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HomeMy WebLinkAboutResolutions - No. 86-165RESOLUTION NO. 86-165 RESOLUTION GRANTING NON-EXCLUSIVE COMMUNITY CABLE TELEVISION SYSTEM FRANCHISE After notice duly given, public hearing held, evidence received and good cause appearing therefrom, the following resolution is adopted: RESOLVED that a non-exclusive Coin =ty Cable Television System franchise is hereby awarded to King Videocable Ccmpany, 1521 South Stockton Street, Lodi, California, subject to the following terms and conditions: (1) This franchise is granted subject to all of the terms and conditions of the provisions of Ordinance No. 1370 adopted by the Lodi City Council December 18, 1985, attached hereto as Exhibit A and incorporated herein by reference, as well as representations, statements and conditions set forth in the King Videocable C tpany Proposal for the Conumnity of Lodi, California, dated February 25, 1986, attached hereto as Exhibit B and incorporated herein by reference, and the City Manager's August 5, 1986 letter of review of King Videocable Company's Proposal, attached hereto as Exhibit C and -l- incorporated herein by reference, and King Videocable Company's August 9, 1986 letter of Response thereto, attached hereto as Exhibit D and incorporated herein by reference, and the Grantee shall be bound by all of the terms of Ordinance 1370, this Resolution, the franchise proposal, and the letter of review of the City Manager, and the response thereto by King Videocable Company. (2) The term of this franchise shall be for a period of 20 years, commencing February 21, 1988, and terminating at midnight on February 20, 2008, provided, however, that the requirements and proposals set forth in Exhibits A, D, C and D shall be effective November 6, 1986 and shall remain in effect unless otherwise amended by action of the City Council.. (3) This resolution shall be of no force and effect until Sections 5.16.060, "Acceptance", 5.16.190 "Security Fund", 5.16.200 "Construction Bond", and 5.16.250 "Insurance" of said Ordinance 1370 relating to written acceptance, bonds, insurance policies, etc. have been complied with by the Grantee. In the event that there is non-compliance with said Sections 5.16.060, 5.16.190, 5.16.200, and 5.16.250, this Resolution shall be void. (4) In accordance with Section 5.16.070 "Conditions" of Ordinance 1370, this franchise is granted subject to the following condition: "The Co uiunity Cable Television System herein franchised shall be used and operated solely and exclusively for the purpose expressly -2- authorized by Ordinance of the City of Lodi and no other purpose whatsoever." (5) Grantee shall pay to the City of Lodi during the life of this franchise, a stun equal to three percent of the annual gross receipts of the grantee, payable quarterly. Ord. 1370, Section 5.16.090. (6) A. Grantee shall file with the Lodi City Council a true and correct schedule of rates to be charged for installation and connection to its cable system and a monthly charge for cable service. Such rates shall not be changed or modified in any manner without first filing the changed or modified rates with the City Council thirty days prior to the effective date of such change or modification. B. The City Council shall have the authority to regulate the rates to the extent the Council is permitted to by federal, state or local law. Ord. 1370, Section 5.16.110. (7) This franchise may not be sold, assigned, or transferred without ccmpliance with the provisions of Section 5.16.390 of Ordinance No. 1370. (8) Notwithstanding other terms and conditions herein set forth and set forth in Ordinance No. 1370 and the franchise proposal, this franchise is granted upon the expressed condition that in accordance with the provisions of Section 5.16.170 "Commencement of Construction and Service", and Section 5.16.180, "Forfeitures and Termination", of -3- Ordinance No. 1370, the City Council reserves unto itself the right to exercise its discretion as to whether the Grantee is proceeding with due diligence to obtain the necessary permits and render service to all of the participating subscribers in the City of Lodi. in the event the City Council determines after notice and hearing to the Grantee that the Grantee is not proceeding with due diligence, the City Council may, in the exercise of its discretion, terminate and cancel the franchise herein granted. Due diligence shall be determined by reference to the activities of grantee as of the date of this resolution, and not from February 21, 1988. (9) Grantee shall provide to the City of Lodi, the facilities to permit live coverage of events at three locations: a. New City Council Chambers b. Community Roan, Lodi Public Library c. Hutchins Street Square As to the new City Council Chambers, grantee shall provide for no visible cable in said new Chambers. The City shall provide the conduit. Franchisee shall provide free community cable television service to other City facilities as requested by City. Dated: November 5, 1985 -4- I hereby certify that resolution No. 86-165 was passed and adopted by the City Council of the City of Lodi in a regular meeting held November 5, 1986 by the following vote: Ayes: Council Members Hinchnen, Olson, Pinkerton, Snider and Reid Noes: Council Members - None Absent: Council Members - None 'A-4-Yz Alice M. Painrhe City Clerk -5- t ORD2ZA CE NO. 1370 ALX ORDDZAN(E OF TIE WDI CITY COUNCIL REPEALING LODI MUNICIPAL CODE CHARTER 5.16 CDMUTTKITY ANT --%M T--T-VISION SYSTEi,1 FRANCHISES AD DO=ING A N94 C�:P_R 5.16 — CC`4vLNZTY C.BT.F. =11 EVISION 'SYSTEM FRANCHISES BE IT ORDAINED BY Tim' LODI CITY COLNCZ. SECTION 1. Chapter 5.15 - Ca¢:rauiity Arterna Television Syst-an Franchises, of Title 5 of t�-- Lodi Municipal Cade is hereby repealed in its entirety, and a new Chapter 5.16 - Cc=m-Uty Cable Televisier_ Syste*n. Fra-zhi.ses is hereby enacted, as follows: Chapter 5.16 CCKgUNITY CAS =-LEVISICN SYSTEM FRANCHISES SECTIONS: 5.16.010 Definitions. 5.16.020 Franchise reed. 5.16.030 Grant of Authority. 5.16.040 plication. 5.16.050 Gant or refusal. -1- WMO!-M-304 5.16.060 Accep mance. 5.10'.070 Conditions. 5.16.080 Duration/Renewal of franchise. 5.16_090 Payment. 5.16.100 Financial statement—Audit—Minimum payment. 5.16.110 Rates for service. 5.16.120 Limitations. 5.16.130 Rights reserved by city. 5.16.140 Co=, laint procedure. 5.16.150 refunds. 5.16.160 Liquidated damages. 5.16.170 Cam e_ncerre_nt of construction and service. 5.16.180 Forfeiture and termination. 5.16.190 Security farm. 5.16.200 Construction bond. 5.16.210 Construction practices. 5.16.220 Removal or abandonment of facilities. 5.16.230 Changes required red by public irproveakents. 5.16.240 Failure to ca=lete work. 5.16_250 Insurance. 5.16.260 Right of inspection—Plans and records. 5.16.270 Service s anda-ds. 5.16.280 Continuity of service rr-ndatcry. 5.16.290 Performance evaluation sessions. 5.16.300 New develowents. 5.16.310 Filings with city. 5.16.320 Fiscal report. -2- 5.16.330 Refusal of service. 5.16.340 Service contract. 5.16.350 Television sale or repair. 5.16.360 Free service. 5.16.370 Moving ci_ buildings. 5.16.380 Unauu'Zori zed connections—Tar=ering. 5.16.390 Trans�ers and assignments. 5.16.400 Access channels. 5.16.410 Waivers 5.16.420 Recu?red services and facilities. 5.16.430 Ccanstruction and technical st?--_dards -3- 5.15.010 Definitions. For the purposes of tris chapter, the following words and phrases shall have the meanings respectively ascribed to tram by this section: a. "Access channel" small a single ctL--=_ el de-acated in whole or in part for local prcgra,ming which is not or`ginated by a cable ccr�pany. b. "Basic Service" shall rear. anv service tier which include the retz=z-.snissicn of local television broadcast signals and clic, Educational and Gcverrment Access Channels. C. "Cable Services" are defired as t` -e one-w-av tta_-s ission to subscribers of video progratzning and other arogra-�.i-:g services together with subscriber interaction, if any, which is rer-=ed for the selectscn of such programing a:4 prograrming sex -,,rices that the cable operator T,z'.{es available to all subscribers ge-:erally. Exa oles of cable se -vices elude: vitro programnirg, pay -pe - view, voter preference polls in the contest- of a video program, teletexts, one- wav trar=&ission of any commuter software, and one-wav videotex se -vices such as news services, stoc:C market info=ztiom, etc. Nan -cable services would include: shop -at -hese, ban:{-at-hzrxe- services, ele —.t on c mail, one-way and two-way tray-si ssicn of non -video data and irfo=att cn not offered to all subscribers, data processing, video co.^:ferencizng and voice com mication. d. "Cablecasting" is pro ram -ii -^g c _'=led on a cable system, exclusive Of broad cast signals, whether orifi; -+.ated by the cable operator or any other party. e. "Cable Svstem" shall ,;ean a -facility consist.Lng of a set of closed tra_n—sTdssion pats and associated sig -.-al generation, recepdon, and control e �'z int tnat is designed to provide cable service which includes video prcg -cZmu,--lg and which is provided to Mi=ll -pre s bscr:Lers within a con umitV, but such te_r:1 does not include (A) a facility that se --gyres only to retransmit the television signals of one or more television broadcast stations; (B) a facility that serves only subscribers in one or more multiple unit dwellings under ccri= ownership, control, or management, unless such facility or facilities uses any public right-of-way; (C) a facility of a camnon carrier which is subject in w6cle or in part, to the provisions of Title II of the C.cmuzi.cations Act of 1984, except that such facility shall be considered a cable system to the extent such facility is used in the trarscmission of video program-,tirg direct-ly to subscribers; or (D) any facilities of any electric utility used solely for operating its electric utility systems. f. "Local Origination Programming" shall mean p-rogr�Stas�ing locally produced by the Company. g. "Franchise" means any nonexclusive authority granted pursuant to this chapter in te= of franchise or franchise renewal or othe=w=se to construct, operate and maintai:-i a cable system in the incorporated area of the city. The term, "franchise" shall include the teu--a "fraaichise renewal-" herein. h. Franchise area" means all or any portions of the incoraorated area of the city for which a franchise has been granted under thds chapter. i. "Grantee" means the person to whom a franchise under this chapter is granted by the council and any lawful successor or assignee of such a person_ j. "Gross annual receipts" means any and all compensation or recein-.s obtai:^.ed from and as a result of the operation of a cable system by a grantee with -in the franchised area; except that such tern shall not include receipts or c-arre- sation for: 1. Installation, reconnection or anv other nonrecurring c:h-- -ges ; 2. T.1'e amount of any refunds, credits or other payments :ode to subscribers or users; -5- 3. Any taxes on services fu_—nished by the grantee imposed directly or indirectly on any subscriber or user by any municipal corporation, political subdivision, state or other govenm ntal unit and collected by the grantee for the governmental unit; and ?. The sale or transfer of tangible property; 5. The sale or transfer of the franchise; o'. The issuance, sale or transfer of corperataor_ stacks, bonds or other securities; and 7. Loans or gifts to the grantee. k. "Person" means any person, firm, association, organization, partnershin, business trust, joint venture, corporation or ccmanv. 1. "Property of grantee" means any property constructed, installed, cperated or maintained by a grantee trxler the authority of a nonexclusive rancru se issued Dursuant to this chanter. m_ "Street" means the surface of, and the space above and below, any public c street, road., highway, freeway, lane. alley, court► sidewalk, parkway, drive, public utility easement or other public place as may be authorized by the council, existing as such as of or after the effective Gate of the ordinance codified in this chapter within the incorporated area of the city. n. "Subscriber" means any person or entity receiving for any purpose the cable service of a grantee. 5.16.020 Franchise required. No person shall extend, operate or carry on the business of ci stribu1._ing to any persons in this city any television signals or radio signals by means of a cable system unless a franchise or renewal of franchise therefor has first been obtained pursuant to the provisions of this chapter, and unless such franchise or renewal of franchise is in full force and effect. No person shall construct, install or maintain within_ anv strpet in the city or within any other public property of the city or within any privately owned area within the city w?zich has not yet becare a public street but is designated or delineated as a proposed Lublic street on any tentative subdivision map approved by the city, any e ruigner_t or facilities for distributing any television signals or radio signals through_ a cable system, unless a franchise aut*±orizi rg such use of such street or prop�ezrty or area has first been obtained pursuant to the provisions of this chapter, and L --less such franchise is in full force and effect. 5.15.030 Grant of authority. a. A nwexclusive franchise to construct, operate and maintain a cable system with—J-i any franchise area may be granted by the council to any person, wteth—r operating under an existing fr rc ise or not, offering to furnish and provide a system pursuant to the te=-m and provisions of this chapter. No provision of this chapter shall be corstrued as to recuire the granting of a franchise when in the opinion of the co=nc I it is in the public interest to restri.ct the number of grantees to one or more. Neither the granting of any nonexclusive franchise under this chapter nor anv of the provisions contained in this chapter shall be construed to prevent the city from granting any identical, or similar, nonexclusive franchise to any person within the city_ b. Successful applicants chosen by the City Council will be granted the right and privilege to construct, erect, operate and raintain, in, upon, along, across, above, over and under the streets, alleys, pubLc ways and public places -7- now Laid out or dedicated and all exte--isions thereof and additions theareto in the City poles, wires, cables, underground conduits, manholes, and other cable conductors and fixtures recessaxy for the maintenance and operation in the City of Lodi of a cable system to be used for the sale and distribution of cable services to the residents of the City. C. Any privilege claimed urde_r any such franchise by the Grantee in any street or other public property shall be subordinate to any prior lawful occupancy of the streets or other public prod, --ty. d. Insofar as it is not inconsi stert with or otherwise preempted by Federal or State regulations, the Citv Cou^-i l also grants the right and privilege to successful Grantees to provide non -cable cG mu;nications se --vices— The City Cotricil retains all authcrit,,r, not ot-he_rwise pre --=-ted, to regulate non -cable c -uicati ors services to the extent necessary to assure the delivery of proposed ,ion -cable services, if any, and that they a -e in compliance witr: all regulatory Provisions of this ordinance. e. The construction, raintenance, and operation of Grantee's cable system and all property of Grantee subject to the provisions of this ordinance shall be subject to all lawful police powers, rules, and regulations of the City_ The City ' shall have the power at any time to order and require Grantee to renxwe or abate any pole, line, tower, wise, cable, guy, conduit, elect=ic conductor, or any other s t ruc—ture or facility that is dangerous to life or property_ In the event C_antee, after written notice, fails or refuses to amt, the City shall have the power to remve or abate the same at the expense of the Grantee, all without ccm ensation or Lability for d mages to Grantee. MM 5.16.040 Anolication. A. An application for a franchise or franchise renewal under this chaster small be i ri writing and accompanied by a payment to the city in an airount to be established and amended from time to time by resolution of the City Council. An application shall contain the following information: 1. Tine rate and address of the applicant. If the applicant is a partnership, the nacre and address of each partner shall be set forth. If the applicant is a corporation, the application shall state the names and addresses of its directors, main officers, major stockholders and associates, and the names and addresses of parent and subsidia_-,, ca=anies; 2. A description of the manner in which the applicant proposes to construct, install, maintain and operate the cable system and the extent and manner in utuch existing or future poles or other public utilities will be used for the system; 3. A detailed description of the proposed plzrt of operation of the applicant waich shall include, but not be limited to the following: a) A detailed -,nap indicating all areas to be served, how they are to be se_* vrd and a proposed time schedule for the installation of all equip e- t necessary to become 100 percent operational, ti--oughout the entire area to be served; b) A detailed, informative, and referenced sta-anent describing the actual egui =nent and the operational and technical star de. -ds proposed by the applicants. 4. A statement of the estimated costs of the installation of the proposed systems described in paragraphs 2 and 3 of this subsection. 5. All applicants are required to clearly delineate the is-iitial service area being proposed on a map of sufficient detail (see No. 3 above). Said nap shall also indicate any and all areas that will not receive services. 6. All applicants shall agree to extend cable system upon requestof any contiguous area not designated for initial service in the plan when potential subscribers can be served by extension of the cable system past dwelling units equivalent to a deansity of forty (40) homes per mile of street. Extension shall be at Grantee's cost. I= undergrounding is required by regulation, Grantee must make installation at Gra.-mee's expense. 6bere aerial extension is allowed by regulation but underground installation is requested by benefitted subscribers, the cost of tmderrgrouziding that exceeds the estimated aerial extension cost may be charged to benefitted subscribers. 7. A stat -ment or schedule in a form approved by t;- city ze-nager of proposed rates and charges to subscribers for installation and services, and a copy of the proposed se_n-i ce agree.,ent between the grantee and its subscribers shall accompany the application; 8_ A statement setting forth all agreements and taid`rstarnings, whether written, oral or implied ed existing between the applicar= and any person who is a panty in interest with respect to the proposed franchise or the proposed cable operation. If a franc..hise is granted to a person posing as a front or as the representative of another aerson, and such information is not disclosed in the orl ginal application, such franchise is void and of no force and effect; -10- 9. A financial statement prepared by a certified public accountant or public accountant satisfactory to the council, demonstrating applicant's financial status and its financial ability to ctsnaiete t'A cor_struction or reconstruction, instaI'ation, and operation of the proposed system. 10. An original application for a franchise si311 include a detailed fira-_cial plan (pro form) describing for each year of the franchise, projected nurber of subscribers, rates, all revenues, operating expenses, capital ex,,e^-ditures, depreciation schedule, inaare state -7e nts and a sources and uses of funds stater.ient. All inforlration is to be presented in the fo=nt to be prescribed by the City. B. The council may at anv time demnd, and applicant shall then provide, such supple-en'`wry, additional or other it -formation as the council deems reasonably necessary to det 1, i -+e whether the rimes tad franchise should he granted. 5.15.050 Grant or refusal. Upon consideration of any application, the council may refuse to grant the recuested franchise or the council may by resolution c ra_*it a franchise for a cable system to any applicant as may appear frc m its a=lica tion to be in the opinion of the council nest qualified to render good and efficie*zt cable service to subscribers in the proposed franchise area. The a=!--ca--Jon submitted, together w; t'i any anencpnents , and this chapter shall constitute and form part of the fra^_cnise if granted- -11- t 5.16.060 Acceotar_ce. Within thi--ty days after the date of a resolution awardi.^g a franchise, or within suc1-1 extended period of time as the council may authorize, the grantee shall file with the city manager his written accerrttance in fomes satisfactory to the city attorney, of the franchise, together with the required bond and insurance policies, and n1s agree-rrient to be bourne .by and to cc=ly with and to do all things recp—i`ed of him, by the provisions of this charter and the franchise. such acceptance and agree=ment shall be ackncwledged by the grantee before a notary public and small be irn fom and content satisfactory to, and approved by, the city attorney. 