By Robert C. Kenny | March 24, 2015

In communities across America, local TV broadcasters serve as trusted sources for breaking news, hard-hitting political and investigative stories, and emergency information in times of disaster and severe weather.

It’s the deep commitment of local broadcasters to investigating and uncovering societal wrongs and reporting on tragic and disastrous situations that has earned them the trust of millions of U.S. television viewers.

Local TV broadcasters across the country remain committed to delivering timely, accurate and reliable news and information to their viewers as they strive to meet the standard set decades ago by legendary network anchors.  Local broadcast TV stations KUSA Denver, KXAN Austin, and WDSU New Orleans reached that pinnacle this year as recipients of the prestigious Walter Cronkite Award for Excellence in Television for their compelling storytelling and accuracy in reporting.  Their award-winning broadcasts ranged from spot on election coverage to exposing local political corruption, among other powerfully revealing news stories.

Make no mistake: broadcast television remains at the heart of journalism’s largest public square for informing viewers and continues to make immeasurable contributions to our nation’s strong democratic way of life.

In assessing the news reporting value of Broadcast TV in today’s society, independent studies show that it remains an important part of most Americans’ daily video consumption.  On a daily basis, broadcast TV news continues to trump the largest cable networks in evening news viewership by a significant margin.

At present, nearly 60 million Americans primarily rely on free, over-the-air broadcast TV and more than 100 million paid television subscribers nationwide value access to local broadcast TV through their pay-TV service.

For those that have both pay-TV subscriptions and web-based, video-on-demand services, Horowitz Research reveals that the overwhelming majority of multi-platform viewers “are not ready to give up easy access to broadcast programming,” even with the growing emergence of several over-the-top (OTT) streaming services in the marketplace.

OTT services offer options to all consumers and cater to personal choice, but there are strong early indications in the marketplace that these stand-alone offerings are not going to simply replace Americans traditional television viewing habits.

Moreover, the latest data on millennial (consumers ages 18 to 34 years) viewing habits shows that nearly 30 percent of their viewing time is spent watching live TV and 17 percent streaming video, including broadcast TV content, over their mobile smart devices.  Thus, this generation appears to use the broadband Internet as another video platform to watch their favorite broadcast content.  If done right, OTT offerings will help expand consumers’ ability to access local news programming online.

Consumers clearly value broadcast TV in America irrespective of the technology or viewing platforms used to access it.  Why? Because local and network TV broadcasters are reliable and trusted sources of political and investigative news reporting for viewers on what today remains journalism’s largest public square: television.

For the sake of our democracy and the preferences of U.S. consumers, it’s something Washington’s lawmakers and policymakers cannot simply dismiss or take for granted: the power, reach and influence of broadcast TV news.

In closing, it is only fitting to invoke the signature trademark of Cronkite, who, each night, signed off for CBS Evening News viewers with a simple, but remarkably powerful phrase, “And, that’s the way it is.”

Kenny is director of public affairs for TVfreedom.org, a coalition of local broadcasters, community advocates, network TV affiliate associations and others advocating for preserving the retransmission consent regime. He is a former press secretary at the FCC.

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By Robert C. Kenny | March 4, 2015

In September 2014 TVfreedom.org publicly questioned the American Cable Association (ACA) in a letter about how many of its member cable companies have failed to fully transition to digital technology.  The questions were presented in the context of potential barriers ACA member cable systems might face if they were to implement a cumbersome and relatively expensive à la carte service on their paid television systems exclusively for local broadcast TV channels.

As of this date, we are still awaiting ACA’s response.

Without ACA’s assistance, we understand that hundreds of small cable systems across the U.S. have yet to fully upgrade to digital.

Even as the Federal Communications Commission wrestles with the core questions related to the IP technology transitions across a myriad of communications industries, its own report reveals that more than 200 small cable systems – those with 5,000 to 20,000 subscribers – remain stuck on outdated analog technology to deliver service to their customers.  Furthermore, approximately 400 mid-size and large cable systems, with more than 20,000 subscribers, have yet to migrate to all-digital technology and continue to rely on a hybrid mix of digital and analog technologies.

