HomeMy WebLinkAbout1983-1120-A1 Amending Ord. No. 1980-1120 By Setting Forth a Description of the Facilities to be Provided by Grantee, Modifying the Initial Service Area, Amending the Line Extension Policy of Grantee, and Other Changes ORDINANCE NO. 1120-A1
AN ORDINANCE AMENDING ORDINANCE NO. 1120 SETTING FORTH
A DESCRIPTION OF THE FACILITIES TO BE PROVIDED BY GRANTEE;
MODIFYING THE INITIAL SERVICE AREA; AMENDING THE LINE
EXTENSION POLICY OF GRANTEE; PRESCRIBING INSTALLATIONS
CHARGES AS SET FORTH HEREIN; AND AMENDING THE EXHIBTTS.
The City Council of the City of Edina, Minnesota ordains:
SECTION 1. That Article I, Section 2, of Ordinance No. 1120 be amended
to read as follows:
V. "Public Building" is any building owned or operated by the
United States government or any subdivision thereof, or the state of
Minnesota or any subdivision thereof, or the City or any other
governmental subdivision, or school district or educational institutions.
SECTION 2. That Article III, Section 4, of said Ordinance be amended
to read as follows:
SECTION 4. FACILITIES
The Grantee shall construct, maintain and continue to provide all
facilities and equipment set forth in the Offering or as otherwise provided
in Article V, Section 2 and Exhibits A and B hereto, including, but not
limited, to, the headend, hubs, distribution system, studios, equipment
and other facilities. Grantee's plan, as set forth in the Offering, for
implementing the construction, utilization and maintenance of these facili-
ties, including its plans for accommodating future growth and changing needs
and desires, shall be fully and timely performed.
SECTION 3. That Article III, Section 7 of said Ordinance be amended to
read as follows:
SECTION 7. SERVICE TO PUBLIC BUILDINGS AND EDUCATIONAL INSTITUTIONS
Grantee shall initially provide subscriber and institutional network
service, upon request, to public buildings which may reasonably utilize such
service in the Initial Service Area or within an extended area pursuant to
Part II. A. of Exhibit B to said Ordinance, as hereby amended. Service to
public buildings outside the Initial Service Area or an extended area shall
be provided pursuant to Article V, Section 2, paragraph D of said Ordinance.
SECTION 4. That Article V, Section 2, of said Ordinance be amended to
read as follows:
SECTION 2. MODIFICATION OF INITIAL SERVICE AREA; EXPANSION OF
SERVICE AREA; AND LINE EXTENSION POLICY.
A. Service will be provided to dwelling and nonresidential units
of the City in areas with an average density less than forty (40) dwelling
units per street mile or cable mile whichever, as determined by City,
provides the greater benefit to the subscribers, (the "extended area") ,
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Ordinance No. 1120-A1
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and not within the Initial Service Area, upon payment of a construc-
tion charge based upon the cost contribution formula defined below.
Dwelling and nonresidential units in areas with an average
density of at least forty (40) dwelling units per street mile or
cable mile whichever, as determined by City, provides the greater
benefit to the subscribers, and those within the Initial Service Area,
will not be required to make a cost contribution pursuant to the cost
contribution formula below in order to receive service; but the install-
ation charges set out in Part I. A. of Exhibit B to said Ordinance,
as hereby amended, shall apply to such dwelling and nonresidential
units. The monthly charge for cable service in the extended area shall
be the same as elsewhere in the system.
B. The cost contribution for construction charges to be allocated
to each dwelling and nonresidential unit in the extended area whose
occupants petition pursuant to Section 2.C.1 hereof will be determined
as follows:
1. Grantee shall estimate the total cost of constructing
and maintaining for three (3) years from the date service is
available, the line extension to be constructed in the extended
areas. Total construction cost is defined as including plant
make ready and all labor and material costs necessary to
construct and activate that part of the system commencing at the
nearest point of existing plant and running to and within the
extended area.
