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SR-501-002-01 (2) CA:RMM:lld124ajhpc city council Meeting 4-28-87 St?/~OO-z.-D/ ""0 ~PR 2 8 1987 Santa Monica, California STAFF REPORT FROM: Mayor and City Council City Attorney Ordinance Adding Chapter 13 to Article VI of the Santa Monica Municipal Code to Provide for the Establishment and Granting of Franchises or privileges for the Construction, Maintenance, and Operation of Cable communications or Cable Television Systems and Further Providing for the continuing Regulation and Administration of these Franchises and the Activities Relative to Them TO: SUBJECT: At its meeting on March 24, 1987, the City Council introduced for first reading an ordinance adding Chapter 13 to Article VI of the Santa Monica Municipal Code providing for the establishment and granting of franchises or privileges for the construction, maintenance, and operation of cable communications or cable television systems and further providing for the continuing regulation and administration of these franchises and the activities relative to them. The ordinance is now presented to the city council for adoption. RECOMMENDATION It is respectfully recommended that the accompanying ordinance be adopted. PREPARED BY: Robert M. Myers, city Attorney Laurie Lieberman, Deputy City Attorney (,-0 APR 2 8 1981 , ;.. ~ ~ - ~ ~ r ~ : - ~ ~ - - ~ ;) ; ) BEFORE DISTRIBUTION CHECK CONTENT DISTRIBUTION OF RESOLUTION It CouncIl MeetIng Date %'/17 Agenda Item It (}7-0 Was It amended? /)f~ VOTE: Affirmative: 7--c"/ NegatIve: Abstain: Absent: PROOF VOTE~ WITH ANOTHER PERSO~ BEFORE Ah~THING v15TKlnuTluN: uKIGINftL LO be signed, sealed and filed in Vault. OF ALL FOR CITY C}ERK'S ACTION ORDINANCE # /c/'C/ '7 Introduced: 'S/-2r /2 7 Adopted: AJJ>lAYS PUBLISH AOOP lW ORDINANCES * *Cross out Attorney r s approval y I' ~ , , NEWSPAPER PUBLICATION (Date: .- ) I ~ Department origInating staff report ( * ) *CI ty Attorney does not want copies of his ord.tnances or resolutions. lianagement SerVi;t.~e;? Lynne Bar.rette .0rdlnances only , . ~ i Agency mentIoned In document or staff report (certifIed?) SubJect file (agenda packet) 1 Counter file 1 o 't her s - (ReVIew for depci:L-u..ents who nee::i to kn:M) . - ) SEND FOU~ COPIES OF ALL ORDINANCES TO: COD~D SYSTEMS, A'ttn Pete~ Maclearie .1..10 ).,fa~n- rtr~et A~~'t ~~w Jersey_07717 SEND FOUR COPIES OF AU. ()HDTNANrps to: RK~ft ~~tek MUNICIPAL COURT (725 MAIN STREEt Room 118 SAj'lTA MONICA, CA 90401 *Check Ccxie Sections before sendIng. ; TOTAL COPIES ~/? SUBCHAPTER 13A Sectl.on 63000. Sect~on 63001. SUBCHAPTER 13B. Sectl.on 63002. Sectl.on 63003. Sect~on 63004. SectIon 63005. SectIon 63006. Sect10n 63007. Section 63008. Sect10n 63009. SectIon 63010. SectIon 63011. Sect10n 63012. SUBCHAPTER 13C. Sect10n 63013. Sect10n 63014. Sectl.on 63015. Sectlon 63016. Sectlon 63017. Sect10n 63018. Sect10n 63019. Sectlon 63020. INDEX TO CHAPTER 13 - CABLE ORDINANCE GENERAL PROVISIONS AND RESPONSIBILITIES. 1 1 n ten t . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 Deflnl tlons.. ..........................2 GRANT OF FRANCHISE... ... ....... ..... .10 Franch1se Requirements........... ..... .10 Appllcatlons for Franch1se ..... ..... .11 App 11 Cd t 1 on Fee............. .......... 15 Select10n of Grantee... ............... .15 Grant, of AuthorIty..... .... .......... .20 Re n ew a 1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21 Use of Pub11c Streets and Ways... ......21 Du rat i on . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21 Transfer of Ownership or Control...... .22 PolIce Powers... . . . . . . . . . .. . . . . . . . . . . . .25 Fr anchl se Fee......... ................26 REGULATION OF FRANCHISE. .... .... ..... .28 Regulatory Authority.................. .28 Regulatory ResponS1blll.ty............. .28 Pub11c Usage of the System. .......... ..29 Ra t e s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33 Rate Change Procedure.................. 33 Annual ReV1ew of Qua11ty of Serv1ce.. ..3~ System and SerV1ces Revlew. .......... ..34 New Developments................. ..... .36 1 SUBCHAPTER 13D. Beetlon 63021. Seetlon 63022. Seet1.on 63023 Seet10n 63024. Seetlon 63025. Sect1.on 63026. SUBCHAPTER 13E. SectIon 63027. Seet1.on 63028. Seet1.on 63029. SectIon 63030. Section 63031. Seetlon 63032. Seetlon 63033. Sectlon 63034. Sect10n 63035. Sect1.on 63036. SectIon 63037. Sectl.on 63038. SectIon 63039. SUBCHAPTER 13F. GENERAL FINANCIAL AND INSURANCE PROVISIONS. . . . . . . . . . . . . . . . . . . . . . . . . . . .38 ConstructIon BQnd........ ... ....... ....38 Complet1on and ~erformanee Bond..... ...38 See u r I ty Fund.......................... 41 LlqU1.dated Damages. ............. ...... .43 I ndemn if 1. cat 1. on. . . . . . . . . . . . . . . . . . . . . . . .46 Insurance............................. .47 DESIGN AND CONSTRUCTION PROVISIONS... .50 System Des1.gn......................... .50 Geograph1.cal Coverage.................. 51 Cablecastlng Fac1.l1.t1.es......... ...... .51 System Construetlon Schedule.......... .51 Delay 1n ConstructIon............... . . .5?- ProV1S1on of SerVIce.... ... .......... ..52 Undergroundlng of Cable............... .52 New Development Undergroundlng... ..... .53 Underground1ng at Mult1.ple Dwell1.ng Un 1 t s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 53 Locat1.on of Property of Grantee....... .54 Standards for Use of Streets.......... .56 Construct1.on and Technlcal Standards.. .58 Areaw1.de Interconnect ion. . . . . . . . . . . . . . .61 SERVICE PROVISIONS.. .................63 Bectlon 63040. Servlces to be Provided............. ...63 Section 63041. Bas1.c Cable ServIce....................65 Section 63042. Basic RadlO Serv1.ce................... .65 2 SectIon 63043. Seetlon 63044. SectIon 63045. Sectlon 63046. SectIon 63047. Sectlon 63048. SectIon 63049. SUBCHAPTER 13G. SectIon 63050. SectIon 63051. Sectl.on 63052. Section 63053. SectIon 63054. SectIon 63055. Sectlon 63056. SUBCHAPTER 13H. Section 63057. SectIon 63058. SectIon 63059. SectIon 63060. SectIon 63061. Sectlon 63062. Sect10n 63063 Sectlon 63064. Sectlon 63065. InstltutIonal SerVlce... ... .......... ..66 Add~tl9nal Su~scrlber Servlces....... ..66 Local OrIOlnatlon Channe!(s).......... .66 PublIc: Educatlonal, and Government (PEG) Access Facllltles....... ....... .66 Cable Channels for Commerclal Use..... .67 Leased Use of PEG Access Facllltles... .67 UnIversal Connectlon.. ................ .67 OPERATION AND MAINTENANCE.. . .67 Open Books and Records................ .67 Records RequIred... ................... .68 Rlghts of Indlv1duals.................. 68 Contlnulty of ServIce Mandatorv.. ..... .69 Grantee Rules and Reaulatlons.... ..... .70 Uniform and Veh1cle Identlflcatlon.... .71 Equal Opportunlty Programs....... ......71 CONSUMER PROTECTION. ............ ..... .72 Requests for Cable ServIce and Repairs.72 Complalnt Procedure.................... 74 Request for HearIng................... .75 Complalnt HearIngs Conducted by Hearlng OffIcer......... .............. .76 Complalnt NotIflcat1on......... ...... .77 RemedIes for VIolatIons............... .77 Complalnt Flle and Reports...... ,,_'w' .77 Tenant R1ghts.. . . . . . . . . . . . . . . . . . . . . . . . .78 Cl tv Riahts. . . . . . . . . . . . . . . . . . . . . . . . . . . .79 3 Seetlon 63066. Priv~cy........................... __.. .80 SUBCHAPTER 131. RIGHTS RESERVED TO CITy........... ... .84 Sectlon 63067. Rlght of Emlnent Domaln......... ...... .84 Sectlon 63068. Rights Authorlzed bV Clty Charter or Ordinance... ...... .................. .84 Section 63069. Rlght to Amend Chapter..... ...... ..... .85 Section 63070. Rlght to ExerClse Other Governmental Powe r 5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 85 Sectlon 63071. Rlght to Bring an Ac t 1 on . . . . . . . . . . . . . . . 85 Sectlon 63072. Rlght of Inspectlon of Constructlon... .85 Section 63073. Right to Inspect FaclIl tles. . . . . _ . . . . . .85 Section 63074. Rlght of Interventlon. . . . . . . . . . . . . . . . . .86 SUBCHAPTER 13J. Sectlon 63075. Sectlon 63076. Sectlon 63077. Sect10n 63078. Sect10n 63079. Seetlon 63080. Seetlon 63081. SUBCHAPTER 13K. Seetlon 63082. Sectlon 63083. Seetlon 63084. Seetlon 63085. Seetlon 63086. FRANCHISE VIOLATIONS AND TERMINATION. .86 Rem~dles for Franehlse Vl01atlons......86 Remedles for Delay ln Constructlon.. ...87 Procedure for Remedvlna Franchlse V 1 0 1 at lons . . . . . . . . . . . . . . . . . . . . . . . . . . . . .88 Forfel ture or Revocatlon............... 89 Procedures in the Event of Term1nation a r Exp 1 rat 1 on. . . . . . . . . . . . . . . . . . . . . . . . . . 91 Recelvershlp and Foreclosure. ......... .94 Grantee'$ Inablllty ta Perform........ .95 REPORTS. . . . . . . . . . . . . . . . . . . . . .. ....... 96 Annual Reports............. . . . . . . . . . . . .96 Plant Survey Report................... .97 Caples of Federal and State Reports... .98 Publ i c Reports............ ............98 Mlscellaneous Reports........ ....... ..98 4 SectIon 63087. Pub11c InspectIon.... ........ ........ .99 SectIon 63088. FaIlure to Report.... ................. .99 SectIon 63089. False Statements...................... .99 Sect10n 63090. Costs of Reports. ................ .99 SUBCHAPTER 13L. MISCELLANEOUS PROVISIONS.... ....... ..100 Sectlon 63091. Compliance w1th State and Federal Laws. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 100 SectIon 63092. SeverabIlIty: Non-Matertal Provl 5 10ns . . . . . . . . . . . . . . . . . . . . . . . . .. .100 SectIon 63093. SectIon 630Q4. SectIon 63095. SectIon 63096. SectIon 63097. SectIon 63098. cabIndex/ca SeverabIlIty: MaterIal PrOVISIons... .101 No tIC e s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 101 No Recourse Agalnst the C1ty......... .101 Nonenforcement by CIty............... .102 Wa 1 ve r s. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 102 EvaluatIon of WaIvers................ .102 5 ~ It CA:RMM:rmcable4/ca Clty Councll Meetlng 4-28-87 Santa Mon1ca, Callfornla ORDINANCE NUMBER 1iQl (CCS) (Clty Councll Serles) AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA ADDING CHAPTER 13 TO ARTICLE VI OF THE SANTA MONICA MUNICIPAL CODE TO PROVIDE FOR THE ESTABLISHMENT AND GRANTING OF FRANCHISES OR PRIVILEGES FOR THE CONSTRUCTION, MAINTENANCE, AND OPERATION OF CABLE COMMUNIC~TIONS OR CABLE TELEVISION SYSTEMS AND FURTHER PROVIDING FOR THE CONTINUING REGULATION AND ADMINISTRATION OF THESE FRANCHISES AND THE ACTIVITIES RELATIVE TO THEM THE CITY COUNCIL OF THE CITY OF SANTA MONICA DOES ORDAIN AS FOLLOWS: SECTION 1. Chapter 13 1S hereby added to Artlcle VI of the Santa Monlca Munlclpal Code to read as follows: CHAPTER 13 - CABLE ORDINANCE Subchapter 13A. General Provlslons and ResponSlbllltles. SECTION 63000. Intent. The Clty of Santa Monlca flnds: ( a ) The development of cable teleVlslon and communlcatlons systems has the potentlal of havlng great publlC benefit and lmpact upon the reSIdents of Santa Monlca. ( b ) Because of the complex and rapIdly changl~g technology assoclated wlth cable teleVlSlon, the publlC convenience, safety, and general welfare can best be served by 1 , ~ establIshIng regulatory powers In the CIty or In such persons as the CIty shall desIgnate. (c) ThIS Chapter provIdes for and specIfIes the means to attaIn the best poss2ble publIC Interest and publIC purpose In these matters and any franchIse Issued pursuant to thIS Chapter shall be deemed to Include thIS fIndIng as an Integral part thereof. SECTION 63001. DEFINITIONS. For purposes phrases shall of thIS Chapter, the follOWIng words and follOWIng meanIngs: Aaencv SubscrlQ~r. A government or publIC agency, school, or deSIgnated non-prOfIt organIzatIon WhICh receIves a serVIce from a cable communIcatIons system. BaSIC Gable SerVIce. Any serVIce tIer WhIch includes the retransmISSIon of local teleVISIon broadcast SIgnals. BaSIC ~adIo SerVIce. The prOVISIon of audIO programs to all subscrIbers at a monthly rate. ~roadcast Slanal. A teleVISIon or radIO SIgnal that 15 transmItted over the aIr to a WIde geographIC audIence and IS receIved by a cable communIcatIons system and retransmitted to subscribers. have the Cable CommunIcatIons System. 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 WhICh Includes VIdeo programmIng and 2 , r WhICh IS provided to multiple subscribers wIthIn a communIty, but such term does not Include: (1) A faCIlIty that serves only to retransmIt the teleVISion sIgnals of one or more teleVISion broadcast stations. (2) A faCilIty that serves only subscrIbers In one or more multiple unIt dwellIngs under common ownerShIp, control} or management, unless such facility uses any publIC rIght-of-way. (3) A faCIlIty of a common carrIer, except that such faCility shall be consldered a cable system to the extent such faCIlity IS used In the transmISSIon of VIdeo programmIng dlrectly to subscrlbers. (4) Any faCIlItIes of any electrIC utilIty used solely for operatIng lts electrIC utlllty system. I Cablecast $~~nal. A nonbroadcast SIgnal that orIgInates WIthIn the faCIlItIes of the cable communIcatIons system. Cable-mIle. A linear mIle of strand-bearIng cable as measured on the street or easement from pole to pole or pedestal to pedestal. Cable SerVIce. The total of the follOWIng: {ll The one-way transmISSIon to subscrIbers of VIdeo programmIng or other telecommunl=atlons serVIce. (2) SubscrIber InteractIon, If any, WhICh IS reqUIred for the selectIon of such VIdeo programmIng or other programming serVIce 3 t Channel or Cable Channel. A portlon of the electromagnetlc frequency spectrum WhlCh 1S used ~n a cable system and Wh1Ch 1S capable of dellver1ng a telev1s1on channel as def1ned by the Federal Communicatlons Comm1sS1on. C~ty. The C1ty of Santa Monlca. Clty Gouncll. The governlng body of the Clty of Santa Mon~ca. Commencement of Constructlon. The t~me and date when constructlon of the cable communlcat1ons system 1S cons1dered to have commenced} Wh1Ch shall be when the flrst connection 1S physlcally made to a utlllty pole, or underground1ng of cables 15 lnit1ated, after prellmlnary eng1neerlng (strand mapplng) and after all necessary permits and author1zatlons have been obta1ned. Commencement of Operat1on. The tlme and date when operat1on of the cable commun1cat1ons system 1S consldered to have commenced WhlCh shall be when suff1clent dlstr1butlon facillt1es have been lnstalled so as to permlt the offer1ng of full serVlce to a dwelllng un1t located w1th1n the franch1se area and such serV1ces are actually subscrlbed to by a res1dent of the franchise area. Commerc~al Subscr~ber. A subscrlber who receIves a . serVlce 1n a place of bus1ness, where the serVIce may be utlllzed 1n connect1on WIth a bUSIness} trade, or professIon. Commerc1al Use Channelfs}. The channel capac1ty des1gnated for commercIal use as deflned and requlred by federal law. 4 receIpt of the compl~lnt as well as a descrIptIon of the complaInt resolutIon process. (e) Grantee InvestIgatIon. Upon receIpt of a SUbscrIber Statement of ComplaInt, Grantee shall conduct an InvestIgatIon of the subscrIber complaInt. Grantee, wIthIn ten (10) days of receIVIng the complaInt, shall notIfy the subscrIber In wrItIng of the results of the InvestIgatIon, Its proposed actIon or resolutIon, If any and the reason for 1ts deCISIon. Grantee shall also notIfy the subscrIber of the subscrIber's rlght to flle a request for hearIng wlth CIty In the event the subscriber 1S dIssatIsfIed WIth Grantee's deCISIon. SECTION 63059. Reauest for Hearlna. (a) A subscrIber who IS dIssatIsfIed WIth Grantee's deCISIon or who was not sent a wrItten deCISIon WIthIn the ten (10) day perIod can fIle a request for a hearIng with the CIty Clerk WIthIn ten (10) days of receIpt of Grantee's deCISIon or If Grantee has faIled to Issue a deciSIon as requIred by SectIon 630SB(b}, w~thln thIrty (30) days of fil~ng of the subscrIber's complaInt. (b) The CIty shall not1fy the Grantee af the request for a hear1ng and the Grantee shall Immedlately forward to the Clty coples of all mater1als, Includlog the complaInt, lnvestlgatlon reports, and declslons, related to the dIspute. The Clty shall set the matter for hearlng as provlded 10 SectIon 61060 unless It lnformally resolves the complaInt tc the subscrlber's satlsfactlon wlthln ten (10) days. 75 SECTION 63060. ComplaInt HeqrInqs Conducted bv Hear1na Offlcer A hearlng shall be conducted by a hear1ng off1cer app01nted by C1ty follow1ng not1ce 1n wr1t1ng spec1fYIng the t1me and place for such hearing. The hearIng shall be conducted 1n accordance wIth procedures establIshed by the CIty pursuant to Mun1cIpal Code Sect10n 6126C-E and wIll be scheduled wIthIn twenty (20) days of receIpt of the request. The hearIng shall be conducted Informally, and the partIes may offer any eVIdence relevant to the d1spute, WhICh the hearIng officer may deem necessary to an understandIng and determinat10n of the dIspute. The decIslon of the hearlng offIcer shall be flnal and there shall be no rIght of appeal. Grantee shall defray the full cost of the hear1ng offIcer proceedIngs. In the event Grantee falls or refuses to advance fees or costs as requIred by the hearing offIcer, such fees or costs shall be obta1ned from the securIty fund. The procedures provlded 1n thIS SectIon shall not llmlt any common law or statutory rlghts of subscrIbers. 