Your modem needs an expensive upgrade, even if you own your own.

Frontier Communications customers may get less than they bargained for when calling the company about a malfunctioning modem or problem with service. Andrew, a Stop the Cap! reader from Tennessee discovered a simple service call left him stuck with two separate contracts for phone and Internet service, a major broadband speed reduction, and a sense that Frontier is willing to sign up customers without fully disclosing what they are selling.

Andrew reports he originally called Frontier to discuss a possibly damaged DSL modem. Upon hearing the model number, a Frontier customer service representative needed to hear no more — the modem “needed to be upgraded.” In fact, Frontier has been mailing postcards to customers with older modems not subject to monthly rental fees telling them their existing modem was “no longer supported” and needed to be replaced with a new model. In the fine print, the customer learns if they proceed, they will end up paying a monthly modem rental fee starting at $6.99… forever.

But things got much worse for this Frontier customer after he contacted the company to say he’d be keeping his current DSL modem, which turned out to be working just fine:

I was then told there would be about a $20 price drop on my next bill (for July). I asked the agent why and her response was, “oh, our prices are going down.” I said okay, thanked her and hung up the phone.

The next morning, I got an email from Frontier thanking me for my ”recent purchase or renewal of services,” further asking me to click and view the Terms of Service agreement for High Speed Internet (and to submit the PIN number associated with my account).

I then called Customer Service about the email. I was told that I had upgraded my phone service the previous day. It turned out that the agent upgraded my phone service to include their ”Digital Essentials” phone features package and had locked me into two price protection plans for both services. There was a one-year plan regarding the phone service and a two-year plan for the High Speed Internet.

I was shocked and informed the agent that I had made no such changes to my phone/Internet services and that I had simply called about cancelling a support ticket on my account regarding the modem.

He later tried to claim that I had given the previous agent authorization when I said okay after she had informed me about the price drop. I told him that was absolutely ridiculous, especially since she never discussed any upgrades to my phone service or any changes regarding my Internet. I asked him how it could be an authorization when what was done to my account was never fully explained (or asked for).

We’ve got a deal too good to refuse.

The Frontier agent then proceeded to hard-sell Andrew the same plan the former agent already applied to his account. The Frontier representative did not bother to mention the “upgrade” and “savings” he was getting included a drastic speed reduction. Frontier sold Andrew a package that included just 1.2Mbps broadband.   That is less than half the speed of his original 3Mbps service, for which he paid $40 a month with no modem rental fee.

Now Andrew is stuck with two contracts, both which carry early termination fees that will total well in excess of $100, the likelihood of a modem rental fee for a new modem he has never received and does not want, and less than half the broadband speed he used to get.

“I was never told by either agent I spoke with that my Internet speed would be [reduced] once the ‘upgrade’ was performed,” Andrew writes. “This, in my opinion, is fraud. Had I known a slower speed would be the end result of their price drop, I would have never [signed up].”

Now Andrew wants his old plan back and Frontier is stalling.

Frontier has a track record of retiring older service plans and packages, but leaving existing customers grandfathered on them until a representative can convince a customer to switch to something else. Unfortunately, newer plans often come with higher prices and more surcharges than older ones, which is part of the company’s effort to increase average revenue earned from each customer. Once off a discontinued plan, low level customer service representatives typically cannot re-enroll a customer.

But those who complain the loudest can get back the service they used to have, just by becoming a nuisance. Start by calling Frontier and asking to speak to a supervisor or manager. If that fails, ask to be transferred to the department that handles disconnections and threaten to drop all Frontier services if the company does not relent and put you back on the plan you started with.

Customers can also file complaints with their state utility regulators. In Tennessee, that is the Tenessee Regulatory Authority. Their online complaint form is here. Unfortunately, many states have succumbed to deregulation rhetoric and state regulators lack significant enforcement powers. But utilities that routinely filibuster state officials risk generating enough legislative energy to support a “re-regulation” effort, so most utilities will connect complainers to an executive level customer service department that can cut through red tape.

Customers can also file complaints with the Better Business Bureau and their state’s Attorney General. The more noise you generate, the more likely Frontier will satisfy your request.

Frontier customers are advised that anytime a customer service representative asks you to complete an online agreement using your PIN number, it signals you are about to commit yourself to a term contract or other major change in service that could prove costly to undo.

