A new wave

For nearly five years, new home and commercial construction and sales have been among the growth engines of the U.S. economy. And why not? Home ownership is over the 70 percent level in this country because homes are a terrific investment and the nation's commercial enterprises are healthy and growing. Now Congress will begin to examine legislation introduced by Senator Ted Stevens(R-Alaska) that promises to keep this engine running smoothly and make owning and developing property even more valuable in the future.

Much of the current housing boom is focused here in Nevada. But whether

it's Damonte Ranch or Kiley Ranch, a home's value today extends beyond traditional measurements such as number of bedrooms or lot size. Consumers are looking for homes that fit their lifestyle. And increasingly, that lifestyle is built around access to a full range of video and high-speed communications services.

These services have been described as the new telecom standards. They are fast becoming what simple phone service was for generations a basic necessity. Competitive developers and builders are creating housing developments and products for the next generation that include access to competitive technology services. Nevadans, like other Americans, have come to demand the latest video and communications services that are easily accessible from their homes at affordable prices. Yet while technology demand remains strong, outdated local franchising rules, which govern the cable television industry, interfere with video and broadband technology delivery to consumers.

Unfortunately, these cable franchising rules drafted in the days of black-and-white TV are tuning competitors out of today's market and costing consumers as much as 15 percent more each month for basic television service.

In most states, for example, would-be competitors of the cable TV industry are required to negotiate separate "franchise agreements" with every town. With tens of thousands of municipalities nationwide, it's a process that could drag on for years and delay the delivery new video and broadband technologies. If the franchising rules were changed, developers and builders would be able to design their housing products for the next generation of home buyers and video competitors could aggressively enter the market with the latest technologies.

Well, help is on the way and developers and builders in Nevada applaud the effort. Sen. Ensign had introduced legislation that is now being considered in a broader legislative initiative introduced by U.S. Sen. Ted Stevens. Senator Stevens is introducing "The Communications, Consumer Choice, and Broadband Deployment Act of 2006" which would provide updated telecommunications law for the nation, and greater choice for consumers here in Nevada. The act, among other things, would encourage the arrival of greater competition to your local cable monopoly and the next generation of video technology. Among its provisions are removing cable franchise barriers to new competitors.

The act's proposal streamlines the process that allows companies to begin offering competitive cable services. For example, it replaces the town-by-town franchise regime with a logical system that speeds the arrival of competitive services, while protecting the interests of consumers and local municipalities. Both Senator Stevens and Senator Ensign will earn the gratitude of all Nevadans and millions of homeowners across America if Congress succeeds in turning on real competition in the cable business.

The good news is that around the country, and especially here in the West, would-be competitors are already hard at work in anticipation of changes needed with our cable franchising rules. Telephone companies like AT&T are stringing fiber to compete with cable companies in video, high-speed Internet access, and voice services in many of the better and newer residential and commercial developments. They're just waiting for permission to begin offering competing television services to customers' homes.

As someone who has spent a career in the technology sector and now works for a firm that supports many construction and development projects, I am encouraged that consumers, working with the development community, will ultimately receive the technology services they demand and from a variety of competitors. We all need to encourage our state and local lawmakers to eliminate barriers to competition when those barriers impede the advance of technology.

Jim Endres, president of the McDonald Carano Wilson government affairs group, serves as a non-lawyer political consultant to the statewide law firm.