Cable issue up in air for UA's Residence Life

The Department of Residence Life's negotiations with TCI ended because of a disagreement over perpetual rights. Under federal law, TCI has perpetual rights to the renewal of continuing cable service, but the University of Arizona, as a state agency, cannot enter into a contract that grants perpetual rights.

Residence Life is now pursuing a hearing with the FCC on its cross-ownership rule so it can eventually provide cable television to its residents.

In a letter sent to all on-campus residents March 27, Residence Life apologized for building up residents' hopes over the past year and updated them on the department's intention to pursue cable television in the near future.

Steve Gilmore, assistant director of Residence Life, said the Washington, D.C. law firm of Dow, Lohnes and Albertson has been working toward a proposal to ask the FCC to redefine laws so that the university will not be defined as a cable system.

Federal law prohibits an institution from owning and running a cable system and a television station at the same time. This poses a problem because the UA owns KUAT, a public television station. Dow, Lohnes and Albertson represents the interests of KUAT. The firm specializes in public broadcasting and educational telecommunications.

Todd Gray, an attorney in the firm, has been researching other universities that have had similar situations in the past but has not found much precedent for the UA's case.

The UA has two options when it presents its argument to the FCC. It can argue that the UA is not a "cable system" under the FCC's current definition. The UA can also ask for a waiver on the ruling.

Gray said the UA will most likely pursue both options.

One of the definitions the FCC has for cable system owners is that it provides service to the general public, Gray said. The UA is arguing that its residents are not members of the general public because students live there for educational reasons.

Gray said the UA has not set a timetable on when it will bring its case to the FCC, but said he was anxious to move ahead with the process. He said he was unsure as to how the FCC would rule because the situation has little precedent.

If the FCC rules in favor of the UA, Gilmore said the university would put out a competitive bid to all the local cable companies to find the best possible source for programming and service. The UA would have the option of putting up its own satellite receivers and antennas. It could also negotiate directly with cable channels like CNN and MTV to provide broadcast services directly, Gilmore said.

If the FCC rules against the UA, the university will still have other options, Gilmore said.

An agreement with TCI would have vested operational control of the system with the company, allowing the UA to comply with the law and provide residents with cable television. TCI was the only company the UA could use to provide system services because TCI owns the rights to cross public rights-of-way within the city.

The cable system between the residence halls crosses under city-owned streets, including North Park Avenue.

TCI has made no capital investment in the construction of the UA's cable system, Gilmore said. He said it cost the UA approximately $800,000 to install the system.

Gilmore said the UA has another option if the City of Tucson concedes property to the UA so the cable system will not cross public rights-of-way. The UA could also send the cable signal via microwave signals across rights-of-way, Gilmore said. The latter would be "an extremely expensive option," possibly in six figures, Gilmore said.

The department said dorm residents will continue to be informed as the situation develops.