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, CITY OF SAN BERNQRDINO - REQUEST .oR COUNCIL ACTION
."
From:
JAMES E. ROBBINS
Deputy City Administrator/
Administrative Services
Su~ect: Agreement with MUNICON
Oept:
Date: October 30, 1989
Synopsis of Pnvious Council ection:
None
Recommended motion:
Adopt resolution.
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Signature
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Contect person:
Supporti"ll data .ttachecl:
James E. Robbins
Phone:
5123
yes
W.rd:
FUNDING REQUIREMENTS:
Amount:
$10,000
Source: (Acct. No.) 107-105-53150
(Acct. Oescriotionl Professional/Contractual Services
Finenc:e: 0J....r lJ '"'-
Council Notes:
75.0262
Agenda Item No
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CITY OF SAN BERNaRDINO - REQUEST FOR COUNCIL ACTION
STAFF REPORT
In 1984 the Congress of the United States adopted the Cable
Communications Act to "establish an orderly process for
franchise renewal. " After adoption, a number of court
actions have been filed and adjudicated. In order to be
fully aware and knowledgeable, an attorney must devote full
time to a special practice dealing with cable issues.
Local control today is in consumer protection and renewals
and transfers of franchises. Because San Bernardino has four
cable operators serving its citizens, the need for uniform
municipal codes that maximize the City's position with all
operators is of paramount importance. In most Cities with
antiquated franchises, the franchise was entered into 15 to
20 years ago when cable TV was just a few network channels
serving remote areas. Unfortunately, San Bernardino has
several of these type franchises, and the only way to
effectively manage the franchise in today's environment is to
have "up to date" municipal codes that reflect changes in
State and Federal law.
Within the next year we
In order to insure we
all of the citizens, it
consistent with federal
will be looking at possible renewals.
are in the position which best serves
is essential our municipal codes are
law and court decisions.
In reviewing the time and expert knowledge required, staff
and the City Attorney's Office agree that outside counsel
would best serve the City. Several firms have been contacted
and have provided information concerning their services.
Because of the time needed and the expert knowledge of Cable
Law required, we are recommending a qualified Cable TV
consultant to re-write our City'S Cable TV municipal codes.
We are recommending Municon because of their experience and
track records in these matters. The MUNICON Group has
indicated that completed Municipal Codes governing our four
local operators could be completed as early as February 1990
if we moved quickly.
It is recommended that a resolution authorizing the signing
of an agreement with MUNICON be approved.
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(tAMES E. ROBBINS
Deputy City Administrator/
Administrative Services
JER/md
75-0264
C I T9 0 F
o
SAN BERNAR
INTEROFFICE MEMORANDUM
8909-702
DIN 0
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TO:
;83.9 S;:,P / Q
James RObbins, Deputy City Administrator- -~
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FROM: Dean Gray, Director of Telecommunications
SUBJECT: Municipal Code Revision
DATE: September 28, 1989
------------------------------------------------------------.
As you are aware, the Cable
considerably since the 1984
Congress. Certain actions
strengthened by the Act, and
still not certain where their
Television industry has changed
Cable Policy Act was passed by
were deregulated and others
most Cities across America are
strengths as regulators lie.
The real power to regulate today is in consumer protection
and renewals and transfers of franchises. Because San
Bernardino has four cable operators serving its citizens, the
need for uniform municipal codes that maximize the City's
position with all operators is of paramount importance. In
most Cities with antiquated franchises, the franchise was
entered into 15 to 20 years ago when cable TV was just a few
network channels serving remote areas. unfortunately, San
Bernardino has several of these type franchises, and the only
way to effectively manage the franchise in today's environ-
ment is to have "up to date" municipal codes that reflect
changes in state and Federal law. An example would be the
recent Cablevision stock transfer. If our municipal codes
had indicated that a stock transfer of over 5% constitutes
grounds for franchise renewal, our City could have required a
system interconnect with Comcast, carriage of our Channel 3,
financial support for PEG access, and a 60 channel upgrade,
just to name a few benefits.
Within 14 months, the City will enter into franchise renewals
with Chambers Cable. Our municipal codes will be the
infrastructure of all future franchises and as written, will
again leave our City helpless during critical negotiations.
Such items as who will pay for all studies and system analy-
sis leading to a franchise, ongoing engineering evaluations,
and annual audits can easily be settled in the City's favor
with proper codes in place.
