HomeMy WebLinkAboutR19-Economic Development
CITY OF SAN BERNARDINO
ECONOMIC DEVELOPMENT AGENCY
ORIGINAL
FROM: Emil A. Marzullo
Interim Executive Director
SUBJECT:
Recommend transfer of personnel and certain
assets of the City to the Agency related to the
CATV Division
DATE:
January 26, 2009
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Svnopsis of Previous Commission/Council/Committee Action(s):
On November 20, 2008, Redevelopment Committee Members Estrada, Johnson and Baxter unanimously voted to recommend
that the Mayor and Common Council and the Community Development Commission consider this action for approval.
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Recommended Motion(s):
(Mavor and Common Council\
Resolution of the Mayor and Common Council of the City of San Bernardino approving the transfer of
personnel and certain assets of the City related to the CATV Division and the restructuring thereof within the
Redevelopment Agency of the City of San Bernardino and approving and authorizing execution of an Asset and
Personnel Transfer Agreement
(Communitv Develooment Commission)
Resolution of the Community Development Commission of the City of San Bernardino concurring with Mayor
and Common Council Resolution approving the transfer of personnel and certain assets of the City related to the
CATV Division and the restructuring thereof within the Redevelopment Agency of the City of San Bernardino
and approving and authorizing execution of an Asset and Personnel Transfer Agreement
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N/A
Ward(s):
(909) 663-1044
All
Contact Person(s):
Project Area(s):
Supporting Data Attached:
Lori Panzino- Tillery
Phone:
o Staff Report 0 Resolution(s) 0 Agreement(s)/Contract(s) 0 Map(s) 0 Letter(s)
FUNDING REQUIREMENTS:
Amount: $
-0-
Source:
N/A
Budget Authority:
N/A
Fiscal Review:
-"(:...J. t.' '- f IJ (". ,';(' i-'l
Barbara Lindseth, Administrative ServicesJ)irector
LJ,~
Signature:
Commission/Council Notes:
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P:\Agendas\Comm Dev Commission\CDC 2009\02-02-09 CATV Transfer SR (Con't) doc
COMMISSION MEETING AGENDA
Meeting Date: 02102/2009
Agenda Item Number: R l q
ECONOMIC DEVELOPMENT AGENCY
STAFF REPORT
------------------------------- -----------------------------------------------------------------------------
RECOMMEND TRANSFER OF PERSONNEL AND CERTAIN ASSETS OF THE CITY TO THE
AGENCY RELATED TO THE CATV DIVISION
BACKGROUND:
The Mayor and Common Council of the City of San Bernardino ("Council") decided to transfer the
operational and management responsibilities of the CATV Division ("CATV") to the Redevelopment
Agency of the City of San Bernardino ("Agency") pursuant to the armual budget processes of the City of
San Bernardino ("City") and the Agency for Fiscal Year 2008-2009.
CURRENT ISSUE:
In order to implement the goals and intents of the adopted City Budget for Fiscal Year 2008-2009, the
City and the Agency must enter into an agreement for the City's reimbursement of specific costs and the
transfer of certain assets associated with CATV. The Agency and the City Manager's Office have
discussed the implementation of the transfer and developed a transfer plan and process.
Additionally, the City has requested that the function of management and continual monitoring of the
City's Cable Franchise Agreements be transferred to the Agency as well.
The items addressed in the transfer plan are:
I. The City shall be reimbursed by the Agency for the Salaries and Benefits incurred by CATV
retroactively to July I, 2008, to the date of the transfer.
2. The City shall assume accrual balances for transferred employees. Employees shall have the right to
"cash out" or carry over accrual balances to the Agency. The Agency shall be reimbursed by the
City for any accruals that are not cashed out by the employees.
3. The Agency shall provide a comparable level of health benefits to the transferred employees as
currently offered by the City. The employees shall be emolled in the Public Employee Retirement
System ("PERS") under the Agency's PERS contract, which is 3% at 60 years of age based on the
employee's 12 highest consecutive months of salary for retirement computation with survivor
benefits. In addition to the employer's share ofthe PERS contributions, the Agency shall pay 8% of
monthly salary for the employee share of the PERS contribution. The employee shall not have any
monthly obligation for the employee share of the PERS contribution. Employees shall receive a 2%
armual salary increase for cost of living allowance. The City PERS contract offers 2.7% at 55 years
of age for the City retirement plan.
4. The City shall be reimbursed by the Agency for certain expenses incurred by CATV retroactively to
July 1,2008, to the date of the transfer.
_________________________________________________________n_ ______________________________________ ---------------- ------------------------------------------------------------------------------------
P\Agendas\Comm Dev Commission\CDC 2009\02-02-09 CATV Transfer SR (Con't) doc
COMMISSION MEETING AGENDA
Meeting Date: 02/02/2009
Agenda Item Number: j?l't
Economic Development Agency Staff Report
CATV Transfer
Page 2
5. The City shall transfer all equipment and assets which have been identified in the Council's
Resolution to the Agency and become assets of the Agency.
6. The City shall transfer two vehicles with appropriate documentation (VIN
#1 FMDA3IXXSZB74972 and VIN #IFTEEI42IVHC02122) to the Agency.
7. The City shall transfer any and all revenue generated by CATV and collected by the City from July
I, 2008, to the date of transfer to the Agency.
8. The City shall transfer any and all monies received by the City since July 1,2008, from the cable
providers for the one percent (1 %) PEG support fee to the Agency.
9. The Agency shall reimburse the City actual costs from July I, 2008, and pay the City's ongoing
actual costs associated with telephone and IT charges including email, servers, software and
hardware licenses until such time CATV is migrated to the Agency's system. CATV shall retain
current phone numbers for public access/contact purposes.
10. The Agency shall assume the liability for the $106,900 equipment payment to California State
University, San Bernardino.
II. The Agency shall assume responsibility for the City's Cable Commission, including the legal
advisory role to the Commission and shall draft a formation Ordinance for the Council's approval.
12. The Agency shall assume responsibility for the City's management and monitoring duties related to
the City's Cable Franchise Agreements. The Agency shall assume responsibility for the City's
cable complaint resolution duties. The City shall pay the Agency $20,500 annually for the
assumption ofthese duties retroactively to July I, 2008.
ENVIRONMENTAL IMP ACT:
None.
FISCAL IMPACT:
The costs associated with the transfer were budgeted in the Agency budget for Fiscal Year 2008-2009, not
to exceed $350,000.
RECOMMENDA nON:
That the Mayor and Common Council and the Community Development Commission adopt the attached
Resolutions.
~
Emil A. Mar
1m Executive Director
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P:lAgendas\Comm Dev Commission\CDC 2009\02-02-09 CATV Transfer SR (Con't) doc
COMMISSION MEETING AGENDA
Meeting Date: 02/02/2009
Agenda Item Nnmber: Rl &f
1
2
3
4
5
6
7
RESOLUTION NO.
RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY
OF SAN BERNARDINO APPROVING THE TRANSFER OF PERSONNEL
AND CERTAIN ASSETS OF THE CITY RELATED TO THE CATV
DIVISION AND THE RESTRUCTURING THEREOF WITHIN THE
REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AND
APPROVING AND AUTHORIZING EXECUTION OF AN ASSET AND
PERSONNEL TRANSFER AGREEMENT
WHEREAS, the City of San Bernardino, California (the "City"), has operated a local
8 television station since 1988, sometimes commonly referred to as the "CA TV Division" through
9 which Channel 3 and other public access channels are made available for purposes of providing
10 public access and public programming to the residents of the City through existing facilities of cable
11 television providers within the City; and
12 WHEREAS, the City has acquired certain physical capital assets for purposes of providing
13 the community access to the cable television channels through the CATV Division, including, but
14 not limited to, television cameras, production lights, production and taping equipment, production
15 studios, furniture, other office supplies, office equipment and certain vehicles (collectively, the
16 "CATV Equipment") all in furtherance of the public purposes of providing public information
17 access to the community through the facilities and assets of the CATV Division; and
18 WHEREAS, the City is entitled to receive certain funds pursuant to the Digital Infrastructure
19 and Video Competition Act of2006 ("DIVCA") as approved by the California Legislature to ensure
20 a viable and steady source of income to local governments such as the City in the form of the five
21 percent (5%) franchise fee presently paid to and collected by the City and to protect public,
22 educational and government programming ("PEG"); and
23 WHEREAS, DIVCA further provides certain protections to PEG activities and confirms the
24 ability of local governmental entities such as the City to collect a five percent (5%) franchise fee
25 related to the use of City public rights-of-way by all video service providers and the right of the City
26 to collect an additional one percent (I %) fee as shall be designated for PEG specific funding
27 purposes; and
28
1
P\Agendas\Resoluliol1s\Resolutions\1009\02-02-09 CATV Transfer MeC Reso FISAL (Con'l)doc
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R/~
1 WHEREAS, DrvCA specifies that franchise fee revenues collected in excess of a five
2 percent (5%) franchise fee, such as the one percent (1 %) amount allowed pursuant to DrvCA, shall
3 be used and applied for the support of capital expenditures, equipment and facilities and not for the
4 payment of operating expenses such as salaries, utilities and similar cost items; and
5 WHEREAS, OrvCA also permits local govenunents that operate a PEG facility to establish
6 a fee to support PEG channel facilities and to further seek revenue sources such as advertising,
7 sponsorships and underwriting contributions from private sources in furtherance of the continuation
8 of PEG activities; and
9 WHEREAS, this Mayor and Common Council of the City of San Bernardino ("Council")
10 have decided to transfer the operational and management responsibilities of the CATV Division
11 operations to the Redevelopment Agency of the City of San Bernardino (the "Agency") pursuant to
12 the annual budget processes of the City and the Agency for Fiscal Year 2008-2009; and
13 WHEREAS, the City is unable to effectively monitor the activities of the existing cable
14 television franchise agreements and the Agency has agreed to undertake such duties and
15 responsibilities on behalf of the City in exchange for an annual payment to the Agency of Twenty
16 Thousand Five Hundred Dollars ($20,500) which shall thereupon be remitted each July I by the
17 City to the Agency for which the payment thereof for Fiscal Year 2008-2009 shall be due and
18 payable by February 27,2009, by the City to the Agency; and
19 WHEREAS, the City similarly recognizes that the one percent (1 %) amount allowed
20 pursuant to DIVCA for capital expenditures related to the CATV Division must be transferred to the
21 Agency for purposes as mandated by State and federal law and shall be transferred to the Agency as
22 to all such funds collected by the City from and after July 1, 2008, as provided in Section 5(b) and
23 Section 6(b) hereof; and
24 WHEREAS, it is now appropriate for this Council to take certain official actions pursuant
25 to this Resolution in efforts to implement the goals and intents of the adopted City Budget for
26 Fiscal Year 2008-2009, subject to a concurrence Resolution as may be adopted by the Community
27 Development Commission of the City of San Bernardino (the "Commission") acting as the
28 governing body of the Agency, and such adoption of Resolutions of the Council and the
2
P_\Agenda,\Resolulions\Resolutions\2009\02-02.09 CATV Transfer MeC Reso FINAL (Con'l) doc
1 Commission shall constitute the binding agreement as between the City and the Agency as to the
2 matters addressed in this Resolution.
