<section xmlns="http://xml.house.gov/schemas/uslm/1.0" xmlns:xsi="http://www.w3.org/2001/XMLSchema-instance" xmlns:dc="http://purl.org/dc/elements/1.1/" xmlns:dcterms="http://purl.org/dc/terms/" style="-uslm-lc:I80" id="idb1073717-446e-11e6-841e-8092f07c3d14" identifier="/us/usc/t47/s545"><num value="545">§ 545.</num><heading> Modification of franchise obligations</heading><subsection style="-uslm-lc:I19" class="indent2 firstIndent-2" id="idb1073718-446e-11e6-841e-8092f07c3d14" identifier="/us/usc/t47/s545/a"><num value="a" class="bold">(a)</num><heading class="bold"> Grounds for modification by franchising authority; public proceeding; time of decision</heading><paragraph style="-uslm-lc:I11" class="indent0" id="idb1073719-446e-11e6-841e-8092f07c3d14" identifier="/us/usc/t47/s545/a/1"><num value="1">(1)</num><chapeau> During the period a franchise is in effect, the cable operator may obtain from the franchising authority modifications of the requirements in such franchise—</chapeau><subparagraph style="-uslm-lc:I12" class="indent1" id="idb107371a-446e-11e6-841e-8092f07c3d14" identifier="/us/usc/t47/s545/a/1/A"><num value="A">(A)</num><content> in the case of any such requirement for facilities or equipment, including public, educational, or governmental access facilities or equipment, if the cable operator demonstrates that (i) it is commercially impracticable for the operator to comply with such requirement, and (ii) the proposal by the cable operator for modification of such requirement is appropriate because of commercial impracticability; or</content>
</subparagraph>
<subparagraph style="-uslm-lc:I12" class="indent1" id="idb107371b-446e-11e6-841e-8092f07c3d14" identifier="/us/usc/t47/s545/a/1/B"><num value="B">(B)</num><content> in the case of any such requirement for services, if the cable operator demonstrates that the mix, quality, and level of services required by the franchise at the time it was granted will be maintained after such modification.</content>
</subparagraph>
</paragraph>
<paragraph style="-uslm-lc:I11" class="indent0" id="idb107371c-446e-11e6-841e-8092f07c3d14" identifier="/us/usc/t47/s545/a/2"><num value="2">(2)</num><content> Any final decision by a franchising authority under this subsection shall be made in a public proceeding. Such decision shall be made within 120 days after receipt of such request by the franchising authority, unless such 120 day period is extended by mutual agreement of the cable operator and the franchising authority.</content>
</paragraph>
</subsection>
<subsection style="-uslm-lc:I19" class="indent2 firstIndent-2" id="idb107371d-446e-11e6-841e-8092f07c3d14" identifier="/us/usc/t47/s545/b"><num value="b" class="bold">(b)</num><heading class="bold"> Judicial proceedings; grounds for modification by court</heading><paragraph style="-uslm-lc:I11" class="indent0" id="idb107371e-446e-11e6-841e-8092f07c3d14" identifier="/us/usc/t47/s545/b/1"><num value="1">(1)</num><content> Any cable operator whose request for modification under subsection (a) has been denied by a final decision of a franchising authority may obtain modification of such franchise requirements pursuant to the provisions of <ref href="/us/usc/t47/s555">section 555 of this title</ref>.</content>
</paragraph>
<paragraph style="-uslm-lc:I11" class="indent0" id="idb107371f-446e-11e6-841e-8092f07c3d14" identifier="/us/usc/t47/s545/b/2"><num value="2">(2)</num><chapeau> In the case of any proposed modification of a requirement for facilities or equipment, the court shall grant such modification only if the cable operator demonstrates to the court that—</chapeau><subparagraph style="-uslm-lc:I12" class="indent1" id="idb1073720-446e-11e6-841e-8092f07c3d14" identifier="/us/usc/t47/s545/b/2/A"><num value="A">(A)</num><content> it is commercially impracticable for the operator to comply with such requirement; and</content>
</subparagraph>
<subparagraph style="-uslm-lc:I12" class="indent1" id="idb1073721-446e-11e6-841e-8092f07c3d14" identifier="/us/usc/t47/s545/b/2/B"><num value="B">(B)</num><content> the terms of the modification requested are appropriate because of commercial impracticability.</content>
</subparagraph>
</paragraph>
<paragraph style="-uslm-lc:I11" class="indent0" id="idb1073722-446e-11e6-841e-8092f07c3d14" identifier="/us/usc/t47/s545/b/3"><num value="3">(3)</num><content> In the case of any proposed modification of a requirement for services, the court shall grant such modification only if the cable operator demonstrates to the court that the mix, quality, and level of services required by the franchise at the time it was granted will be maintained after such modification.</content>
