A. This
chapter is designed to regulate video service providers holding state
video franchises and operating within the City. As of January 1, 2007,
the State of California has the sole authority to grant state video
franchises pursuant to the Digital Infrastructure and Video Competition
Act of 2006 (DIVCA). Pursuant to DIVCA, the City of Garden Grove may
receive a franchise fee and may receive a fee for public, educational,
and governmental access (defined in this chapter as "PEG" or "PEG
access channels") from all state video franchise holders operating
within the City. Additionally, although DIVCA reserves to the state
authority to adopt customer service standards, the City has the responsibility
to establish penalties, consistent with state law, for violations
of such customer service standards.
B. It is
the purpose of this chapter to implement within the City the provisions
of DIVCA and the rules the California Public Utilities Commission
promulgated thereunder that are applicable to a "local franchising
entity" or a "local entity" as defined in DIVCA. Consistent with that
purpose, the provisions of this chapter are to be construed in a manner
that is consistent with DIVCA and the applicable rules of the Commission
promulgated thereunder.
(2731 § 1, 2008; 2808 § 1, 2012)
Terms used in this chapter shall have the same meaning as established
in (1) DIVCA, and, if not defined therein, (2) Commission rules implementing
DIVCA, and, if not defined therein, (3) Subchapter V-A of Chapter
5 of Title 47 of the United States Code, and, if not defined therein,
(4) their common and ordinary meaning. References to governmental
entities (whether persons or entities) shall refer to those entities
or their successors in authority. If a specific provision of law referred
to in this chapter should be renumbered, then the reference shall
be read to refer to the renumbered provision. References to any law
shall be interpreted broadly to cover government actions, however
nominated, including any law now in force or subsequently enacted
or amended.
(2731 § 1, 2008; 2808 § 1, 2012)
A. Except as the City Council may authorize by resolution, and except for franchisees with a valid franchise issued under Chapter
5.24 of this title, no person may construct, operate, maintain, or repair a cable system or video service provider's network in the City without first obtaining a state franchise.
B. A state
franchise shall not convey rights other than as specified in this
chapter or in DIVCA or other applicable law; no rights shall pass
by implication.
C. Except
as otherwise provided by DIVCA, a state franchise shall not include,
or be a substitute for:
1. Compliance
with generally applicable requirements for the privilege of transacting
and carrying on a business within the City, including, but not limited
to, compliance with the conditions that the City may establish before
facilities may be constructed, or for providing non-video services;
2. Any
permit or authorization, other than a state franchise, required in
connection with operations on or in public rights-of-way or public
property; and
3. Any
permit, agreement, or authorization for occupying any other property
of the City or private persons to which access is not specifically
granted by the state franchise.
D. Except
as otherwise provided in DIVCA, a state franchise shall not relieve
a franchisee of its duty to comply with all laws, including laws of
the City, and every state franchisee shall comply with the same. The
City reserves its rights to the lawful exercise of police and other
powers the City now has or may later obtain.
E. The
City reserves the right to construct, operate, maintain, or repair
its own cable system or video service provider network.
(2731 § 1, 2008; 2808 § 1, 2012)
A. The
City may from time to time adopt rules and regulations to implement
the provisions of this chapter consistent with DIVCA.
B. The
City Manager, or his or her designee, is hereby authorized to administer
this chapter and to provide or cause to be provided any notices (including
noncompliance notices) and to take any action on behalf of the City
that may be required under this chapter, DIVCA, or under applicable
law.
C. The
failure of the City, upon one or more occasions, to exercise a right
or to require compliance or performance under this chapter or any
other applicable law shall not be deemed to constitute a waiver of
such right or a waiver of compliance or performance, unless such right
has been specifically waived in writing or its exercise by the City
is not permitted by DIVCA.
D. The
City may designate one or more entities, including itself, to control
and manage the use of PEG access channels, and any PEG facilities
and equipment owned, controlled, or used by the City or the designated
entity or entities.
(2731 § 1, 2008; 2808 § 1, 2012)
A state video franchise holder operating in the City shall pay
to the City a franchise fee that is equal to five percent of the gross
revenues of that state video franchise holder generated within City's
jurisdictional boundaries. The term "gross revenues" shall be defined
as set forth in
Public Utilities Code Section 5860.
(2731 § 1, 2008; 2808 § 1, 2012)
A. In addition to the franchise fee required pursuant to Section
5.25.050, a state video franchise holder operating in the City shall pay to the City a fee that is equal to one percent of the gross revenues of that state video franchise holder which fee shall be used to support PEG channel facilities. The term "gross revenues" shall be defined as set forth in
Public Utilities Code Section 5860. Further, pursuant to
Public Utilities Code Section 5870, this section shall become applicable upon the expiration or termination of the incumbent operator's franchise agreement; the terms of
Public Utilities Code Section 5870 and the existing franchise agreement shall otherwise apply to the incumbent franchisee until such expiration or termination.
