Each Franchisee shall file with the certificate of acceptance which it files pursuant to the provisions of Section 5.50.220 in Sub-Chapter 3, above, and at all times thereafter maintain in full force and effect, an acceptable corporate surety bond in the amount of two million five hundred thousand dollars ($2,500,000) effective for the entire term of the franchise, and conditioned that in the event the Franchisee shall fail to comply with any one or more of the provisions of the Franchise Documents, whether or not the franchise is terminated, then there shall be recoverable jointly and severally from the principal and surety of such bond, any damages suffered by the County, Cities, or Cable Television Commission as a result thereof, including but not limited to, the full amount of any liquidated damages, delinquent franchise fees, compensation and costs of repairing or completing the Cable Television System, and compensation, and cost of removal or abandonment of property and repair of streets and other public or private improvements, up to the full amount of the bond; said condition to be a continuing obligation for the duration of the franchise and thereafter until the Franchisee has satisfied all of its obligations which may have arisen from the acceptance of the franchise or from its exercise of any privileges thereunder. Neither the provisions of this section, any bond accepted pursuant thereto, nor any damages recovered thereunder shall be construed to excuse faithful performance by the Franchisee or to limit the liability of the Franchisee under the franchise or for damages, either to the full amount of the bond or otherwise. The bond shall contain a provision which prohibits cancellation by the surety during the term of the franchise, whether for failure to pay a premium or otherwise, without 30 calendar days advance written notice mailed by the surety to the Clerk of the Board of Directors of the Cable Television Commission.
The form of the bond and surety shall be subject to the approval by the County's Risk Manager.
On or after the date of issuance of the Final Order of Completion pursuant to the provisions of Section 5.50.418 or 5.50.420 in Article 4-b, the Board of Directors of the Commission may, in its sole discretion, reduce, for the remainder of the term of the franchise, the required amount of the bond to a sum not less than one million dollars ($1,000,000).
(SCC 488 § 1, 1981)
Each Franchisee shall file with the certificate of acceptance which it files pursuant to the provisions of Section 5.50.220 in Sub-Chapter 3, above, a certified or cashier's check in the amount of $250,000 made payable to the order of the Cable Television Commission. The check shall be cashed and the proceeds retained by the Treasurer of the Commission in a special account. Said sum shall be maintained by the Treasurer as security for the faithful performance by the Franchisee of all of the provisions of the Franchise Documents, any damages, including, but not limited to, liquidated damages, delinquent franchise fees, compensation and costs of completing or repairing the Cable Television System, and compensation and costs of removal of abandoned property, and repair of streets, and other public or private improvements incurred as a result of the failure of the Franchisee to comply with the provisions of the Franchise Documents, and shall be payable from the account upon the terms, conditions and under the procedures prescribed by Section 5.50.808 in Article 5-b of Sub-Chapter 5, below. Interest earned upon the sum shall accrue to the credit of the account.
Within 10 calendar days after notice is mailed to the Franchisee that any amount has been withdrawn from the special account, the Franchisee shall deposit with the Treasurer of the Commission such sum as may be necessary to restore the account to its required amount, including any interest which may have accrued and been credited to the account.
On the date of issuance of the Final Order of Completion pursuant to Sections 5.50.418 or 5.50.420 in Article 4-b, the Commission shall reduce the amount of said security deposit by paying so much thereof to the Franchisee as will reduce the amount of said deposit retained to $100,000, unless on said date there are scheduled or pending or intended to be scheduled or pending proceedings relating to the alleged violation by the Franchisee of any of the provisions of Section 5.50.410 in Article 4-b. In such event the reduction shall not occur and payment shall not be made until such proceedings are terminated and any damages determined to be owing, compensated. Subsequent to such reduction and payment, said deposit shall be maintained at $100,000 plus interest accumulations credited thereto during the remainder of the term of the franchise.
Upon termination of the franchise and satisfaction of any damages, including liquidated damages, which may be due, the balance of the special account, including all interest credited thereto, shall be returned to the Franchisee.
The rights reserved with respect to the special account are in addition to all other rights of the County, Cities and Cable Television Commission, whether reserved by the Franchise Documents or authorized by law, and no action, proceeding or exercise of a right with respect to such account shall affect any other right which the County, Cities, or Commission may have.
Nor shall the amount of the special account constitute a monetary limit on the liability for any actual or liquidated damages resulting from breach of the Franchise Documents.
