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HomeMy WebLinkAbout99-083 - ResolutionsRESOLUTION NO. 99-083 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA AUTHORIZING THE RENEWAL OF A CABLE TELEVISION FRANCHISE AGREEMENT BETWEEN THE CITY AND AMERICAN CABLE ENTERTAINMENT COMPANY, LLC THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA DOES FIND, DECLARE, AND RESOLVE AS FOLLOWS: SECTION 1. This resolution is adopted in consideration of the following facts and circumstances: A. American Cable Entertainment Company, LLC, a Delaware limited liability company doing business as American Cable Entertainment ("Franchisee"), is the duly authorized holder of a franchise ("Franchise") that authorizes the construction, operation, and maintenance of a cable television system within the City of Rancho Cucamonga ("Franchise Authority"). B. By its terms, the Franchise will terminate in its entirety on April 17, 2000. C. Negotiations between the Franchise Authority and the Franchisee commenced in late 1998. In addition, City staff conducted inquiries for the purpose of evaluating the future cable-related community needs and interests and the cable operator's performance under the existing Franchise. A new agreement has been negotiated entitled "An Agreement between the City of Rancho Cucamonga and American Cable Entertainment Company, LLC, Renewing a Non-Exclusive Franchise to Operate a Cable Television System in the City of Rancho Cucamonga and Setting Forth Terms and Conditions Relating to the Renewal of the Franchise" ("Franchise Renewal Agreement"). A copy of the Franchise Renewal Agreement is attached as Exhibit 1 to this resolution. D. The Franchise Authority has reviewed the present and future cable-related needs of the community and its residents, the Franchisee's record of service and its ability to carry out its obligations under the Franchise Renewal Agreement, and the Franchisee's financial, legal, and technical qualifications to hold and to operate a cable television franchise, and has determined that the public interest would be served by authorizing the Franchise Renewal Agreement. This determination is based upon the following findings: Resolution No. 99-083 Page 2 SECTION 2. SECTION 3. SECTION 4. SECTION 5. (1) The Franchisee has substantially complied with the material terms of the existing Franchise and with applicable law; (2) The quality of the Franchisee's service, including signal quality, response to consumer complaints, and billing practices, but without regard to the mix, quality, or level of cable services or other services provided over the system, has been reasonable in light of community needs; (3) The Franchisee has the financial, legal, and technical ability to provide the services, facilities, and equipment as set forth in the Franchise Renewal Agreement attached as Exhibit 1; and (4) The Franchisee's performance of the obligations set forth in the Franchise Renewal Agreement will reasonably meet the future cable-related community needs and interests, taking into account the cost of meeting those needs and interests. The Franchise Authority authorizes the renewal of a nonexclusive franchise with the Franchisee to construct, operate, and maintain a cable television system within the City. This authorization is made in accordance with the applicable provisions of Title 7 of the Rancho Cucamonga Municipal Code, the applicable provisions of state and federal law, and the terms and conditions of that certain Franchise Renewal Agreement attached as Exhibit 1 to this resolution. Franchisee will reimburse the Franchise Authority for all costs and expenses reasonably incurred by the Franchise Authority's staff in connection with the negotiation, drafting, and processing of the Franchise Renewal Agreement; provided, however, that those costs and expenses will not exceed the sum of $10,000.®, and will be set forth in an itemized statement transmitted by the City Manager, or the City Manager's designee, within 30 days after the effective date of this resolution. That certain Franchise Renewal Agreement attached as Exhibit 1 to this resolution is authorized and approved, and the Mayor is authorized to execute that agreement on behalf of the Franchise Authority following its execution by the Franchisee. The City Clerk is directed to certify to the adoption of this resolution and to transmit a certified copy to Day L. Patterson, Esq., Senior Vice President and General Counsel for the Franchisee at Four Landmark Square, Suite 302, Stamford, Connecticut 06901. Resolution No. 99-083 Page 3 PASSED, APPROVED, AND ADOPTED this 7th day of April, 1999. AYES: NOES: None ABSENT: None ABSTAINED: None ATTEST: Alexander, Biane, Curatalo, Dutton, Williams William J. A~~n~er, Mayor I, DEBRA J. ADAMS, CITY CLERK of the City of Rancho Cucamonga, California, do hereby certify that the foregoing Resolution was duly passed, approved and adopted by the City Council of the City of Rancho Cucamonga, California, at a regular meeting of said City Council held on the 7th day of April, 1999. Executed this 8th day of April, 1999, at Rancho Cucamonga, California. Debra J. Adams,H~;MC, City Clerk Resolution No. 99-083 Page 4 AMERICAN CABLE ENTERTAINMENT COMPANY (ACE) Renewing a non-exclusive franchise to operate cable television CO 99-052, 0602-01 Resolution No. 99-083 Page 5 AN AGREEMENT BETWEEN THE CITY OF RANCHO CUCAMONGA AND AMERICAN CABLE ENTERTAINMENT COMPANY, LLC, RENEWING A NON-EXCLUSIVE FRANCHISE TO OPERATE A CABLE TELEVISION SYSTEM IN THE CITY OF RANCHO CUCAMONGA AND SETTING FORTH TERMS AND CONDITIONS RELATING TO THE RENEWAL OF THE FRANCHISE. Resolution No. 99-083 Page 6 TABLE OF CONTENTS Page RECITALS .......................... 1 RENEWAL OF FRANCHISE .................. 2 1.1. Parties to the Agreement ............ 2 1.2. Representatives of the Parties and Service of Notices ..................... 2 1.3. Definitions ................... 3 1.4. Conflicts .................... 3. 1.5. Grant ...................... 3 1.6. Right of Grantor to Issue and Renew Franchise 3 1.7. Effective Date of Renewal ............ 4 1.8. Duration .................... 4 1.9. Franchise Not Exclusive ............. 4 1.10. Scope of the Franchise ............. 4 GENERAL REQUIREMENTS .................. 2 1 Governing Requirements ............. 2 2 Franchise Fee .................. 2 3 Payment to Grantor ............... 2 4 Insurance Requirements ............. 2 5 Performance Bonds ................ 2 6 Periodic Adjustments .............. RIGHTS RESERVED TO THE GRANTOR ............. 10 3.1. Reservation ................... 10 3.2. Delegation of Powers .............. 10 3.3. Right to Inspect Construction .......... 10 3.4. Right to Require Removal of Property ...... 10 3.5. Right of Intervention .............. 10 5 0 SYSTEM UPGRADE AND SPECIAL SERVICES .......... 11 4.1. 4.3. 4.4. 4.5. 4.6. 4.7. Upgrade ..................... 11 Notices Relating to Cable Television System Upgrades .................... 11 Outlets for Public Buildings .......... 11 Emergency Alert Capability ........... 12 Parental Control Devices ............ 12 Technical Standards ............... 13 No Offset Against Franchise Fees ......... 13 SERVICES, PROGRAMMING, AND CONSUMER PROTECTION STANDARDS 13 5.1. Rates and Charges for Cable Services and 5.2. 5.3. 5.4 5 5 5 6 5 7 5 8 5 9 5 10. Equipment ................... 13 Discounts for Senior Citizens .......... 14 Leased Channel Service ...... . . · ' .... 14 Nondiscrimination ................ 14 Billings to Subscribers ............. 14 Termination of Residential Service ....... 15 Annual Subscriber Notice ............ 15 Consumer Protection Standards .......... 15 Service Interruptions .............. 15 Entry on Private Property ............ 15 -i- Resolution No. 99-083 Page 7 5.11. Privacy Rights of Subscribers .......... 15 SUPPORT OF LOCAL CABLE USAGE .............. 15 DESIGN AND CONSTRUCTION ................ 7.1 7 2 7 3 7 4 7 5 7 6 7 7 7 8 7 9 16 System Construction and Extension ........ 16 Construction Components and Techniques ..... 17 Technical and Performance Standards ....... 17 Construction Codes ............... 17 Construction Default .............. 17 Vacation or Abandonment ............. 17 Abandonment in Place .............. 18. Removal of System Facilities .......... 18 Movement of Facilities ............. 18 10. Undergrounding of Cable ............. 18 11. Facility Agreements ............... 18 12. Repair of Streets and Public Ways ........ 19 13. Erection of Poles Prohibited .......... 19 14. Reservation of Street Rights .......... 19 15. Miscellaneous Design and Construction Requirements .................. 19 PERFORMANCE AUDITS AND TECHNICAL DATA ......... 21 8.1. Annual Audit of Performance ........... 21 8.2. System Testing and Technical Data ........ 22 8.3. Emergency Repair Capability ........... 23 REVOCATION, TERMINATION, OR FORFEITURE ......... 23 9.1. Revocation ................... 23 9.2. Grounds for Revocation, Termination, or Forfeiture ................... 23 9.3. Removal of Property ............... 24 10. RECORDS; REPORTS; RIGHT TO INSPECT AND AUDIT; EXPERTS 10 1 10 2 10 3 10 4 10 5 10 6 10 7 10 8 10.9 10.10. Retention of Experts ............. 25 Grantee to Provide Records ........... 25 Records ..................... 25 Maintenance and Inspection of Records ...... 25 Reports of Financial and Operating Activity . 25 Performance Tests and Compliance Reports .... 26 Additional Reports ............. 26 Communications with Regulatory Agencies ..... 26 Inspection of Facilities ............ 27 Right to Audit ............... 27 27 11. ENFORCEMENT PROCEDURES ............... 28 11.1. Notice and Hearing upon Grantee's Default .... 28 11.2. Delegation .................... 29 11.3. Stop Work Notice ................ 29 11.4. Authorized Fines, Penalties, and Other Sanctions .................... 29 12. CONTINUITY OF CABLE TELEVISION SYSTEM SERVICES ..... 30 12.1. Continuity of Service .............. 30 12.2. Operation and Management By Grantor ....... 31 999~17 11211-00001 ~yC 0593890 Resolution No. 99-083 Page 8 13. MISCELLA/~EOUS PROVISIONS ................ 31 13.1. Assignment, Transfer, Sale, and Change of Control ..................... 31 13.2. Force Majeure .................. 33 13 3 13 4 13 5 13 6 13 7 13 8 13 9 13 13 13 13 Possessory Interest ............... 33 Indemnification ................. 33 Receivership and Foreclosure .......... 34 Conflict of Interest .............. 34 Resolution of Disputes ............. 35 Waiver by Grantor ................ 35 Severability .................. 35 10. Amendments ................... 35 . 11. Binding Upon Successors ............. 35 12. Counterpart Execution .............. 35 13. Applicable Law ................. 35 t4. DEFINITIONS ....................... 36 15. AUTHORITY AND EFFECTIVE DATE .............. 40 15.1. Authority .................... 40 15.2. Effective Date ................. 40 EXHIBIT A TITLE 7 OF THE RANCHO CUCAMONGA MUNICIPAL CODE AS ADOPTED AND IN EFFECT ON THE EFFECTIVE DATE OF FRANCHISE RENEWAL ............. A-1 EXHIBIT B OWNERSHIP ................... B-1 EXHIBIT C DESCRIPTION OF THE FRA/4CHISE SERVICE AREA C-1 EXHIBIT D GRA/qTEE'S TECHNOLOGY IMPLEMENTATION PLAN D-1 EXHIBIT E CONSUMER PROTECTION ST~_NDARDS ......... E-1 EXHIBIT F SUPPORT OF LOCAL CABLE USAGE ......... F-1 SCHEDULE 1 to EXHIBIT F .................. SF-1 -iii- 11231-00001 $yC 0593890 2 Resolution No. 99-083 Page 9 FRANCHISE AGREEMENT THIS FRANCHISE AGREEMENT ("Agreement") is entered into this day of , 1999, at Rancho Cucamonga, California, by the City of Rancho Cucamonga, a municipal corporation of the State of California ("Grantor"), and American Cable Entertainment Company, LLC, a Delaware limited liability company doing business as American Cable Entertainment {"Grantee"). RECITALS A. In accordance with Title 7 of the Rancho Cucamonga Municipal Code, California Government Code Section 53066, and the Cable Communications Policy Act of 1984, as amended (47 United States Code Sections 521 e__% Seq.), Grantor is authorized to grant or renew a franchise for the construction, operation, and maintenance of a cable television system within the City of Rancho Cucamonga. B. Grantee currently operates and maintains a cable television system in the City of Rancho Cucamonga under the authority of Title 7 of the Rancho Cucamonga Municipal Code ("Title 7") and a nonexclusive franchise agreement that was originally executed on or about April 17, 1985, and was thereafter amended and transferred to Grantee. Grantee has requested a renewal of that franchise, which will terminate on April 17, 2000. C. In connection with Grantee's request for franchise renewal, Grantee has offered to upgrade its cable television system by installing fiber optic lines and other enhancements and has offered to provide improved services to the Grantor and to Grantee's customers, including upgraded public, educational, and governmental facilities and services. D. Grantor and Grantee have negotiated the terms of the franchise renewal, which are set forth below, in accordance with applicable law, and Grantee has agreed to comply with the provisions of this Agreement and Title 7, as it now exists and as it may be amended in the future. A copy of Title 7 is attached as Exhibit A and incorporated by this reference. E. The Grantor's City Council has reviewed the present and future cable-related needs of the Grantor and its residents, the Grantee's record of service and its ability to carry out its obligations under this Agreement; and the Grantee's financial, legal, and technical qualifications to hold a cable television franchise, and has determined that the public interest would be served by renewing Grantee's franchise subject to the terms and conditions of this Agreement and the provisions of Title 7. 1 990117 11231-00001 syc 0593890 2 Resolution No. 99-083 Page 10 NOW, THEREFORE, in accordance with the provisions of Title 7 and this Agreement, Grantor grants to the Grantee, and Grantee accepts from the Grantor, a renewal of a cable television franchise. 1. RENEWAL OF FRANCHISE. 1.1. Parties to the A~reement. The parties to this Agreement are: (a) Grantor: The City of Rancho Cucamonga, a municipal corporation, having its principal office at 10500 Civic Center Drive, Rancho Cucamonga, California 91729. (b) Grantee: A~nerican Cable Entertainment Company, LLC, a Delaware limited liability company doing business as American Cable Entertainment, with ownership as set forth an the attached Exhibit B that is incorporated by this reference, and having a local office at 4240 North Hallmark Parkway, San BernardinO, California 92407. 1.2. Representatives of the Parties and Service of Notices. The representatives of the parties who are primarily responsible for the administration of this Agreement, and to whom notices, requests, demands and other communications must be given, are as follows: (a) The principal representative of the Grantor is: City Manager Rancho Cucamonga City Hall 10500 Civic Center Drive Ranch Cucamonga, California 91729 (b) The principal representative of the Grantee is: General Manager American Cable Entertainment 4240 North Hallmark Parkway San Bernardino, California ~24~7 The Grantor must also send a copy of notices, requests, deraands and other communications to: Mr. Bruce A. Armstrong President and Chief Executive Officer American Cable Entertainment Four Landmark Square, Suite 302 Stamford, Connecticut 06901 and 2 990317 11231-00001 gyc 059]890 2 Resolution No. 99-083 Page 11 American Cable Entertainment Attn: Law Department Four Landmark Square, Suite 302 Stamford, Connecticut 06901 (c) Notices, requests, demands, and other communications to be given by either party must be in writing and may be effected by personal delivery, by overnight courier, by first class mail, or by certified mail, return receipt requested. (d) If the name of the principal representative or other recipients designated to receive the notices, requests, demands, and other communications, or the address of those persons, is changed, written notice must be given at least five working days before the effective date of that change. 1.3. Definitions. Unless otherwise defined, or unless The use or context clearly requires a different definition, the words, terms, and phrases and their derivations, as used in this Agreement, have the meanings set forth below in Section 14. 1.4. Conflicts. In the event of any conflict or inconsistency between the provisions of this Agreement and the provisions of Title 7, the provisions of this Agreement will control. 1.5. Grant. (a) The renewal authorized by this Agreement relates to the cable television franchise agreement that was executed on or about April 17, 1985, between the Grantor and Dickinson California-Arizona Associates, Ltd., dba DCA Cablevision, and later transferred to Marks Cablevision. In 1998, ownership of the franchise held by Marks Cablevision was authorized to be transferred to Grantee. That change in ownership was authorized by Resolution No. 98-160, as adopted by the City Council on September 2, 1998. (b) This renewal extends the franchise, authority, right, and privilege to construct, reconstruct, operate, and maintain a cable television system in the "franchise service area," which is more specifically described in the attached Exhibit C that is incorporated by this reference. 1.6. Right of Grantor to Issue and Renew Franchise. Grantee expressly acknowledges the right and authority.of Grantor to issue and renew the franchise. Similarly, Grantee acknowledges its obligation to pay the annual franchise fee specified in Subsection 2.2(a), which is the maximum percentage amount authorized by the Cable Communications Policy Act of 1984 ("Cable Act") on the effective date of this Agreement. If Congress, the FCC, or a court of competent jurisdiction alters this franchise fee requirement, then the parties agree to comply with applicable law. Resolution No. 99-083 Page 12 1.7. Effective Date of Renewal. This franchise renewal will commence on the effective date of the ordinance or resolution authorizing that renewal, or on the date specified in that ordinance or resolution as the effective date of renewal. On or prior to its effective date, Grantee must file with the City Clerk a written acceptance of the ordinance or resolution renewing the franchise. That acceptance may be in the form of Grantee's signature on the face of the ordinance or resolution. On or prior to its effective date, Grantee must also file with the City Clerk any required performance bonds and insurance policies or insurance certificates; provided, however, that if the filing of these documents does not occur on or prior to the effective date of the ordinance or resolution, or within any authorized extension of that date, the Grantor may declare this franchise renewal null and void. 1.8. Duration. The term of the franchise renewal is three (3) years from the effective date as specified in Section 1.7; provided, that the initial three-year term of this franchise will be automatically extended for an additional term to expire on April 17, 2015, upon Grantee's completion of the upgrade of the cable system within the time periods specified in the attached Exhibit D. Renewal of the franchise, if any, will be in accordance with then applicable law. 1.9. Franchise Not Exclusive. The cable television franchise granted by this Agreement may not be construed to limit in any manner the right of Grantor, through its authorized officers and in accordance with applicable law, to grant to other individuals or entities, by franchise, permit, license, or otherwise, any rights, privileges or authority similar to or different from the rights, privileges and authority herein set forth, in the same or other streets, public ways, public places, or other property that the Grantee is entitled to occupy; provided, however, that those additional grants will not operate to revoke, terminate, or materially and adversely affect any rights granted to Grantee by this Agreement. If the Grantee determines that the cumulative benefits and burdens of an additional franchise awarded to another cable operator, or of an agreement with a video provider, including an open video system operator, are not comparable to those existing under this Agreement, and the Grantee is thereby placed at a competitive disadvantage, then Grantee may request the Grantor to ~odify one or more provisions of this Agreement in order to eliminate that competitive disadvantage. The parties will meet and confer for the purpose of reviewing Grantee's request. Any proposed modifications will be subject to the approval of the Grantor's City Council, which approval will not be unreasonably withheld. 1.10. Scope of the Franchise. 990311 11231-00001 SyC 0593890 2 4 - Resolution No. 99-083 Page 13 (a) Subject to Grantee's compliance with Grantor's permit procedures applicable to construction, encroachments, and pole attachments, Grantee is authorized and obligated to construct, reconstruct, operate, and maintain the cable television system within the public streets and rights-of-way. Grantee is obligated to undertake and to complete the upgrade of the cable television system in the manner and within the time period specified in the attached Exhibit D that is incorporated by this reference. (b) The authority granted under this Agreement includes the privilege to use the Grantee's cable television system in the franchise service area for the provision of both cable television service and for the provision of such other services as may be authorized by applicable law. (c) Grantor reserves all rights it now has or subsequently acquires with respect to the future authorization and regulation of non-cable services, including, but not limited to, the right to impose reasonable terms and conditions in addition. to or different from those set forth in this Agreement with respect to the provision of any non-cable services, and to charge a franchise fee or other form of consideration or compensation in excess of that specified herein; provided that such terms and conditions and such franchise fee or other form of consideration or compensation must not be in conflict with federal and state law applicable to non-cable services; and provided further that the Grantor and Grantee will negotiate in good faith as to those terms and conditions and that franchise fee or other form of consideration or compensation prior to their unilateral.implementation by Grantor. (d) At least 30 days before commencing to offer or distribute any non-cable services, Grantee must provide written notice to the Grantor of its intent to offer or distribute such services and a description of those services. (e) After the effective date of this Agreement, if Grantor proposes to award an additional franchise within the Grantee's franchise service area, a noticed public hearing must first be held in accordance with the provisions of Government Code Section 53066.3. (f) Grantor and Grantee expressly reserve the right to seek a judicial determination as to whether any particular service offered by Grantee on its system constitutes cable service for purposes of this franchise. GENERAL REOUIREMENTS. - 5 Resolution No. 99-083 Page 14 2.1. Governing Requirements. Grantee must comply with all provisions of this Agreement, the provisions of Title 7, and all other applicable laws, ordinances, and regulations. 2.2. Franchise Fee. (a) As compensation for the franchise granted by Grantor, and in consideration for authorization to use the streets and public ways of Grantor for the construction, reconstruction, operation, and maintenance of Grantee's cable television system, the Grantee will pay to the Grantor an annual franchise fee of five percent (5%) of the Annual Gross Receipts, as defined in Section 14 of this Agreement, received by Grantee from the operation of the cable television system in the Grantee's franchise service area. (b) The franchise fee specified above in para- graph (a) must be computed and paid by Grantee to Grantor's Finance Department not later than 30 days after the end of each calendar quarter. The payment for each calendar quarter must be accompanied by a report that contains the following information relating to that calendar quarter: 1. The total gross receipts collected by Grantee. 2. The total number of subscribers to each tier of service that is offered in the franchise service area at the end of the applicable calendar quarter. (c) If any franchise fee payment, or recomputed amount, is not made on or before the dates specified in Subsections 2.2 or 2.3, Grantee must pay to Grantor as additional compensation an interest charge, computed from the applicable due date, at an annual rate of ten percent (10%). (d) In addition to any late payment made in accordance with paragraph (c) above, if a payment is overdue by 45 days or more, Grantor may treat that delay as a material breach of this Agreement. (e) Any itemization or pass-through of franchise fees by Grantee on subscribers' bills must be in compliance with federal and state law. Any surcharge billed to Grantee's subscribers that is not required by the Grantor or by any other governmental agency to be imposed upon subscribers must be identified as a surcharge levied solely by the Grantee. Any such surcharge will be subject to the Grantqr's franchise fee unless prohibited by federal law. - 6 Resolution No. 99-083 Page 15 2.3. Payment to Grantor. (a) No acceptance of any payment by Grantor may be construed as an accord that the amount is in fact the correct amount, nor may acceptance of payment be construed as a release of any claim the Grantor may have against Grantee for any additional sums payable under the provisions of this Agreement. (b) All amounts paid are subject to independent audit and recomputation by Grantor, as provided for in Subsection 10.9.. 2.4. Insurance Requirements. (a) Upon the effective date of this Agreement, Grantee, at its sole cost and expense, must obtain, and thereafter maintain for the full term of this Agreement, all of the following insurance coverages: 1. Types of Insurance and Minimum Limits. The coverages required below may be satisfied by any combination of primary l'iability and excess liability policies. Ao Workers' Compensation and Employer's Liability Insurance in conformance with the laws of the State of California. B. Grantee's vehicles, including owned, leased, or hired vehicles that are used by Grantee's employees in the course and scope of employment, must each be covered with Automobile Liability Insurance in the minimum amount of $2,000,000 combined single limit per accident for bodily injury and property damage. C. Grantee must obtain and maintain Comprehensive or Commercial General Liability Insurance coverage in the aggregate annual amount of $2,000,000 combined single limit, including bodily injury, personal injury, and broad form property damage. This insurance coverage must include, without limitation, contractual liability coverage adequate to meet the Grantee's indemnification obligations under this Agreement. 