Chapter 5.26
VIDEO PEG FEES

Sections:

5.26.005    State franchisee—Definition.

5.26.010    PEG fee.

5.26.020    Audit authority.

5.26.030    Customer service penalties under State franchises.

5.26.040    Re-authorization.

5.26.005 State franchisee—Definition.

For purposes of this chapter, the term “State franchisee” means a holder of a video franchise regulated by the California Public Utilities Commission and subject to the Digital Infrastructure and Video Competition Act of 2006. [Ord. 5290 § 20, 2019].

5.26.010 PEG fee.

(A)    Any State franchisee operating within the boundaries of the franchise held by United Cable Television of Santa Cruz, Inc. (“UCTCSC”) and UACC Midwest, Inc. (the “Comcast service area”) as said boundaries existed on January 1, 2013, shall calculate and remit to the County a public, educational and governmental (“PEG”) fee equal to 2.14 percent of the gross revenue of the State franchisee collected within the Comcast service area.

(B)    Any State franchisee operating within the boundaries of the franchise held by CCO SoCal I, LLC (the “Charter service area”) as said boundaries existed on January 1, 2013, shall calculate and remit to the County a PEG fee equal to 1.18 percent of the gross revenue of the State franchisee collected within the Charter service area.

(C)    Gross revenue for the purposes of subsections (A) and (B) of this section shall be as defined in California Public Utilities Code Section 5860.

(D)    A State franchisee initiating service within the County after the effective date of the ordinance establishing this chapter shall calculate and remit to the County a public, educational and governmental (“PEG”) fee equal to 2.14 percent of the gross revenue of the State franchisee unless it provides documentation to the County in the form of substantial evidence that it is operating within the boundaries of the franchise held by Charter Communications (the “Charter service area”) as said boundaries existed on January 1, 2013. [Ord. 5180 § 1, 2014].

5.26.020 Audit authority.

Not more than once annually, the County may examine and perform an audit of the business records of a State franchisee to ensure compliance with SCCC 5.26.010. [Ord. 5180 § 1, 2014].

5.26.030 Customer service penalties under State franchises.

(A)    A State franchisee shall comply with all applicable State and Federal customer service and protection standards pertaining to the provision of video service.

(B)    The County Administrative Officer, or their designee, shall monitor the compliance of State franchisee(s) with respect to State and Federal customer service and protection standards. The County Administrative Officer, or their designee, shall provide the State franchisee(s) written notice of any material breaches of applicable customer service standards, and shall allow the State franchisee(s) 30 days from the receipt of the notice to remedy the specified material breach. Material breaches not remedied within the 30-day time period shall be subject to the following penalties imposed by the County Administrative Officer, or their designee:

(1)    For the first occurrence of a violation, a fine of $500.00 shall be imposed for each day the violation remains in effect, not to exceed $1,500 for each violation.

(2)    For a second violation of the same nature within 12 months, a fine of $1,000 shall be imposed for each day the violation remains in effect, not to exceed $3,000 for each violation.

(C)    A State franchisee may appeal a penalty to the Board of Supervisors within 60 days after the penalty is assessed. After relevant speakers are heard, and any necessary staff reports are submitted, the Board will vote to uphold, modify, or vacate the penalty. [Ord. 5290 § 19, 2019; Ord. 5180 § 1, 2014].

5.26.040 Re-authorization.

The Board of Supervisors of the County of Santa Cruz hereby re-authorizes the fee on state franchised video service providers to support public, educational, and governmental channel facilities adopted by Ordinance 5180 § 1, 2014. The fee shall remain unchanged and in full effect as to all state-franchised service providers. [Ord. 5267 § 1, 2018].