Form revised March 16, 2004

FISCAL NOTE FOR NON-CAPITAL PROJECTS

Department:	Contact Person/Phone:	DOF Analyst/Phone:
Department of Neighborhoods	Hazel Bhang, 615-0885 DaVonna Johnson, 684-0261	Sara Levin, 684-8691

Legislation Title:

AN ORDINANCE related to Cable Communications; authorizing an agreement to continue a cable subscriber service center at the City's Department of Neighborhoods facility at 23rd Avenue S. and S. Jackson Street; increasing an appropriation in the 2004 Department of Neighborhoods budget; and creating new positions in that department, all by a three-fourths vote of the City Council.

· Summary of the Legislation:

This proposed legislation authorizes the execution of an agreement between the City of Seattle and Millennium Digital Media Systems, LLC, and Comcast of Washington for financial assistance to continue the cable subscriber service at the City’s Department of Neighborhoods facility at 23rd Avenue S. and S. Jackson Street. The legislation increases the 2004 Department of Neighborhoods’ budget by $128,877 (to be reimbursed by both cable companies) and position authority by 1.5 FTE.

· Background: The purpose of the legislation will be to continue to provide Seattle citizens with the ability to pay Comcast and Millennium Digital Media cable bills at a centrally located site within the City of Seattle. In 2003, the Office of Cable Communications in the Department of Information Technology worked with the Department of Neighborhoods, Comcast, and Millennium to develop a program for Comcast and Millennium to satisfy franchise and Cable Customer Bill of Rights (CCBOR) obligations to provide in-city bill paying opportunities at the Central Neighborhood Service Center (NSC) located at 23^rd Avenue and S. and S. Jackson Street. This was a one-year pilot agreement that will expire May 31, 2004. This arrangement has provided 1.25 FTE to staff expanded hours of operation so Seattle residents would have the ability to pay their Comcast and Millennium cable payments in person at a safe and conveniently-located site. They can also receive same-day credit for their payments, thereby stopping potential shut-off of cable service.

· Please check one of the following:

____ This legislation does not have any financial implications. (Stop here and delete the remainder of this document prior to saving and printing.)

X This legislation has financial implications. (Please complete all relevant sections that follow.)

Appropriations:

Fund Name and Number	Department	Budget Control Level*	2004 Appropriation	2005 Anticipated Appropriation
General Subfund (00100)	Department of Neighborhoods	Customer Service I3200	$128,877	0
TOTAL			$128,877	0

Notes: Funds will be fully appropriated in 2004, but will be carried over into 2005 to reflect the length of the contract. See anticipated revenue and expenditure tables below.

Anticipated Revenue/Reimbursement: Resulting From This Legislation:

Fund Name and Number	Department	Revenue Source	2004 Revenue	2005 Revenue
General Subfund (00100)	Department of Neighborhoods	Comcast, Millennium Cable Franchisees	$40,523	$88,354
TOTAL			$40,523	$88,354

Notes:

Total Regular Positions Created Or Abrogated Through This Legislation, Including FTE Impact:

Position Title and Department*

Fund Name

Fund Number

Part-Time/ Full Time

2004 Positions

2004 FTE

2005 Positions**

2005 FTE**

Sr. Customer Service Representative, Department of Neighborhoods

General Subfund

(00100)

FT

1

1.0 FTE

1

1.0 FTE

Customer Service Representative, Department of Neighborhoods

General Subfund

(00100)

PT

1

0.5 FTE

1

0.5 FTE

TOTAL

2

1.5 FTE

2

1.5 FTE

* List each position separately

** 2005 positions and FTE are total 2005 position changes resulting from this legislation, not incremental changes. Therefore, under 2005, please be sure to include any continuing positions from 2004

Notes:

The funding for this agreement provided for 1 (.875 FTE) Sr. Customer Service Representative and 1 (0.5 FTE) Customer Service Representative. Due to the business need we are requesting 1.0 FTE Sr. Customer Service Representative with the intent to underfill a CSR position to cover the incremental costs.

· Do positions sunset in the future?

Yes, these positions will sunset December 31, 2005 if the agreement is not renewed. The term of the agreement is 19 months from the date the agreement is signed with the option to renew at that time.

Spending/Cash Flow:

Fund Name and Number	Department	Budget Control Level*	2004 Expenditures	2005 Anticipated Expenditures
General Fund (001)	Department of Neighborhoods	Customer Service I3200	$40,523	$88,354
TOTAL			$40,523	$88,354

Notes:

· What is the financial cost of not implementing the legislation?

If the legislation is not implemented, then the Cable companies become out of compliance with the Franchise agreement with the City, which will generate additional cost to the City to enforce compliance with the franchise agreement. This legislation will allow the Department of Neighborhoods to open the Central Neighborhood Service Center to the public for 23 additional hours a week at no additional cost to the City.

· What are the possible alternatives to the legislation that could achieve the same or similar objectives?

The two cable companies could jointly and/or separately open and operate their own pay-in-person locations in a central location that is easily accessible to customers.

· Is the legislation subject to public hearing requirements:

No

· Other Issues:

If either the cable companies or the Department of Neighborhoods does not agree to renew the agreement to provide pay-in-person services at the Central Neighborhood Service Center, the 0.5 FTE Customer Service Representative and the 1.0 FTE Senior Customer Service Representative positions will sunset at the end of the agreement.

Please list attachments to the fiscal note below:

None