Carson Municipal Code Part 1 General Provisions and Definitions

6800. Short Title.

This Chapter shall be known and cited as "The Pipeline Franchise Ordinance."

(Ord. 78-428 § 1; Ord. 26-2603, 2/17/2026)

6801. General Conditions.

Every franchise hereafter granted by the City to lay or construct from time to time, and to maintain, operate, renew, repair, change the size of, remove or abandon in place pipes and pipelines for the collection, transportation or distribution of oil, gas, gasoline, petroleum, wet gas, hydrocarbon substances, water, waste water, mud, steam and other liquid substances which are not more hazardous than the aforementioned substances, together with all manholes, valves, appurtenances and service connections necessary or convenient for the operation of said pipes or pipelines including conduits, cathodic protection devices, wires, cables and other appurtenances necessary or convenient for the exercise of the Franchisee’s business, in, under, along or across any and all streets within the City of Carson, except as otherwise provided in the ordinance granting the franchise, shall be granted upon and be subject to the rules, regulations, restrictions and terms and conditions of Article X – Franchises of the City Charter, this Chapter, in addition to those rules, regulations, restrictions, terms and conditions set forth in the ordinance granting the franchise.

(Ord. 78-428 § 1; Ord. 79-495 § 1; Ord. 26-2603, 2/17/2026)

Nothing in this Chapter or in any ordinance granting such a franchise shall be construed to permit the Grantee to construct new poles or other facilities aboveground.

(Ord. 78-428 § 1; Ord. 26-2603, 2/17/2026)

6803. Definitions.

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

a.

“Applicant”

means a person or entity who files an Application for a franchise under this Chapter.

b.

“Application”

shall mean a formal request by the Applicant submitted to the City on a form prepared by the City to obtain a franchise pursuant to the provisions of Division 3, Chapter 2 of the California Public Utilities Code, known as the Franchise Act of 1937 and this Chapter, to renew a previously existing franchise, to extend a franchise, to transfer a franchise, or to install or operate any facilities under a franchise pursuant to Section 6827.

c.

“Application Deposit”

shall mean a monetary deposit to be paid at the time of the filing of Application to pay for all City costs associated with processing the application for a franchise, renewing a previously existing franchise, extending a franchise, transferring a franchise, or installing or operating any facilities under a franchise pursuant to Section 6827.

d.

“Breach”

shall mean Franchisee’s failure to comply with any material terms of the franchise or this Chapter, as detailed in Section 6829.

e.

“City Council” or "Council"

shall mean City Council of the City of Carson.

f.

"Code"

shall mean the Municipal Code of the City of Carson.

g.

“Compliance Deposit”

shall mean a monetary deposit to be paid at the time of acceptance of franchise pursuant to Section 6805 which shall be maintained throughout the term of the franchise to allow City to (A) recover costs and fees incurred for time spent from City’s enforcement of any franchise terms, including, but not limited to, legal and consulting fees and City staff time, and (B) charge any Liquidated Damages against the deposit.

h.

"Chief Engineer"

shall mean the Chief Engineer of the Consolidated Fire Protection District (CFPD) of Los Angeles County.

i.

"Department"

shall mean the Public Works Department of the City of Carson.

j.

"Director"

shall mean Public Works Director of the City of Carson or designee appointed by the City Manager.

k.

"Franchisee" or "Grantee"

shall mean the person to whom the franchise is granted, and any person to whom it is lawfully assigned.

l.

"Facilities" or "Appurtenances"

shall mean all property of the Franchisee, including, but not limited to, pipelines, pump stations, and service connection with the Franchisee's facilities, whether installed by the Franchisee or not, erected, constructed, laid, operated or maintained in, upon, over, under, along or across any street pursuant to any right or privilege granted by the franchise.

m.

"Franchise payment period"

shall mean the time period between the effective date of the ordinance granting the franchise and June 30th or December 31st of the same calendar year, whichever is sooner; and the period between January 1st and June 30th, and July 1st and December 31st of each calendar year thereafter during the life of the franchise.

n.