76 ~ . InItIal Servlce Area. The area of the CIty WhlCh will rece~ve serv~ce in~t~ally, as set forth 1n the franch~se agreement. If not stated otherWIse ~n the franchlse agreemen t, the initIal serVIce area shall cons~st of the entIre C1.ty. InstallatIon. The connection of the system from feeder cable to subscrIbers' termInals, and the prOVI$~On of serv~ce. Local Or191natIon Channel. Any channel where the Grantee IS the prImary desIgnated programmer, and provIdes vIdeo programs to subscr1bers. Monitor~ng. ObserVIng a communicatIon 51gna1, or the absence of a slgnal, where the observer 1S ne~ther the subscrIber nor the programmer, whether the s~gnal IS observed by vIsual or electronIC means, for any purpose whatsoever. MonItorIng shall not Include systemwIde, non-1nd1v1dually address~d sweeps of the system for purposes of ver1fYlng I system ~ntegrlty, controlling return paths, transm~ss~ons, or blll1ng. Nonbroadcast SIgnal. A slgnal that 15 provIded by a cable communIcatIons system and that ~s not 1nvolved ~n an over-the-alr broadcast transmlsslon path. Ooen Channel. Any channel that can be receIved by all subscrIbers, WIthout the necessity for speCIal equlpment. Pay-Cable or Pav-Tel,ev~Slon. The delIvery to subscrIbers, over the cable communIcatIons system, of teleVISion sIgnals for a fee or charge to subscr1bers over and 7 t above the charge for baS1C cable serv1ce, on a per program, per channel, or other subscr~ptlon basls. Penetrat1on. The result expressed 1n the percentage obta1ned by d1vId1ng the total number of dwellIng unIts 1n the franchIse area Into the number of subscrIbers receiVIng serV1ce. Per~on. Any Ind1vIdual, partnershlp, aSsOcIatIon, JOInt stock company, trust, corporatIon, or organlzatlonal entlty. Prlvate Channel or Closed Clrcu~t Channel. Any channel WhlCh 15 ava1lable only to subscr1bers who are provIded wIth spec1al converter or termInal equlpment to receIve signals on that channel. Proarammer. A person or entlty who or WhICh produces or otherWlse prov1des program materIal or 1nformat1on for transmISSIon by VIdeo, audlo, dIgItal, or other slgnals, eIther llve or from recorded tapes or other storage medIa} to subscrlbers, by means of the cable commun1catlons system. PUblIc, ~du~at1onal or Government Access FacIlIties or PEG Access FaCIlItIes. The total of the follow1ng: (1) Channel capacIty des1gnated for pUblIC, educat~onal, or governmental use. (2) FaCllltles and equ1pment for the use af such channel capacIty. P~G. PubllC, educatlonal, or government. n~sldent. Any person res1d1ng 1n the City as atherWlse def1ned by appllcable law. 8 . , ReSl~Qnt1~1 qUbgcrlb~r. A subscrlber who recelves a serV1ce 1n an 1nd1vldual dwellIng unIt, where the serV1ce 15 not to be utlllzed 1n connection with a bUSIness, trade, or professIon. Sale. Any sale, exchange, barter, or offer for sale. Schoo,. Any accredIted non-profIt educatIonal lnstltutIon InCludIng prImary and secondary schools, colleges, and unIversItIes, both public and prIvate. SerVIce Area or Franchise Area. The entIre geographIc area wlthln the CIty deSIgnated In a franchlse agreement to receIVe cable serVIce. Service TIer. A category of cable serVIce or other serVIces provIded by a Grantee and for WhICh a separate rate IS charged by the Grantee. street. Each of the follOWIng whIch have been dedlcated to the publIC or hereafter dedIcated to the publIC and maIntaIned under publIC authorIty or by others and located WIthIn the CIty lImIts: streets, roadways, hIghways, avenues, lanes, alleys, SIdewalks, easements, rIghts-of-way, and SImIlar publ1C property and areas that the Clty shall perm~t to be Included WIthIn the defInItIon of street from tIme to tlme. Subs~r~ber. ~ny person, fIrm, corporatlon, or other entIty who or WhICh elects to SUbscrIbe to, for any purpose, a serVIce prOVIded by the Grantee by means of or In connectIon WIth the cable communIcatIons system. 9 . Tao~lng. ObservIng a two-way commun1catlonS s1gnal exchange, where the observer 1S ne1ther of the communicat1ng parties, whether the exchange 1S observed by v1sual or electronlc means, for any purpose whatsoever. Two Way Commun1catlons. The transm1SSlon of telecommun1cat1ons signals from subsCrIber locatIons Or other pOlnts throughout the system back to the system's control center as well as transmISSIon of slgnals from the control center to subscr1ber locatIons. Subchapter 13B. Grant of FranchIse. SECTION 63002. iranchlse ReaUIrements. (a) FranchIse ReqUIred. No cable communIcatIons system shall be allowed to occupy or use the streets 1n the franchIse area or be allowed to operate wlthout a franchlse in accordance WIth the provIs1ons of thls ordInance. (b) Franch1se Nonexcluslve. Any franchIse granted shall be nonexcluslve. Clty specIfIcally reserves the r~ght to grant, at any tlme, such addItlonal franchlses for a cable communlcatlons system as 1t deems appropriate. (c) EstablIshment of Franchise Requlreme~t~. The C1ty may establlsh appropriate requlrements for new franchIses or franchise renewals, and may modify these requlrements from tIme to tIme to reflect changlng cond1tIons and state of art in the cable 1ndustry~ Such reqUIrements shall not be 10 , retroactive to franc~1ses then in effect, but shall become applicable when the franch~se ~s renewed, or when Grantee's serVIce area is expanded. Cd) Franchlsp' ~rea. The Clty may grant a franchlse for all or any deflned portIon of the CIty. The serVIce area shall be the entIre area deflned 1n the franchIse agreement. The lnltlal SerVlce area shall he that portIon of the franchIse area scheduled to recelve lnItlal serVIce, as stated In the franchIse agreement. SECTION 63003 ~Dolicatlons for FranchIse. Each applIcatIon for a franchise to construct, operate, or malntaIn any cable system 1n thIS Clty shall be flled with the CIty Clerk. ~n applIcatIon shall 1nclude, but shall not be Ilmlted to, the following InformatIon: (a) The name, I appllcant. address, and telephone number of the (b) ~ detalled statement of the corporate or bUSIness entity organIzat1on of the applIcant, lncludlng, but not lImIted to, the followlng and to whatever extent requ1red by the Clty: (1) The names, res1dence and bUS1ness addresses of all off1cers, directors, and assoclates of the applIcant. (2) The names, reSIdence and bUSIness addresses of all offIcers, persons, and entitles havlng any share of the ownershlp of the applIcant of one percent or more and the respectlve ownershIp share of each such person or entIty. 11 I (3) The names and addresses of any parent or subsidlary of the applicant, namely, any other buslness ent~ty own1ng or controllIng applicant ~n whole or 1n part or owned or controlled 1n whole or 1n part by the appllcant, and a statement descrIbIng the nature of any such parent or Subsld~ary buslness entlty IncludIng} but not lImIted to, cable systems owned or controlled by the applicant, its parent, and SUbsIdIary and the areas served thereby. (4) ~ detalled descrIptIon of all preVIOUS exper1ence of the appl1cant 1n prOVIdIng cable teleVISIon system serVIce and 1n related or slmllar fIelds. (5) A detaIled and complete fInanCIal statement of the applIcant, certIfIed by an Independent cert1f1ed publIC accountant, for the fIscal year next preceding the date of the applIcatIon hereunder, or a letter or other acceptable eVldence in wrltlng from a recognlzed lendIng instItutIon or fundIng source, addressed to both the applIcant and the Counell, setting forth the baSIS for a study performed by such lendIng lnst1tut1on or fundIng source, and a clear statement of Its Intent as a lend~ng InstItutIon or fundlng source to prOVIde whatever capItal shall be reqUIred by the applIcant to construct and operate the proposed system In the CIty, or a statement from an Independent certIfIed publIC accountant, cert1fYIng that the applIcant has aVdllable suff~clent free, net, and uncomm1tted cash resources to construct and operate the proposed system In thIS CIty. 12 ~ (61 A detailed flnanc~al plan (pro forma) descrlbIng for each year of the franchIse, proJected number of subscrIbers} rates} all revenues] operat~ng expenses} capItal expendItures, deprec~atlon schedules, Income statements, and a sources and uses of funds statement. All lnformat~on 15 to be presented ~n the format requIred by CIty. (7) ^ statement Ident1fYIng} by place and date, any other cable system franchIses awarded to the applIcant, and any parent, or SUbSIdIary corporat~onj the status of saId franchIses WIth respect to completIon thereof; the total cost of complet~on of such franchIsed systems; and the amount of applIcant's and Its parent's or subSIdIary's resources commItted to the completIon thereof. (8) A statement IdentIfYIng franchIses owned or operated by applIcant, Its parent or SUbSIdIary corporatIon, that have been revoked or llCengeS termInated by the Federal CommunIcatIon CommISSIon or franchISIng entlty. (c) A detailed descrIptIon of the proposed plan of operatlon of the applIcant WhICh shall lnclude, but not be lImIted to} the follOWIng: (1) A detaIled map Indlcatlng all areas proposed to be served, and a proposed tIme schedule for the lnstallatlon of all eqUIpment necessary to become operational throughout the entIre area to be served. (2) A statement or schedule settIng forth all proposed cla55lflcatlons of rates and charges to be made agaInst subscrIbers and all rates and charges as to each of 13 ~ & sa~d claSSlf~catlonSJ IncludIng Installation charges and serVIce charges. (3) ~ detailed, Informat~ve, statement descrIbIng the actual eqUIpment standards proposed by the applIcant. (4) ~ copy of the form and referenced and operatIonal undertakIng, or other Instrument proposed between the applIcant and any subscrIber. (5) ~ detaIled statement settIng forth in Its entIrety any and all agreements and undertakIngs, whether formal or Informal, wrItten, oral, or ImplIed, eXIstIng or proposed to eXIst, between. the applIcant and any person, fIrm, or corporatIon WhIch materIally relate or pertaIn to or depend upon the applIcatIon and the grantIng of the franchIse. of any agreement, to be entered into (d) ~ copy of any agreement coverIng the franchIse area, If eXIstIng, between the applIcant and any munICIpal utIlity or publIC utIllty SUbJect to regulatIon by the CalIfornIa Public UtIlItIes CommISSIon prOVIdIng for the use of any faCIlItIes of the publIC utIlIty IncludIng, but not lImIted to, poles, l~nes, or condUIts. (e) Any other detaIls, statements, InformatIon, or references pertInent to the subJect matter of such applIcatIon WhICh shall be reqUIred or requested by the City, or by any other prOVISIon of law. 14 . SECTION 63004. ~pgl~cat~on Fee. Ca} Amount. NotWIthstandIng any other reqUIrement of thIS Chapter, each applIcant must furnIsh w~th Its proposal a non-refundable f~llng fee In the form of a certIfIed or cashIer's check made payable to the CIty of Santa MonIca, In an amount as may be establIshed by the CIty at the tIme of applIcatIon. No proposal for a franchIse shall be conSIdered WIthout receIpt of saId check. (b) DeCoslt and Use. All checks receIved WIll be depOSIted to an account of the CIty and WIll serve to recover all expenses Incurred by the CIty In the preparatIon and grantIng of a franchIse, the executlon of a franChIse, and regulatIon of a franc~lse pursuant to thIS Chapter. SaId expenses shall Include, but not be lImIted to, any and "all admInIstratIve, engIneerIng, pUblIcatlon, or legal costs, and consulttant's expenses, Incurred 1n connectIon WIth the proceSSIng, evaluatIon, and preparatIon of documents relatIng to the franchIse. (c) AQdltlo~al Fee. In the event that expenses exceed the total amount of flllng fees collected from the applIcants, an applIcant awarded a franch~se shall pay to the Clty the excess amount. SECTION 63005. Select~on of Grantee. (a) Sollcltatlon of Proposals. The advertlsement or any other means, SOllC2t CIty may, by and call for appllcatlons for cable system franchIses, and may determIne and flX any date upon or after WhICh the same shall be 15 ~ ; recelved by the CIty, or the date before wh~ch the same must be rece~ved, 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 solIcItIng, calling for, makIng, and receIvIng of such applIcatIons. The terms and condItIons for applIcatIon shall be descrIbed In a document called "Request for Proposals." (b) Comollance WIth CItv Reaulrements. Any person submIttIng a proposal for a cable system in response to the CIty'S Request for Proposals shall provIde all InformatIon reqUIred by thIS Chapter and all other InformatIon requested by CIty'S Request for Proposals or otherWIse reqUIred by CIty. Each proposal shall be responSIve to the questIons solICItIng the InformatIon, and shall completely, accurately, and materIally supply all of the InformatIon so solICIted. Any mIsrepresentatIon, faIlure, neglect, or refusal to prOVIde any of such Information may, at the dIscretIon of CIty, render a proposal InvalId. The requested InformatIon must be complete and verIfIed as true by the applicant. (C) Property of C1tV. All proposals recelved by the CIty from an appllcant shall become the sole property of CIty and shall become publIC documents. (d) ~pol~cant ResoonSlbllltV. - - Before submlttlng a proposal, each appllcant shall be solely responSIble for and must: (1) Be famlllar wlth local condltlons that may In any manner affect performance under the franchlse, lncludlng} 16 . but 1n no event llmlted to, communIty and InstItutIonal telecommunIcatIon needs, relevant demograph1cs, topographIes, pole attachment polIcIes of approprlate utIlIty authorIties, underground1ng, and subscrIber deSIres (2) Be famIlIar w1th federal, state, and local laws, ordInances, rules, and regulations affectlng performance under the franchlse. (3) Carefully correlate and relate all informatIon and observatIons WIth the reqUIrements of thIS Chapter and the Request for Proposal documents. ee) Referral to CIty Manager. Upon receIpt of any applIcatIon for franchIse, the CIty Manager shall prepare and submIt a report to the CIty CounCIl WhICh Includes recommendatIons respectIng such applIcatIon. The CIty WIll evaluate all proposals that have complied wlth Its requlrements. All applIcants that have met the CIty'S qualIfIcatlons In the Request for Proposals and have submItted proposals on the reqUIred forms will be offered the opportunIty to make a formal presentatIon to the CIty CounCIl In support of theIr applIcatIons. (f) Investloatlons. The CIty may make such InvestIgatlons as It deems necessary to determIne the abIlIty of the applIcant to perform under the franchIse, and the applIcant shall furnlsh to the CIty all such lnformatlon and data for thIS purpose as the CIty may request. The CIty reserves the rlght to reJect any proposal If the eVIdence submItted by, or InvestIgatIon of such applIcant falls to 17 & satIsfy the CIty that such applIcant IS properly qualIf~ed to carry out the oblIgatIons of the franchIse agreement] comply wIth the provIsIons of thIS Chapter] or to satIsfactorIly construct and operate the system. Proposals that modIfy or place condItIons upon requirements stated In the CIty'S Request for Proposals may be reJected by the CIty. (g) Relectlon. The CIty may reJect any and all applIcatIons from whatever source and the CIty also reserves the rIght to requIrements where the best Interests whenever receIved and waIve any or all of the CIty may be served, and may] If It so deSIres, request new or addItIonal proposals. (h) PublIC Comment. If] upon receIVIng the CIty Manager~s report] the CIty CounCIl shall determIne to further conSIder the applIcatIon] It shall pass a resolutIon settIng a publIC hearIng for the conSIderatIon of applIcatIons] fIXIng and settIng forth a day] hour] and place certaIn when and where any persons haVIng any interest thereIn or obJectIons may fIle wrItten comments and appear before the CIty Councl1 and be heard, and dIrectIng the City Clerk to publIsh sald resolutlon at least once wlthln ten (10) days of the passage thereof In a newspaper of general cIrculatlon wlthln the CIty. (1) C~nslderatl0n. In makIng any determlnatIon hereunder as to any appllcatlon for a new franchIse] the Clty CounCIl may conSIder factors IncludIng] but not Ilmlted to} the quallty of the serVIce proposed, Income to the CIty, experlence] character, background, and flnanclal 18 ~ . responsibIlity or any applIcant, and lts management and owners, technlcal and performance quallty of equlpment, wlll1ngness and ablllty to meet constructlon and physical requlrements, to meet all requlrements set forth 1n thlS Chapter, and to ablde by all purpose and POllCY condltions, franehlse llmltatlons and reqUIrements, and any other considerat1ons deemed pertInent by the CIty Council for safeguardlng the lnterests of the Clty and the publIC. (J) DetermInatIon. ^t the tlme set for the hearIng, or at any adJournment thereOf, the City Counell shall proceed to hear all protests. The Clty Councll shall then make one of the followlng determlnatlons: (1) That such appllcatlon be denled, WhICh determInatlon shall be flnal and concluslve. (2) That such franchlse be granted upon such terms and Cordltlons as the Clty Councll may establlsh. Ck) Addlt~onal Informatlon. The City Councll may at any tIme demand, and appllcants shall provIde, such supplementary, addItional, or other lnformatlon as the CIty CounCIl may deem reasonably necessary to determlne whether the requested franchIse should be granted. (1) Awards Based on Herlt. It 1S the intentlon of the Clty to award any cable franchIse on the baSIS of merIt of proposals. To this end, any communlcatlons WIth CIty Councllmembers by those wlshlng to submlt proposals for a cable franchIse should be llmlted to publIC seSSlons. 