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HomeMy WebLinkAbout1977-03-01; City Council; 4088; La Costa Community Antenna System IncCITY OF CARLSBAD AGENDA BILL NO. __ ____ Initial: Dept.Hd. DATE: --- Marchi_19l7 --- c> DEPARTMENT: ____ City Manager _______ C. Mgr. "f\ Subject! ~ LA COSTA COMMUNITY ANTENNA SYSTEM, INC. Statement . of the Ma tter In a letter dated February 7, 1977, La Costa Community Antenna System, Inc. stated that the development known as Ponderosa does not have cable television service. With the exception of the original developments in La Costa annexed in 1972, no other area of the City has cable television service. Ponderosa *s location makes it unique but still a vital area in consideration of the granting of a cable franchise for the City. In that the City has undertaken the process which will lead to a decision as to how a franchise will be granted, any action on Ponderosa at this time is inappropriate. Exhibit Memo to City Manager dated 2-22-77 3-15-77 _ Letter from Pala Mesa Cablevision dated March 2, 1977. Recommendation That action concerning Ponderosa be reserved until the City's CATV.consultant makes his final recommendation to the Council, Council Action: 3-1-77 The staff requested, with the concurrence of the applicant, that this matter be continued to the next regular meeting. 3-15-77 It was agreed that the staff recommendation to reserve action until such time as the CATV Consultant makes his final re- commendation to the Council, be accepted. DATE: February 22, 1977 TO: CITY MANAGER FROM: Assistant to City Manager SUBJECT: REQUEST FROM LA COSTA COMMUNITY ANTENNA SYSTEM, INC. The City received the attached letter from La Costa Community Antenna System, Inc., dated February 7, 1977. The letter purports to describe a situation of urgency, identify issues and provide possible courses of action open to the City for resolution of these issues. The data of April 1, 1977, referred to in the letter has no urgency ascribed to it by the City. That date appears to have urgency only to the La Costa Community Antenna System, Inc. As stated in the letter, it is true the residents of Ponderosa Development do not have cable television service, with the exception of the original La Costa Development as annexed in 1972. There are no other developments within the City that have cable television service. The City Council's recent action in adopting a Cable Television Enabling Ordinance, inviting franchise applications and authorizing a contract for consultant services to review, evaluate and recommend action on the proposals, is the action which has been taken to remedy the existing situation. In a continuance of action to provide cable television service to the total community the first important date is May 14, 1977. That date as prescribed in the City's cable television enabling ordinance is the date by which recommendations concerning franchise applications will be made to the City Council. These recommendations will come from the City's consultant and be presented to the City Council by the City Manager. Presently La Costa Community Antenna System, Inc., under the provisions of Federal Communication Commission rules and the agreement between the La Costa Community Antenna System, Inc. and the City of Carlsbad, dated July 25, 1972, do not permit the collection of fees for the delivery of cable television service by any date to areas outside the legally prescribed limits of the La Costa annexation. Until such time as the City of Carlsbad grants a franchise to La Costa Community Antenna System, Inc. to serve an area other than that originally annexed to the City of Carlsbad, subscriber fees cannot be collected. Any capital outlay expenditures which have been made by La Costa Community Antenna System, Inc. in the Ponderosa Development were done without the permission, approval, concurrence or request of the City. There is no commitment by the City to insure, cause, initiate or condone reimbursement for those specific expenditures of La Costa Community Antenna System, Inc. REQUEST FROM LA COSTA COMMUNITY ANTENNA SYSTEM, INC. February 22, 1977 Page 2 Previous correspondence from La Costa Community Antenna System, Inc., dated September 28, 1976, and a response from the City Manager, dated October 14, 1976, have made this clear to the La Costa Community Antenna System, Inc. and their representatives. Therefore, it is the staff recommendation that the City Council note, receive and file the letter from La Costa Community Antenna System, Inc. and take no further action until such time as the City's consultants make recommendations to the City Council concerning the evaluation of franchise proposals received. EROME N. PIETI i Assistant to City Manager