HomeMy WebLinkAbout7.A. Centurylink Application for cable communications franchise 011.11411 Public Hearings 7. A.
SHAKOPE F
TO: Mayor and City Council
FROM: John Peterson, Telecommunications Coordinator
DATE: 06/16/2015
SUBJECT: CenturyLink Application for Cable Communications Franchise (D)
Action Sought
The City Council is asked to conduct a public hearing to consider an application
from CenturyLink to grant an additional Cable Communications Franchise.
Background
In early 2015 CenturyLink met with City staff and the City's cable
franchise attorney, Mr. Brian Grogan, to express its interest in a Cable
Communications Franchise in Shakopee. Following this request, the City prepared
the necessary documents to comply with the franchising procedure required under
Minnesota law. On April 16 and 23, 2015, the City published a Notice of Intent to
consider applications for a cable franchise as well as a request for proposals. Copies
of these documents were sent to Comcast, the current cable operator, and to
CenturyLink. On May 13, 2015, the City received an application from CenturyLink.
The City of Shakopee currently has a Cable Communications Franchise agreement
with Comcast Cable. This agreement is nonexclusive. Therefore, the City has the
ability to grant any number of additional franchises. However, state law requires
that any additional franchises be no less burdensome or more favorable than the
existing franchise. By approving an additional franchise agreement, the City has the
opportunity to facilitate competition and consumer choice in the local cable market.
The purpose of the public hearing is to:
•Receive comment regarding the application received from CenturyLink; and
•Consider the legal, technical and financial qualifications of the Applicant.
The City's attorney, Brian Grogan, will present an overview of the franchising
process and review some of the likely issues associated with issuing a second cable
franchise. Representatives of CenturyLink are expected to provide a presentation
regarding their application. Representatives of Comcast, the current cable grantee,
may attend and wish to speak as well.
No decision by the Council is required or requested the night of the public hearing.
Requested Action
The Council is asked to open the public hearing, take testimony and then provide
direction to staff in regards to desired next steps.
Attachments: Notice of Intent
Request for Proposal Form
CenturyLink Letter to Shakopee
CenturyLink Application
NOTICE BY THE CITY OF SHAKOPEE, MINNESOTA
OF ITS INTENT TO CONSIDER AN APPLICATION FOR A FRANCHISE
Notice is hereby given that it is the intent of the City Council of the City of Shakopee,
Minnesota, to consider applications for a franchise for the purpose of operating a cable
communications system to serve the City of Shakopee, Minnesota. This notice is given in
accordance with the requirements of Minn. Stat. § 238.081.
The complete Request for Proposals/Official Application form is available upon request from the
City of Shakopee, 129 Holmes Street South, Shakopee, MN 55379 or via email to
jpeterson@ShakopeeMN.gov with the subject line"Request for Official Cable Communications
Franchise RFP".
A. The deadline for submitting applications is May 15, 2015.
B. Applications shall be in writing, notarized, in a format consistent with the
Request for Proposals, and sealed with one (1) paper and one (1) electronic
copies enclosed. Applications shall be delivered to the attention of John
Peterson, Telecommunications Coordinator, City of Shakopee, 129 Holmes Street
South, Shakopee, MN 55379. Two (2) additional copies shall be simultaneously
submitted to the City's outside legal counsel, Brian Grogan, Moss & Barnett at 150
South Fifth Street, Suite 1200, Minneapolis, Minnesota 55402.
C. Pursuant to Minn. Stat. 238.081 subd. 8, applicants will be required to reimburse
the City for all necessary costs of processing a cable communications franchise.
Each application shall include an application fee of three hundred and fifty dollars
($350.00) in the form of a check made payable to the City of Shakopee,
Minnesota. Each applicant shall also include an escrow amount of seven
thousand five hundred dollars ($7,500) in the form of a check made payable to
the City of Shakopee, Minnesota. Any unused portion of the escrow fee shall be
returned to the Applicant and any additional fees required to process the
application and franchise beyond the escrow fee shall be assessed to the
Applicant.
D. Applicants are requested to be present at a public hearing before the City Council
that is presently scheduled to be held at City Hall, beginning at 7:00 p.m. on
June 16, 2015. Each applicant will be given time to summarize its application.
E. The Request for Proposals sets forth in detail the expectations of the City of
Shakopee, Minnesota and the requirements of the content of the franchise
proposal and are made in conformance to the requirements of Minn. Stat. §
238.081, subd. 4.
F. The services to be offered are identified in the Request for Proposals and include
a system providing public, educational and governmental access channels
consistent with state law; a mix, level and quality of programs and services
comparable to other systems in the region serving similar sized communities and
customer services and maintenance plans to ensure quality service to the
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subscriber. The Request for Proposals provides further details of the services to
be offered.
G. The criteria for evaluating the applications and priorities for selection are as
follows:
1. The completeness of applications and conformance to Request for
Proposals;
2. Customer service policies and system testing;
3. The legal, technical, and financial qualifications of the applicant; and
4. The proposal for community services, including public, educational, and
governmental access in accordance with state law.
H. Applications which meet the above criteria in the opinion of the City Council shall
be considered for a franchise.
I. The applicant(s) selected by the City Council will be required to accept the
franchise documents granted within thirty (30) days after adoption.
J. All questions concerning this request should be directed to John Peterson,
Telecommunications Coordinator, City of Shakopee, 129 Holmes Street South, Shakopee, MN
55379; phone (952) 233-9310.
Date: April 16, 2015
CITY OF SHAKOPEE, MINNESOTA
By:
Its:
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REQUEST FOR PROPOSALS
Official Application Form
Applicants interested in submitting a proposal for a cable communications franchise shall submit
the following information as required by Minnesota Statutes Section 238.081 (subd. 4)to the City
of Shakopee, Minnesota ('City") on or before May 15, 2015.
A. Plans for channel capacity, including both the total number of channels capable of
being energized in the system and the number of channels to be energized
immediately.
B. A statement of the television and radio broadcast signals for which permission to
carry will be requested from the Federal Communications Commission.
C. A description of the proposed system design and planned operation, including at
least the following items:
1. The general area for location of antenna and headend, if known;
2. The schedule for activating cable and two-way capacity;
3. The type of automated services to be provided;
4. The number of channels and services to be made available for access cable
broadcasting; and
5. A schedule of charges for facilities and staff assistance for access cable
broadcasting.
D. Terms and conditions under which particular service is to be provided to
governmental and educational entities.
E. A schedule of proposed rates in relation to the services to be provided and a
proposed policy regarding unusual or difficult connection of services.
F. A time schedule for construction of the entire system with the time sequence for
wiring the various parts of the area requested to be served.
G. A statement indicating the applicant's qualifications and experience in the cable
communications field, if any.
H. An identification of the municipalities (including contact information for the
municipal officials in each community) in which the applicant either owns or
operates a cable communications system, directly or indirectly, or has outstanding
franchises for which no system has been built.
I. Plans for financing the proposed system, which must indicate every significant
anticipated source of capital and significant limitations or conditions with respect to
the availability of the indicated sources of capital. This information should include:
1. Current financial statements;
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2. Proposed sources and uses of funds for the construction project;
3. Financial budgets for the next three (3) years;
4. Documentation regarding the commitment of funds; and
5. Any other information that applicant determines would be useful in
evaluating its financial qualifications.
J. A statement of ownership detailing the corporate organization of the applicant, if
any, including the names and addresses of officers and directors and the number of
shares held by each officer or director, and intercompany relationship, including the
parent, subsidiary or affiliated company.
K. A notation and explanation of omissions or other variations with respect to the
requirements of the proposal.
Substantive amendments may be made to a proposal after a proposal has been submitted only
upon approval of the City and before the award of a franchise. All proposals must be notarized
and must include responses to the above information requests, as well as the information
requested in the Notice by the City of its Intent to Franchise a Cable Communications System,
available from the City upon request.
Applicants are advised that Comcast currently provides cable television service throughout the City
of Shakopee, Minnesota.
The City reserves its right to request additional information of any applicant at any time during this
process.
Any questions regarding this Request for Proposals may be directed in writing to John Peterson,
Telecommunications Coordinator, City of Shakopee, 129 Holmes Street South, Shakopee, MN
55379; phone (952) 233-9310.
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CenturyLink®
Patrick Haggerty
Director of State Regulatory
and Legislative Affairs
(651)312-5630
May 13, 2015
VIA COURIER AND E-MAIL
Mr.John Peterson
Telecommunications Coordinator
City of Shakopee
129 Holmes Street South
Shakopee, MN 55379
Re: Application of Qwest Broadband Services, Inc.d/bja CenturyLink for Cable
Communications Services Franchise in Shakopee, Minnesota
Dear Mr. Reardon:
In response to the City of Shakopee's Notice of Intent to Consider an Application for a Franchise
and Request for Proposals, enclosed please find one copy of Qwest Broadband Services, Inc.,d/b/a
CenturyLink's notarized application for a cable communications franchise in the City of Shakopee,
Minnesota. Trade secret information has been redacted from the enclosed copy. Your counsel, Brian
Grogan, has been served with one copy that contains the trade secret information as well as a public
version. Also, enclosed are checks in the amounts of$350 and $7,500 payable to the City of Shakopee in
full payment of its application and escrow fees.
