HomeMy WebLinkAbout01033 - WARNER CABLE FRANCHISE CABLE TV TELEVISION AMENDMENT NO. 4 to
Community Antenna Television
System Franchise
AGREEMENT AND AMENDMENT
This agreement is made and entered into by and between the
CITY OF PALM SPRINGS, a municipal corporation of the State of
California (hereinafter referred to as "City") and WARNER CABLE
COMMUNICATIONS INC. (hereinafter referred to as "Franchisee")
to amend the Community Antenna Television Franchise granted through
` Ordinance No. 249, and amended by Ordinances Nos . 961 ; 978 and
1112 .
WHEREAS , the City desires to increase the amount of the annual
franchise fee the Franchisee pays to the City from• 3% of gross
subscriber revenues per year derived from regular subscriber
services in the City to 5% of gross subscriber revenues per year
derived from regular subscriber services in the City ; and
WHEREAS , such an increase requires an amendment to the
Franchise, as amended.
NOW, THEREFORE, it is agreed that the first sentence of
paragraph 35 of the Amendment approved on February 27, 1974 _ by
Ordinance No. 961 and further modified by Ordinance No. 978 adopted
November 16, 1974 is changed as follows :
"The annual franchise fee shall be 57o of Franchisee ' s gross
subscriber revenues per year derived from regular subscriber
services in the City . " The following sentence shall also be
inserted immediately following the first sentence : "This annual
franchise fee shall be in lieu of all other City taxes not in
effect upon the date this amendment is adopted by City Council. "
It is understood that , under the terms and conditions of
the Cable Communications Policy Act of 1984, this increase may
be passed along by the Franchisee to its subscribers, in addition
to other rate increases allowed by federal law, and itemized
upon the subscriber ' s billing statement . It is further agreed
that this increase in the franchise fee will become effective
October 1 , 1986 .
This Amendment supplements the Franchise , as amended. It
does not replace or supersede same, ' except as stated herein.
If, and to the extent that any provision of the Franchise as
amended is inconsistent with any provision of this Amendment ,the
provisions of this Amendment shall govern.
EXECUTED by the parties as of the dates indicated.
CITY OF PALM SPRINGS
ATTES w
BY 1-`.. '"�' .%Q.fl/J•W �1 5M1.
CITY MANAGER
JULWA NCR CABAL C Pi CATIONS INC.
DATE U L ", 1 t�'���,v'r) ��'�'��' rt�I� i
WAYN,X R. HILL
APPROVED AS TO FORM: 1
Vic President , Comm. Relations
ITY A ORNEY
ORDINANCE NO, 1267
AN ORDINANCE OF THE CITY OF PALM SPRINGS , CALIFORNIA
FURTHER AMENDING THE FRANCHISE (AS AMENDED) ORIGINALLY
GRANTED BY ORDINANCE NO. 249 FOR A COMMUNITY ANTENNA
TELEVISION SYSTEM,
THE CITY COUNCIL OF THE CITY OF PALM SPRINGS , CALIFORNIA , DOES
ORDAIN AS FOLLOWS :
SECTION 1 . The Community Antenna Television System Franchise
originally granted by the City of Palm Springs by Ordinance No .
249 , adopted July 9 , 1952 , and thereafter amended by Ordinance
No. 961 , adopted February 27 , 1974 , and by Ordinance No . 978 ,
adopted November 6 , 1974 and by Ordinance No . 1112 , adopted June
18 , 1980 , is hereby further amended in those respects set forth
in a document entitled "Amendment No . 4 to Community Antenna
Television System Franchise" , which document is on file in the
office of the City Clerk, and by this reference is incorporated
herein .
SECTION 2 . This Ordinance shall be in full force and effect
thirty (30) days after passage.
SECTION 3 . PUBLICATION. The City Clerk is hereby ordered and
directed to certify to the passage of this Ordinance , and to
cause same or a summary thereof or a display advertisement , duly
prepared according to law , to be published in accordance with
law .
ADOPTED this 2nd day of July 1986
AYES : Councilmembers Apfelbaum, Birer, foster, Smith and Mayor Bogert
NOES : None
ABSENT : None
ATTEST: CITY OF PALM SPRINGS , CALIFORNIA
By s/Judith Sumich s/ F. M. Bogert
City Cleric Mayor
REVIEWED & APPROVED
AMENDMENT NO . 3 TO COMMUNITY ANTENNA
TELEVISION SYSTEM FRANCHISE
This Agreement is made and entered into by and between
the City of Palm Springs , a municipal corporation of the State
of California, hereinafter referred to as CITY, and Warner-Amex
Cable Communications, Inc . , hereinafter referred to as FRANCHISEE•',
to amend the Community Antenna Television System Franchise granted
through Ordinance No. 249 , and amended by Ordinances Nos . 961 and
978 , and Resolution No . 13168 .
1 . PURPOSE OF AMENDMENT--WAIVER.
The purpose of this Amendment is to effect voluntary
deregulation of the rate setting function under said Franchise
as amended, as an alternative to the deregulation provided for
in Government Code Section 53066 . 1 . This Amendment further pro-
vides for the availability to subscribers of CATV services at
least equivalent to, or better than, those required by Government
Code Section 53066 . 1, and at the same time provides certain penalty
provisions for the protection of subscribers, equivalent to the
penalty provisions of Government Code Section 53066 .1. In con-
sideration of this Amendment, Franchisee waives any other or
different rights or privileges which it otherwise might have or
enjoy under or pursuant to Government Code Section 53066 . 1.
2 . AMENDED RATE SCHEDULE .
The rate schedule heretofore in effect, set forth in Ex-
hibit C to the document entitled "Amendment to Franchise, " adopt-
ed by reference by Ordinance No. 961 on February 27 , 1974 , is
hereby amended in the following particulars :
"I . HOMES, CONDOMINIUMS , BUSINESS ESTABLISHMENTS AND
INDIVIDUALLY-BILLED RESIDENTIAL APARTMENTS AND
TRAILER AND MOBILE HOME PARKS
B. Service Charges
Primary Outlet $105 . 00 per year
Secondary T.V. & F.M. Outlet $ 36 . 00 per year
The ' tenant subscriber' deposit is increased to $17. 50 .
II . HOTELS, GROUP-BILLED APARTMENTS AND HOSPITALS
C. Monthly Service Charges
Minimum of six units, when contracted for a
minimum of three years and carried as one ac-
count.
1 . 6 to 10 units $7 . 60 each per month
2 . 11 to 50 units $6 . 98 each per month
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3. 51 to 100 units $6 . 34 each per month
4 . All over 100 units $5 . 71 each per month
Where service is subscribed for 100% of the
Units in a hotel, group-billed apartments and
hospitals and carried as one account under a
minimum 3 year contract, the subscriber will
be allowed. an additional discount of 250 off
the above rate schedule.
III . GROUP BILLED TRAILER AND MOBILE HOME PARKS
B . Service Charges
1 . Contracts with Parks (Carried as One Account)
a. $105 . 00 per trailer per year less 250
where service is subscribed for 100% of
the Units in a Trailer Park and carried
as one account under a minimum 3 year
contract. "
In all other respects said schedule of rates shall remain
in full force and effect, except as the same may hereafter be modi-
fied pursuant to the Franchise as amended.
The foregoing amendments to the rate schedule shall take
effect August 1 , 1980 , and said rate schedule, as so amended, shall
serve as the basis for future modifications of rates as provided
herein.
3. DEREGULATION OF RATE SETTING.
Section 9 of the "Amendment to Franchise" adopted by re-
ference by Ordinance No. 961 , on February 27 , 1974 , is hereby
rescinded, and the following is substituted therefor:
"9 (a) The Franchisee may establish and maintain and from
time to time adjust a schedule of charges to subscribers
for connecting to its Community Antenna Television System
and for basic services provided by it; provided, however,
that no section or individual charge listed on said sche-
dule shall be changed more often than once each twelve months .
