FCC Defends LFA Order in Challenge Before 6th Circuit
The FCC's definition of a cable franchise fee in its 2019 local franchise authority order sits squarely within the Communications Act's framework, and franchising authorities can still require public, educational and government channel access and institutional networks in franchises, though…
Sign up for a free preview to unlock the rest of this article
Communications Daily is required reading for senior executives at top telecom corporations, law firms, lobbying organizations, associations and government agencies (including the FCC). Join them today!
the value of those obligations will count against the franchise fee cap. That's what the commission told the 6th U.S. Circuit Court of Appeals in a reply brief (in Pacer, docket 19-4161) Monday. Citing the franchise fees preemption in the order, the FCC said cable franchise fees paid by the cable operator already compensate the franchising authority for rights-of-way use to operate a cable system that can provide non-cable services, so requiring payment of a second fee for ROW access is contrary to law. The agency is facing a consolidated challenge of the LFA order (see 1909120028). Counsel for the consolidated petitioners didn't comment Tuesday.