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HomeMy WebLinkAboutStaff Report 7.B 08/01/20057. B. CITY OF PETALUMA, CALIFORNIA August ug6ist 1, ' 2 L005 AGENDA BILL Agenda Title: Discussion and Possible Action Regarding Meeting Date: August 1, 2005 Contract Renewal for Petaluma Community Access (PCA) Meeting Time: ❑ 3:00 PM ® 7:00 PM Cateeory (check one): ❑ Consent Calendar ❑ Public Hearing ® New Business ❑ Unfinished Business ❑ Presentation Denartment: Director: Contact Person: Phone Number: City Manag, I Michael Bierman Michael Bierman 707 778-4345 Cost of Proposal: To be determined Account Number: 1110-54310 from Council Amount Budgeted: $4,500 ($12/hour rate) 6000-57310 from CDD Name of Fund: "Other Services/Other Expenditures" Attachments to Agenda Packet Item: 1. Current contract with PCA dated May 17, 2001 2. Memo dated June 27, 2001 regarding funding. 3. Letter dated June 21, 2005 from PCA asking for contract extension. Summary Statement: Petaluma Community Access is a nonprofit corporation that was formed for the purpose of coordinating and overseeing the Public, Education and Government (PEG) cable access channels, including the development and operation of an access center. The City entered into a five year agreement with PCA on January 17, 1996, and this contract was renewed on May 17, 2001. The current contract is again up for renewal, and is due to expire on December 19, 2005. PCA has indicated a desire to renew its contract for another five year period. Recommended Citv Council Action/Suggested Motion Provide direction to the City Manager regarding renewal of the contract and any recommended changes to the agreement. DReviewed by Admin. Svcs. Dir: Todav's ate: Reviewed by City Attornev: App o}�ed by City Manager: Date: �jU(�'`/ Date: Revision # and Date Revised: File Code: CITY OF PETALUMA, CALIFORNIA AUGUST 1, 2005 AGENDA REPORT FOR DISCUSSION AND POSSIBLE ACTION REGARDING CONTRACT RENEWAL FOR PETALUMA COMMUNITY ACCESS (PCA) 1. EXECUTIVE SUMMARY: Petaluma Community Access is a nonprofit corporation that was formed for the purpose of coordinating and overseeing the Public, Education and Government (PEG) cable access channels, including the development and operation of an access center. The City entered into a five year agreement with PCA on January 17, 1996, and this contract was renewed on May 17, 2001. The current contract is again up for renewal, and is due to expire on December 19, 2005. PCA has indicated a desire to renew its contract for another five year period. 2. BACKGROUND: The City desired to support the use of cable access channels provided pursuant to 47 USC Section 531 of the Cable Communication Policy Act of 1984, as amended. The Petaluma Cable Communications Franchise Agreement indicated that the City designated PCA to serve as the initial access management entity and that PCA be a nonprofit organization that would provide public, educational, and government access programming services. In exchange for initial funding from TCI Cable for capital equipment and facilities to support PEG programming, as part of their transfer agreement with AT&T, PCA agreed to provide specific programming services as delineated in the contract, primarily that of operating the access channels; operating a community access center; training of city residents, city and school employees; providing for playback/cablecast of programs; providing for regular maintenance and repair of all video equipment; and actively promoting the use and benefit of the PEG channels. Per the terms of the agreement for contract extension, PCA had to submit no later than 180 days prior to the end of the contract (by June 22, 2005) a letter of intent requesting extension. The City has 60 days in which to provide a written response (no later than August 21, 2005). Per Section 19 of the Agreement, the City shall have the right upon 120 days written notice to terminate the Agreement for breach of any material provision of the Agreement; for malfeasance, misfeasance, misappropriation of funds; or if PCA loses its nonprofit status. PCA may avoid termination by curing any such breach within 60 days of notification, or within a timeframe agreed to by both the City and PCA. The City may also terminate this Agreement at the expiration of its term, or any extension thereof. Per Section 20, the City may not refuse to extend the contract based upon a failure of PCA to comply with the terms of this Agreement unless the City has provided PCA a notice of its failure to comply with the terms and the opportunity to cure said noncompliance. 3. ALTERNATIVES: a. Extend contract for another five year term. b. Deny the request and request preparation of RFP for video services. C. Rely on the Granicus system only for production of meeting minutes and the simultaneous broadcasting of government meetings on the City's website. Contract with PCA to continue managing the Public and Education channels, and to cablecast/playback government meetings on the government access channel. d. Hire part-time contractor or employee to nm cameras during taping of government meetings, in conjunction with the Granicus system. C. Contract with PCA for "as needed" assistance for taping and playback/cablecast of special meetings for the government channel. 