The charge made by the Franchisee for connecting to its
system and/or for any particular service or combination of
services shall be uniformly applicable to its subscribers
within the franchise area. No increase in the rates and
charges of the Franchisee for basic cable services shall
exceed seventy-five (750) of the percentage increase in the
Consumer Price Index, as hereinafter defined, for the period
since the date of the last rate increase as of the inception
of this amendment. A copy of such schedule setting forth
the rates and charges of the Franchisee shall be filed with
the City at least sixty (60) days before such schedule be-
comes effective.
The term 'Consumer Price Index' as used herein shall
mean the Consumer Price Index for the Los Angeles-Long
Beach-Anaheim Metropolitan Area, All Urban Consumers ,
All Items, 1967 = 100 . Such index is published by the
United States Department of Labor on or about the 25th
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day of each month for the preceding month. Thus,
the latest Consumer Price Index available at any
given time is approximately two months in arrears.
The requirement, above stated, of 60 days advance
filing of any schedule of adjusted rates will have
the result that the Consumer Price Index used to
compute the maximum allowable increase will be the
figure approximately four months prior to the effective
date of such increase. For example, the Consumer
Price Index figure to be used as the previous index
number in computing the first allowable increase
after August 1 , 1980, will be the Consumer Price In-
dex number for April , 1980 . To compute the maximum
allowable increase at any time that a rate increase
is permitted hereunder, subtract the previous Con-
sumer Price Index number from the latest available
Consumer Price Index number; divide the resulting
sum (index point difference) by the previous Consum-
er Price Index number; multiply the resulting sum
by . 75 ; then multiply that resulting figure by the
existing rate. The result, rounded to the nearest
penny, is the maximum allowable increase of rate for
basic services .
(b) For the purposes of this Franchise, as amended,
basic or 'regular ' cable services to subscribers are
the charges for connection to the system, and delivery
of broadcast signals , those public access services set
forth in Paragraph 17 of the 'Amendment to Franchise '
adopted by Ordinance No . 961 , and such services as may
in the future be required on the system by the FCC .
Basic or ' regular' services exclude , without limitation,
such auxiliary services as pay cable, leased channels
and data transmission. "
4 . TIERED SERVICE-AUXILIARY SERVICES .
Franchisee shall at all times provide or make available
twenty or more channels to the cable television subscriber. The
charge to the subscriber for "basic services" as defined above,
shall include availability of at least twelve such channels .
Franchisee shall be entitled to charge such additional fees or
charges as it deems appropriate for any additional channel or groups
of channels , but no subscriber shall be required to subscribe to any
such additional channel or group of channels as a condition of re-
ceiving basic cable services .
5. SERVICE COMPLAINTS--PENALTIES .
I£ a subscriber files in writing with the City Manager, or
such person as may be designated by the City Manager, a complaint
for a service problem which is preventable and reasonably within the
Franchisee ' s control, and if Franchisee fails within a reasonable
period following receipt of written notice by City to remedy the
problem, the City, acting through the City Manager or his designee,
may levy a penalty of up to $500 for any occurrence or series of
related occurrences. If the Franchisee objects in writing to the
assessment of such penalty, or to the amount thereof, such objection
shall be submitted to the City Council for determination. The de-
cision of the City Council shall be final.
Franchisee shall provide written notice to each subscriber
at intervals of not more than one year, of the sanctions provided
in this section, and of the procedure for reporting and resolving
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subscriber complaints , including the subscriber' s right to com-
plain in writing to the City Manager or his designee of the
Franchisee ' s failure to resolve a service complaint which is
preventable and reasonably within the Franchisee ' s control . The
proper address of the City Manager or his designee to which com-
plaints may be directed shall be included in such notice.
6 . EFFECTIVE DATE--ADOPTION BY ORDINANCE .
Regardless of the date of execution of this Agreement by
either of the parties , and regardless of the date of approval
thereof by the City Council , this Agreement and Amendment shall
become effective only upon the effective date of an ordinance to
be adopted by the City Council incorporating this Amendment by
reference.
7. FRANCHISE AS AMENDED CONTINUES IN FORCE ,
This Amendment supplements the Franchise as amended. It
does not replace or supersede same, except as stated herein. If,
and to the extent that any provision of the Franchise as amended
is inconsistent with any provision of this Amendment, the provisions
of this Amendment shall govern.
8 . SE'VERABILITY.
If any provision of the Franchise, as amended, or the
application thereof to any person or circumstance, is held invalid,
the remainder of the Franchise and Amendment and the application of
such provision to any other person or circumstance shall not be
affected thereby and to this end the provisions of the Franchise,
as amended, are declared to be severable .
9 . PUBLICATION COSTS .
The Franchisee shall assume all reasonable costs , as
itemized, for the publication, printing and distribution of this
Amendment.
EXECUTED by the parties as of the respective dates indi-
cated.
ATTEST \ CITY OF PALM SPRINgS, CALIFORNIA
._.DEPUTY CITY CLERK CITY MAN GEA � R
WARNE EX CBLE �{COMMUNICATIONS, INC.
fl 1{
Date ( ,' s' /`O %"� / (.J By �a �' n.
APPROVED AS TO FORM:
w LIAM J. ADAMS ;ti" tii. e',. �'?1W,x.. .,�_1 {o,._
City Attorney cl
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so so
ORDINANCE NO . 1112
AN ORDINANCE OF THE CITY OF PALM SPRINGS,
CALIFORNIA FURTHER AMENDING THE FRANCHISE
(AS AMENDED) ORIGINALLY GRANTED BY ORDI-
NANCE NO. 249 FOR A COMMUNITY ANTENNA
TELEVISION SYSTEM.
THE CITY COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA,
DOES ORDAIN AS FOLLOWS :
SECTION 1. The community antenna television system franchise
originally granted by the City of Palm Springs by Ordinance No.
249 , adopted July 9 , 1952 , and thereafter amended by Ordinance
No . 961 , adopted February 27 , 1974 , and by Ordinance No. 978 ,
adopted November 6 , 1974 , and by Resolution No . 13168, adopted
November 21 , 1979 , is hereby further amended in those respects
set forth in a document entitled "Amendment No. 3 to Community
Antenna Television System Franchise," which document is on file
in the office of the City Clerk, and by this reference is in-
corporated herein.
SECTION 2 . EFFECTIVE DATE . This Ordinance shall be in full
force and effect thirty (30) days after passage.
SECTION 3 . PUBLICATION . The City Clerk is hereby ordered and
directed to certify to the passage of this Ordinance, and to cause
same or a summary thereof or a display advertisement, duly prepared
according to law, to be published in accordance with law.
ADOPTED this 18th day of June , 1980 .
AYES : Councilmembers Beirich, Rose and Mayor Doyle
NOES : Councilmembers Field & Ortner
ABSENT: None
ATTEST: CITY OF PALM SPRINGS, CALIFORNIA
BY s/J. Sumich s/John F. Doyle
Deputy City Clerk Mayor
REVIEWED & APPROVED �
11 a
RESOLUTION NO. 13168
OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS ,
CALIFORNIA, CONSENTING TO A CHANGE OF OWNERSHIP
OF THE COMMUNITY ANTENNA TELEVISION SYSTEM FRAN-
CHISE, AS AMENDED.
WHEREAS, the City Council granted a franchise for a Community
Antenna Television (CATV) System by Ordinance No . 249 in 1952 ;
and
WHEREAS , said franchise was amended by Ordinance Nos . 961 and
978 in 1974 by an agreement with Warner-CCC Inc . , the fran-
chisee, which subsequently, in 1978 , changed its name to Warner
Cable Corp. without any change in ultimate control; and
WHEREAS, the amended franchise provides that there shall be no
transfer of ultimate control of the franchisee, nor shall the
franchise, as amended, be assigned to any entity other than the
one under the same ultimate control of franchisee without re-
ceipt of prior consent from the City Council following a public
hearing on the matter; and
WHEREAS , pursuant to provisions of said franchise, the City
Council has been asked to grant consent to a transaction whereby
American Express Company will purchase 50 per cent of the stock
of Warner Cable Corp. , a wholly owned subsidiary of Warner
Communications, Inc. , and Warner Cable Corp . will be renamed
Warner Amex Cable Communications , Inc. ; and
WHEREAS , the City Council has held a duly noticed public hearing
on the subject transaction; and
WHEREAS , the Council has determined that the proposed transac-
tion will not negatively affect the legal , financial , technical
or any other public interest qualities of the franchisee in per-
forming the obligations of the CATV franchise, as amended.
