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HomeMy WebLinkAbout1984-04-10 - City Commission Workshop Meeting MinutesMAIL REPLY TO: P.O. BOX 25010 TAMARAC. FLORIDA 33320 5811 NORTHWEST 88TH AVENUE W TAMARAC, FLORIDA 33321 TELEPHONE (305) 722-5900 April 6, 1984 NOTICE OF WORKSHOP MEETING CITY COUNCIL OF TAMARAC, FLORIDA There will be a Workshop Meeting of the City Council to be held on Tuesday, April 10, 1984, at 10:00 a.m. in the Council Chambers of City Hall, 5811 N. W. 88th Avenue, Tamarac, Florida. The purpose of this Workshop is to discuss a request by American Cablesystems to revise certain rates charged to their customers. The public is invited to attend. /lc Carol A. Evans Assistant City Clerk P=CY OF NM-DISCRrMR N ON BASIS OF NAMICA1iP'F.D 5TAn S M M AL C»PDRILIUV VVIOM Tape 1 CITY OF TAMARAC, FLORIDA CITY COUNCIL WORKSHOP MEETING April 10, 1984 CALL TO ORT)RR• Mayor Philip B Kravitz call d tt t' d on Tuesday, City Hall. _ i e ie mee ang to or er April 10, 1984 at 10:00 A.M. in the Council Chambers at ROLL CALL: PRESENT: Mayor -Philip B. Kravitz Vice Mayor Sydney M. Stein Councilman Jack Stelzer Councilman John J. Dunne ABSENT AND EXCUSED: Councilman Raymond J. Munitz ALSO PRESENT: Laura Z. Stuurmans, City Manager Jon M. Henning, City Attorney Patricia Marcurio, Secretary Mayor Kravitz read the Notice of the Workshop Meeting into the record stating that the purpose of this meeting was to discuss a request by American Cablesystems to revise certain rates charged by their customers. John Chapple of American Cablesystems said they recognized the immediate need last year when they purchased thecable system, to continue develop- ing program diversity as well as making technical improvements to the system. The cost of these improvements, coupled with the ongoing costs of doing business, make some rate adjustment necessary at this time. He said he would like to refer to the charts and review the adjustments that they are proposing. He said in the standard converter service, they are seeking a $1.50 increase from $9.50 to $11.00, and their remote converter rate would go from $11.00 to $13.00 per month. He said they have done some marketing research in Tamarac and have found that a wireless converter is a widely requested option by the subscribers in the franchised areas. He said they would like to make that wireless converter option available at $13.00 if a subscriber is taking a pay service and $15.00 per month without. Mr. Chapple said regarding their seasonal service, their rate would go from $4.00 to $5.00 and bulk billing, which is not a prevelant rate in Tamarac, primarily for hotels and motels, would go from $4.00 to $5.50 per month. He said with regards to additional sets, without a converter, the adjustment requested is a $1.00 increase from $3.00 to $4.00 and with the standard converter, from $5.00 to $6.00 per month. He said with regard to additional sets, the remote converter would be a $1.50 increase from $6.50 to $8.00. Fie said they currently have a deposit in place for the standard converter but they would like to intro- duce a rate for the cordless converter. He said it is a more expensive item so they would like a higher deposit upon which they would pay interest. He said they would seek a $25 deposit since it is an approxi- mate $110 item. He said in the case of a lost cordless converter, they would seek a maximum replacement from the subscriber of $150. Ile said they are in the process of an agressive cable program, rebuilding the system and moving forward with the addition of new services. Fie said people want more programming options so that, in conjunction with the rate adjustment, they would be adding a number of diversified services on May 1st: 1. C-SPAN - the Congressional Satellite Public Affairs Network, a 24-hour a day service featuring live coverage of the House of Representatives in Washington, D.C., as well as a number of other taped and live interviews from the nation's capitol. 2. National Jewish Television - A week -end service with programs of interest to the Jewish Community. W no 4/10/84 /cmt 3. Black Entertainment Television - A nightly service (10 hours each evening) oriented to minority programs. 4. Modern Satellite Network - A consumer -oriented service featuring programming on travel, health related issues, and consumer awareness. 5. Christian Broadcasting Network - 24-hour a day service. In addition to religious programming, this features programs from the Golden Age of the 50's, with entertainers such as Jack Benny; Burns & Allen; and old westerns. Mr. Chapple said this rounds out the basic additions in programming scheduled for May 1st. He reported that subscribers are also asking for more pay TV programs, such as HBO. American Cablesystems proposes to add two new pay TV services, to be made available at $6.95 each: Firstly, the Disney Channel featuring programming exclusively by the Disney Studios; and secondly, the Home Theater Network, which features G & PG rated programs only. Subscriber information reveals that they like Pay TV but a majority do not care for the sex and violence related with R rated programs. This network will, feature programs geared to family entertainment and, in particular, senior citizens. On the technical side of the Company's improvements, Mr. Chapple said that they recognize the need to rebuild the cable system; in some