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January 28, 2025 14 mins
On January 22, newly elected Indiana Governor Mike Braun was sworn in, and in one of his first acts signed a series of executive orders in the name of “a healthier Indiana.” But, that’s raised concerns among radio and TV broadcasters across the Hoosier State as a stop to all Medicaid advertising was effectively put into play.

Has this impacted locally owned broadcasters? To learn more, J Chapman, President and owner of Woof Boom Radio in Muncie, Ind., joins Radio + Television Business Report Editor-in-Chief Adam R Jacobson on this all-new InFOCUS Podcast, presented by dot.FM.
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Episode Transcript

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Speaker 1 (00:03):
This is the RBR TVBR in Focus podcast. Here's your host,
Radio and Television Business Report Editor in chief Adam R. Jacobson.

Speaker 2 (00:13):
Hello again and welcome to the podcast. It is presented
by dot fm streaming social podcaster Broadcast. Get a dot
fm domain name by hitting over to get to dot
fm today.

Speaker 1 (00:24):
Well.

Speaker 2 (00:24):
On January twenty second of twenty twenty five, newly elected
Indiana Governor Mike Braun.

Speaker 1 (00:30):
Was sworn in.

Speaker 2 (00:31):
In one of his first acts, he signed a series
of executive orders in the name of a healthier Indiana.
But that's raised concerns among radio and TV broadcasters and
the State Broadcasters Association. As a stop to all medicaid
advertising was effectively put into play in Indiana. How has
this impacted locally owned broadcasters will to learn more. We're

(00:54):
pleased to have Jay Chapman, president and owner of woof
Boom Radio in See Indiana, as our guest. Jay. It
is great to be speaking with you and welcome to
the podcast.

Speaker 1 (01:05):
Thank you, Adam, it's good to talk.

Speaker 2 (01:07):
To you Jay. Last week, RBR and tv B are
first shared with our national audience a story that's really
unfolding in Indiana. A predicament that's impacting radio and TV
stations both large and small, and as we understand it,
FSSA Secretary Mitch rub told all organizations offering medicaid plans

(01:29):
or managed care entities to cease advertising on radio and
television across Indiana. Wondering what this means for your group
of stations in particular, and for all radio and television
stations across the state.

Speaker 1 (01:42):
As you see it, Adam, this caught everybody by surprise,
and it's you know, I guess none of us should
be surprised that these types of things happen. But Indiana
has been a very pro business state, and we've never
seen either the administration or state officials enter into the

(02:07):
relationship between a couple of private businesses, you know, in
this case, healthcare providers and then marketing firms. And they
were very specific that they just didn't single out marketing firms,
but they zeroed in on radio and television and they
didn't go after digital firms or anything like that. And so,

(02:31):
you know, I think the biggest challenge is Governor Braun,
whether it's when he was a senator or running his
own business in Jasper, he was very mindful of what
a small business has to endure to get things going,

(02:52):
and so you know, it's it's not a business climate
that we're used to in Indiana, and we were surprised
by the whole thing seeing a government entity, in this case,
the State of Indiana under the FF say come in
and dictate what private parties can have between themselves. As

(03:14):
far as an advertising contract is something we're not accustomed to.

Speaker 2 (03:19):
Jay, You've been an owner of locally owned and operated
stations in east central Indiana for nearly twelve years. Your
company now includes radio stations in Lafayette and West Lafayette, Indiana,
home to Purdue University. They're also in two small Ohio markets.
What is the overall atmosphere like for advertising crush or
station portfolio with what's going on with this Medicaid plan

(03:43):
situation potentially harmful in terms of revenue for some companies.
We're wondering what you can share in terms of just
the overall atmosphere and whether or not it is a
big punch in the gut or just another irritant, if
you will.

Speaker 1 (04:00):
So, we have large healthcare providers that actively use radio,
specifically our stations from time to time uh to market
various products. Some of that falls under the umbrella of

(04:22):
Medicare Medicaid advertising. And so what's uh concerning about this is, uh,
you know number one, Uh now, we Adam Wolf Boom
radio stations in Indiana have not lost a contract yet
because of this. We didn't have any in place as

(04:42):
we started out the year, but we typically do. I
believe it'll have a killing effect on the largest healthcare
providers that use radio in Indiana not to come back
because uh, you know, it's easy to point at what
is torsus interference between two parties if the contract is

(05:05):
there and it gets canceled under a threat. But we
can't point at something because we're at the start of
the year and typically radio buys come down on a
quarterly or a semi annual basis, and we haven't received
any for Medicare Medicaid advertising yet. I doubt will have
any because nobody wants to take on the new governor.

(05:26):
And you know, right now, the amount of money that
is in play for one of the two large healthcare
organizations in this state, they're not going to jeopardize it
by placing an ad with a radio or a TV
group that is going to fall on the wrong side
of the administration.

Speaker 2 (05:47):
My knowledge of Indiana is very, very very small. I
know that the Muncie and Marion market is unique and
that there are two communities that are not exactly close
to one another. You have Anderson nearby, and Anderson is
close to Indianapolis, but not Indianapolis, So you're a market

(06:08):
of its own bud is it overshadowed by the bigger
Indianapolis DMA when it comes to AD budgets for non
local clients. And then you have West Lafayette. Lafayette, everybody
knows it as the home of Purdue. It's an Eastland
measured market. So you know, these are great markets for local,
local But beyond that, is it a challenge and to

(06:32):
combat that challenge or digital solutions being built up to
attract some more AD dollars. What's the overall prospects for
your radio stations in the Hoosier state in twenty twenty five?

