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Ord 1766COUNCIL BILL NO. 652 ORDINANCE N0. 1766 AN ORDINANCE RELATING TO THE CONSTRUCTION, OPERATION, REGULATION AND CONTROL OF CABLE COMMUNICATIONS SYSTEMS WITHIN THE CITY'S TERRITORIAL LIMITS. THE PEOPLE OF THE CITY OF WOODBURN DO ORDAIN: Section 1. Short Title. This ordinance shall be known and may be cited as the "Woodburn Cable Communications Ordinance." Section 2. Definitions. Whenever in this ordinance the words or phrases hereinafter in this section defined are used they shall have the respective meanings assigned to them in the following definitions, unless, in the given instance, the context wherein they are used shal] clearly impart a different meaning. Then not inconsistent with the context, words used in the present tense include the future tense, words in the plural number include the singular number, and words in the singular include the plural number. (A} "Applicant" shall mean any person or corporation submitting an application fora cable communications franchise. (B} "Basic service's is that service regularly provided to all subscribers at a basic monthly rate including, but not limited to, the retransmission of local and distant broadcast television signals, non-premium satellite services, automated services, local origination and access services. (C) "Cable communications system" or "CATS system" shall mean a system employing antennae, microwave, wire, waveguides, coaxial cables, or other conductors, equipment or facilities, designed, constructed or used for the purpose of: (1) collections and amplifying local and distant broadcast televi- sion or radio signals and distributing and transmitting them ; (2) transmitting original cablecast programming not received through broadcast signals; (3) transmitting television pictures, film and video-ta~oe programs. not received through broadcast television signals, whether or not encoded or processed to permit reception by only selected receivers; (4) transmitting and receiving all other signals, digital, voice, audio-visual, or other forms of electronic or electrical signals. (D) "Channel" means a six megahertz (MHz) frequency band, which i~s capable of carrying either one standard audio/video television signal, or a number of audio, digital or other non-video signals. (E) "City" shall mean the City of Woodburn, a municipal corporation of the State of Oregon, in its present incorporated from or in any later reorganized, consolidated enlarged or reincorporated form. Page 1_ ._COUNCIL BILL N0. 652 ORDINANCE N0. 1766 (F} "City Council" or word "Council" shall mean the legislative body oT the City of Woodburn. (G} "City Administrator" shall mean the City Administrator of the City of Woodburn. (H} "Community Access Channel" or "Access Channels" means any channel or portion of a channel utilized for programming on anon-profit basis. (I} "Educational Channel" means any channel or portion of a channel on which educational institutions are the only designated programmers. (J) "Entertainment Services" means television services provided on a one-way, non-interactive basis including but not limited to broadcast channels, local origination channels, pay channels or any other channels supplied to sub- scribers at a basic or premium charge where the content of the transmitted signals is uniform to all subscribers or individual classes of subscribers and program selection is accomplished by operation of a tuner or converter under the sole control of the subscriber. (K} "Federal Communications Commission" or "FCC" is the present federal agency of that name as constituted by the Communications Act of 1934, or any successor agency created by the United States Congress. (L) "Franchise" shall mean and include any authorization granted hereunder in terms of a franchise, privilege, permit or license to construct, operate and maintain a cable television system within the City of Woodburn. Any such authoriza- tion, in whatever form granted, shall not mean and include any license or permit required for the privilege of transacting and carrying on a business within the City as required by other ordinances and laws of this city. (M) "Government Channel" means any channel or portion thereof dedicated to the use of the municipal agencies. (N} "Grantee" or "Franchisee" is a holder of a cable television franchise issued by the City. (0) "Grantor" means the City of ~~~oodburn acting through its City Council. (P} "Gross revenues" means any and all compensation in whatever form, directly or indirectly received by Grantee, from the source saecified, not including any taxes on services furnished by the Grantee, which taxes are imposed directly on a subscriber or user by a city, county, state or other governmental unit, and collected by the Grantee for such entity. (Q} The word "institutions means a building or buildings where service may be utilized in connection with a business, trade, profession, public agency or service, school, or non-profit organization. (R} "Institutional Service" means services delivered on the institutional subscriber network. Page 2- COUNCIL BILL N0. 652 ORDINANCE NO. 1766 (S) 'Institutional Network" means a cable communications network designed principally for the provision of non-entertainment interactive services to businesses, schools, public agencies or other non-profit agencies for use in connection with the on-going operations of such institutions. (T) "Institutional Subscriber" means a place of business, public agency, school or non-profit corporation receiving institutional services on the insti- tutional subscriber network. (U} "Interactive Services"means services provided to subscribers where the subscriber either (a) both receives information consisting of either television or other signals and transmits signals generated by the subscriber or equipment under his control for the purpose of selecting what information shall be transmitted to the subscriber or for any other purpose; or (b} transmits signals to any other location for any purpose. (v} ".eased Channel" means any channel or portion of a channel available for programming for a fee or charge by persons or entities other than the Grantee. (W) "Local Origination Channel" means any channel or portion of a channel where the Grantee is the only designated programmer, and which is utilized to pro- vide television programs to subscribers. (X) "Non-basic service" means any communications service in addition to "regular subscriber services" including but not limited to access channel carriage including origination programming, pay television, burglar alarm service, fire alarm service, data transmission, facsimile service, home shopping service, etc. (Y} "Pay Channel" or ''Premium Channel" means a channel on which television signals are delivered to subscribers fora special charge fee or charge to subscribers over and above the regular charges for basic subscriber service, on a per program. per channel or other subscription basis. (Z) "Persons" means any corporation, partnership, proprietorship, individual or organization authorized to do business in the State of Oregon. (AA) "Premium Service" is pay-per-program, pay-per_channel, or other subscription service, i.e., delivered to subscribers for a fee or charge over and above the regular charges for basic service. (BB) "Public Access Channel" means any channel or portion of a channel where any member of the general public may be a programmer on a first-come, first- served basis, subject to appropriate rules formulated by the City and/or franchise. (CC) "Residential Services" means services delivered on the residential subscriber network. (DD} "Residential Subscriber" means a subscriber who receives residential services on the residential subscriber network. Page 3- COUNCIL BILL N0. 652 ORDINANCE N0. 1766 (EE) "Residential Network') means a cable communications network designed principally for the delivery of entertainment, community access or interactive services to individual dwelling units. (FF) "Streets", "Public Ways" and "Right-of Ways'' means the surface of and the space above and below any public street, avenue, highway, boulevard, concourse, driveway, bridge, tunnel, park, parkway, sidewalk, waterway, dock, pier, alley, right-of-way, public utility easement, and any other public ground or water, now or hereafter, within or belonging to the City. (GG) "Subscriber" means any person or institution that elects to sub- scribe to, for any purpose, a service provided by the Grantee by means of or in connection with the cable communications system whether or not a fee is paid for such service. (HH) "Tapping" means observing a communications signal exchange where the observer is neither of the communicating parties whether the exchange is observed by visual or electronic means, for any purpose whatsoever. Section 3. Franchise Necessa~ to install and Operate. (A) It shall be unlawful to commence or engage in the construction, operation or maintenance of a cable communications system without a franchise issued under this ordinance. The City Council may, by ordinance, award a franchise to construct, operate and maintain a cable communications system within all or any portion of the City to any person, whether operating under an existing franchise or not, who makes application for authority to furnish a cable communications system which complies with the terms and conditions of this ordinance. This ordinance section shall not be deemed to require the grant of a franchise to any particular person or to prohibit the City Council from restricting the number of Grantees should it determine such a restriction would be in the public interest. The franchise shall be exclusive within the corporate limits of the City of Woodburn. (B) Any franchise granted pursuant to the provisions of this ordinance shall authorize and permit the Grantee to engage in the business of operating and providing a cable communications system in the City, and for that aurpose to erect, install, construct, repair, replace, reconstruct, maintain and retain in, on, over, under~upon,across, and along any street, such poles, wires, cable, conductors, ducts, conduit, vaults, manholes, amplifiers, and appliances, attachments, and other property as may be necessary and appurtenant to the cable communications system; and, in addition, so to use, operate, and provide similar facilities, or properties rented or leased from other persons, firms or corporations, including but not limited to any pubic utility franchised or permitted to do business in the City. Section 4. Term of Franchise. (A) Any franchise granted by the City Council shall be fora term of ten years following the date such franchise is accepted by the Grantee, and, upon application of the Grantee and review of the performance of Grantee in a public proceeding, the City Council may renew the franchise for successive ten year periods, with such modification of the terms as the City Council may determine in each instance. Page -4 COUNCIL BILL N0. 652 ORDINANCE NO. 1766 (B} The City Council may terminate any franchise granted pursuant to the provisions of this ordinance in the event of the willful failure, refusal or neglect by Grantee to do or comply with any material requirement or limitation contained in this ordinance, or any other applicable rule or regulation of the Council or City Administrator validly adopted pursuant to this ordinance. (1} The City Administrator may make written demand that the grantee comply with any such requirement, limitation, term, condition, rule or regulation. If the failure, refusal or neglect continues after notice for an unreasonable period of time, determined as such by the City Administrator, following such written demand, the City Administrator may place his request for termination of the franchise upon the next regular Council meeting agenda. The City Administrator shall cause to be served upon such Grantee, at least twenty (20} days prior to the date of such Council meeting, a written notice of his intent to request such termination, and the time and place of the meeting. (2) The Council shall consider the request of the City Administrator and shall hear any persons interested therein, and shall determine, in its discretion, whether or not any failure, refusal or neglect by the Grantee was with just cause. (3} If such failure, refusal or neglect by the Grantee was with just cause, the Council shall direct the Grantee to comply within such time and manner and upon such terms and conditions as are reasonable. (4} If the Council shall determine such failure, refusal or neglect by the Grantee was without just cause, then the Council may b,y ordinance, delcare • that the franchise with such Grantee shall be terminated and forfeited, Grantee shall be required to sell all interests, and title in all of its plant and system operated under the franchise including any rights under the unexpired portion of the franchise. (C} In the event of termination, the City may purchase or require any successor Grantee to purchase Grantee's facilities at a cost not to exceed its then fair market value, with a reduction for uncompensated damages incurred by the City in connection with Grantee's operation. (1) In order to determine the fair market value of Grantee's system as specified above, the following pro- cedure will be followed. Grantee and the purchaser each shall select one qualified appraiser experienced in the evaluation of cable communications systems. (2} The two selected appraisers shall select a third appraiser. The three appraisers shall be employed to determine the fair market value of Grantee's system. The fair evaluation shall be the average of the three evaluations of the appraisers. The appraisers shall be directed to reach their determination within thirty (30} days. Grantee and the purchaser shall each pay fifty percent (50%} of the costs of employing such appraisers. (3} Upon determination of the fair market value, and upon payment of such sum by the purchaser, Grantee shall transfer all rights, titles, and interests in the subject property to the purchaser within thirty (30) days. page 5- COUNCIL BILL N0. 