HomeMy WebLinkAboutMinutes Cable Communications Commission - 10/06/1999 MINUTES o
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Corpus Christi City Hall-Basement Training Room, 1201 Leopa ,d Street:
October 6, 1999
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Committee Members Present: Chairperson Mary Beth Nelson, Norma Torres, Hestor3z60��
Morales, and Charles Spencer.
AT&T Staff Present: Charles Hembree and Michael Hopping
City Staff Present: Liza Ortiz-Aguilar, P. C. Gracia, Olgivie Gericke and Susan Cable.
Clearsource, Inc., who is applying to provide cable and other services to the city, introduced
Hal George, local attorney providing advise, Mr. Ray Perez, and Scott Smyth as their
representatives.
Oglivie Gericke and Susan Cable, members of the Franchise Renewal Committee made a
presentation on the committee's progress. Cable stated that the committee was formed by
David Garcia, City Manager, in January 1999 to oversee the pending franchise renewal
request by AT&T. The Commission was informed that the surveys conducted by the
committee were sent out to all segments of the city including the City Council, business
leaders, educators, AT&T subscribers and non-subscribers, and access users, as well as
the cable commission members. The survey was conducted in written form, as well as, by
phone.
Cable explained to the Commission members that while the Committee worked on the AT&T
renewal, another opportunity was presented by Clearsource, Inc. to provide cable service to
the city. Cable further explained that the Committee's work on a master cable ordinance was
accelerated by the opportunity to provide cable service competition in the city.
Mary Beth Nelson had some questions regarding the survey sample, stating that it appeared
that less than 10% of the population had been given an opportunity to respond. She stated
that perhaps a more comprehensive survey might be required. There was a discussion
regarding the survey sampling and their responses. Commission members questioned the
urgency-of-Glearsource to acquire a franchise agreement.
Ray Perez, Director of Public Affairs for Clearsource, stated thatthe urgency was that a
group of investors were eager to provide cable, phone and Internet services to the City. He
stated that the start-up company hada franchise awarded in Waco, Texas in January 1999
and were in the process of connecting their first customers this month. Perez said that
without a franchise agreement the company could not invest the proposed $60 million in
Corpus Christi. He informed the Commission that Corpus Christi had approximately 1200-
1400 miles of service area to be installed. Perez stated that the only urgency by
Clearsource was to acquire the franchise, provide their investors some assurance and
provide cable service within ten months to a year.
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Gericke informed the Commission that the first reading on Clearsource's application was
scheduled for the October 12 Council meeting. Cable stated that the Franchise Committee
was working on a master cable ordinance and that copies had been placed in the
Commission member's packet for their review and comments.
The Commission then viewed a videotape of Clearsource's presentation to the City Council.
Morales stated that the educational channels were important to the City. Spencer asked
about service to the island. Perez responded by saying that providing service to the island
was a challenge, but that Clearsource was aware of the situation and would work on solving
the concern. The Commission asked how soon service would be provided to customers.
Perez stated that a gradual building plan would be presented to the City Council as soon as
the franchise was approved. Perez responded that it would take approximately one year to
acquire and build the main office and head-end. In addition, Perez stated that the building
schedule is also dependent on other entities, such as CP&L's ability to make-ready poles to
build up the community.
Hal George stated that the length of time to build Corpus Christi was under negotiation, but
that it would take in the range of 5 to 10 years. George added that at the end of the process,
Corpus Christi would be in the cutting edge of technology, which is unusual for a city of this
size. Nelson asked about the availability of acquiring identiity information. George stated _
that the information was confidential because the incumbent (AT&T) would be looking at
those sources. He added that if their financial'resources were revealed, that would give the
incumbent an edge. He also added that this was a standard procedure used throughout the
industry during negotiations.
The Commission thanked Clearsource, Inc. for their presentation.
There were no public comments. '
The meeting was adjourned at 8:57 p.m.
Minutes submitted by
P. C. Gracia
Management Assistant