2007-2008 Issues

PRESERVE VIDEO FRANCHISING

The Wisconsin Alliance of Cities supports legislation that fosters video competition. And it maintains its support of local control over limited local rights of way and the video democracy that local public access, educational and governmental (PEG) channels represent.

Franchise agreements and fees paid by video providers are an important source of revenue for Wisconsin communities, both to finance PEG (public access, educational and governmental) channels and to underwrite other governmental functions in return for their use of public rights-of-way. In turn, local governments provide important consumer protections to video customers.

This balance of public and private interests is threatened by intense rivalry between regional Bell operating companies and the cable TV industry over how coveted franchises to provide pay video services should be awarded and regulated.

The battle has trickled down from Washington, D.C., to the states. In 2005, Texas voted to grant the Bells a statewide franchise for video services. Indiana and Virginia passed similar legislation in 2006, and bills advanced in other states, including Michigan.

Community access television in Oshkosh

The FCC on Dec. 20, 2006 voted 3-2 along party lines to streamline video franchising for telephone companies.

The Alliance opposes statewide or national video franchising unless it:

  • Maintains franchising authority of local governments over cable and video services.
     
  • Requires payment of franchise fees to municipalities by all video and cable providers operating within the municipality based on a broad definition of gross revenues.
     
  • Requires that PEG channels be offered and supported by all providers.
     
  • Requires reasonable levels of "build out" by new and existing providers within the municipality to guarantee investment, jobs, competition and choice for all neighborhoods.
     
  • Allows a cable company to opt into a streamlined franchise only if it faces competition from another provider operating under a streamlined franchise.
     
  • Retains local authority to manage rights-of-way and protect local property taxpayers and cable customers.