Cable Competition Act

Cable Competition Act - Amends the Communications Act of 1934 to permit telephone common carriers to provide video programming to subscribers and to provide channels of communication or other arrangements to related entities in connection with the provision of video programming. Conditions availability of this authority upon: (1) findings by the Federal Communications Commission that the operations will promote competition in the communications industry; and (2) the existence of FCC rules to ensure opportunities for access to persons other than the common carrier.

Prohibits video programming lines of business from subsidizing or being subsidized by telephone service. Requires the FCC to ensure that any economic risk or loss associated with the cable programming business not be borne by telephone service ratepayers. Prohibits credit arrangements that would make the assets of a telephone service affiliate available to creditors upon default of a common carrier engaged in video programming lines of business.

Requires each common carrier engaging in cable programming to report annually on audit results concerning compliance with prescribed cost assignment and allocation rules.

Authorizes the waiver of certain requirements in connection with common carriers providing both telephone and video programming services in rural areas.