2. All required Automobile Liability Insurance and Comprehensive or Commercial General Liability Insurance policies must contain the following endorsement: "The City of Rancho Cucamonga is added as an additional insured as respects the Operations of the named insured under the cable television franchise granted by the City." 3. The insurance required of Grantee under this franchise is primary, and no insurance held by Grantor may be called upon to contribute to a loss under this coverage. Resolution No. 99-083 Page 16 4. All insurance policies must provide that, in the event of material change, reduction, cancellation, or non- renewal by the insurance carrier for any reason, not less than 30 days' written notice will be given to Grantor by registered mail of such intent to cancel; materially change, reduce, or not renew the coverage. An authorized agent of the insurance carrier must provide to the Grantor, on such schedule as is requested by the Grantor, a certification that all insurance premiums have been paid and all coverages are in force. If for any reason Grantee fails to obtain or keep any of the insurance in force, Grantor may (but is not required to) obtain that insurance. In that event, Grantee must promptly reimburse Grantor its premium costs, plus one and one-half percent (1-1/2%) monthly interest thereon until paid. 5. All insurance must be obtained from companies that are licensed to transact business in California and that have a rating of A-VII or better in Best's Insurance Guide. 6. The deductibles or ~elf-in~ured retentions are subject to the Grantor's prior approval, which approval will not be unreasonably withheld. (b) Before the effective date of this Agreement, Grantee must provide to Grantor written insurance binders, statements of property coverage, certificates of insurance, or certified copies of policies evidencing the required coverage. (c) Grantor reserves the right to require Grantee to increase the amount or limits of insurance coverage specified above no more often than every three years during the term of the franchise. Any such increase will be determined in accordance with the procedures set forth in Subsection 2.6 of this Agreement. 2.5. Performance Bonds. (a) Perforr~nce Bond. During tke term of this Agreement, Grantee may be required to provid~ ~o Grantor a performance bond if Grantor determines Chat any construction, reconstruction, or upgrade of the cable television system is of sufficient magnitude to warrant a performance bond. The performance bond, which may be a corporate surety bond, must be in a principal sum as specified by Grantor and in a form approved by Grantor's City Attorney; provided, however, that the principal sum of the performance bond may not exceed $500,000. 'The performance bond may be reduced during the course of Grantee's construction, reconstruction, or upgrade of the cable television system, provided that Grantee is not then in material default under any provision of this Agreement. (b) Performance Bond for Other Obligations. Prior to the effective date of this Agreement, Grantee must provide to - 8 Resolution No. 99-083 Page 17 Grantor a performance bond to guarantee the Grantee's performance of its obligations under thls Agreement, excluding those obligations relating to construction referenced above in paragraph (a). The performance bond will be in the sum of not less than $100,000 and will be subject to and in compliance with the following requirements: 1. The performance bond will be available to Grantor to secure and to satisfy any and all claims, penalties, fines, liens, fees, payments, costs, damages, or taxes due Grantor from Grantee that arise by reason of the operation or maintenance of the cable television system. 2. After notice and hearing requirements specified in Section 11 of this A~reement have been satisfied, if the Grantee fails or refuses to pay to the Grantor any amounts due under the terms and provisions of this Agreement, the Grantor may thereafter claim against the performance bond the unpaid amount, plus accrued interest and penalties. 3. Within 30 days after Grantee's receipt of written notice from the Grantor that any amount has been claimed and received by the Grantor under the performance bond in satisfaction of any of Grantee's obligations specified above in subsection (1), the Grantee must restore the performance bond to the amount required by this Agreement. 4. The rights reserved to the Grantor with respect to this performance bond are in addition to all other rights of the Grantor under this Agreement, including Grantor's rights under the performance bond for construction referenced above in paragraph (a) . (c) Adjustments. Grantor reserves the right to require Grantee to increase the principal amount of the performance bond specified above in paragraph (b), and the insurance coverage specified above in Section 2.4, no more often than every three years during the term of the franchise. Any such increase will be determined in accordance with the procedures set forth in Section 2.6. 2.6. Periodic Adjustments. If the amount of the performance bond or insurance coverage required of Grantee under this Agreement is proposed to be increased at specified intervals during the term of the franchise, any such increase will be determined in accordance with the following procedures': The increase in any amount subject to periodic adjustment under this Agreement will be determined by Grantor's Director of Finance as of the applicable anniversary date of this Agreement, based upon the Consumer Price Index, All Urban Consumers, for the Los Angeles-Anaheim-Riverside Area ("CPI"), as published by the United States Department of Labor, Bureau of Labor Resolution No. 99-083 Page 18 Statistics, or its successor. The Director of Finance will compute the percentage difference between (x) the CPI as it existed on the later of (i) the effective date of this Agreement and (ii) the effective date of the most recent periodic adjustment, and (y) the CPI as it then exists on the applicable anniversary date. The Director of Finance will then increase by such percentage the then current amount subject to periodic adjustment. The adjusted amount will be rounded off to the nearest dollar. If the Bureau of Labor Statistics revises that index or discontinues the preparation of that index, the Director of Finance must use the revised index or a comparable system as approved by the Grantor's City Council for determining fluctuations in the cost of living; provided, however, that Grantee will be given reasonable notice and an opportunity ~o be heard prior to the City Council's approval of a revised index or a comparable system. 3. RIGHTS RESERVED TO THE GRANTOR. 3.1. Reservation. Grantor reserves every right it may have in relation to its power of eminent domain over Grantee's franchise and property. 3.2. Deleqation of Powers. Any right or power in, or duty retained by or imposed upon Grantor, or any officer, employee, department, commission, or board of Grantor, may be delegated by Grantor to any officer, employee, department or board of Grantor, or to such other person or entity as Grantor may designate to act on its behalf. 3.3. Riqht to Inspect Construction. The Grantor has the right to inspect all construction, installation, or other work performed by Grantee in connection with the franchise, and to make such tests as may be necessary to ensure compliance with the terms of this Agreement, so long as that inspection and testing does not unreasonably interfere with Grantee's operations. 3.4. Right to Require Removal of Property. Consistent with applicable law, at the expiration of the term for which the franchise renewal is granted, or upon its lawful revocation, expiration, or termination, the Grantor has the right to require the Grantee to remove, within a reasonable period of time that will not be less than 180 days, and at Grantee's expense, all portions of its system and any other property from all streets and public rights-of-way within the franchise service area. 3.5. Right of Intervention. Grantor has the right to intervene in any suit, proceeding, or other judicial or administrative proceeding in which the Grantor has any material interest, and to which the Grantee is made a party. - 10 990317 112~l-0000L SyC 059]890 2 Resolution No. 99-083 Page 19 4. SYSTEM UPGRADE AND SPECIAL SERVICES. 4.1. UPQrade. The upgrade of the cable television system to be undertaken and completed by the Grantee is more fully described in Exhibit D. 4.2. Notices RelatinQ to Cable Television SYstem UpQrades. (a) Notices to Local Newspaper. If requested by Grantor, Grantee must publish two notices in a newspaper of general circulation before commencing the cable television system upgrade. The first notice must be published not less than 60 days prior to construction, and the second notice must be published not less than 30 days prior to construction. Each notice must provide a general summary of the proposed upgrade, and a telephone number that the public may call for additional information. (b) Other Notices. 1. Grantee will provide to Grantor at least 60 days prior written notice of any major upgrade or rebuild of the cable television system. Upon Grantor's request, Grantee will provide information concerning the proposed locations and types of equipment or facilities to be installed, such as amplifiers, pedestals, and power supplies. 2. At least 48 hours prior to the scheduled construction date, Grantee must provide additional notice to residents within the proposed construction area by the use of door hangers that set forth a general description of the construction project, the anticipated dates of construction, and a telephone number for the Grantee that a resident may call with any questions or concerns. 4.3. Outlets for Public Buildings. (a) Upon Grantor's written request, Grantee will install, maintain, and repair, without charge, one cable drop and one cable modem for high-speed Internet access at each of the following facilities that is located within the franchise service area: Family Sports Center Rancho Cucamonga Epicenter/Adult Sports Complex City Yard Animal Shelter Rancho Cucamonga Public Library City Hall (b) When cable modem service is made commercially available in the franchise service area, Grantee will provide one cable drop and one cable modem for high-speed access to the Internet in every public school in the franchise service area. 11 99031? 11231 90COl $yC 0593590 2 Resolution No. 99-083 Page 20 (c) Grantee will provide, without charge, basic cable service to one outlet at public facilities, including the Grantor's facilities and public schools identified above in paragraphs (a) and (b) . (d) Upon Grantor's written request, Grantee will also install, at Grantee's cost for labor and materials, additional drops and outlets at specified public facilities and public school buildings. (e) All new drops and outlets requested by Grantor under this Section 4.3 must be installed as Grantee's cable system upgrade passes each public facility and public school building, which upgrade must occur within the period of time set forth in Exhibit D. (f) Grantor will inform Grantee of the construction of new public facilities so that exterior and interior connections can be installed by Grantee at the time of construct.ion in order to minimize costs. These connections will be made by Grantee without cost to Grantor. 4.4. Emergency Alert Capability. (a) In upgrading the cable television system, Grantee must comply with all FCC rules and regulations relating to the national Emergency Alert System ("EAS"). In this regard, Grantee must provide the system with emergency override capability so as to enable Grantor's public safety personnel and designated public officials to cablecast emergency messages by interrupting and overriding the audio and video signals of all cable channels using remote coded access activation devices at one site to be mutually agreed upon by the parties. Equipment providing for this emergency override capability will be installed by Grantee at this site, at no expense to Grantor. (b) In the event of any conflict between the federally-mandated EAS and the City's emergency override system, the federally-mandated EAS will have priority. 4.5. Parental Control Devices. (a) Grantee must provide subscribers, upon request and, except as otherwise provided by law, without charge, with a "trap," "lockbox," digital code, or similar parental control device that enables a subscriber to block the reception of video and audio signals from selected channels on the cable television system, including any premium or pay-per-view channel that is scrambled. (b) No continuing charge for the use of any such parental control device may be imposed by Grantee if that device is incorporated into equipment, such as a decoder, for which a subscriber is already paying a charge. - 12 Resolution No. 99-083 Page 21 (c) Grantee must provide to subscribers written instructions on the methods by which selected channels on the cable television system may be restricted or blocked. 4.6. Technical Standards. (a) The FCC Rules and Regulations, including Part 76, Subpart K (Technical Standards), and any amendments or supplements thereto, will apply to the Grantee's operations to the extent permitted by applicable law. (b) The headend of the cable system, satellite earth stations, and any hubs must be equipped with an emergency power system that is capable of providing emergency power for a minimum of three hours. (c) The cable system must be designed, installed, and operated so as to comply with the following general requirements: 1. Twenty-four-hour daily operation. 2. Avoid causing interference with the reception of off-the-air signals by non-subscribers. 3. Operate in a wide range of outdoor temperatures that typically occur within the franchise service area. 4. Assure that all subscribers will receive standard color and monochrome signals on the FCC-designated Class 1 channels without noticeable picture degradation or visible evidence of color distortion, or other forms of interference that may be attributable to deficiencies in the cable system. 4.7. No Offset A~ainst Franchise Fees. In accepting this franchise, Grantee acknowledges that the commitments specified in this Section 4 are voluntarily assumed, and their costs will not be offset against any franchise fees payable by Grantee to Grantor during the term of the ~ranchise. 5. SRRVICmS, PROGRAMMING, AND CONSUMRR PROT~TION STANDARDS. 5.1. Rates and Char~es for Cable Services and E~uipment. (a) The Grantor may regulate Grantee's ra~es and charges for cable television services and equipment in the manner and to the extent authorized by federal law. (b) Grantee must establish and bill its rates and charges for cable television services and equipment in a manner consistent with all applicable laws and regulations. 13 9903~7 1123L-00001 $yC 0593890 2 Resolution No. 99-083 Page 22 (c) Grantee must at all times have on file with Grantor its current schedule of all rates and charges that will be billed to subscribers in the franchise service area. (d) All increases in Grantee's schedule of rates and charges for cable television services and equipment must be made in compliance with all applicable federal and state laws and regulations. Not less than 10 days prior to notifying its subscribers, Grantee must notify the Grantor's City Manager of any proposed increase in its schedule of rates and charges or any. changes in its programming tiers. Grantee must provide written notice to its subscribers at least 30 days prior to any change in its schedule of rates and charges or any changes in its programming tiers, as long as such change is within the control of the Grantee. (e) Within 45 days after the effective date of this Agreement, Grantee must submit to the Grantor's City Manager a complete list of each cable television programming package offered by Grantee, including the expanded basic tier and any new or reconfigured tiers. Grantee must compare that list with the most current preceding list, and identify all programming that has been added or deleted, previous and existing rates and charges for cable television services and equipment, and all new services or items of equipment that are being offered and the applicable rates and charges. 5.2. Discounts for Senior Citizens. Grantee may offer to senior citizens a percentage discount on subscriptions to the basic service tier. 5.3. Leased Channel Service. If Grantee offers leased channel service, that service must be offered at nondiscriminatory rates, on reasonable terms and conditions, and in accordance with applicable law. 5.4. Nondiscrimination. Grantee may not discriminate between or among subscribers within one type or class in the availability of services, at either standard or differential rates set forth in published rate schedules, except as otherwise authorized by law or by this Agreement. No charges may be made for services except as set forth in published schedules that are available for inspection at Grantee's office, quoted by Grantee on the telephone, or displayed or co~m~unicated to existing or prospective subscribers. This paragraph does not apply to offers or promotions of limited duration. 5.5. BillinGs to Subscribers. Grantee's billings to its subscribers within the franchise service area will be in compliance with the applicable requirements set forth in Exhibit E ("Consumer Protection Standards"). 990317 1123~-00001 SyC 059]890 2 14 - Resolution No. 99-083 Page 23 5.6. Termination of ResidenTial Service. (a) Grantee may terminate service to a residential subscriber only in compliance with the applicable provisions of California Government Code Section 53088.2. In addition to the required written notice, Grantee must make a good faith attempt to notify the affected residential subscriber by telephone of its intent to terminate service. If Grantee improperly terminates service to a residential subscriber, free reconnection must be provided to tkat subscriber. {b) Grantee must issue security or subscriber deposit refund checks promptly, but no later than 45 days following the termination of service, less any deductions permitted by law. 5.7. Annual Subsc: · ~ Notice. Grantee will provide to all new subscribers and annu ~o existing subscribers, a notice to customers that is substa y similar to the notice referenced in paragraph (1) of Exhit ("Consumer Protection Standards"). 5.8. Consumer Prot6 ..;:on Standards. Grantee must comply with all applicable FCC ar.z state statutory standards and regulations relatzng to consumer protection, including those referenced in Exhibit E. 5.9. Service Interruptions. Grantee must provide to its subscribers a minimum of 24 hours advance notice when cable service to six or more subscribers will be subject to a planned interruption of more than two hours. This notice may 3ce ~i"~ex~ by means of character-generated messages on both the ~ve~nmen~aI access channel and, with the concurrence of the operator, on the public access channel. Notice must also be ~iven, by telephone or by facsimile, to all operators of public, educational, and governmental access channels, and to the Grantor's City Manager. Whenever possible, planned interruptions should occur during periods of minimum use of the cable system, preferably between midnight and 6:00 a.m. 5.10. Entry on Private Property. Whenever possible, Grantee will provide verbal and written notice to affected property owners before entering upon their property. The notice must include Grantee's telephone number that property owners may call with regard to any matters related to the proposed entry. 5.11. Privac~ RiQhts of Subscribers. Grantee must at all times protect the privacy of all subscribers in accordance with the provisions of the Cable Act, including 47 U.S.C. §551. 6. SUPPORT OF LOCAL CABLE USAGE. The obligations of the Grantee that relate to the support of local cable usage, including the provision of adequate public, educational, and governmental access channel capacity, - 15 Resolution No. 99-083 Page 24 facilities, and financial support, are set forth in the attached Exhibit F. 7. DESIGN AND CONSTRUCTION. 7.1. System Construction and Extension. (a) The cable television system must be upgraded in accordance with Exhibit D and all other applicable provisions of this Agreement. (b) Throughout the franchise service area, Grantee is required to extend its cable television system in accordance with the following provisions: 1. Grantee must make its cable television system available to residential dwelling units in all currently unserved or developing areas that have at least 30 dwelling units per cable mile in areas passed by overhead cable, and at least 50 dwelling units per cable mile in areas passed by underground cable. Subject to the foregoing density standards, Grantee must extend the cable television system simultaneously with the installation of utility lines. Where residential dwelling units are located in unserved or developing areas that do not meet these standards for mandatory extension of service, Grantee must provide, upon the written request of a prospective subscriber desiring service, an estimate of the costs of extending service. Grantee may require an advance payment of those costs or an assurance of payment satisfactory to Grantee. The amount paid by the prospective subscriber is nonrefundable. If the unserved or developing area later achieves the density required for mandatory extensions of service, the amounts paid will be deemed to be consideration for early extension. 2. Grantee must extend and make its cable television system available to any resident requesting connection, at the standard connection charge, if that connection requires no more than a standard 125-foot aerial drop line from the main feeder line. If a connection requires more than a standard 125-foot aerial drop line, or an underground service connection, a resident must be given the option of paying the incremental cost for that installation. 3. Grantee may extend and make cable television services available to isolated residential dwelling units, and to commercial and industrial zones of the franchise service area, based u~3on demonstrated need of the prospective subscriber and the economic feasibility of that extension. 4. If additional territory is annexed to the City after the effective date of this Agreement, and an incumbent cable operator is then serving that annexed territory, then the Grantee is not required to overbuild in order to provide cable service to dwelling units in that territory. 16 - 990317 11231-00001 syc 0593890 2 Resolution No. 99-083 Page 25 5. Service to prospective subscribers residing in multiple dwelling units need only be provided if,' after evaluating the terms and conditions for access that may be imposed by an owner or manager of such multiple dwelling units, the Grantee determines that those terms and conditions are reasonably acceptable. 7.2. Construction Components and TechniQues. Construction components and techniques must comply with the terms of this Agreement and all applicable statutes, ordinances, regulations, and pole attachment agreements. 7.3. Technical and Performance Standards. Grantee must construct, reconstruct, install, operate, and maintain its system in a manner consistent with all applicable federal, state, and local laws and ordinances, construction standards, construction specifications, FCC technical standards, and any additional standards set forth in this Agreement. Without limiting the foregoing, Grantee's system must comply with all FCC regulations that app%y to compatibility as between cable service and consumer equipment. for receiving and recording cable programming. 7.4. Construction Codes. The Grantee must strictly adhere to all building and zoning codes now or hereafter in force and must obtain all necessary permits, which permits will not be unreasonably denied. The Grantee will make every reasonable effort to arrange its lines, cables, and other appurtenances, on both public and private property, in such a manner as to cause no unreasonable interference with the use of that property by any person. In the event of such interference, the Grantor may require the removal or relocation of the Grantee's lines, cables, and appurtenances from the property in question. Grantee must give at least 48 hours advance notice to all property owners, and to the Grantor, prior to installing any above-ground or underground structures upon easements located on private property. Grantor will not modify its construction requirements subsequent to the completion of construction so as to require reconstruction or retrofit unless the public health and safety so requires. 7.5. Construction Default. Upon the failure, refusal or neglect of Grantee to undertake or complete any construction, reconstruction, repair, relocation or other necessary work as required by this Agreement, thereby creating an adverse impact upon the public health, welfare or safety, Grantor may (but is not required to) cause that work to be completed, in whole or in part, and upon so doing will submit to Grantee'an itemized statement of costs. Grantee will be given reasonable advance notice of Grantor's intent to exercise this power, and 15 days to cure the default. Grantee must, within 30 days of billing, pay to Grantor the actual costs incurred. 7.6. vacation or Abandonment. If any street, alley~ public highway, or portion thereof used by the Grantee is vacated by the 17 - 990317 11231-O0001 SyC 059]890 2 Resolution No. 99-083 Page 26 Grantor, or its use is discontinued by the Grantee, then upon reasonable notice the Grantee may be required to remove its facilities, unless otherwise specifically authorized, or unless easements for cable television facilities have previously been reserved. Following that removal, Grantee must restore, repair, or reconstruct the area where that removal has occurred to the condition that existed prior to removal. Upon any failure, neglect, or refusal of the Grantee, after 30 days' notice by the Grantor, to do such work, Grantor may cause it to be done, and within 30 days of billing, Grantee must pay to Grantor the actual. costs incurred. 