Chapter 19.04
CABLE TELEVISION SYSTEMS
Sections:
19.04.050 Regulations of Franchise.
19.04.060 General Financial and Insurance Provisions.
19.04.070 Design and Construction Provisions.
19.04.090 Operation and Maintenance.
19.04.100 Rights Reserved to the Grantor.
19.04.110 Rights Reserved to the Grantee.
19.04.120 Franchise Violations.
19.04.140 Miscellaneous Provisions.
19.04.150 Franchise Applications.
19.04.010 Purpose and Intent.
The City of Norco finds that the development of cable television and communications systems has the potential of having great benefit and impact upon the people of Norco. Because of the complex and rapidly changing technology associated with cable televisions, the City further finds that the public convenience, safety and general welfare can best be served by establishing regulatory powers which should be vested in the City or such persons as the City shall designate. It is the intent of this chapter and subsequent amendments to provide for and specify the means to attain the best possible public interest and public purpose to this chapter shall be deemed to include this finding as an integral part thereof. (Ord. 498, Sec. 1, 1983)
19.04.020 Short Title.
This Chapter shall be known and may be cited as the “City of Norco Cable Televisions Franchise Ordinance.” (Ord. 498, Sec. 2, 1983)
19.04.030 Definitions.
For the purpose of this chapter the following terms, phrases, words and their derivations shall have the meaning given herein. When not inconsistent with the context, words used in the present tense include the future, words in the plural number include the singular number, and words in the singular number include the plural number. The word “shall” is mandatory and “may” is permissive. Words not defined shall be given their common and ordinary meaning. (Ord. 498, Sec. 3, 1983)
(1) Additional Subscriber Service means any service not included in “Basic Subscriber Televisions Service,” or “Basic Subscriber Radio Service” or “Institutional Service,” including, but not limited to, pay-cable.
(2) Agency Subscriber means a subscriber who receives a service in a government or public agency, school, or non-profit corporation.
(3) Basic Subscriber Radio Service means the provisions to all subscribers of such audio programs as the retransmission of broadcast FM radio signals, the retransmission of shortwave, weather, news, time and other similar audio information and the transmission of cablecast audio signals all provided to subscribers at a monthly rate, as may be agreed upon in the franchise agreement.
(4) “Basic Subscriber Televisions Service” means the total of all of the following:
(a) The transmission to all subscribers of all broadcast televisions channel signals authorized or permitted by the FCC and provided for in a franchise agreement.
(b) The provision to all subscribers of non-broadcast open channel signals, originating from sources outside the Cable Communications System.
(c) The cablecasting to all subscribers of Local Origination programming and Public, Educational and Government Access Programming.
(d) The transmission to all subscribers of all other cablecasting open-channel signals.
Basic Subscriber Television Service may be offered to subscribers in one or more tiers or combination or programs.
(5) 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.
(6) Cable Communications System or System also referred to as Cable Televisions System, CATV System, or Broadband Communications Network, means a system of antennas, cables, amplifiers, towers, microwave links, cablecasting studios, and other conductors, converters, equipment or facilities, designed and constructed for the primary purpose of distributing video programming to home subscribers, and the secondary purpose of producing, receiving, amplifying, storing, processing, or distributing audio, video, digital, or other forms of electronic or electrical signals.
(7) Cablecast Signal means a nonbroadcast signal that originates within the facilities of the Cable Communications System.
(8) Cable-mile means a linear mile of strand-bearing cable as measured on the street or easement from pole to pole or pedestal to pedestal.
(9) Channel means a six (6) Megahertz (MHZ) frequency band which is capable of carrying either one (1) standard television or video signal, a number of audio, digital or other non-video signals, or some combination of such signals.
(10) Class IV Channel means a signaling path provided by a Cable Communications System to transmit signals of any type from a subscriber terminal to another point in the cable televisions system.
(11) Closed-Circuit or Institutional Service means such video, audio, data and other services provided to institutional users on an individual requirement, private channel basis. These may include, but not be limited to, two-way video, audio or digital signals among institutions or from institutions to residential subscribers.
(12) 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.
(13) Commence Operations 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 (10%) of the dwelling units located within the service area.
(14) Commercial Subscriber means a subscriber who receives a service in a place of business, where the service may be utilized in connection with a business, trade or profession.
(15) Converter means an electronic device which converts signals carriers from one form to another.
(16) Council means the governing body of the City of Norco.
(17) Educational Channel or Educational Access Channel means any channel where educational institutions are the primary designated programmers.
(18) FCC means the Federal Communications Commission and any legally appointed or elected successor.
(19) Franchise means the nonexclusive rights granted pursuant to this ordinance 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 this City.
(20) Franchise Agreement means a franchise award agreement, accepted on the part of the Grantee, containing the specific provisions of the franchise granted, including referenced specifications, franchise applications, and other related material. The franchise requirements, and other related agreement by appropriate agreement amendment.
(21) Franchise Fee means the fee paid by the Grantee to the Grantor in consideration of the use of the public streets and rights-of-way.
(22) Government Channel or Government Access Channel means any channel where local government agencies are the primary designated programmers.
(23) Grantee means the “person” receiving a franchise pursuant to this chapter and under the granting franchise agreement and its lawful successor, transferee or assignee.
(24) Grantor or City means the City of Norco as represented by the City Council or any delegate acting within the scope of its jurisdiction.
(25) Gross Annual Revenues means the annual gross revenues received by the Grantee from all sources of operations of the Cable Communications System, except that any sales, excise or other taxes collected for direct pass-through to local, state or federal government shall not be included.
(26) Initial Service Area means the area of the City which will receive service initially, as set forth in the franchise agreement.
(27) Installation means the connection of the system from feeder cable to subscribers’ terminals, and the provisions of service.
(28) Leased Channel or Leased Access Channel means any channel or portion of a channel available for lease and programming by persons or entities other than the Grantee.
(29) Local Origination Channel means any channel where the Grantee is the primary designated programmer, and provides video programs to subscribers.
(30) Monitoring means observing a communication signal, or the absence of a signal, where the observer is neither the subscriber nor the programmer, whether the signal is observed by visual or electronic means, for any purpose whatsoever. Provided, monitoring shall not include systemwide, nonindividually addressed sweeps of the system for purposes of verifying system integrity, controlling return paths transmissions, or billing for pay services.
(31) Nonbroadcast Signal means a signal that is transmitted by a Cable Communications System and that is not involved in an over-the-air broadcast transmission path.
(32) Open Channel means any channel that can be received by all subscribers, without the necessity for special equipment.
(33) Pay Cable or Pay Televisions means the delivery to subscribers, over the Cable communications System, of televisions signals for a fee or charge to subscribers over and above the charge for Basic Subscriber Service, on a per program, per channel, or other subscription basis.
(34) Penetration means the result expressed in percentage obtained by dividing the total number of potential subscribers in the franchise area into the number of subscribers receiving service.
(35) Person means an individual, partnership, association, organization, corporation or any lawful successor, transferee, or assignee of said individual, partnership, association, organization or corporation.
(36) Private Channel or Closed Circuit Channel means any channel which is available only to subscribers who are provided with special converter or terminal equipment to receive signals on that channel.
(37) Programmer means a person or entity who or which produces or otherwise provides program material or information for transmission by video, audio, digital, or other signals, either live or from recorded tapes or other storage media, to subscribers, by means of the Cable Communications System.
(38) Public Access Channel or Community Access Channel means any channel where any member of the general public or any noncommercial organization may be a programmer, without charge, on a first-come, first-serve, nondiscriminatory basis, in accordance with the terms of the franchise agreement.
(39) Reasonable Notice means a written notice addressed to the Grantee at its principal office or such other office as the Grantee has designated to the Grantor, as the address to which notice should be transmitted to it, which notice shall be certified or registered and postmarked not less than four (4) days prior to that day on which the party giving such notice shall commence any action which requires the giving of notice. In computing said four (4) days, Saturdays, Sundays, and holidays recognized by the Grantor shall be excluded.
(40) Reasonable Order means written orders not excessive or extreme as to costs or time to comply, governed by sound thinking.
(41) Resident means any person residing in the City as otherwise defined by applicable law.
(42) Residential Subscriber means a subscriber who received a service in an individual dwelling unit, where the service is not to be utilized in connection with a business, trade, or profession.
(43) Sale means any sale, exchange, barter or offer for sale.
(44) School means any educational institution including primary and secondary schools, colleges and universities, both public and private.
(45) Section means any section, subsection, or provisions of this franchise chapter.
(46) Service Area means the entire geographic area within the franchise territory.
(47) State means the State of California.
(48) Street means each of the following which have been dedicated to the public or hereafter dedicated to the public and maintained under public authority or by others and located within the City limits: streets, roadways, highways, avenues, lanes, alleys, sidewalks, easements, rights-of-way and similar public property and areas that the Grantor shall permit to be included within the definition of street from time to time.
(49) Subscriber means any person, firm, corporation, or other entity, who or which elected to subscribe to, for any purpose, a service provided by the Grantee by means of, or in connection with the Cable Communications System.
(50) Substantially Completed means that sufficient distribution facilities have been installed by the Grantee so as to permit the offering of full network service to at least ninety percent (90%) of the potential subscribers in the service area.
(51) Tapping means observing a two-way communications signal exchange, where the observer is neither of the communicating parties, whether the exchange is observed by visual or electronic means, for any purpose whatsoever.
(52) Year means the remaining portion of 1983. Thereafter Year means a full calendar year.