652 ORDINANCE N0. 1766 (d) Nothing herein shall be deemed or impair or affect, in any way or to any extent, the City to acquire the property of the Grantee through of the right of eminent domain, nor any other of the the City under the franchise or any other provision construed to right of the the exercise rights of of law. (e) In the event of any holding over after expiration of other termination of any franchise granted hereunder without the prior consent of the City expressed by resolution, the Grantee shall pay to the City reasonable compensation and damages, of not less than one hundered percent (100%) of its gross revenue derived from all sources within the City during said period. Section 5. Limitation of Franchise. (A) A grantee shall, at all times during the life of its franchise, be subject to the lawful exercise of the City's police power and such reasonable regulations as the City Council may subsequently promulgate thereunder. (B) Nothing contained in this ordinance shall be deemed to prohibit in any way the right of the City to levy nondiscriminatory occupational license taxes on any activity conducted by Grantee. (C} No privilege or exemption shall be granted or conferred by any franchise granted under this chapter except those specifically prescribed herein, and/or in the ordinance granting the franchise. (D) Any privilege claimed by Grantee under its franchise, in any public way, shall be subordinant to the City's use thereof, and to any other prior lawful occupancy of the public way. The City reserves the right to reasonably designate where a Grantee's facilities are to be placed within the public ways. (E} Time shall be of the essence of any such franchise granted. The Grantee shall not be relieved of his obligations to comply promptly with any of the provisions of this ordinance, or the ordinance granting the franchise, by any failure of the City to enforce prompt compliance. (F) Any such franchise granted shall not relieve the Grantee of any obligations involved in obtaining pole or conduit space from any department of the City, utility company, or from others maintaining utilities in the public ways. (G} Whenever in the judgment of the Grantor it is deemed impracticable to permit erection of poles or construction of underground conduit system by any other utility which may at the time have authority to construct or maintain a conduit or poles in street area, the Grantor may require the Grantee herein to afford to such utility the right to use such of the poles or faicilities of the Grantee as the Grantor finds practicable in common with the Grantee, both parties sharing the costs incident thereto and under such rules and regulations as they may agree upon, but in case they fail to agree within a reasonable time, then upon such terms, conditions and regulations governing the same as the Grantor may determine to be just and reasonable. Page 6- COUNCIL BILL No. 652 ORDINANCE No. 1766 ~~ ~;,„ (h) Any franchise granted shall be in lieu of any and all other conflicting rights, privileges, powers, immunities, and authorities owned, possessed, controlled, or exercisable by Grantee or any successor to any interest of Grantee, of or pertaining to the construction, operation or maintenance of any cable communications system in the City; and the accep- tance of any franchise shall operate as between Grantee and the City, as an abandonment of any and all of such rights, privileges, powers, immunities, and authorities within the City to the effect that, as between Grantee and the City, and all construction, operation and maintenance by any Grantee of any cable communications system in the City shall be, and shall be deemed and construed in all instances and respects to be, under and pursuant to said franchise and not under or pursuant to any other right, privilege, power, immunity or authority whatsoever, (i) No franchise shall authorize the use of any public property other than public right-of-way and public utility easements owned by the City, unless such franchise or subsequent resolution of the Council expressly authorizes such other public property. (j} No franchise granted shall ever be given any value by any court or other authority, public or private, in any proceeding of any nature or character, wherein or whereby the City shall be a party or affected therein or thereby. (k) Grantee shall be subject to all provisions of the other ordinances, rules, regulations and specifications of the City heretofore or hereafter adopted, including but not limited to those pertaining to works and activities in, on, over, under, and about public right-of-ways. (1) Any privilege claimed, under any such franchise granted, in any public right-of-way or other public property shall be subordinate to the public use and any other lawful use thereof, (m} Grantee shall be subject to the provisions of general laws of the City of Woodburn, Marion County and the State of Oregon, or as hereafter amended, when applicable to the exercise of any privilege contained in any franchise granted pursuant to this ordinance, including but not limited to those pertaining to works and activities in and about state highways, (n) Grantee shall be prohibited from directly or indirectly doing any of the following; (1} imposing a fee or charge for any service or repair to subscriber-owned receiving or transmitting device; except for the connection of its service or for the determina- tion by Grantee of the quality of signal reception and or transmission; (2} soliciting, referring, or causing or permitting the solicitation or referral of any subscriber to persons engaged in any business herein prohibited to be engaged in by Grantee; Page 7 -COUNCIL BILL NO, 652 ORDINANCE NO. 1766 (3) providing information concerning the viewing patterns of identifiable individual subscribers to any person, group or organization for any purpose. (0} If the Federal Communications Commission or the public Utilities Commission of the State of Oregon or any other Federal or State body or agency shall now or hereafter exercise any paramount jurisdiction over the subject matter of any franchise granted, then to the extent such jurisdiction shall preempt or preclude the exercise of like jurisdiction by the City, the jurisdiction of the City shall cease and no longer exist. The preemption or preclusion of the exercise by the City of any of its police power sha11 not diminish, impair, or affect any other contractual benefit to the City or Grantee nor any other contractual obligation of the Grantee under any franchise granted. Any and all minimum standards governing the operation of Grantee and any and all maximum rates, ratios, and charges specified in any franchise granted, existing now and at any time in the future, including such time as any paramount jurisdiction shall preempt or preclude that of the City, and any and all rights, powers, privileges, and authorities of the City to determine, establish, or fix any of the same, are each and ail hereby declared by the City and by any Grantee accepting any franchise to be contractual in nature and to be for the benefit of the City. (p} The form of the Grantee's contract with the subscriber shall also be subject to approval of the City. (q} It is not necessarily the City's intention to prohibit the erection or controlled use of individual television antennas, and no one is or will be required to receive cable communications service or connect with a cable communications system. (r) Should the Grantee ever fai] to pay any sum of money to the City owing to the City under provisions of this Ordinance,~or the franchise ordinance, when such sum becomes due and payable, Grantee shall pay interest to the CIty on the delinquent sum, until it is fully paid at (2} interest points above the prime rate of interest charges in the Woodburn area as calculated by the City. (s} A franchise to proceed with construction or operation of a cable communications system shall not be construed as any limitation upon the right of the City to grant to other persons or corporations, rights, privileges or authority similar to or different from the rights of authority set forth herein or the franchise document itself, in the same or other street, alleys, public highways, public places, or other public right-of-ways by agree- ment, franchise, permit or otherwise, (t} Nothing in this ordinance shall be construed or prohibit any person from constructing or operating any private non-commercial satellite receiving station to the extent permitted by City, County, State and Federal law. Page 8- COUNCIL BILL N0. 652 ORDINANCE N0. 1766 (u} "The CATV system herein franchised shall be used and operated solely and exclusively for the purpose expressly authorized by ordinance of the City of Woodburn and no other purpose whatever.' Inclusion of the foregoing statement in any such franchise shall not be deemed to limit the authority of the City to include any other reasonable condition, limitation or restriction which it may deem necessary to impose in connection with franchise pursuant to the authority conferred by provisions of this Ordinance. Section 6. Franchise Application Procedures. (a} This Ordinance itself grants no authority to operate a cable communications system to any persons}. Such grants are only made by the adoption of a separate ordinance awarding a specific franchise to an applicant who has complied with the provisions of this Ordinance. (b} Each application for a franchise to construct, operate, or maintain any cable communicateons-P systems} in this City shall be filed with the City Recorder and shall contain or be accompanied by the following: (1} the name, address, and telephone number of the applicant; (2} a detailed statement of the corporate or other business entity organization of the applicant, including but not limited to, the following, and to whatever extent required by the City. (i} the names, residence and business addresses of all officers, directors and associates of the applicant. (ii} the names, residence and business addresses of all officers, persons and entities having, controlling, or being entitled to have or control of 5% or more of the ownership of the applicant and the respective ownership share of each person on entity. (iii) the names and addresses of any parent or subsidiary of the applicant, namely, any other~~buseness entity owning or control- ling .applicant in whole or in part or owned and controlled in whole or in part by the applicant, and a statement describing the nature of any such parent or subsidiary business entity, including but not limited to cable television systems owned or controlled by the applicant, its parent and subsidiary and the areas served thereby. (iv} a detailed description of all previous experience of the applicant in providing cable television communications system ser ~~e and in related or similar fields. (v} a detailed and complete financial statement of the applicant. page 9- COUNCIL BILL N0. 652 ORDINANCE N0. 1766 Zvi} a statement identifying, by place and date, any and all cable television franchises awarded to the applicant, or its parent or subsidiary; the status of said franchises with respect to completion thereof; the total cost of completion of such systems; and the amount of applicant"s and its parent's or sub- sidiary's resources committed to the completion thereof. ~3} a thorough, detailed description of the proposed cable communications system and plan of operation `~ of the applicant which shall include, but not be limited to, the following: ~i) a detailed map indicating all areas pro posed to be served and a proposed time schedule for the installation of all equipment necessary to become operational throughout the entire area to be served. iii) a detailed, informative and referenced statement describing the actual equipment and operational standards proposed by the applicant. In no event shall said operational and performance standards be less than those adopted by the rules and regulations of the Federal Communications Commission (contained in Title 41, Subpart k, Sections 76.601 et. seq. 9}, and as augmented and modified by the franchise awarded. viii} a detailed estimate of the cost of constructing the applicant's proposed system. iv a copy of the form of any agreement, under- taking or other instrument proposed to be entered into between the applicant and any subscriber. (v} a detailed statement setting forth in its entirety any and all agreements and undertakings, whether formal or informal, written, oral or implied,existing or proposed to exist between the applicant and any person, firm or corporation which materially relate or pertain to or depend upon the application and the granting of the franchise. Zvi} a statement or schedule setting forth all proposed classifications of rates and charges to be made against subscribers and ail rates and charges as to each of said classifications, including installation charges and service charges. (4) a copy of any agreement existing between the applicant and any public utility subject to regulation by the Oregon Public Utilities Commission providing for the use of any facilities of the public utility, including but not limited to poles, lines or conduits, within the City and/or adjacent areas. page 10- COUNCIL BILL N0. 