Chapter 5.24
CABLE TELEVISION

Sections:

I.   TITLE

5.24.010    Short Title

II.   DEFINITIONS

5.24.020    Definitions

III.   GRANT OF FRANCHISE

5.24.030    Franchise Application--Form--Renewal

5.24.040    Franchise Application--Costs

5.24.050    Grant

5.24.060    Franchise Territory

5.24.070    Use Of Public Streets And Ways

5.24.080    Duration

5.24.090    Franchise Nonexclusive

5.24.100    Transfer Of Franchise

5.24.110    Transfer Of Ownership Or Control

5.24.120    Franchise Renewal

5.24.130    Annual Franchise Fee Payment

5.24.140    Fee--Acceptance By Grantor

5.24.150    Quarterly Payments

5.24.160    Fee--Failure To Meet Required Payment

5.24.170    Causes For Termination Or Liquidated Damages

5.24.180    Procedure Prior To Termination Or Assessment Of Liquidated Damages

5.24.190    Franchise Required

5.24.200    Establishment Of Franchise Requirements

IV.   REGULATION OF FRANCHISE

5.24.210    Regulatory Authority

5.24.220    System And Service Review

5.24.230    Annual Review Of Performance

V.   GENERAL FINANCIAL AND INSURANCE PROVISIONS

5.24.240    Construction bond.

5.24.250    Performance bond.

5.24.260    Indemnification.

5.24.270    Insurance.

VI.   DESIGN AND CONSTRUCTION PROVISIONS

5.24.280    System design.

5.24.290    Geographical coverage.

5.24.300    System construction schedule.

5.24.310    Remedies for delay in construction.

5.24.320    Undergrounding of cable.

5.24.330    Undergrounding--New development.

5.24.340    Undergrounding--Multiple-dwelling units.

5.24.350    Street occupancy.

5.24.360    Grantee’s property--Removal.

5.24.370    Grantee’s property--Abandonment in place.

5.24.380    Construction standards.

5.24.390    Technical standards.

VII.   SERVICE PROVISIONS

5.24.400    Services to be provided.

5.24.410    Public access.

5.24.420    Services to public facilities.

VIII.   OPERATION AND MAINTENANCE

5.24.430    Records to be kept by grantee.

5.24.440    Records and property--Inspection by grantor.

5.24.450    Complaint records.

5.24.460    Local office required.

5.24.470    Subscriber complaints--Action by grantor.

5.24.480    Rights of individuals.

5.24.490    Continuity of service mandatory--Service interruptions.

5.24.500    Continuity of service mandatory--Change of grantee.

5.24.510    Credit for service interruption.

5.24.520    Grantee rules and regulations.

5.24.530    Tenant rights.

5.24.540    Subscriber survey.

5.24.550    Program services listing.

IX.   RIGHTS RESERVED TO THE GRANTOR

5.24.560    Right to purchase system.

5.24.570    Eminent domain.

5.24.580    Right of inspection of construction.

X.   RIGHTS RESERVED TO THE GRANTEE

5.24.590    Right of grantee.

XI.   FORCE MAJEURE

5.24.600    Grantee’s inability to perform.

XII.   REPORTS

5.24.610    False statements.

XIII.   MISCELLANEOUS PROVISIONS

5.24.620    Compliance with state and federal laws.

5.24.630    Separability of material provisions.

5.24.640    Separability of nonmaterial provisions.

5.24.650    Public notice.

5.24.660    Theft of services and tampering--Penalty.

5.24.670    Audit of financial records.

5.24.680    Captions.

5.24.690    Notice--Delivery.

I.   TITLE

5.24.010 Short title.

This chapter shall be known and cited as the "City of Greenfield cable Television Ordinance," and shall be referred to herein as "this chapter." (Ord. 322 §1, 1986).

II.   DEFINITIONS

5.24.020 Definitions.

For purposes of this chapter, the following terms, phrases, words and their derivations shall have the meaning given in this section. When not inconsistent with the context, words used in the present tense include the future, words in the plural number include the singular number. The word "shall" is mandatory and "may" is permissive. Words not defined shall be given their common and ordinary meaning.

1.    "Basic cable service" means any service tier which includes the transmission of local broadcast signals.

2.    "Broadcast signal" means a television or radio signal that is transmitted over the air to a wide geographic audience and is received by a cable communications system off-the-air or by microwave.

3.    "Cable communications system" or "CATV system" means a facility consisting of a set of closed transmission paths and associated signal generation, reception and control equipment that is designed to provide cable service which includes video programming and which is provided to multiple subscriqers within a community, but such term does not include (a) a facility that serves only to retransmit the television signals of one or more television broadcast stations; (b) a facility that serves only subscribers in one or more multiple unit dwellings under common ownership, control or management, unless such facility or facilities uses any public right-of-way; (c) a facility of a common carrier which is subject, in whole or in part, to the provisions of Title II of the cable Communications Policy Act of 1984, except that such facility shall be considered a cable system (other than for purposes of Section 621(c) of the Cable Communications Policy Act of 1984) to the extent such facility is used in the transmission of video programming directly to subscribers; or (d) any facilities of any electric utility used solely for operating its electric utility systems.

4.    "Channel" means a portion of the electromagnetic frequency spectrum which is used in the cable communications system and which is capable of delivering a television channel (as television channel is defined by the Federal Communications Commission by regulation).

5.    "Commence construction" means that time and date when construction of the cable communications system is considered to have commenced, which shall be when the first strand or cable is connected to a utility pole, or the first undergrounding of cables is initiated, after preliminary engineering (strand mapping) and after all necessary permits and authorizations have been obtained.

6.    "Commence operation" means that time and date when operation of the cable communications system is considered to have commenced, which shall be when sufficient distribution facilities have been installed so as to permit the offering of full service to at least ten percent of the dwelling units located within the service area.

7.    "Council" means the governing body of the city of Greenfield.

8.    "Distribution cable" means the CATV line used to provide signals to the subscriber tap.

9.    "Drop" means the CATV line used to feed a signal to the customers location and TV receiver.

10.    "FCC" means the Federal communications Commission and any legally appointed or elected successor.

11.    "Franchise" means the nonexclusive rights granted pursuant to this chapter to construct and operate a cable communications system along the public way within all or a specified area in the city. Any such authorization, in whatever form granted, shall not mean and include any license or permit required for the privilege of transacting and carrying on a business within the city as required by other ordinances and laws of the city.

12.    "Franchise agreement" means an agreement between grantor and grantee, approved by resolution of the council, containing the specific provisions of the franchise granted, including any referenced specifications, franchise applications and other related material within such agreement.

13.    "Franchise fee" means the fee paid by grantee to grantor in consideration of the use of public streets and rights-of-way.

14.    "Franchise territory" means that portion of the city defined in the franchise agreement for which a franchise is granted.

15.    "Grantee" means any person receiving a franchise pursuant to this chapter and the franchise agreement and its lawful successor, transferee or assignee.

