Resolution - #96-09-256 - 09/09/1996

Home

Councilmember Peterson introduced the following resolution and moved for its adoption: RESOLUTION #96-09-256 RESOLUTION CONSENTING TO THE TRANSFER OF CONTROL OF AND CERTAIN OWNERSHIP INTERESTS IN A CABLE TELEVISION FRANCHISEE TO CONTINENTAL WHEREAS, the cable television franchise (the "Franchise") of the municipality of Ramsey (the "Authority") is currently owned and operated by Group W Cable of the Quad Cities d/b/a Meredith Cable Company ("Group W") which is owned by Meredith/New Heritage Strategic Partnership, L.P. ("MNHSP"); and WHEREAS, the general partner of MNHSP has entered into a Purchase Agreement dated March 15, 1996, with Continental Cablevision, Inc. ("Continental") whereby said general partner is proposed to be replaced by North Central Communications Corp., Continental of Minnesota, Inc. or Continental of St. Paul, Inc., both wholly owned subsidiaries of Continental (the "Meredith/Continental Agreement"); and WHEREAS, Group W will continue to hold the Franchise; and WHEREAS, the Authority has received a request for consent to the transfer of control contemplated by the Meredith/Continental Agreement; and WHEREAS, no notice of breach or default under the Franchise has been issued by Authority within the past 12 months and none is outstanding; and WHEREAS, the Authority has determined that subject to certain conditions which must be met, Continental possesses the requisite legal, technical and financial qualifications. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF RAMSEY, ANOKA COUNTY, STATE OF MINNESOTA, as follows: That the transfer contemplated by the Meredith/Continental Agreement is hereby consented to by the Authority and permitted conditioned upon: l) Execution and delivery of a Corporate Guaranty from Continental Cablevision, Inc. in the form attached hereto; and 2) Documentation that a wholly owned subsidiary of Continental Cablevision, Inc. is duly admitted as a successor general parmer pursuant to the Restated Agreement of Limited Partnership of Meredith/New Heritage Strategic Partners, L.P. dated December 30, 1991, or any amendment thereof; and 3) Conditioned upon payment of $50,000 to the Quad Cities Cable Communications Commission as required in the Memorandum of Understanding between the Authority and Group W for equipment purchases; and 4) Reimbursement of all reasonable fees incurred in the Authority's review of the proposed transactions; and 5) The successful closing of the transaction described in the Meredith/Continental Agreement.