Lomita Municipal Code Ch. 1 Community Antenna Television Systems

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

Cable television system, CATV, CTV and community antenna for the purpose of this chapter, are terms describing a system employing antennae, microwave, wires, wave guides, coaxial cables, or other conductors, equipment or facilities, designed, constructed or used for the purpose of:

(a) Collecting and amplifying local and distant broadcast television or radio signals and distributing and transmitting them;

(b) Transmitting original cablecast programming not received through television broadcast signals;

(c) Transmitting television pictures, film and videotape programs, not received through broadcast television signals, whether or not encoded or processed to permit reception by only selected receivers;

(d) Transmitting or receiving two-way signals or transmissions;

(e) Transmitting and receiving all other signals; digital voice, and audiovisual;

provided however, that any of the services, permitted hereunder to be performed, as described above, shall be those performed by the grantee for subscribers, as herein defined, in the operation of a cable television or CATV system franchised by the city and not otherwise.

City shall mean the City of Lomita, a municipal corporation of the State of California, in its present incorporated form or in any later reorganized, consolidated, enlarged or reincorporated form.

City manager shall mean the city manager of the City of Lomita or his designee.

Council shall mean the present governing body of the City of Lomita or any future board constituting the legislative body of the city.

Franchise shall mean and include any authorization granted hereunder in terms of a franchise, privilege, permit, license or otherwise to construct, operate and maintain a community antenna television system within all or a specified area in the city. Any such authorization, in whatever form granted, shall not mean and include any license or permit required for the privilege of transacting and carrying on a business within the city as required by other ordinances and laws of this city.

Grantee shall mean the person, firm, or corporation granted a franchise by the council under this chapter, and the lawful successor, transferee or assignee of said person, firm or corporation.

Gross annual advertising receipts shall mean any income, compensation and other consideration received by the grantee derived from any form of advertising.

Gross annual basic subscriber receipts shall mean any and all compensation and other consideration received directly or indirectly by the grantee from subscribers in payment of the regularly furnished service of the cable television system in the transmission of broadcast television, radio signals and original cablecast programming of the grantee.

Gross annual lease receipts shall mean any fees or income received by the grantee for the lease or rental, and compensation for any service in connection therewith, such as studio and equipment rental and production costs, of any channel permitted or designated by the Federal Communications Commission to be so leased or rented.

Gross annual non-basic service receipts shall mean any and all compensation and other consideration received directly or indirectly by the grantee from subscribers or users in payment for the receipt of signals other than broadcast television, radio, or original cablecast programming of the grantee, whether for "pay television," "facsimile" transmission, "return" or "response" communication, and whether or not transmitted, encoded or processed to permit reception by only selected subscribers.

Gross receipts as used in the following categories, shall mean any and all compensation, in whatever form, grant, subsidy, exchange, or otherwise, directly or indirectly received by a grantee not including any taxes on services furnished by the grantee imposed indirectly on any subscriber or users by a city, county, state or other governmental unit, and collected by a grantee for such entity.

Material breach shall mean any substantial and repeated failure to comply with the subscriber service standards set forth in this title. A material breach for the purposes of assessing penalties shall be deemed to have occurred for each day, following the expiration of the notice and cure period specified herein that any material breach has not been remedied by the grantee irrespective of the number of customers affected.

Normal operating conditions shall mean those service conditions which are within the control of the grantee. Those conditions which are not within the control of the grantee include, but are not limited to, natural disasters civil disturbances, power outages, telephone network outages and severe or unusual weather conditions. Those conditions which are ordinarily within the control of the grantee include, but are not limited to, special promotions, pay-per-view events, rate increases, regular peak or seasonal demand periods, and maintenance or upgrade of the cable system.

Person shall mean any natural person and all domestic and foreign corporations, associations, syndicates, joint stock corporations, partnerships of every kind, clubs, business or common law trusts, and societies.

Property or grantee [property of grantee] shall mean all property owned, installed, or used within the city by a grantee in the conduct of a community antenna television system business under the authority of a franchise granted pursuant to this chapter.

Public, educational, and government access channel facilities or PEG channel facilities shall mean and include the total of the following:

(1) Channel capacity designated for noncommercial public, educational, or government use; and

(2) Facilities and equipment for the use of such channel capacity.

Service interruption shall mean the loss of picture or sound on one (1) or more video channels.

Special service area shall mean any areas of the city designated by the council, if it so elects, in the franchise agreement, where the franchisee may charge different rates, or provide different services, than in the remainder of the city.

Street shall mean the surface, the air space above the surface and the area below the surface of any public street, other public right-of-way or public place, including public utility easements.

Subscriber or user shall mean any person or entity receiving for any purpose any service of the grantee's community antenna television system including, but not limited to the conventional community antenna television system service of retransmission of television broadcast, radio signals, the grantee's original cablecasting, and the local government, education and public access channels; and other services, such as leasing of channels, data and facsimile transmission, pay television, and police, fire and similar public service communication.

(Ord. No. 321, § 1, 1-19-81; Ord. No. 536, § 1, 12-5-94; Ord. No. 699, § 1, 4-2-07; Ord. No. 794, § 2, 12-5-17)

(a) A nonexclusive franchise to install, construct, and maintain a cable television system in, on, above, or under streets within all or a specific portion of the city may be granted by the council to any person, whether or not operating under an existing franchise, who or which offers to furnish and provide such system under and pursuant to the terms and provisions of this chapter.

No provision of this chapter may be deemed or construed as to require the granting of a franchise when in the opinion of the council it is in the public interest to restrict the number of grantees to one or more.

(b) When and in the event that the grantee of any franchise granted hereunder uses in its cable television system distribution channels furnished to the grantee by a telephone company pursuant to tariff or contract on file with a regulatory body having jurisdiction and said grantee makes no use of the streets independent of such telephone company furnished facilities, grantee shall be required to comply with all the provisions hereof as a "licensee" and in such event whenever the term "grantee" is used herein, it shall be deemed to mean and include "licensee."

(Ord. No. 321, § 1, 1-19-81)

(a) Basic service. The cable television system permitted to be installed and operated hereunder shall:

(1) Be operationally capable of relaying to subscriber terminals all those television and radio broadcast signals for the carriage of which the grantee is now or hereafter authorized by the Federal Communications Commission.

(2) Be constructed with two-way operational digital signal transmission from the date of system initiation.

(3) Distribute color television signals which it receives in color.

(4) Provide free of charge at least one channel each for local government, educational, and leased channel access uses. A single channel for the combined use of the above and for the exclusive use of the city will be acceptable until increased usage requires a greater number of channels as determined by the city.

(5) Provide a community service channel program as defined by Government Code Section 53066.1, as amended, subject to any additional requirements which the council may, from time to time, impose.

(6) Provide local original, cablecasting, and at a minimum, fully equipped permanent programming facilities within the city limits, for public and municipal use, plus such other mobile and portable studios and facilities as are, from time to time necessary.

(7) Be operationally capable of relaying a minimum capacity of thirty (30) channels in all portions of the systems constructed after adoption of this chapter.

(b) Nonbasic services. The cable television system permitted to be installed and operated hereunder may also engage in the business of:

(1) Transmitting television pictures, film and videotape programs, not received through broadcast television signals, whether or not encoded or processed to permit reception by only selected receivers or subscribers.

(2) Transmitting and receiving all other signals; digital, voice and audiovisual.

(3) Transmit original cablecast programming not received through television broadcast signals.

(4) Transmit any additional broadcast signals permitted by the Federal Communications Commission.

(c) Service policies.

(1) System extension. The grantee shall extend installation and completion of his cable television system throughout the designated service area as provided in the franchise with reasonable diligence. After acceptance of any franchise, the grantee shall proceed to equitably and reasonably extend energized trunk cable to at least thirty (30) percent of the franchise area each year thereafter, but under no circumstances is this construction schedule to extend beyond a three-year period at which time the grantee shall have completed construction of the entire city, unless a shorter construction schedule is set forth in the franchise.

(2) System extension, existing and new developments. To the extent not otherwise provided for in the franchise and for the purposes of determining compliance with the provisions of subparagraph (1) above, and to provide for a reasonable policy requiring extension of energized trunk lines of the cable system within the franchise area, the grantee at a minimum shall extend cable television service to any existing and new development or group of residences at the standard rate if the existing or new development or group of residences to be served has a density of at least fifty (50) residences per strand mile or trunk line cable installed and any development or group of residences not meeting any or all of the above requirements may be served at the grantee's discretion.

(3) System extension, isolated subscribers.

(i) To the extent not otherwise provided for in the franchise, the grantee at a minimum shall extend cable television services to any isolated residence at the standard rate if:

a. The resident requests the service extension;

b. The service connection to the isolated residence would require no more than a standard two hundred fifty-foot drop.

(ii) The grantee shall extend cable television services to any isolated residence requiring more than a standard two hundred fifty-foot drop at a premium installation rate if such service has been requested by the resident directly or through the city administrator. The premium installation rate charged shall be the actual cost for the distance exceeding two hundred fifty (250) feet. The grantee may request advance payment for such installation. If any additional residences are subsequently connected to the system using this same cable extension, there shall be a prorated return of this installation fee in accordance with a reimbursement agreement the form of which shall be approved by the city administrator.

(4) Undergrounding of the system. The cable system shall be placed underground in localities where both telephone and power lines are underground. The grantee at its sole cost shall replace aerial facilities with underground facilities concurrently and in cooperation with similar programs of the telephone and power utilities. At no time shall the cable system be the only aerial facility. Where undergrounding is required, the grantee shall have the option of sharing or not sharing utility trenches. At no time shall the grantee place cable underground without appropriate conduit.

