[Ord. No. 2374 §1, 2-17-2004]
A.
General Findings Regarding Cable Services. The City finds that cable service has become an integral part of its citizens' lives and that evolving cable systems have the potential to play an even more dramatic role in the future, providing great benefits and advanced capabilities to residents of the City. At the same time, the rapidly emerging role of cable systems as an integrated broadband communications platform necessitates a finding that the local government has a legitimate and vital role to play in regulating cable services in a manner that ensures high quality customer service while at the same time fostering competition to the extent permitted under law. The Governing Body further finds that the public convenience, safety and general welfare can best be served by establishing regulatory powers that are vested in the City.
B.
Unlawful To Operate Without A Franchise. It shall be unlawful for any person to construct, operate or maintain a cable system or to provide cable service or other competing multichannel video services in the City without a franchise, unless otherwise specifically authorized under applicable Federal or State law. Consistent with Article V, any such person shall be subject to a fine of five hundred dollars ($500.00) per day. The payment of such fine notwithstanding, all such violators shall be subject to all other applicable provisions of this Code to the fullest extent allowed by law including, but not limited to, the payment of a franchise fee. This Section shall not apply to a grantee who has properly asserted its intent and is diligently pursuing renewal of the franchise pursuant to 47 USC Section 546.
C.
Franchise Not Exclusive.
1.
Any franchise granted pursuant to this Chapter shall be non-exclusive. The grantor specifically reserves the right to grant, at any time, such additional franchises for a cable television system or any component thereof, to any other person, including itself, as it deems appropriate, subject to this Code and applicable Federal and State law.
2.
The terms and conditions of any cable franchises granted or renewed pursuant to this Chapter shall be, when taken as a whole, no less burdensome or more beneficial than any other cable franchises granted or renewed pursuant to this Chapter, when taking into consideration the context in which the earlier terms were adopted. Provided however, that nothing herein shall be construed as requiring the use of identical terms or conditions or limit the enforceability of conditions that are freely negotiated.
3.
Nothing in this Subsection shall be deemed to create any cause of action or claim of breach by any franchisee or third party.
D.
Franchise Territory. Every cable franchise shall apply to the entire territorial area of the City, as it exists now or may later be configured.
E.
Federal, State And City Jurisdiction.
1.
This Chapter and Code shall be construed in a manner consistent with all applicable Federal and State laws.
2.
In the event that the Federal or State Government discontinues preemption in any area of cable communications over which it currently exercises jurisdiction in such manner as to expand rather than limit municipal regulatory authority, City may, if it so elects, adopt rules and regulations in these areas to the extent permitted by law and the reasonable exercise of the City's Police powers.
3.
Unless otherwise expressly provided in a franchise, all provisions of this Chapter and Code shall apply to all cable franchises granted or renewed after or simultaneously with the effective date of this Chapter. This Chapter and Code shall also apply to all existing franchises, to the extent not inconsistent with the terms of any such franchise or applicable law and to the extent that it does not impose additional material burdens on such grantee. A cable franchise (including all of grantee's particular rights, powers, protections, privileges, immunities and obligations associated therewith as the same exist on the date hereof) shall constitute a legally binding contract between the City and grantee and as such, cannot be amended, modified or changed by the grantor without the consent of grantee in any manner whatsoever, whether by ordinance, rule, regulation or otherwise, to impose on grantee more stringent or burdensome requirements or conditions. In the event of any express conflict between the terms and conditions of a franchise and the provisions of this Chapter or Code and other generally applicable regulatory ordinances of the City, the specific terms of the franchise shall control; provided however, that nothing herein contained shall preclude the City from the proper exercise of its Police powers.
4.
In the event of a change in State or Federal law which by its terms would require the City to amend this Chapter or Code, the parties shall modify the existing franchise in a mutually agreed upon manner.
5.
Nothing in this Code shall be deemed to restrict the Governing Body from authorizing a franchise having express requirements that differ from those established by this Code; provided that such different requirements do not violate applicable law.
F.
Initial Franchise Applications. Any person desiring an initial franchise for a cable system shall file an application with the City. A non-refundable application fee as may be hereinafter established by the City shall accompany the application, which shall not be considered or credited against the collection of applicable franchise fees.
G.
Consideration Of Initial Applications.
1.
Upon receipt of any application for an initial franchise, the City Administrator or other designated administrative official shall prepare a report and make his or her recommendations respecting such application to the Governing Body.
2.
A public hearing shall be held prior to any initial franchise grant, at a time and date approved by the Governing Body. Within thirty (30) days after the close of the hearing, the Governing Body shall make a decision based upon the evidence received at the hearing as to whether or not the franchise(s) should be granted and, if granted, subject to what conditions.
H.
Franchise Renewal. Franchise renewals shall be in accordance with applicable law including, but not necessarily limited to, the Cable Communications Policy Act of 1984, as amended. The City and a grantee, by mutual consent, may enter into renewal negotiations at any time during the term of the franchise.
I.
Grant Of Additional Franchise And Competing Service. Since competing or overlapping cable franchises may have an adverse impact on the public rights-of-way, on the quality and availability of services to the public and may adversely affect an existing provider's ability to continue to provide the services it is presently providing under a franchise, the City may issue a franchise in an area where another grantee is operating only following a public hearing to consider the potential impact which the grant of an additional franchise may have on the community. In considering whether to grant one (1) or more additional franchises, the City shall specifically consider and address in a written report, the following issues:
1.
The positive and/or negative impact of an additional franchise on the community.
2.
The ability and willingness of the specific applicant in question to provide cable services to the entire franchise area which is served by the existing cable provider. The purpose of this Subsection is to ensure that any competition which may occur among grantees will be on terms which, when taken as a whole, do not give a competitive advantage to one grantee over another.
3.
The amount of time it will take the applicant to complete construction of the proposed cable system and activate cable service in the entire franchise area; and whether the applicant can complete construction and activation of its cable system in a timely manner.
4.
The financial capabilities of the applicant and its guaranteed commitment to make the necessary investment to erect, maintain and operate the proposed cable system for the duration of the franchise term. In order to ensure that any prospective grantee does have the requisite current financial capabilities, the City may request equity and debt financing commitment letters, current financial statements, bonds, letters of credit or other documentation to demonstrate to the City's satisfaction that the requisite funds to construct and operate the proposed cable system are available.
5.
The quality and technical reliability of the proposed cable system based upon the applicant's plan of construction and the method of distribution of signals and the applicant's technical qualifications to construct and operate such cable system.
6.
The experience of the applicant in the erection, maintenance and operation of a cable system.
7.
The capacity of the rights-of-way to accommodate one (1) or more additional cable systems and the potential disruption of those rights-of-way and private property that may occur if one (1) or more additional franchises are granted.
8.
The disruption of existing cable service and the potential that the proposed franchise would adversely affect the residents of the City.
9.
The likelihood and ability of the applicant to continue to provide competing cable service to subscribers within the entire franchise area for the duration of the franchise.
10.
Such other information as the City may deem appropriate to be considered prior to granting any competing or overlapping franchise.
J.
Permits For Non-Franchised Entities. The City may issue a license to a person other than the grantee to permit that person to traverse any portion of a grantee's franchise area within the City in order to provide cable service outside but not within the City. Such license or easement, absent a grant of a franchise in accordance with this Chapter, shall not authorize nor permit said person to provide cable service of any type to any home or place of business within the City. Such license shall be granted pursuant to the requirements of Article II of this Code.