HomeMy WebLinkAboutOrdinance 309 - Cable Communications - Charter ORDINANCE 309 CABLE COMMUNICATIONS – CHARTER COMMUNICATIONS. 309-2 Section 309.01: DEFINITIONS .................................................................................. 309-2 Section 309.02: GRANTING OF FRANCHISE ......................................................... 309-3 Section 309.03: TERM ............................................................................................... 309-3 Section 309.04: USE OF THE STREETS AND DEDICATED EASEMENTS ........... 309-3 Section 309.05: MAINTENANCE OF THE SYSTEM ............................................... 309-6 Section 309.06: SERVICE .......................................................................................... 309-7 Section 309.07: NEW DEVELOPMENT UNDERGROUND ..................................... 309-7 Section 309.08: INSURANCE/INDEMNITY ............................................................. 309-8 Section 309.09: INDEMNIFICATION ....................................................................... 309-8 Section 309.10: EQUAL PROTECTION .................................................................... 309-9 Section 309.11: REVOCATION ................................................................................. 309-9 Section 309.12: SALE OR TRANSFER OF THE FRANCHISE; SALE OR TRANSFER OF STOCK ................................................................................................................. 309-9 Section 309.13: INSPECTION OF RECORDS ..........................................................309-10 Section 309.14: RATES, RATE CHANGE PROCEDURE AND RESIDENTIAL SUBSCRIBER CONTRACTS ...................................................................................309-10 Section 309.15: NOTICES, MISCELLANEOUS.......................................................309-11 Section 309.16: FORCE MAJEURE ..........................................................................309-12 Section 309.17: CUSTOMER SERVICE STANDARDS ...........................................309-12 Section 309.18: UNLAWFUL DENIAL ....................................................................309-12 Section 309.19: ABANDONMENT ...........................................................................309-12 Section 309.20: REMOVAL OF CABLE EQUPMENT UPON TERMINATION OR FORFEITURE ...........................................................................................................309-13 Section 309.21: PEG ACCESS CHANNELS ............................................................309-13 Section 309.22: OBSCENITY ...................................................................................309-13 Section 309.23: CABLE SERVICE TO PUBLIC BUILDINGS .................................309-14 Section 309.24: ADDITIONAL FRANCHISE REQUIREMENTS ............................309-14 Section 309.25: ANNEXED AREAS.........................................................................309-14 Section 309.26: ENFORCEMENT ............................................................................309-14 Section 309.27: FRANCHISE FEE............................................................................309-15 Section 309.28: EFFECTIVE DATE .........................................................................309-15 Section 309.29: ACCEPTANCE AND ENTIRE AGREEMENT ...............................309-15 1 ORDINANCE 309 CABLE COMMUNICATIONS – CHARTER COMMUNICATIONS An ordinance granting a franchise to Charter Communications to construct install, operate, repair, maintain, remove and relocate facilities and equipment used for the transmission of cable communications services in the public ground of the City of St. Joseph. This Ordinance acknowledges the franchise agreement (“Franchise”) is between the City of Saint Joseph, Minnesota, hereinafter referred to as the “Grantor” and CC VIII Operating, LLC, locally known as CHARTER COMMUNICATIONS, hereinafter referred to as the “Grantee”. The Grantor hereby acknowledges that the Grantee has substantially complied with the material terms of the current Franchise under applicable law, and that the financial, legal, and technical ability of the Grantee is reasonably sufficient to provide services, facilities, and equipment necessary to meet the future cable-related needs of the community, and having afforded the public adequate notice and opportunity for comment, desires to enter into this Franchise with the Grantee for the construction and operation of a cable system on the terms set forth herein. Section 309.01: DEFINITIONS. The terms defined in this Section and in the Regulatory Ordinance have the meanings given them: Subd. 1: “Cable Act” means the Cable Communications Policy Act of 1984, P.L. 98- 549, 47 U.S.C. §521 Supp., as it may be amended or superseded. Subd. 2: “Cable System,” “Cable Service,” and “Basic Cable Service” shall be defined as set forth in the Cable Act. Subd. 3: “Franchise” means the authorization granted hereunder of a franchise, privilege, permit, license or otherwise to construct, operate and maintain a Cable System within the Service Area. Subd. 4: “Gross Revenues” means all revenues, as determined in accordance with generally accepted accounting principles, actually received by Grantee from Subscribers residing within the Service Area for Cable Services purchased by such Subscribers on a