HomeMy WebLinkAboutORD 2000-68 - Cable ServiceORDINANCE A'i Dow (09
AN ORDINANCE OF THE CITY OF GEORGETOWN,
TEXAS AMENDING CHAPTER 14 OF THE CODE OF
ORDINANCES RELATING TO THE ESTABLISHMENT OF
A MASTER CABLE SERVICES REGULATORY
ORDINANCE; PROVIDING A REPEALING CLAUSE AND
SEVERABILITY CLAUSE; AND SETTING AN EFFECTIVE
DATE.
WHEREAS, The City of Georgetown, pursuant to applicable federal and State
law, is authorized to grant one or more nonexclusive Franchises to construct, operate,
maintain, and reconstruct Cable Systems within the City; and
WHEREAS, the City of Georgetown seeks to ensure that local cable operators
provide the best possible Cable Service to the Residents of the City; and
WHEREAS, the caption of this ordinance was printed in the Williamson County
Sun on October 4, 2000, in compliance with the City Charter of the City of Georgetown;
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY
OF GEORGETOWN, TEXAS, THAT:
SECTION 1. The facts and recitations contained in the preamble of this
ordinance are hereby found and declared to be true and correct, and are incorporated
by reference herein and expressly made a part hereof, as if copied verbatim. The City
Council hereby finds that this ordinance implements the following elements of the
Century Plan Policy Plan and that the enactment of this ordinance is not inconsistent or
in conflict with any other Century Plan Policies, as required by Section 2.03 of the
Administrative Chapter the Policy Plan:
® Utilities/Energy 12.00- "City owned, sponsored or managed utilities
provide safe, adequate and reliable services to all customers."
• Facilities and Services 13.00- "The City provides for the safety of its
citizens and supports the responsive delivery of coordinated services
by the City and other public agencies."
SECTION 2. Chapter 14 of the Code of Ordinances of the City of Georgetown is
hereby amended to adopt the attached Exhibit A as its Master Cable Services
Regulatory Ordinance.
SECTION 3. All ordinances and resolutions, or parts of ordinances and
resolutions, in conflict with this Ordinance are hereby repealed, and are no longer of any
force and effect.
CableMaster • •Ordinance• 000A09
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Page I of
SECTION 4. If any provision of this ordinance or application thereof to any
person or circumstance, shall be held invalid, such invalidity shall not affect the other
provisions, or application thereof, of this ordinance which can be given effect without the
invalid provision or application, and to this end the provisions of this ordinance are
hereby declared to be severable.
SECTION 5, The Mayor is hereby authorized to sign this ordinance and the City
Secretary to attest. This Ordinance shall become effective and be in full force and
effect ten (10) days on and after publication in accordance with the provisions of the
Charter of the City of Georgetown.
PASSED AND APPROVED on First Reading on the day of
2000.
PASSED AND APPROVED on Second Reading on the day of
2000.
ATTEST:
Sandra D. Lee, City
APPROVED AS TO FORM:
Marianne La
ers Banks, City Attorney
THE CITY OF GEORGETOWN
By:
MaryEllen Kersch, Mayor
Master Cable Regulatory Ordinance No. ao()()W 109
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MASTER C :3LE SERVICES REGULATORY ORS -4ANCE
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MASTER C 3LE SERVICES REGULATORY OR; :1ANCE
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MASTER C_ SLE SERVICES REGULATORY OR. _DANCE
ORDINANCE NO.
ARTICLE 1. STATEMENT OF INTENT AND PURPOSE
Li Statement of Intent and Purpose.
A. The City of Georgetown, Texas, pursuant to applicable federal and State law, is
authorized to grant one or more nonexclusive Franchises to construct, operate,
maintain, and reconstruct Cable Systems within the City.
B. The City Council of Georgetown finds that Cable Service has become an integral
part of its citizens' lives and that evolving Cable Systems have the potential to
play an even more dramatic role in the future, providing great benefits and
advanced capabilities to the City. At the same time, the City Council fiu�ther finds
that the public convenience, safety, and general welfare can best be served by
exercising regulatory powers that are vested in the City or such Persons as the
City designates.
C. In order to ensure that the City and its Residents receive state of the art Cable
Services and capabilities as this technology further evolves, all Franchises granted
pursuant to this Ordinance will be subject to periodic review and modifications to
keep current with changing law, technology, Services and other circumstances. It
is the intent of this Ordinance to help ensure that local cable operators provide the
best possible Cable Service to Residents of the City and any Franchises issued
pursuant to this Ordinance shall be deemed to include this finding as an integral
part thereof.
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MASTER C JLE SERVICES REGULATORY ORi DANCE
D. The City Council further finds that on-going industry consolidation could reduce
the accountability of cable operators to local governments and that stringent
customer service standards, including liquidated damage provisions, may be the
only practical means of ensuring compliance and approximating the costs of
Franchise Agreement non-compliance to the City and its Residents.
ARTICLE 2
SHORT TITLE
This Ordinance shall be known and may be cited as the "Master Cable Services
Regulatory Ordinance."
ARTICLE 3. DEFINITIONS
For the purpose of this Ordinance, the following terms, phrases, words and their
derivations shall have the meaning given below. When not inconsistent with the context, words
used in the present tense include the future tense, words in the plural number include the singular
number, and words in the singular number include the plural number. The words "shall" and
"will" are mandatory and "may" is permissive. Words not defined shall be given their common
and ordinary meaning.
3.1
3.2
"Basic Cable Service" means any Cable Service tier that includes the lawful
retransmission of local television broadcast signals and any Public, Educational, and
Governmental (PEG) Access programming required by this Ordinance or a Franchise
Agreement to be carried on the basic tier. Basic Cable Service as defined herein shall be
consistent with 47 U.S.C. § 543(b)(7) (1997).
"Cable Act" means the Cable Communications Policy Act of 1984, Pub. L. No. 98-549,
as amended by the Cable Television Consumer Protection and Competition Act of 1992,
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3.3
3.4
3.5
MASTER C 3LE SERVICES REGULATORY
Pub. L. No. 102-385, and the Telecommunications Act of 1996, Pub. L. No. 104-104
(1996), and as may be further amended from time to time. These provisions are codified
in Title VI of the Communications Act of 1934, 47 U.S.C. §§ 521-611.
"Cable Internet Service" means any Cable Service offered by a Grantee whereby Persons
receive access to the Internet through the Cable System.
"Cable Service" or "Service" means:
A. The one-way transmission to subscribers of (i) video programming, (ii) other
programming service; or (iii) other Services agreed to in a Franchise Agreement
unless lawfully determined not to be a Cable Service.
B. Subscriber interaction, if any, which is required for the selection or use of such
video programming or other programming service; and
C. For the purposes of this Ordinance, unless determined otherwise under applicable
federal law, Cable Internet Service shall be considered Cable Service.
"Cable Television System" or "Cable System" means a facility, consisting of a set of
closed transmission paths and associated signal generation, reception, and control
equipment that is designed to provide Cable Service to multiple Subscribers within the
Franchise Area, but such term does not include:
(a) A facility that serves only to retransmit the television signals of one or
more television broadcast stations;
(b) A facility that serves Subscribers without using any public Right -of -Way;
(c) A facility of a common carrier which is subject, in whole or in part, to the
provisions of 47 U.S.C. §§ 201-226, except that such facility shall be
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MASTER C_ 3LE SERVICES REGULATORY ORL ,�JANCE
considered a Cable System to the extent such facility, whether on a
common carrier basis or otherwise, is used in the transmission of video
programming directly to Subscribers, unless the extent of such use is
solely to provide interactive on -demand services;
(d) An open video system that complies with Section 653 of the Cable Act; or
(e) Any facility of any electric utility used solely for operating its electric
utility system.
3.6 "Capital Contribution" means a contribution provided by a Grantee pursuant to a
Franchise Agreement, which the City may, in its discretion, use for the Capital Costs of
PEG Access or to help defray the costs of an Institutional Network (I -Net).
3.7 "Capital Costs" means costs associated with the purchase of assets, products or other
resources that are designed to provide Service for more than one year.
3.8 "Channel" means a portion of the electromagnetic spectrum [or fiber optic capacity] that
is capable of carrying one standard six (6) megahertz video signal, in either analog or
digital form. Consistent with future changes in technology and/or applicable law, the
parties may mutually agree to a different definition in an individual Franchise Agreement.
3.9 "City" means the City of Georgetown, Texas.
3.10 "Class IV Cable Communications Channel" means a signaling path provided by a Cable
System to transmit signals of any type from a Subscriber terminal to another point in the
System.
3.11 "Community Access Corporation" or "CAC" means a non-profit Access Corporation
serving the City, its assignees or designees, or any other entity designated by the Grantor
MASTER C. __y3LE SERVICES REGULATORY ORL _STANCE
whose duties shall include the financing, management, and programming of PEG Access,
and whatever other duties with respect to the PEG Access Channels that the Grantor from
time to time may delegate.
3.12 "Complaint" means any oral, written or electronic inquiry, allegation, or assertion, made
by a Person regarding Service or Grantee or System operations.
3.13 "Converter" means an electronic device that converts signals to a frequency not
susceptible to interference within the television receiver of a Subscriber and, through the
use of an appropriate Channel selector, permits a Subscriber to view all authorized
Subscriber signals delivered at designated converter dial locations.
3.14 "Council" means the City Council of Georgetown, Texas.
3.15 "Direct Incremental Costs" means the costs actually incurred by Grantee in meeting an
obligation under its Franchise which Grantee would not otherwise have incurred in order
to operate and conduct the business of its Cable System or to meet another obligation of
the Franchise.
3.16 "Drop„ means the cable or cables that comlect users of the System to the distribution
system in order to receive Service.
3.17 `Educational Access Channels" means:
(a) Channels specially designated for non-commercial educational access
programming use, including the cablecasting of events and activities of the school
systems authorized to use such channels; and
(b) The facilities and equipment necessary for the activation of such channels as
specified in the applicable Franchise Agreement.
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3.18 "Effective Date" means the date a Franchise becomes effective in accordance with the
Franchise and the rules and procedures of the City.
3.19 "FCC" means the Federal Communications Commission or a designated representative.
3.20 "Franchise" means the rights and obligations extended by the City to a Person to own,
lease, construct, maintain or operate a Cable System in the Right -of -Way within the
Franchise Area for the purpose of providing Cable Services. Any such authorization, in
whatever form granted, shall not mean or include: (i) any other permit or authorization
required for the privilege of transacting and carrying on a business within the City
required by the ordinances and laws of the City; (ii) any permit, agreement or
authorization required in connection with operations in the Right -of -Way including,
without limitation, permits and agreements for placing devices on or in poles, conduits or
other structures, whether owned by the City or a private entity, or for excavating or
performing other work in or along the Right -of -Way.
3.21 "Franchise Agreement" means a Franchise granted pursuant to this Ordinance.
3.22 "Franchise Area" means the entire geographic area within the City as it is now constituted
or may in the future be constituted, or any other area in the City for which a Franchise is
granted in a Franchise Agreement.
3.23 "Franchise Fee" means any tax, fee, or assessment of any kind imposed by the City or
other governmental entity on a Grantee solely because of its status and activities as such.
The term "Franchise Fee" does not include: (i) any tax, fee, or assessment of general
applicability (including any such tax, fee or assessment imposed on both utilities and
cable operators or their Services); (ii) capital costs that are required by a Franchise
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MASTER C.,_.jLE SERVICES REGULATORY OR!-.,, _MANCE
Agreement to be incurred by a Grantee for PEG Access equipment and facilities; (iii)
costs associated with the construction and operation of an I -Net; (iv) requirements or
charges incidental to the award or enforcement of a Franchise, including payments for
bonds, security funds, letters of credit, insurance, indemnification, compliance audits,
penalties or liquidated damages; (v) any fee imposed under Title 17 of the United States
Code; or (vi) any generally applicable Right -of -Way fee imposed by the City on the
Grantee as a telecommunications provider pursuant to Title 9, Chapter 283 of the Texas
Local Government Code, or other applicable law.
3.24 "Government Access Channels" means
(a) Channels specially designated for non-commercial governmental access
programming use; and
(b) The facilities and equipment necessary for the activation of such channels as
specified in the applicable Franchise Agreement.
3.25 "Grantee" means a Person who is granted a Franchise and that Person's agents,
employees, lawful successors, transferees, or assignees, and may also be referred to as
"Company."
3.26 "Grantor" means the City, provided that the City may delegate the day-to-day
administrative functions of this Ordinance and any associated Franchises to appropriate
City departments.
3.27 "Gross Revenues" means any revenue received by the Grantee, or by any other entity that
is a Cable Operator of the Cable System including Grantee's affiliates, from the operation
of the Grantee's Cable System to provide Cable Services. By way of illustration and not
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MASTER C.__ LE SERVICES REGULATORY ORI.. 4ANCE
limitation, this definition includes revenue derived from pay cable fees; installation and
recomlection fees; Franchise Fees collected from Subscribers, leased channel access fees;
Converter rentals; revenue from Cable Internet Service (unless in accordance with
applicable law such service is not a Cable Service); revenue from home shopping; sale of
subscriber demographics; telemarketing services including but not limited to "900"
telephone number services and cross -selling offerings, to the extent conducted through a
Cable Service; all Cable Service lease payments from the Cable System; net launch fees;
payments or other consideration received by the Grantee from programmers for carriage
of programming on the Cable System and accounted for as revenue under Generally
Accepted Accounting Principles (GAAP); advertising revenues; revenues from data
transmissions to the extent these transmissions are considered Cable Services under
federal law; payments or other consideration received by the Grantee for the use of the
Cable System to provide Cable Service and accounted for as revenue under GAAP.
