Broadcasting (Oct - Dec 1950)

RADIO BILLS PEND As Congress Recesses BULK of major radio proposals pending in the 81st Congress was put aside for another day when war-weary legislators closed shop Sept. 23 for a two-month vacation ending Nov. 27. Blessed as a peace-time lawmaking body at its birth, the 81st Congress soon fitted its legislating role to needs of a U. S. economy gearing for war and defense. With most of its time thus consumed, domestic issues, such as the Fair Deal program, were neglected and allowed to gather dust. Some deadline actions by the Congress before its recess touched upon radio and TV. It passed an interim tax bill containing a 10% federal excise levy on TV sets at the manufacturing level and promising an excess profits tax in the near future; hammered through a Communist-control law restricting Communist "hidden" radio-TV sponsorship, and okayed funds to operate Voice of America at a record budget level (see separate stories this issue). A dramatic moment came in the dead heat of summer when the hotly disputed McFarland Bill (S 1973), which would realign FCC procedural-wise and impose deadlines on work schedules, was reclothed as an amendment to a House-passed bill. It was reported out of the Senate Commerce Committee and passed by the Senate which asked for a conference with the House. McFarland Bill But history was good at repeating itself in the McFarland Bill escapade. Possible quick passage again was blocked by House inaction on the measure. Refusing conference on the newly-approved measure, the House instead announced the opening of hearings by the Commerce Committee on S 1973. These have been held, but the Commerce radio subcommittee has been notoriously slow in getting around to clearing the bill. On Capitol Hill, Sen. Ed C. Johnson (D-Col.), self-appointed Congressional guardian over the fate of the radio and television industry, again was pace setter in the com, munications field. j It was his committee which in1 troduced a horse racing bill; under his leadership the President's reorganization plan for FCC, based on the Hoover recommendation, was ■ killed in the Senate; under his prodding the color TV question was boosted a few rungs on the FCC's calendar. The horse race bill (S 3358) was introduced in the Senate at the request of the Justice Dept. It would have banned interstate transmission of gambling information and was directed against the flow of horse racing results over radio and television. An FCC substitute bill was drawn up and submitted which was not as all-encompassing as the Justice Dept. proposal and which concentrated on the transmission of information on bets, odds, or prices paid in betting on sports events. Sen. Johnson's interest continued around such thorny issues as the clear channel case, color TV, realignment of FCC's procedural methods and liquor advertising on radio and television. Since 1949, Sen. Johnson has taken the position of urging FCC to lift the TV freeze, open up UHF channels to prevent monopoly, and explore color television as an economic reality. The Coloradan also has fought for the break down of clear channels and maintenance of the power ceiling at 50 kw for stations in the AM band from 540 kc to 1600 kc. Sen. Johnson still has pending a bill (S 491) to break down clears. A companion measure (HR 4004) still is in the House. All of these bills— the FCC procedural bill, the clear channel measure, licensing of networks (Sheppard Bill and Sadowski proposal), etc. — will die automatically at the end of the year. As it is doubtful whether anything will be done in the radio field on Capitol Hill this November-December when the second session will sit as a "lame duck" Congress, these proposals and other recommendations will have to be reintroduced formally when the 82d Congress convenes. Langer Bill Killed The first attempt in the Senate Commerce Committee to clear the Langer liquor bill (S 1847) which would have prohibited the advertising in interstate commerce of alcoholic beverages fell short of its mark [Broadcasting, March 17] ; a second attempt was killed for the remainder of the 81st Congress' life. An overwhelming objection voiced by radio industry spokesmen and by some Senators, including Sen. Johnson, called the death knell for President Truman's proposal to reorganize the FCC. Among the highpoints of this plan was to have been the centralization of the administrative power in the hands of the Chairman. Following an unfavorable report by the Senate Commerce Committee, the Senate turned thumbs down on the recommendation [Broadcasting, May 22]. Significant communications actions by the 81st Congress included the following: % Tacking on a radio-TV label for Communist sponsored programs to the Communist control law. # Introduction of bills (S 4162, HR 9689) to implement