2005-089e
RESOLUTION NO. 2005-089
RESOLUTION OPPOSING PROPOSED CHANGES
TO FEDERAL TELECOMMUNICATIONS LAWS
At a regular meeting of the Town Board of the Town of Wappinger, Dutchess County,
New York, held at Town Hall, 20 Middlebush Road, Wappingers Falls, New York, on the 27th
day of June, 2005, at 7:30 P.M.
The meeting was called to order by Joseph Ruggiero, Supervisor, and upon roll being
called, the following were present:
PRESENT: Supervisor
Council Members
ABSENT:
Joseph Ruggiero
Joseph P. Paoloni
Robert L. Valdati
Vincent F. Bettina
Maureen McCarthy
The following Resolution was introduced by Ms. McCarthy and seconded by
Mr. Paoloni
WHEREAS, it has come to the attention of the Town Board of the Town of Wappinger
that the United States House of Representatives is considering legislation that may threaten local
cable and telephone franchises; and
WHEREAS, the proposed legislation being considered by the United States House
Telecommunications Subcommittee may preempt local cable and telephone franchises and fees
in order to aid telephone companies to rapidly provide nationwide cable service; and
o:\Wappinger\Town Board/Resolutions\Opposing Changes to Federal Communications Laws
FINAL
WHEREAS, the proposed revision of the Federal Telecommunication Laws would
appear to impact upon telephone companies which are seeking to provide cable service which
_would include video, voice an data services over one wire; and
WHEREAS, various cable providers have taken the position that in the event of a
revision of the Federal Telecommunications Laws occurs, said revisions should also apply to
them, which could presumably lead to the cable companies being relieved of existing franchise
obligations; and
WHEREAS, the current cable franchises and fees may be at risk in the event that Federal
Telecommunications Laws are revised; and
WHEREAS, the Town of Wappinger currently has a cable franchise agreement with
Cablevision Inc. that includes cable franchise fees that may be at risk in the event that the
Federal Telecommunications Laws are revised.
NOW, THEREFORE, BE IT RESOLVED, as follows:
The recitations above set forth are incorporated in this Resolution as if fully set
forth and adopted herein.
2. The Town Board of the Town of Wappinger hereby determines that it is in the
best interest of its citizens to oppose the proposed changes to the Federal Telecommunications
Laws as proposed and currently being considered by the United States House of Representatives.
3. The Town Clerk is hereby authorized to send a copy of this Resolution to Senator
Charles Shumer, Senator Hillary Clinton and Congresswoman Sue Kelly.
The foregoing was to a vote which resulted as follows:
put
JOSEPH RUGGIERO, Supervisor
Voting
JOSEPH P. PAOLONI Councilman _..._
s
- Voting
ROBERT L. VALDATI, Councilman
Voting
VINCENT F. BETTINA, Councilman
Voting
MAUREEN MCCARTHY, Councilwoman
Voting
Aye
.Aye_. __. _.
Aye
Aye
Aye
Dated: Wappingers Falls, New York The Resolution is hereby duly declared adopted.
27, June , 2005
PIN C. S SON , TOWN CLERK
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3 PR g
OF
VANN.,
DDE DTi ATTORNLYS AT LAW
BRIDGEWATER PLACE • POST OFFICE BOX 352
GRAND RAPIDS, MICHIGAN 49501.0352
TELEPHONE 616 / 336.6000 • FAX 616 / 336.7000 • WWW .VARNUMLAW .COM/CABLE
JAMES N. DEBOER, JR.
TERESA S. DECKER
DAVID E. PRESTON
KENT J. VANA
LAWRENCE P. BURNS
JEFFREY W. BESWICK
DONALD L. JOHNSON
MATTHEW D. ZIMMERMAN
ELIZABETH JOY FOSSEL
DANIEL C. MOLHOEK
WILLIAM E. ROHN
JOAN SCHLEEF _
TIMOTHYJ.CURTIN
JOHN PATRICK WHITE
SCOTT A. HUIZENGA
DIRK HOFFIUS
CHARLES M. DENTON
KATHLEEN P. MAINE
THOMAS J. BARNES
JEFFREY D. SMITH
JEFFREY J. FRASER
RICHARD A. KAY
MARK L. COLLINS
RICHARD D. FRIES
LARRY J. TITLEY
JONATHAN W. ANDERSON
JAMES R. STADLER
FREDRIC A. SYTSMA
CARL OOSTERHOUSE, P.C.
