Article IV — Duties and Liabilities

The applicant for a franchise shall pay to the City a sum of money sufficient to reimburse it for all publication expenses incurred by it in connection with the application and processing thereof. Such payment shall be made within thirty (30) days after the City furnishes the applicant with a written statement of the expenses. The City Council may by resolution require the deposit of a sufficient sum to cover such expense in advance of processing the application. (Ord. 1169 § 1, 9-5-1967; Formerly § 12A-14)

The grantee of a franchise under this chapter shall construct, install, and maintain all pipes, conduits, poles, wires and appurtenances in accordance and in conformity with all of the lawful ordinances and regulations adopted by the City Council in the exercise of its police powers, and, as to State highways, subject to the laws relating to the location and maintenance of such facilities therein. (Ord. 1169 § 1, 9-5-1967; Ord. 1208 § 2, 3-18-1969; Formerly § 12A-15)

The grantee shall pay to the City on demand the cost of all repairs to public property made necessary by any of the operations of the grantee under the franchise. (Ord. 1169 § 1, 9-5-1967; Formerly § 12A-16)

The grantee shall protect, defend, indemnify and hold harmless the City and its officers and employees from all liability for damages proximately resulting from any operations under the franchise.

(Ord. 1169 § 1, 9-5-1967; Formerly § 12A-17)

The grantee shall remove or relocate without expense to the City any facilities installed, used, or maintained under the franchise when made necessary by any lawful change of grade, alignment, or width of any public street, way, alley, or place, including the construction for or by the City of any subway or viaduct or any other lawful public work of governmental character. (Ord. 1169 § 1, 9-5-1967; Formerly § 12A-18)

The grantee shall file with the City Council no less than thirty (30) days prior to any proposed sale, transfer, assignment, or lease, of the franchise or any part thereof, or any of the rights or privileges granted thereby, written evidence of the proposed transaction certified to by the grantee or its duly authorized officers. No franchise issued under the provisions of this chapter shall be sold, transferred, assigned, or leased without the consent of the City Council, and any attempt to sell, transfer, assign or lease without such consent is a nullity.

(Ord. 1169 § 1, 9-5-1967; Formerly § 12A-19)

The grantee shall file with the City Clerk, within three months after the expiration of the calendar year, or fractional calendar year, following the date of the granting of the franchise and within three months after the expiration of each calendar year thereafter, a verified statement showing in detail the total gross receipts of the grantee, its successors, or assigns during the preceding calendar year or fractional calendar year arising from the use, operation and possession of the franchise and the gross receipts from the sale within the city of the utility service for which the franchise was granted. (Ord. 1169 § 1, 9-5-1967; Ord. 1208 § 3, 3-18-1969; Formerly § 12A-20)

The grantee shall pay to the City within 15 days after the time for filing its statement of gross receipts, in lawful money of the United States, the specified percentage of its gross receipts, and any other sum, for the calendar year or fractional calendar year covered by the statement. Any neglect, omission or refusal by the grantee to file the verified statement, or to pay the percentage at the time or in the manner provided constitutes grounds for the declaration of a forfeiture of the franchise and of all the rights thereunder.

(Ord. 1169 § 1, 9-5-1967; Ord. 1208 § 3, 3-18-1969; Formerly § 12A-21)

The grantee shall keep and maintain for the term of the franchise and three years thereafter suitable and accurate accounts and records in such form as to enable the City to readily ascertain and check the amounts due it pursuant to the requirements of any franchise granted; provided, that nothing herein contained shall be deemed to require noncompliance with the provisions of applicable Federal or State law or regulations being paramount hereto.

(Ord. 1169 § 1, 9-5-1967; Formerly § 12A-22)

The City shall have free access to and the right at any time to inspect and audit any books and records of the grantee involving or relating to calculations and transactions related to the franchise. (Ord. 1169 § 1, 9-5-1967; Formerly § 12A-23)

• (a) The grantee of a franchise under this chapter may be required to file a bond running to the City with at least two good and sufficient sureties approved by the City Council, or with a corporate surety approved by the City Council, in a penal sum prescribed by the City Council and set forth in the resolution of intention to grant the franchise, conditioned that the grantee shall well and truly observe, fulfill, and perform each term and condition of the franchise, and that in case of any breach of condition of the bond, the amount of the penal sum therein shall be recoverable from the principal and sureties upon the bond.

• (b) The bond, if required by the City Council, shall be filed with the City Council within five days after the date of the granting of the franchise; and if the bond is not so filed, or does not receive the approval of the City Council, the franchise may be refused or forfeited and any money paid to the City in connection therewith shall be retained by the City.

• (Ord. 1169 § 1, 9-5-1967; Formerly § 12A-24)

If the grantee of any franchise granted under this chapter fails, neglects, or refuses to comply with any of the provisions or conditions prescribed in this chapter and does not, within ten days after written demand for compliance, begin the work of compliance, or after such beginning, does not prosecute the work with due diligence to completion, the City, by its City Council, may declare the franchise forfeited.

• (Ord. 1169 § 1, 9-5-1967; Formerly § 12A-26)

If for any reason a person provides service within the purview of this chapter within the city without authority of a franchise, the City Council may cause a receiver to be appointed who shall have authority to take custody of the property and gross receipts of the person providing service without a franchise and, from the property and gross receipts which are impounded, pay to the City an amount equal to that which would be paid to the City if the person were providing service under lawful authority of a franchise in addition to any costs to be incurred incidental to the receivership. (Ord. 1169 § 1, 9-5-1967; Formerly § 12A-27)

The City shall also have the right to sue in its own name for the forfeiture of any franchise granted pursuant to this chapter because of the noncompliance of the grantee with any of the terms or conditions of the franchise.

(Ord. 1169 § 1, 9-5-1967; Formerly § 12A-28)

The grantee of the franchise under this chapter shall be liable to the City for all damages proximately resulting from the failure of the grantee well and faithfully to observe and perform any provisions of the franchise and any provision of this chapter. (Ord. 1169 § 1, 9-5-1967; Formerly § 12A-29)

The City shall be allowed exemplary damages for violation of any of the terms hereof or of any franchise issued hereunder if, and to the extent, allowed by law. (Ord. 1169 § 1, 9-5-1967; Ord. 1208 § 4, 3-18-1969; Formerly § 12A-30)

If legal proceedings are necessary to enforce compliance with the provisions of this chapter against any grantee of a franchise, said grantee shall be liable for the value of attorneys' services, services of other personnel, and other expenses of City which are necessary to gain compliance herewith. (Ord. 1169 § 1, 9-5-1967; Formerly § 12A-31)