Senate Bill sb0998c1

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    Florida Senate - 2007                            CS for SB 998

    By the Committee on Communications and Public Utilities; and
    Senator Bennett




    579-2178-07

  1                      A bill to be entitled

  2         An act relating to communications; providing a

  3         short title; amending s. 202.11, F.S.;

  4         providing a definition; amending s. 202.24,

  5         F.S.; prohibiting counties and municipalities

  6         from negotiating terms and conditions relating

  7         to cable and video services; deleting

  8         authorization to negotiate; revising

  9         application to existing ordinances or franchise

10         agreements; amending s. 337.401, F.S.; deleting

11         authorization for counties and municipalities

12         to award cable service franchises and a

13         restriction that cable service companies not

14         operate without such a franchise; amending s.

15         337.4061, F.S.; revising definitions; creating

16         ss. 610.102, 610.103, 610.104, 610.105,

17         610.106, 610.107, 610.108, 610.109, 610.112,

18         610.113, 610.114, 610.115, 610.116, 610.117,

19         610.118, and 610.119, F.S.; designating the

20         Department of State as the authorizing

21         authority; providing definitions; requiring

22         state authorization to provide cable and video

23         services; providing requirements and

24         procedures; providing for fees; providing

25         duties and responsibilities of the Department

26         of State; providing application procedures and

27         requirements; providing for issuing

28         certificates of franchise authority; providing

29         eligibility requirements and criteria for a

30         certificate; providing for amending a

31         certificate; providing for transferability of

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    Florida Senate - 2007                            CS for SB 998
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 1         certificates; providing for termination of

 2         certificates under certain circumstances;

 3         providing for challenging a department

 4         rejection of an application; providing that the

 5         department shall function in a ministerial

 6         capacity for certain purposes; providing for an

 7         application form; providing for an application

 8         fee; requiring certain information updates;

 9         providing for a processing fee; providing for

10         cancellation upon notice that information

11         updates and processing fees are not received;

12         providing for an opportunity to cure; providing

13         for transfer of such fees to the Department of

14         Agriculture and Consumer Services; requiring

15         the department to maintain a separate account

16         for cable franchise revenues; providing for

17         fees to the Department of State for certain

18         activities; declaring certain additional

19         obligations on a franchisee against public

20         policy and void; prohibiting the department

21         from imposing additional taxes, fees, or

22         charges on a cable or video service provider to

23         issue a certificate; prohibiting imposing

24         buildout, construction, and deployment

25         requirements on a certificateholder; requiring

26         certificateholders to make cable and video

27         service available at certain public buildings

28         under certain circumstances; imposing certain

29         customer service requirements on cable service

30         providers; requiring the Department of

31         Agriculture and Consumer Services to receive

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 1         customer service complaints; requiring

 2         provision of public, educational, and

 3         governmental access channels or capacity

 4         equivalent; providing criteria, requirements,

 5         and procedures; providing exceptions; providing

 6         responsibilities of municipalities and counties

 7         relating to such channels; providing for

 8         enforcement; providing requirements for and

 9         limitations on counties and municipalities

10         relating to access to public right-of-way;

11         prohibiting counties and municipalities from

12         imposing additional requirements on

13         certificateholders; authorizing counties and

14         municipalities to require permits of

15         certificateholders relating to public

16         right-of-way; providing permit criteria and

17         requirements; prohibiting discrimination among

18         cable and video service subscribers; providing

19         for enforcement; providing requirements for a

20         request for enforcement; providing for a period

21         of time to cure certain noncompliance;

22         providing for the use of alternative

23         technology; authorizing waivers or extensions

24         of time to meet such requirements; providing a

25         definition; prohibiting certain mandatory

26         build-out or deployment provisions; providing

27         for enforcement and the adoption of rules;

28         clarifying local government and department

29         authority over communications services;

30         providing for an award of costs and attorney's

31         fees; providing for determinations of

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    Florida Senate - 2007                            CS for SB 998
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 1         violations; providing for enforcement of

 2         compliance by certificateholders; providing

 3         requirements for cable service providers under

 4         certain court orders; providing for payment by

 5         nonincumbent certificateholders of certain

 6         amounts to municipalities and counties under

 7         certain circumstances; providing procedures for

 8         payment of such amounts; providing service

 9         requirements for nonincumbent

10         certificateholders; authorizing separate

11         statement of certain fees on a customer bill;

12         preserving certain rights of nonincumbent

13         service providers; authorizing

14         certificateholders to intervene in certain

15         court actions; requiring the Office of Program

16         Policy Analysis and Government Accountability

17         to report to the Legislature on the status of

18         competition in the cable and video service

19         industry; providing report requirements;

20         requiring the Department of Agriculture and

21         Consumer Services to make recommendations to

22         the Legislature; providing duties of the

23         Department of State; providing severability;

24         amending ss. 350.81 and 364.0361, F.S.;

25         conforming cross-references; amending s.

26         364.051, F.S.; deleting provisions under which

27         certain telecommunications companies may elect

28         alternative regulation; amending s. 364.10,

29         F.S.; requiring each state agency that

30         determines that a person is eligible for

31         Lifeline service to act immediately to ensure

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 1         that the person is enrolled in the Lifeline

 2         service program; requiring a state agency to

 3         include an option for not subscribing to the

 4         program; requiring that the Public Service

 5         Commission and the Department of Children and

 6         Family Services adopt rules by a specified

 7         date; requiring the Public Service Commission,

 8         the Department of Children and Family Services,

 9         and the Office of Public Counsel to enter into

10         a memorandum of understanding regarding their

11         respective duties under the Lifeline service

12         program; amending s. 364.163, F.S.; providing

13         for a cap on certain switched network access

14         service rates; deleting a time period in which

15         intrastate access rates are capped; prohibiting

16         interexchange telecommunications companies from

17         instituting any intrastate connection fee;

18         deleting provisions for regulatory oversight of

19         intrastate access rates; amending s. 364.385,

20         F.S.; providing for continuing effect of

21         certain rates and charges approved by the

22         Public Service Commission; providing for an

23         exception; repealing s. 166.046, F.S., relating

24         to definitions and minimum standards for cable

25         television franchises imposed upon counties and

26         municipalities; repealing s. 364.164, F.S,

27         relating to competitive market enhancement;

28         providing an effective date.

29  

30  Be It Enacted by the Legislature of the State of Florida:

31  

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 1         Section 1.  This act may be cited as the "Consumer

 2  Choice Act of 2007."

 3         Section 2.  Subsection (24) is added to section 202.11,

 4  Florida Statutes, to read:

 5         202.11  Definitions.--As used in this chapter:

 6         (24)  "Video service" has the same meaning as that

 7  provided in s. 610.103.

 8         Section 3.  Paragraphs (a) and (c) of subsection (2) of

 9  section 202.24, Florida Statutes, are amended to read:

10         202.24  Limitations on local taxes and fees imposed on

11  dealers of communications services.--

12         (2)(a)  Except as provided in paragraph (c), each

13  public body is prohibited from:

14         1.  Levying on or collecting from dealers or purchasers

15  of communications services any tax, charge, fee, or other

16  imposition on or with respect to the provision or purchase of

17  communications services.

18         2.  Requiring any dealer of communications services to

19  enter into or extend the term of a franchise or other

20  agreement that requires the payment of a tax, charge, fee, or

21  other imposition.

22         3.  Adopting or enforcing any provision of any

23  ordinance or agreement to the extent that such provision

24  obligates a dealer of communications services to charge,

25  collect, or pay to the public body a tax, charge, fee, or

26  other imposition.

27  

28  Municipalities and counties may not Each municipality and

29  county retains authority to negotiate all terms and conditions

30  of a cable service franchise allowed by federal and state law

31  except those terms and conditions related to franchise fees or

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    Florida Senate - 2007                            CS for SB 998
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 1  and the definition of gross revenues or other definitions or

 2  methodologies related to the payment or assessment of

 3  franchise fees on providers of cable or video services.

