HomeMy WebLinkAboutApplication of American Television and Communications Corp for Approval of the Transfer of the Cable Telvision Franchises and Facilities from CeraccheCITY OF ITHACA
108 EAST GREEN STREET
ITHACA, NEW YORK 14850
OFFICE OF
MAYOR
MEMO TO: Mr. Joseph Rundle, City Clerk
Mr. Martin A. Shapiro, City Attorney
Mrs. Ethel Nichols, Chairman of the Charter and Ordinance Comm.
Mr. Dana Ulloth, Chairman of the Cable Commission
Mr. Raymond Bordoni, Alderman
FROM: Mayor Edward J. Conley
DATE: October 14, 1977
TELEPHONE: 272-1713
CODE 607
SUBJECT: State of New York Commission on Cable Television - In the Matter of the
Application of American Television and Communications Corp. for approval
of the transfer of the cable television franchises and facilities from
Ceracche Television Corp and Ceracche and Company Inc.
Attached hereto please find a copy of the order approving the above entitled
transfer received in my office this date.
EJC:rb
ATTACH.
STATE OF NEW YORK
RECEN ED OCT 19,1-L
COMMISSION ON CABLE TELEVISION. . -.772-177 .
In the,Matter 'of the Application of , ,
American Television and Communications corp. for ).Docket No. 76068
approval of the transfer of the cable television ) .
franchises and -facilities from Ceracche Television)
Corp. and Ceracche and Company, Inc. ,) ,
ORDER APPROVING TRANSFER
(Adopted: September_27 , 1977;, Released:. October, 11,.. 1977)
On August 23, 1977,. American Television and Communications
Corp. ("ATC") submitted the above-caPticned application for approval ,
of the transfer of 'the franchises and certificates of Confirmation
and the transfer of 'control of the 'cable ,television facilities
_
presentlyoperated by Ceracche Television -Corp and Ceracche and
Company, Inc. ("Ceracche"). These ,Cable television operations
include service or franchise rights in the, following municipalities: ,
City of Ithaca, Towns of Ithaca,. Dryden, Newfield, Lansing, Ulysses,
Caroline, Danby, Groton, Enfield ,and the Villages of Cayuga ,Heights,
Lansing, Groton and Trumansburg (all located in Tompkins County)
and the Towns of Candor and Newark Valley and the Villages of Candor
and Newark ,Valley (located in Tioga County). With the exception of
the Village of Cayuga Heights, -all of the above-described operations
and franchise rights would be transferred from Ceracche, to ATC
promptly upon our 'approval. With respect to the operations in Cayuga
Heights, the applicant proposes to take Over ,the operations of
Ceracche on a "management"' basis for a limited period of time pending
the conclusion of final .negotiationS, with ,the municipal officials.
_ -
•
Notice of this application was Flury served UpOn, each of the
subject municipalities and also published in our Weekly Bulletin.
The transfer approval was ,obtained from each municipality whose
existing franchise require's such approval. No oppOsitions or objec-
tions to this ,application have been received. .
This application is governed by the provisions of Section 822 of,.
the Executive Law and our own General Order #2 (as amended) . Section
822 of the Executive Law requires that such a transfer be approved ,
by this Commission and by any subject municipality whose franchise
mandates such local approval. In addition, Section 822 requires that
we approve the application unless we find that the applicant, the
proposed transferee or the cable television sy,stems do not conform
to the -standards embodied in our regulations or that approval would
be in violation of law,. any standard or regulation promulgated -by,
this ConmiieSion. or ,the public interest:- General Order #2 sets forth -
the criteria -for Commissionapproval of such ,a transfer, and. requires,
the applicant to seek our :approval at least 60, days in _advance of the.
proposed transfer and to 'submit ;to the Commission all,relevant_fact6
and evidence af municipal apPrOVals, Where appropriate. .•
- 2 -
Having reviewed the subject application iri the
822 of the Executive Law and our own General Order ,n
unable to find any basis upon which to..withhold .our
proposed transfer and we find that the grant of our
in this instance would be in thepublicinterest.*
established cable'television.company with operations
of this State and we are satisfied that in : acquiring
of Ceracche it rill construct its 'operations" irn the
palities in a manner consistent with"our standards.