Please do not hesitate to contact me or any other designated representative of the Company if
you have any questions. CenturyLink looks forward to working with and bringing facilities based video
competition to the City of Shakopee.
Ve truly yours,
Patrick Haggerty
Enclosures
cc: Mr. Brian Grogan
200 South 5th Street,Room 2200
Minneapolis, MN 55402
www.centurylink.com
CITY OF SHAKOPEE
APPLICATION OF QWEST BROADBAND SERVICES.INC.D/B/A CENTURYLINK
FOR A COMPETITIVE CABLE FRANCHISE
Qwest Broadband Services, Inc., d/b/a CenturyLink("CenturyLink") respectfully files this
application for a competitive cable communications franchise with the City of Shakopee pursuant to
the City of Shakopee Notice and Request for Proposals dated April 16, 2015.
Background:
Overview of CenturyLink
CenturyLink Improves Lives
At CenturyLink,our vision is to improve the lives of our customers. Through our
products and services,we help strengthen businesses and connect communities to
each other and the world.
CenturyLink's Unifying Principles
We have established certain fundamental values that are the foundation for how we
interact with our partners,our customers and with one another. We call these
values our Unifying Principles,and they bring together our beliefs into a cohesive
philosophy that guides our actions in all matters,including our greater social
responsibility in the communities where we live and work. The Unifying Principles
are Fairness, Honesty and Integrity,Commitment to Excellence, Positive Attitude,
Respect, Faith and Perseverance.
CenturyLink in Minnesota
CenturyLink in Minnesota employs approximately 3,000 people with the majority of
those jobs located in the Twin Cities metropolitan area. More than half of
CenturyLink employees in the Twin Cities are represented by the Communications
Workers of America Union. This includes approximately 500 network technicians,
200 of whom are being cross-trained to support Prism. Success in the market will
trigger hiring more skilled technicians in the future to support Prism CenturyLink
also employs approximately 100 network engineers in the Twin Cities who work in
partnership with the network operations team to plan,build and deploy service.
CenturyLink's network operations team supports the new headend facility,located
in Golden Valley.
Employees in the Twin Cities also include business sales,marketing,regulatory
affairs,public policy, customer service and administrative support. Employees are
located across the Twin Cities in central office neighborhood locations and at three
main corporate campus locations:
QBSI/SHAKOPEE Application- May 15th, 2015 PUBLIC DOCUMENT Page 1
TRADE SECRET DATA
ra IF=N EXCISED
• CenturyLink, 200 S. 5th Street,downtown Minneapolis
• CenturyLink, 2800 Wayzata Blvd, Bryn Mawr, Minneapolis
• CenturyLink, 70 W.4th Street, downtown St. Paul
Many CenturyLink employees have worked with the company for decades
experiencing early innovations as a telephone company and the current day
transformation into a technologically-sophisticated service provider to local
communities and Minnesota's largest companies.
With a statewide payroll that exceeds$195 million each year, CenturyLink is a
proud contributor to jobs and the economy in the state.
CenturyLink in the Community,Sustainability and Commitment to Diversity
CenturyLink is committed to strengthening and improving the communities it
serves,not only through jobs,products and services,but also through philanthropic
support of local community agencies, events and initiatives. We focus our
philanthropic and volunteer efforts on K-12 education and programs that support
youth;technology-focused initiatives; and locally-driven efforts that strengthen
communities and make them better places to live.
Through our involvement in efforts ranging from environmental stewardship to
community investment,we further our commitment to improve lives by being a
good citizen and neighbor in the communities where we work and live.
• Since 2007,the CenturyLink Clark M.Williams Foundation (previously
Qwest Foundation) has awarded$800,000 to innovative Minnesota
teachers working to improve STEM learning and access to technology in
schools statewide. The Minnesota Business Partnership assists
CenturyLink by administering the program. Together,we are helping to
build awareness around STEM education and preparing Minnesota's
future workforce for STEM careers.
• CenturyLink awards scholarships in partnership with local organizations
to advance the opportunities of their stakeholders. Scholarships
recipient organizations include:
• CenturyLink STEM scholarship via Minnesota High Tech association.
• Pacer Center Excite Technology Camp for Girls scholarship.
• Minneapolis Urban League general education scholarships.
• University of St.Thomas,ThreeSixty program scholarship.
• CenturyLink helps provide a state-of-the-art fan experience at Target
Field as the Official Communications Provider for the Minnesota Twins
and Target Field. CenturyLink's sponsorship also includes working with
the Twins and the Metro Area Library Association to support the
summer reading program.
QBSI/SHAKOPEE Application-May 15th, 2015 Page 2
• Through our Matching Time Grant program, Minnesota employees
volunteering time to a non-profit agency can earn a CenturyLink
Foundation grant for that organization.
• Our employees can further their community support through our annual
CenturyLink All Employee Volunteer Day,Employee Giving Campaign
supporting the Greater Twin Cities United Way and our Annual Food
Drive supporting Second Harvest Heartland.
• We are committed to environmental sustainability through programs
that include waste recycling,green information technology,and
procurement policies and practices.
• CenturyLink provides incentives for employees in certain communities
to make use of public transit or green commuter programs.
• Our Ethics and Compliance Program provides employees with guidance
in making ethical business decisions and provides mechanisms for
employees to report concerns.
• We have a Supplier Code of Conduct that establishes expectations for our
contractors and vendors regarding ethical business practices.
• CenturyLink's Privacy Policy protects our customers'information and
keeps our customers informed about the information we collect and the
choices they have regarding that information.
• Diversity is celebrated and promoted through our Employee Resource
Groups,recruiting,global supply chain and community outreach.
CenturyLink Lifeline&Internet Basics
CenturyLink participates in Lifeline,which provides certain discounts to qualified
subscribers on monthly service. The program is designed to help low income
households with needed phone services. Lifeline is available to qualifying
customers in every U.S.state. Qualifications vary by state. Residents of American
Indian and Alaskan Native tribal lands may qualify for up to an additional$25 of
enhanced Lifeline support monthly. They may also qualify for the Link-Up program,
which helps consumers pay the initial installation costs of getting telephone service.
Link-Up provides a credit of up to $100 of the initial installation charges for tribal
customers.
CenturyLink supports the Federal Communications Commission's goal of bringing
high-speed Internet to economically-disadvantaged households. We work with
nonprofit partners throughout our state to engage communities in the CenturyLink
Internet Basics program which provides qualifying low-income Minnesotans service
at a reduced rate. CenturyLink has conducted training programs and awareness
building around Internet Basics through the Minneapolis Urban League. We have
created partnerships with the Minneapolis Public Schools and PC's for People to
distribute hundreds of computers to low-income families and provide information
to families on the opportunities offered through CenturyLink Internet Basics.
QBSI/SHAKOPEE Application-May 15th, 2015 Page 3
CenturyLink,the applicant,is a Delaware corporation,in good standing and
authorized to do business in the State of Minnesota.
The following responds directly to the requested information set forth in the Request
for Proposals:
A. Plans for channel capacity,including both the total number of channels
capable of being energized in the system and the number of channels to be
energized immediately.
Applicant's underlying switched digital IP based technology allows for an
almost unlimited channel capacity. While a final channel lineup has not been
finalized at this time, please see"Exhibit A-channel lineup and
programming packages"from another jurisdiction CenturyLink offers
Prism'service. CenturyLink will provide the Commission with a copy of the
actual channel lineup prior to launching service. It should be noted that
currently CenturyLink offers more channels in HD than any other MVPD
nationally. It also provides a robust library of Video on Demand content.
B. A statement of the television and radio broadcast signals for which permission
to carry will be requested from the Federal Communications Commission.
Franchisee will make all appropriate filings and preparations prior to the
turn up of its video service including(1) filing a community registration with
the FCC via FCC Form 322; (2) providing notice to local broadcasters and
requesting either must-carry or retransmission consent election. In the
Twin Cities area,Applicant will negotiate retransmission agreements with
the following stations: KARE, KMSP, KSTC,KSTP,WCCO,WFTC,and WUCW.
The following stations will be carried via a must carry election by the
station: KPXM and KTCA. And (3) registration of any antennas required to
provide service.
In its existing markets, Franchisee complies with many additional federal
requirements in providing its Prism''service,including all of the FCC
requirements applicable to multichannel video programming distributors
(such as equal employment opportunity and set-top box requirements),the
FCC requirements applicable to EAS participants that are wireline video
service providers,other FCC requirements applicable to provision of Prism'°°
(such as receive-only earth station license requirements and annual
regulatory fees for IPTV providers),and the Copyright Office requirements
for cable systems filing semi-annual copyright statements of accounts and
paying statutory license fees. Franchisee does not file an FCC Form 327
relating to CARS microwave facilities because Franchisee does not use such
facilities in connection with the provision of Prism''. Similarly, Franchisee
QBSI/SHAKOPEE Application-May 15th, 2015 Page 4
super head end,and then the other head end will be used to provide the
national content. The national content is encoded and then deployed over
diverse 10 Gig fiber circuits to the local head where the local content,
including public, educational and government access channels,is inserted
for ultimate delivery to end users. The City of Shakopee will be served out
of the super head end is in Columbia, Missouri and the local head end will
be located in Golden Valley, Minnesota. CenturyLink will pick up the local
broadcast signals via fiber circuits and will also capture those signals by
antennae located at the local head end as a back-up,precautionary
measure.
