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July 2, 1932
HERE '3 ANOTHER EDUCATIOH BILL
Senator Metcalf (R) Rhode Island this week introduced the following hill (3. ‘*933) in the Senate:
"That there is hereby authorized to be appropriated annually for a period of four years, out of any money in the Treasury not otherwise appropriated, the sum of $10,000, to be expended by the Federal Radio Commission for the purpose of cooperating with the States in the development and promotion of education by radio broadcasting aud/or wired radio
"SEC. 2. That in order to secure the benefits provided for in this Act any State shall, through the governor or other appropriate authority thereof, accept the provisions of this Act and designate the State director of edu¬ cation or State superintendent of public instruction, or the person in a capacity corresponding to this position, as the State instrumentality to act in cooperation with the Federal Radio Commission, and the Federal Radio Commission, and the Federal Radio Commission shall recognize such local authority for the purpose of carrying out the provisions of this Act.
"SEC. 3* Every applicant for a license for a radio-broadcasting frequency shall be required to file with such application an agreement to set aside not less than 5 per centum of its authorized hours of operation for the purpose of broadcasting educational programs under regulations prescribed by the designated instrumentality of the State in which such station is located, and approved by the Federal Radio Commission. Failure on the part of any station to meet the requirements of such regulations shall be punishable by revocation of license.
"SEC. 4. This Act is to be administered by the Federal Radio Commission."
The bill has been referred to the Committee on Education and Labor.
In this connection it is interesting to note that the Commission's report to the Senate shows that substantially more than five per cent of time on commercial stations is given to educational programs.
ELECTRIC POWER TAX
E. M. Elkin, chairman of the NAB Committee on Tax matters, this week con¬ ferred with officials of the Internal Revenue Bureau with reference to regula¬ tions on the subject of the tax on electrical energy under the Revenue Act of 1932*
Section 616 of the Act imposes a tax of three per cent upon all electrical energy for domestic or commercial consumption. The regulations of the Bureau exempt from the provisions of the act "radio companies" but Bureau officials argue that "broadcast stations" do not fall in the same category point-to-point sta¬ tions and therefore are subject to the tax.
The Bureau however will witKaold any regulation holding broadcasting companies liable for the tax until the NAB has had an opportunity to file a brief answering the questions raised by the Bureau.