LIBRARY AND COMMUNITY SERVICES

Library Tree Walk Now Uses QR Codes

The Library often receives questions about the many beautiful trees surrounding it, especially in the spring and fall. Several years ago, one of the librarians created a Library tree walk map, to be used mostly by staff on their daily walks, but also to answer questions from curious customers.  The map was recently resurrected when a customer asked about the redwoods near the library plaza.  One of the tech-savvy librarians thought of using QR codes to identify the trees and when a San Jose State intern came on board, the project took off.  With the help of the City arborist, the trees were identified and pictures of the trees at various times of the year were gathered.  Using a free QR code generator, information was entered for 15 different trees.  The QR codes were then printed, laminated and placed on garden stakes in front of the appropriate trees.  QR codes when scanned by a smart phone or iPad, links to digital content on the Web, providing the user with information and pictures about that particular tree.

Internet Archive Open Library eBooks Ready to Borrow

A new eBook option has greatly extended the number of eBooks that can be borrowed through the Library.  Internet Archive’s Open Library, has about 100,000, mainly 20th century, titles available in eBook format to cardholders of participating libraries, which includes Sunnyvale Library.  Each title can be borrowed by one customer at a time and can be read in a Web browser or in PDF or ePUB format and transferred to most eBook readers. Internet Archive is a nonprofit project with a goal of building an Internet Library of every book ever published.  More information is available through the Library’s Web page www.sunnyvalelibrary.org  -Books, Movies and Music- Download eBooks and Audiobooks- Open Library.

Sunnyvale/Fremont High School Swim Complex – Fees and Schedule Released for 2012

The Sunnyvale Swim Complex at Fremont High School is a year-round facility jointly run by the City of Sunnyvale, Fremont High School District and California Sports Center (CSC). The complex features an Olympic-size pool and pool house with locker rooms, a training room for community classes, shaded viewing area and numerous other amenities. CSC offers a wide range of aquatics programs to suit the needs of swimmers of all ages and ability levels, including lap swim, a Master’s program, recreation swim, swim lessons, adult fitness programs and specialty programs such as youth water polo and diving. In fiscal year 2010/11, 82,994 participant hours were recorded at Sunnyvale Swim Complex.

The agreement with CSC, which expires in August 2013, does require the contractor to provide a general schedule of pool use for each year the agreement is in place, as subject to approval by the Director or their designee.

The operating and fee schedule has been adjusted slightly for 2012. A summary of the changes are as follows:

  • Slight increase in the punch pass rates, adult coached programs and adult water polo program
  • Minimal decrease in registration fees for two-week swim lessons, June – August
  • New 10-punch pass for summer recreation swim (as opposed to the season pass which has been offered previously)
  • Duration of the SUNN spring and summer swim meets has been changed to one day (instead of two days).

The complete operating and fee schedule is available online at: http://www.calsportscenter.com/swim/index.shtml

Holiday Pottery Sale Benefits Sunnyvale Pottery Studio

A group of dedicated potters held a Holiday Clay and Glass Sale on December 9 and 10  to benefit the City’s Pottery Studio in the Creative Arts Building. More than 30 individuals (instructors and students) made artwork available for sale. An estimated 400 community members attended the sale which raised more than $6,000 in support of the City’s Pottery Studio. The potters plan to continue to work with City staff to develop ways to promote the studio, boost participation and raise funds to offset operating costs.

NOVA

Another Visit from Dignitaries from South Korea

On December 20, NOVA was honored with another visit from dignitaries from South Korea. Two senior researchers from the Korea Institute for Advancement of Technology attended and brought with them a special honored guest, the Deputy Director of the Ministry of Knowledge Economy. For this visit, the guests were particularly interested in understanding the structure of the workforce development system in this country and how NOVA works with Silicon Valley industry to close the skill gaps of job seekers to better address business demands. The visitors are also traveling across the state to tour the higher education system, as well.

OFFICE OF THE CITY MANAGER

2012 Priority Issues

Each year, the City updates Council Policy 7.3.2 Legislative Advocacy Positions (LAP). Consistent with Council-approved streamlining efforts begun in 2007, this policy identifies new legislative advocacy positions for pending issues and legislation not covered by existing City policy; it also notes the upcoming year’s priority issues. Long-term advocacy positions are memorialized in the City’s long-term policy documents (Council Policy Manual, General Plan, etc.). Given limited resources, "priority issues" are those issues identified as most likely to significantly impact the City and prioritized for staff’s advocacy support.

