NATOA Supports FCC’s Proposed Final Rules to Adopt “All-In” Pricing

Community, Industry, Top Issues,

DATE:  February 26, 2024                                                                                                Contact:  Mike Lynch 

For Immediate Release                                                                                                          617-327-8066 

 

NATOA Supports FCC’s Proposed Final Rules to Adopt “All-In” Pricing

and Eliminate Consumers’ Confusion on Hidden Fees in Cable and Satellite TV Billing

 

February 26, 2024:  The National Association of Telecommunications Officers and Advisors (NATOA) praises the Federal Communications Commission and Chairwoman Jessica Rosenworcel for proposing final rules to require cable and DBS TV providers to specify the “all-in” price clearly and prominently for video programming services in their promotional materials and on subscribers’ bills. 

 

“We welcome Chairwoman Rosenworcel’s announcement, and we urge the Commission to adopt the “all-in” pricing rules at their March meeting,” said Mike Lynch, Leg/Reg Director for NATOA.  “We support President Biden’s and the Commission’s proposal requiring cable operators and DBS providers to display the total cost of video programming service clearly and prominently while separately itemizing the elements that compose that aggregate cost. Now, consumers will know what they will pay when they subscribe to cable television and DBS services.”

 

“Local Governments believe that a robust disclosure requirement working alongside local consumer protection regulation will be a welcome addition to improving prices and competition for consumers.   Specifically, we recommend the Commission adopt a robust “all-in” price disclosure requirement for the full amount for video programming service that the cable operator or satellite provider charges the customer, including all components of costs such as broadcast retransmission consent; regional sports programming, and other programming-related fees and cable franchise fees.  Consumers should know the ultimate price they will pay and should not be misled into believing that ordinary costs of doing business are government-imposed fees or taxes.”

 

NATOA joined the Local Government Commenters of the Texas Coalition of Cities for Utility Issues (TCCFUI), Fairfax County, VA, Mt. Hood Cable Regulatory Commission, OR, and Boston, MA, last July in comments responding to the Notice of Proposed Rulemaking in the All-In Pricing for Cable and Satellite Television Service docket.

 

NATOA has compiled fee data over time in four major metropolitan areas demonstrating:

  • Cumulative increases in sports broadcasting and regional sports networks alone were between 68 and 74% since 2020 in four major metropolitan areas;
  • Broadcast fees increasing as much as five-to-sevenfold since 2016, while cable prices have increased 25 - 50%;
  • Sharp increases in cable remote fees in the last two to three years; and
  • Regional sports fees tripling, quadrupling or even quintupling in the last six years.

 

If adopted at the FCC’s March 14 Open Meeting, these rules will require cable operators and direct broadcast satellite (DBS) providers to state the total cost of video programming services clearly and prominently, including broadcast retransmission consent, regional sports programming, and other programming-related fees, as a prominent single line item on subscribers’ bills and in promotional materials.  These new rules continue a series of consumer-focused proposals to combat junk fees and support transparency for consumers, including the anticipated launch of the mandatory Broadband Consumer Labels and the proposed to eliminate early termination fees from cable and satellite TV providers. 

 

NATOA’s membership includes local government officials and staff members from across the nation whose responsibility is to develop and administer communications policy and the provision of such services for the nation’s local governments.