Title 47 — Telegraphs, Telephones, and RadiotelegraphsRelease 119-73
§546 Renewal
Title 47 › Chapter CHAPTER 5— - WIRE OR RADIO COMMUNICATION › Subchapter SUBCHAPTER V–A— - CABLE COMMUNICATIONS › Part Part III— - Franchising and Regulation › § 546
Summary
A local franchising authority must start a public review during the 6-month period that begins 36 months before a cable franchise expires. If the cable company files a written renewal notice during that 6-month window, the authority must start the review within 6 months after that notice. The cable company can only use the special renewal process if it asks for one or if the authority starts one on its own. After the review, the cable company may send a renewal proposal with whatever materials the authority asks for, including any upgrade plans. The authority must give quick public notice when it gets the proposal. Within the 4-month period that starts when the proposal is filed, the authority must either renew the franchise or give a preliminary decision not to renew and, if needed, hold a formal hearing. The hearing will look at four things: whether the company followed the important terms of the current franchise and the law; whether its service quality and consumer practices have been reasonable; whether it has the money, legal standing, and technical ability to do what it proposes; and whether the proposal reasonably meets future community needs given the costs. The company gets notice, can present evidence, question witnesses, and there will be a transcript. Any written denial must explain which of those four factors it is based on. The company may appeal a final denial to court under section 555. A decision is not final until state administrative review has happened or the time to seek it has passed. “Franchise expiration” means the expiration date that was in the franchise as it stood on October 30, 1984. A company may also submit a renewal proposal at any time and the authority may act on it outside these procedures. A lawful revocation for cause is not prevented by starting renewal talks.
Full Legal Text
Title 47, §546
Telegraphs, Telephones, and Radiotelegraphs — Source: USLM XML via OLRC
(a)(1)A franchising authority may, on its own initiative during the 6-month period which begins with the 36th month before the franchise expiration, commence a proceeding which affords the public in the franchise area appropriate notice and participation for the purpose of (A) identifying the future cable-related community needs and interests, and (B) reviewing the performance of the cable operator under the franchise during the then current franchise term. If the cable operator submits, during such 6-month period, a written renewal notice requesting the commencement of such a proceeding, the franchising authority shall commence such a proceeding not later than 6 months after the date such notice is submitted.
(2)The cable operator may not invoke the renewal procedures set forth in subsections (b) through (g) unless—
(A)such a proceeding is requested by the cable operator by timely submission of such notice; or
(B)such a proceeding is commenced by the franchising authority on its own initiative.
(b)(1)Upon completion of a proceeding under subsection (a), a cable operator seeking renewal of a franchise may, on its own initiative or at the request of a franchising authority, submit a proposal for renewal.
(2)Subject to section 544 of this title, any such proposal shall contain such material as the franchising authority may require, including proposals for an upgrade of the cable system.
(3)The franchising authority may establish a date by which such proposal shall be submitted.
(c)(1)Upon submittal by a cable operator of a proposal to the franchising authority for the renewal of a franchise pursuant to subsection (b), the franchising authority shall provide prompt public notice of such proposal and, during the 4-month period which begins on the date of the submission of the cable operator’s proposal pursuant to subsection (b), renew the franchise or, issue a preliminary assessment that the franchise should not be renewed and, at the request of the operator or on its own initiative, commence an administrative proceeding, after providing prompt public notice of such proceeding, in accordance with paragraph (2) to consider whether—
(A)the cable operator has substantially complied with the material terms of the existing franchise and with applicable law;
(B)the quality of the operator’s service, including signal quality, response to consumer complaints, and billing practices, but without regard to the mix or quality of cable services or other services provided over the system, has been reasonable in light of community needs;
(C)the operator has the financial, legal, and technical ability to provide the services, facilities, and equipment as set forth in the operator’s proposal; and
(D)the operator’s proposal is reasonable to meet the future cable-related community needs and interests, taking into account the cost of meeting such needs and interests.
(2)In any proceeding under paragraph (1), the cable operator shall be afforded adequate notice and the cable operator and the franchise authority, or its designee, shall be afforded fair opportunity for full participation, including the right to introduce evidence (including evidence related to issues raised in the proceeding under subsection (a)), to require the production of evidence, and to question witnesses. A transcript shall be made of any such proceeding.
(3)At the completion of a proceeding under this subsection, the franchising authority shall issue a written decision granting or denying the proposal for renewal based upon the record of such proceeding, and transmit a copy of such decision to the cable operator. Such decision shall state the reasons therefor.
