Electronic Comment Filing System

ECFS Filing Proceeding: 94-134
Name of Filer: KNAB, INC.
Author: HILDRETH, RICHARD
Lawfirm: FLETCHER HEALD & HILDRETH
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Pages 1 to 16 (16)
Type of Filing: COMMENT
Exparte Presentation: NO
Date Received: 1/12/95
Date Posted: 1/13/95 12:00 AM
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File Number:
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WAlTER'S NUMBER (703) 812· ROBERT L. HEALD (111541·11183) PAUL D.P. SPEARMAN (1I1N·l812) FRANK ROBERSON (11138·1Ml) RETIRED RUSSELL ROWELL EDWARD F. KENEHAN ___-=: FRANK U. FLETCHER . -"VI" OF COUNSEL EDWARD A. CAINE' (703) 812-0400 TELECOPlER (703) 812.()486 INTERNET HILDRETH~MAILCOM F LETC HER. H E A L 0 & H I LOR E T H , L-J;., C . ATTORNEYS /(f IAN HI:CelVED 11th FLOOR, 1300 NORTH 17th STREET ROSSLYN, VIRGINIA 22208 'NOf ADMITTED IN VIRGINIA ANN lAVENDER' ANNE GOODWIN CRUMP' VINCElfT J. CURTIS, JR. PAUL J. FELDMAN' ERIC FISHMAN' RICHARD HILDRETH EDWARD W. HUMMERS, JR. FI'lAHK R. JAZZO CHARLES H. KENNEDY' KATHRYN A. KLEIMAN lARRY LAMBERGMAN PATRICIA A. MAHONEY M. VERONICA PASTOR' GEORGE PETRUTSA8 LEONARD R. RAISH JAMES P. RILEY MARVIN ROSENBERG KATHLEEN VICTOAY' HDWARD M. WEISS 0420 January 12, 1995 BX IW1J) DJ:L:rvAY Mr. William F. Caton Acting Secretary DOCKET FILE COpy ORIGINAL Federal Communications Commission 1919 M Street, N.W., Room 222 Washington, D.C. 20554 Re: MM Docket No. 94-134. BM-8538 Dear Mr. Caton: On behalf of KNAB, Inc., there is transmitted herewith an original and four copies of its "Comments and Counterproposal." Should any questions arise concerning this matter, please communicate with the undersigned. Very R' ard Hildreth C unsel for KNAB, Inc. RH:mah Enclosures No. 01 Copies rec'd of~ UstA Be DE DEFeO E.\ GIN AL RECEIVED ~tbera! «!ommuniadiOtte «!ommieeton fAN 121995 WASHINGTON, D.C. 2055<~~~ In the Matter of Amendment of Section 73.202(b), Table of Allotments, FM Broadcast Stations (Burlington, Colorado; Brewster, Kansas) MM Dkt. No. 94-134 RM-8538 coaemrrs AlID COtnrRBPBOPOSJ\L KNAB, Inc., licensee of KNAB(AM) and KNAB-FM, Burlington, Colorado (trKNAB"), by its attorneys submits its comments opposing a proposed amendment to the FM Table of Allotments, Section 73.202(b) of the Commission's rules, which would add Channel 257C1 at Burlington, Colorado to the table, as well as opposing any new allotment to Burlington. KNAB additionally submits a counterproposal requesting that Channel 257C1 be allotted to Brewster, Kansas, in lieu of Burlington. Comments Burlington is a small agricultural town in a classic farming and ranching area of the West located on the sparsely populated plains of eastern Colorado near the Kansas border. The town and the surrounding county of Kit Carson have a declining population and stagnant economy. As shown below, addition of a competing channel at Burlington is not economically justified and will harm those stations already licensed to the market. That Burlington and Kit Carson County popUlations do not justify allotment of another channel to Burlington is patently - 2 - obvious. Burlington currently has a population of only 2,941 persons. 1 The entire county of Kit Carson is home to only 7,250 persons or 3 persons per square mile, making it one of Colorado's (and the nation's) more sparsely populated counties. 2 With only 2,785 households in the county,3 the county ranks 2,635 among U.S. counties in order of population. 4 In comparison to Kit Carson County's 3 persons per square mile, the entire State of Colorado has 33 persons per square mile and Denver County has 3,156 persons per square mile. s Of even more significance, the already meager population of Burlington and the surrounding county is shrinking. From 1980 to 1992 the Kit Carson County population decreased 5.2%.6 The number of housing units in the county decreased 2% from 1980 to 1889. 