4. FINANCIAL IMPACTS: When PCA was first incorporated, unpaid interns provided by PCA taped government meetings in exchange for on-the-job training. In 1996, the City began paying PCA $5/hour for filming government meetings. In November of 2000, prior to the award of the current contract extension, PCA asked that payment be increased from $5/hour to $30/hour because of declining support from the access fee collected by the cable company. The fees received by PCA from the cable provider have increased from $96,000 yearly in 1999 to $153,500 per PCA's Activities Plan and Budget dated May 14, 2004. The City agreed to $12/hour effective January 2001. In addition to the current contractual fee of $12/hour for broadcasting the meetings and taping for future re -broadcast, the City is charged $5 per videotape for PCA's library archive, with no additional charges to be made to the City. The City must provide blank videotapes for our own video archive. Per contract, the City and PCA are to meet prior to April of each year to set new rates, if requested. The City received notice in June 2005 of a proposed rate increase to $16 per hour by way of an invoice. This rate increase was denied. Payments to PCA to date for FY 2004/05 total $2,289 (through March/April invoice for meetings of the City Council, Planning Commission, SPARC). If the City expands its coverage of government meetings to include the Airport Commission and the Recreation, Music & Parks Commission, the total cost for PCA on a yearly basis would be approximately $4,500 at the $121hour rate. If the City agreed to a rate increase of $16/hour, the estimated yearly cost for PCA would be $6,000. I In early 2005, the City invested in and began using the Granicus system for live webcasting of government meetings held in the Council Chambers. The City's cost of the Granicus system is $1,300/month, or $15,600/year, regardless of the number of government meetings broadcast. CONCLUSION: PCA has undergone many changes since its inception in 1995, taking the City from limited public access to a state of the art community access center that is used by many segments of the community. The Board of Directors has hired several Executive Directors over the years to manage the activities of PCA. The funding of PCA remains a challenge, with some funding being provided by the current cable TV provider by way of donation from subscribers through the monthly billing process, and other funding derived from the video services PCA provides or from fundraising. PCA receives funding from the City in the form of hourly payment for broadcasting and taping of public meetings per the current agreement. The current agreement stipulates that PCA operate the PEG channels, provide for a community access center, and provide for playback and cablecasting of programs, which they have done. There are some provisions of the contract, however, that appear to be out of compliance: a. Section I (C): "Payment shall be made within thirty (30) days of receipt of invoice, on a quarterly basis" Invoices from PCA have not been consistently submitted on a quarterly basis. b. Section I (I): " Within twelve months of the completion and opening of the access center, PCA shall cablecast a minimum of 20 hours of local original, replayed and outside programming per week on each activated channel." No audit of cablecast productions has been provided by PCA to determine if this requirement has been met. This is information that would typically be found in an annual report. C. Section I (M): "PCA shall annually conduct a performance review. After four years of operation under this Agreement, PCA shall contract with an entity expert in access from outside the Petaluma community for a performance review which shall include an opportunity for access users and cable subscribers to provide input. Upon completion, a copy of the performance review shall be submitted to the City." PCA is in year five of its current Agreement. No performance review has been documented or submitted by PCA to the City. d. Section 8: "PCA shall maintain in full force and effect at all times during the term of this Agreement insurance as required by this Section." The last certificate provided to the City indicated proof of commercial general liability and automobile liability insurance only, and expired April 2, 2005. C. Section 8 (F): "Notification of Coverage. PCA shall file with the City proof of insurance coverage as follows: (1) Comprehensive Liability and Workers' Compensation upon commencement of the employment of the Executive Director; (2) equipment insurance upon the acquisition of any equipment; (3) cablecaster's error and omission insurance within thirty (30) days of the commencement of cablecasting or programming (from the access center located at Casa Grande High School) on the designated access channel." • Executive Director was hired in the fall of 2004; no evidence of Workers' Compensation insurance has been provided. • Recent equipment purchases in FY 04/05 included: $17,588 video toaster, video toaster accessories, 20 USB hard drives $16,540 linksys router/hard