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Home My WebLink About1982-03-23; City Council; Minutesc MINUTES MEETING OF: City Council (Adj ourned Regular) DATE OF MEETING: March 23, 1982 TIME OF MEETING: 6:OO P.M. 5 PLACE OF MEETING: Council Chambers COUNCIL \\y %?$, %% ~ MEMBERS Z. 8 Z. CALL TO ORDER: Mayor Packard called the meeting to order at 6:02 P.M. ROLL CALL : Roll call was taken by the City Clerk as follows : Present - Council Members Packard, Casler, Anear, Kulchin and Lewis I I (53) 1. AB #6935 - CABLE TELEVISION. The City Manager gave a brief staff report on the matter explaining current procedures required to obtain a rate increase by the cable television companies. He also briefly explained possible alternative methods which could be implemented by Council. Council recognized Mr. Tony Acone, 215 Alga Road, Carlsbad, who spoke on behalf of Carlsbad Cablevision. Mr. Acone gave the history of the current cablevision ordinance and the franchise operations in the City to date. He explained the current status of the installation process as well as areas being served now and those projected to receive service in the very near future. With the aid of a wall exhibit, Mr. Acone explained the location of the Carlsbad Cablevision facilities, and the history behind its location on El Camino Real. Mr. Fred Morey, Vice-president and General Manager of Rancho La Costa Cable- Tv, continued with the report. He explained the history of Rancho La Costa Cable TV, and with the aid of a wall map, showed the areas being serviced by the company. He explained that as a condition of the annexation of La Costa, they retained the right to service the south east area of the City with cable television as long as the company could meet any franchise requirements established by the City. He further noted that at that time, they were providing twelve channel service, and in order to meet the franchise requirements, they had to buy converters and rewire every- thing in order to provide twenty channel service. He also referenced the requirement in the . franchise for provision of studios by both companies, and indicated that both would jointly use the studios in the building which is now the home of Carlsbad Cablevision. Mr. Acone continued with the report by explaining the ini.tia1 request for a rate increase and the ensuing discussions which resulted. He also reported on the discussions with regard to deregulation in accordance with AB 699. b MINUTES -2- March 23, 1982 Mr. Acone stated that deregulation in accor- dance with AB 699 would only deregulate the rates, and nothing else. Mr. Acone stated that the current rate of $8.50 was established by the City ordinance, and he suggested that a rate of $10.95 would be more appropriate and would allow the com- pany to operate at only a minus ten percent figure . In response to Council questions, he explained AB 699 and the requirements under same. He also responded to questions regarding the company's operation, costs, and proposed ordinance modifications. Mr. Morey continued with the report and stated that La Costa Cable TV is proposing to increase their basic rate from $8.50 to $10.50 per month. He indicated that Rancho La Costa had been subsidizing the cablevision company for the last two years. He distribute a sheet reflecting the rate history of Rancho La Costa Cable TV since 1974. Mr. Morey also displayed a converter and indic-ated that the cost to maintain each converter is $3.00 per month. In this regard, he indicated that the City requirements limit the converter charge to $1 .OO -per month. He detailed the company costs associated with the converters and emphasized the fact that the City required the converters. He con- cluded by stating that because the company is meeting the provisions of the franchise, they are losing money. Council discussed the San Diego County Ordinance, the ordinance proposed by Carlsbad Cablevision, deregulation under AB 699, and possibility of combinations. Also discussed was the offer of the cablevision companies to pay an additional one percent fee on the base service income to the City which could be utilized for programming on the public access channel. Also discussed was the desirability of retaining rate making authority by the City Council. Following further discussion and expressi.on of opinions, it was moved and seconded that Carlsbad Cablevision be given an increase at this time to a base rate of $10.95, and that Rancho La Costa Cable TV be given an increase to a base rate of $10.50 at this time, with appropriate adjustments for their secondary outlets, that staff prepare the appropriate amendments to the ordinance to allow annual increases not to exceed 15%. 3 - (1 COUNCIL \\p S% 3 %' % MEMBERS % $% f ~ ~ MINUTES I -3- March 23, 1982 ~~~~~ Following further clarification, the motion was amended as follows: Council directed staff to prepare an amendment to the existing ordinance to provide an alternative method for implementing a rate increase, considering such .items as 60% of CPI, 15% maximum increases, a base rate for Carlsbad Cablevision of $10.95, a base rate for Rancho La Costa Cable TV of $10.50, reten- tion of the right to recapture the rate making authority, and inclusion of an additional 1% franchise fee on the base service rate to be used for programming public access channel. The City Attorney indicated tha.t his office would meet with representatives of the two companies to draft an ordinance for Council consideration. OFF AGENDA ITEMS : Council Member Casler requested that a resolu- tion regarding the Clean Air Act be added to the Agenda for Council consideration. )i Council Member Lewis requested that the matter of the site for a store front facility in the southern area of the City be added to the Agenda for discussion. Council unanimously agreed to consi.der the Clean Air Act Resolution and the matter of the store front library site as Off Agenda I tems . Clean Air Act Council Member Casler distributed a resolution and indicated that a request had been received for Council to adopt the resolution in support of the principles in the Clean Air Act House of Representative Resolution No. 252. Following brief discussion, Council indicated it would be desirable to receive a report identifying the principles before supporting s ame . Council requested that staff prepare a report and place it on the next agenda for Council cons idera t ion. - Library Site in South Carlsbad Council Member Lewis reported that the Library Board was desirous of additional guidance in the matter of the store front library facility in south Carlsbad. He reported on the current findings by the Board, including the various locations and costs associated with same: \\$ 6% COlJNClL %pL%(tc . 0 + % ~ MEMBERS 2. 6 Z. Packard X Kulchin Lewis X Anear xx Casler X Packard Casler X xx Kulchin X Lewis X Anear X 6 . MINUTES I -4- March 23, 1982 Following brief discussion, Council indicated the matter should be included as part of the budget process. Housing - and Redevelopment Advisory Committee: Council Member Anear reported that the Housing and Redevelopment Advisory Committee expressed support of the reappointment of Thelma Hayes. CLOSED SESSION: Council adjourned to a closed session at 8:54 P.M., and the Mayor announced that labor relations and City Manager evaluation would be discussed. Council reconvened at 11:15 P.M., with all Council Members present, and the Mayor announced that labor relations and City Manager evaluation had been discussed, and that no action had been taken. ADJOURNMENT : BY proper motion, the meeting was adjourned at 11: 15 P.M. Respectfully submitted, l4!&5& ;P 8d-J- ALETHA L. RAUTENKRANZ City Clerk 8 D COUNCIL \\$ sp6, % %' % MEMBERS % %% f