[12-28-1998]
This article shall be known and may be cited as the "Thornton
Cable Television Franchise Ordinance," hereinafter "Franchise" or
"Ordinance."
[12-28-1998]
For the purpose of this article the following terms, phrases,
words and their derivations shall have the meaning given herein:
ADDITIONAL SERVICE
Any subscriber service provided by the Grantee for which
a special charge is made based on program or service content, time
or spectrum space usage.
BASIC SERVICE
All subscriber services provided by the Grantee in one or
more service tiers, which includes the delivery of local broadcast
stations, and public, educational and government access channels.
Basic Service does not include optional program and satellite service
tiers, a la carte services, per channel, per program or auxiliary
services for which a separate charge is made. However, Grantee may
include other satellite signals on the Basic Service tier.
BOARD
The Thornton Village Board.
CABLE SYSTEM or SYSTEM or CABLE TELEVISION SYSTEM
A system of antennas, cables, wires, lines, towers, wave
guides, or other conductors, converters, equipment or facilities,
designed and constructed for the purpose of producing, receiving,
transmitting, amplifying and distributing, audio, video, and other
forms of electronic, electrical or optical signals, which includes
cable television service and which is located in the Village. The
definition shall not include any such facility that serves or will
serve only subscribers without using Village rights-of-way.
CLASS IV CHANNEL
A signaling path provided by a cable communications system
to transmit signals of any type from a subscriber terminal to another
point in the cable communications system.
COMPLAINT
Any complaint regarding service, picture quality, charges
or other matter relating to the cable system made by a customer to
the Grantee, whether in written or oral form.
CONTROL OR CONTROLLING INTEREST
Actual working control or ownership of a system in whatever
manner exercised. A rebuttable presumption of the existence of control
or a controlling interest shall arise from the beneficial ownership,
directly or indirectly, by any person or entity (except underwriters
during the period in which they are offering securities to the public)
of 5% or more of a cable system or the franchise under which the system
is operated. A change in the control or controlling interest of an
entity which has control or a controlling interest in a Grantee shall
constitute a change in the control or controlling interest of the
system under the same criteria. Control or controlling interest as
used herein may be held simultaneously by more than one person or
entity.
CONVERTER
An electronic device which converts signals to a frequency
not susceptible to interference within the television receiver of
a subscriber, and by an appropriate channel selector also permits
a subscriber to view more than 12 channels delivered by the system
at designated converter dial locations.
FCC
The Federal Communications Commission and any legally appointed,
designated or elected agent or successor.
GRANTEE
A person or entity to whom or which a Franchise under this
chapter is granted by the Village, along with the lawful successors
or assigns of such person or entity.
GROSS REVENUES
All revenue collected directly or indirectly by the Grantee,
arising from or attributable to the provision of cable service by
the Grantee within the Village including, but not limited to: periodic
fees charged Subscribers for any basic, optional, premium, per-channel
or per-program service; installation and reconnection fees; leased
channel fees; converter rentals and/or sales; program guide revenues;
studio or production equipment rentals; late or administrative fees;
upgrade, downgrade or other change-in-service fees; advertising revenues;
revenues from home shopping and bank-at-home channels; revenues from
the sale, exchange, use or cable cast of any programming developed
on the system for community or institutional use; and any value (at
retail price levels) of any non-monetary remuneration received by
Grantee in consideration of the performance of advertising or any
other cable service of the system; and franchise fees, provided, however,
that this shall not include any taxes on services furnished by the
Grantee herein imposed directly upon any subscriber or user by the
state, local or other governmental unit and collected by the Grantee
on behalf of the governmental unit.
INITIAL SERVICE AREA
All areas in the Village having a density of at least 20
dwelling units per street mile.
INSTALLATION
The connection of the system from feeder cable to subscribers'
terminals.
MONITORING
Observing a communications signal, or the absence of a signal,
where the observer is neither the subscriber nor the programmer, whether
the signal is observed by visual or electronic means, for any purpose
whatsoever; provided monitoring shall not include system-wide, non-individually
addressed sweeps of the system for purposes of verifying system integrity,
controlling return paths transmissions, or billing for pay services.
NORMAL BUSINESS HOURS
Those hours during which similar businesses in the Village
are open to serve customers. In all cases, Normal Business Hours must
include some evening hours at least one night per week, and some weekend
hours.