several aspects of the proposed transfer deserve our
follows:
aa_ _As indicated_above,_'_the-_transaction we _are approving
herein would not include the transfer of the franchise and certificate
for the Village of Cayuga Heights ,The . Village. has .,voted to approve
the transfer' of -;'its• franchise' to ATC but has made .this approval:.,
conditional upon the agreement
-.by:ATC to a number of specific -fran-..
chise amendments .which ' are : presently. ,thesubject of . negotiations
between ATC and the VillageATC has`agreedto take over the opera-
tion of the '-Cayuga Heights facilitieson a "manageraent°' basis for
one year. During this period,' ATC will negotiate with . the Village
with regard to the terms of its transfer approval with the anticipa-
tion
'that :these' facilities will finally be transferred -to ATCwithin,`'.
one year. In view of the n fact that the . Village: of Cayuga Heights
has not ,expressed it's objection to ;the ''form of the transfer: now:,..
presented to us,= and 'in view of the fact that the parties allappear:
to anticipate the successful negotiation of the issues in -dispute in
Cayuga Heights, we shall not consider this treatment of the Village a bar
to our approval of the transfer now before lis . ': We remind the parties
that the' final transfer of the facilities 'serving Cayuga'Heights, will
still require our'`ul'timate `approval at'such time as the parties are
prepared = to accomplish such'transfer e ` We. note ,that ` the'; interest of
the Village of -Cayuga- 'Heights' -'is of concern to` u"s and we shall' expect
ATC to provide adequate service to the residents .of Cayuga Heights
during its one: year' managerial regency:;'' and we sha1:l,; of course,
permit the Village --to express -its comments •or-objecti�cns to us -regard
-
_
any proposed action affecting its franchise 'rights,.::
context of Section
2, we are
approval of the
transfer approval
ATC is an,
in.other parts,
the facilities...
subject nunici-
However,
comment, as
be In connection with its Obtaining the approval'of
other municipalities for .the .proposed transfer, ATC agreed toobli-
gate itself to ,existing franchise".:requirements ' of Ceracche and to
additional' service'` or franchise modifications. We shall expect and
require" ATC' to fulfill these obligations. with`respect to the 'provi-
sion of service and renegotiation of franchises
* ATC'. has requested a partial waiver of the 'requirement that 'its..
application be submitted 60 days in 'advance: o'f the proposed transfer
(General'. Order #2, -supra). In view of the 'fact that;al:h necessary'
requirements to our action in this matter have'already,been satis-
fied and in view of ;the small • delay that is requested here for the
purpose of permtting`ATC to' initiate its service obligations' as •`
quickly as "possible, we shall hereby grant the requested partial '
waiver. ; ::'
- 3 -
co As a part of its proposed purchase and sale agreement
ATC has agreed to provide free service to ten unnamed individuals.
We shall require that the other subscribers on the system not bear
the cost of this service unless such service represents a legitimate
expense of ATCes cable television operations,
do We shall require ATC to)submit a special financial
report subsequent to the closing of the transfer we herein approve.
In addition, a report will be, required• from Ceracche subsequent to
closing.* Thespecial financial report from ATC shall consist of a
Balance Sheet and Schedule of Plant Intangibles and Deferments (as
found in Form AFR-1), to reflect the value of the franchises and other
assets immediately after purchase from Ceracche. This report should
be filed by ATC within 30 days after the closing of the proposed
transfer. A final report from Ceracche should be filed within 90
days after the sale of its cable television franchises and other
assets (including Cayuga Heights). The 1977 Form AFib -'l will still
be required from Ceracche.
