HomeMy WebLinkAbout11/17/03 Board of Public Works Public Hearing Minutes392A
PUBLIC HEARING
NOVEMBER 17, 2003
A Public Hearing for the Extension of the Comcast Franchise Agreement was held on November 17,
2003, commencing at 5:30 p.m. Present were Board of Public Works President Gary A. Gilot,
Board Members Carl P. Littrell and Mr. Donald E. Inks and City Attorneys Aladean DeRose and
John Livingston. City Council President Karen White, Council Members David Varner, Charlotte
Pfeifer, Roland Kelly, Council Member Elect Ann Puzzello and City Council Attorney Kathy
Cekanski-Farrand were also present, as well as County Council President Rafael Morton. Mikki
Dobski, Community Affairs, was also present. In addition, Mr. Jim Peterson, Comcast, was in
attendance.
PUBLIC HEARING - AGREEMENT EXTENSION - COMCAST FRANCHISE AGREEMENT
Mr. Gilot advised that this was the date set for the Board's Public Hearing concerning public hearing
for an extension of the Franchise Agreement, which was signed by the Board of Public Works on
October 19,1998. This hearing is scheduled to give residential cable users an opportunity to provide
comments about the quality of the cablevision and related services furnished by Comcast, including
repair, service outages and repair response time. The present Agreement renews itself if certain
conditions are met, and is for an additional ten (10) years. By December 31, 2003, the Board of
Public Works will determine whether Comcast has met the requirements for extension of the current
contract through December 2013.
Mr. Gilot stated copies of the current contract and frequently asked question sheets were available
for the public.
The ground rules for the Public Hearing were reviewed for the audience.
Public comment will be open for a period of five (5) business days after the Public Hearing for any
additional written comments or e-mails to the Board of Public Works on the subject of the Comcast
Agreement extension.
Mr. Gilot stated the Public Hearing would be recorded from the microphone at the podium; speakers
were asked to sign in, identify themselves by name and address to be heard by all attending.
Speakers were asked to limit their comments to three (3) minutes on comments. The comments
should be limited to the programming and customer service aspects of the Comcast Agreement with
the City of South Bend.
The City of South Bend may not regulate the cost of telecommunication services by Federal law, and
the public hearing is not a rate hearing.
Ms. Aladean DeRose, City Attorney, stated that Congress and the Federal Communications
Commission (FCC) allows cities to act as a franchising authority for cable television companies.
The Franchising authority may prescribe some of the things that a cable operator must do in order
to provide services to customers. These types of things, which the City of South Bend can regulate
are the installation, repair, customer complaints, and basic programming categories. The City of
South Bend cannot set cable rates. The power that the FCC gives to cities as to rates is only for the
basic tier level of services, which is defined as the re -transmission of the local broadcast channels
and non-commercial public education and governmental access channels. The role of the franchising
authority (the City of South Bend) is given to it by the FCC. Comcast's basic tier level rate falls
within the limits prescribed by the FCC. As the Comcast rates have gone up, these rate increases
are above and beyond the basic tier level. The current contract began on October 19, 1998, with
Comcast predecessor, TCI, which was acquired by AT&T, which then was acquired by Comcast.
The first window of review under the contract agreement is after five (5) years. If Comcast has
provided necessary technical upgrades and is otherwise in compliance with the customer service
duties under the contract, the Board of Public Works can extend the current agreement for an
additional ten (10) years, which would expire December 31, 2013. Under the contract between
Comcast and the City of South Bend, South Bend residents are invited to and should provide input
and comment on Comcast cable service, which is written into the contract.
The users have and opportunity to provide input and comment on things such as phone access to
Comcast, responsiveness an courtesy of the customer complaint operators, return calls, scheduling
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PUBLIC HEARING
NOVEMBER 17, 2003
time for repairs, satisfactory nature of repairs, outage problems, responsiveness to billing errors and
refunds, and public access to the local public education and governmental channel.
As for any comments unrelated to these topics, this is the time to be here to influence Comcast. The
City of South Bend cannot require Comcast to provide any particular program, or include a specific
network. The City's contract is on behalf of City residents, and any comments from them will be
considered, which is a determining factor for the Board of Public Works to extend this contract to
2013.
Mr. Jim Petersen, Comcast, was available for comment and feedback. Mr. Petersen noted that
Comcast has made a few changes since the contract was approved in 1998; from TCI to AT&T to
Comcast. Procedural changes were made, as well as organizational changes. The rebuild of the
South Bend system was completed during this time in the City of South Bend. $13 million was spent
in an upgrade to the physical plant, which is over five hundred(500) miles of cable that has been
replaced over the past several years. A number of channels has also been added from 36 channels
to 59 in basic and expanded categories. Additional digital product has also been added. The digital
package n ow has 188 channels, compared to 44 channels five years ago. Many options are available
to customers. Comcast can now offer new technology as it comes out, most currently, high speed
Internet service. The future will bring video on demand and Tivo. The reliability of the cable
service has also increased in the past five years. Level of service calls has decreased in the same
time period.
The public hearing was then opened for comment.
Six (6) citizens signed in to speak their comments, all of which is contained in the recording, which
concerned the following topics:
1) Removal of desirable programs from the basic service package and positioning of
these programs in the higher level of service which low income persons cannot
afford;
2) unavailability of a service package rate slightly higher than basic level which would
contain removed programs;
3) a surplus of home shopping channels in the basic package and deletion of more
desirable programs;
4) availability of cable in the downtown South Bend area and in public buildings;
5) poor service and poor notice of changes;
6) using the local access channel for commercial programming and inadequate
equipment for public access channel;
7) too many programs with "murder, mayhem and sex"; and
8) lack of direct access on the public channel (3).
An audio tape contains the actual public comments.
There being no one else to speak, the public portion of the public hearing was closed. Written
comments or e-mail comments could still be forwarded to the Board of Public Works within the next
five (5) days.
Mr. Peterson, Comcast, had no further comments.
Any additional comments or e-mail comments would be reviewed by the Board of Public Works.
The Board will take action on the franchise agreement extension in December 2003. This date of
this meeting will be posted on the City's web page. At the public Board meeting, public comments
will also be welcome. Attorney DeRose gave her e-mail address to attendees. Mr. Peterson was
asked to forward his comments to the City of South Bend within the next five (5) days. All
comments will be posted on the City of South Bend's web page. All public information regarding
this meeting will also be available from the Clerk of the Board of Public Works.
Comcast gave the audience a toll free number to call (1-800 824- 2000) which is staffed 24 hours
a day, seven days a week to answer a variety of questions from customers.
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PUBLIC HEARING NOVEMBER 17, 2003
Mr. Gilot stated that if there were a finding of non-compliance with the contract terms that would
constitute a breach, the City would find another service provider.
No other date was scheduled for a public hearing concerning the agreement extension. The public
is welcome to attend any Board of Public Works meetings, which are the second and fourth Monday
of each month, commencing at 9:30 a.m., 13th floor meeting room, County -City Building.
Several citizens asked questions of the Board and Attorney, all of which are contained in the
recording.
There being no one else present wishing to address the Board concerning this matter, the Public
Hearing was closed.
The Public Hearing was concluded at 6:40 p.m.
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AT ST:
Angela Oacob, erk
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Gary A. Gilot, President
Carl P. Littrell, Member
Donald E. Inks, Member