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HomeMy WebLinkAbout2002-05-21 Info Packet of 5/9 CITY COUNCIL INFORMATION PACKET CITY OF IOWA CITY May 9, 2002 www.icgov.org MISCELLANEOUS ITEMS IP1 Meeting Schedule and Tentative Work Session Agendas IP2 Letter from City Manager to Josh Schamberger (Iowa City Coralville Convention & Visitors' Bureau): Hotel and Motel Tax IP3 Memorandum from Assistant City Manager: Response from Mediacom regarding Channel Realignment and Customer Service Issues IP4 Memorandum from Planning and Community Development Assistant Director and Parking and Transit Director: Near Southside Transportation Center Early Childhood Learning Center; City Council Request for Information IP5 Memorandum from Associate Planner Yapp: Subdivision Inventory IP6 Letter from Deon Oliver (Salvation Army) to Administrative Assistant: Venison Distribution IP7 Letter from Betsy, Peter, and Sarah Riesz to SEATS Director: SEATS Service IP8 Minutes: Iowa City Area Development Group/Iowa City Area Chamber of Commerce Joint Board of Directors Meeting - April 25 Agenda: Economic Development Committee: May 16, 2002 Minutes: Economic Development Committee: 1/17/02 & 3/21/02 CITY COUNCIL INFORMATION :KET CITY )ri125, 2002 www,icgov.org MISCELLANEOUS ITEMS IPI Meeting le and Tentative Work Session Age~ IP2 Letter from City ~ger to Josh Schamberc Coralville Convention & Visitors' Bureau): and Motel Tax IP3 Memorandum from stant City Manager Response from Mediacom regarding Channel Reali ~ment and Service Issues IP4 Memorandum from Planning a~ Communi Development Assistant Director and Parking and Transit Director: Transportation Center Early Childhood Learning Center Request for Information IP5 Memorandum from Associate Plann( ~: Subdivision Inventory IP6 Letter from Deon Oliver (Salvati to Administrative Assistant: Venison Distribution IP7 Letter from Betsy, Peter, an EATS Director: SEATS Service IP8 Minutes: Iowa City Development City Area Chamber of Commerce Joint Meetir ,ri125 ~ City Council Meeting Schedule and Mayg, 2002 CITY OF IOWA CITYTentative Work Session A,-, d==.~=en...... www.icgov.org I May 20 Monday 6:30p COUNCIL WORK SESSION Emma J. Harvat Hall I May 21 Tuesday 7:00p FORMAL COUNCIL MEETING Emma J. Harvat Hall · Separate Agenda Posted I May 27 Monday MEMORIAL DAY HOLIDAY - CITY OFFICES CLOSED I June 10 Monday 6:30p SPECIAL COUNCIL WORK SESSION Emma J. Harvat Hall IOune 11 Tuesday 7:00p SPECIAL FORMAL COUNCIL MEETING Emma J. Harvat Hall · Separate Agenda Posted I July 1 Monday 6:30p COUNCIL WORK SESSION Emma J. Harvat Hall I July 2 Tuesday 7:00p FORMAL COUNCIL MEETING Emma J. Harvat Hall Separate Agenda Posted I July 4 Thursday INDEPENDENCE DAY HOLIDAY - CITY OFFICES CLOSED Meeting dates/times subject to change FUTURE WORK SESSION ITEMS Regulation of Downtown Dumpsters Downtown Historic Preservation Writers' Safe Haven Opening of First Avenue Comprehensive Plan Update Section 8 Home Ownership Enterprise Zones 64-1 a Development Agreement Age of Consent Development Code Update May 6, 2002 Josh Schamberger Iowa City/Coralville Convention & Visitors' Bureau Riverview Square 408 First Avenue Coralville, IA 52241 Dear Josh: With the City Council's adoption of the fiscal 03 financial plan, they have adopted a change in resource assignments for the hotel and motel tax. In fiscal 03, that is beginning July 1, 2002, there will be no change in the funding policy, but thereafter fiscal 04 and fiscal 05 the distribution of monies to the convention and visitors bureau will be reduced proportionately from its current 25%, to 22%%, and then 20%. We estimate that in fiscal 03 as I've indicated there will be no change in funding, but a reduction of approximately $13,000 per year will occur in FY03-04 and $25,000 per year in FY05. This has the effect of changing the distribution plan from 75% City and 25% Convention and Visitors Bureau to 80% City and 20% Convention and Visitors Bureau. If you have any questions please feel free to call. Sincerely, City Manager mgr/Itr/josh.d0c City of Iowa City MEMORANDUM Date: May 9, 2002 To: City Council From: Dale E, Helling, Assistant City Manager Re: Response From Mediacom Regarding Channel Realignment and C~fstomer Service Issues You will recall that I sent a letter to Mediacom on March 22, 2002, in response to a large number of complaints brought to the City Cable TV Administrator by cable subscribers in the community. These complaints centered on the recent realignment of channels, elimination of analog pay channels, and customer service problems that occurred during the months of January, February and March. I requested that Mediacom respond by April 30, 2002. I received a reply from Mediacom on April 30. A copy of that letter is attached for your information. There were also included nearly 60 pages of attachments, most of which are copies of publications and promotional and marketing materials used by Mediacom. These attachments are available in the City Clerk's Office or from me or Drew Shaffer if you wish to look at them. Staff and the Iowa City Telecommunications Commission are proceeding to evaluate the information contained in Mediacom's response for compliance with our franchise requirements. I anticipate a response back to Mediacom within the next two to three weeks. Please contact me if you have any questions or if you would like to stop by and review the above-referenced attachments. Attachments cc: Stephen J. Atkins, City Manager Drew Shaffer, Cable TV Administrator Andy Matthews, Assistant City Attorney mgr/asst/mem/mediacom5~-02 doc Mediaco April 26, 2002 Sent Via Certified Mail - Return Receipt Requested Mr. Dale E. Helling Assistant City Manager City of Iowa City 410 East Washington Street Iowa City, IA 52240-1826 Dear Dale, Mediacom received your request for information dated March 22, 2002 regarding various issues related to the channel realignment of our Iowa City cable system. This correspondence will address the questions noted in your information request. Please note that the extensive nature of the request has required substantial research and compilation to provide an appropriate response. Mediacom recognizes that change in a cable system may be difficult for customers and that the broad changes in the Iowa City cable system over a relatively short period were not as smooth nor communicated as well as possible. As we have discussed in prior meetings, a series of unexpected events disrupted the planned timing and execution of the channel realignment to seriously impede our efforts for a smooth transition. Mediacom regrets all inconveniences created for our customers and the City through the recent changes. The City's language is italicized below and follows with the Mediacom response to provide a convenient comparison of the two letters. 1. The number of broadcast basic channels went from 24 channels to 22 channels. This will be noted in conjunction with a rate review when Mediacom submits their form 1240s in calculating the Maximum Permitted Rate. Mediacom Response: The City's observation of the change in the number of broadcast basic channels is correct and will be noted in the FCC form 1240 for calculation of the Maximum Permitted Rate. 2. Given the number of complaints from customers who were not able to reach Mediacom by phone during the period since January 15th, 2002, the City requests Mediacom's phone management data, as available, for the entire quarter of January 1 through March 31, 2002. The City also requests the cable company obtain a busy Mediacom Communications Corporation 6300 Council St. NE · Cedar Rapids, IA 52402 · 319~395-7801 Fax 319-393-7017 signal study.from the phone company during the period January I to March 31, 2002, and that this be provided to the City. The City also requests the phone management data for the last quarter of 2001, ending on December 31, 2001 as well. Mediacom Response: The phone management data from January 1, 2002 through March 31, 2002 for the Iowa City phone center is attached as Exhibit 2. We have investigated obtaining a busy signal study from Qwest for the fourth quarter of 2001 and the first quarter of 2002. Qwest has informed us that a study cannot be performed on past telephone activity. We have requested a busy signal study going forward and have been working with Qwest to get this accomplished. We will provide the City with the results of the study upol~ completion. 3. There is concern that there was not adequate notification given to the City regarding the changing of premium channels from their placement on the analog tier to the digital tier. Please document notification that was given prior to such action and when the action of moving the premium channels was initiated Mediacom Response: Randy Brown and I met with the Drew Shaffer and yourself ot~ November 26, 2001 prior to the Cable Commission meeting held the same day and presented a preliminary channel line-up which clearly noted that the premium channels would be moving to the digital tier. We discussed the reasons for this change. The plans for the channel realignment and the headend collapse that included the transition of premium channels to the digital tier were also presented to the Cable Commission that evening. We subsequently received a letter from Andy Matthews dated November 27, 2001 regarding the City's concern about moving the Government access channel from 4 to 5 and a request for an additional Government access channel for Infovision. A response dated December 4, 2001 under my signature confirmed that Mediaeom would retain Government access on channel 4 and would move TBS to channel 61 rather than channel 5 where HBO was and provide channel 5 as an Infovision government access channel. The channel realignment was planned for January 16 when the decision was made to designate channel 5 as Infovision access. A copy of the City's letter and my response with the channel lineup is enclosed as Exhibit 3. These events and correspondence establish a notice having been provided to the City on November 26, 2001 of the relocation of premium channels on the digital tier. Additional notice was provided to the City on January 18, 2002 of the channel realignment and premium relocation after unexpected events forced the channel realignment to be delayed until February 27, 2002. A copy of this letter is also attached in Exhibit 3. The relocation of premium channels to digital began with contractors removing premium channel filters on January 24, 2001. 4. There is concern that adequate notification was not given to subscribers regarding the changing of premium channels from their placement on the analog tier to the digital tier. Please document notiJ~tcation that was given prior to such action and when the action of moving the premium channels was initiated Mediacom response: A notice was provided in the Iowa City Press Citizen on December 11, 2001 attached as Exhibit 4A. The channel lineup portion of the notice denotes different channels such as Infovision Access on channel 5 and CSPAN on channel 14 where HBO and Cinemax were located. The notice includes all the premium channels listed in the digital tier. A second notice was printed in the January 27, 2002 edition of the Press Citizen that specifically referenced the premium channels moving to Digital. The advertisement is attached as Exhibit 4 B. Customers were also individually notified of the relocation of premium channels by door to door sales, telemarketing and automated telephone messaging as premium channel filters were removed. 5. There have been complaints from subscribers that they have not been given credit for premium channel services that were billed and paid for but were moved from the analog tier to the digital tier during January and February. These primarily involved Encore, HBO, and Cinemax. Are these credits being given to all who are eligible? If so, how? If not, why not? Mediacom response: We believe these credits have been applied to all eligible customers. A billing report was generated to identify all customers with a premium billing code who did not have digital prior to the removal of premium channels from the analog lineup. All customers who had a premium service and digital received several screens of that premium channel on their digital prior to the channel realignment. This process allowed us to find all customers who needed the premium billing stopped because they did not have a Digital Converter Terminal on their account. All premium billing associated with analog carriage was stopped on January 18, 2002. The confusion and complaints regarding credits are a likely product of the date of their cycle billing and the mechanics of a pay in advance billing system. For ex,ar~le, any customer with an analog premium service that was invoiced prior to January 18 would have been billed for the analog service. Customers would then have the perception that they paid for a service that was now unavailable. The credit could only be applied at their next billing that occurred after they had paid their bill and after the analog premium service became unavailable. We are confident that the credits were applied because of the automated identification process utilized through the billing system that greatly limited the possibilities for error. Mediacom remains willing to provide credits to customers in the event that any situations exist meriting additional credits. 6 There have been concerns expressed by subscribers that they would not have been given credit by Mediacom if they had not complained for the outages of service they experienced. The City would like to ensure that all subscribers who experienced a loss of service for a period of 18 hours or more receive the required credit. Please state how many outages of 18 or more hours occurred during the aforementioned period of time and whether all subscribers affected have been credited for such outages. Mediacom response: We are not aware of any outages of 18 hours or longer during the period of January, February and March 2002 that would have impacted 3 or more subscribers in a given area. Individual subscribers may have experienced an outage of 18 hours or longer and may not have been provided a credit if they did not contact our office. Credits have been applied to customers who contacted our office and reported their individual loss of service. 7. There have been complaints from subscribers that they were not able to receive cable repairs for days at a time and that they were not given any call prior to a repair person showing up. The Iowa City ordinance states in Section 12-4-7H,, Service Response and Rebate, that the Grantee shall provide "same day service" response, seven (7) days a week for all complaints and requests for repairs or adjustments received prior to 2:00p. m. each day. In no event shall the response time for calls received subsequent to 2:O0 p.m. exceed twenty-four (24) hours. In Section XIII. M of the franchise agreement, Repair Calls, it states: "Franchisee shall offer subscribers repair service appointments in two hours windows. The Franchisee shall telephone the subscriber prior to arriving for a repair call." Please state whether Mediacom has remained in compliance with the stipulations stated above. If not, how many infractions occurred during the first quarter of 20027 Mediacom response: Mediacom performed same day service throughout the entire period and continues to comply with this requirement. Two hour service appointment windows were also maintained throughout this period. Calls were not made to all customers prior to a service call unless requested by the customer or if a technician schedule allowed for earlier than scheduled service calls. There is no way of calculating how many customers received a service call without a prior call. Please note that not all customers have telephones or answering machines to record calls and many service calls do not require entry to the home as signal and service checks are made at the ground block where possible or preferential for the customer. 8, There have been complaints that subscribers' bills are not clear enough to understand Does Mediacom intend to take any measures to make the statements clearer? Please describe. Mediacom response: A more specific description of the complaints is needed to address billing clarity. Please note that Cable Services Group, CSG, has been the billing vendor for Mediacom, AT&T Broadband and TCI in the Iowa City service area for more than five years. The subscriber bill format has not changed during the channel realignment period and has been in place for an extended time. Mediacom will investigate whether options are available with the billing vendor that could clear up any specific clarity issues the City may express. In fairness, it should be noted that pro rata credit application as required in the situation described in the response to question 5 above is inherently difficult to convey with absolute clarity for all customers in a recurring monthly billing process. 9. There have been complaints that subscribers have been given misleading information by telemarketers/sales people and/or customer service representatives regarding what they must purchase in order to receive certain premium channels, Lc. must purchase digital package to receive Cinemax, HBO, or Encore, when only a digital converter is necessary. In addition, some subscribers complained that they were promised "special deals ", such as one half price off for six months in one case, for three months in another case, for a lower price in another case, etc., some then being billed for the full amount. What action has Mediacom taken to correct this confusion? Please supply the City with a copy of all materials used by your telemarketers, sales persons and customer service representatives to solicit subscribers from January 1 to March 31, 2002. Mediacom response: Mediacom has reduced the number of marketing offers in the Iowa City market to simplify the process for all telemarketers, door to door sales personnel and customer service representatives. In addition, the practices of all customer contact personnel were reviewed following complaints from the City and customers to correct offerings that may have been misunderstood and therefore subject to miscommunication to customers. The purposeful miscommunication to customers by door to door sales people, telemarketers or customer service representatives resulting in a discount offer being made to a customer without the discount being applied to the account is unacceptable to Mediacom. Discipline up to and including termination or cancellation of a contractual representation agreement will occur for this type of behavior. The materials used by telemarketers, sales persons and customer service representatives are attached in Exhibit 9. 