THE COMMISSION ORDERS
1. Pursuant to Section 322 of the Executive. Law and this
Commission®s General Order #2, the application of American Television
and Communications Corp. for approval of the transfer of the franchises
and certificates and the transfer of control of facilities of
Ceracche Television Corp. and Ceracche and Company, Inco in the
municipalities described above is hereby granted and, subject to the
understandings and, conditions described hereinabove, such transfer
is hereby approved.
2. The transfer approval granted herein in ordering paragraph
one shall lapse and be void if the transfer approved is not con-
summated within 60 days of the date of this Order.
3e Within 30 days subsequent to the consummation of the transfer
approved herein, ATC shall file with this Commission a notice of the
consummation of the transfer approved and a special financial report
as described hereinabove.
Commissioners participating: Robert F. Kelly, Chairman;
Jerry A. Danzig, Vice -Chairman; Albert Eo Farone, Malcolm Fein,
Michael Ha Prendergast, Commissioners.
* The 1977 AFR-1 report from Ceracche has not yet been filed. We
have previously granted Ceracche an extension for filing until
October 31, 19770
Division of ATC
ELEV Otexmczywsmawcza
5 1 9 WEST STATE STREET • I T H A C A. NEW YORK 1 4 8 5 0
r- It
Honorable Edward Conley, Mayor
City of Ithaca
108 E. Green Street
Ithaca, New York 14850
Dear Mayor Conley:
rib
October 12, 1977
The.New_York_Commission on Cable Television approved the trans-
fer and sale of Ceracche Television Corporation to American Tele-
vision and Communications Corporation (ATC) on September 27, 1977.
Purchase arrangements between the parties were finalized today.
Correspondingly, ownership and operation of the cable system granted
by the City of Ithaca cable television franchise now rest with ATC.
Local cable operations will continue to utilize the name
Ceracche Television, though you may later see a change in graphics
and logo.
I have been named the general manager of the Ithaca cable system
and am now permanently located in the Ithaca area. I look forward
to meeting you, and discussing the provisions of the cable franchise,
as well as other matters you may desire. ATC plans to invite you
and other mayors and town supervisors to meet with members of ATC
to more fully acquaint you with our firm and our procedures. I will
be contacting you later about arrangements.
We -are most happy -that -you -have-approved--our--operation in the
City of Ithaca. We look forward to providing the best possible cable
television service to the residents of your community.
If you have any questions whatsoever, please feel free to call
on me.
Kevin H. Rorke
General Manager
KHR:tm
OFFICE OF
THE MAYOR
CITY OF ITHACA
TOMPKINS COUNTY
ITHACA, NEW YORK 14850
AUG 2 6 1977_
TELEPHONE: 272-1713
CODE 607
MEMO TO: Mrs. Ethel'Nichols, Chairman of the Charter and Ordinance Comm.
Mr. Dana Ulloth, Chairman of the Cable Commission
Mr. Martin A. Shapiro, City Attorney
Mr. Joseph Rundle, City Clerk
FROM: Mayor Edward J. Conley
DATE: August 25, 1977
SUBJECT: Ceracche Television to American Television and Communications
Corporation: Transfer of Cable Television Franchises
and Facilities
Attached hereto please find -a copy of the application in regard
to the above entitled matter that was submitted to the New
York State Commission on Cable Television for your attention.
Please note that a Notice regarding the filing of objections
of. the transaction is also attached.
EJC:rb
ATTACH.
LEWIS A.ARONOWI TZ
STANTON ABLETT
GEORGE MYERS
JOHN E. BRAN DOW
RALPH G. MANCINI
HOWARD W. ROTH
CORNELIUS D. MURRAY
DANIEL M. SLEASMAN
MAX GORDON
NEIL H. RIVCHIN
PETER L. DANZIGER
FRED B. WANDER
STEPHEN R. COFFEY
O'CONNELL AND ARONOWITZ, P. C.
