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HomeMy WebLinkAboutMedia One Relatiive to Fiber Optic for The Reserve Housing Development MEMO CITY OF PALM DESERT DEPARTMENT OF COMMUNITY AFFAIRS/CITY CLERK DATE: MAY 27,1999 To: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: DIRECTOR OF COMMUNITY AFFAIRS/CITY CLERK SUBJECT: CONSIDERATION OF REQUEST FROM MEDIA ONE RELATIVE TO FIBER OPTIC NODE FOR THE PALM DESERT PORTION OF THE "RESERVE" HOUSING DEVELOPMENT RECOMMENDATION: By Minute Motion,concur with the recommendation of the Public Safety Commission and allow Media One to serve all Palm Desert residents of the"Reserve" with its Indian Wells feed. BACKGROUND: At its regular meeting of May 19, 1999,the Public Safety Commission considered the subject request. The Commission, on a 4-0 vote based upon the extensive cost consideration for implementing the special node for approximately 50 residences, concurred with staffs recommendation to allow Media One to serve the Palm Desert portion of the"Reserve"development with its Indian Wells feed. A copy of Ray Janes' staff report to the Public Safety Commission is attached for your reference. CITY COUNCII�ACT ION: PPROVED ��/ DENIED Respectfully submitted, f CF IVED ETHER »ATE - a:3- �.. . 1 ES otAA-d0111., 4 _p ,BSENT: i S TAIN: VERIFIED BY: G1�3 on File with Ciei Cl k' s Office SHEILA R GILLIGAN, C.M.F. DIRECTOR OF CO AFFAIRS/CITY CLERK rdk Attachments (as noted) V. - B INTEROFFICE MEMORANDUM CITY OF PALM DESERT DATE: MAY 19, 1999 TO: PUBLIC SAFETY COMMISSION FROM: RAY L. JANES SUBJECT: CABLE TV/EMERGENCY ALERT SYSTEM FOR THE "RESERVE" Recommendation: That the City allow Media One to serve all "Reserve"residents using their Indian Wells feed. Background: The issue relates to the EAS coverage for a new gated community called the "Reserve", which will have 200 homes in Indian Wells, and 50 in Palm Desert; our residents would be served by the valley-wide primary EAS. Media One's Position - To serve the residents with their one existing fiber optic Node(line), which would be more cost effective than having to provide two Nodes. The cost of second Node: Electronics - $15,000; engineering/labor - $465,000. Total Cost- $480,000. If we required Media One to install a second Node, then the additional costs would be passed on to all Palm Desert subscribers. Existing Franchise Agreement- Our existing Franchise Agreement does not include a"Franchise Exclusive-EAS"; we are currently negotiating a new agreement which could include an EAS (expires in October/99). Lowe's Position - The Developer would prefer to have Media One provide service to all of their residents. However, if we re uire a second Node, the cable company has stated that they will not service the 51 De rt om 1—ANE RAY MANENT ANALYST 04/09/99 10:07 FAX 760 340 2384 MEDIA ONE -►-.-+ PALI DESERT Iii1002/003 MediaOne This is Broadband. This is the way. April 9, 1999 Mr.Ray L. Janes City of Palm Desert 73-510 Fred Waring Drive Palm Desert, CA 92260-2578 RE: Emergency Alert Systems(EAS) Dear Ray: Since EAS coverage of the Palm Desert homeowners at"The Reserve"seems to be the central issue in getting our waiver request approved, I want to make sure that everyone is clear about how our EAS works. MediaOne currently has a two-tiered Emergency Alert System in place. The primary Emergency Alert System is designed to alert all customers connected to our system (regardless of franchise area)of an existing or pending emergency(fire, flood, earthquake, etc.). This system is tied into the same regional alert system as all local broadcast TV and radio stations. It is anticipated that this system will be used in 99•/0 of all emergencies, thus providing all MediaOne customers with the proper level of protection/notification. In two franchise areas(La Quinta and Indian Wells)the franchise agreement calls for a secondary EAS,which can be used by the local authorities to notify only the residents of their city of a localized emergency situation. We anticipate that there will rarely be a localized event of such magnitude that it would warrant using the EAS,yet would not be large enough to want to notify surrounding cities. The primary EAS will always take precedence over the secondary EAS. The Palm Desert franchise does not provide for a city-exclusive.EAS. Palm Desert residents are protected by the primary, valley-wide EAS. Homeowners at'The Reserve", regardless of which city they live in, are also protected by the primary