[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.
[Ord. No. 2374 §1, 2-17-2004]
A. Cable System Design. Every grantee shall offer cable service
that meets the current and future cable-related needs of the City.
Such cable service shall, at a minimum, be comparable to cable services
offered by that grantee or its affiliates operating any headend serving
the City and surrounding municipalities in St. Charles and St. Louis
County. The franchise shall incorporate a description of the grantee's
cable system including the general design and capabilities of the
cable system to identify for the City how the cable system will meet
the current and future cable needs of the City.
B. The Cable System. Every cable system shall pass by every
single-family dwelling unit and multiple-family dwelling unit within
the franchise area in accordance with line extension policies set
forth in this Chapter. Service shall be provided to subscribers in
accordance with the schedules and line extension policies specified
in this Chapter unless otherwise specified in the franchise.
C. Drops To Public Buildings.
1. Every grantee shall provide installation of at least one (1) cable
drop and one (1) outlet, provide monthly basic cable service, without
charge, to public buildings specified by the City in the applicable
franchise, where the drop does not exceed two hundred (200) feet.
All accredited K — 12 schools shall also receive one (1) cable
drop and one (1) outlet and basic cable service at no charge, subject
to the above two hundred (200) foot limit. The location of such cable
drops and outlets shall be determined in cooperation with the management
of the public building to which the connection is to be made. Following
the City's designation of additional public buildings) to receive
cable service, a grantee shall complete construction of the drop and
outlet within ninety (90) days if the City requests construction,
weather permitting and subject to payment of the direct incremental
costs of installation in excess of two hundred (200) feet.
Drops and outlets that are in addition to the one (1) free drop
and outlet required by this Section shall be provided by a grantee
at the cost of grantee's time and material. Alternatively, at an institution's
request, the institution may add outlets at its own expense, as long
as such installation meets the grantee's standards, which shall be
made readily available to any public entity upon request. Additional
outlets and services to public buildings are subject to the applicable
commercial rate.
2. All such cable service outlets shall not be utilized for commercial
purposes. The City shall take reasonable precautions to prevent any
use of a grantee's cable system in any inappropriate manner or that
may result in loss or damage to the cable system. Users of such outlets
shall hold the grantee harmless from any and all liability or claims
arising out of their use of such outlets, other than for those claims
arising out of improper installation or faulty equipment.
3. In instances where the drop line from the feeder cable to the public
building, school or library exceeds two hundred (200) feet, the grantee
may charge for its direct incremental costs that are incurred in exceeding
this length.
D. School And Library Cable Modems. Unless otherwise specified
in the applicable franchise, upon activation and commercial offering
of two-way cable modem service within the franchise area, every grantee
shall provide upon written request at least one (1) courtesy cable
modem and cable Internet service without charge to every State accredited
K — 12 school and library in the franchise area.
E. Use Of Grantee's Facilities. Subject to any applicable State
or Federal law, the City shall have the right to install and maintain,
free of charge, upon the poles and within the underground pipes and
conduits of a grantee any wires and fixtures desired by the City for
public purposes. Provided, however that:
1. Such use by grantor does not unreasonably interfere with the current
or future use by grantee;
2. Such use by grantor is restricted to non-commercial public purposes;
and
3. Grantor takes reasonable precautions to prevent any use of grantee's
facilities in any manner that results in an inappropriate use thereof
or any loss or damage to the cable system.
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For the purposes of this Subsection, "public purposes" includes, but is not limited to, the use of the structures and installations
for grantor, fire, police, traffic, utility and/or signal systems
but not for cable system purposes in competition with the grantee.
The grantee shall not deduct the value of such use of its facilities
from its franchise Fee and/or other fees payable to grantor.
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F. Upgrade Of System. Every grantee shall upgrade its cable
system (herein referred to as the "system upgrade"), if required,
as set forth in its respective franchise.
G. Emergency Alert Capability. Every grantee shall at all times
provide the system capabilities to comply with the FCC's emergency
alert system rules and regulations. Provided, that at a minimum these
capabilities will remain in place even if the FCC at some future date
eliminates the current regulations.
H. Periodic Review. The franchise shall include provisions
to provide for a periodic review between the City and a grantee to
evaluate changes in law, technology or service and reasonable procedures
for mutually agreed upon modifications to the franchise to incorporate
changes identified as desirable or necessary as a result of any such
periodic review.
I. Closed Captioning And Descriptive Audio Service. Every grantee
will make audio descriptive service and closed captioning capabilities
available to the extent required by State and Federal law.
J. Standby Power. Within twelve (12) months of activation of
the system, the grantee shall provide standby power generating capacity
capable of providing at least two (2) hours of emergency supply at
the hub site feeding the System. For nodes, two (2) hours with emergency
power supply. Every grantee shall maintain standby power system supplies
throughout the major trunk cable networks capable of providing emergency
power within the standard limits of commercially available power supply
units.
K. Status Monitoring. Every grantee shall provide an automatic
status monitoring system or a functional equivalent, which monitors
modes and power supplies in the outside plant and critical network
elements at the hub, when the cable system has been activated for
interactive service provided that such status monitoring is technically
and economically feasible.
L. HDTV/ATV Conversion. Conversion to high definition television/advanced
television (HDTV/ATV) formats shall occur in accordance with applicable
law.
M. Joint Trenching. In addition to other coordination requirements,
cable drops and extensions shall be constructed either simultaneous
ditching (joint trenching) with other utilities or included within
conduit facilities constructed as part of the street or related infrastructure
installation in new subdivisions or new construction. The City Engineer
shall review requests for exceptions to this requirement and may grant
waivers only on showing of good cause.
N. Location Of Above-Ground Facilities. Cable vaults, pedestals,
boxes and covers, unless underground, shall be installed within the
rear building lines unless otherwise approved by the City Engineer.
