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BIGGEST BATCH OF CPs FOB ??1: FCC really got to v/ork on FM grants 'this week and
cleaned up huge pile accumulated during 2 weeks of no grants. With addition of 61 CPs (Supplement No. 33C herewith), total is now 171; in addition, 5 conditionals and 2 EAs came out. At other end of the hopper, nev/ applications have shown a slight lift, with an unusually high proportion for Class A.
FI»I BESEHVATIOH, PRO MB CGH: Abundantly clear at Friday's FCC oral argument on
reservation of FM channels 'was Commission's opinion that 88-108 band was here to stay, that if additional frequencies were desired to accommodate latecomers, the old frequency argument would have to be reopened and that FCC didn't welcome it.
Thus ruled out of argument v/as the very controversial proposal to carve new channels from other services — notably TV. CBS's proposal to expand FM into TV channels 5 and 6 v/asn't heard; NBC, TBA and DuMont were spared necessity of low-band defense.
Surprising to us was fact that few of the passionate arguers, either pro or con, seemed to realize that proposal to reserve every fifth Class B channel didn't mean 1/5 of some 1500 but only total of 90-odd, since plan contemplates holding channels only in areas where 5 or more are assigned. Our impression was that even most of those against plan thought it fair and just, but wanted specific exceptions made.
Principal development, therefore, v/as question of FCC's legal right to withhold available channels. Attorney Ted Pierson, representing Yankee Network,
MDC and others, contended intention of Congress in Communication Act was that FCC grant all channels to qualified applicants, but if better qualified people came along after 3 years, transfer licenses to latter. Commission pointed out that practice hadn't v/orked out in AM, implied that power to allocate channels carried corollary power to withhold.
FCC seemed quite impressed with testimony of Attorney Bill Roberts, who, coming originally to protect low-band TV and finding it unnecessary, drew interesting parallel describing action of CAA regarding newcomers and veterans in aviation. CAA, faced with mighty clamor for air-line service from almost every community, adopted policy of caution rather than granting franchises left and right.
Senator Glenn Taylor of Small Business Committee, tied up on Senate floor, sent statement over for record. Well-knov/n proponent of reservation, he felt FCC should reserve even more than proposed one-out-of-five, hoped set production would make unnecessary reservation beyond a year, that small business men could then afford to step right in. He also couldn't resist crack at AMers "who come to FM merely to establish squatters rights" — and he referred specifically to public utterances of WLW s James Shouse (Vol. 2, No. 25).
Farmers' groups and cooperatives strongly favored reservation, pointing out increased interest in FM, but slowness of democratic process, in their organizations. They were worried, too, about dragging FM set production. Said C. Maurice
Copyright 1946 by Radio News Bureau
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