Chapter 5.40 CABLE TELEVISION SYSTEMS

Chapter 5.40
CABLE TELEVISION SYSTEMS

5.40.001 Preamble.

5.40.005 Definitions.

5.40.010 Franchise to operate.

5.40.020 Public, educational and government programming service.

5.40.030 System design standards.

5.40.040 Subscriber complaints.

5.40.050 Subscriber complaints; failure to remedy.

5.40.060 Government services.

5.40.070 Interconnection.

5.40.080 Uses permitted.

5.40.090 Duration of franchise.

5.40.100 Renewal.

5.40.110 Franchise payments.

5.40.120 Limitations of franchise.

5.40.130 Rights reserved to the grantor.

5.40.140 Location of the property of grantee.

5.40.150 Removal and abandonment of property of grantee.

5.40.160 Continuity of service.

5.40.170 Changes required by public improvements.

5.40.180 Failure to perform street work.

5.40.190 Faithful performance bond.

5.40.200 Customer service and reception quality.

5.40.210 Indemnification of grantor.

5.40.220 Inspection of property and records.

5.40.230 Operational standards.

5.40.240 Emergency use of facilities.

5.40.250 Regulation of rates and service.

5.40.260 Modifications.

5.40.270 Use of utility poles and facilities agreement.

5.40.280 Application for an initial franchise.

5.40.290 Acceptance and effective date of a franchise.

5.40.300 Construction schedule.

5.40.310 Line and service extensions; tree trimming.

5.40.320 Community Television Authority.

5.40.330 Cable casting facilities.

5.40.340 Subscriber protection.

5.40.350 Service standards.

5.40.360 Equal opportunity employment.

5.40.370 Miscellaneous provisions.

5.40.380 Violations.

5.40.390 Violations/penalties.

5.40.400 Severability.

5.40.410 Waiver.

5.40.001 Preamble.

This chapter provides policy direction governing award and operation of cable television franchises. Individual franchises may differ subject to their respective franchise agreements. This chapter and individual franchise agreements are intended to complement each other and to be read together in a consistent manner. Where there is a direct inconsistency between the provisions of this chapter and a franchise agreement, the provision of the franchise agreement shall prevail. To the extent that the public interest can be reasonably served, the grantor intends to rely wherever possible on competitive factors and the marketplace to oversee cable franchises. However, the grantor reserves all rights under federal and state law to regulate its cable franchises. (Ord. 1248 (part), 1999).

5.40.005 Definitions.

For the purpose of this chapter, the following terms, phrases, words, abbreviations, and their derivations shall have the meaning given herein. When not inconsistent with the context, words used in the present tense include the future tense and the singular number and words in the singular number include the plural number:

(a) "City" shall mean the city of Marysville, a municipal corporation of the state of California in its present incorporated form or in any later reorganized, consolidated, enlarged or reincorporated form.

(b) "City council" shall mean the present governing body of the grantor or any future board constituting the legislative body of the grantor.

(c) "Community Television Authority, CTA and JPA" shall mean a joint powers authority established in cooperation with other governmental agencies to jointly administer designated portions of this chapter.

(d) "Chief administrative officer" shall mean the grantor’s manager, administrator, or other designation of the grantor’s chief executive office or any designee thereof.

(e) "Franchise" shall mean an initial authorization or renewal thereof, issued by the grantor, which authorizes the construction or operation of a cable system. 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 this city.

(f) "Grantee" shall mean the person, firm or corporation granted a franchise by the grantor under this chapter, and the lawful successor, transferee or assignee of said person, firm or corporation.

(g) "Grantor" shall mean the city.

(h) "Street" shall mean 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 under control of the grantor.

(i) "Property of grantee" shall mean all property owned, installed, or used in the jurisdiction by a grantee in the conduct of a cable television system business in the jurisdiction under the authority of a franchise granted pursuant to this chapter.

(j) "Subscriber" shall mean any person or entity who elects to subscribe to, for any purpose, a service provided by a grantee by means of or in connection with the cable system, and who pays the charges therefor.

(k) "Cable television system" or "system," also referred to as "cable communications system," "CATV," "CTV" or "cable system," means a facility or facilities consisting of a set of closed transmission paths and associated signal generation, reception, and control equipment, that is designed to provide cable service which includes video programming and which is provided to one or more subscribers within the franchise area, but such term does not include:

(1) A facility that serves only to transmit television signals of one or more television broadcast stations;

(2) A facility that serves subscribers without using any public right-of-way;

(3) A facility of a common carrier, except that such facility shall be considered a cable system to the extent such facility is used in the transmission of video programming directly to subscribers unless the extent of such use is solely to provide interactive on-demand services;

(4) Any facilities of any electric utility used solely for operating its electric utility system; or

(5) An "open video system" which complies with Section 653 of the Telecommunications Act of 1996.

(l) "Gross revenues" shall mean means the gross revenues derived annually from the operation of the cable system to provide cable services.

(m) "Basic cable services," "basic services," or "basic service tier" shall mean any service tier which includes the retransmission of local television broadcast signals. (Ord. 1248 (part), 1999).

5.40.010 Franchise to operate.

(a) A nonexclusive franchise to construct, operate, maintain and reconstruct a cable television system within the entire city may be granted by the city by ordinance, 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 chapter.

(b) Cable Television Franchise Renewal Agreement—See Exhibit A, Ordinance 1249.

A franchise granted under the provisions of this chapter shall encompass the following purposes:

(1) To engage in the business of providing cable television service, and such other services as may be permitted by law, including but not limited to data services, which grantee chooses to provide to subscribers within the designated service area.

(2) To erect, install, construct, repair, rebuild, reconstruct, replace, maintain, and retain, cable lines, related electronic equipment, supporting structures, appurtenances, and other property in connection with the operation of the cable system in, on, over, under, upon, along and across streets or other public places within the designated service area.

(3) To maintain and operate said franchise properties for the origination, reception, transmission, amplification, and distribution of television and radio signals and for the delivery of cable services, and such other services as may be permitted by law, including but not limited to data services.

(4) To set forth the obligations of a grantee under the franchise.

Grantor specifically reserves the right to grant, at any time, such additional franchises for a cable television system as it deems appropriate, subject to applicable state and federal law. Grantor may grant an additional franchise only after conducting a public hearing on the grant of the additional franchise(s). (Ord. 1249 (part), 1999; Ord. 1248 (part), 1999).

5.40.020 Public, educational and government programming service.

(a) General Channel Requirement. Subject to the specific terms of a franchise agreement, including conditions under which one or more public, education and government (PEG) channels shall be activated for PEG use, there shall be a minimum of one channel dedicated for exclusive PEG use. The channel, in the sole discretion of the grantor, or the Community Television Authority, may be utilized in any PEG combination and may be shared with other communities or designated for exclusive use within the grantor’s jurisdiction.

