HomeMy WebLinkAboutRes 33-96 12/17/1996 AF/
10/11/96
RESOLUTION NO. 33-96
A RESOLUTION REQUESTING A DRAFT ON THE
LE I-I'ER OF CREDIT OF TELENOIS, INC.
WHEREAS, Telenois, Inc. is the holder of the cable television franchise for the Village of Mount
Prospect, pursuant to a Franchise Agreement dated August 1, 1981, as amended by a certain
"Agreement of Modifications and Amendment to Franchise Agreement" authorized by Resolution
No. 35-93 and effective as of August 17, 1993 (the Franchise Agreement); and
WHEREAS, Section 21 (a) entitled "Production Facilities" of said Franchise Agreement requires
the Franchisee to provide production facilities, including but not limited to a studio and editing
capabilities to serve the Village of Mount Prospect; and
WHEREAS, a production facility is very important to the residents of the Village in order to avail
themselves of the services to be provided by Telenois, Inc~; and
WHEREAS, until September 17, 1996, Telenois, Inc. provided a production facility, however that
facility has been dismantled and has not been raplaced, therefore no production facility is being
provided in Mount Prospect, which is a violation of the Franchise Agreement; and
WHEREAS, Telenois, Inc. has been given notice of said violation and Telenois, Inc. has been
given the opportunity to open an operational production facility to serve Mount Prospect, at as of
the date hereinbelow, no such facility is in operation; and
WHEREAS, the Mayor and Board of Trustees of the Village of Mount Prospect has determined
that it is necessary to request a draft on the Letter of Credit of Telenoisl Inc. for failure to comply
with the conditions of the Franchise Agreement, specifically Section 21 of said Agreement and
have further determined that the entire Letter of Credit amount of Ten Thousand Dollars
($10,000.00) should be drawn upon; and
WHEREAS, the Letter of Credit issued to Telenois, Inc. by Canadian Imperial Bank of Commerce
contains a provision for the Village of Mount Prospect to draw from said Letter of Credit in the
amount of Ten Thousand Dollars ($10,000.00).
NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND BOARD OF TRUSTEES OF THE
VILLAGE OF MOUNT PROSPECT, COOK COUNTY, ILLINOIS:
SECTION ONE: That the above and foregoing recitals be and the same are hereby incorporated
and made a part of this Resolution.
SECTION TWO: That the Mayor and Board of Trustees of the Village of Mount Prospect on
behalf of the Village of Mount Prospect do hereby authorize a draft be drawn under Number 14,
dated April 25, 1988 of said Letter of Credit issued to Telenois, Inc. by Canadian Imperial Bank of
Commerce in the amount of Ten Thousand Dollars ($10,000.00).
SECTION THREE: That this Resolution shall be in full force and effect from and after its
passage and approval in the manner provided by law.
AYES: Clowes, Corcoran, Hendricks, Hoefert, Juracek, Wilks
NAYS: None
ABSENT: None
PASSED and APPROVED this 17th dayof~ 1996,
ATT/~T: /? k~/ ~ - '"':Gerald L Yari~, Mayor
Carol A. Fields, Village Clerk