20.90.010 Definitions.

For the purpose of this chapter, the following terms, phrases, words, abbreviations, and their derivation shall have the meaning given herein in addition to those definitions given in this code. (Gov. Code § 53066) (Ord. 1511)

20.90.020 Franchise.

“Franchise” means and includes any authorization granted hereunder in terms of a franchise, privilege, permit, license or otherwise to construct, operate and maintain a CATV system in the City. See Government Code Section 53066. Any such authorization, in whatever term granted, shall not mean and include any license or permit required for the privilege of transacting and carrying on a business within the City in accordance with this code.

20.90.030 Grantee.

“Grantee” means the person, firm, or corporation to whom or which a franchise, as hereinabove defined, is granted by the Council under this chapter, and the lawful successor, transferee or assignee or the person, firm, or corporation.

20.90.040 Street.

“Street” means the surface of and the space above and below any public street, road, highway, freeway, land, path, alley, court, sidewalk, parkway, or drive, now or hereafter existing as such within the City.

20.90.050 Property of grantee.

“Property of grantee” means all property owned, installed or used by a grantee in the conduct of a CATV business in the City under the authority of a franchise granted pursuant to this title.

20.90.060 CATV.

“CATV” means a community antenna television system as defined in CMC 20.90.070.

20.90.070 Community antenna television system.

“Community antenna television system” means any facility which, in whole or in part, receives directly or indirectly over the air and amplifies or otherwise modifies the signals transmitting television of FM radio program broadcasted by one or more television or radio stations and distributes such signals by wire or cable to subscribing members of the public who pay for such service, but such term shall not include:

A. Any such facility which serves fewer than 50 subscribers; or

B. Any such facility which serves only the residents of one or more apartment dwellings under common ownership, control, or management, and commercial establishments located on the premises of such an apartment house; provided, however, that this term shall also include any such facility which in addition to the reception of television and FM radio broadcast signals originates program material and provides other communications services and facilities for subscribing members of the public.

20.90.080 Subscriber.

“Subscriber” means any person or entity receiving for any purpose the CATV service of a grantee.

20.90.090 Gross annual receipts.

“Gross annual receipts” means any and all compensation and other consideration in any form whatever and any contributing grant or subsidy received directly or indirectly by a grantee from subscribers or users in payment for television or FM radio signals or service received within the City. “Gross annual receipts” shall not include any taxes on services furnished by the grantee imposed directly on any subscriber or user by any city, state, or other governmental unit and collected by the grantee for such governmental unit.

Article II. Franchises

20.90.091 Exclusive use of telephone facilities.

When and in the event that the grantee of any franchise granted hereunder constructs, operates, and maintains a CATV system exclusively through telephone company facilities constructed, operated and maintained pursuant to a State granted telephone franchise and offers satisfactory proof that in no event during the life of such franchise shall the grantee make any use of the streets independently of such telephone company facilities, the grantee shall be required to comply with all of the provisions hereof as a “licensee” and in such event whenever the term “grantee” is used herein it shall be deemed to mean and include “licensee.”

20.90.100 Franchise to operate.

A noninclusive franchise to construct, operate and maintain a CATV system within all or any portion of the City may be granted by the Council to any person, firm or corporation, whether operating under an existing franchise or not, who or which offers to furnish and provide such system under and pursuant to the terms and provisions of this title. No provision of this title 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.

20.90.110 Uses permitted by grantee.

Any franchise granted pursuant to the provisions of this title shall authorize and permit the grantee to engage in the business of operating and providing a CATV 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 public street, such poles, wires, cable, conductors, ducts, conduits, vaults, manholes, amplifiers, appliances, attachments and other property as may be necessary and appurtenant to the CATV 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.

20.90.120 Charges.

The grantee may make a charge to subscribers for installation or connection to its CATV system and a fixed monthly charge as filed and approved as herein provided. No increase in the rates and charges to subscribers as set forth in the schedule filed and approved with grantee’s application may be made without the prior approval of the Council expressed by resolution.

