1.1                          A bill for an act 
  1.2             relating to utilities; providing credits for incorrect 
  1.3             directory assistance; regulating utility deposits; 
  1.4             repealing obsolete rules; regulating cable franchises; 
  1.5             regulating third-party billing practices; providing 
  1.6             for expanded calling areas; providing for reduced rate 
  1.7             regulation for local service; providing for uniform 
  1.8             service standards; providing for consumer protection 
  1.9             for wireless customers; amending Minnesota Statutes 
  1.10            2002, sections 237.01, by adding a subdivision; 
  1.11            237.06; 238.02, subdivision 3; 238.03; 238.08, 
  1.12            subdivisions 1, 3, 4, by adding a subdivision; 
  1.13            238.081; 238.083, subdivisions 2, 4; 238.084, 
  1.14            subdivision 1; 238.11, subdivision 2; 238.22, 
  1.15            subdivision 13; 238.23; 238.24, subdivisions 3, 4, 6, 
  1.16            9, 10; 238.242, subdivisions 1, 3; 238.25, 
  1.17            subdivisions 5, 10; 238.35, subdivisions 1, 4; 238.36, 
  1.18            subdivision 2; 238.39; 238.40; 238.43, subdivision 1; 
  1.19            325E.02; proposing coding for new law in Minnesota 
  1.20            Statutes, chapters 237; 325F; repealing Minnesota 
  1.21            Statutes 2002, sections 238.01; 238.02, subdivisions 
  1.22            2, 17, 18, 19, 25; 238.082; 238.083, subdivisions 3, 
  1.23            5; 238.084, subdivisions 2, 3, 5; 238.12, subdivision 
  1.24            1a; 238.15; 238.35, subdivisions 2, 3; 238.36, 
  1.25            subdivision 1; Minnesota Rules, parts 7810.0100, 
  1.26            subparts 16, 17, 18, 30, 32, 33, 39; 7810.0700; 
  1.27            7810.3400; 7810.3500; 7810.3600; 7810.3700; 7810.3800; 
  1.28            7810.4200; 7810.4400; 7810.4500; 7810.4600; 7810.4700; 
  1.29            7810.4800; 7810.5600; 7810.6900; 7810.8760; 7815.0100; 
  1.30            7815.0200; 7815.0300; 7815.0400; 7815.0500; 7815.0600. 
  1.31  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.32                             ARTICLE 1
  1.33                   INCORRECT DIRECTORY ASSISTANCE
  1.34     Section 1.  Minnesota Statutes 2002, section 237.01, is 
  1.35  amended by adding a subdivision to read: 
  1.36     Subd. 8.  [LOCAL EXCHANGE CARRIER.] "Local exchange carrier"
  1.37  means a telephone company or telecommunications carrier 
  1.38  providing local exchange service. 
  2.1      Sec. 2.  [237.155] [CREDIT FOR INCORRECT DIRECTORY 
  2.2   ASSISTANCE.] 
  2.3      A local exchange carrier that provides directory assistance 
  2.4   to customers for a fee, either directly or by contracting with a 
  2.5   third party, must provide for an immediate credit to a customer 
  2.6   that informs the directory assistance provider that the provider 
  2.7   has given the customer incorrect information for which the 
  2.8   provider charged the customer a fee. 
  2.9                              ARTICLE 2
  2.10                          UTILITY DEPOSITS
  2.11     Section 1.  Minnesota Statutes 2002, section 237.06, is 
  2.12  amended to read: 
  2.13     237.06 [~~REASONABLE RATE~~ RATES AND ~~SERVICE~~ DEPOSITS.] 
  2.14     It shall be the duty of every telephone company to furnish 
  2.15  reasonably adequate service and facilities for the accommodation 
  2.16  of the public, and its rates, tolls, and charges shall be fair 
  2.17  and reasonable for the intrastate use thereof.  All unreasonable 
  2.18  rates, tolls, and charges are hereby declared to be unlawful.  
  2.19  Any telephone company ~~organized after January 1, 1949,~~ may 
  2.20  include in its charges a reasonable deposit fee ~~not exceeding~~ 
  2.21  ~~$50~~ for facilities furnished.  
  2.22     Sec. 2.  Minnesota Statutes 2002, section 325E.02, is 
  2.23  amended to read: 
  2.24     325E.02 [CUSTOMER DEPOSITS.] 
  2.25     Any customer deposit required before commencement of 
  2.26  service by a privately or publicly owned water, gas, telephone, 
  2.27  cable television, electric light, heat, or power company shall 
  2.28  be subject to the following: 
  2.29     (a) Upon termination of service with all bills paid, the 
  2.30  deposit shall be returned to the customer within 45 days, less 
  2.31  any deductions made in accordance with paragraph (c).  
  2.32     (b) Interest shall be paid on deposits in excess of $20 ~~at~~ 
  2.33  ~~the rate of not less than three percent per year~~.  The rate of 
  2.34  interest must be set annually and be equal to the weekly average 
  2.35  yield of one-year United States Treasury securities adjusted for 
  2.36  constant maturity for the last full week in November.  The 
  3.1   interest rate must be rounded to the nearest tenth of one 
  3.2   percent.  By December 15 of each year, the commissioner of 
  3.3   commerce shall announce the rate of interest that must be paid 
  3.4   on all deposits held during all or part of the subsequent year.  
  3.5   The company may, at its option, pay the interest at intervals it 
  3.6   chooses but at least annually, by direct payment, or as a credit 
  3.7   on bills.  
  3.8      (c) At the time the deposit is made the company shall 
  3.9   furnish the customer with a written receipt specifying the 
  3.10  conditions, if any, the deposit will be diminished upon return.  
  3.11     (d) Advance payments or prepayments shall not be construed 
  3.12  as being a deposit.  
  3.13     Sec. 3.  [RULES OR ORDERS SUPERSEDED.] 
  3.14     The interest rate set in section 2 supersedes any rate set 
  3.15  in rule or by administrative order. 
  3.16     Sec. 4.  [EFFECTIVE DATE.] 
  3.17     Section 2 applies to interest paid on deposits held as of 
  3.18  January 1, 2005, and thereafter. 
  3.19                             ARTICLE 3
  3.20                      OBSOLETE RULES REPEALER
  3.21     Section 1.  [REPEALER.] 
  3.22     Minnesota Rules, parts 7810.0100, subparts 16, 17, 18, 30, 
  3.23  32, 33, and 39; 7810.0700; 7810.3400; 7810.3500; 7810.3600; 
  3.24  7810.3700; 7810.3800; 7810.4200; 7810.4400; 7810.4500; 
  3.25  7810.4600; 7810.4700; 7810.4800; 7810.5600; 7810.6900; 
  3.26  7810.8760; 7815.0100; 7815.0200; 7815.0300; 7815.0400; 
  3.27  7815.0500; and 7815.0600, are repealed. 
  3.28                             ARTICLE 4
  3.29                     ADDITIONAL CABLE FRANCHISE
  3.30     Section 1.  Minnesota Statutes 2002, section 238.08, 
  3.31  subdivision 1, is amended to read: 
  3.32     Subdivision 1.  [REQUIREMENT; CONDITIONS.] (a) A 
  3.33  municipality or its franchise authority shall require a 
  3.34  franchise or extension permit of any cable communications system 
  3.35  providing service within the municipality.  
  3.36     (b) No municipality shall grant an additional franchise for 
  4.1   cable service for an area included in an existing franchise on 
  4.2   terms and conditions more favorable or less burdensome than 
  4.3   those in the existing franchise pertaining to~~:  (1) the area~~ 
  4.4   ~~served; (2) public, educational, or governmental access~~ 
  4.5   ~~requirements; or (3)~~ franchise fees.  ~~The provisions of this~~ 
  4.6   ~~paragraph shall not apply when the area in which the additional~~ 
  4.7   ~~franchise is being sought is not actually being served by any~~ 
  4.8   ~~existing cable communications company holding a franchise for~~ 
  4.9   ~~the area.  Nothing in this paragraph prevents a municipality~~ 
  4.10  ~~from imposing additional terms and conditions on any additional~~ 
  4.11  ~~franchises.~~  The grant of an additional franchise may include an 
  4.12  area for cable service similar to that in an existing franchise 
  4.13  or another area that the municipality or its franchise authority 
  4.14  determines is necessary or desirable to reasonably meet the 
  4.15  needs of the municipality or its franchise authority.  
  4.16  Additional franchises must be granted or rejected by a 
  4.17  municipality within 180 days of the notice of application being 
  4.18  published in a newspaper of general circulation unless the date 
  4.19  is extended by mutual agreement of the additional franchise 
  4.20  provider and municipality. 
  4.21     Sec. 2.  Minnesota Statutes 2002, section 238.08, is 
  4.22  amended by adding a subdivision to read: 
  4.23     Subd. 1a.  [LOCAL PUBLIC, EDUCATIONAL, AND GOVERNMENTAL 
  4.24  ACCESS CHANNELS.] (a) An additional franchise must ensure that 
  4.25  all subscribers receive local public, educational, and 
  4.26  governmental access channels within the additional franchise 
  4.27  provider's franchise area. 
  4.28     (b) An additional franchise must ensure that all 
  4.29  subscribers receive local public, educational, and governmental 
  4.30  access channels and local origination channels as specified in 
  4.31  the existing franchise, and on channels designated within the 
  4.32  existing franchise or actually used for the delivery of public, 
  4.33  educational, and governmental access and local origination.  An 
  4.34  additional franchise provider must not be required to provide 
  4.35  any public, educational, and governmental access or local 
  4.36  origination channels not specified in an existing franchise or 
  5.1   in actual use for those purposes. 
  5.2      (c) An existing franchise provider must be required to 
  5.3   permit an additional franchise provider to connect with its 
  5.4   local public, educational, and governmental access and local 
  5.5   origination channel feeds and provide an additional franchise 
  5.6   provider with the programming on those channels.  An additional 
  5.7   franchise provider and the existing franchise provider may 
  5.8   decide how to accomplish this connection, taking into 
  5.9   consideration the exact physical and technical circumstances of 
  5.10  the systems involved.  An agreement must be negotiated between 
  5.11  the additional franchise provider and the existing franchise 
  5.12  provider specifying these requirements. 
