LIU's sale of East End radio license is closer

The uneasy yearlong relationship between Long Island University, which owns an East End FM radio license, and Peconic Public Broadcasting, which wants to buy it, got a lot better Tuesday.

They opened a joint bank account - and announced a plan to complete the purchase.

For LIU, the license to operate the 25,000-watt station, 88.3 FM, the former radio voice of its former Southampton College campus, is a valuable asset that is no longer useful to university operations.

For Peconic Public Broadcasting, which now runs the station and wants to continue doing it, the license is near-priceless.

The organization's winning cash bid to the university for the license was $850,000, and included an offer to help run the C.W. Post Campus radio station, which simulcasts at 88.1 FM.

Peconic made the highest cash offer, but after the university accepted it, fundraising problems developed and Peconic had to renegotiate to extend its payment deadline, then get an extension after that time limit expired.

Yesterday was the final deadline, and, after the close of business, the university and Peconic jointly announced that they now have a joint agreement to complete the purchase.

They also have $637,000 in a joint escrow account, a loan from the Bridgehampton National Bank, and a loan from a private local supporter. Until yesterday, Peconic had given the university nonrefundable payments totaling $213,000.

There was no dramatic celebration at the station, which now broadcasts out of a small office in Southampton village. No one popped Champagne, and no one hung out new banners with the station's new name.

"There are still some things to be done," said Michael Powell, a station spokesman. "We have to make some phone calls."

The agreement has one more step to clear before it becomes final: approval by the Federal Communications Commission. That is expected to be routine and should take place in November, according to those involved in the negotiations.

Wally Smith, the station's general manager and president of PPB, called the agreement "an important milestone in the community's effort to save local public radio" in the joint statement.

David J. Steinberg, President of Long Island University, said he was "...heartened to know that the rich tradition of community-based public radio on Long Island's East End...will continue to flourish."

WLIU, which will become PPB, is a member of National Public Radio and Public Radio International.