(SCC 488 § 1, 1981)
Notwithstanding the provisions of sections 5.50.700 and 5.50.702, above, in any instance in which the franchisee is (1) a unit of government, (2) a non-profit public benefit corporation, or (3) a corporation whose rates, fees, and charges are established by a unit of government, the Cable Television Commission may establish such lesser amount, or none at all, for the corporate surety bond specified by section 5.50.700 and for the security deposit specified by section 5.50.702 as it, in its sole and complete discretion, deems appropriate. Nothing contained in this section shall be deemed to require any such reduced amount to be established.
(SCC 671 § 1, 1986)
Each Franchisee shall defend, indemnify and hold harmless Commission, its members, and, in their capacity as such, the officials, agents, employees, representatives and volunteers thereof, from any and all claims, demands, suits, causes of action, damages, costs, expense, losses or liability, in law or in equity, of every kind and nature whatsoever ("claims"), arising out of or in connection with Franchisee's operations under this Ordinance including but not limited to:
a. 
Injury or death to persons including but not limited to, Franchisee's officers, agents, contractors or employees, or damage to property, including loss of use, caused or alleged to be caused in whole or in part by any act or omission of Franchisee, its officers, agents, contractors, employees, or representatives or anyone for whose acts Franchisee may be liable.
b. 
Injury or damage arising out of invasion of the right of privacy, libel, slander, defamation or any person, firm or corporation, or the violation or infringement of any copyright, patent, service mark, trade mark, trade name, or of any other right of any person, firm or corporation.
c. 
Injury or damage arising out of anti-competitive practices alleged against the Franchisee.
d. 
Claims, damages or penalties arising out of Franchisee's failure to comply with the provisions of any statute, regulation or ordinance of the United States, State of California, or any local agency applicable to the Franchisee in its business.
e. 
Injury or damage arising out of Franchisee's failure to comply with the provisions of this Ordinance relating to procurement and maintenance of insurance.
f. 
Injury or damage arising out of Franchisee's failure to fulfill any of the covenants set forth in this Ordinance.
Franchisee shall pay and satisfy any judgment or decree that may be rendered against Commission, its members, their officials, agents, employees, volunteers or representatives, or any of them, arising out any such claims.
Franchisee shall reimburse Commission, its members, their officials, agents, employees, volunteers or representatives, for any and all legal expense incurred by any of them in connection herewith or in enforcing the indemnity granted in this section.
Indemnitees may, at their discretion, participate in the investigation and defense of any claims or litigation brought against them at anytime, using legal counsel of their choice, and such expense shall be borne solely by Franchisee. Such participation shall not relieve Franchisee from its duty to defend, indemnify and hold harmless indemnitees as set forth in this section.
The indemnification obligations of Franchisee set forth in this section shall apply regardless of any act or omission of Commission, its members, their officials, agents, employees, representatives or volunteers which may have contributed to the said injury or damage, to the maximum extent allowed by California law.
(SCC 488 § 1, 1981; SCC 1096 § 2, 1997)
Each Franchisee shall file with the Certificate of Acceptance which it files pursuant to the provision of Section 5.50.220 in Sub-Chapter 3, and at all times thereafter maintain in full force and effect at its sole expense, the following insurance:
a. 
General Liability: General Liability insurance including, but not limited to, protection for claims of bodily injury and property damage liability, personal and advertising injury liability and products and completed operations liability. Coverage shall be at least as broad as Insurance Services Office Commercial General Liability coverage form GG 0001 (occurrence). The limits of liability shall be not less than:
Each Occurrence One Million Dollars ($1,000,000)
Personal & Advertising Injury One Million Dollars ($1,000,000) General Aggregate Two Million Dollars ($2,000,000)
Products and Complete Operations Aggregate Two Million Dollars ($2,000,000)
The policy shall cover contractual liability applicable to the Franchisee's assumed liability under this contract.
b. 
Automobile Liability: Automobile Liability insurance providing protection against claims of bodily injury and property damage arising out of ownership, operation, maintenance, or use of owned, hired, and non-owned automobiles. Coverage shall be at least as broad as Insurance Services Office Automobile Liability coverage form CA 0001, symbol 1 (any auto). The limits of liability shall not be less than:
Bodily Injury and Property Damage Combined Single Limit One Million Dollars ($1,000,000)
If General Liability coverage, as required in Section 5.50.706a, above, is provided by the Commercial General Liability form, the Automobile Liability policy shall include an endorsement providing automobile contractual liability.
c. 
Workers' Compensation: Workers' Compensation insurance, with coverage as required by the State of California (unless the Franchisee is a qualified self-insurer with the State of California), and Employers Liability coverage. The limits of Employers Liability shall not be less than:
Each Accident One Million Dollars ($1,000,000)
Disease Each Employee One Million Dollars ($1,000,000) Disease Policy Limit One Million Dollars ($1,000,000)
d. 