regular, recurring monthly basis, whether from basic television service, tier service, pay cable, service charges, and any other fees from video services and installation charges and equipment rental charges. Gross Revenues shall not include (1) any taxes, fees or assessments collected by the Grantee from Subscribers for pass-through to a government agency, including, without limitation, the FCC user fee, franchise fee, or sales or utility taxes; (2) bad debt; (3) credits, refunds and deposits paid to Subscribers; and (4) any exclusion available under applicable state law. 2 Subd. 5: “Service Area” shall mean the geographic boundaries of the Grantor and shall include any additions thereto by annexation or other legal means, subject to the exception in subsection 6. Subd. 6: “Streets” means the public streets, avenues, highways, boulevards, concourses, driveways, bridges, tunnels, parks, parkways, waterways, alleys, all other rights-of-way and easements, and the public grounds, places or water within the geographic boundaries of Grantor. Subd. 7: “Subscriber” means any person lawfully receiving any Cable Services from the Grantee. Section 309.02: GRANT OF FRANCHISE. The Grantor hereby grants to Grantee a non-exclusive Franchise for the use of the Streets and dedicated easements within the Service Area for the construction, operation and maintenance of the Cable System, upon the terms and conditions set forth herein. Nothing in this Franchise shall be construed to prohibit the Grantee from offering any service over its Cable System that is not prohibited by federal or state law. Section 309.03: TERM. The franchise shall be in effect until September 30, 2030, unless earlier terminated as provided herein. Section 309.04: USE OF STREETS AND DEDICATED EASEMENTS. Subd. 1: Right to Use: Grantee shall have the right to use the Streets of the Grantor for the construction, operation and maintenance of the Cable System, including the right to repair, replace and enlarge and extend the Cable System. Subd. 2: Location: The facilities of the Grantee shall be installed underground in those Service Areas where existing telephone and electric services are both underground at the time of system construction. In areas where either telephone or electric utility facilities are installed aerially at the time of system construction, the Grantee may install its facilities aerially with the understanding that at such time as the existing aerial facilities are required to be placed underground by the Grantor, the Grantee shall likewise place its facilities underground. Facilities must be located, constructed, installed, maintained or relocated so as not to endanger or unnecessarily interfere with the usual and customary traffic, travel, and use of public ground. The facilities are subject to additional conditions of the Right of Way permit as established by the Grantor including but not limited to compliance with all applicable regulations imposed by the Minnesota Public Utilities Commission and other state and federal law, including prompt compliance with the requirements of the Gopher State One Call program, Minnesota Statutes Chapter 216D Subd. 3: Tree Trimming: Grantee shall have the right to remove, trim, cut and keep clear of the Cable System, the trees in and along the Streets of the Grantor. Subd. 4: Damage. Grantee in the exercise of any right granted to it by the Franchise shall, at no cost to the Grantor, promptly repair or replace any facility or service of the Grantor which 3 Grantee damages, including but not limited to any Street or sewer, electric facility, water main, fire alarm, police communication or traffic control. Subd. 5: Relocation. In the event it becomes necessary for the Grantor to relocate or remove the Grantee’s wires, conduits, cables and other property located in any street, right-of-way or public place to facilitate the undertaking of a public improvement which affects the cable equipment, Grantee shall be responsible for any cost associated with these obligations to the same extent all other users of the Grantor right-of-way are responsible for the costs related to the relocation of their facilities. Subd. 6: Undergrounding. In those areas of the Grantor where Grantee’s existing cables are located on the above-ground transmission or distribution facilities of the public utility providing telephone or electric power service, and in the event that the facilities of both such public utilities are subsequently placed underground, then the Grantee likewise shall relocate its facilities underground. Such relocation shall be at Grantee’s cost, provided that Grantee shall be entitled to reimbursement for such costs to the same extent as other affected users of the rights of way, consistent with applicable law. Certain of Grantee’s equipment, such as pedestals, amplifiers, and power supplies, which normally are placed above ground, may continue to remain above-ground closures. Subd. 7: Permits. The Grantee shall obtain a right of way permit from the proper municipal authority before commencing construction of any communications system, including the opening or disturbance of any street, sidewalk, driveway or public place. The facilities are subject to additional conditions of the Right of Way permit as well as compliance with all applicable regulations imposed by the Minnesota Public Utilities Commission