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HomeMy WebLinkAboutOrdinance 14494.• '-~'r~'!'` ~~ ORDINANCE NO. ~ ! r AN ORDINANCE AMENDING ORDINANCE NOS 8291, 10193, 12105 AND 13718 AND FRANCHISE AGREEMENT DATED AUGUST 11, 1981 BY PROVIDING THAT MARCUS CABLE ASSOCIATES, L.L.C. d/b/a CHARTER COMMUNICATIONS MAY PETITION THE CITY COUNCIL IF THE CITY OF FORT WORTH AWARDS A CABLE FRANCHISE TO ANOTHER ENTITY ON TERMS AND CONDITIONS WHICH CAUSE A MATERIAL COMPETITIVE DISADVANTAGE THAT WILL LEAD TO MATERIAL. FINANCIAL HARDSHIP TO MARCUS CABLE ASSOCIATES, L.L.C. d/b/a CHARTER COMMUNICATIONS, PROVIDING A SAVINGS CLAUSE, AND PROVIDING AN EFFECTIVE DATE. WHEREAS, Marcus Cable Associates, L.L.C d/b/a Charter Commumcations ("Company") has a franchise to own and operate a Cable System m the City of Fort Worth ("City") pursuant to Ordinance Nos. 8291, 10193, 12105 and 13718 and the Franchise Agreement dated August 11, 1981 (collectively the "Franchise"), and WHEREAS, pursuant to Ordinance No 14300, adopted by the City Council on August 15, 2000, the City granted a franchise to WideOpenWest Texas, L.L.C to own and operate a Cable System m the City that contains a provision allowing WideOpenWest Texas, L.L C to petition the City Council for relief if the City awards a cable franchise to another entity on terms and conditions which cause a material competitive disadvantage that will lead to material financial hardship to WideOpenWest Texas, L.L.C WHEREAS, Company has requested that the City amend Company's Franchise to include the same provision, NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF CITY OF FORT WORTH, TEXAS. Section 1. The Franchise is hereby amended by adding the following paragraph to Article Section 3 ("Grant Nonexclusive") If the City awards a cable franchise to another entity on terms and conditions which cause a matenal competitive disadvantage that will lead to matenal financial hardslp to Company, then Company may petition the City Council by (i) describing the manner m which the proposed cable franchise will cause a material competitive disadvantage to Company and (ii) estabhsling, with clear and concise financial projections, the manner m which Company will suffer matenal financial hardship as a result of such disadvantage The Crty Council shall promptly hold a hearing providing due process on Company's petition, and if the City Council finds that (i) the proposed franchise will cause a matenal competitive disadvantage to Company and (ii) Company has established, with clear and concise financial projections, that such disadvantage will lead to matenal financial hardship to Company, then the Crty Council will remedy such disadvantage or hardship m a manner which the City Council, m its sole discretion, deems least harmful (or most beneficial) to the City and its residents. Company hereby agrees and acknowledges that technological issues or changes or advances m technology shall not constitute the basis for Company to assert that it is at a competitive disadvantage, and Company shall not be entitled to the remedies set forth m this paragraph as a result of the City's granting or proposing to grant a -1- f +o u r ,,, r ~~'' cable franchise to another entity whose cable system employs more advanced and/or more desirable technology than Company's System. Section 2. Capitalized terms that are used but not specifically defined m this Ordinance shall have the same definitions as those provided m the Franchise All terms, provisions and conditions of the Franchise that are not amended by this Ordinance shall remain m full force and effect. Section 3. This ordinance shall be in full force and effect from and after its passage and written acceptance by Company this •Z 3 day of , 2000 ~~ Pearson FORM AND LEGALITY By• Peter Vaky Assistant City Attorney M&c G -/3/3 5 ACCEPTED AND AGREED TO Marcus Cable Associates, L.L.C d/b/a Charter Commumcations ~~ ` C~~~~C It/Q'~i' sy~ Name ~1 G .e (~ {~e (/o s5 ~ v Title ~/. G •k.. P(-e~--~-rl ~/~ -2- City of Fort Worth, Texas M,,A~or Anil council C,ommun~cAtian DATE REFERENCE NUMBER LOG NAME PAGE 1/23/01 G-13135 o2wow 1 of 1 SUBJECT AMENDMENT TO ORDINANCE GRANTING A CABLE FRANCHISE TO CHARTER COMMUNICATIONS RECOMMENDATION It is recommended that the City Council adopt the attached ordinance amending Charter Communications' current cable franchise by adding a competitive neutrality clause DISCUSSION On August 15, 2000 (M&C L-12869), the City Council adopted Ordinance No 14300 which grants WideOpenWest, LLC (WOW) a franchise to own and operate a cable system in the City of Fort Worth The WOW franchise includes a competitive neutrality clause under which, in certain circumstances, WOW may petition the City Council for relief if the City Council awards a subsequent cable franchise to another company which negatively affects WOW's ability to compete against that company During the City Council meeting on August 15, 2000, City staff agreed to offer other cable companies directly competing with WOW the opportunity for the same clause to be included in their franchises. Charter Communications has responded to the staff's offer and is requesting that its current cable franchise be amended to include the same competitive neutrality clause that appears in WOW's franchise Charter Communications has reviewed the language of the attached ordinance and has filed a written acceptance of its terms and conditions with the City Attorney's Office FISCAL INFORMATION/CERTIFICATION The Finance Director certifies that this action will have no material effect on City funds RG k Submitted for City Manager's FUND ACCOUNT CENTER AMOUNT CITY SECRETARY Office by: (to) APPROVED Ramon Guajardo 6191 CITY C O i D H OUNCIL riginat ng epartment ead:. lAN David Yett 7623 (from) . 23 2Q01 d /' A f i C ~ ~~~ ontact: dditional In ormat on ~~ PeterVaky 7601 ~i4~o ~~~ ~~ z as Pat Svacina 6154 ~r~c~ni-~d Dr~9~ar~c~ Ndo ~"y~y