Speaker 1 (06:46):
So yeah, shift away from medicaid, but there's also a
time back here for a second. But shifting away from medicaid,
we are at our best when we're going out and
working radio Adam. It's not different than it was thirty
some years ago. When we're sitting down with a business
owner and it might be a really large group of

(07:09):
automotive dealerships, but we get to the person who really
needs to make something happen and we're figuring out what
do they need to make happen. And it's more than
just getting people on a lot, and we're figuring out
through a discovery interview or CNA what they're trying to
get done, and then we take back a long term solution.

(07:29):
We don't I mean, we certainly have things like Ball
State Athletics when we might sell a commercial in a
ball State football game or a high school basketball game,
but that's not what our value back to the communities
where we operate is we're a business partner that helps
them grow their business. And so it's a very solution
based approach. You know. We also have roughly fifteen to

(07:54):
twenty percent of our business comes from either to say,
you know, and we have a national rep raps US
in Chicago or New York. And then we've also got
groups that take care of us with the Indianapolis agencies.
So when these types of things come up where for example,
they're just singling out radio and TV with this Medicaid

(08:21):
issued of moratorium. What it does it pushes people to
other forms of advertising. I don't know why they chose
just to grab radio and TV. I have a theory,
but I don't know, and it pushes them to the
digital front. Digital is a large part of our growth.

(08:43):
We have a good digital operation in Indiana, but our
bread and butter is radio because that's where we can
really make a difference on somebody's brand. So I think
the biggest challenge I see in you know, not just
twenty twenty five, but beyond, is us taking a proactive

(09:05):
marketing approach in the communities where we operate to make
sure that we're developing people's business. We chose to purchase
in areas that were former Ross Belt cities, but it's
because we make a difference with local businesses. Our business
is prospered, and I know of a lot of We're

(09:26):
not unique. I know of a lot of radio operators
that are in our space, meaning our communities, that have
had a similar experience over the last dozen years.

Speaker 2 (09:36):
Well, Jay, for more than sixteen years you worked for
Jeff Schmollien at MS Communications, rising to director of sales
for the company's flagship Indianapolis stations in two thousand and one,
you'll hold that role for four years. You went through
nine to eleven. Looking back, is there one key difference?
You say that there's a lot of similarities, but looking

(09:58):
back in your career, looking at how you're selling radio
today in order to maintain a successful operation of radio
stations with local talents and perhaps a syndicated program that
can at least be meshed into a environment where it
connects to the community in a way where it doesn't
sound canned. What's the one thing that really stands out

(10:21):
in twenty twenty five compared to let's say two thousand
and two.

Speaker 1 (10:26):
This is boring. This is not going to be exciting stuff, Adam,
But if it makes.

Speaker 2 (10:32):
The industry money, I don't care about boring.

Speaker 1 (10:36):
So if you look, you know, on the side of
the rolling rock bottle, it's the same as it always was, basically,
and I'm paraphrasing what they have there. But the concept
of how you run a business, it's a really good business.
The foundational thing that is so important, whether it's now
or whether it was mus or other groups that I

(10:56):
was part of over the years, the foundation is how
do you really build an organization, and the organization that's
got strong values, that is a values based organization and
never deviates from those, is an provided those values are

(11:17):
about others and how people treat each other. A lot
of the other stuff takes care of itself. I have
come up with a lot of really bad ideas over
the years that never made money. But one thing I
never deviated from was making sure that we were value
based and that works out first with our five values

(11:40):
on how we are inside of the business, and that's
how we carry ourselves on the outside. The other things
that are probably common, you know, being purpose driven as
an organization is central. With all the chaos coming at
radio and TV app operators today. We are clear about
what our purpose is that our radio station, and we

(12:01):
understand very much what our mission is. And so those
things are common. That's not exciting. It's universal across all businesses,
and I consider myself incredibly fortunate and blessed that I
was able to work in organizations that had those foundations.

Speaker 2 (12:20):
It is such a pleasure to be speaking with you,
mister j. Chapman, and I am so happy to have
you as our first guest of twenty twenty five on
the ud Focused podcast. It really was a pleasure, Adam.

Speaker 1 (12:31):
I enjoyed talking to you. I really look for the
publications from your firm every day because they give a
good idea of what not only what's happening, but gives people,
whether it's at the management level or the operational level,
of things that they need to be paying attention to.

(12:52):
So I value the work of what you do every day.

Speaker 2 (12:56):
That is so kind and thank you so much again, Chapman,
President and owner of Wolf Boom Radio in Munsey, Indiana.
And with that, we want to thank you for listening
to this radio and television business report in Focus podcast.
It was sponsored by dot fm streaming social podcast or broadcast.
Get a dot fm domain name by heading over to

(13:17):
get dot fm today and stand by, ladies and gentlemen,
because in our fifth year of presenting the in Focus podcast,
we are pleased to announce that we are launching a
video podcast that is coming in the spring of twenty
twenty five. Cross your fingers. It's going to be exciting
and yes you're going to see me on camera, mister

(13:39):
radio guy, front and center. It's exciting. We're very very
happy to announce this and we'll have more details soon.
With that from the global headquarters of Streamline Publishing, home
of Radio Inc. Magazine and the Radio and Television Business
Report at RBR dot com. I am Adam R. Jacobson
and bog Motel in Florida. Have a great day and

(14:00):
I'll see you next time.
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