drive, green screen backdrop, bogen tripod/heads, cables, 4 GL2 camcorder kits, pentium ghz processor computer $4,308 power Mac, Apple studio display, final cut pro lid, apple protection plan $7,061 mac lites, Yamaha speakers/cables, headsets/direct boxes To date, no evidence of equipment insurance has been provided. • No evidence of cablecaster's error and omission insurance has been provided. f. Section 12: "Annual Reports. Prior to November 1 of each year, PCA shall submit to the City Finance Director an annual report for the preceding fiscal year (July 1— June 30). This report shall contain at a minimum, the following information: A. Review of programming and services provided; B. Current and complete listing of Grantees' Board of Directors; C. Year-end financial statements audited by an independent certified public accountant." The last annual report received by the City is dated 1998/1999. g. Section 14 (A)(2): "The City agrees to reserve for PCA all funds which it has received from AT&T for access equipment purposes, including interest." As part of the franchise agreement with AT&T, the cable provider provided $790,000 to the City for public access capital equipment. This was in addition to the 5% franchise fee paid to the City and the $.50 per month/subscriber access fee (now $2.00) that was paid directly to PCA. Of the $790,000, $500,000 was paid in the first year and $290,000 in the third year of the franchise agreement. A significant portion of these funds was used to design and construct the media center at Casa Grande High School, and to purchase video equipment to broadcast the Council and Planning Commission meetings at City Hall. The City has reserved the balance of the funds for PCA, including interest earned, and releases funds to PCA as requested and justified. However, equipment maintained at the City Hall site is no longer state-of-the-art and is in need of upgrade in order to be more compatible with the Granicus system currently in use by the City. h. Section 15 (A): "As used herein, the fiscal year begins on July 1 and ends on June 30. Section 15 (B): "On or before May 15 of each year in which this Agreement is in effect, PCA shall provide to the City an Access Activities Plan and Budget outlining activities and programs planned for the following year with funds and channel(s) received from the City ....... (4) an operating and capital equipment and facilities budget." The Access Activities Plan and Budget for FY 2004/05 was received on May 14, 2004. To date, no Access Activities Plan and Budget has been received for FY 05/06. 6. OUTCOMES OR PERFORMANCE MEASUREMENTS THAT WILL IDENTIFY SUCCESS OR COMPLETION: The City desires to expand the capabilities of the Government channel by televising additional City meetings (Airport Commission and Recreation, Music & Parks Commission meetings). To do so, the City needs assurance that PCA can provide adequate, reliable staffing on a consistent basis for the cablecasting to be successful as well as an upgrade of City Hall equipment that will compliment the City's investment in the Granicus system. RECOMMENDATION: Provide direction to the City Manager regarding renewal of the contract and any recommended changes to the agreement. PROFESSIONAL SERVICES AGREEMENT BETWEEN CITY OF PETALUMA AND PETALUMA COMMUNITY ACCESS, INC. This Agreement is made this CT day of M4 7 Lb -1 by and between the City of Petaluma, a municipal corporation ("City"), and Petaluma Community Access, Inc., a California. nonprofit corporation ("P.C.A."), who agree as follows: _ RECITALS 1. The City desires to provide support for the use of cable access channels provided pursuant to 47 USC Section 531 of the Cable Communication Policy Act of 1984, as amended. 2. The Petaluma Cable Communications Franchise Agreement indicates that the City has designated PCA to serve as the -initial access management entity and that PCA be a nonprofit organization organized to provide public, educational, and government access programming services and programming. 3. The City has granted to AT&T a franchise to operate a cable television system in the City. 4. The AT&T franchise provides that certain channel capacity be provided for public, educational, and governmental access. 5. The AT&T franchise as granted pursuant to Municipal Code Section 14.40.020 provides that certain payments shall be made by AT&T for capital equipment and facilities to support the public, educational, and government access channels. -0tyofPetaluma—PCA Agreement q 6. PCA, being the nonprofit access entity designated by the City, has indicated its interest in serving the public by providing public, educational, and governmental access NOW, THEREFORE, in consideration of the mutual promises and covenants set forth herein, the parties agree as follows: Section 1. Scope of Services. In exchange for the funding provided by the City to PCA, pursuant to this Agreement, PCA shall provide the following services. A. Operate Public Access Cable Channel(s). Operate the public access cable channel(s) for public/community access programming with the primary purpose being to administer, coordinate, and assist those requesting access on a