3 NOW, THEREFORE, IT IS HEREBY RESOLVED, DETERMINED AND ORDERED BY
4 THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO, AS
5 FOLLOWS:
6
Section 1.
The Council in the exercise of their sole discretion and in an effort to
7 implement the goals and intents of the adopted budgets for the City and the Agency for Fiscal Year
8 2008-2009 approves this Resolution and directs City staff to act in accordance with the directives as
9 contained herein. Furthermore, this Council seeks the concurrence of and to the extent necessary by
10 the adoption of a corresponding concurrence Resolution by the Commission on behalf of the
11 Agency thus committing the Agency and the Agency Staff to similarly act in accordance with the
12 directives as contained herein and as shall be contained in such concurrence Resolution of the
13 Commission.
14
Section 2.
(a) The Commission is hereby requested to confirm by the adoption of a
15 concurrence Resolution that the City will be reimbursed in a single lump sum payment for all salary
16 and benefit costs, without administrative overhead or other similar charges or fees, for the direct
17 employment costs related to the personnel of the CATV Division from July I, 2008, through and
18 including the last day that the CATV Division remains as a City Division which date shall be
19 February 28, 2009.
20
(b)
Each City employee of the CATV Division transferred to the Agency as an Agency
21 employee with the CATV Division shall have the option to either (i) accept a cash payment directly
22 from the City of all vacation accruals and other City offered benefit accruals, or (ii) to have said
23 dollar value transferred by the City in cash to the Agency for continuation of the same dollar value
24 of vacation accruals and other City offered benefit accruals that may then be offered by the Agency.
25 Consistent with subsection (c) below, the Agency shall accept all such CATV Division employees at
26 the same level of compensation and benefits packages that are not less than those offered by the City
27 and received by such employees immediately prior to the transfer of such CATV Division
28 employees to the Agency. The City hereby commits to remit all checks for the value of vacation
3
P:\Agendas\Resolutions\Reso\utions\200CJ\02.0::'-09 CATV Transfer MeC Reso FI~AL (Con'ndoc
1 accruals and other City offered benefit accruals within five (5) business days after the CATV
2 Division has become an Agency Division and each respective employee has made their election as
3 to options provided in this subsection (b).
4 (c) The Agency shall provide a comparable level of health benefits to the transferred
5 employees as currently offered by the City. The employees shall be enrolled in the Public
6 Employees Retirement System ("PERS") under the Agency's PERS contract, which is three percent
7 (3%) at 60 years of age based on the employee's 12 highest consecutive months of salary for
8 retirement computations with survivor benefits. In addition to the employer's share of the PERS
9 contributions, the Agency shall pay eight percent (8%) of monthly salary for the employee share of
10 the PERS contribution. Employees shall receive a two percent (2%) annual salary increase for cost
11 ofliving allowance.
12 Section 3. From and after July I, 2008, until such time as the Agency has established
13 separate telephones, Internet access and e-mail capabilities for the CATV Division utilizing the
14 Agency systems, the City shall charge the Agency on a quarterly basis for all such direct costs
15 associated with the use of all exiting City telephones, Internet access and e-mail capabilities by the
16 CATV Division, without any administrative overhead or similar charges or fees added thereto. It is
17 the intent that the Agency will within a reasonable period of time after the adoption of this
18 Resolution assume all such administrative, managerial and operational functions for the CATV
19 Division separate and apart from any further dependency upon the City for such services. All
20 telephone numbers will remain as currently assigned to the CATV Division by the City until new
21 telephone hand-sets and new telephone numbers are obtained by the Agency for the continued use
22 by the CATV Division, unless arrangements are made for the continuance of the existing phone
23 numbers for the benefit of the public.
24 Section 4. Attached hereto as Exhibit '"A" is an itemized inventory as prepared by City
25 Staff and the staff of the CATV Division setting forth all physical assets, vehicles (collectively
26 defined above as the "CATV Equipment"), and other intellectual property rights, computer software
27 and licenses (collectively defined herein as the "Other CATV Property Rights") as currently held by
28 the City for the use and benefit of the CATV Division. After such time as the Agency Staff has
4
P .\Agendas\Resolutions\Resolutions''2009\O~-O~-09 CATV Transfer Mee Reso FTl'\AL (Con'I).doc
1 adequately verified the itemized inventory, the City Staff shall prepare such bills of sale and
2 Department of Motor Vehicles ("DMV") documentation as may be required to effectively transfer
3 all such CATV Equipment and the Other CATV Property Rights from the City to the Agency.
4 Section 5. (a) From and after the date that the CATV Equipment and the Other CATV
5 Property Rights have been transferred to the Agency and the CATV Division is no longer a City
6 Division, all revenues generated by the CATV Division from and after July I, 2008, shall be
7 transferred to the Agency in one lump sum payment no later than February 27, 2009. After the date
8 of transfer of the CATV Division to the Agency as an Agency Division, all such revenues shall be
9 remitted directly to the CATV Division for the benefit of the Agency and the City will cooperate
10 fully with the Agency to expedite such transfer of funds to the Agency with all other City
11 Departments and with third parties, as necessary.
12
(b)
The one percent (1%) PEG moneys as received by the City on and after July 1,2008,
13 through and including the date of this Resolution shall be transferred to the Agency for use by the
14 Agency in accordance with federal and State law by February 27, 2009, and thereafter shall be
15 transferred in the manner as provided in Section 5(b) hereof. The City will cooperate fully with the
16 Agency to expedite such transfer to the Agency of the one percent (1 %) PEG moneys with all other
17 City Departments and with third parties, as necessary. Except for the initial payment to be remitted
18 as provided in Section 5(b) hereof, the subsequent payments from the City to the Agency of the one
19 percent (1 %) PEG payments shall be made on a quarterly basis as of each May 15, August 15,
20 November 15 and February 15 of each calendar year for the immediately preceding calendar quarter
21 commencing as of May 15, 2009, together with a reconciliation report illustrating the total dollar
22 amount of the franchise fees as collected and the disbursements of the allocable percentage to the
23 Agency.
24 Section 6. (a) This transfer of the CATV Division from the City to the Agency is further
25 subject to the Agency approving and committing to pay directly or reimburse the City for a financial
26 obligation for the payment to California State University, San Bernardino ("CSUSB"), in the
27 amount of$106,900.
28
5
P_\Agendas\Resolutions\Resolulions'1009\O:::-02-09 CATV Transfer MCC Reso mAL (Con~)doc
1
(b)
The Commission shall agree in the concurrence Resolution to be adopted by the
2 Commission on behalf of the Agency to assume all duties and responsibilities in regards to video
3 service providers and cable television providers administration, renewal, contract negotiations,
4 monitoring, receipt of and resolving consumer complaints, administration of and legal counsel for
5 the Community Television Commission of the City and all other similar functions and
6 responsibilities on behalf of the City as the local governmental entity entitled to receive the five
7 percent (5%) franchise fee from all video service providers within the City. The City shall
8 compensate the Agency in an amount equal to Twenty Thousand Five Hundred Dollars ($20,500)
9 for the 2008-2009 Fiscal Year (the "Agency Administrative Fee") from the total five percent (5%)
10 franchise fee collected in each Fiscal Year by the City. Such payment shall be due and payable to
11 the Agency on July I each year beginning with the current payment from July 1,2008.
12
Section 7.
This Resolution shall take effect in the manner required by the City Charter
13 and shall be non-repealable from and after the date that the CATV Division has become an Agency
14 Division after transfer of the CATV Equipment and the Other CATV Property Rights to the Agency
15 and acceptance thereof by the Agency. City Staff is hereby directed to adhere to all matters as
16 specified in this Resolution and to cooperate fully with Agency Staff in the expeditious transfer of
17 The CATV Division to the Agency and in accordance with the financial and operational terms and
18 conditions as specified in this Resolution. The City Council hereby approves the form of the Asset
19 and Personnel Transfer Agreement (CATV Division) (a copy of which is attached hereto as Exhibit
20 "B" and by this reference made a part hereof) which includes all commitments of the Agency and
21 the City regarding the transfer of the CATV Division to the Agency. The City Manager is hereby
22 authorized and directed to execute said Agreement on behalf of the City.
23 III
24 III
25 III
26
III
27
28
III
6
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1
2
3
4
5
6
RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY
OF SAN BERNARDINO APPROVING THE TRANSFER OF PERSONNEL
AND CERTAIN ASSETS OF THE CITY RELATED TO THE CATV
DIVISION AND THE RESTRUCTURING THEREOF WITHIN THE
REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AND
APPROVING AND AUTHORIZING EXECUTION OF AN ASSET AND
PERSONNEL TRANSFER AGREEMENT
I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Mayor and
7 Common Council of the City of San Bernardino at a
meeting thereof,
8 held on the day of
9 Council Members: Aves
10 ESTRADA
11 BAXTER
12 BRINKER
13 VACANT
14 KELLEY
15 JOHNSON
16 MC CAMMACK
,2009, by the following vote to wit:
Absent
Abstain
Navs
17
18
19
Rachel G. Clark, City Clerk
20 The foregoing Resolution is hereby approved this
day of
,2009.
21
22
23
24
Patrick J. Morris, Mayor
City of San Bernardino
25 Approved as to Form:
26
27
28
-:J.
I James F. Penman, City Attorney
7
P\AgendasIRcsolulions\Resolulions\2009\01-01-09 CATV Transfer MCC Reso FINAL (Con'l) doc
10
11
1
2
3
4
5
6
7
8
9
Exhibit "A"
Inventory of CATV Equipment and
Other CATV Property Rights
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
8
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Area Manufacturer Model Quantity
Control Room Newtek Video Toaster PC w/2 LCD monitors 1
Panasonic BT-S702 Color Monitors 2
Panasonic WV-5380 B&W Monitors 2
JVC CM - 31720 Color Monitors 2
Sharp 13" Color Monitor 1
Radio Shack 13: Color Monitor 1
Sony VO-5850 Umatic VTR 1
Sony VO-5800 Umatic VTR 1
Sony SVO-1250 VHS Recorder 1
Sharp DV-HR300 HOD 1
Optimus 103 VHS Recorder 1
Videotek TSM-60 Waveform Monitor 1
Videotek VSM-60 Vectorscope Monitor 1
Videotek VDA-16 Distribution Amp 1
Videotek ADA-16 Distrobution Amp 1
Videotek PVS-6A Video Switcher 1
Symetrix 402 Digital Delay Unit 1
Numark DM-1650 Audio Mixer 1
ADC Audio Patch Panel w/ patch cables 1
ADC Video Patch Panel w/ patch cables 1
Assorted audio/video cables
Camera Control Ikegami RCU-240 Remote Control Unit 4
TSM MCS-4000 Remote Controller 1
Lighting NSI NCM508 Lighting Controller 1
Signal Distribution Microware Radio 23CX TRX Microwave Transmitter 3
Blonder Tongue Demodulators 3
Standard TVM 550 Demodulators 2
Vbrick Internet Device 1
Kramer AudioMdeo Distribution Amp 2
Presentation Extron IN1508 Scaling Presentation Switcher 1
Extron VSC-500 Scan Converter 1
Extron Distribution Amplifier 1
Extron VTT 4
Extran VTR 6
Council Chamber Ikegami HL-240 3CCD Camera System 3
TSM PanlTilVZoom Servo Head w/ PS 3
TSM Power Supply 1
Panasonic 42" Plasma Panel 2
Hitachi Ceiling Mounted Projector 1
Dell 19" LCD Monitor 1
Cable Plant Time Warner City Hall cable insertion/distribution
09/08/2008 09:09
9093845013
FLEET
PAGE 02/02
DATS, 09/0'/200a
10, 1.143/MVI
PAGE:
EXPANDED VEHICLe tlhTA PRINtoUT
VEHICLEI MAKE SI9.B SBl\mL ~1JMJlER VEHICLE LOCATION VER OW PURCIl1)T J~l.CIl, DIP/PD VALOE INSmE LIe
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U VAN C,\RGo 1.1ON l.T. CABLE TV CllA1J l &996897
06/05/1997 16591
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259
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I
2
3
4
5
6
7
RESOLUTION NO.
RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF
THE CITY OF SAN BERNARDINO CONCURRING WITH MAYOR AND
COMMON COUNCIL RESOLUTION APPROVING THE TRANSFER OF
PERSONNEL AND CERTAIN ASSETS OF THE CITY RELATED TO THE
CATV DIVISION AND THE RESTRUCTURING THEREOF WITHIN THE
REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AND
APPROVING AND AUTHORIZING EXECUTION OF AN ASSET AND
PERSONNEL TRANSFER AGREEMENT
8 WHEREAS, the City of San Bernardino, California (the "City") has operated a local
9 television station since 1988, sometimes commonly referred to as the "CATV Division" through
10 which Channel 3 and other public access channels are made available for purposes of providing
II public access and public programming to the residents of the City through existing facilities of cable
12 television providers within the City; and
13 WHEREAS, the City has acquired certain physical capital assets for purposes of providing
14 the community access to the cable television channels through the CATV Division, including, but
IS not limited to, television cameras, production lights, production and taping equipment, production
16 studios, furniture, other office supplies, office equipment and certain vehicles (collectively, the
17 "CATV Equipment") all in furtherance of the public purposes of providing public information
18 access to the community through the facilities and assets of the CATV Division; and
19 WHEREAS, the City is entitled to receive certain funds pursuant to the Digital Infrastructure
20 and Video Competition Act of 2006 ("DIVCA") as approved by the California Legislature to ensure
21 a viable and steady source of income to local governments such as the City in the form of the five
22 percent (5%) franchise fee presently paid to and collected by the City and to protect public,
23 educational and government programming ("PEG"); and
24 WHEREAS, D1VCA further provides certain protections to PEG activities and confirms the
25 ability of local governmental entities such as the City to collect a five percent (5%) franchise fee
26 related to the use of City public rights-of-way by all video service providers and the right of the City
27 to collect an additional one percent (1%) fee as shall be designated for PEG specific funding
28 purposes;and
I
P:\Agendas\Resolutions\Resolutions\2009\02-02-09 CATV Transfer CDC Reso FII"AL (Con'l\ doc
1 WHEREAS, DIVCA specifies that franchise fee revenues collected in excess of a five
2 percent (5%) franchise fee, such as the one percent (1 %) amount allowed pursuant to DIVCA, shall
3 be used and applied for the support of capital expenditures, equipment and facilities and not for the
4 payment of operating expenses such as salaries, utilities and similar cost items; and
5 WHEREAS, DIVCA also permits local govermnents that operate a PEG facility to establish
6 a fee to support PEG channel facilities and to further seek revenue sources such as advertising,
7 sponsorships and underwriting contributions from private sources in furtherance of the continuation
8 of PEG activities; and
9 WHEREAS, the Mavor and Common Council of the City of San Bernardino (the "Council")
10 have decided to transfer the operational and management responsibilities of the CATV Division
11 operations to the Redevelopment Agency of the City of San Bernardino (the "Agency") pursuant to
12 the annual budget processes of the City and the Agency for Fiscal Year 2008-2009; and
13 WHEREAS, the City is unable to effectively monitor the activities of the existing cable
14 television franchise agreements and the Agency has agreed to undertake such duties and
15 responsibilities on behalf of the City in exchange for an annual payment to the Agency of Twenty
16 Thousand Five Hundred Dollars ($20,500) which shall thereupon be remitted by the City to the
17 Agency; and
18 WHEREAS, the City similarly recogmzes that the one percent (I %) amount allowed
19 pursuant to DIVCA for capital expenditures related to the CATV Division must be transferred to the
20 Agency for purposes as mandated by State and federal law from and after July 1, 2008; and
21 WHEREAS, the City, through the transfer of the CATV Division to the Agency, requires
22 that the Agency commit to a financial obligation for the payment to California State University, San
23 Bernardino ("CSUSB"), in the amount of $1 06,900; and
24 WHEREAS, it is now appropriate for the Community Development Commission of the City
25 of San Bernardino ("Commission") to take certain official actions pursuant to this Resolution in
26 efforts to implement the goals and intents of the adopted City Budget for Fiscal Year 2008-2009,
27 subject to the adoption of this Resolution, and such adoption of the Resolutions of the Council and
28 the Commission shall constitute the binding agreement as between the City and the Agency as to the
2
P\Agendas\Resohnions'.Resolulions\2009\QZ-02-09 CATV Transfer CDC Reso FI~AL (Con'ndoc
1 matters addressed in the Council Resolution of this date authorizing the transactions as
2 contemplated by this Resolution.
3 NOW, THEREFORE, THE COMMUNITY DEVELOPMENT COMMISSION OF THE
4 CITY OF SAN BERNARDINO DOES HEREBY RESOLVE, DETERMINE AND ORDER, AS
5 FOLLOWS:
6
Section 1.
The Commission hereby concurs and accepts all the matters and other
7 performance and financial commitments of the Agency as set forth in Sections I to 7 inclusive of
8 the Council Resolution of this date authorizing the transfer of the CATV Division and further directs
9 Agency Staff to adhere to the commitments and to implement the intent of this Resolution and said
10 Resolution of the Council adopted on this date in furtherance of the transfer of the CATV Division
11 from the City to the Agency and the continued operations and management of the CATV Division
12 by the Agency. The Commission hereby approves the form of the Asset and Personnel Transfer
13 Agreement (CATV Division) as presented to the Commission with the adoption of this Resolution
14 which is intended to include all commitments of the Agency and the City regarding the transfer of
15 the CATV Division to the Agency. The Interim Executive Director is hereby authorized and
16 directed to execute said Agreement on behalf of the Agency.
17
Section 2.
This Resolution shall take effect from and after its date of adoption by this
18 Commission.
19 /1/
20 /1/
21 /1/
22 //1
23 //1
24 /1/
25 /1/
26 //1
27 //1
28 /1/
3
P'v\gcndas\ResoILllions\Resolulions\2009\02-02-09 CATV Transfer CDC Reso FINAL (Con't) doc
1
RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF
THE CITY OF SAN BERNARDINO CONCURRING WITH MAYOR AND
COMMON COUNCIL RESOLUTION APPROVING THE TRANSFER OF
PERSONNEL AND CERTAIN ASSETS OF THE CITY RELATED TO THE
CATV DIVISION AND THE RESTRUCTURING THEREOF WITHIN THE
REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AND
APPROVING AND AUTHORIZING EXECUTION OF AN ASSET AND
PERSONNEL TRANSFER AGREEMENT
2
3
4
5
6
7
I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Community
Development Commission of the City of San Bernardino at a
meeting
8
thereof, held on the day of
9
Commission Members: Aves
10
ESTRADA
11 BAXTER
12 BRINKER
13 VACANT
14 KELLEY
15 JOHNSON
16 MC CAMMACK
17
18
,2009, by the following vote to wit:
Absent
Abstain
Navs
Secretary
19
20
The foregoing Resolution is hereby approved this
day of
,2009.
21
22
23
24
Patrick J. Morris, Chairperson
Community Development Commission
of the City of San Bernardino
25 Approved as to Form:
26
\.~~
Agency 0 sel
By:
27
28
4
P_\Agel1da~\Resoll1tions\Resolulions'2009\02.02-09 CATV Transfer (DC Reso FII'AL (Con'tl.doc
ASSET AND PERSONNEL TRANSFER AGREEMENT
(CATV DIVISION)
This Asset and Personnel Transfer Agreement (CATV Division) (this "Agreement") is dated
as of February 2, 2009 (the "Effective Date"), and is entered into by and between the City of San
Bernardino, a charter city organized and existing pursuant to the Constitution of the State of
California (the "City"), and the Redevelopment Agency of the City of San Bernardino, a body
corporate and politic, being a community redevelopment agency existing pursuant to the Health &
Safety Code of the State of California (the "Agency"), and this Agreement is entered into with
respect to the following facts as set forth in the Recitals:
RECITALS
WHEREAS, the City has operated a local television station since 1988, sometimes
commonly referred to as the "CATV Division" through which Channel 3 and other public access
channels are made available for purposes of providing public access and public programming to the
residents of the City through existing facilities of cable television providers within the City; and
WHEREAS, the City has acquired certain physical capital assets for purposes of providing
the community access to the cable television channels through the CATV Division, including, but
not limited to, television cameras, production lights, production and taping equipment, production
studios, furniture, other office supplies, office equipment and certain vehicles (collectively, the
"CATV Equipment") all in furtherance of the public purposes of providing public information
access to the community through the facilities and assets of the CATV Division; and
WHEREAS, the City is entitled to receive certain funds pursuant to the Digital
Infrastructure and Video Competition Act of 2006 CDIVCA") as approved by the California
Legislature to ensure a viable and steady source of income to local governments such as the City in
the form of the five percent (5%) franchise fee presently paid to and collected by the City and to
protect public, educational and government programming ("PEG"); and
WHEREAS, DIVCA further provides certain protections to PEG activities and confirms the
ability of local governmental entities such as the City to collect a five percent (5%) franchise fee
related to the use of City public rights-of-way by all video service providers and the right of the
City to collect an additional one percent (1 %) fee as shall be designated for PEG specific funding
purposes; and
WHEREAS, DIVCA specifies that franchise fee revenues collected in excess of a five
percent (5%) franchise fee, such as the one percent (1 %) amount allowed pursuant to DIVCA, shall
be used and applied for the support of capital expenditures, equipment and facilities and not for the
payment of operating expenses such as salaries, utilities and similar cost items; and
WHEREAS, DrvCA also permits local governments that operate a PEG facility to establish
a fee to support PEG channel facilities and to further seek revenue sources such as advertising,
sponsorships and underwriting contributions from private sources in furtherance of the continuation
of PEG activities; and
1
P\Agendas\Agenda Attachments\Agenda. Atta~hmenls"'Agenda Anachments\Agrmts-Amend 2009\02-02-09 CATY Asset Transfer Agreernent.doc
WHEREAS, this Mayor and Common Council of the City of San Bernardino ("Council")
have decided to transfer the operational and management responsibilities of the CATV Division
operations to the Agency pursuant to the annual budget processes of the City and the Agency for
Fiscal Year 2008-2009; and
WHEREAS, the City is unable to effectively monitor the activities of the existing cable
television franchise agreements and the Agency has agreed to undertake such duties and
responsibilities on behalf of the City in exchange for an annual payment to the Agency of Twenty
Thousand Five Hundred Dollars ($20,500) which shall thereupon be remitted each July I by the
City to the Agency for which the payment thereof for Fiscal Year 2008-2009 shall be due and
payable by February 27, 2009, by the City to the Agency; and
WHEREAS, the City similarly recognizes that the one percent (1%) amount allowed
pursuant to DIVCA for capital expenditures related to the CATV Division must be transferred to the
Agency for purposes as mandated by State and federal law and shall be transferred to the Agency as
to all such funds collected by the City from and after July I, 2008, as provided in Section 6(b) and
Section 7(b) hereof; and
WHEREAS, the Council has taken certain official actions pursuant to a duly adopted
Resolution dated February 2, 2009, to approve this Agreement in efforts to implement the goals
and intents of the adopted City Budget for Fiscal Year 2008-2009, subject to the concurrence
Resolution dated February 2, 2009, as adopted by the Community Development Commission of
the City of San Bernardino (the "Commission") acting as the governing body of the Agency
additionally approving this Agreement on behalf of the Agency, and this Agreement as approved
by said Resolutions of the Council and the Commission shall constitute the binding agreement as
between the City and the Agency as to the matters addressed in said Resolutions and in this
Agreement.
