Franchise FAQ

what is a franchise fee comcast

by Aniyah Purdy DDS Published 1 year ago Updated 1 year ago
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Franchise Fee - Franchise fees are paid to local governments as compensation for Comcast’s use of the public rights-of-way and easements. The Federal Cable Act authorizes cable operators to collect from customers the full amount of franchise fees paid to local governments. This is a monthly fee or percentage of applicable charges for Video service.

Franchise Fee
Franchise fees are paid to local governments as compensation for Comcast's use of the public rights-of-way and easements. The Federal Cable Act authorizes cable operators to collect from customers the full amount of franchise fees paid to local governments.

Full Answer

How are franchise fees calculated?

  • Divide your total gross assets by your total issued shares carrying to 6 decimal places. ...
  • Multiply the assumed par by the number of authorized shares having a par value of less than the assumed par. ...
  • Multiply the number of authorized shares with a par value greater than the assumed par by their respective par value. ...
  • Add the results of #2 and #3 above. ...

More items...

What is included in a franchise fee?

The average franchise fee is $34k, but varies heavily by franchise category. Franchise fees are meant to cover the cost of onboarding new franchisees. In return for a franchise fee, you receive training, the rights to use the brand, opening support, operations manuals, and more which we cover below.

How is the franchise fee determined?

When determining the initial franchise fee, we initially evaluate the following:

  • The sophistication and uniqueness of the business model;
  • The potential ROI and profitability of the franchise business;
  • The initial training and support provided to Franchisees by the Franchisor;
  • The Franchisor’s costs and expenses associated with the acquisition and grant of a franchise; and
  • Anticipated demand for the franchise offering.

What is Comcast Service Plan Fee?

Update: Comcast Xfinity is raising the “TV Box fee” from $5 to $7.50 per month, per device, starting in January of 2021. I’ll take that trade any day.

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What is a franchise fee on my cable bill?

In the United States cable television industry, a cable television franchise fee is an annual fee charged by a local government to a private cable television company as compensation for using public property it owns as right-of-way for its cable lines.

How do I get rid of Comcast TV broadcast fee?

Unfortunately, the only way you can get rid of this charge is by canceling your television services with Comcast or Xfinity. Although some people resort to contacting third-party service providers to do the negotiations, those would just be minor things.

Is Comcast a franchise?

Franchise Fee Every city in which Comcast operates negotiates a franchise agreement, which sets out what the city receives for allowing Comcast to provide services.

Does Comcast charge a service fee?

The amount you'll pay for Xfinity's broadcast fee varies by region and package. But from what I could find, it's up to $19.45 per month. There's no way to remove Xfinity Comcast's broadcast TV fee unless you cancel their television services.

Why is Comcast charging a broadcast TV fee?

Broadcast TV Fee It is based on our costs of providing the local broadcast stations that we carry on our cable systems in each area. These costs include the fees that the broadcast stations charge us to carry them on our cable systems, which are among the fastest growing components of our programming costs.

How do you avoid broadcast fees?

There are only two ways to get rid of broadcast TV fees and other questionable fees from TV providers:Cancel your TV service: Poof—no more fees. ... Try an over-the-air (OTA) TV antenna: For a one-time payment starting at $30, OTA antennas pick up all of your local stations plus their subchannels.More items...

What is the installation fee for Xfinity?

$89.99Does Xfinity charge for installation?Installation typeCostXfinity pro installation$89.99 one-time fee

Why is the A 911 fee on my Comcast bill?

911 Fee - This fee helps states and localities fund their 911 and E911 systems, along with other emergency services. The amount of this fee varies by state, and in some states the fee may vary by locality. This fee represents a greater part of what the state or local governments charge us based on voice services.

Why does Comcast charge a regional sports fee?

To answer your question, the regional sports fee is an itemized charge that you'll see on your bill. This charge is not a government-mandated fee and will increase from time to time. It's based on our costs of providing the regional sports networks that we carry on our cable systems in each area.

How can I lower my Comcast 2022 bill?

How to Lower Your Xfinity BillChoose a TV package with fewer channels.Lower your internet speed.Stop going over your data cap.Get rid of rental equipment.Negotiate your monthly cost.

Will Xfinity lower my bill if I threaten to cancel?

That means that your cable company is going to be willing to give you a hefty discount to keep your subscription — but only if they actually think you're going to cancel otherwise. If they think you're just bluffing, then they have no reason to offer you a discount.

Why is my Xfinity bill so high?

The most common reason for Xfinity customer bills to go up is the removal of first-year discounts. This typically increases the bill amount by about $20 per month.

Can I get rid of the broadcast TV fee?

The best way to get rid off TV broadcast fee is by negotiating with the company's customer support. Otherwise, you might have to look into third-party service providers that don't require you to pay extra for services you don't avail of.

