Agenda - 10-01-2003-7a - Laserfiche WebLink

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has been disinclined to include any subscriber "pass through" fee in an Orange County franchise agreement, although similar language appears in the Carrboro and Hillsborough franchise agreements. Federal law allows the County to require the cable operator provide capital equipment funds, the cost of which can either be absorbed by the operator or passed on to its customers. Sets forth the County's option to approve an operating expense support fee for PEG Access of up to a maximum of $2.00 per month per subscriber. Under this provision, the Board would have the opportunity, if it chose, to have the grantee collect a monthly fee from its customers that would be used to contract with a non profit such as The People's Channel, as does the Town of Chapel Hill, to provide pubic access television programs. Time Warner has been disinclined to include any subscriber "pass through" fee in an Orange County franchise agreement. FINANCIAL IMPACT: There is no financial cost to the County for the implementation of this franchise agreement. Cable franchise revenues are calculated as an "annual fee of five percent (5%) of the grantee's gross revenues". The proposed agreement does not adversely affect future franchise fee revenues. In Fiscal Year 2002-03, Orange County received a total of $223,447 in franchise fees from Time Warner Cable; a cost it has passed on to its customers since 1993. RECOMMENDATION(S): The Manager recommends that the Board: 1) Conduct a public hearing to receive comment on the proposed agreement. 2) Adopt the attached ordinance/agreement on second reading as proposed by the negotiating team and the Cable Advisory Committee. 3) Establish a special technical consulting committee to review and provide recommendations to the Board on a video production plan to equip both meeting rooms -Hillsborough and Chapel Hill -for live public telecasts.