NOW, THEREFORE, THE CITY OF SAN BERNARDINO, CALIFORNIA, AND THE
REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, DO HEREBY
MUTUALLY AGREE AS FOLLOWS:
Section I. Recitals. The parties acknowledge and agree that the Recitals as set forth
above are. accurate and correct in all respects.
Section 2. Accomplishment of Public Purooses. The parties acknowledge and agree that
this Agreement accomplishes a public purpose to provide for the .transfer of assets and personnel of
the CATV Division from the City to the Agency for the administration and supervision of all
aspects of the CATV Division by the Agency. The Council in the exercise of their sole discretion
and in an effort to implement the goals and intents of the adopted budgets for the City and the
Agency for Fiscal Year 2008-2009 has approved this Agreement and directs City staff to act in
accordance with the directives as contained herein. The approval of this Agreement by the
Commission on behalf of the Agency and this execution of this Agreement by the Agency thus
commits the Agency and the Agency Staff to similarly act in accordance with the directives as
contained herein.
2
P:\Agendas\Agenda Attachmems\Agenda Attachments\Agenda Anachments\A!!rmls--Amcnd 2009\02-02.09 CATV Asset Transfer Agrecmenl.doc
Section 3. CATV Division Emplovees. (a) The Agency hereby agrees to reimburse the
City in a single lump sum payment for all salary and benefit costs, without administrative overhead
or other similar charges or fees, for the direct employment costs related to the personnel of the
CATV Division from July 1, 2008, through and including the last day that the CATV Division
remains as a City Division which date shall be February 28, 2009.
(b) Each City employee of the CATV Division transferred to the Agency as an Agency
employee with the CATV Division shall have the option to either (i) accept a cash payment directly
from the City of all vacation accruals and other City offered benefit accruals, or (ii) to have said
dollar value transferred by the City in cash to the Agency for continuation of the same dollar value
of vacation accruals and other City offered benefit accruals that may then be offered by the Agency.
The Agency shall accept all such CATV Division employees at the same level of compensation and
benefits packages that are not less than those offered by the City and received by such employees
immediately prior to the transfer of such CATV Division employees to the Agency. The City
hereby commits to remit all checks for the value of vacation accruals and other City offered benefit
accruals within five (5) business days after the CATV Division has become an Agency Division and
each respective employee has made their election as to options provided in this subsection (b).
(c) The Agency shall include the employees of the CATV Division as transferred from the
City to the Agency in the Agency PERS retirement and benefit plan as is currently in effect in
accordance with the agreements by and between the Agency and PERS for retirement and other
benefits. The Agency PERS retirement and benefit plan provides benefits that are considered to be
substantially similar, but not identical, with those of the PERS retirement and benefit plan of the
City.
Section 4. Communications Access. From and after July I, 2008, until such time as the
Agency has established separate telephones, Internet access and e-mail capabilities for the CATV
Division utilizing the Agency systems, the City shall charge the Agency on a quarterly basis for all
such direct costs associated with the use of all existing City telephones, Internet access and e-mail
capabilities by the CATV Division, without any administrative overhead or similar charges or fees
added thereto. It is the intent that the Agency will within a reasonable period of time after the
Effective Date of this Agreement assume all such administrative, managerial and operational
functions for the CATV Division separate and apart from any further dependency upon the City for
such services. All telephone numbers will remain as currently assigned to the CATV Division by
the City until new telephone hand-sets and new telephone numbers are obtained by the Agency for
the continued use by the CATV Division, unless arrangements are made for the continuance of the
existing phone numbers for the benefit of the public.
Section 5. Transfer of CATV Equipment. Attached hereto as Exhibit "A" and incorporated
herein by reference is an itemized inventory as prepared by City Staff and the staff of the CATV
Division setting forth all physical assets, vehicles (collectively defined above as the "CATV
Equipment"), and other intellectual property rights, computer software and licenses (collectively
defined herein as the "Other CATV Property Rights") as currently held by the City for the use and
benefit of the CATV Division. After such time as the Agency staff has adequately verified the
itemized inventory, the City Staff shall prepare such bills of sale and Department of Motor Vehicles
("DMV") documentation as may be required to effectively transfer all such CATV Equipment and
the Other CATV Property Rights from the City to the Agency.
3
P \Agendas\Agenda Attachments\Agenda Attachments\Agcnda Anachmenls\Agrmls-Amend 2009\02-02-09 CATV Asset Transfer Agreementdoe
Section 6. Transfer of Revenues and PEG Monevs. (a) From and after the date that the
CATV Equipment and the Other CATV Property Rights have been transferred to the Agency and
the CATV Division is no longer a City Division, all revenues generated by the CATV Division
from and after July I, 2008, shall be transferred to the Agency in one lump sum payment no later
than February 27, 2009. After the date of transfer of the CATV Division to the Agency as an
Agency Division, all such revenues shall be remitted directly to the CATV Division for the benefit
solely of the Agency, and the City will cooperate fully with the Agency to expedite such transfer of
funds to the Agency with all other City Departments and with third parties, as necessary.
(b) The one percent (1 %) PEG moneys as received by the City on and after July I, 2008,
through and including the date of this Resolution shall be transferred to the Agency for use by the
Agency in accordance with federal and State law by February 27, 2009, and thereafter shall be
transferred in the manner as provided in Section 6(b) hereof. The City will cooperate fully with the
Agency to expedite such transfer to the Agency of the one percent (1 %) PEG moneys with all other
City Departments and with third parties, as necessary. Except for the initial payment to be remitted
as provided in Section 6(b) hereof, the subsequent payments from the City to the Agency of the one
percent (1 %) PEG payments shall be made on a quarterly basis as of each May 15, August 15,
November 15 and February 15 of each calendar year for the immediately preceding calendar quarter
commencing as of May 15, 2009, together with a reconciliation report illustrating the total dollar
anlount of the franchise fees as collected and the disbursements of the allocable percentage to the
Agency.
Section 7. Assumption of Duties and other Obligations. (a) This transfer of the CATV
Division from the City to the Agency has been made subject to the Agency approving and
committing to a financial obligation of the City for the payment to California State University, San
Bernardino ("CSUSB"), in the amount of $106,900. Pursuant to the duly adopted Resolution of the
Commission and the approval and execution of this Agreement, the Agency hereby commits to
remit the amount to CSUSB as owed by the City or to reimburse the City if previously paid by the
City.
(b) The Agency hereby agrees to assume all duties and responsibilities in regards to
video service providers and cable television providers administration, renewal, contract
negotiations, monitoring, receipt of and resolving consumer complaints, administration of and legal
counsel for the Community Television Commission of the City and all other similar functions and
responsibilities on behalf of the City as the local governmental entity entitled to receive the five
percent (5%) franchise fee from all video service providers within the City. The City shall
compensate the Agency in an amount equal to Twenty Thousand Five Hundred Dollars ($20,500)
for the 2008-2009 Fiscal Year (the '"Agency Administrative Fee") from the total five percent (5%)
franchise fee collected in each Fiscal Year by the City. Such payment shall be due and payable to
the Agency on July I of each year beginning with the current payment from July I, 2008, being due
and payable by the City to the Agency on or before February 27, 2009.
Section 8. Notices. Formal notices, demands and communications between the City and
the Agency shall be deemed sufficiently given if (i) dispatched registered or certified mail via
United State Postal Service, postage prepaid, return receipt requested, as designated in this Section
8, (ii) by personal delivery, (iii) express delivery service with written verification of delivery, or (iv)
by electronic transmittal including fax transmissions with telephonic verification of receipt. Such
4
P\Agendas\Agenda Anachments'\!I"genda Anachments'Agenda AnachmentsAgrmls-Amend 20Q<l\02_02_o<l CATV Asset Transfer Agreementdox
written notices, demands and communications may be sent in the same manner to such other
addresses as any party may from time to time designate by written notice to the other parties.
Copies of all notices, demands and communications shall be sent as follows:
City:
City of San Bernardino
San Bernardino City Hall
300 North "D" Street, Sixth Floor
San Bernardino, California 92418
Attention: City Manager
Agency:
Redevelopment Agency of the City of San Bernardino
201 North "E" Street, Suite 301
San Bernardino, California 92401
Attention: Executive Director
Notices which are dispatched by registered or certified mail through the United States Postal
Service shall be deemed to be given three (3) business days after deposit with the United States
Postal Service, and notices which are given by personal delivery shall be deemed given upon such
personal deliver. Notices dispatched by express delivery service shall be deemed to have been
given upon receipt by the party receiving such notice and execution of the delivery receipt, and
notices dispatched through electronic transmittals shall be deemed to have given upon telephonic
verification of receipt.
Section 9. Indemnification and Hold Harmless. The City and the Agency hereby agree
to indemnify, defend and hold harmless the other party to this Agreement and each of their officers,
officials and employees from any and all loss, liability, claim, costs, expense or judgment, including
attorney's fees if applicable, that may result from the implementation of this Agreement by each of
the respective parties for their actions and those actions or inactions as may be the direct or indirect
results occasioned by each of the parties. In the event there is any legal challenge filed against one
or both of the parties to this Agreement based upon the approval and execution of this Agreement
by such party, the party named in such action, and each such additional party to this Agreement if
named in a such lawsuit, shall pay their own costs to defend such legal challenge as to their
approval and execution of this Agreement.
Section 10. Term of Agreement. The Effective Date of this Agreement shall commence
as of the date set forth in the introductory paragraph hereof which shall be the date of the final
execution and delivery of this Agreement by all parties. This Agreement shall continue in full force
and effect from and after the Effective Date until amended, modified or terminated by the written
agreement of the parties (the "Term").
Section 10. Entire Agreement of the Parties. This Agreement represents the entire
agreement by and between the City and the Agency with respect to the CATV Division and the
undertaking of the respective duties and responsibilities of the parties affecting the transfer of the
CATV Division, the CATV Equipment and the Other CATV Property Rights from the City to the
Agency and the payments of certain funds by and between the parties as provided in this Agreement
for the CATV Division.
