In a four-to-three vote, Troutdale OKs Verizon franchise

By Shannon Wells

The Gresham Outlook, Dec 24, 2008, Updated Oct 30, 2009

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In an ambivalent four-to-three vote, the Troutdale City Council approved a Verizon franchise to offer fiber-optic cable TV to city subscribers at a special Tuesday, Dec. 16, meeting.

Like Wood Village and Fairview before it, Troutdale passed an agreement modeled on a deal approved Nov. 18 by the Gresham City Council. That unanimous vote codified a less-stringent franchise deal than what the Mt. Hood Cable Regulatory Commission recommended after a 17-month negotiating period with Verizon officials.

Like its smaller neighbors, Troutdale’s franchise will operate as an addendum to the agreement with Gresham, whose 30,000 potential subscribers far outnumbers those of other cities. Troutdale has a little more than 3,000 potential subscribers.

In the unlikely event that Gresham would nullify its franchise, Verizon requires revisiting certain provisions of the franchise with the remaining cities.

Mayor Paul Thalhofer, in the last council meeting of his expiring term as mayor, expressed clear dissatisfaction with the outcome. He maintains it undercuts the will of the cable commission, for which Councilor Norm Thomas, who voted against the franchise, serves as chairman.

“It was my understanding that there was going to be an agreement between Verizon and the city of Troutdale,” Thalhofer said. “It was not my understanding that it was going to be an agreement between Gresham and Troutdale.”

Explaining his “yes” vote, Council President Doug Daoust said approving the franchise was not a repudiation of the commission or its consumer watchdog function.

“I’m voting for the citizens of Troutdale,” he said. “I’m not voting against the Mt. Hood Cable Commission or against Gresham. We have to step back from the details of this agreement. The best thing is to give (customers) a direct voice.”

The agreement bases Verizon’s violation fine limits on its actual number of subscribers with a $140,000 maximum, less than what the commission requested, but $100,000 more than what Verizon wanted. It also affirms Verizon’s insistence that customer service standards be locked in — rather than subject to a five-year review — for the entire 10-year contract.

Verizon representative Larry Manion explained to the council that his company going head to head with Comcast, an entrenched cable provider, gives it every incentive to provide impeccable customer service. He also plugged Verizon’s high-definition picture quality and the upcoming availability of 150 HD channels.

“Typically, what we’re seeing is the customer gets a lot more television for the same dollar,” he said. “The other thing is, if we don’t step up to the plate and provide quality customer service, (customers) can go elsewhere.”

Pointing out Troutdale’s reputation for forging its own path among East County cities, Councilor Dave Ripma expressed disappointment that his city would piggyback on terms Gresham established.

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