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05 <br /> City Council Regular Meeting Minutes <br /> October 14, 2003 <br /> Page 5 <br /> 1 Clarence Ranallo,North Suburban Cable Commission, noted the top item to report was the <br /> 2 North Suburban Access Corporation was suing Comcast. He explained,when cable first started, <br /> 3 the ten cities formed a commission asking the cable companies to pay a franchise fee for being <br /> 4 allowed to use City property and access to residents. He added the franchise fee had been quite <br /> 5 successful and was determined by the number of subscribers. He indicated the City had obtained <br /> 6 approximately$250,000 from franchise fees throughout the years. <br /> 7 <br /> 8 Mr. Ranallo explained the reason for the fee was so money could be used for cable-related items, <br /> 9 such as all of the cable equipment in the Council Chambers. He added operating said equipment <br /> 10 was a tough job for one person and the point had been reached where one person could not <br /> 11 handle it alone. <br /> 12 <br /> 13 Mr. Ranallo stated the lawsuit came about because the Internet came along and hooked up with <br /> 14 cable. He added, due to FCC comments, the cable companies quit paying the franchise fee; <br /> 15 therefore, the Commission began drawing down on their line of credit. He indicated Comcast <br /> 16 was now suing the City, commissioners and all who were involved in the draw down. He noted <br /> 17 the money from the draw down had been placed in an escrow fund. <br /> 18 <br /> 19 Mr. Ranallo indicated the Access Corporation had provided many services in many cities, such <br /> 20 as the Village Fest parade, concerts, football games, basketball games, various programs, <br /> 21 Council meetings and School Board meetings. He added a video club in the middle school had <br /> 22 been started by one of the residents, which met every other Wednesday morning for students <br /> 23 who were interested. He stated there was also interest in getting high school students involved. <br /> 24 <br /> 25 Mr. Ranallo stated volunteers were being sought from the adult population. He noted two young <br /> 26 people who had begun by running cameras were now working at radio stations. He added many <br /> 27 people were watching Council meetings and that was a good way to spread large amounts of <br /> 28 information. <br /> 29 <br /> 30 Mr. Ranallo indicated that many residents did not understand that the hook up for the community <br /> 31 channels on cable was free, adding there was no installation charge or monthly fee. <br /> 32 <br /> 33 Mr. Ranallo stated high definition and digital already was in use. He noted the City would not <br /> 34 require this equipment for approximately four to six years and,when it was needed, the money <br /> 35 received from the Commission should cover the costs. He asked if that money was kept in a <br /> 36 separate fund. <br /> 37 <br /> 38 Mr. Ranallo suggested the City might need to hire a technician to address the current audio <br /> 39 equipment problems. <br /> 40 <br /> 41 Councilmember Faust asked if Mr. Ranallo knew how many residents were hooked up to cable. <br /> 42 Mr. Ranallo responded 60% to 70% of the residents were currently using cable and the number <br /> 43 was increasing. He added Council would be surprised at how many people were watching the <br /> 44 Council replays and were well aware of what Council was doing because of cable. <br /> 45 <br /> 46 Mayor Hodson thanked Mr. Ranallo for accepting the position at the Cable Commission. <br /> 47 <br />