"Franchise report period"

shall mean the time period between the effective date of the ordinance granting the franchise through and including June 30th or December 31st of that calendar year, whichever is sooner; and the period between January 1st and June 30th, and July 1st and December 31st of each calendar year thereafter during the life of the franchise.

o.

"Highway Permit Ordinance"

shall mean County of Los Angeles Ordinance No. 3597, as adopted by reference in the City pursuant to CMC § 7100.

p.

“Liquidated Damages”

shall mean monetary damages for any Breach of a franchise by Franchisee inclusive of the penalties under Sections 6830, 6832, and 6844, in compliance with Civil Code Section 1671.

q.

"Main"

shall mean any pipeline or conduit laid in, along, or approximately parallel with any street for the collection, transmission or distribution of any substance or commodity.

r.

"Major street"

shall mean any street or portion thereof designated as a “Major Highways” or “Secondary Highways” in the Circulation Element of the General Plan.

s.

"Minor street"

shall mean all streets in the City other than those designated as "Major Highways" or "Secondary Highways" in the Circulation Element of the Carson General Plan.

t.

"Person"

shall mean any individual, person, firm, partnership or corporation.

u.

"Section"

shall mean a section of the Carson Municipal Code, unless some other Code or statute is mentioned.

v.

"Service connection"

shall mean the wire, pipes, or conduits connecting the building or place where the service or commodity supplied by the Franchisee is used or delivered, or is made available for use or delivery, with the supply line or supply main in the highway or with such supply line or supply main on private property.

w.

"Shall"

is mandatory; "May" is permissive.

x.

"Street"

shall mean any street, road, highway, alley, land or court or other public easement or public place, and above and below the same, which now or may hereafter exist in the City of Carson and in which the City has the authority to grant a franchise.

y.

"Supervisor"

shall mean the Business License Supervisor of the City of Carson or designee appointed by the Director.

(Ord. 78-428 § 1; Ord. 91-955 § 1; Ord. 26-2603, 2/17/2026)

A. Unless the ordinance granting the franchise provides otherwise, the term of the franchise shall be 10 years commencing on the effective date of the ordinance granting the franchise, with a maximum of two opportunities to extend the franchise for an additional five years for each extension. Each extension will be granted by Council’s adoption of an ordinance and the Council will have sole discretion over whether any franchise extension will be granted. No extension will be granted if Franchisee is not in full compliance with all of the terms of the franchise and all applicable laws, including but not limited to those regarding payment of franchise fees, unless Council elects to waive any non-compliance. In such event, all inadequate compliance will be fully rectified as soon as practicable following Council approval of the extension.

B. An Application for extension shall be filed with the City at least six months before the expiration date of the franchise, as may be extended. In approving any extension, the Council may modify the terms of the franchise based upon any number of factors, including but not limited to, updating the franchise to be in compliance and/or in accordance with, any:

1. Modifications to this Chapter;

2. Changes in the Consumer Price Index;

3. Changes in relevant technology;

4. Changes in applicable law, including but not limited to amendments or modifications of the Public Utilities Code;

5. Changes in relevant environmental practices and requirements, utility industry regulatory developments and business practices; or

6. Other factors the City considers in its reasonable discretion to be relevant at the time the City considers the Application for extension.

In order for any extension of franchise to be effective, the Franchisee must accept the terms of the extension in accordance with the process applicable to new franchises as described in Section 6805.

(Ord. 78-428 § 1; Ord. 26-2603, 2/17/2026)

The Franchisee shall, within 30 days after the passage of the ordinance granting the franchise, file with the City Clerk of the City of Carson and with the Supervisor a written acceptance of the terms and conditions of said ordinance. This acceptance must be accompanied by submittal of required insurance, bonds, any outstanding application fees, and the Compliance Deposit.

(Ord. 78-428 § 1; Ord. 26-2603, 2/17/2026)

6806. Nonexclusive Franchise.

The granting of the franchise shall not be construed to prevent the City from granting any identical or similar franchise to any person other than the Franchisee. Nothing herein contained shall ever be construed so as to exempt the Franchisee from compliance with all ordinances, rules or regulations of the City now in effect or which may be hereafter adopted which are not inconsistent with the terms of the franchise.