16.    "Grantor" or "city" means the city of Greenfield as represented by the city councilor any delegate acting within the scope of its jurisdiction.

17.    "Gross annual revenues" means all cash, goods, services, credits, property of any kind or nature, or other consideration received directly by a grantee arising from or attributable to the sale or exchange of cable services by a grantee within the city in any way derived from the operation of its system within the city including, but not limited to, basic service, monthly fees, optional service or pay cable fees, installation and reconnection fees, local advertising revenues, leased channel fees, and converter rentals. "Gross annual revenues" also includes any of the aforementioned revenues received directly by an affiliate, subsidiary, parent or other entity in which grantee has a financial interest, that directly and exclusively relates to the CATV system operation, provided that the gross annual revenues of such entities, including grantee, will not include revenue which has already been accounted for in calculating gross annual revenues. "Gross annual revenues" shall not include any taxes, fees or tariffs on services furnished by grantee imposed upon any subscriber or user by the state, city or other governmental unit, converter deposits, refunds to subscribers by the grantee, revenue from the sale, exchange or cablecast of any programming developed for community use or institutional users. Nor shall it include revenues for services which are provided at cost.

18.    "Initial service area" means the area of the city which will receive service initially, as set forth in the franchise agreement.

19.    "Installation" means the connection of the cable communications system from feeder cable to subscribers’ terminals and the provision of service.

20.    "Person" means an individual, partnership, association, organization, corporation or any lawful successor, transferee or assignee of said individual, partnership, association, organization or corporation.

21.    "Potential subscriber" means a member of the general public who has access to becoming a subscriber.

22.    "Public access channel" means any channel where any member of the general public or any noncommercial organization may be a user, without charge, on a first-come, firstserved, nondiscriminatory basis, in accordance with the terms of the franchise agreement.

23.    "Reasonable notice" means written notice addressed to grantee at its principal office or such other office as grantee has designated to grantor as the address to which notice should be transmitted to it, which notice shall be certified and postmarked not less than ten days prior to that day in which the party giving such notice shall commence any action which required the giving of notice. In computing said ten days, Saturdays, Sundays and holidays, recognized by grantor, shall be excluded.

24.    "School" means any educational institution including primary and secondary schools, colleges and universities, both public and private.

25.    "Section" means any section, subsection or provision of this chapter.

26.    "Service area" means the entire geographic area within the franchise territory.

27.    "State" means the state of California.

28.    "Street" includes each of the following which have been dedicated to the public or hereafter are dedicated to the public and located within the city limits: streets, roadways, highways, avenues, lanes, alleys, sidewalks, easements, rightsof-way and similar public property and areas.

29.    "Subscriber" means a member of the general public who receives broadcast programming distributed by a cable television system and does not further distribute it.

30.    "Tap" means the device which acquires signal from distribution line and interconnects the system to a customer drop.

31.    "Trunk cable" means the CATV line used to transport signals and is used to provide signal for the distribution cable. (Ord. 322 §2, 1986).

III.   GRANT OF FRANCHISE

5.24.030 Franchise application--Form--Renewal.

Applicants for a franchise shall submit to grantor written applications utilizing the standardized form provided by grantor, at the time and place designated by grantor for accepting applications, and including the designated application fee. This subsection shall apply to a grantee seeking renewal of a franchise provided, however, that the grantor may waive the requirement to provide any information that is unnecessary due to grantee’s status as a renewing franchisee. (Ord. 322 §3.01(a), 1986).

5.24.040 Franchise application--Costs.

An application fee in the sum of twelve hundred dollars which shall be valued in 1986 dollars, and which shall be in the form of cash, certified or cashier’s check, or money order, to pay the costs of studying, investigating and otherwise processing such application, and which shall be in consideration thereof and not returnable or refundable in whole or in part except to the extent that such fee exceeds the actual costs incurred by grantor in studying, investigating and otherwise processing the application. Grantee shall also, in addition to the franchise application fee, reimburse the city for the cost of publication of the ordinance within a newspaper of general circulation that complies with the city’s general statute requirements. (Ord. 322 §3.01 (b), 1986).

5.24.050 Grant.

In the event that grantor shall grant to grantee a franchise pursuant to this chapter to construct, operate, maintain and reconstruct a cable communications system within the franchise territory, the franchise shall constitute both a right and an obligation to provide the services of a cable communications system as required by the provisions of this chapter and the franchise agreement. (Ord. 322 §3.02, 1986).

5.24.060 Franchise territory.

Grantor may grant a franchise for all or any defined portion of the city. The service are shall be the entire territory defined in the franchise agreement. The initial service area is that portion of the franchise territory scheduled to receive initial service, as may be stated in the franchise agreement. (Ord. 322 §3.03, 1986).

5.24.070 Use of public streets and ways:

For the purpose of operating and maintaining a cable communications system in the franchise territory, and subject to the provisions of Sections 5.24.380 and 5.24.390, grantee may erect, install, construct, repair, replace, reconstruct and retain in, on, over, under, upon, across and along the public streets and ways within the franchise territory such wires, cables, conductors, ducts, conduits, vaults, manholes, amplifiers, appliances, pedestals, attachments and other property and equipment as are necessary and appurtenant to the operation of the cable communications system. Prior to the construction or alteration, however, grantee shall in each case file plans with the appropriate grantor agencies and local utility companies, and comply with Sections 5.24.380 and 5.24.390. (Ord. 322 §3.04, 1986).

5.24.080 Duration.

A.    The terms of a franchise agreement and all rights, privileges, obligations and restrictions pertaining thereto shall be seventeen years, commencing on the effective date of the franchise unless terminated sooner as hereinafter provided. The effective date of the franchise shall be the date of adoption of the resolution approving a franchise agreement by grantor. Said resolution shall not be adopted until grantee has signed the franchise agreement.

B.    The franchise shall terminate without further action by grantor at the end of the term; provided however, that grantor, at or before the end of the term, retains the exclusive power to grant an extension, or a renewal of the franchise to grantee. Any decision as to renewal shall be made in accordance with Section 5.24.120. (Ord. 322 §3.05, 1986).

5.24.090 Franchise nonexclusive.

A franchise granted pursuant to this chapter is nonexclusive. Grantor specifically reserves the right to grant, at any time, such additional franchises for the city as it deems appropriate. Such additional franchise grants shall be enacted with the same or similar franchise agreement terms and conditions insofar as to exclusion of unfair advantages or business conditions. (Ord. 322 §3.06, 1986).

5.24.100 Transfer of franchise:

A franchise granted hereunder shall be a privilege to be held in personal trust by grantee. It cannot be sold, transferred, leased, assigned or disposed of in Whole or in part, either by forced or involuntary sale or by voluntary sale, merger, consolidation or otherwise, other than to an entity controlling, controlled by or under common control with grantee, without the prior written consent of grantor. Such consent by grantor shall not be unreasonably withheld provided, however, the proposed transferee must agree in writing to comply with all provisions of this chapter and establish to the satisfaction of grantor its financial and technical capability. Notice shall be provided, but no such consent shall be required for transfer in trust, mortgage or other hypothecation in whole or in part to secure an indebtedness of grantee. (Ord. 322 §3.07(a), 1986).

