Various provisions governing cable communications systems modified, and notice requirement for applying to become a cable communications franchise repealed.

A bill for an act

relating to telecommunications; modifying various provisions governing cable

communications systems; repealing the notice requirement for applying to become

a cable communications franchise; amending Minnesota Statutes 2024, sections

238.02, subdivision 3; 238.081, subdivision 4; repealing Minnesota Statutes 2024,

section 238.081, subdivisions 1, 2, 3, 5.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2024, section 238.02, subdivision 3, is amended to read:

Subd. 3.

Cable communications system.

(a) "Cable communications system" means a

system that (1) provides the service of receiving and amplifying (i) programs broadcast by

one or more television or radio stations
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and
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or
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(ii) other programs originated by a person

operating a cable communications system or by another person, and (2) distributes those

programs by wire, cable, microwave, or other means, regardless of whether the means are

owned or leased, to persons who subscribe to the service.

(b) This definition does not include:

(1) a system that serves fewer than 50 subscribers or a system that serves more than 50

but fewer than 1,000 subscribers if the governing bodies of all political subdivisions served

by the system, vote, by resolution, to remove the system from the provisions of this chapter;

provided that:

(i) no part of a system, nor any area within the municipality served by the system, may

be removed from the provisions of this chapter if more than 1,000 subscribers are served

by the system; and

(ii) any system serving more than 50 but fewer than 1,000 subscribers that has been

removed from the provisions of this chapter becomes subject to the provisions of this chapter

if the governing bodies of 50 percent or more of the political subdivisions served by the

system vote, by resolution, in favor of the return;

(2) a master antenna television system;

(3) a specialized closed-circuit system that does not use the public rights-of-way for the

construction of its physical plant; and

(4) a translator system that receives and rebroadcasts over-the-air signals.

Sec. 2.

Minnesota Statutes 2024, section 238.081, subdivision 4, is amended to read:

Subd. 4.

Contents of franchising
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proposal
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application
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.

(a) The franchising authority

shall require that
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proposals
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an application
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for a cable communications franchise be notarized

and contain, but not necessarily be limited to, the following information
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, as applicable
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:

(1) plans for channel capacity, including both the total number of channels capable of

being energized in the system and the number of channels to be energized immediately;

(2) a statement of the television and radio broadcast signals for which permission to

carry will be requested from the Federal Communications Commission;

(3) a description of the proposed system design and planned operation, including at least

the following items:

(i) the general area for location of antennae and the head end, if known;

(ii) the schedule for activating two-way capacity;

(iii) the type of automated services to be provided;

(iv) the number of channels and services to be made available for access cable

broadcasting; and

(v) a schedule of charges for facilities and staff assistance for access cable broadcasting;

(4) the terms and conditions under which particular service is to be provided to

governmental and educational entities;

(5) a schedule of proposed rates in relation to the services to be provided, and a proposed

policy regarding unusual or difficult connection of services;

(6) a time schedule for construction of the entire system with the time sequence for

wiring the various parts of the area requested to be served in the request for proposals;

(7) a statement indicating the applicant's qualifications and experience in the cable

communications field, if any;

(8) an identification of the municipalities in which the applicant either owns or operates

a cable communications system, directly or indirectly, or has outstanding franchises for

which no system has been built;

(9) plans for financing the proposed system, which must indicate every significant

anticipated source of capital and significant limitations or conditions with respect to the

availability of the indicated sources of capital;

(10) a statement of ownership detailing the corporate organization of the applicant, if

any, including the names and addresses of officers and directors and the number of shares

held by each officer or director, and intracompany relationship including a parent, subsidiary,

or affiliated company; and

(11) a notation and explanation of omissions or other variations with respect to the

requirements of the
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proposal
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application
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.

(b) Upon submission of
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a proposal
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an application
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, the municipality and applicant may

negotiate franchise terms.

Sec. 3.
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REPEALER.
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Minnesota Statutes 2024, section 238.081, subdivisions 1, 2, 3, and 5,

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are repealed.

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APPENDIX

Repealed Minnesota Statutes: 26-07239

238.081 FRANCHISE PROCEDURE.

Subdivision 1.

Publication of notice.

The franchising authority shall have published once each week for two successive weeks in a newspaper of general circulation in each municipality within the cable service territory, a notice of intent to consider an application for a franchise other than a franchise renewal pursuant to United States Code, title 47, section 546.

Subd. 2.

Required information in notice.

The notice must include at least the following information:

(1) the name of the municipality making the request;

(2) the closing date for submission of applications;

(3) a statement of the application fee, if any, and the method for its submission;

(4) a statement by the franchising authority of the services to be offered;

(5) a statement by the franchising authority of criteria and priorities against which the applicants for the franchise must be evaluated;

(6) a statement that applications for the franchise must contain at least the information required by subdivision 4;

(7) the date, time, and place for the public hearing, to hear proposals from franchise applicants; and

(8) the name, address, and telephone number of the individuals who may be contacted for further information.

Subd. 3.

Other recipients of notice.

In addition to the published notice, the franchising authority shall mail copies of the notice of intent to franchise to any person it has identified as being a potential candidate for the franchise.

Subd. 5.

Time limit to submit application.

The franchising authority shall allow at least 20 days from the first date of published notice to the closing date for submitting applications.