20.90.130 Duration of franchise.

No franchise granted by the City Council under this chapter shall be for a term longer than 20 years following the date of acceptance of such franchise by the grantee or the renewal thereof. Any such franchise granted hereunder may be terminated prior to its date of expiration by the Council in the event that the Council shall have found, after 30 days’ notice of any proposed termination and public hearing; that:

A. The grantee has failed to comply with any provision of this title, or has, by act or omission, violated any term or condition of any franchise or permit issued hereunder; or

B. Any provision of this title has become invalid or unenforceable and the City Council further finds that such provisions constitutes a consideration material to the grant of the franchise; or

C. The City acquires the CATV system property of the grantee;

D. Notwithstanding any provision of this section to the contrary, a franchise granted hereunder shall not be terminated because of any act or omission of the grantee required by any valid rule, regulation, order or policy of the Federal Communications Commission.

20.90.140 Franchise payments.

Any grantee granted a franchise under this title shall pay to the City, during the life of such franchise, a sum equal to five percent or $1,200, whichever is greater, of the gross annual receipts of the grantee. Such payment by the grantee to the City shall be made annually, or as otherwise provided in the grantees’ franchise, by delivery of the same to the Director of Administrative Services.

20.90.150 Financial statement.

The grantee shall file with the City, within 30 days after the expiration of any calendar year or portion thereof during which such franchise is in force, a financial statement prepared by a certified public accountant, or person otherwise satisfactory to the Council, showing in detail the gross annual receipts, as defined herein, of grantee during the preceding calendar year or portion thereof. It shall be the duty of the grantee to pay to the City, within 15 days after the time for filing such statements, the sum hereinabove prescribed or any unpaid balance thereof for the calendar year or portion thereof by such statements.

20.90.160 Minimum charge.

In any year, or portion thereof, following the first full year service has been provided and during which payments under this section amount to less than $1,200 per year, grantee shall pay the City, as a minimum, an amount equal to $1,200 per year.

20.90.170 Records.

The City shall have the right to inspect the grantee’s records showing the gross receipts from which its franchise payments are computed and the right of audit and recomputation of any and all amounts paid under this title. 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 title or for the performance of any other obligation hereunder.

20.90.180 Holding over after term.

In the event of any holding over after expiration or other termination of any franchise granted hereunder, without the consent of the City, the grantee shall pay to the City reasonable compensation and damages of not less than 100 percent of its total gross profits during the period.

20.90.190 Limitations of franchise.

Any franchise granted under this chapter shall be nonexclusive.

20.90.200 No extra privileges or exemptions.

No privilege or exemption shall be granted or conferred by any franchise granted under this title except those specifically prescribed herein.

20.90.210 Privilege subordinate to lawful occupancy of public property.

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.

20.90.220 Personal trust.

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 the prior consent of the Council expressed by resolution, and then only under such conditions as may therein be prescribed. Any such transfer or assignment shall be made only by an instrument in writing, a duly executed copy of which shall be filed in the Office of the City Clerk within 30 days after any such transfer or assignment. The consent of the City Council may not be arbitrarily refused; provided, however, the proposed assignee must show financial responsibility 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 as a whole to secure an indebtedness.

20.90.230 Prompt compliance.

Time shall be of the essence of any such franchise granted hereunder. The grantee shall not be relieved of his obligation to comply promptly with any of the provisions of this title or by any failure of the City to enforce prompt compliance.

20.90.240 Transfer of power.

Any right or power in, or duty imposed 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.

20.90.250 Loss due to enforcement.

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 hereunder or because of its enforcement.

20.90.260 Compliance with code.

The grantee shall be subject to all requirements of this code or any rules, regulations and specifications heretofore or hereafter enacted or established.

20.90.270 Use of others’ poles.

Any such franchise granted shall not relieve the grantee of any obligation involved in obtaining pole space from any utility company or from others maintaining poles in streets.

