State of Illinois
91st General Assembly
Legislation

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91_HB1751

 
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 1        AN  ACT  to amend the Illinois Municipal Code by changing
 2    Section 11-42-11.

 3        Be it enacted by the People of  the  State  of  Illinois,
 4    represented in the General Assembly:

 5        Section  5.   The  Illinois  Municipal Code is amended by
 6    changing Section 11-42-11 as follows:

 7        (65 ILCS 5/11-42-11) (from Ch. 24, par. 11-42-11)
 8        Sec. 11-42-11.   Community  antenna  television  systems;
 9    satellite transmitted television programming.
10        (a)  The  corporate  authorities of each municipality may
11    license, franchise  and  tax  the  business  of  operating  a
12    community antenna television system as hereinafter defined in
13    this   Section.   In  municipalities  with  fewer  less  than
14    2,000,000 inhabitants, the corporate authorities may own  (or
15    lease  as  lessee) and operate a community antenna television
16    system.   Before  acquiring,  constructing,   or   commencing
17    operation  of  a  community  antenna  television  system, the
18    municipality shall comply with the following:
19             (1)  Give written notice to the owner or operator of
20        any other community antenna television system  franchised
21        to serve all or any portion of the territorial area to be
22        served by the municipality's community antenna television
23        system, specifying the date, time, and place at which the
24        municipality  shall  conduct  public hearings to consider
25        and determine whether the  municipality  should  acquire,
26        construct,  or  commence operation of a community antenna
27        television  system.   The  public   hearings   shall   be
28        conducted at least 14 days after this notice is given.
29             (2)  Publish  a  notice  of the hearing in 2 or more
30        newspapers  published  in  the  county,  city,   village,
31        incorporated town, or town, as the case may be.  If there
 
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 1        is  no  such newspaper, then notice shall be published in
 2        any 2 or more newspapers  published  in  the  county  and
 3        having  a  general  circulation throughout the community.
 4        The public hearings shall be conducted at least  14  days
 5        after this notice is given.
 6             (3)  Conduct a public hearing to determine the means
 7        by  which construction, maintenance, and operation of the
 8        system will be financed, including whether the use of tax
 9        revenues or other fees will be required.
10        (b)  The  words  "community  antenna  television  system"
11    shall mean any facility which is constructed in whole  or  in
12    part  in, on, under or over any highway or other public place
13    and which is operated to perform  for  hire  the  service  of
14    receiving and amplifying the signals broadcast by one or more
15    television  stations and redistributing such signals by wire,
16    cable or other means to members of the public  who  subscribe
17    to  such service; except that this such definition does shall
18    not include (i) any system  which  serves  fewer  than  fifty
19    subscribers,  or  (ii)  any  system  which  serves  only  the
20    residents  of  one  or  more apartment dwellings under common
21    ownership,   control   or    management,    and    commercial
22    establishments located on the premises of such dwellings.
23        (c)  The   authority  hereby  granted  does  not  include
24    authority to license, franchise or  tax  telephone  companies
25    subject  to  jurisdiction of the Illinois Commerce Commission
26    or the Federal Communications Commission in  connection  with
27    the   furnishing   of  circuits,  wires,  cables,  and  other
28    facilities to the operator of a community antenna  television
29    system.
30        The  corporate  authorities  of each municipality may, in
31    the course of franchising such community  antenna  television
32    system,  grant  to  the such franchisee the authority and the
33    right and permission to use all  public  streets,  rights  of
34    way,  alleys,  ways  for  public  service  facilities, parks,
 
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 1    playgrounds, school grounds,  or  other  public  grounds,  in
 2    which  the  such  municipality  may have an interest, for the
 3    construction,    installation,    operation,     maintenance,
 4    alteration, addition, extension or improvement of a community
 5    antenna television system.
 6        Any  charge  imposed  by  a  community antenna television
 7    system franchised pursuant to this Section for the raising or
 8    removal of cables or lines to permit passage on, to or from a
 9    street  shall  not  exceed  the  reasonable  costs  of   work
10    reasonably necessary to safely permit such passage.  Pursuant
11    to subsections (h) and (i) of Section 6 of Article VII of the
12    Constitution  of  the State of Illinois, the General Assembly
13    declares the regulation of charges which may  be  imposed  by
14    community  antenna  television  systems  for  the  raising or
15    removal of cables or lines to permit passage on, to  or  from
16    streets is a power or function to be exercised exclusively by
17    the  State  and not to be exercised or performed concurrently
18    with the State by any unit of local government, including any
19    home rule unit.
20        The  municipality  may,  upon  written  request  by   the
21    franchisee of a community antenna television system, exercise
22    its  right  of  eminent  domain  solely  for  the  purpose of
23    granting an easement right no greater than 8 feet  in  width,
24    extending  no  greater  than 8 feet from any lot line for the
25    purpose of extending cable across any parcel of  property  in
26    the  manner  provided by the law of eminent domain, provided,
27    however, the such franchisee deposits with  the  municipality
28    sufficient   security  to  pay  all  costs  incurred  by  the
29    municipality in the exercise of its right of eminent domain.
30        (d)  The  General  Assembly  finds  and   declares   that
31    satellite-transmitted   television   programming   should  be
32    available to those who  desire  to  subscribe  to  that  such
33    programming and that decoding devices should be obtainable at
34    reasonable   prices   by  those  who  are  unable  to  obtain
 
