Chesapeake staff outline cable franchise renewals; PEG fee to rise to $0.50 per subscriber

Chesapeake city staff told the City Council on Sept. 9 that proposed renewals of cable franchise agreements with Cox Communications and Verizon Virginia would keep most existing protections while adding clearer rules on right‑of‑way work and property restoration.

"This has been a process more than two years in the making," said the staff presenter identified as Liz, noting Cox and Verizon South as the two franchisees. She said most franchise language remains in force but that targeted updates were negotiated with the companies.

Deputy City Attorney Ellen Bergen described two material changes the city sought: better notification to affected residents and a narrower definition of "right of way." Verizon agreed to door‑tag notices to single‑family property owners before work in the front‑yard portion of the right of way. Bergen said Verizon also agreed to a new restoration timeline: any damaged property must be restored "to as like near condition as possible within 14 days of completion of construction, accounting for weather conditions and actions by third parties," with enforcement provisions including liquidated damages or claims against a letter of credit.

Cox accepted restoration language retaining a requirement to restore "promptly" but did not add an explicit 14‑day timeline. Bergen said the city retains remedies to repair and bill the company if work is not completed.

The staff also described changes to the franchise definition of right‑of‑way that remove a prior broad formulation and limit installations to public streets, sidewalks, parks and public utility easements "if used as a public right of way," reducing uncertainty about installations on non‑right‑of‑way parcels.

The briefing included an update on the city's public access channels (PEG channels, branded as "Chesapeake Television") and a negotiated increase in the per‑subscriber PEG fee from $0.22 to $0.50 per month — the first increase in the franchise's history, staff said. Liz noted PEG funds are restricted by city policy to equipment‑related purchases (studio equipment, cameras, control systems) and cannot be used for general fund or staff costs. The PEG revenue will help support a new studio planned at the South Norfolk Municipal Building.

Council members asked for clarification about differences between Verizon's new 14‑day restoration timeline and Cox's "prompt" standard, and about how rights of way and easements would be treated on rural roads. Bergen said the negotiations produced clearer language and enforcement tools; she also noted that Verizon's telecommunications franchise was amended because Verizon obtains most permits under that agreement.

Next steps: staff said three renewal items will come to the council agenda on Sept. 23 for formal approval, after which franchises would be placed in effect per the negotiated agreements.