LTC 015-2007 Atlantic Broadband Notification of a Cable Rate Increase
~ MIAMI BEACH
OFFICE OF THE CITY MANAGER
NO. LTC # 015-2007
LETTER TO COMMISSION
TO:
Mayor David Dermer and Members of the City Commission
FROM:
Jorge M. Gonzalez, City Manager \~
January 25, 2007 0
DATE:
SUBJECT ATLANTIC BROADBAND NOTIFICATION OF A CABLE RATE
INCREASE
On January 25, 2007 the Administration received notice that Atlantic Broadband,
the City's cable provider, will be making changes to their products, prices, and
services effective with their March 2007 billing.
Attached is the letter from Mr. Jim Waldo, Vice President and General Manager,
Atlantic Broadband, explaining the price increases and their packages.
Under the Federal Telecommunications Act of 1996, as amended, the Limited Basic
Service tier is the only tier of service that the City may regulate. The Limited Basic
Service will remain at $12.48 per month.
W
JMG\REP
c: Jose Smith, City Attorney
Tim Hemstreet, Assistant City Manager
Hilda Fernandez, Assistant City Manager
F:\CLER\CLER\FORMSlAtlantic Broadband cable rate increase March 2007.doc
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1681 Kennedy Causeway
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Mr. Jorge Gonzalez, City Manager
City of Miami Beach
1700 Convention Center Drive
Miami Beach, Fl. 33139
January 20, 2007
Dear Mr. Gonzalez,
As your full-service Digital Cable and High Speed Internet provider, Atlantic Broadband is committed to
keeping you infonned about changes in our products, prices, and services. As we enter the New Year, we
want to advise you of the many improvements we have already, and to wonn you of what is planned for
2007.
We recognize that the primary concern of most cable subscribers is that of the system quality and reliability
and the introduction of new services. In 2006 we continued to upgrade our plant distribution network by
installing additional fiber optic nodes and back-up power supplies. These improvements are providing
enhanced digital picture quality, improved reliability and increased service offerings such as the
introduction of digital phone service.
Of course, quality service requires a high level of customer care. Therefore, we continued adjusting our
staffing hours and levels to meet the dynamic needs of our customer base. Customers can coutinue to reach
an Atlantic Broadband representative twenty-four hours a day, every day.
Our investments in South Florida are yielding big improvements and bringing exciting new services to our
customers here:
. The introduction in 2006 of the most technologically advanced Digital Phone service
available today, providing choice and value to our customers for both local and long
distance services.
. The launch of Video On Demand (VOD), a free service for all of our digilal ~.
VOD features a library of thousands of movies and pray...... for purchase along with an
extensive offering of free content that customers can start and stop on their sdIedule.
. The addition of six new programming services to our Digilal Linc-Up: Fuel, The Tube
Music Network, SoundtnIck Channel, Ufetime Real Women. TClIIIIis a.-J IIDd Y_
Uving
. The addition of 7 new networl<s to our Digital Spanisb-Ianguag progr.....unillg (IIOW a
total of 29 channels) : Infinito, El Garaje. Utilloima Discovay ViJ!jar y Vivir. CNN en
EspaIIol, Discovery Kids en Espaftol and EWTN EspaIIoI.
. And by April 30, Plum TV, a 24-bour network featuring local interest JlIup--Ung. will
be added to Limited Basic ehanncI S. In onIerto _..........tAM this excitin& _ Ww....
Atlantic Broadband Local Origination will move to channel 4 I at the time oflaunch.
www.atlanticbb.com
Our popular new channels, advanced services, improved customer care, and the investments in our system
and technology are all part of Atlantic Broadband's commitment to providing the service our customers
deserve and demand. But they also represent major expenses for our company, and that is why we find it
necessary to adjust some of our prices effective with March 2007 billing. The following is an outline of
some of the key features:
. With our most cost-conscious customers in mind, there will be no increase in the price for
Limited Basic Cable Service. The price for this service will remain at $12.48 per month.
. The monthly fee for Value (Expanded) service will be adjusted from $48.95 to $51.45 per
month. This adjustment of $2.50 represents an increase of approximately 5%.
. Our optional monthly Premium Movie service fees will also be adjusted as a result of
increased programming costs. Customers with I Premium (HBO, Cinemax, or Showtime)
from $14.95 to $15.95/month; 2 Premiums from $24.95 to $25.95/month; all 3 Premiums
from $33.95 to $34.95/month.
. For the customers who receive the Value Service in conjunction with Digital Service,
their monthly fee will change from $67.90 to $70.40. Our standalone Digital Service and
receiver price remains unchanged at $18.95Imonth, $12.95Imonth without receiver. For
the customers who receive the Value Service in conjunction with Mundo Latino Valor
service will change from $69.45 to $71.45/month. Mundo Latino Completo (also includes
Value service) will change from $79.95 to $83.45/month. Mundo Latino Basico and
Mundo Latino SOlo prices remain unchanged.
. Digital Video Recording (DVR) s will be adjusted from $9.95 to $10.95Imonth.
. In addition, our High-Speed Internet rates will also be changing. The rates for our Starter
and Preferred High-Speed Internet services will go op by $1.OO/month.
Please note that all of these changes affect less than half of our customers. Of course, all affected
subscnbers will be provided with the details of all changes this week. Copies of those notices are enclosed
for your information.
Also, enclosed is a copy of a customized notice that is being provided to a small number of customers (less
than two percent) infonning them again their promotional packages expired more than two years ago, and
of our desire to help them select a comparable package. We are diligently making every effort to
personally conlBcl every one of these customers to explain their options and assist them in choosing a
current package of services to meet their needs. Programming and pricing changes for these customers will
take effect with March billing starting February 25, 2007.
All of us at Atlantic Broadband hope you join us in our enthusiasm for what has been accomplished in the
last year. EquaIly important, next year will bring continued investment in your community, as well as a
continuation of our effurts to enhance and improve your broadband communications system. As always, I
welcome your co""""'"" and any questions you may have.
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ice President & General Manager
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