State of Illinois
91st General Assembly
Legislation

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[ Introduced ][ Enrolled ][ Senate Amendment 002 ]
[ Senate Amendment 003 ]

91_SB1141eng

 
SB1141 Engrossed                               SRS91S0045PMcb

 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.
13    In municipalities with less than 2,000,000  inhabitants,  the
14    corporate  authorities  may,  under the limited circumstances
15    set forth in this Section,  own  (or  lease  as  lessee)  and
16    operate  a community antenna television system; provided that
17    a municipality may not acquire, construct, own, or operate  a
18    community antenna television system for the use or benefit of
19    private consumers or users, and may not charge a fee for that
20    consumption  or  use,  unless  the  proposition  to  acquire,
21    construct,  own, or operate a cable antenna television system
22    has been submitted to and approved by  the  electors  of  the
23    municipality   in  accordance  with  subsection  (f).  Before
24    acquiring,  constructing,  or  commencing  operation   of   a
25    community  antenna  television system, the municipality shall
26    comply with the following:
27             (1)  Give written notice to the owner or operator of
28        any other community antenna television system  franchised
29        to serve all or any portion of the territorial area to be
30        served by the municipality's community antenna television
31        system, specifying the date, time, and place at which the
 
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 1        municipality  shall  conduct  public hearings to consider
 2        and determine whether the  municipality  should  acquire,
 3        construct,  or  commence operation of a community antenna
 4        television  system.   The  public   hearings   shall   be
 5        conducted at least 14 days after this notice is given.
 6             (2)  Publish  a  notice  of the hearing in 2 or more
 7        newspapers  published  in  the  county,  city,   village,
 8        incorporated town, or town, as the case may be.  If there
 9        is  no  such newspaper, then notice shall be published in
10        any 2 or more newspapers  published  in  the  county  and
11        having  a  general  circulation throughout the community.
12        The public hearings shall be conducted at least  14  days
13        after this notice is given.
14             (3)  Conduct a public hearing to determine the means
15        by  which construction, maintenance, and operation of the
16        system will be financed, including whether the use of tax
17        revenues or other fees will be required.
18        (b)  The  words  "community  antenna  television  system"
19    shall mean any facility which is constructed in whole  or  in
20    part  in, on, under or over any highway or other public place
21    and which is operated to perform  for  hire  the  service  of
22    receiving and amplifying the signals broadcast by one or more
23    television  stations and redistributing such signals by wire,
24    cable or other means to members of the public  who  subscribe
25    to  such  service;  except  that  such  definition  shall not
26    include  (i)  any  system  which  serves  fewer  than   fifty
27    subscribers,  or  (ii)  any  system  which  serves  only  the
28    residents  of  one  or  more apartment dwellings under common
29    ownership,   control   or    management,    and    commercial
30    establishments located on the premises of such dwellings.
31        (c)  The   authority  hereby  granted  does  not  include
32    authority to license, franchise or  tax  telephone  companies
33    subject  to  jurisdiction of the Illinois Commerce Commission
34    or the Federal Communications Commission in  connection  with
 