Gross Revenues shall further include revenue received by any entity other than the
Grantee to prevent, evade, or avoid the obligations under this Article or a Franchise to
pay the applicable Franchise Fees. Annual Gross Revenues shall not include (I) to the
extent consistent with GAAP, bad debt; provided, however, that all or part of any such
bad debt that is written off but subsequently collected shall be included in Annual Gross
Revenues in the period collected; (ii) amounts collected from Subscribers for public,
educational and governmental access; or (iii) any taxes on Services furnished by a
Grantee which are imposed directly upon any Subscriber or user by the State, City or
MASTER C_ _ 3LE SERVICES REGULATORY ORL.,YJANCE
other governmental unit and which are collected by Grantee on behalf of said
governmental unit.
3.28 "Incumbent Grantee" means a cable operator to which the City has granted a Franchise
prior to the effective date of this Ordinance.
3.29 "Institutional Network" or "I -Net" means capacity, fibers, or both, from within the
primary cable network and/or separately constructed networks, that are dedicated to
governmental, educational or other lawful and appropriate use, as determined by the City
Manager or his/her designate, for non-commercial two-way, broadband communications.
The I -Net includes all equipment and maintenance of equipment required to make the
capacity available, including but not limited to fiber, cable modems, coaxial cable,
switching, routing, transmitting and receiving equipment necessary for the use of the
network as determined in the individual Franchise Agreement.
3.30 "Institutional Network Services" means the Grantee's provision of services or facilities
on an I -Net for governmental, educational and other lawful and appropriate non-
commercial uses, as determined by the City Manager or his/her designee pursuant to the
terms of a Franchise Agreement, including, but not limited to, two-way dedicated voice,
data, video, Internet, telephony and other communications; computerized traffic control;
security; video arraignment; utility applications such as Supervisory Control and Data
Acquisition, automatic meter reading, demand-side management and other uses; and uses
by police, fire and other public systems.
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3.31 "Local Origination Programming" means Channel capacity designated for local interest
video programming produced by the Grantee, such programming may not be required as
a broad programming category.
3.32 "Lockout Device" means a mechanical or electrical accessory to a Subscriber's terminal
that inhibits the video or audio portions of a certain program or certain Channel(s)
provided by way of a Cable System.
3.33 "Municipal Telecommunications Consent Fee" means a fee assessed on a
telecommunications provider for the use of the City's Rights -of -Way pursuant to Title 9,
Chapter 283 of the Texas Local Government Code, or other applicable law.
3.34 "Non -Commercial" means Chamlels, services or programming that are operated on a not-
for-profit basis.
3.35 "Normal Business Hours" means those hours during which most similar businesses in the
community are open to serve customers. In all cases, Normal Business Hours must
include some evening hours, at least one night per week, and some weekend hours.
3.36 "Normal Operating Conditions" means any and all situations or conditions that are
ordinarily within the control of a Grantee, including but not limited to, management or
corporate decisions; employee conduct; staffing levels; special promotions; pay-per-view
events; rate increases; regular peak or seasonal demand periods; electronic and video
equipment; maintenance, repair or upgrade of the Cable System. Those conditions that
are not within the control of a Grantee include, but are not limited to, natural disasters;
civil disturbances; power outages; telephone network outages; vandalism; public works
projects for which no advanced notice is given; and severe or unusual weather conditions.
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3.37 "Other Programming Service" means all services other than video programming that a
Grantee makes available to Subscribers, including Cable Internet Services unless
otherwise required by law.
3.38 "PEG" or "PEG Channels" includes Public Access Channels, Educational Access
Channels, and Government Access Channels.
3.39 "Person" means any natural person or corporate, business association or other business
entity, including but not limited to, a partnership, a political subdivision, a public or
private agency of any kind, a utility, a successor or assign of any of the foregoing, or any
other legal entity.
3.40 "Public Access Channels" means
(a) Channels specially designated for Non -Commercial public access programming
by Persons from the community; and
(b) The facilities and equipment necessary for the activation of such channels as
specified in the applicable Franchise Agreement.
3.41 "Public Building" means any building owned or occupied under lease or otherwise by the
City.
3.42 "Renewal" means a new Franchise granted to an existing cable operator.
3.43 "Reports" means any and all non -trade secret documents and information required to be
completed, maintained or filed by the Grantee on order of the Federal Communications
Commission, State of Texas or the City. To the extent permitted by law, the City shall
maintain such information as confidential to the extent that Grantee identifies specific
information as such.
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3.44 "Response Time" means the period between when a problem or Complaint is reported or
a request for action is made by a Subscriber or the Grantor and when the action is
completed by the Grantee.
3.45 "Resident" means any Person residing or doing business in the City.
3.46 "Right -of -Way" means each of the following which have been dedicated to the public or
are hereafter dedicated to the public and maintained under public authority or by others
and located within the City, including without limitation the surface and space within,
above and below any real property in which the City has an interest in law or equity,
whether held in fee, or other estate or interest, or as a trustee for the public, including, but
not limited to any public street, boulevard, road, highway, freeway, lane, alley, court,
sidewalk, parkway, swale, river, tunnel, viaduct, bridge, park, or any other place, area,
easements right-of-way and similar public property and areas, or real property owned or
controlled by the City in its governmental capacity. The term does not include property
or rights of the City held, used, sold or leased in its proprietary capacity.
3.48 "Service Interruption" means a discrete loss or degradation of picture or sound on one or
more Channels on the System, or the loss of Cable Internet Service to the extent that the
Subscriber is unable to use the signals, regardless of the cause, for any reason whatsoever.
3.49 "Significant Service Interruption" means any Service Interruption with a duration of a
minimum of four (4) continuous hours and affecting at least one thousand (1,000)
Subscribers.
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3.50 "Standard Installation" means any Service installation that can be completed using a Drop
of one hundred twenty-five (125) feet or less, unless otherwise specified in the Franchise
Agreement.
3.51 "Subscriber" or "Customer" means any Person, who or which lawfully contracts or agrees
to purchase, for any purpose, a Service provided by a Grantee by means of, or in
connection with, the Cable System, and who pays the charges involved, including anyone
authorized to use and using such Service, even if that Person does not pay the charges for
such Services. Such term shall include Persons or entities authorized to receive Cable
Service without charge as provided in the Franchise Agreement.
3.52 "System" means a Grantee's Cable System operated pursuant to a Franchise Agreement
within the Franchise Area.
3.53 "System Facilities" or "Facilities" means the physical plant and equipment constructed,
operated, and maintained by the Grantee for the purpose of producing, receiving,
amplifying, and distributing radio, television, and electronic signals to and from
Subscribers in connection with a Cable System located within the City.
3.54 "Trained Representative" means employees or agents of the Grantee who have the
authority and capability while speaking with a Subscriber to, among other things, answer
billing questions, adjust bills, and schedule service and installation calls.
3.55 "Trenchless Technology" means the use of directional boring, horizontal drilling and
microtunneling and other similar techniques in the construction of underground portions
of the Cable System,
ARTICLE 4. FRANCHISE REQUIREMENTS
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4.1
4.2
4.3
4.4
MASTER C. _,3LE SERVICES REGULATORY OR,._AANCE
Unlawful to Operate Without a Franchise. It shall be unlawful for any Person to
construct, operate or maintain a Cable System or to provide Cable Service in the City
without a Franchise. Any person violating or causing a violation of this Section shall be
subject to a fine of $5,000 per day. The payment of such fine notwithstanding, all such
violators shall be subject to all other applicable provisions of this Ordinance, including
but not limited to the payment of a Franchise Fee. This section shall not apply to any
Grantee that has properly asserted its intent and is diligently pursuing renewal of the
Franchise pursuant to 47 U.S.C. § 546.
Franchises Non -Exclusive. Any Franchise granted pursuant to this Ordinance shall be
nonexclusive. The City specifically reserves the right to grant, at any time, such
additional Franchises for a Cable System or any component thereof, to any other Person
including itself, as it deems appropriate, subject to applicable federal and State law.
Franchises Non -Discriminatory. In the event the City grants more than one new
Franchise or similar authorization for the construction, operation, or maintenance of any
Cable System to a qualified Person in a Franchise Area, the City's policy shall be to grant
the new Franchises on terms that are non-discriminatory and competitively neutral,
provided that nothing in this Ordinance shall be construed as requiring the use of
identical terms or conditions or as limiting the enforceability of conditions that are freely
negotiated.
Franchise Territory. Any Franchise shall be valid within the entire Franchise Area.
Unless a Franchise Agreement specifically states otherwise, every Franchise shall apply
to the entire territorial area of the City.
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SERVICES REGULATORY ORL ...DANCE
4.5 Term of the Franchise. A Franchise Agreement shall establish the term of the Franchise.
4.6
A Franchise Agreement may provide for a term of up to ten (10) years.
Federal, State, and City Jurisdiction.
A. This Ordinance shall be construed in a manner consistent with all applicable
federal and State laws.
B. In the event that the federal government or the State of Texas discontinues its
preemption of any area of cable communications in such manner as to expand
local authority, the City shall have the right, if it so elects, adopt rules and
regulations in these areas to the extent permitted by law.
C. Grantees' rights are subject to the police powers of the City to adopt and enforce
ordinances necessary to the health, safety, and welfare of the public. Grantees
shall comply with all applicable general laws and ordinances enacted by the City
pursuant to that power.
D. The provisions of this Ordinance shall apply to all Franchises granted or renewed
after the effective date of this Ordinance. This Ordinance shall also apply to all
existing Franchises, to the extent not inconsistent with the terms of any such
Franchise or applicable law. In the event of a conflict between a Franchise
Agreement and other generally applicable ordinances of the City, the Franchise
Agreement shall control.
E. A Franchise Agreement shall constitute a legally binding contract between the
City and Grantee, and as such, cannot be amended, modified or changed by the
City without the consent of Grantee in any manner whatsoever, whether by
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MASTER G. _3LE SERVICES REGULATORY OR -,,. TANCE
ordinance, rule, regulation or otherwise, to impose on Grantee more stringent or
burdensome requirements or conditions; provided, however, that nothing
contained in this Ordinance shall preclude the City from the proper exercise of its
police powers or its powers of eminent domain.
F. In the event of a change in state or federal law that, by its terms, would require the
City to amend this Ordinance, the parties shall modify the Grantee's Franchise in
a mutually agreed manner.
G. Grantees shall not be relieved of their obligation to comply with any of the
provisions of this Ordinance or a Franchise Agreement by reason of any failure of
the City to enforce prompt compliance.
Rights Reserved to The City.
A. In addition to any rights specifically reserved to the City by this Ordinance or a
Franchise Agreement, the City reserves to itself every right and power that it is
required or empowered to reserve by any other provision of law.
B. The City shall have the right to waive any provision of this Ordinance or a
Franchise Agreement, except those required by federal or State regulation, if the
City determines that: (1) such waiver is in the public interest to do so and (2)
enforcement of the provision will impose an undue hardship on a Grantee or
Subscribers. To be effective, such waiver shall be evidenced by a statement in
writing signed by a duly authorized representative of the City. Waiver of any
provision in one instance shall not be deemed a waiver of such provision
subsequent to such instance, nor be deemed a waiver of any other provision of this
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SERVICES REGULATORY
Ordinance or a Franchise Agreement unless the statement in its final form
approved by the City Council so recites.
Franchise Agreement,
A. Every Grantee shall agree to the terms and provisions of a Franchise Agreement,
as negotiated by and between the Grantee and the City.
B. In addition to those matters required elsewhere in this Ordinance to be included in
the Franchise Agreement, each Franchise Agreement must contain the following
express representations by each Grantee:
1. Grantee accepts and agrees to all of the provisions of this Ordinance, as it
exists as of the effective date of the Grantee's Franchise Agreement,
except as set forth in Article 4, and any supplementary specifications as to
construction, operation, or maintenance of the System that the City may
include in the Franchise Agreement.
2. Grantee has examined all provisions of this Ordinance and agrees to their
tern -is and conditions.
3. Grantee recognizes the right of the City to adopt such additional
regulations of general applicability as it shall find necessary in the exercise
of its police power.
C. Every Franchise Agreement shall contain such further provisions as the City and a
Grantee may negotiate, except that no such provisions shall conflict with any state
or federal law. In case of any conflict, inconsistence or ambiguity involving a the
terms and conditions of a Franchise Agreement and the provisions of this
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MASTER C . _.:3LE SERVICES REGULATORY ORS . 1ANCE
Ordinance or an ordinance of general applicability, this ordinance or such other
ordinance shall control unless a Franchise Agreement expressly provides
otherwise.
49 Initial Franchise Applications. Any Person desiring an initial Franchise for a Cable
System shall file an application with the City.
A. Application Fee. Each applicant shall submit with its application a non-
refundable application fee of twenty thousand dollars ($20,000), or such other
amount as the City may establish from time to time, to compensate the City for its
costs in reviewing, preparing and awarding a Franchise, including the costs of
outside consultants. Upon grant of a Franchise, the City may request the payment
of an additional fee to the extent that the actual and reasonable costs of the
franchise review and negotiation process exceed the initial application fee
amount. Consistent with the Cable Act, such application fee shall not be deemed
to be part of "Franchise Fees" within the meaning of Section 622 of the Cable Act
(47 U.S.C. § 542). Nor shall such fee be deemed a payment "in kind," an
involuntary payment chargeable against the compensation to be paid to the City
by Grantee, or a part of the compensation that a Grantee pays to the City pursuant
to this Ordinance or a Franchise Agreement.