NORMAL OPERATING CONDITIONS
Those service conditions that are within the control of the
Grantee. Those conditions that are not within the control of the Grantee
include, but are not limited to: natural disasters, civil disturbances,
power outages, telephone network outages, and severe or unusual weather
conditions. Those conditions which are ordinarily within the control
of the Grantee include, but are not limited to, special promotions,
pay-per-view events, rate increases, regular peak or seasonal demand
periods, and maintenance or upgrade of the Cable System.
SERVICE INTERRUPTION
Is the loss of either picture or sound or both for a single
or multiple subscriber(s).
STREET
The surface of and all rights-of-way and the space above
and below any public street, road, highway, freeway, lane, path, public
way or place, sidewalk, alley, court, boulevard, parkway, drive or
easement now or hereafter held by the Village for the purpose of public
travel and shall include other easements or rights-of-way as shall
be now held or hereafter held by the Village which shall, within their
proper use and meaning entitle the Grantee to the use thereof for
the purposes of installing poles, wires, cable, conductors, ducts,
conduits, vaults, manholes, amplifiers, appliances, attachments, and
other property as may be ordinarily necessary and pertinent to a cable
television system.
SUBSCRIBER
Any person, firm, Grantee, corporation, or association lawfully
receiving any service provided by a Grantee pursuant to this article.
USER
A party utilizing a cable television system channel for purposes
of production or transmission of material to subscribers, as contrasted
with receipt thereof in a subscriber capacity.
VILLAGE
The Village of Thornton, Illinois.
[12-28-1998]
Any franchise granted by the Village pursuant to Illinois Statutes
(Chapter 24, Article 11, Division 42, para. 11-42-11) shall grant
to the Grantee the right and privilege to erect, construct, operate
and maintain in, upon, along, across, above, over and under the streets
now in existence and as may be created or established during its terms
any poles, wires, cable, underground conduits, manholes, and other
television conductors and fixtures necessary for the maintenance and
operation of a Cable System. Any such franchise granted by the Village
shall be on the same or similar terms and conditions.
[12-28-1998]
Any franchise is for the current territorial limits of the Village
and for any area henceforth added thereto during the term of the franchise.
[12-28-1998]
Any franchise and the rights, privileges and authority hereby
authorized shall take effect and be in force from and after the signing
of a franchise agreement by the Village, as provided by law, and shall
continue in force and effect for an initial term of no longer than
12 years, provided that within 15 days after the date of Village approval
of the franchise the Grantee shall file with the Village its unconditional
acceptance of the franchise and promise to comply with and abide by
all its provisions, terms and conditions. Such acceptance and promise
shall be in writing duly executed and sworn to, by, or on behalf of
the Grantee before a notary public or other officer authorized by
law to administer oaths. Such franchise shall be nonexclusive and
revokable.
[12-28-1998]
Pursuant to 47 U.S.C. 546, the following procedure shall apply:
A. The Village may, on its own initiative, during the six-month period
which begins with the thirty-six-month before the franchise expiration,
commence a proceeding which affords the public in the Village appropriate
notice and participation for the purpose of (1) identifying the future
cable-related community needs and interests and (2) reviewing the
performance of the Grantee under the franchise. If the Grantee submits,
during such six-month period, a written renewal notice requesting
the commencement of such proceeding, the Village shall commence such
proceeding not later than six months after the date such notice is
submitted.
B. Upon completion of the proceeding under Subsection
A above, the Grantee may, on its own initiative or at the request of the Village, submit a proposal for renewal. The Village may establish a date by which such proposal shall be submitted.
C. Upon submittal by the Grantee of a proposal to the Village for the
renewal of the franchise, the Village shall provide prompt, public
notice of such proposal and renew the franchise or issue a preliminary
assessment that the franchise should not be renewed, and at the request
of the Grantee or on its own initiative, commence an administrative
proceeding, after providing prompt, public notice of such proceeding.
D. The Village shall consider in any administrative proceeding whether:
(1) the Grantee has substantially complied with material terms of
the existing franchise and with applicable law; (2) the quality of
the Grantee's service, including signal quality, response to
consumer complaints and billing practices, but without regard to the
mix or quality of cable services or other services provided over the
System, has been reasonable in the light of community needs; (3) the
Grantee has the financial, legal and technical ability to provide
the services, facilities and equipment as set forth in the Grantee's
proposal; and (4) the Grantee's proposal is reasonable to meet
the future cable-related community needs and interests, taking into
account the costs of meeting such needs and interests.