It’s ironic that the same cable companies who make wildly outlandish claims that broadcasting is “yesterday’s technology” continue to deliver inferior analog service to their viewers years after America’s TV broadcasters completed the full digital television transition across the country.

As members of the American Television Alliance – the Washington pay-TV lobbying machine – ACA’s members have been among the biggest cheerleaders for a 2014 proposal known as “Local Choice” that would’ve drastically changed how broadcast TV is delivered on America’s paid television systems had it become law.  Despite skepticism for the proposal in various Washington circles, ACA continues to seek Congressional help to advance legislation that would permit them to create broadcast-TV-only à la carte channel lineups on pay-TV systems.

While lobbying for the Local Choice proposals in Congress, back home the bulk of ACA’s member cable systems have failed to modernize and offer their subscribers the upgraded 21st Century all-digital technologies necessary to support advanced paid television service.

Oddly, in failing to upgrade their own systems, ACA members face certain financial, technical and operational barriers to implementing the broadcast-only à la carte channel lineups for subscribers they say are so desperately needed.

ACA should set its rhetoric aside and instead provide Washington with some straight talk, especially since its members are in town this week for their organization’s 2015 Annual Policy Summit.

Bottom line: broadcast channel viewers and ACA subscribers deserve specific answers on why ACA member cable companies have been slow to transition to 21st Century digital technology.

Kenny is director of Public Affairs for TVfreedom.org, a coalition of local broadcasters, community advocates, network TV affiliate associations and other independent organizations advocating for preserving the retransmission consent regime. He is a former press secretary at the FCC.

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Is winter over yet? This season has produced some of the most widespread, disruptive weather that the United States has seen in many years.  Bouts of frigidly cold temperatures, snow, ice, slush and everything in between has blanketed the country from top to bottom. In fact, at one point in February, snow was on the ground in all 48 contiguous states.

As this unprecedented wintry weather continues to hit millions of Americans this season, one thing remains abundantly clear: when inclement weather strikes, Americans turn to local broadcasters for storm updates, school closures and potentially life-saving information that only they can provide on a daily basis.

Local broadcast TV stations are just that: local. The value of having a news team on the ground in local communities cannot be overstated when it comes to winter weather. National news sources can and do provide important news and updates relevant to all Americans, but there is no substitute for local reporters and meteorologists who can devote their entire newscast to updating area residents on forecasts, road conditions and school and event cancellations.

In November 2014, Western New York was hit by a crippling lake-effect snow blitz that dropped 7 feet of snow on Buffalo residents in less than one week.  The unprecedented series of deadly snow storms recorded a snowfall rate of six inches per hour, paralyzing communities and causing a 132-mile stretch of the NYS thruway to be shut down for days.

FCC Commissioner and Buffalo native, Michael O’Rielly, praised the dedication and commitment of local broadcasters during their relentless and continuous winter storm coverage last November, saying, “They kept powering through the storm, committing umpteen hours of airtime, and bringing in teams from other parts of the country, making sure they had troops to get out the information.  I was very impressed also with their use of social media — not only were people listening and watching their broadcasts, they were also getting their information out as fast as they could on different media as best they could.”

This winter’s been unkind to New Englanders as well. Boston was continuously hammered by winter storms, ultimately recording more than 100 inches of snow this season. During this inundation of snow, Bostonians turned to local broadcasters to receive updates on what was coming next, and how the city planned to help shovel and remove the unprecedented amount of snow from roads and sidewalks. As the city ground to a halt, local television stations were able to alert area residents to the most important and vital information that would help individuals and families navigate through a city paralyzed by unprecedented snow accumulations.

For example, when Boston Mayor Marty Walsh took steps to shut down the city’s main public transportation arteries – MBTA’s “T” commuter rail and bus routes – local broadcasters were able to inform city residents of cancellations or long delays that could severely impact a worker’s commute, or a suburbanite’s planned route into or out of the city.