  5.13     The additional franchise provider may proceed with 
  5.14  providing its services before public, educational, and 
  5.15  governmental access negotiations are completed.  If the 
  5.16  additional franchise provider and existing franchise provider 
  5.17  cannot agree on how to accomplish this within three months from 
  5.18  the effective date of the granting of the additional franchise, 
  5.19  the municipality or its franchising authority may adopt a 
  5.20  resolution specifying these requirements.  The costs of 
  5.21  connection to the existing franchise provider's public, 
  5.22  educational, and governmental access channel feed must be borne 
  5.23  by the additional franchise provider.  The municipality or its 
  5.24  franchise authority may require that the connection occur on 
  5.25  government property or on public rights-of-way. 
  5.26     (d) An additional franchise provider shall make financial 
  5.27  contributions that are equivalent annually, on a per customer 
  5.28  basis, to the public, educational, and governmental access 
  5.29  services, facilities, and equipment provided or made available 
  5.30  by the existing franchise provider. 
  5.31     (e) For in-kind contributions, such as cameras and 
  5.32  production studios, an additional franchise provider may satisfy 
  5.33  its requirements by negotiating mutually agreeable terms with 
  5.34  the existing franchise provider and the municipality or its 
  5.35  franchise authority so that public, educational, and 
  5.36  governmental access and local origination services to the 
  6.1   community are improved or increased. 
  6.2      (f) An additional franchise provider must adjust its 
  6.3   systems to comply with new public, educational, and governmental 
  6.4   access and local origination obligations imposed by a cable 
  6.5   franchise renewal.  The additional franchise provider must not, 
  6.6   however, be required to displace other programmers using its 
  6.7   system to accommodate public, educational, and governmental 
  6.8   access and local origination channels.  The additional franchise 
  6.9   provider must comply with the public, educational, and 
  6.10  governmental access and local origination obligations whenever 
  6.11  additional capacity is or becomes available, whether it is due 
  6.12  to increased channel capacity or decreased demand for channel 
  6.13  capacity. 
  6.14     (g) A municipality or its franchising authority may not 
  6.15  impose public, educational, and governmental access or local 
  6.16  origination obligations on the additional franchise provider 
  6.17  that would exceed those imposed on the existing franchise 
  6.18  provider. 
  6.19     Sec. 3.  [EFFECTIVE DATE.] 
  6.20     This article is effective the day following final enactment.
  6.21                             ARTICLE 5
  6.22                        THIRD-PARTY BILLING
  6.23     Section 1.  [237.665] [PROHIBITION AGAINST BILLING FOR 
  6.24  UNAUTHORIZED CHARGES.] 
  6.25     (a) A telephone company or telecommunications carrier 
  6.26  providing local service shall not include on a customer's bill a 
  6.27  charge for goods or services on behalf of a third-party service 
  6.28  provider unless the third-party service provider has obtained 
  6.29  the customer's prior express authorization to include such 
  6.30  charges on the customer's bill.  
  6.31     (b) If a customer of a telephone company or 
  6.32  telecommunications carrier notifies the telephone company or 
  6.33  telecommunications carrier that an unauthorized charge from a 
  6.34  third-party service provider has been included on the customer's 
  6.35  bill, then the telephone company or telecommunications carrier 
  6.36  shall remove the unauthorized charge.  The telephone company or 
  7.1   telecommunications carrier shall refund to the customer any 
  7.2   amounts paid for the unauthorized charges that were billed by 
  7.3   the telephone company or telecommunications carrier during the 
  7.4   six months prior to the customer's complaint, unless the 
  7.5   telephone company or telecommunications carrier can produce 
  7.6   within 14 calendar days of the complaint evidence to the 
  7.7   customer of prior express authorization by the customer. 
  7.8      (c) A third-party service provider meets the prior express 
  7.9   authorization requirements of this section only if it obtains or 
  7.10  receives a customer's written authorization in the form of a 
  7.11  letter of agency, a customer's oral authorization verified by an 
  7.12  independent third party, or a copy of an e-mail notice of 
  7.13  verification as described in clause (3). 
  7.14     (1) If the third-party service provider obtains the 
  7.15  customer's written authorization in the form of a letter of 
  7.16  agency, it must be a separate or easily separable document.  The 
  7.17  sole purpose of the letter of agency shall be to authorize a 
  7.18  charge for goods or services to appear on the customer's 
  7.19  telephone bill.  The letter of agency must be of sufficient size 
  7.20  to be clearly legible and must contain clear and unambiguous 
  7.21  language that contains separate statements for each good or 
  7.22  service for which the customer is agreeing to be billed.  The 
  7.23  letter of agency must be signed and dated by the customer. 
  7.24     (2) If the customer's authorization is oral, the 
  7.25  authorization must be verified by an independent third-party 
  7.26  verifier.  The verification is valid only if: 
  7.27     (i) the independent third party confirms the customer's 
  7.28  identity with information unique to the customer unless the 
  7.29  customer refuses, then that fact must be noted; and 
  7.30     (ii) the independent third party informs the customer that 
  7.31  the customer is agreeing to be billed for goods or services that 
  7.32  will appear as a charge on the customer's telephone bill. 
  7.33     (3) If a customer enters a contract via the Internet with a 
  7.34  third-party service provider for goods or services which are 
  7.35  charged to the bill issued by the customer's telephone company 
  7.36  or telecommunications carrier providing local service, the 
  8.1   third-party service provider must, within 48 hours of receiving 
  8.2   the customer's authorization, send the customer, via e-mail, a 
  8.3   notice of verification confirming the authorization.  The 
  8.4   third-party service provider shall maintain a copy of the notice 
  8.5   of verification for the duration of the contract as a record of 
  8.6   the customer's express authorization to be charged for the goods 
  8.7   or services on the customer's telephone bill for local service. 
  8.8      (d) For direct-dialed calls, where the call itself 
  8.9   represents the service for which the charge is placed on a 
  8.10  customer's local telephone bill, such as "900 number" services 
  8.11  and "dial around" services, evidence that the call was placed 
  8.12  from the number that is subject to the telephone bill shall be 
  8.13  considered sufficient evidence of authorization for that call 
  8.14  for billing authorization purposes established in this section.  
  8.15  Nothing in this section shall be construed to change a telephone 
  8.16  company's or telecommunication carrier's obligations or affect a 
  8.17  telephone subscriber's rights under section 325F.692. 
  8.18     (e) This section does not apply to charges for collect 
  8.19  calls. 
  8.20     (f) Nothing in this section restricts the right of a 
  8.21  telephone company or telecommunications carrier to seek to 
  8.22  recover from a third-party service provider unauthorized charges 
  8.23  refunded to the customer by the telephone company or 
  8.24  telecommunications carrier. 
  8.25                             ARTICLE 6
  8.26              ACCESS CHARGES AND RELATED ISSUES STUDY
  8.27     Section 1.  [STUDY AND RECOMMENDATIONS.] 
  8.28     The commissioner of commerce shall convene a work group of 
  8.29  all interested and affected parties to discuss and make 
  8.30  recommendations regarding intercarrier access compensation, a 
  8.31  state universal service fund, and related issues.  The report 
  8.32  and any legislative recommendations shall be presented to the 
  8.33  senate Jobs, Energy and Community Development Committee and the 
  8.34  house Regulated Industries Committee by January 15, 2005.  
  8.35     Sec. 2.  [EFFECTIVE DATE.] 
  8.36     This article is effective the day following final enactment.
  9.1                              ARTICLE 7
  9.2        LOCAL SERVICE DEREGULATION AND EXTENDED SERVICE AREAS
  9.3      Section 1.  [237.414] [EXPANDED CALLING AREAS; TRANSPORT 
  9.4   FACILITIES; TERMINATIONS.] 
  9.5      Subdivision 1.  [EXPANDED CALLING AREAS.] (a) In addition 
  9.6   to any existing authority applicable to telephone companies, a 
  9.7   telephone company may expand the area to which it can provide 
  9.8   calling to its customers upon filing with the commission any 
  9.9   agreements between the telephone company and other telephone 
  9.10  companies and telecommunications carriers entered into under 
  9.11  subdivision 3.  Calling to these expanded areas must be optional 
  9.12  to customers and must be in addition to the customers' existing 
  9.13  local service and any extended area service.  Subject to 
  9.14  sections 237.06 and 237.09, the telephone company may determine 
  9.15  the quantity of expanded calling to provide, the prices for that 
  9.16  calling, and whether to offer calling alone or in combination 
  9.17  with one or more other telephone or unregulated services. 
  9.18     (b) Prices for expanded calling service or for bundles of 
  9.19  services that include expanded calling must exceed the variable 
  9.20  cost of the expanded calling service or bundles of services, 
  9.21  determined on an aggregate basis.  A telephone company is not 
  9.22  required to file cost information before implementing its prices 
  9.23  and is not required to file cost information except on request 
  9.24  of the department, Office of the Attorney General, or 
  9.25  commission.  Customers must be notified of local service options 
  9.26  and prices, including options that do not include expanded 
  9.27  calling, as required under section 237.66.  The telephone 
  9.28  company shall clearly identify the distinction between the 
  9.29  expanded calling area and the basic local calling area to 
  9.30  customers.  The telephone company is not required to offer 
  9.31  unlimited flat-rate calling to these expanded calling areas.  
  9.32  The telephone company shall file tariffs setting forth the 
  9.33  expanded calling area along with the applicable prices and 
  9.34  quantities of calling. 
  9.35     (c) A rate increase or a substantial change in terms and 
  9.36  conditions of the expanded calling service may be effective 30 
 10.1   days after filing with the commission and 30 days after 
 10.2   providing written notice to affected customers.  Rate decreases 
 10.3   may be effective immediately upon filing.  Minor changes to 
 10.4   terms and conditions may be effective immediately upon filing 
 10.5   and upon notice to the customers.  This section does not apply 
 10.6   to extended area service or to calling areas previously or 
 10.7   hereafter established by order of the commission.  This section 
 10.8   does not limit the existing rights and obligations of telephone 
 10.9   companies and telecommunications carriers to provide local 
 10.10  calling, including the obligation to offer unlimited flat rate 
 10.11  calling in the basic local calling area or expanded calling area.
