I was taking courses in Old English, Victorian Literature, Fiction Writing, and for some reason Chinese, working in the dormitory cafeteria, listening for gay subtext songs on the radio, and reading the Gayellow Pages, so I didn't have much time for tv. In 1982-83, I watched a few old-standby sitcoms: The Jeffersons, One Day at a Time, Alice, Taxi -- plus The Powers of Matthew Star (with Peter Barton, left) and Madame's Place (1982-83).
Gay actor and puppeteer Wayland Flowers (1939-1988) began voicing Madame in the 1970s. She was a new twist on the drag queen persona, an elderly former movie star who had a potty mouth and told outrageous stories about her exploits with men.
Baby Boomers used to thinking of the older generation as skittish, easily-scandalized, and sexually repressed found Madame's bawdy humor mesmerizing, and soon she became the most famous puppet since Charlie McCarthy.
There were no references to gay people, but it was easy to imagine Madame as an aging drag queen. In fact, it was expected.
It's not on DVD, but you can see clips on youtube.
Wayland never actually came out, for fear that a public statement would end his career.