10. There have been complaints from subscribers that the information sent out by Mediacom, including brochures, fliers and newspaper advertisements, has been confusing and misleading. These involve questions of what the names of new (packages) tiers represent compared to the existing (packages) tiers, what channels are in the new tiers compared to the existing tiers, the comparative pricing of these tiers, the misnaming of channels on some tiers, and the timing of when the channel realignment was to occur. Please supply one copy of all information distributed to subscribers and the public pertaining to all changes that have occurred to the Mediacom cable system in Iowa City since December 1, 2001. What efforts has Mediacom made, or will Mediacom make, to correct this confusion? Mediacom response: The materials attached in Exhibit 9 apply to this question. As noted in the response to question 9, Mediacom dramatically limited the number of different offers in the market to simplify and stabilize the situation. Through cooperation with the City, we provided frequently asked questions and answers that scrolled on the Government access channel to inform the public. We also communicated the issues that prevented completion of the channel realignment to the City in private meetings, electronic message communication with the Cable Division and at Broadband Telecommunication Commission meetings. Current phone volume levels and activity suggest that confusion has subsided as time has passed since the channel realignment and the simplification of marketing and promotional offers. Mediacom will consider recommendations of the City to correct any confusion that might remain with customers. Mediacom will exercise extreme caution in providing additional information that could potentially confuse customers. Il. The City's cable TV ordinance Section 12-4-32H. states the following: "Notice of complaint procedures: Grantee shall periodically and at various times of the day, present its business office address and publicly listed local telephone number by means of alpha-numeric display on a local origination channel." Please propose to the City how Mediacom will comply with this requirement. Mediacom response: Mediacom provides the business office address and publicly listed local telephone number on the locally originated Weather Channel crawl throughout each day. Mediacom proposes that Government access channels 4 or 5 would be good locations to communicate this information as well. The local origination channel was eliminated when channels were realigned. Iowa City Cable system bandwidth is now limited such that a channel would need to be removed or limited to part time carriage in order to provide space for a dedicated local origination channel. 12. The Cable Division has received complaints from subscribers that there is no local telephone number published in the local telephone directory for Mediacom. Upon checking the local telephone directories, the McLeod telephone directory does have Mediacom's local telephone number listed while the Qwest telephone directory has an "888" long distance number listed. This does not meet the requirements of the franchise agreement. How does Mediacom propose to comply? Mediacom response: Mediacom will have a local number listed in the next publication of the Qwest telephone directory. The "888"number listed in the Qwest directory is a toll free number identical to an 800 number. The timing of publication of the Qwest directory and closing of the Mediacom acquisition of the cable system in 2001 are clearly relevant to inclusion of a different Mediacom phone number. The 2001-2002 Qwest publication close date was August 2001. The closing of the acquisition by Mediacom was July 17, 2001. The window for placing an advertisement in the Qwest book was therefore very limited. The local number remains listed under AT&T Cable Services in the Qwest phone book due to the timing of the sale. Mediacom respectfully disagrees that providing a local number in the McLeod directory and providing a toll free number of the "800" variety in the Qwest directory does not meet the requirement to have a "locally listed telephone number" in Section XIII (B) of the franchise agreement. Mediacom will have a locally listed telephone number in the McLeod and Qwest directories as new editions are printed. 13. Several of the local channel listings on the digital TV Guide and on the Channel 19 TV Guide are still incorrect as of March 18, 2002. This includes, for the digital TV Guide: Channel 98, the local Educational Channel for the schools, which is now listed as "City"; Channel 4 which is listed as "To Be Announced" but should be "City Channel 4 "; Channel 5 which is listed as "To Be Announced" but should be "InfoVision"; Channel 10 which is listed as "Local Access" but should be the "Library Access" Channel; and Channel 18 which is listed as "To Be Announced" and should be "Public Access". On Channel 19's TV Guide for the Broadcast and Family Cable tiers, Channel 5 is simply listed as Access TV and shouM be InfoVision and there is no listing for Channel 98. When will these corrections be made? Mediacom response: Considerable time and effort has been spent working with the City, TV Guide and HITS to accurately list the local access channels on both guides. As discussed with the City and the Broadband Telecommunication Commission, the identification of access channels is limited to a small number of default choices. TV Guide interacf~ve has required a source ID to customize access channel identifications. For example, we have worked with PATV to acquire a Source ID that was detenn'lned on April 24 and corrected on the interactive guide on the same date. We will work with the City to acquire a source ID for Infovision to customize that channel identification and will identify the educational access listing in accordance with Drew's electronic message from April 16. The remaining corrections will be made as soon as possible within the processes established by TV Guide Interactive and HITS. 14. Mediacom's Letter of Credit, required by ordinance, was never J~led with the City of Iowa City. AT&T's Letter of Credit expired some time ago. Please file Mediacom's Letter of Credit as required by the City of Iowa City ordinance. Mediacom response: The City should have received the Letter of Credit on March 27, 2002. A copy of the Letter of Credit is attached as Exhibit 14. Mediacom regrets that the City did not receive the Letter of Credit earlier. 15. The cable related problems outlined herein have caused constant and continuous hardships for City Cable TV staff during the period since January 15, 2002. First and foremost has been the time consumed in taking the huge volume of subscriber complaints. The amount of City staff time consumed dealing with the variety of cable related problems has been unprecedented. While normal dealings with cable related complaints are expected, the number of complaints lodged in this approximately eight week period is more than what the Cable TV Office normally receives in any three year period This literally tied up the phone lines of the Cable TV offices and created an intolerable workload for the entire permanent cable staff for that period of time. A volume of complaints well above the norm continues to come in. We would like to see Mediacom take further measures to communicate complete and accurate information to local subscribers, and to move as quickly as possible to address all complaints from subscribers in an effort to restore some of the customer trust and confidence that has been lost in recent weeks. Mediacom response: Mediacom readily acknowledges that the channel realignment and transition of premium channels to digital only carriage was neither as smooth nor as well communicated as we hope for our customers. The original delay of the project coupled with the bankruptcy of ~Home necessitating the unanticipated conversion of ~Home to Mediacom Online and the variety of promotional offers created dramatic phone volume increases and customer confusion. We sincerely regret ail customer inconvenience and related City Cable TV hardships that have been endured. Fortunately, the telephone volume and corresponding answering response times have returned to near normal levels for the month of April. The customer complaints reported by Drew at the April 22nd Broadband Telecommunications Commission meeting for the preceding 30 days also subsided by more than eighty percent from 185 to 36 from March to April. We believe the phone volume and reduced customer complaints indicate greatly reduced confusion with customers. Despite these improvements, Mediacom is committed to initiating further measures to communicate complete and accurate information to local subscribers to restore customer trust and confidence. We believe the simplification of promotional offers and customer service representative training has reduced confusion. Mediacom proposes to work closely with City staff to identify areas of confusion and lowered customer trust. Mediacom proposes to further work with City staff to develop a customer education campaign to improve the specific items that have created confusion. Mediacom will also consider other suggestions or requests by the City to improve our relationship with the City and Customers. Please contact me directly at (319) 395-9699 extension 202 if you have questions or concerns regarding the responses or if I may be of further assistance. Sincerely, MEDIACOIv[ -, Jon Koebrick Director of Government Relations Enclosures cc: Drew Shaffer Rick Tyler Rick Kames Randy Brown Charles King Bruce Gluckman Jim Carey Mediaco ..... F:!I ?'~ ? _ ~ · April 26, 2002 (.~i '? : ~ Sent Via Certified Mail - Return Receipt Requested Mr. Dale E. Helling Assistant City Manager City of Iowa City 410 East Washington Street Iowa City, IA 52240-1826 Dear Dale, Mediacom received your request for information dated March 22, 2002 regarding various issues related to the channel realignment of our Iowa City cable system. This correspondence will address the questions noted in your information request. Please note that the extensive nature of the request has required substantial research and compilation to provide an appropriate response. Mediacom recognizes that change in a cable system may be difficult for customers and that the broad changes in the Iowa City cable system over a relatively short period were not as smooth nor communicated as well as possible. As we have discussed in prior meetings, a series of unexpected events disrupted the planned timing and execution of the channel realignment to seriously impede our efforts for a smooth transition. Mediacom regrets all inconveniences created for our customers and the City through the recent changes. The City's language is italicized below and follows with the Mediacom response to provide a convenient comparison of the two letters. 1. The number of broadcast basic channels went from 24 channels to 22 channels. This will be noted in conjunction with a rate review when Mediacom submits their form 1240s in calculating the Maximum Permitted Rate. Mediacom Response: The City's observation of the change in the number of broadcast basic channels is correct and will be noted in the FCC form 1240 for calculation of the Maximum Permitted Rate. 2. Given the number of complaints from customers who were not able to reach Mediacom by phone during the period since January 15th, 2002, the City requests Mediacom's phone management data, as available, for the entire quarter of January I through March 31, 2002. The City also requests the cable company obtain a busy Mediacom Communications Corporation 6300 Council St. NE · Cedar Rapids, IA 52402 · 319-395-7801 Fax 319-393-7017 signal study from the phone company during the period January 1 to March 31, 2002, and that this be provided to the City. The City also requests t~q"ff~ m3tn~ggrqcn'J~ data for the last quarter of 2001, ending on December 31, 2001 as well. Mediacom Response: The phone management data from January 1,t~002,thl'0~gh 31, 2002 for the Iowa City phone center is attached as Exhibit 2. We have investigated obtaining a busy signal study from Qwest for the fourth quarter of 2001 and the first quarter of 2002. Qwest has informed us that a study cannot be performed on past telephone activity. We have requested a busy signal study going forward and have been working with Qwest to get this accomplished. We will provide the City with the results of the study upon completion. 3. There is concern that there was not adequate notification given to the City regarding the changing of premium channels from their placement on the analog tier to the digital tier. Please document notification that was given prior to such action and when the action of moving the premium channels was initiated. Mediacom Response: Randy Brown and I met with the Drew Shaffer and yourself on November 26, 2001 prior to the Cable Commission meeting held the same day and presented a preliminary channel line-up which clearly noted that the premium channels would be moving to the digital tier. We discussed the reasons for this change. The plans for the channel realignment and the headend collapse that included the transition of premium channels to the digital tier were also presented to the Cable Commission that evening. We subsequently received a letter from Andy Matthews dated November 27, 2001 regarding the City's concern about moving the Government access channel from 4 to 5 and a request for an additional Government access channel for Infovision. A response dated December 4, 2001 under my signature confirmed that Mediacom would retain Government access on channel 4 and would move TBS to channel 61 rather than channel 5 where HBO was and provide channel 5 as an Infovision government access channel. The channel realignment was planned for January 16 when the decision was made to designate channel 5 as Infovision access. A copy of the City's letter and my response with the channel lineup is enclosed as Exhibit 3. These events and correspondence establish a notice having been provided to the City on November 26, 2001 of the relocation of premium channels on the digital tier. Additional notice was provided to the City on January 18, 2002 of the channel realignment and premium relocation after unexpected events forced the channel realignment to be delayed until February 27, 2002. A copy of this letter is also attached in Exhibit 3. The relocation of premium channels to digital began with contractors removing premium channel filters on January 24, 2001. 4. There is concern that adequate notification was not given to subscribers regarding the changing of premium channels from their placement on the analog tier to the digital tier. Please document notification that was given prior to such action and when the action of moving the premium channels was initiated. Mediacom response: A notice was provided in the Iowa. City Press. Citi~n~, 'r r~:~Dec~mher-o ,;~ 1:$9 11, 2001 attached as Exhibit 4A. The channel hneup port~on of the n~otme denotes different channels such as Infovision Access on channel 5 and CSPAN o¢,¢hannel where HBO and Cinemax ' ' '~'~ ~ '- -- ~' were located. The notice includes all the premlmm chan~els., listed in the digital tier. A second notice was printed in the January 27, 2002 edition of the Press Citizen that specifically referenced the premium channels moving to Digital. The advertisement is attached as Exhibit 4 B. Customers were also individually notified of the relocation of premium channels by door to door sales, telemarketing and automated telephone messaging as premium channel filters were removed. 5. There have been complaints from subscribers that they have not been given credit for premium channel services that were billed and paid for but were moved from the analog tier to the digital tier during January and February. These primarily involved Encore, HBO, and Cinemax. Are these credits being given to all who are eligible? If so, how? If not, why not? Mediacom response: We believe these credits have been applied to all eligible customers. A billing report was generated to identify all customers with a premium billing code who did not have digital prior to the removal of premium channels from the analog lineup. All customers who had a premium service and digital received several screens of that premium channel on their digital prior to the channel realignment. This process allowed us to find all customers who needed the premium billing stopped because they did not have a Digital Converter Terminal on their account. All premium billing associated with analog carriage was stopped on January 18, 2002. The confusion and complaints regarding credits are a likely product of the date of their cycle billing and the mechanics of a pay in advance billing system. For example, any customer with an analog premium service that was invoiced prior to January 18t would have been billed for the analog service. Customers would then have the perception that they paid for a service that was now unavailable. The credit could only be applied at their next billing that occurred after they had paid their bill and after the analog premium service became unavailable. We are confident that the credits were applied because of the automated identification process utilized through the billing system that greatly limited the possibilities for error. Mediacom remains willing to provide credits to customers in the event that any situations exist meriting additional credits. 