652 ORDINANCE N0. 1766 (5} any other details, statements, information or references pertinent to the subject matter of such application which shall be required or requested by the Council, or by any ::provision of any other Ordinance of the City. (6} an application fee in a sum to be set by the City which shall be in the form of cash, certified or cashier's check, money order, to pay the costs of studying, investigating, and otherwise processing such applications, and which shall be in consideration thereof and not returnable or refundable in whole or in part, except to the extent that such fee exceeds the actual costs incurred by the City in studying, investigating and otherwise processing the application; provided that any applicant who shall deliver to the City Recorder a written withdrawal of or cancellation of any application following the day such application is received by the City Recorder, shall be entitled to have returned and refunded the sum of 50/ of the fee less any actual costs or expenses incurred by the City by reason of such applications. (c) The Council may, by advertisement or otherwise, solicit for any other applications for cable communications system franchises, and may determine and fix any date upon or after which the same shall be received by the City, or the date before which the same shall not be received and may make any other determinations and specify any other times,terms, conditions or limitations respecting the soliciting, calling for, making and receiving of such applications. (d) Upon receipt of any application for franchise, the Council shall refer the same to the City Administrator who shall prepare a report and make his recommendations respecting such application, and cause the same to be completed and filed with the Council within ninety (90) days. (e} In making any determinations hereunder as to any application the Council shall give due consideration to the character and quality of the service proposed , rates to subscriber, income to the City experience, character, background and financial responsibility of any application, and its management and owners, technical and performance quality of equipment, willingness and ability to meet construction and physical requirements, and to abide by policy conditions, franchise limitations and requirements, and any other consideration deemed pertinent by the Council for safeguarding the interest of the City and the public. The Council, in its discretion, shall determine the award of any franchise on the basis of such considerations and without competitive bidding. (f) If the Council, after public hearing, shall determine to reject such application, such determination shall be final and conclusive, and the same shall be deemed rejected. (g) If the Council shall determine to further consider the application, the following shall be done; (1) The Council shall decide and specify the terms and conditions of any franchise to be granted hereunder and as herein provided, and shall set a date and time fora public hearing. Page 11- COUNCIL BILL N0. 652 ORDINANCE N0. 1766 (2) The City Recorder shall give notice of the intention to consider the granting of such a franchise, stating the name of the ,proposed Grantee, aril that copies of the proposed franchise may be obtained at the office of the City Recorder, fixing and setting forth a time and public place certain when and where interested parties may inspect all the bona fide applications, and setting forth a day, hour, and place certain when and where any persons having any interest therein or objection to the granting thereof may file written protests and appear before the Council and be heard. The City Recorder shall publish notice of the action specified in subsection 1 at least once within ten (10} days there of in a newspaper of general circulation within the City. (b) At the time set for the hearing, or at any adjournment thereof, the Council shall proceed to hear all written protests. Thereafter, the Council shall make one of the following determinations: (1) that such franchise be denied; or (2) that such franchise be granted upon such conditions as the Cou~nci] deems appropriate, which conditions may include, on a not to exceed basis, where in accordance with applicable FCC regulations and State laws; (i) charges for installation; (ii} subscriber rates; (iii) service rates for separate classifications of service such as additional connections. (i) If the Council shall determine that franchise be granted, such determination shall be expressed by Ordinance granting a franchise to the applicant. The action of the Council shall be final and conclusive. (j} The Grantee shall pay to the City a sum of money sufficient to reimburse it for-all expenses incurred by the provisions of this Ordinance beyond those defrayed by application fees. Such payment shall be made within thirty (30} days after the City furnishes the Grantee with a written statement of such expenses. Seciton 7. Applications for Franchise Renewal. (a) Any franchise may be renewed fora term not to exceed (10) years, at any time prior to the expiration of the same. An application there- fore shall be submitted to the City Administrator containing the following information: (1} the information required pursuant to section 6 (b) (1) and (2} hereof; (2} a map of the area proposed to be included in the franchise service area; (3) a schedule of rates and charges proposed; (4) a narrative and/or pictorial description of the facilities in place, and a narrative description of proposed additions and/or replacements thereto, if any. Page 12- COUNCIL BILL N0. 652 QRDINANCE N0. 1766 (b) upon receipt of such an application the City Administrator shall review the same and forward to the City Council a report containing the recommendation as to whether the renewal franchise should be granted or not. Upon receipt of such a report, the City Council shall conduct a public hearing, notice as is provided in subsection 6 (g) (2) hereof. At the time of such hearing, or continuance thereof, the City Council shall, based upon the application report, and relevant evidence received, determine whether the public interest, convenience and necessity require the issuance of such franchise. If it determines that the said franchise should be granted, it shall do so in the manner provided in subsection 6 (h) (2) hereof, in the event of non-renewal or termination of a franchise, the City may purchase, or in any event shall require any successor Grantee to purchase, Grantee's facilities at a cost not to exceed its then fair market value, with a reduction for any uncompensated damages incurred by the City in connection with the Grantee'`s operation. Tf such fair market value cannot be agreed upon by the parties, it shall be determined by athree-member arbitration panel, in accordance with the arbitration process specified in subsection 4(c} of this ordinance. The parties shall divide expenses of arbitration evenly among themselves. Section 8. Acceptance of the Franchise. (a) No franchise granted under this Ordinance shall become effective for any purpose unless and until written acceptance there of shall have been filed with the City Recorder's written acceptance, which shal] be in the form and substance approved by the City Attorney, shall also be and operate as an acceptance of each and every term and condition and limitation contained in this Ordinance, and in such franchise, or otherwise specified as herein and therein provided. (b) The written acceptance sha11 be filed by the Grantee not later than 12:01 o'clock p.m. of the fortieth (40th} day next following the effective date of the Ordinance granting such franchise ~n the event this day falls on a non- working day, then the next business day will suffice. (c} In default of the filing of such written acceptance as herein required the Grantee shall be deemed to have rejected and repudiated the franchise. Thereafter the acceptance of the Grantee shall not be received nor filed by the City Recorder. The Grantee shall have no rights, remedies, or redress in the premises, unless and until the Council shall determine that such acceptance be received or filed, and then upon such terms and conditions as the Council may impose . (d) In any case, and in any instance, all rights. remedies and redress in these premises which may or shall be available to the City, shall at all times be available to the City, and shall be preserved and maintained and shall continuously exist in and to the City, and shall not be in any manner or means modified, abridged, altered, restricted, or impaired by reason of any of these permises, or Qtherwise. (e} Any franchise granted and accepted under this Ordinance shall be in lieu of any and all other conflicting rights, privileges, powers, immunities, and authorities owned, possessed, controlled, or exercisable by the Grantee, of or pertaining to the construction, operation, or maintenance of any cable communications system (s} in the City. Page 13- COUNCIL BILL N0. 652 ORDINANCE NO. 1766 Section 9. Transfer or Assignment of Franchise. (a) Any such franchise shall be a privilege to be held in personal trust by the Grantee. The franchise shall not be sublet or assigned, nor shall any of the rights or privileges therein granted or authorized be leased, assigned, mortgaged, sold, transferred, or disposed of, either in whole or in part, either by forced or involuntary sale, or by voluntary sale, merger, consolidation or otherwise, nor shall title thereto, either legal or equitable, or any right, interest or property therin, pass to or vest in any person (s}, except the Grantee, either by act~~of the Grantee or by operation of law, without the consent of the City expressed by Ordinance. (b} The Grantee shall promptly notify the City of any proposed charge in, or transfer of, or acquisition by, any other party of control of the Grantee with respect to which the consent of the Grantor is required, pursuant to sub-section 9 (a) above. Such change of control shall make this franchise subject to revocation unless and until the City Council shall have consented thereto. (c) Consent of the City Council shall not be granted until it has examined the proposed assignee's legal, financial, technical, character and other qualifications to construct, operate and maintain a cable communications system in the City and has afforded a1~1 interested parties notice and an opportunity to be heard on the question. The Grantee shall assist the City in any such examination. (d} The said consent of the Council may not be unreasonably refused; provided, however, the proposed assignee must show financial responsibility as determined by the Council and must agree to comply with all provisions of the franchise and of this Ordinance; and provided, further, that no such consent shall be required fora transfer in trust, mortgage, or other hypothecation in whole or in part, to secure an indebtedness, except that when such hypothecation shall exceed 50/ of the market value of the property used by the Grantee in the conduct of the cable communications system, prior concept of the Council shall be required such a transfer, Such consent shall not be withheld unreasonable. (e) In the event that Grantee is a corporation , prior approval of the City Council, shall be required where there is actual change in control or where ownership of more than 50% of the voting stock of Grantee is acquired by a person or group of persons acting in concert,none of whom already own 50% or more of the voting stock, singly or collectively. Any such acquisition occurring without prior approval or the City Council shall constitute a failure to comply with a provision of this Ordinance within the meaning of Section 4 of this Ordinance. (f} Any such transfer or assignment shall be made only by an instrument in writing, which shall include an acceptance of all terms and conditions of the franchise by transfer of a duly executed copy of which shall be filed with the City Recorder within 30 days after any such transfer or assignment. Page 14- COUNCIL BILL 652 ORDINANCE NO. 1766 Section 10. Cable Communications Services. (a) Basic Service. A cable communications system, to be installed and operated pursuant to this Ordinance and a franchise granted hereunder shall: (1) be operationally capable of relaying to subscriber terminals those television and radio broadcast signals for the carriage of what the Grantee is now or thereafter authorized by the Federal Communications Commission; and color; and (2} distribute color television signals which it received in (3) provide channel capacity and basic equipment for program production in cable casting for educational and public access uses, and for use of the City per Section 20 herein; and (4) have a minimum capacity of 41 downstream video channels; and (5) as time to provide full r~ of the system or trunk the two-way capability sites specified in the ordinance. a minimum, have the capability of being converted at any averse transmission (two-way transmission} in any portion by adding appropriate reverse amplifier modules. Further, shall be fully activated from production facilities in those cable communications franchise granted pursuant to this (b) Non-basic Services. The cable communications system permitted to be installed and operated pursuant to this ordinance may also engage in the business of: (1) transmitting original cablecast programming not received through television broadcast signals; (2) transmitting television pictures, film and video-tape pro- grams, not received through broadcast television signals, whether or not encoded or processed to permit reception by only selected receivers or subscribers; (3} transmitting and receiving all other signals; digital, voice and audio-visual, etc. (c) Emergency Service. The Grantee shall design and construct the system to provide fora restricted audio and video override of video channels during emergencies as per Section 21 herein. Page 15 -COUNCIL BILL N0, 652 ORDINANCE N0. 