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Page 15 <br />PUBLIC DOCUMENT—TRADE SECRET DATA HAS BEEN EXCISED <br />Proposal for Formal Franchise Renewal <br />December 20, 2013 <br />Act establishes a significant federal law property expectation in the renewal of <br />a franchise."17 <br />Substantive limitations also protect Comcast's interest in continuing to <br />provide its cable service in the North Suburbs. The Cable Act confines grounds <br />for denial to considerations of (A) whether the operator has substantially <br />complied with the material terms of the existing franchise and applicable law; <br />(B) the quality of the operator's service, in light of community needs; (C) the <br />operator's financial, legal, and technical ability; and (D) whether the operator's <br />proposal reasonably meets the future cable-related community needs and <br />interests, taking into account the cost of ineeting such needs and interests.18 In <br />addition, the franchising authority must "balance the community's need for a <br />certain cable service against the cost of providing that service."19 Under the <br />Cable Act, Comcast's "responsibility is to provide those facilities and services <br />which can be shown to be in the interests of the community to receive in view of <br />the costs thereof."20 "In assessing the costs [under § 546(c)(1)(D)], the cable <br />operator's ability to earn a fair rate of return on its investment and the impact <br />of such costs on subscriber rates are important considerations."zl <br />Additionally, the FCC has interpreted the Cable Act to prevent <br />franchising authorities from imposing excessive demands for PEG channel <br />capacity, I-Nets, PEG operational support, payments for consultants, and the <br />like.22 In doing so, the FCC noted a new competitive and technological reality <br />17. E. Telecom Corp. v. Borough East Conemaugh, 872 F.2d 30, 35 (3d Cir. 1989); <br />see also Continental Cablevision of Mass., Inc. v. Irwin, No. 91-11256, 1991 U.S. Dist. <br />LEXIS 21805, *8 (D. Mass. June 4, 1991) ("The Cable Communications Policy Act <br />establishes a property right on behalf of licensed cable operators in the expectation <br />that its franchise will be renewed."). <br />18. 47 U.S.C. � 546(c)(1), (d). <br />19. Union CATV, Inc. v. Cit�� of Sturgis, K�.,107 F. 3d 434, 440 (6th Cir. 199�. <br />20. Id. (quoting and emphasizing H.R.REP. No. 98-934, at 74, reprinted in 1984 <br />U.S.C.C.A.N. at 4711). <br />21. Id. (quoting H.R.REP. No. 98-934, at 74, reprinted in 1984 U.S.C.C.A.N. at <br />4711). <br />22. Implementation of Section 621(a)(1) of the Cable Communications Polic� Act of <br />1984 as amended b� the Cable Television Consumer Protection and Competition Act of <br />1992, Report and Order and Further Notice of Proposed Rulemaking, 22 FCC Rcd 5101 <br />(2006) ("621 Order"). The FCC subsequently applied this "reasonableness" <br />standard to incumbent cable operators. In the Matter of Implementation of Section <br />