(b) Subject to the specific terms of a franchise agreement and technical feasibility, upon one hundred twenty days’ written notice, grantee shall provide the capability for its system to accept video and audio signals from up to two locations within the geographical boundaries of the grantor and distribute them on the PEG channels designated by the grantor or the CTA. Grantee, at no charge to the grantor or the CTA, shall be responsible for the facilities, maintenance, and operation necessary to transport the signals to its head end and through to subscribers. Not more frequently than once every three years, the grantor or the CTA may change or redesignate the locations for video and audio signal acceptance. (Ord. 1248 (part), 1999).

5.40.030 System design standards.

Grantee shall construct, install, operate and maintain its system in a manner consistent with all applicable laws, ordinances, construction standards, governmental requirements and FCC technical standards. In addition, the grantee shall provide to grantor, upon request, a written report of the results of grantee’s periodic proof of performance tests conducted pursuant to the FCC standards and guidelines. (Ord. 1248 (part), 1999).

5.40.040 Subscriber complaints.

In addition to other service regulations adopted by the grantor, 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 the malfunction promptly, but in no event longer than twenty-four hours after occurrence, irrespective of holidays or other nonbusiness hours.

(b) Upon a complaint by a subscriber, make a demonstration satisfactory to the chief administrative officer that a signal is being delivered to the subscriber which is of sufficient strength and quality to meet the standards set forth in the regulations of the Federal Communications Commission.

(c) Render efficient service, making repairs promptly and interrupting services only for good cause and for the shortest time possible. Planned interruptions, insofar as possible, shall be preceded by notice given to subscribers no less than twenty-four hours in advance and shall occur during period of minimum use of the system.

(d) Maintain an office in the city or at a location which subscribers may call without incurring added message or toll charges and which office shall be open during all the usual business hours, with its telephone listed in directories of the telephone company serving the grantor, and be so operated that complaints and requests for repairs or adjustment may be received at any time, day or night, seven days a week, or provide a local telephone directory listing and "toll free" telephone service maintained on a seven day, twenty-four hour basis for the receipt of consumer complaints.

(e) Maintain a written or electronic record, "log" or written complaint file listing date of complaints, identifying the subscriber and describing the nature of the complaint, and when and what action was taken by grantee in response thereto; said record shall be kept at grantee’s local office, for a period of two years from the date of complaint, and shall be available for inspection during regular business hours without further notice of demand, by the chief administrative officer (or his designee).

(f) Within sixty days of acceptance of the grant of a franchise, grantee shall establish written procedures for receiving, acting upon and resolving subscriber complaints without intervention by the grantor. The written procedures shall prescribe the manner in which a subscriber may submit a complaint either orally or in writing specifying the subscriber’s grounds for dissatisfaction. The procedures shall include a requirement that the grantee respond to any written complaint from a subscriber within thirty days of its receipt. Grantee shall file a copy of these procedures with the grantor. The grantee shall provide to each subscriber upon commencement of the subscriber’s service and at least annually thereafter, a copy of the complaint procedure. (Ord. 1248 (part), 1999).

5.40.050 Subscriber complaints; failure to remedy.

In addition to any other penalty provisions in the franchise, if a subscriber files in writing with the grantor a complaint for a service problem which is preventable and reasonably within the grantee’s control, and if such grantee fails within a reasonable period following receipt of written notice by the grantor to remedy the problem, the grantor may levy a penalty of up to five hundred dollars for any occurrence or series of related occurrences, unless the grantee has fewer than five thousand subscribers (in the grantor) in which case the penalty shall not exceed two hundred dollars. If the grantee objects to the penalty in writing to the grantor, within a reasonable period, the grantee arid grantor may, upon mutual agreement, conduct arbitration in accordance with the rules of the American Arbitration Association. The decision of the arbitrator shall be final. (Ord. 1248 (part), 1999).

5.40.060 Government services.

(a) With respect to providing programming on the community programming channels and as set forth in a franchise agreement, the grantor and the grantee may agree that grantee shall provide, at the request of the chief administrative officer, use of the grantee’s studio, equipment and technical services for production of live and videotaped municipal programs, subject to scheduling requirements of the grantee.

(b) The grantee shall provide all basic subscriber services and connections without cost, to all public and non-profit schools and community colleges within the grantor, and to all buildings owned and/or controlled by the grantor, including fire stations and police stations, used for public purposes and not (exclusively) for residential use. Such buildings may be designated by the chief administrative officer from time to time; provided, however, that such buildings shall be located within the franchise area. Grantee shall install, without charge to grantor or such public or private schools, up to two hundred fifty feet of service connection from the transmission cable otherwise maintained or required to be maintained by grantee for the service of paying subscribers of grantee. The grantor or any such public or private school shall pay to the grantee the costs of all labor and materials supplied by grantee for the installation of any service connection in excess of the initial two hundred fifty feet. (Ord. 1248 (part), 1999).

5.40.070 Interconnection.

Grantee’s system distribution plant shall be constructed such that the public service and local origination channels can be reasonably connectable with all adjoining present or future systems. The grantor, the grantee, and the CTA shall work both among themselves and with other political jurisdictions to encourage and facilitate the interconnection of this system with those of adjoining jurisdictions on a composite or exclusive basis. Grantee shall design the system to provide the ability to interconnect with other systems via either microwave and/or direct trunk transportation line extending from the system head-in or nearest hub to a point at the edge of the franchise area adjacent to each neighboring jurisdiction. The CTA is hereby authorized and encouraged to devote a portion of its funding to programs, which encourage and facilitate interjurisdictional programming. (Ord. 1248 (part), 1999).

5.40.080 Uses permitted.

(a) 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 CATV system in the grantor’s jurisdiction, 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, cables, conductors, ducts, conduit, 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 jurisdiction.

(b) The granting of a franchise pursuant to this chapter shall not be construed as permission or authority to enter on, occupy, or otherwise use private property without the express consent of the owner or agency in possession thereof. (Ord. 1248 (part), 1999).

5.40.090 Duration of franchise.

No franchise granted under this chapter shall be for a term longer than fifteen years following the date of acceptance of such franchise by the grantee or the renewal thereof unless the grantor determines that it is in the public interest to grant a franchise with a term longer than fifteen years.

Any franchise granted under this chapter may be terminated prior to its date of expiration by the grantor in the event that grantor shall have found, after no less than thirty days’ notice of any proposed termination and following a public hearing at which grantee shall have the right to present testimony and cross examine witnesses, that:

(a) The grantee has knowingly, and willingly failed to comply with any material provision of this chapter or, by act or omission, has knowingly, and willingly violated any material term or condition of any franchise or permit issued hereunder; or

(b) Grantor acquires the cable system of the grantee. (Ord. 1248 (part), 1999).