B. Required Information. Each application for an initial Franchise for a Cable
System shall contain, where applicable, at least the following information:
1. A description of the proposed Franchise Area;
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MASTER C. 3LE SERVICES REGULATORY ORi. XANCE
2. Resume of prior history of applicant, including the legal, technical, and
financial expertise of applicant in the field of Cable Services;
3. List of the partners, general and limited, of the applicant, if a partnership,
or the percentage of stock owned or controlled by each shareholder, if a
corporation;
4. List of officers, directors, and managing employees of applicant, together
with a description of the background of each such Person;
5. The names and addresses of any parent or subsidiary of applicant or any
other business entity owning or controlling applicant in whole or in part,
or owned or controlled in whole or in part by applicant;
6. A current financial statement of applicant verified by a CPA audit or
otherwise certified to be true, complete, and correct to the reasonable
satisfaction of the City;
7. Proposed construction and Service schedule; and
8. Any additional information that the City may require for the
administration of the Franchise.
Consideration of Initial Applications.
A.
Upon receipt of an application and application fee for an initial Franchise, the City
Manager shall prepare a report and snake his or her recommendations respecting
such application to the City Council,
The City Council shall hold a public hearing prior to granting an initial Franchise,
at a time and date approved by the Council. Within thirty (30) days after the close
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4.11.
4.12
MASTER C _j3LE SERVICES REGULATORY O
of the hearing, the City Council shall make a decision based upon the evidence
received at the hearing as to whether the Franchise(s) should be awarded, and, if
so, on what conditions the Franchise(s) should be granted.
Franchise Renewal. Franchise renewals shall be in accordance with applicable law
including, but not limited to, the Cable Act, as amended. The City and a Grantee, by
mutual consent, may enter into renewal negotiations at any time during the term of the
Franchise. Franchise renewal may also arise if there are substantial changes to the
contractual relationship between the City and the Grantee. As a Franchise Renewal
Agreement shall constitute a new Franchise Agreement, the City reserves the right, unless
prohibited by applicable law, to require a Grantee to pay the reasonable costs of the
franchise renewal and negotiation process.
Grant of Additional Franchise and Competing Service.
A. The City may issue a Franchise in an area where another Grantee is operating only
following a public hearing to consider the potential impact that the grant of an
additional Franchise may have on the community. In considering whether to
grant one or more additional Franchises, the City shall consider the following
issues:
1. The impact of an additional Franchise on the community.
2. The ability and willingness of the specific applicant in question to provide
Cable Services to the entire Franchise Area that is served by the existing
cable operator. The purpose of this subsection is to ensure that any
competition which may occur among Grantees will be on terms which,
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MASTER C. 3LE SERVICES REGULATORY ORNANCE
when taken as a whole, do not give a competitive advantage to one
Grantee over another.
3. The amount of time it will take the applicant to complete construction of
the proposed system and activate service in the entire Franchise Area; and,
whether the applicant can complete construction and activation of its
System within a mutually agreeable time frame.
4. The financial capabilities of the applicant and its guaranteed commitment
to make the necessary investment to erect, maintain, and operate the
proposed Cable System for the duration of the Franchise term. In order to
ensure that any prospective Grantee does have the requisite current
financial capabilities, the City may request equity and debt financing
commitment letters, current financial statements, bonds, letters of credit,
security fund, or other documentation to demonstrate to the City's
satisfaction that the requisite funds to construct and operate the proposed
System are available.
5. The quality and technical reliability of the proposed System, based upon
the applicant's plan of construction, the method of distribution of signals,
and the applicant's technical qualifications to construct and operate such
System.
6. The experience of the applicant in the erection, maintenance, and
operation of a Cable Television System.
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MASTER C __.3LE SERVICES REGULATORY OR., >1ANCE
7. The capacity of the public Rights -Of -Way to accommodate one or more
additional Cable Systems and the potential disruption of those public
Rights -Of -Way and private property that may occur if one or more
additional Franchises are granted.
8. The potential disruption of existing Cable Television Service and the
potential effect on the Residents of the City.
9. The likelihood and ability of the applicant to continue to provide
competing Cable Service to Subscribers within the entire Franchise Area
for the duration of the Franchise.
10. Such other information as the City may deem appropriate to be considered
prior to granting any competing or overlapping franchise.
4.13 Permits for Non -Franchised Entities.
A. The City may issue a license, easement, or other permit to a person other than a
Grantee to permit that person to traverse any portion of the Grantee's Franchise
Area within the City in order to provide Service outside the City. Such license or
easement, absent a grant of a Franchise in accordance with this Ordinance, shall
not authorize nor permit said person to provide Cable Service of any type to any
home or place of business within the City nor to render any other Service within
the City.
B. Such license, easement or permit shall require the payment of a fee for occupancy
of the public Rights -of -Way to the extent permitted by applicable law.
4.14 Review for Competition.
22
A. The City recognizes that the cable and telecommunications industries are in a
period of convergence, that the technologies used in and services provided by
these industries are rapidly changing, and that the Telecommunications Act of
1996 promoted and encouraged competition between and among these formerly
discrete industries. At this time, it is not possible to anticipate all the significant
changes in law, technology, services and other circumstances that may affect
entities that have been or may be granted Franchises or licenses to use the City's
Rights -of -Way. The City wishes to be a communications -friendly city that
encourages the rapid deployment of competitive advanced communications
services and capabilities for the benefit of all its Residents. For this reason, the
City does not intend its regulatory ordinances and Franchises to impede or restrict
the fair opportunity to compete, but, rather, intends them to provide for non-
discriminatory and competitively -neutral obligations and benefits for all similarly -
situated providers.
B. Consistent with the foregoing policy, the City Manager or his/her designate, is
authorized to undertake on-going evaluation and study of the changing legal,
technological and economic environment in the communications area and to
submit periodic reports to the City Council on the impact of this Ordinance on
providers and competition within the City.
5.1 System Design.
ARTICLE 5, DESIGN PROVISIONS
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5.2
5.
MASTER C_ ,3LE SERVICES REGULATORY OR _NANCE
A. Every Grantee shall offer Service that meets the current and future needs of the
City. To enable the City to understand how the System will meet the current and
future Cable needs of the City, each Franchise Agreement shall incorporate a
description of the general design and capabilities of the Grantee's Cable System .
B. Each Franchise Agreement shall also provide for periodic reviews to enable the
City and the Grantee to evaluate whether the Franchise Agreement or System
should be changed to accommodate new developments in the law, technology,
services or other factors that may significantly affect the ability of the Grantee to
meet the City's needs. Each Franchise Agreement shall also set forth reasonable
procedures for incorporating mutually agreed modifications to the Franchise
Agreement,
The System. Every System shall pass by every single-family dwelling unit and multiple -
family dwelling unit within the Franchise Area in accordance with line extension policies
set forth in the applicable Franchise Agreement. Each Grantee shall provide Services to
Subscribers in accordance with the schedules and line extension policies specified in the
applicable Franchise Agreement.
Drops to Public Buildings.
A. As further specified in the applicable Franchise Agreement, each Grantee shall, at
its own expense, install at least one cable Drop and at least one outlet, and shall
provide monthly Basic Cable Service and the most widely -subscribed cable
programming service tier, to all Public Buildings and accredited K-12 schools
identified by the City. Grantees shall provide such installations and services
24
5A
MASTER C_ _3LE SERVICES REGULATORY
within thirty (30) days of receiving a request by the City or an accredited K-12
school. The precise location of such Drops and outlets shall be determined in
cooperation with the owner of the building to which the connection is to be made.
On request, Grantees shall also provide additional Drops or outlets at its cost of
time and material. The City or accredited K-12 schools may add outlets at their
own expense, provided such installation meets the Grantee's standards.
B. Cable Service outlets, as described in this section, shall not be utilized for
commercial purposes. The City shall take reasonable precautions to prevent any
use of a Grantee's Cable System in any inappropriate manner or in a manner that
may result in loss or damage to the System.
C. As further detailed in the applicable Franchise Agreement, each Grantee that
offers two-way interactive broadband services to Subscribers within the City
shall, upon request, provide and install at least one (1) courtesy cable modem at
every Public Building, accredited K-12 school and public library within the
Franchise Area that is passed by a portion of the Grantee's Cable System and is
capable of supporting such cable modem.
Use of Grantee Facilities,
The City shall have the right to make attachments, without
charge to City, to unused space on or in a Grantee's poles, ducts or conduits. Grantee
may impose reasonable requirements on the City for such use, including a requirement
that Grantee provide necessary maintenance at the City's cost. If Grantee notifies the
City that the Grantee or a third party has need for the space occupied by the City, the City
shall have the right to negotiate continued use for such space on fair, reasonable and non -
25
5.5
5.6
MASTER C _JLE SERVICES REGULATORY OR: .,STANCE
discriminatory terms and conditions. Such use by City shall be limited to non -
commercial municipal purposes. For the purposes of this subsection, "municipal
purposes" includes, but is not limited to, the use of the structures and installations for the
City's public safety, traffic, utility and signal systems. Grantees shall not deduct the
value of such use from their Franchise Fees or any other fees payable to the City.
Upgrade of System. Each Grantee shall upgrade its System as necessary to continue to
meet the current and future needs of the City throughout the term of the Grantee's
Franchise.
Non -Discriminatory Access To Cable System.
A. The City and its Residents have an increasing need and desire for broadband
access to the Internet and other on-line Services.
B. In order to protect competition and provide for the future needs of the City, unless
otherwise required by applicable state or federal law, the City reserves any legal
right that it may now have, or may obtain in the future, to require Grantees to
afford non-discriminatory "open access" to their Cable Systems to non-affiliated
providers of Internet Access Service. Unless prohibited by law, the City may also
at any time require Grantees to offer "open access" to their Cable Systems in the
City if the Grantees or any of their affiliates agree to offer such "open access"
elsewhere.
ARTICLE 6, INSTITUTIONAL NETWORK AND
PUBLIC EDUCATIONAL AND GOVERNMENTAL ACCESS
6.1 Institutional Network, Access Channels
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6.2
MASTER C;_ �31,E SERVICES REGULATORY ORi MANCE
A. Every Grantee shall, to the extent required in the Franchise Agreement and
subject to applicable law, provide or contribute funds toward an Institutional
Network that provides two-way broadband voice, video and data capabilities for
Non -Commercial use by those governmental, educational, publicly -funded or
non-profit community service organizations designated by the City.
B. Each Grantee shall provide a Channel or Channels, bandwidth capacity, Service,
funding or a combination of such support, for Public, Educational and
Government Access, as specified in its Franchise Agreement. All PEG Access
Channels shall be available to all Subscribers as part of their Basic Cable Service.
Due to continuous technological advances in Cable Service, and absent the
express written consent of the City, Grantees shall transmit PEG Access Channels
in the same format as utilized to transmit all Channels on the Basic Cable Service
tier. Oversight and administration of the PEG Access channels shall be set forth
in individual Franchise Agreements. The City Council may designate a
Community Access Corporation or similar entity to administer one or more of the
Access Channels.
Proof of Performance Testing. To ensure high quality Service on the Institutional
Network and PEG Access Channels throughout the term of a Franchise Agreement, each
Grantee shall regularly conduct performance testing of its entire Cable System, including
all Channels made available for PEG Access. Each Grantee shall monitor Access
Channels to ensure that their technical quality is consist with FCC requirements and at
least equal to that of the Grantee's commercial channels. Grantees shall maintain logs of
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7.1
7.2
MASTER C:_ ,-3LE SERVICES REGULATORY
such monitoring and make them available on request for inspection by the City. In the
event that any programmer of content for PEG Access Channels complains about the
teclmical quality of such channels, the Grantee in question shall immediately investigate
the Complaint and determine whether the Grantee's performance is in compliance with
the technical standards set forth in this Ordinance. The procedures set forth in Article 7
of this Ordinance shall apply with respect to technical testing of Access Channels,
ARTICLE 7. TECHNICAL STANDARDS
General Duties of Grantees
A. Each Grantee shall comply with the technical standards set forth in FCC
regulations, decision and orders and in other applicable laws and regulations. To
assist the City in monitoring and enforcing such compliance, Grantees shall also
comply with the requirements set forth in this Ordinance.
B. Each Grantee shall maintain its facilities and records in a manner that will enable
the City to determine whether the Grantee is in compliance with all applicable
technical standards. Each Grantee shall also at all times assist and cooperate with
the City in explaining, interpreting and understanding its operations and records.
Specific Technical Requirements. Cable Systems operating in the City shall meet
technical standards that, at a minimum, are as stringent as the FCC's standards in 47
C.F.R. §§ 76.601 to 76.617, as may be amended from time to time. The FCC's standards
are expressly incorporated herein by reference. Upon request, a Grantee, at its own
expense, shall make the most recent results of any tests required by the FCC, this
Ordinance, or a Franchise Agreement available to the City.
MASTER C. _3LE SERVICES REGULATORY ORL .;MANCE
7.3 Test and Compliance Procedures. Each Grantee shall periodically perform tests of its
Cable System in accordance with FCC specifications or any additional requirements in a
Franchise Agreement. Representatives of the City shall have the right to witness these
tests and to obtain copies of written test reports within thirty (30) days of requesting
them. If any test site fails to meet the relevant performance standards, the Grantee shall
promptly take corrective action and retest the site.