Always ask the Frontier representative to e-mail you a copy of the terms of the plan you are enrolling in, including broadband speeds, phone features, contract length and early termination fees.

Always read the agreement you are being asked to complete online.

If you have any questions, call Frontier before you sign. Some plans include a 14 or 30 day penalty-free cancellation provision. While this alone may not restore your old service, it can prove an important negotiating tool to win back the service you had before.

The AARP was surprised to learn Idaho was considering loosening the rules imposed on the state’s phone companies to complete repairs on out of service landlines within 24 hours. The organization, which represents the elderly, says the new rules are a serious threat to older Idahoans who are the least likely to have a cell phone and require landlines in case of an emergency.

The Idaho Public Utilities Commission is considering relaxing regulations governing service outages at the behest of CenturyLink and Frontier Communications, two of the state’s largest phone companies. Both phone companies argue that consumers have cell phone alternatives and do not need rapid repair of landline service. The companies also do not want to face penalties from regulators over incomplete or delayed repairs to out of service landlines.

CenturyLink claims the declining number of landline customers justifies the reduced regulations on the state’s phone companies.

But the AARP argued otherwise in opposing comments filed last week:

• Give telephone companies twice as long to repair outages (from 24 hours to 48 hours), and even more time if they occur over the weekend.  Opposing the change, AARP reminds the PUC of the importance of landlines to the elderly, and the fact that home and health emergencies also occur over the weekend.
• Remove any penalties to telephone companies for not restoring service within the allotted period of time.  Currently if service is not restored within the repair interval, customers can receive a one month service credit.  AARP says removing the penalty leaves little incentive for timely repairs and erodes consumer protections.
• Lower benchmark for fixing outages. Currently, at least 90% of service outage reports must be fixed, the proposed changes would lower that to 80%.  AARP says the lower benchmark could mean more consumers going without crucial service for a longer period of time.

Other claims made by CenturyLink – such as the assertion that its ability to deploy broadband suffers because its personnel are unreasonably diverted to repair work – are unproven and largely irrelevant to its obligation to maintain reliable telephone services, says AARP.

The elderly advocacy group argues the little known case is one more example of the need for Idaho to establish a Utility Consumer Advocate Office to ensure residential consumers are represented in complex regulatory matters.  Idaho is the only state in the West without such an office and one of a handful nationwide.

Stephenson: Payback time.

Six weeks after AT&T’s colossal $39 billion dollar merger with T-Mobile USA fell apart, AT&T CEO Randall Stephenson opened his checkbook and donated $30,800 (the maximum allowed under federal law) to the Republican National Committee.

That contribution dwarfs Stephenson’s largest previous donation over the past twenty years: $5,000, according to the Center for Responsive Politics.

Bloomberg reports that Stephenson took a credibility and pay hit from the merger debacle, forcing AT&T to turn over $4 billion in deal penalties to its rival, T-Mobile, including precious wireless spectrum. The deal’s collapse personally cost Stephenson more than $2 million in bonus pay.

Although AT&T is not commenting, Wall Street analysts are, and they suspect Stephenson is sending the Obama Administration a clear message that he is upset with the decision to challenge the merger. The rest of AT&T appears to be following suit, with nearly two-thirds of political contributions, mostly from company executives, going to the Republican party which has traditionally maintained a much more friendly relationship with the communications giant.

Several Republicans criticized the Justice Department and Federal Communications Commission for interfering with the merger deal which consumer advocates argued would reduce competition and raise prices for wireless services. Republicans have also expressed near-universal support for AT&T’s policy positions on Net Neutrality, community broadband, usage-based pricing, spectrum and price deregulation, removal of state oversight of telecommunications services, and marketplace consolidation.

AT&T is a major sponsor of this summer’s Republican National Convention in Tampa, Fla. Several former lobbyists for AT&T are now working with the Romney campaign and its money bundling operations on behalf of the Republican presidential candidate.

The center reports no personal political contributions from the heads of either Verizon Wireless or Sprint.

Roger Entner, an analyst with Recon Analytics in Dedham, Massachusetts, notes AT&T was still trying to make nice with Obama Administration officials as late as last December, sending ornate cupcakes to various administration officials, including those at the FCC.

Entner noted it didn’t work.

Data provided by OSHA statistics

A new joint investigation by Frontline and ProPublica reveals serious lapses in safety for America’s cell tower workers, a career now considered one of the most hazardous and life-threatening in America.

