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CCP 06-29-1998
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CCP 06-29-1998
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<br /> . <br /> Memorandum, Negotiated Renewal Franchise with Meredith Cable <br /> Page Two <br /> June 25, 1998 . <br /> 2. "Gross Revenue," upon which the company pays a five percent (5%) franchise fee, is <br /> expanded not only to include revenue from all Cable Services, as defined above, but also <br /> makes clear that fees for such presumed revenue producers as advertising, Internet <br /> service, and cable modem service will be captured for the purpose of collecting City <br /> revenue. It is anticipated as technology changes occur, the member cities will increase <br /> revenues in the areas identified. Other Cable Commissions have not typically been able <br /> to negotiate these items into their franchise agreement. <br /> , The franchise is still "non-exclusive" which is required by law. Therefore, the City can <br /> j. <br /> grant franchises to as many competitors as it may wish in order to provide service in the <br /> City. <br /> 4. The franchise term is for fifteen (15) years. This is standard around the country and is <br /> argued by the company to be necessary for them to adequately finance the significant <br /> upgrade of the cable system. Some policy makers argue that a shorter term will give the <br /> system more flexibility to be upgraded and give the City more leverage in "getting things" <br /> from the company. The past franchise was for fifteen (15) years, and the systems were <br /> constantly and significantly upgraded, this being in the best interest of the company <br /> anyway. The Commission recommends a fifteen (15) year franchise. <br /> There is some belief that laws are changing in such a manner that franchising as we now . <br /> know it will be eliminated. As a result, while historically cable companies have needed <br /> the long-term agreements to finance their business operations, many are agreeing to short- <br /> term agreements. <br /> 5. The franchise is for the corporate boundaries of the City, but the system is really one <br /> system for the ten (10) city area, and is required to be interconnected with the systems <br /> which border the ten (10) city area. The Commission required this in an attempt to keep <br /> the North Suburban System a part of a greater metropolitan communications network, <br /> especially since many of the school district boundaries and the county boundaries extend <br /> beyond the ten (10) city area. <br /> 6. Subscriber and Institutional Network drops must be provided to all institutions listed in <br /> Exhibit B. Staflhas included the following Arden Hills locations in this document: <br /> . City Hall <br /> . Maintenance Garage <br /> . Ramsey County Library <br /> . Mounds View High School <br /> . Valentine Hills Elementary School <br /> . Bethel College <br /> . Lake Johanna Volunteer Fire Department, Station #1 <br /> . Army Reserve Center <br /> . <br /> i <br />
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