§545 — Title 47 Telegraphs, Telephones, and Radiotelegraphs | U.S. Code

Summary

Allows a cable company to ask the local franchise authority to change rules in its franchise while the franchise is active. For changes to equipment or facilities (including public, educational, or governmental access gear), the company must show it is commercially impractical to follow the rule and that the proposed change makes sense because of that. For changes to services, the company must show the same kinds, quality, and level of services promised when the franchise began will still be provided. The authority must decide in a public meeting within 120 days after getting the request unless both sides agree to more time. If the authority denies the request, the company can seek relief in court under section 555, and the court uses the same tests. With 30 days’ written notice, a company may remove or change a particular service if the service is no longer available or if it now requires a royalty under section 801(b)(2) that is much higher than before and hasn’t been paid for by a rate change. A company may also move a service between nonregulated tiers (section 543). Changes affecting public, educational, or governmental access services may not be modified here. "Commercially impracticable" means it’s impossible to meet the rule because conditions changed beyond the company’s control and those changed conditions were not expected when the rule was set.

Title 47, §545

Telegraphs, Telephones, and Radiotelegraphs — Source: USLM XML via OLRC

(a)(1)During the period a franchise is in effect, the cable operator may obtain from the franchising authority modifications of the requirements in such franchise—

(A)in the case of any such requirement for facilities or equipment, including public, educational, or governmental access facilities or equipment, if the cable operator demonstrates that (i) it is commercially impracticable for the operator to comply with such requirement, and (ii) the proposal by the cable operator for modification of such requirement is appropriate because of commercial impracticability; or

(B)in the case of any such requirement for services, if the cable operator demonstrates that the mix, quality, and level of services required by the franchise at the time it was granted will be maintained after such modification.

(2)Any final decision by a franchising authority under this subsection shall be made in a public proceeding. Such decision shall be made within 120 days after receipt of such request by the franchising authority, unless such 120 day period is extended by mutual agreement of the cable operator and the franchising authority.

(b)(1)Any cable operator whose request for modification under subsection (a) has been denied by a final decision of a franchising authority may obtain modification of such franchise requirements pursuant to the provisions of section 555 of this title.

(2)In the case of any proposed modification of a requirement for facilities or equipment, the court shall grant such modification only if the cable operator demonstrates to the court that—

(A)it is commercially impracticable for the operator to comply with such requirement; and

(B)the terms of the modification requested are appropriate because of commercial impracticability.

(3)In the case of any proposed modification of a requirement for services, the court shall grant such modification only if the cable operator demonstrates to the court that the mix, quality, and level of services required by the franchise at the time it was granted will be maintained after such modification.

(c)Notwithstanding subsections (a) and (b), a cable operator may, upon 30 days’ advance notice to the franchising authority, rearrange, replace, or remove a particular cable service required by the franchise if—

(1)such service is no longer available to the operator; or

(2)such service is available to the operator only upon the payment of a royalty required under section 801(b)(2) of title 17, which the cable operator can document—

(A)is substantially in excess of the amount of such payment required on the date of the operator’s offer to provide such service, and

(B)has not been specifically compensated for through a rate increase or other adjustment.

(d)Notwithstanding subsections (a) and (b), a cable operator may take such actions to rearrange a particular service from one service tier to another, or otherwise offer the service, if the rates for all of the service tiers involved in such actions are not subject to regulation under section 543 of this title.

(e)A cable operator may not obtain modification under this section of any requirement for services relating to public, educational, or governmental access.

(f)For purposes of this section, the term “commercially impracticable” means, with respect to any requirement applicable to a cable operator, that it is commercially impracticable for the operator to comply with such requirement as a result of a change in conditions which is beyond the control of the operator and the nonoccurrence of which was a basic assumption on which the requirement was based.

Statutory Notes and Related Subsidiaries

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.

§545 Modification of Franchise Obligations

Summary

Title 47, §545

Notes & Related Subsidiaries

Statutory Notes and Related Subsidiaries

Effective Date

Citations & Metadata