E. In any proceeding under Subsection
D, the Grantee shall be afforded adequate notice and the Grantee and the Village, or its designee, shall be afforded fair opportunity for full participation, including the right to introduce evidence (including evidence related to issues raised in the proceedings under Subsection
A above), to require the production of evidence and to question witnesses. A transcript shall be made of any such proceeding.
F. At the completion of a proceeding under Subsection
D, the Village shall issue a written decision granting or denying the proposal for renewal based upon the record of such proceeding and transmit a copy of such decision to the Grantee. Such decision shall state the reasons therefor.
G. Any denial of a proposal for renewal that has been submitted in compliance
with the procedures set forth above, shall be based on one or more
adverse findings made with respect to the factors described at Subsection
D(1) through (4) pursuant to the record of the proceeding under said
subsection. The Village may not base a denial of renewal on a failure
to substantially comply with the material terms of the franchise or
on events considered under Subsection D(2) unless the Village has
provided the Grantee with notice and the opportunity to cure or in
any case in which it is documented that the Village has waived its
right to object.
H. The Grantee may appeal any final decision or failure of the Village
to act in accordance with the procedural requirements of this section.
The court shall grant appropriate relief if the court finds that (1)
any action of the Village is not in compliance with the procedural
requirements of this section; or (2) in the event of a final decision
of the Village denying the renewal proposal, the Grantee has demonstrated
that the adverse finding of the Village with respect to each of the
factors described in Subsection D(1) through (4) on which the denial
is based is not supported by a preponderance of the evidence, based
on the record of the administrative proceeding.
[12-28-1998]
In the event that any or all of the above-referenced provisions
of federal law are repealed, the following relevant section(s) shall
apply:
A. At least 24 months prior to the expiration of the franchise, the
Grantee shall inform the Village in writing of its intent to seek
renewal of the franchise.
B. The Grantee shall submit a proposal for renewal which demonstrates:
1. That it has been and continues to be in substantial compliance with
the material terms, conditions, and limitations of this article and
its franchise;
2. That its system has been installed, constructed, maintained and operated
in accordance with the accepted standards of the industry, and this
article and its franchise;
3. That it has the legal, technical, financial, and other qualifications
to provide the facilities, services and equipment set forth in its
proposal; and
4. That it has made a good faith effort to provide services and facilities
which accommodate the demonstrated needs of the community as may be
reasonably ascertained by the Village through a public process.
C. After giving public notice, the Village shall proceed to determine
whether the Grantee has satisfactorily performed its obligations under
the franchise. To determine satisfactory performance, the Village
shall consider technical developments and performance of the system,
programming, other services offered, cost of services, and any other
particular requirements set forth in this article. The Village shall
also consider the Grantee's reports made to the Village and to
the FCC, and the Village may require the Grantee to make available
specified records, documents, and information for this purpose, and
may inquire specifically whether the Grantee will supply services
sufficient to meet community needs and interests. Industry performance
on a national basis shall also be considered. Provision shall be made
for public comment with adequate prior notice of at least 10 days.
D. The Village shall then prepare any amendments to this article that
it believes necessary.
E. If the Village finds the Grantee's performance satisfactory,
and finds the Grantee's technical, legal, and financial abilities
acceptable, and finds the Grantee's renewal proposal meets the
future cable-related needs of the Village, a new franchise may be
granted pursuant to this article as amended for a period to be determined.
F. If the Grantee is determined by the Village to have performed unsatisfactorily,
new applicants may be sought and evaluated and a franchise award shall
be made by the Village according to franchising procedures adopted
by the Village.
[12-28-1998]
No cable television system shall be allowed to operate or to
occupy or use the streets (i.e., rights-of-way) for system installation
and maintenance purposes without a franchise.
[12-28-1998]
The Village and the Grantee shall work together to agree to
terms and conditions which allow the Village to install and maintain
upon the poles of the Grantee, any wire or pole fixtures that do not
unreasonably interfere with the cable television system operations
of the Grantee, so long as the Village maintains a similar right with
the utilities operating in the Village. The Village shall indemnify
and hold harmless the Grantee from any claim that might arise due
to or as a result of the Village's use.
[12-28-1998]
Costs to be borne by a Grantee shall include any requirements
or charges incidental to the awarding or enforcing of its initial
franchise, but shall not be limited to: reasonable administrative,
engineering, legal and consulting expenses, all costs of publications
of notices prior to any public meeting provided for pursuant to this
article, and any costs not covered by application fees incurred by
the Village in its study, preparation of proposal documents, evaluation
of all applications, and examinations of the applicant's qualifications.