Any cable operator can request a franchise renewal at any
time during their existing franchise. The City would not be
prepared to effectively negotiate given the weak initial
franchises and absence of updated municipal codes. 30-36
months prior to the end of a franchise, both the City and the
cable operator ~ open negotiations. Although this window
provides approximately 14 months before mandatory meetings
with Chambers Cable, Chambers can request renewal at any
INTEROFFICE'MEMO~DUM:
Municipal Code Revision
September 28, 1989
Page 2
o
8909-702
time. In the event of stock transfers or system sales, the
muniCipality rarely finds out about the action until after
the deals have been concluded. Again, because the City
cannot predict these events, immediate attention to Municipal
Code updates is recommended. During the past 36 months, 35%
of all cable franchises in America have changed hands,
including Group Wand Cablevision locally.
Because of the time needed and the expert knowledge of Cable
Law required, I request your approval and assistance in
obtaining a qualified Cable TV consultant to re-write our
city's Cable TV municipal codes. I would prefer using
MUNICON or Miller & Holbrooke because of their experience and
track records in these matters, but would gladly review
alternate consulting groups if you so suggest. The Municon
Group has indicated that completed Municipal Codes governing
our four local operators could be completed as early as
December 1989 if we moved quickly.
Enclosed please find information about Municon and Miller and
Holbrooke, two quality firms serving municipalities. Basic
prices and references are included for your assistance.
I appreciate your time and concern in this critical issue,
and look forward to moving ahead as quickly as possible.
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RESOLUTION NO.
RESOLUTION OF THE CITY OF SAN BERNARDINO AUTHORIZING THE
EXECUTION OF AN AGREEMENT WITH MUNICON, INC. TO PROVIDE LEGAL
ADVICE AND ANALYSIS WITH REGARD TO THE REVISION OF THE SAN
BERNARDINO MUNICIPAL CODE RELATED TO CABLE TELEVISION REGULATION
AND FRANCHISING CONSISTENT WITH THE CABLE COMMUNICATIONS ACT OF
1984 AND SUBSEQUENT COURT DECISIONS.
BE IT RESOLVED BY THE MAYOR AND COMMON COUNCIL OF THE
CITY OF SAN BERNARDINO AS FOLLOWS:
SECTION 1. The Mayor of the City of San Bernardino is
hereby authorized and directed to execute on behalf of said City
an agreement with Municon, Inc. to provide legal advice and
analysis with regard to the revision of the San Bernardino
Municipal Code related to cable television regulation and
franchising consistent with the Cable Communications Act of 1984
and subsequent court decisions, a copy of which is attached
hereto marked Exhibit "A" and incorporated herein by reference
as fully as though set forth at length.
SECTION 2.
The authorization to execute the above-
referenced agreement is rescinded if the parties to the agree-
ment fail to execute it within sixty (60) days of the passage of
this resolution.
I HEREBY CERTIFY that the foregoing resolution was duly
adopted by the Mayor and Common Council of the City of San
Bernardino at an
meeting thereof, held on the
day of
1989, by the following vote,
to wit:
/ / / / /
/ / / / /
10/30/89
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RESOLUTION ~HORIZING AGREEMENT WITH J:)ICON, INC. RELATIVE TO
REVISION OF THE MUNICIPAL CODE RELATED TO CABLE TELEVISION
REGULATION.
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AYES:
NAYS:
ABSENT:
city Clerk
11 The foregoing resolution is hereby approved this
day of , 1989.
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W. R. Holcomb, Mayor
city of San Bernardino
Approved as to form
and legal content:
JAMES E. PENMAN
city Attorney
BY'~
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10/30/89
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EXHIBIT "A-
1 A G R E E MEN T
2
3 THIS AGREEMENT is made and entered into this day
4 of , 1989, by and between the CITY OF SAN
5 BERNARDINO, a municipal corporation, 300 North "D" Street, San
6 Bernardino, California 92418, (herein referred to as "City"),
7 and MUNICON, INC., 8466 N. Lockwood Ridge Road, Suite 240,
8 Sarasota, Florida 34243, (herein referred to as "Consultant).
9 city and Consultant agree as follows:
10 1. General DescriDtion of Work to be Done.
11 City hereby engages Consultant, and Consultant hereby
12 accepts such engagement, to perform the services' herein
13 described for the compensation herein provide~. Consultant
14 hereby assures and covenants to City that they have the qualifi-
15 cations, experience and facilities to properly perform said
16 services, and hereby agrees to undertake and complete the
17 performance thereof for the compensation herein provided.
18 2. Term.
19 The term of this agreement shall commence on execution of
20 this agreement by both parties. The anticipated term of the
21 agreement is 120 days. The consultant and City recognize that
22 time is of tbe essence in the performance of the agreement.
