Bill to Strip Local Power to Negotiate Cable Dies

In Richmond Monday, two bills aimed at helping cable TV providers by-pass the need to negotiate franchise agreements with local jurisdictions died in committee, marking a victory for the City of Falls Church and a setback for its newest prospective cable TV provider, Verizon.

Verizon, which is slated to roll out its new "fiber to the premises" Internet service to Falls Church and surrounding residents with a splashy public event at the State Theatre this Sunday, hoped the state legislature would approve its wish to negotiate only one statewide franchise agreement.

It lobbied heavily for SB 1135 and HB 2880 in Richmond, but pressure from the Virginia Municipal League, including its members like the City of Falls Church, and existing cable TV providers like Cox Communications resulted in the failure of the bills to mass muster at the committee level.

"The General Assembly had a golden opportunity to bring cable competition to consumers more quickly. Unfortunately, that now won't happen this year," said Verizon's Harry J. Mitchell, in a statement to the News-Press yesterday. "The big winners are the incumbent cable providers, who will continue to raise consumers' rates and threaten, intimidate and otherwise impede competition."

But Mitchell conceded what Falls Church Assistant City Manager Wyatt Shields also told the News-Press. That is, that Verizon is not wasting any time negotiating a franchise deal with the City, aimed at launching its cable TV option to City residents as soon as possible.

Verizon's "fiber to the premises" capability in the City will ultimately provide Internet, telephone and cable TV service and set it head-to-head against two existing alternative services for City residents, Cox and Starpower.

While Falls Church is one of the first communities in the U.S. where Verizon is rolling out this new service, it is being developed quickly in 11 other states and will, eventually, be available to a far wider audience.

Verizon is also pushing federal legislation to by-pass the need to negotiate with local jurisdictions, but hoped that the General Assembly in Richmond could act more quickly to impact its development plans here.

Falls Church officials had expressed deep misgivings about Verizon's legislative push at a work session last week, noting that it would undermine local jurisdictions' abilities to protect consumer interests. Council member Lindy Hockenberry called it "reprehensible" and "an end-around to jump to the head of the line."

Despite the Council's stated intention to invite a Verizon representative to its work session this Monday, no one appeared from the company.

But Verizon's Mitchell told the News-Press that special invitations to the Sunday open house at the State Theatre are being sent to City officials, as well as distributed around the City and included in an ad this edition of the News-Press. The free event will from 3 to 7 p.m. and will include demonstrations of the new service, Mitchell said.