R-97-09RESOLUTION NO. R-97-09
A RESOLUTION GRANTING CONSENT TO THE TRANSFER
OF THE CABLE TELEVISION FRANCHISE FROM OMNICOM
CABLEVISION OF ILLINOIS, INC. (D/B /A POST NEWSWEEK CABLE)
TO TCI AMERICAN CABLE HOLDINGS II, L.P.
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WHEREAS, the Village of Deerfield ( "Village ") in Ordinance No. 0- 9 7- 2 2
granted a non - exclusive cable television franchise to Omnicom Cablevision of Illinois,
Inc., (d/b /a Post - Newsweek Cable) ( "Omnicom ") to own and operate a cable television
system within the Village; and
WHEREAS, the Village has received an FCC Form 394 seeking consent to the
assignment or transfer of control of the cable television franchise from Omnicom to Post -
Newsweek Cable, Inc., ( "Post- Newsweek "), the surviving entity from the merger of
Omnicom into Post - Newsweek and then from Post - Newsweek to TCI American Cable
Holdings II, L.P. ( "TCI "); and
WHEREAS, TCI has demonstrated its financial, legal and technical ability to
operate the cable television system in conformance with the franchise agreement; and
WHEREAS, TCI has indicated its desire to upgrade the system with more modern
technologies while Omnicom has indicated its lack of desire to upgrade the system with
more modern technologies; and
WHEREAS, the corporate authorities of the Village find that transfer consent
should only be given subject to certain conditions necessary to protect the citizens of the
Village;
NOW THEREFORE, BE IT RESOLVED BY THE PRESIDENT AND BOARD
OF TRUSTEES OF THE VILLAGE OF DEERFIELD, LAKE COUNTY, ILLINOIS AS
FOLLOWS:
SECTION 1: Consent to the transfer of the cable television franchise granted in
Ordinance No. 0-97-22 from *Omnicom to Post - Newsweek and then from Post -
Newsweek to TCI American Cable Holdings II, L.P., is hereby granted subject to the
following conditions:
RESOLUTION NO. R -97 -09
A RESOLUTION GRANTING CONSENT TO THE TRANSFER
OF THE CABLE TELEVISION FRANCHISE FROM OMNICOM
CABLEVISION OF ILLINOIS, INC. (D/B /A POST NEWSWEEK CABLE)
TO TCI AMERICAN CABLE HOLDINGS II, L.P.
A. Post - Newsweek shall supply a letter to the Village guaranteeing all
franchise fees and any other monetary franchise obligations which arose or
arise prior to the closing of the transfer of the system to TCI American
Cable Holdings II, L.P. Post - Newsweek shall be solely responsible for all
obligations and liabilities under the franchise that arise or accrue from
events or circumstances occurring before the transfer of the franchise to
TCI and TCI shall be solely responsible for all obligations and liabilities
under the franchise that arise or accrue from events or circumstances
occurring after the transfer of the franchise to TCI.
B. A written corporate guarantee from UACC Midwest, Inc., one of
the limited partners in the TCI American Cable Holdings II, L.P.
guaranteeing all franchise obligations shall be provided to the Village.
C. The provision by TCI American Cable Holdings II, L.P. of an
organizational chart stating the name and job title (beginning with the
local system manager and "going up" to regional and corporate levels) of
all persons who will have direct or indirect responsibility for the
management of the technical, billing, customer service or government
relations aspects of the cable system serving the Village.
D. Said organizational chart shall be updated not less than annually.
Failure to provide at least annual updates of the organizational chart shall
be deemed a material breach of the franchise.
E. The provision by TCI American Cable Holdings II, L.P., upon
acquisition of the cable system, of any escrow fund, letters of credit, or
bonds required by the franchise agreement. No escrow fund, letter of
credit or bonds, provided by Omnicom shall be released by the Village
until new escrow funds, letters of credit or bonds are provided by TCI.
SECTION 2: If the conditions set forth in Paragraphs A -C above are not met
prior to the last day for transfer consent to be granted, then transfer consent shall be
deemed to be denied by this resolution.
RESOLUTION NO. R -97 -09
A RESOLUTION GRANTING CONSENT TO THE TRANSFER
OF. THE CABLE TELEVISION FRANCHISE FROM OMNICOM
CABLEVISION OF ILLINOIS, INC. (D/B /A POST NEWSWEEK CABLE)
TO TCI AMERICAN CABLE HOLDINGS II, L.P.
AYES: Ehlers, Heuberger, Rosenthal, Swanson, Swartz (5)
NAYS: Seidman (1)
ABSENT: None (0 )
PASSED: This 27th day of May A.D., 1997.
APPROVED: This 27th day of May A.D., 1997.
