How NJ Spotlight News is leveraging its journalism to enhance its bottom line

NJ PBS in Newark, New Jersey, the headquarters of NJ Spotlight News. Photo (cc) 2022 by Dan Kennedy.

It’s NewsMatch time — that annual holiday tradition when local and regional news nonprofits ramp up their fundraising efforts so that donations can be matched by the Institute for Nonprofit News.

This morning I received an email with the intriguing subject line “This was our favorite story of 2023!” from NJ Spotlight News, one of the projects that Ellen Clegg and I are profiling in our forthcoming book, “What Works in Local News.” The top of the email reads:

Dear Dan,

Last week we kicked off our year-end campaign, and we couldn’t be more excited to share how your support made a big impact in 2023, plus give a glimpse into the exciting plans we have for 2024.

As a reader of NJ Spotlight News, you know you can depend on our nonprofit journalism day in and day out. But do you know what goes into producing just one story, from start to finish? Take, for example, our story last week on youth voting, which investigated college age voters in New Jersey and their attitudes towards politics. Here’s a look, by the numbers, of what went into it:

    • phone calls made: 6
    • internal meetings at NJ Spotlight News to plan/discuss: 3
    • days it took to produce: 10
    • people involved in its production: 7
    • cups of coffee consumed: 8
    • emails sent about it: 31
    • hours of transcription logged: 2 hours

We put everything we’ve got into all of our stories because we value in-depth, comprehensive reporting. These New Jersey stories need to be told and we believe sourcing our information from a variety of voices and perspectives is the best way to do so. And because of our hard work, we’re making a real difference in our New Jersey community.

The email did not link to the story, but here it is. Reported by Hannah Gross, Spotlight’s education and child welfare reporter, the story takes a deep dive into whether college students would vote in the following week’s state and local elections — a tough sell for younger voters given that there’s no presidential race on the ballot.

“People don’t realize how much change actually comes from the local standpoint,” Rowan University student Jamie Ivan told Gross. “Everyone thinks: ‘Oh, it’s not presidential, it doesn’t matter.’ Presidential elections matter a lot, but so do local ones. It affects your everyday life. It directly impacts you.”

Acting on a hunch, I checked to see if Gross is affiliated with Report for America, a project that places young journalists at local news organizations across the country. Indeed she is. Report for America is also featured in “What Works in Community News” — we interviewed RFA corps members at news projects such as The Colorado Sun and the New Haven Independent, and we also include a featured conversation with RFA co-founder Steven Waldman, edited down from our podcast interview with him.

NJ Spotlight News began life about a decade ago as a website covering statewide public policy and politics. Several years ago it merged with NJ PBS, and today comprises the original website plus a daily half-hour newscast, with a lot of cross-pollination between both sides of the enterprise. It’s an example of how public broadcasters can step up and help solve the local and regional news crisis — one of a number of business models that Ellen and I explored in our reporting on how to build a sustainable future for community journalism.

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From ‘Spotlight’ to a spotlight on local news: A conversation with Walter Robinson

Walter Robinson speaking at a New England First Amendment Coalition event

In the latest “What Works” podcast, Ellen Clegg and I talk with Walter Robinson, a longtime investigative journalist and editor of The Boston Globe’s Spotlight Team. Robby, as he is known, was instrumental in uncovering the clergy sex abuse scandal that rocked the Catholic Church in Boston and beyond. The series won the Pulitzer Prize for Public Service in 2003. The team’s work was captured onscreen in the movie “Spotlight,” where Robby was played by the actor Michael Keaton.

Robby is a former colleague — he was a Distinguished Professor of Journalism here at Northeastern. He was also a 1974 graduate of Northeastern’s journalism program and participated in co-op.

Robinson covered and edited local news at the Globe. But he ranged wide. He reported from 48 states and 33 countries. He covered the White House during the Reagan and George H.W. Bush administrations. He was also the Globe’s Middle East bureau chief and covered the first Persian Gulf War.

