City Councilors approved a new ordinance to allow DMEA Utilities Services the ability to provide cable television service within the City of Montrose.
DMEA Utilities Services, LLC (DMEAUS) is a locally owned subsidiary of Delta-Montrose Electric Association, (DMEA). DMEAUS operates Elevate Fiber in the City of Montrose and throughout the DMEA service territory to provide high-speed Internet service and other telecommunication services.
DMEAUS desires to provide cable television service to its customers in the City of Montrose.
By a vote of 5-0 councilors approved the ordinance.
Federal law requires anyone seeking to provide multi-channel video content over infrastructure they control and said infrastructure is located within public rights of way, to first enter into a cable franchise agreement with the public entity that owns the right of way. The City’s incumbent cable television provider operates under such franchise with the City of Montrose and has done so for a number of years.
The agreement was modeled after a similar one developed by the Colorado Communications Utility Alliance (CCUA). The city is a member of the association, which is made up of local governments throughout the State of Colorado. The model franchise agreement has been vetted by the government members as well as the cable industry and is a common starting point for these agreements.
Virgil Turner the city’s Director of Innovation & Citizen Engagement told councilors the agreement was negotiated between the city and DMEAUS and will adequately serve the interests of the City of Montrose into the future.
In return for the use of the public rights of way, the City will receive three-percent of the gross revenues derived from DMEAUS’s operation of the cable television service. Provision of cable television service to public buildings and Public Education and Government (PEG) channels are also included in the terms of the agreement.
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