2. The standard cost per dwelling and nonresidential unit in
the extended area shall be determined by dividing the total from
(1) above by 40, being the standard minimum dwelling unit density.
3. Grantee's contribution to the cost of the line extension
shall be determined by dividing the total number of dwelling units
in the extended area, as designated by the City Council pursuant
to Section 2.C.2 below, by the number of cable miles or street
miles in the extended area whichever, as determined by City,
produces the greater benefit to the subscribers, and multiplying
the resulting number by the standard cost per dwelling unit.
4. The difference between the total costs at (1) above and
the Grantee's contribution at (3) above is the total contribution
of the dwelling and nonresidential units in the extended area.
5. The construction charge to be paid by each subscriber
shall be determined by dividing the total contribution of the
dwelling and nonresidential units from (4) above by the number of
dwelling and nonresidential units whose occupants joined in the
petition pursuant to Section 2.C.1 hereof.
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Ordinance No. 1120-A1
C. Extended areas shall be established and service under
the line extension policy shall be provided in accordance with the
following procedure.
1. Occupants of dwelling and nonresidential units in an
area with an average density of less than forty (40) dwelling
units per street mile or cable mile as determined above, who desire
service shall petition the Council for designation as an
extended area. The petition shall include a map showing the
dwelling and nonresidential units proposed to be included in
the designated extended area.
2. The Council shall by resolution designate the dwelling
and nonresidential units to be included in the extended area.
3. Upon designation of an extended area, Grantee shall
prepare a map indicating the trunk cable line that will be
constructed to serve the extended area and shall estimate the
combined total construction cost and three (3) year maintenance
cost for service to the extended area (Section 2.B. 1) , the
Grantee's contribution (Section 2.B.3), and the total contri-
bution of the dwelling and nonresidential units (Section 2.B.4) .
4. Grantee will estimate the construction charge to each
dwelling and nonresidential unit according to the formula in
Section 2.B.5, above. Grantee will notify Council and occupants
in the extended area of the construction charge estimate by
U.S. mail.
5. Occupants within the extended area who wish to become
subscribers will have thirty (30) days after mailing of such
notice to commit to service, by executing and submitting a comm-
itment form to Grantee. The commitment form shall be submitted
to and approved in writing by the City prior to its use by Grantee.
6. Occupants within the same thirty (30) day period shall
deposit the amount of the construction charge estimate into an escrow
account to be maintained by the City. If the number of occupants
who deposit the construction charge estimate within such thirty
(30) day period is less than the number who join in the petition
(and the aggregate deposit made by such occupants is less than
the total contribution of dwelling and nonresidential units
required by Section 2.C.7) , Grantee shall, within ten (10) days
after the end of the thirty (30) day period, notify in writing
by U. S. mail such depositing occupants of the deficiency in
the escrow account, and such occupants may make additional
deposits within ten (10) days of mailing of such notice.
7. If the total contribution of dwelling and nonresidential
units as determined by Section 2.B.4. is deposited within the time
periods specified in C.6 above, Grantee shall construct the
line extension. Construction shall be completed- and service
made available to the extended area within twelve (12)
months from the end of the subscriber deposit period subject to
extension of said twelve (12) month period pursuant to Article V,
Section 3, paragraph C of said ordinance as amended.
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Ordinance No. 1120-A1
I
8. Upon completion of the line extension construction
and activation of service to the extended area, Grantee shall
submit to the City a detailed statement setting forth all actual
construction expenses, including labor, and an estimate of main-
tenance expense, with such supporting documentation and information
as the City may request. Said statement shall be certified
by an officer of Grantee. Upon receipt, review and approval
by the City, the City shall pay to Grantee the actual cost of
construction and projected maintenance expense, as approved by
City, from the escrow account. Any excess funds in the escrow
account shall be divided among and returned to the subscribers
in proportion to the amounts contributed by them. In no event
shall the money paid to Grantee exceed the escrow amount.