ILLAGE PRESIDENT
ATTEST:
VIMAGE ' CLERK
POST - NEWSWEEK
CABLE
4742 North 24th Street, Suite 270
Phoenix, Arizona 85016
(602) 468 -1177 FAX (602) 468 -9216
May 27, 1997
Via Fax
(847) 945 -0214
Mr. Robert D. Franz
Village Manager
Village of Deerfield
850 Waukegan Road
Deerfield, IL 60015
Re; Post- Newsweek/TCI Exchange
Dear Mr. Franz:
Omnicom Cablevision of Illinois, Inc. (d /b /a Post - Newsweek Cable) ( "Omnicom ") does
hereby confirm that it has agreed with the Village of Deerfield (the "Village ") upon the terms of a
renewed non - exclusive cable television franchise (the "Renewed Franchise ") in the form attached
as Exhibit A to the draft transfer Resolution granting consent to the transfer of the cable television
franchise from Omnicom to TCI American Cable Holdings II, L.P. ( "TCI "), and does hereby
unconditionally consent to and agree to accept and be bound by each and all of the provisions,
restrictions, and conditions of the Renewed Franchise if Omnicom is the franchisee at the time of
final passage and approval of the Renewed Franchise by the Village of Deerfield.
If the transfer resolution is passed at the May 27 meeting of the Village Board of Trustees,
then Omnicom expects the exchange transaction between Post - Newsweek Cable and TCI will
close effective as of May 31, 1997. Accordingly, at the time of passage of the Renewed
Franchise, TCI in all likelihood would be the franchisee and therefore the appropriate party to
execute the Renewed Franchise. We understand that TCI has delivered to the Village TCI's
Unconditional Acceptance of the Renewed Franchise.
Sincerely,
OMNICOM CABLEVISION OF ILLINOIS, INC.
By: A, E b 41�14
Patrick A. Dolohanty
Vice President
cc: Mark Balkin, Esq.
Paul Diambri, Esq.
GUARANTEE
THIS GUARANTEE is made this 16th day of May, 1997, between UACC Midwest, Inc.,
a Delaware corporation ( "Guarantor "), Village of Deerfield, Illinois (the "Franchising
Authority ") and TCI American Cable Holdings II, L.P., a Colorado limited partnership
(the "Partnership ").
WHEREAS, the Franchising Authority has consented to a transfer of all documents (the
"Franchise Documents ") relating to the ownership, operation and maintenance of the
cable system located in the Village of Deerfield, Illinois (the "System ") from Omnicom
Cablevision of Illinois, Inc. to the Partnership; and
WHEREAS, Guarantor is a limited partner of the Partnership and has a substantial
interest in the System and the conduct of the Partnership in complying with the Franchise
Documents, any and all amendments thereof, and any Guarantees related thereto; and
WHEREAS, as a condition to the transfer, the Franchising Authority requires Guarantor
to guarantee the performance of the Partnership's obligations under the Franchise
Documents.
NOW, THEREFORE, effective upon the Closing Date (as hereinafter defined), Guarantor
shall unconditionally guarantee the due and punctual performance of any and all
obligations of the Partnership under the Franchise Documents. The Franchising
Authority shall first proceed against the Partnership before enforcing the provisions of
this Guarantee.
This Guarantee, unless terminated, substituted or canceled, as provided herein, shall
remain in full force and effect for the duration of the term of the Franchise Documents, or
earlier if agreed to by the Franchising Authority.
Upon substitution of another Guarantor reasonably satisfactory to the Franchising
Authority, this Guarantee may be terminated, substituted or canceled upon thirty (30)
days' prior written notice from Guarantor to the Franchising Authority and the
Partnership. Such termination shall not affect liability incurred or accrued under this
Guarantee prior to the effective date of such termination or cancellation.
Any notices given pursuant to this Guarantee shall be addressed to the Guarantor and
Franch'see at P.O. Box 5630, Denver, Colorado 80217, and to the FranchisiMlo/<
uthority
at §.5'0 Wd9fi (Y—g0A PbAd beAtz�PJ�_ , �L.
No claim, suit or action under this Guarantee by reason of any default of the Partnership
shall be brought against Guarantor unless asserted or commenced within six (6) months
after the effective date of such termination or cancellation of the Guarantee.
Document #: 9656
Document: JAKARLATAWgWI LDOC
This Guarantee shall be deemed effective upon the closing date of the Asset Exchange
Agreement dated as of November 15, 1996 among the Partnership, the Guarantor, Post -
Newsweek Cable, Inc. and certain other related parties (the "Closing Date ").
IN WITNESS WHEREOF, the Partnership, Franchising Authority, and Guarantor have
executed this Guarantee as of the 16th day of May, 1997.
GUARANTOR:
UACC T, INC.
By
:
jhen M. Brett
Vice President
PARTNERSHIP:
TCI AMERICAN CABLE
HOLDINGS 111, L.P.
By: TCI Cable ion of Minnesota, Inc., as
general panne
Stephen M. Brett
Vice President
FRANCHISING AUTHORITY:
Document #: 9656
Document: JAKARLATAWgNI LDOC
MAY -19 -9T 13:25 From: TCI 3034683217 T -03T P.02/02 Job -364
UNCOMDMONAh ACCE17AMC6
TCI American Cable Holdings 1I, L.P. (`Transferee "), pursuant to Section 3 of the Village of
Deerfield Resolution (the "Transfer Resolution "), hereby acknowledges that it has read and understands all
of the terms and provisions of the renewed non - exclusive cable television franchise attached hereto as
Exhibit A (the "Renewed Franchise "), and does hereby unconditionally consent to and agree to accept and
be bound by each and all of the provisions, restrictions, and conditions of the Renewed Franchise.
