Agenda Packets - 1995/02/06 - Laserfiche WebLink

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Samantha Orduno January 26, 1995 Page 2. the negotiations will be to focus instead on services and technical standards, leaving the means of providing those services and meeting the standards up to the provider. 2. Regulatory Uncertainty. Although Congress failed last year to pass legislation that would have re-structured the regulatory framework for all communications providers, including cable, we expect that another attempt will be made in the current session. Whether it will succeed this time is anyone's guess. According to industry leaders quoted in the trade publications, a bill must be passed this year or the issue is dead until 1997. No one expects much significant legislation to be addressed in 1996, a presidential election year. In addition, if a bill or bills are introduced, few are willing to speculate what their content will be. The major players in this arena are all huge industries, and there is no agreement among them. The long distance carriers and cable companies are lined up against the Baby Bells, with the broadcasters, the Motion Picture Association and other programmers also getting involved. I think it will be very difficult to achieve unanimity among them. Here in Minnesota, the Cable Commission was one of four that took the lead in drafting legislation to strengthen and clarify cities' authority to manage and control the public rights-of-way. A copy of the bill is attached. We have been working closely with the League of Minnesota Cities, which has now agreed to assume leadership for the proejct, with our cable commissions and others serving as the "foot soldiers." Since Senator Novak is the chair of the committee to which this bill will be referred, it will be very important for him to know that the City of Mounds View supports this legislation. 3. Sale of the system. The owners of Meredith Cable have had the system up for sale for a little over a year. They were, frankly, discouraged by the reregulation of rates by Congress and the F.C.C. In addition, the regulatory and technological climate does not favor small systems and the owners of a small number of systems. We are seeing a great deal of consolidation of cable ownership nationwide. As a result, we expect that Meredith Cable will announce the sale of the system sooner or later. A sale would require the Cable Commission to go through a Transfer of Ownership proceeding. 4. Political and economic realities. The political and economic realities work against the development of a long list of community services and benefits in return for franchise renewal. The subscribers ultimately pay the cost for these items, so we are very conscious of making sure that the subscribers will also benefit. Neverthe- less, expect the Cable Commission to agressively pursue the maintenance of community television facilities and funding and the development of a state-of-the-art cable plant.