9. Any occupant in an extended area who did not participate
by initial subscriber contribution under paragraphs (S) and (6)
above and who wishes to hook up to the line extension within the
first three (3) years after service is commenced in the extended
area must deposit into an escrow account to be maintained by the
City the amount of the construction charge estimate under
paragraph 6 above and adjusted in accordance with paragraph 8
above. All such new contributions shall be held in escrow until
the end of the third year after service is commenced in the extended
area, at which time all funds in escrow shall be divided equally
and returned to the then current subscribers.
At the end of the three (3) years following the commencement
I of service to the extended area, all subsequent subscribers in the
extended area shall be charged the same installation charge as
other subscribers who are in areas with an average density of
at least forty (40) dwelling units per street mile or cable mile.
D. Nonresidential units and public buildings in an area not
within the Initial service Area or an extended area shall be provided
service upon acceptance of a quote from Grantee. The quote shall not
exceed the cost to Grantee, calculated on a time and material basis,
of extending the cable and necessary cable equipment to service said
user. .
E. Grantee shall indemnify and hold the City and its respective
elected officials, officers, agents, employees and representatives,
harmless from and indemnified against any and all loss, costs,
damage and expense, including, without limitation, attorneys' fees,
now or hereafter incurred by it, and arising out of or due to, or
claimed to arise out of or be due to, this Ordinance, the adoption
thereof or the process followed by City in adopting this Ordinance.
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Ordinance No. 1120-A1
SECTION 5. That Paragraph C(1) , Article VI, Section 4 of said
Ordinance be amended to rear' s follows:
(1) Rates and charges charged by Grantee for monthly service
and other charges hereunder shall be uniform, fair and reasonable and
designed to meet all necessary costs of service, including a fair
rate of return on the original cost, less depreciation, of the proper-
ties devoted to such service (without regard to any subsequent sale
or transfer price or cost of such properties) . Construction cost
contributions shall be made pursuant to Article V, Section 2, and
installation charges shall be made pursuant to Exhibit B hereto.
SECTION 6. That Article XIV, Section 2, paragraph H, of said Ordinance
be amended to read as follows:
H. Each exhibit is a part of this Franchise and each is
specifically incorporated herein by reference. The exhibits are
as follows:
Amended Exhibit A - The heading of Exhibit A is amended to
read as follows:
Map of Construction by Area,
Including Time Schedule and Initial
Service Area.
Amended Exhibit B - Rate Schedule (see Section (7) of this
amending Ordinance for -the amendment to Exhibit B) .
SECTION 7. That Exhibit B of said Ordinance be amended by deleting
Article I, Section A, paragraph 5.
SECTION 8. That notwithstanding any other provision of this Ordinance,
if less than all of the other of the Cities of Eden Praitie, Edina, Hopkins,
Minnetonka and Richfield offer a similar franchise Ordinance amendment to
Grantee, which is accepted by Grantee, Grantee, or City may cancel this
franchise Ordinance amendment and all of their obligations hereunder by
written notice given to the other not later than thirty (30) days after all
the other of said Cities shall have formally acted upon their respective '
similar franchise Ordinance amendments; provided, that if Grantee elects
to cancel this franchise Ordinance amendment pursuant hereto, it must also
cancel all other franchise Ordinance amendments granted to it by the other
of said Cities effective simultaneously herewith.
i.
SECTION 9. Grantee shall have thirty (30) days from the last date ;
of adoption of a similar franchise Ordinance amendment by all of the Cities
listed in Section 8 of this Ordinance, to accept this franchise Ordinance
amendment in form and substance acceptable to City. However, in no event
will acceptance occur later than ninety (90) days after the adoption of this
franchise Ordinance amendment vnle&s the time for acceptance is extended
by City. Such acceptance by Grantee shall be deemed the grant of this
franchise Ordinance amendment for all purposes.