20.90.280 Franchise.

Any franchise granted hereunder shall be in lieu of any and all other rights, privileges, powers, immunities, and authorities owned, possessed, controlled, or exercisable by grantee, or any successor to any interest of grantee, of or pertaining to the construction, operation, or maintenance of any CATV system in the City; and the acceptance of any franchise hereunder 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, any and all construction, operation and maintenance by any grantee of any CATV system in the City shall be, and 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.

Article III. Rights of City

20.90.290 Not to impair rights of City.

Nothing herein shall be deemed or construed to impair or effect, 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 or privileges granted, and nothing herein contained shall be construed to contract away or to modify or abridge, either for a term or in perpetuity, the City’s right of eminent domain.

20.90.300 Reservation of rights and powers.

There is hereby reserved to the City every right and power which is required to be herein reserved or provided by this code or any ordinance of the City, and the grantee, by its acceptance of any franchise, agrees to be bound thereby and to comply with any action or requirements of the City in its exercise of such rights or power, heretofore or hereafter enacted or established.

20.90.310 Granting other franchises.

Neither the granting of any franchise hereunder nor any of the provisions contained herein shall be construed to prevent the City from granting any identical, or similar, franchise to any other person, firm or corporation, within all or any portion of the City.

20.90.320 Construction standards.

There is hereby reserved to the City the power to amend any section or part of this title so as to require additional or greater standards of construction, operation, maintenance or otherwise on the part of the grantee.

20.90.330 Rights and powers of City not waived.

Neither the granting of any franchise nor any provision hereof shall constitute a waiver or bar to the exercise of any governmental right or power of the City.

20.90.340 City officials.

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 hereunder. The City Manager is hereby authorized and empowered to adjust, settle, or compromise any controversy or charge arising from the operations of any grantee under this title, 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 City Manager may appeal the matter to the Council for hearing and determination. The City Council may accept, reject or modify the decision of the City Manager, and the Council may adjust, settle or compromise any controversy or cancel any charge arising from the operations of any grantee or from any provision of this chapter.

Article IV. CATV – Permits, Installation and Service

20.90.350 Time to obtain permits and authorizations.

Within 60 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 CATV systems, or their associated microwave transmission facilities.

20.90.360 Time to commence construction.

Within 90 days after obtaining all necessary permits, licenses and authorizations, grantee shall commence construction and installation of the CATV system.

20.90.370 Time to render service.

Within 90 days after the commencement of construction and installation of the system, grantee shall proceed to render service to subscribers, and the completion of the construction thereafter, so that service to all areas designated on the map accompanying the application for franchise, as provided in CMC 20.90.110, shall be provided within one year from the date that service was first provided.

20.90.380 Failure to perform – Termination.

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 herein shall be grounds for termination of such franchise, under and pursuant to the terms of CMC 20.90.050; provided, however, that the Council in its discretion may extend the time for the commencement and completion of construction and installation for additional periods in the event the grantee, acting in good faith, experiences delays by reason of circumstances beyond his control.

Article V. CATV Property

20.90.390 Director of Public Services approval.

Any poles, wires, cable lines, conduits or other properties of the grantee to be constructed or installed on streets shall be so constructed or installed only at such locations and in such manner as shall be approved by the Director of Public Services acting in the exercise of his reasonable discretion.

20.90.400 Installation on public streets.

The grantee shall not install or erect any facilities or apparatus in or on public property, places or rights-of-way, 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, except those installed or erected upon public utility facilities now existing, without obtaining the prior written approval of the Director of Public Services.

20.90.410 Underground utilities.

In those areas and portions of the City where the transmission or distribution facilities of both the public utility providing telephone service and those of the utility providing electric service are underground or hereafter may be placed underground, then the grantee shall likewise construct, operate and maintain all of its transmissions and distribution facilities underground. For the purpose of this section, “underground” shall include a partial underground system, e.g., streamlining. Amplifiers in grantee’s transmission and distribution lines may be in appropriate housing upon the surface of the ground as approved by the Director of Public Services.

