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1988-062-Opposing The Enactment Of Assembly Bill 2802RESOLUTION NO. 1988 -62 RESOLUTION OF THE TOWN OF LOS GATOS OPPOSING THE ENACTMENT OF ASSEMBLY BILL 2802 (CABLE TELEVISION FRANCHISE FEES) WHEREAS, Assembly Member Hill has introduced Assembly Bill 2802 into the California State Legislature; and WHEREAS, Assembly Bill 2802 would, essentially, reverse the recent Appellate Court decision in Cox Cable Television v. County of San Diego; and WHEREAS, the effect of Assembly Bill 2802 would be to forbid a local government from collecting any otherwise authorized property tax, on the fair market value of the franchise interest owned by a cable operator, if the collection of such a tax, coupled with the collection of any franchise fees owned by the cable operator, would exceed 5% of the gross revenues; and WHEREAS, Assembly Bill 2802 would provide a new and unnecessary windfall to cable television companies and would deprive local communities of an opportunity to share appropriately in the profits generated by cable television companies operating within the community; and WHEREAS, in the Town of Los Gatos and in other California communities it is important that cable television operators be required to contribute back to the community some reasonable share of what are extremely significant profits generated from within the community, profits which are not now being reinvested, in any significant degree, in either better service quality, or extension of service, or in any other benefit to the local community; and WHEREAS, Assembly Bill 2802 represents, in the opinion of the Town Council, unfair special interest legislation, which is of direct detriment to the public, and which will disproportionately benefit a few financially privileged cable television operators; and -1- WHEREAS, Assembly Bill 2802 should be defeated by the State Legislature. NOW, THEREFORE, BE IT RESOLVED, that the Town Council of the Town of Los Gatos hereby urges that Assembly Bill 2802 not be enacted into law. PASSED AND ADOPTED at a regular meeting of the Town Council of the Town of Los Gatos, California, held on the 4 following vote: day of April , 1988 by the AYES: COUNCIL MEMBERS Thomas J. Ferrito, Robert L. Hamilton Brent N. Ventura and Vice -Mayor Joanne Benjamin NOES: COUNCIL MEMBERS ABSTAIN: COUNCIL MEMBERS None ABSENT: COUNCIL MEMBERS Mayor Eric D. Carlson SIGNED: -W,,1 . V I Ctf -X 1YOR OF THE TOWN OF,' SOS GATOS ATTEST: CLERK OF^'THE TOWN OF LOS GATRA W0