2002 Ron Paul 93:1
Mr. Speaker, I rise to introduce the Television Consumer Freedom Act,
legislation repealing regulations that interfere with a consumers’
ability to avail themselves of desired television programming.
2002 Ron Paul 93:2
My office has received numerous calls from rural satellite and
cable TV customers who are upset because their satellite or cable service
providers have informed them that they will lose access to certain network television
programs and/or cable networks. The reason my constituents cannot obtain their
desired satellite and cable services is that the satellite and cable
"marketplace" is fraught with government interventionism at every
level. Cable companies have historically been granted franchises of
monopoly privilege at the local level. Government has previously intervened to
invalidate "exclusive dealings" contracts between private parties, namely cable
service providers and program creators, and has most recently assumed
the role of price setter. The Library of Congress has even been delegated the
power to determine prices at which program suppliers must make their programs
available to cable and satellite programming service providers.
2002 Ron Paul 93:3
It is, of course, within the constitutionally enumerated powers of
Congress to "promote the progress of science and useful arts by securing for
limited times to authors and inventors the exclusive right to their respective
writings and discoveries." However, operating a clearing-house for the
subsequent transfer of such property rights in the name of setting a just price or
"instilling competition" via "central planning" seems not to
be an economically prudent nor justifiable action under this enumerated
power. This process is one best reserved to the competitive marketplace.
2002 Ron Paul 93:4
Governments attempt to set the just price for satellite
programming outside the market mechanism is inherently impossible. This has resulted in
competition among service providers for government privilege rather than the
consumer benefits inherent to the genuine free market. Currently, while federal
regulation does leave satellite programming service providers free to
bypass the governmental royalty distribution scheme and negotiate directly with
owners of programming for program rights, there is a federal prohibition on
satellite service providers making local network affiliates’ programs available
to nearby satellite subscribers. This bill repeals that federal
prohibition and allows satellite service providers to more freely negotiate with
program owners for programming desired by satellite service subscribers. Technology is
now available by which viewers will be able to view network programs via
satellite as presented by their nearest network affiliate. This market-generated
technology will remove a major stumbling block to negotiations that
should currently be taking place between network program owners and satellite
service providers.
2002 Ron Paul 93:5
This bill also repeals federal laws that force cable companies to
carry certain programs. These federal "must carry" mandates deny cable
companies the ability to provide the programming desired by their
customers. Decisions about what programming to carry on a cable system should be
made by consumers, not federal bureaucrats.
2002 Ron Paul 93:6
Mr. Speaker, the federal government should not interfere with a
consumers ability to purchase services such as satellite or cable television in
the free market. I therefore urge my colleagues to take a step toward restoring
freedom by cosponsoring my Television Consumer Freedom Act.
This chapter appeared in Ron Pauls Congressional website at http://www.house.gov/paul/congrec/congrec2002/cr100202.htm