Where joint trenching has been waived in writing by the City Engineer,
the property owner's ground that has been disturbed in the established
subdivision will be promptly restored and sodded by franchisee.
[Ord. No. 2374 §1, 2-17-2004]
A. Institutional Network, Access Channels.
1. Every grantee shall, to the extent required in its franchise and
subject to applicable law, provide or fund on an equal basis with
other cable providers whose franchises are granted or renewed after
the adoption of this Code an institutional network that provides two-way
broadband voice, video and data capabilities for use by governmental,
educational and other publicly-funded or non-profit local community
service organizations identified by the City. Such institutional network
requirements shall at a minimum satisfy the community need for such
facilities as determined by the Governing Body for the period of the
applicable franchise.
2. Every grantee shall also provide a channel or channels, bandwidth
capacity, service and funding, for separate public, educational and
government access channels, as specified in their franchise. All such
PEG access channels shall be available to all subscribers as part
of their basic cable service. Given the on-going changes in the state
of technology as of the effective date of this Code, absent the express
written consent of the City, grantee shall transmit PEG access channels
in the format or technology utilized to transmit all of the channels
on the basic cable service tier. Oversight and administration of the
PEG access channels shall be set forth in the franchise.
B. Proof Of Performance Testing. To ensure high quality service on the institutional network and access channels, proof of performance testing throughout the system and on all channels will be made available to the City to the extent required in a franchise. Every grantee will monitor access channels throughout the cable system to determine the level of technical quality of access channels is in conformance with FCC Rules and to ensure that the level of technical quality on such access channels is the same as on other channels within the cable system. In the event that a complaint is made by a programmer of any access channels, the grantee shall immediately investigate the complaint and determine whether the grantee is in compliance with the technical standards set forth in Section
670.200(A)(2) of this Chapter.
[Ord. No. 2374 §1, 2-17-2004]
A. General Technical Standards And Customer Service Practices.
1. This Chapter incorporates cable service technical standards and establishes
customer service practices that every grantee must satisfy.
2. Every grantee shall maintain such equipment and keep such records
as required to comply with all customer service and technical standards
required by these regulations and other applicable laws. The grantee
shall at all times assist and cooperate with grantor in explaining,
interpreting and understanding such records or reports.
B. Test And Compliance Procedure. Tests for a cable system
shall be performed periodically in a manner so as to conform with
FCC specifications. The tests may be witnessed by representatives
of the City and written test reports shall be made available to the
City upon request. If any test locations fail to meet the performance
standards, the grantee shall be required to indicate what corrective
measures have been taken and shall have the site retested.
C. Cable System Office Hours And Telephone Availability.
1. Every grantee shall maintain a conveniently located customer service
center which shall include a place where subscribers may pay their
bills, pick up and return converter boxes and comparable items and
receive information on the grantee and its services. Such service
center shall be open at least during normal business hours. Grantee
shall also maintain a publicly listed toll-free or local telephone
line that is available to subscribers twenty-four (24) hours a day,
seven (7) days a week.
2. Every grantee shall have trained company representatives available
to respond to subscriber telephone inquiries during normal business
hours.
3. After normal business hours, the telephone access line may be answered
by a service or an automated response system, including an answering
machine. Inquiries received after normal business hours must be responded
to by a trained representative on the next business day.
4. Under normal operating conditions, telephone answer time by a trained
customer service representative or automated response unit, including
wait time, shall not exceed thirty (30) seconds when the connection
is made. If a call must be transferred, transfer time shall not exceed
thirty (30) seconds. Under normal operating conditions, these standards
shall be met no less than ninety percent (90%) of the time, measured
on a quarterly basis.
5. Under normal operating conditions, a grantee shall establish an inbound
telephone system upon which subscribers shall not receive a busy signal
more than three percent (3%) of the time.
6. A grantee will not be required to acquire equipment or perform surveys
to measure compliance with the telephone answering standards above
unless an historical record of complaints indicates a clear failure
to comply.
D. Cable Channels For Commercial Use, Local Commercial Television Signals
And Non-Commercial Educational Television. A franchisee shall
designate channel capacity for commercial and non-commercial use by
persons unaffiliated with the franchisee as required by Federal law,
consistent with the principle of fairness and equal accessibility
to all persons and the City to the extent they have a legitimate use
for such capacity.
E. Technical Standards.
1. Any cable system within the City shall meet or exceed the technical
standards set forth in 47 C.F.R. Section 76.601 et seq. and any other
applicable Federal technical standards, including any such reasonable
standards as hereafter may be amended or adopted by the Governing
Body in a manner consistent with Federal law.
2. A franchisee shall use equipment generally used in high-quality,
reliable, modern systems of similar design, including, but not limited
to, back-up power supplies at the outside plant capable of providing
power to the system for a minimum of two (2) hours in the event of
an electrical outage and permanent standby generators for the headend/primary
hubs plus adequate portable generators to cover longer outages. The
obligation to provide back-up power supplies requires the franchisee
to install equipment that will:
a. Cut in automatically on failure of commercial utility AC power,
b. Revert automatically to commercial power when it is restored, and
c. Prevent the standby power source from powering a "dead" utility line.
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In addition, the design and construction of a system shall include
modulators, antennae, amplifiers and other electronics that permit
and are capable of passing through the signal received at the headend
with minimal alteration or deterioration.
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F. Interconnection.
1. A franchisee shall design its system so that it may be interconnected
with any or all other systems or similar communications systems in
the area. Interconnection of systems may be made by direct cable connection,
microwave link, satellite or other appropriate methods.
2. Upon receiving the directive of the Governing Body to interconnect,
the franchisee shall immediately initiate negotiations with the other
affected system or systems so that costs may be shared proportionately
for both construction and operation of the interconnection link.
