
From the U.S. Code Online via GPO Access
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[Laws in effect as of January 23, 2000]
[Document not affected by Public Laws enacted between
  January 23, 2000 and December 4, 2001]
[CITE: 47USC541]

 
          TITLE 47--TELEGRAPHS, TELEPHONES, AND RADIOTELEGRAPHS
 
                 CHAPTER 5--WIRE OR RADIO COMMUNICATION
 
                  SUBCHAPTER V-A--CABLE COMMUNICATIONS
 
                  Part III--Franchising and Regulation
 
Sec. 541. General franchise requirements


(a) Authority to award franchises; public rights-of-way and easements; 
        equal access to service; time for provision of service; 
        assurances

    (1) A franchising authority may award, in accordance with the 
provisions of this subchapter, 1 or more franchises within its 
jurisdiction; except that a franchising authority may not grant an 
exclusive franchise and may not unreasonably refuse to award an 
additional competitive franchise. Any applicant whose application for a 
second franchise has been denied by a final decision of the franchising 
authority may appeal such final decision pursuant to the provisions of 
section 555 of this title for failure to comply with this subsection.
    (2) Any franchise shall be construed to authorize the construction 
of a cable system over public rights-of-way, and through easements, 
which is within the area to be served by the cable system and which have 
been dedicated for compatible uses, except that in using such easements 
the cable operator shall ensure--
        (A) that the safety, functioning, and appearance of the property 
    and the convenience and safety of other persons not be adversely 
    affected by the installation or construction of facilities necessary 
    for a cable system;
        (B) that the cost of the installation, construction, operation, 
    or removal of such facilities be borne by the cable operator or 
    subscriber, or a combination of both; and
        (C) that the owner of the property be justly compensated by the 
    cable operator for any damages caused by the installation, 
    construction, operation, or removal of such facilities by the cable 
    operator.

    (3) In awarding a franchise or franchises, a franchising authority 
shall assure that access to cable service is not denied to any group of 
potential residential cable subscribers because of the income of the 
residents of the local area in which such group resides.
    (4) In awarding a franchise, the franchising authority--
        (A) shall allow the applicant's cable system a reasonable period 
    of time to become capable of providing cable service to all 
    households in the franchise area;
        (B) may require adequate assurance that the cable operator will 
    provide adequate public, educational, and governmental access 
    channel capacity, facilities, or financial support; and
        (C) may require adequate assurance that the cable operator has 
    the financial, technical, or legal qualifications to provide cable 
    service.

(b) No cable service without franchise; exception under prior law

    (1) Except to the extent provided in paragraph (2) and subsection 
(f) of this section, a cable operator may not provide cable service 
without a franchise.
    (2) Paragraph (1) shall not require any person lawfully providing 
cable service without a franchise on July 1, 1984, to obtain a franchise 
unless the franchising authority so requires.
    (3)(A) If a cable operator or affiliate thereof is engaged in the 
provision of telecommunications services--
        (i) such cable operator or affiliate shall not be required to 
    obtain a franchise under this subchapter for the provision of 
    telecommunications services; and
        (ii) the provisions of this subchapter shall not apply to such 
    cable operator or affiliate for the provision of telecommunications 
    services.

    (B) A franchising authority may not impose any requirement under 
this subchapter that has the purpose or effect of prohibiting, limiting, 
restricting, or conditioning the provision of a telecommunications 
service by a cable operator or an affiliate thereof.
    (C) A franchising authority may not order a cable operator or 
affiliate thereof--
        (i) to discontinue the provision of a telecommunications 
    service, or
        (ii) to discontinue the operation of a cable system, to the 
    extent such cable system is used for the provision of a 
    telecommunications service, by reason of the failure of such cable 
    operator or affiliate thereof to obtain a franchise or franchise 
    renewal under this subchapter with respect to the provision of such 
    telecommunications service.

