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11/10/1999 - Packet • AGENDA • TIGARD LIBRARY BOARD WEDNESDAY, NOVEMBER 10, 1999 - 7:00 P.M. TIGARD PUBLIC LIBRARY - TOWN HALL 13125 SW HALL BLVD. TIGARD, OREGON 1. CALL TO ORDER Chapman 2. ROLL CALL: BECK BRAUN CHAPMAN HOKLIN IRWIN KASSON _ TOLLIVER_ 3. Approve Minutes of October 14 1999. Cha PP � man P 4. Call to the Public. Chapman 5. Board Communications. All (Reports from Board members on community and citizen activities) 6. Monthly Report ort for October 1999. Sisson 7. Friends of the Library Report. Sisson 8. CLAB Report. Sisson 9. Further Discussion of Community Foundation Concept: Sisson • Tigard Area Community Foundation • Oregon Community Foundation 10. Update on WILInet (Polaris). Sisson 11. Report from Library Expansion Committee. Chapman/Sisson 12. Nominations and Elections. All 13. Other Business. 14. Adjournment. TO ENSURE A QUORUM TO CONDUCT BUSINESS, PLEASE CALL CONNIE MARTIN OR MELINDA SISSON AT THE LIBRARY (684-6537), IF YOU ARE UNABLE TO ATTEND. TIGARD LIBRARY BOARD October 14, 1999 MINUTES Call to Order: 7:00 p.m., by Vice-Chair, David Chapman. Roll Call: Larry Beck, Anne Braun, David Chapman, Lonn Hoklin, Nancy Irwin, and Ken Tolliver. Staff: Melinda Sisson. Director introduced Sydney Sherwood and Conrad Pearson of Pearson Financial Group representing the Tigard Area Community Foundation. Sherwood and Pearson will give a presentation later in the meeting. Minutes: Beck moved to approve minutes of September 9, 1999, seconded by Braun. Motion passed unanimously. Call to the Public: None. Community Feedback: Beck raised question regarding what happens when a patron doesn't return materials that have been placed on hold. Board discussed. Presentation on the Community Foundation by Conrad Pearson and Sydney Sherwood: Director introduced Sydney Sherwood and Conrad Pearson of Pearson Financial Y Y representing the Tigard Area Community Foundation. Pearson discussed their role and services available in providing ongoing maintenance, support and resources for a library foundation. Pearson expressed that the foundation will have full control over its funds. Donors can earmark funds to specific organizations. Pearson also explained ways a foundation can give back to its community. Board discussed suggestions, questions and comments. Director and Board will continue to review this form of "fund raising" for the library. Board Communications: Chapman reported that he and Kasson have discussed and suggested that Board members have more interaction with topics on the agenda. Board discussed activity involvement. Agenda Additions/Deletions: None. Reports: September Monthly Report: September was an extremely busy month for hiring. Craig Carter was hired as the evening and weekend Circulation Supervisor. Circulation staff continues to fill vacancies. The three remaining library assistant positions will be interviewed in October. The library also welcomed Sandra Birkner to fill the new Technical Services Cataloging Librarian position. The library is still in the process of recruiting for the Tech. Services Division Manager position. Not a lot of activity with Polaris. Katherine Blauer, Gaylord President, met with Library Directors and PARC to present information about the reorganization of Gaylord and their efforts to provide greatly improved service and product. Traditionally September is a slow month for circulation. Libraries should see an increase in activity after the reinstatement of fines on October 18th and the renewing of materials to avoid fines. The Book Donation Policy is under review as are the procedures. It was found that the majority of donations did not meet criteria for library collection development and/or for the Friends of the Library book sales. The library will implement a public education process to encourage donation of items that meet the criteria of Fiction, Non-Fiction not older than two years, children's books, videos, paperbacks, and books of local interest and history. All patrons will be encouraged to drop off donated items