflict with United States v. Edge Broadcasting Co., 509 U.S. 418 (1993), in which
the Supreme Court upheld the prohibition on advertisement of state-run lotteries by stations located in states
which do not have such a lottery.

We caution broadcasters that they should ensure that the broadcast of information regarding lotteries is not
prohibited or otherwise restricted by state law.

For further information, contact Catherine Withers, Mass Media Bureau, (202) 418-1430.