07-08-1985 Council Packet - Laserfiche WebLink

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Cob��1j�. �3y�ET1NG .,I 1J TO: Mayor and City Council FROM: Mark Bernhardsor�`►t' DATE: July 5, 1985 SUBJECT: Cable franchise Expenditure Report As you may recall the City of Orono submitted to the Lake Minnetonka Cable Commission a bill for all of its expenditures related to the cable T.V. franchasing process from the time cable was first considered by Orono until the franchise was finally granted to Dow -Sat. This bill was submitted to the Commission for consolidation back in August of 1984. On May 1, 1985 the Commission took these consolidated bills and submitted them to Dow -Sat for a consolidated bill of $49,@51.43. Dow - Sat responded with a check for $42,713.82 indicating that the balance of the bill was in dispute as there was some items specifically from Orono and Minnetonka Beach which they felt were not appropriately billed to them. In dispute are the monies that the communities expended prior to the joint powers agreement for the Lake Minnetonka Cable Communication being formed prior to which Orono and Minnetonka Beach specifically had expended monies for a needs assessment. It is the apparent position of the Commission Board that they will not accept this check and that Dow -Sat has either to submit a check for that amount indicating that it is only a partial payment and then negotiate with Orono and Minnetonka Beach regarding the balance or payment of a check for the full amount. On July 3rd I spoke with the representative from Dow -Sat who indicated to me that they are willing to pay whatever the appropriate amount is and will pay the balance to Orono and Minnetonka Beach, if in fact that was part of the agreement. The issue regarding these monies may not necessarily be so much with Dow -Sat as it is a dispute between the memebers of the Cable Commission. It has been and remains Orono's position that these items were appropriately submitted and should be paid by Dow - Sat. It is the contention however, of at least one member of the Commission that Orono understood prior to entering into LMCCC, which was a new joint powers formed from two previous joint powers, all exper,litures by Orono up to that point would not be part of the bill sent to the sucessful franchisee.