19 ~ Requests for lnformation should be dlrected to the Clty Manager. (m) Cltv Council DeC1Slons Flp~l. Any declslon of the Clty Councll concernlng selectlon of a franchlse pursuant to th1s Chapter shall be flnal. SECTION 63006. Grant of Authorlty. (a) Successful appllcants chosen by the Clty Councll wlll be granted the right and prlvllege to construct, erect, operate, and ma1ntaln in} upon, along, across, above, over, and under the streets, alleys, publlC ways, and publlC places now lald out or dedlcated and all extenslons thereof, and addltlons thereto, 1n the Clty poles, wlres, cables, underground condults, manholes, and other cable conductors and flxtures necessary for the malntenance and operat1on 1n the Clty of Santa Honlca of a cable system, to be used for the sale and d1str1but1on of cable serVlces to the resldents of the Clty. (b) ~ny prlvllege clalmed under any such franchlse by the Grantee 1n any street or other publlC property shall be subordlnate to any prlor lawful occupancy of the streets or other publ1C property. (c) Insofar as lt 15 not lnconslstent Wlth or otherWlse preempted by Federal or State regulatlons, the Clty Councll retaIns all authorlty to regulate all telecommunlcat1ons serVlces provIded by a Grantee to the extent necessary to assure the dellvery of proposed servlces, lf any, and that 20 such serVlces are in compllance wlth all regulatory provIsIons of thls Chapter and other appllcable laws. SECTION 63007. Renewal. The renewal of any franchIse granted pursuant to thlS Chapter shall be subJect to the terms of appl1cable law and to such terms and condItIons as may be establIshed by the C1ty. SECTION 63008. Use of PublIC Streets and Ways. For the purpose of operat1ng and maIntaInIng a cable communIcatIons system 1n the franchIse area} and sUbJect to the provIsIons of SectIon 63037 hereIn} the Grantee may erect} Install} construct, repaIr, replace, reconstruct, and retaIn In, on, over, under} upon, across, and along the publIC streets and ways wIthIn the franchIse area such WIres, cables, conductors, ducts, condUIts, vaults, manholes, amplIfIers, applIances} pedestals, attachments, and other property and eqUIpment as are necessary and appurtenant to the operat1on of the cable communIcatIons system. Pr10r to construct1on or alteratIon, however, Grantee shall 1n each case fIle plans WIth the approprIate CIty agenc1es and local utIl1ty companIes, and receIve wrItten approval before proceeding. Grantee shall 1n any event comply w1th all applIcable City construct10n codes and procedures. SECTION 63009. Duratlon. The term of any franchIse and all rlghts, prIvlleges, obl1gatIons, and restrlctlons pertaInlng thereto shall be as speclfled 1n the franchlse agreement unless termInated sooner as hereInafter provlded 21 The effectlve date of the franch~se shall be the date of executIon of the franchIse agreement by C~ty, subJect to prIor executIon by Grantee. In no event shall the term of any franchIse exceed twenty (20) years. SECTION 63010. Transfer of OWnershlo or Control. (a) Transfer of Franch~~~. Any franchIse granted hereunder shall be a prIvIlege to be held for the benefIt of the publIC. SaId franchise cannot In any event be sold, transferred, leased, assIgned, or disposed of, IncludIng, but not lImIted to} by forced or voluntary sale} merger, conSOlIdatIon, receIvershIp, change of management, or other means wIthout the prIor wrItten consent of CIty, expressed by CIty CounCIl resolutIon, and then only under such condItIons as CIty may establIsh. CIty consent shall not be unreasonably wIthheld. (b) Ownershlo and Control. Grantee shall promptly notIfy In wrItIng CIty of any proposed change In} or transfer of, or acqUISItIon by any other party of, control of Grantee. The word ~control~ as used hereIn IS not lImited to maJor stockholders, but Includes actual workIng control In whatever manner exerCIsed. A rebuttable presumptIon that a transfer of control has occurred shall arIse upon the acqu1sIt10n or transfer by any person or group of persons of ten percent (10') or more of the benefIcIal ownership 1nterest of Grantee Every Change, transfer, or acquIsIt~on of control of Grantee shall make the franch1se SUbJect to cancellatlon unless and untIl CIty shall have consented thereto. For the purpose of 22 ~ determInIng whether It shall consent to such change, transfer, or acqu~sltlon of control, CIty retaIns the rIght to request such InformatIon as It deems approprlate to determ1ne the prospectIve party's quallfIcat1ons, and Grantee shall aSslst CIty 1n any such 1nquIry. (cl Grantee Resoonslb1~ity. In seekIng C1ty'S consent to any change 1n ownersh1p or control, Grantee shall have the responsIbIlIty: (1) To show to the satIsfact10n of C1ty whether the proposed purchaser, transferee, or ass1gnee WhICh shall Include all offIcers, dIrectors, and all persons haVIng a legal or equitable Interest In fIve percent (5%) or more of its votIng stock: (1) Has ever been convIcted or held lIable for acts InvolVIng moral turpItude IncludIng, but not lImIted to, lany VIolatIon of Federal, State, or local law or regulatIons, or IS presently under an Indlctment, InvestIgatIon, or complaInt chargIng such acts. (11) Has ever had a Judgment In an actIon for fraud, deceIt, or mIsrepresentatIon entered agaInst It, her, hIm, or them by any court of competent jur1sd~ctIon. (11i) Has pendIng any legal claim) laWSUIt} or admlnIstrat1ve proceedlng arISIng out of or lnvolvlng a cable system. (2) To establIsh, to the satIsfactIon of CIty, the flnanclal capabIlIty of the proposed transferee to operate the franchIsed system} based on the proposed transferee's 23 ~ aggregate f~nanc~al commItments and resources. CIty may request, and Grantee shall prov1de, all reasonable fInanCIal data relat~ve to the transfer. (3) To establlsh to the satIsfactIon of CIty that the capabIl1ty of the proposed transferee 1S such as shall enable It to maIntaIn and operate the cable system for the remalnlng term of the franchIse under the eXIstIng franchlse term, and, upon CIty request, to prOVIde adequate securIty for thIS purpose. (d) The Grantor agrees that any flnanc~al Instltutlon havlng a pledge of the franchlse or lts assets for the advancement of money for the constructlon and/or operatIon of the franch~se shall have the rIght to notlfy the Grantor that 1t or lts deslgnee satisfactory to the Grantor WIll take control and operate the cable commun1cat1ons system, 1n the event of a Grantee default 1n lts flnanclal obllgatlons. In such event, the flnanCIal lnstltutlon shall submlt a plan for operatIon that WIll Insure continued serV1ce and complIance WIth all franchIse requ1rements dur1ng the term the flnanclal InstItutIon exerC1ses control over the system. The fInanc~al tnstltut10n shall not exerClse control over the system for a perlod exceedlng one year unless extended by the Grantor 1n Its dlscretlon and durlng sa1d perlod of tlme It shall have the rIght to pet1tIon the Grantor to transfer the franch1se to another Grantee. If the Grantor finds that such transfer, after conslderlng the legal, flnancIal, character, technIcal, and other publ1C Interest quallflcatlons of the appllcant are 24 . satIsfactory, the Grantor shall transfer and aSSIgn the rlghts and oblIgatIons of such franChIse as In the publIC Interest. The consent of the Grantor to such transfer shall not be unreasonably WIthheld. (e) Consent to Transfer SubordInate to C~tv's Other RIghts. The consent or approval of CIty to any transfer of the franchIse shall not constItute a WaIver or release of the rIghts of CIty ~n and to the streets, and any transfer shall by Its terms, be expressly subordInate to the terms and condItIons of the franchIse. (f) Necessltv for CompletIon of ConstructIon. In the absence of extraordInary CIrcumstances, City shall not approve any transfer or aSSIgnment of the franchIse prIor to completIon of constructIon of the proposed system. (9) RIoht to Purchase Cable System. The franchIse agreement shall prOVIde the terms and condItIons under WhICh the CIty has the rIght to purchase the cable system, If and when It IS placed on the market for sale. (i) Successor In Interest. In no ev~nt shall a transfer of ownershIp successor 1n Interest franchIse agreement, approved by C1ty. or control be approved w~thout the becomIng a slgnatory to the eXlstlng or a modIfIed franchlse agreement SECTION 63011. pollce Powers. In acceptlng a franchIse, Grantee acknowledges that its rlghts hereunder are SUbJect to the polIce powers of CIty to adopt and enforce general ordlnances necessary to the safety and welfare of the 25 . publ1C; and 1t agrees to comply w1th all appllcable general laws and ord1nances enacted by C1ty pursuant to such power. Any conflIct between the provISIons of thls ord1nance and any other present or future lawful exerC1se of C1ty'S police powers shall be resolved 1n favor of the latter, except that any such exerCise that IS not of general appl1catIon 1n the JurIsdIction or applIes exclUSively to any cable commun1cat1ons system franchIse WhlCh conta1ns prov1sIons Incons1stent wlth thIS ord1nance shall prevaIl only 1f upon such exerC1se CIty f1nds any emergency eXIsts constItutIng a danger to health, safety, property, or general welfare of such exerCise If mandated by lftw. SECTION 63012. FranchIse Fee. (a) Annual FranchIse Payment. ~ Grantee of a franchIse hereunder shall pay to CIty an annual fee In an amount as deSignated 1n the franchIse agreement. Such payment shall be 1n addltlon to any other prescr1bed fees, lncludlng, but not IlmIted to, bUSIness llcense and permit fees) and shall commence as of the effectIve date of the franchIse. CIty, upon request, shall be furnIshed a statement, either audIted and certIfled by an Independent CertlfIed PublIC Accountant or certIfIed by a f1nanclal offIcer ot Grantee, reflectlng the total amounts of gross revenues and all payments, deductIons, and computatIons for the perIod covered by the payment. CIty shall have the rIght to conduct an Independ~nt audIt of Grantee's records} and 1f such audIt IndIcates a franch2se fee 26 underpayment of two percent (2') or more} Grantee shall assume all reasonable costs of such an audIt. (b) Acce!?tanc~ bv CltV. - - No acceptance of any payment by Grantee shall be construed as a release or as an accord and satlsfactlon of any cla1m CIty may have for further or additIonal sums payable as a franchIse fee under thIS ord1nance or for the performance of any other obl1gat10n of the Grantee. All amounts pald shall be subject to aud1t and recomputatlon by Clty. (c) Pavment scn~dule. FranchIse fee payments shall be made 1n accordance w1th the schedule 1ndlcated 1n the franchlse agreement. (d) Franchls~ Fee It~~lzatlon. Any Grantee tlpass through" or ItemIzatlon of franchlse fee costs on subscrIber's bllls shall be 1n accordance WIth Federal law. I (e) Fallure to Make Reaulred Pavment. - - - In the event that any franchIse payment or recomputed amount 15 not made on or before the dates speclf1ed 1n the franchlse agreement, Grantee shall pay as addItlonal compensatIon: (1) An 1nterest charge} computed from such due date, at an annual rate equal to the maximum interest rate Wh1Ch could lawfully be charged by a pr1vate lender 1n effect upon the due date. (2) A sum of money equal to f1ve percent (5%) of the amount due 1n order to defray those addltIonal expenses and costs Incurred by Clty by reason of del~nquent payment. 27 t Subchapter 13C. Regu~at~on of Ffanch1~e. SECTION 63013. Reoulatorv Author1tv. City shall exerC2se approprIate regulatory authorIty under the provIsIons of thIS Chapter and applIcable law. If the franchise area served by the cable communlcatlons system also serves other contIguous or neIghborIng communltles, CIty may, at Its sole optlon, partIc1pate 1n a JOInt regulatory agency, wIth delegated responSIbilIty in the area of cable and related communIcatIons. SECTION 63014. Requla~ory ReSDonsibllltV. - - City may exerCISe regulatory responsibIlity, Including, but not limited to, the folloWing areas: Ca} ~dmlnisterlng and enforclng the provislons of the cable communicatIons system franchlse(s). (b) Coordinatlon of the operatlon of publlc, educattonal, and government access channels and faCIlities. (c) ProvIdlng teChnIcal, programmIng, and operational support to publIC agency users, such as government departments} schools, and SOCIal serVice prOViders. Cd) EstablIshIng procedures and standards for use of channels and facllttles dedlcated to PEG aCCess use, If prOVIded for in any franchise agreement. (e) Planning expans10n and growth of pUbl~c benefIt cable ser"~ces. 28 ~ (f) Analyzing the posslblllty of lntegratlng cable communlcatlons w1th other local, state, or natlonal telecommunlcatlons networks. (g) Formulat1ng and recommendlng long-range telecOmmunlcat~ons pol~cy. SECTION 63015. Publ1C Usaae of the Svstem. As speclfled 1n the franchlse agreement, C1ty shall ut1l1ze a portlon of the cable communlcatlons system capacltYI and associated fac1l1tles and resources, to develop and provlde cable serV1ces that wlll be 1n the publ1C 1nterest. It 15 the l.ntent of Clty to lnsure that publlCJ educatlonal or government access facllltles provlded for 1n any franch1se agreement shall be managed 1n the best publ1C lnterest so that programmlng using such faCllltles wlll be open to all resldents, and avallable for all forms of publlc expresslon, communlty lnformatlon, and debate of publlC lssues. ( a) Qeleqat\on of PubllC Usage FaCllltv Manaaement. - - Clty may delegate or asslgn all or a portlon of the responslblllty for management of publlC, educatlon or government access fac1l1t1es to an entlty or entltles WhiCh may lnclude, but not be Ilmlted to, any of the followlng: (1) ~ nonproflt publlC corporation. (2) An access faclllty management commlSSlon or commltteeJ appolnted by Clty, or elected, and representlng a broad spectrum of the communlty 29 . (3) An establlshed nonprof~t entIty wIth special cablecastlng capablllty, such as a local or reglonal communIty college. (4) A grantee of a cable franchlse (5) A CIty department or dIVIsIon wIth specIal cablecast~ng capabIllty. (b) FunctIons. Any entlty or entltles deslgnated to manage all or a portIon of the PEG access faCILItIes and publlc usage of the system shall share responsIbILIty WIth CIty for such of the followIng functIons as may be speCIfIed by CIty: (1) ~anagem~nt Qf Fac~lltIes. To assume responslblllty for and ma~agement of the publlC access faCIlltles as may 1n the franchIse agreement be deslgnated for communlty-based programm1ng. Commun1ty channels may 1nclude publlc, educat1onal, and government access channels, as designated 1n the franch1se agreement. (2) PEG UtIl1zat1on. Recelve and utIllze or reallocate for utIllzatIon on a per~odlc bas~s, channel capaCIty, faCIlIt1es, fundIng, and other support p(ovIded speclflcally for publlc usage of the cable communlcatlons system to conform WIth changIng prlorit1es and publIC needs. (3) AdmlnIstratIon and ReaulatIon. To devLse, establIsh, pertalnlng faCllltles. and admIn1ster rules) regulatIons, and procedures to the use and schedul1ng of the PEG access 30 (4) Reoorts on Ut~llzatlon. Report to C1ty annually} or upon request} on the ut~llzat~on of resources} about the new publlC serVlces developed and the benefIts achleved for C~ty and ltS resldents. (5) Non-Dlscrlmlnatorv ~cc~$s. To assure that the PEG access facilltles are made aval1able to all resldents of the franchlse area on a nond1scrlmlnatory, flrst-come, flrst-served basis. (6) Non-Censorshlp. To assure that no censorshlp or control over program content of the PEG access facllltles eXlsts except as necessary to comply wlth Federal prohlb~tlon of materlal that 1S obscene. (7) H~rlno of Staff. To hlre and superv1se staff. (8) Pu~cha5e of Materlal~. To make all purchases of mater1als and equlpment that may be requlred (9) Development of Fundlng Sources. To develop sources of fundlng, such as foundatlon or Federal or state grants, to further communlty programmlng. (10) Performance of Relevant Functlons. To perform such other functlons relevant to the PEG access facllltles as may be approprlate. (11) Estab~lshmen~ of Budget. To establlsh budgets on an annual basls, and utlllze funds and resources recelved from CIty or the publlC usage ent1ty deslgnated 1n SectIon 63015fa), for the purpos~ of PEG access programmIng. 31 (e) Access Rules. Any ent~ty or ent~tles to whom C~ty delegates or assIgns access faClllty management responslbll~tles shall complete a set of rules for the use of all or a portlon of the access facll1t~es WhICh shall be promptly forvarded to CIty. The rules shall be prepared 1n cooperatIon WIth Grantee, and conflrmed by agreement between the PEG access faCIllty management entlty and Grantee. The rules shall, at a mln~mum, provlde for: (1) Access on a flrst-come, nondlscr1mInatory area. basIS for all resIdents fIrst-served, of the franchIse (2) Proh1bitlon of commercial use. (3) Prohlbltlon of any presentatlon of obscene materIal. (4) PublIC lnspectlon of the log of producers, WhICh shall be retained by the Grantee for a perIod of four years. (5) Procedures by WhICh Indivlduals or groups who vlolate any rule may be prevented from further access to the facllltles. (6) Free use of such reasonable amounts of channel tlme, cablecastlng facl1ltIes, and techn1cal support as are prOVIded for 1n the agreement between any PEG access faClllty management entIty and Grantee. 32 SECTION 63016. Rates. (a) UnIform Aoollcatlon. Grantee shall establIsh rates for Its serVIces that shall be applIed faIrly and unIformly to all subscrIbers In the franchIse area. (b) Schedule of Rates. Grantee shall maintaIn and file wIth CIty, a complete schedule of subscrIber rates IncludIng all fees and charges for serVlces. Grantee shall notlfy CIty and cable subscrlbers at least thIrty (30) days prlor to any change 1n rates. (c) Dlsconnectlon. There shall be no charge for dIsconnectIon from the system. Cd) Reconnectlon. If a subscrIber has faIled to pay properly due monthly fees or If a subscr1ber dIsconnects for seasonal payment per1ods, of any Grantee may reqUIre} In addltlon to full dellnquent fees, a reasonable fee for reconnectlon. (e) No Conslderatlon VeYQnd ~c~edule. Grantee shall receIve no conslderatlon whatsoever for or In connectIon WIth ltS prOVISIon of serVIce to Its subscrIbers other than as flIed wIth CIty. SECTION 63017. Rate Chanae Procedure. To the extent permItted by law, the franchIse agreement may provIde a procedure for the reVIew and approval of rate changes by the CIty. SECTION 63018. Clty'S sole optIon, Annual ReVIew ot Oual~ty of SerVlce. At wlth1n nlnety (90) days of the flrst 33 ann~versary of the effectlve date of each franchise, and each year thereafte~ throughout the term of the franchise, Clty and Grantee shall meet publICly to reVIew the performance and quallty of serVIce of the cable communIcatIons system. The reports requIred 1n Sectlon 63063 regardIng subscrlber complalnts, the records of performance tests and the opInIon survey report shall be utILIzed as the basIs for reVIeW. In add1t1on, any subscrIber may submIt comments durIng the reVIew meetIngs, eIther orally or 1n wrItIng, and these shall be consIdered. (a) WIthln thIrty (30) days after the concluslon of the qualIty of serVlce reVl~W meetIngs, CIty shall 1ssue a report WIth respect to the adequacy of system performance and qualIty of serVIce. If Inadequacles are found, CIty may dIrect Grantee to correct the InadequacIes WIthIn a reasonable perIod of tlme. (b) FaIlure of Grantee, after due notIce, to correct the lnadequacIes shall be consIdered a materIal breach of the franchIse, and CIty may, at lts sole dlscretIon, exerClse any remedy wlthln the scope of thls ordInance consldered approprlate. SECTION 63019. Svstem and SerVlces ReVlew. To provlde for technolog1cal, ecooomlc, and regulatory changes 10 the state of the art af cable communlcat10ns, to facll1tate renewal procedures: to promote the maX1mum degree of fleXlb111ty 1n the cable system, and to achleve a contlnu~ng, 34 advanced modern system, the followlng system and serVlces reVIew procedures are hereby establIshed: (a) At Clty's sole optIon, CIty and Grantee shall hold a system and serVIces reVIew sesSlon on or about the second annlversary date of the franchIse agreement. Subsequent shall be scheduled by CIty system reVIew seSSIons approxImately each two (2J years thereafter. (b) SIxty (60) days prIor to the scheduled system and serVIces reVIew seSSIon) Grantee shall submIt a report to CIty IndIcatIng the follOWIng: (1) All cable system serVIces that are be1ng prOVIded on an operatIonal baSIS, excludIng tests and demonstratIons, to CItIes 1n the UnIted States WIth populatIons comparable to that In the franchIse area] that are not prOVIded to CIty. (2) A plan for prOVISIon of such serVIces] or a justIfIcatIon IndIcatIng why such serVIces are not feaSIble for the franchise area. (c) TOpICS for dISCUSSIon and reVIew at the system and services reVIew seSSIons shall Include, but not be lImIted to, serVIces provlded] applIcatIon of new