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Home My WebLink About8C - Mediacom LLC Default MEETING DATE: AGENDA #: PREPARED BY: AGENDA ITEM: DISCUSSION: ISSUES: CITY COUNCIL AGENDA REPORT December 4, 2000 \~ :~ank Boyles, City Manag~ CONSIDER APPROVAL OF A RESOLUTION DECLARING MEDIACOM LLC IN DEFAULT OF THE FRANCHISE AGREEMENT DATED OCTOBER 15,1999 AND SECTION 306 OF THE PRIOR LAKE CITY CODE. History: On October 15, 1999, Mediacom LLC became the operator of the cable television system serving the City of Prior Lake. Since assuming responsibility for the system's operation, the City has received a considerable number of complaints about the company regarding services, reception and outages. On October 24, 2000, the City Council conducted a town meeting to afford the public an opportunity to share its experiences about the services provided by Mediacom. A total of 15 cable customers provided testimony at that meeting. In addition, some 15 additional Mediacom comment cards were received. The customers recited numerous instances where Mediacom has failed in its responsibility to provide services to the public as set forth in the October 15, 1999 Cable Television Agreement and in Section 306 of the Prior Lake City Code. Current Circumstances: Brian Grogan, the City's cable television counsel, has reviewed a videotape of the town meeting and the customer comment cards submitted. Mr. Grogan believes that the company has not complied with the Franchise Agreement and provisions of the City Code. Attached is a resolution which itemizes areas of non-compliance with the above referenced documents. The City of Prior Lake has worked hard to support Mediacom and its efforts. We have acted as a liaison between the company and its customers since October 15, 1999. Our assistance has not resulted in the service improvements which Mediacom has claimed would occur. Since cooperative efforts have been unsuccessful, punitive actions identified in the Franchise Agreement and City Code appear to be the next appropriate step. ALTERNATIVES: (1) Adopt a resolution declaring Mediacom LLC in default of the Franchise Agreement and requirements of Prior Lake City Code. (2) Take no action and provide direction to the staff. 16200 Eagle Creek Ave. S.E., Prior Lake, Minnesota 55372-1714 / Ph. (612) 447-4230 / Fax (612) 447-4245 1:\CQUNCIL\AGNRPTS\2000\ 1204_ CABLE.DOOQUAL OPPORTUNITY EMPLOYER RECOMMENDED MOTION: Alternative (1). The resolution will be forwarded to Mediacom giving them 30 days to resolve all deficiencies. If they do not or if Mediacom requests, the City will conduct a public hearing following expiration of the 30 days and after a 14- day written notice. The purpose of the hearing allows Mediacom to dispute the City's findings. It also allows the Council to receive additional testimony corroborating the Findings of Fact in the resolution. Following the public hearing, the Council would determine if any further action is appropriate, and if so, in what form. 1:\COUNCll\AGNRPTS\2000\ 1204_ CABLE. DOC RESOLUTION OO-XX A RESOLUTION DECLARING MEDlACOM LLC IN DEFAULT OF THE FRANCHISE AGREEMENT DATED OCTOBER 15,1999 AND SECTION 306 OF THE PRIOR LAKE CITY CODE. Motion By: Second By: RECITALS WHEREAS, on or about October 15, 1999, the City of Prior Lake, Minnesota ("City") adopted its Cable Television Regulatory Ordinance ("Ordinance"), which governs the cable television franchises granted within the City; and WHEREAS, on or about October 15, 1999, the City granted a non-exclusive Cable Television Franchise to Triax Midwest Associates, L.P. ("Franchise"), which is currently held by Mediacom LLC ("Mediacom"); and WHEREAS, the City is charged with the obligation to enforce the Franchise; and WHEREAS, the City has received complaints from residents within the City who are cable television subscribers regarding the service provided by Mediacom, which complaints are hereby incorporated herein and made a part of this Resolution by reference; and WHEREAS, these complaints have been reviewed by the City; and WHEREAS, in response to such complaints, the City held and videotaped a public hearing where residents of the City and representatives of Mediacom were given an opportunity to discuss the cable television service provided by Mediacom, a copy of which is hereby incorporated and made a part of this Resolution by reference. NOW THEREFORE, be it resolved by the City Council of the City of Prior Lake, Minnesota, resolves and makes the following Findinas of Fact: 1. The Recitals set forth above are incorporated herein as if fully set forth and are deemed to be a Finding of Fact. 2. The complaints and public hearing testimony demonstrate that: (a) Mediacom has failed to provide an available representative to respond to subscriber telephone inquires during normal business hours, a violation of 47 C.F.R. 976.309 and Section 1.18(a) of the Ordinance; (b) Mediacom's customer service representatives have failed to answer subscriber telephone calls within thirty (30) seconds, a violation of 47 C.F.R. 976.309 and Section 1.18(a) of the Ordinance; 1620t9B6g1e Creek Ave. S.E., Prior Lake, Minnesota 55372-1714 / Ph. (612) 447-4230 / Fax (612) 447-4245 AN EQUAL OPPORTUNITY EMPLOYER (c) Mediacom has failed to work on service interruptions no later than twenty-four (24) hours after the interruption becomes known and on other service problems the next business day after notification of the service problem, a violation of 47 C.F.R. ~ 76.309 and Section 1.18(b) of the Ordinance; (d) Mediacom has failed to respond to service calls within a four-hour time block during normal business hours, a violation of 47 C.F.R. ~ 76.309 and Section 1.18(b) of the Ordinance; (e) Mediacom has failed to contact subscribers when its representatives are running late for a scheduled appointment, a violation of 47 C.F.R. ~ 76.309 and Section 1.18(b) of the Ordinance; and (f) Mediacom has failed to locate its transmission and distribution lines and equipment in a manner that does not obstruct or interfere with the proper use of City streets, that causes minimum interference with the rights of property owners who abut the streets, and that does not interfere with installation of other utilities, a violation of Section 1.21 (g) of the Ordinance. 3. City staff is hereby directed to forward to Mediacom a copy of this Resolution which shall serve as written notification of the City's findings and of Mediacom's obligation to cure the violations within thirty (30) days of the date of receipt of such notice, per Section 1.30 of the Ordinance. 4. If Mediacom fails either to cure the violations or breachs within the time prescribed or to commence correction of the violation or breach within the time prescribed and thereafter diligently pursue correction of such violation or breach, the City shall then give written notice of not less than fourteen (14) days of a public hearing to be held before the City Council. PASSED AND ADOPTED THIS 4TH DAY OF DECEMBER, 2000. YES NO Mader Mader Ericson Ericson Gundlach Gundlach Petersen Petersen Zieska Zieska City Manager, City of Prior Lake