Amendment SSA1-AB207

AB207-SSA1,3,23 66.0420 Video service. (1) Legislative findings. The legislature finds all of the following:

AB207-SSA1,4,3 (a) The economy in the state of Wisconsin will be enhanced by investment in new communications and video services, including broadband service facilities and fiber optic and Internet protocol technologies.

AB207-SSA1,4,5 (b) Video services bring important daily benefits to Wisconsin consumers by providing news, education, and entertainment.

AB207-SSA1,4,8 (c) Competitive video service providers are capable of providing new video programming services and competition to Wisconsin consumers and of decreasing the prices for video programming services paid by Wisconsin consumers.

AB207-SSA1,4,12 (d) Although there has been some competitive entry into the facilities-based video programming market since s. 66.0419 was enacted, further entry by facilities-based providers could benefit consumers, if video services are equitably available to all Wisconsin consumers at reasonable prices.

AB207-SSA1,4,17 (e) The provision of competitive video services is a matter of statewide concern that extends beyond the boundaries of individual municipalities. However, public rights-of-way are limited resources over which a municipality has a custodial duty and ownership interest to ensure that the public rights-of-way are used, repaired, and maintained in a manner that best serves the public interest.

AB207-SSA1,4,24 (f) This section is intended to enable rapid and widespread entry by competitive video service providers which will bring to Wisconsin consumers the benefits of video competition, including providing consumers with more choice, lower prices, higher speed and more advanced Internet access, more diverse and varied news, public information, education, and entertainment programming; and will bring to this state and municipalities the benefits of new infrastructure investment, job growth, and innovation in broadband service and Internet protocol technologies and deployment.

AB207-SSA1,5,3 (g) This section is intended to best ensure equal treatment and parity among different providers of video services and different technologies for providing such services.

AB207-SSA1,5,4 (2) Definitions. In this section:

AB207-SSA1,5,7 (a) "Affiliate", when used in relation to any person, means another person who owns or controls, is owned or controlled by, or is under common ownership or control with such person.

AB207-SSA1,5,9 (b) "Basic video service" means any video service offering or service tier which includes the retransmission of local television broadcast signals.

AB207-SSA1,5,12 (c) "Broadband service" means a high-speed service connection to the public Internet that is capable of supporting, in at least one direction, a speed in excess of 200 kilobits per second to a network demarcation point at a subscriber's premises.

AB207-SSA1,5,13 (d) "Cable franchise" means a franchise granted under s. 66.0419 (3) (b).

AB207-SSA1,5,14 (e) "Cable operator" has the meaning given in 47 USC 522 (5).

AB207-SSA1,5,15 (f) "Cable service" has the meaning given in 47 USC 522 (6).

AB207-SSA1,5,16 (g) "Cable system" has the meaning given in 47 USC 522 (7).

AB207-SSA1,5,17 (h) "Commission" means the public service commission.

AB207-SSA1,5,20 (i) "Competitive video service provider" means a person that is providing or seeks to provide video service in an area where there is at least one incumbent cable operator.

AB207-SSA1,5,22 (j) "Household" means any individual or group of individuals who are living together as one economic unit.

AB207-SSA1,5,25 (k) "Incumbent cable operator" means a person that, immediately before the effective date of this paragraph.... [revisor inserts date], provided cable service in a municipality under a cable franchise.

AB207-SSA1,6,2 (L) "Issued" means, with respect to a video service franchise, issued or considered to be issued by the commission.

AB207-SSA1,6,5 (m) "Low-income household" means a household whose aggregate individual and group income is not more than 150 percent of the poverty line as determined under 42 USC 9902 (2).

AB207-SSA1,6,6 (n) "Municipality" means a city, village, or town.

AB207-SSA1,6,8 (o) "Municipally regulated cable operator" means an incumbent cable operator that has not elected to terminate its cable franchise under sub. (3) (b) 1. b.

AB207-SSA1,6,10 (p) "PEG channel" means a channel designated for noncommercial public, educational, or governmental use.

AB207-SSA1,6,12 (q) "PEG channel manager" means a person authorized by a municipality to manage PEG channels.

AB207-SSA1,6,13 (qm) "PEG support fee" means a fee required under sub. (7) (d) 1.

AB207-SSA1,6,16 (r) "Public rights-of-way" means the areas on, below, or above a public roadway, highway, street, public sidewalk, alley, or waterway, and includes utility easements dedicated for compatible uses.

