East Longmeadow cable accounts discussed at meeting

Date: 9/11/2014

EAST LONGMEADOW– Representatives from Charter Communications and Comcast met with the Board of Selectmen on Sept. 2 to discuss an ongoing proposed transaction between local Charter cable accounts to Comcast, promising a seamless transition for customers.

A pending transaction if approved would allow Comcast to acquire Time Warner Cable Inc.

As part of the deal, Comcast and Charter would exchange 1.5 million Time Warner customers for 1.6 million Charter members.

Daniel Glanville, Comcast vice president of Government and Regulatory Affairs, said Comcast currently services about 35 communities up and down the Pioneer Valley and in the Interstate 91 corridor of Western Massachusetts.

“Charter is interested in this transaction,” Thomas Cohan, director of Government Relations at Charter, said. “We are a relatively large company nationwide, 4.5 million customers. Our smallest operation, however, is here in New England.”

Cohan said Charter serves 53 cities and towns in Massachusetts, primarily central Massachusetts and Worcester County.

“We’ve found that it’s hampered our ability with the small footprint like that to really develop things like our business surfaces affiliate,” he said.

Cohan explained that the 1.5 million Time Warner customers reside in the Midwest and a large portion of Charter’s 1.6 subscribers are from New England and essentially the two corporations would swap customers in these regions.

The Federal Trade Commission, the Federal Communications Commission (FCC), and the Department of Justice have all agreed to review the transaction between Comcast and Time Warner in order to expedite the process, he said.

Glanville said during the transaction and after the closure a legal entity will hold the franchise that will be transferred to Comcast

“Comcast and the entity will step into the shoes of Charter and the entity and assume all of the franchise obligations,” he added.

It was announced on Sept. 3. that the joint cable venture with Charter Communications and Comcast will be called GreatLand Connections and will service 11 states across the Midwest and Southeast.

“Even though Comcast may run the whole operation, it appears through the documents that we’ve seen and the responses that we’ve gotten from Comcast that the local LLC holds franchise and their assets will be solely responsible with dealing with the community,” said Town Counsel James Donahue.

Glanville said after the transaction closes the local LLCs will be subject to Comcast control and guidance.

“In my 17 years with the company every franchise has been held by a legal [subsidiary] entity,” he said.

William Caplin, a resident of Broadleaf Circle, asked Glanville as to whether costs would increase after the exchange.

Glanville explained that there might be price adjustments in the future related cable programming but there would be no price changes as a direct result of the transaction.

Board of Selectmen Chair Angela Thorpe said East Longmeadow is currently in negotiations with Charter Communications related to the cable renewal process. A public hearing took place on June 19 and second is scheduled for Sept. 18 at 7 p.m.

Glanville said Comcast, as part of the agreement would honor all the negotiated items in the cable renewal.

Sid Starks, a town resident, asked Glanville whether Comcast will use non-union subcontractors or Comcast certified technicians for residential and business technical service.

Glanville said there are direct employees who serve in the technical operations and has several third party contractors.

“We believe that we operate in a very competitive arena for voice, video, and data services,” Glanville said. “We believe it is vitally important for us to meet the needs of our customers.”

Discussion is expected to continue on Sept. 16. A vote to approve the transfer of license could occur on Sept. 30.