5.40.100 Renewal.

Any renewal of an existing franchise shall be in accordance with the requirements of federal law. An application for renewal shall be accompanied by a renewal application deposit in the amount of seven thousand five hundred dollars. The applicant shall pay the reasonable costs of the grantor for the renewal application as set forth in the last paragraph of Section 5.40.280(c). (Ord. 1248 (part), 1999).

5.40.110 Franchise payments.

(a) Immediately upon execution of the franchise, the grantee shall pay to the grantor, quarterly within sixty days of the end of each quarter, the sum of five percent of gross revenues as defined in Section 5.40.005(l), received for operations in the city for the preceding quarter. No other fee, charge or consideration shall be imposed except such business license fees, construction, development and inspection, and permit fees as set by the grantor and applicable to qualifying businesses and individuals in the community.

(b) The grantee shall file with the grantor, within ninety days after the expiration of any calendar year or portion thereof during which this franchise is in force, either an audited financial statement prepared by an independent certified public accountant or certified by an officer of grantee, certifying under penalty of perjury, and in a form satisfactory to the grantor’s financial officer, showing in detail the gross annual receipts, as defined herein, of grantee. The statement shall fully reconcile any and all discrepancies in the fees paid in the preceding twelve months. The statement shall be prepared in accordance with generally accepted accounting standards. Upon reasonable notice and during regular business hours, grantor shall have the right to inspect the grantee’s record, and make copies thereof, covering its gross subscriber revenues under the franchise and the right of audit and recomputation of any and all amounts payable under this chapter; the cost of said audit shall be borne by grantee when the same results in increasing by more than five percent the grantee’s annual payment to the grantor. No acceptance of any payments shall be construed as a release or as an accord in satisfaction of any claim the grantor may have for further or additional sums payable under this chapter or for the performance of any other obligation hereunder. (Ord. 1248 (part), 1999).

5.40.120 Limitations of franchise.

(a) Any 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 herein.

(c) Any privilege claimed under any franchise by the grantee in any street or other public property shall be subordinate to any prior lawful occupancy of the street or other public property.

(d) Transfer and Assignment.

(1) Except as otherwise expressly provided herein, the rights granted under this franchise shall not be sold, transferred, assigned, leased, sublet or otherwise encumbered for any purpose whatsoever, nor shall title thereto, either legal or equitable or any right, interest or property therein, pass to or vest in any person without the prior written consent of the grantor.

(2) Notwithstanding the foregoing, the franchise may be transferred without grantor’s consent to a wholly owned subsidiary of grantee which expressly agrees, in writing, to assume responsibility for the obligations under the franchise and to comply with all provisions of the franchise if, after completion of the transfer, the subsidiary of grantee has an asset value equal to or greater than the existing grantee. At least sixty days prior to such transfer, grantee shall notify grantor in writing of the proposed transfer. The notice to grantor shall describe the proposed transfer or assignment, the asset value of the proposed transferee or assignee and the corporate structure proposed upon completion of the transfer or assignment. Grantor may request additional information regarding the transfer and grantee shall provide the additional information promptly upon receipt of the request. Grantee shall notify grantor in writing, within ten days of the completion of the transfer or assignment, that the transaction has been completed and shall provide documentation of the transaction and the name and address of the chief executive officer of the new transferee or assignee.

(3) The grantee shall notify the grantor of any actual or proposed change in, or transfer of, or acquisition by any other party of, control of the franchise. The word "control" as used herein is not limited to major stockholders but includes actual working control in whatever manner exercised amounting to or exceeding twenty-five percent ownership. For the purpose of determining whether it shall consent to such change, transfer, or acquisition of control, the grantor shall, consistent with federal law, only consider the legal, financial and technical qualifications of the proposed transferee to operate the cable system. The notice and request for approval of a transfer or change in control under this section shall be accompanied by a deposit in the amount of five thousand dollars. The grantee shall pay the reasonable costs of grantor incurred in reviewing and acting upon the transfer or change in control.

(4) The consent or approval of the grantor to any transfer of the franchise shall not constitute a waiver or release of the rights of the grantor in and to the streets, and any transfer shall by its terms, be expressly subordinate to the terms, provisions and conditions of this franchise.

(5) In any absence of extraordinary circumstances, the grantor will not approve any transfer or assignment of the franchise other than to a wholly owned subsidiary, prior to substantial completion of construction of the upgraded cable system, unless the transferee expressly agrees to assume the responsibility for the completion of the rebuild as provided for in this franchise agreement. In no event shall a transfer of ownership or control be approved without the successor in interest becoming a signatory and obligor to this franchise agreement.

(6) Time shall be of the essence of any 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 or by any failure of the grantor to enforce prompt compliance.

(7) Any right or power in, or duty impressed upon, any officer, employee, department or board of the grantor shall be subject to transfer by the grantor to any other officer, employee, department or board of the grantor with the exception of the power to fine and/or revoke grantee’s franchise.

(8) The grantee shall have no recourse whatsoever against grantor 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.

(9) The grantee shall be subject to all provisions, rules, regulations, and conditions prescribed by federal, state, city, county and local law heretofore or hereafter enacted or established during the term of any franchise granted under this chapter.

(10) Any franchise granted under this chapter shall not relieve the grantee of any obligation involved in obtaining pole or conduit space from any department of the grantor, from any utility company, or from others maintaining poles or conduits in streets.

(11) 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 of maintenance of any CATV system in the grantor’s jurisdiction; and the acceptance of any franchise granted under this chapter shall operate, as between grantee and the grantor, as an abandonment of any and all such rights, privileges, powers, immunities and authorities within the grantor’s jurisdiction, to the effect that, as between grantee and the grantor, any and all construction, operation and maintenance by any grantee of any CATV system in the grantor’s jurisdiction shall be, and shall be deemed and construed in all instances and respects to be, under and pursuant to said franchise, and not under or pursuant to any other right, privilege, power, immunity or authority whatsoever. (Ord. 1248 (part), 1999).

5.40.130 Rights reserved to the grantor.

(a) Nothing herein shall be deemed or construed to impair or affect, in any way, to any extent, the right of grantor to acquire the property of the grantee, through the exercise of the right of eminent domain, at a fair market value, which if the franchise expires or is terminated in accordance with Section 5.40.090, 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 grantor’s right of eminent domain.

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

(c) Neither the granting of any franchise under this chapter nor any of the provisions contained herein shall be construed to prevent grantor from granting any identical or similar franchise to any other person, firm or corporation within all or any portion of the grantor.

