Broadcasting Telecasting (Jan - Mar 1951)

BAB BOARD NAMED u^a^ mmi SELECTION of a top-level group of executives from all phases of broadcasting to serve on the first board of directors of Broadcast Advertising Bureau, the industry's projected million-dollar sales agency, was announced Thursday by BAB President William B. Ryan. Networks, stations of all size groups, transcription companies, and the consulting field were represented among the 21 directors named, and these are to be joined EXCISE HIKES House Group Sets Hearings HEARINGS on proposed excise tax hikes, including increases in radio and television set levies, have been set for March 7-15, the House Ways & Means Committee announced last week [Broadcasting • Telecasting, Feb. 19, 12]. Among those applying to the committee for permission to testify on the administration's proposal are: NAB; Radio-Television Mfrs. Assn.; Capitol Records, Hollywood; WIOD Miami, Fla.; Florida Assn. of Broadcasters; The League of New York Theatres. The administration's excise tax request would boost the federal assessment on the manufacturing level for radio-TV receivers from the present 10% to 25%. As yet, no definite date has been scheduled on the consideration of radio-TV excises but March 7 and 13-15 are open dates. Testimony on tobacco excises is being reserved for March 8 and 9; alcohol and beer for March 12. NAB probably will be represented by Ralph W. Hardy, director of government relations [Broadcasting • Telecasting, Feb. 19]. The association has reported a volume of correspondence from AM, FM and TV broadcasters labeling the contemplated legislation as "discriminatory," challenging it on the grounds that it would threaten the wide distribution of sets, deemed essential for information and educational purposes. RTMA probably will be represented by Robert C. Sprague, president of Sprague Electric Co. and retiring president but continuing board chairman of RTMA. Glen McDaniel, newly-elected RTMA president, also may testify. The theatre league in its application said James F. Riley, executive director, would testify on "admissions paid to radio broadcasts and television shows" but did not amplify. United Electrical Radio and Machine Workers of America also is expected to testify during the hearings in opposition to the proposed radio-TV excises. This Wednesday is being set aside by the committee for testimony on income tax problems and the excess profits law. shortly by two from the station representative field, one from the talent field, and probably two from the manufacturing industry. With President Ryan automatically a board member under BAB's bylaws, the group as now envisioned will consist of 27 members. Robert D. Swezey, WDSU New Orleans who was chairman of the incorporating board which with Mr. Ryan selected the permanent board, was named acting board chairman. The first meeting is scheduled Thursday, March 1, at the BAB headquarters, 270 Park Avenue, New York. Board members thus far chosen, with the two from the station representative field expected to be selected before the March 1 meeting, are as follows in addition to Messrs. Ryan and Swezey: Other Members NBC Board Chairman Niles Trammell; CBS President Frank Stanton; ABC President Robert E. Kintner; MBS President Frank White; Paul Kesten, consultant and former CBS executive vice president; Frederic W. Ziv of Frederic W. Ziv Co., transcription and program package firm; Theodore C. Streibert, WOR New York and chairman of the board of Mutual; George B. Storer, Fort Industry Co.; John Patt, Richards stations; Walter "Evans, Westinghouse Radio Stations, and Martin Campbell, WFAA Dallas. A COURSE for a fresh inquiry into the Voice of America — exploring possible operational separation from the State Dept. and touching on the "maximum utilization" of medium and short wave radio broadcast facilities — was charted on Capitol Hill last week by its most avid advocate. Sen. William Benton (D-Conn.) called on the Senate Foreign Relations Committee to conduct a "full and complete study and investigation" into a number of possibilities, among them: # Creation of an "independent agency" reporting directly to the President, or indirectly through the National Security Council, with perhaps full cabinet status. Q Formation of a "whollyowned" government corporation, with a board of directors comprising outstanding representatives of communications, publishing and other fields. % Retention of Voice operations within the State Dept. — but only with concomitant establishment of a Psychological Strategy Board of communications specialists reporting through the National Security Council. In a detailed statement accompanying his new resolution (S Res 76) designed as a followup to the William B. Quarton, WMT Cedar Rapids, la.; Charles C. Caley, WMBD Peoria; Hugh B. Terry, KLZ Denver; Kenyon Brown, KWFT Wichita Falls, Tex.; Allen M. Woodall, WDAK Columbus, Ga.; Edgar Kobak, WTWA Thomson, Ga.; Simon Goldman, WJTN Jamestown, N. Y.; Harry R. Spence, KXRO Aberdeen, Wash.; and William J. Beaton, KWKW Pasadena, Calif. Industry-wide response to the BAB project was praised by Mr. Ryan, who compared the overall support which has been accorded BAB with that achieved in the ASCAP battle of 10 years ago. He also noted that there were no refusals among any of those invited to serve on the BAB board. The invitations were extended by BAB's incorporating board, composed of Chairman Swezey and Messrs. Kobak, Quarton, Caley, and Woodall. Board officers will be elected, terms of office will be fixed, and other organizational details will be handled by the new board itself in its March 1 meeting. In their first session the directors also are slated to receive a tentative program and budget estimates being prepared by President Ryan, as well as chart broad policies and define fields of activity. While BAB's initial budget remains to be set, the ultimate goal is at least $1 million. "Marshall Plan of Ideas" enunciated last summer, Sen. Benton called for action by the Senate Foreign Relations Committee or subcommittee, in conjunction with two other Senators to be appointed by Vice President Alben Barkley. The group would explore: (1) "Objectives, operations and effectiveness of existing foreign information programs" of the State Dept. and other agencies; (2) "prompt development of techniques, methods and programs for greatly expanded and far more effective operations"; and (3) the extent and scope of any reorganization of Voice structure. Manpower, facilities and funds also would be among the topics. No Action Set The Senate committee had not scheduled action on the proposal, which Sen. Benton introduced jointly for himself and Sen. Alexander Wiley (R-Wis.). But a Foreign Relations Public Affairs subcommittee, headed by Sen. Brien McMahon (D-Conn.), already has announced it will hould hearings March 5 when State Dept. officials are slated to report on Voice progress [Broadcasting • Telecasting, Feb. 19]. Sessions will be held jointly with a House Foreign Affairs subcommittee. AFM-NETWORK negotiations f national-local, radio-television co tracts entered the final stages New York Wednesday, when i tendance at meetings was narrow^ to network vice presidents, AF President James C. Petrillo, b assistant and representatives fro New York and Los Angeles loca Meetings shifted to a hotel roo and continued through the Georj Washington Birthday holiday, ; agreement appeared to be in sigl Deadline for retroactivity of ai agreement reached to Feb. 1. E piration date of the old contracl was extended to last Saturdf midnight, it was announced. Discussions, it was understoo had reached "the hard core," s though none of the major issu apparently had been resolved — su< as a ban on recordings over tl air between 8 a.m. and midnigi and TV film terms. A negotiatioi subcommittee was scheduled meet Friday afternoon to discu terms for copyists and arrangei understood to be so complex th: major negotiators would not de.. with them immediately. Spot Campaign Planner FIFTH Army, Chicago, begins radio spot recruiting campai^ March 1 in 13 midwestern stat through Schoenfeld, Huber Green Ltd., Chicago. Campaij; will be expanded to 500 stations. In pressing for action last Mo day, Sen. Benton stressed that h "Marshall Plan," which included proposed $200 million worldwh radio network, had the strong su port of Brig. Gen. David SarnoJ RCA board chairman, and othi "distinguished men." "The first and most importai argument for pulling out of oi State Dept. the Voice and kindre activities," Sen. Benton stated, " the seemingly greater chance 1 bring into operation the best braii and talent in the country." Wit a proposed staff of 13,000 for tl information program — Secretai of State Dean Acheson indicate that figure is contained in the cu: rent budget — the operating fore "will be larger than the combine full-time staffs of AP, NBC an MGM," Sen. Benton noted. While government "can neve compete" with private industry fc services of outstanding commun cation executives, it could attra( them "if their work is given tii recognition and status it deserves. Sen. Benton felt. Under the pre; ent setup, no Assistant Secretar could hope to have "top news an creative talent," he added. Asserting that "we are amateui (Continued on page 73) VO/Cf STUDY Advocated by Senator Bento Page 24 • February 26, 1951 BROADCASTING • Telecastin