HomeMy WebLinkAboutAGENDA REPORT 1990 1107 CC REG ITEM 12A & 12BPAUL W. LAWRASON, Jr.
Mayor
SCOTT MONTGOMERY
Mayor Pro Tern
ELOISE BROWN
Councilmember
CLINT HARPER, Ph.D.
Councilmember
BERNARDO M. PEREZ
Councilmember
LILLIAN KELLERMAN
City Clerk
MOORPARK
mooRPARK. CALIFORNIA
pty M"" of 7 199
ACTIO
3 3 -e- -3
11.E
To:
From:
Date:
Subject:
Background
M E M O R A N D U M
ITEM I ?. (a
STEVEN KUENY
City Manager
CHERYL J.KANE
City Attorney
PATRICK RICHARDS, A.I.C.P.
Director of
Community Development
R. DENNIS DELZEIT
City Engineer
JOHN V. GILLESPIE
Chief of Police
RICHARD T. HARE
City Treasurer
The Honorable City Council.
Scott F. Field, of Burke, Williams & Sorensen and
Cheryl J. Kane, City Attorney
November 1, 1990 (CC meeting of 11/07/90)
Renewal of Cable Television Franchise
Ventura County Cablevision ("VCC ") presently holds the franchise
for a cable television system in Moorpark. Prior to City
incorporation, this franchise was held by Storer Cablesystems.
However, the City approved the transfer of the franchise to VCC
in December 1986.
In connection with the franchise transfer, the City approved a
memorandum of understanding with VCC concerning the basic terms
of a franchise renewal. Because the franchise was about to
expire on January 6, 1987, there was insufficient time to prepare
the necessary documentation to grant a franchise renewal.
Consequently, the memorandum was used to establish the framewcr',
of a renewal. In addition, a series of temporary franchise
extensions have been granted in order to provide time to
negotiate the formal franchise renewal documents.
Attached are the two ordinances required to accomplish the
renewal. First, the lengthier .:) rdinance is the Cable Television
Ordinance. This is a generic ordinance establishing the
standards for granting, renewing, operating and terminating a
cable television system within i::he City of Moorpark. (For
example, this Ordinance will apply to Mountain Meadows Cable
Television when it applies for 'ranchise renewal or a new
Franchise applicant.)
799 Moorpark Avenue IUlnmmnrlr rnlif, . i, o)n), 1.,., A
The Cable Television Ordinance provides that the City
may grant individual cable television franchises and renewals by
ordinance. Accordingly, also attached is a "Franchise Ordinance"
granting VCC a new ten year franchise. This Franchise Ordinance
adds further definition to the Cable Television Ordinance in such
areas as system design, public, educational and governmental
programming, construction schedules, franchise fees and
liquidated damages.
Discussion
SUMMARY OF ORDINANCES.
A. Cable Television Ordinance:
The Cable Television Ordinance would add Chapter 6 to Title 5 of
the Moorpark Municipal Code, consisting of twelve subparts.
Briefly, the Chapter provides as follows:
§ 5.06.200, et seg: defines the words used in the Ordinance.
§§ 5.06.300 -.322: authorizes City to grant franchises; limits
franchise terms to 15 years; establishes standards for approval
of transfer of a franchise; establishes procedure for annexations
involving existing franchises; requires a gross receipts
franchise fee.
§§ 5.06.324 -.328: establishes the grounds and procedures for
terminating a franchise, or assessing penalties; further provides
an opportunity for the arbitration of breaches of the
franchise.
§ 5.06.400 et. sea: requires the Grantee to post bonds and a
letter of credit against which the City may withdr-,i monies to
pay any damages due the City for breaches of franc—se or
construction delays; further provides that the Grantee must show
evidence of insurance in the minimum amounts established in the
Franchise Ordinance and that the City must be named as an
additional insured on the polic;,.
§ 5.06.500 -.510: regulates minimum design and construction
standards of the cable system; requires minimum capability of 54
channels along with the capability to carry premium television
channels; further requires the 3rantee to provide a local
production studio for live and !dited videotaped programming.
§ 5.06.512: requires a minimum of one local origination and
public access channel, and one dull time governmental and
sff /AGD72288
Page No. lA
educational access channel; further provides that additional
channels may be required depending upon the usage of the first
two channels.
§ 5.06.514: requires subscribers to be notified of programming
changes.
§§ 5.06.516 -.528: requires City Engineer approval of the design,
location and method of construction of all facilities and
equipment; further requires that all cable be undergrounded in
areas where any other utilities are undergrounded.
§§ 5.06.530 -.532: requires compliance with all FCC technical
standards, and permits the City to establish more stringent
standards where permitted by law; further requires annual
performance testing to determine compliance with technical
standards.
§ 5.06.534: requires interconnections of Public, Education and
Governmental ( "PEG ") channels with adjacent and nearby systems.
§ 5.06.600 -.604: establishes consumer service standards in areas
of telephone response and maintenance and repair staff; further
requires that a pay station be located within the City, and that
subscribers be able to obtain installation and disconnection of
cable television services without the necessity of visiting an
office outside of City limits.
