With dust settled, 3 takeaways from legal fight between KVIE and CapRadio | Opinion
An ugly fight between Sacramento’s two public media outlets concluded recently. KVIE, the public television station, agreed in court to end its effort to control 36 acres in Elverta beneath a 500-foot radio tower, which now belongs to Capital Public Radio.
KVIE was gifted the land beneath the tower in 2024, a transaction that sparked a court fight that may have seemed cryptic to some of KVIE’s viewers and CapRadio’s listeners. In some respects, it will likely remain so.
Both sides agreed in a mutual settlement reached in March that they would have no further comment on their dispute.
What led two venerable Sacramento institutions to fight each other in the first place? Here are three takeaways on why the fight started, whose idea it was, and what a settlement means:
A crisis at CapRadio led to its fight with KVIE
In 2023, CapRadio’s financial troubles came into focus. Former general manager Jun Reina was accused of embezzlement, audits found the station’s reserves were overstated, and the station was behind on rent, had purchased expensive downtown property and kept shoddy records — all stemming from lax oversight. (Reina was arrested in January and is scheduled to return to court in September as his case moves forward.)
CapRadio’s license holder, Sacramento State, began publicly addressing the issue nearly three years ago. After a painful reckoning, prominent community members left the CapRadio board and eventually there came efforts to have KVIE play a role in the recovery of the public radio station. Before long, those talks became a fight.
Whose idea was it for KVIE to control CapRadio?
A little-known nonprofit operating for the benefit of CapRadio, but outside the direct control of Sacramento State, wanted very much for KVIE to control CapRadio.
The Capital Public Radio Endowment had inherited the Elverta land under the radio station tower years earlier. The university paid for it and thought it was in safe hands with a nonprofit dedicated to serving the radio station. The assumption proved wrong.
Endowment leaders privately proposed in early 2024 for CapRadio to be swallowed by KVIE and for Sacramento State to fade from the picture. CapRadio and Sacramento State rejected this proposal in the winter of 2024.
The endowment began meeting privately with KVIE. By March 2024, KVIE was gifted ownership of CapRadio’s Elverta land, much to the radio station’s and Sac State’s surprise.
Soon, the endowment funded the work of communications operative Doug Elmets, and the campaign promoted a “partnership” between the two media outlets.
CapRadio, meanwhile, claimed that it still owned the tower structure. KVIE filed suit in the fall of 2024, accusing CapRadio of “mismanagement” and Sacramento State of “failed stewardship” in its legal documents.
After more than 18 months of this, during which a Sacramento Superior Court judge denied KVIE’s motion to place the tower in the hands of a third-party receiver, the case settled.
As a result, Sacramento State and CapRadio have the tower and the land while the Capital Public Radio Endowment is now out of the picture. The organization filed the formal notice of termination in May with the California Secretary of State. Of its assets, $1.1 million has gone to CapRadio and $900,000 to KVIE.
California State auditors in 2023 wanted the endowment to play a smaller role at CapRadio. They got their wish, and then some.
KVIE and CapRadio play by different rules
What’s most telling about this courtroom drama is that KVIE and CapRadio may be public media entities, but they play by different rules.
As an official auxiliary of Sacramento State, CapRadio lives in the same fishbowl as any government agency in California. Its records are public, and its new leadership consistently behaves that way.
KVIE, a stand-alone nonprofit, has far greater legal latitude to keep documents secret. In its fight with CapRadio, KVIE entered into three confidentiality agreements, two with the endowment and another as part of its settlement with CapRadio. This has frustrated public requests to shed light on KVIE’s dealings with CapRadio and Sacramento State.
Meanwhile, by fiscal year 2025-26, CapRadio was generating more membership support than KVIE. The television station’s legal theory, that it took this CapRadio tower land because the failing radio station was no longer a trustworthy steward, has been proven wrong by CapRadio’s revival.
KVIE wasn’t wrong in criticizing the lax oversight of CapRadio by Sacramento State prior to 2023. But KVIE was wrong when, for a time, promoters of a takeover of CapRadio wouldn’t take “no” for an answer, The end result is a complete victory for the radio station and for truly public media in the region.