7 Fourteen percent of available housing units in the county are vacant. 8 There is no reason to believe that future growth will occur. Only six new housing units were authorized by county 1U. S . Bureau of the Census, County and City Data Book: 1994, at 863 (12th ed. 1994); U.S. Bureau of the Census, 1990 Census of Population and Housing, Summary Population and Housing Characteristics: Colorado, at 5 (1991). 2U. S . Bureau of the Census, County and City Data Book: 1994, at 60, 74 (12th ed. 1994). 3.I.d. at 62. 4.I.d. at 60. s.I.d ? 6.I.d ? 7.I.d. at 65. 8.I.d ? - 3 - building permits in 1992 and only 4 such units were authorized on average each year during the 1990-1992 period. 9 The stagnant Burlington/Kit Carson County economy simply will not support the addition of another channel at Burlington. One telling factor is that the county labor force decreased 6.6% from 1980 to 1990. 10 Currently there are only 11 very small manufacturing establishments in the county.ll Combined they employ only 100 persons, with no change in that number over the previous five years. 12 The 37 wholesale establishments in the county together employ only 326 persons. 13 Total wholesale sales in the county in the last year for which statistics are available showed a decrease of 16.4% over the previous five years. 14 The mostly small retail establishments in the county employ only 422 persons. IS There are only 46 service establishments in the county, with 236 employees. 16 While the Burlington/Kit Carson County agricultural economy employs one fourth of the county labor force,17 it too is not 9.I,d . at 67. 1O.I,d. at 68. ll.I,d. at 70. 12..I.d. . 13.I,d ? at 71. 14.I,d . lS..I.d. . 16..I.d. ? at 72. 17.I..d. at 68. - 4 - thriving well. Agricultural production in the county has at best been generally stable and has in fact declined in some cases. For instance, between 1984 and 1993, although the production of corn for grain, dry beans, and hay increased, the production of corn for silage dropped 28% and the production of barley dropped 99%. The production of other crops such as winter wheat also decreased, with the production of oats dropping 47% and the production of grain sorghum dropping 89%.18 The sad state of the Burlington/Kit Carson County economy means that few dollars are available for advertising. That the county ranks 2,191 among u.s. counties in retail sales 19 comes as no surprise. The reason that there are few dollars for advertising is that county residents have minimal spending power. The median household income in the county is only $23,125 per year (median household income for Colorado is $30,140.)20 One third of all households in the county have an annual income of less than $15,000. 21 Fifteen percent of the county population lives below the poverty level. 22 Nineteen percent of the county population receives federal social security benefits. 23 The 18Colorado Dept. of Agriculture, Colorado Agricultural Statistics, 1990-1994 editions. 19U. S . Bureau of the Census, County and City Data Book: ~,at 71 (12th ed. 1994). 20.I.d,. at 65. 21.I.d,. at 64. 22.I.d,. at 65. 23.I.d,. at 63. - 5 - demographics of the county do not suggest that this will change in the future. More than one fourth of county residents do not have a high school diploma. 24 Only 15.8% have a college degree. 25 With the Burlington area already highly saturated with media services which compete for the minimal advertising dollars that are available, there is no way that an additional competing broadcast station can serve the public interest. Burlington already receives service from five AM stations,26 six EM stations,27 and two TV stations. 