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 1    the   furnishing   of  circuits,  wires,  cables,  and  other
 2    facilities to the operator of a community antenna  television
 3    system.
 4        The  corporate  authorities  of each municipality may, in
 5    the course of franchising such community  antenna  television
 6    system,  grant to such franchisee the authority and the right
 7    and permission to use all  public  streets,  rights  of  way,
 8    alleys,   ways   for   public   service   facilities,  parks,
 9    playgrounds, school grounds,  or  other  public  grounds,  in
10    which  such  municipality  may  have  an  interest,  for  the
11    construction,     installation,    operation,    maintenance,
12    alteration, addition, extension or improvement of a community
13    antenna television system.
14        Any charge imposed  by  a  community  antenna  television
15    system franchised pursuant to this Section for the raising or
16    removal of cables or lines to permit passage on, to or from a
17    street   shall  not  exceed  the  reasonable  costs  of  work
18    reasonably necessary to safely permit such passage.  Pursuant
19    to subsections (h) and (i) of Section 6 of Article VII of the
20    Constitution of the State of Illinois, the  General  Assembly
21    declares  the  regulation  of charges which may be imposed by
22    community antenna  television  systems  for  the  raising  or
23    removal  of  cables or lines to permit passage on, to or from
24    streets is a power or function to be exercised exclusively by
25    the State and not to be exercised or  performed  concurrently
26    with the State by any unit of local government, including any
27    home rule unit.
28        The   municipality  may,  upon  written  request  by  the
29    franchisee of a community antenna television system, exercise
30    its right  of  eminent  domain  solely  for  the  purpose  of
31    granting  an  easement right no greater than 8 feet in width,
32    extending no greater than 8 feet from any lot  line  for  the
33    purpose  of  extending cable across any parcel of property in
34    the manner provided by the law of eminent  domain,  provided,
 
SB1141 Engrossed            -4-                SRS91S0045PMcb
 1    however,  such  franchisee  deposits  with  the  municipality
 2    sufficient   security  to  pay  all  costs  incurred  by  the
 3    municipality in the exercise of its right of eminent domain.
 4        (d)  The  General  Assembly  finds  and   declares   that
 5    satellite-transmitted   television   programming   should  be
 6    available  to  those  who  desire  to   subscribe   to   such
 7    programming and that decoding devices should be obtainable at
 8    reasonable   prices   by  those  who  are  unable  to  obtain
 9    satellite-transmitted  television  programming  through  duly
10    franchised community antenna television systems.
11        In any instance in which a person  is  unable  to  obtain
12    satellite-transmitted  television  programming through a duly
13    franchised community antenna television system either because
14    the municipality and county in which such person resides  has
15    not  granted  a franchise to operate and maintain a community
16    antenna television system, or  because  the  duly  franchised
17    community  antenna  television  system operator does not make
18    cable television  services  available  to  such  person,  any
19    programming   company   that  delivers  satellite-transmitted
20    television programming in scrambled or encrypted  form  shall
21    ensure  that  devices for description of such programming are
22    made available to such person, through  the  local  community
23    antenna  television  operator  or  directly,  for purchase or
24    lease at prices reasonably related to the cost of manufacture
25    and distribution of such devices.
26        (e)  The General Assembly finds  and  declares  that,  in
27    order  to  ensure  that community antenna television services
28    are provided in  an  orderly,  competitive  and  economically
29    sound manner, the best interests of the public will be served
30    by   the  establishment  of  certain  minimum  standards  and
31    procedures for the granting of  additional  cable  television
32    franchises.
33        Subject   to  the  provisions  of  this  subsection,  the
34    authority granted under subsection (a) hereof  shall  include
 
SB1141 Engrossed            -5-                SRS91S0045PMcb
 1    the  authority  to  license,  franchise and tax more than one
 2    cable  operator  to  provide  community  antenna   television
 3    services  within the corporate limits of a single franchising
 4    authority.  For purposes of this subsection (e), the term:
 5             (i)  "Existing cable television franchise"  means  a
 6        community  antenna  television  franchise  granted  by  a
 7        municipality   which   is   in   use  at  the  time  such
 8        municipality  receives  an  application  or  request   by
 9        another  cable  operator for a franchise to provide cable
10        antenna television services within all or any portion  of
11        the  territorial area which is or may be served under the
12        existing cable television franchise.
13             (ii)  "Additional cable television franchise"  means
14        a   franchise   pursuant   to   which  community  antenna
15        television  services   may   be   provided   within   the
16        territorial  areas,  or any portion thereof, which may be
17        served under an existing cable television franchise.
18             (iii)  "Franchising Authority" is  defined  as  that
19        term  is  defined  under  Section  602(9)  of  the  Cable
20        Communications Policy Act of 1984, Public Law 98-549, but
21        does  not  include  any municipality with a population of
22        1,000,000 or more.
23             (iv)  "Cable operator" is defined as  that  term  is
24        defined  under Section 602(4) of the Cable Communications
25        Policy Act of 1984, Public Law 98-549.
26        Before granting an additional cable television franchise,
27    the franchising authority shall:
28             (1)  Give written notice to the owner or operator of
29        any other community antenna television system  franchised
30        to serve all or any portion of the territorial area to be
31        served  by  such  additional  cable television franchise,
32        identifying the applicant for such  additional  franchise
33        and  specifying  the  date,  time  and place at which the
34        franchising authority shall conduct  public  hearings  to
 