5.24.110 Transfer of ownership or control:

In the event that grantee is a corporation, prior approval of grantor shall be required in the event of a transfer of forty percent of the voting stock within a one-year period to one person or entity. Any such transfer, occurring without prior approval of grantor, shall constitute a failure to comply with this chapter. (Ord. 322 §3.07(b), 1986).

5.24.120 Franchise renewal.

The procedure for considering, granting or denying renewal of any franchise granted pursuant to this chapter or any previous cable television ordinance shall be consistent with the procedures set forth in the Cable Communications Policy Act of 1984, Section 626, 47 U.S.C. Section 546 (1985). (Ord. 322 §3.08, 1986).

5.24.130 Annual franchise fee payment:

A grantee of a franchise hereunder shall pay to the grantor an annual franchise fee in an amount as designated in the franchise agreement, but in no event shall the fee be more than authorized by applicable federal or state law and such payment by grantee to grantor shall be in lieu of any occupation tax, license tax or similar levy. The franchise fee shall be stated as a percentage amount of the gross annual revenues. The time of computation of the franchise fee shall commence as of the effective date of the franchise. Grantor shall be furnished annually with a statement by a certified public accountant reflecting the total amounts of gross annual revenues, and all amounts and deductions excluded from the gross annual revenues as described in Section 5.24.020(17). (Ord. 322 §3.09 (a), 1986).

5.24.140 Fee--Acceptance by grantor.

No acceptance of any payment by grantor of the franchise fee shall be construed as a release or as an accord and satisfaction of any claim grantor may have for further or additional sums payable as the franchise fee under this chapter or for the performance of any other obligation of grantee. (Ord. 322 §3.09 (b), 1986).

5.24.150 Quarterly payments.

Payment due grantor under this provision shall be computed monthly or quarterly, for the preceding month or quarter. Each monthly or quarterly payment shall be due and payable no later than sixty days after the last day of the month or quarter. Each payment shall be accompanied by a brief report showing the basis for the computation. (Ord. 322 §3.09(c), 1986).

5.24.160 Fee--Failure to meet required payment.

In the event that any franchise fee payment is not made on or before the dates specified herein, grantor may impose a late penalty. Such penalty shall be equal to the payment due times ten percent for each month payment is not made. (Ord. 322 §3.09(d), 1986).

5.24.170 Causes for termination or liquidated damages.

The franchise may be terminated, or liquidated damages may be assessed, in the event the council finds, after notice and hearing that:

A.    Grantee fails to comply with any material provisions of this chapter or any franchise agreement executed pursuant to this chapter. Termination proceedings shall only be commenced through a public hearing process affording due process as defined in Section 5.24.180, if, after thirty days from written notification from grantor stating the specific grounds upon which grantor relies, grantee fails to correct the stated violation. In the event the stated violation is not reasonably curable within thirty days, the franchise shall not be terminated or revoked if grantee provides, within the thirty days, a plan, satisfactory to the city manager, to remedy the violation and continues to demonstrate good faith in seeking to correct the violation. It shall not be a failure to comply with a material provision of this franchise for grantee to comply with any law, rules and regulations of the federal or state government or any federal or state regulatory commission or agency having jurisdiction over grantee’s operations. The council’s finding of materiality is subject to a de novo review by a court of competent jurisdiction.

B.    Grantee’s construction or improvement schedule is delayed longer than the schedule contained in the franchise agreement and after giving grantee the same due process hearing as provided in Section 5.24.180, grantor finds that the delay is not excusable. (Ord. 322 §3.10(o), 1986).

5.24.180 Procedure prior to termination or assessment of liquidated damages.

A.    In the event grantor determines that grantee has failed to comply with any material provision or schedule as provied for in Section 5.24.170 and, in the case of a request for termination, has failed to cure any material breach as provided for in Section 5.24.170A, the city manager shall place a request for termination or liquidation damages upon a regular grantor meeting agenda for a public hearing. The city manager shall cause notice to be served upon grantee, at least ten days prior to the date of such meeting, a written notice of this intent to request such termination or liquidated damages, and the time and place of the meeting, notice of which shall be published at least once, within a period of ten to fourteen days before such meeting in the newspaper of general circulation within the franchise territory.

B.    At the public hearing noticed pursuant to subsection A of this section, grantor shall hear any persons interested therein, and shall determine, in its discretion, whether or not any failure, refusal or neglect by grantee was with just cause.

C.    If such failure, refusal or neglect by grantee was with just cause, grantor, subject to any applicable federal or state law, shall direct grantee to comply with any such requirement, limitation, term, condition, rule or regulation or correct any action deemed cause for termination within such time and manner and upon such terms and conditions as are reasonable.

D.    If the grantor shall determine such failure, refusal or neglect by grantee was without just cause, then grantor may, subject to any applicable federal or state law, by resolution, declare that the franchise of such grantee shall be terminated and bonds forfeited unless there is compliance by grantee within such period as grantor may fix, or may levy liquidated damages which shall be valued in 1986 dollars as follows:

1.    For failure to complete system improvement in accordance with this chapter or franchise agreement thereunder, a grantee shall pay grantor two hundred fifty dollars per day for each day, or part thereof, the deficiency continues.

2.    For failure to test, analyze and report on the performance of the system in a timely manner following a written request pursuant to this chapter, a grantee shall pay to grantor fifty dollars per day for each day, or part thereof, that such noncompliance continues.

3.    For failure to provide the aggregate number of services specified in the franchise agreement, grantee shall pay to grantor one hundred dollars per day for each day, or part thereof, that such noncompliance continues.

4.    For failure by grantee to comply with operations, maintenance of technical standards, performance guidelines or any other material requirements of the franchise, grantee shall pay to grantor fifty dollars for each day, or part thereof, that such noncompliance continues.

E.    If grantee files a written objection to the penalty with the council, then grantee and grantor shall conduct arbitration in accordance with the commercial rules of arbitration of the American Arbitration Association. Any decision by the arbitrators shall be a final judgment which may be executed upon or enforced in accordance with applicable law in any court having jurisdiction thereof. The fees for the arbitrator shall be shared equally by grantor and grantee, but the costs of arbitration, which shall be the same costs which would be taxable had the dispute been brought in the superior court of Monterey County, and reasonable attorney’s fees shall be prorated among grantor and grantee in proportion to any award made by the arbitrator. (Ord. 322 §3.10(b), 1986).

5.24.190 Franchise required.

No cable communications system shall be allowed to occupy or use the streets in the franchise territory or be allowed to operate without a franchise then valid in accordance with the provisions to this chapter. (Ord. 322 §3.11, 1986).

5.24.200 Establishment of franchise requirements:

Grantor may from time to time, by resolution, establish or modify appropriate cable communications system and service requirements for future franchises; provided, that said action does not grant a cable communications system and service requirements that allow for less than the current level of requirements for technology application, franchise area and service standards. (Ord. 322 §3.12, 1986).