(d)Any denial of a proposal for renewal that has been submitted in compliance with subsection (b) shall be based on one or more adverse findings made with respect to the factors described in subparagraphs (A) through (D) of subsection (c)(1), pursuant to the record of the proceeding under subsection (c). A franchising authority may not base a denial of renewal on a failure to substantially comply with the material terms of the franchise under subsection (c)(1)(A) or on events considered under subsection (c)(1)(B) in any case in which a violation of the franchise or the events considered under subsection (c)(1)(B) occur after the effective date of this subchapter unless the franchising authority has provided the operator with notice and the opportunity to cure, or in any case in which it is documented that the franchising authority has waived its right to object, or the cable operator gives written notice of a failure or inability to cure and the franchising authority fails to object within a reasonable time after receipt of such notice.
(e)(1)Any cable operator whose proposal for renewal has been denied by a final decision of a franchising authority made pursuant to this section, or has been adversely affected by a failure of the franchising authority to act in accordance with the procedural requirements of this section, may appeal such final decision or failure pursuant to the provisions of section 555 of this title.
(2)The court shall grant appropriate relief if the court finds that—
(A)any action of the franchising authority, other than harmless error, is not in compliance with the procedural requirements of this section; or
(B)in the event of a final decision of the franchising authority denying the renewal proposal, the operator has demonstrated that the adverse finding of the franchising authority with respect to each of the factors described in subparagraphs (A) through (D) of subsection (c)(1) on which the denial is based is not supported by a preponderance of the evidence, based on the record of the proceeding conducted under subsection (c).
(f)Any decision of a franchising authority on a proposal for renewal shall not be considered final unless all administrative review by the State has occurred or the opportunity therefor has lapsed.
(g)For purposes of this section, the term “franchise expiration” means the date of the expiration of the term of the franchise, as provided under the franchise, as it was in effect on October 30, 1984.
(h)Notwithstanding the provisions of subsections (a) through (g) of this section, a cable operator may submit a proposal for the renewal of a franchise pursuant to this subsection at any time, and a franchising authority may, after affording the public adequate notice and opportunity for comment, grant or deny such proposal at any time (including after proceedings pursuant to this section have commenced). The provisions of subsections (a) through (g) of this section shall not apply to a decision to grant or deny a proposal under this subsection. The denial of a renewal pursuant to this subsection shall not affect action on a renewal proposal that is submitted in accordance with subsections (a) through (g).
(i)Notwithstanding the provisions of subsections (a) through (h), any lawful action to revoke a cable operator’s franchise for cause shall not be negated by the subsequent initiation of renewal proceedings by the cable operator under this section.
Legislative History
Notes & Related Subsidiaries
Editorial Notes
References in Text
For “the
Effective Date
of this subchapter”, referred to in subsec. (d), as 60 days after Oct. 30, 1984, except where otherwise expressly provided, see section 9(a) of Pub. L. 98–549, set out as an
Effective Date
note under section 521 of this title.
Amendments
1992—Subsec. (a). Pub. L. 102–385, § 18(a), amended subsec. (a) generally. Prior to amendment, subsec. (a) read as follows: “During the 6-month period which begins with the 36th month before the franchise expiration, the franchising authority may on its own initiative, and shall at the request of the cable operator, commence proceedings which afford the public in the franchise area appropriate notice and participation for the purpose of— “(1) identifying the future cable-related community needs and interests; and “(2) reviewing the performance of the cable operator under the franchise during the then current franchise term.” Subsec. (c)(1). Pub. L. 102–385, § 18(b), inserted “pursuant to subsection (b)” after “renewal of a franchise” and substituted “date of the submission of the cable operator’s proposal pursuant to subsection (b)” for “completion of any proceedings under subsection (a)”. Subsec. (c)(1)(B). Pub. L. 102–385, § 18(c), substituted “mix or quality” for “mix, quality, or level”. Subsec. (d). Pub. L. 102–385, § 18(d), inserted “that has been submitted in compliance with subsection (b)” after “Any denial of a proposal for renewal” and substituted “or the cable operator gives written notice of a failure or inability to cure and the franchising authority fails to object within a reasonable time after receipt of such notice” for “or has effectively acquiesced”. Subsec. (e)(2)(A). Pub. L. 102–385, § 18(e), inserted “, other than harmless error,” after “franchising authority”. Subsec. (i). Pub. L. 102–385, § 18(f), added subsec. (i).
Statutory Notes and Related Subsidiaries
Effective Date
of 1992 AmendmentAmendment by Pub. L. 102–385 effective 60 days after Oct. 5, 1992, see section 28 of Pub. L. 102–385, set out as a note under section 325 of this title.
Effective Date
Section effective 60 days after Oct. 30, 1984, except where otherwise expressly provided, see section 9(a) of Pub. L. 98–549, set out as a note under section 521 of this title.
Reference
Citations & Metadata
Citation
47 U.S.C. § 546
Title 47 — Telegraphs, Telephones, and Radiotelegraphs
Last Updated
Apr 6, 2026
Release point: 119-73