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Iowa Franchise-Reform Bill to Governor’s Desk

Incumbent Video Providers Will Be Able to File for State Regulation After July 1

By Linda Haugsted -- Multichannel News, 5/4/2007 8:39:00 AM

A franchise-reform bill that will let incumbent video providers file for state regulation as soon as a competitor files to serve the local community is awaiting the signature of Iowa Gov. Chet Culver.

The bill there would become law on July 1. Following that date, competitive providers can choose either to apply for a local franchise, or for state regulation by the utilities board of the Department of Commerce. The state board will have 15 days to act on applications, and the local incumbent's application will be deemed approved as soon as a competitor is franchised.

The bill, approved by the state Senate April 18, sets the franchise term at 10 years. Local governments can enact no rules requiring build-outs or applying local fees. Newcomers will match the franchise-fee amounts paid by incumbents.

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