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HomeMy WebLinkAbout1988 CABLE COMMISSION MINUTES December 1, 1988 4:00 p.m. Mayor' s Conference Room Members present: Angel, Tyson, Reed, Richardson, Burt, Harris, Walden. Also present: Roger Rezabek, Rick Christy, Molly Frazer and Michelle Temeyer. Vice Chair Janet Walden called the meeting to order. There were no amendments to the Agenda. Moved by Angel, seconded by Burt that the minutes of November 3, 1988 be received and placed on file. Motion carried. There were no bills presented for payment. Rick Christy presented the November monthly report. Beginning subscribership for the month was 14,187 and an ending subscribership of 14,127, for a net decrease of 60. From November 28 through December 4, a Disney "Free Preview" installation offer is being advertised. Rick expects subscribership to increase slightly with the Disney promotion. Ray Richardson related several telephone calls he had received from recently disconnected customers. He asked why customers cannot be immediately reconnected after paying their past bills. Rick reported that with the promotions and the work schedules, it is impossible to reconnect a subscriber immediately upon payment of their delinquent amounts. They must be scheduled in sequence of how they are received. When the company expects a large volume of connections due to a special promotion, extra help is hired. Rick also reported that next month' s monthly report will reflect projected capital improvements. Next year' s budget is being formulated and will be presented at a later time. Ray Richards now absent at 4:30 p.m. The following committee reports were given: Regulations and Enforcement--Chairperson Janet Walden. It was reported that the complaint registered at the November meeting concerning employees of the cable company installing cable had not been resolved since the person registering the complaint has since moved out of town. Inter Agency--Chairperson Russell Burt. Russell reported that he had attended a Cedar Falls Cable Commission meeting. He toured the cable facilities at the library and noted they have a larger budget. He suggested that the two commissions be brought together for a joint meeting. Programming--Chairperson Ray Harris. Ray reported that Renata Sack did not yet have a formal program for the local access channel. He is looking into the availability of camera equipment through KWWL. After equipment is secured, a student from Hawkeye Tech will be solicited to film both Board of Supervisors meetings and City Council meetings. Public Service and Consumer Relations--Chairperson Miriam Tyson. A complaint procedure will be printed on the backside of the channel card. Rick anticipates printing these soon with several upcoming channel changes and rate increases. Commission Procedures--Chairperson Charles Reed. Charles reported that several editorial changes are being made to the commission procedures and will be presented at a later time. Cable Commission December 1, 1988 Page 2 Under Old Business, the Nominating Committee presented the following slate of officers for calendar year 1989: Chairperson--Judy Fossell and Vice Chair--Ray Harris. Moved by Russell Burt, seconded by Chuck Angel that the above slate of officers be received, placed on file and approved. Motion carried. Russell Burt expressed a concern with future commission appointments. He stated that if the commission continues to solicit only professionals, the common lay person will not be. properly represented on the commission. It was agreed that this is a concern and should be taken into consideration when recommending future appointments. Tyson now absent at 4: 45 p.m. Certificates of Appreciation were presented to Cathy Hines and Miriam Tyson for their work on the commission. Both terms of these individuals expired on December 1, 1988. They were recognized for their many contributions to the commission. Under New Business, the sponsorship of the Legislative Forum in conjunction with the League of Women Voters was reviewed. During the upcoming Legislative Session, the Cedar Falls and Waterloo Commissions have historically jointly funded the cablecasting of Saturday morning Legislative Forums focusing on major issues of the Legislature. The format will be similar to that of the past with costs anticipated to be similar to last year' s amounts. Moved by Reed, seconded by Harris that the commission participate in the Legislative Forum with the Cedar Falls Cable Commission. Motion carried. Ray Harris and Chuck Angel volunteered to serve on the Budget Committee for the year beginning July 1, 1989. The commission will present its budget to the Mayor' s Citizens Budget Review Committee and will make a final recommendation to the Mayor and Council. Ray asked that all committee chairs prepare a budget - and present it to the committee for inclusion in the Budget Committee' s recommendations. With no further business before the committee, the meeting was adjourned. Larry P. Burger Clerk/Auditor �\ CABLE COMMISSION MINUTES November 3 , 1988 4: 00 p.m. Mayor' s Conference Room Members present: Chairperson Fossell, Charles Angel, Charles Reed, Cathy Hines, Russell Burt, Janet Walden. Also present: Rick Christy, Roger Rezebak and Michelle Temeyer. It was moved by Angel, seconded by Reed that the Minutes of October 6, 1988 be received and placed on file. Motion carried. There were no bills presented for payment. The October monthly report of Westmarc Cable was presented. Beginning subscribership for the month was 14,148, with ending subscribers of 14,193 for a net gain of 45 subscribers. It was reported that there has been no action taken by either party concerning the request of Waterloo Greyhound Park for City participation in the cost of providing Cable to the Racetrack. The following committee reports were given: Regulation and Enforcement--Chairperson Janet Walden. Mr. Angel related several incidents to Mr. Christy concerning a report he had received from a Cedar Falls resident that an employee of Westmarc Cable was "cutting deals on the side" while installing cable. Rick stated that he would investigate immediately and asked Mr. Angel for a date, time and location of the incident. Mr. Angel also stated that it had come to his attention that a recent sales promotion by Westmarc was resulting in a four week delay before Cable was being installed. He stated that if the Cable Company was making this promotion, they should be ready to install Cable more quickly. Rick stated that the recent sales promotion did result in many new installations and that additional staff is hired when such promotions are scheduled; however, this successful promotion is positive for both the community and the Cable Company. Inter-Agency--Chairperson Russell Burt. Russell stated that he would be attending the next Cedar Falls Cable Commission meeting scheduled for Monday, November 7, 1988 at 4: 15 p.m. in the Cedar Falls Public Library. He invited Kirk Eastman to future meetings of the Waterloo Cable Commission. Programming--Chairperson Ray Harris. A report was not available. Public Service and Consumer Relations--Chairperson Miriam Tyson. No report was available. Ad Hoc Committee--Chairperson Ray Richardson. No report was available. Commission Procedures--Chairperson Charles Reed. Charles, with the help of Chairperson Fossell, distributed revised copies of the Commission Procedures, which incorporated suggestions contained in a letter written by former Assistant City Attorney Bill Sueppel dated November 21, 1985 concerning Commission powers and duties. It was moved by Russell Burt, seconded by Cathy Hines that the proposed policies of the Waterloo Cable Commission dated November, 1988, subject to several editorial changes, be received, placed on file and approved. Motion carried. Waterloo Cable Commission November 3, 1988 Page 2 Under New Business, Rick Christy reported that budget preparation for Calendar Year 1989 was under way. During 1989, it is anticipated that several channel changes will occur. The first change will be dropping of the Nostalgia Channel and bringing on line the American Movie Channel. A second change may result in the elimination of WTBS from the channel line-up and the substitution of TNT. Notices will be sent to the subscribers prior to the channel change. Also in March, 1989, an approximate 51 cent per customer increase in basic service is anticipated as well as a 50 cent to 57 cent increase in expanded services; however, a decrease in HBO is anticipated. Currently, the monthly charge is $10. 