December 18^th, 2000

City County Building
Indianapolis IN 46204

MEMBERS PRESENT:

Carlton Curry, Chairman
Stuart Rhodes, Member
Charlie Hiltunen, Member

MEMBERS ABSENT:

Terry Thurman, Member
Ray Patel, Member

OTHERS PRESENT:

Carlton Curry brought the meeting to order at 2:30 P.M.

SUMMARY OF DISCUSSION

The first item on the agenda was the Cable Agency Report. Mr. Maultra presented the Cable Agency report, which highlighted the events that have taken place at the Cable Agency last month. Mr. Maultra stated the Agency received Comcast’s alternate proposals to the Institutional Network (INET) requirements in their 1996 franchise agreement with the City. The Public safety agencies that are listed in the INET attachment to the franchise agreement contacted the Agency to have that part of the agreement implemented. Comcast met with the City’s CIO, a representative for the fire chief’s association and our office to discuss the request. Comcast requested that they present an alternate plan to the INET as agreed upon in the 96 franchise. The Agency shared that information with the City’s CIO and with Don Blackwell, who is representing the township fire chief’s association. They, as the Agency, will review Comcast’s alternate plans and go forward form there. The Agency will keep the Board informed as to the direction the township fire chief’s association plans to take with regard to this matter.

At the last meeting, the Board approved Action Audits to review rate filings submitted by Comcast and Time Warner. The Counsel has been writing the new contract and has been reviewing and tweaking the document along with the vendor so that it is acceptable to both parties. Additionally, the Agency recently received some revised rate filing forms from Time Warner that the Agency have forwarded on to Action Audits as part of this overall review. Mr. Maultra also stated it is noteworthy that the Agency has shortened the due date of the auditor’s findings significantly from what had previously been arranged with Crow Chizek.

The Cable Agency staff recently met with SCT, our in house computer and website support staff, with regard to updates to the Agency and TV 16 web site. They will and have made changes to the site in terms of streamlining, updating, adding a TotaLink News page that will include TotaLink’s monthly newsletter on their activity here in Indianapolis and updated pictures of this Board to the Cable Franchise Board page. Soon the Agency will be working with SCT to redesign its website so that there is some uniformity with the other City web sites, yet maintaining the Agency’s individual appearance.

Relatively recently, the FCC (Federal Communications Commission) opened a docket whereby they are soliciting comments on the issue of high speed access to the Internet over cable and other facilities (GN Docket # 00-185). The National Association of Telecommunications Officers & Advisors (NATOA) which Indianapolis is a member of, filed comments with the FCC, which also included U.S. Conference of Mayors, National Association of Counties (NACo) and may other municipalities and organizations.

The relevance of this proceeding is that the 9^th Circuit Court has previously ruled that they consider cable modem service to be a telecommunication service rather than a cable service. If that becomes national policy, hence the FCC weighing in on the matter, then the cable industry could make the argument that they don’t have to pay franchise fees on the revenue for this service, which in a word for Indianapolis, will be significant. On the other hand, the cable industry may be worse off if the FCC rules that it is indeed a common carrier issue and not a cable issue because then the argument can be made that is a revenue subject to common carrier regulation and universal funding requirements.

Another issue being debated in this proceeding is whether or not a cable system should open its system up to non-affiliated Internet Service Providers (ISPs) to provide consumers a choice. The cable industry has commonly called this ‘forced access’ while most municipalities have called ‘open access’.

With regard to defining high speed Internet service over cable systems as a cable service, the Cable Communications Agency has been very active in working with the Legal Counsel Committee on NATOA in writing the comments to this proceeding.

Mr. Maultra resumed his report by stating that the Agency continues to serve as a consumer advocate in mediating a number of cable television complaints received by its office.

The next item on the Agenda was the Channel 16 Programming report presented by Mr. Montgomery. Mr. Montgomery highlighted some activities of Channel 16 for the month of December. In December there were 39 hours and 29 minutes of Live and Tape delay meetings. Special Events production totaled 26 hours and 48 minutes.

In the area of In-Kind Production, Channel 16 had 6 hours and 13 minutes. Series Programming totaled 3 hours and 30 minutes. Total new production was 76 hours.

The next item on the agenda was the Cable Operator’s Management Report. Mrs. Shary Johnston introduced Time Warner’s new roadrunner Manager, General Manager, Bob Smith.

Mrs. Shary Johnston stated Time Warner had a slight loss in the month of November. Incoming calls for the month 36,696 received and 35,842 handled. Installations for the month were 4,664 scheduled and 3,384 completed. Time Warner received 2,519 service calls; scheduled 1,633 service and completed 1,543; 99.0% completed within 36m hours or by customer request. Time Warner had 33 outages including 0 planned outages.

Shary Johnston stated Time Warner aired 114 hours of lease programming WAV-53. The Community Involvement report supports a list of different community events and programming (see report).

The next item on the agenda was the Comcast Management Report. Mr. Apple stated that on December 15^th Comcast launched Country music television on channel 78.

Mr. Apple stated Comcast lost customers in all three tiers. Incoming calls for the month were 57,223 received and 54,030 handled. Internet calls Comcast received 8,039 calls and handled 7,402. Comcast had 52 outages including 7 planned outages. Comcast received and scheduled 2,740 service calls and completed 2,554; 100% completed within 36 hours or by customer request. Installations; Comcast scheduled 2,992 and completed 2,621; 100% within 7 days or by customer request. See Construction report.

The next item on the agenda was the TotaLink presentation. Peter Jablonsky stated TotaLink pre construction is on going with mapping and design. Stating that TotaLink is planning construction start date as of March 1^st, 2001. Mr. Jablonsky stated that the TotaLink call center will be located in Marion County.