Article VI. Performance Bond

20.90.420 Discontinuance of system.

In the event that the use of any part of the CATV system is discontinued for any reason for a continuous period of 12 months, or in the event such system or property has been installed in any street or public place without complying with the requirements of grantee’s franchise or this title, or the franchise has been terminated, canceled or has expired, the grantee shall promptly, upon being given 10 days’ notice, remove from the streets or public places all such property and poles of such system other than any which the Director of Public Services may permit to be abandoned in place. In the event of such removal, the grantee shall promptly restore the street or other area from which such property has been removed to a condition satisfactory to the Director of Public Services.

20.90.430 Property considered permanently abandoned.

Any property of the grantee remaining in place 30 days after the termination or expiration of the franchise shall be considered permanently abandoned. The Director of Public Services may extend such time not to exceed an additional 30 days.

20.90.440 Abandonment procedure.

Any property of the grantee to be abandoned in place shall be abandoned in such manner as the Director of Public Services shall prescribe. Upon permanent abandonment of the property of the grantee in place, the property shall become that of the City, and the grantee shall submit to the Director of Administrative Services an instrument in writing, to be approved by the City Attorney, transferring to the City the ownership of such property.

20.90.450 Changes required by public improvements.

The grantee shall, at its expense, protect, support, temporarily disconnect, relocate in the same street or other public place, or remove from the street or other public place, any property of the grantee when required by the Director of Public Services by reason of traffic conditions, public safety, street vacation, freeway and street construction, change or establishment of street grade, installation of sewers, drains, water pipes, power lines, signal lines, and tracks or any other type of structures or improvements by public agencies; provided, however, that the grantee shall in all such cases have the privileges and be subject to the obligations to abandon any property of the grantee in place, as provided in CMC 20.90.420 through 20.90.440. (Ord. 1956 § 2, 2004)

20.90.460 Failure to perform street work.

Upon failure of the grantee to commence, pursue, or complete any work required by law or by the provisions of this title or by its franchise to be done in any street or other public place, within the time prescribed, and to the satisfaction of the Director of Public Services, the City Manager may, at his option, cause such work to be done and the grantee shall pay to the City the cost thereof in the itemized amounts reported by the Director of Public Services to the grantee within 30 days after receipt of such itemized report.

20.90.470 Bond – Amount – Terms.

The grantee shall, concurrently with the filing of the acceptance of award of any franchise granted under this title, file with the Director of Administrative Services, and at all times thereafter maintain in full force and effect for the term of such franchise or any renewal thereof, at grantee’s sole expense, a corporate surety bond in a company and in a form approved by the City Attorney, in the amount of $15,000, renewable annually, and conditioned upon the faithful performance of grantee, and upon the further condition that in the event grantee shall fail to comply with any one or more of the provisions of this title, or of any franchise issued to the grantee hereunder, there shall be recoverable jointly and severally from the principal and surety of such bond any damages or loss suffered by the City as a result thereof, including the full amount of any compensation, indemnification, or cost of removal or abandonment of any property of the grantee as prescribed hereby which may be in default, plus a reasonable allowance for attorney’s fees and costs, up to the full amount of the bond; the condition to be a continuing obligation for the duration of such franchise and any renewal thereof and thereafter until the grantee has liquidated all of its obligations with the City that may have arisen from the acceptance of such franchise or renewal by the grantee or from its exercise of any privilege therein granted. The bond shall provide that 30 days’ prior written notice of intention not to renew, cancellation, or materials change be given to the City.

20.90.480 Bond – Does not limit liability.

Neither the provisions of this section, nor any bond accepted by the City pursuant hereto, 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 hereunder or for damages, either to the full amount of the bond or otherwise.

