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HOULTON – The town received more than $32,000 in revenue from the cable franchise fee and town councilors were given notice of a cable rate increase during their meeting Monday evening.
Gordon Wark, president and general manager of Polaris Cable Services, presented the council with an update on cable service during the two-hour meeting.
While Wark noted that his business continues to provide the lowest-priced cable service in the state, he said that subscribers will see a 5 percent increase in cable service rates effective April 1.
The increase is because Polaris has to pay programmers more each month for the channels offered.
“Many of our programmers raise their rates based on the consumer price index,” Wark said Monday evening, adding that Polaris will continue to offer a discount to senior citizens.
Cable subscribers now will be required to pay $13.05 per month for the local tier, $38.65 for the basic tier. Senior citizens will pay $34.80 for the basic tier.
The rate hike also will affect digital packages, but Internet tiers will remain priced as they are now. After his presentation ended, Wark presented town officials with a $32,462.99 check, which was revenue from 12 months of cable franchise fees.
Councilors set the fee that individual subscribers pay to the town for receiving service. The monthly fee is 5 percent of subscribers’ revenues, the maximum allowed under the contract.
The council has full control of the franchise fee as part of the town’s contract with Polaris Cable Services. For the past year, some residents have asked the council to consider lowering the fee, but all efforts have been unsuccessful.
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