IV.   REGULATION OF FRANCHISE

5.24.210 Regulatory authority.

Grantor shall exercise appropriate regulatory authority under the provisions of this chapter and applicable law. (Ord. 322 §4.01, 1986).

5.24.220 System and service review.

A.    Grantor and grantee shall hold a cable communications system and services review session on or about the fifth anniversary date of the franchise agreement. Subsequent cable communications system review sessions shall be scheduled by grantor every five years thereafter.

B.    The purpose of these review sessions shall be to evaluate the performance of grantee within the provisions of this chapter.

C.    Grantor shall be entitled to measure the performance of grantee not only against the literal compliance with the written requirements of this franchise, but also against the reasonableness of the methods employed by the grantee to meet such requirements.

D.    Topics for discussion and review at the cable communications system and services review sessions may include, but not be limited to, services provided, application of new technologies, cable communications system performance, programming, subscriber complaints, user complaints, rights of privacy, amendments to the franchise, undergrounding processes, developments in the law and regulatory changes. Either grantor or grantee may select additional topics for discussion at any review session.

E.    Not later than sixty days after the conclusion of each cable communications system and services review session, grantor shall issue findings including specifically a listing of any cable service not then being provided to the subscribers that are considered technically and economically feasible. Grantor and grantee shall then enter negotiations regarding the provision of such services. Negotiations shall be initiated upon written notice given by the city or grantee to the other and shall be concluded within six months from each fiveyear anniversary date.

F.    At each review session, in reviewing the performance of grantee, it is the intent of grantor that the CATV system shall at the end of this franchise, be in the same technological position relative to other CATV franchises of similar size. (Ord. 322 §4.02, 1986).

5.24.230 Annual review of performance.

A.    Grantee shall conduct performance tests in accordance with the requirements of Section 76.610 through 76.619, or any successor section, of the Federal Communication Commission’s Rules, Regulations or Guidelines, as those requirements may apply or be amended from time to time.

B.    Within ninety days after the end of each calendar year, grantee shall make available, if requested by grantee, a summary report which attests to the performance of the physical plant of the cable communications system, as to compliance with subsection A of this section. (Ord. 322 §4.03, 1986).

V.   GENERAL FINANCIAL AND INSURANCE PROVISIONS

5.24.240 Construction bond.

A.    Prior to the commencement of any construction work by grantee, grantee shall file with grantor a construction bond in the amount specified in the franchise agreement in favor of grantor and any other person who may claim damages as a result of the breach of any duty by grantee assured by such bond.

B.    Such bond as contemplated herein shall be in the form approved by grantor.

C.    In no event shall the amount of said bond be construed to limit the liability of grantee for damages.

D.    Grantor, at its sole option, may waive this requirement and permit consolidation of the construction bond with the performance bond provided for in Section 5.24.250.

E.    Notwithstanding the provisions of subsections (a), (b) and (c) of this section, no construction bond will be required of grantee for rebuilding or extension of an existing cable communications system unless such rebuilding or extension is projected to cost in excess of one hundred thousand dollars, in which event a construction bond in an amount to be agreed upon by the parties may be required. (Ord. 322 §5.01, 1986).

5.24.250 Performance bond.

A.    In addition to any construction bond set forth in Section 5.24.240, grantee shall, at least thirty days prior to the commencement of operation of the cable communications system, file with the grantor a performance bond in the amount specified in the franchise agreement in favor of grantor and any other person who may be entitled to damages as a result of any occurrence in the operation or termination of the cable communications system operated under the franchise agreement, and including the payment required to be made to grantor hereunder.

B.    Such bond as contemplated herein shall be in the form approved by the grantor.

C.    In no event shall the amount of said bond be construed to limit the liability of grantee for damages. (Ord. 322 §5.02, 1986).

5.24.260 Indemnification.

A.    Grantee shall, by acceptance of the franchise granted herein, indemnify, defined and hold harmless grantor, its Officers, boards, commissions, agents, and employees from any and all claims, suits, judgments for damages in any way arising out of or through or alleged to arise out of or through the acts or omissions of grantee, its servants, employees or agents. Such indemnification shall cover such claims arising in tort, contract, violation of statutes, ordinances or regulations, or otherwise. In the event any such claims shall arise, grantor shall tender the defense thereof to grantee provided, however, that grantor in its sale discretion may participate in the defense of such claims at its expense.

B.    Grantor shall, by acceptance of the franchise granted herein, indemnify, defend and hold harmless grantee, its officers, boards, commissions, agents, and employees from any and all claims, suits, judgments for damages in any way arising out of or through or alleged to arise out of or through the acts or omissions of grantor, its servants, employees or agents. Such indemnification shall cover such claims arising in tort, contract, violation of statutes, ordinances or regulations or otherwise. In the event any such claims shall arise, grantee shall tender the defense thereof to grantor provided, however, that grantee in its sole discretion may participate in the defense of such claims at its expense. (Ord. 322 §5.03, 1986).

5.24.270 Insurance.

A.    Grantee shall maintain throughout the term of the franchise insurance in amounts at least as follows:

1.    Worker’s Compensation Insurance. In such coverage as may be required by worker’s compensation insurance and safety laws of the state of California and amendments thereto.

2.    Comprehensive General Liability. Comprehensive general liability insurance including, but not limited to, coverage for bodily injury and property damage shall be maintained at the sum(s) specified in the franchise agreement.

3.    Comprehensive Automobile Liability. Comprehensive automobile liability including, but not limited to, nonownership and hired car coverage as well as owned vehicles with coverage for bodily injury and property damage shall be maintained at the sum(s) specified in the franchise agreement.

B.    Grantee shall furnish grantor with copies of such insurance policies or certificates of insurane.

C.    Such insurance policies provided for herein shall name grantor, its officers, boards, commissions, agents, and employees as additional insureds without offset to grantor’s policies as respects to all operations of the named insured and shall contain the following endorsement: It is hereby understood and agreed that this insurance policy may not be cancelled by the surety or the intention not to renew be stated by the surety until thirty (30) days after receipt by Grantor by registered mail of written notice of such intention to cancel or not renew.

D.    The minimum amounts set forth in the franchise agreement for such insurance shall not be construed to limit the liability of grantee to grantor under the franchise issued hereunder to the amounts of such insurance. (Ord. 322 §5.04, 1986).

VI.   DESIGN AND CONSTRUCTION PROVISIONS

5.24.280 System design.

The cable communications system shall be constructed in accordance with any design requirements contained in the franchise agreement. (Ord. 322 §6.01, 1986).

5.24.290 Geographical coverage.

Grantee shall design and construct the cable communications system in such a manner as to have the eventual capability to pass by every single-family dwelling unit, multiple-family dwelling unit, school and public agency within the franchise territory. Service shall be provided to subscribers in accordance with the schedules and line extensions policies specified in the franchise agreement. Cable communications system construction and provisions of service shall be nondiscriminatory, and shall not delay or defer service to any section of the franchise territory on the grounds of economic preference. (Ord. 322 §6.02, 1986).