7.7. Abandonment in Place. Grantor may, upon written application by Grantee, approve the abandonment in place by Grantee of any property, under such terms and conditions as Grantor may approve. Upon Grantor-approved abandonment in place of any property, Grantee must cause to be executed, acknowledged, and delivered to Grantor such instruments as Grantor may prescribe and approve in order to transfer and convey ownership of that property to Grantor. 7.8. Removal of System Facilities. If Grantee's plant is deactivated for a continuous period of 30 days, (except for reasons beyond Grantee's control), and without prior written notice to and approval by Grantor, then Grantee must, at Grantor's option and demand, and at the sole expense of Grantee, promptly remove all of Grantee's property from any streets or other public rights-of-way. Grantee must promptly restore the streets or other public areas from which its property, including aerial trunk and feeder lines, has been removed to the condition existing prior to Grantee's use thereof. 7.9. Movement of Facilities. If Grantor determines it is necessary to move or to relocate any of the Grantee's property because of a conflict with a public project, Grantee, upon reasonable notice, must move, at the expense of Grantee, its property in order to facilitate that public project. No such movement or relocation may be deemed a taking of Grantee's property. If the public project involves Graxttor's exercise of its statutory authority to construct an~ to oDerate its own cable system, the reasonable expenses incurred by Grantee in moving or relocating its property will be reimbursed by the Grantor. 7.10. Underqroundin~ of Cable. Cables must be installed under¢3round at Grantee's cost where all existing utilities are alre&d¥ underground or all new utilities are being installed undez~round in the area. Previously installed aerial cable will be installed underground at Grantee's sole cost in concert with utilities whenever all of those utilities convert from aerial to underground construction. 7.11. Facility AQreements. This Agreement does not relieve Grantee of any obligations to obtain pole or conduit space from 18 - 990317 11231-0000l syc 0593890 2 Resolution No. 99-083 Page 27 any department of Grantor, from any utility company, or from others maintaining utilities in Grantor's streets. 7.12. Re~air of Streets and Public Ways. All streets and public ways, and improvements located within those streets and public ways, that are disturbed or damaged by the Grantee or its contractors during the construction, reconstruction, operation, or maintenance of the System, must be restored at Grantee's expense, and within the time frame and limits specified by Grantor. 7.13. Erection of Poles Prohibited. Grantee may not erect any pole on or along any street or public way where there is an existing aerial utility system. If additional poles in an existing aerial route are required, Grantee must negotiate with the appropriate public utility for their installation. Any such installation requires the advance written approval of the Grantor. Subject to applicable federal and state law, the Grantee must negotiate the lease of pole space and facilities from the existing pole owners for all aerial construction, under mutually acceptable terms and conditions. No pole line may be extended solely for the purpose of accommodating Grantee's facilities. Line extensions beyond any existing pole line must be underground. 7.14. Reservation of Street Rights. Nothing in this Agreement precludes the Grantor from constructing, repairing, or altering any public work or improvement. That work will be done, insofar as practicable, in such manner as not to unnecessarily obstruct, injure or prevent the use and operation of any property of Grantee. However, if any property of Grantee interferes with the construction, maintenance, or repair of any public improvement, that property must be removed or replaced in such manner as may be directed by Grantor so as not to interfere with the public work or improvement, and that removal or replacement will be at the expense of the Grantee. 7.15. Miscellaneous Design and Construction Re=uirements. (a) New Development-UnderGround Utility Areas. Where new construction or property development occurs, and utilities are to be placed underground, Grantor will use its best efforts to require the developer or property owner to give reasonable notice to Grantee of that new construction or development. Grantee may be involved in all design aspects of the new construction or development that relate to the infrastructure required for cable service, including the provision of specifications and engineering assistance prior to construction. The costs of easements, trenching, and construction of the conduits required to bring cable service to the new construction or development will be borne by the Grantee, the developer, or the property owner, as may be agreed upon between them. Grantee will be notified of any date on which the installation of conduit, pedestals, vaults, or laterals will be available for - 19 990317 11231 00001 SyC 059~890 2 Resolution No. 99-083 Page 28 Grantee's inspection. Grantee will bear all costs of installing cable, amplifiers, and other equipment required to construct and operate the cable system. (b) Antennas and Towers. Antenna supporting structures, including towers, that are owned by or operated for Grantee must comply with all applicable electrical codes and FCC specifications, and must be erected, illuminated, painted, and maintained in accordance with all applicable rules and regulations of the Federal Aviation Administration, as well as local ordinances and regulations that require the Grantor's approval of the siting of towers or other support structures within the City. (c) Tree TrimminG. Grantee is authorized to engage a licensed tree service contractor to trim trees on public property, at its own expense, as may be necessary to protect its wires, facilities, and cable equipment, subject to the direction and supervision of the Grantor. Trimming trees on private property requires the written consent of the property owner or occupant, and such owner or occupant must be advised by Grantee of the right to have the tree trimming undertaken by a licensed tree service contractor. On a project-by-project basis, Grantee will provide Grantor with a list of licensed tree service contractors that the Grantee proposes to use for tree trimming on both public and private property. Each licensed tree service contractor proposed to be engaged by Grantee must be in possession of a valid City business license. (d) Major Roadways. Grantee must install in conduit all cable that passes under any major roadway. (e) Mitiqation of Adverse Visual Impacts. Grantee must take all reasonable measures, at its expense, to mitigate the adverse visual impacts of all above-ground equipment in accordance with the same standards and regulations that are imposed by the Grantor upon other franchised cable operators and upon public utilities. These measures may include, without limitation, (i) the installation of landscaping and barriers to conceal the equipment from public view; (ii) the maintenance of the equipment in good condition, including compliance with Grantor's ordinances requiring graffiti removal; and (iii) the placement of overhead drops as close as possible to other utility drops, consistent with all applicable electrical codes. Ongoing maintenance of any landscaping required to mitigate visual impacts is the responsibility of the property. owner or the Grantee under Grantee's easement agreements. (f) Use of Chalk-Based Paints. Grantee must use only chalk-based paints to mark public rights-of-way in connection with the construction or maintenance of the cable television system. 20 - 990317 i1231-0000[ SyC 059]890 2 Resolution No. 99-083 Page 29 (g) Vehicle Access to Private ProPerty. In no event may an owner's vehicle access to private property be precluded for more than three hours during any construction, operation, or maintenance of the Grantee's cable system. If such preclusion is reasonably anticipated, Grantee must give 24-hours prior written notice to the owner. (h) Location of Utilities. Grantee must verify the location of all existing utilities to ensure that they are not damaged during construction ~r maintenance of the cable system. Grantee must be a member of Underground Service Alert and must contact that entity 48 hours in advance of any underground construction in order to ensure that utilities are not damaged. Grantee is solely responsible for the replacement or repair of any utilities that are damaged during construction or maintenance activities. 8. PERFORMANCE AUDITS AND TECHNICAL DATA. 8.1. Annual Audit of Performance. (a) At its option, Grantor may require that performance audits of the cable television system be conducted annually by an independent technical corusul~ant selected and employed by Grantor, and at Grantor's expense, to verify that the system complies with all technical standards and other specifications of this Agreement. Grantee must be provided an opportunity to be present during any performance audit, and the Grantor must deliver a copy of the test results to Grantee. If the test results demonstrate that Grantee has materially failed to comply with required technical standards, the cost of the performance audit will be borne by Grantee. (b) Upon completion of a performance audit, the Grantor and Grantee will meet to review the performance of the cable television system. This performance review may include consideration of the following: 1. The test results relating to Grantee's compliance with technical standards and. specifications. 2. The reports required by this Agreement that relats to subscriber complaints received by the Grantee concerning technical problems or service-related issues. 3. The adequacy and quality of services provided by Grantee. 4. The results of any opinion surveys that may be conducted by Grantor or Grantee. 5. Reports submitted by Grantee or any other person that address Grantee's compliance with the terms and conditions of this Agreement granting the franchise. - 21 - 990317 iI2~l-00001 SyC 059]890 2 Resolution No. 99-083 Page 30 6. Changes in cable television system technology and services, an evaluation of the degree. to which the cable television system and related services conform to established, operating state-of-the-art technology in comparable communities, and the economic and technical feasibility of providing interactive, addressable, and security monitoring services. 7. Changes in state and federal laws and regulations that affect the operation of the cable television system. (c) Within 30 days after the conclusion of a system performance review meeting, Grantor will issue findings with respect to the adequacy of system performance and the quality of service as required under this Agreement. If inadequacies are identified, Grantor may direct Grantee to correct the inadequacies within such period of time that Grantor determines to be reasonable. (d) Participation by the Grantor and the Grantee in this process does not waive any rights they may have under applicable federal or state law. (e) Upon Grantor's request, Grantee will meet with Grantor's representatives to discuss the extent to which the technology and services of the cable television system are consistent with established, operating state-of-the-art technology in cable television systems serving a majority of comparable communities. In addition, if requested by Grantor, Grantee will provide a written summary of the foregoing state-of- the-art cable services or technology that Grantee has incorporated into its system and its plans for implementing new technology in the franchise service area. If new technology is being used by other cable operators in comparable communities in the United States, and Grantee does not intend to make that new technology available in the franchise service area within the following three years, then Grantee must fully justify this position. Topics for discussion at these meetings may also include the future use of interactive services, the sharing of local production facilities with other jurisdictions, and the provision of additional capacity for public, educational, or governmental access channels. 8.2. SYstem Testing and Technical Data. (a) During the upgrade of the system and thereafter, Grantee must conduct periodic performance testing of its cable television system, including its signal quality, in accordance with FCC rules and regulations. Upon Grantor's request, those test results will be provided to Grantor by Grantee. (b) During the upgrade of the cable television system, Grantee will incorporate test equipment wherever feasible - 22 990317 11231-00001 ~yc 0593890 2 Resolution No. 99-083 Page 31 in order to continuously monitor the system for outages and signal quality. (c) Upon Grantor's request, Grantee will provide "as- built" system drawings and technical documentation in a printed or, if readily available, an electronic data format. Grantor may not disclose this information to third parties without the Grantee's prior written approval. (d) Grantee must maintain at its San Bernardino office specified in Subsection 1.2(b) a file of all documents that are required by the FCC or other governmental agencies to be made available for public inspection during normal business hours and upon reasonable advance notice. Grantee may charge a reasonable fee for any copies of documents that may be requested. 8.3. Emerqencv Repair Capability. It is Grantee's responsibility to ensure that its personnel are qualified to make repairs, that they are available at all reasonable times, and that they are supplied with keys, equipment location instructions, and technical information necessary to begin repairs upon notification of the need to maintain or restore continuous service to the system. 9. REVOCATION, TERMINATION, OR FORFEITURE. 9.1. Revocation. Consistent with applicable law, and in addition to all rights set out elsewhere in this Agreement, Grantor reserves the right to revoke, terminate, or declare a forfeiture of the franchise, subject to the procedural guidelines set forth in Section 11 of this Agreement, if the Grantee, whether willfully or negligently, violates any material provision of this Agreement and thereafter fails to correct or remedy that violation in accordance with the terms of this Agreement. 9.2. Grounds for Revocation, Termination, or Forfeiture. Where the Grantee's violation is determined to involve any of the following, each of which is deemed to constitute a material provision of this Agreement, the Grantor may revoke, terminate, or declare a forfeiture of this franchise and all rights and privileges associated with it: (a) Grantee's failure to make any payment of franchise fees within 45 days after that payment is due, as provided for in Subsections 2.2(b) and (c), unless Grantee is in good faith contesting that payment in a court. or governmental agency of competent jurisdiction. (b) Grantee's failure to provide or to maintain the insurance coverage in the amounts specified in Subsection 2.4. (c) Grantee's failure to provide or to maintain the performance bonds specified in Subsection 2.5. - 23 990]17 11231-00001 ~yc 0593890 2 Resolution No. 99-083 Page 32 (d) Grantee's failure to honor its indemnification obligations as specified in Subsection 13.4. (e) Grantee's failure to receive and maintain all required approvals from the Federal Communications Commission in connection with its operation of the cable television system, unless Grantee is in good faith contesting that failure in a court or governmental agency of competent jurisdiction. (f) Grantee's material violation of any final order or ruling of any regulatory body having jurisdiction over the Grantee relative to the cable television services authorized by the franchise, unless that order or ruling is in good faith being contested by the Grantee before the regulatory body or in a court of competent jurisdiction. (g) Grantee's willful attempt to evade compliance with any material provisions of this Agreement or Title 7, Grantee's repeated willful attempts to evade compliance with any nonmaterial provisions of this Agreement or Title 7, or Grantee's practice of any fraud or deceit upon the Grantor or upon existing or prospective subscribers. (h) Grantor's wrongful cessation of cable television services to its subscribers for reasons within Grantee's control; provided that Grantee will not be determined to be at fault under any provision of this Agreement in any case where the performance of that provision is excused or excusable under Section 13.2. (i) Grantee's persistent failure or refusal to remedy one or more violations, defaults, breaches, or incidents of noncompliance for which lesser penalties have previously been imposed, unless Grantee is then contesting the same in good faith in a court or governmental agency of competent jurisdiction. (j) Grantee's insolvency, inability to pay its debts, or adjudication as a bankrupt. (k) Grantee's falsification of information set forth in any report required to be submitted to Grantor under this Agreement. (1) Grantee's failure or refusal to complete construction of the cable system upgrade within the period of time specified in the attached Exhibit D. 9.3. Removal of Property. Upon any termination, revocation, or forfeiture of the franchise, Grantee may be required to remove its structures and property from the Grantor's streets and to restore those streets to their prior condition within a reasonable period of time specified by Grantor, but not less that 180 days. Upon Grantee's failure to do so, the Grantor may perform the work and collect all costs, including direct and indirect costs, from the Grantee. At Grantor's discretion, the - 24 990317 11231-00001 8yC 0593890 2 Resolution No. 99-083 Page 33 cost of that work may be placed as a lien upon all plant, property, or other assets of the Grantee or a claim may be asserted against the performance bond referenced in Subsection 2.5(b) . t0. RECORDS; REPORTS; RIGHT TO INSPECT AND AUDIT; EXPERTS. 10.1. Grantee to Provide Records. All reports and records required under this Section 10 must be furnished at the sole expense of Grantee. 10.2. Records. Grantee must maintain at its San Bernardino office specified in Subsection 1.2(b), and make available for inspection and copying during normal business hours, and upon not less than 24-hours notice, a separate and complete set of business records that are reasonably related to the scope of Grantor's rights under this Agreement, or Grantor's regulatory functions. 10.3. Maintenance and Inspection of Records. Grantee must maintain accurate books and records, in conformity with generally accepted accounting principles, showing all receipts, expenses, loans, payments, investments of capital, and other transactions relating to the cable television franchise. Grantor, upon reasonable notice, has the right to inspect those records and to receive copies to the extent that information is reasonably related to the scope of the Grantor's rights under this Agreement, or Grantor's regulatory functions; provided, however, that Grantee may refuse to authorize the copying of any documents that are marked "confidential" or "proprietary" in accordance with Grantee's customary business practices. To the extent authorized by law, Grantor will protect the confidentiality of information contained in Grantee's business records that are deemed by Grantee to be proprietary. 10.4. Reports of Financial and ODeratin~ Activitv. (a) Not later than 90 days after the close of each fiscal year of Grantee during the term of this Agreement, Grantee must submit to the Grantor a financial report, certified by a designated financial officer of Grantee, that sets forth the annual gross receipts from all sources within the franchise service area, the annual gross subscriber revenues derived from each tier of service in the franchise service area, the total amoku%t and basis for the computation of annual franchise fees paid to Grantor, and such other relevant facts as may.reasonably be required by Grantor to verify the accuracy 'of the payment of annual franchise fees. (b) During the term of this Agreement, and upon Grantor's request, Grantee must submit reports concerning any or all of the following operational matters: - 25 990917 112~1'0000~ SyC 059]890 2 Resolution No. 99-083 Page 34 1. A summary of Grantee's activities within the franchise service area including, but not limited to, services added or discontinued, changes in technology, and the number of new installations. 2. A current list of Grantee's officers, directors, and other principals. 3. A summary of outage records and routine service-related calls received from subscribers for installation and service. If Grantee's collection and tabulation of subscribers' service calls and complaints covers a geographic area that is more extensive than the franchise service area, then Grantee must use its best efforts to estimate the number of such service calls and complaints originating in the franchise service area and must inform the Grantor of the methodology used in making those estimates. 4. A summary of subscriber complaints that were referred to Grantee by the Grantor, including the subscriber's name, date of referral, nature of the complaint, and the corrective action taken. 5. A description of the nature and purpose of any new construction that is anticipated to commence within the following two years. 6. A certificate of compliance stating that Grantee is in full compliance with the Consumer Protection Standards set forth in Exhibit E. 10.5. Performance Tests and Compliance Reports. Not later than April 15 of each year, Grantee must provide a written report of any FCC or other performance tests required or conducted. In addition, Grantee must provide reports of any tests and compliance procedures required by this Agreement not later than 30 days after the completion of those tests and compliance procedures. 10.6. Additional Reports. The Grantee must prepare and submit to the Grantor in writing, at the times and in the form reasonably prescribed by Grantor, all additional reports that may reasonably be required with respect to Grantee's compliance with the provisions of this Agreement. 10.7. Corm~unications with ReQulatorv A~egcies. Copies of all non-routine and material communications between the Grantee and the Federal Communications Commission, or any other agency having jurisdiction in respect to any matters affecting the cable communications operations authorized by this Agreement, must be submitted to the Grantor within 10 days after their receipt or submittal by Grantee. - 26 990317 11231.00001 syc C591890 2 Resolution No. 99-083 Page 35 10.8. Inspection of Facilities. Upon reasonable notice, and during normal business hours, Grantee must permit inspection, by any duly authorized representative of Grantor, of all franchise property and facilities of Grantee situated within the franchise service area. 10.9. RiQht to Audit. (a) In addition to all other inspection rights under this Agreement, upon 10 days prior written notice, Grantor has the right to inspect and audit, during normal business hours, all documents pertaining to the Grantee that are related to the Grantor's enforcement of its rights under this Agreement; provided, however, that the Grantor may not exercise this right more frequently than once in any 12-month period, nor may duplicative inspections and audits be conducted for those periods of time that have previously been subject to examination. Those documents will be made available at the Grantee's local office. All documents pertaining to financial matters that may be the subject of an audit by the Grantor, as set forth herein, must be retained by the Grantee for a minimum of three years. Access by the Grantor to any documents covered by this subsection may not be denied by the Grantee on grounds that those documents are alleged to contain proprietary information, but copying may be denied as provided for in Subsection 10.3. To the extent authorized by law, information derived from any records identified by Grantee as being proprietary will be held in confidence by Grantor, except as may be necessary to administer and enforce the franchise. (b) Any audit conducted by Grantor under this subsection will be conducted at the sole expense of Grantor, not more frequently than once every three years. Grantor will prepare a written report containing its findings, a copy of which will be mailed to the Grantee for its review. Grantee must reimburse Grantor for the expense of any such audit if, as the result of that audit, it is determined that there is a shortfall of more than three percent (3%) in the amount of franchise fees or other payments that have been made or will be made by Grantee to Grantor under the terms of this Agreement. Such reimbursement must be made by Grantee within 20 days of written notice from the Grantor. 10.10. Retention of Experts. When deemed to be necessary for the exercise of its rights under this Agreement, Grantor has the further right to retain technical experts and other consultants to ensure compliance with and enforcement of the provisions of this Agreement. The Grantor will bear the cost of retaining those experts unless either of the following is applicable: (a) The Grantee has initiated proceedings that would normally require the Grantor to retain experts or consultants, such as the filing of a request for approval of 27 990317 11231-00001 $yC 0593890 2 Resolution No. 99-083 Page 36 a transfer or a change in control, renewal of the franchise (to the extent allowed by law), expansion of the franchise service area, or the modification or amendment of this Agreement; or (b) The reports of those experts or consultants as submitted to the Grantor reveal that the Grantee has failed to substantially comply with the terms and conditions of this Agreement. If either paragraph (a) or (b) is applicable, Grantor and Grantee will meet and confer for the purpose of determining whether all or some portion of the costs incurred by Grantor will be reimbursed by Grantee. 11. ENFORCEMENT PROCEDURES. 