Cable Franchise Ext MediacomMEMORANDUM
February 27, 2003
TO:The Honorable Mayor and City Council Members
FROM:Michael C. Van Milligen, City Manager
SUBJECT:Mediacom Franchise Extension
Cable Franchise Administrator Merrill Crawford is recommending that a public hearing
be set for Mamh 17, 2003, to consider granting an additional three month extension of
the existing Mediacom Cable Franchise. While I know this will be the fourth extension
of this franchise, I believe that now that we have the results of the detailed
ascertainment study, we are in a position to negotiate that will create a chance for the
best possible results.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
Michael C. Van Milligen
MCVM/jh
Attachment
cc: Barry Lindahl, Corporation Counsel
Cindy Steinhauser, Assistant City Manager
Merrill Crawford, Cable Franchise Administrator
CITY OF DUBUQUE, IOWA
MEMORANDUM
February 27, 2003
MEMO TO: Michael C. Van Milligen, City Manager
FROM: Merrill Crawford, Cable Franchise Administrator
SUBJECT: Mediacom Franchise Extension
INTRODUCTION: The purpose of this memorandum is to recommend that the
City Council grant an additional three-month extension of the existing Mediacom
cable franchise and side agreements under the terms currently in effect.
BACKGROUND: At their Dec. 16, 2002 meeting, the City Council adopted
Ordinance No. 99-02 approving and authorizing the City Manager to execute an
agreement extending the current cable franchise with MCCIowa, LLC
(Mediacom) to March 31, 2003. This was the fourth temporary extension granted
to permit completion of our consultant's detailed ascertainment of the
community's future cable-related needs and negotiation of franchise renewal
terms with Mediacom in accordance with procedures set by the 1984 Cable Act.
The City's consultant, CBG Communications, Inc. has since reported their
findings and recommendations from the detailed ascertainment study they
conducted of Dubuque's future cable-related needs. This ascertainment and
other resources will be used in the face-to-face negotiations with Mediacom as to
the terms of the cable franchise renewal. The local team will be aided in these
negotiations by Frederick EIIrod Ill of the Miller & Van Eaton Law Firm of
Washington, D. C.
As you know, a compounded family emergency which began January 14 has
drawn me repeatedly out of Dubuque many days in January and February, and
although we've made much progress, the month of March can also be expected
to be difficult in this regard. Nevertheless, we are attempting to schedule
Dubuque visits by Mr. Ellrod and consultant Tom Robinson to brief City officials
and the negotiating team, and to begin face-to-face meetings with Mediacom.
Because of this development, it is clear that the negotiation, the public hearing,
and the finalization (or the ultimate denial) of a Mediacom franchise renewal
cannot be completed as hoped by the March 31, 2003 expiration of the current
temporary franchise extension. I recommend that an additional extension be
granted through June 30, 2003. This would be accomplished, as before, by
adoption of the proposed ordinance.
On the positive side, I can report that Mediacom has been planning a significant
upgrade of their Dubuque system and has indicated their willingness to include
core design elements and features of that system among the items to be
negotiated, rather than unilaterally complete the upgrade without consideration to
our identified community needs. The preliminary indications are that Mediacom's
technical approach to such an upgrade will be compatible with certain of CBG
Communications' recommendations, or within reasonable range of negotiated
additions or changes.
Of additional interest; there may now be some unique construction and
coordination opportunities between a Mediacom upgrade, the City's own fiber
expansion plans, and some new state and homeland security projects that are
coming to light. We may well find that the Mediacom renewal talks, while not
conforming to our original calendar, may in fact occur at an opportune time in
context of long term benefits to the community.
Multiple short-term franchise extensions are not unusual in a cable franchise
renewal process. In practice, both the City and Mediacom have honored their
obligations under these extension agreements and we have averted unnecessary
turmoil that would arise from expiration before the question of renewal is
determined via the federally mandated process. It is in the interest of neither
party nor of the larger community to permit the current franchise to simply expire
by default.
RECOMMENDED ACTION: The Recommended Action is that a Public Hearing
be set for the March 17 City Council meeting and that the City Council approve
the proposed Ordinance extending the current franchise agreement with
Mediacom to June 30, 2003.
Cc: Pauline Joyce, Administrative Services Manager
Barry Lindahl, Corporation Counsel
Tim O'Brien, Assistant City Attorney
Cable TV Regulatory Commission
Cable Community Teleprogramming Commission
Prepared by: Merrill Crawl~ord, Cable Franchise Administrator. City Hall Annex. 1300 Main St. Dubuque. IA 52001-4732
RESOLUTION NO. 75-03
A RESOLUTION OF THE CITY'S INTENT TO GRANT A SHORT-TERM
EXTENSION OF AN EXISTING CABLE SERVICES FRANCHISE AND AN
EXISTING HUB SITE LEASE TO MCCIOWA L.L.C.
Whereas, MCCIowa, L.L.C. (Mediacom) is the current holder of a cable services
franchise, embodied in Ordinance No. 42-81, as modified by a series of waivers and side
agreements, and acquired from TCI of Iowa, Inc. via a transfer approved by the Dubuque
City Council on June 18, 2001; and
Whereas, one of the side agreements is a lease to Mediacom to build and maintain
a network hub on City-owned property located at 1585 West Third Street in Dubuque; and
Whereas, the terms of the franchise and of the lease will expire March 31, 2003,and
Whereas, representatives of the City of Dubuque and of Mediacom have entered
into good faith negotiation of terms and conditions for the renewal of the franchise and the
lease.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
DUBUQUE, IOWA:
Section 1. That the City of Dubuque intends to extend the term of the cable services
franchise and the term of the lease to June 30, 2003 under the same terms and conditions
as currently in effect; and
Section 2. That the City Clerk is hereby authorized and directed to cause notices to
be published of the proposed extension in the manner prescribed by law.
Passed, approved and adopted this 3rd day of March, 2003.
Terrance M. Duggan, Mayor
Attest: Jeanne Schneider, City Clerk