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Ordinance No. 1120-Al-
SECTION 10. With its acceptance, Grantee also shall deliver to City
an opinion from its legal counsel, acceptable to City, stating that this
franchise Ordinance amendment has been duly accepted by Grantee, that this
franchise Ordinance amendment is enforceable against Grantee and the guaran-
tors of the franchise granted by the said Ordinance, in accordance with its
terms, and which opinion shall otherwise be in form and substance acceptable
to City.
SECTION 11. That this Ordinance shall be in full force and effect
upon adoption and publication and acceptance in writing by Grantee.
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Passed and adopted this 6th day of June, 1983.
CITY OF EDINA, MINNESOTA
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B Com.
Ma
ATTEST:
City Clerk And
Manager
First Reading: March 21, 1983
Second Reading: June 6, 1983
Published in the Edina Sun on June 15, 1983
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imtlal,subscriber contribution on[derparagraphs 15)',an 'r 6) a ove7
and who>wiahea to hook up to the line extension within the fiirst three
(3)`years attersery[ce[atop�tl etkoed`in'�+fhe, teAWA*ea must
deposit-into�,anvescrow account•to.be mildta��d by th4:Gi y the Mr <<
amount of the construction,charge,eatimate,underparagraplt`,8 apoye
and;adjusted in accordance with'
contributions
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contributions shall be held In escrow until the end of the thiPd year
after service is commenced in the extended a}ea,8,which time all
funds,in escrow shall be divided equally and°returned to the then
current subscribers.
At the end of the three(3)years following the,commencement of
service to the extended area, all subsequent subscribers in,the
extended area shall be charged the same installation charge as other
subscritierswho are in areas with an average density of at least forty
(40)dwelling units per street mile or cable mile.
D.Nonresidential units and public buildings in an area not within
the Initial service Area or an extended area shall be provided service
upon acceptance of a quote from'Grantee.The quote shall not exceed
the cost to Grantee, calculated on a time and material basis, of
extending the cable and necessary cable equipment to service said
user.
E. Grantee shall indemnify and hold the City and,its respective
elected officials,;officers, agents, employees and representatives,
harmless from and indemnified against any and all losses, costs,
damage and expense,including,without limitation,attorneys'fees,
now or hereafter incurred by It, and,arising out of or due to, or
claimed to arise out of or be due to,this Ordinance,the adoption
thereof or the process followed by City in adopting this Ordinance.
SECTION 5.That Paragraph C(1),Article VI,Section 4 of said Ordinance
be amended to read as follows:
(1)Rates and charges charged by Grantee for monthly service and
other charges hereunder shall be uniform,fair and reasonable and
designed to meet all necessary costs of service,including a fair rate
of return on the original cost, less depreciation, of the properties
devoted to such service (without regard to any subsequent sale or
transfer price or cost of such properties).Construction cost contribu-
tions shall be made pursuant to Article V,Section 2,and installation
charges shall be made pursuant to Exhibit B hereto.
SECTION 6.That Article XIV,Section 2,paragraph H,of said Ordinance be
amended to read as follows:
H.Each exhibit is a part of this Franchise and each if specifically
incorporated herein by reference.The exhibits are as follows:
Amended Exhibit A The heading of Exhibit A is amended to read
as follows:
Map of Construction by Area,Including Time Schedule and Initial
Service Area.
Amended Exhibit B - Rate Schedule (see Section (7) of this
amending Ordinance for the amendment to Exhibit B).
SECTION 7. That Exhibit B of said Ordinance be amended by deleting
Article I,Section A,paragraph 5.
SECTION 8.That notwithstanding any other provision of this Ordinance,if
less than all of the other of the Cities of Eden Prairie, Edina, Hopkins,
Minnetonka and Richfield offer a similar franchise Ordinance amendment to
Grantee, which is accepted by Grantee,Grantee, or City may cancel this
franchise Ordinance amendment and all of their obligations hereunder by
written notice given to the other not later than thirty(30)days after all the
other of said Cities shall have formally acted upon their respective similar
franchise Ordinance amendments;provided,that if Grantee elects to cancel
this franchise Ordinance amendment pursuant hereto,it must also cancel all
other franchise Ordinance amendments granted to it by the other of said
Cities effective simultaneously herewith.