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 1    satellite-transmitted  television  programming  through  duly
 2    franchised community antenna television systems.
 3        In any instance in which a person  is  unable  to  obtain
 4    satellite-transmitted  television  programming through a duly
 5    franchised community antenna television system either because
 6    the municipality and county in which the such person  resides
 7    has  not  granted  a  franchise  to  operate  and  maintain a
 8    community antenna television  system,  or  because  the  duly
 9    franchised  community antenna television system operator does
10    not make cable television services  available  to  that  such
11    person,     any    programming    company    that    delivers
12    satellite-transmitted television programming in scrambled  or
13    encrypted  form  shall ensure that devices for description of
14    that such programming are made available to that such person,
15    through the local community antenna  television  operator  or
16    directly,  for purchase or lease at prices reasonably related
17    to the cost of manufacture and  distribution  of  those  such
18    devices.
19        (e)  The  General  Assembly  finds  and declares that, in
20    order to ensure that community  antenna  television  services
21    are  provided  in  an  orderly,  competitive and economically
22    sound manner, the best interests of the public will be served
23    by  the  establishment  of  certain  minimum  standards   and
24    procedures  for  the  granting of additional cable television
25    franchises.
26        Subject  to  the  provisions  of  this  subsection,   the
27    authority  granted  under subsection (a) hereof shall include
28    the authority to license, franchise and  tax  more  than  one
29    cable   operator  to  provide  community  antenna  television
30    services within the corporate limits of a single  franchising
31    authority.  For purposes of this subsection (e), the term:
32             (i)  "Existing  cable  television franchise" means a
33        community  antenna  television  franchise  granted  by  a
34        municipality which  is  in  use  at  the  time  the  such
 
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 1        municipality   receives  an  application  or  request  by
 2        another cable operator for a franchise to  provide  cable
 3        antenna  television services within all or any portion of
 4        the territorial area which is or may be served under  the
 5        existing cable television franchise.
 6             (ii)  "Additional  cable television franchise" means
 7        a  franchise  pursuant   to   which   community   antenna
 8        television   services   may   be   provided   within  the
 9        territorial areas, or any portion thereof, which  may  be
10        served under an existing cable television franchise.
11             (iii)  "Franchising  Authority"  is  defined as that
12        term  is  defined  under  Section  602(9)  of  the  Cable
13        Communications Policy Act of 1984, Public Law 98-549, but
14        does not include any municipality with  a  population  of
15        1,000,000 or more.
16             (iv)  "Cable  operator"  is  defined as that term is
17        defined under Section 602(4) of the Cable  Communications
18        Policy Act of 1984, Public Law 98-549.
19        Before granting an additional cable television franchise,
20    the franchising authority shall:
21             (1)  Give written notice to the owner or operator of
22        any  other community antenna television system franchised
23        to serve all or any portion of the territorial area to be
24        served by the such additional cable television franchise,
25        identifying  the  applicant  for  the   such   additional
26        franchise  and  specifying  the  date,  time and place at
27        which the  franchising  authority  shall  conduct  public
28        hearings  to  consider  and  determine  whether  the such
29        additional cable television franchise should be granted.
30             (2)  Conduct  a  public  hearing  to  determine  the
31        public need  for  an  such  additional  cable  television
32        franchise,   the  capacity  of  public  rights-of-way  to
33        accommodate such additional community antenna  television
34        services,  the  potential disruption to existing users of
 