non- discriminatory basis. B. Operate the Educational Access Charnels. Operate the educational access channel(s) for community access programming purposes with the primary purpose being to administer, coordinate and assist the educational institutions (educational access) requesting access on a non-discriminatory basis. Provide for the cablecast of the School Board meeting, and other public meetings as may be requested by the District. C. Operate the Government Access Channels. Operate the government access channel(s) for community access programming purposes with the primary purpose being to administer, coordinate and assist the City of Petaluma access on a non- discriminatory basis. Provide for the cablecast of the City Council meetings and other public meetings as may be requested by the City. The fee for taping of City- -City of Petaluma— PCA Agreement -2- lO required meetings shall be agreed to annually between the City and PCA no later than April 15t of each year. Payment shall be made within thirty (30) days of receipt of invoice, on a quarterly basis. D. Operate a Community Access Center. Manage a video production facility and equipment which shall be available for public use at such hours and times as are reasonable -to insure user access. Access to equipment and facilities shall be open to all those who satisfactorily complete training class(es) provided by PCA or who receive a certification from the PCA, identifying said user(s) as having satisfied training requirements through means other than PCA training classes. E. Provide Equal Access. Provide access to the use of the equipment, facilities, channels, and services provided hereunder on a non-discriminatory basis to all members of the community for non-commercial programming purposes, whether individuals, groups, or organizations, on a first-come, first-served non- discriminatory basis, pursuant to operating rules promulgated by PCA and consistent with the principles set forth in the Franchise Agreement. F. Develop Operating Policies and Procedure. Develop policies and guidelines for use and operation of the access equipment, facilities, and channel(s) and file such rules and guidelines with the City. G. Compliance With Laws Rules, and Regulations. Administer the public, educational, and government access channel(s) and facilities in compliance with applicable laws, rules, regulations, and in compliance with the Franchise agreement between the City and AT&T and this Agreement. -City of Petaluma — PCA Agreement -3- H. Training. Train City residents, and when requested, City and school employees in the techniques of video production, and provide technical advice in the execution of productions. I. Playback/Cablecast. Provide for the playback/cablecasting of programs on the public, educational and government access channel(s). Within twelve months of the completion and opening of the access center, PCA shall cablecast aminimum of 20 hours of local original, replayed and outside programming per week on each activated channel. PCA will also be responsible for the operation of the Community Bulletin Board when the Access Center is completed. J. Maintenance of Equipment. Provide regular maintenance and repair of all video equipment purchased with monies received pursuant to this Agreement and/or donated, loaned, or leased to PCA by the City. K. Special Needs Groups. Support special needs groups, including but not limited to the hearing impaired, in program production through training and other means. L. Promotion. "Actively promote the use and benefit of the public, educational and government access channel(s) and facilities to cable subscribers, the public, access users, and AT&T. M. Performance Review. PCA shall, annually conduct a performance review. After four years of operation under this Agreement, PCA shall contract with an entity expert in access from outside the Petaluma community for a performance review which shall include an opportunity for access users and cable subscribers to provide input. Upon completion, a copy of the performance review shall be submitted to the City. -City of Petaluma—PCA Agreement - 4 - 9 l� N. Other Activities. Undertake other public, educational and government access programming activities and services as deemed appropriate by PCA and consistent with the obligation to facilitate and promote access programming and provide nondiscriminatory access. Section 2. Channels Open to Public: PCA agrees to keep the access channels) open to all potential users regardless of their viewpoint, subject to FCC regulations, the Cable Communication Policy Act of 1984, as amended, and other relevant laws. Neither the City, nor the cable company(s), nor PCA shall have the authority to control the content of programming placed on the public access channel(s) so long as such programming is lawful. Nothing herein shall prevent PCA, the City, or cable company from producing or sponsoring programming, prevent the City or the cable company from underwriting programming, or prevent the City, cable company, or PCA from engaging in activities designed to promote production of certain types of programming or use by targeted groups as consistent with applicable law