Public Broadcasting is funded through a nonprofit corporation called the Corporation for Public Broadcasting (CPB). The CPB was formed by virtue of the Public Broadcasting Act of 1967, where it was understood that a portion of the funding would come from the federal government, but in order to maintain public broadcasting's independent and public service status, the majority of the funding would come from subscribers, private, state and local funding.

Membership is the largest single source of funding for public broadcasting stations, so when you hear membership drives blanket the airwaves you can understand just how critical your contributions are to our success. The rest of the funding for public broadcasting comes from private donors (businesses, foundations, colleges and universities) and state and local governments.

Federal law dictates that 89 percent of the federal funding appropriations go directly to local radio and television stations by way of Community Service Grants (CSGs). CPB receives 5% for its operational costs. The system support account receives another small portion (6%), which pays for music licensing fees, discretionary spending, and research and technology investments on behalf of the public broadcasting system. For further explanation of how federal funding is dispersed, please refer to the chart below.