95. This will be dropped to $9.95 per subscriber. Janet Walden expressed her appreciation to Mr. Christy for apprising the Commission of this information prior to the initiation of a rate change or channel change. Chairperson Fossell asked for persons willing to serve on the Nominating Committee to present a slate of candidates for the positions of Chair and Vice Chair. Commencement of the terms is January, 1989. Janet Walden and Charles Angel agreed to serve on the Nominating Committee. The terms of Cathy Hines, Miriam Tyson and Ray Harris will expire on December 1, 1988. Commissioners Tyson and Hines have expressed a willingness to relieve themselves of Commission duties. Ray Harris has yet to be contacted. A preference for an appointment of an Accountant was suggested. With no further business before the Commission, the meeting was adjourned. Larry P. Burger Clerk/Auditor CABLE COMMISSION MINUTES October 6, 1988 4: 00 p.m. Mayor' s Conference Room Members present: Chairperson Fossell, Reed, Harris, Angel, Tyson, Trost, Burt, Hines, Walden. There were no bills presented for payment. Commissioner Angel stated that he had heard that workers of WestMarc Cable were "doing deals on the side" while installing cable. He asked that this be further investigated. He also stated that the company' s recent sales promotions indicate a cheap rate for installation; however, in reality service cannot be provided for four weeks. He stated that the company should not be making these promotions if they cannot provide the service necessary. Since Rick Christy was unable to attend this meeting, these questions will be brought to Rick' s attention and discussed at the next meeting. Judy Fossell reported on a meeting held with Mayor McKinley, Rick Christy, Councilperson Joe Fox and Augie Masciotra, Manager of the Waterloo Greyhound Park. Waterloo Greyhound Park is requesting City participation in the cost of providing cable to the racetrack. Racetrack attendance declines approximately 30 percent during the Iowa Hawkeye basketball season. It has been estimated that it would cost $6,000 to extend cable to the track, plus monthly fees. In the Mayor' s meeting, several sources of City funding were identified. It was suggested by Commission members that satellite TV be investigated as an alternative to the costly method of cable transmission. Several Commissioners questioned the motive for extending cable at this time. Chairperson Fossell will speak with Mayor McKinley and express the Commission' s reservation with proceeding with this project at this time. A letter dated October 6, 1988 from Larry P. Burger, Clerk/Auditor, to Commission members concerning the City' s expenditure of the 3 percent franchise fee was reviewed. No official action was taken. The letter was provided as a matter of information. Committee reports were given: 1. Regulation and Enforcement. As chairperson, Mr. Angel will assist in the request of Waterloo Greyhound Park for City participation in expanding cable to the Park. 2. Inter-Agency. Chairperson Russell stated a report will be available at the next meeting. 3 . Programming. Chairperson Ray Harris presented the local origination proposal dated August 31, 1988 . It was suggested that the Committee speak with KWWL to ascertain the possibility of them donating a used camera for our purposes. Cost of the local origination proposal is $1,000, which would be the cost of tapes for the first year of operation. These tapes would be used in conjunction with cablecasting the Waterloo City Council meetings and Black Hawk County Board of Supervisors meetings for delayed re-broadcast. Moved by Trost, seconded by Burt that the local origination proposal be approved and that the Commission endorse the expenditure of $1,000 for tapes as described above. Motion carried. Cable Commission Minutes October 6, 1988 Page 2 4. Public Service and Consumer Relations. When the next brochures are reprinted by WestMarc Cable, the complaint procedure will be printed as a part of this brochure. 5. Commission Procedures. Chairperson Reed presented a revised copy of the proposed policies of the Waterloo Cable Commission. Expenditures of funds by the Commission were reviewed, including the possibility of carrying funds over from one year to the next if they are unexpended. It was explained that this procedure is not allowed by the City' s budgeting policy. Currently, the policy states that 3 percent of the franchise fee received by the City be used for the operation of the Commission. Discussion was heard on this matter; however, no official action was taken. It was also suggested that under the Powers and Duties section of the policies, several be added as contained in the letter of former Assistant City Attorney William J. Sueppel dated November 21, 1985. These will be added and presented at the next Commission meeting. Under New Business items, Bev Trost announced that on Tuesday, October 5, the school system was inter-connected into the AEA system. Comments were also heard that KWWL and WOR are now available in stereo. With no further business before the Commission, the meeting was adjourned. The next meeting of the Cable Commission will be held on November 3 , 1988. Larry P. Burger Clerk/Auditor CABLE COMMISSION MINUTES September 1, 1988 4:00 p.m. Mayor's Conference Room Members present: Chairperson Judy Fossell, Janet Walden, Ray Richardson, Bev Trost, Charles Reed. Also present: John McNally, Rick Christy, Michelle Temeyer It was moved by Ray Richardson, seconded by Janet Walden that the Minutes of August 4, 1988 be received and placed on file. Motion carried. It was reported that there were no bills to be presented to the Commission. Rick Christy presented the monthly report. Beginning subscribership for the month was 14,262, with ending subscribers of 14,000 for a net loss of 262 subscribers. A special promotion for cable installation is being announced in "Sports Guide" for 99 cents. Also, there will be a $5.00 installation fee for new subscribers who buy the first pay service and then get the second pay service through December 31, 1988. The promotion also includes free installation for any upgrades. The subscriber must pay for the first pay service and will get the second free pay service through December 31, 1988. This offer expires September 26, 1988. Judy asked about a