For the purposes of this chapter, the following terms, phrases, words, abbreviations, and their derivations shall have the meaning given in this section. When not inconsistent with the context, words used in the present tense include the future tense, words in the plural number include the singular number, and words in the singular number include the plural number:
"Cable television system," "CATV" and "CTV"
are terms describing a system employing antennae, microwave, wire, wave-guides, coaxial cables, fiber optics, or other conductors, equipment or facilities designed, constructed or used for one or more of the following purposes:
1. 
Collecting, receiving, amplifying and/or retransmitting local and/or distant broadcast television or radio signals;
2. 
Transmitting original cablecast programming not received through television broadcast, microwave or satellite signals;
3. 
Transmitting television pictures, film and videotape programs not received through broadcast television signals, whether or not encoded or processed to permit reception by only selected receivers;
4. 
Transmitting and/or receiving any other signals, whether digital, voice, audiovisual or in any other form; provided, however, that any of the services permitted hereunder to be performed, as described in this subsection, shall be those performed by the grantee for subscribers, as defined in this section, in the operation of a cable television system franchised by the city and not otherwise.
"Chief administrative officer"
means the city manager, city administrator, or other designation of the city's chief executive officer, or any designee thereof.
"City"
means the city of La Verne, a municipal corporation of the state of California, in its present incorporated form or in any later reorganized, consolidated, enlarged or reincorporated form.
"Community access channel(s)"
means that channel or channels required to be provided for use at no charge by the citizens of the city, community organizations, educational institutions and the city, with editorial control over programming to rest with the user, and with operations governed by rules submitted by grantee and approved by the city.
"Council"
means the present governing body of the city of La Verne or any future board constituting the legislative body of the city.
"Franchise"
means and includes any authorization granted under this chapter in terms of a franchise, privilege, permit, license or otherwise to construct, operate and maintain a cable television system within all or a specified area in the city. Any such authorization, in whatever form granted, shall not mean and include any license or permit required for the privilege of transacting and carrying on a business within the city as required by other ordinances and laws of the city.
"Grantee"
means any person, firm or corporation granted a franchise by the council under this chapter, and the lawful successor, transferee or assignee of such person, firm or corporation.
"Gross annual receipts"
means any and all compensation in whatever form, whether cash, grant, subsidy, exchange or otherwise, directly or indirectly received by a grantee in a given year, including, but not limited to, that revenue received from basic and nonbasic subscriber fees, installation fees, sale of advertising, the lease, sale or rental of channel space, studio production time, production services or equipment, sale of tax credits, or from any other source, but not including any taxes imposed directly upon any subscriber or user by a city, county, state or other governmental unit and collected by the grantee on behalf of such entity.
"Leased access channel(s)"
means that channel or channels set aside pursuant to the provisions of this chapter for lease by commercial entities not affiliated with the grantee, with editorial control to rest with the lessee and with operations governed by rules submitted by the grantee and approved by the city.
"Person"
means any natural person and all domestic and foreign corporations, associations, syndicates, joint stock corporations, partnerships of every kind, clubs, business or common law trusts, and societies.
"Property of grantee"
means all property owned, installed or used within the city by a grantee in the conduct of a cable television system business under the authority of a franchise granted pursuant to this chapter.
"Street"
means the surface, the air space above the surface and the area below the surface of any public street, other public right-of-way or public place, including public utility easements.
"Subscriber or user"
means any person or entity receiving for any purpose any service of a grantee's cable television system including, but not limited to, retransmission of television broadcasts, satellite and microwave-distributed programming and information, radio signals, grantee's original cablecasting, community and leased-access channels, data and facsimile transmission, videotext services, fire and burglar alarms, pay television, and police, fire and similar public service communication.
(Prior code § 7810)
A. 
A nonexclusive franchise to install, construct, operate and maintain a cable television system on streets within all or a specific portion of the city may be granted by the council to any person, whether or not operating under an existing franchise, who or which offers to furnish and provide such system under and pursuant to the terms and provisions of this chapter.
B. 
No provision of this chapter may be deemed or construed as to require the granting of a franchise when in the opinion of the council it is in the public interest to restrict the number of grantees to one or more.
C. 
When and in the event that the grantee of any franchise granted under this chapter uses in his or her cable television system distribution channels furnished to the grantee by a telephone company and the grantee makes no use of the streets independent of such telephone-company-furnished facilities, the grantee shall be required to comply with all of the provisions of this chapter as a "licensee," and in such event whenever the term "grantee" is used in this chapter it shall be deemed to mean and include "licensee."
(Prior code § 7811)
Any franchise granted pursuant to the provisions of this chapter shall authorize and permit the grantee to engage in the business of operating and providing a cable television system in the city, and for that purpose to erect, install, construct, repair, replace, reconstruct, maintain and retain in, on, over, under, upon, across and along any street, such poles, wires, cable, conductors, ducts, conduit, vaults, manholes, amplifiers, and appliances, attachments, and other property as may be necessary to the cable television system; and, in addition, so to use, operate and provide similar facilities or properties rented or leased from other persons, firms or corporations, including, but not limited to, any public utility or other grantee franchised or permitted to do business in the city; provided, however, that nothing in this section shall be construed to relieve a grantee of the responsibility of obtaining such street opening or other construction permits as may be required by the city now or hereafter, nor shall this section be construed to relieve the grantee of the responsibility of obtaining permission of the lawful owner of private rights-of-way for any construction therein.
(Prior code § 7812.08)
Applications for franchise shall be in accordance with the following:
A. 
Each application for a franchise to construct, operate or maintain any cable television system in the city shall be filed with the city clerk and shall contain or be accompanied by the following:
1. 
The name, address and telephone number of the applicant;
2. 
A detailed statement of the corporate or other business entity organization of the applicant, including, but not limited to, the following, and to whatever extent required by the city:
a. 
The names, residence and business addresses of all officers, directors, and associates of the applicant,
b. 
The names, residence and business addresses of all officers, persons having, controlling or being entitled to have or control, five percent or more of the ownership of the applicant and the respective ownership share of each such person or entity,
c. 
The names and addresses of any parent or subsidiary of the applicant, specifically, any other business entity owning or controlling the applicant in whole or in part or owned or controlled in whole or in part by the applicant, and a statement describing the nature of any such parent or subsidiary business entity, including, but not limited to, cable television systems owned or controlled by the applicant, its parent and subsidiary, and the areas served thereby;
3. 
A detailed description of all previous experience of the applicant in providing cable television service and in related or similar fields;
4. 
A statement of annual projected revenues and expenses by budget category for each year of the franchise term;
5. 
A detailed and complete financial statement of the applicant, prepared by a certified public accountant, for the fiscal year next preceding the date of the application under this chapter, or a letter or other acceptable evidence in writing from a recognized lending institution or funding sources addressed to both the applicant and the council, setting forth the basis for a study performed by such lending institution or funding source, and a clear statement of its intent as a lending institution or funding source to provide whatever capital shall be required by the applicant to construct, maintain, upgrade and/or operate the proposed system in the city, or a statement from a certified public accountant, certifying that the applicant has available sufficient free, net and uncommitted cash resources to construct and operate the proposed system in the city;
6. 
A statement identifying, by place and date, any other cable television franchise(s) awarded to the applicant, its parent or subsidiary; the status of said franchise(s) with respect to system completion; the total cost of completion of such system(s); and the amount of applicant's and its parent's or subsidiary's resources committed to the completion thereof;
7. 
A detailed description of the proposed plan of operation of the system which shall include, but not be limited to, the following:
a. 
A detailed map indicating all areas proposed to be served, and a proposed time schedule for the installation of all equipment necessary to become operational throughout the entire area to be served,
b. 
A statement and description of all basic and nonbasic programming and services proposed to be offered,
c. 
A statement and description of community and leased-access channels and related training, equipment and technical support proposed to be offered, and proposed rules for their use,
d. 
A description of proposed plans for interconnection with other cable television systems within and adjacent to the city,
e. 
A statement or schedule setting forth all proposed classifications of rates and charges to be made against subscribers and all rates and charges as to each of said classifications, including installation charges and service charges,
f. 