As much of the nation watched national news reports on the snowstorms walloping the New England region, Boston’s on-the-ground broadcasters continued to diligently report the news in ways that made life in a frozen city a bit more tolerable. Yet, Buffalo and Boston weren’t the only U.S. regions facing severe winter weather.

Local broadcast TV weathercasters continued their relentless coverage this past weekend with a massive winter storm blanketing roadways in the Midwest and throughout the eastern seaboard – from North Carolina to Massachusetts – with a deadly wintry mix of ice, sleet and snow.

Many southern states that are normally spared from Jack Frost’s fury have been forced to face snow and ice storms in cities and towns that have limited infrastructure for dealing with perilous wintry conditions. As schools close their doors due to winter storms from Louisiana to Virginia, local broadcasters have worked overtime to provide viewers with up-to-the-minute information on closings and delays, and helped to provide information for drivers who may have never driven on icy roads before.

With yet another winter storm sweeping across the US now and expected to hit Chicago, Cincinnati and Boston this week, television viewers in storm-impacted regions can take some comfort in the fact that their local TV stations will provide continuous storm coverage to keep them informed on dangerous travel conditions, school closings and other storm-related developments impacting them.

It is for all of these reasons that we appreciate Congress’ ongoing support of local TV broadcasters, and our elected officials’ awareness of the importance of locally-tailored news. Members of Congress have continued to show support for the vital information and severe weather updates broadcasters provide to their communities.  It is also the reason why Congress originally put laws and regulations in place so that America’s television viewers had access to the lifeline reporting that local TV stations provide– and for this, we are thankful.

Any legislative changes to the rules governing the U.S. video marketplace must take into consideration the irreplaceable lifeline reporting that local TV stations provide to all Americans.  Where would we be without it?

Kenny is director of Public Affairs for TVfreedom.org, a coalition of local broadcasters, community advocates, network TV affiliate associations and other independent organizations advocating for preserving the retransmission consent regime. He is a former press secretary at the FCC

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Americans have long recognized the value of broadcast TV stations and their significant contributions to local communities.

Yet, imagine a world where your primary news source is dominated by national pay-TV networks. A consolidation and concentration of news eliminating the ability of television viewers in small town USA to turn to their trusted local TV broadcasters for breaking news, severe weather updates, school closings and emergency alerts and warnings.

Could this possibly happen?

That’s what’s at stake as Congress looks to modernize the nation’s communications laws for the 21^st century.

It was Congress’ foresight that forged a national commitment and set forth policies to ensure that every American has access to diverse local broadcast TV news and opinions, investigative reporting, timely emergency information and a reliable communications medium capable of airing their opinions and advancing the public interest.

For 75 years, TV broadcasters—as trustees of the public airwaves—have served as first-informers in times of disaster and crisis; often representing the only reliable and trusted source for timely, accurate and relevant local news and information.  Working hand-in-glove with the nation’s public safety officials, local broadcasters are there when Americans seek critical life-saving information.  The power of regional investigative reporting by local broadcasters regarding issues related to health care, consumer fraud and political corruption cannot be dismissed and remains incredibly important to America’s television viewers.

Daily reminders of the irreplaceable value of local broadcast TV are a constant.  This past month, TV reporters risked life and limb to provide 24/7 boots-on-the-ground coverage of several snowstorms that brought bone-chilling temperatures and record-setting snowfall levels to the Northeastern region of the country.  New England has been characterized as the “Ice Box of America” with parts of Massachusetts and Maine recording more than 100 inches of snow in the past month.  Television viewers impacted by these deadly storms were able to stay informed and take actions to ensure their safety.

