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Cable legislation contains stiff penalties to protect consumers
Posted on April 08, 2008
Tennessee lawmakers say compromise
legislation that would create a statewide system for permitting
cable TV franchises contains stiff penalties to make sure consumers
are treated fairly.
Several lawmakers from both sides of the aisle held a news
conference on Monday to present the proposal.
It seeks to put in place rules that would allow companies like
AT&T Inc. to avoid having to seek hundreds of municipal permits as
it enters the cable TV business.
One provision of the bill would prevent the company from
so-called “cherry picking” of wealthy areas, or avoiding
low-income neighborhoods. Violation of this measure could result in
a fine of up to $2 million by the Tennessee Regulatory Authority.
The legislation is scheduled to be heard by the House Commerce
Committee on Tuesday.
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