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HomeMy WebLinkAbout0244a OI�.� IN&NCE M 244 (1962 Series) M. 0111DrEHM7110E OF THE CITY eat SAN 7.U.TS O3i'Sp0 M.071D7djG '7041 THE GRANTING OF FRILNCH.SES FOR MIX01'17 MIT&M TELMSIGN SYSTEMS Its THE CITY OF SALT LUIS O4BISPO; P&WIDING TEWLS AND CONDITIONS FOR THE OPERATICH OF SUCH CM -WITY MTEM TES- WISI(XI SYSTS143S AND FEES THEREFOR, RE IT OIDAIM by the Council of the City of Sax, Luis Obispo as follows: SECTION 1. A nonexclusive franchise to construct, operate and maintain a cOmmunity antenna television system in the City of Sawn Luis Obispo may be granted by the City Council to any person, firm or corporation offering to furnish and provide such system under and pursuant to the term, and provisions of this Ordinance, SECTION 2. DEFINITIONS: For the purpose of this Ordinance, the follcm3ing terms,, phrases, words and their derivations shall. have the meaning given herein-. (a) "CITY": The City above named,, a municipal pxal corporsation of the State of California, in its present incorporated form or in any later recognized,) consolidated, enlarged or rep nncorp6r ated fors. (b) "COUNCIL!: The present governing body of the City or any future board constituting the legislative body of the City. W "GRANTEE": The persons or corporations to whom or 1,hich a frs w chise Bander this Orditumce is granted by the City Council and the lauful successor or assignee of said persons or corporations. Ada "STREET": The surface of. and the space above and belcvy, any public street,, road, highway, freeway, lane, alley,, court, sidewalk, park- way, or drive, now or hereafter existing; as such within the Cityc (e) "CeOMMITY ANTEN&4 TELEVISION S'YSTEW'o hereinafter referred to as "CATV ". Coaxial cables, gave guides, or other conductors and equipment for providing television service by cable or through its facilities as herein, contemplated. CATV shrill not mean or include the transmission of any special program or event in the manner commonly known and referred to as "Pay tale- vision" transmission. 4f) "SDBSCRIRERS "o 'Aany person or entity receiving for sway purpose the CATp service of the Gr�nttee herein. (g) "GROSS ANNUAL RECEIPTS". Any and all cOmPenssati,on and other con- sideration in any form paid by the subscriber or sponsor to the Grantee arising from the sale of said CATS' service to customers; within the corporate limits of the City. 244- Gross Annmal Receipts shall not include =y taxaa on the services furnished by the Grantee imposed directly an arej user or subscrilber by any City. State or other government unit and collected by the Grantee for such governmental unit, M "LOCAL S'TAl'IO:O11 o A television brosAcasting station whose prim- airy service area iucludes the City of San Luis Obispo. SECTION 3. USES P ATTED BY GCE: Any nonexclusive franchise granted p=sua nt to the provisions of this Ordinance challl authorize and permit the Grantee to engage in the business of operating and providing a CATV system in the City of San Luis Obispo and Lor that purpose to erect, install,, co nstruct�, repaai.re replace, reconstruct, maintain and retain in, on, over, under, Won, across and along any public street or highway, such poles© vire95 cable., con - ductors, ducts, conduit, vaults, manholes, mplifiers, appliances, attachmants, and other property as may be necessary and appurtenant to the CATV system; and in addition, so to utae�, operate and provide similar facilities or properties rented or leased from a public utility franchised or permitted to den uusiness in the City of Saga Luis Obispo. It is hereby declared that the purpose and intent of this Ordinance is to prohibit in any fora ghat is commonly known as "Pay TV"' and to prohibit any Grantee of any CATV system. sunder penalty of revocation of franchise, or any other person, company, corporation or association, from directly or indirectly installing, maintaining or operating on any television set a coin box or any other device or means for collection of money for individual programs. The Grantee may make a charge to subscribers for conuection to its CATV system Paid as fixed menthxy charge as filed and approved as herein provided', for transmission on to them only of televisica programs receive -i free by the public gdadraallyr a n0for closed circuit ediacaational TV.,' SECTION 4. DURATION OF FRANCHIM. No franchise, granted by the City Council .canner this Ordinance,-shall-be-for a term longer t;hau fifteen (15) Ye4r9 £ollaain g the date of acceptance of Duch franchise by the Grantae or the renewal thereof. Any such franchise: may be terminated prior to its date of expiration by the City Council in the event that said Council shall have founad, after notice and public hearing, that (aa) Grantee has failed to comply with any provision of this Ordinance, m2d I or has, by act