New FCC order limits local and state authority over cable companies, possibly endangering public access channels - Entrepreneur Generations

A recent Federal Communications Commission order that limits state and local authority over cable companies could endanger the existence of public access channels, which help keep rural residents informed about local goings-on such as city council and school board meetings.

"The order, which has been under consideration for months, spurred thousands of comments. State and local leaders told the agency that it could jeopardize the public access stations that communities count on to get out local news, religious services and emergency broadcasts, as well as 'institutional networks' (I-NETs) that many municipalities use to provide cable, phone and internet services to government buildings," Laura Maggi reports for Route Fifty.

Local or state governments can charge cable providers a franchise fee of up to 5% of television service gross revenues. The new order allows companies to deduct from those fees the fair-market value of in-kind services that many provide as part of their agreements, including public access channels, discounts for seniors, and the I-NETs, Maggi reports. The measure passed 3-2, with both Democratic commissioners voting against.

"In another part of the order, the FCC says local and state governments can’t regulate the broadband networks being rolled out by cable companies, which are an increasingly large component of their businesses," Maggi reports.
FCC Chair Ajit Pai argued that reducing the regulatory burden on cable companies will help them expand broadband service, and that the savings will be passed on to customers. But Angelina Panettieri, the principal associate for technology and communications for advocacy group the National League of Cities, noted that the order doesn't require providers to spend the savings on network buildout or price reduction, Maggi reports.

Another Republican FCC commissioner, Brendan Carr, said he supported the new measure because some local governments have "taken advantage" of cable companies by making them provide free service to "municipal liquor stores and government-owned golf courses," Maggi reports.

from The Rural Blog https://ift.tt/2ZsGGCn New FCC order limits local and state authority over cable companies, possibly endangering public access channels - Entrepreneur Generations

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