11-10-03 Public Works & Property Vacation

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ontin ittu teport VOW Worms anti Vropertt Vacation Committ The November 10, 2003 meeting of the Public Works and Property Vacation Committee was called to order by its Chairperson, Council Member David Varner at 5:10 p.m. in the Council Informal Meeting Room. Persons in attendance included Council Members Kelly, White, Varner, Aranowski, Pfeifer, Coleman, Kirsits, and Kuspa; Mayor Stephen Luecke, City Controller Rick 011ett, Public Works Director Gary Gilot, City Engineer Carl Littrell, Chief Assistant City Attorney Aladean M. DeRose, Assistant City Attorney Cheryl A. Greene, Dennis Whittacker,Terry Bland of the 4ut1j 3i n ertt unt, and Kathleen Cekanski-Farrand, Council Attorney. Dr. Varner noted that he called the Committee meeting in order to receive updates on three (3) items, namely the cable franchise agreement, the demolition of St. Joseph/Jefferson Street Parking Garage, and the Studebaker National Museum. Chief Assistant City Attorney Aladean M. DeRose noted that in preparation for today's meeting she sent to the Council a one-page document entitled"Frequently Asked Questions Regarding Comcast Cable Public Hearing",a two-page letter from her dated October 16, 2003 to Lori Marsh,Manager of Corporate Affairs for Comcast Communications, Inc., and a copy of the 23-page Franchise Agreement between the City of South Bend and Heritage Cablevision(copies attached). Ms. DeRose noted that in 1983 the city entered into an agreement for a cable franchise with Heritage Cablevision. In 1998 the agreement was entered into with TCI which was the successor company to Heritage Cablevision. The first term of the contract expires on December 31, 2003, with the possibility of a ten(10) year extension. Ms. DeRose noted that the City is obligated to review upgrades, services, programming and repair services. The public hearing has been scheduled for Monday, November 17, 2003 from 5:30 pm to 7 pm in the Council Chambers. The Board of Works will be acting under contract law and will determine if the contract would be extended and therefore ending in 2013. In response to a question from the Council Attorney, Ms. DeRose stated that in 2002 the city received $640,000 in cable revenues and this year the revenues will be between $620,000 to $640,000. The service fee which generates such revenues is in consideration for the use of the right-of-ways and for the various services which the City renders. The service fee is based on Comcast's gross revenues. In response to a question from Council President White, Ms. DeRose noted that all such revenues being deposited into the general fund. Dr. Varner inquired whether the rights granted to the cable company are exclusive. He noted that he attended the public hearing in 1998 and that WTTW from Chicago was requested as a programming channel. He noted that the cable representatives stated that they would work on it and that the channel is only available if you have digital service. Ms. DeRose stated that the rights are contractual and under the agreement they are granted a "nonexclusive franchise" which authorizes them to construct and operate a cable system [SEE § 2 RANT OF FRANCHISE, 9 2.1j. She further added that programming is addressed in the agreement 'NGE 11, ¶3.19 PROGRAMMING]. She added that public input in important.