B. To the extent reauthorization is required by law, this chapter, including the PEG fee set forth in subsection
(A) above shall continue to apply to any new or existing franchisee operating in the City and is automatically reauthorized as to each affected state video franchise holder upon the expiration of any existing or future state video franchise(s) held by any state-franchised video service provider operating within the City. Any and all reauthorizations shall be effective for so long as such reauthorization is required by law.
(2731 § 1, 2008; 2808 § 1, 2012; 2937 § 3, 2022)
A. The
franchise fee and PEG fee shall be remitted to the City on a quarterly
basis within 45 days after the end of each quarter for that calendar
year. Each payment shall be accompanied by a detailed summary explaining
the basis for the calculation of the franchise fee and PEG fee.
B. If a
state video franchise holder fails to pay the fees when due, or underpays
the proper amounts due, the state video franchise holder shall pay
a late payment charge at the annual interest rate equal to the highest
prime lending rate during the period of delinquency, plus one percent.
If the state video franchise holder has overpaid the fees, it may
deduct the overpayment from its next quarterly payment.
C. Not
more than once annually, the City may examine the business records
of a state video franchise holder to ensure compliance with all applicable
statutes and regulations related to the computation and payment of
franchise fees.
(2731 § 1, 2008; 2808 § 1, 2012)
A. The
holder of a state video franchise shall comply with California Government
Code Sections 53055, 53055.1, 53055.2 and 53088.2; the Federal Communications
Commission customer service and notice standards set forth in 47 C.F.R.
Part 76.309, 76.1602, 76.1603 and 76.1619; California
Penal Code Section
637.5; the privacy standards of 47 U.S.C. Section 551; and all other
applicable state and federal customer service and consumer protection
standards pertaining to the provision of video service, including
any such standards hereafter enacted or adopted. In case of a conflict,
the stricter standard shall apply. All customer service and consumer
protection standards under this section shall be interpreted and applied
to accommodate newer or different technologies while meeting or exceeding
the goals of the standards.
B. For
material breaches of applicable federal and state customer service
and protection standards, any state video franchise holder operating
in the City shall be subject to monetary penalties that may be imposed
by the City in accordance with California
Public Utilities Code Section
5900 as follows:
1. For
the first occurrence of a violation, a monetary penalty of $500.00
shall be imposed for each day the violation remains in effect, not
to exceed $1,500.00 for each violation.
2. For
a second violation of the same nature within a 12-month period, a
monetary penalty of $1,000.00 shall be imposed for each day the violation
remains in effect, not to exceed $3,000.00 for each such violation.
3. For
a third or further violation of the same nature within a 12-month
period, a monetary penalty of $2,500.00 shall be imposed for each
day the violation remains in effect, not to exceed $7,500.00 for each
such violation.
4. A
state video franchise holder may appeal to the City Council, or a
hearing officer as the City Council may appoint, a monetary penalty
assessed by the City within 60 days after notice of the assessment.
After relevant evidence and testimony as may be received, and staff
reports as may be submitted, the City Council, or hearing officer,
may uphold, vacate, or modify the monetary penalty consistent with
the evidence presented. The decision of the City Council, or hearing
officer, on the imposition of a monetary penalty shall be final.
(2731 § 1, 2008; 2808 § 1, 2012)
A. Applicants
for state video franchises within the boundaries of the City shall
concurrently file with the City Clerk one complete copy of any such
franchise application or amendment to any such application filed with
the California Public Utilities Commission.
B. The
City may provide comments to the California Public Utilities Commission
regarding an application or an amendment to an application for a state
video franchise.
(2731 § 1, 2008; 2808 § 1, 2012)
A. A state
video franchise holder shall designate sufficient capacity on its
network to enable the carriage of at least three PEG access channels.
PEG access channels shall be for the exclusive use of the City or
its designees to provide public, educational, or governmental programming.
B. A state
video franchise holder shall provide additional PEG channels when
the standards set forth in
Public Utilities Code Section 5870 are
satisfied by the City or any entity designated by the City to be responsible
for PEG access.
(2731 § 1, 2008; 2808 § 1, 2012)
A state video franchise holder shall comply with the Emergency
Alert System requirements of the Federal Communications Commission
so that emergency messages may be distributed over its network.
(2731 § 1, 2008; 2808 § 1, 2012)