5.16.070 Conditions. A. Any franchise granted pursuant to this chapter sisal! include, among other things, the following condition: The cable system herein franchised- shall be used and operated solely and exclusively for the pt rose expressly authorized by Ord-inance of the city of Lodi and no ocher purpose whatsoever. B. Inclusion of the statement set out in subsec-tion A of this section in any such franchise does not limit the authority of the city to include any other reasonable condition, limitation or restriction which it deems necessary to inose ir. co: --lection with a franchise granted pursuant to the authority conferred by this Cramer. -12- t 5.16.080 Duration/Renewal of franchise. A. The duration of the rights, privileges and authorizations granted in a franchise agreement shall be not to exceed twenty years frau the date a franchise is awarded. A franchise may be renewed by the City upon application of the Grantee pursuant to the procedure established in sub—sect-ion, b of this section and in accordance with the then applicable law. B. Renewal. (1) During the six-month period which begins with the 3,6t_h month before the Franchise expiration, the City ma --,r on its own initiative, and shall at the request of the Grantee, commerce proceedings win -.ch afford the public appropriate notice and participation for the p3 -pose of: (a) Identifying the future cable -related cer—m—iity needs and interests; and (b) Reviewing the performance o= the Grantee =deer the franchise during the then current franchise te--m. (2) (a) Upon ccuple'....ion of a proceeding under subsection (1) , the Grantee seek_Lzg renewal of a franchise may, on J own initiative or at the request of tze City, submit a proposal for renewal_ (b) Any such proposal shall contain. such iraterial as the City may require, including proposals for an upgrade of the cable system. (c) The City may establish a date by which such proposal shall be submitted. (3 ) (a) Upon submittal by the Gra-tee of a proposal to the City for the -13- renewal of the franchise, the City shall provide public notice of such proposal and, during the 4 ,.mnth- period which begins on the ccmletion of any proceedings under subsection (1) , renew the franchise or, issue a preliminary assessment that the franchise should not be renewed and, at the request of the Grantee or on its own initiative, commence an adminis-trative proceeding, after providing prompt public notice of such proceeding, in accordance with paragraph (3) (b) to consider whether— (i) the Grantee has substantially cowlied wr with the material. terms o= the existing franchise and with applicable law; (ii) the quality of the Grantee's service, including signal quality, response to corsumr cCMDlaints, and billing practices, but without regard to the mix, quality, or level of cable services or other services nrcvided over the system, has been reasonable in light of =mrrunqty needs; (ii) the Grantee has the financial, legal, and technical ability to provide the services, facilities, and equip<,–_nt as set forth in the Grantee's proposal; and (iv) the Grantee's proposal is reasonable to meet the future cable -related commmity needs and interests, taking into account the cost of meeting such needs and interests - (b) In any proceeding under paragraph (3) (a) , the Grantee shall be afforded notice and the Grantee and the City, or its designee, small be afforded fair opportunity for full participation, including the right to introduce evidence (including evidence related to issues raised in the proceeding under subsection (1)) to require the production of evidence and to question witnesses_ A transcript -14- shall be rade of any such proceeding. (c) At the c=mDletion of a proceeding ur-der tfiiis subsection, the City shall issue a written decision granting or denying the proposal for renewal based upon the record of such proceeding, and transmit a copy of such decision to the Grantee. Such decision shall state the reasons t:,erefor. (4) Any denial of a proposal for renewal shall be based on one or more adverse findings made with respect to the factors described in subparagraphs (i) through (iv) of subsection (3) (a) , pursuant to the record of the proceeding under subsection (3). (5) If the Grantee's proposal for renewal has been denied by a final decision of the City made pursuant to this section, or has been adversely affected by a failure of the City to act in accordance with the.procedural req =--lents of this section, the Grant--- fray apoea.1 such final decision or failure pursuant to the provisions of section 535 of the Federal Cable Ccrmnications policy Act of 1984. (5) Notwithstanding the provisions of subsections (1) through (5) of this section, the Grantee may submit a proposal for the renewal of the franchise pursuant to this sumsec-tti on at any t� me , and the City may, after affording the public adequate notice and opport-zity for comment, grant or deny such proposal at any time (including aft proceedings pursuant to this section have commenced). The provisions of subsections (1) through (5) of this section shall not ammly to a decision to grant or deny a proposal under this subsection. The denial of a renewal pursuant to this subsection shall not affect action on a renewal proposal that is submitted in accordance with subsections (1) through (5). -15- 5.16.090 Paynent. Any grantee granted a franchise under this chapter shall pay to the city, during the life of such franchise, a sun equal to three percent of the a -m -mal cross receipts of the grantee, payable quarterly. 5.16.100 Financial state<ne*it—Audit—M roman pavnent. A. The grantee shall file w- th the council within ninety days after- the exp--ation of any fiscal year or portion t*eseof during which a franchise is in force, a financial statement prepared by a certified public accountant or public accountant showing in detail gross a.inual receipts, as defined in this chzp ter, of the grantee duri-:g the preced=q calendar year or port.icn thereof. It shall be the duty of the grantee to pay to the city within fifteen days after the time for fi'?ir:g such state*ae:^_ts the sLM, prescribed by the fran&-ise, or any -unpaid balance there -c-12, for the calendar year or the- pertior_ Hereof covered by the statement. B. The right is reserved to the city of audit and reco=utaticn of any and all amounts paid tinder tnis chapter and acceptance until expiation of a period of five years follow mg paym—ent shall not be construed as a release or as an accord and satisfaction of any clail,t tze city may have for fu—,n%--r or additional sus a y able under this chapter or for the per fo=jancs of a*:y other obligations under this s chanter. C. In any year, cormenci-g w-itn the first full calendar year of service dura -31g wiich the franchise p ayi-eats arcunt to less titan twelve hundred dollars, the grantee small zav to the city for such a year a total amount of twelve hundred dollars. D. In the event of any holding over after expiration or arty other tem: ^anon of a i.=a.T!C_{31se issued ul-ld°J�s chapter, whether with or without the -15- consent of the city, the grantee small pay to C1tV a Carpensation twice the percent of its gross annual receipts during such period as it would be rewired to nay under its franchise if there were no holding over. 5.15.110 rtes for service. The grantee small file wr.th the city council a -rue and correct schedule of rates to be charged for installation and connection to its cable system and a monthly charge for cable service. Such rates shall not be c hanged or modified in any manner without first fil—J g the changed or modified rates with the city council thirty days prior to the effe--five date of such change or modification— The City Council shall have the authority to regulate the rates to the extent the Council is permitted to by Federal., State or local law. 5.16.120 Limitations. A. Any franchise granted under this chapter spa be nonexclusive. B. No privilege or exerrotion small be authorized or conferred by any franchise granted tuider this chapter except those specifically prescribed in this chapter. C. Any privilege claimed imder a f-ranchise by the grantee in any street, or other public property, shall be subordinate to any prior occupancy thereof for public purposes. D. A franchise granted tinder this chapter shall be a privilege to be held in personal trust by the original grantee. It cannot be sold, transferred, leased, assigned or disposed of, Li whole or in :art, either by forced or involunta-v sale, sale, rerger, conso14 dation or otherwise, without prior consent -17- J of the council expressed in writing. The grantee shall file with the col;ncil witzintnirty days prior to sale, t=`.-isfer, assignment or lease of the franchise or any part thereof or any rights or privileges granted thereby, written evidence of the proposed transaction certified to by the grantee or its duly authorized officers. Any proposed assignee rust snow financial responsibility to carnet out the terns of the franchise and r_.:st agree to cc=ly with all of the provisions of this chapter; and provided further, t.at no consent or approval shall be requed for a transfer in trust, by mortgage, by security agreement, or by other hypothecation as a ;&-ole, to secure an indeb-tedness, or for a transfer requi red by operation of law. E. Any right or power in, or duty i=ressed upon any officer, e.inlcyee, departrnent or board of the city shall be subject to transfer by the council or by law to any other officer, e=loyee, departaent or board of the city - F. The granter shall have no recourse whatsoever agai^st the city for any loss, cost, expense or da image, wising cut of any provisions or reaui=e tints of this chanter or its en orc-';1ent. G. Any franchise granted under this chapter shall not relieve the grantee of any obligation involved in ob= n .g pole space from any depart ireant or division of the city, other agency of gcve^ ;int, utility ccnTany, or frm others rrai ntaining poles in streets; provided, that the latter shall cooperate with the grantee to the end that only one set of poles small be required by all. H. Any franchise granted u: --der t-,; s chapter is in lieu of any and all other rights, privileges, powers, -L-i^unit es and authorities owned, possessed, controlled or exercisable by the gram, or any successor to any interest of the gra.^tee, of or per,.aining to the cors ruction, operation or maint.nance of any cable system in the inco—.-crated limits of the city, and the acceptance of a franchise under this chapter shall operate as betweel, grantee and the city, as an -is- t abando=ae*it of any and all of such rights, privileges, poca*s, =-hies and authorities t"li Tl the city, to the effect that-, as be7n eemn the grantee and he city, any and all construction, operation and maintenance by any grantee of any cable systera —in city shall be, and shall be dem-n ed and const --:Led in all instances and res^.,ects to be, under and pursuant to sj-,cn frar_c-ruse, and not under or pursuant to any other right, privilege, power, irrrarnity or au t.ority whatsoever. 5.16.130 Rights reserved by city. A. Not L, ng in this chap's shall in any way or to any ecwnt i,=ai.r or affect the richt of the city to ac =:.re the grantee's property either by purchase or through exercise o' the right of eminent dorm, and nothing in this caapi er shall be ccrstr,:ed to contract away or to modify or abridge the city's right of enarent daaain iZ respect to any grantee. B. No fra.ncl l se granted under this chapter shall be gi -ve-n any value before any court or other public authority in any action or proceed nq brought by ;he city in -excess of the amount of the recuired filing fee and ar._a other scan paid by the grantee to city for a franchise at the time or granting. C. There is reserved to t'ie city every right and power knrd-ah is required to be reserved or provided in this chapter by any ordinance or resolution of the city, and the y antee, by its acceptance of any franchise, agrees to be bound thereby and to c=,V-lv with any action or requiremeents of the city in its exercise of such rights or power, enacted or established before or after the effective date of the ordinance codified = this c1anter. D. The council may do all things which are necessary and convenient in the exercise of its jurisdiction under this chapter- -19- E. Neither the granting of any franchise under this chapter nor any of the provisions con'taiz-ed in this chapter s:s? 1 be const=ped to prevent the city from granting any identical, or similar, franchise to any other person within all or any portion of the city. F. here is reserved to city the .right to arend any section or part of this chapter so as to require re reasonable additional or greater standards of construction, operation, maintanar_ce or otherWise, en the :art of the grantee for purposes of protecting the pubLc health, safety and welfare. This provision shall not apply to ccasitnr_ts of a contractual nati:,.re made in a : ranch se agre-me-rit or franchise renewal agree*m-ants. G. -Neither the granting of any franchise nor any provision in this chapter shall constitute a bar to the exercise of any goverr.--v--ital right or power of city. H. X l faci li ties of anv grantee licensed i= -der th�is ci-apter witb-Ln the city shall be available for civil defense p: -mases at such times as the city director of civil de Tense shall require. 5.16.140 Complaint -procedure. A. The city manager or the city manager`s designee is specified by the City as having prJrary responsi.bi.lity for the ccntirn ^_g arm=strattion of a franchise and of ccmlaint procedures. B. P_ Grantee small mai-:tain a central o_ice within or in close proximity to t^-- City, which shall be open during all usual busLr ess hours, have a publicly - listed telephone with a toll-free nurber and sufficienat lines; and be so, operated that cormlaints and requests for repairs, billing or adjustments shall be received on a twenty --our (24) Pour basis. -20- C. A Grantee shall maintain a repair and maintenance crew which shall resxnd to subscriber conplaints or requests for service wit -Ln twenty-four (24) hours after receipt of the ca=laint or request. No charge sr :.0 be made to the subscriber for this service unless such maintenance or reoair is required as a result of damage caused by subscriber. D. A Grantee shall establish procedures for receiving, acting upon, and resolving s•.ibscriber complaints to the satisfaction of the city manager's office. A Grantee shall furnish a notice of such procedures to each subscriber at the time of initial subscription to the system and annually thereafter_ Grantee's service call nrocedures shall contain p rovisinrS to protect the interests of subscribers. In the event that tle Grantee or its employee det_=ires that Grantee's cable system is not resxnsi ble for any given problen which has resulted in a service call ti.e., subscriber equiment is at fault), the subscriber shall have the right to have this come^. on deenors=trated through the use of an additional television receiver ccuma=i_on. A standard television receiver will be used in the subscriber's hare to allow a d:Lrect A/B cc r.�. ison of oe_rfo= rence _ E. A Grantee s=.a11 ?seep a maintenance service log w-hi.ch will indicate the nature of each service camplaint, the date and tame it was received, the disxsition of said ccr=laint and the tire and date hereof _ This log shall be made available for periodic inspection by representatives of the city manager. All service complaint entries shall be retained on file for a pe= i od consisting of the rs�st recent th-ee (3) years. F. When there have been similar ccr.T)laints made or when there exists other evida-nce, wtach, in the judgment of the city manager casts doubt on the reliability or quality of cable service, the city manager shall have the right and authority to compel a Grantee to test, analyze, and report on the performance of -21- the System. Such re_ao t shall be delivered to the city manager no later tI+an four-teen (14) days after the city manager formally notifies the Grantee and shall include the following information: the nature of the ccn=lairts wthich precipitated the special tests; what system carponents were tested, the ecTu.ipment used, and procedures employed in said testing; the results of such tests; and the met-iod in which said c=laints were resolved. G. 'lfie city manager may require that tests and analyses snail be supervised by a professional engineer not on the permanent staff of a Grantee. The aforesaid engineer should sign. all records of the special tests and =onward to the city .;nanager such records with a report irte_~areting the results of the tests and rec=mend ng actions to be taken by a Grantee and the City. H. The City's right under this section shall be limited to regu.iring tests, analyses, and reports covering speci_ic subjects and characteristics based on said cc=laints or other evidence %Fieri and =4er such circL^•starces as the City has reasonable grounds to believe that the ca=.laints or other evidence requires tact tests be perf bed to protectthe public against subsea-Zard cable service. i. 'rhe city manager is authorized and ffL=w--red to adjust, settle or ccr=rcacii.se any controversy or charge arising frcaa the operations of any gran tee under this chapter, eit-her on behalf of the city, the grantee or any subscriber in t`1e best interest of the public. J. Either the grantee or any member of the public who may be dissatisfied withl the decision of the city manager may appeal the mattes to ti3e council for hearing and determination. K. The council may accept, reject or modify the decision of the city rerager and the council may adjust, settle or cormromise any controversy or cancel amy charge arising from the operations of any grantee or from any provision of teas chapter. -22- t 5.16.150 Refunds. a. Subscribers not satisfied that services have been provided as outlined in this ordinance and the Franchise Agreement shall be encouraged to notify the System Manager. The Grantee shall work with the subscriber to resolve the problem within 48 hours, and upon request by a. subscriber, the Grantee shall credit the subscriber's account on a pro rata basis for loss of service unending 48 hours after notification of the Grantee. b. A grantee shall at the tine of initial subscription to the system and annually ti:ereafter furnish a notice to subscribers of their right to a refund for any loss or interruption of service for 48 hours or more. 5.16.160 Liquidated damages. By acceptance of the franchise granted by the City, a Grantee underst --Zs and shall agree that failure to comply with any time and performance recuireae� nts as stipulated in this ordinance and franchise agreeriant will result in ravage to the City, and that it is and will be impracticable to determine the actual amoi.-?t of such damage in the event of delay or non-performance; the franchise agreea--n-,- sh ll include provisions for liquidated quidated darrages to be paid by the Grantee in &Tounts set forth in the franchise agreement and chargeable to the security ftu-,d for the following concerns: a. failure to complete system construction or reconstruction in accordance with Section 5.16.170 and Section 5.10'.430 unless the Council specifically approves the delay by motion or resoluticn, due to the occurrence of conditions. beyond Gran',ee's control, a Grantee shall pay five hundred dollars ($500.00) per day for each day or part thereof, the deficiency continues. -23- k b. Failure to provide uror written request, data, dccuients, reports, info��nation or to cooperate with City during an application process or cable system review, a Grantee sto11 pay fifty dollars ($50.00) per day for each day or p 2s t t ereof , the violation occurs or co^.ti-i-nues . C. Failure to test, analyze and report on the p-formance of the system following a written request pursuant to this ordinance, a Grantee small pay to City one hundred dollars ($100.00) per day for each day or past thereof, that such noncar liarce continues. d. For failure to provide in a contirui.:g roaruier the broad categories of services proposed in the accepted application unless the Council specifically approves Grantee a delay or change, or tine Gre--tee ni s obtained modification of its obligation under Section 525 of the Cable Ccr ru-ni cations policy Act of 1984; Grantee shall pay to the City five hundred dollars ($500_00) per day for each day or part thereof that each nonccraliance continues. e. Forty-five (45) days following adoption of a resolution by the City Council in accordance with Section 5.15.270 de terr d=-ing a failure of Grantee to c=lv with operational, mai-be-narce or technical stars3ards, Grantree shall pay to the City five hundred dollars ($500.00) for each day or Part thereof, that such hon-c=liance continues. f _ Ary other action or non-aCytiox'1 by the C-ra'2tee as agreed upon between theCi � ' and Grantee and set forth in the franchise agreement- Nothing in this section sha-11 preclude fur -,her licItudated damages as agreed upon by the parties in t e franchise agreement. 5.15.170 Cmuencement of construction and service. A. Construction Plan and Schedule (1) Mar) and Plan -24- k Grantee shall submit a co-c"plan or reconstruction plan which s a l be incorporated by reference and made a part of the franchise agreement. The plan srall consist of a map of the entire_ franchise area and shall clearly delli:eate the following: (a) The areas within the franchise area where the cable system will be initially available to subscriber including a schedule of construction for each year that ccns4=ction or reconstruction is proposed. M :seas within the franchise area where extension of the cable systenn camr_ot reasonably be done due to lack of present or planned develograe-Tt or other s; -malar reasons, with the areas and t^� reasons for not serving t: ---m clearly identified on the map. B. Lison acceptance of any fran6rdse, the grantee sha11 imr_w-d ately initiate action to oL—ta all pernits, licenses, ease. -tents, variances and any Otter authorIzati.ons which are recuired or necessax-7 in the conduct of its business, iTc? udi.^g but not limited to any utility joint use attachment agreenie^.ts , microwave carrier licenses, any author=zayLions required to import distant signals, and any other peri is , licenses and authorizations to be granted by duly constituted regulatory agencies having or asserting jurisdi ctaon over the operation of the cable system, any associated microwave transmission facilities, or any other associated facility, and the grantee shall proceed with due diligence un-�1 all such matters are obtained. Copies of all petitions, appli cat'dors and com-n-nications submitted by the grantee to the Federal Ccm=nications Coamission or any other federal or state regulatory cca:mission or agency havi-ig jurisdiction in respect to any matters of ecr,i;g cable operations authorized pursuant to its franchise, shall also be s ,ittri si=lta,-:eously to the city by "he grantee. -25- C. Within ninety days after obtaining all the required or necessary permits, licenses, easeients, variances and any other authorizations referred to in subsection A of this section, the grantee shall cc rzence construction and installation of the cable system. D. Within six months after building permits are granted for a particular area, the grantee shall proceed to render initial se --prices to subscribers, and the comoletion of construction and installation shall be pursued with reasonable diligence, not to exceed fifteen months from the date of the granting of the building permits for the particular area to be served. B. Failure to do any of the requirements of subsections A, B, C and D of this section within the time specified except as provided in subsection F of this section shall be grounds for termination of the franchise. F. The council may in its discretion extend the tizae for the grantee, aching in good faith, to do any act remuired under tiffs section_ The three for comne-nceTrent of construe`,ion aro installation, or the rendering of service to subscribers, initially or thereafter, shall be exte—nded or excused, as the case may be, for any period during which the grantee exile= `aces delay or interruptions due to any of the following ci.rc=:stz_ces if reasonably beyond its control: necessary utility changes or reat_ange.*ne.-its, gov 1 . ntal or regulatory restrictions or re❑_ui:ements, labor st--ikes, lockouts, war (declared or undeclared) , national e*aergency, fire, earthquake, the elements and acts of God. G. Grantee shall extend cable system upon request of any contiguous area not designated for initial service in the plan when potential subscribers can be served by extension of the cable system past dwelling units equivalent to a density of forty (40) hcres oer mile of street. Extension small be at Grantee's cost. If undergrounding is required by regulation, Grentee must make installation at Grantee's expense. Where aerial ectension is allowed by -26- regulation but underground installation is requested by benefitted subscribers, the cost of undergrounding that exceeds the estimated aerial extension cost may be charged to ben_-afitted subscribers. 