or omission, violated any team or condition of any franchise or permit issued under this Oadla ce; or Q any provision of thin Ordinance has becoce Wal.i,d or unenforceable, and the Counri.l farther finds that such pro-- vision constitutes a consideration material to the grant of said franchise; provided, however, that the Grantee still be given at least thirty (30) days' notice if any proposed termination proceedings. SECTIOR 5, FRANCHISE PAYMENT: flay Grantee granted a franchise under this Ordinance shall pay to the City, during the life of such fraanchi.se$ and at the times hereinafter specified, a son equal to am perceatage of the monthly total gross receipts of the Grasnntee based upon proposals to be received by the Council, and such payment by the Grantee to the City shall be in lieu of any occupation WD li.ceaase tarp or similar levy, and shall be paid mzuthly within ten (10) days after the end of each mouth. If the monthly payment based one the percentage of the monthly total gross receipts of the Grantee .its to less than $100.00 per mouth. `hewn Gra ntea shaall pay the City the minimum amount of $100.00 per month. The Grantee Shall file with the City. within thirty (30) days after the expiration of any calendar year during which such franchise is in force, a% financial statement prepared by ra certified public accountant showing in detail the total gross receipts, as defined herein, of Grantee, its :successors or a ssi,gns9 during the preceding calendar year. It shall be the duly of Grantee to pay to the City, within fifteen (15) days after the time for filing such state- ment, any unpaid balanne for the calendar year covered by such statements. The City shall have the right of inspection of all of the Granteds records pertaining to Grantee's operations within the City of San Luis Obispo. SECTION 6. 2LIM17AZZOSS 07 FUMCKSW (aa) Franchise granted under this Ordinance shall be nonexclusive. (b) No privilege or exemption shall be granted or conferred by any franchise granted under this Ordinance except those specifically prescribed ha a in. (c) Any privilege claimed under such franchise by the Grantee in aay street, or anther public property, shall be subordinate to any prior lawful occupancy of the streets, or other public property. (d) Any such franchise shall be a privilege to be held in personal, trust by the original Grantee. It cannot in any event be sold, traannfaarred, d43- lerasede assigned or disposed of© in whole or in part,, either by forced or invotuntary sal,,, .or by valtmtary sale, merger, consolidatio -a or ctherwi zes without prior consent of the City Council of the City expressed by resolution;, and then only under such conditions as may be therein prescribed. The said consent of the City may not be .arbitrarily refused; provided,, however, the proposed ass3igaee must show financial responsibility and must agree to comply with all provisions of this Ordinance; and provided, further, that no such consent shall be required for a transfer in trust mortgage or other hypothe- cation as a whole, to secure an Indebtedness. (e) The Grantee ,,shall have no recourse wahAtsoever against the City for any losstso cost, expense,, or damage, &rising out of any provisions or require:- meaxts of this Ordinance or its esnforc nt9 (f) The Grantee is subject to all requirements of the City ordisnm es., rules, regulations and specifications of the City heretofore or hereafter enacted or established, including, but not limited to, those concerning street work, street excavations, ensue, removal and relocation,, of property within a street, and other street work. SECTION 7. RIGHTS RESERVED TO THE CITY: There is hereby reserved to the City every right and power which is required to be herein reserved or provided by any ordinance of the City, and the Grantee, by its acceptance: of any franchise, agrees to be bound thereby and to ccmply with any action or requirements of the City in its exercise of such right or power, heretofore or hereafter enacted or established. However,) every proposal shall include complete CATV service: in the entire area within the City limits. SECTIGN Sa PMMITS ARD A RIZATIONSe The Grantee shall proceed within thirty (30) days with due diligence to obtain all necessary permits and authoriz atiaar, which are required in the conduct of its business,, including utility joint use attach- meat agreewnents, and microwave carrier licenses to be granted by duly constituted regulatory agencies having jurisdiction over the operation of CATF sysytem€a, or their associated microwave transmission facilities. Furthers the Grantee shall comence the installation within ninety (90) days subsequent to the obtaining of all the necessary permits and authorizations, and shall proceed to render service to nub- scribers within sixty (60) days follmaing the commencement