19.04.040 Grant of Franchise.
(1) Grant--In the event that Grantor shall grant to the Grantee a nonexclusive, revocable franchise to construct, operate, maintain, and reconstruct, a Cable Communications System within the franchise area, said 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. The Franchise Agreement shall include those provisions of the Grantee’s “Application for Franchise” that are finally negotiated and accepted by the Grantor and Grantee.
Any franchise granted under the terms and conditions contained herein shall be consistent with general law and/or statutory requirements, which are incorporated by its reference as if fully set forth herein. In the event of conflict between the terms and conditions of the franchise and this Chapter, any mandatory provisions of the chapter in effect at the time of the adoption of a Franchise Agreement shall control; however, the Franchise Agreement shall control as to any optional provisions. (Optional provisions include provisions which state “to the extent (or it provided for) in the franchise agreement.”) If this Chapter provides for an optional provisions by the franchise agreement is silent as to that provision, then the provision shall be deemed not applicable to that franchise agreement. Amendments to this Chapter shall not affect any Franchise Agreement entered into prior to the effective date of the amendment, unless both parties to the Franchise Agreement also amend the Agreement to incorporate the provisions of the amended Chapter. In the event of any conflict between the Agreement and Grantee’s Franchise Application, the provisions of the Agreement shall govern.
Any franchise granted is hereby made subject to the general Chapter provisions now in effect or hereafter made effective. Nothing in the franchise shall be deemed to waive the requirements of the various codes and ordinances of the Grantor regarding permits, fees to be paid or manner of construction.
(2) Franchise Territory--The Grantor may grant a franchise for all or any defined portion of the City. The service area shall be the entire territory defined in the Franchise Agreement. The initial service area shall be that portion of the franchise territory scheduled to receive initial service, as stated in the Franchise Agreement.
(3) Use of Public Streets and Ways--For the purpose of operating and maintaining a Cable Communications System in the franchise area, and subject to the provisions of Section 19.04.070 (10) herein, the 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 construction or alteration, however, the Grantee shall in each case file plans with the appropriate Grantor agencies and local utility companies, and receive written approval, if required, before proceeding.
(4) Duration--The term of any franchise and all rights, privileges, obligations and restrictions pertaining thereto shall be fifteen (15) years from 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 by the Grantor approving the franchise agreement. (Ord. 498, Sec. 4, 1983)
(5) Franchise Nonexclusive--The franchise granted herein is nonexclusive. The Grantor specifically reserves the right to grant, at any time, such additional franchises for a Cable Communications System as it deems appropriate.
(6) Transfer of Ownership or Control
(a) Transfer of Franchise. Any franchise granted hereunder shall be a privilege to be held for the benefit of the public. Said franchise cannot in any event be sold, transferred, leased, assigned or disposed of, including but not limited to, by forced or voluntary sale, merger, consolidation, receivership, or other, means without the prior consent of the Grantor, and then only under such conditions as the Grantor may establish. Such consent as required by the Grantor shall, however, not be unreasonably withheld.
(b) Ownership or Control. The Grantee shall promptly notify the Grantor of any proposed change in, or transfer of, or acquisition by any other party of, control of the Grantee, the word “control” as used herein is not limited to major stockholders but includes actual working control in whatever manner exercised. A rebuttable presumption that a transfer of control has occurred shall arise upon the acquisition or transfer by any person or group of persons of ten percent (10%) of the voting shares or 10% ownership of the Grantee. Every channel, transfer, or acquisition of control of the Grantee shall make the franchise subject to cancellation, unless and until the Grantor shall have consented thereto, which consent will not be unreasonably withheld, for the purpose of determining whether it shall consent to such change, transfer, or acquisition of control, the Grantor may inquire into the qualifications of the prospective controlling party, and the Grantee shall assist the Grantor in any such inquiry. (Ord. 498, Sec. 4, 1983)
In seeking the Grantor’s consent to any change in ownership or control, the Grantee shall have the responsibility:
(1) To show to the satisfaction for the Grantor whether the proposed purchaser, transferee, or assignee (the “proposed transferee”), which in the case of a corporation shall include all officers, directors, employees and all persons having a legal or equitable interest in five percent (5%) or more of its voting stock, or any of the proposed transferee’s principals:
a. Has ever been convicted or held liable for acts involving moral turpitude including, but not limited to, any violation of Federal, State or local law or regulations, or is presently under an indictment, investigation or complaint charging such acts:
b. Has ever had a judgment in an action for fraud, deceit or misrepresentation entered against it, her, him, or them by any court of competent jurisdiction; or
c. Has pending any legal claims, lawsuit or administrative proceeding arising out of, or involving a cable system.
(2) To establish to the satisfaction of the Grantor, the financial solvency of the proposed transferee by submitting the same type of current financial data for the proposed transferee which the Grantee was required to submit in its franchise application, and such other data as the Grantor may reasonably request. Financial statements shall be audited, certified and qualified by an independent Certified Public Accountant. Said information shall be kept confidential by the Grantor.
(3) To establish to the satisfaction of the Grantor that the financial and technical capability of the proposed transferee is such, as shall enable it to maintain and operate the cable system for the remaining term of the franchise under the existing franchise terms.
(c) The Grantor agrees that any financial institution having a pledge of the franchise or its assets for the advancement of money for the construction and/or operation of the franchise shall have the right to notify the Grantor that it or its designee satisfactory to the Grantor will take control and operate the Cable Television System, in the event of a Grantee default in its financial obligations. Further said financial institution shall also submit a plan for such operation that will insure continued service and compliance with all franchise requirements during the term the financial institution exercises control over the system. The financial institution shall not exercise control over the system for a period exceeding one (1) year unless extended by the Grantor in its discretion and during said period of time it shall have the right to petition the Grantor to transfer franchise to another Grantee. If the Grantor finds that such transfer after considering the legal, financial, character, technical and other public interest qualities of the applicant are satisfactory, the Grantor will transfer and assign the rights and obligations of such franchise as in the public interest. The consent of the Grantor to such transfer shall not be unreasonably withheld.
(d) The consent or approval of the Grantor to any transfer of the Grantee shall not constitute a waiver or release of the rights of the Grantor in and to the streets and any transfer shall be its terms, be expressly subordinate to the terms and conditions of the franchise.
(e) In the absence of extraordinary circumstances, the Grantor will not approve any transfer assignment of the franchise, prior to substantial completion of construction of the proposed system.
(f) In no event shall a transfer of ownership or control be approved without the successor in interest becoming a signatory to the franchise agreement. (Ord. 498, Sec. 4, 1983)
(7) Franchise Renewal. Nothing in any franchise agreement shall require renewal by the Grantor after the term of the franchise has expired, not shall renewal be presumed as a matter of vested interest.
(a) Term. The renewal term of any franchise shall not be greater than the initial term.
(b) Renewal Procedure.
(1) Not later than eighteen (18) or earlier than twenty-four (24) months prior to the expiration of any franchise, a Grantee may submit an application for renewal of such franchise, on forms approved by the Grantor, with a non-refundable application fee established by the Grantor in an amount not to exceed the reasonable cost of processing the application. The application shall set forth in detail the franchisee’s legal, character, financial and other pertinent qualifications sufficient to make a determination to renew or terminate such franchise.
(2) The application when filed shall be available for public inspection at places designated by the Grantor. No later than ninety (90) days after filing, a public hearing shall be held on the application. A decision shall be made by the Grantor not later than ninety (90) days after such hearing based upon the application, the hearing, the Grantee’s record of compliance with the franchise requirements, its record of satisfactory service, and the terms and conditions proposed for the franchise renewal period.
(3) Based on the above criteria, Grantor may decide to renew the franchise under appropriate terms and conditions, or not to renew the franchise.
(4) If Grantor’s decision is not to renew the franchise, grantor may initiate public solicitations for applications for a new franchise. The original Grantee shall not be precluded from submitting such an application.
(5) In any renewal or public solicitation, the Grantor may require additional services, system upgrade or any other conditions it deems feasible and appropriate in the light of the state-of-the-art of the cable communications industry at that time. (Ord. 498, Sec. 4, 1983)
(8) Police Powers. In accepting a franchise, the Grantee acknowledges that its rights hereunder are subject to the police power of the Grantor to adopt and enforce general ordinance necessary to the safety and welfare of the public; and it agrees to comply with all applicable general laws and ordinances enacted by the Grantor pursuant to such power.
Any conflict between the provisions of this Chapter and any other present or future lawful exercise of the grantor’s police powers shall be resolved in favor of the latter, except that any such exercise that is not of general application in the jurisdiction or applies exclusively to any Grantee or Cable Communications Systems which contains provisions inconsistent with a franchise agreement shall prevail only if upon such exercise, the Grantor finds and there actually exists an emergency constituting a danger to health, safety, property or general welfare or such exercise is mandated by law. At the termination of the emergency, then the original franchise agreement shall control.
(9) Franchise Fee
(a) Annual Franchise Payment. A Grantee of a franchise hereunder shall pay to the Grantor an annual fee in an amount as designated in the franchise agreement, but in no event less than five percent (5%) of the annual gross revenues. Such payment shall be in addition to any other and commence as of the effective date of the franchise. Grantee shall provide quarterly statements showing gross quarterly revenues. The Grantor reserves the right to inspect the books of Grantee as provided in Section 19.04.090 hereunder.
(b) Acceptance by Grantor. No acceptance of any payment by the Grantor shall be construed as a release or as an accord and satisfaction of any claim the Grantor may have for further or additional sums payable as a franchise fee under this Chapter or for the performance of any other obligation of the Grantee.
(c) Failure to Make Required Payment. In the event that any franchise payment or recomputed amount is not made on or before the dates specified herein, Grantee shall pay as additional compensation:
(1) An interest charge, computed from such due date, at the annual rate equal to the commercial prime interest rate in effect upon the due date.