A detailed, informative and referenced statement describing the actual equipment and operational standards proposed by the applicant. In no event shall the operational and performance standards be less than those contained in Title 47, Subpart K (Sections 76.601, et seq.) Rules and Regulations, Federal Communications Commission, adopted February 2, 1972, and as amended,
g. 
A copy of the form of any agreement, undertaking, or other instrument proposed to be entered into between the applicant and any subscriber,
h. 
A detailed statement setting forth in its entirety any and all agreements and undertakings, whether formal or informal, written, oral or implied, existing or proposed to exist between the applicant and any person, firm or corporation which materially relate or pertain to or depend upon the application and the granting of a franchise;
8. 
A copy of any agreement covering the franchise area, if existing, between the applicant and any public utility subject to regulation by the California Public Utilities Commission providing for the use of any facilities of the public utility, including, but not limited to, poles, lines or conduits;
9. 
Any other details, statements, information or references pertinent to the subject matter of such application which shall be required or requested by the council, or by any provision of any other ordinance of the city;
10. 
An application fee in the sum of two thousand five hundred dollars, which shall be in the form of cash, certified or cashier's check, or money order, to pay the costs of studying, investigating, and otherwise processing such application, and which shall be in consideration thereof and not returnable or refundable in whole or in part; provided, that any applicant who shall deliver to the city clerk a written withdrawal of or cancellation of any application under this chapter, not later than the seventh day next following the day such application is received by the city clerk, shall be entitled to have returned and refunded the sum of two thousand dollars, less any actual costs or expenses incurred by the city by reason of such application.
B. 
The council may, by advertisement or any other means, solicit and call for applications for cable television system franchises, and may determine and fix any date upon or after which the same shall be received by the city, or the date before which the same must be received, or the date after which the same shall not be received, and may make any other determinations and specify any other times, terms, conditions, or limitations respecting the soliciting, calling for, making and receiving of such applications.
C. 
Upon acceptance of a franchise, the grantee shall pay to the city a sum of money sufficient to reimburse it for all reasonable expenses in excess of the amount of the application fee incurred by the city in connection with the granting of a franchise pursuant to the provisions of this chapter, including the costs of staff time, consultant and attorney fees, publication of notices, preparation and distribution of reports and all other reasonable expenses. Such payment shall be made within thirty days after the city furnishes the grantee with a written statement of such expenses.
D. 
Upon receipt of any application for a franchise, the council shall refer the same to the chief administrative officer, who shall prepare a report and make his/her recommendations respecting such application, and cause the same to be completed and filed with the council within one hundred twenty days.
E. 
In making any determination under this chapter as to any application, the council may give due consideration to the quality of the service proposed, rates to subscribers, income to the city, experience, character, background, and financial responsibility of any applicant and its management and owners, technical and performance quality of equipment, willingness and ability of applicant to meet construction and physical requirements and to abide by policy conditions, franchise limitations and requirements, and any other considerations deemed pertinent by the council for safeguarding the interests of the city and the public. The council, in its discretion, shall determine the award of any franchise on the basis of such considerations and may award a franchise without competitive bidding. If the council shall determine to reject such application, such determination shall be final and conclusive, and the application shall be deemed rejected.
F. 
If the council shall determine to further the application, the following shall be done:
1. 
At its discretion, the council may request applicant to submit additional information and/or to modify its application.
2. 
The council shall decide and specify the terms and conditions of any franchise to be granted under this chapter and as provided in this section.
3. 
The council shall pass its resolution of intention to consider the granting of such a franchise, giving notice of receipt of the application, and describing the character of the franchise desired, stating the name of the proposed grantee, the terms and conditions upon which such franchise is proposed to be granted, that copies of the proposed franchise may be obtained at the office of the city clerk, fixing and setting forth a day, hour and place certain when and where any persons having any interest therein or objection to the granting thereof may file written protests and appear before the council and be heard, and directing the city clerk to publish the resolution at least once within ten days of the passage thereof in a newspaper of general circulation within the city.
G. 
At the time set for the hearing, or at any adjournment thereof, the council shall proceed to hear all written protests. Thereafter, the council shall make one of the following determinations:
1. 
That such franchise be denied; or
2. 
That such franchise be granted upon the terms and conditions as specified in the resolution of intention to grant the same; or
3. 
That such franchise be granted, but upon terms and conditions different from those specified in the resolution of intention to grant the same.
H. 
If the council shall determine that a franchise be denied, such determination shall be expressed by resolution and shall be final and conclusive. If the council shall determine that a franchise be granted upon the terms and conditions as specified in the resolution of intention to consider granting same, such determination shall be expressed by ordinance granting a franchise to the applicant. If the council shall determine to grant a franchise upon terms and conditions different from those specified in the resolution of intention to consider granting the same, then such determination shall be expressed by resolution adopted prior to granting a franchise by ordinance.
(Prior code § 7813.02)
Acceptance of the franchise shall be in accordance with the following:
A. 
No franchise granted under this chapter shall become effective for any purpose unless and until written acceptance thereof shall have been filed with the city clerk. Written acceptance, which shall be in the form and substance approved by the city attorney, shall also be and operate as an acceptance of each and every term and condition and limitation contained in this chapter, or in such franchise, or otherwise specified as provided in this section.
B. 
The written acceptance shall be filed by the grantee not later than 12:01 p.m. of the fortieth day next following the effective date of the ordinance granting such franchise.
C. 
In default of the filing of such written acceptance as herein required, the grantee shall be deemed to have rejected and repudiated the franchise. Thereafter, the acceptance of the grantee shall not be received nor filed by the city clerk. The grantee shall have no rights, remedies or redress in the premises, unless and until the council, by resolution, shall determine that such acceptance be received or filed, and then upon such terms and conditions as the council may impose.
D. 
In any case, and in any instance, all rights, remedies and redress in these premises which may or shall be available to the city, shall at all times be available to the city, and shall be preserved and maintained and shall continuously exist in and to the city, and shall not be in any manner or means modified, abridged, altered, restricted or impaired by reason of any of these premises, or otherwise.
(Prior code § 7813.05)
A. 
Every franchise granted under this chapter shall be nonexclusive.
B. 
No privilege or exemption shall be granted or conferred by any franchise granted under this chapter, except those specifically prescribed in this section.
C. 
Any privilege claimed under any such franchise by the grantee in any street or other public property shall be subordinate to any prior lawful occupancy of the streets or other public property.
D. 
Any such franchise shall be a privilege to be held in personal trust by the original grantee. It cannot in any event be sold, transferred, leased, assigned or disposed of, in whole or in part, either by forced or involuntary sale, or by voluntary sale, merger, consolidation or otherwise, without prior consent of the council expressed by resolution, and then only under such condition as any therein be prescribed. Any such transfer or assignment shall be made only by an instrument in writing, such as a bill of sale, or similar document, a duly executed copy of which shall be filed in the office of the city clerk within thirty days after such transfer or assignment. The consent of the council may not be unreasonably refused; provided, however, the proposed assignee must show financial responsibility as determined by the council and must agree to comply with all provisions of this chapter; and provided, further, that no such consent shall be required for a transfer in trust, mortgage, or other hypothecation, in whole or in part, to secure an indebtedness, except that when such hypothecation shall exceed fifty percent of the market value of the property used by the grantee in the conduct of the cable television system, prior consent of the council shall be required for such a transfer. Such consent shall not be withheld unreasonably. In the event that grantee is a corporation, prior approval of the city council, expressed by ordinance, shall be required where there is an actual change in control or where ownership of more than fifty percent of the voting stock of the grantee is acquired by a person or group of persons acting in concert, none of whom already own fifty percent or more of the voting stock, singly or collectively. Any such acquisition occurring without prior approval of the city council shall constitute a failure to comply with a provision of this chapter within the meaning of Sections 5.24.080 and 5.24.320 of this chapter.
E. 
Time shall be of the essence of any such franchise granted under this chapter. The grantee shall not be relieved of its obligation to comply promptly with any of the provisions of this chapter by any failure of the city to enforce prompt compliance.
