Watsonville Municipal Code Art. 1 General

For the purpose of this chapter, the following terms, phrases, words and their derivations shall have the meaning given in this section. Words used in the present tense include the future; words in the plural number include the singular number; and words in the singular number include the plural number. Words not defined shall be given their common and ordinary meaning.

(a) “ADA” means the Americans with Disabilities Act of 1990.

(b) “Adequate staffing” means an adequate number of telephone lines are available within the defined telephone answer time and an adequate number of trained customer service representatives are present and available to respond to subscribers.

(c) “Basic cable service” means any service tier which includes at a minimum the retransmission of local television broadcast signals as defined by the Federal Communications Commission.

(d) “Business day” means any day during which the grantee’s business offices are open for the transaction of business. Grantee may not select to restrict the scope, force and effect of the customer service regulations identified in Article 6 of this chapter.

(e) “Business hours” means the hours during which the grantee’s customer service or business offices are open for the transaction of business.

(f) “Cable system” means a facility, consisting of a set of closed transmission paths and associated signal generation reception, and control equipment that is designed to provide cable service, including video programming, and which is provided to multiple subscribers within a community; but this term does not include:

(1) A facility that serves only to retransmit the television signals of one (1) or more television broadcast stations;

(2) A facility that serves subscribers without using any public right-of-way;

(3) A facility of a common carrier which is subject, in whole or in part, to the provisions of Title II of the Cable Act, except that such facility shall be considered a cable system (other than for purposes of Section 621(c)) to the extent such facility is used in the transmission of video programming directly to subscribers, unless the extent of such use is solely to provide interactive on-demand services;

(4) An open video system that complies with Section 653 of the Cable Act; or

(5) Any facilities of any electric utility used solely for operating its electric utility systems.

(g) “Cable service” means the total of the following:

(1) The one-way transmission to Subscribers of audio and video programming, or other programming services offered to Subscribers by the Franchise; and

(2) Subscriber interaction, if any, which is required for the selection of such audio and video programming, data or other programming services.

(h) “Cable Channel” means a portion of the electromagnetic frequency spectrum which is used in a Cable System and which is capable of delivering a television channel as defined by the Federal Communications Commission.

(i) “Closing Date” as used in this Chapter means the calendar date through which all charges are imposed and payments and credits reflected for any given billing period.

(j) “Collection Action” means any threatened or actual initiation of adverse credit evaluation or referral to any credit reporting agency, association or bureau and/or the threat of, or initiation of legal action.

(k) “Customer Service Representative” is an agent, employee or contractor of the Grantee authorized and empowered to bind the Grantee as to the subject matter of the Customer Service Regulation identified within Article 6 of this Chapter.

(l) “Customer Service Supervisor” is an agent, employee or contractor of the Grantee authorized and empowered by the Grantee to control and direct the activities of Customer Service Representatives as to the subject matter of the Regulation utilizing the latter term.

(m) “Deposit” is the amount paid by a Subscriber which is not credited to a current charge within twenty (20) business days after receipt thereof.

(n) “Due Date” is a Business Day not less than twenty (20) business days after the date of the mailing of a bill for Cable Service. Such Due Date shall be the date by which, if payment is made thereby, no additional charge shall be imposed or collected by reason of the timeliness thereof.

(o) “Effective Date” shall be the first day of the term of the Franchise.

(p) “Franchise” means the right to operate a Cable System pursuant to a Franchise Agreement.

(q) “FCC” means the Federal Communications Commission or its designated representatives.

(r) “Franchise Agreement” means a Franchise approved by the Grantor pursuant to Chapter XII of the City Charter containing the specific provisions of the Franchise granted, including references, specifications, requirements and other related matters.

(s) “Franchise Area” means an entire geographic area within the City limits of the City as it is now constituted or may in the future be constituted, unless otherwise specified in the Franchise Agreement.