How can I get local channels without cable?

The best options to stream local ABC, NBC, Fox, and CBS are DIRECTV STREAM, Hulu + Live TV, and YouTube TV. They all offer a way to live stream major broadcast networks in nearly every market in the US. FuboTV is also an option.

Why do I have to pay a sports fee on Comcast?

The Regional Sports Network Fee is an itemized charge on the Xfinity statement that covers our ability to broadest local sporting events(whether collegiate, intramural, semi-pro, or professional) via your local stations. To remove this charge the best way would be to downgrade out of TV service.

How do I get local channels with Comcast?

Go to the Apps Menu and select the Local Now tile. The main screen will show local news, weather and videos (according to the zip code at your service address) and more.

What is broadcast TV fee?

The Broadcast TV Fee is an itemized charge that you'll see on your bill. This charge is not a government-mandated fee and will increase from time to time. It is based on our costs of providing the local broadcast stations that we carry on our cable systems in each area. These costs include the fees that the broadcast stations charge us to carry them on our cable systems, which are among our largest increasing costs. The Broadcast TV Fee is not included as a part of our promotional pricing or pricing under your minimum-term agreement and can increase during your promotion or minimum-term. You'll receive advance notice before an increase takes effect.

What is regional sports network fee?

The Regional Sports Network Fee is an itemized charge that you'll see on your bill. This charge is not a government-mandated fee and will increase from time to time. It's based on our costs of providing the regional sports networks that we carry on our cable systems in each area. These costs include the fees that regional sports networks charge us to carry them on our cable systems, which are among our largest increasing costs. The Regional Sports Network Fee is not included in our promotional pricing or pricing under your minimum-term agreement and can increase during your promotion or minimum-term. You'll receive advance notice before an increase takes effect.

What is the Federal Cable Act?

The Federal Cable Act authorizes cable operators to collect from customers the full amount of franchise fees paid to local governments. Some local governments impose this tax on users of certain communications and/or video services.

What happens to rental fees when promotion ends?

This rental fee may change from time to time, and you will receive advance notice before an increase takes effect. State Universal Service Fund.

Is regional sports network fee included in promotional pricing?

The Regional Sports Network Fee is not included in our promotional pricing or pricing under your minimum-term agreement and can increase during your promotion or minimum-term. You'll receive advance notice before an increase takes effect. Regulatory Cost Recovery.

Does Xfinity charge for rental equipment?

If you rent your TV Box, modem or voice equipment from Xfinity, you may see a separate line item on your monthly bill. Your equipment rental fee could be included in your service charge or be provided as part of a promotion, in which case you may not see a separate charge for that equipment. However, depending on your package, we may charge separately for the equipment. If you are receiving equipment under a promotion, you will be charged the rental fee for that equipment when your promotion ends. This rental fee may change from time to time, and you will receive advance notice before an increase takes effect.

Does Netflix increase their monthly bill?

Third-party companies, such as Netflix, billed through your monthly bill may increase their pricing from time to time. Each third-party company is responsible for notifying you of their price change. Their adjusted pricing will be reflected on your monthly bill. Regional Sports Network Fee.

Is Comcast a government mandated service?

This is not a government-mandated or required fee and will increase from time to time. Comcast and other providers have broken these fees out so you and the public can more readily identify the impact of increases in broadcast costs on their services.

Is broadcast TV fee included in promotional pricing?

The Broadcast TV Fee is not included as a part of our promotional pricing or pricing under your minimum-term agreement and can increase during your promotion or minimum-term. You will receive notice before an increase takes effect. Applies to Business TV customers only. Regional Sports Network Fee.

Is Comcast a collection agent?

The fee is generally owed to the state or local government by the subscriber and Comcast acts as a collection and remittance agent. This surcharge may be calculated per access line, per telephone number, per account, or as a percentage of applicable charges. The amount may vary each month.

Is equipment rental included in service charge?

Your equipment rental fee could be included in your service charge or be provided as part of a promotion, in which case you may not see a separate charge for that equipment. However, depending on your package, we may charge separately for the equipment.

What is a Comcast franchise fee?

Franchise Fee - Franchise fees are paid to local governments as compensation for Comcast’s use of the public rights-of-way and easements. The Federal Cable Act authorizes cable operators to collect from customers the full amount of franchise fees paid to local governments. This is a monthly fee or percentage of applicable charges for Video service.

What is broadcast TV fee?

