2002-10-23 CC Packet - Laserfiche WebLink

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,-- FROM NORTH M~TRO FAX NO. 612 780 8242 Oct. 17 2002 08:42AM P7 , l<, 1.h.e availability of the Universal PEG Service at least four ad avails per week to'be chosl:n at the sole discretion of Meredith. The Commission acknowledges tbat it hAs received from its legal counsel an opinion that Universal PEG Service is permitted under applicable federal and state law. and that Meredith need not change other services or rates to bring them into compliance with federal or state law. 4. PROFITS ON SALF., Meredith agrees that, should it sell or transfer any interest in the Cable System (sufficient to require Member Cities' approval pursuant to the Franchise) for a Profit (as defmed below) prior ro expiration of the current Franchise on September 8, 1998, it shall pass the full amount of an)' said Profit on to subscribers, up to. and not exceeding the total deUar amount of Relief granted by this Memorandum (as defined below). For any sale or transfer of a partiallnterest in the Cable System, Profit shall be calculated on a pro rata basis as set forth beiow. N othlng in this section shall constitute an admission Or precedent for future rate regulation or transfer or sales of the Cable Systeln which may occur beyond the initial term. of the FtlInchlse, 'Profit"shall mean the total Sale Price (includlng the value of any and all non-monetary benefits or incentives) received for the Cable System by Meredith, less the Acquisition Cost. less an annual rate of return of 9% on tbe Acqllisition Cost (subject to verification that 9% was the average of Meredith's acrual COSt of money since September I, 1992 acquislllon date), as agreed upon by the parties, leu the verifiable capital expenditures made since the acquiGltion dllte, less the reasonable costs of sale (attorney's fees. brol<:el"s fees, etc.), The parties e"pressly agree that no allowance or other reductions or consideratioll5 in profit calc1.l1atioll,~ .MIl be made for any past or Current accumulated operating deficits. "RelieF shall mean the total of tl1at additional amount per mOllth per subscriber, from April 1. 1995, to December 31, 1995, which Meredith may collect and/or retain under thi. Memorandum. which was previously termed 'PEG Costs" or 'Other Franchise Fees" by Meredith, and for which the Commission has previously disputed pass-through or external treatment. , 5. SERVICE RA.TES. Meredith is allowed to charge a basic service rate ill the amount being lawfully charged a~ of the effective date of this Agreemeot and any sub~equent increases lawfully Ilut in plaCe by Meredith, plus-all amounts identified herein in Exhibit A as costs which are to be given external treatment, costs which may be passed through, or com to be borne by the subscribers. except as provided for below, and which shall be identified on the subscriber bill and itemized as a 'PEG Fee". Nothini in this Agreement shallUm!r other external increases not expr..s.ly addressed in th.. Memorandum and other rate adjusrment consistent with federal law and regulations. 6