 4         (c)  This subsection does not apply to:

 5         1.  Local communications services taxes levied under

 6  this chapter.

 7         2.  Ad valorem taxes levied pursuant to chapter 200.

 8         3.  Occupational license taxes levied under chapter

 9  205.

10         4.  "911" service charges levied under chapter 365.

11         5.  Amounts charged for the rental or other use of

12  property owned by a public body which is not in the public

13  rights-of-way to a dealer of communications services for any

14  purpose, including, but not limited to, the placement or

15  attachment of equipment used in the provision of

16  communications services.

17         6.  Permit fees of general applicability which are not

18  related to placing or maintaining facilities in or on public

19  roads or rights-of-way.

20         7.  Permit fees related to placing or maintaining

21  facilities in or on public roads or rights-of-way pursuant to

22  s. 337.401.

23         8.  Any in-kind requirements, institutional networks,

24  or contributions for, or in support of, the use or

25  construction of public, educational, or governmental access

26  facilities allowed under federal law and imposed on providers

27  of cable or video service pursuant to any existing ordinance

28  or an existing franchise agreement granted by each

29  municipality or county, under which ordinance or franchise

30  agreement service is provided prior to July 1, 2007, or as

31  permitted under chapter 610. Nothing in this subparagraph

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 1  shall prohibit the ability of providers of cable or video

 2  service to recover such expenses as allowed under federal law.

 3         9.  Special assessments and impact fees.

 4         10.  Pole attachment fees that are charged by a local

 5  government for attachments to utility poles owned by the local

 6  government.

 7         11.  Utility service fees or other similar user fees

 8  for utility services.

 9         12.  Any other generally applicable tax, fee, charge,

10  or imposition authorized by general law on July 1, 2000, which

11  is not specifically prohibited by this subsection or included

12  as a replaced revenue source in s. 202.20.

13         Section 4.  Paragraphs (a), (b), (e), and (f) of

14  subsection (3) of section 337.401, Florida Statutes, are

15  amended to read:

16         337.401  Use of right-of-way for utilities subject to

17  regulation; permit; fees.--

18         (3)(a)1.  Because of the unique circumstances

19  applicable to providers of communications services, including,

20  but not limited to, the circumstances described in paragraph

21  (e) and the fact that federal and state law require the

22  nondiscriminatory treatment of providers of telecommunications

23  services, and because of the desire to promote competition

24  among providers of communications services, it is the intent

25  of the Legislature that municipalities and counties treat

26  providers of communications services in a nondiscriminatory

27  and competitively neutral manner when imposing rules or

28  regulations governing the placement or maintenance of

29  communications facilities in the public roads or

30  rights-of-way. Rules or regulations imposed by a municipality

31  or county relating to providers of communications services

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    Florida Senate - 2007                            CS for SB 998
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 1  placing or maintaining communications facilities in its roads

 2  or rights-of-way must be generally applicable to all providers

 3  of communications services and, notwithstanding any other law,

 4  may not require a provider of communications services, except

 5  as otherwise provided in subparagraph 2., to apply for or

 6  enter into an individual license, franchise, or other

 7  agreement with the municipality or county as a condition of

 8  placing or maintaining communications facilities in its roads

 9  or rights-of-way. In addition to other reasonable rules or

10  regulations that a municipality or county may adopt relating

11  to the placement or maintenance of communications facilities

12  in its roads or rights-of-way under this subsection, a

13  municipality or county may require a provider of

14  communications services that places or seeks to place

15  facilities in its roads or rights-of-way to register with the

16  municipality or county and to provide the name of the

17  registrant; the name, address, and telephone number of a

18  contact person for the registrant; the number of the

19  registrant's current certificate of authorization issued by

20  the Florida Public Service Commission, or the Federal

21  Communications Commission, or the Department of State; and

22  proof of insurance or self-insuring status adequate to defend

23  and cover claims.

24         2.  Notwithstanding the provisions of subparagraph 1.,

25  a municipality or county may, as provided by 47 U.S.C. s. 541,

26  award one or more franchises within its jurisdiction for the

27  provision of cable service, and a provider of cable service

28  shall not provide cable service without such franchise. Each

29  municipality and county retains authority to negotiate all

30  terms and conditions of a cable service franchise allowed by

31  federal law and s. 166.046, except those terms and conditions

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    Florida Senate - 2007                            CS for SB 998
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 1  related to franchise fees and the definition of gross revenues

 2  or other definitions or methodologies related to the payment

 3  or assessment of franchise fees and permit fees as provided in

 4  paragraph (c) on providers of cable services. A municipality

 5  or county may exercise its right to require from providers of

 6  cable service in-kind requirements, including, but not limited

 7  to, institutional networks, and contributions for, or in

 8  support of, the use or construction of public, educational, or

 9  governmental access facilities to the extent permitted by

10  federal law. A provider of cable service may exercise its

11  right to recover any such expenses associated with such

12  in-kind requirements, to the extent permitted by federal law.

13         (b)  Registration described in paragraph subparagraph

14  (a)1. does not establish a right to place or maintain, or

15  priority for the placement or maintenance of, a communications

16  facility in roads or rights-of-way of a municipality or

17  county. Each municipality and county retains the authority to

18  regulate and manage municipal and county roads or

19  rights-of-way in exercising its police power. Any rules or

20  regulations adopted by a municipality or county which govern

21  the occupation of its roads or rights-of-way by providers of

22  communications services must be related to the placement or

23  maintenance of facilities in such roads or rights-of-way, must

24  be reasonable and nondiscriminatory, and may include only

25  those matters necessary to manage the roads or rights-of-way

26  of the municipality or county.

27         (e)  The authority of municipalities and counties to

28  require franchise fees from providers of communications

29  services, with respect to the provision of communications

30  services, is specifically preempted by the state, except as

31  otherwise provided in subparagraph (a)2., because of unique

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 1  circumstances applicable to providers of communications

 2  services when compared to other utilities occupying municipal

 3  or county roads or rights-of-way. Providers of communications

 4  services may provide similar services in a manner that

 5  requires the placement of facilities in municipal or county

 6  roads or rights-of-way or in a manner that does not require

 7  the placement of facilities in such roads or rights-of-way.

 8  Although similar communications services may be provided by

 9  different means, the state desires to treat providers of

10  communications services in a nondiscriminatory manner and to

11  have the taxes, franchise fees, and other fees paid by

12  providers of communications services be competitively neutral.

13  Municipalities and counties retain all existing authority, if

14  any, to collect franchise fees from users or occupants of

15  municipal or county roads or rights-of-way other than

16  providers of communications services, and the provisions of

17  this subsection shall have no effect upon this authority. The

18  provisions of this subsection do not restrict the authority,

19  if any, of municipalities or counties or other governmental

20  entities to receive reasonable rental fees based on fair

21  market value for the use of public lands and buildings on

22  property outside the public roads or rights-of-way for the

23  placement of communications antennas and towers.

24         (f)  Except as expressly allowed or authorized by

25  general law and except for the rights-of-way permit fees

26  subject to paragraph (c), a municipality or county may not

27  levy on a provider of communications services a tax, fee, or

28  other charge or imposition for operating as a provider of

29  communications services within the jurisdiction of the

30  municipality or county which is in any way related to using

31  its roads or rights-of-way. A municipality or county may not

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 1  require or solicit in-kind compensation, except as otherwise

 2  provided in s. 202.24(2)(c)8. or s. 610.109 subparagraph (a)2.

 3  Nothing in this paragraph shall impair any ordinance or

 4  agreement in effect on May 22, 1998, or any voluntary

 5  agreement entered into subsequent to that date, which provides

 6  for or allows in-kind compensation by a telecommunications

 7  company.