(2) A sum of money equal to five percent (5%) of the amount due in order to defray those additional expenses and costs incurred by the Grantor by reason of delinquent payment.
(3) But in no event shall the total of (1) and (2) above be in an amount in excess of that permitted by law.
(d) Due Date for Franchise Fee. Payment due the Grantor under this provision shall be computed quarterly, for the preceding quarter, as of March 30, June 30, September 30, and December 31. Each quarterly payment shall be due and payable no later than thirty (30) days after the dates listed in the previous sentence. Each payment shall be accompanied by a brief report showing the basis for the computation and such other relevant facts as may be required by the Grantor.
(e) Initial Payment. Following the issuance and acceptance of the franchise, the Grantee shall initiate franchise fee payments to the Grantor with the initial payment specified in the franchise agreement. This payment shall be credited against all payments due until said initial payment is completely recouped.
(10) Forfeiture or Revocation
(a) Grounds for Revocation. The Grantor reserves the right to revoke any franchise granted hereunder and rescind all rights and privileges associated with the franchise in the following circumstances, each of which shall represent a default and breach under this Chapter and the franchise grant.
(1) If the Grantee should default in the performance of any of its material obligations under this chapter or under such documents, agreements and other terms and provisions entered into by and between the Grantor and Grantee.
(2) If the Grantee should fail to provide or maintain in full force and effect, the liability and indemnification coverages or the security fund or bonds as required herein.
(3) If any court of competent jurisdiction, or any federal or state regulatory body by rules, decisions or other action determines that any material provisions of the franchise documents, including this chapter, is invalid or unenforceable prior to the commencement of system construction.
(4) If the Grantee should willfully violate any material orders or material rulings of any regulatory body have jurisdiction over the Grantee relative to this franchise but revocation shall be stayed while such orders or rulings are being contested by the Grantee in a court of competent jurisdiction.
(5) If the Grantee ceases to provide services for any reason within the control of the Grantee over the Cable Communications System. The Grantee shall not be declared at fault or be subject to any sanction under any provisions of this ordinance in any case in which performance of any such provision is prevented for reasons beyond the Grantee’s control if committed by a corporation or other business entity in which the Grantee holds a controlling interest, whether held directly or indirectly. (Ord. 498, Sec. 4 1983)
(6) If the Grantee attempts to evade any of the provisions of this chapter or the franchise agreement or practices any fraud or deceit upon the Grantor.
(7) If the Grantee’s construction schedule is delayed for more than eighteen (18) months later than the schedule contained in the franchise agreement and Grantor finds that the delay was not excusable.
(8) If the Grantee becomes insolvent, unable or unwilling to pay its debts, or is adjudged a bankrupt.
(b) Procedure Prior to Revocation.
(1) The Grantor may make written demand that the Grantee do so comply with any such requirements, limitation, term, condition, rule or regulations or correct any action deemed cause of revocation. If the failure, refusal or neglect of the Grantee continues for a period of thirty (30) days following such written demand, the Grantor may place its request for termination of the franchise upon a regular Grantor meeting agenda. The Grantor shall cause notice to be served upon such Grantee, at least ten (10) days prior to the date of such meeting, a written notice of this intent to request such termination, and the time and place of the meeting, notice of which shall be published at least once, ten (10) days before such meeting in a newspaper of general circulation within the franchise area.
(2) The Grantor shall hear any persons interested therein, and shall determine, in its discretion, whether or not any failure, refusal or neglect by the Grantee was with just cause.
(3) If such failure, refusal or neglect by the Grantee was with just cause, the Grantor shall direct the Grantee to comply within such time and manner and upon such terms and conditions as are reasonable.
(4) If the Grantor shall determine such failure, refusal or neglect by the Grantee was without just cause, then the Grantor may, by resolution, declare that the franchise of such Grantee shall be terminated and security fund and bonds forfeited unless there be compliance by the Grantee within such period as the Grantor may fix.
(11) Procedures in the Event of Termination or Expiration
(a) Disposition of Facilities In the event a franchise expires, is revoked, or otherwise terminated, the Grantor may order the removal of the system facilities from the franchise area within a reasonable period of time as determined by the Grantor, or require the original Grantee to maintain and operate its network until subsequent or modified cable system becomes operational. (Ord. 498, Sec. 4, 1983)
(b) Restoration of Property. In removing its plant, structures and equipment, the Grantee shall refill, at its own expense, any excavation that shall be made by it and shall leave all public ways and places in as good condition as that prevailing prior to the Grantee’s removal of its equipment and appliances, without affecting the electrical or telephone cable wires, or attachments. The Grantor shall inspect and approve the condition of the public ways and public places; and cables, wires, attachments and poles after removal. The liability, indemnity and insurance, and the security fund and bonds provided therein shall continue in full force and during the period of removal and until full compliance by the Grantee with the terms and conditions of this Section.
(c) Restoration by Grantor, Reimbursement of Costs. In the event of a failure by the Grantee to complete any work required by Subsection (a) above and/or Subsection (b) above, or any other work required by Grantor by law or ordinance within the time as may be established and to the satisfaction of the Grantor, the Grantor may cause such work to be done and the Grantee shall reimburse the Grantor the cost thereof within thirty (30) days after receipt of an itemized list of such costs or the Grantor may recover such costs through the security fund or bonds provided by the Grantee. The Grantor shall be permitted to seek legal and equitable relief to enforce the provisions of this section.
(d) Extended Operation. Upon either the expiration or revocation of the franchise, the Grantor may require the Grantee to continue to operate the Cable Communications System for a defined period of time not to exceed twenty-four (24) months from the date of such expiration or revocation. The Grantee shall, as trustee for its successor in interest, continue to operate the Cable Communications System under the terms and conditions of this chapter and the franchise agreement and to provide the regular subscriber service and any and all of the services that may be provided at that time. The Grantor shall be permitted to seek legal and equitable relief to enforce the provisions of this Section.
(e) Grantor’s Right Not Affected. The termination and forfeiture of any franchise shall in no way affect any of the rights of the Grantor under the franchise or any provision of law. (Ord 498, Sec. 4, 1983)
(12) Receivership and Foreclosure
(a) Any franchise granted herein shall, at the option of the Grantor, cease and terminate one hundred twenty (120) days after the appointment of a receiver or receivers or trustee or trustees to take over and conduct the business of the Grantee whether in a receivership, reorganization, bankruptcy or other action or proceeding unless such receivership or trusteeship shall have been vacated prior to the expiration of said one hundred twenty (120) days, or unless:
(1) Such receivers or trustees shall have, within one hundred twenty (120) days after their election or appointment, fully complied with all the terms and provisions of this ordinance and the franchise granted pursuant hereto, and the receivers or trustees within said one hundred twenty (120) days shall have remedied all defaults under the franchise; and
(2) Such receivers or trustees shall, within said one hundred twenty (120) days, execute an agreement duly approved by the Court having jurisdiction in the premises, whereby such receivers or trustees assume to be bound by each and every term, provision and limitation of the franchise herein granted.
(b) In the case of a foreclosure or other judicial sale of the plant, property and equipment of the Grantee, or any part thereof, including or excluding this franchise, the Grantor may serve notice of termination upon the Grantee and the successful bidder at such sale, in which event the successful bidder at such sale, in which event the franchise herein granted and all rights and privileges of the Grantee hereunder shall cease and terminate thirty (30) days after service of such notice, unless:
(1) The Grantor shall have approved the transfer of this franchise, as and in the manner in this chapter provided, and
(2) Such successful bidder shall have covenanted and agreed with the Grantor to assume and be bound by all the terms and conditions of this franchise. (Ord. 498, Sec. 4, 1983)
(13) 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 in accordance with the provisions of this chapter.
(14) Establishment of Franchise Requirements. The Grantor may establish appropriate requirements for new franchises or franchise renewals, and may modify these requirements from time to time to reflect changing conditions and state-of-the-art in the cable television industry. Such requirements shall not be retroactive to franchises then in effect. (Ord. 428, Sec. 4, 1983)
19.04.050 Regulations of Franchise.
(1) Regulatory Authority. The Grantor shall exercise appropriate regulatory authority under the provisions of this ordinance and applicable law. If the franchise area served by this Cable Communications System also serves other contiguous or neighboring communities, Grantor may, at its sole option, participate in a joint regulatory agency, with delegated responsibility in the area of cable and related communications.
(2) Regulatory Responsibility. The Grantor, acting alone or acting jointly with other Grantors, may exercise or delegate the following regulatory responsibility:
(a) Administering and enforcing the provisions of the Cable Communications System franchise(s).
(b) Coordination of the operation of government and educational channels.
(c) Providing technical, programming and operational support to public agency users, such as government departments, schools, and health care institutions.
(d) Establishing procedures and standards for use of channels dedicated to public use and sharing of public facilities, if provided for in any franchise agreement, and any to the extent provided for therein.
(e) Planning expansion and growth of public benefit cable services, but permitting the Grantee to implement such plans as it may reasonably desire.
(f) Analyzing the possibility of integrating cable communications with other local, state or national telecommunications networks.
(g) Formulating and recommending long-range telecommunications policy.
(3) Public Usage of the System. If so specified in the franchise agreement and to the extent specified therein, the Grantor may utilize a portion of the Cable Communications System capacity, and associated facilities and resources, to develop and provide cable services that will be in the public interest. In furtherance of this purpose, the Grantor may establish a commission, public corporation, or other entity to receive and allocate facilities, support funds and other considerations provided by the Grantee, and/or others. Such a public corporation, if established, may be delegated the following responsibilities:
(a) Receive and utilize or reallocate for utilization, channel capacity, facilities funding and other support provided to Grantor (but not the general public) specifically for public usage of the Cable Communications System.
