Summary of the Committee Version of the Bill

HCS HB 1500 -- TELECOMMUNICATION SERVICES

SPONSOR:  Mays (50)

COMMITTEE ACTION:  Voted "do pass" by the Committee on Utilities
Regulation by a vote of 19 to 6.

This substitute allows owners of residential structures with four
or more individual units to void exclusivity provisions of
existing agreements with telecommunication service providers and
allow other providers to compete for tenants' business on an
equal basis.  Owners and new service providers that cannot agree
to terms may, at the provider's expense, appoint an arbitrator or
request that a state circuit court judge appoint an arbitrator.

Owners and service providers may not develop new agreements with
exclusive rights to serve, and all existing agreements will
expire five years after initiation or on April 1, 2005, whichever
is sooner.  Owners and service providers are also prohibited from
developing agreements designed to circumvent Federal
Communications Commission rules on home wiring for
telecommunication services.

FISCAL NOTE:  No impact on state funds.

PROPONENTS:  Supporters say that the bill will allow fair
competition to provide cable and other telecommunication services
to tenants.  Competition has been shown to improve available
services and to lower rates.

Testifying for the bill were Representative Mays (50); Everest
Connections; and Unite.

OPPONENTS:  Those who oppose the bill say that voiding long-term
contracts is unconstitutional.  Consumer benefits can be achieved
through the existing pressures of the marketplace.

Testifying against the bill were Missouri Association of
Realtors; and Missouri Growth Association.

Terry Finger, Senior Legislative Analyst

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Last Updated October 11, 2002 at 9:01 am