6. There have been concerns expressed by subscribers that they would not have been given credit by Mediacom if they had not complained for the outages of service they experienced The City would like to ensure that all subscribers who experienced a loss of service for a period of 18 hours or more receive the required credit. Please state how many outages of 18 or more hours occurred during the aforementioned period of time and whether all subscribers affected have been,,~en,aetjt~d~[or ~sucl~. outages. Medlacom response: We are not aware of any outages of 18 hours or ,~lger (dunng fh~]A period of January, February and March 2002 that would have impacted 3 or more subscribers in a given area. Individual subscribers may have experienced an outage of 18 hours or longer and may not have been provided a credit if they did not contact our office. Credits have been applied to customers who contacted our office and reported their individual loss of service. 7. There have been complaints from subscribers that they were not able to receive cable repairs for days at a time and that they were not given any call prior to a repair person showing up. The lowa City ordinance states in Section 12-4-7H, Service Response and Rebate, that the Grantee shall provide "same day service" response, seven (7) days a week for all complaints and requests for repairs or adjustments received prior to 2:00 p.m. each day. In no event shall the response time for calls received subsequent to 2.'00 p.m. exceed twenty-four (24) hours. In Section Xlll. M of the franchise agreement, Repair Calls, it states: "Franchisee shall offer subscribers repair service appointments in two hours windows. The Franchisee shall telephone the subscriber prior to arriving for a repair call." Please state whether Mediacom has remained in compliance with the stipulations stated above. If not, how many inj~actions occurred during the first quarter of 20027 Mediacom response: Mediacom performed same day service throughout the entire period and continues to comply with this requirement. Two hour service appointment windows were also maintained throughout this period. Calls were not made to all customers prior to a service call unless requested by the customer or if a technician schedule allowed for earlier than scheduled service calls. There is no way of calculating how many customers received a service call without a prior call. Please note that not all customers have telephones or answering machines to record calls and many service calls do not require entry to the home as signal and service checks are made at the ground block where possible or preferential for the customer. 8. There have been complaints that subscribers' bills are not clear enough to understand Does Mediacom intend to take any measures to make the statements clearer? Please describe. Mediacom response: A more specific description of the complaints is needed to address billing clarity. Please note that Cable Services Group, CSG, has been the billing vendor for Mediacom, AT&T Broadband and TCI in the lowa City service area for more than five years. The subscriber bill format has not changed during the channel realignment period and has been in place for an extended time. Mediacom will investigate whether options are available with the billing vendor that could clear up any specific clarity issues the City may express. In fairness, it should be noted that pro rata credit application as required in the situation described in the response to question 5 above is inherently difficult to convey with absolute clarity for all customers in a recurl~h~ h~¢fithfiy bllliflg process. 9. There have been complaints that subscribers have been given m~sl~fJ~g t~forma~-~A by telemarketers/sales people and/or customer service representatives regarding what they must purchase in order to receive certain premium channels, i.e. must purchase digital package to receive Cinemax, HBO, or Encore, when only a digital converter is necessary. In addition, some subscribers complained that they were promised "special deals ", such as one half price off for six months in one case, for three months in another case, for a lower price in another case, etc., some then being billed for the full amount. What action has Mediacom taken to correct this confusion? Please supply the City with a copy of all materials used by your telemarketers, sales persons and customer service representatives to solicit subscribers from danuary 1 to March 31, 2002. Mediacom response: Mediacom has reduced the number of marketing offers in the Iowa City market to simplify the process for all telemarketers, door to door sales personnel and customer service representatives. In addition, the practices of all customer contact personnel were reviewed following complaints from the City and customers to correct offerings that may have been misunderstood and therefore subject to miscommunication to customers. The purposeful miscorranunication to customers by door to door sales people, telemarketers or customer service representatives resulting in a discount offer being made to a customer without the discount being applied to the account is unacceptable to Mediacom. Discipline up to and including termination or cancellation of a contractual representation agreement will occur for this type of behavior. The materials used by telemarketers, sales persons and customer service representatives are attached in Exhibit 9. 10. There have been complaints from subscribers that the information sent out by Mediacom, including brochures, fliers and newspaper advertisements, has been confusing and misleading. These involve questions of what the names of new 09ackages) tiers represent compared to the existing (packages) tiers, what channels are in the new tiers compared to the existing tiers, the comparative pricing of these tiers, the misnaming of channels on some tiers, and the timing of when the channel realignment was to occur. Please supply one copy of all information distributed to subscribers and the public pertaining to all changes that have occurred to the Mediacom cable syslem in Iowa City since December 1, 2001. What ejf/brts has Mediacom made, or will Mediacom make, to correct this confusion? Mediacom response: The materials attached in Exhibit 9 apply to this question. As noted in the response to question 9, Mediacom dramatically limited the number of different offers in the market to simplify and stabilize the situation. Through cooperatl~fi with the City, we provided frequently asked questions and answers'~Ota[vs.~mlllxl q~.n[t~e Government access channel to ~nform the pubhc. We also commumcated the ~ssues that prevented completion of the channel realignment to the City in: private ~m~etings electronic message communication with the Cable Telecommunication Commission meetings. Current phone volume levels and activity suggest that confusion has subsided as time has passed since the channel realignment and the simplification of marketing and promotional offers. Mediacom will consider recommendations of the City to correct any confusion that might remain with customers. Mediacom will exercise extreme caution in providing additional information that could potentially confuse customers. 11. The City's cable TV ordinance Section 12-4~32H. states the following: "Notice of complaint procedures: Grantee shall periodically and at various times of the day, present its business office address and publicly listed local telephone number by means of alpha-numeric display on a local origination channel." Please propose to the City how Mediacom will comply with this requirement. Mediacom response: Mediacom provides the business office address and publicly listed local telephone nnmber on the locally originated Weather Channel crawl throughout each day. Mediacom proposes that Government access channels 4 or 5 would be good locations to communicate this information as well. The local origination channel was eliminated when channels were realigned. Iowa City Cable system bandwidth is now limited such that a channel would need to be removed or limited to part time carriage in order to provide space for a dedicated local origination channel. 12. The Cable Division has received complaints from subscribers that there is no local telephone number published in the local telephone directory for Mediacom. Upon checking the local telephone directories, the McLeod telephone directory does have Mediacom's local telephone number listed while the Qwest telephone directory has an "888" long distance number listed This does not meet the requirements of the franchise agreement. How does Mediacom propose to comply? Mediacom response: Mediacom will have a local number listed in the next publication of the Qwest telephone directory. The "888"number listed in the Qwest directory is a toll free number identical to an 800 number. The timing of publication of the Qwest directory and closing of the Mediacom acquisition of the cable system in 2001 are clearly relevant to inclusion of a different Mediacom phone number. The 2001-2002 Qwest publication close date was August 2001. The closing of the acquisition by Mediacom was July 17, 200t. The window for placing an advertisement in the Qwest book was therefore very limited. The local number remains listed under AT&T Cable Services in the Qwest phone book due to the timing of the sale. Mediacom respectfully disagrees that providing a local number in ~Mr.,L~eoql-di~,ectQpk: and providing a toll free number of the "800" variety in the Qwe~i~?eeto-r~9 d~ ~'of'' meet the requirement to have a "locally listed telephone number" in Section XI!I~_(t})~of the franchise agreement. Mediacom will have a locally listed telephan~t45tVO~i'~ ~ McLeod and Qwest directories as new editions are printed. .~v, ~,..~ _ ~ ~ .~. ~¥tn 13. Several of the local channel listings on the digital TV Guide and on the Channel 19 TV Guide are still incorrect as of March 18, 2002. This includes, for the digital TV Guide: Channel 98, the local Educational Channel for the schools, which is now listed as "City"; Channel 4 which is listed as "To Be Announced" but should be "City Channel 4 "; Channel 5 which is listed as "To Be Announced" but should be "InfoVision"; Channel 10 which is listed as "Local Access" but should be the "Library Access" Channel; and Channel 18 which is listed as "To Be Announced" and should be "Public Access ". On Channel 19's TV Guide for the Broadcast and Family Cable tiers, Channel 5 is simply listed as Access TV and should be InfoVision and there is no listing for Channel 98. When will these corrections be made? Mediacom response: Considerable time and effort has been spent working with the City, TV Guide and HITS to accurately list the local access channels on both guides. As discussed with the City and the Broadband Telecommunication Commission, the identification of access channels is limited to a small number of default choices. TV Guide interactive has required a source ID to customize access channel identifications. For example, we have worked with PATV to acquire a Source ID that was determined on April 24 and corrected on the interactive guide on the same date. We will work with the City to acquire a source ID for Infovision to customize that channel identification and will identify the educational access listing in accordance with Drew's electronic message from April 16. The remaining corrections will be made as soon as possible within the processes established by TV Guide Interactive and HITS. 14. Mediacom 's Letter of Credit, required by ordinance, was never filed with the City of Iowa City. AT&T's Letter of Credit expired some time ago. Please file Mediacom's Letter of Credit as required by the City of lowa City ordinance. Mediacom response: The City should have received the Letter of Credit on March 27, 2002. A copy of the Letter of Credit is attached as Exhibit 14. Mediacom regrets that the City did not receive the Letter of Credit earlier. 15. The cable related problems outlined herein have caused constant and continuous hardships for City Cable TV staff during the period since January 15, 2002. First and foremost has been the time consumed in taking the huge volume of subscriber complaints. The amount of City staff time consumed dealing with the variety of cable related problems has been unprecedented. While normal;~dObli~gs-~,ith?~b~e related complaints are expected, the number of complaints lodged in this approximately eight week period is more than what the Cable TV ~)ffi~e receives in any three year period. This literally tied up the phone~_~tnes of th~ G~l~t)~/[ TV offices and created an intolerable workload for the entire permanent cable staff for that period of time. A volume of complaints well above the norm continues to come in. We would like to see Mediacom take further measures to communicate complete and accurate information to local subscribers, and to move as quickly as possible to address all complaints from subscribers in an effort to restore some of the customer trust and confidence that has been lost in recent weeks. Mediacom response: Mediacom readily acknowledges that the channel realignment and transition of premium channels to digital only carriage was neither as smooth nor as well communicated as we hope for our customers. The original delay of the project coupled with the bankruptcy of ~Home necessitating the unanticipated conversion of ~Home to Mediacom Online and the variety of promotional offers created dramatic phone volume increases and customer confusion. We sincerely regret all customer inconvenience and related City Cable TV hardships that have been endured. Fortunately, the telephone volume and corresponding answering response times have returned to near normal levels for the month of April. The customer complaints reported by Drew at the April 22nd Broadband Telecommunications Commission meeting for the preceding 30 days also subsided by more than eighty percent from 185 to 36 from March to April. We believe the phone volume and reduced customer complaints indicate greatly reduced confusion with customers. Despite these improvements, Mediacom is committed to initiating further measures to communicate complete and accurate information to local subscribers to restore customer trust and confidence. We believe the simplification of promotional offers and customer service representative training has reduced confusion. Mediacom proposes to work closely with City staff to identify areas of confusion and lowered customer trust. Mediacom proposes to further work with City staff to develop a customer education campaign to improve the specific items that have created confusion. Mediacom will also consider other suggestions or requests by the City to improve our relationship with the City and Customers. Please contact me directly at (319) 395-9699 extension 202 if you have questions or concerns regarding the responses or if I may be of further assistance. Sincerely, MEDIACOIV[ Jon Koebrick Director of Government Relations Enclosures cc: Drew Shaffer Rick Tyler Rick Karnes Randy Brown Charles King Bruce Gluckman Jim Carey Exhibit 2 Exhibit 3 Exhibit 4A Exhibit 4B Exhibit 9 Campaigns Exhibit 9 Tele-Marketing Materials Exhibit 9 Rate Adjustment Mailer Exhibit 9 Exhibit 9 Door to Door Materials Exhibit 14 Letter of Credit Iowa City, Iowa October, 2001 I November, 2001 I December, 2001 I January, 2002 February, 20021 March, 20021 April, 2002 Total Calls Received 8,488 10,193 10,543 I 12,659 20,017 15,784 10,631 Calls Answered Within 30 Seconds 6,960 9,887 10,121 6,583 7,745 8,040 i ~ i % of Calls Answered Within 30 Seconds 82% 97% 96% 59% 46% 58% 85 Yo Iowa City, Iowa Total Calls Received r October, 20011 November, 20011 December, 2001 I January, 20021 February, 20021 March, 2002 8,488 I 10,193 I 10,543 I 12,659 20,017 15,78,1 _ 10,631 C~ ~nswered Within 30 Seconds 6,9o6,0 9,887 10,121 6,583 7,745 8,040 ~~-wered Within 30 Seconds 82 Yo 97% 96% 59% 46% 58% Mediaco~ Rates and L neup Information Rates and Lineup Information Mediaco~c~c~c~o-~ 1-800-800-CABLE November 2'7, 2001 Randy Brownvice_President ' L:~ ',, ~ .~ C[t~} 0~ IOv'?A (.?l' i~ C',,,"~/A Regioual Mediacom Communications Corporation 6300 Council St. NE Cedar Rapids, IA 52402 Re: Proposed Mediacom Ch~nel Realig~mlent & Additional City PEO Charnel Dear Mr. Brown: At the November 26 meeting of the Telecommunications Commission, Mediacom mmounced its pl~ to realign its cable chmmels, effective January 16, 2002. As the City staffwas advised of this proposal only hours earlier, and since the City was not consulted prior to such decision, we were unable to provide our comments to the pla~gd changes at the meeting. City staff has significant concerns with lhe proposed realig~ent as it affects the City Govermnent Chapel, cha~ol 4, which under your proposal, will become chapel 5. The City has put much effort, financial ~d otherwise, in cultivating a viewing audience ~d in co--unity recognition of where the chapel can be found on the cable system. The Ci~ does not wish to have its assigned ch~ei relocated to a diflErent ch~el. Chapel gamiliarity is essential in establishing and maintaining a viewing audience. In recognition of this, the franchise agreement provides in Section XI, that the franchisee shall use its best effo~s to maintain the cable chapel position of the access chapels in existence on the effective date of the fi'anchise. As no effo~s were made by Mediacom to consult with the City prior to making such a decision, we are unaware of any effo~s by Mediacom to maintain the existing chapel lineup, let alone the requirement under the franchise agreement to use your best efforts to maintain such chapel position. Pursuant to the terms of the franchise agreement, please provide ali info~adon and documentation of Mediacom's best effo~s to maintain the existing access cham~el lineup, and why such chapel position could not be maintained, if in fact, such is your position. On another, although related matter, under the terms of the fi'anchise agreement, Section XI, prior to the first subscriber being cut over to the rebuilt system, the franchisee shall provide three dedicated access channels lbr government access, two chanuels for educational access, and oue cbam~el ~br public access. The City cuneutly has only two dedicated channels ~br government access, one being the City Cham~cl 4 and the other ~he Library Channel. The City's Govemmem Channel 4 is being utilized to such a degre: tha one of its essgntial programs~ l~lbvisiom can otlly be run iu between other video programming. A study per,brined by the Cable Division demonstrates that viewership aod usage of Iol~vision increases d~aumticallv whon it has a set tim~ ~br regular and can be run for greater periods of time. Accordingly, tim C~t? fonna~yreques'ts that an additional channel be made available for govenunent access~ as reouire4 ~nderthe franchise agreement. .5 ~ ? }i' '!'