 10.12     Subd. 2.  [OBTAINING TRANSPORT, SWITCHING FACILITIES.] A 
 10.13  telephone company may construct, purchase, lease, or rent 
 10.14  transport and switching facilities between its existing local 
 10.15  area and the expanded calling area that are needed to provide 
 10.16  the expanded calling.  If the telephone company is unable to 
 10.17  reach agreement with other telephone companies or 
 10.18  telecommunications carriers, the company or carrier may petition 
 10.19  the commission under section 237.12 to resolve issues regarding 
 10.20  prices, terms, and conditions for use of any transport 
 10.21  facilities that are subject to the jurisdiction of the 
 10.22  commission. 
 10.23     Subd. 3.  [TERMINATION OF EXPANDED CALLING TRAFFIC.] (a) A 
 10.24  telephone company providing an expanded calling area under this 
 10.25  section may enter into an agreement to terminate calls with 
 10.26  telephone companies and telecommunications carriers providing 
 10.27  service within the expanded calling area.  Compensation to the 
 10.28  telephone company or telecommunications carrier to terminate 
 10.29  expanded calling into such areas must be the intrastate access 
 10.30  charges of the telephone company or telecommunications carrier 
 10.31  terminating the call or other rates agreed upon by the companies.
 10.32     (b) Two telephone companies that provide expanded calling 
 10.33  between their respective areas may also enter into "bill and 
 10.34  keep" arrangements for exchange of the expanded calling area 
 10.35  traffic. 
 10.36     (c) The telephone company shall file with the commission 
 11.1   any agreements for termination of calling by telephone companies 
 11.2   and telecommunications carriers providing service within the 
 11.3   expanded calling area. 
 11.4      Subd. 4.  [AMENDING OR TERMINATING EXPANDED CALLING 
 11.5   SERVICE.] Except for calling areas that result from a prior or 
 11.6   subsequent order of the commission, a telephone company may 
 11.7   amend or terminate the expanded calling area service upon 30 
 11.8   days' written notice to customers, the commission, and other 
 11.9   telephone companies and telecommunications carriers providing 
 11.10  local service in the expanded area.  The notice to customers of 
 11.11  an amendment to the expanded calling area or termination of an 
 11.12  expanded calling area must be sent separately from other 
 11.13  mailings and clearly explain how the expanded calling area is 
 11.14  being changed.  The notice to customers of an amendment must 
 11.15  also clearly identify that calls to areas outside of the 
 11.16  expanded calling area will be long distance calls billed at the 
 11.17  applicable rate of the customer's long distance carrier.  The 
 11.18  notice to customers of a termination must clearly identify that 
 11.19  calls to the terminated expanded calling area will become long 
 11.20  distance calls billed at the applicable rate of the customer's 
 11.21  long distance carrier. 
 11.22     Sec. 2.  [237.43] [ANNUAL UNIVERSAL SERVICE FUNDING 
 11.23  CERTIFICATION.] 
 11.24     In determining whether to provide the annual certification 
 11.25  of any eligible telecommunications carrier for continued receipt 
 11.26  of federal universal service funding, the commission shall apply 
 11.27  the same standards and criteria to all eligible 
 11.28  telecommunications carriers. 
 11.29                             ARTICLE 8
 11.30                    WIRELESS CONSUMER PROTECTION
 11.31     Section 1.  [325F.695] [CONSUMER PROTECTIONS FOR WIRELESS 
 11.32  CUSTOMERS.] 
 11.33     Subdivision 1.  [DEFINITIONS.] The definitions in this 
 11.34  subdivision apply to this section. 
 11.35     (a) "Contract" means an oral or written agreement of 
 11.36  definite duration between a provider and a customer, detailing 
 12.1   the wireless telecommunications services to be provided to the 
 12.2   customer and the terms and conditions for provision of those 
 12.3   services. 
 12.4      (b) "Wireless telecommunications services" means commercial 
 12.5   mobile radio services as defined in Code of Federal Regulations, 
 12.6   title 47, part 20. 
 12.7      (c) "Provider" means a provider of wireless 
 12.8   telecommunications services. 
 12.9      (d) "Substantive change" means a modification to, or 
 12.10  addition or deletion of, a term or condition in a contract that 
 12.11  could result in an increase in the charge to the customer under 
 12.12  that contract or that could result in an extension of the term 
 12.13  of that contract.  "Substantive change" includes a modification 
 12.14  in the provider's administration of an existing contract term or 
 12.15  condition. 
 12.16     Subd. 2.  [COPY OF CONTRACT.] A provider must provide each 
 12.17  customer with a written copy of the customer's contract between 
 12.18  the provider and the customer within 15 days of the date the 
 12.19  contract is entered into.  A provider must maintain verification 
 12.20  that the customer accepted the terms of the contract for the 
 12.21  duration of the contract period.  
 12.22     Subd. 3.  [NOTICE OF SUBSTANTIVE CHANGE; CUSTOMER MAY OPT 
 12.23  OUT.] A provider must notify the customer in writing of any 
 12.24  proposed substantive change in the contract between the provider 
 12.25  and the customer 60 days before the change is proposed to take 
 12.26  effect.  The notification must be sent separately from other 
 12.27  mailings and the envelope must be labeled "NOTICE OF PROPOSED 
 12.28  CHANGE IN CONTRACT TERMS."  The notification print must be of 
 12.29  sufficient size to be clearly legible and it must contain clear 
 12.30  and unambiguous language separately detailing each substantive 
 12.31  change proposed by the provider.  The change only becomes 
 12.32  effective if the customer opts in to the change by affirmatively 
 12.33  accepting the change in writing prior to the proposed effective 
 12.34  date.  If the customer does not affirmatively opt in to accept 
 12.35  the proposed substantive change, then the original contract 
 12.36  terms shall apply. 
 13.1      Sec. 2.  [EFFECTIVE DATE.] 
 13.2      Section 1 is effective on July 1, 2004, and applies to 
 13.3   contracts for wireless service entered into on or after May 1, 
 13.4   2004. 
 13.5                              ARTICLE 9
 13.6                       REDUCED RATE REGULATION
 13.7      Section 1.  [237.41] [REDUCED RATE REGULATION.] 
 13.8      Subdivision 1.  [GENERAL.] The rates, prices, tariffs, or 
 13.9   charges for local services to end-use customers may not rise 
 13.10  above the levels in effect on the effective date of this section 
 13.11  for comparable services. 
 13.12     Subd. 2.  [ONE PARTY RESIDENTIAL LINES.] Rates for one 
 13.13  party residential service may not be increased until December 
 13.14  31, 2006.  After December 31, 2006, a single monthly rate 
 13.15  increase each year of up to $1 is permitted.  The increase is 
 13.16  effective following 30 days' notice to customers, the 
 13.17  department, the Office of the Attorney General, and the 
 13.18  commission unless a petition signed by the lesser of 500 
 13.19  customers or five percent or more of the company's customers is 
 13.20  filed with the commission.  If a valid petition is filed, the 
 13.21  increase is only effective upon order of the commission.  
 13.22     Subd. 3.  [BUSINESS CUSTOMERS; TWO LINES OR FEWER.] For 
 13.23  business customers subscribing to two or fewer business lines, 
 13.24  the rates are regulated as provided in subdivision 2 except that 
 13.25  the maximum single monthly rate increase may be up to $2 and may 
 13.26  begin in calendar year 2005. 
 13.27     Subd. 4.  [EXEMPTION.] Rates for residential customers who 
 13.28  subscribe to a package of residential services or to business 
 13.29  customers who subscribe to three or more lines are exempt from 
 13.30  this section.  The rates, prices, tariffs, or charges for local 
 13.31  services provided to these customers by a telephone company or 
 13.32  by a telecommunications carrier offering local service are only 
 13.33  subject to the provisions of sections 237.07, subdivision 1; 
 13.34  237.66; and 237.663, and are not subject to any rules imposing 
 13.35  rate or price restrictions or obligations beyond those 
 13.36  provisions or to other order or investigation of local rates 
 14.1   under section 237.081. 
 14.2                              ARTICLE 10
 14.3                          SERVICE STANDARDS
 14.4      Section 1.  [237.82] [SERVICE STANDARDS.] 
 14.5      The commission, except as provided for in alternative forms 
 14.6   of regulations plans, may not impose retail service quality 
 14.7   standards that differ among or between telephone companies or 
 14.8   telecommunications carriers. 
 14.9                              ARTICLE 11
 14.10                          CABLE REGULATION
 14.11     Section 1.  Minnesota Statutes 2002, section 238.02, 
 14.12  subdivision 3, is amended to read: 
 14.13     Subd. 3.  [CABLE COMMUNICATIONS SYSTEM.] (a) "Cable 
 14.14  communications system" means a system ~~which operates~~ that 
 14.15  provides the service of receiving and amplifying (1) programs 
 14.16  broadcast by one or more television or radio stations and (2) 
 14.17  other programs originated by a person operating a cable 
 14.18  communications ~~company~~ system or by another ~~party, and~~ 
 14.19  ~~distributing~~ person.  The system distributes those programs by 
 14.20  wire, cable, microwave, or other means, regardless whether the 
 14.21  means are owned or leased, to persons who subscribe to the 
 14.22  service.  
