💬 Join us to post & get advice from 50,000 HOA & Condo leaders.

Create Free Account →

⚡ Takes 30 seconds

Already a member? Log in

TonyN2 (Illinois)
Posts: 62
Posted:
We have a condominium with a contract with Comcast that goes through to 2023. They recently increased our yearly bill from $19,000 to $21,000.
As you can imagine, we have a lot of expenses, special assessments, rising prices in commodities & future expendiatures that really make basic community cable television contracts seem like a luxury.

Has anybody had a similar situation where they did not renew a television contract with Comcast?
Some board members mentioned that it's "not so easy" because it's in our "bylaws". I checked both by-laws and declarations and the only thing in there is about the right for utility easements but companies, but nothing about having to actually have an ongoing TV service contract.

Some board members also mentioned that since we include this in our HOA figures, that it needs to be a service we provide.

Do we need to involve a lawyer? Help!
BillD16 (Texas)
Posts: 971
Posted:

Not an answer to your exact question, but I think first you need to determine

a) What service is being provided? (Basic cable television? Internet?)
b) How much do your residents depend on it?
c) Are you getting a good rate from your provider?
d) Does your contract permit them to raise rates like that?

I would be most concerned about b) above. It’s not impossible that you’ve had a large number of residents quietly consuming basic cable for years - until it disappears and then you’ve got a ton of people upset because they’re missing their GMA.

BillD

HOA Board ex-President
Austin, Texas USA

“You can’t put too much water in a nuclear reactor”
TonyN2 (Illinois)
Posts: 62
Posted:
I would estimate over 30-40% of people do not utilize cable. I’ve asked people and this seems to be a good estimate so far. It’s basic cable with some additional channels.
The rate is lower than what you would pay individually, but not by much.

I would theorize that most owners would rather a lower HOA rather than paying for cable.
They are always able to purchase it directly from Comcast if that’s the case.

I don’t see the point though if I pay for cable and never using it. I’m essentially paying so that somebody else can get a slightly lower rate.
TonyN2 (Illinois)
Posts: 62
Posted:
I would estimate over 30-40% of people do not utilize cable. I’ve asked people and this seems to be a good estimate so far. It’s basic cable with some additional channels.
The rate is lower than what you would pay individually, but not by much.

I would theorize that most owners would rather a lower HOA rather than paying for cable.
They are always able to purchase it directly from Comcast if that’s the case.

I don’t see the point though if I pay for cable and never using it. I’m essentially paying so that somebody else can get a slightly lower rate.
LetA (Nevada)
Posts: 2,679
Posted:
How many units are in your building and is this for just basic cable i.e. local channels? Do you have a lobby channel where residents can see who is visiting to buzz them up?
All of these tasks can be accomplished with a standard OTA antenna with the help of some signal amplifiers on each lower floors. I would contact a local company that installs tv antennas
in your market.
As for contract details you should contact the provider and your HOA attorney for a precise answer. Typically under a contract you agree to a set price for X amount of time.
TonyN2 (Illinois)
Posts: 62
Posted:
Quote:
Posted By LetA on 03/14/2022 4:56 PM
How many units are in your building and is this for just basic cable i.e. local channels? Do you have a lobby channel where residents can see who is visiting to buzz them up?
All of these tasks can be accomplished with a standard OTA antenna with the help of some signal amplifiers on each lower floors. I would contact a local company that installs tv antennas
in your market.
As for contract details you should contact the provider and your HOA attorney for a precise answer. Typically under a contract you agree to a set price for X amount of time.

A 44 unit building. And yes, we do have a channel dedicated for a mail-room/entry-way view.

Thanks for the technical advice, I'll definitely interest myself in that.

As for the contract, I'm confident I can end that as soon as it expires; However, what I'm concerned about is if there are other "constraints" keeping us from foregoing cable altogether like governing documents.
KerryL1 (California)
Posts: 14,550
Posted:
Yes, you need to read your CC&Rs to see if cable is included in the HOA's obligations to Owners. You mentioned Bylaws, but it seems unlikely anything would be there about them but read them anyway--there might be something about contracts in generals.
TonyN2 (Illinois)
Posts: 62
Posted:
Quote:
Posted By KerryL1 on 03/14/2022 6:35 PM
Yes, you need to read your CC&Rs to see if cable is included in the HOA's obligations to Owners. You mentioned Bylaws, but it seems unlikely anything would be there about them but read them anyway--there might be something about contracts in generals.

It is not included anywhere in the CC&R's.
AugustinD
Posts: 3,698
Posted:
Quote:
Posted By TonyN2 on 03/14/2022 5:52 PM
As for the [Comcast] contract, I'm confident I can end that as soon as it expires; However, what I'm concerned about is if there are other "constraints" keeping us from foregoing cable altogether like governing documents.
If the governing documents are silent about the condo providing this service, then I believe the condo is more than justified in terminating the cable service.

