ServiceFriday: Newspaper Industry Evolution – Salt Lake Tribune Shifts to a Nonprofit
The newspaper industry is an often overlooked part of the service world and has been struggling in recent years due to problems such as the decline in ad revenues via print ads. So when the Salt Lake Tribune made the unprecedented move to apply for nonprofit exemption in May, it was a big deal. The IRS gave them an unusually fast approval in a letter dated Oct. 29. I had a brief email interview with Salt Lake Tribune editor Jennifer Napier-Pearce to offer more context to their shift to nonprofit status.
JL: Do you foresee more local newspapers making the jump to a nonprofit in the coming years?
“That is unclear, but it would make sense for some local newspapers under sole ownership. Certainly, the public-minded nature of local newspapers should qualify these entities as community assets.”
JL: Tribune owner Paul Huntsman is relinquishing sole ownership of the newspaper to a public board of directors. How will this change in ownership, including Huntsman’s transition to the chairman of the board, impact SLT’s future, if at all? Are there more internal changes to arise from this?
“The change of ownership will affect the governance structure, but it won’t change The Tribune’s central mission of serving our readers and giving them the news they need. Internally, we’ll have to build out a nonprofit structure (membership and fundraising staff) and we hope additional funds will allow us to expand the newsroom, but that remains to be seen.”
JL: The 2019 Gallup poll saw a drop again as only 41% of Americans reportedly trust the mass media nowadays. With a future as a nonprofit on the horizon, SLT may be offered donations from “people who want to direct or influence news coverage” as your story adequately put it. Huntsman intends to deny these donations but do you believe the damage has been done in a sense that Americans are offering less and less trust to media outlets today? Another way to phrase this question is: Do you think your readers will start to question legitimacy, validity, truth and whether or not a bias exists in the SLT now that those influencing donations may come?
“No, The Tribune has been around since 1871 and as an institution we’ve built a well of good will and trust within our community. We’ve put in place strict firewalls that would prevent board members from exerting influence in the newsroom in much the same way as we’ve done with advertisers in the past. Our transparency with donors and ethical codes should prevent a loss of trust, and we anticipate our journalism will demonstrate credibility every day.”
JL: In 2011, SLT had a staff of 148 and, like most local newspapers, had to endure layoffs in the coming years. Last year, SLT’s staff stood around 60. As a nonprofit, do you believe that SLT will bolster its staff to greater numbers or see a continuing pattern of layoffs?
“We’re confident that The Tribune’s sustainability plan will allow us to grow and boosting the number of reporters and editors remains a top goal. Utah needs the independent news and information that only The Tribune provides, so we hope to secure the funds that will allow us to grow in the coming years.”
If you would like to continue learning about the Salt Lake Tribune’s shift to a nonprofit, here are the stories used to comprise this article:
https://www.sltrib.com/news/2019/11/04/historic-shift-salt-lake/
https://www.sltrib.com/opinion/editorial/2019/05/08/letter-tribune-owner/
https://www.nytimes.com/2019/08/05/business/media/gannett-acquired-gatehouse-media.html
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