AB207-SSA1,6,18 (s) "Service tier" means a category of video service for which a separate rate is charged.

AB207-SSA1,6,21 (t) "Telecommunications service area" means the area designated by the commission as the area in which a telecommunications provider was obligated to provide noncompetitive local telephone service.

AB207-SSA1,6,22 (u) "Video programming" has the meaning given in 47 USC 522 (20).

AB207-SSA1,7,6 (v) "Video service" means video programming and subscriber interaction, if any, that is required for the selection or use of video programming, and which is provided through wireline facilities located at least in part in the public rights-of-way without regard to delivery technology, including Internet protocol technology. "Video service" includes cable service. "Video service" does not include any video programming provided by a commercial mobile service provider, as defined in 47 USC 332 (d), or any video programming provided solely as part of, and via, a service that enables users to access content, information, electronic mail, or other services offered over the public Internet.

AB207-SSA1,7,10 (w) "Video service area" means, with respect to a video service franchisee, the geographic area designated by the video service franchisee in its application for a video service franchise as the geographic area in which it will offer video services during the period of its video service franchise.

AB207-SSA1,7,12 (x) "Video service franchise" means a franchise issued by the commission under sub. (4) (g) 1.

AB207-SSA1,7,13 (xm) "Video service franchise fee" means a fee required under sub. (7) (c).

AB207-SSA1,7,15 (y) "Video service franchisee" means a person issued a video service franchise by the commission.

AB207-SSA1,7,19 (z) "Video service network" means wireline facilities, or any component thereof, located at least in part in public rights-of-way that deliver video service, without regard to delivery technology, including Internet protocol technology or any other technology. "Video service network" includes a cable system.

AB207-SSA1,7,24 (3) Authority to provide video service. (a) Public rights-of-way. 1. Except for a municipally regulated cable operator, no person may provide video service in this state, or use the public rights-of-way for installing or constructing facilities for the provision of video service, unless the commission has issued a video service franchise to the person.

AB207-SSA1,8,5 2. This section does not affect a municipality's authority under s. 182.017 (1) to grant permits for the use of public rights-of-way to install or construct facilities to provide video service. A municipality is not required to grant a permit under s. 182.017 (1) to install or construct facilities to provide video service to a person that has not been issued a video service franchise or a cable franchise.

AB207-SSA1,8,7 (b) Incumbent cable operators. 1. An incumbent cable operator may do one of the following:

AB207-SSA1,8,10 a. Upon expiration of the incumbent cable operator's cable franchise, apply to the municipality that granted the cable franchise for renewal of the cable franchise under s. 66.0419 (3).

AB207-SSA1,8,18 b. At any time prior to expiration of the incumbent cable operator's cable franchise, terminate the cable franchise and apply to the commission for a video service franchise under sub. (4). At least 180 days before making an application under sub. (4), the incumbent cable operator shall provide advance notice to the commission, the municipality that granted a cable franchise to the incumbent cable operator, and the municipality's PEG channel manager. Termination of the cable franchise shall be effective on the date that the commission issues a video service franchise to the incumbent cable operator.

AB207-SSA1,8,20 2. An incumbent cable operator that elects to terminate its cable franchise shall do all of the following:

AB207-SSA1,9,3 a. Pay to the municipality that granted the cable franchise and any PEG channel manager any accrued but unpaid amounts that are due under the cable franchise. Such amounts must be remitted before the 46th day after the date that termination of the cable franchise is effective. If the incumbent cable operator has a credit for any amounts due under the cable franchise that the incumbent cable operator has prepaid, the incumbent cable operator may deduct the amount of the credit from any future PEG support or video service franchise fees that the incumbent cable operator is required to pay to the municipality.

AB207-SSA1,9,10 b. Pay to the municipality that granted the cable franchise and the municipality's PEG channel manager, at the time that they would have been due, all monetary payments for PEG channels that would have been due during the remaining term of the cable franchise had it not been terminated by the incumbent cable operator. All payments made by an incumbent cable operator under this subd. 2. b. shall be credited against any PEG support or video service franchise fees that the incumbent cable operator otherwise owes to the municipality.

AB207-SSA1,9,15 3. An incumbent cable operator that elects to terminate its cable franchise, and any successor in interest, is required to comply with any requirements of the municipality that granted the franchise that require the incumbent cable operator to provide access to video service and that are in effect on the effective date of this subdivision .... [revisor inserts date].