(b) Review the status and progress of each service developed for public benefit.
(c) Reallocate resources on a periodic basis to conform with changing priorities and public needs.
(d) Report to the Grantor annually on the utilization of resources, the new public services developed and the benefits achieved for the City and its resident.
(4) Reservation by Grantor. The Grantor reserves the right, at its discretion, from time to time, to determine if the entity described in Section (3) above is performing its purposes in a manner satisfactory to the Grantor, and if it is not, the Grantor may establish another entity. A new entity shall be required to comply in all respects with the legal responsibilities described in Section (3).
(5) Initial Rates.
(a) The Grantee shall establish initial rates that must be applied fairly and uniformly to all subscribers in the franchise area for its services in accordance with the rates contained in the franchise agreement or subsequent amendments to the agreement. (Ord. 563, Sec. 1, 1986)
(b) Initial basic subscriber rates shall be effective for a minimum of two (2) years from the date cable service commences, or until Grantee has completed all construction proposed in its application or such longer term as maybe provided in the franchise agreement.
(6) Rate Change Procedure.
(a) Grantee shall charge subscribers to the subject cable television system only those rates and charges which are approved from time to time by the Grantor for the services described in the proposal of Grantee. Commencing upon the date this franchise becomes effective and until such time as the cable television system described in the proposal of Grantee is deemed complete, the rates and charges for services of Grantee is deemed complete, the rates and charges for services of Grantee shall be only those which are set forth in the proposal of Grantee. Said rates and charges shall be increased by Grantee during such time only if the Grantor so approves.
(b) Grantee may make application to Grantor for an increase in the rates and charges. Said application shall contain such information as Grantor deems necessary and/or desirable to determine whether then-existing rates and charges should be increased. Grantor shall complete a review of said application within forty-five (45) days after the filing thereof by Grantee to ensure that all required information has been provided by Grantee. (Ord. 498, Sec. 5, 1983)
(c) Within ten (10) days after Grantor has completed its review of the application and all required information has been provided by Grantee, notice of the proposed increase shall be mailed by Grantee to all subscribers, in the form approved by Grantor.
(d) If less than twenty percent (20%) of the subscribers file a written notice with Grantor within thirty (30) days after the mailing of the notice of increase objecting to the proposed increase, said increase shall become effective on the date indicated in the notice, which date shall be not less than forty-five (45) days after the mailing of said notice.
(e) If more than twenty percent (20%) of the subscribers object to the proposed increase within thirty (30) days after the mailing of the notice of increase, a public hearing shall be conducted by the Grantor within thirty (30) days after the close of the objection period to determine whether and to what extent the requested rates and charges should be increased. Notice of said public hearing shall be published in a newspaper of general circulation at least ten (10) days before said public hearing and shall be disseminated by such other means as Grantor may direct. The decision of the Grantor shall be final thirty (30) days after the date of said public hearing.
(f) Schedule of Rates. The Grantee shall maintain and file with the Grantor, a complete schedule of subscriber rates including all fees and charges for services not subject to regulation or approval by the Grantor.
(g) Disconnections. There shall be no charge for disconnections from the system, providing the subscriber returns all of Grantee’s equipment to Grantee. However, if a subscriber has failed to pay properly due monthly fees or if a subscriber disconnects for seasonal periods, the Grantee may require, in addition to full payment of any delinquent fees, a reasonable fee for reconnection.
(h) No Consideration Beyond Schedule. The Grantee shall receive no consideration whatsoever for or in connection with its provision of service to its subscribers other than as set forth in this Section or as filed with and/or approved by the Grantor.
(7) Annual Review of Performance. At Grantor’s sole option, within ninety (90) days of the first anniversary of the effective date of each franchise, the Grantor and Grantee shall meet publicly to review the performance, quality of service and rates of the cable communications system. The reports required in Section 19.040.090 (3) regarding subscriber complaints the records of performance tests and the opinion survey report shall be utilized as the basis for review. In addition, any subscriber may submit complaints during the review meetings, either orally or in writing, and these shall be considered. Grantor shall notify Grantee sixty (60) days prior to the exercise of said option. (Ord. 498, Sec. 5, 1983)
(a) Within thirty (30) days after the conclusion of the system performance review meetings, Grantor shall issue findings with respect to the adequacy of system performance and quality of service. If inadequacies are found, grantor may direct Grantee to reasonably correct the inadequacies within a reasonable period of time. However, Grantor cannot find inadequacies in technical standards if Grantee complies with its franchise agreement.
(b) Failure of Grantee, after due notice, to reasonably correct the inadequacies shall be considered a material breach of the franchise, and Grantor may, at its sole discretion, exercise any remedy within the scope of this ordinance and the franchise agreement considered appropriate.
(8) System and Services Review.
(a) At Grantor’s sole option, the Grantor and Grantee shall hold a System and Services Review Session on or about the third anniversary date of the franchise agreement. Subsequent System Review Sessions shall be scheduled by the Grantor each year thereafter at the request of either party upon ninety (90) days written notice to the other.
(b) Topics for discussion and review at the System and Services Review Sessions shall include but shall not be limited to, services provided, rate structure, free or discounted services, application of new technologies, system performance, programming, subscriber complaints, user complaints, rights of privacy, amendments to the franchise, undergrounding processes, developments in the law, and regulatory constraints.
(c) Either the Grantor or the Grantee may select additional topics for discussion at any Review Session.
(d) Not later than sixty (60) days after the conclusion of each System and Services Review Session, Grantor shall issue finding, including specifically a listing of any cable services not then being provided to the Grantor that are considered technically and economically feasible. Grantor may direct Grantee to provide such services within a reasonable time, under reasonable rates and conditions. Failure to provide such directed services may be considered a breach of the franchise, subject to remedies as provided in this chapter.
(9) Access Channel Management. To the extent provided for in a franchise agreement, only for any channel dedicated to the Grantor, and at Grantor’s sole cost, Grantor may provide an access channel manager upon the following terms: (Ord. 498, Sec. 5, 1983)
(a) Intent. It is the intent of the Grantor to insure that access and community channels provided for in any franchise agreement, shall be managed in the best public interest, so that programming on such channels will be free of censorship, open to all residents, and available for all forms of public expression, community information and debate of public issues. Pursuant to these objectives, the Grantor may delegate the responsibility for access channel management to a nonprofit entity, termed the Access Channel Manager, which may include, but not be limited to, any of the following:
(1) A nonprofit public corporation.
(2) An access management commission or committee, appointed by Grantor, and representing a broad spectrum of the community.
(3) An established nonprofit entity with special cable casting capability, such as a local or regional community college.
(b) Functions. The Access Channel Manager shall have the following functions:
(1) Responsibility for program production for and management of the Public Access Channel and all other channels as may in the franchise agreement be designated for community-based programming. Community channels may include Government and Educational Access Channels, as designated in the franchise agreement.
(2) To assure that the Public Access and Community channels are made available to all residents of the franchise area on a nondiscriminatory, first-come, first-served basis.
(3) To assure that no censorship or control over program content of the Public Access and Community channel(s) exist, except as necessary to comply with FCC prohibition of material that is obscene, or contains commercial advertising, or conducts a lottery, etc.
(4) To devise, establish, and administer all rules, regulations, and procedures pertaining to the use and scheduling of the Public Access and Community channels.
(5) To prepare, in conjunction with the Grantee, such regular or special reports as may be required or desirable.
(6) To hire and supervise staff.
(7) To make all purchases of materials and equipment that may be required.
(8) To develop additional sources of funding, such as foundation or federal or state grants, to further community programming.
(9) To perform such other functions relevant to the Public and Community channel(s) as may be appropriate. (Ord. 498, Sec. 5, 1983)
(10) Establishment of budgets on an annual basis, and utilization of funds and resources received from the Grantor or the public usage entity designated in Section 19.04.050 (3) for the purpose of access programming.
(c) Access Rules. The access channel manager shall complete a set of rules for the use of the Access and Community channels under its jurisdiction, which shall be promptly forwarded to the Grantor. The rules shall be prepared in cooperation with the Grantee, and confirmed by a contractual agreement between the Access Channel Manager and the Grantee. The rules shall, at a minimum, provide for:
(1) Access on a first-come, first-served, nondiscriminatory basis for all residents of the franchise area;
(2) Prohibition of advertising for commercial or political purposes, as required by the FCC;
(3) Prohibition of any presentation of illegal lottery information, obscene or indecent material;
(4) Public inspection of the log of producers, which shall be retained by the Grantee for a period of two (2) years;
(5) Procedure by which individuals or groups who violate any rule may be prevented from further access to the channel; and
(6) Free use of such reasonable amounts of channel time, cablecasting facilities, and technical support as are provided for in the agreement between the access channel manager and the Grantee.
(d) Access Channel Manager Reports to Grantor. The Access Channel Manager shall provide a report to the Grantor, at least annually, indicating achievements in community-based programming and services. The Access Channel Manager also shall provide a special report each time Grantee requests an increase in rates, indicating the level and quality of Grantee’s support, during the period elapsed since any previous rate increase was implemented.
