The Los Angeles Times from Los Angeles, California • 1

RESULTS-ENTRIES WEDNESDAY l. n'r-VM Morning Final Lae facing Do MF106 PAGES tZZLiL. DAILY 25c WEDNESDAY, AUGUST 6, 1980 CIRCULATION: 1,043,028 DAILY 1,289,314 SUNDAY Concessions Wire Kennedy Compromise Reached on Open Convention Debate I 1 A By ROBERT SHOGAN Tbiws PMMcil WrHtr if is i MAN OF LEISURE Billy Carter, of golf with friends at Tazwell, in temperatures in the 90s; BARRIERS FALL Tuning In on Profits: Cable TV Warms Up By KATHRYN HARRIS Tlmo Staff Wrttar When San Diego businessman Lee Druckman and his partners sold their cable TV system for $12 million in 1967, they thought they had made a handsome profit on their original investment of $175,000. Today, that cable system is the largest in the nation and worth more than $175 million, by Druck-man's rueful estimation. He sold out early, little dreaming that cable would be today's mother lode.

The number of subscribers in the United States has nearly quadrupled in the last decade, with more than one in every five TV households linked to cable. Industry revenues could reach $2.4 billion this year, jumping 60 from the $1.5 billion reported in 1978. 20 or More Channels Cable's appeal lies in its diversity. Coaxial cable equipped with amplifiers can readily deliver 20 or more channels to a home, if a TV viewer is willing to pay about $8 a month for movies, sports, news and religious programming and better reception of local broadcast signals. The barriers that once kept cable TV operators out of large cities have gradually been dismantled by federal deregulation and satellite technology.

City councils are besieged with franchise requests. In Los Angeles, 10 cable franchises have been awarded to eight companies in different areas; bids for three more franchises are being evaluated and one franchise awaits bidding. Some cable operators are being wooed by hopeful corporate buyers. The industry has attracted such well-heeled investors as American Express Co. and media giants Time New York Times Co.

and Times Mirror publisher of The Los Angeles Times. In a single week in July, the media company Capital Cities Communications Inc. said it would pay nearly $140 million for Cablecom-General, the 14th largest cable operator, and New York Times Co. disclosed its commitment to pay up to $119.2 million for 55 cable franchises in New Jersey. Big Money and Big Questions With big names and big money snapping up small cable systems, some questions are being asked with intensifying interest Who is going to wind up owning the cable systems and the programming? What kind of programs will the subscriber get? How will free television be affected? And could cable itself someday be eclipsed by other technologies? Almost anyone can own or operate a cable system if he wins a franchise from a local government authority.

Only the broadest net-Please Turn to Pace 22, Col. 1 191 IRANIANS RELEASED AFTER GIVING NAMES Frwn ThnM Wirt StrvkM WASHINGTON-A11 but one of the 192 Iranian demonstrators held in federal prisons in New York State were released Tuesday night after they broke a 10-day silence and gave U.S. immigration agents their names. The decision by the U.S. Immigration and Naturalization Service to free the supporters of Iran's Ayatol-lah Ruhollah Khomeini came after immigration officials verified that the protesters had given their correct names and that they were in this country legally.

Their release removes what in recent days has become a major Iranian propaganda claim that the jailed Iranian demonstrators were no different from the American hostages who were seized by Iranian militants in Tehran on Nov. 4. This claim was coupled with a Please Turn to Page 13, Col. 1 Pay TV Company Loses Bid to Stop Decoder Makers By RONALD L. SOBLE TWnw Stuff Writer A blow was dealt to the pay television industry in California when a federal judge dismissed a complaint against several electronics firms and individuals producing components and kits designed to decode pay TV signals.

Seeking to stop the mounting sales of pay TV decoder units was Glendale-based National Subscription Television, more commonly known as ON TV, which has almost 300,000 subscribers in the Los Angeles area. The company, a subsidiary of Oak Industries of San Diego, is the most successful pay or subscription TV firm in Los Angeles, the nation's biggest pay TV market. No Decoding Monopoly In handing down his decision Monday, U.S. Dist Judge Lawrence T. Lydick pushed aside the contention of ON TV's lawyers that the federal Communications Act of 1934, the nation's basic law governing broadcast transmissions, prohibited interception of its scrambled signals.

In addition, concluded Lydick, he could not rule that ON TV had a monopoly on decoding its signals simply because it had a Federal Communications Commission license to transmit those signals. "The granting of such monopolies is the province of Congress, which is charged with regulation of the airwaves in the public interest, and not this court," said Lydick. How important was Lydick's decision? It depends on which side of the issue the lawyers are on. "It's very important," said Kenneth J. Golden, a Westminister law-Please Turn to Page 5, Col.

1 4 mm? 1" 1 r. normally a softballer, tries a round Ga. The President's brother played scores were somewhat higher. Atsocliltd Prt photo black progress today an economy in recession," Reagan said. He reminded his predominantly black audience that, to many persons, "conservative has come to mean anti-poor, anti-black and anti-disadvantaged." But, he added, "I believe it's time to look beyond the labels.