 8         Section 5.  Section 337.4061, Florida Statutes, is

 9  amended to read:

10         337.4061  Definitions; unlawful use of state-maintained

11  road right-of-way by nonfranchised cable and video television

12  services.--

13         (1)  As used in this section, the term:

14         (a)  "Cable service" means:

15         1.  The one-way transmission to subscribers of video

16  programming or any other programming service; and

17         2.  Subscriber interaction, if any, which is required

18  for the selection or use of such video programming or other

19  programming service.

20         (b)  "Cable system" means a facility, consisting of a

21  set of closed transmission paths and associated signal

22  generation, reception, and control equipment that is designed

23  to provide cable service which includes video programming and

24  which is provided to multiple subscribers within a community,

25  but such term does not include:

26         1.  A facility that serves only to retransmit the

27  television signals of one or more television broadcast

28  stations;

29         2.  A facility that serves only subscribers in one or

30  more multiple-unit dwellings under common ownership, control,

31  

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 1  or management, unless such facility or facilities use any

 2  public right-of-way;

 3         3.  A facility that serves subscribers without using

 4  any public right-of-way.

 5         4.3.  A facility of a common carrier that is subject,

 6  in whole or in part, to the provisions of Title II of the

 7  federal Communications Act of 1934, except that such facility

 8  shall be considered a cable system other than for purposes of

 9  47 U.S.C. Section 541(c) to the extent such facility is used

10  in the transmission of video programming directly to

11  subscribers, unless the extent of such use is solely to

12  provide interactive on-demand services; or

13         5.4.  Any facilities of any electric utility used

14  solely for operating its electric utility systems; or.

15         6.  An open video system that complies with 47 U.S.C.

16  Section 573.

17         (c)  "Franchise" means an initial authorization or

18  renewal thereof issued by a franchising authority, whether

19  such authorization is designated as a franchise, permit,

20  license, resolution, contract, certificate, agreement, or

21  otherwise, which authorizes the construction or operation of a

22  cable system or video service provider network facilities.

23         (d)  "Franchising authority" means any governmental

24  entity empowered by federal, state, or local law to grant a

25  franchise.

26         (e)  "Person" means an individual, partnership,

27  association, joint stock company, trust, corporation, or

28  governmental entity.

29         (f)  "Video programming" means programming provided by

30  or generally considered comparable to programming provided by

31  a television broadcast station or cable system.

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 1         (g)  "Video service" has the same meaning as that

 2  provided in s. 610.103.

 3         (2)  It is unlawful to use the right-of-way of any

 4  state-maintained road, including appendages thereto, and also

 5  including, but not limited to, rest areas, wayside parks,

 6  boat-launching ramps, weigh stations, and scenic easements, to

 7  provide for cable or video service over facilities purposes

 8  within a geographic area subject to a valid existing franchise

 9  for cable or video service, unless the cable or video service

10  provider system using such right-of-way holds a franchise from

11  a franchise authority the municipality or county for the area

12  in which the right-of-way is located.

13         (3)  A violation of this section shall be deemed a

14  violation of s. 337.406.

15         Section 6.  Sections 610.102, 610.103, 610.104,

16  610.105, 610.106, 610.107, 610.108, 610.109, 610.112, 610.113,

17  610.114, 610.115, 610.116, 610.117, and 620.118, Florida

18  Statutes, are created to read:

19         610.102  Department of State authority to issue

20  statewide cable and video franchise.--The department shall be

21  designated as the franchising authority for a state-issued

22  franchise for the provision of cable or video service. A

23  municipality or county may not grant a new franchise for the

24  provision of cable or video service within its jurisdiction.

25         610.103  Definitions.--As used in ss. 610.102-610.117:

26         (1)  "Cable service" means:

27         (a)  The one-way transmission to subscribers of video

28  programming or any other programming service.

29         (b)  Subscriber interaction, if any, that is required

30  for the selection or use of such video programming or other

31  programming service.

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 1         (2)  "Cable service provider" means a person that

 2  provides cable service over a cable system.

 3         (3)  "Cable system" means a facility consisting of a

 4  set of closed transmission paths and associated signal

 5  generation, reception, and control equipment that is designed

 6  to provide cable service that includes video programming and

 7  that is provided to multiple subscribers within a community,

 8  but such term does not include:

 9         (a)  A facility that serves only to retransmit the

10  television signals of one or more television broadcast

11  stations;

12         (b)  A facility that serves only subscribers in one or

13  more multiple-unit dwellings under common ownership, control,

14  or management, unless such facility or facilities use any

15  public right-of-way;

16         (c)  A facility that serves subscribers without using

17  any public right-of-way;

18         (d)  A facility of a common carrier that is subject, in

19  whole or in part, to the provisions of Title II of the federal

20  Communications Act of 1934 except that such facility shall be

21  considered a cable system other than for purposes of 47 U.S.C.

22  Section 541(c) to the extent such facility is used in the

23  transmission of video programming directly to subscribers,

24  unless the extent of such use is solely to provide interactive

25  on-demand services;

26         (e)  Any facilities of any electric utility used solely

27  for operating its electric utility systems; or

28         (f)  An open video system that complies with 47 U.S.C.

29  Section 573.

30  

31  

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 1         (4)  "Certificateholder" means a cable or video service

 2  provider that has been issued and holds a certificate of

 3  franchise authority from the department.

 4         (5)  "Department" means the Department of State.

 5         (6)  "Franchise" means an initial authorization or

 6  renewal of an authorization, regardless of whether the

 7  authorization is designated as a franchise, permit, license,

 8  resolution, contract, certificate, agreement, or otherwise, to

 9  construct and operate a cable system or video service provider

10  network facilities in the public right-of-way.

11         (7)  "Franchise authority" means any governmental

12  entity empowered by federal, state, or local law to grant a

13  franchise.

14         (8)  "Incumbent cable service provider" means the cable

15  service provider serving the largest number of cable

16  subscribers in a particular municipal or county franchise area

17  on July 1, 2007.

18         (9)  "Public right-of-way" means the area on, below, or

19  above a public roadway, highway, street, sidewalk, alley, or

20  waterway, including, without limitation, a municipal, county,

21  state, district, or other public roadway, highway, street,

22  sidewalk, alley, or waterway.

23         (10)  "Video programming" means programming provided

24  by, or generally considered comparable to programming provided

25  by, a television broadcast station as set forth in 47 U.S.C.

26  s. 522(20).

27         (11)  "Video service" means video programming services,

28  including cable services, provided through wireline facilities

29  located at least in part in the public rights-of-way without

30  regard to delivery technology, including Internet protocol

31  technology. This definition does not include any video

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 1  programming provided by a commercial mobile service provider

 2  as defined in 47 U.S.C. s. 332(d), video programming provided

 3  as part of, and via a cable service that enables end users to

 4  access content, information, electronic mail, or other

 5  services offered over the public Internet.

 6         (12)  "Video service provider" means an entity

 7  providing video service.

 8         610.104  State authorization to provide cable or video

 9  service.--

10         (1)  An entity or person seeking to provide cable or

11  video service in this state after July 1, 2007, shall file an

12  application for a state-issued certificate of franchise

13  authority with the department as required by this section. An

14  entity or person providing cable or video service under an

15  unexpired franchise agreement with a municipality or county as

16  of July 1, 2007, is not subject to this subsection with

17  respect to providing service in such municipality or county

18  until the franchise agreement expires, except as provided by

19  subsection (2) and s. 610.105(4). An entity or person

20  providing cable or video service may seek authorization from

21  the department to provide service in areas where the entity or

22  person currently does not have an existing franchise agreement

23  as of July 1, 2007.

24         (2)  Beginning July 1, 2007, a cable or video service

25  provider that is not an incumbent cable or video service

26  provider and provides cable or video service to less than 40

27  percent of the total cable and video service subscribers in a

28  particular franchise area may elect to terminate an existing

29  municipal or county franchise and seek a state-issued

30  certificate of franchise authority by providing written notice

31  to the Secretary of State and the affected municipality or

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 1  county after July 1, 2007. The municipal or county franchise

 2  is terminated under this subsection on the date the department

 3  issues the state-issued certificate of franchise authority.