ATTORNEYS AND COUNSELLORS AT LAW
f00 J.ze' YeAce-.t
�ecv' �Ya 12207
AREA CODE 51B 462-5601
434-1251
u' i °• gi i
Hon. Edward J. Conley
City Hall
Ithaca NY 14850
August 23, 1977
EDWARD J. O'CONNELL
1925-1939
LEON ARONOWITZ
1941-1969
SAMUEL E. ARONOWITZ
1925-1973
MEYER A.JENEROFF
OF COUNSEL
Re: Ceracche Television Corporation to American Television and Communications
Corporation: Transfer of Cable Television Franchises and Facilities in
Tompkins and Tioga Counties
Dear Mayor Conley:
In accordance with the regulations of the New York State Commission on
Cable Television, we are enclosing a copy of the application to the New York State
Commision on Cable Television for approval of the transfer of the cable televison
franchises and/or facilities presently owned and operated by Ceracche Television
Corporation to American Television and Communications Corporation, together
with a Notice regarding the filing of objections of the transaction with the
Commission and with the undersigned, as legal counsel for American Television and
Communications Corporation.
Very truly yours,
O'CONNELLlAND ARONO Z, P.C.
/
By:
Neil H. Rivchin
NHR:vc
Enc.
CERTIFIED MAIL -RETURN RECEIPT REQUESTED
STATE OF NEW YORK
COMMISSION ON CABLE TELEVISION
In the Matter of
Application of American Television and Communications
Corporation for approval of the transfer of the
Cable -Television -Franchises and Facilities from--.
Ceracche Television Corporation and Ceracche &
Company, Incorporated ( City of Ithaca, Town
of Ithaca, Village of Cayuga Heights, Town of Dryden,
Town of Newfield, Town of Lansing, Village of
Lansing, Town of Ulysses, Town of Caroline, Town of
Danby, Village of Groton, Town of Groton, Village
of Trumansburg, and Town of Enfield - Tompkins County;
and_ Village _of Candor, Town of Candor, Village of
Newark Valley, and Town of Newark Valley - Tioga
County)
Pursuant -to -Section -822 of The Executive Law.
TO THE COMMISSION:
American Television and Communications Corporation
(hereinafter referred to as ATC), hereby applies for approval
of the transfer of the cable television franchises and facili-
ties of Ceracche Television Corporation (hereinafter referred
to as CTV) and •Ceracche & Company Incorporated (hereinafter
referred to as C & C) as hereinafter set forth.
Pursuant to Section 822 of The Executive Law of the
State of New York and General Order No. 2 of the Commission, as
amended, the following information is submitted in support of
this application:
1. The Applicant herein is ATC, a Delaware
corporation with its principal offices at 20 Inverness
Place East, Englewood, Colorado 80110, Tel. (303) 773-
3411.
2. All material facts with respect to the
proposed transfer are set forth in a Purchase and Sale
Agreement entered into by and between ATC, as Purchaser,
and CTV and C & C, as Sellers, a true copy of which
Agreement will be submitted to the Commission under
separate cover after execution by all parties.
3. Attached hereto as Exhibit A are true copies
of consents to the transfer herein from all municipal-
ities, whose franchise agreements require such consent,
some of which consents are conditional, which conditions
ATC
acknowledges and
Applicant
agreement with
accepts.
is informed
that the franchise
respect to the Village
Heights requires the Village of Cayuga
consent to the transfer of the cable
of Cayuga
Heights to
television
franchise and facilities of CTV and C & C with
respect to the Village of Cayuga Heights. No such
consent acceptable to ATC has been obtained as of
the date of this Application, although diligent
efforts have been made, and will continue to be
made to obtain said consent.
In the event, however, that ATC is unable to
obtain any such acceptable consent which the
Commission may deem necessary from the Village of
Cayuga Heights, ATC respectfully requests that the
Commission, otherwise, approve the transfer to ATC
of the cable television franchises and facilities
of CTV and C & C with the exception of the cable
television franchise and facilities of CTV and C &
C with respect to the Village of Cayuga Heights.
