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Town attorney urges broader ‘gross revenue’ definition in Comcast franchise talks
Summary
Town Attorney Tom Yeager told the council he has been negotiating with Comcast and recommends mirroring Kent County’s franchise language to broaden what counts as gross revenue; no agreement or motion was reached and negotiations will continue.
Town Attorney Tom Yeager updated the Chesapeake City Council on ongoing negotiations with Comcast over the franchise agreement and urged the council to adopt broader gross-revenue language.
Yeager said negotiations with Comcast representative Chris Mulhall have focused on how ‘‘gross revenue’’ is defined, and he recommended the town mirror the Kent County franchise language to ensure more items are captured as revenue rather than limiting the definition to traditional subscriber fees. He noted the approach aligns with trends in other local franchise agreements and suggested that the same language be considered when the Breezeline agreement is renewed.
No motion was made and the council took no action; Yeager and Comcast will continue discussions.
Why it matters: Franchise language that defines gross revenue affects what revenue streams are subject to franchise fees and can influence future town revenues and the terms of cable/broadband provider agreements. The council did not reach a decision and expects further negotiation with Comcast and legal counsel.