Broadcast TV Fee - An itemized charge you will see on your bill. This charge is not a government-mandated fee and will increase from time to time. It is based on our costs of providing the local broadcast stations that we carry on our cable systems in each area. These costs include the fees that broadcast stations charge us to carry them on our cable systems, which are among our largest increasing costs. The Broadcast TV Fee is not included as a part of our promotional pricing or pricing under your minimum-term agreement and can increase during your promotion or minimum-term. You will receive advance notice before an increase takes effect. This is a fixed monthly fee for Video service.

What is regional sports fee?

Regional Sports Fee - An itemized charge you will see on your bill. This charge is not a government-mandated fee and will increase from time to time. It is based on our costs of providing the regional sports networks that we carry on our cable systems in each area. These costs include the fees that regional sports networks charge us to carry them on our cable systems, which are among our largest increasing costs. The Regional Sports Network Fee is not included as a part of our promotional pricing or pricing under your minimum-term agreement and can increase during your promotion or minimum-term. You will receive advance notice before an increase takes effect. This is a fixed monthly fee for Video service.

What is directory listing management fee?

Directory Listing Management Fee - This item covers the cost related to the management of customer’s directory listing (s). This is not a government mandated or required fee and will increase from time to time. This is a fixed monthly cost for Voice service.

What is Comcast's gross receipts tax?

Gross Receipts Tax - This tax is imposed by state and local governments on Comcast’s gross revenues. This is a percentage of applicable charges for Voice and Video service.

What is a PEG fee?

Public, Educ & Govt Fee – Public, educational, and governmental (PEG) access channel fees are assessed by cable franchising authorities for costs associated with those local channels. This is a monthly fee or percentage of applicable charges for Video service.

What is a cable franchise fee?

In the United States cable television industry, a cable television franchise fee is an annual fee charged by a local government to a private cable television company as compensation for using public property it owns as right-of-way for its cable. In the US, cable television services are provided by private for-profit companies, ...

How many categories of franchise fees are there?

Justifications or rationales for the franchise fee fall into six basic categories:

How long does a franchise fee last?

It can be renegotiated when the franchise agreement comes up for renewal, usually at intervals of 10 to 12 years. Although it is paid to a government, it is not ...

What is exclusive compensation?

Exclusivity - compensation to the government for allowing the cable operator to maintain a de facto monopoly on cable service in the area.

What is the maximum amount of revenue a municipality can receive from cable?

Section 622, states that municipalities are entitled to a maximum of 5% of gross revenues derived from the operation of the cable system for the provision of cable services such as Public, educational, and government access (PEG) TV channels.

Is the franchise fee on cable bill a tax?

If it just appeared on accounting statements as a lump sum payment by the cable provider, it would be perceived by the public more as a fee-for-service, which is how governments regard it. However, the Communications Act provides the transparency of the franchise fee so that customers of the cable company understand the fee imposed by the government upon the cable company.

Is the cable fee a tax increase?

Cable providers, in contrast, see the fee as a cost of doing business which they are passing along to the customer. By listing on their bill the portion attributable to the fee, customers may feel that government is responsible for that portion, not the cable provider. Also, since customers will immediately notice any increase in the fee, and may interpret it as a "tax increase", listing it on the bill may discourage governments from pushing for an increase in the fee when the franchise agreement is renewed.

What is funny about fees?

What is funny is that most of those fees is what a normal company would call the cost of doing business.

Why are concessions so expensive?

Concessions are expensive because you’re there and have no where else to buy food. Just like the airport. Has nothing to do with player salaries. I’ll never understand why people complain about players making a million as they’re paying an owner worth billions. Makes no sense to me at all.

Does Comcast charge a franchise fee?

Comcast not only passes along the Franchise Fee to subscribers as second line but adds a third charge to your bill for related costs of being a franchise in your city.

Does Comcast pay for TV?

To have the right to offer TV in your city Comcast pays your local city a fee. Comcast knows what this fee is because they rarely change but once every few years. For example, in Philadelphia, this fee was last renegotiated in 2015. So, Comcast could easily include this in the advertised price you see online.

Do you have to pay to DVR your shows?

Want to DVR your shows? That is a fee on top of the advertised price.

Does Comcast Triple Play include a DVR?

As best we can tell most Comcast Triple Play packages now include an HD Technology Fee. You can buy the basic locals-only SD package for example without the fee but most Comcast packages will charge you this. Especially if you get a DVR as part of your TV package.

Does Xfinity have a technology fee?

HD Technology Fee - This is included in the advertised price for almost every Xfinity/Comcast package that includes TV. Only the very skinny TV packages (named things like "saver") do not include it. This actually provides more options for people who don't necessarily care about HD.

Why does the FCC collect money?

The FCC collects money from operators so it can exist — and the FCC says it’s cool to recover those costs from customers.

Does Comcast own sports channels?