4. Attached hereto as Exhibit B are proofs of
service of a copy of this Application upon the executive
officer of all municipalities directly affected by the
proposed transfer, together with- a notice that
objections to the requested Commission action, .if any,
must be submitted to the Commission and served upon the
Applicant within fifteen (15) days following receipt by
a muncipality of the Application and Notice.
5. The Applicant and the proposed.transfer herein -
will not be in violation of, or in any inconsistent
with, any applicable federal, state, or municipal law,
ordinance or regulation, or the public interest.
6.2- Applicant -requests:-tha-t-the=-Commission waive
its sixty (60) day processing requirement on the grounds
that the integrity of the cable television
franchises and facilities being transferred
pursuant to the proposed Purchase and Sale
Agreement and the public interest would best be
served by expediting the transfer and closing.
AMERICAN TEL
CATION Q RP
By:
Joseph
SION AND COMMUNI-
TION
J`. Collins,
Vice President
STATE OF COLORADO)
) ss.:
COUNTY OF ata` )
says:
That he i
being duly sworn, deposes and
of American Television
and -Communication --Corporation; -_the-corporation--named—in
the within Application; that he has read the foregoing
Application for Approval of The Proposed Transfer and
knows the contents thereof; that the same is true to his
own_knowl-e- dge,- ex-cept--as—to--the--maters-the-r-ein - stated
to be alleged upon informationand belies and to those
)t,
f _ 4•
matters he -believes it -to be- true.
Sworn to before me this
�f. f-
�day of
1977.
,1,
Joseph d Collins, Vice President
1:
( ////7
No-ta-r Public - State of Colorado
STATE OF NEW YORK
COMMISSION ON CABLE TELEVISION
In the Matter of
The Transfer to American Television and Communications
Corporation for approval of the transfer of the
Cable Television Franchises and Facilities from
Ceracche Television Corporation and Ceracche &
Company, Incorporated (City of Ithaca, Town
of Ithaca, Village of Cayuga Heights; Town of Dryden,
Town of Newfield, Town of Lansing, Village of
Lansing, Town of Ulysses, Town of Caroline, Town of
Danby Village of ---Groton, -Town of Groton, Village
of Trumansburg,. and Town of Enfield - Tompkins County;
andVillageof Candor, Town of Candor, Village of
Newark Valley, and Town of Newark Valley - Tioga County)
Pursuant to Section 822 of The Executive Law.
PLEASE TAKE NOTICE that American Television and
Communications Corporation. will file with the New York State
Commission on Cable Television an Application for approval of
the above -entitled proposed transfer of cable television -
franchises and facilities pursuant to Section 822 of The
Executive Law of the State of New York;
PLEASE TAKE FURTHER NOTICE that objections to the
requested—Commission -action of --any--- municipality directly
affected by the proposed transaction must be submitted to the
New York Commission on Cable Television and served upon the
Applicant within fifteen (15) days following receipt by the
municipaii:ty of -a- copy -of- the =Application -and this -Notice; and -
PLEASE TAKE FURTHER NOTICE that true copies of any
objections must be served upon American Television and Commun
ications Corporation, c/o O'Connell and Aronowitz, P.C., 100
State Street, Albany, New York 12207.
DATED: August 23, 1977 O'CONNELL AND ARONOWITZ, P.C.
Attorneys for American Television
and Communications Corporation
Office an4 P.O. Address
100 State Street
Albany, New York 12207
(518) 462-5601
c-=`� �•a�es --
JUN 1 1977
MEMO TO: Advisory Committee on Cable Television
FROM: Dana Ulloth
SUBJECT: Changes in Franchise
DATE: June 8, 1977
Proposed changes in franchise as discussed in the Cable Committee
meeting are as follows (change in italics):
34. The Grantee shall also be required to submit its annual financial
statements, Uniform Cable Commission financial reports, and state and
Federal income tax returns and any other reasonable financial information
requested, __to_ the Common_Council annually as soon thereafter as they
may be available. The City may request advice and analysis with regard
to said financial documents etc., from the State Cable Commission and
outside accountants if it deems necessary, and receive and consider
the results- therefrom„before rate -increase_ hereunder-_ shall be -
granted. :.
