May 20th, 2002

MEMBERS PRESENT

Carlton Curry, Chairman
Charlie Hiltunen, Member
Daniel Lynch, Member

MEMBERS ABSENT

Stuart Rhodes, Member
Peter Blum, Member

OTHERS PRESENT

The first item on the agenda was the approval of March 18^th and April 15^th, 2002 minutes.

The next item on the agenda was the Cable Agency Report. Mr. Maultra presented the Cable Agency Report, which highlighted events that have taken place at the Cable Agency last month. Stating the Agency and counsel has received and reviewed a copy of Comcast’s response to the Agency for its request for additional information as it pertains to the Comcast/AT&T transfer of ownership. For the most part, Comcast has responded to the Cable Agency request and the Agency finds their supplemental information to be satisfactory.

Corporation Counsel, with the assistance of Bob Elrod and the Agency, has advised both Comcast and Time Warner that it expects continued payment of the franchise fees on cable modem services. Stating the city contract with the operators allows for them to provide cable services within the public right of way. To do otherwise, would be exceeding the rights of use granted by the City, and an additional franchise required.

Staff has continued to meet with staff from Systems Computer Technology (SCT) and the CIO’s Office to discuss the web-streaming project.

City-County Councilor Jack Nytes has requested that the Cable Agency budget for closed captioning of the 2003 City County Council meetings. Stating the cable Agency has had discussions with around 20 other cities and their vendors with regard to pricing and quality.

The Cable Communications Agency has been serving as a consumer advocate to Indianapolis and Marion County cable subscribers in assisting them in mediating cable complaints on their behalf.

The next item on the agenda was the Channel 16’s Government Access Programming report presented by Mr. Montgomery. Mr. Montgomery highlighted some activities of Channel 16 for the month of April.

The next item on the agenda was the TOTALink presentation. Mr. Bill Roberts presented the TOTALink report, stating TOTALink of Indiana, LCC has not initiated any new activity during the past month under the provisions of TOTALink’s franchise for Indianapolis and Marion County. Indicators in the financial markets do not cause TOTALink to expect more favorable conditions for the telecom industry until at least until the second half of 2002.

TOTALink continues to attempt to reconcile its financial records with AES (formerly IPL) and the company is seeking an accounting of over $2.0 million paid during 2001 for make-ready engineering and re-arrangement. TOTALink has recently submitted a demand letter to AES requesting this information on a more formal basis than in the past. AES has not yet responded to these requests.

In a related development, TOTALink of Kentucky has asked the City of Louisville to repeal the cable television franchise awarded to that company some 18 months ago. That franchise award was challenged in State Court by an incumbent cable TV operator and has never taken effect. The litigation is ongoing. By repealing the franchise, TOTALink of Kentucky seeks to curtail financial exposure for the City of Louisville and for the company as well as to preserve the ability to seek a new franchise after the pending merger of City and County governments in Louisville.

There continues to be much uncertainty in financial markets as evidenced by continued financial performance concerns at many CLEC’s (Competitive Local Exchange Carriers) and even major telecommunications companies. Financial analysts predict that, during the second half of this year, conditions may be more favorable in the capital markets for funding new telecommunications infrastructure projects but the markets are uncertain. TOTALink, along with its owners, Utilicom Networks, and our partner, Vectren Corporation, continue to closely monitor the financial market conditions.

The next item on the agenda was the ETC report. Mr. Harris stated the ETC playback site has successfully been moved form the IUPUI Conference Center to its permanent location at the Fairbanks Building. Programming returned to the two ETC Channels on Wednesday, May 8^th. The ETC would like to thank the staff of the IUPUI Conference Center for allowing the ETC playback site to reside at their location.

ETC Programming

On Friday, May 17^th the "4^th Annual IPS Talent Showcase" was seen live on ETC 1. The show was produced by IPS Television and originated form IPS Crispus Attucks Middle School. It featured 24 performances by IPS students, showcasing their talents in the areas of music, dance and dramatic performances. The showcase will be seen on ETC 1 throughout the month of May.

On May 16^th, IPS Television recorded the "2^nd Annual Celebration of Peace." The event, which originated form Hinkle Fieldhouse, featured performances from IPS students, as well as speeches form Wayne Township Superintendent Dr. Terry Thompson, the Peace Learning Center, and Miss Indiana Allison Hatcher. The show will be seen on ETC 1 during the month of June.

Author and Educator Dr. Richard Gentry was recorded at IPS Washington Irving School #14 recently. Stating he discussed best practices in Elementary reading and writing with a group of educators. This program, titled "The Road to Literacy", will be shown during the month of June.

Public Purpose Grant

The ETC is requesting its Thirteenth Public Purpose Grant from the City-County Council for the amount of $50,000. Indiana University will manage the grant and ETC will continue its goal of increasing local programming, especially student program.