2. The schedule for activating cable and two-way capacity;
While an exact launch date has yet to be determined,we are working
diligently to complete all necessary work and required testing and
operational readiness reviews to offer service to customers upon successful
execution of a Franchise Agreement. Applicant will meet with Commission
and appropriate member jurisdictions to share the actual launch date when
it becomes finalized.
3. The type of automated services to be provided;
As noted above,we have attached a sample channel line up from another
market. This illustrates the vast selection of content available to
subscribers. Because our system is IP based,we offer unique applications
available via the television set such as access to Picasa. In addition,
search and streaming services are available which enable viewers to
search for the cheapest gasoline within a specified area or to stream
selected stock market quotes. We also have an ever increasing video on
demand library. PrismT'is a state of the art offering and its features and
functions also include,but are not limited to: (1)whole home DVR; (2)
warp speed channel change; (3) find-it fast navigation, (4) multi-view(4
shows on one screen); (5)personal media sharing; (6) interactive news
and information dashboard; (7) Prism'on the Go (select content
available over mobile devices such as smart phones and tablets);and (8)
advanced parental controls. By going to the following URL,you can
"experience"the features and functions of Prism'°"through a short
demonstration: http://www.centurylink.com/prismty/ffindex.html.
4. The number of channels and services to be made available for access
cable broadcasting;and
Applicant will carry the same number of PEG stations as the incumbent.
Further,Applicant is willing to carry any of the PEG stations in High
Definition ("HD") format if the entity originating the signal provides that
QBSI/SHAKOPEE Application-May 15th, 2015 Page 6
signal to Applicant in HD. Applicant will down convert the HD signals to
standard definition ("SD") for those customers who may not subscribe to an
HD package.
5. A schedule of charges for facilities and staff assistance for access cable
broadcasting;
Franchisee will make all franchised cities'access channels available to its
subscribers. For purposes of acquiring the signal, Franchisee will pick up
the particular City's Access Channel signals at the point(s) of origination via
a fiber facility and transport such content back to the local VSO for insertion
in the channel lineup. At the point(s) of origination,Franchisee will need
rack space and power for its equipment to receive the signal(s) handed off
by the City to Franchisee. Franchisee will pay for all facilities and equipment
located on its side of the demarcation point where the City will hand off its
content to Franchisee and as is industry practice,the City will be responsible
for all equipment on its side of the demarcation point.
One of the features available on Prism'°"is"multi-view" --we create a single
channel/landing page for a category of shows,e.g.,news,and make all the
news channels available using picture in a picture technology. The end user
can then click on the channel he or she wants to watch or watch four
simultaneously. You can see a quick demonstration of this feature by
clicking on the following URL:
http://www.centurylink.com/prismty/#prism-tv-virtual-test-drive.html.
We will use this same technology to create a"multi-view" (also referred to
as"mosaic") for the member Cities'Access Channels. In other words,we will
work with the member cities to assign a channel placement/number for the
Access Channel mosaic so that all of the franchised member cities'Access
Channels will be available on the"landing page"and an end user merely
needs to click on the specific channel/picture in a picture to be seamlessly
taken to the selected Access Channel in full screen view. Because each of the
Access Channels has its own dedicated channel assignment,the channels are
offered in the same video and audio quality as all other channels and can be
recorded if so desired by an end user. Further,access to the member cities'
Access Channels will not be limited to residents of a particular City. Rather,
PrismTM subscribers throughout the area will have access to the various
member cities'Access Channels and City residents will have access to other
Cities' or Cable Commissions'Access Channels. This opens a vast array of
viewing options for citizens.
Franchisee is willing to make all the franchised member cities'access
channels available in high definition if the City hands them to Franchisee in
that format. If so, Franchisee will down convert all such HD Access Channels
QBSI/SHAKOPEE Application-May 15th,2015 Page 7
to SD so they can be viewed by any end user not capable of receiving HD
signals. As this relates to the multi-view screen for the Access Channels,
Applicant's middleware will automatically know if a subscriber needs to see
the channel in SD or HD and will automatically route the end user to the
channel with the proper format.
With respect to video on demand, Franchisee will offer the cities a specified
amount of space on its VOD servers,as will be specified in the franchise.
This will enable viewers to go into the VOD library and to view, on an on-
demand basis,any Access Channel content that the City has handed to
Franchisee for storage on its VOD servers. Such VOD content hand off has a
common industry standard which will be shared with the City when the
terms of the franchise are negotiated and finalized.
D. Terms and conditions under which particular service is to be provided to
governmental and educational entities.
Applicant will provide at no charge expanded basic service to all
government buildings,schools,and public libraries located within its service
footprint so long as those locations are capable of receiving service from
Applicant and no other cable provider is providing service at such locations.
E. A schedule of proposed rates in relation to the services to be provided and a
proposed policy regarding unusual or difficult connection of services.
Final rates have yet to be determined,please see"Exhibit C-sample
Prism"rates"which are offered here for illustrative purposes.
CenturyLink will provide Prism service to all qualified households
within seven days. CenturyLink does not have "non-standard"
installation,i.e.,the provision of service at an additional construction
cost to the subscriber. Qualification for Prism'service is purely a
technical issue-it is not possible to pay an additional amount to qualify
for the service.
F. A time schedule for construction of the entire system with the time sequence
for wiring the various parts of the area requested to be served.
Applicant is still finalizing its initial footprint for the deployment of cable
services within the City of Shakopee service area. Applicant's planned
deployment is highly confidential. Pursuant to an executed franchise
agreement(s),Applicant will meet regularly with the City and the
Commission to discuss where service is available and any plans for
additional deployment. Applicant is the second entrant into the wireline
video market in the City of Shakopee. As a second entrant,investment in
and expansion of Applicant's Cable System should be driven by market
success,and not a contractual requirement for ubiquitous coverage.
QBSI/SHAKOPEE Application- May 15th, 2015 Page 8
The following sets forth some critical background with respect to
deployment of both telecommunications and cable infrastructure. Initially,
local telephone companies were granted monopolies over local exchange
service in exchange for taking on a provider of last resort obligation-a duty
to provide service-to customers in its service territory. Similarly,with
respect to video services,the City of Shakopee has given the incumbent
video provider(and its predecessors) a monopoly over facilities based
video. In exchange for making the capital investment to deploy facilities,the
incumbent cable company got 100 percent of the customers who wanted
cable television.
Subsequently,with respect to telephone services,the federal and local
governments effectively eliminated the local telephone monopolies and
fostered robust competition. It should be noted that in doing so,the telecom
second entrant had absolutely no obligation to build any facilities or to serve
any particular location(s) at all. As the FCC noted,imposing build-out
requirements on new entrants in the telecommunications industry would
constitute a barrier to entry(13 FCC Rcd 3460, 1997). Cable companies
were free to enter the telecom market on terms that made business and
economic sense to them. This very environment was the catalyst for robust
wireless and wireline competition and the proliferation of higher broadband
speeds.
Congress became concerned about the lack of competition in the video
world and in 1992 amended federal law to prohibit a local franchising
authority from"unreasonably[y] refus[ing] to award an additional
competitive franchise." 47 U.S.C.§ 541(a)(1) provides a direct avenue for
federal court relief in the event of such an unreasonable refusal. 47 U.S.C.
§ 555(a) and(b). Until the advent,however, of state statutes granting
statewide cable franchises without a mandatory build requirement(e.g.,
Florida) or progressive cities willing to grant competitive franchises, cable
monopolies continued to the detriment of consumers and competition.
Level playing field requirements are just one example of barriers to
competitive entry erected by cities at the behest of the cable monopolies.
Courts have ruled,however,that"level playing field"provisions do not
require identical terms for new entrants. See,for example,Insight
Communications v. City of Louisville, 2003 WL 21473455 (Ky.Ct.App. 2003),
where the court found:
There will never be an apple-to-apple comparison for Insight and
other franchisee simply because Insight is the incumbent which in its
own right and through its predecessors has been the exclusive
provider of cable services in the City of Louisville for almost thirty
QBSI/SHAKOPEE Application- May 15th, 2015 Page 9
years. No new cable franchisee can ever be in the same position as a
thirty-year veteran.
See also,In Cable TV Fund 14-A,Ltd. v. City of Naperville(1997 WL 209692
(N.D. Ill); and New England Cable Television Ass'n,Inc. v. Connecticut DPUC,
717 A.2d 1276 (1998).
In sharp contrast to the monopoly provider,a second entrant faces a
significant capital outlay with absolutely no assurance of acquiring
customers; rather,it must compete with the monopoly incumbent and win
each and every customer over. As Professor Thomas Hazlett of George
Mason University has explained,"[i]ncumbents advocate build-out
requirements precisely because such rules tend to limit,rather than expand,
competition." The federal Department of justice has also noted that
"...consumers generally are best served if market forces determine when
and where competitors enter. Regulatory restrictions and conditions on
entry tend to shield incumbents from competition and are associated with a
range of economic inefficiencies including higher production costs,reduced
innovation,and distorted service choices." (Department of Justice Ex Parte,
May 10, 2006, FCC MB Dkt.05-311).