(d) Grantor retains the power to amend any section or part of this chapter so as to reasonably require additional bonding, insurance or greater standards of construction, operation, maintenance or otherwise on the part of the grantee; provided, however, that any requirements in addition to those set forth at the time a franchise agreement was effective and applicable only to grantees under this chapter shall only be effective as to a particular grantee upon renewal of that grantee’s franchise or with the consent of the grantee.

(e) Neither the granting of any franchise under this chapter nor any provision hereof shall constitute a waiver or bar to the exercise of any governmental right or power of the grantor.

(f) The grantor 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 is hereby authorized and empowered to adjust, settle, or compromise any controversy or charge arising from the operations of the grantee. Either the grantee or any member of the public who may be dissatisfied with the decision of the chief administrative officer may within ten days of the decision appeal the matter to the city council for hearing and determination. Except as otherwise herein expressly provided, the city council may accept, reject or modify the decision of the chief administrative officer, and the city 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. The chief administrative officer prior to rendering a decision may refer the matter to the CTA for advice. Nothing herein may be construed to restrict or otherwise interfere with any right of appeal available to grantee under federal or state law.

(g) Any grantee licensed under this chapter is authorized to serve the grantor’s entire geographic area now existing and any new territory annexed thereto in the future. Grantee must provide service to all residential dwellings requesting service, subject to grantee’s line extension policy as approved by grantor as part of the franchise agreement. (Ord. 1248 (part), 1999).

5.40.140 Location of the property of grantee.

(a) Any poles, wires, cable lines, conduits or other properties of the grantee to be constructed or installed in streets, shall be so constructed or installed only at such locations and in such manner as shall be approved by the public works director acting in the exercise of his reasonable discretion.

(b) The grantee shall not install or erect any facilities or apparatus in or on other public property, places or rights-of-way, or within any privately owned area within the grantor’s jurisdiction which has not yet become a public street on any tentative subdivision map approved by the grantor, except those installed or erected upon public utility facilities now existing, without obtaining the prior written approval of the public works director.

(c) The developer or property owner of new construction or development shall give sixty days’ notice to grantee of that new construction or development. Grantee agrees to participate in any joint trench coordinating committee established within the franchise area by grantor for the purpose of participating in joint trench projects for the franchise area.

(d) Grantee may participate in joint trench opportunities where new development’s dwelling units, when occupied, will not meet the line extension policy approved in the franchise agreement, but grantee shall participate where the new development’s dwelling units, when occupied, would meet the line extension policy approved in the franchise agreement. Grantee may be involved in all design aspects of the new construction or development that relate to the infrastructure required for cable service, including the provision of specifications and engineering assistance prior to construction. The costs of easements, trenching, and construction of the conduits required to bring cable service to the new construction or development will be borne by the grantee, the developer, or the property owner, as may be agreed upon between them. Grantee will bear all costs of installing cable, amplifiers, and other equipment required to construct and operate the cable system. (Ord. 1248 (part), 1999).

5.40.150 Removal and abandonment of property of grantee.

(a) In the event that the use of any part of the CATV system is discontinued for any reason for a continuous period of six 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 chapter, or the franchise has been terminated, canceled or has expired, the grantee, upon being given sixty days’ notice, shall promptly at no expense to the grantor remove from the streets or public places all such property and poles of such system other than any which the public works director 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 public works director. Removal of abandoned property if not performed by grantee, may be done by the grantor, and billed to the grantee at grantor’s option.

(b) Any property of the grantee remaining in place thirty days after the termination or expiration of the franchise shall be considered permanently abandoned. The public works director may extend such time not to exceed an additional thirty days.

(c) Any property of the grantee to be abandoned in place shall be abandoned in such a manner as the public works director shall prescribe. Subject to the provisions of any utility joint use attachment agreement, upon permanent abandonment of the property of the grantee in place, the property shall become that of the grantor and the grantee shall submit to the public works director an instrument in writing, to be approved by the city attorney, transferring to the grantor the ownership of such property.

(d) Any and all streets and public ways disturbed or damaged during the construction, operation, maintenance, or reconstruction of the system, shall be promptly restored by the grantee, at its sole expense, to their original condition unless otherwise authorized in writing by grantor. (Ord. 1248 (part), 1999).

5.40.160 Continuity of service.

It shall be the right of all subscribers to receive all available services insofar as their financial and other obligations to the grantee are honored. System interruptions or disruptions in excess of twenty-four consecutive hours or for forty-eight total hours during any month shall entitle subscriber(s) upon approval by grantor in accordance with Section 5.40.130(f) to pro rata rebates for the disrupted period. In the event of a change of grantee, the current grantee shall cooperate with the grantor to operate the system for a temporary period to maintain continuity of service to all subscribers. (Ord. 1248 (part), 1999).

5.40.170 Changes required by public improvements.

The grantee, at its expense, shall 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 public works director by reason of traffic conditions, public safety, street vacation, freeway and street construction, change or establishment of street grade, installations of sewers, drains, water pipes, power lines, signal lines, tracks or any other type of structures or improvements by public agencies; provided, however, that the grantee in all cases shall have the privileges and be subject to the obligations to abandon any property of the grantee in place, as provided in Section 5.40.150 of this chapter. If the grantee protests any requirements of the public works director, the matter shall be referred to the chief administrative officer, whose decision shall be final and binding.

Nothing hereunder shall be deemed a taking of the property of grantee and grantee shall not be entitled to any surcharge or other compensation by reason of anything hereunder. (Ord. 1248 (part), 1999).

5.40.180 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 chapter or by its franchise to be done in any street or other public place, within the time prescribed, and to the satisfaction of the public works director. The public works director, at his option, may cause such work to be done and the grantee shall pay to the grantor the cost thereof in the itemized amounts reported by the public works director to the grantee within thirty days after receipt of such itemized report. Except for emergencies when, in grantor’s judgment, there is a likelihood of serious risk of injury to the public, grantor agrees to give grantee written notice of no less than thirty days, of any alleged work failure and provide for a reasonable period to cure. (Ord. 1248 (part), 1999).