and other state and federal law, including prompt compliance with the requirements of the Gopher State One Call program, Minnesota Statutes Chapter 216D. If the Grantee fails to meet the conditions of the permit, the Franchisor, after reasonable notice to the Grantee, and providing Grantee the opportunity to remedy said complaint, can cause said problem to be remedied and bill the Grantee for the costs incurred in so remedying. Subd. 8: Restoration. Upon completion of the work, the Grantee must restore the general area of the work, including paving and its foundations, to a condition reasonably comparable to the condition of the streets immediately prior to such damage or disturbance. The work must be completed as promptly as weather permits. If the Grantee does not promptly perform and complete the work, remove all dirt, rubbish, equipment and material, and restore the public ground to the condition required, upon thirty (30) days notice to cure by Grantor, the Grantor may restore the public ground at the expense of the Grantee. Should the Grantee fail, after receiving 30 days’ written notice, to repair or restore as required by this section, Grantor may cause such work to be done and the reasonable costs thereof shall be paid by Grantee, upon receipt of an invoice and documentation. Subd. 9: Grantee Initiated Relocation. The Grantee shall give the Grantor written notice prior to Grantee initiated relocation of facilities. A Grantee-initiated relocation shall be at the Grantee’s expense and must be approved by the Grantor, such approval not to be unreasonably withheld. 4 Subd. 10: Grantor Required Relocation. The Grantee must promptly, with due regard for seasonal working conditions, permanently relocate its facilities whenever the Grantor requires such relocation. Grantee shall be responsible for any cost associated with these obligations to the same extent all other users of the Grantor right-of-way are responsible for the costs related to the relocation of their facilities. Subd. 11: Relocation Where Public Ground Vacated. The vacation of public ground does not deprive the Grantee of the right to operate and maintain its facilities in the Grantor. If the vacation proceedings are initiated by the Grantee or by the Grantor, the Grantee must pay the relocation costs. If the vacation proceedings are initiated by the Grantor or other persons, the Grantee must pay the relocation costs unless otherwise agreed to by the Grantor, Grantee and other persons. Grantee shall be responsible for any cost associated with these obligations to the same extent all other users of the Grantor right-of-way are responsible for the costs related to the relocation of their facilities. Subd. 12: Inspection of Work. When the work is completed, the Grantee must request an inspection by the Director of Public Works. The Director will determine if the work has been satisfactorily completed and provide the Grantee with a written report of the inspection and approval. Subd. 13: Notice. If the Grantee is in default in the performance of the work authorized by the permit, including but not limited to restoration requirements, for more than thirty (30) days after receiving written notice from the Grantor of the default, the Grantor may terminate the rights of the Grantee under the permit. The notice of default must be in writing and specify the provisions of the permit under which the default is claimed and state the grounds of the claim. The notice must be served on the Grantee by personally delivering it to an officer thereof at its principal place of business in Minnesota or by certified mail to that address. Subd. 14: Grantor Action on Default. If the Grantee is in default in the performance of the work authorized by the permit, the Grantor may, after the above notice to the Grantee and failure of the Grantee to cure the default, take such action as may be reasonably necessary to abate the condition caused by the default. The Grantee must reimburse the Grantor for the Grantor’s reasonable costs, including costs of collection and attorney fees incurred as a result of the Grantee default. The security posted by the Grantee will be applied by the Grantor first toward payment for such reimbursement. Subd. 15: Location. The facilities must be placed in a location agreed to by the Grantor. The Grantee shall give the Grantor thirty (30) days advance written notice of the Grantee’s proposed location of facilities within the public ground other than public rights of way. No later than thirty (30) days after the Grantor’s receipt of the Grantee’s written notice, the Grantor will notify the Grantee in writing of the Grantor’s acceptance or rejection of the proposed location. If the Grantor rejects the Grantee’s proposed location, the Grantor shall propose alternative locations. The Grantor does not waive or forfeit its right to reject the location of facilities by failure to respond within the thirty (30) days. Subd. 16: Emergency Work. The Grantee may open and disturb the surface of public ground without a permit where an emergency exists requiring the immediate repair of its 5 facilities. In such event, the Grantee must request a permit not later than the second working day thereafter and comply with the applicable conditions of the permit. In no event may the Grantee undertake such an activity which will result in the closing