F. 
Any right or power in, or duty impressed upon, any officer, employee, department, or board of the city shall be subject to transfer by the city to any other officer, employee, department, or board of the city.
G. 
The grantee shall have no recourse whatsoever against the city for any loss, cost, expense or damage arising out of any provision or requirement of this chapter or of any franchise issued under this chapter or because of its enforcement.
H. 
The grantee shall be subject to all requirements of city laws, rules, regulations and specifications heretofore or hereafter enacted or established.
I. 
Any such franchise granted shall not relieve the grantee of any obligations involved in obtaining pole or conduit space from any department of the city, utility company, or from others maintaining utilities in streets.
J. 
Any franchise granted under this chapter shall be in lieu of any and all other rights, privileges, powers, immunities and authorities owned, possessed, controlled, or exercisable by the grantee, or any successor to any interest of the grantee, of or pertaining to the construction, operation or maintenance of any cable television system in the city; and the acceptance of any franchise shall operate, as between grantee and the city, as an abandonment of any and all of such rights, privileges, powers, immunities and authorities within the city, to the effect that, as between grantee and the city, all construction, operation and maintenance by any grantee of any cable television system in the city, shall be deemed and construed in all instances and respects to be, under and pursuant to the franchise, and not under or pursuant to any other right, privilege, power, immunity or authority whatsoever.
(Prior code § 7813.06)
When granting a cable television franchise, the rights of the city shall be as follows:
A. 
Nothing in this chapter shall be deemed or construed to impair or affect, in any way, to any extent, the right of the city to acquire the property of the grantee, either by purchase or through the exercise of the right of eminent domain, at a fair and just value, which shall not include any amount for the franchise itself or for any of the rights and privileges granted, and nothing contained in this chapter shall be construed to contract away or to modify or abridge, whether for a term or in perpetuity, the city's right of eminent domain.
B. 
There is reserved to the city every right and power which is required to be reserved or provided by any law, and the grantee, by its acceptance of the franchise, agrees to be bound thereby and to comply with any action or requirement of the city in its exercise of such rights or power, heretofore or hereafter enacted or established.
C. 
There is reserved to the city the power to amend any section of this chapter so as to require additional or greater standards of construction, operation, maintenance or otherwise, on the part of the grantee to reflect technical and economic changes occurring during the franchise term, and to enable the city and the grantee to take advantage of new developments in the cable television industry so as to more effectively, efficiently and economically serve the public.
D. 
Neither the granting of any franchise nor any provision of this chapter shall constitute a waiver or bar to the exercise of any governmental right or power of the city.
E. 
The council may do all things which are necessary and convenient in the exercise of its jurisdiction under this chapter and may determine any question of fact which may arise during the existence of any franchise granted under this chapter. The chief administrative officer, with the approval of the city attorney, is authorized and empowered to adjust, settle or compromise any controversy or charge arising from the operations of any grantee under this chapter, either on behalf of the city, the grantee, or any subscriber, in the best interest of the public. Either the grantee or any member of the public who may be dissatisfied with the decision of the chief administrative officer may appeal the matter to the council for hearing and determination. The council may accept, reject or modify the decision of the chief administrative officer, and the council may adjust, settle or compromise any controversy or cancel any charge arising from the operations of the grantee or from any provision of this chapter.
(Prior code § 7814)
Duration and termination of the franchise shall be in accordance with the following:
A. 
Any franchise granted by the council under this chapter shall be for a term of fifteen years from the date of its acceptance by the grantee.
B. 
The city may terminate any franchise granted pursuant to the provisions of this chapter in the event of the wilful failure, refusal or neglect by the grantee to do or comply with any material requirement or limitation contained in this chapter, or any material rule or regulation of the council or chief administrative officer validly adopted pursuant to this chapter.
C. 
The chief administrative officer may make written demand that the grantee do or comply with any such requirement, limitation, term, condition, rule or regulation. If the failure, refusal or neglect of the grantee continues for a period of thirty days following such written demand, the chief administrative officer may place his or her request for termination of the franchise upon the next regular council meeting agenda. The chief administrative officer shall cause to be served upon such grantee, at least ten days prior to the date of such council meeting, a written notice of his/her intent to request such termination, and the time and place of the meeting, notice of which shall be published by the city clerk at least once ten days before such meeting in a newspaper of general circulation within the city.
D. 
The council shall consider the request of the chief administrative officer and shall hear any persons interested therein, and shall determine, in its discretion, whether or not any failure, refusal or neglect by the grantee was with just cause.
E. 
If such failure, refusal or neglect by the grantee was with just cause, the council shall direct the grantee to comply within such time and manner and upon such terms and conditions as are reasonable.
F. 
If the council shall determine such failure, refusal or neglect by the grantee was without just cause, then the council may, by resolution, declare that the franchise of such grantee shall be terminated and forfeited unless there be compliance by the grantee within such period as the council may fix.
G. 
The termination and forfeiture of any franchise shall in no way affect any of the rights of the city under the franchise or any provision of law.
H. 
In the event of any holding over after expiration or other termination of any franchise granted under this chapter, without the prior consent of the city, expressed by resolution, the grantee shall pay to the city reasonable compensation and damages, of not less than one hundred percent of its gross revenue during said period, except that, at the direction of the city, the grantee shall continue to provide service for a specified length of time or until a new franchise is awarded; in such event, the grantee shall not be required to pay such compensation and damages as referred to earlier in this section and shall cooperate fully in assuring continuity of service to subscribers throughout the transition to the new grantee.
(Prior code § 7813.01)
Franchise payments shall be in accordance with the following:
A. 
In consideration of the granting and exercise of a franchise to use the streets, as defined in this section, for the operation of a cable television system, any grantee shall pay to the city, during the life of the franchise, a percentage of its gross annual receipts.
B. 
The percentage payments shall be made in the manner, amounts and at times directed in the franchise or in a council resolution fixing franchise fees and adopting rules for service and rate regulation; provided, however, that the total fees collected from the grantee shall not exceed, when cumulated, five percent of the grantee's gross annual receipts.
C. 
An amount equivalent to at least forty percent of all actual franchise fee revenues collected by the city annually shall be designated for use to encourage and support the use of community access channels, including, but not limited to, the purchase and maintenance of access production equipment and the payment of operational expenses; provided, however, that in the event the funds so designated should exceed twenty thousand dollars, or in the event that the funds so designated are not fully utilized for the purposes intended herein, the council may reallocate any excess funds at its discretion.
D. 
The grantee shall submit an annual financial report to the city within ninety days of the anniversary of the effective date of the franchise, or at such other times upon which the city and grantee may agree, such report to include an itemized statement of revenues and expenses and a calculated after-tax rate of return on investment.
E. 
The city shall have the right to inspect the grantee's revenue records under the franchise and the right of audit and recomputation of any and all amounts payable under this chapter; the cost of the audit shall be borne by the grantee when the same results in increasing, by more than two percent, the grantee's annual payment to the city.
F. 
No acceptance of any payment shall be construed as a release or as an accord and satisfaction of any claim the city may have for further or additional sums payable under this chapter or for the performance of any other obligation hereunder.
(Prior code § 7813)
Upon being granted a franchise, and upon the filing of the acceptance required under Section 5.24.050 of this chapter, the grantee shall file with the city clerk and shall thereafter, annually, during the entire term of such franchise, maintain in full force and effect a corporate surety bond or other adequate surety agreement in such amount and kind as shall have been approved by the council. The bond or agreement shall be so conditioned that in the event that grantee shall fail to comply with any one or more of the provisions of this chapter or of such franchise, then there shall be recoverable jointly and severally from the principal and surety any damages or loss, or costs suffered or incurred by the city as a result thereof, including attorney's fees and costs of any action or proceeding, and including the full amount of any compensation, indemnification, cost of removal or abandonment of any property or other costs which may be in default, up to the full principal amount of such bond. Said condition shall be a continuing obligation during the entire term of such franchise and thereafter until the grantee shall have satisfied in full any and all obligations to the city which arise out of or pertain to the franchise. Neither the provisions of this section, nor any bond accepted by the city pursuant to this chapter, nor any damages recovered by the city thereunder shall be construed to excuse faithful performance by the grantee, or limit the liability of the grantee under any franchise issued pursuant to this chapter or for damages either to the full amount of the bond, or otherwise.
