San Francisco County Municipal Code Art. II Franchise Fees

Sec. 11.21. Amount. Sec. 11.22. Payment.

Sec. 11.23. Grantee Responsibility for Fees of Third Parties. Sec. 11.24. Franchise Fees Owed by Gas and Electric Grantees. Sec. 11.25. Acceptance of Payment Not a Release. Sec. 11.26. Fee Disputes. Sec. 11.27. Failure to Pay. Sec. 11.28. Franchise Fee Not in Lieu of Taxes.

(a) Grantee Fees. In consideration of the grant and exercise of a Franchise to construct, install, operate, or provide Services using, Facilities in the Public Rights-of-Way, a Grantee shall pay to the City a Franchise Fee expressed as a percentage of Gross Revenues or some other measure. The Franchise shall specify the fee to be paid, and the Gross Revenues to be included in the fee calculation. If a Franchise granted pursuant to this Chapter specifies a Franchise Fee established as the result of limiting Applicable Law, the City shall have the option to renegotiate the amount of the Franchise Fee upon a change in Applicable Law pursuant to the process set forth in Section 11.70 below. In considering changes to the Franchise Fee amount, the City shall consider the impact on consumers of any pass through that may be permitted. Nothing herein requires a Person to pay amounts in excess of any limits that may be established by state or federal law. (b) UVPP Fees. A UVPP that provides Services using a Cable System for which charges are assessed to Subscribers, but are not received by the Cable System Grantee, shall pay a fee in lieu of a Franchise Fee on such Service pursuant to the Franchise Fee calculation contained in the Cable System Franchise. (Added by Ord. 58-00, File No. 000198, App. 4/7/2000)

Unless otherwise specified in a Franchise, Grantees and Operators shall pay the Franchise Fee due to the City on a quarterly basis. Payment for each quarter shall be made to the City Controller not later than forty (40) City business days after the end of each calendar quarter. (Added by Ord. 58-00, File No. 000198, App. 4/7/2000)

A Grantee shall fully cooperate with the City in collection of Franchise Fees owed to the City by any Person using the Grantee's Facilities. (Added by Ord. 58-00, File No. 000198, App. 4/7/2000)

Nothing in this Chapter is intended to waive the City's authority to collect franchise fee surcharges pursuant to Division 3, Chapter 2.5 of the California Public Utilities Code. (Added by Ord. 58-00, File No. 000198, App. 4/7/2000)

No acceptance by the City of any Franchise Fee payment shall be construed as an accord that the amount paid is in fact the correct

amount owed, nor shall such acceptance of such Franchise Fee payment be construed as a release of any claim the City may have for additional sums payable. (Added by Ord. 58-00, File No. 000198, App. 4/7/2000)

In the event of any good faith dispute between a Person owing Franchise Fees and the City regarding the amount of Franchise Fees owed the City, the Person alleged to owe the Franchise Fees shall place the amount in dispute in an escrow fund from which, once the dispute is resolved, the Franchise Fees plus interest at the rate of the City's pooled funds shall be paid to the appropriate party. (Added by Ord. 58-00, File No. 000198, App. 4/7/2000)

In the event that a Franchise Fee payment is not received by the City on or before the due date set forth herein, or is underpaid (except for Franchise Fees placed in an escrow fund pursuant to Section 11.26 above), the Person subject to the fee will be charged interest on the amount due from the due date at an interest rate equal to 1.5% per month, compounded on an annual basis. A Person's failure to (a) place any disputed amount of Franchise Fees in an escrow fund pursuant to Section 11.26 above; or (b) make two successive quarterly Franchise Fee payments to the City shall constitute a Material Breach of Grantee's Franchise. (Added by Ord. 58-00, File No. 000198, App. 4/7/2000)

A Franchise Fee payment is not a payment in lieu of any tax, fee or other assessment of general applicability. (Added by Ord. 58-00, File No. 000198, App. 4/7/2000) SEC. 11.28-A PUBLIC, EDUCATIONAL, AND GOVERNMENT ACCESS CHANNELS FACILITIES AND ACTIVITIES FEE. (a) Amount of Fee. After January 1, 2010, any State Video Franchise holder providing State Video Service in the City shall pay to the City a fee to support the ongoing costs of public, educational, and government access channel facilities and activities in the amount of one and one-fifteenth percent (1.15%) 1 of the State Video Franchise holder's annual Gross Revenues from providing State Video Services in the City. (b) Payment of Fee. (1) A State Video Franchise holder shall pay the fee due to the City in this Section on a quarterly basis. Each quarterly payment shall be made to the City Controller no later than forty-five (45) days after the end of the calendar quarter. (2) A State Video Franchise holder shall include with the payment a statement of its Gross Revenues from providing State Video Services during the calendar quarter. (c) Use of Fee. (1) The City shall use the first one percent (1%) of the fee required under this Section to support public, educational, and government channel facilities. (2) The City shall use any amounts over one percent (1%) of the fee required under this Section to support public, educational, and government channel facilities and activities. (3) In the event that Federal or State law is amended to allow the use of these funds for the purpose of PEG operating expenses the City may use these fees accordingly. (Added by Ord. 99-09, File No. 090287, App. 6/19/2009) CODIFICATION NOTE

1. So in Ord. 99-09.