RICHARD R. SYMONS
JOHN W. ALLEN
WILLIAM J. LAWRENCE III
RONALD G. DEWAARD
JACK D. SAGE
SUSAN M. WYNGAARDEN
ANDREW J. KOK
JEFFREY L. SCHAD
KAPLIN S. JONES, P.C.
PATRICK A. MILES, JR.
JOHN W. PESTLE
STEPHEN P. AFENDOULIS
ERIC). GUERIN
FRANK G. DUNTEN, P.C.
DAVID E. KHOREY
STEVEN J. MORREN
NYAL D. DEEMS
MICHAEL G. WOOLDRIDGE
KEVIN ABRAHAM RYNBRANDT
RICHARD A. HOOKER
TIMOTHY J. TORNGA
THOMAS G. KYROS, P.C.
RANDALL W. KRAKER
PERRIN RYNDERS
ALFRED L. SCHUBKEGEL, JR.
PETER A. SMIT
MARK S. ALLARD
PAMELA J. TYLER
MARILYN A. LANKFER
TIMOTHY E. EAGLE
JON M. BYLSMA
G. MARK MCALEENAN, JR.
DAVIDA. RHEM
JOSEPH B. LEVAN
THOMAS L. LOCKHART
DONALD P. LAWLESS
DALE R. RIETBERG
BRUCEGOODMAN
MICHAEL S. MCELWEE
HARVEYKONING
JOSEPH) VOGAN
JACQUELINE D. SCOTT
ANTHONY R. COMDEN
ERIC J. SCHNEIDEWIND
N. STEVENSON IENNE17E III
BEVERLY HOLADAY
LAWRENCE J. MURPHY
PETER J. Liv INGSTON
ERIC C. FLEETHAM
JOHN W. PESTLE
WEB SITE www.vamumlaw.conVeable
JUN' 0 G 200117)
PAMELA EMENHEISER
DAVID K. PORTER
COUNSEL
RICHARD A. SAMDAL
KRISTEN M. BEUTLER
TERRANCE R. BACON
DEBORAH L ONDERSMA
KEVIN R. SCHAAF
DENNIS M. DEVANEY
SCOTT D. ALF REE
MELISSA B. PAPKE
MICHAEL W. DONOVAN
ANNETTE D. NICKEL
TIMOTHY]. LUNDGREN
RANDALL J. GROENDYK
STEPHANIE R. SETTERINGTON
AARON M. PHELPS
BRUCE R. GRUBB
BRYAN R. WALTERS
BRETT A. RENDEIRO
ELIZABETH A. JAMIESON
DEAN F. REISNER
JEFFREY J. CANFIELD
KEVIN C. O'MALLEY
PAUL M. MORGAN
ALLISON C. REUTER
RICHARD D. RATHBURN
KIMBERLY A. CLARKE
CHRISTOPHER J. CALDWELL
JOLENE C. SHELLMAN
CHRISTOPHER M. FOWLER
ERIC W. BREDEMEIER
ELIZABETH WELLS SKAGGS
CHARLES N. ASH, JR.
SCOTT J. HILL
DONALD SNIDE
MARK E. HILLS
KRISTA A. HOEKSTRA
JENNIFER J. STOCKER
JOSHUA M. WALLISH
BARBRA EVANS HOMIER
JOHN A. WATERS
CHRISTOPHER M. BROWN
JOSHUA VOIGHT VAN HOVEN
OF COUNSEL
PETER G. ROTH
BRION B. DOYLE
EUGENEALKEMA
MARY KAY SHAVER
KATHRYN D. HUSKEY
PETER ARMSTRONG
JUDE W. PEREIRA
PAUL J. GREENWALD
BRUCE A. RT
KIMBERLY BABER
JASON L. BUDD
JOHN ARLYLE
ADAMJ.BRUUY
THOMAA S GG. ,DE DEMLING
KURT M. GRAHAM
JON F.
