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National Public Radio ( NPR ) is a privately and publicly funded non-profit membership media organization that serves as a national syndicator to 797 public radio stations in the United States. NPR was created in 1970, following congressional passage of the Public Broadcasting Act of 1967. This act was signed into law by President Lyndon B. Johnson, and established the Corporation for Public Broadcasting, which also created the Public Broadcasting Service in addition to NPR. A CPB organizing committee under John Witherspoon first created a Board of Directors chaired by Bernard Mayes. This Board then hired Donald Quayle to be the first President of NPR with studios in Washington D.C., 30 employees and 90 public radio stations as charter members.

NPR produces and distributes news and cultural programming. Individual public radio stations are not required to broadcast all NPR programs that are produced. Most public radio stations broadcast a mixture of NPR programs, content from rival providers American Public Media and Public Radio International and Public Radio Exchange, and locally produced programs. NPR's flagships are two drive time news broadcasts, Morning Edition and the afternoon All Things Considered ; both are carried by most NPR member stations, and from 2002–2008 they were the second and third most popular radio programs in the country. In a Harris poll conducted in 2005, NPR was voted the most trusted news source in the U.S.

NPR manages the Public Radio Satellite System, which distributes NPR programs and other programming from independent producers and networks such as American Public Media and Public Radio International.

History

National Public Radio was founded on February 24, 1970. It replaced the National Educational Radio Network. NPR aired its first broadcast in April 1971, covering the United States Senate hearings on the Vietnam War. Shortly thereafter, the afternoon drive-time newscast All Things Considered began, on May 3, 1971, first hosted by Robert Conley. NPR was primarily a production and distribution organization until 1977, when it merged with the Association of Public Radio Stations. As a membership organization, NPR was then charged with providing stations with training, program promotion, and management, and with representing the interests of public radio before Congress and providing content delivery mechanisms, such as satellite transmission.

NPR suffered an almost fatal setback in 1983 when efforts to expand services created a deficit of nearly US$7 million. After a Congressional investigation and the resignation of NPR's president, the Corporation for Public Broadcasting agreed to lend the network money in order to stave off bankruptcy. In exchange, NPR agreed to a new arrangement whereby the annual CPB stipend that it had previously received directly would be divided among local stations instead; in turn, those stations would support NPR productions on a subscription basis. NPR also agreed to turn its satellite service into a cooperative venture, making it possible for non-NPR shows to get national distribution. It took NPR approximately three years to pay off the debt.

On December 10, 2008, NPR announced that it would reduce its workforce by 7% and cancel the news programs Day to Day and News & Notes . The organization indicated this was in response to a rapid drop in corporate underwriting in the wake of the economic crisis of 2008.

In Fall 2008, NPR programming reached a record 27.5 million people weekly, according to Arbitron ratings figures. NPR stations reach 32.7 million listeners overall.

Governance

NPR is a membership corporation. Member stations are required to be noncommercial or educational radio stations, have at least five full-time professional employees, operate for at least 18 hours per day, and not be designed solely to further a religious philosophy or be used for classroom programming. Each member station receives one vote at the annual NPR board meetings—exercised by its designated Authorized Station Representative ("A-Rep").

To oversee the day to day operations and prepare its budget, members elect a Board of Directors. This board is composed of ten A-Reps, five members of the general public, and the chair of the NPR Foundation. Terms are for three years and rotate such that some stand for election every year.

The original purposes of NPR, as ratified by the Board of Directors, are the following:

  • Provide an identifiable daily product which is consistent and reflects the highest standards of broadcast journalism.
  • Provide extended coverage of public events, issues and ideas, and to acquire and produce special public affairs programs.
  • Acquire and produce cultural programs which can be scheduled individually by stations.
  • Provide access to the intellectual and cultural resources of cities, universities and rural districts through a system of cooperative program development with member public radio stations.
  • Develop and distribute programs for specific groups (adult education, instruction, modular units for local productions) which may meet needs of individual regions or groups, but may not have general national relevance.
  • Establish liaison with foreign broadcasters for a program exchange service.
  • Produce materials specifically intended to develop the art and technical potential of radio.

As of May 2008, the Board of Directors of NPR included the following members:

  • Tim Eby; Radio Manager, The WOSU Stations (WOSU, WOSU-FM)
  • Dave Edwards; Vice-Chair of the Board, NPR; Director/General Manager, WUWM
  • Rob Gordon; President & General Manager, WPLN
  • Scott Hanley; Director/General Manager, WDUQ
  • Ellen Rocco; Station Manager, North Country Public Radio
  • John Stark; General Manager, KNAU
  • JoAnn Urofsky; General Manager, WUSF Public Broadcasting
  • Mark Vogelzang; President and General Manager, Vermont Public Radio
  • Debra Fraser; Station Manager, KUHF Houston Public Radio
  • Vivian Schiller; President as of January 5, 2009
  • Antoine W. van Agtmael; Chair, NPR Foundation; Chairman and Chief Investment Officer, Emerging Markets Management, LLP
  • Carol A. Cartwright; President, Kent State University
  • John A. Herrmann, Jr.; Vice Chairman, Lincoln International
  • Howard H. Stevenson; Chair of the Board, NPR; Sarofim-Rock Professor of Business Administration at Harvard University
  • Lyle Logan; Senior Vice President, Personal Financial Services
  • Eduardo A. Hauser; Chief Executive Officer, DailyMe, Inc. Daily Me

On March 6, 2008, Ken Stern left his position as CEO by mutual agreement, after having led NPR during its most lucrative decade. He was replaced on an interim basis by Dennis L. Haarsager.

Funding

According to the 2005 financial statement, NPR makes just over half of its money from the fees and dues it charges member stations to receive programming. Some of that money originates at the CPB itself, in the form of federal pass-through grants to member stations.. Some more of that money originates from local and state governments and government-funded universities subsidizing member stations' fees and dues to NPR. About 2% of NPR's funding comes from bidding on government grants and programs, chiefly the Corporation for Public Broadcasting; the remainder comes from member station dues, foundation grants, and corporate underwriting. Typically, NPR member stations raise funds through on-air pledge drives, corporate underwriting, and grants from state governments, universities, and the CPB itself.

Over the years, the portion of the total NPR budget that comes from government funding has decreased. During the 1970s and early 1980s, the majority of NPR funding came from the federal government. Steps were taken during the 1980s to completely wean NPR from government support, but the 1983 funding crisis forced the network to make immediate changes. More money to fund the NPR network was raised from listeners, charitable foundations and corporations, and less from the federal government. Major donors are listed on the NPR web site.

Underwriting spots vs. commercials

In contrast with commercial radio, NPR does not carry traditional commercials, but has advertising in the form of brief statements from major donors, such as Allstate, Merck, and Archer Daniels Midland. These statements are called "underwriting spots", not commercials, and unlike commercials are governed by FCC restrictions; they cannot advocate a product or contain any "call to action". In 2005, corporate sponsorship made up 23% of the NPR budget. NPR is not as dependent on revenue from underwriting spots as commercial stations are on revenue from advertising.

Joan Kroc Grant

On November 6, 2003, NPR was given over US$225 million from the estate of the late Joan B. Kroc, the widow of Ray Kroc, founder of McDonald's Corporation. This was a record—the largest monetary gift ever to a cultural institution. For context, the 2003 annual budget of NPR was US$101 million. In 2004 that number increased by over 50% to US$153 million due to the Kroc gift. US$34 million of the money was deposited in its endowment. The endowment fund

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