(Ord. 78-428 § 1; Ord. 26-2603, 2/17/2026)

If, after the granting of a franchise to other than a public utility, the Franchisee qualifies before the Public Utilities Commission of the State of California as a common carrier as evidenced by a certificate of public convenience and necessity issued by the Public Utilities Commission, the Franchisee shall then have no right to continue to operate hereunder after the date of such qualification, except with the consent of the Council, granted upon such additional terms and conditions as the Council may deem proper. Such additional terms and conditions shall be expressed by ordinance. Franchisees that operate as a public utility are required to demonstrate current status as a public utility by providing the Supervisor a certification on a form furnished by the City whereby Franchisee represents and warrants that its public utility status with the Public Utilities Commission is current. This certificate must be filed with the City’s Supervisor on or before December 31st of each year. Failure of Franchisees to demonstrate current status as a public utility will result in Franchisees being charged fees applicable to nonpublic utilities commencing as of the date Franchisees lose their status as a public utility.

(Ord. 78-428 § 1; Ord. 26-2603, 2/17/2026)

Within 90 days following the date in which any facilities or appurtenances have been laid, removed or abandoned under the franchise, the Franchisee shall file a map or maps with the Department showing the accurate “as built” location, depth, and size of the facilities or appurtenances so laid, removed or abandoned. Franchisees shall file accurate as built and proposed locations, lengths, diameters and depths of pipelines in a City defined Geographic Information System (“GIS”) (e.g., shapefiles) or Computer-Aided Design (“CAD”) format upon submission of an Application for a renewed franchise, extension of franchise, transfer of franchise, or to install or operate any facilities under a franchise pursuant to Section 6827. Maps shall show in detail the exact location, size, description and date of installation, if known, of all existing or proposed pipelines, mains, transmission lines, laterals, and service pipes that are equal to or greater than three inches in diameter, and all valves, pressure regulators, drips, and transformer chambers installed beneath the surface of all county highways that belong to, are used by, or are under the control of the Franchisee or the Franchisee's successors or assigns. In addition, maps shall disclose all substances that are transmitted through the pipelines, and show all pipelines owned or controlled by the Applicant within City boundaries (and not just franchise portions in the public right-of-way). The City shall reserve the right to request maps at any time during the term of the franchise, and the Franchisee shall be required to produce such map within 45 days of City’s request for the same.

(Ord. 78-428 § 1; Ord. 26-2603, 2/17/2026)

On or before commencement of any franchise operations, Franchisee shall obtain and provide satisfactory evidence of having obtained, the following insurance policies from companies that are authorized to transact business in the State of California by the Insurance Commissioner of California and have a minimum rating of or equivalent to A-:VIII in Best's Key Rating Guide.

A. Commercial General Liability Insurance (Coverage Form ISO CGL CG 00 01 or equivalent covering CGL on occurrence basis). Each liability insurance policy obtained by Franchisee must:

1. Be issued to the Franchisee and name the City of Carson, its elected and appointed officials, employees, officers, and agents, as additional insureds.

2. Provide coverage for Franchisee's liabilities, including without limitation, Franchisee's obligation to indemnify the City of Carson, its elected and appointed officials, employees, officers and agents, for all liability for personal and bodily injury, death and damage to property arising from activities conducted pursuant to the Franchise, and the acts or omissions of the Franchisee, its contractors and subcontractors and each of their agents, servants and employees committed in the conduct of franchise operations. The coverage must provide liability insurance in the amount of $15,000,000 per occurrence, subject to self-insured retention in an amount and form that is appropriate and prudent for operations substantially similar to those of Franchisee, and subject to approval by City of Carson in its sole discretion, and may not be cancelled unless at least 30 days prior written notice is provided to the City by Franchisee or its insurance provider.

B. Automobile Liability (Coverage Form ISO CA 00 01 or equivalent covering “any auto”). A policy of comprehensive automobile liability insurance written on a per occurrence basis in an amount not less than $1,000,000 per accident for bodily injury and property damage, issued to Franchisee and name the City of Carson, its elected and appointed officials, employees, officers and agents as additional insureds.