NOW THEREFORE BE IT RESOLVED that consent required pursuant to
paragraph 32 of the franchise agreement dated February 13 , 1974 ,
amending the CATV franchise granted by Ordinance No . 249 is
hereby granted for the proposed purchase by American Express
Company from Warner Communications , Inc . of 50 per cent of the
stock of Warner Cable Corp. (to be renamed Warner Amex Cable Com-
munications, Inc. ) .
ADOPTED this 21st day of November , 1979 .
AYES : Councilmembers Doyle, Field, Rose and Mayor Beirich
NOES : None
ABSENT: Councilmember Beadling
ATTEST: CITY OF PALM SPRINGS , CALIFORNIA
DONALD A. BLUBAUGH
City Clerk
By s/J• Sumich s/Dallas J. Flicek
Deputy City Clerk Acting City Manager
REVIEWED & APPROVED , i
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b�1p1p
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VMaRNER CABLE
Bernard M.Simon Warner Cable Corp
Vice Presidenr & 75 Rockefeller Plaza
Assistant Controller New York, New York 10019
212 484 6800
Cable Address:Warncable
January 17, 1978
City Clerk
Palm Springs, California 92262
Dear Sir or Madam:
This is to advise you that Warner-CCC Inc., the cable
television franchisee in Palm Springs, has changed its name to Warner
Cable Corp. Accordingly, Warner Cable Corp. (formerly called
Warner-CCC Inc.) is the franchisee in Palm Springs.
There has been no change in management, control, or final
ownership as a result of this name change and Warner Cable Corp., of
course, accepts the terms of the franchise and agrees to perform all
the conditions thereof.
Very truly yours,
Bernard M. Simon
Vice President &
Assistant Controller
AWarner Communications Company
AGREEMENT and AMENDMENT
This is an agreement between the CITY OF PALM
SPRINGS , a municipal corporation of the State of California
(hereinafter referred to as "City") and WARNER-CCC INC.
(hereinafter referred to as 11Franchisee") to amend the Palm
Springs CATV Franchise , as amended.
WHEREAS the Franchise , as amended, is inconsistent
with standards of the Federal_ Communications Commission regard-
ing the franchise fee and franchise duration; and
WHEREAS the City and Franchisee wish to further amend
the Franchise , as amended, so as to be consistent with such
standards of the Federal Communications Commission ;
NOW THEREFORE, it is agreed that the first sentence
of paragraph 35 of the Amendment approved by the City on
February 13 , 1974 is changed as follows : "The annual franchise fee
shall be 3% of Franchisee 's gross subscriber revenues per year
derived from regular subscriber services in the City. " Paragraph
29 of said Amendment is hereby changed as follows : "The Franchise ,
as amended, shall continue for a period of 15 years from the date
of FCC certification of this Amendment. " It is understood that
inasmuch as the said Franchise , as amended, was originally granted
by ordinance , it will be necessary for City to further implement
this amendment by adopting the same by another ordinance.
EXECUTED by the parties as of the respective dates
indicated.
ATTEST CITY OF PALM SPRINGS , CALIFORNIA
C. _ y
BY , �, L,LC(_ ���7.c.�� J-�L B
DEPUTY CITY CLERK; CITY MANAGER
WARNER-CCC INC.
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Date
"Senior Vice President
APPROVED BY THE CITY COUNCIL ` PPRIQVED) A$ . O Fo�l"'In :
BY RESOLUTION NO. 11217 ONC
10-16-74. OT1f
RESOLUTION NO. 11217
OF THE CITY COUNCIL OF THE CITY OF PALM
SPRINGS APPROVING AN AGREEMENT WITH
WARNER-CCC INC. RELATING TO AN AMENDMENT
TO THE CATV FRANCHISE GRANTED BY ORDI-
NANCE NO. 249 , AS AMENDED , AND APPROVING
AND ORDERING INTO EFFECT THE FRANCHISE
AMENDMENT AGREED TO.
r
WHEREAS , the present franchise holder, Warner-CCC Inc. , and
the City executed an Amendment to the CATV franchise , which Amend-
ment was approved by the City on February 13 , 1974;
WHEREAS , said Amendment is inconsistent in two respects
with applicable standards of the Federal Communications Commission; and
WHEREAS , this City Council desires to further amend the
Franchise , as amended, so as to make it consistent with such standards
of the Federal Communications Commission;
NOW THEREFORE , BE IT RESOLVED by City Council of the City
of Palm Springs that the Agreement and Amendment attached hereto is
approved, and the City Manager is authorized to execute the same for
and on behalf of the City.
ADOPTED this lyth day of October 1974.
AYES : Councilmen Beirich, Field, Garcia, Schlecht, & Mayor Foster
NOES : None
ABSENT: None
ATTEST: CITY OF PALM SPRINGS , CALIFORNIA
By S/J. Srmich S/]]onald A. Blubaugh
Deputy City Clerk City Manager
REVIEWED & APPROVED /( G 6
Warner-CCC Inc - agr to implement-
amend to 3 249 re Cable TV
AGREEMENT F11033 (Orig 2-13-74)
AGREEMENT Res #10995, 2-13-74
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This is an agreement between the CITY OF PALM
SPRINGS, a municipal corporation of the State of California
(hereinafter referred to as "City") and WARNER-CCC INC. j
(hereinafter referred to as "Franchisee") . i
WHEREAS Franchisee is the successor in interest to I
the franchise granted by City by its Ordinance No. 249,
adopted July 9 , 1952; and
WHEREAS extensive negotiations have taken place
concerning amending the said franchise in many respects,
in a manner mutually acceptable to City and Franchisee;
NOW THEREFORE, it is agreed that City may proceed
to issue and order into effect an amendment to the said
franchise, in the form and content as set forth in the
attachment hereto. It is understood that the various por-
tions of the amendment will take effect at the times stated
therein (upon the amendment being approved by resolution of
the City Council of City) , and that thereafter, inasmuch as
the said franchise was originally granted by ordinance, it
will be necessary for City to further implement the amend-
ment by adopting the same by another ordinance.
EXECUTED by the parties as of the respective
dates indicated.
/ g /' CITY OF PALM SPRINGS, CALIFORNIA
Date 117Y BY
' CITY 114MASER
i
WARNER-CCC INC.
Date �2�? 7 /°f7 BY<-� ' , i:c2 ;\1_ /14
�i „✓L , c_
C�
Senior Vice President
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NV;
Amendment to Franchise Adopted
July 9 , 1952 , Effective August 8, 1952
Through Ordinance 249, Article 29 . 1
1. The City of Palm Springs , California, by its Council
("Issuing Authority") , hereby issues and grants to Warner-
CCC Inc. (the "Franchisee") an amendment to a community
antenna television system franchise adopted on July 9, 1952
and made effective August 8, 1952 through Ordinance 249.
The within document is hereinafter referred to as the
"Amendment" and the original franchise as the "Franchise"
for the City of Palm Springs, California (the "City") and
for any area added thereto during the term of the Franchise,
as amended. The Franchise and this Amendment collectively
are sometimes called the "Franchise, as amended" . Franchisee
is the successor in interest to the original Franchise and
presently operates the cable television system in the City
(the "System") .
2. This paragraph, paragraph 3 , paragraphs 9 and 10, and paragraph 42
shall become effective thirty days after exccution hereof.