and rules for use of channels. PCA may promulgate and enforce policies and procedures which are designed to promote local use of the channel(s) and make the programming accessible to the viewing public, consistent with such time, manner, and place regulations as are appropriate to provide for and promote use of access channels, equipment and facilities. Section 3. Indemnification. PCA shall indemnify, defend, and hold harmless the City, its officers, agents, and employees and volunteers from and against any and all claims, suits, actions, causes of action, losses, damage, or liabilities of any kind, nature or description, including payment of litigation costs and attorney's fees, brought by any person or persons for or on account of any loss, damage or injury to person, property or any other -City of Petaluma—PCA Agreement - 5 - interest, tangible or intangible, sustained by or accruing to any person or persons, howsoever the same may be caused, directly or indirectly arising or resulting from any alleged acts or omission of the PCA, its officer, employees, agents or subcontractors arising out of or resulting from the performance of this Agreement. PCA shall indemnify, defend, and hold harmless City, its officers, agents, employees and volunteers from and against any and all claims or other injury, including costs of litigation and attorney's fees, arising from or in connection with claims or loss or damage to person -or property arising -out of the failure to comply with any applicable laws, rules, regulations or other requirements of local, state or federal authorities, for claims of libel, slander, invasions of privacy, or infringement of common law or statutory copyright, for breach of contract or other injury or damage in law or at equity which claims, directly or indirectly, result from PCA use of channels, funds, equipment, facilities or staff granted under this Agreement or franchise agreement. The City shall indemnify, defend, and hold harmless PCA, its officers, agents and employees from and against any and all claims, losses, liabilities, or damage including payment of reasonable attorneys' fees arising out of or resulting from the performance of this Agreement, caused in whole or part by any act or omission of the City. Section 4. Copyrieht Clearance. Before cablecasting video transmissions, PCA shall require all users to agree in writing that they shall make all appropriate arrangements to obtain all rights to all material cablecast and clearances from broadcast stations, networks, sponsors, music licensing organizations' representatives, and without limitation from the foregoing, any and all other persons as may be necessary to transmit its or their program material over PCA authorized channels. PCA shall maintain for the -City of Petaluma — PCA Agreement - 6 - ` applicable statute of limitations for City's inspection, upon reasonable notice by City and for the term of the applicable statute of limitations, copies of all such user agreements. Section 5. Copyright and Ownership. PCA shall own the copyright of any programs which it may choose from time to time to produce. Copyright of programming produced by the public shall be held by such person(s) who produces said programming. Section 6. Distribution Rights. A. PCA shall require that all programs produced with funds, equipment, facilities, or staff granted under this Agreement shall be distributed on the channels whose use " is authorized by this Agreement. This subparagraph shall not be interpreted to restrict other distribution (beyond distribution on channels authorized by this Agreement), so long as such other distribution is consistent with the rules and procedures governing such which shall be promulgated by the PCA and filed with the City. B. At least at the beginning and end of each day that video programming is cablecast on the channel(s) whose use is authorized by this Agreement, PCA shall display a credit stating "Partial funding for the operation of this channel is provided by the City of Petaluma." Such credit shall also state that opinions expressed in programming on the channel(s) are the sole responsibility of the program producers. Section 7. Equipment and Facilities. A. PCA shall be responsible for maintenance of all equipment and facilities owned, leased or loaned to it under this Agreement or purchased with funds provided pursuant to this Agreement. -City of Petaluma—PCA Agreement -7- ��� B. PCA shall own all equipment and facilities acquired by it and purchased with funds received pursuant to this Agreement, except that upon termination or non- renewal of this Agreement all such equipment or facilities purchased with funds received pursuant to this Agreement shall become the property of the City. To secure all of its obligations under this Agreement, PCA hereby grants to City a security interest in all of the assets and interests owned or hereafter acquired by PCA with funds provided by the City, and the proceeds thereof, including but not limited to, PCA deposit accounts and inventory, and all equipment and fixtures, that are or were acquired with funds provided by the City. PCA agrees to take all steps reasonably requested by City to