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<br /> <br />CITY OF NORTH OLMSTED, OHIO <br />ORDINANCE NO. 2007 - 105 <br />BY: Mayor O'Grady <br />AN ORDINANCE DETERMINING THE VIDEO SER VICE <br />PROVIDER FEE TO BE PAID BY A VIDEO SERVICE PROVIDER <br />OFFERING VIDEO SERVICE IN THE CITY PURSUANT TO A <br />STA TE A UTHORIZA TION; AND A UTHORIZING THE MA YOR TO <br />GIVE NOTICE TO THE VIDEO SERVICE PROVIDER OF THE <br />PRO VIDER FEE; AND DECLARING AN EMERGENCY. <br />WHEREAS, the General Assembly enacted Sections 1332.21 through 1332.34 of the Oliio <br />Revised Code, to be effective September 24, 2007, to provide a statewide "uniform regulatory <br />framework" for the provision of cable television and/or other video service, which will substantially <br />lcduoe the City of North Olmsted's traditional franchising authorrty to regulate cable and/or video service <br />offered in the City using facilities located in the City's public rights-of-way; and <br />WHEREAS, the City has a cable television franchise agreement with Time Warner which expires <br />by its own terms on or about October 17, 2011 and pursuant to which Time Warner pays franchise fees in <br />the amount of five percent (5%) of gross revenues, that includes subscriber fees only; and <br />WHEREAS, the City has a cable television franchise agreement with WideOpenWest ("WOW") <br />which expires by its own terms on or about May 8, 2011, pursuant to which WOW pays franchise fees in <br />the ainount of five percent (5%) of gross revenues that inchldes subscriber fees only; and <br />WHEREAS, pursuant to R.C. Section 1332.23, any new video service provider intending to <br />provide video service to subscribers in the City must apply for and obtain a video service authorization <br />froin the Dii-ector of the Ohio Department of Commerce; and <br />WHEREAS, R.C. Seetion 1332.23(B)(2) also permits a cable operator with an effective franchise <br />agrecment to terminate its franchise with the City, at its option, by applying for a state-issuO video <br />service authorization if there is another cable operator or video service provider offering service to City <br />residei7ts; and <br />WHEREAS, under R.C. Section 1332.32, a video service provider that is providing service to <br />subscribers in the City pursuant to a state-issued video service authorization must pay the City a video <br />service provider fee ("VSP Fee") based on a percentage of the provider's "gross revenues" derived from <br />providing video service in the City, not to exceed five percent (5%) of such revenues; and <br />WHEREAS, R.C. Section 1332.32 provides that the VSP Fee shall be zero percent (0%) of gross <br />revenues, unless the City determines by Ordinance that the VSP Fee will be a percentage of gross <br />revenues not to exceed five percent (5%) of gross revenues; and <br />513259-I <br />