All other portions of the Amendment shall become effective
on the date of final certification by the- Federal Communica-
tions Commission ("FCC") as to this Amendment, as to which
appeal may not be taken; until such time the Franchise shall
continue in full force and effect without alteration. The
City shall not amend the Franchise Prior to FCC certification
except as contemplated in this paragraph and paragraph 42.
If for any reason the FCC should refuse to grant certification
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to this Amendment, the Issuing Authority shall, within
thirty (30) days after said refusal, amend this Amendment
so as to bring it into full conformity with FCC rules and
policies as articulated by the FCC in the certification pro-
ceeding , to enable the FCC to expeditiously grant certification;
no amendments shall be made at that time except as may be nec-
essary to bring this Amendment into conformity with legal require-
ments necessary for certification. such FCC refusal may
be indicated by formal. notification to the Franchisee in
the form of a letter or memorandum opinion and order or
otherwise. The City and Franchisee shall both cooperate with
each other in the diligent prosecution of the certification
application so as to obtain certification as expeditiously
as possible.
3. Within eighteen (18) months from the effective date hereof '
Franchisee shall complete construction and installation of
an upgrade of approximately 42 miles of plant in the areas
shown on the map attached hereto as Exhibit A with 30
channel cable (without convertors) equipped for one-way ser-
vice; provided, however, that if Franchisee does not have the
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equipment on hand in the City to enable it to construct
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and install said upgraded plant, an additional 90 days
beyond the aforesaid eighteen month period will be allowed
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for delivery of equipment. Within twelve months from the
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date of completion of the foregoing approximately 42
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miles of upgrading, Franchisee shall complete construc-
tion and installation of an upgrade of approximately 85
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miles of plant in the areas shown on the map attached hereto
as Exhibit B with 20 channel cable (without convertors)
equipped for one-way service; provided, however, that if
Franchisee does not have the equipment on hand in the City
to enable it to construct and install said upgraded plant, an
additional 90 days beyond the aforesaid twelve month period
will be allowed for delivery of equipment. Upon completion
of the upgrading as set forth in the two preceding sentences
the entire System, as upgraded, shall thus have a minimum
of 20 channel capacity, without convertors, available for
potential use for the totality of cable services to be'
offered. Franchisee may, if it wishes, complete the upgrading
on a more expedited schedule than set forth herein, and although
Franchisee is not bound to such an expedited schedule it has
indicated that it may proceed in such a manner. The require-
ments of this paragraph shall be contingent upon Franchisee' s
obtaining all necessary rights and cooperation expeditiously
•,•.ern rental i�
from lUl:al utility CC.,iul^iu;a 7.22 :u d A� na y^.. _i ," nPnt$
(including but not limited to the City as to all areas re-
quiring permits from the City) which rights and cooperation
shall be expeditiously sought by Franchisee, and upon other
circumstances beyond Franchisee' s control (i.e. , inclement
weather, equipment deliveries, strikes) not presenting undue
delays. All construction not delayed or materially impaired
by any of the foregoing contingencies shall proceed in due
course according to the foregoing schedules. All material
delays shall be reported as expeditiously as possible to
the Issuing Authority. In the upgrading of the System set
forth above the following shall be applicable:
(a) In areas of the City having telephone lines
and electric utility lines underground, all of Franchisee' s
lines, cables and wires shall be underground, and existing
poles for electric and communications purposes shall be
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utilized for Franchisee' s lines, cables, wires and other r
equipment wherever reasonably possible.
Issuing Authority will assist Franchisee in all possible ways to
conclude successful negotiations with the electric and telephone
companies as such negotiations become necessary and will assist,
as may be necessary, in expediting necessary utility rights and
cooperations, all to the end of expeditiously effecting the
System upgrade.
(b) Whenever Franchisee takes up or disturbs any
pavement, sidewalk, or other improvement of any public way
or public place, the same shall be accomplished and re-
placed in accordance with the City rules , regulations,
laws and ordinances in effect on the date of such taking
up or disturbing. If the Franchisee fails to make such res-
toration within a reasonable time, the Issuing Authority
may fix a reasonable time for such restoration and repairs
and shall notify Franchisee in wining of the restoration
and repairs required and the time fixed for performance
thereof. Upon failure of Franchisee to comply within the
time specified, the Issuing Authority may cause proper
restoration and repairs to be made and the reasonable
expense of such work, as :itemized, shall be paid by
Franchisee upon demand by the Issuing Authority.
(c) The Franchisee' s distribution system in the public
streets shall comply with all applicable laws, regulations
and ordinances, and all its wires and cables suspended from
poles in the streets shall comply with the minimum clear-
ances above ground required for telephone lines, cables,
wires and conduits.
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(d) Franchisee shall on the request of any private
party holding an appropriate permit issued by the City i
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temporarily raise or lower its lines to permit the moving
of any building or other structure, and the actual expense
of the same shall be paid by the party •requesting the same.
(e) Franchisee shall , at its expense, protect, sup-
port, temporarily disconnect, relocate in the same street
or other public place or City property, or remove from the
street or other public place or City property, any property
of Franchisee when required by the Issuing Authority or its
designee by reason of traffic conditions , public safety,
street construction, change: or establishment of street grade,
installation of sewers, drains , water pipes, power lines,
signal lines, and tracks, or any other type of structures
or improvements by public agencies.
(f) It is understood that the City shall have the right
to attach to any pole erected by Franchisee and to place in
any of Franchisee' s conduits , its own facilities to be used
for fire, police and other governmental communications pur-
poses where space permits. All such placements by the City
shall be in conformity with all applicable rules and regula-
tions, shall cause no additional expense to Franchisee
(that is , all costs for such placements by the City shall
be borne by the City) , and such placements by the City shall
not interfere with the routine operation by Franchisee of
its System.
(g) Franchisee shall reimburse the City at cost
for any reasonable expense, as itemized, caused by
relocation of any fire alarm cable to make poles ready
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for Franchisee ' s cable. The City shall complete such
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relocation in such a manner so as to not delay Fran-
chisee ' s construction schedule.
4 . Franchisee shall, _at all times, employ ordinary care
and shall install and maintain in use commonly accepted
methods and devices for preventing failures and acci-
dents which are likely to cause damage, injury, or
nuisance to the public or to employees of Franchisee.
5. Franchisee shall install and maintain its wires, cables,
fixtures , and other equipment in accordance with the
requirements of the Electrical. Code of the Issuing Au-
thority, and in such manner that they will not unduly
interfere with any installations of the Issuing Authority
or any public utility.
o. True and a,."....,:t^. maps of all existing and proposed
installations will be filed with the Issuing Authority
by Franchisee no later than March 1 annually.
7 . Franchisee shall indemnify and hold the City harmless at
all times during the term of the Franchise, as amended,
from any and all claims for injury and damage to persons
or property, both real and personal, caused by Franchisee ' s
installation, operation, or maintenance of any structure,
equipment, wire or cable authorized to be installed pur-
suant to the Franchise, as amended. Upon receipt of no-
tice in writing from the Issuing Authority, Franchisee
shall, at its own expense, defend any action or proceed-
ing against the City in which it is claimed that personal
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injury or property damage was caused by activities of
the Franchisee in the installation, operation or main-
tenance of the System. j
8. Franchisee shall carry insurance in companies satisfactory k,
to the Issuing Authority indemnifying the City and itself
from and against any and all claims for injury or damage
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to persons or property, both real and personal, caused by
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the construction, installation, operation or maintenance j
of any structure, equipment, wires or cables authorized
or used pursuant to the Franchise, as amended. The amount
of such insurance against liability for damage to property
shall not be less than two hundred thousand ($200, 000)
dollars as to any one accident. The amount of such insur-
ance for liability for injury or death to persons shall not
be less than three hundred thousand ($300, 000) dollars on
account of injury to or death of any nuriber of persons in
any one accident.