Thursday afternoons in the lobby of the library or call ahead to make an appointment for staff to review. Staff will evaluate the new process after a few months and recommend changes. Staff also reviewed the Exhibits/Display Use Policy. Two forms have been created to provide a more consistent approach for the community wanting to display information and collections. An application to display/exhibit materials form must be completed. Once approved, a display/exhibit insurance form will be required. Items may be displayed no longer than a month and must meet the criteria in the Exhibits and Distribution of Materials Policy. The revised policies will be submitted to the Board for adoption in December. Adult Services Librarian, Kate Miller, has secured five authors for the November 19th Gala event of the Adult Reading Program. An American Library Association Live. At the Library grant was awarded to TPL to help pay for authors that make appearances at Adult Reading Program events and Book Discussion Club meetings. The 1999 Ready to Read grant application has been submitted to the State Library. Friends of the Library Report: A group has come forward and is looking at forming a new Lion's Club in Tigard. The group has offered to manage the Friends of the Library book sale, with all the proceeds continuing to go to the Friends. Friends will discuss. The Friends are getting ready to send out the annual solicitation letter. CLAB & PARC Report: PARC (Polaris Acceptance Review Committee) has officially disbanded as they have completed their acceptance review responsibilities. After reviewing all information, WCCLS Director, Eva Calcagno, worked up scenarios complete with costs for the Gaylord contract amendment. At the last PARC meeting, representatives from the County Counsel's Office and the Assistant County Manager met to discuss the four scenarios identified as: 1) If everything had gone as planned . . ., 2) Conditional Acceptance Proposal, 3) Gaylord is in Breach of Contract, and 4) No Clear Breach, but still Termination. After lengthy review of all scenarios, it 0 was decided to accept Polaris with an amendment to the contract, tying in payments for when products are delivered. Set dates will be identified and if not met, payments will be deducted from current cost and future versions. All parties involved with the decision supported the County's recommendation to negotiate an amendment. Library Expansion Committee: The Committee met on October 5' and discussed their thoughts on several areas. Director and Committee is currently working on the actual RFP (Request for Proposal) for the programming and design. After all proposals are reviewed, the final three or four candidates will be interviewed. Some concerns raised were the wetlands restrictions and parking. Staff will meet with City planners. The firm chosen will conduct a site development review, meet with library staff to develop a program and design the new addition. Meeting Date for November 1999: The next regularly scheduled meeting is Thursday, November 11th. This just happens to fall on a national holiday, Veteran's Day. Director asked the Board if they would like to cancel the meeting or meet on Wednesday, November 10'. It was decided the. Library Board will meet on Wednesday, November 10th, in the Town Hall. Other Business: Director announced that Chair, Sue Kasson, has asked to step down from her responsibilities as Chair of the Tigard Library Board. Kasson has expressed interest in stepping down to Vice-Chair position. Chapman expressed interest in moving up to the Chair position. Once a formal letter is received from Kasson, election of officers will take place at the November meeting. Adjournment: It was moved by Irwin, and seconded by Braun to adjourn the meeting at 9:10 p.m. Motion passed unanimously. hAdocs\conNeNboard\brdmin.doc MEMORANDUM TO: Bill Monahan, City Manager FROM: Melinda R. Sisson, Director of Library Services DATE: November 10, 1999 SUBJECT: Monthly Report, October 1999 Library Expansion: The Library Expansion Committee held its