STEVE S. KLUTING
ROBERTT DD. . KULULLCREN
CYNTHIA WARREN
J. TERRY MORAN
CHRISTOPHER J. DURA
H. EDWARD PAUL
DARREN MALEK
F.
HILAELL
MATTHEW B. EUGSTER
CARL E ER BE
CA RL E. VER BEEK
DIRECT DIAL 616/336-6725
E-MAlLjwpestle@vamumlaw.com
MEMORANDUM
TO: Municipalities /4'
���
i� `
FROM: John Pestle, Pat Miles, Tim Lundgren
RE: Federal Threat to Cable and Telephone Franchises, Fees, Cell Tower Zoning - Email Alert
DATE: May 12, 2005
Representativet' ilsi considering legislatiottwhich threatens kcal
.. mss, .._:m
cable `Y :: .16 the, -its of way. ,. Local zoning of cellular; towers, hay
be w s we have done in the past, we will be alerting municipalities about the legislation,
actio they should take,`letteit io,vwn-te Congress to preserve franchising and their rights, and the like:
l'ese sign up ori.line at,.vainumlaw.com/cable/newsletter or return the`attached form to receive
our email alerts about this Federal legislation and our new cable and telecommunications newsletter by
email. Mailing alerts by regular mail is simply too slow and expensive. The newsletter will also cover
topics such as the proposed sale of all Adelphia and many Comcast, Time Warner, and Cox cable systems
nationwide to other companies.
Federal Legislation Preempting Franchises: The U.S. House Telecommunications Subcommittee J
considering legislation which will likely preempt local cable and telephone franchises and fees in order to ai
telephone companies to rapidly provide cable service nationwide. Although the Subcommittee will not have
GRAND RAPIDS • LANSING • KALAMAZOO • GRAND HAVEN • NOVI • MILWAUKEE
�HOWLETT
RIDDERING SCHAII"r
ATTR KYS AT LAW �
bill before it until late May, its preferred solution is clear: A rewrite of Federal telecommunications laws to
have one set of national rules for phone companies providing video (cable), voice, and broadband service,
and in the process to largely preempt state cable and telephone franchising. For example, the Chair of the
House Commerce Committee is saying there has to be one "Federal policy with Federal rules" and not "rules
set by thousands of local franchising authorities" for companies providing these services, and several
Representatives spoke in favor of a national cable franchise, presumably administered by the FCC.
Congress is responding to the phone companies which are starting to provide cable service so they
can offer a package of video, voice, and data services over one wire. The phone companies claim that
having to get local cable franchises is one of the biggest roadblocks to their being able to quickly enter the
cable business, hence the proposal for a national cable franchise administered by the FCC. Cable companies
have said that if new legislation occurs, it should apply to them as well, and presumably they should be
relieved of existing franchise obligations. Thus, current cable franchises and fees are at risk as well as new
franchises for telephone companies providing cable service.
This legislation will move very quickly — Congressional leaders want it through the relevant
committees and on the House floor by August.
Municipalities need to promptly contact their U.S. Representative about the legislation — see sample
letter attached. Electronic copies are on our website www.vamumlaw.com/cable. Our email alert and
newsletter will keep you up to date on new developments as this legislation progresses, so you can contact
Lannels;
ur Representative and Senator to preserve local franchising; fees; public, government, and education
control of the rights of way; and the like.
Cellular Tower Zoning: Cellular industry publications state that if there is telecommunications
legislation this year, the cellular industry will push for restrictions or preemption of local zoning of cellular
towers. Municipalities were largely successful in preserving local zoning over cell towers ten years ago, in
the 1996 Federal Telecommunications Act. They will need to be active to preserve their rights this year.
