10-28-2015 Council Packet - Laserfiche WebLink

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North Suburban Communications Commission CenturyLink Cable Franchise Key Issues Summary Reasonable Build -Out of the City • Complete Equitable Build -Out. Goal is to Build -Out each entire member city over 5 -year tern, based on market success, with a significant investment targeted to areas below the median income in the member city. See Section 2, para. 7(a)(i). • Initial Minimum Build -Out Commitment, 15% of each member city over 2 years. See Section 2, para 7(a)(ii). o CenturyLink must make its best effort to complete the initial deployment in a shorter period of time. o Equitable deployment to households throughout each member city. o Must include a significant number of households below the medium income of the City. o CenturyLink permitted to serve more households, • Quarterly Meetings. Starting January 1, 2016, CenturyLink must meet with each member city and show to each member city's satisfaction (See Section 2, para. 7(a)(iii)): o Number of households capable of being served and actually served, o Compliance with anti -redlining requirements. o Maps and documentation "showing exactly where within the City the Grantee is currently providing cable service." • Additional Build -Out Based on Market Success. Starting January 1, 2016, CenturyLink Build -Out Commitment will increase if its penetration rate is at least 27.5% in the areas that it is offering service. See Section 2, para. 7(a)(iv). . o Example: If offering service to 60% of the member city and CenturyLink has penetration of 30% in that area, then the Build-Outcommitment will increase 15% to 75% of the member city. . o Additional Build -Out commitment continues until all households are served. • Line Extension, No initial mandatory line extension, unless CenturyLink becomes the dominant cable provider. Then the member city decides CenturyLink's build -out schedule, including a density requirement that is the same or similar to Comcast's density requirement. See Section 2, para. 7(a)(v), Economic Redlining or "Cherry Picking" Prohibited • . Cherry Picking is prohibited by the Federal Cable Act, See 47 U.S.C. § 541(a)(3). • Franchise prohibits Cherry Picking, See Section 1.3 (Identical to Comcast Franchise). • CenturyLink has additional $500 per clay penalty/liquidated damage for violating Section 2, para. 7 (Reasonable Build -Out of the Entire City). See, Section 9, para. 2(c)(vi).