AB207-SSA1,9,24 (c) Video service franchisees. 1. For purposes of 47 USC 521 to 573, the commission is the franchising authority for video service franchisees, and municipalities are the exclusive franchising authorities for municipally regulated cable operators. The commission may not impose franchising requirements on municipally regulated cable operators and municipalities may not impose franchising requirements on video service franchisees. Notwithstanding any other provision of this section, a video service franchisee that uses telecommunications facilities to provide video service is not obligated to provide video service outside the video service franchisee's telecommunications service area.

AB207-SSA1,10,5 2. A video service franchisee is not subject to any other franchise obligations under state law within its video service area, except as provided in this section. Except as provided under this section, neither the commission nor any municipality may require a video service franchisee to obtain a separate franchise or pay any franchise fee on video service.

AB207-SSA1,10,9 (4) Video service franchise. (a) Application; affidavit. An applicant for a video service franchise shall submit an application to the commission that includes a completed affidavit signed by an officer or general partner of the applicant that affirms all of the following:

AB207-SSA1,10,12 1. That the applicant has filed or will timely file with the federal communications commission all forms required by that agency in advance of offering video service in this state.

AB207-SSA1,10,14 2. That the applicant agrees to comply with all applicable federal and state statutes, rules, and regulations.

AB207-SSA1,10,16 3. That the applicant agrees to comply with all applicable regulations of a municipality.

AB207-SSA1,10,20 (b) Application; video service area. 1. An application under par. (a) shall include an exact description of the video service area and identify the number of low-income households within the video service area. The video service area shall be described in terms of one of the following:

AB207-SSA1,10,21 a. Telephone service exchange areas.

AB207-SSA1,10,22 b. A collection of United States Census Bureau 13-digit block numbers.

AB207-SSA1,10,25 c. Geographic information system digital boundaries meeting or exceeding national map accuracy standards established by the U.S. Geological Survey, if the area is not large enough to be described as specified in subd. 1. a. or b.

AB207-SSA1,11,1 d. Municipalities.

AB207-SSA1,11,6 2. If the applicant is an incumbent cable operator that seeks to offer video service within one or more municipalities that have issued a cable franchise to the applicant, the video service area described under subd. 1. must consist of an area no smaller than the aggregate of the service areas under each cable franchise issued by a municipality in which the incumbent cable operator seeks to offer video service.

AB207-SSA1,11,8 (c) Application; other requirements. An application under par. (a) shall contain all of the following:

AB207-SSA1,11,10 1. The location and telephone number of the applicant's principal place of business within this state.

AB207-SSA1,11,13 2. The names of the applicant's principal executive officers who are responsible for communications concerning the application and the services to be offered pursuant to the application.

AB207-SSA1,11,15 3. The applicant's legal name and any name or names under which the applicant does or will provide video services in this state.

AB207-SSA1,11,18 4. A certification that the applicant concurrently delivered a copy of the application to each municipality that includes all or any part of the video service area described under par. (b).

AB207-SSA1,11,23 5. The expected date that the applicant will initially offer video service in the video service area described under par. (b). If a video service franchisee does not offer video service within 3 months after the expected date, the video service franchisee shall amend its application to update the expected date and explain the delay in offering video service.

AB207-SSA1,12,2 6. Adequate assurance that the applicant possesses the financial, managerial, legal, and technical qualifications necessary to construct and operate the proposed system, promptly repair any damage to the public rights-of-way caused by the applicant, and pay the cost of removal of its facilities.

AB207-SSA1,12,4 7. The applicant's general standards related to customer service established under s. 100.209 (3).

AB207-SSA1,12,8 (d) Confidentiality. Information included in an application under par. (a), or subsequently reported to the commission by a video service franchisee, shall be subject to the commission's rules under s. 196.135 (2), except that the commission may not treat as confidential any of the following:

AB207-SSA1,12,10 1. Information regarding the specific locations where access to video service is offered or available.

AB207-SSA1,12,11 2. Aggregate information included in reports required under this section.

AB207-SSA1,12,14 (e) Internet posting. Subject to par. (d), the commission shall post all applications for video service franchises on its Internet Web site no later than 5 business days after receiving an application.

AB207-SSA1,12,19 (f) Completeness notice. No later than 15 business days after receiving an application for a video service franchise, the commission shall notify the applicant whether the application is complete. If the application is not complete, the commission shall state in its notice the reasons the application is incomplete, and the applicant may resubmit the application.