The inherent value of broadcasters extends beyond lifeline reporting to the very communities they serve.  Local TV stations help create 1.5 million jobs nationwide, contribute more than $730 billion in annual Gross Domestic Product and generate millions annually in fundraising efforts.  A recent fundraiser by Raycom Media-owned NBC affiliates in Mississippi raised $218,000 for long-term rebuilding and recovery initiatives following deadly tornadoes that ripped through the central portion of the state last December.

Univision recently raised $15.5 million in just two days for children with life-threatening or debilitating diseases.  The “Hearts for People” telethon broadcast last December in major cities across the country will help more than 600 children in 38 states.  Examples of these altruistic contributions by broadcasters are endless.

Broadcast TV covered the social unrest following the Ferguson Verdict, and also gave voice to the peaceful political protests that followed in cities across the country.  The public megaphone of broadcast TV helped carry the voice of the community to local governments, creating opportunities for community activists to meet with local city police officials to discuss their public safety concerns.

Investigative reporting by local TV stations is an ongoing commitment and on any given day reporters across the country are working to uncover serious problems that could impact their viewers.  Take for example the recent investigative series by ABC News 7 (KGO-TV) in San Francisco focusing on complaints by Covered California patients who are alleging that the physician networks offered by participating insurance companies are inadequate and are jeopardizing their ability to access quality health care.  The California Department of Managed Health Care is investigating the matter.

Historically, the powerful reach and influence of local broadcast TV has served as a change agent for those seeking to voice their concerns and advance social progress. Given its integral role in American culture, local broadcast TV empowers citizens to stand up for what they believe in and it helps to serve as a bridge between the public and government on the key societal and political issues of the day.

If not for local broadcast TV stations carrying the voice of the community and delivering lifeline reporting to America’s television viewers, then who would serve in this vital role? It is highly unlikely that cable networks could duplicate, with any level of consistency or success, what broadcast TV stations provide to their viewers year round.

As Congress moves forward with its media and video reform agenda, it’s crucial for lawmakers to factor in what’s needed to help advance the principles of localism for the benefit of America’s television viewers.  After all, local TV stations rely not only on advertising sales to sustain their business, but revenue generated from programming deals reached with pay-TV providers to redistribute their content via retransmission consent.

Washington’s pay-TV lobby falsely claims that it’s broadcast TV programming fees that are driving up the cost of paid television service, but in reality these costs remain a small fraction of what customers pay for on their monthly bills.

It’s Congress that will decide whether to allow TV broadcasters to continue to freely negotiate with pay-TV providers for the fair market value of their content.

The ability of local broadcast TV stations to serve our nation’s local communities rests on the existence of viable revenue streams that Congress has traditionally made available to promote local television service.  Compromising the ability of local TV stations to compete for such revenue streams would create a regulatory imbalance that would threaten the unique benefits of localism and ultimately jeopardize the future of local broadcast TV.

Are federal regulators prepared to set a bright regulatory line for their engagement in what today are otherwise recognized as highly successful private business negotiations between companies?  For the sake of local communities across America, let’s hope not.

Kenny is director of Public Affairs for TVfreedom.org, a coalition of local broadcasters, community advocates, network TV affiliate associations and other independent organizations advocating for preserving the retransmission consent regime. He is a former press secretary at the FCC.

See original post on The Hill’s Congress Blog.

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Congress must explore consumer impact before deciding fate of basic tier

By Robert C. Kenny | February 11, 2015

In the coming weeks the US House Energy and Commerce Committee is expected to unveil a comprehensive legislative package of video reforms meant to update the nation’s Communications Act to reflect a modern and robust marketplace that, over the past decade, has been built on a healthy array of digital and high-speed broadband platforms.

The Committee is centering its focus on changes to the regulatory regime for video services that hinge on greater consumer access, choice and affordability to the television programming they prefer to watch through this expanding collection of service options. There is also concern in some sectors of industry that many of the local market rules that now exist to ensure consumers’ access to local broadcast TV programming are “outdated” and in need of an overhaul in today’s marketplace.

