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OR 2002- 997 Change the ownership from AT&T Broadband, LLC., to AT&T Comcast CorporationAN ORDINANCE OF THE CITY OF COPPELL, TEXAS ORDINANCE NO. 2002-997 AN ORDINANCE APPROVING WITH CONDITIONS THE CHANGE OF CONTROL FROM AT&T CORP., LLC, TO AT&T COMCAST CORPORATION AND PROVIDING A SEVERABILITY CLAUSE. WHEREAS, TCI CABLEVISION OF TEXAS, INC. (hereinafter referred to as "Franchisee") is currently a franchisee for cable services in the City of Coppell; and WHEREAS, Franchisee is an indirect subsidiary of AT&T Corp. ("AT&T"), and AT&T has proposed a change of control of Franchisee from AT&T to AT&T Comcast Corporation ("AT&T Comcast"); and WHEREAS, the City of Coppell received notice of FCC Form 394 filing and proposed change of control of the franchise from AT&T Corp., LLC, (hereinafter "AT&T") to AT&T Comcast Corporation (hereinafter "AT&T Comcast"); and WHEREAS, the City has retained the services of C2 Consulting Services to review the FCC Form 394, with respect to the legal, financial, and technical capacity of AT&T Comcast to control Franchisee, and Franchisee's related ability to continue to adhere to the requirements and conditions of the Franchise; and WHEREAS, the City is willing to consent to the proposed change of control as detailed in the FCC Form 394, pursuant to the conditions set forth below. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF COPPELL, TEXAS: SECTION 1. AT&T Comcast agrees that Franchisee will abide by the terms of the Franchise Ordinance 93615 and its amendments, and all other ordinances of the City of Coppell. SECTION 2. Franchisee agrees to provide service pursuant to the requirements of the Franchise and its amendments after the Closing. SECTION 3. Although AT&T provided almost all of the answers, the City of Coppell disagrees with AT&T's position that certain requests for information are outside the appropriate scope of review for the change of control. SECTION 4. Any actions which have the effect of circumventing payment of any lawfully required ordinance fees and/or evasion of payment of the ordinance fees by non- collection or non-reporting of gross receipts, bartering, or any other means which evade the actual collection of revenues for businesses authorized by Franchisee are prohibited. Pursuant to the Texas Constitution, the City is prohibited from granting anything of value without compensation. The City has the right to audit all records relating to the calculation of the franchise fee. SECTION 5. Franchisee reaffirms its commitment to install and provide basic and expanded basic cable service or the most popular service to all City-owned or occupied buildings, public libraries, and schools. SECTION 6. By granting this change of control, the City does not waive and specifically retains any right to regulate and receive compensation as allowed by law for all Cable Services offered over the Cable System. Franchisee shall inform the City of any uses of the Cable System by persons who are not Cable Operators. SECTION 7. That the terms and provisions of this ordinance shall be deemed to be severable, and that if the validity of any section, subsection, sentence, clause, or phrase of this ordinance should be declared to be invalid, the same shall not affect the validity of any other section, subsection, sentence, clause or phrase of this ordinance. DULY PASSED by the City Council of the City of Coppell, Texas, this 25th day of June,2002. APPROVED: By:Candy Sheehan, Mayor APPROV AS By:Robert E. Hager, City Attorney ~T-~ ATTORNEY ATTEST:Libby Ball, City Secretary -2- AGREEMENT TO CHANGE OF CONTROL ORDINANCE Paula Trustdorf ., an authorized agent for TCI CABLEVISION OF TEXAS, INC. files this Agreement to Change of Control Ordinance agreeing to the terms of Ordinance No. 2002-997 Signed July 16, 2002 Dated SenJ~or Vice Authorization -3-