perfect and enforce the City's security interest, including the execution and processing of financing statements and continuation statements under the California Uniform Commercial Code. PCA will also notify any institution with whom it now or hereafter maintains any deposit account of the existence of the City's security interest in the account. C. Upon the dissolution of the PCA, it shall, subject to the approval of the City, transfer all assets of PCA representing City funded equipment and facilities, and/or the proceeds of either to the City, or at the City's option, to such organization or organizations designated by the City to manage access which shall at the time qualify as a tax exempt organizations(s) under Section 501( c ) (3) of the Internal Revenue Code of 1986 (or the corresponding provisions of any future United States Internal Revenue Law). -City ofPeta/uma—PCA Agreement - 8 - Section S. Insurance. PCA shall maintain in full force and effect at all times during the term of this Agreement insurance as required by this Section. The cost of such insurance shall be borne by PCA and may be included in PCA annual budget. A. Comprehensive Liabilitv Insurance. Comprehensive liability insurance, including protective, completed operations and broad form contractual liability, property damage and personal injury coverage, and comprehensive automobile liability including owned, hired, and non -owned automobile coverage. The limits of such coverage shall be: (1) bodily injury including death, $1,000,000 for each person, each occurrence and aggregate; (Z) property damage, $1,000,000 for each occurrence and aggregate. B. -Equipment Insurance: Insurance shall be maintained on all equipment and facilities, including fixtures, funded in whole or in part under this Agreement to replacement cost. The insurance shall include, at a minimum, insurance against loss or damage beyond the user's control, theft, fire or natural catastrophe. City shall be shown as lien holder on all policies. C. Workers' Compensation. Full Workers' Compensation Insurance and Employer's Liability with limits as required by California law with an insurance carrier satisfactory to the City: D. Cablecaster's Errors and Omission Insurance: Insurance shall be maintained to cover the content of productions which are cablecast on the access channel in, at minimum, the following areas: libel and slander; copyright or trademark infringement; infliction of emotional distress, invasion of privacy; plagiarism; -City of Petaluma—PCA Agreement - 9 - 's misuse of musical or literary materials. This policy shall not be required to cover individual access producers. E. City as Co -Insured or Additional Insured. The City shall be named as a co- insured or additional insured on all aforementioned insurance coverage. The policies shall provide that no cancellation, major change in coverage or expiration may be affected by the insurance company or PCA without first giving the City thirty (30) days written notice prior to the effective date of such cancellation or change in coverage: Any insurance or self-insurance maintained -by the City, its officers, agents, employees, or volunteers shall be in excess of the PCA insurance and shall not contribute to it. F. Notification of Coverage. PCA shall file with the City proof -of insurance coverage as follows: (1) Comprehensive Liability and Workers' Compensation upon commencement of the employment of the Executive Director; (2) equipment insurance upon the acquisition of any equipment. (3) cablecaster's error and omission insurance within thirty (30) days of the commencement of cablecasting of programming (from the access center located at Casa Grande High School) on the designated access channel. Section 9. Non-discrimination in Employment and Service. A. PCA shall not discriminate against any person, employee or applicant for employment or subcontractor on the basis of race, color, creed, religion, sex, sexual preference, marital status, ancestry, national origin or physical or mental handicap. -City of Petaluma—PCA Agreement _10- ji) 1 B. PCA shall not discriminate in the delivery of services on the basis of race, color, creed, religion, sex, sexual preference, marital status, ancestry, national origin or physical or mental handicap. Section 10. Independent Contractor: It is understood and agreed that PCA is an independent contractor and that no relationship of principal/agent or employer/employee exists between the City and PCA. If in the performance of this Agreement any third persons are employed by PCA, such persons shall be entirely and exclusively under the control, direction and supervision of PCA. All termsof employment, including hours, wages, working conditions, discipline, hiring and discharging or any other term of employment shall be determined by PCA and the City shall have no right or authority over such persons or terms of employment. Section 11. Assignment and Sublettina. Neither this Agreement nor any interest herein shall be assigned or transferred by PCA, except as expressly authorized in writing by City. Section 12. Annual Renorts. Prior to November 1 of each year, PCA shall -submit to the City Finance Director an annual report for the preceding fiscal year (July 1 — June 30). This report shall contain at a minimum, the following information: A. Review of programming and services provided; B. Current and complete listing of Grantees' Board of Directors; C. Year-end financial statements audited by an independent certified public accountant. Section 13. Records and Financial Statement, Audit. A. PCA shall maintain all necessary books and records, in accordance with generally accepted accounting principles. -City of Petaluma—PCAAgreement - 11 - �L.