of a street or alley without prior notification to the Grantor. Subd. 17: Street Improvements - Paving and Resurfacing. By May 15 of each year, to the extent practicable, the Grantor will give the Grantee written notice of plans for street improvements where permanent paving or resurfacing is involved. The notice must contain (i) the nature and character of the improvements; (ii) the streets upon which the improvements are to be made; (iii) the extent of the improvements, the time when the Grantor will start the work; and, (iv) if more than one street is involved, the sequence in which the work is to proceed. Subd. 18: Grantee Protection of Facilities. The Grantee must take reasonable measures to prevent the facilities from causing damage to persons or property. The Grantee must take reasonable measures to protect its facilities from damage that could be inflicted on the facilities by persons, property, or the elements. The Grantee must take specific protective measures when the Grantor performs work near the facilities. Subd. 19: Prior Service Connections. In cases where the Grantor is undertaking the paving or resurfacing of streets and the facilities are to be located under such street, upon reasonable notice, the Grantee will have the option to install service connections prior to the paving or resurfacing, if it is apparent that service will be required during the five (5) year period following the paving or resurfacing. If Grantee elects not to install its service connections, Grantee agrees that its future installation will by directional boring or by other means that do not involve open cutting or trenching of the street improvements. Subd. 20: Public Ground Other Than Right-Of-Way. Nothing in this ordinance is intended to grant to the Grantee authority beyond that given by Minnesota Statutes §222.37 for use of the public right-of-way for construction and operation of facilities. If the Grantor allows the Grantee to use its non-right-of-way public ground, the terms of this ordinance apply to the extent they are consistent with the contract, statutory and common law rights the Grantor owns in such property. Subd. 21: Regulations; Permit Schedules. The Director of Public Works is authorized and directed to prepare suitable regulations and schedules for the administration of right of way permits issued under this Ordinance. Section 309.05: MAINTENANCE OF THE SYSTEM. Subd. 1: Grantee shall at all times employ ordinary care in the maintenance and operation of the Cable System so as not to endanger the life, health or property of any citizen of the Grantor or the property of the Grantor Subd. 2: All construction practices and installation of equipment shall be done in accordance with all applicable sections of the National Electric Safety Code. Subd. 3: The Cable System shall be designed, constructed and operated so as to meet those technical standards adopted by the FCC relating to Cable Systems contained in part 76 of 6 the FCC’s rules and regulations as they may, from time to time, be amended, regardless of the transmission technology utilized. Subd. 4: Installations shall be maintained so as not to interfere with television reception already in existence within the City. Section 309.06: SERVICE. Subd. 1: The Grantee shall continue to make Cable Service available to all residences within the Service Area where Grantee currently makes Cable Service available. Grantee shall have the right, but not the obligation, to extend the Cable System into any other portion of the Service Area, including annexed areas. Grantor shall have the right to require reasonable extensions of the Grantee’s transmission and distribution system from time to time. Grantor may not require an extension into areas where there are less than twenty-five (25) residential units per mile measured from existing trunk or distribution cables. Subd. 2: Cable Service offered to Subscribers pursuant to this Franchise shall be conditioned upon Grantee having legal access to any such Subscriber’s dwelling unit or other units wherein such Cable Service is provided. Subd. 3: The Grantor shall promptly provide written notice to the Grantee of its annexation of any territory which is being provided Cable Service by the Grantee or its affiliates. Such annexed area will be subject to the provisions of this Franchise upon sixty (60) days’ written notice from the Grantor, subject to the conditions set forth below and subsection (a) above. The Grantor shall also notify Grantee in writing of all new street address assignments or changes within the Service Area. Grantee shall within ninety (90) days after receipt of the annexation notice, pay the Grantor franchise fees on revenue received from the operation of the Cable System to provide Cable Services in any area annexed by the Grantor if the Grantor has provided a written annexation notice that includes the addresses that will be moved into the Service Area in an Excel format or in a format that will allow Grantee to change its billing system. If the annexation notice does not include the addresses that will be moved into the Service Area, Grantee shall pay franchise fees within ninety (90) days after it receives the annexed addresses as set forth above. All notices due under this section shall be sent by certified mail, return receipt requested to the addresses set forth in Section 11 