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�a�l� Can�mission <br /> �����_��������E�E�����������.��_������.E�f���.���������. <br /> The �ommunity �cc�ss �reservation �ct , <br /> A bill to protect public, educational, and government Second, it would guarantee that PEG channels are . <br /> (PEG) access was introduced in the U.S. House, in available to subscribers without additional cable box <br /> the fall of 2009, by Wisconsin Representative Tammy charges, and are of equivalent quality, accessability, <br /> Baldwin. functionality, and placement to local commercial <br /> television stations. Third, it would direct the FCC to <br /> The Community Access Preservation Act, or CAP Act, conduct a study and report to Congress on the impact <br /> addresses problems faced by PEG access organizations of statewide franchising on PEG access organizations. <br /> m areas of fundmg, and channel placement and qual- And fourth rt would define what a cable company <br /> ity. The Act also defines what a cable service is, and is. It would clarify that any company providing <br /> requires that a study regarding the effects of statewide multi-channel video services via a wired facility in <br /> franchising on PEG be conducted. the public rights-of-way would be a cable company, <br /> subject to the Cable Act. <br /> As background, under pressure from phone and some <br /> cable companies, many states have adopted statewide �roughout 2010, the bill garnered many Democrat <br /> franchising procedures to replace the traditional local sponsors. However, without a Republican sponsor, <br /> franchising of mult-video channel providers that use the bill did not have a chance of passage. <br /> public rights-of-way to provide their product. Indus- <br /> tries' argument was that this would make it easier for Many organizations such as the National Organiza- <br /> more than one video provider to provide service in an tions of Telecommunications Officers and Advisors <br /> area, and would foster competition. (NATOA), the Alliance for Community Media <br /> (ACM), and American Community Television (ACT) <br /> The results of the move to statewide franchising have have been working hard to garner Republican support <br /> not necessarily been good for states. While it is true that for the bill. <br /> cable rates do not rise as fast in areas where subscribers <br /> have a choice between two wire-line, multi-channel It looks as though there has been a breakthrough. <br /> video providers, studies showed that it was not at all Ohio Republican Representative LaTourette has <br /> clear that statewide franchising led to more competition. agreed to co-sponsor the CAP Act. Eight states, <br /> including Ohio, will lose all of their PEG funding <br /> Those same studies have shown that PEG access organi- in 2011 as a result of statewide franchising. There is <br /> zations have not fared well under statewide franchising, a belief that more Republicans will be signing on as <br /> losing much of its funding and other support. sponsors in 2011. <br /> The CAP Act was introduced to fix the most egregious 'I'he CAP Act has been revised somewhat to reflect <br /> problems faced by PEG organizations across the coun- Congressman LaTourette's interests and concerns, but <br /> try, as a result of the move from local to statewide contains essentially the same protections. <br /> franchising. <br /> There is guarded optimism that a bi-partisan piece of <br /> The bill addresses four problems. First, it would remove legislation will make it through the House. <br /> limits on the use of PEG access funding. Under current <br /> rules PEG funding can only be used for captial expen- <br /> ditures. The Act would allow PEG funds to be used for <br /> whatever expenditures the PEG organization wanted <br /> to spend them on, including operational expenses. <br /> � � � �' � _ � � � � � � � E � �' � �: <br /> NMTV 2010 Annual Report 26 <br />