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HF 4978

Various provisions governing cable communications systems modified, and notice requirement for applying to become a cable communications franchise repealed.

2025-2026 Regular Session Introduced by Mike Freiberg

HF 4978 broadens the scope of regulated cable systems and requires notarized, detailed franchise proposals while repealing certain notice requirements.

Introduction and first reading, referred to Commerce Finance and Policy
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Bill Summary · HF 4978

Summary of HF 4978 (2025-2026) – Minnesota

Purpose and Intent

HF 4978 amends Minnesota law to modify how cable communications systems are regulated and to repeal the state’s notice requirement for applying to become a cable franchise. The bill aims to streamline certain franchise processes, adjust the definitions and criteria used for identifying cable systems subject to regulation, and require franchising authorities to accept and evaluate proposals with standardized content.

Key Provisions

1) Revisions to the definition of “cable communications system” (Sec. 1)

  • The definition of a cable communications system is updated to include services that receive and amplify programs from broadcasters or originated content, and distribute those programs by various means (wire, cable, microwave, etc.), regardless of ownership.
  • Exclusions remain for:
    • Very small systems serving fewer than 50 subscribers (or 50–1,000 subscribers with a local vote to opt out), with conditions for opting back in if the system later grows beyond 1,000 subscribers or as more than half the served jurisdictions vote to return.
    • Master antenna television systems.
    • Specialized closed-circuit systems that do not use public rights-of-way for construction.
    • Translator systems that rebroadcast over-the-air signals.

2) Revisions to franchising proposal content requirements (Sec. 2)

  • The franchising authority must require that a cable franchise proposal be notarized and include comprehensive information such as:
    • Channel capacity plans (total and immediately energizable channels).
    • Broadcast signal permissions sought from the FCC.
    • System design and operation details (antenna/head end location, two-way activation schedule, automated services, channel/services for access cable broadcasting, and proposed charges).
    • Terms for service to governmental/educational entities.
    • Proposed rates and policies for unusual or difficult connections.
    • Construction timelines for the entire system and sequencing.
    • Applicant qualifications and experience in the cable field.
    • Locations where the applicant currently operates or has outstanding franchises, and whether any system has been built.
    • Financing plans with sources and any constraints.
    • Corporate ownership details, including officers, directors, and intercompany relationships.
    • Any omissions or variations from required proposal content.
  • The authority and applicant may negotiate franchise terms upon submission.

3) Repeal of the notice of intent to franchise (Sec. 3)

  • The repealer eliminates Minnesota Statutes 2024, section 238.081, subdivisions 1, 2, 3, and 5, which previously governed franchise procedures, including:
    • Publication and content requirements for notices of intent.
    • Mandatory mailing to potential franchise candidates.
    • A 20-day minimum application window from first publication.

Who/What Is Affected

  • Public franchising authorities (cities, towns, or other municipalities) administering cable franchises.
  • Applicants seeking to obtain new cable franchises or to negotiate franchise terms.
  • Cable systems that would be regulated under state law, including those that might be added under the updated definition.
  • Small and mid-sized cable systems that were previously exempt due to subscriber thresholds, subject to the opt-out/opt-back-in provisions.

Procedural and Timeline Notes

  • The bill modifies or repeals provisions related to franchise application processes, potentially reducing the formal notice and mailing requirements previously mandated.
  • It requires notarized applications with detailed, forward-looking information and construction timelines.
  • Repeal of the notice requirements may shorten or alter the public notice timeline for new franchise proposals, depending on how municipalities implement the changes.

Effective Date

  • The bill is introduced in the 2025-2026 session and becomes law upon enactment and signing, with the amendments applying to future franchise applications and regulatory determinations.

Note: As introduced, HF 4978 focuses on modernization of definitions and franchising procedures, with an emphasis on information requirements and elimination of certain notice procedures.

Compiled from official sources — confirm details with the bill’s official record.

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