The Report to Council identifying the proposed LAPs and detailing the priority issues is scheduled for the February 7, 2012 Council meeting.  The 2012 proposed priority issue topics are:

  • State and National Economic Crisis
  • Investment Funding for Workforce Development
  • Funding of Land and Water Conservation Fund
  • Interoperability/Public Safety Communications System
  • Redevelopment Law
  • Environmental Regulatory and Conservation Issues
  • Regional and Statewide Water Supply Issues, Particularly Relating to the Sacramento-San Joaquin Delta Restrictions
  • Transaction Based Reimbursements for Public Libraries
  • Next Generation 9-1-1 Advancement Act of 2011
  • Protect Corrections Realignment Funding for Local Government

An early report was released on December 21; Boards and Commissions were invited to review it at their discretion, and accordingly to provide input to Council at the February 7 public hearing. 

PUBLIC SAFETY

Lifesaving Response by Firefighters

Fire Engine 30 responded to 1150 Tilton, Manor Care, a residential care facility on the report of a 79-year-old male choking victim. While on scene, the victim's heart stopped, and CPR was initiated by Fire personnel, Field Training Officer Mike Lecy, and Officer-In-Training Elizabeth Nguyen.  County EMS medics transported the patient to El Camino Hospital at which time the patient had regained a pulse and normal respirations.

Detectives Identify/Arrest Burglary Suspects

Over the last couple of weeks, several residences on the north side of town were burglarized.  During one of the burglaries, a laptop computer was taken along with other electronic equipment.  The day after the burglary, the stolen laptop was activated and a photo of the "new user" was captured.  With this new information, members of the DPS Investigations Unit began their follow-up investigation.  As a result of the investigation, a ring of four suspects was identified.  The leader of the ring, a subject on parole for property crimes, was stopped and arrested as he left his Sunnyvale residence. Property has been recovered from at least two Sunnyvale burglaries and results from latent fingerprints are still pending on several other burglaries.  The three other suspects that were identified are residents of other cities and have outstanding warrants for probation/parole violations and other charges.  DPS is working with allied agencies in the hunt for those outstanding suspects.

Sunnyvale Officers Arrest Car Burglar Twice

On December 26, at approximately 4:00 a.m., PSO Hutchison came upon a suspicious van on Harwick near Albatross. Two of the van’s occupants were in the process of breaking into a vehicle. The subjects saw PSO Hutchison and jumped back into the van. The van drove off at a high rate of speed onto Hutton Court, where all four occupants ran from the van. A perimeter was established around the area using officers from Sunnyvale, Santa Clara, and the Sheriff’s Office. Canine units from Sunnyvale and Santa Clara began a yard-to-yard search. Two suspects were located and arrested and the van they were driving was stolen from San Jose.  One of the suspects arrested was a juvenile. The juvenile was released to his parent’s custody later that afternoon.

The next morning, on December 27, at approximately 2:00 a.m., PSO Swick was conducting follow-up on Harwick and Albatross on the earlier case. He was driving a patrol car equipped with an automated license plate reader. As he was driving on Harwick, the plate reader located a stolen vehicle. The vehicle was parked behind another vehicle that had been associated with the earlier case. PSO Swick established a perimeter around the area and watched the vehicle. He saw a subject enter the stolen vehicle.  He arrested the subject, who happened to be the juvenile who was released the day before to his parent’s custody. The vehicle was stolen an hour after the juvenile was released to his parents.

CSI…..Sunnyvale

For over 20 years, Public Safety has utilized specially trained officers to collect evidence at the scenes of crimes such as burglaries and assaults and incidents ranging from traffic collisions to structure fires.  Just like in the television show of the same name, these Crime Scene Investigators, or CSIs, take photographs, develop latent fingerprints and collect items that contain potential DNA evidence. 

Over the last several years, the collection of DNA evidence has become critical to solving many crimes in the community.  Just this month, five significant cases have been solved through the careful collection and processing of DNA evidence.  Commercial burglaries involving the theft of copper wiring at businesses located on Almanor (twice), Humbolt and E. Arques were solved after DNA evidence collected at the scene was processed by the Santa Clara County Crime Lab and the results entered into the California State DNA database.  Four separate suspects have been identified in these cases and are either in custody or have warrants issued for their arrest.  The final case solved was a residential burglary that took place at a home on Santa Rosa Street.  The suspect in this case is currently being sought. 

