Council OKs TV contract changes

Gloria Austin, Special to The County
12 years ago

  HOULTON, Maine — Monday night, the Houlton Town Council approved, 4-1, to replace the existing franchise contract (55 pages) with Polaris Cable to a standard agreement (16 pages) that will enable Polaris to sell its assets.
On May 30, Polaris Cable was approached by a top-five cable company for purchase of its business. Through negotiations, the existing franchise with the town of Houlton did not work in the parameters of the prospective buyer.

Polaris Cable came to the town of Houlton and asked if a standard agreement could be adopted.
Chairman Paul Cleary asked if the adoption of the standard agreement did not pass, what effect would it have on Polaris’ sale.
“We will be in no position to sell,” said Cathy Donovan, general manager of Polaris Cable. “The [buyer] cannot accept it and they simply will pass.”
“Basically, we are just changing the 55-page franchise agreement into this 16-page document,” said Cleary. “If the sale happens, then there will be a transfer of this to the company. Then, we still have say on whether to transfer this agreement or not.”
During public comments, Dorothy Donahue of Houlton, chairman of the cable committee in 2002, spoke against adopting a new agreement.
“I believe it cost us approximately $100,000 to do that contract,” she said. “I would hate to see something we spent years, with lawyer fees, go out the window without any consideration. We fought very, very hard for the two-tier and for the senior citizen discount. We did a lot of work and we spent a lot of money.
“With all the difficulties we have had to get this good contract, and the lawyers who were specialists who came to get this contract, I think we should not even consider doing anything else but continuing this contract,” she said. “With all the work we have done, we have tried to do our very best for the citizens of Houlton.”
Phil Bernaiche expressed several concerns including displacement of Polaris Cable employees and not having a local company presence.
“I cannot believe you people would dare vote for this,” he said. “It is not in the best interest of the people. They [the new company] are going to line their pockets and we are going to pay more for what we are getting.
What Bernaiche said was echoed by Councilor Sue Tortello, who was also worried about not having a local office in Houlton where people could go and pay their bill. She noted many people do not like to do payments over the phone and some are not well versed with the Internet.
Tortello also questioned whether the service would stay comparable in price when the new owners took over.
“We have been blessed to have a local presence in town,” she said. “Polaris Cable owns the building and pays local taxes.”
Bernaiche also expressed concerns about the sale.
“Everyone is mum about talking,” he said. “Running this through like ‘I’ve got a secret.’ There is enough going on of ‘I’ve got a secret’ from you councilors. Well, I am no secret. I do not think this is in the best interest of the people.”
Donovan noted they were not trying to just rush through the process, but the deadline for the sale is Aug. 31.
“I respect what Mrs. Donahue said and did years ago. I respect what Phil’s concerns are,” said Councilor John White Jr. “But, when I am up here, I represent what I feel is the majority of what people in Houlton want. I think the majority of the town of Houlton, if it is who I think it is coming here, I think they are going to love it.”
White admitted he is not a current Polaris Cable customer because the cable does not offer all he wants.
“If this other company comes in, I will probably be a subscriber again, he said. “This will help the town because the subscriber-base will go up. I think it is in the benefit of the town.”
In the transfer of ownership, the town council will have a chance to meet the new buyers and may get many questions answered.
“Once the transfer comes to you, you have the right as a town to approve that transfer,” said Carol Kozloski, owner of NEPSK, Inc. with her husband, Peter.
If the sale does not happen, Polaris Cable has given their word that they will revert back to the current agreement.
However, the “yes” vote did not come easy.
Councilor Robert Hannigan opposed, with councilors Sue Tortello, Daniel Peabody, John White, Jr. and Phil Cloney all in favor. Councilor Wade Hanson was absent.
“Is everything we need to protect the town of Houlton is in this contract,” said Cleary. “Pretty much, it is.”
Polaris Cable asked the town council to adopt a standard agreement, which may be new to the Shiretown, but is very familiar to Polaris Cable and the cable television industry. This agreement is being used in Polaris Cable’s other 15 surrounding towns.
“We do believe the town will deeply benefit from a top-five cable company,” Donovan said.
In other business:
• Council approved a victulers license to Wayne Theriault doing business as Shamrock Café.
• Council accepted donation of $697.50 from Tom and Sally Callnan for planting flowers throughout town.
• Council awarded a timber harvest bid on the town’s airport woodlot to Ron Ledger and Son of Amity. There were nine bids received.