28 In addition, Burlington, and each town in the surrounding area, has a local cable television system with a community channel that sells advertising. The Burlington cable television system carries five Denver television stations. 29 Denver television stations are also carried over the air on a county television translator system. Three daily newspapers are delivered to Burlington from Denver and Goodland, Kansas. 30 Seven weekly community newspapers 31 and three weekly 24.I.d. at 64. 25.I.d . 26KNAB , Burlington, Colorado; KLOE, Goodland, Kansas; KXXX, Colby, Kansas; KRDZ, Wray, Colorado; and KLMR, Lamar, Colorado. 27KNAB , Burlington, Colorado; KKCI, Goodland, Kansas; KGCR, Goodland, Kansas; KQLS, Colby, Kansas; KATR, Wray, Colorado; and KSEC, Lamar, Colorado. 28KLBy , Colby, Kansas; and KBSL, Goodland, Kansas. 29KCNC-TV, KMGH-TV, KRMA-TV, KUSA-TV, and KWGN-TV, Denver, Colorado. Warren Publishing, Inc., Teleyision and Cable Factbook: 1994 (1994). 30Denver Post and Rocky Mountain News, Denver, Colorado; and Goodland Daily News, Goodland, Kansas. - 6 - shopper newspapers 32 are circulated in Burlington. All of these media, with the exception of the Denver television stations and the two Denver newspapers, regularly call upon advertisers in Burlington and Kit Carson County soliciting advertising. see Exhibit 1 hereto, Statement of Bette Bailly, General Manager/Owner, KNAB, Inc. It is patently obvious that the addition of another local broadcast facility to Burlington will seriously harm Burlington's existing stations, causing them to devote less resources to serving the public interest. Moreover, it can be expected that one or more of the Burlington stations will have to go dark if the allotment is made to Burlington. It is instructive that even without added competition one area station has already gone dark. Station KLIM(AM), Limon, Colorado went off the air in 1992 due to financial difficulties. see Exhibit 2 hereto. KLIM was never able to resume service and Commission records indicate that KLIM has not responded to correspondence from the Commission since 1992. In recent years, it has become universally recognized that there is a limit to the number of voices that any community can support. see Reyision of Radio Rules and Policies in MM Dkt. 31Burlington Record, Burlington, Colorado; Limon Leader, Limon, Colorado; Stratton Spotlight, Stratton, Colorado; Sherman County Star, Goodland, Kansas; Range Leader, Cheyenne Wells, Colorado; Wray Gazette, Wray, Colorado; and Flagler News, Flagler, Colorado. 32Plains Dealer, Burlington, Colorado; Mile Saver Shopper, Flagler, Colorado; and Country Advocate, Goodland, Kansas. - 7 - 910140, 70 RR2d 903, 903-07, 7 FCC Rcd 7255 (1992). It is also recognized that many of the stations for which allotments were made in Broadcast Docket 80-90 have not survived. No additional channel should be allotted to Burlington under any circumstances. Counterproposal Accordingly, KNAB hereby requests that Channel 257C1 be allotted to Brewster, Kansas, in lieu of Burlington. Brewster is currently without local broadcast service. Attached hereto is an engineering statement demonstrating that Channel 257C1 can be allotted to Brewster in full compliance with the Commission's spacing rules. Pursuant to the Commission's FM allotment priorities, allotment of the channel to Brewster would result in a preferable distribution of channels. The Commission has stated that its priorities are (1) first full-time aural service; (2) second full-time aural service; (3) first local service; and (4) other public interest matters, with equal weight given to priorities (2) and (3). Revision of FM Policies, 90 F.C.C.2d 88 (1982) . The allotment of Channel 257C1 to Brewster would provide this community with its first local service. Thus, pursuant to the Commission's policies, this allotment