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to receive the franchise must necessarily be based upon performance by the <br />applicant as it related to City's CATV Ordinance and based on their own stated <br />performance capability, it was Staff's recommendation that franchise be granted <br />to the Peninsula Cable Television Corporation. Communication read as follows: <br />From Paul F. Kelly, attorney representing Redwood City <br />CATV, Inc., dated February 13, 1967, advising their <br />conditional amendment verbally stated had been withdrawn <br />and that their company is willing to accept a grant.of <br />a franchise under the terms and conditions as originally <br />set forth in their application. <br />Paul F. Kelly, Attorney representing Redwood City CATV, Inc. <br />further assured Council of their company's ability to <br />perform as stated in City's ordinance. He again reviewed <br />circumstances of submitting their revised application <br />after reorganization of the company; status of their <br />progress in clearance of 5 miles of cable line through <br />San Carlos with an additional 9 miles engineered and costs <br />estimated for approval by Pacific Telephone Co. and of <br />justification on some delays due to time consuming granting <br />of authority for clearance through PUC and water properties. <br />He asked if Staff recommendation was premised primarily on <br />their previously stated inability to meet the time schedule <br />for installation of this system, that reconsideration be <br />given their application. <br />Mr. Kelly also commented on difference of two applications <br />submitted as to potential TV channels being offered and <br />expressed doubt as to 20 -channel capability announced by <br />their competitors. <br />He also stated Redwood Shores had not been previously in- <br />cluded in their application but if it was Council's intent <br />to include this area it would be included as well with <br />underground installation if facilities in the area are to be <br />by underground installation. <br />Mr. Harold See, President of Redwood City CATV, Inc., <br />commented on channels being offered under the two appli- <br />cations, stating their supplier was identical for equipment <br />_ to be used and could not understand the basis for offer to <br />provide 20 channels now, and 32 when equipment is available. <br />Councilman Rosselli commented on changes both in structure of this Company and <br />in their proposal since submission of their first application, and indicated his <br />favoring Staff's recommendation after their analysis of the two installations. <br />Councilman Keckley questioned Mr. Kelly as to undergrounding charges. <br />Mr. Kelly stated no extra charges involved unless unusual <br />circumstances prevailed, or potential subscriber 150' <br />from service point, then charges could be made. <br />Councilman Petersen questioned charges to subscriber when 20 channels became <br />available <br />Mr. See stated converters would be placed in the sub- <br />scriber's home free of charge when this became possible. <br />Councilman Granger questioned amount of bonds which would be requested of the <br />company granted the franchise to guarantee completion. <br />Mr. See advised costs to wire entire City would amount <br />to some $650,000 or up to $800,000 containing some 116 <br />miles of overhead wiring as estimated from an engineering <br />survey. <br />City Attorney advised a $10,000 performance bond was required under the ordinance <br />conditioned upon faithful performance for basic purpose of requiring compliance <br />with conditions that occur during life of the franchise. Councilman Henderson <br />asked if there are any provisions in the ordinance as to extensions of time for <br />compliance, and was advised by City Attorney no provision had been made for any <br />