of installation of the system. The completion of the installation shall be pursued with reasonable o4ca dilisence thereafter, so that service to all areas designated on the map accompany. ins the application for franchise, as provided in Section 19 hea�eof, shah be pro- vided within twelve (12) months from the date that sex-,vice was first rendered,, provided that the Council may, upon request of the applicant, grant an extension of time if the Council, determines such request to Justified, Failure to do any of the foregoing shall be grounds for termination of franchise® SECTION 9. LOCATION OF GROTHE ° S PROP I o (3) Any poles, wires, cable lines;, conduits or other properties of the Grantee to be constructed or installed in streets, shall be so constructed or installed only at such locations and in such steer as. shall be approved by the Superintendent of Streets of the City acting in the exercise of his reasonable discretion, (b) The Grantee shall not install or erect any facilities or apparatus on public property or rights-of-way within the City (except those installed or erected upon public utility facilities now exieting), without written approval of the Superintendent of Streets of the City. (c) In those areas and portions of the City where either the trans- mission and distribution facilities of the public utility providing telephone service, or those of the utility providing electric service, are undergroizad or hereafter may be placed underground, then the Grantee shall likes -live con- struct, operate and maintain all of its transmission and distribution facilities underground. Amplifiers in Grantee's transmission and distribution lines may be on concrete boxes or vaults upon the surface of the ground. SECTION loo REAL OR ABANDOMM OF PROPERTY OF GRMT o (aa) In the event that the use of any part of the CATV system is dis- continued for any reason for a continuous period of gr"8lve d12) months9 or in the event such system or property has been installed in any Street or public place without complying with the requirements of its franchise, or the fran- chise has been terminated, cancelled or has expired, the Grantee shall pi oLi ptl.y, upon being given notice, remove from the streets or public places all such property and poles of such system other than any which the Superintendent of Streets may permit to be abandoned in such place. In the event of any such removal, the Grantee shall promptly restore the street or other area groan t hich such property has been removed,, to aac condition satisfactory to the Superinte -n- dent of Streets. -5- SECTION L1. CHMGE RECjUIPX£D BY PUMIC 1 ROVE B o The Grantees shall, at its expenses protect„ supporto temporarily di.scorgaect, ,,relocate in the say street, alley or public place, or rema�re frem the street, alley or public place, any property of the Grantee whgm required by the Superintendent of Streets by reason of traffic conditions, public safety, street vsacatione freeway and street construction, change or establishmnt of street grade, Installation of severs, drrdas, water pipes, power lines, signal lines, and tracks or any other type of structures, or improvements by goverment.al agencies when acting in a govern- mental mental, or proprietary capacity, or dray other structures or public improv nts; provided, however, the Grantee shall, in all such cassee have the privileges and be subject to the obligations to abandon any property of the Grantee in places as provided in Section 10 hereof,, SEC910H 12. FAILURE TO pEE ORH STREET WORM. Ripon fsaigure of the Grantee to complete any cork required by lay, or by the provisions of this Ordinance to be done in any street, within the time prescribed, and to the satisfaction of the Superintendent of Streets, the Superintendent of Streets may cause such work to be donne and the Grantee shall pay to the City the cost thereof in the itemized ..s (xmts reported by the 8uperinitensdent of Streets to the Grantee,, within thirty (30) days after receipt of such itemized repom . SECTION 13, FAlTHFM MWOMANCE BONDoo (a) The Grantee shall, coacurrentl.y with the filing of and acceptance of award of any fraanchise granted under this Ordinance, file with the City Clark, and yearly thereafter maintain in full: fobce and effect for tire. term of such franchise, at Gk aantee e s sole expense, a corporate surety board in ra company approved by, and in a form to be approved day, the City Attorney,, in the amount of $25,000.009 renewable annually, and conditioned upon the faithful performance of Grantee. and upon the further condition that in the event Grantee s ;haall fail to comply with any one or more of the provisions of this Ordinances or of any franchise issued to the Grantee hereunder., there: shall be recoverable ,jointly and severally from the principal and surety of such bend any dzamagee or