Cable Systems Systems BeingSold: Many cable systems nationwide are being sold. Typically, a
municipality has the right to review a proposed sale and condition it if its cable franchise so provides.
Municipalities do this to make sure they and their residents are no worse off after the sale than before, and to
make sure outstanding violations and issues are addressed before the sale takes place. In a key decision,
Federal Courts have rejected claims that municipalities cannot do this. However, generally a municipality
has only 120 days to act on a proposed sale. Normally cable companies reimburse municipalities for the
costs (including attorney's fees) and expenses associated with reviewing a proposed sale.
Cable systems currently being sold include:
• All Adelphia systems
• Cox systems in Texas, Oklahoma, and Arkansas
• Many Comcast systems nationwide
• Many Time Warner systems nationwide.
2
VDDERNUDT HOMVLETT
,
.
s
ATTORNEYS AT LAW
We have represented over 100 municipalities in connection with sales of their cable systems. Our
email alerts and newsletter will provide information on the proposed cable system sales. A paper on
municipal rights in such sales is available on our website at www.vamumlaw.com/cable.
Email newsletter: Although our mailings will continue on selected items, they will be cut back.
Emailed newsletters and alerts are the only effective means to communicate on issues where timing is
important, such as on Federal legislation or cable transfers (where as noted above there is a very short
window of opportunity for municipalities to act).
Please return the attached form or sign up on our website at www.varnumlaw.com/cable/newsletter to
receive our email newsletters and alerts.
If you have any questions, please call John Pestle, Pat Miles, or Tim Lundgren at (616) 336-6000.
1119259_ 1.DOC
t
t
FEDERAL CABLE LEGISLATION EMAIL ALERT,
CABLE/TELECOM NEWSLETTER
Please send me your email alerts and your newsletter on cable and telecommunications matters
from a municipal perspective. They will cover items such as:
• Federal legislation to preempt or limit cable and telephone franchises, fees, channels for local
schools and governments, control of the rights of way and the like.
• Proposed sales of cable systems to new companies, where municipalities can often benefit
themselves and their citizens by carefully reviewing the proposed sale.
• Any Federal legislative proposals to restrict local zoning of cellular towers.
We are only providing our email alerts and newsletters to municipalities and their attorneys, nox
to telephone or cable companies or their attorneys. To sign up and indicate you meet this requirement,
please complete this form and fax or mail it to us. Alternatively, sign up for the alerts and newsletter
online at www.vamumlaw.com/cable/newsletter.
0 I am a municipal official
❑ I am counsel for a municipality
CONTACT INFORMATION
Municipality/Firm:
Name:
Title:
Address:
Cable Company (optional)
Phone:
E-mail:
Fax:
(Comcast, Cox, Time Warner, etc)
To receive email alerts and newsletter:
• Sign up online at www.varnumlaw.com/cable/newsletter
• Fax this form to Barbara Allen at 616-336-7000, or
• Mail or email it to
Barbara Allen
Varnum, Riddering, Schmidt & Howlett LLP
P.O. Box 352
Grand Rapids, MI 49501-0352
Phone: 616-336-6743; Fax: 616-336-7000
baallen()vamumlaw.com
1118998_2.DOC
**Be sure and send copies as indicated—these are key legislators on this legislation**
**Send copies to municipal groups as indicated so they can follow up**
**Fax or email copies—Security screening delays mailed letters**
"This letter, as well as TX, IL, OH and MI versions of letter are at**
www.varnumlaw.com/cable
The Honorable
House Office Building
Washington, DC 20515
Dear Representative
[your U.S. Representative]
via mail and facsimile
Please preserve cable franchising, localism and fees paid by cable and telephone
companies in any rewrite of our telecommunications laws to address Internet Protocol (IP)
services. The fact that Internet Protocol technology can be used to provide a cable like video
service does not change the fact that to the customer it is like conventional cable service and is
provided over wires located in the public rights of way. We still need to protect our streets, and
our residents need the benefits and protections provided by cable franchises. These provisions
can only be enforced locally, not by some bureaucrat in Washington.