7.4 Emergency Requirements. Each Grantee must provide emergency alert override
capabilities in a manner consistent with the FCC's emergency alert system (`BAS") rules
and consistent with any State and/or regional emergency alert system plans adopted in
response to the FCC's EAS rules that are applicable to the Franchise Area.
7.5 Programming Decisions. Each Grantee shall provide programming from each of the
broad programming categories identified in its Franchise Agreement. All programming
decisions shall remain within the sole discretion of each Grantee, provided that the
Grantee complies with all federal requirements in 47 U.S.C. §§ 531-536 and 545. To
ensure that a Grantee remains attentive to the City's and community's cable -related needs
and interests, the City may require a Grantee to conduct programming surveys at least
once anrivally, at the Grantee's sole expense, and to make public the results of such
surveys.
7.6 Parental Control,
Each Grantee shall make available to any Subscriber upon request a
"lockout" device for blocking both video and audio portions of any Channel of
programming entering the Subscriber's premises. Except to the extent that federal law
specifically provides otherwise, Grantees shall provide such devices at reasonable rates.
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7.7
MASTER C_ 3LE SERVICES REGULATORY ORL _NANCE
Grantees may require Subscribers to pay reasonable security deposits for the use of such
devices.
Service in Franchise Area.
A. No Grantee may build out or provide Service on its System in a manner that
discriminates against any Resident of the City on the basis of race, creed, religion
or economic condition. Unless the Franchise Agreement provides otherwise, each
Grantee shall serve all areas of the City with a density of at least 30 dwelling units
per one (1) aerial mile, including areas annexed subsequent to the grant of the
Franchise. The Franchise Agreement shall provide a schedule of the areas to be
served, and the specific build -out requirements of the Grantee. Unless the
Franchise Agreement provides otherwise, every Grantee shall extend its System
into any areas of the City not specifically covered in its build -out plan if any of
the following conditions are met:
B. Mandatory Extension Rule. Upon request by prospective Subscribers, each
Grantee shall extend its System and make Service available at regular installation
and regular monthly charges to all contiguous areas not designated for initial
Service in the plan when potential Subscribers can be served by extension of the
System past occupied dwelling units equivalent to 30 units or more per one (1)
aerial mile. Grantees shall complete and activate such extensions, at Grantee's
cost, in a mutually agreeable time frame.
C. Line Extension Formula.
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I
2
3.
If potential Subscribers in contiguous areas that would otherwise fail to
meet the Mandatory Extension Rule are willing to pay special installation
charges, Grantees shall also extend their Systems, and make Service
available at regular monthly rates, to these areas. Such special installation
charges shall be determined by the following formula:
C - C
S DxP
Where:
Special installation
charge per Subscriber
C = Capital cost to construct the extension of plant including
each house drop requested but excluding the cost of
converters or other necessary Subscriber terminal
devices.
S = Number of occupied dwelling units requesting Cable
Service in the area and paying calculated special
installation charge.
D = Number of occupied dwelling units per aerial mile that
gives rise to a mandatory line extension requirement
P = The penetration rate, i.e., total number of Subscribers to
the Cable System divided by the number of occupied
dwelling units passed by the Cable System.
Following activation of the extension, any new Subscriber passed by the
extension shall pay the Grantee the special installation charge provided
above.
On the anniversary date of the first and second year following the
activation of any extension, Grantees shall recalculate the special
installation charge specified above. If the newly calculated special
installation charge is less than the original special installation charge paid
31
MASTER C;, ,j3LE SERVICES REGULATORY ORL. *TANCE
by any Subscriber — e.g., where additional Subscribers have moved into
the area in question — the Grantee shall refund each such Subscriber the
difference between the original amount paid and the newly calculated
special installation charge. After the recalculation of the special
installation charge on the second anniversary and the payment of any
associated refund to Subscribers, no further recalculation of the special
installation charge shall be made and no further refunds shall be required;
provided, however, that if the number of occupied dwelling units passed
by the extension becomes equivalent to a density of 30 units or more per
one aerial mile, then each Subscriber served by the extension shall receive
a refund from the Grantee of the net special installation charge paid less
the Grantee's regular installation charge, if any.
D. Newly Annexed Areas.
1. The rights and obligations provided in this Ordinance shall extend to any
area annexed by the City.
2. For newly annexed areas in which a franchise agreement with another
cable operator exists, that cable operator shall negotiate a Franchise
Agreement with the City at the expiration of its existing franchise
agreement or sooner, upon mutual consent. In the interim period, the City
shall request assignment of the franchise agreement from the previous
franchising authority and, upon approval, shall assume and enforce the
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8.1
MASTER C-_3LE SERVICES REGULATORY
terms and conditions of that franchise agreement, including acceptance of
payment of Franchise Fees from the new Grantee.
E. Special Agreements. Nothing in this Ordinance shall prevent Grantees from
serving areas that are outside the scope of this Ordinance, pursuant to agreements
with developers, property owners or residents.
F. Commercial Areas. Grantees shall extend Service to commercial areas requesting
Service, at no additional cost to requesting prospective Subscriber, where the
costs of such extensions do not exceed the costs of extending service to residential
areas having a density of 30 homes per one (1) aerial mile.
G. City Monitoring. To enable the City to monitor compliance with Franchise
Agreements and ascertain the validity of Subscriber complaints at the time alleged
problems occur, each Grantee shall provide, at its own expense, to one location
designated by the City, the full array of Services offered by the Grantee,
including, but not limited to, basic and premium channels and cable modem
service. The Services provided pursuant to this requirement shall be to a secure
office location, and not in a location open to public viewing.
ARTICLE 8. CUSTOMER SERVICE STANDARDS
Purpose. This section specifies customer service practices that Grantees must satisfy in
the operation of their Cable Systems. Grantees shall also adhere to any additional or
more restrictive requirements set forth in FCC regulations or other applicable federal,
state or local measures involving customer service, consumer protection and unfair or
deceptive trade practices. To enable the City and Subscribers to assess whether Grantees
33
8.3
MASTER C. JLE SERVICES REGULATORY OR __.4ANCE
are complying with relevant customer service requirements, Grantees must maintain and
make their records available as specified in this Article.
Ombudsman. Each Grantee shall designate a senior -level employee who will be
responsible for working with the City to address problems that may arise under the
Franchise and to serve as the Grantee's ombudsman to the City and its Subscribers.
Liaison to City. Each Grantee shall also furnish problem -solving liaison service to the
City. The purpose of this service is to provide the City direct access to supervisory -level
personnel with the authority to act promptly on customer service complaints that the City
refers to the Grantee. At a minimum, this service shall include the following:
A. Each Grantee shall afford the City immediate telephone access to officials who
have sufficient authority over Grantee's personnel to ensure prompt investigation
and appropriate corrective action in response to any problems that may arise.
Specifically, each Grantee shall give the City a list of key personnel and their
business telephone numbers that will generally, during Normal Business Hours,
be answered by a live person and will provide immediate access to a person
having the authority specified in the preceding subsection;
C. Each Grantee shall promptly investigate any Complaint referred by the City and
shall attempt to contact the Subscriber and respond to each call, facsimile, written
Complaint or request made or referred by the City prior to 5:00 p.m. the next
business day. Within seven (7) days of a request from the City, Grantees shall
provide a report of the Grantee's investigation and response.
34
MASTER C._ _.SLE SERVICES REGULATORY ORL._
D. Grantees shall provide the City prior written notice of changes in the key contact
personnel or material changes in procedures involved in providing this service.
Office Hours; Telephone Availability and Conduct.
A. Grantees shall maintain at least one (1) conveniently located customer service
center and bill payment location center within the corporate limits of City. This
service office shall be open during Normal Business Hours and shall include a
place at which Customers may pay their bills, pick up and return Converter boxes
and comparable items and receive information pertaining to the Grantee and its
Services. Grantees shall make available a publicly -listed local or toll-free
telephone access line for customer information, Service requests, inquiries and
Complaints. Grantees shall also maintain and provide TDD/TTY or similar
services for persons with hearing impairments. These services shall be active and
available to Grantee's Subscribers twenty-four (24) hours a day, seven (7) days a
week.
B. Trained Company Representatives shall be available to respond to Subscriber
telephone inquiries and walk-in Subscriber visits during Normal Business Hours.
Grantee shall have the capability to communicate effectively with Customers who
speak English, Spanish or other languages commonly spoken in the City.
C. After Normal Business Hours, Grantees may utilize call center services or
answering machines to respond to Subscriber calls. A Grantee's Trained
Company Representative shall respond to inquiries received after Normal
Business Hours not later than the next business day.
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MASTER C. 3LE SERVICES REGULATORY ORS :1ANCE
Under Normal Operating Conditions, telephone answer time by a Trained
Company Representative, including wait time, shall not exceed thirty (30)
seconds from the moment the connection is made. If the call must be placed on
hold or transferred, the time for response by a Trained Company Representative
shall not exceed an additional thirty (30) seconds. A Grantee utilizing automated
answering and distributing telephone equipment shall limit the number of routine
rings to four (4) or fewer. Percent of abandoned telephone calls out of total calls
received per calendar quarter shall not exceed five (5%) percent. These standards
shall be met no less than ninety (90%) percent of the time under Normal
Operating Conditions, measured quarterly based on a calendar year, beginning
July I st.
Under Normal Operating Conditions, Subscribers should not receive a busy signal
more than three (3%) percent of the time, measured quarterly and based on a
calendar year beginning July I st.
Actions of Grantees that lead to a high volume of calls, including, but not limited
to incorrect bills, rate increases, late bills or fees, changes in Service, Cable
System maintenance, and missed appointments, are considered Normal Operating
Conditions and are not exempt from compliance with this section.
All employees of Grantees must provide their full name when answering an
incoming call or inquiry or when working in the field, and must provide their
Company identification number if requested by a Customer. If a Grantee does not
utilize an identification numbering system for its employees, then all employees
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8.5
MASTER C 3LE SERVICES REGULATORY OR a1ANCE
must provide their full names if requested by a Customer. Supervisory personnel
must use their best efforts to respond to Customer requests to speak with a
"manager or supervisor" within two (2) hours of the request under Normal
Operating Conditions, during Normal Business Hours. In all instances,
supervisory personnel must respond not later than the close of the next business
day.
H. Grantees shall prepare and distribute to the City Manager, prior to January l st of
each year, a calendar of legal holidays and business days on which the Grantee's
offices will be closed. Grantees shall also advise Subscribers — through an
answering service, an answering machine, voice mail messages, bill messages,
messages on the Cable System, or other reasonable methods — of the hours or
dates when its offices will not be open for business. Such notice(s) shall be
provided during the seven (7) day period prior to the date the office will be closed.
During such closed periods, Grantees shall provide voice messages and
notification on its premises of the emergency and after hours contact numbers.
I. Grantees shall submit quarterly reports to City based on the calendar year
beginning July lst, providing telephone records as necessary to comply with the
standards set forth in paragraphs _-_ above.
Installations; Service Interruptions; Service Calls.
A. Nothing in this section shall limit the right of Grantees to deny Service to any
household or individual having a negative credit or Service history. In the event
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MASTER C .3LE SERVICES REGULATORY O
Service is denied, Grantees shall give notice to the Subscriber's right to contact
the City Manager,
B. Under Normal Operating Conditions, Grantees must meet each of the following
six (6) standards no less than ninety-five (95%) percent of the time, measured
quarterly, and based on a fiscal calendar year beginning July I st:
1. Standard Installations shall be performed within seven (7) business days
after an order has been placed. Grantees must use their best efforts to
ensure that the Cable Home Wiring in the building interiors shall be as
unobtrusive as possible and that outlets shall be located for the
convenience of the Subscriber. Grantees shall use due care in the process
of Installation and shall repair any damage to Subscriber property caused
by Installation work. Such restoration shall be undertaken pursuant to the
standards and guidelines of the City Code. Restoration work of private
property shall be subject to Subscriber or property -owner approval of the
corrective action, and Grantees shall use their best efforts to complete
corrective actions within ten (t0) days after the damage is incurred.
Should such restoration not be corrected within ten (10) days, Grantee
must give Subscribers notice of the cause for the delay and the date when
such action will be completed.
MASTER C �3LE SERVICES REGULATORY O
2. Except for initial Installations, Grantees must honor requests for standard
additional outlets, Service upgrades, Service downgrades or other
connections within seven (7) business days after an order has been placed.
3. Excluding conditions fully beyond the control of a Grantee, the Grantee
must begin working on Service Interruptions promptly and in no event
later than twenty-four (24) hours after the Service Interruption is reported.