This grant has been an ongoing grant. The chairman asked for concerns for continuing the grant for $50,000 for ETC. Mr. Hiltunen moved to recommend the approval of the $50,000.00 Mr. Lynch seconded the recommendation. It was unanimously approved.

ETC Capitol Funding Request for 2002

ETC requested $150,000.00, which is for the ETC playback for expansion of equipment which provides programming for both of its educational channels. A packet was distributed that explained the various expenditures. The implementation and use will span many years of use.

The request was tabled temporarily until a later time in this current meeting.

Channel 16 PEG Grant Request

Mr. Montgomery stated that this grant request differs from the grant request presented a couple of months ago. After reviewing the plan for a broadcast server, Mr. Maultra and Mr. Montgomery have decided to defer the acquisition until 2003. This allows time to determine and identify various emerging server needs and solutions including the possibility of video-on-demand and free-on-demand. This also allows the opportunity to purchase a more advanced technology at a lower cost. There were some issues presented including the need to be on the digital tier in order to implement and use free-on-demand.

The Communications Agency decided to move back the acquisition of broadcast server until next year and move up some planned purchases for next year to this year.

The various capitol purchases included replacing cameras and remote control mounts for the meeting rooms in the CCB. Replacing mounts for meeting room 260, acquiring digital cameras with pan tilt heads and controllers for room 107, and cameras and remote control mounts. Expenditures also include $32,000 to augment rebuilt master control area, and $10,000 for BTR repair parts and tools for the their aging BTR fleet.

The PEG Grant request by Channel 16 totals $287,000.00

Next year the PEG Grant request by Channel 16 is estimated to total $290,000 – $365,000 (variance due to the unknown cost of the broadcast server. Final cost not known until the bid process begins.)

Mr. Hiltunen questioned whether the Cable Franchise Board should be looking past two years of funding when the PEG Grant would perceivably run out, but possibly spread the PEG Grant over eight years when there would be conceivably another franchise.

Mr. Lynch asked if Channel 16 was preparing for the digital world. All of their proposed capitol investments are "digital ready".

Mr. Harris was asked to join Mr. Montgomery for discussion of the two requests.

There were concerns about falling short fiscally over time, and not having funding left for any of its constituencies especially Channel 16, whose only source of funding is the city government. Mr. Hiltunen suggested that ETC look to other foundations or sources for grant money and that the Cable Franchise Board would assist in their endeavors through a matching type program. Another point brought forward was that there was a sense to spend money to spend money before the PEG fund runs out.

Mr. Nesbit offered Time Warner’s assistance in a subcommittee of sorts to discuss possible solutions for the future.

The process of appropriation and spending was clarified to being that the board could approve the appropriation of funds but would later approve the actual spending of the funds.

Mr. Hiltunen moved to approve the recommendation $150,000.00 for ETC with a caveat to find funding from other constituencies. Second by Mr. Lynch. No further discussion. Motion carries unanimously.

Jed Duvall presented on behalf of WHYI program I.R.I.S. (Indiana Reading and Information Services) which has been a part of the WFYI Teleplex since 1995 and serves daily over 2600 printing impaired individuals in the county. Service is 24 hours a day seven days a week and has 2 full time staff members and four part-time staff members, along with service hours from 150 local volunteers and average 600 hours of service per month. Custom-built radio receivers are provided free of charge. Asks for continued funding for 2003 at the level of $35,000.00

Megaplex Music Library

Mr. Montgomery asked for $1,608.00 for the annual renewal of contract of the Megatrax Music Library. The contract had not changed since 2001.

Mr. Hiltunen moves for the appropriation of $1,608.00 towards the annual renewal of the contract to the Megatrax Music Library. Mr. Lynch seconds. Motion carries with no further discussion.

Mr. Maultra announces that at the next Cable Franchise Board meeting they are looking at a having a public hearing embedded within the Cable Franchise Board meeting regarding the Comcast and AT&T transfer.

Web-Streaming Presentation

Recommendation by the Cable Communication Agency through assistance of ACS for a web-streaming solution is Real Systems (Real Player). Windows Media Player was considered but was unable to perform tasks viewed as being a necessity. Implementation consists of a pilot and 4 separate implementation phases. ACS went though the various pilot requirements. Web streaming with Real Systems allows the user to configure how they want the delivery of the media to occur. Similar cities that use web streaming recognize 2000 – 3000 users.

Costs include a one time setup costs would possibly fall under the Cable Communications Agency’s 2003 budget. The Cable Communications Agency is looking for garnering support to spread the annual fee out enterprise wide.

Financial requests will occur at the next meeting.

Public Comment

David Donaldson of IUPUI publicly acknowledged and thanked Ed Harris and Mark Wellington for transporting the playback site to its current location.

There was no further business to come before the board; Mr. Curry adjourned the meeting at 4:49 p.m.