Chapter 3.30 — PEG FEES

A. Commencing April 1, 2018, any holder of a state franchise pursuant to the Digital Infrastructure and Video Competition Act (DIVCA) shall remit to the city a PEG fee to support public, educational and government (PEG) channel facilities in the amount of one percent of the gross revenues of the state franchise holder in compliance with California Public Utilities Code Section 5870. This fee is in addition to the franchise fee paid to city by the state franchise holder pursuant to Public Utilities Code Sections 5840(q) and 5860.

B. The PEG fee shall be remitted quarterly and within forty-five days of the close of each calendar quarter. Each remittance shall be directed to the city finance department and shall be accompanied by a summary explaining the basis for the calculation of the fee.

C. All revenue collected pursuant to the PEG fee shall be deposited in a separate fund and shall only be expended for the purpose of supporting PEG channel facilities.

D. Notwithstanding subdivision (n) of Public Utilities Code Section5870, upon the expiration of any state franchise, without any action of the city council, this section shall be deemed to have been automatically reauthorized, unless the state franchise holder has given the city council written notice sixty days prior to the expiration of the state franchise that the section will expire pursuant to the terms of subdivision (n) of the Public Utilities Code Section 5870.

(Ord. 720-2018 § 1, 2018)