5.16.180 Forfeiture and termination. a. in addition to all other rights and powers retained by the City under this ordir�rice or otherwise, the City reserves the right to forfeit and te=ainate a franc.`dse and all rights and privileges of a Grantee an the event of a material breach of its teII^s and conditions. In interpreting this ordinance, material provisions shall include all labeled as such and all others, which, =.der all the facts and cir=.star_ces ird1 cated, are a significant- provision of the franchise agreement. A material breach by Grantee shall include but shall not be limited to the following: (1) Failure to begin or ccaimlete sys' p—m construction, recorst_-uctaon or syst`m extension_, or s-ys`en i=rove-ient as provided i.mder the franchise; (2) Fai lure to provide the broad categories of services mromised; assuriirg Gran-L.ee has unsuccess_rully m rsued wtatever recourse is available under Sec-Ldon 625 of tha Cable Comar_icatiors Policy Act of 1984; (3) Failure to restore sersdce after ninety-six (96) consecutive hours of inteTMupted service, e-xcept when approval of such inter-ruption is obr a i nac3 from the City; or (4) Material misrepresentation of fact irl the application for or negotia}pion of the franchise. b. The foregoi^.g shall not constitute a material breach if the violation occ,,=s but it is without fault of a Grantee or occurs as a result of cir=nstances bevond its cent-ol_ Grantee shall not be excused by r.►ere ecwj=LLc hardship nor -27- by misfeasance or malfeasance of its shareholders, directors, officers, or ell= _.Loyees. c. The City may rake a w_-itten denand that a Grantee ca. -ply with any such provision, rules, order, or detemination under or pursuant to this ordinance and frar_ciiise agreeae*it. if the violation by the Grantee continues for a period of thirty (3 0) days follow- n g such written. demand without writ -men proof that the corrective act—Jon. has been take—n or is being actively and expeditiously pursued, the City may place the issue of tennin,ation of a L—..nch-se before the City Council. The City sh—Ol cause to be served upon Grantee at least t-vjenty (20) days Dry or to the date of such a Council meeting, a written not ice of Li ntes t to reaues t such te= aticn and the t, im and place of the meeting_ Public notice shall be given of the .vneeting and issue which the Council is to consider. d_ The City Councii shall hear and consider the issue and shall hear any person interested tre=ein, and small detemine in its discretion, whether or not any violation by the Grantee has occum-red. e. If the City Co=ncil shall dete inti^ *ie the violation by a Grantee was the fault of Grantee and withim its control, the Cotzcil may by resolution declare that the fraP.0^1se of the Grantee shall be forfeited and te.LiPi* ted up -less there is =,=Lance within. such peiod as the City Ccuncil irav fi-x, such period not to be less than sixty (50) days, provided no oppo_rturity for crampliance need be granted for fraud or 1 isre=resenta-tion. f. The issue of forfeiture and te=.tinaticn shall autaratically be placed upon the Council age.^.ca at the expiration of the time. set icy it for carcliance. The Council then slay tesrzziate a fra.cnsse forthwith t_=n f3z,-d3ng that Grantee has failed to achieve ca=iiance or may further extend the period in its discretion. -28- 5.15.190 Security Fund. a. Within thir-v (30) days after the award or renewal of a franchise, a Grantee shall deposit with the City a corporate surety frond in -E e amount of $50,000. The bond shall be used to insure the fai uhful perforce by a Grantee of all provisions of this ordinance and resulting franchise agreement; and ccrzpliance with all orders, permits and directions of env agency, ccaanission, board, depa_rt-,ent, division or orrice of the City having jurisdic=tion over its acts or defaults under a franchise and the payment by the Grantee of any penalties licuidated damages, clai*ns , 1 l ens and waxes due the City which arise by reason of the const -ruction, operation or r. -Linter. nce of the systr*n, in-clu i -g cost of removal or abandonment of anv nronerty of Grantee. b. T -_-ie corporate surety bond shall be main'-=; at $50,000 during the entire te_� of a franchise, even if amounts have to be wittbdrawn pursuant to subdi vision a. or c. of this section. The Grantee snail keep the sane in force and effect at all t z -es throughout the existence of the franchise and Thereafter until Grantee has lim:idkted all of its obligations with the City that shay have arisen fry the accenrtance of the francri se ordinance by Grantee or frc m the exercise of any right or privilege granted hereunder, including the rerrmval of all Wiles, wires, cables, unde-rground conduits, manholes, and other cam-iductor s and fixtures incident to the ma—intp-nance and operation of its cablesystem, should such rerrnal be required b<t City Council or undertaken by Grantee upon the termi a},ion of the franchise. c. if a Grantee fails to pay to the City any c=p--nisaticn within the time fixed 'herein_; or fails after ten (10) days' notice to gay to the City any taxes due and unpaid; or fails to repay the city within ten (10) days any damages, costs or ex—n-anses which the City is ccamelled to pkv by reason of any act or default of -29- the Granteein connection with a franc: se; or fails after ten (10) days' notice by the City of such failure to comply with any provision of a franchise which the City reasonably det---uses can be remedied by demand on the corporate surety bond. The City may immediately require payment of the amount thereof with interest and any penalties frann the corporate surety bond. d. The rights reserved to the City with respect to the corporate surety bond are in addition to all other rights of the City whether reserved by a frarcrzise or auth rized by law, and no action, proceeding or exercise of a right w - En respect to such corporate surety bond shall affect any other ricr_t the City nay have. 5.16.200 Cons' rzc,`...ion bond. a. with -Lin thirty (30) days after the award or renewal of a franchise, a Cra,=--e sha l obtain and ma—intain at its cost grid exoe_nse, and file with the City Clerk, a corporate surety bond in a cor.�-ny authorized to do busiuriess in the state of California arid found acceptable by tt e City Atto�l ey , in the amount of five hundred thousand dollars ($500,000) to guarantee the tiniely construction, rebuild or reconstruction and full activation of the cable system and the safeguarding of damage to private property and restoration of damages incurred with utilities. The bond shall provide but not be ''i-'ito the following condition. There shall be recoverable by the City, join y and severally from the principal and suret,r, any and all damages, loss or costs suffered ny the City resulting from the =a-, ---e of a Grantee to satisfactorily complete corstzuction, rebuild, or -30- k reconstruction ar_d fully activate the cable sastum throughout the franchise area ursuant to the terns and conditions of pthus ordinance and the franchise agreement. b. Anv extension to the prescribed construction tiro limit must be authorized by the Council. Such extension small be authorized only when the Council finds that such extension is r_ecessa_-y and appropriate due to causes beyond the control of a Grantee. c. fibs constiiction bond spall be te=iirated only after the Council finds that a Grantee has satisfactorily cc=leted initial construction and activation or reccnstructi on of the cable systin pursuant to the tens and conditions of this ordinance arta the franchise agreamunt. d. The rights reserved to the City with respect to the construction bond are in addition to all other rights of the City, whether reserved by this ordini ce or authorized by law, and no action., proceeddirig or exercise of a right- with ightwith respect to such construction bond shall affect any ober rights the City may have. e. The construction bond shall contain the following endorsement: "it is hereby understood and agreed that this bond may rat be cancelled by t:w surety nor the intention not to renew be stated by the surety until sixty (60) days after receipt by the City, by registered mail, of written notice of such intent to cancel or not to renew." 5.15.210 Construction_ practices. A. Any poles, cable lines, wires, conduits or other properties of the grarmeeshall be constructed or installed in stye -s in accordance with good e_^_gi .nee..ring practice at such locations and in such manner as is approved by the director of public works and shall cor=om to all applicable codes and laws- -31- B. The grantee sr�ll not inst--.1111 or erect any facilities or apparatus in or en other public property, places or rights-of-way, or within any privately-awmed area within the city whic:. has not yet become a public street but is designated or delineated as a proposed public street an any tentative subdivision map approved by the city, except those-unstalled or erected upon existing or future public utility facilities, with -out obt-aining the prior written ap croval of the director of public u -o ks and the owner-subdivid- -. C. Di those areas and portions of the city where the transini ssion and. distribution facilities of both the :ublic utility providing telephone service and those of ti:e uUility p_-ovidi:.g electric service have beee*z or are to be placed underground, then the grantee, upon recuest by the director of public ;corks so to do, shall li:tewise initially construct, install, operate and maintain its trarsm:ssion and distribution facilities underground. For the purposes of tr-s subsection, "undergrcuc.d" includes a pa=tial underground system. A=llilers in t: -,e grantees trap_= lsslcn aIid dlsi=?butlon 1—es mzy be 1n appropriate iAllSL^.Cs as approve.^ by : e dl_*e'.:to of pL, ' is works. The city shall not in any ,zar :er be responsible for a^.v costs j -recurred by any grantee in placing his proper �y undarrgrouP.d. 5.15.220 Removal or abardor ent of facilities. A. Ln the evert that the use of any part of the cable system is discontinued for anv reason for a centLinucus. period of six months, or in Lhhe event Suez systen or prcne--t,/ ras been iTs lied in any street or public place without ccralyirg with the re-cmdrements of this chapter, or the franchise has been te-ntisia-ted, cancelled or has expired, the grantee s -11 promptly, upon being given ten days' written notice, re-cve from the streets or public places all such proper' -y and poles o' such system otter than any winich the director of public -32- works may pet-adto be abandoned ir: place. In a^_e eve -at of such removal, the grantee shall promptly restore to street or other area rc m uiuch such property has been n roved to a condition satisfactory to to director of of blic works. B. Any property of the grantee remaining in place sixty days after the te_rZnation, forfeiture or expiration of the franchise shall be considered pe-- a.nently abandoned. The director of public works :may extend such time. C. Any prope---ty of the grantee to be abandoned in place shall be ab ndoned in suc-h a man*:er as the dirzctor of public works prescribes. Subject to the ==vision Oz any joint use at:.--ch=a-- it agree_'iy-Ynt, upr.-n of the property o= the Carii ee in place, i �'a Drones' -i shall Deco n that of t le city and the grantee shall suianit to the director of, pub -11c works an inst=mnt in writing, to be approved by the city attorney, trz^ste_rrsg to the city the ownership of such orope--t�r. 5.15.230 C2:arges reouired by zublic _=rov,-: nts. The grantee shall, at its expense, protect, s• -=.,-)ort, terporarily disconnect, relocate in the samee street or other public place, or renove mom the street or other public place, any proper`y of the grar_tee when re Mired by the director of public works by reason of traffic conditions, public safety, street vacation, freeway and street construction, cn?nge or es,..abLshannt of street grade, installation of sewers, drains, water- pipes, power lines, signal lines and tracks or any other type of structures or i-.qprovenents by public agencies; provided, however, that the grantee shall in all such cases have the privilege and be subject to the obligatiors to abandon any property of the grantee in place, as provided in this chapter. 5.15.240 Failure to ccmlete work. -33- Upon failure of tt?e grantee to cc mr,ence, pursue or complete any work required by law or by the provisions of this chapter or by its franchise to be done in any street or other public place, within the gime prescribed, and to the satisfaction of the director of public works, the director of public works fray, at his option, cause such wcrk to be done and the grantee shall pay to the city the cost thereof in the itemized anamts reported by the director of public works to the grantee within this -Ly days a ter receipt of such itemized report. 5.15.250 Insurance. A. The grantee mall indemnify the city, its officers and its e=loyeees against all clairis , den -n s , ac=: i ons , suits and roceed:Lrigs by others, agai r_st all liability to others, and against any loss, cost and expense resulting therefrom.-,, including reasonable attorneys' fees, arising out of the exercise and enjoyment of its franchise i,-resuective of the amount of the c rshe:asive Iia i lity i.--s—u ance =olicv reaui red ur-der 'his sect_cn. B. lne grantee s^all at all tines during the existence of any =anchi se issued under this chapter irain'win in full force and effect, at its own cost and exp-nse, a general comprehensive liability insurance policy, in protection- of the city, its officers, boa;ds, cor¢zissions, agents and employees, in a cair�Tjy approved by the city attorney and in a form satisfactory to the city attornev, protect:Lng the city and all persons against Liability for loss or damage for personal injury, death and prope--ty damage, occasioned by the operations of the crantee under such a francnsse, a^:d for property damage, provided that the iraxar zzi arlcunt for wiich liability shall be assumed, and requirements for the City of Lodi being named an additional insured, and arty other insurance requirements shall be as set and required f_ -CM time to time by resolution of the City Council. A copy -34- of such policy or policies, or certificateS of insurance s1howing the existence of such insurance coverage, shall be filed by the grantee with the City Clerk. C. The rolicies mentioned in the subsection B of this section shall name the city, its officers, boards, aarissions, agents anal employees, as additional insureds, shall contain a contractual liability endorsement approved by the city attorney and shall contai_-! a provision . trot a written notice of any cancellation. or reduction in coverage of such policies shall be delivered to the city manager t -+i,_ tv days in advance of the effective date of the cancellation or reduc-acn. 5.15.250 Richt of inspection—PLa-is and records_ A_ At all reasonable tires, the grantee shall pe=.it any duly authorized represent-at..ive of the city to examine all property of the grantee, together with any a. ^u—^" --cant property of the grantee situated within or w;thcut the city, and to and transcribe any and all maps and other records kept or ma;,trued by tiro grantee or under its control whdch deal With the onerations, affairs, 4xz-ansactions or property o.6 the grantee in relation to its fran&-ise. if any maps or records are not kept in the city, a-nd =on reasonable reuuest they are not rade available in the city, and if the council deternires that an exams- ati cn of them is necessary or appropriate, then all travel and maintenance experse necessarily ir_ca.-red in making such examination shall be paid by the grantee. B. The grantee shall prepare and f=l nish to the director of public works a:_d the city manager at the times and in the form prescribed by either of such officers, such reports with respect to its operations, affairs, transactions or property, as may be reasonable, -ecessar_i or appropriate to the perfo-mance of any of the rights, functions or duties of the city or any of its officers in cc*inection with the f-ancrise. -35- C. The grantee shall at all tries make and keep in the city full anal c=lete pians and records showing the exact location of all cable syst=i equipment installed or in use in streets and other public places in -the city. D. When any portion or the cable system is to be installed on public utility poles and facilities, ce t ified copies of the agreements for such joint use of malas and facilities shall be Filed with the director rector of public works. 5.16.270 Service standards. a. A Grantee shall put, keen, and r--zintai r all par's of the syst�n in good condition throughout tine erti re franchise period. b. upon ter -mi -nation of service to any subscriber, a Grantee shall prc=mt_v remove all its facilities and ermd_otaent from. the pre -anises of such subscriber upon subscriber's request, unless said service serves rulti.ple users. c. Grante—shall render efficient service, retake repairs prcxrptt y, and interrupt service only for good cause anal for t��, shortest time possible. Stich insofar as possible, shall be preceded by notice and shall occur d,ri-�g periods of miiiirarn syste*n use. d. Grantee shall not allow its cable or other ope=at.icns to interfere wit. , television recention of persons not sezti�d by Grantee, nor shall the systems =-L.arfeze with, obstruct or hit ?d r izi any ranter, the operation of the various utiLties se.,-vir_g the residents of the Citv. e. A Grantee shall continue through the term of the franchise to r.+aintain the technical, operational, and nainterance standards and quality of service set forth in this ordinance and francl se agree. rment. Should the City final, by resolution, that a Grantee has failed to rairtain Lruase standards and quaff i tv o= service, and should it, by resolution specifically enumerate L-mrovements to be -36- made, a Grantee shall make such improve -rents. Failure to matte such imprcma*ents wi--'= foamy -five (45) days of such resolution will constitute a material br=each of condition for which the remedy of Section 5.15.100 is applicable. (Liquidated Damages.) 5.15.280 Continuity of service nwdatorv. a_ It shall be the right of all subscribers to continue receiving service insofar as their financial and other obligations to a Grantee are honored. In the event of a change of Grant -e, or in the event a new operator accu.ires the system, a Grantee shall cooperate with the Cit_;, new Cranteee or operator in maintaining continuity of service to all subscribers. Dumr-L g such period, Grantee shall be entitled to the revenues for any period during whildi it operates the system, and shall be entitled to reasonable costs for its se ---vices when it no longer operates the system_ b_ In the event Grantee fails to opez-ate t�-- sysw*n for ninety-six (96) consecutive hours without prior approval of the City or w-ithnat just cause, the City may at its option, operate the system or designate an operator until such time as Grantee restores service under conditions accept -able to tbe City or a per,70ne: t operator is selected. If the City is reaiired to fulfill this obligation for a Grantee, the Grantee shall reimburse the city for all reasonable costs or damages in excess of revenues :Ere¢n the systen received by the City that A re the result of the Grantee's failure to verforn. 5.15.290 Performance evaluation sessions_ a_ The City and a Grantee shall hold sere tiled performance evaluation sessions within thirty (30) days of +she fourth, eighth, twelfth, and sixteenth -37- anniversary dates of a Grantee's award of the franchise a.*+.d as may be required red by federal and state law. b. special evaluation sessions may be held at any time during the term of a franchise at the request of the City or the Grantee. c. All evaluation sessions shall be ope_T to the public and announced in a newspaper of general circulation in accordance with legal notice. Grantee shat notify its subscribers of all evaluation sessions by announcement on its syst�--n between the hours of 7:00 p.m. and 9:00 p.n. for five (5) consecutive days preceding each session. d. Topics whi c:*: may be discussed at any scheduled or special evaluation session may include, but not be limited to, service rate structures; franchise fee; liquidated damages; free or discounted se --vices; apolication of new technologies; system perfo=re ce; serr ii.ces provided; prog_ananing offered; custcrer cerplaints; privacy, 2r--ndaents to this ord_^,a.nce; judicial and FCC rulings; line extension =clicies; and Grantee or City rules. 5.16'.300 New d--A--l=e=ts. a. subsequent to each Perf=.ance Evaluation Session as set forth in Section 5.15.290, the City, Council shall have the authority to order a public hearing or_ the provision of additional channel capacity by Grantee or on the inclusion in the Grantee's cable system of "state of the art' technology or upgraded facilities. No -rice of such hearing shall be provided to Grantee and the Public not later than th-1:.rty (30) days prior to such nearing. b. If after such heari:-:g the City Council deter• ,liras that (1) there exists . a reasonable need and de7ar+.d for additional channel capacity and/or state of the art technology or upgraded facilities, and (2) provision has been made or will be Wade for adern:ate rates w;+ich will allow Grantee a fair rate of return on its -38- ;k' � inves—�zent (including the inves t ent reg,. fired to provide -the additional channels and/or the state-of-the-art technology or upgraded facilities), and (3) will nor- result otresult in economic loss for the Grantee, the City Council may order Gran -tee to provide a specified n=rber of additional channels and/or specified state-of-the- art tecrmology or upgraded facilities. without =plying any limitations as to other provisions of this ordinance, this Section is deemed a Material provision within the meaning of Section 5.16.180 of this ordinance. 5.16.310 Filings with city. All ratters provided in this chapter to be filed with the city, unless provided othxwise in this ch3zrte--, shall be filed with the city manager. 5.16.320 Fiscal Reroort. The Grantee shall file arzually with the city =znager no later than one hu^.dred twenty (120) days after the end of the Grantee's fiscal year, a copy of a financial report applicable to the cable system serving Lodi, or its corporate annual report, including an income statement applicable to its operations during the preceding twelve (12) month period, a balance sheet:, a statement of its prcpe_rties devoted to the cable system operations, by categories, giving its inves=,,ent in such proper`—les on the basis of original cost, less applicable depreciation, a statement of sources and application of ft, -.ds; and a statement of current subscribe=s and peaetratior_ reached for each class of cable service. nese reports shall be certified as correct by an authorized officer of Grantee and ;Mere shall be submitted along with then such other reasonable information as the City shall request. -39- k 5.16.330 Refusal of service. Subject to Section 5.16.130, no person or entity in the existing service area of the grantee shall be arbitrarily refused se_' -vice; provided, however, that the grantee shall not be required to provide service to any subscriber who does not pay the applicable connection fee. or montldy service charge or any other charges as provided by this chapter or any resolution granting the franchise. 