5.24.300 System construction schedule.

A.    Grantee shall comply with the requirements of the cable communications system construction schedule contained in the franchise agreement.

B.    Construction of the cable communications system and service need not be provided where power and telephone utilities are not available.

C.    As required in the franchise agreement, grantee shall provide a detailed construction plan indicating progress schedule, area construction maps, test plan and projected dates for offering service. In addition, grantee shall update this information for grantor on a monthly basis, showing specifically whether schedules are being met and the reasons for any delay.

D.    Failure to begin construction within one year after award of the franchise shall be grounds for franchise termination, at the option of the grantor. (Ord. 322 §6.03, 1986).

5.24.310 Remedies for delay in construction:

Grantor may, in accordance with the procedures set forth in Section 5.24.180, at its sole option apply any or all of the following remedies in connection with delays in cable communications system construction:

A.    Reduction in the duration of the franchise on a monthto-month basis for each month of delay exceeding six months.

B.    Forfeiture of construction bonds or assessment of monetary damages up to the maximum limit, if any, specified in the franchise agreement for delays exceeding one year.

C.    Termination of the franchise for delays exceeding eighteen months, without just cause. (Ord. 322 §6.04, 1986).

5.24.320 Undergrounding of cable:

The undergrounding of cable is encouraged. Cables shall be installed underground at grantee’s cost where existing utilities are already underground. Previously installed aerial cable shall be placed underground or relocated in concert, and on a cost-sharing basis, with other utilities, when such utilities may convert from aerial to underground construction. (Ord. 322 §6.05, 1986).

5.24.330 Undergrounding--New development.

A.    In cases of new construction or property development where utilities are to be placed underground, upon request by grantee, the developer or property owner shall give grantee reasonable notice of the particular date on which open trenching will be available for grantee’s installation of conduit, pedestals or vaults at the developer’s expense and laterals to be provided at grantee’s expense. Grantee shall also provide specifications as needed for trenching.

B.    Costs of trenching and easements required to bring service to the development shall be borne by the developer or property owner; except that if grantee fails to install its conduit, pedestals or vaults, and laterals within five working days of the date the trenches are available, as designated in the notice given by the developer or property owner, then should the trenches be closed after a five-day period, the cost of new trenching is to be borne by grantee. (Ord. 322 §6.06, 1986).

5.24.340 Undergrounding--Multiple-dwelling units.

In cases of multiple-dwelling units serviced by aerial utilities, grantee shall make every effort to minimize the number of individual aerial drop cables, giving preference to undergrounding of multiple drop cables between the pole and dwelling unit. (Ord. 322 §6.07, 1986).

5.24.350 street occupancy.

A.    Grantee shall utilize existing poles, conduits and other facilities whenever posible, and shall not construct or install any new, different or additional poles, conduits or other facilities whether on public property or on privately owned property until the written approval of grantor is obtained, which approval shall not be unreasonably withheld.

B.    Grantee shall notify grantor at least fifteen days prior to the intention of grantee to commence any construction in any streets except in emergency situtations. Grantor shall cooperate with grantee in granting any permits required, providing such grant and subsequent construction by grantee shall not unduly interfere with the use of such streets and that proposed construction shall be done in accordance with the pertinent provisions of the ordinances of grantor.

C.    All transmission lines, equipment and structures of the cable communications system shall be so installed and located as to cause minimum interference with the rights and reasonable convenience of property owners and at all times shall be kept and maintained in a safe, adequate and substantial condition, and in good order and repair. Grantee shall, at all times, employ ordinary care and shall install and maintain in use commonly accepted methods and devices for preventing failures and accidents which are likely to cause damage, injuries or nuisances to the public. Suitable barricades, flags, lights, flares or other devices shall be used at such times and places as are reasonably required for the safety of all members of the publici any pole or fixtures placed in any public way by grantee shall be placed in such a manner as not to interfere with the usual travel on such public way.

D.    Grantee shall, at its Own expense, restore any damage or disturbance caused to the public way as a result of its operations or construction On its behalf.

E.    Whenever, in case of fire or other disaster, it becomes necessary in the judgemnt of grantor to remove any of grantee’s facilities, no charge shall be made by grantee against grantor for restoration and repair, unless such acts amount to gross negligence by grantor.

F.    Grantee shall have the authority to trim trees on public ptopertyat its own expense as may be necessary to protect its wires and facilities, subject to the supervision and prior direction of grantor.

G.    Grantee, at its expense, shall protect, support, temporarily disconnect, relocate or remove any property of grantee when, in the opinion of grantor, the same is required by reason of traffic conditions, public safety, street vacation, freeway or street construction, change or establishment of street grade, installation of sewers, drains, waterpipes, power line, signal line transportation facilities, tracks or any other types of structure or improvements by governmental agencies whether acting in a governmental or a proprietary capacity, or any other structure or public improvement including, but not limited to, movement of buildings, redevelopment or any general program under which grantor shall undertake to cause any such properties to be located beneath the surface of the ground. Grantee shall in all cases have the privilege, subject to the corresponding obligations, to abandon any property of grantee and grantee shall be entitled to no surcharge by reason of anything hereunder. Should relocation be requested by a private property owner, the expense shall be borne by that owner.

H.    Upon failure of grantee to commence, pursue or complete any work required by law or by the provisions of this chapter to be done in any street, within the time prescribed and to the satisfaction of grantor, grantor may, at its opinion, after having given fifteen days’ written notice to grantee, cause such work to be done and grantee shall pay to the grantor the cost thereof in the itemized amounts reported by grantor to grantee within thirty days after receipt of such itemized report.

I.    Grantee shall make no paving cuts or curb cuts unless absolutely necessary, and only after written permission has been given by grantor.

J.    Grantor reserves the right to require conduit for underground cabling consistent with its normal permit procedure for any application of underground street crossing. (Ord. 322 §6.08, 1986).

5.24.360 Grantee’s property--Removal.

In the event that:

A.    The use of any part of the system of grantee is discontinued for any reason for a continuous period of thirty days without prior written notice to and approval by grantor, or

B.    Any part of such system has been installed in any street or other area without complying with the requirementshereof, or

C.    Any franchise shall be terminated, cancelled, or shall expire, then grantee shall, after discussion with grantor, and at the expense of grantee and at no expense to grantor, and upon demand of grantor, promptly and within a reasonable time, remove from any streets or other areas all property of grantee, and grantee shall promptly and within a reasonable time, restore the street or other area from which such property has been removed to such condition as the city manager shall approve. (Crd. 322 §6.09 (a), 1986).

5.24.370 Grantee’s property--Abandonment in place.

The grantor may, upon written application thereof by grantee, approve the abandonment of any of such property in place by grantee and under such terms and conditions as grantor may prescribe. Upon abandonment of any of such property in place, grantee shall cause to be executed, acknowledged and delivered to grantor such instruments as grantor shall prescribe and approve, transferring and conveying the ownership of such property to grantor. (Ord. 322 §6.09(b), 1986).

