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Consumers Getting Frustrated with DTV Coupon Program

FCC member says transition will be "messy"

By Martin H. Bosworth
ConsumerAffairs.com

October 16, 2008

ConsumerAffairs.com is already receiving complaints from frustrated readers who cannot redeem or replace their coupons, or who can't find available converter boxes to purchase before the coupons expire. The program currently allows households to download or order two coupons per household, good for 90 days from the date of purchase, with no ability to receive more or replace them if lost.

That was news to Jacqueline of Warrington, PA, who "received Expired and unused DTV coupons and they won't replace them. We are entitled to 2 usable coupons and were refused replacement when I appealed. This program is not for the people, it's extremely stingy and merely a facade of a helping hand."

Robert of Salt Lake City, Utah "ordered my dtv converter box coupons in May 2008 and have not received them yet. Further investigation/attempts to re-order has resulting in a denial of a new application and denial of an appeal. I have tried calling to get an explanation, but keep getting disconnected. I've emailed them, requesting a proof of delivery (my mail goes to a PO box) and they have not responded."

And Cathi of Coleman, Texas "requested my DTV Convertor Box Coupons....they never arrived, I went online to check on status and was told they were sent, when I emailed and questioned where they were and asked for a replacement I was told they could not repalce the coupons that I never received. This coupon program is a joke!"

The DTV program has been beset with numerous glitches since its inception, from the coupon program's flaws, to lack of consumer awareness of the transition, to retailers providing inaccurate information about what equipment customers may need to upgrade.

The two agencies in charge of the transition are the Federal Communications Commission (FCC) and the National Telecommunications and Information Administration (NTIA), an arm of the Commerce Department. At a special FCC meeting on Tuesday, Commissioner Robert McDowell warned the transition could get "messy...but we'll get through it."

McDowell said that local television networks should be flexible in advertising the transition, according to specific needs of their communities. Some residents may need additional equipment to view digital television, such as new "rabbit ear" antennae, he said.

The FCC has been spearheading a major publicity push for the DTV transition, including the highly publicized switchover test program in Wilmington, North Carolina.

The NTIA has sparred with Congress over funding the coupon program on several occasions. At a House Telecommunications Subcommittee hearing in September, acting NTIA head Meredith Baker Atwell reiterated that the agency would not renew coupons after they expired, saying it would cause problems and costly delays.

Also in September, the Government Accountability Office (GAO) issued a report stating that the NTIA did not have a plan in place to address funding shortfalls for the coupon program. NTIA has said that it would fall under the purview of Congress t o authorize more funds for the program.

From the beginning, observers of the transition have said that certain parts of the country would be disproportionately affected, including minority, low-income, and elderly households. The latest Nielsen research poll shows that as many as 9.6 million households would immediately lose television service if the DTV switchover happened today.

But now, with economic times as tough as they are, households across the board are cutting back on expenses--including cable and satellite television service. This may mean even more households will need coupons and equipment to receive over-the-air digital signals.

As Jacqueline told ConsumerAffairs.com, "with cable price increases beyond affordability and the economy's severe downturn, we'd like to keep our working older tv's and need converters to keep them out of the landfill."

What you can do

The following sites have more information about the analog-to-digital transition:

• Our Dawn Carlson provides a thorough overview of what you need to know.
  
• Visit the FCC's official DTV site to get more information.
• Apply for a converter box coupon at the NTIA's converter program Web site.
  
  
  

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