5.16.340 Service contract. A. Before the grantee shall provide cable se= -vice to any subscriber, the grantee shall obtain a signed cont=act fr= the subs=iter cozat ming a provision substantial -1v as follows: Subscriber understands that in providing cable service (Grantee) is raa-=ng the use of public rights of way and that the continued use of these public rights of way is in no way guaranteed. in the event the continued use of such rights of way is denied to (Grantee) for any reason, (Grantee) will make every reasonable effort to provide service over alternate routes. Subscriber agrees he will make no claim nor undo_ -take any action aca; Fist tine City of Lodi, its officers, its employees, or (Grantee) if the service to be provided by (Grantee) hereunde~ is interrupted or discontinued because the continued use of such rights of way is denied to (Grantee) for any reason. B. The for,n of the grantee's contract with its subscribers, shall be subject to approval of the city manages with respect to the installation of this :.rovision. 5.1-6.350 Television sale or repair. -40- The grantee or aror of its errloyees during their course of employment shall not engage in the business of selling or leasing television or other receivers which make any use of signals transmitted by its system, nor shall the grantee or any of its employees during the course of their employment engage in the repair of such receivers or the sale of parts for the same_ This restriction shall not a^ply to a converter that increases the capacity of the system that may be sold or leased by the grantee to a subscriber. -41- 5.16.360 Free service. The grantee shall provide free of charge a service drop for cable service for all public and nonprofit private schools, city police and fire stations, city recreation centers, and any additional municipal buildings designated by the city council, provided that such locations are passed by transmission cable maintained for tae service of paying subscribers. If the service drop exceeds one hundred fifty feet, the grantee may charge for the excess footage on the basis of time and naterials. 5.16.370 Moving of buildings. The grantee shall, on the request of any person holding a building moving permit issued by the city, temporarily raise or lower its wires to pez it the movi,^.g of buildings- ngs . The actual ex ------se of such t--,=oraTy removal or raising or lowering of wires shall be paid by the pezittee. The grantee shall be given rot less than five working Bays ad'vancenottice to arrange for such tum -mora --r wire changes . 5.16.380 Unauthorized connections — Taming. A. It is unlawful for anv person, firm or corporation to make any unaut-horized connection, u -tether physically, acoustically, inductively, electronically or otherwise, with any part of a fra^_chised cable system within the city for the purpose of taking or receiving television signals, radio signals, pictares, programs, sound or electronic irmulses o= any kind for the purpose of enabling himself or others to receive any such television signal, radio signal, picture, progra-n, sound or electronic in:rulses_ -42- B. It is unlawful for any person, without the consent of the gran tee, to willfully tm-per with, re mve, obstruct or injure any cables, wires, devices or ec_uipn^=L- used for the di.stribution of television signals, radio signals, pictures, prograis, sound or electronic impulses of any kind. 5.15.390 Transfers and assignmenTs. a. A franchise shell not be sold, assigned or transferred, either in whole or in part, or leased, sublet, nor sell title thereto, either legal or equitable or any right, interest or prope:-ty therein, pass to or vest in any person without the prior written consent of the City. Such consent shall not be withheld unreasonably. No such consent shall be required for a transfer in trust, mortgage, or other hypothecation as a w Zole or in part to secure an indebtedness. The proposed assignee must show technical ability, financial capability, legal qualifications and general c^a_racter qualifications as detennined by the City and must agree to ccm, 1v with all provisions of the franchise and such conditions as nag be mresc--Lbed by Cot-mcil expressed by resolution. City shall be de --red to have consented to a proposed transfer or assignment in the event its refusal to corse -Tit is not c ,ur znica;.e3 in writing to Grantee within one hundred ,wrezr ty (120) days foLowing receipt of written notice of the proposed transfer or assignment. b. The Grantee shall prc*ptly notif=y the City of any actual or proposed change in or transfer of, or acquisition by any other party of, control of the Grantee. The cord "control" as used herein is not limited to major stockholders. but includes actual work::"-ig control in whatever manner exercised_ Every change, transfer, or acquisition sition of con sol of the Grantee shall make the franchise srbject to cancellation finless and until the City shall have consented thereto, -423- utdch consent will not be tr=easonably wi trzheld. For the purpose of dete rCT--� ng whether it shall consent to such change, transfer or a cudsition of control, the City may inquire into the qualifications of the prospective controlling party and the Grantee shall assist the City in any such inquiry. c. A rebuttable presu rpti on that a transfer of =Ti trot has occurred shall arise upon the acquisition or acc=.-amlaticn by any person or group of persons of 10 percent of the voting interest of the Grantee. d. The consent or approval of the City Council to any transfer of the franchise small not constitute a waiver or release of the rights of the City in and to the streets, and any transfer shall by its tams, be expressly subject to the tez s and conditions of a franchise- e. In any absence of extraordinaz-y circi.zms tarces , the City will not approve any transfer or assign_*ment of a franc - se prior to substantial ca=letion of construction or reconstruction of proposed systema. L in no event shall a transfer of ownership or cv trol be approved without successor in interest becrsai^A a signatory to the franchise agre--nent. 5.15. 400 Access charnels. a. Each cable syste*n franchised by the C? ty of Loci sh 1 1 provide at least one (1) charmel dedicated to access for use by the pub1ic as well as gavermental and educational agencies. b. If the access charnel is being utilized ,.ro_e tiza^_ eighty percent (80%) of the tire between 4:00 a.m. and 11:00 p.m. for twelve (12) consecutiveweeks, Grantae shall, upon written notice from., t1he City, mak-- additional ceamm ity access . ch--mel(s) available for the same purposes(s) , with a m xL-=u of three (3) unity access channels to be dedicated for these said PL, --.Poses (s) . c. Notn i ng . in this section shall require Crantee to construct additior_al channel capacity to the system for the sole purpose of providing additional access channels. d. Wherever anv access char= el is utilized less than four (4) hours per day for six (5) days per week for twelve (12) consecutive weeks, the Grantee may be pe_rmittec3 to utilize unused access channel capacity for different and additional p=oses, under =ales and procedures established by the City. e. Grange shall record all requests for use ofaccess channel. whenever such records indi cate in the opiT.ion of the City COIL-, that an excessive =_=tuber of people or programs are being turned away for lack of available access channel capacity; or whenever the criteria in pa_-agra^n (b) are e=eeded for any one of the existing access cha-mel uses, those access charnels which have been pernu.tted by the City for "interim" use by a Qmntee shall each be restored to publ-Lic, gone nu: -=--1 or educational use as applicable. 5.15.410 Waivers. a. Any provision of t'iis Ordi^i----ce may be waived at the sole discretion of the City by resolution of the City Cou-�.c=1 _ b. Grantee may submit a reciest for waiver to the City Council at any . during the franchise tern_ Such request for waiver I. -,ay, at the sole discretion of the City Council , be set for public hearing and a decision shall be made withi -I one hundred and twenty (120) days following the su��ssion. Procedures for nullification of franc^.ise obligations shall be in ca= --i with SecLior. 525 of the Cable Comrrn:nicatior_s policy Act of 1984. C. The City Council may authorize the economic, technical or legal evaluation_ of such waiver request and Grantee shall be recuired to reimburse the Citv for anv expenditures inc=-ed by City in connection with such evaluation_ -45- d. This section is enacted solely for the convenience and benefit of the Grantor and shall not be construed in such a Manner as to create any right or entitlement for the Grantee. 5.16.420 Reauired services and facilities. a. A Franchise application shall include a description of- the grantee's system design anal a description of the broad categories of progra-,, i.ng and services being offered, including optional premie services, a desscription of facilities being proposed for local origination prog-r-a-mlL g, and facilities being offered to various commix- ty institutions. The offer of the broad categories of programming and services contained within a Grantee ' s a=!-, cation shall be dee*ied a birdir_g offer of such Grantee for and to the be_nef of the City and }zte subsc=-i bens of Grantee. In the event, a program originator ceases to provide a service, or in the event the Grantee deta=.-dnes that o'z:!7e-- cable services may be of great`- benefit to subscribers, the Grantee may, Subject to subsections b and c, substitute or drop such services. b. The system, after the inco:peration of suc:-z substitute services, shall satisfy the wa-ranty mad=_ by Grantee to subscribers and poten� ai subscribers in its application for a �-anchise_ The City Council, on behalf of system subscribers, shall have the right to review any substitution of service or change in broad categories of prograr:r u ng that the Grazi t e has made and may order a change therein if it determines, after due hearing on no~-ce, that the warranty has been violated or that certain broad categories of programing and services. sat were camutted by Grantee in its Proposal are not bung delivered_ Any such order shall issue only after a public hearing has been scheduled and held; and written notice of such hearing shall hzve been provides to the Grantee and to tete -46- t public at least 30 days prior to such hearing. Any such order xray be enforced by an appropriate action in the Cou1-ts of Califon za or of the United States. A Grantee shall not, in relation to this sec -tion, be dee—Ted to have waived any right accorded to a franchised cable television operator arising under the First Anendrzwft to the Constitution of the United States, or under the Cable Craa:aini.cation.s Policv Act of 1984. c. Notwithstanding subsections a and b, a Grantee arnav, in accordance with the Cable Caamn-lcations Policy Act of 1984, upon 30 days' advance notice to the City, rearrange, replace or remove a _articular cable service reo iced by the franchise if: (1) such service is no longer available to the G_~antee ; or (2) such service is available to the Grantee only upon the paymemt of a royalty recused under section 801(b)(2) of title 17, United States Code, wt- ctl the Grantee can docLmient: (a) is substantially excess of the amount of such payment rem ired on the date of the Grantee's offer to provide such service, and (b) has not been specifics' l y ccrmJexnsated for through a rate increase or other adjustment. Notwithstand—ing subsections a and b, a Gra-:tee ray take such actions to ra._a-range a particular serL- ce from one service tier to another, or otherwise offer the service, if the rates for ail the e service tiers involved in such actions are not subject to regulation. Section 5.15.430 Construction and technial standards. a. Co=liance With construction ant tecI-mical standards. Grantee shall construe, install, operate and maintain its system in a I:a:.ner consistent with all laws, ord-Lna-ices and cons-true-tion--ta,ndards of the city -47- of icdi; The Standards of Good Engineering Practices for Measurements on Cable Televisicn Systems, published by the National Cable Television Association, 1983; and detailed standards submitted by Grantee as pa --t of its application, which standards are incorporated by reference in the f=^anchise agreement. in addition, Grantee shall provide the City, upon request, with a writtfi-an report of the results of Grantee's an-nual proof of performance tests. In the event of the repeal of FCC Rules anal -Regulations, Part 76, Gr= -?tee shall pay the costs incurred by the City for any technical assistance deemed necessary by the City for obtaining indeoe.^_dent verifica -Ton of technical ccsmliance with all standards. This includes t_ne costs that iray be incurred by the C? ty for checking ccarpLance during the evalua`aors required in Section 5-16.290- b. A.0-dit.ioral sDecificatiors Construction, installation and ra; ntenance of the cable syste It shall be perfo=zied rr. an orderly and worcrarr.ke rnar_er. .-moi cables a_ d wire Sha11 be installed, wtere possible, parallel with and in the saw r-anzze= as electric and tele hone lines_ Miltiple cable ccnfigt:raticrs sh-?, ; be a_=ar_ged in parallel and bundled with due respect for engineee ing ccnsid=-ations. Underground irs-Ln small be in confo=ance with amlicable codes. Grantee sham at all dries conmly with: (1) National Electrical Safety Code (National Bureau of Standards) ; (2) National Electrical Code (National Bureau of Fire Underwriters); (3) Bell System Code of Pole Line Const --action; and (g) The Standards of Good Engineering Practices for Measurer.ents on Cable Television- Systems (National Cable Television Association) , 1983. -�8- 1 Furtu':e..rPl'Jre, the system, small not endanger or i-nterfere with the safety of persons or property in the franchise area or other areas where the Grantee ray have eauim-ent located. SECTION 2. All ordinances and parts of ordinances in conflict herewith are rerealed insofar as such conflict sav exist. =- IOIT 3. This ordinance shall be published one time in the "Lodi News Sentinel", a daily newspaper of general circulation printed and published in the City of Lodi and shall be in. force ad. take effec.: thirty clays f= and aft`- its passage and approval. Apnro )Tis 18th 7cayf De r 1985 f$MYOR Attest: AyIa M. PZ^- =- Ci ty State of . Ca, ; fornia CoLnty of. San Joaquin, ss. 1, Alice I . Rei-nche , City Clerk of tete City of Lodi, do he-Teby certify that Ordinance No. 1370 was intr-oduced at a regular meeting of the City Council of the City of Lodi held December 4, 1985 and was thereafter passed, adopted and ordered to print at a regular meeting of said Council held December 18, 1985 by the following vote: Ayes: Council Members - Olson, Pinkerton, Reid, Snider and iiinchrran Noes: Council Plembers - None Absent: Council i'i--rbers - None Abstain: i n : Council Meriber s - None 0 T_ Tu - t -her ce_rti� that Ordi nar_ce No. 1370 was approved and signed by the Mayor on the date of its passage and the same has been published pursuant to law. nnroved as to Worn ROIZU.D M. S'TEEI V City Attorney -50- ALICE M. EiI1t� City Clenk Chapter 5.16 COMMUN= CABLE TELEVISION SYSTEM FRANCHISES Sections: abandonment of 5.16.010 Definitions. 5.16-020 Franchise required. 5.16.030 Grant of authority. 5.16.040 C 5.16.030 Application. Grant or refusal. 5.16.060 Acceptance. 5.16.070 Conditions. 5.16.080 Duration—Renewal of franchise. 5.16.090 Payment. 5.16.100 Financial statement— Audit—Nlinimum 5.16.290 payment. 5.16.110 Rates for service. 5.16.120 Limitations. 5-16.130 Rights reserved by city. 5.16.140 Complaint procedure. 5.16.150 Refunds. 5.16.160 Liquidated damages. 5.16.170 Commencement of 5.16360 construction and service. 5.16.180 Forfeiture and 5.16380 termination. 5.16.190 Secutiry fund. 5.16.200 Construction bond. 5.16 210 Construction practices. assignments_ 73 k, 5.12.160 5.16.220 Removal or 5.16.010 Definitions. For the purposes of this chapter, the following words and phrases shall have the meanings respectively ascribed to them by this section: A. "Access channel" means a single channel dedicated in whole or in part for (Lodi 3.86) abandonment of facilities. 5.16.230 Changes required by public improvements. 5.16-240 Failure to complete work. 5.16.250 insurance. :5.16.260 Right of inspection— Plans and records. x.16.370 Service standards. 5.16.280 Continuity of service mandatory- andatory5.16290 5.16.290 Performance evaluation sessions. 5.16.300 New developments. 5.16310 Flings with city. 5.16320 Fiscal report. 5.16330 Refusal of service. 5.16340 Service contract. S.I6350 Television sale or repair. 5.16360 Free service- ervice_5.16370 5.16-3770 Nloving of buildings. 5.16380 Unauthorized connections— Tampering. 5.16390 Transfers and assignments_ 5.16.400 ;_ccess channels. 5.16AI0 lyaivers. ..16.E :iJ _ e;;ui �Z ser -ices and 5.16.430 Construction and technical standards. 5.16.010 Definitions. For the purposes of this chapter, the following words and phrases shall have the meanings respectively ascribed to them by this section: A. "Access channel" means a single channel dedicated in whole or in part for (Lodi 3.86) k 5.16.010 local programming which is not origi- to retransmit the television signals of one nated by a cable company. or more television broadcast stations; (2) B. '-Basic service" means any se -vice a facility_ that serves only subscribers in tier which includes the retransmission of one or more multiple -unit dwellings local television broadcast signals and under common ownership, contrtol, or public, educational and governmental management, unless such facility or facil- access channels. ities uses any public right-of-way; (3) a C. -Cable services" are defined as the facility ofa common carrier which is sub- one-w•ay transmission to subscribe s of jem in whole or in part, to the provisions video programming and other program- of Title II of the Communications Act of ming services together with subscriber 1984, except that such facility shall be interaction, if any, which is required for considered a cable system to the extent the selection of such programming and such facility is used in the transmission of programming services that the cable video programming directly to subscrib- operator makes available to all sub -scrib- ers: or (t) any facilities of any electric ers generally. Examples of cable services utility used solely for operating its elec- incIude: video programming, pay -per- frit utility systems. view, voter preference polls in :he con- F. "Local originationro mmin text of a video program, teletexts, one- ZP wav transmission of any computer soft- means programming locally produced by ware, and one-way videotex services such the company. as news services, stock market informa- G. "Franchise" means any nonex- tion. etc. Noncable services would clusiveauthoritygranted pursuanttothis include: shop -at-home, bank-at-homne chapter in terms of franchise or franchise services, electronic mail, one-way and renewal or otherwise to construct, oper- transmission of nomideo data ate ate and maintain a cable system in the and information not offered to all sub- incorporated area of the city. The term scribers, data processing, video con- "franchise" includes the term "franchise ferencing and voice communication. renewal" in this chapter. D. `'Cablecasting" is programming H. "Franchise area" means all or anv caned on a cable system, exclusive of portions of the incorporated area of the broadcast signals, whether originated by city for which a franchise has been the cable operator or anv other party. granted under this chapter_ E. `'Cable system" means a facility I. "Grantee" means the person to consisting of a set of closed transmission whom a franchise under this chapter is paths and associated signal g=neration, granted by the council and any lawful reception, and control equipment that is successor or assignee of such a person. designed to provide cable service which J. "Gross annual receipts" means any includes video programming and which and all compensation or receipts is provided to multiple subscribers obtained from and as a result of the oper- within a community, but such term does ation of a cable system by a grantee not include (1) a facility that serves only w•iihin the franchised area: except that i (Lo -di i dGl 74 k 5.16.010 such term shall not include receipis or service ofa grantee. (Ord. 1370 § I (part.), compensation for. 1985) 1. Installation, reconnection or any other nonrecurring charges; 5.16-020 Franchise required. 