Lawmakers, however, as part of the Communications Act update must ask:

Are the current Congressional rules that help advance localism and preserve cable customers’ ability to access local broadcast TV programming at affordable monthly prices beneficial in today’s marketplace? Given the current state of the US video marketplace and consumer trends, the answer is yes.

In addition to the lifeline reporting that local TV stations provide to America’s television viewers 24/7 in times of emergency, there is a legitimate conversation that must be led by lawmakers and policymakers regarding the economic impact that the elimination of the basic tier will have on the millions of US households that today subscribe to cable TV’s most affordable service option.

Moreover, is cable’s push for elimination of this consumer-friendly policy really warranted in today’s marketplace? The answer is no, particularly in light of cable operators’ continued local market dominance over the nation’s video services. One could argue that elimination of the basic tier provision on cable systems would hurt consumers seeking affordable access to broadcast TV stations, particularly in smaller markets.

Today, a single cable company provides service to 50 to 90 percent of all paid television subscribers in one-quarter of all local television markets in the US.

Yet, despite this continued local market dominance, cable operators are urging Congress to eliminate the rule. The cable industry has failed to provide an adequate justification in the public interest as to why this rule should be eliminated.

By eliminating the basic tier provision, cable operators in effect could remove local broadcast TV stations from the cheapest cable programming package and force low-income households to pay more than three times the amount to get it back as part of more expensive expanded basic or premier programming packages.

In fact, a subscription to the expanded basic cable programming bundle – which is one tier higher than the basic tier – has increased by approximately 188 percent since 1995, further illustrating the tremendous barrier to affordability for seniors on fixed incomes and low-income subscribers who have historically relied on the cable’s basic tier to access local broadcast TV news and programming.

US households that subscribe to cable’s basic tier may not be able to afford higher-priced cable programming packages, nor have affordable alternatives for service in smaller TV markets. This was the basis under which Congress enacted this important consumer protection in the first place.

In fact, cable companies could choose to place local TV stations on separately priced tiers, forcing customers to pay extra for the full complement of local broadcast television and access to diverse local news reporting and real-time emergency alerts and warnings in their communities.

The potential impact on millions of US cable subscribers must be fully explored as part of Congressional efforts to update the Communications Act before a final policy decision is made on the fate of cable’s basic tier.

With more consumers considering cutting the cable cord altogether or choosing more affordable bundled programming packages, the consumer benefits associated with the basic tier have never been more apparent and it remains a viable option for US cable subscribers.

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Kenny is director of Public Affairs for TVfreedom.org, a coalition of local broadcasters, community advocates, network TV affiliate associations, and other independent organizations. He formerly served as press secretary at the FCC.

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Robert C. Kenny, director of public affairs for TVfreedom.org, writes in Broadcasting & Cable about the importance of local broadcast television in today’s communications ecosystem.  As new technologies continue to change the way Americans watch video programming, broadcasters continue to provide a vital, entertaining and important service to millions of Americans on a daily basis.

Read the full piece here. 

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YouTube Link: Is Local Broadcast TV Dead or Alive? You Make the Call… This new TVFreedom video captures the spirit of the day’s activities during the November 23, 2014 “Broadcast TV Liberation Tour” at Washington, DC’s Eastern Market. More than a thousand enthusiastic DC-area residents came out to the event to experience the power and reach of free, local broadcast TV. As the video illustrates, millions of consumers across America are content with watching broadcast television in their own homes via an antenna on a high-quality picture instead of subscribing to pay-TV service in today’s broadband world. In response to the large crowd that came out to receive a free digital broadcast TV antenna during the event, Richard Schneider, President and founder of Antennas Direct summed it up best, “…there is a demand in the United States for free over-the-air television and as a country we’re actually moving back to over-the-air. What better way to get the word out that this isn’t only vibrant, but that one of the fastest growing products in consumer electronics is over-the-air (broadcast TV).” To view the video, click here.