President Truman's U. S. Civil Defense plan which designates communications, particularly radio and TV, as the "nerve system of civil defense" [Broadcasting, Sept. 25]. # Passage of a satisfactory operating budget for FCC. # Record increase of funds, nearly $60 million, for Voice of America alone. The question of applying a 10% federal excise tax to TV sets at the manufacturing level was opened by the Administration early in the year but failed to weather a storm of protest stirred in House committee rooms. Industry spokesmen, such as the RTMA, virulently opposed the proposed tax. Later, as the need for new revenue became (Continued on page 92) NARBA JOCKEYING^ ^ " RIGHTS on U. S. 1-A clear channels— two in particular — appeared to be the focal points of attention last week as NARBA nations jockeyed for position before the beginning of detailed negotiations for a new North American AM agreement. The two U. S. clears which commanded most speculation were 660 kc (on which WNBC New York is dominant) and 880 kc (WCBS New York). If a new NARBA is to be evolved which will meet the expressed and implied demands of at least three of the seven NARBA signatories — other than the U. S. — some observers felt it would involve concessions on one or both of these U. S. 1-A's. The week's developments deepened the pessimism of U. S. authorities already pessimistic for the outcome of the conference, which has been in progress in Washington since Sept. 6 but thus far has hardly passed the perimeter stages of negotiations. It was insisted, however, that if U. S. concessions are necessary to reach an agreement, then there must be reciprocal concessions in which the other nations will accept strict engineering standards and assure firm protection to other basic U. S. interests. Cuba's formal list of proposed Cuban allocations included rights to use 660 kc at Havana with 5 kw directionalized [Broadcasting, Sept. 25]. The Bahamas-Jamaica increased their joint request from two channels to three, continuing to list both 660 and 880 kc among the frequencies they wanted to be considered. Both frequencies were presumed to be among those the Mexican delegation had in mind in asking for two additional channels below 1000 kc aside from 540 kc, the new broadcast frequency, which Mexico already is using. Mexico's statement of general requirements, transmitted by Chairman Miguel Espejel of the Mexican delegation, mentioned specific frequencies only in a few instances. The statement, however, reduced Mexico's original request from four additional channels below 1000 kc to three channels, including 540 kc. Mexico offered to give up rights on 1220 kc upon acceptance of her proposal. Mexican Statement The Mexican statement asked that an agreement be reached which will permit her to operate a 1-B station on 1550 kc at Nuevo Laredo — where she operated XENT on that frequency for some time before taking it off the air a few weeks ago following repeated Congressional and State Dept. protests. The Nuevo Laredo assignment is for 1140 kc, which Mexico proposes to operate south of the 22d parallel. Mexico also indicated an unwillingness to participate in the North American Regional BroadcastingEngineering Committee, NARBA's technical information agency, under the formula provided for it in the NARBA which expired March 29, 1949. A juridical subcommittee was assigned to study the question in search for an acceptable solution. Mexican "requirements" also included "greater facilities for night service for several stations in Class 1-B and 2 which operate in channels intended for those classes of stations and in which Mexico has a recognized priority"; and revision of radiation standards for "certain stations" in other countries which "excessively restrict" Mexican stations or limit the assignment of new stations. In addition to 1540 kc, used by ZNS Nassau with 5 kw, the Bahamas-Jamaica asked for three frequencies to accommodate 5 kw stations at Kingston, Mantego Bay, and North Coast in Jamaica, which now has no stations. Frequencies mentioned "as a basis for discussion" were the following U. S. 1-A's: 660 kc (WNBC); 700 kc (WLW Cincinnati); 720 kc (WGN Chicago); 880 kc (WCBS); 890 kc (WENR-WLS Chicago); 1020 kc (KDKA Pittsburgh), and 1040 kc (WHO Des Moines), plus the 940 kc Mexican-Canadian 1-A channel. The Cuban list, submitted Sept. 22, hewed close to the line of her final offer at the unsuccessful U. S.Cuban sessions in Havana early this year, but added requests for rights on three U. S. 1-A's not mentioned at Havana though currently in use bv Cuba: 660 kc; 770 kc (WJZ New York), and 780 kc (WBBM Chicago), in addition to 640 kc (KFI Los Angeles), 670 kc (WMAQ Chicago), and 830 kc (WCCO Minneapolis), which were included in the Havana list. BROADCASTING • Telecasting October 2, 1950, • Page 31