3. The Governing Body may in writing grant reasonable extensions of
time to interconnect or rescind its request to interconnect upon its
own initiative or upon petition by the franchisee to the Governing
Body. The Governing Body shall rescind the request if it finds that
the franchisee has negotiated in good faith and the cost of interconnection
would cause unreasonable increase in subscriber rates.
4. No interconnection shall take place without prior written approval
of the Governing Body. A franchisee seeking approval for interconnection
shall demonstrate that all signals to be interconnected will comply
with FCC technical standards for all classes of signals and will result
in no more than a low level of distortion.
5. The franchisee shall cooperate with any interconnection corporation,
regional interconnection authority or State or Federal regulatory
agency which may be established for the purpose of regulating, facilitating,
financing or otherwise providing for the interconnection of communications
systems beyond the boundaries of the City.
G. Integration Of Advancements In Technology. A franchise agreement
may require a franchisee to periodically upgrade its cable system
to integrate advancements in technology as may be necessary to meet
the needs and interests of the community in light of the costs thereof
and/or to submit periodic reports on cable technology and competition
to the City Clerk.
H. System Design Review Process. In addition to any requirements
included in a franchise agreement, at least sixty (60) days prior
to the date construction of any rebuild or major extension is scheduled
to commence, the franchisee shall provide the City Clerk with notice
that a detailed system design and construction plan is available for
review by the City at a specific office of the franchisee located
in the metropolitan St. Louis area, which shall include at least the
following elements:
1. Design type, trunk and feeder design and number and location of hubs
or nodes.
2. Distribution system cable, fiber and equipment to be used.
4. Longest amplifier cascade in system (number of amplifiers, number
of miles, type of cable/fiber).
5. Design maps and tree trunk maps for the system. The system design
will be shown on maps of industry standard scale using standard symbols
and shall depict all electronic and physical features of the cable
plant. The City may review the plan and, within thirty (30) days of
the date the plan is made available for City review, submit comments
to the franchisee. Within fifteen (15) days of receipt of the comments,
the franchisee shall notify the City Clerk that a revised plan is
available for review by the City at a specific office located in the
metropolitan St. Louis area, either incorporating the comments or
explaining why the comments were not included. The City's review does
not excuse any non-performance under a franchise agreement, this Chapter
or other applicable law.
I. Emergency Alert System. A franchise shall comply with 47
U.S.C. Section 544(g) and all regulations issued pursuant thereto.
J. Service Calls And Installations. Under normal operating
conditions, each of the following standards must be met no less than
ninety-five percent (95%) of the time as measured on a quarterly basis:
1. Standard Installations will be performed within seven (7) business
days after an order has been placed. Standard installations are those
that are located up to one hundred twenty-five (125) feet from the
existing distribution system.
2. The appointment window alternatives for installations, service calls
and other installation activities, will be either a specific time
or, within a maximum four (4) hour time block during normal business
hours. The grantee may schedule service calls and other installation
activities outside of normal business hours for the express convenience
of a subscriber, if so requested.
3. A grantee may not cancel an appointment with a subscriber after the
close of business on the business day prior to the scheduled appointment.
4. If a grantee's representative is running late for an appointment
with a subscriber and will not be able to keep the appointment as
scheduled, the subscriber must be contacted. The appointment must
be rescheduled, as necessary, at a time which is convenient for the
subscriber.
K. Repairs And Interruptions.
1. Under normal operating conditions and excluding conditions beyond
the control of a grantee, every grantee will begin working on service
interruptions and outages within a reasonable time frame but in no
event later than twenty-four (24) hours after the service interruption
or outage becomes known. The grantee must begin actions to correct
other service problems on the business day following notification
of such service problems.
2. The term "service interruption" means the loss of
picture or sound on one (1) or more cable channels or cable internet
service connectivity, if permitted under applicable law.
3. Work on requests for service, excluding conditions beyond the control
of a grantee, must begin by the next business day after notification
of the problem and shall exercise all due diligence to complete the
work in the shortest period of time possible.
4. Outside repairs to cable plant, which cannot be made by the initial
service technician dispatched, shall under normal operating conditions
be rescheduled within twenty-four (24) hours of the originally scheduled
service call. The subscriber does not need to be home for outside
plant and line repairs.
5. A grantee may interrupt service only for good cause and for the shortest
time reasonably possible, including interruption for system upgrade,
maintenance and repair. Subject to the reasonable safety precautions
for the benefit of the grantee's employees and agents, routine maintenance
shall occur at times that affect the fewest number of subscribers,
generally between 12:00 A.M. and 6:00 A.M. To the extent that specific
neighborhoods will be affected by a planned outage such as during
an upgrade, the grantee shall provide advance notice through telephone
calls, door hangers and/or other reasonable means.
6. A grantee shall provide a credit equivalent to a pro rata of the
monthly cable rate for each service interruption exceeding four (4)
hours in any twenty-four (24) hour period, unless it is demonstrated
that the subscriber caused the outage or the outage was planned as
part of an upgrade or other work that occurred between the hours of
12:00 A.M. and 6:00 A.M. of which the City and the subscriber received
appropriate prior notification. A subscriber is entitled to a full
refund for any cable system or disruption to a pay-per-view event.
These credits and refunds shall be made available upon request by
subscriber describing the time, date and nature of the disruption
experienced.
7. Technicians capable of performing service-related emergency repairs
and maintenance must be available twenty-four (24) hours a day, including
weekends and holidays.
8. No charge shall be made to a subscriber for any service call relating
to grantee owned and grantee maintained equipment after the initial
installation of cable service unless the problem giving rise to the
service request can be demonstrated by grantee to have been:
a. Caused by the negligence or malicious destruction of cable equipment
by the subscriber; or
b. A problem established as having been non-cable system or cable service
in origin.
