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How Much is Too Much? Comcast CEO Rakes In $29.1 Million in 2012

Where to put all the cash?

Where to put all the cash?

While you received a 2% cost of living salary hike that was eroded away by rising health insurance premiums this year, Comcast CEO Brian Roberts took $29.1 million in total compensation straight to the bank in 2012, walking home with $3.5 million more this year than last.

Most of Roberts’ compensation is tied to incentive pay that rises along with the value of Comcast stock. Roberts base salary remained flat at $2.8 million, but his non-equity incentive awards rose right along with the 61 percent increase in the value of Comcast stock over 2012. Comcast executive compensation was disclosed in a proxy statement last week.

Comcast stock is up another 11% so far in 2013, fueled by earnings increases from its broadband service and rate increases that have helped the company maintain revenue numbers despite basic video customer losses.

Other Comcast executives are sharing in the pay bonanza. Chief financial officer Michael Angelakis deposited $23.2 million in compensation during 2012, a six percent increase. NBC Universal CEO Steve Burke, now part of the Comcast family, saw his pay rise by 11% from $23.6 million to $26.3 million. Executive vice president David Cohen got a 5% salary boost to $15.9 million last year.

The head of the cable division — Neil Smit — did not do as well. He had to make do with only $18.3 million in 2012 — a 1% decline from his 2011 pay of $18.5 million. With that kind of salary, he might be just one step away from buying store brands, clipping coupons, and turning down the thermostat at night.

Another Phony Comcast “Employee” Burgles Customers’ Homes

Phillip Dampier April 3, 2013 Comcast/Xfinity, Consumer News, Video Comments Off on Another Phony Comcast “Employee” Burgles Customers’ Homes
Costa (West Palm Beach Police)

Costa (West Palm Beach Police)

More subcontractor headaches for Comcast: the company is dealing with negative publicity in Florida over reports that the alleged crack cocaine-smoking girlfriend of a Comcast contractor used his Comcast shirt to barge her way into area homes to rob residents of their jewelry.

Boynton Beach police arrested Heather Costa and charged her with burglary, providing a false name and possession of drug paraphernalia after residents complained the woman was pushing her way into area homes claiming she worked for Comcast and needed to count the number of televisions in the home or check Internet connections. When it comes to drug abuse problems, one can go to drug detox la to get help.

Her efforts were bolstered by her boyfriend’s work shirt which included a Comcast logo. Costa’s boyfriend is a contract employee of the cable operator. Costa used the same excuse Comcast does when it defends itself in the media over the quality of its subcontractors: she didn’t actually work for the cable company, instead claiming to be employed as a third-party vendor performing work for Comcast.

Police might have accepted that, until they found her giving a false name (because she had at least one active arrest warrant on unrelated charges), discovered she had a variety of stolen jewelry in her purse, and a glass tube that was burnt at one end that police believe was used to smoke crack cocaine.

If a telecom company worker arrives unexpectedly on your doorstep, always ask to see ID. Company logos on clothing or paperwork alone do not suffice. If in doubt, keep your door closed and locked and call your provider to verify the person’s status. If you feel unsafe, ask them to leave your property and/or call 911.

[flv width=”640″ height=”380″]http://www.phillipdampier.com/video/WPBF West Palm Beach Heather Costa accused of posing as Comcast employee to burglarize home 4-2-13.flv[/flv]

WPBF in West Palm Beach talked with one of the victims of a fake Comcast worker who fast-talked her way in and allegedly robbed her home of jewelry.  (2 minutes)

Mowing the Astroturf: Tennesee’s Pole Attachment Fee Derided By Corporate Front Groups

phone pole courtesy jonathan wCable operators and publicly owned utilities in Tennessee are battling for control over the prices companies pay to use utility poles, with facts among the early casualties.

The subject of “pole attachment fees” has been of interest to cable companies for decades. In return for permission to hang cable wires on existing electric or telephone poles owned by utility companies, cable operators are asked to contribute towards their upkeep and eventual replacement. Cable operators want the fees to be as low as possible, while utility companies have sought leeway to defray rising utility pole costs and deal with ongoing wear and tear.