 4         (3)  An applicant for a state-issued certificate of

 5  franchise authority to provide cable or video service shall

 6  submit to the Department of State an application that

 7  contains:

 8         (a)  The official name of the cable or video service

 9  provider.

10         (b)  The street address of the principal place of

11  business of the cable or video service provider.

12         (c)  The federal employer identification number or the

13  Department of State's document number.

14         (d)  The name, address, and telephone number of an

15  officer, partner, owner, member, or manager as a contact

16  person for the cable or video service provider to whom

17  questions or concerns may be addressed.

18         (e)  A duly executed affidavit signed by an officer,

19  partner, owner, or managing member affirming and containing:

20         1.  That the applicant is fully qualified under the

21  provisions of this chapter to file an application and

22  affidavit for a certificate of franchise authority.

23         2.  That the applicant has filed or will timely file

24  with the Federal Communications Commission all forms required

25  by that agency in advance of offering cable or video service

26  in this state.

27         3.  That the applicant agrees to comply with all

28  applicable federal and state laws and regulations, to the

29  extent such state laws and rules are not in conflict with or

30  superseded by the provisions of this chapter or other

31  applicable state law.

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 1         4.  That the applicant agrees to comply with all state

 2  laws and rules and municipal and county ordinances and

 3  regulations regarding the placement and maintenance of

 4  communications facilities in the public rights-of-way that are

 5  generally applicable to providers of communications services

 6  in accordance with s. 337.401.

 7         5.  A description of the service area for which the

 8  applicant seeks a certificate of franchise authority, provided

 9  on a municipal or countywide basis. The description may be

10  provided in a manner that does not disclose competitively

11  sensitive information. For existing incumbent cable or video

12  service providers that have existing communications

13  facilities, the service area shall be coextensive with the

14  provider's existing network boundaries within the political

15  boundaries of the local jurisdiction where video services are

16  provided. For applicants using telecommunications facilities

17  to provide video services, the service area shall be

18  coextensive with all of the provider's wire centers or

19  exchanges within the political boundaries of the local

20  jurisdiction where video services are provided.

21         6.  The location of the applicant's principal place of

22  business, the names of the applicant's principal executive

23  officers, and a physical address sufficient for the purposes

24  of chapter 48.

25         7.  That the applicant will file with the department a

26  notice of commencement of service within 5 business days after

27  first providing service in each area described in subparagraph

28  5.

29         8.  A statement affirming that the applicant will

30  notify the department of any change of address or contact

31  person.

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 1         (4)  Before the 10th business day after the department

 2  receives the application, the department shall notify the

 3  applicant whether the application and affidavit described in

 4  subsection (3) are complete. If the department rejects the

 5  application and affidavit, the department shall specify with

 6  particularity the reasons for the rejection and permit the

 7  applicant to amend the application or affidavit to cure any

 8  deficiency. The department shall act upon the amended

 9  application or affidavit within 10 business days after the

10  department's receipt of the amended application or affidavit.

11         (5)  The department shall issue a certificate of

12  franchise authority to the applicant before the 15th business

13  day after receipt of an accepted application. The certificate

14  of franchise authority issued by the department shall contain:

15         (a)  The name of the certificateholder and its

16  identification number.

17         (b)  A grant of authority to provide cable or video

18  service as requested in the application.

19         (c)  A grant of authority to construct, maintain, and

20  operate facilities through, upon, over, and under any public

21  right-of-way or waters.

22         (d)  A statement that the grant of authority is subject

23  to lawful operation of the cable or video service by the

24  applicant or its successor in interest.

25         (e)  A statement that describes the service area for

26  which this certificate of authority applies.

27         (f)  A statement that includes the effective date of

28  the commencement of this authority.

29         (6)  If the department fails to act on the accepted

30  application within 30 business days after receiving the

31  

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 1  accepted application, the application shall be deemed approved

 2  by the department without further action.

 3         (7)  A certificateholder that seeks to include

 4  additional service areas in its current certificate shall file

 5  an amendment to the certificate with the department. Such

 6  amendment shall specify the name and address of the

 7  certificateholder, the new service area or areas to be served,

 8  and the effective date of commencement of operations in the

 9  new service area or areas. Such amendment shall be filed with

10  the department within 5 business days after first providing

11  service in each such additional area.

12         (8)  The certificate of franchise authority issued by

13  the department is fully transferable to any successor in

14  interest to the applicant to which the certificate is

15  initially granted. A notice of transfer shall be filed with

16  the department and the relevant municipality or county within

17  14 business days following the completion of such transfer.

18         (9)  The certificate of franchise authority issued by

19  the department may be terminated by the cable or video service

20  provider by submitting notice to the department.

21         (10)  An applicant may challenge a rejection of an

22  application by the department in a court of competent

23  jurisdiction through a petition for mandamus.

24         (11)  In executing the provisions of this section, the

25  department shall function in a ministerial capacity accepting

26  information contained in the application and affidavit at face

27  value. The applicant shall ensure continued compliance with

28  all applicable business formation, registration, and taxation

29  provisions of law.

30         (12)  The application shall be accompanied by a

31  one-time fee of $10,000. A parent company may file a single

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 1  application covering itself and all of its subsidiaries and

 2  affiliates intending to provide cable or video service in the

 3  service areas throughout the state as described in paragraph

 4  (3)(d), but the entity actually providing such service in a

 5  given area shall otherwise be considered the certificateholder

 6  under this act.

 7         (13)  Beginning 5 years after approval of the

 8  certificateholder's initial certificate of franchise issued by

 9  the department, and every 5 years thereafter, the

10  certificateholder shall update the information contained in

11  the original application for a certificate of franchise. At

12  the time of filing the information update, the

13  certificateholder shall pay a processing fee of $1,000. Any

14  certificateholder that fails to file the updated information

15  and pay the processing fee on the 5-year anniversary dates

16  shall be subject to cancellation of its state-issued

17  certificate of franchise authority if, upon notice given to

18  the certificateholder at its last address on file with the

19  department, the certificateholder fails to file the updated

20  information and pay the processing fee within 30 days after

21  the date notice was mailed. The application and processing

22  fees imposed in this section shall be paid to the Department

23  of State for deposit into the Operating Trust Fund for

24  immediate transfer by the Chief Financial Officer to the

25  General Inspection Trust Fund of the Department of Agriculture

26  and Consumer Services. The Department of Agriculture and

27  Consumer Services shall maintain a separate account within the

28  General Inspection Trust Fund to distinguish cable franchise

29  revenues from all other funds. The application, any amendments

30  to the certificate, or information updates must be accompanied

31  

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 1  by a fee to the Department of State equal to that for filing

 2  articles of incorporation pursuant to s. 607.0122(1).

 3         610.105  Eligibility for state-issued franchise.--

 4         (1)  Except as provided in s. 610.104(1) and (2) and

 5  subsection (4), an incumbent cable service provider that has

 6  an existing, unexpired franchise to provide cable service with

 7  respect to a municipality or county as of July 1, 2007, is not

 8  eligible to apply for a state-issued certificate of franchise

 9  authority under this chapter as to that municipality or county

10  until the expiration date of the existing franchise agreement.

11         (2)  For purposes of this section, an incumbent cable

12  service provider will be deemed to have or have had a

13  franchise to provide cable service in a specific municipality

14  or county if any affiliate or successor entity of the cable

15  service provider has or had an unexpired franchise agreement

16  granted by that specific municipality or county as of July 1,

17  2007.

18         (3)  The term "affiliate or successor entity" in this

19  section refers to an entity receiving, obtaining, or operating

20  under a franchise that directly or indirectly owns or

21  controls, is owned or controlled by, or is under common

22  ownership or control with the cable service provider.

