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HomeMy WebLinkAboutRES 99-36RESOLUTION NO. 99- 36 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DIAMOND BAR AUTHORIZING THE ASSIGNMENT AND TRANSFER OF A CABLE TELEVISION FRANCHISE AGREEMENT BY CITIZENS CENTURY CABLE TELEVISION VENTURE TO CENTURY -TCI CALIFORNIA, L.P. RECITALS: A. Citizens Century Cable Television Venture, a joint venture organized under the laws of the State of New York, ("Franchisee") is the duly authorized holder of a franchise ("Franchise") that authorizes the construction, operation, and maintenance of a cable television system within the City of Diamond Bar ("Franchise Authority"). B. On February 17, 1999, the Franchise Authority received from the Franchisee and from Century -TCI California, L.P. ("Transferee"), an application for the assignment and transfer of the existing Franchise, which application included FCC Form 394 entitled "Application for Franchise Authority Consent to Assignment or Transfer of Control of Cable Television Franchise." Supplemental information was provided to the Franchise Authority by the Franchisee and the Transferee on April 7 and April 14, 1999. C. In accordance with Section 13.12.540 of Chapter 13.12 of the Diamond Bar Municipal Code, the Franchise Authority has the right to review and to approve the financial, technical, and legal qualifications of the Transferee in connection with the proposed assignment and transfer of the Franchise. D. 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 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 Transferee will be bound by all existing terms, conditions, and obligations under the Franchise previously granted by the Franchise Authority to the Franchisee. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF DIAMOND BAR RESOLVES AS FOLLOWS: Section 1. In accordance with Section 13.12.540 of Chapter 13.12 of the Diamond Bar Municipal Code, the Franchise Authority consents to and approves the proposed assignment and transfer of the Franchise by Citizens Century Cable Television Venture to Century -TCI California, L.P., including such intermediate transfers as may be required to effectuate that ultimate assignment and transfer. 99-36 Section 2. The authorization, consent and approval of the Franchise Authority to the proposed assignment and transfer is conditioned upon compliance by the Franchisee or the Transferee with the following requirements, as to which they are jointly and severally responsible: 1. The Franchisee and the Transferee will execute and file in the office of the City Clerk an "Assignment and Assumption Agreement" in substantially the form attached to this resolution as Exhibit A. The Mayor is authorized to execute that document and thereby evidence the written consent of the Franchise Authority to the assignment and assumption of all rights and obligations under the Franchise. 2. An original or conformed copy of the written instrument evidencing the closing and consummation of the proposed transfer and assignment of the Franchise must be filed in the office of the City Clerk within 30 days after that closing and consummation. 3. 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 transfer and assignment of the Franchise; provided, however, that those costs and expenses will not exceed the sum of $5,000 and will be set forth in an itemized statement transmitted by the City Manager, or the City Manager's designee, to the Franchisee and the Transferee within 60 days after the effective date of this Resolution. Section 3. Nothing contained in this Resolution may be construed to extend the term of the Franchise, which will terminate in its entirety on March 13, 2007. Section 4. The City Clerk is directed to transmit a certified copy of this resolution to the following person: Clifford A. Bail, Esq. Century -TCI California, L.P. c/o Century Communications Corp. 50 Locust Avenue New Canaan, Connecticut 06840 Section 5. The City Clerk is directed to certify to the passage and adoption of this resolution. PASSED, APPROVED, AND ADOPTED this 18tiday May of 1999. P Mayor -2- 99-36 I, LYNDA BURGESS, City Clerk of the City of Diamond Bar, do hereby certify that the foregoing Resolution was duly introduced, passed and adopted by the City Council of the City of Diamond Bar, at a regular meeting held on the 18 th day of May , 1999, by the following vote: AYES: COUNCIL MEMBERS:Ansari, Huff, MPT/O'Connor M/Chang NOES: COUNCIL MEMBERS: None ABSENT: COUNCIL MEMBERS: Herrera ABSTAINED: COUNCIL MEMBERS: None LYNDA BURGESS, City Clerk City of Diamond Bar -3- M • EXIBIT A ASSIGNMENT AND ASSUMPTION AGREEMENT - AND GUARANTEE OF ASSIGNEE'S OBLIGATIONS (CABLE TELEVISION FRANCHISE AGREEMENT) THIS ASSIGNMENT AND ASSUMPTION AGREEMENT ("Agreement") is made and entered into this _21st day of _ u I y 1999, by and between Citizens Century Cable Television Venture, a joint venture organized under the laws of the State of New York ("Assignor"), Century -TCI California, L.P., a Delaware limited partnership, ("Assignee"), and the City of Diamond Bar, a California municipal corporation ("Franchise Authority"). RECITALS: A. Assignor is the authorized holder of a franchise that authorizes the construction, operation, and maintenance of a cable television system within the City of Diamond Bar, California. Assignor's nonexclusive cable television franchise will expire by its terms on March 13, 2007. B. Subject to the prior consent of the Franchise Authority, Assignor desires to assign and transfer to Assignee, and Assignee desires to assume, all rights, duties, and obligations under that certain cable television franchise agreement between the Franchise Authority and the Assignor that became effective on June 6, 1997, and was thereafter assigned ("Franchise Agreement"). THE PARTIES AGREE AS FOLLOWS: 1. Assignor assigns and transfers to Assignee all of Assignor's rights, duties, and obligations under the Franchise Agreement. 2. Assignee covenants and agrees with Assignor and with the Franchise Authority to assume all rights and to assume and perform all duties and obligations of the Assignor under the Franchise Agreement. 3. Franchise Authority consents to the assignment and transfer by Assignor to Assignee of all rights, duties, and obligations specified in the Franchise Agreement, contingent upon the execution by Century Communications Corp. as guarantor, of the "Guarantee of Assignee's Obligations" that is attached as Schedule 1 to this Agreement. TO EFFECTUATE THIS AGREEMENT, the parties have caused this Assignment and Assumption Agreement to be executed by their duly authorized representatives as of the date set forth below the authorized signature.ii' „ASSIGNOR" Citizens Century Cable Television Venture, a New York joint venture By: Century Telecommunications Venture Corp., a venture APPROVED AS TO FORM: B (autl rized :corporate officer) Legal Counsel Title: I�ic�t'atricQ�. 4" Date: t „ASSIGNEE" i Century -TCI California, L.P. By: Century Exchange LLC, General Partner By: Century Southwest Cable Television, Inc., n Managing Member APPROVED AS TO FORM:, D By: h ( orized Officer) Legal Counsel Title: Yl- rr�� Date: ?14 (9g "FRANCHISE AUTHORITY CITY OF DIAMOND BAR ROVED tTO FORM: By: Mayo ty,Attorney Date: L/ ATTEST: City Clerk A-2 SCIIEDULEI to ASSIGNMENT AND ASSUMPTION AGREEMENT AND GUARANTEE OF ASSIGNEE'S OBLIGATIONS In consideration for the Franchise Authority's consent to the assignment and transfer of the Franchise Agreement that is referenced in this Agreement, the undersigned entity unconditionally guarantees the performance by Assignee of its obligations under that Franchise Agreement. ,'GUARANTOR" Century Communications Corp., a Cd$ -inware-corporation By: thorized Corporate Officer) Title: k . Date: �6 Lf i A-3 i