1766 Section 11. Service Area. Grantee's system design and construction shall be such that service shall be made available to a]1 residential units within the Grantee's service area, as defined in the franchise, for the normal installation fee, with the exception that in those locations where the dwelling units per strand mile of system plant are less than the dwellings per mile figure stipulated in the franchise ordinance, Grantee shall provide cable service on a pro-rata sharing of the installation costs with the potential subscribers. The pro-rata sharing of those costs will be in accordance with the formulation set forth in Section 12 herein below. Section 12. System Extension. Grantee shall extend residential and institutional (the latter as required by City service into every new subdivision and/or development and/or newly incorporated/annexed area. Those new areas having more dwelling units per strand mile of plant than the number stipulated in the franchise ordinance, shall receive residential service for the normal installation fee. The capacity to provide cable communications service shall be available to newly constructed structures on the date of first occupancy. Actual installation of service may be delayed up to 60 days from first occupancy or until after final grading, whichever is first. Tn those areas where the number of swelling units per strand mile is less than the number stipulated in the franchise ordinance, Grantee will provide residential cable service on a pro-rata sharing of the installation costs with the potential subscriber(s). Grantee will bear its pr-rata share of the the then current mile of plant con- struction cost based on a multiple of the actual number of potential subscribers per mile divided by the number of dwellings per mile stipulated in the franchise ordinance. The remaining construction cost will be borne on a pro-rated basis by each appli- cant committing to service within the extension area. Mileage will be measured from the nearest point on the nearest trunk line. Example: If it requires one mile of plant extension at $10,000 per mile of construction to serve twenty potential subscribers, and if the franchise stipulated dwellings per mile were 24, Grantee would pay $10,000 x 20 24, or $8,333, as its share of the exten- sion cost. The remaining $1,667 cost would be divided equally among the twenty potential subscribers or each would pay a $84 installation fee assuming all twenty become subscribers. The above formula applies to individual installation distances, as stipulated in the franchise ordinance, or less. For distances in excess of the stipulated distance, there may be an additional charge for that distance in excess. Section 13. Systems Design, Construction and Technical Performance Standards. (a7 Standards of cable communications system(s) construction, safety, and operation will meet, but are not limited to, the following referenced specifi- cations, unless exception is agreed upon between the City and the Grantee. (1) Applicable City, County, State and Nation/Federal codes and ordinances as they apply to the construction of buildings, tower, structures, and cable system installation. Page 16- COUNCIL BILL NO. 652 ORDINANCE N0. 1766 (2} Applicable utility joint attachment practices. (3} National Electrical Safety Code, ~JFPA No. l0. (4) Local utility code requirements. (5) Local right-of-way procedures. (b) The overall system(s) will be designed and constructed to meet al] FCC technical performance specifications and standards over a temperature range of + 50 degrees F from the mean temperature of the Woodburn area, and to function throughout all environmental extremes expected. (c) The forward portion of any cable communications system shall be capable of initial activation of a minimum carriage of 41 Class ~ television channels, the full FM broadcast band, and for Pilot Carriers or such auxiliary signals as required for system control. (d) The combined forward trunk and distribution system will deliver signals to each and every subscriber's receiver that will meet or exceed the franchise ordinance specifications at the mean system temperature + 50 degrees F, unless otherwise indicated. This shall include the effects of drop cables, interior splits, and any terminal equipment such as descramblers and set top converters. (e) The reverse portion of the residential system shall be capable of initial activation of a minimum of 5 to 30 MHz in bandwidth, t~rith return signals from each subscriber and institutional (including all schools} signal source to the extreme end of any area in compliance with the specifications set forth in the franchise ordinance. (1) Where applicable, the end of the system specifications shall include the effects of any signal reprocessing equipment necessary to achieve forward transmission. (2) For Class I signals, the signal delivered to the subscriber's receiver, after being transmitted to the .headend, processed and retransmitted down a forward channel shall meet the specifications of the franchise ordinance. (f) All cable communications systems authorized to be constructed and operated pursuant to this ordinance, shall be, insofar as financially and tech- nically feasible, be compatible one with another. Signal specifications compliance determination for forward, and/or institutional channels interchanged between other cable communication systems and a Grantee's system are to be determined by applying the combined contribution of distortion of all pertinent components of the worst case (temperature and location) signal path. The combined contribution shall meet or exceed the specified technical specifications at the termination of the worst case signal path the channel could encounter. At the interconnect point the party delivering a channel or channels will provide signals, transported either in the forward or reverse system to the inter-connect point, that meet or exceed the franchise ordinance specifications at the mean system temperature ± 50 degrees F. The signals are to be the compliance as stated at a point which best represent- the most direct signal path between the party providing the signal and the party providing the signal and the party receiving the signal. Only one such inter- connect point is to be specified for all signal exchanges. Page 17- COUNCIL BILL N0. 652 ORDINANCE N0. 1766 (g} A comprehensive routine preventative maintenance program shall be developed, effected and maintained for each system by the respective Grantee to ensure continued top quality cable communications operated standards in consonance with FCC Part l6 and the technical specifications stipulated in the franchise ordinance. (h) Newly constructed system services shall not be offered for sale prior to proof-of-performance testing in accordance with FCC Part 76.601 and technical specifications and standards listed in the franchise ordinance. This initial proof-of-performance testing and annual proof of performance testing, may be conducted by the City, or its designated representative, at the City's option, when for sufficient cause as deemed by the Council, or its designated representative. The City reserves the right to have the measurements, associated with City observed performance tests, conducted at City selected test points and to a greater number of test points than the minimum required by Sub-Part 76.601, FCC Rules Additionally, the Grantee shall reimburse the City for all expenses incurred by it in connection with the City conducting or observing the annual performance tests, when the results of those tests are deemed by the City to fall below a 90/ level of compliance withthe technical standards set forth in FCC Part 76 and in the franchise ordinance. (i) Grantee's proof of performance testing procedures must be approved by the City for implementation prior to the initial proof of performance testing addressed in Paragraph (g) immediately above. The results of performance tests conducted in accordance with Section 76.601 (c), FCC Rules (or such other section of the Rules as shall incorporate its substance) shall be retained for at least 5 years and available for inspection by the City. (j) All system antennas and mounts shall de designed, installed and constructed for extremes in temperature, wind and ice loading. Antennas should be able to withstand 100 mph winds with a 1" radial ice load. (k) All underground cable should be flooded and be armour- clad cable and/or installed in conduit unless specifically exempted by the City Director of Public works, on a case by case basis. (1) Residential and institutional drop cables should be of the integral steel messenger variety where exposed to the possible accumu]ation of ice and a double shielded type and fitted with sealed hex crimp ring high integrity connectors. (m} Polyethelene jacketed cable should be used in any and all areas of the plant where airborne heavy chemical particles can be expected. ('n} Grantee's corrective maintenance program shall render effi~'cient corrective service, make repairs promptly, and interrupt service only for good cause and for the shortest time possible. Such interruptions shall be proceeded by notice and shall occur during a period of minimum use of the system. A written log shall be maintained of all service interruptions. The log shall reflect the date, time, duration, and reason for each service interruption. The record of the log shall be kept on file fora minimum of three years. Page 18- COUNCIL BILL N0. 652 ORDINANCE N0. 1766 Section 14. Undergrounding of Cable Lines (a} In those areas and portions of the City where the transmission and~or di~stri'bution facilities of the public utility providing telephone service and those of the utility providing electric service, are underground or hereafter may be placed underground, or are to be placed underground by a builder, developer or subdivider as part of a development or subdivision, then the Grantee shall likewise construct, operate and maintain all of its transmission and distribution facilities underground. (b) Tn new developments or subdivisions the builder, developer or subdivider shall be responsible for the performance of a]1 necessary trenching and backfilling of main line and service trenches, including furnishing of any imported backfill material required. Pre•wiring of new dwellings while under construction shall be mandatory. Amplifiers in the Grantee's transmission and distribution line may be in concrete boxes, pedestals or vaults on the surface of the ground. The Grantee will be responsible for the conduct of the engineering and labor to put the cable conduit in the trench. The Grantee will be responsible for pulling in the cable, and providing the pedestal amplifiers, electronics, stub ends and drops to individual homes, after occupancy. (c} In those areas and portions of the City heretofore designated by the City as local improvement districts and where utility service facilities are currently located underground, the Grantee sha11 be responsible for the undergrounding of cable facilities including the performance of all necessary trenching and backfilling of main line and service trenches, and the furnishing of any imported backfill material required. Amplifiers in the Grantee's transmission and distribution lines may be in concrete boxes, pedestals or vaults on the surface of the ground. Section 15. stem Maintenance (A} Throughout the life of a Grantee's franchise, and in addition to other service regulations adopted by the Council, and excepting circumstances beyond Grantee's control, such as Acts of God, riots and civil disturbances, and in providing the foregoing services, a Grantee shall: (1) Mainta~.n all parts of its system in good condition and in accordance with standards generally observed by the cable television industry. The system must serve individual residents, but also serve as a broad based communications source for City Government, other public facilities including hospitals, public libraries, and schools, industrial and commercial business users. (2) Retain sufficient employees to provide safe, adequate and prompt service for all such residential subscribers, institutional facilities and business users. (3} Limit system failures to minimum time duration by locating and correcting malfunctioning as promptly as is reasonably possible, irrespective of holidays or other non-business hours. Page 19- COUNCIL BILL N0. 