This is a mobile optimized page that loads fast, if you want to load the real page, click this text.

Senators Introduce Bill on Cable Franchising Issue

Sean Mota

SatelliteGuys Master
Original poster
Supporting Founder
Sep 8, 2003
19,039
1,739
New York City
From Tvweek.com


By Doug Halonen
In a boon to the telephone industry, Sens. John Ensign, R-Nev., and John McCain, R-Ariz., on Wednesday introduced legislation that would allow phone companies and incumbent cable TV operators alike to offer TV services without having to get local or state cable franchises. The phone companies have complained that local franchising obligations have stymied their efforts to compete with incumbent cable TV operators.

If the legislation becomes law, local franchising obligations would be scrapped for everyone, with all players on the same playing field. Under the bill, cable TV operators and phone companies would still be required to pay fees of up to 5 percent of their revenues to local governments. All players would also have to meet a variety of other obligations cable TV operators currently face, including a requirement that they carry the signals of local TV stations.
 
Some of my sources say this bill has a very very good chance of making it. I've also been told that this bill does contain more regarding HDTV than that article states.

Part of that bill states that cable must carry both the analog and HD feeds that a broadcast network offers but if the broadcaster can't work out a deal with the cable company or vice versa within 6 months a deal would be made for them by another party within 1 month. This allows a company to try and get more but stops a company from going crazy.

So the above would have prevented the NBC and CBS HD crap with Bright House Networks in the Tampa Bay Area. In this case NBC didn't work out a deal for over three years because of first money and second multicasting so if this bill was in place we would have lost out for no more than 8 months instead of over three years. With this bill the day after 6 months passes both the cable company and/or the broadcast network can ask for a deal to be made by a third party at which time they would have 72 hours to work out a deal before its out of their hands.
 

i like this idea.
 
riffjim4069 said:
Status and Summary for S.1504 - the text of the proposed legislation has not been posted...yet.

If you talking about my post above just remember I have access to a DirecTV exec who has access to a Fox exec and lets just say that Fox might want this thrown in for their benefit. If the FCC stops them from playing hard ball without a bill than maybe DirecTV would like a bill to stop any company from doing the same stuff they are banned from doing.
 
From what I have understood there maybe a Federal tax which would be the same across the board for everyone, without any fee going to local government. either way, I just weather not have the franchise fee in place at all. If cable has to pay it then DirecTV and Dish should have to pay it too along with phone. Argument for years is that DirecTV and Dish doesn't use public ride of way so therefore they shouldn't have to pay it. My question is, how do you think they are able to offer locals? Fiber which runs in what? Right of Way.
 

Um, I think you're a tad confused here. DirecTV and Dish offer local channels entirely via satellite. The TV station *might* have a fiber connection to a DBS uplink facility, but that is not considered a right of way.

As for the phone companies, they already paid (in some fashion) for their right of way when they originally installed their copper phone lines. If they were somehow able to offer video services over the POTS system, then they could possibly argue that they shouldn't have to pay any video franchise fees at all. In any event, they seem perfectly willing to pay the same fee that the incumbet cable system pays. This legislation is to avoid having to file thousands of franchise applications around the country. It also prevents local governments from gouging Verizon by requiring a fee that is greater than what the cableco pays.