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Home My WebLink About161-03 RESOLUTIONRESOLUTION NO.161-03 A RESOLUTION AUTHORIZING TCA CABLE PARTNERS, PROVIDING SERVICES AS COX COMMUNICATIONS, TO CONTINUE TO OPERATE THE CABLE COMMUNICATIONS SYSTEM WHEREAS, the City of Fayetteville, Arkansas ("City") passed and adopted an Ordinance (hereinafter referred to as the "Franchise") granting a non-exclusive franchise; and WHEREAS, the Franchise is currently held by TCA Cable Partners providing services as Cox Communications ("TCA"); and WHEREAS, pursuant to Section 47 U.S.C. §546(a) TCA provided notification to the City of TCA's intent to seek renewal of the Franchise under 4 U.S.C. §546(a -g); and WHEREAS, pursuant to Section 47 U.S.C. §546(a) the City properly commenced franchise renewal proceedings; and WHEREAS, the City and TCA have agreed, pursuant to 47 U.S.C. §546(h), to conduct franchise renewal negotiations informally in an attempt to reach a mutually acceptable franchise agreement; and WHEREAS, the City and TCA are interested in continuing informal discussions and negotiations regarding franchise renewal; and WHEREAS, both the City and TCA desire to expressly reserve all of their respective rights under state and federal law. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Sect -ion 1. The City hereby authorizes TCA to continue to operate the cable television system in the City of Fayetteville, in full compliance with all of the terms and conditions of the Franchise, and the terms and conditions contained in the August 18, 2003 letter attached hereto and made a part hereof, through December 31, 2004, and continuing on a month to month basis thereafter. i • Section 2. This Resolution shall become effective upon the occurrence of both of the following conditions: 1) The resolution being passed and adopted by the City Council of the City of Fayetteville, and; 2) TCA's acceptance of this resolution and the franchise for the terms specified in paragraph (1) above, provided TCA accepts and agrees to this extension. PASSED and APPROVED this the 215t day of October, 2003. YETTF�i,: By: A.44444> n SONDRA SMITH, City Clerk COMMUNICATIONS James E. Anderson Director of Public Re/alrons anti Government AffairsNWA Region 701 South 21s1 Street P0. Box 3408 (72913-3408) Fort Smith, AR 72901 (479) 782-9225 (479) 783-2656 tax (479) 717-3798 NWA office (479) 756-1081 NWA tax fames anderson®cox.com WWW COX.COM ACCEPTANCE TCA Cable Partners, providing service as Cox Communications, hereby acknowledges the City of Fayetteville Resolution authorizing TCA Cable Partners to continue to operate the cable system through December 31, 2004, ("Resolution"), attached hereto and hereby accepts each and every term, provision and recital of the Resolution and agrees to be bound by the terms and provisions of the Franchise in accordance with the Resolution. Dated: Ne.&,-- f , 2003 TCA CABLE PARTNERS Providing services as Cox Communications By: NELSON OWER Vice President SUBSCRIBED and SWORN to before me this the J r-dayof 770 0 t/L14t6t,'c003. Notary Public My Commission Expires: U1 . 3, ?o'o "NOtAgr81AL" Sheila A. Hanshew, Notary Public Washington County, State of Arkansas My Corr: ss'cn Expres Apnl 3, 2010. NAME OF FILE: CROSS REFERENCE: Item # Date Resolution No. 161-03 Document • 1 10.21.03 Res. 161-03 w/acceptance agreement 2 10.2.03 Staff Review Form w/attachments memo to mayor & city council draft resolution copy of IV to Hugh Earnest draft acceptance 3 I o ..17 125 memo to Hugh Eamest NOTES: STAFF VIEW FORM - NON-FINANCIAL OBLIGATION 7M Ca blt/0 CErnnt 4/CeA„s is /Z1 /03 X AGENDA REQUEST For the Fayetteville City Council Meeting of: October 21, 2003 FROM: Hugh Eamest Name Cable Administration Division Department ACTION REQUIRED: Approval of an extension of the Franchise with TCA Cable Partners providing services as Cox Communications until December 31, 2005. SUMMARY EXPLANATION: STAFF RECOMMENDATION: /011.101 Date id/2/J3 Date Department Director Date Fifiance a Internal Services Dir. Date nis .tive Officer Date Date Received in Mayor's Office /b/a /-pa Date 0 Cross Reference: Previous Ord/Resp: Orig. Contract Date: Orig. Contract Number: New Item: Yes No • • City Council Meeting of October 21, 2003 CITY COUNCIL AGENDA