! The Capitol Complex is open to the public with some limitations. All meetings are still available virtually online. Please visit the Capitol Information page for details.

S.B. 190

             1     

UTILITY FEE LIMITATIONS

             2     
2014 GENERAL SESSION

             3     
STATE OF UTAH

             4     
Chief Sponsor: John L. Valentine

             5     
House Sponsor: James A. Dunnigan

             6     
             7      LONG TITLE
             8      General Description:
             9          This bill amends the general operating limitations on a municipality that provides a
             10      cable television service or a public telecommunications service.
             11      Highlighted Provisions:
             12          This bill:
             13          .    clarifies that any other means by which a municipality may not cross subsidize its
             14      cable television services or its public telecommunications services includes a fee.
             15      Money Appropriated in this Bill:
             16          None
             17      Other Special Clauses:
             18          None
             19      Utah Code Sections Affected:
             20      AMENDS:
             21           10-18-303 , as last amended by Laws of Utah 2009, Chapter 388
             22     
             23      Be it enacted by the Legislature of the state of Utah:
             24          Section 1. Section 10-18-303 is amended to read:
             25           10-18-303. General operating limitations.
             26          A municipality that provides a cable television service or a public telecommunications
             27      service under this chapter is subject to the operating limitations of this section.


             28          (1) A municipality that provides a cable television service shall comply with:
             29          (a) the Cable Communications Policy Act of 1984, 47 U.S.C. 521, et seq.; and
             30          (b) the regulations issued by the Federal Communications Commission under the Cable
             31      Communications Policy Act of 1984, 47 U.S.C. 521, et seq.
             32          (2) A municipality that provides a public telecommunications service shall comply
             33      with:
             34          (a) the Telecommunications Act of 1996, Pub. L. 104-104;
             35          (b) the regulations issued by the Federal Communications Commission under the
             36      Telecommunications Act of 1996, Pub. L. 104-104;
             37          (c) Section 54-8b-2.2 relating to:
             38          (i) the interconnection of essential facilities; and
             39          (ii) the purchase and sale of essential services; and
             40          (d) the rules made by the Public Service Commission of Utah under Section 54-8b-2.2 .
             41          (3) (a) A municipality may not cross subsidize its cable television services or its public
             42      telecommunications services with:
             43          [(a)] (i) tax dollars;
             44          [(b)] (ii) income from other municipal or utility services;
             45          [(c)] (iii) below-market rate loans from the municipality; or
             46          [(d)] (iv) except as provided in Subsection (3)(b), any other means[.], including a fee
             47      collected by the municipality or a private provider on behalf of the municipality.
             48          (b) Subsection (3)(a)(iv) does not apply to a fee collected to pay the debt service on
             49      bonded indebtedness incurred before January 1, 2014.
             50          (4) (a) A municipality may not make or grant any undue or unreasonable preference or
             51      advantage to itself or to any private provider of:
             52          (i) cable television services; or
             53          (ii) public telecommunications services.
             54          (b) A municipality shall apply without discrimination as to itself and to any private
             55      provider the municipality's ordinances, rules, and policies, including those relating to:
             56          (i) obligation to serve;
             57          (ii) access to public rights of way;
             58          (iii) permitting;


             59          (iv) performance bonding;
             60          (v) reporting; and
             61          (vi) quality of service.
             62          (c) Subsections (4)(a) and (b) do not supersede the exception for a rural telephone
             63      company in Section 251 of the Telecommunications Act of 1996, Pub. L. 104-104.
             64          (5) In calculating the rates charged by a municipality for a cable television service or a
             65      public telecommunications service, the municipality:
             66          (a) shall include within its rates an amount equal to all taxes, fees, and other
             67      assessments that would be applicable to a similarly situated private provider of the same
             68      services, including:
             69          (i) federal, state, and local taxes;
             70          (ii) franchise fees;
             71          (iii) permit fees;
             72          (iv) pole attachment fees; and
             73          (v) fees similar to those described in Subsections (5)(a)(i) through (iv); and
             74          (b) may not price any cable television service or public telecommunications service at a
             75      level that is less than the sum of:
             76          (i) the actual direct costs of providing the service;
             77          (ii) the actual indirect costs of providing the service; and
             78          (iii) the amount determined under Subsection (5)(a).
             79          (6) (a) A municipality that provides cable television services or public
             80      telecommunications services shall establish and maintain a comprehensive price list of all cable
             81      television services or public telecommunications services offered by the municipality.
             82          (b) The price list required by Subsection (6)(a) shall:
             83          (i) include all terms and conditions relating to the municipality providing each cable
             84      television service or public telecommunications service offered by the municipality;
             85          (ii) (A) be published in a newspaper having general circulation in the municipality; and
             86          (B) be published in accordance with Section 45-1-101 ; and
             87          (iii) be available for inspection:
             88          (A) at a designated office of the municipality; and
             89          (B) during normal business hours.


             90          (c) At least five days before the date a change to a municipality's price list becomes
             91      effective, the municipality shall:
             92          (i) notify the following of the change:
             93          (A) all subscribers to the services for which the price list is being changed; and
             94          (B) any other persons requesting notification of any changes to the municipality's price
             95      list; and
             96          (ii) (A) publish notice in a newspaper of general circulation in the municipality; and
             97          (B) publish notice in accordance with Section 45-1-101 .
             98          (d) In accordance with Subsection (6)(c)(ii)(A), if there is no newspaper of general
             99      circulation in the municipality, the municipality shall publish the notice required by this
             100      Subsection (6) in a newspaper of general circulation that is nearest the municipality.
             101          (e) A municipality may not offer a cable television service or a public
             102      telecommunications service except in accordance with the prices, terms, and conditions set
             103      forth in the municipality's price list.
             104          (7) A municipality may not offer to provide or provide cable television services or
             105      public telecommunications services to a subscriber that does not reside within the geographic
             106      boundaries of the municipality.
             107          (8) (a) A municipality shall keep accurate books and records of the municipality's:
             108          (i) cable television services; and
             109          (ii) public telecommunications services.
             110          (b) The books and records required to be kept under Subsection (8)(a) are subject to
             111      legislative audit to verify the municipality's compliance with the requirements of this chapter
             112      including:
             113          (i) pricing;
             114          (ii) recordkeeping; and
             115          (iii) antidiscrimination.
             116          (9) A municipality may not receive distributions from the Universal Public
             117      Telecommunications Service Support Fund established in Section 54-8b-15 .





Legislative Review Note
    as of 2-12-14 9:14 AM


Office of Legislative Research and General Counsel


[Bill Documents][Bills Directory]