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HomeMy WebLinkAboutSupplemental Communication - City Council Study Session #2Analysis of Alternative Public, Educational, and Governmental (PEG) Access/Outreach Methods City Council Meeting — July 16, 2018 Background • On April 9, 2018 Council Members Lyn Semeta and Patrick Brenden introduced a Council Member Item to: Direct the City Manager to obtain information from PCTA and other programming providers to assess the current resources available to the City for broadcast of public interest programming and conduct a review of best practices of local government programming in order to ensure that the City is utilizing current technology most efficiently and effectively. History of PCTA • Almost thirty years ago on December 26, 1990, the Cities of Huntington Beach, Fountain Valley, Stanton, and Westminster entered into a Joint Powers Agreement to create the Public Cable Television Authority (PCTA). • Created to plan, develop, finance, acquire, construct, manage, maintain or operate any community antenna television system or cable television system. PCTA is a public entity and is subject to all public meeting requirements. This JPA was revised in 2004 and is currently under review for an update. ci�m ,-MEOW I-NIMPIIRMII� pubic cable television, authority Governance • PCTA is administered by a Board of Directors — two from each member City. Each Director serves at the pleasure of their Appointing City Council. • The Board has responsibility for the general management of the affairs, property, and business of PCTA. • Each Director has one vote. • At the 1st meeting of each Fiscal Year, the Board elects a Chair, Vice Chair, Secretary, and Treasurer/Auditor Franchise and PEG Fees • Franchise — PCTA collects and remits to the City franchise fees from Frontier and Spectrum, they withhold approximately $151,165 annually to fund their Administrative Budget. In 2017, the City received $2.8 million in franchise fees that were deposited into the General Fund. • Public, Educational, and Governmental Access Channels (PEG) — AB 2987 (Nunez) aka the Digital Infrastructure and Video Competition Act of 2006 authorized local entities to establish a fee to support the costs of PEG Channel facilities in the amount of 1% of gross revenues. PCTA collects and keeps 100% of Huntington Beach subscriber paid PEG fees. In 2017, PCTA collected $604,751. • Based on the most recent audited financial statements (June 30, 2017), PCTA has a fund balance of $3 million in a Local Agency Investment Fund (LAIF) account. • The City funds 67.74% of PCTA operations. This is calculated based upon the amount of PEG and franchise fees collected by PCTA on behalf of the four cities from the video service providers. • Were the City to not be part of this JPA, the City would keep 100% of the PEG and 100% of the franchise fees (roughly $750,000 combined). Mission of PCTA • The Mission of PCTA is to inform, educate, and entertain residents by producing exclusive television programming for member cities; assist consumers in resolving issues with video providers; and manage the day-to- day operations of each city's government access channel. Current Production PCTA films and broadcasts • City Council Meetings (live), Planning Commission Meetings (live); NEW — City Council promos • Annual 41b of July Parade • Selected Summer Concerts in the Park • Annual Miss Huntington Beach Scholarship Pageant • Annual Downtown Tree Lighting • Selected meetings and events: other holiday shows, Town Hall meetings, dedications, ceremonies, etc. • Ongoing programming such as "Reflections of Former Mayors," "Young at Heart," "The O Scene," "Wow! That's in OC," "Surf City Highlights," and "Orange Slices." • During election years, candidate statements and election night coverage • Occasional documentaries such as "50 Years: Golden West College" and "HB Junior Lifeguards Program" • New programming, such as an upcoming Chamber of Commerce show for Huntington Beach • Covers events/council meetings/programming for Stanton, Westminster and Fountain Valley • Receives and handles complaint calls from the community on cable providers TV UPFRONTS Nielsen Will Now Measure YouTube TV Viewership on a Local Level Which is good news for media buyers and sellers By A.J. Katz I May 22.2018 Las Vegas • Las Vegas — KCLV streams to Apple TV, Roku, and Hulu. • Their IT Department utilizes Phunware. http://innovate.vegasINews-Events/go-vegas-ecosystem-kdv-2-now-av ailable-on-apple-tv-and-roku Arkansas —State and Local Gov Gov2Go GG — Apple TV I ( Urbana, IL — Roku and Apple TV 0 ROKU Phoenix, AZ — YouTube y�Tube What are other Orange County cities doing? � • PCTA is the only cable television JPA in Orange County • Staff surveyed 30 Orange County cities and found that: • 23 cities contract out their cable channel operations to a 3rd party production company and utilize their PEG funding. • Seven cities have part time staff that run the cable channel and utilize their PEG funding. • These costs range from $75,000 per year (Seal Beach) to $224,000 (Mission Viejo) all paid for using PEG. • Production Costs (Staffing): Santa Ana — Contract $65,000 per year Fullerton — Utilizes a Contractor (In FY 2017/18 $39,712 was budgeted for 39 events/meetings) Mission Viejo — Contract $111,877 per year What can PEG be used for? PEG funds are restricted and can only be used for the following: Cable Access Programming Video Production and Editing Staffing — limited to video production and editing Fiber/Broadband — Connecting of City facilities Streaming Services — Granicus, web streaming, app development and streaming to the app. Capital Expenditures Information Technology — Website, IT services related to programming/production, etc. • Licensing and Programs PEG could be used to offset eligible General Fund expenditures Questions?