Brief⁽¹⁾

S.B. 54 would include the following provisions:

• �Defines "premises owner" as any landlord, association of apartment owners, association of townhouse owners, or managing agent for landlords or associations.



• �Prohibits the premises owner from requiring television service providers to pay for service access to the owner's tenants. This prohibition applies only if the service has been requested by either the tenant or the owner and is covered under a franchise agreement.



• �Prohibits the premises owner from demanding or accepting payment from a tenant in exchange for allowing a television service provider to give that tenant access to the service. This prohibition would not apply to owners who are also television service providers and have installed their own private cable systems.



• �Does not prohibit the premises owner from charging tenants or providers for the installation, operation, or removal of equipment used for program reception and distribution.



• �Does not prohibit the premises owner from demanding or accepting indemnity or security for damages caused by such installation, operation, or removal.

• �Does not preclude a premises owner from entering into television service contracts that authorize bulk or discounted rates to tenants.



• �Does not affect existing or renewable contracts between premises owners and television service providers and between premises owners and tenants.

Background

The bill was requested by the Kansas Cable Telecommunications Association. The intent, according to Jay Allbaugh, a spokesperson for the Association, was to end the practice of property owners charging television service providers, such as cable companies, for the right to serve apartment tenants or tenants of multiple dwellings. Mr. Allbaugh explained that such arrangements reduce access of providers to tenants and eliminate competition.

The bill was opposed by: Matthew All, Lawrence Apartment Association; Bob Hanson, President, Weigand-Omega Management, Inc.; and Martha Neu Smith, Kansas Manufactured Housing Association. Opponents expressed concern that landlords would no longer be able to negotiate discount rates with cable companies and tenants, and that existing contracts would be abrogated. Senator Salisbury, Senate Committee Chairperson, appointed a subcommittee to consider the bill. Sub. for S.B. 54 is a product of the subcommittee's deliberations.

1. *Supplemental notes are prepared by the Legislative Research Department and do not express legislative intent. The supplemental note and fiscal note for this bill may be accessed on the Internet at http://www.ink.org/public/legislative/bill_search.html.