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story category Town Waives Franchise Fees To Counter Cable Hikes
Highland, PA tells Comcast to stop paying...
(old news - 06:31PM Thursday Apr 12 2007)
tags: prices · business · cable · Oddities
Tipped by jslik See Profile
Here's something you don't see every day: In response to Comcast rate hikes and removal of some basic channels, the township of Highland Pennsylvania has told Comcast the town will no longer collect franchise fees in order to give residents some cable bill relief. The township typically made between $4,500 and $5,000 a year off the fees, but is "financially secure" so they no longer need to charge them.

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Forums » Town Waives Franchise Fees To Counter Cable Hikes
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dynodb
Premium,VIP
join:2004-04-21
Minneapolis, MN

Wow

Meanwhile, flying pigs have crashed into the Empire State Building, and Hades got a foot of snow this afternoon.
Nightwchtr

join:2001-09-10
Falls Church, VA

Re: Wow

LOL thats a good 1

BuggyBoyOKC
Obama 2008

join:2000-11-19
Yukon, OK
Hell, i'm IN my office in the Empire State Building.. Don't say such scarey things! I don't need one laying dead on my desk!

Siryak

join:2005-11-26

Re: Wow

Bacon!!!!

Lol this has got to be a first though!!!

KrK
Heavy Artillery For The Little Guy
Premium
join:2000-01-17
Tulsa, OK
I Smell Bacon! LOL

KrK
Heavy Artillery For The Little Guy
Premium
join:2000-01-17
Tulsa, OK

Re: Wow

WOW.... 2 secs apart... You beat me 2 it! lol

David
Last man standing
Premium,VIP
join:2002-05-30
Granite City, IL
clubs:
·AT&T Midwest


edit:
April 12th, @11:58PM

said by KrK See Profile :

I Smell Bacon! LOL
Baaaaaaaaaaaaaacccoooooonnnnnnnnn!!!!!

»video.google.com/videoplay?docid···93045815
elister

join:2006-07-17
Seattle, WA

Dont like the rate hike? Have the FCC mandate for cable companies to negotiate long term contracts with the cable programers. No service provider, be it hard wired cable or dish based can escape yearly rate hikes. At this rate, expanded basic will cost 100$ a month in 20 years. In order to prevent rate hikes and keep costs down, companies need to be allowed to do 5-10 year contracts.

bentman78
Bentley

join:2004-04-16
Arlington, VA
·Comcast

Re: Wow

Have the federal government stick their nose in small town business...no thanks.

This town did it right.
--
"I hate conservatives, but I really hate liberals." - Matt Stone
»www.reason.com/
elister

join:2006-07-17
Seattle, WA

Re: Wow

This would affect all cable services across the nation if cable programmers were forced to sign long term contracts with cable companies.

bentman78
Bentley

join:2004-04-16
Arlington, VA

Re: Wow

it's also not what the FCC was created for.
BF69

join:2004-07-28
Camden, TN

said by elister See Profile :

At this rate, expanded basic will cost 100$ a month in 20 years.
A 2% yearly increase in wages will equate to a 48.5% increase in wages in 20 years. So even if basic cable goes up from $50 to $100 it will all equal out.

Also in 20 years things will be so different I doubt prices get that high do to technology improvements and increased competition and the internet.

KrK
Heavy Artillery For The Little Guy
Premium
join:2000-01-17
Tulsa, OK
·Cox HSI
·AT&T Southwest

Re: Wow

said by BF69 See Profile :

A 2% yearly increase in wages will equate to a 48.5% increase in wages in 20 years. So even if basic cable goes up from $50 to $100 it will all equal out.
Huh? How you figure that? Given your example, wages increased almost 50% but basic cable prices increased 100%

For it to "equal out" as you say your pay would have to have doubled. The way inflation, new expenses, and taxes work in the USA if you don't make 4% more every year you're actually losing ground.

Think about it. Doesn't sound so dramatic, does it? But what that means is after 10 years, you need to be *clearing* 40% MORE take home pay then what you made 10 years ago--- just to break even! And that's only counting average inflation. If you throw in dramatically increasing costs like Medical expenses, Tuition costs, insurance rates, and in the 2000's, energy prices, you'd really have to have increased your income by a lot more then that---- JUST to stay even.
--
"Regulatory capitalism is when companies invest in lawyers, lobbyists, and politicians, instead of plant, people, and customer service." - former FCC Chairman William Kennard (A real FCC Chairman, unlike the current Corporate Spokesperson in the job!)

KrK
Heavy Artillery For The Little Guy
Premium
join:2000-01-17
Tulsa, OK
·Cox HSI
·AT&T Southwest

Small town, financially secure....

Surprising... nice change. I'm sure it's a small place, I mean if their total franchise fees are $5000 a YEAR it can't be a big place.

Still it's refreshing to see the attitude of "Well we don't need it, let our residents keep it." Just goes to show that often your local government is often a lot more responsive.
--
"Regulatory capitalism is when companies invest in lawyers, lobbyists, and politicians, instead of plant, people, and customer service." - former FCC Chairman William Kennard (A real FCC Chairman, unlike the current Corporate Spokesperson in the job!)

morbo
Complete Your Transaction

join:2002-01-22
00000
clubs:

Re: Small town, financially secure....

it is refreshing. hopefully most of the customers choose dish and then tell comcast to take a hike.

nekote

join:2000-12-16
Hopkinton, MA

Gotta be one odd town!

I was curious what made their little town "financially secure".
Didn't spot that info nugget, yet.

But, kinda' weird town.
86.9 sq. mi. - 654 houses (217 occupied: 196 owner occupied, 21 renter occupied)

Only 1/3 of the homes are occupied????

97 mobile homes.