first meeting on Oct. 5 to discuss the scope of the library expansion project and to develop a timeline for the process. A Request for Proposal was issued on Oct. 15 with a deadline of Nov. 10. Over 50 RFP packets followed by two addenda and an information sheet were mailed out. A pre-proposal conference held on Oct. 26 was attended by approximately 15 interested firms. The Committee met again on Nov. 2 to discuss the evaluation of proposals and subsequent interviews. The next meeting of the Committee is Nov. 15. Firms will be selected for interviews at this meeting. Interviews are scheduled for Sat., Nov. 20. The target date for adoption by City Council for library programming and architectural design is Dec. 14. Make a Difference Day: And what a difference these special volunteers made. Boy Scout Troop #523 dusted the tops of all the book stacks and light fixtures, then moved on to other surfaces such as the revolving book shelves holding the Books-on-Tape. Two other volunteers dusted all the stacks in the Young Adult area, behind, below and above the books. Other teams tackled the Juvenile and Adult Biography Collections, and the Northwest Collection, a perennial favorite and perennial disaster area. A team of Tigard High AKT Now Club volunteers placed a nonskid shelf tape on shelves in the Children's Room. If you've ever seen toddlers pulling books from shelved by the dozens, you can appreciate how much this tape may help slow down this form of circulation! The fourth team, the Niche Nixers, went to Niche storage garage and boxed up 14 boxes of National Geographics (to be routed to Goodwill), 4 boxes of books to go to our Book Recycler, 10 boxes of books to come to the Library for the Lobby Sale, and 1 box of magazines to go into paper recycling. Phew! Twenty-one volunteers were thanked with a Certificate of Appreciation and a small gift. Personnel: Another round of interviews has yielded a dynamic trio to fill the majority of our remaining openings in Circulation. Elizabeth James worked for us last summer and we are delighted to have her back. Elizabeth (Elisa) Walker comes to us from the Teacher Support Center for Portland Public Schools and has experience working in the library at St. Agatha's School. Kathy (Kat) Vincent worked at the Tualatin Library and in the Planning Dept. for the City of Tualatin in the early 90s. For the past few years she has worked in real estate, but wanted to return to her first love — libraries. And at the end of October, we made a conditional job offer for the remaining part-time Temp. Library Assistant vacancy. Craig Carter began as the new night/weekend supervisor on Oct. 10 and has already proposed some innovative changes. Sandy Birkner began as the new Cataloging Librarian on Oct. 25 and immediately began working to document the new TS processes required by Polaris. Polaris: Member WCCLS libraries began charging fines on Oct. 18. Overall, it seems to be going well. Fines collections have risen from about $35/day to about $100/day. The Library Directors Board voted to implement a one-day grace period to solve the problem with bookdrop check-in (a function not yet available on Polaris). A number of reports on items that are "missing in action" have been requested. These include items with the status of lost, claimed returned and missing, as well as items that are long overdue. A crew of staff and volunteers are searching for these items and are finding a small percentage. Other clean-up efforts have also been implemented. A special error test was conducted Oct. 19-20 that involved TPL staff carefully recording errors identified during the testing period. WCCLS then compiled the results to present an accurate picture of the volume of errors we are still experiencing in the current release of Polaris software. Another glitch was discovered that affects when acquisition orders may be released in Polaris. Amy continues to build new orders, but must now release them before 9:30AM only. The Acquisition PO release process blocks other users (as documented during the 10/19-20 