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 1        consider  and  determine  whether  such  additional cable
 2        television franchise should be granted.
 3             (2)  Conduct  a  public  hearing  to  determine  the
 4        public  need  for  such   additional   cable   television
 5        franchise,   the  capacity  of  public  rights-of-way  to
 6        accommodate such additional community antenna  television
 7        services,  the  potential disruption to existing users of
 8        public  rights-of-way  to  be  used  by  such  additional
 9        franchise  applicant  to  complete  construction  and  to
10        provide cable television  services  within  the  proposed
11        franchise  area,  the  long  term economic impact of such
12        additional cable television system within the  community,
13        and such other factors as the franchising authority shall
14        deem appropriate.
15             (3)  Determine,  based  upon  the foregoing factors,
16        whether it is in the best interest of the municipality to
17        grant such additional cable television franchise.
18             (4)  If the franchising  authority  shall  determine
19        that it is in the best interest of the municipality to do
20        so,   it   may  grant  the  additional  cable  television
21        franchise.  Except as provided in paragraph (5)  of  this
22        subsection  (e),  no  such  additional  cable  television
23        franchise shall be granted under terms or conditions more
24        favorable  or less burdensome to the applicant than those
25        required under the existing cable  television  franchise,
26        including   but  not  limited  to  terms  and  conditions
27        pertaining to the territorial extent  of  the  franchise,
28        system    design,    technical   performance   standards,
29        construction schedules, performance bonds, standards  for
30        construction   and   installation   of  cable  television
31        facilities, service to  subscribers,  public  educational
32        and   governmental   access   channels  and  programming,
33        production assistance, liability and indemnification, and
34        franchise fees.
 
SB1141 Engrossed            -7-                SRS91S0045PMcb
 1             (5)  Unless the existing cable television  franchise
 2        provides  that  any additional cable television franchise
 3        shall be subject  to  the  same  terms  or  substantially
 4        equivalent  terms and conditions as those of the existing
 5        cable television franchise, the franchising authority may
 6        grant an  additional  cable  television  franchise  under
 7        different terms and conditions than those of the existing
 8        franchise, in which event the franchising authority shall
 9        enter  into  good  faith  negotiations  with the existing
10        franchisee and shall, within 120 days after the effective
11        date of the additional cable television franchise, modify
12        the existing cable television franchise in a  manner  and
13        to  the  extent  necessary  to  ensure  that  neither the
14        existing cable television franchise  nor  the  additional
15        cable   television  franchise,  each  considered  in  its
16        entirety,  provides  a  competitive  advantage  over  the
17        other, provided that  prior  to  modifying  the  existing
18        cable  television  franchise,  the  franchising authority
19        shall have conducted a public  hearing  to  consider  the
20        proposed modification.   No modification in the terms and
21        conditions  of  the  existing  cable television franchise
22        shall oblige the existing cable television franchisee (1)
23        to  make  any  additional  payment  to  the   franchising
24        authority,   including  the  payment  of  any  additional
25        franchise  fee,  (2)  to   engage   in   any   additional
26        construction  of the existing cable television system or,
27        (3)  to  modify  the  specifications  or  design  of  the
28        existing cable television system; and  the  inclusion  of
29        the  factors identified in items (2) and (3) shall not be
30        considered  in  determining  whether   either   franchise
31        considered  in  its entirety, has a competitive advantage
32        over the other except to the extent that  the  additional
33        franchisee  provides additional video or data services or
34        the equipment or facilities necessary to generate and  or
 