with a copy to the Director of Government Relations. In any audit of franchise fees due under this Agreement, Grantee shall not be liable for franchise fees on annexed areas unless and until Grantee has received notification and information that meets the standards set forth in this section. Section 309.07: NEW DEVELOPMENT UNDERGROUND. In cases of new construction or property development where utilities are to be placed underground, the Grantor agrees to require as a condition of issuing a permit for open trenching to any developer or property owner that such developer or property owner give Grantee at least thirty (30) days prior written notice of such construction or development, and of the particular dates on which open trenching will be available for Grantee’s installation of conduit, pedestals and/or vaults, and laterals to be provided at Grantee’s expense. Grantee shall also provide specifications as needed for trenching. Costs of trenching and easements required to bring service to the development shall be borne by the developer or property owner; except that if Grantee fails to install its 7 conduit, pedestals and/or vaults, and laterals within five (5) working days of the date the trenches are available, as designated in the written notice given by the developer or property owner, then should the trenches be closed after the five day period, the cost of new trenching is to be borne by Grantee. Section 309.08: INSURANCE/INDEMNITY. Subd. 1: The Grantee shall maintain throughout the term of the Franchise insurance in amounts at least as follows: Workers’ Compensation Statutory Limits Commercial General Liability \[$2,000,000\] per occurrence, Combined Single Liability (C.S.L.) \[$2,000,000\] General Aggregate Auto Liability including coverage on \[$2,000,000\] per Accident C.S.L. all owned, non owned hired autos Umbrella Liability Umbrella Liability \[$2,000,000\] per occurrence C.S.L. Subd. 2: The Grantor shall be added as an additional insured, arising out of work performed by Charter, to the above Commercial General Liability, Auto Liability and Umbrella Liability insurance coverage. Subd. 3: The Grantee shall furnish the Grantor with current certificates of insurance evidencing such coverage upon request. Section 309.09: INDEMNIFICATION. The Grantee shall, by acceptance of the Franchise granted herein, defend the Grantor, its officers, boards, commissions, agents, and employees for all claims for injury to any Person or property caused by the negligence of Grantee in the construction or operation of the Cable System and in the event of a determination of liability shall indemnify and hold Grantor , its officers, boards, commissions, agents, and employees harmless from any and all liabilities, claims, demands, or judgments growing out of any injury to any Person or property as a result of the negligence of Grantee arising out of the construction, repair, extension, maintenance, operation or removal of its wires, poles or other equipment of any kind or character used in connection with the operation of the Cable System, provided that the Grantor shall give the Grantee written notice of its obligation to indemnify the Grantor within ten (10) days of receipt of a claim or action pursuant to this section. In the event any such claim arises, the Grantor shall tender the defense thereof to the Grantee and the Grantee shall have the right to defend, settle or compromise any claims arising hereunder and the Grantor shall cooperate fully herein. If the Grantor determined in good faith that its interests cannot be represented by the Grantee, the Grantee shall be excused from any obligation to represent the Grantor. Notwithstanding the foregoing, the Grantee shall not be obligated to indemnify the 8 Grantor for any damages, liability or claims resulting from the willful misconduct or negligence of the Grantor or for the Grantor’s use of the Cable System, including any PEG channels. Section 309.10: EQUAL PROTECTION. In the event the Grantor grants an additional Franchise that a Grantee believes is more favorable or less burdensome than in this Franchise, the Grantee shall have a right to petition for Franchise amendments to relieve the Grantee of provisions making its Franchise less favorable or more burdensome. The Grantee shall file a petition that: 1. Identifies the competitor(s); 2. Identifies the basis for Grantee’s belief that certain provisions of the additional Franchise are more favorable or less burdensome than its existing Franchise; 3. Identifies the Franchise provisions to be amended. The City shall not unreasonably deny such a petition. Section 309.11: REVOCATION. Subd. 1: Prior to revocation or termination of the Franchise, the Grantor shall give written notice to the Grantee of its intent to revoke the Franchise on the basis of a pattern of noncompliance by the Grantee, including one or more instances of substantial noncompliance with a material provision of the Franchise. The notice shall set forth the exact nature of the noncompliance. The Grantee shall have sixty (60) days from such notice to either object in writing and to state its reasons for such objection and provide any explanation or to cure the alleged noncompliance. If Grantee has not cured the breach within such sixty (60) day time period or if the Grantor has not otherwise received a satisfactory response from Grantee, the