Senate Bill No. 278–Senator Neal

 

March 13, 2003

____________

 

Referred to Committee on Commerce and Labor

 

SUMMARY—Revises provisions relating to powers of certain
local governmental entities to provide services of community antenna television system. (BDR 58‑1127)

 

FISCAL NOTE:  Effect on Local Government: No.

                           Effect on the State: No.

 

~

 

EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

AN ACT relating to communication services; revising provisions relating to the powers of certain local governmental entities to provide the services of a community antenna television system; revising provisions relating to franchises granted for community antenna television systems; and providing other matters properly relating thereto.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

1-1  Section 1. NRS 711.030 is hereby amended to read as follows:

1-2  711.030  1.  “Community antenna television company” or

1-3  “company” means any person or organization which owns, controls,

1-4  operates or manages a community antenna television system . [,

1-5  except that the definition]

1-6  2.  The term includes:

1-7  (a) The governing body of a county if it sells the services of a

1-8  community antenna television system to the general public in any

1-9  incorporated area of the county or in any area outside the

1-10  boundaries of the county; and

1-11      (b) The governing body of a city if it sells the services of a

1-12  community antenna television system to the general public in any

1-13  area outside the boundaries of the city.

2-1  3.  The term does not include:

2-2  [1.] (a) A telephone, telegraph or electric utility regulated by

2-3  the Public Utilities Commission of Nevada where the utility merely

2-4  leases or rents to a community antenna television company wires or

2-5  cables for the redistribution of television signals to or toward

2-6  subscribers of that company; or

2-7  [2.] (b) A telephone or telegraph utility regulated by the Public

2-8  Utilities Commission of Nevada where the utility merely provides

2-9  channels of communication under published tariffs filed with that

2-10  Commission to a community antenna television company for the

2-11  redistribution of television signals to or toward subscribers of that

2-12  company.

2-13      Sec. 2.  NRS 711.175 is hereby amended to read as follows:

2-14      711.175  [Except as otherwise provided in NRS 318.1192,

2-15  318.1193 and 318.1194:] Notwithstanding the provisons of any

2-16  other general law or special law to the contrary:

2-17      1.  The governing body of a county [whose population is 50,000

2-18  or more shall not] may sell the services of a community antenna

2-19  television system to the general public[.] in any area located within

2-20  or outside the boundaries of the county, whether or not the

2-21  governing body of the county has granted a franchise to one or

2-22  more community antenna television companies pursuant to this

2-23  chapter. Before the governing body of a county may sell the

2-24  services of a community antenna television system to the general

2-25  public in any incorporated area of the county or in any area

2-26  outside the boundaries of the county, the governing body of the

2-27  county must be granted a franchise from the appropriate

2-28  governing body having jurisdiction over the area.

2-29      2.  The governing body of a city [whose population is 25,000 or

2-30  more shall not] may sell the services of a community antenna

2-31  television system to the general public[.] in any area located within

2-32  or outside the boundaries of the city, whether or not the governing

2-33  body of the city has granted a franchise to one or more community

2-34  antenna television companies pursuant to this chapter. Before the

2-35  governing body of a city may sell the services of a community

2-36  antenna television system to the general public in any area outside

2-37  the boundaries of the city, the governing body of the city must be

2-38  granted a franchise from the appropriate governing body having

2-39  jurisdiction over the area.

2-40      Sec. 3.  NRS 711.200 is hereby amended to read as follows:

2-41      711.200  1.  The total amount of fees paid in any one year to a

2-42  local government for a franchise must not exceed 5 percent of the

2-43  [company’s] gross revenue [for] derived by the company from the

2-44  community antenna television system during the preceding year.

3-1  2.  In determining the gross revenue of a company , the

3-2  governing body shall:

3-3  (a) Consider any applicable regulations of the Federal

3-4  Communications Commission; and

3-5  (b) Deduct an amount equal to any fees or annual assessment

3-6  paid by the company for the use of pay or premium channels.

3-7  Sec. 4.  NRS 711.240 is hereby amended to read as follows:

3-8  711.240  1.  Except with respect to reasonable promotional

3-9  activities, a person shall not advertise, offer to provide or provide

3-10  any service to subscribers of television services at a rate, including

3-11  any rebate, less than the cost to the company to provide the service

3-12  which is advertised, offered or provided with the intent to:

3-13      (a) Impair fair competition or restrain trade among companies

3-14  which provide services in the same area; or

3-15      (b) Create a monopoly.

3-16      2.  For the purposes of this section, “cost” means the expense of

3-17  doing business including, without limitation, expenses for labor,

3-18  rent, depreciation, interest, maintenance, delivery of the service,

3-19  franchise fees, taxes, insurance and advertising.

3-20      3.  A community antenna television company may offer any

3-21  telecommunication or related services which are offered in the same

3-22  area by a telephone company, pursuant to chapter 704 of NRS and

3-23  regulations approved by the Public Utilities Commission of Nevada

3-24  for providers of similar services. A community antenna television

3-25  company shall obtain a certificate of public convenience and

3-26  necessity pursuant to NRS 704.330 before providing

3-27  telecommunication or related services which are subject to

3-28  regulation by the Public Utilities Commission of Nevada. The

3-29  provisions of this subsection do not apply to a community antenna

3-30  television company that is owned, controlled, operated or managed

3-31  by the governing body of a county or city.

3-32      4.  A violation of subsection 1 constitutes a prohibited act under

3-33  NRS 598A.060. The Attorney General and any other person may

3-34  exercise the powers conferred by that chapter to prevent, remedy or

3-35  punish such a violation. The provisions of chapter 598A of NRS

3-36  apply to any such violation.

3-37      Sec. 5.  NRS 318.1193 and 711.185 are hereby repealed.

3-38      Sec. 6.  This act becomes effective on July 1, 2003.

 

4-1  TEXT OF REPEALED SECTIONS

 

4-2  318.1193  Facilities for television: Limitation on

4-3   organization if area includes existing service. No district

4-4   proposing to furnish television facilities, as provided in NRS

4-5   318.1192, may be organized which includes any area already

4-6   served by a community antenna television company unless the

4-7   governing body of the local government which granted a franchise

4-8   to the community antenna television company determines that both

4-9   the company and the district may furnish service to that area.

4-10      711.185  Governing body may grant exclusive franchise. A

4-11   governing body may grant an exclusive franchise to a community

4-12   antenna television company.

 

4-13  H