20.90.490 Indemnification of City.

The grantee shall, concurrently with the filing of an acceptance of award of any franchise granted under this title, furnish to the City and file with the Director of Administrative Services and at all times during the existence of any franchise granted hereunder maintain in full force and effect, at its own cost and expense, a liability insurance policy in the amount of $100,000, in a company approved by the City Manager and in a form satisfactory to the City Attorney, indemnifying and saving harmless the City, its officers and employees from and against any and all claims, demands, actions, suits, and proceedings by others, against all liability to others, including but not limited to any liability for damages by reason of or arising out of any failure by the grantee to secure consent from the owners, authorized distributors or licensees of programs to be delivered by the grantee’s CATV system, and against any loss, cost, expense and damages resulting therefrom, including reasonable attorney’s fees, arising our of the exercise or enjoyment of its franchise, irrespective of the amount of the comprehensive liability insurance policy required hereunder.

20.90.500 Liability insurance.

The grantee shall, concurrently with the filing of an acceptance of award of any franchise granted under this title, furnish to the City and file with the City Clerk, and at all times during the existence of any franchise granted hereunder maintain in full force and effect, at its own cost and expense, a general comprehensive liability insurance policy, in protection of the City, its officers, boards, commissions, agents and employees, in a company approved by the City Manager and a form satisfactory to the City Attorney, protecting the City and all persons against liability for loss or damage for personal injury, death and property damage, occasioned by the operations of grantee under such franchise, with minimum liability limits of $100,000 for personal injury or death of any one person and $300,000 for personal injury or death of two or more persons in any one occurrence and $50,000 for damage to property resulting from any one occurrence.

The policies mentioned in the foregoing paragraph shall name the City, its officers, boards, commissions, agents and employees, as additional insured and shall contain a provision that a written notice of cancellation or reduction in coverage of the policy shall be delivered to the City 10 days in advance of the effective date thereof; if such insurance is provided by a policy which also covers grantee or any other entity or person other than those above named, then such policy shall contain the standard cross liability endorsement.

Article VII. Administration and Operations

20.90.510 Inspection of property and records.

At all reasonable times, the grantee shall permit any duly authorized representative of the City to examine all property of the grantee, together with any appurtenant property of the grantee situated within or without the City, and to examine and transcribe any and all maps and other records kept or maintained by the grantee or under its control which deal with the operation, affairs, transactions or property of the grantee with respect to its franchise. If any such maps or records are not kept in the City, or upon reasonable request made available in the City, and if the Council shall determine that an examination thereof is necessary or appropriate, then all travel and maintenance expense necessarily incurred in making such examination shall be paid by the grantee.

20.90.520 Reports.

The grantee shall prepare and furnish to the Director of Public Services and the Director of Administrative Services at the times and in the form prescribed by either of the officers, such reports with respect to its operations, affairs, transactions or property, as may be reasonably necessary or appropriate to the performance of the rights, functions or duties of the City or any of its officers in connection with the franchise.

20.90.530 Plans and records on file.

The grantee shall at all times make and keep in the City full and complete plans and records showing the exact location of all CATV system equipment installed or in use in streets and other places in the City.

20.90.540 Maps on file.

The grantee shall file with the Director of Public Services, on or before the last day in January of each year, a current map or set of maps drawn to scale showing all CATV system equipment installed and in place in streets and other public places of the City.

20.90.550 Operational standards.

The CATV system shall be installed and maintained in accordance with the highest and best accepted standards of the industry to the effect that subscribers shall receive the highest possible service. In determining the satisfactory extent of such standards, the following among others shall be considered:

A. That the system be installed using all band equipment capable of passing the entire VHF and FM spectrum, and that it have the further capability of converting UHF for distribution to subscribers on the VHF band;

B. That the system, as installed, be capable of passing standard color TV signals without the introduction of material degradation of color fidelity and intelligence;

C. That the system and all equipment be designed and rated for 24 hours per day continuous operation;

D. That the system provides a nominal signal level of 2,000 microvolts at the input terminals of each TV receiver;

E. That the system signal to noise ratio is not less than 40 decibels;

F. That the modulation of the picture signal is less than five percent;

G. That the system use components having a SWR of 1.4 or less;

H. That the system shall comply fully with all technical standards prescribed by the Federal Communications Commission for CATV systems.

20.90.560 Filing, costs, location and service.

When not otherwise prescribed in this title, all matters herein are required to be filed with the Director of Administrative Services.

