Evening star. [volume] (Washington, D.C.) 1854-1972, 1929-03-28
LAFOUNT OPPOSES
RADIO license FEE
Commissioner Doubts Tax on
Stations Is Desirable
or Necessary.
BY MARTIN CODEL.

Strong protest against any plan of
1evying the burden Of proposed radio
license fees upon broadcasting stations
is voiced by H. A. Lafount, the Far
Western member of the Federal Radio
Commission. Mr.. Lafoun6 expressed
his doubts whether any collection Of
revenue by the Government from radio
is desirable or necessary.
It costs the Federal Government ap-
proximately cents per listener per
annum to regulate and supervise radio,
according to Commissioner Lafount.
He based this estimate upon the fact
that about 100000 is spent annually
on the Federal Radio Commission and
on the radio division of the Department
of Commerce and the general estimate
of 100000 900 persons in the radio audi
ence.
The United States Senate has called
upon the Federal Radio Commission to
draw up tentative schedule of license
fees to be charged against stations to
defray the expenses incurred by the
Government in radio administration,
and possibly also to give the Govern
ment a direct return from its leases"
Of wave lengths to private interests.
Against Radio Tax.
If license fees are to be imposed, Mr..
Iafount would have them distributed
equitably among various classes of radio
stations. Why should broadcasting be
charged more, he asks, when most of
the time and attention of the Federal
radio authorities is taken up with such
matters as point-to-point, transoceanic,
marine, aircraft, television, expert
mental and other radio services? More
over, the radio commissioner indicated
that he is not favorably disposed toward
taxing amateur radio operators, whose
contributions to the development of
radio have been recognized on all sides.
1t would be possible to establish
graduate scale of taxes upon stations,
dependent upon their size, power. wave
length, ETC., and it is apparent that this
was in Senator Dill's mind when his
resolution was passed during the recent
Congress. Only nominal fees would be
necessary If the GIG broadcasting sta
tons were thus taxed, in addition to
the hundreds more that are in opera
ton for telegraph and other serv-
ices, in order to repay the Government
what it eXpends on radio administra-
ton. Such a scale will probably be
recommended to Congress, as directed
by the Senate, for possible incorporation
in later radio legislation.
Speaking personally, Commissioner
Iafount says that he believes broad |
casting stations are thoroughly justify |
ing their present non-taxed existence |
by virtue of the innumerable public well |
fare services they are rendering, aside |
from the sponsored entertainment pro- |
grams from which they derive their |
sustaining revenue. A large tax upon |
broadcasting stations, he thinks, will |
inevitably be passed on to the people of |
the country in the form of curtailed |
services, due to higher station operating
expenses.
Fees Not Opposed.
Among the broadcasters themselves
htAe opposition to Federal license
charges has been voiced since the SUBJ
ices was first preached at the recent |
congressional committee hearings on
radio. The smaller stations would
probably object strenuously, especially
II the fee were substantial. 1t is note
worthy that at the meeting of the Ma
tional Association of Broadcasters in
Chicago this week the sentiment was
expressed that the large stations would
welcome scale of license fees, pro-
vding the Government would help sta
billie broadcasting by grants of one
year licenses. At present licenses are
granted for only three-month periods
by the Federal Radio Commission. This
Is required by the radio act.
Short waves for relaying its programs
to other American stations for rebroad-
casting purposes were sought from the
Federal Radio Commission yesterday by
station WENR, Chicago. The stations
chief engineer, E. H. Gazer, told Com
n1issioners Robinson and Lafount that
stations VIVA, Wheeling, w. Va, and
WDRC, New Haven, Conn, had already
arranged to pick up its programs and
them to their audiences.
Other stations that have indicated
Willingness to relay the Chicago sta
tons programs to their listeners were
said to be WEIR. Buffalo, N. Y, and
WRFV, Gainesville, Fla. Both these
cities were reported to be receiving
WENR's programs consistently and
Clearly on the regular wave lengths
and the stations were said to be anxious
to pick them up either from the broad
cast or relay waves.
Chairman Robinson remarked during
the course Of the hearing that it was
apparent the Chicago station was pro-
posing to establish its own network of
stations, eliminating telephone links by
the use OF the high-frequency relays.
sCopyrlent, 1923, by North American News
paper AllianceD