 14.23     (b) This definition does not include: 
 14.24     ~~(a)~~ (1) a system ~~which~~ that serves fewer than 50 
 14.25  subscribers or a system ~~which~~ that serves more than 50 but fewer 
 14.26  than 1,000 subscribers if the governing bodies of all political 
 14.27  subdivisions served by the system, vote, by resolution, to 
 14.28  remove the system from the provisions of this chapter~~.~~; provided 
 14.29  that: 
 14.30     (i) no part of a system, nor any area within the 
 14.31  municipality served by the system, may be removed from the 
 14.32  provisions of this chapter if more than 1,000 subscribers are 
 14.33  served by the system~~.~~; and 
 14.34     (ii) any system ~~which serves~~ serving more than 50 but fewer 
 14.35  than 1,000 subscribers that has been removed from the provisions 
 14.36  of this chapter ~~shall be returned~~ becomes subject to the 
 15.1   provisions of this chapter if the governing bodies of 50 percent 
 15.2   or more of the political subdivisions served by the system vote, 
 15.3   by resolution, in favor of the return; 
 15.4      ~~(b)~~ (2) a master antenna television system; 
 15.5      ~~(c)~~ (3) a specialized closed-circuit system ~~which~~ that does 
 15.6   not use the public rights-of-way for the construction of its 
 15.7   physical plant; and 
 15.8      ~~(d)~~ (4) a translator system ~~which~~ that receives and 
 15.9   rebroadcasts over-the-air signals.  
 15.10     Sec. 2.  Minnesota Statutes 2002, section 238.03, is 
 15.11  amended to read: 
 15.12     238.03 [APPLICABILITY.] 
 15.13     This chapter applies to every cable communications system 
 15.14  ~~and every cable communications company~~, as defined in section 
 15.15  238.02, operating within the state, including a cable 
 15.16  communications ~~company which constructs, operates and maintains~~ 
 15.17  ~~a cable communications~~ system comprised in whole or in part 
 15.18  ~~through the~~ of facilities ~~of a person franchised to offer common~~ 
 15.19  ~~or contract carrier services~~ subject to regulation under chapter 
 15.20  237.  Persons possessing franchises for any of the purposes of 
 15.21  this chapter are subject to this chapter although no property 
 15.22  has been acquired, business transacted, or franchises exercised. 
 15.23     Sec. 3.  Minnesota Statutes 2002, section 238.08, 
 15.24  subdivision 3, is amended to read: 
 15.25     Subd. 3.  [MUNICIPAL OPERATION.] ~~Nothing in this chapter~~ 
 15.26  ~~shall be construed to limit~~ Any municipality ~~from the right~~ 
 15.27  ~~to~~ may construct, purchase, and operate cable communications 
 15.28  systems~~,~~ or~~, to~~ operate facilities and channels for community 
 15.29  television, including, but not limited to, public, educational, 
 15.30  and governmental access and local origination programming.  Any 
 15.31  municipal system, including the operation of community 
 15.32  television by a municipality, ~~shall be~~ is subject to this 
 15.33  chapter to the same extent as would any nonpublic cable 
 15.34  communications system. 
 15.35     Sec. 4.  Minnesota Statutes 2002, section 238.08, 
 15.36  subdivision 4, is amended to read: 
 16.1      Subd. 4.  [FEE, TAX, OR CHARGE.] ~~Nothing in this chapter~~ 
 16.2   ~~shall be construed to limit the power of~~ Any municipality ~~to~~ may 
 16.3   impose upon any person operating a cable communications ~~company~~ 
 16.4   system a fee, tax, or charge. 
 16.5      Sec. 5.  Minnesota Statutes 2002, section 238.081, is 
 16.6   amended to read: 
 16.7      238.081 [FRANCHISE PROCEDURE.] 
 16.8      Subdivision 1.  [PUBLICATION OF NOTICE.] The franchising 
 16.9   authority shall have published once each week for two successive 
 16.10  weeks in a newspaper of general circulation in each municipality 
 16.11  within the cable service territory, a notice of intent 
 16.12  to consider an application for an initial franchise~~, requesting~~ 
 16.13  ~~applications for the franchise~~.  
 16.14     Subd. 2.  [REQUIRED INFORMATION IN NOTICE.] The notice must 
 16.15  include at least the following information:  
 16.16     (1) the name of the municipality making the request; 
 16.17     (2) the closing date for submission of applications; 
 16.18     (3) a statement of the application fee, if any, and the 
 16.19  method for its submission; 
 16.20     (4) a statement by the franchising authority of the ~~desired~~ 
 16.21  ~~system design and~~ services to be offered; 
 16.22     (5) a statement by the franchising authority of criteria 
 16.23  and priorities against which the applicants for the franchise 
 16.24  must be evaluated; 
 16.25     (6) a statement that applications for the franchise must 
 16.26  contain at least the information required by subdivision 4; 
 16.27     (7) the date, time, and place for the public hearing, to 
 16.28  hear proposals from franchise applicants; and 
 16.29     (8) the name, address, and telephone number of the 
 16.30  individuals who may be contacted for further information.  
 16.31     Subd. 3.  [OTHER RECIPIENTS OF NOTICE.] In addition to the 
 16.32  published notice, the franchising authority shall mail copies of 
 16.33  the notice of intent to franchise to any person it has 
 16.34  identified as being a potential candidate for the franchise.  
 16.35     Subd. 4.  [CONTENTS OF FRANCHISING PROPOSAL.] (a) The 
 16.36  franchising authority shall require that proposals for a cable 
 17.1   communications franchise be notarized and contain, but not 
 17.2   necessarily be limited to, the following information: 
 17.3      (1) plans for channel capacity, including both the total 
 17.4   number of channels capable of being energized in the system and 
 17.5   the number of channels to be energized immediately; 
 17.6      (2) a statement of the television and radio broadcast 
 17.7   signals for which permission to carry will be requested from the 
 17.8   Federal Communications Commission; 
 17.9      (3) a description of the proposed system design and planned 
 17.10  operation, including at least the following items: 
 17.11     (i) the general area for location of antennae and the head 
 17.12  end, if known; 
 17.13     (ii) the schedule for activating two-way capacity; 
 17.14     (iii) the type of automated services to be provided; 
 17.15     (iv) the number of channels and services to be made 
 17.16  available for access cable broadcasting; and 
 17.17     (v) a schedule of charges for facilities and staff 
 17.18  assistance for access cable broadcasting; 
 17.19     (4) the terms and conditions under which particular service 
 17.20  is to be provided to governmental and educational entities; 
 17.21     (5) a schedule of proposed rates in relation to the 
 17.22  services to be provided, and a proposed policy regarding unusual 
 17.23  or difficult connection of services; 
 17.24     (6) a time schedule for construction of the entire system 
 17.25  with the time sequence for wiring the various parts of the area 
 17.26  requested to be served in the request for proposals; 
 17.27     (7) a statement indicating the applicant's qualifications 
 17.28  and experience in the cable communications field, if any; 
 17.29     (8) an identification of the municipalities in which the 
 17.30  applicant either owns or operates a cable communications system, 
 17.31  directly or indirectly, or has outstanding franchises for which 
 17.32  no system has been built; 
 17.33     (9) plans for financing the proposed system, which must 
 17.34  indicate every significant anticipated source of capital and 
 17.35  significant limitations or conditions with respect to the 
 17.36  availability of the indicated sources of capital; 
 18.1      (10) a statement of ownership detailing the corporate 
 18.2   organization of the applicant, if any, including the names and 
 18.3   addresses of officers and directors and the number of shares 
 18.4   held by each officer or director, and intracompany relationship 
 18.5   including a parent, subsidiary, or affiliated company; and 
 18.6      (11) a notation and explanation of omissions or other 
 18.7   variations with respect to the requirements of the proposal. 
 18.8      (b) ~~Substantive amendments may not be made in a proposal~~ 
 18.9   ~~after a proposal has been submitted to the franchising authority~~ 
 18.10  ~~and before award of a franchise~~ Upon submission of a proposal, 
 18.11  the municipality and applicant may negotiate franchise terms.  
 18.12     Subd. 5.  [TIME LIMIT TO SUBMIT APPLICATION.] The 
 18.13  franchising authority shall allow at least 20 days from the 
 18.14  first date of published notice to the closing date for 
 18.15  submitting applications.  
 18.16     Subd. 6.  [PUBLIC HEARING ON FRANCHISE.] A public hearing 
 18.17  before the franchising authority affording reasonable notice and 
 18.18  a reasonable opportunity to be heard with respect to all 
 18.19  applications for the franchise must be completed at least seven 
 18.20  days before the ~~introduction of the~~ adoption of a franchise 
 18.21  ordinance ~~in the proceedings of the franchising authority~~.  
 18.22     Subd. 7.  [AWARD OF FRANCHISE.] Franchises may be 
 18.23  awarded ~~only~~ by ordinance or other official action by the 
 18.24  franchising authority.  
 18.25     Subd. 8.  [COSTS OF AWARDING FRANCHISE.] ~~Nothing in this~~ 
 18.26  ~~section prohibits~~ A franchising authority ~~from recovering~~ may 
 18.27  recover from ~~a successful~~ an applicant the entire reasonable and 
 18.28  necessary costs of ~~the entire process of awarding the~~ processing 
 18.29  a cable communications franchise.  
 18.30     Subd. 9.  [FRANCHISING NONPROFIT OR MUNICIPALLY OWNED 
 18.31  SYSTEM.] Nothing contained in this section prohibits a 
 18.32  franchising authority from franchising a nonprofit or 
 18.33  municipally owned system.  The municipality or nonprofit entity 
 18.34  is considered an applicant for purposes of this section.  
 18.35     Subd. 10.  [FRANCHISE; JOINT POWERS.] In the cases of 
 18.36  municipalities acting in concert, the municipalities may 
 19.1   delegate to another entity ~~such~~ any duties, responsibilities, 
 19.2   privileges, or activities described in this section, if ~~such~~ the 
 19.3   delegation is proper according to state and local law.  
 19.4      Sec. 6.  Minnesota Statutes 2002, section 238.083, 
 19.5   subdivision 2, is amended to read: 
 19.6      Subd. 2.  [WRITTEN APPROVAL OF FRANCHISING AUTHORITY.] A 
 19.7   sale or transfer of a franchise, including a sale or transfer by 
 19.8   means of a fundamental corporate change, requires the written 
 19.9   approval of the franchising authority.  The parties to the sale 
 19.10  or transfer of a franchise shall make a written request to the 
 19.11  franchising authority for its approval of the sale or transfer.  
