Bill would offer choices

Opponents were worried the bill would lead to decreased revenues.

By MARC KOVAC

VINDICATOR CORRESPONDENT

COLUMBUS — Lawmakers approved amended legislation creating statewide licensing requirements for cable television providers.

The Ohio House version of Senate Bill 117 represents compromises among local governments, cable providers and customers and replaces an existing system that is cumbersome, outdated and strangles new technology and investments, said Rep. John Hagan, a Republican from Alliance and chairman of the Public Utilities Committee.

“This bill will allow consumers to have a choice,” he said. “Consumers want video choice. Senate Bill 117 will open the door to competition by encouraging new providers to enter the market, bringing more choices, innovation and better products and services to Ohio consumers.”

The bill

The bill, which passed the state Senate last month by a vote of 29-4, would create a statewide franchising system for cable services, authorized by the Director of Commerce and superseding local franchising authority (and prohibiting the renewal or extension of existing agreements). Such agreements currently are negotiated at the local level.

Sponsoring Sen. Jeff Jacobson, a Republican from the Cincinnati area, earlier said the legislation was needed to allow new providers into the market. During earlier committee testimony, proponents, including AT&T, said the bill would improve competition and consumer choice in the state.

“To date, there has been only minimal competitive entry by telephone companies into Ohio’s facilities-based video programming market, in part, because local franchise requirements may present barriers to entry,” according to an analysis conducted by the state’s Legislative Service Commission. “Increased competition in the provision of video service will provide new and more video programming choices for consumers, and new providers have stated their desire to supply that service.”

Opponent concerns

Opponents, including a number of local governments who negotiated cable contracts and related fees for their communities, were worried the bill would lead to decreased revenues and public access channels, fewer local access channels and less local control.

The original bill was amended to address concerns over right of way, enforcement and revenue issues and changed provisions related to public, educational and governmental programming channels.

The final vote Thursday was 92-2, with Rep. Tom Brinkman Jr., a Republican from Cincinnati, and Rep. Jeff Wagner, a Republican from Sycamore, opposing. It next will return to Senate for concurrence.

mkovac@dixcom.com