11.1. Notice and Hearinq uoon Grantee's Default. (a) Unless otherwise provided in this Agreement, prior to formal consideration by Grantor of any termination, revocation, or forfeiture of Grantee's franchise, or the imposition of any fine, penalty or administrative remedy available to Grantor, including liquidated damages, attributable to Grantee's failure, whether willful, negligent, or otherwise, to comply with the terms and conditions of this Agreement, Grantor must make written demand on Grantee to correct the alleged default. Grantor and Grantee will expeditiously meet to discuss the alleged default, at which time Grantee must indicate, in writing, the period of time reasonably required to cure the default. Giving due consideration to Grantee's request, Grantor will at that meeting, or within three days thereafter, state in writing the period of time Grantor will allow Grantee to resolve the problem. During this time period for cure, but in no event less than 20 days before the final date for correction, Grantee may request additional time to correct the problem, and Grantor will grant that request if Grantor reasonably determines that such additional time is necessary due to delays beyond Grantee's control. If the default continues for a period of 20 days after the deadline for correction, including any authorized extension of time, a hearing before the City Council will be scheduled by Grantor with regard to franchise termination, revocation, forfeiture, or the imposition of any other appropriate fine, penalty, or administrative remedy. (b) The City Manager will provide to Grantee written notice of the hearing, including the grounds for the proposed action, not less than 10 days before the hearing. That written notice will also describe the procedures to be followed by the City Council to determine whether cause exists for termination, revocation, forfeiture, or the imposition of fines, penalties, or remedies. At a minimum, those procedures will afford the Grantee adequate notice and a fair opportunity for full participation, including the right to introduce evidence, to require the - 28 Resolution No. 99-083 Page 37 production of evidence, to question and to cross-examine witnesses, and to obtain a transcript of the proceeding at Grantee's expense. At the hearing, the City Council will hear Grantee, and any other person interested in the matter, and will determine, at that or at any continued hearing, an appropriate course of action for enforcement of the franchise. All decisions of the City Council will be in writing and will include findings of fact and conclusions. A copy of the decision will be transmitted to the Grantee. The decision of the City Council will be final and dispositive but without prejudice to Grantee's right to pursue any remedies provided by state or federal law. 11.2. DeleQation. The proposed imposition of remedies, such as liquidated damages or monetary penalties, that do not involve termination, revocation, or forfeiture of the franchise may, at Grantor's option, be determined by an officer, employee, or agency of the Grantor to which it may delegate these administrative decisions, subject to due process and the criteria contained in this section, and subject to Grantee's right to appeal to the City Council. 11.3. StOP Work Notice. If any construction is performed by or on behalf of Grantee in a manner that does not comply with the provisions of this Agreement, the Grantor's Public Works Director, or any other designee of the Grantor's City Manager, may order the work to be stopped. That order to stop work may be made by written notice and served upon any person engaged in or responsible for the construction. No work that is stopped may be resumed until authorized by the Public Works Director or other designated representative of the Grantor. 11.4. Authorized Fines, Penalties, and Other Sanctions. (a) Grantor may impose fines, penalties, and other sanctions as set forth in this Subsection 11.4 for defaults under, or incidents of noncompliance with, the provisions of this Agreement. Grantor must first give Grantee written notice of the alleged default or incident of noncompliance in accordance with Subsection 11.l(a) and an opportunity to correct the problem. (b) Following the exDiration of any specified period within which Grantee is directed ~o cure a default or an incident of noncompliance, the following fines, penalties, and other sanctions ~y be imposed by Grantor after the hearing required under either Subsections 11.1 or 11.2: 1. For Grantee's failure to comply in any material respect with any of the design and construction standards set forth in Section 7 of this Agreement, a penalty not to exceed $250 may be imposed for each day that the incident of noncompliance has not been remedied by the Grantee. 2. For Grantee's failure to comply in any material respect with the periodic performance testing 29 990317 ~1231 00001 $yC 3593890 2 Resolution No. 99-083 Page 38 requirements set forth in paragraph (a) of Subsection 8.2 of this Agreement, a penalty not to exceed $250 may be imposed for each day that the incident of noncompliance has not been remedied by the Grantee. 3. For Grantee's failure, in any material respect, to maintain or to provide any books, records, reports, or other documents in the manner and at the time specified in this Agreement, a penalty not to exceed $250 may be imposed for each day that the incident of noncompliance has not been remedied. by the Grantee. 4. For Grantee's failure to comply in any material respect with any of the Consumer Protection Standards as specified in Exhibit E to this Agreement, excluding violations of the four-hour scheduling requirement for service connections or repairs, a penalty not to exceed $250 may be imposed for each day that the incident of noncompliance has not been remedied by the Grantee. 5. Subject to the limitations imposed by Section 1722(b) of the California Civil Code, if Grantee fails to commence a service connection or repair within a specified or agreed-upon four-hour period, the Grantee must provide to the subscriber one of the following, at the subscriber's option: (i) free service connection or repair; or (ii) a credit to the subscriber's account in the sum of $20. 6. For any other default or incident of noncompliance that is material and that is not specified in this Subsection 11.4, a maximum penalty not to exceed $250 may be imposed upon Grantee by Grantor for each day that the default or incident of noncompliance has not been remedied by the Grantee. 12. CONTINUITY OF CABLE TELEVISION SYSTRM SmRVICES. 12.1. Continuity of Service. The parties acknowledge that it is the right of all subscribers to receive all services authorized by this Agreement so long as they honor their financial and other obligations to the Grantee. During Grantee's upgrade of the system, and upon any future sale of the system, Grantee must use commercially reasonable efforts to provide continuous service to subscribers. In the event Of purchase by Grantor, or a change of franchisee, Grantee will cooperate with Grantor or the new franchisee to operate the system for an interim period in order to maintain continuity of service to all subscribers. If Grantee intentionally abandons all cable services on a system-wide basis for 72 continuous hours, and Grantee is in material default of this Agreement, or if the franchise is revoked by Grantor, then Grantor may, by resolution, when reasonable cause is deemed to exist, assume operation of the system on an interim basis for the purpose of maintaining continuity of service. Grantor's operation of the system may continue until the circumstances that, in the judgment of the 30 - 990~17 11231~00001 ~yC 059]890 2 Resolution No. 99-083 Page 39 Grantor, resulted in the cessation of cable services are resolved to Grantor's satisfaction. Grantor is entitled to receive all revenues and is responsible for all obligations and liabilities during any period in which it operates the system. 12.2. Operation and Manaqement BY Grantor. (a) During any period when the system is being operated by Grantor under Subsection 12.1 above, Grantor will attempt to minimize the disruption of operations in a manner consistent with the maintenance of continuing service to subscribers. Notwithstanding the foregoing, Grantor may, as it deems necessary, make any changes in any aspect of operations that, in Grantor's sole judgment, are required for the preservation of quality and continuity of service. During that period, Grantor will also maintain to the best of its ability the system's records, physical plant, financial integrity, funds, and other elements normally involved in operations. (b) Grantor may, upon assuming operation of the system, appoint a manager to act for it in conducting the system's affairs. That manager will have such authority as may be delegated by Grantor and will be solely responsible to Grantor for management of the system. Grantee must reimburse Grantor for all reasonable costs, in excess of system revenues retained by Grantor, that are incurred during Grantor's operation if the franchise remains in effect during the period of Grantor's operation. 13. MISCELLANEOUS PROVISIONS 13.1. Assiqnment, Transfer, Sale, and Chanqe of Control. (a) As specified in paragraph (F).of Subsection 7.02.020 of Title 7, consummation of the following transactions related to this franchise, or involving the Grantee of this franchise, requires the prior written con~ent of the Grantor's City Council expressed by resolution after a public hearing, which consent will not be unreasonably withheld, and then only under such conditions as may be prescribed: (1) The sale, transfer, lease, assignment, or other disposition of the franchise, in whole or in part, whether voluntary or involuntary; provided, however, that such consent is not rec/uired for a transfer in trust, mortgage, or other hypothecation for the purpose of securing an indebtedness of the Grantee relating to the construction, reconstruction, operation, or maintenance of the cable television.system. A transfer, assignment, or other disposition of the franchise may be made only by an instrument in writing, a duly executed copy of which must be filed in the office of the City Clerk within 10 days after the consummation of that transfer, assignment, or other disposition. - 31 990]~? 11231-00001 syc 05918~0 2 Resolution No. 99-083 Page 40 (2) Any merger, consolidation, reorganization, business combination, or other transaction wherein or whereby ten percent or more of the ownership interests in the Grantee or in any parent company of the Grantee, will be affected and control of the Grantee will change or be subject to change. As used herein, "control" means the possession, direct or indirect, of the power to direct or cause the direction of the management and policies of the Grantee. A duly executed copy of any written instrument evidencing the closing and consummation of any such transaction must be filed in the office of the City Clerk within 10 days after the closing and consummation of that transaction. (b) In determining whether it will consent to any transfer, assignment, or other disposition of the franchise, or to any transaction affecting the control of the Grantee, the Grantor may evaluate the financial, technical, legal, and other qualifications of the proposed transferee or controlling person. Grantee must ensure that the proposed transferee or controlling person submits an application, in the form required by Title 7, or by any applicable federal law, prior to the closing date of the proposed transaction. After considering the financial, technical, legal and other qualifications of the proposed transferee or controlling person, the City Council may, by ordinance or resolution, authorize the proposed transaction, subject to such conditions as may be in the public interest. Grantor's consent to any such transaction may not be unreasonably denied or delayed. (c) Grantee and its proposed transferee or controlling person are jointly and severally responsible for reimbursement to the Grantor of all costs and expenses reasonably incurred in evaluating and processing the application related to the proposed transaction. These costs and expenses may include, as may be determined by the Grantor to be reasonably necessary, the following: costs of administrative review; financial, legal and technical evaluation of the proposed transferee; costs for technical experts and consultants; notice and publication costs; and document preparation expenses. Grantor will send Grantee an itemized statement of those costs and expenses reasonably incurred, and Grantee will pay that amount within 20 days after receipt of that statement. Unless otherwise agreed to by the Grantor and the Grantee, such costs and expenses will not exceed the sum of $15,000. (d) The requirements of this Subsection 13.1 do not apply to the restructuring of debt or to the transfer of ownership interests between existing equity owners of any of the entities identified in the attached Exhibit B; provided, however, that the Grantee must provide to Grantor not less than 30 days prior written notice of that proposed transaction and must represent that such transaction will have no foreseeable effect on the management and operation of the Grantee's cable system in the franchise service area. 32 Resolution No. 99-083 Page 41 13.2. Force Majeure. (a) If Grantee's performance of any of the terms, conditions, obligations, or requirements of this Agreement is prevented or impaired by any cause or event beyond its reasonable control and not reasonably foreseeable, that inability to perform will be deemed to be excused, and no penalties or sanctions will be imposed. Those causes beyond Grantee's reasonable control and not reasonably foreseeable include, but are not limited to, acts of God, civil emergencies, labor unrest, strikes, inability to obtain access to an individual's property, and inability of the Grantee to secure all necessary authorizations or permits to use necessary poles or conduits so long as Grantee exercises due diligence to timely obtain those authorizations or permits. (b) where any cause or event is beyond Grantee's reasonable control and is not reasonably foreseeable, and that cause or event only partially affects Grantee's ability to perform, Grantee must perform to the maximum extent possible. In that event, Grantee must give written notice to the Grantor of any such cause or event within five business days after Grantee has learned or should have learned of its occurrence. (c) . Grantee's compliance with the terms, conditions, obligations, and requirements of this Agreement will not be excused on the basis of increases in the cost of performance, changes in economic circumstances, or nonperformance by an employee, agent, or contractor of the Grantee. (d) Nothing contained in this Subsection 13.2 will be deemed to limit Grantee's rights under 47 U.S.C. § 545, as it now exists or may later be amended, to seek modifications of franchise requirements based upon "commercial impracticability." 13.3. Possessorv Interest. By accepting the franchise, Grantee acknowledges notice was given to Grantee, as required by California Revenue and Taxation Code Section 107.6, that use or occupancy of any public property under the authority set forth in this Agreement may create a possessory interest that may be subject to the payment of property taxes levied upon that interest. 13.4. Indemnification. Grantee will indemnify, defend, and hold harmless the Grantor, its officers, agents and employees, from any liability, claims, damages, costs, or expenses, including reasonable attorney's fees, arising out of or attributable to the exercise or enjoyment of the franchise renewed pursuant to this Agreement. Grantee, at its sole cost and expense, and upon demand of Grantor, will appear in and defend all suits, actions, or other legal proceedings, whether judicial, quasi-judicial, administrative, legislative or otherwise, instituted by third persons or duly constituted authorities, against or affecting Grantor, its officers, agents, or employees, and arising out of or pertaining to the exercise of 33 990317 1~231~00001 S¥C 0593890 2 Resolution No. 99-083 Page 42 rights arising under the franchise within the franchise service area, and injury to persons or damages to property proximately caused by any conduct undertaken by the Grantee, its agents, employees, or subcontractors, by reason of the franchise. 13.5. Receivership and Foreclosure. (a) At the option of Grantor, this franchise will terminate 120 days after the appointment of a receiver, or trustee, to take over and conduct the business of Grantee, whether in a receivership, reorganization, bankruptcy or similar action or proceeding, unless chat receivership or trusteeship is vacated prior to the expiration of that 120-day period, or unless: (i) the receiver or trustee, within 120 clays after that appointment, fully complies with all th~ terms and provisions of this Agreement, and remedies all ~efaults ~nder this Agreement; and (ii) the receiver or trustee, within that 120-day period, executes an agreement duly approved by the court having jurisdiction in the matter, whereby that receiver or trustee assumes and agrees to be bound by each and every term, provision, and limitation of this Agreement. (b) In the case of a foreclosure or other judicial sale of the plant, property, or equipment of Grantee, or any part thereof, including or excluding this franchise, Grantor may serve notice of termination upon Grantee and the successful bidder at that sale, in which event this franchise, and all rights and privileges of the Grantee under it, will terminate 30 days after the service of that notice, unless: (i) Grantor approves the transfer of the franchise in the manner provided by this Agreement; and (ii) the successful bidder covenants and agrees with Grantor to assume and be bound by all the terms and conditions of this Agreement. 13.6. Conflict of Interest. The parties agree that, to their knowledge, no member of the City Council, nor any other officer or employee of Grantor, has any interest, whether contractual, non-contractual, financial or otherwise in this franchise, or in other business of the Grantee, and that if any such interest comes to the knowledge of either party at any time, a full and complete disclosure of that information will be made in writing to the other party, even if that interest would not be considered a conflict of interest under applicable laws. Grantee covenants that it has, at the time of execution of this Agreement, no interest, and that it will not acquire any interest in the future, direct or indirect, that would conflict in any manner with the performance of its obligations'under this Agreement. Grantee further covenants that, in the performance of its obligations, no person having any such interest will be engaged or employed. - 34 Resolution No. 99-083 Page 43 13.7. Resolution of DisPutes. (a) Disputes regarding the interpretation or appli- cation of any provisions of this Agreement will, to the extent reasonably feasible, be resolved through good faith negotiations between the parties. (b) If any action at law or in equity is brought to enforce or interpret any provisions of this Agreement, that action must be initiated in federal or state courts located within Los Angeles County or San Bernardino County, State of California, regardless of any other possible jurisdiction or venue. In addition, the prevailing party in any such action is entitled to reasonable attorneys' fees, costs and necessary disbursements, in addition to any. other relief that may be sought and awarded. 13.8. Waiver bv Grantor. The Grantor has the right to waive any provisions of this Agreement, except those required by federal or state laws or regulations, if the Grantor determines (i) that it is in the public interest to do so, and (ii) that the enforcement of such provision will impose an undue hardship on the Grantee or its subscribers. To be effective, a waiver must be in writing and signed by a duly authorized representative of the Grantor. 13.9. Severability. If any provision of this Agreement is determined by a court of competent jurisdiction to be invalid or unenforceable, the remaining provisions will not be affected unless their enforcement under the circumstances would be unreasonable, inequitable, or would otherwise frustrate the purposes of this Agreement. 13.10. Amendments. This Agreement supersedes all prior proposals, agreements and understandings between the parties and may not be modified or terminated orally. No modification, termination or attempted waiver of any of its provisions will be binding unless in writing and signed by the party against whom the same is sought to be enforced. 13.11. Binding UDOn Successors. This Agreement is binding upon and inures to the benefit of each of the parties and to their respective transferess, successors and assigns. 13.12. Counterpart Execution. This Agreement may be exe- cuted in multiple counterparts, each of which is deemed to be an original and all of which constitute one and the same'instrument. 13.13. ADDlicable Law. This Agreement and the transactions contemplated by it are to be construed in accordance with and governed by the applicable laws of the State of California and of the United States. 35 - 990317 112~l'00001 $¥C 0593890 2 Resolution No. 99-083 Page 44 14. DEFINITIONS. a. Defined Terms. For the purposes of this Agreement, the following words, terms, phrases, and their derivations have the meanings set forth below. When not inconsistent with the context, words used in the present tense include the future tense, and words in the singular number include the plural number. "Basic Service" or "Basic Cable Service" or "Basic Service Tier" means the lowest service tier that includes the retransmission of local television broadcast signals, including those of public, educational, and governmental access channels. "1984 Cable Act" means the Cable Communications Policy Act of 1984. "!992 Cable Act" means the Cable Television Consumer Protection and Competition Act of 1992. "Cable Act" means the 1984 Cable Act as amended by the 1992 Cable Act and by the Telecommunications Act of 1996. "Cable Operator" means any person or group of persons (i) who provides cable service over a cable system; or (ii) who controls or is responsible for, through any arrangement, the management and operation of a cable system. "Cable Service" means the one-way transmission to subscribers of video programming, or other programming services, and subscriber interaction, if any, that is required for the selection or use of that video programming or other programming service. For the purposes of this definition, "video programming" means programming provided by, or generally considered comparable to programming provided by, a television broadcast station; and "other programa%ing service" means information that a cable system operator ~akes available to all subscribers generally. For the puzl~oses of this Agreement, and subject to future changes in federal law, the term ',cable service" includes high-speed data services that are provided to subscribers within the franchise service area. "Cable System" or "Cable Co~nunication System" or "Cable Television System" means a facility, consisting of a set of closed transmission paths and associated signal generation, reception, and control equipment that is designed to provide cable service that includes video programming'and that is provided to multiple subscribers within a community. The term "cable system" does not include: {i) a facility that serves only to retransmit the television signals of one or more television broadcast stations; - 36 Resolution No. 99-083 Page 45 (ii) a facility that serves subscribers without using any public right-'of-way; (iii) a facility of a common carrier that is subject, in whole or in part, to the provisions of Title II of the Telecommunications Act of 1996, except that such facility will be considered a cable system (other than for purposes specified in Section 621(c) of the 1984 Cable Act) to. the extent such facility is used in the transmission of video programming directly to subscribers, unless the extent of such use is solely to provide interactive on- demand services; (iv) an open video system that complies with Section 653 of Title VI of the Telecommunications Act of 1996; or (v) any facilities of an electric utility that are used solely for operating its electric utility system. "Complaint" means a billing dispute in which a subscriber notifies Grantee of an outage or degradation in picture quality that is not corrected following the initial telephone or service call. "Control" or "Controllinq Interest" means actual working control in whatever manner exercised, including, without limitation, working control through ownership, management, or debt instruments, as the case may be, of the cable system or the Grantee. "QroD" means the cable and related equipment connecting the Cable System's plant to equipment at the premises of a Subscriber or the facilities of the Grantor. "Education Chan~el" means any channel where non-profit educational institutions are the primary designated programmers. "FCC" means the Federal Communications Co~ission or its designated representatives. "Franchise" means a written undertaking or action of the Grantor that authorizes a specific person to use the Grantor's streets and public ways for the purpose of installing, operating and maintaining a Cable Television System to provide Cable Service. "Government Channel" means any channel where a local government agency is the primary designated programmer, and the - 37 - 990317 11231-00001 SyC 0593890 2 Resolution No. 99-083 Page 46 programming is informational programming regarding government activities and services. "Grantee" means the person or entity to which a Franchise is granted for the construction, reconstruction, operation, and maintenance of a Cable System, and the lawful successors, transferees, or assignees of that person. "Grantor" means the City of Rancho Cucamonga, acting by and through its elected governing body, or such representative. as the governing body may designate to act on cable matters in its behalf. "Gross Annual Revenue" or "Gross Annual Receipts" or "Gross Receipts" means all revenue, as determined in accordance with generally accepted accounting principles, that is received, directly or indirectly, by Grantee from or in connection with the distribution of any Cable Service within the franchise service area, and any other service provided within the franchise service area that may, under existing or future federal law, be included in the Cable Act definition for the purpose of calculating and collecting the maximum allowable franchise fee for operation of the system, whether or not authorized by any franchise, including, without limitation, leased or access channel revenues received, directly or indirectly, from or in connection with the distribution of any Cable Service. It is intended that all revenue collected by the Grantee from the provision of Cable Service over the system, whether or not authorized by the franchise, be included in this definition. Gross Annual Revenue also specifically includes any revenue received, as reasonably determined from time to time by the Grantor, through any means that is intended to have the effect of avoiding the payment of compensation that would otherwise be paid to the Grantor for the franchise granted. Gross Annual Revenue also includes any bad debts recovered, and all advertising revenue that is received directly or indirectly by Grantee, or any other person, from or in connection with the distribution of any service over the System or the conduct of any service-related activitF invoi¥lmc3 the System. Gross Annual Revenue does not include: (i) the revenue of any person to the extent that such revenue is also included in the Gross Annual Revenue of Grantee; (ii) taxes imposed ~y law on Subscribers that Grantee is obligated to collect; and (iii) amounts that must be excluded pursuant to applicable law; and (iv] bad debt. "Headend" means that central portion of the system where signals are introduced into and received from the balance of the system. "Leased Channel" or "Leased Access Channel" means any channel where someone other than Grantor or Grantee is sold the rigbus to air programming. 