23         (4)  Notwithstanding subsection (1), an incumbent cable

24  service provider may elect to terminate an existing municipal

25  or county franchise and apply for a state-issued certificate

26  of franchise authority with respect to such municipality or

27  county if another cable or video service provider has been

28  granted a state-issued certificate of franchise authority for

29  a service area located in whole or in part within the service

30  area covered by the existing municipal or county franchise and

31  such certificateholder has commenced providing service in such

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 1  area. The incumbent cable service provider shall provide at

 2  the time of filing its application for a state-issued

 3  certificate of franchise authority written notice of its

 4  intent to terminate its existing franchise under this

 5  subsection to the department and to the affected municipality

 6  or county. The municipal or county franchise shall be

 7  terminated under this section on the date the department

 8  issues to the incumbent cable service provider the

 9  state-issued certificate of franchise authority to provide

10  service in such municipality or county franchise area to the

11  incumbent cable service provider.

12         (5)  If an incumbent cable or video service provider

13  has been granted a state-issued certificate of franchise

14  authority that covers all or a portion of a municipality or

15  county, any obligation under any existing municipal or county

16  franchise that exceeds the obligations imposed on the

17  certificateholder in the area covered by the certificate shall

18  be against public policy and void.

19         610.106  Franchise fees prohibited.--Except as

20  otherwise provided in this chapter, the department may not

21  impose any taxes, fees, charges, or other impositions on a

22  cable or video service provider as a condition for the

23  issuance of a state-issued certificate of franchise authority.

24  No municipality or county may impose any taxes, fees, charges,

25  or other exactions on certificateholders in connection with

26  use of public right-of-way as a condition of a

27  certificateholder doing business in the municipality or

28  county, or otherwise, except such taxes, fees, charges, or

29  other exactions permitted by chapter 202, s. 337.401(6), or s.

30  610.117.

31  

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 1         610.107  Buildout.--No franchising authority, state

 2  agency, or political subdivision may impose any buildout,

 3  system construction, or service deployment requirements on a

 4  certificateholder.

 5         610.108  Customer service standards.--

 6         (1)  An incumbent cable service provider shall comply

 7  with customer service requirements in 47 C.F.R. s. 76.309(c)

 8  until there are two or more providers offering cable or video

 9  service, excluding direct-to-home satellite service, in all or

10  part of the incumbent service provider's relevant service

11  area.

12         (2)  Beginning on July 1, 2009, for all providers of

13  cable service in municipalities and counties that, as of

14  January 1, 2007, have an office or department dedicated to

15  responding to cable service quality complaints, all such

16  complaints shall be handled on and after July 1, 2009, by the

17  Department of Agriculture and Consumer Services. Until that

18  time, cable service quality complaints shall continue to be

19  handled by the municipality or county. This provision shall

20  not be construed to permit the municipality or county to

21  impose customer service standards in conflict with this

22  section.

23         (3)  The Department of Agriculture and Consumer

24  Services shall receive service quality complaints from

25  customers of a certificateholder and shall address such

26  complaints in an expeditious manner by assisting in the

27  resolution of such complaint between the complainant and the

28  certificateholder. The Department of Agriculture and Consumer

29  Services shall adopt any procedural rules pursuant to ss.

30  120.536(1) and 120.54 necessary to implement this section.

31  

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 1         610.109  Public, educational, and governmental access

 2  channels.--

 3         (1)  A certificateholder, not later than 12 months

 4  following a request by a municipality or county within whose

 5  jurisdiction the certificateholder is providing cable or video

 6  service, shall designate a sufficient amount of capacity on

 7  its network to allow the provision of public, educational, and

 8  governmental access channels for noncommercial programming as

 9  set forth in this section, except that a holder of a

10  state-issued certificate of authority granted pursuant to s.

11  610.105 shall be required to satisfy the public, educational,

12  and government access channel capacity obligations specified

13  in this section upon issuance of such certificate for any

14  service area covered by such certificate that is located

15  within the service area that was covered by the incumbent

16  cable or video service provider's terminated franchise.

17         (2)  A certificateholder shall designate a sufficient

18  amount of capacity on its network to allow the provision of a

19  comparable number of public, educational, and governmental

20  access channels or capacity equivalent that a municipality or

21  county has activated under the incumbent cable service

22  provider's franchise agreement as of January 1, 2007. For the

23  purposes of this section, a public, educational, or

24  governmental channel is deemed activated if the channel is

25  being used for public, educational, or governmental

26  programming within the municipality or county for at least 8

27  hours per day of locally produced programming, excluding

28  without limitation repeat and character-generated programming,

29  for any 6 consecutive-month period. The municipality or county

30  may request additional channels or capacity permitted under

31  the incumbent cable service provider's franchise agreement as

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 1  of January 1, 2007. A cable or video service provider may

 2  locate any public, educational, or governmental access channel

 3  on any tier of service offered that is viewed by at least 40

 4  percent of the provider's subscribers.

 5         (3)  If a municipality or county did not have public,

 6  educational, or governmental access channels activated under

 7  the incumbent cable service provider's franchise agreement as

 8  of July 1, 2007, not later than 12 months following a request

 9  by the municipality or county within whose jurisdiction a

10  certificateholder is providing cable or video service, the

11  cable or video service provider shall furnish:

12         (a)  Up to three public, educational, or governmental

13  channels or capacity equivalent for a municipality or county

14  with a population of at least 50,000.

15         (b)  Up to two public, educational, or governmental

16  channels or capacity equivalent for a municipality or county

17  with a population of less than 50,000.

18         (4)  Any public, educational, or governmental channel

19  provided pursuant to this section that is not used by the

20  municipality or county for at least 10 hours a day shall no

21  longer be made available to the municipality or county but may

22  be programmed at the cable or video service provider's

23  discretion. At such time as the municipality or county can

24  certify to the cable or video service provider a schedule that

25  meets the criteria in this section, the cable or video service

26  provider shall restore the previously lost channel and may

27  carry that channel on any tier of service offered that is

28  viewed by at least 40 percent of the provider's subscribers.

29         (5)  If a municipality or county has not used the

30  number of access channels or capacity equivalent permitted by

31  subsection (3), access to the additional channels or capacity

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 1  equivalent allowed in subsection (3) shall be provided upon 12

 2  month's written notice if the municipality or county meets the

 3  following standard: if a municipality or county has one active

 4  public, educational, or governmental channel and wishes to

 5  activate an additional public, educational, or governmental

 6  channel, the initial channel shall be considered to be

 7  substantially used when 12 hours are programmed on that

 8  channel each calendar day. In addition, at least 40 percent of

 9  the 12 hours of programming for each business day on average

10  over each calendar quarter must be nonrepeat programming.

11  Nonrepeat programming shall include the first three

12  videocastings of a program. If a municipality or county is

13  entitled to three public, educational, or governmental

14  channels under subsection (3) and has in service two active

15  public, educational, or governmental channels, each of the two

16  active channels shall be considered to be substantially used

17  when 12 hours are programmed on each channel each calendar day

18  and at least 50 percent of the 12 hours of programming for

19  each business day on average over each calendar quarter is

20  nonrepeat programming for three consecutive calendar quarters.

21         (6)  The operation of any public, educational, or

22  governmental access channel or capacity equivalent provided

23  under this section shall be the responsibility of the

24  municipality or county receiving the benefit of such channel

25  or capacity equivalent, and a certificateholder bears only the

26  responsibility for the transmission of such channel content. A

27  certificateholder shall be responsible for providing the

28  connectivity to each public, educational, or governmental

29  access channel distribution point up to the first 200 feet

30  from the certificateholder's activated cable or video

31  transmission system.

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 1         (7)  The municipality or county shall ensure that all

 2  transmissions, content, or programming to be transmitted over

 3  a channel or facility by a certificateholder are provided or

 4  submitted to the cable or video service provider in a manner

 5  or form that is capable of being accepted and transmitted by a

 6  provider without any requirement for additional alteration or

 7  change in the content by the provider, over the particular

 8  network of the cable or video service provider, which is

 9  compatible with the technology or protocol used by the cable

10  or video service provider to deliver services. The provision

11  of public, educational, or governmental content to the

12  provider constitutes authorization for the provider to carry

13  such content, including, at the provider's option,

14  authorization to carry the content beyond the jurisdictional

15  boundaries of the municipality or county.