Little progress has been made in efforts to compromise, so this year two competing bills have been introduced by Republicans in the state legislature to define “fairness.” One is promoted by a group of municipal utilities and the other by the cable industry and several corporate-backed, conservative front groups claiming to represent the interests of state taxpayers and consumers.

Some background: Tennessee is unique in the pole attachment fee fight, because privately owned power companies bypassed a lot of the state (and much of the rest of the Tennessee Valley and Appalachian region) during the electrification movement of the early 20th century. Much of Tennessee is served by publicly owned power companies, which also own and maintain a large percentage of utility poles in the state.

Some of Tennessee’s largest telecom companies believe they can guarantee themselves low rates by pitching a case of private companies vs. big government utilities, with local municipalities accused of profiteering from artificially high pole attachment rates. Hoping to capitalize on anti-government sentiment, “small government” conservatives and telecom companies want to tie the hands of the pole owners indefinitely by taking away their right to set pole attachment rates.

The battle includes fact-warped editorials that distort the issues, misleading video ads, and an effort to conflate a utility fee with a tax. With millions at stake from pole attachment fees on tens of thousands of power poles throughout the state, the companies involved have launched a full-scale astroturf assault.

Grover Norquist’s Incendiary “Pole Tax”

Conservative Grover Norquist, president of Americans for Tax Reform wrote that the pole attachment fee legislation promoted by public utilities would represent a $20 million dollar “tax increase” from higher cable and phone bills. Even worse, Norquist says, the new tax will delay telecom companies from rushing new investments on rural broadband.

Norquist

Norquist

In reality, Americans for Tax Reform should be rebranded Special Interests for Tax Reform, because the group is funded by a variety of large tobacco corporations, former clients of disgraced lobbyist Jack Abramoff, and several wealthy conservative activists with their own foundations.

Norquist’s pole “tax increase” does not exist.

The Federal Communications Commission (FCC) provides guidelines and a formula for determining pole attachment rates for privately owned utilities, but permits states to adopt their own regulations. Municipal utilities are exempted for an important reason — their rates and operations are often already well-regulated.

Stop the Cap! found that pole attachment revenue ends up in the hands of the utility companies that own and keep up the poles, not the government. Municipal utilities stand on their own — revenue earned by a utility stays with the utility. Should a municipal utility attempt to gouge other companies that hang wires on those poles, mechanisms kick in that guarantee it cannot profit from doing so.

A 2007 study by the state government in Tennessee effectively undercut the cable industry’s argument that publicly owned utilities are overcharging cable and phone companies that share space on their poles. The report found that “pole attachment revenues do not increase pole owners’ revenue in the long run.”¹

The Tennessee Valley Authority, which supplies electricity across Tennessee, regularly audits the revenues and costs of its municipal utility distributors and sets end-user rates accordingly. The goal is to guarantee that municipal distributors “break even.” Any new revenue sources, like pole attachment fees, are considered when setting wholesale electric rates. If a municipal utility overcharged for access to its poles, it will ultimately gain nothing because the TVA will set prices that take that revenue into account.

Freedom to Distort: The Cable Lobby’s Astroturf Efforts

Freedom to distort

Freedom to distort

Another “citizens group” jumping into the battle is called “Freedom to Connect,” actually run by the Tennessee Cable Telecommunications Association (TCTA). Most consumers won’t recognize TCTA as the state cable lobby. Almost all will have forgotten TCTA was the same group that filed a lawsuit to shut down EPB’s Fiber division, which today delivers 1,000Mbps broadband service across the city and competes against cable operators like Comcast and Charter Cable.

One TCTA advertisement claims that some utilities are planning “to double the fees broadband providers pay to the state’s government utilities.”

In reality, cable companies have gone incognito, hiding their identity by rebranding themselves as “broadband providers.” No utility has announced it plans to “double” pole attachment fees either.