Each suspect in these cases left behind minute traces of blood, body oil and sweat, and hair.  The CSIs carefully processed each one of these scenes and developed the critical evidence that has brought these cases to a successful conclusion….just like on TV.

PUBLIC WORKS

Downtown Mathilda Bridge Project Update

This project widens Mathilda Avenue Bridge and replaces the southbound Mathilda Avenue off-ramp to Evelyn Avenue.  Upon completion, motorists will be able to access eastbound and westbound Evelyn Avenue from southbound Mathilda Avenue. The new off-ramp is scheduled to open late January 2012 and the overall project itself is estimated to be completed in late March 2012.  The project has experienced design and weather delays.  Major elements of work remaining are the completion of: the loop off-ramp, traffic signals, pedestrian ramps, fencing, railing, miscellaneous paving, two parking lots, Mathilda and Evelyn medians, decorative lighting, San Andreas Court reconstruction and the Charles Street cul-de-sac.  Additional contract time is warranted due to several changes. The picture below shows progress on the loop off-ramp.

Mathilda Ave Bridge Off Loop

PG&E Requests the Removal of 41 Street Trees Fronting the Sunnyvale Landfill

PG&E inspects and maintains a high pressure gas transmission line (pipe 101) that runs along Caribbean Drive at the foot of the closed Sunnyvale Landfill.  They have completed a project on this line which includes installing a remote controlled shut-off valve in the line just west of the East Channel. In conjunction with that work they determined that 41 Eucalyptus street trees at the foot of the landfill could endanger the 36-inch gas transmission line, thus, a request to remove the trees. 

The trees are part of a mile-long stretch of approximately 500 trees that visually separates the landfill from Moffett Park. Many of the trees are situated over or near a PG&E high pressure gas transmission line.

Tree Removal Area street view

PG&E applied for the tree removal in October 2011.  As a result of the City’s request for more information, a meeting was held with PG&E representatives on November 7 and PG&E officially responded to our information request in writing on November 21.

A 1965 easement provides PG&E with significant rights to do what is necessary to maintain its facilities, including tree removal.  Below is the locator map provided by PG&E as to the location of the 41 trees to be removed along Caribbean Drive between Geneva Drive and the Sunnyvale East Channel.

Tree removal Google Map

Of the remaining street trees flanking the north side of Caribbean Drive (from Mathilda to Geneva Drive), PG&E is evaluating those that are over or are in close proximity to the gas transmission line and will determine later if additional trees will need to be removed.

PG&E has agreed to replace the lost trees with new trees in an alternate location. City staff proposes the replacement trees be planted in the center median of Caribbean Drive. The exact number of trees to be replaced is still being negotiated.  The recommended replacement tree species includes Canary Island Pine and similar evergreen species. The new trees would provide visual screening of the landfill from the Moffett Park businesses.

PG&E is scheduling the removal of the trees in January 2012. Staff will continue to work with PG&E to mitigate the loss of the trees.

Winter Projects at Sunnyvale Golf Courses

Golf Course staff use the winter months to catch up on things they often don’t have time to complete during the summer months, such as: tree and brush trimming, drainage work, detail work like painting benches and replacing lost or damaged yardage markers out on the courses.

Since completion of the continuous cart path project at the Sunnyvale Golf Course, there were a few extra tasks still pending that will be worked on this winter. New concrete pads were just completed on several holes that will serve as locations for trash cans, spike brushes and ball washers. Most of the old pads were removed to facilitate the new cart paths. In November, staff completed the installation of new course yardage markers on the paths to assist golfers in knowing the proper yardage to the holes from the cart paths.

In a bit of a mixed blessing, the dry weather so far this winter has allowed staff to make good progress on these projects while play on the courses remains steady. The negative side is that because of the dry weather the courses are still requiring occasional spot irrigation at a time of year when irrigation is typically not needed.

Heavy Leaf Drop Season is Here!