tracking of hang-time and error messages for WCCLS). This has really slowed an already slow process. When acquisition orders are delayed the library risks being able to fill the orders because of limited print runs by publishers; many items are placed on back order. LDB and CLAB have both endorsed the recommendation of WCCLS and County Counsel to develop a contract amendment with Gaylord Information Systems. During the month of Oct., each library submitted a detailed report of estimated (Polaris caused) fine and fee loss, staff overtime, unrecoverable materials and overall reduction in circulation (see attached). A sub-committee of LDB developed a number of charts to demonstrate the overall impact of Polaris on WCCLS libraries. This information will be forwarded to County Counsel as supporting material for the contract amendment. It is j the goal of WCCLS that the contract amendment will result in a working automated system, that new releases will be delivered on time and that WCCLS will only pay what is reasonable and fair. Negotiations for the contract amendment should be completed before the end of the year. New software releases are due in January and March 2000. Youth Services: Teresa reports that materials collected for the Tigard Homeless Shelter (now the Good Neighbor Center) were well received. A letter of thanks is attached. Teresa helped host the kick-off session for a 7-week program called "How to talk so kids will listen and how to listen so kids will talk." Thirteen adults registered for the program. A parent from the community contacted the library and offered to present this series. Her interest in sharing this program with other parents stems from the recent violent incidents in schools across the country and in Springfield, OR in particular. Book Donation Guidelines: The book donation guidelines were completely revised and copied for distribution. A team of staff worked together to review the current guidelines and find a way to streamline the process. Volunteers have been found for a 2-hour shift on Thursdayafternoons to accept donations and manage the Friends Lobb Book Sale. P 9 Y • 0 Another Volunteer has been recruited to help with assessing donated books for addition to the library collection. Flyers have also been affixed to the donation box located at the Niche. Friendly Visitor Program: Six new Friendly Visitor patrons were matched with new Friendly Visitors. Twelve Visitors currently bring materials to 22 patrons every three weeks. Increased Demand for Internet: Reader's Services staff are reviewing the number of computers dedicated to the Internet vs. the number of computers available for accessing other research databases. The electronic resource center (ERC) has some databases that are subscriptions via the Internet and could. easily be converted to full Internet and Polaris access. Some patrons have already discovered a "back door' to the Internet from the Information Access databases by opening "bookmarks." A number of policy and staff issues are under discussion. A recommendation is anticipated by the first of Dec. In the mean time, Network Services is assisting us in determining how to lock down the recently discovered "back door'. In the month of October, 10 Internet classes were held with 23 participants. Adult Reading Program: The ARP program kicked off on Oct. 4. Kate, Teresa and Erik book talked to an enthusiastic crowd. A total of 42 people attended. While overall registrations are down from last year, they continue to grow steadily (currently 170). When contacted, former participants gave the following reasons for not signing up: hadn't been to the library lately, had been on vacation; was waiting to see it advertised in Cityscape. One participant said that his family now has the Internet at home, so they don't spend as much time in the library. Spanish Language Classes: Twelve ("doce") staff are taking an in-house Spanish class — 8 of them are from Circulation, 2 are from Technical Services and 2 from Readers Services. The teacher is great because she includes cultural