Broadcasting Telecasting (Apr-Jun 1958)

GOVERNMENT continued Storer Gives Up Plan For Experimental Tv Storer Broadcasting Co. last week dropped its proposal lor an experimental tv station on ch. 12 in the Wilmington, Del. -Philadelphia antenna farm area. Storer, licensee of ch. 12 WVUE (TV) Wilmington, had asked permission for the experimental station to make a year's test of a new type of directional antenna at an operating cost of $ I ;>().()()(). The Storer proposal met ohjections from ch. 12 WNBF-TV Binghamton. N. Y.. under common ownership with WFIL-TV Philadelphia, on grounds this would reduce the mileage separation between WVUE and WNBF-TV below the minimum permitted by the FCC and would cause objectional interference to the Binghamton station. Among others objecting were WPRO-TV Providence. R. 1. (on interference grounds), Assn. of Maximum Service Telecasters (objection to below-minimum mileage) and WIP Philadelphia. Storer, in submitting its petition last February [Government, Feb. 24], proposed to broadcast the regular programs of WVUE on the experimental station. In asking for dismissal without prejudice of its application last week, Storer said it had been prepared to spend more than >750.<>(>() lor the test to help the FCC reach a "sound solution" to the tv allocations problem. But the likelihood of lengthy hear /W Oft tic Pteui ^ ll s I Yours for the asking on Company or | $ Government letterhead. I I | GATES RADIO COMPANY SUBSIDIARY OF HARRIS-INTERTYPE CORPORATION QUINCY, ILLINOIS ings and legal delays implicit in a May 22 decision by the U. S. Court of Appeals for the District of Columbia promises to make the experimental tv station "impracticable," Storer claimed. Storer added that WVUE would continue to serve the "greater Delaware Valley from its present transmitter location at Pitman. N. J." The May 22 court decision ruled that the FCC "erred" in granting, without hearing, an application by WJMR-TV New Orleans for experimental operation on ch. 12 (Government, May 26]. The experimental transmitter was less than the minimum required mileage from co-channel WJTV (TV) Jackson, Miss., which had charged WJMR-TV was "not proposing a bona fide experiment." WJMR-TV (ch. 20) was broadcasting its programming simultaneously on ch. 12. Five More Legislators Favor Re moving Excise Tax From Sets Congressional sentiment for removal or suspension of the excise tax on radio and television sets and other commodities has reached a new high. Three such bills have been introduced in the House, while two senators indicated relief for the consumer is on the way. Rep. William Bray (R-Ind.) and Rep. Frank Osmers Jr. (R-N. J.) both introduced bills which would repeal the 10% excise tax on all radio-tv sets as well as other electrical appliances. Rep. Osmers' bill, like a measure introduced by Rep. Harold R. Collier (R-Ill.), also would remove the 10% tax on communications. All three bills were referred to the Ways & Means Committee, which now has pending eight bills to remove the tax on all tv sets. In addition, the committee has pending four bills which would exempt all-channel (uhf) sets only from the tax; three to reduce the tax on all tv sets to 5%; one to reduce the tax to 5% on all-channel sets only, and one bill which would suspend the 10% levy on all receivers for one year. On the other side of the Capitol, Sen. Norris Cotton (R-N. H.) proposed a "moratorium" of excise taxes to promote a "nationwide bargain sales." The tax suspension should last until the end of this year or early 1959, he said. Sen. Styles Bridges (R-N. H.) also noted the need for adjustments in excise taxes, including those on radio and tv sets. Window Firm Settles FTC Charge Famous Window Co. of Pennsylvania, Pittsburgh, has agreed not to use bait advertising for its storm windows, screens and doors. A consent order signed by the firm was announced last week by the Federal Trade Commission. The action grew out of an FTC complaint a year ago charging that Famous Window used misleading bait techniques in advertising on radio, tv and in newspapers. The consent order is for settlement purposes and is not an admission of violating the law. Page 70 June 2. 195S Federal ETV Subsidy Backed by Committee The Senate Interstate & Foreign Commerce Committee last week unanimously approved a bill (S. 2119) introduced by its chairman, Sen. Warren Magnuson (DWash.), which would provide up to $1 million for each state to aid in the development of educational television. Sen. Magnuson predicted that the Senate would take speedy action on the measure, introduced a year ago last week [Government, May 27]. Hearings were held in April [Government, April 28], with only the Health, Education & Welfare Dept. — which will have the responsibility of administering etv grants to states under the bill — expressing opposition. The bill, as reported out. included one important change from the original draft. It was amended to make it possible for etv stations operating under non-profit organizations to receive federal grants. Originally, the bill provided that a station must be under the direct supervision of the state supervisor of public schools. Sen. John W. Bricker (R-Ohio), ranking minority member of the committee, cosponsored the bill with Sen. Magnuson. Under provisions of the bill, a state may receive more than one grant for etv, "but the total of such grants to any state shall not exceed $1 million." The District of Columbia, Hawaii and Alaska also are eligible for federal assistance. Action on Slow Uhf Builders Urged by L. A. Tv Applicant William E. Sullivan, former announcer at several midwestern radio stations and partner with Frederick Bassett in a contested application for ch. 34 in Los Angeles, last week called on the FCC to deal more harshly with uhf permittees who are reluctant to build their stations. Mr. Sullivan charged the FCC has "unwittingly caused the failure of a truly nation-wide competitive television industry, due to a lack of attention and other work pressures." The FCC early last month again considered, but took no action on, the question of uhf permittees who have repeatedly asked for renewed extension of the date on which they are required to complete construction to retain their permits; also considered were those uhf's which have gone off the air, but which are holding their construction permits in the hope uhf competitive and economic problems will be alleviated. 'The Commission," Mr. Sullivan said, "is passively backing the now monopolistic holders of government-granted uhf facilities and new prospective competitors have no opportunity to use the locked-up channels." Some permittees have held permits for six years, he said. He asked allocation of more uhf channels to the 10 major cities and called on the FCC to enforce its rules by which a permittee forfeits his grant if he doesn't build in the maximum period of eight months after grant. Broadcasting