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L <br /> FREDRIKSON & BYRON, P.A. <br /> Attorneys At Law <br /> • <br /> Cable Television Franchising Authorities and Other Interested Persons <br /> February 16, 1996 <br /> Page 4 <br /> _ C. Miscellaneous Services Provided By RBOCs. <br /> L Manufacturing -by RBOCs. RBOCs were previously barred from <br /> manufacturing telecommunications equipment. The Telecommunications <br /> Act allows RBOCs to manufacture such equipment if they are authorized <br /> to provide long distance service. <br /> 2. Electronic Publishing by RBOCs. Although RBOCs will be prohibited <br /> from directly providing electronic publishing, they will have the ability to <br /> provide electronic publishing through "separated" affiliates or through <br /> certain approved joint ventures. <br /> 3. Alarm Monitoring and Telemessaging. Six years after the Act, RBOCs <br /> will be able to enter the alarm monitoring and telemessaging businesses. <br /> 4. Competitive Safeguards. There are several features of the Act designed <br /> to prevent monopolistic control by RBOCs, including creation of a joint <br /> federal/state board to' preserve universal service for consumers, new <br /> provisions regulating corporate subsidiary structures, and new accounting <br /> and reporting rules. <br /> D. Video Programming Services Provided by Telcos. As discussed earlier, <br /> telephone companies can now provide video programming services via "open <br /> video platforms." Certain of these provisions do not directly impact the <br /> regulatory powers of local governments. Other important provisions are: <br /> a. Separate Affiliates. If a common carrier intends to provide video <br /> programming directly to subscribers, it must do so through a <br /> separate subsidiary that maintains- its own books, records -and <br /> accounts. <br /> b. Limits on Interconnection Requirements. Local telephone <br /> companies providing OVS services shall not be required to make <br /> capacity available on their telecommunications systems to others <br /> who would.use such capacity to provide cable services. <br /> C. Section 214 Exemption. OVS providers will not be required to <br /> apply for section 214 permits from the FCC prior to constructing <br /> or operating OVS systems to the extent such systems provide video <br /> programming. <br />