Campbell Municipal Code Art. 3 Special Rules Applicable to Cable Systems

(a) An application must be filed for an initial and renewal cable system franchise, or for approval of a transfer. All applications under the provisions of this chapter shall be in writing and shall be filed in the office of the city clerk. These requirements do not apply to a renewal proposal submitted pursuant to 47 U.S.C. Section 546(h) as may be amended.

(b) (1)

The city manager may specify the information that must be provided in connection with an application, and the form in which the information is to be provided.

(2) At a minimum, each application must identify the applicant, show that the applicant is financially, technically and legally qualified to construct, maintain and operate the cable system, and show that the applicant is willing to comply with this chapter and its franchise obligations. In addition, any application for an initial or renewal franchise must describe in detail the cable system that the applicant proposes to build or maintain, show where it is or will be located, set out the system construction or rebuild schedule, and show that the applicant will provide adequate channels, facilities and other support for public, educational and government use (including institutional network use) of the cable system. To be accepted for filing, an original and six copies of a complete application must be submitted. All applications shall include the names and addresses of persons authorized to act on behalf of the applicant with respect to the application.

(3) Subject to applicable law, city may at any time demand, and applicant shall provide, such supplementary, additional or other information as the city council may deem reasonably necessary to determine whether the application franchise should be granted and an applicant (and the transferor and transferee, in the case of a transfer) shall respond to any request for information from city, by the time specified by city.

(c) Subject to applicable law, an application may be rejected if it is incomplete, or if the response to requests for information is not timely and complete.

(Ord. 2036 § 1(part), 2003).

(a) This section establishes additional provisions that apply to an application for an initial franchise, or a renewal franchise application that is not governed by 47 U.S.C. Section 546(a)-(h) as may be amended.

(b) Any person may apply for an initial or renewal franchise by submitting an application therefor on that person's own initiative, or in response to a request for proposals issued by city. If city receives an unsolicited application, it may choose to issue a request for additional proposals, and require the applicant to amend its proposal to respond thereto. City may conduct such investigations as are necessary to act on an application.

(c) Before taking final action on an application, the city shall conduct a public hearing in accordance with applicable state and federal law.

(d) In determining whether to grant a franchise, city may consider:

(1) The extent to which an applicant for renewal has substantially complied with the applicable law and the material terms of any existing cable franchise ordinance;

(2) Whether an applicant for renewal's quality of service under its existing franchise ordinance, including signal quality, response to customer complaints, billing practices, and the like has been reasonable in light of the needs of the community;

(3) Where the applicant has not previously held a cable system franchise in city, whether the applicant's record in other communities indicates that it can be relied upon to provide high-quality service throughout any franchise term;

(4) Whether the applicant has the financial, legal, and technical ability to provide the services, facilities, and equipment set forth in an application, and to satisfy any minimum requirements established by city;

(5) Whether the applicant's application is reasonable to meet the future cable-related needs and interests of city, taking into account the cost of meeting such needs and interests;

(6) Whether issuance of a franchise is warranted in the public interest considering the immediate and future effect on streets, public property, and private property that will be used by the applicant's cable system;

(7) Whether issuance of the franchise would reduce competition in the provision of cable service in city;

(8) Whether the applicant has proposed to provide adequate facilities, equipment, channels and other support for PEG use of the cable system;

(9) Such other matters as city is permitted by applicable law to consider.

(e) If city determines that issuance of a franchise would be in the public interest considering the factors described in this section, it may proffer a franchise ordinance to the applicant.

(f) Within thirty-one days after the effective date of the ordinance awarding a franchise or franchise renewal, or within such extended period of time as the city council in its discretion may authorize, the successful applicant or franchisee shall file with the city clerk an unconditional written acceptance, in form satisfactory to the city attorney, of the franchise or franchise renewal, together with an agreement to be bound by and to comply with all applicable provisions of this chapter, and the franchise ordinance. Such acceptance and agreement shall be acknowledged before a notary public and shall in form and content be satisfactory to and approved by the city attorney.

(Ord. 2036 § 1(part), 2003).

(a) This section establishes provisions that apply to applications for renewal governed by 47 U.S.C. 546(a)-(g) as may be amended.

(b) A franchisee that intends to exercise rights under 47 U.S.C. 546(a)-(g) as may be amended shall submit a notice in writing to city in a timely manner clearly stating that it is activating the procedures set forth in those sections. City shall thereafter commence any proceedings that may be required under federal law, and upon completion of those proceedings, city may issue a request for proposals and an application may be submitted for renewal. City may preliminarily deny the application by resolution, and if the application is preliminarily denied, city shall conduct such proceedings and by resolution establish such procedures and appoint such individuals as may be necessary to conduct any proceedings to review the application, and otherwise comply with the requirements of 47 U.S.C. § 546.

(Ord. 2036 § 1(part), 2003).

(a) This section establishes provisions that apply to applications for transfer approval.

(b) An application for transfer must contain all the information required by Section 5.20.570(b)(2), excluding Section 5.20.570(b)(1), all information required by the FCC Form 394 as it existed on the date of adoption of this chapter, and all information that it is required to file under applicable federal or state law.

(c) In determining whether a transfer application should be granted, denied, or granted subject to conditions, city may consider the legal, financial, and technical qualifications of the transferee to operate the cable system; any potential impact of the transfer on subscriber rates or services; whether the incumbent cable operator is in compliance with its franchise, and if not, the proposed transferee's commitment to cure such noncompliance; and whether the transferee owns or controls any other cable system in city. Unless otherwise agreed to in a franchise ordinance, the proposed transferee shall pay all reasonable costs incurred by city in reviewing and evaluating the applications.