 19.12  ~~The franchising authority shall reply in writing within 30 days~~ 
 19.13  ~~of the request and shall indicate its approval of the request or~~ 
 19.14  ~~its determination that a public hearing is necessary if it~~ 
 19.15  ~~determines that a sale or transfer of a franchise may adversely~~ 
 19.16  ~~affect the company's subscribers.  The franchising authority~~ 
 19.17  ~~shall conduct a public hearing on the request within 30 days of~~ 
 19.18  ~~that determination.~~  
 19.19     Sec. 7.  Minnesota Statutes 2002, section 238.083, 
 19.20  subdivision 4, is amended to read: 
 19.21     Subd. 4.  [APPROVAL OR DENIAL OF TRANSFER REQUEST.] ~~Within~~ 
 19.22  ~~30 days after the public hearing,~~ The franchising authority 
 19.23  shall approve or deny in writing the sale or transfer request.  
 19.24  The approval must not be unreasonably withheld. 
 19.25     Sec. 8.  Minnesota Statutes 2002, section 238.084, 
 19.26  subdivision 1, is amended to read: 
 19.27     Subdivision 1.  [ALL SYSTEMS.] The following ~~requirements~~ 
 19.28  franchise provisions are required and apply to all ~~classes A, B,~~ 
 19.29  ~~and C~~ cable communications systems ~~unless provided otherwise~~: 
 19.30     (a) ~~a provision that~~ The franchise ~~complies~~ shall comply 
 19.31  with the Minnesota franchise standards contained in this 
 19.32  section~~;~~. 
 19.33     (b) ~~a provision requiring the franchisee and the~~ 
 19.34  ~~franchising authority to conform to state laws and rules~~ 
 19.35  ~~regarding cable communications not later than one year after~~ 
 19.36  ~~they become effective, unless otherwise stated, and to conform~~ 
 20.1   ~~to federal laws and regulations regarding cable as they become~~ 
 20.2   ~~effective;~~ 
 20.3      ~~(c) a provision limiting~~ The initial and renewal franchise 
 20.4   term must be limited to not more than 15 years each~~;~~. 
 20.5      ~~(d) a provision specifying that~~ (c) The franchise ~~is~~ must 
 20.6   be nonexclusive~~;~~. 
 20.7      ~~(e)~~ (d) A ~~provision prohibiting~~ sale or transfer of the 
 20.8   franchise or sale or transfer of stock so as to create a new 
 20.9   controlling interest under section 238.083 is prohibited, except 
 20.10  at the approval of the franchising authority, which approval 
 20.11  must not be unreasonably withheld, and conditioned that the sale 
 20.12  or transfer is completed pursuant to section 238.083~~;~~. 
 20.13     ~~(f) a provision granting~~ (e) The franchising authority 
 20.14  collecting a franchise fee is granted the authority to audit the 
 20.15  franchisee's accounting and financial records upon reasonable 
 20.16  notice~~, and requiring that~~. 
 20.17     (f) The franchisee shall file with the franchising 
 20.18  authority annually reports of gross subscriber revenues and 
 20.19  other information as the franchising authority deems 
 20.20  appropriate~~;~~. 
 20.21     (g) Provisions ~~specifying~~ relating to subscribers must 
 20.22  specify: 
 20.23     (1) current subscriber charges or that the current charges 
 20.24  are available for public inspection in the municipality; 
 20.25     (2) the length and terms of residential subscriber 
 20.26  contracts, if they exist, or that the current length and terms 
 20.27  of residential subscriber contracts are available for public 
 20.28  inspection in the municipality; and 
 20.29     (3) the procedure by which subscriber charges are 
 20.30  established, unless such a provision is contrary to state or 
 20.31  federal law~~;~~. 
 20.32     (h) ~~a provision indicating by title~~ The office or officer 
 20.33  of the franchising authority that is responsible for the 
 20.34  continuing administration of the franchise~~;~~ must be indicated by 
 20.35  title. 
 20.36     (i) ~~a provision requiring~~ The franchisee ~~to~~ shall indemnify 
 21.1   and hold harmless the franchising authority during the term of 
 21.2   the franchise, and ~~to~~ maintain throughout the term of the 
 21.3   franchise~~,~~ liability insurance in an amount as the franchising 
 21.4   authority may require insuring both the franchising authority 
 21.5   and the franchisee with regard to damages and penalties ~~which~~ 
 21.6   that they may legally be required to pay as a result of the 
 21.7   exercise of the franchise~~;~~. 
 21.8      (j) ~~a provision that~~ At the time the franchise becomes 
 21.9   effective and thereafter until the franchisee has liquidated all 
 21.10  of its obligation with the franchising authority, the franchisee 
 21.11  shall furnish a performance bond, certificate of deposit, or 
 21.12  other type of instrument approved by the franchising authority 
 21.13  in an amount as the franchising authority deems to be adequate 
 21.14  compensation for damages resulting from the franchisee's 
 21.15  nonperformance.  The franchising authority may, from year to 
 21.16  year and in its sole discretion, reduce the amount of the 
 21.17  performance bond or instrument~~;~~. 
 21.18     (k) ~~a provision that nothing contained in~~ The franchise 
 21.19  must contain a provision that nothing relieves a person from 
 21.20  liability arising out of the failure to exercise reasonable care 
 21.21  to avoid injuring the franchisee's facilities while performing 
 21.22  work connected with grading, regrading, or changing the line of 
 21.23  a street or public place or with the construction or 
 21.24  reconstruction of a sewer or water system~~;~~. 
 21.25     (l) ~~a provision that~~ The franchisee's technical ability, 
 21.26  financial condition, and legal qualification ~~were~~ must have been 
 21.27  considered and approved by the franchising authority in a full 
 21.28  public proceeding that afforded reasonable notice and a 
 21.29  reasonable opportunity to be heard~~;~~. 
 21.30     (m) ~~a provision requiring the construction of a cable~~ 
 21.31  ~~system with a channel capacity available for immediate or~~ 
 21.32  ~~potential use, equal to a minimum of 72 MHz of bandwidth, the~~ 
 21.33  ~~equivalent of 12 television broadcast channels.  For purposes of~~ 
 21.34  ~~this section, a cable system with a channel capacity, available~~ 
 21.35  ~~for immediate or potential use, equal to a minimum of 72 MHz of~~ 
 21.36  ~~bandwidth means:  the provision of a distribution system~~ 
 22.1   ~~designed and constructed so that a minimum of 72 MHz of~~ 
 22.2   ~~bandwidth, the equivalent of 12 television broadcast channels,~~ 
 22.3   ~~can be put into use with only the addition of the appropriate~~ 
 22.4   ~~headend equipment;~~ 
 22.5      ~~(n) a provision in initial franchises that there be a full~~ 
 22.6   ~~description of the system proposed for construction and a~~ 
 22.7   ~~schedule showing:~~ 
 22.8      ~~(1) that for franchise areas which will be served by a~~ 
 22.9   ~~system proposed to have fewer than 100 plant miles of cable:~~ 
 22.10     ~~(i) that within 90 days of the granting of the franchise,~~ 
 22.11  ~~the franchisee shall apply for the necessary governmental~~ 
 22.12  ~~permits, licenses, certificates, and authorizations;~~ 
 22.13     ~~(ii) that energized trunk cable must be extended~~ 
 22.14  ~~substantially throughout the authorized area within one year~~ 
 22.15  ~~after receipt of the necessary governmental permits, licenses,~~ 
 22.16  ~~certificates, and authorizations and that persons along the~~ 
 22.17  ~~route of the energized cable will have individual "drops" as~~ 
 22.18  ~~desired during the same period of time; and~~ 
 22.19     ~~(iii) that the requirement of this section may be waived by~~ 
 22.20  ~~the franchising authority only upon occurrence of unforeseen~~ 
 22.21  ~~events or acts of God; or~~ 
 22.22     ~~(2) that for franchise areas which will be served by a~~ 
 22.23  ~~system proposed to have 100 plant miles of cable or more, a~~ 
 22.24  ~~provision:~~ 
 22.25     ~~(i) that within 90 days of the granting of the franchise,~~ 
 22.26  ~~the franchisee shall apply for the necessary governmental~~ 
 22.27  ~~permits, licenses, certificates, and authorizations;~~ 
 22.28     ~~(ii) that engineering and design must be completed within~~ 
 22.29  ~~one year after the granting of the franchise and that a~~ 
 22.30  ~~significant amount of construction must be completed within one~~ 
 22.31  ~~year after the franchisee's receipt of the necessary~~ 
 22.32  ~~governmental permits, licenses, certificates, and~~ 
 22.33  ~~authorizations;~~ 
 22.34     ~~(iii) that energized trunk cable must be extended~~ 
 22.35  ~~substantially throughout the authorized area within five years~~ 
 22.36  ~~after commencement of construction and that persons along the~~ 
 23.1   ~~route of the energized cable will have individual "drops" within~~ 
 23.2   ~~the same period of time, if desired; and~~ 
 23.3      ~~(iv) that the requirement of this section be waived by the~~ 
 23.4   ~~franchising authority only upon occurrence of unforeseen events~~ 
 23.5   ~~or acts of God;~~ 
 23.6      ~~(o)~~ The system capacity and system technical design must be 
 23.7   identified. 
 23.8      (n) The schedule for system construction must be identified.
 23.9      (o) Unless otherwise already provided for by local law, ~~a~~ 
 23.10  ~~provision that~~ the franchisee shall obtain a permit from the 
 23.11  proper municipal authority before commencing construction of a 
 23.12  cable communications system, including the opening or 
 23.13  disturbance of a street, sidewalk, driveway, or public place. 
 23.14  The provision must specify remedies available to the franchising 
 23.15  authority in cases where the franchisee fails to meet the 
 23.16  conditions of the permit~~;~~. 
 23.17     (p) Unless otherwise already provided for by local law, ~~a~~ 
 23.18  ~~provision that~~ wires, conduits, cable, and other property and 
 23.19  facilities of the franchisee must be located, constructed, 
 23.20  installed, and maintained in compliance with applicable codes.  
 23.21  The ~~provision must also specify that the~~ franchisee shall keep 
 23.22  and maintain its property so as not to unnecessarily interfere 
 23.23  with the usual and customary trade, traffic, or travel upon the 
 23.24  streets and public places of the franchise area or endanger the 
 23.25  life or property of any person~~;~~. 
