Now Hear This Newsletter, April 24, 2008 Posted by Bob at 04/24/08 01:12 PM

The federal government is considering loosening the qualification rules for $40 coupons meant to help defray the cost of digital television converter boxes to include nursing home residents and consumers who use post office boxes.

Such folks do not currently qualify to receive the coupons, which are being handed out by the National Telecommunications and Information Administration, an arm of U.S. Department of Commerce.

All full-power TV stations in the U.S. are to go all digital broadcasting no later than February 17, 2009, at which time they will stop broadcasting their traditional, over-the-air analog signal. Consumers who get programming through an antenna and do not have a newer-model digital TV set will need to buy a box that converts the digital signal to analog to continue receiving free, over-the-air television after that date.

Today NTIA published a notice in the Federal Register seeking public comment on allowing both nursing home residents and consumers using post office boxes to qualify to receive the DTV converter box coupons.

In its notice, NTIA estimates as many as 420,000 nursing home residents and 340,000 post office box users will qualify for coupons. There is 45-day public comment period on the proposed rule changes. NTIA officials predict the rule changes could take effect by this fall, if not sooner.

This is clearly good news for nursing home residents, one of the most vulnerable populations when it comes to free, over-the-air television. These consumers should have qualified for the coupons from the get go, but it is heartening to see NTIA moving to fix the oversight.

Nursing home residents will be able to qualify for one $40 coupon each. That’s in contrast to the current rule for households in general, which qualify for two coupons each.

The government’s original reasoning for disqualifying post office box users was somewhat more understandable – mainly concerns about fraud. The new rules would require PO box users to supply proof of residency – a driver’s license or utility bill, for example – to qualify to receive two coupons.

NTIA Clings to 90-Day Expiration Date for Coupons

While the new rule proposal is a welcome development, there is a potentially bigger oversight NTIA is choosing not to address – a 90-day expiration date on the DTV converter box coupons.

Many consumers applied for the coupons as soon as the government began offering them back in January. The coupons issued to those conscientious consumers will begin expiring next month.

The problem is that relatively few DTV converter boxes are currently on store shelves or available through online retailers. Most of the units now available cost $60 or more.

Echostar earlier this year announced plans to produce a $39.95 DTV converter box, meaning it would effectively be free for consumers with the $40 coupons. Echostar had originally said it hoped to have ample supplies of its boxes available by late spring, but that date has gradually been slipping to later in the year.

Consumers Union, the publisher of this blog, and many members of Congress have been urging NTIA to remove the expiration date or allow consumers with expired coupons to reapply for new ones, but the agency appears to have dug in on the issue.

Instead of changing the expiration date rules or seeking congressional approval to make such changes, the Commerce Department instead issued a remarkably unhelpful press release reminding consumers the nationwide switch to DTV is less than 300 days away.

“The first coupons mailed are set to expire at the end of May and I encourage all Americans who have ordered a coupon to purchase your eligible converter box within the 90-day required timeframe,” said U.S. Commerce Secretary Carlos M. Gutierrez in a prepared statement issued yesterday.

That’s not exactly helpful, Mr. Secretary. It’s past time for you and your department to alter or eliminate the ridiculous 90-day expiration date on the DTV coupons. If not, Congress should move expeditiously to remove the expiration dates on the coupons.

comments (12)

1 Posted by Larry Netardus at 04/24/08 01:49 PM

Mr. Secretary, please alter or eliminate the rediculous 90-day expiration date on the DTV coupons or have Congress remove the expiration dates. I was one of the addresses that did not hesitate to request a coupon and because of the lack of availability of the converter boxes in stores I may not be able to purchase the unit before the coupon expires. This is not the fault of the consumer such as myself, but because of the lack of foresight of the NTIA. The public should not be made liable for this attempt of the government to help the consumer.

2 Posted by lynn noe at 04/24/08 07:25 PM

i just read some cable subscription people will have to have to pay monthly for a box from the cable co, but not the rebate box. can you elaborate on who will have to pay?

3 Posted by Richard Golden at 04/24/08 09:04 PM

One of the dumbest moves I have ever sen is to have that 90 day peiod. My date ends on June 30th of 2008 and so far I haven't been able to se one converter box that i could purchase with my coupon.

4 Posted by Carol Hassenger at 04/27/08 07:09 AM

I am one of those who realized I should wait until the end of the year to get a coupon. Now there will be a BIG mess in January as all of us rush to get a converter box before February. I also wonder if the government will be late sending out the coupons in December as all of us write in at the same time.
I'm waiting and hoping for the best.

5 Posted by BARBARA HUNTER at 06/05/08 04:48 PM

I LIVE IN A HOUSE AND WAS TOLD I DIDN'T QUALIFY FOR A CONVERTER BOX COUPON.MY ZIP CODE IS 19119.CAN ANYONE TELL ME WHY? PLEASE POST THE REPLY IF ANY ON THIS SITE.THERE IS NOONE TO SPEAK TO WHEN THE # IS CALLED.