2. The amount of any refunds. credits No person shall extend, operate or or other payments made to subscribers or carry on the business of distributing to users; any persons in this city any television 3. ,any taxes on services furnished by signals or radio signals by means of a the grantee imposed directly or indirectly cable system unless a franchise or on any subscriber or user by any munici- renewal of franchise therefor has first pal corporation, political subdivision, been obtained pursuant to the provisions state or other governmental unit and col- of this chapter, and unless such franchise lected by the grantee for the governmen- is in full force and effect. No person shall tal unit, and construct, install or maintain within any 4. The sale or transfer of tangible street in the city or within any other pub - property; lic property of the city or within any pri- 6. The sale ortransfer ofthe franchise; vately owned area within the city which 6. The issuance. sale or transfer of cor- has not yet become a public street but is poration stocks, bonds or other designated or delineated as a proposed C securities: and public street on any tentative subdivision 7. Loans or gifts to the grantee. map approved by the city, any equip - K. "Person" means any person, fir -in, ment or facilities for distributing any association, organization, partnership, television signals or radio signals through business trusi, joint venture, corporation a cable system, unless a franchise autho- or company. rizing such use of such street or property L. "Property of grantee" means any or area has first been obtained pursuant property constructed, installed, operated to the provisions of this chapter, and or maintained by a grantee under the unless such franchise is in full force and authority of a nonexclusive franchis-. eff:ct. (Ord. 1370 § I (part), 1985) issued pursuant to this chapter. M. "Street" means the surface of, and 5.16-0-V Grant of authority. the space above and below, any public A. A nonexciusive franchise to con - street, road, highway, freeway, lane, struct, operate and maintain a cable alley, court, sidewalk, parkway, drive, system within anv franchise area may be public utility easement or other public granted by the council to any person, place as may be authorized by the coup- whether operating under an existing cil, existing as such as of or after the effec- franchise or not, offering to furnish and live date ofthe ordinance codified in this provide a system pursuant to the terms chapter within the incorporated area of and provisions of tris chapter. No provi- the city, sion of this chapter shall be construed as N. "Subscriber" means any person or to require the granting of a franchise entity receiving for any purpose the cable when in the opinion ofthe council it is in 75 (Loci 3-86) 5.16.030 the public interest to restrict the number E. The construction, maintenance, of grantees to one or more. Neither the and operation of grantee's cable system granting of any nonexclusive franchise and all property of grantee subject to the under this chapter nor any of the proyi- provisions of this chapter shall be subject sions contained in this chapter shall be to all lawful police powers, rules and reg - construed to prevent the city from grant- ulations ofthe city. The city shall have the in; any identical, or similar, nonex- power at any time to order and require elusive franchise to any person within the grantee to remove or abate any pole, line, city. lower, wire, cable, guy, conduit, electric ($) Successful applicants chosen by conductor, orany other structure orfacii- the city council will be granted the right ity that is dangerous to life or property. In and privilege to construct, erect, operate the event grantee, after written notice, and maintain, in, upon, along, across, fails or refuses to act, the city shall have above, over and under the streets, alleys, the power to remove or abate the same at public ways and public places now laid the expense of the grantee, all without out or dedicated and all extensions compensation or liability for darnages to thereof and additions thereto in the city grantee. (Ord. 1370 § 1 (part), 1980 poles, wires, cables, underground con- duits, manholes, and outer cable conduc- 5.16.040 Application. tors and fixtures necessary for the A. An application for a franchise or maintenance and operation in the city of franchise renewal under this chapter a cable system to be used for the sale and shall be in writing and accompanied by a distribution of cable services to the resi- payment to the city in an amount to be dents of the city, established and amended from time to C. Any privilege claimed under any time by resolution of the city council_ An such franchise by the grantee in any street application shall contain the followin- or other public property shall be subordi- information. nate to any prior lawful occupancy of the 1. The name and address of the appli- streets or other public property. cant. Ifthe applicant is a partnership, the D. Insofar as it is not inconsistent name and address ofeach partner shall be with or otherwise preempted by federal set forth_ Ifthe applicant is a corporation, or state regulation, the city council also the application shall state the names and grants the right and privilege to suc- addresses of its directors, main officers, cessful grantees to provide noncable major stockholders and associates, and communications services. The city coun- the names and addresses of parent and cil retains all authority, not otherwise subsidiary companies. preempted, to regulate noncable com- I A description of the manner in munication services to the extent neces- which the applicant proposes to con- sary to assure the delivery of proposed struct, install, maintain and operate the noncable services, if any, and that they cable system and the extent and manner are in compliance with all regulatory in which existing or future poles or other provisions of this chapter. public utilities will be used for the system. (Lodi 3-96) 76 L 77 troth M61 5.16.040 3. A detailed description of the pro- aerial extension cost may be charged to posed plan of operation of the applicant benefitted subscribers. which shall include. but not be limited to 7. A statement or schedule in a form the following: approved by the city manager of pro - a. A detailed map indicating all areas posed rates and charges to subscribers for to be served, how they are to be served installation and services, and a copy of and a proposed time schedule for the the proposed service agreement between installation ofall equipment necessary to the grantee and its subscribers shall become one hundred percent opera- accompany the application. tional, throughout the entire area to be S. A statement setting forth all agree - served; ments and understandings, whether writ - b. A detailed, informative, and refer- ten, oral or implied existing between the enced statement describing the actual applicant and any person who is a party equipment and the operational and tech- in interest with respect to the proposed nical standards proposed by the appli- franchise or the proposed cable opera - tion_ if a franchise is granted to a person cants 4. A statement of the estimated costs posing as a front or as the representative ofthe installation of the proposed system of another person, and such information described in subdivisions 2 and 3 of this is not disclosed in the original applica- subsection.. tion, such franchise is void and of no 3. All applicants are required to force and effect. clearly the initial service area 9_ A financial statement prepared by a delineate certified public accountant or public being proposed on a map of sufficient accountant satisfactory to size council, detail (see subdivision 3 of this subsec- demonstrating appIicant's financial sta- The tus and its financial ability to complete and all areas that will not receive services. the construction or reconstruction, 6. All applicants shall agree to extend installation and operation of the pro - cable system upon request of any con - stem. posed syn tiguous area not designated for initial i0. A original application fora fran- s�r in the plan when potential sub- chile shall include a detailed financial scribers can be served by extension of the pian (pro forma) describing for each year cable system past dwelling units equiv- of the franchise, projected number of alent to a density of forty homes per mile subscribers, rates, all revenues, operating of street. Extension shall be at grantee's expenses, capital expenditures, deprecia- cost. If undergrounding is required by tion schedule, income statements and a regulation, grantee must make installa- sources and uses of funds statement. All tion at grantee's expense. Where aerial information is to be presented in the for - extension is allowed by regulation but mat to be prescribed by the city. underground installation is requested by B. The council may at any time benefitted subscribers, the cost of under- demand, and applicant shall then pro - grounding that exceeds the estimated vide, such supplementary, additional or 77 troth M61 41 x.16.040 other information as the council deems reasonably necessary to determine whether the requested franchise should be granted. (Ord. 1370 § 1 (part), 1985) 5.16.050 Grant or refusal. Upon consideration of any applica- tion, the council may refuse to grant the requested franchise or the council may by resolution grant a franchise fora cable system to any applicant as may appear from its application to be in the opinion of the council best qualified to render good and efficient cable service to sub- scribers in the proposed franchise area. The application submitted, together with any amendments, and this chapter shall constitute and form pan of the franchise if granted. (Ord. 1370 § 1 (part), 1983) 5.16.060 acceptance. Within thirty days after the date of a resolution awarding a franchise, or within such extended period of time as the council may authorize, the grantee shall file with the city manager his written acceptance in forms satisfactory to the city attorney, of the franchise, together with the required bond and insurance policies, and his agreement to be bound by and to comply with and to do all things required of him Uv. the provisions of this chapter and the franchise. Such acceptance and agreement shall be acknowledged by the grantee before a notary public and shall be in form and content satisfactory to, and approved by, the city attorney_ (Ord. 1370 § 1 (part), 1985) 5.16.070 Conditions. A. any franchise granted pursuant to t this chapter shall include, among other things, the following condition: The cable system herein franchised shall be used and operated solely and exclusively for the purpose expressly authorized by Ordinance of the City of Lodi and no other purpose what- soever. B. Inclusion of the statement set out in subsection A of -this section in anv such franchise does not limit the authority of the city to include any other reasonable condition, limitation or restriction which it deems necessary to impose in connec- tion with a franchise granted pursuant to the authority conferred by this chapter. (Ord. 1370 § I (part), 1985) 5.16.080 Duration—Renewal of franchise. A. The duration of the right, priv- ileges and authorizations granted in a franchise agreement shall be not to exceed twenty vears from the date a fran- chise is awarded. A franchise may be renewed by the city upon application of the grantee pursuant to the procedure established in subsection B of this section and in accordance with the then applica- ble law. B. renewal. 1. During the six-month period which begins with the thirty-sixth month before the franchise expiration, the city may on its own initiative, and shall at the request of the grantee. commence proceedings which afford the public appropriate notice and participation for the purpose of: i (Lodi 3-86) 78 5.16.080 a. Identifying the future cable -related provided over the syst:rn, has been rea- community needs and interests: and sonable in light of community needs; b. Reviewing the performance of the iii. The grantee has the financial, grantee under the franchise during the legal, and technical ability to provide the then current franchise term. services. facilities, and equipment as set 2. a. Upon completion of a proceed- forth in the grantee's proposal; and in; under subdivision 1 of this subsec- iv. The grantee's proposal is reason - tion, the grantee seeking renewal of a able to meet the future cable -related franchise may, on its own initiative or at community needs and interests, taking the request of the city, submit a proposal into account the cost of meeting such for renewal. needs and interests. b. Any such proposal shall contain b. In any proceeding under sub - such material as the city may require, paragraph a of this subdivision, the including proposals for an upgrade of the grantee shall be afforded notice and the cable system. grantee and the city, or its designee, shall C. The city may establish a date by be afforded fair opportunity for full par - which such proposal shall be submitted. ticipation, including the right to intro - 3. a. Upon submittal by the grantee duce evidence (including evidence ofa proposal to the city forthe renewal of related to issues raised in the proceeding the franchise, the city shall provide pub- under subdivision 1 of this subsection) to lic notice of such proposal and, during require the production ofevidence and to the four-month period which begins on question witnesses. A transcript shall be the completion ofany proceedings under made of any such proceeding. subdivision 1 of this subsection. renew c. At the completion of a proceeding the franchise or, issue a preliminary under this subdivision, the citv shall issue assessment that the franchise should not a written decision granting or denying be renewed and, at the request of the the proposal for renewal based upon the grantee or on its own initiative, com- record cfsuch proceeding, and transmit a mence an administrative proceeding, copy ofsuchdecision totnegran:et-Such after providing prompt public notice of decisior shall state the reasons there on such proceeding, in accordance with sub- =1. Amy denial of a proposal for paragraph b of this subdivision to con- renewal shall be based on one or more sider whether. adverse findings made with respect to the i. The grantee has substantially com- factors described in subparagraphs i plied with the material terms ofthe exist- through iv of subdivision 3a, pursuant to ing franchise and with applicable law; the record of the proceeding under sub - ii. The quality of the grantee's service, division 3. including signal quality, response tocon- 5. Ifthe grantee's proposal forrenewaI sumer complaint, and billing practices, has been denied by a find decision of the but without regard to the mis. quality. or city made pursuant to :his section, or has level of cable services or other services been adversely alf ected by a failure of the 79 (Lodi M6) 5.16.080 city to act in accordance with the pro- cedural requirements of this section, the grantee may appeal such final decision or failure pursuant to the provisions of Sec- tion 635 of the Federal Cable Commu- nications Policy Act of 198-4. 6. Notwithstanding the provisions of subdivisions 1 through 5 of this subsec- tion, the grantee may submit a proposal for the renewal of the franchise pursuant to this subdivision at any time, and the city may, after affording the public ade- quate notice and opportunity for com- ment, Erant or deny such proposal at any time (including after proceedings pur- suant to this subsection have com- menced). The provisions of subdivisions 1 through 5 of this subsection shall not apply to a decision to grant or deny a proposal under this subdivision. The denial of a renewal pursuant to this sub- division shall not affect action on a renewal proposal that is submitted in accordance with subdivisions 1 through 5. (Ord. 1370 § 1 (part), 1985) 6.16.090 Payment. Any grant-- granted a franchise under this chapter shall pay to the city, during the life of such franchise, a sum equal to three percent of the annual gross receipts of the grantee, payable quarterly. (Ord. 1370 § 1 (part), 1983) 6.16.100 Financial statement— Audit—Minimum payment. A. The grantee shall file with the council within ninety days after the expiration of any fiscal year or portion thereof during which a franchise is in force, a financial statement prepared by a certified public accountant or public (!oei ;-ab) 80 l accountant showing in detail gross annual receipts, as defined in this chap- ter, of the grantee during the preceding calendar year or portion thereof_ It shall be the duty of the grantee to pay to the city within fifteen days after the time for filing such staternents the sum prescribed by the franchise, or any unpaid balance thereof, for the calendar year or the por- tion thereof covered by the statement. B. The right is reserved to the city of audit and recomputation of any and all amounts paid under this chapter and acceptance until expiration of period of five years following payment shall not be construed as a release or as an accord and satisfaction of any claim the city may have for further or additional sums pay- able under this chapter or for the per- formance of any other obligations under this chapter. C. in any year, commencing with the first full calendar year of service during which the franchise payments amount to Iess than twelve hundred dollars, the grantee shall pay to the city for such a year a minimum total amount of twelve hundred dollars. D. In the event of any holding over after expiration or any other termination of a franchise issued under this chapter, whether with or without the consent of the city, the grantee small pay to city a compensation twice the percent of its gross annual receipts during such period as it would be required to pay under its franchise if there were no holding over. (Ord. 1370 § 1 (part), 1986) 5.16.110 Rates for service. A. The grantee shall file with the city council a true and correct schedule of r' 5.15.110 rates to be charger( for installation and assignee must show financial responsibil- connection to its cable system and a ity to carry out the terms of the franchise monthly charge for cable service. Such and must agree to comply with all of the rates shall not be changed or modified in provisions of this chapter, and provided any manner without first filing the further, that no consent or approval shall changed or modified rates with the city be required for a transfer in trust, by council thirty days prior to the effective mortgage, by security agreement, or by date of such change or modification. other hypothecation as a whole, to secure B. The city council shall have the an indebtedness, or for a transfer authority to regulate the rates to the required by operation of law- awextent extentthe council is permitted to by E. Any right or power in, or duty federal, state or local law. (Ord. 1370 § I impressed upon any officer, employee, (pan), 1985) department or board of the city shall be subject to transfer by the council or by 5.16.120 Limitations. law to any other officer, employee, A. Any franchise granted under this department or board of the city. chapter shall be nonexclusive. F. The grantee shall have no recourse B. No privilege or exemption shall be whatsoever against the city for any loss, authorized or conferred by any franchise cost, expense or damage, arising out of granted under this chapter except those any pro,-isions or requirements of this specifically prescribed in this chapter chapter or its enforcement. C. Any privilege claimed under a G. Any franchise granted under this franchise by the grantee in any street, or chapter shall not relieve the grantee of other public property, shall be subordi- any obligation involved in obtaining pole nate to any prior occupancy thereof for space from any department or division of public purposes. the city, other agency of government, D. A franchise granted under this utility company, or from others main - chapter shall be a privilege to be held in taining poles in streets; provided, that the ;3ersnnal trust by the original grantee. It latter shall cooperate with the grantee to ^annot be sold, transferred, leased, the end that only one set of poles shall be assigned o: di -posed of, in whole or in required by all. Part, either by forced or involuntary sale, H_ Any franchise granted under this sale, merger, consolidation or otherwise, chapter is in lieu of anv and all other without prior consent of the council rights, privileges, powers, immunities expressed in writing_ The grantee shall and authorities owned, possessed, con - file with the council within thirty days trolled or exercisable by the grantee, or prior to sale, transfer, assignment or lease any successor to any interest of the of the franchise or any pan thereof or any grantee, of or pertaining to the construc- rights or privileges granted thereby, writ- tion, operation or maintenance of any ten evidence of the proposed transaction cable system in tate incorporated limits of certified to by the grantee or its duly the city, and the acceptance ofa franchise authorized officers. Any proposed under this chapter shall operate as 81 (Lodi 3-86) 0R 5. 16.120 between grantee and the city, as an aban- donment of any and all of such rights, privileges. powers, immunities and authorities within the city, to the effect that, as between the grantee and the city, any and all construction, operation and maintenance by any grantee ofany cable system in the city shall be, and shall be deemed and construed in all instances and respects to be, under and pursuant to such franchise, and not under or pur- suant to any other right, privilege, power, immunity orauthority whatsoever. (Ord. 1370 § 1 (pari), I985) 5.16.130 Risius reserved by city. A- Nothing in this chapter shall in any usy or to any extent impair or affect the right of the city to acquire the grantee's property either by purchase or through exercise of the right of eminent domain, and nothing in this chapter shall be con- strued to contract awav or to modify or abridge the city's right of eminent domain in respect to any grantee. B. No franchise granted under this chapter shall be given any value before any court or other public authority in any action or proceeding brought by the city in excess of the amount of the required filing fee and any other sum paid by the grantee to city for a franchise at the time of granting. C. There is reserved to the city every richt and power which is required to be reserved or provided in this chapter by any ordinance or resolution of the city, and the grantee, by its acceptance of any franchise. agrees to be boundthereby and to comply with any action or require- ments of the city in its exercise of such rights or power, enacted or established ILo6 JA before or after the effective date of the ordinance codified in this chapter. D. The council may do all things which are necessary and convenient in the exercise of its jurisdiction under this chapter_ E_ Neither the granting of any fran- chise under this chapter nor any of the provisions contained in this chapter shall be construed to prevent the city from granting any identical, or similar, fran- chise to any other person within all or any portion of the city. F. There is reserved to city the right to amend any section or part of this chapter so as to require reasonable additional or greater standards of construction, opera- tion, maintenance or otherwise, on the part of the grantee for purposes of pro- tecting the public health, safety and wel- fare. This provision shall not apply to commitments of a contractual nature made in a franchise agreement or fran- chise renewal agreements. G. Neither the granting of any fran- chise nor any provision in this chapter shall constitute a bar to the exercise of any governmental right or power of city. H. All facilities of any grantee licensed under this chapter within the city shall -be available for civil defense purposes at such times as the city director of civil defense shall require. (03rd. 1370 § 1 (part), 1985) 5.16.140 Complaint procedure_ A. The city manager or the city man- ager's designee is specified by the city as having primary responsibility for the continuing administration of a franchise and implementation of complaint pro- cedures. t 5.16.1_40 B. A grantee shall maintain a central service log which will indicate the nature office within or in close proximity to the of each service complaint, the date and city, which shall be open during all usual time it was received, the disposition of business hours, have a publicly listed said complaint and the time and date telephone with a toll-free number and thereof. The log shall be made available sufficient lines; and be so operated that forperiodic inspection by representatives complaints and requests for repairs, biiI- ofthe cin• manager_ All service complaint ing or adjustments shall be received on a entries shall be retained on file for a twenty-four hour basis. period consisting of the most recent three C. A grantee shalt maintain a repair years. and maintenance crew which shall F. When there have been similar com- respond to subscriber complaints or plaints made or when there exists other requests for service within twenty-four evidence, which, in the judgment of the hours after receipt of the complaint or city manager casts doubt on the reliabil- request. No charge shall be made to theity or quality of cable service, the city subscriber for this service unless such manager shall have the right and author - maintenance or repair is required as a itv to compel a grantee to test, analyze, result of damage caused by subscriber. and repos � on the performance of the D. 1. A grantee shall establish pro- system. Such report shall be delivered to cedures for receiving, acting upon, and the city manager no later than fourteen resolving subscriber complaints to the days after the city manager formally noti- satisfaction of the city manager's Off -IM fies the grantee and shall include the fol - A grantee shall furnish a notice of such lowing information: the nature of the procedures to each subscriber at the time complaints which precipitated the spe- of initial subscription to the system and cial tests; what system components were annually thereafter. tested, the equipment used, and pro - 2. Grantee's service call procedures cedures employed in said testing; the shall contain provisions to protect the results of such tests; and the method in interests of subscribers. In the event that which said complaints were resolved. the grantee or its employee determines G. The city manager may that that grantee's cable system is not respon- tests and analyses shall be super -4,1 ied by a Bible for any given problem which has professional engineer not on the p,;:Zrl^-- resulted in a service call (i.e., subscriber nent staff of a grantee. The aforesaid equipment is at fault), the subscriber engineer should sign all records of the shall have the right to have chis conten- is special tests and forward to the city man- demonstrated through the use of an ager such records with a report interpret - additional television receiver com- ing the results of the tests and parison. A standard television receiver recommending actions to be taken by a will be used in the subscriber's home to grantee and the city. allow a direct A/B comparison of per- H_ The citv's right under this section fotmance. shall be limited to requiring tests, anaiy- £. A grantee shall keep a maintenance ses. and reports covering specific subjects 83 (Lodi 3-86) 5.16.140 and characteristics based on said com- plaints or other evidence when and under such circumstances as the city has rea- sonable grounds to believe that the com- plaints or other evidence requires that tests be performed to protect the public against substandard cable service. I. The city manager is authorized and empowered to adjust, settle or compro- mise any controversy or charge arising from the operations of any grantee under this chapter, either on behalf of the city, the grantee or any subscriber in the best interest of the public. I Either the grantee or any member ofthe public who may be dissatisfied with the decision of the city manager may appeal the mailer to the council for hear- ing and determination. K. The council may accept, reject or modify the decision of the city manager and the council may adjust, settle or compromise any controversy or cancel any charms arising from the operations of any grantee or from any provision ofthis chapter_ (Ord. 1370 § I (part), 1980. 