information that we wouldn't get in a formal classroom setting. She emphasizes conversational Spanish, but also points out specific things Bobby and Dianne might run across in cataloging. Marin has been enrolled in a different Spanish language class for the last few months. LINCC Conference: The Library Information Network of Clackamas County sponsors an annual one-day conference for librarians and support staff. A number of TPL staff had the opportunity to attend. Favorable comments were made by all (see attached reports). • Volunteers: Volunteer Type Number Hours Regular Volunteers 79 683.50 Youth Services 13 101.50 Local History 1 4.00 Adopt-a-Shelf 1- 1.00 Library Board 6 12.00 Community Service 1 1.50 Friendly Visitors 4 31.00 Homework Center 7 69.50 Teen Idea Group 6 6.00 Make a Difference Day 21 52.50 Total 139 962.50 = 5.6 FTE WORK INDICATORS mjOCTOBER 1999 OCTOBER"8. OCTOBER 1997 W Circulation Total (from WCCLS) 46,453 N/A N/A Adult Materials 25,755 Juvenile Materials 29,279 Total 55,034 Days of Service 28.5 29 29 Average Daily Circulation 1,898 Hours of Service 279 287 302 Materials Circulated per Hour 182 Increase in Circulation 14.8% Materials Added 1,034 232 1,531 Withdrawn 227 15 1,256 Borrowers Registered .* 377 Adult Programs 53 126 N/A (Number of sessions) (15) (16) Story Time 167 223 781 (Number of Sessions) (7) (15) (23) Toddler Time 146 168 203 (Number of Sessions) (8) (8) (11) Special Programs 555 578 138 (Number of Sessions) (.19) (18) (4) Children's Computer 84 43 N/A Word Processors 267 48 N/A Internet Users 1,799 1,574 557 Visitors (Gate count divided by 2) 20,261 21,796 22,554 Increase in Visitors -0.7% -0.3% 34% Fines/Fees Collected $1,731.66 $303.18 $5,161.66 Gifts Received $ 0.00 $ 0.00 $ 0.00 No statistical report from WCCLS was generated. COMMUNITYAcTION OFGANIZATION 1001 SW Baseline St. • Hillsboro,OR • 97123 • Main(503) 648-6646 • Client Assistance(503)648-0829 • Fax (503)648-4175 October 22, 1999 City of Tigard 13125 SW Hall Boulevard Tigard, OR 97223 Dear Friend, Thank you for your gift of books to Community Action Organization's Good Neighbor Center. Your gift will assist many families who need housing and support as they work to gain self- sufficiency. Let me tell you about one woman who recently stayed at the shelter. She said if she hadn't had the shelter to come "home"to one day after an unexpected confrontation with her past, she would have gone to a bar thinking no one cared. She came from an abusive situation and told our shelter staff how"it felt so good to be able to (come) "home"to a safe place and know people would support her and care about her." She recently got a job and wants to sign up to finish her college degree. The Good Neighbor Center shelter is just one of the many ways Community Action is working with you and other supporters to assist low-income people in Washington County. Each day our organization serves hundreds of families participating in our many programs, whether it's Head Start, childcare assistance, maternity support, or emergency assistance. These are made possible through supporters like you. On behalf of our board of directors, staff, and volunteers, thank you for partnering with us to help our neighbors in need. Sincerely, Jerralynn Ness Executive Director Please retain this letter as receipt of your gift. No goods or services were obtained in exchange for this gift. Your gift is tax deductible as defined by law. Board of Directors:Dan Aberg . Deena Barrett • Leroy Bentley • Mayor Ralph Brown • Commissioner Tom Brian • Councilor Fvelyn Brzczinski Kim Carlson Mayor Rob Drake • Margaret F.ickmann Mayor Gordon Faber . Councilor Darlene Greene • Richard I lager . Crai;Kinnie • Marin Lorcdo Mayor Lou Ogden • Toni Pavloff Katrina Pirkle Sydney Sherwood • Alfredo Solares-Vega . Dick Stenson . Representative Ken Stroheck • Melanie%Vistas Executive Director:Jerralynn Ness QA United Way Agency POLARIS IMPLEMENTATION COSTS Actual Anticipated Actual Difference Percent Circ =98. " CircY98=99 Circ 98 99 f' Difference 97 D p Annual circ 97-98 X Antici ated