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HomeMy WebLinkAboutJanuary 20, 2005THE MINUTES OF THE TELECOMMUNICATIONS COMMISSION FROM THURSDAY, 3Ai'~TUARZ' 20, ?005 The meeting was called to order at i :00 p.m. by Demzis Stroik, Chairperson. ROLL CALL: Commission Members Dennis Stroik, Ken Henke, Brad Peterson, Dan Swee, and Dave Mahoney Reuben Ruen arrived at 7:05 pm Excused Members Council Representative: City Representatives Legal Counsel: Comcast Representative: A~P~2~~AY, ®~ Ti~TYN~7TES Bob Buboltz (He was attending the Charter Commission Meeting) Bruce Nawrocki Linda Magee Steve Guzzetta Kathi Donnelly-Cohen Motiaj~ by~ Dan Swee, second by Dave l~~alaonev, to appYOVe the mirai~rtes from the rneetirag of October 21, ?004. till czves. OLD I~USIESS A. Channel Check Everything checked out tine. B. Correspondence Log and Follow Up on Complaints Kathi Donnelly-Cohen reviewed the complaint received from Ms. Lynette Thomson regarding her confusion over the price increase notice she received in November. A Comcast Representative spoke with her for about 45 minutes to explain the notice to her. Council member Nawrocki stated her primary complaint was that rates were rising again. She also reported to Mr. Nawrocki that when the Comcast representative called her he was also promoting various packages which she wasn't interested in subscribing to. C. Other Old Business No other old business. i~tEW ~USIIiTESS A. Franchise Fee for 3rd Quarter ?004 We received the 3rd Quarter franchise fee payment and a copy was enclosed in the agenda packets. ~ . TELECOMIvILJNICATION COMMISSION MLNUTES PAGE 2 JAI~IUARY 20, 2005 B. Notice that "On Demand" Programming is being added A copy of the notice received in November was enclosed in the packets whereby the City was informed of the various Programs and Services offered by Comcast. One service that will be added soon .s "On Demand" Ser:'.ce that will provide access to h,,;ndreds of ho'ars of free programming and can be controlled with the person's remote control. Kathi Dannelly-Cohen also informed members of the press release that went out this week stating that subscribers that have Internet service will have the speed of the service increased within 90 days, at no additional fee. C. Rate Adjustments Effective January 1, 2005 Also enclosed in the packets was the Price Increase Notice effective January I, 2005, that was sent to subscribers. Nawrocki stated this is an 8% increase from last year and he felt it was excessive. He compared the rates to those in the past and felt the lack of competition allowed the company to increase the rates unnecessarily. Kathi responded that the number of channels has increased dramatically over the years and that the charges for these channels to Comcast has also increased each year. Plus upgrades to the system must be spread out over several years, which constitute some of the increases also. There was a short discussion about alternatives available to subscribers, such as Satellite TV, and that it brings competition to the market. D. Rate Regulation: Options and Recommended Action Steve Guzzetta reviewed the options available to the City in regards to regulating the rates. He explained that Option # 1 would b~ to do nothing for this rate increase, but we could act on future rate filings. Option #2 would be to de-certify which would take away our right to regulate rates. No money would be expended in this area and we would not receive any rate forms. Option #3 is to not perform a review at this time, but to issue rate orders preserving our rights to review future forms or to take future action if deemed appropriate. Guzzetta explained that if rates are excessive and orders are issued to roll back the fees and issue refunds, Comcast can appeal those orders with the FCC. He stated that refunds on equipment charges are more apt to be supported than refunds on programming fees. After consulting with staff, he recommends the Commission advise the Council to go with Option #3. Motion by Henke, seconded by Peterson to recommend the Council hold a Public Hearing on February 14, 2005, and advise the Council to approve Option #3 to not perform a review at this time, but to issue rate orders preserving our rights to review future forms or take future action if deemed appropriate. All ayes. MOTION PASSED. E. Notice Regarding Charges for Service Calls Subscribers were notified that effective February 1, 2005, a flat rate will be charged for all service calls caused by problems not related to Comcast equipment. Customers who subscribe to Whole House Wire Maintenance Plan ($2.95/mo) will remain exempt from this charge. In the past, customers were charged an hourly rate of $2799 rather than the flat rate. TELECOMMUNICATION COMMISSION MINUTES PAGE 3 JANUARY 20, 2005 F. Addition of Asian C1lannels and The International Channel for Tsunami Recovery Information Beginning January 6, 2005, Comcast will temporarily provide two South Asian television news and information channels for its Twin Cities customers. Zee TV (Channel 71} and TV Asia ~~''h onnr~~ 7~~ r~rntn~n {-.~ r.' +1-. h ~7 +L,o T,-, .~1' C' 1.....,-.4;,.......+ T... ~~iiuiuivi ~ ~.~ ra.vvcut, prog'i aiiuiiiilg uoiii ~ouui c~sia aiiu tut, uiuiait ~uutJvututcut. ut addition, the International Channel, which is normally carried in the Digital Line Up, will be available to its analog customers as wail on Channel 73. This service is being provided, at no additional cost, through Monday, January 31, 2005. It is meant as a goodwill gesture to provide information to those who are following this disaster. Henke inquired whether it is passible to determine how many people actually watched these channels. Kathi responded that it isn't possible to gauge the number of viewers. G. Other New Business Kathi informed the members that the annual surveys have gone out and she is getting them returned so the responses can be included in the annual report. RF.P~RT.rr A. Report of Commissioners Education-Nothing to report Library-Nothing to report Public-Nothing to report Government-Nothing to report B. Report of Comcast- The reports for Oct-Dec. 2004 were reviewed. Also enclosed was the January Edition of the Monthly News, a written report of newsworthy items including changes in programming, technology, and other items of interest regarding Comcast's products and services. Reuben asked whether the Emergency Broadcast worked on both Analog and Digital Service. Kathi stated it does work on both and that it is tested at various times throughout the month by Comcast. C. Report of the Cable Attorney Nothing further to report. D. Report of the Assistant to the City Manager Nothing further to report. Motion by Ken Henke, seconded by Reuben Ruen, to a~jourra the meeting at 7:45 pm. All ayes. Respectfully submitted, Shelley Hanson Secretary