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County approves Charter cable franchise By JILL BRISKEY Mail Tribune Jackson County commissioners on Wednesday approved a 10-year franchise agreement with Charter Communications, but they left the door open to potential competitors. But the agreement doesn't touch on the heated topic of cable rate increases. Deregulation laws passed by Congress in 1996 stripped local government of the right to interfere, said Deputy County Administrator Dave Kanner. "Unless the law changes, it's not a right we can exercise," Kanner said. "There's nothing we can do about cable rates." Commissioners held a public hearing Wednesday before approving the agreement. Federal law requires cable companies to obtain a franchise from local governments before providing service. The agreement is similar to a lease, Kanner said. It allows Charter to install wiring and equipment within the county's jurisdiction. Charter provides service to roughly 7,500 county customers living outside of area cities. Richard Ryan, president of Hunter Communications, had concerns that the contract would shut down competitors. "If we want to encourage competition, if we want to keep prices down, we have to let competition in," said Ryan, whose company is in partnership with Charter competitor Ashland Fiber Network. "We have to have a level playing field." However, local Charter representative Jay Tapp said the agreement is non-exclusive, allowing for cable competitors. Under the adopted agreement, Charter will pay the county a franchise fee of 5 percent of its gross revenues. The county's previous contract, which expired in 2001, included the same fee. Kanner expects the franchise fee to bring an anticipated $174,000 this year. The revenue is placed into the county's general fund, and also is used to pay public access channel RVTV for programming and services. That amount totaled more than $56,000 in 2001, Kanner added. Pete Belcastro, director of RVTV, said he's pleased with the county's agreement since it will increase public access capabilities. "From the community television aspect of this business, we certainly support it," Belcastro added. As part of its agreement, Charter agreed to provide a fourth public access channel for educational and government use. The existing three local channels are filled with programming, Kanner noted. A trigger for a fifth channel is also included in the agreement. Charter agreed to create three new origination points - locations from which live programming can be sent to RVTV and then broadcast on the cable system. New points will be at the Public Works Auditorium in White City, the new Medford headquarters branch library and the new Community Justice/Elections Division building on West Main Street. Charter also awarded the county a one-time-only grant of $81,000 to buy equipment for a mobile production unit that can be used to broadcast programming from new origination points in lieu of fixed equipment. "With the passage of this, we certainly will have more capability of bringing public meetings out to the public," said Commissioner Sue Kupillas. "I feel very good about this agreement." The agreement will give Charter the option of closing its Grape Street office - Charter officials are attempting to consolidate services out of a regional call center in Vancouver, Wash. A franchise agreement with Medford requires Charter to keep its existing office until 2008. The county's contract would allow Charter to close the office if the city amends its franchise agreement. However, Tapp said the Grape Street office would remain open for customers wishing to pay bills and drop off equipment. Administration, service work orders and customer questions would be routed to Vancouver, he added. Reach reporter Jill Briskey at 776-4485, or e-mail [email protected] Mail Tribune Home | Ottaway Newspapers, Inc. | Dow Jones & Co., Inc. | Privacy | Contact Us Copyright � 2001 Mail Tribune, Inc.