Comcast
Comcast lost its suit against the Public Utility Commission in federal court. Photo by Mike Mozart via Flickr

Editor’s note: This story by Bob Audette was published by the Brattleboro Reformer on Sept. 21.

[B]URLINGTON โ€” A federal judge ruled Thursday that conditions in Comcastโ€™s certificate of public good โ€” which allows it to operate a cable franchise in Vermont โ€” do not violate the companyโ€™s First Amendment rights.

โ€œComcast asserts that the Renewal CPG is unlawful because it imposes arbitrary conditions on Comcastโ€™s Vermont cable operations, including a requirement that Comcast make costly engineering changes to accommodate what it describes as unreasonable demands from local public, educational, and governmental (โ€˜PEGโ€™) access channels,โ€ wrote Geoffrey W. Crawford, chief judge of the U.S. District Court for the District of Vermont. โ€œOne of Comcastโ€™s particular objections is to requirements in the Renewal CPG that it extend its service to areas in Vermont which are currently without cable access.โ€

Judge Geoffrey Crawford.

Comcast argued that line-extension requirements might burden Comcastโ€™s speech โ€” that is, by diverting funds from content acquisition and by potentially causing a loss of subscribers. The extension requirement calls for the installation of 550 additional miles of cable over the 11-year term of the new CPG to extend service to unserved communities. The Public Utility Commission gave Comcast the option of paying for the costs of expansion out of its own pocket or by instituting a subscriber fee.

โ€œComcastโ€™s position is that the VPUC has unjustifiably imposed substantially greater burdens on Comcastโ€™s speech than on other cable operators serving Vermont,โ€ wrote Crawford. While the requirement might burden Comcastโ€™ s speech, he wrote, โ€œexpanding access to cable is not itself an interest that is related to suppression of free speech.

To the contrary, expanding access to cable would seem to promote rather than suppress free speech.โ€

In addition to line extensions, the conditions in the renewed CPG that Comcast was objecting to included supplying an interactive program guide, remote origination site construction and simultaneous live PEG programming and in-house switching ability.

Southern Vermont has a number of public access stations โ€” BCTV in Brattleboro, Falls Area Community TV in Bellows Falls, Greater Northshire Access TV in Manchester, Catamount Access TV in Bennington, Springfield Area Public Access TV, Channel 8 in Wilmington, Windsor On Air, Woodstock Community TV and Ludlow, Plymouth, Cavendish TV.

โ€œFrom the Vermont Access Networkโ€™s point of view, this decision eliminates the one claim that we thought could make this litigation considerably more expensive and time-consuming: the federal First Amendment claim,โ€ said Kevin Christopher, executive director of Lake Champlain Access Television and president of Vermont Access Network, which represents Vermontโ€™s PEG channels. โ€œGiven that the free speech claim related to a 550-mile line extension requirement, we see this as very positive progress for the stateโ€™s PEG access centers in that part of the litigation. An increase in the cable length and possible subscriber base has the potential to translate into more viewers, more volunteers, and more revenue for Vermontโ€™s community media centers. We are looking forward to the case proceeding and to having the state order upheld on its merits.โ€

According to a report from the PUC, Comcast had failed to meet โ€œcommunity needs and interests,โ€ especially in not providing specific scheduling information for public access channels. Since transitioning to an interactive program guide in 2010, Comcast has listed only very general descriptions for these channels such as โ€œpublic access programmingโ€ or โ€œgovernment access programming.โ€ By not providing specific schedule information, the commission said Comcast violated the terms of both its previous permit and a 2011 FCC order prohibiting the telecom from treating public access stations differently from commercial ones.

Addiction forum
A Brattleboro Community Television camera films a public forum. Photo by Kevin Oโ€™Connor/VTDigger

Comcast argued that paying to retrofit its technology would increase Vermontersโ€™ cable bills, but the PUC rejected these arguments, saying it would be unfair for customers to โ€œbear both the burden of Comcastโ€™s non-compliance as well as the costs of remedying such non-compliance.โ€ The commission ordered Comcast to make the necessary infrastructure changes at its own expense and fix the problem with the interactive guide.

On Aug. 28, 2017, Comcast filed suit in federal court, arguing the PUC โ€œexceeded its authority under federal and Vermont lawโ€ by imposing โ€œnumerous conditions on Comcastโ€™s continued cable operations in the state that are arbitrary, unprecedented and will ultimately harm local cable subscribers by resulting in millions of dollars in increased cable costs.โ€

It said the commission โ€œdid so despite overwhelming record evidence that Vermont cable subscribers do not want to incur any additional costs or fees for the kinds of conditions imposedโ€ in the commissionโ€™s January 2017 order.

However, wrote Crawford in the Thursday decision, โ€œnone of Comcastโ€™s allegations plausibly suggest that the burdens are substantially greater than necessary to further Vermontโ€™s important interests. … Many Vermont residents find cable services to be valuable, but if service is limited to a few densely populated areas, Vermonters outside of those areas fail to benefit. Thus, inherent in the principle of the public good is an obligation to make service available to as many customers as possible within a companyโ€™s service territory.โ€

Being required to provide space and resources for PEG channels, wrote Crawford, is also not an infringement of Comcastโ€™s First Amendment Rights.