(d) Subscriber service standards. The grantee shall maintain an office reasonably accessible to subscribers to provide the necessary facilities, equipment and personnel to comply with the following subscriber service standards under normal operating conditions:

(1) Knowledgeable, qualified subscriber service representatives shall be available to respond to subscriber telephone inquires during all the usual business hours. A service or automated response system will be available to record non-emergency, after hours messages, and subscriber service representatives will promptly answer phone messages the next business day.

(2) A local emergency toll-free or collect call access telephone line shall be available on a twenty-four-hour basis, including weekends and holidays.

(3) A business and service office located within the city shall be open during all the usual business hours, and adequately staffed to accept subscriber payments and respond to service requests and complaints.

(4) An emergency system maintenance and repair staff, capable of responding to and repairing major system malfunctions on a twenty-four-hour basis shall be provided.

(5) The grantee shall schedule service and installation appointments within a specified four-hour time period in compliance with California Civil Code Section 1722.

(6) Under normal operating conditions, telephone answer time by a subscriber representative, including wait time, shall not exceed thirty (30) seconds when the connection is made. If the call needs to be transferred, transfer time shall not exceed thirty (30) seconds. These standards shall be met no less than ninety (90) percent of the time under normal operating conditions, measured on a quarterly basis.

(7) Under normal operating conditions, the subscriber will receive a busy signal less than three (3) percent of the time.

(8) The grantee shall provide written information in each of the following areas at the time of installation, at least once every year and upon request:

(i) Products and services offered;

(ii) Prices and options for programming services and conditions of subscription to programming and other services;

(iii) Installation and service maintenance policies;

(iv) Instructions on how to use the cable service;

(v) Channel positions programming carried on the system;

(vi) Billing and complaint procedures, including the address and telephone number of the city's cable office; and

(vii) These subscriber service standards.

(9) Bills shall be clear, concise and understandable. Bills must be fully itemized, with itemization including, but not limited to basic and premium service charges and equipment charges. Bills shall also clearly delineate all activity during the billing period, including optional charges, rebates and credits.

(10) Refund checks will be issued within forty-five (45) days.

(11) Subscribers and the city will be notified of any changes in rates, programming services or channel positions as soon as possible through announcements on the cable system and in writing. Notice must be given to subscribers a minimum of thirty (30) days in advance of such changes if the change is within the control of the grantee. In addition, the grantee shall notify subscribers thirty (30) days in advance of any significant changes in the other information required by subsection (8).

(12) The grantee shall render efficient service, make repairs promptly, and interrupt service only for good cause and for the shortest time possible. Scheduled interruption, insofar as possible, shall be preceded by notice and shall occur during periods of minimum use of the system, preferably between midnight and 6:00 a.m.

(13) The grantee shall maintain a repair force of technicians capable of responding to subscriber requests for service within the following time frames ninety-five (95) percent of the time measured on a quarterly basis:

(i) System outage: Within two (2) hours, including weekends, of receiving subscriber calls which by number identify a system outage of sound or picture of one (1) or more channels, affecting all the subscribers of the system or a considerable number thereof.

(ii) Service interruptions: Within twenty-four (24) hours, including weekends, after the interruption becomes known.

(iii) Inferior reception quality: Within forty-eight (48) hours, including weekends, after receiving a request for service identifying a problem concerning picture or sound quality.

(14) The grantee shall be deemed to have responded to a request for service under the provisions of subsection (13) when a technician arrives at the service location, if necessary or otherwise begins work on the problem. In the case of a subscriber not being home when the technician arrives, response shall be deemed to have taken place if the technician leaves written notification of arrival.

(15) Not less than ninety-five (95) percent of the time measured, on an annual basis, standard installations will be performed within seven (7) business days after an order has been placed. Standard installations are up to one hundred twenty-five (125) feet from the existing distribution system.

(16) Pursuant to 47 CFR 76.309, these subscriber service standards shall not become effective until ninety (90) days after the grantee has been notified of their adoption. Once adopted, these standards shall supersede any contrary provision of any franchise, license or operating permit the city may have issued the grantee.

(e) Property damage. Any physical damage caused by employees or subcontractors of the grantee to property shall be repaired or replaced.

(f) Subcontractors. The grantee shall be directly responsible for the actions of all grantee subcontractors in connection with their performances of the grantee's obligations under this chapter and shall take positive steps to insure that all applicable franchise provisions are met.

(g) Community service.

(1) With respect to the local government and educational channels, the grantee shall provide, at the request of the city manager, use of the grantee's studio, equipment and technical services for production of live and videotape community service programs, subject to scheduling requirements of the grantee. The use of technical facilities for programming shall not exceed the requirements of the Federal Communication Commission.

(2) With respect to the basic television services, the grantee shall provide all subscriber services, and a tie-in connection, without cost, when the system passes the following facilities:

(i) Public schools and community colleges within the city;

(ii) Buildings owned and controlled by the city, used for public purposes;

(iii) Other public facilities as designated by the council.

(3) The grantee shall conduct free training seminars in television production and programming for the city, local schools, and interested local access users no less frequently than twice each year in the first three (3) years of the franchise period and once each year thereafter. Such free training seminars shall be conducted more frequently if there is a demonstrated interest by six (6) or more individuals for more frequent seminars. The grantee shall notify the city administrator's office as to the date, time and place of such training and following such training periods, submit the names of all those who participated and are considered by the grantee to be qualified to operate equipment.

(h) Verification of subscriber services standards.

(1) Upon reasonable notice, the grantee shall demonstrate compliance with any or all of the standards required in subsection (d). The grantee shall provide sufficient detail to permit the city to verify the extent of compliance.

(2) A written log or an equivalent stored in computer memory and capable of access and reproduction shall be maintained for three (3) years. The log shall indicate the time and date of all service interruptions, requests for cable service or repairs, and responses to requests for cable service or repairs. Such log shall be kept at the grantee's local office and shall be available for inspection during regular business hours without further notice or demand by the city manager.

(3) A repeated, documented and verifiable pattern of actual noncompliance with the subscriber service standards of subsection (d), after the city has given the grantee due notice and a reasonable opportunity to cure in accordance with the provisions of this title, may be termed a breach of the grantee's franchise, license or operating permit, subject to any and all remedies as prescribed in the franchise, license or permit and as prescribed.

(4) When there have been similar complaints made or where there exists other evidence which, in the judgment of the city manager casts doubt on the reliability or quality of cable service, or the grantee's ability to meet the technical standards adopted in this title, the city manager shall have the right and authority to compel the grantee to test, analyze, and report on the performance of that part of the system involved in the problem. Such tests or tests shall be made and the reports of such test or tests shall be delivered to the city no later than fourteen (14) days after the city formally notifies the grantee. Such report shall include the following information:

(i) The nature of the complaint which precipitated the special test;

(ii) What system component was tested;

(iii) The equipment utilized and procedures employed in said testing;

(iv) The results of such test;

(v) The method in which such complaints were resolved.

Any other information pertinent to the special test shall also be recorded.

The city's right under this provision shall be limited to requiring tests, analyses, and reports covering specific subjects and characteristics based on said complaints or other evidence when and under such circumstances as the city has reasonable grounds to believe that the complaints or other evidence require that such tests be performed to protect the public against substandard cable service.

(i) Customer complaints.

(1) The grantee shall establish written procedures for receiving, acting upon and resolving subscriber complaints without intervention by the city pursuant to this title. The written procedures shall prescribe the manner in which a subscriber may submit in writing to the city a complaint that the grantee has violated any provision of this title or the subscriber's contract with the grantee.

(2) In the event that cable television service to any subscriber is interrupted, without fault of the subscriber, or those within its control, for twenty-four (24) or more consecutive hours, the grantee shall provide each affected subscriber requesting the same a pro rata rebate of the monthly fees for each 24-hour period of the interruption. In addition, customer service representatives of the grantee shall have the discretion to grant refunds of up to one (1) month for service interruptions.

(3) The grantee shall designate a "government liaison person" who shall be responsible for working with the city administrator or his designated representative to resolve subscriber complaints.

(i.1)

Breaches of the subscriber service standards.

(1) Whenever the city manager believes there has been a material breach of the subscriber service standards, he shall notify the grantee in writing to cure the breach. The city manager shall establish a minimum time to cure the breach, which in no event shall be less than thirty (30) days. The written notice to the grantee shall be by certified mail or other means providing for certification of receipt.

(2) Upon receiving the city manager's notice of the breach, the grantee shall investigate the alleged breach, and within the time period established in the notice, notify the city manager in writing of the results of the investigation and its proposed action or resolution, if any. In the event the city manager does not refer the matter to a hearing officer as provided under subsection (j) of this title within thirty (30) days of the receipt of the grantee's response, the grantee's proposed action or resolution shall be final.

(3) The grantee shall not be deemed to be in default in the performance of its obligations under this title and no penalty or sanction shall be imposed upon the grantee where the grantee has remedied the breach to the reasonable satisfaction of the city manager within the period specified in the notice specifying the breach.

(j) Remedies and penalties for inadequate or untimely service to subscribers or system installation delays.

(1) Following a determination of the city manager that the grantee has failed to cure a breach of this title pursuant to subsection (i) of this section, the city manager may initiate penalty proceedings with respect to the breach. Such penalty proceedings may be initiated by the city manager by written notice to the grantee by certified mail or other means providing for certification of receipt.

(2) The city manager and the grantee shall mutually agree to a hearing officer. If an agreement is not reached within ten (10) days after the notice of penalty proceeding has been delivered, then the cable television provider shall select the hearing officer from a list of five (5) potential hearing officers prepared by the city manager. The list of hearing officers shall be comprised of retired California Superior Court judges or appellate court justices residing in Los Angeles County.

(3) The hearing shall be conducted according to California Code of Civil Procedure § 1280, et seq. (the "General Arbitration Act").

(4) The grantee shall deposit with the city the estimated fees of the hearing officer. The city shall pay the hearing officer's fees, and the grantee shall reimburse the city the final amount of said fees.