20.90.570 Reimbursement for publication expenses.

The grantee shall pay to the City a sum of money sufficient to reimburse it for all publication expenses incurred by it in connection with the granting of a franchise pursuant to the provisions of this title. Such payment shall be made within 30 days after the City furnishes the grantee with a written statement of such expenses by delivery of same to the Director of Administrative Services.

20.90.580 Office location.

The grantee shall maintain an office within the City limits or at a location which subscribers may call without incurring added message or toll charges so that CATV maintenance service shall be promptly available to subscribers.

20.90.590 Refusal of service.

No person, firm or corporation in the existing service area of the grantee shall be arbitrarily 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 monthly service charge.

20.90.600 Use of utility poles and facilities – Agreement.

When any portion of the CATV system is to be installed on public utility poles and facilities, certified copies of the agreement for such joint use of poles and facilities shall be filed with the Director of Administrative Services.

20.90.610 Application for franchise.

Application for a franchise hereunder shall be in writing, shall be filed with the Director of Administrative Services, and shall contain the following information:

A. The name and address of the applicant. If the applicant is a partnership, the name and address of each partner shall also be set forth. If the applicant is a corporation, the application shall also state the names and addresses of its directors, main office, major stockholders and associates, and the names and addresses of parent and subsidiary companies;

B. A statement and description of the CATV system proposed to be constructed, installed, maintained or operated by the applicant; the proposed location of such system and its various components; the manner in which applicant proposes to construct, install, maintain and operate the same; and, particularly, the extent and manner in which existing or future poles or other facilities or other public utilities will be used for such system;

C. A description, in detail, of the public streets, public places and proposed public streets within which applicant proposes or seeks authority to construct, install or maintain any CATV equipment or facilities; a detailed description of the equipment or facilities proposed to be constructed, installed or maintained therein; and the proposed specific location thereof;

D. A map specifically showing and delineating the proposed service area or areas within which applicant proposes to provide CATV services and for which a franchise is requested;

E. A statement or schedule in a form approved by the City Council of proposed rates and charges to subscribers for installation and services and a copy of proposed service agreement between the grantee and its subscribers shall accompany the application. For unusual circumstances, such as underground cable required, or more than 150 feet of distance from cable to connection of service to subscribers, and additional installation charge over that normally charged for installation as specified in the applicant’s proposal may be charged, with easements to be supplied by subscribers. For remote, relatively inaccessible subscribers with the City, service may be made available on the basis of cost of materials, labor, and easements if required by the grantee;

F. A copy of any contract, if existing between the applicant and any public utility providing for the use of facilities of such public utility, such as poles, lines, or conduits;

G. A statement setting forth all agreements and understandings, whether written, oral or implied, existing between the applicant and any person, firm or corporation with respect to the proposed franchise or the proposed CATV operator. If a franchise is granted to a person, firm or corporation posing as a front or as the representative of another person, firm or corporation, and such information is not disclosed in the original application, such franchise shall be deemed void and of no force and effect whatsoever;

H. A financial statement prepared by a certified public accountant, or person otherwise satisfactory to the Council, showing applicant’s financial status and his financial ability to complete the construction and installation of the proposed CATV system;

I. Each applicant shall, at the time of filing an application, deposit the sum of $50,000 in cash with the City Treasurer as an advance on the percentage payments to be due the City when the system is in operation. Any franchise granted as provided in this code shall provide for such deposits and for the forfeiture thereof as liquidated damages for nonperformance of any and all terms of the franchise. Any interest earned on said deposit shall be the property of the applicant. In the event the City, in the opinion of the City Council, shall require the services of a consultant to advise the City Council and the City Manager upon the technical aspects of the franchise the cost of such services shall be charged equally to all applicants for franchises and the share due from each applicant shall be deducted from his deposit at the time the franchise is granted. The deposit of all unsuccessful applicants, and any interest earned thereon less the above mentioned deduction, shall be returned at the time the franchise is granted.