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A grantee may also assess a service charge for repeat service
calls to the same address in instances where the problem was not caused
by the grantee.
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9. Cable drop lines, cable trunk lines or any other type of outside
wiring that comprise part of a grantee's cable system that are located
underground shall be placed in such locations pursuant to City Code
and the surrounding ground shall be restored as close as is practical
to its condition immediately prior to such underground construction
activity within a reasonable period of time after connection to the
cable system. Except for a grantee's maintenance facilities, no cable
drop line, cable trunk line or any other type of outside wiring shall
be permitted to lay upon the ground for an unreasonable period of
time within the City, except for the express purpose of being immediately
connected to the cable system of grantee. The requirements of this
subsection shall apply to all installation, reinstallation, service
or repair commenced by a grantee within the City during normal operating
conditions.
L. Disconnections And Downgrades.
1. If any subscriber fails to pay a properly due monthly subscriber
fee or any other properly due fee or charge, the grantee may disconnect
the subscriber's outlet; provided however, that such disconnection
shall not be effected until after the later of:
a. Thirty (30) days after the due date of said delinquent fee or charge;
or
b. Fifteen (15) days after delivery to subscriber of written notice
of the intent to disconnect.
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If a subscriber pays before expiration of the later of (a) or
(b), the grantee shall not disconnect. Provided however, that this
Section does not apply to subscribers disconnected as a result of
insufficient funds.
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2. No subscriber may be disconnected without prior written notice.
3. No subscriber may be disconnected for non-payment if payment of outstanding
balances is made before the scheduled date for disconnection, up to
and including the last business day before the scheduled disconnection.
4. No subscriber may be disconnected due to a grantee's failure to timely
or correctly post payments.
5. No subscriber may be disconnected outside of normal business hours
or on sundays or holidays.
6. Absent extenuating circumstances, a grantee is not required to reconnect
a subscriber with an undisputed outstanding balance.
7. A grantee is permitted to refuse orders for premium or "pay-per-view"
services from subscribers with a record of non-payment.
8. A grantee may disconnect subscriber premises that are responsible
for signal leakage in excess of applicable Federal limits. A grantee
may effectuate such disconnection without advance notice, provided
that a grantee shall immediately notify the subscriber with door tags
and/or telephone calls or other reasonable means. If the source of
the signal leakage is remedied and the subscriber was not the cause
of such leakage, the grantee shall reconnect the subscriber at no
charge. If the subscriber was the cause of the signal leakage, the
grantee may charge a reasonable reconnection fee. For purposes of
this Section, use of FCC-approved navigation devices does not in and
of itself constitute subscriber caused signal leakage.
9. Subscribers may request disconnection or a downgrade of cable service
at any time. A grantee may not impose any charge for service delivered
after the requested date of disconnection. As provided under Federal
law, subscribers may request a downgrade at no charge if made within
thirty (30) days of a rate increase.
10. Nothing in this Chapter or Code shall limit the right of a grantee
to deny cable service to any household or individual which has a negative
credit or cable service history with the grantee which may include
non-payment of bills, theft or damage to the grantee's equipment,
outstanding balances or threats or assaults on employees of the grantee
in the course of their employment. In the event cable service is denied,
the grantee will give notice to the subscriber of the right to contact
the appropriate authority as designated by the City.
M. Communications Between Grantee And Subscribers.
1. Notifications to subscribers.
a. Every grantee shall provide written information to subscribers on
each of the following topics at the time of installation, at least
annually to all subscribers and at any time upon request of a subscriber:
(1)
Product and services offered;
(2)
Prices and options for programming services and conditions of
subscription to programming and other services and facilities;
(3)
Installation and service maintenance policies;
(4)
Instructions on how to use services;
(5)
Channel positions of programming offered on a system; and
(6)
Billing and complaint procedures, including the name, address
and telephone number of the City.
b. Subscribers will be given thirty (30) days' advance notice of any
changes in rates, programming services or channel positions, if the
change is within the control of the grantee.
All such notice shall be provided in writing by any reasonable
means. In addition, the grantee shall notify subscribers thirty (30)
days in advance of any significant changes in other information required
by this Section. Notwithstanding the foregoing or any provision of
this franchise to the contrary, a grantee shall not be required to
provide prior notice of any rate change that is the result of a regulatory
fee, franchise fee or any other fee, tax assessment or change of any
kind imposed by any government entity on the transaction between the
grantee and the subscriber.
2. Billing.
a. Bills must be clear, concise and understandable. Bills must be fully
itemized including, but not limited to, basic and premium service
charges and equipment charges.
b. Bills must clearly delineate all activity during the billing period,
including optional charges, rebates and credits.
c. In case of a billing dispute, a grantee must respond to a written
complaint from a subscriber within thirty (30) calendar days.
d. Credits for service shall be issued no later than the subscriber's
next billing cycle after determination that the credit is warranted.
3. Late charges. A grantee may impose a monthly fee
for any delinquent balance owed by a subscriber, subject to the following:
a. At least ten (10) days before the date the fee is imposed, the subscriber
shall be given written notice on the face of the bill or by separate
notice of:
(1)
The date after which the fee will be imposed if the balance
is not paid; and
(2)
The amount of the fee that will be imposed; and
b. The fee for the delinquent payment shall not exceed two dollars ninety-five
cents ($2.95) in the event that the subscriber fails to pay its fee
within thirty (30) days after the date in which the fee is due to
the grantee. Grantee may impose an additional one dollar seventy cents
($1.70) late charge in the event that subscriber fails to pay its
fee within forty-five (45) days after the date in which the fee is
due to the grantee.
c. Grantee reserves the right to revise the late charge so that the
fee is the same throughout the metropolitan area, provided that grantee
gives thirty (30) days' written notice to the City and is not greater
than five percent (5%) of the amount of the delinquent balance or
five dollars ($5.00) per month, which ever is greater.