temporary outage of the Weather Channel several weeks ago. It was reported that this was due to an electrical storm and that service was restored within hours. Chairperson Fossell asked that all committees that do not report at today' s meeting to be prepared to report in October. The report of the Programming Committee was given by Ray Richardson in the absence of Chairperson Harris. A local origination proposal was reviewed. This will be a joint effort between the Waterloo School System, the Cedar Arts Forum and Westmarc. Program possibilities were discussed. Approximate cost of the material for the first year of operation is $1,000.00. Also the possibility of taping City Council meetings and Black Hawk County Board of Supervisors meetings was also discussed. It was moved by Trost, seconded by Walden that the above report be received and placed on file and that the Committee be given authorization to proceed with implementing the plan. Motion carried. The Public Service and Consumer Relations Committee chaired by Miriam Tyson continues work on a "complaint brochure" . Several changes will be made to the procedures before it is printed on the reverse side of the subscriber' s channel cards. It was suggested that the instructions be called "Consumer Comments" rather than a "Complaint Procedure"-. This amendment will be made. Chairperson Reed presented proposed policies and procedures for the commission. The committee seeks input from the Commission. This will be discussed further at the next meeting. After discussion, it was suggested that the policies contain a provision that deals with the financial proceedings of the Commission. Bev Trost will write a proposal to be included in the policies concerning future budget requests of the Commission. Under old business, Rick reported that the school loop has been completed. The Commission commended him for completion of this activity. With no further business before the Commission, the meeting was adjourned. Larry P. Burger City Clerk/Auditor 1 CABLE COMMISSION MINUTES August 4, 1988 4: 00 p.m. Mayor's Conference Room Members present: Charles Reed, Ray Richardson, Russell Burt, Charles Angel, Miriam Tyson, Beverly Hinders Trost, Rick Christy, Molly Frazer and Michelle Temeyer. Moved by Burt, seconded by Angel that the minutes of May 5, 1988 and July 7, 1988 be received and placed on file. Motion carried. There were no bills presented for payment. Rick Christy, WestMarc Cable Company, presented the monthly report dated August 4, 1988. Beginning subscribers for the month were 14,454, with a month-end subscriber number of 14,268, for a net loss of 186. It was noted that on July 12, a large portion of Waterloo did not have cable service to allow for a hook-up of a new line in conjunction with the reconstruction of Ansborough Avenue. A major outage was also noted on July 31, which was not reflected in the July report but will be reviewed at the September meeting. The WestMarc Cable complaint procedure was outlined and distributed to Commission members. Any comments concerning the procedure should be directed to Committee Chair Miriam Tyson. Michelle Temeyer was asked to complete the internal procedure for handling complaints within the Clerk/Auditor' s Office. Upon completion of this step, Rick will be incorporating this procedure onto the channel line up card. Beverly Hinders Trost now present at 4:15 p.m. Under old business, it was announced that Hawkeye Institute of Technology is now on-line and that only two public schools remain to be hooked up to the cable system, including Blessed Sacrament and Castle Hill. It is anticipated that these will be completed by the end of August. Beverly Trost commented that work continues on an interconnect of the Waterloo/Cedar Falls school systems. With no further business before the Committee, the meeting was adjourned. Larry P. Burger Clerk/Auditor CABLE COMMISSION MINUTES July 7 , 1988 4: 00 p.m. Mayor's Conference Room Members present: Chairperson Fossell, Janet Walden, Cathy Hines, Chuck Angel, Miriam Tyson, Ray Harris, Charles Reed, Russell Burt, Roger Rezabek, Rick Christy and Michelle Temeyer. The minutes of April 14 and April 25, 1988 were received and placed on file. Chairperson Fossell asked that the minutes of May 5, 1988 be placed on the August agenda. Moved by Tyson, seconded by Reed that the bills be received, placed on file and approved for payment. Motion carried. Moved by Reed, seconded by Angel that the following bill for telephone reimbursement to Chairperson Fossell in the amount of $25.89 for calls made concerning the transfer of the franchise be approved. Motion carried. Sharon Fereday brought to the Commission' s attention her concerns in regard to EWTN, the Catholic Cable Channel on 24, which is shared with PTL. PTL airs from 12: 00 noon to 12:00 midnight and EWTN is aired from 12: 00 midnight to 12: 00 noon. Her concern was with the timing of the switchover starting with the Memorial Day weekend. The timer did not switch over so EWTN could be aired at its starting point. Rick Christy has been apprised of the problem and will work with Sharon Fereday to resolve the situation. It was suggested that a timer be used to switch between the channels to alleviate the problem. The June monthly report was reviewed. Beginning subscribers for the month were 14,781 and ending subscribers were 14,481, for a loss of 300. Static was reported as a problem in the Kingswood area. Rick Christy presented the Commission with the Western Telecommunications, Inc. affirmative action program, the 1987 annual report and employee handbook. The certificate of insurance and an audited financial report has yet to be transmitted to the Commission. Rick will prepare this information and present it to the Commission has soon as possible. A brief discussion was held on Channel 28, the new Cablevision station in Cedar Rapids. At this time, the situation is very tenuous. Chairperson Fossell reported that she had received a call from Rick prior to the actual sale of the Cable Company. She thanked Rick for informing her ahead of time. The complaint procedures/brochure was reviewed by Miriam Tyson. Cathy Hines and Rick Christy also assisted in its formulation. Thought has been given to producing a channel card with a complaint procedure on the back. Commission members stated their liking for a card that is clearly legible and easy to read. The process for a complaint was discussed and will probably proceed as follows: Calls will be referred to the Clerk/Auditor' s Office, specifically, Michelle Temeyer. She will refer the citizen to the Consumer Relations Committee of the Cable Commission. If they are unable to resolve the problem, the issue will then go before the City Council. A public relations pamphlet was discussed and will be developed at a later time. Cable Commission Minutes July 7, 1988 Page 2 Raymond Harris reported that the Programming Committee continues its work on local access and is seeking the assistance of the Cable Company. The possibility of using interns was discussed. The limited funds available to the Cable Commission for the current year was also discussed. Chairperson Fossell stated that Commission procedures will be worked on in the coming months and presented to the Commission at a later time. Rick Christy reported that a short outage will be experienced by residents along Ansborough Avenue on July 12 to allow work in conjunction with the Ansborough Avenue