0
Protecting Community Television Act
3/11/2024, 7:32 PM
Summary of Bill S 340
The bill specifically aims to protect the funding that community television stations receive from cable providers. These funds, known as franchise fees, are crucial for the operation of these stations and help them to produce local news, public affairs programs, and other content that is important to their viewers.
In recent years, there has been concern that changes in the way cable providers are regulated could result in a decrease in funding for community television stations. The Protecting Community Television Act seeks to address this issue by clarifying that cable providers must continue to pay franchise fees to support these stations. Overall, the goal of Bill 118 s 340 is to ensure that community television stations are able to continue serving their communities and providing important programming. By protecting their funding, this bill aims to preserve the valuable role that these stations play in local media and democracy.
Congressional Summary of S 340
Protecting Community Television Act
This bill limits the scope of the franchise fee paid by cable operators to encompass only a tax, fee, or other monetary assessment. (This fee is charged by a state or local authority for a franchise that a cable operator must obtain in order to provide its services in a particular area.)
Historically, the franchise fee, which is capped at 5% of the franchise holder's gross revenues from providing cable services, did not include certain in-kind contributions and other costs, including some costs that support public, educational, and governmental (PEG) access channels. However, under a rule adopted on August 1, 2019, the Federal Communications Commission included most cable-related in-kind contributions and costs for PEG channels (except for certain capital costs) paid by new entrants and incumbent cable operators as part of the franchise fee, and therefore subject to the cap. This bill excludes those contributions and costs from the cap.