4. Refunds. Refund checks will be issued promptly but
no later than either:
a. The subscriber's next billing cycle following resolution of the request
or thirty (30) days, whichever is earlier, or
b. The return of equipment supplied by the grantee if cable services
are terminated.
N. Complaint Log. Subject to the privacy provisions of 47 U.S.C.
Section 521 et seq., every grantee shall prepare and maintain written
records of all complaints made to them and the resolution of such
complaints, including the date of such resolution. Such written records
shall be on file at the office of grantee. A grantee shall make available
to grantor a written summary of such complaints and their resolution
upon request.
O. Parental Control. Every grantee shall make available to
any subscriber upon request a "lockout" device for blocking both video
and audio portions of any channel(s) of programming entering the subscriber's
premises. Such device shall be provided at a reasonable charge, except
to the extent that Federal law specifically provides otherwise. A
grantee may, however, require a reasonable security deposit for the
use of such a device.
P. Service Area.
1. Area served. A franchisee shall build and maintain its system so that within a reasonable period of time, as established by the franchise, it is able to provide service to all households desiring service located within the franchise area without any construction charges (other than standard connection charges). A franchisee must build and maintain its system so that it can extend service to households desiring service located outside the franchise area in accordance with Subsections
(P)(2)(a) through
(f). Connections to commercial customers shall be governed by Section (P)(2)(g).
2. Line extension requirements.
a. For areas within the City limits but outside the franchise area,
including areas annexed after the effective date of its franchise,
a franchisee shall extend its trunk and distribution System to serve
households desiring service without any construction charge (other
than standard connection charges and drop charges as authorized herein),
unless the franchisee demonstrates to the Governing Body's satisfaction
evidenced by written decision that circumstances justify a specific
charge where the new subscriber requesting service is located within
one hundred fifty (150) feet from the termination of the cable system
or the number of potential subscribers to be passed by such extension
is equal to or greater than twenty-four (24) potential households
per cable mile or portion thereof measured from any point on the system.
b. In circumstances where that the factors requiring line extension
do not exist as set forth in the foregoing paragraph are not met,
the franchisee shall on the request of the Governing Body extend its
cable system based upon the following cost-sharing formula. The franchisee
shall contribute an amount equal to the construction costs per mile
multiplied by the length of the extension in miles, multiplied by
a fraction where the numerator equals the number of potential households
per mile at the time of the request and the denominator equals twenty-four
(24). Households requesting service as of the completion of construction
can be required to bear the remainder of the total construction costs
on a pro rata basis.
c. The "construction costs" are defined as the actual
turnkey cost to construct the entire extension including lines, materials,
electronics, pole make-ready charges and labor, but not the cost of
Drops except as provided below. If the franchisee proposes to require
a household requesting extension to make a contribution in aid of
extension, it must (1) notify the Governing Body in advance; (2) send
the Governing Body a copy of the invoice showing the amount actually
charged each household requesting extension; and (3) within thirty
(30) days of completion of the extension, furnish proof of the total
cost of the extension and make any appropriate refunds if the total
cost is less than the amounts charged in advance of construction.
At the end of each calendar year, the franchisee must calculate the
amount any contributing person would have paid based on the number
of persons served at that time and pay back the difference between
the amount which would then be owed. The franchise shall report such
calculations and refunds to the City Clerk by the end of January of
the following year.
d. Installation of drops. Except as Federal rate regulations
may otherwise require, the franchisee shall not assess any additional
cost for service drops of one hundred fifty (150) feet or less unless
the franchise demonstrates to the Governing Body's satisfaction, evidenced
by written decision, that circumstances justify a specific charge.
Where a drop exceeds one hundred fifty (150) feet in length, a franchisee
may charge the subscriber for the difference between franchisee's
actual costs associated with installing a one hundred fifty (150)
foot drop and the franchisee's actual cost of installing the longer
drop, provided that drop length shall be the shorter of:
(1)
The actual length of installed drop, or
(2)
The shortest practicable distance to the point where the franchisee
would be required to extend its distribution system.
e. Location of drops. Except as Federal rate regulations
may otherwise require or otherwise approved by the City, all cables
and wires shall be installed underground parallel to other utilities
where such easements or space is available for use by franchisee.
f. Time for extension. A franchisee must extend service
to any person who requests it:
(1)
Within seven (7) days of the request within the franchise area
or where service can be provided by activating or installing a drop
within one hundred fifty (150) feet of the existing distribution system;
(2)
Within thirty (30) days of the request for service outside the
franchise area where an extension of one-half (½) mile or less
(but more than one hundred fifty (150) feet) is required; or
(3)
Within six (6) months for service outside the franchise area
where an extension of one-half (½) mile or more is required.
g. Because existing conditions can vary dramatically, franchisee may
in its discretion require commercial customers to pay all reasonable
costs of connection (including time and materials) in excess of the
average cost of connection for residential services.
3. Newly annexed areas. In such cases where mandatory
extension of the cable system is required for areas newly annexed
after the effective date of the franchise, but the technical capabilities
of the then-existing cable system are such that the minimum technical
performance standards required by this franchise or the FCC cannot
be met, then the grantee shall be required to make such extension
only if the grantee can earn a fair return (as measured by the grantee's
weighted average cost of capital) on the incremental investment required
combined with the overall investment base of the cable system within
the boundaries of the franchise area.
4. Special agreements. Nothing herein shall be construed
to prevent a grantee from serving areas not covered under this Section
upon agreement with developers, property owners or residents.
Q. Customer Service Reporting Requirements. The City may require
upon reasonable request that a grantee periodically prepare and furnish
to City annual reports and any other reasonable information relevant
to the grantee's compliance with the customer service requirements
of this Chapter measured on a quarterly basis.