AB207-SSA1,13,2 (g) Issuance. 1. No later than 30 business days after the commission's receipt of a complete application, the commission shall issue a video service franchise to the applicant. If the commission does not notify an applicant regarding the completeness of the application before the deadline specified in par. (f), or the commission does not issue a video service franchise to an applicant before the deadline under this paragraph, the commission is considered to have issued a video service franchise to the applicant on the 30th business day after the commission receives the application.

AB207-SSA1,13,5 2. No later than 3 business days after issuing a video service franchise to an applicant, the commission shall notify each municipality that includes any part of the video service area described by the applicant under par. (b).

AB207-SSA1,13,13 (h) Transfer. A video service franchisee may transfer its video service franchise to any successor in interest if the successor in interest submits, no later than 15 business days before completion of the transfer, a notice of the transfer to the commission and each municipality that includes any part of the video service area. The successor in interest may not provide video service unless the successor in interest applies for, and is issued, a video service franchise under this subsection. The commission may not issue a video service franchise to the successor in interest if any of the following apply:

AB207-SSA1,13,16 1. The video service franchisee that transferred the video service franchise to the successor in interest has committed a material and continuing violation of this section.

AB207-SSA1,13,18 2. The successor in interest has exhibited a pattern of noncompliance with customer service standards.

AB207-SSA1,13,19 3. The successor in interest is insolvent.

AB207-SSA1,13,24 (i) Termination; video service area modification. 1. Except as provided in subd. 2., a video service franchisee may terminate its video service franchise or modify its video service area by submitting a notice of the termination or modification to the commission and each municipality that includes any part of the video service area. The commission may not take any action regarding the notice.

AB207-SSA1,14,2 2. A video service franchisee may not terminate its video service franchise or modify its video service area if any of the following apply:

AB207-SSA1,14,4 a. The termination or modification results in an area in which no video service is available from any provider.

AB207-SSA1,14,6 b. The termination or modification is based on the race or income of the residents in the local area in which the residents reside.

AB207-SSA1,14,9 (j) Expiration and renewal. A video service franchise expires 10 years after the date that the commission issues the franchise. Upon expiration, a video service franchisee shall reapply for a video service franchise.

AB207-SSA1,14,13 (k) Commission expenses. The commission shall bill an applicant or video service franchisee under s. 196.85 (1) any expense incurred by the commission with respect to an application or any other matter regarding the applicant or video service franchisee.

AB207-SSA1,14,16 (L) Annual fees. Upon issuance of a video service franchise to a video service franchisee, and annually thereafter, the video service franchisee shall pay a fee of $2,000 to the department of agriculture, trade and consumer protection.

AB207-SSA1,14,23 (5) PEG channels. (a) Channel capacity; number of channels. 1. Except as provided in subd. 2., a municipality that includes any portion of the video service area of a video service franchisee may require the video service franchisee to do all of the following, and the video service franchisee shall take any required action no later than 90 days after the municipality notifies the video service franchisee of the requirement or than the date on which the video service franchisee begins to provide video service in the municipality, whichever is later:

AB207-SSA1,15,2 a. Designate the same amount of capacity on its video service network for PEG channels as an incumbent cable operator was required to designate under a cable franchise that was granted to the incumbent cable operator by the municipality and that was in effect on January 1, 2007.

AB207-SSA1,15,6 b. Retransmit to its subscribers the same number of PEG channels as an incumbent cable operator was required to retransmit under a cable franchise that was granted to the incumbent cable operator by the municipality and that was in effect on January 1, 2007.

AB207-SSA1,15,12 2. If a municipality that includes any portion of the video service area of a video service franchisee was provided less than 3 PEG channels by an incumbent cable operator on January 1, 2007, then, under subd. 1., the municipality may require the video service franchisee to designate sufficient capacity on its video service network for no more than 3 PEG channels and retransmit to its subscribers no more than 3 PEG channels.

AB207-SSA1,15,23 3. Any time that programming on any PEG channel that a municipality requires a video service franchisee to retransmit under this paragraph exceeds 40 hours per week as measured on a quarterly basis, the municipality may require the video service franchisee to designate sufficient capacity on its video service network for one additional PEG channel and retransmit to its subscribers one additional PEG channel. The municipality shall provide the video service franchisee with a written notice that specifies the number of PEG channels used by the municipality and verifies that the additional PEG channel will be put into actual use. No later than 90 days after receiving the notice, the video service franchisee shall comply with the requirement. The additional PEG channel may not be used for any purpose other than for carrying additional PEG channel programming.