652 ORDINANCE N0. 1766 ~.,:-~ . Section 16. Emergencyy Power Emergency power sources shall be provided by Grantee at the head-end, network distribution center, satellite earth station, processing hubs, and other system locations as may be necessary to guarantee that in the event of a power failure on any part of the s~~stem, service will be maintained or the rest of the system, Section 17. Rules and Regulations for Subscriber Service Standards (a) It shall be services insofar as their honored. Neither the City service facilities, rules, preference or advantage to disadvantage. the right of all subscribers to receive all available financial and other obligations to the Grantee are nor the Grantee shall, as to rates, charges, service, regulations, or in any other respect, make or grant any any person, nor subject any person to prejudice or (b) Before providing cable television service to any subscriber, the Grantee shall provide a written notice to the subscriber substantially as follows: "Subscriber is hereby notified that in providing cable television/communications service the Grantee is making use of public rights-of way within the City of Woodburn and that the continued use of such rights-of-way is in no way guaranteed. In the even the continued use of such rights-of-way is denied to Grantee for any reason, Grantee will make every reasonable effort to provide service over alternate routes, By accepting cable television/communi- cations service, subscriber agrees he will make no claim nor undertake any action against the CIty, its officers, or its employees if the service to be pro~tided hereunder, is interrupted or discontinued." (c} There shall be no charges for service calls to subscribers homes except as provided by the Agreement. (d} Grantee may charge a subscriber fora lost or stolen converter, not to exceed Grantee's direct original wholesale cost. Except that the loss or theft of a converter with the premium access feature will incurr a monetary penalty as specified in the franchise ordinance to the responsible subscriber, unless a police report has been f i 1 ed . (e} Converter deposits shall be fully refundable, with possible deductions for repairs due to, damage other than that of normal wear, and for any unpaid service charges due. (f) Grantee shall be responsible for the protection of subscriber privacy, prohibiting the tapping and/or monitoring of cable, line, signal input device, or subscriber outlet or receiver for any purpose whatsoever, except Grantee may conduct tests of the functioning of the system where necessary in order to ensure proper maintenance of the system and to collect performance data for agencies regulating the quality of signals. Where critical information requires private communication, electronic signal scrambling techniques must be used. Page 20 - COUNCIL BILL NO. 652 ORDINANCE N0. 1766 (g} The Grantee shall maintain constant vigilance with regard to possible abuses of the right of privacy or other human rights of any subscriber, programmer, or general citizen resulting from any device or signal associated with the cable communications system. The Grantee shall not place in any private residence any equipment capable of two-way communications. without the written consent of the residents, and will not utilize the two-way communica- tions~capability of the system for subscriber surveillance of any kind without the written consent of the subscriber. (h} No cable, line, wire, amplifier, converter, or other piece of equipment owned by the Grantee shall be attached to any residence or other property by the Grantee without first securing the written permission of the owner or responsible occupant of any property involved. If such permission is later revoked whether by the original or a subsequent owner or responsible occupant, the Grantee shall remove forthwith all of its equipment and promptly restore the property to as near to its original condition as possible. (i} In the event that the Grantee elects to rebuild, modify, ar sell the system, or the CIty revokes or fails to renew the franchise, the Grantee shall do everything in its power to ensure that all subscribers receive con- tinuous, uninterrupted service regardless of the circumstances during the life time of the franchise. Tn the event of a system purchase by the City, or change of Grantee, the current Grantee shall cooperate with the City to operate the system fora temporary period, in maintaining continuity of service to all subscribers. (j} Upon termination of service to any subscriber, a Grantee shall promptly remove all its facilities and equipment from the premises of such subscriber upon his request, with the exception of underground installations if agreed upon by the subscriber at the time of subscribtion to the service. (k) The Grantee shall not sell, or otherwise make available, lists of the names and addresses of its subscribers, or any list which identifies. by name, subscriber viewing habits, to any person agency, entity, for any purpose whatsoever. (1} No polls or other two-way responses of subscribers shall be conducted unless the program of which the poll is a part shall contain an explicit disclosure of the nature, purpose and prospective use of the results of the poll. No commercial or other use of information of subscriber viewing habits or patterns may be made and no release of such information sha]1 be per- mitted without prior consent of the Council or pursuant to the rules and regu- lations duly adopted by the City. Section 18, Subscriber Complaint Service. (a) Subscriber complaint service will be provided in conjunction with the Grantee`s corrective maintenance program. Location of the Grantee's office and service center to be subject to Council approval. The subscriber complaint service will be as specified in the franchise ordinance. (b} A conveniently located business office and service center will be maintained within the service area. This office shall be open during all usual business hours, with its telephone listed in directories of the telephone company servicing the City, and be so operated that complaints and requests for repairs or adjustments may be received by telephone at all times when any television signals are being broadcast. Corrective maintenance for institutional services will be in accord with contract terms between the Grantee and the subc~criber. Page 21~- COUNCIL BILL N0. 652 ORDINANCE N0. 1766 Section 19. Rates and Charges. Except when and as preempted by FCC regulations and State laws, the following procedures apply to the rates and charges associated with the prwi'd:na of services under this ordinance and any franchise issued hereunder. (a) The Grantee shall charge its subscribers and users rates and charges approved by the Council, and no change in rates and charges may be made without the prior approval of the Council expressed by resolution. (b) Should the Grantee desire to change its rates and charges, it shall file a petition with the Council at least ninety (90) days prior to the proposed date of change. The petition shall detail the proposed changes and set forth the reason changes are desire. The petition shall include system historical finan- cial data (balance sheets and detailed profit and loss statements} for the period since commencement of system operations of the previous five (5) years, which- ever is the lesser. (c) Council determination of proper rates and charges shall be based on factors considered important by Council, which shall include but are not limited to: the quality of signal delivered to subscribers, the quality of service provided to subscribers, channel capacity, number and quality of programm- ing sources, and underlying economics of the system (system cash flow,, Grantee return on investment, etc.}. In this regard, the City reserves theright to inspect all of the Grantee's property and records in adjudging the merits of a request fora change in rates and/or charges. (d} In connection with any proposed increase in any rate or charge, the City may direct an authorized representative to conduct a hearing on the matter. If so directed, the representative shall set the day, hour, and place certain when and where any person having any interest therein may appear and be heard. This hearing should normally be conducted within sixty (60} days from date of receipt of petition. The notice of a public hearing on the matter should be published at least ten (10} days before the date of the hearing in a newspaper of general circulation within the City. (e) At the time set for such hearing, or at any adjournment thereof, the representative shall hear the matter. Following the close of such hearing, the representative shall prepare and file withthe Council a report of the hearing, and his recommendations and the reasons therefore. After receipt of the representative's report, the Council shall determine whether to adopt the report or to hold a further hearing. If the Council elects to adopt the recommendations of the representative, it shall do so by resolution. If it elects to conduct a hearing thereon, it shall fix and set forth a day, hour, and place certain when and where any person having any interest herein may appear before the Council and be heard. The City Recorder shall publish notice of the public hearing at least once within ten (10} days to the Council action in a newspaper of general circulation within the City. The City Recorder also shall cause notice of intent of such resolution to be mailed to~the grantee at least ten (10} days prior to the date specified for hearing thereon. At the time set for such hearing, or at~.any adjournment thereof, the Council shall . hear and decide the matter. Page 22- COUNCIL BILL NO. 652 ORDINANCE NO. 1766 (f) No rate established shall afford any undue preference or advantage among subscribers, but separate rates may be established for separate classes of subscribers. Section 20. Local Origination and Access. (a) Grantee shall provide and maintain at least one Local Origination and Access Studio within the service area. Location of the studio to be approved by the Council or its designated representative. (b) Grantee shall provide, install and maintain a Local Origination and Access Audio/Video System at their Local Origination and Access Studio. The System shall contain a complement of compatible equipment as specified in the franchise ordinance all of which will be of broadcast or top level industrial quality. (c) The Grantee shall make the portable audio/video equipment available for use by residents in accordance with a Grantee developed and City approved studio and equipment operations/usage plan, provided the following: (1) Grantee may charge a fee and/or deposit for the use and' safe return of said equipment. (2) The user shall be responsible to the Grantee for any loss of or damage to said equipment. (3} Said equipment shall be available to residents on a "check-out'' basis, and Grantee shall be given reasonable notice by a resident who wishes to use said equipment. (4) Residents may not use the equipment for longer than a reason- able period of time, nor more frequently than is reasonable. (5} Grantee may deny use of said equipment to any resident who, in the judgment of Grantee, is not competent in the care of said equipment. (6} Grantee shall hold harmless the City from any damages resulting from the use of local Origination and Access Studio and portable equipment. (d) If the Grantee provides a color production van for remote public access productions and locally-originated programming, the van should be a fully equipped, multiple-camera, color production van with switches, special effects editing and audio origination capability. It should have complete videotape recording (VIR) equipment for editing and later playback of programs, and can be linked for live origination to the system head-end or network distribution center by two-way cable throughout the. Grantee`s service area. Ponta ble micro-wave equipment should be provided to link the production van to the system where cable inter-connections are not available. The head-end or network distribution center should be equipped with an o ~ni-directional micro-wave receive antenna to afford reception of the production van micro-wave signal from virtually any line -of-sight location within a 20-mile radius. Page 23- COUNCIL BILL N0. 