Karin Dryhurst

Nonprofit News in the Mainstream?

Nonprofit journalism models seem less far-fetched this week. Even as newspaper publishers and new media moguls lobbed insults at each other over copyrights and pay walls at a Senate hearing last week, some Senators admitted an interest in nonprofit news.

Even more encouraging—though speculative—news came from confidantes to Hollywood player David Geffen. The confidential sources claim Geffen has pursued ownership of The New York Times with an interest in converting the paper to a nonprofit institution, freeing the paper from the burden of investor dividends.

The Newsweek article says the exact model he would pursue remains unclear, but one media professional at the University of North Carolina presented a nonprofit model for the Times at a conference last week. The conference brought together journalists, who debated government intervention in the industry.

Many agreed that while direct funding to journalistic institutions could be hazardous to their independence, efforts to ease their tax burden through non-profit and low-profit exemptions could allow newspaper companies to maintain their watchdog roles.

Some have incorrectly called efforts like Sen. Ben Cardin’s Newspaper Revitalization legislation a newspaper bailout—and the White House Press Secretary thinks government can’t do anything for the industry. But the legislation, or something similar, would make it easier for civic investors like Geffen to fund and rework institutions like the Times.

But would the Gray Lady allow it?

The Newsweek article misrepresents a response by Times president and general manager Scott Heekin-Canedy to just such a question, claiming the option has been ruled out.

The executive’s response was much more noncommittal. Heekin-Canedy actually side-stepped the question, which leads me to believe the option could still be on the table.

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Posted at 2:04 PM, May 14, 2009 in Media
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