9 . No change in rates to subscribers beyond those set forth in
the rate schedule attached hereto as Exhibit C may be made
except as authorized by the Issuing Authority after an appro-
priate public proceeding affording due process. Regulation of
rates hereunder shall be limited exclusively to charges for basic
cable services to subscribers . For the purposes of this Franchise ,
as amended, basic (or "regular") cable services to subscribers
are the delivery of broadcast signals, those public access
services set forth in paragraph 17 , and such services as may
in the future be required on the System by the FCC and they
exclude, without limitation, such auxiliary services as pay
cable, leased channels and data transmission. At all times
rates charged by Franchisee shall be reasonable and adequate
in view of Franchisee' s investment and costs of operation
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and shall compensate Franchisee for, and be consistent
with, increased capital expenditures (including, without
limitation, those required herein) and operating costs
(including, without limitation, increased costs due to in-
flation and increased pole attachment rates) incurred by
Franchisee.
10. Section 9 of the Franchise is rescinded.
11. As expeditiously as possible after receipt of subscriber
complaints regarding the quality of service, equipment
malfunctions and similar matters, Franchisee shall investi-
gate such complaints and resolve them to the extent reason-
ably possible, and complaints will be received on a twenty-
four hour basis over a publicly listed telephone number.
The Franchisee shall maintain records of all complaints
reported which shall be available for inspection by the City
during regular business hours.
12 . The Franchisee shall respond to all service calls within
twenty-four (24) hours (assuming there are no circum-
stances beyond its control preventing same) and correct
malfunctions as promptly as possible. For that purpose,
the Franchisee shall maintain an office and a competent
staff of employees in the City sufficient to provide adequate
and prompt service to its subscribers, and no charge shall be
made to the subscriber for service calls.
13. Except where there exists an emergency situation necessitating
a more expedited procedure, the Franchisee may interrupt ser-
vice, for the purpose of repair or upgrading of the System,
only during periods of minimum use, and only after forty-
eight (48) hours minimum notice to subscribers.
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14 . The Issuing Authority shall ensure that all subscribers have
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recourse to a satisfactory hearing of any complaints where
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there is evidence that the Franchisee has not settled the
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complaint to the satisfaction of the person initiating the
complaint, The Issuing Authority will work closely with
the Franchisee and members of the public to establish pro-
cedures for handling and settling complaints.
15. Franchisee shall not engage directly or indirectly in the
business of selling, installing, servicing, or repairing
television or radio sets , although it is understood adjust-
ments may be made in the course of normal operations.
16. The second paragraph of Section 4 of the Franchise is rescinded
insofar as it may prevent "pay cable" or auxiliary services
for which a specific charge is made to subscribers . Payments
to the City under Paragraph 35 hereof shall not include gross
revenues from such special services (subject to the first
sentence of Paragraph 18 hereof) ,
17 . Within sixty (60) days after final FCC certification as to
which appeal may not be taken, Franchisee shall provide
public access studio space and channel time for public access
during such time as any channel is not carrying broadcast
programming. Franchisee shall provide and maintain the
following access equipment: two black and white cameras,
two video tape machines, three microphones, a portable
lighting kit, and associated equipment at Franchisee' s dis-
cretion. If it appears that: there is no substantial response
to public access programming (in terms of usage and viewing) ,
Franchisee shall, with the consent of the Issuing Authority,
be free to discontinue public access services until such time
as it appears that there is substantial demand for it in the
City. If there is substantial receptivity in the City to
public access in terms of usage and viewing, then Franchisee
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and the Issuing Authority shall consult with each other
with respect to additonal funds to Franchisee for increased
and improved access services and facilities. . The access
studio will be maintained (on a non-technical basis) and €'
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supervised by an adequate and responsible staff of volunteers
whose assistance will be elicited through the offices of the
Issuing Authority, and the provision of public access as
provided herein is contingent; on such maintenance and
supervision. Franchisee shall provide technical supervision 1
of equipment.
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18. Franchisee shall use its best efforts to make pay cable, ad-
ditional programming, and other auxiliary services available
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in the City at as early a time as possible to those subscribers
who are willing to pay the fair and established rates for such
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services , provided that such services are economically and
to hnically fe cihle (in li ing, without limitation, any S
franchise fees on pay cable which may in the future ,be per-
mitted by rule of the FCC) , all in the sole determination of
Franchisee. Subject to the foregoing, Franchisee shall give
priority consideration to the System in determining which of
its systems shall provide pay cable services and shall not
unreasonably withhold pay cable services from the System. If f
in the future, other systems of Franchisee receive pay cable
services and the System does not, Franchisee shall submit its
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reasons therefor in writing to the Issuing Authority.
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19 . Throughout the term of the Franchise, as amended, Franchisee
shall maintain the System in good order and operating con-
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dition and shall maintain and render to the City and to the
public adequate, reasonable and efficient service. Minimum
technical performance standards for the System, as upgraded,
as of the time the total System upgrade is completed (such
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upgrading as set forth in paragraph 3 above) shall comply
with or exceed all FCC standards and shall be in conformity
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with the specifications set forth in Exhibit D attached hereto.
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20 . The Issuing Authority and Franchisee recognize that there is
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a serious problem as to the quality of the microwave common
carrier services received by the System, and Franchisee
shall use its best efforts in obtaining improved microwave
service so that by December 31, 1974 , the quality of signals
received by Franchisee ' s headend equipment will be substantially
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equal in quality to the signals transmitted by the originating
stations. Franchisee shall submit quarterly status reports
to the Issuing Authority as to its progress in resolving this
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problem, and it will comply with all reasonable suggestions
made by the Issuing Authority regarding resolution of the
problem.
21 . Franchisee shall comply at all times with all applicable
Federal, State, City, and County laws, and all executive and
administrative orders, relating to nondiscrimination. Franchisee
shall make a positive effort to hire qualified minority employees
and subcontractors and shall not use discriminatory practices.
Nothing in this provision shall be interpreted as prohibiting
the establishment of a graduated scale of charges and classified
rate schedules to which any subscriber or programmer included
within a particular classification shall be entitled.
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22. Franchisee shall extend cable service to new subdivisions , sim-
ultaneously with electric power and telephone utilities , and the
other areas including City blocks , streets , and highways , whenever
there exist at least 60 potential subscribers (i. e. dwelling units)
within an area requiring a maximum total increase of one (1) mile of
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cable, notwithstanding any requirement to install new poles
or provide underground facilities. Cable service shall be
extended as set forth above within six (6) months after a
request therefor, provided, however, that this time re-
quirement is contingent upon Franchisee' s obtaining all
necessary rights and cooperation expeditiously from local
utility companies and governmental departments and upon
other circumstances beyond Franchisee' s control (i. e. ,
inclement weather, equipment deliveries, strikes) not pre-
venting undue delays. The foregoing shall in no way pro-
hibit Franchisee from extending its plant into any portion
of the City as it deems feasible.
23. As technically and economically feasible, Franchisee shall
provide interconnection facilities to interconnect the
System with any -o all other Cable Systems in the area, or
elsewhere, upon the directive of the Issuing Authority. Such
interconnection facilities may be effected by direct cable
connection, microwave link, satellite, or other appropriate
and reasonable method. Such interconnection facilities may
be required for one, several, or all channels of the System.
Upon receiving such directive, Franchisee shall not unreason-
,'_ ably impede interconnection if other systems express a
willingness to share the costs of such interconnection. Upon
receiving the directive of the Issuing Authority to inter-
connect, Franchisee shall immediately initiate negotiations
with the other affected system or systems in order that costs
may be shared equally for both construction and operation of
the interconnection link. Franchisee shall not be unreason-
ably required to interconnect by the Issuing Authority.
Reasonableness shall be determined by, but not be limited to,
such factors as interconnection being performed by similar
systems , costs, recoupment by Franchisee of additonal costs
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through rate increases, and demand by existing and potential
subscribers for such interconnect services. Franchisee shall
cooperate with any interconnection corporation, regional
interconnection authority, or County or State regulatory
agency which may be hereafter established for the purpose
of regulating, facilitating, financing, or otherwise providing
for the interconnection of cable systems beyond the boundaries
of individual political jurisdictions.