§§ 5.06.606 -.608: establishes privacy standards for subscribers,
including requiring that Grantee may not market mailing lists
without providing subscribers an opportunity to delete their name
from the list.
§§ 5.06.612 -.614: establishes a subscriber complaint procedure
that can lead to the imposition of penalties.
§ 5.06.700 et. sea: reserves to City the right to impose rate
regulation should the federal government ever grant the City such
authority; further provides that subscribers shall be given at
least 60 days notice of rate increases.
§ 5.06.800 et. sea: establishes minimum service standards,
including that all residential areas of a density of at least 40
residents per strand mile must be served; further regulates the
rates for extending service to isolated areas.
sff /AGD72288
Page No. 1B
§ 5.06.900 et. sea: requires the maintenance of records
indicating the number of service calls and subscriber complaints
and the time it takes to respond to such complaints.
§ 5.06.1000 et. ses: permits the City to condemn the franchise
consistent with federal and state law.
§ 5.06.1100 et. seg: permits the City to require annual "state
of the system" reports; further requires Grantee to conduct an
annual subscriber satisfaction survey, and permits the City to
add its own questions to the survey.
B. The Franchise Ordinance:
The Franchise Ordinance grants the franchise renewal to VCC. The
significant Sections of the Franchise Ordinance are as follows:
1. Renewal: grants VCC a franchise renewal
2. Franchise Area: permits VCC to operate throughout
the boundaries of the City; this is consistent with its existing
franchise, and would permit VCC to operate within the same
franchise area granted Mountain Meadows.
3.
Franchise
Term:
grants a 10
year franchise term.
4.
Franchise
Fees:
5% of gross
revenues.
5. Reimbursement of City Expenses: requires VCC to
reimburse the City for all expenses, including staff time and
legal expenses, in connection with the franchise renewal process.
7. Construction Schedule: requires VCC to provide one
governmental access channel dedicated exclusively to the City,
with the capability for the origination of live and videotaped
programming from City Hall no later than June 30, 1991; further
requires that system be rebuilt. to 60 channels no later than
December 1993.
8. PEG Access: requires that VCC:
(a) Provide the technical capability for the
origination of live and videotaped programming from City Hall by
June 30, 1991.
(h) Continue to maintain and operate a local area
origination /PEG Access studio; further requires VCC to provide
sff /AGD72288
Page No. 1C
free use of the studio and offer at least two video training
workshops per year.
(h) VCC will continue to cablecast all City
Council meetings until June 30, 1991.
(o) VCC shall extend the cable system to Flory
Elementary, Chapperal Elementary, Campus Canyon Elementary, and
Peach Hill Elementary within six months of the franchise
renewal. VCC also shall extend service to all other new schools
built during term of franchise„
(p) If the City should enter into an agreement
with Moorpark College to contract with the College to provide PEG
operating services, the City may use funds it receives pursuant
to the franchise to pay for extending a cable link to Moorpark
College, including a reverse line, if appropriate. VCC will be
required to build this line within six months following the
City's request, charging no more than VCC's actual labor and
materials costs.
(q) VCC will agree to install live program
capability to all School sites and Moorpark College. VCC shall
perform the work within six months following the City's request,
charging no more than VCC's actual labor and materials costs.
(r) VCC shall install such modifications to its
system as necessary to interconnect the City's PEG channel with
Mountain Meadows Cable Television, at Mountain Meadows'
expense.
9. PEG Access Capital Improvements: VCC shall make
the following capital contribution for PEG Access:
Upon
execution of Franchise
- $
50,000;
Year
one of the Franchise
- $
50,000;
Year
five of the Franchise
- $
37,500.
This money will be used to construct and equip a cable studio for
the City's governmental channel..
10. Letter of Credit: establishes a letter of credit
in the amount of $10,000.
11. Licruidated Damages: establishes liquidated damages
in the amount of $200.00 per day for every day in excess of
thirty days that VCC does not timely complete or activate its
construction obligations, including implementation of a 60
sff /AGD72288
Page No. 1D
channel system, provision of an exclusive governmental access
channel to the City, and provision of capability to originate
live programming from City Hall; further provides liquidated
damages of $50 per day for all other breaches of the Franchise,
and $75 per day beginning in 1997.
Recommended Action
1. It is recommended that the Council introduce and adopt these
two Ordinances.
Attachments:
1. "AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF MOORPARK
GRANTING A FRANCHISE RENEWAL TO THE CHRONICLE PUBLISHING
COMPANY, dba VENTURA COUNTY CABLEVISIONN; and
2. "AN ORDINANCE OF THE CITY COUNCIL OF
AMENDING THE MOORPARK MUNICIPAL CODE
TITLE 5 RELATIVE TO THE GRANTING OF
FRANCHISES"
sff /AGD72288
Page No. lE
THE CITY OF MOORPARK
BY ADDING CHAPTER 6 TO
CABLE TELEVISION
cc: Steve Kueny, City Manager
Richard Hare, Deputy City Manager
Carl Pilnick, Telecommunication Management Corp.
Christopher Lammers, Western Communications, Inc.
Cheryl J. Kane, City Attorney
sff /AGD72288
Page No. 1F