JNP:vm Att. la costa community antenna system, inc. tRCQStB February 7, 1977 City Council City of Carlsbad 1200 Elm Avenue Carlsbad, CA 92008 Attention: Mr. Paul D. Bussey, City Manager Regarding: CABLE TELEVISION SERVICE RANCHO PONDEROSA LA COSTA SERVICE AREA As you are aware, the Ponderosa Company is developing a 420 unit sub- division in the southwest corner of the City of Carlsbad. The area is not within the original 4,090 acres for which the La Costa Cable Company has an agreement, but it is in an area surrounded by our Cable service area. It appears most logical that a franchise for this area should eventually be awarded to our company. However, we realize that a decision on this matter must be made in relationship and in consideration of other persons applying for a franchise in the City of Carlsbad. Certainly, we understand that if it becomes economically important to the bidders for the entire City of Carlsbad to provide service to the Ponderosa project, we would expect that they would have that area in their franchise. We doubt, of course, that this will be the case, since an extension line from the northern part of the City to Rancho Ponderosa, through our area, would be expensive. Because it appeared to us that it would be most logical for us to provide service to Ponderosa, we have made extensive expenditures in the Ponderosa project over and above that which developers provide in other developments in the City of Carlsbad. Whereas most of the developers in the City of Carlsbad simply provide street crossings, we have provided the extensive conduit system so as to be ready to provide service to the residents in an expeditious manner. In addition to that, we are prepared to install the pedestals, amplifiers, etc., necessary to provide service. 7628 El Camino Real Carlsbad, California 92008 Phone (714)436-3401 CITY COUNCIL February J, 1977 Attention: Paul D. Bussey Page 2 Specifically, we will be in a position to provide service to all resi- dents in the Ponderosa project on or about April 1, 1977. While we would prefer to have the franchise for the area made to us by April 1, 1977, so that we can charge for the service, we are willing to provide the service without charge, pending the assignment of a franchise to us or other persons. We do want to make it clear that if some other company is awarded the fran- chise for the Ponderosa project, we would expect to be reimbursed for our capital outlay expenditures in the area. Please do not confuse this with the lesser expenditures which have been made by other developers in the City. The issues before you are fairly clear: 1) Is the fact that the LA COSTA COMMUNITY ANTENNA SYSTEM, INC. service area surrounds the Ponderosa project sufficient to justify the pronouncement of the award of the franchise for this area without reference to other fran- chise bidders. If so, that decision should be made clear by April 1, 1977. If not, then 2) Should LA COSTA COMMUNITY ANTENNA SYSTEM, INC. be allowed to provide service to Ponderosa without charge until a franchise is awarded. If so, then 3) If an organization other than LA COSTA COMMUNITY ANTENNA SYSTEM, INC. receives a franchise for this area, is it clearly understood that LA COSTA COMMUNITY ANTENNA SYSTEM, INC. will be reimbursed for its capital outlay exr penditures. There are a number of people moving into the Ponderosa project who want to receive service and want to know the availability of service. We want to be able to tell them that they can receive service on or about April 1, 1977. However, if we do not have a resolution of the matters outlined above by that time, we will have to refuse service — a situation which can cause a public relation problem, both for our company and for the City of Carlsbad. Thank you for your attention to this, LA COSTA COMMUNITY ANTENNA SYSTEM, INC. Fred J. M^r^y A General Manager *J FJM/ag Cablevision INCOftPOMATCD March 2, 1977 Mr. Paul Bussey, City Manager City of Carlsbad 1200 Elm Avenue Carlsbad, CA 92008 Dear Mr. Bussey: I am writing in regards to the request by La Costa Community Antenna Systems Inc., to extend their service into the Ponderosa subdivision. With the city currently in the process of evaluating cable television applicants, I would hope that the question of service to Ponderosa would be postponed until the City has awarded the cable television franchise. As one of the cable television franchise applicants (Cablevision Projects Inc.) we are especially concerned with any exceptions to the original definition of the Franchise Territory as described in section 1-A of the information provided to us by the city. Sincerely Yours, Duane A. Linholm Manager 230 W. Aviation, Fallbrook, California 92028 - Phone (714) 728 - 1911