08/26/1974 Meeting - Laserfiche WebLink

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Mr. Williams moved seconded by Mr. Wood that the Council neither-approve nor disapprove the TelePrompter rate increase but ask that staff further review testimony presented and consider options which might be available to,deai with the. problem in other ways, including public teevee translator service. 4It Councilman McDonald felt the rate increase should be either accepted or rej ected'- He said the subcommittee of representatives from both Springfield and Eugene had been appointed to review only the proposed increase, and they felt after analysis of the figures presented that the recommendation to accept the increase was right. He noted the TelePrompter franchise would run to 1980, also that the Council could cancel it after six months notice. He recommended that the increase be accepted, noting that it would to into effect on September 1st regardless of Council action at this time. Councilman Keller asked for a legal approach- and was advised that the City Attorney (Side II could not advise because, of conflict of interest - TelePrompter at one time had been 0001) a client. Councilman Hershner expressed concern about the probably amount of staff work involved in reviewing accounting procedures to determine whether the rate of return was reason- able. He wondered if staff thought it would be worthwhile in view of recent rate increases in other northwest cities. Councilman Williams said it was not his intent that staff review of financial statements and exploration of alternative television service proceed contemporaneously, rather that the possibility of a public translator be pursued first. If that could not be developed, then he thought the figures ~ presented were such that further analysis was necessary. Councilman McDonald thought ~ that since "burden of proof". rested on the city and auditing of figures would- create - considerable expense. Auditing TelePrompter's New York books was brought up'several times in subcommittee meetings, he said, and r~jected as too costly for either city. Mr~' Williams said he was not arguing that an audit was warranted, rather that it was a question of interpretation of rate of return on investment and the appropriate definition of investment for a television cable service company. Mr. McDonald felt the main consideration should be the service provided by TeleVrompter. He noted very little comment about the service, only that no one wanted to pay the increased rate. Councilman Keller wondered whether Mr. Williams' interest in return on investment could be defined as "return on assets" or if something more definitive was wanted. Mr. Williams answered that debate could continue forever on a definition of invest- ment when calculating its return. He cited bases on which a"rate of return could be calculated and noted that there were general accounting procedures for utility businesses. Still he. thought the value presented in TelePrompter's financial statement appeared not properly stated. And he felt it should be further analyzed if the people of Eugene were to provide the return. Councilwoman Beal thought any review of accounts or procedures used.in arriving at a value were beside the point if the thrust of the motion was to explore alternatives /- to provide suit'able television translator service at a nominal cost with small initial _ investment. It an alternative service was provided, she said, then the rate Tele- Prompter charged wouldbe of no concern because there would be an alternative. Councilwoman Campbell asked hos a translator system would be financed by the city and (0176) what cost would be involved to the consumer in adapting receiving sets for that type of reception. Mr. Williams answ.er~rl that if it appeared the translator alternative:' was",-the b"e'st ~-a:-nd Jle was 'intere~tectenough t() investigate it', hesg.i_d"",..then..it..,' appeared the- city could-- pay the estimated f90-, OOO-~fo-r in-stallation from ccmtingency funds. With regard to receiving sets, he said, any television set since 1963 by law has been manufactured with the capability of being adapted to UHF reception. Vote was taken on the motion as stated. Motion carried, all Council members present voting aye; except Councilman McDonald voting no. II. "- Items to be acted.~ upon with one motion after discussion of individual items if (0214) requested. Previously discussed in committee on August 14, 1974 (Present: Mayor Anderson; Council members Hershner, Beal, Campbell, and Wood) and August 21, 1974 (Present: Mayor Anderson; Council members Williams, McDonald, Beal, Campbell, and Kel}_~:),_'___ ~i,~~te~ of ~~os~_ me~tings a~~ pri~ted, below. in. ~ talics ._____ _. __..' ..__. ,____ A. ,Request to rename 13th Avenue "Wayne Morse Avenue" - Copies of letter from Charles 0.' . 'Porter were previously distributed -to Council members requesting that 13th Avenue ~ )e repamed "Wayne Morse Avenue" and that its intersection with Kincaid street be (known as "Wayne Morse Plaza." Also distributed were copies of procedure for 1 ichanging street names, established by State law, requiring Planning Commission 'recon~endation after public hearing, and public hearing at time of Council con- sideration of the recommendation. Manager said the cost of changing street name signs, if approved, would be about $680. 8/26/74 - 16' ' '309