*- 5 ' ~i ]. ~ 9 While Section XI provides that all active access chaanels be pl.,a~(~h.t~as}~f,i.er of service, unless both parties mutually agree otherwise, the ctts)i~bu[ldlq~e .M}l{~g to discuss placement under the proposed channel realigmnent to chmmel 61, which is cun-ently open, according to your proposed realigmuent of chamaels, if Mediacom can demonstrate to the City's satisfaction that its inclusion under the basic tier of service would be unreasonable. As Mediacom's proposed realigm'nent of chmmels is to take effect on January 16, 2002, it is imperative that these issues be resolved promptly. City staff looks forward to discussing these issues with you ar your earliest convenience. Please call Drew Shaffer, Cable Administrator, to arrange a mutually convenient time to meet. We look forward to visiting with you about these matters. Sincerely, Andrew P. Matthews Assistant City Attorney cc: Jon Koebrick, Mediacom Director of Govermnent Relations Stephen Atkins, City Manager Dale Helling, Assistant City Manager Drew Sheller, Cable Administrator Eleanor Dilkes, City Attorney Media ) December 4, 200I Mr. Drew Shaffer Cable TV Administrator City of Iowa City 410 East Washin~on Street Iowa City, IA 52240-1826 Dear Drew: I am in receipt of the City's letter dated November 27, 2001 from Andrew Matthews regarding channel realignment and the additional government access channel. Consistent with our phone conversations and electronic mail messages, I am writing to confirm that Mediacom will retain Iowa City GoverrLment Access on charmel 4 and move WTBS to channel 61. An additional government access channel will be designated as channel 5 in Iowa City. The channel wilI be identified as "Infovision Access" to reflect the City's requested name while utilizing "Access" in the title to designate it as a govermx~ent access channel. All other channel placements announced in our meeting and at the Broadband Telecommunications Corranission meeting on November 26, 2001 remain unchanged and will become effective on January 16, 2002 barring unforeseen circumstances. Notification of the changes will also continue as discussed at our earlier meetings. Please contact me directly at (319) 395-9699 extension 202 if you have any questions or concerns. Sincerely, rx MCC IOWA LLC C/' Jon Koebrick Director of Govermnent R. elations cc: Randy Brown 6300 Council Sr NE · Cedal Rap}ds. IA fi2402 · 319-395 7H0] F~tx 319-393 7017 November 27, 2001 Randy Brown Regional Vice-President L,,, , , Mediacom Communications Corporation 6300 Council St. NE Cedar Rapids, IA 52402 Re: Proposed Mediacom Ch~nel Realig~m~ent & Additional City PEG Chapel Dear Mr. Brown: At the November 26 meeting of the Telecommunications Commission, Mediacom mmounced its pl~ to realign its cable chmmels, effective J~uary 16, 2002. As Ce City staffwas advised of~is proposal only hours earlier, and since the City was not consulted prior to such decision, we were unable to provide our comments to the pl~ed changes at the meeting. City staff has significant concerns with the proposed realigment as it affects the City Gover~ent Chapel, cha~ei 4, which under your proposal, will become chapel 5. The City has put much effoa, fin~cial ~d otherwise, in cultivating a viewing audience ~d in co--unity recognition of where the chapel can be found on ~e cable system. The Ci~ does not wish to have its ~signed ch~el relocated to a different ch~el. Chapel fmiliarity is essential in establishing and maintaining a viewing audience. In recognition of ~s, ~e franchise agreement provides in Section ~, that ~e fr~chisee shall use its best effoas to maintain the cable chapel position of the access chapels in existence on the effective date of the franchise. As no effo~s were made by Mediacom to consult with the City prior to mahng such a decision, we are unaw~e of ~y effoas by Mediacom to maintain the existing chapel lineup, let alone the requirement under the franchise agreement to use your best effoas to maintain such ch~el position. P~suant to the terms of the franchise agreement, please provide ail info~arion and documentation of Mediacom's best effo~s to maintain the existing access chapel lineup, and why such chapel position could not be maintained, if in fact, such is your position. On another, although related matter, under the terms of the fi'anchise agreement, Section XI, prior to the first subscriber being cut over to the rebuilt system, the franchisee shall provide tl~ee dedicated access chapels for govermnent access, two channels for educational access, and one chaimel for public access. The City cun'ently has only two dedicated chmmels for goverment access, one being the City Chaimel 4 and the other the Library Chapel. The City's Govermnent Cham~el 4 is being utilized to such a degree that one of its essential programs, lnfovision, can only be run in between other video programming. A study peribrmed by the Cable Division demonstrates that viewership and usage of Infovision increases dramatically when it has a set time ~r regular cablecast and can be run for greater periods of time. Accordingly, the City formally requests that ail additional channel be made available for govenm~ent access, as required under the franchise agreement. While Section XI provides that all active access channels be placed on the basic tier of service, unless both parties mutually agree otherwise, the City would be willing to discuss placement under the proposed channel realigament to chmmel 61, which is currently open, according to your proposed realig~m~ent of chmmels, if Mediacom can demonstrate to the City's satisfaction that its inclusion under the basic tier of service would be u~easonable. As Mediacom's proposed realig~ent of chapels is to take effect on Janua~ i6, 2002, it is imperative that these issues be resolved promptly. City staff looks forward to discussing these issues with you ar your earliest convenieuce. Please call Drew Shaffer, Cable Administrator, to ~range a mutually convenient time to meet. We look forward to visiting with you about these matters. Sincere , City Attorney Assist~t cc: Jon Koebrick, Mediacom Director of Gove~ent Relations Stephen Atkins, City M~ager Dale Helling, Assistant City Manager Drew Shaffer, Cable Administrator Eleanor Dilkes, City A~omey HEADEND FIBER INTERCONNECT DATE 1/16/02 ~ ~ ~,, /,~'~ ~ ~ Broadcast Basic Service 3 WGN · 16 9 KCRG (9) ABC 9 Expanded Basic Service Prem, Chs. Moving to Digital Digital Service I ~0 NOGGIN-O 120 137 TRIO O 137 833 MOVIE 33.D .~u~,e.~,~ ~ Add MediT- --D acorn January 18, 2002 ?ii 2:O0 Mr. Dale Helling l'~J/~, I ~i ~' !(~j,',~dA City of Iowa City 410 East Washin~on Street Iowa City, IA 52240-1826 P.E: Upcoming Channel Changes Dear Dale: I am writing you today to inform you of several exciting changes that are coming to Iowa City on February 20, 2002. On February 20, many of the channels that you currently receive will change location and many others will be added to the line-up. We will be placing a legal notice of these changes in the local newspaper thirty days before the February 20 change. The new channel line-up and package rates are attached. Customers will receive a notification at their home with a new charmel card displaying the channel location of all channels three to four days prior to the change. We hope to minimize customer confusion by using this two step notification approach. Mediacom is connecting the Iowa City system to our master headend located in Cedar Rapids via fiber optic cable. The link to the master headend will allow us to provide more advanced services in the future. Customers will benefit from this connection by receiving improved reception of KGAN (CBS) and KCRG (ABC), as both broadcasters are connected to our Cedar Rapids headend with fiber optics. The fiber optic link reduces over the air interference and improves reliability because we could continue to provide their signals to all cable customers in your community in the event either of these stations would lose their transmitter. Mediacom is planning fiber optic connections with KFXA (FOX) and KPXR (Pax) to improve the reception of these channels as well. Mediacom is pleased to bring these advancements to Iowa City in the few short months that we have owned these cable systems. We look forward to providing more advanced services in the future. If you should have any questions regarding any of the upcoming changes please feel free to contact me at 319- 395-9699 extension 210. Sb~cerely, Randy D./~row~~-~_© Re~onal/{/ice President cc: Jon Koebrick Mediacoln Coo/n'~unications COlpOtation 6300 Council St. NE · Cedar Rapids, IA 52402 · 319 395 7801 Fax 319-393 701'2 Mediaco~ ......., ~,~1 ~, OvYA Rates IMPORTANT and Lineup Information Mediaco~ 1-800-80fl-CABLE Mediacom? IMPORTANT Lineup Information llrCfl~q'lfTr Medi~ 1-3~ 9-35~-3984 Discover the ---o-- -Bi~ifal Differencel Taxes and Fees Expand your world by sub$crlbing Customer Privacy Rights 1 800 800 CABLE Mediacom's New Hi~h-Speed NO Need f,,r ~ Second Phone Line IMPORTANT and Lineup Information Rates M diacom7- -e-'~---~' IMPORTANT Rates and Lineup Information Medi~om) 1-800-800-CABLE 5503 XM3~S BILL STUFFER 11/6/01 2:09 PM ~ There's something for everyone this holiday season when you upgrade to Mediacom @Home. $9.95 instattation for @Home high-speed intemet upgrade 50% off first two months of @Home service Mediacom donates the installation fee to Mediacom Values Education Like many families in the Midwest, the employees of Mediacom believe in the importance of hi~her education. That's why Medlacom has created a oca scholarship program to help §raduating' high school students ~_ get a head start with their colleEe tuition. Mediacom is committed to advancing higher education in our communities. In the months ahead, high schools across the state will be given information on how students can apply for one of the Mediacom World Class scholarships. The t,~ediacom Sch~laff~hip Program OHOME CLIENT: Mediacom - 732 PROJECT: Holiday Campaign-Radio-5377 i f'~ · ~ .. SFX: [school hallway - locker doors - student traffic] ,:.~,'Z*i,::~i-6 [:~ 2:00 FOCB: Hey, Cable Boy. Got any plans for the holidays? CBOY: Yeah. I'm going door to door to help people go to co le~ FOCB: How are ya going to do that? C BOY: Simple. I just ask them to call Mediacom. FOCB: And? C BOY: When you do, you get installation of any Mediacom service - basic cable, digital cable or at home - for just nine ninety five. Then, Mediacom donates the installation fee to the Mediacom World Class scholarship program. FOCB: That sounds nice. C BOY: Plus, when you call, you get the first two months of service for fifty percent off. Imagine, watching cable AND helping someone pay for College. And all it takes is just one calk 1-800-800-CABLE. Hey, where are ya goin? FOCB: What do ya think? I'm going to get into the holiday spirit and knock on some doors, myself. ANNCR: Get installation of any Mediacom product for just nine ninety five. And When you call, we'll donate the installation fee to the Mediacom World Class scholarship program plus, you'll get fifty percent off the price of service for two months, including super-speed Mediacom at Home-. Call 1-800-800-CABLE. Mediacom, Your World. Now. ~r ~ 501 8w 7TH STREET AOVERTIS~.~ SUITE J MARKETIN~ DES M01NES, 10WA 50309 515-243-2845 ~'uet~c REL,~n0. S i ~ _. , FAX 515-243-6351 ~LYNN WRIGHT ~ . .L~ www.flynnwdght.com ~.~.~cnv~ .~.~ CLIENT: ~dmcom - ?92 ~O~,A,~/~ , ~, PRO~C~: ~anuary Showdm~ - 5580 - ~ cH no Hsd SFX: [ringing phone] FADE UP TO MWS Cable Boy watching TV, Camera tracks around CABLE BOY: Hello'. Hey, what's happenJn'. [he as phone rings. He picks up, CUT TO MWS Cable Boy w/phone, waits] I'4o way! CUT TO TS Cable Boy Why go out when we can get plenty of movie DISS/FLASH to montage/grid of action right here? Cable Boy making calls/on phone- various. Soften to allow for GG. ANNCR: There's no better choice for movies CG: Free upgrade and family fun than Mediacom. And right now, Order Showtime and get second month FREE when you call, you'll get a free upgrade when CG: Call 1-800-800-CABLE you order Showtime with any digital package. Plus, you'll get the second month of service FREE. Call 1-800-800-CABLE. There's something for every member of the DISS TO MWS Cable Boy with family with Mediacbm. room full of people watching movies in background. CABLE BOY: Now THiS is entertaimnent. DISS TO Mediacom animation. Your World. Now, MX: [FULL THEN OUT] ~ 501 SW7TH STREET SUITE J OES MOINES, iOWA 50309 515-243-2845 Pu.L~c . E~.A'r~0. S ~ FAX 515-243-6351 ~LYNN WRIGHT www.flynnwright.com IK~EAACTIVE MEDIA CLIENT: Mediacom - 73~?~'~/~ L~' ~ ;' ?¢~-~'''JA~ PROJECI. January Showtime ~ 5580 - cross chan SFX: [ringing phone] FADE UP TO MWS Cable Boy watching TV. Camera tracks around CABLE BOY: Hell6. Hey, what's happenin', the as phone rings. He picks up. CUT TO MWS Cable Boy w/phone, waits] No way! CUT TO TS Cable Boy Why go out when we can get plenty of movie DISS/FLASH to montage/grid of action right here? Cable Boy making calls/on phone- various, Soften to allow for CC. ANNCR: There's no better choice fol- movies CG: Free upgrade and family fun than Mediacom. And right now, Order Showtime and get second month FREE when you calF, you'll get a free upgrade when CG: Gall 1-800-800-CABLE you order Showtime with any digital package or High Speed Data. Plus, you'll get the second month of service FREE. Call 1 800-800-CABLE. There's something for every member of the DISS TO MVVS Cable Boy with family with Mediacom. room full of people watching movies in background. CABLE BOY: Now THIS is entertainment. DISS TO Mediacom animation. Your World. Now. MX: [FULL THEN OUT] CLIENT: Mediacom - 732 PROJECT: Holiday TV -5378 - C digital cable MX: [Holiday-isb FULL the/4~n,dcr]. :,"5...~"¢ ¢7~' FADE UP TO WS Cable Kid busy in room, Cable Boy appears at doorway. CUT TO TS Cable boy CABLE BOY: Hey Cable Kid. What's happening? CABLE KID: Stop! I'm wrapping your CUT TO TMS Cable Kid wrapping present present. CUT TO TS Cable Boy CABLE BOY: Oops. Hey, have yeti seen my remote? CABLE KID: I don't see it right now. CUT TO MS CK, covers wrapping then speaks ANNCR: Looking for a great gift for the FLASH TO CG: "Upgrade to digital cable for $9.95 whole family? How about upgrading to digital Plus 50% off first 2 months cable from Mediacom forjust nine ninety five Mediacom donates installation fee to World Class scholarship plus get fifty percent off the first two months. program [GRAPHIC] And for every upgrade, we'll donate the CG: Call 1-800-800-CABLE installation fee to the World Class Mediacom scholarship program. DISS TO MS Cable Boy holding wrapped gift -standing by or leamng on TV. it's obwously a remote. CB smiles wisely, CABLE BOY: Iley, it's the thought that counts. DIgS TO Mediacom animation. Your World. Now. MX: [FULL THEN OUT] .... Pi; 2:00 CLIENT: Mediacom - 732 .'iLL./,~ PROJECT: Holiday TV -5378- B - @ Home MX: [Ho]idas-isln FULL then underJ FADE UP TO WS Cable Kid busy in room, Cable Boy appears at doorway. CUT TO TS Cable boy CABLE BOY: Hey Cable Kid. What's happening? CABLE KID: Stop~ I'm wrapping your CUT TO TMS Cable Kid wrapping present present. CUT TO TS Cable Boy CABLE BOY: Oops. Hey, have you seen my remote? CUT TO MS CK, covers wrapping CABLE KID: I don't see it right now. then speaks ANNCR: Want super fast Intemet access? FLASH TO CC: "Installation Mediacom ~ Home for $9.95 You'll get it when you call Mediacom and Plus 50% off first 2 months install at Home for just nme ninety five plus Me0iacom donates installation fee to World Class scholarship fifty percent off the first two mond~s. And for program [GRAPHIC] cvery instalhttion, wc'll donate the installation CC: Gall 1-800-800-CABLE fee to the World Class Mediacom scholarship program. DISS TO MS Cable Boy holding wrapped g¢R -standing by or leaning on TV. it's obvious¢ a remote. CB smiles wise¢. CABLE BOY: Hey, it's the thought that counts. DlSS TO Mediacom animation. 'four World. Now. MX: [FULL T~N OUT] PROJECT: Holiday TV -5378 - A broadcast MX: [Holiday-ish FADE UP 10 W$ Gable Kid busy in room, Cable Boy appears at ~oo~ay. GDT TO TS GaOls boy CABLE BOY: Hey Cable ~d. What's happening? CABLE KID: Stop. I'm wrapping your GUT TO TMS Cable Kid wrappin9 present present. CUT TO TS Cabte Boy CABLE BOY: Sorry. Hey, have you seen my remote'? CABLE KID: I don't see it fight now. CUT TO MS CK, covers wrapping then speaks ANNCR: Here's a gift everyone can enjoy. FLASH TO CG: "Installation of Basic Cable, Digital Cable Nine ninety five installation of any Mediacom Mediacom ~ Home for $9.95 Plus 50% off first 2 months product plus fifty percent off the first two Mediacom donates installation months. Plus, for every installation, we'll tee Id World Class scholarship donate the installation fee to the World Class program [GRAPHIC] CC: Call 1-800-800-CABLE Mediacom scholarship program. DISS TO MS Cable Boy holding CABLE BOY: Hey, it's the thought that wrapped gift -standing by or leaning on TV. it's obviously a counts. remote. CB smiles wisely. MX: [FULL THEN OUT] DISS TO Mediacom animation. Your World. Now. 50% Med acom sTA.OA O US POSTAGE PAID PERMIT #$23 Any Cable Package for 2 Months~ ~o~ ,.~o,, ~..u. ~ ~o,~. ~A ~o~ ~.o.