1. Wave Franchise Renewal Overview Presentation to CTAB March 8, 2016

2. Federal Legal Framework Section 626 of 1984 Cable Act (47 U.S.C. §546)  Renewal begins 3 years prior to franchise expiration  Wave franchise expires November 11, 2017  Formal and Informal Renewal Rules  Processes Run Concurrently  Majority of Franchises via Informal Process  Must remain mindful and comply with all requirements  Wave Initiated Renewal on December 15, 2014  City responded to Wave on March 26, 2015  Cable Office conducted initial community meeting on May 21, 2015

3. Formal Renewal Process Flow Formal Process Begins (December 15, 2014) Commence Proceeding: Ascertainment RFFP C.O. Proposal RFP Response Decision RenewPrelim Denial RenewDeny Admin Hearing Judicial Review

4. Examples of Things the City can Require Examples of Things we Cannot Do Specific cable system capacity Capital Support for Public, Educational and Government (PEG) Institutional Networks(I-Net) Customer service standards Service availability to all households in the franchise area Content Categories Require a specific transmission technology (e.g. fiber). Specific channels (other than PEG channels and local OTA). A la carte programming. Require operating funds for PEG Regulate rates (other than lowest cost tier) Award a franchise that gives any provider the exclusive right to serve an area. Regulate any voice (telephone) services Regulate or require any Internet service, BUT…

5. Examples of Benefits in Current Franchise  Basic Service Tier  Low Income Cable Discounts  50 complimentary cable modem connections and service to City-sponsored community tech centers  Fiber connection to Town Hall to allow live cablecasting on Seattle Channel  PEG capital grant  Free advertising for Seattle Channel including KIRO agreement  Community technology grant

6. Potential Opportunities for CTAB Involvement  Key Stakeholder Group  Attend/Participate in Community Meetings  Help inform community about needs assessment process  Articulate its priorities  Conduct Community Meetings

7. High Level Timeline Activity Timeline Needs Assessment2Q 2016– 3Q 2016 Legal, Technical, Financial Review2Q 2016 – 3Q 2016 Informal Negotiations4Q 2016 – 2Q 2017 New Franchise3Q/4Q – 2017