TCTA members came under fire at a recent hearing attended by state lawmakers when Rep. Charles Curtiss (D-Sparta) spoke up about irritating robocalls directed at his constituents making similar claims.

“What was said was false,” Curtiss told the cable representatives at the hearing. “You’ve lost your integrity with me. Whoever made up your mind to do that, you’re in the wrong line of work.”

[flv width=”640″ height=”380″]http://www.phillipdampier.com/video/TCTA Pole Attachment Fees Ad 3-13.flv[/flv]

TCTA — Tennessee’s cable industry lobbying group, released this distorted advertisement opposing pole attachment fee increases.  (1 minute)

The Chattanooga Free-Press’ Drew Johnson: Independent Opinion Page Editor or Well-connected Activist with a Conflict of Interest?

Johnson

Johnson (Times Free Press)

In its ad campaign, the TCTA gave prominent mention to an article in Chattanooga’s Times-Free Press from Feb. 27: “Bill Harms Consumers, Kills Competition.”

What the advertisement did not say is it originated in an editorial published by Drew Johnson, who serves as the paper’s conservative opinion editor. Johnson has had a bone to pick with Chattanooga’s public utility EPB since it got into the cable television and broadband business.

That may not be surprising, since Johnson is still listed as a “senior fellow” at the “Taxpayers Protection Alliance,” yet another corporate and conservative-backed astroturf group founded by former Texas congressman Dick Armey of FreedomWorks fame.

Johnson’s journalism credentials? He wrote a weekly column for the conservative online screed NewsMax, founded and funded by super-wealthy Richard Mellon Scaife and Christopher Ruddy, both frequent donors to conservative, pro-business causes.

TPA has plenty to hide — particularly the sources of their funding. When asked if private industry backs TPA’s efforts, president David Williams refused to come clean.

“It comes from private sources, and I don’t reveal who my donors are,” he told Environmental Building News in January.

Ironically, Johnson is best known for aggressively using Tennessee’s open records “Sunshine” law to get state employee e-mails and other records looking for conflicts of interest or scandal.

Newspaper readers may want to ask whether Johnson represents the newspaper, an industry-funded sock puppet group, or both.  They also deserve full disclosure if the TPA receives any funding from companies that directly compete with EPB.

The Institute from ALEC: The Institute for Policy Innovation’s Innovative Way to Funnel AT&T and Comcast Money Into the Fight

Provider-backed ALEC advocates for the corporate interests that fund its operations.

Provider-backed ALEC advocates for the corporate interests that fund its operations.

Another group fighting on the side of the cable and phone companies against municipal utilities is the Institute for Policy Innovation. Policy counsel Bartlett D. Cleland claimed the government is out to get private companies that want space on utility poles.

“The proposed new system in HB1111 and SB1222 is fervently supported by the electric cooperatives and the government-owned utilities for good reason – they are merely seeking a way to use the force of government against their private sector competitors,” Cleland said. “The proposal would allow them to radically raise their rates for pole attachments to multiples of the national average.”

The facts don’t match Cleland’s rhetoric.

In reality, the state of Tennessee found in their report on the matter in 2007 that Tennessee’s pole attachment fees are “not necessarily out of line with those in other states.”²

In fact, some of the state’s telecom companies seemed to agree:

  • EMBARQ (now CenturyLink) provided data on fees received from other service providers in Tennessee, Virginia, South and North Carolina. In these data, Tennessee’s rates ($36.02 – $47.41) are similar to those in North Carolina ($23.12-$52.85) and Virginia ($28.94 – $35.77). Rates were lower in South Carolina.
  • Cable operators, who have less infrastructure on poles than telephone and electric utilities, paid even less. Time Warner Cable provided mean rates per state showing Tennessee ($7.70) in the middle of the pack compared to Florida ($9.83) and North Carolina ($4.86 – $13.64).

In addition to his role as policy counsel, Cleland also happens to be co-chair of the Telecommunications and Information Technology Task Force of the American Legislative Exchange Council (ALEC). Members of that committee include Comcast and AT&T — Tennessee’s largest telecom companies, both competing with municipal telecommunications providers like EPB.