EAS. Therefore, allowing MediaOne to include the Palm Desert homeowners in"The Reserve"on the Indian Wells node will in no way diminish the capability of the Palm Desert Public Safety Commission(or any other Palm Desert or regional safety 41725 Cook Street authority)to communicate with those residents. I hope this information has helped to clarify how the Emergency Alert Palm Desert,CA szzl 1 work. Ifyou have � Y Systems any questions, or need any further information, please let me know. I would be happy to speak to the Public Safety Commission on this tel/760-340-1312 fax/760-340-2384 04/09/89 10:08 FAX 760 340 2384 MEDIA ONE 4-.4 PALM DESERT a003/003 matter. Sincerely, U) Rob Rubery General Manager cc: John Patron, Corporate Counsel,MediaOne K.James Petro, Vice President, Outer Markets,MediaOne MediaOne This is Broadband. This is the way. March 29, 1999 Mr. Ray L. Janes City of Palm Desert 73-510 Fred Waring Drive Palm Desert, CA 92260-2578 RE: "The Reserve"Housing Development Dear Ray: I am in receipt of your letter of March 24, 1999, which states that the City of Palm Desert intends to require MediaOne to provide two fiber optic nodes to service the above development. Your rationale for this is that the Public Safety Commission would like to retain the right to provide an emergency override capability. As I mentioned in my last letter regarding this issue, in order to place a second node in the development to feed the 50 Palm Desert homes separately, we would need to run a separate fiber optic line from our headend and install another node on the property. Our preliminary cost estimate on this is$479,354.65. While I certainly applaud the efforts of the Public Safety Commission to be concerned about these 50 homes, I believe that their efforts may backfire, and leave these residents without any emergency alert capabilities whatsoever. By this I mean that MediaOne does not believe that the City can require us to serve those 50 homes with a separate fiber optic node at the above mentioned cost. Since this area fails to meet the density requirements of the franchise, MediaOne has no requirement to serve these 50 Palm Desert homes under the franchise. If the City makes using a separate node a condition of serving these homes, then MediaOne will have to forgo serving them, as this would be a bad investment for our shareholders. This would mean that the developer would have to make other arrangements for providing TV service (either by contracting with a`private cable" company, or with a satellite company), none of which would provide for the City to have emergency override capabilities(not only would the 50 Palm Desert homes be unprotected, so would the 200 Indian Wells homes). If you believe that we have 41725 Cook Street interpreted the franchise incorrectly in this matter, please let me know. By allowing MediaOne to serve the development with one node, at least the Palm Desert,CA 92211 residents would be guaranteed that they would be subject to the Indian Wells emergency alert system. I can assure you that Indian Wells is very concerned about safety, and that these residents would be well taken care tel/ 760-340-1 312 fax/760-340-2384 of. I can envision no situation where there would be a hazard to only the 50 Palm Desert homes, which would not be of concern to the Indian Wells residents of the Reserve, thus triggering the emergency override. And remember, all customers, regardless of what franchise they live in, are protected by our system-wide emergency alert capabilities, which are far more likely to be utilized during an emergency than a franchise exclusive EAS (which is not provided for in the current Palm Desert franchise). The only other alternative that I can see is to treat this investment as required by the Franchising Authority, in which case the FCC rate regulations provide for amortizing it over the entire subscriber base of that franchise. It would be up to the City to determine if that is a viable option. Personally, I don't think that all the residents should bear the cost of providing 50 residents with access to a Palm Desert exclusive emergency override system. I hope this has helped to clarify our position. If you have any questions, or need any further information, please let me know. I would be happy to speak to the Public Safety Commission on this matter. Sincerely, fifir Bob Rubery General Manager cc: John Patrone, Corporate Counsel, MediaOne K. 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