652 ORDINANCE N0. 1766 (e) Grantee's production capability will be supplemented by a minimum of two portapak cameras and two 3/4" portable video recorders. (f) Grantee shall provide community access channels for use by City residents, including a channel for Government access, a channel for primary and secondary school access use, a channel for access use by colleges, a channel for community access on a first come, first serve basis, and a channel for leased access untilthere is demand for full channel-time use, such may be com- bined on one or more channels. Additional access channels will be activated when any of the channels stipulated are in use during 80/ of the weekdays (Monday through Friday) for 80/ of the time during any consecutive three (3} hour period for (6) consecutive weeks. (g} Grantee will actively promote production assistance to facilitate use of these community access channels. Grantee shall maintain sufficient dedicated studio staff to fully support active local origination and access activities. The staff, upon reasonable notice, shall provide training and technical assistance in the use of the studio and portable equipment. This training and assistance shall, at a minimum, be available at the local origination and access studio and made available upon request at public schools. (h} Grantee shall maintain all studio equipment, including portable equipment, in a fully operational status on a continuous basis, and to technical standards requisit for quality performance. When any equipment is removed for maintenance it will be replaced by like-type equipment of equivalent performance. Section 21. Emergency Alert - Audio/Video Override The Grantee shall design and construct the cable communications system to provide fora restricted audio and video simultaneous override of all video channels during emergencies, with override to be placed under City control. Video override to include a character generator capability for delivery of emergency messages to the communicatively handicapped. The audio override shall include a squeal alert tone to precede the verbal and video messages. The design of the Emergency Alert system is to be submitted to the City Administrator for approval prior to construction. Section 22. Safety Requirements A Grantee shall, at all times: (a} Install and maintain its wires, cables, fixtures and other equipment in accordance withthe requirements of the City Building Code, and in such manner that they will not interfere with any installations of the City. (b) Keep ~~nd maintain in a safe, suitable, substantial condition, and in good order and repair, all its structures, lines, equipment, and connections in, over, under, and upon the streets, sidewalks, alleys, and public ways or places of the r;.~. City wherever situated or located. Page 24- COUNCIL BILL N0. 652 ORDINANCE N0. 1766 Section 23. Permits and Construction (a) Within thirty (30) days after acceptance of franchise, the Grantee shall proceed with due diligence to obtain all necessary permits and authorizations which are required in the conduct of its business, including, but not limited to, any utility joint use attachment agreements, encroachment permits, micro- wave carrier licenses, and any other permits, licenses and authorizations to be granted duly constituted regulatory agencies having jurisdiction over the operation of cable television/communications systems, or associated micro-wave transmission facilities. ~In connection therewith, copies of all petitions, applications and ' communications submitted by the Grantee to the federal Communications Corr~ission, Securities and Exchanges Commission, or any other Federal or State regulatory cor~nission or agency having jurisdiction in respect to any matters affecting Grantee's cable communications operations, shall also be submitted simultaneously to the City Administrator (b) Within sixty (60) days after obtaining all necessary permits, licenses and authorizations, including right of access to poles and conduits, Grantee shall commence construction and installation of the cable communications system. (c) Within one hundred eighty (180) days after the commencement of construction and installation of the system, Grantee shall proceed to render service to subscribers, and the completion of the installation and construction shall be pursued with reasonable diligence thereafter, so that service to all areas designated and scheduled on the map and plan of construction made part of the franchise shall be provided as set forth therein. (d) Failure on the part of the Grantee to commence and diligently pursue each of the foregoing requirements and to complete each of the matters set forth herein, shall be grounds for termination of such franchise. By resolution and Order the Council in its discretion, may extend the time for the commencement and completion of installation and construction for additional periods in the event the Grantee, acting in good faith, experiences delays by reason of circumstances beyond his control. (e) Grantee shall utilize existing poles, conduits, and other facilities whenever possible, and shall not construct or install any new, different, or additional poles, conduits, or other facilities whether on public property or on privately-owned property unless and until first securing the written approval of the City Director of Public Works. Whenever Grantee shall not utilize existing poles, conduits and other facilities, or whenever .existing conduits and other facilities shall be located beneath the surface of the streets or whenever the City shall undertake a program designated to cause all conduits and other facilities to be located beneath the surface of the streets in any area of the City, in the exercise of its police power or pursuant to the terms hereof, upon reasonable notice to Grantee, the City may require any such to be constructed installed, placed, or replaced beneath the surface of the streets. Any construction, installation, placement, replacement, or changes which may be so required shall be made at the expense of Grantee, whose costs shall be determined as in the case of public utilities. Page 25- COUNCIL BILL N0. 652 ORDINANCE NO. 1766 (f) The City shall have the right, free of charge, to make additional use, for any public or municipal purpose, whether governmental or proprietary, or any poles, conduits, or other similar facilitities erected, controlled, or maintained exclusively by or for Grantee in any street, provided such use by City does not interfere with the use by Grantee. (g} Per Section 14 of this Ordinance, in those areas of the City where the transmission of distribution facilities of the respective public utilities providing telephone, communication~~and electric services are underground, or hereafter are placed underground, the Grantee likewise shall construct, operate and maintain all of his transmission and distribution facilities underground. When directed by the City, previously installed aerial cable shall be undergrounded in concert, and on a cost- sharing basis, withthe utility companies involved pursuant to the general ordinances of the City or applicable State laws. The term "underground" shall include a partial underground system; provided that upon obtaining the written approval of the City, amplifiers in the Grantee's transmission and distribution lines may be placed in appropriate housing upon the surface of the ground. (h) The Grantee at his expense shall protect, support, temporarily disconnect relocate, or remove any property of Grantee when, in the opinion of the City Administrator. The same is required by reason of traffic conditions, public safety, street vacation, free way or street construction; change or establishment of street grade,installation of sewers, drains, waterpipes, power line, signal line transportation facilities, tracks, or any other types of structures of improvements by governmental agencies whet~~r acting in a governmental or proprietary capacity, or any other structure of public improvement, including but not limited to movement of buildings, urban renewal and redevelopment, and any general program under which the City shall undertake to cause all such properties to be located beneath the surface of the ground. The Grantee may, at the sole option of the City, have the privilege, subject to the corresponding obligations,to abandon property of Grantee in place. A permit to abandon in place must first be obtained from the City Director of Public Works. Nothing hereunder shall be deemed a taking of the property of Grantee and Grantee shall be entitled to no surcharge by reason of anything hereunder. (i) Upon the failure, refusal, or neglect of Grantee, to cause any work or other act required by law or hereunder to be properly completed in, on, over, or under any street within any time prescribed therefore, or upon notice given, where no time is prescribed the City~Admi~nistrator may cause such work or other act to be completed in whole or in part, and upon so doing shall submit to Grantee an itemized statement of the costs thereof. The Grantee shall, within thirty (30} days after receipt of such statement, pay to the City the entire amount thereof. (j) In the event that: (1) the use of any part of the system of Grantee is discontinued for any reason fora continuous period of thirty (30) days, without prior written notice to and approval by the City; or (2} any part of such system has been installed in any street or other area without complying with the requirements hereof and/or the Franchise Ordinance; or Page 26- COUNCIL BILL N0. 66Z ORDINANCE N0. 1766 (3} any franchise shall be terminated, cancelled or shall expire, then the Grantee shall, at the option of the City, and at the expense of Grantee and at no expense to the City, and upon demand of the City, promptly remove from any streets or other area all property of Grantee shall promptly restore the street or other area from which such property has been removed to such condition as the City Director of Public Works shall approve. The Council may, at its sole option, upon written application there- fore by Grantee, approve the abandonment of any of such ;property in place by Grantee. Upon abandonment of any such property yin place, Grantee shall cause to be executed, acknowledged and delivered to the City such instruments as the City Attorney shall prescribe and approve, transferring and conveying the owner- ship of such property to the City. Section 24. Indemnifications (a) Upon being granted a franchise, and upon filing of the acceptance required, the Grantee shall,at his sole expense, obtain, file with ,the City and, unless otherwise authorized by Council, thereafter maintiin during the full term of such franchise or any renewal thereof plus an additional six months thereafter, a corporate surety bond or other adequate surety agreement in such form and amount, not less than the penalty sum of one hundred thousand ($100,000} dollars, as shall have been approved by the City Attorney. (b} Within thirty (30) days after the effective date of any franchise, unless otherwise authorized by Council, the Grantee shall deposit into a bank account, established by the City Administrator and maintain on deposit throagh the term of the franchi se a security fund of not less than fifteen thousand ($15,000) dollars as security of faithful performance by it of all provisions of the franchise, and compliance with all orders, permits and directions of any agency of the City having jurisdiction over its acts o~ defaults under the contract, and payment by the Grantee of any claims, liens and taxes due to the City which arise by reason of the construction, operation or maintenance of the system. The Grantee shall be entitled to all interest earned on such account. (1) within thirty (30} days after notice to it that any amount has been withdrawn by the City from the security fund pursuant to sub-section (b) of this Section, the Grantee shall deposit a sum of money sufficient to restore such security fund to the original amount of fifteen thousand ($15,000) Dollars. (2) if the Grantee fails, after ten (10) days notice to pay to the City any taxes due and unpaid; or, fails to repay the City within such ten (10) days, any damages, costs or expenses which the City shall be com- pelled to pay by reason of any act or default of the Grantee in connection with the franchise; or, fails, after thirty (30) days' notice of such failure by the City to comply with any provision of the franchise which the City reasonably determines can be remedied by an expenditure of the security, the City Administrator may immediately withdraw the amount thereof, with interest and any penalties, from the security fund. Upon such withdrawal, the City Administrator, shall notify the Grantee of the amount and date thereof. Page 27- COUNCIL BILL N0. 