(d) No application shall be granted unless the transferee, agrees in writing that it will abide by and accept all terms of this chapter, as it existed on the date of adoption, and the franchise ordinance, and that it will assume all the obligations, liabilities, and responsibilities of the previous franchisee.

(Ord. 2036 § 1(part), 2003).

(a) (1)

The applicant must be willing to comply with the applicable provisions of this chapter and applicable laws; and to comply with such requirements of a franchise ordinance as city may lawfully require.

(2) The applicant must not have had a final decision revoking any cable system or OVS franchise granted to it by city within three years preceding the submission of the application.

(3) The applicant shall not be issued a franchise if, at any time during the ten years preceding the submission of the application, applicant was convicted of fraud, racketeering, anti-competitive actions, unfair trade practices or other conduct of such character that the applicant cannot be relied upon to deal truthfully with city and the subscribers, or to substantially comply with its obligations.

(4) Applicant must have the necessary authority under California and federal law to operate a cable system, or show that it is in a position to obtain that authority.

(5) The applicant shall not be issued a franchise if it files materially misleading information in its application or intentionally withholds information that the applicant lawfully is required to provide.

(6) For purposes of Section 5.20.610(a)(1)-(3), the term applicant includes any affiliate of applicant.

(b) Notwithstanding Section 5.20.610(a), an applicant shall be provided a reasonable opportunity to show that a franchise should issue even if the requirements of Section 5.20.610(a)(2)-(4) are not satisfied, by virtue of the circumstances surrounding the matter and the steps taken by the applicant to cure all harms flowing therefrom and prevent their recurrence, the lack of involvement of the applicant's principals, or the remoteness of the matter from the operation of a cable system.

(Ord. 2036 § 1(part), 2003).

A cable system operator shall pay to city a franchise fee in an amount equal to five percent of gross revenues, or such other amount as may be specified in the franchise ordinance.

(Ord. 2036 § 1(part), 2003).

(a) It is the policy of city to ensure that every cable system provide service in its franchise area upon request to any person or any government building. Each franchisee shall extend service as required in its franchise ordinance. Cable service must be provided within time limits specified in Section 5.20.930(g) of this chapter.

(b) A cable system within city shall meet or exceed the technical standards set forth in 47 C.F.R. Section 76.601 and any other applicable technical standards as may be amended.

(c) Each cable operator shall perform at its expense such tests as may be necessary to show whether or not the franchisee is in compliance with its obligations under applicable FCC technical standards.

(d) Each franchisee shall, during the term of its franchise, ensure that subscribers are able to receive continuous service. In the event the franchise is revoked or terminated, the franchisee may be required to continue to provide service for a reasonable period to assure an orderly transition of service from the franchisee to another person. A franchise ordinance may establish more particular requirements under which these obligations will be satisfied.

(Ord. 2036 § 1(part), 2003).

(a) City may regulate operator's rates and charges, and order refunds of unreasonable rates charged, as permitted by and except to the extent it is prohibited from doing so by federal rate regulations.

(b) Except to the extent city may not enforce such a requirement, and subject to applicable law, a cable operator is prohibited from discriminating in its rates or charges or from granting undue preferences to any subscriber, potential subscriber, or group of subscribers or potential subscribers; provided, however, that a franchisee may offer temporary, bona fide promotional discounts in order to attract or maintain subscribers, so long as such discounts are offered on a non-discriminatory basis to similar classes of subscribers throughout the franchise area; and a franchisee may offer discounts for the elderly, the disabled, or the economically disadvantaged; and such other discounts as it is expressly entitled to provide under federal law, if such discounts are applied in a uniform and consistent manner.

(c) A cable operator shall not deny access or charge different rates to any group of subscribers or potential subscribers because of the income of the residents of the local area in which such group resides. Nothing in the foregoing shall prevent a franchisee from taking reasonable steps to insure against non-payment or equipment loss based on the credit history of an individual subscriber, including, but not limited to, denying service or requiring a security from subscribers that have a history of damaging cable system equipment or facilities or failing to make timely payments.

(d) (1)

Each cable system operator must satisfy FCC, state and city cable system customer service standards or consumer protection standards. City cable system customer service standards may be adopted by resolution. In the case of a conflict among standards, the stricter standard shall apply.

(2) For each violation of a cable system customer service standard, penalties may be imposed following written notice of the violation and thirty days opportunity to cure the violation or contest the violation. If at the conclusion of the thirty day opportunity to cure period, the city manager finds that the violation is not cured, penalties may be imposed, following a hearing where the franchisee has an opportunity to be heard. Penalties may be imposed as follows and shall not be charged or passed-through to subscribers:

(A) Two hundred dollars for each day of each material breach not to exceed six hundred dollars for each occurrence of material breach;

(B) If there is a subsequent material breach of the same provision within twelve months, four hundred dollars for each day of each material breach not to exceed one thousand two hundred dollars for each occurrence of the material breach;

(C) If there is a third or additional material breach of the same provision within twelve months of the first, one thousand dollars for each day of each material breach not to exceed three thousand dollars for each occurrence of the material breach.

(3) Any penalty assessed under this section will be reduced dollar for dollar to the extent any liquidated damage provision of a franchise imposes a monetary obligation on a franchisee for the same customer service failures, and no other monetary damages may be assessed. A citation may be served on the franchisee by providing a copy to the person to whom notices are to be sent under the franchise. Penalties will be imposed pursuant to procedures set forth in the municipal code, applied in a manner consistent with Cal. Govt. Code Sec. 53088(2)(r).

(Ord. 2036 § 1(part), 2003).