Grantor may then seek to revoke the Franchise at a public hearing. The Grantee shall be given at least thirty (30) days prior written notice of such public hearing, specifying the time and place of such hearing and stating its intent to revoke the Franchise. Subd. 2: At the hearing, the Grantor shall give the Grantee an opportunity to state its position on the matter, present evidence and question witnesses, after which it shall determine whether or not the Franchise shall be revoked. The public hearing shall be on the record and a written transcript and a certified copy of the findings shall be made available to the Grantee within ten (10) business days. The Grantee may appeal such determination to an appropriate court, which shall have the power to review the decision of the Grantor de novo. The Grantee may continue to operate the Cable System until all legal appeals procedures have been exhausted. Notwithstanding the above provisions, the Grantee does not waive any of its rights under federal law or regulation. Upon revocation of the Franchise, Grantee may remove the Cable System from the Streets of the Grantor, or abandon the Cable System in place. Section 309.12: SALE OR TRANSFER OF THE FRANCHISE; SALE OR TRANSJER OF STOCK. 9 Subd. 1: The Franchise granted hereunder shall not be assigned, other than by operation of law or to an entity controlling, controlled by, or under common control with the Grantee, without the prior consent of the Grantor, such consent not to be unreasonably withheld or delayed. No such consent shall be required, however, for a transfer in trust, by mortgage, by other hypothecation, or by assignment of any rights, title, or interest of the Grantee in the Franchise or Cable System to secure indebtedness. Within thirty (30) days of receiving a request for transfer, the Grantor shall notify the Grantee in writing of any additional information it reasonably requires to determine the legal, financial and technical qualifications of the transferee. If the Grantor has not taken action on the Grantee’s request for transfer within one hundred twenty (120) days after receiving such request, consent by the Grantor shall be deemed given. Grantor’s approval may only be conditioned if not in conflict with applicable law. Subd. 2: No transfer or lease of the rights granted herein shall be effective until the successor or lessee shall have filed in the office of the City Administrator/Clerk an instrument, duly executed, reciting the fact of such sale or lease, accepting the terms contained herein, and agreeing to perform all conditions required of the franchise. At that time, the successor or lessee shall also file with the City Administrator/Clerk a duly executed bond, fully complying with any bonding requirements of this Franchise. Section 309.13: INSPECTION OF RECORDS. At the sole determination of Grantee, Grantee shall permit any duly authorized representative of the Grantor, upon receipt of advance written notice, to examine during normal business hours at a location in the state of Minnesota or by access via secure electronic file sharing software or service and on a non-disruptive basis any and all of Grantee’s records maintained by Grantee as is reasonably necessary to ensure Grantee’s compliance with the Franchise. Such notice shall specifically reference the subsection of the Franchise that is under review so that the Grantee may organize the necessary books and records for easy access by the Grantor. The Grantee shall not be required to maintain any books and records for Franchise compliance purposes longer than three (3) years, except for service complaints, which shall be kept for one (1) year as specified above. The Grantee shall not be required to provide Subscriber information in violation of Section 631 of the Cable Act. The Grantor agrees to treat as confidential any books, records or maps that constitute proprietary or confidential information to the extent Grantee makes the Grantor aware of such confidentiality. If the Grantor believes it must release any such confidential books or records in the course of enforcing this Franchise, or for any other reason, it shall advise Grantee in advance so that Grantee may take appropriate steps to protect its interests. Until otherwise ordered by a court or agency of competent jurisdiction, the Grantor agrees that, to the extent permitted by State and federal law, it shall deny access to any of Grantee’s books and records marked confidential, as set forth above, to any Person. Section 309.14: RATES, RATE CHANGE PROCEDURE AND RESIDENTIAL SUBSCRIBER CONTRACTS. Subd. 1: Rates. Prior to offering services to any member of the general public, the Grantee shall prepare a clear and concise list of all current subscription rates and charges, including all installation and disconnect charges, charges for optional services and charges or deposits for the use of equipment offered to subscribers for use with the service. Upon request, a verified copy of Grantee’s list of rates and charges shall be filed with the St. Joseph City 10 Administrator/Clerk and shall be available for public inspection at the office of the City Administrator/Clerk. An amended list of rates and charges shall be prepared and filed with the City Administrator/Clerk at any time there is any change or adjustment in the subscription rates and charges. Subd. 2: Residential Subscriber Contract. Upon request, The Grantee shall file with the City Administrator/Clerk a copy of the then current residential subscriber contract, if a written contract exists. The subscriber contract, and/or the summary of the terms of the non-written contract on file with the City Administrator/Clerk shall be open to inspection by the public and shall govern the contractual relationship between the Grantee and all subscribers receiving service under the authority of this ordinance, except service provided to institutions, business premises or multiple housing locations, which service may be governed by separate written contract. Subd. 3: Rate Regulations. The Grantor reserves the right to seek certification by the FCC to engage in the regulation of rates, and implement reasonable regulations during the term of the franchise as permitted by federal law and/or the FCC. The Grantor also reserves the right when allowed by federal law, to regulate rates for the installation and rental of equipment for the hearing impaired. Section 309.15: NOTICES, MISCELLANEOUS. Subd: 1: Unless otherwise provided by federal, state or local law, all notices, reports or demands pursuant to this Franchise shall be in writing and shall be deemed to be sufficiently given upon delivery to a Person at the address set forth below, or by U.S. certified mail, return receipt requested, nationally or internationally recognized courier service such as Federal Express or electronic mail communication to the designated electronic mail address provided below. Grantee shall provide thirty (30) days written notice of any changes in rates, programming services or channel positions using any reasonable written means. As set forth above, notice served upon the Grantor shall be delivered or sent to: Grantor: City of Saint Joseph Attn.: City Administrator 75 Callaway St E Saint Joseph, MN 56374 E-mail: jweyrens@cityofstjoseph.com Grantee: Charter Communications Attn: Senior Manager, Government Affairs 16900 Cedar Ave S Rosemount, MN 55068 Email: Amanda.Duerr@charter.com Copy to: Charter Communications 11 Attn.: Vice President of Government Affairs 12405 Powerscourt Drive St. Louis, MO 63131 Subd. 2: All provisions of this Franchise shall apply to the respective parties, their lawful successors, transferees and assigns. Subd. 3: If any particular section of this Franchise shall be held invalid, the remaining provisions and their application shall not be affected thereby. Subd. 4: In the event of any conflict between this Franchise and any Grantor ordinance or regulation, this Franchise will prevail. Subd. 5: The City Administrator/Clerk shall be responsible for day to day municipal administration of a franchise. The City Council may by resolution, create a Cable Commission and appoint members to this Commission. The Cable Commission shall have such duties and delegations as established by the Grantor Council, and shall serve the Grantor Council in an advisory capacity. Members of the Cable Commission shall receive compensation as set by the Council and shall serve at the will of the Council. Establishment of and delegation of duties to the Cable Commission shall be by resolution of the City Council. The City Council shall retain ultimate authority for the administration of a franchise. Section 309.16: FORCE MAJEURE. The Grantee shall not be held in default under, or in noncompliance with the provisions of the Franchise, nor suffer any enforcement or penalty relating to noncompliance or default, where such noncompliance or alleged defaults occurred or were caused by circumstances reasonably beyond the ability of the Grantee to anticipate and control. This provision includes, but is not limited to, severe or unusual weather conditions, fire, flood, or other acts of God, strikes, work delays caused by failure of utility providers to service, maintain or monitor their utility poles to which Grantee’s Cable System is attached, as well as unavailability of materials and/or qualified labor to perform the work necessary. Section 309.17: CUSTOMER SERVICE STANDARD. All franchises shall conduct their business in accordance with the customer service standards established by the FCC and 47 C.F.R. § 76.309. Section 309.18: UNLAWFUL DENIAL. Subd. 1: The Grantee shall not deny access to cable service because of the income of a resident. Subd. 2: The Grantee shall not deny access to cable service to a geographical area of the Grantor because of income demographics. Section 309.19: ABANDONMENT. The Grantee may not abandon any portion of the cable communications service provided under a franchise without three (3) months prior written 12 notice to the Grantor. Grantee must compensate the Grantor for reasonable damages resulting to it from such abandonment. Further, upon abandonment of any Franchise property, ownership of said abandoned property transfers to the Grantor. Section 309.20: REMOVAL OF CABLE EQUIPMENT UPON TERMINATION OR FORFEITURE. Upon termination or forfeiture of a franchise, the Grantee shall remove, if the franchising authority so requests, all of its aerial plants, structures, works, pipes, mains, conduits, cables, poles and wires and refill at its own expense any excavation that shall be made by it and shall leave said streets, alleys, public ways and places, in as good condition as that prevailing prior to the Grantee’s