19.04.060 General Financial and Insurance Provisions.
(1) Construction Bond
(a) Within thirty (30) days after the granting of a franchise and prior to the commencement of any construction work by the Grantee, the Grantee shall file with the Grantor a construction bond in the amount which may be specified in the franchise agreement in favor of the Grantor and any other person who may claim damages as a result of the breach of any duty by the Grantee assured by such bond. (Ord. 498, Sec. 6, 1983)
(b) Such bond as contemplated herein shall be in the form approved by the Grantor and shall, among other matters, cover the cost of removal of any properties installed by the Grantee in the event said Grantee shall default in the performance of its franchise obligation.
(c) In no event shall the amount of said bond be construed to limit the liability of the Grantee for damages.
(d) Grantor, at its sole option, may waive this requirement, permit consolidation of the construction bond with the performance bond and security fund specified, respectively in Section (2) and (3).
(2) Performance Bond
(a) In addition to the construction bond set forth above, the Grantee shall, at least thirty (30) days prior to the commencement of operation, file with the Grantor a performance bond in the amount which may be specified in the Franchise Agreement in favor of the Grantor and any other person who may be entitled to damages as a result of any occurrence in the operation or termination of a Cable Communications System operated under the franchise agreement, and including the payments required to be made to the Grantor hereunder.
(b) Such bond as contemplated herein shall be in the form approved by the Grantor and shall among other matters cover the cost of removal of any properties installed by the Grantee and in the event said Grantee shall default in the performance of its franchise obligation.
(c) In no event shall the amount of said bond be construed to limit the liability of the Grantee damages.
(3) Security Fund
(a) Within thirty (30) days after the effective date of the franchise, the Grantee shall deposit into a bank account, established by the Grantor and maintain on deposit through the term of this franchise the sum specified in the franchise agreement, as security for the faithful performance by it of all the provisions of the franchise, and compliance with all order, permits and directions of any agency of the Grantor having jurisdiction over its acts or defaults under this ordinance, and the payment by the Grantee of any claims, liens and taxes due the Grantor which arise by reason of the construction, operation or maintenance of the system.
The security fund may be assessed by the Grantor for purposes including, but not limited to, the following:
(1) Failure of Grantee to pay Grantor sums due under the terms of the franchise. (Ord. 428, Sec. 6, 1983)
(2) Reimbursement of costs borne by the Grantor to correct franchise violations not corrected by Grantee, after due notice.
(3) Monetary remedies or penalties assessed against Grantee due to default or violation of franchise requirements.
(b) At Grantor’s sole option as provided in the franchise agreement, some or all of the security fund may be provided in the acceptable form of an irrevocable letter of credit, in lieu of a cash deposit.
(c) Within thirty (30) days after notice to it that any amount has been withdrawn by the Grantor from the security fund pursuant to Subsection (a) of this Section, the Grantee shall deposit a sum of money sufficient to restore such security fund to the original amount.
(d) If the Grantee fails, after ten (10) days notice to pay to the Grantor any franchise fee or taxes due and unpaid; or, fails to pay to the Grantor within such ten (10) days any damages, costs or expenses which the Grantor shall be compelled to pay by reason of any act or default of the Grantee in connection with this franchise; or fails, after thirty (30) days notice of such failure by the Grantor to comply with any provisions of the franchise which the Grantor reasonably determines can be remedied by an expenditure of the security, the Grantor may immediately withdraw the amount thereof, with interest and any penalties, from the security fund. Upon such withdrawal, the Grantor shall notify the Grantee of the amount and date thereof.
(e) The security fund deposited pursuant to this Section shall become the property of the grantor in the event that the franchise is revoked for cause by reason of the default of the Grantee in accordance with the procedures of Section 19.04.040 (10) above, but only to the extent of liquidated or actual damages, fees or costs. The Grantee, however, shall be entitled to the return of such security fund, or portion thereof, as remains on deposit no later than ninety (90) days after the expiration of the term of the franchise, provided that there is then no outstanding default on the part of the Grantee.
(f) The rights reserved to the Grantor with respect to the security fund are in addition to all other rights of the Grantor whether reserved by this contract or authorized by law, and no action, proceeding or exercise of a right with respect to such security fund shall affect any other right the Grantor may have.
(4) Indemnification
(a) The Grantee shall by acceptance of the franchise granted herein indemnify, defend and hold harmless the 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:
(1) The act of the Grantor in granting this franchise; and
(2) The acts or omissions of Grantee, its servants, employees, or agents.
Both such indemnifications shall cover such claims arising in tort, contracts, violations of statutes, ordinances or regulations or otherwise.
(b) In the event any such claims shall arise, the Grantor shall tender the defense thereof to the Grantee provided, however, that the Grantor in its sole discretion may participate in the defense of such claims at its expense.
(5) Insurance
(a) The 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 the 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, non-ownership 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) The Grantee shall furnish the Grantor with copies of such insurance policies and certificates of insurance.
(c) Such insurance policies provided for herein shall name the Grantor, its officers, boards, commissions, agents, and employees as additional insureds and shall contain the following endorsements:
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 the City by registered mail 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 the Grantee to the Grantor under the franchise issued hereunder to the amounts of such insurance.
19.04.070 Design and Construction Provisions.
(1) System Design. The Cable Communications System shall be constructed in accordance with the design requirements contained in the franchise agreement.
(2) Geographical Coverage. The Grantee shall design and construct the Cable 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 area of the franchise effective date of franchise. Service shall be provided to subscribers in accordance with the schedules and line extension policies specified in the franchise agreement. Cable system construction and provisions of service to any section of the franchise area on the grounds of economic preference.
(3) Cablecasting Facilities. The Grantee shall provide cablecasting facilities in accordance with the requirements of the franchise agreement.
(4) System Construction Schedule
(a) The Grantee shall comply with the requirements of the system construction schedule contained in the franchise agreement.
(b) The Grantee shall provide a detailed construction plan indicating progress schedule, area construction maps, test plan, and projected dates for offering service. In addition, the Grantee shall update this information on a monthly basis, showing specifically whether schedules are being met and the reasons for any delay.
(5) Remedies for delay in Construction. The Grantor may at its sole option, apply any and all of the following remedies in connection with delays in system construction:
(a) Reduction in the duration of the franchise on a month-for-month basis for each month of delay exceeding six (6) months.
(b) Forfeiture of construction bonds, and/or assessment of monetary damages up to a maximum limit specified in the franchise agreement, levied against the security fund for delays exceeding one (1) year.
(c) Termination of the franchise within one (1) year after award of the franchise if the Grantee has failed to initiate system construction.
(d) Termination of the franchise for other delays within the control of Grantee, exceeding eighteen (18) months. (Ord. 428, Sec. 7, 1983)
Any penalties applied shall be in accordance with the procedure contained in Section 19.04.120.
(6) Provisions of Service. After service has been established by activating truck cables for any area, the Grantee shall provide service to any requesting subscriber within that area within thirty (30) days from the date of request.
(7) Undergrounding of Cable. The undergrounding of cable is encouraged. In any event, cables shall be installed underground at Grantee’s cost where existing utilities are already underground. Previously installed aerial cable shall be underground or relocated in concert, and on a cost-sharing basis, with other utilities, when such other utilities may convert from aerial to underground construction, as may be more completely agreed in the franchise agreement.
(8) New Development Underground. In cases of new construction or property development where utilities are to be placed underground, upon request by the 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 and/or vaults, and laterals to be provided at Grantee’s expense. Grantee shall also provide specifications as needed for trenching.
Costs of trenching and easements and conduit 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 and/or vaults, and laterals within five (5) 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 the five (5) day period, the cost of new trenching is to be borne by Grantee.
(9) Underground at 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 the undergrounding of multiple drop cables between the pole and the dwelling unit if economically feasible. The burden of proof shall be upon the Grantee to demonstrate why undergrounding of drop cables is technically or economically unfeasible.
(10) Street Occupancy
(a) Grantee shall utilize existing poles, conduits and other facilities whenever possible and shall not construct or install any new, different, or additional poles, conduit, or other facilities whether on public property or on privately-owned property until the written approval of the Grantor is obtained. However, no location of any pole or wire holding structure of the Grantee shall be a vested interest and such poles or structures shall be removed or modified by the Grantee at its own expense or as provided in the franchise agreement whenever the Grantor determines that the public convenience would be enhanced thereby.
(b) Grantee shall notify the Grantor at least ten (10) days prior to the intention of the Grantee to commence any construction in any streets. The Grantor shall cooperate with the Grantee in granting any permits required, providing such grant and subsequent construction by the 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 the Grantor.
(c) All transmission lines, equipment and structures 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. The 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 public. Any poles or other fixtures placed in any public way by the 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, and in a manner approved by the Grantor, restore to Grantor standards and specifications 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 judgment of the Grantor to remove any of the Grantee’s facilities, no charge shall be made by the Grantee against the Grantor for restoration and repair.
(f) Grantee shall have the authority to trim trees on public property at its own expense as may be necessary to protect its wires and facilities, subject to the supervision and direction of the Grantor. Trimming of trees on private property shall require written consent of the property owner.
(g) The Grantee at its expense shall protect, support, temporarily disconnect, relocate, or remove any property of Grantee when, in the opinion of the 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, water pipes, 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 building, redevelopment, or any general program under which the Grantor shall undertake to cause any such properties to be located beneath the surface of the ground. Nothing hereunder shall be deemed a taking of the property of Grantee and Grantee shall be entitled to no surcharge by reason of anything hereunder.
(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 the Grantor, the Grantor may, at its option, cause such work to be done and the Grantee shall pay to the Grantor the cost thereof in the itemized amounts reported by the Grantor to Grantee within thirty (30) days after receipt of such itemized report.
(i) The Grantee shall make no paving cuts or curb cuts unless absolutely necessary and only after written permission has been given by the Grantor.
(j) Grantor reserves the right to require conduit for underground cable as determined by the Superintendent of Streets.