C. Workers' Compensation. Each workers' compensation insurance policy obtained by the Franchisee must:

Provide coverage as required by the State of California and:

1. Cover all of the Franchisee's employees who in the course and scope of their employment conduct or perform work pursuant to the franchise operations.

2. Be noncancellable without 30 days prior written notice to the City by Franchisee or its insurance provider.

3. In lieu of the policy of workers' compensation insurance required by this section, Franchisee may substitute and provide a certificate of consent to self-insure, issued by the Board of Industrial Relations of the State of California.

D. Employer’s Liability Coverage. Must include a coverage limit of no less than $1,000,000 per accident for bodily injury or disease.

E. Professional Coverage (Errors and Omissions). If applicable, the Franchisee must ensure that appropriate professional liability insurance coverage is obtained by Franchisee and all third party architects, engineers, surveyors, or other professionals hired to conduct or perform work pursuant to the franchise operations, and that such coverage include a coverage limit of no less than $25,000,000 per occurrence or claim.

F. Pollution Coverage. Each pollution liability insurance policy obtained by the Franchisee shall be for sudden and accidental as well as for gradual release coverage, and must:

1. Provide limits of coverage of $10,000,000 for those franchises where the total pipeline mileage measured in lineal feet is one mile or less, and $25,000,000 for those franchises where the total pipeline mileage measured in lineal feet exceeds one mile. The measurement will be assessed at the time the ordinance granting the franchise is adopted. All Franchisees providing $10,000,000 in coverage will be required to increase their coverage to $25,000,000 upon increase of their lines to more than one mile. All coverages will be provided on a per claim or occurrence basis or other equivalent insurance as determined acceptable by the City of Carson; and

2. Be issued to the Franchisee and name the City of Carson, its elected and appointed officials, employees, officers and agents, as additional insureds by endorsement form acceptable to the City of Carson.

(Ord. 78-428 § 1; Ord. 86-739 § 1; Ord. 26-2603, 2/17/2026)

On or before the effective date of the ordinance granting the franchise, Franchisee shall file and thereafter at all times during the life of the franchise keep on file with the Supervisor and City Clerk a corporate surety bond approved by the City Attorney running to the City in the penal sum of $100,000 for those franchises where the annual franchise fee is $100,000 or less, and in the penal sum equal to the annual franchise fee for those franchises where the annual fee exceeds $100,000 (assessed at the time the ordinance granting the franchise is adopted), with a surety to be approved by the Supervisor, conditioned that Franchisee shall well and truly observe, fulfill and perform each condition of the franchise and that in case of any breach of condition of the bond the whole amount of the penal sum shall be deemed to be liquidated damages and shall be recoverable from the principal and sureties of the bond. Alternatively, Franchisee may provide a letter of credit for the same applicable amounts required for bonds upon terms acceptable to the City Attorney. The term of the bond or letter of credit shall not expire until all facilities that are permitted to be installed by City are either removed or abandoned in accordance with Section 6852 of this Chapter after expiration, revocation or termination of the franchise, as may be extended, and Franchisee pays any and all associated expenses or fees required under Section 6852. If said bond or letter of credit is not filed prior to the effective date of the ordinance granting the franchise, the award of the franchise may be set aside and the ordinance granting the franchise repealed at any time prior to the filing of said bond or letter of credit and any money paid in consideration for said award of franchise shall be deemed forfeited. In the event that said bond or letter of credit, after it has been so filed, shall at any time during the life of the franchise become insufficient in City’s sole discretion, Franchisee agrees to rectify said insufficiencies, subject to the approval of the City Attorney, within 10 days after written notice to do so from the Supervisor.

(Ord. 78-428 § 1; Ord. 86-739 § 2; Ord. 26-2603, 2/17/2026)

In lieu of the bond or letter of credit required pursuant to CMC § 6810, the Franchise may file alternate security provided in CMC § 1400.