The fact is that the incumbent cable provider has (1)an established market
position; (2)all of the cable customers;and (3) an existing,in-place
infrastructure. These disparate market positions make imposing a build-out
requirement on a competitive entrant bad public policy. Under the guise of
"level playing field" claims, incumbent cable operators seek to require new
entrants to duplicate the networks the incumbents built as monopolies,
knowing that such a requirement will greatly reduce,if not eliminate,the
risk of competitive entry.
In 2007,the FCC issued its findings with respect to facilities based video
competition and held as follows: (1) with respect to level playing field
requirements,the FCC stated that such mandates"unreasonably impede
competitive entry into the multichannel video marketplace by requiring
local franchising authorities to grant franchises to competitors on
substantially the same terms imposed on the incumbent cable operators
(Para. 138); and(2)with respect to mandatory build out,the FCC held that
"an LFA's refusal to grant a competitive franchise because of an applicant's
unwillingness to agree to unreasonable build out mandates constitutes an
unreasonable refusal to award a competitive franchise within the meaning
of Section 621(a)(1) [47 U.S.C.§ 541(a)(1)]."
Those two FCC holdings alone should put this entire matter to rest-level
playing field requirements and unreasonable mandatory build requirements
are barriers to competitive entry in the cable market and violate the federal
QBSI/SHAKOPEE Application- May 15th,2015 Page 10
Cable Act and the FCC's order. Minnesota,however,codified its
requirements in a state law and the FCC expressly declined to "preempt"
state laws addressing the cable franchising process.
It is clear,however,that the FCC did not intend to protect the Minnesota
statute which mandates the imposition of barriers to entry on each and
every local franchising authority. As various providers were trying to enter
the competitive cable market and encountering barriers such as level
playing field requirements and mandatory build out provisions,many states
passed statutes to facilitate competitive entry and to prevent local
franchising authorities from erecting barriers to entry. Such laws were
passed in 26 states including Florida, Missouri and North Carolina,where
CenturyLink has taken advantage of the streamlined process to enter a
market without a mandatory build obligation. These laws have facilitated
competitive entry as evidenced,for example,by the presence of four
facilities based competitors in the Orlando, Florida market,including
CenturyLink and Comcast. As such,these state laws are aligned and not in
conflict with the FCC's and Congress'policies for promoting competition in
the video distribution market.
Minnesota's cable law,however,is quite the opposite. Minnesota's cable act
dates back to the 1970s and directs each local franchising authority to
impose not only a level playing field across a broad range of issues (many of
which Franchisee does not oppose),but also a five year mandatory build out
requirement. Both of these provisions have been deemed to be barriers to
entry by the FCC. The incontrovertible fact is that the law has been
extremely successful in barring cable communications competition in the
City of Shakopee: The City of Shakopee has not experienced any facilities
based competition because of the barriers to entry Minnesota codified in
Chapter 238.
In support of this position,that the FCC's 2007 Order preempts Minn.Stat.
Chapter 238, Franchisee notes the following:
• Conflict preemption: State law may be preempted without express
Congressional authorization to the extent it actually conflicts with
federal law where state law"stands as an obstacle to the
accomplishment and execution of the full purposes and objectives of
Congress" English v. General Elec. Co.,496 U.S. 72,79 (1990).
• Whether state law constitutes a sufficient obstacle is a matter of
judgment to be informed by examining the federal statute as a whole
and identifying its purpose and intended effects. Crosby v.Nat'l
Foreign Trade Council, 530 U.S.363,372 (2000).
• Minn.Stat.§ 238.08 mandates terms that each municipality must
implement in granting a new or renewed cable franchise.
QBSI/SHAKOPEE Application-May 15th, 2015 Page 11
• Minn. Stat.§238.084 sets forth the required contents of a franchise
ordinance and sets forth very precise requirements in an initial
franchise about the build: commence build within 240 days; must
construct at least 50 plant miles per year; construction throughout
the franchise area must be substantially completed within 5 years of
granting the franchise; and these requirements can be waived by the
franchising authority only upon occurrence of unforeseen events or
acts of God.
• Section 621(a)(1) initially gave local authorities the authority to
grant franchises,but this broad grant resulted in exclusive
franchises/monopolies. Congress"believe[d] that exclusive
franchises are contrary to federal policy...which is intended to
promote the development of competition. H.R.Conf. Rep. No. 102-
862,at 77 (1992).
• Legislative history clearly supports that Congress was focused on
fostering competition when it passed the 1992 Act. Qwest
Broadband Servs.Inc. v. City of Boulder, 151 F.Supp. 1236, 1244
(D.Colo. 2001).
• In its 2007 order,the FCC found that"an LFA's refusal to grant a
competitive franchise because of an applicant's unwillingness to
agree to unreasonable build out mandates constitutes an
unreasonable refusal to award a competitive franchise within the
meaning of Section 621(a)(1)." The FCC order,however,targeted
local and not state laws.
• Arguably,the Minnesota build requirements set forth in
Section 238.084(m) are in conflict with Section 621(a)(1) and are,
therefore,preempted.
In the Boulder case,the court applied Section 621's prohibition on
unreasonable refusals to grant franchises to find conflict preemption
where local rules required voter approval for any new franchises.
• The mandatory build out in the Minnesota statute could be
considered a de facto"unreasonable refusal"to grant a franchise and
thus conflict with the pro-competition purpose set forth in
621(a)(1).
• In upholding the FCC's ruling,the Sixth Circuit stated that"while the
[FCC] characterized build out requirements as'eminently sensible'
under the prior regime in which cable providers were granted
community-wide monopolies,under the current,competitive regime,
these requirements'make entry so expensive that the prospective. . .
provider withdraws its application and simply declines to serve any
portion of the community." Alliance for Cmty Media v.FCC, 529 F.3d
763, 771 (6th Cir. 2008).
QBSI/SHAKOPEE Application-May 15th, 2015 Page 12
• The FCC ruling targeted local rules and actions and the FCC refrained
from preempting state regulation because it lacked"a sufficient
record to evaluate whether and how such state laws may lead to
unreasonable refusals to award additional competitive franchises."
FCC Cable Franchising Order(FCC 06-180,at n.2 &¶ 126). That is
not to say,however,that upon full consideration,the FCC would not
find the Minnesota mandatory build requirements to constitute an
unreasonable refusal under Section 621.
o The franchising laws which were being enacted about the time of
the FCC order facilitated competitive entrants into the facilities
based video market.
o In sharp contrast,the Minnesota statutes mandates individual
cities and commissions to include onerous build out schedules
which,standing alone,would run afoul of the FCC's order.
It should also be noted that at least two cities in Minnesota have chosen to
award competitive franchises to second entrants without satisfying all the
mandates of Chapter 238. See Mediacom Minnesota,LLC v. City of Prior Lake,
Minn.Ct.of Appeals,A09-1379 (Unpublished decision,Filed June 22,2010).
In October 2014,the City of Owatonna awarded a competitive franchise to a
second provider,and the franchise did not contain the five year build
requirement set forth in Chapter 238. Rather,it contained a market success
model expressly endorsed by the FCC. The competitor will provide service
to 25 percent of the City of Owatonna and will have no further obligation to
enable the provision of cable communications services until 48 percent of
households in the footprint subscribe to its service.
Finally,nothing in the FCC's Order on Reconsideration released in January of
this year alters the above analysis.
G. A statement indicating the applicant's qualifications and experience in the
cable communications field,if any.
CenturyLink has been offering PrismTM since 2008,when it initially
launched its service in Lacrosse,Wisconsin,and has continued to expand
its Prism''footprint since that time. Prism''is currently available in 14
markets. The attached Exhibit D is a list of the jurisdictions in which
CenturyLink offers Prism''pursuant to either statewide franchise
statutes or locally negotiated,competitive franchises. In addition,the
Company offers an analog product in smaller markets in Wisconsin and
Iowa.
AMMO
QBSI/SHAKOPEE Application- May 15th, 2015 Page 13
CenturyLink has upgraded and/or deployed new facilities,including fiber to
the premises,so that it is capable of offering service to over 2.4 million
homes.CenturyLink has approximately 240,000 Prism'customers and
continues to bring on new subscribers daily.
Tyler Middleton is the Vice President of Operations for Minnesota. His team
includes more than 500 technicians, 200 of whom are being cross-trained to
install and support Prism. There is a wide array of employees performing
various functions in support of Prism''in the Twin Cities, including
approximately 100 engineers who will be working under Mr.Middleton's
leadership to design and support the infrastructure that enables Prism"
Trent Clausen is the Vice President of Construction for the Midwest Region.