Grantees must begin actions to correct other Service problems no later
than the next business day after notification of the Service problem.
a. Grantees shall respond to any reports of Service Interruptions and
must complete necessary repairs within twenty-four (24) hours of
receiving such reports. This time period shall not be extended due
to the arrival of another Service technician qualified to repair the
problem if the first dispatched technician is unable to complete the
repair.
b. Work on all requests for Service other than Service Interruption or
out -of -service requests must begin no later than the next business
day after notification of the problem and must ordinarily be
completed within seventy-two (72) hours of the initial Service
request. If, for reasons beyond a Grantee's control, a longer time
for the completion of such repairs is necessitated, the Grantee must
exercise due diligence to complete the work in the most
expeditious manner possible
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The lack of trained technicians or
MASTER C__ 3LE SERVICES REGULATORY ORU _ MANCE
lack of appropriate replacement parts on hand shall not constitute a
condition beyond the Grantee's control.
c. Outside repairs to the Cable System that cannot be made by the
initial Service technician dispatched, shall be re -scheduled within
twenty-four (24) hours of the originally scheduled Service call
except for those circumstances that are beyond the Grantee's
control. The Subscriber shall not be required to be on the premises
for outside Cable System and line repairs.
d. At the Subscriber's request, the "appointment window" alternatives
for Installations, Service calls, and other Installation activities shall
be either a specific time or, at maximum, within a four (4) hour
time block during Normal Business Hours. Nothing herein
precludes Grantees from scheduling Service calls and other
Installation activities outside of Normal Business Hours for the
convenience of the Customer. If Company's representative is
running late for an appointment with a Customer and will not be
able to keep the appointment as scheduled, the Company's
representative shall make all reasonable effort to contact the
Customer and reschedule the appointment to a time that is
convenient for the Customer.
e. Grantees cannot cancel appointments with Customers after the
close of business on the business day prior to the scheduled
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MASTER C 3LE SERVICES REGULATORY OR;.. :DANCE
4.
Wi
appointment or on the same day as the scheduled appointment.
Should a Grantee fail to meet this requirement, then it must notify
the Subscriber of the options afforded in section 4, below.
i Grantees may not cancel or reschedule appointments until their
field personnel have made all reasonable efforts to verify that the
Subscribers or other authorized adult persons are not at the address
for the appointment.
Except for scheduled Service Interruptions, upon a Subscriber's request,
Grantees shall provide any affected Subscriber with a twenty-four (24)
hour credit to the Subscriber's account for any period exceeding four (4)
hours during which the Subscriber experienced a Service Interruption. A
Subscriber is entitled to a full refund for any Service Interruption of any
period of time during a pay-per-view event ordered by Subscriber. Such
credit shall be applied to the account of the requesting Subscriber within
thirty (30) days after a Grantee receives a written or oral request from any
Subscriber. At its option, a Grantee may provide the requesting
Subscriber additional compensation, credits or Services.
When a Grantee's failure to meet an appointment was not due to the fault
of a Subscriber, a Grantee must inform the Subscriber of his right to
choose from the following options:
41
MASTER C. 3LE SERVICES REGULATORY OR. :1ANCE
0
A
E'?
9
a. If the appointment was for an Installation or Service call in which a
fee was to be charged, the Installation or Service call shall be
performed free of charge;
b. If the appointment was for an Installation or Service call that was
to have been provided free of charge, the Subscriber shall receive a
credit in the amount of twenty ($20.00) dollars;
C, For other appointment types .not specifically referenced above, the
Subscriber shall receive a credit in the amount of twenty ($20.00)
dollars.
Each representative of a Grantee, including contract employees, must wear
a conspicuous photo -identification badge clearly visible to the public
indicating employment by the Grantee or its contractor.
Any vehicle used for the installation, construction, maintenance, or repair
of a Cable System must bear the identification of the Grantee or the
Grantee's contractor in a conspicuous place and manner on the vehicle.
In all situations in which Cable Service is disrupted to ten (10%) percent
or more of the Subscribers in the City for a period greater than twenty-four
(24) hours, Grantees must immediately notify the City Manager by
telephone during Normal Business Hours.
Grantees may intentionally interrupt Service temporarily only for good
cause, and only for the shortest time possible, including interruption for
System upgrade, maintenance and repair
42
Wherever possible, routine
MASTER C. 3LE SERVICES REGULATORY ORS _STANCE
maintenance requiring Service Interruptions shall occur at times that affect
the fewest number of Subscribers, preferably between the hours of 12:00
midnight and 6:00 a.m. Wherever possible, Grantees must post override
notices on appropriate System Channels and may make use of local
advertising on programming Channels to advise Subscribers in advance of
planned construction or maintenance that will cause, or is likely to cause,
Service Interruptions. Planned interruptions not requiring more than four
(4) hours of interrupted service and occurring between the hours of 12:00
midnight and 6:00 a.m. shall not require such notice to Subscribers. To
the extent that specific identifiable neighborhoods will be affected by a
planned outage, Grantees shall provide at least seven (7) days advance
notice through telephone calls, door hangers or other reasonable means to
effectively notify Subscribers. Grantees shall maintain a written log or
electronic database available to City upon request of all such Service
Interruptions.
10. Grantees shall begin working to remedy Significant Service Interruptions
promptly, and in no event later than four (4) hours after the situation
becomes known.
8.6 Communications between Grantee and Subscribers.
A. Notifications to Subscribers.
1. Grantees shall provide written information at the time of Installation of
Service, annually to all Subscribers, at any time upon request, and at least
43
MASTER C_-.3LE SERVICES REGULATORY
thirty (30) days prior to making significant changes in such information
pertaining to:
a. Products and Services offered;
b. Prices and options for programming Services and conditions of
subscription to programming and other services;
C, Installation and service maintenance policies including information
describing Subscriber Cable Home Wiring rights and ownership of
internal wiring while Service is provided;
d. Instructions on how to use the Cable Service;
e. Channel positions of programming carried on the System;
f. Grantee's procedures for the receipt and resolution of Customer
Complaints, including address and toll-free telephone number to
which Complaints may be reported, and the hours of operation of
Grantee;
g. Address and telephone number of City's cable office;
h. Lock -out devices;
i. AIB switch;
j. Delinquent Subscriber discomiect and reconnect procedures;
k. Grantee's information on collection and disclosure policies for the
protection of a Subscriber's privacy rights;
1. Instructions on placing a Service call.
MASTER C-
m.
n.
SERVICES REGULATORY ORL.IANCE
The amount and criteria for any required deposit and the mamier in
which such deposit will be refunded; and
Copy of Service contract.
2. Promotional materials, announcements and advertising of Service to
Subscribers, including pay-per-view or event programming, shall clearly
and accurately disclose price terms. In the case of telephone orders,
Grantees shall take appropriate steps to ensure that price terms are clearly
and accurately disclosed to potential Customers before any order is
accepted.
3. Grantees shall notify Subscribers and the City Manager of any changes in
rates, programming services or Channel positions using any reasonable
written means at their sole discretion at least thirty (30) days prior to
implementation of the change. Grantees must notify Subscribers and the
City Manager at least thirty (30) days prior to any significant changes in
the information provided for in this section. Grantees are not required to
provide prior notice of rate changes that are the result of a regulatory fee,
Franchise Fee, or any other fee, tax, assessment, or charge of any kind
imposed by any federal agency, State, or franchising authority on the
transaction between the Grantee and the Subscriber.
4. Grantees shall maintain separate files, open for public inspection, at one or
more locations within the City, containing all notices provided to
Subscribers pursuant to these customer service standards as well as all
EN
MASTER C 3LE SERVICES REGULATORY ORi _STANCE
promotional offers made to Subscribers. The notices and offers must be
maintained for at least one (1) year from the date of such notice or
promotional offer.
5. Grantees shall provide written notice in monthly billings, at the request of
the City Manager, of any City public meeting to discuss requests or
applications by the Grantee for renewal, transfer, extension or
modification of its Franchise. The City Manager shall make such a
request in writing, -no less than sixty (60) days prior to the mailing of any
billing by Grantee. Such notices shall be made at Grantee's expense and
such expense shall not be regarded as a Franchise Fee as the term is
defined in Section 622 of the Communications Act, 47 U.S.C. § 542.
6. Notwithstanding a Grantee's ability to conduct its own Subscriber surveys,
the Franchise Agreement may provide terms for a periodic joint Subscriber
survey to assess the Cable -related needs of the community throughout the
term of the Franchise as well as procedures for review and implementation
of changes identified through any survey.
B. Billin .
1. Bills shall be accurate, clear, concise and understandable to the average
Subscriber. Bills must separately identify the fee relating to each Service,
premium Service charge, pay-per-view, a la carte Service, type of
equipment or other applicable basis, and shall clearly state the charges
46
MASTER C. _ SLE SERVICES REGULATORY OR _,_4ANCE
involved. Bills shall also accurately and clearly delineate all activity
during the billing period, including optional charges, rebates and credits.
2. If a Grantee chooses to itemize, as a separate line item on bills, Franchise
Fees or other government imposed fees attributable to the total bill, such
fees must be shown in accordance with applicable law. Bill language
related to Franchise Fees shall be identified as: "Franchise Fee." Any
pass-through of grants to support the City's govermmnt access channel
may be separately identified on Subscriber bills as provided in the
Franchise Agreement.
3. Billing statements must indicate a specific payment due date not earlier
than fifteen (15) days after the date the statement is mailed. Any balance
not received within thirty (30) days after the due date may be assessed an
administrative charge, which shall bear a reasonable relation to the real
cost of handling and collecting the late fee. Any late fee charged to
Subscribers in excess of Five Dollars ($5.00) per billing period is
presumed to be unreasonable and to not bear a reasonable relation to the
real cost to a Grantee of handling and collecting the late fee. Grantees
shall bear the burden of proving that any such late fees are reasonable. If a
Subscriber disputes a bill within thirty (30) days of its receipt, the Grantee
must waive a late fee until thirty (30) days following the resolution of the
dispute.
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MASTER C. 3LE SERVICES REGULATORY ORS __4ANCE
4.
5.
Grantees shall permit Subscribers to remit payments by mail or in person
at the Grantee's local office or at the Grantee's payment office.
In the event of billing disputes or inquiries by Subscribers, Grantees shall
provide written responses to Complaints from Subscriber within fifteen
(15) days.
C. Refunds.
1.
2
3
4.
If a Grantee fails, after adequate opportunity, to provide Cable Service
requested by a Subscriber entitled to Cable Service, the Grantee shall
promptly refund all deposits and advance charges paid for the Service in
question by said Subscriber.
If any Subscriber has made an annual payment in advance and thereafter
terminates Service for whatever reason, the Grantee shall refund to such
Subscriber the prorated amount for unused service.
The refund provisions provided for in this subsection (3) do not alter or
waive a Grantee's responsibility to its Subscribers under any separate
contractual agreement or relieve the Grantee of any other responsibility
under applicable law or contract.
Grantees must issue refund checks to Subscribers promptly, and in no
event later than either:
a. The Subscriber's next billing cycle following resolution of the
request or thirty (30) days from the request, whichever is earlier, or
.•
0
E.
MASTER C. 3LE SERVICES REGULATORY O
b. The return of the equipment supplied by the Grantee if Service is
terminated.
Credits. Credits for Service shall be issued no later than the Customer's next
billing cycle following the determination that a credit is warranted. Credits for
reported Service Interruptions shall be granted upon request of the Subscriber of
the Grantee in accordance with section 8.5 B 4.
Disconnection and Downgrades.
1. Without the necessity for any notice period to a Grantee, a Subscriber may
terminate any Service at any time.
2. When receiving a request to terminate, a Grantee shall promptly
disconnect from the Grantee's Cable System or downgrade the Service as
requested. Charges for any voluntary discomlection, and any downgrade
charges shall be in conformance with applicable law. The Grantee shall
not impose any charge for Service delivered after the requested date of
disconnection or downgrade, provided the request is made at least twenty
(24) hours prior to the requested date of disconnection or downgrade. As
provided for under federal law, Subscribers may request a downgrade at
no charge if made within thirty (30) days of a rate increase.
3. Any security deposit or other funds due a Subscriber that disconnects or
downgrades Service shall be returned to the Subscriber no later than either
the next billing cycle, or thirty (30) days, whichever is earlier from the
date disconnection or downgrade was requested, except where the
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MASTER C. SLE SERVICES REGULATORY
4.
5.
X1
Subscriber does not permit the Grantee to recover its equipment, in which
case the amounts owed shall be paid to Subscriber no later than thirty (30)
days or the next billing cycle after the date the equipment was recovered
by the Grantee, whichever is earlier.
A Grantee may not disconnect a Subscriber's Cable Service for non-
payment unless:
a. The Subscriber is delinquent in payment for Cable Service; and
b. A separate, written notice of impending disconnection, postage
pre -paid, has been provided to the Subscriber at the Subscriber's
billing address, at least twenty (20) days prior to the designated
date on which Service is to be disconnected. The amount
Subscriber must pay to avoid disconnection shall be stated on the
notice; and
C, The notice of delinquency and impending termination may be part
of a billing statement, provided that said notice is conspicuously
stated; and
d. The Subscriber has failed to pay the amounts owed to avoid
disconnection by the date of disconnection and no pending inquiry
exists regarding the bill to which Grantee has not responded to in
writing.
No Subscriber may be disconnected for non-payment if payment of the
outstanding balance is made before the scheduled date for disconnection,
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MASTER C. __:SLE SERVICES REGULATORY ORL.__AANCE
6.
7
�3
9
10,
up to and including the last business day before the scheduled
disconnection.
Any Subscriber whose Service is terminated without good cause must be
offered free Service reconnection, which must occur within twenty-four
(24) hours, and one (1) month of free Service of the type Subscriber was
receiving prior to disconnect. Good cause includes, but is not limited to,
signal leakage, failure to pay, payment by check for which there are
insufficient funds, theft of Service, or abuse of equipment or Grantee
personnel. No Subscriber's service shall be disconnected due to a
Grantee's failure to timely or correctly post payments.
A Grantee is permitted to refuse orders for premium or pay-per-view
Services from Subscribers with chronic non-payment records.
No Subscriber's Service may be disconnected outside of Normal Business
Hours or on Sundays or legal holidays.
The technician performing the disconnection must perform such
discomiection in a professional, safe and reasonable manner.