People will sue over anything. Involve the COA attorney; wish those threatening to sue lukc; and then ignore them until suit is filed.

My former condo offered cable for over a decade, without a provision in the governing documents requiring the condo to do so. Then the Board fairly suddenly terminated the service, saying the reserve fund was in terrible shape and so on.

No one sued.

Granted the technology has changed a lot since the mid 2000s, and it's not as big a deal to find ways besides cable to connect to the net and get what cable offered, for one.
KerryL1 (California)
Posts: 14,550
Posted:
We're a condo building too, Tony and the HOA isn't required by our documents to provide cable to residences.
ThomasP13 (Ohio)
Posts: 87
Posted:
Quote:
Posted By TonyN2 on 03/14/2022 5:52 PM
Posted By LetA on 03/14/2022 4:56 PM
How many units are in your building and is this for just basic cable i.e. local channels? Do you have a lobby channel where residents can see who is visiting to buzz them up?
All of these tasks can be accomplished with a standard OTA antenna with the help of some signal amplifiers on each lower floors. I would contact a local company that installs tv antennas
in your market.
As for contract details you should contact the provider and your HOA attorney for a precise answer. Typically under a contract you agree to a set price for X amount of time.


A 44 unit building. And yes, we do have a channel dedicated for a mail-room/entry-way view.

Thanks for the technical advice, I'll definitely interest myself in that.

As for the contract, I'm confident I can end that as soon as it expires; However, what I'm concerned about is if there are other "constraints" keeping us from foregoing cable altogether like governing documents.


Basic cable and no internet? About the only building-wide amenity that can't be replicated by individual accounts is the lobby camera.

AFA Comcast is concerned, if half of the units establish individual accounts @ an average monthly bill of $75, then it's break-even for them. And, each unit can decide what tier level they want to pay for as well as bundle Internet.

If Comcast was providing high-speed Internet (<200mbps) along with tv that included standard, popular sports networks (live sports contracts really drive the increases) for ~$50/unit, that would, in my mind, be worth having the Association pay for even if some units didn't really make much use of the services. But basic cable only? Naw. Let the Owners buy a la carte.

SheliaH (Indiana)
Posts: 6,964
Posted:
It's a contract, so getting out of it may or may not be easy - that's why attorneys were invented, so you may want to run this past him or her.

Years ago when cities were being wired for cable, I remember many companies made exclusive deals to where Comcast or whoever wired the entire city and that’s what you were stuck with. I believe our community has the same requirement, although I don’t think it’s enforced by anyone these days. In fact, I think various communities did away with that, especially after everyone started to get satellite TV. And now, everyone’s going to streaming services, so it’s a matter of finding an internet provider you can afford and is available in your area.

In your case, you might want to start with polling the community to see what they’d like to do – and show them the numbers so they can make an informed decision. If everyone says get rid of it, do it and do some checking to see if canceling the contract would impact services in general (e.g. would you have to pay for different wiring – I’m not a techie and don’t live in a condo building, so I don’t know what’s required). It may be the threat of cancellation may compel Comcast to negotiate a deal that would cost the community less money – or they can offer special discounts if people stick with them after the contract is canceled. I wouldn’t make any moves until the end of the year so people will have time to make arrangements.

If it is not right do not do it; if it is not true do not say it. Marcus Aurelius
BillD16 (Texas)
Posts: 971
Posted:
Quote:
Posted By SheliaH on 03/15/2022 9:43 AM

In your case, you might want to start with polling the community to see what they’d like to do – and show them the numbers so they can make an informed decision. If everyone says get rid of it, do it and do some checking to see if canceling the contract would impact services in general (e.g. would you have to pay for different wiring – I’m not a techie and don’t live in a condo building, so I don’t know what’s required). It may be the threat of cancellation may compel Comcast to negotiate a deal that would cost the community less money – or they can offer special discounts if people stick with them after the contract is canceled. I wouldn’t make any moves until the end of the year so people will have time to make arrangements.

I very much agree with this. Tony, when you say that 30-40% of your tenants don’t use cable - that means the majority of your tenants *do* use it. I’ll shut up about it now - but please know that I’m motivated by several personal bad past experiences where people became extremely unhappy when something was ‘taken away’ from them. So tread gently.

On the plus side, if you can show you’re saving them money, that’s definitely a plus!

BillD

HOA Board ex-President
Austin, Texas USA

“You can’t put too much water in a nuclear reactor”

🎯 You've read this entire discussion

Join the conversation with 50,000 HOA & Condo Leaders:

  • ✓ Ask follow-up questions
  • ✓ Share your experience
  • ✓ Get expert advice
  • ✓ Access 350,000 discussions
Create Free Account →

⚡ Takes 30 seconds

Already a member? Log in here