 23.26     (q) Unless otherwise already provided for by local law, ~~a~~ 
 23.27  ~~provision that~~ the franchising authority and the franchisee 
 23.28  shall establish a procedure in the franchise for the relocation 
 23.29  or removal of the franchisee's wires, conduits, cables, and 
 23.30  other property located in the street, right-of-way, or public 
 23.31  place whenever the franchising authority undertakes public 
 23.32  improvements ~~which~~ that affect the cable equipment~~;~~. 
 23.33     (r) ~~a provision incorporating by reference~~ As a minimum, 
 23.34  the technical standards promulgated by the Federal 
 23.35  Communications Commission relating to cable communications 
 23.36  systems contained in subpart K of part 76 of the Federal 
 24.1   Communications Commission's rules and regulations relating to 
 24.2   cable communications systems and found in Code of Federal 
 24.3   Regulations, title 47, sections 76.601 to 76.617, must be 
 24.4   incorporated by reference into the franchise.  The results of 
 24.5   tests required by the Federal Communications Commission must be 
 24.6   filed within ten days of the conduct of the tests with the 
 24.7   franchising authority~~;~~. 
 24.8      (s) ~~a provision establishing how~~ The franchising authority 
 24.9   and the person operating a cable communications ~~company~~ system 
 24.10  shall determine who is to bear the costs of ~~required special~~ 
 24.11  ~~testing;~~ additional system testing required by the franchising 
 24.12  authority. 
 24.13     (t) ~~a provision pertaining to the franchisee's construction~~ 
 24.14  ~~and maintenance of a cable communications system having the~~ 
 24.15  ~~technical capacity for nonvoice return communications which, for~~ 
 24.16  ~~purposes of this section, means the provision of appropriate~~ 
 24.17  ~~system design techniques with the installation of cable and~~ 
 24.18  ~~amplifiers suitable for the subsequent insertion of necessary~~ 
 24.19  ~~nonvoice communications electronic modules.~~  
 24.20  ~~In cases where an initial franchise is granted, the franchisee~~ 
 24.21  ~~shall provide a cable communications system having the technical~~ 
 24.22  ~~capacity for nonvoice return communications.~~ 
 24.23  ~~When a franchise is renewed, sold, or transferred and is served~~ 
 24.24  ~~by a system that does not have the technical capacity for~~ 
 24.25  ~~nonvoice return communications, the franchising authority shall~~ 
 24.26  ~~determine when and if the technical capacity for nonvoice return~~ 
 24.27  ~~communications is needed after appropriate public proceedings at~~ 
 24.28  ~~the municipal level giving reasonable notice and a reasonable~~ 
 24.29  ~~opportunity to be heard;~~ 
 24.30     ~~(u) a provision stating that~~ No signals of a ~~class IV~~ cable 
 24.31  communications channel may be transmitted from a subscriber 
 24.32  terminal for purposes of monitoring individual viewing patterns 
 24.33  or practices without the express written permission of the 
 24.34  subscriber.  The request for permission must be contained in a 
 24.35  separate document with a prominent statement that the subscriber 
 24.36  is authorizing the permission in full knowledge of its 
 25.1   provisions.  The written permission must be for a limited period 
 25.2   of time not to exceed one year, which is renewable at the option 
 25.3   of the subscriber.  No penalty may be invoked for a subscriber's 
 25.4   failure to provide or renew the authorization.  The 
 25.5   authorization is revocable at any time by the subscriber without 
 25.6   penalty of any kind.  ~~The permission must be required for each~~ 
 25.7   ~~type or classification of class IV cable communications activity~~ 
 25.8   ~~planned for the purpose;~~ 
 25.9      (1) No information or data obtained by monitoring 
 25.10  transmission of a signal from a subscriber terminal, including 
 25.11  but not limited to lists of the names and addresses of the 
 25.12  subscribers or lists that identify the viewing habits of 
 25.13  subscribers, may be sold or otherwise made available to any 
 25.14  ~~party~~ person other than to the company and its employees for 
 25.15  internal business use, or to the subscriber who is the subject 
 25.16  of that information, unless the company has received specific 
 25.17  written authorization from the subscriber to make the data 
 25.18  available~~;~~. 
 25.19     (2) Written permission from the subscriber must not be 
 25.20  required for the systems conducting systemwide or individually 
 25.21  addressed electronic sweeps for the purpose of verifying system 
 25.22  integrity or monitoring for the purpose of billing. 
 25.23  Confidentiality of this information is subject to clause (1)~~;~~. 
 25.24     ~~(3) For purposes of this provision, a "class IV cable~~ 
 25.25  ~~communications channel" means a signaling path provided by a~~ 
 25.26  ~~cable communications system to transmit signals of any type from~~ 
 25.27  ~~a subscriber terminal to another point in the communications~~ 
 25.28  ~~system;~~ 
 25.29     ~~(v) a provision specifying~~ (u) The procedure for the 
 25.30  investigation and resolution by the franchisee of complaints 
 25.31  regarding quality of service, equipment malfunction, billing 
 25.32  disputes, and other matters~~;~~ must be specified. 
 25.33     ~~(w) a provision requiring that~~ (v) At least a toll-free or 
 25.34  collect telephone number for the reception of complaints must be 
 25.35  provided to the subscriber and that the franchisee shall 
 25.36  maintain a repair service capable of responding to subscriber 
 26.1   complaints or requests for service within 24 hours after receipt 
 26.2   of the complaint or request.  ~~The~~ A provision must also state 
 26.3   who will bear the costs included in making these repairs, 
 26.4   adjustments, or installations~~;~~. 
 26.5      ~~(x) a provision granting~~ (w) The franchising authority has 
 26.6   the right to terminate and cancel the franchise and the rights 
 26.7   and privileges of the franchise if the franchisee substantially 
 26.8   violates a provision of the franchise ordinance, attempts to 
 26.9   evade the provisions of the franchise ordinance, or practices 
 26.10  fraud or deceit upon the franchising authority.  The 
 26.11  municipality shall provide the franchisee with a written notice 
 26.12  of the cause for termination and its intention to terminate the 
 26.13  franchise and shall allow the franchisee a minimum of 30 days 
 26.14  after service of the notice in which to correct the violation.  
 26.15  The franchisee must be provided with an opportunity to be heard 
 26.16  at a public hearing before the governing body of the 
 26.17  municipality before the termination of the franchise~~;~~. 
 26.18     ~~(y) a provision that~~ (x) No cable communications ~~company~~ 
 26.19  system, notwithstanding any provision in a franchise, may 
 26.20  abandon a cable communications service or a portion of it 
 26.21  without having given three months prior written notice to the 
 26.22  franchising authority.  No cable communications ~~company~~ system 
 26.23  may abandon a cable communications service or a portion of it 
 26.24  without compensating the franchising authority for damages 
 26.25  resulting to it from the abandonment~~;~~. 
 26.26     ~~(z) a provision requiring that~~ (y) Upon termination or 
 26.27  forfeiture of a franchise, unless otherwise required by 
 26.28  applicable law, the franchisee shall remove its cable, wires, 
 26.29  and appliances from the streets, alleys, and other public places 
 26.30  within the franchise area if the franchising authority so 
 26.31  requests~~, and~~.  A procedure to be followed in the event the 
 26.32  franchisee fails to remove its cable, wires, and appliances from 
 26.33  the streets, alleys, and other public places within the 
 26.34  franchise area~~;~~ must be specified. 
 26.35     ~~(aa) a provision that~~ (z) When a franchise or cable system 
 26.36  is ~~offered for sale~~ to be transferred or sold, the franchising 
 27.1   authority ~~shall have~~ has the right to purchase the system~~;~~. 
 27.2      ~~(bb) a provision establishing~~ (aa) The minimum number of 
 27.3   access channels that the franchisee shall make available must be 
 27.4   specified.  This provision must require that the franchisee 
 27.5   shall provide to each of its subscribers who receive some or all 
 27.6   of the services offered on the system, reception on at least one 
 27.7   specially designated access channel.  ~~The specially designated~~ 
 27.8   ~~access channel may be used by local educational authorities and~~ 
 27.9   ~~local government on a first-come, first-served,~~ 
 27.10  ~~nondiscriminatory basis.  During those hours that the specially~~ 
 27.11  ~~designated access channel is not being used by the local~~ 
 27.12  ~~educational authorities or local government, the franchisee~~ 
 27.13  ~~shall lease time to commercial or noncommercial users on a~~ 
 27.14  ~~first-come, first-served, nondiscriminatory basis if the demand~~ 
 27.15  ~~for that time arises.  The franchisee may also use this~~ 
 27.16  ~~specially designated access channel for local origination during~~ 
 27.17  ~~those hours when the channel is not in use by local educational~~ 
 27.18  ~~authorities, local government, or commercial or noncommercial~~ 
 27.19  ~~users who have leased time.~~  As the municipality deems 
 27.20  appropriate, the provision may require the franchisee to provide 
 27.21  separate public access channels available for use by the general 
 27.22  public on a first-come, first-served, nondiscriminatory basis; 
 27.23  local educational access channels; local governmental access 
 27.24  channels; and channels available for lease on a first-come, 
 27.25  first-served, nondiscriminatory basis by commercial and 
 27.26  noncommercial users.  The provision must require that whenever 
 27.27  the specially designated access channel required by this 
 27.28  paragraph is in use during 80 percent of the weekdays, Monday 
 27.29  through Friday, for 80 percent of the time during a consecutive 
 27.30  three-hour period for six weeks running, and there is a demand 
 27.31  for use of an additional channel for the same purpose, the 
 27.32  franchisee has six months in which to provide a new, specially 
 27.33  designated access channel for the same purpose; provided that, 
 27.34  the provision of the additional channel or channels does not 
 27.35  require the cable system to install converters.  The VHF 
 27.36  spectrum must be used for the specially designated access 
 28.1   channel required in this paragraph.  The provision must also 
 28.2   require that the franchisee shall establish rules for the 
 28.3   administration of the specially designated access channel unless 
 28.4   such channel is administered by the municipality.  