    (D) Except as otherwise permitted by sections 531 and 532 of this 
title, a franchising authority may not require a cable operator to 
provide any telecommunications service or facilities, other than 
institutional networks, as a condition of the initial grant of a 
franchise, a franchise renewal, or a transfer of a franchise.

(c) Status of cable system as common carrier or utility

    Any cable system shall not be subject to regulation as a common 
carrier or utility by reason of providing any cable service.

(d) Informational tariffs; regulation by States; ``State'' defined

    (1) A State or the Commission may require the filing of 
informational tariffs for any intrastate communications service provided 
by a cable system, other than cable service, that would be subject to 
regulation by the Commission or any State if offered by a common carrier 
subject, in whole or in part, to subchapter II of this chapter. Such 
informational tariffs shall specify the rates, terms, and conditions for 
the provision of such service, including whether it is made available to 
all subscribers generally, and shall take effect on the date specified 
therein.
    (2) Nothing in this subchapter shall be construed to affect the 
authority of any State to regulate any cable operator to the extent that 
such operator provides any communication service other than cable 
service, whether offered on a common carrier or private contract basis.
    (3) For purposes of this subsection, the term ``State'' has the 
meaning given it in section 153 of this title.

(e) State regulation of facilities serving subscribers in multiple 
        dwelling units

    Nothing in this subchapter shall be construed to affect the 
authority of any State to license or otherwise regulate any facility or 
combination of facilities which serves only subscribers in one or more 
multiple unit dwellings under common ownership, control, or management 
and which does not use any public right-of-way.

(f) Local or municipal authority as multichannel video programming 
        distributor

    No provision of this chapter shall be construed to--
        (1) prohibit a local or municipal authority that is also, or is 
    affiliated with, a franchising authority from operating as a 
    multichannel video programming distributor in the franchise area, 
    notwithstanding the granting of one or more franchises by such 
    franchising authority; or
        (2) require such local or municipal authority to secure a 
    franchise to operate as a multichannel video programming 
    distributor.

(June 19, 1934, ch. 652, title VI, Sec. 621, as added Pub. L. 98-549, 
Sec. 2, Oct. 30, 1984, 98 Stat. 2786; amended Pub. L. 102-385, 
Secs. 7(a)(1), (b), (c), Oct. 5, 1992, 106 Stat. 1483; Pub. L. 104-104, 
Sec. 3(d)(3), title III, Sec. 303(a), Feb. 8, 1996, 110 Stat. 61, 124.)


                               Amendments

    1996--Subsec. (b)(3). Pub. L. 104-104, Sec. 303(a), added par. (3).
    Subsec. (d)(3). Pub. L. 104-104, Sec. 3(d)(3), substituted ``section 
153'' for ``section 153(v)''.
    1992--Subsec. (a)(1). Pub. L. 102-385, Sec. 7(a)(1), inserted before 
period at end ``; except that a franchising authority may not grant an 
exclusive franchise and may not unreasonably refuse to award an 
additional competitive franchise. Any applicant whose application for a 
second franchise has been denied by a final decision of the franchising 
authority may appeal such final decision pursuant to the provisions of 
section 555 of this title for failure to comply with this subsection''.
    Subsec. (a)(4). Pub. L. 102-385, Sec. 7(b), added par. (4).
    Subsec. (b)(1). Pub. L. 102-385, Sec. 7(c)(1), inserted ``and 
subsection (f) of this section'' after ``paragraph (2)''.
    Subsec. (f). Pub. L. 102-385, Sec. 7(c)(2), added subsec. (f).


                    Effective Date of 1992 Amendment

    Amendment by Pub. L. 102-385 effective 60 days after Oct. 5, 1992, 
see section 28 of Pub. L. 102-385, set out as a note under section 325 
of this title.


                             Effective Date

    Section effective 60 days after Oct. 30, 1984, except where 
otherwise expressly provided, see section 9(a) of Pub. L. 98-549, set 
out as a note under section 521 of this title.

                  Section Referred to in Other Sections

    This section is referred to in sections 522, 532, 555 of this title.