(Ord. 78-428 § 1; Ord. 26-2603, 2/17/2026)

6813. Forfeiture.

The franchise is granted and shall be held and enjoyed upon each and every condition contained in the ordinance granting the franchise, including such conditions contained herein as are incorporated by reference in said franchise ordinance, and shall ever be strictly construed against the Grantee. Nothing shall pass thereby unless it be granted in plain and unambiguous terms. Any neglect, failure or refusal to comply with any of the conditions of the franchise shall constitute grounds for the suspension or forfeiture thereof. The Council, prior to any suspension or forfeiture of the franchise, shall give to the Grantee not less than 30 days' notice in writing of any default thereunder. If the Grantee does not, within the noticed period, begin the work of compliance or after such beginning does not prosecute the work with due diligence to completion, the Council may hold a hearing, at which the Grantee shall have the right to appear and be heard, and thereupon the Council may determine whether such conditions are material and essential to the franchise and whether the Grantee is in default with respect thereto and may declare the franchise suspended or forfeited. Notice of said hearing shall be given to the Grantee by certified mail not less than five days before said hearing.

(Ord. 78-428 § 1; Ord. 26-2603, 2/17/2026)

The Grantee of any franchise awarded to a public utility, by accepting the terms and conditions thereof, stipulates and agrees that in any proceeding for the purpose of adjusting the rates of the Grantee, no greater value shall be placed upon the franchise than the actual cash paid therefor by the Grantee.

(Ord. 78-428 § 1; Ord. 26-2603, 2/17/2026)

6815. State Highways.

If any street or portion thereof becomes a state highway, except for the right to continue to collect franchise payments in such other rights as by law remain with the City, the state shall succeed to all rights reserved to the City by the franchise; but this provision shall not preclude the Grantee from receiving reimbursement for the relocation of its facilities if and to the extent otherwise lawfully entitled to.

This Section applies to any street or portion thereof which becomes a state highway in which the Grantee maintains its facilities under the authorization of the franchise at the time such street or such portion thereof becomes a state highway, whether at such time it is under the jurisdiction of the City, or any other public entity.

This Section does not require any change of location in a state highway for a temporary purpose.

(Ord. 78-428 § 1; Ord. 26-2603, 2/17/2026)

No franchise granted by the City shall in any way impair or affect the right of the City or any successor in authority to acquire the property of the Grantee by purchase or condemnation, and nothing contained in such a franchise shall be construed to contract away, modify or abridge either for a term or in perpetuity the City's right of eminent domain in respect to any public utility.

(Ord. 78-428 § 1; Ord. 26-2603, 2/17/2026)

6817. Application Deposits and Compliance Deposits.

The Franchisee shall pay the Application Deposit to the City at the time of submittal of the Application. Such deposit will cover City costs including, but not limited to, legal and consulting fees, staff time, publication and advertising fees and costs, preparation of ordinances and resolutions, and other costs associated with the processing of the Application as deemed necessary by the City.

The required initial Application Deposit is as follows:

a. $5,000 for pipelines up to 1,000 feet;

b. $20,000 for pipelines that are greater than 1,000 feet.

(Ord. 78-428 § 1; Ord. 26-2603, 2/17/2026)

The Grantee shall not sell, transfer, assign or lease the franchise or any part thereof, except with the consent of the Council. Such sale, transfer, assignment or lease shall be made only by filing with the Council a copy of the duly executed instrument of such sale, transfer, assignment or lease and a written request for the consent of the Council to such sale, transfer, assignment or lease. If such duly executed instrument and such written request, is not filed with the Council before the expiration of 60 days after the effective date of such sale, transfer, assignment or lease, then, upon the expiration of said 60 days, the franchise shall be subject to forfeiture and the Council may, without notice, by ordinance, repeal the franchise. As a condition to the granting of consent to such sale, transfer, assignment or lease, the Council may impose such additional terms and conditions upon the franchise and upon the Grantee or assignee, which the Council may deem to be in the public interest. Such additional terms and conditions shall be expressed by ordinance. Nothing herein contained shall be construed to grant to the Grantee the right to sell, transfer, assign or lease the franchise, or any part thereof, except in the manner aforesaid. This section applies to any assignment, whether by operation of law, by a voluntary act of the Grantee or otherwise.