~ ~. FLOR~OA Trim your tree with great entertainment and holiday savings from Mediacom. It's your best connection to the ~atest hit movies, up-to-the-minute coverage of world news, exclusive sporting events, your favorite Ioca~ channels and mere. So call now and give the g~ that keeps on giving all year Iong~ Plus, $9.95 Installation with the proceeds going to the Mediacom World Class Scholarship Program. Carl to Order~ ' ~ i 800 800 CABLE ~ Mediacom- the perfect gift for the whole family Mediacom has what you need to make the holiday season brighter. With Digital cable, you have more than 100 channels from which to choose, giving the whole family a chance to see their seasonal favorites. And Mediacom @Home gives you Digital 50% Off ),our first Cable two montlns , Med acom Your World. Now. -800-800-CABL£. ~ ~ 501 SW 7TH STREET ADVERTISING SUITE J MAAKI~TIN~; DES MOINES, IOWA 50309 515-243-2845 FI! [:~-~, , FAX 515-243-6351 RESEARCH "'LYNN WRIGHT www.flynclwright.com INTERACTIVE MEDI~ CLIENT: lvma2acom - 7~_ PROJECT: January Radio - Showtime - 5582 - alt SFX: [classroom shuffling] TEACHER: Okay class. Here's the next p~oblem..lack and Alex aro going to the movies and each boy can take two friends. Tickets cost six dollars - but the matinee is just t~-ee fifty. How much will the boys save by going to the matinee. Cable Boy? CB: They can save a lot more by just staying home and watching great movies on Mediacom and Showtime. TEACHER: That's not really the point. CB: Hey, they want to save money, don't they? And right now, when you order any digital cable package with Showtime, installation is fl'ee. And the second month of service is free, too. TEACHER: But we're trying to solve Alex and Jack's problem. CB: What problem? All they have to do is call Mediacom. And not just for movies. There's a lot of great stuff to see. Some of it's even educational. And th~l'e's only one number to remember. TEACHER: And that number is? CB: I 8O0-8DO-CABLE. 11 only math was this easy~ ANNCR: Get a great entertainment bargain with Mediacom. Call to order any digital cable package with Showtime and the installation is free. Plus the second month of service is free. Call today at 1-800-800- CABLE. I)ISCLAIMER: Showtime and related marks are trademarks of Showtime Networks, 'lnc, a Viacom company After the promotional period, current retail rates will apply. SFX: [chaotic classroom - kids are excited over CB's news~ CABLE BOY: Hey, it's your world. Now. ~r ~ 501 sw 7TH STREET SUITE J DES MOINES, 10WA 50309 Fl! !~!3 515-243-2845 FAX 515-243-6351 RESE~ARC# CLYNN WRIGHT www.flynnwdght.com ~K~ERACT~VE MED~A PROJECT: January 5howume - 5580 - broadcast SFX: [ringing phone] FADE UP TO MWS Cable Boy watching 7~V. Camera tracks around CABLE BOY: Hell& Hey, what's happenin'. [he as phone rings. He picks up. CUT TO MWS Cable Boy w/phone, waits] No way! CUT TO TS Cable Boy Why go out when we can get plenty of movie DISS/FLASH to montage/grid of action right here? Cable Boy making calls/on phone- various. Soften to allow for CG. ANNCR: There's no better choice for movies CG: Free Installation and family fun than Mediacom. And right now, Order Showtime and get ' o second month FREE when you call, you il ~,et free installation when DISCLAIMER: Showtime and you order Showtime with any digital package or related marks are trademarks of Showtime Networks, Inc, a Viacom High Speed Data. Plus, you'll get the second company. After the promotional period, current retait rates will apply1 month of service FREE. CEll] 1-800-800-CABLE. CG: Call 1-800-800-CABLE There's something for every member of the family with Mediacom. DISS TO MWS Cable Boy with CABLE BOY: Now THIS is entertainment. room full of people watching movies in background. DISS TO Mediacom animation. MX: [FULL THEN OUT] Your Wodd, Now, HOW TO GET YOUR ! SHOW~M E! FREE w~ c~ IT S ............................. ,,.,~.~, ......... ,~ .............. ~,,.~,.~ ....... HIT FREE installation and your second month FREE~- CALL NOW to order: J-8OO-8OO-CABLE BOXING c~:~,~ MOST MEMORABLE ~OG~^~ .... CHANGING ...... A*r~ I h .... lauded proD ...... h ........ Idw~de ph ........ I ......... Ik s~w~'~ OPr~h Wm rey or ~. Irh~ ~j~2 t~s he ~ ............... d ~ ~e~ genre ~ .......... by combln nD d ......... les) ~' ...... ~¢~SrThepZ .......... days rea~,ty~ [rend the~ ........... fTheRea Wor,d ; Z; ~ Mediacom Values Education World Clas~ ......... ~ 50~ SW 7TH STREET SUITE J DES M01NES, 10WA 50309 ,-- r--, 515-243-2845 ~UI~LlC ~ / FAX 515-243-6351 ',LYNN WRIGHT www.flynnwright.com IN~R~CTIV~ ~EOl~i CLIENT: Media¢~¢.,7~ i i/ ~,~)~t,~/A LENGTH: 60 JOB NUMBER: 732-5930 DATE: 2-4-02 SUBJECT: Starz] / March VERSION: SFX: [Footsteps walking. Another set of feet runs up] GIRL: Cable Boy! Wait up. Can I walk with you? CABLE BOY: Sure. I guess. GIRL: I really liked the way you explained the Weather Channel schedule today in science class. You're so smart. CABLE BOY: Thanks. It was no big deal. GIRL: Want to come over to my place and look at the stars tonight? CABLE BOY: Starz[? Sure. They've got new hit movies like the Grinch and The Mummy Returns GIRL: I don't mean those stars. CABLE BOY: Are you kidding? Hey, and right now, if you call Mediacom to subscribe to digital cable, you get free installation plus two months of the Starz! Super Pek, FREE, What a deal. Just call 1-800-800-CABLE. GIRL: But what's that got to do with you and me? CABLE BOY: Nothing, I guess. But it sure has a lot to do with a bunch of cool, new hit movies. You d_9_o have popcorn, don't you? GIRL: Oh Cable Boy! I guess the invitation is OFF! CABLE BOY: Whatever. Guess I'll just be gazing at Starz! by myself. ANNCR: Want the most in cable entertainment? Call Mediacom today at 1-800-800-CABLE to subscribe to digital cable. Installation is free plus you get two free months of the Starz! Super Pak. CABLE BOY: Get smart. Get DIGITAL Cable. DISCLAIM: Offer may not be available in all areas Call for complete details, '~ 501 SW 7TH STREET ADVERTISING SUITE J DES M01NES, r0WA 50309 515-243-2845 pUBLIC RELATIONS FIE E!,'~ FAX 515-243-6351 RESEARCH CLYNN WRIGHT www,fiynnwright.corn INTERACTIVE MEDIA ;.~ t;i','~' -5 f~ 2:02 CLIENT: Med acoro--r,,7;~2F, , ¢'",',',/A LENGTH: :30 JOB NUMBER :732-5928 DATE: 2-20 SUBJECT: Starz!/Encore VERSION: juggling WDEO AUDIO FADE UP to various pans/t~s MX: [FULL then under ANNCR] of video monitors (video wall) EFFECT (OVER MONITOR ANNCR: Where can you find more channels...more IMAGES/MOVES) electronic selection...more family entedainment? pulse/current PAN TO MWS Cable Boy CABLE BOY: Mediacom. Where else? juggling ANNCR: For a great lineup of first run premium EFFECT TO quick cut montage of images from Bridget Jones, movies, turn to the Starz Super Pak. Crouching Tiger, Grinch, Mummy Returns And right now, when you subscribe to digital cable CG: Subscribe to digital cable from Mediacom, the installation is free and you get from Mediacom FREE Installation two free months of the Starz! Super Pak. 2 Months of Starz Super Pak FREE For the best in cable entertainment, including Starz!, call Mediacom at 1-800-800-CABLE. Then, enjoy the CG: 1-800-800-CABLE shows. CABLE BOY: Get smart. Get Cable. DISS TO: MS Cable Boy the juggling balls drop and reveal "Mediacom/Digital/Rules MX: [FULL and OUT] EFFECT TO logo '~ 501 SW 7TH STREET SUITE J DES M01NES, f0WA 50309 ~"'1l r-'~ 515-243-2845 PUAILIC RELATIONS CLYNN WRIGHT ~l? ~::~ ~ FAX 515-243-6351 RESEARCH www.flynnwright.com I~TERACTIVE MED~ ~ 501 SW ~'TH STREET SUITE J DES MOINES, IOWA 50309 515-243-2845 ~. u. ~.~ c . ~I.,~TIO N S ~LYNN WRIGHT www.flynnwright.com iNTERACTIVE MEOIA CLIENT: Mediacom- (~,,~ ~-,, ~ ~ ~,~,~ LENGTH: :30 JOB NUMBER:5928 A DATE: 2-20 SUBJECT: Starz[/Encore VERSION: cross channel WDEO AUDIO FADE UP to various pans/tilts MX: [FULL then under ANNCR] of video monitors (video wall) EFFECT (OVER MONITOR ANNCR: Where can you find more channels...more IMAGES/MOVES) electronic selection...more family entertainment? pulse/current PAN TO MWS Cable Boy CABLE BOY: Mediacom. Where else? /uggling ANNCR: For a great lineup of first run premium EFFECT TO quick cut montage of images from Bridget Jones, movies, turn to the Starz Super Pak. Crouching Tiger, Grinch, Mummy Returns And right now, when you upgrade to digital cable from CG: Upgrade to digital cable Mediacom, you get two free months of the Starz! from Mediacom 2 Months of Starz Super Pak Super Pak. FREE For the best in cable entertainment, including Starz!, call Mediacom at 1-800-800-CABLE. Then, enjoy the CG: 1-800-800-CABLE shows. DISS TO: MS Cable Boy the CABLE BOY: Get smart. Get Cable. juggling balls drop and reveal "Mediacom/Digital/Rules MX: [FULL and OUT] EFFECT TO logo ~ 501 SW 7TH STREET ^.VER'rI~,O SUITE J ~ J.~I[~N ~ DES MOINES, 10WA 50309 515-243-2~45 ~ ~. FAX 515-243-635~ ~c, ~LYNN WRIGHT ~ ..... www.flynDwright.com , Thinking about a Dish? Only Mediacom affers these advantages! Medi acom Free Installation Plus 50% Off First Month of Service of Digital Cable or High-Speed Internet Access Service ~:¢' * )?~ 800 800 CABLE ? Get Free Installation to Digital '~ ~ '--~ Mediacom Digital Cable Cable ~} More ~ '::;;;~';'~ Delivers ~a,,,, ~ Premium and Save 50% on Your the Latest ~,o.a, program ~~~ ~,.~ ,o~ ~ Movie First Month of Service~* Channels wh°le'am"Y' Screens Mec,acom de~[vers a world of varrety and control w,~hout E~NE~/ _ ~ ~ ~ ~,~ o~ ~ ~,~ ~, c~ ~o~ ~ ~o~ ~o: . than Ever . ~ ..... ,o O~.r ~oo ~,~,~, ~..~,~ ~ ~ Beforei High-Speed Internet Service... PIus~ Even More ay-Per-View and Music[ Mediacom Forced Digital Script OPENING: Hello, this is calling from Mediacom your cable company. May I speak with Mr. (s) ? (SPEAK ONLY WITH ACCOUNT HOLDER OR SPOUSE) YES: GO TO PRESENTATION NO: GO TO THE END CALL PRESENTATION: Mr.(s) I'm calling today/this evening to let you know about a great opportunity to try out MED1ACOM digital Cable. My records indicate that you currently subscribe to (list their services). Is that correct? Yes: Continue Mr.(s) for what you're paying for your analog cable we can upgrade you to our Digital cable and receive all of the benefits. Included in our Digital Access Package you will receive Basic, Expanded Basic, up to 10 Special Interest Channels Such as Goff Channel, Discovery Kids, Game Show Network and BBC America, 45 Digital Music Channels and Access to multiple channels of Pay-Per-View. Also, included is TV Guide Interactive -(gives you great features such as parental coutrol, favorite chanuels, search engine, local weather, ect .... ), a Digital converter and remote control is also included. *Probe customers to see what package best fits ~r]~e~r neeus. ~33 Mr.(s) since you already have (List ~'.".~, -~,, Services) and are paying $ we can up grade you to our digital Package for just $ more then your paying right now and receive all of the benefits of digital cable. OFFER: Right now I can give you a free installation, which is a saving of $25 and 50 % off of your digital service for the next two- month. Mr.(s) we have installers in your area what day would be best for you to have this installed? Yes: Great (Schedule and appointment and confirm order. NO: Rebuttal REBUTTAL: If you would like to continue receiving your premiuln Channels you would need to subscribe to our digital service. As of (date) the premium channels will only be available on the Digital Packages. Digital Cable has so much to offer that it is sometimes hard for us to try and explain it to you. That's why it's a great opportunity to try it out since there is no installation fee and two month of the digital service 50 % off. See all the great beuefits for yourself. YES: Go To Coufirmation NO: Go To End Call CONFIRMATION: Mr.(S) I have you down for our Digital Package as your premium service(s) being the total cost of this package is $ for the first month and after the first month it will go to $ . With a FREE INSTALLATION. I have you scheduled for (DAY) the (DATE) in the (AM/PM). All I need to do now is confirm your address do you live at Great! Well thank you for your order and enjoy Mediacom digital cable. End Call: Thank you for your time today/tonight. If there is anything that we can help you with, please call Mediacom Cable Customer Service at 1-800-332-0245 Package Prices Digital Access $51.95 Digital Access with Encore $56.94 1 Pay - Digital Choice $60.95 (Add $2 more for HBO) 2 Pay - Digital Value $69.95 (Add $2 lnore for HBO) 3 Pay - Digital Value Plus $75.95 (Add $2 more for HBO) Total Digital $83.95 (Add $2 more for HBO) Oli,' ' ,,-~::', ~ Forced Digital Script OPENING: Hello, this is calling from Mediacom your cable company. May I speak with Mr. (s) ? (SPEAK ONLY WITH ACCOUNT HOLDER OR SPOUSE) YES: GO TO PRESENTATION NO: GO TO THE END CALL PRESENTATION: Mr.(s) I'm calling today/this evening to let you know about a great opportunity to try out MEDIACOM digital Cable. My records indicate that you currently subscribe to (list their services). Is that correct? Yes: Continue Mr.(s) for what you're paying for your analog cable we can upgrade you to our Digital cable and receive all of the benefits. Included in our Digital Access Package you will receive Basic, Expanded Basic, up to 10 Special Interest Channels Such as Golf Channel, Discovery Kids, Game Show Network and BBC America, 45 Digital Music Channels and Access to multiple channels of Pay-Per-View. Also, included is TV Guide Interactive -(gives you great features such as parental control, favorite channels, search engine, local weather, ect .... ), a Digital converter and remote control is also included. *Probe customers to see what package best fitg~tliteib Mr.(s) since you already have (Lis~y,/,:,...~ Services) and are paying $ we can up grade you to our digital Package for just $ more then your paying right now and receive all of the benefits of digital cable. OFFER: Right now I can give you a free installation, which is a saving of $25 and 50 % off of your digital service for the next two- month. Mr.(s) we have installers in your area what day would be best for you to have this installed? Yes: Great (Schedule and appointment and confirm order. NO: Rebuttal REBUTTAL: If you would like to continue receiving your premium Channels you would need to subscribe to our digital service. As of (date) the premium channels will only be available on the Digital Packages. Digital Cable has so much to offer that it is sometimes hard for us to try and explain it to you. That's why it's a great opportunity to try it out since there is no installation fee and two month of the digital service. 50 % off. See all the great benefits for yourself. YES: Go To Confirmation NO: Go To End Call CONFIRMATION: Mr.(S) I have you down for our Digital Package as your premium service(s) being the total cost of this package is $ for the first month and after the first month it will go to $. . With a FREE INSTALLATION. I have you scheduled for (DAY) the (DATE) in the (AM/PM). All I need to do now is confirm your address do you live at Great! Well thank you for your order and enjoy Mediacom digital cable. End Call: Thank you for your time today/tonight. If there is anything that we can help you with, please call Mediacom Cable Customer Service at 1-800-332-0245 Package Prices Digital Access $51.95 Digital Access with Encore $56.94 1 Pay. Digital Choice $60.95 (Add $2 more for HBO) 2 Pay - Digital Value $69.95 (Add $2 more for HBO) 3 Pay - Digital Value Plus $75.95 (Add $2 more for HBO) Total Digital $83.95 (Add $2 more for HBO) DIGITAL BRONZE CUSTOMERS-IOWA TELEMARKETING FACT SHEET IOWA REGIONS HBO #: 5938-1 USTOMER SERVICE #: ~.-800-800-CABLE PRO3ECTM'(~R:V -6 ~'i:i ~: C~LIE AVAILABLE IN OFFICE: YES TIME Z(~N-~-: .... CENTRAL START DATE: SALES GOAI~. ~/ -~ - - , 2.0 · *IS NOTE: Please Display Target Group & Prin Number for Reps to see. TARGET GROUP OFFER INSTALL ~.9.) DIGITAL BRONZE CUSTOMERS Upgrade to Digital Value Plus Package with HBo/MAx/s-rz for 25% FREE IOWA CITY 7300's off (up to $58,46/month) per month for 6 months. (Package includes GENRE 1 digital receiver.) TARGET GRP INSTALL PROCEDURE IOWA CITY 7300'5 Wants additional box (ONLY IN TARGETS 1-13): See appropriate install board. SCHEDULE 3 DAYS OUT. Customer must be home at the time of installation. DO NOT SCHEDULE INSTALLS BEFORE No additional box (TARGETS 14-19 & OPTIONAL IN TARGETS 1-13): You do not need to be home at the time of installation. Your services will be turned on within 5 business days. *VERIFIER NOTE: QUOTA IS TO BE SHARED AMONG 5-130-MCI & S-131-MDI** IOWA CITY 8-:12 12-5 MONDAY 10 10 TUESDAY 10 10 WEDNESDAY 10 10 THURSDAY 10 10 FRIDAY 10 10 SATURDAY 10 10 'ALES OPTIONS: COMMISSION REPORTING ,O1 DIG GOLD 25% DISCO i UNIT 4 UN[TS (DIG GOLD/HBO/MAX/ST~) 502 DIG VAL PLUS 25% DISCO 1 UNIT 4 UNITS (DIG VAL PLUS/HBO/MAX/STZ) COMMENTS: SPOKE TO JOHN 222-2333 #DIG REC** r-I! ,,_~ ~ DIG GOLD 25% DISCO f~' i ...... ~T~R NOTE: A 2"~ digital receiver is included in the DIGITAL GOED PACKAG~(~N~.~ (,T~r~et~,~-:i~.),E ~3 # DIG REC = Indicate the number of additional Digital Receivers ne~A~ '('i 6r 0~. ~ ~ ~ ~' N' SERVICE PRICE [~i ~ ~' STARZ~ $7.~0 b ,,' ~ ,, ,~'~ ENCORE $2.~0 HBO $14.00 CINEMAX $14.00 ANALOG BASIC ONLIES-IOWA TELEMAP. KETING FACT SHEET MSO; MEDIACOM CAMPAIGN #: r- Y~'_ ['~, S-130-MCI IOWA REGIONS HBO #: ~-, ~ 1 ' 5937-1 ~USTOMER SERVICE #: 1-800-800-CABLE PRO3ECT MGR,;.,. ,~) r ~. ,~. ~NTE AVAILABLE IN OFFICE: YES TIME ZO_N~ I.Z ~ ' [ i~ ~'~,.,RAL START DATE: SALES GOAL: 1.0 **IS NOTE: Display Target Group & Prin Number for ReDs to see.** ~, ~.. '~ r": , . '.,~,,//~, TARGET GROUP I OFFER INSTALL 19.) ANALOG BASIC ONLIES [ Upgrade to Digital Value Plus Package with HBO/MAX/S-FZ/ENC for 40% FREE IOWA CITY 7300's off (up to $46.77/month) per month for 6 months. (Package includes i GENRE digital receiver.) SALES OPTIONS: COMMISSION REPORTING 501 DIG GOLD qO% DISCO I UNIT 5 UNITS (DIG GLD/HBO/MAX/S-FZ/ENC) 502 DIG VAL PLUS 40% DISCO 1 UNIT 5 UNITS (DIG VAL PLUS/HBO/MAX/STZ/ENC) COMMENTS: SPOKE TO }OHN 222-2333 # DIG I~EC** DIG GOLD 40% DISCO **TSR NOTE: A 2°d digital receiver is included Jn the DIGITAL GOLD PACKAGE ONLY (Targets 1-13). Cf DIG REC = Indicate the total number of Digital Receivers needed (1 or 2). SERVICE PRICE STARZ! $7.10 ENCORE $2,10 'tBO $14.00 _INEHAX $14,00 MSO: I MEDIACOM ~.Fj'~ ~"{ -6 ?~; ~: ~J CAMPAIGN: 5-130-MCI LOCATION: IOWA SCRIPT: 2 OF 2 []i[i ', [:, ~ix HBO #: 5937-1 ~ ~'~ ~ [?'?'"~ INSTALLATION: TARGET GROUP: OFFER: ANALOG BASIC UPG~DE TO DIG~AL GOLD FREE ONLIES NON-GENRE PAE~GE W~H HBO/H~/S~/ENE TARG~S 1-13 FOR q0% OFF PER MONTH FOR 6 MONTHS. ANALOG BASIC UPG~DE TO THE DIG~AL VALUE FREE ONIES GENRE PLUS PAC~GE W~H TARG~S 14-~1 HBO/M~/S~/EN~ FOR 40% OFF PER MONTH FOE 6 HONTHS. START DATE: TBD END DATE: TBD APPROVAL: DATE OPENING Hello, this is calling on behalf of MEDIACOM, your new cable television provider. May I speak with ? (FIRST/LAST Name) ITSR Note: ONLY SPEAK WITH ACCOUNT HOLDER OR SPOUSE]. INTRODUCTION Hello Mr./Ms , We're calling today/tonight with a special offer. You can start enjoying our digital service and multiple premium movie channels, along with your current services, for up to [ TARGETS 1-15--$42.00] [ TARGETS 14-21--$46.77] per month guaranteed at this rate for 6 months. That's a monthly savings of 40% ! With the [ TARGETS 1-1.