Chapter 20.05 CABLE FRANCHISE

(1) Authority to Grant Franchises for Cable Television Systems and Other Video Systems. It shall be unlawful to engage in or commence construction, operation, or maintenance of a cable television system or other video systems without a franchise. The council may, by ordinance, award nonexclusive franchises to construct, operate and maintain cable television systems and other video systems which comply with the terms and conditions of Title 20 DMMC.

Any franchise granted pursuant to chapter 20.04 DMMC shall be nonexclusive and shall not preclude the city from granting other or further franchises or permits or preclude the city from using any public rights-of-way, streets, or other public properties or affect its jurisdiction over them or any part of them, or limit the full power of the city to make such changes, as the city shall deem necessary, including the dedication, establishment, maintenance, and improvement of all new public rights-of-way and other public properties.

(2) Incorporation by Reference. The provisions of this title shall be incorporated by reference in any franchise ordinance approved hereunder. The provisions of any proposal submitted and accepted by the city shall be incorporated by reference in the applicable franchise. However, in the event of any conflict between the proposal, this title and the franchise, the franchise shall be the prevailing document.

(3) Nature and Extent of the Franchise. Any franchise granted hereunder by the city shall authorize a franchisee, subject to the provisions herein contained, to:

(a) Engage in the business of operating and providing cable services or other video services and the distribution and sale of such services to subscribers within the city;

(b) Erect, install, construct, repair, replace, reconstruct, maintain and retain in, on, over, under, upon, across and along any street such amplifiers and appliances, lines, cables, conductors, vaults, manholes, pedestals, attachments, supporting structures, and other property as may be necessary and appurtenant to the cable television system or other video system, and provide similar cable facilities, or properties rented or leased from other persons, firms or corporations, including but not limited to any public utility or other franchisee franchised or permitted to do business in the city. No privilege or exemption shall be granted or conferred upon a franchisee by any franchise except those specifically prescribed therein, and any use of any street shall be consistent with any prior lawful occupancy of the street or any subsequent improvement or installation therein.

(4) Length of the Franchise. The city shall have the right to grant franchises for a period of time appropriate to the circumstances of the particular grant. [Ord. 1316 § 43(1), 2003.]

20.05.020 Application.

An applicant for an initial franchise to construct, operate, and maintain a cable television system or other video system within the city shall file an application in a form prescribed by the city, accompanied by a nonrefundable filing fee pursuant to chapter 20.09 DMMC. [Ord. 1316 § 43(2), 2003.]

20.05.030 Franchise issuance.

Prior to the granting of a franchise or renewal of a franchise, the city council shall conduct a public hearing to determine the following:

(1) Initial Franchise.

(a) Whether the public will be benefited by the granting of a franchise to the applicant;

(b) Whether the applicant has the requisite financial and technical resources and capabilities to build, operate and maintain a cable television system or other video system in the area;

(c) Whether the applicant has no conflicting interests, either financial or commercial, which will be contrary to the interests of the city;

(d) Whether the applicant will comply with all terms and conditions placed upon a franchisee by this title;

(e) Whether the applicant is capable of complying with all relevant federal, state, and local regulations, codes and standards pertaining to the construction, operation and maintenance of the cable television system or other video system facilities incorporated in its application for a franchise;

(f) Whether the public rights-of-way have the capacity to accommodate the cable television system or other video system;

(g) Whether the proposed franchise is consistent with the city’s present and future use of the public rights-of-way to be used by the cable television system or other video system;

(h) Whether the benefit to the public from the cable television system or other video system outweighs the potential disruption to existing users of the public rights-of-way to be used by the cable television system or other video system, and the resultant inconvenience which may occur to the public;

(i) Whether all other conditions resulting from the grant of the franchise have been considered by the city and that the city determines that the grant is still in the public’s best interest;

(j) Whether the quality of the franchisee’s previous service in other communities has been reasonable in light of community needs;

(k) Whether the franchisee’s proposal is reasonable to meet the future cable-related community needs and interests, taking into account the cost of meeting such needs and interests.

