HomeMy WebLinkAbout6.x. Waiver of right of first refusal to purchase FTTH franchiseAGENDA ITEM: Waiver of right of first refusal to purchase
FTTH franchise
AGENDA SECTION:
Consent
PREPARED BY: Jamie Verbrugge, City Administrator
AGENDA NO. 10•X•
ATTACHMENTS: Draft resolution
APPROVED BY:
RECOMMENDED ACTION: Passage of resolution
4 ROSEMOUNT
CITY COUNCIL
City Council Regular Meeting: December 19, 2006
EXECUTIVE SUMMARY
The owner of the 1-11H cable television franchise in Rosemount has notified the City that it is negotiating
to sell its operation to Rudder Capital Corp. of St. Paul, Minn. The parties have requested that the City
make clear that it will not exercise the right of first refusal to purchase the system as descnbed m the
original franchise agreement between the City and N 11H. At its work session m November, the Council
indicated that it is willing to waive the nght of first refusal in advance of deciding whether to approve the
transfer. The attached resolution waives that right
CITY OF ROSEMOUNT
DAKOTA COUNTY, MINNESOTA
RESOLUTION 2006
A RESOLUTION APPROVING THE TRANSFER OF FRANCHISE
WHEREAS, pet the terms of the franchise agreement the principals of FTTH Communications
LLC (FTTH) and Rudder Capital Corporation (Rudder) have provided written notification of
F FIET's intent to sell the company to Rudder;
WHEREAS, FTTH and Rudder contend that suitable notice has been provided to the City;
WHEREAS, FTTH and Rudder have requested that the City provide written notification of its
intent not to exercise the `right of first refusal' to purchase the System owned by FTTH, pursuant to
the franchise;
WHEREAS, FTTH and Rudder have committed to separately request that the City approve the
franchise transfer, which transfer approval may be subject to additional conditions, and
have requested that the City address the `first nght of refusal' prior to considering the franchise
transfer approval;
THEREFORE, BE IT RESOLVED by the City Council of the City of Rosemount, on this 19th
of December 2006, the City Council of Rosemount hereby waives the "first right of refusal" to
purchase the System (as defined m Ordinance No. X1.23), such provision is included under the
rid
terns of the franchise agreement, passed and adopted on the 2 day of June, 2002, between the City
of Rosemount and FTTH Communications, LLC The right is referenced m the ordinance in Section
9, SALE ABANDONMENT TRANSFER AND REVOCATION OF FRANCHISE, Sub
Section 3. Sale or Transfer of Franchise, paragraph f. where it states, as follows:
In the event of any proposed sale, transfer, corporate change, or assignment pursuant to
subparagraph (a) or (b) of this Section, the City shall have the nght of first refusal of any
bona fide offer to purchase the System Bona fide offer, as used in this Section, means an
offer received by the Grantee which it mtends to accept subject to the City rights under this
Section. This written offer must be conveyed to the City along with the Grantees written
acceptance of the offer contingent upon the nghts of the city provided for in this Section.
The City shall be deemed to have waived its rights under this Section in the following
circumstances:
i. If it does not indicate to Grantee in writing, within ninety (90 days) of
notice of a proposed sale or assignment, its intention to exercise its right of
purchase; or
ii. It approves the assignment or sale of the Franchise as provided within this
Section.
RESOLUTION 2006-
ADOPTED this 19th day of December, 2006 by the City Council of the City of Rosemount
ATTEST:
Amy Domeier, City Clerk
William H Droste, Mayor
Motion by: Second by:
Voted in favor:
Voted against.
Member(s) absent
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November 25, 2006
Rosemount Planning Commission
2875 145 Street
Rosemount, Minnesota 55068
Re: Rosemount Family Housing Limited Partnership
Commissioners:
I oppose any changes in land use to accommodate this project. As I and a
majority of my neighbors have indicated to the City this is not a proper
location for taxpayer subsidized housing Nor is it the role of City
Government to provide such housing
I'm enclosing a letter to the Editor of This Week newspaper (which they
chose not to publish) which I ask be included in the record.
One final question is there anything that could be said that would change
your mind and oppose this dreadful project? I am convinced this project
was a done deal long before there was any public input
Sincerely,
Gene Rusco
3553 Couchtown Path
Rosemount, MN 55068
651 344 -3455
c
-cj
Editor
.1
Thank you for putting a histoncal perspective on the City Council's recent
meeting in which the so- called "affordable housing" town home project was given a
formal green light. You pointed out in your February 10 Editorial that m the last 3 years
all five Councilmembers stressed the importance of communication with residents The
process is most enlightening for those of us who live in the adjacent Evermoor
neighborhood.
Why was there such a lack of communication dunng the planning of the
subsidized housing project at Evermoor? Councilmember Baxter correctly indicated that
these issues do not come to the Council in a vacuum He indicated their first work session
on the affordable housing development was back in April How much public input was
taken at that work session? How much public input was taken in May or June or July or
August, September, October, November or December? Or was it TEN MONTHS into
this project before residents even knew it was being planned?
When the "public hearing" was held in January at the Planning Commission
meeting rt was done so only out of a legal requirement. This project was a DONE DEAL
before the opening gavel went down on that meeting. Yes, our City Attorney can
correctly state that the Council satisfied the legal requirements for public input but we
Evermoor residents know that we were not represented during the months and months of
planning that occurred before the hearing. How many Evennoor residents were asked
about the project during this planning? I venture to say NONE
This isn't about making housing affordable, it's about having a City Government
that doesn't rule from the top down. We residents were told during the Latest hearing that
some comments were "irrelevant" (City Attorney) and "irresponsible" Councilmember
Shoe Corrigan)
You stated in the editorial that "Residents were heard..." Really? Yes, we did
come to the podium and speak and they listened, but we were not heard There was
nothing that could have been said that would have changed the already made up minds of
those elected to be our representatives.
So thank you again for your editorial which pointed out that our Councilmembers
have in past years indicated the importance of communication with residents. The actions
of City staff, Planning Commission and City Council speak much louder than the words
spoken during campaign season.
Sincerely,
Gene Rusco
3553 Couchtown Path
Rosemount
651 344.3455
generusco @Iightblast net