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from: News-Leader

Bill likely to alter cable services in Springfield

News-Leader Staff and Wire Services

Jefferson City — Legislators gave final approval Thursday to legislation intended to spur video competition by making it easier for telecommunications companies such as AT&T to offer television service in Missouri.

The bill lets companies provide TV service with the approval of the state Public Service Commission — a one-stop process that does away with the need to negotiate TV franchise deals with each community.

The Senate's 32-2 vote Thursday sends the bill to Gov. Matt Blunt, who pledged to sign it into law. The House passed the bill 143-4 on Wednesday.

The measure could have significant impact in Springfield, which has one cable TV franchise provider, Mediacom.

City Attorney Dan Wichmer said the law will allow cable companies to focus on the most lucrative areas of a city, while ignoring many lower-income customers.

"The bill only requires 25 percent coverage where the median income is below $34,000," Wichmer said. "If you look at an income map of Springfield, that excludes way more than half of the city."

The Mediacom franchise, which expires in 2008, requires a more aggressive "build out" to serve more areas of the city.

Assistant City Attorney Nancy Yendes has worked extensively on the cable TV franchise issue and said it could end up costing schools and other agencies more money.

Although it requires companies to provide at least five public access TV channels, Yendes said the bill now puts some of those equipment costs on the backs of schools and governments.