MEMO To: Mayor and City Council From: Hugh Earnest. Chief Administrative Officer it Date: October 1, 2003 Subject: A resolution approving an extension of the Franchise with TCA Cable Partners providing services as Cox Communications until December 31, 2005 Recommendation The Telecommunication Board of the city has unanimously recommended that the current franchise with the city be extended until December 31, 2005. This action came after extensive discussion with city staff, our attorney and representatives of the company. Background The city has been engaged in discussions with Cox for several years and the parties have been unable to come to agreement on terms and conditions that are acceptable to both parties. The existing franchise agreement with Fayetteville is a long and complex document that has served the city reasonably well for close to two decades. There is considerable sentiment that many of the terms and conditions are outdated and do not reflect the current situation relative to telecommunication infrastructure. However there is at present no clear consensus on how best to position the city and possibly the region to operate in this rapidly changing communication environment. One of the issues of considerable concern to the board and city staff was the fact that the company had not completed the re -build of its delivery system. We had insisted that this be completed as a condition for continued discussion. We are now satisfied that this important improvement has now been completed. Discussion A letter from Cox containing the terms and conditions under which we will proceed is attached. In addition, the chair of the telecom board and I have agreed to establish a task force to address the development of a City Technology Infrastructure plan as suggested within the Council adopted goal statement, "A Strong, Diverse Local Economy". In addition, all parties will continue to discuss how best to develop and maintain regional linkages, either through inter -local agreements or as part of formal language within franchise agreements Budget Impact The franchise payment for use of city right-of-way has grown from $371,613 in 2000 to an estimated $546,200 in 2004. This particular usage charge is calculated at 5% of gross. • • RESOLUTION NO. A RESOLUTION AUTHORIZING TCA CABLE PARTNERS, PROVIDING SERVICES AS COX COMMUNICATIONS, TO CONTINUE TO OPERATE THE CABLE COMMUNICATIONS SYSTEM WHEREAS, the City of Fayetteville, Arkansas ("City") passed and adopted an Ordinance (hereinafter referred to as the "Franchise") granting a non-exclusive franchise; and WHEREAS, the Franchise is currently held by TCA Cable Partners providing services as Cox Communications ("TCA"); and WHEREAS, pursuant to Section 47 U.S.C. §546(a) TCA provided notification to the City of TCA's intent to seek renewal of the Franchise under 4 U.S.C. §546(a -g); and WHEREAS, pursuant to Section 47 U.S.C. §546(a) the City properly commenced franchise renewal proceedings; and WHEREAS, the City and TCA have agreed, pursuant to 47 U.S.C. §546(h), to conduct franchise renewal negotiations informally in an attempt to reach a mutually acceptable franchise agreement; and WHEREAS, the City and TCA are interested in continuing informal discussions and negotiations regarding franchise renewal; and WHEREAS, both the City and TCA desire to expressly reserve all of their respective rights under state and federal law. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1. The City hereby authorizes TCA to continue to operate the cable television system in the City of Fayetteville, in full compliance with all of the terms and conditions of the Franchise, and the terms and conditions contained in the August 18, 2003 letter attached hereto and made a part hereof, through December 31, 2005, and continuing on a month to month basis thereafter. • • Section 2. This Resolution shall become effective upon the occurrence of both of the following conditions: 1) The resolution being passed and adopted by the City Council of the City of Fayetteville, and; 2) TCA's acceptance of this resolution and the franchise for the terms specified in paragraph (1) above, provided TCA accepts and agrees to this extension. PASSED and APPROVED this the 2151 day of October, 2003. ATTEST: By: SONDRA