HomeMy WebLinkAboutResolution No. 6150RESOLUTION NO. 6150
A RESOLUTION AUTHORIZING THE SIGNING OF A
CONTRACT, LEASE OR AGREEMENT
THE CITY COUNCIL OF THE CITY OF SAN RAFAEL RESOLVES as follows:
The MAYOR and CITY CLERK are authorized to execute, on behalf of
the City of San Rafael, a contract, lease or agreement with
Viacom Cablevision
(regarding rates and consumer service)
a copy of which is hereby attached and by this reference made a part
hereof.
I, JEANNE M. LEONCINI, Clerk of the City of San Rafael, hereby
certify that the foregoing resolution was duly and regularly intro-
duced and adopted at a regular meeting of the City Council of said
City held on Monday the third day of August ,
19 81 , by the following vote, to wit:
AYES: COUNCILMEMBERS: Breiner, Miskimen & Acting Mayor Nixon
NOES: COUNCILMEMBERS: Jensen
ABSENT: COUNCILMEMBERS: Mayor Mulryan
-N, M. LEONCINI, City Clerk
to
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AGREEMENT
This agreement is by and between VIACOM CABLEVISION and the CITY
OF SAN RAFAEL. The effective date is July 1, 1981. The termination date
is January 1, 1984.
D P!`iTA i C.
WHEREAS, VIACOM CABLEVISION currently holds a non-exclusive CATV
franchise granted thereto by the CITY OF SAN RAFAEL; and
WHEREAS, the franchise agreement by and between the parties hereto
includes rate regulation authority; and
WHEREAS, the California State Legislature enacted, in 1979, Government
Code Section 53066.1 (hereinafter AB 699) which, in part, authorized the dis-
continuance, upon notice by a franchisee, of rate regulation authority contained
in franchise agreements by and between cable television systems and their
franchisors; and
WHEREAS, VIACOM CABLEVISION gave notice to the CITY OF SAN
RAFAEL, pursuant to AB 699, on March 9, 1981; and
WHEREAS, the CITY OF SAN RAFAEL, upon the receipt of notice given
as aforesaid, challenged the constitutionality of AB 699 and its lawful application
to VIACOM CABLEVISION; and
and
WHEREAS, the parties hereto were mutually desirous of avoiding litigation;
WHEREAS, VIACOM CABLEVISION was, and is, desirous of providing
continuing and new service(s) to the residents of the CITY OF SAN RAFAEL
irrespective of deregulation pursuant to AB 699; and
WHEREAS, the parties hereto are mutually desirous of a good working
relationship borne of open communication and mutual confidence,
IT IS HEREBY AGREED AS FOLLOWS:
1. The CITY OF SAN RAFAEL shall, and does hereby, accept the
election of VIACOM CABLEVISION to deregulate pursuant to AB 699, effective
July 1, 1981 and based upon notice given March 9, 1981.
2. The CITY OF SAN RAFAEL shall, and does hereby, promise and
covenant to forebear from filing a lawsuit against VIACOM CABLEVISION which
lawsuit would be motivated by or directed to, in substantial part, challenge of
the constitutionality of AB 699 or VIACOM CABLEVISION's deregulation pursuant
to AB 699; and further, to forebear from the active or inactive participation
in any such lawsuit which may have been or may hereafter be filed against
cable television franchises, including VIACOM CABLEVISION.
3. VIACOM CABLEVISION shall, pursuant to its election under AB
699, raise its primary monthly service rate, effective July 1, 1981, to eight
dollars and ninety-five cents ($8.95), and its secondary monthly service rate,
effective July 1, 1981, to two dollars and seventy-five cents ($2.75).
4. VIACOM CABLEVISION shall, irrespective of its election under AB
699, maintain its current senior citizen monthly service rate at two dollars
($2.00).
5. VIACOM CABLEVISION shall make other rate adjustments, all of
which, including those listed in Numbers 3 and 4 above, are reflected on Exhibit
"A" to this agreement.
6. VIACOM CABLEVISION shall pay all reasonably incurred expenses,
including salary, of an organization to be selected by VIACOM CABLEVISION
and approved by the CITY OF SAN RAFAEL, which organization (a non-profit
2.
charity) shall be charged with the verification of the statewide rate statistics
contained in the CCTA study of rates in effect in January, 1981. In the event
the results of this verification process evidence that the CCTA membership
statewide average in January 1981 was, for primary monthly service, less than
eight dollars and ninety-five cents ($8.95), VIACOM CABLEVISION shall, effective
July 1, 1981, roll back said rate so as to reflect a rate no more than the
statewide average as verified.