5.16.150 Refunds. A. Subscribers not satisfied that serv- ices have been provided as outlined in this chapter and the franchise agreement shall be encouraged to notify the system manager. The grantee shall worts with the subscriber to resolve the problem within forty-eight hours, and upon request by a subscriber, the grantee shall credit the subscriber's account on a pro rata basis for loss of service commencing forty- eight hours after notification of the grana_. B. A grantee shall at the time of initial subscription to the system and annually (Lodi 3-861 84 thereafter furnish a notice to subscribers of their right to a refund for any loss or interruption of service for forty-eight hours or more. (Ord. 1370 § 1 (part), 1983). 5.16.160 Liquidated. damages_ By acceptance of the franchise granted by the city, a grantee understands and shall agree that failure to comply with any time and performance requirements asstipulated in this chapterand franchise agreement will result in damage to the city, and that it is and will be impractica- ble to determine the actual arnount of such damage in the event of delay or nonperformance; the franchise agree- ment shall include provisions for liqui- dated damages to be paid by the grantee in amounts set forth in the franchise agreement and chargeable to the security fund for the following concerns: A. Failure to complete system con- struction or reconstruction in accord- ance with Sections 5.16-170 and 5-16.430 unless the council specifically approves the delay by motion or resolution, due to the occurrene of conditions bevond grantee's control, a grantee shall pay five hundred dollars per day for each day or pan thereof, the deficiency continues. B. Failure to provide upon written request, data, documents, reports, infor- mation or to cooperate with city during an application process or cable system review, a grantee shall fray fifty dollars per day for each day or part thereof, the violation occurs or continues. C. Failure to test, analyze and report on the perfot glance ofthe system follow- ing a written request pursuant to this chapter, a grantee shall pay to city one C c hundred dollars per day for each day or part thereof. that such noncompliance continues. D. For failure to provide in a continu- ing manner the broad categories of serv- ices proposed in the accepted application unless the council specifically approves grantee a delay or change, or the grantee has obtained modification of its obliga- tion under Section 625 of the Cable Communications Policy Act of 1981": grantee shall pay to the city five hundred dollars per day for each day or part thereof that each noncompliance con- tinues. E. Forty-five days following adoption of a resolution by the city council in accordance with Section 5.16-270 deter- mining a failure of grantee to comply with operational, maintenance or tech- nical standards, grantee shall pay to the city five hundred dollars for each day or part thereof, that such noncompliance continues. F Any other action or nonaction by the grantee as agreed upon between the city and grantee and set forth in the fran- chise agreement. Nothing in this section shall preclude further liquidated damages as agreed upon by the parties in 'he franchise agreement. (Ord. '370 y 1 - (part), 1985) 5.16.170 Commencement of construction and service. A. Construction Pian and Schedule. 1. Map and Plan. Grantee shall sub- mit a construction plan or reconstruction pian which shall be incorporated by ref- erence and made a part of the franchise agreement. The plan shall consist of a 5.16.160 map ofthe entire franchise area and shall clearly delineate the following: a. The areas within the franchise area where the cable system will be initially available to subscriber including a sched- ule of construction for each year that construction or reconstruction is pro- posed. b. areas within the franchise area where extension of the cable system can- not reasonably be done due to lack of present or planned development or other similar reasons, with the areas and the reasons for not serving them clearly iden- tified on the rnap. B. 1. Upon acceptance of any fran- chise, the grantee shall immediately initi- ate action to obtain all permits, licenses, easements, variances and any other authorizations which are required or nec- essary in the conduct of its business, including but not limited to any utility joint use attachment agreements, micro- wave carrier licenses, any authorizations required to import distant signals, and any other permits, licenses and autho- rizations to be granted by duly con- stituted regulatory agencies having or asserting jurisdiction over the operation of the cable system, any associated microwave transmission facilities, or any other associated facility, and the grantee shall proceed with due diligence until all such matters are obtained. 2. Copies of all petitions, applications and communications submitted by the grantee to the Sideral Communications Commission or anv other federal or state regulatory commission or agency having jurisdiction in respect to any matters affecting cable operations authorized pursuant to its franchise. shall also be 85 (Lodi 3-86) 5.16.170 submitted simultaneously to the city by G_ Granteeshall extend cable system the grantee. upon request of any contiguous area not C. Within ninety days after obtaining designated for initial service in the plan all the required or necessary permits, when potential subscribers can be served licenses, easements, variances and any by extension of the cable system past other authorizations referred to in sub- dwelling units equivalent to a density of section A of this section, the grantee shall forty homes per mile of street. Extension commence construction and installation shall be at grantee's cost. If underground - of the cable system. in-, is required by regulation, grantee D. Within six months after building must make installation at grantee's permits are granted for a particular area, expense. Where aerial extension is the grantee shall proceed to render initial allowed by regulation but underground service to subscribers, and the comple- installation is requested by benefitted tion of construction and installation shall subscribers, the cost of undergrounding be pursued with reasonable diligence, not that exceeds the estimated aerial exten- to exceed fifteen months from the date of sion cost may be charged to benefitted the granting of the permits for the partic- subscribers. (Ord. 1370 § 1 (part), 1985) ular area to be served. E. Failure to do any of the require- ments of subsections A. $, Cand D ofthis 5.15.180 Forfeiture and termination_ section within the time specified except A. In addition to all other rights and as provided in subsection. F ofthis section powers retained by the city under this shall be °rounds for termination of the chapter or otherwise, tete city reserves the frnchise. right to forfeit and terminate a franchise F. The council may in its discretion and all rights and prillileges ofa grantee extend the time for the grantee, acting in in the event of a material breach of its good faith, to do any act required under terms and conditions. In interpreting this this section. The time for commence- chapter, material provisions shall include mens of construction and installation, or all labeled as such and all others, which, the rendering of service to subscribers, under ail the ,facts and circumstances initially or thereafter, shall be extended indicated. are a signis:ca. t provision of or excused, as the case may be, for any the franchise agreement. A nateriai period during which the grantee expert- breach by grantee shall include but shall -aces delay or interruptions due to any of not be limited to the following: the following circumstances if reason- 1. Failure to begin or complete system ably beyond its control_ necessary utility construction, reconstruction or system changes or rearrangements, governmen- extension, or system improvement as tal or regulatory restrictions or require- provided under the franchise; ments, labor strikes, lockouts, war 2. Failure toprovide the broad catego- (declared or undeclared), national emer- ries of services pronised; assuming gency, fire, earthquake, the elements and grantee has unsuccessfully pursued what - acts of God. ever recourse is available under Section (iJt 346) 86 k 625 of the Cable Communications Policy Act of 1984; 3. Failure to restore service after ninety-six consecutive hours of inter- rupted service, except when approval of such interruption is obtained from the city; or 4. ivfaterial misrepresentation of fact in the application for or negotiation of the franchise. B. The foregoing shall not constitute a material breach if the violation occurs but it is without fault of a grantee or occurs as a result of circumstances bevond its control. Grantee shall not be excused by mere economic hardship nor by misfeasance or malfeasance of its shareholders, directors, officers, or employees. C. The city may make a written demand that a grantee comply with any such provision, rule, order. or determina- tion under or pursuant to this chapter and franchise agreement. If the violation by the grantee continues for a period of thirty days following such written demand without written proof that the corrective action has been taken or is being actively and expeditiously pur- sued, the city may place the issue of ter- mination of a franchise before the city council. The city shall cause to be served upon grantee at least twenty days prior to the date of such a council meeting, a written notice Of intent to request such termination and the time and place ofthe meeting_ Public notice shall be given of the meeting and issue which the council is to consider. D. The city council shall hear and i 5-16.180 consider the issue and shall hear any per- son interested therein, and shall deter- mine in its discretion, whether or not any violation by the grantee has occurred. E. If the city council shall determine the violation by a grantee was the fault of grantee and within its control, the coun- cil may by resolution declare that the franchise of the grantee shall be forfeited and terminated unless there is com- pliance within such period as the city council may fix, such period not to be less than sixty days, provided no opportunity for compliance need be granted for fraud or misrepresentation - F. The issue of forfeiture and termina- tion shall automatically be placed upon the council agenda at the expiration of the time set by it for compliance. The council then may terminate a franchise forthwith upon finding that grantee has failed to achieve compliance or may fur- ther extend the period in its discretion. (Ord. 1370 § 1 (part), 1985) 5.16.190 Security fund - A. Within thirty days after the award or renewal of a franchise. a grantee shall deposit with the city a corporate surety bond in the amount of fifty thousand dollars. The bond shall be used to insure the faithful performance by a grantee of all provisions of this chapter and result- ing franchise agreement; and compliance with all orders, permits and directions of any agency, commission, board, depart- ment, division or office of the city having jurisdiction over its acts or default under a franchise and the payment by the grantee of any penalties, liquidated damages. claims, liens and taxes due the 87 - (Lodi 346) N. 5.16.I90 city which arise by reason of the con- D. The rights reserved to the city with , struction. operation or maintenance of respect to the corporate surety bond are the system, including cost of removal or in addition to all other rights of the city abandonment ofanv property of grantee. whether reserved by a franchise or autho- B. The corporate surety bond shall be rized by law, and no action, proceeding maintained at fifty thousand dollars dur- or exercise ofa right with respect to such ing the entire term of a franchise, even if corporate surety bond shall of ea any amounts have to be withdrawn pursuant other right the city may have. (Ord. 1370 to subsection A or C of this section. The § 1 (pan), 1985) grantee shall keep the same in force and effect at all times throughout the exis- 5.16.200 Construction bond. tence of the franchise and thereafter until A. 1. Within thirty days after the grantee has liquidated all of its obliga- award or renewal ofa franchise, a grantee tions with the city that may have arisen shall obtain and maintain at its cost and from the acceptance of the franchise expense, and file with the city clerk, a ordinance by grantee or from the exercise corporate surety bond in a company of any right or privilege granted here- authorized to do business in the state of under, including the removal ofall poles, California and found acceptable by the wires, cables, underground conduits, city attorney, in the amount of five hun- manholes, and other conductors and fix- dred thousand dollars to guarantee the tures incident to the maintenance and timely construction. rebuild or recon - operation of its cable system, should such struction and full activation of the cable removal be required by city council or system and the safesuarding of damage undertaken by grantee upon the termina- to pnvate property and restoration of tion of the franchise. damages incurred with utilities_ C. If a grantee fails to pay to the city 2. The bond shall provide but not be any compensation within the time fixed limited to the following condition_ There herein; or fails after ten days' notice to shall be recoverable by the city, jointly pay to the city any taxes due and unpaid: and severally from the principal and or fails to repay the city within ten days surety, any and all damages, loss or costs any damages, costs or expenses which the suffered by the city resulting from the c .y is compelled to pay by reason of anv failure ofa grantee to satisfactorily com- act or default of the grantee in connec- plete construction, rebuild, or recon - tion with a franchise; or fails after ten struction and fully activate the cable days' notice by the city of such failure to system throughout the franchise area comply with any provision ofa franchise pursuant to the terms and conditions of which the city reasonably determines can this chapter and the franchise agreement. be remedied by demand on the corporate B. Any extension to the prescribed surety bond. The city may immediately construction time limit must be autho- require payment of the amount thereof rized by the council. Such extension shall with interest and any penalties from the be authorized only when the council corporate surety bond. finds that such extension is necessary and iLadi 346! SS appropriate due to causes beyond the control of a grantee. C. The construction bond shall be ter- minated only after the council finds that a grantee has satisfactorily completed ini- tial construction and activation or recon- struction of the cable system pursuant to the terms and conditions of this chapter and the franchise agreements. D. The rights reserved to the city with respect to the construction bond are in addition to all other rights of the city, whether reserved by this chapter or authorized by law, and no action, pro- ceeding or exercise of a right with respect to such construction bond shall affect any other rights the city may have. E. The construction bond shall con- tain the following endorsement: / It is herebv understoodand agreed that this bond may not be cancelled by the surety nor the intention not to renew be stated by the surety until sixty (50) days after receipt by the City, by regis- tered mail, of written notice of such i intent to cancel or not to renew. (Ord_ 1370 § 1 (part), 1985) 5_16.210 Construction practices_ A. Any poles, cable lines, wires. con- duits or other propenzies of the grantee shall be constructed or installed in streets in accordance with good engineering practice at such locations and in such manner as is approved by the director of public works and shall conform to all applicable codes and laws. B. The grantee shall not install or erect any facilities or apparatus in or on other public property, places or rights-of- way, or within any privately -owned area r i 5.105-200 within the city which has not yet become a public street but is designated or deline- ated as a proposed public street on any tentative subdivision map approved by the city, except those installed or erected upon existing or future public utility facilities, without obtaining the prior written approval of the director of public works and the owner -subdivider. C. In those areas and portions of the city where the transmission and distribu- tion facilities of both the public utility providing telephone service and those of the utility providing electric service have been or are to be placed underground, then the grantee, upon written request by the director of public works so to do, shall likewise initially construct, install, oper- ate and maintain its transmission and distribution facilities underground_ For the purposes of this subsection, "under- ground" includes a partial underground system. Amplifiers in the grantee's trans- mission and distribution lines may be in appropriate housings as approved by the director of public works. The city shall not in any manner be responsible for any costs incurred by any grantee in placing his property underground. (Ord. 1370 § 1 (part), 1985) 5.16.220 Removal or abandonment of facilities - A. In the event that the use of any part of the cable system is discontinued for any reason for a continuous period ofsix months, or in the event such system or property has been installed in any street or public place without complying with the requirements of this chapter, or the franchise has been terminated, cancelled or has expired, the grantee shall 88-1 (Lodi 3.86) 5.16.220 promptly, upon being given ten days' written notice, remove from the streets or public places all such property and poles of such system other than any which the director of public works may permit to be abandoned in place. In the event of such removal, the grantee shall promptly restore the street or other area from which such property has been removed to a condition satisfactory to the director of public works. B. Any property of the grantee remaining in place sixty days after the termination, forfeiture or expiration of the franchise shall be considered perma- nently abandoned. The director of public works may extend such time. C. Any property of the grantee to be abandoned in place shall be abandoned in such a manner as the director of public works prescribes. Subject to the provi- sions of any utility joint use attachment agreement, upon permanent abandon- ment of the property of the grantee in place, the property shall become that of the city and the grantee shall submit to the director of public works an instru- ment in writing, to be approved by the city attorney, transferring to the city the ownership of such property. (Ord. 1370 § I (part), 1985) 5.16.230 Changes required by public improvements. The grantee shall, at its expense, pro- tect, support, temporarily disconnect, relocate in the same street or other public place, or remove from the street or other public place, any property of the grantee when required by the director of public works by reason of traffic conditions, public safety, street vacation, freeway and street construction, change or estab- lishment of street grade, installation of sewers, drains. water pipes, power lines, signal Iines and tracks or any other type of structures or improvements by public agencies; provided, however, that the Brant:C shall in all such cases have the privilege and be subject to the obligations to abandon any property ofthe grantee in place, as provided in this chapter. (Ord. 1370 § 1 (pan), 1985) 5.16.230 Failure to complete work. Upon failure of the grantee to com- mence, pursue or complete any work required by law or by the provisions of this chapter or by its franchise to be scone in any street or other public