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TVfreedom.org member, Antennas Direct, has embarked on a bus tour around the country to give away free high-definition antennas to Americans, so that consumers can “cut the cord” and enjoy free, over-the-air broadcast television without subscribing to pay-TV’s monthly stranglehold. See a piece authored by Antennas Direct’s Director of Public Affairs, Jeremy Nulik, about the bus tour’s stop in Toledo, Ohio.

See the full piece here. 

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Just in time for the upcoming holiday season, the poster child of bad pay-TV behavior is up to his usual bully-boy tactics.

Dish Network’s Charlie Ergen, the Sir Charles of TV Blackouts, has blacked out CNN and is now threatening to do the same with the TNT and CBS programming.

Sorry, Sir Charles. America is not that gullible.

There’s a reason Dish subscriber totals have remained flat over the past year, with nearly as many subscribers discontinuing service as those signing up with the satellite provider.  In fact, Dish has experienced a net loss of 16,000 pay-TV subscribers through the first three quarters of 2014.

Dish has joined two other pay-TV companies, Time Warner Cable and DirecTV, to form the American Television Alliance. ATVA’s strategy, led by the big three, is simple — to manufacture as many TV blackouts of both cable networks and local broadcast stations as possible in hopes that Congress will “reform” a system that ATVA’s members have deliberately tried to break.

Case in point, DirecTV is entering into its own programming talks with the AMC network and there is no guarantees that an agreement will quickly be reached between the two companies.

It’s a brazen approach, worthy of three pay-TV companies that annually are rated among the worst companies in America.

ATVA—which should consider changing its name to the American TV Blackout Alliance—has the audacity to profess itself “pro-consumer.”  The ‘big three,’ Dish, DirectTV and Time Warner Cable, have been at the heart of 90% of all retransmission consent disputes with broadcasters alone since January 2013.

Dish’s current programming dispute with Turner Broadcasting, now in its third week, has no clear end in sight.  Also beyond view is any potential relief for Dish customers who must bear the burden of Ergen’s most recent programming blackouts involving CNN, TruTV the Cartoon Network and other channels.

Reports indicate that Dish is also strong-arming Turner Broadcasting by demanding that the video programmer include its most popular cable channels — TNT and TBS — in the current discussions for fair compensation, even though the contract term for those channels has yet to expire with Dish.

According to news reports, retransmission consent talks between Dish and CBS are leading nowhere as well, with only a few short weeks remaining before the contract expires.

Separately, AMC recently felt compelled to take unusual marketing steps to warn DirecTV subscribers, via commercials, that they may lose access to their channel and its popular show “The Walking Dead” if the cable network is unable to successfully negotiate a new programming distribution deal with DirecTV by early December.

The pay-TV linchpin knows exactly what it is doing and their gamesmanship of the system is getting tiresome for their subscribers.

For the sake of American consumers and the continued evolution of the video marketplace, let’s hope that Washington lawmakers and thought-leaders alike see through the American TV Blackout Alliance’s regulatory ploy in programming disputes with cable networks and broadcasters.

There’s no true rationale for rewarding their bad behavior in the marketplace.

Robert C. Kenny is director of Public Affairs for TVfreedom.org, a coalition of local broadcasters, community advocates, network TV affiliate associations and other independent organizations advocating for preserving the retransmission consent regime. He is a former press secretary at the FCC.

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By Robert C. Kenny | November 3, 2014

America’s pay-TV lobby, led by the American Cable Association (ACA) and the American Television Alliance (ATVA), continue their non-stop campaign to distort facts and put forward half-truths in an effort to divert public attention away from runaway programming costs for pay-TV subscribers. Using every means at their disposal, they continue pressuring Washington lawmakers for new laws and policies that would separate out local broadcast TV stations from existing cable package offerings and, instead, would require consumers to purchase these popular local TV channels on an ‘a la carte’ basis.