16         (8)  Where technically feasible, a certificateholder

17  and an incumbent cable service provider shall use reasonable

18  efforts to interconnect their networks for the purpose of

19  providing public, educational, and governmental programming.

20  Interconnection may be accomplished by direct cable, microwave

21  link, satellite, or other reasonable method of connection.

22  Certificateholders and incumbent cable service providers shall

23  negotiate in good faith and incumbent cable service providers

24  may not withhold interconnection of public, educational, and

25  governmental channels.

26         (9)  A certificateholder is not required to

27  interconnect for, or otherwise to transmit, public,

28  educational, and governmental content that is branded with the

29  logo, name, or other identifying marks of another cable or

30  video service provider, and a municipality or county may

31  require a cable or video service provider to remove its logo,

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 1  name, or other identifying marks from public, educational, and

 2  governmental content that is to be made available to another

 3  provider.

 4         (10)  A court of competent jurisdiction shall have

 5  exclusive jurisdiction to enforce any requirement under this

 6  section.

 7         610.112  Nondiscrimination by municipality or county.--

 8         (1)  A municipality or county shall allow a

 9  certificateholder to install, construct, and maintain a

10  network within a public right-of-way and shall provide a

11  certificateholder with comparable, nondiscriminatory, and

12  competitively neutral access to the public right-of-way in

13  accordance with the provisions of s. 337.401. All use of a

14  public right-of-way by a certificateholder is nonexclusive.

15         (2)  A municipality or county may not discriminate

16  against a certificateholder regarding:

17         (a)  The authorization or placement of a network in a

18  public right-of-way;

19         (b)  Access to a building or other property; or

20         (c)  Utility pole attachment terms and conditions.

21         610.113  Limitation on local authority.--

22         (1)  A municipality or county may not impose additional

23  requirements on a certificateholder, including, but not

24  limited to, financial, operational, and administrative

25  requirements, except as expressly permitted by this chapter. A

26  municipality or county may not impose on activities of a

27  certificateholder a requirement:

28         (a)  That particular business offices be located in the

29  municipality or county;

30         (b)  Regarding the filing of reports and documents with

31  the municipality or county that are not required by state or

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 1  federal law and that are not related to the use of the public

 2  right-of-way. Reports and documents other than schematics

 3  indicating the location of facilities for a specific site that

 4  are provided in the normal course of the municipality's or

 5  county's permitting process, that are authorized by s. 337.401

 6  for communications services providers, or that are otherwise

 7  required in the normal course of such permitting process shall

 8  not be considered related to the use of the public

 9  right-of-way for communications service providers. A

10  municipality or county may not request information concerning

11  the capacity or technical configuration of a

12  certificateholder's facilities;

13         (c)  For the inspection of a certificateholder's

14  business records; or

15         (d)  For the approval of transfers of ownership or

16  control of a certificateholder's business, except that a

17  municipality or county may require a certificateholder to

18  provide notice of a transfer within a reasonable time.

19         (2)  Notwithstanding any other provision of law, a

20  municipality or county may require the issuance of a permit in

21  accordance with and subject to s. 337.401 to a

22  certificateholder that is placing and maintaining facilities

23  in or on a public right-of-way in the municipality or county.

24  In accordance with s. 337.402, the permit may require the

25  permitholder to be responsible, at the permitholder's expense,

26  for any damage resulting from the issuance of such permit and

27  for restoring the public right-of-way to its original

28  condition before installation of such facilities. The terms of

29  the permit shall be consistent with construction permits

30  issued to other providers of communications services placing

31  

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 1  or maintaining communications facilities in a public

 2  right-of-way.

 3         610.114  Discrimination prohibited.--

 4         (1)  The purpose of this section is to prevent

 5  discrimination among potential residential subscribers.

 6         (2)  A video service provider may not deny access to

 7  service to any group of potential residential subscribers

 8  because of the race, income, or ethnicity of the residents in

 9  the local area in which the group resides.

10         (3)  For purposes of determining whether a

11  certificateholder has violated subsection (2), the

12  certificateholder shall have a reasonable time to deploy

13  service to customers within the service area designated under

14  this act. Within 3 years after the date a certificateholder

15  begins providing video service in a service area, the

16  certificateholder shall provide access to video services to at

17  least 25 percent of the low-income households in that service

18  area. Within 5 years after the date a certificateholder begins

19  providing video service in a service area, the

20  certificateholder shall provide access to its video services

21  to at least 50 percent of the low-income households in that

22  service area.

23         (4)  Except for satellite service, a video service

24  provider may satisfy the requirements of this section through

25  the use of alternative technology that offers service,

26  functionality, and content, that is demonstrably similar to

27  that provided through the provider's video service system. and

28  that may include a technology that does not require the use of

29  any public right-of-way. The technology used to comply with

30  this section shall include carrying public, education, and

31  

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 1  government channels and other provisions required under this

 2  act.

 3         (5)  A video service provider may apply to the

 4  department for a waiver or extension of time to comply with

 5  this section if any of the following apply:

 6         (a)  Access to public and private rights-of-way cannot

 7  be obtained under reasonable terms and conditions.

 8         (b)  Developments or buildings are not subject to

 9  competition because of existing exclusive service agreements.

10         (c)  Developments or buildings are inaccessible using

11  reasonable technical solutions under commercially reasonable

12  terms and conditions.

13         (d)  Customers reside in an area having a density of

14  fewer than 25 homes per mile from the nearest activated

15  distribution plant of the provider.

16         (e)  Natural disasters.

17         (f)  Other factors beyond the control of the provider.

18         (6)  The department may grant a waiver or extension

19  only if the provider has made substantial and continuous

20  effort to meet the requirements of this section. If an

21  extension is granted, the department shall establish a new

22  compliance deadline. If a waiver is granted, the department

23  shall specify the requirements waived.

24         (7)  As used in this section, the term "low-income

25  household" means a household having an average annual

26  household income of less than $35,000 as determined by the

27  most recent decennial census.

28         (8)  Notwithstanding any other provision of this act, a

29  video service provider is not required to comply with, and the

30  department may not impose or enforce, any mandatory build-out

31  

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 1  or deployment provisions or schedules, except those required

 2  to comply with this section.

 3         (9)  The department or a court of competent

 4  jurisdiction may take any action necessary to enforce this

 5  section. An affected resident or applicable local government

 6  on behalf of its residents may seek any available legal remedy

 7  to address an alleged violation of this section.

 8         (10)  The Department of Agriculture and Consumer

 9  Services shall adopt rules pursuant to ss. 120.536(1) and

10  120.54 to administer this section.

11         610.115  Compliance.--If a certificateholder is found

12  by a court of competent jurisdiction not to be in compliance

13  with the requirements of this chapter, the certificateholder

14  shall have a reasonable period of time, as specified by the

15  court, to cure such noncompliance.

16         610.116  Limitation.--Nothing in this chapter shall be

17  construed to give any local government or the department any

18  authority over any communications service other than cable or

19  video services whether offered on a common carrier or private

20  contract basis.

