Comcast Cable announced Monday it's raising rates by an average of 7.5 percent on its nine monthly service packages –– its second price hike of the year.
Beginning Nov. 5, Comcast's rate will rise 6.9 percent on its standard cable package, traditionally its most popular service.
Customers subscribing to the standard cable package will pay $54.30 a month, an increase of $3.50.
Customers who combine the standard package with Comcast's popular high-speed Internet service will pay $78.25 per month before taxes.
Rates for nearly all of Comcast's programming will go up, including a 12.5 percent jump in its bare-bones limited service.
Comcast spokesman Jeff Alexander said the overall average increase is about 5 percent. He said the hike is necessary to pay for better service.
"In the area of advanced products, customers have received numerous enhancements and additional value over the past year," Alexander said. "Customers can now choose from nearly 10,000 video-on-demand options. Also, we've delivered new channels to customers in Lancaster."
Terry Mentzer, a Comcast subscriber who lives in Lancaster city, said he "went ballistic" Monday when he opened a letter detailing the rate hike.
"I'm sick and tired of this BS," Mentzer said. "Those big shots sit back in their corporate offices, soon to be in a palace, in downtown Philadelphia and make the calls. They don't give a damn about their customers."
Comcast raised rates 4.1 percent on its most popular package in January, marking the 12th consecutive year most area cable customers saw price hikes on their cable bill.
Most local cable subscribers have seen prices rise every year since 1996, when the Lancaster-area system was owned by Suburban Cable.
Comcast's current rate hike is the largest since it raised rates by an average of 6.2 percent in March 2006.
Comcast is hiking all of its premium movie packages by $1 per month. The HBO package will rise to $20.95 per month, while all others go to $19.95.
The company raised rates by 16.7 percent for its digital video recorder service, which goes from $11.95 to $13.95 per month.
Rates on the Hispanic packages also are going up, including a 9.5 percent hike for the popular Club Latino.
Service and installation fees also are increasing, including a 4.4 percent increase in the cost of a standard installation, which jumps by $2 to $47.50 per month.
The cost of rental equipment, such as digital converter boxes and remote controls, is going up, but high-speed Internet and digital voice services are not.
Alexander said the price hikes reflect the greater costs Comcast pays for hiring more employees and the "increased value of our services."
"One of the most frequent demands we receive from customers is for more options, more channels, more services," Alexander said. "We intend to deliver on that."
But not everyone wants what Comcast is delivering.
Mentzer said he believes it's time that cable companies are regulated by either the Public Utility Commission or the Federal Communications Commission.
He said Comcast added insult to injury by not allowing customers flexible choice in selecting programming.
"The No. 1 reason I hate Comcast is I cannot select my own channels; we get what they want to give us," Mentzer said.
Comcast is the nation's and Lancaster County's largest cable company, serving about 100,000 customers here.
Its annual rate hikes irritate customers because they tend to be above the rate of inflation.
Consumers Union, the nonprofit publisher of Consumer Reports magazine, says cable rates nationwide have risen more than 70 percent since the industry was deregulated in 1996.
But rate hikes are not the only issue riling Comcast customers.
The Better Business Bureau said it has received 39 complaints against Comcast during the past year in central Pennsylvania and processed 65 grievances during the past 39 months.
Those complaints concerned selling practices, advertising issues, service, credit or billing, delivery, refunds, product quality, contract disputes, repair issues and guarantee or warranty issues.
"Based on BBB files, this company has an unsatisfactory record with the bureau due to unanswered complaints," the Better Business Bureau reported.
Alexander said Comcast has invested $142 million in central Pennsylvania, much of which went to upgrade customer service.
"We've added more than 400 new employees in the region since January," Alexander said. "The majority of these new hires are frontline service employees such as call-center personnel and technicians. We plan to hire hundreds of additional employees in the next year."
E-mail: pburns@lnpnews.com