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Committee backs seven-year Comcast franchise amendment; city seeks higher fees and preserves digital-equity programs
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Summary
The committee recommended passage of council bill 121163, an amendment extending Comcast's cable franchise and raising the city'wide franchise fee from 4.4% to 5% and PEG fees from 0.4% to 0.6%; staff said the changes align Seattle with peer cities and could raise roughly $400,000, and preserved Seattle's Access for All program for nonprofits.
Seattle IT and central staff briefed the Governance and Utilities Committee March 12 on proposed amendments to the city's cable franchise with Comcast and the committee recommended the item for passage.
Rob Lloyd (chief technology officer) and John Morrison Winters (digital equity and broadband manager) summarized a multi-year ascertainment and negotiation process that prioritized equity, affordability and maintaining public-access benefits. The proposed amendment would add seven years to the current Comcast agreement, raise the franchise fee from 4.4% to 5% (the federal limit), and increase the PEG (public education and government) fee from 0.4% to 0.6% to better support capital needs of PEG operators.
Staff emphasized preservation of Seattle's "Access for All" program, which provides free internet to nonprofits, and negotiated commitments to maintain four HD PEG channels. Central staff (Brian Goodnight) said the bill authorizes the executive to execute the franchise amendment and allows the city's chief technology officer to enter implementing agreements (for example, a memorandum of agreement to develop an audit program for multifamily infrastructure). Two code changes were noted: amending SMC 21.6.050 to adjust the franchise fee and increasing the maximum cable-franchise term from 15 to 17 years to accommodate the proposed extension. Staff estimated the fee change could generate roughly $400,000 in additional revenue, with about 97% attributable to Comcast.
Council members thanked staff and pressed on long-term funding for Seattle Channel and the effects of cord-cutting. Council member Kettle described broadband as an essential utility that played a critical role for students during the pandemic; Council member Strauss warned that declining cable revenues will require finding stable funding sources for the Seattle Channel.
Because a public hearing had been held, the committee suspended rules to permit a same-day vote. Chair Joy Hollingsworth moved the committee recommend passage of council bill 121163; the motion was seconded on the record (second not named), and the roll call vote was Kettle Aye; Strauss Aye; Hollingsworth Yes (3-0). Central staff noted the item will go to full council; staff corrected the target date for council action to March 24, 2026.
