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CITY OF SAN BERNARDINO - REQUEST FOR COUNCIL ACTION
Dept:
Mayor's Office
Subject: Resolution urging Congress to
revise the Cable Communications
Policy Act of 1984
From:
W. R. Holcomb, Mayor
Date: April 12, 1990
Synopsis of Previous Council action:
NONE.
Recommended motion:
Tha't the resolution urging Congress to revise the Cable Communica-
tions Policy Act of 1984 be reviewed and considered for adoption.
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Dean Gray
Phone:
5147
Contact person:
Supporting data attached:
Yes
Ward:
FUNDING REQUIREMENTS:
Amount:
Source: IAcct, No,)
IAcct, Description)
Finance:
Council Notes:
AQenda Item No,
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CITY OF SAN BERNAADINO - REQUEST FOR COUNCIL ACTION
STAFF REPORT
Definitions:
Telco:
Telephone Company
Common Carrier:
Company that provides distribution
leased to other companies for
carriage (voice, data, image)
system
signal
Plant:
Equipment used for signal distribution.
Systems may include the following: fiber
optic, coaxial cable, twisted pair,
copper wire, microwave; other pieces of
specific equipment include amplifiers,
modulators, de-modulators.
Background Information:
For the past several years, the Cable
and City staff have been exploring
incorporating fiber optic technology to
of cable service in San Bernardino.
Television commission
the possibility of
improve the quality
GTE has been investigating the option of providing cable
service via their company's fiber optic system. GTE has
already installed two fiber optic leads -- one from 6th and
"E" down Waterman to Pioneer, and one extending to Norton Air
Force Base.
On the national level, the issue of teleco entry into the
cable industry has been under discussion for several years.
Congressional hearings are currently being held to decide the
issue of cross-ownership (teleco owning cable system within
their teleco service area).
GTE is requesting a formal endorsement from the Mayor and
Common Council supporting teleco entry into the cable tele-
vision business. This endorsement, together with those from
other surrounding cities served by GTE, will be presented at
a congressional hearing to be held during the first week in
May.
75-0264
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RESOLUTION NO.
RESOLUTION OF THE CITY OF SAN BERNARDINO, CALIFORNIA URGING
THE CQNGRESS OF THE UNITED STATES TO REVISE THE CABLE
COMMUNICATIONS POLICY ACT OF 1984.
WHEREAS, cable television has become the public square of
free speech of the 1980s and will only grow in the future as a
necessity in the lives of individual citizens; and
WHEREAS, the current status of the laws and regulations
governing cable do not promote competition or protect cable
subscribers from rate escalation of the type that could divide
society into those who can and those who cannot afford to avail
themselves of this public square; and
WHEREAS, this division will result from cable television
being an unregulated monopoly, which does not face competition
and which is preempted from a regulatory environment; and
WHEREAS, this preemptive regulatory environment has come
about as a result of the Congress, the Federal Communications
Commission and Courts altering what cities had thought to be the
terms and conditions of the Cable Act of 1984 in areas such as
franchising, renewals, rate regulation and technical standards;
and
WHEREAS,
the lack of competition has arisen from the
absence of alternative multichannel delivery systems, especially
of a-switched fiber optic network that reaches most houses to
achieve a significant market share and from anticompetitive
behavior by monopolistic cable operators; and
WHEREAS, the judicial elimination of "must carry" rules has
interfered with the intent of the 1984 Act; and
DAB/ses/Policy.res
April 4, 1990
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WHEREAS, the current trends of horizontal consolidation,
2 which results from the merging of cable systems, and vertical
3 integration, which results from cable companies having an
4 ownership interest in the sources of programming, have further
5 inhibited competition; and
6
WHEREAS, as a result of this unregulated monopoly,
7 consumers and cities presently have no protection against the
8 monopolistic practices of the cable industry,
9 NOW, THEREFORE, BE IT RESOLVED that the Mayor and Common
10 Council of the City of San Bernardino call upon Congress and the
11 Administration to guarantee the right of all citizens to the
12 public square for free speech and other necessities provided by
13 cable television, and to address this issue by enacting laws
14 which encourage the introduction of competition into the cable
15 market and for cable franchises, especially at the time of
16 renewal; and
17
BE IT FURTHER RESOLVED that until and unless such
18 competition is achieved, Congress and the Administration must
19 return to local government regulatory authority over rates and
20 technical delivery. Specifically, the Mayor and Common Council
21 of the City of San Bernardino call upon the Congress and
23
22 Administration to:
A.
Return to local government the authority to regulate
24 basic cable rates in the absence of a switched fiber optic
25 network to a second multi-channel alternative which provides
26 viable competition throughout the franchise area.
27
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Establish, or in the alternative, permit local
B.
DAB!ses!Policy.res
April 11, 1990
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1 governments to establish, worthy technical standards for the
2 delivery of cable service which are responsive to technological
3
advances.
The standards currently in place for Class I
4 transmissions are antiquated and must not be extended to Classes
5 II, III and IV transmissions.
6
c.
Permit telephone companies to own and operate cable
7 systems so long as:
8
regulations are in place to prevent cross
1 )
9
subsidization between a company's cable and telephone
operations; and
2)
all other requirements of a local franchise agreement,
including existing fees, franchising process and regulatory
mechanisms that govern city cable franchise relations, are
enforceable at law against a telephone company operating as
a cable provider.
D.
Encourage telephone and cable companies to deploy
117 fiber optic cable to the house, so the maximum number of
18 Americans will benefit from the abundance of the Information Age
19 services and programming that could be provided over a switched
21
20 fiber network.
Mandate that as a term and condition of availing
E.
22 themselves of the benefits of compulsory licensing, cable
23 operators carry local television signals on their basic cable
24 service tiers.
25
F.
Prohibit video programmers affiliated with cable
26 systems from discriminating against non-affiliated cable systems
27 and alternative multichannel video programming distributors in
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DAB/ses/Policy.res
April 11, 1990
3
1 RESOLUTION OF THE CITY OF SAN BERNARDINO, CALIFORNIA URGING
THE CONGRESS OF THE UNITED STATES TO REVISE THE CABLE
2 CO~TIONS POLICY ACT OF 1984.
3 the p;r:1ce, terms, conditions or availability of their
4 programming.
5 I HEREBY CERTIFY that the foregoing resolution was duly
6 adopted by the Mayor and Common Council of the City of San
7
Bernardino at a
meeting thereof, held on the
8
day of
, 1990, by the following vote, to wit:
9
Council Members:
AYES
NAYS
ABSTAIN
10 ESTRADA
11 REILLY
12 FLORES
"
13 MAUDSLEY
14 MINOR
15 POPE-LUDLAM
16 MILLER
17
18
City Clerk
19
The foregoing resolution is hereby approved this
day
20
, 1990.
of
21
22
w. R. Holcomb, Mayor
23 City of San Bernardino
Approved as to
24 form and legal content:
25 JAMES F. PENMAN,
City Attorney
26
27 By:
28
DAB/ses/Policy.res
April 11, 1990
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