Reconstruction Program. With no further business before the Committee, the meeting was adjourned at 5: 30 p.m. Larry P. Burger Clerk/Auditor WATERLOO CABLE COMMISSION MINUTES May 5, 1988 4:00 p.m. Mayor's Conference Room Members present: Chairperson Fossell, Tyson, Angel, Burt, Hines, Reed. Also present: Rick Christy. The minutes of April 21, 1988 were reviewed. Moved by Charles Reed, seconded by Charles Angel that the minutes be received and placed on file. Motion carried. It was reported that we have not yet received a bill from Barry Orton, of the University of Wisconsin, for the assistance given to us on the Cable franchise transfer. Said bill will be brought to the Commission before payment. Chairperson Fossell stated that she would be presenting telephone bills totaling approximately $35 made in conjunction with the Cable franchise change. Chairperson Fossell thanked the Commissioners for all the time and effort they put in during the last few months. Commissioner Hines stated that it was her hope that if a similar situation would arise in the future, that the Commission would not be hurried into a decision as was necessary this time. She thanked those Commissioners who were involved in the phone calls and drafting of written statements. Rick Christy presented the April Cablevision monthly report. A subscriber increase during the month of 260 was reported. The monthly report now includes employment records listing total employment and sex and ethnic breakdowns. Rick reported that a representative of KOCR, a new television station in Cedar Rapids, recently stopped into the office. Very little information was presented at that time. Under committee reports, it was reported that the Public Service " and Consumer Relations Committee would be working on a complaint procedure that will be brought back to the Commission for review. Commissioner Angel stated that he would like to see a joint meeting of the City Council and Commission on the role of the Cable Commission. The Commissioners also expressed a desire to obtain additional funding for Commission activities. Chairperson Fossell passed on the Mayor' s comments concerning the Commission's hard work during the Cable franchise changeover. The Mayor thanked the Commission for their assistance to the Council. With no further business before the Committee, the meeting was adjourned. The next meeting of the Waterloo Cable Commission will be held on June 4, 1988. Larry P. Burger Clerk/Auditor CABLE COMMISSION MINUTES April 25, 1988 4 :00 p.m. Small Conference Room Members present: Chairperson Fossell, Reed, Walden, Hines, Angel, Trost, Harris, Burt and Richardson. The topic of business was the proposed transfer of the cable franchise from The McDonald Group to Marcus Communications, Inc. It was stated that income statements have been submitted to the Securities & Exchange Commission as required by law for the last three years by Marcus Communications. A brief history of Marcus Communications was given. It was explained that WTCI is the sole stockholder of Marcus Communications and that WTCI is a publicly traded company. Tele-Communications, Inc. is the largest shareholder of WTCI and will hold approximately 57 percent of the shares after completion of certain pending transactions. Tele-Communications, Inc. is the largest Cable TV operator in the United States. It is a publicly held company. In response to a question from Chairperson Fossell, it was stated that performa ( 9F) information is proprietary and would give competitors an unfair advantage if disclosed. In response to a question on the amount of money that the new company intended to put back into the system, it was reported that it is the company' s intention to provide the best possible service and good quality picture. Ray Richardson now present. It was stated that Iowa will be a separate region of the company, and that they plan to add other cable systems to the Iowa system. Chairperson Fossell inquired about any side agreements that the company may have. Jay Roberts stated that he was not aware of any side agreements other than the request of the Waterloo Community Schools on February 22, 1983 requesting the interconnect system for the public schools. Commissioner Trost stated that Waterloo Cablevision was not ever asked to assist in the payment of the Waterloo/Cedar Falls discreet system but to work with the schools in completion of this project. At that time, they agreed to provide technical assistance for the interloop at a fair and reasonable cost. It was stated that Marcus Communications would have no problems working with the schools or AEA7 in completing the interloop. Hookup of Hawkeye Tech was also discussed and that in the next three to four weeks, extension of cable to the school is expected to be completed. It is also the intention of the Cable Company to finish the hookup of Central High as soon as the highway work on Hackett Road is completed. Questions were raised as to whether or not complete payment has been made to Waterloo Cablevision for the hook-up of the parochial schools. Michelle Temeyer was asked to check on this matter and report to the Commission. In response to a question from Chairperson Fossell, representatives of Marcus Communications stated that it was their intent to upgrade the system as needed, and that they will "fix it when it is broken. " They also stated that it is their policy to do preventive maintenance. Discussion was heard on an expansion of the current system to a 52 channel system. In response to questions from Chairperson Fossell, it was indicated that there are no criminal or civil proceedings currently pending against the company; that there are no pending revocations of any of their business licenses; that they are not in violation of any cable franchise laws; and that there are no other pending cable franchise sales. Cable Commission Minutes April 25, 1988 Page 2 A request for a franchise transfer must be filed with the FCC. At that point, more information will be publicly available in regard to the financial status of the company. The company has met the requirements of filing and have at this point no grounds for disapproving the transfer request. The debt equity ratio of the company is nine to one. Increase in cable rates was discussed. Company representatives stated that it has been their practice that normal increases will be realized to coincide with the national economic trends. The current billing system used by Waterloo Cablevision was discussed. It was explained that currently the company contracts the service with a private company and uses the batch system of billing. The company is currently looking at an on-line system of billing that would show an itemization of services to customers. Burt is now absent. The new company agreed not to charge the extra 3 percent franchise as an individual line item on the billing. Company representatives were asked what type of communication they would have on a regular basis with the Commission. Company representatives stated that they are very much in tune with community affairs and hoped to keep a constant dialogue between the company and the city. If the franchise transfer is approved, the franchise will expire on March 23, 2003. Burt now present. Discussion was heard on proposed channel changes that the company may initiate in the future. The Commission expressed a concern that they be notified as much as possible in advance prior to said