Chapter 5.16 — CATV REGULATIONS

Footnotes:

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• For statutory provisions authorizing any city to license, authorize by franchise and regulate a community antenna television system, see Gov. Code §53066. The franchise granted under Ordinance 50 was renewed, with additional conditions, by Ordinance 218, adopted November 10, 1986.

A nonexclusive franchise to construct, operate and maintain a community antenna television system in the city may be granted by the city council to any person, firm or corporation offering to furnish and provide such system, pursuant to the terms of this chapter.

(Ord. 50 §1, 1964).

For the purpose of this chapter, the following terms, phrases, words and their derivations shall have the meaning given in this section:

A.

"Community antenna television system," referred to henceforth in this chapter as "CATV," means coaxial cables, wave guides or other conductors and equipment for providing television service by cable or through

its facilities as contemplated in this chapter. CATV shall not mean or include the transmission of any special program or event in the manner commonly known and referred to as "pay television" transmission.

B.

"Grantee" means the persons or corporations to whom or which a franchise under this chapter is granted by the city council and the lawful successor or assignee of such persons or corporations.

C.

"Gross annual receipts" means any and all compensation in the form of gross rental or service receipts, excluding initial installation charges, received directly or indirectly from subscribers or users in payment for television signals received within the city,. Gross annual receipts shall not include any taxes on the services furnished by the grantee imposed directly on any user or subscriber by any city, state or other government unit and collected by the grantee for such governmental unit.

D.

"Subscribers" includes any person or entity receiving for any purpose the CATV service of the grantee, as defined in this section.

(Ord. 50 §2, 1964).

A.

Any nonexclusive 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 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 or highway, such poles, wires, cable, 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 a public utility franchised or permitted to do business in the city.

B.

The grantee may make a charge to subscribers for connection to its CATV system and a fixed monthly charge as filed and approved as provided in this chapter for transmission to them only of television and audio programs received free by the public generally at the same time from regular licensed stations. No charge may be made to subscribers for any other transmissions directed to them.

C.

No permission or license is given to enter private property without the express consent of the owner or the agent in possession thereof.

(Ord. 50 §3, 1964).

No franchise granted by the city council under this chapter shall be for a term longer than twenty (20) years following the date of acceptance of such franchise by the grantee or the renewal thereof. Any such franchise may be terminated prior to its date of expiration by the city council in the event that the council shall have found after notice and public hearing, that (1) the grantee has failed to comply with any term or condition of any franchise or permit issued under this chapter or (2) any provision of this chapter has become invalid or unenforceable, and the council further finds that such provision constitutes a consideration material to the grant of such franchise; provided, however, that the grantee shall be given at least thirty (30) days' notice of any proposed termination proceedings.

(Ord. 50 §4, 1964).

A.

Application for a franchise under this chapter shall be filed with the city clerk in a form approved by the city and shall contain the following information:

1.

The name and address of the applicant;

2.

A statement as to whether the applicant is an individual person, a partnership or corporation, the names and addresses of all partners, if a partnership, and the names and addresses of all officers and directors, if a corporation;

3.

A general description of the applicant's proposed CATV operation, including a map of areas to be served;

4.

A statement or schedule in a form approved by the city 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. For unusual circumstances, such as underground cable required, or more than one hundred fifty (150) feet of distance from cable to connection of service to subscribers, an 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 within the city, service will be made available on the basis of cost of materials, labor and easements if required;

5.

A statement setting forth all agreements and understandings, whether written, oral or implied, existing between the applicant and any person, firm, group or corporation with respect to the franchise and the proposed operations;

6.

The applicant shall also furnish a financial statement as to its financial ability to complete installation and operation of the CATV system.

B.

Upon consideration of any such application the city council may grant a franchise for CATV to such applicant as may appear from the application to be in its opinion best qualified to render proper and efficient CATV service to television viewers and subscribers in the city. The council's decision in the selection will be final.

C.

Any franchise issued pursuant to this chapter shall include the following conditions: "The CATV system herein franchised shall be used and operated solely and exclusively for the purpose expressly authorized by ordinance of the city of Arvin and no other purpose whatsoever."

D.

The inclusion of the statement set forth in subsection C of this section, 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 chapter.

(Ord. 50 §19, 1964).

A.

Any grantee granted a franchise under this chapter, shall pay to the city, during the life of such franchise, and at the times specified in this chapter a sum equal to two percent (2%) of the monthly total gross receipts of the grantee derived from franchise operations within the city. Such payment by the grantee to the city shall be in lieu of any occupation tax, license tax, or similar levy, and shall be paid monthly or as directed by the city.

B.