(Prior code § 7813.04(A))
Upon being granted a franchise, and upon filing of the acceptance required in this chapter, the grantee shall file, annually, with the city clerk and shall thereafter during the entire term of such franchise maintain in full force and effect a corporate surety bond, or other adequate surety agreement, in the amount as shall have been approved by the council. The bond or agreement shall be so conditioned that in the event such grantee shall fail to comply with any one or more of the provisions of any agreement or undertaking made between the grantee and any subscriber, then there shall be recoverable jointly and severally from the principal and surety any damages or costs suffered or incurred by any subscriber as a result thereof, including reasonable attorneys' fees and costs of any action or proceeding. Said condition shall be a continuing obligation during the entire term of such franchise and thereafter until the grantee shall have satisfied in full any and all obligations to any subscriber which arise out of or pertain to any such agreement or undertaking.
(Prior code § 7813.04(B))
The grantee shall indemnify and hold harmless the city, its officers, boards, commissions, agents, and employees against and from any and all claims, demands, causes of action, actions, suits, proceedings, damages (including, but not limited to, damages to city property and damages arising out of copyright infringements, and damages arising out of any failure by the grantee to secure consents from the owners, authorized distributors or licensees of programs to be delivered by the grantee's cable television system), costs or liabilities (including costs or liabilities of the city with respect to its employees), of every kind and nature whatsoever, including, but not limited to, damages for injury or death or damage to person or property, and regardless of the merit of any of the same, and against any loss, cost and expense resulting or arising out of any of the same, including any attorney fees, accountant fees, expert witness or consultant fees, court costs, per diem expense, traveling and transportation expense, or other costs or expense arising out of or pertaining to the exercise or the enjoyment of any franchise under this chapter by the grantee, or the granting thereof by the city.
(Prior code § 7813.04(C))
The grantee shall at the sole risk and expense of the grantee, upon demand of the city, made by and through the city attorney, appear in and defend any and all suits, actions, or other legal proceedings, whether judicial, quasi-judicial, administrative, legislative, or otherwise, brought or instituted or had by third persons or duly constituted authorities, against or affecting the city, its officers, boards, commissions, agents or employees, and arising out of or pertaining to the exercise or the enjoyment of such franchise, or the granting thereof by the city. The grantee shall pay and satisfy and shall cause to be paid and satisfied any judgment, decree, order, directive or demand rendered, made or issued against the grantee, the city, its officers, boards, commissions, agents or employees in any of these premises; and such indemnity shall exist and continue without reference to or limitation by the amount of any bond, policy of insurance, deposit, undertaking or other assurance required under this chapter or otherwise; provided, that neither grantee nor city shall make or enter into any compromise or settlement of any claim, demand, cause of action, action, suit, or other proceeding, without first obtaining the written consent of the other.
(Prior code § 7813.04(D))
Upon being granted a franchise, and upon the filing of the acceptance required in this chapter, the grantee shall file with the city clerk and shall thereafter during the entire term of such franchise maintain in full force and effect at its own cost and expense each of the following policies of insurance:
A. 
General comprehensive liability insurance in the amount of one million dollars, together with bodily liability insurance in an amount not less than one million dollars for injuries, including accidental death, to any one person, and subject to the same limit for each person in an amount not less than five million dollars on account of any one occurrence, and property damage liability insurance in an amount not less than two hundred fifty thousand dollars resulting from any one occurrence; provided, however, as follows:
1. 
The city shall be named as an additional insured in any of said insurance policies.
2. 
Where such insurance is provided by a policy which also covers the grantee or any other entity or person, it shall contain the standard cross-liability endorsement.
3. 
The insurance policy or policies required in this section shall be subject to the approval of the city attorney and shall contain the following endorsement:
It is hereby understood and agreed that this insurance policy may not be cancelled by the insurance carrier, nor the intention not to renew be stated by the insurance carrier, until at least 30 days after receipt by the Chief Administrative Officer of the City of La Verne, by certified mail, of a written notice of such intention to cancel or not to renew.
B. 
The grantee shall also provide worker's compensation coverage consistent with statutory requirements, and motor vehicle liability insurance coverage for each vehicle the grantee operates within the city consistent with statutory requirements.
(Prior code § 7813.04(E))
Within ninety days of the first, third, sixth, ninth and twelfth anniversaries of the effective date of the ordinance granting a franchise under this chapter, or at such other date as may be agreed upon by the city and grantee, the city and grantee shall hold scheduled performance review sessions, subject to the following provisions:
A. 
All performance review sessions shall be open to the public and be announced pursuant to the city's standard public notice procedures.
B. 
Topics to be discussed may include, but need not be limited to, services provided, rates and charges, availability of service to all dwelling units within the service area, customer complaints, maintenance of the state-of-the-art, franchise fee payments, and city and grantee policies, rules and regulations;
C. 
In preparation for and during a performance review session, the grantee shall cooperate fully with the city and shall provide such information and documents as the city may reasonably need and request;
D. 
Should the city and the grantee be unable to reach a negotiated agreement to resolve any issue raised during a performance review session, the city may direct that the issue be resolved through binding arbitration by a three-person arbitration board composed of one member appointed by the city, one member appointed by the grantee, and the third member chosen by the first two members, and which board's expenses shall be borne equally by the city and the grantee; and
E. 
Nothing in this section shall be construed to limit the city's authority or ability to investigate, hold hearings or in any other way exercise its authority to administer and enforce the provisions of this or any other city ordinance and franchises granted under this chapter at any time.
(Prior code § 7813.03)
Any cable television system authorized under this chapter shall provide, at a minimum:
A. 
The activated capacity to transmit thirty channels of color video programming with associated audio;
B. 
The activated capacity to transmit ten additional audio-only channels;
C. 
The potential for two-way digital signal transmission without requiring changes in the amplifier spacing used in initial construction or upgrading undertaken after acceptance of a franchise;
D. 
Reception and retransmission of satellite-distributed programming and services;
E. 
Within one year from the date of acceptance of the franchise, the availability of basic and nonbasic services to all dwelling units within the service area defined by the franchise, which period may be extended by the city if the grantee shows that delays are beyond its control, and which requirement may be waived by the city in the case of individual properties, access to which is refused by the property owner;
F. 
An emergency override capability allowing the chief administrative officer or his/her designee to interrupt the audio signal on all channels simultaneously to provide emergency information or to cause a text message to appear on all other channels directing viewers to tune to a designated basic service channel over which the chief administrative officer or his/her designee may provide emergency information;
G. 
Such upgraded and expanded equipment, facilities and services as needed throughout the term of the franchise to maintain a cable television system that reflects the prevailing state of the art in comparably sized systems nationwide.
(Prior code § 7812.01)
The grantee shall provide to all subscribers a lowest-cost basic service package, including, at a minimum:
A. 
All local broadcast television and radio signals, the carriage of which is now or hereafter required by the Federal Communications Commission;
B. 
Community access and leased access channels as required in this chapter;
C. 
A mix of distant broadcast signals and satellite-distributed programming designed to meet community interests and needs for entertainment and information, including, but not limited to, twenty-four-hour sports, weather and programming intended for children and other identifiable subgroups of the population of the city, subject to the availability of such programming;
D. 
Such other programming and services as may be specified in the grantee's application for a franchise except that, in the event one or more such services becomes unavailable, a service or services with an equivalent level of desirability to local subscribers shall be substituted;
E. 
The provision of such converters, descramblers or other services necessary to allow reception and playback of the programming and services provided in the basic service package on a standard home television set, however, discounted rates shall be established as a subset of standard basic service rates and shall apply to subscribers who do not require such devices or who choose to obtain them from sources other than the grantee.
