
The bill faced an uphill battle. Incumbent cable companies, largely represented by Cox Communications, adamantly opposed the new law and said it would unfairly tilt the playing field in BellSouth's favor. The Louisiana Municipal Association, the state landowner's association, the state conference of mayors and the Police Jury Association all actively opposed it, claiming it threatened to end local government franchise fees and would erode property rights and service requirements.
Last week, the state Senate passed the bill. After lengthy debates, intense lobbying and a whopping 142 amendments, neither side seemed sure of what the bill accomplished. In a classic case of playing both sides of the fence, famed state lobbyist and Lafayette native Randy Haynie worked for BellSouth to get the bill passed, and also for the city of Lafayette to ensure it qualified as one of the areas exempt from the bill's provisions. When the bill passed in the Senate, BellSouth reps at the Capitol were quoted as saying they needed to thoroughly review the senate's amendments before asking for House concurrence. Bellsouth did not return calls or e-mails for comment by press time.
The Police Jury Association and the Louisiana Conference of Mayors were the only organizations that steadfastly opposed the bill through the end, calling the legislation fundamentally flawed.
"Any bill amended this much was poorly drafted to begin with," says Garrett. "And that's the whole point. They had to continue to slap coats and coats of paint on it so that you couldn't see the rotten wood underneath."
The final bill creates a statewide franchise, though all of the state's major cities and media markets (with the exception of Monroe) are excluded. The bill also requires BellSouth to match any existing franchise fee agreements already being paid by other cable operators. A Senate floor amendment also protects landowners from having a company "construct facilities on private property" without the property owner's permission.
Opponents of the bill question why BellSouth wants to eliminate the need to negotiate franchise agreements in small municipalities and rural areas. The most cumbersome franchise agreements typically come from larger cities, which have greater leverage in negotiating the agreements. Skeptics also questioned how cost-effective it will be for BellSouth to build infrastructure and service to areas outside the major media markets. Neither BellSouth, nor any other phone company, has yet to specify any plans for rolling out services under the state franchise.
Lafayette Sen. Don Cravins Sr., who frequently took to the Senate floor in opposition to the new law, asked why the state needs to assist a huge company like BellSouth, soon to be merged with AT&T, negotiate franchises with small towns across Louisiana.
"I think a multinational company should have the means to do that," said Cravins, who is now also running for mayor of Opelousas. "It doesn't matter how you couch it, this is an AT&T multi-national conglomerate bill that is ultimately going to Wal-Mart the entire cable industry in Louisiana."
Lafayette City-Parish President Joey Durel concurs with Cravins. "What I keep saying," Durel says, "is that people trust local government more than they trust state government, just like they trust state government more than they trust the federal government. And so once again the state government has chosen to get involved in local policy, and this will ultimately have a negative effect on local government, which will obviously have a negative effect on the people that we try to serve."
Based on Lafayette's own contentious history with BellSouth, where the company has repeatedly sued the city in order to block Lafayette Utilities System's efforts to get involved in the phone, Internet and cable business, Durel is wary of the company's intentions.
"We kept hearing for the past two years: level playing field," Durel says, "and now what you're seeing is the huge conglomerates trying to not play on a level playing field with each other."
Both Garrett and Durel say BellSouth (or AT&T) is trying to use state franchise bills in multiple states as leverage for a national franchise, which they are already pushing in Congress.
"This is a national priority for them," Garrett says. "I don't think they have any intentions of ever operating under these agreements. I think their intention is to get the agreements adopted in as many states as they can and then push their national franchise."
Eventually, he says, this will mean the end of rural service area requirements and franchise fees that cable companies pay to local governments for right-of-way access.
"If the language of this bill were in a contract, I'd feel very secure," Garrett says, noting all the protections provided by the bill's amendments. "But it's merely in a state law, which means when the federal law gets passed, it goes away."
Garrett says the Police Jury Association and other opponents of the bill offered a compromise to BellSouth early on in the negotiations. The proposal ' which BellSouth rejected ' would have allowed any telephone company to opt into existing cable franchise agreements anywhere in the state by simply writing a letter of intent to the local governing body.
"What can be more fair than that?" Garrett asks. "They do not want to be under any contractual obligation to local government whatsoever. Under contract you can actually guarantee some things. This statute doesn't guarantee anything."
Durel hopes it will ultimately be a moot issue. He says once LUS begins offering its telecommunications package (the plan is currently tied up in lawsuits brought by two Lafayette residents), it won't matter how the incumbent cable and telephone companies are delivering their services.
"Our technology," Durel says, "is going to be so far superior to what either one of the companies has to offer that we are going to be the competition."
MAY 22 This post was written the day after the second line shooting in NOLA, by Brentin Mock. Mock is a friend of Deb "Big Red" Cotton, a blogger who was shot in the back and was seriously injured. It is a raw, emotional piece of writing, something the writer obviously felt he needed to get off his chest. But it raises questions that can't be easily dismissed, and might give some insight into where the source of these events truly is.
MAY 22 In this Baton Rouge Business Report post, Rolfe McCollister considers the privatization of bus service in Baton Rouge. After decades of under-funding, it is a mess, and although a tax (partially) passed last year, improvement hasn't happened yet. McCollister apparently feels it is time to let private business get in on the transit business.
MAY 22 This post on Bayou Buzz by Jeff Crouere urges the defeat of a bill that would grant modest pay increases over the next several years to the state's judges and clerks of court. The state is in no position to fund pay hikes, Crouere argues, with the pay increases costing a total of $9 million over several years. It sends the wrong message to the (proverbial) hard-working people of Louisiana, he says.
MAY 22 The Advocate reports here that State Treasurer John Kennedy is complaining about a meeting of the corporation that oversees the state's tobacco settlement. The Governor wanted it restructured, and he has some support, but not a lot. The corporation agreed with his plan, but Kennedy didn't, and it appears that the meeting was noticed in a manner completely different than that of all previous meetings. Kennedy's given to hyperbole, but in this case the fish don't smell too fresh.
MAY 22 In this Advocate story, Carencro Police Chief Carlos Stout says the recent federal indictment of a strip club owner is all wrong. The indictment alleges that drugs and prostitution went on with impunity because club staff made arrangements with "local" police. Stout says it never happened, and while his cops do work security in the parking lot, they're not allowed inside.
MAY 22 This amusing post in DIG Baton Rouge recounts an ad that ran on Craig's List recently; the advertiser was seeking tenants for a Beauregard Town house. He knew his market, and wrote an ad that the most ironical hipster couldn't resist. Apparently, he really did know his market, because the ad worked like a charm.
MAY 22 In this post in The Lens, Mark Moseley comments on the rhetoric Gov. Jindal employed in trying to save his tax "reform" package. One interesting point concerns Jindal's use of his brother, Nikesh, in a little story. Nikesh left Louisiana because of his inability to get a decent job, the story goes, but the story won't hold water: Nikesh lives in DC, which has an income tax level comparable to Louisiana, Moseley says. If income taxes caused the dismal situation, it should exist in DC too. Right?
MAY 22 This post by columnist John Maginnis traces the trajectory of the bill that would fund construction at community and technical colleges -- and bypass the Board of Regents and traditional higher ed funding mechanisms. Sure, it will bust the legislature's self-imposed debt limit, but some leges feel that there's more need (because there is more growth) in the community and technical college area than in the university area, he says.
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