(5) The hearing officer shall commence the hearing within thirty (30) days of his selection unless the parties and the hearing officer otherwise agree. Any party to the hearing may issue a request to compel reasonable document production from the other party. Disputes concerning the scope of document production and enforcement of document requests shall be subject to agreement by the parties, or if agreement is not reached within twenty (20) days of that document request, then by disposition by order of the hearing officer. Except as may be otherwise specifically agreed by the parties, no other form of pretrial discovery shall be available to the parties; provided that the provisions of Code of Civil Procedure Section 1283.05 shall apply.

(6) At any hearing conducted pursuant to this section, the city shall have the burden of establishing a material breach of this title to the satisfaction of the hearing officer by a preponderance of the evidence. The grantee may present such evidence, as it may desire.

(7) All witnesses testifying at the hearing shall be sworn. Witnesses shall be subject to direct and cross-examination. However, formal rules of evidence applicable to the trial of civil or criminal proceedings in the trial courts of this state shall apply to evidence adduced at the hearing only to extent that such rules are reasonably necessary to the preservation of the probative nature of the evidence proffered. The hearing may be continued from time to time.

(8) The hearing officer shall have the authority to assess the following penalties upon the grantee for material breaches of the subscriber service standards contained in subsection (d) of this section:

(i) Up to two hundred dollars ($200.00) for each day of each material breach, not to exceed six hundred dollars ($600.00) for each occurrence of material breach;

(ii) For a second material breach of the same nature occurring within twelve (12) months where a fine or penalty was previously assessed, up to four hundred dollars ($400.00) for each day of each material breach, not to exceed twelve hundred dollars ($1,200.00) for each occurrence of the material breach;

(iii) For a third or further material breach of the same nature occurring within those same twelve (12) months, where a fine or penalty was previously assessed, up to one thousand dollars ($1,000.00) for each day of each material breach, not to exceed three thousand dollars ($3,000.00) for each occurrence of the material breach.

(9) The hearing officer shall have the authority to access the following penalties upon the grantee for failure to meet construction objectives:

(i) For failure to commence construction under this title unless the council approves the delay because of reasons beyond the control of the grantee, the franchise term shall be reduced four (4) days for each day of delay.

(ii) For failure to begin service to subscribers or complete construction and installation of the system under this title, unless the council approves the delay because of reasons beyond the control of the grantee, and franchise term shall be reduced four (4) days for each day of the delay. Additionally, the grantee shall pay to the city a sum in the amount of seven hundred dollars ($700.00) per day for each and every day's delay beyond the time prescribed, plus authorized extensions thereof for completion of any of the acts required under this title.

(iii) Any monetary penalties assessed under this subsection shall in no way affect the right of the city concerning assessment or renewal of a cable television franchise under the provisions of the Cable Communications Policy Act of 1984, as amended.

(10) Except as may be apportioned by the hearing office in his discretion, the grantee shall bear the fees and expenses of the hearing officer, together with any other expenses of the hearing officer. Each party shall bear its own witness and attorneys' fees or other expenses incurred by such party for its own benefit.

(11) The hearing officer shall prepare in writing and provide to the parties an award including factual findings and the reasons on which the decision is based. The hearing officer shall not have the power to commit errors of law or legal reasoning, and the award may be vacated or corrected pursuant to California Code of Civil Procedure Section 1286.2 or 1286.6 for any such error. Any party to a hearing may petition the Superior Court for Los Angeles County, California to confirm, correct or vacate the award on the grounds stated in the General Arbitration Act. Any proceedings on appeal shall be in accordance with Code of Civil Procedure Sections 1294 and 1294.2.

(12) Any failure of the grantee to comply with the final order of the hearing officer shall be deemed a material breach of its franchise, contract, license or permit and may be grounds for termination of the same. An order shall not be final where the grantee is seeking review of the hearing officer's decision pursuant to the General Arbitration Act.

(k) Property damage. Any physical damage caused by employees or subcontractors of the grantee to property shall be repaired or replaced.

(Ord. No. 321, § 1, 1-19-81; Ord. No. 329, § 1, 9-8-81; Ord. No. 354, § 3, 7-18-83; Ord. No. 536, §§ 2, 3, 12-5-94; Ord. No. 699, § 1, 4-2-07)

The following information shall be reported by the grantee to the city on annual basis and the report shall be received by the city manager on or before the first day of April of each year.

(a) Existing service area. An outline of the existing service area with comments on small areas not actually served, areas where certain services are not yet available, or areas where special conditions exist. All special rate areas or isolated subscribers shall be indicated.

(b) Work in progress. An indication on the map of areas where system construction or reconstruction is in progress plus a comment on the present status and anticipated schedule of completion of the work in each area.

(c) Proposed service area. An indication on the map of those areas where service is planned and a schedule describing the planned implementation.

(d) Special service points. Maps or lists indicating where any type of special service is available.

(e) Statistics on subscribers. The following numbers shall be supplied: Single-family homes passed, single-family subscribers, multiple-dwelling units passed, multiple-dwelling unit subscribers, commercial subscribers, additional television outlets, and saturation (total subscribers divided by total dwelling units passed.)

(f) Statistics on system expansion. A listing of any expansion of the cable system including a measure, in miles of cable, of such expansion. Designations shall be included to identify expansions to new developments.

(g) Performance tests. Copies of any proof of performance tests filed with the Federal Communication Commission.

(h) Subscriber agreements. Copies of new or revised subscriber agreements, if any.

(Ord. No. 321, § 1, 1-19-81; Ord. No. 354, § 4, 7-18-83; Ord. No. 699, § 1, 4-2-07)

(a) Any grantee granted a franchise under this chapter shall pay to the city, during the life of such franchise, a sum equal to five (5) percent of the annual total gross receipts and in addition thereto, such other sums as may be provided for elsewhere in this chapter. In the event, however, there is in effect during any part of the franchise term, a state or federal limitation regulating or limiting the franchise fee percentage to a lesser amount, such regulation or limitation shall apply, but only for that period of time during which such regulation or limitation is in effect. Franchise fee payment by the grantee to the city shall be made annually by delivery of the same to the city finance director. Franchise payments required hereunder shall be in lieu of any business license, occupation tax or similar levy.

(b) The grantee shall file with the city auditor within ninety (90) days after the expiration of the grantee's fiscal year or portion thereof during which such franchise is in force, a statement of profit and loss certified to be a corporate officer, or person otherwise satisfactory to the city auditor, showing in detail the gross subscriber receipts, as defined herein, of the grantee during the preceding fiscal year or portion thereof. It shall be the duty of the grantee to pay to the city, within fifteen (15) days after the time for filing such statements, the sum hereinabove prescribed or any unpaid balance thereof for the fiscal year or portion thereof covered by such statements.

(c) The city shall have the right to inspect and audit the grantee's fiscal records. If any independent audit of the grantee's records directed by the city shows a franchise fee error in excess of two (2) percent in the city's favor, the grantee shall assume all reasonable costs for said audit. No acceptance of any payment shall be construed as a release or as an accord and satisfaction of any claim the city may have for further additional sums payable under this section or for the performance of any other obligation hereunder.

(d) Any neglect, omission or refusal of the grantee to file said verified statement, or to pay said percentage in full, at the time or in the manner hereinabove provided, which neglect, omission or refusal shall continue for more than fifteen (15) days following notice thereof to the grantee from the city shall be grounds for the termination of the franchise.

(e) PEG fee established. In accord with Public Utilities Code section 5870(n), any grantee of a franchise, or state franchisee, must pay to the city a fee for the support of public, educational, and governmental access ("PEG") channel facilities. The amount of the PEG fee established by this section is one percent of gross revenues, as defined in this Code, the applicable city-issued franchise, or Public Utilities Code section 5860(d).

(f) Franchise fee established. For any state franchisee, the amount of the franchise fee imposed by public Utilities Code section 5840(q) shall be five (5) percent of gross revenues, as defined in Public Utilities Code section 5860(d).

(g) Notices from state franchisees. Any notice a state franchisee is required to deliver to the city by Public Utilities Code section 5840(m) must be delivered to the city manager or a delegate.

(h) Nothing in this chapter is intended to limit or restrict in any way the imposition of any existing or future generally applicable, nondiscriminatory, competitively neutral tax, fee, or charge to a state franchisee, city franchisee, or the services the franchisees provide.

(i) Customer service provisions for state franchisees.

(1) All state franchisees must comply with all applicable state and federal laws and local regulations regarding customer service and customer protection.

(2) The city manager or a delegate may review the performance of state franchisees for compliance with the customer service requirements specified in Public Utilities Code section 5900 ("Customer Service Standards").

(3) If the city believes a material breach of the customer service standards has occurred, the city manager or a delegate shall give the state franchisee written notice of any alleged material breach(es). The state franchise shall remedy the specified material breach(es) no later than thirty (30) days from receipt of the notice.

(4) If the state franchisee fails to remedy the specified material breach(es) within thirty (30) days, the cable franchise administrator may impose monetary penalties on the following schedule:

a. Up to five hundred dollars ($500.00) for each day of each material breach, not to exceed one thousand five hundred dollars ($1,500.00) for each occurrence of a material breach.

b. For a second material breach of the same nature within twelve (12) months, up to one thousand dollars ($1,000.00) for each day of each material breach, not to exceed three thousand dollars ($3,000.00) for each occurrence of the material breach.

c. For a third or further material breach of the same nature within twelve (12) months, up to two thousand five hundred ($2,500.00) for each day of each material breach, not to exceed seven thousand five hundred ($7,500.00) for each occurrence of the material breach.

(5) Any monetary penalty imposed under this section may be appealed by the state franchisee to the city council. Appeals must be received in writing by the city clerk within sixty (60) days of imposition of the penalty. The state franchisee may present any relevant written or oral evidence of its choice. The city council may uphold or reverse, in whole or in part, the imposition of the monetary penalties.