(Ord. 78-428 § 1; Ord. 26-2603, 2/17/2026)

All facilities erected, constructed, laid, operated or maintained by the Grantee in the streets, including services connected with the Grantee's facilities, whether installed by the Grantee or not, in the area described in and by virtue of the authority provided by the ordinance granting the franchise, prior to the effective date of said ordinance, except those maintained under prior right other than franchise, shall become subject to all the terms and conditions of such ordinance upon such effective date.

(Ord. 78-428 § 1; Ord. 26-2603, 2/17/2026)

Any right or power conferred, or duty imposed upon any officer, employee or department of the City shall be subject to transfer to any other officer, employee, or department of the City.

(Ord. 78-428 § 1; Ord. 26-2603, 2/17/2026)

6821. Indemnity and Hold Harmless.

The Grantee shall be responsible to the City and shall indemnify, defend and save the City and its officers and employees free and harmless from all damages or liability arising from the use, operation or possession of the franchise, and from the use, operation or maintenance of the facilities erected, constructed, laid, operated or maintained thereunder.

(Ord. 78-428 § 1; Ord. 26-2603, 2/17/2026)

All facilities erected, constructed, laid, operated or maintained under the provisions of the franchise shall be erected, constructed, laid, operated or maintained in accordance with and conforming to all the ordinances, codes, rules and regulations now and hereafter adopted or prescribed by the Council.

(Ord. 78-428 § 1; Ord. 26-2603, 2/17/2026)

6823. Conflicting Improvements.

If the City or any other public entity constructs or maintains any storm drain, sewer structure, or other facility or improvement under or across any facility of the Grantee maintained pursuant to the ordinance, the Grantee shall provide at no expense to the City or other public entity such support as shall be reasonably required to support, maintain and protect Grantee's facility.

(Ord. 78-428 § 1; Ord. 26-2603, 2/17/2026)

If the Grantee after reasonable notice, fails or refuses to relocate permanently or temporarily its facilities located in, on, upon, along, under, over, across or above any highway or to pave, surface, grade, repave, resurface or regrade as required, pursuant to any provision of the franchise, the City or other public entity may cause the work to be done and shall keep an itemized account of the entire cost thereof, and the Grantee shall indemnify, defend and hold harmless the City, its officers and employees from any liability which may arise or be claimed to arise from the moving, cutting, or alteration of any of the Grantee's facilities, or the turning on or off of water, oil, or other liquid, gas, or electricity.

The Grantee agrees to, and shall, reimburse the City or other public entity for such cost within 30 days after presentation to said Grantee of an itemized account of such costs.

(Ord. 78-428 § 1; Ord. 26-2603, 2/17/2026)

If any portion of any street shall be damaged by reason of defective facilities laid or constructed under the franchise, the Grantee shall, at its own expense, repair any such defect and put such street in as good condition as it was before such damage was incurred, to the satisfaction of the City. If the Grantee, within 10 days after receipt of written notice from the City, instructing it to repair such damage, shall fail to commence to comply with such instructions, or, thereafter, shall fail diligently to prosecute such work to completion, then the City immediately may do whatever work is necessary to carry out said instructions at the cost and expense of the Grantee, which cost and expense, by the acceptance of the franchise, the Grantee agrees to pay upon demand. If such damage constitutes an immediate danger to the public health or safety requiring the immediate repair thereof, the City without notice may repair such damage and the Grantee agrees to pay the reasonable cost thereof upon demand.

(Ord. 78-428 § 1; Ord. 26-2603, 2/17/2026)

Prior to the issuance of any excavation permit for the construction or installation of any pipelines for the transmission of flammable liquids or gases, which are heavier than air, approval shall be obtained from the chief engineer. Such approval should be based on the determination that no undue fire hazard will be created to life or property in the areas through which the proposed pipeline will be located. To make such determination, consideration shall be given to:

(A) Type of commodity to be transmitted.

(B) Density of population or structural development in the area through which the pipeline will be located.