5.40.190 Faithful performance bond.

(a) The grantee, concurrently with the filing of an acceptance of award of any franchise granted under this chapter, shall furnish to the grantor and file with the grantor’s clerk, 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 cost and expense, a corporate surety bond issued by a company approved by the grantor’s finance officer and in a form approved by the grantor’s attorney, in an amount to be determined by grantor and established in the franchise agreement but not to exceed one million dollars renewable annually, and conditioned upon the faithful performance of the grantee of all of the grantee’s obligations under this chapter and any franchise agreement, and upon the further condition that in the event grantee shall fail to comply with any one or more of the material provisions of this chapter or of any franchise issued to the grantee under this chapter, there shall be recoverable jointly and severally from the principal and surety of such bond any damages or loss suffered by the grantor as 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 attorneys’ fees and costs, up to the full amount of the bond; said 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 grantor that may have arisen from the acceptance of said franchise or renewal by the grantee or from its exercise of any privilege therein granted. The bond shall provide that thirty days’ prior written notice of intention not to renew, cancellation, or material change, to be given to the grantor. At the end of the first two years of the term of this franchise, the amount of the aforesaid corporation surety bond which the franchise holder shall maintain in full force and effect for the remainder of the term of the franchise shall be in an amount to be determined by grantor but not to exceed two hundred and fifty thousand dollars but shall correspond in all other particulars to the bond required during the first two years of the term as required hereinabove.

(b) Neither the provisions of this section, nor any bond accepted by the grantor pursuant hereto, nor any damages recovered by the grantor pursuant hereto, nor any damages recovered by the grantor thereunder, shall be construed to excuse faithful performance by the grantee or limit the liability of the grantee under any franchise issued under this chapter or for damages, either to the full amount of the bond or otherwise. (Ord. 1248 (part), 1999).

5.40.200 Customer service and reception quality.

(a) Customer Service. Grantor reserves the right to enforce the FCC customer service standards, as now codified at 47 CFR 76.309, or hereafter amended.

(b) Letter of Credit for Customer Service. Grantor may require the posting of a letter of credit to guarantee the quality of grantee’s service to customers, subject to restrictions (if any) agreed upon between grantor and grantee in the franchise agreement. In no case shall grantor require a letter of credit without affording grantee a hearing to present its views on imposing such letter of credit.

(1) The FCC Rules and Regulations, including Part 76, Subpart K (Technical Standards), and any amendments or supplements thereto, will apply to the grantee’s operations to the extent permitted by applicable law.

(2) The head end of the cable system, satellite earth stations, and any hubs must be equipped with an emergency power system in order to maintain continuous power in the event of a local power outage. The standby emergency power system must be capable of providing emergency power for a minimum of three hours.

(3) The cable system must be designed, installed, and operated so as to comply with the following general requirements:

(A) Continuous twenty-four-hour daily operation.

(B) Avoid causing interference with the reception of off-the-air signals by non-subscribers.

(D) Assure that all subscribers will receive standard color and monochrome signals on the FCC-designated Class 1 channels without noticeable picture degradation or visible evidence of color distortion, or other forms of interference that may be attributable to deficiencies in the cable system. (Ord. 1248 (part), 1999).

5.40.210 Indemnification of grantor.

(a) The grantee, concurrently with the filing of an acceptance of award of any franchise granted under this chapter shall indemnify and save harmless grantor, its officers, boards, commissions, agents and employees from all claims, actions, suits, liability, loss expense or damages of every kind and description (including, without limitation, antitrust claims relating to the granting, operation or administration of a franchise if and when available), and including investigation cost, court costs, and attorneys’ fees which may accrue to or be suffered or claimed by a person or persons arising out of the negligence, wrongful acts, errors or omissions of grantee in the ownership, construction, repair, replacement, maintenance and operation of said cable television system and by reason of any license, copyright, property right or patent of any article or system used in the construction or use of said system.

(b) Grantee shall provide and maintain in full force and effect for the term of such franchise or any renewal thereof, at grantee’s sole cost and expense, general comprehensive liability insurance coverage, automobile coverage and workers’ compensation in amounts and in forms established herein or in the franchise agreement and protecting grantor, its officers, boards, commissions, agents against liability for loss or damage for bodily injury, personal injury, death and property damage, occasioned by the operations of grantee under such franchise, with minimum liability limits of one million dollars, for personal injury or death of any person and five hundred thousand dollars, for damage to property resulting from any one occurrence. Workers’ compensation and employer’s liability insurance shall be maintained at the statutory limits.

(c) Proof of Insurance. Policies mentioned in the foregoing paragraph shall designate the grantor, its officers, boards, commissions, agents and employees, as additional insured and shall contain a provision that a written notice of cancellation or reduction in the limits of coverage of said policy shall be delivered to the grantor sixty 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. (Ord. 1248 (part), 1999).

5.40.220 Inspection of property and records.

There shall be kept in the grantee’s office records which shall show the things hereafter set forth. The grantee shall provide such information in such form as may be required by the grantor for said records and provide copies thereof:

(a) The true and entire cost of construction of plant and facilities, of equipment, of maintenance and of the administration and operation thereof; the amount of stock issued, if any; the amount of cash paid in, the number and par value of shares, the amount and character of indebtedness, if any; the rate of taxes; the dividends declared; the character and amount of all fixed charges; the allowance, if any, for interest, for wear and tear and for depreciation; and all amounts and sources of income.

(b) The amount collected annually from subscribers within the grantor’s jurisdiction and the character and extent of the services rendered therefor.

(c) The amount collected annually from other users of service and the character and extent of the service rendered therefor to them.

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

(e) The grantee shall file with the public works director, on or before the last day in March of each year, a current map or set of maps drawn to a scale specified by the public works director, showing the location of all cable lines installed and in place in streets and other public places of the grantor’s jurisdiction on base maps provided by the grantor. The grantee shall make available to grantor upon request, as-built drawing and maps showing the location of all CATV system equipment installed and in place in the streets and other public places within the jurisdiction; however, such as-built drawings and maps shall not become the property of the grantor and shall not be public record. Except in cases of emergency when grantee shall make the as-built drawings and maps available immediately upon request, grantee shall make the as- built drawings and maps available to grantor within three business days of the request.

The information required to be provided pursuant to this section, in addition to any further data which may be required by the grantor, shall be furnished by the grantee to the grantor at the grantee’s own cost and expense. The grantor shall have the right to inspect any records, receive copies of all books, records, maps, construction plans, financial statements, and other like material which are kept by the grantee on his premises at any time during normal business hours, and any grantee record kept at another place shall, within ten days of grantor’s request, be made available at grantee’s premises within the franchise area for grantor’s inspection and/or copying. (Ord. 1248 (part), 1999).

5.40.230 Operational standards.

(a) The performance of grantee’s cable television system shall meet the technical standards as set forth in Section 76.605 or any such other Federal Communications Commission rules or regulations pertaining to operating standards, or any successor section of the Federal Communications rules, as those standards may exist from time to time.

(b) Grantee shall conduct performance tests in accordance with the requirements of Section 76.601 or any successor section of the Federal Communications Commission’s rules, as these requirements may apply or be extended from time to time. (Ord. 1248 (part), 1999).

