AGENDA #5d

 

MEMORANDUM

 

TO:                  Mayor and Town Council

           

FROM:            W. Calvin Horton, Town Manager

 

SUBJECT:            Cable TV Change in Ownership

 

DATE:              February 28, 2000

 

 

We have received the attached letter from Time Warner Cable advising us of their announced merger with America Online.

 

Under the terms of the Cable Television Regulatory Ordinance adopted by the Town and the Franchise issued to Time Warner to operate a cable television system in Chapel Hill, both in 1996, transfers of interest are subject to the “prior consent of the Council which consent shall not be unreasonably denied or delayed and shall be denied only upon a good faith finding by the Town that the proposed transferee lacks the legal, character, technical or financial qualifications to perform its obligations” under the Franchise.

 

Time Warner has submitted to the Town a substantial amount of information pertaining to this merger.  We will be evaluating the information and will provide to the Council a report and recommendation following that evaluation.

 

Under the terms of the Franchise and Ordinance the Town has 120 days to respond to the proposed merger.

 

Attachments

 

            Letter from Brad Phillips, Time Warner Cable (page 2)