Currently cable -type companies must obtain franchises from each municipality they
serve. Both we and our residents need the protections cable franchises provide. For example
franchises:
• Prohibit redlining or similar discrimination, and require all areas with a certain number of
homes per mile to be served, and served promptly (no long delays in serving minority
areas)
• Ensure that we can manage the streets so that all types of users (cars, pedestrians,
utilities) can use them with the least amount of interference with other users, including
compliance with safety codes. These provisions are tailored to our local situation.
• Require providers to repair streets they harm, and relocate lines at their expense when
streets are straightened or widened.
• Require bonds, insurance and other security so our city and residents are protected if the
provider causes damage or (in a competitive environment) goes out of business.
• Require cable channels (miniature C-SPANs) for local units of government, schools, and
public access and funding from the cable company to support such channels.
• Provide compensation (franchise fees) to our municipality for the provider's use of public
property, and audits to ensure the correct amount is paid
• Set forth customer service protections and enforcement mechanisms, including having
our municipality resolve customer disputes when problems arise.
• Require the carriage of local emergency alerts which are not carried on the federal
emergency alert system.
Page 2
These types of provisions have been in cable franchises for 50 years, work well, are
needed, and must be continued. For example,, we _still, .have to, managethe rights of way,_ no
matter what technologies are used in wires placed there. Through the franchising process, we are
able to prevent redlining and assure that all our residents get cable service (excluding only thinly
populated areas). We determine how many channels and what funding are needed for
government, education and public channels, and whether and when such channels should be
shared or reallocated. Similarly, we set and enforce customer service provisions based on our
situation and the problems our citizens tell us they are having—from not answering the phone on
time to leaving the cable drop to the house lying on the ground where people can trip on it.
We set these franchise terms so they meet our unique, local situation. There is no
national "one size fits all". Similarly, enforcement of these provisions has to be local—the
provisions are essentially meaningless if we or a customer has to go to the FCC in Washington to
enforce them. The FCC cannot manage local rights of way, inspect a street the cable company
dug up and poorly repaired, or help a customer who has been overcharged or denied service.
Having two companies (cable company and now the phone company) providing cable
service does not remove the need for these provisions because having two near monopoly
suppliers is not real competition. For example, real competition in cell phone rates and service
only occurred in the last few years when the number of providers expanded beyond the initial
two providers. And competition does not remove the need for municipalities to manage the
rights of way, prevent redlining, have government channels, provide for local emergency alerts,
and receive franchise fees, etc. So IP technologies do not remove the need for the city, consumer
and public protections that franchises provide.
Overall, IP is simply the latest in a series of technologies that providers have used. In the
1950's and 60's they had 8 -channel systems using vacuum tubes and analog technologies to
provide "I Love Lucy" and local TV stations. With IP you will still have local TV stations, and
"I Love Lucy" as a rerun. IP providers still use the streets for their wires—in fact, the phone
companies will have to replace many of their lines in the streets to provide IP services. So with
IP the basic nature of cable TV and need for local franchises is the same, even though the
technology is improved.
Many of these cable type franchise protections are needed for IP broadband service, such
as cable modem service, as well. For example, the only reason broadband services are broadly
available in many communities is because the main provider is the cable operator, and that
company's cable franchise typically requires it to provide service throughout the community. By
contrast, some phone companies such as SBC are proposing to construct their broadband system
so as to provide services to only a portion (50%-60% of residents) in the communities they serve.
Such redlining is not acceptable. Just as with cable, municipalities must be able to prevent
redlining and make sure that the information superhighway, just like regular highways, is
available to all their residents.
Page 3
Similarly, in many states telephone companies obtain local franchises and permits and
pay fees and taxes at the state and local level on their services. These approvals and payments
need to be continued, so that all telephone companies are treated alike, whether or_ not, they
provide Internet Protocol services.
