Title
City Council Resolution Supporting House Bill 5047 to Ensure Communities Receive 2% Public, Education, and Government Franchise Fees
Body
Whereas, The City of Ann Arbor urges legislators to pass House Bill 5047;
Whereas, In 2006, the governor signed legislation to create a uniform video franchising law (PA 480 of 2006);
Whereas, In negotiations on Act 480, lawmakers promised that local units of government would receive 2 percent of gross video revenues specifically for public, education and government (PEG) channels in addition to the 5-percent franchise fee;
Whereas, As current cable franchise agreements have expired, some cable companies are not paying the 2-percent PEG fee even though the Michigan Legislature specifically intended for municipalities to receive this money to operate an important community resource;
Whereas, Failure to pay the 2-percent fee violates the agreement reached in negotiations on PA 480;
Whereas, House Bill 5047 will make sure that all municipalities have the option of getting a 2-percent fee to support their government, school and public channels when their current cable franchises expire; and
Whereas, House Bill 5047 corrects this issue and protects PEG funding;
RESOLVED, That the City Council hereby supports passage of House Bill 5047 to protect PEG funding; and
RESOLVED, That the City Council hereby urges members of the Michigan Congressional delegation to pass House Bill 5047 before Thanksgiving so there will be time for the Senate to act on it before this session ends.
Staff
Prepared by: Lisa Wondrash, Communications Unit Manager
Submitted by: Councilmembers Marcia Higgins and Sandi Smith