38 - 990~17 11231-00001 ~yc 0593B90 2 Resolution No. 99-083 Page 47 "Monitorinq" or "TaDDinm" means observing or receiving a signal, where the observer is neither the sending nor receiving party and is not authorized by the sending or receiving party to observe that signal, whether the signal is observed or received by visual, electronic, or any other means. "Pay Cable," "Pay Service," "Premium-Service" or "Pay Television" means signals for which there is a fee or charge to users over and above the charge for Basic Service, including any tiers of service; provided, however, the sale or lease of studio facilities, equipment, or tapes to local users are not deemed to be pay or premium services. "Person" means any individual, corporation, partnership, proprietorship, or organization authorized to do business in the State of California. "Plant" means the transmitting medium and related equipment that transmits signals between the Headend and Subscribers, including Drops. "Pole Attachment Amreement" or "A~tachment Amreement" means any agreement with the Grantor, with any other governmental entity, or with any public utility re~ating ~o the Grantee's use of utility poles, ducts, or conduits. "Promram" or "Promramming" means the information content of a signal and the act or process of creating that content, whether that content is intended to be pictures and sound, sound only, or any other form of information. "Promrammer" means any person who provides program material or information for transmission by means of the System. "Property of Grantee" means all property owned or leased by Grantee within the franchise service area in the conduct of its Cable System business under a Franchise. "Public Channel," "Access Channel," "Community Service Channel" or "Community Channel" means any channel for which members of the public, or any community organization, may provide nonadvertiser supported programming. ',Residential Dwelling Unit" or "Dwellinm Unit" means a home, mobile home, condominium, apartment, cooperative unit, and any other individual dwelling unit. "Service" means any kind of service or type of benefit provided by Grantee, or any group of related benefits made available to any person, that involves the use of a signal transmitted via a Cable Television System, whether the signal and its content constitute the entire service or comprise only a part of a service that involves other elements of any number or kind. 39 - 990~17 11231 00001 SyC 059]890 2 Resolution No, 99-083 Page 48 "Service Area" or "Franchise Service Area" means that territory within the City of Rancho Cucamonga that is specifically described in Exhibit C to the franchise agreement. "Service Interruption" means the loss of picture or sound on one or more cable channels. "Service Tier" or "Tier" means a category of Cable Service or other services provided by a Cable Operator and for which a separate rate is charged by the Cable Operator, other than per channel or per event programming or packages of per channel or per event programming. "Streets" means the surface of, az%d t~e space above and below, any public street, sidewalk, alley, or other public way or right-of-way of any type. "Subscriber" means any person electing to subscribe to, for any purpose, a service provided by Grantee by mear~9 of or in connection with its Cable System. b. Terms Not Defined. Words, terms, or phrases not defined above in paragraph (a) shall first have the meaning as defined in the Cable Act, and next in Title 7, and next the special meanings attributable to their use in any industry, business, trade, or profession where they commonly carry special meanings. If those special meanings are not common, they will be defined as set forth in commonly used and accepted dictionaries of the English language. 15. AUTHORITY ;%ND EFFECTIVE DATE. 15.1. AuthoritY. The persons signing below represent that they have the requisite authority to bind the entities on whose behalf they are signing. 15.2. Effective Date. This Agreement will become effective as of the date specified in Subsection 1.7. It is the intention of the parties that the Grantee will first execute this Ac3reement and then su~mit it to the Grantor. The City Clerk will insert the effective date in all coua~terparts of this A~3reemnt, attest to their execution by a duly authorized officer of ~he Grantor, and transmit one or more fully executed counterparts to the Grantee. - 4O 7903[7 [1231-0000t $¥C 0593890 2 Resolution No. 99-083 Page 49 TO EFFECTUATE THIS AGREEMENT, each of ~he parties has caused this Agreement to be executed by its duly authorized representative as of the date set forth below the authorized signature. APPROVED AS TO FORM: AMERICAN CABLE ENTERTAINMENT COMPANY, LLC, a Delaware limited liability company By: Bruce k.~~~~ P esir d ne t and Chi(~f Executive Officer APPROVED AS TO FORM: Corporate Counsel - 41 990317 11231 00001 S¥C 0593890 2 Resolution No. 99°083 Page 50 EXHIBIT A TITLE 7 OF THE RANCHO CUCAMONGA MUNICIPAL CODE AS ADOPTED AND IN EFFECT ON THE EFFECTIVE DATE OF FRANCHISE RENEWAL Resolution No. 99-083 Page 51 EXHIBIT B OWNERSHIP The ownership of American Cable Entertainment Company, LLC, is described as follows: The Grantee, American Cable Entertainment Company, LLC, is a wholly-owned direct subsidiary of ACEC Holding Company, LLC, a Delaware limited liability company ("ACEC Holding"). The ownership of ACEC Holding is as follows: (i) an aggregate of 5~.8% of ACEC Holding is owned by Providence Equity Partners L.P. and Providence Equity Partners II L.P., which two limited partnerships are affiliates of Providence Equity Partners, Inc. of Providence, RI; (ii) 39.2% of ACEC Holding is owned by Societe Generale Capital Corporation, which corporation is an affiliate of Societe Generale, of New York, NY; and (iii) 2.0% of ACEC Holding is owned by Bruce A. Armstrong, the President and Chief Executive Officer of Grantee. Resolution No. 99-083 Page 52 EXHIBIT C DESCRIPTION OF THE FRANCHISE SERVICE AREA [TO BE SUPPLIED BY GRANTOR] - C-1 990317 11231~00001 SyC 0593890 2 Resolution No. 99-083 Page 53 EXHIBIT D GRANTEE'S TECHNOLOGY IMPLEMENTATION PLAN I. DESCRIPTION OF GRANTEE'S UPGRADE OF THE CABLE SYSTEM No later than December 31, 1999, Grantee will submit to Grantor its schedule relating to the proposed upgrade of the cable system within the franchise service area. Grantee will upgrade the cable system in its entirety, throughout the franchise service area, to 112 channels (750 MHz bandwidth). This upgrade will include the installation of a fiber optic backbone, which will reduce trunk amplifier cascades and thereby enhance system reliability and picture quality. CONSTRUCTION OF THE CABLE SYSTEM UPGRADE A. Grantee will commence construction of the cable system upgrade by January 1, 2000, and will complete the upgrade in its entirety, throughout the franchise service area, not later than December 31, 2001. B. Grantee's upgrade of the cable system will be in compliance with all FCC technical standards, as they now exist or may later be amended or supplemented. C. Grantee's upgrade of the cable system will be in compliance with all applicable construction standards that are set forth in this Agreement, including those relating to the undergrounding of network facilities. III. INCENTIVE FOR TIMELY COMPLETION OF THE CABLE SYSTEM UPGRADE. A. If Grantee completes construction of the cable system upgrade by December 31, 2001, then the term of this cable television franchise awarded by Grantor will be automatically extended for an additional term to expire on April 17, 2015. B. If construction of the cable system upgrade has not been completed by Grantee by December 31, 2001, and that noncompletion is neither excusedby Grantor nor attributable to an event of "force majeure" specified in Subsection 13.2, then there will be no extension of the term of this cable television franchise and, in its sole discretion, Grantor may impose the penalties or sanctions set forth in Section IV. IV. PEN~T.TIES FOR FAILURE TO COMPLETE CONSTRUCTION OF THE CABLE SYSTRM UPGRADE BY DECEMBER 31, 2001 If Grantee fails to complete construction of the cable system upgrade by December 31, 2001, and that failure is not excused by Grantor, nor attributable to an event of "force majeure" specified in Subsection 13.2, then Grantor may, in its discretion, impose the following penalties or sanctions, as may be appropriate under the circumstances: - D-I 990317 ~1211-00001 syc 0593890 2 Resolution No. 99-083 Page 54 A. Proceed against the surety on the performance bond relating to construction of the upgraded cable system, which performance bond is provided for in Subsection 2.5(a) of this Agreement. B. Impose a monetary penalty upon Grantee in an amount up to $250 for each day beyond December 31, 2001, during which Grantee has failed to complete construction of the cable system upgrade, as provided for in Subsection 11.4 of this Agreement. C. Revoke, terminate, or declare a forfeiture of the cable television franchise in accordance with the procedures specified in Subsection 11.1 of this Agreement. 990317 11231 00001 syc 0593890 2 Resolution No. 99-083 Page 55 EXHIBIT E CONSUMER PROTECTION STANDARDS Grantee's Notifications to Subscribers. Grantee will provide to all new subscribers and annually to existing subscribers, notifications that are substantially similar to those attached as Schedule 1 to this Exhibit E. 2. General Standards for Consumer Service and Protection. Grantee must meet or exceed all applicable consumer service standards that are customary in the cable television industry and that are recommended or required by the following: (a) Federal statutes, and the rules, regulations, and orders of the Federal Communications Commission, including the following: (i) The provisions of Section 76.309(c) of Title 47 of the Code of Federal Regulations, as it now exists or may later be amended, a copy of which is attached as Schedule 2 to this Exhibit E; provided, however, that strict compliance with these provisions will not be required during such time as the upgrade is under construction, as provided for in Exhibit D. (ii) The provisions of Section 76.630 of Title 47 of the Code of Federal Regulations, as it now exists or may later be amended, a copy of which is attached as Schedule 3 to this Exhibit E. (iii) The provisions of Section 551 of Title 47, United States Code, as it now exists or may 'later be amended, a copy of which is attached as Schedule 4 to this Exhibit E. (b) The provisions of California Government Code Sections 53054, 9_% S~q., entitled the ~Cable Television and Video Provider Customer Service and Information Act, a copy of which is attached as Schedule 5 to this Exhibit E." (c) The provisions of California Government Code Section 53088, et $~q., entitled the "Video Customer Service Act, a copy of which is attached as Schedule 6 to this Exhibit E." (d) The provisions of California Civil Code Section 1722(b) (1)-(6) relating to service or repair transactions between cable television companies and their subscribers, a copy of which is attached as Schedule 7 to this Exhibit E. Resolution No. 99-083 Page 56 Unless preempted by paramount federal law, the consumer service standards referenced above that are the most stringent, and that afford the greatest degree of protection to consumers, will apply to Grantee's operations and activities in the franchise service area. 990317 [!231 00001 SyC 0593890 2 Resolution No. 99-083 Page 57 Resolution No. 99-083 Page 58 HI-DESERT CABLEVISION RATE SCHEDULE e rate structure listed below meets price guidelines and remains nsistent with regulations established by the Federal Communications mmi-~sion, as well as the terms of our fr, mchise agreements with local ramunities. You must subscribe to Limited Basic Service in order to bscribe to the Cable Programming Services. SIC $ER',ICES TfID B.~iC $ERqCE ~LE PRO~R.ed,'dL~G SERVZES ~.\Z).~,D SF..R¥ICE 1'ER irenet rental · ~c conYerter reed Guide ~Jt~onal Outlet E.%U1.'M SERVICES O 0~rl'BE.~tC cP, Z'./I~¢0 RE 02 ,mium/P~ RATE 13.00 Channels 2-14, 17, 18, 19 19.30 Channels 23-54, 58, 62 32.30 All of the above channels 2.00 for each addressable converter 1.51 for each basic convefier i.~ trix included 11.25 A la carte !1.25 A la carte 11.25 A [a cane 8.95 A la cafie 5.95 for both channels 0.00 6.43 ffUJ.&TION SERHCE$ .,ular Installation 35.00 ~om ln.~a!lation Cost Plus :Litional Outlet Installation35.00 :onn~ 26.25 hove trap / 1~er Change 17.50 16 total 34 total 50 Lotal Free with purchase of HBO Premium semce on addJtio~ converter(s) GenenJ price for movzs, $3.95, or as. speci~ pined Adult n~es: $5.95 / $8.95. $35.00/hr, minimum I hour billing $35.00/hr. plus c~ o[ m~, minimum I hour billing $35.00~our, minimum I hour billin~ Seasonal or non-pynm, nininm ~ milll' .' ,A,I,io~ me needed to comptm above smite(s) over dm minimum d'm~ m billed t5 ~uz additional incrmenu. ~ll mnminm& tms~ dr~ rdocaes, innils o-r ~ a an ho~ly me of $35.00 in 15 himroe incmnms (~75/15 mtnu~) plus the ~ of m,~erials. ~ CK~aGF~ & $E~XlCES z~-~ble ~ m ~pm~t 50.~ ~um or ~M co~ ~d ~ice ~ 35.~ ~ ~<k ~ (~y ~n) 12.50 ~m ~nice ~ge ~ ~ m o~ce 1.~ ~o ~ice 3.~ per outlet e ~ 4.75 and ~ do no( include applicable Federal, State and local Laxes, fnnchise fees, ~ or related ~-~. The appUcable amount wdl be added to ~h bill. The F¢C ReguJaLo~.' fee Ls $.0~ per month CHANNEL LINE-UP Eli NETWORK DESCRIPTION LIMITED RA~IC CHANNELS I HOME THEATER I C~Per.~,k,,s' Mm~es and Esem~ 2 KC~ 3 IRX~'P/-3. Iz~ F. ditio~ Ne~$ ~ :~4 & :5..i, PSA's, Schools & Iz~ On~,mion 4 K)tBC NBC 7K~8C 9 1(CAl. Io Wl'SS Spore, spemls a~l Mo~ L~ 61odd~,~ ,~lm~, Ori~naJ .'~-ies, Spore & F~ily .Pmp-Jms ' 4 {IH!~M~ SffOIq'!~ Nff110" IIome Shoppinl 16 y Free silh IIBO- Or Emerlainmem / Family Package including I? Fl~lONtd. ACC~ Oripnal I.h'e Prop'mmin~ Spore and GenenJ Entemiamem 18 LocM ~hool Pro&ramming 19 C-S?AN : 24.hour ~bUc .Uhirs Progrmming ZO THE DISNEY QIK%W.L Famib Entem~nmem. Classic Okqnev Films and O~linal Pr~ 21 ffNCO[~. ill! M~ies o~ rite '6Os, ';'Os & 'SOS ' Z! 5TAJ~ Blocld~ae' Umies CABLE PROGRAMMING $ER¥1CE CHANNELS 24 Vll I 24.fio6r C0mmpor~.' V~deo ~lu.~ Channd 25 AMERICANMO~E~CS Cla~Mo,~[mmO~e'.~Ale' o~lloU.w,'ood :'7 ~ 21-hour Spore PmlrmmmAg..~e~s and lmo _,~. 18 CIOI !4-1~r In-dq~ .~ss, Business, :~om mt ~,'e'~r 31 Pll,~ al~ Cembmous PTo~ G~ide / PI~ A PTemmnl 32 NkSIMI. LENEllgO~ Emp--' -~m,)~andrBhing, T 33 ~ ~ areacame rro~mnl mr omen 41 OIBC Z4.hour Cornmet ~ and B~sme~ Clunnei Resolution No. 99-083 Page 59 CABLE TELEVISION SUBSCRIBER's PRIVACY RIGHT NOTICE · the course of providing cable television ser~ice. it is necesary to maintain certain i~orm.-uion regardin8 our cnslomes. Under the Cable Communicaior~ Act of 1984, we a~ required to provide ~ n~c.e to advise our subscribers of the limitaions under Fede~ Law upon the collection and disclosure of such personal infomufion. ~'e collect the following ~1:es of personally identifiable information regar~ our subscribers: .~ame; address building ~orrn~on: locations and number of ldevision sets conn~ed to the ~em; place of empio.~,.nt: telephone number (both home and work); social securi~' number(s); ciriver's license number(s); 'b~ Iwment and credit records: k','els of sere subscribed.to; maintenance and'h.q~air records; convetes and other cable eqttipment on subscriber's premises (i~ any.); and subscriber complaints and correspondence. ~;e use such personal ~onnat~on regarding our subscribers only [or legitimate business purposes reded to the pro,ision of services o, er our cable sy~em. Such uses incJude m.~nlln~on. disconnection, reconnection, billing. collection, maintenance, research, m,-~rketing. ~x and accounting purposes. The ~pes of person whom personal ~ormation my be disclosed in the course of our cable business include our employs, agents. ai'filiates, sales representyes, accounits. billing and collection sen~ces, companies, programming suppliers, prnsrm guide soppbers and authorized representa~s of the local fnnchisin8 antholty and and federal gox~eruments. Personal in[ormation will be disclosed o~ as f~uenliy as needed to conduct legitimate business a~ities and such ~orm,.uion will be maintained by the cable systm only so long as it is neces,~. for legitimate bnsin~ puqx)ses. Thereafter, such in[omulion ~ be desu~e:l unless there are pending requests for act. ess to such inlesnalina ei~ the affeCl~l subscriber or pursuant to co~ order. Records'~l be minlainnl as ~ ~s we prox~de ser,~ce to the subscribe' and the period of teentim kr ~ ~abscriber who has terminated senice could be as ]on8 a~ 10.veals. L:rtless we obtain appropriale written or dinrunic consent fz~om the affected subscriber, such a court order, the affected subsm~ m~ be notified be~ disclosure can be and contest the disclosure of such ingornmon only if it offes dear and convinmg e~ictence that the subi~ of the ~ormation is reasonably so.qx~ of ensa~n8 in crin~ acrid' and t~ the infonmion sought would be material evidence in the case. Under Federal law, we are also allowed to disclose subscribers names and addre~ for purposes ~hich are not related to the provision of cable service over the cable system. Howe,'er, subscribers have the righi to prohibit or limit such ~ If you would pre.[er that your name and/or addtea not be disclosed, you may fill out a non-dL~osure form ~ttich you can obtain ~m our local business ol~ce and return it to us. When we disclose names and addresses got any purpose, we are not allowed to alLy. lose the of vie~'ing or any other uses made of the sen'ices we provide, nor can we disclose the 3 nature of particular transactohs made using the cable ~zem. W'~out appmpr~e or eleccromc consent from the affeoed subscriber. we canno~ use the cable collect personal in[onmfion uuless it is neces~.' to render a .,~'x'ice to the subsc=~. ~ conneaion with the cable s~.mm, or to detect unauthorized ~"eption. infom~on at our ~ bus~ss o~ce, plense no~.' u~ ~d an ~ppoinnnm an'an~i ~ for sud~ inspeoion during regular bu.qne~ hou~ ~y pmon ~ b.v an act of a cable ope~or in riobtion on 'hnamom on coilearn and disdosure of subscriber pesonal ~orm:aon described in the Pr~.: Noa:e and Section 631 of the Commonk:aions .~ of 198.~. as :artcoded. 4' L'.S.C. sect 551, may bring ~il action in a United States court. FCC EQUIPblENT COMPATIBILITY N'OTIFIC3=TION Things you should know about how I. li-I)ese~ Cabletron worb ~th your T¥ or VCR (;O.¥VERT~ BO.'~ One of Ihe reasons you subscribed to I.li. Desen Cabl~on ~ tha we offer channeb of programming ~n ~ ~ able to re~'e off-the-at. Some of you may I,~ TV receives and VC, Rs ~t can tune to all chamds we pro,,ide. O~ers ma,,' ~xe o1~ prow ~on wi~ an ~ ~ m-top c~'~er a the cost of $2.00 per or you ntay chonse m buy a basic c~'ener · a ~'~il oain. ~mis~lh~ of cable chmslsasd so?our ~' or V(X l~os~,~it n~.' ha~e be ~ and VCRs sdd in ~ U.S. no, cannot be called"cable re~. - unkss th~ compb' ~ new requirerims, indudin8 ae ~ to proil.' ~e ~le ~ In addilion, became Hi.Desto C.,ab~ion scnmbles cemin channds we offer, need an -~ con~ta' with a built-in d~o'umbler should you wL~ to th~ dreads even if.~.ou have a rece~'er ~ tunes our ~ie channds. The set-top mrerter ~l 'con~' ~e cable damds to dmnd 3 on .~r fi:. undemt~l a~t ~e process of con~v. rting all of our chaneb ~o ctmnd 3 ae-"ns)~ c only rea~ one channd a a time thron~ the com'en~r This menns that camffean~ of your TV ad VC~ aat depeod on dread rain8 of th~ ~'ices tlut .'~x~ ~'ill not able to use. !:or inmnce, ap~ one pt~an while ~'achin8 ~notha; ~ordin8 t~.o, more consecutive pro~ that appear on di~,ren~ ,'t~nneb. and the use of picture~ picture may no~ be possible wi~ont addin'onal equipaco~. Should you wish to use some of the fenties noted atx~e. Ei-Deml Cabletron provide you with ~pplemenai equipmin. This equipment might include an addi~ot that will enable you ~o by.pass the converter and tune all un.'~.,-,,t~:l dmneb with yc TV or VCP,. Piece conlact u~ ~3~rding )'our ~'i.~es and we ~ be lupF,.' to ~ .~ 4 Resolution No, 99-083 Page 60 ~duJe of ch~es for ~uch equipmeaL ~ ~ ~e~en a ~ ~m. ~ ~:~ H ~ a ~ (m ~ "pro ~." "b~k ~," or "~"), ~u ~ B.~ ~n. ~ ~ ae n~ to p~ o~ ~ ~, ~tO~ CO~O~ :~ ~. ~( ~ ~b~ ~ ~ mote c~J ~ ~' ~t me ~a ~r W or ~ ~n~ ~. Y~ ~ pm~' ~d mhm ~.~J ~ ~ ~ ~ or ~ ~. ~e foUo~8 ~ Big ~ ~ For ,~ tH. ~ )bC 10. )bC 20. ~ ~bt~ M~k .~ ~-8, T~ ~n 15~Z. ~ 241-7~ dung no~ b~in~ ho~. ~9:~ LM - I:~ PM CONSOLIDA~D N~C~ONS ~~o~ Z~,SB p~u~ ~ ~le (e~ ~on s~ ~ compl~ ~: b~ ~s ~der ao~ ~8 ~n~ao~, ~ ~ ~empt to con~ ~ou ~d ~en ~.~h~ule ~e ~ -~on a a c~t ~e for ~. A ~nsibte p~ ~er ~e ~e o~ 18 m~ ~ r~a ~u,~g ~ ~on to ~ao~ ae ~ ~d s~p for ay ~mpm~t n~. ~' ~ ~ m ~ ae ~on ~ d~ no~ ~q~h Four Ser~ce c~ ~ handled b~ your calling our service/repair line, 241-8670 at any lime, 24 bouts ~ ~ ~aea ~ a week. AH service.wide o~ ~ ~m mo~ litan one iamedt~dy at any ~ne prior to 9:30 PM. Any individual semce-vade out,es after 9:30 pM ~ s:bedWed ~ hen ~ for sat~ty reasaa Individ~ ~ chnnd ~ or p~iems m handled on a tat call fi~ sewd b'Lis. If you gill have a compbint concermg the technical quarry e(tbe cable Idevision s~sr~ts ~e provide to you AF!~ ranact wi~h our service dqmtmm, pime put your complY.: in ~ifia$ and send it to ~ ~ ohbe GENERAL MANAGE~ 12490 BusLae~ teatel D~, S~e O~ ~ CA 92~92. ~ [orml tumidaim m~et ~ ~e ~:~ic~l qu~di~ w ~le teteisina sisals ~ be 1o~pt-in, on le =ne-d~/oi m:eilx, nd the d,~., time and nature d be complaint v, ill be noted, as wil see nine, addess A s/sin en~eer ~11 'a~bl[,/~ ~ cmpi~int nd ~ an ___*,s~=~_ _ as to i~ be investpied by a semce m ,,~ Z4 !e~s d ~apt, aeistea wi~h our ability to access your praises if such acce~ is deaaed necesary · resolve your comphinL lI Ibe pnllm can be t~sdved Mlhout x serdce call to your Preafises, you will be advisai o~ this immedia~ mt the resolution d the comphint ~ be noted in the ~ All eftore ~ be tmie by our senice tedmiciaas and other mployees to ~esolve any comp~ camml ~e ~ q~' o~ ser~ lineal ~ ~our Omxm ~ ~ pm,ade a L~q~e F,~l)1100£ You tm also mlUeSt a ~ HAI~BiX)K a ~ ~ime simidy by. cailint Ihe bus~ess ~e a 241'7848 or bY ~ froa 9:00 All. 5..00 ~t,~40~-FR1 a,~ 9:00 AM- k00 pM Saurd~ The b,ziness oice tetq~ num~' is ~4 ~-i~48:11e ~,ice & rep~r tdetlme meier is ~41-8670. !lr ~ hive a billing question, please c, ail ~ b~ness o~ce during b~ hours. We will ~ to help you wilh in!,.' quegioas in a prompt, comleoas manner. If you hive a billing ~resemtive. ~1~: ~ ~11 no~ saliled, pk, ae ~ to spes~ wie.a ~s ~apaw~r, who should be ~ie to help you. If ~'ou are siill disputing your b~n[, please me to us about your billing compisi~ and se~d it to OFFICE ,',LL',iAGER, 12490 Business Center Dr, Suite One, Victorlie, CA 9~39Z. '~'e v, ill ~t~'e ~'our billing cUspute within 30 ~ys or exp~ to you why your compLlint c.innot be resoived within the 30 day lime frlme from when 6 Resolution No. 99-083 Page 61 we recened your wnnen complaint. ALl customer correspondence and electronic banking p~ne~ts should be sent Io ~e busin~ olRce. Your cable semce may be disconnecled due to non-pa)TaenL hi addition, ally paymellts made a[te'the due dat~ ~1 incur a LATE FEE. Payment of aU charges must be made bdore sen~ce is r~ored !o your accamL I[ ~u ~u~ discxmm~wJ du~ Io noo.paymal you will also be billed for any unmumed equipam. P, mming lite equipam ~ only rdieve .~our responsibiiJ~' for equipmere cha3es. Beiore you ~ disroamed, you ~ ~ a ~ond bill no~.'ing you rka your acco~ is I=S due. A Lg~ R~ ~ be aided. A ~ c~blqrm vii] also be sat! prior I~ your discamea~ 'mdica~ Ihe anOlial due and a equipram is mined -offor by = 'hard' dis:m~ in ~ ~c~ is dismum:~ :~ the e~emenl or point of enm/. In eidw' cue, E you a'e discone3_ _~ a RECD~O,N O!ARG£ ~ be aided to your a:coa~. The ta:ammm dat~ ~ fee, e~pmea cha~ (i~ ~) ad ~ p,ast due atouas ms be I~1 in ~ bdore ~r service ~ be restored, either ~I .~our prc, sati adcln~ or any futu~ add~ i~ which you ~ widen our No one can make changes or deletions to your account except you, the account holder; or your legal spouse. We ask you to provide us with your social security number, telephone number and driver's license nmber for account identicalJoe and security. purposes. Lf you fail to pro,de adequm identicalion information sail.shoot7 to Hi. l:~n Cablev~sion to establL~ iden~y and creditwore~ness, we m,"y rehse to pro~,'ide you with service or make changes to the account. We v,~ notiiy you at least 30 days in advance prior to any rate changes or cktnges in the channd lineup. We v,~l not offer any services to you in violation ot' ~tate Business & Professional Code 22770. '~'e h.~e been in compliance wth Ihe rate and cu~ service sundards set fo~ ~, Televtsi~ k~axialke since August o~ 1989. ~ v,~l meet or exceed an)' new standads set for~ by. ~he KC or local franchisin8 aue, otees as the~ become eifec~ve. it is our goal to provide you with the besl possible sera:e at all ~imu. The following local franchising ~ mqr be contacted Io matst you whenever you are not .,arisfled with our service(s). ~ ~ croix:ting any fragJk~ authori~,. pl~ t~ to resolve your comldael: al per IIle policies and pnx:edues ahoy, as the ~anchising authon~/~ill ask that you de ~o prior Io [onmlifia~ J~rdt complaint. VICI'OROVILLE .