SMITH, City Clerk APPROVED: P`� By: O " DAN COODY, Mayor • • • August 18, 2003 Hugh Earnest Chief Administrative Officer City of Fayetteville 113 West Mountain Fayetteville, Arkansas 72701 Dear Mr. Earnest: AUG 1 g 2093 Crry of r MAYORsOFrevgLE • 4901 South 48th Street Sp.ingdaie. Arkansas 72762 1501) 751.2000 150112735644 15011756.1081 Fax cod COMMUNICATIONS In connection with extending the present franchise agreement until December 31, 2005, TCA Cable Partners providing services as Cox Communications and the City have agreed as follows: 1. The "Gross Revenues" subject to the 5% franchise fee presently include itcms such as advertising revenue and shopping channel revenues and others, and will continuc to include such items during the extension period. 2. Doth the City and Cox Communications, reserve their rights to the renewal provisions of 47 USC §546(a)—(g) without furthcr notification. 3. The City intends to explore ways and means of facilitating and assisting capital contribution -in -aid -of -construction for service installations beyond 300 aerial and 150 underground feet, with the aim of promoting progress toward universal service within the City. 4. Among other things the City will investigate the feasibility of devoting a portion of die cable franchise fcc proceeds to a fund from which financing of service extensions could be provided. Cox to looks forward to working wiih the City's efforts in that regard. 5. The City's interest in extending this agreement is to provide both Cox Communications and the City the opportunity to explore the feasibility of a common Franchise agreement covering.the Cox service area. 6. Upon expiration of the original term extension, the franchise will continue on a month-to-month basis until such time as the City and Cox Communications agree to the terms and conditions of a new agreement if possible. 7. The terms and conditions ot'the existing agreement shall continue in full force and effect subject to the above provisions Cox Communications welcomes the opportunity to work with the City to provide affordable services that address the cable related needs and interests of the community aswe move forward with our plans. Sincerely, Nelson Mower Vice President of System Onerations - Arkansas • • ACCEPTANCE TCA Cable Partners, providing service as Cox Communications, hereby acknowledges the City of Fayetteville Resolution authorizing TCA Cable Partners to continue to operate the cable system through December 3L 2005, ("Resolution"), attached hereto and hereby accepts each and every term, provision and recital of the Resolution and agrees to be bound by the terms and provisions of the Franchise in accordance with the Resolution. Dated: 2003 TCA CABLE PARTNERS Providing services as Cox Communications By: DENNIS YOCUM Its: SUBSCRIBED AND SWORN to before me this the day of October, 2003. My Commission Expires Notary Public FAYETTEVILE THE CITY OF FAYETTEVILLE. ARKANSAS DEPARTMENTAL CORRESPONDENCE • To: Hugh Earnest Administration From: Clarice Buffalohead-Pearman City Clerk Division Date: October 27, 2003 Re: Res. No. 161-03 attachment The City Council passed Resolution 161-03 on October 21, 2003, authorizing TCA Cable/Cox Communications to continue to operate under the terms of the franchise agreement the cable communications system. Attached is the original Acceptance which needs the signature of Dennis Yocum of TCA/Cox Communications. Please get his signature and return the document to the city clerk's office or to me. Thank you for your cooperation. /cbp attachment FAYETTEVIIL.LE TM( CITY 01 FAYETTEVIltE, ARKANSAS DEPARTMENTAL CORRESPONDENCE • ^ g or . 0 t. i 49 2003 CIT Y OF FAYETTEVILLE MAYOR'S OFFICE Hugh Earnest Administration From: Clarice Buffalohead-Pearman City Clerk Division Date: October 27, 2003 Re: Res. No. 161-03 attachment The City Council passed Resolution 161-03 on October 21, 2003, authorizing TCA Cable/Cox Communications to continue to operate under the terms of the franchise agreement the cable communications system. Attached is the original Acceptance which needs the signature of Dennis Yocum of TCA/Cox Communications. Please get his signature and return the document to the city clerk's office or to me. Thank you for your cooperation. /cbp attachment