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20181113ABAgenda Briefing November 13, 2018 Agenda Item 1. Call to order/roll call Agenda Item 2. Questions about items listed on the Regular Meeting Agenda. Agenda Item 3. Discussion items. Agenda Item 3a. •Cellular Coverage Update. AT&T Originally Proposed Location Current Proposed Location AT&T Possible PISD New Tower Location Verizon: TC 11/13/18 T-Mobile -application T-Mobile •Town staff met with representatives from T-Mobile who are proposing a Town-wide master plan which includes 6-8 Wireless Communication and Support Structures locations throughout Prosper. Agenda Item 3b. •Broadband Service Update. Purpose •Review laws and regulations regarding cable and internet services •Discuss potential options for Town involvement in service improvements State Franchise Laws •Prior to 2005 cable providers entered into franchise agreements with each individual municipality •State Legislature established Chapter 66 of the Texas Utilities Code •Covers cable service and/or communications network including video programming, cable, voice, or data services located within a public right-of-way •Can apply for and receive a state-issued franchise for cable or video service that is administered by the Texas Public Utility Commission (PUC) •Still required to pay a quarterly franchise payment equal to five percent of gross revenues to each municipality •Complaints handled by Texas PUC Providers in Prosper •PUC lists 8 cable or/or video providers that have a state franchise in Collin County •DecisionData.Org lists 10 home internet and cable /TV companies, and 14 business providers with varying speeds and percentage coverage of the Town •3 fiber providers •2 DSL providers •2 cable providers •3 fixed wireless providers •Satellite TV and internet providers Complaint Procedures •Wireless Telecommunications Service •PUC website states that complaints should be directed to the Federal Communications Commission (FCC) as they are not regulated by the State of Texas •Cable Television Service •PUC website encourages customers to contact the cable provider of state- wide franchises to resolve issues. •Also states that FCC has established customer service standards for cable providers under 47 CFR 76.309 Customer Service Obligations •Cable providers must follow these standards until there are two or more providers offering cable service in the municipality Customer Service and Changing Usage •American Customer Satisfaction Index (ACSI) 2018 Telecommunications Report •Overall score for Internet Service Providers fell to an all time low •Subscription television (cable and satellite) fell to 11 year low •Internet and cable scored 62 on 100 point scale –the worst ranked category of the 46 industries and 10 economic sectors that ACSI rates •Video streaming scored 75 •Dropping traditional television demand •90 million cable subscribers, 5 million video subscribers (June 2018) •Since the 2012 peak, TV has lost 7 million customers •8% of current TV subscribers say they are extremely likely to cancel their service in the next year State Laws –Prohibited Services •Section 54.202 of the Texas Utilities Code prohibits municipalities or municipal electric utilities from offering specified categories (those that would require a state franchise) of telecommunications services to the public either directly or indirectly through a private telecommunications provider •Section 54.2025 does allow for municipalities to lease any of the excess capacity of its fiber optic cable facilities (dark fiber) as long as the rental is on a nondiscriminatory, nonpreferential basis Options -Internet Services •Leave to market forces •Set up Committee to meet with providers and research options •Hire external organization to study current service in Prosper and put together future plan •Example is Connected Nation (Connect Texas) cost range of $50,000 to $75,000 •Consider ordinance to require installation of fiber lines and conduits with development •Consider investment in dark fiber to lease