Median price asked for vacant for-sale houses in 2000: $28,300

AVERAGE (!) price $28,300 for a home (in 2000)!!!

509 residents = $10 / year per resident "franchise fee" ?

What is up with this town???
--
Government is like fire - a dangerous servant and a fearful master - George Washington

Democracy is the worst form of government, except for all other forms of government. - Winston Churchill
Grumpy_in_PA

join:2004-04-12
Camp Hill, PA

Re: Gotta be one odd town!

My guess is that right around deer season all those homes are occupied.

MxxCon

join:1999-11-19
Brooklyn, NY
clubs:

more hassle?

town's gov't tried to do a good thing, but now image the hassle everybody will have to go through every month because incompetent comcast will continue to charge them franchise fee
--
[Sig removed by Administrator: Signature can not exceed 20GB]
Pictor Guy

join:2004-06-21
Ashburn, VA

Re: more hassle?

said by MxxCon See Profile :

town's gov't tried to do a good thing, but now image the hassle everybody will have to go through every month because incompetent comcast will continue to charge them franchise fee
They will stop collecting the franchise fee and change the name to "local service fee."

KrK
Heavy Artillery For The Little Guy
Premium
join:2000-01-17
Tulsa, OK
·Cox HSI
·AT&T Southwest

Re: more hassle?

said by Pictor Guy See Profile :

They will stop collecting the franchise fee and change the name to "local service fee."
Ha. "Cost recovery fee to cover costs of non-collection of Franchise Fee"

"We had to reprogram our billing software settings. That cost us $2 million dollars so we'll spread the cost of not collecting the Franchise fees to the customers. Each customer will see a fee increase of $4 a month" lol
--
"Regulatory capitalism is when companies invest in lawyers, lobbyists, and politicians, instead of plant, people, and customer service." - former FCC Chairman William Kennard (A real FCC Chairman, unlike the current Corporate Spokesperson in the job!)

jslik
That just happened
Premium
join:2006-03-17
clubs:
...or in the next round of rate hikes they'll raise this town's rates whatever the fee was. Comcast will get their money one way or another.

ninjatutle

join:2006-01-02
San Ramon, CA

Do the residents a real favor

by telling Comcast to take a hike.
xrobertcmx
Premium
join:2001-06-18
Sterling, VA
clubs:

edit:
April 12th, @08:00PM

Not a good idea

So, what happens next? Areas not previously facing a rate hike will see one, and Comcast will tell them sorry, but you can always drop the franchise fees.
--
Retaking our country one election at a time.

BillTager

join:2000-09-20
Charlotte, NC

Re: Not a good idea

Great for customers, but does this really hurt Comcast if all they did was pass on the collected fees to the city?

Unless I'm missing something, this doesn't force Comcast to reconsider the fees they charge, or their channel lineup.
--
Formerly DSLWho

jslik
That just happened
Premium
join:2006-03-17
clubs:

Re: Not a good idea

said by BillTager See Profile :

Great for customers, but does this really hurt Comcast if all they did was pass on the collected fees to the city?

Unless I'm missing something, this doesn't force Comcast to reconsider the fees they charge, or their channel lineup.
You are correct. If anything, the town is saving Comcast more money as now they don't have to collect the fees. The only rate impact going forward will in all likelihood be slightly higher rates than surrounding towns so Comcast will keep that fee amount.
Eric Martin

join:2005-06-19
66308

How to fight big cable/phone co's.

1.Create a muni Wimax MESH-network system for internet.

2. Go back to SATELLITE DISHES. The OLD ones. Seriously. Subsidize them, dish & receiver.

They will sh** their pants. Satellite = The ANSWER. Installing a munifiber would too but might expensive.
ashworth

join:2001-10-06
Pittsburgh, PA

Dumb Policy

This must be a communist community giving back money that is rightfully theirs for the better good of others. The cable provider is going to raise rates anyway, so why save your constituents $3-5.... I thought this was the USA.

Phattieg

join:2001-04-29
Jacksonville, FL
·Verizon Wireless B..
·Sprint Mobile Broa..

Awesome!!!

Well it's about time the franchise agreement fees were eliminated. Why should the consumer pay the city for the cable companies service. Afterall, it was the cable company who applied for the permits and right of way to lay their equipment around town. And the cable company isn't getting free power for the node and amplifier equipment. So in the end the consumer is getting screwed by the city, who charges and collects property tax too. I wonder if there will still be a FCC user fee... ::sighs:: Ahh greed.
Hooper
Premium
join:2001-10-22
Villanova, PA
·Verizon FIOS

Welcome to Highland Twp....

Population: 509
Notable locations in this township outside city limits:
Streams, rivers, and creeks: Crane Run, Coon Run, Chaffee Run, Threemile Run, Bloody Run, Pigeon Run, Martin Run.

»www.city-data.com/township/Highl···-PA.html
tmc8080

join:2004-04-24
Floral Park, NY

it's comca$tic

You'd think a move such as this would ultimately help the consumer, but not likely.. if anything it will make the cable company more greedy.. they don't care whether the pig trough is at the consumer side or the town excise side. All it means is that comcast can charge more while making it seem like there was no change or a small increase instead of a big one... ultimately things like this backfire and the backlash will LOSE them customers. Satellite and telco are the winners.

Q: Do subscribers still get their PUBLIC ACCESS CHANNELS (AKA METRO)? Probably not, hehe.
bruce5

join:2003-01-16
Tustin, CA

Open competiton for TV service too?

I wish my city would do that. My local phone service is provided by AT$T. They and Verizon are beginning to offer a really high bandwidth path in selected cities and they're attempting to compete with the cable company by providing digital TV over the phone lines. They refuse to pay franchise fees, and simply don't plan to offer the service in communities that insist on a franchise fee.
Forums » Town Waives Franchise Fees To Counter Cable Hikes


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