Transferee further acknowledges that the person(s) signing this instrument on behalf of Transferee is (are)
fully authorized to do so.
This Unconditional Acceptance shall be effective upon the closing date of the Asset Exchange
Agreement dated as of November 16, 1996 among the Transferee, Post - Newsweek Cable, Inc. and certain
other related parties.
TCI AMERICAN CABLE HOLDINGS U, L.P.
8y: TCI Cahlevi o of Minnesota, Inc.
By:
N tephen M. Brett
Title: Vice President
ATTEST:
VV `
By: V
Name: Mary 1. illis
Title: Assistan Secretary
STATE OF COLORADO
COUNTY OF ARAPAHOP
I, the undarcigned, a Notary Public in and for said County, in the Stale of Colorado, do hereby certify that
Stephen M. Brett, who is Vice president of TCI Cablevision of Minnesota, the general partner of TCI
American Cable Holdings II, L.P., and Mary S. Willis, who is Assistant Secretary of TCI Cablevision of
Minnesota, the general partner of TC1 American Cable Holdings II, L.P., personally known to trio to be the
persons whoco names are subscribed to the foregoing instrument as such Vicc President and Assistant
Secretary, respectively, appeared before me this day in person and acknowledged that they signed and
delivered the forogoing instrument as their frcc and voluntary act and rut the free and voluntary act of TCI
American Cable Holdings A, L.P. for the uses and purposes therein set forth.
Given under my hand and seal this day of O , 1997.
Notary Public
My commission expires:
t
410q�)
Document #: 9627
Document: J:IKARLATA17ffO11.DOC
We're taking television
into tomorrow.
TCI GREAT LAKES, INC.
March 31, 1997
Mr. Gerald Smith
Assistant to the Village Manager
Village of Deerfield
850 Waukegan Rd.
Deerfield, IL 60015
Dear Mr. Smith:
Tt was a pleasure to have an opportunity to meet and talk.with you and your
colleagues recently. That meeting was an important first step in what we hope will
be a long and mutually rewarding relationship between the Village and TCI.
One of the follow -up items that we agreed to provide to you was an organization chart
or charts showing how your Post - Newsweek system fits into the present management
structure of TCI Great Lakes as well as the overall organization of the Division
office. Those two charts are attached for your review.
You can see from the "Organizational Reporting Structure" chart that your Post -
Newsweek system will be among the highest priorities for Steve Bryan, our Division
Vice President. At the same time, he has instructed all of us on his staff to focus
on your system as a priority to insure a smooth transition of service that, except
for notification, will be virtually "seamless" to customers. And, of course, we are
doing everything•we can to maintain the current Post - Newsweek group of employees who
have so consistently delivered the excellent customer service to which you and the
customers have become accustomed.
We will be back in touch with you shortly. If, in the meantime, other questions or
concerns arise, please do not hesitate to call on Steve or me.
Sincerely,
nc.
Jim -Leech
erector, Government Affairs
JL:jml
Attachment
cc. .. Mark Balkin, Esq.
111 Pfingsten Road, Suite 400
Deerfield, Illinois 60015
(847) 480 -9292
FAX (847) 480 -7462
An Equal Opportunity Employer
TCI Great Lakes, Inc.
Organizational Reporting Structure
Dave Reynolds
Regional VP
NorthWest Region
Steve Bryan
Division VP
TCI Great Lakes
Jim Mazur
Regional VP
Pittsburgh/
St. Louis
Steve White
Regional VP
Chicago
Post NewsWeek
TCI Great Lakes, Inc.
Division Office
Steve Bryan
Division VP
Melinda Formusa
AA/Office Mgr.
Sherry Krupnick
Mike Ibes
Receptionist
Mail Rm/Gen Office
Pete Kie" -- Terry Pfister I
VP/Controller �lar/Communications
Jim Leach
GA/Franchising
Jon Newcomb Ken Reske Carlton Gates
Division Counsel [Ratt e Reg/FCC I New Business
GL 90138 GL 96130
-� — --
Sue Christensen I Kelth Heffron
Asst. Controller Capital Analyst
I I— Dartell Schmitz
I—
Jon Moses
Sraine
Anna Obdin
Admin. Asst.
- - --
Annette Suritz
Joy Harvey -
Admin Asst
�__
—
Budget Analyst
-)
Audit/Chgo I
Capital Engr.
Legal Asst/AA II
_ -_ _
Kevin Igielski
- I ---
( Anne Ingles
Amy Winchell
Contracts Admin.
Doug Marlowe
Acctg. Mgr. i
i Financial Analyst I
— -- - - -- -- - - --
( - _ Telephony Sales _ - _.- -._..
Ken Wolf rc Pieler
Acctg. Suprv. I ! Acctg. Suprv.
10 Accountants I i 10 A luntants
I Mary Parker-Short'
i Billing Mgr.
Nadine May
A/P Supervisor '
5 A/P Clerks
(+ temps)