changes. Commissioner Trost expressed a desire that stereo be made available to cable subscribers. It was stated that this is still a new technology, and that many of the channels are not available in stereo. Commissioner Harris stated his desire to obtain a monthly report from the company on minority employment and the company' s affirmative action plan. Members of the Marcus Communications, Inc. Company were introduced, including Stanley DiCicco, Vice President & Treasurer and David Hanson, Regional Manager in Wisconsin. Rick Christy will remain as Manager of the Waterloo operation and will report to Lew Borrelli in Dallas, Vice President of Operations. Lew Borrelli in turn reports to the President of Marcus Communications. Moved by Ray Richardson, seconded by Raymond Harris that the Cable Commission recommend to the City Council the approval of the transfer of Waterloo Cablevision to Marcus Communications, Inc. , with the substantial assurances as contained on the tape of this meeting. The motion passed unanimously. Moved by Russell Burt, seconded by Cathy Hines that should the Cable Commission or City Council ever consider the future transfer of the Company that legal assistance be provided to the Commission and that the procedure used on this transfer not be considered a precedent setting measure. The motion passed unanimously. Moved by Beverly Hinders Trost, seconded by Charles Angel that all tapes and records of all of the meetings (April 11, 1988, April 14, April 21, 1988 and April 25, 1988) be isolated and kept perpetually and packaged separately. The motion passed unanimously. 4 t Cable Commission Minutes April 25, 1988 Page 3 Allan McDonald thanked the Commission for their cooperation throughout the years of his association with the Commission. He stated that he was proud of his company and his people. Frank Frye thanked the Commission for the opportunity to work with them and stated that he felt that they had done a thorough job of investigating the transfer measure. With no further business before the Commission, the meeting was adjourned. Larry P. Burger Clerk/Auditor CABLE COMMISSION MINUTES April 21, 1988 4: 00 p.m. Large Conference Room Members present: Chairperson Fossell, Beverly Hinders Trost, Cathy Hines, Mariam Tyson, Russell Burt, Ray Richardson, Charles Reed, Charles Angel and Janet Walden. Also present: Mayor McKinley, Hugh Field, Molly Frazer and Frank Frye. Chairperson Fossell stated that a letter was sent to Waterloo Cablevision requesting information for today' s meeting. Frank Frye, representing the McDonald Group, said they had received the letter but because they received it at such short notice, they were not prepared to answer all the questions. Mr. Frye stated that Marcus Communications would supply the Cable Commission with information concerning what subsidiaries of WTCl/Marcus would finance Waterloo Cablevision and who would be responsible for financial obligations to the City of Waterloo. In response to the question concerning the current stockholders, the Cable Commission was informed that information would be supplied to the Commission clarifying who would own Waterloo Cablevision. The Commission wanted clarification as to whether The McDonald Group would have any interest or control over the operation after the sale. The name of the new company will be Marcus Cablevision. Mr. Frye stated that they would comply with the request that an insurance guarantee as per Sec. 9 1/2 "Insurance" of the Ordinance be provided to the Commission. There was discussion on whether or not a surety bond in the amount of $100,000 would be necessary. It was agreed that it would not be necessary because Marcus Communications, Inc. had agreed to supply the financial information requested. Discussion was heard on Marcus' s affirmative action plan. Mr. Frye indicated that some of the information had already been supplied to the Commission. More information was requested. The Commission was informed that a copy of the "technical survey" conducted in Waterloo prior to the offer to buy would not be submitted to them. Marcus Communications stated they would not supply this information as they felt it was proprietary information. Marcus Communications, Inc. will supply the Commission a side letter affirming their intention to abide by the National Safety Code in the City of Waterloo. The Commission was informed that Marcus Communications, Inc. would supply the Commission information regarding a complaint procedure. Marcus Communications, Inc. could not supply the Commission with information concerning the purchase agreement as Marcus Communications felt that was proprietary information. Discussion followed concerning requesting the information under Executive Session. The Commission asked Marcus Communications for a Statement of Philosophy regarding Marcus' s philosophy on future investments in the system and the quality of service they will provide. The Commission also asked for any side letters and agreements between the City and the McDonald Group to use as an addendum to the franchise when it is transferred. Cable Commission April 21, 1988 Page 2 Hugh Field stated that March 20, 1978 was the date the City Council accepted the McDonald letter of intent and could be used as the beginning date of the franchise. Ray Richardson stated that he wanted Marcus Communications, Inc. to give assurance to the Commission that the school loop would be completed. Moved by Richardson, seconded by Angel that a letter be compiled with these statements included for the perusal of the Commission at the April 25, 1988 meeting and should the Commission get satisfactory response to their queries, the Commission would be interested in recommending the sale. Motion carried. Moved by Burt, seconded by Richardson that this body is capable of moving into an executive session to hear information of a proprietary nature regarding the sale of property. Motion carried. Moved by Angel, seconded by Reed that the meeting be adjourned. Motion carried. Larry P. Burger Clerk/Auditor i• CABLE COMMISSION MINUTES April 14, 1988 4 : 00 p.m. Large Conference Room Members present: Chairperson Fossell, Walden, Harris, Angel, Reed, Tyson, Burt, Richardson and Hines. The purpose of the meeting was to discuss the transfer of Waterloo Cablevision to Marcus Communications, Inc. Rich Fickle, Vice President of Marcus Communications, presented information to the Commission concerning the company. He stated that currently Marcus Communications operates in seven states, with 100,000 subscribers in Minnesota, 30,000 subscribers in Wisconsin, and 40,000 subscribers in Pennsylvania. Marcus Communication is owned by Western Telecommunications and was incorporated in 1982. WTCI is the parent of Marcus Communications. Marcus Communications is a company known for its outstanding service to customers. They are a community-minded company with the intent of developing their employees to the maximum. Tele-Communications, Inc. is the largest shareholder of WTCI and will hold approximately 57 percent of the shares after completion of certain pending transactions. Tele-Communications, Inc. is the largest Cable TV operator in the United States and is a public company. Commissioner Trost brought to the attention of the Commission the letter of credit provided by First National Bank of Chicago dated April 4, 1988. Chairperson Fossell presented various questions to Marcus Communications including financial