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 1        public rights-of-way to be used by  the  such  additional
 2        franchise  applicant  to  complete  construction  and  to
 3        provide  cable  television  services  within the proposed
 4        franchise area, the long term economic impact of the such
 5         additional cable television system within the community,
 6        and any such other factors as the  franchising  authority
 7        considers shall deem appropriate.
 8             (3)  Determine,  based  upon  the foregoing factors,
 9        whether it is in the best interest of the municipality to
10        grant an such additional cable television franchise.
11             (4)  If the franchising authority  determines  shall
12        determine  that  it  is  in  the  best  interest  of  the
13        municipality  to do so, it may grant the additional cable
14        television franchise.  Except as  provided  in  paragraph
15        (5)  of  this  subsection  (e),  no such additional cable
16        television franchise shall  be  granted  under  terms  or
17        conditions  more  favorable  or  less  burdensome  to the
18        applicant than those required under  the  existing  cable
19        television  franchise, including but not limited to terms
20        and conditions pertaining to the  territorial  extent  of
21        the   franchise,  system  design,  technical  performance
22        standards,  construction  schedules,  performance  bonds,
23        standards  for  construction  and  installation  of cable
24        television facilities,  service  to  subscribers,  public
25        educational   and   governmental   access   channels  and
26        programming,   production   assistance,   liability   and
27        indemnification, and franchise fees.
28             (5)  Unless the existing cable television  franchise
29        provides  that  any additional cable television franchise
30        shall be subject  to  the  same  terms  or  substantially
31        equivalent  terms and conditions as those of the existing
32        cable television franchise, the franchising authority may
33        grant an  additional  cable  television  franchise  under
34        different terms and conditions than those of the existing
 
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 1        franchise, in which event the franchising authority shall
 2        enter  into  good  faith  negotiations  with the existing
 3        franchisee and shall, within 120 days after the effective
 4        date of the additional cable television franchise, modify
 5        the existing cable television franchise in a  manner  and
 6        to  the  extent  necessary  to  ensure  that  neither the
 7        existing cable television franchise  nor  the  additional
 8        cable   television  franchise,  each  considered  in  its
 9        entirety,  provides  a  competitive  advantage  over  the
10        other,  provided  that  before  prior  to  modifying  the
11        existing  cable  television  franchise,  the  franchising
12        authority must conduct  shall  have  conducted  a  public
13        hearing  to  consider  the  proposed  modification.    No
14        modification in the terms and conditions of the  existing
15        cable  television  franchise  shall  oblige  the existing
16        cable television franchisee (1) to  make  any  additional
17        payment  to  the  franchising  authority,  including  the
18        payment of any additional franchise fee, (2) to engage in
19        any   additional   construction  of  the  existing  cable
20        television system or, (3) to modify the specifications or
21        design of the existing cable television system;  and  the
22        inclusion  of the factors identified in items (2) and (3)
23        shall not be considered  in  determining  whether  either
24        franchise  considered  in its entirety, has a competitive
25        advantage over the other except to the  extent  that  the
26        additional  franchisee  provides additional video or data
27        services or the  equipment  or  facilities  necessary  to
28        generate  and or carry such service.   No modification in
29        the terms and conditions of the existing cable television
30        franchise shall be made if the existing cable  television
31        franchisee  elects to continue to operate under all terms
32        and conditions of the existing franchise.
33             If  within  the  120  day  period  the   franchising
34        authority  and  the  existing cable television franchisee
 
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 1        are unable to reach agreement  on  modifications  to  the
 2        existing cable television franchise, then the franchising
 3        authority  shall  modify  the  existing  cable television
 4        franchise, effective 45 days thereafter, in a manner, and
 5        only to the extent, that the terms and conditions of  the
 6        existing  cable  television  franchise  shall  no  longer
 7        impose  any duty or obligation on the existing franchisee
 8        which is not also  imposed  under  the  additional  cable
 9        television franchise; however, if by the modification the
10        existing  cable  television  franchisee  is  relieved  of
11        duties  or  obligations  not imposed under the additional
12        cable television franchise, then within the same 45  days
13        and following a public hearing concerning modification of
14        the  additional  cable  television  franchise within that
15        45-day period, the franchising authority shall modify the
16        additional  cable  television  franchise  to  the  extent
17        necessary to  insure  that  neither  the  existing  cable
18        television  franchise nor the additional cable television
19        franchise, each considered in its entirety, shall have  a
20        competitive advantage over the other.
21        No  municipality  shall  be  subject  to suit for damages
22    based upon the municipality's determination to grant  or  its
23    refusal  to  grant  an additional cable television franchise,
24    provided that a public hearing as herein  provided  has  been
25    held  and the franchising authority has determined that it is
26    in the best interest of the municipality to grant  or  refuse
27    to grant such additional franchise, as the case may be.
28        It  is  declared to be the law of this State, pursuant to
29    paragraphs (h) and (i) of Section 6 of  Article  VII  of  the
30    Illinois  Constitution,  that  the  establishment  of minimum
31    standards and procedures for the granting of additional cable
32    television franchises by  municipalities  with  a  population
33    less  than 1,000,000 as provided in this subsection (e) is an
34    exclusive State power and function that may not be  exercised
 
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 1    concurrently by a home rule unit.
 2    (Source: P.A. 89-657, eff. 8-14-96; 90-285, eff. 7-31-97.)

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