The grantee of any franchise shall, subject to the provisions of this
chapter, be authorized to construct, operate and maintain a cable television
system and to engage in the business of providing cable service in the City
as defined herein and in the franchise ordinance and for that purpose to erect,
install, construct, repair, replace, reconstruct and maintain such poles,
wires, cables, conductors, ducts, conduits, vaults, manholes, amplifiers,
appliances, attachments, and other property as may be necessary and appurtenant
to the cable television system and to use, operate and provide similar facilities
or properties rented or leased from other persons. However, before any poles,
wires or other thing mentioned above as necessary and appurtenant to the cable
television system may be placed within any street or road, the proper permission
and authority to do so must be obtained by the grantee from the City or the
Virginia Department of Transportation or other agency of competent jurisdiction.
The City reserves the right to regulate rates for basic cable service
and any other services offered over the cable system, to the extent permitted
by federal or state law.
Within 30 calendar days following the award of an initial franchise,
the grantee shall file with the City Clerk a corporate surety bond by a company
authorized to do business in the State of Virginia and found acceptable by
the City Attorney in the amount of 5% of estimated construction costs as determined
by the City to guarantee the timely construction and full activation of the
cable television system.
A. The bond shall provide, but not be limited to, the following
condition: there shall be recoverable by the City, jointly and severally from
the principal and surety, any and all damages, loss or costs suffered by the
City resulting from the failure of the grantee to satisfactorily complete
and fully activate the cable television system pursuant to the terms of the
franchise.
B. The Council must authorize any extension to the prescribed
time limit. Such extension shall be authorized only when the Council finds
that such extension is necessary and appropriate due to causes beyond the
control of the grantee. The Council may waive the requirement of a construction
bond for good cause.
C. The construction bond shall be terminated only after
the City finds that the company has satisfactorily completed and fully activated
the cable television system pursuant to the terms of the franchise.
D. The rights of the City with respect to the construction
bond are in addition to all other rights of the City, whether reserved by
this chapter or authorized by law, and no action, proceeding or exercise of
right with respect to such construction bond shall affect any other right
the City may have.
The City may inspect the grantee's cable system and, upon reasonable
notice, inspect the distribution facilities and equipment of the cable system.
If, based on subscriber complaints or its own investigation, the City finds
that the cable system's operation is out of compliance with the franchise
or applicable federal rules, it may require the grantee to perform tests,
prepare a report and present to the City the results of those tests. The grantee
shall identify any problem found, advise the City of the remedy it intends
to pursue to correct the problem, take action to remedy the problem, and provide
copies of test data to show that the problem has been corrected.
The grantee shall provide to the City:
A. Within 90 calendar days after the close of the grantee's
fiscal year, a written annual report setting forth gross revenues received
by category for said fiscal year for that portion of the City served by the
grantee pursuant to its franchise agreement, certified by a financial officer
of the grantee;
B. Upon request of the City, a copy of the most recent annual
report, including a certified financial statement, of the grantee or its parent
entity;
C. A copy of any notice of deficiency or forfeiture or other
document issued by any state or federal agency which has instituted any investigation
or civil or criminal proceeding naming the cable television system, the grantee,
or any operator of the cable television system, to the extent the same may
affect or bear on the operations of the grantee's cable system; and
D. A copy of any request for protection under bankruptcy
laws or any judgment related to a declaration of bankruptcy by the grantee,
any affiliate that controls or manages the grantee, or any operator of the
cable system.
In addition to reports required by this franchise, the grantee shall
maintain records of the following and shall produce to the City:
A. Federal Communications Commission proof of performance;
B. Records demonstrating compliance with applicable customer
service standards; and
C. A full and complete set of plans, records and as-built
maps showing the location of the cable system installed or in use in the City,
exclusive of subscriber service drops and equipment provided in subscribers'
homes.
The grantee shall incorporate into its cable television system the capacity
to permit the City, in times of emergency, to override the audio portion of
all channels simultaneously, by telephone or other communicating medium to
be provided by the grantee.
A. The grantee shall designate a channel that will be used
for emergency broadcasts of both audio and video.
B. The grantee shall cooperate with the City in the use
and operation of the emergency alert override system.
C. Franchises shall comply with all FCC rules relating to
the provision of emergency messages under the emergency alert system.