24. There shall be no charge for disconnection of any installation
or outlet. If any subscriber fails to pay a properly due
monthly subscriber fee, or any other properly due fee or
charge, Franchisee may disconnect the subscriber' s service
outlet. Such disconnection shall not be effected until sixty
(60) days after the due date of said delinquent fee or
charge, or until ten (10) days after adequate written notice
of the intent to disconnect has been delivered to the sub-
scriber in question. After disconnection, upon payment in full
of the delinquent fee or charge and the payment of the appro-
priate reconnection charge, Franchisee shall promptly rein-
state the subscriber' s cable service.
25. If Franchisee fails to provide any regular material service
requested by a subscriber or programmer to which it is en-
titled as a class and for which it has paid, Franchisee
shall, after adequate notification and being afforded the
opportunity to provide the service, promptly refund all
deposits or advance charges paid for the service in question
by said subscriber or programmer.
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26. The Franchisee shall maintain separate financial records re-
flecting its basic cable operations in the City. Interest
shall be the actual cost to the System, from bona fide third
party lenders , of the specific funds employed in the basic
cable operations in the City, and all taxes shall be those
normally and specifically applicable to the financial results of
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basic cable operations in the City. Such records shall be used
for such financial purposes as , without limitation , examining
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and determining economic feasibility and the setting of subscriber
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rates under the terms of the Franchise , as amended. In addition ,
Franchisee shall maintain separate financial records re-
flecting any auxiliary services in the City. The Issuing
Authority shall have the right to inspect at any time
during normal business hours , all books, records, maps,
plans, income tax returns, financial statements, and other
like materials of the Franchisee which relate to all its
cable service operations in the City. Access to the
aforementioned records shall not be denied by the Franchisee
on the basis that said records contain "proprietary" in-
formation. In addition, copies of all reports and other
documents filed with the FCC and other regulatory agencies
directly relating to the System shall be filed with the
Issuing Authority within thirty (30) days of such other filing.
27. Franchisee shall provide one free cable drop, one free
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regular outlet and free regular service to each of the
following buildings located along the routes of the System
serving paying subscribers: police and fire stations, public
libraries, up to ten (10) other public buildings designated
in writing by the Issuing Authority, and each public and
private school through the secondary level. now existing.
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28. The Issuing Authority may create, at any time, a community
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advisory board, vesting it with authority to create policy
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and/or regulate on-going matters concerning administration of
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the System, as well as other matters related to the Franchise,
as amended, subject to the Issuing Authority' s ultimate
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authority and approval as set forth in the Franchise, as
amended, and as otherwise is required by law. The advisory
board may deal with consumer complaints, the common carrier
problems, monitoring prohibition rules, and recommendations
for staff and consultants, and it may also be the duty of
said board to provide and gather information regarding
the public ' s interest in cable participation and/onto
establish guidelines , all subject to the ultimate approval.
of the Issuing Authority. Subject to appeal to, and the
authority of, the Issuing Authority, the Franchisee shall
recognize the community advisory board as vested with the
powers and rights of the Issuing Authority.
29, The Franchise, as amended, shall continue for a period of
fifteen (15) years from March 31, 1977. At the expiration
of the franchise term, the Franchise may be renewed, upon
approval after the exercise of due process in a full public
proceeding by the Issuing Authority, for consecutive ten-
year periods , so long as substantial performance of the terms
thereof are continued by the Franchisee, and subject to all
Federal and other governing regulations.
30. As necessary to aid in the analysis of all matters relative
to the renewal of the Franchise, as amended, the Issuing
Authority, in cooperation with the Franchisee, shall be
entitled to employ the services of a consultant during
the six (6) month period prior to expiration of the Franchise,
as amended. All reasonable fees of the consultant incurred
by the Issuing Authority in this regard, not to exceed
$10, 000, shall be equally borne by the Issuing Authority
and the Franchisee, regardless of the outcome of any specific
matter under consideratiQn.
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31. Nothing in the Franchise or this Amendment shall limit or
in any way alter the right of the City to acquire Franchisee' s
assets of the System by condemnation, exercise of rights of
eminent domain, or otherwise, as may now or in the future
be permitted by law, for such value as is now or may be
permitted by law. The provisions of Section 7 of the
Franchise shall be retained in their entirety and shall
continue in full force and effect. The Issuing Authority
acknowledges that Franchisee is executing this Amendment,
is upgrading the System as provided. in Paragraph 3, is
accepting the rates set forth in Exhibit C, and is to
provide those major market services as are set forth
herein with the understanding that it will at all times be
treated reasonably and fairly by the Issuing Authority. If
the Issuing Authority attempts to exercise such rights of
condemnation or efftinenL duyi,aii7 notwithstan d in^ thl"^
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herein to the contrary, all obligations of Franchisee under
this Amendment shall terminate and its obligations will be
solely pursuant to the Franchise; provided, however, that
its obligations under this Amendment directly relating to
the requirements of FCC Rule 76 . 31 shall continue in effect
throughout the tern of the Franchise, as amended.
32. Without the prior consent of the Issuing Authority, which
shall not be unreasonably withheld, there shall be no
transfer of ultimate control of Franchisee, nor shall the
Franchise, as amended, be assigned to an entity other than
one under the same ultimate control as Franchisee. Any
action of the Issuing Authority under this section shall
not be unduly delayed, and if final action is not forth-
coming within forty-five (45) days after written application
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for consent is made, there shall be presumed a grant of said
application. The rights and obligations of Franchisee under.
this Franchise, as amended, must and shall accrue to its
successors and assigns. A determination under this paragraph
shall be made by the Issuing Authority at a public hearing
after appropriate notice thereof and shall consider whether
said transfer or assignment will affect the legal, character,
financial, technical and other public interest qualities of
Franchisee or its successor in performing the obligations
of the Franchise, as amended. If the Issuing Authority shall
find that said transfer or assignment is not in the public
interest the consent of the Issuing Authority shall not be
issued, and in the event the transfer or assignment has taken
place the provisions of paragraph 33 shall be applicable.
33. Except as set forth in paragraph 34 , the Franchise, as
amended, may be revoked by the Issuing Authority only after
hearing and only in the event that:
(a) Franchisee violates any material provision of
the Franchise, as amended, or practices any fraud or deceit
on the Issuing Authority; or
(b) The Franchisee becomes insolvent, unable or un-
willing to pay its debts, or is adjudged a bankrupt.
Prior to any hearing Franchisee shall be given sixty (60)
days notice in writing, by certified mail, which notice shall
state with particularity the grounds upon which the Issuing
Authority relies. Said hearing shall be ordered if, at the
end of the sixty (60) day period, Franchisee has not cured the
matter which provides grounds for revocation, or has not
.taken reasonable steps within, and in light of, said time
period toward the curing of said matter. Any such hearing shall be
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a full public proceeding in which due process is exercised.
Section 11 of the Franchise is rescinded.
34 . The Issuing Authority shall have the right to revoke the
Franchise, as amended, one hundred and twenty (120) days
after the appointment of a receiver, or trustee, to take
over and conduct the business of the Franchisee, whether
in receivership, reorganization, bankruptcy, or other
action or proceeding, unless such receivership or trustee-
ship shall have been vacated prior to the expiration of
said one hundred and twenty (120) days, or unless :
(a) Within one hundred and twenty (120) days after
his election or appointment, such receiver or trustee shall
have fully complied with all the provisions of the Franchise,
as amended, and remedied all defaults thereunder; and
(b) such receiver or trustee, within said one hundred
and twenty (120) days, shall have executed an agreement,
duly approved by the court having jurisdiction in the matter,
whereby such receiver or trustee assumes and agrees to be
bound by each and every provision of the Franchise, as
amended.
