KUOW2 service will continue to be broadcast on KUOW HD–2 and streamed on KUOW2.org.
KUOW Puget Sound Public Radio (PSPR) has operated KXOT since July 2006 on behalf of the station's licensee, Public Radio Capital Tacoma – I LLC (PRC). PRC purchased the station (KBTC–FM) from Bates Technical College in 2005. The call sign was changed to KXOT.
The PRC–PSPR operating agreement was driven by the shared belief that a new program service in the South Puget Sound area could attract a significant new audience while preserving the frequency for public radio.
However, after six years of broadcasting KUOW2 programming, the KXOT audience is small. At 0.2 percent share, it is only slightly larger than when Bates Technical College students were programming the station 10 years ago. Research shows that most KXOT listeners are also KUOW listeners, meaning the station has attracted very few new listeners. New listeners are required to sustain the operation of KXOT.
PSPR explored options for financing the acquisition of the KXOT license. A capital campaign feasibility study was conducted to determine whether major gifts and grants could be raised for the purchase. The study report advised against such a campaign.
PSPR offered to re–negotiate the operating agreement to achieve terms more favorable to PSPR, including extending the agreement to 2013. Unfortunately, PRC was unable to restructure its KXOT debt service without an unacceptable increase in PSPR's capital investment.
- 2005: PRC obtained a bank loan to finance its purchase of KXOT.
- 2006: PSPR entered into a five–year agreement with PRC to operate KXOT, with an option to purchase the station. PSPR began airing KUOW2 programming in July 2006.
- 2009: PSPR notified PRC that it would not exercise its option to purchase KXOT.
- 2011: The PSPR–PRC operating agreement ended in July 2011. PSPR agreed to operate KXOT on a month–by–month basis while PRC sought a new operator.
- 2012: The PRC loan went into default. In April, PRC's bank informed PSPR that it intended to take over the operation of the station. PSPR will cease to operate KXOT after June 29.