(11) Construction and Technical Standards
(a) Construction Standards
(1) Compliance with Safety Codes. All construction practices shall be in accordance with all applicable sections of the Occupational Safety and Health Act of 1970 and any amendments thereto as well as all state and local codes where applicable.
(2) Compliance with Electrical Codes. All installation of electronic equipment shall be of a permanent nature, durable and installed in accordance with the provisions of the Basic BOCA Electrical Code and the California Public Utilities Commission General orders, as amended.
(3) Antennas and Towers. Antenna supporting structures (towers) shall be designed for the proper loading as specified in Electronics Industry Association’s R.S.-222-A specifications and/or by the California Public Utilities Commission General Orders, as amended.
(4) Compliance with Aviation Requirements. Antenna supporting structures (tower) shall be painted, lighted, erected and maintained in accordance with all applicable rules and regulations of the Federal Aviation Administration and all other applicable state and local codes and regulations. (Ord 428, Sec. 7, 1983)
(5) Construction Standards and Requirements. All of the Grantee’s plant and equipment, including but not limited to the antenna site, head-end and distribution system towers, house 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 the 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.
(6) Safety, Nuisance, Requirements. The 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.
(b) Technical Standards. The Cable Communications System shall meet all technical and performance standards contained in the Franchise Agreement.
(c) Test and Compliance Procedure. The Grantee shall submit, within sixty (60) days after the effective date of the franchise agreement, a detailed test plan describing the methods and schedules for testing the Cable Communications System on an ongoing basis to determine compliance with the provisions of the franchise agreement. At any time after commencement of service to subscribers the Grantor may require tests of the system or tests involving a specific subscriber’s terminal. Requests for such tests will be made on the basis of complaints received and other evidence indicating an unresolved controversy or significant noncompliance. The Grantor shall endeavor to so arrange its requests for such special tests so as to make every effort to minimize hardship or inconvenience to Grantee or to the subscriber. If more than ten percent (10%) of the locations tested fail to meet the performance standards, the Grantee shall be required to indicate what corrective measures have been taken, and the entire test shall be repeated. A second failure of more than ten percent (10%) may result, at the Grantor’s option, in remedies, including but not limited to an order to reduce subscriber rates due to degraded service.
(12) Areawide Interconnection.
(a) Interconnection Required. The Grantee shall interconnect public usage channels of the Cable Communications System with any or all other cable systems in adjacent areas, if, and as may be agreed in the franchise agreement. (Ord. 498, Sec. 7, 1983)
(b) Interconnection Procedure. Upon receiving the directive of the Grantor to interconnect, the Grantee shall immediately initiate negotiations with the other affected system or systems. The cost shall be borne by both Grantees, in the proportion of number of channels received to total number of channels transmitted and received, under the assumption that benefits accrue primarily through receipt of additional channels.
In the case of regional or state-wide interconnection, the same principle shall apply.
(c) Relief. The Grantee may be granted reasonable extensions of time to interconnect or the Grantor may rescind its order to interconnect upon petition by the Grantee to the Grantor. The Grantor may grant said request if it finds that the Grantee has negotiated in good faith and has failed to obtain an approval from the system or systems of the proposed interconnection, or that the cost of the interconnection would cause an unreasonable or unacceptable increase in subscriber rates.
(d) Cooperation Required. The Grantee shall cooperate with any interconnection corporation, regional interconnection authority or city, county, state and federal regulatory agency which may be hereafter established for the purpose of regulating, financing, or otherwise providing for the interconnection of cable systems beyond the boundaries of the franchise territory.
(e) Initial Technical Requirements to Assure Future Interconnection Capability.
(1) All Cable Communications System receiving franchises to operate within the franchise territory shall use the same frequency allocations for commonly provided televisions signals so far as is technically and economically feasible.
(2) Grantee shall provide local origination and access equipment that is compatible throughout the area so that video cassettes or videotapes can be shared by various systems. (Ord. 498, Sec. 7, 1983)
19.04.080 Service Provisions.
(1) Services to be Provided. The Grantee shall provide as a minimum, the services listed in the franchise agreement. Services shall not be reduced, except as provided therein, without prior approval of Grantor.
(2) Basic Subscriber Television Service (BSTS). The “Basic Subscriber Television Service” shall include those signals as may be specified in the franchise agreement. This service shall be provided to all subscribers at the established BSTS monthly subscription rates. (Ord. 498, Sec. 8, 1983)
(3) Basic Subscriber Radio Service (BSRS). The “Basic Subscriber Radio Service” shall include the provision of all audio services designated in the franchise agreement, including broadcast FM radio, and cablecast FM signals. This service, when and if provided, shall be provided to all subscribers at the established BSRS monthly subscription rates.
(4) Institutional Service (IS). If specified in the franchise agreement, the “Institutional Service” shall include the provision of transmission and/or reception services to institutional users, on a leased channel basis at established IS rates. Services may include the distribution of video or non-video signals.
(5) Additional Subscriber Services. “Additional Subscriber Services”, not included in the BSTS and BSRS services specified above, may be provided, either within the basic subscription rates, or on a premium basis, subject to applicable FCC regulations.
(6) Local Origination Channel (s). The Grantee shall operate the cablecasting studios on a high-quality, professional basis for the purpose of providing cablecast programming responsible to local needs and interests. The emphasis for the Local Origination Channel(s) shall be on providing programming that is unavailable to viewers on broadcast television channels.
(7) Government Access Channel(s). The Grantee shall provide the number of channels specified in the franchise agreement, including all agreed upon equipment to permit operation, for the use of the Grantor, at no charge to the Grantor. The Grantee shall make reasonable effort to provide advice and technical expertise to aid in the utilization of these channels.
(8) Educational Access Channel(s). The Grantee shall provide the number of channels specified in the franchise agreement, including agreed upon equipment to permit operation, for the use of the local educational institutions at no charge. The Grantee shall make reasonable effort to provide advice and technical expertise to aid in the utilization of these channels. (Ord. 498, Sec. 8, 1983)
(9) Public Access Channel(s). The Grantee shall provide the number of channels specified in the franchise agreement, including agreed upon equipment to permit operation, to be available to the public at no charge. The dedicated Public Access Channel(s) shall be managed and operated by the Access Channel Manager, as described in Section 19.04.050. The Grantee shall make available for programmers of the public access channel the facilities and support listed in the franchise agreement.
(10) Public Access Channel(s) (Closed-Circuit). To the extent provided in franchise agreement, if provided, the Cable Communications System may include a closed-circuit institutional network, then the Grantee shall make at least three (3) two-way channels available for local government, educational and public use at no charge. The Public Access two-way channels shall be managed and operated by the Access Channel Manager as provided in the franchise agreement.
(11) Leased Access Channel. Grantee shall make available for lease, on a nondiscriminatory basis, the number of channels specified in the franchise agreement. All leased channel service revenue shall be included in gross revenues subject to the franchise fee.
(12) Universal Connection. The Grantor may require that some or all dwelling units within the franchise area shall be connected physically to the cable system by the Grantee by means of drop cables terminating at each dwelling unit, whether or not the dwelling unit’s occupants desire to subscribe to cable service. The cost and charges shall be determined by the Grantor at the time such connection is required. Grantee shall be entitled to recover the incremental cost of providing a universal connection from the Grantor when such connections are specifically required by Grantor.
19.04.090 Operation and Maintenance.
(1) Open Books and Records. The Grantee shall manage all of its operations in accordance with a policy of totally open books and records. The Grantor shall have the right to inspect at any time during normal business hours, all books, records, maps, plans, financial statements, service complaint logs, performance test results and other like materials of the Grantee which relate to the operation of the franchise and are maintained at the office within the franchise territory.
If any of such books or records are not kept in the local office, or upon reasonable request made available in the Grantor, and if the Grantor shall determine that an examination of such records is necessary or appropriate to the performance of any of Grantor’s duties, then all travel and maintenance expense necessarily incurred in making such examination shall be paid by Grantee. (Ord. 498, Sec. 9, 1983)
The Grantee’s accounting books and records applicable to the system shall be available for inspection by the Grantor at all reasonable times. The Grantor shall have access to records of financial transactions for the purpose of verifying burden rates or other indirect costs prorated to the operation. The documents listed above shall include sufficient detail and/or footnotes as may be necessary to provide the Grantor with the information needed to make accurate determinations as to the financial condition of the system. All financial statements shall be certified as accurate by a certified public accountant or an officer of Grantee.
(2) Records Required
(a) In any event the Grantee shall at all times maintain:
(1) A record of all complaints received and interruptions or degradation of service experienced for the preceding three (3) years.
(2) A full and complete set of plans, records and “as-built” maps showing the exact location of all Cable Communication System equipment installed or in use in the franchise territory, exclusive of subscriber service drops.
(3) Maintenance and Complaints
(a) The Grantee may maintain an office in the franchise territory which shall be open during all usual business hours. Grantee shall have a publicly listed toll-free telephone for the franchise area, and be so operated to receive subscriber complaints and requests for repairs or adjustments during normal business hours. A written log shall be maintained listing all complaints and their disposition.
(b) The Grantee shall render efficient service, make repairs promptly, and interrupt service only for good cause and for the shortest time possible. Such interruptions, insofar as possible, shall be preceded by notice and shall occur during period of minimum use of the system. A written log shall be maintained for all service interruptions.