(j) For the duration of any city-issued franchise, if that franchisee has existing unsatisfied obligations under the franchise to pay to the city any cash payments for the ongoing costs of public, educational, and governmental access channel facilities or institutional networks, the fee payable by each city and state franchisee shall be the franchisee's pro rata per subscriber share of the cash payment required to be paid by the city franchisee to the city for the costs of PEG channel facilities.

(1) Within forty-five (45) days of receipt of the notice required by Public Utilities Code section 5840(n), each city and state franchisee must provide to the city manager or a delegate a written statement of the number of its subscribers within the franchisee's service area in the city.

(2) Within forty-five (45) days of receipt all franchisee subscriber number statements, the city manager or delegate must calculate the division of the cash payments among all city and state franchisees, and provide written notice to each franchisee of the franchisee's share of the cash payment. This amount may expressed as a percentage of gross revenue or as an amount per subscriber, per month, or otherwise.

(k) Interconnection. To properly serve the city's interest in PEG programming, each state franchisee and city franchisee must comply with the PEG system interconnection requirements of Public Utility Code section 5870. The city manager or delegate may make any interconnection determinations of the city under Public Utility Code section 5870, including requiring interconnection where the city franchisee and state franchisee fail to reach a mutually acceptable interconnection agreement.

(Ord. No. 321, § 1, 1-19-81; Ord. No. 329, § 2, 9-8-81; Ord. No. 794, § 2, 12-5-17)

(a) Duration. The franchise granted under this chapter shall be for a term not to exceed fifteen (15) years from the date of its acceptance by the grantee as determined by the city council.

(b) Termination.

(1) The city may terminate any franchise granted pursuant to the provisions of this chapter in the event of the willful failure, refusal or neglect by the grantee to do or comply with any material requirement or limitation contained in this chapter, or any material rule or regulations of the council or city manager validly adopted pursuant to this chapter.

(2) The city manager may make written demand that the grantee do or comply with any such requirement, limitation, term, condition, rule or regulation. If the failure, refusal or neglect of the grantee continues for a period of thirty (30) days following such written demand, the city manager may place his request for termination of the franchise upon the next regular council meeting agenda. The council shall hold a public hearing to consider the city manager's request. The city clerk shall cause to be served upon such grantee, at least thirty (30) days prior to the date of such council meeting, a written notice of his intent to request such termination, and the time and place of the meeting. The city clerk shall also publish a notice of such a hearing, setting forth a time and place when and where any persons having any interest therein may appear before the council and be heard, at least ten (10) days prior to the hearing in a newspaper of general circulation within the city.

(3) The council shall consider the request of the city manager and shall hear any persons interested therein, and shall determine, in its discretion, whether or not any failure, refusal or neglect by the grantee was with just cause.

(4) If such failure, refusal or neglect by the grantee was with just cause, the council shall direct the grantee to comply within such time and manner and upon such terms and conditions as are reasonable.

(5) If the council shall determine such failure, refusal or neglect by the grantee was without just cause, then the council may, by resolution, declare that the franchise of such grantee shall be terminated and forfeited unless there be compliance by the grantee within such period as the council may fix, or reduce the length of the franchise by a period of time up to the duration of the failure and/or violation.

(6) The termination and forfeiture of any franchise shall in no way affect any of the rights of the city under the franchise or any provision of law.

(7) In the event of any holding over after expiration or other termination of any franchise granted hereunder, without the prior consent of the city, expressed by resolution, the grantee shall pay to the city reasonable compensation, damages and penalties of not less than one hundred (100) percent of all gross receipts during said period, unless an application for franchise renewal is pending before the council.

(c) Periodic review. Every five (5) years, commencing with the date of franchise adoption, the city may review any existing franchise and adopt, by resolution, any modifications that may be deemed reasonably necessary for the public health, safety or welfare. Such resolution shall only be adopted after a public hearing. The city clerk shall publish a notice of any such hearing, setting forth a time and place when and where any persons having any interest therein may appear before the council and be heard, at least ten (10) days prior to the hearing in a newspaper of general circulation within the city. The city clerk shall also cause a copy of such notice to be mailed to the grantee at least ten (10) days prior to the hearing. No modifications to the existing franchise may be made which will substantially amend the existing contractual rights and obligations of the grantee without the grantee's consent.

(d) Renewal. Any franchise granted under this chapter is renewable at the application of the grantee, in the same manner and upon the same terms and conditions as required herein for obtaining the original franchise, except those which are by their terms expressly inapplicable, provided, however, that the council may waive compliance with any and all of those requirements. The council may give preference to a grantee having provided satisfactory service and an upgraded cable system during his franchise term. The grantee shall make application for franchise renewal at least one year prior to franchise expiration.

(Ord. No. 321, § 1, 1-19-81; Ord. No. 329, § 3, 9-8-81; Ord. No. 699, § 1, 4-2-07)

(a) Each application for a franchise to construct, operate, or maintain any cable television systems in this city shall be filed with the city clerk and shall contain or be accompanied by the following:

(1) The name, address, and telephone number of the applicant.

(2) A detailed statement of the corporate or other business entity organization of the applicant, including but not limited to, the following and to whatever extent required by the city:

(i) The names and business addresses of all officers and directors of the applicant. If the applicant is a partnership or other unincorporated association, the name and address of each member, whether active or inactive shall be set forth, and if one or more partners are corporations, the names, addresses and occupations of such corporation's officers, directors and major stockholders shall also be stated.

(ii) The names and business addresses of all officers, persons and entities having, controlling or being entitled to have or control of five (5) percent or more of the ownership of the applicant and the respective ownership share of each such person or entity.

(iii) The names and addresses of any parent or subsidiary of the applicant, namely, any other business entity owning or controlling applicant in whole or part or owned or controlled in whole or in part by the applicant, and such a statement describing the nature of any such parent or subsidiary and the areas served thereby.

(iv) A detailed description of all previous experience of the applicant in providing cable television system service and in related or similar fields.

(v) A detailed and complete financial statement of the applicant, prepared by a certified public accountant, for the fiscal year next preceding the date of the application hereunder, or a letter or other acceptable evidence in writing from a recognized lending institution or funding source, addressed to both the applicant and the council, setting forth the basis for a study performed by such lending institution or funding source, and a clear statement of its intent as a lending institution or funding source to provide whatever capital shall be required by the applicant to construct and operate the proposed system in the city, or a statement from a certified public accountant, certifying that the applicant has available sufficient free, net and uncommitted cash resources, to construct and operate the proposed system in this city along with a statement setting forth the minimum amount of cash resources to be committed to the construction and operation of the proposed system in the city.

(vi) A statement identifying by name, place, address, telephone number any other cable television franchise(s) awarded to the applicant, its parent or subsidiary; the status of said franchise(s) with respect to completion thereof; and the amount of applicant's and its parent's or subsidiary's resources committed to the completion thereof.

(3) A detailed description of the proposed plan of operation of the applicant which shall include, but not be limited to the following:

(i) A detailed map indicating all areas proposed to be served, and a proposed time schedule for the installation of all equipment necessary to become operational throughout the entire area to be served.

(ii) A statement or schedule setting forth all proposed classifications of rates and charges to be made against subscribers and all rates and charges as to each of said classifications, including installation charges and service charges.

(iii) A detailed, informative, and referenced statement describing the actual equipment and operational standards proposed by the applicant. In no event shall said operational and performance standards be less than those contained in Title 47, Subpart K (Section 76-601 et seq.), Rules and Regulations, Federal Communications Commission, adopted February 2, 1972, and as amended.

(v) A copy of the form of any agreement, undertaking, or other instrument proposed to be entered into between the applicant and any subscriber.

(vi) A detailed statement setting forth in its entirety any and all agreements and undertakings, whether formal or informal, written or oral, or implied, existing or proposed to exist between the applicant and any person, firm, or corporation which materially relate to, materially pertain to, or materially depend upon, the application and the granting of the franchise.

(4) A copy of any agreement covering the franchise area, if existing between the applicant and any public utility subject to regulation by the California Public Utilities Commission providing for the use of any facilities of the public utility, including but not limited to poles, lines or conduits.

(5) Any other details, statements, information or references pertinent to the subject matter of such application which shall be required or requested by the council, or by any provision of any other ordinance of the city.

(6) An application fee which shall be in form of a certified or cashier's check or a money order in the amount of three thousand dollars ($3,000.00). Said fee will be used to fund the studying, investigating and other processing of such application. If, in the opinion of the city manager, the processing costs exceed that required to complete the processing, the applicants shall deposit an amount specified by the city manager to fund the completion of the processing. The city shall provide each franchise applicant with a written statement of such expenses within thirty (30) days after completion of the application process. The first one thousand dollars ($1,000.00) shall not be returnable or refundable in whole or in part. Refunds for the fund balance over the expenses and the first one thousand dollars ($1,000.00) will be made at the same time as the written statement of expenses is issued.

(b) The council may, by advertisement or any other means, solicit and call for applications for cable television system franchises, and may determine and fix any date upon or after which the same shall be received by the city, or the date before which the same must be received, or the date after which the same shall not be received, and may make any other determinations and specify any other times, terms, conditions, or limitations respecting the soliciting, calling for, making and receiving of such applications.

(c) Upon receipt of any application for franchise, the council shall refer the same to the city manager who shall prepare a report and make his recommendations respecting such applications, and cause the same to be completed and filed with the council within one hundred twenty (120) days unless otherwise extended for an additional period of time by the city council.

(d) Upon receipt of said report and recommendations of the city manager the council shall:

(1) Decide and specify the terms and conditions of any franchise to be granted hereunder and as herein provided.