23 3. Pavrnent and provision for Pavrnent.
24 A. Maximum Compensation.
25 1. Maximum total compensation to be paid under this
26 agreement shall be a minimum of seven thousand dollars ($7,000)
27 not to exceed a maximum of ten thousand dollars ($10,000).
28 Payment to Consultant for services provided under this
agreement shall be on a monthly basis with estimates provided in
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advance for phases of work.
1 B. Manner of Compensation.
2 1. The Consultant shall submit an invoice for
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3 payment to the City Administrator's Office in such manner that
4 Consultant shall be paid monthly.
5 2. Consultant shall assume and pay all out-of-pocket
6 expenses and costs of performing services under this agreement
7 except as otherwise specifically provided herein and will bill
8 the City for reimbursement. Should the city request
9 Consultant's presence at any meeting, conference, hearing or
10 other proceeding related to cable, the city shall pay for all
11 associated costs including, but not limited to, travel, lodging
12 and meals.
13 4. General DescriDtion of Work to be Done.
14 City hereby retains Consultant to provide legal advice
15 and analysis with regard to the revision of San Bernardino
16 Municipal Codes related to cable television regulation and
17 franchising consistent with the Cable Communications Act of 1984
18 and subsequent court decisions.
19 5. Amendments
20 This agreement may be amended or modified only by written
21 ,agreement executed by both parties.
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6. . Ai:sianment.
Consultant's rights under this agreement shall not be
assigned by Consultant to any other person, firm or corporation
without the prior written consent of the city.
7. RelationshiD of Parties.
Consultant is acting as an independent contractor, and
not as an employee of the city. In the performance of personal
services pursuant to the provisions of this agreement,
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Consultant shall not be supervised, directed, or under the cont-
rol or authority of any City officer or employee, except and to
the extent as may be expressly or implicitly required by the
terms and provisions of this aqreement. Issues of compatibility
and consistency with the city's Charter and ordinances shall be
discussed with the City Attorney. Any direction or control so
required under this agreement shall be limited to broad
objectives or qoa1s of the project or proqram to be accomplished
and not to the details and procedures to accomplish such
objectives or goals. Consultant shall not be obliqated to
conform to the supervision or direction of City officers or
employees which are not authorized herein. Chanqes or
modifications of said objectives and qoa1s may be made by
written recommendations of either party subject to the
concurrence of the other party in writinq.
8. Hold Harmless.
Consultant hereby a9rees to, and shall hold city, its
elective and appointive boards, commissions, officers, agents
,
and employees, harmless from any liability for damage or claim
for personal injury, includinq death, as well as from
Consultant's operations under this agreement. Consultant agrees
to, and shall defend City and its elective and appointive
boards, commissions, officers, agents and employees from any
suit or actions at law or in equity for damages caused or
alleged to have been caused by reason of Consultant's
performance hereunder includinq any claims that may arise
against City by reason of Consultant's legal relationship with
City being categorized as other than that of an independent
contractor.
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9. Attornev's Fees.
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In
to
the
action
event an
is
filed
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by either party
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:,enfo;ce rights under this agreement, the prevailing party
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shall
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~eentitled to recover reasonable attorney's fees in addition to
any other relief granted by the court.
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10. Terminated bv Citv.
Notwithstanding any other provision of this Agreement,
the City, by notifying Consultant in writing, may terminate all
or a portion of the services agreed to be performed under this
Agreement with or without cause. Consultant shall be,q1ven five
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(5) days written notice for failure of consultant:" tQ ~fOZ'lll
obligations under
the contract in a satisfactory '.manner, and
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written notice if termination is for', other
thirty (30) days
reasons. Notice shall be mailed posted to the addre,. set forth
herein for the receipt of notices.
In the event of any
termination, Consultant shall have the right and obligation to
immediately assemble work in progress and forward same to the
city. All charges outstanding at the time of termination shall
be payable by the city to Consultant within thirty-five days
following submission of final statement by Consultant.
11. AcceDtance of Final PaYment Constitutes Release.
The acceptance by Consultant of the final payment made
according to the terms of this Agreement shall operate and be a
release to the City, and every employee and agent thereof, from
all claims and liabilities to Consultant for anything done or
furnished for or relating to the work or services, or for any
act or failure to act of the city relating to or arising out of
work and this agreement.
