HomeMy WebLinkAboutReso 1990-15749 RESOLUTION NO. 15749
:
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA
OF INTENTION TO DELIBERATE UPON THE GRANT OF A. CABLE
TELEVISION FRANCHISE TO JONES INTERCABLE, INC., AND
SETTING A PUBLIC HEARING FOR AUGUST 21, 1990 TO CONSIDER
THE PROPOSED FRANCHISE
The City Council of the City of Chula Vista does hereby resolve as
follows:
WHEREAS, the Charter of the City of Chula Vista provides that the City
Council shall pass a resolution declaring its intent to grant any franchise;
and
WHEREAS, on October 30, 1984, the President of the United States signed
Senate Bill 66 relating to cable television regulation; and
WHEREAS, said federal legislation affects rate regulation, franchise
fees, municipal ownership, consumer protection provisions, and the renewal
process that will be imposed upon all franchises which can be activated at the
option of the City or the operator; and
WHEREAS, the City of Chula Vista renewed the cable television franchise
with Cox Cable of San Diego in December, 1984, and more recently granted a
second franchise to Ultronics (later transferred to Chula Vista Cable) in
September, 1987; and
WHEREAS, in July, 1989, Jones Intercable, Inc. ("jones") submitted an
application for a cable television franchise within the City of Chula Vista;
and
WHEREAS, the staff has requested that the City Council deliberate on
granting a franchise to Jones on terms that are contained in the August 7,
1 990 staff report submitted in support of this resolution, some of which may
be summarized as follows:
Term of Franchise: 20 years subject to a 5 year reduction if
retrobuild requirements are not met, and a 5 year extension if the 8th
year milestone is exceeded by 50% or more which would occur if Jones
passed in excess of 15,000 homes at the end of the 8th year.
Application Fee: '$54,000
Retrobuild Requirement - Duty to Overbuild:
lO,O00 Homes passed - 8 years - 1430/yr. 2nd-8th
18,750 Homes passed - 15 years - 1250/yr.
25,000 Homes passed - 20 years - 1250/yr.
Resolution No. 15749
Page 2
Cash Deposit: If the annual requirement is not met, Jones must deposit
$428 (increases 7% per year) per home not passed into a Trust Fund.
Trust Fund: The Fund is held by the City of Chula Vista. Jones may
withdraw the monies only for verifiable retrobuilding expenses or cash
out when they have met the cumulative annual requirements.
Security: $300,000 Letter of Credit to be provided by Jones to secure
performance; and
WHEREAS, AB 543, concerning cable television, became effective January l,
1990 and, among other things, it requires that "any franchise to provide cable
television service in an area already franchised and served by an existing
cable operator shall require the franchisee to wire and serve the same
9eographical area, and shall contain the same public, educational, and
governmental access requirements that are set forth in the existing
franchise"; and
WHEREAS, staff feels the structure of the proposed franchise meets the
intent of and complies with AB 543.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula
Vista that notice is hereby given of its intention to hold a public hearing to
consider the granting of a cable television franchise to Jones Intercable,
Inc., and that Tuesday, the 21st day of August, 1990 at the hour of 6:00 p.m.
in the Council Chambers of the City of Chula Vista, 276 Fourth Avenue, is
hereby fixed as the time and place when all interested persons may appear and
be heard in this matter.
BE IT FURTHER RESOLVED that the City Clerk of the City of Chula Vista be,
and she is hereby authorized and directed to publish this notice at least once
in an official newspaper at least ten (10) days prior to such hearing.
BE IT FURTHER RESOLVED that the City Clerk of the City of Chula Vista be,
and she is hereby authorized and directed to forward a copy of this resolution
to Cox Cable and Chula Vista Cable.
Presented by Appypv d as to form by
L c~ ~ ~ ~p~~'~ ~'Clty Attorn
yma ' is o .r.ce ...oogaar. '
Director of Finance ' ,
Resolution No. 15749
Page 3
PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula
Vista, California, this 7th day of August, 1990 by the following vote:
AYES: Councilmembers: Moore, Nader, Cox
NOES: Councilmembers: None
ABSENT: Councilmembers: Malcolm, McCandliss
ABSTAIN: Councilmembers: None
ATTEST:
verly ~. Auth et, city Clerk'~
/
STATE OF CALIFORNIA )
COUNTY OF SAN DIEGO } ss.
CITY OF CHULA VISTA )
I, Beverly A. Authelet, City Clerk of the City of Chula Vista, California, do
hereby certify that the foregoing Resolution No. 15749 was duly passed,
approved, and adopted by the City Council of the City of Chula Vista,
California, at a regular meeting of said City Council held on the 7th day of
August, 1990.
Executed this 7th day of August, 1990.