During the first two weeks of heavy leaf fall this year, Street crews picked up approximately 825 cubic yards of leaf debris. At the same time last year, crews collected about 295 cubic yards. The reduction in street tree pruning over the past seven years, resulting in larger, fuller trees, and the wind storm early in the season, contributed to the dramatic increase in leaf debris in December.  During heavy leaf pick-up season the use of an extra sweeper unit helps to stay on top of the sweeping load. Other leaf pick-up crews are assigned, as necessary, to use brooms, loaders and dump trucks to deal with particularly heavy leaf areas. Generally, this effort is used selectively to best utilize available budgeted funds.

Sometimes residents complain that the street sweeper drives around the pile of leaves fronting their house. Street sweeping equipment is designed to pick up routine dirt, dust and litter, and cannot effectively pick up large piles of leaves. Another danger with piles of leaves is that they can hide items that can damage the sweepers themselves. This includes branches, cobbles, construction debris, raised gutters, and other large objects. Therefore, the driver will go around noticeable piles of leaves. Residents are allowed to put an unlimited number of 32-gallon containers of leaves and other compostable materials for pick up on garbage day. Though staff has provided this information to the residents for many years, there are still a number of complaints every year during heavy leaf drop season.

The pictures below illustrate the types of piles of leaves and other yard waste that are left in the street. Piles of leaves plug up the sweeper causing the driver to stop, disconnect the pick-up hose, unplug the tube, re-connect the hose, and then continue on the route.

Leaves piled at curb

 

Leaves piled around hazard cone

Extra effort in collecting leaves, as the need persists, usually continues well into February. As stated above, residents can help keep street sweeping on schedule, and the sweeping of normal leaves and debris accomplished by moving parked cars on sweeping days, not collecting leaves into piles, and not raking or blowing leaves from the yard into the street. Yard leaves and other organic debris should be collected into the yard waste bin, or additional 32-gallon containers, and left at the curb for collection on garbage collection day.

COMMUNITY DEVELOPMENT

Update on "Retooling the Zoning Code"

Staff held a study session with the Planning Commission on December 12 introducing the project and illustrating the difficulties in understanding, navigating, and administering the current zoning code. Staff showed examples of other cities’ zoning codes as well as preliminary mock-ups of improvements that can be made to our current code. Planning Commissioners emphasized the use of illustrations and flowcharts to help explain regulations and permit processes, and the use of the Web for ease of navigability. Overall, the Planning Commission is excited to tackle this project and is looking forward to more study sessions with staff. One member of the public also attended the study session.
A Web page has been created to keep the community updated on the progress of the project and will go live on January 1, 2012. The shortcut is: ZoningCode.inSunnyvale.com

Moffett Towers Update

Construction at the Moffett Towers site continues at a rapid pace. Tenant improvements for Microsoft, Hewlett Packard, and Motorola are ongoing. Additionally, site grading work for the last building and additional parking structure has begun. The final office building will be larger than the others at 330,000 square feet (existing buildings are up to 280,000 square feet). Construction of the new buildings should begin in early 2012.

New Below Market Rate (BMR) Homes Available Now

A number of new 2 and 3-bedroom BMR townhomes are available for sale now at the Fusion, Encinal, and Fair Oaks Collection developments in Sunnyvale.  BMR homes are available on a first-come, first-served basis to buyers who live or work in Santa Clara County, except for newly listed homes, for which Sunnyvale residents/workers have first priority for a 60-day period. Sign up on the online BMR interest list to receive current listings and program news by e-mail at:  BMRInterestList.InSunnyvale.com .

For further information or to apply for these programs, contact the Housing Division at:
408-730-7250 or housing@ci.sunnyvale.ca.us ,   BMR.InSunnyvale.com  or visit the One-Stop Permit Center at City Hall, located at 456 W. Olive Avenue, Sunnyvale, weekdays between 8:00 a.m. and 5:00 p.m. and ask for BMR Program staff.

Energy Upgrade Workshop in Sunnyvale on January 19

Make a New Year's resolution to reduce your carbon footprint and save money in 2012 by doing an "energy upgrade" on your home!  Staff of the Energy Upgrade California and Sunnyvale Home Improvement programs will provide a free public seminar in Sunnyvale on January 19, 7 p.m. at the Community Center (Neighborhood Room), 550 E. Remington Drive, to explain the rebates currently available to local single-family homeowners to reduce home energy and water use, make home interiors more comfortable, and lower utility bills.  The County is offering rebates of up to $800 on home energy assessments through March 2012, and rebates of up to $6,000 for the upgrades and retrofits are available from Energy Upgrade California. Testimonials from local homeowners who have completed energy upgrades are online at: www.youtube.com/sccenergyupgrades .

