Suburban Officials Oppose Proposed Federal Telecommunications Law

Municipalities in the suburbs fear that a proposed federal telecommunications law would undermine their authority to establish agreements for cable TV service, potentially leading to financial losses of hundreds of thousands of dollars annually. The law, currently in the House of Representatives and Senate, would make it easier for phone companies to enter the subscription television market, taking oversight of local cable operations away from local governments and giving it to Washington D.C. This concern was expressed by Larry Bury, policy analyst for the Northwest Municipal Conference, a consortium of 50 suburban townships and municipalities in Cook, Lake, DuPage, and Kane counties.

Key Takeaways:

• The proposed federal telecommunications law, the Communications Opportunity, Promotion and Enhancement Act, would take oversight of local cable operations away from local governments and give it to Washington D.C.
• Suburban officials fear that this would lead to financial losses of hundreds of thousands of dollars annually, specifically $1.5 million in Naperville's case.
• The law would also strip municipalities of their power to grant access to local rights of way for cable infrastructure.
• The bill has been passed in the House and is scheduled to be considered by a Senate committee on June 20.
• Local officials are concerned about the response time to cable service complaints, citing that the Federal Communications Commission (FCC) would provide oversight under the proposal.
• Supporters of the bill hail it as a way to spur competition and lower prices for consumers, citing that it would streamline the cable franchising process.
• The bill's opponents argue that it would limit accessibility because companies would focus on marketing to more affluent areas rather than serving the entire municipality.
• Naperville's assistant to the city manager, Alison Murphy, plans to contact senators to express the city's opposition to the bill.

Statistics:

• The proposed federal telecommunications law would strip municipalities of $1.5 million annually in jurisdictional fees in Naperville.
• The bill, if passed, could result in hundreds of thousands of dollars in financial losses annually for suburban municipalities.
• The Communications Opportunity, Promotion and Enhancement Act has been passed in the House with a vote of 321-101.

Sources:

• "Suburban officials say measure would undermine local control" by Lisa Smith, Daily Herald
• "Naperville concerned about proposed federal telecommunications law" by Daily Herald wire services contributed to this report