5.24.380 Construction standards.

A.    Compliance With Safety Codes. All construction practices shall be in accordance with all applicable federal, state and local laws, rules and regulations.

B.    Compliance with Electrical Codes. All installation of electronic equipment shall be of a permanent nature, durable and installed in accordance with all federal; state and local rules, laws and reglations.

C.    Antennas and Towers. Antenna-supporting structures (tower) shall be designed for the proper loading in accordance with all applicable federal, state and local laws, rules and regulations.

D.    Compliance with Aviation Requirements. Antenna-supporting structures (tower) shall be painted, lighted, erected and maintained in accordance with all applicable federal, state and local laws, rules and regulations.

E.    Construction Standards and Requirements. All of the grantee’s plant and equipment including, but not limited to, the antenna site, head-end and distribution cable communications system tower, home connections, structures, poles, wire, cable coaxial cable, fixtures and appurtenances, shall be installed, located, erected, constructed, reconstructed, replaced, removed, repaired, maintained and operated in accordance with good engineering practices, performed by experienced maintenance and construction personnel so as not to endanger or interfere with improvements grantor may deem proper to make, or to interfere in any manner with the rights of any property owner, or to unnecessarily hinder or obstruct pedestrian or vehicular traffic.

F.    Safety, Nuisance, Requirements. Grantee shall at all times employ ordinary care and shall install and maintain in use commonly accepted methods and devices preventing failures and accidents which are likely to cause damage, injury or nuisance to the public. (Ord. 322 §6.10(a), 1986).

5.24.390 Technical standards.

The cable communications system shall meet all technical and performance standards for cable television promulgated by the Federal Communications Commission and contained in 47 C.F.R. 76, and any successor standards, whether such standards be denominated rules, regulations or guidelines. (Ord. 322 §6.10(b), 1986).

VII.   SERVICE PROVISIONS

5.24.400 Services to be provided.

A.    Grantee will provide carriage of all FCC required services, plus other services, including distant television broadcast signals and satellitedelivered programming as deemed appropriate by the grantee.

B.    Grantee shall provide a cable communications system which has the technical capacity for up to 300mhz (thirty-five channel) activation. Initial individual channel activation shall be determined in accordance with the franchise agreement and grantee’s proposal. (Ord. 322 §7.01, 1986).

5.24.410 Public access.

A.    Grantee shall furnish at least one public access channel for public, educational or governmental use upon reasonable request to grantee. Grantee may utilize the channel furnished pursuant to this section when such channel is not being used for governmental, educational, or public use, but only at such times as shall not interfere with any governmental, educational or public use and any such scheduled use. When such public access channel is in use for public access purposes during eighty percent of the weekdays for eighty percent of the time during any consecutive thirteenhour period for ten consecutive weeks, grantor may request, and grantee must provide, a second public access channel.

B.    Grantee shall permit public, educational or governmental access users reasonable accessibility for use of the access channel(s).

C.    Grantee shall comply with and provide notification of any rules, regulations and standards relating to access channel use, as mandated by the FCC and the Cable Communications Policy Act of 1984, and any subsequent modifications of same.

D.    In the event that grantee does establish, provide and cause to be used, an access channel(s) by action directly related to grantee, then grantee shall establish and file with grantor reasonable rules and regulations concerning the use of said access channel(s). Grantee further agrees to provide advice to aid in the utilization of the access channel(s). (Ord. 322 §7.02, 1986).

5.24.420 Services to public facilities.

A.    Grantee shall provide basic service, including connection, without cost when the distribution system passes within one hundred fifty feet of the following facilities:

1.    Public schools and community colleges within grantor’s corporate boundaries;

2.    Buildings owned and controlled by grantor for public purposes and not for residential use (fire and police stations included); and

3.    Public libraries within grantor’s corporate boundaries.

B.    Grantee shall provide basic service to any school, public building or public library more than one hundred fifty feet from grantee’s distribution system at the actual cost to grantee of installation of such subscriber drop less the cost of providing the first one hundred fifty feet of such drop, which shall be borne by grantee. (Ord. 322 §7.03, 1986).

VIII.   OPERATION AND MAINTENANCE

5.24.430 Records to be kept by grantee:

Grantee shall, at all times, make and keep in the county full and complete plans and records showing the exact location of all its cable communications system equipment installed or in use in streets, alleys and public places in grantor’s corporate boundaries. Promptly upon acceptance of the franchise, grantee shall file with grantor a current map or set of maps drawn to a scale approved by grantor showing all cable communications system equipment heretofore installed in grantor’s corporate boundaries and now existing. Thereafter, grantee shall file with grantor on or before the last day of March of each year, a current map or set of maps drawn to a scale approved by grantor showing all cable communications system equipment installed in streets, alley and public places of grantor’s corporate boundaries during the previous year. (Ord. 322 §8.01(part), 1986).

5.24.440 Records and property--Inspection by grantor.

Upon written request and during normal business hours, grantee shall permit any duly authorized representative of grantor to examine the cable communications system together with any appurtenant property of grantee situated within or without grantor’s corporate boundaries, and to examine any and all maps and other records, kept or maintained by grantee, or under its control, which deal with the operations of the cable communications system. Upon written request and during normal business hours, grantor, its agents or officers shall have the right to inspect all of the grantee’s books and records which, in grantor’s opinion, are reasonably necessary to verify the amounts due and paid to grantor under this franchise. Such books and records shall be made available in the county of Monterey. (Ord. 322 §8.01(part), 1986).

5.24.450 Complaint records.

Grantee shall maintain a record or log listing date of customer complaints, identifying the nature of the complaint, and when and what action was taken by grantee in response thereto; such record shall be kept at grantee’s office within the county for a calendar period of one year after the close of each business year, and shall be available for inspection, if requested, during regular business hours without further notice or demand by grantor. (Ord. 332 §8.02, 1986);

5.24.460 Local office required:

Grantee shall maintain an office within reasonable access of the customer base which shall be open at least twenty hours per week and grantee shall provide a local telephone directory listing and toll-free telephone service maintained on a seven-day, twenty-four-hour basis for the receipt of consumer complaints and requests for repairs or adjustments. (Ord. 322 §8.03(a), 1986).

5.24.470 Subscriber complaints--Action by grantor.

A.    Upon complaint by a subscriber as to signal quality which is not resolved within seven working days, grantee, at request of grantor, shall make a demonstration satisfactory to grantor that a signal is being delivered which is of sufficient strength and quality to meet the standards set forth in the regulations of the Federal Communications Commission.