SECTION 9. Grantee shall have thirty (30) days from the last date of
adoption of a similar franchise Ordinance amendment by all of the Cities
listed in Section 8 of this Ordinance, to accept this franchise Ordinance
amendment in form and substance acceptable to City.However,in no event
will acceptance occur later than ninety (90) days after the adoption of this
franchise Ordinance amendment unless the time for acceptance is extended
by City. Such acceptance by Grantee shall be deemed the grant of this-
franchise Ordinance amendment for all purposes.
SECTION 10. With its acceptance, grantee also shall deliver to City an
opinion from its legal counsel,acceptable to City,stating that this franchise
Ordinance amendment has been duly accepted by Grantee, that this
franchise Ordinance amendment is enforceable against Grantee and the
guarantors of the franchise granted by the said Ordinance, in accordance
with its terms,and which opinion shall otherwise be in form and substance.
acceptable to City.
SECTION 11. That this Ordinance shall be in full force and effect upon
adoption and publication and acceptance in writing by Grantee.
Passed and adopted this 6th day of June,1983.
First Reading: March 21,1983
Second Reading:June 6,1983
CITY OF EDINA,MINNESOTA
By(s)C.Wayne Courtney
Mayor
ATTEST: And(s)KENNETH E.ROSLAND
(s) MARCELLA M.DAEHN
City Clerk
(June 15,1963)-ED 2A 1C Manager
ACCEPTANCE
(OF AMENDMENT TO CABLE COMMUNICATION FRANCHISE
IN THE CITY OF EDINA)
WHEREAS, the city of Edina, a Minnesota municipal corporation
(the "City") by action of its governing body on December 29, 1980, adopted
a Cable Communications Franchise Ordinance (the "Franchise"), which is
now recorded in the ordinance books of the City as Ordinance Number 1120,
granting to Minnesota Cablesystems-Southwest, a Minnesota Limited Partnership
(the "Grantee"), with Minnesota Cablesystems, Inc. , a Minnesota corporation,
as General Partner, a non-exclusive franchise to operate and maintain a
cable communications system within the City; and
WHEREAS, the City of Edina passed Ordinance Number 1120-A1 on
June 6, 1983 amending the Franchise by setting forth a description of the
facilities to be provided by the Grantee; modifying the initial service
areas; amending the line extension policy of Grantee; prescribing charges;
and amending the exhibits; and
WHEREAS, said amendment has been passed by all of the five city
councils as of August 1, 1983; and
WHEREAS, the Franchise and Ordinance require that such an amendment
be accepted in writing by Grantee before it becomes effective.
NOW THEREFORE, pursuant to the terms and requirements of the
Franchise and Ordinance, Grantee does hereby accept the amendment to the
Franchise Ordinance as described above.
DATED: August 31, 1983
MINNESOTA CABLESYSTEMS-SOUTHWEST
a Minnesota Limited Partnership
By: MINNESOTA CABLESYSTEMS, INC. ,
r,,,�The General Partner
By
a y L. Miz qa
Exec t ve Vice President an
egional Manager
STATE OF MINNESOTA )
SS
COUNTY OF HENNEPIN )
The foregoing instrument was acknolwedged before me the 31st
of August, 1983, by Gary L. Mizga, Executive Vice President and Regional
Manager of MINNESOTA CABLESYSTES-SOUTHWEST, a Minnesota Limited Partnership,
and on behalf of said limited partnership.
otary Pub
--------------------------
�k DOROTHY M. RIETOW
_v NOTARY PUBLIC-MINNESOTA
1 HENNEPIN COUNTY
.•�' My Commission Expires Nov.2. 1983