loss suffered by the City as a result thereof., in- cluding the full amount of any compensation, indemni.ficati.on, or cost of- removal or abandonment of any property of the Grantee as prescribed heresy which may be in default, plus a reasowble allowance for attorneyes fees and costs, up to than full amount of the bond; said condition to be ac continuing ©g4 obligation for the duration of such franchise and thereafter until the Grantee has Uquidated all off its obligations with the City that may have arisen from the acceptance of said franchisee by the Grantee or gram its exercise of any privilege therein granted. The bored shall provide that thirty (30) days prior written notice of intention not to renew, cel- 1 ationa . or material change,, be given to the City. (b) Neither tim provisions of this section,, any baud accepted by the City ptaxau€3ut thereto, nor say damages recovered by the City thereunder,, shall be construed to excuse faithful performance by the Grantee or limit the l iaa. bility of the Gra ntae under any franchise issued hereunder or for dem agar, either in the full amount of the barred or otherwise. SECTION 14. PENAL BOND 2 (a) Grantee shall,) concurrently with the filing of and acceptance. of award of any franchise granted under this Ordinance, file with the City Clark, and yearly thereafter maintain in full force and affect. until the council. determines that the Grantee has prodded service to all areas of the City of San Luis Obispo in accordance with such fsarchiae, sa penal bond in the. amcunt of $10,000.00, in a company approved by, and in a form to be approved by, the City Attorney, payable to the City of Sang Luis Obispo if the council, after public hearing and thirty (30) days notice to the Grantee of the Comcil °s intention to hold such public boating, determines that the Grantee has failed in any material manner to provide service to all areas of the city in accordance with said franchise, (b) Upon Stich determination by the Council as set forth in paragraph (a,) above,, the full Mount of said bond shall be paid to the City as a lanai �amaatna� in addition to any damages recoverable by the City,. SECTION 15. IND IFICATIONi OF THE CM-. (a) The Grantee shell. at all times during the existence of any frwschi.se issued hereunder, maintain its full force and effect, furnish to the Citya and file with the C` -.mcil of the City of San Luis Obispo �Rt &MtSWn cast and axp peases, 9 general comprehensive liability insurance policy. In protection of the City of San Luis Obispop its officerso boards,, c issi.oans. agents and employees, in a company approved by the Catty Administrative Officer and izi a forma satisfactory to than City Attorney, protecting the City and all persons m7,� agaainsat liability for loss car damage for personal injury, death, aaatcd pro-, perty damageb occa clamed by the operations of Grantee under sascb franchise, with minimum liability limits of $1008000000 for personal injury or death of any oaae person and $300,000.00 £air personal injury or death of two or more persons in any one occurrence, and $500000.00 for damage to property resulting from any one cocurrencoo (b) The policies mentioned in the foregoing paragraph shall name the City of Sarin Luis Obispo, its efficerso boards, co maissieamss$ agents and em- ployeesa8 ass additional insured and shall contain a provision that a written notice of any cancellation or reduction In coverage of said policy shall be delivered to the City ten (10) days in advance of the effective date thereof; If such inamraassnce is provided in either case by a policy Ahich also covers Grantee or any other comity or persona than those above named, then such policy shall contain the standard cross-liability endorsement. (c) No franchise granted under this Ordinance shall be effective unless and until each of the .foregoing policies of insurance as re q,tred in this section have been delivered to the City. SECTION 16. im pSC2: am OF PUDPERTT JMD ORDSo At all reaaec aeble times, the Grantee shall permit any duly authorized representative of the City to ek- amino all property of the Grantee, together with any appurtenant property of the Grantee situated within or without the Citys and to amamine and transcribe any and all maps and other records kept or maintained by ' trine Grantee or under its control WK dead with the operations, ;aafasiss. tzrr<.ansact£asus or property of the Grantee with respect thereof. The Grantee shall, at all timesq mdse and deep To the City full and complete plans and records showing the exact location of all CATS' system equipment installed or in use in streets, alleys and public places in the City. The Grantee shall file with the Superintendent of Streetsro on or before the last day in Nhrch of each years as current map or set of saps drams to scale to be desig- nated by the