(c) The Grantee shall maintain a repair force of technicians capable of responding to subscriber complaints or requests for service within twenty-four (24) hours after receipt of the complaint or request. No charge shall be made to the subscriber for this services unless the malfunction was caused by the subscriber. (Ord. 498, Sec. 9, 1983)
(d) The Grantee shall furnish each subscriber at the time service is installed, written instructions that clearly set forth procedures, furnish information concerning the procedures for making inquiries of complaints, including the name, address and local telephone number of the employee or employees or agent to whom such inquiries or complaints are to be addressed, and furnish information concerning the Grantor office responsible for administration of the franchise with the address and telephone number of the office.
(4) Rights of Individuals
(a) Grantee shall not deny service, deny access, or other wise discriminate against subscribers, channel users, or general citizens on the basis of race, color, religion, national origin, age or sex. 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 non-discrimination which are hereby incorporated and made part of this ordinance by reference.
(b) Grantee shall strictly adhere to the equal employment opportunity requirements of the FCC, state and local regulations, and as amended from time to time.
(c) No signals of Class IV cable communications channel shall be transmitted from a subscriber terminal for purposes of monitoring individual viewing patterns or practices without the express written permission of the subscriber. The request for such permission shall be contained in a separate document with a prominent statement that the subscriber is authorizing the permission in full knowledge of its provision. Such written permission shall be for a limited period of time not to exceed one (1) year, which shall be renewable at the option of the subscriber. No penalty shall be invoked for a subscriber’s failure to provide or renew such an authorization. The authorization shall be revocable at any time by the subscriber without penalty of any kind whatsoever. Such authorization is required for each type of classification of Class IV cable television activity planned, provided however, that the Grantee shall be entitled to conduct system-wide or individually addressed “sweeps” for the purpose of verifying system integrity, controlling return-path transmission, or billing for pay services.
(d) The Grantee, or any of its agents or employees, shall not, without the specific written authorization of the subscriber involved, sell, or otherwise make available to any party:
(1) Lists of the names and addresses of such subscribers, or
(2) Any list which identifies the viewing habits of individual subscribers.
(e) Fairness of Accessibility. The entire system of the Grantee shall be operated in a manner consistent with the principle of fairness and equal accessibility of its facilities, equipment, channels studios and other services to all citizens, business, public agencies and other entities having a legitimate use for the network; and no one shall be arbitrarily excluded from its use; allocation of use of said facilities shall be made according to the rules of decisions of the Grantee and any regulatory agencies affecting the same.
(5) Continuity of Service Mandatory
(a) It shall be the right of all subscribers to continue receiving service insofar as their financial and other obligations to the Grantee are honored. In the event that the Grantee elects to overbuild, rebuild, modify, or sell the system, or the Grantor gives notice of intent to terminate or fails to renew this franchise, the Grantee shall act so as to ensure that all subscribers receive continuous, uninterrupted service regardless of the circumstances.
In the event of a change of franchise, or in the event a new operator acquires the system, the Grantee shall cooperate with the Grantor, new franchise 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 system, and shall be entitled to reasonable costs for its services when it no longer operates the system.
(b) In the event Grantee fails to operate the system for seven (7) consecutive days without prior approval of the Grantor or without just cause, the Grantor may, at its option, operate the system or designate an operator until such time as Grantee restores service under conditions acceptable to the Grantor or a permanent operator is selected. If the Grantor is required to fulfill this obligation for the Grantee, the Grantee shall reimburse the Grantor for all reasonable costs or damages in excess of revenues from the system received by the Grantor that are the result of the Grantee’s failure to perform.
(6) Grantee Rules and Regulations. The 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 the Grantee to exercise its rights and perform its obligations under this franchise, and to assure an uninterrupted service to each and all of its customers. (Ord. 498, Sec. 9, 1983)
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. Such rules, regulations, terms and conditions shall be submitted to the Grantor for its review and Grantor approval is required prior to their becoming effective.
(7) Tenant Rights. Grantee shall be required to provide service to tenants in individual units of a multiple housing facility with all services offered to other dwelling units within the franchise area, so long as the owner of the facility consents in writing, if requested by Grantee, 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 system on the facility premises;
(c) To reasonable conditions promulgated by Grantee to protect Grantee’s equipment and to encourage widespread use of the system; and
(d) To not discriminate in rental charge, or otherwise, between tenants who receive cable service and those who do not.
19.04.100 Rights Reserved to the Grantor.
(1) Right to Purchase the System. The Grantor may in any lawful manner and upon the payment of a fair valuation lawfully ascertained, purchase, condemn, acquire, take over and hold the property and plant of the Grantee in whole or in part.
(2) Right of Inspection of Records. There shall be kept in the Grantor’s office a separate record for the franchise, which record shall show the things hereafter set forth. The Grantee shall provide such information in such form as may be required by the Grantor for said records.
(a) The true and entire cost of construction equipment, of maintenance and of the administration and operation thereto of stock issued, if any; the amount of cash paid in, the number of par value of shares, the amount and character of indebtedness, if any; the rate of taxes, the dividends declared; the character and amount of all fixed charges; the allowance, if any, for interest, for wear and tear or depreciation; all amounts of income.
(b) The amount collected annually from the Grantor treasury and the character and extent of the service rendered therefore to the Grantor.
The books of records kept by the Grantee shall be open to Grantor’s examination at any time during the business hours of the Grantee’s office. The information, in addition to any further data which may be required by the Grantor, shall be furnished by the Grantee to the Grantor upon request and at the Grantee’s own cost and expense.
The Grantor shall have the right to inspect all books, records, maps, plans, financial statements, and other like material of the Grantee at any time during normal business hours.
(3) Right of Inspection of Construction. The Grantor at its own expenses 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 this franchise and other pertinent provisions of law.
(4) Right of Intervention. The Grantor shall have the right of intervention in any suit or proceeding to which the Grantee is party and the outcome of which may impact upon the Grantor, and the Grantee shall not oppose such intervention by the Grantor.
(5) Right to Require Removal of Property. At the expiration of the term for which the franchise is granted, or upon its revocation or expiration, as provided for herein, the Grantor shall have the right to require the Grantee to remove, at its own expense, all portions of the Cable Communications System from all streets and public ways within the franchise area.
19.04.110 Rights Reserved to the Grantee.
(1) Right of Grantee. In any material dispute, the Grantee may pursue such other remedies as are available, including the bringing of action in any court of competent jurisdiction.
19.04.120 Franchise Violations.
(1) Remedies for Franchise Violations. If the Grantee fails to perform any obligation under the franchise, or fails to do so in a timely manner, the Grantor may at its option, and in its sole discretion;
(a) Assess against the Grantee monetary damages up to the limits established in the franchise agreement for material franchise violations, which the Grantee hereby agrees to pay, said assessment to be levied against the security fund, hereinabove provided, and collected by Grantor immediately upon said assessment Grantor and Grantee agree that the amount of such assessment shall be deemed, without proof, to represent liquidation of damages actually sustained by Grantor by reason of Grantee’s failure to perform. Such assessment shall not constitute a waiver by the Grantor of any other right or remedy it may have under the franchise or under applicable law (except that such liquidated amounts shall be the sole amounts recoverable), by Grantor by reason of or arising out of such breach of the franchise. This provision for assessment of damages is intended by the parties to be separate and apart from Grantor’s right to enforce the provisions of the construction and performance bonds provided for in Section 19.04.060, and is intended to substitute for compensation to Grantor for actual damages.
(b) For violations considered by Grantor to have materially degraded the quality of service, order and direct Grantee to issue rebates or reduce its rates and/or charges to subscribers, in an amount solely determined by Grantor to provide monetary relief substantially equal to the reduced quality of service resulting from Grantee’s failure to perform.
(c) Require grantee to cure all defaults and breaches of its obligations hereunder before Grantee is entitled to increase any rate or charge to subscribers hereunder.
(d) Terminate the franchise, for any of the causes stated in Section 19.04.040, above.
(e) No remedy shall be imposed by Grantor against Grantee for any violation of this franchise without Grantee being afforded due process of law, as provided for in (2) below.
Grantor may, in its sole judgment and discretion, impose any or all of the above enumerated measures against Grantee, which shall be in addition to any and all other legal or equitable remedies it has under this franchise or under any applicable law.
(2) Procedure for Remedying Franchise Violations. In the event that the Grantor determines that the Grantee has violated any provisions of the franchise, any rule or regulation promulgated pursuant hereto or any applicable federal, state, or local law, the Grantor may make a written demand on the Grantee that it remedy such violation. If the violation, breach, failure, refusal, or neglect is not remedied to the satisfaction of the Grantor within thirty (30) days following such demand, the Grantor shall determine whether or not such violation, breach, failure, refusal, or neglect by the Grantee was excusable or inexcusable, in accordance with the following procedure: (Ord. 498, Sec. 12, 1983)
(a) A public hearing shall be held and the Grantee shall be provided with an opportunity to be heard upon thirty (30) days written notice to the Grantee of the time and the place of the hearing provided and the allegations of franchise violations.
(b) If, after notice is given and at the Grantee’s option a full public proceeding is held, the Grantor determines that such violation, breach, failure, refusal, or neglect by the Grantee was excusable as provided in Section (3) below, the Grantor shall direct the Grantee to correct or remedy the same within such additional time, in such manner and upon such terms and conditions as the Grantor may direct.
(c) If, after notice is given and, at the Grantee’s option, a full public proceeding is held, the Grantor determines that such violation, breach, failure, refusal or neglect was inexcusable, then the Grantor may assess a penalty or remedy in accordance with Section (1) above.
(3) Force Majeure; 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 (30) days or other reasonable amount of time, 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.