Disconnections for non-payment that are completed in the field must be
accompanied by a door tag providing notice that the technician has been
present and a telephone number of the Grantee's customer service office.
Disconnections made remotely by computer require the Grantee to mail
information describing the amount of payment in arrears as of the
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MASTER C.. 3LE SERVICES REGULATORY OR _ TANCE
disconnection date, and applicable reconnection charges and procedures to
the Subscriber.
11, A Grantee may immediately disconnect a Subscriber if:
a. The Subscriber has damaged or destroyed or unlawfully tampered
with the Grantee's Cable System;
b. The Subscriber is not authorized to receive a Service, or is
facilitating or aiding or abetting the unauthorized receipt of Service
by others; or
C, Subscriber -installed or attached equipment is resulting in signal
leakage in violation of FCC rules, provided the Subscriber has
failed to correct immediately upon notice from Grantee.
12. After disconnection, the Grantee shall restore Service after the Subscriber
provides adequate assurance that it has ceased the practices that led to
disconnection, and has paid all fees and charges, including any reconnect
fees and all amounts owed the Grantee for Services unlawfully received
and for damage to its Cable System or equipment.
Reports.
1. In addition to the quarterly reports on telephone service compliance and
the quarterly reports on Installation and Service response compliance, a
Grantee shall prepare summary reports, on a quarterly basis, beginning
July 1st. Such reports shall include, at a minimum, the total number of
Subscribers, the total number of Service requests, and the total number of
52
p
3.
Subscriber Complaints received by the Grantee in the following
categories:
a. Billing/Collections
b. Construction
C, Installation
d. Service Interruptions
e. Telephone
f. Programming Offered
g. Rates for Services
h. Wants Cable Service
i. Wants Cable Modem Service
j. Employee or employee of Grantee's contractor
Grantees shall provide a Quarterly Report to the City no later than fifteen
(15) days following the close of the calendar quarter.
The City may request that a Grantee periodically prepare and furnish to the
City such additional reports and other information that the City believes
will help it to ascertain the Grantee's compliance with the customer
service requirements of this section. Such reports may include, but are not
limited to, the following:
a. A Service Response Report that tracks information, on a monthly
basis, with regard to each Service request, report of Service
problem and Complaint received by Grantee which shall include:
53
MASTER C 3LE SERVICES REGULATORY ORS .DANCE
i. The date on which the Grantee received such request, report
or Complaint;
ii. The name of the Subscriber and the address where the
related Service is provided;
iii. A description of the nature of such request, report or
Complaint; and
iv. Action taken by the Grantee in response thereto and the
date such response by the Grantee was completed.
b. A Service Interruptions Report that tracks information on a
monthly basis, which shall include:
i. Total number, date and time of reported Service
Interruptions;
ii. Total hours that the System was out -of -service as related to
planned upgrades, maintenance or Channel line-up changes
performed by Grantee;
iii. Geographic locations of Service Interruptions; and
iv. Estimated number of Subscribers affected by each incident.
4. A Grantee shall, within seven (7) days after receiving a written request
from the City, provide a written report in response to any particular
Complaint. The report shall provide an explanation of the investigation,
findings and corrective steps that the Grantee has taken. If required for the
investigation of a matter related to the Grantee's performance, the City
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MASTER C. BILE SERVICES REGULATORY OR ___ %TANCE
5.
6
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7
may request copies of the Grantee's records regarding individual
Subscriber requests, reports or Complaints.
A Grantee shall maintain all reports required by this Ordinance at its local
office and shall make copies of the reports available to any Person for
inspection during Normal Business Hours, within twenty-four (24) hours
of a request to inspect.
Each Subscriber information record shall remain on file for a period of at
least three (3) years.
Results of any FCC required technical or performance testing on the
System.
A Grantee must certify in writing to the City, on the anniversary of the
Effective Date of the Franchise, that, based upon internal due diligence
performed by the Grantee, the Grantee is in substantial compliance with
the standards set forth in this section. Within thirty (30) days of any
request by the City, the Grantee shall submit documentation demonstrating
its compliance with this section.
If reports are not available, the Grantee must provide a detailed written
explanation as to why such information is not available and a date certain
upon which such reports will be available to the City. The City Manager
may authorize a period of excused non-compliance with this subsection if
the Grantee can provide reasonable documentation that such period of
non-compliance was not within Normal Operating Conditions.
55
MASTER C. _.31,E SERVICES REGULATORY ORS:..NANCE
10. Should a Grantee be found to be in non-compliance with this subsection,
the City Manager shall notify the Grantee in writing and specify the basis
for the finding. Upon notification, the Grantee shall have thirty (30) days
to cure such non-compliance and an additional five (5) to notify the City in
writing that the Grantee believes it has attained compliance.
11. If the Grantee fails to cure the non-compliance within the thirty (30) day
period, the City Manager may commence enforcement procedures and
impose fines in accordance with this section.
H. Resolution of Disputes; Imposition of Fines.
1, The City Manager shall have authority to administer this section and work
toward the settlement or compromise of any controversy arising out of
Grantee's operations. The City Manager may designate a City employee
to carry out the responsibilities imposed by this Ordinance.
2. Before ordering a refund or assessing a fine, the City Manager shall
provide the Grantee written notice describing the alleged violation and
stating the City's intention and the basis for the action. The Grantee shall
have ten (10) days from the date that it receives such notice to file a
written response, which must be signed by a management -level official of
the Grantee. If the City Manager does not believe that the Grantee's
response is sufficient to resolve the matter in issue, the City Manager and
the Grantee shall meet within ten (10) days after the City Manager
56
MASTER C ..3LE SERVICES REGULATORY
receives Grantee's written response in an effort to reach an agreed upon
resolution.
3. If, after their meeting, the City Manager and the Grantee do not agree on a
resolution of the matter in issue, the City Manager may order the Grantee
to take corrective action and pay a refund or a fine or both a refund and a
fine. Before ordering a refund or assessing a fine, the City Manager shall
consider any justification or mitigating factors that the Grantee has
advanced, including, but not limited to, any rebates or credits that the
Grantee has given to the Subscriber. After consideration of the Grantee's
response, the City Manager may sustain, waive or reduce any proposed
refund or fine. The City Manager may not assess any fine if the Grantee
has resolved the Complaint or cured the violation within a reasonable time
not exceeding fifteen (15) days. The City Manager may extend such time
period for good cause shown, but any adversely affected Subscriber(s)
may be entitled to a credit or refund attributable to such extension.
4. After providing written notice to the Grantee and affected Subscriber(s),
the City Manager may order the Grantee to take corrective action and pay
a refund or fine or both a refund and fine. The Grantee must comply with
such order within thirty (30) days of its receipt of such notice. The City
may enforce payment of refunds, fines, or settlements within thirty (30)
days of a written decision to the Grantee by drawing funds from the
Grantee's security fund, as provided in Grantee's Franchise Agreement.
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MASTER C SLE SERVICES REGULATORY OR. 4ANCE
5. Upon the imposition of a refund or fine, a Grantee shall have the right to
appeal the City Manager's decision or order, as provided in Article 12,
6. No adjustment, settlement, or compromise instituted by the City Manager
shall be contrary to the provisions of this section, nor shall the City
Manager, in the adjustment, settlement, or compromise of any
controversy, have the right or authority to add to, modify or delete any
provision of this section or to interfere with any rights of Subscriber(s) or
a Grantee under applicable federal or State law or private contract.
7. Intentional misrepresentations by a Grantee in any response, or repeated
violations or failures to cure violations, shall be grounds for Franchise
revocation.
8. The schedule of fines that the City Manager may assess against a Grantee
are as follows:
VIOLATION FINE
Failure to provide a calendar of legal holidays and $100.00 per occurrence
business days on which the Grantee will be closed
Failure to maintain files open for public
inspection
Failure to provide written notice in Grantee's
monthly billing at the request of the City Manager
Failure to provide notice to City Manager of
Service disruption to ten (10%) percent or more
Failure to provide notice of planned Service
Interruption
Failure to maintain an Ombudsman
Failure to maintain a City Liaison
Failure to maintain a process by which
Subscribers and the public can contact the
Grantee
Failure to comply with billing requirements
MR
$100.00 per occurrence
$250.00 per day of non-compliance
$500.00 per day of non-compliance
$500.00 per occurrence
$500.00
per
day
of non-compliance
$500.00
per
day
on non-compliance
$500.00
per
day
of non-compliance
$500.00 per day of non-compliance
Failure of employees or Grantee's contracted
employees to wear photo -identification badge
Failure of vehicle to bear the identification of the
Grantee or Grantee's contractor
Failure to begin working in time required in
response to Significant Service Interruption
Failure to provide notifications regarding changes
in rates, programming Services or Channel
positions to Subscribers and City Manager.
Failure to provide credit for Service Interruption
Failure to offer and fully describe to Subscribers
the options related to a missed appointment
Failure to provide notifications regarding
promotional materials, announcements and
advertising of Service to Subscribers
Failure to provide refunds
Failure to provide credits
Failure to comply with the disconnection and
downgrade provisions
Failure to comply with reporting requirements
Failure to comply with the telephone response
standards
$500.00 per occurrence beginning with the third
reported occurrence of non-compliance in any
calendar year
$500.00 per occurrence beginning with the third
reported occurrence of non-compliance in any
calendar year
$1000.00 per occurrence
$1,000.00 per occurrence beginning with the third
reported occurrence of non-compliance in any
calendar year
$1,000.00 per occurrence beginning with the third
reported occurrence of non-compliance in any
calendar year
$1,000.00 per occurrence beginning with the third
reported occurrence of non-compliance in any
calendar year
$1,000.00 per occurrence beginning with the third
reported occurrence of non-compliance in any
calendar year
$1,000.00 per occurrence beginning with the third
reported occurrence of non-compliance in any
calendar year.
$1,000.00 per occurrence beginning with the third
reported occurrence of non-compliance in any
calendar year
$1,000.00 per occurrence beginning with the third
reported occurrence of non-compliance in any
calendar year
$1,000.00 per day of non-compliance
$5,000.00 for each three (3) month period during
which the Grantee fails to comply with the
standard
Failure to comply with the Installation and $5,000.00 for each three (3)month period during
Service standards which the Grantee fails to comply with the
standard
ARTICLE 9, CONSTRUCTION STANDARDS
9.1 Right -of -Way Construction. Prior to commencing any construction in the City, a Grantee
must comply with the requirements of the [City of Georgetown Rights -of -Way
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MASTER C 3LE SERVICES REGULATORY OR.. NTANCE
Construction and Administration Ordinance], as amended, obtain all necessary permits
and licenses required by federal, State and local laws, ordinances and rules, and pay all
associated fees. Further, a Grantee shall comply with all applicable laws, ordinances,
rules, and standards relating to the construction, operation and maintenance of a Cable
System,
9.2 Compliance with Laws. At a minimum, and without limitation, a Grantee shall adhere to
all applicable building, electrical and zoning codes. The construction, installation, and
maintenance of the Cable System shall be performed by Grantee in a manner that is
consistent with the [City of Georgetown Rights -of -Way Construction and Administration
Ordinance], the National Electrical Safety Code, the National Electrical Code, all laws,
ordinances and construction standards adopted by the City, the State of Texas, the
Occupational Safety and Health Administration, the FCC, and the Standards of Good
Engineering Practices for Measurement of Cable Television Cable Systems of the
National Cable Television Association to the extent applicable, as well as all other
applicable laws, rules, regulations and ordinances, all as may be amended. All open
connections on splitters, couplers and other devices shall be properly terminated.
9.3 Restoration. Cable Drop lines, cable trunk lines, or any other type of outside wiring that
comprise part of the Grantee's Cable System that are located underground, shall be placed
in such locations in accordance with City Code, and the surrounding ground shall
immediately be restored in accordance with the standards set forth in the Code. For
private properties, such restoration shall occur within seventy-two (72) hours after
connection to the Cable System. Except for the Grantee's maintenance facilities, no cable
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MASTER aLE SERVICES REGULATORY OR._4ANCE
drop line, cable trunk line, or any other type of outside wiring shall be permitted to lay
upon the ground within the City for any period of time, except for the express purpose of
being immediately comiected to the Cable System of the Grantee. The requirements of
this subsection shall apply to all installation, reinstallation, service or repair commenced
by the Grantee within the City during Normal Operating Conditions.
9A Erection of Poles Prohibited. Grantee shall not erect, for any reason, any pole on or along
any Rights -of -Way in an existing aerial utility system. Grantee may obtain the lease of
pole space and facilities from the existing utility pole owners. Upon advance written
approval of City, if additional poles in an existing aerial route are required, Grantee may
negotiate with the utility for the installation of the needed poles.
9.5 Underground Installation.
A. In those areas within the City where Cable System facilities are currently placed
underground, all Cable System facilities shall remain or be located underground.
In areas where either telephone or electric utility facilities are above ground at the
time of installation, Grantees may install Cable System facilities above ground,
provided that when either electric or telephone utility facilities are thereafter
located underground, Grantees shall likewise locate Cable System facilities
underground at no cost whatsoever to the City.
B. Where aerial extension is allowed by regulation but underground installation is
requested by benefited Subscribers, the cost of undergrounding that exceeds
estimated aerial extension cost may be charged to benefited Subscribers.
61
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9.7
MASTER C_ 3LE SERVICES REGULATORY ORS .4ANCE
Conduits.
A. All new trunk and distribution plant that must be buried underground and must
cross under major intersections, as identified by the City Engineer, shall be
encased in conduit.
