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Cable competition can raise revenue for ROCs

When it comes to cable (TV and internet) services, most of us don’t have a choice of providers. Unlike telephone companies, cable companies are not required to share their lines with their competitors.

This was supposed to incentivize cable providers to innovate and develop better ways to provide their services. Unfortunately, this hasn’t happened. Most consumers have only one cable option, even if they don’t like that option.

Television cable remote aimed at screenThis is starting to change in New Hampshire, where multiple providers are starting to appear in towns such as Rochester and Laconia.

Consumers win when cable companies compete for customers based on service quality and price. Resident-owned communities can also win when the competition allows them to arrange compensation agreements with cable companies.

Such agreements, standard in other homeowner associations, present a new opportunity for ROCs. The co-op can receive an upfront payment from the provider and a percentage of the revenue the cable company receives from the ROCs residents—at no cost to the cooperative nor additional cost to residents.

In return, the co-op must include the cable company’s brochures in its welcome packets, but the agreement doesn’t bind ROC residents to that—or any—cable provider. Terms and conditions vary, so ROCs should consult a professional before signing an agreement.

If your community is interested in a cable compensation agreement, please contact ROC-NH Director Tara Reardon for more information.

Tyler Labrie is a ROC-NH™ Housing Cooperative Specialist.

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ROC-NH™ is a program of the New Hampshire Community Loan Fund, Inc. and a ROC USA® Certified Technical Assistance Provider.
ROC-NH is a registered service mark of ROC USA, LLC.

 

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