Superintendent of Streets, showing all CATV syntem equipment installed in streets, allays and public places of the City during the prgviousa yeaar. SECTION 13. OPERATIONAL STANDARDS: The CATV ayste„ m shall be installed said maintained in accordance with the highest and best accepted standards of the in- dustry to the effect that subscribers shall receive the highest possible service. WK -r In determining the satisfactory extent of such standards the fcl.lowing 'wi.11 apppiv - (a) The system shall be installed using all -mend equip meat capable of pcssi,ng thb entire VHF said FM opectrms and It shall have the further capa- bility of converting UHF for disttribution to subscribers on the VHF baud, (b) The system, as installede shall be capable of passing standard color TV signals without the introduction of noticeable effects cm color fidelity and intelligence, (c) The system and all.equipment shall be designed and rated for 24- hour-per-day continuous operation, (d) The system signal-'to-noise ratio shall be not less than 46 decibels, (e) H= modulation of picture siSmal shall be less than 5 %, W The system shall, use components having VSWR of 1.4 or leas, (g) Each CATW subscriber shall receive a minimum sill, strer?agth of One Thousand (1.000) microvolts as measurees at the a£atenn a terminal 8 of the television act, The pick-up signal will be located at a point to insure maxim= efficiency for picking up the television signals to be distributed. The picture should be free of Shootings multi -path and man-made interference. Methods of measuring above standrards, where: necessary, will be established by the City Council., (h) In the event the Council determines that the quality of seL -Vice being rendered by the Grantee is not equal to comparable systems delivering service in the State of California, the Granteefl upon written notice from the Council, shall, with due diligence do whatever is necessary to bring its service up to such standards. SECTION 18, MISCE LIMBOS PROVISIONS.* (a) All mAtters herein provided pis b filed widka the City shi11 he filed with the City Clerk. (b) If grantee should fail to operate its system for a period of two (2) years from the date such service begins, the subscribers �aho have pmld'in- stallation charges shall be entitled to, a refused of the Installation urges less 1/24th of each charge for each mouth elapsing from the time service was first started to that subscriber and during which time service was avaollable to hies. Grantee shall maintain in a trust fund,, subject to approval of Citda an amount suffa.cient to pay tbst- patwiOU Of the refund provided for In this Section, '0gd (o) orb* rate schedule for any service agreement or increase thereto to subscribe$aa must bme written approval of the City Cmmcil. (d) The Grantee shall pay to the City a s= of money sufficient to reimburse it for expense Incurred by it in publishing legal, notice and ordinances In connection with the granting of a franchise pursnent to the provisions of this Ordinance; such payment to be made within thirty (30) days after: the City shall furnish such Grantee with a written statement of such expense. (e) The Grantee shall maintain an office within the city limits of the City of San Luis Obispo so that CEsT$ maInten aznce service shall be prompt- ly available to subscribers upon telephone request between the ho4rbb'ok 903 A014, and 6.100 P.H. of each-day that Grantee to trimsmittinng signals to subscribers, (f) The Grantee shall not engage in the business of selling tole-vision or other receivers which make use of signals tran milted by its aystem, nor sbal,l the Grantee engage fn the repair of such receivers or the sale of parts for the amen � .. (g) Tho said CATV system operated by the Grantee shall deliver adequate television signals from at least six (6) televisions stations in additio'aa to Cb=el 6m Channel 3 and any chmmel installed in the San Luis Obispo or Santa Maria area. The application shall set-forth the television stotioays to be delivered. (1) When :,t occurs tIa t there is sLvulta:aeous duplication of the program being broadcast by a local station which is duly licensed by the Federal Communications Commission, and authorized to furnish free tele- vision service to the area within the City limits of San-Luis- Obispo, aud when such programs being duplicated are adenticaLas: -to ,tim a3w provam content, then for that period of time as such duplication exists, the signals of the outlying statioon shall not be transmitted to subscribers of the CENT system and only these sipals broadcast by the local station shall be used by the Grantee to provide service to its subscribers, (h) is Grantee provides any P14 stations. or Stereo. background musi,6 from outside the primary service areal then the Grantee must also marry. ecal FH stations. W10® �) ^she Grantee