roundtable: Massive Rate Increase Hits 90's Channel

roundtable: Massive Rate Increase Hits 90's Channel

Massive Rate Increase Hits 90's Channel

John Schwartz (schwartz@usa.net)
Wed, 01 Nov 1995 12:59:51 -0700 

Message-Id: <199511011851.LAA06940@mail.usa.net>
Date: Wed, 01 Nov 1995 12:59:51 -0700
To: roundtable@cni.org
From: schwartz@usa.net (John Schwartz)
Subject: Massive Rate Increase Hits 90's Channel


                                                 PRESS RELEASE


FOR IMMEDIATE RELEASE              FOR FURTHER INFORMATION
                                   CONTACT:
                                   DANI NEWSUM (303) 442-5693
                                   OR JOHN SCHWARTZ (303) 442-2707


     MASSIVE RATE INCREASE BY MEDIA GIANT TCI FORCES THE 90'S CHANNEL 
                   TO SHUT DOWN AT MIDNIGHT NOVEMBER 1

                 The FCC Declines to Issue Emergency Stay;
        The 90's Says Astronomical Increases Undermine the Intent 
                          of Federal Cable Law
                                     
     BOULDER, COLORADO, November 1, 1995.  The 90's Channel----this 
country's only full-time progressive cable television network---was 
forced off the air at midnight last night on seven cable systems 
operated by Tele-Communications, Inc. due to a massive rate increase.  
The channel was faced with the choice of paying TCI almost $250,000 per 
month or shutting down.  

     "In practical terms, that was no choice at all," said John Schwartz,
The 90's Channel's President. 

     The 90's Channel had petitioned the Federal Communications Commission
for an emergency stay of the rate increase, but the FCC yesterday declined 
to issue one. The FCC has not yet ruled on a second petition filed by The 
90's challenging the legality of the rate increase.  However, under FCC 
rules the new rates will remain in effect until the matter is fully 
adjudicated.  The channel said the increase is too great to pay, even 
temporarily.   

     The 90's Channel leased its cable carriage from TCI, meaning that 
it paid TCI to carry 90's programming. Federal law requires cable 
operators to lease a certain number of channels in order to prevent 
them from exercising monopoly control over the content of information 
and entertainment programming carried on their systems. The more 
typical arrangement requires a cable operator like TCI to pay a cable 
network (CNN, ESPN, etc.) to carry the network's programming. 

     "To require a cable operator to lease channels as a means of 
increasing the diversity of information sources, while at the same time 
to allowing the operator to charge ruinous lease rates, is to frustrate 
the intent of the federal cable law," said  Jeff Chester, executive 
director of the Center for Media Education in Washington D.C.  "This 
ruling makes it even more difficult for independent and progressive 
programming to be seen and heard by American television viewers."  

     Jeff Cohen, executive director of the New York based Fairness and
Accuracy In Reporting (FAIR) commented, "At midnight this morning, the 
monopolization of American television took another step forward  - 
 another independent voice is being silenced. Meanwhile our elected 
representatives in Washington aid and abet the censorship of independent 
and innovative programming."

     This was not the first time TCI has tried to rid its systems of 
The 90's Channel.  In 1992, TCI advised the network that it planned to 
drop The 90's from all of its cable systems. The Channel took TCI to 
court, and the parties negotiated the current agreement for carriage 
through October 31, 1995.  

     The loss of The 90's Channel carriage does not mean the end of 
efforts for a progressive television network, however.  Beginning in 
June, The 90's Channel's parent company has operated a companion project 
known as FREE SPEECH TV.  FStv, as the venture is abbreviated, continues 
the work pioneered by The 90's Channel, airing programs championing the 
perspectives of working men and women, promoting human and civil rights, 
exposing corporate and governmental corruption, showcasing experimental 
media, and highlighting environmental dangers and success stories.  FStv 
currently provides programming which is carried on a part-time basis on 
44 cable channels serving over 4.2 million households.  In recent months, 
The 90's Channel systems had served as some of FStv's most important 
affiliates.  

     "Even though the loss of the seven full-time cable channels is no 
small setback, I want to stress that we remain committed---if anything, 
more strongly---to the task of building a network for progressive 
television," concluded Schwartz.   


                                   -30-

______________________________________________________________

John B. Schwartz                           schwartz@usa.net
P.O. Box 6060                              voice 303-442-2707
Boulder, CO  80306                         FAX   303-442-6472
_______________________________________________________________

[CNI Home Page]