652 ORDINANCE N0. 1766 (3} the security fund deposited pursuant to this section shall become the property of the City in the event that the franchise is cancelled by reason of default of the Grantee or revoked for cause. The Grantee, however, shall be entitled to the return of such security fund, or portion thereof, as of the franchise, or upon termination of the franchise at an earlier date, provided that there is then no outstanding default on the part of the Grantee. (c} By accepting a franchise, each Grantee shall be deemed to have agreed to indemnify and hold harmless the City, its officers, boards, commissions, agents, consultants, and/or employees against and from any and all claims, demands, causes or actions, actions, suits, proceedings, damages (including but not limited to ,damages to City property and damages arising out of copyright infringements, and damages arising out of any failure by Grantee to secure consents from the owners, authorized distributors or licensees of programs to be delivered by Grantee's cable communications system), costs or liabilities (including costs of the City with respect to its employees}, of every kind and nature whatsoever, including but not limited to damages for injury or death or damage to person or property, and regardless of the merit of any of the same, and against all liability to others, and against any loss, cost, and expense resulting or arising out of any of the same, including any attorney fees, accountant fees, expert witness or consultant fees, court costs, per d1e~ expense, traveling and transportation expense, or other costs or expense arising out of or pertaining to the exercise or the enjoyment of any franchise hereunder by Grantee, or the granting thereof by the City. (d) The Grantee shall at the sole risk and expense of Grantee, upon demand of the City, made by and through the City Attorney, appear in and defend any and all suits, actions, or other legal proceedings, whether judicial, quasi-judicial, admin- istrative, legislative, or otherwise broa~ht or instituted or had by third persons or duly constituted authorities, against or affecting the City, its officers, oommission~, agents, consultants, or employees, and arising out of or pertaining to the exercise or the enjoyment of such franchise, or the granting thereof by the City. ~~(1} alternatively, in the discretion of the City Administrator, the City may, on behalf of itself, and/or any of its officers, agents, consultants or employees, elect to employ, at Grantee's :expense, attorneys to appear and defend such actions. (2) the Grantee shall pay and satisfy and shall cause to be paid and satisfied any judgment, decree, order, directive, or demand rendered, made or issued against Grantee, the City, its officers, boards, commissions, agents, consultants, or employees in any of these premises; and such indemnity shall exist and continue without reference to or limitation by the amount of any bond, policy of insurance, security deposit, undertaking or other assurance required hereunder, or otherwise; provided, that neither Grantee nor City shall make or enter into any compromise or settlement of any claim, demand, cause of action, action, suit or other proceedings, without first obtaining the written consent of the other. Page 28-COUNCIL BILL ~JO. 652 ORDINANCE N0. 1166 (e) Upon being granted a franchise, and upon the filing of tha ~~ acceptance required under section 8 hereof, the Grantee shall file with the City Reocrder and shall thereafter, during the entire term of such franchise, maintain in full force the effect each of the following policies of insurance: (1) General Comprehensive Liability Insurance in a form satis- factory to and an amount approved by the City Attorney, together with bodily injury and property damage liability insurance with such limits as may be required by the Council, but not less than five Ihundred thousand dollars (500,000) for each person injured, and one million dollars ($1,000,000) aggregate per single accident or occurrence, and five hundred thousand (500,000) for property damage; The City shall be named as an additional insured on all such insurance policies and such policies shall provide they cannot be cancelled unless at least thirty (30) days prior written notice of intent to terminate or cancel has been given to the City. (i) the City shall be named as an additional insured in any of said insurance policies. (ii)where such insurance is provided by a policy which also covers Grantee or any other entity or person, it shall contain the standard cross liability endorsement. (2) Workers Compensation Insurance coverage in at least the minimum amounts required by law. If a Grantee fails to obtain or maintain such required insurance coverage, the City, may without notice to Grantee, obtain at Grantee's sole expense, such coverage, or forthwith terminate, without prior notice, the franchise as granted. (f) Any of the indemnifications specified in this section may be reduced, in part or whole, in term or amount by Council after three years from date of award of franchise if the purpose of the above required bond, security fund or insurance is deemed by Council to have been served and no longer required. Once reduced, in part or whole, the full requirements, in term and amount, may be reimposed as indicated above atCouncil's sole discretion and at Grantee's sole expense. Section 25. Franchise Fee (A) In consideration of the granting and exercise of a franchise to construct and operate a cable communications system in the City, the Grantee shall pay to the City during the life of the franchise, a franchise fee equivalent to a percentage, as stipulated in the franchise ordinance, of the Grantee's gross revenues including, but not limited to, Basic Service Revenues,.Non Basic Revenues, Advertising Revenues, Lease Revenues, and Date transfer Revenues, for the purpose of defraying administrative expenses associated -~ th the conduct and performance of the City's authority, responsibilities, and police power in the promotion of safety,_ convenience, comfort, prosperity, and general welfare of the citizens of the City, and in consideration of the City's granting and Grantee's exercising a franchise to use the streets, as defined in Section 2 herein. Page 29-COUNCIL BILL N0. 652 ORDINANCE N0. 1766 (B) The percentage payments shall be made in the manner, amounts and at times directed in the franchise ordinance. (C) At the discretion of the Council, a percentage of portion of the fee payments may be ear-marked to assist in the funding of certain non-basic service, e.g.-public and educational access, etc. (D} A Grantee shall file with the City Recorder, within 90 days after the expiration of any calendar year or portion thereof during which its franchise is in force, a financial statement certified by a responsible officer of the Grantee, showing in detail the Gross Revenues,and defined herein, of the Grantee during the preceeding calendar year~;of portion thereof. Additionally, Grantee shall submit to the City copies of all FCC Form 325 and 326 reports(and any future revisions of replacements thereof}within ten days after submission to the FCC. (E) The City or its representative shall have the right to inspect the Grantee's records to determine if proper payments have been made to the City. The cost of such audits shall be borne by Grantee if the same results in increasing by more than 2%, the Grantee's annual payment to the City. (F} No acceptance of any payment shall be construed as a release or as an accord and satisfaction of any claim the City may have for further or additional sums payable under this Ordinance or the Franchise Ordinance or associated Resolution or Ordinance for the performance of any other obligation thereunder. Section 26. Conditions on Riaght-of-W~ Occupancy. (a) Any payments, sidewalks, curbing or other paved area taken up or any excavations made by a Grantee shall be done under permits issued for the work by the proper officials of the City, and under their supervision and direction, and shall be done in such manner as to give the least inconvenience to the.in~~abi- tants of the City. A Grantee shall, at its own cost and expense, and in a manner approved by the proper City officials, replace and restore any such pavements, sidewalks, curbing or other paved areas in as good a condition as before the work involving such disturbance was done, and shall also make and keep full and com- plete plats, maps and records showing the exact locations of its facilities located within the public streets, right -of-ways, and easements of the City. These maps shall be available for inspection at any time during business hours by City officials. (b} A Grantee shall, at its expense, protect, support, temporarily disconnect, relocate, or remove, any of its property when required by the City by reason of traffic conditions, public safety, road construction, change of street grade, installation of sewers, drains, water pipes, power lines, signal lines, tracks, or any other type of municipal improvements; provided; however, that the Grantee may, at the sole option of the City, have the privilege of abandoning property in place. (c) A Grantee shall, on the request of any person holding a building moving permit issued by the City, temporary removal or raising or lowering of wires shall be paid by the person requesting same, and the Grantee shall have the authority to require such payment in advance. The Grantee shal] be given not less than 48 hours advance notice to arrange for such temporary wire changes. (d) A Grantee shall have authority to trim the trees upon and over- hangYng the public streets so as to prevent the branches of such trees from .. Page 30- COUNCIL BILL N0. 652 ~~ ` ORDINANCE N0. 1766 coming in contact with the wires and cables of the Grantee under the same rules and regulations applied to public utilities within the City, except that, at the option of the Council, such trimming may be done by it or under its supervision and direction at the expense of the Grantee. (e) In all sections of the City where the cable, wires, or other similar facilities of public utilities are placed underground, the Grantee shall place its cables, wires, or other like facilities underground to the maximum extent that existing technology reasonably permits the Grantee to do so. (f) In all sections of the City where wires, cables and other system appurtenances are mounted above ground, every reasonable effort shall be made to minimize obstruction of the view of residents, and every reasonable effort shall be made to preclude an unsightly system installation. Section 27. Rights Reserved to the City. (a} Nothing herein and/or in the franchise shall be deemed or con- strued to impair or affect, in any way, to any extent, the right^of~~he City to acquire the property of the Grantee, either by purchase or through the exercise of the right of eminent domain, at a fair and just value, which shall not include any amount for the franchise itself or for any of the rights or privileges granted thereby, and nothing herein contained shall be construed to contract away or to modify or abridge, whether fora term or in perpetuity, the City's right of eminent domain. (b} There shall be reserved to the City every right and power which is required to be reserved or provided by law, and the Grantee, by its accept- ance of the franchise, agrees to be bound thereby and to comply with any action or agreements of the City in its exercise of such rights of power, theretofore, or thereafter enacted or established. (c} Neither the granting of the franchise nor any provision thereof shall constitute a waiver or bar to the exercise of any governmental right or power of the City. (d} The City hereby reserves to itself the right to intervene in any suit, action, or proceeding involving any provision of this ordinance and/or Grantee's franchise. The Council may do all things which are necessary and convenient in the exercise of its jurisdiction under this Ordinance and/or Grantee's franchise, and may determine any question of fact which may arise during the existence of any franchise granted. The City Administrator with the approval of the City Attorney as to matters of law, is hereby authorized and empowered to adjust, settle, or compromise any controversy or charge arising from the operations of any Grantee under the franchise, either on behalf of the City, the Grantee or any subscriber, in the best interest of the public. (e) The City option, when for sufficient cause as deemed by the City Administrator, may require that the annual proof-of-performance test, addressed in Section 13 of this Ordinance, be conducted or observed by a qualified member of the City's staff or its designated representative. The City reserves the right to have the measurements, associated with City observed performance tests, conducted at City selected test points and to a greater number of test points then the minimum required by Section 76.601, FCC Rules. Page 31 - COUNCIL BILL N0. 