OVERVIEW
The Maine Community Media Association (MCMA) has developed a model franchise agreement (MFA)
for cable and other video service providers (VSPs) and strongly urges all Maine municipalities to
use this MFA whenever granting a new franchise or renewing an existing franchise with a cable
or other video service provider. Our MFA updates Maine’s out-of-date 2009 model cable franchise
agreement and reflects the latest developments in Maine and federal law and in cable technology
and service delivery. In particular, it is intended to provide clear ground rules for implementing
2019 and 2023 changes in Maine law and addressing ongoing changes in service delivery, especially
the cable industry’s transition to selling cable service to customers via Internet streaming.
In practical terms, this MFA applies franchising requirements to systems provided by Spectrum
(Charter) and Xfinity (Comcast) that deliver video services to customers via the Internet either
directly or through an affiliate, whether done by continuing to sell conventional cable service or
by selling streamed video services via an affiliate or a provider-supplied device (e.g., Xumo).
This MFA does not apply to fiber providers that provide pure Internet service in spite of the fact
that those systems are installed in the public right-of-way in your municipality and function in
many ways much like a conventional cable operator. The two-prong test for application of franchise
obligations under federal and Maine law are that the provider’s distribution facilities are
installed in the public right-of-way and that it sells video services to customers directly or through
an affiliate. Fiber providers typically satisfy only one of the two prongs, installing distribution
facilities in the public right-of-way (and connecting their customers to the Internet) but not selling
video services to their customers, who contract with third parties (like YouTube) for video service
packages. At this time, due to the anomalies of our regulatory system, these fiber providers are
generally exempt from the franchise process despite the similarity between their operations and
service offerings and those of conventional cable providers.
We urge Maine municipalities to require strict compliance with the MFA in dealing with all cable
and other video service providers (VSP) that are subject to franchising requirements under Maine
law. It incorporates the latest legal developments and carefully and fairly balances the interests of
municipalities and VSPs.
FOR A DETAILED SUMMARY OF THE MCMA MODEL FRANCHISE AGREEMENT, CLICK HERE