[Ord. No. 2374 §1, 2-17-2004]
A. Open Books And Records. Every grantee shall cooperate with
the City with respect to City's administration of this Chapter and
Code and any applicable franchise granted pursuant to it. Subject
to the privacy provisions of the Cable Act, City shall have the right
to inspect, upon three (3) business days notice, during Normal Business
Hours, all books, records, maps, plans, financial statements, service
complaint logs, performance test results and other existing like materials
of a grantee that relate to the operation of the grantee's cable system
and that are reasonably necessary to grantor's enforcement or administration
of this Code or the grantee's franchise. A grantee shall not be required
to maintain any books or records for franchise compliance purposes
longer than three (3) years, except that financial records necessary
to demonstrate compliance with the required Cable franchise fee payments
shall be kept for six (6) years. Upon request, the City will treat
designated information disclosed by a grantee as confidential to the
extent permissible under State and Federal law. All such review of
a grantee's books and records shall be performed by an independent
party if the City itself enters into the business as a competitor.
B. Communications With Regulatory Agencies. Copies of all petitions,
applications, communications and reports submitted by a grantee to
the FCC, Securities and Exchange Commission or any other Federal or
State regulatory commission or agency having jurisdiction in respect
to any matters directly affecting the cable system operations shall
be made available contemporaneously to the City upon request. Copies
of responses from the above regulatory agencies to a grantee likewise
shall be made available promptly to the City upon request. If the
City is specifically named in any such pleading or response, the City
shall automatically be furnished a copy.
C. Annual Reports.
1. Upon request, a grantee shall make available to City, within ninety
(90) days of the end of each of the applicable grantee's fiscal years
during the term of this franchise, the following:
a. A revenue statement certified by a representative of the grantee
showing the gross revenues of the grantee for the preceding fiscal
year;
b. A current list of names and addresses of each officer and director
and other management personnel of the grantee;
c. A copy of all documents that relate directly to the grantee's cable
system that were filed with any Federal, State or local agencies during
the preceding fiscal year and that were not previously filed with
City;
d. A statement of the grantee's current billing practices and charges;
e. A copy, if any, of the grantee's current subscriber service contract;
and
f. A copy of annual reports to stockholders, if any, for operating company
and parent company.
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All of the above information shall not be required annually
unless there is a change after the first (1st) filing.
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2. City and its agents and representatives shall have authority to arrange
for and conduct an audit during normal business hours of the books
and records of grantee that are reasonably necessary for the enforcement
of a franchise. A grantee shall first be given thirty (30) days notice
of the audit, the description of and purpose for the audit and a description,
to the best of City's ability, of the books, records and documents
that City wants to review. The costs and expense of such audit shall
be borne by the grantee if the audit reveals a discrepancy of two
percent (2%) or more from the information related to the City.
3. Any review or audit of a grantee's books and records shall be performed
by an independent party if the City itself enters into the business
as a competitor to provide cable services.
D. Additional Reports And Assistance. Upon request of the City,
a grantee shall add additional reports to the Index which are reasonably
necessary to the City's proper enforcement of this Chapter, Code or
franchise. The City shall require such reports only through passage
of a formal resolution of the City. In addition, upon request, a grantee
shall cooperate and assist the City in interpreting and understanding
any report required under this Chapter, Code or its franchise, including
through the provision of explanatory graphs and/or charts.
E. Service Contract And Subscriber Information.
1. A grantee shall have 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 Chapter and its franchise and
to assure uninterrupted cable service to all of its subscribers; provided
such rules, regulations, terms and conditions shall not be in conflict
with the provisions of this Code, Federal, State and/or local law
or any applicable rules and regulations.
2. Upon request, a grantee shall submit to City any subscriber contract
form that it utilities. If no written contract exists, a grantee shall
file with the City a document completely and concisely stating the
terms of the residential subscriber contract offered, specifically
including the length of the subscriber contract. The length and terms
of any subscriber contract shall be available for public inspection
during normal business hours.
[Ord. No. 2374 §1, 2-17-2004]
A. Cable Franchise Fee.
1. As compensation for grant of a franchise and in consideration of
permission to use the rights-of-way of the City for the construction,
operation, maintenance and reconstruction of a cable system and to
defray the costs of franchise obligations, every grantee shall pay
to the City on a quarterly basis throughout the term of its franchise
a sum totaling five percent (5%) of the grantee's gross revenues.
2. The franchisee fee is in addition to all other fees and all taxes
and payments that a franchisee or other person may be required to
pay under any Federal, State or local law, including any applicable
property and amusements taxes, except to the extent that such fees,
taxes or assessments are a franchise fee under 47 U.S.C. Section 542.
3. Further, every grantee shall market any "bundled" services to fairly
reflect an appropriate and reasonable division of services among the
various services offered. Whether or not a grantee separates services
on a subscriber's bill, it will provide to the City the amounts upon
which it will pay any applicable use fee and any other applicable
taxes or fees based on the provision of communications service and
the amounts upon which it will pay the cable service franchise fee.
Should a grantee engage in billing practices that, in the determination
of the City, do not fairly reflect an appropriate split of communications
services and cable television services, the City will notify the grantee
in writing of its determination. The parties will meet and discuss
in good faith whether the billing practices result in an unfair payment
of fees to the City. If the parties do not agree on an appropriate
method of determining which charges are subject to use fees and which
are subject to the cable service franchise fee, the parties may subject
the dispute to arbitration or may resort to other methods of dispute
resolution, including litigation. Taxes or fees which are not paid
on the appropriate division of the bundled bill, when ultimately paid,
will be subject to all interest and penalties provided by the applicable
portion of this Code.