6 Posted by tom at 06/23/08 08:39 PM

It's almost the end of June 2008, No boxes at WalMart, Best Buy has one, C City has one, the DTVPAL which was supposed to be available STILL isn't and the advertised price on it continues to go up! My coupons have expired; my congressman when questioned about the expiration dates and the general unavailability of boxes suggested I visit the government website for DTV converter boxes. Definitely a government program working pretty much as usual:)))

7 Posted by Soupymom at 07/14/08 11:56 AM

This is all very disconcerting. I requested my coupons when they were first announced. I was originally under the impression that these coupons were provided to pay for the required converter boxes. Then it was said that they would cover all but $10-20 of the cost. Although I have been watching newspapers to see if any of the retailers were advertising these items so perhaps I could purchase one on sale, what I heard in radio and TV announcements was that I had until February, 2009 to take action--I never realized that there were expiration dates on my coupons (which were June 16, 2008). It is not right that the consumer is "forced" to spend money for service that was previously free but then I hear reports that the converters are not doing a good job. Consumers should be able to wait to purchase the "best" of the products by February 2009. I suggest we all write to FCC Chairman Kevin Martin, National Telecommunications and Information Administration acting head Meredith Attwell Baker, as well as our U.S. Senators to let them know about these problems.

8 Posted by CarlB at 07/19/08 09:53 PM

Coupons??? I'd be glad if it were possible just to find the converter boxes! I'm 40 miles NW of Watertown NY, just far enough that I am outside the US but just close enough that most of the over-the-air signals are coming from the New York side of the river. The only options for over-the-air DTV locally are: buy a new TV, import (or mail-order) a converter from the US, buy a personal computer TV tuner ($75 or so, to watch TV on a computer screen), buy a DVD recorder ($250+, if one can be found with the digital tuners) or buy a dish receiver (one $350 HDTV model has terrestrial DTV built-in, but at that point it may well be cheaper to buy a TV or to forget about terrestrial TV and just watch satellite channels). Fine mess...

9 Posted by Mona at 11/16/08 11:32 AM

I am writing for my mother who is in TX. She received the DTV coupons in Sept. Also in Sept hurricane Ike hit Baytown TX. She was without electricity for 18 days and fell and broke her arm on Sept.22.08. She had surgery on Oct 24,08 to have pins put in her hand and arm. She is 81 and lives by herself. She was not able to drive or get out due to her injury. Now she is able to drive she went to get her boxes (2) and was told they had expired. Who ever she talked to said she was not eligible for more because she does not have a valid reason for not getting them.
What do you call a valid reason? I tried reapplying for her and it just told me she already had coupons. She does but they are expired. Do you think someone could help her. I do not know what to do. The email address only give 250 words and that is not enough. Please help her. This is getting ridiculous.

10 Posted by Lynn at 12/08/08 09:43 AM

I am very disappointed. I decided to order coupons early so as not to get caught down the road with the millions of Americans trying to get their coupon. And I planned on buying my box before Feb. to miss the crowds and the chances of the stores running out of the converter boxes. Well, I did not realize the coupons had an expiration date. The expiration date of 90 days does not make sense. Of course we want to wait to buy our units, closer to the cut over date. To let manufactures to produce the product. But now I am without my coupons and I need 3 converters. Right in time with holidays, I don't have the money to buy 3 all on my own. I am very disappointed in the set up of the coupons. We will see how the switch over goes....

11 Posted by Paul at 12/20/08 11:15 AM

Well done, FCC...not. I received my coupons several months ago, but forgot about the expiration date. I was unable to get out to purchase it yesterday because of the winter storm, but called my local store anyway to find out whether they had any in stock and they did not. Grr! And then I only realized this morning that yesterday was the expiration date. Grrr! No chance now to look elsewhere. What is the point of the expiration date if you can't use the coupon by that date?

12 Posted by Glenn at 01/04/09 08:59 AM

I respectfully request that Mr. US Commerce Secretary Gutierrez remembers that his primary obligation is supposed to be one of service to the American people. The Commerce department and the NTIA have violated their obligations with the 90 day expiration date on DTV coupons. Not everyone has been able to purchase a quality converter prior to the 90 day expiration due to lack of availability of converters and other more pressing issues.

In my area we have spent two weeks prior to the end of 2008 dealing with the remnants of a record breaking ice storm. Our region has been declared a disaster zone. Many people have been evacuated to shelters. Most of us have been splitting wood and feeding fireplaces to no avail to keep pipes from freezing. Finding a converter during this time was not a primary concern. Now that the basements have been pumped out, power is restored and life is returning to normal we see the coupons have expired.

The 90-day expiration date on the DTV coupons is an intentional cost containment exercise that violates the "no cost to the consumer" claim by the government for the DTV conversion. It is not the money so much that is bothersome, but the fact that our government representatives once again have violated the trust of the American people and have done so in a most flippant and cavalier manner.