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10-11-2017 Council Packet
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10-11-2017 Council Packet
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<br />[97259/1] 5 <br /> <br />such subscribers: They do not pay the additional fee; they use a Digital Cable Box that <br />receives only Standard Definition formatted signals; and they watch only the Standard <br />Definition channels within the “Digital Starter” package.22 <br /> Likewise, Comcast has other “Digital Starter” subscribers who remit the <br />technology fee, use a Digital Cable Box that can interpret High Definition signals and <br />access both Standard Definition and High Definition formatted channels.23 Access to <br />High Definition formatted programs is available to customers as a separately-priced <br />upgrade to a subscriber’s service and that upgrade applies to the High Definition format <br />channels within the range of the subscriber’s service package.24 <br />On July 27 2017, a few days before both the Side Letter and the Franchise <br />Agreement were scheduled for approval by the NSCC, the NSCC negotiator sent an <br />electronic message to his counterpart at Comcast. The message included what the <br />NSCC negotiator described as a “clarification” to the Side Letter’s text on complimentary <br />services.25 NSCC maintained that the following text better reflected the parties’ earlier <br />agreement and understandings: <br />In addition to the complimentary services described in Section 2.10 <br />of the Franchise, Grantee shall, at no cost to the City or the North <br />Suburban Communications Commission (the Commission), provide Digital <br />Starter or equivalent package of Cable Service and City's choice of <br />Grantee's necessary reception equipment (e.g. a HD digital cable box or <br />HD digital adapter) to all locations covered in Section 2.10 of the <br />Franchise and up to seven (7) outlets at the Commission Office and at <br />each City Hall of each Member City.26 <br />Comcast disagreed that the suggested clarifications reflected the parties’ <br />agreement.27 Comcast maintained that neither the Franchise Agreement nor the Side <br />Letter required provision of more than the single High Definition connection for PEG <br />programming; and not High Definition television service to each of the connections that <br />were eligible to receive complimentary service.28 It maintained that the Side Letter <br />obliged only Standard Definition television formats as a complimentary service.29 <br />So as not to imperil the approval process for the Franchise Agreement and Side <br />Letter, the Side Letter was not adjusted further. Instead, the parties agreed to submit <br />this dispute to the Administrative Law Judge for resolution. Thus, on August 3, 2017, the <br />Franchise Agreement and the unadjusted Side Letter were approved by the NSCC.30 <br /> <br />22 See Holmes Decl., at 2-4 and Attach. 4. <br />23 Id. <br />24 Id. <br />25 Holmes Decl., Exhibit 5. <br />26 Id. (emphasis in original). <br />27 Holmes Decl., at 3-5. <br />28 See id. <br />29 Id. <br />30 Id.
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