p e average increase in circ 98-99- circ countywide actual circ 96-97 to 97-98 (5.7%) = 98-99 = BANKS 20,229 21,382 18,547 1,153 -13.3% BEAVERTON 1,258,252 1,329,972 1,161,556 168,416 -12.7% CEDAR MILL 730,493 772,131 683,793 88,338 -11.4% CORNELIUS 47,636 50,351 42,207 8,144 -16.2% FOREST GROVE 226,867 239,798 2pq,443 3 ,355 �2o -15•Z-�o • GARDEN HOME 38,591 40,791 48,914 0 0.0% HILLSBORO 1,255,958 1,327,548 1,136,217 191,331 -14.4% SHERWOOD 101,240 107,011 100,296 6,715 -6.3% TIGARD 634,812 670,996 577,108 93,888 -14.0% TUALATIN 224,329 237,116 202,217 34,899 -14.7% WEST SLOPE 179,038 189,243 159,662 29,581 -15.6% TOTALS 4,717,445 4,986,3391 4,360,960 631,821 -12.5% OTHER TRENDS AND FACTORS: • -Internet Usage -Circulation down nationally, especially non-fiction -Conversion to new systems always decreases circ Note: In FY97-98, renewals accounted for 16% of total circulation; libraries were unable to renew on Polaris from Aug. 98-Feb. 99. 10/27/99 POLARIS IMPLEMENTATION COSTS Unrecov Mats Lost Materials$ Lost Fines and Fees,.$ Extra Persortn.el $ Other TOTALS r �..�r 2.uAS• } '�; '�' a4 msg + clms retd + unrecovered mats collw ected 97 98':+;%inc ove�time,payments+ acquisitions D clms nvr had+ 5% normal loss from FY96 97 to 97-98= overybuddet personnel, system D long od [ovr 210 days rate X av item anticipated revenues line items`+ additional, purchase n - (8/1/98-10115/99)] - cost($17)- _ 98-99`.actual, revenues $lost BANKS 132 ! $ 2,132 $ 800 $ 1,400 $ - $ 4,464 BEAVERTON 5,002 $ 80,782 $ 115,401 $ 7,558 $ - ! $ 208,743 CEDAR MILL 2,003 1 $ 32,348 $ 70,819 $ 18,200 $ - + $ 123,370 CORNELIUS 683 ! $ 11,030 $ 4,418 $ - $ - $ 16,131 FOREST GROVE 1,577 $ 25,469 1 $ 2,000 $ - j $ 2,000 $ 29,046 i GARDEN HOME 132 $ 2,132 1 $ 1,915 $ 4,050 $ - $ 8,229 HILLSBORO 5,086 1 $ 82,139 $ 83,252 $ 33,726 $ - $ 204,203 SHERWOOD 330 1 $ 5,330 $ 4,000 $ - $ - $ 9,660 I ' TIGARD 2,086 $ 33,689 $ 65,360 $ 8,000 $ - $ 109,135 i TUALATIN 890 $ 14,374 $ 28,680 $ 5,297 $ - $ 49,241 WEST SLOPE 319 $ 5,152 $ 10,000 $ - $ - $ 15,471 TOTALS 18,240 1 $ 294,576 $ 386,645 $ 78,231 $ 2,000 1 $ 761,452 ' 1 I 10/27/99 POLARIS IMPLEMENTATION COSTS 9 00 Loans to Borr from Actua Loans to Bort from Actual Net Lender Libs W/I Sh,SY , Libs,yv/i Sh'Sy�s fN ra s s Libel°Sh Sy r w/i S S �s et Tr ns Reimburse. 97-98 97 98 , r 97 8 98 9* 8 99 9 .99 Loss $ ttt. .. . Ne, tax - .w a, �• s,..z . from OSL report i from OSL report loans - from OSL report from OSL report loans - actual 97-98 items items minus actual borrowed = borrowed = 98-99 net loans BANKS 2,131 6,1341 0 3,658 4,275 0 $ - BEAVERTON 87,994 78,922 9,144 51,691 50,059 1;632 $ 7,512 CEDAR MILL 50,624 37,898 12,810 31,770 24,075 7,695 $ 5,115 i CORNELIUS 9,411 5,541 3,889 5,376 3,681 1,695 $ 2,194 FOREST GROVE 29,183 24,325 4,970 18,033 16,028 2,005 $ 2,965 GARDEN HOME 6,698 3,902 !! 2,802 5,958 4,260 1,698 $ 1,104 i HILLSBORO 84,201 78,613 5,772 51,846 53,848 0 ! $ 5,772 SHERWOOD 6,417 14,801 0 5,920 10,447 0 $ - TIGARD 52,239 ! 39,761 12,530 30,634 25,336 5,298 ; $ 7,232 TUALATIN 29,111 1 22,351 6,763 14,604 16,963 0 $ 6,763 I WEST SLOPE 15,382 !, 22,599 0 9,812 11,370 0 $ - TOTALS 373,391 1 334,847 58,680 229,302 220,342 20,023 $ 38,657 `close estimates Grand Total: $800,109 i �I 1 10/27/99 OCT-28 .-�9 16:45 FROM:000P LIBRARY SVCS 503-591-0445 TO:TPL PAGE:01 0 FAX INumber of pages including cover sheet S TO: FROM: Washington County Cooperative Library Services P.O. Box 5929 Phone Aloha, OR 97006 Fax location: 97880 SW Blanton Street Phone 642-1544 L Fax 591-0445 REMARKS: YV -s5A: 4 OVA a/If-p- an't Low 4ZAmr- U- @CT-26-*99 16:45 FROM:COOP LIBRARY SVCS 503-591-0445 TD:TPL PRGE:02 Cot 25 99 02: 56p Inr 9 azion Services 68J*102 P- 1 p"A�t7_, LIAM A of Pago:; I/ 03t!nnoto R107.1 ta To vo_ C,6_UAAt\ ,1 FA 0 ZI AT&T 81`084t)[111d A IrMIM S8rvIC98 Q.A.BOX 5630 Oenver,CO 80217-5630 Can fid wential Response-Do Not Disclose, Disseminate or Distribute Without the Prior Consent o A T&T Broadband& Internet Services July 20, 1999 Gary Ehrenfeld City of Hillsboro 181 SE Washington Street. Hillsboro, OR 97123 Re: Inquiry Regarding Year 2000 Readiness Dear Gary: Effective March 9.. 