B.    If a subscriber files, in writing, a complaint for a loss of service problem for which the subscriber would be entitled to a credit under Section 5.24.510 and which exceeds a period of twenty-four hours and grantee fails to remedy the problem within a reasonable period following its receipt of written notice given by grantor, then the council may, after notice and hearing, level a penalty of up to seventy-five dollars for any occurrence or series of related occurrences. If grantee files a written objection to the penalty with the council, then grantee and grantor shall conduct a arbitration in accordance with the commercial rules of arbitration of the American Arbitration Association. Any decision by the arbitrators shall be a final judgment which may be executed upon or enforced in accordance with applicable law in any court having jurisdiction thereof. The fees for the arbitrator shall be shared equally by grantor and grantee, but the costs of arbitration, which shall be the same costs which would be taxable had the dispute been brought in the superior court of Monterey County, and reasonable attorneys’ fees shall be prorated among grantor and grantee in proportion to any award made by the arbitrator. (Ord. 322 §8.03(b), (c), 1986).

5.24.480 Rights of individuals.

A.    Grantee shall not deny service, deny access, or otherwise discriminate against subscribers, channel users or general citizens on the basis of race, color, religion, national origin, age, sex or physical handicap. Grantee shall comply at all times with all other applicable federal, state and local laws and regulations, and all executive and administrative orders relating to nondiscrimination which are hereby incorporated and made part of this chapter by reference.

B.    Grantee shall adhere to the equal employment opportunity requirements of federal, state and local regulations, and as amended from time to time.

C.    Grantee shall comply with all federal and state laws regarding subscriber’s rights to privacy and fairness of accessibility to cable television facilities. (Ord. 322 §8.04, 1986).

5.24.490 Continuity of service mandatory--Service interruptions.

A.    It shall be the right of all subscribers to continue receiving service insofar as their financial and other obligations to grantee are honored.

B.    In addition to other service regulations adopted by grantee, and excepting circumstances beyond grantee’s control including, but not limited to, acts of God, riots, civil disturbances, power failures and equipment failures and in providing the foregoing services, grantee shall:

1.    Limit system failures to minimum time duration by locating and correcting malfunctioning promptly, but in no event longer than twenty-four hours after occurrence, irrespective of holidays or other nonbusiness hours; and

2.    Render efficient service, making repairs promptly and interrupting service only for good cause and for the shortest time possible. Planned interruptions, insofar as possible, shall be preceded by notice given to subscribers twenty-four hours in advance and shall occur during periods of minimum use of the system. (Ord. 322 §8.05(a), (b), 1986).

5.24.500 Continuity of service mandatory--Change of grantee.

In the event of a change of grantee, or in the event a new operator acquires the cable communication system, grantee shall cooperate with grantor, new grantee or operator in maintaining continuity of service to all subscribers. During such period, grantee shall be entitled to the revenues for any period during which it operates the cable communications system, and shall be entitled to reasonable costs for its services when it no longer operates the cable communications system. (Ord. 322 §8.05(c), 1986).

5.24.510 credit for service interruption.

Grantee shall, upon written notice from a subscriber of any verified service loss which exceeds a period of twenty-four hours continuous and is not beyond the control of grantee or caused by acts of God, strikes, insurrection, acts of war, power failures or equipment failures, credit the account of the subscriber for such interruption. The amount of such subscriber credit shall be calculated based upon a formula which reflects the percentage of viewing hours and channels out of the total number of viewing hours and channels available on a monthly basis of which the subscriber was deprived. Additionally, if grantee is provided with a credit by program supplier or transmission delivery of program signal supplier, for services affecting the subscriber which is not performed, then grantee shall in turn provide a proportionate credit applied to the subscriber’s bill. The aggregate credit applied to the subscriber service base shall not exceed the grantee’s credit received from the program service or transmission supplier. (Ord. 322 §8.06, 1986).

5.24.520 Grantee rules and regulations:

Grantee shall have the authority to promulgate such rules, regulations, terms and conditions governing the conduct of its business as shall be reasonably necessary to enable grantee to exercise its rights and perform its obligations under the franchise, and to assure an uninterrupted service to each and all of its customers, provided, however, that such rules, regulations, terms and conditions shall not be in conflict with the provisions hereof or applicable state and federal laws, rules and regulations. (Ord. 322 §8.07, 1986).

5.24.530 Tenant rights.

Grantee shall be required to provide tenants in individual units of any multiple-housing facility with all services offered to other dwelling units within the franchise territory, so long as it is technically and economically feasible, the grantee and the building management shall agree to the following:

A.    To grantee’s providing of the service to units of the facility;

B.    To reasonable conditions and times for installation, maintenance, and inspection of the cable communications system on the facility premises;

C.    To reasonable conditions promulgated by grantee to protect grantee’s equipment and to encourage widespread use of the cable communications system;

D.    To not discriminate in rental charges, or otherwise, between tenants who receive cable service and those who do not;

E.    Nothing shall preclude the grantee from entering into a single billing or bulk bill condition, with the property management in order to efficiently provide services to the tenants. (Ord. 322 §8.08, 1986).

5.24.540 Subscriber survey.

Grantee shall, at its expense, conduct a survey of its subscribers for the purpose of determining subscriber satisfaction with the cable communications system and services provided thereby, at or near the time of this franchise grant, and again in the second, fifth, tenth and fourteenth years of the franchise. At the times during the franchise when a franchise review is implemented pursuant to Section 5.24.220, the survey may be incorporated within the overall review process and not be necessary as an independent exercise. The survey shall be designed cooperatively by grantor and grantee. If grantor determines that the survey is not necessary or relevant, grantor may waive this requirement. (Ord. 322 §8.09 (part), 1986).

5.24.550 Program services listing:

Upon request from grantor, grantee shall provide to grantor at the second, fifth, tenth and fifteenth year of the franchise, a listing of the then available satellite-delivered program services which are commonly used for subscriber distribution by CATV systems. Such listing shall be accompanied by a brief description of these services. The purpose of the request is to inform grantor as to the availability of CATV satellite-delivered program services currently in use by CATV systems, yet not currently carried by the grantee’s system serving the city. Additionally, this information may be used or included within the scheduled subscriber survey. (Ord. 322 §8.09 (part), 1986).

IX.   RIGHTS RESERVED TO THE GRANTOR

5.24.560 Right to purchase system:

Upon the revocation of the franchise in accordance with Section 5.24.170 or 5.24.180, and upon the expiration of the terms thereof subject to the renewal provisions of Section 5.24.120, and upon payment by the grantor to the grantee of the fair market value of grantee’s cable communications system, grantor may purchase, acquire, take over or hold the system. For purposes of this section, "fair market value" shall be determined as value arrived at with a willing seller and a willing buyer mutually agreeing upon a price. Such price shall take into consideration as value: tangible and intangible assets of the system, including business goodwill, current and potential customers, and a condition as an ongoing business concern with a reasonable life expectancy without regard to the remaining term of the franchise. Such right to purchase system by the grantor shall be governed by Section 627 (Conditions of Sale) contained within the Communications Policy Act of 1984. Immediately upon determination of revocation or expiration of the franchise, other than when a renewal or extension of franchise between grantor and grantee, grantor and grantee may attempt to mutually agree upon the fair market value of the system. However, if within a reasonable period of time they cannot agree upon the fair market valuation, then the valuation may be determined by a three-member board of appraisers, one selected by the grantor, one selected by the grantee, and one selected by the appraisers themselves. The cost of the appraisal shall be borne equally by the grantor and the grantee. (Ord. 322 §9.0, 1986).