portions of the City, it is antiquated and the Company is planning for the future. Proposals now in process include increas- ing from 36 to 54 channels in order to make more programs available. This should be completed within a year's time. Also, using yesterday's storm as an example, he pointed out that the cable system can be affected by severe lightning storms and by outages by FP&L. The Company wants to incorporate standby, back-up powering throughout the system which will help to alleviate that problem. This would basically include standby generated power to be replaced throughout the cable plant to operate in the event of a power loss and enable the system to remain operational during the loss of conventional power. He also reported that the Company would be making the system 2-way capable, to include live remote programming. Virtually, anywhere in Tamarac could be a recording studio and would also pave the way in the future for a transactional services, such as home security or video -text. Mr. Chapple said that the Company realizes that they are growing, Tamarac is growing, and they want to insure that they stay in touch with their subscriber base. Negotiations are underway to install a new telephone system in the facility which is approximately a $90,000-$100,000 purchase. They are adding several new people because of the new subscribers; just since last October, 6,000 new subscribers have been added. The tele- communications system will include traffic management information, which will show how long it takes a subscriber to get into the system and exactly how many calls each representative handles every day. The system will insure efficiency and better communication with local subscribers. Another new feature is the Company's community programming efforts, current espenditures amount to approximately $400,000 to cover a production studio and studio on wheels. In introduction to this program, Mr. Chapple compared costs of other area cable systems, pointing out that American Cablesystems actually provide signifi- cantly more programming in most instances, at less cost than other operators: American requests $11.00 for basic, and $13..00 for remote service; Boca West is at $1.2.95 and $16.95; Coral Springs at $11.50 and $13.50; Broward CableVision, serving Lauderdale Lakes and large portions of the unincorporated county, $11.95 and $13.45; TeleCable, serving Margate and North Lauderdale, $11.90 and $15.90. Mr, Chapple said that the American Cablesystems services Tamarac subscribers with more unique programs and will be provided at a lower rate per month. --2- 4/10/84 /cmt Mr. Al Sutters of the American Cablesystems explained local Community Services programming and showed a video-tape presenta- tion of the proposed services which will be available on Channel 19 on an on -going basis. Mr. Sutters outlined the proposal, to include a 1,600 square foot studio at the main office, which would be capable of live call -in talk shows with a studio audience. He reported that the shows now in planning would be taped and produced in the studio, and include talk shows with Mayors and officials of various cities and counties; exercise and health programs for senior citizens; crime and fire prevention seminars featuring local Police and Fire Departments; and weekly news programs. Later in the Spring, the Company will be taking delivery of a mobile production van which will be equipped with three color cameras (one of which is on display). This will greatly increase local programming capability by allowing the system to go on location to video tape events as they happen. Fie explained that the Company will be depending on local subscribers on a voluntary basis, those who are interested in working with them to insure the types of programs they would like to see in Cable Television, and would be relying on that local input. This will insure that they keep in touch with local subscribers and be able to provide the type of cable programming they want. He advised that the programming efforts of American Cablesystems as developed in the northern offices have been very successful; and, in fact, the Company has been awarded national honors many times up there. Ee stated that they are anxious to begin the same type of local pro- gramming here and to provide these quality programs in this area. Following this presentation, Mayor Kravitz opened the meeting to questions. Councilman Dunne asked, regarding the temporary or partial set-up in case of power failure by FP&L, is FP&L needed with this temporary service; could television still be operational? John Chapple replied that that is the idea behind the stand-by system, in some cases, if the storm or power outage is of such a severe nature, the system would experience an outage regardless. The stand-by is a back-up approach to keep the system operational and provide greater capability in case of a conventional loss. Councilman Dunne stated that if FP&L experiences an outage, cable services still could be furnished. John Chapple confirmed this but stated that this is still not 100%; it is only a back-up. The system can still send; however, if there is no power, it cannot be received. Mr. Rick Shower of American Cablesystems explained by comparing the system as a long garden hose throughout Tamarac - if you cut it in the middle, from that point down you'll lose everything. If you