12-2023

Chapter 12.--CITIES AND MUNICIPALITIES
Article 20.--FRANCHISES

      12-2023.   Video service application, authorization;transferability; termination; franchise; compliance not required withmandatory build-out provisions, specific technology; PEG access; emergencybroadcast; franchises in effect prior to July 1, 2006; multiple serviceproviders within a municipality; customer service requirements; denial ofservice based on income; service extension process; state corporationcommission authorized to promulgate regulations governing applicationprocess.(a) An entity or person seeking to provide cable service orvideo service in this state on or after July 1, 2006,shall file an application for a state-issued video service authorization withthe state corporation commission as required by thissection. The state corporation commission shall promulgate regulations togovern thestate-issued video service authorization application process. The state,through the state corporation commission, shall issue avideo service authorization permitting avideo service provider to provide video service in the state, or amend a videoservice authorization previously issued, within 30 calendar days after receiptof a completed affidavitsubmitted by the video service applicant andsigned by an officer or general partner of the applicant affirming:

      (1)   The location of the applicant's principal place of business and the namesof the applicant's principalexecutive officers;

      (2)   that the applicant has filed or will timely file with the federalcommunications commission all formsrequired by that agency in advance of offering video service in this state;

      (3)   that the applicant agrees to comply with all applicable federal and statestatutes and regulations;

      (4)   that the applicant agrees to comply with all lawful and applicablemunicipal regulations regarding theuse and occupation of public rights-of-way in the delivery of the videoservice, including the police powers of themunicipalities in which the service is delivered;

      (5)   the description of the service area footprint to be served within thestate of Kansas, including anymunicipalities or parts thereof, and which may include certain designations ofunincorporated areas, whichdescription shall be updated by the applicant prior to the expansion of videoservice to a previously undesignatedservice area and, upon such expansion, notice to the state corporationcommission of theservice area to be served by theapplicant; including:

      (A)   The period of time it shall take applicant to become capable of providingvideo programming to allhouseholds in the applicant's service area footprint, which may not exceed fiveyears from the date the authorization,or amended authorization, is issued; and

      (B)   a general description of the type or types of technologies the applicantwill use to provide videoprogramming to all households in its service area footprint, which may includewireline, wireless, satellite or anyother alternative technology.

      (b)   The certificate of video service authorization issued by thestate corporation commission shall contain:

      (1)   A grant of authority to provide video service as requested in theapplication;

      (2)   a statement that the grant of authority is subject to lawful operation ofthe video service by theapplicant or its successor in interest.

      (c)   The certificate of video service authorization issued by thestate corporation commission is fully transferable toany successor in interest to the applicant to which it is initially granted. Anotice of transfer shall be filed with thestate corporation commission and any relevant municipalities within 30 businessdays ofthe completion of such transfer.

      (d)   The certificate of video service authorization issued by thestate corporation commission may be terminated bythe video service provider by submitting notice to the state corporationcommission.

      (e)   To the extent required by applicable law, any video serviceauthorization granted by the state throughthe state corporation commission shall constitute a "franchise" for purposes of47 U.S.C.§ 541(b)(1). To the extent required for purposes of 47 U.S.C.§§ 521-561, only the state ofKansas shall constitute the exclusive "franchising authority" forvideo service providers in the state of Kansas.

      (f)   The holder of a state-issued video service authorization shall not berequired to comply with anymandatory facility build-out provisions nor provide video service to anycustomer using any specific technology.Additionally, no municipality of the state of Kansas may:

      (1)   Require a video service provider to obtain a separate franchise toprovidevideo service;

      (2)   impose any fee, license or gross receipts tax on video service providers,other than the feespecified in subsections (b) through (e) ofK.S.A. 2009 Supp.12-2024, andamendments thereto;

      (3)   impose any provision regulating rates charged by video service providers;or

      (4)   impose any other franchise or service requirements or conditions on videoservice providers, exceptthat a video service provider mustsubmit the agreement specified in subsection (a) ofK.S.A. 2009 Supp.12-2024,and amendmentsthereto.

      (g)   K.S.A. 12-2006 through 12-2011, and amendments thereto, shall not applyto video service providers.

      (h)   Not later than 120 days after a request by a municipality, the holder ofastate-issued video service authorizationshall provide the municipality with capacity over its video service to allowpublic,educational and governmental (PEG)access channels for noncommercial programming, according to the following:

      (1)   A video service provider shall not be required to provide more than twoPEG access channels;

      (2)   the operation of any PEG access channel provided pursuant to this sectionshall be the responsibilityof the municipality receiving the benefit of such channel, and the holder of astate-issued video service authorizationbears only the responsibility for the transmission of such channel; and

      (3)   the municipality must ensure that all transmissions, content, orprogramming to be transmitted overa channel or facility by a holder of a state-issued video service authorizationare provided or submitted to such videoservice provider in a manner or form that is capable of being accepted andtransmitted by a provider, withoutrequirement for additional alteration or change in the content by the provider,over the particular network of thevideo service provider, which is compatible with the technology or protocolutilized by the video service provider todeliver video services;

      (i)   in order to alert customers to any public safety emergencies, a videoservice provider shall offer theconcurrent rebroadcast of local television broadcast channels, or utilizeanother economically and technicallyfeasible process for providing an appropriate message through the provider'svideo service in the event of a publicsafety emergency issued over the emergency broadcast system.