In recent years, Robby has been focused on the local news crisis in a big way. He has been deeply involved in the New Bedford Light, an impressive nonprofit digital news outlet. He lives in Plymouth, so it’s perhaps no surprise that he is a key adviser to the board of directors at the new Plymouth Independent.

I’ve got a Quick Take on developments in the junkyard known as Twitter. Ellen reports on a new podcast out of Memphis called “Civil Wrongs.” It’s produced by a Report for America corps member that examines a racist massacre in the aftermath of the Civil War.

You can listen to our conversation here and subscribe through your favorite podcast app.

Steve Waldman talks about Report for America and his quest to save local news

Steve Waldman

On this week’s “What Works” podcast, Ellen Clegg and I talk with Steve Waldman, the president and co-founder of Report for America, a national service program that places journalists into local newsrooms to report on undercovered communities. Steve came up with the concept in 2014 and joined forces with The Ground Truth Project to launch RFA in 2017.

In the projects we’re reporting on for this podcast and for our book, “What Works: The Future of Local News,” we’ve run across a number of RFA corps members. They usually have a couple of years of experience but are relatively new to the business, although there are a few near retirement age, too.

Steve has a deep background in magazine journalism. He was national editor of U.S. News & World Report and a national correspondent for Newsweek. He went on to co-found a multifaith religion website, Beliefnet.com, which won a National Magazine Award. He is also founder and coordinator of the Rebuild Local News Coalition, and he’s crafted some interesting proposals for how government can help revitalize local journalism while preserving editorial independence.

I’ve got a Quick Take on the happy conclusion to a bizarre situation involving a reporter for the St. Louis Post-Dispatch. Last fall, Josh Renaud reported that a flaw in a database maintained by the state of Missouri allowed for public access to thousands of Social Security numbers. Incredibly, the state’s governor, Mike Parson, denounced Renaud as a “hacker” and a criminal investigation was begun. It was absolutely outrageous, and now Renaud has been recognized with a national freedom-of-the-press award.

And Ellen takes it all back about Ogden Newspapers, which purchased The Aspen Times late last year but has supressed coverage and prompted a number of staff resignations.

You can listen to our conversation here and subscribe through your favorite podcast app.

‘60 Minutes’ reports on Alden, Report for America and the local news crisis

Sunday’s “60 Minutes” episode on the local news crisis was a worthy if unoriginal treatment focusing on the depredations of Alden Global Capital, the hedge fund that is our worst newspaper owner. Viewers are also introduced to Report for America, the organization that’s placing journalists in underserved communities around the country. If you didn’t get a chance to see it, you can tune in here.

Jaida Grey Eagle on Sahan Journal, Report for America and telling the stories of Native American women

Jaida Grey Eagle. Photo via Indigenous Goddess Gang.

Our latest “What Works” podcast features Jaida Grey Eagle, a photojournalist working for Sahan Journal in Minneapolis through Report for America. She is Oglala Lakota and was born in Pine Ridge, South Dakota, and raised in Minneapolis.

Launched in 2019, Sahan Journal covers immigrants and communities of color in Minnesota. Report for America places young journalists at local news outlets across the country for two- and three-year stints.

Grey Eagle’s photography has been published in a wide range of publications and featured on a billboard on Hennepin Avenue in downtown Minneapolis. She is also a co-producer of “Sisters Rising,” a documentary film about six Native American women reclaiming person and tribal sovereignty in the face of sexual violence.

Ellen Clegg and I also offer our quick takes on paywalls and media companies that target well-heeled readers, and on Evan Smith’s announcement that he’s stepping down as chief executive officer of The Texas Tribune.

You can listen to our conversation here and subscribe through your favorite podcast app.

Hedge fund owner, its feelings apparently hurt, cuts ties with Report for America

Report for America photojournalist Olivia Sun on assignment with The Colorado Sun. Photo (cc) 2021 by Dan Kennedy.

In April 2020, I questioned whether Report for America should be placing journalists at newspapers owned by cost-cutting corporate chains.