35. The annual franchise fee shall be 4% of Franchisee' s gross .
subscriber revenues per year derived from regular subscriber
.e services in the City. Payments due the Issuing Authority
under this provision shall be computed quarterly, for the
preceding quarter, as of March 31, June 30, September 30,
and December 31.. Each quarterly payment shall be due and
payable no later than thirty (30) days after the dates listed
in the previous sentence. Each payment shall be accompanied
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by a verified report showing the basis for the computation
and such other reasonable facts relevant to the report as
may be required from time to time by the Issuing Authority.
Sections 2 and 12 of the Franchise are hereby rescinded.
36 . (a) Annual Report - No later than March 31 of each
year, the Franchisee shall submit a written report to the
Issuing Authority which shall include : (1) a summary of
the previous year' s activities in development of the System
including but not limited to services begun or dropped,
subscribers gained or lost; (2) a financial statement in-
cluding a statement of income, a balance sheet and a. state-
ment of sources and applications of funds based on the records
contemplated in the first sentence of Paragraph 26 hereof;
(3) a current statement of cost of construction by component
category; (4) a summary of complaints , identifying in a general.
manner the number and nature of complaints and their disposition;
(5) a list of officers and members of the board of the Franchisee
and its parent corporation; and (6) a list of all stockholders
who have acquired three percent (3o) or more of the voting
stock of the Franchisee during the calendar year. If directed
by the Issuing Authority, the Annual Report shall. be presented
at a public meeting at which the Franchisee shall summarize
the contents of the report and members of the general public
may comment thereon.
(b) Annual Plant Survey Report - The Franchisee shall
prepare and submit, by March 31 of each year after completion
of the upgrading set forth in Paragraph 3, a plant survey re-
port to the Issuing Authority. The purpose of the report
shall be to ensure the Issuing Authority that the technical
standards of the System, as upgraded, contemplated by
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paragraph 19 of this Amendment are being maintained. Such
plant survey shall include such data and shall be conducted
in conformance with such requirements as are set forth in
Exhibit D.
(c) General Reports -• The Franchisee shall prepare and
furnish to the Issuing Authority, at the times and in the
form prescribed by the Issuing Authority, such reports with
respect to its operation, affairs , transactions, or property,
as may be reasonably necessary or appropriate to the per-
formance of any of the rights, functions or duties of the
Issuing Authority in connection with this Franchise, as
amended, and as may not be unreasonably burdensome to
Franchisee.
37. Except for internal usage with regard to the operation of the
System and with regard to employees and dgen Ls Of rrancii.i See,
Franchisee shall not sell, or otherwise make publicly avail-
able, any list which identifies, by name, subscriber viewing
habits , to any person, agency, or entity, for any purpose
whatsoever, without the specific authorization of the
Issuing Authority, expressed by resolution, after a public
hearing which shall be announced by written notice published
in a newspaper of general circulation at least ten (10) days
before the date of the hearing.
38. Except for the purpose of conducting surveys and experiments
with the express written consent of subscribers, neither
Franchisee nor any agent of Franchisee shall monitor, or
arrange for the monitoring of, any cable, line, signal input
device, or subscriber outlet or receiver for any purpose
whatsoever, without the specific authorization of the Issuing
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Authority, expressed by resolution, after a public hearing
which shall be announced by written notice published in a
newspaper of general circulation at least ten (10) days
before the date of the hearing.
39 . This Amendment is granted with the understanding that the
Franchise, as amended, will be in compliance with all rules
and regulations of the FCC and all other known rules and reg-
ulations in force and effect upon the date hereof or which
may hereafter be in force and effect during the period for
which this license is granted. Any modifications of the pro-
visions of Section 76. 31 of the Rules of the FCC resulting
from amendment by the FCC shall be incorporated into the
Franchise, as amended, within one (1) year of adoption of
the modification, or at the time of renewal of the Franchise,
as amended, whichever occurs first.
40. This Amendment supplements the Franchise and does not replace
or supersede same, except as stated hei`ein. If, and to the
extent that, any provision of the Franchise is inconsistent
with any provision of this Amendment, the provisions of this
Amendment shall govern.
41. If any provision of the Franchise, as amended, or the applica-
tion thereof to any person or circumstance, is held invalid,
the remainder of the Franchise and Amendment and the applica-
tion of such provision to any other person or circumstance
shall not be affected thereby and to this end the provisions
of the Franchise, as amended, are declared to be severable.
42. The Issuing Authority acknowledges that Franchisee is executing
this Amendment and undertaking the expansive upgrading called
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for in this Amendment and those major market services as
are required herein only with the Issuing Authority' s commit-
ment that if this Amendment or any portion thereof is . found
invalid or ineffective, Franchisee will continue to possess
full rights under the Franchise and all valid portions of
this Amendment and that Franchisee will be entitled, upon
request by it to the City, to immediately obtain from the
City an amendment to this Amendment which brings the Amend-
ment into full conformity with all applicable laws; no amend-
ments shall be made at that time except as may be necessary
to bring this Amendment into such legal conformity.
43. The Franchisee shall assume all reasonable costs, as
itemized, for the publication, printing and distribution of
this Amendment.
44 . Franchisee shall be required to provide continuous service
to all subscribers in return for payment of the established
charges. If the Issuing Authority revokes or fails to renew
the Franchise, the Franchisee is required as part of the
Franchise, as amended, to continue to operate the System
for a reasonable period of time (not to exceed six months
after all rights of appeal, have been exhausted) until an
orderly and lawful change of operation is effectuated and
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to possess, during such interim period, all rights of
ownership of the operating System, such as the collection
of charges hereunder. In the event the Franchisee fails
to operate the System for twenty-four (24) consecutive hours,
except for reasons beyond its reasonable control, without
prior approval of the City Council, or the Franchisee fails
to continue operation on the occurrence of any of the events
given in the second sentence of this section, the City of. Palm
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Springs or its agent shall have the right to operate the
System until. such time as Franchisee resumes operation or a
new operator is selected. If the City is required to fulfill
this obligation for the Franchisee, the Franchisee shall
reimburse the City for any net costs incurred by the City
for operating the System as a result of Franchisee' s failure
to operate the System as required (with Franchisee otherwise
retaining, however, all revenues accruing during such period,
and retaining other previously existing rights of ownership) .
45. Section 15 of the Franchise is rescinded, and the right to
place wires, conduits and appurtenances for the System along
or across the public streets, highways, alleys, public pro-
perties, or public easements, pursuant to the Franchise, as
amended, shall not be exclusive and the City of Palm Springs
reserves the right to grant a similar use of public property
to any person, company, corporation, or other entity, at any
time during the period of the Franchise, as amended.
46 . All notices hereunder shall be by certified mail, and shall be
sent to the following:
If to Franchisee, to:
Norman Smith, Manager
Warner Cable of Palm Springs
1050 N. Palm Canyon Drive
Palm Springs, California 92262
Edward J. DeMarco
Senior Vice President
Warner Cable Corporation
75 Rockefeller Plaza
New York, New York 10019 '
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Aaron I. Fleischman
Senior Vice President and Genera]. Counsel
Warner Cable Corporation
75 Rockefeller Plaza
New York, New York 10019.
If to the Issuing Authority, to:
City Manager
City Hall
3200 Tahquitz-McCallum Way
Palm Springs, California 92262.
This Amendment is issued after twelve months of exhaustive
investigation and analysis by the Issuing Authority, with the
agcici;annc pf i }c f'a hle T.1Pvici n Coj ii-f-PP _ ga i_n hnw rghlP
O.. 11.m. _
television can best serve the needs and interests of the public
and the City. The Committee' s findings and recommendations
have been regularly reported to the Issuing Authority and the
public during said twelve month period and the results thereof
are reflected herein. Among the matters explored and ascertained
by the Issuing Authority as part of its full public proceeding
affording due process to the public and the Franchisee are the
needs and interests of the public as to rates charged, as to
the System' s operations, and as to the quality of cable tele-
vision service offered and improvements for the future; the
franchise fees collected by the Issuing Authority and the Issuing
Authority' s control over cable television operations ; and the
legal, character, financial, technical and other qualifications
of Franchisee, the adequacy and feasibility of its construction
and operating plans and Franchisee' s ability to fully meet .the
needs and interests of the public and the City. On the basis
of the foregoing this Amendment is approved and ordered this
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13th day of February, 1974 , at a public meeting of the
City Council, preceded by notice as required by law.
