Minutes 10/13/1981 - Laserfiche WebLink

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>'" f' I) TUESDAY OCTOBER 13,. 1981 promulgated by the National Committee on Governmental Accounting. In his letter of transmittal and in his management-letter comments, Mr. Sells called Council's attention to certain of the City's practices and policies inconsistent with accepted accounting practices as well as with certain budgeting procedures. In accepting this report, Council directed City Manager Edmonds to prepare responses to these comments as well as an explanatory comparison of the City's budgeted surplus balances (at June 30, 1981) with audited surplus balances within certain funds. Through its counsel, Mr. Douglas K. Frith, Attorney at Law, and Mr. Patrick J. Conley, Vice President of Operations for Multi-Channel T. V. Cable Company of Mansfield, Ohio (parent company of Martinsville Cablevision), Martinsville Cable- vision filed its request for an extension of its Cable-TV franchise (granted by the City), scheduled to expire October 1, 1983, for a period of five years from October of 1981 or--in effect--for a period of three years beyond the scheduled expiration date, in order that Martinsville Cablevision can rebuild and/or replace its present twelve-channel system to provide City customers with a system of 35-channel capacity, at an investment cost of $1,300,000.00 which Martinsville Cablevision claimed would not be a justifiable investment unless the franchise is extended, as requested. In elaborating on the proposed new system, reflecting fast-developing technological advances, Messrs. Frith and Conley noted that, if the request is granted, customers would have the option of subscribing to either the present 12-channel system or the 35-channel system, with no additional monthly cost (over the $7.50 per month now charged) to the 12-channel subscribers; however, to those subscribing to the 35-channel system the monthly cost would be $10.50, plus additional charges for certain "premium" channels offering special programs if elected at time of offerings. Meanwhile, Mr. Edwin A. Gendron, Jr., Attorney at Law and counsel for Southern Telecom, and Mr. Dick Bilskie, President of Southern Telecom (of Peachtree, Georgia), a firm which tentatively has been granted a non- exclusive cable-TV franchise by the Henry County Board of Supervisors to provide cable-television service in Henry County, appeared before Council and urged that Council deny Martinsville Cablevision's franchise extension request on the premises that (1) Martinsville Cablevision's proposed 35-channel system was obsolete (in light of technological advances) two years ago, (2) Martinsville Cablevision's proposal is prompted by impending competition in Henry County, and (3) State statutes prohibit extending the life of current franchises, the alternative to such pro- hibition would demand the inviting of bids to provide franchised services. After