RFA is a program that enables news organizations to hire young journalists for about two years at a fraction of the cost, with a grant from RFA and additional fundraising covering 75%. The dilemma is that though these news organizations clearly need help, and the communities they cover benefit from that help, there is at least a theoretical chance that their chain owners will take it as an incentive not to hire someone at full cost.

At the time, RFA co-founder Steven Waldman defended those placements, saying in part that “half of our placements are in nonprofit, and others are in locally owned commercial entities. But we do indeed have some placements in newspapers that are owned by chains. Our primary standard is: Will this help the community?” (His full answer, as well as comments from the other co-founder, Charles Sennott, are here.)

Now Report for America has encountered an unexpected hazard to doing business with chain owners. McClatchy, owned by Chatham Asset Management, a hedge fund, has decided not to apply for any RFA journalists next year. The apparent reason, according to Feven Merid at the Columbia Journalism Review: Waldman hurt their feelings in an op-ed piece he wrote for the Los Angeles Times earlier this year. Merid writes:

Sources tell CJR that McClatchy’s decision came in response to Waldman’s hedge-fund criticism. Kristin Roberts, McClatchy’s senior vice president of news, would not confirm the company’s plans, and did not respond to questions concerning the company’s reaction to Waldman’s hedge-fund critiques.

McClatchy owns several dozen papers in 14 states, including important outlets like the Miami Herald, The Sacramento Bee and The News & Observer of Raleigh, North Carolina. The chain staggered under piles of debt for many years before finally collapsing into bankruptcy a few years ago. Chatham bailed them out and has thus far proved to be a more benevolent owner than, say, Alden Global Capital, the most notorious of the hedge-fund owners. Indeed, Waldman’s op-ed specifically mentioned Alden.

But if Merid’s sources are correct, then it seems that Chatham executives have a bad case of rabbit ears.

Waldman’s op-ed, headlined “How to Stop Hedge Funds from Wrecking Local News,” calls on Washington to take steps that would encourage chain-owned newspapers to divest their holdings and make it easier for independent local owners to step up. He wrote:

It could offer incentives for owners to sell these papers to local interests by waiving capital gains taxes if the acquirer is a local nonprofit organization or public benefit corporation. It could give a time-limited payroll tax break to the acquiring organizations. Congress could also, through the Small Business Administration or Commerce Department, provide loan guarantees for low-interest financing for such transitions or special tax credits, similar to those available to businesses operating in enterprise zones.

Antitrust action to break up the chains could be in order as well, according to Waldman.

At the moment, 31 RFA journalists work at 21 McClatchy news outlets. The chain’s decision to spurn future RFA journalists won’t hurt the prospects of young reporters and photographers, since there will no doubt be plenty of other newsrooms that participate. But it will hurt the communities that those papers serve unless the chain suddenly decides to go on a hiring spree.

It’s an absurd situation, and I hope the folks at Chatham and McClatchy come to their senses.

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Local news as infrastructure

Report for America co-founder Steve Waldman is suggesting that a plan he’s been touting to help the beleaguered local news business be included in whatever infrastructure bill comes out of Congress.

Writing recently for Poynter Online, Waldman said that each American should be given a $250 tax credit either to buy a subscription to a local news source or to make a donation to a nonprofit news organization. He notes that Sen. Maria Cantwell, the chair of the Senate Commerce Committee, has come out in favor of $2.4 billion to bolster local news. Waldman writes:

Local news is, in fact, the civic infrastructure of democracy.

But let’s get less metaphorical. If the health of democracy wasn’t reason enough, there’s another, practical reason why help for local news should be part of the infrastructure bill. If the government is going to spend a trillion or so dollars on public works projects, we need local watchdog reporters to make sure the money is spent well.

Waldman has been promoting the $250 tax credit for some time, and he says it has some bipartisan support. But the idea of rolling it into the infrastructure bill seems worth exploring as a way of actually making it a reality.

Waldman discussed his Poynter piece with Brian Stelter last weekend on CNN’s “Reliable Sources.” He’s also involved in an organization called the Rebuild Local News Coalition, comprising more than 4,000 local newsrooms (up from about 3,000 at the time of the Poynter piece) and journalism advocacy organizations.