(Prior code § 7812.02)
Nonbasic services shall include programming and services, not included in basic service which grantee provides at the option of individual subscribers and for a separate fee, and shall be subject to the following terms and conditions:
A. 
Nonbasic services included in the grantee's application for a franchise shall be provided as stated and, in the event one or more such services becomes unavailable, a service or services with an equivalent level of desirability to local subscribers shall be substituted;
B. 
The grantee may utilize mechanical trapping, electronic scrambling, addressable converters or other such means to permit reception of nonbasic services only by authorized subscribers;
C. 
The grantee shall provide parental control or "lock-out" services at no more than grantee's actual cost to any nonbasic subscriber requesting such a device; and
D. 
The grantee shall add additional nonbasic programming and services when new services become available, the carriage of which would increase the diversity and quality of entertainment and information available within the community, provided that such additions are economically and technically feasible.
(Prior code § 7812.03)
The grantee shall provide, as a part of basic service pursuant to Section 5.24.190 of this chapter, community and leased access channels subject to the following provisions:
A. 
At least two community access channels shall be made available initially, for use at no charge by the residents of the city, community organizations, educational institutions serving La Verne residents, and the city, for noncommercial purposes.
B. 
Whenever the existing community access channels are in use for nonautomated programming for eighty percent or more of the time during the hours between six p.m. and ten p.m., Monday through Friday, for four consecutive weeks, the grantee shall provide at least one additional community access channel, provided that the total number of such channels does not exceed ten percent of total system capacity.
C. 
At any date later than two years after completion of any system construction or upgrading specified in the grantee's application for a franchise, or two years after the effective date of the franchise, which-ever comes later, the grantee may petition the council to reduce the number of community access channels to be provided to no less than one channel, only if the existing community access channels are in use for non-automated programming for less than thirty percent of the time during the hours between six p.m. and ten p.m., Monday through Friday, for four consecutive weeks.
D. 
The council, in considering a petition to reduce grantee's community access channel requirement, may consider, but will not be limited to, the extent to which the grantee has actively promoted the use of community access channels and provided adequate training, equipment and technical support to encourage such use.
E. 
The grantee shall provide such training, equipment and technical support to community access channel users as may be specified in the grantee's application for a franchise or amendments thereto accepted by the city.
F. 
No later than ninety days after the effective date of the franchise, the grantee shall submit proposed rules and procedures governing the use of community access channels for city approval or revision.
G. 
The city may designate and/or establish a board, commission, authority, nonprofit corporation or other body to administer the use of community access channels or may establish any other procedure to determine what entity shall administer the use of community access channels.
H. 
The grantee shall set aside at least one channel to be available on a full or part-time basis, and on reasonable and nondiscriminatory terms and conditions, for lease by commercial entities having no direct or indirect corporate or management affiliation with the grantee.
I. 
Should the leased access channel be underutilized in the judgment of the grantee, the grantee may petition the council at any date later than six months after completion of system construction to allow the grantee to use all or part of the time on the leased access channel for other purposes; and
J. 
No later than ninety days after the effective date of the franchise, the grantee shall submit proposed rules and guidelines for the use of leased access channels, including the charges and terms of lease, for city approval or revision.
(Prior code § 7812.04)
In addition to the community access channel(s) to be provided pursuant to Section 5.24.210, the grantee shall provide, at a minimum, the following municipal cable services:
A. 
The grantee shall provide, at the request of the chief administrative officer, free use of the grantee's studio, equipment and technical services for production of live and videotape municipal programs to be cablecast over the community access channel(s), such free use not to exceed fifteen percent of the total time such studio, equipment and technical services are available.
B. 
The grantee shall provide a service drop and basic service, without cost, when the system passes such facilities, to:
1. 
Public schools, community colleges and universities within the city;
2. 
Buildings owned and controlled by the city, used for nonresidential public purposes; and
3. 
Such other community service institutions as may be designated by the city.
(Prior code § 7812.05)
In addition to other service regulations adopted by the council, and excepting circumstances beyond grantee's control, such as acts of God, riots and civil disturbances, and in providing the foregoing services, the grantee shall:
A. 
Limit system failures to minimum time duration by locating and correcting malfunctioning promptly, but in no event longer than twenty-four hours after occurrence, irrespective of holidays or other nonbusiness hours;
B. 
Upon complaint by a subscriber, make a demonstration satisfactory to the chief administrative office that a signal is being delivered which is of sufficient strength and quality to meet the standards set forth in the regulations of the Federal Communications Commission, or in regulations hereafter adopted by the council;
C. 
Render efficient service, making repairs promptly and interrupting service only for good cause and for the shortest time possible. Planned interruptions, insofar as possible, shall be preceded by notice given to subscribers twenty-four hours in advance and shall occur during periods of minimum use of the system;
D. 
Maintain an office in the city, which office shall be open during all the usual business hours, with its telephone listed in directories of the telephone company serving the city, and be so operated that complaints and requests for repairs or adjustments may be received at any time, day or night, seven days a week. Upon petition by the grantee, the city at its discretion may approve the designation of an office outside the city in fulfillment of this provision, provided that subscribers in the city are able to contact said office by toll-free telephone call;
E. 
Maintain a written record, or "logs" listing the date of customer complaints, identifying the subscriber and describing the nature of the complaint, and when and what action was taken by the grantee in response thereto; said record shall be maintained so as to cover at all times the previous two-year period and shall be available for inspection during regular business hours, without further notice or demand, by the chief administrative officer.
(Prior code § 7812.06)
Compatibility and connectability shall be in accordance with the following:
A. 
In the event that more than one cable television system is authorized hereunder, grantees shall interconnect their systems such that, at a minimum, programming on the community and leased access channels will be shared along the systems; and
B. 
Insofar as financially and technically feasible, the grantee shall interconnect its system with any and all adjacent systems outside the city such that, at a minimum, programming on the community access channel(s) may be shared among the systems.
(Prior code § 7812.07)
A. 
The council may adopt rules, regulations and standards governing the operation of cable television systems in the city. Such rules, regulations and standards, if adopted, shall apply to and shall govern the operations of the grantee of any franchise granted under this chapter and are expressly declared a part of any franchise granted under this chapter. Such rules, regulations and standards shall apply equally to the grantee's plant, equipment, installations and operation; which may be placed or occur within or upon the public streets and rights-of-way and within or upon private property and rights-of-way.
B. 
The standards adopted may govern the engineering, construction, installation, service and maintenance of all cable television systems in the city, including, but not limited to, standards governing carrier levels, signal-to-noise ratios, hum modulation, distortion levels, channel interactions and interreactions.
C. 
Provided the same do not materially alter the content of a franchise without the consent of the grantee, the council may at any time adopt new rules or regulations or standards, or may amend, modify, delete or otherwise change its respective rules or regulations or standards through adoption of a resolution specifying the rules, regulations or standards to be adopted, amended, modified, deleted, or otherwise changed, and fixing and setting forth a day, hour and place certain when and where any persons having any interest therein or objection thereto may appear before the council and be heard. Such resolution shall direct the city clerk to publish the same at least once within ten days of the passage thereof in a newspaper of general circulation within the city, and to mail a copy of the same to any grantee or applicant for a franchise, not more than thirty days nor less than fifteen days prior to the time fixed for hearing thereon.
D. 
At the time set for such hearing, or at any adjournment thereof, the council shall proceed to hear and pass upon such comments as may be presented. Thereafter, the council, by its resolution, may adopt, amend, modify, delete, or otherwise change its respective rules, regulations and standards. Such determination by the council shall be final and conclusive.
E. 
Any rule or regulation or standard as adopted, amended, modified, deleted, or otherwise changed by the council shall become effective upon the tenth day following the adoption of such resolution, unless a longer period shall be otherwise provided in such resolution.
(Prior code § 7815(A))
A. 
Prior to granting a franchise under this chapter, the council, by resolution, shall establish and fix all rates and charges for the basic service, as defined in this chapter, allowable to the grantee, such as:
1. 
Charges for installation;
2. 
Subscriber rates;
3. 
Converter deposits and rental fees;
4. 