(2) Renewal Franchise.

(a) Whether the franchisee has substantially complied with the material terms of the existing franchise.

(b) Whether the quality of the franchisee’s previous service has been reasonable in light of community needs.

(c) Whether the franchisee’s proposal is reasonable to meet the future cable-related community needs and interests, taking into account the cost of meeting such needs and interests.

(d) Whether the franchisee has the financial, legal, and technical ability to provide the services, facilities, and equipment as set forth in a franchisee’s proposal.

(e) Whether such renewal is consistent with applicable federal law. [Ord. 1316 § 43(3), 2003.]

20.05.040 Acceptance.

Within 60 days after the effective date of the ordinance awarding a franchise, or within such extended period of time as the council in its discretion may authorize, a franchisee shall file with the city clerk its unconditional written acceptance of the franchise and all of its terms and conditions, in a form satisfactory to the city attorney, together with the bond and evidence of insurance as required by DMMC 20.06.160, Grantee insurance, and 20.06.180, Performance and financial guarantees. [Ord. 1316 § 43(4), 2003.]

20.05.050 Police powers.

In accepting any franchise, a franchisee acknowledges that its rights hereunder are subject to the legitimate rights of the police powers of the city to enforce general ordinances necessary to protect the safety and welfare of the public and it agrees to comply with all applicable general laws enacted by the city pursuant to such power. Additionally, the city council expressly reserves unto itself all its police powers to adopt additional ordinances necessary to protect the health, safety and welfare of the general public in relation to the rights granted under a franchise. The city reserves the right to use, occupy and enjoy any public rights-of-way or other public places for any purpose, including without limitation the construction of any water, sewer or storm drainage system, installation of traffic signals, street lights, trees, landscaping, bicycle paths and lanes, equestrian trails, sidewalks, other pedestrian amenities, other city services, or uses not limited to the enumerated items as listed herein, and other public street improvement projects. The city council reserves the right to delegate its authority for franchise administration to a designated agent. [Ord. 1316 § 43(5), 2003.]

20.05.060 Undergrounding and landscaping.

In those areas and portions of the city where the transmission or distribution facilities of the public utility providing telephone service and those of the facility providing electric service are underground or hereafter may be placed underground, then a franchisee shall likewise construct, operate and maintain all of its transmission and distribution facilities in the same area underground upon city approval. Such activities shall be made in concurrence and cooperation with the other affected utilities. Amplifiers and associated equipment in a franchisee’s transmission and distribution lines may be in appropriate housing upon the surface of the ground, accompanied by landscaping and screening acceptable to the city. [Ord. 1316 § 43(6), 2003.]

20.05.070 Construction in right-of-way.

(1) Right-of-Way Permit. A franchisee shall submit an application for, pay the permit fee, and obtain a right-of-way permit to perform work in any public rights-of-way. No work, other than emergency repairs or standard installations, shall commence without such a permit. Emergency repairs may be made immediately with notification given to the city no later than the next business day.

(2) Placement. In accordance with the permit issued, all transmission lines, equipment, and structures shall be located and placed so as to cause minimum interference with the rights and reasonable convenience of property owners, and at all times shall be maintained in a safe condition, and in good order and repair. Suitable barricades, flags, lights, flares, or other devices shall be used at such times and places as are reasonably required for the safety of the public. Any poles or other fixtures placed in any street by a franchisee shall be placed in such manner as not to interfere with the usual travel on such public way.

(3) Interference with Use of Streets. When installing, locating, laying, or maintaining facilities, apparatus, or improvements, a franchisee shall not interfere with the use of any street to any greater extent than is necessary, and shall leave the surface of any such street in as good condition as it was prior to performance by franchisee of such work. Any facility, apparatus, or improvement under this title shall be laid, installed, located, or maintained in conformance with city rules, regulations, ordinances, standards and policies. In any event, a franchisee shall, at its own expense, and to the satisfaction of the city in accordance with the terms of the right-of-way permit, restore to city standards and specifications any damage or disturbance caused to streets as a result of franchisee’s construction or operations.

