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HomeMy WebLinkAbout20003177.tiff RESOLUTION RE: TRANSFER AND EXCHANGE OF CABLE TV FRANCHISE FROM COMCAST COLORADO HOLDINGS, LLC TO AT&T CORP. WHEREAS, the Board of County Commissioners of Weld County, Colorado, pursuant to Colorado statute and the Weld County Home Rule Charter, is vested with the authority of administering the affairs of Weld County, Colorado; and WHEREAS, by Resolution dated April 24, 2000, Comcast Colorado Holdings, LLC, is duly authorized as a transferee, to operate and maintain a cable communications system in Weld County pursuant to the terms and conditions of a franchise originally granted by Resolution of the Board of County Commissioners on February 26, 1996; and WHEREAS, Comcast Corporation, the ultimate parent of Comcast Colorado Holdings, LLC, and AT&T Corp., are parties to an Asset Exchange Agreement dated as of August 11, 2000, ("the Exchange Agreement"). The Exchange Agreement provides for one or more intermediate transfer(s)of the System and the Franchise to an affiliate of Comcast Colorado Holdings, LLC ("the Intermediary"), and transfer of control of the Intermediary to TCI Atlantic, Inc. ("Transferee"), a subsidiary of AT&T Corp., at the closing of the transactions contemplated under the Exchange Agreement; and WHEREAS, pursuant to the provisions of the Exchange Agreement, Comcast Colorado Holdings, LLC, now requests the transfer of its franchise to the subsidiary of AT&T Corp., TCI Atlantic, Inc.; and WHEREAS, the Form 394 application by AT&T Corp., requesting the approval of the transfer of the franchise has been filed with the Board of County Commissioners. NOW THEREFORE, BE IT RESOLVED by the Board of County Commissioners of Weld County, Colorado: SECTION 1 County hereby consents to the assumption by TCI Atlantic, Inc., a subsidiary of AT&T Corp., of all of the duties and obligations under this Franchise. SECTION 2 County acknowledges that as of the date hereof, the franchise is in full force and effect, the same as is held by, and the rights and privileges granted thereunder, inuring to the benefit of Comcast Colorado Holdings, LLC. County knows of no fad or circumstance at this time which constitutes or which, with the passage of time or the giving of notice or both, would constitute a material default or breach under the Franchise or would allow County to cancel or terminate the rights thereunder, except upon the expiration of the term of the franchise. 2000-3177 ORD94 Pe : /ITS- CA RE: TRANSFER AND EXCHANGE OF CABLE TV FRANCHISE FROM COMCAST COLORADO HOLDINGS, LLC, TO AT&T CORPORATION PAGE 2 SECTION 3 That the approval hereby granted is given pursuant to the terms and provisions of the franchise, but does not, however, constitute and shall not be construed to constitute a disclaimer or waiver of any rights granted or any duties or obligations imposed by the franchise, except as provided herein. SECTION 4 That the franchise currently held by Comcast Colorado Holdings, LLC, was duly and legally adopted and approved by the County, and that said franchise is hereby validated, ratified, and confirmed. SECTION 5 That AT&T Corp., or TCI Atlantic, Inc., or both, shall be controlled at all times during its operation, installation, and maintenance of the system pursuant to the franchise by all provisions of said Ordinance No. 94, 94A, and 94B, as amended, and that any such terms of said ordinance are incorporated herein as if fully restated. SECTION 6 That AT&T Corp., or TCI Atlantic, Inc., or both, shall not assign the franchise granted herein, or any right or interest contained therein, without the written consent of County; provided, however, that AT&T Corp., or TCI Atlantic, Inc., or both have the right to assign, mortgage, or pledge the franchise as collateral security for any loan to purchase and/or operate the cable television system. SECTION 7 That the sections of this Resolution are hereby declared to be severable, and if any section, provision, or any part hereof shall be held to be unconstitutional or invalid or unenforceable, such section, provision, or part shall be fully severable and this Resolution shall be construed and enforced as if such section, provision, or part never comprised a part hereof and the remaining sections, provisions, and parts hereof shall remain in full force and effect and shall not be affected by any unconstitutional or invalid or unenforceable section, provision, or part, or by its severance herefrom. SECTION 8 That the transfer of this franchise shall become effective upon the closing of the transactions contemplated under the Exchange Agreement, and upon AT&T Corp. or the appropriate subsidiary of AT&T Corp. giving written notice to the County within 30 days of the completion of the transactions that the transactions have been completed. 2000-3177 ORD94 RE: TRANSFER AND EXCHANGE OF CABLE TV FRANCHISE FROM COMCAST COLORADO HOLDINGS, LLC, TO AT&T CORPORATION PAGE 3 The above and foregoing Resolution was, on motion duly made and seconded, adopted by the following vote on the 18th day of December, A.D., 2000. BOARD OF COUNTY COMMISSIONERS I`,I W D COUNTY, COLO DO ATTEST: A� Barbara J. Kirkmeyer, Chair Weld County Clerk to ty- = 1 %sQi' , M. J. �ile, Pro-Tem BY: �. [ • Deputy Clerk to the' �"� � fff orge . Baxter OV AS T • Dale K. Hall S Glenn Vaa 2000-3177 ORD94 MEMORANDUM TO: Weld County Board of Commissioners December 15, 2000 FROM: Cyndy Giauque, Assistant County Attorney • . SUBJECT: Transfer and Exchange of Cable TV Franchise from Comcast Colorado Holdings, LLC to AT&T Corp. Attached is a proposed resolution for placement on the agenda for December 18, 2000. Comcast Colorado Holdings, LLC, currently holds a franchise which was originally granted February 26, 1996, for a term of 15 years. The area currently covered by this franchise is relatively small, and includes Parkland Estates, and the areas around Longmont and Erie. Although Comcast's franchise results in a fairly small area of service in Weld County, the company apparently holds major markets in the eastern United States. AT&T Corp. holds relatively small markets in the eastern United States. The two companies have therefore agreed to an exchange where AT&T will take Comcast's market in Weld County and several other small areas in Colorado and elsewhere, and Comcast will take AT&T's market in specified areas in the east. These are the facts underlying this franchise transfer proposal. The request for approval was submitted, pursuant to the requirements of the Franchise Agreement, which states in part: "Upon receipt of all requested information, the County shall render a final written decision on the request within 120 days of the request. If the County fails to render a final decision on the request within 120 days, such request shall be deemed granted unless the requesting party and the County agree to an extension of time." I recommend approval of the request. If you have any questions, I am available. 2000-3177 Hello