Service charges for separate classifications of service (e.g., additional connections, etc.)
B. 
Initial rates and charges for services, other than basic service, shall be approved by the council and expressed in the resolution; such rates may be frozen for a specified period of time if so proposed in the grantee's application for a franchise; beyond any such rate-freeze period, the city shall have no regulatory authority over nonbasic rates.
C. 
In connection with any proposed change of basic service rates or charges of the grantee to subscribers initiated by the grantee, or the approval of rates for additional services, at any time after the granting of a franchise, the council may direct the chief administrative officer of the city to conduct a preliminary hearing into the matter. If so directed by the council, the chief administrative officer shall issue his/her written notice fixing and setting forth the day, hour and place certain where any persons having any interest therein may appear and be heard.
D. 
The city clerk shall cause such notice to be published in a newspaper of general circulation within the city. The clerk shall also cause a copy of such notice to be mailed to any grantee at least ten days prior to the date specified for the hearing. At the time set for such hearing, or at any adjournment thereof, the chief administrative officer shall proceed to hear the matter. Following the close of such hearing, the chief administrative officer shall prepare and file with the city council his/her report of the hearing, his or her findings and an opinion containing his or her recommendations and the reasons therefor. After the expiration of ten days following receipt of the chief administrative officer's report and opinion, and if no objection has been filed thereto, the council shall determine whether to adopt the opinion or to hold a further hearing, and shall pass its resolution of intention to do so, describing and stating any rates or charges to be changed, the reasons of the council therefor, fixing and setting forth a day, hour and place certain when and where any persons having any interest therein may appear before the council and be heard. Such resolution shall direct the city clerk to publish the same resolution at least once within ten days of the passage thereof in a newspaper of general circulation within the city. The city clerk also shall cause a copy of such resolution to be mailed to the affected grantee at least ten days prior to the date specified for the hearing thereon.
E. 
At the time set for any further hearing, or at any adjournment thereof, the council shall proceed to hear the matter.
F. 
If upon receipt of the report and opinion, and the expiration of said ten days without objection, or following the holding of a further hearing, if the council determines to do so, the council shall find that the changing of any rates or charges of the grantee to subscribers will be fair to the system operator and not detrimental or injurious to the best interests and welfare of the subscribers and users and of the city, then the council, by resolution, shall authorize the change of rates or charges of the grantee to subscribers and users as determined. Such resolution shall thereupon become and shall be a part of any franchise granted under this chapter and affected thereby.
G. 
If the council should fail to initiate the hearing procedures set forth in this section within sixty days of the receipt of the grantee's rate change proposal, such proposal shall be deemed to be approved.
H. 
Neither the council nor the grantee shall, as to rates, charges, service, service facilities, rules, regulations, or in any other respect, make or grant any preference or advantage to any person, nor subject any person to prejudice or disadvantage; however, nothing in this section shall be construed to prohibit the establishment of discounted rates for specific classes of service, such as bulk rates for multiunit dwellings, nor to prohibit the grantee from offering or the city from accepting, free or reduced-rate services to public or community service entities.
(Prior code § 7815(B))
The issuance of permits and the regulation of construction shall be in accordance with the following:
A. 
Within thirty days after acceptance of any franchise, the grantee shall proceed with due diligence to obtain all necessary permits and authorizations which are required in the conduct of its business, including, but not limited to, any utility joint use attachment agreements, microwave carrier licenses, and any other permits, licenses and authorizations to be granted by duly constituted regulatory agencies having jurisdiction over the operation of cable television systems, or associated microwave transmission facilities. In connection therewith, copies of all petitions, applications and communications submitted by the grantee to the Federal Communications Commission, Securities and Exchange Commission, or any other federal or state regulatory agency having jurisdiction in respect to any matters affecting the grantee's cable television operations, shall also be submitted simultaneously to the chief administrative officer.
B. 
Within ninety days after obtaining all necessary permits, licenses and authorizations, including right of access to poles and conduits, the grantee shall commence construction and installation of the cable television system.
C. 
Within one hundred eighty days after the commencement of construction and installation of the system, the grantee shall proceed to render service to subscribers, and the completion of the installation and construction shall be pursued with reasonable diligence thereafter, so that service to all of the areas designated and scheduled on the map and plan of construction made part of the franchise shall be provided as set forth therein.
D. 
Failure on the part of the grantee to commence and diligently pursue each of the foregoing requirements and to complete each of the matters set forth in this section, shall be grounds for termination of such franchise. By resolution, the council, in its discretion, may extend the time for the commencement and completion of installation and construction for additional periods in the event the grantee, acting in good faith, experiences delays by reason of circumstances beyond its control.
By acceptance of a franchise granted hereunder, the grantee agrees that failure to comply with any time requirements referred to in subsections A, B and C of this section will result in damage to the city, and that it is and will be impracticable to determine the actual amount of such damage in the event of delay; and the grantee therefore agrees that, in addition to any other damage suffered by the city, the grantee will pay to the city the sum of one hundred dollars per day for each and every day's delay beyond the time prescribed, plus authorized extensions thereof, for completion of any of the acts required to be done by this section.
E. 
The grantee shall utilize existing poles, conduits, and other facilities whenever possible, and shall not construct or install any new, different or additional poles, conduits, or other facilities, whether on public property or on privately owned property, unless and until first securing the written approval of the chief administrative officer.
Whenever the grantee shall not utilize existing poles, conduits or other facilities, or whenever existing conduits and other facilities shall be located beneath the surface of the streets, or whenever the city shall undertake a program designed to cause all conduits and other facilities to be located beneath the surface of the streets in any area or throughout the city, in the exercise of its police power or pursuant to the terms of this section upon reasonable notice to the grantee, any such conduits or other facilities of the grantee shall be constructed, installed, placed or replaced beneath the surface of the streets. Any construction, installation, placement, replacement or changes which may be so required shall be made at the expense of the grantee, whose costs shall be determined as in the case of public utilities.
F. 
The city shall have the right, free of charge, to make additional use, for any public or municipal purpose, whether governmental or proprietary, of any poles, conduits, or other similar facilities erected, controlled or maintained exclusively by or for the grantee in any street, provided such use by the city does not interfere with the use by the grantee.
G. 
In those areas of the city where the transmission or distribution facilities of the respective public utilities providing telephone, communication and electric services are underground, or hereafter are placed underground, the grantee likewise shall construct, operate and maintain all of its transmission and distribution facilities underground. The term "underground" shall include a partial underground system; provided, that upon obtaining the written approval of the chief administrative officer, amplifiers in the grantee's transmission and distribution lines may be placed in appropriate housings upon the surface of the ground.
H. 
The grantee at its expense shall protect, support, temporarily disconnect, relocate or remove any property of the grantee when, in the opinion of the chief administrative officer, the same is required by reason of traffic conditions, public safety, street vacation, freeway or street construction, change or establishment of street grade, installation of sewers, drains, water pipes, power line, transportation facilities, tracks, or any other types of structure or improvements by governmental agencies whether acting in a governmental or a proprietary capacity, or any other structure or public improvement, including, but not limited to, movement of buildings, redevelopment, and any general program under which the city shall undertake to cause all such properties to be located beneath the surface of the ground. Nothing in this section shall be deemed a taking of the property of the grantee, and the grantee shall be entitled to no surcharge by reason of anything in this section.
I. 
Upon the failure, refusal or neglect of the grantee to cause any work or other act required by law or by this chapter to be properly completed in, on, over or under any street within any time prescribed there-for, or upon notice given, where no time is prescribed, the chief administrative officer may cause such work or other act to be completed in whole or in part, and upon doing so shall submit to the grantee an itemized statement of the costs thereof. The grantee shall, within thirty days after receipt of such statement, pay to the city the entire amount thereof.
J. 
In the event that:
1. 
The use of any part of the system of the grantee is discontinued for any reason for a continuous period of thirty days, without prior written notice to and approval by the city; or
2. 
Any part of such system has been installed in any street or other area without complying with the requirements hereof; or
3. 
