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<br /> <br /> <br />Bradley Berkland Hagen & Herbst, LLC <br /> <br />1976 Wooddale Drive Suite 3A Woodbury, MN 55125 (651) 379-0900 BradleyLawMN.com <br /> <br /> <br /> <br />MEMORANDUM <br />To: NSCC <br />From: Mike Bradley <br />Re: Comcast Franchise Renewal <br />Date: July 27, 2017 <br /> <br /> <br />NSCC – Comcast Franchise Deal Point Summary <br /> <br />1. Mutually agreeable Franchise. The current cable franchise was ultimately used as a base <br />document. <br /> <br /> Incorporates prior agreements on renewal terms. <br />o Gross Revenues Definition <br />o Auditing Provisions <br />o Electronic Programming Guide <br />o Channel Placement <br /> <br />2. 10 year franchise term. <br /> <br />3. 5% Franchise Fee paid to each Member City. <br /> <br />4. Current PEG Grant Funding pursuant to 1994 MOU remains in place through December <br />31, 2017. <br /> <br />5. Starting January 1, 2018, Comcast will pay a 3% PEG Capital Fee. <br /> <br /> New NSAC PEG Sponsorship Agreement commences January 1, 2018. <br />o Allows PEG funding to continue to be used for capital and operational purposes. <br />o Agreed to simultaneously with Franchise. <br /> Comcast allowed to recover a claimed PEG funding underrecovery through a .5% PEG <br />Fee through December 31, 2019. <br /> No change in PEG Fee in 2017 - capped at $6.00. <br /> All subscribers should see their PEG Fee decrease starting in 2018, but amount of new <br />PEG Fee will fluctuate per subscriber depending on the amount of services purchased. <br /> <br />6. 6 SD PEG channels, plus 2 HD PEG channels. One additional HD PEG channel (3rd HD <br />Channel) 60 months after the effective date. Comcast may simulcast all PEG channels in HD. <br /> <br /> PEG Available to all subscribers regardless of tier of service. <br /> No provision for Universal Service.