~--DIGITAL GOLD PACKAGE,] [ TARGETS 14-21--DIGITAL VALUE PLUS PACKAGE,] you will receive over 120 total channels including multiple channels of HBO, Cinemax, and Starz! Super Pak. You will get numerous special interest channels including multiple Discovery channels, BBC America and the Outdoor Channel, 45 channels of Digital Music Choice, and Access to PayPerView channels that allow you to order hit movies and exclusive sporting events. [ TARGETS 1-13--This package also includes 2 digital receivers, so you can enjoy all of these great channels on 2 television sets.] And as an added bonus, if you sign up today, your installation will be absolutely FREE! With this in mind, can we go ahead and sign you up for the [ TARGETS 1-1.~--DIGITAL GOLD PACKAGE,] [ TARGETS-/d-21-DIGITAL VALUE PLUS PACKAGE,] IF~YE$: Before I send you to my verifier, Can I get your e-mail address so we [:'i~ ?_: c~'~ send you additional information and product offerings from HBO/Cinemax & Mediacom? [CAPTURE DATA & GO TO CONFIRMATION CLOSE] ,: :,,~ ,IF NO: Are you familiar with Digital cable and these premium movie channels? ' '~,?',:'"/;~, IF YES' [GO TO SECOND EFFORT] IF NO: [GO TO PRODUCT INFORMATION] PRODUCT ]'NFORMATION With Digital Cable you'll enjoy: · Additional screens of your premium movie channels · Multiple CD-quality music channels with everything from Classic to Country, Jazz to Rock, with exceptional sound and no commercials! · PPV channels where you can order hit movies and exclusive special events. · Special interest channels including 3 Discovery channels, BBC America and the Outdoor Channel. · Digital Picture & Sound · A universal remote which provides you with great features including · Ability to set parental controls · Search by Title, Theme or Time · Designate your favorite channels · The ability to set reminders With HBO, you'll get over 250 different programs to choose from each month. This month catch blockbuster hit movies including CHARLIES' ANGELS with Cameron Diaz, Lucy Lui, and Drew Barrymore, SWEET NOVEMBER with Keanu Reeves, and VERTICAL LIMIT starring Chris O'Donnel. In February, HBO is featuring JANET JACKSON: IN CONCERT FROM HAWAII and two original movies: THE MIDDLE PASSAGE and LUMUMBA. And, you won't want to miss all new episodes from the award winning series, OZ and Six Feet Under. HBO also has programming for sports enthusiasts including Real Sports with Bryant Gumbel and World Championship Boxing LIVE! Cinemax shows more movies than any other movie channel with a new movie premiering every Sunday night. This month you can see movies like THE BROTHERS with Moms Chestnut & D.L. Hughley, MEN OF HONOR starring Robert DeNiro & Cuba Gooding .Ir. and MISS CONGENIALITY with Sandra Bullock. $tarz! is #1 in new hit movies, like CROUCHING TIGER HIDDEN DRAGON, THE GRINCH WHO STOLE CHRISTMAS, THE MUMMY RETURNS, BLOW, 15 MINUTES, CHOCOLATE, and much, much more. Plus, channels like Encore, Action, Love Stories, and Mystery give you more variety for your entertainment dollar. Combined, these premium movie channels will give you about 700 different uncut, commercial-free programs to choose from each month. Plus, your installation is absolutely FREE! So with this in mind, let's sign you up today/tonight...Okay? IF YES: Great...Before I send you to my verifier, Can I get your e-mail address so we can send you additional information and product offerings from HBO/Cinemax & Mediacom? [CAPTURE DATA & GO TO CONFIRMATION CLOSE] IF NO: [GO TO SECOND EFFORT] SECOND EFFORT By adding the '~'"~" " [ T4RGETS 1-1..~--DIGITAL GOLD PACKAGE] ~,, ~ ' -", [ TARGET~ 14-21--DIG~AL VALUE PLUS PAC~GE] '~t.~ '''i ' ~' '~ tt~'.'~,'". (1~ ~, ;~3~'sti~ for up to [ T~RGET~ ~-~-$42.00] [ TANGET~ ~4-2J--$46.77] per month guaranteed at this price for six months, you'll enjoy all the advantages of Digital se~ice and the multiple premium movie channels will provide you with access to unlimited ente~ainment choices, and your installation is absolutely freei So with this in mind, let's sign you up today/tonight...Okay? ]F YES: Great ... Before ~ send you to my verifier, Can ~ get your e-mail address so we can send you additional information and product offerings from HBO/Cinemax and Hediacom? [CAPTURE DATA & GO TO CONF]RHA~ON CLOSE] ZF STZLL NO: Thank you for you time. Before ~ let you go, Can Z get your e-marl address so we can send you additional information and product offerings from HBO/Cinemax and Hediacom? [CAPTURE DATA] ~f you change your mind or have any questions, feel free to call our customer semite at ~-800-800-CABLE. CONFIRMATION CLOSE ~'~/~r- [~ Mr./Ms. , if you have no objections, I'll simply tapEt~'e, doi:d ne confirmation of your order clari~ing your mailing address so there won't be any chance for clerical error Okay? ..... ~ ~] 2: 0~ I show the spelling of your last name as , and yo~ ~St(h~ ~ Your address is (address, ci~, state & zip).',~Fteq~'~ ]8 ~t~n alternate phone number where you can be reached durin~ aa~?~ [R~D BACK FOR ACCU~CY]. OFFER Just to be clear, you have agreed to upgrade to the TARGETS ~-~3 DIG~AL GOLD PAC~GE, which includes multiple channels of HBO, Cinemax, and Stall Super Pak, plus your expanded se~ice for up to $42.00 per month plus tax and franchise fees for 6 months, This package includes 2 digital receivers any additional equipment is extra. A~er the sixth month, the price will return to the regular package rate of $ (refertopr/c/~gcheatsheeO per month. TARGETS ~4-2~ DIG~AL VALUE PLUS PAC~GE, which includes multiple channels of HBO, Cinemax, and Starzl Super Pak, plus your expanded se~ice for up to $46.77 per month plus tax and franchise fees for 6 months. This package includes i digital receiver and any additional equipment is extra. A~er the si~h month, the price will return to the regular package rate of $.__ (refer to pr/~/n~ cheat sheet) per month. INSTALLATION Your activation is FREE and you will need to be home at the time of installation. A customer se~ice representative will be calling you within 2 business days to set up an installation appointment. TARGETS ~-~3 ONLY This package does include equipment for 2 television se~. Would you like both digital receivers? **Make note a~er phone number** FAREWELL On behalf of NEDIACOH, I want to thank you for subscribing to our se~ices. If you have any questions regarding your se~ice, please call our customer se~ice depaKment at 1-800-800-~BLE. Have a great a~ernoon/evening. M$O: MEDIACOM CAMPAIGN: 5-131-MDI LOCATION: IO~VA SCRIPT: 3 OF 3 HBO #: 5938-1 TARGET GROUP: OFFER: INSTALLATION: DIGITAL BRONZE UPGRADE TO DIGITAL GOLD FREE CUSTOMERS NON- PACKAGE WITH HBO/MAX/STZ FOR GENRE 25% OFF PER MONTH FOR 6 MONTHS. DIGITAL BRONZE UPGRADE TO THE DIGITAL VALUE FREE CUSTOMERS GENRE PLUS PACKAGE WITH HBO/MAX/STZ FOR 25% OFF PER MONTH FOR 6 MONTHS. START DATE: TBD END DATE: TBD APPROVAL: DATE: OPENING Hello, this is __ calling on behalf of MEDIACOM, your new cable television provider. May I speak with ? (FIRST/LAST Name) [TSR Note: ONLY SPEAK WITH ACCOUNT HOLDER OR SPOUSE]. INTRODUCTION Hello Mr./Ms ., We're calling today/tonight with a special offer. Y-.~u:c~n now upgrade to our [ TARGETS ./-1..~--DIGTTAL GOLD PACKAGE,] [ T,4RG'ET$ ./4-21--DIGITAL VALUE PLUS PACKAGE,] by adding multiple channels of HBO, Cinemax, Starz, & Encore, for up to [ TARG£T$ .Z-13--$52.00] [ I'ARG£T$ ./4-2./--$58.46] per month guaranteed at this rate for 6 months. That's a monthly savings of 25%! With the [ T,4R~'ET$ I-,/3--DIGITAL GOLD PACKAGE,] [ TAREET$1_4-2:I--D[GITAL VALUE PLUS PACKAGE,] you will receive all the benefits of digital that you already have, plus these premium channels will give you 700 different program choices each month. [ TAR~'ET$.I-.~..?--This package also includes 2 digital receivers, so you can enjoy all of these great channels on 2 television sets.] And as an added bonus, ii- you sign up today, your installation will be absolutely FREE! With this in mind, can we go ahead and sign you up for the [ T,4RG'ET$ _/-_/3--DTGJTAL GOLD PACKAGE,] [ TARG'ET$ _/4-2_/--DTG[TAL VALUE PLUS PACKAGE,] t~ ~ ! ]'F YES: Before I send you to my verifier, Can I get your e-mail address so we can send you additional information and product offerings from HBO/Cinemax & r~.~ '~ I~diacom? [CAPTURE DATA &, GO TO CONFIRMATION CLOSE] IF NO: Are yOU familiar with Digital cable and these premium movie channels? · ,' IF YES: [GO TO SECOND EFFORT] IF NO: [GO TO PRODUCT INFORMATION] PRODUCT INFORMATION With HBO, you'll get over 250 different programs to choose from each month. This month catch blockbuster hit movies including CHARLIES' ANGELS with Cameron Diaz, Lucy Lui, and Drew Barrymore, SWEET NOVEMBER with Keanu Reeves, and VERTICAL LIHIT starring Chris O'Donnel. In February, HBO is featurin'g JANET JACKSON: IN CONCERT FROM HAWAII and two original movies: THE MIDDLE PASSAGE and LUMUMBA. And, you won't want to miss all new episodes from the award winning series, OZ and Six Feet Under. HBO also has programming for sports enthusiasts including Real Sports with Bryant Gumbel and World Championship Boxing LIVE! Cinemax shows more movies than any other movie channel with a new movie premiering every Sunday night. This month you can see movies like THE BROTHERS with Morris Chestnut & D.L. Hughley, MEN OF HONOR starring Robert DeNiro & Cuba Gooding Jr. and MISS CONGENIALITY with Sandra Bullock. Starz! is #! in new hit movies, like CROUCHING TIGER HIDDEN DRAGON, THE GR~NCH WHO STOLE CHRISTMAS, THE MUMMY RETURNS, BLOW, 15 MINUTES, CHOCOLATE, and much, much more. Plus, channels like Encore, Action, Love Stories, and Mystery give you more variety for your entertainment dollar. Combined, these premium movie channels will give you about 700 different uncut, commercial-free programs to choose from each month. Plus, your installation is absolutely FREE! So with this in mind, let's sign you up today/tonight..,Okay? IF YES: Great. Before I send you to my verifier, Can I get your e-mail address so we can send you additional information and product offerings from HBO/Cinemax & Mediacom? [CAPTURE DATA & GO TO CONFIRMATION CLOSE] ]'F NO: [GO TO SECOND EFFORT] SECOND EFFORT By adding the [ TARGETS _~-_~3-~DIG~TAL GOLD PACKAGE] [ TARGET$_~4-2~--DIGITAL VALUE PLUS PACKAGE] for up to [ TARGETS .~-.X$--$52,00] [ TARGETS per month guaranteed at this price for six months, you'll enjoy all the advantages of Digital service and the multiple premium movie channels will provide you with access to !3~rflimited entertainment choices, and your installation is absolutely free! $o with this in leL's sign you up today/tonight...Okay? 03 II= YES: Great .,. Before [ send you to my veri~er, Ean ~ get your e-mail address so we can send you additional information and product offerings from .~-~.:;'-~(:~¢~'¢~BO/Cinemax and Nediacom? [CAPTURE DATA & GO TO CONF, R~ATZON CLOSE] · ~E ~T~LL NO= Thank you ~or you time. Before Z let you go, Can Z get your e-mail address so we can send you additional information and product offerings from HBO/Cinemax and Nediacom? [CAPTURE DATA] Zf you change your mind or have any questions, feel flee to call our customer se~ice at Z-800-800-CABLE. CONFIRMATION CLOSE Mr./Ms. , if you have no objections, I'll simply tape record the confirmation of your order clarifying your mailing address so there won't be any c[~;~r-c,~ri~ 2:03 error ... Okay? I show the spelling of your last name as , and your first nq~?,iS,,r ' Your address is (address, city, state & zip). Correct? Is there an alternate phone number where you can be reached during the day? [READ BACK FOR ACCURACY]. OFFER _lust to be clear, you have agreed to upgrade to the TARGETS :1.-~.3: DIGI-FAL GOLD PACKAGE, which includes multiple channels of HBO, Cinemax, and Star~! Super Pak, plus your expanded service for up to $52.00 per month plus tax and franchise fees for 6 months. This package includes 2 digital receivers any additional equipment is extra. After the sixth month, the price will return to the regular package rate of $__ (refer to pric/n~F cheat sheet) per month. TARGETS :~4-2:1.: DIGITAL VALUE PLUS PACKAGE, which includes multiple channels of HBO, Cinemax, and Starz! Super Pak, plus your expanded service for up to $58.46 per month plus tax and franchise fees for 6 months. This package includes 1 digital receiver and any additional equipment is extra. After the sixth month, the price will return to the regular package rate of $___ (refer to pr/c/ng cheat sheet) per month. INSTALLATION Your activation is FREE. TARGETS 1-13 ONLY: This package does include equipment for 2 television se~s. Would you like both digital receivers? **Make note after phone number*~ IF YES MARSHALLTOWN, CEDAR RAPIDS, & IOWA CITY: You must be home at the time of installation. The next available installation time we have available in your area is on at . Will that work for you? IF YES ALL OTHER AREAS: You will need to be home at the time of installation. A customer service representative will be calling you within 2 business days to set up and installation time. IF NO: You do not need to be home at the time of installation. Your services will be turned on within 5 business days. TARGETS 14-2~L: You do not need to be home at the time of installation. Your services will be turned on within 5 business days. FAREWELL On behalf of MEDIACOM, I want to thank you for subscribing to our services. If you have any questions regarding your service, please call our customer service department at 1-800-800-CABLE. Have a great afternoon/evening. Mediacom Communications Corporation DIGITAL PACKAGE5 AND PRICES DIGITAL PACKAGE MONTHLY RATE 1/2 OFF SPECIAL-Initial amt to collect [DIGITAL ACCESS 45.08 $25.00 INCLUDES: DIGITAL ACCESS, PPV ) Your DIGITAL MUSIC (APPROX 149 CHS) L includes "HBO" is $3.00 DIGITAL CHOICE * 52.08 $30.00 INCLUDES; DIGITAL ACCESS, PPV I 55.08 *TNCLUDES HBO $30.00 DIG MUSIC, 1 PREMIUM ~ROUP (APPROX 160 CHS) DIGITAL VALUE * 61.08 $35.00 INCLUDES; DIGITAL ACCESS, PPV [ 64.08 *INCLUDE5 HBO $35.00 [Call Toll Free at: DIG MUSIC, 2 PREMIUM ~ROUPS (APPROX 170 CHS) [ 1-888-367-2304 DIGITAL VALUE PLUS * 67.08 $35.00 INCLUDES: DIGITAL ACCESS, PPV [ 70.08 *INCLUDES HBO $35.00 big MUSIC, 3 PREMIUM ~ROUP5 (APPROX 185 CHS) Billln~ Policies .................................... ............................ 319 351 3984 ............... ~-~.~ ,~, gedi-~am ............................ ~ree ~ ................................................... Medi~acom' ...................... Over $50 Value! MEDIACOM VIP CABLE CASH Good toward new or existing Mediacom cable services, Some r~slrictions m~y apply. Con~. your Mediacom office for complete details, rrlail to Mediacom wl[h your MONTH 2002 rnonthly s[a[emer~t for credit Your World, flow. GOOD FOR ONE FREE DIGITAL B PAY- PE R-Vi EW MOVi E Mediac~om Invites you to enjoy one FREE Digital Pay Per- View Movl J. MONTH 2002 C~TY O~ [~a C~TY ?bUR ~CEPTA~E ~ TH~B CR~T ~%~ CO~IT~E ~R AgR~ TO · , ALL C~REGPDNDE~E A~ ~ CU~ ~UZ~ ~ ~ ENG~ UZTH YOU THAT HE TER~ DF T~ CREDIT ~XP ~RAT~ON DA~. PR~NCZPLE~ DF C~ZCT OF City of Iowa City iP4 MEMORANDUM Date: May 2, 2002 To: City Council From: Jeff Davidson, Assistant Director, Department of Planning and Community Development Joe Fowler, Director, Department of Parking and Transit ~ ~-~,,~-~ Re: Near Southside Transportation Center Early Childhood Learning Center; City Council Request for Information City Councilor Kanner has asked us to forward to him a copy of the Request for Proposals that was used to solicit interested firms for the early childhood learning center that will be located in the Near Southside Transportation Center. We believe you are aware that our initial RFP solicitation produced two responses, one of which was deemed unresponsive. We began negotiations with the responsive proposer, who was a national franchise daycare center provider. This firm subsequently withdrew due to a national downturn in their business. We were subsequently contacted by a local provider who we are currently in negotiations with. We have also had a second provider contact us who has indicated they are interested in working with us. In accordance with City policy, please let us know if any other members of City Council would like a copy of the RFP which has been provided to Councilor Kanner. If there is a majority of the City Council in favor of modifying the way we are proceeding with the Near Southside Transportation Center early childhood learning center, please let us know as soon as possible. cc: City Manager JCCOG Human Services Planner PCD Director jccogtp/mem/ns$-child doc City of Iowa City iP5 MEMORANDUM Date: May 8, 2002 To: City Council From: John Yapp, Associate Planner ~ Re: Subdivision Inventory, 1990-2001 Staff has updated the single-family and duplex Subdivision Inventory through December 31, 2001. This inventory tracks single-family and duplex subdivisions by their size and acres and number of lots, and the location of vacant lots vs. lots that have been built upon. In 2001, three new residential subdivisions were approved, a total of 101 lots. The average number of lots subdivided per year over the last five years is 111 per year. As shown in Charts I and II (attached), Iowa City has experienced fairly steady growth in single family and duplex subdivisions in the past decade. Since 1990, a total of 1842 single-family and duplex lots have been created, encompassing approximately 950 acres. The Subdivision Inventory Map, copies of which are available in the Department of Planning and Community Development office, shows the location of residential subdivisions created since 1990, and which lots have been built upon in that time period. Of the 1842 lots subdivided since 1990, 576 (31%) remained vacant at the end of 2001. Many of the vacant lots, particularly in recent subdivisions, do not yet have infrastructure extended to them. The number of vacant, platted lots is slightly less than in recent years. At the end of 1999, there were 629 platted, vacant lots; at the end of 1998, there were approximately 700 platted, vacant lots.. In 2001, 129 building permits were issued for single-family and duplex lots, compared to 101 new lots that were subdivided. While the number of platted, vacant lots has been reduced slightly in recent years, there is still adequate supply to meet demand, based on the consistent growth in single family and duplex subdivisions in recent years. One important residential housing market that is not reflected in this inventory is the number of dwelling units being constructed in planned developments, such as condominiums, townhouses, manufactured housing, and senior housing developments. Projects such as Saddlebrook, Wellington Condominiums, and Silvercrest, to name a few, are becoming an increasingly larger share of the residential housing market. Staff will begin to inventory this housing market this year. Chart I: Number of Subdivision Lots Approved Residential Single Family and Duplex Lots, 1990-2001 55O 5OO · LOTS 45O ...... trendline 40O 350 300 250 200 150 154C ..................... ........ ....~ 100 124 1~1 11~ ~ * 4. 106 101 50 85 56 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 Chart I1: Number of Acres Subdivided Residential Single Family and Duplex Lots, 1990-2001 220 200 2C ~8 · ACRES 180 ...... acreage trendline 160 140 120 1 7 100 .49~ ~ 80 5~.~'"'------- ....... . 60 7 .92 ' ~ / ' 61.59 40 54.93 52 07 55.48 20 26.28 31.31 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 RESIDENTIAL SINGLE FAMILY AND DUPLEX SUBDIVISION INVENTORY, 1990-2001 Acres Lots Permits Percent 1990 Subdivisions" Subdivided Subdivided Issued Developed Hunters Run Part 6 13.07 17 17 100% Scott Blvd. East Part 1 13.21 39 37 95% total: 26.28 56 54 Acres Lots Permits Percent 1991 Subdivisions Subdivided Subdivided Issued Developed Apple Ridge 7.42 22 19 86% Galway Hills Part 1 18 39 37 95% Hickory Hill Ridge 8.05 16 15 94% Walden Wood Parts 3-7 26.17 79 79 100% Walnut Ridge Part 1 12.74 8 7 88% Walnut Ridge Part 2 22.99 12 12 100% Whispering Meadows Part 1 36.3 71 51 72% total: 131.67 247 220 Acres Lots Permits Percent 1992 Subdivisions Subdivided Subdivideci Issued Developed Hunters Run Part 7 8.33 20 20 100% Mount Prospect Part 5 7.6 25 25 100% Park West Part I 9.48 23 23 100% ViBage Green Part 12b 9.77 22 21 95% Walnut Ridge Part 3 19.59 14 14 100% Willow Creek 6.15 20 20 100% total: 60.92 124 123 Acres Lots Permits Percent 1993 Subdivisions Subdivided Subdivided Issued Developed Hunters Run Part 9 5.7 16 16 100% Mount Prospect Part 6 5.06 16 16 100% Park West Part 2-4 17.1 39 38 97% Scott Blvd. East Part 2 9.23 25 21 84% SouthPo[nte Add. Part 1-6 21.79 85 84 99% Southwest Estates Part 5 5.3 14 14 100% Village Green South 28,95 74 62 84% Walnut Ridge Part 4 20.21 13 13 100% Windsor Ridge Part 1-4 67.2 78 78 100% Whispering Meadows Part 2 26,14 103 26 25% total: 206.68 463 368 Acres Lots Permits Percent 1994 Subdivisions Subdivided Subdivided Issued Developed Mount Prospect Part 7 8,95 32 32 100% Southwest Estates Part 6 10.21 25 25 100% Village Green Part 13b 6.49 16 16 100% Walnut Ridge Part 5 18.64 12 11 92% Wild Prairie Estates Part 1 9.84 20 19 95% Wild Prairie Estates Part 2 12.05 33 27 82% Windsor Ridge Part 5 9.31 16 15 94% total: 75.49 154 145 4/5/02 Subd.xls, Sheet 1 Acres Lots Permits Percent 1995 Subdivisions Subdivided Subdivided Issued Developed East Hill 13,04 36 26 72% Galway Hills Part 2 14.71 24 15 63% Longfellow Manor 7.64 20 8 40% Oakes Fifth Add. 6.52 14 14 100% Pelsang Place 1.02 3 1 33% Rober 1.19 2 2 100% Walden Wood Part 9 3.01 5 5 100% Windsor Ridge Part 6 7.80 7 7 100% total: 54.93 111 78 Acres Lots Permits Percent 1996 Subdivisions Subdivided Subdivided Issued Developed Broken Arrow Estates 1.88 3 3 100% Galway Hills Part 3 21.29 53 33 62% Hunters Run Part VIII 7.58 17 8 47% Jacob Ricord's 1.26 6 4 67% Meadow Ridge 2.29 4 1 25% Mt. Prospect Part VIII 9.02 13 13 100% Windsor Ridge Part 7 8.75 16 15 94% total: 52.07 112 77 Acres Lots Permits Percent 1997 Subdivisions Subdivided Subdivided Issued Developed Court Park 1.69 6 3 50% Irwin Subdivision 3.07 4 2 50% M&W Additiond 0.24 1 I 100% Walden Hillse 13.00 49 49 100% Windsor Ridge Part 8 13,31 25 25 100% total: 31.31 85 80 94% Acres Lots Permits Percent 1998 Subdivisions Subdivided Subdivided Issued Developed Boyd's Fashionable Acres 11.51 16 0 0% Galway Hills Part 5 13.63 7 0 0% Green Mountain Meadow 6.53 15 7 47% Walden Hills Lot 51 2.9 25 25 100% Walnut Ridge Part 6 20.44 12 6 50% Walnut Ridge Part 7 11.09 8 6 75% Windsor Ridge Part 9 20.33 46 18 39% total: 80,43 129 62 Acres Lots Permits Percent 1999 Subdivisions Subdivided Subdivided Issued Developed Country Club Estates 10.4 20 13 65% Hollywood Manor Part 6 8.32 23 14 61% Scott Blvd. East Part 4 7.36 12 2 17% Wild Prairie Estates 3 49,19 30 11 37% Windsor Ridge Part 10 19,4 32 8 25% Windsor Ridge Part 11 12.58 37 0 0% total: 107.25 154 48 4/5/02 Subd.xls, Sheetl Acres Lots Permits Percent 2000 Subdivisions Subdivided Subdivided Issued Developed Walnut Ridge Part 8 14.49 9 0 0% Walnut Ridge Part 9 10.06 7 0 0% Walnut Ridge Part 10 10.59 6 0 0% Lot 52, Walden Hills 4.89 19 4 21% South Pointe Part 7 8.08 25 o 0% Hollywood Manor 7 5.32 20 o 0% Washington Park 11 2.05 20 3 15% total: 55.48 106 7 Acres Lots Permits Percent 2001 Subdivisions Subdivided Subdivided Issued Developed Stone Bridge Estates Part 1 4.93 16 4 25% Walnut Ridge Part 9 and 10 20.67 12 0 0% Peninsula Neighborhood First Add. 35.99 73 o 0% total: 61.59 101 4 Grand Totals: 950.1 1842 1266 69% Platted, Undeveloped Lots 576 a: This inventory includes single family and duplex subdivisions platted since 1990, It does not include commercial or industrial subdivisions, nor does it include multi-family or condominium developments, b: includes only the single family and duplex lots associated with this plat c: Does not include Village Green Part XIV, a 40.19 acre, 1 lot townhouse development. d: This was a two-lot subdivision; however, one lot with an existing home was subdivided into two lots. e; Wa~den Hills contains 49 single-family and zero-lot line lots. The subdivision also contains 13 detached single-family condominium units, 25 detached townhouses, 8 four unit buildings (32 units), and 4 30-unit buildings (120 units), The numbers in the subdivision inventory only reflect the single-family and zero-lot line lots. 4/5/02 Subd.xls, Sheetl ITHE SALVATION ARMY 1116 Gilbert Court / Iowa City, Iowa 52240-4515 Office: 319-337-3725 Fax: 319-337-7114 Founded in 1865 by William Booth ° ~ ] May 1, 2002 ~J~{~wI Lisa Mollenhauer ~ City Manager's Office 410 E. Washington Street Iowa City IA 52240 Dear Lisa, Venison Distribution You will be pleased to know that we have successfully the annual venison distribution to Johnson County residents. It has been a pleasure to partner with the city in this venture. Individuals Served at our facility 3548 9 organizations also received 852 pounds of meat Total amount of meat distributed 8715 pounds You may be interested to know that apart from the deer meat we have also distributed 14, 530 pounds of frozen soup, 373 pounds of yoghurt, 10 cases of hot dogs (50 hot dogs per case) and 8 cases of potato chips. / e humbled by the confidence the city and other area businesses have in The ion Army to distribute food-items to the needy. ommanding Officer John Gowans Lawrence R. Moretz Charles McCarty 2411 Tudor Drive Iowa City, Iowa 52245 May 1, 2002 Lisa Dewey Director, SEATS 2000 James Street, suite 111 Coralville, Iowa 52241 Dear Ms. Dewey: The Riesz family greatly appreciates the much improved service by SEATS from November 2001 through March 2002 for Sarah. With very few exceptions, she arrived at Target on time in the mornings and arrived home from Iowa State Bank at a reasonable time in the afternoons. The contrast was great between the unpredictable service of the past two years and this year's excellent service. We hope the same pattern will hold true next winter. Sarah will be moving on June 27t~ to a house we are building for her and two others with disabilities at 2307 Catskill Court (off Frienship, oft'Meadow) on the east side of town. It will be staffed by Reach for Your Potential. In October, as in the past, I will send a letter outlining the service she will need in the winter. We expect her jobs will remain the same and so her morning drop oft'time at Target and her afternoon pick up time from Iowa State Bank downtown will be the same. Please let the schedulers and drivers know of our appreciation. Sincerely, ~-~ , Betsy, Peter and Sarah Riesz Cc: Joe Fowler, Director, Iowa City Parking and Transit Ron Logsden, Manager, Iowa City Transit Johnson County Board of Supervisors ~.--Ernie Lehman (please copy for City Council) Phil Left Ron Scheiffer, Director, Reach for Your Potential Nicole Sheldon, Department of Human Services Jeannine Scandridge, Rural Employment Alternatives Iowa City Area Development Group/Iowa City Area Chamber of Comme~ce Joint Board of Directors Meeting April 25~ 2002 Minutes ICAD MEMBERS PRESENT: Steve Atkins, Bill Bywater, Jeff Disterhoft, Charles Funk, Tom Gelman, Tim Gholson, Pat Guard, Kelly Hayworth, Mike Huber, Brian James, Mike Lehman, Rose Rennekamp, Tom Summy, John Wetzel and Harry Wolf. Absent: Richard Ferguson, Jim Griffin, Henry Herwig, Norm Nielsen, Mike O'Donnell, Ronald Reed, Dick Rex, Robert Sierk, David Skorton and Bruce Wheaton. ICAD STAFF PRESENT: Linda Schreiber CALL TO ORDER: Iowa City Area Chamber of Commerce Chair Rose Rennenkamp called the joint meeting to order at 7:30 a.m. Area Chamber staff reported on act/v/ties and events. Chamber minutes were approved, and Mike Huber, Chamber treasurer, and Pat Guard, Chamber president reported to the boards. Todd Jacobsen, Community Foundation of Johnson County president, distributed the organization's first annual report. ICAD Board Chair Steve Atkins reported on Technology Corridor. He said Joe Raso and Dennis Jordon of Priority One were currently in the Dallas/Houston area to promote the Technology Corridor. Atkins said joint efforts of ICAD and Priority One to market the area as one entity is an effective strategy to entice new business and industry and help existing business expand. The Iowa City area and Cedar Rapids area and development groups compete after interest in the area has been developed. He said the efforts of both groups will become apparent as future development occurs. Atkins reported the Iowa City Council w/Il discuss establishing Tax Increment Financing (TIF) districts in three Urban Renewal areas: Heinz Road; Lower Muscatine Road and Highway 6; and Industrial Park Road. The issue will be discussed at the next Iowa City City Council meeting. Atkins explained established TIF districts will allow the City Council to respond quickly to development requests. The Area Chamber Board and the ICAD Board voted separately to draft letters of support to send to the Iowa City City Council. Motion by Kelly Hayworth; second by Charlie Funk to draft a letter of ICAD support, establishing TIF districts in three Iowa City locations. Motion approved with ICAD Board members John Wetzel and Bill Bywater abstaining. Wetzel explained his employer, MidAmerica Energy has a substation in located in one of the proposed districts; Bywater explained Economy Advertising/TruArt is also located in one of the districts. Sheila Boyd of Iowa Child presented information to the joint meeting of the Area Chamber and ICAD Boards. The meeting adjourned at 9 a.m. MARIAN KARR (2) AGENDA City of Zowa City City Council Economic Development Committee Thursday, May 16, 2002 10:30 a.m. Lobby Conference Room 1. Call to Order 2. Approval of Minutes (January 17, 2002 and March 21, 2002) 3. Report on Changes in Staff and Economic Development Duties 4. Discussion of Further Marketing of Economic Development Financial Assistance Programs 5. Update on Chamber of Commerce's Iowa City Luncheons 6. Business Outreach Program - Major Employer Visits 7. Other Business - Discuss the Committee's Regular Meeting Date and Time 8. Adjournment Pendinq List · Update on Health Center USA · Checklist and time schedule on development and building permit process MINUTES CITY COUNCIL ECONOMIC DEVELOPMENT COMMITTEE THURSDAY, JANUARY 1.7, 2002 - 9:00 AM CIVIC CENTER LOBBY CONFERENCE ROOM Members Present: Ernie Lehman, Dee Vanderhoef and Ross Wilburn Members Absent: None Staff Present: Steve Atkins and David Schoon City Council Members Present: Joe Raso Others Present: None Call to Order Ernie Lehman called the meeting to order at 9:06 AM Approval of Minutes of November 15, 2001 Minutes for the November 15 meeting were approved as submitted. Discussion Re,qardinq Marketinq the City's Economic Development Financial Assistance Proqrams David Schoon began by recapping the discussion on this topic from last meeting. At the last meeting, there were a number of ideas thrown out. These ideas have been incorporated into the handout, "Marketing of Economic Development Financial Assistance Programs". Two brochures were distributed to those present: "Directory of Economic Development Financial Assistance Programs" and the smaller "Economic Development Financial Assistance Programs". The Committee has seen the first brochure before in a different incarnation. This same brochure, now reworked, will be distributed to companies to give them more information on these programs. The smaller brochure is intended to pique interest. The brochures were sent to a five- person test group including: an ICAD rep., a small business rep., a banker, a manufacturer, and a retailer. Discussion on these brochures began by all complimenting the attractive cover pages. Lehman noted that there was a lot of information included in the smaller brochure. There was some concern that the larger brochure only talked about targeted industries without communicating what these industries were. There was also a suggestion to list other sources of economic development in the area, and to make a list of realtors, investors, etc. for this to be sent to. Raso added as a side note that it might be a good idea to target particular sectors and produce brochures tailored to these specific markets. For instance, ICAD would have use for two of the three programs offered (not CDBG). Lehman agreed that this might be a good idea. Vanderhoef added that some small businesses might not know that federal guidelines set the parameters for CDBG, so it might be prudent to slip "federal" in before "Community Development Block Grant". In addition, Aviation Park and BDI may need to be added to the map in the future. Lehman added that zoning might be included on the map, as well. Atkins said that since assistance programs are geared to particular areas, this woutd be a good idea and not hard to add. He also commented that the map should be darkened and a focal point should be added. Vanderhoef suggested that 1-80, Hwy 218, and the Avenue of the Saints should be highlighted, to which Atkins added that if roads are added, a focal point might not be necessary. City Council Economic Development Committee Minutes January 17, 2002 Page 2 Schoon said that current copies would be used minimally at first so that changes can be made. Raso commented that it should be noted which businesses receive the pre-revised copies so that they can be sent a revised copy later. Sending early drafts will have the advantage of allowing the businesses to see that the Committee is being proactive. The Committee commended David Schoon for his efforts on the brochures. Review of 2001 Economic Development Accomplishments Schoon began by discussing the summary sheet of activities provided to the Committee members. This list was created with the help of Karin and Steve. Atkins asked if ACT could be added. There was discussion on the good job that the Committee has done despite the bad press and public complaints. Wilburn added that the Committee's accomplishments should be publicized so that the public can appreciate the work that the city is doing. The problem is that the negative stories are the ones that stay with the public. Lehman noted that one example is that it will be hard to create the next TIF because of what happened in Coralville. Vanderhoef commented that it should be made clear that when a project is finished, the TIF is retired. Atkins noted that traditionally, the City has used tax increment financing because it is short term, it improves the bottom line immediately, and it gets the company back on the tax roll. He also briefly discussed using TIF for job training at Kirkwood Community Cotlege. Lehman asked that information on TIFs that shows the amount by community be added to the packets. Business Outreach Proc~ram---Maior Employer Visits Lehman noted that things have been going well with his ICAD business visits, but still have not heard back from ACT. Raso apologized that he was not up to speed on the visits right now because the woman who was in charge of them left. A replacement staff person, Linda Schreiber, has been hired and everything will be back on track by the end of January. She has a communications background, so she should be a good addition. Some post visit forms are still needed. There are still some ICAD visits that need to be done, however, Raso will communicate to Schoon what is still needed Schoon noted that the City still has a few of its own visits to get done and asked if the Committee wanted to wait until the ICAD visits were completed before going forward with the City visits. Lehman suggested that the Committee should keep plugging away at both lists. Vanderhoef commented that it would be nice to have the Iowa City list done by July 1 (summer break). Atkins agreed that this was a good target date. Lehman noted that staff changes must be taken into consideration when conducting visits. Atkins commented that the Committee might want to tighten the agenda and narrow its focus with UI so that a meeting can be put together more quickly. He also added that it might be nice for the whole Committee assembled when speaking with UI. Atkins will work up an agenda for this. Vanderhoef asked that more information be provided on the hospital's marketing plan and on the Health Center USA endeavor before that visit occurs. Atkins said that he would work up an agenda. Review of Any Business Development Proposal Not Previously Listed on the Aqenda Schoon presented the Committee with a new document to complement the booklet, "Guide to Operating a Business in Iowa City." It's a checklist of the various rules and regulations a business should be aware of when operating a business. Raso suggested a checklist or brochure on development and permits. Atkins responded that builders already know what the City Council Economic Development Committee Minutes January 17, 2002 Page 3 rules are. Schoon added that it might be helpful to elaborate on site development in another brochure. Vanderhoef commented that as the