10-18-104 - Application to existing contracts.
10-18-104. Application to existing contracts.
(1) (a) If before the sooner of March 1 or the effective date of the chapter, the legislativebody of a municipality authorized the municipality to offer or provide cable television services orpublic telecommunications services, each authorized service:
(i) is exempt from Part 2; and
(ii) is subject to Part 3.
(b) The exemption described in Subsection (1)(a)(i) may not apply to any cable televisionservice or public telecommunications service authorized by the legislative body of a municipalityon or after the sooner of March 1 or the effective date of this chapter.
(2) This chapter does not:
(a) invalidate any contract entered into by a municipality before the sooner of March 1 orthe effective date of this chapter:
(i) for the design, construction, equipping, operation, or maintenance of facilities used orto be used by the municipality, or by a private provider under a contract with the municipality forthe purpose of providing:
(A) cable television services; or
(B) public telecommunications services;
(ii) with a private provider for the use of the facilities described in Subsection (2)(a)(i) inconnection with the private provider offering:
(A) cable television services; or
(B) public telecommunications services;
(iii) with a subscriber for providing:
(A) a cable television service; or
(B) a public telecommunications service; or
(iv) to obtain or secure financing for the acquisition or operation of the municipality'sfacilities or equipment used in connection with providing:
(A) a cable television service; or
(B) a public telecommunications service; or
(b) impair any security interest granted by a municipality as collateral for themunicipality's obligations under a contract described in Subsection (2)(a).
(3) (a) A municipality meeting the one or more of the following conditions is exemptfrom this chapter as provided in Subsection (3)(b):
(i) a municipality that adopts or enacts a bond resolution on or before January 1, 2001, tofund facilities or equipment that the municipality uses to provide:
(A) cable television services; or
(B) public telecommunications services; or
(ii) a municipality that has operated for at least three years consecutively before thesooner of March 1 or the effective date of this chapter:
(A) a cable television service; or
(B) a public telecommunications service.
(b) A municipality described in Subsection (3)(a) is exempt from this chapter except for:
(i) Subsection 10-18-303(4);
(ii) Subsection 10-18-303(7);
(iii) Subsection 10-18-303(9);
(iv) Section 10-18-304; and
(v) Section 10-18-305.
(4) For the time period beginning on the effective date of this chapter and ending onDecember 31, 2001, a municipality that operated a cable television service as of January 1, 2001,is exempt from Subsection 10-18-301(1)(d).
Enacted by Chapter 83, 2001 General Session