 28.5   ~~Franchisees providing only alarm services or only data~~ 
 28.6   ~~transmission services for computer-operated functions do not~~ 
 28.7   ~~need to provide access channel reception to alarm and data~~ 
 28.8   ~~service subscribers.~~ 
 28.9      (bb) The minimum equipment that the franchisee shall make 
 28.10  available for public use must be specified.  The franchisee 
 28.11  shall make readily available for public use at least the minimal 
 28.12  equipment necessary for the production of programming and 
 28.13  playback of prerecorded programs for the access channels.  Upon 
 28.14  request, the franchisee, at minimum, shall also make readily 
 28.15  available the minimum equipment necessary to make it possible to 
 28.16  record programs at remote locations with battery-operated 
 28.17  portable equipment.  
 28.18     (cc) A franchise in the metropolitan area, as defined in 
 28.19  section 473.121, must designate the standard VHF channel 6 for 
 28.20  uniform regional channel usage as required in section 238.43. 
 28.21     Sec. 9.  Minnesota Statutes 2002, section 238.11, 
 28.22  subdivision 2, is amended to read: 
 28.23     Subd. 2. [ACCESS CHANNEL.] No cable communications 
 28.24  ~~company~~ system may prohibit or limit a program or class or type 
 28.25  of program presented over a leased channel or a channel made 
 28.26  available for public access, governmental or educational 
 28.27  purposes.  Neither the person operating a cable communications 
 28.28  ~~company~~ system nor the officers, directors, or employees of the 
 28.29  cable communications system is liable for any penalties or 
 28.30  damages arising from programming content not originating from or 
 28.31  produced by the cable communications ~~company~~ system and shown on 
 28.32  any public access channel, education access channel, government 
 28.33  access channel, leased access channel, or regional channel. 
 28.34     Sec. 10.  Minnesota Statutes 2002, section 238.22, 
 28.35  subdivision 13, is amended to read: 
 28.36     Subd. 13.  [PROPERTY OWNER.] "Property owner" means any 
 29.1   person with a recorded interest in a multiple dwelling complex, 
 29.2   or person known to the person operating a cable communications 
 29.3   ~~company~~ system to be an owner, or the authorized agent of the 
 29.4   person.  
 29.5      Sec. 11.  Minnesota Statutes 2002, section 238.23, is 
 29.6   amended to read: 
 29.7      238.23 [ACCESS REQUIRED.] 
 29.8      Subdivision 1.  [PROVISION OF ACCESS.] A property owner or 
 29.9   other person controlling access shall provide a cable 
 29.10  communications ~~company~~ system access to the property owner's 
 29.11  multiple dwelling complex.  The access provided must be 
 29.12  perpetual and freely transferable by one person operating a 
 29.13  cable communications ~~company~~ system to another.  A cable 
 29.14  communications ~~company~~ system granted access, and its successors 
 29.15  in interest, must fully comply with sections 238.22 to 238.27.  
 29.16     Subd. 2.  [RESIDENT'S RIGHTS.] The intent of sections 
 29.17  238.22 to 238.27 is to give residents the freedom to choose 
 29.18  among competing cable communications services and nothing in 
 29.19  sections 238.22 to 238.27 ~~shall be interpreted to require~~ 
 29.20  requires residents to hook up or subscribe to any services 
 29.21  offered by any cable communications ~~company~~ system or 
 29.22  alternative provider of cable communications services. 
 29.23     Sec. 12.  Minnesota Statutes 2002, section 238.24, 
 29.24  subdivision 3, is amended to read: 
 29.25     Subd. 3.  [INSTALLATION; BOND.] The facilities must be 
 29.26  installed in an expeditious and workmanlike manner, must comply 
 29.27  with applicable codes, and must be installed parallel to utility 
 29.28  lines when economically feasible.  A property owner may require 
 29.29  a person operating a cable communications ~~company~~ system to post 
 29.30  a bond or equivalent security in an amount not exceeding the 
 29.31  estimated cost of installation of the cable communications 
 29.32  facilities on the premises.  Any bond filed by a cable 
 29.33  communications ~~company~~ system with a municipality ~~which~~ that 
 29.34  would provide coverage to the property owner as provided under 
 29.35  this subdivision ~~shall be considered to fulfill~~ fulfills the 
 29.36  requirements of this subdivision.  
 30.1      Sec. 13.  Minnesota Statutes 2002, section 238.24, 
 30.2   subdivision 4, is amended to read: 
 30.3      Subd. 4.  [INDEMNIFY FOR DAMAGE.] A person operating a 
 30.4   cable communications ~~company~~ system shall indemnify a property 
 30.5   owner for damage caused by the company in the installation, 
 30.6   operation, maintenance, or removal of its facilities.  
 30.7      Sec. 14.  Minnesota Statutes 2002, section 238.24, 
 30.8   subdivision 6, is amended to read: 
 30.9      Subd. 6.  [MASTER ANTENNA TELEVISION SYSTEM.] Nothing in 
 30.10  sections 238.22 to 238.27 precludes a property owner from 
 30.11  entering into an agreement for use of a master antenna 
 30.12  television system by a person operating a cable communications 
 30.13  ~~company~~ system or other television communications service.  
 30.14     Sec. 15.  Minnesota Statutes 2002, section 238.24, 
 30.15  subdivision 9, is amended to read: 
 30.16     Subd. 9.  [NOT RETROACTIVE.] Nothing in sections 238.22 to 
 30.17  238.27 affects the validity of an agreement effective before 
 30.18  June 15, 1983 between a property owner, a person operating a 
 30.19  cable communications ~~company~~ system, or any other person 
 30.20  providing cable communications services on or within the 
 30.21  premises of the property owner.  
 30.22     Sec. 16.  Minnesota Statutes 2002, section 238.24, 
 30.23  subdivision 10, is amended to read: 
 30.24     Subd. 10.  [CHANNEL CAPACITY.] (a) A property owner must 
 30.25  provide access ~~by~~ to a franchised person providing a cable 
 30.26  communications ~~company~~ system, as required under section 238.23, 
 30.27  only if that cable company installs equipment with channel 
 30.28  capacity sufficient to provide access to other providers of 
 30.29  television programming or cable communications services so that 
 30.30  residents or association members have a choice of alternative 
 30.31  providers of those services.  If the equipment is installed, the 
 30.32  cable communications ~~company~~ system shall allow alternative 
 30.33  providers to use the equipment.  If some of the residents or 
 30.34  association members choose to subscribe to the services of an 
 30.35  alternative provider, the cable company that installed the 
 30.36  equipment ~~shall~~ must be reimbursed by the other providers for 
 31.1   the cost of equipment and installation on the property on a pro 
 31.2   rata basis ~~which~~ that reflects the number of subscribers of each 
 31.3   provider on that property to the total number of subscribers on 
 31.4   that property.  In determining the pro rata amount of 
 31.5   reimbursement by any alternative provider, the cost of equipment 
 31.6   and installation ~~shall~~ must be reduced to the extent of 
 31.7   cumulative depreciation of that equipment at the time the 
 31.8   alternative provider begins providing service.  
 31.9      (b) If equipment is already installed as of June 15, 1983, 
 31.10  with channel capacity sufficient to allow access to alternative 
 31.11  providers, the access and pro rata reimbursement provisions of 
 31.12  paragraph (a) apply.  
 31.13     Sec. 17.  Minnesota Statutes 2002, section 238.242, 
 31.14  subdivision 1, is amended to read: 
 31.15     Subdivision 1.  [PROVIDING ALTERNATIVE SERVICE.] Other 
 31.16  providers of television programming or cable communications 
 31.17  services shall notify the person operating a cable 
 31.18  communications ~~company~~ system when a resident or association 
 31.19  member occupying a dwelling unit in a multiple dwelling complex 
 31.20  requests the services provided for by this section or section 
 31.21  238.241.  After reaching agreement with the alternative service 
 31.22  provider for reimbursement to be paid for use of the equipment, 
 31.23  the cable communications ~~company~~ system shall make available the 
 31.24  equipment necessary to provide the alternative service without 
 31.25  unreasonable delay.  
 31.26     Sec. 18.  Minnesota Statutes 2002, section 238.242, 
 31.27  subdivision 3, is amended to read: 
 31.28     Subd. 3.  [FINANCIAL RECORDS MADE AVAILABLE.] The person 
 31.29  operating a cable communications ~~company~~ system, upon written 
 31.30  request, shall make available to the alternative provider 
 31.31  financial records supporting the reimbursement cost requested.  
 31.32     Sec. 19.  Minnesota Statutes 2002, section 238.25, 
 31.33  subdivision 5, is amended to read: 
 31.34     Subd. 5.  [SERVICE OF PETITION.] The petition must be 
 31.35  served upon all persons named in the petition as property owners 
 31.36  in the same manner as a summons in a civil action; except that, 
 32.1   service may be made upon a property owner by three weeks' 
 32.2   published notice if the person operating a cable communications 
 32.3   ~~company~~ system, ~~its~~ or the person's agent or attorney, files an 
 32.4   affidavit stating on belief that the property owner is not a 
 32.5   resident of the state and that the company has mailed a copy of 
 32.6   the notice to the property owner at the property owner's place 
 32.7   of residence, or that after diligent inquiry the property 
 32.8   owner's place of residence cannot be ascertained by the 
 32.9   company.  If the state is a property owner, the notice must be 
 32.10  served upon the attorney general.  Any property owner not served 
 32.11  as provided under this paragraph is not bound by the proceeding 
 32.12  unless the property owner voluntarily appears ~~therein~~ in the 
 32.13  proceeding.  
 32.14     Sec. 20.  Minnesota Statutes 2002, section 238.25, 
 32.15  subdivision 10, is amended to read: 
 32.16     Subd. 10.  [FINAL CERTIFICATE.] Upon completion of the 
 32.17  proceedings, the attorney for the person operating the cable 
 32.18  communications ~~company~~ system shall make a certificate 
 32.19  describing the access acquired and the purpose or purposes for 
 32.20  which acquired, and reciting the fact of final payment of all 
 32.21  awards or judgments in relation thereto.  The certificate must 
 32.22  be filed with the court administrator and a certified copy 
 32.23  thereof filed for record with the county recorder.  The record 
 32.24  is notice to all parties of the access to the premises described 
 32.25  in the petition.  