(t) “Franchise Fee” means any tax, fee or assessment of any kind imposed by the City on a Grantee or Subscriber, or both, solely because of their status as such. The term “Franchise Fee” does not include:

(1) Capital costs which are required by the Franchise Agreement to be incurred by Grantee for PEG Access Facilities;

(2) Requirements or charges incidental to the awarding or enforcing of the Franchise, including payments for bonds, letters of credit, insurance, indemnification, penalties, or liquidated damages required by the Franchise Agreements; or

(3) Any fee imposed under Title 17 (Copyrights) of the United States Code.

(u) “Franchise Property” means all property owned or leased within the Service Area by Grantee while in the conduct of the Cable System business under a Franchise.

(v) “Grantee” means any Person receiving a Franchise Agreement pursuant to this Chapter, and its lawful successor, transferee or assignee.

(w) “Grantor” means the City of Watsonville.

(x) “Gross Annual Revenues” or “Gross Annual Receipts” or “Gross Receipts” means all revenue, as determined in accordance with Generally Accepted Accounting Principles, which is received, directly or indirectly, by Grantee and by each Affiliated Person from or in connection with the distribution of any Cable Service, and any other Service which may, under now or then applicable federal law, be included in the Cable Act definition for the purpose of calculating and collecting the maximum allowable Franchise fee for operation of the System, whether or not authorized by any Franchise, including, without limitation, leased or access channel revenues received, directly or indirectly from or in connection with the distribution of any Cable Service. It is intended that all revenue collected by the Grantee, and by each Affiliated Person, from the provision of Cable Service over the System, whether or not authorized by the Franchise, be included in this definition. Gross Annual Revenue also specifically includes:

(1) The fair market value of any nonmonetary (i.e., barter) transactions between Grantee and any Person, other than an Affiliated Person, but not less than the customary prices paid in connection with equivalent transactions;

(2) The fair market value of any nonmonetary (i.e., barter) transaction between Grantee and any Affiliated Person, but not less than the customary prices paid in connection with equivalent transactions conducted with Persons who are not Affiliated Persons; and

(3) Any revenue received, as reasonably determined from time to time by the Grantor, through any means which is intended to have the effect of avoiding the payment of compensation that would otherwise be paid to the Grantor for the Franchise granted.

(4) Franchise fees collected from subscribers. Gross Annual Revenue also includes any bad debts recovered. Gross Annual Revenue also includes all advertising revenue which is received directly or indirectly by Grantee, any Affiliated Person, or any other person from or in connection with the distribution of any Service over the System or the provision of any Service-related activity in connection with the System. Gross Annual Revenue does not include:

(i) The revenue of any Person to the extent that such revenue is also included in the Gross Annual Revenue of Grantee;

(ii) Taxes imposed by law on Subscribers which Grantee is obligated to collect; and

(iii) Amounts which must be excluded pursuant to applicable law.

(y) “Installation” means the connection of the system to Subscribers’ terminals and the provision of service.

(z) “Isolated Outage” is a loss of a cable signal for at least one channel of Cable Service to a Subscriber which is not a System Outage.

(aa) “Person” means any corporation, partnership, proprietorship, individual, or organization authorized to do business in the State of California.

(bb) “PEG Access Facilities” means the total of the following:

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

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

(cc) “Poor Signal Quality” is a signal reception by a Subscriber below the standards for such a signal as adopted by the Federal Communications Commission.

(dd) “Referral Information” includes without limitation dispatch of personnel in situations affecting the health and safety of persons, information as to business hours and appropriate telephone numbers for business office contacts.

(ee) “Security Fund” means any negotiable financial instrument that is exercisable at the City’s sole option and in the City’s sole favor. Examples of such include, but are not limited to: corporate guarantee, or letter of credit.

(ff) “Service Area” means the area where Cable Service is available to the Subscribers at the street.

(gg) “Service Call” is any work requiring the visit of the Grantee’s representative to the location at which Cable Service is provided and any appointment requiring the presence of the Subscriber, including without limitation, the installation and repair of primary and additional outlets.

