Groups attack cable TV change

• By JOE GYAN JR.
• Advocate staff writer
• Published: Aug 26, 2008 - Page: 1A - UPDATED: 12:05 a.m.

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The state’s police jury and municipal associations are challenging the legality of a new Louisiana law allowing telecommunications companies to offer cable television service through a statewide franchise rather than seeking city or parish franchises.

The law’s proponents, including AT&T, claim the Consumer Choice for Television Act will promote competition for cable television by offering consumers better service, new technology and competitive prices.

Local and parish governments argue the law amounts to an unconstitutional cancellation of their contracts with cable companies and would significantly cut into local revenue.

Gov. Bobby Jindal signed the measure into law in June. Act 433 took effect Aug. 15.

The Police Jury Association of Louisiana and the Louisiana Municipal Association sued the state Aug. 13 in state district court in Baton Rouge.

The associations specifically targeted a provision of the act that says “any incumbent service provider shall have the option to terminate an existing franchise previously issued by a local governmental subdivision.’’

Attorneys for the associations, the state and interveners — AT&T and the Louisiana Cable Television Association — met Monday with District Judge Janice Clark and agreed to suspend the opt-out provision until a trial is held in late October.

“The act is taking effect, but no cable company has the authority to opt out at this point,’’ Police Jury Association attorney Dan Garrett said.

The suit alleges that Act 433 is an unconstitutional, unilateral attempt by the Legislature to extinguish the obligations owed by cable or video service providers to parishes or municipalities.

Louisiana Municipal Association attorney John Gallagher said the opt-out provision is a “clear violation’’ of the state constitution.

Tammi Arender, a spokeswoman for the state Attorney General’s Office, said the office cannot comment on pending litigation.

Garrett said the associations want the entire act struck down because the opt-out provision is so intertwined in it.

Currently, cable companies negotiate with local governments on franchises, paying larger metropolitan areas more than a million dollars a year in fees.