(2) Adopt a resolution of intention to consider the granting of such a franchise, and schedule a public hearing for such consideration, giving notice of receipt of the applications, and describing the character of the franchise desired, the terms and conditions upon which such franchise is proposed to be granted, that copies of the proposed franchise may be obtained at the office of the city clerk, fixing and setting forth a day, hour, and place certain when and where any persons having any interest of objection to the granting thereof may file written protests and appear before the council and be heard, and directing the city clerk to publish said resolution at least once in a newspaper of general circulation within the city at least ten (10) days prior to said hearing.

(e) At the time set for the hearing, or at any adjournment thereof, the council shall proceed to hear all interested persons and any objections or protests to the granting of a franchise.

In making any determination hereunder as to any application, the council may give due consideration to the quality of the service proposed, rates to subscriber, income to the city, experience, character, background, financial responsibility of any applicant, and its management and owners, technical and performance quality of equipment, willingness and ability to meet construction and physical requirements, and to abide by policy conditions, franchise limitations and requirements, and any other considerations deemed pertinent by the council for safeguarding the interests of the city and public. The council, at its discretion, shall determine the award of any franchise on the basis of such considerations and without competitive bidding.

(f) After the public hearing the council shall make one of the following determinations:

(1) That one or more of said applications for a franchise be denied which determination shall be final and conclusive; or

(2) That one or more of said applications for a franchise be granted upon the terms and conditions as specified in the resolution of intention to grant the same; or

(3) That one or more of said applications for a franchise be granted, but upon the terms and conditions different from those specified in the resolution of intention to grant the same.

(g) If the council shall determine that an application or applications for a franchise be denied, such determination shall be expressed by resolution and shall be final and conclusive.

If the council shall determine that an application or applications for a franchise be granted upon the terms and conditions as specified in the resolution of intention to consider granting the same, such determination shall be expressed by ordinance granting a franchise to the applicant or applicants.

If the council shall determine upon granting an application or applications for a franchise upon terms and conditions different from those specified in the resolution of intention to consider granting the same, then such determinations shall be expressed by resolution adopted prior to granting a franchise by ordinance.

(h) The council may reject any and all applications and may, if it so desires, request new and/or additional proposals. The council may at any time demand and applicant(s) shall provide such supplementary, additional or other information as the council may deem reasonably necessary to determine whether the requested franchise should be granted.

(i) Costs. The grantee shall assume and bear all the following costs, which costs shall be reasonable and customary, associated with granting this franchise ordinance, verification of the operational standards set forth herein, and the installation, construction and operation of the CATV system:

(1) Costs of publication of this franchise ordinance and any future changes thereto, as such publication is required by law.

(2) Costs associated with the city in employing an independent consultant to assist with the development of the franchise ordinance, proposals, and any negotiations required to grant this franchise ordinance; and costs and fees of the city attorney of Lomita in connection with the development of the franchise ordinance, the application for a franchise, the granting of the franchise.

(3) Any research studies authorized by the city council pursuant to the granting of the franchise ordinance.

(4) Costs of an independent engineering firm or consultant to witness the design, installation and initial proof of performance testing of the system as a verification of the grantee's adherence to the terms and conditions of this franchise ordinance.

(5) All costs related to construction of the CATV facilities, including, but not limited to, city excavation permit fees, construction inspection fees, and other city costs related to CATV installation and construction.

(6) City's costs of advertising and noticing for any public hearings related to rate increases.

(Ord. No. 321, § 1, 1-19-81; Ord. No. 329, § 5, 9-8-81; Ord. No. 356, § 1, 9-19-83; Ord. No. 699, § 1, 4-2-07)

(a) Security fund.

(1) Within thirty (30) days after written notification of the award of a franchise by the city, the selected grantee shall deposit as a security fund, the amount of fifty thousand dollars ($50,000.00) cash with the city or in an account the grantee selects in a federal or State of California bank or savings and loan association in the names of the City of Lomita and the grantee with the provision that the City of Lomita may withdraw funds on demand without approval of the grantee, as security for the faithful performance by the grantee of all provisions of this chapter and the franchise and compliance with all orders, permits and direction of any agency or department of the city having jurisdiction over the grantee's operation. Interest accrued in the fund may be utilized in maintaining the balance of fifty thousand dollars ($50,000.00) and any amount in excess of said balance may be withdrawn by the grantee. The said security fund shall be maintained during the entire life of the franchise agreement, any amendments to the agreement or any subsequent agreements. The city shall give the grantee ten (10) days' written notice prior to any withdrawal of funds under this section.

(2) Within fifteen (15) days after written notice to the grantee by the city that the city has withdrawn any amount from the security fund, the grantee shall deposit or pay to the city a sum of money sufficient to restore such security fund to the original amount of fifty thousand dollars ($50,000.00).

(3) Reserved.

(4) The security fund, including any interest that may have accrued, shall become the property of the city in the event that a franchise is terminated by the city by reason of a violation of this chapter or breach of the franchise pursuant to the provisions of section 12-1.06 hereof.

(5) Upon application to the city, the grantee shall be entitled to the return of all monies remaining in the security fund, including accrued interest, at the expiration of the franchise or any renewal thereof, provided there is then no outstanding default of monies owing on the part of the grantee to the city.

(6) The rights reserved to the city with respect to the security fund are in addition to all other rights of the city, whether reserved by this chapter or authorized by law, and no action, proceeding or exercise of a right with respect to such security fund shall affect any other right the city may have.

(b) Construction performance bond to the city. Upon being granted a franchise, and upon filing of the acceptance required under section 12-1.09 hereof, the grantee shall file with the city clerk a corporate surety bond or other adequate surety in the amount of five hundred thousand dollars ($500,000.00) which the grantee shall maintain in full force and effect until completion of construction determined as follows:

(1) Upon completion of construction, the grantee shall file with the city a letter certifying that construction of the cable television system has been completed in accordance with Title XII of the Lomita Municipal Code and the franchise agreement.

(2) Within fourteen (14) days of the filing of the letter required by section 12-1.08(b)(1), an independent consultant or engineer hired by the city shall complete an initial proof of performance test and shall file a report with the city.

(3) If the report of the independent consultant or engineer verifies that the cable television system has been completed in compliance with applicable technical requirements, the city council shall accept the report and construction shall be considered as completed as of the date of the filing of the letter required by section 12-1.08(b)(1).

The bond or agreement shall be conditioned that in the event that the grantee shall fail to comply with any one or more of the provisions of this chapter or of such franchise pertaining to the construction of the cable system, then there shall be recoverable jointly and severally from the principal and surety and damage of loss or costs suffered or incurred by the city as a result thereof, including attorneys' fees and costs of any action or proceeding, and including the full amount of any compensation, indemnification, cost of removal or abandonment of any property or other costs which may be in default, up to the full principal amount of said bond. Neither the provisions of this section, nor any bond accepted by the city thereunder shall be construed to excuse faithful performance by the grantee, or limit the liability of the grantee under a franchise issued pursuant to this chapter or for damages either to the full amount of the bond or otherwise.

(c) Hold harmless agreement. The grantee shall indemnify and hold harmless the city, its officers, boards, commissions, agents and employees, against and from any and all claims, demands, causes of action, actions, suits, proceedings, damage (including but not limited to damages to city property and damages arising out of copyright infringements, and damages arising out of any failure by the grantee to secure consents from the owners of authorized distributors or licensees of programs delivered by the grantee's cable television system), costs or liabilities of every kind and nature whatsoever, including but not limited to damages for injury or death or damage to person or property, caused solely by the negligent act or omission of the grantee, its officers, agents, and employees in the exercise of any of its rights or privileges under its franchise hereunder.

The term "costs or liabilities" includes but is not limited to, reasonable attorney's fees, reasonable accountant's fees, reasonable expert witness' or consultant's fees, reasonable per diem expenses and travelling expenses for witnesses, and court costs of any trial.

(d) Defense of litigation. The grantee shall at the sole risk and expense of the grantee, upon demand of the city, made by and through the city attorney, appear in and defend any and all suits, actions, or other legal proceedings, whether judicial, quasi-judicial, administrative, legislative, or otherwise, brought or instituted or had by third persons or duly constituted authorities, against or affecting the city, its officers, boards, commissions, agents, or employees, or arising out of or pertaining to the exercise or the enjoyment of such franchise or the granting thereof by the city.

The grantee shall pay and satisfy or shall cause to be paid and satisfied any judgment, decree, order, directive, or demand rendered, made or issued against the grantee, the city, its officers, boards, commissions, agents, or employees, in any of these premises; and such indemnity shall exist and continue without reference to or limitation by the amount of any bond, policy of insurance, deposit, undertaking or other assurance required hereunder, or otherwise; provided, that neither the grantee nor the city shall make or enter into any compromise or settlement of any claim, demand, cause of action, action, suit, or other proceeding without first obtaining the written consent of the other.

(e) Expenses of litigation. In the event of any legal action between the grantee and the city arising out of any alleged breach by the grantee of any term or condition or provisions of this franchise, the successful party shall be entitled to reasonable attorney's fees, and court costs related to the litigation, in addition to any other judgment or order by a court of competent jurisdiction.

(f) Insurance required. Upon being granted a franchise and upon the filing of the acceptance required under section 12-1.09 hereof, the grantee shall file with the city clerk and shall thereafter during the entire term of such franchise maintain in full force and effect at its own cost and expense each of the following policies of insurance:

(1) General comprehensive liability insurance in the amount of one million dollars ($1,000,000.00), together with bodily injury liability insurance in an amount not less than one million dollars ($1,000,000.00), for injuries including accidental death, to any one person, and subject to the same limit for each person in an amount not less than one million dollars ($1,000,000.00), on account of any one occurrence, and

(2) Property damage liability insurance in an amount not less than five hundred thousand dollars ($500,000.00), resulting from any one occurrence; provided, however, as follows:

(i) The city shall be named as an additional insured in any of said insurance policies; and

(ii) Where such insurance is provided by a policy which also covers the grantee or any other entity or person, it shall contain the standard cross-liability endorsement.