(4) Relocation/Removal. Upon receipt of 30 days’ prior written notice, a franchisee, at its own expense, and within the time period prescribed by the city, shall protect, support, temporarily disconnect, relocate, or remove any of its facilities or property within the public rights-of-way when, in the judgment of the city, the same is required by reason of traffic conditions, public safety or improvements by governmental agencies of that portion of the right-of-way. In the event such relocation is required due to emergency repairs, as deemed necessary by the city, such relocation or moving shall be accomplished within 24 hours. Nothing herein shall be deemed a taking of the property of a franchisee, and franchisee shall be entitled to no surcharge by reason of this section.

(5) City’s Performance of Work. After receipt of 30 days’ prior written notice, and upon the failure of a franchisee to commence, pursue, or complete any work required by the provisions of this title or failure to comply with any applicable federal, state or city laws, ordinances, rules, regulations or standards to be performed on any street, within the reasonable time prescribed and to the satisfaction of the city, the city may, at its option, cause such work to be done, and a franchisee shall pay to the city the reasonable cost thereof, which costs may include the city’s reasonable overhead and administrative expense, within 30 days after receipt of demand. [Ord. 1316 § 43(7), 2003.]

20.05.080 Rates.

Within 30 days after the grant of an initial franchise hereunder, a franchisee shall file with the city a complete schedule of all present rates charged to all subscribers. Prior to implementation of any change in rates or charges for any service or equipment provided by a franchisee, a franchisee shall provide the city and all subscribers a minimum of 30 days’ prior written notice of such change.

Subject to the Act and resultant FCC regulations, the city may regulate the rates or charges for providing basic cable service and equipment and may establish rate regulation review procedures as permitted by federal law. [Ord. 1316 § 43(8), 2003.]

20.05.090 Cable availability.

Cable service shall not be denied to any group of potential residential cable subscribers because of the income of the residents of the local area in which such group resides. [Ord. 1316 § 43(9), 2003.]

20.05.100 Franchise fee.

A franchisee shall pay to the city monthly, on or before the fifteenth day after the end of each calendar month a percentage of gross revenues as defined herein for the preceding calendar month. Such remittances shall be accompanied by forms furnished by the city to report detailed information as to the sources of such revenues. [Ord. 1316 § 43(10), 2003.]

20.05.110 External franchising costs.

Prior to incurring any expense for any franchise related requirements that would be treated as an external cost passed through to subscribers under applicable federal law, the franchisee shall notify the city of its intent to exercise its right and the amount to be passed through to subscribers. The city may waive the franchise related requirement if, in the city’s opinion, the increase in rates would be a burden on subscribers. [Ord. 1316 § 43(11), 2003.]

20.05.120 Cable television system evaluation.

The city may require annual franchise compliance evaluations during the term of a franchise. The city may also require periodic meetings in addition to the annual franchise compliance evaluations. The city shall provide a franchisee 30 days’ prior written notice of the franchise compliance evaluation or meeting date and topic of discussion. [Ord. 1316 § 43(12), 2003.]

20.05.130 Records required and city’s right to inspect.

(1) A franchisee shall at all times maintain at its office a full and complete set of maps showing the location of the cable television system or other video system installed or in use in the city, exclusive of subscriber drops and equipment provided in subscriber’s homes, and a summary of service calls, identifying the number, general nature and disposition of such calls. Subject to reasonable notification this information will be available for review by the city. Furthermore, a summary of such service calls shall be submitted to the city, within 30 days of a written request from the city, in a form reasonably acceptable to the city.

(2) Upon 48 hours’ written notice, and during normal business hours, franchisee shall permit examination by a duly authorized representative of the city of all franchisee property and facilities, together with any appurtenant property and facilities of franchisee situated within the city, and all records relating to the franchise or this title, provided they are necessary to enable the city to carry out its regulatory responsibilities under local, state and federal law. Such records include all books, records, maps, plans, financial statements, service complaint logs, performance test results, records of request for service, and other like materials of franchisee. Franchisee shall have the right to be present at any such examination.