1999, TCT merged with AT&T and is now operating as AT&T Broadband & 11ACI-rieL Services ("AT&T BIS"). The entity you recently inquired about,'my Network Solutions, is incJuded in AT&T BIS' Year 2000 readiness program. According to many commentarcits, the arrival of dic'Year 2000 will present far-reaching challenges for niost members of the business community. We have recognized the areas of our business operations which may beinipacted by the Year 2000 and are working to ready our company in a thoughtful and orderly manner. Attached is information about specific areas of AT&T BIS' Year 2000 program. Please note that all Year 2000 stiitenicnts r.nntiin(,.d in rhic lertf-.r and the enclosed statement are hereby denorninated as "Year 2000 Readiness Disclosure" within the meaning of the Year 2000 Information and Readine.,o; Disclosnre Act. We value our customers and thank- you for your intcrcso in our company. Sincerely, Debra A. Watkins cc: Andy 'Beecher (TC1 Network Solutions) 99 16:45 FROM:COOP LIBRARY SVCS 503-591-0445 TO:TPL PRGE:03 Oct 25 SS 02: 58P I n�rftation Services 68102 P. 2 AW AT&T Broadband & Internet Services ("AT&T BIS" formerly operating as TCf AT&T BIS and the Year 2000 In 1999, AT&T BIS launched an enterprise-wide, comprehensive program to assess and remediate its critical devices and systems for Year 2000 ,readiness. AT&T BIS established a Year 2000 Program Management Office (the "PMO") to organize and manage its Year 2000 readiness efforts. The PMO created a four-phase approach of assessment, remediation, testing and implementation to systematically determine and achieve readiness. All Year 2000 reporting is documented through the PMO, 'which compiles the information and conveys it to AT&T BIS senior management for evaluation of the company's progress both by entity and as a whole. The PMO is currently comprised of over 300 employees and contractors dedicated to the Year 2000 program. Please refer to the areas outlined below for information about specific arm of AT&T BIS' Year 2000 program. This statement is dated as of July 1, 1999. For updates, you may access the latest information filed with the Securities and Exchange Commission. (filing undei Tele-Communications, Inc. and AT&T Corp.) or visit the Year 2000 page on our website at www.tci.corn. 9 Addressable Controllers Addressable Controllers are PC based systems that control set-top box authorizations to establish, discontinue or change subscriber services. In its systems beneficially owned or managed as of June 1, 1999, AT&T BIS has upgraded or replaced all non-compliant addressable controllers and does not anticipate any non-routine interruptions to its authorizations process. * Antenna Towers Me antenna towers owned by AT&T BIS (through 'WTCI) do not have components that process date data and, therefore, should not pose any Year 2000 issues. * Cable Service Continuity AT&T BIS does not anticipate any non-routine interruption of service to its customers due to the arrival of the Year 2000. Please note, however, that the continuity of cable service and other services is dependent on many factors beyond AT&T BIS' control such as continued availability of power sources and programming services. AT&T HIS is addressing identified risks associated with third party suppliers through its contingency planning efforts. ?IX:reale ldents Coll lairied herein fire denominated as "Iear2000 Readiness Disclosures" within the meaning of the Year 2000 Information and Readiness Disclosure Act. 07/01/99 OGT-2E -�)9 16:45 FROM:COOP LIBRARY SUCS 503-591-0445 TO:TPL PAGE:04 Oct 25 99 02: 58p Info ation Services 68102 P. 3 0 Contingency Plans AT&T BIS is preparing comprehensive contingency plans and procedures for its mission critical processes, systems and equipment that have a potential risk of failure due to Year 2000 date errors- These plans and procedures include, but are not limited to, implementation of preparatory actions and procedures to reduce the severity of any potential system failure and the use of on-call staff to handle any system failure and communication requirements. Responses to actual failures may include, but not be limited to, short-term suspension of 12 - activities, "manual work-arounds," and reliance on third party vendors and suppliers. AT&T 0 BIS is working with its critical business partners to establish the availability of critical support elements. * Costs of Readiness AT&T BIS currently estimates that its costs associated with the Year 2000 will be approximately$136 million. 