5.40.240 Emergency use of facilities.

(a) Grantee shall comply with all FCC rules and regulations relating to the national Emergency Alert System (EAS). In the event of any conflict between the federal EAS and these requirements, the federally mandated EAS shall have priority.

(b) Grantee shall provide the capability to enable grantor’s public safety personnel and designated public officials to remotely activate the local component of the EAS so as to provide emergency information to subscribers residing in grantor’s jurisdiction. This capability shall include the ability to interrupt and override the audio signals of all cable channels using remote coded access activation devices. Grantor acknowledges that subscribers in any adjoining jurisdictions commonly served by the cable system may receive any such emergency notifications.

(c) The equipment necessary to remotely activate the local component of the EAS shall be provided by grantee at no expense to the grantor. (Ord. 1248 (part), 1999).

5.40.250 Regulation of rates and service.

Grantor retains the right, at any time during the term of any franchise granted hereunder, to institute regulation of rates and charges, as such regulation may be permitted or authorized under then-current state or federal law. (Ord. 1248 (part), 1999).

5.40.260 Modifications.

If any party to a franchise agreement determines that there have been any modifications of the applicable provisions of the rules and regulations of the Federal Communications Commission or act of Congress which, in that party’s opinion, materially affects the terms of a franchise, that party may, in writing, request that the parties meet and confer to determine what, if any, modifications are required to be incorporated into the franchise to bring the franchise into compliance with the rules, regulation or act of Congress. (Ord. 1248 (part), 1999).

5.40.270 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 agreements to such joint use of poles and facilities shall be filed with the grantor’s clerk. (Ord. 1248 (part), 1999).

5.40.280 Application for an initial franchise.

(a) Application for an initial franchise hereunder shall be in writing, shall be accompanied by an application deposit in the amount of fifteen thousand dollars nonrefundable, and shall be filed with the grantor’s clerk for transmission to the grantor and shall contain the following information:

(1) The legal name and the structure of the entity or entities proposed to hold the franchise and the address of the applicant. If the applicant is a partnership, the application shall state the name and address of each partner. If the applicant is a corporation or limited liability company, the application shall state the names and addresses of its directors, main officers, major stockholders or members, and associates having ten percent or greater financial interest in the corporation, and the names and addresses of parent and subsidiary companies. In all cases, the application shall show the percentage of ownership.

(2) 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 the applicant proposes to construct, install, maintain or operate such system and operate any CATV equipment or facilities; a detailed description of the equipment or facilities proposed to be constructed, installed, maintained or operated therein; and the proposed specific location thereof.

(3) 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 if said area is less than the entire grantor.

(4) A statement or schedule setting forth the number of channels and all of the television or radio stations proposed to be received, transmitted, conducted, relayed or otherwise conveyed over the CATV system, clearly stating those services included as "basic services."

(5) A statement or schedule in a form approved by the chief administrative officer of proposed rates and charges to subscribers for installation and services, and a copy of the proposed service agreement between the grantee and its subscribers shall accompany the application.

(6) 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.

(7) 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 operation. 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.

(8) A current (within twelve months) financial statement prepared by an independent certified public accountant, or person otherwise satisfactory to the grantor showing applicant’s financial status and its financial ability to construct, install, operate and maintain proposed CATV system.

(9) Such supplementary, additional or other information as the grantor may demand at any time, and the applicant shall provide, and which the grantor may deem reasonably necessary to determine whether the requested franchise should be granted.

(b) Upon consideration of any such application, the grantor may refuse to grant the requested franchise or the grantor, by resolution, may 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 the television viewers and subscribers in the grantor. The grantor’s decision in the matter shall be final. If favorably considered, the application submitted shall constitute and form a part of the franchise as granted. It is the intention of this chapter that the franchise shall not be granted upon a cash auction bid, but that the grantor shall consider those factors set forth in California Government Code Section S3066 in granting the franchise, including but not limited to the following:

(1) Quality of service offered;

(2) Rates to the subscriber;

(3) Experience and financial responsibility of the applicant;

(4) Applicant’s proposals for providing service to local schools and city installations;

(5) Whether applicant has a contract with a public utility providing for use of facilities such as poles, lines or conduits of such public utility in the grantor; and

(6) Such other factors as the grantor considers necessary in protecting the public interest.

The cable franchise granted under this Ordinance shall be used for the provision of cable services.

Inclusion of the foregoing statement in any such franchise shall not be deemed to limit the authority of the grantor to include any other reasonable condition, limitation, restriction or authorization which it may deem necessary to impose or include in connection with such franchise pursuant to the authority conferred by this chapter.

The applicant for a franchise shall pay the reasonable costs of the grantor incurred in the processing, reviewing and awarding of the franchise, including but not limited to staff costs, legal costs and consultant costs, if any. The applicant shall submit with its application a deposit, as set forth above, towards payment of these costs, and shall submit additional deposits if notified by grantor that the prior deposits have been expended by the grantor and that additional grantor incurred costs are anticipated. The grantor will not formally consider the application unless all requested deposits have been made prior to the time of the city’s consideration. All of grantor’s costs shall be paid by the applicant prior to the franchise becoming effective. Should grantor determine not to grant a franchise, applicant shall only be entitled to a refund of any deposit in excess of the costs incurred by grantor in reviewing the application. (Ord. 1248 (part), 1999).

5.40.290 Acceptance and effective date of a franchise.

(a) No franchise granted under this chapter shall become effective unless and until the resolution granting the franchise has become effective and, in addition, unless and until all things required in this section and Sections 5.40.200(a) and (b), 5.40.210(a) and (b), 5.40.270 and 5.40.280 are done and completed, all of such things being hereby declared to be conditions precedent to the effectiveness of any such franchise granted under this chapter. In the event any of such things are not done and completed in the time and manner required, the grantor may declare the franchise null and void.

(b) Within thirty days after the effective date of the resolution awarding a franchise, or within such extended period of time as the grantor in its discretion may authorize the grantee shall file with the city clerk its written acceptance of the franchise together with the bond and insurance policies required by Sections 5.40.200(a) and (b) and 5.40.210(a) and (b), and this agreement to be bound by and to comply with to do all things required of him by the provisions of this chapter and the franchise. Such acceptance and agreement shall be acknowledged by the grantee before a notary public, and in form and content shall be satisfactory to and approved by the grantor’s attorney. (Ord. 1248 (part), 1999).

5.40.300 Construction schedule.

(a) Within ninety days after acceptance of this franchise, the grantee shall file all necessary applications to receive 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 the cable television system, 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, state or regulatory commission or agency having jurisdiction with respect to any matters affecting grantee’s cable television operations shall also be submitted simultaneously to a chief administrative officer.