� B. Upon reasonable request from City, PCA shall, at any time during normal business hours, make available all of its records with respect to all matters covered by this Agreement. C. PCA shall annually prepare or have prepared financial statements that are audited by a certified public accountant in accordance with generally accepted auditing standards and submit the audit report to the City. Section 14. Funding. A. The City agrees to make funds and resources available to PCA as follows: 1. AT&T has dedicated certain channel capacity to public, educational and government access use. The City, by this agreement, permits PCA to manage that channel ,capacity for public, educational and government access NotepigneIIIIIIII.- I= 2. The City agrees to reserve for PCA all funds which it has received from AT&T for access equipment purposes, including interest. PCA is to use such funds for the purposes delineated in this section. Transfer of said funds to be upon thirty (30) days written notice by PCA to the City requesting the funds and providing documentation of the purchase. Funds may not be claimed by PCA until such funds are received from the cable operator per the Franchise Agreement. A monthly statement of the fund balance will be provided to PCA by the City. 3. The City has pursuant to Section 10.6.B. of its franchise agreement with AT&T, directed AT&T to collect certain funding from cable subscribers, a community access fee. The City shall direct AT&T to provide all such funds -City of Petaluma- PCA Agreement -12- i `7 to PCA on a quarterly basis as described in Franchise Section 10.6.B. The current community access fee to be transferred to PCA from AT&T is $2.00 per subscriber per month. That fee may be adjusted by Resolution of the City Council. 4. In the event that the community access fee described in Section 10.6.B. of the Cable -Franchise Agreement is for any reason discontinued, the City agrees to explore all legal alternatives available to provide replacement revenue. 5. Notwithstanding any provision herein, PCA shall not be paid any compensation until such time as PCA provides to the City Finance Department information requested on the "Vendor Information" form available from the City and has obtained a currently valid Petaluma business license pursuant to the Petaluma Municipal Code. Section 15. Annual Plan and Budget. A. As used herein, the fiscal year begins on July 1 and ends on June 30. B. On or before May 15 of each year in which this Agreement is in effect, PCA shall provide to the City an Access Activities Plan and Budget outlining activities and programs planned for the following fiscal year with funds and channel(s) received from the City. Such plan shall contain: (1) a statementof anticipated number of hours of local original programming; (2) training classes to be offered and frequency of classes; (3) other access activities planned by PCA; (4) an operating and capital equipment and facilities budget. Section 16. Expenditure of Funds. PCA shall spend funds received from City for the purposes listed in Section 1, Scope of Services of the Agreement. Funds not expended in the year must -City of Petaluma— PCA Agreement -13- be carried over into succeeding years. Upon termination of this Agreement all funds of any kind received from City and not expended by PCA shall be returned to City. PCA shall provide for such fiscal control and accounting procedures as are necessary to assure proper disbursement and accounting for funds received from City. Section 17. Funding From Other Sources. PCA may, during the course of this Agreement, receive supplemental funds from other sources, including, but . not limited to fundraising activities. Section 18. Term of Agreement. This Agreement shall be for a"period of five (5) years commencing on December 20, 2000 and ending on December 19, 2005, unless terminated earlier, as- provided in this Agreement. This Agreement may be extended, by mutual agreement of the City and -PCA, in writing, for two additional periods of. five (5) years each in accordance with Section 20 of this Agreement. Section 19. Termination of Asreement: Transfer of Assets. A. The City shall have the right upon one hundred twenty (120) days written notice to PCA to terminate this Agreement for; (1) breach of any material provision of this Agreement by PCA; (2) malfeasance, misfeasance, misappropriation of funds; (3) or if PCA loses its 501 (c ) (3) status. Provided that with regard to item A. (1) above, PCA may avoid termination by curing any such breach within sixty (60) days of notification or within a time frame agreed to by the City and PCA. The City may also