9 Customer Billing Systems AT&T BIS outsources its customer billing to CSG Systems, Inc. CSG's billing systems are undergoing end-to-end testing which is scheduled to be completed in the third quarter of this ' year, at which time it is anticipated that the customer billing systems will be found to be: Year 2000 ready. * DMX(music) DMX has completed the remediation and testing of its customer-impacting systems and expects to complete Year 2000 work on the remainder of its systems in the third quarter of 1999. 9 Embedded Chips AT&T BIS is upgrading or replacing those devices and systems with embedded chip technology that have been classified as non-compliant and which impact delivery of services to subscribers or pose a risk of bodily injury or property damage. Such devises and systems may include signal processing equipment in cable headends, heating, ventilation and air conditioning systems, elevator systems, security systems and uninterruptible power supplies. 0 Emergency Alert Systems Based on Emergency Alert System (EAS) test results obtained from the Society of Cable Telecommunications Engine= in May 1999, in which all cable FAS equipment vendors demonstrated Year 2000 readiness, AT&T BIS believes its Emergency Alert Systems will be Year 2000 ready. The statements contained h"6n am denominated as "Year 2000 Re4dinem Di5doqurrs" u4thin Wx meaning of the Year 2000 Information and Readiness Disclosure Act. 07/01/99 C`T-EO 99 16:45 FROM:COOP LIBRARY sues 503-591-0445 TO:TPL PAGE:05 Oct 25 53 02: 58p Info 0Tion Services 6131 2 p. 4 AW • Satellites The manufacturers and operators of the satellites used by AT&T BIS in its business operations have issued statements indicating that they expect to achieve Year 2000 readiness in the third and fourth quarters of 1999. • Set-top boxcs Many set-top box models do not process date data, therefore, AT&T BIS believes that the majority of its set-top boxes are Year 2000 ready. In certain cases, firmware upgrades may be needed. If firmware upgrades arc required, they will be implemented by dowrdoadirng the necessary software to the box through the cable systems. As with other periodic modifications, the performance of such upgrades should not be apparent to customers. • Televisions Televisions should not be affected by Year 2000, however, please contact the manufacturer for information regarding the Year 2000 readiness of specific models. • Timeline In its systems beneficially owned or managed as of June 1, 1999, AT&T BIS expects its "customer-impacting" systems to be Year 2000 ready in the third quarter of this year. Customer-imparting systems include anything that affects AT&T BIS' ability to provide service to its customers. • VCRs VCRs may experience Year 2000 prublems in their ability to time-record but this should not affect cable reception. Please check with the VCR's manufacturer for information regarding the Year 2000 readiness of specific models. • Vendors and Service Suppliers AT&T BIS continues to investigate and monitor the Year 2000 readiness status of its vendors and suppliers. The majority of critical vendors have declared their products to be Year 2000 ready, and ongoing review of readiness claims is in process, through direct testing and test evaluation. Non-compliant products have already been replaced or are scheduled for replacement prior to December 31, 1999. The statements contained herein are denominated as "Year 2000 Readiness Disclosures" tuithin.the meaning of the Year 2000 Information and Readiness Disclosure•Act. 07/01/99