technologIes, system performance, programmIng, subscrIber complaInts, user complaInts, rlghts of prlvacy, amendments to the franchIse, undergroundlng processes, developments In the law, and regulatory constralnts, and technlcal and economIC feaSIbIlIty of system expanSIon or upgradIng 35 (d) EIther CIty or Grantee may select addltIonal topics for dIScussIon at any reVIew seSSIon. (e) All system and serVIces reVlew seSSlons shall be open to the publIC and Grantee shall provIde notIce of such seSSIon at least ten (10) days precedIng each seSSIon In a newspaper of general cIrculatIon In CIty. Grantee shall notIfy Its subscrIbers of all system and serVIces reVIew seSSIons by announcement on at least two (2) channels of Its system between the hours of 7:00 p.m. and 9:00 p.m., for ten (10) consecutIve days precedIng each seSSIon. (f) Not later than Slxty (60) days after the conclusIon of each system and serVIces reV1ew seSSIon, CIty shall 1ssue a report, IncludIng specIf1cally a lIstIng of any cable serVIces not then beIng provided to CIty that are consIdered technIcally and economIcally feaSIble. SECTION 63020. New Deve~opments. (a) A FranchIse Agreement may provIde that subsequent to each System and SerVIces ReVIew SeSSIon and CIty Issuance of a report thereon, as set forth 1n Sect10n 63019, the City Counc11 shall have the authorIty to order a publ1C hearIng on the prOVISIon of addItional channel capacIty by Grantee or on the InclUSIon 1n Grantee's cable system of "state of the art" technology or upgraded faCIlItIes. Notlce of such hearIng shall be provlded to Grantee and the publlC not later than th1rty (30) days prIor to such hear1ng. (b) The City Council may order prOVISIon of addItIonal channel capacIty or upgrad1ng of faCIlItIes If, after the 36 hearlng provlded In subdlVlS10n (al, it makes each of the followIng flndIngs: (1) There eXlsts a reasonable need and demand for addItIonal channel capacIty and/or state of the art technology or upgraded facilIties. (2) PrOVlslon has been made or wIll be made for adequate rates WhICh wIll allow Grantee a falr rate of return on Its Investment (lncludlng provlde the addltlonal channels technology or upgraded faCILItIes). (3) Will not result the lnvestment requIred to and/or the state-of-the-art In economlC waste for Grantee. In consIderIng the economIC feaSIbILIty of requIred system Improvements, the CIty CounCIL may conSIder the extenSIon of the term of the franchIse to permIt the recovery of the cost of saId Improvements. Any proposed extenSIon of franchIse IS subJect to the procedures for franchIse renewal found In SectIon 63007 of thIS Chapter. WIthout ImplYIng any IlmItatlons as to other prOVISIons of thIS Chapter, thIS SectIon IS deemed a materIal prOVISIon wlthln the meanIng of Sect10ns 63078 and 63093 of thIS Chapter. Non-comp11ance w1th thIS SectIon shall constItute a breach of thIS Chapter, and CIty may, at ltS sole dIscretIon, eXerc1se any remedy It deems approprIate pursuant to thIS Chapter. 37 Subchapter 130. General FlnQ~G~a~ ~nd Insuranc~ Prov~s~ons. SECTION 63021. Construction Bond. (a) WIthIn th1rty (3D) days after the grantIng of a franchise and prIor to the commencement of any construct1on work by Grantee, Grantee shall f~le w~th Clty a constructlon bond 1n the amount specIf1ed 1n the franch1se agreement In favor of CIty and any other person who may cla1m damages as a result of the breach of any duty by Grantee assured by such bond. (b) Such bond shall be 1n the form approved by CIty and shall, among other matters, cover the cost of removal of any proper-tIes Installed by Grantee 1n the event sa1d Grantee shall default In the performance of 1ts franchIse oblIgatIon. (c) In no event shall the amount of sa1d bond be construed to lIm1t the lIabIl1ty of Grantee for damages. Cd) C1ty, at Its sole optIon, may wa1ve thIS reqUIrement, or permIt consol1dat1on of the constructIon bond WIth the performance bond and securIty fund speCIfIed, respectIvely, In SectIons 63022 and 63023. of a franch~se, CompletIon and Performance Bond. thIrty (30) days after the award or renewal a Grantee shall obtaIn and maIntaIn at Its SECTION 63022 (a) WIth1n cost and expense, and fIle WIth the C~ty Clerk, a completIon and pe~formance bond approved by the CIty Attorney and Issued by a corporate surety authorIzed to do buslness 1n the State 38 of CalIfornIa, In an amount equal to the antIcIpated costs of the proposed constructIon or reconstructIon, IncludIng the cost of all system eqUIpment, to guarantee the t~mely constructIon} or reconstructIon and full actIvatIon of the cable communIcatIons system and the safeguardIng of damage to prIvate property and restoratIon of damages Incurred by utIlItIes. The bond shall provIde, but not be lImIted to, the follOWIng condItIon: There shall be recoverable by CIty, JOIntly and severally from the prInCIpal and surety, any and all damages, loss or costs suffered by CIty reSUltIng from the faIlure of a Grantee to satIsfactorIly complete and fully actIvate the cable communIcatIons system throughout the franchIse area pursuant to the terms and condItIons of thIS Chapter and the FranchIse Agreement. (b) Any extenslon to the prescrIbed constructIon or reconstructIon tIme lImIt must be authorIzed by the CIty CounCIl. Such extenSIon shall be authorIzed only when the CIty CounCIl fInds that such extenSIon IS necessary and approprIate due to causes beyond the control of a Grantee. (c) The completlon and performance bond shall be termlnated only after the Clty CounCIl f~nds that a Grantee has satlsfactorlly completed lnltlal constructlon and actIvatIon or reconstructlon of the cable communlcatlons system and the pursuant to the terms and condltlons at thIS Chapter Franchlse Agreement. The prlnclpal sum of the bond 39 may be reduced upon appl~catlon of Grantee and approval by C1ty CouncIl. (d) The rIghts r~served to CIty WIth respect to the completlon and performance bond are In addItIon to all other rIghts of CIty, whether reserved by th~s Chapter or authorIzed by law, and no act~on, proceedIng, or exerCIse of a rIght WIth respect to such completIon and performance bond shall affect any other rIghts WhICh may be held by CIty. (e) The completion and performance bond shall contaIn the follOWIng endorsement: It IS hereby understood and agreed that thIS bond may not be cancelled by the surety nor the ~ntentlon not to renew be stated by the surety untIl SIxty (60) days after receIpt by CIty, by registered mall, of wrItten notIce of such Intent to cancel or not to renew. (f) Upon any faIlure of a Grantee to satIsfactorIly complete constructIon or reconstructIon and fully actIvate the cable communIcatIons system throughout the franchIse area pursuant to the terms and condItIons of thIS Chapter and the FranchIse Agreement, or 1n the event of Grantee's abandonment or materIal delay of the constructIon, reconstruct~on, or actIvatIon of the system, CIty, after g~vIng Grantee ten (10) days wr~tten notIce and an addItIonal ten (10) days to cure the faIlure, abandonment, or delay, shall become empowered 40 thereby to enter the Slte of and take possesslon of the constructIon, reconstruct1on, or actIvation work tor purposes of complet1ng the work ltself or emplOYlng some other person to complete the work, and tor such purposes to allow and use Grantee's equlpment provlded that the entlre expense of the completlon of the work, whether done by CIty ltself or by the employment of another person, shall be charged to Grantee and provlded further, that the dOlng of such work by CIty Itself or by the employment of other persons shall 1n no way relleve Grantee from any covenants, undertaklngs, dutIes, and obllgatlons under thIS Chapter or franchlse, nor Ilmlt the rlghts and remed1es of Clty hereunder in any manner whatsoever. SECTION 63023. Security Fund. (a) WIthIn thlrty (10) days after the effectlve date of the franchise, Grantee shall deposlt lnto a bank account, establlshed by CIty and malntain on deposIt through the term of th1s franchIse, the sum specIfIed 1n the franchlse agreement, as securIty for the faithful performance by It of all the prOVISIons of the franchIse, and compllance WIth all orders} permIts, and dIrectIons of any agency of CIty hav1ng JurIsd1ctIon over 1tS acts or defaults under thiS ordinance I and the payment by the Grantee of any cla1ms, liens, and taxes due CIty WhIch ar1se by reason of the constructIon] operation, or ~a1ntenance of the system. The securIty fund may be assessed by Clty for purposes InCludIng, but not lImIted to, the follOWIng; 41 (1) Fa~lure of Grantee to pay C~ty sums due under the terms of the franch~se. (2) Re~mbursement of costs borne by CIty to correct franch~se v~olatlons not corrected by Grantee, after due notice. (3) Monetary remed~es or damages assessed agaInst Grantee due to default or VIolatIon of franchIse requIrements. (b) At CIty'S sole optIon, some port~on of the securIty fund may be provIded In the acceptable form of an Irrevocable letter of credIt or other securlty acceptable to the CIty. (c) If Grantee falls, after ten (10) days notIce, to pay to Clty any fran~hlse fee or taxes due and unpaId; or, falls to pay to C~ty w~thIn such ten (10) days, any damages, costs; or expenses, whlch CIty shall be compelled to pay by reason of any act or default of Grantee In connectIon w~th the franchIse; or, falls, after thIrty (30) days notIce of such faIlure by CIty, to comply WIth any prOVISIon of the franchIsP WhICh CIty reasonably determInes can be re~edIed by an expendIture of the securIty fund, CIty may Immediately WIthdraw the amount thereof, WIth Interest, from the securIty fund. Upon such WIthdrawal, CIty shall notIfy Grantee of the amount and date thereof. (d) WIthIn thIrty (30) days after notIce to It that any amount has been WIthdrawn by CIty from the securIty fund pursuant to subsectIon (a) of thIS SectIon} Grantee shall depOSIt a sum of money suffICIent to restore such securIty fund to the orIgInal amount. 42 (e) The secur1ty fund deposlted pursuant to thls Section shall become the property of the C1ty 1n the event that the franch1se 1S revoked for cause by reason of the default of the Grantee. The Grantee, however, shall be entltled to the return of such securlty fund, or portlon thereof, as remains on deposlt no later than nInety (90) days after the eXplratlon of the term of the franchIse} provIded that there 1S then no outstandlng default on the part of the Grantee. (f) The rIghts reserved to C1ty WIth respect to the securIty fund are 1n add1tIon to all other rIghts of Clty whether reserved by thIS ordInance or authorlzed by law, and no actlon, proceedIng, or eXerCIse of a rIght wlth respect to such secur1ty fund shall const1tute an electlon of remed1es or a wa1ver of any other rlght CIty may have. SECTION 63024. LIOUIdated Damaaes. - - By acceptance of the franch1se granted by Clty} Grantee understands and shall agree that fallure to comply wlth any tIme and performance reqUIrements as st1pulated 1n th1S Chapter and the Franchlse Agreement, wlll result 1n damage to Clty, and that 1t 1S and w~ll be lmpract1cable to determIne the actual amount of such damage In the event of delay or non-performance; the Franch1se Agreement shall 1nclude proV1S1ons for liquldated damages to be pa1d by Grantee} ~n amounts set forth In the Franchlse Agreement and chargeable to 43 the secur~ty fund for the occurrence of any of the follow~ng events: (a) Fa~lure to complete system constructIon or reconstruct~on 1n accordance w1th Sections 63030 ~ seq. , unless the C~ty C0uncl1 speclflcally approves the delay by motlon or resolut~on, due to the occurrence of condltlons beyond Grantee's control. (b) Fallure to provlde upon wrltten request, data, documents, reports, during a franchlse Informat1on, or to cooperate WIth CIty renewal or transfer process or cable communlcatlons system reView. (c) FaIlure to test, analyze, and report on the performance of the system fOllOWIng a wrItten request pursuant to thIS Chapter. Cd) For fallure to provIde 1n a contInu1ng manner the types of serVlces proposed in the accepted applIcation, unless the CIty Council speclfIcally approves Grantee a delay or change, or Grantee has obtaIned modlf1catIon of 1tS oblIgat1on under SectIon 625 of the Cable Communlcatlons POllCY Act of 1984. (el Failure of Grantee to comply wlth operat1onal, malntenance, or technical standards. (f) Any other actlon or nonactlon by Grantee, as agreed upon between CIty and Grantee, and set forth 1n ~he FranchlsP Agreement. Noth1ng ~n thIS Section shall preclude further 11qu1dated damages as agreed upon by the part1es 1n the Franch1se Agreement. 44 (g) If the City Manager concl~des that a Grantee IS llable for llquldated damages pursuant to thlS Sectlon, he or she shall issue to Grantee by certlfled mall a notlce of lntentlon to assess llquldated damages. The notlce shall set forth the baS1S for the assessment, and shall lnform Grantee that ~lquldated damages wlll be assessed from the date of the notlce unless the assessment notlce 1S appealed for hearlng before the Clty Councll and the Clty Councll rules: (1) that the vlolatlon has been corrected, or (2) that an extenslon of tlme or other rellef should be granted. A Grantee deslrlng a hearlng before the C1ty Counc1l shall send a wr1tten notlce of appeal by certlfled mall to the Clty Manager W1th1n 10 days of the date on WhICh the Clty sent the notlce of IntentIon to assess llquldated damages. The hearlng on the Grantee's appeal shall be wIthIn thIrty (30) days of the date on WhICh Clty sent the notlee of Intentlon to assess l1quIdated damages. At any t1me after the eXplratlon of the appeal perlod or after a hearIng} If the CIty CounCIl sustalns 1n whole or 1n part the C1ty Manager's assessment of 11guldated damages} the Clty Manager may at any tIme thereafter draw upon the securlty fund or letter of credlt regulred by SectIon 63023. Unless the C1ty CounCIl lndlcates to the contrary, sa1d lIqu1dated damages shall be assessed begInnIng WIth the date on WhlCh Clty sent the notlce of the lntentlon to assess the 1Iguldated damages and contInu1ng thereafter untll such tlme as the VIolatIon ceases, as determlned by the C1ty Manager. 45 SECTION 63025. (a) Grantee granted lndemnlfy] Indemnlflcatlon. shall by acceptance of any franchlse defend] and hold harmless Clty, lts Clty Councll, boards and commlsslons, offlcers, agents, servants, and employees from any and all clalms, sUlts, Judgments for damages or other rel1ef, costs, and attorneys' fees 1n any way ar1s1ng out of or through: (1) The act of Clty 1n grantlng the franch1se. (2) The acts or omlSSlons of Grantee] lts servants, employees, or agents lncludlng, but not llmlted to, any fallure or refusal by Grantee, 1ts servants, employees, or agents to comply w1th any oblIgatIon or duty lmposed on Grantee by thlS ordlnance or the franchlse agreement. (3) The exerC1se of any rIght or prIvIlege granted or permItted by thls ordlnance or the franchlse agreement. Such to, all copyrlght, Indemn1f1catlon shall lnclude, but not be llrnlted clalms arls1ng 1n tort, contracts, infr1ngements of vlolatlons of statutes, ord1nances, regulatIons or otherW1se. (b) In the event any such clalms shall arIse, the Clty or any other IndemnIfIed party shall tender the defense thereof to Grantee. Provlded, however, that Clty 1n 1ts sole d1scretIon may partlc1pate 1n the defense of such cla1ms at ltS expense, and 1n such event, Grantee shall not agree to any settlement of clalms wlthout C1ty approval. 46 SECTION 63026. Insurance. (a) Rpqulred Insurance. Grantee sha 11 malntaln throughout the term of the franch~se Insurance 1n amounts at least as follows: (1) Worker's CompensatIon Insurance. J\s requIred by the California Labor Code and Employee Llablllty Insurance. (2) Broad Form Comorehenslve General L~ablllty. Comprehensive general llablllty Insurance, lncludlng, but not llmlted to, coverage for bodlly InJury, personal lnJury, and property damage, and broadcaster's llablllty, shall be malntalned at the sum(s) speclf1ed 1n the franchise agreement. (3) Com~rehe~~lve Auto",oblle Ll,ab1.llty. Comprehens1ve automobIle l1ab1llty lncludlng, but not l1m1ted to, non-ownershlp and hired car coverage as well as owned vehlcles With coverage tor bodily InJury and property damage sha~l be malntalned at the sum(s) speCified 1n the franch1se I agreement. (4) Subcontractor Coverage. (a) Grantee shall Include any of Its subcontractors as Insureds under the poliCies of Insurance requ1red hereln, or alternatively, shall prOVide to Clty certlflcates of ~nsurance and blnd~ng endorsement5 eV1denc1ng sat~sfactory complIance by each subcontractor w1th the ~nsurance requlrements stated hereln. (b) Verlflcatlon of Insurance. Grantee sha 11 furnlsh to CIty satIsfactory certlflcates of lnsurance, cODles of each Insurance ~OllCY} and orlglnal endorsements 47 affect1ng coverage requlred and fully complYIng wIth all .lnsurance spec1f1catlons stated here1n. Each such orlg1nal endorsement shall be slgned by a person authorIzed by that partlcular Insurer to b1nd coverage on lts behalf. ( c) Acceptablll,ty of Insurers. Each requIred Insurance POlICY shall be procured from lnsurance companles w1th a mlnlmum ratlng of B + X or better by A.M. Best's ratIng serVlce. (d) Deductlbles and Self-Insured Retentlon. Any deductlbles or self-lnsured retentIon on the lnsurance pollcles requlred hereln shall be declared to Clty and be SUbJect to CIty'S wrltten approval. At the sole dIscretIon of C1ty, elther (1) the lnsurer may be requIred to reduce or elImlnate such deductIbles or self-Insured retent10ns as respects Clty, may be requIred losses, related defense expenses. 1tS off1cials, and employees; QL (2) Grantee to procure a bond guaranteelng payment of Investigat1on, clalm admlnlstratlon, and (e) Notlces Pertalnlna to Insurance Pollc1es. Each POl1CY of Insurance shall requlre thIrty (30) days pr10r wrltten notice of cancellatIons, non-renewal, or materIal changes 1n the terms of such pollcy. Notlce thereof shall be glven to CIty by regIstered mall, return receIpt requested, for all of the above-stated Insurance pollCles. 