Excess or Umbrella Liability: Excess or Umbrella Liability providing excess coverage at least as broad as the underlying coverage for general liability, automobile liability and employers liability with a limit of $4,000,000 per occurrence and in the aggregate.
The Franchisee's General Liability, Automobile Liability and Excess or Umbrella Liability policies, shall contain the following provisions:
a. 
The Commission, its members, their officials, agents, employees, representatives and volunteers, shall be covered as additional insureds as respects liability arising out of the activities performed by or on behalf of the Franchisee, products and completed operations of the Franchisee, premises owned, occupied, or used by the Franchisee, or automobiles owned, leased, hired, or borrowed by the Franchisee. The policy shall contain no special limitations on the scope of coverage afforded to the Commission, its members, their officials, agents, employees, representatives or volunteers.
b. 
The Franchisee's insurance coverage shall be primary insurance as respects the Commission, its members, their officials, agents, employees, representatives or volunteers. Any insurance or self-insurance maintained by the Commission, its members, their officials, agents, employees representative or volunteers shall be excess of the Franchisee's insurance and shall not contribute with it.
c. 
Any failure to comply with reporting or other provisions of the policies on the part of the Franchisee, including breaches of warranties or unintentional misrepresentations, shall not affect coverage provided to the Commission, its members, their officials, agents, employees representatives or volunteers.
d. 
The Franchisee's Workers' Compensation and Employers' Liability policies shall contain an endorsement that waives any rights or subrogation against the Commission, its members, their officials, agents, employees, representatives or volunteers.
e. 
Each insurance policy shall state that coverage shall not be suspended, voided, canceled by either party, reduced in scope or in limits, non-renewed, or materially changed unless the insurer provides 30 days advance written notice by certified mail to the Clerk of the Board of Directors of the Sacramento Metropolitan Cable Television Commission, 700 H Street, Room 2450, Sacramento, California 95814 prior to such change. The insurer shall provide 10 days advance written notice by certified mail to the Clerk of the Board of Directors of the Sacramento Metropolitan Cable Television Commission in the event of cancellation due to nonpayment of premium.
f. 
All of the Franchisee's insurance coverage, except as noted below, shall be placed with insurance companies with a current A.M. Best's rating of at least A-:VII.
Exceptions:
i. 
Underwriters at Lloyd's of London;
ii. 
Workers' Compensation which is provided through a State Compensation Insurance Fund;
iii. 
Franchisee's qualified Workers' Compensation self-insurance under California law.
g. 
The Commission will accept Franchisee's self-insurance of its general or automobile liability risks only if the Franchisee has a minimum net worth of at least $10 million.
h. 
The Franchisee shall furnish the Commission with certificates of insurance, including copies of all endorsements specifically required hereunder, signed by a person authorized by the insurer to bind coverage on its behalf, as evidence of the coverage required by this section.
i. 
For unforeseen risks, the Commission, at its discretion, may increase the amounts and types of insurance coverage required hereunder at any time during the term of the contract by giving written notice to the Franchisee. Franchisee shall immediately procure such insurance or increase the amounts of insurance coverage, and provide certificates of insurance as required in Section 5.50.706.h.
j. 
The form and substance of the insurance required of the Franchisee shall be subject to the approval of Commission and the County of Sacramento Risk Manager. Any acceptance of insurance certificates by Commission or the county of Sacramento Risk Manager shall in no way limit or relieve Franchisee of Franchisee's duties and responsibilities set forth in this Ordinance.
k. 
The failure of the Commission to enforce in a timely manner any of the provisions of this section shall not act as a waiver to enforcement of any of these provisions at any time during the term of the franchise.
(SCC 488 § 1, 1981; SCC 1096 § 3, 1997)
The Cable Television Commission shall defend, indemnify and hold harmless the County, the Cities, and in their capacity as such, the officials, agents, employees, representatives and volunteers thereof, from any and all claims, demands, suits, causes of action, damages, costs, expenses, losses or liability, in law or in equity, of every kind and nature whatsoever ("claims"), arising out of or in connection with Commission's operations under this Ordinance.
(SCC 488 § 1, 1981; SCC 1096 § 4, 1997)
The Cable Television Commission shall, at its sole expense, fully indemnify, defend and hold harmless the County, the Cities, and in their capacities as such the officers, agents and employees of the County and Cities from and against any and all claims, suits, actions, liability and judgments for damages for actual or alleged injury to persons or property in any way arising out of or through or alleged to arise out of or through the acts or omissions of the Commission or its officers, agents or employees, or to which the commission's or its officers, agents or employees acts or omissions in any way contribute.