information. Financial information has been filed with the SCC concerning the transfer. WTCI is the parent company responsible for the finances of Marcus Communications. It was also stated that there is no pending litigation against Marcus. They also stated that an affirmative action policy is in place. An annual report will be available in one to two months for Commission review. They also stated that a certificate of insurance will be provided. They also stated that the cable ordinance requires performance and surety bonds and stated that they would be willing to comply if this was absolutely necessary. It was determined that the duration of the franchise is fifteen years. There was also concern expressed by Commissioner Angel that the "ghostly" images be cleaned up on the air. It was also agreed that Marcus would be willing to comply with the National Electrical Safety Code in its operation. Commissioner Walden addressed concerns of non-compliance issues. Specifically, she stated that Section 11 of the Ordinance has not been complied with (connection to the entire City) . There was discussion as to whether or not full compliance had been met on this issue. Discussion of maintaining a permanent studio that is fully operational at the company' s site was reviewed. Section 14 of the Ordinance addresses itself to complaints. Commissioner Tyson pointed out that a formalized procedure of how a customer registers a complaint should be available in writing. It was agreed that the company and the Commission would work on formalizing the complaint process. It was emphasized that an "understanding" with the new operator should be established concerning commercial drops as well as interface of the Cedar Falls and Waterloo discreet school systems. The company indicated an interest in assisting the Library in "data stream" . The company also indicated a willingness to assist in the local access area by providing technical support. Cable Commission April 14, 1988 Page 2 In regard to compliance with Section 11 of the cable franchise, the company stated that they would look at the feasibility of providing service to areas not served in the community. Approximate cost of extension of cable is $10,000 per mile. In regard to equipment update, it was reported that changes will be made as improvements are needed and as it relates to electronic advances. The percent of the total cable budget that will be expended for repairs is a direct function of costs. In response to a question as to how the company will determine what channels the citizens want them to carry, they reported that channel lineups will be determined both by survey of current subscribers as well as sound management decisions. In response to the history of the billing practices of the company, it was stated that the company contracts this service with a private company. Currently, the system is a manual batch system; however, consideration is being given to upgrading the system to on-line. Commissioners expressed their desire for an itemized billing procedure. Commissioner Tyson asked what would happen to current employees of Waterloo Cablevision if the transfer is approved. Rick ees will stayand that the new Christystated that all employees P company is pleased with the current workforce. Employees will be paid comparable rates to similar positions in the market. Full medical benefits will be available to permanent employees and dependent health care will be available as well as a stock plan. Currently, the only unionized employees in the Marcus Communications group are those in Greensboro, Pennsylvania. Commissioner Tyson also stated that she felt it was important that the Cable Company explain its product to the citizens. It was indicated that to date, three municipalities have approved the transfer, including Elk Run Heights, Iowa Falls and Charles City. The timeframe of the transfer is unknown but it is expected that by April 25, the transaction will be completed. With no further business before the Commission, the meeting was adjourned. Larry P. Burger Clerk/Auditor CABLE COMMISSION MINUTES April 11, 1988 4: 00 p.m. Small Conference Room Members present: Chairperson Fossell, Russell Burt, Charles Reed, Chuck Angel, Cathy Hines, Miriam Tyson, Janet Walden, Ray Harris and Ray Richardson. Also present: Councilpersons Fox and Wright, Larry P. Burger. Chairperson Fossell stated that the main topic of business will be the proposed transfer of the franchise from The McDonald Group to Marcus Communications, Inc. To date, they have provided us with an annual report. She stated that the Commission would be reviewing the legal, technical, and financial aspects of the new company. She stated that the City has received an additional franchise fee in the amount of $411.00. This is in addition to $120,887. 20 received for Fiscal Year Ending February 29, 1988. It was reported that the City Council has approved the Cable Commission' s budget for the year beginning July 1, 1988 in the amount of $2,000. Chairperson Fossell stated that Janet Walden will be attending the Cedar Falls Cable Commission meeting later today to hear discussion with Marcus Communications on the transfer of the Cedar Falls franchise. Under Committee reports, Chairperson Fossell asked that each of the Committees be prepared for Thursday' s meeting to ask questions concerning their area of expertise. Miriam stated that the Public Service and Consumer Relations Committee will be discussing the production of a joint booklet/brochure with the new company and their reaction to such a project. Janet Walden stated that she has been in communication with Dr. Barry Orton, University of Wisconsin. Mr. Orton' s expertise is in the area of cable franchises and has stated that he would be willing to act as the Commission' s consultant in the franchise changeover. Cost of said services is $600 per day, plus mileage. Mr. Orton stated that the Commission should begin looking at non-compliance items as contained in the ordinance of the current company. Ray Harris now present. It was stated that The McDonald Group had a performance bond on file with the City for approximately two years after the enactment of the franchise. It was suggested that we also seek a similar bond from the new company. Councilperson Wright now present. The list of current franchises held by Marcus Communications was reviewed. It was suggested that we contact the cities concerning their experiences with Marcus Communications. It was also stated that the Commission may need legal assistance in this franchise changeover. Larry P. Burger, Clerk/Auditor, stated that the LOGIN system may assist the Commission in finding other cities that have transferred their cable franchise. A LOGIN request will be submitted. Cable Commission April 11, 1988 Page 2 Chairperson Fossell reiterated that her main concern in the transfer was that the citizens of Waterloo receive the best service possible with the greatest return on their dollar. She also distributed copies of material sent by the City of Dubuque concerning their franchise changeover in 1986. There was discussion on the parochial and public school hookups and their progress to date. It was reported that Central High is the only public school that is not hooked into the system. Upon completion of the Hackett Road Bypass, this school will be hooked up. Several items that will be requested of Marcus Communications, Inc. include: An Affirmative Action