Remember the 2 percent increase in cable television taxes the City Council hit Murray residents with last June?
It's gone. Outta here. Bye-bye.Council members voted 3-1 Tuesday to adopt an ordinance repealing the increase and dropping Murray's cable TV franchise fee back to the old rate of 3 percent.
That action came on the advice of City Attorney Craig Hall, who said both federal law and the 1978 franchise agreement between Murray city and TCI prohibit a unilateral increase without the consent of the cable company.
In late June, the council voted to increase the fee to 5 percent - the maximum allowed by federal law.
But TCI, which recently hiked its subscriber rates, fired off a letter reminding the city it has not consented to a fee hike.
Hall said the 1978 agreement setting the franchise fee at 3 percent will remain in force through the year 2001.
"So were stuck with it?" asked Councilman Gary Ferrero.
Hall replied the franchise fee would have to remain at 3 percent unless the cable company is willing to renegotiate.
Ferrero cast the sole dissenting vote without explanation.
On a $25-per-month cable bill, the 2 percent represents a savings of 50 cents.