Min 12/06/1965 814
Wichita Falls, Texas
Memorial Auditorium Building
December 6, 1965
Items 1 & 2
The Board of Aldermen of the City of Wichita Falls, Texas, met in called
session on the above date in the Council Room of the Memorial Auditorium Build-
ing at 7:30 o'clock P. M. , with the following members present :
J. Winston Wallander Mayor
R. Kenneth Hill X
Dr. D. C. Burross X
James M. Davis X Aldermen
Leroy Daniel X
Roy V. (Pete) Claytor X
Cletus C. Schenk X
Jack Davis City Manager
H. P. Hodge, Jr. City Attorney
Wilma J. Thomas City Clerk
The invocation was given by Alderman Burross.
Mayor Wallander stated that the purpose of this meeting was to hold public hearings
on cable TV and annexation of Block 1, University Park Section F. As no one in
the audience wished to be heard regarding the annexation proceedings, Mayor Wallander
declared the public hearing closed.
At this time the proponents of the CATV system presented their views on the
subject.
Mr. Bill Thacker,. a representative of North Texas Cable TV Systems, intro-
duced Mr. Carroll hickey, a teacher from Midwestern University, who had conducted
a survey door to door to determine how the general public felt about the matter.
Mr. Hickey stated that the survey he had conducted, with the assistance of
6 young ladies, was in the area of Western Hills section on the west to the
Jacksboro highway on the east, and Southwest Parkway on the south to the railroad
tracks on the north.
The questionnaire which was presented received 2052 responses. Of this number
1,106, or 540, stated they favored cable TV. 730, or 31%, opposed it. 216, or 15%,
were undecided. Regarding; the question of whether $5.95 per month was a fair charge
for cable TV service, 438, or 400, said they felt it was fair. 410, or 390, said
they felt it was not fair, 258, or 21%, said they were undecided. 21`0 of the
total surveyed (2052) said they thought approximately $5.95 per month would be
a fair charge for this service.
Bill Thacker introduced Senator Tor.: Creighton who presented his views. He
stated that cable TV was first introduced to Texas in 1950-1951 at Graham, Mineral
Wells, and Tyler. In 1965, the national estimate is 2400 cities serving; 2,000,00
homes which has either a cable or franchise granted. Texas has 180 cities serving;
175,000 homes with cable TV. In Oklahoma, 44 cities serve 40,000 homes. The
comparable Texas cities where a franchise has been granted or cable company oper-
atinp are Abilene, Lubbock, Waco, Austin, and 'Tyler.
It was also stated that by microwave, a cable system could provide antenna
service to recieve channels 4, 5, 8, 11, and 13 from Dallas.
Mr. "Thacker stressed the educational possibilities of cable TV. As part of
their request for a franchise they would propose to locate their originating
point on the campus at Midweste m University, and have had preliminary discussion
with university officials to locate the station in or near Clark Student Center,
with cable service to most buildings on the campus. Cable connection would be
made free of charge to public schools where they are located on the system.
In his remarks Mr. Thacker recommended that a franchise provide for the
same protection of local television stations' programming as required by the
FCC. Also, a cable system should be required to carry all local television
stations without material degradation in quality. Cable TV would also provide
full time weather information, could be used as a civil defense channel, closed
circuit programs such as fights, races, etc. , more color movies, and that color
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reception would be greatly improved. fie also stated that inquiries had been
sent to neighboring towns to see if they would be interested in being tied
into this system. It is the belief that a franchise can provide protection
for local television stations and bring economic benefits to the community.
The gross income of a cable system would be subject to gross receipts tax
of the City.
Recognition was made of the Mayor from Vernon, and of Girl Scout Troop
V 17, of which Mrs. Eckert is leader.
Mr. Tom Danaher, representing United Cable TV Company, spoke in favor
of CATV, stating that it is an important adjunct to our television service.
It improves the service in a city by building antennas on a taller tower.
He said that the customer on the end of the line would receive as good reception
as the one at the beginning. One of the foremost advantages is the consistent
high quality television, plus more programs which will be available. Educational
programs would be directed to schools and homes. Twnety-four hour weather and
news would be available. CATV would require the same type of service men which
are already in operation and business here. Mr. Danaher felt that the citizens
of Wichita Falls are entitled to have access to all sources which modern
technology can make possible. fie stated that one distributive line would feed
into the house, and that by proper wiring to other rooms, service would be
available to any part of the house.
Mr. Dick Holsinger, representing the Wichita Falls Cable Company, Incorporated,
appeared in behalf of CATV, fie stated that cable TV is needed because of lack of
air space. Cable TV expands the amount of television which one is able to view.
One educational channel would be available. fie stated that the operator would
be responsible for programs shown. fie requested that his compnay be given an
opportunity to submit a proposal on how they would install a system in Wichita
Falls. The question was posed as to the effect CATV would have on local broad-
casters. Mr. Holsinger stated that some viewers would be taken away from local
stations, but he did not believe it would be sufficient to affect them financially.
Mr. S. L. Spencer, representative of arena Corporation in Dallas, appeared
as a proponent of CATV. lie stated that color TV reception in Wichita Falls is not
good, but that with cable TV the color reception would be better than the average
person now receives. He felt, as did others who appeared, that the subject had
been well covered by Mr. Thacker.
