Title
Resolution to Approve Renewal of Uniform Video Service Local Franchise Agreement with Michigan Bell Telephone Company, d/b/a AT&T Michigan
Memo
Attached for your review and approval is a resolution to approve a renewal of the Uniform Video Service Local Franchise Agreement with Michigan Bell Telephone Company, d/b/a AT&T Michigan ("AT&T") that City Council approved on April 16, 2007. The Agreement is in a form mandated by the Michigan Public Service Commission by an Order dated January 30, 2007, issued pursuant to the Uniform Video Service Local Franchise Act, 2006 Public Act 480 (MCL 484.3301 et seq.) ("Act"). The renewal is for a ten year term.
Although AT&T's existing franchise agreement does not expire until April 2017, on August 26, 2016, AT&T applied for this renewal of its franchise agreement using the application form mandated by the Michigan Public Service Commission. That application is essentially just the Agreement with AT&T's pertinent information filled in. The service area within Ann Arbor is provided as confidential information, as authorized by the Act.
AT&T proposes to continue to provide its AT&T U-verse TV service.
In accordance with the Act, the amount of the franchise fees that AT&T will pay to the City is the same as what Comcast, the incumbent provider in Ann Arbor, currently pays, which is 5% of gross revenues. The amount of the PEG (Public, Educational and Government channels) fees that AT&T will pay to the City is the same as what Comcast currently pays, which is 2% of gross revenues. Pursuant to the Act, AT&T is not required to provide any other compensation or in-kind services to the City.
As required by the Act, AT&T will reserve capacity for all 4 of the City's PEG channels. However, AT&T is not required to carry any of the PEG content until the City makes a request. At that time, AT&T will have 90 days to provide the PEG channels to its customers. The Act requires the City to bear the cost of connecting its PEG feed to...
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