have a localized power outage and you live in the middle of that garden hose, a stand-by power supply will keep the system going all the way down to the end. Councilman Dunne asked if the service provided at the Station at University & 61st Street services all of Tamarac. Mr. Chapple replied yes. Parts of the Eastern -most section of Tamarac is serviced by the northern facility but the University Station serves all the other areas. They have two sites; one in Sunrise just above SR84 that feeds the western -most county and the Sunrise area and the new area just south of 84. The principal point for Tamarac is the Station at University & 61st. -8- 4/10/84 /cmt Councilman Dunne asked if the generator talked about before would be at each station. Mr. Chapple replied that this would be placed on a transformer principle with four every mile, with stand-by power at the plant, which is already available. This stand-by power is to assure future regeneration or booster capability in case of the conventional loss. Vice Mayor Stein asked for clarification on the rates quoted before and asked if most sets have the channel selector; if not, how many sets around do not have channel selectors. Mr. Chapple reported that 65 to 70% of the sets do not have the selectors. There are some economies of scale if you go to the second set of rates, but they are not as great as the rate structure currently indicates. City Manager Stuurmans noted that when she had talked to Dan Olmetti about the need of a greater system out here, most probably because of its age in many parts of the community to the east of our location, there was some discussion about work that would be done throughout the various localities of Tamarac. She requested Mr. Chapple to go into the nature of that work to make Council aware of the lines in the various subdivisions. Mr. Chapple restated that they are upgrading the entire system capability from 36 to 54 channels and this requires work in the entire system in place; obviously, some areas will be requiring more work than others. The Company is deeply committed to proviing service to everybody in the City. As new developments come into the area, the Company wants to serve them and there will be no squabbling about density restrictions. The Company wants to grow as Tamarac grows and will. be as flexible as possible. Mr. Showers explained further by stating that the majority of the rebuild has been covered; what they will be doing is changing out every single piece of electronic gear in Tamarac; every cap off device to the unit behind each subscriber's home. The only thing that won't be 100% changed out because considerable amount has already been changed since October, is with the cable. A great amount of the cable in Tamarac is new. City Attorney Henning noted that the recommendation by American Cablesystems is for the rates to go into effect on May lst. He suggested that whatever effective date of the increase, assuming it is granted, the Company should consider whether to give the subscribers a mon.th's notice (:1.) so that the increase can be sent out to them in their next bill; and (2) so that if any subscriber is offended or decides, for whatever reasons, to discontinue the service, that they have that month to decide, without being hit with the increase in their bill.. Mayor Kravitz advised that this could be ;.brought up in tomorrow's meeting as Item #33; and at that time, the Company could propose if the date would be extended from May ls� to June lst on. the bill. Mayor Kravitz opened the session to public questions. Mr. Allan Bernstein reported that he was .impressed with the improve- ments proposed by American Cablesystems and with their receptiveness to suggestions. He said he was not impressed with the progress on certain particular items raised at a, previous meeting, which they promised to look. -into, and on which no progress has been made as yet; such as poor reception or, Channel 6, in cmparison to the picture on Channel 6 in other areas of the county. Their answer was that a transmitter at Piper High interferes with the reception of Channel 6. 4/I'l/d4. /cmt Mr. Bernstein stated that he could not, accept this as a reasonable reply as there are many ways to correct the picture, such as an antennae in another location; and American Cablesystems apparently already has an antennae in another location. He stated that Channel 6 transmits on several frequencies; three UHF frequencies and the VHF frequencies, which should be explored. Subscribers are entitled to a good picture on Channel 6. Another item is the transmission of News on Channel 20. Over the week -ends, the News is totally dated; there is no change whatsoever in the presentation. This past week -end, Saturday, Sunday, and Monday, viewers were only getting gibberish. Obviously, they can only transmit what they get; but they can obviously contract with News services to find a way to give more satisfactory News coverage. Mr. Bernstein stated that American Cablesystems said they were aware of a problem and they would investigate the possi- bility of doing something about it; but as yet, there has been no improvement. He mentioned the question of audio levels on the various channels and whether they are monitoring the levels more carefully or are getting better material; that problem seems to have cleared up. Mr. Bernstein stated there does not