48 rf) AddltlOnal Reaulrements for Insurance PolICles. (1) ThlS Insurance shall not be cancelled, lImIted In scope of coverage or l~mlts, or non-renewed untIl gIven to CIty. thIrty (30) days wrItten ~otIce has been (2) The CIty of Santa MonIca, members of Its CIty Counc~l, boards and camm~sslons, offIcers, agents, volunteers, and employees are Included as addItIonal Insureds wlth regard to damages and defense of claIms arISIng from (1) actIVItIes performed by or on behalf of Grantee, (11) products and completed operatlons of Grantee, or (111) premlses owned} leased} or used by Grantee. The coverage shall contaIn no speclal llmltatlons on the scope of protectIon afforded to the City, Its offIcers, agents, volunteers, or employees (3) Grantee's Insurance coverage shall be prImary WIth respect to the CIty, Its offlcers, agents, volunteers, and employees It IS agreed that any Insurance or self-Insurance maIntalned by CIty shall apply In excess of and not contrIbutory wlth, Insurance provlded by the POlICY. (4) Insurers shall have no rIght of recovery or subrogatIon agaInst CIty (lnclud1ng Its off1cers) employees, volunteers, and other agents and agenCIes), 1t belng the 1ntentlon of the partIes that the Insurance pollCles so effected shall protect both partles and be prImary coverage for any and all losses covered by the above-descrlbed 1nsurance. 49 (5) The above-descr~bed pollcles shall apply separately to each lnSU~ance company agalnst whom clalm 15 made or SUlt 15 brought except with respect to the llm~ts of the 1nsurance company's llabIllty. (6) The 1nsurance company lssulng the POllCY or pollcles shall have no recourse aqalnst the Clty tor payment of any premlums or for assessments under any form of POllCY. (7) Any and all deduct1bles 1n the above-descr1bed 1nsurance pollcles shall be assumed by and be for the account of, and at the sole rlsk of, Grantee. (8) ~ny fallure to comply WIth reportlng prov1slons of the pollcles shall not affect coverage provrded to the Clty, lts offIcers, employees, agents, or volunteers. (g) The mlnlmum amounts set forth 1n the franchlse agreement for such Insurance shall not be construed to llmlt the liablllty of Grantee to CIty under the franchlse 1ssued hereunder to the amounts of such lnsurance. Subchapter 13E DeSlon and Con~truct1on ProVlslons. SECTION 63027. System DeSign. The cable commun1catlo~5 system shall be constructed 1n accordance w1th the deslgn) constructlon, or reconstructlon requlrements contalned 1n the franch1se agreement. 50 SECTION 63028. Geoaraohlcal Coveraae. - - - Grantee shall design and construct the cable system In such a manner as to have the capabIlIty to pass by every dwellIng unIt, IncludIng mobllehomes and traIlers, school, publIC or nonprofIt corporatIon, bUSIness, or agency WIthIn the franchise area. SerVice shall be prOVIded to subscrIbers In accordance WIth the schedules and lIne extensIon polICIes speCIfIed In the franchIse agreement. Cable system constructIon and prOVISIon of serVice shall be non-dIscrImInatory, and Grantee shall not delay or defer serVice to any sectIon of the franchIse area on the grounds of economIC preference. SECTION 63029. CablecastIng FaCIlItIes. Grantee shall prOVIde cablecastlng faCIlItIes In accordance WIth the reqUirements of the franchIse agreement. SECTION 63030. System ConstructIon Schedule. (a) Grantee shall comply WIth the reqUIrements of the system constructIon or reconstructIon schedule contaIned In the franchIse agreement. (b) Grantee shall prOVIde a detaIled constructIon plan IndIcatIng progress schedule, area construction maps, test plan, and prOJected dates for offerIng serVIce. In add1.tIon, Grantee shall update thIS InformatIon on a monthly baSIS, shOWIng speCIfIcally whether schedules are beIng met and the reasons for any delay. 51 SECTION 63031. Delav 1n Construct1on. Grantee shall make a good fa~th and dlllgent effort to obtaIn all necessary permIts and clearances. Wlthln two (2) months after the effectIve date of a franchIse: Grantee shall report to CIty Its estImate of the InIt~al constructIon or reconstructIon date. The InItIal date est1mated after two (2) months may be used by CIty as the presumptlve constructIon or reconstructIon startIng date) wIth all constructIon reqUIrements based on that date) provIded, however, that Grantee may adJust Its estImated InItIal date upon a shOWIng of delays WhlCh are beyond its reasonable control or WhICh are not reasonably foreseeable. been SECTION 63032. establIshed by PrOVISIon of Servlc~. After serVIce has actIvatIng trunk cables for any area, Grantee shall provIde serVIce to any requestIng subscrIber w1thIn that area WIthIn thIrty (30) days from the date of request. SECTION 63033. Underqroundlng of Cable. The undergroundlng of cable 1S encouraged. Cables shall be lnstalled underground at Grantee's cost where utllltles are already underground. PrevIously Installed aerIal cable shall be undergrounded and relocated In concert, and on a cost-sharlng bas1S, WIth other utllltles, when such other utllltles may convert from aerlal to underground constructIon. 52 SECTION 63034. New Oevelo~ment Underaroundlna. - - In cases of new constructlon or prope~ty development where utllItles are to be placed underground, upon request by Grantee, the developer or property owner shall glve Grantee reasonable notlce of the particular date on WhICh open trenchlng wIll be ava1lable for Grantee's Installatlon of condult, pedestals and/or vaults, and laterals to be provlded at Grantee's expense. Grantee shall also provlde specifIcatlons as needed for trenchlng. Costs of trenchlng and easements requIred to brlng servIce to the development shall be borne by the developer or property owner; except that If Grantee falls to Install Its condult, pedestals and/or vaults, and laterals w1thln fIve (5) worklng days of the date the trenches are avaIlable, as des1gnated 1n the notlce gIven by the developer or property owner, then should the trenches be closed after the flve (5) day pen.od, the cost of new trenchlng shall be borne by Grantee. SECTION 63035. Undergroundlng ~t Mult10le Dwelllna UnIts. In cases of multlple dwellIng unlts serVIced by aerial utllltles] Grantee shall make very effort to mln~mlZe the number of lnd~vldual aer1al drop cables gIVIng preference to undergroundlng of multlple drop cables between the pole and the dwellIng unlt. The burden of proof shall be upon Grantee to demonstrate why undergroundlng of drop cables 1S technlcally or economIcally unfeaSIble. 53 SECTION 63036. LocatIon o~ Prooertv of Grantee. (a) Any WIres, cable lInes, condUIts, or other propertIes of the Grantee to be constructed or 1nstalled 1n streets shall be so constructed or Installed only at such locations and 1n such manner as shall be approved by the General SerVices DIrector and sUbJect to all prOVISIons of thIS subchapter. (b) Grantee shall not Install any faCIlIties or apparatus 1n or on other publ1C property, places) easements, or r1ghts-af-way, or w1th1n any prIvately-owned area WIthIn the CIty WhIch has not yet become a publIC street but 15 deSIgnated or delineated as a proposed publIC street on any tentatIve subdiv1Slon map approved by the City, except those Installed 1n or on publIC utIlIty faCIl1tIes now eXIstIng, WIthout obtaInIng the prIor wrItten approval of the General SerVIces D1rector and WIthout paYIng for the use of such property. (e) Grantee shall cause a key map and deta1led plat maps of the entIre system, shOWIng materIals of constructIon and horIzontal and vertIcal locatIons WIth respect to property lInes and grade lInes, to be orepared by a regIstered profess tonal CIVIl engIneer or a lIcensed land surveyor and flIed In the offlce of the General SerV1ces DIrector prIor to the ISsuance of a permIt for constructIon, or WithIn nInety (90) days after the grantIng of a . franchIse to operate and maIntaIn faCIlItIes eXIstIng prlor to the adoptIon of thIS SectIon. PrIor to requestIng the lssuance of a permIt for the 54 InstallatIon of any faClllty or apparatus In accordance wlth the provlsions of thlS SectIon, Grantee shall fIle such key map and detalled plat maps wIth all utlllty companIes and publlC agencles whose faCllltles are affected by such Installatlon and obtaIn a statement sIgned by a responsLble offlclal thereof that such utIl1ty or publIC agency has no objectIon to the proposed locatIon of such faclllty. Such utlllty companles and publlC agenCIes shall act upon a request made to them by a Grantee In accordance wIth the foregolng prOVISIons wIthln thIrty (30) days after such request has been made to such utlllty or publIC agency. (d) Grantee, upon the request of any person or agency who has contracted to perform work on a publIC rIght-of-way, shall provIde accurate detaIled 1nformatlon to such person or agency regardIng the locatlon of any of the Grantee's facllltles In such rIght-of-way. Such InformatIon, If requested, shall Include sendIng a representatlve famILIar WIth the Installatlon of cable facllltles to the SIte of the work to mark or deSIgnate the locatIon of the faCllltles of Grantee. (e) In order that the prov1sIons of thIS SectIon may be reasonably applIed, In Instances where extreme or unnecessary hardshIp would result from carrYIng out the ~rovls1ons of thIS SectIon, the CIty CounCIl shall have the power to vary the mandatory provlslons of thlS SectIon 1n any spec1flC case In such a manner that substantIal JustIce IS done upon a s~owlng by Grantee of good cause therefor. 55 SECTION 63037. Standards for Use of Stre~ts. (a) All transmlSSlon and d1strlbutlon structures, llnes, and equipment erected by the Grantee wlthln the Clty shall be so located as to cause mlnlmum lnterference wlth the rlghts and reasonable convenlence of property owners who adJoln any of the sald streets. (b) In case of dlsturbance of any street, easement, or paved area or other property the Grantee shall, at lts own cost and expense and In a manner and tlme perIod approved by the C1ty, replace and restore such street, easement or paved area, or other property 10 as good a cond~t~on as before the work involVIng such dlsturbance was done. (c) The Grantee, at Its expense, shall protect, support, temporarlly dIsconnect, relocate 1n the same street or other publIC place, or remOve from the street or other publlc place any property of the Grantee when requlred by the General Servlces DIrector by reason of traffIC condltlons: publ1c safety, street vacatlon, freeway and street constructlon} change or establIshment of street grades, or the lnstallatlon of sewers, dralns, water plpes, power llnes, s~gnal llnes, tracks, or any other type of structures or lmprovements by publlC agenCIes; provlded, however, that Grantee 1n all such cases shall have the prlv11eges, and be subJect to the obllgatlons, to abandon any property of the Grantee 10 place. Upon the fallure of the Grantee to commence, pursue, or complete any work requlred by law, or by the provlslons of 56 thlS Chapter} ar by ~ts franchlse} to be done in any street or other publiC place wlthln the tlme prescrlbed, and to the satisfaction af the General SerVices Dlrector, the General SerVices Director, at hiS optlon, may cause such work to be done, and the Grantee shall pay to the Clty the cost thereof in the itemized amounts reported by the General SerVlces Director to the Grantee within thirty (30) days after receipt of such item1zed report. Clty shall be permltted to seek legal and equltable rellef to enforce the prOVisions of thlS Sectlon. (d) Any poles or other flxtures places 1n or adJacent to any street by the Grantee shall be placed 1n such manner as to comply wlth all requlrements of the City. (e) Grantee shall, at the request of any person holdlng a moving permlt issued by the Clty} temporarlly ralse or lower its Wires to permit the movlng of bUildings. The expense of such temporary removal or raiSing or lowering of Wlres shall be pald by the person requestlng the same, and Grantee shall have the authority to requlre such payment ln advance. Grantee shall be glven not less than forty-elght (48) hours notlce to arrange for such temporary Wlre changes. (f) Grantee shall not1fy C1ty regarding the need to trlm trees upon and overhanglng streets of Clty so as to prevent the branches of such trees from comlng 1n contact wlth the W1r~s and cables of Granteej at the optlon of Clty} such trlmmlng may be done by Clty at the eXpens~ of Grantee, or by Grantee under Clty'S supervlslon and dlrectlon of the expense 57 of Grantee. When authorlzed, trlmmlng shall be Ilmlted to the area requlred for clear cable passage and shall not lnclude maJor structural branches WhlCh materlally alter the appearance and natural growth hab~ts of the tree. SECTION 63038. ConstructIon and Technlcal Sta~dards. (a) Constructlon Standards. (1) Grantor Codes and Permlts Grantee shall comply wIth all appllcable Clty constructIon codes and permlts procedures. C1ty shall be entItled to charge reasonable permIt and lnspectlon fees to recover the speclal nonrecurrlng lnspectIon costs Imposed by the constructlon or reconstructIon of the cable system, or by the constructlon, remodelIng, or malntenance of bUlldlngs, structures, or grounds wIthln the CIty and under control of Grantee. (2) Compl1ance wIth Safety Codes. ~11 construct1on practIces shall be 1n accordance w1th all applicable sections of federal and state occupatIonal and safety acts and any amendments thereto as well as all state and local codes where applIcable. (3) Comollance WIth Pole Attachment Standards. All aerIal constructIon shall comply WIth the practIces 1ncluded 1n the Bell System Code of Pole LIne ConstructIon. (4) ComplIance WIth Electr~cal Codes. All Installat10n of elect~on~c eqUIpment shall b~ of a permanent nature, durable and Installed In accordance with the provlsIons of the National ElectrIcal Code (NatIonal FIre ProtectIon ASSoclatlon) and the National ElectrIcal Safety 58 Code (Natlonal Bureau of Standards), appllcable state and local codes. (5) ~ntennas and Towers. Antenna supportlng structure (towers) shall be deslgned for the proper loadlng as speclfled 1n Electron1cs Industry ASSocIatIon's R.S. 222-A specIflcat1ons. as amended, and all (6) Comollance wIth AVIatIon Reaulrements. Antenna support1ng structures (towers) shall be paInted, accordance wIth all the Federal AVIatIon lIghted, erected, appl1cable rules and malntaIned In and regulatIons of AdmlnIstratIon and all other applIcable state or local codes and regulat1ons. ( 7 ) ConstructIon Standards and ReaUIrements. All of Grantee's plant and equIpment IncludIng, but not lImIted to, the antenna SIte, headend and dIstrIbutlon system towers, house connectIons, structures, poles, WIre, cable, coaxIal cable, fIxtures and appurtenances shall be Installed, located, erected, constructed) reconstructed, replaced, removed, repaired, ma1nta1ned, and operated 1n accordance wIth good engIneerIng practIces) performed by experIenced maIntenance and construct1on personnel so as not to endanger or Interfere wIth Improvements CIty may deem proper to make, or to 1nterfere In any manner WIth the rights of any property owner} or to hlnder or obstruct pedestrlan or vehIcular trafflc. (8) Safety, NUisance ReqUIrements. Grantee shall at all times employ ordInary care and shall Install and malntaln 1n use commonly accepted methods and deVices 59 prevent~ng fallures and accldents WhICh are lIkely to cause damage] InJury] or nUIsance to the publIC. (b) Techn~cal Standards. The Cable CommunIcatIons System shall meet all technIcal gUIdelInes of the FCC] and all standards contaIned In the franchIse agreement. (e) Test and Compl~ance Procedure. Grantee shall subm~t, wIthIn SIxty (60) days after the effectIve date of the franchIse agreement, a detaIled test plan descrlb~ng the methods and schedules for test~ng the cable communIcatIons system on an ongoIng bas~s to determIne complIance wIth the provIsIons of the franchIse agreement. The tests shall be In general conformance wIth the provlslons of the Standards of Good Englneer~ng PractIces for Measurements on Cable Televts~on Systems] Issued by the NatIonal Cable TeleVISIon ASSOCIatIon, and performed at Intervals no greater than twelve (12) months. The tests may be wItnessed by representatIves of CIty, and wr~tten test reports shall be submItted to CIty. If more than ten percent (10%) of the locat1ons tested ~aLl to meet the performance standards, Grantee shall be requ~red to Ind~cate what correct~ve measures have been taken] and the entIre test shall be repeated. A second faIlure of more than ten percent (10%) may result, at Clty's optlon, In appropr1ate remed~es. (d) Spec~al Tests. At any tIme after commencement of serVIce to subscr~bers) CIty may requlre add~tlonal tests, full or partlal repeat tests] dIfferent test procedures, or tests Involvlng a specIflC subscrtber's term1nal. Requests 60 for such addltlonal tests wIll be made on the baSIS of complaInts receIved or other eVIdence IndicatIng an unresolved controversy or SIgnifIcant noncompliance, and such tests shall be limIted to the partICUlar matter In controversy. City shall endeavor to so arrange Its requests for such specIal tests so as to minimize hardship or InconvenIence to Grantee or to the subscrIber, SECTION 63039. AreaWIde InterconnectIon. (a) InterconnectIon ReqUIred, Grantee shall Interconnect publIC usage channels of the cable communIcat~ons system WIth any or all other cable systems In adJacent areas, upon the directIve of CIty. InterconnectIon of systems shall permIt InteractIve transmiSSIon and receptIon of program materIal} and may be done by dIrect cable connectIon, mIcrowave lInk, satellIte, or other approprIate method. (b) Interconn~ctlon ~rocedure. Upon receiVIng the dIrectIve of City to Interconnect, Grantee shall ImmedIately InItIate negotlat~ons WIth the other affected system or systems, and shall report to CIty the results of such negotIations no later than SIxty (60) days after InItIatIon. (e) RelIef' Grantee may be granted reasonable extenSIons of tIme to Interconnect or CIty may resclnd Its order to Interconnect upon pet~tlon by Grantee to CIty. Clty may grant sa~d request If It f~nds that Grantee has negot~ated 1n good faIth and has faIled to obtaIn an approval from the system or systems of the proposed Interconnect10n] or that the 61 cost of the lntercOnnect1on would cause an unreasonable or unacceptable Increase In subscrIber rates. (d) Coooeratlon Req~~red. Grantee shall cooperate WIth any Interconnectlon corporatIon, reglonal InterconnectIon authorIty Or CIty] County, State, or federal regulatory agency which may be hereafter establIshed for the purpose of regulatIng, fInanCIng, or otherWIse prov~dIng for the InterconnectIon of cable systems beyond the boundarles of the franch1se area. (e) InItIal TechnIca~ ReQUIrem~n~s to Assure Future InterconnectIon CapabllIty. (1) Every Grantee receIVIng a franchIse to operate a cable communlcat~ons system w~thln the franchIse area shall use the same freque~cy allo~atIons for commonly prov1ded teleVISIon SIgnals so far as IS technIcally and economlcally feasIble. (2) Grantee access eqUIpment that shall prcv~de local orIgInatIon and 15 compatlble throughout the area so v~deotapes can be shared by varIOUS that VIdeocassettes or systems . 