5
P\Agendas\Agenda Anachments'Agenda Anachments\Agenda Anachments\Agrmt5-Amend 2009\02-02-09 CATV Asset Transfer Agreemcnt.doc
Section 11. Governing Law; Invalidity of Any Provision of Agreement Enforcement.
(a) This Agreement shall be governed by the laws of the State of California. If any provision of
this Agreement is determined by a court of competent jurisdiction to be invalid or unenforceable as
between the parties, the remaining provisions shall continue in full force and effect.
(b) This Agreement may be enforced by either party for failure of the other party to comply
with any provision hereof by the filing of an appropriate action or proceeding in the Superior Court
of San Bernardino County, Main Branch in the City of San Bernardino, after notice of default has
been given to the defaulting party and failure of the defaulting party to cure, or commence to cure
and diligently pursue such cure to completion, such alleged breach as shall be set forth in the notice
of default to the defaulting party. Both parties shall bear their own costs in the prosecution and
defense of all remedies at law and in equity to enforce the provisions of this Agreement and to seek
other relief hereunder.
Section 12. Amendments. This Agreement may only be amended, changed, modified or
altered by a writing signed by each of the parties and approved by the Council and the Commission
through their respective official actions in the manner as required by applicable law.
Section 13. Approval and Effective Date of Agreement. This Agreement has been duly
approved and authorized for execution and delivery by the Council on behalf of the City and by the
Commission on behalf of the Agency, and this Agreement has been duly executed and delivered by
the parties hereto. This Agreement may be executed in counterparts and when fully executed by the
parties it shall be effective for all purposes as of the date set forth in the introductory paragraph as
defined and set forth therein as the Effective Date.
/II
1/1
1/1
/II
/II
/II
/II
/II
/II
/II
/II
/II
6
P .'Agendas\Agenda Anachmenls\Agcnda Anachmenl.llAgenda Anachmenls\Agrmu-Amend 2009\02-02-09 CATV Asset Transfer Agreemenldoc
This Agreement has been duly executed by the authorized representatives of the parties
hereto as set forth below, and this Agreement shall be in full force and effect as of the Effective
Date.
CITY
City of San Bernardino
Date:
By:
City Manager
(SEAL)
ATTEST:
By:
City Clerk
Approved as to Form:
.~
AGENCY
Redevelopment Agency of the City of San Bernardino
Date:
By:
Emil A. Marzullo, Interim Executive Director
(SEAL)
ATTEST:
By:
Secretary
Approved as to Form:
By: ~::1~J-
Agency uns
7
?\AgendasIAgenda Anachmem,\Aj;:cnda Anachments\Agenda Anachments\Agrmts-Amend 2009\02-02-09 CATV Asset Transfer AgreemenLdoc
EXHIBIT "A"
Itemized Inventory of
(i) CATV Equipment and
(ii) Other CATV Property Rights
8
P\lI.gcndas'Agcnda Attachment,\Agenda Anachments',Agcnda Attachments\Agrmls-Amend 2009\02-02.09 CATV Asset Transfer Agreemenldoc
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Area Manufacturer Model Quantity
Control Room Newtek Video Toaster PC wi 2 LCD monitors 1
Panasonic BT-S702 Color Monitors 2
Panasonic WV-5380 B&W Monitors 2
JVC CM - 31720 Color Monitors 2
Sharp 13" Color Monitor 1
Radio Shack 13: Color Monitor 1
Sony VO-5850 Umatic VTR 1
Sony VO-5800 Umatic VTR 1
Sony SVO-1250 VHS Recorder 1
Sharp DV-HR300 HOD 1
Optimus 103 VHS Recorder 1
Videotek TSM-60 Waveform Monitor 1
Videotek VSM-60 Vectorscope Monitor 1
Videotek VDA-16 Distribution Amp 1
Videotek ADA-16 Distrobution Amp 1
Videotek PVS-6A Video Switcher 1
Symetrix 402 Digital Delay Unit 1
Numark DM-1650 Audio Mixer 1
ADC Audio Patch Panel wi patch cables 1
ADC Video Patch Panel wi patch cables 1
Assorted audiolvideo cables
Camera Control Ikegami RCU-240 Remote Control Unit 4
TSM MCS-4000 Remote Controller 1
Lighting NSI NCM508 Lighting Controller 1
Signal Distribution Microware Radio 23CX TRX Microwave Transmitter 3
Blonder Tongue Demodulators 3
Standard TVM 550 Demodulators 2
Vbrick Internet Device 1
Kramer AudioNideo Distribution Amp 2
Presentation Extran IN1508 Scaling Presentation Switcher 1
Extron VSC-500 Scan Converter 1
Extron Distribution Amplifier 1
Extron VTT 4
Extran VTR 6
Council Chamber Ikegami HL-240 3CCD Camera System 3
TSM PanfTiltlZoom SelVo Head wi PS 3
TSM Power Supply 1
Panasonic 42" Piasma Panel 2
Hitachi Ceiling Mounted Projector 1
Dell 19" LCD Monitor 1
Cable Plant Time Warner City Hall cable insertlonldistribution
09/BB/2686 69:69
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Agenda nem: 1/:://(/
ASSET AND PERSONNEL TRANSFEIP~GRRRMRNT )~~.[ CUe"-h
(CATV DIVISION) City Clerk/CDC Secre ary
City of San Bernardino
This Asset and Personnel Transfer Agreement (CATV Division) (this
"Agreement") is dated as of January 20, 2009 (the "Effective Date"), and is entered into
by and between the City of San Bernardino, a charter city organized and existing
pursuant to the Constitution of the State of California (the "City"), and the
Redevelopment Agency of the City of San Bernardino, a body corporate and politic,
being a community redevelopment agency existing pursuant to the Health & Safety Code
of the State of California (the "Agency"), and this Agreement is entered into with respect
to the following facts as set forth in the Recitals:
RECITALS
WHEREAS, the City has operated a local television station since 1988,
sometimes commonly referred to as the "CATV Division" through which Channel 3 and
other public access channels are made available for purposes of providing public access
and public programming to the residents of the City through existing facilities of cable
television providers within the City; and
WHEREAS, the City has acquired certain physical capital assets for purposes of
providing the community access to the cable television channels through the CATV
Division, including, but not limited to, television cameras, production lights, production
and taping equipment, production studios, furniture, other office supplies, office
equipment and certain vehicles (collectively, the "CATV Equipment") all in furtherance
of the public purposes of providing public information access to the community through
the facilities and assets of the CATV Division; and
WHEREAS, the City is entitled to receive certain funds pursuant to the Digital
Infrastructure and Video Competition Act of 2006 ("DIVCA") as approved by the
California Legislature to ensure a viable and steady source of income to local
governments such as the City in the form of the five percent (5%) franchise fee presently
paid to and collected by the City and to protect public, educational and government
programming ("PEG"); and
WHEREAS, DrvCA further provides certain protections to PEG activities and
confirms the ability of local governmental entities such as the City to collect a five
percent (5%) franchise fee related to the use of City public rights-of-way by all video
service providers and the right of the City to collect an additional one percent (1 %) fee as
shall be designated for PEG specific funding purposes; and
WHEREAS, DrvCA specifies that franchise fee revenues collected in excess of a
five percent (5%) franchise fee, such as the one percent (1 %) amount allowed pursuant to
Asset Transfer Agreement-l ~ 19-09
1
clbxR +- ~~q
~-d-O-69
DIVCA, shall be used and applied for the support of capital expenditures, equipment and
facilities and not for the payment of operating expenses such as salaries, utilities and
similar cost items; and
WHEREAS, DrvCA also permits local governments that operate a PEG facility
to establish a fee to support PEG channel facilities and to further seek revenue sources
such as advertising, sponsorships and underwriting contributions from private sources in
furtherance of the continuation of PEG activities; and
WHEREAS, this Mayor and Common Council of the City of San Bernardino
("Council") have decided to transfer the operational and management responsibilities of
the CATV Division operations to the Agency pursuant to the annual budget processes of
the City and the Agency for Fiscal Year 2008-2009; and
WHEREAS, the City is unable to effectively monitor the activities of the existing
cable television franchise agreements and the Agency has agreed to undertake such duties
and responsibilities on behalf of the City in exchange for an annual payment to the
Agency of Twenty Thousand Five Hundred Dollars ($20,500) which shall thereupon be
remitted each July 1 by the City to the Agency for which the payment thereof for Fiscal
Year 2008-2009 shall be due and payable by February 27, 2009, by the City to the
Agency; and
WHEREAS, the City similarly recognizes that the one percent (1 %) amount
allowed pursuant to DrvCA for capital expenditures related to the CATV Division must
be transferred to the Agency for purposes as mandated by State and federal law and shall
be transferred to the Agency as to all such funds collected by the City from and after July
1, 2008, as provided in Section 6(b) and Section 7(b) hereof; and
WHEREAS, the Council has taken certain official actions pursuant to a duly
adopted Resolution dated January 20, 2009, to approve this Agreement in efforts to
implement the goals and intents of the adopted City Budget for Fiscal Year 2008-2009,
subject to the concurrence Resolution dated January 20, 2009, as adopted by the
Community Development Commission of the City of San Bernardino (the
"Commission") acting as the governing body of the Agency additionally approving this
Agreement on behalf of the Agency, and this Agreement as approved by said
Resolutions of the Council and the Commission shall constitute the binding agreement
as between the City and the Agency as to the matters addressed in said Resolutions and
in this Agreement.
NOW, THEREFORE, THE CITY OF SAN BERNARDINO, CALIFORNIA,
AND THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO,
DO HEREBY MUTUALLY AGREE AS FOLLOWS:
Section 1. Recitals. The parties acknowledge and agree that the Recitals as
set forth above are accurate and correct in all respects.
Asset Transfer Agreement-I-19-09
2
Section 2. Accomplishment of Public Purposes. The parties acknowledge
and agree that this Agreement accomplishes a public purpose to provide for the transfer
of assets and personnel of the CATV Division from the City to the Agency for the
administration and supervision of all aspects of the CATV Division by the Agency. The
Council in the exercise of their sole discretion and in an effort to implement the goals and
intents of the adopted budgets for the City and the Agency for Fiscal Year 2008-2009 has
approved this Agreement and directs City staff to act in accordance with the directives as
contained herein. The approval of this Agreement by the Commission on behalf of the
Agency and this execution of this Agreement by the Agency thus commits the Agency
and the Agency Staff to similarly act in accordance with the directives as contained
herein.
Section 3. CATV Division Emplovees. (a) The Agency hereby agrees to
reimburse he City in a single lump sum payment for all salary and benefit costs, without
administrative overhead or other similar charges or fees, for the direct employment costs
related to the personnel of the CATV Division from July I, 2008, through and including
the last day that the CATV Division remains as a City Division which date shall be
January 31, 2009.
