Explaining Retransmission Fees:
Premier Communications has contracts with local TV stations that allow us to carry ABC, CBS, NBC and Fox stations on our cable network. Price agreements are renegotiated every three years and detail how much these broadcasters charge us to carry their channel. These charges are called “retransmission fees.” These rates change on an annual basis, which will once again happen on January 1, 2024. Retransmission fees come from a decades-old federal law that allows broadcast stations to charge cable and satellite companies (such as Premier) to carry their programming on our channel lineup.
This problem is not limited to Premier Communications – other cable and satellite providers that have local channels on their lineups are facing the exact same issue.
An important note: Because of the extreme fluctuation in retransmission fees, particularly in the last several years, retransmission fees are calculated similarly to taxes in that they are charged outside of the bundle/TV package prices. Premier Communications does not keep or profit from these fees; they are sent directly back to the broadcasters.
It's Not Fair:
We agree – it’s not fair! You, the customer, are being forced to shoulder the cost of local TV and provide a source of income to the broadcast stations. At Premier, we strive to keep prices as low as possible, but we can’t control how much we are forced to pay to carry local TV stations.
If retransmission fees are not paid, Premier would no longer be able to carry any local channels (ABC, CBS, NBC, Fox). If we stop paying, broadcasters take their channels away.