He has held a variety of leadership positions in the network organization
over the past 16 years, including positions managing and leading capital
planning,field construction,local engineering, dispatch operations, and
installation and maintenance operations. His team successfully upgraded
the network in Omaha to support the launch of PrismTM there in 2013 and
will be responsible,working closely with Mr. Middleton's team,to construct
the network to support Prism'in Minneapolis and the Twin Cities
metropolitan area.
There are three essential corporate divisions which support the provision of
PrismT'to end users: Global Operations and Shared Services,Global Markets
and Product Development and Technology.
The Global Operations and Shared Services organization is led by Executive
Vice President Maxine Moreau. A 30-year veteran of telecommunications,
Maxine Moreau brings a depth of knowledge and experience in network
services, operations,IT and process improvement to her role as Executive
Vice President of Global Operations and Shared Services. She is responsible
for operational excellence through the end-to-end planning, engineering,
construction,operation and maintenance of CenturyLink's global network,
as well as regional operations and hosting data centers. Moreau oversees
network enablement that currently provides commercial 100Gbps services
to businesses for high-bandwidth needs as well as the deployment of 1Gbps
fiber networks in certain markets,including Minneapolis for both consumer
and business customers. Members of her team will staff the VSO in Golden
Valley.
Maxine Moreau's team is responsible for the engineering,planning and
deployment of all network infrastructure,including the infrastructure on a
national and local basis for the delivery of Prism'°°. In addition,
organizations responsible for data and video operations report up to
Maxine. These centers,from an operational perspective, constantly monitor
QBSI/SHAKOPEE Application-May 15th, 2015 Page 14
and repair,if necessary,the entire network including the facilities used in
the provision of PrismTM.
The Global Markets organization is led by President Karen Puckett. With 30
years of telecommunications experience, Karen Puckett is an industry
veteran with proven success in the integration of complex operations,the
achievement of industry-leading financial and operational performance,and
the creation of a company culture that is focused on accountability,
innovation and growth. As CenturyLink's Chief Operating Officer,Puckett is
responsible for the company's financial and operational performance in the
business and consumer segments. She leads marketing,sales,service
delivery,care and customer experience initiatives for all business and
consumer customers and the implementation of the local operating model in
the company's local service areas in 37 states. Puckett has been at the
• forefront of CenturyLink's transformation from a local telephone exchange
company serving rural and mid-sized markets to an industry leader in
advanced communications services with customers throughout the United
States and overseas. Her visionary leadership has been instrumental in the
company's ability to thrive in the new arenas of cloud,data hosting and
managed services,as well as facilities based switched digital video service
while maintaining its focus on operational excellence and financial strength.
Puckett led the 2001 companywide realignment to the local operating
model,placing decision making closer to the customer and making the
company more responsive to the marketplace. The model has consistently
resulted in financial and operational improvements as CenturyLink has
acquired new markets.
As it relates to Prism,Karen Puckett's organization owns the customer
experience in terms of sales and repairs. There are five call centers which
provide support for consumer sales,including Prism'''. These centers are
located in Sioux City, Iowa; Idaho Falls, Idaho; Boise, Idaho; Midvale, Utah;
and Phoenix,Arizona.
The Product Development and Technology organization is led by Executive
Vice President and Chief Technology Officer,Aamir Hussain. Hussain is an
experienced senior technology executive with more than 23 years of proven
success in the implementation of global technology operations,
operationalization of complex technology,infrastructures,and business
solutions while driving capital cost efficiencies in the business. Hussain and
his team are responsible for the design and delivery of next generation
products,services and technologies critical to achieving CenturyLink's
strategic growth priorities,including Prism. Hussain has a diverse
background in data,security,voice,video and wireless technologies. Prior
to joining CenturyLink,he held senior leadership roles at Liberty Global,
QBSI/SHAKOPEE Application-May 15th, 2015 Page 15
Covad,TELUS and Qwest. Hussain sits on several startup and non-profit
boards,is technical advisor to technology companies and holds 11 patents in
Telecommunications. In addition,he has completed leadership,innovation
and strategy training from Harvard,the INSEAD institute in France and the
International School of Business Management in Switzerland.
Aamir's team is charged with constantly working to implement new
technologies and innovations to enhance the customer experience across the
entire suite of CenturyLink products,including Prism.
Glenn Garbelman serves as the Vice President of the Video Operations at
CenturyLink,and is based in Monroe, Louisiana. He currently has day-to-
day operational responsibility for all video services,which is currently
serving 240,000 Prism'customers with more than 150 employees on his
team. Prior to joining CenturyLink,he was part of a large communications
company that successfully launched and supported IPTV video in over 70
markets throughout the United States. He has more than 25 years of
experience in the industry with the last 10 focused on video products and
services over an IP network.
Sandeep Bhalla is the Director of Video Technical Operations. Responsible
for the daily operations of CenturyLink Video Services,Sandeep oversees the
Video Operations staff and ensures the integrity of operations and
processes. With 19 years of technical experience and 10 years of video,
Sandeep has served as a CenturyLink representative to national and
international forums related to next generation video services. Prior to
joining CenturyLink,Sandeep was a Manager of Head End Implementation
for a large communications company. Sandeep holds a BA from the
University of California Berkley.
Charles Becker is the Manager Video Operations IPTV responsible for all
headends based out of Denver,Colorado. The Video Headend Team is
responsible for the operation and acquisition of all video content served by
the Prism platform both local and national. The team maintains and
operates 17 headends located in 13 states across the country. This team
supports new market builds,preventative maintenance,outage resolution
and proactively supports the video monitoring teams in outage resolution.
Charles is a 35 year veteran of the video industry and 9 year employee of
CenturyLink.
Steve Epstein is a Senior Lead Engineer-Managing for CenturyLink. Steve
was the initial member of the CenturyLink Video team and brings 35 years
of broadcast experience to CenturyLink. In addition to being Chief Engineer
at several television stations,Steve was the technical editor of Broadcast
QBSI/SHAKOPEE Application-May 15th,2015 Page 16
Engineering magazine. Steve is an SBE certified professional broadcast
engineer and holds a BS in Broadcasting.
H. An identification of the municipalities(including contact information for the
municipal officials in each community) in which the applicant either owns or
operates a cable communications system,directly or indirectly,or has
outstanding franchises for which no system has been built.
Please see Exhibit D for a list of jurisdictions Applicant or affiliate of
Applicant holds a cable franchise agreement pursuant either to local
agreement or statewide franchise authority.
I. Plans for financing the proposed system,which must indicate every significant
anticipated source of capital and significant limitations or conditions with
respect to the availability of the indicated sources of capital. This information
should include:
1. Current financial statements;
Applicant's ultimate parent company is CenturyLink,Inc. CenturyLink's
most recent Form 10-K(along with all other SEC filings) may be found here:
http://ir.centurylink.com/docs.aspx?lid=4057179
2. Proposed sources and uses of funds for the construction project;
Applicant's ultimate parent company is CenturyLink,Inc.which is a
Fortune 500 Company(currently around Fortune 150)with annual
operating revenues exceeding$18 billion in 2013. Applicant does not
require any unique or additional funding sources (i.e.,special notes or
bonds) in order to deploy its Prism'service in this,or any other market.
3. Financial budgets for the next three (3)years;
See response to I (4)below
4. Documentation regarding the commitment of funds;and
As a publicly traded Company,CenturyLink releases a very limited amount
of forward-looking information for the company as a whole,but it does not
provide forward-looking information at the individual market level because
it could lead to incorrect or inappropriate assumptions or conclusions by its
current and potential investors regarding the business as a whole. Given the
extremely sensitive nature of the information contained in the requested
proforma,applicant cannot file this information as part of its application.
QBSI/SHAKOPEE Application-May 15th, 2015 Page 17
5. Any other information that applicant determines would be useful in
evaluating its financial qualifications.
Please see response to I (1) above.
J. A statement of ownership detailing the corporate organization of the
applicant,if any,including the names and addresses of officers and directors
and the number of shares held by each officer or director,and intercompany
relationship,including the parent,subsidiary or affiliated company.
Applicant's ultimate parent company is CenturyLink, Inc.,a Louisiana
corporation headquartered in Monroe, Louisiana,and,through its
subsidiaries,owns 100%of Qwest Broadband Services, Inc.d/b/a
CenturyLink. A more detailed corporate structure is depicted on the
attached Exhibit E. On April 21, 2010,CenturyLink,Inc.reached an
agreement to purchase Qwest Communications International, Inc. ("QCII")
through a tax-free, stock-for-stock transaction. Under the terms of the
parties'merger agreement, CenturyLink, Inc.is the ultimate parent of QCII
and the subsidiaries that were under QCII. At the time of the merger
between CenturyLink and Qwest Communications International, Inc.,
Franchisee was a wholly-owned subsidiary of Qwest Services Corporation,
Inc.as was Qwest Corporation,the entity which places facilities in the City's
public rights of way pursuant to the City's ordinances and associated rules.