19.04.130 Reports.
(1) Annual Reports. At Grantor’s sole option and upon sixty (60) day’s notice to Grantee, within sixty (60) days after the close of Grantee’s fiscal year, the Grantee shall submit a written annual report, in a form approved by the Grantor, including, but not limited to, the following information:
(a) A summary of the previous year’s (or, in the case of the initial report year, the initial year’s) activities in development of the cable system, including, but not limited to, services begun or discontinued during the reporting year, and the number of subscribers for each class of service;
(b) A financial statement, audited by, an independent Certified Public Accountant, or certified by an office of the Grantee, including a statement of income, revenues, operating expenses, value of plant, annual capital expenditures, depreciation with an attached depreciation schedule, interest paid, taxes paid, balance sheets, and a statement of sources and application of funds; (Ord. 498, Sec. 13, 1983.)
(c) A current statement of costs of construction; by component categories;
(d) A projected income statement and statement of projected construction for the next two (2) years;
(e) A list of Grantee’s officers, members of its board of directors, and other principals of Grantee;
(f) A list of stockholders or other equity investors holding five percent (5%) or more of the voting interest in the Grantee and its parent, subsidiary and affiliated corporations and other entities, if any;
(g) To the extent that money, other than profits, is paid to a parent, subsidiary, or other person affiliated with the Grantee, the amounts of such payments and the basis for computation of such amounts (e.g., the basis for computing any management fees or share of “home office” overhead).
(2) Plant Survey Report. At Grantor’s sole option and upon sixty (60) days, notice to Grantee, Grantee shall submit to the Grantor an annual plant survey report which shall be a complete survey of the Grantee’s plant and a full report thereon. Said report shall include, but not be limited to, a description and “as-built” maps of the portions of the franchise area that have been cabled and have all services available, and appropriate engineering evaluation including suitable electronic measurements conducted in conformity with such requirements, including supervision, as the Grantor may prescribe. Said report shall be in sufficient detail to enable the Grantor to ascertain that the service requirements and technical standards of the FCC and/or the franchise are achieved and maintained. At Grantor’s request, but no more than once per three (3) years, the Grantee and the Grantor may agree upon the appointment of a qualified independent engineer to evaluate and verify the technical performance of the Cable System. The cost of such evaluation shall be borne equally by the Grantee and the Grantor.
(3) Copies of Federal and State Reports. The Grantee shall submit to the Grantor copies of all pleadings, applications, reports, communication and documents of any kind, submitted by the Grantee to, as well as copies of all decisions, correspondence and actions by, any federal, state and local courts, regulatory agencies and other government bodies relating to its cable television operations within the franchise area. Grantee shall submit such documents to the Grantor simultaneously with their submission to such courts, agencies and bodies; and within five (5) days after their receipt from such courts, agencies and bodies. The Grantee hereby waives any right to claim confidential, privileged or proprietary rights to such documents unless such confidential rights are confidential by law or the practices of Federal or State agencies. However, proprietary data exempt from public disclosure shall be retained in confidence by the Grantor and its authorized agents and shall not be made available for public inspection.
(4) Public Reports. A copy of each of Grantee’s annual and other periodic public reports and those of its parent, subsidiary and affiliated corporations and other entities, as the Grantor requests and is reasonably appropriate, shall be submitted to the Grantor within five (5) days of its issuance.
(5) Complaint File and Reports. An accurate and comprehensive file shall be kept by the Grantee of any and all complaint regarding the cable system. A procedure shall be established by the Grantee by the time of installation of the cable system to remedy complaints quickly and reasonably to the satisfaction of the Grantor. Complete records of Grantee’s actions in response to all complaints shall be kept. These files and records shall remain open to the public during normal business hours.
(a) A summary of complaints, identifying the number and nature of complaints and their disposition, in a form approved by the Grantor, shall be completed for each month and submitted to the Grantor by the tenth day of the succeeding month.
(b) The results of an annual opinion survey report which, if required by Grantor, upon sixty (60) days written notice to Grantee, identifies satisfaction or dissatisfaction among subscribers with cable communications services offered by the Grantee shall be submitted to the Grantor no later than two (2) months after the end of the Grantee’s fiscal year. The surveys required to make said report shall be in a format approved by the Grantor and may be in a form that can be transmitted to subscribers with one (1) or more bills for service.
(6) Privacy Report. At Grantor’s sole option and upon ninety (90) days notice to Grantee, Grantee shall submit to the Grantor an annual report indicating the degree of compliance with the privacy provisions of Section 9 of this ordinance, and all steps taken to assure that the privacy rights of individuals have been protected.
(7) Miscellaneous Reports. Grantee shall submit to the Grantor such other information or reports in such forms and at such times as the Grantor may reasonably request or require, with reasonable notice.
(8) Inspection of Facilities. The Grantee shall allow the Grantor to make inspections of any of the Grantee’s facilities and equipment at any time upon reasonable notice, or, in case of emergency, upon demand without prior notice, to allow Grantee to verify the accuracy of any submitted report.
(9) Business Office and Files. The Grantee shall maintain an office serving the franchise area and shall keep complete and accurate books and records. The Grantor shall have the right to inspect at any time during normal business hours all books, records, maps, plans, financial statements, service complaint logs, performance test results and other like materials of the Grantee which relate to the operation of the Cable System. Access to the aforementioned records shall not be denied by the Grantee on the basis that said records contain confidential, privileged, or proprietary information.
(10) Public Inspection. All reports subject to public disclosure, shall be available for public inspection at a designated Grantor office during normal business hours.
(11) Failure to Report. The refusal, failure, or neglect of the Grantee to file any of the reports required, or such other reports as the Grantor reasonably may request, shall be deemed a material breach of the franchise, and shall subject the Grantee to all remedies, legal or equitable, which are available to the Grantor under the franchise or otherwise.
(12) False Statements. Any materially false or misleading statement or representation made knowingly by the Grantee in any report required under the franchise shall be deemed a material breach of the franchise and shall subject the Grantee to all remedies, legal or equitable, which are available to the Grantor under the franchise or otherwise.
(13) Cost of Reports. All reports and records required under this or any other Section shall be furnished at the sole expense of the Grantee.
19.04.140 Miscellaneous Provisions.
(1) Compliance with State and Federal Laws. Notwithstanding any other provisions of this franchise to the contrary, the Grantee shall at all times comply with the laws and regulations of the state and the federal government or any administrative agencies thereof. Provided, however, if any such state or federal law or regulation shall require the Grantee from performing any service, in conflict with the terms of this franchise or of any law or regulation of the Grantor, then as soon as possible following knowledge thereof, the Grantee shall notify the grantor of the point of conflict believed to exist between such regulation or law and the laws or regulations of the Grantor or this franchise.
(2) Separability Non-Material Provisions. If any provision of this ordinance 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 regulations, and if said provision is considered non-material by the Grantor, said provision shall be considered a separate, distinct and independent part of this ordinance, 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 the Grantor give the Grantee thirty (30) days written notice of such change before requiring compliance with said provision.
(3) Separability--Material Provisions. If any material section of this ordinance, as determined by the Grantor, is held to be invalid or preempted by federal, state or county regulations or laws, the Grantor shall negotiate with Grantee appropriate modifications to the franchise to provide reasonable relief from such invalidity or preemption, including the payment of liquidated damages. If the parties are unable to reach agreement on such modifications, then the dispute shall be submitted to a mutually agreeable arbitrator, in accordance with state law, who shall determine what modifications and/or liquidated damages are appropriate. The arbitrator’s decision shall be binding on the parties, provided, that no decision of the arbitrator shall require the Grantor or Grantee to be in violation of any federal or state law or regulation.
(4) Notices. Grantee shall maintain within the franchise area throughout the term of the franchise, an address for service of notices by mail. Grantee shall also maintain within the franchise area, a local office and telephone number for the conduct of matters related to this franchise during normal business hours.
(5) Captions. The captions to sections throughout this ordinance are intended solely to facilitate reading and reference. Such captions shall not affect the meaning or interpretation of this ordinance.
(6) No Recourse Against the Grantor. The Grantee shall have no recourse whatsoever against the Grantor or its officials, boards, commissions, agents, or employees for any loss, costs, expense, or damage arising out of any provision or requirement of the franchise or because of the enforcement of the franchise.
(7) Nonenforcement by the Grantor. The Grantee shall not be relieved of its obligation to comply with any of the provisions of this ordinance by reason of any failure of the Grantor to enforce prompt compliance.
(8) Theft of Services and Tampering
(a) No person, whether or not a subscriber to the cable system may intentionally or knowingly damage or cause to be damaged any wire, cable, conduit, equipment or apparatus of Grantee, or commit any act with intent to cause such damage, or to tap, tamper with or otherwise connect any wire or device to a wire, cable, conduit, equipment or apparatus, appurtenances of Grantee with the intent to obtain a signal or impulse from the Cable Communications System without authorization from or compensation to the Grantee, or to obtain cable television or other communications service 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 Five Hundred Dollars ($500.00) for each offense. Each day’s violation of this Section shall be considered a separate offense.
19.04.150 Franchise Applications.
(1) Franchise Applications. Applicants for a franchise shall submit to the Grantor written applications utilizing the standardized format provided by the Grantor, at the time and place designated by the Grantor for accepting applications, and including the designated application fee.
(2) Franchise Processing Costs. For either a new franchise award or a franchise renewal, costs to be borne by grantee shall include, but shall not be limited to, all costs of publications of notices prior to any public meeting provided for pursuant to a franchise, development and publication of relevant ordinances and franchise agreement, fees, and any cost not covered by the applications fees, incurred by the Grantor in its study, preparation of proposal solicitation documents, evaluation of all applications, including, but not limited to consultant and attorney fees and Grantor staff time.