terminate this Agreement at the expiration of its term, or any extension thereof. B. Upon termination of this Agreement, PCA shall immediately transfer to the City all equipment, real property, fixtures, contracts, leases, deposit accounts or other -City of Petaluma—PCA Agreement -14- nn r�� assets received by or purchased by PCA with funds received pursuant to this Agreement. Section 20. Extension of Agreement. This Agreement may be renewed or extended for additional periods of five (5) years each, pursuant to the following process: A. If PCA seeks an extension of this Agreement, it shall not later than 180 days prior to the end of the contract, submit to the City a letter of intent requesting extension. & Within 50 days of the receipt of any request for contract extension from PCA, the City shall provide written response. If the City intends to refuse to extend the Agreement, it shall explain the reasons for this decision in its response to PCA. The City may not refuse to extend the contract based upon a failure. of. PCA to comply with the terms of this Agreement unless the City has provided PCA a notice of its failure to comply with the terms and the opportunity to cure said noncompliance. Section 21. Time. Time is of the essence in this Agreement and for the performance of all covenants and conditions of this Agreement. Section 22. Cooperation. Each party agrees to execute all documents and do all things necessary and appropriate to carry out the provisions of this Agreement. Section 23. Applicable Law. This Agreement shall be interpreted and enforced under the laws of the State of California. Section 24. Notices. All notices and other communications to be given by either party may be given in writing, depositing the same in the United States mail, postage prepaid and addressed to the appropriate party as follows: �9. -City of Petaluma — PCA Agreement - 14 H To PCA: Chairperson Petaluma Community Access, Inc. PO Box 2806 Petaluma, CA 94953 To City: City Clerk City of Petaluma Post Office Box 61 Petaluma, California 94953 Any parry may change its address for notice by written notice to the other party at any time. Section 25. Entire Agreement. This Agreement -is the entire agreement of the parties and supersedes all prior negotiations and agreements whether written or oral. This Agreement may be amended only by written agreement and.no purported oral amendment to this Agreement shall be valid. 1 ^....,rvaratuma —PC.i Rgreemeru -16- X IN WITNESS WHEREOF, the parties have executed the day, month and year first above written. CITY OF PETALUMA City Manager ATTEST PETALUMA COMMUNITY ACCESS, INC. Chajxrerson — Board of Directors t- AL�.tMti C�,rvy.,.u,�✓cY /�enae..s,.�t'iC Zn_ 5'- La Address City Clerk 6,51 97140dj City State Zip APPROVED TO FORM Petaluma Business License Number USE City Attorney U APD / M-partment Heacy Wisk Manag r Finance Director S:Beatty/PCA Final Agreement/nb -City of Petaluma — PCA Agreement -17- CTTY OF PETALUMA. CALIFORNIA MEMORANDUM City Manager's Office, 11 English Street, Petaluma, CA 94952 (707) 778-4345 Fax (707) 778-4419 Email: citvmen')acLnetalamacaus DATE: June 27, 2001 TO: Katie Crump, Executive Assistant to the City Manager FROM: Gene Beatty, Assistant City Manager (� _ SUBJECT: Agreement regarding PCA Service Billings As provided for in the new services agreement with Petaluma Community Access, Inc., the City and PCA have agreed to an increase in the per hour taping rate for City meetings. Effective January 2001, the hourly rate will increase to $12 per hour. This rate will remain in effect until July 1, 2002. Under the terms of the new agreement, the City and PCA will meet to set the rates annually prior to April of each year. Additionally, the City will provide tapes for the meetings, including any tapes the City wishes to use internally. The $12 per hour fee includes the cost of broadcasting the meeting and taping for future re -broadcast. No additional charges are to be made to the City. File: PCA Agreement June 21, 2005 Michael Bierman City Manager City of Petaluma 11 English Street Petaluma, CA 94952 Dear Mr. Manager, Vim, RECr:1YED JUN 92 2005 CITY 1viANAGER Petaluma Community Access has enjoyed our partnership with the City of Petaluma over the past several years. We particularly appreciate the consistent support the City has given us through our times of struggle with management changes. Now in our eighth month of a new and well-functioning management, we feel that we are well on our way to an enduring stability. Therefore, it is with renewed vigor that the Board of Directors has decided to invoke Section 20 of the most recent Professional Services Agreement between the City of Petaluma and Petaluma Community Access, Inc. According to Section 20 of the Professional Services Agreement, Petaluma Community Access may seek a five-year extension of the Agreement in writing. Therefore, the Board of Directors is looking to continue our Professional Services Agreement with the City of Petaluma for an additional five years. Adclress: P.O. Box 2306, Petaluma, CA 949532806 Media Center: 333 Casa Grande Av, Bldp.E Tal: 707.7733190 Fax: 707-773.4252 Email: inioGotpca.ty Web: hww.pcaAv C1 �t