If you think of me as the caricatured conservative, then I ask you to listen carefully and maybe you'll be surprised by our broad areas of agreement" Reagan is appealing to black voters, who traditionally side with Democrats, in a series of meetings and appearances this week. And he and his staff considered the Urban League speech to be the cornerstone of his effort. His reception was respectful and he was interrupted several times by polite if not enthusiastic applause. Erma Davis of Peoria, 111., a delegate to the league's convention, said she had her fingers crossed, hoping Please Turn to Page 7, Col. 1 OBSERVERS SAY IT ft.

pi Siiiiiillls Reagan Tells Urban League His Plans to Revivify Cities By WILLIAM ENDICOTT Timti Staff Writer 300 delegates more than the 1,666 convention majority he needs to win the nomination. But if Kennedy forces and other open convention advocates can defeat the proposed rule, the delegates will be free to vote for whomever they please on the nomination roll call scheduled for Wednesday night. The Kennedy forces hope to take maximum advantage of that potential opportunity in the platform debate on the economy, the issue on which they believe the President to be weakest Under the agreement, the debate on the economic planks of the platform will start at 7 p.m. EDT Tuesday and last for two hours, thus reaching evening television audiences in most of the country. Please Turn to Page 7, Col.

3 Death Toll From Hurricane Allen Climbs to 20 From Timn Wirt Sonrioti KINGSTON, Jamaica Hurricane Allen, the third strongest Caribbean storm on record, smashed Haiti's mountainous southwest coast with winds Tuesday night, then bore down on Jamaica, already being lashed with gale-driven rains. Allen has killed 20 people, 17 in a devastating blow to the resort island of St Lucia and three on the Dominican Republic's Barahona Peninsula. Forecasters said it would "bring devastation to any land it hits." The eye of the storm passed within 10 to 20 miles of the Haitian coast Tuesday, and the U.S. National Weather Service reported at 3 a.m. EDT today that Allen was centered about 40 miles northeast of Kingston and just off the island's northeast tip.

It said the hurricane was expected to continue toward the west-northwest at about 20 m.p.h. Coffee Crop Ruined An official at the Agricultural Ministry in Port-au-Prince said it was believed that the coffee crop, a major source of income for Haiti, has been virtually destroyed. Jamaica was expected to receive the full force of the hurricane today, and Prime Minister Michael N. Manley went on national radio and television Tuesday night, urging residents in low-lying areas to "move out now." He added, "I ask for God's blessings for this night." Thousands of tourists vacationing in Jamaican hotels in Montego Bay and Ocho Rios were evacuated late Tuesday when it became apparent Please Turn to Page 12, Col. 1 dealers.

To compete, branded dealers are taking cuts in their margins. Industry observers caution that the slump in gasoline prices is only temporary. As the world economy recovers from the recession and oil-exporting countries continue to curb production, demand will tighten against supply and prices will resume their rise. But recent predictions of gasoline by December have been scaled back significantly. Barring any unforseen calamity in the world oil market analysts say, the price of gasoline will hit no more than $1.35 a gallon by the end of the year.

Part of the previously forecast increase was based on President Carter's plan for a 10-cent-a-gallon import fee, subsequently killed by Congress, but many analysts have shaved a nickel more from their predictions since then. Please Turn to Page 19, Col. 1 WASHINGTON Sen. Edward M. Kennedy Tuesday won concessions from President Carter's campaign organization crucial to his lingering hopes of winning the presidential nomination at next week's Democratic National Convention in New York.

In a compromise agreement, the Massachusetts senator obtained better scheduling of floor debates on the controversial open convention issue and also on economic planks in the party platform. In return, Kennedy strategists agreed to set aside a number of less-important disagreements with Carter on issues and procedure that would have caused considerable delay and divisiveness if they were aired on the convention floor. The agreement, reached after weeks of haggling, was announced at a joint press conference by Carter and Kennedy campaign leaders. One -Hour Debate Under the agreement the convention will open at 4 p.m. EDT next Monday.

The debate on a proposed rule, backed by the Carter forces, which would require delegates to vote for the candidate they were elected to support, will begin at 6:30 p.m. EDT and last for an hour. Initially, the Carter forces had proposed starting the convention earlier in the day. This would have disposed of the so-called open convention rule issue before the big evening television audiences in the East turned on their sets. The Kennedy forces wanted the later time mainly so they would have more opportunity to persuade delegates supporting Carter to oppose the rule.