(3) The city agrees to treat as confidential any books and records that constitute proprietary or confidential information under federal or state law, to the extent a franchisee makes the city aware of such confidentiality. A franchisee shall be responsible for clearly and conspicuously stamping the word “Confidential” on each page that contains confidential or proprietary information, and shall provide a brief written explanation as to why such information is confidential under state or federal law. If the city believes it must release any such confidential books and records in the course of enforcing a franchise or this title, or for any other reason, it shall advise a franchisee in advance so that a franchisee may take appropriate steps to protect its interests. If the city receives a demand from any person for disclosure of any information designated by a franchisee as confidential, the city shall, so far as consistent with applicable law, advise a franchisee and provide a franchisee with a copy of any written request by the party demanding access to such information within a reasonable time. Until otherwise ordered by a court or agency of competent jurisdiction, the city agrees that, to the extent permitted by state and federal law, it shall deny access to any of a franchisee’s books and records marked confidential as set forth above to any person.

(4) Copies of all petitions, applications, communications and reports submitted by a franchisee, or on behalf of or relating to a franchisee, to the Federal Communications Commission, Securities and Exchange Commission, or any other federal or state regulatory commission or agency having jurisdiction with respect to any matters affecting a cable television system or other video system authorized pursuant to this title and a franchise shall be made available to the city upon request. Copies of responses from the regulatory agencies to a franchisee shall likewise be furnished to the city upon request. [Ord. 1316 § 43(13), 2003.]

20.05.140 Annual reports.

(1) A franchisee shall submit a written end of the year report to the city containing at the minimum the following information:

(a) A summary of the previous year’s (or in the case of the initial reporting year, the initial year’s) activities in development of the cable television system or other video system, including but not limited to services begun or discontinued during the reporting year.

(b) A list of franchisee’s officers, members of its board of directors and other principals of franchisee.

(d) Information as to the number of subscribers by tier or level of service as well as other information specified in the franchise agreement as it pertains to the operation within the city of Des Moines.

(2) All reports and records required under this title shall be furnished at the sole expense of a franchisee, except as otherwise provided in this title or the franchise agreement. [Ord. 1316 § 43(14), 2003.]

20.05.150 Public, educational and government access.

The city may require, as a condition of a franchise granted pursuant to this title, provisions for public, educational and government (“PEG”) access. [Ord. 1316 § 43(15), 2003.]

20.05.160 City-wide PEG access interconnection.

In the case of multiple cable television systems and other video systems operating in the city, the city may request a franchisee to begin negotiations with the other franchisees to interconnect PEG access channels delivered to subscribers by each of the franchisees in the city. Interconnection of PEG access channels may be accomplished by direct cable connection, microwave link, or other technically feasible method.

Upon receiving request of the city to interconnect, a franchisee shall commence negotiations and shall report the results of such negotiations no later than 60 days after such initiation. [Ord. 1316 § 43(16), 2003.]

20.05.170 Institutional networks (I-Nets).

The city may require a franchisee to construct an I-Net in accordance with applicable law. [Ord. 1316 § 43(17), 2003.]

20.05.180 PEG access equipment.

A franchisee may be required to provide PEG access support in accordance with applicable law. [Ord. 1316 § 43(18), 2003.]

20.05.190 Office location.

A franchisee shall, at a minimum, establish an agency within the city limits of Des Moines whose function will be to accept payments and to return converters. [Ord. 1316 § 43(19), 2003.]

20.05.200 Nondiscrimination.

In connection with rates, charges, cable facilities, rules, regulations and in all franchisee’s services, programs or activities, and all franchisee’s hiring and employment made possible by or resulting from this franchise, there shall be no discrimination by franchisee or by franchisee’s employees, agents, subcontractors or representatives against any person because of sex, age (except minimum age and retirement provisions), race, creed, national origin, sexual orientation, marital status or the presence of any disability, including sensory, mental or physical handicaps, unless based upon a bona fide occupational qualification in relationship to hiring and employment. This requirement shall apply but not be limited to the following: employment, advertising, layoff or termination, rates of pay or other forms of compensation, and selection for training, including apprenticeship. Franchisee shall not violate any applicable federal, state or local law or regulation regarding nondiscrimination.

