The Louisville Media Reform Community

Insight Communications Company, Inc., is Metro Louisville's cable provider.

Insight claims that it is the ninth largest cable operator in the U.S., serving 1.4 million customers in the four contiguous states of Illinois, Indiana, Ohio, and Kentucky.

Metro Louisville, the 16th largest U.S. city, is Insight's largest hub of operations. (Map of Insight hubs)

Yet Louisville's cable service is arguably the worst among major metropolian communities in the U.S.:

  • Limited public access and local origination channels
  • No community media centers
  • Lack of community input into content offerings
  • No local management sensitive to local issues
  • A bias against locally owned community oriented stations
  • Absence of oversight by Metro government

Recent events may allow this to be rectified.

In July 2005, the then-publically-traded Insight Communications Company "went private" by merging with a newly formed private corporation and buying out its stockholders with cash. As a private corporation, full ownership details are now a secret, but it is known that the Carlyle Group invested $600 million in the deal and plays a role in its leadership.

In agreeing to this merger, Insight violated Louisville's cable ordinance 116.37(a) which requires prior approval from Metro Government before such a transaction:

The franchisee shall not transfer, assign, sell, lease or dispose of, its interest in any franchise or ordinance or agreement awarding a franchise in accordance herewith or in its cable communications system without the prior written authorization of the Metro Government. A merger or consolidation shall be deemed a transfer or assignment.

An opinion from the Jefferson County Attorney affirms that Metro Government can now conduct a hearing to determine whether the new corporation should be allowed to continue the franchise.

This gives Louisville the opportunity to renegotiate the cable franchise agreement and to get it right this time.

To add insult to injury, under its new ownership Insight has given notice that it intends to remove local television station WYCS from its basic cable lineup.

WYCS (Channel 24) is the only independent, locally-managed station in the metro area. It provides more locally originated programming than any other station in the area. Much of its programming is oriented toward the underserved African-American and Hispano-American communities.

In addition, WYCS carries programming for local public schools and Democracy Now!, the renowned independent news program featuring journalists Amy Goodman and Juan Gonzalez.

As a low-power station, WYCS depends on cable carriage for its viability. Insight's decision effectively kills the station.

After protests from WYCS and its viewers, Insight agreed to carry the station on an obscure digital channel (channel 759) which will not be accessible by most of its viewers. That still effectively kills the station.

The station's call letters stand for "Your Community Station."

Clearly WYCS is a critical community asset, the most local of all local television stations. (Remember, Louisville no longer has a locally-run public television station since Channel 15 was absorbed by KET). A station like WYCS is essential to nurturing a vibrant discourse on local issues (which is essential to a healthy community).

Yet Insight Communications Company, Inc., has chosen to snuff WYCS out -- without bothering to give the public or the station an explanation.

Clearly Metro Government should now proceed to holding hearings and to negotiate a new cable franchise agreement. In doing so, it should insist on a greater demonstration by Insight (or its replacement) of its willingness to serve the public good.

There is no sign Metro Government will take action unless the public (that's you and me) speak up and make it clear that we will not tolerate continued inaction.

Please join Louisville Media Reform, the Kentucky Alliance, the Open Initiative, and other local groups to request that Metro Government (Mayor and/or Council) hold formal public hearings on the Carlyle Group's position in Insight Communications Company, Inc., Insight's decision regarding WYCS, and the desired terms of a new cable franchise agreement.

Resources:

Insight Communications Company, Inc.

John Hicks's article on Insight Cable in the Courier-Journal, February 20, 2006

Metro Cable Ordinance

FCC Cable Regulations

FreePress.net on Defending Local Access

A Survivor's Guide to Cable Franchise Transfers

Podcast of Louisville Media Reform's December meeting on this subject, December 14, 2005

Louisville Cable Action Another local site on local media. We're not exactly sure who runs this site, but there's some interesting information here.

Online petition sponsored by Louisville Cable Action We quibbled with the wording and statement of facts, but signed it anyway.

The Carlyle Group:

The Carlyle Group

Wikipedia article on the Carlyle Group

The Center for Media and Democracy on The Carlyle Group

Fresh Air interview with Dan Briody - Terry Gross interviews Dan Briody, author of The Iron Triangle: Inside the Secret World of the Carlyle Group, May 6, 2003.

The Insight/Carlyle Connection

BusinessFirst, March 8, 2005: Insight Communications might go private

BusinessFirst, July 29, 2005: Insight Communications to be bought by co-founders

Insight press release: "Insight Communications And Insight Acquisition Corp. Enter Into Definitive Merger Agreement," July 29, 2005

Insight Proxy Statement re: Merger, August 19, 2005

BusinessFirst, October 11, 2005: WYCS-TV executives lobby local government to prevent change

County Attorney opinion on the Insight Communications sale or merger, October 31, 2005

Demand Letter to Insight from Jefferson County Attorney, November 1, 2005

WYCS-TV, Channel 24

WYCS-TV, Channel 24

African-American Venture Capital Fund Investors in WYCS-TV, Channel 24

The Ulrich Group's page on WYCS-TV, Channel 24 Local content producers who utilize WYCS as a medium

The FCC's page on WYCS

Wikipedia article on WYCS

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