In addition -to the above provisions, ATC will submit independently
audited financial statements covering its operation of the Ithaca area
cable television system -from the time of the most recent rate increase
when it petitions the City for an increase in rates charged to subscribers.
33. Public Access
(a)- (American--Teievisivn-and Communications -Corporation)- shall
provide one full separate single -channel-_ for .public access
. pr-ogrammi ng _-on-a demand basis -up to. and including an amount
-of time equalto the duplicated portion of a particular channel.
(b)- This -single -channel -shall be -located --between charnel 2 and 12
subject -to- approval-by-th-e Federal Communications Commission;
if suchapproval is not granted, then the channel may be other
than 2 through 12. (This sub -part b -to be deleted and the new
b added.)
(b) :Public access will be carried on.channel 13. ATC will diligently
pursue -with --the FCC= additional channel allocationsforpotential--
access-use within the channel 2 through 13 range.
(Sub_parts-c-through=-h shall remain=as they appear -in the present
franchise and the following sub -parts shall be added:).
TO: Advisory Committee on Cable Television
June 8, 1977
-2-
(i) Public access studios shall be maintained at the company's
headquarters. on West State Street and will include television
cameras, recording andplayback equipment, switching equipment
and an editing capability. In addition, ATC shall make
available two separate porta-pak facilities for use by access
users. Instruction on the use of this equipment shall be
provided by the company.
(e) The public library -shall be wired for.pubZic access transmission.
(k) In addition to any requirements imposed above regarding public
access, ATC shall respond positively to reasonable demands of
,the... community for public access; facilities, equipment and
cable drops. -
(Sectilon (i) shall remain as it appears in the existing franchise,
except -_that it shall -be rel ettered (1):)
17. The Grantee shall pay to the City_ Chamberlain annually a sum
equal -to: =threeper,centum-t 3%) -=of =its: gross- revenues -from its- cable
service -operati-ons-withih-=the==City; said- gross revenues to include
the "basic" charges and rentals as set forth in paragraph No. 11
hereinabove and. the charges and rentals as set forth in paragraph No.
31 herein below. The City, may increase the per centum sum in the
first sentence of this paragraph as permitted by law or regulations
of the Federal Communications -Commission _or__New _York =-State- Cabie_ Com-_
mission::-..-Such-fees-snail= be -and- -cons tiLute -a lien upon -the =property -
of=the--Grantee within-the-City`pri°or-=and- superior to -all other-debts;--
obl-i gations.,._taxes,. mortgages,_ or _liens of whatsoever- nature-.r-egar-dl ess
of -the time of .the-ereati on -thereof xc.epti ng .her-efrom any=: -prior__--
liens on the New York State Cable Commission. Failure to make the
required report or pay such franchise fees shall be grounds for revocation
- -of this -franchise::
In regardsto the property tax audit, ATG will not apply any tax credit.
to -the- Ithaca . -.Franchise fee- in a_ greater -proportion -.than=the =City --o f
Ithaca subscribers are to the total system.
37.- The rate base to be used in calculating return on capital shall _be
based-on--the-costo--the.---purchaser first devoting the assets -to providing
cable -television -service to the public in this franchised area or other
franchised- area,_ whichever is .lower_, subject -to reduction for- depreciations
38:: --ATC_.agrees-to -supply-a, writtenstatement• to each new customer prior_
=to commencing nstaZ-laii-on for-zery ce-_touch-customer_k-and--to all-
existing- -customers iri-or -to -the-7e f festive =date -=o f -.ani `rate --.Change. This
statement- shall -contain- the following: - -.(Z) statement of rates pertaining
to the customer, including hook up and all other charges that might be
made; (2) concise statement of procedures for notifying ATC of difficulties
with service,—the -ATC "trouble" phone number, hours of availability of -
service, customer rights to service, and complaint procedures, both
within ATC and those available through the municipality and the Tompkins
County Calbe-Television Commission. -
CITY OF ITHACA
108 EAST GREEN STREET
ITHACA, NEW YORK 14850
OFFICE OF TELEPHONE: 272-1713
COMMON COUNCIL CODE 607
MEMO TO: Walter Wiggins, Esq.
