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No. 98-18
CITY OF FALCON HEIGHTS
COUNCIL RESOLUTION
Date: Julv 29, 1998
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A RESOLUTION AUTHORIZING PUBLICATION OF A SUMMARY OF ORDINANCE 98-OS
WHEREAS, Ordinance No. 98-OS is entitled "An ordinance granting a franchise to Media One
North Central Communications Corp. to construct, operate, and maintain a cable communications system
in the City of Falcon Heights; setting forth conditions accompanying the grant of the franchise; providing
for regulation and use of the stem and the public rights-of--way in conjunction with the city's right-of-
way ordinance, if any, and prescribing penalties for the violation of the provisions herein" and contains
several pages of text; and
WHEREAS, the contents of said ordinance can be summarized as follows:
STATEMENT OF INTENT AND PURPOSE
The City intends, by the adoption of this Franchise, to bring about the further development of a Cable
System, and the continued operation of it. Adoption of this Franchise is, in the judgment of the
Council, in the best interests of the City and its residents.
• FINDINGS
The City Council makes the following findings:
1 The company technical ability, financial condition, legal qualifications, and
character were considered and approved;
2. The company plans for constructing, upgrading, and operating the System were
considered and found adequate and feasible;
3. The Franchise complies with applicable laws and regulations; and
4. The Franchise is nonexclusive.
SECTION 1.
SHORT TITLE AND DEFINITIONS
This Section names the Franchise Ordinance as the Cable Franchise Ordinance and contains many
defmitions regarding the cable system.
SECTION 2.
GRANT OF AUTHORITY AND GENERAL PROVISIONS
This Section grants a nonexclusive, fifteen (15) year Franchise pursuant to the company's proposal and
additional requirements contained in the Franchise. This Section further provides for free subscriber
service to designated public and educational institutions.
SECTION 3.
' CONSTRUCTION STANDARDS
• This Section provides for permitting requirements, construction code compliance, undergrounding
requirements, and other conditions on the use of the Rights-of--Way.
• SECTION 4.
DESIGN PROVISIONS
This Section provides for the construction of a System providing 750 MHZ capacity and which is fully
activated with the capability of a minimum of up to 81 video channels.
The company will develop, construct and operate a System capable of providing non-video services
such as high-speed data transmission, Internet access, and other competitive services which shall be
activated as Marketplace Need dictates.
The company will complete all construction related to the System upgrade on or before November 30,
2000. The Section contains requirements regarding testing and technical standards and provides for four
(4) channels to be interconnected with all adjoining cable systems.
SECTION 5.
SERVICE PROVISIONS
This Section provides for rate regulation when permitted by law, customer service standards, late fees
and subscriber contracts.
SECTION 6.
ACCESS CHANNEL(S) PROVISIONS
The company will provide twelve (12) channels for public, education and government programming.
The company will continue to comply with all requirements regarding community programming
operations and funding and in addition will increase the funding by $667,286 over the life of the
• Franchise.
SECTION 7.
INSTITUTIONAL NETWORK (I-NET) PROVISIONS
This Section contains provisions requiring the company to dedicate certain capacity for use by
designated institutions, and contains terms and conditions for the usage and performance of this
institutional network.
SECTION 8.
OPERATION AND ADMINISTRATION PROVISIONS
This Section contains provisions requiring the company to pay quarterly to City or its delegatee a
Franchise Fee in an amount equal to five percent (5 %) of its quarterly Gross Revenues. In addition, the
City shall have the right to require the company to provide copies of any records and the company must
file with the City a report of all Gross Revenues and shall furnish such other reasonable reports with
respect to operations may be required. If requested, the company shall furnish the maps, plats, and
permanent records of the location and character of all facilities.
Finally, the City may require evaluation sessions at any time during the term of this Franchise. As a
result of a review session, the company will meet with City and undertake good faith efforts to reach
agreement on changes and modifications to the Franchise which are both economically and technically
feasible.
SECTION 9.
• GENERAL FINANCIAL AND INSURANCE PROVISIONS
This Section contains provisions requiring the company to furnish a performance bond to City in the
amount of $500,000.00 and deliver to City an unconditional Letter of Credit from a National or State
bank approved by City in the amount of $25,000.00 to secure compliance with the terms of the
Franchise.
• In addition, this Section provides that the City and its agents shall not be liable for an loss or damn e
Y g
arising out of any action of the company with respect to this Franchise.
Finally, as a part of the indemnification above, the company shall maintain a comprehensive general
liability insurance policy for any and all damages and penalties which may arise as a result of this
Franchise in the sum of not less than $ 1, 000, 000. 00 for personal injury or death of any one Person,
and $2,000,000.00 for personal injury or death of two or more Persons in any one occurrence,
$500,000.00 for property damage to any one person and $2,000,000.00 for property damage resulting
from any one act or occurrence.
SECTION 10.
SALE, ABANDONMENT, TRANSFER AND REVOCATION OF FRANCffiSE
This Section provides that the City reserves the right to revoke, this Franchise, if it is determined by
City that the company has violated material provisions(s) of this Franchise, has attempted to evade any
of the provisions of the Franchise; or has practiced fraud or deceit upon City. This Section also contains
provisions regarding abandonment of service and removal of equipment and requires that the company
receive approval prior to sale or transfer.
SECTION 11.
PROTECTION OF INDIVIDUAL RIGHTS
This Section prohibits discrimination and requires subscriber privacy by the company.
• SECTION 12.
UNAUTHORIZED CONNECTIONS AND MODIFICATIONS
This Section prohibits unauthorized connections to the system or damage to the system.
SECTION 13.
MISCELLANEOUS PROVISIONS
This Section contains a variety of requirements concerning franchise renewal, amendments, compliance
with applicable law, and interpretation of the Franchise.
SECTION 14.
PUBLICATION EFFECTIVE DATE; ACCEPTANCE AND EI~I~ITS
This Section requires that the Franchise be published in accordance with applicable local and Minnesota
law. The Effective Date of this Franchise shall be the date of acceptance by the company in accordance
with the provisions of Section 14.2.
The company shall accept this Franchise within sixty (60) days of its enactment by the City Council
provided, however, this Franchise shall not be effective until all City ordinance adoption procedures are
complied with and all applicable timelines have run for the adoption of a City ordinance.
NOW, THEREFORE, BE IT RESOLVED by the city council of the City of Falcon Heights,
Minnesota that:
• 1. Publication of this resolution, which includes a summary of Ordinance 98-OS will clearly inform
the public of the intent and effect of the ordinance
2. A copy of this resolution shall be published in lieu of publishing a copy of Ordinance 98-OS in its
entirety.
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3. A copy of the complete ordinance shall be available for public inspection in the office of the city.
Moved by: Jacobs
GEHRZ
GIBBON TALBOT
HUSTAD
JACOBS
KUETTEL
5 In Favor
Approved by:. ~~
Mayor
Julv 29, 1998
Date
0 Against Attested by: l
City Clerk
July 29, 1998
Date
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