Should Report for America send journalists to chain-owned newspapers?

How much support do newspapers owned by cost-cutting corporate chains deserve? It’s a dilemma. On the one hand, the people who live in communities served by those papers need reliable news and information. On the other hand, subsidizing them with money and resources could be considered a reward for bad behavior.

Last week Report for America, or RFA, announced that it would send 225 journalists to news organizations in 46 states and Puerto Rico during 2020-’21. With local news in crisis even before the COVID-19 pandemic, it was a welcome piece of good news. Most of the organizations that will host these young journalists are either independent or part of small chains, and they include a sizable number of public broadcasters, nonprofit start-ups, the Associated Press and the like. Locally, The Bay State Banner will be getting a reporter.

But in looking over the list, I also noticed a substantial number of newspapers that are part of corporate chains. By my count, 15 papers are part of McClatchy, which recently declared bankruptcy after staggering under unsupportable debt for many years. Twelve are part of Gannett, recently merged with GateHouse Media; both chains are notorious for slashing their newsrooms, and not just since COVID-19 reared its head. One reporter is even going to Cleveland.com, the website of The Plain Dealer and the scene of a recent union-busting effort on the part of Advance Publications.

As I said, it’s a dilemma. If you attempt to punish chain owners for squeezing out revenues at the expense of newsroom jobs, you wind up hurting communities.

I contacted Report for America co-founders Steven Waldman, who serves as RFA’s president, and Charles Sennott, who’s the chief executive officer and editor of The GroundTruth Project, of which RFA is a part. Their answers have been lightly edited. First Waldman:

My general answer is: Yes, half of our placements are in nonprofit, and others are in locally owned commercial entities. But we do indeed have some placements in newspapers that are owned by chains. Our primary standard is: Will this help the community? So we have on occasion accepted applications from newspapers with the problems you mentioned if we were convinced that they would use the reporter to better serve their readers. If we can be a positive force in helping those newspapers tip more in the direction of great journalism, we view that as a real positive step…. [Ellipses Waldman’s.] In effect, we’re creating hybrid nonprofit/for-profit models that provide even better local journalismBy the way, we have always had newspapers like that in the program, as part of the mix. That’s not new.

Now Sennott:

One of the stronger papers in our original Report for America class of 2018 was the Lexington Herald-Leader, a McClatchy paper in Kentucky. They pitched us on reopening the Pikeville Bureau in the heart of coal country in Eastern Kentucky, a bureau they had been forced to close 10 years earlier. They felt they were not serving well the community there. We placed RFA corps member Will Wright there and he became one of our true stars, breaking a story on a water crisis in which tens of thousands of residents did not have access to clean drinking water. His reporting turned a spotlight on this issue and helped the community force the county officials to repair the work and restore the access to clean drinking water. I went to Pikeville to work alongside Will Wright on this story and saw his incredible impact in that community with my own eyes. That is what we care about, serving the communities in these under-covered corners of America. And that’s why we have always been proud of our work with the Lexington Herald and why we did not rule out McClatchy as a place for us to look for RFA host newsroom partnerships, even if it is a chain that is going through hard economic times.

We did an enterprise project with Will Wright and two other reporters in rural Appalachia. Here is a link to the project, which was also featured on GroundTruth, as home of RFA:

https://thegroundtruthproject.org/projects/stirring-the-waters/

Also, we got news today of a full-page ad was taken out by Republicans and Democrats thanking McClatchy for its service to Kentucky.

And adding a poetic new chapter to the story, Will Wright has been accepted by The New York Times for its very competitive fellowship. And no, we are not leaving them high and dry. In this new class, we will have three journalists (two reporters and one photographer) at the Lexington Herald.

Sending an RFA journalist to a Gannett paper isn’t going to lead directly to a layoff. More public-accountability coverage is in everyone’s interests. And the chains, unfortunately, have a monopoly in many parts of the country, so it’s not like RFA could send someone to another news organization in that community.

Overall, I think RFA is doing the right thing — even if it makes me a bit queasy.

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