(Ord. No. 321, § 1, 1-19-81; Ord. No. 354, §§ 5—7, 7-18-83; Ord. No. 356, § 2, 9-19-83)

(a) No franchise granted under this chapter shall become effective for any purpose unless and until written acceptance thereof shall have been filed with the city clerk. Written acceptance, which shall be in the form and substance approved by the city attorney, shall also be and operate as an acceptance of each and every term and condition and limitation contained in this chapter, or in such franchise, or otherwise specified as herein provided.

(b) The written acceptance shall be filed by the grantee not later than 12:01 p.m. of the fifteenth day following the effective date of the ordinance granting such franchise.

(c) In default of the filing of such written acceptance as herein required, the grantee shall be deemed to have rejected and repudiated the franchise. Thereafter, the acceptance of the grantee shall not be received nor filed by the city clerk. The grantee shall have no rights, remedies, or redress under that franchise unless and until the council, by resolution, shall determine that such acceptance be received or filed, and then upon such terms and conditions as the council may impose.

(d) In any case, and in any instance, all rights, remedies and redress in these premises which may or shall be available to the city, shall at all times be available to the city, and shall be preserved and maintained and shall continuously exist in and to the city, and shall not be in any manner or means modified, abridged, altered, restricted or impaired by reason of any of these premises or otherwise.

(e) Any franchise granted and accepted under this ordinance shall be in lieu of any and all other rights, privileges, powers, immunities, and authorities owned, possessed, controlled, or exercisable by the grantee, of or pertaining to the construction, operation or maintenance of any cable television systems in the city.

(Ord. No. 321, § 1, 1-19-81; Ord. No. 329, § 6, 9-8-81; Ord. No. 354, § 8, 7-18-83)

(a) Every franchise granted under this chapter shall be nonexclusive.

(b) No privilege or exemption is granted or conferred by any franchise granted under this chapter except those specifically described herein.

(c) Any privilege claimed under any 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.

(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 force or involuntary sale, or by voluntary sale, merger, consolidation or otherwise, without prior consent of the council expressed by resolution, and then only under such conditions, as may therein be prescribed. Any such transfer or assignment shall be made only by an instrument in writing, such as a bill of sale, or similar document, a duly executed copy of which shall be filed in the office of the city clerk within thirty (30) days after any such transfer or assignment. The said consent of the council may not be unreasonably refused; provided, however, the proposed assignee must show financial responsibility as determined by the council 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, in whole or in part, to secure in indebtedness except that when such hypothecation shall exceed twenty-five (25) percent of the market value of the property used by the franchise in the conduct of the cable television system, prior consent of the council shall be required for such a transfer. Such consent shall not be withheld unreasonably.

In the event the grantee is a corporation, prior approval of the city council, expressed by resolution, shall be required where there is an actual change in control or where ownership of more than twenty-five (25) percent of the voting stock of the grantee is acquired by a person or group of persons acting in concert, none of whom already own fifty (50) percent or more of the voting stock, singly or collectively. Any such acquisition occurring without prior approval of the city council shall constitute failure to comply with a provision of this chapter within the meaning of section 12-1.06 of this chapter.

(e) Time shall be of the essence of any such franchise granted hereunder. The grantee shall not be relieved of his obligation to comply promptly with any of the provisions of this chapter by any failure of the city to enforce prompt compliance.

(f) Any right or power in, or duty impressed upon, any officer, employee, department, or board of the city shall be subject to transfer by the city to any other officer, employee, department, or board of the city.

(g) Any such franchise granted shall not relieve the grantee of any obligations involved in obtaining pole or conduit space from any department of the city, utility company, or from others who maintain utilities in the streets.

(h) The grantee shall have no recourse whatsoever against the city for any loss, cost, expense, or damage arising out of any provision or requirement of this chapter or of any franchise issued hereunder or because of its enforcement.

(i) The grantee shall be subject to all requirements of city laws, rules, regulations, and specifications heretofore, or hereafter enacted or established.

(j) Any franchise granted hereunder, shall be in lieu of any and all other rights, privileges, powers, immunities, and authorities owned, possessed, controlled, or exercisable by the grantee, or any successor to any interest of the grantee, of or pertaining to the construction, operation, or maintenance of any cable television system in the city and the acceptance of any franchise hereunder shall operate, as between the grantee and the city, as an abandonment of any and all of such rights, privileges, powers, immunities, and authorities within the city, to the effect that, as between the grantee and the city, all construction, operation and maintenance by any grantee of any cable television system in the city shall be, and shall be deemed and construed in all instances and respects to be, under and pursuant to said franchise, and not under or pursuant to any other right, privilege, power, immunity, or authority whatsoever.

(Ord. No. 321, § 1, 1-19-81)

(a) Nothing herein shall be deemed or construed to impair or affect, in any way, to any extent, the right of the city to acquire the property of the grantee, either by purchase or through the exercise of the right of eminent domain, at a fair and just value, and nothing herein contained shall be construed to contract away or to modify or abridge, whether for a term or in perpetuity, the city's right of eminent domain.

(b) There is hereby reserved to the city every right and power which is required to be herein reserved or provided by any law including, but not limited to the police power.

(c) Neither the granting of any franchise nor any provision hereof shall constitute a waiver or bar to the exercise of any governmental right of power of the city.

(d) The council may do all things which are necessary and convenient in the exercise of its jurisdiction under this chapter and may determine any question of fact which may arise during the existence of any franchise granted hereunder. The city manager, with the concurrence of the city attorney, is hereby authorized and empowered to adjust, settle, or compromise any controversy or charge arising from the operations of any grantee under this chapter, either on behalf of the city, the grantee, or any subscriber, in the best interest of the public. Either the grantee or any member of the public who may be dissatisfied with the decision of the city manager may appeal the matter to the council for hearing and determination. The council may accept, reject or modify the decision of the city manager, and the council may adjust, settle or compromise any controversy or cancel any charge arising from the operations of the grantee or from any provision of this chapter.

No adjustment, settlement or compromise whether instituted by the city manager or by the council, shall be contrary to the provisions of this chapter or of the franchise agreement, and neither the city manager nor the council in the adjustment, settlement or compromise of any controversy shall have the right or authority to add to, modify or delete any provision of the franchise agreement.

(Ord. No. 321, § 1, 1-19-81; Ord. No. 699, § 1, 4-2-07)

(a) Rules and regulations. The council may adopt procedural rules, regulations and standards for the purpose of carrying out the provisions of this chapter. The city therefore reserves the power to adopt and enforce requirements and regulations on any or all of the following matters, if and when deemed necessary and proper in the public interest by the city council and are consistent with rules and regulations of the Federal Communications Commission:

(1) Procedures for the periodic fixing of reasonable rates and service charges to be charged to subscribers by the grantee, and provisions for the enforcement thereof.

(2) Channel capacity requirements.

(3) Operational standards pertaining to the quality of audio-visual reception by subscribers.

(4) Requirements for carriage of specified television signals, radio signals, and supplementary signal carriage services.

(5) Requirements for the provision of equipment and channels for local production and presentation of cablecast programs, and regulations pertaining thereto.

(6) Requirements and regulations pertaining to minimum service requirements and fair business practices by the grantee.

(7) Public safety requirements pertaining to the installation and use of all CATV equipment.

(8) Procedures for the investigation and resolution of all complaints by subscribers regarding the grantee's CATV operations, including implementation thereof be designated city officer, employees or agents [sic].

(9) Public access channels, equipment and facilities.

(10) In the event that the Federal Communications Commission elects to deregulate any area of cable communication over which it currently exercises jurisdiction, or grant authority to municipalities to regulate in these areas, any franchise issued pursuant to this chapter shall be automatically amended, without any additional act by any party to it, to reflect these new municipal regulatory powers, and the city may, if it so elects, adopt rules and regulations in these areas.

(b) Technical performance standards. The grantee shall install, operate, and maintain the cable television system in accordance with all established technical performance standards.

(c) Technical performance standards of operation.

(1) The council may adopt rules, regulations and standards governing the operation of cable television systems in the city. Such rules, regulations and standards shall apply to and shall govern the operations of the grantee of any franchise hereunder, and are expressly declared a part of any franchise hereunder.

(2) The council may at any time adopt new rules or regulations or standards, or may amend, modify, delete, or otherwise change its respective rules or regulations or standards previously adopted.

(Ord. No. 321, § 1, 1-19-81; Ord. No. 329, § 7, 9-8-81)

(a) The provisions contained herein relating to rates shall apply to any grantee during the first year following the date of delivery of service pursuant to the initial grant of a franchise hereunder pursuant to the provisions of Government Code Section 53066.1(a) and shall continue to be applicable to any grantee beyond said first year unless said grantee makes the necessary election and files the necessary declaration of exemption with the city, all in accordance with the requirements of Government Code Section 53066.1.

(b) At the time of the granting of any franchise hereunder, the council shall establish and fix all rates and charges for the basic service, herein defined, allowable to the grantee, such as:

(1) Charges for installation.

(2) Subscriber rates.

(3) Service charges for separate classifications of service (e.g. additional connections, etc.).

(4) No charge shall be imposed upon any subscriber for termination of CATV service or removal of CATV apparatus upon termination of such service. No rate or charge of any type shall be imposed on a subscriber after receipt of notice of termination from such subscriber, unless such subscriber withdraws such notice prior to actual termination of service.

(5) No charge shall be made to any subscriber by reason of the maintenance, repair, removal, or replacement of any CATV apparatus, or property of the grantee, unless the same was caused by the deliberate or negligent act of said subscriber.

(6) Except as otherwise provided by paragraph (a) hereinabove, the grantee shall not charge different rates to subscribers within the same class of service, nor shall there be any difference in the service or facilities or in any other respect between subscribers within the same class, except that installation charges may vary according to the costs of installation. No grantee shall make or grant any preference to any corporation or person as to rates, charges, services, facilities, or rebates, or in any other respect, nor subject any corporation or person to any prejudice or disadvantage.

