A. The Digital Infrastructure and Video Competition Act of 2006 ("Act") established a state video franchising system to govern video franchises.

B. Under the Act, only the state has the authority to grant franchises, regulate build-out and non-discrimination standards, impose user and application fees and establish franchise fees.

C. Under the Act, the City has the authority to manage the rights of way, regulate the payment of Public, Education and Government ("PEG") fees, require the provision of PEG channels and enforce federal and state customer service standards. (Ord. 7014-NS § 1, 2008)