~PPLE VAI.LL:Y SAN BDNA~DL~O COIJNIT HESPERLA ~TT~: CiTY RL~..~GER ,~TT~: CABi~ TV~ AUTHORITY A.TN: MANAGER 14343C~'ICDRIVI-:P.O. BOX429 157W. F11:THST, 2MFLRP.O. BOX2966 ~,lCTOI~'ILLE, C.~~PLE V.~LLEY, CA S.~ I~P~I,~O, CA!iESPEP~ CA 92392 92307 92415-0450 92345 (760) 955-5028 (760) 240-7000 (909) 387-6006(760) 949 7000 Business o 241-7848 Service o 241-8670 e-mail o hidescatv@aol.com 7 IMPORTANT CUSTOMER INFORMATION HI.DESERT 006-23/7089 998 Resolution No. 99-083 Page 62 HI-DESERT CABLEVISION RATE SCHEDULE ~e rate structure listed below meets price guidelines and renufins nsistent with regulations established by the Federal Communications )mmil~ion, as well ns the terms of our franchise agreements with Local ramunities. You mnst subscribe to Limited Basic Service in order to bscribe to the Cable Programming Services. SIC SERVICES RATE ,QT~ B.~i¢ SERVICE 13.~ ~n~ 2-14, t7, 18, 19 16 ~ B~ PR~K~%L~G ~l~ 19.~ Ch~ 23-~, 58, 62 34 t~ ~x~.~ S~3~ ~R 32.~ ~ M ~e ~ c~n~ 50 ~ =ve~ ~ 2.~ for m~ ~le ~n~ner >~c c~x~ i.51 [or~ b~con~ ~t~ Gu~e I.~ ~x indu~ ~ 11.25 A~e O~N~IC 11.25 A ~ ~e x~x~ 11.25 A la ~e ~'CO~ ~.95 for ~ chnn~ ~um ~' Acc~ 6.43 ~ ~e on ~ ~n~(s) gf.U.LATION SERVICES ~ IxutaHation 35.00 kom lnmllafion Cost Plus ~ooa~ Oudet tn.~911nmion35.00 connect 26.25 move trap / Tier Change 17.50 $35.00/hr., 'nunimum I hour ~ .minimum I hour b'dlinl $35.00/hour, m'mimm I hour billing rdT~ CH. LRGES & SERXlCES p~"~ble Damage to Equipment 50.00 minimum or areal cost ,~d 5emce ~ 35.00 nun C~ec..k ~ (any re.on) 22.50 .=,mira Sen'ice Change 1~99 ~,'ener s~o m o~ce 1.99 1 Radio Senice 3.00 per outlet :e Cka~ 4.75 rxtes and charges do no~ include applicable Federa. I, State and local taxes, [ranchise fees, r~harges or retated d~ges. The applicable amount will be added to each bill The FC, C n~ Regul~ fee is S.O~ per mont~ Cli NETWOILK I HOME~ ! :' ItCnS 3 S ItTtA 7KA~C 9~ IO~ 16 ~2 18 ~0~ K~ CHANNEL LINE-UP DE$CRJFHON LIMITED RA~iC CHAh%ZLS Local Ediboa News · 2¢ & :5-i, I~'s. SchooLs & Loc:d Ori~mam Public armdca.q~ Blecld~,~' CABLE PROGRAMMING SERVICE C~ ~/~ Y~ ~'s ~/~ ~' Pm~ 24-kmr Mustc,,]deo Channd F~lucs~mi and Idamate !~gmmml for ~ .~ g.~ / ~~i~ N~'ork 1 T~ ~ ~ ~ ~ ~g. ~ ~d ~te~g ~ ~, ~ ~o~ , ~ ~1~ ~ ~ng ~d ~p ~.~g Z~h~r ~v-P~-~T~ Mm~ ~ Resolution No. 99-083 Page 63 CABLE TELEVISION SUBSCRIBERs PRIVACY RIGHT NOTICE [n ~e con~ of proxiding cable telo, i~ z,r~ice. il is ~ to trsain~in c~ain idorrr~on ~,,g~ling our cmomm. Under ~e Cable Comm,,,,~ons Act are requited to pro~ie ~s nolice to ad,,~ our suln, aihm of ~ 'imtnions under Federal ~' upon the collection and disclosure o! ~h pemmi infonmion. g'e coU~ ~ following ~t~s of penonal~.' idontilial~e information reganting our subscribm: .~ame; atktt'ess building infonmion: locations and number ohdevism t,~ts conne~ed to the ~em; place ofempi~'nen~: telephone rimbet (bo~ home and~O; ~ secu~' number(s); driver's ticer~ numbe'(s); billin~ p~nent and credit records: l~els of service sulncribed-to; maintenance and't'g~' remS, comet~ and o~her cable equipment on sut~ber's premises (if any.); and subscribe' complaints and £orfespollde~'e. ~'e m ~h perso~ information regarding our ~ubscribers only for 'legm~ businto purposes rdated to the pro¢,sion o[ services o~r our cable s~tem. Such uses include install.~aon. disconnection, teconnection, billing. collection, minichance, resm~, marketing. m and accoun~g purposes. The t).t~'s o~ person ~ personal information ~ be disdoa~l in ~he course of our cable business include our empl .oyces, agents. a/filintes, sales represen~es, accotmmts. billing and collection sen'ices, cornpines, pro~ning ~ptien, program guide suppl~ and aueorimi reptesma~ of and federal go~rtunents. bttsiness act~im and such informaim will be mmmned long as it is necesmy. for legitimale bm~ss p~ '[h~nn~ such in6mm~ will ~.e pr~ide .~,v,~:e ~o ~ ~m'iber and ~ pmod d reinsion for a sulnmber ~d~ Im ~ermim~l z,~ice could be as Io~ a~ 10 .vein. ~ a corm order, the a~s:~l ~ must be nopsi ~ disdo~re ~ be and cont~ the disclom'e of sud~ inJmmlion only if il o&s's dent md cominmg crimml ac~.' and ~ the infonmion ~ ~,'ould be nmsinl ~ in ~ case. L'nder Feder',d ~w, we ~ R~o allowed to disdose sutmaber's rames axl ~ for p~ ,,,ttich ~ nm ~ to the provision of ~le semce over the ~ s,/nsn. tto~,'e,,'er, subsctibe~ In,,'e the ri~ to prohibit or ~refer tt,~t your tt~me and/or addre~ ~ be disclosed, ,/on n~ 611 out a non-dLq:iosure form ~,"~h you can obtm from our local busin~ disclose names ~1 ~[dresses for any purpose, ~,'e ~ not allowed to disdose the extent of ;.i~.mg or any other uses made of the sen'ices ~e prmide, nor can v,,e disd~ the 3 nature of pa~cular u'ansactions made rang ~e cable ~em. ~'~out approp~: or dectronic consin [tom the a~emd subscriber. we cama use the cable request con'eOion of any erro~ in such infonmion. I[ .~ :,hoold desire to inforrna~ n our local hosiness oBce, pime n~.' us '.~ an appoinm~t a'ra~ prmp~ for ~h inspinion du~ ~ hoane~ horn. Any person a~grie~,d ~' an m o/a cable operaor in ,,iolmon on limitmons t'~,Jce md Sinion 631 ~the Cooununk:n~ons m o~ 198~. '~51, may bring civil action in a Un,i~ St~ coup. FCC EQUIPMENT COMPATIBIliTY .~OTIRCATION One of d~e reasons you suimribed Io Hi-Desert Cal:~t~on is channels o~ !x'ognnmng tim you ~ ~ to fettle off. tbe.~ Some of .,,ou m TV m:em~ and VC.~ ~a can tune m all dinntis we p~'i&. or )q~u may choose m b~' a Izmc came~ al a mail oust go~mnglhe ~ a~c3ble ctmads ~lso.~our ~' or ;'C]L bo~'e;er it need an addft. _,~ conymet ~ a built-in (lecr'4mbler .<~ould .~ ~ to undenmd ~a ~e process of~ dl d o~r clmnds to dmnd 3 mnns'. only ream ~e dur~ It a me dlmuSb ~ co~. 11~is me2ns d~ ceruin f able to use. For instance, ~ one proInto a'l~ watching anothe~ mo~e co~,cutive pmwa~us tha~ appear on d~emu champs. and the use of Pic Should you wish to use some of ~ features uo~ a~e. i~-Desert Ca~ie~ ~ w~ enable you to ~.pass the conveyer and ~e ~ u~,,~ ~ or ¥~ Please contact us regarding your ,~,'ishes and we ~ be haps' to 4 Resolution No. 99-083 Page 64 ~ of cha3es [or such ecNipmen~ In addiaon..~u n~.' par.~ by-pass ~ches .~1 addia~ condom in ~ o~. ~ ~ .~ ~ D~ ~G C~.~n ~' ~/o~ ~ ob~ ~m ~ ~ ~ ~ ~ ~0~ ~0~ ~ ~ it b ~=bE ~ ~ ~m~ con~l ~ ~' h~ ~ ~a ~ W or ~ ~t ~m. You ~ probe* ~ ~ ~ ~eU ~ ~ ~ ~m or ~ ~ ~e ~mg ~ ~ ~g ~, One For .~ CONSOLIDA~D ~. ~ ~ ~ eider ~ .~1 or ~ )~u p~ ~ ~%t or PSi ~tmenl ~indo~: ~ ~'e ~o~ ~ ~e ~nt, ~ ~ ~em~ to con~o ~ou ~d ~en ~,~ule ~e ~.c ~il:t~ ~ ~ ~1 ~ for )~u. A ~ible p~' ~x'er ~e ~e of 18 must ~ p~nt ~u~g ~e ~ to ~o~ ~e ~ ~d ~i~ for ~y ~d ~e~ ~ no ~nsib[e p~' print. ~'e m~x' ~d ~ ~p ~ to ~y ~b~t ~on ~t(s). ~bu m~' ~u~ ~uu ~ not ~q~ ~our ~nsib~' to h~'e ~ ~n~ble p~ p~t ~m~ ~e ~on ~m~ent Se~c~ c~Ls ~ handed by)~ur carling our ser~V~air line. 241~670 at any tin~ 24 hours a day, ~n da~s a weelc ~11 service.wide outages that affect more than one or probhmas m handled oat tim call ffm sened h~ ~ inovick m m AITI~ ~ ~th cmr ~,~ce depmm~ plesse pm you~ cmph~t in wrJdn8 and send it to ~e ,ff~ (~ ~ GEilBLL MAIIAG~ 12490 8u.q~ Orelet be in~ b,/a service tedmJ~ within 24 horn o{ r. dlX, ~ with our ~'di~ to a:~.e~ your premises if such acce~ is deemed necessa~ to resolve your compia~ ~ the ~,chnic~t qua..' o~ sere promp~ ~ ~ l~our StI!S(]HIER I{~[}~101( ~ an,/time sin~ ~ c~g ~e laninm o~o~ a 24t-7848 or I~ Our Busings o~e is !ocal~d at 12490 Business Om~ Dr., ~te (~ V'~o~ille, CA te. lepho~e number is 241.7848.'rhe ser~ & r~'lrdir ~ numba' ts 241'8670. If you hm, e a bill que~fi, ple2se c211 the busine~ MII u'y ~o help you ~ ~ que~o~s in :~ prompt, ¢oufieous nunnet: if you ~ I bfiJin~ ~pute, apin, please ~ to resolve Your dispute thigh ~. Cus~)mer Servi~ ~pr~enmive. If you ~ ~ not s.'~ed, ~le",se ~ to speak Mth a CSR SuperSt, w~o should be able ~o hdp you. tf .,,m ~ sull dispmi~ .,,,q~r billin& plene write to us ~bout your billing compbint and .~d it ~o O~CE ,',b.~GER, 12490 Busin~ ~ D~, Suite V or e, 92 92. ,,-.u i,'e :'our to ~u ~ ~r ,_'omp~nt ~no( be resol,,'ed ,,,,'~in ~e 30 d2y ~e fr'~ne from ~'hen 6 Resolution No. 99-083 Page 65 we received your wriaen cornpitot. AU customer cm'responde~ce and de~mc bazddag payments should be sent to the business office. Your cable sen'ice may be disco~med due to non-payment. In addition, any payments made ~er the due date will incur a L4I'E FEE. Payment of all c. hages rest be male ~ore service is redored to your account gyou m disco~ due ~o non-pv/mm you will also be billed for an.',' urn'mined equipmenL R~ming Oe equipment ~ only relieve ?our responsibility. for equipmere chics. Betore you are di~onnec~ you ~ re:five a second bill no ' .t~yin~ you tha your accotm~ is past due. & L/fiE FEE ~ be added. A ~ cablegram will also be ~t prior to your ~conn~on, indica~ the amoun~ due and a due date. You may. be disconnected ei~er tl~ ~ 'sofl' disconnect where your equipment is turned -elf or by a 'hard' ~conaect in which ~ c~le is disconnecled ~t the easement or poim ~ enid. In either c~se, if ~ ae di~connt, aed, a RECONNECTIO~ charges (if any) and all past due amounts ma be paid in full belin ~r service ~ be restored, either at .~our presenl address or any future address in which you live within our se~ce area. ~o one can make changes or deleOo~ to your account except you, the account holda; ~r your legal spouse. We ask you to provide us with your social security number, '.elephone number and driver's license number for account idealilion and security ')urposes. ff you fail to provide adequale identilicaion in/onion salLsbctory to IlL ~sen Cablevuion to establish identity and creditworthine~, we may refuse ~o provide you .uth service or make changes to the accounL ~/e ~.~ no~, you at least 30 days in advance prior to any rate changes or changes in the :hannel lineup. We ~ nol offer a~y services to you in violalion of State Business & ~rofessional Code 22770. We have been in compliance with ~ rate and customer se~ce ,~clards set forth by Tele~on Associalion since August of 1989. We ~ men or exceed my new standards set fo~ by the FC, C or 1ocll fnnchtsing nahori~ as they become ,fiecave. it is our goal to provide you with ~ besl possible service al all times. 'he foUowing Ioc~ [r~ci~sing aulho 'n~ role/be coalacted Io assisl you whinevet you .re not .~isfied x. th our semce(s). Haee~ ~ comacling ~ fr~cfise ~ ~lez~ try. to resolve tour complaint as per the politics aid procedures above, as the r'anchJsing authonn.' will ask that you do so p~ to fo!Iralifiqg ~ complaillt. ]CTOI6qLLE APPLE VALLEY SAN BE{ea!H)IWO COUNTY HESPERD, gFN: CITY 5L~";.-~GER ,-LTTN: C~BLE TVFRANCHL~E AUTHORHTATN: MAFLAGER 4343C[VlCDRP,~ P.O. BOX429 157W. FIH'HST, 2ndFLRP.O. BOX2966 ]C]'OR',qLLE, C.~.APPLE VALLEY, CA SAN BERNARDINO, CAHESPERIA, CA '2392 92307 92415-0450 92345 760) 955-5028 (760) 240-7000 (909) 3874006 (760) 949 7000 Business o 241-7848 Service · 241-8670 e-mail o hidescatv@aol.com IMPORTANT CUSTOMER INFORMATION HI42 ERT CAB VISIOfW 006-23~089 998 Resolution No. 99-083 Page 66 2 Resolution No. 99-083 Page 67 CONSUMER SERVICE STANDARDS ENDORSED BY NATIONAL CABLE TELEVISION ASSOCIATION · S SET FORTH IN SECTION ?&.$09(O) OF TITLE 47 OF THE COD~ OF FEDERAL REGULATIONS ~ralCommunlcatfon~Commb. tlo~ mnst-nsrr~ purpom~ a) EtZe~tive Ju~e IT, ~, ~e , oF eve~ ~e ~e~on ~ ~ for pubUs e~sion s~0~ ~ed by 1~ n fn ~fillment or ~o L~remen~ ~t ~ ~ 8h~11 include t~ ~1 ~, c&blo ch~ol n~r, the ,e of & )~c~ 8~tion, s~on 8 c~ed by the ~ble on ~ch ~, I~. b) ~o o~tor of eve~ ion sys~m sh~l public ~ Io~tion t~ princi~ h~ond. c) Such r~c ~n~ined ~ccord~nce ~ ~e d) Upon written ~Jon, & c&ble ,vide the U8~ of · ~raph (st) of this ;bin 30 daub of ;st. Fl~ 17364, Apc. 2, L305 Records ~) RSCOT~ M be ~ ,r of every lnte2n for e for mmJue); ~e ~ ~ ~o~ l) A ~tem &nd ~om any required ~o specified in in wriUn~ of such re- m~lntslned Io* ope~toro for of records. ~l'he public In- file eh~11 be m~dnt~lned &t the , w~lch the system operator main- 9 76.309 tarns for the ordlnar~ 001100tion scriber. charres,~.resolutton or scriber complaAnts. &nd othor or at &~y accomtble plaoe in the munU~y 8oryed by the ~ymtsm (ouch ns & publlo ~ta?. for, moi~ts or &l:t &ttorlloy'l The publio inspection file ~ for pubIls inspection at any dur* Ing rewulo~ bullnoes hourL (o) The recordf specified in (a) of t~te sectfoe ~ be ?6.?9, ~6.22~0). T6~01(o), respectively. any material in the file shall be production upon son. provided the sh&ll pey the duction. l~equeste f shall be fulfilled at ~ by the system sonable period of event shall be The honor requests do oo (Seca. 3, 2. 4. ~. ~, 30~, 3~. 300. 300, SIS, 81% ISm, 163. 154, , S0t. 90~ Mr. 308. 630. ~ ~30 Fl~ 301~ 14. 1~4. ~m amendf~ at ~0 Ape. ~0. ~ FA 11~01, Ape. 1, 1639; 80 Fit of & c~Me t01evtsfon mike tile SyBtsJ~I, its pub* file elf ~oqufred by and its r~cords of subeoriberm for tnspootion upon roquo~t authorized ropro#nt~tivo of t~to minission at any renson&ble hour, ~?~800 Customer service o1~ .l~a. 't10n& (a) A ~tble frtncht80 authority enforce the oust~mor sorTtoo set forth In peAwmph (o) of r~is lion sWainst cable oper~tor8. chloe authority mtmt provide e~rect~d cable oper,~or9 ninety (90) days writ- ten notice of iM lnten~ to enforce ~he standards. ~'o~ · ?6.a3lCO, 76.601(0), Copira of inspootion machine cost of , ~no ~plo8 :o~on o~otfiod wt~n which in no t~ Mven Is noC r~ by ~1 but 511 Resolution No. 99-083 Page 68 §76.3O9 (b) No~hlr~ In this n~J,o should be construed to prevent or prohibit: (1) A franchisln~ ·uthortty and · c·ble oper·tor from e4rsein~ t~ cus- tomer service requlrsment~ that ceed the standards set forth in ~ s~ph (c) of this ~otdon; (3) A fl~nolgnin~ authority from forcing, through the end o.f the chlse term, pro-ex~tlnir customer serv- ice requlrement~ that exceed the ards set forth in pars~ph (o) of this sec~-lon and are confined in current frsachise s~reemente; (3) Any State or ~ fl~nohlsin~ thortry from enactinf or eufornin~ any consumer protection law, to the extent not specifically preemptS· heroin; or (4) The establishment or enforcement of ~Y S~te or municipal law or re~u- l·tion concernin~ customer service th·t imposes customer service rsquiro- mente that exceed, or address nttttero not addressed by the et~nd~rd~ set forth in pe, ra~,r·ph (o) of this section. ~e(C) Effective July 1, 1993, · o~ble op- r~tor shall be subject to the foilowin~ customer service (1) C·bls system office hours end t~isphons ·vail&bility-- (l) The o·ble operttor will maintain · local, toll-free or collect call telephone access line which will be available to i~s subscribers ~l hours a d&y, seven d~ys · week. (A) Trained company will be ·vail·ble to respond to cus- tomer telephone inquiries durin~ nor- real business hottin. (B) After normal businese hotIfs, the access line m~Y be answered by a serv- ice or an ·utemitted rsspo~ s,vecom, lnciudin~ an a~swerin~ nu~hine. In- quiries received alter normal businto hours must be 'rsepotded to by trained coml~nY regrs~tt~tive on the next buslnese d&y.. (ti) Under normal o~ conall- tomer rslt~sent~tive, lncludin~ wait llme, civil not tsossd thirty (30) sec- onds whet the connection is made. fe~ t2me ~ not exceed thirty (30) seoon~lL Those etindsa~[s eh&il be met no leos then ninety (S0) Veroen~ of the time under norreel opbrstin~ condi- tions, me&surod on · quarterly 47 ¢FR Ch. I (10-.I-96 Edt~m) (lid The oper·cor will not be required to ~cqulrs equipment or perform sur- veys to mse~ur~ complisace with the telephone answerinf standards above unless sa historiciLl record of com- plain~ lndic&tes · clear failure to oom- (iv) Under norranl o~estlnf oondi- tieus, the customer will eecnivo · busy airnai less than. thrse (3) percent of the time. (v) Customer service center end bill l~Ymeat IomLtlons will be open at lenst durin~ normal bnsinese hours sad will be cenvenienC17 (2) Iast&ll·tions, oute~ss and service calls. Under normal operstine condi- tions, cech of the followin~ four stead- ards will be met no less tksa ninety five (95) percent of the tin-d mensured on · quarterly basis: (i) Standard install·lions will be per- formed within seven (7) business d&ye al~er an order hns been pl·ced. "Stlnd- ard" lnst&tlatlons ~-e thoss thet locsted up to 125 feet from the oztstlne' distribution system. (It) Excludln~ conditions beyond the con~rol of the opeFitor, thO c~bis oper- Interruptions" promptly and in no event l&ter th~u 24 hours alter the incorruptlon becomes known. The c~ble operttor must be~tn actions to correct other service prcblen~ the next bnsl- hess day after not·tic&finn of the serv- ice problem. (ill) The "·ppolntmsnt window" ~l- tempt·yes for installations, service calls, and other ins~aillstlon activities will be either · specific time or. m~dmum. a four-hour time block dur- !n~ nornlai business hour~ (The tot may schedule service oaihu convenience o£ t~s oustomen.) (iv) An operttor m~ not otncel · ppointrnont with a customer after the close of businom on the bnsinem prior Co the scheduled ·ppointmeut. (v) If · c~bio oper·tor rsprssantetive ts mnnln~ l·te for an ·ppointmext with · customer and will not be ~bis Co keep the ·ppoin~rnont ns scheduled, the customer will be coni:~t~Md. TIM pointmerit will be rsecheduled, ss nsc- seatry, ·t · time which is convenient for ~he customer. 512 Resolution No. 99-083 Page 69 Federal Comrnunlc~lons CommitIon (3) Communications between cable operators and cable subscribers- (t) Notifications to subscribers- (A) The cable operator shall provide written Information on each of the ida- lowing are~. at the time of Installation of service, at least e~uually to all sub* scribers, and at any time upon request: (1) Products and servtcse offered; (2) Prices and options for progrsJn- ming services and conditions of sub* scripten to progra.,nming and other services; ,(3) InM~ll&tfon and service m~in~o- hence policies; (4) Instructions on how to use the cable service; (5) Channel positions progra~nming carried on the system; and, (6) Billing and complaint procedures, 'Including the add.tess and telephone number of the local franchise authority's cable office. (B) Customers will be notified of ~ny ohm.uses in rates, programming services or channel positions a~ soon a~ possible in writing. Notice must be given to subscribers a minimum nf thirty (30) days in advance of such changes if the change is within the control of the c~ble operator. In addition. the cable operator shall notify subscribers thirty (30) day8 in advance of any 81gnarlcavil changes in the other information re* qttired by l~ragrm~ph (c)(3)(l)(A) of this section. Notwtthst~nding any othor provision of Pa~t ?$, a cable operator shall not be required to provide prior notice of any rate chango that is the result of a result. tory leo, franchise fee, or any other fee, t~x, a~e~ment, or cha~ge of any kind imposed by Federal a~ency..~ta~e, or frenchloins authority on the trans.orion between the operttor and the subscriber. ([1) Billing- (A) Bills will be clear; concise and underst,&ndable. Btlle must bo fully itemized, with itemiuttAons tncludlnw, but not limited to, baste and premium 8ervtce charwee ~ equipment oh&r~se. Bills will also ulso~ly doilnot~e all trytry during Mm hi!line period, tnolud- Inr optional cmos, rebf~tse and crsd- its. (B) In case of s billing dispute, the cable operator must reapend to a writ- ten complaint Dom a subscriber within 30 days. § 76.400 (lit) Refunds-Refund checks will be Issued promptly, but no later than ei- ther-- (A) The cuMomer's. next billing cycle following resolution of the request or thirty (80) d~, whichever is era'lief, or ~) ~e ret~ of the ~pmeat pU~ by the ~blo o~m~r !f ~.18 '(Iv) C~rs~ for se~ce ~1 ~ ~ued no l~r ~ the c~mer's next bill~ cycle foliowine ~e deaf- .nation t~t · c~t is w~n~. (4) "no~ buslns~ ho~" mea~ those ho~ d~nw whic~ m~ e~il~ n~se in the co~tty ~e o~n ~e c~me~. ~ ~1 c~. "no~ b~n~ ho~" m~t include some evenl~ hou~ a~ leMt one nlwht ~r week ~or some weekend ho~. ~ "no~ o~t~ condition" me~ ~hose M~ice con~ions which ~ ~t~n the control of the ~ble er~r. ~o~ con. lions which ~ not wit~n the con~l of the ~ble o~m- ~r include, but ~e no~ 11mi~d ~. ~al dl~, civil disturbances. ~wer ou~, telephone network out- ~se, ~nd ~vers or unusu~ weather rent.one. ~o~ conditions which are o~i~ily within the control of the ~ble o~r include, but ~e not i~d ~, a~l~ ~omo~o~, ~ew even~, ~ inc~, reeul~ ~k or ~on~ demnd ~ods. and m~n~n~ce or u~e of the ~ble ',se~ in~rmption'* means the Ion of pict.s or so~d on one or more ~ble ohmsis. ' ~b~ I--Po~ and WitCh ~ ~8 foiling & ch~go of or ch~ge o ~m~r's mall ~, ~n~o~ m the s~ of/~ ~vision sys~m, ~e 0~ s~ll i~or~he Co--aMish i ~l~~f the following, ~ 513 Resolution No. 99-083 Page 70 Resolution No. 99-083 Page 71 (b) The operator of the cable system shall notify the Commission of the pro- posed extension of the system raxilus In these ba~ds. Notification shall include c~rier ~nd sub--lee ~equen~es. ty~s of modulates. the ~e~o~y no- tified ~eo~phlcal coordin~s, the new system r~dius ~d the m~mum ~k ~wer occ~i~ ~t any loc~tlon in ~he c~ble ~s~ibution s~tem. No ~ys~m s~l ez~ ite ~ ~ these ban~ wi~ho~ ~ Con.ion ~u- tho~tiom (c)~ o~~ shall ~n~n ~t 1~ 1~ ren~ t~C~ of all slg~a these ~n~, no~lne ~ier ~d su~- clef frequencies, ty~s of mod~on, · nd m~ ~k ~wer w~ch oc- c~ ~C ~ loc~ion ~t~n the cable ~st~bution sys~m. (d) The o~r~oc of the sys~m provide for re~l~ monJrorl~ of c~ble system for slen~ le~k~ cover- in~ all ~r~tons of ~he cable le~ once e~c~ ~en~ ye~. ~oal~or- ing equipment ~nd proced~es s~l be adequate to detect leckie so~es which produce field s~reagt~ In ~he~ b~nds of 30 ml~rovdite ~r meter distance of 3 meters. ~e o~r~tor m~nt~in ~ ~o~ showing ~he d~te location of each leak~e so~ce fled, the d~te on which the el[min~d, and the pro~ble the leakage. ~e lo~ s~l ~ on file foc · ~riod of two (3) ~d shall be ~de to ~hori~d tires of the Commlalon on (e) All c~ier si~= com- ponen~ c~ble of ~k power eq~ ~ or C~ ~0-~ o~ from ~o o~m~d bF l~ce~ or by the UnJ~d 8~ ~e~e~ its ~endiea ~n 111 ~ (~ miles) of ~ ~r~Jon of ~e c~ble aecaon. (~ ll~t of 1~1 ~ ~ be mc~ ~ ~ Co~on Jn o~m~r of · ~ble ~e~m ~ the Co~ion ~ ~ ch~ 47 CFR Ch. I (10-1-96 Edition) service will place the cable system conflict with any of the offset triter the cable system operator is slble for elimina, ting such cc within ~0 da~s of notlficaMon. (f) A minimum frequency be- tween the nominal carrier: of an aeronautical radio qualify- ing under paragraph (d) Section and {;he nominal cable {robie ~t d~li~ert~ P~wer equal to o~ gres~ef tha~ wa~te shall be ~tntAine~ or at all times. T~e mialmum ofl~e~a a~e as follows: (,50*T) kHz. (loo~r) kF, Z. table, T is the absolute value of frequency tolerance of the cable The actual frequency I depend on {;he equipment operating procedures of the cable system, but In no case shall the fre- quency tolerance T exceed ~Z5 kHz in the b~nds 1~1~ and ~ M~. (~ FR ~01. July 19, {~&~ Com~tibil!~ with co~umer ei~ ~ulpmenL (~) Cable system o~r~om s~l no~ ~r~ble or o~he~ise enc~p~ steals ~ried on ~he b~ic se~ice tier. ques~ for w~ve~ of this prohibition m~ demo~te either · a~ial showme, cable o~o~ ~e to notary su~ribe~ by m~l of w~ver request. The no~ce ~o sub~ribe~ m~G be m~led no ~ter t~ thirty c~en~ days from the d~e the re- q~at w~ver w~ filed w~th the mi~ton, ~nd cable o~rato~ must ~n- fo~ Ghe Oo~ls~on In wriGAng, soon ~ ~ble. of th~G da~. The noG~fica~lon to subripens m~8~ 8~Ce: On (da~ of w~ver r~u.~ w~ ~led uhe Comml~lou), (cable o~m~r's n~e) 530 Federal Commu filed with ~-he Fede: elMion · requee~ ~er of ~. ~ C for ~ver w~ver Ie ~ of ~e ~du~s who ~ues~ for ~v~ ~on w~ co~en~ aho~d shoed tnclude place Of Cable o~ reply no l~tec da~ subcrier ~1~. (b) C~ble sys~ ~de the~ subsc ~m te~n~ d, tomer premises ~orates remo~ c ~t the rem. devices ~th ct ~emote control vices from helm merci~lly ~v~l ~lt. Cable syst vised that :his them ten,tel functiom ~ulpment whet ~t o~rtte ~lon procedaro. maT, however. d scr~bling, nolo~ea in con~ tern te~n~ ~ l~.3(e~ of th~s c~ subacribe~' ~offer to $~c~al ~u~pmer s~ ~ul~eous ~ec halS. ~e equipr clude ~ sidle. dual desc~ble~ ers ~nd Resolution No. 99-083 Page 72 I 00-1-96 Edition) ~e cable s~stem in ~he offset criteria, oer~tor is respen~ ng such conflict -ficaties. equency offset be- a..-rier f~equency of :o service qualify- ~d) of this Section :uency of any cable .-nil component cA- =.ak power equal to '~ watts shall be eded At All times, ~ncy offsets a~e a~ qu~ ~ .................. {50<.TI kill ~ absolute value of .... of the cable al frequency Je equipment 3urea of the cable :a~e shall the fre- exceed ~25 kI~,z in -~, with consumer ~e~ ~erators shah not .se encrypt signals service tier. Re- this prohibition :thera substantial basic tier service actamble b~ic siE- as. As p~rt of this ;&tors are required oy m~i[ of waiver .:~ to subscrtbers later than thirty the date the ~e- ~ed w~h the Com- 3~r~tors mus~ in- 9n in writing. ~ that notific~tion :on to subscNbe~s was filed wlt1~ Fed~al Communicaltom Commition filed with e. he Fedo~tl Coinres~toAtlona Com- mission a kibttill~ eCf~l~.bi~ of ~_h_--n~tS On tile bMtc ~er of for waiver etat4~ (& br~ enm.,ne~' of w~ver buell). ~ue8~ for ~r ~e Fede~ C~o~ e~ ~~o~ Co~on, Cable ~ B~. w~n, ~ ~, ~d Olble o~m~ ~ file co~en~ In ~ply no l~or ~ 7 days f~m the d~ subscrier commen~ m~t be filed. (b) Cable sFs~m o~m~o~ that pro- § 76.630 sent, such a~ two independent set-top tsrmlnal devices ma~ be offered at the same time that the single terminal de- vice with dual tunera/dsecramblers is offered. For purposes of this rule, set-top depicts linked by · control eya- ~n tlmt Veovtde~ funetAoaalit~ equiva- lent to that of a single d~eic~ with deal deaoramblers is considered to be the ~ne .J a teemm~ Aevine with dseeA'll~l~ (1) The o~r of' 8peMni equiwnent shall be made t~ mew subscribers &t the Mme they subscribe a~d to all subscrib- ers · t least once each year. (2) Such special equipment s.t~l, At minimum, have the capability: (l) To allow stmul~aeous reception of an~ two scrambled or encrypted sir- nils and to provide for tuning to al~er- native ohannels on a pro-programmed schedule; and (li) To allow direct reception of other signals that do not need to be processed through dostrambling or vide their subscriberl with cable sy8- decryption circuitry (this capability tern terminal devices ~nd other cus- tomer premises equipment ~h&~ incor-. tin ~one~ly be provided t~ouEh se~o by-~ swish or ~ou~h ~r&~O ~mo~ tonal c~bili~ 8hall~ ternsl by-~ ci~ul~ In & cable 8ys- ~rml~ the ~mo~ o~rt~ion of such devices wi~h certainly &vailable tsm~e~i~device). remote con~ol ~i~ or othe~l~ take (3) Cable sya~m o~ 8h~l de- no action ~ would proven~ the de- vices from bei~ o~d by & mo~ly s~l&ble romo~o control ~it. Gable s~ o~ ~e ~- vised c~ t~ ~n~ obliges them ~ ~ly e~ble the remo~ con~ol ~notio~ of c~moF equipment wh~ ~h~ ~nctione do may, however, ~blo the remote con- t~ol ~nc~io~ of · su~l~r'8 cus- tomer ~ ~ont whe~ qu~d ~ ~e ~fi~r. - (c) C~Io s~ o~s~ ~t use ~b~, e~p~on or stmi~ ~ech- nolo~s In oo~on wl~ cable ~m ~ devil, ~ defined in J~.