seem to be much monitoring over the week -ends; especially during the late night hours. Mr. Bernstein addressed two more problems (1) Obsolescence - with regard to the expensive cable -ready TV systems geared to 36 channels, he questioned what will happen when the system is expanded to 54 channels. He stated that he hopes this system will be taken into consideration in working out the 54 channels. (2) Rates - Mr. Bernstein stated that he has no concept of the rate structure but he does recall in the past when the Council was confronted with a rate increase, detailed operating figures were submitted, subject to audit, to verify it; and he assumes that this has been done in this case. He stated that he does not mean to be unduly critical and hopes that what he has said can be taken in a constructive vein. Irving Lopatey stated that he wanted to repeat that the reception on Channel 6 is from fair to terrible'. Channel 21, SHO-TIME, comes in fuzzy on a number of sets; and yet on the east side of 441, reception is clear. The last time that American Cablesystems came up for an increase, there were numerous complaints about their telephone service; to attempt to call the office or repair service, could take .from one to four days; and it was wiser to send them a letter. They promised at that time to upgrade their service. Now, today they said they are going to spend $90,000 to increase their number, of lines to take care of the increased number of customers. Mr. Lopatey said this is not adequate, because they are not answering the phones; and then the phone is answered by a recording. Alice Norian stated that she appreciated the technical knowledge and information presented by Allan Bernstein, and that she felt he did not go far enough with some of the implications and problems that are apparent. She said in the areas of Mainland 1, 2, 3, 4, and 5, she has had various people contact her concerning the installation of Cable TV and asking why this is being forced upon them. This being an older, retired area, there had been a survey made several years ago, with a zero response in 1 & 2. She said in a more recent survey in Section 5, with a notice to every homeowner with a reply, and there were only 8 who wanted it in the area. Each area has deed restrictions and there is a little confusion and question in the minds of people. Ms. Norian said the problem they are faced with is digging up of their yards, which have been well established. There is the additional problem of American Cablesystems asking homeowners to sign a 6-foot easement at the back of their property when they back up on a canal or a golf course where there is no easement. American Cablesystems breaks up driveways when there is equipment available to go under a road. She said people in Section 4 & 5 report that they want no part of it if their driveways are to be broken up as they were in Section 3. Ms. Norian commented that from the Rock Island building of American Tape Cablesystems they have done a good job; she commended them, and 2 appreciates the progress of technology. She said she does want the Council to recognize that a very small percentage in Mainlands 1 & 2, only 3 or 4 people wanted it; in Section 5, there were only 8. American Cablesystems is breaking up the lawns. She said in her block there is a 32-4 foot hole for five weeks that is still there that broke up the telephone lines and they are still out of service intermittently. -5- 4/10/84 /cmt Mayor Kravitz requested that the City Manager look into this problem of breaking up the lawns and report on this tomorrow. Councilman Stelzer reported that he has a copy of the results of a. meeting in the City of Lauderhill last night where American Cablesystems presented rate increases. According to information he has received, all of the proposals have been agreed to, but there will be no rate increase for 2 years. From the report he has, this is the same pro- posal that American Cablesystems have given here. Mayor Kravitz asked if the increase was accepted, with no additional increase for the next 2 years. Councilman Stelzer advised that from what he has seen in the report, he is not sure how Lauderhill stood on the increase. Mayor Kravitz advised that he will be with the Mayor of Lauderhill today and will check this out. John Chapple, for clarification, reported that the Lauderhill Council voted unanimously to accept the proposed request and, in conjunction with the implementation of that request, American Cable - systems agreed not to raise their rates further. He reported that one specific condominium was mentioned in this meeting and American Cablesystems agreed to rewire the entire complex, upgrading it to the 54-channel capability. City Manager Stuurmans asked Mr. Chapple if this is the first increase request that American Cablesystems has proposed to the City since 1981. Mr. Chapple replied that the increase proposed in 1981 went into effect in 1982; so it has been 2 years since any rate has been. adjusted. Mayor Kravitz advised that this subject would be brought up at tomorrow's meeting. Mayor Kravitz adjourned the Workshop Meeting at 11:30 A.M. ASSISTANT CITY CLERK This public document was promulgated at a cost of $ or per copy to inform the general public and public officers and employees about recent opinions and considerations by the Council of the City of Tamarac. -6- 4/10/84 /cmt