4. Payments due City under this Section shall be computed quarterly
for the preceding quarter as of March thirty-first (31st), June thirtieth
(30th), September thirtieth (30th) and December thirty-first (31st).
Each quarterly payment shall be due and payable no later than forty-five
(45) days after the dates listed in the previous sentence. Each payment
shall be accompanied by a brief report by the grantee showing the
basis for the computation and a "franchise fee worksheet" listing
all of the sources of revenues attributable to the operation of the
grantee's system.
5. Should any additional monies be due to the City as a result of information
contained in the annual financial report of a grantee or by audit
as permitted by this Chapter, the grantee shall pay such additional
monies to the City within sixty (60) days after receipt of notice
of same from the City.
6. In the event any franchisee fee or other payment is not made on or
before the date specified herein, the franchisee and any other person
shall pay interest charges computed from such due date at an annual
rate equal to the commercial prime interest rate of the City's primary
depository bank during the period such unpaid amount is owed. In addition,
unless otherwise prohibited by law, franchisee shall pay an additional
sum of two percent (2%) of the amount due to defray the City's additional
expenses by reason of the delinquency.
7. No acceptance of any payment shall be construed as an accord that
the amount paid is in fact the correct amount, nor shall such acceptance
of payment be construed as a release of any claim the City may have
for further sums payable under the provisions of this Chapter, Code
or applicable franchise. All amounts paid shall be subject to audit
and recomputation by the City or its designee at any time upon reasonable
notice and specification of the documents requested to be reviewed.
City's right to audit and the grantee's obligations to retain records
related to the franchise fee audit shall expire six (6) years from
the date on which each franchise fee payment by the grantee is due.
B. Security Fund. Each grantee may be required to maintain
a security fund with the City to ensure compliance with this Chapter,
Code and applicable franchise, in an amount and in a manner as set
forth in the grantee's franchise.
C. Bonds, Indemnification And Insurance. Each grantee shall maintain bonds anal insurance with the City in amounts and in a manner as set forth in the grantee's franchise. Each grantee also shall be required to indemnify the City in a manner as set forth in Article
I and in the grantee's franchise.
D. Remedies And Enforcement Procedure.
1. Whenever the City has reason to believe that a grantee has violated
any provision of this Code or its franchise including the customer
service and telephone availability requirements, the City shall first
notify the grantee in writing of the violation and demand correction
within a reasonable time which shall not be less than thirty (30)
days. If the grantee fails to demonstrate to the reasonable satisfaction
of the City that no violation exists or if the grantee fails to correct
the violation within the time prescribed or if the grantee is unable
to correct the violation and fails to commence corrective action within
the time prescribed and to diligently remedy such violation thereafter,
the grantee shall then be given written notice of not less than thirty
(30) days of a public hearing to be held before the Governing Body.
Said notice shall indicate with reasonable specificity the violation
alleged to have occurred. This procedure shall apply to all alleged
Code or franchise violations, including those in which grounds for
revocation are considered.
2. At the public hearing, the Governing Body shall hear and consider
all relevant evidence and thereafter render findings and a decision
based upon the evidence.
3. In the event the City finds that the grantee has corrected the violation
or promptly commenced correction of such violation after notice thereof
from the City and is diligently proceeding to fully remedy the violation
or that no violation has occurred, the proceedings shall terminate
and no penalty or other sanction shall be imposed.
In the event the City finds that a violation exists and that
the grantee has not corrected the same in a satisfactory manner or
did not promptly commence and diligently proceed to correct the violation,
the City may impose penalties and/or liquidated damages from the Security
Fund, as follows:
a. For system construction schedule violations including, but not limited
to, provisions relating to initial construction schedules and system
upgrade construction schedule, five hundred dollars ($500.00) per
day of non-compliance;
b. For all other violations, two hundred fifty dollars ($250.00) per
day per violation.
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The City shall provide the grantee with written notice of its
decision together with a written finding of fact explaining the basis
for such a decision.
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4. If the City elects to assess penalties or liquidated damages, then
such election shall constitute the City's exclusive remedy for a period
of sixty (60) days. Thereafter, if the grantee remains in non-compliance,
the City may pursue any other available remedy, including franchise
revocation.
5. In the event that a franchise is cancelled or terminated by reason
of the default of the grantee, the security fund deposited pursuant
to the franchise shall remain in effect and available to the City
until all pending claims or penalties are resolved or settled, after
which point any remaining amounts in the security fund shall revert
to the possession of the grantee.
6. The rights reserved to the City with respect to the security fund
are in addition to all other rights of City, whether reserved by this
Code, applicable franchise or authorized by law and no action, proceeding
or exercise of a right with respect to such security fund shall affect
any other right City may have.
7. The foregoing provisions shall not be deemed to preclude the City
from obtaining any other available remedies for repeated violations
of the same general type, whether remedied or not.
E. Grounds For Revocation. In addition to any rights in this
Code or applicable franchise, the City reserves the right to utilize
the above-described enforcement procedure to revoke a franchise and
all rights and privileges pertaining thereto in the event that any
of the following occur and the City and a grantee are not able to
mutually agree upon a cure or alternate remedy.
1. The grantee substantially violates any material provision of this
Code or its franchise;
2. The grantee practices an act of fraud or deceit upon the City; or
3. The grantee becomes insolvent or is adjudged bankrupt; provided that
any remedy imposed pursuant to this Subsection shall not conflict
with the requirements of the Federal Bankruptcy Code or other applicable
law.
F. Right Of Appeal.
1. Upon the imposition of a penalty or revocation decision, a grantee
shall have a period of one hundred twenty (120) days subsequent to
the date of the formal adoption of the decision by the Governing Body
within which to file an appeal with a court of competent jurisdiction.
2. During any such appeal period, the franchise shall remain in full
force and effect.