place, within the time presmibed, and to the satisfac- tion of the director of public works, the director of public works may, at his option, cause such work to be done and the grantee shall pay to the city the cost thereof in the itemized amounts reported by the director of public works to the grantee within thirty days after receipt of such itemized report. (Ord. 1370 § I (part), 1985) 5.16 250 insurance. A. The grantee shall indemnify the city, its officers and its employees against all claims, demands, actions, suits and proceedings by others. against all liability to. others, and against any loss, cost and expense resulting therefrom, including reasonable auornL-ys' fees, arising out of the exercise and enjoyment of its fran- chise irrespective of the amount of the comprehensive liability insurance policy required under this section. (t.oc- 3-86) 88-2 �- r 88-3 (Lodi 3.960 r 5.16.250 B. The grantee shall at all times dur- shall permit any duly authorized repre- in; the existence of any franchise issued sentative of the city to examine all prop - under this chapter maintain in full force erty of the grantee, together with any and effect, at its own cost and expense, a appurtenant property of the grantee situ - general comprehensive liability insur- ated within or without the city, and to ante policy, in protection of the city, its examine and transcribe any and all maps ofitcers, boards, commissions, agents and other records kept or maintained by and employees, in a Company approved the grantee or under its control which by the city attorney and in a form satis- deal with the operations, affairs, transac- factory to the city attorney, protecting tions or property of the grantee in rela- the city and all persons against liability tion to its franchise. If any maps or for loss or damage for personal injury, records are not kept in the city, and upon death and property damage, occasioned reasonable request they are not made by the operations of the grantee under available in the city, and if the council such a franchise, and for property determines that an examination of them damage; provided, that the maximum is necessary orappropriate, then all travel amount for which liability shall be and maintenance expense necessarily assumed, and requirements for the city incurred in making such examination being named an additional insured, and shah be paid by the grantee. any other insurance requirements shall B. The grantee snail prepare and fur - be as set and required from time to time nish to the director of public works and by resolution of the city council. A copy the city manager at the times and in the of such policy or policies, or certificates form prescribed by either ofsuch officers, of insurance showing the existence of such reports with respect to its opera - such insurance coverage, shall be filed by tions. ar:airs, transactions or property, as the grantee with the city clerk. may be reasonable, necessary or appro- C. The policies mentioned in subsec- priate to the performance of any of the tion B of this section shall name the city, rights, functions or duties of the city or its officers, boards, commissions, agents any of its officers in connection with the and employees, as additional insureds, franchise shall contain a contractual liability C. The grantee small at ail times make endorsement approved by the city and keep in the city full and complete attorney and shall contain a provision plans and retards showZng the exact loca- that a written notice of any cancellation tion of all cable system equipment or reduction in coverage of such policies installed or in use in streets and other shall be delivered to the City manager public places in Lite city. thirty days in advance of the effective D When any portion Of the cable sV5- date of the cancellation or reduction. tem is to be installed on public utility (Ord. 1370 § 1 (part), 1985) poles and facilities, certifiers copies of the 5.16.260 Right of inspection—Pians agreements for such joint use ofpoles and and records. facilities shall be filed with the director of A. At all reasonable times, the grantee public works. (Ord_ 1370 § 1 (part), 1985) 88-3 (Lodi 3.960 5. I6.270 5.16.270 Service standards. A. A grantee shall put, keep, and maintain all parts of the system in good condition throughout the entire fran- chise period. B. Upon termination ofservice to any subscriber, a grantee shall promptly remove all its facilities and equipment from the premises of such subscriber upon subscriber's request, unless said service serves multiple users. C. Grantee shall render efficient serv- ice, make repairs promptly, and inter- rupt service only for good cause and for the shortest time possible. Such interrup- tions, insofar as possible, shall be pre- ceded by notice and she occur during periods of minimum system use. D. Grantee shall not allow its cable or other operations to interfere with televi- sion reception of persons not served by grantee, nor shall the system interfere with, obstruct or hinder in any manner, the operation of the various utilities serv- ing the residents of the city. E. A grantee shall continue through the term of the franchise to maintain The technical, operational, and maintenance standards and quality of service set forth in this chapter and franchise agreement. Should the city find, by resolution, that a grantee has failed to maintain these stan- dards and quality of service, and should it, by resolution specifically enumerate improvements to be made, a grantee shall make such improvements. Failure to make such improvements within forty-five days of such resolution will constitute a material breach of condition for which the remedy of Section 5.16.160 is applicable. (Liquidated Damages.) (Ord. 1370 § 1 (part), 1980 LIN 5.16.280 Continuity of service mandatory_ A. I. It shall be the right of all sub- scribers to continue receiving service insofar as their financial and other obli- gations to a grantee arc honored. 2. In the event of a change of grantee, or in the event a new operator acquires the system, a grantee shall cooperate with the city, new granter or operator in main- taining continuity of service to all sub- scribers. During such periods_ grantee shall be entitled to the revenues for anv period during which it operates the sys- tem, and shall be entitled to reasonable costs for its smices when it no longer operates the system_ B_ In the event grantee fails to operate the system for ninety-six consecutive hours without prior approval of the city or without just cause, the city may at its option, operate the system or designate an operator until such time as grantee restores service under conditions accept- able to the city ora permanent operator is selected. If the city is required to fulfill this obligation for a grantee, the grantee shall reimburse the city for all reasonable Coss or damages in excess of revenues from the system received by the :i*v that are the result of the grantee's fai.ure to perform. (Ord_ 1370 3 1 (Bart), 1985) 5.16.290 Performance evaluation sessions_ A. The city and a grantee shall hold scheduled performance evaluation ses- sions within thirty days of the fourth, eighth, twelfth and sixteenth anniversary dates ofa grantee's award of the franchise and as may be required by federal and state law- (Lodi aw (Lodi 3-86) 884 ' Ja 5.16.290 B. Special evaluation sessions may be technology or upgraded facilities, and (2) held at any time during the term of a provision has been made or will be made franchise at the request of the city or the for adquate rates which will allow grantee grantee. a fair rate of return on its investment C. all evaluation sessions shall be (including the investment required to open to the public and announced in a provide the additional channel and/or newspaper of general circulation in the state-of-the-art technology or accordance with legal notice. Grantee upgraded facilities), and (3) will not shall notify its subscribers of all evalua- result in economic loss for the grantee, tion sessions by announcement on its the city council may order grantee to pro - system between the hours of seven p.m. vide a specified number of additional and nine p.m. for five consecutive days channels and/orspecified state-of-the-art preceding each session. technology or ungraded facilities. With - D. Topics which may be discussed at out implying any limitations as to other any scheduled or special evaluation ses- provisions of this chapter, this section is sion may include, but not be limited to. deemed a material provision within the service rate structures; franchise fee; liq- meaning of Section 5.16.180. (Ord. 1370 uidatcd damages; free or discounted serv- § l (part), 1980 ices: application of new technologies: system performance; services provided: 5-15310 Filings with city. programming offered; customer corn: All matters provided in this chapter to plaints: privacy; amendments to this be filed with the city, unless provided chapter; judicial and FCC rulings; line otherwise in this chapter, shall be filed extension policies; and grantee or city with the city manager. (Ord. 1370 § 1 rules. (Ord. 1370 § 1 (part), 1985) (part), 1985) 5.16300 New developments. 5-16320 Fiscal report - A. Subsequent to each performance The grantee shall file annually with the evaluation session as set forth in Section city manager no later than one hundred 5.I6?90. the city council shall have the twenty days after the end ofthe grantee's authcrity to ordera public hearing an the fiscal year, a copy of a financial report provision of additionai channel capacity applicable to the cable system serving by grantee or on the inclusion in the Lodi, or its corporate annual report, grantee's cable system of "state of the including an income statement applica- art" technology or upgraded facilities. ble to its operation during the preceding Notice of such hearing shall be provided twelve-month period, a balance sheet, a to grantee and the public not later than statement of its properties devoted to the thirty days prior to such hearing. cable system operations, by categories, B. If after such hearing the city coun- giving its investment in such properties cil determines that_ (1) there exists a rea- on the basis of original cost, less applica- sonable need and demand for additional bie depreciation. a statement of sources channel capacity and/or state of the an.. and application of funds: and a statement 88-5 (Lodi M6) 03 5.16.320 of current subscriber and penetration reached for each class of cable service. These reports shall be certified as correct by an authorized officer of grantee and there shall be submitted along with them such other reasonable information as the city shall request. (Ord. 1370 § I (part), 1985) 5.16330 Refusal of service. Subject to Section 5.16.110, no person or entity in the existing service area of the grantee shall be arbitrarily refused serv- ice; provided, however, that tate grantee shall not be required to provide service to anv subscriber who does not pay the applicable connection fee or monthly service charge or any other charges as provided by this chapter or any resolu- tion granting the franchise. (Ord. 1370 § i (part), 1985) 5.16.0 Service contract. A. Before the grantee shall provide antenna service to any subscriber, the grantee shall obtain a signed contract from the subscriber containing a provi- sion substantially as follows: Subscriber understands that in provid- i.:g antenna service (Grantee) is mak- ing use of public rights-of-way and that the continued use of these public rights-of-way is in no way guaranteed. In the event the continued use of such rights of way is denied to (Grantee) for any reason, (Grantee) will make even reasonable effort to provide service over alternate routes. Subscriber agrees he will make no claim nor undertake any action against the City of Lodi, its officers, its employees, or l! x� 3-80) 88-6 k' (Grantee) if the sen -ice to be provided by (Grantee) hereunder is interrupted or discontinued because the continued use of such rights of -way is denied to (Grantee) for any reason. B. The form of the grantee's contract with its subscribers, shall be subject to approval of the council with respect to the installation of this provision. (Ord. 1370 § 1 (part), 1985) 5.16350 Television sale or repair. The grant-- or any of its employees during their course of employment shall not engage in the business of selling or leasing television or other receivers which make any use of signals transmit- ted by is system, nor shall the grantee or any of its employees during the course of their employment engage in the repair of such receivers or the sale of parts for the same. This restriction shall not apply to a converter that increases the Capacity of The system that may be sold or leased by the grantee to a subscriber_ (Ord. 1370 § I (part), 1983) 5.16360 Free service. The grantee shall provide free of charge a service drop for cable service for all public and nonprofit private schools, city police and fire stations, city recrea- tion centers, and any additional munici- pal buildings designated by the city council, provided, such locations are passed by transmission cable maintained for the service of paving subscribers. If the service drop exceeds one hundred fifty feet, the grantee may charge for the excess footaee on the basis of time and materials. (Ord. 1370 § I (part), 1985) YI 5.16.370 5.16-3770 Moving of buildings. right, interest or property therein, pass to The grantee shall, on the request of or vest in any person without the prior any person holding a building moving written consent of the city. Such consent permit issued by the city, temporarily shall not be withheld unreasonably raise or lower its wires to permit the mov- ?. No such consent shall be required ing of buildings. The expense of such for a transfer in trust, mortgage, or other temporary removal or raising orlowering hypothecation as a whole or in part to of wires shall be paid by the permittee. secure an indebtedness. The grantee shall be given not less than 3. The proposed assignee must show five working days advance notice to technical ability, financial capability, arrange for such temporary wire changes. legal qualification and general character (Ord. 1370 § 1 (part), 1935) qualifications as determined by the city and must agree to comply with all provi- 5.15380 Unauthorized connections— sions of the franchise and such condi- Tampering. tions as may be prescribed by council A. It is unlawful for any person, fire expressed by resolution. City shall be or corporation to make any unautho- deemed to have consented to a proposed rized connection, whether physically, transfer or assignment in the event its acoustically, inductively, electronically refusal to consent is not communicated or otherwise, wiih any part of a fran- in writing to grantee within one hundred chised cable system within the city for the twenty days following receipt of written purpose of taking or receiving television notice of the proposed transfer or assign- signais, radio signals, pictures, programs, mens. sound or electronic impulses of any kind B. The grntee shall promptly notify for the purpose of enabling himself or the city ofanv actual or proposed change others to receive any such television sig- in or transfer of, or acquisition by any nal, radio signal. picture, program. sound other party of, control ofthe grantee_ The or electronic impulses. word "control" as used herein is not lim- B. It is unlawful for any person, with- ited to major stockholders but includes out the consent of the grantee, to wilfully actual working control in whatever man - tamper with, remove, obstruct or injure ner exercised. Every change, transfer. or any cables, wires, devices or equipment acquisition of control of the grantee shall used for the distribution ofteievision sig- make the franchise subject to cancella- nals, radio signals, pictures, programs, tion unless and until the city shall have sound oreiectronic impulses ofanv kind. consented thereto, which consent will (Ord. 1370 § 1 (part), 1985) not be unreasonably withheld. For the purpose of determining whether it shall 5.15390 Transfers and assignments. consent to such change, transfer or A. 1. A franchise shall not be sold, acquisition of control, the city may assigned or transferred, either in whole or inquire into the qualifications of the gro- in part, or leased, sublet, nor shall title spective controlling party and the grantee thereto, either legal or equitable or any shall assist the city in any such inquiry. 88-7 (Lodi 146) 5.16.390 C. A rebuttable presumption that a transfer of control has occurred shall arise upon the acquisition or accumula- tion by any person or group of persons of ten percent of the voting interest of the grantee. D. The consent or approval of the city council to any transfer of the franchise shall not constitute a waiver or release of the rights of the city in and to the streets, and anv transfer shall by its terms, be expressly subject to the terms and condi- tions of a franchise. E. In any absence of extraordinary circumstances, the city will not approve any transfer or assignment of a franchise prior to substantial completion of con- struction or reconstruction of proposed system. F. In no event shall a transfer of ownership or control be approved with- out successor in interest becoming a sig- natory to the franchise agreement. (Ord. 1370 § 1 (part), 1985) 5.16.400 Access channels. A. Each cable system franchised by the city shall provide at least one channel dedicated to access for use by the public as well as governmental and educational agencies. B. If the access channel is being uti- lized more than eighty percent of the time between four p.m. and eleven p.m. for twelve consecutive weeks, grantee shall, upon written notice from the city, make additional community access channel(s) alimilable for the same pur- pose(s), with a maximum of three com- munitv access channels to be dedicated for these said purpose(s). C. Nothing in this section shall (Lodi 346) 88-8 i 1 require grantee to construct additional channel capacity to tate systern for tate sole purpose of providing additional access channels. D. Whenever any access channel is utilized Iess than four hours per day for six days per week for twelve consecutive weeks, the grantee may be permitted to utilize unused access channel capacity for different and additional purposes, under rules and procedures established by the city. E. Grantee shall record all requests for use of access channel. Whenever such records indicate in the opinion of the city council that an excessive number of peo- ple or programs are being turned away for lack of available access channel capacity, or whenever the criteria in sub- section B are exceeded for any one ofihe existing access channel uses, those access channels which have been permitted by the city for "interim" use by a grantee shall each be restored to public, govern- mental or educational use as applicable. (Ord. 1370 § I (par), 1985) 5.16.410 tkaivers_ A. Any provision of this chapter may be1ti-,;ived at the sole discretion ofthe city Inv resolution oft1 e ci=• counc, 1. $. Grari:e-_ may s::brnit a request ioa waiver to the city council at any time during the franchise term. Such request for waiver mav, at the sole discretion of the city council. be set for public hearing and a decision shall be made within one hundred and twenty days following the submission. Procedures for modification of franchise obligations shall be in com- pliance with Section 625 of the Cable Communications Policy An of 1984. C. The city council may authorize the economic. technical or legal evaluation of such waiver request and grantee shall be required to reimburse the city for any expenditures incurred by city in connec- tion with such evaluation. D. This section is enacted solely for the convenience and benefit of the gran- tor and shall not be construed in such a manner as to create any right or entitle- ment for the grantee. (Ord. 1370 § 1 (part), 1985) 5.16.120 Required services and facilities. A. A franchise application shall include a description of the grantee's sys- tem design and a description of the broad categories of programming and services being offered, including optional pre- mium services, a description of facilities being proposed for local origination pro- gramming, and facilities being offered to various community institutions. The offer of the broad categories of program- ming and services contained within a grantee's application shall be deemed a binding offer of such grantee for and to the benefit of the city and the subscribers of grantee. in the event a program onal- nator ceases to provide a service, or in the event the grantee determines that other cable services may be of greater benefit to subscribers, the grantee may, subject to subsections B and C, substitute or drop such services. B. The system, after the inorporation of such substitute services, shall satisfy the warranty made by grantee to sub- scriber and potential subscriber in its application for a franchise. The city council, on behalf of system subscribers, 5.16.410 shall have the right to review any sub- stitution of service or chance in any categories of programming that the grantee has made and may order a change therein if it deter -mines, after due hearing on notice, that the warranty has been violated or that certain broad cate- gories of programming and services that were committed by grantee in its pro- posal are not being delivered. Any such order shall issue only after a public hear- ing has been scheduled and held; and written notice of such hearing shall have been provided to the grantee and to the public at least thirty days prior to such hearing_ Any such order may be enforced by an appropriate action in the courts of California or of the united States- A -grantee shall not, in relation to this sec- tion, be deemed to have waived any right accorded to a franchised cable television operator arising under the First Amend- ment to the Constitution of the United States, or under the Cable Communica- tions Policy Act of 1984. C. Nowithstanding subsections A and B, a grantee may, in accordance with the Cable Communications Policy Act of 1984, upon thirty days' advance notice to the city, marrang , replace or remove a particular cable service required by th•._ franchise if: 1. Such service is no longer available to the grantee; or 2. Such service is available to the grantee only upon the payment of a roy- alty required under Section 801(b)(2) of Title I7, United States Code, which the grantee can document: a. is substantially in excess of the amount of such payment required on the 88-9 (Lodi 3-66) J 5.16.420 date of the grantee's of to provide such service. and b. Has not been specifically compen- sated for through a rate increase or other adjustment. D. Notwithstanding subsections A and B, a grantee may take such actions to rearrange a particular service from one service tier to another, or otherwise ofer the service, if the rates for all of the serv- ice tiers involved in such actions are not subject to regulation. (Ord. 1370 § 1 (part), 1985) 5.16.430 Construction and technical standards. A. Compliance with Construction and Technical Standards. Grantee shall construct, install, operate and maintain its system in a manner consistent with all laws, ordinances and construction stan- dards of the cite; the standards of Good Engineering Practices for Measurements on Cable Television System, published by the National Cable Television Asso- ciation,1983;and detailedstandardssub- mitted by grantee as part of its application, which standards are incor- porated by reference in the franchise agreement. In addition, grantee shall pro- vide the city, upon request, with a written report of the results of grantee's annual proof of performance tests. In the event of the repeal of ECC Rules and Regula- tions, Part 76, grantee shall pay the costs incurred by the city for any technical assistance deemed necessary by the city for obtaining independent verification of technical compiianee with all standards. This includes the costs that may be (Loin 3-85) 88-10 1 incurred by the city for checking com- pliance during the evaluations required in Section 5.16.290. B. Additional Specifications. 