B. The City shall not be responsible for any cuts or damage to buried or underground
facilities of a Grantee that are not clearly marked or cannot be located through the
Texas "one -call' service.
C. Grantees shall provide the City detailed strand and trench maps, in both paper and
a mutually agreed electronic format, of all new underground and buried cable
facilities upon activation of such sections of the System.
D. Grantees shall provide a contact number for the City to call in emergency
situations requiring an immediate response on the part of the City, or a City
Utility. If the Grantee does not properly and effectively identify the precise
location of its facilities within forty-five minutes of an emergency call from the
City or City Utility, the City shall not be responsible for damage to the Grantees
facilities.
Least Disruptive Technology. All construction and maintenance of Cable Systems shall
be accomplished in the manner resulting in the least amount of damage and disruption to
the Rights -of -Way. Specifically, every Grantee installing underground facilities for a
Cable System shall utilize Trenchless Technology, unless the City Engineer approves an
alternative method.
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MASTER C...jLE SERVICES REGULATORY ORL .4ANCE
9.8 Aerial Drop Lines. For Subscribers requesting connection requiring an aerial Drop in
excess of one hundred twenty-five (125) feet, unless the Franchise Agreement specifies
otherwise, Grantee shall extend Cable Service at a rate not to exceed Grantee's actual
direct incremental cost of installation from its main distribution system beyond one
hundred twenty-five (125) feet only.
9.9 Clearing Poles and Cables. In order to protect its poles, cables, underground conduits,
and related equipment, Grantee shall have the right, with City approval and upon
acquisition of a permit, to remove, trim, cut the trees in and along the public streets; but,
in exercising such right, Grantee shall not cut such trees to any greater extent than is
reasonably necessary for the construction, erection, installation, maintenance and use of
Cable System equipment. Grantee shall not remove, trim or cut such trees from any
public streets without first providing reasonable notice to the City of its intention to do
so, such notice to be delivered not less than fifteen (15) days in advance to the City's
landscape inspector or designee. The landscape inspector shall, within ten (10) days
provide Grantee with a written notice to proceed, a denial, or a response requiring
Grantee to modify its request in accordance with the response. All pruning and trimming
of trees and palms shall be done in accordance with the National Pruning Standards for
Utility Companies. The Grantee shall compensate the City or any private owners of such
trees for any damage whatsoever caused by such trimming. Any authority provided
herein does not extend to private property and privately owned trees.
9.10 Moving Facilities. Grantee, upon the request of the City, or any Person holding a
building permit issued by the City, or any permit issued by an appropriate State agency,
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shall temporarily move its wires, cables, poles or other Cable System facilities to permit
the moving of large objects, vehicles, buildings or other structures. The expense of such
temporary moves shall be paid to Grantee by the Person requesting the same and Grantee
shall have the authority to require such payment in advance. Grantee shall be given not
less than thirty (30) days advance notice to arrange for such temporary moves, unless
emergency conditions warrant otherwise.
Work Performed by Others.
A. Grantee shall make available to the City, upon reasonable request, the name,
business address and telephone number of any Person, other than the Grantee,
who performs Services pursuant to a Franchise Agreement; provided, however,
that all provisions of this Ordinance and a Franchise Agreement remain the
ultimate responsibility of the Grantee.
B. To the extent applicable, all provisions of this Ordinance and a Grantee's
Franchise Agreement shall apply to any subcontractors or others performing any
work or providing any Services on behalf of a Grantee.
Duty to Grantee. Nothing contained in this Ordinance shall relieve any Person of
liability arising out of that Person's failure to exercise reasonable care while performing
any work involving public Rights -of -Way to avoid injuring Grantee's lines or facilities.
ARTICLE 10. OPERATION AND MAINTENANCE
10.1 Open Books and Records.
A. Each Grantee shall at all times maintain complete and accurate billing and
payment records in a mamier that allows the City at all times to determine
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whether the Grantee is accurately calculating and paying its Franchise Fees.
Should the City reasonably determine that the records are not being maintained in
such a manner, the Grantee shall immediately correct the manner in which the
books and records are maintained in order to comply with this section. All
financial books and records shall be maintained in accordance with the regulations
of the FCC and any other governmental entity regulating Cable Systems, and shall
be maintained in accordance with generally accepted accounting principles.
Each Grantee and its agents and outside contractors shall make available for
examination by the City or its authorized representative or agent, during Normal.
Business Hours, the books, records and accounts and other documentation,
hereinafter collectively referred to as the "Reports," of Grantee that, as determined
by the City, are necessary to determine the accuracy of the Franchise Fees paid,
and shall permit the City, or its authorized representatives or agents to make and
remove copies of jurisdictional coding records (address ranges) and such other
records as may be agreed upon by the Grantee and the City. In the event the
Reports are not available to the City for examination within the corporate limits of
the City, the Grantee shall reimburse the City for the reasonable travel expense of
the City's representative for travel to the location where the Reports are
maintained.
Upon proper request by the Grantee, any information required to be submitted to
the City that can be kept confidential by law shall be treated as confidential in
accordance with such law.
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D. Reports required under this section shall be furnished at the sole expense of the
Grantee, except as otherwise provided for in this Article or the Franchise
Agreement,
Communications with Regulatory Agencies. Upon request, Grantee shall make available
to the City, without cost, copies of all petitions, applications, communications, and
reports submitted by Grantee to the FCC, Securities and Exchange Commission, or any
other federal or State regulatory commission or agency having jurisdiction in respect to
any matters affecting System operations, and any responses from these regulatory
agencies to Grantee. If the City is specifically named in any such pleading or response,
immediately upon receipt, the Grantee shall furnish the City with a copy without the
necessity of a request by City.
Annual Reports.
A. Grantee shall provide to the City, within ninety (90) days from the close of
Grantee's fiscal years during the term of a Franchise Agreement, in duplicate, the
following:
1. A revenue statement certified by a representative of the Grantee showing,
in accordance with a Franchise Agreement, the Annual Gross Revenues of
the Grantee for the preceding fiscal year;
2. A current list of names and addresses of each officer and director and other
management personnel of the Grantee;
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MASTER C. 3LE SERVICES REGULATORY
3. A copy of all documents that relate to the Grantee's System that were filed
with any federal, State, or local agencies during the preceding fiscal year
and that were not previously filed with the City;
4. A statement detailing the Grantee's current billing practices and charges;
5. A copy of the Grantee's current Subscriber Service contract; and
6. A copy of Annual Reports to stockholders, if any, for the operating
company and the parent company.
7. A Subscriber report indicating the total number of Subscribers by Service
category and the total number of Subscriber connects and disconnects
during the year.
8. All of the above information shall not be required annually unless there is
a change after the first filing with the City.
B. Grantor and its agents and representatives shall have authority to arrange for and
conduct an audit of the books and records of any Grantee that is reasonably
necessary for the enforcement of this Article or a Franchise Agreement. A
Grantee shall first be given thirty (30) days notice of the audit, the description of
and purpose for the audit, and a description, to the best of Grantor's ability, of the
books, records, and documents that Grantor wants to review.
Index of Reports.
A. Throughout the term of any Franchise, each Grantee shall compile and maintain
an Index of Reports that shall list all reports, documents, and filings, that it has
prepared with respect to the System over the course of the most recent two (2)
m
year period as a result of the requirements of the FCC or this Ordinance, including
technical System testing, proof of performance reports, and customer service
compliance measurements, and shall provide a copy of such Index of Reports to
the City every six months, beginning with the Effective Date of the Franchise, and
upon request.
B. Each Grantee shall make a copy of any reports or documents listed in the Index of
Reports available to the City upon request.
10.5 Additional Reports and Assistance. Upon request of the City, each Grantee shall include
additional reports to the Index which are reasonably necessary to the City's proper
enforcement of a Franchise Agreement adopted pursuant to this Article. In addition, upon
request, every Grantee shall cooperate and assist the City in interpreting and
understanding any report required under this Article, including through the provision of
explanatory graphs and charts.
10.6 Service Contract and Subscriber Information.
A. Each Grantee shall have authority to promulgate such rules, regulations, terms,
and conditions governing the conduct of its business as shall be reasonably
necessary to enable the Grantee to exercise its rights and perform its obligations
under this Ordinance and any Franchise Agreement and to assure uninterrupted
Service to all of its Subscribers; provided such rules, regulations, terms, and
conditions shall not be in conflict with the provisions of this Article, the Franchise
Agreement, federal, State or local law, or any other applicable rules and
regulations.
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Every Grantee shall submit to the City, upon the anniversary of the Effective Date
of the Franchise Agreement, a copy of all Subscriber contract forms that it
utilizes. If no written contract exists, a Grantee shall file with the City a
document completely and concisely stating the terms of the residential Subscriber
contract offered, specifically including the length of the Subscriber contract. All
Subscriber contract forms shall be available for public inspection during Normal
Business Hours.
The terms and conditions of a Subscriber contract shall be consistent with the
requirements of this Ordinance, the Franchise Agreement or any applicable
customer service standards as set forth in section 25-256.
Notices. Unless otherwise stated in this Ordinance, any notice or notification required
shall be sent in accordance with the terms of the Franchise Agreement.
ARTICLE 11. GENERAL FINANCIAL AND INSURANCE PROVISIONS
Franchise Fee.
A. As compensation for a Franchise, and in consideration of permission to use the
Rights -of -Way of the City for the construction, operation and maintenance, of a
Cable System within the City, and to defray the costs of regulation, each Grantee
shall pay to the City an annual amount equal to five percent (5%) of the Grantee's
Gross Revenues. To the extent permissible under applicable law, such Franchise
Fee shall be considered separate and distinct from any Municipal
Telecommunications Consent Fees assessed against a Grantee for its use of the
City's Rights -of -Way for the provision of telecommunications Services pursuant
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MASTER C. _yLE SERVICES REGULATORY ORI _4ANCE
to the terms of Title 9, Chapter 283 of the Texas Local Government Code, or
other applicable state law. The payment of the Municipal Consent Fee shall be on
a non-discriminatory basis as between telecommunications providers.
Payments due to the City under this section shall be computed quarterly, for the
preceding quarter. Each quarter payment shall be due and payable no later than
forty-five (45) days after the end of the preceding quarter. Unless the Franchise
Agreement provides otherwise, at the request of the City, Grantee shall
electronically deposit payments into a financial institution designated by the City.
Any associated charges for electronic transfer may be credited against the
Franchise Fee. Verification of this deposit shall be provided to the City Treasurer.
Each payment shall be accompanied by a brief report by a Grantee showing the
basis for the computation and a "Franchise Fee Worksheet" listing all of the
sources of revenues attributable to the operation of Grantee's System. A Grantee
that is subject to a Municipal Telecommunications Consent Fee shall maintain
separate accounts and records with respect to the calculation and payment of such
fees.
No acceptance of any payment shall be construed as an accord that the amount
paid is in fact the correct amount, nor shall such acceptance of payment be
construed as a release of any claim the City may have for further sums payable
under the provisions of this Ordinance or a Franchise Agreement. All amounts
paid shall be subject to audit and recomputation by the City or its designee at any
time during any calendar year (but no more than once per calendar year) upon
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twenty (20)
calendar days notice, including information on the specific
documents requested to be reviewed.
11.2 Late Charge. If any payment required under this Ordinance or the Franchise Agreement
is not actually received by the City on or before the applicable due date provided herein,
the Grantee shall pay interest thereon, from the due date to the date the payment is
actually received by the City, at a rate equal to one and one-half percent (1-1/2%) per
month on the unpaid balance.
11.3 Delinquency. Should any Grantee's payments required hereunder be delinquent for one
hundred twenty (120) days, the City may declare the Grantee in default and treat the same
as a material breach of a Franchise Agreement,
11.4 Acceptance of Payment. No acceptance of any payment shall be construed as an accord
that the amount paid is in fact the correct amount, nor shall such acceptance of payment
be construed as a release of any claim the City may have for further sums payable under
the provisions of this Ordinance or a Franchise Agreement. All amounts paid shall be
subject to audit and recomputation by the City.
11.5. Security Fund. Each Grantee shall maintain a security fund with the City to ensure
compliance with this Ordinance and the applicable Franchise Agreement, in an amount
and in a manner as set forth in the Grantee's Franchise Agreement.
11.6. Bonds, Indemnification, and Insurance. Each Grantee shall maintain bonds and insurance
with the City in amounts and in a manner as provided in the Franchise Agreement. Each
Grantee shall also indemnify and hold the City harmless for the acts and omissions of
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Grantee, its employees, agents, and contractors in a manner as set forth in the Franchise
Agreement.
ARTICLE 12. REMEDIES AND ENFORCEMENT PROCEDURES
Administration of Franchise. The
City shall be responsible
administration of this Ordinance and all Franchise Agreements
for the continued
The City may delegate
this authority from time to time in any manner consistent with applicable law.
Nonenforcement by the City. A Grantee shall not be relieved of its obligation to comply
with any of the provisions of this Ordinance or a Franchise Agreement adopted pursuant
to this Ordinance by reason of any failure of the City to enforce prompt compliance.
