Willow Glen Resident
News
City says no to AT&T's video service agreement
By Monica Heger
Another cable option is not in the works for San Jose residents--yet.
The San Jose City Council unanimously voted to deny AT&T's proposal to provide video service without first entering into a franchise agreement with the city. The city council also denied AT&T's request for temporary permits to install its service on a limited basis as a pilot program.
The pilot program suggested by AT&T called for encroachment permits to install five cabinets and the necessary infrastructure per council district. Approximately 1,500 households per district would be able to receive service under these terms. The goal, according to AT&T, would be to work out any complications with the system. The city council indicated this would be acceptable, but only if AT&T agreed not to activate the video service unless a franchise was in place. AT&T refused.
"Even permitting the five per council district pilot program is counter to direction we've given to staff," said Councilwoman Linda LeZotte.
A state bill that would allow phone and cable companies to have one state franchise as opposed to separate city franchises sailed through the California Assembly on a 77-0 vote May 31. The bill could go into effect Jan. 1 if approved by the state Senate and signed into law by Gov. Arnold Schwarzenegger prior to the start of the new year.
The council and California League of Cities oppose the state bill, because the city wants to pursue agreements with AT&T that include franchises similar to the one it has with Comcast.
A franchise agreement would give the city a portion of AT&T's revenue, ensure buildout to all portions of the city and provide funding for educational and government programming.
The federal government is also considering legislation dealing with television franchises. The House of Representatives recently passed a bill that would replace local franchising with a national franchise for broadband and video services. The bill still needs to pass in the Senate, and be signed by the president before it can go into effect.