FROM: Raymond Bordoni, Jr. - Cable Commission
DATE: June 14, 1977
SUBJECT: Cable Franchise
Attached hereto please find a copy of a memo marked "Preliminary" that
was written to the Advisory Committee on Cable Television from Mr. Dana
Ulloth in regard to the proposed changes in the franchise for your in-
formation. Also attached please find a copy of the memo for the ATC
which you may pass on if you so desire.
ATTACH.
CC: Mr. Anthony Ceracche w/enclosure
Common Council w/enclosure
•
MEMO TO: Advisory Committee on Cable Television
FROM: Dana Ulloth
SUBJECT: Changes in Franchise
DATE: June 8, 1977
Proposed changes in franchise as discussed in the Cable Committee
meeting are as follows (change in italics):
34. The Grantee shall also be required to submit its annual financial
statements, Uniform Cable Commission financial reports, and state and
Federal income tax returns and any other reasonable financial information
requested, to_the Common_Counci 1. annually as__soon thereafter as they
may be available. The City may request advice and analysis with regard
to said financial documents etc., from the State Cable Commission and
outside accountants if it deems necessary, and receive and consider
the_results therefrom, before any. rate _increase•=hereunder shall be
granted. :.
In addition -to : the -above :provisions; == ATC will submit independently --
audited"' financial statements =covering its operation of -the Ithaca area
cable television system from the time of the most recent rate increase
when it petitions the City for an• increase in rates charged to subscribers.
33. Public Access
(a)= (American` Television -and -Communications -Corporation) -shall -
provide one full separate_ single channel. for_ public access
__programming on a _demand- basi s -_up_ to -:and including an amount
of time equaltothe duplicated portion of a particular channel.
(b) -This-single-channel-shall-be located -between channe1-2 and 12
subject to approval --by the Federal -Communications -Commission;
if -such. approval is not granted, _then =the channel may be other
than 2 -through -12. (This sub -part -b-to be deleted and the new
b added.)
(b) Public access will be carried on channel 13. ATC will diligently
pursue--with-the FCC -additional channel allocations -for potential
access use within the channel 2 through 13 range.
(Sub -parts -c through=h-shall remain as -they appear -in the present
franchise and the following -sub -parts shall be added:)
TO: Advisory Committee on Cable Television
June 8, 1977
-2-
(i) Public access studios shall be maintained at the company's
headquarters. on West State Street and will include television
cameras, recording and .pZayback equipment, switching. equipment
and an editing capability. In addition, ATC shall make
available two separate porta-pak facilities for use by access
users. Instruction on the use of this equipment shall be
provided by the company.
(j) The public library shall be wired forpublic access transmission.
(k) In addition to any requirements imposed above regarding public
access, ATC shall respond positively to reasonable demands of
:the community for public access; facilities, equipment and
cable drops.
:(Section (.i) shall remain as it appears in the existing franchise,
except that it shall - be -re.l ettered
17. The Grantee shall pay_- to _the__Ci ty _Chamber-]ai n annually a sum . .
equal to .three per centum- (3%)--of__i ts._gross__ revenues- from its cable-_._
service ---operations within the--City,_said gross revenues to include
the "basic" charges and rentals as set forth in paragraph No. 11
hereinabove .and..the charges _ and rentals_ as set -forth in -paragraph No.
31 herein below. The City. may increase the per centum sum in the
first sentence of this paragraph as permitted by law or regulations
of:the-Federal Communications -Commission -or -New York State Cable Com --
mission. Such -fees shall be and constitute a lien upon_the property
of -the--•Grantee-within= the:City__pri-or.-and- superior to -all other -debts, -
obligations;_:_taxes,.-mortgages,-or. liens -of -whatsoever nature regardless
of the=t-ime .of-the--crea-tion--ther-eof-- :exc-epti ng--herefrom any prior —
liens
rior--
liens on.the New York State Cable Commission. Failure to make the
requi red report or pay _s,uch_ franchi se..fees ..shaiLbe_-grounds. for_revocation_-.. of this franchise-.. . .