~o) of ~M o~9~e, t~t may ~ect 8u~' r~option of st~&ls shall 0ff~ ~ sup~Y e~h sub.tiber wi~h simul~eous ~op~lon o[ m~l~p?. 8~g- nils. ~e equi~on~ o~e~ s~lll in- clude ~ sidle ~lnal device with dual de~r~ble~do~de~ an~or tim- e~ and by~ swishes. Other equLp- terrains the specific equ/pment needed by individtml subscribers on a ~e-by- case ~, in cone~on with the su~ber. Cable ~e~m o~r·tors ~re required to make A good fnith effort to provide sublcriberl with the amount And types of special equipment needed to resolve their individual compatibil- ity problems. (4) Gable opers/&eea al~ll provide such equipment ·t the request or individual ~mbecribers a~t mINV oblate for pug- times or lease of the equipment and its lns~aAl·tlon in accordlace with the provisions of the rsM real.tie,, rulM' for ctmtomer pmmiase sqmipmen~ meed to receive the baals service tier, as set forth in ~76.9~. Notwithstanding the required annual offssing, c~ble opera- tors slmli respond to subscriber re- quests for apecicA equipment for recep- tion of multiple signals that ~re' marie at Any time. (d) Cable sykes operators shall pro- vide A consumer educ·tion program on compatibility n~ttsrs to their sub- scribers in writing, as follows: 581 Resolution No. 99-083 Page 73 § 76.70 ! 47 CFR Ch. I (10--I-96 Edith:m) (1) The consumer information pro- gram shall be provided to subscribers &t the time they first subscribe and at [east once a year thereafter. Cable op- credere may choose the time and me&as by which they comply with the annual consumer information require- ment. This requirement; may be satis- fied by a ence-e,-ysar nuUlin~ to all subscribers. The La/m'm~tion may be included In one of ~ enable eyst~m's re~'ular subscriber b~ (:3) The consumer h3f~on pro- gram shall include the fuHowtn~ matron: (1) Cable system operators eha.]l in- form their subscribers t;h~t; some mod- els of ~ receivers and videoca, erie recorders may not; be able to receive of the channels offered by the cable system when connected d~rectly to the cable system. In conjunction with this informaUon. c~ble system operantore shall briefly explain. the types of chan- nel coml3~Ublllty problems that could occur tf subecrthsre connected their equipment directly to the cable system and offer su~seMona for rseolvin~ those problems. Such su~.,~seUons could include. for example. the use of ,, cable system terminal device such as ,, set- top channel converter. Cable system operators shall also tnd.tcete that cl~n- nel compaUblltty problems asecciated with recepUon of pro&,r~mmin~ that ts not scra~nbled or encrypted pro,rain- mine could be resolved through use of simple converter dsvtcse without descra~nblinE or decryption capabili- ties that can be obtaUned from either the cable system or a third party retetl vendor. (it) In cease whste service is received through a cable system terminal vice. cable system operators shadl indi- cate that ~ubecribere rely not be able to use speoisZ feet;ures ~nd functions of their TV recetver~ and videocassette recorders. inoludinl~ feet;urea that allow the eubec~ber to: view & pro~,mm on one ohs,ansi while ~multanecualy re- cordln~ a peck'am ea eatof, bee channel; record two or more ceaseeaters ~zluns that; appel.r on different chan- nels; and, true ade~nced i~ctare Eenere- Uon and display feal;ure~ such as "Ptc- ture-ln-l~toture," channel review and other functions that neceasitete chan- nel selection by the consumer device. (lit) In cases where cable system oP- erators offer remote control cai3~btllty with cable SySte--~A terrninsJ devices and other customer premises equipment that is provided to subscribers, they shall advise their subscribers that re- mote control unite that are compl~tible with that equipment n~y be obteined from other eoufcse, such as retail out- isle. Cable system operators eh~ll also provide a representedlye list of the models of remote control unite cur* rtntly available from retailers that are ~le wt~k t~e cu~t;omer premises eq~dlmlllat ~ empl~. Cable system <~peratore ,re z~/~red to make a f~lth effort; in compllin~ this list and will not be liable for inadvertent omis- sions. This list shall be current as of no more Ulan six months before the d~te the consumer education program is dis- tribu~d to subscribers. Cable operators are also required to encourage sub- scribers to contece. the cable operad;Cr to inquire about whether a paA'ticular remote control unit the subscriber might be considering for purchase would be compatible with the subscrib- er's customer premises equipment. l~01's TO §?S.630: The provisions of graphs (a) and (b) of this section a~s nppllca- ble $uly 31. 1994, i~nd Suns 3~, 1994~ respec- tively. The provisions of paragraphs (c) and (d) of this sect4on are applicable October 31. 1994. excspe- for the ~quffement under graph (c) of this ~Uoa for cable system op- er~ter~ f~o supply cable system ~rmlne. l ds- vlce~ with dual ~une~ (as needed), which is applicable Ocl:ober 31, 1995. Th® initial offer of s~eclal equipm®n~ ~o all subscribers, as re- quired tl~dl~ p~rt~ (e) of this sect;ion, sh~ll be reade by October 31, 1994. [59 F~ 2~45, M~Y iS. 1994, ~ amsudsd a~ 61 $UbpC~t L--COblI ?®levlSkj~l ACCe~ / § ?&~01 Lured m~e~m ch/m~ai~ _ (&) ~otwtthstamdip4r 47 U.S.C. ~3~(b)(2) (Communi~rgtons Act o: 1934, ns amended, secU~ 61:3). · cable ter, in ~ceot~l~e with 4~ U.~.C. ~h) CC~I~ Ckmmj~er Protection and Com- pe~ttoa,~ l~of, ecs ~lon 1.0(&)), may ad~pt ~f enforce pro~mct_lvely..~..writ- ten ~,~ pub II shed policy of prol~l.bltin~ prp~rm~uning wnioh, it reasonably ],tgvee, describes or depicts sexual or 532 excretory tently often by centsrot (b) A prohibit th~ rrdnf in arc of this sect acce~ pro~ ~ra,m pro~c more subsc~be~ ten (c) of this se (c) A pro~c within ~equset for that includ~ quea~i~ ye~ old; n~e · ~n~ of a subecri~ (d) A pros ce~ on identify for ldentlfic~tl, include th~ telephone vide~ and ~ provi content of o~r~tor ficalion the request ~r~ pro~ "live pro~ ch~nel to lns~e t will no~ will no~ be o~ t~$ cent fled by a p in p~ (~) A pr~ P pro~ ce~ [s no~ decent prot qulre~nt for~ wtll. Resolution No. 99-083 Page 74 4 Resolution No. 99-083 Page 75 PART IvyMISCELLANEOUS PROVISIONS Protection of subscriber privacy (a) Notice to subscriber re~!in~ personally identifiable information; dofinition= At the time of entering into an agreement to provide any cable or other service to a subscriber and at least once a year a cable operator shall provide notice in the form of a written statement to such subscriber which clearly and ficuously informs the subscriber of- (A) the nature of personally identifiable information collect- ed or to be collected with respect to the subscriber and the nature of the use of such information; ~' (B)the nature, frequency, and purpose of any disclosure may be made of such information, including an identifi- cation of the types of persons to whom the disclosure may be :made; i. (C) the period during which such information will be main- rained by the cable operator; {D) the times and place at which the subscriber may have ,access to such information in accordance with subsection (d) of section; and (E) the limitations provided by this section with respect to collection and disclosure of information by a cable operator 'and the right of the subscriber under subsections (f) and (h) of [his section to enforce such limitations. case of subscribers who have entered into such an agreement the effective date of this section, such notice shall be prorid- 180 days of such date and at least once a year thereafter. (2) For purposes of this s~clion, other than sUbSection (h) of this section- (A) the term" eraonsJly lden~le information" does not include any record of P , aggregate data which does'n.o,t, identi~ p~cultr p~rsons; (B) the term "other servtce'~, includes any wire or radio communications service provided using any of the facilities of a cable operator that are used in the pcoviaion of cable service; and . ' .- (C) the term "cable operator" includes, in addition to persons within the defini- tion of cable operator in secaon 5~ of this title, any person who (i) is owned or controlled by, or under common ownership or control with, a cable operator, and (il) provides any wire or radio communications service, of pellonlily Identifiable Information using csble system as provided in paragraph (2), a cable operator shall the cable system to collect personally identifiable informa- tion concerning any subscriber without the prior written or elec. tronic consent of the subscriber concerned. (2) A cable operator may use the cable system to collect such information in order to--- (A) obtain information necessary to render a cable service or other service provided by the cable operator to the subsc. riber; OF (B) detect unauthorized reception of cable communications. Resolution No. 99-083 Page 76 (c) Disclosure of personally.ident~ble hfformation (1) I~.xeept aa provided~i~ paragraph (2), a cable operator slmU not disclose personally identLqable information eoneernin~ any subscriber w~thout the prior written or electronic coraent of the subscriber concerned and sha2 take such actions a~ ~re necessary to prevent unauthorized access to such information by a person other thtn the subscriber or cable operator.., ,. '.'" ' . (2) A cable operator may disclose such information if the disclo- sure is- (A) necessary to render, or conduct a legitimate business activity related to, a cable service or other service provided by the cable operator to the subscriber; (B) subject to subsection (h) of this section, made'pursuant to a court order authorizing such disclosure, if the subscriber is notified of such order by the person to whom the order is directed; or (C) a disclosure of the names and addresses of subscribers to any cable service or other service, if- (l) the cable operator has provided the subscriber the opportunity to prohibit or limit such disclosure, and (ll) the disclosure does not reveal directly or indirectly, the-- (I} extent of any viewing or other use by the sun scriber of a cable service or other service provided by the cable operator, or (1I) the nature of any transaction made by the sun scriber over the cable system of the cable operator. (d) Subscriber access to information A cable subscriber shall be provided access to all personally identifiable information regarding that subscriber which is collect- ed and maintained by a cable operator. Sdch information shall be made available to the subscriber at reasonable times and at a convenient place designated by such cable ope/'ator. A cable sub-.1 scriber shall be provided reasonable opportunity to correct any .. error in such information. [~Destructlon of information' ~cablc operator shall destroy personally identifiable information .::~e information is no longer necessary for the purpose for which ,~-~as collected and there are no pending requests or orders for ':sixess to such information under subsection {d) of this section or ~,i?suant to a court order. Cldl re:etlon in United Stat®a district court; damages; attorney's fees - and co~t.; nonexclusive nature of remedy (I) Any person aggrieved by any act of a cable operator in ~o!~tion of this section may bring a civil action in a United States' ilstrier court. (2) The court may award-- (A) actual damages but not less than liquidated damages computed at the rate of $100 a day for each day of violation or $1,000, whichever is higher; (B) punitive damages; and (C) reasonable attorneys' fees and other litigation costs rea- sonably incurred. (3) The remedy provided by this section shall be in addition to my olher [awful remedy available to a cable sabscriber. Resolution No. 99-083 Page 77 (g) Regulation by States or franchising authorities Nothing in this subchapter shall be construed to prohibit any Slate or any franchising authority from enacting or enforcing laws consistent with this section for the protection of subscriber privacy. ~) Disclosure of information to governmental entity pursuant to court order A governmental entity may obtain personally identi[:iable infor- mation concerning a cable subscriber pursuant to a court order only if, in the court proceeding relevant to such court order-- (1) such entity offers clear and convincing evidence that the subject of the information is reasonably suspected of engaging in criminal activity and that the information sought would be material evidence in the case; and (2) the subject of the information is afforded the opportunity to appear and contest such entity's claim. Resolution No. 99-083 Page 78 Resolution No. 99-083 Page 79 Nots 1 ant might base either a request to the agency for [uave to file a late claim or a petition to court for an order relieving him from the claim-filing requirement. Wilson v. San Francisco Redevel- opment Agency (1977) 138 Cal. Rplr. 720, 19 Cal.3d 555. 564 P.2d 872. One of the probable legisfatire purposes un- derlying § 946.4 e<using failure to present claim if public enmy has not supplied correct and complete information to the roster of public agencies is to assure compliance by such public entrees. Wilson v. San Francisco Redevelop- ment Agency (1977) 138 Cal. Rptr. 720, 19 Cal.3d 555, 564 P.2d 872. If redevelopment agency ~4ainst which plain- tiff brought action for personal injuries failed to comply with this section plaintiff was excused From compliance with § 911.2 requiring filing claim with appropriate public agency within 100 days, though he untimely filed a claim with the proper agency at its correct address and did not allege that he was deceived or confused by the agency's noncompliance. Wilson v, San Francisco Redevelopment Agency (1977} 138 Cal. Rptr. 720, 19 CaL3d 555, 564 P,2d Claimant who has actually presented claim to proper public entity may not excuse compliance with claims statute and ctrcumvcnt special six- month statute of [imitations contained in :~ 945.6 by invoking this section requiring pub- lic entity to file information and § 0/46.4 obviat. CITIES, COUNTIES, & OTHER AGENCIES Title 5 inc need for presentation of claim where public agency fails to file such information. Tubbs v. Southern California Rapid Transit Dist. (t967) 63 CaJ.Rptr. 377, 67 Cal.2d 671, 433 P.2d 169. 2. Purpose of law Purpose of this section was to provide means for identifying public agencies and names and addresses of designated officers needed to en- able or assist person to comply with applicable claims procedure. Tubbs v. Southern Califor- nia Rapid Transit Dist. (1967) 63 CaJ.Rptr. 377, 67 Cal.2d 67l, 433 P2d [69. 3. Public agency Requirement of this section that public agen- cies file certain information with secretary of state and county clerk do not apply where sub- division of public agency operates under ficti- tious name and conducts busin~ off its premis- es. Hovd v. Hasoa, ard Unified School Dist. (App. 1 Dist. [9T7) 141 Ca[.Rptr. 527, 74 Cal. App.3d~ 470. Vocaoonai r. k2Rs center was not "public agen- cy" within meaning of sections of Government Code requiring public agencies to file certain irfformation with Secretary. of State and count?.' clerk, since it was a subdivision of a district. Hovd v. Hayward Unified School Dist. (App. i Dist. 1977) 141 Cal. Rptr. 527. 74 Cal. App.3d 470. § 53052. Repealed by Stats. t965, c. 653, p. 2020, § 33 Historical and Statutory Motes The repealed section, added by Stats. 1963, c. 4121, § 4, relating to time of filing and form of 1805, p, 3650, § 2, related to contents of roster, a claim for damages, was repealed by Stats. required the maintenance of a roster index, and 1963, c. 1681, p. 3286, § 18. See Government declared the roster to be a public record. Code ~ 905, 911.2. For applicability of Stats. Former § 53052, added by Stats. 1949, c. 81, 1963. c. 1681, p. 3267, see Historica} and Stam- p. 285, § I, amended by Stats. 1959. c. 17[5, p. to~ Notes under Government Code§ 810. § 53053. Repealed by Sta~.1959, c. Historical and The repealed section. added by Stats. 1949. c. 8 I, p, 28:5, § 1, related to contents of a claim for damages. _See Government Code § 910. 17IS, p. 4116, § i Statutory Notes - Article 3.5 CABLE TELEVISION AND VIDEO PROVIDER CUSTOMER SERVICE AND INFORMATION ACT Section 53054. Short title. 53054.1. Findings and declarations. [2 GENERAl DIv. 2 Section 53054.2. £ 53055, C 53055. I. h 53055.2. C 53055.3. C · 53056. F 53057. R § 53054. This act Provider C~ (Added by St Former § 5 § 1, relating § 53054.~ The LegL, (a) In an should get t ensure this that custom (b) Cable quality serv continue tc developmac (c) It is : service, but customers ~ these castor (Added by $t~ § 53054.2 As used in (a) "Cabh television se (b) "Cabh under comrr contiguous c (c) "Vide( one or more Resolution No. 99-083 Page 80 'qCIES Title 5 ~ public Fubbs v ([967) 2d 169 qes and J to en- ,pitcable Califor- ,tr. 377. :c agen- ztary of ~re sub- .~r ficti- premis- e[ Dist. 74 Cal. c agen~ Jistrict, form of Stats. .rnment '. Stats. ] Statu- IER GENERAL POWERS & DUTIES DIv. 2 Section 53054.2. 53055. 53055.1. 53055.2. 53055.3. 53056. 53057. § 53054.2 Definitions. Customer service standards. Notice of customer service standards. Compliance with customer service standards; annual report. Construction of article. Failure to distribute annual notice; penalties; notice of failure to distribule prior to impasition of penalty. Repealed. Article 3.5 was added by Stats, 1992, c. 262 (S.B.1010), § 1, § 53054. Short title This act shah be known and may be cited as the Cable Television and Video Provider Customer Service and Information Act. (Added b.y Stats. 1992, c. 262 (S. B. [ 010), § l.) Historical and Statutory Notes Former § 53054. added by Stats. 1949, c. 81. by Stats. 1963, c. 1681, § 18. See Government § I. relating to del'ense counsel. was repealed Code §§ 995,996. § 53054.1. Findings and declarations The Legislature finds and dectares all of the following: (a) In an unregulated environment, customers of cable and video providers should get their money's worth for the service they subscribe to, and one way to ensure this is to encourage that customes' service standards be established and that customers be informed to those standards. (b) Cable television and video providers have made efforts to provide high- quality service to their customers. Cable television and video providers should continue to establish standards for customer service so as to further the development of high-quality customer service. (c) it is not the intent of this article to establish standards for customer service, but to encourage cable television and video providers to inform their customers about the standards they have established and to work to achieve these customer service goals. (Added by Stats. t992, c. 262 (S.B.10t0), § 1.) § $3054.2. Definltlotm As used in this article'. (a) "Cable television operator" means the person or entity providing cable television services through the cable television system. (b) "Cable television system" means a community antenna television system, under common ownership and control, serving a franchise area or two or more contiguous or electronically connected franchise areas. (c) "Video provider" means any person, company, or service which provides one or more channels of video programming to a residence, including a home, 13 Resolution No. 99-083 Page 81 .§.53054.2 CITIES, COUNTIES, & OTHER AGENCIES Title $ condominium, apartment, or mobilehome, where some fee is paid. whether directly or as included in dues or rental charges, for that service, whether or not public rights-of-way are utilized in the delivery of the video programming. A "video provider" shaft include, but not be limited to, providers of cable television, master antenna television, satellite master antenna television, direct broadcast satelJite, multipoint distribu/ion service, and other providers of video programming, whatever [heireechno[o~,. (Added by Stats. J992, c. 262 (S.B. i0]0), § 1.) § 53055. Customer service standards Each cable television operator or video provider in the state shall establish customer service standards. These customer service standards shah include, but not be limited to, standards regarding the following: (a) Installation, disconnection, service and repair obligations, employee iden- tification and service call response time and scheduling, (b) Customer telephone and office hours; procedures for billing, charges, refunds, and credits. (c) Procedures for termination of service. (d) Notice of the deletion of a programming service, the changing of channel assignments, or an increase in rates. (e) Complaint procedures and procedures for bill dispute resolution. (Added by Stats. 1992, c. 262 (S.B.1010), § 1.) Historical and Statutory Notes Former § 53055, added b)' Stats. 1949, c. 81, ing to paymenl of, or compromise of, claims, ~ 1. derived [rornStats.1931, c. 1167,§ 4. relat- was repealed by Stats. 1963, c. 1681,§ 18. § 53055.I. Notice of customer service standards (a) Each cable television operator or video provider shall annually distribute to employees, to each customer, and to the city. county, or city and county in which the cable television operator or video provider furnishes service to customers, a notice describing these customer service standards. New custom- ers shall also be provided with this notice when service is initiated. (b) The notice given to new customers pursuant to this section shall include, in addition to all of the information described in subdivisions (a) to (e), inclusive, of Section 53055, all of the following: (1) A listing of the services offered by the cable television operator or video provide_r which clearly describes all levels of service, and including the rates for each level of service, provided that, if the information concerning levels of service and rates is otherwise distributed to new customers upon installation by t~e'cab[e television operator or video provider, the information need not be included in the notice to new customers required by this section: (2) The telephone number or numbers through which customers may sub- scribe to, change, or terminate service, request customer service, or seek general or billing information. 14 GENERA Div. 2 (3) A c operator television service st, (Added by · § 53055 After t~ have bee' provider operator dards. T 53055.1. (Added by § 53055 No pro' city, cour ;.I I'e conta video pro law for ot IAddcd b~ § 5305~ (a} The cable tele by ordim television Section _: which tht (b) The or video customer, penalty p pruvider the :~olict no penal provider I (Added b.v Former § p. 285. § 1, 5275, § 4. r Resolution No. 99-083 Page 82 GENERAL POWERS & DUTIES § 53056 Div. 2 (3) A description of the rights and remedies which the cable television operator or video provider may make available to its customers if the cable television operator or video provider does not materially meet its customer service standards. (Added by Stats. 1992, c. 262 (S.B.1010), § 1.) § 530$S.2. Compliance with customer service standard~; annual report After the customer service standards established pursuant to Section 53055 have been in effect for one year, each cable television operator and video provider shall report annually on the performance of that cable television operator or video provider with regard to meeting its customer service stan- dards. This report shall be included in the annual notice required by Section 53055.1. (Added by Stats. 1992, c. 262 (S.B.1010), § I.) § 53055.3. Construction of article No provision of this article shall be construed to preempt the prerogative of a city, county, or city and county to enforce customer protection standards that are contained in a franchise or license granted to a cable television operator or video provider pursuant to Section 53066.1 or that are otherwise authorized by law for other cable television operators or video providers. IAdded by Stats. 1992, c. 262 (S.B.1010), § § 53056, Failure to distribute annual notice: penalties; notice ot' failure to distribute prior to imposition of penalty (a) The legislative body of the city, county, or city and county in which the cable television operator or video provider l~urnishes service to customers may, by ordinance, provide a schedule of penalties for the failure of the cable television operator or video provider to distribute the annual notice required by Section 53055.1, not to exceed l?ive hundred dollars ($500) for each 3'eat' in which the notice is not distributed to all customers. (b) The city, county, or city and county shall give a cable television operator or video provider written notice of any alleged failure to distribute to all customers the annual notice required by Section 53055.1 before imposing any penalty pursuant to subdivision (a). If the cable television operator or video provider distributes this notice to all customers within 60 days after receipt the notice from the city, county, or city and county pursuant to this subdivision. no penalty shall be imposed upon the cable television operator' or video' provider pur,,uant to subdivision (a). (Added by Stats.1992. c. 262 (S.B.1010), § 1.) Historical and Statutory Notes Former § 53056. added by Stats. f949, c. 8[, ',','as t'epealed by Stats.[963, c. 1681, § 18. See p. 285, § I. amended by Stats. 1959, c, 2167, p, Government Code § 990. 5275, § 4, relating to insurance against liability, 15 Resolution No. 99-083 Page 83 Resolution No. 99-083 Page 84 § 53087.4 CITIES, COUNTIES, & OTHER AGENCIES Title S (d) This section shall not apply to any special tax Levied prior to the. effective date of this section. (Added. by Stats. 1996, c. 1125 (A.B.188), § 1.) § 53087.5/. Private property; seismic safety improvements; public financ- ing; notice to lienholders A loan or expenditure of funds by a local public entity, including a charter city, to upgrade or improve privately owned property for purposes of seismic safety or retrofitting, where the provision of funds creates or. can create a lien on the property, shalt not, when combined with existing liens on t~e property, exceed 80 percent of the current appraised value of the propexXy, as determined by an independent, certified appraiser, unless the existing lienholders consent in writing to a higher loan-to-value ratio. Notice of the intention to provide financing to the owner of the property shall be given to existing lienholders of. record not less than 30 days prior to any vote of the local agency authorizing the provision of financing to the owner of the property. (Added by Stats. t995, c. 385 (S.B.1010), § Historical and Statutory Notes Section 4 of Stats. 