(b) Each City employee of the CATV Division transferred to the Agency as
an Agency employee with the CATV Division shall have the option to either (i) accept a
cash payment directly from the City of all vacation accruals and other City offered
benefit accruals, or (ii) to have said dollar value transferred by the City in cash to the
Agency for continuation of the same dollar value of vacation accruals and other City
offered benefit accruals that may then be offered by the Agency. The Agency shall
accept all such CATV Division employees at the same level of compensation and
benefits packages that are not less than those offered by the City and received by such
employees immediately prior to the transfer of such CATV Division employees to the
Agency. The City hereby commits to remit all checks for the value of vacation accruals
and other City offered benefit accruals within five (5) business days after the CATV
Division has become an Agency Division and each respective employee has made their
election as to options provided in this subsection (b).
(c) The Agency shall include the employees of the CATV Division as transferred
from the City to the Agency in the Agency PERS retirement and benefit plan as is
currently in effect in accordance with the agreements by and between the Agency and
PERS for retirement and other benefits. The Agency PERS retirement and benefit plan
provides benefits that are considered to be substantially similar, but not identical, with
those of the PERS retirement and benefit plan of the City.
Section 4. Communications Access. From and after July 1,2008, until such time
as the Agency has established separate telephones, Internet access and e-mail capabilities
for the CATV Division utilizing the Agency systems, the City shall charge the Agency on
a quarterly basis for all such direct costs associated with the use of all existing City
telephones, Internet access and e-mail capabilities by the CATV Division, without any
administrative overhead or similar charges or fees added thereto. It is the intent that the
Asset Transfer Agreement-1-19-09
3
Agency will within a reasonable period of time after the Effective Date of this Agreement
assume all such administrative, managerial and operational functions for the CATV
Division separate and apart from any further dependency upon the City for such services.
All telephone numbers will remain as currently assigned to the CATV Division by the
City until new telephone hand-sets and new telephone numbers are obtained by the
Agency for the continued use by the CATV Division, unless arrangements are made for
the continuance of the existing phone numbers for the benefit of the public.
Section 5. Transfer of CATV Equipment. Attached hereto as Exhibit "A" and
incorporated herein by reference is an itemized inventory as prepared by City Staff and
the staff of the CATV Division setting forth all physical assets, vehicles (collectively
defined above as the "CATV Equipment"), and other intellectual property rights,
computer software and licenses (collectively defined herein as the "Other CATV
Property Rights") as currently held by the City for the use and benefit of the CATV
Division. After such time as the Agency staff has adequately verified the itemized
inventory, the City Staff shall prepare such bills of sale and Department of Motor
Vehicles ("DMV") documentation as may be required to effectively transfer all such
CATV Equipment and the Other CATV Property Rights from the City to the Agency.
Section 6. Transfer of Revenues and PEG Moneys. (a) From and after the date
that the CATV Equipment and the Other CATV Property Rights have been transferred to
the Agency and the CATV Division is no longer a City Division, all revenues generated
by the CATV Division from and after July 1, 2008, shall be transferred to the Agency in
one lump sum payment no later than February 27, 2009. After the date oftransfer of the
CATV Division to the Agency as an Agency Division, all such revenues shall be remitted
directly to the CATV Division for the benefit solely of the Agency, and the City will
cooperate fully with the Agency to expedite such transfer of funds to the Agency with all
other City Departments and with third parties, as necessary.
(b) The one percent (I %) PEG moneys as received by the City on and after
July I, 2008, through and including the date of this Resolution shall be transferred to the
Agency for use by the Agency in accordance with federal and State law by February 27,
2009, and thereafter shall be transferred in the manner as provided in Section 7(b) hereof.
The City will cooperate fully with the Agency to expedite such transfer to the Agency of
the one percent (I %) PEG moneys with all other City Departments and with third parties,
as necessary.
Section 7. Assumption of Duties and other Obligations. (a) This transfer of the
CATV Division from the City to the Agency has been made subject to the Agency
approving and committing to a financial obligation of the City for the payment to
California State University, San Bernardino ("CSUSB"), in the amount of $106,900.
Pursuant to the duly adopted Resolution of the Commission and the approval and
execution of this Agreement, the Agency hereby commits to remit the amounts to
CSUSB as owed by the City.
Asset Transfer Agreement~ 1 ~ 19-09
4
(b) The Agency hereby agrees to assume all duties and responsibilities in
regards to video service providers and cable television providers administration, renewal,
contract negotiations, monitoring, receipt of and resolving consumer complaints,
administration of and legal counsel for the Community Television Commission of the
City and all other similar functions and responsibilities on behalf of the City as the local
governmental entity entitled to receive the five percent (5%) franchise fee from all video
service providers within the City. The City shall compensate the Agency in an amount
equal to Twenty Thousand Five Hundred Dollars ($20,500) for the 2008-2009 Fiscal
Year (the "Agency Administrative Fee") from the total five percent (5%) franchise fee
collected in each Fiscal Year by the City. Such payment shall be due and payable to the
Agency on July I of each year beginning with the current payment from July I, 2008,
being due and payable by the City to the Agency on or before February 27,2009. Except
for the initial payment to be remitted as provided in Section 6(b) above, the subsequent
payments from the City to the Agency of the one percent (I %) PEG payments shall be
made on a quarterly basis as of each May 15, August 15, November 15 and February 15
of each calendar year for the immediately preceding calendar quarter commencing as of
May 15,2009, together with a reconciliation report illustrating the total dollar amount of
the franchise fees as collected and the disbursements of the allocable percentage to the
Agency.
Section 8. Notices. Formal notices, demands and communications between
the City and the Agency shall be deemed sufficiently given if (i) dispatched registered or
certified mail via United State Postal Service, postage prepaid, return receipt requested,
as designated in this Section 8, (ii) by personal delivery, (iii) express delivery service
with written verification of delivery, or (iv) by electronic transmittal including fax
transmissions with telephonic verification of receipt. Such written notices, demands and
communications may be sent in the same manner to such other addresses as any party
may from time to time designate by written notice to the other parties.
Copies of all notices, demands and communications shall be sent as follows:
City:
City of San Bernardino
San Bernardino Hall
300 North "D" Street, Sixth Floor
San Bernardino, California 92418
Attention: City Manager
Agency:
Redevelopment Agency of the City
of San Bernardino
201 North "E" Street, Third Floor
San Bernardino, California 92401
Attention: Executive Director
Notices which are dispatched by registered or certified mail through the United
States Postal Service shall be deemed to be given three (3) business days after deposit
with the United States Postal Service, and notices which are given by personal delivery
Asset Transfer Agreement~ 1-19-09
5
shall be deemed given upon such personal deliver. Notices dispatched by express
delivery service shall be deemed to have been given upon receipt by the party receiving
such notice and execution of the delivery receipt, and notices dispatched through
electronic transmittals shall be deemed to have given upon telephonic verification of
receipt.
Section 9. Indemnification and Hold Harmless. The City and the Agency
hereby agree to indemnify, defend and hold harmless the other party to this Agreement
and each of their officers, officials and employees from any and all loss, liability, claim,
costs, expense or judgment, including attorney's fees if applicable, that may result from
the implementation of this Agreement by each of the respective parties for their actions
and those actions or inactions as may be the direct or indirect results occasioned by each
of the parties. In the event there is any legal challenge filed against one or both of the
parties to this Agreement based upon the approval and execution of this Agreement by
such party, the party named in such action, and each such additional party to this
Agreement if named in a such lawsuit, shall pay their own costs to defend such legal
challenge as to their approval and execution of this Agreement.
Section 10. Term of Agreement. The Effective Date of this Agreement shall
commence as of the date set forth in the introductory paragraph hereof which shall be the
date of the final execution and delivery of this Agreement by all parties. This Agreement
shall continue in full force and effect from and after the Effective Date until amended,
modified or terminated by the written agreement of the parties (the "Term").
Section 10. Entire Agreement of the Parties. This Agreement represents the
entire agreement by and between the City and the Agency with respect to the CATV
Division and the undertaking of the respective duties and responsibilities of the parties
affecting the transfer of the CATV Division, the CATV Equipment and the Other CATV
Property Rights from the City to the Agency and the payments of certain funds by and
between the parties as provided in this Agreement for the CATV Division.
Section 11. Governing Law; Invaliditv of Anv Provision of Agreement;
Enforcement. (a) This Agreement shall be governed by the laws of the State of
California. If any provision of this Agreement is determined by a court of competent
jurisdiction to be invalid or unenforceable as between the parties, the remaining
provisions shall continue in full force and effect.
(b) This Agreement may be enforced by either party for failure of the other party
to comply with any provision hereof by the filing of an appropriate action or proceeding
in the Superior Court of San Bernardino County, Main Branch in the City of San
Bernardino, after notice of default has been given to the defaulting party and failure of
the defaulting party to cure, or commence to cure and diligently pursue such cure to
completion, such alleged breach as shall be set forth in the notice of default to the
defaulting party. Both parties shall bear their own costs in the prosecution and defense of
all remedies at law and in equity to enforce the provisions of this Agreement and to seek
other relief hereunder.
Asset Transfer Agreement-l-] 9-09
6
Section 12. Amendments. This Agreement may only be amended, changed,
modified or altered by a writing signed by each of the parties and approved by the
Council and the Commission through their respective official actions in the manner as
required by applicable law.
Section 13. Approval and Effective Date of Agreement. This Agreement has
been duly approved and authorized for execution and delivery by the Council on behalf
of the City and by the Commission on behalf of the Agency, and this Agreement has been
duly executed and delivered by the parties hereto. This Agreement may be executed in
counterparts and when fully executed by the parties it shall be effective for all purposes
as of the date set forth in the introductory paragraph as defined and set forth therein as the
Effective Date.
Asset Transfer Agreement-l-l 9-09
7
This Agreement has been duly executed by the authorized representatives of the
parties hereto as set forth below, and this Agreement shall be in full force and effect as of
the Effective Date.
CITY
City of San Bernardino
Date:
By:
City Manager
(SEAL)
ATTEST:
By:
City Clerk
Approved as to Form:
By:
City Attorney
Asset Transfer Agreement-1-19-09
8
AGENCY
Redevelopment Agency of the
City of San Bernardino
Date:
By:
Interim Executive Director
(SEAL)
ATTEST:
By:
Secretary
Approved as to Form:
By:
Agency Counsel
Asset Transfer Agreement-I-19-09
9
Asset Transfer Agreement-1-19-09
EXHIBIT "A"
Itemized Inventory of
(i) CATV Equipment and
(ii) Other CATV Property Rights
10
1
2
3
4
5
6 WHEREAS, the City of San Bernardino, California (the "City"), has operated a local
RESOLUTION NO.
RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY
OF SAN BERNARDINO APPROVING THE TRANSFER OF PERSONNEL
AND CERTAIN ASSETS OF THE CITY RELATED TO THE CATV
DIVISION AND THE RESTRUCTURING THEREOF WITHIN THE
REDEVELPMENT AGENCY OF THE CITY OF SAN BERNARDINO
7 television station since 1988, sometimes commonly referred to as the "CATV Division" through
8 which Channel 3 and other public access channels are made available for purposes of providing
9 public access and public programming to the residents of the City through existing facilities of cable
10 television providers within the City; and
11 WHEREAS, the City has acquired certain physical capital assets for purposes of providing
12 the community access to the cable television channels through the CATV Division, including, but
13 not limited to, television cameras, production lights, production and taping equipment, production
14 studios, furniture, other office supplies, office equipment and certain vehicles (collectively, the
15 "CATV Equipment") all in furtherance of the public purposes of providing public information
16 access to the community through the facilities and assets of the CATV Division; and
17 WHEREAS, the City is entitled to receive certain funds pursuant to the Digital Infrastructure
18 and Video Competition Act of 2006 ("DIVCA") as approved by the California Legislature to ensure
19 a viable and steady source of income to local governments such as the City in the form of the five
20 percent (5%) franchise fee presently paid to and collected by the City and to protect public,
21 educational and government programming ("PEG"); and
22 WHEREAS, DIVCA further provides certain protections to PEG activities and confirms the
23 ability of local governmental entities such as the City to collect a five percent (5%) franchise fee
24 related to the use of City public rights-of-way by all video service providers and the right of the City
25 to collect an additional one percent (1 %) fee as shall be designated for PEG specific funding
26 purposes;and
27 WHEREAS, DIVCA specifies that franchise fee revenues collected in excess of a five
28 percent (5%) franchise fee, such as the one percent (1 %) amount allowed pursuant to DIVCA, shall
1
~t=tJ. 31
I-ao I
P:\Agendas\Resolutions\Resolutions\2009\Ol-20-09 CATV Transfer MCC Reso FINAL,doc
1 be used and applied for the support of capital expenditures, equipment and facilities and not for the
2 payment of operating expenses such as salaries, utilities and similar cost items; and
3 WHEREAS, DIVCA also permits local governments that operate a PEG facility to establish
4 a fee to support PEG charmel facilities and to further seek revenue sources such as advertising,
5 sponsorships and underwriting contributions from private sources in furtherance of the continuation
6 of PEG activities; and
7 WHEREAS, this Mayor and Common Council of the City of San Bernardino ("Council")
8 have decided to transfer the operational and management responsibilities of the CATV Division
9 operations to the Redevelopment Agency of the City of San Bernardino (the "Agency") pursuant to
10 the armual budget processes of the City and the Agency for Fiscal Year 2008-2009; and
11 WHEREAS, the City is unable to effectively monitor the activities of the existing cable
12 television franchise agreements and the Agency has agreed to undertake such duties and
13 responsibilities on behalf of the City in exchange for an armual payment to the Agency of Twenty
14 Thousand Five Hundred Dollars ($20,500) which shall thereupon be remitted each July I by the
15 City to the Agency for which the payment thereof for Fiscal Year 2008-2009 shall be due and
16 payable by February 27,2009, by the City to the Agency; and
17 WHEREAS, the City similarly recognizes that the one percent (1%) amount allowed
18 pursuant to DIVCA for capital expenditures related to the CATV Division must be transferred to the
19 Agency for purposes as mandated by State and federal law and shall be transferred to the Agency as
20 to all such funds collected by the City from and after July 1, 2008, as provided in Section 5(b) and
21 Section 6(b) hereof; and
22 WHEREAS, it is now appropriate for this Council to take certain official actions pursuant
23 to this Resolution in efforts to implement the goals and intents of the adopted City Budget for
24 Fiscal Year 2008-2009, subject to a concurrence Resolution as may be adopted by the Community
25 Development Commission of the City of San Bernardino (the "Commission") acting as the
26 governing body of the Agency, and such adoption of Resolutions of the Council and the
27 Commission shall constitute the binding agreement as between the City and the Agency as to the
28 matters addressed in this Resolution.
2
P:\Agendas\Resolutions\Resolutions\2009\OI-20-09 CATV Transfer MeC Reso FINAL,doc
1 NOW, THEREFORE, IT IS HEREBY RESOLVED, DETERMINED AND ORDERED BY
2 THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO, AS
3 FOLLOWS:
4 Section 1. The Council in the exercIse of their sole discretion and in an effort to
5 implement the goals and intents of the adopted budgets for the City and the Agency for Fiscal Year
6 2008-2009 approves this Resolution and directs City staff to act in accordance with the directives as
7 contained herein. Furthermore, this Council seeks the concurrence of and to the extent necessary by
8 the adoption of a corresponding concurrence Resolution by the Commission on behalf of the
9 Agency thus committing the Agency and the Agency Staff to similarly act in accordance with the
10 directives as contained herein and as shall be contained in such concurrence Resolution of the
11 Commission.
12 Section 2. (a) The Commission is hereby requested to confirm by the adoption of a
I3 concurrence Resolution that the City will be reimbursed in a single lump sum payment for all salary
14 and benefit costs, without administrative overhead or other similar charges or fees, for the direct
15 employment costs related to the personnel of the CATV Division from July I, 2008, through and
16 including the last day that the CATV Division remains as a City Division which date shall be
17 January 3 1,2009.
18 (b) Each City employee of the CATV Division transferred to the Agency as an Agency
19 employee with the CATV Division shall have the option to either (i) accept a cash payment directly
20 from the City of all vacation accruals and other City offered benefit accruals, or (ii) to have said
21 dollar value transferred by the City in cash to the Agency for continuation of the same dollar value
22 of vacation accruals and other City offered benefit accruals that may then be offered by the Agency.
23 Consistent with subsection (c) below, the Agency shall accept all such CATV Division employees at
24 the same level of compensation and benefits packages that are not less than those offered by the City
25 and received by such employees immediately prior to the transfer of such CATV Division
26 employees to the Agency. The City hereby commits to remit all checks for the value of vacation
27 accruals and other City offered benefit accruals within five (5) business days after the CATV
28
P\Agendas\Resoll.llions\Resolutions\2009\Ol_20_09 CATV Transfer MeC Reso FINAL doc
3
1 Division has become an Agency Division and each respective employee has made their election as
2 to options provided in this subsection (b).
3 (c) The Agency shall provide a comparable level of health benefits to the transferred
4 employees as currently offered by the City. The employees shall be enrolled in the Public
5 Employees Retirement System ("PERS") under the Agency's PERS contract, which is three percent
6 (3%) at 60 years of age based on the employee's 12 highest consecutive months of salary for
7 retirement computations with survivor benefits. In addition to the employer's share of the PERS
8 contributions, the Agency shall pay eight percent (8%) of monthly salary for the employee share of
9 the PERS contribution. Employees shall receive a two percent (2%) annual salary increase for cost
10 of living allowance.
11 Section 3. From and after July I, 2008, until such time as the Agency has established
12 separate telephones, Internet access and e-mail capabilities for the CATV Division utilizing the
13 Agency systems, the City shall charge the Agency on a quarterly basis for all such direct costs
14 associated with the use of all exiting City telephones, Internet access and e-mail capabilities by the
15 CATV Division, without any administrative overhead or similar charges or fees added thereto. It is
16 the intent that the Agency will within a reasonable period of time after the adoption of this
17 Resolution assume all such administrative, managerial and operational functions for the CATV
18 Division separate and apart from any further dependency upon the City for such services. All
19 telephone numbers will remain as currently assigned to the CATV Division by the City until new
20 telephone hand-sets and new telephone numbers are obtained by the Agency for the continued use
21 by the CATV Division, unless arrangements are made for the continuance of the existing phone
22 numbers for the benefit of the public.
23 Section 4. Attached hereto as Exhibit "A" is an itemized inventory as prepared by City
24 Staff and the staff of the CATV Division setting forth all physical assets, vehicles (collectively
25 defined above as the "CATV Equipment"), and other intellectual property rights, computer software
26 and licenses (collectively defined herein as the "Other CATV Property Rights") as currently held by
27 the City for the use and benefit of the CATV Division. After such time as the Agency Staff has
28 adequately verified the itemized inventory, the City Staff shall prepare such bills of sale and
P:lAgendas\Resolutions\ResoJutions\2009\Ol-20-09 CATV Transfer MeC Reso FmALdoc
4
1 Department of Motor Vehicles ("DMV") documentation as may be required to effectively transfer
2 all such CATV Equipment and the Other CATV Property Rights from the City to the Agency.
3 Section 5. (a) From and after the date that the CATV Equipment and the Other CATV
4 Property Rights have been transferred to the Agency and the CATV Division is no longer a City
5 Division, all revenues generated by The CATV Division from and after July I, 2008, shall be
6 transferred to the Agency in one lump sum payment no later than February 27, 2009. After the date
7 of transfer of the CATV Division to the Agency as an Agency Division, all such revenues shall be
8 remitted directly to the CATV Division for the benefit of the Agency and the City will cooperate
9 fully with the Agency to expedite such transfer of funds to the Agency with all other City
10 Departments and with third parties, as necessary.
11 (b) The one percent (1%) PEG moneys as received by the City on and after July 1,2008,
12 through and including the date of this Resolution shall be transferred to the Agency for use by the
13 Agency in accordance with federal and State law by February 27, 2009, and thereafter shall be
14 transferred in the manner as provided in Section 6(b). The City will cooperate fully with the
15 Agency to expedite such transfer to the Agency of the one percent (I %) PEG moneys with all other
16 City Departments and with third parties, as necessary.
17 Section 6. (a) This transfer of the CATV Division from the City to the Agency is further
18 subject to the Agency approving and committing to a financial obligation for the payment to
19 California State University, San Bernardino ("CSUSB"), in the amount of$106,900.
20 (b) The Commission shall agree in the concurrence Resolution to be adopted by the
21 Commission on behalf of the Agency to assume all duties and responsibilities in regards to video
22 service providers and cable television providers administration, renewal, contract negotiations,
23 monitoring, receipt of and resolving consumer complaints, administration of and legal counsel for
24 the Cable Commission of the City and all other similar functions and responsibilities on behalf of
25 the City as the local governmental entity entitled to receive the five percent (5%) franchise fee from
26 all video service providers within the City. The City shall compensate the Agency in an amount
27 equal to Twenty Thousand Five Hundred Dollars ($20,500) for the 2008-2009 Fiscal Year (the
28 "Agency Administrative Fee") from the total five percent (5%) franchise fee collected in each Fiscal
P:\AgendasIResolutiollslResolutions\2009\OI_20-09 CATV Transfer MCC Reso FINAL doc
5
1 Year by the City. Such payment shall be due and payable to the Agency on July I each year
2 beginning with the current payment from July I, 2008. Except for the initial payment to be remitted
3 as provided in Section 5(b) above, the subsequent payments from the City to the Agency of the one
4 percent (1 %) PEG payments shall be made on a quarterly basis as of each May 15, August 15,
5 November 15 and February 15 of each calendar year for the immediately preceding calendar quarter
6 commencing as of May 15, 2009, together with a reconciliation report illustrating the total dollar
7 amount of the franchise fees as collected and the disbursements of the allocable percentage to the
8 Agency.
9 Section 7. This Resolution shall take effect in the manner required by the City Charter
10 and shall be non-repealable from and after the date that the CATV Division has become an Agency
11 Division after transfer of the CATV Equipment and the Other CATV Property Rights to the Agency
12 and acceptance thereof by the Agency. City Staff is hereby directed to adhere to all matters as
13 specified in this Resolution and to cooperate fully with Agency Staff in the expeditious transfer of
14 The CATV Division to the Agency and in accordance with the financial and operational terms and
15 conditions as specified in this Resolution. The Council hereby approves the form of the Asset and
16 Personnel Transfer Agreement (CATV Division) as presented to the Council with the adoption of
17 this Resolution which is intended to include all commitments of the Agency and the City regarding
18 the transfer of the CATV Division to the Agency. The City Manager is hereby authorized and
19 directed to execute said Agreement on behalf of the City.