In regards to thepropertytax audit,_ ATC will not apply any tax credit.
to,-jthe- -Ithaca=Franchise -fee -in- a greater -proportion than the City of -
Ithaca subscribers are to the total -system.
37. The rate base to be used__in calculating _return on capital -shall be
based -on the cost to the purchaser- first -devoting the assets to providing
cable television service to the public in this franchised area or other
franchised- area, -:whichever- is-Zower, - subject to reduction for depreciation.
38 ATC agrees- to=supe1y _a- written -statement to- ach-new customer prior_ -
to -commencing=installaiion==for service -to -such- customer_;cnd--to ail_
existing customers prior -to -the -effective -date of any rate change.- This --
statement shall contain the-following;_=_(Z)-statement of rates pertaining
to -the customer, including hook up and aZZ other charges that might be
made;_(2).concise statement of procedures for notifying ATC of difficulties
with service, the ATC "trouble" phone number, hours of availability of
service, customer rights to service, and complaint procedures, both
within ATC and those available through the municipality and the Tompkins
County Calle-(Television Commission. .
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4((WW(`: = ;:WIMP AMERICAN TELEVISION & COMMUNICATIONS CORPORATION
360 SOUTH MONROE STREET • DENVER, COLORADO 80209 • PHONE (303) 321-2224
si
JOSEPH J. COLLINS
Vice President
Eastern Operations
City of Ithaca
Cable Television Commission
Mr. Dana Ulloth, Chairman
Office of the City
Ithaca, New York 14850
Gentlemen:
May 25, 1977
I am writing in response to those areas of our proposed operation
of the Ithaca cable system which has been of concern to the commission,
and to outline ATC's commitment upon purchase of Mr. Cerrache's
system in Ithaca.
7119
I. Audits of System Financials
Upon application for any future rate increase, ATC will submit
audited financial statements covering its operation of the
Ithaca area cable television system. •from the time of the most
recent rate increase. Of course, we would also supply any other
financial•data, proformas, etc., that the City would require
at any such rate proceedings.
II. Public Access
ATC will provide in relation to public access, the following:
a. Public access studios at the company's headquarters on
West State Street will include cameras, recording and
playback equipment, switching equipment and an editing
capability. In addition, ATC will also make available
two separate porta-pak facilities for use by access users.
We will also provide instruction on the use of this
equipment.
CXNC:"S
b. The public library will be wired for public access transmission.
c. Consistent with our corporate commitment to access, ATC
will respond to reasonable demands of the community for
public access facilities, equipment and cable drops.
d. Public access will be carried on Channel 13. ATC will
diligently pursue with the FCC additional channel allocations
for potential access use.
<" i• 1-77
Page Two
May 25, 1977
III. ATC has already agreed with the local billing service to continue
their services as long as they are responsive to the needs of
the company and the community. In any event, bills will always
be paid to the local office or other designated locations in
Ithaca.
The system staff will include people whose primary function is to
respond to billing and service problems. The resident Ithaca
general manager will have complete authority to resolve all
complaints concerning billing and service.
IV. In regards to the propertytax credit, ATC will not apply any
tax credit to the Ithaca franchise fee -in a greater proportion
than the City of Ithaca subscribers are to the total system.
I hope the abovestatements have answered your specific questions concerning
our future operations. I want to assure you that we have an overall
commitment to providing to the people of Ithaca high quality cable
television service and a continuing and developing response to the
communication needs of the Ithaca community. Thank you for your prompt
and speedy consideration to this entire -matter. We are looking forward
to a long and mutually beneficial relationship with the City of Ithaca.
Very Truly Yours,
Joseph J. Collins
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