Adoption of the rule would make Carter's renomination automatic, since he has pledged to him about U.S. PROPOSES BILINGUAL SCHOOL RULES By LEE MAY TliDft Staff Writer WASHINGTON For the first time, the government on Tuesday proposed regulations designed to show local school districts how to comply with the civil rights law prohibiting discrimination against students who do not speak English. Education Secretary Shirley M. Hufstedler said the regulations would "take the fuzz" out of policies governing bilingual education in the nation's 16,000 school districts. Since the Civil Rights Act of 1964, federal officials have said that language discrimination is illegal in schools receiving federal funds.

The Supreme Court agreed in a 1974 decision. But, Hufstedler said, the regula-Please Turn to Page 11, Col. 4 WON'T LAST The slump in gasoline prices is due to a glut of gasoline that has been building since the beginning of the year, when demand for crude oil and petroleum products continued to fall despite adequate supplies. With inventories at record levels, unbranded dealers are picking up the surplus supplies at reduced prices and are underselling branded THE WEATHER National Weather Service forecast Fair today and Thursday with variable high clouds and patchy fog late night and midmorning hours. Highs near 87 today and near 90 Thursday.

High Tuesday, 84; low, 70. High Aug. 5 last year, 88; low, 65. Record high for Aug. 5, 97 in 1884; record low, 52 in 1887.

Complete weather details and smog forecast In Part III, Page 13. NEW YORK Ronald Reagan outlined his plans to "reindustrialize the cities" and put blacks to work Tuesday and denounced as false "the perceived barriers between my political beliefs and the aspirations of black Americans." The speech to the National Urban League was designed not only to court blacks but to temper moderate and liberal voters' image of Reagan as a reactionary. The Republican presidential nominee was warmly received by the Urban League delegates, but three hours later, during a visit to a gutted South Bronx neighborhood, he got into a shouting match with poor blacks and Hispanics. Rubble-Strewn Lot Reagan spoke on the same rubble-strewn lot where in 1977 President Carter had promised a massive infusion of federal aid for a redevelopment program that never got off the ground. In his Urban League speech in a mid-Manhattan hotel, Reagan said that "black Americans don't lack capability, they lack opportunity.

Given adequate opportunities, black Americans can be as successful as anyone else in this country." He made it clear that, in his view. those opportunities are best afford ed by Republicans and the free en terprise system and not by Democrats and government programs. "I believe the policies of the Democratic Party leadership during these past four years have produced the single most dangerous threat to FEATURE INDEX ART. Calendar, Page 2. ASTROLOGY.

Part II. Page 3. BOOK REVIEW. View, Page BUSINESS. Part IV.

CALENDAR. Part VI. CLASSIFIED. Part VII. COMICS.

View, Page 7. CROSSWORD. Part VIL Page 22. DEAR ABBY. Part II Page 2.

EDITORIALS, COLUMNS. Part Pages 4,5. FILMS. Calendar, Pages 1-6. METROPOLITAN NEWS.

Part DL MUSIC. Calendar, Page 1 6. SPORTS. Part DX STAGE. Calendar, Paget 1, 6, 7.

TV-RADIO. Calendar, Pages 1, 8-10. VIEW. Part V. WEATHER, DEATHS.

Part EL Page 13. Coastal Commission OKs Conflict of Interest Code Gasoline Prices Fall as Inventories Rise By MIKE GOODMAN TImms Staff Writer By LYDIA CHAVEZ TIrim Staff Writer For the first time since the January, 1979, overthrow of the late Shah Mohammed Reza Pahlavi of Iran sent world oil prices soaring, there has been a significant break in the price of gasoline. Since April, gasoline dealers in the Southland have trimmed prices by 3 cents a gallon for self-service regular to an average of $1.22 and by 2 cents a gallon for self-service unleaded to $1.28, according to the Lundberg Letter, which surveys more than 14,000 stations across the country each month. While the average price of all grade of gasoline has slipped only half a cent to about $1.23 a gallon nationwide, an increasing number of pockets can be found where dealers are waging price wars that enable motorists to pay as little as $1.14 a gallon for regular. SAN FRANCISCO The California Coastal Commission Tuesday became the first state agency to permanently adopt a conflict-of-interest code governing campaign contributions.

The regulations essentially would prohibit commissioners from voting on a construction permit if they received a campaign contribution of more than $100 from a permit applicant or from someone with a clear interest in that applicant's proposed coastal project The rules approved Tuesday replace a temporary conflict-of-interest code adopted by the commission in ApriL Commission officials said the regulations resulted from disclosures in The Times last March that four South Coast regional commissioners raised about $200,000 from people who appeared before them seeking construction permits. Commission Chairman Lenard Grote said Tuesday that while the disclosures in The Times did not reveal actual violations of law, the new regulations were necessary "to preserve the appearance of fairness." Grote said the commission had to take "extraordinary precautions" to assure permit applicants that they are all getting the same treatment But the commission's decision was not unanimous. Three of the 10 commissioners voted against the campaign contribution regulations. The three dissenters John Rush, the former mayor of Camaril-lo; Dorill Wright mayor of Port Please Turn to Pace 24, CoL 4 I.