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Michigan Cities Seek PEG-Channel Answers

by Linda Haugsted -- Multichannel News, 12/14/2008 7:00:00 PM

Attorneys for four Michigan communities have asked the Federal Communications Commission for answers to seven questions requested by a federal judge there to help resolve a suit over Comcast’s relocation of public, educational and government channels.

Victoria Roberts, the U.S. District Court judge in the case — brought by Dearborn, Meridian, Bloomfield and Warren, Mich. — decided she couldn’t conclude the case without direction from the FCC on the dispute, because that agency has the authority to determine how the federal Communications Act is interpreted, the judge ruled in October.

The communities want answers to questions such as:

  • If they can still regulate PEG obligations in a market subject to an effective competition ruling;

  • If the discriminatory treatment of PEG is an “unlawful evasion” of federal law;

  • If Comcast can charge for equipment that is used only to view PEG channels.

They also want the FCC to determine if PEG channels are still considered part of a basic tier if they’ve been translated into digital signals.

The cities sued in U.S. District Court for the Eastern District of Michigan last January to stop Comcast, which had said it would move PEG channels in those communities from low channel numbers onto channels in the 900 range in the digital tier.

Comcast wants to move the PEG channels to recover the bandwidth to launch more high-definition channels. It offered to provide converter boxes, free for a short term, to analog-only subscribers who still wish to watch the local content, but eventually consumers would have to upgrade to digital or pay to retain the box to watch PEG.

The cities have local franchise language that dictate either that the PEG channels can’t be moved without prior municipal permission; or language that bans extra charges in order to view PEG programming. The cities claim the movement of the channels is discriminatory because only PEG selections face a shift, not commercial channels.

The relocation would affect an estimated 400,000 basic-only homes in the state, but the cities argue that number is actually higher when one factors in analog sets within digital homes that won’t be able to access PEG programming after a shift.

On Oct. 10, Judge Roberts said the cities could continue to block the migration of the channels, but could not conclude the dispute because she indicated that to make a ruling “the FCC’s technological expertise would be especially helpful,” according to the petition filed to the FCC.

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