652 ORDINANCE NO. 1766 (f) Any delegable right, power or duty of the Council, the City ~r any officials of the City may be transferred or delegated to an appropriate officer, employee, or department of the City. (g) The City reserves the right to promulgate other reasonable tech- nical and operational performance standards for system franchises granted pur- suant to this Ordinance. (h) The City reserves the right to enact reasonable regulations pertaining to franchises granted pursuant to this Ordinance which may include, but is not limited to: (1} Construction and use of poles; (2) Use of poles and conduits by City; (3} Common user; (4) Filing of pole user agreement; (5) Reservation of street rights; (6} Restoration of streets; (7} Movement of facilities; and (8) Trimming of trees. (i) The City reserves the right to further regulate the conduct of the Grantee in regard to the privacy and property rights of private citizens. Such regulations may include but are not limited to the security of all records maintained by the Grantee containing privacy sensitive information, personnel practices relating to such records and any other matters related to privacy and individual rights. (j} Should the State of Oregon, or any agency of the Federal Government or agency thereof subsequently require the Grantee to act in a manner which is inconsistent with any provisions of this ordinance, Franchise Ordinance or associated Resolutions and Orders, the Grantee shall so notify the City. Upon receipt of such notification, the City sha]1 determine if a material provision of the franchise is affected. Upon such determination,the City shall have the right to modify or amend any of the sections of the franchise to such reasonable extent as may be necessary to carry out the full intent and purpose of this Ordinance or the Franchise Ordinance. The City may terminate the franchise in the event the City determines the substantial and material compliance with the original proposed terms of the franchise has been frustrated by such State or Federal Requirement. Page 32-COUNCIL BILL N0. 652 ORDINANCE N0. 1166 (k) No Grantee nor any major stockholder of a Grantee shall directly or indirectly with the City use the position as cable Grantee to gain a comp- etitive advantage in the business of selling, leasing, renting, servicing or repairing radio or television sets or other receivers or parts thereof, or data access and transfer equipment which make use of entertainment and information signals, provided that nothing therein shall prevent Grantee from making modi- ficaitons to the tuner input circuit of the subscribers' communications trans- mitters and/or receivers, and the fine tuning of the customers' operating controls only, to ensure proper operation under conditions of cable connection at the time of installation or in repairing receivers and other equipment belonging to other cable system operators for use in the conduct of their businesses. (1) The Grantee shall permit the City to fasten signs, wires, and cables and stretch such wires and cables on any and all poles of the Grantee provided that the Grantee shall not be responsible for any damage without his fault resulting to the signs, wires, cables or property of the City resulting from such use of its poles by the City. (m) The Grantee shall manage all of its operations in accordance with a policy of totally open books and records. The City shall have the right to inspect at any time during normal business hours, at the local and parent corpor- ation offices of the Grantee, all books, records, maps, plans, income tax returns, financila statements, service complaint logs, performance test results and other like materials of the Grantee which relate to the operation of the Grantee. Access to the aforementioned records shall not be denied by the Grantee on the basis that said records contain "proprietary" information. (n) Communications with Regulatory Agencies. Copies of all petitions, applications, communications, and reports submitted by the Grantee to the Federal Communications Commission, Securities and Exchange Commission, or any other Federal or State regulatory commission or agency having jurisdiction in respect to any matters affecting cable communications operations authorized pursuant to the franchise, shall also be sui~nitted simultaneously to the Grantor, Copies of responses or any other communications from the regulatory agencies to the Grantee shall likewise be furnished simultaneously to the Grantor, (o) Any intro-state interconnection of interactive services between the system operated by Grantee and any other system shall be subject to the regula- tory authority of the City. (p) The reservation of any particular right shall not be construed to limit the promulgation of other reasonable rules and regulations. Section 28. E oal 0 ortunit Em to ent and Affirmative Action Plan. (a) In the carrying out of the construction, maintenance and operation of the cable television system, the Grantee shall not discriminate against any employee or applicant for employment because of race, creed, color, sex, or national origin Page 33 -COUNCIL BILL N0. 652 ORDINANCE N0. 1766 ,~., t,~ (b) The Grantee shall take affirmative action to ensure that applicants are employed, and that employees are treated during employment, without regard to their race, creed, color, sex, or national origin. Such action shall include, but not be limited to the following: employment upgrading, demotion or transfer, recruit- ment or recruitment advertising, layoff or termination, rate of pay or other form of compensation, and selection for training, including apprenticeship. (c} The Grantee shall post in conspicuous places available to employees and applicants for employment, notices setting forth the provisions of this non- d~scr~minat~ng clause. (d) The Grantee shall, in all solicitations or advertisements for employees placed by or on behalf of the Grantee state that all qualified applicants will rece1ve compensation for employment without regard to race, creed, color, sex, or national origin. (e) The Grantee shall incorporate the foregoing requirements in all of its contracts for work relative to construction, maintenance and operation of the cable television system, other than contracts for standard commercial supplies or raw materials, and shall require all of its contractors for~such work to incor- porate such requirements in ail subcontracts for such work. SECTION 29. Adoption of-:=Ru1 es and Re~ul ati~ons (a) At any time, the Council may adopt reasonable rules, regulations and standards governing the operation of cable communications systems in the City, consistent with the provisions of this Ordinance, and the Franchise Ordinance. Such rules, regulations and standards shall apply to and shall govern the operations of the Grantee of any cable communications franchise, and are expressly delcared to be a part of any such franchise. (b) Prior to adopting any such rule, regulation, or standard, the Council shall conduct a duly noticed hearing thereon. At the time set for such hearing, or at any adjournment thereof, the Council shall proceed to hear any relevant evidence relating to the matter. Thereafter, the Council by Resolution, may adopt, amend or modify such rules and regulations. (c} The standards adopted may govern the engineering, construction, install- ation, service, and maintenance of all cable communications systems in the City, including but not limited to standards governing carrier levels, signal-to-noise ratios, hum modulation, distortion levels, channel interactions and interreactions, and composite beat levels. Section 30. Amendment of This Ordinance and the Franchise Ordinance The Council shall amend this Ordinance and any franchise issued thereunder, upon its own motion or the application of a Grantee whenever amendment is necessary to enable a Grantee to utilize new developments in television or radio signal transmission which would improve and update cable communications service in the City, or to comply with any modifications in the Rules of the FCC. Amendments to Section 76.31 of the FCC Rules will be incorporated into this Ordinance within one year of their adoption or at the time of franchise renewal, whichever comes first. No amendment shall be adopted except after full, open public hearing affording due process, and no amendment substantially amending Page 34-COUNCIL BILL N0. 652 ORDINANCE N0. 1766 r ~ the existing rights and obligations of the Grantee shall be adopted without Grantee's comment. Section 31. Miscellaneous Provisions. (a} A franchise granted to provide service within the City shall authorize, and permit the Grantee to solicit, self, distribute, and make a charge to subscribers within the City for connection to the cable communication system of Grantee, and of the City in order to provide service outside the City. (b) A franchise, easement, license or other permit to anyone other than a Grantee to traverse any portion of the City in order to provide service outside the City shall not authorize nor permit said person to solicit, sell, distribute,,or make any charge to subscribers with the City, nor to render any service or connect any subscriber within the City to the cable communication service system of Grantee. (c) When not otherwise prescribed herein, all matters herein required to be filed with the 'City shall be filed with'the City Administrator. Section 32. Violations. (a) It shall be unlawful for any person to construct install or maintain within any public right-of-way in the City, or within any other public property of the City, or within any privately-owned area within the City which has not yet become a public right-of-way but is designated or delineated as a proposed public right-of-way on any tentative subdivision map approved by the City, and equipment or facilities for distributing any television signals or radio signals through a cable communications system, unless a franchise authorizing such use of such street or property or area has first been obtained pursuant to the provisions of this ordinance and unless such franchise is in all force and effect. (b) It shall be unlawful for any person, firm or corporation to make or use any unauthorized connection, whether physically,electrically,acoustically, inductively or otherwise with any part of any cable communications system within this City for the purpose of enabling himself or others to receive or use any television signal, radio signal, picture, program, sound, information, or other system service without payment to the owner of said system. (c) It shall be unlawful for any person, without the consent of the Grantee, to willfully tamper with, remove or injure any cables, wires or equipment used for distribution of television signals, radio signals, pictures, programs, sound, information, data, or other system service, except for those actions by the City deemed necessary to fulfill their responsibilities. Page 35-COUNCIL BILL N0. 652 ORDINANCE 1766 Section 33. Serverability. If any section, subsection, sentence, clause or phrase of this Ordinance is for any reason held illegal, invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portion hereof. The Council hereby declares that it would have approved this Ordinance and each section, sub- section, sentence, clause or phrase hereof, irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases be declared illegal, invalid or unconstitutional. The invalidity of any portion of the Ordinance shall not abate, reduce or otherwise affect any consideration or other obligation required of the Grantee of any franchise granted hereunder. Section 34. Notices. Every direction, notice, or order to be served upon a Grantee shall be sent to the local office described in Section 18 of this Ordinance. Every notice to be served upon the City shall be delivered, or sent by certified mail to the City Rdministrator at City Hall, 270 Montgomery Street, Woodburn Oregon 9707,. The delivery of such be deemed to have been at time of receipt. Page 36 - COI~PlCIL BILL. N0. 652 ORDINANCE N0. 1766 .~9 ~ ~ ... wa.....®.,.,,,~ti ~' APPROVED. E'; WAL ER L ON, MAYOR Passed by the Council Submitted to the Mayor Approved by the Mayor Filed in the Office of the Recorder Attest: ~~,~--.. ,z., Barney 0~ B rris ecorder City of ~Joodburn, Oregon September 21, 1981 September 22, 1981 September 22, 1981 September 22, 1981 ~i~proved as ~ ~ form: ~ ~ `~:~ Yak A'c rney Page 31 _ COUNCIL BILL N0. 652 ORDI~dANCE N0. 1766 I, BARNEY 0. BURRIS, Recorder of the City of Woodburn, do hereby certify that I caused to be posted three copies of Ordinance No. 1166, one of which said copies posted in the City Hall on the bulletin board adjacent to the entrance to the Recorder's Office, in full view of the traveling public; a second one of said copies posted on the Woodburn Public Library bulletin board at 280 Garfield Street, in full view of the traveling public; a third one of said copies pasted on the Woodburn Community Center bulletin board at 491 N. Third St., in full view of the traveling public; that all of said places are public places within the corporate limits of the City of Woodburn and all of said copies were posted an the 25th day of Septer~~ber 1981. ., rney B rri s , ecorder City of Woodburn, Oregon