20.90.620 Action on application.

Upon consideration of any such application, the Council may refuse to grant the requested franchise or the Council may by ordinance grant a franchise for a CATV system to any such applicant as may appear from said application to be in its opinion best qualified to render proper and efficient CATV service to television viewers and subscribers in this City. The Council’s decision in the manner shall be final. If favorably considered, the applicant submitted shall constitute and form part of the franchise as granted.

20.90.630 Franchise conditions.

Any franchise granted pursuant to this title shall include the following condition: “The CATV system herein franchised shall be used and operated solely and exclusively for the purpose expressly authorized by Chapter 20.90 of the Municipal Code of the City of Coronado and no other purpose whatsoever.” Inclusion of the foregoing statement in any such franchise shall not be deemed to limit the authority of the City to include any other reasonable condition, limitation or restriction which it may deem necessary to impose in connection with such franchise pursuant to the authority conferred by this title.

20.90.640 Franchise renewal.

Any franchise granted under this title is renewable at the application of the grantee, in the same manner and upon the same terms and conditions as required herein for obtaining the original franchise, except those which are by their terms expressly inapplicable; provided, however, that the Council may at its option waive compliance with any or all of the requirements of CMC 20.90.610.

20.90.650 Acceptance and effective date of franchise.

No franchise granted pursuant to the provisions of this title shall become effective unless and until the ordinance granting same has become effective and, in addition, unless and until all things required in this section and CMC 20.90.060, 20.90.080, and 20.90.090 are done and completed, all of such things being hereby declared to be conditions precedent to the effectiveness of any such franchise granted hereunder. In the event any of such things are not done and completed in the time and manner required, the Council may declare the franchise null and void.

20.90.660 Filing acceptance of franchise.

Within 25 days after the effective date of the ordinance awarding a franchise, or within such extended period of time as the Council in its discretion may authorize, the grantee shall file with the Director of Administrative Services his written acceptance, in form satisfactory to the City Attorney, for the franchise together with the bond and insurance policies required by CMC 20.90.470 through 20.90.500. (Ord. 1956 § 3, 2004)

Article VIII. Violations

20.90.670 Franchise required for distribution of signal.

It is unlawful for any person to establish, operate or to carry on the business of distributing to any persons in this City any television signals or radio signals by means of a CATV system unless a franchise therefor has first been obtained pursuant to the provisions of this title, and unless such franchise is in full force and effect.

20.90.680 Franchise required for construction.

It is 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 signal or radio signal through a CATV system, unless a franchise authorizing such use of such street or property or area has first been obtained pursuant to the provisions of this title, and unless such franchise is in full force and effect.

20.90.690 Unauthorized connection.

It is unlawful for any person, firm or corporation to make any unauthorized connection, whether physically, electrically, acoustically, inductively or otherwise, with any part of a franchise CATV system within this City for the purpose of taking or receiving television signals, radio signals, pictures, programs or sound.

20.90.700 Payment required.

It is unlawful for any person, firm or corporation to make any unauthorized connection, whether physically, electrically, acoustically, inductively or otherwise, with any part of a franchised CATV system within this City for the purpose of enabling himself or others to receive any television signal, radio signal, picture, program or sound, without payment to the owner of such system.

20.90.710 Tampering with or injuring equipment.

It is unlawful for any person, without the consent of the owner, to willfully tamper with, remove or injure any cables, wires or equipment used for distribution of television signals, radio signal pictures, programs or sound.

20.90.720 Charging tenants of customers.

It is unlawful for any person, firm, or corporation to make any charge to any tenant of said person, firm, or corporation for CATV service in excess of the amount actually being paid to the operator of the CATV system for service to the premises occupied by the tenant. For purposes of this section, the amount actually paid for service to any premises in multiple apartments, or other multiple units, shall be calculated by dividing the total service charge per month by the total number of outlets. Tenants may be charged the actual costs of connection charges for their premises.

20.90.730 Penalty for violation.

Any person, firm or corporation which violates a provision of this chapter shall be guilty of an infraction.