The grantee shall file with the city, within thirty (30) days after the expiration of any calendar year during which such franchise is in force, a financial statement prepared by a certified public accountant showing in detail the total gross annual receipts, as defined in Section 5.16.020 of the grantee, its successors or assignees, during the preceding calendar year. It shall pay to the city, within fifteen (15) days after the time for filing such statements, any unpaid balance for the calendar year covered by such statements. In any year, or portion thereof, commencing with the beginning of the fourth (4th) year following the effective date of the franchise, the minimum monthly payment shall be one hundred dollars ($100.00) or five percent (5%) of the monthly gross receipts, whichever is less.

C.

The city shall have the right of inspection of the grantee's records showing its gross receipts.

D.

Except for supplying highspeed internet services, which shall be exempted from the annual payment requirement to the city for not more than twenty-four (24) months following the passage of the ordinance codified in this section. By its acceptance of this franchise, the grantee agrees to pay the city annually in lawful money of the United States, two percent (2%) of the total gross receipts received by the grantee in each calendar year, or a portion thereof, during the term of this franchise, from the furnishing of its CATV service within the franchise area. The city council may, without further noticed hearing and at its sole discretion, reduce the period of exemption for highspeed internet service.

(Ord. 318 §1, 2000; Ord. 133 §18, 1978; Ord. 68 §1, 1969; Ord. 50 §5, 1964).

A.

A franchise granted under this chapter shall be nonexclusive.

B.

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

C.

Any privilege claimed under 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, and shall be in conformance with Section 53066 of the California Government Code.

D.

Any such franchise shall be a privilege to be held in personal trust by the original grantee. It cannot in any event be sold, transferred, leased, assigned or disposed of in whole or in part, either by forced or involuntary sale, of by voluntary sale, merger, consolidation or otherwise, without prior consent of the city expressed by resolution, and then only under such conditions as may be therein prescribed. The consent of the city 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 indebtness.

E.

The grantee shall have no recourse whatsoever against the city for any loss, cost, expense, or damage, arising out of any provisions or requirements of this chapter or its enforcement.

F.

The grantee is subject to all requirements of the city ordinance rules, regulations and specifications of the city heretofore or hereafter enacted or established, including, but not limited to those concerning street work, street excavations, use, removal and relocation of property within a street, and other street work.

(Ord. 50 §6, 1964).

There is reserved to the city every right and power which is required to be reserved. by this chapter or provided by 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 right or power, heretofore or hereafter enacted or established.

(Ord. 50 §7, 1964).

The grantee shall proceed within thirty (30) days with due diligence to obtain all necessary permits and authorizations which are required in the conduct of its business, including utility joint use attachment agreements, and microwave carrier licenses to be granted duly constituted regulatory agencies having jurisdiction over the operation of CATV systems, or their associated microwave transmission facilities. Further, the grantee shall commence the installation within ninety (90) days subsequent to the obtaining of all the necessary permits, and authorizations, and shall proceed to render service to subscribers within ninety (90) days following the commencement of installation of the system. The completion of the installation shall be pursued with reasonable diligence thereafter, so that service to all areas designated on the map accompanying the application for franchise, as provided in Section 5.16.050, shall be provided within one (1) year from the date that service was first provided. Failure to do any of the foregoing shall be grounds for termination of franchise.

(Ord. 50 §8, 1964).

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 superintendent of streets of the city acting in the exercise of his reasonable discretion.

B.

The grantee shall not install or erect any facilities or apparatus on public property or rights-of-way within the city, (except those installed or erected upon public utility facilities now existing), without written approval of the superintendent of streets of the city.

C.

In those areas and portions of the city where either the transmission and distribution facilities of the public utility providing telephone service, or those of the utility providing electric service, are underground, then

the grantee shall likewise construct, operate and maintain all of its transmission and distribution facilities underground. Amplifiers in grantee's transmission and distribution lines may be in concrete boxes or vaults upon the surface of the ground.

(Ord. 50 §9, 1964).

In the event that the use of any part of the CATV system is disconnected for any reason for a continuous period of twelve (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 its franchise, or the franchise has been terminated, cancelled or has expired, the grantee shall promptly upon being given notice, remove from the streets of public places all such property and poles of such system other than any which the superintendent of streets may permit to be abandoned on such place. In the event of any 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 superintendent of streets.

(Ord. 50 §10, 1964).

The grantee shall, at its expense, protect, support, temporarily disconnect, relocate in the same street, alley or public place or remove from the street, alley or public places, any property of the grantee when required by the superintendent of streets 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 governmental agencies when acting in a governmental or proprietary capacity, or any other structures or public improvements; provided, however, 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 Section 5.16.110.

(Ord. 50 §11, 1964).

