10-11-00 Council Minutes - Laserfiche WebLink

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MINUTES CITY COUNCIL OCTOBER 11, 2000 Wilson gave the Council an overview of Federal and State legislation relative to telecommunications pointing out that the FCC set cable franchising rules in the late 1960's and there is local control over public rights-of--way. Wilson pointed out that most Twin Cities' franchises were granted in the early 1980's. Even though exclusive franchises are precluded under State Law, only one franchise was granted in each of the various metro areas. Wilson stated that the her best recollection is that one franchise was granted because the reality of the situation at the time was that two cable companies couldn't compete. However, given the fact that companies are now providing cable, telephony, and Internet services, this has changed. Wilson reported that competition will provide a huge benefit to customers in terms of price control, improved customer service, and additional technological services. The downside is the construction that will occur in the rights-of--way as well as additional visual clutter on poles as well as more additional green equipment boxes. Wilson also anticipated that if additional franchises are awarded, the reality would be that it would be two to five years before a system could be constructed and operational. Wilson reported that the attorney for the Telecommunications Commission is currently reviewing the legal, technical, and financial qualifications of the applicants and she anticipated that a recommendation would be made to the Commission in December with the member cities asked to act on additional franchises after the first of the year. Wilson pointed out that part of the franchise agreement with AT & T is that they provide funding for PEG access as well as the institutional network that is provided to member cities and school districts. Any franchise agreement negotiated with another provider will have to include equivalent requirements without duplication of the services already being provided. Wilson pointed out that while there are two companies requesting franchises at this time, it is the general belief that the market will probably only support two providers. However, it is also her philosophy that it is the market that will make the decision as to which providers will succeed. Fahey asked about the length of the AT & T franchise. Wilson reported that the AT & T franchise is for 15 years and was renewed in 1998. Morelan asked if telecommunicationscompanIes shared plant. Wilson replied that they did not given that they may use different technologies as well as would likely start construction of their infrastructure indifferent