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Background
Your local franchising authority (LFA)
regulates the rate your cable company can charge for basic
services programming and your cable company determines the rate
you pay for other cable programming and services, such as premium
movie channels and pay-per-view sports events.
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How Cable TV Rates Are Regulated
Your local franchising authority
(LFA) -- the city, county, or other governmental
organization authorized by your state to regulate cable
television service -- may regulate the rates your cable
company charges for the basic services tier. The
basic services tier must include most local broadcast
stations, as well as the public, educational, and
governmental channels required by the franchise agreement
between the LFA and your cable company. If the FCC finds
that a local cable company is subject to “effective
competition” (as defined by Federal law), the LFA may not
regulate the rates it charges for the basic services tier.
The rates charged by certain small cable companies are not
subject to regulation. They are determined by the
companies.
Your LFA also enforces FCC
regulations that determine whether a cable operator’s
basic services tier rates are reasonable. The LFA reviews
rate justification forms filed by cable operators. Contact
your LFA if you have any questions about basic service
tier rates. |
Non-Regulated Rates
The rates for any tier of service
(other than the basic services tier) and for any pay-per-channel
programming (i.e., a premium movie channel) and pay-per-program
services (i.e., a pay-per-view sports event) are not regulated.
Your cable company is free to charge any rate for these services.
However, your cable company may not require you to purchase
any additional service tier other than the basic services
tier in order to have access to pay-per-view events or premium
channels offered on an “a la carte” or individual basis. On the
other hand, there is no law that requires cable companies to offer
channels or programs on an “a la carte” basis.
Your LFA also is authorized to enforce FCC
rules and guidelines in the following areas:
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customer service, for instance
complaints about bills, or a cable operator’s response to
inquiries about signal quality or service requests; and
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franchise fees, which the cable
company pays the LFA for the right to access public rights of
way to offer cable service.
LFA Certification
Before it can regulate basic services tier
rates, your LFA must be certified to do so by the FCC. The LFA
must prove that it:
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has the legal authority and the personnel
necessary to regulate rates;
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will adopt rules consistent with FCC rules
governing the basic services tier; and
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will adopt procedural rules providing for
notice and comment in rate regulation proceedings.
The LFA’s certification becomes effective 30
days after it is filed with the FCC, unless it is denied. The LFA
must then adopt the necessary rate regulation rules within 120
days of certification.
What to Expect from Your LFA and Cable Company
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When the LFA regulates basic services tier
rates, it should review any basic services tier rate increases
to determine whether they are justified by increases in the
cable company’s programming or other costs. Questions concerning
this review process should be directed to the LFA.
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You are entitled to write or call your
cable company whenever you have complaints about cable services
provided or program cost increases. You should expect a speedy
response.
Complaints or Questions?
Contact your LFA with complaints or questions
about customer service, basic services tier rates, or franchise
fees. The name of your LFA is found on your cable bill or in your
local telephone book.
Contact your cable company with complaints about rates
for tiers of service other than the basic services tier and for any pay-per-channel
programming and pay-per-program services, because these rates are not subject to regulation.
If you are not satisfied with your cable
rates, look for alternative multichannel video programming
services that may be available in your area, such as competitive
cable services, satellite television services, and open video
system services.
You can also contact your local and state
consumer protection organizations for assistance in understanding
your rights and responsibilities as a cable subscriber.
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For More Information
For more information about cable
regulation, visit the FCC’s Media Bureau Web site at
www.fcc.gov/mb/facts/csgen.html. For information about
other communications issues, visit the FCC’s Consumer
& Governmental Affairs Bureau Web site at
www.fcc.gov/cgb, or contact the FCC’s Consumer Center
by e-mailing
fccinfo@fcc.gov; calling 1-888-CALL-FCC
(1-888-225-5322) voice or (1-888-835-5322) TTY; faxing
1-866-418-0232; or writing to:
Federal Communications
Commission
Consumer & Governmental Affairs Bureau
Consumer Inquiries and Complaints Division
445 12th Street, SW
Washington, DC 20554.
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Federal Communications Commission