The Housing Division offers additional assistance for lower-income Sunnyvale homeowners: the Energy Efficiency Matching Grant of up to $5,000 for energy assessments and upgrades, which can be combined with the other available incentives. Contact Rich Gutierrez, Housing Rehabilitation Specialist, at (408) 730-7459 for more information, or attend the Sunnyvale workshop on January 19.

2012 Community Development Block Grant (CDBG) Sidewalk, Curb and Gutter Project in Eligible Neighborhoods

Purchasing has awarded a contract to JJR Construction, Inc. for $438,500 of concrete work, with a contingency of $83,616, provide approximately 31,000 square feet of sidewalk replacement and approximately 6,000 linear feet of curb and gutter, with approximately 3,000 square feet of topsoil backfill.  This project is funded entirely with CDBG funds allocated in the City's 2011 HUD Action Plan, plus a small remainder from the 2010 CDBG curb retrofits project. Housing Division worked with Engineering and Purchasing staff to get the project awarded and completed in time to meet the CDBG expenditure deadline of April 30, 2012, and to ensure compliance with CDBG requirements, such as federal prevailing wage and Section 3 contracting requirements.   

Onizuka

The LRA approved Amended Redevelopment Plan has been submitted to the U.S. Air Force for its review and issuance of a Record of Decision to conclude the BRAC planning process. The Homeless Assistance Submission (HAS) has also been submitted to the U.S. Department of Housing and Urban Development and the Air Force for their review. HUD approval is anticipated within three months, which is necessary for property transfers to occur.  The public benefit conveyance applications have been submitted: City application to FEMA for a one-acre expansion of Fire Station 5, and Foothill-DeAnza College Community Facilities District application to the Department of Education for an over 9-acre parcel. The Air Force is also finalizing the transfer of an approximately 4.4-acre site to the Department of Veteran Affairs. The two housing developers involved in the HAS will begin to hold several community outreach events about the affordable housing developments they have proposed for the Armory site, such as presentations at neighborhood association meetings, tours of some similar affordable housing developments in the area, and other community meetings.    

ENVIRONMENTAL SERVICES

Seven Sunnyvale Businesses Win State Recycling Awards

Seven Sunnyvale businesses were among 280 statewide to receive awards from CalRecycle (the California Department of Resources Recycling and Recovery). CalRecycle administers the Waste Reduction Award Program (WRAP), which each year offers California businesses and nonprofit organizations public recognition for their outstanding waste reduction efforts. Recycling Program staff provide technical assistance to help companies with their waste reduction and recycling programs.

Sunnyvale awardees include Cepheid, Infinera, JSR Micro, Juniper Networks, Lockheed Martin, NetApp and Yahoo!. Cepheid, Juniper, NetApp and Yahoo! are participants in the City’s new commercial compost collection pilot program. The new food scrap and compostables diversion programs are noted in the award statements.

Recycling Program Pilots Commercial Compost Collection

In response to demand from some of Sunnyvale’s largest employers, the Recycling Program kicked off a pilot commercial compost collection in May. More than 186 tons of compostable organic material has been collected from eight Sunnyvale companies, one produce market and a school. The Parks Division also uses one of the green bins to compost landscape trimmings from City Hall. Collections are performed by Specialty Solid Waste and Recycling, using a commercial garbage truck and driver after they complete their normal garbage collection route.

The pilot program is gathering information on collection and processing costs, the logistics of transferring collected materials to the compost facility near Gilroy, and effects on refuse collection revenues.  Recycling Program staff work with participants to identify efficiencies with the goal of finding offsets to keep customer collection costs neutral. Pilot program diversion and financial results will be evaluated in the context of the Zero Waste Strategic Plan, which is scheduled to be considered by Council in 2012.

Sewer Replacement/Rehabilitation Projects Update

Insituform Technologies, Inc., a City-hired contractor, recently completed a pipe lining project on Bidwell, Carson and Piedra Avenues in western Sunnyvale. The project consisted of lining approximately 2,100 linear feet of sewer mains on those three streets. The lining, known as Cured-In-Place Pipe (CIPP), is a fiberglass-type substance used to line the inside of piping to, in this case, make it less likely that tree roots can enter the pipes through the joints and decrease flow.  Staff determined that in the case of these three segments, lining was a more cost-effective measure than any other rehabilitation and/or replacement methods. 

