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HomeMy WebLinkAbout00-62 - Transfer of Control of Cable Television Franchise, DBA Time Warner CommunicationsRESOLUTION NO. 00 -[og- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COSTA MESA, CALIFORNIA, AUTHORIZING AND CONSENTING TO THE TRANSFER OF CONTROL OF A CABLE TELEVISION FRANCHISE HELD BY DICKINSON PACIFIC CABLESYSTEMS, DBA TIME WARNER COMMUNICATIONS. WHEREAS, Dickinson Pacific Cablesystems, a California general partnership,. dba Time Warner Communications ("Franchisee") is the duly authorized holder of a franchise ("Franchise") that was entered into by the City of Costa Mesa and the Franchisee's predecessor -in -interest on April 6, 1981. The Franchise authorizes the construction, operation, and maintenance of a cable television system within a portion of the City of Costa Mesa; and WHEREAS, on or about March 2, 2000, the Franchise Authority received from Time Warner Inc. ("Transferor"), and from AOL Time Warner Inc. ("Transferee"), an application for the Franchise Authority's consent to a transfer of control of the Franchise. This application was made on FCC Form 394 entitled, "Application for Franchise Authority Consent to Assignment or Transfer of Control of Cable Television Franchise". Supplemental information relating to this application was provided to the Franchise Authority by the applicants on April 21, 2000; and WHEREAS, in accordance with Section 19-05(F) of Chapter 1, Title 19, of the Costa Mesa Municipal Code; the Franchise Authority has the right to review and to approve the financial, technical, and legal qualifications of AOL Time Warner Inc. in connection with the proposed transfer of control of the Franchise and the Franchisee; and WHEREAS, the staff of the Franchise Authority has reviewed the documentation that accompanied FCC Form 394 and based upon the representations set forth in that documentation, has concluded that the proposed Transferee, AOL Time Warner Inc., has the requisite financial, technical, and legal qualifications to adequately perform, or to ensure the performance of, all obligations required of the Franchisee under the Franchise, and that the Franchisee will continue to be bound by all existing terms, conditions, and obligations under the Franchise previously granted to the Franchisee's predecessor -in -interest on April 6, 1981; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF COSTA MESA DOES HEREBY RESOLVE AS FOLLOWS: SECTION 1. In accordance with Section 19-05(F) of Chapter 1, Title 19, of the Costa Mesa Municipal Code, the Franchise Authority consents to and approves the proposed merger transaction by and between Time Warner Inc. on the one hand, and America Online, Inc., on the other hand, which merger transaction when consummated, will result in a change of control of the Franchisee, Dickinson Pacific Cablesystems, and of the Franchise. SECTION 2. The authorization, consent, and approval of the Franchise Authority to the proposed change of control is conditioned upon compliance by the Franchisee of the following requirements: 1. An original or conformed copy of the written instrument evidencing the closing and consummation of the proposed merger transaction that will result in a change of control of the Franchisee and the Franchise must be filed in the office of the City Clerk within 30 days after that closing and consummation. 2. Regardless of whether the transaction described in FCC Form 394 actually closes, the Franchise Authority will be reimbursed for all costs and expenses reasonably incurred by the Franchise Authority in processing and evaluating the information relating to the proposed change of control of the Franchisee and the Franchise; provided, however, that those costs and expenses will not exceed the sum of $2,500.00, and will be set forth in an itemized statement transmitted by the City Manager, or the City Manager's designee, to the Franchisee after the effective date of this resolution. The total amount set forth in that statement must be paid by the Franchisee to the Franchise Authority within 30 days after the date of the statement. SECTION 3. The City Clerk is directed to transmit a certified copy of this resolution to the following persons: Gary Matz, Esq., Assistant General Counsel Time Warner Cable 290 Harbor Drive Stamford, Connecticut 06902-7441 Ms. Kristy Hennessey, Vice President Government and Public Affairs Time Warner Communications 303 West Palm Avenue Orange, California 92866 SECTION 4. The City Clerk is directed to certify to the passage and adoption of this resolution. PASSED AND ADOPTED this 17th day of July, 2000 ATTEST: 4/'1-j gu q)jl �6-Qk Deputy City Jerk of thgILIty of Costo STATE OF CALIFORNIA ) COUNTY OF ORANGE ) ss CITY OF COSTA MESA ) r--) r., -D 1 6, Mayor of th City of Costa Mesa I, MARY T. ELLIOTT, Deputy City Clerk and ex -officio Clerk of the City Council of the City of Costa Mesa, hereby certify that the above and foregoing Resolution No. M-[pl, was duly and regularly passed and adopted by the said City Council at a regular meeting thereof, held on the 17th day of July, 2000. IN WITNESS WHEREOF, I have hereunto set my hand and affixed the Seal of the City of Costa Mesa this 18th day of July, 2000. Deputy City Clerk and - ff cio Clerk of/ the City Council of the Citybf Costa Mesa 6 ACCEPTANCE OF RESOLUTION BY FRANCHISEE DICKINSON PACIFIC CABLESYSTEMS, a California general partnership, dba Time Warner Communications, accepts and agrees to comply with the terms and provisions of this resolution. DICKINSON PACIFIC CABLESYSTEMS, A California general partnership By:&GAS (authorized representative) Title: V L� ✓�Si c� .vt '-1 nC viC.-e-- Date: /7-5-00