would be preferable to allotting the channel to Burlington as its third local service and second local FM service. Moreover, Brewster is in greater need of a first local service that Burlington is for a third. Although Brewster is a small city, it is located along Interstate 70, a primary east- - 8 - west transportation corridor. Brewster has its own city government, school district, post office, cable company, electric company, telephone co-op, and library. Brewster also has four churches, four stores, a grain elevator, a museum, a bank, nine miscellaneous businesses, five farming operations, and two restaurants. Further, Brewster currently has neither any local broadcast service nor any daily or weekly newspaper. Accordingly, allotment of Channel 257Cl to Brewster would result in a preferable allotment scheme. KNAB hereby expresses its intention, if Channel 257Cl is allotted to Brewster, to promptly file an application for a construction permit for the channel and, upon grant of the construction permit, to expeditiously construct the authorized facilities. If, however, the Commission should allot a new channel to Burlington, either Channel 257Cl or an alternate channel, KNAB would be unable to apply for the Brewster channel. Due to economic considerations, KNAB would be unable both to compete with a new station in Burlington and to construct and operate a new facility in Brewster. Conclusion For the foregoing reasons, KNAB, Inc. urges the Commission to refrain from allotting another channel to Burlington, Colorado to avoid disastrous consequences to other Burlington stations. - 9 - Alternatively, it is requested that the Commission allot Channel 257C1 to Brewster, Kansas, as its first local service. Respectfully submitted, By: Its Fletcher, Heald & Hildreth, P.L.C. 1300 North 17th Street, 11th Floor Rosslyn, Virginia 22209 (703) 812-0400 January 12, 1995 Crump EXHIBIT 1 ABC· INTERMOUNTAIN NETWORKS. 1000 W DAYTIME II !i II II BUfU.INGTON, COLORADO 80807 P.O. no,.. )if, "Tho Pntlf1lu')j Clwiw" In t.hv KNM. KNAB-FM pr';ol,Hy :.t:'fvjCLia~-ci)..wh1r.h is that. area w1thin a70~ (liih:r'adiu~u1 Bur'] ingtl.!n.tht~11M r,ldio~tation,;include KNAB 1n Burlington. (;jjll.!\"ddu; KLDt:: in (:ioi)(!land.K.a!l::;d.~;KXXX in Colby, Kansas; KRDZ 1n Wray. Col orado i anJKl.,M~iii Ldillat" , Colnrudu. FM r,ld'io~tdtillnsinclude KNI\B in Burlin(Jton, Colo i"i:idu; KKU HI GuvdTand. KJI1!;(l:;; KGCR in Goodlund,KAnsas~KQI.S 10 Colby. Kansas; kATI{ in Wr;Jy, COIC.lt';HIO; anelKr~H;in Liliniir, Colorl'ldo. lJiilly newSpdpel"'::> 11ltlude tilt' (lcnvp.t· Post and Rocky Mount/lin News which~re dfdlve:r'C'd daily fromDenv(~r,Color'ado, and the GOtldlllnd Oal1y N!!\vs from Goodland, f!"HI$.il:". Wel!kljf1c\~sl-laper!;inc.ludo the Burlington Record from Burlington, Colo Yddu; the Linlun leadet' from lil11on. Coloradu; the Stratton Spotlight. from Stratton. 1~1,IM,.ldi)ir.h~Sherman County$~iH'fl'l'lIl1 r.ill1dlitnrl,Kan~lls;the Ral'lUA I.l"dger from Ctu:Yf:!oot::Wcli~.(IJI;ll'ado;th~Wr-.,\jI Gill-ette from Wray. Co1orado; a.nd thp. F'lagler Ncw~lrlJII\FlagIG~',Culorl1du. There arE! alsothr~ewt;ekly shopper papers ill the elf(':,"I, including thtl Plains Dealer from Bur'11ngton. Colorado. t.he Mila Sa.ver , , SMppt:;' fr'I)1I1 f1<1g1CY', Co1oradoi and the Country Advocate from Goodland, Kansas.: . ;: ll1f.1t'e ,),r'C tWI) TV rotat.ions 1n the area··KL13V in ColbY. Kansas and KBSL'ln Go(;dldtld, K'l!l'';dS. BUl'lingt'HI alit! Inany uf thetownsin't~esurraunding'~reaalso haVf~,iCabl(~TV outlet that ha:. a cOnimunityc"annf!'iitti~~!sl!lls;~dvEfrtiidng.The HIl(] ; JltJll')l\ i,,;.IblC'~.y!>tiJl\1c,ll"!'itls the following Ol:!nvtilr television stations: I(CNC..TV. ~',MGI1-1V,KI~MI\-1V.Klj~.;r\-TV.UliU KWGN-TV.These'f1veOe~~~'I'televiSion stations a1$o dl!