Broadcasting (July - Dec 1941)

i cected to the committee report d to certain draft regulations ised for the purpose of giving Dpe and direction to the oral iguments. On January 2, 1941, jpplementary briefs were filed on half of National Broadcasting mpany, Inc., Columbia Broadsting System and Mutual Broadsting System in which were disssed the jurisdiction of the Comssion with respect to matters /ered by the committee report d the draft regulations, and in dch attention was given to the bual and feasible limits of comtition in the broadcasting field, th particular reference to netirk broadcasting. FCC May 2 Report ='(h) On May 2, 1941, the Comssion issued its report setting rth its findings and conclusions the proceeding, together with an ler adopting eight regulations .egulations 3.101 to 3.108 inclue) setting forth policies which ]; Commission would thereafter jply in exercising its licensing pctions. Two of the seven ComBsioners filed additional views senting from the action taken the Commission. The effective ;e of the regulations was dered for 90 days from the date the order with respect to existcontracts, arrangements, or ierstandings, or network organiion station licenses, and further )vision was made for extension the effective date of Regulation 06 in order to permit the orderly position of properties. On June 1941, the Commission provided the postponement for 90 days m May 2, 1941 of Regulation 07, and for further postponent of the effective date of that ulation in order to permit the lerly disposition of properties. July 22, 1941, the effective date the regulations with respect to Isting contracts, arrangements, 'understandings, or network orJiization station licenses, or the jintenance of more than one netTk by a single network organizah was again deferred until Sepjliber 16, 1941, and on August 28, \l, said effective date was postjied until after the disposition of petition of the Mutual Broadting System to amend Regulaiis 3.103 and 3.104. MBS Plea to Amend (i) On August 14, 1941, the Bi Sjtual Broadcasting System peti;ied the Commission to amend of the regulations, 3.103 and i 'i)4. Upon this petition the Comision called for briefs and oral iument by interested parties, efs were filed by National |iadeasting Company Inc., CoSibia Broadcasting System and tual Broadcasting and by one ional network organization and [1 argument was held before the nmission on September 12, 1941. sreafter, on October 11, 1941, Commission issued a Suppleital Report on Chain Broad ■ii iliit M •M M dec Sv; cri[ casting (two of the six Commissioners dissenting) together with amendments to three of the regulations (3.102, 3.103, and 3.104). The Commission simultaneously postponed the effective date of the regulations with respect to existing contracts, arrangements, or understandings, or network organization station licenses until November 15, 1941, and suspended the effective date of Regulation 3.107 indefinitely, with the provision that any subsequent order of the Commission placing Regulation 3.107 in effect should provide for not less than six months' notice and for further extension of its effective date from time to time in order to permit the orderly disposition of properties. "(j) On October 31, 1941, the Commission issued its minute setting forth the procedure to be followed in applying the Chain Broadcasting Regulations. Said minute reads as follows: Text of Oct. 31 Minutes If a station wishes to contest the validity of the Chain Broadcasting Regulations adopted in Docket No. 50G0, or the reasonableness of their application to the particular station, its license will be set for hearing. In order to insure that the station may remain on the air and be in no way injured by any such Commission proceeding and appeal to court from a decision in .such proceeding, the Commission will grant such licenses a temporary extension of its license, with renewals from time to time until there has been a final determination of the issues raised at such hearing. In the event of such litigation, and if the validity of the application of the Chain Broadcasting Regulations to such licensee is sustained by the courts, the Commission will nevertheless grant a regular license to the licensee, otherwise entitled thereto, who has imsuccessfully litigated that issue, if the licensee thereupon conforms to the decision. The supplementary decision and order in Docket No. 5060 indefinitely suspended Regulation 3.107, relating to the operation of more than one network by a single network organization. No similar suspension was made of that portion of Regulation 3.106 relating to network operation of more than one standard broadcast station with substantially overlapping service areas. The Commission will postpone indefinitely any action to prevent such dual station operation if it is shown that the operation of two stations in any city is indispensable to the continued operation of two networks by a single network organization. The adoption of the foregoing procedure is without prejudice to the rights of any person who may petition the Commission for modification or stay of the Chain Broadcasting Regulations. "2. A certified copy of said proceedings before the Commission in connection with Order No. 37, Docket No. 5060, is filed herewith and incorporated herein by reference as Exhibit A. "3. Among the grounds urged DyV ^^^^^ FARGO, N. D. • 5000 watts • NBC Ask your Agency to ask the Colonel! ^ FREE PETERS, Inc., National Representatives iOADCASTING • Broadcast Advertising by planitiff in support of its contension that the action of the Commission promulgating the Chain Broadcasting Regulations is invalid are that : 1. The Rules are unreasonable, arbitrar.v and destructive of plaintiff's business without legitimate reason. 2. The Rules are not required by and do not serve the public interest, convenience and necessity. .3. The Rules are not necessary to carry out the provisions or the liurposes of the Communications Act of 1934. 4. The Rules are in fact contrar.v to the public interest, convenience and necessity, and to the provisions and purposes of the Communications Act of 1934. "Affiant submits that Exhibit A is relevant on the above issues sought to be raised and that it shows that the regulations are not arbitrary and capricious but that they serve public interest, convenience or necessity and carry out the provisions or purposes of the Communications Act, and that there is no genuine issue as to any material fact." Radio Executives Meet EDGAR FELIX, president of Radio Coverage Reports, and Henry Morgan, WOR comedian, spoke before the Radio Executive Club of New York Nov. 12. Out of town guests were Glen Bannerman, president of the Canadian Association of Broadcasters ; Charles Caley, WMBD, Peoria; Hal Bondurant, WHO, Des Moines ; Paul Hodges, WLW, Cincinnati ; Charles Denny, WERC, Erie; Jim Wade, Free & Peters, Atlanta office ; Hal Seville, WBAX, Wilkes Barre. 5,000 richly laden watts, night and day. serving the Magic Circle, the richest and most populous area in all the southeast! Columbia Broadcasting System affiliate ^ EDNEY j% RIDGE DIRECTOR WBIC CPEENy-BORO, N.C. CEO.P.HOLLINCBERY • CO., NAT.RER The BIG IN BUFFALO WGR more than ever, BUFFALO'S FIRST for regional coverage New $350,000 Transmitter Plant WGR 550 K.C. BUFFALO'S 5000 watt MUTUAL NETWORK STATION BUFFALO BROADCASTING CORPORATION National Representatives , FREE & PETERS, Inc. November 17, 1941 • Pas;e 41