(i) provide for the financial needs and requirements of stations in relation to the
communities and audiences such stations undertake to serve;
(ii) maintain existing, and stimulate new, sources of non-Federal financial support
for stations by providing incentives for increases in such support; and
(iii) assure that each eligible licensee and permittee of a public radio station receives
a basic grant.
(7) The funds distributed pursuant to paragraph (3)(A)(ii)(I) and (iii)(I) may be used at
the discretion of the recipient for purposes related primarily to the production or
acquisition of programming.
(8)(A) Funds may not be distributed pursuant to this subpart to any public broadcast
station (other than any station which is owned and operated by a State, a political or
special purpose subdivision of a State, or a public agency) unless such station establishes
10
a community advisory board. Any such station shall undertake good faith efforts to assure
that (i) its advisory board meets at regular intervals; (ii) the members of its advisory
board regularly attend the meetings of the advisory board; and (iii) the composition of its
advisory board are reasonably representative of the diverse needs and interests of the
communities served by such station.