(c) The city council shall adopt a resolution establishing procedures for the periodic fixing and approval of reasonable rates and service charges to be charged by the grantee pursuant to the provisions of subsection 12-1.12(a).

(Ord. No. 321, § 1, 1-19-81; Ord. No. 329, § 8, 9-8-81; Ord. No. 354, §§ 9, 10, 7-18-83)

(a) Within thirty (30) days after acceptance of any franchise, the grantee shall proceed with due diligence to obtain all necessary permits and authorization which are required in the conduct of its business, including, but not limited to, any utility joint use attachment agreements, microwave carrier licenses, and any other permits, licenses and authorizations to be granted by duly constituted regulatory agencies having jurisdiction over the operation of cable television systems, or associated microwave transmission facilities.

(b) Within ninety (90) days after obtaining all necessary permits, licenses and authorization, including right of access to poles and conduits, the grantee shall commence construction and installation of the cable television system.

(c) Within one hundred eighty (180) days after the commencement of construction and installation of the system, the grantee shall proceed to render service to subscribers, and the completion of the installation and construction shall be pursued with reasonable diligence thereafter, so that service to all of the areas designated and scheduled on the map and plan of construction made part of the franchise shall be provided as set forth therein and in compliance with this chapter.

(d) Failure on the part of the grantee to commence and diligently pursue each of the foregoing requirements and to complete each of the matters set forth herein, shall be grounds for termination of such franchise. By resolution, the council, at its discretion, may extend the time for the commencement and completion of installation and construction for additional periods in the event the grantee, acting in good faith, experiences delays by reason of circumstances beyond his control.

By acceptance of the franchise granted hereunder, the grantee agrees that failure to comply with any item [time] requirements referred to in subsections (a), (b), (c) and (d) of this section will result in damage to the city, and that it is and will be impracticable to determine the actual amount of such damage in the event of delay.

The grantee agrees that, in addition to any other damage suffered by the city, he will pay to the city the sum of seven hundred dollars ($700.00) per day, and the term of this franchise shall be reduced by four (4) days per day, for each and every day's delay beyond the time prescribed in the grantee's proposal, plus authorized extensions thereof, for completion of any of the acts required to be done by this section.

(e) The grantee shall utilize existing poles, conduits, and other facilities whenever possible, and shall not construct or install any new, different, or additional poles, conduits or other facilities whether on public property or on privately owned property unless and until first securing the written approval of the city manager. Whenever the grantee shall not utilize existing poles, conduits and other facilities, or whenever existing conduits and other facilities shall be located beneath the surface of the streets, or whenever the city shall undertake a program designed to cause all conduits and other facilities to be located beneath the surface of the streets in any area or throughout the city, in the exercise of its police power or pursuant to the terms hereof, upon reasonable notice to the grantee, any such conduits or other facilities of the grantee shall be constructed, installed, placed or replaced beneath the surface of the streets. Any construction, installation, placement, replacement or changes which may be required shall be made at the expense of the grantee.

(f) The city shall have the right to make additional use, for any public or municipal purpose, whether governmental or proprietary, of any poles or conduits controlled or maintained exclusively by or for the grantee in any street, provided such use by the city does not interfere with the use by the grantee.

(g) In those areas of the city where the transmission or distribution facilities of the respective public utilities providing telephone, communication and electric services are underground, or hereafter are placed underground, the grantee likewise shall construct, operate and maintain all of his transmission and distribution facilities underground. The term "underground" shall include a partial underground system; amplifiers in the grantee's transmission and distribution lines may be placed in appropriate housings upon the surface of the ground.

(h) The grantee at his expense shall protect, support, temporarily disconnect, relocate, or remove any property of the grantee when, in the opinion of the city manager, the same is required by reason of traffic conditions, public safety, street vacation, freeway or street construction, change or establishment of street grade, installation of sewers, drains, water pipes, power line, signal line, transportation facilities, tracks or any other types of structure or improvements by governmental agencies whether acting in a governmental or a proprietary capacity, or any other structure or public improvement, including but not limited to movement of buildings, urban renewal and redevelopment, and any general program under which the city shall undertake to cause all such properties to be located beneath the surface of the ground. The grantee shall in all cases have the privilege, subject to the corresponding obligations, to abandon any property of the grantee in place, as herein provided. Nothing hereunder shall be deemed a taking of the property of the grantee, who shall be entitled to no surcharge by reason of anything hereunder.

(i) Upon the failure, refusal, or neglect of the grantee to cause any work or other act required by law or hereunder to be properly completed in, on, over, or under any street within any time prescribed, the city manager may cause such work or other act to be completed in whole or in part, and upon so doing shall submit to the grantee an itemized statement of the costs thereof. The grantee shall, within thirty (30) days after receipt of such statement, pay to the city the entire amount thereof.

(j) In the event that:

(1) The use of any part of the system of the grantee is discontinued for any reason for a continuous period of thirty (30) days, without prior written notice to and approval by the city; or

(2) Any part of such system has been installed in any street or other area without complying with the requirements hereof; or

(3) Any franchise shall be terminated, cancelled, or shall expire; then the grantee shall, at the option of the city, and at the expense of the grantee and at [no] expense to the city, and upon demand of the city, promptly remove from any streets or other area all property, and shall restore city property to such condition as the city manager shall approve. The council may, upon written application therefor by grantee, approve the abandonment of any of such property in place by the grantee and under such terms and conditions as the council may prescribe. Upon abandonment of any such property in place, the grantee shall cause to be executed, acknowledged, and delivered to the city such instruments as the city attorney shall prescribe and approve, transferring and conveying the ownership of such property to the city.

(Ord. No. 321, § 1, 1-19-81; Ord. No. 329, § 9, 9-8-81; Ord. No. 699, § 1, 4-2-07)

The city may intervene in any suit or proceeding in which the grantee is a party, provided that the city interests are not adequately represented by the existing parties, and provided further, that the disposition of each suit or proceeding without the grantor's participation may, as a practical matter, impair or impede the city's ability to protect those interests.

(Ord. No. 321, § 1, 1-19-81)

(a) In the event any new territory shall be annexed to the city which is contiguous to only one franchise area in the city, such new territory shall become, by operation of law, a part of such franchise area immediately upon the effective date of such annexation.

(b) In the event any new territory shall become annexed to the city which is contiguous to more than one franchise area in the city or is not contiguous to any franchise area, then the council shall determine at a public hearing, which the grantee or the grantees, if any, shall serve such new territory.

(c) In the event any portion of the unincorporated territory covered by an existing franchise or license granted by the County of Los Angeles is annexed to the city prior to the time that the grantee of such county franchise or license has commenced installation of a CATV system within said territory, all rights acquired by said grantee under its county franchise or license shall terminate by operation of law as of the date on which the annexation to the city becomes effective.

(d) In the event any portion of unincorporated territory covered by an existing franchise or license granted by the County of Los Angeles is annexed to the city after the grantee thereof has commenced or completed construction and installation of a CATV system within said territory, the rights reserved under such franchise or license to the County of Los Angeles or to any officer thereof, shall inure to the benefit of the city and all regulatory provisions of this chapter and any other rules and regulations applicable to CATV systems operating within the city, whether then in effect or subsequently adopted, shall be applicable to and binding upon said grantee. In addition, the grantee shall be obligated to pay annually to the city, the percentage of the gross receipts established by the County of Los Angeles in said franchise or license which are derived from its operations within the annexed territory for five (5) years or upon termination of the franchise, whichever is of the shorter time duration, at which time the council may establish the percentage of gross receipts to be paid to the city.

(Ord. No. 321, § 1, 1-19-81)

(a) The grantee shall at all times employ ordinary care and shall install and maintain in use commonly accepted methods and devices for preventing failures and accidents which are likely to cause damage, injuries, or nuisances to the public.

(b) The grantee shall install and maintain its wires, cables, fixtures, and other equipment in accordance with the requirements of the National Electrical Code, as it now exists or hereafter may be amended and in such manner that they will not interfere with any installations of the city or of a public utility serving the city.

(c) All structures and all lines, equipment, and connections in, over, under, and upon the streets, sidewalks, alleys, and public ways or places of the city, wherever situated or located, shall at all times be kept and maintained in a safe, suitable substantial condition, and in good order and repair.

(d) The grantee shall strictly adhere to all building and zoning codes currently or hereafter in force. The grantee shall arrange its lines, cables, and other appurtenances on both public and private property, in such a manner as to cause no unreasonable interference with the use of said public or private property by any person.

(Ord. No. 321, § 1, 1-19-81)

Upon termination of service to any subscriber, the grantee shall promptly remove all its facilities and equipment from the premises of such subscriber upon his request.

(Ord. No. 321, § 1, 1-19-81)

Any and all streets and public ways which are disturbed or damaged during the construction, operation, maintenance, or reconstruction of the cable television system, shall be promptly repaired by the grantee, at its expense, to the satisfaction of the city.

(Ord. No. 321, § 1, 1-19-81)

Services shall be offered to all city residents in accordance with the provisions of the franchise agreement. The grantee shall not materially reduce the level of service without permission of the city, but may at its discretion substitute programming to offer subscribers an equal or better array of services.

(Ord. No. 321, § 1, 1-19-81)

Upon the foreclosure of other judicial sale of all or a substantial part of the CATV system, or upon the termination of any lease covering all or a substantial part of the CATV system, the grantee shall notify the city clerk of such fact, and such notification shall be treated as a notification that a change in control of the grantee has taken place and the provisions of this chapter governing the consent of the council to such change in control of the grantee shall apply.

