15103189D
HOUSE BILL NO. 2325
Offered January 22, 2015
A BILL to amend and reenact §56-466.1 of the Code of
Virginia, relating to attachments to a public utility's poles by broadband
service providers.
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Patron-- Minchew
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Committee Referral Pending
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Be it enacted by the General Assembly of Virginia:
1. That §56-466.1 of the Code of Virginia is amended and
reenacted as follows:
§56-466.1. Pole attachments; access by broadband service
providers.
A. As used in this section:
"Broadband service
provider" means any person that provides
information services, as such term is defined in subdivision 24 of 47
U.S.C. §153, to
consumers through authenticated
access to, or presence on, the Internet by means of a switched or dedicated
telecommunications channel upon which the provider provides transit routing of
Internet protocol packets for and on
behalf of the consumer. "Broadband service
provider" includes a person
that offers a
content-neutral broadband service and
that does not offer its own voice or video services.
"Cable television system" means any system licensed,
franchised or certificated pursuant to Article 1.2 (§15.2-2108.19 et seq.) of
Chapter 21 of Title 15.2 that transmits television signals, for distribution to
subscribers of its services for a fee, by means of wires or cables connecting
its distribution facilities with its subscriber's television receiver or other
equipment connecting to the subscriber's television receiver, and not by
transmission of television signals through the air.
"Electric cooperative" means a utility services
cooperative formed under or subject to Article 1 (§56-231.15 et seq.) of
Chapter 9.1.
"Pole attachment" means any attachment by a cable
television system, broadband service provider,
or provider of telecommunications service to a pole, duct, conduit,
right-of-way or similar facility owned or controlled by a public utility.
"Public utility" has the same meaning ascribed
thereto in §56-232, provided that it shall
include any electric cooperative.
"Rearrangement" means work performed at the request
of a telecommunications service provider, broadband service provider,
or cable television system to, on or in an existing pole, duct, conduit,
right-of-way or similar facility owned or controlled by a public utility that
is necessary to make such pole, duct, conduit, right-of-way, or similar
facility usable for a pole attachment. "Rearrangement" shall include
replacement, at the request of a telecommunications service provider, broadband service provider, or
cable television system, of the existing pole, duct, conduit, right-of-way, or
similar facility if the existing pole, duct, conduit, right-of-way, or similar
facility does not contain adequate surplus space or excess capacity and cannot
be rearranged so as to create the adequate surplus space or excess capacity
required for a pole attachment.
"Telecommunications service provider" means any
public service corporation or public service company that holds a certificate
of public convenience and necessity to furnish local exchange telephone service
or interexchange telephone service.
B. Upon request by a telecommunications service provider, broadband service provider,
or cable television system to a public utility, both the public utility and the
telecommunications service provider, broadband service provider,
or cable television system shall negotiate in good faith to arrive at a
mutually agreeable contract for attachments to the public utility's poles by
the telecommunications service provider, broadband service provider,
or cable television system.