1. Construction, installation and maintenance of the cable system shall be performed in an orderly- and work- manlike manner. All cables and wires shall be installed, where possible, parallel with and in the same manner as electric and telephone lines. _Multiple cable con- figurations shall be aiLanged in parallel and bundled with due respect for engineering considerations. Under- ground installations shall be in confor- mance with applicable codes. 2. Grantee shall at all times comply with: a. National Electrical Safety Code (National Bureau of Standards); b. National Electrical Code (National Bureau of Eire Underwriters); c. Bell System Code of Pole Line Con- struction; and d. The Standards of Good Engineer- ing Practice for ;Measurements on Cable Television Systems (National Cable Tele- vision Association), 1983. 3. Furthermore, the system shall not endanger or interfere with the safety of persons or property hn the franchise area or other areas where the ram ee may have equipment located. {Ord. 1370 § I (part), 1955) l Filed in Administration Conference Roan A Cable Television Proposal for the Community of King Videocable Company 1521 South Stockton Street Lodi, California 95240 (209) 369-7451 Filed in Administration — n Conference P= . a'moi 5�+,4rXFf Y'rrr v'f' a):.Ji aP a `s'^ x�.zv.F�,- Filed in Administration •'_'ITY COUNCIL =RED M. REID. Mayor VELYN M, OLSON Mayor P -o Tempore DAVID M. HINCHMAN ;A.tit:-] W. PINKERTON, Jr. JOHN R. (Randv) SNIDER t CI'T'Y OF NODI CITY BALL, 221 WEST PINE STREET CALL BOX 3006 LODI. CALIFORNIA 952441-1910 (209) 334-5634 August 5, 1985 �Ir. P chard D. Shav Vice President, Planing & C)pe_rations K=g Videocable Cc --any 1521 South Stockton Street Lcdi, CA 95240 Dear Dick: 1THOMAS A. PETERSON City Manager ALICE A. REIMCHE City Clerk RONALD M. STEIN City Attorney The City has colleted its review of King Videocable Co>rpaxz y's response to cur Request for Proposal (RFP). We have been assisted in this review via our contract for professional services with CTIC Associates_ As you are aware, the Cable Comm- ications Act of 1984 authorizes the City to make whatever re=d ezients it feels are necessa y with respect to system design, facilities and ecuimIent. In this regard, we believe there are a number of points made in the evaluation which m xit your attention and resaonse_ These are: T�-e must be scr,-- discussion on how and under what circa stances chimm-el capacity can be expanded frog 35 c:- mals to 54 or 60 -channel caracity- The City would like to discuss with Ring Videocable what _ would "trigger" such an increase in capacity_ Perhaps there should be scr-- language in the ordinance providing for such a "trigger". 1 a*iguage on Page 3, Exhibit 2 of the ming Videocable response reserves to the Ccrmary tLe final authority concerning program suitability for access channels- We are advised that the Cable ConrumZicati-ons Policy Act of 1964 gives the City the auti=ity to establish its rules with respect to use and develoment of the access channels, and that the cable ope-rator s1hall not have any editorial carat -o1 over any public, educational or govt-=m--nt use of channel capacity_ On pages 12 and 16 there is language that the c ry's offer of service and rates "does not constitute a warranty" for the City and cable customers. This appears to qualify the proposal so as to nullify the intent of Lodi llhmicir)al Code Section 5_15_420 (Cable ordinance attached) which requires in pat: "..-a description of grantee's system design and a description of the broad categories of program -ting and services being offered, including optional prerai=n services, a description of facilities bei -:g proposed for local origination prograr u.:,g, and facilities being offered to various canziity Mr-H-1-K[T C Richard D. Shay August 5, 1980' Page 2 institutions. The offer of the broad categories cf programm_ir.g and services contained within a gramtee's application shall be deemed a binding offer of such grantee for and to the benefit of the City and the st:bscri:.ers of grantee. " The Lcacutive SL II-`rV on nage 12 and 16 of the :2? su.'-mitted by Ring Videoc`ble should in _act refer to this language. k'e note that King Videocable has stated "that ".No emergency alert system is included in the design of t_ e sys_rn, hme--rer, such services can. be added to the system* should it bec�-e necessary". Szeiz on 6. (f) of the City's =- req-uires an audio Ove_=ide system- Thais is an e*e-rcenCv system which can be re=adily activated during public e er-genies. This feature should be rade avail ole to the City and its resident during tike system rebuild, as stated L: the �='p. Dist_ri-bution System Desig,lCha_=e1 Caoaci�,r - it appears the =many i s being inconsistent 1Z1 descrying 4-eex-acts"-ecificat-ams of the system. In respondir:g to tech-n=cal questions, 'K -Lig Videocaible refers to a bandwidth of 450 MHz, w'hile Ln the onset of the nromosal the reference is to a 440 MHz barce-dtz. All elect=w-iics and passives, as installed, must be capable of p assi:^g 450 MHz. Distribution Sys t`rn/Service Area - The City re -c ai-?d he service area to be defined or show the service ares that u=—,Id receive service initially and those areas that would receive s= , -ice after izLit=a1 construction. icing Videccable has su ratted its rap showing three separate construction phases. This rap shows the City li-rits as they essentially exist today. There should be lang=ge iln the R� whish addresses construction in newly annexed and developed areas. Subscriber Service/Parental Control - . :C.irg Vide-ocable has not directly stated that a parental control device would be a7umilable, although it is so stated in the te^..hr; cal :-c=,s. The City's posi*mon is that the parental control device is rec_u:red as well as a device which would he put on the system outside the ha . --e to keep out c= --fain c:^.annels and that :Ging Vi deocable should provide mre izfozration as to how the trap will be made available to the subscriber, i.e., for sale, lease or free of charge. addressable Converters - We w^_de_rstamd that there are t;,o different tvpes of converters: One is an addressable converter for the delivery of subscriler services. It allcr,:s the operator to change the level of authorized service without re-,niri.ng an on-site service call. The second is the p-rograarcable conve--tors which King Videocable has proposed. With this converter, it is necessary for the subscriber or serviceman to exchange the converter or have it re-Drog alirneed at the cable cor.m:)any office. It appears that 'King Videocable has not ;net the rev-uired addressable tecnnoloTy in its prcxsal iri this regard. �r i Richard D. Shay ,., gust S, 1980' Page 3 E u: Cher, the c—..any will probably scramble those air,^els on its e_%panderd e.^.te_rta.Lmme-rit service. For pay service subscribers, a corn_ ter/descrambler will be necessary. This fav cause sane cer.=usion to subscribers. it uculd se -em appro_oriate t1�at the ccsr_..a^.v develop a strong' iz of~..ationall and educataorai preg_-al-n to ale_-tt svbscrIbers -to the c-ianges. We mould appreciate le—a-ring who thor not a.^._v old or e_-wLJstir_g e -ort will be used in the syste-n rebuild - How will the Pew system be C'.:.^s � acted? Will 1t be cozns t=.: c -ted in such a :vZv as to be attached direc.1v to the Old system as a st=ort mec_ani or will the c=., anv be to sari ly moi_^g the old system prior to installing the Pew? Will the old system resin on the poles after reconstruction or will to old system be scrapped? . Capital Zx=--matures - We note that no funds have be --n budget -ed. ter Program. orig notion ect J -.re t after 1985 other t: -l ---i $25,000 for studio ecu_i-_-..vent in 1991. We would appreciate clari`'_cation as to how the ca...zzy plass to provide the e4.i�nt listed in its proposal ($55,388) . . Access F aciiit es and C.,.:.,, ' _ 7v Pro ra-arLL7!g - The C? tv has rem=ed three channels dedicated for —,.:b! -4c: access, edL'".?t=oril access, an goL-°_rr* hent access. King Videocable responded by offeri-ig one ccr=site channel and reserving tuo Gha_-L els inr future use. i x—dcipal Code Section 3.16.400 (attached) reguirs a franchise to provide at lest one ch,-_:.nel dedicated 7 -Or dCCesS aZ'L tie City's spec--,'c_tlon req red three charnels. Tec:^.n scally the ccr--D ny has o==erect at least three access Cila^.'1e15 but will Only aCt?1,­ate one cra^= el 1^=tiall v. How will these channels be "guaranteed"? - King Videocable also did not descr:L-e h -ow 1t pl?^_S to P-rovide can-zercial leased access cha1z.^.els re -u? red under tine Cable Ccrr..= ications policy Act. P --t ser, how will King Videccable make available facilities and staff for these local access char -eels ata miri-a= of 13 hots per week and also, how does the ccrrznv plan to enhance the quality of prcgrz.��r+.ing from City riall_ ? ng Videocable has stated that the studio will be available, but that. the equip +-,ent listed will not be available to access users. In the City's ALF?, ,ae said t -.at sae uented a character generator systern With -wc remote keyboards/19" color r<70nitors installed for use by the City and school system. Ring Videocable did not address such a system in its proposal. Richard D. Shay_ August 5, 1986 mag` it is en-Liely possible that sole of the ratters eni*-ve-rated herein may be covered in :Ging Videocable's su.imitt31 and may have been inadvertently overlcoked. We will ap-preci ate your bri ngi_-?g these to our attention. We have this matter scheduled dor a City Council Work study session August 26, 1986. I re°1 it would be benesicial for us to review our Cori-^_ts prior to that Rleetimg_ If t:hp-t d?tee 1s inconvenient, we can always uurk arcurid it. I look forward to discussing tris with you in the near futur=e. SL- cerely, Tharas a. Peters --n City Mp-lage P-P/br attac:-s:ents cc: Dexina L 9 ,,_-7=5; "n ....2:2 �t 4,^y^ o:��'CC3S:Zrg^ cCmpa^.y August 9, 1986 Tom =_terson City Manager City o= Lodi C1 west =Pine Street Lodi, CA 9CC40 Dear Tom: We are pleased to respond to your August 5 letter and comments on our proposal Tor Tranchise renewal. The proposal, because o4 its size and complexity, has areas that we can clarlTy as you have requested._ In order to keep our comments in some sort oT order we have numbered the questions you raised in your letter. 2. Channel caoacity: The new system wi l 1 be designed and constructed using equipment and metho_s now considered the state oT the art Tor cat 1 e TV. Upon completion c - rebuild our system can immediately accommodate up tc 60 television channel s. We will not be upgrading the system to only -5 ahannel s with the thought of later upgrading the system again to 60 channels. '?. Authority -for ACCe=s channels: Control over prcgrammina cont_nt on access channels is restricted with respect to existing Feoeral* and State law concerning obscenity, violation oT copyrights, advertisement oz a lottery, or commercial content. We =eel tn, esa restrictions are our responsibility as a cable operator and we should nai ntai n the right to resect programming that violates these laws. However, we are in no way attempting to restrict the City's rights and obligations concerning the use and development o-= the access channels. We develooed the Local Access rules and Procedures (":hibit 2) in response to Se=t -ion D. ,question 1, o= the City's R -. We =eel these rules =ill a present void concerning the operation of the local access channel, and the City's n==' prompted us to do something we should have done years ago. If the City Council would like to have new rules prepared we will welcome your involvement in this area. It is not our desire to exercise editorial control over the FS6 channels. i_L..! �.__ 7 C. 1larran=v" We are unable to warrant and aLLarancee proaramminc as it is often Mimes nct w -chin our control As Section '7.'6-4'(- o- _he ! odi Cluni__pa: Cad= sta_es, "in the event a program ori ginz.tor ceases to provide a seri. _ __, or in the event grantee determines that th%?r cable services may be o- greater bene -Fit to subscribers, the grantee may, SUbject to subsections S and C, substitute or drop such services." in compliance with Section 5.16.42, F=:i ng proposes to provide the =ol l owi ng broad catecories of programming: educational, religious, children's, news spares, entertainment, and Public, Educational, and Governmental Access. Initially, we intend to address these broad categori ess of program -ling throueh the specific services set -Forth on pages 1-2, Section III, o-: cur proposal. King Videocable Company retains its editorial discretion to alter this channel lineup at any time so as to be able to respond to changing customer needs and interests. 4. -�mercen_v alert system: Our cable system serves less than 50% of th=_ homes within Lodi. Gi ven the number o= years we have been trying to increase this number, we do not =e1 that we will ever serve much more than one hal-' o-' the households in Lodi . At the time o= an emergency other media - radio, broadcast TV, even newspapers, would reach more people than .:.able TV. King and the City have had a very close work:ing relationship in times a= emergency. The most recent example is la --t sari ng ' S f 1 ondi no. We opened aur studios and cable system to the City's emergency team_ Cur•enployees active? y SLupocrted the Ci _y's e==orts. The American :ped Cross and other outside emergency groups used the resources of King to com:zunic2te with Lodi , esitents. We believe this spirit of cooperation is a more practical answer _c the City's needs. In addition, in -formation could appear on the City's access channel as you will have control o= that channel at City Hall. However, we recognize the city's disire to provide an emergency alert system. We have l coked into an audio only aver -ride system. Thi s equi pm2nt would provide an over -ride o -r all channels. In=ormati on provided would tell vie;.:2rs to turn to another Channel or woLtid give actual instructions to =allow. The acost of this system is aparo:: i matel y 10, 000. We are concerned about the etfec ti veness o= a cable -based alert system. We respectively request_ that the City council nct require this feature far the city's new cable system. 5. SvStem design and capacity: Our praaaSal was i ncornsi stent in this area. The new system wi l l be designed and constructed using equipment and methods that will assure a forward bandwidth of 45C)MH=. b. Construction in newly anne-ed areas: K,ny Videccable Company has e>:panded its system as the city has grown over- the verthe last 18 years. We intend to continue to serve all areas of the city when it e::oands and is economically feasible for us to e;:tend the cable System. In compliance with the City's RFP, our line e..tension policy is to a::tend the system whenever density of homes passed per street mile of system would equal 40 homes. Please see page 1, Section VII o= our pr osai. 7. Subscriber service/oar=n-al cntrol Pursuant to Section 6=4 of the Cable Act, parental control 1;ey lock equipment is available, =or purchase at our cost, to control viewing of channels a customer subscribes to, but wishes to restrict. Signal traps are available without charge, upon customer request, to eliminate signals the customer does net subscribe to and does not desire to be audible although such signals are already in a scrambled mode. Signal traps and key loci.: equipment are available now and will continue to be available. e. Addressable converters: Addressable converters are not proposed at this time. We do not -Feel it is the solution to customer convenience given the current incompatibility or television sets, VCRs, and cable TV equipment in the home. The proposed system requires no converter for basic customers with cable compatible sets (those able t❑ tune beyond channel 1..-). We expect our e:.pander basic service not to require a converter and only those customer withOut cable compatible sets and premium service customers will need to have converters. Addressability is a feature that is a convenience =or only a small group of customers =er 1 type er transaction - a chance in existing pay service to a dif-ferent combination cif: pay services. Currently we have more than v^_O0 customers with pay services. 0= those customers, less than 70 Chang Ineir pay services during an averac_e month. With 9400 total customers, less than 1% would bene -Fit ncnt` l y -Frc n addressab i 1 = t y. installation o= new _u5tomers, disconnecting, and . =her types oT c-tanges in service's woul Stall require the customer to c.:me into Our Sales 0YfiCe or -FCr us to sen an employee tc the cust:mer's ho -me. We do more than 700 OT these transactions during an average month. Adcressabilizy would cost in e -cess o- _450,000 rcr ^-UU custorers. 9. C1d enuioment: The system will be rebuilt utili=ing e-xisting 1/4" steel strand for supporting cable in ova;head areas and will use existing Conduit in unc=-ground areas: All cable and equipment will be replaced with new -able and equipment except in areas built within the lastyears that already meet the new speci-FiCations. New sv5tem construction: :er_ausa Codi has appro::imatel y 707 backyard easements we want to be sensitive to property owners' concerns. Ncrc:al construction is done in a seep by step fashion. The old plant is removed_ New cable is lashed to the strand. New electronic equipment is spliced onto the cable. The new system is tested and balanced, and -Finally the CUs tcmer drop is changed ever to the new system. These steps can mean 6 separate times c=nstruct.on crews enter property, with long delays of service for the custcmer. We propose to do all steps in one operation, working on a small Section Each day so that most property is entered only cn=e. Service is c-= -or that small section only I day and is be.cF:: on, construction ccmclete, at the end of the day. In areas where trunk: lines are being built old trunk: will be i owerad on the poles, but will remain active until the new sec ti on of trunk: i s reoui 1 t. The old trunk: will then be removed. All of the old cable and equipment will be removed and scrapped. 1 1. Cao i ta' e: pend: tures: This area o= our proposal is also con -Fusing and we will try to clarify =or YOU our proposed program origination equipment plans. in fact we are not pr=pcsing to purchase any new equipnent or-a=ilities -or local ac=ess and local origination. Since you have recently toured our, new -facilities on South Stockton Street, you are aware or the major ie;:=enditures K-ing has made this past year to upgrade our 5tUtiO TaCilitis'S and production capabi l i :les. This s renewal process has taken a l i LL1 3 1 o:ncer than anyone anticipated and we felt that we could not wait until a_ter renewal to upgrade Our =_qui anent and =aci l i ties. So we went ahead be-rore renewal.. The Financial Information Forms, Section VI, show that King spent :rIOE3,000 upgrading our program origination equipment and Fa=il_ti.es in 1985-1986. This included =30, C)CIG -or remote production capati l i ti es. The proposal details the actual equipment and Facilities already in place to better serve Lodi. The equipment is in use today and we hope you have already seen a major improvement in the picture quality of our public access and local origination work. 12. Access channels: We 'elt that we had responded to the City's regL:latc-y ordinance by proposing one combined channel for public, educational, and governmental -4 ess. Section 5.16.4:70 of the LD�i 1Junici�al Cod= provides a process by which additional channels will be activated. However, if the city desires and is prepared to use a channel, king Videocable Cnrapany can provide a Fulltime access channel for the city's use as scor, as channel capacity has been e::panded with the rebuild. Fur-ther, we c_ul d pro -vide the necessary modulator, demodulator, character generator, and mcnitcr so that -crmati on can be provided to our customers direct 1 y f rcm City Hall at any time, This channel would also be used to broa=cast city council meetings and other programming originating at city hall. F=urther, -Fazi'_ities are planned at Hutchins St. Square so that programming may also originate there -or the city's channel. We will continue to program an access channel -From our building. 17. Leased access: Se=tion 612 of the Federal Cab'_ e Act spells out very spec i = i cal 1 y ccnmercial leased access requirements. King intends to -fully comply with the requirements this Federal law. f � i 14. Available facilities: The current lacE% of requests for local access in Lodi is a reflection of the very low interest in this area. Currently our building is staffed for access +rom B:00am to 1(D:C)()pm, Monday through Friday. Access equipment and facilities are available during much of that time. Equipment listed is available for access within the studio. Community access users may also be loaned equipment to use outside the building. The quality of programming at City Hall is primarily related to the Council Chambers themselves. Since new Chambers are being planned with telecasting in mind, the concerns with the quality of programming should be resolved. 15. Character generators: Character generators can be made available upon request for the city and the school system. Please see our comments under item 1=. Monitors are normally 9-].1" (19" is too large for this purpose) and can also be provided. We loo[:: forward to discussing these issues prior to the September 16 word.: session and hope that our response has answered your concerns. Our goal is always to provide quality service with a variety o= programming choices for the customer. Section V in our proposal outlines our policy for response to routine service calls, installation problems, outages, and resmonse after hours. All of our staff receive specific training in meeting our customer service goals_ Section 5.16.140 of Ordinance 1,70 gives very strict operating procedures for us to follow. Both the Customer and the city have recourse to resolve problems. Customer service Will continue to be our highest priority. Sincerely, Deanna Enright General Manager -Lodi Richard D. Shay Vice President, Planning '� Operations