[12-28-1998]
All notices from the Grantee to the Village pursuant to any
franchise shall be sent to the Village Mayor's Office, with a
copy to the chief administrative officer. The Grantee shall maintain
with the Village, throughout the term of the franchise, an address
for service of notices by mail. The Grantee shall maintain a central
office to address any issues relating to operating under this cable
television ordinance.
[12-28-1998]
Minimum public notice of any public meeting relating to the
franchise shall be by publication at least once in a local newspaper
of general circulation at least 10 days prior to the meeting, by posting
at the Village Municipal Center by announcement and shall be on at
least one channel of the Grantee's System between the hours of
7:00 p.m. and 9:00 p.m., for five consecutive days prior to the meeting.
[12-28-1998]
The Grantee shall provide cable television service throughout
the entire franchise area pursuant to the provisions of the franchise
and shall keep a record for at least three years of all requests for
service received by the Grantee. This record shall be available for
public inspection at the local office of the Grantee during regular
office hours.
[12-28-1998]
The Grantee shall have the authority to promulgate such rules,
regulations, terms and conditions governing the conduct of its business
as shall be reasonably necessary to enable the Grantee to exercise
its rights and perform its obligations under the franchise, and to
assure uninterrupted service to each and all of its customers; provided,
however, that such rules, regulations, terms and conditions shall
not be in conflict with the provisions hereof or applicable state
and federal laws, rules and regulations.
[12-28-1998]
Copies of all petitions, applications, communications and reports
submitted by the Grantee to the Federal Communications Commission,
to the Securities and Exchange Commission, or to any other federal
or state regulatory commission or agency having jurisdiction in respect
to any matters affecting cable television operations authorized pursuant
to the franchise or received from such agencies shall be provided
upon request to the Village.
[12-28-1998]
The Grantee shall file annually with the Village no later than
120 days after the end of the Grantee's fiscal year, a copy of
a gross revenues statement certified by an officer of the Grantee.
[12-28-1998]
At the expiration of the term for which the franchise is granted
or when any renewal is denied, or upon its termination as provided
herein, the Grantee shall forthwith, upon notice by the Village, remove
at its own expense all designated portions of the cable television
system from all streets and public property within the Village. If
the Grantee fails to do so, the Village may perform the work at the
Grantee's expense. Upon such notice of removal, a bond shall
be furnished by the Grantee in an amount sufficient to cover this
expense.
[12-28-1998]
Pursuant to the Cable Television Consumer Protection and Competition
Act of 1992, the Village of Thornton is currently certified to regulate
the Basic Service rates charged by Grantee. Under these rules, Grantee
is required to obtain approval from the Village for a rate increase
for any change to the rates for Basic Service. Should federal or state
law permit further rate regulation beyond Basic Service, the Village
of Thornton may assume such rate regulation and adopt appropriate
procedures for such regulation.
[12-28-1998]
Upon the foreclosure or other judicial sale of all or a substantial
part of the system, or upon the termination of any lease covering
all or a substantial part of the system, the Grantee shall notify
the Village 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 the franchise governing the consent of the Village
to such change in control of the Grantee shall apply.
[12-28-1998]
For the violation of any of the following provisions of this
article, penalties shall be chargeable to the letter of credit as
follows and the Village may determine the amount of the forfeiture
for other violations which are not specified in a sum not to exceed
$1,000 for each violation, with each day constituting a separate violation:
A. Failure to furnish, maintain, or offer all cable services to any
potential Subscriber within the Village upon order of the Village:
$100 per day, per violation, for each day that such failure occurs
or continues;
B. Failure to obtain or file evidence of required insurance, construction
bond, performance bond, or other required financial security: $200
per day, per violation, for each day such failure occurs or continues;
C. Failure to provide access to data, documents, records, or reports to the Village as required by §§
5-6C-19,
5-6C-29,
5-6C-31 and
5-6C-37: $100 per day, per violation, for each day such failure occurs or continues;
D. Failure to comply with applicable construction, operation, or maintenance
standards: $200 per day, per violation;
E. Failure to comply with a rate decision or refund order: $500 per
day, per violation, for each day such a violation occurs or continues.
F. For any violations for noncompliance with the customer service standards of §§
5-6C-23 through
5-6C-25 the Grantee shall pay $500 per day for each day, or part thereof, that such noncompliance continues;
G. For any other violations of a franchise agreement to be determined
by the Grantor in a public hearing but not specifically noted in this
section shall not exceed $1,000 per day, per violation.