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the stations participating in the Network. The Network stations pay an annual Network Assessment Fee which is levied in accordance with the individual station^ transmitter power. The Network Assessment Fee for the fiscal year 1953-54 (July 1 to June 30) is as follows: Class A (5 kv or more) $4C0 Class B (l kw - 4.° kw) 250 Class G (less than 1 kw) 150 At the current rate, a Glass A station (usually belonging to a large university, college, or school system) pays only $1*10 per hour of programming., This figure is much lover for smaller stations * of course. Either figure is considerably lower than If the station attempted to do comparable programming with its own resources, Fea3 proposed for the next three years appear in the table below. The gradual •increase is due to an over-all plan which will, it is hoped, make the Network seif- supposing at the end of 1956, 1954-55 1955-56 *1956-5? Class A Class B Class C $600 375 275 #?00 500 300 $ 1,000 625 375 One hour of programming during the year 1954-55 (at 7 hours per week) would cost a Class A station only $1,66. During 1956-57, one horn* of programming (at 7 hours per week) would cost the same station $2.75* Again, this is still con¬ siderably less than what it would cost the station itself to produce similar pro¬ grams, In future years s it is highly unlikely that the Network distribution will only ie 7 hours per week. As the output increases, it is hoped that the cost per program hour will be reduced, in spit© of these obvious savings* many stations who previously took Network service have dropped out. They say that the Network service has bean invaluable to them; but because of very limited budgets, they are not able to pay the nominal *0nly tentatively proposed, as fees which would, in the light of rising expenses, obviously need to be charged, revising earlier estimates for final rate likely.