(C) Adequacy of water supplies for fire control purposes.

(D) Extent of available public fire protection facilities.

(E) Number and location of shut-off valves in line.

(Ord. 78-428 § 1; Ord. 26-2603, 2/17/2026)

A Franchisee may not install or operate any facilities in any public street, highway, road, alley or other public place without first obtaining the prior approval of the City Council by Resolution.

(Ord. 89-887 § 2; Ord. 26-2603, 2/17/2026)

6828. Damage to Public Property Generally.

Any damage done directly or indirectly to any public property by Grantee or any third party acting at the direction of Grantee or on Grantee’s behalf, in exercising directly or indirectly any right, power, or privilege under this franchise, or in performing any duty under or pursuant to the provisions of this Section, shall be promptly repaired by Grantee at its sole cost and expense.

(Ord. 89-887 § 3; Ord. 26-2603, 2/17/2026)

In the event of any material failure of Franchisee to comply with the terms and conditions of this Chapter or the franchise, the City shall provide Franchisee with written notice specifying the nature of such failure. The Franchisee will be deemed to have cured any default if the Franchisee commences to cure such default within 15 days from the receipt of the City's written notice and completes such cure within 30 days following commencement or, if such default cannot reasonably be cured within such 30 day period, the Franchisee commences to cure such default within 15 days from receipt of the City's written notice and diligently prosecutes such cure to completion within 60 days thereafter. Franchisee’s failure to cure the default, failure to replenish the Application Deposit or Compliance Deposit as required under Section 6817, or failure to make timely payments of fees as required in Sections 6830 and 6832 shall be deemed a material breach of the terms of the franchise (“Breach”). For the avoidance of doubt, Franchisee’s failure to comply with the terms and conditions of this Chapter or the franchise due to any delays caused by the City or any other factors beyond the reasonable control of Franchisee, including but not limited to, any force majeure events, shall not constitute a Breach. A force majeure event includes, but is not restricted to, acts of God or of the public enemy, unusually severe weather, fires, earthquakes, floods, epidemics and pandemics, quarantine restrictions, riots, strikes, freight embargoes, wars, litigation, and/or acts, omissions or delays of any governmental agency, including the City, if the Franchisee shall within 10 days of the commencement of any failure to comply notify the Director in writing of the causes of such failure.

Examples of such failures include, but are not limited to, failure to make required payments, submit certifications, maps, GIS information, or other documents specified in this Chapter. The City may at its option, and in its sole discretion, impose Liquidated Damages of $1,000 per day on Franchisee and charge such damages against the Compliance Deposit or independent of the Compliance Deposit in the event of a Breach, except that the amount of Liquidated Damages for failure to make timely payments required by Sections 6830, 6832 and 6844 will be as stated in those sections.

Such assessment of Liquidated Damages shall not constitute a waiver by City of any other right or remedy it may have under the franchise or under applicable law including, without limitation, its right to call the performance bond or recover from Franchisee such additional damages, losses, costs and expenses, including actual attorney's fees, as may have been suffered or incurred by City by reason of or arising out of such Breach.

(Ord. 26-2603, 2/17/2026)

All monies owed to City by Franchisee under the franchises that are unpaid when due, including unpaid fees under Section 6852, are deemed to be monetary debts that are subject to a judgment lien.

(Ord. 26-2603, 2/17/2026)

6829.6. Annual Certification of Compliance.

Commencing on the first anniversary of the franchise term, Franchisee will furnish to City an annual certification on a form provided by City, certifying that Franchisee is in good faith compliance with the terms of the franchise. Each certification must be submitted to the City by no later than the anniversary date(s) of the commencement of the franchise term. The certification may include, but may not be limited to, the following:

A. Evidence of insurance renewals;

B. Current point of contact (email and phone number);

C. Any new mapping data (or certification that there have been no changes);

D. Any permits in general that have been applied for or obtained as required by Section 6876 within the 12 month period leading up to the certification; and

E. Certification evidencing current status as a public utility as required by Section 6807 (for public lines).

(Ord. 26-2603, 2/17/2026)