62 Subchapter 13F. SerVlve ProvIsIons. SECTION provide the 63040. Servlc~s to be ~rovlded. Grantee shall InItIal serVIces lIsted In ~he franchise agreement. SerVIces shall not be reduced wIthout thIrty (30) days prlor notIfIcatlon to CIty. (a) A franch~se applIcatIon or proposal for renewal shall lnclude a descrlptIon of Grantee'g system desIgn and a descrIpt~on of programmIng and serVIces beIng offered, lncludlng opt~onal prem~um serVIces] a descr~ptlon of faCll1tIes beIng proposed for local orIgInatIon programmIng, and faCllItIes beIng offered to varIOUS communIty Inst1tutIons. The offer of programmIng and serVIces contaIned withIn a Grantee's applIcatIon shall be deemed a blndlng offer of such Grantee for and to the benefIt of CIty and the subscrIbers of Grantee. In the event a program orlglnator ceases to prOVIde a serVIce] or 1n the event Grantee determInes that other programmIng or cable serVIces may be of greater benefIt to subscrIbers, Grantee may, subJect to to subsectIons (a) and (b) of thIS SectIon, and upon thIrty (3D} days prIor wrItten notIce to CIty, substltute serVIces. CIty may Include categorIes of VIdeo programmIng or other serVIces as franchIse reqUIrements as provldfld by the Cable Commun~catlons POlICY Act of 1984. (b) The system, after the IncorporatIon of such substItute serVIces, shall satIsfy the warrantles made by 63 Grantee to subscr1bers and potentIal subscrlbers 1n 1tS applIcatIon for a franchIse. The CIty CouncIl shall have the r~ght to reVIew any actual or proposed substItutIon of serVIce that Grantee has made or may make and may order a change thereIn If It determInes, after a hearIng, that any warranty has been VIolated} or that certaln broad categorIes of VIdeo or other InformatIon programs that were commltted by Grantee In Its Proposal are not beIng delIvered. Any such order shall Issue only after a publIC hearIng has been scheduled and held; and wrItten notlce of such hearIng shall have been prOVIded to Grantee and to the publlc at least thIrty (30) days prIor to such hearIng. Any such order may be enforced by an appropr1ate actIon 1n the courts of CalIfornIa or the UnIted States. A Grantee shall not, ~n relatIon to thIS SectIon, be deemed to have wa1ved any fIght accorded to a franchIsed cable teleVISIon operator arISIng under the FIrst Amendment to the Const1tut~on of the UnIted States or Artlcle I, SectIon 2 of the CalIfornIa ConstItutIon. (e) Notwlthstand1ng subsectIons (a) and (bl, Grantee may] In accordance WIth the Cable CommunicatIons POlICY Act of 1984, upon thIrty (30) days pr10r wrItten notIce to Clty, rearrange, replace, Or remove a partlcular cable serVIce reqUIred by the franch~se 1f' (1) Such serV1ce 1S no longer avallable to Grantee: or 64 (2) Such serVIce 1S avaIlable to Grantee only upon the payment of a royalty requlred under Sectlon 801(b)(2) of TItle 17, UnIted States Code, WhICh Grantee can document: (I) Is substantIally in excess of the amount of such payment requIred an the date of Grantee's offer to provIde such serVIce] and ( 11 ) Has not been specIfIcally compensated for through a rate Increase or other adJustment. NotWIthstandIng subsectIons ( a) and (b), Grantee may take such actIons to rearrange a partIcular serVIce from one serVIce tIer to another, or otherWIse offer the serVIce, If the rates for all of the serVIce tIers Involved In such actlons are not SUbJect to regulatIon. SECTION 63041. BaSIC Cable SerVIce. The "BaSIC Cable SerVIce" shall Include any serVIce tIer WhIch Includes the retransmISSIon of local teleVIsion sIgnals and shall Include at least one channel for publIC access, one channel for educatIonal access, and one for government access. ThIS serVIce sha 11 be provIded to all subscrIbers at the establIshed monthly subscrIptIon rates. SECTION 63042. ~aSIc RadIo SerVIce. The "BaSIC RadIO SerVIce" shall Include the prov~sIon of all audIO serVIces deSIgnated In the franchIse agreement, l'"lcludlna "" retransmISSIon of local broadcast FM radIO sIgnals] and cable cast FM sIgnals. ThIS serVIce shall be provIded to all subscrIbers at establlshed monthly subscrIptIon rates. 65 SECTION 63043. InstItutIonal SerVIce. If specIfled In the franchIse agreement, the ~Instltutlonal SerVIce" shall Include the prOVISIon of transmISSIon and/or receptIon serVIces to InstItutIonal users, on a commerCIal use baSIS dt establIshed rates. SerVIces may Include the dIstrIbutIon of VIdeo or non-VIdeo SIgnals. SECTION 63044. AddItIonal S~bscrlber SerVIces. "AddItIonal SubscrIber SerVIces]" not Included In the serVIces speCIfIed above, may be prOVIded eIther withIn the baSIC cablp. serVIce rates or on a premIum baSIS, subJect to applIcable law. SECTION 63045. Local OrIalnatlon Channel[sl. Grantee shall operate any cablecastlng studIOS on a hIgh-qualIty, professIonal baSIS for the purpose of prOVIdIng cablecast programmIng responSIve to local needs and Interests. The prImary emphaSIS for the local orIgInatIon channel(s) shall b@ on prOVIdIng communIty-focused programmIng that IS unavaIlable to VIewers on broadcast teleVIsion channels. SECTION 63046 Publ1c. EducatIonal. and Government (PEG) Access FacilItIeS. Grantee shall prOVIde the PEG access faCIlItIes, ~ncludIng channel capaCIty, necessary ~nterface eqUIpment] and cablIng, to permIt operat~on as spec~fIed In the franchIse agreement. . 66 SECTION 63047. Cable Channels for CommercIal Use. Grantee shall designate channel capaCIty for commerCIal use as requIred by appl~cable law. SECTION 63048. Leased Use of P~G Access FacILItIes. If C~ty determInes that a new serV1ce would be 1n the publIC Interest and receIves a bona fIde offer from a thlrd party to prOVIde such a serVIce} Grantee shall be offered the first rIght of refusal to prOVide the serVlce on the same terms. If Grantee declInes to prOVIde the serVIce, CIty may utIlIze approprIate PEG access faCIlIties to accommodate that serVIce. SECTION 63049. Universal Connect\on. CIty may requlre that all dwellIng unIts Within the franchlse area shall be connected phys~cally to the cable system by Grantee by means of drop cables termlnatlng at each dwelling un1t, whether or not the dwellIng unIt's occupants deSIre to subscrIbe to cable serVIce. The cost and charges shall be determIned at the tIme such connectlon 1S requ1red. Grantee shall be entItled to recover the Incremental cost of providIng a universal connectIon. Subchapter 13G. Operation and MaIntenance. SECTION 63050. Open Books and Records. City shall have the rlght to Inspect 3t any tIme durlng normal bUSlness hours all books} records, maps} plans} serVIG@ complaint logs] performance test results and other lIke 67 materlals of Grantee WhICh relate to the operatIon of the franch~se. Grantee shall keep a separate record for the franchIse at an offlce wlthl~ the franchlse area, WhICh record shall show the Items set forth hereIn. Grantee shall prov1de such lnformatIon 1n such form as may be reasonably requlred by CIty for said records. If any of such books or records are not kept In the local offlce] or upon reasonable request made avaIlable to CIty, and If CIty shall determlne that an examlnatIon of such records IS necessary or approprlate to the performance of any of C~ty's duties, then all travel and maIntenance expense necessarlly Incurred 1n maklng such examlnatlon shall be paId by Grantee. SECTION 63051. Records ReqUIred. (a) In any event Grantee shall at all tImes malntaIn: (1) The complaInt fIle requlred by Sectlon 63063 hereIn. (2) A full and complete set of plansl recordsl and "as-bUIlt" maps showlng the exact locatIon of all cable communIcatIons system equ~pment 1nstalled or In use In the franchIse area, exclUSIve of subscrIber serVIce drops. SECTION 63052. Rlohts of Indlv~duals (a) Non-Dlscr~mlnatlon. Grantee shall not 5erVIce, deny access, or otherWIse dIscrImInate deny agaInst subscrIbers, of sex, race, channel usersl or general cIt1zens on the b~SlS color] rellg1on, ancestry, nat10nal orIglnJ age, 68 handicap, pregnancy, marltal status, famlly composltlon, or the potentIal or actual occupancy of mInor chlldren. Grantee shall comply at all tlmes wlth all other appllcable federal, state, and local laws and regulatIons, and all executIve and admInlstratIve orders relatIng to nondIscrImInatIon WhICh are hereby Incorporated and made part of thls ordInance by reference. (bl Falrness and Accesslbll+ty. The entIre system of Grantee shall be operated In a manner conSIstent WIth the prInCIple of faIrness and equal accessIbI1lty of lts faCIIItles, eqUIpment, channels, stUdlOS, and other serVIces to all CItIzens, buslnesses, publIC agenCIes] and other entItles haVIng a leg~tlmate use for the system, and no one shall be arbltrarI1y excluded from Its use Allocatlon of use of saId facIl~tles shall be made accordlng to the rules or declslons of Grantee] CIty ln 1tS lawful exerCIse of regulatory authorIty, and any state or federal regulatory agencles affect~ng the same. SECTION 63053. ContInulty of SerVIce Mandatorv. (a) It shall be the rlght of all subscrIbers to contlnue receIvlng serVIce ~nsofar as theIr fInanCIal and other obl~gatIons to Grantee are honored. In the event that Grantee elects to overbulld] rebUIld, modlfy, or sell the system, or Clty glves notIce of Intent to termInate or falls to renew thIS franchIse, Grantee shall act so as to ensure that all subscrlbers recelve contInuous, unInterrupted serVIce. 69 In the event of a change of franchIsee, or In the event a new operator acqulres the system, Grantee shall cooperate wIth CIty, new franchlsee} cr operator In maIntaInIng contlnulty of serVice to all subscrlbers. DurIng such perIod] Grantee shall be entItled to the revenues for any perIod durIng WhICh lt operates the system, and shall be entItled to reasonable costs for Its serVIces when It no longer operate~ the system. (b) In the event Grantee falls to operate the system fOr seven (7) consecutIve days wlthout prIor approval of CIty or w~thout Just cause] Clty may, at Its optIon, operate the system or deslgnate ~n operator unt~l such tIme as Grantee restores serVlce under condItIons acceptable to CIty or a permanent operator IS selected. If CIty IS reqUIred to fulflll th~s obllgatlon for Grantee, then durIng such perIod as CIty fulfIlls such oblIgatIon, CIty shall be entItled to collect all revenues from the system, and Grantee shall reImburse CIty for all reasonable costs or damages In e~cess of the revenues collected by CIty that are the result of Grantee's faIlure to perform. shall have 63054. Grantee Rules and RegulatIons. Grantee the authorIty to promulgate such rules, terms] and cond~tIons governlng the conduct of as shall be reasonably nec~ssary to enable exerCIse Its r~ghts and perform 1tS oblIgat1ons SECTION regulatIons, Its bUSIness Grantee to under the franchlse} and to assur~ an unInterrupted serV1ce ~o each and allot 1tS customers. Such ru:es, regulat1ons; 70 terms] and condItIons sh~ll not be In conflIct wIth the prOVISIons hereof or applIcable state and federal laws, rules] and regulatlons. Such rules] regulatlons, terms and condItIons shall be flIed wIth CIty. SECTION 63055. Un~form and VehIcle IdentIfIcat~on. Every employee of Grantee or Its constructIon contractors or subcontractors shall be clearly IdentIfIed WIth the name of Grantee VISIble to the publIC as a representatIve of Grantee. Eve ry serVIce vehlcle of Grantee or Its constructIon contractors or subcontractors shall also be clearly marked. All letters and numbers on such vehIcles shall be at least three ( 3 ) Inches h1.gh. Grantee employees and agents shall also wear an Ident1f1catlon badge WIth the agent's name and photograph. SECTION 63056. Eaual OooortunItv Proarams. - -- Throughout the term of the franchIse, Grantee shall conduct Its buslness as an Equal Opportunlty Employer. In addltlon, throughout the term of the franchlse, Grantee shall maIntaIn a POllCY that all employment deCISIons, practIces] and procedures are conducted WIthout dIscrImInatIon 1n v~olatIon of state or federal law on the baSIS of an IndIVIdual's race, color, relIgIon, age, sex] nat10nal orIgIn) or phys~cal or mental handIcap. Grantee's POlICY shall apply to all employment actIons ~ncludlng advertISIng] recru~tlngJ h~rIng] promotLon, transfer) renumerat~on, ~electlon for traInIng] company benefIts, d~SClpllnary actIon] lay-off] and termlnatlon. 71 Grantee shall carry out thIS policy dedlcatIon to a determIned and sustaIned equal employment opportunItIes. through contInued effort to provIde Subchapter 13H. Consumer Protect~Qn. SECTION 63057. (a) Grantee Requests for Cab~~ ~~rvIce a~d Repa+rs. shall maIntaIn an off1ce ~n the serVIce area WhIch shall be open not less than fIfty hours per w~ek] wIth a mInImum eIght hour day on weekdays and four hour day on Saturdays Grantee shall maIntaIn a publIcly l1sted toll-free telephone w~th suffICIent communIcatIon lInes and staff so as to receIve requests tor In~tIating cable serVIce and requests for repaIrs] bllllng1 or adJustments on a twenty-four (24) hour a day basIs. (b) Grantee shall render efflcIent serVIce] make repaIrs promptly, and Interrupt serVIce only for good cause and for the shortest tIme possIble. Such InterruptIons, Insofar as possIble} shall be preceded by notIce and shall occur during a period of mInImum use of the system. A wrItten log or an eqUIvalent stored In computer memory and capable of access and reproductIon, shall be maIntaln~d for all serVIce InterruptIons and requests for cable serVIce as requIred by SectIon 63063. (c) Grantee shall maIntaIn suffICIent repaIr and maIntenance crews capable of ~espondlng to subscrLber wIthIn the followIng tIme complaInts or requests for serVIce 72 perIods after receipt or notIfIcatIon of the complalnt or request] Includl.ng weekends. No charge shall be ~ade to the subscrIber for thIS serVIce unless the serVIce request can be demonstrated to be both repeated and non-cable system ln orlg~n, or as a result of damage caused by subscrlber (1) System Outage. W~thln two hours of receIvIng subscriber calls WhICh by number identlfy a system outage of sound or plcture of one or more channels] affect~ng all subscrIbers of the system or a consIderable number thereof. ( 2 ) Isolated Outage. WIthln 24 hours of receIVIng a request for serVIce IdentIfYIng an lsolated outage of sound or pIcture for one or more channels. ( 3 ) InferIor Receotlon QualIty Wlthln 48 hours of recelvlng a request for serVIce IdentIfYIng a problem concernIng pIcture or sound qualIty. Grantee shall be deemed to have responded to a request for serVIce under the prcv~slons of thIS SectIon when a technICIan arrIves at the serVIce locatIon, and In the case of (1 ) ] (2), and (3) above, leaves wrItten not~flcatlon of such arrIval after makIng reasonable efforts to notIfy the subscriber of the technICIan's presence. Subscr1bers not satIsfIed that serVIces have been prOVIded as outlIned 1n Chapter 13, Artlcle VI of the Santa Mon~ca Munic1pal Code and the FranchIse Agreement may rotlfy the System Manager Upon notIflcat1on by subscrIber] the Grantee shall work wlth the subscrIber to cure the faIlure of serVIce WIthIn 48 hours If ~he fa1lure 15 not cured w~~hln 73 that tlme perIod, Grantee shall credIt the subscrIber's account on a pro rata baSlS for loss of serVIce commenc~ng from the tIme of notltlcatlon by subscrlber to Grantee. Grantee shall at the tIme of Inltlal 5ubscrlptIon to the system] and annually thereafter, furnIsh a notIce to subscrlbers of the1r rIght to a refund for any loss or InterruptIon of serVlce for 48 hours or more. SECTION 63058. Comola~nt Procedure. ( a ) Procedures. Grantee shall establ~sh procedures for receIVIng, actIng upon, and resolVIng subscrlber complaInts to the satIsfactIon of the CIty Manager Such procedures shall Include a method for resolVIng subscrlber complalnts wlthout 1nterventlon by C~ty and shall prescrIbe the manner 1n WhICh a subscrIber may submIt In wrltlng a complaint that Grantee has VIolated any proVlslon of thIS Chapter] or the ter~s and condItIons of the subscrlber's contract WIth Grantee and the manner In WhICh the Grantee WIll promptly resolve such complaInt. Grantee shall furnIsh a notIce of such procedures to each subscrIber at the tIme of InItIal subscrIptIon to the system, and annually thereafter. (b) Complalnts to Grantee. Any subscrIber who cannot resolve a dIspute wlth the Grantee may fIle a complaInt w~th the Grantee on a form dpproved by the Clty Manager. Immed~ately upon receIpt of a complaInt from a subscrlber, . Grantee shall aSSIgn a case number to such compla1nt and send to the complaInIng subscrIber wrItten acknowledgment of 74 receIpt of the compl~lnt as well as a descrIptIon of the complaInt resolutIon process. (e) Grantee InvestIgatIon. Upon receIpt of a SUbscrIber Statement of Compla~nt, Grantee shall conduct an Invest~gatlon of the subscrIber complaInt. Grantee, wlthln ten (10) days of receIVIng the complaInt, shall notIfy the subscrIber In wrItIng of the results of the InvestIgatIon] Its proposed actIon or resolutIon] If any and the reason for Its deCISIon. Grantee shall also notIfy the subscrIber of the subscrIber's rIght to flle a request for hear~ng wlth CIty ln the event the subscriber IS dIssatIsfIed WIth Grantee's deCISIon. SECTION 63059. Reauest for Hearlna. (a) A subscrIber who IS dlssatlsfled w~th Grantee's deCISIon or who was not sent a wrItten deCISIon WIthIn the ten (10) day perIod can fIle a request for a hearIng with the CIty Clerk wlthIn ten (10) days of receIpt of Grantee's deCISIon or If Grantee has faIled to Issue a deciSIon as requIred by SectIon 630SB(b}, WIthIn thIrty (30) days of filIng of the subscrIber's complaInt. (b) The CIty shall notIfy the Grantee of the request for a hearIng and the Grantee shall ImmedIately forward to the CIty copIes of all materIals, InclUdIng the complaInt, InvestIgatIon reports, and deCISIons, related to the dIspute. The CIty shall set the matter for hearlng as prOVIded In Sectlon 61060 unless It lnformally resolves the compla~nt tc the subscrIber's satlsfact~on w~thln ten (10) days. 75 SECTION 63060. ComplaInt Heqrlnqs Conducted bv HearInG Offlcer A hearlng shall be conducted by a hearIng offlcer appoInted by Clty follOWing notIce 1n wrIting speclfYIng the tIme and place for such hearing. The hearing shall be conducted In accordance WIth procedures establIshed by the C~ty pursuant to MunlcIpal Code Sect10n 6126C-E and Will be scheduled WIthin twenty (20) days of receIpt of the request. The hearIng shall be conducted Informally, and the parties may offer any ev~dence relevant to the dlspute, WhICh the hearing officer may deem necessary to an understandIng and determinatlon of the dIspute. The deCISIon of the hearlng offIcer shall be flnal and there shall be no right of appeal. Grantee shall defray the full cost of the hearing offIcer proceedIngs. In the event Grantee falls or refuses to advance fees or costs as reqUIred by the hearing offIcer, such fees or costs shall be obtaIned from the security fund. The procedures prOVIded In thIS SectIon shall not llmlt any common law or statutory rIghts of subscrIbers. 