Under Lautenberg's proposal, the company would have to sell some of its stations by 2008. He said the discount -- which was intended to reflect the weaker over-the-air signals of UHF stations -- was no longer needed because 85% of TV viewers receive their TV signals through cable or satellite, which carry the UHF stations.
The National Assn. of Broadcasters' Fritts said the UHF amendment would spur opposition to the bill when it reaches the Senate floor.
"The UHF discount should stay where it is," Fritts said.
A spokeswoman for Paxson had no immediate comment.
The bill comes one week after the panel approved similar legislation to reverse other parts of the FCC decision. Both bills appear to have some support in the Senate but face uphill battles in the House.
In a nod to the FCC, the committee also voted Thursday to loosen a statute that required the agency to review its media ownership rules every two years. FCC commissioners complained that the timetable was too aggressive. Under the bill, the FCC would be required to review its rules every four years.
The reauthorization bill also would increase the agency's enforcement powers by increasing the maximum possible fines tenfold. Under the bill, maximum fines would rise to $10 million for phone companies and $2.5 million for broadcasters.
Radio stations airing indecent material would face license revocation under an amendment offered by Sen. Ernest F. Hollings (D-S.C.).
The bill also bans FCC officials from accepting compensation from industry groups for airfare or hotel stays while traveling to trade shows or other events. The agency has accepted nearly $2.8 million in free trips over the last eight years, according to a recent report.
"The FCC should pay for these trips itself to avoid the appearance of impropriety," McCain said.