Plan, commitment to local access, plans for upgrading signal, placing channels on the proper channel (Channel 7 on Channel 7) , and the fact that not all areas of the community are currently served with cable. Councilperson Fox asked that the Commission supply the Council with non-compliance items so that they may be pursued and discussed with Marcus Communications. Ray Richardson now present and Hines and Tyson now absent. A copy of the franchise will be sent to Mr. Orton at the University of Wisconsin for his initial review. Chairperson Fossell asked that each Commission member be prepared to ask questions of the Marcus Communications group. Mr. Richardson stated that he hoped that the Commission would conduct Thursday' s meeting in a professional and positive manner. Ray Harris volunteered to call communities served by Marcus Communications for such information as: Length of franchise, percentage of franchise fee, in-kind monies contributed by Cable Company, number of subscribers and participation in community events. The survey that was conducted of Iowa cities will be tabulated and reviewed at Thursday' s meeting. The next meeting is scheduled for Thursday, April 14, 1988 at 4: 00 p.m. in the Large Conference Room, Second Floor, of City Hall. With no further business before the Commission, the meeting was adjourned. Larry P. Burger Clerk/Auditor CABLE COMMISSION MINUTES March 3, 1988 Large Conference Room 4: 00 p.m. Members present: Chairperson Fossell, Charles Angel, Miriam Tyson, Charles Reed, Ray Richardson, Janet Walden, Ray Harris and Russell Burt. Also present: Molly Frazer, Bob Moore and Michelle Temeyer. The minutes of February 4, 1988 were reviewed and approved as printed. A financial report was given. Michelle Temeyer reported that $2,000 is being budgeted for the Cable Commission for the year beginning July 1, 1988. Expenditures to date are $7,769, which includes a payment to Waterloo Cablevision in July, 1987 for the parochial school hookup. The public hearing on the City of Waterloo budget is scheduled for Tuesday, March 15, 1988, at which time the Commission will be making its presentation (discussed by Ray Harris and the Programming Committee later in the meeting) . Chairperson Fossell reported that a survey was sent to eight large communities in Iowa requesting information relating to their cable franchise. Results are being tabulated and will be available at the next Commission meeting. Molly Frazer responded to several questions that were addressed at the February meeting. She contacted Cabletech, the company who does the billing for Waterloo Cablevision, and made the following report. They stated that any loss incurred by a particular company is billed to the franchise that is sustaining the loss. Cabletech is also able to break down the billing to indicate charges for each of the pay services. This is facilitated by direction from the company as to their billing needs. Molly reported that a performance bond is not on file for Waterloo Cablevision; however, the franchise (ordinance) does not require a performance bond if after two years of the commencement of the franchise agreement, a company is found not to be in default of the franchise. She also reported that franchise fees paid to the City must include revenues received from Cable Value Network if the company receives revenue from the sales. At this point, we do not know if Waterloo Cablevision receives revenues from HVN. Questions were raised regarding community access broadcasting as it relates to pornography. Specifically, the Commission asked Molly to review who has control over community broadcasting in terms of pornography. Molly was also asked to review the City' s franchise with the McDonald group, if in fact one exists. The following Committee reports were given: Regulation and Enforcement Janet reported that the Committee will be meeting between now and the next Commission meeting with a report in March. Inter-Agency Since Richard Gleason is a member of this Committee and has not attended a Commission meeting, Michelle Temeyer was instructed to prepare a letter to Mr. Gleason asking him about future attendance at meetings. Cable Commission Minutes March 3, 1988 Page 2 Programming Ray Harris, Chair, presented a proposal for Commission review concerning a budget proposal to the City Council for local access programming. The report included the history of local origination, fees received from Waterloo Cablevision, expenditures of the Commission since 1984, specifics of the local access programming, including types of programs to be aired, and job descriptions for the producer/host and programming co-cordinator/technician, and a proposed budget for 1988-89 and 1989-90. Mr. Harris was commended for the work that he and his Committee has completed on this project. The first year budget that will be presented to the City Council on March 15 is approximately $25,000. It was moved by Miriam Tyson, seconded by Russell Burt that the above report be received, placed on file and forward to the City Council with a recommendation of approval. Motion carried. Public Service and Consumer Relations Miriam reported that her Committee will be working with Waterloo Cablevision and Michelle Temeyer on a community brochure which would detail the Commission' s activities. It is important that the Commission' s activities be made available to the public. She also stated that the complaint procedure that was developed by the Commission several years ago needs further clarification. Her Committee will be working on these items. Ad Hoc Committee Charles Reed will be convening his Committee next week to formulate a written policy on Commission procedures. Other Commissions of the City and their procedures will be reviewed to assist in this matter. Charles Angel reported that interference of the cable signals is becoming more of a problem. Commission members discussed interference problems that they have experienced. Anyone having interference problems should contact Chuck. Molly was asked to review whether Waterloo Cablevision must have an affirmative action plan on file per the franchise agreement. No additional information is available on Channel 28, a new must carry station located in Cedar Rapids. The Commission was informed that it must follow the requirements of Iowa Code Section 21 concerning open meeting laws. This code section specifies reasons that Commission meetings can be closed to the public. With no further business before the Committee, the meeting was adjourned. Larry P. Burger City Clerk/Auditor WATERLOO CABLE COMMISSION Thursday, February 4, 1988 Mayor' s Conference Room 4: 00 p.m. Members present: Chairperson Fossell, Angel, Harris, Reed, Trost and Walden. Also present: Councilpersons Dell and Brown, Bob Moore, Rick Christy, Molly Frazer and Michelle Temeyer. The minutes of the January 7 Cable Commission meeting were amended to reflect that Ray Harris was in attendance. A financial report was given. Michelle Temeyer indicated that $2,000 has been budgeted for the Cable Commission for the year beginning July 1, 1988 . Year to date, the Commission has expended $7,769.22; however, most of this expenditure was to honor a commitment made by the City of Waterloo to pay Waterloo Cablevision for connection of the parochial schools to the loop system. Janet Walden expressed her protest of this payment to Waterloo Cablevision. Chairperson Fossell explained that rather than making numerous copies of information for Commission members, a pass around kit will be instituted with Commission members initialing those items that they desire copies of. Rick Christy, manager of Waterloo Cablevision, presented the January report of the company. Again, Commission members reiterated their desire for an itemized billing to customers. Molly Frazer, Assistant City Attorney, was instructed to contact Cabletech, the billing company for Waterloo Cablevision to ask the following questions: 1 . Are rates contracted for each company it services. 