76 SECTION 63061. Comolalnt Notlf~catlon. G~antee shall provIde wrItten notIce to each subscrIber at least once every calendar year descrIbIng the procedure establIshed by Grantee for resolVIng subscrIber complaInts and of the subscrIber's rIght to have Grantee's response to a subscrIber complaInt revIewed by the CIty 1n accordance wIth the provlslons of thIS ordInance. The notIce shall Include the name] bUSIness address] and bUSIness telephone numbers of Grantee's offIce and of CIty offIce des1gnated to receIve complaInts. The form of the notlce shall be subJect to the approval of Clty. SECTION 63062. Remed~es for VIolat1ons. A hearIng offIcer may, as a part of a subscr~ber complaInt dec~sIon Issued under the provls~ons of thIS Chapter} Impose a penalty on Grantee as speclfled In the franchIse agreement. A penalty may be Imposed only If the hearIng offIcer fInds that Grantee has arbItrarIly refused or faIled WIthout JustIfIcatIon to comply WIth the prOVISIons of th~s Chapter] Includlng] but not lImIted to, failIng to prOVIde a wr1tten response to a subscrlber complaInt SECTION 6~C63. ComplaInt Flle and Reports. An accurate and comprehenSIve flle shall be kept by Grantee of any and all complaInts regardlng the cable system. All serVIce complaInt records shall be retaIned on fIle for a perIod of three (3) years. Complete records of Grantee's actIons In response to all complaInts shall be kept. These f11es and records shall lnclude: 77 (a] A summary of complalnt3, ldentlfYlng the number and nature of complaInts) t~e date and tIme complaInts were receIved] and theIr dISpOSItIon, In a form approved by CIty. A copy of the summary shall be completed for each month and submItted to CIty by the tenth day of the succeedlng month. (b) ~ wrItten or computer-stored log and summary of all serVlce InterruptIons. (e) A wrItten or computer-stored log and summary of all requests for cable serVIce and thelr dISposlt~on. (d) The results of an annual opInIon survey report WhICh IdentIfIes satIsfact~on or dIssatIsfactIon among subscrIbers WIth cable communIcatIons serVIces offered by Grantee. ~ copy shall be submItted to CIty no later than twc (2) months after the end of Grantee's fIscal year. The survey reqUIred to make sald report shall be In a format approved by CIty and may be In a form that can be transmItted to subscrIbers WIth one or more bIlls for serVIce, such as postage-paId self-addressed postcards. SECTION 63064. Tenant RIghts. Grantee shall be reqUIred to provlde serv~ce to tenants In IndIVIdual units of a mult~ple hOUSIng faCIlIty WIth all serVIces offered to other dwellIng unIts WIthIn the franchIse area, so long as the owner of the faclllty consents ln wrlt~ng] 1f requested by Grantee, to the follOWIng: . (a) Grantee's prOVIdIng of the serVIce to unIts of the faCIlIty. 78 (b) Reasonable condltIons and tlmes for Installatlon] malntenance, and Inspectlon of the system on the faCIlIty premlses. (e) Payment to owner by Grantee of reasonable fees for access to property. (d) Reasonable condItions promulgated by Grantee to protect Grantee's eqUIpment and to encourage w1despread use of the system. (e) Absence of addltlonal rental charges for tenants who receIve cable serVIce. SECTION 63065. CltV RIohts. When there have been Slmllar complalnts made or when there eXlsts other eVIdence WhICh, 1n the Judgment of the CIty Manager, easts doubt on the rellablllty or quallty of cable servlce] the Clty Manager may requlre Grantee to test] analyze] and report on the performance of the system. Such report shall be dellvered to the CIty Manager no later than fourteen (14) days afte~ the Clty Manager notIfIes Grantee of the requlred report and shall lnclude the followlng lnformatIon: the nature of the complaInts WhICh precIpltated the spec1al testsj what system component was tested, the equ1pment used] and procedures employed 10 saId testIng; the results of such test, and the method ln WhlCh sa~d complalnts were resolved. If requested, the CIty Manager may allow Grantee addltlonal tIme to complete the report for good cause. The CIty Manager ~ay requ1re that tests and analyses shall be supervised by a professional engIneer not on the 79 permanent staff of Grantee ^fter the engIneer has sIgned all records of the specIal tests they shall be forwarded to the CIty Manager wlth a report InterpretIng the results of the tests and recommend1ng actlons to be taken by Grantee and CIty. The C~ty Manager may requIre tests, analyses, and reports coverIng speclf~c subJects and characterlstlcs based on complaInts or other ev~dence when and under such CIrcumstances as the Clty has reasonable grounds to bel1eve that the complaInts or other eVIdence requlres that tests be performed to protect the publIC agaInst substandard cable serVlce. Grantee shall be responslble for the costs of any and all tests] analyses, and reports requlred under thls Sectlon. SECTION 63066. PrIvacv. (a) Each Grantee shall strlctly observe and protect the rights of prIvacy and of property of subscr~bers and users at all tImes. InformatIon on IndIVIdual subscrlbers] lndIvldual subscr~ber preferences of any kInd IncludIng, but not lImIted to, VIewing habIts, polItIcal, soclal] or economlC phIlosophIes, belIefs] creeds, relIgIons, shoppIng chOIces, Interests, oplnlons, energy uses, medIcal InformatIon, bankIng data or InformatIon, or names, addresses] or telephone numbers, or any other personal or prIvate lnformatlon] shall not be ma1ntaIned or revealed to any person, maIlIng serv~ce, InvestIgatIng agency or department, com~any] other agency, or entIty unless upon the authorlty of a court of law or upon 80 pr10r wr1tten permISSIon of the subscr1ber. The request tor permlsslon must be concalned 10 a separate document with a promlnent statement that the subscrIber 1S authorizlng the permlSSlon In full knowledge of its provisIon. Such authorIzation shall not In any event be requlred as a cond1t~on of receiVIng serVIce. (b) Grantee may release the number of lts subscrIbers but only as a total number and as a percentage of the potentIal subscrlbers throughout the CIty. When IndIcating the number of subscribers VIeWIng a particular channel at a particular time, Grantee shall indIcate only the total number of subscrIbers VIeWing during the relevant tIme and the percentage of all subscrIbers WhICh they represent, but never the IdentIty of a particular subscrIber Grantee shall provlde such lnformatlon to Clty upon request. (e) At the t1me of enter~ng lnto an agreement to prov1de any cable serVIce or other serVIce to a subscrIber and at least once a year thereafter, a cable operator shall prOVIde notice In the form of a separate, written statement to such subscrIber WhICh clearly and consp1cuously lnforms the subscrIber of: ( 1 ) The nature of personally ldent1flable collected w~th respect to the lnformatlon collected or to be subscrIber and the nature of the use of such ~nformatlon. (2) The period durIng WhiCh such InformatIon w1ll be maInta1ned by the cable operator 81 (3) The tImes and place at WhICh the subscr~ber such lnformatlon In accordance wlth may have access to subsectlon (f) (4) The lImItatIons provlded by thIS Sectlon wIth respect to the collectlon and dIsclosure of Informatlon by a cable operator and the rIght of the subscrIber under state and federal law to enforce such llmItatlons. In the case of subscrlbers who have entered Into such an agreement before the effectIve date of thIS SectIon] such notIce shall be provIded wlth1n 180 days of such date and at least once a year thereafter. (d) Informatlon collected on 1ndlvIdual subscrIbers shall be lImIted to InformatIon that 1S relevant and necessary to provlslon of the serVlces requested by subscrIbers. (e) Grantee shall be responsIble for the accuracy] relevance, and completeness of any InformatIon collected, maIntaIned, and revealed about Ind~v1dual subscrIbers. (f) A cable subscrIber shall be provlded access to all personally IdentIfIable InformatIon regardlng that subscrIber WhICh 15 collected and maIntaIned by a cable operator. Such InformatIon shall be made avaIlable to the suoscrlber at reasonable tImes and at a convenlent place deSIgnated by such cable operator. A cable subscrlber shall be prOVIded reasonable opportunIty to correct any error 1n such lnformation. (9) Grantee . may maIntaIn such lnformatlon a~ IS necessary to bIll subscr1bers f0~ the purchase of any system 82 serVlce. Grantee may contr~ct for blll~ng servIces, WIth the written consent of the CIty prov~ded that such contractor agrees to be bound by the_ prov~slons of thIS Section and the penaltIes thereto pertalnLng. (h) NeIther Grantee nor any other person shall InItIate In any form, the d~scovery of any InformatIon on or about a subscrIber's premIses without prIor valId authorIzatIon from the subscrIber potentially affected. (i) A subscrIber may at any time revoke any authorIzation previously made, by delIverIng to Grantee In wrItlng by mall or otherWIse, hIs/her deCISIon to so revoke. ~ny such revocatIon shall be effect~ve upon receipt by franchIsee. (J) No monitoring of any subscrIber terminal shall take place WIthout speCIfIC prIor valId wrItten authorIzatIon by the user of the terminal In questIon; prOVIded, however] that Grantee may conduct systemwide or IndiVidually addressed "sweeps" for the sole purpose of verifYIng system IntegrIty. Grantee shall not InItIate a subscrIber response mechanism Without a fIndIng by the City Manager that the response mechanIsm can operate effectIvely and yet give absolute protectIon agaInst any InvaSion of prIvacy. (k) Grantee shall not tabulate any test results, ncr permit the use of the system for such tabulatIon, whlch would reveal the commerCial product preferences or opinIons of IndIVIdual subscrIbers, members of the1r famIlIes or theIr 63 invltees] lIcensees, or employees without prlor valld wr~tten authorlzatlon of the subscriber. (1) Each compilatIon, publicatIon, tabulation} or other d~ssem~natIon of each piece of Infcrmat10n made or permItted to be made ln violatlon of thiS Section shall be consIdered a separate vlolation. Subchapter 13I. R~ghts Reserved to C~tv. SECTION 63067. Right of Eminent Domaln. Noth~ng contaIned in thIS Chapter shall be deemed or construed to ImpaIr or affect] In any way, to any extent] the rIght of City to acqUIre the property of Grantee, eIther by purchase or through the exerCIse of the rlght of emInent domaIn, at a fair and Just value, WhiCh shall not Include any amount for the franchIse Itself or for any of the rIghts or prIVileges granted, and nothing contaIned in thIS Chapter shall be construed to contract away or to modIfy or abr~dge, either for a term or In perpetUIty, the City's right of emlnent domain. SECTION 63068. ~lg~tS Autnor~zed by City Charter or Ordinance. There IS hereby reserved to City every right and power WhICh is requlred to be reserved by the prOVisions of th1s Chapter or by any law of the CIty] and Grantee, by its acceptance of any franchIse, agrees to be bound thereby and to comply WIth any actlon or requlrements of the City 1n lts 84 exerC1se of such sk~lls or power heretofore or hereafter enacted or establlshed. SECTION 63069. Rlght to Amend Chapter. There IS hereby reserved to the Clty the power to amend any Sectlon of thls Chapter so as to reqUIre addltlonal or greater standards of constructIon, operatlon, maIntenance] or otherWIse on the part of Grantee. SECTION 63070. RIght to Exerc~s~ Other G9vernmenta~ Powers. Nelther the grant~ng of any franchlse under the provls1ons of thlS Chapter nor any prOVIslon of thlS Chapter shall constltute a walver or bar to the exerCIse of any governmental rIght of power of City. SECTION 63071. Rlght to Brlng an Aet1on. The CIty CouncIl may take such actIons as are necessary and convenIent ~n the exerCIse of its JurisdIctIon under the provls10ns of thIS Chapter. SECTION 63072. Riaht of Insoectlon of ConstructIon. CIty shall have the rlght to inspect all constructlon or lnstallatIon work performed subJect to the prOVISIons of the franchIse and to make such tests as It shall flnd necessary to ensure compllance wlth the terms of thIS franchIse and other pertInent provIslons of law. SECTION 63073. Rlght to Insoect FaCllltles. Gr~ntep shall allow CIty to make Inspectlons af any of Grantee's faCIlItles and eqUIpment a~ any ttme upon reasonable notIce, 65 or] ~n the case of emergency, upon demand wIthout prior notIce. SECTION 63074. Rloht of InterventIon. CIty shall have the rIght of InterventIon 1n any SUIt or proceedIng to WhICh Grantee IS party, and Grantee shall not oppose such InterventIon by CIty. Subchapter 13J. FranchIse VIolatIons and TermInatIon. SECTION 63075. RemedIes for Franc~}se VIolatIons. If Grantee falls to perform any oblIgatIon under the franchIse, or falls to do so In a tImely mannerl CIty may at Its optIon} and ~n Its sole dIscretIon: (a) Assess agaInst Grantee monetary damages up to the lImIts establIshed In the franchIse agreement for materIal franchIse VIolatIons] saId assessment to be leVIed agaInst the securIty fund] hereInabove prov1ded, and collected by CIty ImmedIately upon saId assessment. The amount of such assessment shall be deemed] WIthout proof} to represent lIquIdatIon of damages actually sustaIned by City by reason of Grantee's faIlure to perform. Such assessment shall not constItute a waIver by CIty of any other rIght or remedy It may have under the franchise or under applIcable law lncludlng, Without llmltatlon} Its rIght to recOVer from Grantee such addItIonal damages, losses} costs and expenses, Includ~ng actual attorneys' fees, as may have bee~ suffered or 86 1ncurred by City by reason of or arIsIng out of such breach of the franchIse. Th1S provls10n for assessment of damages IS 1ntended by the parties to be separate and apart from CIty'S rIght to enforce the provislons of the constructlon and performanee bonds and IS Intended damages. (b) TermInate the franchlseJ prOVIded for 1n Sectlons ~3021 and 63022, to provlde compensation to CIty for actual stated In Section 63078J belowJ or the franchise. for any of the causes other materIal breach of any wh~ch City maYJ or all of the In Its sole Judgment and dIscretIon, Impose above-enumerated measures agaInst GranteeJ shall be 1n addItIon to any and all other legal or it has under the franchise Or under any equltable appllcable remedIes law. No remedy shall be imposed by CIty aga~nst Grantee for any vIolatlon of the franchIse WIthout Grantee beIng afforded due process of law, as prov~ded for In SectIon 63079 below. SECTION 63076. RemedIes for Delav In Construct10n. remedIes WIth regard to delays CIty may Impose the follOWIng ln new system constructlon, or maJor system reconstructIon or expanSIon: (a) ReductIon 1n the duratIon of the franchIse on a month-for-month bas1s for each month of delay exceedIng SIX (6) months. (b) ForfeIture of constructlon bonds and/or assessment of monetary damages up to the maXlmum per day and per ~ncldent 87 11mlts speclfled In the franchlse agreement, leVIed against the securIty fund, for delays exceedIng one year. (e) TermlnatIon of the franchIse WIthIn one year after award of the franchIse If Grantee has faIled to InItiate scheduled system constructIon or reconstructIon. (d) TermInatIon of the franchIse for delays exceeding eIghteen (18) months. ~ny remedles applIed shall be In accordance WIth the procedures contaIned In SectIon 63079 hereln. SECTION 63077. ?roc~dure for _ ~emedYInq FraqchIse Vlo1at19ns. In the event that CIty determInes that Grantee has VIolated any prOVISIon of the franchIse, any rule or regulatIon promulgated pursuant hereto or any applIcable federal, state, or local law, CIty may make a written demand on Grantee that It remedy such VIolatIon. If the VIolatIon, breach, faIlure, refusal, or neglect IS not remedIed to the satIsfactIon of CIty WIthIn thIrty (30) days follOWIng such demand, City shall determIne whether or not such VIolatIon, breach, faIlure, refusal, or neglect by Grantee was excusable or InexcusableJ In accordance WIth the follOWIng procedure: (a) A publIC hearIng shall be held and Grantee shall be provIded WIth an opportunIty to be heard upon thIrty (30) days wrItten not1ce to Grantee of the tIme and the place of the hearIng provIded and the allegat~ons of franchIse vlalat~ons. (b) IfJ after notIce 15 glven and, at Grantee's opt~on) a full publIC proceedIng 13 held, CIty determInes that such vlolat1on) breach, fallure, refusal, or neglect by Grantee was 88 excusable as prov1ded ln Sect10n 63081 below, Clty shall dlrect Grantee to correct or remedy the same WIthIn such addIt10nal tIme, 1n such manner, and upon such terms and condlt1ons as CIty may dlrect. (e) If, after notlce IS gIven andJ at Grantee's optIon] a full publIC proceedIng IS held} Clty determInes that such vIolatlon, breachJ faIlureJ refusal, or neglect was Inexcusable1 then CIty may Impose a remedy 1n accordance w1th Sectlon 63075 abOVe. SECTION 63078. Forfe1tur~ or Revqc~t+on. (a) Grounds for ~evocat~on. City reserves the rIght to revoke any franchIse granted hereunder and reSCInd all rIghts and prlvIleges assocIated WIth the franchIse In the event of a materIal breach of thIS ordInance or the franchIse agreement. A materIal breach of the franchIse shall Include, but not be lImIted to: (1) If Grantee should default In the performance of any of Its materIal obllgat1ons under thIS ordInance or under such documentsJ agreementsJ and other terms and prOVISIons entered Into by and between CIty and Grantee, subJect to the provls1ons of Sect10n 63077. (2) If Grantee should faIl to prOVIde or maIntaln 1n full force and effect, the lIabIlIty and Indemnlflcat~on coverages or the securIty fund and bonds as requ1red here1n. (3) If any court of competent Jurlsd1ct~on, Or any Federal or State regulatory body by rules} declsLons} or other actIon determlnes that any materIal prov1sIon of the 89 franch~se documents) IncludIng thIS ord~nance) and Grantee's appllcat~on 1S the franchise 1nval~d or agreement, unenforceable constructIon. prlor to the commencement of system (4 ) If Grantee should wlllfully vlolate any orders or ru11ngs of any regulatory body havIng ]urlsdIctlon over Grantee relatIve to the franch1se. (5) If Grantee ceases to provIde serVlces of the eable commUnlcatlons system for any reason wIth~n the Control of Grantee. (6) If Grantee attempts to evade any of the proVIslons of thIS ordInance