(b) Within two years after the commencement of construction pursuant to subsection (a) of this section, unless the grantor in its discretion designates a shorter time in the franchise, grantee shall complete construction and installation of the entire cable television system and proceed to render service to all residents of the grantor who desire cable television service.

(c) The grantor may in its sole discretion levy a penalty not to exceed five hundred dollars per day for each day the grantee exceeds the construction and installation timetable pursuant to subsections (a) and (b) of this section. (Ord. 1248 (part), 1999).

5.40.310 Line and service extensions; tree trimming.

(a) Line Extensions. Within the franchise area, the grantee shall extend its trunk and distribution system to serve subscribers requesting service where the density of potential subscribers to be inhabited households passed by such extension is equal to or greater than thirty households per mile in areas passed by overhead cable or fifty households per mile in areas passed by underground cable; provided, that all such permission as may be required from the owner of the property is reasonably available, and that service to multiple dwelling units need be provided only on terms acceptable to grantee and property owner. In new housing districts, areas with occupancy densities of occupied homes with densities of more than fifty households per mile which are contiguous to the main trunk line of the cable system will be provided with access to service to the extent service is economically feasible and technically possible. In areas with less than thirty households per mile aerial or fifty households per mile underground, service shall be offered in conformance with grantee’s service extension policies. Grantee shall not be required to extend its trunk and distribution system where the area is already served by another person franchised by the grantor.

(b) Non-Standard Installation. A grantee’s maximum standard length for a service drop shall be no more than one hundred twenty-five aerial feet. For underground drops which require the cutting of pavement curbs, sidewalk, or similar surfaces, and for all drops greater than one hundred twenty-five feet, grantee may charge an installation fee equal to its cost of time and materials plus customary overhead.

(c) Tree Trimming. Grantee or its designees are authorized to trim trees on public property, at its own expense, as may be necessary to protect its wires, facilities, and cable equipment. Grantee, in order to maintain its facilities, including its overhead wires and cables or its underground conduits, may trim trees on public property. Except in cases of emergencies, at least twenty-four hours prior to beginning any work that will affect any tree on public property or any street tree, grantee shall notify grantor’s public works department and obtain permission from grantor’s public works department. Grantee shall not begin work until its plans and procedures have been approved by the public works department. Grantee and grantor may agree to other procedures different from those set forth herein or may agree to a blanket permit to expedite tree trimming. (Ord. 1248 (part), 1999).

5.40.320 Community Television Authority.

(a) Intent. At grantor’s sole option, grantor may provide that the public television and other community channels will be governed by Joint Powers Authority together with other governmental agencies, termed the Community Television Authority, such that these channels may be free of unlawful censorship, open to all residents and available for all lawful forms of public expression, community information, and debate on public issues.

(b) Functions of the Community Television Authority. If formed, the Community Television Authority shall have the following functions:

(1) Responsibility for program production, for management of public access channels, the community channels, and all other channels as may in the future be designated for community-based programming;

(2) To assure that the public access and community channels are made available to all residents of the grantor on a nondiscriminatory basis;

(3) To assure that no unlawful censorship or control over program content exists, except as necessary to comply with FCC regulations or to prohibit material that is obscene, or constitutes a lottery;

(4) To devise, establish, and administer all rules, regulations, and procedures pertaining to the use and scheduling of the public television and community channels;

(5) To prepare, in conjunction with the grantee, such regular or special reports as may be required or desirable by grantor;

(6) To hire and supervise staff;

(7) To make all purchase of materials and equipment that may be required;

(8) To develop additional sources of funding to further community programming, and receive, administer, and expend such funds; and

(9) To perform such other functions relevant to the public and community channel(s) as may be appropriate.

(d) Funding for the CTA. It is the intent of the grantor that the CTA obtain funding from the franchise fee, imposed pursuant to Section 5.40.110.

(e) Grantee Support for the CTA. The grantee shall provide ongoing cooperation with and support to the CTA, with the detailed requirements to be specified in the franchise. As a minimum, the following shall be provided:

(1) The grantee shall provide a high quality studio facility for the use of the CTA as specified in this chapter and the franchise agreement.

(2) The grantee shall provide operational and technical personnel to support the CTA in its cable casting activities, with the minimum level of support as specified in this chapter and in the franchise.

(3) If the CTA is formed, the grantor, together with the other members of the CTA, shall determine the level of monetary support that shall be provided to fund the CTA and its operations.

(f) CTA Reports. The CTA shall provide a report to the grantor at least annually, indicating CTA achievements in community-based programming and services in the form and detail specified by the grantor. The CTA also shall provide a special report to the grantor each time the grantee increases its rates indicating the level and quality of grantee’s support to the CTA since any previous rate increase was implemented.

(g) Public Access Rules. Within one hundred twenty days after the creation of a CTA, the Board of Directors shall complete a set of rules for the use of the public television and community channels, which shall be promptly forwarded to the grantor. The rules shall be prepared in cooperation with the grantee, and confirmed by a contractual agreement between the CTA and the grantee. The rules shall, at a minimum, provide for:

(1) Access on a nondiscriminatory basis for all residents of the franchise area;

(2) Prohibition of any presentation of lottery information, or obscene or indecent material;

(3) Public inspection of a log of producers, which shall be retained by the grantee for a period of two years;

(4) Procedures by which individuals or groups who violate any rule may be prevented from further access to the channel; and

(5) Free use of such reasonable amounts of channel time, cable casting facilities, and technical support as are provided in the agreement between CTA and the grantee. (Ord. 1248 (part), 1999).

5.40.330 Cable casting facilities.

The franchise agreement may provide for the use of grantee’s cable casting facilities by grantor. The agreement may also provide that grantee will provide cable casting facilities to grantor for use in providing programming for the PEG channel(s). (Ord. 1248 (part), 1999).

5.40.340 Subscriber protection.

(a) Discriminatory Practices Prohibited. The grantee shall not deny service, deny access, or otherwise discriminate against subscribers, programmers, or others on the basis of race, color, religion, national origin, sex, or age. The grantee shall strictly adhere to the equal employment opportunity requirements of federal, state, or local governments and shall comply with all applicable laws and executive and administrative orders relating to nondiscrimination.

(b) Privacy. The grantee shall maintain constant vigilance with regard to possible abuses of the privacy or constitutional rights of any subscriber, programmer, or citizen resulting from any device, signal, or service associated with the system. The grantee shall not utilize any capability of the system for acquisition of information not a normal part of a grantor-approved service.

(c) Permission of the Property Owner Required. No equipment owned by the grantee shall be installed by the grantee without first securing the written permission of the owner of any premises involved. If such permission is later revoked, the grantee upon request of owner shall remove forthwith any of its equipment which is both visible and movable.