Upon failure of the grantee to complete any work required by law or by the provisions of this chapter to be done in any street, within the time prescribed and to the satisfaction of the superintendent of streets, the superintendent of streets may cause such work to be done and the grantee shall pay to the city the cost thereof in the itemized amounts reported by the superintendent of streets to the grantee within thirty (30) days after receipt of such itemized report.

(Ord. 50 §12, 1964).

The grantee shall at all times during the term of any franchise granted under this chapter at its own cost and expense, properly and in a good workmanlike manner, install and maintain adequate shielding, filtering and grounding at affected installations within the CATV system to eliminate television interference

encountered from fundamental frequency overlaid by radio amateur transmissions which are in compliance with Federal Communications regulations.

(Ord. 50 §13, 1964).

A.

The grantee shall, concurrently with the filing of and acceptance of award of any franchise granted under this chapter, file with the city clerk, and at all times thereafter maintain in full force and effect for the term of such franchise, at the grantee's sole expense, a corporate surety bond in a company approved by and in a form to be approved by the city attorney in the amount of five thousand dollars ($5,000) renewable annually, and conditioned upon the faithful performance of the grantee, and upon the further condition that in the event the grantee fails to comply with any one or more of the 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 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 by this chapter which may be in default, plus a reasonable allowance for

attorney's fees and costs, up to the full amount of the bond; such condition to be a continuing obligation for the duration of such franchise and thereafter until the grantee has liquidated all of its obligations with the city that may have arisen from the acceptance of such franchise by the grantee or from its exercise of any privilege therein granted. The bond shall provide that thirty (30) days prior written notice of intention not to renew, cancellation or material change, be given to the city.

B.

Neither the provisions of this section, any bond accepted by the city pursuant thereto, nor any damages recovered by the city thereunder, shall be constructed 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. 50 §14, 1964).

A.

The grantee shall, at all times during the existence of any franchise issued under this chapter, maintain in full force and effect, furnish to the city, and file with the council 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, and in a form satisfactory to the city attorney, protecting 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 three hundred thousand dollars ($300,000.00) for personal injury or death of any one person and five hundred thousand dollars ($500,000.00) for personal injury or death of two (2) or more persons in any one (1) occurrence, and fifty thousand dollars ($50,000.00) for damage to property resulting from any one (1) occurrence.

B.

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

C.

No franchise granted under this chapter shall be effective unless and until each of the policies of insurance as required in this section have been delivered to the city.

(Ord. 50 §15, 1964).

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 operations, affairs, transactions or property of the grantee with respect thereto. 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, alleys and public places in the city.

(Ord. 50 §16, 1964).

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 will apply:

A.

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

B.

The system, as installed, shall be capable of passing standard color TV signals without the introduction of noticeable effects on color fidelity and intelligence.

C.

The system and all equipment shall be designated and rated for twenty-four (24) hour-per-day continuous operation.

D.

The system signal-to-noise ratio shall be not less than forty-six (46) decibels.

E.

Hum modulation of picture signal shall be less than five percent (5%).

F.

The system shall use components having VSWR of one and four-tenths (1.4) or less.

G.

The master antenna to be installed for the CATV system shall be located at a point where the signal strength of the TV stations to be received shall be not less than five hundred (500) microvolts per meter for low-band channels two (2) through six (6) and not less than eight hundred (800) microvolts perimeter for high-band channels seven (7) through thirteen (13) for at least fifty percent (50%) of the time at a receiving antenna height of thirty (30) feet above ground. Each CATV subscriber shall receive a minimum signal strength of two thousand (2,000) microvolts as measured at the antenna terminals of the television set. Methods of measuring the standards set forth in this section, where necessary, will be established by the city.

H.

The system, as installed, shall be capable of receiving, and designed to receive and transmit to subscribers all television and audio signals originating in commercial TV stations licensed to operate in Kern County, as well as such other stations as may be selected.

(Ord. 50 §17, 1964).

All matters provided in this chapter to be filed with the city shall be filed with the city clerk.

(Ord. 50 §18(a), 1964).

The rate schedule for any service agreement or increase thereto to subscribers must have written approval of the city.

(Ord. 50 §18(c), 1964).

If the grantee should fail to operate its system for a period of two years from the date such service begins, the subscribers who have paid installation charges shall be entitled to a refund of the installation charges less one-twenty-fourth ( 1/24 ) of each charge for each month elapsing from the time service was first started to that subscriber and during which time service was available to him.

(Ord. 50 §18(b), 1964).

In the event the Public Utilities Commission of the state or the Federal Communications Commission takes jurisdiction over the operations and rates of the grantee, then the authority of the city to approve rates and charges shall cease.

(Ord. 50 §18(d), 1964).