
From the U.S. Code Online via GPO Access
[wais.access.gpo.gov]
[Laws in effect as of January 23, 2000]
[Document not affected by Public Laws enacted between
  January 23, 2000 and December 4, 2001]
[CITE: 47USC573]

 
          TITLE 47--TELEGRAPHS, TELEPHONES, AND RADIOTELEGRAPHS
 
                 CHAPTER 5--WIRE OR RADIO COMMUNICATION
 
                  SUBCHAPTER V-A--CABLE COMMUNICATIONS
 
   Part V--Video Programming Services Provided by Telephone Companies
 
Sec. 573. Establishment of open video systems


(a) Open video systems

                   (1) Certificates of compliance

        A local exchange carrier may provide cable service to its cable 
    service subscribers in its telephone service area through an open 
    video system that complies with this section. To the extent 
    permitted by such regulations as the Commission may prescribe 
    consistent with the public interest, convenience, and necessity, an 
    operator of a cable system or any other person may provide video 
    programming through an open video system that complies with this 
    section. An operator of an open video system shall qualify for 
    reduced regulatory burdens under subsection (c) of this section if 
    the operator of such system certifies to the Commission that such 
    carrier complies with the Commission's regulations under subsection 
    (b) of this section and the Commission approves such certification. 
    The Commission shall publish notice of the receipt of any such 
    certification and shall act to approve or disapprove any such 
    certification within 10 days after receipt of such certification.

                       (2) Dispute resolution

        The Commission shall have the authority to resolve disputes 
    under this section and the regulations prescribed thereunder. Any 
    such dispute shall be resolved within 180 days after notice of such 
    dispute is submitted to the Commission. At that time or subsequently 
    in a separate damages proceeding, the Commission may, in the case of 
    any violation of this section, require carriage, award damages to 
    any person denied carriage, or any combination of such sanctions. 
    Any aggrieved party may seek any other remedy available under this 
    chapter.

(b) Commission actions

                      (1) Regulations required

        Within 6 months after February 8, 1996, the Commission shall 
    complete all actions necessary (including any reconsideration) to 
    prescribe regulations that--
            (A) except as required pursuant to section 531, 534, or 535 
        of this title, prohibit an operator of an open video system from 
        discriminating among video programming providers with regard to 
        carriage on its open video system, and ensure that the rates, 
        terms, and conditions for such carriage are just and reasonable, 
        and are not unjustly or unreasonably discriminatory;
            (B) if demand exceeds the channel capacity of the open video 
        system, prohibit an operator of an open video system and its 
        affiliates from selecting the video programming services for 
        carriage on more than one-third of the activated channel 
        capacity on such system, but nothing in this subparagraph shall 
        be construed to limit the number of channels that the carrier 
        and its affiliates may offer to provide directly to subscribers;
            (C) permit an operator of an open video system to carry on 
        only one channel any video programming service that is offered 
        by more than one video programming provider (including the local 
        exchange carrier's video programming affiliate): Provided, That 
        subscribers have ready and immediate access to any such video 
        programming service;
            (D) extend to the distribution of video programming over 
        open video systems the Commission's regulations concerning 
        sports exclusivity (47 C.F.R. 76.67), network nonduplication (47 
        C.F.R. 76.92 et seq.), and syndicated exclusivity (47 C.F.R. 
        76.151 et seq.); and
            (E)(i) prohibit an operator of an open video system from 
        unreasonably discriminating in favor of the operator or its 
        affiliates with regard to material or information (including 
        advertising) provided by the operator to subscribers for the 
        purposes of selecting programming on the open video system, or 
        in the way such material or information is presented to 
        subscribers;
            (ii) require an operator of an open video system to ensure 
        that video programming providers or copyright holders (or both) 
        are able suitably and uniquely to identify their programming 
        services to subscribers;
            (iii) if such identification is transmitted as part of the 
        programming signal, require the carrier to transmit such 
        identification without change or alteration; and
            (iv) prohibit an operator of an open video system from 
        omitting television broadcast stations or other unaffiliated 
        video programming services carried on such system from any 
        navigational device, guide, or menu.

                         (2) Consumer access

        Subject to the requirements of paragraph (1) and the regulations 
    thereunder, nothing in this section prohibits a common carrier or 
    its affiliate from negotiating mutually agreeable terms and 
    conditions with over-the-air broadcast stations and other 
    unaffiliated video programming providers to allow consumer access to 
    their signals on any level or screen of any gateway, menu, or other 
    program guide, whether provided by the carrier or its affiliate.

(c) Reduced regulatory burdens for open video systems

                           (1) In general

        Any provision that applies to a cable operator under--
            (A) sections 533 (other than subsection (a) thereof), 536, 
        543(f), 548, 551, and 554 of this title, shall apply,
            (B) sections 531, 534, and 535 of this title, and section 
        325 of this title, shall apply in accordance with the 
        regulations prescribed under paragraph (2), and
            (C) sections 532 and 537 of this title, and parts III and IV 
        of this subchapter (other than sections 543(f), 548, 551, and 
        554 of this title), shall not apply,

    to any operator of an open video system for which the Commission has 
    approved a certification under this section.

                         (2) Implementation

        (A) Commission action

            In the rulemaking proceeding to prescribe the regulations 
        required by subsection (b)(1) of this section, the Commission 
        shall, to the extent possible, impose obligations that are no 
        greater or lesser than the obligations contained in the 
        provisions described in paragraph (1)(B) of this subsection. The 
        Commission shall complete all action (including any 
        reconsideration) to prescribe such regulations no later than 6 
        months after February 8, 1996.

        (B) Fees

            An operator of an open video system under this part may be 
        subject to the payment of fees on the gross revenues of the 
        operator for the provision of cable service imposed by a local 
        franchising authority or other governmental entity, in lieu of 
        the franchise fees permitted under section 542 of this title. 
        The rate at which such fees are imposed shall not exceed the 
        rate at which franchise fees are imposed on any cable operator 
        transmitting video programming in the franchise area, as 
        determined in accordance with regulations prescribed by the 
        Commission. An operator of an open video system may designate 
        that portion of a subscriber's bill attributable to the fee 
        under this subparagraph as a separate item on the bill.

                     (3) Regulatory streamlining

        With respect to the establishment and operation of an open video 
    system, the requirements of this section shall apply in lieu of, and 
    not in addition to, the requirements of subchapter II of this 
    chapter.

                   (4) Treatment as cable operator

        Nothing in this chapter precludes a video programming provider 
    making use of an open video system from being treated as an operator 
    of a cable system for purposes of section 111 of title 17.

(d) ``Telephone service area'' defined

    For purposes of this section, the term ``telephone service area'' 
when used in connection with a common carrier subject in whole or in 
part to subchapter II of this chapter means the area within which such 
carrier is offering telephone exchange service.

(June 19, 1934, ch. 652, title VI, Sec. 653, as added Pub. L. 104-104, 
title III, Sec. 302(a), Feb. 8, 1996, 110 Stat. 121.)

                  Section Referred to in Other Sections

    This section is referred to in sections 522, 571 of this title.