C. After
entering into a contract Each public
utility shall provide each telecommunications service provider,
broadband service provider, and cable television system with neutral
and nondiscriminatory access to any pole, duct,
conduit, or right-of-way owned or controlled by it, for the
purpose of facilitating expansion of broadband service by
broadband service providers to residents, farms, and businesses in the
Commonwealth. The Commission is authorized
to determine just and reasonable rates, terms, conditions, and costs
for attachments to its poles by any telecommunications service provider, broadband service provider,
or cable television system, a public utility shall
permit, upon reasonable terms and conditions and the payment of reasonable
annual charges and the cost of any required rearrangement, the attachment of
any wire, cable, facility or apparatus to its poles or pedestals, or the
placement of any wire, cable, facility or apparatus in conduit or duct space
owned or controlled by it, by such telecommunications service provider or cable
television system that is authorized by law, to construct and maintain the
attachment, if the parties cannot reach
agreement pursuant to subsection B, or if
either party asserts that the rates, terms, conditions, or costs applicable to an
agreement are not just and reasonable as defined in 42 U.S.C. §
224(d). Any party that seeks pole attachments or has
existing pole attachments on public utility poles, or
any public utility owning a pole occupied by
pole attachments of a telecommunications service provider, broadband
service provider, or a cable television system, may seek a
determination from the Commission as to just and reasonable rates, terms,
conditions, and costs. The terms, conditions, and costs to be determined by the
Commission shall include, without limitation, rearrangement and make-ready
costs, pole replacement costs, and all other costs incidental to pole
attachments and maintenance, replacement, and inspection of poles or pole
attachments, together with time deadlines for any pole attachment to ensure
rapid deployment of broadband and other communications services and all other
terms and conditions associated with pole attachment requests. A rate is just
and reasonable if it assures a public utility the
recovery of not less than the additional costs of providing pole attachments,
nor more than an amount determined by multiplying the percentage of the total
usable space, or the percentage of the total duct or conduit capacity, that is
occupied by the pole attachment by the sum of the operating expenses and actual
capital costs of the public utility attributable to the entire pole, duct,
conduit, or right-of-way. Upon compliance with such
just and reasonable rates, terms, conditions, and costs, whether established by
agreement or by the Commission, a public utility shall
permit the attachment of any wire, cable, facility, or apparatus to its poles
or pedestals, or the placement of any wire, cable, facility, or apparatus in
conduit or duct space owned or controlled by it, by such telecommunications
service provider, broadband service provider, or cable
television system, provided
that the attachment does not interfere, obstruct,
or delay the service and operation of the public utility or create a safety
hazard.
D. Notwithstanding the provisions of subsection C, a public
utility providing electric utility service may deny access by a
telecommunications service provider, broadband service provider,
or cable television system to any pole, duct, conduit, right-of-way, or similar
facility owned or controlled, in whole or in part, by such public utility,
provided such denial is made on a nondiscriminatory basis on grounds of
insufficient capacity or reasons of safety, reliability, or generally
applicable engineering principles.
E. This section shall not apply to any pole attachments
regulated pursuant to 47 U.S.C. §224.
F. The Commission is authorized
to determine just and reasonable rates, and terms and conditions of service,
excluding safety and debt collection, for attachments to electric cooperative
poles by telecommunications service providers or cable television systems if,
following good faith negotiations to do so, the parties cannot reach agreement
thereon; however, the Commission shall not determine rates or terms and
conditions for any existing agreement until it expires or is terminated
pursuant to its own terms. The terms of an expired or terminated agreement
shall continue to govern while good faith negotiations or Commission review
pursuant to this section are pending. Such determinations shall be made in
accordance with the following:
1. Just and reasonable pole
attachment rates and terms and conditions of service to be determined by the
Commission shall include, without limitation, rearrangement and make-ready
costs, pole replacement costs, and all other costs directly related to pole
attachments and maintenance, replacement, and inspection of poles or pole
attachments, and right of way maintenance essential to pole attachments,
provided however, that cost recovery for rearrangement, make-ready and pole
replacement shall be addressed in terms and conditions, and shall not be
included in annual rental rates;
2. In determining pole
attachment rates, the Commission shall consider (i) any effect of such rates on
the deployment or utilization, or both, of broadband and other
telecommunications services, (ii) the interests of electric cooperatives'
members, and (iii) the overall public interest;
3. The Commission may develop
and utilize alternative forms of dispute resolution for purposes of addressing
disputes (i) arising under this subsection and (ii) falling within the scope of
the Commission's authority established hereunder;
4. The Commission is
authorized to assess reasonable application fees to recover appropriate
Commission costs of proceedings arising under this subsection; and
5. The Commission is
authorized to develop, if necessary, rules and regulations, including a
definition of good faith negotiations, to implement this section. In implementing the provisions of this section that
incorporate terms and concepts used or defined in
47 U.S.C. §224, the Commission shall rely on interpretations
of such terms and concepts by the Federal Communications Commission and by the federal
judiciary.
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