SB1141 Engrossed            -8-                SRS91S0045PMcb
 1        carry  such  service.    No modification in the terms and
 2        conditions of the  existing  cable  television  franchise
 3        shall be made if the existing cable television franchisee
 4        elects  to  continue  to  operate  under  all  terms  and
 5        conditions of the existing franchise.
 6             If   within  the  120  day  period  the  franchising
 7        authority and the existing  cable  television  franchisee
 8        are  unable  to  reach  agreement on modifications to the
 9        existing cable television franchise, then the franchising
10        authority shall  modify  the  existing  cable  television
11        franchise, effective 45 days thereafter, in a manner, and
12        only  to the extent, that the terms and conditions of the
13        existing  cable  television  franchise  shall  no  longer
14        impose any duty or obligation on the existing  franchisee
15        which  is  not  also  imposed  under the additional cable
16        television franchise; however, if by the modification the
17        existing  cable  television  franchisee  is  relieved  of
18        duties or obligations not imposed  under  the  additional
19        cable  television franchise, then within the same 45 days
20        and following a public hearing concerning modification of
21        the additional cable television franchise within that  45
22        day  period,  the  franchising authority shall modify the
23        additional  cable  television  franchise  to  the  extent
24        necessary to  insure  that  neither  the  existing  cable
25        television  franchise nor the additional cable television
26        franchise, each considered in its entirety, shall have  a
27        competitive advantage over the other.
28        No  municipality  shall  be  subject  to suit for damages
29    based upon the municipality's determination to grant  or  its
30    refusal  to  grant  an additional cable television franchise,
31    provided that a public hearing as herein  provided  has  been
32    held  and the franchising authority has determined that it is
33    in the best interest of the municipality to grant  or  refuse
34    to grant such additional franchise, as the case may be.
 
SB1141 Engrossed            -9-                SRS91S0045PMcb
 1        It  is  declared to be the law of this State, pursuant to
 2    paragraphs (h) and (i) of Section 6 of  Article  VII  of  the
 3    Illinois  Constitution,  that  the  establishment  of minimum
 4    standards and procedures for the granting of additional cable
 5    television franchises by  municipalities  with  a  population
 6    less  than 1,000,000 as provided in this subsection (e) is an
 7    exclusive State power and function that may not be  exercised
 8    concurrently by a home rule unit.
 9        (f)  No  municipality  may  acquire,  construct,  own, or
10    operate a community  antenna  television  system  unless  the
11    corporate authorities adopt an ordinance.  The ordinance must
12    set forth the action proposed; describe the plant, equipment,
13    and  property to be acquired or constructed; and specifically
14    describe the manner in which the  construction,  acquisition,
15    and operation of the system will be financed.
16        The  ordinance  may not take effect until the question of
17    acquiring, construction, owning,  or  operating  a  community
18    antenna  television system has been submitted to the electors
19    of the municipality at a regular election and approved  by  a
20    majority  of  the  electors  voting  on  the  question.   The
21    corporate authorities must certify the question to the proper
22    election  authority,  which  must  submit  the question at an
23    election in accordance with the Election Code.
24        The question  must  be  submitted  in  substantially  the
25    following form:
26             Shall  the ordinance authorizing the municipality to
27        (insert action authorized by ordinance) take effect?
28    The votes must be recorded as "Yes" or "No".
29        If a majority of electors voting on the question vote  in
30    the affirmative, the ordinance shall take effect.
31        Not  more than 30 or less than 15 days before the date of
32    the  referendum,  the  municipal  clerk  must   publish   the
33    ordinance  at  least once in one or more newspapers published
34    in the municipality or, if no newspaper is published  in  the
 
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 1    municipality,   in   one   or   more  newspapers  of  general
 2    circulation within the municipality.
 3    (Source: P.A. 89-657, eff. 8-14-96; 90-285, eff. 7-31-97.)

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