The next item on the agenda was the approval of minutes for the Cable Board’s November 20^th, 2000. Motion was made by Mr. Rhodes and seconded by Mr. Hiltunen, to approve minutes. Motion carried unanimously.

The next item on the agenda was the ETC report. Ms. Tamika Williams stated the Vela Broadcast is in the process of being installed. Vela Broadcast will be completing installation on December 18^th and training staff on December 19^th.

Programming on the two Educational Channels will suspend at the end of the day on October 20^th to complete the move to the new ETC Playback Site location. Programming on both channels will resume on January 2^nd.

The ETC has a new person doing the schedules for the channels. Butler University student Sarah Cole has taken over the responsibility of programming the channels. IUPUI student Nancy Trusley will be programming the ETC Playback Site Vela Broadcast System.

The Vela Broadcast System is in the process of being installed. The schedules for the two ETC channels are on-line in a new location. There is a new link on the site www.indyartschannel.com where the schedules for both channels can be seen.

IPS, along with Master Scholars, has produced a program-featuring sculptor Tina Allen. The sculptor lectures on creating art, setting and reaching goals, thinking positively, and overcoming obstacles.

The next item on the agenda was Old Business, Mr. Montgomery stated there has been a minor complication in the bid awards approved at last month’s CFB meeting.

The City awarded three lines of the bid to Heartland Video (ironically, the vendor who failed to check the U.S Manufactured portion of the bid form). Heartland has withdrawn their bid because they under quoted by 50% Line Item 13, 16 Audio Distribution AMPS. They quoted $102 each, other vendors were twice that amount.

As per Purchasing Department Policy, the vendor can either comply with the quoted price, or withdraw their entire bid. Heartland has withdrawn their bid. Mr. Montgomery stated that therefore the City must award the three line items (10,11&13) to one or more of the remaining three responsive bidders. Cheryl Kerzan from Purchasing has reviewed the other bids with Ken Montgomery and recommends the following:

Line 10, 4 Video Routing Switchers @ $538, @2152 total, to Roscor Corporation.

Line 11,18 Video Distribution Amps @ $102.18, $1839.24 total, and Line 13, 16 Audio Distribution Amps w/Led metering @$202.54 each, $3240.64 total, to Video Products Inc.

Mr. Montgomery stated the above awards are the lowest prices of the remaining responsive bidders, and include shipping costs. With the Board approval, Cheryl Kerzan and Janise Winston-Thompson will cancel the PO to Heartland Video and generate new POs to Roscor and Videotape Products.

Finally, Mr. Montgomery stated FYI, "U.S. Manufactured Product Applies" portion of the bid response form does not have to be filled out. Vendors who choose to do so (and can document their claim, if asked) are given a 10% leeway in cost VS. Other vendors providing non-U.S. made goods.

Motion was made by Mr. Hiltunen, seconded by Mr. Rhodes, to approve the revision of public Bid. Motion carried unanimously.

 Mr. Montgomery addressed the status of the Fairbanks Building. Stating while relocating the Channel 16 operation to the Fairbanks Building would offer many benefits, there are also serous problems with the project. The start up and ongoing building renovation costs do not justify proceeding with this proposal. The cost benefit appears to be inappropriate for the capital investment required, and would likely not be supported by the city administration or the City-County Council.

Preparing this information has been a worthwhile endeavor, serving to bring the on going and future needs of Channel 16 into clear relief. Stating as Channel 16 continue looking and new opportunities arise, this information will be utilized to help weigh the options for improving the operation of Government Access Channel 16.

Motion was made by Mr. Rhodes, seconded by Mr. Hiltunen, to abandon the relocation project to the Fairbanks Building. Motion carried unanimously.

Under new business, the Cable Board viewed the Cable Franchise Board potential meeting dates for year 2001.

Motion was made by Mr. Rhodes, seconded by Mr. Hiltunen, to approve the Cable Franchise meeting dates for year 2001. Motion carried unanimously.

The next item on the agenda was the Natl.’ Association of Telecommunication request of $1,000 for Legislative/Regulatory Fund. Mr. Maultra stated NATOA has submitted an invoice for payment of annual membership dues, as well, for 1/1/2001 to 12/31/2001 to the Cable Agency belonging to National Association of Telecommunications Officers and Advisors. Mr. Maultra stated the Annual Assessment for Legislative/Regulatory fund gives NATOA the ability to represent local government needs and interests before federal regulatory agencies, congress and the courts requires that NATOA have funding sufficient to meet this need.

Mr. Maultra also stated the Cable Agency is asking for funding between $3,000 to $5,000, for NATOA filing with the FCC, docket #00-185, defining open access & defining high speed internet service over cable systems.

Motion was made by Mr. Hiltunen, seconded by Mr. Rhodes, to approve the Annual Membership due of $645.00 and $1,000.00 annual Assessment for Legislative/Regulatory fund. Motion carried unanimously.

No action was made regarding, Mr. Maultra request for $3,000 to $5,000 for NATOA filing with the FCC defining open access & defining high speed internet service over cable systems.

Public Comment: Mr. Smashey quoted readings from section 629 Communication Act 1996. Mr. Smashey also stated that his Time Warner bill has increased and is concerned that rates will increase even more during the Cable Company build out.

There were no further business to come before the Board, Mr. Curry adjourned the meeting at 4:10 p.m.

_____________________________________________
Mr. Carlton Curry, Chairman

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Mr. Stuart Rhodes, Member

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Mr. Charlie Hiltunen, Member

__________________absent_____________________
Mr. Terry Thurman, Member

__________________absent_____________________
Mr. Ray Patel, Member

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Mrs. Janise Winston-Thompson, Recording Secretary