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CAN TV Fights for Promised
Funds
By Kari Lydersen
With programming ranging from the popular Chic-a-GoGo
dance show to live call-in shows hosted by community groups to the
broadcasting of radical political rallies to documentaries about
topics like deindustrialization and gentrification, Chicago's public
access station CAN TV can only be described as a true voice of democracy.
Now CAN TV is embroiled in a battle to secure funding from cable
company RCN.
In a world
of increasing media conglomeration, CAN TV's five channels are open
to everyone from Christian groups to Central America solidarity
committees to Black nationalist organizations and labor unions.
Currently, CAN TV is involved in a critical struggle to secure a
huge portion of its funding from the cable company RCN.
As is the case
with public access in some other major cities, in Chicago CAN TV
gets the bulk of its funding from large commercial cable broadcasters.
When the city council approved a major transfer of concessions from
another company to RCN last spring, part of the deal was that RCN
would continue to fund CAN TV.
In January,
RCN paid $294,000 based on "area one" in which it had already been
operating, but the company has still failed to pay a promised $645,000
based on city areas two through four, which it acquired the right
to build in. AT&T is now paying CAN TV less in areas two through
four since it is sharing the burden with RCN.
"Really from
the very beginning CAN TV has tried to sit down and have some meaningful
discussions with RCN," said CAN TV executive director Barbara Popovic.
"But we were essentially being stonewalled, time was passing and
everything seemed to be conditioned on something else, so we really
began to lose patience. We were spending at the 2001 budget levels
to keep up our services without any good faith discussions going
on with the company about getting these payments."
At a hearing
in the City Council's Finance Committee on April 29, several aldermen
spoke in favor of CAN TV and urged the Cable Commission, in charge
of regulating the industry, to force RCN to pay up.
Joyce Gallagher
of the Cable Commission noted that RCN claimed to be in deep financial
difficulties as a result of the economic downturn, and recently
laid off 300 employees. "I've seen RCN's finances and they don't
look good," she said.
CAN TV spokespeople
have noted that financial difficulties aside, the $645,000, which
is about one quarter of CAN TV's budget, would still be a drop in
the bucket to RCN, which counts computer giant Paul Allen as one
of its investors. RCN has argued that with about $3 million in reserve,
CAN TV can survive without the promised funds. But CAN TV supporters
note that the yearly budget is $2.7 million, and the reserve is
a necessary nest egg; and that RCN's reneging on its promise sets
a very dangerous precedent for other cable companies to do the same
now and in the future.
"I don't think
CAN TV should be penalized for managing their money well," said
27th Ward Alderman Walter Burnett Jr. "And I think we set a bad
precedent if we allow companies not to stick with the promises they've
made. When people start to cry about the economy, they always hit
up the ones that are hurt the most. But I think it's very important
we continue to see [CAN TV has] a valuable role in the city of Chicago.
I can't get on channel 2, 5 or 7 and talk about a park being built
in the 27th ward."
RCN has offered
to pay CAN TV about one percent of the promised amount, around $6,000.
Alderman Bernard Stone (50th ward), who convened the hearings on
the issue, called this offer "insulting." He said, "I find RCN's
actions despicable. Cable access depends on these payments. If RCN
ignores this city, we don't want them in the city."
Gallagher noted
that the commission can pressure RCN to pay by preventing them from
building their franchises. "Our ultimate hammer is revoking their
franchises," she said.
"We will consider
any action available to us, including revoking their agreements,"
added Cable Commission corporate counsel Ben Gibson.
Popovic said
that she was happy with the city council hearing. "I was happy to
see that the aldermen are really taking this seriously and they're
going to make sure the right questions are asked and the company
is held to its promises," she said.
"Everyone's
hurt by the economy, and I think people don't buy the idea that
RCN should get a pass on their promises just because of the economy.
If we lose our job we still have to pay the mortgage, we're not
going to get a pass from the bank. As one of the aldermen said,
it's like they're asking a non-profit to subsidize a for-profit
corporation."
Kari Lydersen is Associate Editor of StreetWise
newspaper and writes for Punk
Planet , Clamor magazine,
In These Times and The
Washington Post.
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