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North <br />Suburban <br />Communications <br />Commission <br />VIA COURIER <br />December 12, 2002 <br />7 ide- e !l ?cc d Dtvvu> f%72 / Z. 1 Z. ZO O 2—. <br />Mr. David Seylcora <br />Vice President — Law and Government Affairs <br />AT &T Broadband <br />10 River Park Plaza <br />St. Paul, Minnesota 55107 <br />Mr. William Wright <br />Area Vice President <br />AT &T Broadband <br />10 River Park Plaza <br />St. Paul, Minnesota 55107 <br />Re: Notice of Franchise Violations <br />Dear Mr. Seylcora and Mr. Wright: <br />As you know, § 8.3.a of the franchise ordinances for Arden Hills, Falcon Heights, <br />Lauderdale, Little Canada, Mounds View, New Brighton, North Oaks, Roseville, St. <br />Anthony and Shoreview, Minnesota (the "Member Cities ") require AT &T Broadband to <br />remit to the Member Cities a franchise fee of five percent (5 %) of its quarterly gross <br />revenues. "Gross revenues" are defined in § 1.2.m of the franchises as: <br />all revenue received directly or indirectly by the Grantee, its affiliates, <br />subsidiaries, parent or person in which Grantee has financial interest of <br />five percent (5 %) or more, from the operation of its System within City <br />including, but not limited to, all Cable Service fees, Franchise Fees, PEG <br />Fees, late fees, Installation and reconnection fees, upgrade and downgrade <br />fees, advertising revenue, Converter rental fees, Lockout Device fees, fees <br />related to commercial and institutional usage of the I -Net, Internet access <br />fees, cable modern service fees and interest. The term Gross Revenues <br />shall not include any taxes on services furnished by Grantee imposed by <br />any municipality, state, or other governmental unit and collected by <br />Grantee for such governmental unit. (Emphasis added). <br />Arden Hills Falcon Heights Lauderdale Little Canada Mounds View New Brighton North Oaks Roseville St. Anthony Shoreview <br />