~l;arn~don the KH C,lI'SOIl Cl)utlty television translator system. : "!i;!~i,i i ABC ? INTERMOUNTAIN NETWORKS - 1000 W DAYTIME P.O. B",:.: !ilb fjUf\LINGiON, COL.ORADO 80807 Phone 3"6-8600 lh~listrrlr~djnand nun-Denver trlevision~t~tjnn~can all beh~ardor ...ie\'l~lI\)1 f Ule dlr chn'inv t.ht! dil.,ytilli'':. olld t:hc~amej<;tru~dl~rir\gthe night wi t.h the' C"xU"pl.iilll nt Statiml!;, KNAH AM ,lon nOE AM, P,LH'lili~Jb}i1L i,l man.H thiif.i~.;"xtxp.m,~lyweI1-':lerlled by other nledia and \·rilh i; Ij,~t.ec.unoUlY Uldl". isdr~p~:r\l1i!tilon raliching <'lndfarmili~J.the economic plC.1.IJI·(~'j:-. Illit !JOl!lU t.II i:hanSjt!lIV(~l't.hp. fOr(::,;eeablefuturt~.The ilddit10n of drllJthu lOCi)] lJroildc,nl I'arilil.y to aurl ington will create an economic condition tIll" ,ill til+': iocalbt'l)Olktl··~t.~·.tatii.lt\sthat: will re;;ult in none of the stations b~inrJtlhle to tldf'qlli\tely:~et'vethr. plAblicint.el'c,.. t. ar)d it ciln be~)(I)ectedthat nn,:! ()I'IIHjr~ortt1~~t.dtjonsv/ill have to go dark. ,I\~~a !; tati':;11 l)pE!rc'ltnr in Blltlloaton forr.hera~,t2.7 years. I am persona'ly tJillillll.r\.. itlltho~(,;rrliHtl;'r'~.fllrl thr'r"r:t~.~.#,.tfmoth .. hOVfl'IInt'1 in t.lltlfur~guill~, (.(J11lrnont5 alld hereby affiY'lIl thatlh~abovE.' statement" are true and correct to the tl'.!:;t "i lI1ykf\ilwlC'd~Jf'.lrlll'II·lllatil)lland belief. Ih~r~by~.WCdyo undt'lr pf!oa 1t.V Ii f plll'gery t.!ldti.Il~!fljre')oioQl~true and f.on'ect til tlw ho:;t of IlJY knowledgt. information, Mid1.1~:1 It: t _ t:(J i-1 Ji~j 1<.~./. r",;/ Z:: V~, ~,~,~:,v~r~. ~~, 1 ""'1 II' 1,',,\ j ! 'I.... I ."- ," "·".f ( I (~('IWt'i;]MiHMg+:!,'/Owner.KNfl,[~.1nl.:. January 12. 1995 . ,~: 01/12/95 15:56 EXHIBIT 2 KLIMRadto 1120 AM. t>[). 061 002 @ ce.: 11 J.16/ AM B("ilt~_ @ F/k ; t:..L'Iw'" '..,"'~~.... 165 E Avenue, Box 87 Limon. Colorado 80828 (719) 775·2572 { \. I AM BRANCH -/fJ-f"l"Jt-~f~::tl JUl u 0f~~, .. . .. I RECEIVED Eastern Colorado's Best Country SMITH AND POWSTENKO ENGINEERING STATEMENT The engineering data contained herein has been prepared on behalf of KNAB, INC., in support of its Comments and Counterproposal in MM Docket No. 94-134. In this proceeding it is proposed that FM Channel 257Cl be allotted to Burlington, Colorado, as its second FM service. KNAB counter proposes that Channel 257Cl be allotted to Brewster, Kansas, instead. Attached hereto is a tabulation showing that all spacing requirements would be met from a reference site with coordinates of 39 0 21' 42", 101 0 22' 36", which are the coordinates for the center of Brewster. It may seen from this tabulation that there is ample leeway for site selection. I declare under penalty of perjury that the foregoing statements and the attached tabulation, which was prepared by me, are true and correct to the best of my knowledge and belief. NEIL M. SMITH January 11, 1995 WASHINGTON, D.C. SMITH AND POWSTENKO ALLOCATION STUDY PROPOSED CHANNEL 257C1 BREWSTER) KANSAS Separation in Kilometers Channel Nearest Allotment(s) Required Actua1 Difference 203A KGNU, Boulder, Colo. 22 332 +310 204A KLNE-FM, Lexington) Nebr. 34 200 +166 254C1 KSID- FM, Sidney, Nebr. 82 255 +173 255C1 KKPR-FM, Kearney, Nebr. 82 275 +193 256C1 KJIL, Copeland, Kans. 177 220 +43 257A KUTT) Fairbury) Nebr. 200 379 +179 258C1 KHAZ) Hays) Kans. 177 181 +4 259Cl KOGA-FM, Ogallala) Nebr. 82 189 +107 260C1 KWKR) Leoti) Kans. 82 121 +39 W....HINGTON. D.C. ClBT:rr:rCAD or sIRna: I, Mary A. Haller, a secretary in the law firm of Fletcher, Heald & Hildreth, P.L.C., do hereby certify that true copies of the foregoing "Comments and Counterproposal" were sent this 12th day of January, 1995, by first-class United States mail, postage prepaid, to the following: Bruce Corman Kay Hanley Charley P. Barnes c/o Charley P. Barnes 524 15th Street Burlington, CO 80807 ~a.~ Mary~-a-l";;'l-e-r------