This is one component of a grand strategy to use government intervention to fundamentally alter the nation’s existing video market in order to provide the pay-TV industry with an irreversible competitive advantage over the broadcast television industry for local advertising dollars. Ironically, their proposal is known as ‘Local Choice.’ The irony lies in the fact that their ‘a la carte’ plan– for broadcast channels exclusively– would ultimately increase the cost for pay-TV subscribers to access nation’s most popular local TV programming and news on cable and satellite TV systems, while forcing them to continue paying for cable channels as part of bundled programming packages.

It is hard to see how this plan would benefit consumers. So then why do pay-TV lobbyists continue to push this agenda? Quite simply, it’s all about profit.

As money making machines, America’s cable and satellite TV companies continue to expand profits and reduce service with precision through extraneous fees and charges that consumers now are all too familiar with on their monthly pay-TV bills.

According to a recently released report from the consulting firm EY, cable will lead the entire media and entertainment industry in 2014 despite declines in subscribers with an eye-popping 41 percent profit margin. The Satellite TV industry is right behind with an expected profit margin of 26 percent.

ACA and ATVA continue to expend a great deal of time and effort arguing that the nation’s most-watched and popular broadcast TV programming on pay-TV will increase from $4.9 billion this year to approximately $9.3 billion in 2020, yet purposely remain silent on the unfathomable expected annual cost increases that will be triggered by cable network programming and regional sports networks. By 2020, cable channel programming and regional sports networks are expected to top $50 billion and $10 billion respectively (based on SNL Kagan projections). These cost increases for less popular cable channels will dwarf those for popular broadcast-TV programming.

Blinded by the potential financial windfall they’ll reap as a result of broadcast-TV-only ‘a la carte’ through increased local advertising dollars, the pay-TV cabal is now engaged in a full-throttled effort to hide this truth from their subscribers. Instead, ACA member cable systems and smaller cable systems like MetroCast Communications, which serves parts of southern Maryland, is now sending letters to subscribers to notify them of increases in broadcast TV programming, but not for the hundreds of less popular cable channels they also pay for. In fact, this week, MetroCast sent a letter to its customers stating that in January 2015 the cost for local broadcast TV stations will increase from $1.50 to $5.05 on their nearly $80 monthly pay-TV bill.

Like other cable and satellite TV providers, MetroCast now itemizes charges for broadcast TV programming on subscribers’ monthly bills, but fails to separate out other programming costs for cable channels. The gamesmanship of the pay-TV cabal can’t be trusted.

Monthly programming costs for cable channels, such as TNT and TBS, among hundreds of others, now approaches $40, and that doesn’t include costs for HBO, Showtime and regional sports networks that subscribers may opt to purchase as part of their pay-TV service. But the pay-TV cabal continues to ignore the growing elephant in the room.

Why haven’t ACA member cable systems addressed the excessive and ever-increasing costs subscribers pay annually in equipment rental fees? Pay-TV consumers now pay an estimated $7 billion annually in equipment rental fees for DVRs and set-top boxes. To put these costs in perspective, the monthly rental fee for one DVR ($12), is three to four times the amount it costs to receive the full complement of local broadcast TV programming from ABC, CBS, Fox and NBC through a pay-TV subscription.

Shouldn’t the pay-TV industry offer subscribers a lease-to-purchase option for DVRs and set-top boxes as part of service contract renewals?

Furthermore, why haven’t cable and satellite TV providers taken any proactive measures to overhaul their truth-in-billing practices for the benefit of customers? For an industry apparently concerned with consumer cost-savings, they could start in their own backyard by implementing a series of necessary reforms to help eliminate billing errors that have plagued pay-TV subscribers for years.

Isn’t it time for a national conversation about what’s really driving up consumers’ monthly cable and satellite TV bills instead of focusing on one aspect of the bill: the cost of broadcast TV?

The pay-TV cabal should be concerned about comprehensive reform in the U.S. video marketplace, instead of attempting to skirt the real issues and distorting the truth.

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Robert C Kenny is the Director of Public Affairs for TVfreedom.org, a coalition of local broadcasters, community advocates, network TV affiliate associations, and other independent organizations; he formerly served as Press Secretary at the FCC.

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