21         610.117  Impairment; court-ordered operations.--

22         (1)  If an incumbent cable service provider is required

23  to operate under its existing franchise and is legally

24  prevented by a lawfully issued order of a court of competent

25  jurisdiction from exercising its right to terminate its

26  existing franchise pursuant to the terms of s. 610.105(4), any

27  nonincumbent certificateholder providing cable service or

28  video service in whole or in part within the service area

29  which is the subject of the incumbent cable service provider's

30  franchise shall also comply with such order, but only as long

31  as such court order remains in effect, with the following

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 1  franchise terms and conditions as applicable to the incumbent

 2  cable service provider in the service area:

 3         (a)  The nonincumbent certificateholder shall pay to

 4  the municipality or county the lesser of:

 5         1.  Any prospective lump-sum or recurring

 6  per-subscriber funding obligations to support public,

 7  educational, and governmental access channels, institutional

 8  networks if any, or other prospective franchise-required

 9  monetary grants related to public, educational, or

10  governmental access facilities and capital costs. Prospective

11  lump-sum payments shall be made on an equivalent

12  per-subscriber basis calculated as follows: the amount of the

13  prospective funding obligations divided by the number of

14  subscribers being served by the incumbent cable service

15  provider at the time of payment, divided by the number of

16  months remaining in the incumbent cable service provider's

17  franchise equals the monthly per subscriber amount to be paid

18  by the certificateholder until the expiration or termination

19  of the incumbent cable service provider's franchise; or

20         2.  An amount equal to 1 percent of the sales price, as

21  defined in s. 202.11(13), for the taxable monthly retail sales

22  of cable or video programming services the nonincumbent

23  certificateholder received from subscribers in the affected

24  municipality or county. All definitions and exemptions under

25  chapter 202 shall apply in the determination of taxable

26  monthly retail sales of cable or video programming services.

27         (b)  No payments shall be due under this subsection

28  until 45 days after the municipality or county notifies the

29  respective providers and the Department of Revenue, in

30  writing, of the appropriate per-subscriber amount. All

31  payments made pursuant to this subsection shall be made as a

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 1  part of the certificateholder's payment of communications

 2  services tax pursuant to s. 202.27, and all administrative

 3  provisions of chapter 202 shall apply to any payments made

 4  pursuant to this subsection.

 5         (c)  Upon request by a municipality or county, the

 6  nonincumbent certificateholder shall provide within a

 7  reasonable period of time comparable, complementary basic

 8  cable or video service offerings to public K-12 schools,

 9  public libraries, or government buildings as is required in

10  the incumbent's existing franchise, to the extent such

11  buildings are located within 200 feet of the nonincumbent

12  certificateholder's activated video distribution plant.

13         (d)  Any nonincumbent certificateholder may designate

14  that portion of that subscriber's bill attributable to any fee

15  imposed pursuant to this section as a separate item on the

16  bill and recover such amount from the subscriber.

17         (2)  The provisions of subsection (1) shall not alter

18  the rights of a nonincumbent cable service or video service

19  provider with respect to service areas designated pursuant to

20  s. 610.104(4)(d). Any certificateholder providing cable

21  service or video service in a service area covered by the

22  terms of an existing cable franchise that is subject to a

23  court or other proceeding challenging the ability of an

24  incumbent cable service provider to exercise its legal right

25  to terminate its existing cable franchise pursuant to s.

26  610.105(4) shall have the right to intervene in such

27  proceeding.

28         610.118  Reports to the Legislature.--

29         (1)  The Office of Program Policy Analysis and

30  Government Accountability shall submit to the President of the

31  Senate, the Speaker of the House of Representatives, and the

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 1  majority and minority leaders of the Senate and House of

 2  Representatives, by December 1, 2009, and December 1, 2014, a

 3  report on the status of competition in the cable and video

 4  service industry, including, by each municipality and county,

 5  the number of cable and video service providers, the number of

 6  cable and video subscribers served, the number of areas served

 7  by fewer than two cable or video service providers, the trend

 8  in cable and video service prices, and the identification of

 9  any patterns of service as they impact demographic and income

10  groups.

11         (2)  By January 15, 2008, the Department of Agriculture

12  and Consumer Services shall make recommendations to the

13  President of the Senate, the Speaker of the House of

14  Representatives, and the majority and minority leaders of the

15  Senate and House of Representatives regarding the workload and

16  staffing requirements associated with consumer complaints

17  related to video and cable certificateholders. The Department

18  of State shall provide to the Department of Agriculture and

19  Consumer Services, for inclusion in the report, the workload

20  requirements for processing the certificates of franchise

21  authority. In addition, the Department of State shall provide

22  the number of applications filed for cable and video

23  certificates of franchise authority and the number of

24  amendments received to original applications for franchise

25  certificate authority.

26         610.119  Severability.--If any provision of ss.

27  610.102-610.117 or the application thereof to any person or

28  circumstance is held invalid, such invalidity shall not affect

29  other provisions or application of ss. 610.102-610.117 that

30  can be given effect without the invalid provision or

31  

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 1  application, and to this end the provisions of ss.

 2  610.102-610.117 are severable.

 3         Section 7.  Paragraph (a) of subsection (3) of section

 4  350.81, Florida Statutes, is amended to read:

 5         350.81  Communications services offered by governmental

 6  entities.--

 7         (3)(a)  A governmental entity that provides a cable or

 8  video service shall comply with the Cable Communications

 9  Policy Act of 1984, 47 U.S.C. ss. 521 et seq., the regulations

10  issued by the Federal Communications Commission under the

11  Cable Communications Policy Act of 1984, 47 U.S.C. ss. 521 et

12  seq., and all applicable state and federal rules and

13  regulations, including, but not limited to, s. 166.046 and

14  those provisions of chapters 202, 212, and 337, and 610 that

15  which apply to a provider of the services.

16         Section 8.  Section 364.0361, Florida Statutes, is

17  amended to read:

18         364.0361  Local government authority; nondiscriminatory

19  exercise.--A local government shall treat each

20  telecommunications company in a nondiscriminatory manner when

21  exercising its authority to grant franchises to a

22  telecommunications company or to otherwise establish

23  conditions or compensation for the use of rights-of-way or

24  other public property by a telecommunications company. A local

25  government may not directly or indirectly regulate the terms

26  and conditions, including, but not limited to, the operating

27  systems, qualifications, services, service quality, service

28  territory, and prices, applicable to or in connection with the

29  provision of any voice-over-Internet protocol, regardless of

30  the platform, provider, or protocol, broadband or information

31  

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 1  service. This section does not relieve a provider from any

 2  obligations under s. 166.046 or s. 337.401.

 3         Section 9.  Subsections (6), (7), and (8) of section

 4  364.051, Florida Statutes, are amended to read:

 5         364.051  Price regulation.--

 6         (6)  After a local exchange telecommunications company

 7  that has more than 1 million access lines in service has

 8  reduced its intrastate switched network access rates to

 9  parity, as defined in s. 364.164(5), the local exchange

10  telecommunications company's retail service quality

11  requirements that are not already equal to the service quality

12  requirements imposed upon the competitive local exchange

13  telecommunications companies shall at the company's request to

14  the commission be no greater than those imposed upon

15  competitive local exchange telecommunications companies unless

16  the commission, within 120 days after the company's request,

17  determines otherwise. In such event, the commission may grant

18  some reductions in service quality requirements in some or all

19  of the company's local calling areas. The commission may not

20  impose retail service quality requirements on competitive

21  local exchange telecommunications companies greater than those

22  existing on January 1, 2003.

23         (7)  After a local exchange telecommunications company

24  that has more than 1 million access lines in service has

25  reduced its intrastate switched network access rates to

26  parity, as defined in s. 364.164(5), the local exchange

27  telecommunications company may petition the commission for

28  regulatory treatment of its retail services at a level no

29  greater than that imposed by the commission upon competitive

30  local exchange telecommunications companies. The local

31  exchange telecommunications company shall:

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 1         (a)  Show that granting the petition is in the public

 2  interest;

 3         (b)  Demonstrate that the competition faced by the

 4  company is sufficient and sustainable to allow such

 5  competition to supplant regulation by the commission; and

 6         (c)  Reduce its intrastate switched network access

 7  rates to its local reciprocal interconnection rate upon the

 8  grant of the petition.

 9  

10  The commission shall act upon such a petition within 9 months

11  after its filing with the commission. The commission may not

12  increase the level of regulation for competitive local

13  exchange telecommunications companies to a level greater than

14  that which exists on the date the local exchange

15  telecommunications company files its petition.

