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from: Kansas City Business Journal

Statewide video franchise bill advances in Missouri

Kansas City Business Journal
March 15, 2007

The Missouri House on Wednesday approved a bill to allow both telephone and cable companies to secure statewide video franchise agreements in Missouri.

The House passed the bill by a vote of 143-4. The proposed legislation will return to the Senate for a concurrence vote. The Senate passed the bill in February by a vote of 32-2.

If the Senate approves again, the bill goes to Gov. Matt Blunt.

Several lawmakers have lauded the proposed legislation as a way to increase competition in the state's cable TV market.

Currently, cable and telecom companies must negotiate individual franchise agreements with local governments to provide video service to an area. Telecom companies, primarily AT&T Inc., have asserted that the process is too time intensive. AT&T has applied for franchise agreements with 107 municipalities in Missouri since last year. So far, the company has secured agreements with seven of those municipalities, AT&T spokesman Kerry Hibbs said.

Kansas lawmakers passed similar legislation last year. Missouri legislators also proposed a statewide video franchise law in 2006, but the bill died in the Senate.