5.24.570 Eminent domain.

Subject to applicable federal or state law, nothing in this chapter shall in any way, or to any extent, impair or affect the rights of grantor to acquire grantee’s property either by purchase or through exercise of the right of eminent domain, and nothing herein shall be construed to contract away, or to modify, or abridge grantor’s right of eminent domain with respect to any grantee. Nor shall any franchise ever be given any value before any court of public authority in any proceeding of any character, except for purposes of taxation. (Ord. 322 §9.1, 1986).

5.24.580 Right of inspection of construction:

Grantor shall have the right to inspect all construction or installation work performed subject to the provisions of the franchise and to make such tests as it shall find necessary to ensure compliance with the terms of the franchise and other pertinent provisions of law. Grantor shall perform such inspections and testing by competent and knowledgeable personnel who are recognized as capable of performing to industry standards. Such activity shall not be unreasonable as to time or interference with the personnel or equipment used by the grantee. (Ord. 322 §9.02, 1986).

X.   RIGHTS RESERVED TO THE GRANTEE

5.24.590 Right of grantee:

Should grantee become dissatisfied with any material decision or ruling of grantor pertaining to cable communications matters, grantee may pursue such other remedies as are available, including the bringing of action in any court of competent jurisdiction for breach of contract and damages. (Ord. 322 §10.01, 1986).

XI.   FORCE MAJEURE

5.24.600 Grantee’s inability to perform.

In the event grantee’s performance of any of the terms, conditions, obligations or requirements of the franchise is prevented or impaired due to any cause beyond its reasonable control or not reasonably foreseeable, such inability to perform shall be deemed to be excused and no penalties or sanctions shall be imposed as a result thereof, provided grantee has notified grantor in writing within thirty days of its discovery of the occurrence of such an event. Such causes beyond grantee’s reasonable control or not reasonably foreseeable shall include, but shall not be limited to: acts of God and civil emergencies. (Ord. 322 §11.01, 1986).

XII.   REPORTS

5.24.610 False statements.

Any materially false or misleading statement or representation made knowingly by grantor or grantee shall be deemed a material breach of the contractual relationship between grantor and grantee and shall subject the breaching party to all remedies, legal or equitable, which are available to grantor or grantee under the franchise or otherwise. (Ord. 322 §12.01, 1986).

XIII.   MISCELLANEOUS PROVISIONS

5.24.620 compliance with state and federal laws.

Notwithstanding any other provisions of this chapter to the contrary, grantee shall at all times comply with all laws and regulations of the state and federal government or any administrative agencies thereof, provided, however, if any such state or federal law or regulation shall require grantee to perform any service, or shall permit grantee to perform any service, or shall prohibit grantee from performing any service, in conflict with the terms of this chapter or of any law or regulation of grantor, then as soon as possible following knowledge thereof, grantee shall notify grantor of the point of conflict believed to exist between such regulation or law and the laws or regulations of grantor of this chapter. (Ord. 322 §13.01, 1986).

5.24.630 Separability of material provisions:

If any provision of this chapter or any related agreements is held by any court or by any federal, state, or local agency of competent jurisdiction, to be invalid as conflicting with any federal, state or local law, rule or regulation now or hereafter in effect, or is held by such court or agency to be modified in any way in order to conform to the requirements of any such law, rule or regulation, and if said provision is considered material, said provision shall be considered a separate, distinct and indpendent part of this chapter, and such holding shall not affect the validity and enforceability of all other provisions hereof. In the event that such law, rule or regulation is subsequently repealed, rescinded, amended or otherwise changed, so that the provision hereof or thereof which had been held invalid or modified is no longer in conflict with the law, rules and regulations then in effect, said provision shall thereupon return to full force and effect and shall thereafter be binding on the parties hereto, provided that grantor shall give grantee thirty days written notice of such change before requiring compliance with said provision. (Ord. 322 §13.02, 1986).

5.24.640 Separability of nonmaterial provisions:

If any nonmaterial section of this chapter is held to be invalid or pre-empted by federal, state or county regulations or laws, grantor shall negotiate with grantee appropriate modifications to the franchise to provide reasonable relief from such invalidity or pre-emption. If the parties are unable to reach agreement on such modifications, then the dispute shall be submitted to a mutual agreeable arbitrator, in accordance with state law, who shall determine what modifications are appropriate. The arbitrator’s decision shall be binding on the parties, provided, that no decision of the arbitrator shall require grantor or grantee to be in violation of any federal or state law or regulation. Each party shall bear its respective costs for such arbitration. (Ord. 322 §13.03, 1986).

5.24.650 Public notice.

Minimum public notice of any public meeting relating to the franchise shall be by publication at least once in a newspaper of general circulation in the area at least ten days prior to the meeting and posting at the offices of grantor. (Ord. 322 §13.04, 1986).

5.24.660 Theft of services and tampering--Penalty.

A.    No person, whether or not a subscriber to the cable communications sytem may intentionally or knowingly damage or cause to be damaged any wire, cable, conduit, equipment and apparatus, or appurtenances of grantee with the intent to obtain a signal or impulse from the cable communications system without authorization and compensation to grantee, or to obtain cable television or other communications services with intent to cheat or defraud grantee of any lawful charge to which it is entitled.

B.    Any person convicted of violating any provision of this section is subject to a fine of not more than that authorized under federal law, and such incident shall corne under the appropriate court of jurisdiction for review and due process. (Ord. 322 §13.05, 1986).

5.24.670 Audit of financial records:

Upon written request and during normal business hours, grantor, its agents or officers shall have the right to audit grantee’s books and records which, in grantor’s opinion, are reasonably necessary to verify the amount due or paid to grantor under the franchise. Such audit shall take place within twelve months following the close of grantee’s fiscal years. Grantee shall reimburse grantor for up to two hundred dollars of grantor’s out-of-pocket and professional service expenses that are substantiated and directly related to the financial record audit. The request for implementation of an audit shall be based upon a reasonable need as determined by the facts involved. (Ord. 322 §13.06, 1986).

5.24.680 Captions.

The captions to sections throughout this chapter are intended solely to facilitate reading and reference. Such captions shall not affect the meaning or interpretation of this chapter. (Ord. 322 §13.07, 1986).

5.24.690 Notice--Delivery.

All notices, requests, demands and other communications called for or contemplated hereunder shall be in writing and shall be deemed to have been duly given when delivered or, if mailed, ten days after the date of mailing by United States certified or registered mail, prepaid, addressed to the parties, their permitted successors in interest or assignees at the following addresses provided in the franchise agreement or at such other addresses as the parties may designate by written notice in the manner aforesaid. (Ord. 322 §13.08, 1986).