shall cooperate with the Sara Luis Obispo School Board in providing educatiCongal. televi.alon _;service whhen available to this area. r shall bo­nea notic"bla .degradetkn of any ?Idturaa s't tivJ. received by the GA1v system.. SECTION 19. APPLICATION FOR FRANCHISE: (a) Application fora franchise hereunder shall be filed with the Oity Clerk in a foray Approved by the City and shall contain. the following infor- mation-. W The 'name and address of applicant, (£i).A general description of applicant's proposed CATV operation,) including map of areas to be served, (iii) A statement or schedule in a form approved by the City of pro- posed rates and charges to subscribers for installation and services, which shall not be increased for at least five (S) years, and a copy of proposed service agree=nt between the Grantee and its subscribers shall accompany the application. For unusual eircumstances, such as under- ground cable required, or more than 150 feet of distance from cable to coaaaection of service to subscribers, an additional installFation charge. over thit normally charged for installation: as specified in the appli- caantes proposal may be ehargeds with easements to be supplied by subscribers at no charge. For remote, relatively inaccessible sub- scribers within the City, service will be made available can the basis of cost of materialm, labor© and easements if required. The applicant shall set forth the standards for determining such remote areas, (iv) A statement of the corporate organization of applicant., in- eluding kbe names and addresses of its officers, directors and associates, and also tncluding the names of subsidiary companies with a listing of other areas being served by CATV or similar systems. (v) A statement setting forth all agreements and understandings, whether writteng oral or ipplied, existing between the applicant rand any person, firm, group or corporation with respect to the franchise and the proposed operations. If a franchise is granted to a persons form, group or corporation posing as a front or representative: for another persoan, firm, group of corporation, and such information is not disco closed in the original application, such franchise shall be revoked -11- automatically, and the Council shall consider mkiardins the fr°ancb1se to another qua- eied applicanto (vi) Applicant shall also fmrnitsh as financial statement prepared by a certified public accountant as to the company's or corporaatiorala financial Lability to complete installation and operation of the CATV system. (vii) A statement of proposed percentage franchise payment to the City referred to in Section S of this Ordinance. (b) Upon consideration of any such application® the City Council may grant a franchise for CATV to such applicant as may appear from said appli- cation to be in its opinion beat qualified to reader proper and efficient CATV service to television viewers and subscribers; in the City of San Luis Obispo. The Council's decision in the selection will be final. (c) Any franchiae issued pursuant to this Ordinance shall include the following conditioaas "The CATV system herein franchised shall be used and operated solely and exclusively for the purpose expressly authorized by Ordinance of the City of San Luis Obispo,, and no other purpose whatsoever. " The inclusion of the foregoing statement in any such franchise shall not be deemed to limit the authority of the City Council to include any other. reasonable condition, limitation or restriction which it may deem necessary to impose in connections with such franchise pursuant to the authority con- (erred by this Ordinancev SECTION 20, This Ordinance, together with the ayes and the noes$ shalt be published once in full, at least three days before its final passage, in the Telegram-Tribune, a newspaper published and circulated in said City9 and the same stash go into effect at the expiration of thirty days after its final passage. UVWDUCED AND PASSED TO PRINT this 19th day of November,, 1962 by the fallowing roll call vote AYES 00 Kiss Margaret McNeill R. Lo Graves, 3r,0 Gera i dT .M. Shipse:y. .Clay P. Davidson NOBS* Donald qo Miller pity cl r 4,�® FINALLY PASSED this 1_...17th day of December q IMP by the following roil call vote: ATTEST: AYwSs Clay P. Davidson, Miss Margaret McNeil, R. L. Graves, Gerald W. Shipsey NOES: Donald Q. Miller ABSENT: None '4 0 VIM Nor- Y NOTICE OF PUBLIC HEARING Notice is hereby given that the City Council of the City of San Luis.Obispo'will hold a public hearing on the adoption of a proposed Ordinance to grant a Cable TV franchise in the.City of San Luis Obispo, California. Said hearing will be held at 1:40 P. M. on Monday, November.19, 1962, in the Council Room of 'the City Hall, 990 Palm Street, San Luis Obispo,., California. By order of "the City Council DJ. H. FITZPATRICK . CITY CLERK