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I F 7) fl i n <br /> i "yam . �� Ult. iii t I <br /> 0 N LY <br /> 145 University Avenue West, St. Paul, MN 55103-2044 <br /> League of Minnesota Cities Phone: (612) 281-1200 • (800) 925-1122 <br /> Cities promoting excellence Fax: (612) 281-1299 • TDD (612) 281-1290 <br /> Right-of-Way Management & Compensation <br /> Briefing Paper <br /> Issue synopsis/League position: <br /> Telecommunications service providers have directly challenged cities' authority to manage public <br /> rights-of-way. During the debate over the federal Telecommunications Act of 1996, the <br /> telecommunications industry fought in vain to pre-empt local control. However, under the enacted <br /> law, municipalities were given explicit authority to manage the public rights-of-way. The federal <br /> deregulation act only marked the beginning of an emerging local government issue. <br /> The issue first began to emerge inMinnesotaas US West filed a lawsuit in Redwood County <br /> challenging a Redwood Falls right-of-way management ordinance. Although the district court <br /> found in favor of the city, a subsequent appeals court decision overturned the lower court. The case <br /> in now on appeal to the Minnesota Supreme Court. <br /> Now the battle has moved to the state legislature,where the urgency of the issue has emerged as <br /> • demand for limited space in the right-of-way has increased under telecommunications competition. <br /> Cities insist that local government must be able to protect and manage the use of a limited right-of- <br /> way resource acquired and maintained by property taxpayers. <br /> The League has mounted a comprehensive legal and legislative effort to uphold cities' fundamental <br /> responsibility for management of the right-of-way. This management role includes the ability to <br /> recover all costs and expenses associated with the right-of-way and to obtain reasonable <br /> compensation for its use. Hearings begin today at 12:30 p.m., on H.F. 322 (Jennings) in the House <br /> Regulated Industries & Energy Committee. <br /> Messages for legislators: . <br /> • A bill must be passed out of this committee. It is in the telecommunications industry's <br /> interest that no legislation be approved this year. If that occurs, the rights of cities to manage <br /> the right of way will remain unclear and chaos could result. The deadline for passage out of <br /> this committee is March 26; it is imperative that the committee approve the bill this <br /> Thursday. <br /> • Management authority. The bill as currently drafted contains substantial clarifying language <br /> outlining the necessary controls cities need to manage the right of way. It is important that <br /> this language remain. <br /> • • Cost recovery. As currently drafted, the bill would allow cities to recover their cost for right <br /> of way management and obligate utilities to compensate cities for damage done to the life of <br /> AN EQUAL OPPORTUNITY/AFFIRMATIVE ACTION EMPLOYER <br />