Further, at merger, Franchisee was a member of the National Cable
Television Cooperative ("NCTC") as was the CenturyLink entity which offers
Prism in legacy CenturyLink markets,e.g., Florida. Because the NCTC
expressly forbids more than one entity within a corporate family to belong
to and directly obtain content from the NCTC and because any affiliated
entity receiving content from the NCTC must be a wholly-owned subsidiary
of the NCTC member, CenturyLink, Inc.moved Franchisee from being a
subsidiary of Qwest Services Corporation to being a subsidiary of
CenturyTel Broadband Services, LLC. As provided in the original application
filed with the City,the following sets forth the officers and directors of
Franchisee. This group of officers and directors do not own any shares of
the franchisee.
Qwest Broadband Services.Inc. (Delaware Domestic)
Directors: R. Stewart Ewing,Jr.
Stacey W. Goff
Officers:
Chief Executive Officer and President Glen F. Post,III
President Global Markets Karen A. Puckett
Executive Vice President and Chief Financial Officer R.Stewart Ewing,Jr.
QBSI/SHAKOPEE Application—May 15th, 2015 Page 18
Executive Vice President,General Counsel Stacey W.Goff
President IT Services and New Market Development Girish Varma
Vice President-Public Policy and Government Relations James P.Campbell
President-Wholesale Operations William E.Cheek
Executive Vice President- Controller and Operations Support David D.Cole
Executive Vice President- Network Services Maxine Moreau
Vice President and Treasurer Glynn E.Williams,Jr.
Vice President Jonathan J.Robinson
Secretary Kay Buchart
Assistant Secretary Joan E. Randazzo
Assistant Secretary Meagan E. Messina
K. A notation and explanation of omissions or other variations with respect to
the requirements of the proposal.
None at this time.
Respe ully Submitted,
/
Qwest Broadband Services, Inc. d/b/a CenturyLink
By: Patrick Haggerty
Subscribed and sworn to before me
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QBSI/SHAKOPEE Application-May 15th, 2015 Page 19
Al$0'.
VF M CenturyLink° f",r;':'";': Contact CenturyLink
Sales:877-299-0172
Phoenix Channel Lineup Support:866-314-4148
Prism' Essential
3 3TV(KIK) 1129 FX HD 1045 My Network TV HD(KUTPDT)
1003 3TV HD(KTVKDT) 120 FX 1266 National Geographic Channel HD
1167 ASE HD 1131 FXX HD 206 Netone!Geographic Channel
167 ASS 131 FXX 12 NBC(KPNX)
15 ABC(KNXV) 4004 Galavlsion HD 1012 NBC HD(KPNXOT)
1179 ABC Family HD 3004 Galavlsion 1640 NBC SN HD
179 ABC Family 36 GetTV(KFPHDT2) 640 NBC SN
1015 ABC HD(KNXVDT) 1641 Golf Cherie IV 20 NBC Weather Plus(KPNXDT2)
1796 AMC HO 641 Golf Charnel 1630 NFL Network HD
796 AMC 1176 Hallmark Charnel HD 630 NFL Network
16 Antenna TV(KN)CVDT2) 176 Hallmark Charnel 629 NFL RedZone(Pay Per View)
1105 AXS TV 1108 HDNeI Moves 1629 NFL ReOZone HD(Pay Per View)
13 AZ-TV(KAZT) 1451 HGW FD 1636 NFL Network FID
' 1013 AZ-TV HD(KAZTDT) 451 HGW 638 NHL Network
41 Azteca America(KPDFCA) 271 History 1314 Nickelodeon HD
310 Baty First W 1203 HLN HD 314 Nickelodeon
1156 BET HD 203 HLN 1368 Oxygen HD
156 BET 1422 Home Shopping Network HD 355 Oxygen
1222 Bloomberg HD 19 Home Shopping Network 1663 PAC 12 Arizona HD
222 Bloomberg 422 Home Shapphg Network 683 PAC 12Arlzona
327 Boomerang 1281 ID HD 108 Pay Per View Events HD
1182 Brew HD 261 ID 1101 Pay Per View Events HD
182 Bravo 51 ION(KPPX) 101 Pay Per View Events
1650 BTN HD 1051 ION HD(KPPXDT) 8 PBS Eight(KAET)
650 BTN 1428 Jewelry Television HD 100e PBS EI9Ot HD(KAETOT)
1651 BTN2 HD 17 Jewelry Televslon 8006 Phoenix Educational Access
651 BTN2 428 Jewelry Television 8005 Phoenix Government Access
1652 BTN3 HD 1166 Justice General HD 6014 PlrmI County Goverment Aorxss
652 BTN3 165 Justice Cereal 9161 Premier League Extra Time 1 HD
1230 CSPAN HD 4 KPHO Weather Now(KPNODT2) 9151 Premier League Extra Time 1
230 C-SPAN 1361 Lifetime HD 9162 Premier League Extra The 2 HD
1231 C-SPAN2 HD 381 Lifetime 9152 Premier League Extra Thne2
231 C-SPAN2 364 Lifetime Real Women 9183 Premier League Extra Time 3 HD
1327 Cartoon Network FD 1362 LMN HD 9153 Premier League Ezra Time 3
326 Cartoon Network 362 LMN 9184 Premier League Extra Time 4 HD
5 CBS(KPHO) 5129 MC770s 9154 Premier League Extra Time
1005 CBS HD(KPHODT) 5128 MC 780s 9185 Premix League Extra Time 5 HD
411 CerluuryLJnk Information 5127 MC 7806 9155 Prehder League Ezra Time 5
1411 ConturyLlnrk Information 6116 MC Adult A6emehve 90 Pram Applcation4
8015 City of Casa Grande 5115 MC Alternative 92 Prism Ganes
8003 City of Chandler Educational Access 5146 MC Blues 301 Prism Klds
9002 City of Chandler Government Access 5134 MC Classic Country 201 Prism News
8004 City of Gilbert Govemment Access 5118 MC Classic Rock 11 Prism PEG Channels
8007 City of Glendale Government Access 5149 MC Classical Masterpieces 601 Prism Sports
8008 City of Mart cepa Government Access 5135 MC Cordbmpormy Christian 1420 QVC HD
8010 City of Mesa Educational Access 5133 MC Country Hits 15 OVC
8011 City of Mesa Goverment Access 5103 MC Dance 420 OVC
8009 City of Peoria Government Access 5148 MC Easy listening 1799 Reelz Channel HD
8001 City of Scottsdale Government Access 5111 MC Gospel 799 Reelz Channel
8013 City of Surprise Government Access 5105 MC Hip-Hop and ROB 1424 ShopHO HD
8012 City of Tempe Government Access 5107 MC Fip+bp Classics 424 SltopHO
1528 CMT HD 5101 MC Hit Lel 1146 Splice TV HD
528 CMT 5104 MC Inde 148 Spice TV
1216 CNBC HD 5145 MC Jazz 1337 Sprout F6)
216 CNBC 5124 MC Kldz Only! 337 Sprout
1202 CNN HD 5160 MC Light Classical 1152 Syfy FD
202 CNN 5120 MC Love Songs 152 Syfy
1141 Comedy Central HD 5114 MC Metal 21 TON(KPAZ)
141 Comedy Central 5135 MC Mexicana 1580 TBN HD
46 Dayetar(KOTP) 5137 MC Musics Urbana 560 TBN
1121 Discovery Channel HD 5122 MC Party Favorites 1113 TBS HD
121 Discovery Channel 5131 MC Pop Cowdry 113 TBS
1303 Osney Channel HD 5121 MC Pop His 5123 Teen MC
303 Disney Channel 5136 MC Pop Latino 39 Telenando(KTAZ)
9999 DVR 5102 MC Pop Rhyrrmk 3007 Telemundo(KTAZ)
8016 Dysart Schools Educational Access 5109 MC ROB Classics 1039 Telemcndo HD(KTAZDT)
1134 EI RD 5110 MC RSB Soul 6 The CW(KASW)
135 E! 5100 MC Rap 1006 The CW HD(KASWOT)
9 Eight LHe(KAET0T2) 5112 MC Reggae 1225 The Wearier Channel HD
7 Eight World(KAETDT3) 5117 MC Rock Hits 225 The Wearier Channel
803 ESPN Cleselc 5113 MC Rock 2 ThY W(KWKDT2)
1602 ESPN FD 5140 MC Romances 1251 TLC HD
27 ESPN 5147 MC Singes O Swing 251 TLC
602 ESPN 5144 MC Smooth Jazz 1109 TNT FD
1606 ESPN2 HD 5119 MC Soil Rods 109 TNT
28 ESPN2 5130 MC Solid Gold Oldies 1255 Travel Channel HD
606 ESPN2 5141 MC Sounds of the Seasons 255 Travel Channel
1562 EWTN HO 5143 MC SowMscapes 1164 truly ffl
562 EWTN 5142 MC Stage&Screen 185 DIM/
40 Exkos(KTAZDT2) 5108 MC Throwback Jahr 1139 W Land HD
1453 Food Network HD 5132 MC Today?s Country 139 TV Land
453 Food Network 5125 MC Toddler Tares 44 TV44(KPHELD)
10 FOX(KSAZ) 5139 MC Troptcalee 35 UniMas(KFPH)
1010 FOX HD(KSAZDT) 5126 MC Y2K 4005 UnLias HD
1210 FOX Nays Channel HD 14 Me-TV(KAZTDT2) 33 Unlvelon(KTVW)
210 FOX News Channel 1634 MLB Network HD 1033 UNvlsbn HD(KTVWDT)
1620 FOX Sports 1 HD 634 MLB Nebwrk 1125 USA Network HD
620 FOX Sports 1 45 Movies)(KUTPDT2) 125 USA Network
9002 FOX Sports Pay Per View HD 1215 MSNBC HD 1102 Velocity HD
9001 FOX Sports Pay Per View 215 MSNBC 1519 VH1 HD
1762 FS Arizona HD 1503 MW HD 519 VH1
1763 FS Arizona Plus HD 503 MTV 1 Video On Demand
763 FS Arizona Plus 193 Mun2 1180 WGN HD
762 FS Arizona 45 My NetwOrk TV(KUTP) 180 WGN
Prism,Complete
Exhibit A
locrudes Fa, "Esscrtia.Pr'a. .-^.els.