20 / / /
21 / / /
22 / / /
23 II /
24 II /
25 / II
26 / II
27 / / /
28 / / /
6
P:\AgendasIResolutions\Resolutions\2009\01-20-09 CATV Transfer MeC Reso FINAL,doc
1
2
3
4
RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY
OF SAN BERNARDINO APPROVING THE TRANSFER OF PERSONNEL
AND CERTAIN ASSETS OF THE CITY RELATED TO THE CATV
DIVISION AND THE RESTRUCTURING THEREOF WITHIN THE
REDEVELPMENT AGENCY OF THE CITY OF SAN BERNARDINO
5
I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Mayor and
Common Council of the City of San Bernardino at a
meeting thereof,
6
held on the day of
7
Council Members: Aves
8
ESTRADA
9
BAXTER
10 BRINKER
11 VACANT
12 KELLEY
13 JOHNSON
14 MC CAMMACK
15
16
17
,2009, by the following vote to wit:
Navs
Abstain
Absent
Rachel G. Clark, City Clerk
18
The foregoing Resolution is hereby approved this
day of
,2009.
19
20
21
22
Patrick J. Morris, Mayor
City of San Bernardino
23
Approved as to Form:
24
25 By:
26 James F. Penman, City Attorney
27
28
P:\AgendasIResolutionslResolutions\1009\OI_20_09 CATV Transfer MCC Reso FINAL doc
7
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
Exhibit "A"
Inventory of CATV Equipment and
Other CATV Property Rights
22
23
24
25
26
27
28
8
P:lAgendaslResolutions\Resolutions\2009\Ol-20-09 CATV Transfer MCC Reso FINAL,doc
1
RESOLUTION NO.
2
3
4
5
6
RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF
THE CITY OF SAN BERNARDINO CONCURRING WITH MAYOR AND
COMMON COUNCIL RESOLUTION APPROVING THE TRANSFER OF
PERSONNEL AND CERTAIN ASSETS OF THE CITY RELATED TO THE
CATV DIVISION AND THE RESTRUCTURING THEREOF WITIDN THE
REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO
7
WHEREAS, the City of San Bernardino, California (the "City") has operated a local
8 television station since 1988, sometimes commonly referred to as the "CATV Division" through
9 which Channel 3 and other public access channels are made available for purposes of providing
10 public access and public programming to the residents of the City through existing facilities of cable
11 television providers within the City; and
12
WHEREAS, the City has acquired certain physical capital assets for purposes of providing
13 the community access to the cable television channels through the CATV Division, including, but
14 not limited to, television cameras, production lights, production and taping equipment, production
15 studios, furniture, other office supplies, office equipment and certain vehicles (collectively, the
16 "CATV Equipment") all in furtherance of the public purposes of providing public information
17 access to the community through the facilities and assets of the CATV Division; and
18
WHEREAS, the City is entitled to receive certain funds pursuant to the Digital Infrastructure
19 and Video Competition Act of 2006 ("DIVCA") as approved by the California Legislature to ensure
20 a viable and steady source of income to local governments such as the City in the form of the five
21 percent (5%) franchise fee presently paid to and collected by the City and to protect public,
22 educational and government programming ("PEG"); and
23
WHEREAS, DIVCA further provides certain protections to PEG activities and confirms the
24 ability of local governmental entities such as the City to collect a five percent (5%) franchise fee
25 related to the use of City public rights-of-way by all video service providers and the right of the City
26 to collect an additional one percent (1 %) fee as shall be designated for PEG specific funding
27 purposes; and
28
I
~(Y\~\2~Cj
l-dD-oC]
P:lAgenrlas\Resolutions\Resolutionsl2009\Ol-20-09 CATV Transfer CDC Reso FINAL.doc
1 WHEREAS, DIVCA specifies that franchise fee revenues collected in excess of a five
2 percent (5%) franchise fee, such as the one percent (1 %) amount allowed pursuant to DIVCA, shall
3 be used and applied for the support of capital expenditures, equipment and facilities and not for the
4 payment of operating expenses such as salaries, utilities and similar cost items; and
5 WHEREAS, DrvCA also permits local governments that operate a PEG facility to establish
6 a fee to support PEG channel facilities and to further seek revenue sources such as advertising,
7 sponsorships and underwriting contributions from private sources in furtherance of the continuation
8 of PEG activities; and
9 WHEREAS, the Mayor and Common Council of the City of San Bernardino (the "Council")
10 have decided to transfer the operational and management responsibilities of the CATV Division
11 operations to the Redevelopment Agency of the City of San Bernardino (the "Agency") pursuant to
12 the annual budget processes of the City and the Agency for Fiscal Year 2008-2009; and
13 WHEREAS, the City is unable to effectively monitor the activities of the existing cable
14 television franchise agreements and the Agency has agreed to undertake such duties and
15 responsibilities on behalf of the City in exchange for an annual payment to the Agency of Twenty
16 Thousand Five Hundred Dollars ($20,500) which shall thereupon be remitted by the City to the
17 Agency; and
18 WHEREAS, the City similarly recognizes that the one percent (1%) amount allowed
19 pursuant to DIVCA for capital expenditures related to the CATV Division must be transferred to the
20 Agency for purposes as mandated by State and federal law from and after July 1,2008; and
21 WHEREAS, the City, through the transfer of the CATV Division to the Agency, requires
22 that the Agency commit to a financial obligation for the payment to California State University, San
23 Bernardino ("CSUSB"), in the amount of$106,900; and
24 WHEREAS, it is now appropriate for the Community Development Commission of the City
25 of San Bernardino ("Commission") to take certain official actions pursuant to this Resolution in
26 efforts to implement the goals and intents of the adopted City Budget for Fiscal Year 2008-2009,
27 subject to the adoption of this Resolution, and such adoption of the Resolutions of the Council and
28 the Commission shall constitute the binding agreement as between the City and the Agency as to the
P:\Agendas\Resolutions\Resolutions\2009\OI_20_09 CATV Transfer CDC Reso FINAL. doc
2
1 matters addressed in the COlll1cil Resolution of this date authorizing the transactions as
2 contemplated by this Resolution.
3 NOW, THEREFORE, THE COMMUNITY DEVELOPMENT COMMISSION OF THE
4 CITY OF SAN BERNARDINO DOES HEREBY RESOLVE, DETERMINE AND ORDER, AS
5 FOLLOWS:
6 Section 1. The Commission hereby concurs and accepts all the matters and other
7 performance and financial commitments of the Agency as set forth in Sections I to 7 inclusive of
8 the Council Resolution of this date authorizing the transfer of the CATV Division and further directs
9 Agency Staff to adhere to the commitments and to implement the intent of this Resolution and said
10 Resolution of the Council adopted on this date in furtherance of the transfer of the CATV Division
11 from the City to the Agency and the continued operations and management of the CATV Division
12 by the Agency. The Commission hereby approves the form of the Asset and Personnel Transfer
13 Agreement (CATV Division) as presented to the Commission with the adoption of this Resolution
14 which is intended to include all commitments of the Agency and the City regarding the transfer of
15 the CATV Division to the Agency. The Interim Executive Director is hereby authorized and
16 directed to execute said Agreement on behalf of the Agency.
17 Section 2. This Resolution shall take effect from and after its date of adoption by this
18 Commission.
19 III
20 III
21 III
22 III
23 III
24 III
25 III
26 III
27 III
28 III
3
P:\Agendas\Resolutions\Resolutions\2009\01_20_09 CATV Transfer CDC Reso FINAL doc
1
2
3
4
5
RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF
THE CITY OF SAN BERNARDINO CONCURRING WITH MAYOR AND
COMMON COUNCIL RESOLUTION APPROVING THE TRANSFER OF
PERSONNEL AND CERTAIN ASSETS OF THE CITY RELATED TO THE
CATV DIVISION AND THE RESTRUCTURING THEREOF WITHIN THE
REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO
I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Community
6
Development Commission of the City of San Bernardino at a
, 2009, by the following vote to wit:
meeting
7 thereof, held on the day of
8 Commission Members: Aves
9 ESTRADA
10 BAXTER
11 BRINKER
12 VACANT
13 KELLEY
14 JOHNSON
15 MC CAMMACK
16
17
Abstain
Absent
Navs
Secretary
18
19
The foregoing Resolution is hereby approved this
day of
,2009.
20
21
22
Patrick J. Morris, Chairperson
Community Development Commission
of the City of San Bernardino
23 Approved as to Form:
24 JvtJ..-
25 By: 'v;:~4--;~~ V"
26
27
28
4
P:\AgelldaslResolutionslResolutions\2009\Ol-20-09 CATV Transfer CDC Reso FINAL,doc
v
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
Exhibit "A"
Inventory of CATV Equipment and
Other CATV Property Rights
P\AgendasIResolutionslResoIUlions\2009\O] -20-09 CATV Transfer MeC Reso FTh'ALdoc
8
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Area Manufacturer Model Quantity
Control Room Newtek Video Toaster PC w/2 LCD monitors 1
Panasonic BT-S702 Color Monitors 2
Panasonic WV-5380 B&W Monitors 2
JVC CM - 31720 Color Monitors 2
Sharp 13" Color Monitor 1
Radio Shack 13: Color Monitor 1
Sony VO-5850 Umatic VTR 1
Sony VO-5800 Umatic VTR 1
Sony SVO-1250 VHS Recorder 1
Sharp DV-HR300 HOD 1
Optimus 103 VHS Recorder 1
Videotek TSM-60 Waveform Monitor 1
Videotek VSM-60 Vectorscope Monitor 1
Videotek VDA-16 Distribution Amp 1
Videotek ADA-16 Distrobution Amp 1
Videotek PVS-6A Video Switcher 1
Symetrix 402 Digital Delay Unit 1
Numark DM-1650 Audio Mixer 1
ADC Audio Patch Panei w/ patch cables 1
ADC Video Patch Panel w/ patch cables 1
Assorted audio/video cables
Camera Control Ikegami RCU-240 Remote Control Unit 4
TSM MCS-4000 Remote Controller 1
Lighting NSI NCM508 Lighting Controller 1
Signal Distribution Microware Radio 23CX TRX Microwave Transmitter 3
Blonder Tongue Demodulators 3
Standard TVM 550 Demodulators 2
Vb rick I nternet Device 1
Kramer AudioNideo Distribution Amp 2
Presentation Extron IN 1508 Scaling Presentation Switcher 1
Extran VSC-500 Scan Converter 1
Extron Distribution Amplifier 1
Extron VTT 4
Extran VTR 6
Council Chamber Ikegami HL-240 3CCD Camera System 3
TSM PanlTiltlZoom Servo Head w/ PS 3
TSM Power Supply 1
Panasonic 42" Plasma Panel 2
Hitachi Ceiling Mounted Projector 1
Dell 19" LCD Monitor 1
Cable Plant Time Warner City Hall cable insertion/distribution
09/08/2008 09:09
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VEHICLE# M-'J<E SUB 3ERI~1litJMllER VEHICLE LOCATION
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08/05/).997
09/08/1557
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PAGE 02/02
PAGE,
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