Any franchise shall be terminated, cancelled, or shall expire, then the grantee shall, at the option of the city and at the expense of the grantee and at no expense to the city, and upon demand of the city, promptly remove from any streets or other areas all property of the grantee, and the grantee shall promptly restore the street or other area from which such property has been removed to such condition as the chief administrative officer shall approve.
The council may, upon written application therefor by the grantee, approve the abandonment of any of such property in place by the grantee and under such terms and conditions as the council may prescribe. Upon abandonment of any such property in place, the grantee shall cause to be executed, acknowledged and delivered to the city such instruments as the city attorney shall prescribe and approve, transferring and conveying the ownership of such property to the city.
K. 
The grantee shall comply with any requirements of the city planning department, city engineer or any other city agency with regard to construction notification, obtaining street opening or other permits, updating any centralized buried cable information bank, and all other requirements relating to construction.
L. 
Nothing contained in this section shall be construed to empower or authorize the grantee to cut or trim any trees in any public rights-of-way without prior permission of the city.
M. 
The grantee shall submit an annual construction and service report to the city within sixty days of the anniversary of the effective date of the franchise, or at such other date as may be agreed upon by the city and the grantee, such report to include:
1. 
A map of the current service area, detailing placement of all trunklines, amplifiers and pedestals;
2. 
A map of projected areas and a description of new construction, rebuild and/or upgrade for the upcoming year;
3. 
A statement of the number of potential subscribers passed by the system and the numbers of basic and nonbasic subscribers; and
4. 
A statement of programming and services offered, channel assignments, and plans, if any, for channels held in reserve.
N. 
After such time as a cable television system authorized by this chapter is fully constructed pursuant to the construction plans incorporated in the franchise, the grantee shall extend service within the city to unserved areas adjacent to its service area upon petition and payment of installation fees by twenty or more potential subscribers within a street mile as measured from the existing terminus of the grantee's system, unless the grantee demonstrates to the city that such extension would be technically or economically impractical; the grantee shall further advise the city of any such extension whereupon the newly served area shall be deemed to be a part of the grantee's authorized service area.
O. 
The grantee shall prevent unnecessary damage to streets, rights-of-way and property by installing cable television cables and associated distribution equipment underground in new subdivisions at the same time and in the same trench as other communications, electric and/or other utilities, provided that the grantee has received at least thirty days' notice prior to the date(s) on which trench opening will occur. Installation of underground cable shall take place in all new subdivisions of five or more dwelling units within the grantee's authorized service area.
P. 
After such time as a cable television system authorized by this chapter is fully constructed pursuant to the construction plans incorporated in the franchise, the grantee shall extend service within the city to new developments outside of its existing service area which are not served by any cable television service provider, if the number of planned dwellings is such that the number of potential new subscribers, when divided by the number of new trunk and feeder line miles or fraction thereof required, exceeds thirty-five, and if the developer, landowner, homeowners' association or group of ten or more residents petitions the grantee for such service, unless the grantee demonstrates to the city that such extension would be economically or technically impractical. In the event of such extension, the grantee shall advise the city of such extension, whereupon the newly served area shall be deemed to be a part of the grantee's authorized service area.
(Prior code § 7815.01)
The following provisions shall apply in connection with cable television systems in the city:
A. 
A franchise granted to provide service within the city shall authorize and permit the grantee to solicit, sell, distribute and make a charge to subscribers within the city for connection to the cable television system of the grantee, and shall also authorize and permit the grantee to traverse any portion of the city in order to provide service outside the city.
B. 
A franchise, easement, license or other permit granted to anyone other than a grantee to traverse any portion of the city in order to provide service outside the city shall not authorize or permit the person to solicit, sell, distribute, or make any charge to subscribers within the city, nor to render any service or connect any subscriber within the city to the cable television system of the grantee.
C. 
No franchise granted under this chapter shall ever be given any value by any court or other authority, public or private, in any proceeding of any nature or character, wherein or whereby the city shall be a party or affected therein or thereby.
D. 
The grantee shall be subject to all provisions of the other ordinances, rules, regulations, and specifications of the city heretofore or hereafter adopted, including, but not limited to, those pertaining to works and activities in, on, over, under and about streets.
Any privilege claimed under any franchise granted pursuant to this chapter in any street or other public property shall be subordinate to any prior lawful occupancy of the streets or other public property.
The grantee also shall be subject to the provisions of general laws of the state, or as hereafter amended, when applicable to the exercise of any privilege contained in any franchise granted under this chapter, including, but not limited to, those pertaining to works and activities in and about state highways.
E. 
The grantee shall be prohibited from directly or indirectly doing any of the following:
1. 
Engaging in the business of selling at retail, leasing, renting, repairing or servicing television sets or radios;
2. 
Imposing a fee or charge for any service or repair to subscriber-owned receiving devices;
3. 
Soliciting, referring or causing or permitting the solicitation or referral of any subscriber to persons engaged in any business prohibited in this section to be engaged in by the grantee;
4. 
Providing information concerning the viewing patterns of identifiable individual subscribers to any person, group or organization for any purpose.
F. 
If the Federal Communications Commission, or the Public Utilities Commission of the state, or any other federal or state body or agency shall now or hereafter exercise any paramount jurisdiction over the subject matter of any franchise granted under this chapter, then to the extent such jurisdiction shall preempt or preclude the exercise of like jurisdiction by the city, the jurisdiction of the city shall cease and no longer exist.
The preemption or preclusion of the exercise by the city of any of its police power shall not diminish, impair, alter or affect any contractual benefit to the city or grantee, nor any contractual obligation of the grantee under any franchise issued under this chapter.
Any and all minimum standards governing the operation of the grantee and any and all maximum rates, ratios and charges specified in this chapter or in any franchise issued under this chapter, existing now and at any time in the future, including such time as any paramount jurisdiction shall preempt or preclude that of the city, and any and all rights, powers, privileges, and authorities of the city to determine, establish or fix any of the same, are each and all declared by the city and by any grantee accepting any franchise under this chapter to be contractual in nature and to be for the benefit of the city.
G. 
When not otherwise prescribed in this chapter, all matters required to be filed with the city shall be filed with the city clerk.
H. 
No person, firm or corporation within the service area of the grantee, and where trunk lines are in place, shall be refused service; provided, however, that the grantee shall not be required to provide service to any subscriber who does not pay the applicable connection fee or service charge.
I. 
Before providing cable television service to any subscriber, the grantee shall provide a written notice to the subscriber substantially as follows:
Subscriber is hereby notified that in providing cable television service the Grantee is making use of public rights of way within the City of La Verne and that the continued use of such rights of way is in no way guaranteed. In the event the continued use of such rights of way is denied to Grantee for any reason, Grantee will make every reasonable effort to provide service over alternate routes. By accepting cable television service, subscriber agrees he will make no claim nor undertake any action against the City of La Verne, its officers, or its employees if the service to be provided hereunder is interrupted or discontinued.
J. 
The form of the grantee's contract with the subscriber shall also be subject to approval of the city.
(Prior code § 7816)
A. 
In the carrying out of the construction, maintenance and operation of the cable television system, the grantee shall not discriminate against any employee or applicant for employment because of race, creed, color, sex or national origin.
B. 
The grantee shall take affirmative action to ensure that applicants are employed, and that employees are treated during employment, without regard to their race, creed, color, sex, or national origin. Such action shall include, but not be limited to, the following: employment, upgrading, demotion or transfer, recruitment or recruitment advertising, layoff or termination, rates of pay or other forms of compensation, and selection for training, including apprenticeship.
C. 
The grantee shall post in conspicuous places, available to employees and applicants for employment, notices setting forth the provisions of this nondiscrimination clause.
D. 
The grantee shall, in all solicitations or advertisements for employees placed by or on behalf of the grantee, state that all qualified applicants will receive consideration for employment without regard to race, creed, color, sex, or national origin.
E. 
The grantee shall incorporate the requirements of this section in all of its contracts for work relative to construction, maintenance and operation of the cable television system, other than contracts for standard commercial supplies or raw materials, and shall require all of its contractors for such work to incorporate such requirements in all subcontracts for such work.