Committee goes into reviewing and streamlining the code, it might be nice to have such a site development checklist available for the members to review. Lehman suggested that positive quotes be taken from citizen letters (especially from prominent local individuals) to spice up these related brochures. He added that Rick Fosse has a talent for making people happy and a good deal of the flattering letters are due to his work. Other Business Atkins recapped staff activities. He noted that BBI is being scheduled for work, a TIF list will be created and business visits will be followed up on. Adjournment As thera was no other business, the meeting was adjourned at 9:54 AM '***NEXT MEETING DATE WILL BE ANNOUNCED SHORTLY*** MINUTES CITY COUNCIL ECONOMIC DEVELOPMENT COMMITTEE THURSDAY, MARCH 21, 2002 - 8:45 AM CIVIC CENTER LOBBY CONFERENCE ROOM Members Present: Ernie Lehman, Dee Vanderhoef and Ross Wilburn Members Absent: None Staff Present: Steve Atkins and David Schoon City Council Members Present: Joe Raso Others Present: Irvin Pfab, Steve Kanner Call to Order Ernie Lehman called the meeting to order at 8:45 AM. Approval of Minutes of January 17, 2002 No minutes were available for the meeting of January 17, 2002. Report on Iowa City Brandinq/Position Statement Process Position Statement Schoon stated that over the last several months the idea of how to market the community for economic development purposes and attracting potential employees has been discussed by a group of several individuals (about 24). Schoon presented a list of members for the committee's reference. He said they discussed the idea of coming up with a brand image for iowa City to use to market Iowa City for economic development. This concept is similar to private businesses coming up with a brand image for the business, and what position do they fit in the marketplace that differentiates them from other businesses that do similar things. He said we need to identify how we want to differentiate Iowa City from other communities. Schoon said that the group worked with ltv Jensen, a consultant who has a contract with the Department of Economic Development to provide this assistance to communities to facilitate this process. He referred to a memo in the committee packet which summarizes what the group came up with far a position statement to differentiate Iowa City. He said the mission statement would be: A world class combination of recreation, education, a~fs and culture, commerce and health care identifies Iowa City as one of the most vibrant communities in the United States. Schoon said the group spent a lot of time talking about this issue, as well as talking about Iowa City as a place to do business, and the business friendliness of Iowa City. He said they talked about the business sector taking a lead in economic development, in terms of involving the business sector in Iowa City economic development activities. He said that they have business leaders who lead in the community, but often that is an area-wide perspective. He said that sometimes the focus on the area is at the expense of how the Iowa City community is doing in terms of economic development, regarding promoting Iowa City as a place to do business. Schoon noted that the group discussed who, outside of City government, takes the lead on economic development issues in Iowa City. He said that once a project identifies this area as a place to do business, what part of the business community advocates that the project locate in Iowa City. He noted that a subcommittee of the larger group met and talked about the issue. The subcommittee came up with a starting place as an informal, twice-a-month luncheon inviting Chamber of Commerce members to get together to talk about Iowa City issues. Schoan said that the idea is to get members of the business community involved in Iowa City issues, not just area issues. He noted that the group would like to have a few of these luncheons over the next several months to talk about the idea of marketing the community, the position statement as developed, and then start identifying individuals who would be interested in participating in the process of developing the details of a marketing plan. He said that group would work on putting together a marketing plan to bring to the City. City Council Economic Development Committee Minutes March 21, 2002 Page 2 Atkins said that department heads all have been alerted that they would be asked to attend meetings periodically to explain things that are going on. He said that it seems like a good idea, an informal networking process. Lehman said he would not be available for the informal meeting scheduled for next Tuesday. Vanderhoef said she may be available. Vanderhoef said that she liked the Reach, but somehow Irv Jensen's comment and the addition of the word "commerce" did not make it into the handout. She referred to his comments regarding the combination of all the irons are world class, but not each individual item is necessarily world class, though some are, and it is this combination that makes a vibrant community. Schoon said that the memo was just put together, and the word "commerce" will be added at a later time when they move through the process. He said that right now they are simply working on the position statement. Discussion of BDI Tax Increment Financin¢l Districts Schoon referred to maps of the three areas, which he passed out to the committee. He said that Council directed staff to go ahead with establishing the mechanisms to offer tax increment financing in the area: the older Industrial Park area on the south side of Iowa City. He said that staff has prepared three urban renewal plans, which is the first step in establishing the TIF mechanism. Schoon stated that the plans are very similar, as the format and content is based on the Scott Six Industrial Park, with each plan adapted to the specific area. He said that in the Industrial Park Road Plan and the Lower Muscatine Road Plan, it focuses the City's efforts, along with other objectives, on existing businesses and redevelopment efforts. In the Heinz Road Plan, it talks about helping new businesses, existing businesses and redevelopment of the sites. He said that the difference in Heinz Road is that there are a few undeveloped lots in that area, so there is also new development that could locate on those sites. Schoon said that planned actions in support of the three plans are very similar. He said they would support private site improvements, public infrastructure improvements and the use of financial incentives. He said that the difference is that in the Heinz Road Plan and in the Industrial Park Road Plan, they include the right-of-way of Highway 6 because from Industrial Park Road out, the DOT has plans for widening that to four lanes at some point. Therefore, the right-of-way area portions were included as possible infrastructure improvements that could use TIF bonds, along with a combination of state funds. He said the other infrastructure project staff has identified is in the Industrial Park Road Plan, making sewer improvements on the north end of Industrial Park Road. He said it is adequate for current uses, but if redevelopment required a higher usage of water and wastewater treatment, they may need to make improvements at the north end of the sanitary sewer. Lehman asked if that could be done even if not identified in the plan. He said he feels it is good to identify potential improvements, but not all improvements will be identifiable. Schoon said that page 3 of the plan talks about public infrastructure improvements, and what they include but are not limited to. He said that some more specific projects are identified, but it is left open for unforeseen projects. Vanderhoef stated that we have a growing industrial park and the need for safety infrastructure in the area including a fire station and additional equipment for the fire station. She wondered if this could be put into the plan, having increment financing established for that. Atkins said that a public safety component to economic development plans, in principal, would not be a problem because with expansion of a particular component of the economy, this should be included. Vanderhoef said she felt it should be spelled out in the plan. Schoon said that whatever improvements relating to safety are planned would have to be capital improvements, and that site would have to be located in an urban renewal area. In response to a question from Atkins, Schoon said that the funding generated from an urban renewal area has to be spent in that area. Schoon said that the fire station would have to be included in one of the areas. Atkins said that some research needs to be done on this issue. Schoon said that the incremental tax would have to be tied to an area, so you would be tying it into the Lower Muscatine/Highway 6 urban renewal area, and you would have to think about how much development you anticipate in that area to make it worth your effort. City Council Economic Development Committee Minutes March 21, 2002 Page 3 In response to a question from Vanderhoef, Schoon said that the Heinz Road area has the most vacant land. Atkins noted that the way they have responded to some of the potential industrial exposure in terms of safety is that they require on-site storage of certain equipment, and the City inspects it periodically to make sure it is available. Atkins stated they would have to think about this issue and research it. Schoon said that in each plan they have to list an amount of proposed indebtedness. He said they proposed using the bulk of this for projects that may come along requesting some sort of financial incentive or assistance, so they have to come up with an estimate for the future. He said the City does have the infrastructure projects, including the potential Highway 6 widening, and most of that is in the Heinz Road Plan in terms of indebtedness with a small portion in the Industrial Road indebtedness. He said that, based on past projects they have assisted with, they have estimated an amount of indebtedness. Schoon said that the Heinz Road Plan is estimated at $7 million, with $4.3 million going toward the Highway 6 improvements. He said that the Industrial Park Plan is estimated at $2 million, and the Lower Muscatine Plan is estimated at about $1.2 million. He said that, in terms of infrastructure improvements, the State should have a significant role in financing the Highway 6 improvements, so the whole $4.3 million should not be used in the Heinz Road area, but the whole amount was included to be on the conservative end. He said it does not mean the City has to issue up to $7 million, just that they have to give an idea of how much. He said that if they feel they may go over that amount, they would have to go through the process of amending the plan. In response to a question from Lehman, Schoon said that the amending process is the same as adopting a new plan, so you are still looking at a significant amount of time. Schoon provided a draft time schedule to remind the Committee of everything involved. He said that the Planning & Zoning Commission is involved in making a recommendation on whether the plans are consistent with the Comprehensive Plan. He said that there is a consultation with the affected taxing bodies, who have an opportunity to respond to the proposed use of tax increment financing. He said that then there is a public hearing on adoption of the plan and adoption of the TIF ordinance designating the district. He said that if they follow a normal Council schedule, it should take about three months. He said that Council typically does not like to have a resolution the same time as a public hearing item, but those could be combined with an urban renewal issue. He said you could combine second and third considerations of the TIF ordinance, if the Council wanted. Vanderhoef said that the scheduled as reset the other night would delay this process another two weeks. She said she would consider doing first consideration the night of the public hearing, and it could be deferred at that time if there were a lot of comments. Lehman said they were doing this in anticipation of there being a need, and it is not as if there is anyone waiting in the wings, so there is no immediacy. Schoon stated that the issue of a fire station may delay the schedule. Atkins said that he thinks they may be able to accomplish the public safety obligation component by policy because a part of the ability to receive any kind of TIF assistance requires bids. He said they need to do some research and talk about it. Vanderhoef stated that as she read through the drafts, and the objectives and goals of the Comprehensive Plan, it seems that we continually talk about the available labor force and not about potential training of new and/or existing employees. She felt that there should be a piece about encouraging the employer to partner with the regional workforce development for training and/or retraining of old employees. In response to a question from Lehman, Vanderhoef said she feels that financial assistance from the urban renewal program should be used. She said the plan objective would be to do this, and obviously if you were doing retraining. However, the partnership would be with Workforce Development and the business, but the City could encourage this through the urban renewal plan. Lehman pointed out that under the Objectives, the last bullet provides for "financial incentives and assistance" as necessary, and that this issue would come under that objective. Wilburn said that depends on whether the document is read and whether it jars this thought. Vanderhoef said another issue is whether the City thinks about this as they are talking to the business. Raso said that if the concern is retraining of employees, Kirkwood has available programs for the training of new employees. He said that many times that also allows for retraining of existing employees. Vanderhoef said that there are times when an employer may want to move a group of employees into a more skilled job, and if you do that you open up the base jobs. She acknowledged that Kirkwood is the trainer for Workforce Development, but would like something about public-private partnership for training and retraining. City Council Economic Development Committee Minutes March 21, 2002 Page 4 Schoon said that the purpose of the objective section is to see, in essence, what you plan to achieve with the plan and how you plan to use tax increment financing. He said it is to expand the tax values to help start up businesses, and training could be added. He said that Kirkwood does training programs, and can, with City approval, use TIF funds to train employees. He said his preference is to defer to Kirkwood, who has the know-how to do that in terms of deciding how to assist the business with the training program. Rase said the City could be open to having TIF be used through Kirkwood if that is what the company wished the dollars be used for. Atkins stated that the City already does that. Vanderhoef agreed that the umbrella is Workforce Development, and that is where the dollars come through for assistance. Schoon said that Kirkwood cannot use TIF funds without getting City approval. Vanderhoef stated that she wants to encourage the use of the funding, to get people thinking about this. Schoon pointed out that when they talk with companies who are looking at expansions, they talk about the various options they can use. Rase said that Kirkwood has a vested interest in having the companies know that as well. In response to a question from Lehman, Schoon stated that he feels the City has this issue covered; they encourage use of the training programs. Vanderhoef noted that on page 2 of all the plans, there is a comment regarding expanding existing businesses. She said that redevelopment of some of the older businesses struck her originally because some are 30-40 years old. Schoon said that redevelopment is mentioned in the Industrial Park Road redevelopment plan. He said that in the Heinz Road area, he could not define parcels that he believed would be redeveloped in the near future. He pointed out that the primary purpose of the plan is tax increment financing, and the redevelopment would have to be significant on a site. He said changing warehousing space to manufacturing space, adding a little manufacturing, and these type of increments would not add that much value to make it worthwhile for someone to use tax increment funding. He said that probably the greatest increase in value would be a change in use from warehousing to some office space. Lehman reiterated that internal remodeling does not change the tax base, because the City does not get tax on equipment or furnishings. He said only additions or expansions would significantly change the value, to make this of any value to the business. Schoon said that the change would have to be of enough significance to generate enough increment to make it worth their while to go through the public process, enter into an agreement, go through the process of having to submit reports, etc., to make it worth while. Vanderhoef requested that Schoon provide the committee with a list of businesses on each parcel in each plan area, for the committee's private use in familiarization of the area. Lehman expressed the concern that potentially the public may have a feeling that we are going to lose all the taxes coming out of the industrial park. He said there were very few sites where TIF financing would be used, and he feels it is important that those sites could work. Vanderhoef said that it should be highlighted that the City's use of TIF financing is typically done short-term in a tax rebate, and not in 20 years of keeping it off the tax roll. Other Business The other agenda items were deferred to the next meeting. Vanderhoef said that she has recently received concerns from a business regarding the impact of traffic control on S. Gilbert Street, in the area of Hills Bank. In response to a question from Lehman, Schoon said he plans to have the three plans ready to submit to Council at their April 2, 2002 meeting. Adiournment As there was no other business, the meeting was adjourned at 9:54 AM ***NEXT MEETING DATE iS APRIL 18, 2002 at 9:00 AM*** t st~ared/pcd/r¢~nute$/ecodev/edc03-21-02 doc