Any material violation of this provision shall be grounds for termination of a franchise by the city and, in the case of the franchisee’s breach, may result in ineligibility for further city agreements; provided, that nothing in this title shall be deemed to prohibit the establishment of a graduated scale of charges and classified rate schedules to which any subscriber coming within such classification would be entitled; and provided further, that connection and/or service charges may be waived or modified during promotional campaigns of a franchisee. A franchisee will not deny access to cable communications service to any group of potential residential subscribers because of the income of the residents of the local area in which the group resides. [Ord. 1316 § 43(20), 2003.]

20.05.210 Parental control devices.

Upon request by a subscriber, a franchisee shall make available, and may charge the subscriber a fee not to exceed the franchisee’s actual cost including applicable handling fees, a device by which the subscriber can prohibit viewing and audio reception of a particular cable service or video programming service. [Ord. 1316 § 43(21), 2003.]

20.05.220 Devices for the hearing impaired.

A franchisee shall comply with FCC closed captioning requirements, 47 CFR 76.606, or any successor rules and regulations thereto. [Ord. 1316 § 43(22), 2003.]

20.05.230 Continuity of service.

It shall be the right of all subscribers to continue receiving cable service or other video services so long as their financial and other obligations to a franchisee are fulfilled. In this regard a franchisee shall act, so far as it is within its control, to ensure that all subscribers receive continuous uninterrupted service during the term of the franchise.

In the event a franchisee fails to operate a cable television system or other video system for 72 continuous and consecutive hours without prior notification to and approval of the city council or without just cause such as an impossibility to operate the cable television system or other video system because of the occurrence of an emergency or other circumstances reasonably beyond a franchisee’s control, the city may, after notice and an opportunity for a franchisee to commence operations at its option, operate the cable television system or other video system or designate someone to operate the cable television system or other video system until such time as a franchisee restores cable service or other video service or a replacement franchisee is selected. If the city is required to fulfill this obligation for a franchisee, a franchisee shall reimburse the city for all reasonable costs in excess of revenues from the cable television system received by the city that are the result of a franchisee’s failure to perform. [Ord. 1316 § 43(23), 2003.]

20.05.240 Franchise nontransferable.

(1) Franchisee shall not sell, transfer, lease, assign, sublet or dispose of, in whole or in part, either by forced or involuntary sale, or by ordinary sale, consolidation or otherwise, the franchise and/or cable television system or any of the rights or privileges granted by the franchise, without the prior consent of the city council which consent shall not be unreasonably denied or delayed and shall be denied only upon a good faith finding by the city that the proposed transferee lacks the legal, technical or financial qualifications to perform its obligations under the franchise agreement or such other ground as may be permitted. Any attempt to sell, transfer, lease, assign or otherwise dispose of the franchise and/or cable television system without the consent of the council shall by federal law result in an immediate termination of the franchise. This provision shall not apply to sales of property or equipment in the normal course of business. No consent from the city shall be required for a transfer in trust, mortgage, or other instrument of hypothecation, in whole or in part, to secure an indebtedness, or for a pro forma transfer to a corporation, partnership or other entity controlling, controlled by or under common control with franchisee.

(2) The following events shall be deemed to be a sale, assignment or other transfer of the franchise and/or cable television system requiring compliance with this section:

(a) The sale, assignment or other transfer of 50 percent or more of franchisee’s assets;

(b) The sale, assignment or other transfer of capital stock or partnership, membership or other equity interests in franchisee by one or more of its existing shareholders, partners, members or other equity owners so as to create a new controlling interest in franchisee;

(c) The issuance of additional capital stock or partnership, membership or other equity interest by franchisee so as to create a new controlling interest in franchisee; and

(d) The entry by the franchisee into an agreement with respect to the management or operation of the franchisee and/or the cable television system. The term “controlling interest” as used herein means majority equity ownership of the franchisee.