2 . Can customer bills be itemized to indicate cost and types of services rendered. An incident on January 24, 1988 was discussed concerning the showing of the Holmes/Tyson fight in a local bar. Airing of Channel 5, which this fight appeared on, is illegal in a public place. Raymond Harris, Chairperson of the Programming Committee, presented a financial analysis and need statement for the Commission's commencement of a public access/community programming project. The estimated cost was defined as follows: 1. Technician $13 ,500 - $14,500 plus benefits 2. Production/Host $2,500 3 . Portable Recorder $4,000 4. Quality Camera $3 ,000 - $4,000 5. Tapes, Lights, Editing, Studio Time $1,500 $24,500 - $26,500 It was explained that this plan utilized the studio at Waterloo Cablevision. There was discussion on using the facilities available at the Waterloo Community Schools and Hawkeye Institute of Technology. The obligation of Waterloo Cablevision according to the franchise for public access include: Providing the first five minutes of time free of charge; adequate studio facilities; technical assistance for production; and training for producing a program. Ray explained that the Committee envisions airing a program of community interest twice a month as well as telecasting City Council meetings and possibly Board of Supervisor' s meetings. Waterloo Cablevision February 4, 1988 Page 2 It was moved by Bev Trost, seconded by Raymond Harris that the proposal of the Programming Committee as described above be received, placed on file and approved and that Michelle Temeyer be instructed to prepare said information for presentation to the Waterloo City Council at its budget hearing for the Fiscal Year 1988-89. Prior to a vote on this matter, the following comments were expressed: Commission members agreed that only non-profit groups would be afforded an opportunity to appear and that a mechanism would be established to control program content. Michelle was also instructed to survey other large Iowa cities to ascertain their usage of cable franchise fees. Commission members were adamant in expressing their concern that the City Council consider their request for usage of cable franchise fees in the amount stated above. A vote was taken on the above described motion with the following result: The motion was unanimously passed. Ray Harris also reiterated the following benefits to the community with the initiation of publ ic access: 1. Community 2 . Local Agency(s) - involvement 3 . City Council 4. County Board of Supervisors Channel 28 (KOCR) , a new channel in the Cedar Rapids area, was discussed. Rick stated that it was his understanding that this was a "must carry" station. On several occasions, he has attempted to contact the managers, but to no avail. Consideration is being given to moving CNN to Channel 14 and eliminating Channel 14, which is the Nostalgia Channel, and moving KOCR to Channel 6. It was suggested that a survey be completed to determine viewers ' opinions on this change. No other Committee reports were available. With no further business before the Commission, the meeting was adjourned at 5: 45 p.m. Larry P. Burger Clerk/Auditor CABLE COMMISSION MINUTES January 7, 1988 4: 00 p.m. Mayor' s Conference Room Members present: Chairperson Fossell, Burt, Hines, Reed, Richardson, Tyson and Walden. Molly Frazer was introduced as the new Assistant City Attorney. Molly was invited to regularly attend future meetings of the Commission. The December monthly report for Cablevision was reviewed by Rick Christy, Manager. Several Commissioners reported that the Nostalgia Channel was not as good as the American Movie Classic Channel that it recently replaced. Mr. Christy reported that he has looked into this situation and hopes that improvement can be made. Chairperson Fossell announced that Mayor McKinley will be presenting to the City Council on January 11, 1988 the following names for reappointment: Russell Burt, Janet Walden and Charles Reed, each for a three year term expiring on December 1, 1990. The Mayor is also submitting the name of Richard Gleason to replace Reverend Kvetko with, term expiration on December 1, 1990 and the appointment of Chuck Angel to replace Sammie Dell to expire on December 1, 1991. The minutes of the December 3 , 1987 meeting were approved as presented. The proposed committee structure of the Commission was reviewed. Chairperson Fossell asked for comments from the Commission concerning the structure. The Committees are as follows: Regulation and Enforcement; Inter-Agency Liaison; Programming; Public Services and Consumer Relations; Ad Hoc Committee; and Ad Hoc Committee on Commission Procedure. It was moved by Janet Walden, seconded by Miriam Tyson that the Commission adopt the committee structure as outlined above. The motion passed unanimously. Committee assignments were as follows: Regulation and Enforcement--Chairperson - Janet Walden p Ray Richardson, City Attorney, City Engineer and Charles Angel Inter-Agency--Russell Burt, Judy Fossell and Richard Gleason Programming--Chairperson-Raymond Harris Ray Richardson, Reneta Saak, Beverly Hinders Trost, Rick Christy, Bev Lind and JoAnn Vandervelde Public Service and Consumer Relations--Miriam Tyson and Cathy Hines Ad Hoc--Ray Richardson Commission Procedures--Charles Reed and Judy Fossell Reneta Saak was present representing the Convention and Visitors Cultural Affairs Committee of the Waterloo Chamber of Commerce asking for the Commission' s assistance with local access programming for issues and programs within the community. All segments of the community would be showcased in these productions. A possible source of funding for this venture would be through the Cable Franchise fee paid annually to the City from Waterloo Cablevision. This item was referred to the Programming Committee. A report will be presented at the February Cable Commission meeting. CABLE COMMISSION MINUTES Page 2 January 7, 1988 Connection of all elementary schools into the loop system was reviewed. Work continues at Castle Hill, Edison, Blessed Sacrament, and Black High School. Central High School will be connected at such time as road construction work in the area permits installation of the appropriate cable connections. Rick Christy provided the Commission with an update of a potential subscriber requesting service to serve 3633k South Hackett Road. He explained that Cable is not available to this residence. Cost estimates to connect the house is estimated to be $4,000. The property owner will be advised of Mr. Christy' s findings. A memo from past Chairperson Miriam Tyson and past Vice Chairperson Janet Walden was reviewed. The accomplishments of the Commission during Calendar Year 1987 were reviewed. Miriam and Janet were thanked for their work during the past year. With no further business before the Commission, the meeting was adjourned. Larry P. Burger Clerk/Auditor