Rolling Hills Municipal Code Art. II Application for and Granting of Franchise

Any person desiring a franchise for a cable television system, or the transfer or renewal of an existing franchise, shall file an application with the City. A nonrefundable application fee in an amount established by resolution of the Council shall accompany the application to cover initial costs associated with processing and reviewing the application. In addition, upon the issuance of a new franchise, the renewal of an existing franchise, or the transfer of a franchise, the grantee shall reimburse the City for all additional processing costs and expenses not covered by the initial application fee including, without limitation, the publication of notices and ordinances, the drafting of franchise ordinances and agreements, and consultants' fees and City Attorney or special counsel fees. Grantee shall reimburse such costs and expenses within thirty days after receipt from the City of an itemized statement setting forth such additional costs and expenses.

(Ord. 224 § 1(part), 1990).

The application for issuance of a franchise, or for transfer or renewal of a franchise, shall contain the following information as applicable:

A. The name and principal business address of the applicant, and the exact name, including any fictitious business name, if applicable, under which the cable television system is to be operated.

1. If the applicant is a general partnership or a joint venture, the name and address of each partner or joint venturer shall be set forth, and there shall be submitted a copy of any partnership or joint venture agreement, certified as true and correct by a responsible managing officer of the applicant,

2. If the applicant is a limited partnership, there shall be submitted a copy of the limited partnership agreement, if any, and the certificate of limited partnership as filed with the County Clerk, which documents shall be certified as true and correct by a responsible managing officer of the applicant,

3. If the applicant is a corporation, or a partner of any partnership or joint venture is a corporation, then the name of the corporation shall be set forth exactly as shown in the Articles of Incorporation, together with any authorizations to issue or transfer stock as well as proof that said corporation is in good standing and, if a foreign corporation, duly authorized to transact business in the State of California. A corporate applicant shall also submit a list of the names and addresses of all officers, directors, and principal management employees, and of all persons having a legal or equitable ownership interest in ten percent or more of the applicant's voting stock. The names and addresses of parent and subsidiary companies shall also be submitted;

B. A resume of the prior business history of applicant, including the experience of applicant in constructing, operating and maintaining a cable television system;

C. A description of the education and business background of each officer, director and managing employee of the applicant;

D. A current audited financial statement of applicant prepared by a certified public accountant, evidencing applicant's financial status and financial ability to undertake and complete the construction or reconstruction, operation and maintenance of a cable television system;

E. A description of the cable television system proposed to be constructed, reconstructed, operated and maintained by the applicant and the schedule therefor; the proposed location of such system and its various components, the manner in which applicant proposes to construct, reconstruct, maintain and operate the same; and the extent and manner in which existing or future poles or other facilities of public utilities will be used for such system;

F. A description of the existing or proposed public streets and public places within which applicant seeks authority to construct, reconstruct, operate and maintain any cable television system equipment or facilities proposed to be constructed, reconstructed, operated or maintained therein; and the proposed specific location thereof;

G. A map delineating the proposed franchise service area within which applicant proposes to provide cable television services, and the location of any proposed or existing antenna site and local business office;

H. A statement or schedule of proposed rates and charges to subscribers for installation and services, and a copy of any proposed service agreement between the applicant and its subscribers;

I. A copy of any contract, if existing, between the applicant and any public utility providing for the use of facilities of such public utility, such as poles, lines or conduits;

J. A statement setting forth all agreements and understandings, whether written, oral or implied, existing between the applicant and any person, firm or corporation with respect to the proposed franchise or the proposed cable television system operation. If a franchise is granted to a person, firm or corporation posing as a front or "alter ego" for another person, firm or corporation, and such information is not disclosed in the application, the franchise shall be deemed void and of no force and effect;

K. A market survey and economic analysis of the proposed franchise service area, including number of homes, population, income brackets and existing demand for cable television service if available;

L. A statement signed by a responsible managing officer of the applicant indicating whether any officer, director or principal management employee:

1. Has ever been convicted or held liable for acts involving moral turpitude (including, but not limited to, charges brought by any federal or state agency, or violations of any tax or securities law), or is presently subject to any indictment, investigation or complaint charging such acts,

2. Has ever had a judgment in an action for fraud, deceit or misrepresentation entered against him or her by any court of competent jurisdiction, or

3. Has pending any legal claim, lawsuit or administrative proceeding arising out of or involving a cable television system;

M. Any additional information that the City reasonably deems to be necessary in evaluating the technical, financial and legal capabilities of the applicant.

(Ord. 224 § 1(part), 1990).

Notwithstanding the provisions of Section 5.08.070, the Council may, by advertisement or any other means, solicit 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 solicitation and receipt of such applications.

(Ord. 224 § 1 (part), 1990).

A. Upon receipt of any application for a franchise, whether submitted pursuant to Sections 5.08.070 or 5.08.090, the application shall be referred to the City Manager for a report and recommendations concerning such application.

B. Upon receipt of the City Manager's report and recommendations, the City Clerk shall set a time and date for a hearing by the Council on the application.

(Ord. 224 § 1(part), 1990).

Not less than fifteen days before the hearing, the City Clerk shall give to the applicant notice in writing of the time, date and place of hearing. The City Clerk shall serve such notice upon the applicant, either by first-class mail, postage prepaid, or by personal delivery.

(Ord. 224 § 1(part), 1990).

Not less than fifteen days prior to the hearing, the City Clerk shall cause a notice to be posted in three places within the area proposed to be served by the applicant stating the time, date and place of the hearing. The City Clerk shall publish in a newspaper of general circulation distributed within the area proposed to be served, and pursuant to Section 6063 of the Government Code, the same notice as is required to be posted.

(Ord. 224 § 1(part), 1990).

At any time after the filing of an application as provided by this chapter, and prior to the hearing thereon, any interested person may file with the City Clerk written comments, protests, or suggestions relating to the granting of the franchise, or to any proposed terms and conditions of the franchise.

(Ord. 224 § 1(part), 1990).

At the time and place set for the hearing, or at any continuation thereof, the Council shall hear the applicant, who may present any relevant evidence to show why the franchise should by granted, or why certain terms or conditions should or should not be imposed on such franchise if granted. The Council shall also receive testimony or statements from other persons who may attend the hearing.

(Ord. 224 § 1(part), 1990).

A. Within thirty days after the close of the hearing, and based upon the evidence received at the hearing, the Council shall make a decision as to whether the application should be granted, and, if granted, subject to what conditions. The Council may grant one or more franchises, or may decline to grant any franchise. The Council shall send a copy of its decision to the applicant.

B. The award of any franchise by the Council may be made on the basis of quality of service, rates to the subscriber, income to the City, experience and financial responsibility of the applicant, plus any other consideration that will safeguard the local public interest.

C. Grantee's Acceptance. Within twenty-five days after the effective date of the ordinance awarding or renewing a franchise, or with such extended period of time as the Council in its discretion may authorize, the grantee shall file with the City Clerk its written acceptance thereof, in form and content satisfactory to the City Attorney, together with any performance bond and insurance policies or certificates required by the franchise agreement, and grantee's agreement to be bound by, to comply with, and to do all things required of grantee by provisions of this chapter and the franchise agreement. If any of such conditions are not satisfied in the time and manner required hereunder, the Council may declare the franchise null and void.

(Ord. 224 § 1(part), 1990).