In the last eight years, 50 climbers have died, with many more injured installing and servicing cell sites for AT&T, Verizon Wireless, Sprint, and T-Mobile. The investigation finds many of these deaths and injuries were preventable, but as America’s profitable cell phone companies outsource jobs to cut-rate subcontractors (and the sub-contractors they often use themselves), safety measures take a back seat to low-ball bidding and profits.

Efforts to hold companies accountable are stymied by the byzantine layers of third party companies hired to do the work, an under-equipped federal safety agency, and difficulty assessing where the responsibility lies when things go wrong.

From ProPublica and Frontline:

From their perch atop the contracting chain, carriers typically set many of the crucial parameters for work on cell sites, including deadlines, pay rates and even technical specifications, down to the exact degree an antenna should be angled. An analysis of cell tower deaths by ProPublica and PBS “Frontline” showed that tight timetables and financial pressure often led workers to take fatal shortcuts or to work under unsafe conditions.

“We’ve had a number of situations where we think that accidents were caused by companies trying to meet deadlines and … cutting corners on safety in order to meet those deadlines,” said Jordan Barab, OSHA’s deputy administrator.

But Barab said it’s difficult for the agency to hold cell companies responsible for safety violations involving subcontractors. In most cases, federal officials have interpreted OSHA regulations to mean that carriers can be held accountable only if they exercised direct control over subcontractors’ work or were aware of specific unsafe conditions.

OSHA has not sanctioned cell carriers for safety violations implicated in any subcontractor deaths on cell sites since 2003, a review of agency records by ProPublica and PBS “Frontline” found.

Most of OSHA’s enforcement efforts have focused on a transient cast of small subcontractors, though they, too, typically have eluded significant penalties. Over the last nine years, the median fine levied for safety violations linked to a fatal tower accident was $3,750, an analysis by ProPublica and PBS “Frontline” showed.

[flv width=”512″ height=”308″]http://www.phillipdampier.com/video/PBS Frontline Cell Tower Deaths 5-23-12.flv[/flv]

Watch this segment from PBS Frontline exploring ‘Cell Tower Deaths,’ and what can be done to stop them.  (30 minutes)

The southern tier city of Elmira, N.Y. is not too happy with Time Warner Cable’s lock on the local cable market.

“There’s no competition so their prices continue to go up, their offers continue to go down, and the people here with no other competition are just paying and paying and paying,” Elmira mayor Sue Skidmore told WETM News.

Skidmore and the city council intend to hold public hearings on the cable operator’s franchise renewal before they attempt to negotiate the next 10-year agreement with the cable company.

“This gives the public an opportunity to come and say anything good or bad pertaining to the cable franchise,” said city manager John Burin. The public meeting is scheduled for 7pm, June 4, on the second floor of Elmira City Hall.

Skidmore

The city’s ability to press Time Warner Cable for lower rates or service changes are extremely limited, however. Wholesale deregulation of the cable television industry has allowed most cable operators to manage their systems as they see fit, with no obligation to accept the recommendations of local government.

This fact of life was underscored when Time Warner mailed its own vision of what a renewal agreement with the city should look like, prior to any public discussion.

The city’s lawyer, John Ryan Jr., told the Ithaca Journal the company deleted several provisions in the proposed renewal agreement that are part of the current agreement. Ryan intends to speak with the operator about those changes, and wants to see changes in the city’s favor.

In most franchise renewal agreements, the only leverage a city typically has is to threaten not to renew a cable franchise. That is a very rare occurrence, however, because it is exceptionally rare for another major cable provider to agree to service a city that cancels a franchise renewal with another company. In the end, most renewal agreements come down to handshake agreements to correct any long-standing service issues, agree to wire certain unserved areas, and negotiate over public, educational, and government access channels and franchise fees payable to the city.

The local telephone company, Verizon Communications, has no plans to provide its FiOS fiber optic service in the city, leaving customers with the competitive option of landline phone service, DSL, and a contract with Verizon’s satellite TV partner, DirecTV.

[flv width=”360″ height=”290″]http://www.phillipdampier.com/video/WETM Elmira City Of Elmira To Negotiate With Time Warner Cable 5-21-12.mp4[/flv]

WETM in Elmira reports city officials are preparing for franchise renewal discussions with Time Warner Cable. The cable company is already on that, preemptively sending the city a franchise renewal agreement it wrote itself. (1 minute)