Mr. Ralph Bullington, representing Wichita Falls dome Electronics Company,
stated that CATV works, and is profitable, and that it supplements rather than
supplants existing television. Customers can either take it or leave. it. Program
quality is improved by its use. The question was asked as to whether the cost would
be greater if fewer people in a given area desired to subscribe to cable TV than
if a large number were subscribers. Mr. Bullington felt that it would be accord-
ing to the franchise; however, he thought it would be a set price.
Mr. Charles Wei.senburg, of Wichita Falls home Electronics Company, stated
that the college in Commerce, Texas, had installed cable TV equipment, and that
they originate only educational programs. lie stated that their firm would
provide free connections to all schools, hospitals, fire stations, and churches.
The cost of connections to tie on would be the same in all parts of town, and
that all types of programs could be brought in.
Mayor Wallarider now called on the opponents of CATV to speak.
Mr. Bill Hobbs, General Manager of KAUZ TV, spoke in opposition, stating that
the use of this system will eventually result in pay TV, and would eliminate free
TV as we have today. Wichita Falls already has full network coverage with ABC,
CBS, and NBC. Ile stated that if people were interested in an educational channel
that his station is willing to meet with persons in the educational field to work
toward such a goal. fie requested that the citizens of Wichita Falls be allowed
to vote on this issue to decide for themselves. Alderman Burross imposed the
question as to whether he felt the Council was unable to decide this issue since
they were elected to serve the citizens. Air. Hobbs agreed that the council was
elected to make these decisions. The question was asked whether his local
station could superimpose local advertising instead of national advertising to
secure a program on a station, and it was the feeling that they could not.
Mr. Darrold Cannan, Jr. , of KFDX TV, felt that color reception would not be
improved by CATV. fie stated that they are not convinced of the need or desirability
of cable TV, but do not vigorously oppose it as long as proper controls and restraints
are placed on it by the City Council. Without these controls it could mean the
beginning of the end.of local free television, and the end of television completly
for those in rural areas and smaller surrounding cities in this trade territory.
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CATV was originally conceived as a supplement to free television to be used in
remote areas and too small to support a station of their own, but when it tried
to expand in good television reception areas it became pay TV, and a serious
threat to free TV. The FCC is concerned because of the danger that operation
of the cable system may force local stations off the air. The FCC has asked
for legislation from congress to clarify, without question, their authority
over all CATV. The three rules that the FCC has adopted are as follows, and
are the same rules that KFDX TV asks the City Council to write very clearly
in ordinance if they decide to grant a CATV or Pay-TV franchise. This is vital
to the protection of local television.
1. CATV systems must carry the local television stations' signals ;
2. And without material degradation of quality;
3. Arid refrain from duplicating the programs of local stations simult-
aneously or during a period of 15 days before or after their initial
broadcast by a station located in another city.
If a Pay-TV system were not required by city ordinance to carry the local
television stations, then those who choose to hook up to the system could no
longer receive the local free television stations signals since you cannot have
both without special equipment that is riot normally provided to set owners by
a CATV or(Tani.zation.
Mr. Cannan stated that many people who could not afford an installation
charge would be denied TV, and that the people of this community should be
protected from pav TV. fie proposed that the Citv Council consider presenting this
problem to the people of i-iichita Falls for a vote.
It was also stated that if controls were not exercised, cable TV could dup-
licate local programs. The owner of the cable can originate any type of program
Ile desired, and would be left to the descretion of the station manager. Mr.
Cannan stated that the only May controls could be exercised is by city ordinance.
Uhl` would be of no use in Wichita Falls if CATV were here.
The question was asked regarding length of contract time. Pair. Thacker
stated he thought the normal contract for franchise would be approximately ten
years, and the contract for home owners on a monthly basis.
Mr. Fred Marks, of Acme Rug and Carpet Company, asked what system would
be used to block out commercial programs from other cities. Also, what assurance
do we have that the neighboring cities where programs originate won't use
propaganda to entice citizens to leave Wichita Falls. Mr. Marks stated that he
had met with a group of businessmen who had several questions which they would
like to have answered, and that they would submit these questions to the Board
of Aldermen.
Mr. Jack Britton, local sales manager for KAUZ TV, appeared as a represent-
ative of local advertisers. lie feels that if commercials from other cities are
brought in on CATV that it would hurt Wichita Falls. Towns in the surrounding
community are invited to advertise on local stations, and at the same prices.
Mr. Howard Garland opposed Cable TV because he said he was once a sales
promotional manager for Renault dealers in seven states, and he did not approve
of the bait and switch advertising prevalent in larger cities which would be
brought into Ivichita Falls by the introduction of Cable TV. Iie stated that
advertising in smaller cities is on a higher level than in larger cities.
Mr. Don Juan appeared, and stated he was air engineer in broadcasting. fie
said that cable TV is lucrative and costs a lot of money to install. Ile
suggested that if the city were to install tie system themselves that it
would cut costs. It was his desire that an exclusive franchise not be granted,
but that other methods be explored.
Jack Ballard was recognized, and made some comments concerning cable TV.
fie stated that he was in favor of it.
Mayor IVallander declared the public hearing closed, and the meeting adjourned
at 10:15 P. M.
PASSED AND APPROVED this �� � day of y,f�.C�a� , 1965.
ATTEST:
M or pro Lem
City C116rk