KJ Woods recently broke ground on a sewer main line replacement project on Columbia, Frances, Madrone and Gascoigne Avenues. The project will replace approximately 3,775 linear feet of sewer mains on those streets, replacing aging infrastructure and redesigning sewer mains to greatly lessen the possibility of future overflows. All four segments currently have 6-inch sewer mains in place and those pipes are being replaced with the industry standard 8-inch pipe. One of the segments (Columbia Avenue) will even be redesigned to increase the grade to minimize the possibility of future overflows in an area that has been the site of several backups over the years. The project is scheduled to be completed by March. City staff understands that the construction activities may cause some disruption for residents in those areas. Streets will be posted at least 48 hours ahead of any construction activity and staff appreciates the ongoing cooperation of residents as the process moves forward.

In addition, approximately 2,560 linear feet of 27-inch sewer main on Borregas Avenue between Ahwanee Avenue and Persian Drive in northern Sunnyvale is set to be rehabbed by CIPP. The project is currently out for public bid. The project is scheduled to begin sometime in the spring and to be completed sometime in the summer.

All told, the City has completed or will soon complete approximately 8,400 linear feet (over a mile and a half) of rehabilitation or replacement of aging City sewer infrastructure.

FINANCE

2011 – The Year of Internet Sales Tax Proposals

This past year there has been a lot of legislative activity related to Internet sales tax proposals as Congress and state legislatures struggle with ways of requiring Internet retailers to collect and remit sales tax owed. Since 1992, there has been a great deal of opposition from brick and mortar retailers and state governments to the Supreme Court ruling that states cannot require sellers without a physical presence in their state to collect state and local taxes. However, the inequality between traditional retail stores and Internet retailers and the annual loss of revenue to state and local governments is now gaining the momentum needed from increased national attention to hopefully overturn the 1992 ruling.
Although estimates on how much revenue is lost each year are difficult to develop, in 2007, the State Board of Equalization projected that California cities and counties lost approximately $103 million annually from unreported online orders and another $172 million a year from unregistered out-of-state purchases by businesses. Responding to increasing pressure, Congress is considering several federal Internet sales tax bills which would allow states to impose sales or use tax collection requirements on remote online sellers. Regardless of whether federal legislation is enacted, California will get partial relief in 2012 when AB 155 (Calderon) goes into effect.

As negotiated with remote retailers, AB 155 gives a one-year reprieve from previously adopted ABx1 28 which required in-state affiliates of remote sellers to collect sales and use tax. The bill also softened the previous threshold requirement for collecting the tax from vendors with annual sales of $500,000 or more to $1 million or more. The bill becomes effective if no federal legislation is enacted by July 31, 2012. The effective date gets extended to January 1, 2013 if federal legislation is enacted but not implemented by California.

It’s Not Just the Shopping Malls That Are Busy This Time of Year!

It is that time of the year, when all is quiet except for shopping malls and the On-Call Collection Program offered as part of the residential Choice Collect Garbage and Recycling Service.  The On-Call Collection Program provides Sunnyvale residents of single family, duplex, triplex and mobile homes an opportunity to have extra garbage and bulky items picked up curbside twice per calendar year at no additional charge on a "use it or lose it" basis.  The service requires residents to make an appointment on their regular service day by calling the Utility Billing Customer Service line. 

On average, the City handles approximately 20 on-call collection work orders a day. While many City operations are quiet over the holiday, the City's Utility Billing and Specialty Garbage and Recycling staff are handling up to twice the average on any given day as residents try to use their last collections for the year.  

INFORMATION TECHNOLOGY

Comcast Franchise Agreement Renewal

In late November, the City was notified by Comcast that it had sought and received a state franchise agreement for cable and video services in the Sunnyvale area. The City’s existing Memorandum of Understanding (MOU) with Comcast (entered into on December 28, 2007) extended the terms of our 1990 Cable Television Franchise Agreement until December 14, 2011.

Franchise fees and customer service standards will not change; the City will continue to receive a franchise fee and funding for Public, Educational and Governmental (PEG) channels, based on gross revenues as defined in the California Public Utilities Code. In the prior MOU, however, PEG fees were calculated based on 40 cents per month per subscriber; under the state franchise, they will pay 1 percent of gross revenues – this will likely be an increase over what the City was receiving under the MOU.