Like the Broadcast TV Fee, but for sports. It was added in 2015 and was originally $1. And as a Vice article pointed out last year, “Unmentioned by the company is the fact that Comcast owns the regional sports networks in many of its markets. … ”

Does Comcast have a franchise agreement?

Every city in which Comcast operates negotiates a franchise agreement, which sets out what the city receives for allowing Comcast to provide services. Philadelphia’s was renegotiated in 2015, and the city got things like the launch of the low-income Internet Essentials program, discounts for seniors, and tech ed for high-schoolers. Comcast’s site notes, “The Federal Cable Act authorizes cable operators to collect from customers the full amount of franchise fees paid to local governments.”

What is Comcast's quarterly rate?

The rate is modified quarterly which means the amount you are charged can change quarterly as well .

What is the 911 fee?

This is a fee that varies from state-to-state and in some states it might vary based on the county in which you live but it is a fee charged by local governments to Comcast to help fund the 911 systems and of course that fee ends up coming out of your paycheck rather than company profits.

What can I do if I was incorrectly charged a fee?

If you were incorrectly charged a fee, and you tried to use Comcast customer service to fix it but they weren’t able to help, there are two options:

What is an athletic fee in New Mexico?

This is a tax that is imposed for all life pay-per-view professional sports events and it is meant to cover the cost of regulating those contests.

Does Comcast charge a hidden fee?

The cost comes from what the local broadcast stations charge Comcast, and then what Comcast charges you. This hidden fee is certainly well hidden, given that Comcast admits they do not include it in their promotional pricing or under the minimum term agreements, but it can nonetheless increase randomly.

Is Comcast a state or local tax?

State and Local Gross Receipts. This is a tax on the gross revenue from Comcast imposed at the state and local level and it varies by location. It is not government-mandated but Comcast passes the fee on to its customers so that it doesn’t come out of company profits and this fee can change from time to time.

Does Comcast pay programmers?

For example: Comcast pays programmers like HBO in order to offer the channels to consumers, and those programmer fees change regularly, so if you have access to those channels, you might regularly see a hidden increase to your bill even if you signed up under a discounted or promotional price originally. Below is a list of hidden fees, taxes and ...

A letter to Comcast

Fuck you. I've been out of internet for almost 2 days now and my spring break has been over and I'm behind on assignments since I have to do everything online. Also go fuck yourself for telling me to use a public hotspot 😡

Class action suite against Comcast?

I've spent the last few hours trying to cancel TV service. Comcast it make it virtually impossible to do. You can add services really easily but trying to stop service is an endless loop of impossibility.

Customer Service that makes you need a stiff drink

Edit: I posted below about how shitty Comcast’s call center customer service was, so I only feel it’s right to add today how fantastic the tech who came out was. Guy works directly for Comcast, not a sub. Arrived on time, was super nice, extremely professional, knowledgeable, replaced the router quickly and efficiently.

Waiting to talk with an agent online for well over an hour while I'm 0 in line

Fuck comcast. They can raise rates and take away channels (cartoon network) even though you are under a 2-year contract with them.

I have an appointment scheduled, got an automated message telling me they identified and resolved my issue

I've been having issues with my service (constant disconnects)since they had a maintenance window one night a few weeks ago. I was able to get an appointment to have a tech come out.

What is a prorated fee for Xfinity?

Prorated fees incurred with the early cancellation of an Xfinity contract before the term ends. Starting cost will depend on the length of your service agreement.

What happens if you cancel Xfinity?

If an Xfinity customer attempts to cancel service before the end of the agreed-upon contract, an early termination fee will be assessed depending on how much of your initial term remains. This fee amount can be found in the Legal Agreements & Contract details of the account information online.

What happens if my Comcast bill increases?

If there’s an increase in your Comcast Xfinity bill from month to month, promotional pricing may have expired on your services. Xfinity subscribers can find the initial terms of their promotional agreement on their monthly bill or in the fine print account details online.

Does Xfinity charge extra for each month?

Xfinity TV customers can expect the most additional charges on each monthly bill and potential changes to their lineup based on programming costs. Take a look at some Xfinity TV fees that may appear on next month’s bill and what they mean for your service going forward.

Does Xfinity change channels?

Xfinity may change your channel lineup at their discretion based on a number of factors. Each month subscribers are charged the broadcast TV fee outlined above. This fee is comprised of charges from TV networks to carry their channels. If Xfinity determines that customer viewership is no longer high enough to substantiate the broadcast fee to all subscribers, the network may be removed from the lineup to ensure the best value.

Does Xfinity have a phone?

Xfinity offers a variety of plans for internet, TV and phone.

Does Xfinity have a monthly fee?

Customers that choose to add premium channels, HD or standard DVR service and multiple TVs to an Xfinity TV plan can expect to see some additional monthly fees associated with each feature.

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