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ORD 05-497 e e ORDINANCE NO. 05 -497 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF FEDERAL WAY, WASHINGTON, AMENDING ORDINANCE NO. 95-238 TO EXTEND THE LENGTH OF THE FRANCHISE CREATED BY ORDINANCE NO. 95-238 GRANTING TELE-VUE SYSTEMS, INC. nlBIA VIACOM CABLE, IN c., NOW, COMCAST OF PUGET SOUND, INC., A NONEXCLUSIVE CABLE COMMUNICATIONS FRANCHISE WITHIN AND THROUGH THE CITY OF FEDERAL WAY. (AMENDS ORDINANCE NO. 95-238) Wl-IEREAS, on August 6, 1995, by Ordinance No. 95-238, the City of federal Way (hereinafter, "City") granted a non-exclusive cable franchise (hereinafter, "franchise") to Tele- Vuc Systems, Inc. DBA Viacom Cable and thc Franchise was subsequently transferred to Comcast ofPuget Sound, Inc. (hereinafter, "G-rantee"); and WHEREAS, Section 4 of the Franchise provides for thc Lcngth of franchise, with a tCD11ination date of midnight, August 13,2005; and WHEREAS, on March 21, 1996, by Ordinance No. 96-264, the City granted a 110n- exclusive cable franchise to TCI of Auburn, Tnc and said lranchise was subsequently transferred to Grantee; and WHEREAS, Section 4 of Ordinance No. 96-264, provides for the Length of Franchise to temlinate at midnight, March 20, 2006; and WITEREAS, the City and Grantee are negotiating the renewal of the franchise and anticipate combining the franchises into one franchise; and Ordinance No. 05-497 Pagel OR\G\NAL e e WHEREAS, negotiations are anticipated to extend beyond August 13,2005; alld WIIEREAS, the City Council of federal Way finds it is ill the public interest to cxtcnd the length of the Franchisc to the samc tcrmination date as the franchisc created by Ordinancc No. 96-264; NOW THEREFORE, THE CITY COLJNCIL OF THE CITY OF FEDERAL WAY, WASHINGTON, DOES HEREBY ORDAIN AS FOLLOWS: Section 1. Amendment. Section 4 of Ordillallcc No. 95-238 IS hereby ,mlended as follows: Lene:th of Franchise The lcngth of this This Franchise shall be for u term often (10) ycars commencing on August 11, 1 <)95 und terminating at midnight on i\UgUS: 13, 2005 termillate at midnight on March 20, 2006. Section 2. Full Force and Effect. All other terms and conditions of the Franchise Agrcement not modified by this Amendment shall remain in full force and effect. Section 3. Scvcrabilitv If allY section, sentence, clause, or phrase of this Amendment should be held to be invalid or unconstitutional by a court of competent jurisdiction, such invalidity or unconstitutionality shall not afTect the validity or constitutionality of any other section, sentence, clause or phrase of this Franchise. Section 4. Ratification Any act consistent with the authority and pnor to the el1ective date of this Amendment is hereby ratified and affirmcd. Ordinance No. 05-497 Page 2 e e Section 5. Effective Date This ordinance shall take effect and be in force 5 days from the time of its final passage and publieation, as provided by law. PASSED by the City Council of the City of Federal Way this 2nd day of August , 2005. CITY OF FEDERAL WAY cO~ U~__ MA YOR, DEAN McCO "AN APPROVED AS TO FORM: f~~ CITY ATTORNEY, PATRICIA A. RICHARDSON FILED WITH THE CITY CLERK: PASSED BY THE CITY COUNCIL: PUBLISHED: EFFECTIVE DATE: ORDINANCE NO.: 7/12/2005 8/2/2005 8/6/2005 8/11/2005 05-497 K:\Comcast\ Cable Franchise Amendment.doc Ordinance No. 05 - .!!:l..7 Page 3 co m ca st� April i0; 2006 Mr. Derek Matheson City Manager (Int) City of Federal Way PO Box 9718 Federal Way, WA 98063-9718 Dear Mr. Matheson: Comcast — Washington Market South East Puget Sou�d Area 4020 Auburn Way NoRh Aubucn, WA 98002 The purpose of this letter agreement is to outline the details for several unique issues between Comcast of Puget Sound, I�c. and Comcast of Washington IV, Inc. ("ComcasY') and the City of Federal Way (the "Ciry") that are separate from the Franchise terms and conditions. These items have been negotiated in good faith as part of the informal franchise renewal discussions and speciftcaily relate to the unique community needs that exist in the Ciry. A. Transition of Office Lacation to Payment Center: Today's consumer is demanding easy, convenient, and fast access to our products and services, this demand is revolutionizing Comcast's business p(ans and requires future flexibiliry in terms on-line and face-to-face service points for responding to the customers' changing needs. This demand by our customers is the bases for Cotncast's positian opposing the commitment to a local office as part of the Franchise renewal. Ne�ertheless, Comcast does not intend to clase the existing office location in the Ciry. To prove this poiat, Comcast wil( maintain one (1) office iocation, at a rriinimum, in the ftanchise area for the five (5) year term of the agreement. The office iocation will be open during aorma( business hours to allow subscribers to pick up and return subscriber equipment and to pay biits and make complaints. If Comcast requests extension of the Franchise for an additional five (5) years term, Comcast is relieved from maintaining the local office, but, at a minimum, wi(( maintain one { 1) payment center within the franchise area throughout the extended Franchise term. A payment center wiil be open during normal b.usiness hours to allow subscribers to return subscriber equipment and to pay bi!(s. If Coincast decides to transition to a payment center, Comcast wili give the City one hundred twenry (120) days prior written notice of any pian to c(ose the tocal office and shall consider the Ciry's comments prior to making any ftnat decision. B. Discouut Grandfather Transition: Given-today's very competitive cabte television marketplace, Comcast is proud to continue our voluntary offer of a discount to the basic cable rate for qualified senior and/or disabled Low income customers. Comcast recognizes that our discount prograrn, proposed under the fraachise renewai, vacies stightty from discount . programs in the existing Franchises� To ease the transition, Comcast will grandfather the current discount rate formutas for the existing active qualified customers, at the date of execution for the renewed franchise. The grandfather transition will remain in eff. ect for � those active customers unti( such time that_they discontinue cable service with Comcast. C. Comcast Modem Services to Schools: As part of the Nationa( Cable Te(evision Association's Cable in the C(assroom initiative, Comcast is proud of its vo(untary commitment of providing compiementary modem services to the K-i2 accredited schools in the Washington Market. The program works by altowing teachers and students; within classrooms, libraries, or computerl�abs use of new technologies in curricu(um and study programs. Since this service is for educational purpc�ses only and is a complimentary service not eligible for networking and administrative purposes, each school district needs to assess potential con�licts with Internet connectivity E-funding requirements_ If the school district is interested in the program, the connection process for this voluntary service is available through Comcast's local franchising department, using the public facilities connection terms and process in the Franchise. Acknowtedged and agreect to this �� y of , 2006. Comcast of Puge d Inc. and Comcast of Washington N, tnc. B. Leonard J. Rozek Sen-ior. Vi e President Date: �� (/ City of Federat Way : �� � t�� � i � i. ��� :�J , ,