Coronado Municipal Code Art. VI Performance Bond

In the event that the use of any part of the CATV system is discontinued for any reason for a continuous period of 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 grantee’s franchise or this title, or the franchise has been terminated, canceled or has expired, the grantee shall promptly, upon being given 10 days’ notice, remove from the streets or public places all such property and poles of such system other than any which the Director of Public Services 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 Director of Public Services.

Any property of the grantee remaining in place 30 days after the termination or expiration of the franchise shall be considered permanently abandoned. The Director of Public Services may extend such time not to exceed an additional 30 days.

Any property of the grantee to be abandoned in place shall be abandoned in such manner as the Director of Public Services shall prescribe. Upon permanent abandonment of the property of the grantee in place, the property shall become that of the City, and the grantee shall submit to the Director of Administrative Services an instrument in writing, to be approved by the City Attorney, transferring to the City the ownership of such property.

The grantee shall, at its expense, 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 Director of Public Services by reason of traPc 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 public agencies; provided, however, that 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 CMC 20.90.420 through 20.90.440. (Ord. 1956 § 2, 2004)

Upon failure of the grantee to commence, pursue, or complete any work required by law or by the provisions of this title or by its franchise to be done in any street or other public place, within the time prescribed, and to the satisfaction of the Director of Public Services, the City Manager may, at his option, cause such work to be done and the grantee shall pay to the City the cost thereof in the itemized amounts reported by the Director of Public Services to the grantee within 30 days after receipt of such itemized report.

The grantee shall, concurrently with the Nling of the acceptance of award of any franchise granted under this title, Nle with the Director of Administrative Services, and at all times thereafter maintain in full force and eRect for the term of such franchise or any renewal thereof, at grantee’s sole expense, a corporate surety bond in a company and in a form approved by the City Attorney, in the amount of $15,000, renewable annually, and conditioned upon the faithful performance of grantee, and upon the further condition that in the event grantee shall fail to comply with any one or more of the provisions of this title, or of any franchise issued to the grantee hereunder, there shall be recoverable jointly and severally from the principal and surety of such bond any damages or loss suRered by the City as a result thereof, including the full amount of any compensation, indemniNcation, 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 attorney’s fees and costs, up to the full amount of the bond; the 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 City that may have arisen from the acceptance of such franchise or renewal by the grantee or from its exercise of any privilege therein granted. The bond shall provide that 30 days’ prior written notice of intention not to renew, cancellation, or materials change be given to the City.

Neither the provisions of this section, nor any bond accepted by the City pursuant hereto, nor any damages recovered by the City thereunder, shall be construed to excuse faithful performance by the grantee or limit the liability of the grantee under any franchise issued hereunder or for damages, either to the full amount of the bond or otherwise.

The grantee shall, concurrently with the Nling of an acceptance of award of any franchise granted under this title, furnish to the City and Nle with the Director of Administrative Services and at all times during the existence of any franchise granted hereunder maintain in full force and eRect, at its own cost and expense, a liability insurance policy in the amount of $100,000, in a company approved by the City Manager and in a form satisfactory to the City Attorney, indemnifying and saving harmless the City, its oPcers and employees from and against any and all claims, demands, actions, suits, and proceedings by others, against all liability to others, including but not limited to any liability for damages by reason of or arising out of any failure by the grantee to secure consent from the owners, authorized distributors or licensees of programs to be delivered by the grantee’s CATV system, and against any loss, cost, expense and damages resulting therefrom, including reasonable attorney’s fees, arising our of the exercise or enjoyment of its franchise, irrespective of the amount of the comprehensive liability insurance policy required hereunder.

The grantee shall, concurrently with the Nling of an acceptance of award of any franchise granted under this title, furnish to the City and Nle with the City Clerk, and at all times during the existence of any franchise granted hereunder maintain in full force and eRect, at its own cost and expense, a general comprehensive liability insurance policy, in protection of the City, its oPcers, boards, commissions, agents and employees, in a company approved by the City Manager and a form satisfactory to the City Attorney, protecting the City and all persons 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 $100,000 for personal injury or death of any one person and $300,000 for personal injury or death of two or more persons in any one occurrence and $50,000 for damage to property resulting from any one occurrence.

The policies mentioned in the foregoing paragraph shall name the City, its oPcers, boards, commissions, agents and employees, as additional insured and shall contain a provision that a written notice of cancellation or reduction in coverage of the policy shall be delivered to the City 10 days in advance of the eRective 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.