(3) Except as provided below, no franchisee may sell or otherwise transfer ownership in a franchise and/or cable television system within a 36-month period following either the acquisition or initial construction of said cable television system by franchisee. In the case of a sale of multiple cable television systems, if the terms of the sale require the buyer to subsequently transfer ownership of one or more such cable television systems to one or more third parties, such transfer shall be considered a part of the initial transaction. The above-described 36-month holding period shall not apply to:

(a) Any transfer of ownership interest in any franchise and/or cable television system which is not subject to federal income tax liability;

(b) Any sale required by operation of any law or any act of any agency, any state or political subdivision or the city; or

(c) Any sale, assignment, or transfer, to one or more purchasers, assignees, or transferees controlled by, controlling, or under common control with, the seller, assignor, or transferor.

(4) In the case of any sale or transfer of ownership of any franchise and/or cable television system after the 36-month period following acquisition of such cable television system, and in accordance with federal law, the city shall have 120 days to act upon any request for approval of such sale or transfer that contains or is accompanied by such information as is required in accordance with Federal Communications Commission regulations, the requirements of this title or a franchise, and such other reasonable information as the city, in its sole discretion, may request. If the city fails to render a final decision on the request within 120 days from receipt by the city of all required information, such request shall be deemed granted unless the requesting party and the city agree to an extension of time.

(5) Franchisee shall notify city in writing of any foreclosure or any other judicial sale of all or a substantial part of the franchise property of the franchisee or upon the termination of any lease or interest covering all or a substantial part of said franchise property. Such notification shall be considered by city as notice that a change in control of ownership of the franchise has taken place and the provisions under this section governing the consent of city to such change in control of ownership shall apply.

(6) For the purpose of determining whether it shall consent to such change, transfer, or acquisition of control, city may inquire into the qualifications of the prospective transferee or controlling party, and franchisee shall assist city in any such inquiry. In seeking city’s consent to any change of ownership or control, franchisee shall have the responsibility of insuring that the transferee completes an application in form and substance reasonably satisfactory to city, which application shall include the information required under state and federal law. An application, acceptable to the city, shall be submitted to city no more than 120 days nor less than 90 days prior to the date of transfer. The transferee shall be required to establish that it possesses the legal, technical and financial qualifications to operate and maintain the cable television system and comply with all franchise requirements for the remainder of the term of the franchise. If, after considering the legal, financial, character and technical qualities of the applicant and determining that they are satisfactory, the city finds that such transfer is acceptable, the city shall transfer and assign the rights and obligations of such franchise. The consent of the city to such transfer shall not be unreasonably denied.

(7) Any financial institution having a pledge of the franchisee or its assets for the advancement of money for the construction and/or operation of the franchise shall have the right to notify the city that it or its designee satisfactory to the city shall take control of and operate the cable television system, in the event of a franchisee default in its financial obligations. Further, said financial institution shall also submit a plan for such operation within 30 days of assuming such control that will insure continued service and compliance with all franchise requirements during the term the financial institution exercises control over the cable television system. The financial institution shall not exercise control over the cable television system for a period exceeding one year unless extended by the city in its discretion and during said period of time it shall have the right to petition the city to transfer the franchise to another franchisee.

(8) The city shall be reimbursed for its out-of-pocket costs associated with its review of a franchisee’s request. Such costs will not exceed in constant dollars those incurred during the original franchising or refranchising process.

(a) A cable system or other video system shall not be sold, assigned, transferred, leased, or disposed of, either in whole or in part, either by involuntary sale or by voluntary sale, merger, consolidation, nor shall title thereto, either legal or equitable, or any right, interest, or property therein pass to or vest in any person or entity, without the prior written consent of the city, which consent shall not be unreasonably withheld.

(b) A franchisee shall promptly notify the city of any actual or proposed change in, or transfer of, or acquisition by any other party of control of a franchisee. The word “control” as used herein is not limited to majority stockholders but includes actual working control in whatever manner exercised. A rebuttable presumption that a transfer of control has occurred shall arise on the acquisition or accumulation by any person or group of persons of a majority of the shares or the general partnership interest in the franchisee. Every change, transfer or acquisition of control of a franchisee shall make a franchise subject to cancellation unless and until the city shall have consented thereto.