¹ Analysis of Pole Attachment Rate Issues in Tennessee, State of Tennessee. 2007. p.23

² Analysis of Pole Attachment Rate Issues in Tennessee, State of Tennessee. 2007. p.12

Comcast: Pay for Your Own Backup Batteries Because We Don’t Include Them Anymore

Phillip Dampier March 25, 2013 Comcast/Xfinity, Consumer News 14 Comments
Comcast's eMTA backup battery. (Image: David Trebacz)

Comcast’s eMTA backup battery. (Image: David Trebacz)

Comcast digital phone customers will no longer receive battery backup and monitoring service free of charge, according to a notification mailed to customers with their bills:

“Effective February 26, 2013, a battery backup and battery monitoring will no longer be provided free of charge. For existing XFINITY Voice customers with backup batteries, Comcast will continue to monitor your current battery at no charge; however, replacement batteries and their monitoring will no longer be provided free of charge. Backup batteries (which include monitoring) will be available for purchase.  Please call 1-888-972-1261 for pricing and details. XFINITY Voice uses the electrical power in your home. If you do not have a battery backup, you will not be able to use this service, including the ability to make emergency 911 calls, during an electrical power outage.”

Comcast customers leasing eMTA modems (which supply the cable company’s phone service) report that before the change batteries were included in the box. But not anymore, even though the packaging and accompanying literature still show the battery is included.

The lithium-ion battery keeps Comcast’s phone service working during power outages, but like other rechargeable batteries, it does eventually wear out. Now customers pay to replace them, even though the modem itself is leased to the customer.

Scott, a Comcast customer in Michigan, told Comcast he was unhappy with what seems like a petty cutback:

“I’m really miffed that they would now suddenly require customers to purchase a battery for a leased device,” Scott said.

Comcast’s Emergency Alert System Puts Sarah Palin on Every Channel in Mid-Tennessee

Phillip Dampier March 20, 2013 Comcast/Xfinity, Consumer News, Public Policy & Gov't Comments Off on Comcast’s Emergency Alert System Puts Sarah Palin on Every Channel in Mid-Tennessee
Sarah Palin and her Big Gulp were seen on every Comcast channel in mid-Tennessee until technicians could force her off subscribers' screens.

Sarah Palin and her Big Gulp were seen on every Comcast channel in mid-Tennessee until technicians could force her off subscribers’ screens.

“If this had been an actual emergency, you would not be seeing Sarah Palin holding a Big Gulp while addressing the Conservative Political Action Conference convention….”

The former vice-presidential candidate got free extra publicity from Comcast cable systems serving middle Tennessee on Saturday night when a test of the emergency alert system went haywire and switched every Comcast channel to Gov. Palin’s speech given to a conservative political group.

Subscribers may have been amused until they discovered she was on every channel, and there was no way to get rid of her and back to regular programming until a Comcast technician could be called on to reset the system.

“The Comcast cable system serving middle Tennessee has experienced a problem with its emergency alert system,” Comcast spokeswoman Sara Joe Houghland said in an e-mailed statement. “Impacted customers had their equipment locked onto C-SPAN until Comcast personnel were able to resolve the problem shortly thereafter. The company is working diligently to find the root cause of the matter.”

Not diligently enough for irritated subscribers, some who missed post-season basketball games or network shows.

The Tennessean reports this is not the first time Comcast has had this problem:

  • It happened again on Monday morning when a line of powerful storms moved through the area;
  • A similar incident happened when a string of tornadoes hit the Nashville area in late January.

Comcast-LogoThe problem seems to be the “end of warning/test”-signal not being processed properly by Comcast, which then keeps the warning active until the equipment is reset. In January, the newspaper reports the “end of message” disengage signal was missing altogether.

The Tennessee Association of Broadcasters have lost their patience and have asked the FCC to exclude local stations from being overridden by the EAS warning system.

Their argument is that any real emergency will likely be covered by local newsrooms well in advance of any weather or news messages dispatched through the EAS system.

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