HomeMy WebLinkAbout07(B) - Public Hearing to Consider Applications for the Grant of a Cable Franchise to Operate a Cable System with Cable Services in the City of Prior Lake Report
ITEM: 7B
CITY COUNCIL AGENDA REPORT
MEETING DATE: July 22, 2025
PREPARED BY: Jason Wedel, City Manager
PRESENTED BY: Jason Wedel
AGENDA ITEM: Public Hearing to Consider Applications for the Grant of a Cable
Franchise to Operate a Cable System with Cable Services in the
City of Prior Lake
RECOMMENDED ACTION:
Approval of a resolution confirming the compliance and qualification of Comcast for a cable
franchise.
BACKGROUND:
Earlier this year, Comcast requested a cable communications franchise from the City and as a
result, staff has prepared the necessary documents to comply with the franchising procedure
required under Minnesota law (Minn. Stat. Section 238.081).
On June 11 and 18, the City published a Notice of Intent to Consider Applications for a Cable
Franchise. The City also prepared a Request for Proposals - Official Application Form. On June
18, 2025, the City received one application from Comcast. On June 10, included in the City
Council report for authorization of public notice of intent to franchise, was a schedule that identified
the public hearing date for the franchise agreement to be held on July 22.
State law requires that the City hold a public hearing affording reasonable notice and a reasonable
opportunity to be heard with respect to all applications received by the City for a cable franchise.
During the public hearing, the City will receive comments from the public regarding the application
received from Comcast. In addition, the City Attorney will present an overview of State and
Federal law governing the cable franchise process. The City Attorney will also review the
application received by the City with a focus on the legal, technical, and financial qualifications of
Comcast.
Representatives of Comcast are expected to be present at the public hearing and available to
answer questions. The attached resolution confirms Comcast's eligibility to be considered for a
Cable Franchise and directs staff to work with Comcast on a draft agreement to be considered at
a future meeting.
FINANCIAL IMPACT:
As part of any cable franchise, fees will be retained by the cable provider for certain City cable
and technology expenditures. Regarding the cable franchise process, a $10,000 fee was
established and received from Comcast to offset administrative costs. All legal costs should be
reimbursed by Comcast through the Franchise Agreement.
City of Prior Lake | 4646 Dakota Street SE | Prior Lake MN 55372
Item 7B
Page | 2
ALTERNATIVES:
1. Motion and second to approve a resolution confirming the compliance and qualifications
of Comcast for a cable franchise.
2. Motion and second to deny the application and provide staff with additional direction.
ATTACHMENTS:
1. Report from Attorney
2. Resolution
4646 Dakota Street SE
Prior Lake, MN 55372
RESOLUTION 25-
A RESOLUTION REGARDING THE APPLICATION OF COMCAST FOR A CABLE
FRANCHISE
Motion By: Second By:
WHEREAS, Comcast of Arkansas/Louisiana/Minnesota/Mississippi/Tennessee, LLC
(“Comcast”) requested that the City of Prior Lake, Minnesota (“City”) commence
proceedings to consider the award of a cable franchise to Comcast; and
WHEREAS, Minnesota Statutes Section 238.08, Subd. 1(a) mandates that “a municipality
require a franchise for any cable communication system providing service within
the municipality;” and
WHEREAS, federal law at 47 U.S.C. Section 541(a) provides that a franchising authority
“may not unreasonably refuse to award an additional competitive franchise;” and
WHEREAS, the City followed the franchise procedure required by Minnesota Statutes
Section 238.081 by publishing once each week (the weeks of June 11, 2025
and June 18, 2025) for two successive weeks in the Star Tribune newspaper a
Notice of Intent to Consider Applications for a Cable Franchise (“Notice”); and
WHEREAS, the Notice stated all eight (8) criteria outlined in Minnesota Statutes Section
238.081, Subd. 2; and
WHEREAS, in addition to the published Notice, the City provided copies of the Notice and
the Request for Proposals - Official Application form (“RFP”) to Comcast and
the City’s existing franchised cable operator, Mediacom Minnesota LLC; and
WHEREAS, the City’s RFP required that proposals for a cable franchise contain responses
to each of the items identified in Minnesota Statutes Section 238.081, Subd. 4;
and
WHEREAS, the City’s closing date for submission of applications was set for July 1, 2025
which complied with the statutory minimum of twenty (20) days from the date of
first publication; and
WHEREAS, upon the deadline for submitting applications, the City received only one
application, from Comcast, received on June 18, 2025 and dated June 17, 2025;
and
WHEREAS, the City held a public hearing to consider the application received from Comcast
at its regularly scheduled July 22, 2025 City Council meeting; and
WHEREAS, all interested parties were provided an opportunity to speak to the City Council
and to present information regarding Comcast’s application; and
WHEREAS, the City carefully reviewed all information and documentation presented to it
regarding Comcast’s application and qualifications to operate a competing cable
system within the City; and
WHEREAS based on information and documentation made available to the City with respect
to Comcast’s application, the City Council has reached conclusions regarding
Comcast’s legal, technical, and financial qualifications.
NOW THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF PRIOR LAKE,
MINNESOTA as follows:
1. The City hereby finds that Comcast’s application received on June 18, 2025 complies with
the requirements of Minnesota Statutes Section 238.081.
2. The City finds that Comcast possesses the requisite legal, technical, and financial
qualifications to construct and operate a cable communications system to provide cable
service within the City.
3. The City staff is authorized to negotiate with Comcast to attempt to reach mutually
acceptable terms for a cable franchise to be introduced to the City Council for
consideration and action.
4. The City finds that its actions are appropriate and reasonable in light of the mandates
contained in Chapter 238 of Minnesota Statutes, and applicable provisions of federal law
including 47 U.S.C. Section 541(a).
Passed and adopted by the Prior Lake City Council this 22nd day of July 2025.
VOTE Briggs Braid Churchill Lake Hellier
Aye
☐ ☐ ☐ ☐ ☐
Nay
☐ ☐ ☐ ☐ ☐
Abstain
☐ ☐ ☐ ☐ ☐
Absent
☐ ☐ ☐ ☐ ☐
______________________________
Jason Wedel, City Manager
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