The city shall have the right to revoke the franchise one hundred and twenty (120) days after the appointment of a receiver, or trustee, to take over and conduct the business of the grantee, whether in receivership, reorganization, bankruptcy, or other action or proceeding, unless such receivership or trusteeship shall have been vacated prior to the expiration of said one hundred and twenty (120) days, or unless:

(a) Within one hundred and twenty (120) days after his election or appointment, such receiver or trustee shall have fully complied with all the provisions of the franchise and remedied all defaults thereunder; and

(b) Such receiver or trustee, within said one hundred and twenty (120) days shall have executed an agreement, duly approved by the court having jurisdiction in the premises, whereby such receiver or trustee assumes and agrees to be bound by each and every provision of the franchise.

(Ord. No. 321, § 1, 1-19-81)

In order to preserve the right of the city under the franchise provided for, and its right to acquire the property of the grantee by purchase or by eminent domain proceedings at its then fair market value, at any time during the existence of the franchise, it is especially provided that if at any time the franchise or the property of the grantee under the franchise shall become the subject of eminent domain proceedings by the city, the city reserves and shall have the right to terminate said franchise by resolution at or after such time as such proceedings are concluded.

(Ord. No. 321, § 1, 1-19-81; Ord. No. 356, § 3, 9-19-83)

It shall be the right of all subscribers to receive all available services insofar as their financial and other obligations to the grantee are honored. In the event that the grantee elects to overbuild, rebuild, modify, or sell the system, or the city revokes or fails to renew the franchise, the grantee shall do everything in its power to ensure that all subscribers receive continuous, uninterrupted service regardless of the circumstances during the lifetime of the franchise. In the event of purchase by the city or a change of grantee, the current grantee shall cooperate with the city to operate the system for a temporary period, in maintaining continuity of service to all subscribers.

(Ord. No. 321, § 1, 1-19-81)

Any individual, partnership or corporation employed by the city for the purposes of advising the city, its council, its commissions, city manager, or staff, on matters relating to cable television, or reviewing and evaluating, or assisting the city in reviewing and evaluating, proposals for the construction and operation of a cable television system(s), or regulating, or assisting the city in regulating, a cable television system, shall, as a term condition of their employment, file within ten (10) days of the date of employment with the city clerk, a statement containing:

(a) A listing and description of any financial and/or ownership held by the consultant in any cable television company, any subsidiary of affiliate of any cable television company, any company which is a supplier or customer of any cable television company, or in any other company which owns stock or has any interest in any of those types of companies which are described in this section. If the consultant is a partnership, the financial and/or ownership interests in cable television companies affiliates, subsidiaries, suppliers, and customers of any partner must be disclosed. If the consultant is a corporation, the financial and/or ownership interests in cable television companies, affiliates, subsidiaries, suppliers, and customers of any shareholder, officer or directors must be disclosed.

(b) A listing and description of any cable television company, affiliate, subsidiary, supplier or customer which the consultant has represented, on a compensated or noncompensated basis, within the last fifteen (15) years.

The statement filed pursuant to this section shall be a public document open to inspection by any person. Failure to file this statement, or the inclusion of a material misrepresentation or omission within the statement, shall constitute grounds for the city's termination of the employment contract. This provision shall not apply to individuals who are subject to the reporting requirements of the "Political Reform Act of 1974" (California Government Code Sections 81008 et seq.) under the local conflict of interest code if the disclosures required by the code are substantially similar to those of this section.

(Ord. No. 321, § 1, 1-19-81; Ord. No. 699, § 1, 4-2-07)

(a) A franchise granted to provide service within the city shall authorize and permit the grantee to solicit, sell, distribute, and make a charge to subscribers within the city for connection to the cable television system of the grantee, and shall also authorize and permit the grantee to traverse any portion of the city in order to provide service outside the city.

(b) A franchise, easement, license or other permit granted to anyone other than a grantee to traverse any portion of the city in order to provide service outside the city shall not authorize nor permit said person to solicit, sell, distribute, or make any charge to subscribers within the city, nor to render any service or connect any subscriber within the city to the cable television service system of the grantee.

(c) If the grantee's franchise is revoked for cause pursuant to section 12-1.06 and the city exercises its right to acquire the grantee's cable television system by eminent domain or purchase, then and in that event only grantee's franchise shall be given no value in determining the purchase price.

(d) The grantee shall be subject to all provisions of the other ordinances, rules, regulations and specifications of the city heretofore or hereafter adopted, including but not limited to those pertaining to works and activities in, on, over, under and about streets.

Any privilege claimed under any franchise granted pursuant to this chapter in any street or other public property shall be subordinate to any prior lawful occupancy of the streets or other public property.

The grantee shall also be subject to the provisions of general laws of the State of California, or as hereafter amended, when applicable to the exercise of any privilege contained in any franchise granted under this chapter, including but not limited to those pertaining to works and activities in and about state highways.

(e) The grantee shall be prohibited from directly or indirectly doing any of the following:

(1) Engaging in the business of selling at retail, leasing, renting, repairing or servicing of television sets or radios;

(2) Imposing a fee or charge for repair to subscriber-owned receiving devices except for the connection of its service or for the determination by the grantee of the quality of his signal to the recipients thereof;

(3) Soliciting, referring, or causing or permitting the solicitation or referral of any subscriber to persons engaged in any business herein prohibited to be engaged in by the grantee;

(4) Providing information concerning the viewing patterns of identifiable individual subscribers to any person, group or organization for any purpose.

(f) If the Federal Communications Commission or the Public Utilities Commission of the State of California or any other federal or state body or agency shall now or hereafter exercise any paramount jurisdiction over the subject matter of any franchise granted under this chapter, then to the extent such jurisdiction shall preempt or preclude the exercise of like jurisdiction by the city the jurisdiction of the city shall cease and no longer exist.

(g) When not otherwise prescribed herein, all matters herein required to be filed with the city shall be filed with the city clerk.

(h) No person, firm or corporation within the service area of the grantee, and where distribution lines are in place, shall be refused service; provided, however, that the grantee shall not be required to provide service to any subscriber who does not pay the applicable connection fee or service charge.

(Ord. No. 321, § 1, 1-19-81; Ord. No. 354, § 11, 7-18-83; Ord. No. 356, § 4, 9-19-83)

In the carrying out of the construction, maintenance and operation of the cable television system, the grantee shall not discriminate against any employee or applicant for employment because of race, creed, color, sex, or national origin.

The grantee shall take affirmative action to ensure that applicants are employed, and that employees are treated during employment without regard to their race, creed, color, sex or national origin. Such action shall include, but not be limited to, the following: Employment, upgrading, demotion or termination, rates of pay or other forms of compensation, and selection for training, including apprenticeship.

The grantee shall post in conspicuous places, available to employees and applicants for employment, notices setting forth the provisions of this nondiscrimination clause.

The grantee shall, in all solicitations or advertisements for employees placed by or on behalf of the grantee, state that all qualified applicants will receive consideration for employment without regard to race, creed, color, sex, or national origin.

The grantee shall incorporate the foregoing requirements in all of its contracts for work relative to construction, maintenance and operation of the cable television system, other than contracts for standard commercial supplies or raw materials, and shall require all of its contractors other than those contractors or subcontractors employing less than five (5) employees for such work to incorporate such requirements in all subcontracts for such work.

(Ord. No. 321, § 1, 1-19-81)

(a) From and after the effective date of this chapter, it shall be unlawful for any person to construct, install or maintain within any public street in the city, or within any other public property of the city, or within any privately owned area within the city which has not yet become a public street but is designated or delineated as a proposed public street on any tentative subdivision map approved by the city, any equipment or facilities for distributing any television signals or radio signals, through a cable television system, unless a franchise authorizing such use of such street or property or area has first been obtained pursuant to the provisions of this chapter, and unless such franchise is in full force and effect; or, unless specifically permitted by the council as expressed by resolution.

(b) It shall be unlawful for any person, firm, or corporation to make or use any unauthorized connection, whether physically, electrically, acoustically, indictively or otherwise within this city for the purpose of enabling himself or others to receive or use any television signals, radio signals, picture, program or sound, without payment to the owner of said system.

(c) It shall be unlawful for any person, without the consent of the grantee, to willfully tamper with, remove or injure any cables, wires, or equipment used for distribution of television signals, radio signals, pictures, programs or sound.

(d) If a subscriber files in writing with the franchisor a complaint for a service problem which is preventable and reasonably within the franchisee's or licensee's control, and if such franchisee or licensee fails within a reasonable period following receipt of written notice by the franchisor to remedy the problem, the franchisor may levy a penalty of up to five hundred dollars ($500.00) for any occurrence or series of related occurrences, unless the franchisee or licensee has fewer than five thousand (5,000) subscribers, in which case the penalty shall not exceed two hundred dollars ($200.00). If the franchisee or licensee objects to the penalty in writing to the franchisor, the franchisee or licensee and franchisor shall conduct arbitration in accordance with the rules of the American Arbitration Association. The decision of the arbitrator shall be final.

The franchisee or licensee shall provide written notice to each subscriber at intervals of not more than one year, of the sanctions provided in this section and of the procedure for reporting and resolving subscriber complaints, including the subscriber's right to complain in writing to the franchisor of the franchisee's failure to resolve a service complaint which is preventable and reasonably within the franchisee's or licensee's control. The proper address of the franchisor or licensor to which complaints may be directed shall be included in such notice.

(Ord. No. 321, § 1, 1-19-81)

If any section, subsection, sentence, clause or phrase of this chapter is for any reason held illegal, invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions hereof. The council hereby declares that it would have passed this chapter and each section, subsection, sentence, clause, and phrase hereof, irrespective of the fact that any one or more sections, subsections, sentences, clauses, or phrases be declared illegal, invalid or unconstitutional. The invalidity of any portion of this chapter shall not abate, reduce or otherwise affect any consideration or other obligation required of the grantee of any franchise granted hereunder.

(Ord. No. 321, § 1, 1-19-81)