For these reasons, we ask you to support the continuation of cable -type franchising for
cable and broadband services and the fees currently paid by telephone companies.
Sincerely,
cc: The Honorable Joe Barton fax 202-225-3052
2109 Rayburn House Office Building
Washington, DC 20515-4306
The Honorable Fred Upton fax 202-225-4968
2161 Rayburn House Office Building
Washington, DC 20515-2206
The Honorable John Dingell fax 202-226-0317
2328 Rayburn House Office Building
Washington, DC 20515-2215
The Honorable Edward Markey fax 202-226-0092
2108 Rayburn House Office Building
Washington, D.C. 20515-2107
The Honorable Ted Stevens fax 202-224-2354
522 Senate Hart Office Building
Washington, DC 20510-0201
The Honorable Daniel Inouye fax 202-224-6747
722 Senate Hart Office Building
Washington, DC 20510-1102
The Honorable Conrad Burns fax 202-224-8594
187 Senate Dirksen Office Building
Washington, DC 20510-2603
The Honorable
Senate Office Building
Washington, DC 20510
[your U.S. Senator] fax 202-
0
Page 4
The Honorable
Senate Office Building _
Washington, DC 20510
bc: Ms. Cheryl Leanza
Principal Legislative Counsel
National League of Cities
1301 Pennsylvania Avenue NW
Suite 550
Washington D.C. 20004
Ms. Elizabeth Beaty
Executive Director
NATOA
1800 Diagonal Road
Suite 495
Alexandria, VA 22314
Mr. Jeffrey Arnold
[your other U.S. Senator] fax 202 -
Deputy Legislative Director
National Association of Counties
440 First Street, N.W.
8th Floor
Washington DC 20001
Mr. Ron Thaniel
Assistant Executive Director
U.S. Conference of Mayors
1620 I Street
Fourth Floor
Washington, DC 20006
Mr. John Pestle
Vamum, Riddering, Schmidt, Howlett LLP
Bridgewater Place
Box 352
Grand Rapids, MI 49501-0352
Ms. Sona Pancholy
Associate Counsel
International Municipal Lawyers Assoc
1110 Vermont Ave, NW
Washington, D.C. 20005
1113876_1.DOC
VUMAn c v
RNpT NV\VLETT
11
V.
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DERING SCHaIi
ATTORNEYS AT LAS
BRIDGEWATER PLACE • POST OFFICE BOX 352
GRAND RAPIDS, MICHIGAN 49501.0352
TELEPHONE 616 1336-6000 • FAX 616 /336-7000 • W W W. VAMUMLAW.COM/CABLE
MODEL DOCUMENTS AVAILABLE
Varnum has represented over 200 municipalities in many states on a range of cable and
telecommunications matters. We have the following model documents available. For detailed
information on any of them, check the box and return the form to us in any of the following ways`.
• Call Barb Alien at (616) 336-6743
• Fax this form back and we will fax detailed information, or
• Visit our website at www.varnumlaw.com/cable
The model documents are:
13 Short Form Model Cable franchise (generally for smaller municipalities)
11 Long Form Model Cable franchise (generally for larger municipalities)
11 Model Cellular Tower Lease with protections against bankruptcy of the cellular provider in
three versions (new tower; antenna on existing building, water tower; antenna on
communications tower)
❑ Model Cellular Zoning Ordinance to help regulate the zoning of the 125,000 new cellular
towers that are planned nationwide.
❑ Model Cable Customer Service Ordinance to provide meaningful enforcement of the
FCC's cable customer service rules and enhancements to better meet municipal needs,
MUNICIPAL INFORMATION
Municipality/Firm:
Name:
Title:
Address:
Phone: Fax:
E-mail:
Please mail or fax this form to the attention of Barb Allen at Varnum, Riddering, Schmidt HowlettLLP
333 Bridge Street, NW
P.O. Box 352
Grand Rapids, MI 49501-0352
Phone: 616-336-6743; Fax: 616-336-7000
baallen(@vamumlaw.com
05/05
1120363 1.DOC