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Keep It Local Website for information about the Verizon Bill in Massachusetts. Contact your legislators from here.

Ten reasons the Verizon Bill should be stopped: Ten Reasons

Telecommunications Bills Threaten Public Access

February 13, 2007

As we follow the continuing saga of Verizon’s full frontal assault into the video market, the multi prong, never ending push to change the “playing field” goes on.. Verizon has, over the last few years, been instrumental in attempting to change the way cable franchising has been done for the last 30 years.
The model of cable providers negotiating with local municipalities for their use of public rights of way and then providing compensation by franchise fees and support for public, educational and government (PEG) access channels, has been successful for all concerned. Cable has seen constant and steady growth in their bottom line with an average of 5 to 7% increase every year. PEG access facilities have flourished and serve their communities well and municipalities benefit by having local accountability in customer service and support. In short, the system works.


Verizon has entered the market promoting “consumer choice and competition of cable service” and claims this will bring lower cable rates. They claim a distinct disadvantage if required to negotiate with every city and town in which it offers cable service and wants a state or nationally issued franchise. Verizon claims the process is cumbersome, unnecessary and blocks completive entrance into the marketplace.


They want a “one-size-fits-all” license and have worked at every level to “get ‘er done.”


Everyone wants cable competition. The current laws permit competition and ensure local control over the public rights of way, and that cable systems are responsive to the particular needs and interests of each unique municipality. While claiming that the local franchising process is burdensome, Verizon has already successfully negotiated and signed 38 franchises in the Commonwealth. If Verizon would substantially match the contractual obligations of incumbent cable providers, most communities would gladly expedite the granting of a franchise. In many cases, Verizon has been unable to build out cable systems to keep pace with towns and cities wanting to accelerate the licensing process and at this time, there are no plans to deliver service to Somerville.


Verizon has worked to institute national legislation with House and Senate bills and FCC policy changes to insure they have an easier entry into the video delivery market with rules that let them provide less to communities while insuring even greater profits. This effort is ongoing.
In Massachusetts, this past summer, Verizon proposed rulemaking changes to the Department of Telecommunication and Energy to reduce the amount of time to only 90 days that a municipality had to grant or refuse franchise approval. This met with an overwhelmingly negative response among the cable advisory committees, selectmen, town administrators, municipal leaders, state representatives and public access leaders testifying. Alicia Matthews, chairman of the Commonwealth’s Cable Division was so overwhelmed with the volume of testimony against the proposed rulemaking changes. Representatives of Massachusetts access centersI testified on the detrimental effects this would have to community communication, PEG access facilities, and local municipalities.


The biggest threat to date is happening right now with the introduction of the new Verizon proposed state cable licensing bill to eliminate local franchising. Although not assigned a regular bill number yet, the bill can be accessed at the Statehouse as Senate Docket 1987, sponsored by State Senator Steven Panagiotakos of Lowell.


The highlights (or lowlights) of the bill include an incredibly short 15 day period for state level review and approval, elimination of existing per subscriber franchise fees that goes to the state and local municipalities (although there is some % of gross to be determined “by ordinance”), no possibility for capital dollars for PEG, no consideration for local INETS and limiting the number of cable channels depending on town population.


Verizon’s proposal is bad for our towns and would adversely affect municipal communications and public access television. This bill is written in the interest of one corporation, Verizon, and will surely not serve the consumers in this state.


There is much discussion and collaboration among groups such as Mass Access, Massachusetts Municipal Association, Comcast and Mass PIRG in stopping this destructive bill.
Cable television is big business; Comcast has made record profits this year and Verizon would also do well without this special treatment. The public rationale behind all the Verizon bills is “enhanced competition to benefit consumers.” The real motive behind the bills is to give Verizon an advantage in the race for market share, and the negative effect of the bill will be no LOCAL control, diminished free speech, diminished non-corporate speech, and diminished independent political speech. Consumers will be the losers; these bills erode our freedom of speech, limit our voice and threaten our democratic way of life.


Thanks to Terry Duenas, Executive Director of Cape Cod Communtiy TV and Susan Fleischman, Executive Director of Cambridge Community TV for their contributions to this article.

 


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