      (j) (1)   Valid cable franchises in effect prior to July 1, 2006, shallremain in effect subject to this section. Nothing in this act is intended toabrogate, nullify or adversely affect in any way any franchise or othercontractual rights, duties and obligations existing and incurred by a cableoperator or competitive video service provider before the enactment of thisact. A cableoperator providing video service over a cable system pursuant to a franchiseissued by a municipality in effect on July 1, 2006, shall comply with the termsandconditions of such franchise until such franchise expires, is terminatedpursuant to its terms or until the franchise is modified as provided in thissection.

      (2)   Whenever two or more video service providers are providing service withinthe jurisdiction of a municipality, a cable operator with an existingmunicipally issued franchise agreement may request that the municipalitymodify theterms of the existingfranchise agreement to conform to the terms and conditions of a state-issuedvideo service authorization. The cable operator requesting a modification shallidentify inwriting the terms and conditions of its existing franchise that are materiallydifferent from the state-issued video service authorization, whether suchdifferences imposegreater or lesser burdens on the cable operator. Upon receipt of such requestfrom a cable operator, the cable operator and themunicipality shall negotiate the franchise modification terms in good faith foraperiod of 60 days. If within 60 days, the municipality and the franchised cableoperator cannot reach agreeable terms, the cable operator may file amodification request pursuant to paragraph (3).

      (3)   Whenever two or more video service providers are providing service withinthe jurisdiction of a municipality, a cable operator may seek a modification ofitsexisting franchise terms and conditions to conform to the terms and conditionsof a state-issued video service authorization pursuant to 47 U.S.C. §545; provided,however, that a municipality's review of such request shall conform to thissection. Inits application for modification, a franchised cable operator shall identifythe terms and conditions of its municipally issued franchise that aremateriallydifferent from the terms and conditions of the state-issued video serviceauthorization, whethersuch differences impose greater or lesser burdens on the cable operator. Themunicipality shall grant the modification request within 120 days for anyprovisions where there are material differences between theexisting franchise and the state-issued video service authorization. Noprovisions shall beexempt. A cable operator that is denied a modification request pursuant to thisparagraph may appeal the denial to a court of competent jurisdiction whichshall perform a de novo review of the municipality's denial consistent withthissection.

      (4)   Nothing in this act shall preclude a cable operator with a validmunicipally issued franchise from seeking enforcement of franchise provisionsthatrequire the equal treatment of competitive video service providers and cableoperators within a municipality,but only to the extent such cable franchise provisions may be enforced toreform or modify such existing cable franchise. For purposes of interpretingsuch cable franchise provisions, a state-issued video service authorizationshall be considered equivalent to a municipally issued franchise; provided,however,that the enforcement of such cable franchise provisions shall not affect thestate-issued video service authorization in any way.

      (k)   Upon 90 days notice, a municipality may require a video service providerto comply with customer servicerequirements consistent with 47 C.F.R. § 76.309(c) for its video servicewith such requirements to beapplicable to all video services and video service providers on a competitivelyneutralbasis.

      (l)   A video service provider may not deny access to service to any group ofpotential residentialsubscribers because of the income of the residents in the local area in whichsuch group resides.

      (m)   Within 180 days of providing video service in a municipality, the videoserviceprovider shall implement aprocess for receiving requests for the extension of video service to customersthat reside in such municipality, but for whichvideo service is not yet available from the provider to the residences of therequesting customers. The video serviceprovider shall provide information regarding this request process to themunicipality,who may forward such requests to thevideo service provider on behalf of potential customers. Within 30 days ofreceipt, a video service provider shallrespond to such requests as it deems appropriate and may provide information tothe requesting customer about itsvideo products and services and any potential timelines for the extension ofvideo service to the customers area.

      (n)   A video service provider shall implement an informal process for handlingmunicipality or customer inquiries,billing issues, service issues and other complaints. In the event an issue isnot resolved through this informalprocess, a municipality may request a confidential, non-binding mediation withthevideo service provider, with the costs ofsuch mediation to be shared equally between the municipality and provider.Should avideo service provider be found by acourt of competent jurisdiction to be in noncompliance with the requirements ofthis act, the court shall order thevideo service provider, within a specified reasonable period of time, to curesuch noncompliance. Failure to complyshall subject the holder of the state-issued franchise of franchise authorityto penalties as the court shall reasonably impose, up to and includingrevocation of the state-issued video serviceauthorization. A municipality within whichthe video service provider offers video service may be an appropriate party inany such litigation.

      History:   L. 2006, ch. 93, § 3; July 1.