1259 American Heroes Chanel HD 381 Esquire TV 505 MTV2
259 American Heroes Channel 1211 FOX Business Network HD 315 Nick 2
1253 Animal Planet HD 211 FOX Business Network 1320 Nick Jr HD
253 Animal Planet 647 FOX College Sports Atlantic 320 Nick Jr
1188 BBC America HD 646 FOX College Sports Central 1316 NiGdoons HD
188 SEC America 649 FOX Cceege Sports Pacific 316 Nickloons
567 BYU TV 1621 FOX Sports 2 HD 1185 NINON HD
1643 CBS Sports HD 621 FOX Spode 2 185 NINON
643 CBS Sports 1535 Fuse II) 1256 Opra7 Winfrey Network HD
515 Centric 595 Fuse 257 Oprah 1Mnfrey Network
153 Chiller 1792 FX Movie Channel HD 1680 Outdoor Channel HD
161 Cloo 792 FX Movie Charm 680 Outdoor Channel
527 CMT Pure Country 1272 FYI HD 1531 Ovation HD
1456 Cooking Charnel HD 272 FYI 531 Ovation
456 Cooking Charnel 1529 Great Amellcan Country HD 1258 SCIENCE HD
1465 Destination America HD 529 Great American Country 258 SCIENCE
465 Destination America 1174 GSN HD 1642 Sportsman Channel HD
1335 Discovery Family HD 174 GSN 642 Sportsman Channel
335 Discovery Family 1274 H2 HD 322 Teen Nick
1307 Disney Junior HD 274 H2 507 Tr35
307 Disney Junior 1794 Haitnark Movies&Mysteries HD 1790 Turner Classic Movies HD
1305 Disney XD HO 794 Halknark Movies 8 Mysteries 760 Turner Classic Movies
305 Disney XD 1797 IFC HD 1157 TV One HD
1454 DIY Network HD 798 IFC 157 TV One
454 DIY Network 564 inspiration Network 1154 Universal HD
1604 ESPN News HD 466 Life 521 VH1 Classic
604 ESPN News 184 Logo 522 VH1 Soul
1605 ESPNU HO 509 MTV Hits 1372 WE NHD
605 ESPNU 510 MTV U 373 WE tv
1380 Esquire TV HD 1505 MTV2 HD 132 Youbo America
Prism'Preferred
Includes Prism—Complete Plain charnels.
220 Al Jazeera America 1172 MyDeslratbn.TV HD 1852 Showtime HD(E)
159 ASPiRE 172 MyDestira6onTV 1853 Showtime HD(W)
1470 AWE HD 1264 NASA TV HD 884 Showtime Next(E)
470 AWE 264 NASA TV 865 Showtime Neal(W)
1219 BBC World News HO 1267 Nat Geo Wild l4) 1864 Showtime Next HD(E)
219 BBC World News 267 Nat Geo Wild 1665 Slowtme Next HD(W)
1540 Blue Highways TV HD 1209 One America News Network HD 880 Showtime On Demand
540 Blue Hgtnvays TV 209 One Amerta Neve Nehvork 16110 Shor9me On Demand
1232 C-SPANS HD 1678 Outside TV HD 866 SrowIlme Showcase(E)
232 C-SPAN3 676 Outside TV 857 Sllowlme Showcase(Ur)
1169 Cars.TV 1-10 1681 PAC 12 Bey Area HD 16566 Slew tkne Showcase HD(E)
169 Cars.TV 664 PAC 12 Bay Area 1857 Showtime Showcase HD(W)
217 CNBC World 1685 PAC 12 Los Angeles HD 866 Showtime Women(E)
205 CNNI 685 PAC 12 Los Angeles 867 Showtime Women(W)
1142 Comedy.TV HD 1686 PAC 12 Mountain HD 1866 Srow5rne Women HD(E)
142 Comedy.TV 686 PAC 12 Mountain 1867 Srowlrre Women HD(W)
1163 Crime 8 Investigation HD 1687 PAC 12 Oregon HD 118 Smithsonian Channel(E)
163 Crime B Investigalcor 687 PAC 12 Oregon 119 Smithsonian Channel(W)
263 Doo News 1656 PAC 12 Washington HO 1118 Smithsonian Channel HD(5)
932 ENCORE(E) 668 PAC 12 Washington 1119 Srnitlaonan Channel HD(W)
933 ENCORE(W) 1682 PAC12 Network HD 1791 Sony Movie Channel HD
935 ENCORE Action(E) 682 PAC12 Network 791 Sony Movie Channel
939 ENCORE Action(tN) 1170 Fets.TV HD 902 Sisal(E)
1938 Encore Ac ton HD(E) 170 Pets.TV 903 Stenzl(W)
942 ENCORE Black(E) 1492 Phot HD 906 Sterzl Cinema(E)
943 ENCORE Black(W) 492 Pivot 909 Ste¢I Chane(W)
1942 Encore Black HO(E) 1787 PInt HD 1908 Stand Cinema hD(E)
934 ENCORE Classic(E) 787 Mkt 910 Sarzl Comedy(E)
935 ENCORE Classic(W) 1455 RecIpe.WHD 911 Sall Comedy ON)
1934 ENCORE Classic HD(E) 458 Recipe.TV 1910 Sarzl Comedy HD(E)
946 ENCORE Espanol 1916 Relroplea HD 904 Sarzl Edge(E)
944 ENCORE Family(E) 916 Retroplex 905 Steal Edge(W)
945 ENCORE Family(W) 1538 Revolt FD 1904 Sar-Edge HD
1932 Encore HO(E) 538 Revolt 1902 Stazl HD(E)
1933 Encore HD(W) 1476 RFD TV HD 1903 Sant HD(W)
951 ENCORE On Demand 476 RFD TV 906 Sarzr In Black(E)
1951 Encore On Demand 474 FtLTV 907 Starzl In Black(W)
936 ENCORE Suspense(E) 1607 SEC Network II) 1906 Sarzl In Black HD
937 ENCORE Suspense(W) 1668 SEC Network Oemllew 1 HD 912 Sarzl Kids and Family(E)
1936 ENCORE Suspense HD(E) 608 SEC Network Overflow 1 913 Sard Kids and Family(W)
940 ENCORE Westerns(E) 1609 SEC Network Overflow 2 HD 1812 Starzl Kids and Family HD
941 ENCORE Wealerrw(W) 609 SEC Network Overflow 2 931 Sant On Demand
1139 ES.TV FD 807 SEC Network 1931 Stars/On Demand
133 E5.TV 1789 Shorts FD 575 The Nord Network
890 Fix(E) 799 Shorts 892 TMC(E)
892 Flix On Demand 852 Showtime(E) 883 TMC(W)
1892 Flix On Demand 853 Showtime(W) 1882 TMC HD(E)
1656 G01 TV HO 854 Slowlime 2(E) 1883 TMC HD(W)
656 GolTV(English) 855 Showtime 2(W) 888 TMC On Demand
672 HRTV 1854 Showtime 2 HD(E) 1888 TMC On Demand
1914 Indieplex HO 1855 Showtime 2 HO(W) 884 WIC Xtra(E)
914 Indieplex 860 Showtime Beyond(E) 885 TMC Xtra(W)
1590 Jewish Broadcasting Service HD 861 Showtime Beyond(W) 1884 TMC Xtra HD(E)
590 'Jewish Broadcasting Seance 1960 Showtime Beyond HD(E) 1885 TMC Xtra HO(W)
1147 MAVTV HD 1861 Showrirne Beyond HD(W) 670 TVG
147 MAVTV 858 Showtime Extreme(E) 644 Universal Sports
1118 MGM HD 859 Showtime Extreme(W) 1844 Unhorse!Sports HD
119 MGM 1858 Showtime Extreme HD(E) 1559 UP FD
276 Military History 1856 Showtime Extreme HD(W) 559 UP
1786 MOVIE PLEX HD 662 Showtme Family(E) 1679 World Fishing Network HD
758 MOVIEPLEX 663 Showtime Family(W) 679 World Fishing Network
Prism"Premium
li, rs ris r ._.,rte I., _-105
1840 5 Sar Max HD 811 HBO Comedy(W) 812 HBO Zone(E)
840 5 Star Max 1910 HBO Comedy HD(E) 813 HBO Zone(W)
836 ActionMAX(E) 1811 HBO Comedy HD(W) 1812 HBO Zone HD(E)
837 AalonMAX(W) 806 HBO Family(E) 1813 IiBO Zone HD(Vv)
1836 AcrionMAX HD(E) 807 HBO Family(W) 1804 HBO2 HD(E)
1837 ActionMAX HD(W) 1806 HBO Family HD(E) 1805 HBO2 HD(W)
1846 Cinemax HD 1807 HBO Famly HD(W) 834 MoreMAX(E)
845 Cinem7x 1802 HBO HO(E) 835 MoreMAX(W)
832 Cinemax(E) 1809 HBO HD(W) 1834 MoreMax HD(E)
833 Cinemax(W) 914 HBO Latino(E) 1835 MoreMax HD(W)
1832 Cinemax HD(E) 815 HBO Latino(W) 1842 Mode MAX HD
1833 Cinemax HD(W) 1814 HBO Latino HD(E) 842 MOVIeMAX
850 Cinemax On Demand 1815 HBO Latino HD(W) 1844 Outer Max HD
1850 Cinemax On Demand 830 HBO On Demand 844 OuterMAX
802 HBO(E) 1830 HBO On Demand 838 ThrillerMAX(E)
803 H50(W) 808 HBO Signature(E) 839 ThdllerMAX(W)
804 HBO 2(E) 809 HBO Signature(W) 1838 ThrillarMax ID(E)
805 HBO (W) 1808 H80 Signature HD(E) 1839 Thrilleddax HD(W)
810 HBO Comedy(E) 1809 HBO Signature HD(W)
Premium Packages Available as Add-ons:
Preferred and Premium plans include select Add-on Channels.
