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Legislative Correspondence March 21, 2006 VIA Email and 1st Class Mail ((Emai!>> ((CompleteOFFI CIALName _Add ress>> Re: SF 2361 - Statewide Cable Franchise Dear ((Title>> ((Las!>>, I am writing to encourage you to oppose Senate File (SF) 2361 regarding the creation of a statewide cable franchise. This bill as proposed would establish a Statewide Communication franchise and would eliminate any existing municipal franchise agreements and replace them with a State Franchise Agreement. Included in the bill's language are a number of issues that raise concerns over the ability to protect consumers and maintain competition. SF 2361 would create bad public policy and eliminate local municipalities' ability to protect consumers, address citizen concerns and it would conflict with the concept of home rule. The City of Dubuque recently completed a very difficult and costly franchise renegotiation. Our new 15-year franchise agreement includes certain provisions that will meet the unique, local telecommunication needs of the Dubuque community. Should the State pass SF 2361, these local needs would be lost to a process that would create a generic state franchise agreement that would not take into consideration the particular needs of a community. In addition, the current Franchise Agreement allows municipalities to receive compensation for the use of the public rights-of-way through franchise fees. However, in SF 2361, the definition of gross revenues has been written so non- subscriber revenue such as advertising is not subject to franchise fees for the telecommunication providers, which is inconsistent with existing cable franchise agreements. Based upon the above information, I encourage you to oppose SF 2361. Thank you for your continued efforts on behalf of cities. Sincerely, Michael C. Van Milligen City Manager MCVM:cs Cc: Mayor Roy D. Buol Dubuque City Council Susan Judkins, Director of Governmental Affairs, Iowa League of Cities Barry Lindahl, Corporation Counsel Cindy Steinhauser, Assistant City Manager Dave Heiar, Economic Development Director Randy Gehl, Public Information Officer Craig Nowack, Cable Franchise Administrator The Honorable Mike Connolly Senate Chamber Iowa Capitol Building Des Moines, IA 50319 The Honorable Tom Hancock Senate Chamber Iowa Capitol Building Des Moines, IA 50319 The Honorable Roger Stewart Senate Chamber Iowa Capitol Building Des Moines, IA 50319