7. VIACOM CABLEVISION shall, without charge, provide to and install
for non-ambulatory CITY OF SAN RAFAEL subscribers, a wired remote control
unit. Non-ambulatory, for purposes of this paragraph, shall be defined as a
person who is permanently non-ambulatory or who has been non-ambulatory for
a continuous period of six (6) months and has no immediate prospect of regaining
the ability to ambulate. Verification shall be the responsibility of the CITY
OF SAN RAFAEL but may be delegated as approved by VIACOM CABLEVISION.
8. VIACOM CABLEVISION shall not, except as provided in this para-
graph, increase any one or more of the rates set forth in Exhibit "A" during
the period July 1, 1981 through January 1, 1984. Rate increases during said
period (the term of AB 699) shall be limited to:
a) CITY OF SAN RAFAEL approved capital expenditure pass
through increases, if any;
b) a yearly increase of a maximum of seventy-five percent
(75%) of the increase, if any, in the Consumer Price Index (all items) for the
San Francisco -Oakland Metropolitan Area, published by the U.S. Department of
Labor, Bureau of Labor Statistics. The base will be that index which is published
for the month of July, 1981, or if none, the month nearest the effective date
hereof ("Beginning index"). Adjustments may be made one year from the effective
3.
date hereof and yearly thereafter through January 1, 1984 with the adjustment
to be fixed by comparing the beginning index with the index published nearest
the adjustment date ("Increase index"). The formula for adjustment shall be:
INCREASE INDEX
BEGINNING INDEX x 8.95 (rate applicable)
No such increase shall be retroactive.
As to capital expenditure pass through increases, the CITY OF SAN
RAFAEL agrees to not unreasonably withhold consent. Without limitation, such
pass through expenses may be reviewed and rejected upon a finding that the
CPI increase, if taken, is adequate to cover inflation, a reasonable rate of
return, cost and overhead increases, whether or not attributable to inflation,
and any such capital expenditures, when all taken together.
9. VIACOM CABLEVISION and the CITY OF SAN RAFAEL shall
cooperate in the development and formation of a CATV committee, members
of which shall be selected by the CITY OF SAN RAFAEL. The number of
members and the responsibilities of the committee shall be fixed at the sole
option of the CITY OF SAN RAFAEL.
VIACOM CABLEVISION shall propose like committees to other Marin
County franchisors for the purpose of eventually having a countywide committee
in lieu of several committees each concerned solely with the jurisdiction of an
individual franchisor.
It is understood and agreed, without limitation, that said committee shall
provide, subject to the responsibilities to be fixed as aforesaid, the following
services to the community:
by AI3 699.
a) Act as a trustee for the community channel(s) as prescribed
4.
b) Development of usable standards for a productive relaionship
between local community video operations and VIACOM CABLEVISION.
c) Evaluation of proposed capital expenditure pass through in-
creases, if requested.
d) Evaluate and pass on citizen subscriber complaints concerning
service deficiencies.
e) Periodic educational seminars and meetings to familiarize
the community with CATV and the uses thereof.
f) Discussion and non-binding arbitration of disputes between
the parties hereto, whether concerned with the terms of this agreement or the
relationship of the parties in general.
It is understood and agreed by the parties hereto that the committee
shall be created for the purpose of interaction between the parties hereto in
the development of: standards to insure good quality community programming;
lines of communication between the parties hereto and the community to insure
mutual confidence and knowledge of each others intentions and desires in a
consistent, timely manner.
It is further understood and agreed that the role of such a committee
will be the subject of continuing negotiation between the parties hereto with
the objective being, in part, the creation of a long term relationship between
the parties hereto based upon mutually available factual awareness, mutual
participation in determining community needs and the delivery of services to
fill those needs as reasonably fixed.
10. This is the sole and only agreement between the parties respecting
VIACOM CABLEVISION's deregulation under AB 699.
e?illz
By: _ t.J� �'.(• L(,1 ��r BY
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VIACOM CABLEVISION CITY F S N FAEL
PROVED AS TiO—FORM: JACK G. NIXON, Acting Mayor
ATTEST :
5_ �0
,..i E Attorney L J �_ NNE N1. LEONCI I, City Clerk
RATE STRUCTURE
CITY OF SAN RAFAEL
Monthly Service
Existing Rates
Proposed Rates
Primary
$6.50 (aerial)
$7.00 (underground)
$8.95
Secondary
$2.25
$2.75
Senior Citizens
$2.00
No change
Bulk Rates
Primary
$3.00/$5.00
$4.00/$6.50
Secondary
$2.00
$2.50
Reconnect
$10.00
$15.00
Installation
Primary
$25.00 (aerial)
$37.50 (underground)
No change
Secondary
$15.00
No change
Reconnect
$10.00
$15.00
Relocate
$15.00
No change
Extended Service
Time & Materials
No change