Loyalton Municipal Code Ch. 5.08 Cable Television Franchise

That the rights, privileges, and Franchise, subject to each and all of the terms conditions contained in this ordinance, be, and the same is hereby granted to Feather River TV Cable Systems, INC., herein after referred to as the Grantee, to bury, lay and use lines, wires, coaxial cables, buildings, equipment and appurtenances for the transmitting, distributing and supplying radio and television services along, across, under and upon the street ways, alleys, and places in and near the City of Loyalton, County of Sierra, State of California, for a period of Twenty Years from the date of this chapter, and no longer.
Said area or City is more particularly described as follows:

In Township T.21N, R.16E., all of section 13, which now is or may become the City of Loyalton.

In Township T.21N., R.16E., all of section 18, which now is or may become the City of Loyalton.

The Grantee of the aforementioned right, privilege, and franchise, shall during the term for which the same are granted, pay to the City of Loyalton, two percent (2%) of its gross annual receipts, arising from the use, operation or possession therefore: Provided however, that such percentage shall be payable annually, and if such payments shall not be made, such right, privilege, and franchise shall be forfeited.

The Grantee to this franchise shall file with the Clerk of the City of Loyalton within three (3) months after the expiration of the calendar year, or fraction thereof, a duly verified statement showing in detail the total gross receipts of the Grantee, its successors or askings, from the sale of the utility type service in the City of Loyalton, for which this franchise is granted. It shall be the duty of the Grantee to pay to the City of Loyalton, within thirty (30) days after the time for filing such statement, in lawful money, of the United States, the specified percentage of its gross receipts for the previous calendar year, or such fractional calendar year, covered by the statement. Any neglect, omission, or refusal by said Grantee to file such verified statement, or to pay said percentage, at the time, or in the manner hereinafter provided, shall be grounds for the declaration of the forfeiture of this franchise, and of all rights thereunder.

The Grantee of this franchise shall file a Corporate Surety Bond running to the City of Loyalton, with sufficient sureties, to be approved by the City Council, in a penal sum of Five Hundred dollars ($500), conditioned that the Grantee shall well and truly observe, fulfill, and perform each and every term , and condition of this franchise and that in case of any breach of condition of said bond, the whole amount of the penal sum therein named shall be taken and deemed to be liquidated damages, and shall be recovered from the principal and surety upon said bond. Said Bond shall be filed with the filed with the City of the granting of this franchise, and in case said bond shall not be filed, or shall not receive the approval of the Council, this franchise shall be forfeited.

This franchise shall never be considered or taken into account by any court, or other public authority, in fixing the value of said property in excess of the actual cost to the Grantee hereof in procuring the same.

The Grantee of this franchise shall:

(a) Construct, install, and maintain all new lines, wires, coaxial cables, and appurtenances in a good and workmanlike manner, and in compliance with all valid laws, ordinances, and regulations from time to time is force; (b) Pay to the City on demand, the cost of all repairs to the public property made necessary by any future operations of the Grantee under this franchise; (c) Indemnify and hold harmless the City and its officers from any and all liability for damages proximately resulting from any operations under this franchise. Grantee shall further provide certificate of insurances naming the City as an insured party and evidencing general liability

coverage in the amount of $100,000.00 - $500,000.00 and other liability coverages as now are maintained by Grantee by way of Hartford Insurance Group, policy number S4C987799. (d) Remove or relocate, without expense to the City, any facilities installed, used, and maintained under this franchise if and when necessary by any lawful change of grade, alignment, or width of any County or City road, way, alley, or place, including the construction of any subway or viaduct by the City; and (e) File with the City, within thirty (30) days after any sale, transfer, assignment, or lease of this franchise, or any part thereof, or of any of the rights or privileges granted there by, written evidence of the same certified thereto by the Grantee or its duly authorized officer.

In this even that the Grantee, in the course of its operations under this franchise, shall make any excavations or encroachment on any City or County road or Highway as defined in sections of the Sierra County Ordinances or Codes, the Grantee shall comply with all provisions of such Code governing such excavations and encroachments.

If the Grantee of this franchise shall fail, neglect, or refuse to comply with any of the provisions or conditions hereof, and shall not within thirty (30) days after written demand for compliance, or after such beginnings shall not prosecute the same with due diligence to completion, that the City of Loyalton by its City Council, may declare this franchise forfeited.

Within ten (10) days after the passage and publication of this Chapter, the Grantee shall file with the Clerk of the City of Loyalton a written acceptance of the franchise hereby granted, and agreement to comply with the terms and conditions hereof.

It is a matter of fact, and there is on file with the Clerk of the City of Loyalton, a “Petition and Application for transfer of ownership of the existing TV Cable System and Franchise.”

In addition, there is an agreement and contract now in existence between the former franchise holders i.e.., Loyalton Community TV Corporation and the instant Grantee i.e., Feather River RV Cable Systems, Inc., dated May 27,1970. By enactment of this chapter all necessary authorities, permissions, and approvals are hereby given to the Grantee to assume ownership and operation of the existing Loyalton System, and to the transfer of all rights, privileges, and assets to the Grantee.

This chapter constitutes all rights, privileges, and agreements between the City of Loyalton and the Grantee, and supersedes all other applications, agreements and permissions, and does by its enactment cancel and void all previous applications, proposals, agreements and contracts.

5.08.050 (Continued) – 5.08.100