Remedies and Enforcement Procedures,
A. Whenever the City has reason to believe that a Grantee has violated any provision
of a Franchise Agreement or this Ordinance, excluding the customer service
standards for which specific enforcement provisions are set forth in Article 9, the
City shall first notify the Grantee in writing of the violation and demand
correction within the time period specified in this Article or, in the absence of a
specific time period, within a reasonable time, which shall not be less than thirty
(30) days; said notice shall indicate with reasonable specificity the violation
alleged to have occurred. If a Grantee fails to demonstrate to the reasonable
satisfaction of the City that no violation exists, or fails to correct the violation
within the time prescribed, or fails diligently to commence corrective action
within the time prescribed to remedy such violation, the City shall then give the
Grantee written notice of not less than ten (10) days of a hearing to be conducted
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MASTER C. 3LE SERVICES REGULATORY OR. STANCE
before the City Manager. The City Manager shall hear and consider all relevant
evidence and thereafter render a written decision.
B. If the City Manager finds that no violation has occurred or that a violation has
occurred but the Grantee has either corrected the violation or promptly responded
to notice of the violation and diligently pursued remedy, the City Manager shall
terminate the proceeding without imposing any penalty or other sanction, except
as provided in Article 9.
C. If the City Manager finds that a violation has occurred and that a Grantee has
neither corrected the violation in a satisfactory manner nor promptly commence
and diligently pursued corrective action, the City Manager may impose penalties
or fines from the security fund or otherwise, as follows:
1. For failure to comply with the System construction schedule, including but
not limited to provisions relating to initial construction schedules and
system upgrade construction schedules, $2,500 per day of non-
compliance;
2. For violations of Article 9, the amounts specified therein;
3. For all other violations, $1,000 per day per violation.
D. If the City elects to assess any penalties or fines against a Grantee's Security
Fund, then such election shall constitute the City's exclusive monetary remedy for
a period of sixty (60) days. Thereafter, if a Grantee remains in non-compliance,
the City may pursue any other available remedy, including Franchise revocation.
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MASTER C 3LE SERVICES REGULATORY OR., STANCE
E. If the City Council revokes a Franchise pursuant to Section 12.4 below, the
Grantee's Security Fund deposited pursuant to its Franchise Agreement shall
remain in effect and available to the City until all pending claims, alleged
violations, or penalties are resolved or settled. After that point, any remaining
amounts in the Security Fund shall revert to the possession of the Grantee.
G. The City's rights with respect to security funds are in addition to all other rights
that the City may have under a Franchise Agreement, this Ordinance, or other
applicable law. No action, proceeding or exercise of a right with respect to such
security funds shall affect any other rights the City may have.
H. The foregoing provisions shall not be deemed to preclude the City from obtaining
any other available remedies for repeated violations, of the same general type,
whether remedied or not.
12.4 Revocation. In addition to all other rights that the City may have under this Ordinance, a
Franchise Agreement or other applicable law, the City may revoke a Franchise.
A. Grounds For Revocation.
reasons;
The City may revoke a Franchise for the following
1. A Grantee substantially violates any material provision of this Ordinance
or its Franchise Agreement;
2, A Grantee attempts to evade any of the provisions of this Ordinance or a
Franchise Agreement;
3. A Grantee commits or participates in an act of fraud or deceit upon the
Grantor;
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MASTER C .3LE SERVICES REGULATORY ORS __ ;DANCE
4. A Grantee becomes insolvent, unable or unwilling to pay its debts, or is
adjudged bankrupt; or
5. A Grantee acts or fails to act in other ways that are of a similar serious
nature.
Procedures for Revocation.
1. Whenever the City has reason to believe that grounds may exist for
revoking a Franchise, the City shall first notify the Grantee in writing of
its grounds for believing that grounds for revocation exist. Such notice
shall describe such grounds with reasonable specificity so that the Grantee
may have a reasonable opportunity to cure or otherwise address the
grounds. If a Grantee fails to cure or adequately address the purported
grounds for revocation within thirty (30) days of such notice, the City may
then, upon thirty (30) days written notice to the Grantee, commence a
public hearing to determine whether to revoke the Franchise.
2. The hearing shall be conducted so as to protect the full due process rights
of the parties and provide for, at a minimum, the right to have counsel, the
right to call and cross examine witnesses, if requested the right to a full
transcript of the proceedings, and the right to have the matter heard before
a mutually agreed upon third party hearing officer.
3. After the close of the hearing, the City or the designated hearing officer
shall issue a written decision based on the record of the proceedings,
stating with specificity the findings and reasons supporting the decision.
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C. Right to Appeal a Revocation.
1. A Grantee shall have a period of sixty (60) days from the date of a formal
revocation of the Grantee's Franchise to file an appeal with a court of
competent jurisdiction.
2. During the appeal period, the Franchise shall remain in full force and
effect.
General Right of Appeal for Matters Other Than Revocations,
A. If the City Manager imposes a penalty or fine or otherwise requires a Grantee to
take action to which it objects, the Grantee may lodge an appeal with the City
Council. Such appeal must be in writing and must be filed with the City Clerk
and served upon the City Manager within thirty (30) days after the date of the City
Manager's decision. The notice of appeal shall attach a copy of the decision
being appealed, shall clearly state the grounds for the appeal, and shall set forth a
brief summary of the relief sought. Upon not less than thirty (30) days written
notice, the City Council shall conduct a hearing at or after which time it may
affirm, modify or reverse the decision of the City Manager. Nothing contained
herein shall preclude the City Council from seeking additional information prior
to rendering a final decision. The decision of the City Council shall be in writing,
and a copy of the decision shall be provided to the City Manager and the Grantee.
B. Within thirty (30) days of an adverse decision by the City Council, a Grantee or
other adversely affected party may file an appeal to the appropriate court of law.
During any such appeal period, the Franchise shall remain in full force and effect.
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ARTICLE 13. FORECLOSURE, RECEIVERSHIP, AND ABANDONMENT
Foreclosure. Upon the foreclosure or other judicial sale of all or a part of a System, or
upon the termination of any lease covering all or part of a System, a Grantee shall notify
the City of such fact and the notice shall be treated as a notice of a change in control of
the Grantee. In such event, the provisions of this Ordinance or the applicable Franchise
Agreement governing the consent to transfer or change in ownership shall apply, without
regard to how such transfer or change in ownership actually occurred.
Receivership. The City shall have the right to cancel a Franchise Agreement one
hundred twenty (120) days after the appointment of a receiver or trustee to take over and
conduct the business of a Grantee in receivership, trusteeship, reorganization, bankruptcy
or otherwise, unless:
A. The Grantee has resumed full operation of the Cable System and remedied all
defaults prior to the expiration of the period one hundred twenty (120) days; or
B. Within one hundred twenty (120) days after its election or appointment, the
receiver or trustee has fully complied with all the provisions of Grantee's
Franchise Agreement and this Ordinance, has remedied all defaults and has
executed an agreement, duly approved by a court having jurisdiction, under which
such receiver or trustee assumes and agrees to be bound by each and every
provision of this Ordinance and the applicable Franchise Agreement.
ARTICLE 14. PURCHASE OF SYSTEM
The City's Right to Purchase System upon Receipt By Grantee of a Bona Fide Offer.
The City shall be entitled to a right of first refusal of any bona fide offer made to a
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MASTER C.. 3LE SERVICES REGULATORY OR '4ANCE
Grantee to purchase the System. A bona fide offer, as used in this section, means an offer
that a Grantee intends to accept. The City shall have thirty (30) days to notify the
Grantee of its intent to purchase the System, and upon receipt of such notice, the Grantee
shall have thirty (30) days to provide the City all information reasonably necessary for the
City to conduct a due diligence inquiry concerning the purchase of the System.
Consistent with Section _, the City shall notify the Grantee days in writing within 120
days of notice of the bona fide offer of its decision whether to purchase the System.
14.2 Purchase By Grantor Upon Termination of Franchise Term or Revocation of Franchise.
A. The Grantor may, in accordance with and to the extent permitted by 47 U.S.C.
§ 547, and upon the payment of a fair valuation, ascertain, purchase, condemn,
acquire, take over and hold the property and plant of a Grantee, in whole or in
part, on the following conditions:
1. Upon revocation of a Franchise, such valuation shall not include any sum
attributable to the value of the Franchise itself and plant and property shall
be valued according to its book value at the time of revocation or to the
System's initial cost less depreciation and salvage.
2. At the expiration of a Franchise Agreement, such valuation shall be at fair
market value, exclusive of the value attributed to the Franchise itself
3. If the City terminates a Franchise for cause pursuant to the provisions of
this Ordinance or a Franchise Agreement and commences operation of the
System, the City shall pay the Grantee an equitable price for the System.
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ARTICLE 15, SALE OR TRANSFER
Sale or Transfer of Franchise.
A. No Grantee shall sell, transfer, lease, assign, sublet or dispose of (collectively
"transfer"), in whole or in part, an interest in or control of a Franchise or Cable
System or any of the rights or privileges granted by this Ordinance or a Franchise
Agreement, without the prior consent of the City, which consent shall not be
unreasonably denied or delayed. The City may deny a proposed transfer only
upon finding, in good faith, that the proposed transferee lacks the legal, technical
or financial qualifications to consummate the transaction and operate the System
so as to perforin all obligations imposed by this Ordinance and the applicable
Franchise Agreement. This section shall not apply to sales of property or
equipment in the normal course of business. Consent from the Grantor shall not
be required for a transfer in trust, mortgage, or other instrument of hypothecation,
in whole or in part, to secure an indebtedness.
B. The following events shall be deemed to be a sale, assignment, or other transfer of
an interest in or control of a Franchise or Cable System requiring compliance with
this section: (i) the sale, assignment or other transfer of all or a majority of a
Grantee's assets; (ii) the sale, assignment or other transfer of capital stock or
partnership, membership or other equity interests in a Grantee by one or more of
its existing shareholders, partners, members or other equity owners so as to create
a new controlling interest in a Grantee; (iii) the issuance of additional capital
stock or partnership interest or other equity interest by a Grantee so as to create a
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new controlling interest in a Grantee; (iv) a Grantee's agreement to transfer
management or operation of the Grantee or the System to an unaffiliated entity;
and (v) any other transaction that gives effective control over a Franchise or a
Grantee to one or more persons or entities that did not have such control before
the transaction. The term "controlling interest" as used herein means majority
equity ownership of a Grantee.
In the case of any sale or transfer of ownership of an interest in or control of a
Franchise or Cable System, the City shall have one hundred twenty (120) days to
act upon any request for approval of such sale or transfer. The period of one
hundred twenty (120) days shall not begin to rum until the City has received both
the request for approval and the information required by FCC regulations, this
Ordinance and the applicable Franchise Agreement. If the City fails to render a
final decision on the request within one hundred twenty (120) days after it
receives the request and all required information, such request shall be deemed
granted unless the requesting party and the City agree to an extension of time.
The City reserves any rights it may have to require that a Grantee pay all costs and
expenses that the City may incur in connection with reviewing the proposed
transfer of ownership or control of a Franchise or a Grantee, including but not
limited to the City's costs of reviewing the qualifications of any proposed
transferees.
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ARTICLE 16, RIGHTS OF INDIVIDUALS PROTECTED
Discriminatory Practices Prohibited. No Grantee shall deny Service or access or
otherwise discriminate against Subscribers, programmers, or general citizens on the basis
of race, color, religion, national origin, sex, disability, income or age. Every Grantee
shall strictly adhere to the equal employment opportunity requirements of State and
federal law. Each Grantee shall comply at all times with all other applicable federal, state
and local laws and all executive and administrative orders relating to non-discrimination.
Subscriber Privacy. Grantees shall at all times comply with the federal subscriber privacy
requirements codified at 47 U.S.C. § 551.
ARTICLE 17. MISCELLANEOUS PROVISIONS
Rate Regulation. The City reserves the right to regulate rates for Basic Cable Service
and any other Services offered over the Cable System, to the extent permitted by federal
or state law.
Rights Reserved to the City.
A. Upon either the expiration or revocation of a Franchise, the City shall have
discretion to permit and/or require a Grantee to continue to operate the Cable
System for an extended period of time not to exceed six (6) months from the date
of such expiration or revocation. During his period, a Grantee shall continue to
operate the System under the terms and conditions of this Ordinance and the
applicable Franchise Agreement and to continue to provide any and all of the
Services that it may be providing at that time.
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MASTER t 3LE SERVICES REGULATORY OR 1ANCE
B. The City shall have the right to compel continued operation of the Cable System
whether by the Grantee, by a trustee or receiver or by the City, and to ensure that
such operation is consistent with public interest. The Grantee shall not remove
equipment or documents necessary for continued operation of the system.
Governing Law and Choice of Forum. Any dispute arising with respect to this
Ordinance or a Franchise Agreement granted pursuant to it, shall be governed by federal
or Texas law, as appropriate, and shall be subject to review by the state and federal courts
of Texas.
Severability. If a court or government agency finds that any material provision of this
Ordinance or a Franchise Agreement adopted pursuant to it is invalid, unlawful or
otherwise inconsistent with applicable laws in effect now or in the future, or if a court or
government agency modifies this Ordinance or a Franchise Agreement to conform it to
the requirements of any such applicable laws, such provision shall be considered a
separate, distinct and independent part of this Ordinance, and, to the extent possible, such
finding or modification shall not affect the validity and enforceability of all other
provisions hereof.
Publication of Notices. All public notices or ordinances that the City must publish under
this Ordinance or any Franchise Agreement shall be published in a newspaper of general
circulation in the City. Each Grantee shall pay the costs for publication of its Franchise
Agreement and any amendments, as required or authorized by law.
Passed and adopted this
ATTEST:
day of
199 .
PA
RUN f 00
MASTER
LIE
SERVICES REGULATORY O
m
City of
*1ANCE
Texas