[Ord. No. 2374 §1, 2-17-2004]
A. Foreclosure. Upon the foreclosure or other judicial sale
of all or a part of the cable system or upon the termination of any
lease covering all or part of the cable system, a grantee shall notify
the City of such fact and such notification shall be treated as a
notification that a change in control of the grantee has taken place
and the provisions of this Code governing the consent to transfer
or change in ownership shall apply without regard to how such transfer
or change in ownership occurred.
B. Receivership. The City shall have the right to cancel a
franchise one hundred twenty (120) days after the appointment of a
receiver or trustee to take over and conduct the business of a grantee,
whether in 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. Within one hundred twenty (120) days after its election or appointment,
the receiver or trustee has fully complied with all the provisions
of the franchise and remedied all defaults thereunder; and
2. Such receiver or trustee, within said one hundred twenty (120) days,
has executed an agreement, duly approved by a court having jurisdiction,
whereby such receiver or trustee assumes and agrees to be bound by
each and every provision of this Code and applicable franchise.
[Ord. No. 2374 §1, 2-17-2004]
A. If
a renewal or extension of a franchise is denied without further right
of appeal or a franchise is lawfully terminated with all rights of
appeal exhausted, the City may acquire ownership of the cable system
or effect a transfer of ownership of the cable system to another person,
any such acquisition or transfer shall be in accordance with and to
the extent permitted by 47 U.S.C. Section 547 as follows:
1. Upon revocation of a franchise, such valuation shall not include
any sum attributable to the value of the franchise itself and plant
and property shall be valued according to its book value at the time
of revocation or the cable system's initial cost less depreciation
and salvage, whichever of the two is lower.
2. At the expiration of a franchise, such valuation shall be at fair
market value, exclusive of the value attributed to the franchise itself.
[Ord. No. 2374 §1, 2-17-2004]
A. A grantee
shall not sell, transfer, lease, assign, sublet or dispose of, in
whole or in part, an interest in or control of a franchise or cable
system without the prior consent of the City, which consent shall
not be unreasonably denied or delayed and may be denied only upon
a good faith finding by the City that the proposed transferee lacks
the legal, technical or financial qualifications to consummate the
transaction and operate the cable system so as to perform its obligations
under the franchise. This Section shall not apply to sales of property
or equipment in the normal course of business. Consent from the City
shall not 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 a grantee.
B. The
following events shall be deemed to be a sale, assignment or other
transfer of an interest in or control of a franchise or cable system
requiring compliance with this Section:
1. The sale, assignment or other transfer of all or a majority of a
grantee's assets in the City;
2. The sale, assignment or other transfer of capital stock or partnership,
membership or other equity interests in a grantee by one (1) or more
of its existing shareholders, partners, members or other equity owners
so as to create a new controlling interest in grantee;
3. The issuance of additional capital stock or partnership membership
or other equity interest by a grantee so as to create a new controlling
interest in a grantee; and
4. A grantee's agreement to transfer management or operation of the
grantee or the system to an unaffiliated entity so as to create a
new controlling interest in the grantee. The term "controlling
interest", as used herein, means majority equity ownership
of a grantee.
C. A transfer
solely for security purposes such as the grant of a mortgage or security
interest, including the pledge or grant of a mortgage or security
interest to lenders of a grantee's assets, including, but not limited
to, the franchise, such as in a transaction commonly known as an "initial
public offering" shall not be deemed to be a sale, assignment or other
transfer of an interest in or control of a franchise or cable system
and thus shall not require compliance with this Section.
D. The
grantee shall submit to the City the application and FCC Form 394
requesting such transfer or assignment consent or comply with other
applicable procedure. In the case of any sale or transfer of ownership
of an interest in or control of a franchise or cable system, the City
shall have one hundred twenty (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 FCC regulations
and the requirements of this Code. If the City fails to render a final
decision on the request within one hundred twenty (120) days after
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 the one hundred twenty (120) day period.
E. The
City reserves any legal right it has under applicable law to require
a grantee to pay all costs and expenses incurred by the City in connection
with the sale, assignment or transfer of a franchise including, but
not limited to, the City's costs of reviewing the qualifications of
any proposed transferees. Such reimbursement shall not be considered
a franchise fee.
[Ord. No. 2374 §1, 2-17-2004]
A. Discriminatory Practices Prohibited. A grantee shall not
deny cable service, deny access or otherwise discriminate against
subscribers, programmers or general citizens on the basis of income
level, race, color, religion, national origin, sex or age. Every grantee
shall strictly adhere to the equal employment opportunity requirements
of State and Federal law. Every grantee shall comply at all times
with all other applicable Federal, State and local laws and all executive
and administrative orders relating to non-discrimination.
B. Subscriber Privacy. Every grantee shall at all times comply
with the Federal subscriber privacy requirements codified at 47 U.S.C.
Section 551.
[Ord. No. 2374 §1, 2-17-2004]
A. Rate Regulation. The City reserves the right to regulate
rates for basic cable service and any other services offered over
a cable system to the extent permitted by Federal or State law. A
grantee shall be subject to the rate regulation provisions provided
for herein and those of the Federal Communications Commission (FCC)
at 47 C.F.R., Part 76.900, Subpart N. The City shall follow the rules
relating to cable rate regulation promulgated by the FCC at 47 C.F.R.,
Part 76.900, Subpart N.
B. Rights Reserved To Grantor. Upon either final non-appealable
determination of non-renewal or revocation of a franchise, grantor
shall have discretion to permit a grantee by mutual consent to continue
to operate the cable system for an extended period of time agreed
upon by the parties. Any such operation of the system by a grantee
shall be in accordance with the terms and conditions of this Chapter
or franchise and shall provide the regular subscriber service and
any and all of the services that may be provided at that time.