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12. Acknow1edament.
a. Consultant acknowledges and agrees that City is
the sole and exclusive owner of all rights and remedies in and
to certain confidential ideas and secrets concerning the
operations of City, any products or information resulting, in
whole or in part, from the work performed under this agreement,
and all products or information derived or to be derived from
said work, regardless of whether City's or Consultant's work is
subject to patent, copyright, or other protection.
b. In the event that any work performed under this
agreement is or becomes the subject of a patent application,
patent, copyright, or other rights under the laws of theZUnited
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States or any other country, Consultant agrees and understands
that City sha~l have all the rights and remedies available to
City under the law as a result of such patent applications,
patents, copyrights, or other rights.
13. Confidentialitv and Non-Disclosure.
a. Consultant acknowledges that during the
consultation, Consultant has had and/or shall have access to and
has become and/or shall or may become aware of secret
information. Consultant agrees to hold in confidence all such
secret information disclosed to Consultant or developed by
Consultant in connection with the work performed under this
agreement, either in writing, verbally, or as a result of the
Consultant except:
1. Information which, at the time of
disclosure, is in the public domain or which, after disclosure,
becomes part of the public domain by pUblication or otherwise
through no action or fault of consultant; or
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Information which ~su1tant can
show is in
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its possession at the time of disclosure and was not acquired,
directly or indirectly, from City;
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3. Information which was received by Consultant
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:., fro.". ,third party having the legal right to transmit that
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information. Nothing in this paragraph is intended to nor shall
make confidential records or information which is otherwise made
open to public inspection by law.
b.
Consultant
shall not, without the written
permission of the
City
Administrator,
use
the
secret
information, which Consultant is obligated hereunder to maintain
to,"
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in confidence, for any reason other than to enable Consultant to
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properly and completely perform under this agreement.,"",
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c. Consultant shall not reproduce or make copies of
the secret information or Consultant's
output, except as
required in the performance of this agreement.
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Upon termination
of the agreement for
any reason whatsoever, Consultant shall
promptly deliver
to City all
correspondence,
drawings,
blueprints, manuals,
letters, notes, notebooks, reports, flow-
charts, programs, proposals, or documents concerning City.
d. Except as may be required for performance of this
agreement, Consultant shall
not, during or
at any time
subsequent ~o this agreement, unless City has given prior
"written consent, disclose or use the secret information or
engage in or refrain from any action, where such action or
inaction may result (1) in the unauthorized disclosure of any or
all such secrets to any person or entity; or (2) in the
infringement of any or all such rights.
e. Consultant shall immediately notify City of any
information which comes to Consultant's attention which does or
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mightind.Qte
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that there has been any loss of confidentiality
of such secrets or breach of such rights.
f. Consultant shall limit the disclosure' of the
secret information to those persons in Consultant's organization
or the City, who have a need to know all or part of the secret
information. Consultant shall make such disclosure to each such
person limited to that portion of the secret information that
that person needs to know.
Consultant shall inform each such
person of the provisions of this agreement regarding secret
information and shall make reasonable efforts to insure that
each such person shall abide by those provisions.
g. To the extent not prohibited by state or federal
law, the City acknowledges that the work product provided by
.;;
Consultant shall be treated as proprietary, and not released or
given to another City or entity without the permission of the
Consultant. Moreover, under any circumstance, should any work
product be provided to another City or entity, it shall contain
a disclaimer that such work product may have no applicability or
enforceability in another city or entity.
14. Notices.
Any notices required to be given hereunder shall be
deemed to have been given by depositing said notice in the
United States mail, postage prepaid, and addressed as follows:
City
Shauna Clark, City Clerk
City of San Bernardino
300 North "D" Street
San Bernardino, Ca 92418
Consultant
MUNICON, INC.
8466 N. Lockwood Ridge Rd
Suite 240
Sarasota, Fla 34243
Nothing in this paragraph shall be construed to prohibit
the giving of such notice by personnel service.
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AGREEMENT ~H MUNICON, INC. RELATIVE r-\REVISION OF THE
MUNICIPAL ~E RELATED TO CABLE TELEVI~N REGULATION.
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15. Entire Aareement.
This contract constitutes the entire Agreement between
city and consultant and may be modified only by further written
agreement between the parties.
IN WITNESS THEREOF, this Agreement has been executed by
the parties effective as of the date and year first above
written.
ATTEST:
Shauna Clark
16 City Clerk
Approved as to form
and legal content:
JAMES F. PENMAN
city Attorney
BY,~~J
10/30/89
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CITY OF SAN BERNARDINO
Municipal Corporation of
the State of California
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BY:
W. R. Holcomb, Mayor
City of San Bernardino
CONSULTANT:
BY:
MUNICOM, INC.