On November 5, 1985, the Llano Broadcasting Co. (owned by Round Mountain-based judge A.W. Mousund and his wife, Mary Mousund, who later renamed the licensee Horseshoe Bay Centex Broadcasting Co.) filed an application with the Federal Communications Commission (FCC) for a license and construction permit to operate a commercial television station on UHF channel 14. On July 10, 1986, the Mousunds received approval to assign KLNO (in reference to its city of license, Llano) for use as the television station's call letters.