(Prior code § 7817)
A. 
From and after the effective date of the ordinance codified in this chapter, it shall be unlawful for any person to construct, install or maintain within any public street in the city, or within any other public property of the city, or within any privately owned area within the city which has not yet become a public street but is designated or delineated as a proposed public street on any tentative subdivision map approved by the city, any equipment or facilities for distributing any television signals or radio signals through a cable television system, unless a franchise authorizing such use of such street or property or area has first been obtained pursuant to the provisions of this chapter, and unless such franchise is in full force and effect; provided, however, that any person maintaining any equipment or facilities for distributing any television or radio signals through a cable television system at the time the ordinance codified in this chapter becomes effective shall within one year from and after the effective date of the ordinance codified in this chapter either terminate said service or obtain a franchise pursuant to the provisions of this chapter.
B. 
It shall be unlawful for any person, without the consent of the owner, to wilfully tamper with, remove or injure any cables, wires or equipment used for distribution of television signals, radio signals, pictures, programs or sound.
(Prior code § 7818)
By acceptance of a franchise granted under this chapter, the grantee agrees that failure to comply with any of the various requirements of this chapter or of the franchise will result in damage to the city, and that it is and will be impractical to determine the actual amount of such damage; the Grantee therefore further agrees that, if an instance of noncompliance has not been remedied within ten days of notice of noncompliance served by the city, the grantee shall pay, in addition to any other damages suffered by the city, the following liquidated damages; and the grantee further agrees that the assessment or payment of such liquidated damages shall not impair the city's power or ability to terminate the franchise pursuant to Section 5.24.080:
A. 
For failure to comply with the minimum service requirements specified in Section 5.24.180 of this chapter, the grantee shall pay five hundred dollars per day that each violation occurs or continues;
B. 
For failure to comply with the requirements of Section 5.24.210 of this chapter relating to community and leased access channels, the grantee shall pay fifty dollars per day that each violation occurs or continues;
C. 
For failure to provide data, documents, reports and/or other information in a timely manner as required under this chapter, the grantee shall pay fifty dollars per day that each violation occurs or continues;
D. 
For failure to comply with the standards established for responding to subscriber complaints, correcting system failures, or maintaining a local office and complaint log, the grantee shall pay fifty dollars per day that each violation occurs or continues;
E. 
For failure to interconnect its system with other systems within the city, unless the grantee demonstrates to the council that compliance is technically or financially impractical. The grantee shall pay fifty dollars per day that each violation occurs or continues;
F. 
For failure to pay the franchise payments when due pursuant to Section 5.24.090 of this chapter, the grantee shall pay fifty dollars per day for each day, or part thereof, that the violation continues;
G. 
For failure to provide bonds, indemnities or insurance required in this chapter, the grantee shall pay one hundred dollars per day that each violation continues;
H. 
For failure to comply with the rules and regulations adopted by the city, if any, pursuant to Sections 5.24.250 through 5.24.280, the grantee shall pay fifty dollars per day that each violation continues;
I. 
For failure to comply with the construction time schedule incorporated in the franchise and referred to in this chapter, the grantee shall pay the amount specified in Section 5.24.280;
J. 
For failure to comply with the equal opportunity employment and affirmative action plan provisions of Section 5.24.300, the grantee shall pay fifty dollars per day that each violation continues.
(Prior code § 7819)
A. 
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 therefor.
B. 
A state franchise shall not convey rights other than as specified in this chapter or in the California Public Utilities Code or other applicable law; no rights shall pass by implication.
C. 
Except as otherwise provided by the California Public Utilities Code, 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 for, or 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, including, but not limited to, encroachment permits, street work permits, and street cut permits; and
3. 
Any permit, agreement or authorization for occupying any other property of the city of any private person to which access is not specifically granted by the state franchise.
D. 
Except as otherwise provided in the California Public Utilities Code, a state franchise shall not relieve a franchisee of its duty to comply with all laws, including the ordinances, resolutions, rules, regulations, and other 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.
The city reserves the right to construct, operate, maintain or repair its own cable system or video service provider network.
(Ord. 1005 § 1, 2008)
A. 
As of September 1, 2008, the city was imposing an annually adjusted fee for public, educational and government access (hereinafter, "PEG") channel operations and capital expenditures of forty-nine thousand seven hundred thirty-five dollars as part of the city-approved local franchise held by Time Warner Cable.
B. 
The PEG capital support fees ("PEG fee") of subsection A of this section provide support of capital equipment and operations expenditures used for PEG activities and are in addition to the franchise fee paid to the city by the cable operators.
C. 
As permitted by Section 5870 (n) of the California Public Utilities Code, the city hereby establishes a fee of one percent to replace the annually adjusted fixed fee in support of PEG channel facilities. Said PEG fee will be paid by any state video franchise holder operating within the city of La Verne's jurisdictional boundaries. The fee shall be paid quarterly no later than sixty days following the quarter for which the payment is due.
D. 
The PEG fee is in support of PEG activities and is in addition to the five percent franchise fee to be paid to the city by the state video service franchise holders.
(Ord. 1005 § 1, 2008)
A. 
Any holder of a state video service franchise shall comply with all applicable state and federal customer service and protection standards pertaining to the provision of video service.
B. 
The city will provide any holder of a state video franchise written notice of any material breach of applicable customer service and protection standards, and will allow the franchise holder at least thirty calendar days from the receipt of the notice to remedy the specified material breach. A material breach that is not remedied by the state video franchise holder within the remedy period shall subject the state video franchise holder to the following penalties to be imposed by the city:
C. 
For the first occurrence of a material breach, a penalty of five hundred dollars for each day of each material breach, not to exceed one thousand five hundred dollars for each occurrence of a material breach.
D. 
For the second violation of the same nature within twelve months, a penalty of one thousand dollars for each day of each material breach, not to exceed three thousand dollars for each occurrence of the material breach.
E. 
For a third or further violation of the same nature within twelve months, a penalty of two thousand five hundred dollars for each day of each material breach, not to exceed seven thousand five hundred dollars for each occurrence of the material breach.
F. 
Any notice and any penalty may be issued or imposed by the city manager or designee. Any notice shall be in writing. Notices shall be transmitted by United States Postal Service certified or registered mail, return receipt requested and postage prepaid, or by private commercial delivery or courier service for same day or next business day delivery with delivery and receipt signature required.
G. 
The state video service franchise holder may appeal any finding of material breach or imposition of penalties to the city council. Any appeal must be made within ten calendar days of receipt by the state video service franchise holder of the finding of material breach or the imposition of penalties, and must be submitted in writing to the city clerk and the city manager or their designee in order to be placed on a city council agenda for consideration. Any appeal must contain a detailed explanation of why the appellant believes that the finding of material breach or the imposition of penalties was inconsistent with statutory requirements.
H. 
The city and any state video service franchise holder may mutually agree to extend the time periods specified herein. Any such agreement shall be in writing and executed by the city manager or their designee and an authorized representative of the state video franchise holder.
I. 
Any penalty imposed on a state video franchise holder shall be paid to the city. As provided for in Section 5900(g) of the California Public Utilities Code, the city shall submit one half of all penalties received from a state video franchise holder to the digital divide account established by Section 280.5 of the California Public Utilities Code.
(Ord. 1005 § 1, 2008)
A. 
As provided by Section 5885 of the California Public Utilities Code, the city shall either approve or deny an application from a state video service franchise holder for an encroachment permit within sixty days of receiving a completed application.
B. 
For purposes of this section, an "encroachment permit" means any permit issued by the City relating to construction or operation of facilities relating to the provision of video service under a state video service franchise.
C. 
An application for an encroachment permit is considered complete when the applicant has complied with all statutory requirements for such an application, including those of the California Environmental Quality Act, Public Resources Code Sections 21000 et seq., Title 15 of this code, and other applicable ordinances of the city.
D. 
Any city denial of an application for an encroachment permit shall be in writing and shall contain a detailed explanation of the reason for the denial.
(Ord. 1005 § 1, 2008)