(SCC 488 § 1, 1981)
The Cable Television Commission shall file with the Clerk of each of the governing bodies of the County and Cities not later than 120 calendar days after the initial CATV Franchise is issued and at all times thereafter maintain in full force and effect at its sole expense, the following insurance:
a. 
General Liability: General Liability insurance including, but not limited to, protection for claims of bodily injury and property damage liability, personal and advertising injury liability, and products and completed operations liability. Coverage shall be at least as broad as Insurance Services Office Commercial General Liability coverage form CG 0001 (occurrence). The limits of liability shall not be less than:
Each Occurrence: One Million Dollars ($1,000,000)
Personal & Advertising Injury: One Million Dollars ($1,000,000)
General Aggregate Two Million Dollars: ($2,000,000)
Products and Complete: Two Million Dollars ($2,000,000)
Operations Aggregate: Two Million Dollars ($2,000,000)
The policy shall cover contractual liability applicable to the Franchisee's assumed liability under this contract.
b. 
Automobile Liability: Automobile Liability insurance providing protection against claims of bodily injury and property damage arising out of ownership, operation, maintenance, or use of owned, hired, and non-owned automobiles. Coverage shall be at least as broad as Insurance Services Office Automobile Liability coverage form CG 0001, symbol 1 (any auto). The limits of liability shall not be less than:
Bodily Injury and Property: One Million Dollars ($1,000,000) Damage: Combined Single Limit
If General Liability coverage, as required in Section 5.50.712.a, above, is provided by the Commercial General Liability form, the Automobile Liability policy shall include an endorsement providing automobile contractual liability.
c. 
Workers' Compensation: Workers' Compensation insurance, with coverage as required by the State of California (unless the Franchisee is a qualified self-insurer with the State of California), and Employers Liability coverage. The limits of Employers Liability shall not be less than:
Each Accident: One Million Dollars ($1,000,000)
Disease Each Employee: One Million Dollars ($1,000,000) Disease Policy Limit: One Million Dollars ($1,000,000)
d. 
Excess or Umbrella Liability: Excess or Umbrella Liability providing excess coverage at least as broad as the underlying coverage for general liability, automobile liability and employers liability with a limit of $4,000,000 per occurrence and in the aggregate.
The Commission's General Liability and Excess or Umbrella Liability policies, shall contain the following provisions:
a. 
The County and Cities, their officials, agents, employees, representatives and volunteers, shall be covered as additional insureds as respects liability arising out of the activities performed by or on behalf of the Commission. The policy shall contain no special limitations on the scope of coverage afforded to the County and Cities, their officials, agents, employees, representatives or volunteers.
b. 
The Commission's insurance coverage shall be primary insurance as respects the County and Cities, their officials, agents, employees, representatives or volunteers. Any insurance or self-insurance maintained by the County and/or Cities, their officials, agents, employees, representatives or volunteers hall be excess of the Commissions" insurance and shall not contribute with it.
c. 
Any failure to comply with reporting or other provisions of the policies on the part of the Commission, including breaches of warranties or unintentional misrepresentations, shall not affect coverage provided to the County and Cities, their officials, agents, employees, representatives or volunteers.
d. 
The Commission's Workers' compensation and Employer's Liability policies shall contain an endorsement that waives any rights of subrogation against the County and Cities, their officials, agents, employees, representative or volunteers.
e. 
Each insurance policy shall state that coverage shall not be suspended, voided, canceled by either party, reduced in scope or in limits, non-renewed, or materially changed unless the insurer provides 30 days written notice by certified mail to the Clerk of each of the governing bodies of the County and Cities, prior to such change. The insurer shall provide 10 days written notice by certified mail to the Clerk of each of the governing bodies of the County and Cities in the event of cancellation due to nonpayment of premium.
f. 
All of the Commission's insurance coverage, except as noted below, shall be placed with insurance companies with a current A.M. Best's rating of at least A-:VII.
Exceptions:
i. 
Underwriters at Lloyd's of London;
ii. 
Workers' Compensation which is provided through a State Compensation Insurance Fund;
g. 
The Commission shall furnish the County and Cities with certificates of insurance, including copies of all endorsements specifically required hereunder, signed by a person authorized by the insurer to bind coverage on its behalf, as evidence of the coverage required by this section.
h. 
The form and substance of the insurance required of the Commission shall be subject to the approval of the County of Sacramento Risk Manager. Any acceptance of insurance certificates by the County or Cities shall in no way limit or relieve Commission of Commission's duties and responsibilities set forth in the Ordinance.
(SCC 488 § 1, 1981; SCC 585 § 1, 1984; SCC 1096 § 5, 1997)