CITY OF PALM SPRINGS, CALIFORNI�f
BY
CITY MANAGER
R
DEPUTY CITY MRI{
Consent and approval is hereby given to the foregoing
Amendment, and it is accordingly accepted by Franchisee.
WARNER-CCC INC.
l
Senior Vice President
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RESOLUTION NO. 10995
OF THE CITY COUNCIL OF THE CITY OF PALM
SPRINGS APPROVING AN AGREEMENT WITH
WARNER-CCC INC. RELATING TO AN AMENDMENT
TO THE CATV FRANCHISE GRANTED BY ORDI-
NANCE NO. 249; AND APPROVING AND ORDER-
ING INTO EFFECT THE FRANCHISE AMENDMENT
AGREED TO.
WHEREAS, extensive negotiations have taken place concerning
amending the existing CATV franchise originally granted by
Ordinance No. 249, adopted July 9 , 1952; and
WHEREAS, the present franchise holder, Warner-CCC Inc. has,
on February 6, 1974 executed the Agreement attached hereto,
for the issuance of an amendment to the said Franchise, in
the form and content as set forth in the attachment to the
Agreement; and
WHEREAS, this City Council has considered the said Agreement
and the form and content of the proposed franchise amend-
ment;
NOW THEREFORE, BE IT RESOLVED by City Council of the City of
Palm Springs that the Agreement attached hereto is approved,
and the City Manager is authorized to execute the same for
and on behalf of the City; and the CATV franchise amendment
attached to said Agreement is hereby approved and ordered,
and the City Manager is further authorized to sign the same
for and on behalf of the City.
ADOPTED this 13th day of February, 1974 .
AYES: Councilmen Beirich, Foster, Garcia, Schlecht & Mayor Wiefels
NOES: None
ABSENT: None
ATTEST: CITY OF PALM SPRINGS, CALIFORNIA
By s1J. Sumich s/Donald A. Blubaugh
Deputy City Clerk City Manager
REVIEWED & APPROVED
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EXHIBIT A & B
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Exhibit A: All areas that are shaded yellow
Exhibit B : All areas that are shaded orange
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EXHIBIT C
I. HOMES - RESIDENTIAL APARTMENTS - BUSINESS ESTABLISHMENTS
A. Installation Charges
Overhead $35.00
Underground . $35,00 where owner installs conduit .
Underground Where Palm Sprinrs Television Company
installs conduit. Subscriber pays the
basic wiring charge of $35,00 plu^
actual cost for labor and materials
plus 25% for overhead and supervision
involved in completing underground
installation,
Reconnect $10,00
Additional Outlets $10.00 each
Relocate $10,00
F, 14. Outlet $10,00
B. Service Charges
Master Outlet $84.00 per year
Additional Outlet $12. 00 per year per outlet
Note : If the customer is a tenant subscriber, a $14 .00 Deposit
will be required. This deposit will be applied to
payment of the llth and 12th month service charges.
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EXHIBIT C
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II. HOTELS
A. Installation Charges
Master Outlet $35.00
Additional Outlets $10.00 each
Where simultaneous installations of 5 or more connections
at same address is required, subscriber has option to pay
for same at cost of labor and materials plus 25% for
overhead and supervision.
B. Monthly Service Charges
Where contracted for a minimum of one year and carried
as one account.
1. Master or lst Unit $7.00
2. Next 2 to 10 Units $5.00 each
3. Next 11 to 50 Units $4.50 each
4. Next 51 to 100 Units $4.00 each
5. Next 101 to 150 Units $3.59 each
6. Next 151 to 200 Units $3.00 each
7. Next 201 to 250 Units $2.50 each
8. All over 251 Units $2.00 each
9. Additionals in Same Unit $2.00 each
Where service is subscribed for 1000 of the Units in a
Hotel and carried as one account under a minimum 3 year
contract, the subscriber will be allowed an additional
discount of 25% off the abovd rate schedule.
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EXHIBIT C
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III . TRAILER PARRS
A. Installation Char}res
17 Wiring of the individual trailer spaces , either
overhead or underground, at our cost plus 25% for
overhead and supervision. These charges to be paid
.by the owner or operator of the Trailer Park.
a. Connection and / or reconnection charge —
$10.00 per unit.
B. Service CharCes
17 Contracts with Individual Tenants.
a. $69.00 yearly service charge paid in advance
or $14.00 Deposit and $7 .00 per month.
2. Contracts with Parks (Carried as one Account)
a. $69.00 per trailer per year less 10%
when paid in advance for First 100 Units .
Discount of 20% allowed for all additional
Unitas.
IV. LINE or CABLE EXTENSIONS .
Normal installations include 100 feet of cable from existinr_c
distribution lines.
The subscriber requesting an extension beyond this distance
shall pay the actual cost of such extension.
GENERAL PROVISICNS :
1. All Subscribers must execute written contracts before instal—
lation or service will be provided.
2. Installation and monthly service charges are payable in advance.
3. Installation charges may be financed through several available
plans .
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EXHIBIT B
Table E-1
Suggested Technical Specifications
1. Minimum visual sync tip level 0 dBmV at 75 ohms
2. Maximum visual sync tip level +14 dBmV at 75 ohms
3. Maximum amplitude, difference
between visual carriers 6 MHz
apart 3 dB
4. Maximum amplitude difference
between any visual carriers 12 dB
5. Minimum aural/visual ratio -13 dB
6 . Maximum aural/visual ratio -17 dB
7. Maximum FM station amplitude -7 dBmV
S. Minimum FM station amplitude -20 dBmV
9. Amplitude variation (Frequency
Response) within any TV channel +1,5 dB (-. 5 MHz to +4 MHz
of visual carrier
10. Visual carrier to noise ratio(1) 43 dB (for downstream link)
11. Cross-modulation ratio (per NCTAI -51 dB
12. Visual carrier to coherent dB Location
spurious signal ratio (2) -40 1. 1 MHz below visual
carrier
-60 At visual carrier
-60 1. 5 MHz above visual
carrier
-59 At color subsariier
-46 . 7 MHz above color sub-
carrier
13. Hum variation 2% (-34 dB)
14. Ghosting Perceptability "'Mertz Curve" - Reflection
to be no greater than -2 dB
at 20 nanoseconds to -40 dB
at 3000 nanoseconds
15. Envelope delay variations ±200 nanoseconds referenced
to 3. 58 MHz
16 . Visual frequency accuracy t25 KHz; +250 KHz for
converter
17. Aural carrier Frequency 4 . 5 MHz + 1 KHz above visual
carrier
18. Isolation (subscriber tot
subscriber) (3) 28 dB
19. Radiation Up to 54 MHz 15uV/M @ 100 '
54 to 216 MHz 20uV/M @ 10 '
Above 216 MHz 15uV/M @ 100 '
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(1) The visual carrier to noise ratio shall be a
minimum of 43dB for those distribution lines that
feed from trunk lines that have 20 or less trunk
amplifiers in cascade. For those distribution
lines that are fed from trunk lines that have more
than 20 trunk amplifiers in cascade, the C/N shall
be a minimum of 40dB.
(2) In the event a harmonically related headend is used
in the future, these specifications will no longer be
directly applicable and will require renegotiation to
specify equivalent performance.
(3) Subscriber to subscriber isolation shall be 28dB. This
specifically will apply throughout the system with
exception that taps which have been installed by
March 1, 1974 and which provide at least 24dB subscriber
to subscriber isolation, need not be replaced if no
problems due to tap to tap isolation are observed in
the T.V. picture performance. All new tap installations
and all replacements of existing taps will meet the
28dB specification.
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