(hh) “Service Tier” means a category of Cable Service or other services provided by a Grantee and for which a separate rate is charged by the Grantee.

(ii) “Subscriber” means any person who or which elects to subscribe to, for any purpose, a service provided by the Grantee by means of or in connection with cable system.

(jj) “System Outage” means a loss of all channels upon the Cable System simultaneously affecting at least ten (10) customers.

(kk) “Telephone Answer Time” means that period of time from the initial ring signal to the Grantee to the acknowledgment of answer by the Customer Service Representative and includes all waiting and/or “on hold” time prior to such answer and all transfer time by any automated response unit from the time of appropriate menu selection by the Subscriber to the acknowledgment of answer by the Customer Service Representative.

(§ 1, Ord. 1054-98 C-M, eff. July 9, 1998)

Words, terms, or phrases not defined in this Chapter shall first have the meaning as defined in the Cable Act, and then the special meanings or connotations used in any industry, business, trade, or profession where they commonly carry such special meanings. If those special meanings are not common, they will have the standard definitions as set forth in commonly used and accepted dictionaries of the English language.

(§ 1, Ord. 1054-98 C-M, eff. July 9, 1998)

(a) The City, pursuant to Article XII of the City Charter, is authorized to grant one or more nonexclusive franchises to construct, operate, maintain and reconstruct Cable Systems within the City limits.

(b) The Grantor finds that the development of a Cable Telecommunications System has the potential of having great benefit and impact upon the residents of Watsonville. Because of the complex and rapidly changing technology associated with cable television, the Grantor further finds that the public convenience, safety and general welfare can best be served by establishing regulatory powers which will be vested in the Grantor and be administered by such persons as the Grantor shall designate. It is the intent of this Chapter and subsequent amendments to provide for and specify the means to attain the best possible Cable System to the public and any Franchise issued pursuant to this Chapter shall be deemed to include this finding as an integral part thereof. It is the further intent of this Chapter to establish regulatory provisions that permit the Grantor to regulate Cable Systems to the extent permitted by Federal and State law, including but not limited to the Cable Communications Policy Act of 1984, the Cable Television Consumer Protection and Competition Act of 1992, the Telecommunications Act of 1996, applicable Federal Communications Commission regulations and applicable California law.

(§ 1, Ord. 1054-98 C-M, eff. July 9, 1998)

(a) This Chapter shall be construed in a manner consistent with all applicable Federal and State laws. Whenever any State or Federal law has paramount jurisdiction over any specific provisions of this Chapter, or when such paramount jurisdiction is exercised by an individual with standing, the Federal Communications Commission (FCC) or Public Utilities Commission of the State of California (CPUC) or any other Federal or California State agency, such paramount jurisdiction shall preempt or preclude the exercise of like jurisdiction by the City. Any modification of such Federal or State law shall to the extent applicable be considered part of this Chapter as of the effective date of such law.

(b) In the event that the State or Federal government discontinues preemption in any area of cable communications over which it currently exercises jurisdiction in such manner as to expand rather than limit municipal authority, Grantor may, if it so elects, adopt rules and regulations in these areas, provided that such rules and regulations shall not apply to any Franchise Agreement issued pursuant to this Chapter before the adoption of such rules and regulations to the extent they materially adversely affect such Franchise Agreement, including without limitation, requirements with respect to system rebuilds, channel capacity, system design, construction and performance requirements, PEG Access Facilities, support for any such facilities, interconnect commitments, activation of interactive capability or institutional networks. Such new municipal regulatory powers may, however, affect existing franchises with respect to franchise renewal procedures, technical standards and related provisions.

(c) This Chapter shall apply to all Franchises granted or renewed after the effective date of this Chapter. It shall also apply to the extent permitted by applicable Federal or State law to all Franchises before the effective date of this Chapter.

(§ 1, Ord. 1054-98 C-M, eff. July 9, 1998)