(c) The parties to the sale or transfer shall make a written request to the city for its approval of a sale or transfer and furnish all information required by law and the franchise.

(d) The city shall render a final written decision on the request within 120 days of the request, provided it has received all requested information. Subject to the foregoing, if the city fails to render a final decision on the request within 120 days, such request shall be deemed granted unless the requesting party and the city agree to an extension of time.

(e) Within 30 days of any transfer or sale, if approved or deemed granted by the city, a franchisee shall file with the city a copy of a written instrument evidencing such sale or transfer of ownership or control, certified and sworn to as correct by a franchisee and the transferee.

(f) In reviewing a request for sale or transfer, the city may inquire into the legal, technical and financial qualifications of the prospective controlling party or transferee, and the franchisee shall assist the city in so inquiring.

(g) The consent or approval of the city to any transfer by a franchisee shall not constitute a waiver or release of any rights of the city, and any transfer shall, by its terms, be expressly subordinate to the terms and conditions of the franchise.

(h) Notwithstanding anything to the contrary in this section, the prior approval of the city shall not be required for any sale, assignment or transfer of the franchise and cable television system or other video system to an entity controlling, controlled by or under the same common control as a franchisee; provided, that the proposed assignee or transferee must show financial responsibility as may be determined necessary by the city and must agree in writing to comply with all provisions of the franchise. [Ord. 1316 § 43(24), 2003.]

20.05.250 Equalization of civic contributions.

In the event of one or more franchises being granted, the city may require that such subsequent franchisees pay to the city an amount proportionally equal to costs contributed by the original franchisee. These costs may include but are not limited to such features as access and institutional network costs, bidirectional or equivalent cable installed to municipal buildings and similar expenses.

On the anniversary of the grant of each later awarded franchise, such subsequent franchisees shall pay to the city an amount proportional to the amount contributed by the original franchisee, based upon the number of subscribers held by such subsequent franchisees. Such payments will be based upon incremental increases in subscribers, if any.

Additional franchisees shall provide all PEG access channel(s) currently available to the subscribers of existing franchisees. In order to provide these access channels, additional franchisees shall interconnect, at their cost, with existing franchisees, subject to any reasonable terms and conditions that the existing franchisee providing the interconnection may require. These interconnection agreements shall be made directly between the franchisees. The city council, in such cases of dispute of award, may be called upon to arbitrate regarding these arrangements. Any cost associated with the process shall be equally distributed by both franchisees. [Ord. 1316 § 43(25), 2003.]

20.05.260 Inconsistency.

If any portion of this title should be inconsistent or conflict with any rule or regulation now or hereafter adopted by the FCC or other federal or state law, then to the extent of the inconsistency or conflict, the rule or regulation of the FCC or other federal law shall control for so long, but only for so long, as such rule, regulation, or law shall remain in effect, provided the remaining provisions of this title shall not be affected thereby. [Ord. 1316 § 43(26), 2003.]

20.05.270 Severability.

If any section, sentence, paragraph, term, subsection, clause or phrase of this title should be held to be illegal, invalid or unconstitutional by a court of competent jurisdiction, or by any state or federal regulatory authority having jurisdiction thereof, such illegality, invalidity or unconstitutionality shall not affect the legality, validity or constitutionality of any other section, sentence, clause or phrase of this title. [Ord. 1316 § 43(27), 2003.]

20.05.280 Effect of change in law.

In the event that state or federal laws, rules or regulations preempt a provision or limit the enforceability of a provision of this title, then the provision shall be read to be preempted to the extent and for the time, but only to the extent and for the time, required by law. In the event such state or federal law, rule or regulation is subsequently repealed, rescinded, amended, voided or otherwise changed, so that the provision hereof that had been preempted is no longer preempted, such provision shall thereupon return to full force and effect and shall thereafter be binding on the parties hereto, without the requirement of further action on the part of either party. [Ord. 1316 § 43(28), 2003.]