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Page Two <br />o Enforcement. My amendment to section 613(d) deleted the <br />operator's right to unilaterally abrogate negotiated commit- <br />ments to provide specified facilities and equipment. An <br />operator will now have to prove that a "significant change <br />in circumstances" has made the provision of the facilities <br />and equipment impracticable before a local government is <br />required to negotiate over the change in the agreement. <br />The amendment will also mandate binding arbitration when <br />such negotiations fail, and will thus preserve the local <br />character of the disputes resolution process. <br />o Franchise Renewal. Two changes were made to section 609. <br />First, the provision prohibiting a franchise authority <br />from considering competing applications was dropped after <br />a number of us expressed concern over its anti-trust impli- <br />cations. And second, under one of several amendments <br />sponsored by Senator Lautenberg and supported by Senators <br />Boschwitz, Exon and myself, the requirement for judicial <br />de novo hearings on decisions to deny franchise renewal <br />will not apply where an operator has been given a hearing <br />consistent with accepted administrative procedures. <br />o Rate Regulation. The key change to section 607 involved <br />dropping the proposed 5 percent floor on the annual increase — <br />service rates. Under the amendment, rates may rise in <br />accordance with the annual increase in the regional Consumer <br />Price Index. Also, basic service rates would continue to be <br />regulated within the "B contour" if 80 percent of the house- <br />holds for which cable was available subscribed to the system. <br />7 Access. This amendment to section 614 will allow franchise <br />authorities to specify access to public and educational <br />programming as well as to government programming which already <br />was allowed under the bill. <br />Frankly, I doubt that these changes will satisfy everyone. I'm <br />not satisfied myself, but S. 66 still has a long way to go before <br />becoming law. First, it must be passed in the House of Representatives, <br />and then it mus£ go through conference conuaittee before coming back <br />to the Senate for final passage. By voting for this bill on the <br />Senate floor, I have helped to secure essential changes in the <br />legislation while retaining the good will. of Chairman Packwood and <br />others, keeping uw in a strony position to represent your concerns <br />in the days ahead. <br />