1995, c. 385 (S.BA010), title and liens in order to make economic deci- provides: "The Legislature hereby finds and declares as ~'oIIows: "The creation and priority of liens on proper- ty is of statewide concern. Property owners, purchasers, and tenders must know ~he status of sions affecting their investment. Government agencies, like private parties, should not be per- mitted to create Bens that would jeopardize the security of existing lienho ders merely to im- prove for seismic retrofit purposes privately owned property without the consent o[ the prior lien hol6ers." Article 4.5 VIDEO CUSTOMER SERVICE ACT Section 53088. Short title. 53088. I. Definitions. 53088.2. Duties of video providers; disclosure of customer information; dispute resolu- tion procedures; authority to schedule penalties. Article 4.5 was added by Stats. 1992, c. 1198 (A.B.2388), § I. Former Article 4.5, Compensation of Elective and Appointive Officers During War, added as Article 4 by Stats. 1951, c. 1370, p. 3282, § 1, renumbered Article 4.5 and amended by Stats. 1961, c. 84, p. I086, § 35, consisting of former §§ 53070, 53071, was repealed by Stats.1970, c. I513, p. 3014, § 62.5. § 53088. Short title This article shall be known and may be cited as the Video Customer Sewice Act. (Added by Stats. 1992, c. 1198 (A.B.2388), § I.) 68 Resolution No. 99-083 Page 85 ~,"GENERAL POWERS & DUTIES :? l)lv. 2 § 53088.2 § 53088.1. Definitions (a) "Video provider" means any person, company, or service which provides one or more channels of video programming to a residence, including a home, condominium, or apartment where some fee is paid, whether directly or as included in dues or rental charges, for that service, whether or not public rights-of-way are utilized in the delivery of the video programming. A "video provider" shall include, but not be limited to, providers of cable television, master antenna television, satellite master antenna television, direct broadcast satellite, multipoint distribution services, and other providers of video program- ming, whatever their technology. A video provider shall, not include a landlord providing only broadcast video programming to a single-family home or other residential dwelling consisting of four units or less. (b) "Material breach" means any substantial and repeated failure to comply with the consumer service standards set forth in Section 53088.2. (Added by Stats. 1992, c. t 198 (A.B.2388), § 1.) § 53088.2. Duties of video providers; disclosure of customer information; dispute resolution procedures: authority to schedule penal- ties (a) Every video provider shall render reasonably efficient service, make repairs promptly, and interrupt service only as necessary. (b) All video provider personnel contacting subscribers or potential subscrib- ers outside the office of the provider shall be clearly identified as associated with the video provider. (c) At the time.of installation, and annually thereafter, art video providers shall provide to all customers a written notice of the programming offered, the prices for that programming, the provider's installation and customer service policies, and the name, address, and telephone number of the local franchising authority. (d) All video providers shall have knowledgeable, qualified company repre- sentatives available to respond to customer telephone inquiries Monday through Friday, excluding holidays, during normal business hours. (e) All video providers shall provide to customers a toll-free or local tele- phone number for installation, and service, and complaint calls. These calls shall be answered promptly by the video providers. The city, county, or city and county may establish standards [or what constitutes promptness. (f) All video providers shall render bills which are accurate and understanda- · ? (g) All video providers shall respond to a complete outage in a customer's promptly. The response shall Occur within 24 hours of the reporting of outage to the provider, except in those situations beyond the reasonable o[ the video provider. A video provider shall be deemed to respond to a outage when a company representative arrives at the outage location 24 hours and begins to resolve the problem. . 69 Resolution No. 99-083 Page 86 § 53088.2 CITIES, COUNTIES. & OTHER AGENCIES Tide S (h) All video providers shall provide a minimum of 30 days' written notice before increasing rates or deleting channels. All video providers shall make every reasornable effort to submit the notice to the city, county, or city and county in Zadvance of the distribution to customers. The 30-day notice is waived if the increases in rates or deletion of channels were outside the control of the video provider. In those cases the video provider shall make reasonable efforts to provide customers with as much notice as possible. (i) Every video provider shall allow every residential customer who pays his or her bill directly to the video provider at least t5 days from the-date the bill for services is mailed to the customer, to pay the listed charges unless otherwise agreed to pursuant to a residential rental agreement establishing tenancy, Customer payments shall be posted promptly. No video provider may termi- nate residential service for nonpayment of a delinquent account unless the video provider furnishes notice of the delinquency and impending termination at least 15 days prior to the proposed termination. The notice shall be mailed, postage prepaid, to the customer to whom the service is billed. Notice shall not be mailed until the 16th day after the date the bill for services was mailed to the customer. The notice of delinquency and impending termination may be part of a billing statement. No video provider may assess a late fee any earlier than the 22nd day after the bill for service has been mailed. (j) Every notice of termination of service pursuant to subdivision (i) shall include all of the following information: (l) The name and address of the customer whose account is delinquent. (2) The amount of the delinquency. (3) The date by which payment is required in order to avoid termination of service. (4) The telephone number of a representative of the video provider who can provide additional information and handle complaints or initiate an investiga- tion concerning the service and charges in question. ,Service may only be terminated on days in which the customer can reach a representative of the video provider either in person or by telephone. (k) Any service terminated without good cause shall be restored without charge for the service restoration. Good cause includes, but is not limited to, failure to pay, payment by check for which there are insufficient funds, theft of service, abuse of equipment or system personnel, or other similar subscriber actions. (l) All video providers shall issue requested refund checks promptly, but no later than 45 days following the resolution of any dispute, and following the return of the equipment supplied by the video provider, if service is terminated. (m) All video providers shall issue security or customer deposit rehmd c[~ecks promptly, but no lmter than 45 days following the letruination of service. less any deductions permitted by law. (n) Video providers shall not disclose the name and address of a subscriber for commercial gain to be used in mailing lists or for other commercial purposes not reasonably related to the conduct of the businesses of the video 7O Resolution No. 99-083 Page 87 POWERS & DUTIES § 53088.2 or their affiliates, unless the video providers have provided to the a notice, separate or included in any other customer notice, that and conspicuously describes the subscriber's ability to prohibit the "disclosure. Video providers shall provide an address and telephone number for 'a' local subscriber to use without toll charge to prevent disclosure of the ~.' subscriber's name and address. . (o) Disputes concerning the provisions of this article shall be resolved by the city, county, or city and county in which the ctmtomer resides. For video providers under Section 53066, the franchising authority shall resolve disputes. All other video providers shah register with the city in which they provide service or, where the customers reside in an unincorporated area, in the county in which they provide service. The registration shall include the name of the company, its address, its officers, telephone numbers, and customer service and complaint procedures. Counties and cities may charge these other video providers operating in the state a fee to cover the reasonable cost of administer- ing this division. (p) Nothing in this division limits any power of a city, county, or city and county or video provider to adopt and enforce service standards and consumer protection standards which exceed those established in this division. (q) The legislative body o~ the city, county, or city and county, may. by ordinance, provide a schedule of penalties for the material breach by a video provider of subdivisions (a) to (n),~ inclusive. No monetary penalties shall be assessed for a material breach where the breach is out of the reasonable control of the video provider. Further, no monetary penalties may be imposed prior to the effective date of this section. Any schedule of monetary penalties adopted ~.i. pursuant to this section shall in no event exceed two hundred dotlars ($200) ~or · ~.;i~. each day of each material breach, not to exceed six hundred dollars ($600) for ,~;~% each occurrence of material breach. However, where a material breach of any · of subdivisions (a) to (n),~ inclusive, has occurred and the city, county, or city i';;nd county has provided notice and a fine or penalty has been assessed, in a uent material breach of the same nature occurring within 12 months, the may be increased by the city, county, or city and county to a of four hundred dollars ($400) for each day of each material breach, to exceed twelve hundred dollars t$1,200) for each occurrence of breach. Where a thirfi or further material breach of the same nature within those same 12 months, and the city, county, or city and county notice and a fine or penalty has been assessed, the penalties may increased to a maximum of one thousand dollars ($1,000) for each day of material breach, not to exceed three thousand dollars ($3,000) for each of the material breach. With respect to video providers subject to a or license, any monetary penalties assessed under this section sha[l be dollar for dollar to the extent any liquidated damage or penalty of a current cable television ordinance, franchise contract, or license imposes a monetary obligation upon a video provider for the same met service failures, and no other monetary damages may be assessed. this section shall in no way affect the right of ~ranchising authorities 71 Resolution No. 99-083 Page 88 § $3088.2 CITIES, COUNTIES, & OTHER AGENClES~ Title ~1~ concerning assessment or renewal of a cable televisior/ franchise under thei provisions of the Cable Communications Policy Act of 1984.2 : (r) I[ the'legisJative body of a city, county, or city and county adopts a schedule oi: monetary penalties pursuant to subdivision (o)fi the following, procedures shall be followed: (1) The city, county, or city and county shall give the video provider written notice of any alleged material breaches of the consumer service standards of this division and allow the video provider at least 30 days from receipt.of the, notice to remedy the specified breach. (2) A material breach for the purposes of assessing penalties shall be deemed' to have occurred for each day, following the expiration of the period specified in paragraph (1), that any material breach has not been remedied by the video provider, irrespective of the number of customers affected. (s) Notwithstanding subdivision (m),' or any other provision of law, this section shall not preclude a party affected by this section from utilizing any judicial remedy available to that party without regard to this section. Actions taken by a local legislative body, including a franchising authority, pursuant to this section shall not be binding upon a court of law. For this purpose a court of law may conduct de novo review of any issues presented. (t) If any provision of this act or the applicaltion theft'o[ to any person or circumstances is held invalid, that invalidity shall not affect other provisions or app[ications of the act which can be given effect without the invalid provision or application, and to this end the provisions of this act are severable. (u) This section shall become operative on September 1. 1993. (Added by Stats. 1992, c. I198 (A.B.2388), § I. operative Sept. [, 1993. Amended by Stats.1994, c. 384 (S.B.1941), § 1.) ~ So in enrolled bill. See subdivisions (a) to (p). z 47 U S.C.A § 52t et seq. * So m enrolled bill. See subdivision (q). 4 So in enrolled bill. See subdivision (o). Section 53088.5. 53088.6. 53088.7. 53088.8. Article 4.6 CONSUMER CONTRACTS: CABLE TELEVISION Legislative findings and declaration. Fee for delinquent payment of cable TV services; conditions. Maximum amount of lees: FCC requirements. Application o~ article. Article 4.6 was added by Stats, 1996, c. 666 ?S.B.6/O), § 1. § 53088.5. Legislative findings and declaration The Legislature hereby finds and declares as follows: (a) It is a common practice in the sale or lease of cable television services for a fee to be imposed upon a consumer's failure to make full and timely payment of periodic charges for those services. 72 19c(d) C the i~ency for any (b) ~ if a cot 10th d; the inv (e) I ($10). (Added ~ sac Notx televisi Co'ram Resolution No. 99-083 Page 89 Resolution No. 99-083 Page 90 Cal. Civil Code Section 1722. (b) ( l ) Cabte television companies shall inform their subscribers of their right to service connection or repair within a four-hour period, if the presence of the subscriber is required, by offering the four- hour period at the time the subscriber calls for service connection or repair, or by notifying their subscribers by mail three times a year of this service. Whenever a subscriber contracts with a cable television company for a service connection or repair which is to take place at a later date, and the parties have agreed that the presence of the subscriber is required, the cable company shall specify, prior to the date of service connection or repair, the time for the commencement of (he'four-hour period for the service connection or repair if the subscriber requests. (2) If the service connection or repair is not commenced within the specified four-hour period, except for delays caused by unforeseen or unavoidable occurrences beyond the control of the com- pany, the subscriber may bring an action in smai[ claims court against the company for lost wages, expenses actually incurred or other actual damages not exceeding a total of five hundred dollars ($500). (3) No action 'shall be considered valid if the subscriber was not present at the time, within the specified period, that the company attempted to make the service connection or repair. (4) In any small claims action, logs a.nd other business records maintained by the company or its agents in the ordinary course of business shall be prima facie evidence of the time period specified for the commencement of the service connection or repair and the time that the company or its agents attempted to make the service connection or repair, or of a diligent attempt by the company to notify the subscriber of a delay caused by unforeseen or unavoidable occurrences. (5) It shall be a defense to the action if a diligent attempt was made to notify the subscriber of delay caused by unforeseen or unavoidable occurrences beyond the control of the company or its agents, or the company or its agents were unable to notify the subscriber because of the subscriber's absence or unavailability during the four-hour period, and, in either instance, the cable television company com- menced service or repairs within a newly agreed upon two-hour period. (6) No action shall be considered valid against a cable television company pursuant to this section when the franchise or any local ordinance provides the subscriber with a remedy for a delay in com- mencement of a service connection or repair and the subscriber has elected to pursue that remedy. If a subscriber elects to pursue his or her remedies against a cable television company under this section, the franchising or state or local licensing authority shall be barred from imposing any fine, penalty, or other sanction against the company, arising out of the same incident. Copyright [ 997 Jona(han L. Kramer (818) 344 5100 Resolution No. 99-083 Page 91 EXHIBIT F SUPPORT OF LOCAL CABLE USAGE I. PEG ACCESS CHANNELS. Governmental Access Channel. 1. Grantee will continue to make available to Grantor, at no cost to Grantor, one channel (currently Channel 3) for the exclusive use of the City, or its designee, for noncommercial governmental access purposes. Use of the governmental access channel will be under the exclusive control of the Grantor and subject to such rules and regulations as the Grantor may establish. 2. Grantee will not assume control of, nor remove from Grantor's control, the governmental access channel without the Grantor's prior written consent, and without compliance with all applicable rules and regulations of the FCC. 3. Upon the Grantor's request from time to time, Grantee will provide to Grantor reasonable assistance in connection with the operation and programming of the governmental access channel. Educational Access Channel. 1. Upon completion of the cable system upgrade referenced in Exhibit D, and upon a determination by the Grantor's City Council that an educational access channel will provide a meaningful benefit to the community, taking into consideration alternative uses for the channel, and that the channel will be used for a sufficient time to warrant the allocation of a channel for exclusive use, Grantee will provide to Grantor, at no cost to Grantor, one channel for noncommercial local educational programming. 2. All arrangements to broadcast programming on the educational channel, whether live, tape-delayed, or direct, will be subject to the approval of the Grantor, and any material change in the use of this channel by any person will require the written approval of the Grantor. The Grantor may require that any user of the educational access channel give written notice to the Grantor of any arrangements concerning programming or other matters related to the use of that channel. 3. The Grantor reserves the right to delegate the operation and management of the educational access channel to such individuals or entities as it may select, all of whom must comply with federal, state, and local laws and regulations relating to the operations of that channel. 4. Grantee will not assume control of, nor remove from the Grantor's control, the educational access channel F-1 Resolution No. 99-083 Page 92 without the Grantor's prior written consent, and without compliance with all applicable rules and regulations of the FCC. Public Access Channel. 1. Upon completion of the cable system upgrade referenced in Exhibit D, and upon a determination by the Grantor's City Council that a public access channel will provide a meanlngful benefit to the community, taking into consideration alternative uses for the channel, and that the channel will be used for sufficient time to warrant the allocation of a channel for exclusive use, Grantee will provide to Grantor, at no cost to · Grantor, one channel for noncommercial public access programming. 2. Upon provision of the public access channel to Grantor, Grantee will cablecast the community bulletin board on the public access channel 24 hours a day, except for those hours when the public access channel is being used to cablecast local programming. Cablecasting of the community bulletin board will count as public access programming time. Announcements of community events and activities will be submitted to the Grantee in a format that is mutually acceptable to the Grantor and the Grantee. The community bulletin board may not be discontinued without the prior written consent of the Grantor. The Grantee will cablecast community public service announcements on the public access channel, as requested by community organizations and authorized users, in such a manner as to obtain maximum publicity prior to the date of the community event or activity. 3. During the term of this Agreement, Grantee will make available to Grantor, on a monthly basis, up to a maximum of 50 thirty-second commercial programming spots for Grantor's noncommercial use in publicizing community events or announcing local messages of importance to the community. Grantor will be solely responsible for producing all such thirty-second announcements and transmitting them to Grantee for cablecasting; provided, however, that Grantee will have no obligation to cablecast Grantor's announcements on a specified channel or at a specified time if the commercial programming spot allocated to Grantee has, in fact, been sold to a commercial advertiser or other user. D. Restrictions. 1. Grantee agrees not to broadcast any commercial programming on any of Grantor's public, educational, or governmental access channels. 2. Grantee agrees not to change access channel assignments arbitrarily, and Grantee will use all reasonable efforts to minimize those changes; provided, however, that Grantee may change access channel assignments as it deems necessary so long as (i) Grantee gives to the Grantor and the access channel programmer 90 days notice of that change; (ii) Granuee provides, free of charge, public announcements of that change; and (ill) Grantee reimburses Grantor for costs reasonably F-2 Resolution No. 99-083 Page 93 incurred in adapting to the access channel redesignation in an amount not to exceed $5,000. SiGnal Quality for PEG Access Channel CablecastinG. The signal quality for PEG access channel cablecasting conducted by Grantee will be in compliance with the FCC's technical standards and will be comparable to, or of higher qualisy than, other programming carried on the Grantee's cable syssem. Where a signal carried on a PEG access channel does not originate with the Grantee, the Grantee must not materially degrade that signal as it is broadcast over Grantee's cable system. Future Increase in Channel Capacitv. After channel capacity on the Grantee's cable system has been increased as a result of Grantee's upgrade of that system, bandwidth may be allocated for PEG access use in addition to that provided for above in paragraphs A, B, and C. This allocation will be determined by the parties, taking into consideration the utilization of existing PEG access channel capacity and the extent of any excess demand. Grantee Support of PEG Access Channels. Not later than January 31 of each year during the term of this Agreement, Grantee will pay to Grantor an amount equal to $1.00 for each subscriber that was connected to the cable television system at the end of the prior calendar year. This grant will be used by Grantee for facilities, equipment, and operating costs relating to the public, educational, and governmental access channels. H. Payments bv Grantee: No Offset, Pass-Through, or SurcharGe. The parties acknowledge and agree that the payments, grants, or contributions of Grantee, and the value of the services, equipment, facilities, resources, or other support to be provided or performed by Grantee in connection with the public, educational, and governmental access channels as specified in this Exhibit F, do not constitute, and will not be offset against, franchise fees that are payable by Grantee to Grantor, nor passed-through or surcharged to subscribers within the franchise service area, nor treated as "external costs" under FCC rules and regulations. I. Interconnection with Other Local Cable Sv~tems. Grantee will make available to other operators of franchised cable systems within the City the public, educational, and governmental access channels of its cable system to ensure 5hat zhe programming on those channels is available to all subscribers within the City. Grantee will make its PEG access channels available for interconnection at a point of presence, F-3 Resolution No. 99-083 Page 94 such as a fiber node, where no unreasonable signal degradation will occur. Grantee will not be responsible for any costs and expenses incurred by another franchised cable operator in making The interconnection with that point of presence. Similarly, Grantee will accept PEG access programming from the operators of other franchised cable systems in the City at a mutually acceptable point of presence. II. LOCAL PRODUCTION STUDIO. A. General Requirements. Grantee will in good faith cooperate with persons in the franchise service area who desire to produce programming that will be cablecast over the PEG access channels. This cooperation will include, without limitation, reasonable efforts to provide access to production studio facilities located in nearby communities, regardless of whether those facilities are owned and operated by the Grantee. If a public access channel is ultimately provided by Grantee under the provisions of Section I, paragraph C, and the demand for the use of production studio facilities substantially increases, then Grantor and Grantee will meet and confer for the purpose of exploring all reasonable alterDatives to accommodating that demand. B. Guidelines and Rules. Grantor and Grantee may mutually agree upon guidelines and rules that relate to (i) the use of access channels; and (ii) the use of local production studio facilities. When adopted, those guidelines and rules may be attached as Schedule 1 to this Exhibit F. Modifications may be made to these guidelines and rules by mutual consent of the Grantor and the Grantee. III. FUTURE PEG ACCESS CHANNEL NEEDS. Either party to this Agreement may request that the other party meet and confer to discuss actual or potential changes in PEG access channel requirements, whether attributable to technological developments, changes in viewership statistics, or other factors. Any modifications to this Exhibit F that are agreed upon by the parties will be memorialized in writing. - F-4 Resolution No. 99-083 Page 95 SCHEDULE 1 to EXHIBIT F GUIDELINES AND RULES FOR THE USE OF PUBLIC ACCESS CHARNELS AND LOCAL PRODUCTION STUDIO [To Be Added]