or the franchIse agreement or attempts to pract~ce any fraud or deceIt upon CIty. (7) If Grantee's constructlon, reconstructlon, or system extens~on schedule 1S delayed for more than eIghteen (18) months later than the schedule contalned ln the franchlse agreement and Clty flnds that the delay was not excusable under the provISIons of Section 63081. (8) If Grantee becomes lnsolventJ unable, or unwIlllng to pay lts debts, or upon 11st~n9 of an order for rellef In favor of Grantee In a bankruptcy proceedIng. (b) Procedure PrIor to RevocatIon. (1) C~ty may make wrltten demand that Grantee comply WIth any such reqUIrement, I1mltatlon, term, condltlonJ rUle, or regulatIon or correct any actlon deemed cause for revocatIon. If tl1e fa~lure, refusal,' or neglect of the Grantee contlnues for a perlod of th~rty (30j days followlng 90 such wrItten demand, CIty may place the Issue of termInat~on of the franchIse upon a regular CIty Councll meetIng agenda. CIty shall cause a wrItten notIce of Intent to request termInatlon, includIng the tIme and place of the meetIng, to be served upon such Grantee at least ten (10) days prIor to the date of such meetIng. Such notIce shall be publIshed In a newspaper of general cIrculatIon wIthIn the franchIse area at least once, ten (10) days before such meetIng. (2) CIty shall hear any persons Interested thereIn, and shall determIne whether Grantee has commItted a materIal breach of thIS ordlnanee or the franchIse agreement, andJ If so, whether such breach was WIllful. (3) If City determInes that Grantee has commItted a materIal breach, City maYJ by resolutIon, declare that the franchIse of such Grantee shall be termInated and securIty fund and bonds forfeIted, or the CIty may, at Its optIon and If the materIal breach IS capable of beIng cured by Grantee, d~rect Grantee to take approprIate remedIal actIon WIthIn such tIme and manner and upon such terms and condItIons as CIty shall determIne are reasonable under the CIrcumstances. The CIty may place condltlons on any Grantee forfeIture, IncludIng~ but not lImIted to, establIshIng the date on WhICh such forfeIture shall become effectIve. SECTION 63079. Procedures In the Event 9f Termlnatlon or EXplratlon. ( a ) P~Sposltlon of FaCIlItIes. In the event a franchIse expIres, IS revoked, or otherWIse termInated, CIty 91 may order the removal of the system facllItIes from the franchIse area wIthIn a reasonable perIod of tIme as determined by the City or requIre the orIgInal Grantee to maIntaIn and operate Its cable ~ystem untIl a subsequent Grantee IS selected and a s~bsequent or modIfIed cable system becomes operatIonal. Grantee shall promptly, upon belng gIven ten (10) days notlce, remove from the streets or publIC places all such property of such system other than any WhICh the General Servlces Director may permIt to be abandoned 1n place. In the event of such removal, Grantee shall promptly restore the street or other area from whIch such property has been removed to a condItlon satLsfactory to the General SerVIces DIrector. Any property of Grantee remaInIng 1n place thIrty (30) after the termInatIon or explratIon of the franchIse be conSIdered permanently abandoned. The General SerVIces DIrector may extend such tIme not to exceed a days shall reasonable perIod. (b) Abandonment of Property Any property of Grantee to be abandoned In place shall be abandoned In such manner as the General SerVIces DIrector shall prescrIbe. SubJect to the prOVISIons of any ut1lIty JOInt use attachment agreement, upon permanent abandonment of the property of Grantee In placeJ the property shall beeome that of CIty, and Grantee shall submIt to the General Serv~ces DIrector an lnstrument ln wrltlog to be approved by the Clty Attorney, ownershlp of such property. transferrlng to Clty the 92 (cl Res~orat~on of Prooertv. In removlng lts plant, structuresJ and equIpment, Grantee shall refll1, at Its own expenseJ any excavatIon that shall be made by It and shall leave all publIC ways and places 1n as good condltIon as that prevallIng prlor to Grantee's removal of Its equIpment and appllances wlthout affectIng the electrIcal or telephone cable wlres, or attachments. The l1abIlltYJ Indemnlty and Insurance, and the securlty fund and bonds prOVIded shall continue In full force and effect durIng the perIod of removal and untll full compllance by Grantee wIth the terms and condltlons of thlS Sectlon. (d) Extended OperatIon. Upon eIther the eXpIratlon or revocatIon of a franchIse, Clty may reqUIre Grantee to contlnue to operate the cable communIcatIons system for a defined period of tIme not to exceed twenty-four (24) months from the date of such eXpIratlon or revocatIon. Grantee shall, as trustee for Lts successor In InterestJ contlnue to operate the cable communIcatIons system under the terms and conditIons of thIS ordInance and the franchlse agreement and to provlde the regular cable serVlce and any and all of the other serVlces that may be prov1ded at that t1me. CIty shall be permltted to seek legal and eqUItable rellef to enforce the prOVISIons of thIS SectIon. (e) Grantor's RIght Not Affected. The term~nat~on and forfelture of any franchIse shall In no way affect any of the rIghts of Clty under the franchIse or any prov1sIon of law 93 SECTION 63080. Recelversh19 ~rd Foreclosure. (a] Any franchIse granted shall~ at the opt~on of CIty, cease and termInate one hundred twenty (120) days after the appOIntment of a receiver or recelvers or trustee or trustees to take over and conduct the bUSIness of Grantee whether In a recelversh~PJ reorganIzatlonJ bankruptcYJ or other act~on or proceeding unless such receIvershIp or trusteeshIp shall have been vacated prIor to the eXpIratIon of sa~d one hundred twenty (120) days, or unless: (1) Such receIvers or trustees shall have WIthIn one hundred twenty (120) days after theIr electIon or appOIntment, fully complIed WIth all the terms and prOVISIons of thIS ordInance and the franchIse granted pursuant hereto, and the receIvers or trustees WIthin saId one hundred twenty (120) days shall have remedIed all defaults under the franchlSej and, (2) _Such receIvers or trustees shall, WIthIn saId one hundred twenty (120) days, execute an agreement duly approved by the Court haVIng JurIsdictIon on the premIses, whereby such receiverS or trustees assume and agree to be bound by each and every term, prOVISIon, and lImItatIon of the franchise agreement. (b) In the case of a foreclosure or other Involuntary sale of the plant, property] and equ1pment of Grantee, or any part thereof, CIty may serve notlce of termlnatlon upon Grantee and to the purchaser at such sal'e, In WhIch event the franchIse and rlghts and pr~vlleges of Grantee hereunder shall 94 cease and te~mlnate thlrty (30) days after serVlce of such notlce unless: (1) Clty has approved the transfer of the as and In the manner ln thlS ordInance provIded; franchIse, and (2) Such successful purchaser shall have covenanted and agreed wlth Clty to assume and be bound by all the terms and condltlons of the franchlse agreement. SECTION 63081. Grantee's Inablllty to Perform. In the event Grantee's performance of any of the terms) condItlons) oblIgations, or reqUIrements of the franchlse 15 prevented or lmpa1red due to any cause beyond Its reasonable control or not reasonably foreseeable, such inabIlIty to perform shall be deemed to be excused and no penaltles or sanctIons shall be imposed as a result thereof, provlded Grantee has notIf~ed Clty 1n wrltlng Within thIrty (30) days of Its dIscovery of the occurrence of such an event. Such causes beyond Grantee's reasonable control or not reasonably foreseeable shall lncludeJ but shall not be 11mIted to, clVll emergenCIes. 95 ~ Subchapter 13K. Reports. SECTION 63082. ~nnual Reports. At CIty'S sole opt~on} w~thIn s~xty (60) days after the close of Grantee's fIscal year, Grantee shall submIt a wrltten annual report, In a form approved by CIty, ~ncludlng, but not lImIted to] the follow~ng InformatIon: (a) A summary of the prev~ous year's (or, In the case of the InItIal report year, the InItIal year's) actIVItIes In development of the cable system} IncludIng} but not lImIted to, serVICes begun or dIscontInued durIng the reportIng year, and the number of subscrIbers for each class of serVICe. (b) A revenue statementJ audIted by an Independent CertIfIed Publle Accountant, or certIfIed by an offIcer of the Grantee. (c) A current statement of costs of constructIon by component categorIes. (d) A statement of prOJected constructlon for the next two years. (e) A lIst of Grantee's OffIcers, m~mbers of Its board of dIrectorsJ and other prInCIpals of Grantee. (f) A lIst of stockholders or other eqUIty Investors holdIng fIve percent (5%) or more of the votIng Interest In Grantee and Its parent, SubSIdIary and affIlIated corporatIons and other entItles, If any 96 ~ (g) To the extent that money, other than prof~ts, 15 pald to a parentJ SUbsIdlary, or other person aff~llated w~th Grantee, the amounts of such payments and the baSIS for computat~on of such amounts (e.g 7 the baSIS for computIng any ma~agement fees or share of uhome offlce" ov~rhead). SECTION 63083. Plant Survev Reoort. At CIty's sole optlon, Grantee shall submIt to CIty an annual plant survey report WhICh shall be a complete survey of Grantee's plant and a full report thereon. Sald report shall Include, but not be llmlted to, a descrlptlon and ~as-buIlt" maps of the portIons of the franchIse area that have been cabled and have all serVlces available, an approprlate englneerlng evaluatIon Includlng sUItable electronIC measurements conducted In conformlty wlth FCC gUIdelInes and franchlse technIcal standards. SaId report shall be In suffICIent dptall to enable City to ascertaln that the serVlce reqUIrements and technIcal standards of the FCC and/or the franchIse were achIeved and maIntaIned. If CIty has reason to belIeve that portlons or all of the system do not meet eIther the FCC technIcal gUldellnes, or those lncorporated Into the franchIse agreement, at Clty's request, but not more often than cnce per three years, Grantee and CIty shall agree upon the appOIntment of a quallfIed lndependent engIneer to evaluate and verIfy the technIcal performance of the cable system. The cost of such evaluatIon shall be borne equally by Grantee and Clty. 97 ~ SECTION 63084. CopIes of Federal and State Reoorts. Grantee shall submIt to CIty coples of all pleadIngs, applIcatIons, reports, communlc~tlons and documents of any kInd, submltted by Grantee to, as well as coples of all deCISIons, correspondence and actIons by, any federalJ state, and local courtsJ regulatory agencIes and other government bodIes relatIng to lts cable teleVls~on operatlons WIthIn the franchIse area. Grantee shall submIt such documents to CIty SImUltaneously WIth theIr submISSIon to such courts) agenc1es, and bodIes; and WIthIn ten (10) days after theIr receIpt from such courts, agencles and bodIes. Grantee hereby waIves any rIght to claIm confIdentIal, prlvlleged, or propr~etary rIghts to such documents unless such confldentlal rlghts are determIned to be confIdentIal by law or by the practIces of federal or st~te agenCIes. Such confIdentIal data exempt from publIC dIsclosure shall be retaIned In confIdence by CIty and Its authorIzed -agents and shall not be made aVa~lable for publIC InspectIon. SECTION 63085. PublIC Reoorts. ^ copy of each of Grantee's annual and other periodIC publ~c reports and those of lts parentJ Subsld~arYJ and affIlIated corporatIons and other entltIes, as CIty requests, shall be submItted to CIty WIthIn ten (10) days of Its lssuance. SECTION 63086. MIscellaneous Reports. Grantee shall subm1t to CIty such other lnformatlon or reports In such forms and at such tImes as Clty ~ay reasonably request or requlre. 98 SECTION 63087. PubliC Insoect10n. All reports subJect to publiC dIsclosure shall be ava~lable for publIC inspection at a designated City office durIng normal bUSiness hours. SECTION 63088. FaIlure to Report. The refusal, faIlure, or neglect of Grantee to file any of the reports required, or such other reports as CIty reasonably may request, shall be deemed a material breach of the franchIse, and shall subJect Grantee to all remedIes, legal or eqUItable, WhICh a~e avaIlable to Clty under the franchIse or otherwlse. SECTION 63089. False Statements. Any materially false or mIsleading statement or representatIon made knowlngly by Grantee ~n any report reqUIred under the franchIse shall be deemed a materIal breach of the franchise and shall subJect Grantee to all remedIes, legal or equitableJ WhlCh are available to Clty under the franchise or otherwise. SECTION 63090. Cost of Reports. All reports and records reqUIred under thIS or any other sectlon shall be furnIshed at the sole expense of Grantee. 99 , Subchapter 13L. MIscellaneous ProvLs1on~. SECTION 63091 ComolIance wIth State and Federal Laws. NotwIthstandIng any other prOVIsIons of the franchIse to the contrary, Grantee shall at all tlmes comply wIth all laws and regulatIons of the state and federal government or any admlnIstratlve agencIes thereof. ProvIded, howeverJ ~f any such state or federal law or regulat~on shall requIre Grantee to perform any serVIce, or shall permlt Grantee to perform any servIceJ or shall prohIbIt Grantee from performIng any serVIce, 1n conflIct w1th the terms of the franchise or any law or regulatlon of City, then as soon as poss1ble fOllowlng knowl~dge thereofJ Grantee shall notlfy CIty of the pOlnt of confl1ct belIeved to eXIst between such regulatIon or law and the laws or regulatIons of CIty or the franch1se. SECTION 63092. SeverabIlIty; Non-Materlal ProVlslons. If any prOVISIon of thIS ordInance or any related agreements lS held by any court or by any federal, stateJ or local agency of competent JurIsdIctIon to be Invalid as confllctlng wIth any federal, state, or local law} rule, or regulatIon now or hereafter 1n effectJ or 1S held by such court or agency to be modifIed ln any way In order to conform to the reqUIrements of any such law, rule, or regulatlon, and If sald proV~Slon IS conSld~red nonmaterIal by CIty, s81d provIs10n shall be cons~dered a separate, dIstInct, and ~ndependent part of th15 ordlnance, and such holdIng shall not affect the valld~ty and 100 ~ enforceablllty of all other provISIons hereof. In the event that such law, rule] or regulatlo~ IS subsequently repealed, reSCInded, amended, or otherWIse changed, so that the provISIon WhICh has been held Invalld or. modIfIed 1S no longer In conflIct wIth the law, rules, and regulatIons then In effect] sald provISIon shall thereupon return to full force and effect, and shall thereafter be bIndIng on the partIes heretoJ provIded that CIty shall glve Grantee thIrty (30) days written notice of such change before reqUIrIng complIance wIth saId provlsion. SECTION 63093. SeverabllItv: Materlal Provis1ons. If any materIal sectlon of thIS ordlnanceJ as determIned by Clty, 1S held to be InvalId Or preempted by federal, state, or county regulatIons or laws, any franchIse affected by such decIsIon shall be deemed t~rmInated. Upon such termInatIon} CIty shall, In lts dIscretIon, negot1ate wIth Grantee approprIate modIfIcatIons to the franChIse to prOVIde reasonable relIef to CIty from such lnvalIdIty or preemptIon, IncludIng the payment of damages. SECTION 63094. NotIces. Grantee shall malntaln WIthIn the franchIse area throughout the term of the franchise, an address for serV1ce of notlces by mall. SECTION 63095. No Recourse AoaInst the C~tv. Grantee shall have no recourse whatsoever agaInst CIty or Its offICIals, boards, commISSIons, agentsJ or employees for any loss, costs, expenses, or damage arlslng out of any provlslon 101 ~ . or requirement of the franchIse or because of the enforcement of the franchIse. SECTION 63096. Nonenforcement bv CIty. Grantee shall comply wIth any of the of any faIlure of the not be relIeved of Its obl~gat~on to prov~slons of thIS ordlnance by reason C~ty to enforce prompt complIance. SECTION 63097. Waivers. Any provlslon of thIS ordlnance may be waived by CIty, at CIty'S sole dlscretlon, by Clty Council resolutIon. Grantee may submIt a wrItten request for waIver at any tlmeJ and the request shall be placed on the agenda for a publIC hearIng and deCIsion. Clty shall reach Its deC1SIon no later than one hundred twenty (120) days follOWIng the receipt of any waIver request. SECTION 6309B. EvaluatIon of WaIvers. The CIty CounCIl may authorIze the econom~c, technIcal, or legal evaluatIon of such waIver request and Grantee shall be requlred to reImburse the CIty for any expendItures Incurred by CIty In connectlon WIth such evaluatIon. Any expendIture and/or reimbursement pursuant to thls SectIon shall be exclUSIve of the franchIse fee. SECTION 2. Any prOVISIon of the Santa Monlca MunICIpal Code or appendIces thereto lnconslstent wlth the provlslons of thIS Chapter, to the extent of such InconSIstenCIes and no furtherJ are hereby repealed or modIfIed to that extent necessary to affect the prOVISIons of thIS Chapter. t02 " I> SRCTION 3. It any sect~on, subsectlon, sentence, clause, or phrase of th~s Chapter ~s for any reason held to be lnvalld or unconst~tutlonal by a deCISIon of any court of any competent Jur~sdlctlon, such deCISIon shall not affect the valld1ty of the remalnIng portions of the ordInance. ~he CIty CounCIl hereby declares that it would have passed thIS OrdInance and each and every sect1on, subsectIonJ sentence, clauseJ or phrase not declared InvalId or unconstItutIonal WIthout regard to whether any portIon of the ordInance would be subsequently declared lnvalld or unconstItutIonal. The Mayor shall s1gn and the CIty Clerk shall attest to the passage of thIS OrdInance. The City Clerk SECTION 4. shall cause the same to be published once In the offICIal newspaper w~thln 15 days after Its adoptIon. ThIS OrdInance shall become effectIve 30 days after Its adoptIon. ~PPROVED AS TO FORM: ~~.~ ROBERT M. MYERS 0 . Cl.ty Attorney 103 " .. Adopted and approved this 28th day of April, 1987. /.---....... ~ ~. , . ! , i \, i \ I \ , \ :,; \....----'~------ Mayor ----- " I I ; / I ...--"'_ .t '--------i' (\' '\ ' ;' , 1: .( I _,. '.' .-..../ - - .\ i I \, '\..... I hereby certify that the foregoing ordinance No. 1407 (CCS) was duly and regularly introduced at a meeting of the ci ty Council on the 24th day of March 1987~ that the said Ordinance was thereafter duly adopted at a meeting of the City council on the 28th day of April 1987 by the following Council vote: Ayes: councilmembers: Finkel, Jennings, A. Katz, H. Katz, Reed, Zane and Mayor Conn Noes: councilmembers: None Abstain: councilmembers: None Absent: councilmembers: None ATTEST: ~~~ City Clerk