16         (8)  The provisions described in subsections (6) and

17  (7) shall apply to any local exchange telecommunications

18  company with 1 million or fewer lines in service that has

19  reduced its intrastate switched network access rates to a

20  level equal to the company's interstate switched network

21  access rates in effect on January 1, 2003.

22         Section 10.  Paragraph (h) of subsection (3) of section

23  364.10, Florida Statutes, is amended to read:

24         364.10  Undue advantage to person or locality

25  prohibited; Lifeline service.--

26         (3)

27         (h)1.  By December 31, 2007 2003, each state agency

28  that provides benefits to persons eligible for Lifeline

29  service shall undertake, in cooperation with the Department of

30  Children and Family Services, the Department of Education, the

31  commission, the Office of Public Counsel, and

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 1  telecommunications companies providing Lifeline services, the

 2  development of procedures to promote Lifeline participation.

 3         2.  If any state agency determines that a person is

 4  eligible for Lifeline services, the agency shall immediately

 5  forward the information to the commission to ensure that the

 6  person is automatically enrolled in the program with the

 7  appropriate eligible telecommunications carrier. The state

 8  agency shall include an option for an eligible customer to

 9  choose not to subscribe to the Lifeline service. The Public

10  Service Commission and the Department of Children and Family

11  Services shall, no later than December 31, 2007, adopt rules

12  creating procedures to automatically enroll eligible customers

13  in Lifeline service.

14         3.  The commission, the Department of Children and

15  Family Services, and the Office of Public Counsel shall enter

16  into a memorandum of understanding establishing the respective

17  duties of the commission, the department, and the public

18  counsel with respect to the automatic enrollment procedures no

19  later than December 31, 2007.

20         Section 11.  Section 364.163, Florida Statutes, is

21  amended to read:

22         364.163  Network access services.--For purposes of this

23  section, the term "network access service" is defined as any

24  service provided by a local exchange telecommunications

25  company to a telecommunications company certificated under

26  this chapter or licensed by the Federal Communications

27  Commission to access the local exchange telecommunications

28  network, excluding the local interconnection arrangements in

29  s. 364.16 and the resale arrangements in s. 364.161. Each

30  local exchange telecommunications company subject to s.

31  364.051 shall maintain tariffs with the commission containing

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    Florida Senate - 2007                            CS for SB 998
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 1  the terms, conditions, and rates for each of its network

 2  access services. The switched network access service rates in

 3  effect immediately prior to July 1, 2007, shall be, and shall

 4  remain, capped at that level until July 1, 2010. An

 5  interexchange telecommunications company may not institute any

 6  intrastate connection fee or any similarly named fee.

 7         (1)  After a local exchange telecommunications

 8  company's intrastate switched network access rates are reduced

 9  to or below parity, as defined in s. 364.164(5), the company's

10  intrastate switched network access rates shall be, and shall

11  remain, capped for 3 years.

12         (2)  Any intrastate interexchange telecommunications

13  company whose intrastate switched network access rate is

14  reduced as a result of the rate adjustments made by a local

15  exchange telecommunications company in accordance with s.

16  364.164 shall decrease its intrastate long distance revenues

17  by the amount necessary to return the benefits of such

18  reduction to both its residential and business customers. The

19  intrastate interexchange telecommunications company may

20  determine the specific intrastate rates to be decreased,

21  provided that residential and business customers benefit from

22  the rate decreases. Any in-state connection fee or similarly

23  named fee shall be eliminated by July 1, 2006, provided that

24  the timetable determined pursuant to s. 364.164(1) reduces

25  intrastate switched network access rates in an amount that

26  results in the elimination of such fee in a revenue-neutral

27  manner. The tariff changes, if any, made by the intrastate

28  interexchange telecommunications company to carry out the

29  requirements of this subsection shall be presumed valid and

30  shall become effective on 1 day's notice.

31  

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 1         (3)  The commission shall have continuing regulatory

 2  oversight of intrastate switched network access and customer

 3  long distance rates for purposes of determining the

 4  correctness of any rate decrease by a telecommunications

 5  company resulting from the application of s. 364.164 and

 6  making any necessary adjustments to those rates.

 7         Section 12.  Subsection (4) is added to section

 8  364.385, Florida Statutes, to read:

 9         364.385  Saving clauses.--

10         (4)  The rates and charges for basic local

11  telecommunications service and network access service approved

12  by the commission in accordance with the decisions set forth

13  in Orders Nos. PSC 03-1469-FOF-TL and PSC 04-0456-FOF-TL, and

14  which are in effect immediately prior to July 1, 2007, shall

15  remain in effect and such rates and charges may not be changed

16  after the effective date of this act, except in accordance

17  with the provisions of ss. 364.051 and 364.163.

18         Section 13.  Sections 166.046 and 364.164, Florida

19  Statutes, are repealed.

20         Section 14.  This act shall take effect upon becoming a

21  law.

22  

23  

24  

25  

26  

27  

28  

29  

30  

31  

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 1          STATEMENT OF SUBSTANTIAL CHANGES CONTAINED IN
                       COMMITTEE SUBSTITUTE FOR
 2                              SB 998

 3                                 

 4  The committee substitute establishes the authority to issue
    statewide cable and video franchises within the Department of
 5  State (department or DOS) and designates the department as the
    state franchise authority. The bill removes local government
 6  authority to negotiate cable service franchises.

 7  Generally, the bill:

 8  -Provides for definitions;

 9  -Establishes application procedures for a state-issued
    certificate of franchise authority (certificate), including
10  provisions that establish the circumstances under which a
    cable operator with an existing franchise with a municipality
11  or county may terminate such franchise agreement and receive a
    state-issued franchise for its current franchise area;
12  
    -Requires certificateholders to update information every five
13  years;

14  -Provides for application and processing fees, most of which
    are to be transferred to the Department of Agriculture;
15  
    -Prohibits the imposition of franchise fees by local
16  governments, except those franchise fees already collected
    through the Communications Services Tax and permitting fees
17  collected for the use of the right-of-way;

18  -Provides for certain buildout requirements;

19  -Provides that the incumbent cable service provider must abide
    by customer service standards reasonably comparable to those
20  in the Federal Communications Commission's (FCC) rules until
    there are two or more cable service providers in the relevant
21  service area;

22  -Provides guidelines for the number of public, educational,
    and government (PEG) channels to be provided in a certain
23  area, including when a channel is considered substantially
    used;
24  
    -Prohibits municipalities or counties from discriminating
25  against certificateholders for items such as access to
    rights-of-way, buildings, or property, terms and conditions of
26  utility pole attachments, and the filing of certain documents
    with the municipality or county;
27  
    -Prohibits discrimination against subscribers based on race or
28  income, and provides a process to address complaints related
    to discrimination;
29  
    -Provides that effective January 1, 2009, cable service
30  quality complaints from municipalities and counties that
    currently have an office or department dedicated to responding
31  to cable service quality complaints are to be handled by the
    Department of Agriculture and Consumer Services (DACS);
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 1  -Requires the office of Program Policy Analysis and
    Governmental Accountability (OPPAGA) and DACS to submit
 2  reports to the Legislature;

 3  -Provides for rulemaking by DACS.

 4  The bill repeals statutes related to a 2003 law increasing
    basic local telecommunications rates and reduces rates for
 5  intrastate switched network access that affects long distance
    rates and adds an automatic enrollment requirement for
 6  Lifeline services.

 7  The bill makes conforming changes to the Communications
    Services Tax (CST) and the use of rights-of-way statutes. The
 8  bill repeals the current cable franchising law in s. 166.046,
    F.S., and the process for the commission to consider petitions
 9  for reductions in intrastate switched network access rates in
    s. 364.164, F.S. The bill takes effect upon becoming a law.
10  

11  

12  

13  

14  

15  

16  

17  

18  

19  

20  

21  

22  

23  

24  

25  

26  

27  

28  

29  

30  

31  

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