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q .?A-- I <br />REPORT, <br />October 27, 2003 <br />To the Honorable Mayor and City Council <br />From the City Manager <br />Subject <br />Resolution granting a four month extension to Comcast (formerly AT &T Broadband) to <br />operate a cable television system in Redwood City during franchise renewal negotiations. <br />Recommendation <br />Adopt a resolution granting a four month extension to Comcast to operate a cable television <br />system in Redwood City during franchise renewal negotiations. <br />Background <br />In 1991 the City Council approved a Cable TV Franchise Agreement with TCI (which later <br />became AT &T Broadband, and more recently became Comcast) for a period of 12 years. In <br />preparation for the February 19, 2003 renewal, Redwood City has worked with six other cities <br />and the County on a group franchise renewal process, as the San Mateo County <br />Telecommunications Authority (SAMCAT). This process has included a technical audit, legal <br />review, and community needs assessment of cable TV services and needs in Redwood City and <br />the other local governments. <br />A group process has been and will be beneficial to Redwood City since it enables us to share <br />resources in hiring legal and technical assistance at a fraction of the cost of contracting <br />individually. The process has been moving along but it has taken longer than expected due to <br />the earlier need to review and ultimately come to a negotiated settlement on the recent <br />AT &T /Comcast merger and transfer of operations. <br />With the merger and transfer complete, we were able to focus our efforts on the franchise <br />renewal. On February 10 2003 the Council granted a six month extension of the franchise to <br />enable the City, its representatives, and Comcast to negotiate and develop a new franchise. <br />This process is continuing, in good faith, and at this time an additional four month extension is <br />requested in order for these negotiations to continue. It is possible that the negotiations will not <br />be completed by the end of this calendar year, and that an additional extension may be <br />requested at that time. <br />A proposed resolution is attached which would grant this franchise extension. <br />Alternative <br />The Council could choose not to adopt this resolution, however this would disrupt the <br />franchise agreement negotiations and potentially impact cable TV service for the next four <br />months. <br />