(d) Sale of Subscriber Lists. Grantee shall comply with all requirements of state and federal laws in the sale of subscriber lists, including but not limited to the requirements to delete a subscriber from the lists sold upon the subscriber’s request.

(e) Unlawful Monitoring and Tapping Prohibited. Neither the grantee, nor any other person, agency, or entity, shall unlawfully tap, or arrange for the tapping, of any cable, line, signal device, signal or subscriber outlet or receiver for any purpose whatsoever, except to monitor compliance with FCC standards and for the purpose of determining any unlawful act in violation of Section 5.40.390 or any state or federal law, regulation, or court order. Monitoring and tapping shall not include the receipt and/or processing of signals and/or information as a normal and necessary aspect or requirement of a service approved by grantor. (Ord. 1248 (part), 1999).

5.40.350 Service standards.

(a) Information to the Public. It is the grantor’s policy that the public shall have access to accurate and current information on presently and potentially available cable services. Grantee shall make an effective effort to provide such information utilizing both its system and other media.

(b) Services to Be Provided. A franchised system shall provide, as a minimum, the services listed in the franchise agreement.

(c) Changes in Services. Grantee shall inform grantor at least thirty days in advance of making any substantial change in service. Upon request, grantee will confer with grantor’s representative before taking any such action, and shall give due consideration to any recommendations grantor may make, either in response to grantee’s statement of intention, or on grantor’s own initiative.

(d) Nondiscrimination. All services shall be available to all subscribers who are willing to pay the charges at the rates established. Except as provided in federal law, grantee shall not discriminate between subscribers within one type or class in the availability of services at either standard or differential rates according to published and grantor-approved rate schedules. No charges may be made for services except as listed in published schedules which are available to inspection by anyone at grantee’s office, quoted by grantee on the telephone, and displayed or communicated to all potential subscribers prior to their signing a written order for service.

(e) Refunds. When a subscriber voluntarily discontinues service, grantee shall refund the unused portion of any advance payments in excess of two dollars after deducting any charges currently due. Unused payment portions shall be the percentage of time for which subscriber has paid for service and will not receive it because of his discontinuation of service.

(f) Service Orders. Prior to any installation or delivery of services, all subscribers shall sign and deliver to grantee a written order for service. Said order shall describe in detail all charges for installation and services, the method of payment and schedule of payment, and any grace periods, late charges, or any other information which will affect the total amount subscriber is to be charged.

(g) Complaint Advice. Grantee shall advise each subscriber as may be set forth in the franchise that the grantor’s representative is the official to whom complaints of poor service should be made if such complaints of poor service are not resolved by grantee to the satisfaction of each subscriber.

(h) Payment Schedules. Grantee may, at its option, charge subscribers for service and installation no more than two months in advance. Billing periods shall not exceed two months. Bills may be due and payable upon mailing and shall not be delinquent sooner than twenty days after mailing. Grantee may offer subscribers various prepayment schemes at discounts not to exceed reasonable interest on the subscriber’s money for the period of prepayment.

(i) Disconnect for Cause. Grantee may disconnect a subscriber only for cause, which shall be limited to:

(1) Payment delinquency in excess of fifteen days;

(2) Willful damage to or misappropriation of grantee property;

(3) Refusal, for more than ten days, to admit grantee to the subscriber’s premises to service grantee’s equipment; and

(4) Theft of service, or monitoring, tapping, or tampering with grantee’s system, signals, or services.

(j) Reconnection. Grantee shall, upon subscriber’s written request, reconnect service, which has been disconnected for payment delinquency when payment has removed the delinquency. A published standard charge may be made for reconnection. Grantee shall not be required to make more than three reconnections for the same subscriber if the disconnections involved were caused by payment delinquency within the past twelve months.

(k) Installations.

(1) Subject only to any limitations in its franchise, grantee shall promptly provide and maintain service to all structures in the service area upon request of the lawful occupant or owner.

(2) Grantee shall advise each subscriber that he has the right to require his installation be done over any route on his property, to any location within any building thereon, and in any manner he may elect, which is technically and practically feasible, consistent with grantee’s standard practices. Grantee may, if he so elects, require that any such request be made in writing. (Ord. 1248 (part), 1999).

5.40.360 Equal opportunity employment.

In carrying out 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.

The grantee shall 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.

The grantee shall post in conspicuous places, available to employees and applicants for employment, notice setting forth the provisions of this nondiscrimination clause. 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. (Ord. 1248 (part), 1999).

5.40.370 Miscellaneous provisions.

(a) When not otherwise prescribed herein, all matters herein required to be filed with the grantor shall be filed with the city clerk.

(b) 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, except as otherwise provided in this chapter. (Ord. 1248 (part), 1999).

5.40.380 Violations.

(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 grantor’s jurisdiction, or within any other public street in the grantor’s jurisdiction, or within any other public property of the grantor, or within any privately owned area within the grantor 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 grantor, any equipment or facilities for distributing any television 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.

(b) It shall be unlawful for any person, firm or corporation to make or use any unauthorized connection whether physically, electrically, acoustically, inductively or otherwise, with any part of a franchised cable television system within this grantor for the purpose of enabling himself or others to receive or use any television signal, radio signal, picture, program or sound, without payment to the owner of said system.

(c) It shall be unlawful for any person, without the consent of the grantee, to willfully tamper with, remove or injure any cables, wires, or equipment used for distribution of television signals, radio signals, pictures, programs or sound. (Ord. 1248 (part), 1999).

5.40.390 Violations/penalties.

Any person violating any of the provisions of Section 5.40.380 shall be deemed guilty of a misdemeanor and upon conviction thereof shall be fined in an amount not exceeding five hundred dollars or be imprisoned in jail for a period not to exceed six months or be both fined and imprisoned. Each day such violation is committed or permitted to continue shall constitute a separate offense and shall be punishable as such. (Ord. 1248 (part), 1999).

5.40.400 Severability.

If any material section or provision of this chapter relating to rates, system design, public access, the Community Television Authority (CTA), line-extension, service mix or levels, amendment, franchise fees, definition of basic service, duration of franchise, inner-activity of system, and studio and other production facilities, or franchise awarded under it, is held to be invalid or unenforceable by a court of competent jurisdiction, grantor shall thereupon make a determination of the effect upon the public interest caused thereby. (Ord. 1248 (part), 1999).

5.40.410 Waiver.

Grantor may, upon the affirmative vote of not less than a majority of the grantor, grant a written waiver of any provision of this chapter; provided, however, that the grantor first shall find that the intent and purpose of this chapter will be met with the granting of any such waiver. Upon granting of a waiver of the provisions of this chapter, the grantor may approve substitute or alternative requirements in any franchise agreement necessary to satisfy the intent and purpose of this chapter. (Ord. 1248 (part), 1999).