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n~ lU 9~ YO~ 15:~5 fA! @005 Mr Dan Wall August 10, 1998 Page 3 LEASE OF' SYSTEM The frfu'1chise prohibits anyone fr(lm avoiding fTandllSe obligatirJnS bv the establishment of a lease of the McdiaOne system for the purpose of provIding cable St:lvice SpeCIfically, In that scenario, pursuant to Section 2.3 of the fraochJse.. such person shall have tirst obtained a valid franchise or other auihorization contaming substantialiy similar burdens and obligations to MediaOne's franchise We interpret that provision to impose the sarne standa.rd ofIevel playing field protection as is set forth in Sections 2,2(c) of the franchise. T11 other words, if a third party is to lease MediaOne's cable system to pro\.'ide cable service, the terms and conditions of the City's authorization to do so must be, when taken as a whoie, no less burdensome or more beneficial than those imposed on MediaOne pursuant to the franchise_ RIGHT OF WAY ORDINANCE/CABLE }"'RANCIIlSE Wilh respect to rights-of-way issues, we note that the iIanchise was drafted pI10r to the CIty'S adoptIOn of a right-of-way ordmance of general applicabilIty pursuant to Mmnesota Statutes and the City's police powers. Likewise, the mle-making pursu3.nl to The recently enacted state right-of-way statute \vas stiH underway. As such, the franchise language wac; draned to assure that the essential elements of right-of-way authorization for MediaOne arc included m the franduse, and MediaOne's bUl dens would not exceed tbose of sinularly situated right of '.vay users, while at the same time recognizing that the mechanics of administering some rights-of-way authorizatIons and compensation mechanisms related to other users are sti]] in development and may ditTer based on state statutes or the particular exercise of police power s by tbe City. PUBLIC BUILDING CON~'"ECTIONS This will clarify that if, in the future, qualifying public mstitution buildings are constructed within 500 teet of the cable system, McdiaOne wiIi provide a connection to such building at no cost -to the institution. In addition to the first drop wluch is free, upon request, additional subscriber network drops in any of the public mstitution building locations 1;1,7111 be installed by i\fediaOne at our cost of time and materials. Alternatively, the instItution may add outlets at its own expense as long as the installation meets MediaOne standards. In this regard "standJ.rds" refers to construction standards and technical specifications. SYSTEl\l DESIGN The n.:nc\-val franchise mandates that MediaOnc upgrade its sysfem to 750 megahertz capacity Our tiber.rich 750 megahertz upgrade is ;.;onsistent v,rith I\'fedlaOne . s broadbal1d vision for the future and 2122M16..1.}.,fP.,