Wednesday, July 02, 2008

Louisiana city to mount legal challenge of state video franchise law

The Alexandria, Louisiana city council has authorized its city attorney to bring an action challenging the constitutionality of state legislation putting the state in charge of most video franchises. Alexandria says the law is bad for consumers and has placed it at a disadvantage in its negotiations with its video franchisee.

At least a dozen states have preempted local governments by enacting video franchise legislation. The legislation was sought by telcos wanting to compete with traditional cable companies but fearful local officials would require them to provide access to all residents and not engage in digital redlining.

Read the story here.

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