 32.26     Sec. 21.  Minnesota Statutes 2002, section 238.35, 
 32.27  subdivision 1, is amended to read: 
 32.28     Subdivision 1.  [LEGISLATIVE FINDINGS.] There is a 
 32.29  long-standing legislative policy in the state of Minnesota to 
 32.30  provide for the dedication or other provision of easements and 
 32.31  public rights-of-way required by public utilities and cable 
 32.32  communications ~~companies~~ systems.  ~~Except for applicable~~ 
 32.33  ~~governmental rules, these easements do not include any~~ 
 32.34  ~~limitation on the type, number, or size of cables or related~~ 
 32.35  ~~cable communication system components.~~  There is a public 
 32.36  understanding and acceptance of the need of public utilities and 
 33.1   cable communications ~~companies~~ systems to have the ability to 
 33.2   use existing utility easements and public rights-of-way in order 
 33.3   to provide new and improved cable communications services made 
 33.4   possible by technological developments and to make changes to 
 33.5   the cables or related cable communication systems components. 
 33.6   Changing technology has caused and will continue to cause over 
 33.7   time the development of new cable communications services 
 33.8   requiring changing uses of existing utility easements and public 
 33.9   rights-of-way.  Cable communications ~~companies~~ systems have a 
 33.10  need to use existing utility easements and public rights-of-way 
 33.11  in order to deliver their services to the public.  The addition 
 33.12  of cable communications system components does not constitute an 
 33.13  unanticipated or added burden on the real estate subject to the 
 33.14  easements or public rights-of-way.  
 33.15     Sec. 22.  Minnesota Statutes 2002, section 238.35, 
 33.16  subdivision 4, is amended to read: 
 33.17     Subd. 4.  [RESTRICTIONS ON USE.] (a) As a condition of 
 33.18  using any utility easement, a cable communications ~~company shall~~ 
 33.19  ~~be~~ system is subject to any burdens, duties, or obligations 
 33.20  specified in the easement of the grantee of the easement.  
 33.21     (b) A cable communications ~~company shall restore the real~~ 
 33.22  ~~estate, and any landscaping or improvements thereon, to the~~ 
 33.23  ~~condition they were in prior to entry within 30 days of~~ 
 33.24  ~~completing the installation of the cables and related cable~~ 
 33.25  ~~communications system components upon that real estate and to~~ 
 33.26  ~~make changes to the cables or related cable communication~~ 
 33.27  ~~systems components.  Changing technology has caused and will~~ 
 33.28  ~~continue to cause over time the development of new cable~~ 
 33.29  ~~communications services requiring changing uses of existing~~ 
 33.30  ~~utility easements.  Restoration which cannot be completed during~~ 
 33.31  ~~the winter months must be accomplished as promptly as weather~~ 
 33.32  ~~conditions permit~~ system seeking to use public rights-of-way is 
 33.33  subject to the rights and obligations of sections 237.162 and 
 33.34  237.163, and any local right-of-way ordinance adopted under 
 33.35  those statutes.  
 33.36     Sec. 23.  Minnesota Statutes 2002, section 238.36, 
 34.1   subdivision 2, is amended to read: 
 34.2      Subd. 2.  [CABLE COMMUNICATIONS ~~COMPANY'S~~ SYSTEM'S 
 34.3   EQUIPMENT.] "Cable communications ~~company's~~ system's equipment" 
 34.4   means aerial wires, cables, amplifiers, associated power supply 
 34.5   equipment, and other transmission apparatus necessary for the 
 34.6   proper operation of the cable communications system in a 
 34.7   franchised area. 
 34.8      Sec. 24.  Minnesota Statutes 2002, section 238.39, is 
 34.9   amended to read: 
 34.10     238.39 [LEGAL AUTHORITY.] 
 34.11     Every pole, duct, and conduit agreement must contain a 
 34.12  provision that the cable communications ~~company~~ system shall 
 34.13  submit to the public utility company evidence of the cable 
 34.14  communications ~~company's~~ system's lawful authority to place, 
 34.15  maintain, and operate its facilities within public streets, 
 34.16  highways, and other thoroughfares and shall secure the legally 
 34.17  necessary permits and consents from federal, state, county, and 
 34.18  municipal authorities to construct, maintain, and operate 
 34.19  facilities at the locations of poles or conduit systems of the 
 34.20  public utility company ~~which~~ that it uses.  The parties to the 
 34.21  agreement shall at all times observe and comply with, and the 
 34.22  provisions of a pole, duct, and conduit agreement are subject 
 34.23  to, the laws, ordinances, and rules ~~which~~ that in any manner 
 34.24  affect the rights and obligations of the parties to the 
 34.25  agreement, so long as the laws, ordinances, or rules remain in 
 34.26  effect. 
 34.27     Sec. 25.  Minnesota Statutes 2002, section 238.40, is 
 34.28  amended to read: 
 34.29     238.40 [LIABILITY; INDEMNIFY PUBLIC UTILITY.] 
 34.30     (a) Every pole, duct, and conduit agreement must contain a 
 34.31  provision that the cable communications ~~company~~ system shall 
 34.32  defend, indemnify, protect, and save harmless the public utility 
 34.33  from and against any and all claims and demands for damages to 
 34.34  property and injury or death to persons, including payments made 
 34.35  under any worker's compensation law or under any plan for 
 34.36  employees' disability and death benefits, which may arise out of 
 35.1   or be caused: 
 35.2      (1) by the erection, maintenance, presence, use, or removal 
 35.3   of the cable communications ~~company's~~ system's cable, equipment, 
 35.4   and facilities or by the proximity of the cables, equipment, and 
 35.5   facilities of the parties to the agreement~~,~~; or 
 35.6      (2) by any act of the cable communications ~~company~~ system 
 35.7   on or in the vicinity of the public utility company's poles and 
 35.8   conduit system, in the performance of the agreement.  ~~Nothing~~ 
 35.9   ~~contained in this section relieves the public utility company~~ 
 35.10  ~~from liability for the negligence of the public utility company~~ 
 35.11  ~~or anyone acting under its direction and control.~~  
 35.12     (b) The cable communications ~~company~~ system shall also 
 35.13  indemnify, protect, and save harmless the public utility: 
 35.14     (1) from any and all claims and demands ~~which~~ that arise 
 35.15  directly or indirectly from the operation of the cable 
 35.16  communications ~~company's~~ system's facilities including taxes, 
 35.17  special charges by others, claims, and demands (i) for damages 
 35.18  or loss for infringement of copyright, (ii) for libel and 
 35.19  slander, (iii) for unauthorized use of television broadcast 
 35.20  programs, and (iv) for unauthorized use of other program 
 35.21  material~~,~~; and 
 35.22     (2) from and against all claims and demands for 
 35.23  infringement of patents with respect to the manufacture, use, 
 35.24  and operation of the cable communications equipment in 
 35.25  combination with the public utility company's poles, conduit 
 35.26  system, or otherwise. 
 35.27     (c) Nothing contained in this section relieves the public 
 35.28  utility company from liability for the negligence of the public 
 35.29  utility company or anyone acting under its direction and control.
 35.30     Sec. 26.  Minnesota Statutes 2002, section 238.43, 
 35.31  subdivision 1, is amended to read: 
 35.32     Subdivision 1.  [~~DEFINITION~~ REGIONAL CHANNEL ENTITY.] ~~For~~ 
 35.33  ~~the purposes of this section~~ "Regional channel entity" or 
 35.34  "entity" means an independent, nonprofit corporation to govern 
 35.35  the operation of the regional channel. 
 35.36     Sec. 27.  [REVISOR INSTRUCTIONS.] 
 36.1      (a) The revisor of statutes shall delete the words "shall 
 36.2   mean" and insert "means" where found in Minnesota Statutes, 
 36.3   section 238.02. 
 36.4      (b) The revisor of statutes shall change the term "cable 
 36.5   communications company" to "cable communications system" where 
 36.6   found in Minnesota Statutes, chapter 238. 
 36.7      (c) In Minnesota Statutes, section 238.18, subdivision 1, 
 36.8   the revisor of statutes shall delete paragraph (a) and renumber 
 36.9   paragraph (b) as section 238.02, subdivision 1b, and renumber 
 36.10  paragraph (c) as section 238.02, subdivision 34. 
 36.11     (d) In Minnesota Statutes, section 238.22, the revisor of 
 36.12  statutes shall renumber subdivision 6 as section 238.02, 
 36.13  subdivision 1a; subdivision 7 as section 238.02, subdivision 1c; 
 36.14  subdivision 8 as section 238.02, subdivision 1d; subdivision 10 
 36.15  as section 238.02, subdivision 21a; subdivision 11 as section 
 36.16  238.02, subdivision 28a; subdivision 12 as section 238.02, 
 36.17  subdivision 29a; subdivision 13 as section 238.02, subdivision 
 36.18  31a; and subdivision 14 as section 238.02, subdivision 31d. 
 36.19     (e) In Minnesota Statutes, section 238.36, the revisor of 
 36.20  statutes shall renumber subdivision 2 as section 238.02, 
 36.21  subdivision 3a; subdivision 3 as section 238.02, subdivision 
 36.22  20a; and subdivision 4 as section 238.02, subdivision 31b. 
 36.23     (f) The revisor of statutes shall renumber Minnesota 
 36.24  Statutes, section 238.43, subdivision 1, as section 238.02, 
 36.25  subdivision 31c. 
 36.26     Sec. 28.  [REPEALER.] 
 36.27     Minnesota Statutes 2002, sections 238.01; 238.02, 
 36.28  subdivisions 2, 17, 18, 19, and 25; 238.082; 238.083, 
 36.29  subdivisions 3 and 5; 238.084, subdivisions 2, 3, and 5; 238.12, 
 36.30  subdivision 1a; 238.15; 238.35, subdivisions 2 and 3; and 
 36.31  238.36, subdivision 1, are repealed.