Cinemax Add-on Package
1840 5 Star Max I-D 833 Cinemax(W) 1842 Movie MAX HO
640 5 Star Max 1832 Cinemax HD(E) 842 MovIeMAX
838 Ac500MAX(E) 1833 Cinemax HD(W) 1844 Outer Max HD
937 ACllonMAX(W) 850 Cinemax On Demand 844 OulerMAX
1836 ActioaMAX HD(E) 1850 Cinemax On Demand 938 ThrillerMAX(E)
1837 Ac11onMAX HD(W) 634 MOreMAX(El 839 ThrillerMAX(W)
1846 Cinemax HD 835 MoreMAX(W) 1838 ThrillerMax HD(E)
848 Cinem?x 1834 MoreMax HD(E) 1839 ThdllerMax HD(W)
632 Cinemax(E) 1835 MoreMax HD(W)
International-Al-Carte Add-on Package
3740 Al Jazeera America 3882 Filipino on Demand 3703 TV Asia
3710 Bollywood Hits on Demand 3602 Rai Balla 3880 TV Japan
3882 Channel One Russia 3704 Sony Entertainment Television Asia(SET 3832 TV5 Monde
3603 China Central TV Asla) 3702 Zee TV
3604 CTI-Zhorg Tian Channel 3706 STAR India PLUS
3681 The Filipino Channel
Paquete Latino Add-on Package
3146 Bandamax 3102 Discovery en Espanol 3058 La Familia Cosmovision
3053 Boomerang en Espanol 3103 Discovery Familia 3017 Latete Novela
3022 Cable Noticlas 3051 Disney en Espanol 3149 Ritmoson Latino
3054 Cartoon Network en Espanol 3052 Disney XD Espanol 3078 TBN Enface
3025 Cine Mexican° 3302 ESPN Deportes 3143 Telehit
3127 Cine Sony 3077 EWrN en Espanol 3024 TV Chile
3202 CNN en Espanol 3303 FOX Deportee 3013 WAPA America
3128 De Pelicula 3304 GolTV
3129 De Pelicura Claim 3104 History en Espanol
StarzlEncore Add-on Package
932 ENCORE(E) 1951 Encore On Demand 910 Steal Comedy(E)
933 ENCORE(W) 936 ENCORE Suspense(E) 911 Starzl Comedy(W)
938 ENCORE Action(E) 937 ENCORE Suspense(W) 1910 Starzl Comedy HD(E)
939 ENCORE Action(W) 1936 ENCORE Suspense HD(E) 904 Stand Edge(E)
1938 Encore Action HD(E) 940 ENCORE Westerns(E) 905 Slam!Edge(W)
942 ENCORE Black(E) 941 ENCORE Westerns(W) 1904 Steal Edge HD
943 ENCORE Black(W) 1914 tndleplex HD 1902 Stern HD(E)
1942 Encore Black IC(E) 914 Indieplex 1903 Starzl HD(W)
534 ENCORE Classic(E) 1788 MOVIEPLEX HD 908 Starz!In Black(E)
935 ENCORE Classic(W) 788 MOVIEPLEX 907 Starz In Black(W)
1934 ENCORE Classic HD(E) 1916 Retroplex HD 1908 Stan!In Black l-1)
946 ENCORE Espanol 918 Retroplex 412 Steal Kids end Fatal),(E)
944 ENCORE Fainly(E) 902 Starz)(E) 913 Stan!Kids and Famfy(W)
945 ENCORE Family(W) 903 Slarzl(W) 1912 Starzl Kids and FamLy HO
1932 Encore HD(E) 908 Steal Cinema(E) 931 Starzl On Demand
1933 Encore HD(W) 909 Starz)Cinema(W) 1931 Starzl On Demand
951 ENCORE On Demand 1908 Stant Cinema HD(E)
Showtime Add-on Package
890 Flix(E) 1859 Showtime Extreme HD(E) 1857 Showtime Showcase HD(W)
892 Flix On Demand 1859 Showtime Extreme HD(W) 888 Showtime Women(E)
1882 Flix On Demand 862 Showtime Fairly(E) 867 Showtime Women(W)
852 Stmwtime(E) 883 Showtlme Family(W) 1866 Snowllme Women HD(E)
853 Showtime(W) 1852 Showtime HD(E) 1867 Showtime Women HD(W)
854 Showtime 2(E) 1853 Shavtime HD(W) 882 TMC(E)
855 Showtime 2(W) 864 Showtime Next(E) 883 TMC(W)
1854 Showtime 2 HD(E) 985 Showtime Nexl(W) 1882 TMC HD(E)
1855 Showtime 2 HD(W) 1884 Showtime Next HD(E) 1883 TMC HD(W)
860 Showtime Beyond(E) 1665 Showtime Next HD(W) 888 TMC On Demand
881 Showtime Beyond(W) 880 Showtime On Demand 1888 TMC On Demand
1860 Showtime Beyond HD(E) 1880 Showtime On Demand 884 TMC Xtra(E)
1881 Showtime Beyond HD(W) 850 Showtime Showcase(E) 885 TMC Xtra(W)
858 Showtime Extreme(E) 857 Showtime Showcase(W) 1884 TMC Xtra HD(E)
859 Showtime Extreme(W) 1856 Showtime Showcase HD(E) 1885 TMC Xtra HO(W)
HBO Add-on Package
802 HBO(E) 1806 HBO Famfy HD(E) 808 HBO Signature(E)
803 HBO(W) 1807 HBO Family HD(W) 809 HBO Signature(W)
804 HBO 2(E) 1802 HBO HD(E) 1808 HBO Signature HD(E)
805 HBO 2(W) 1803 HBO HD(W) 1809 HBO Signature HD(W)
$10 HBO Comedy(E) 814 HBO Latino(E) 812 HBO Zone(E)
811 HBO Comedy(W) 815 HBO Latino(W) 813 HBO Zone(W)
1810 HBO Comedy HD(E) 1814 HBO Latino HD(E) 1812 H80 Lone HD(E)
1811 HBO Comedy HD(W) 1815 HBO Latino HD(VV) 1813 HBO Zone HD(W)
806 HBO Family(E) 830 HBO On Demand 1804 H502 HD(E)
B07 HBO Family(VV) 1830 HBO On Demand 1805 H8O2 HD(W)
TRADE SECRET/PRIVILEGED INFORMATION
CLASSIFICATION RATIONALE
State: Minnesota
Description/Title of Information: Application of Qwest Broadband Services, Inc. d/b/a
CenturyLink for a Competitive Cable Franchise Agreement with the City of Shakopee
Trade Secret/Privileged Designation Rationale:
Exhibit B to the Application of Qwest Broadband Services, Inc. d/b/a CenturyLink for a
Competitive Cable Franchise Agreement with the City of Shakopee contains information that
is considered Trade Secret because (1) CenturyLink makes reasonable efforts to ensure its
privacy and (2) the data derives actual or potential independent economic value because the
information is not generally known to, and not being readily ascertainable by proper means
by, other persons who can obtain value from its disclosure or use. For this reason, Exhibit B
to the Application of Qwest Broadband Services, Inc. d/b/a CenturyLink for a Competitive
Cable Franchise Agreement with the City of Shakopee should be protected from public
disclosure.
Exhibit B
Has Been Redacted
In Its Entirety
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