</paragraph>
</subsection>
<subsection style="-uslm-lc:I19" class="indent2 firstIndent-2" id="idb1073723-446e-11e6-841e-8092f07c3d14" identifier="/us/usc/t47/s545/c"><num value="c" class="bold">(c)</num><heading class="bold"> Rearrangement, replacement, or removal of service</heading><chapeau>Notwithstanding subsections (a) and (b), a cable operator may, upon 30 days’ advance notice to the franchising authority, rearrange, replace, or remove a particular cable service required by the franchise if—</chapeau><paragraph style="-uslm-lc:I12" class="indent1" id="idb1073724-446e-11e6-841e-8092f07c3d14" identifier="/us/usc/t47/s545/c/1"><num value="1">(1)</num><content> such service is no longer available to the operator; or</content>
</paragraph>
<paragraph style="-uslm-lc:I12" class="indent1" id="idb1073725-446e-11e6-841e-8092f07c3d14" identifier="/us/usc/t47/s545/c/2"><num value="2">(2)</num><chapeau> such service is available to the operator only upon the payment of a royalty required under <ref href="/us/usc/t17/s801/b/2">section 801(b)(2) of title 17</ref>, which the cable operator can document—</chapeau><subparagraph style="-uslm-lc:I13" class="indent2" id="idb1073726-446e-11e6-841e-8092f07c3d14" identifier="/us/usc/t47/s545/c/2/A"><num value="A">(A)</num><content> is substantially in excess of the amount of such payment required on the date of the operator’s offer to provide such service, and</content>
</subparagraph>
<subparagraph style="-uslm-lc:I13" class="indent2" id="idb1073727-446e-11e6-841e-8092f07c3d14" identifier="/us/usc/t47/s545/c/2/B"><num value="B">(B)</num><content> has not been specifically compensated for through a rate increase or other adjustment.</content>
</subparagraph>
</paragraph>
</subsection>
<subsection style="-uslm-lc:I19" class="indent2 firstIndent-2" id="idb1073728-446e-11e6-841e-8092f07c3d14" identifier="/us/usc/t47/s545/d"><num value="d" class="bold">(d)</num><heading class="bold"> Rearrangement of particular services from one service tier to another or other offering of service</heading><content><p style="-uslm-lc:I11" class="indent0">Notwithstanding subsections (a) and (b), a cable operator may take such actions to rearrange a particular service from one service tier to another, or otherwise offer the service, if the rates for all of the service tiers involved in such actions are not subject to regulation under <ref href="/us/usc/t47/s543">section 543 of this title</ref>.</p>
</content>
</subsection>
<subsection style="-uslm-lc:I19" class="indent2 firstIndent-2" id="idb1073729-446e-11e6-841e-8092f07c3d14" identifier="/us/usc/t47/s545/e"><num value="e" class="bold">(e)</num><heading class="bold"> Requirements for services relating to public, educational, or governmental access</heading><content><p style="-uslm-lc:I11" class="indent0">A cable operator may not obtain modification under this section of any requirement for services relating to public, educational, or governmental access.</p>
</content>
</subsection>
<subsection style="-uslm-lc:I19" class="indent2 firstIndent-2" id="idb107372a-446e-11e6-841e-8092f07c3d14" identifier="/us/usc/t47/s545/f"><num value="f" class="bold">(f)</num><heading class="bold"> “Commercially impracticable” defined</heading><content><p style="-uslm-lc:I11" class="indent0">For purposes of this section, the term “commercially impracticable” means, with respect to any requirement applicable to a cable operator, that it is commercially impracticable for the operator to comply with such requirement as a result of a change in conditions which is beyond the control of the operator and the nonoccurrence of which was a basic assumption on which the requirement was based.</p>
</content>
</subsection>
<sourceCredit id="idb107372b-446e-11e6-841e-8092f07c3d14">(<ref href="/us/act/1934-06-19/ch652">June 19, 1934, ch. 652</ref>, title VI, § 625, as added <ref href="/us/pl/98/549">Pub. L. 98–549</ref>, § 2, <date date="1984-10-30">Oct. 30, 1984</date>, <ref href="/us/stat/98/2790">98 Stat. 2790</ref>.)</sourceCredit>
<notes type="uscNote" id="idb107372c-446e-11e6-841e-8092f07c3d14">
<note style="-uslm-lc:I74" topic="effectiveDate" id="idb107372d-446e-11e6-841e-8092f07c3d14"><heading class="centered smallCaps">Effective Date</heading><p style="-uslm-lc:I21" class="indent0">Section effective 60 days after <date date="1984-10-30">Oct. 30, 1984</date>, except where otherwise expressly provided, see <ref href="/us/pl/98/549/s9/a">section 9(a) of Pub. L. 98–549</ref>, set out as a note under <ref href="/us/usc/t47/s521">section 521 of this title</ref>.</p>
</note>
</notes>
</section>