Franchise agreements may include:

1.  Provisions for public, educational and government (PEG) access channels on the local cable system;
2.  Broadband internet access for the community, such as content sites or the anchor of a wireless network to serve the community;
3.  Facilities and equipment for media production;
4.  Wiring for institutional sites such as libraries and municipal buildings;
5.  Financial support specifically for the purposes of operating the above; and
6.  Capacity for Voice-over -Internet Protocol (VoIP) as cable companies become telephone service providers.

Current Agreements and the Cable Franchise Board

In Indianapolis, Comcast Cablevision and Bright House Networks choose to operate as monopolies in competition-free zones, a practice that results in enormous profit for the cable companies and higher prices for customers. Current franchise agreements for Indianapolis do not include provisions for public access TV.

The city's Cable Franchise Board monitors the activities of the providers to see that customer complaints are handled quickly and fairly, that service interruptions are restored promptly, and that the providers abide by the terms of the franchise agreement contract. The Cable Franchise Board also oversees the negotiation of franchise agreements.

Cable franchise agreements have a long life. The current franchise agreements for Indianapolis were negotiated for 12 years beginning August 1996. The next agreements are likely to cover a similar period of time.

The Franchise Renewal Process

Thirty to thirty-six months before the end of their current contracts, cable providers give a city notice if they would like to renew their franchise agreements under the provisions of federal law. Federal law governs a formal process for franchise renewal that limits the reasons that a city can deny contract renewal.

The city is required to undertake a needs assessment study and performance review within six months of receiving this formal notice. The needs assessment study identifies the demand and requirements for public, education and government access TV channels as well as the community's other current and future communication needs. The data and insight gleaned from the needs assessment survey is vital to support a claim of community need for public access TV channels, for example. A city can deny renewal of a franchise agreement if the cable company can not or will not meet current and future community-related needs (with consideration given to cost), or if the cable company has substantially failed to fulfill its obligations under its current contract.

The majority of contracts are renegotiated through an informal procedure in which both parties make offers and counteroffers until an agreement is reached. This process can begin anytime after formal notice is given. If the informal procedure does not result in a contract, the city presents the findings of its surveys and performance reviews to the provider and demands that the provider submit an official renewal offer. Once an official offer is submitted, the city has a four-month window in which to accept or reject the proposal.

The Opportunity for Public Input

In Indianapolis, the cable franchise renewal process will begin sometime after August of this year-three years before the cable providers' contracts expire in 2008.

An active and organized community can influence the franchise agreements by

1.  Attending Cable Franchise Board Meetings;
2.  Developing an understanding of the applicable local laws, the current agreements, and the needs of the community; and
3.  Communicating with the franchise board, the City-County Council, and the mayor?s office about the importance of community access.

The IndyGov website at www.indygov.org provides access to Mayor Bart Peterson and members of the City-County Council as well as current franchise agreements and meetings and minutes of the Cable Franchise Board.

Additional information on the renewal process is available at www.freepress.net/defendlocalaccess/.

Kurt Johnson is a retired CPA, a writer, a farmer, and a lifelong dissenter. He advocates avoiding all media until it becomes less like nuclear radiation and more like sunshine.

Additional Resources:

Chart:  Outcomes of Recent Cable Franchise Renewals, by The Buske Group (Adobe pdf)

Community Cable Cookbook: A Citizen's Guide to Cable Franchise Negotiations, by the Center for Digital Democracy

Conducting a Community Needs Assessment by The Buske Group (Adobe pdf)

Overview of the Cable Television Franchise Renewal Process by the Buske Group (Adobe pdf)

Leveling the Playing Field for Cable-TV Franchise Renewal, from Public Management Magazine, December 2003, by Jonathan Kramer

Franchise Renewal: Answers to Frequently Asked Questions About Renewal, 2004 NATOA Annual Conference, by Brian T. Grogan of Moss & Barnett

PEG Issues In the New Digital World, presentation at the TATOA 2005 10th Annual Conference, September 2005, by Joseph Van Eaton of Miller & Van Eaton, P.L.L.C.. Includes information on the impact of state franchising in Texas. (Microsoft PowerPoint)

Seattle's Cable Franchise Renewal home page

Federal Efforts to Restrict Local Right-of-Way Franchising and Franchise Fees, by Nicholas P. Miller at Nevada League of Cities and Municipalities 46th Annual Conference, Las Vegas, Nevada, October 15, 2005 (Microsoft PowerPoint)

The Formal Cable Renewal Process: Reaching the Light at the End of the Tunnel, NATOA: Journal of Municipal Telecommunications Policy, Fall 2004, Volume 12, Issue 3 (Adobe pdf)

Cable Franchise Renewal and Local Right of Way Management, by James N. Horwood of Spiegel & McDiarmid, 1998