removal of equipment and appliances. In the event the Grantee fails to do so, the Grantee shall pay to the Franchisor the cost of such removal. Grantee shall not be required to remove its Cable System, or to relocate the Cable System, or to sell the Cable System, or any portion thereof as a result of revocation, denial or renewal, or any other lawful action to forbid or disallow Charter from providing Cable Services, if the Cable System is actively being used to facilitate any other services not governed by the cable act. Section 309.21: PEG ACCESS CHANNELS. Subd. 1: The Grantee shall provide to each of its subscribers who receive some or all of the services offered on the system, reception on at least one (1) specially designated PEG access channel. The specially designated PEG access channel may be used by local educational authorities and local government on a first come, first served nondiscriminatory basis. Subd. 2: The Grantor reserves the right to establish rules for the administration of the specially designated access channel and establish reasonable rates for the use and administration of the access channel. Subject to applicable law, Grantee shall collect, on behalf of Grantor a PEG access fee of sixty cents ($.60) per subscriber per month upon sixty (60) days prior written notice by Grantor to all franchised video service providers operating in Grantor. Anytime after the Effective Date of this Franchise, the Grantor may require, by Resolution, an increase in the PEG access fee up to one dollar ($1.00) per month, per Subscriber if needed for lawful PEG purposes. The City shall hold a public hearing prior to increasing the PEG access fee and shall outline its plans for increasing and/or improving PEG programming which necessitate the PEG access fee increase. Grantee shall have an opportunity to address the Council regarding any proposed increase. Amounts paid by Grantee in support of PEG access shall be separate from and in addition to the Franchise Fee. Any such changes shall be implemented within 60 days of written notice to all franchised video service providers, which must not exceed one dollar ($1.00) per Subscriber per month. Section 309.22: OBSCENITY. Subd. 1: For purposes of this section, obscenity shall mean a program when to the average person applying contemporary community Standards, the program taken as a whole appeals to the prurient interest; the program depicts or describes, in a patently offensive way, sexual conduct, that is, patently offensive representations or descriptions of ultimate sexual acts, normal or perverted, actual or simulated or patently offensive representations or descriptions of masturbation, excretory functions or lewd exhibition of genitals; and the program taken as a whole lacks serious literary, artistic, political or scientific value. 13 Subd. 2: Pursuant to Minnesota Statutes 617.241, it shall be a gross misdemeanor to originate or produce any obscene program which is transmitted over the cable communications system. However, neither the cable communications system whose facilities are used to transmit a program produced by a person other than the cable communications Grantee, nor the officers, directors, or employees of the cable communications Grantee, shall be liable for any penalty or damages arising from any obscene program presented thereon when the cable communications system or its employees does not originate or produce a program. Any entity which schedules the programming of the access channels of a cable communications system shall not be liable for the presentation of any obscene program thereon unless the entity itself originates or produces the program. Section 309.23: CABLE SERVICE TO PUBLIC BUILDINGS. Subject to applicable law, Grantee agrees to provide one free expanded basic service connection and set top box if required to the following locations listed below. Relocations of these locations will be permitted, provided new location is within 125 feet of Grantee’s feeder cable. st  St. Joseph Community Center – 124 1 Avenue SE st  St. Joseph Historical Society – 25 1 Avenue NW th  St. Joseph Community Fire Hall – 323 4 Avenue NE  St. Joseph Public Works – 1855 Elm Street E  St. Joseph Government Center – 75 Callaway Street E Section 309.24: ADDITIONAL FRANCHISE REQUIREMENTS. The Grantee shall also be subject to the following terms and conditions: Subd. 1: The Grantee shall provide for citizen participation in selecting programming, and consider citizen preference. Subd. 2: The Grantee shall provide customers with reasonable notice of rate changes if such notice is required by applicable law. “Reasonable notice” shall be a minimum of thirty (30) days or in compliance with applicable law whichever period is longer, and may be provided by any reasonable means. Subd. 3: The Grantee shall offer customers a device to allow channels to be blocked-out. Section 309.25: ANNEXED AREAS. The Grantor shall give advance Notice to the Grantee of any plans by the Grantor to annex new property into the Grantor boundaries. Section 309.26: ENFORCEMENT. The Grantor reserves the right to enforce any violation of this Ordinance by seeking declaratory or injunctive relief in Stearns County District Court. In the event the Grantor is the prevailing party in any such action, the Grantor shall be entitled to judgment for reasonable attorney’s fees incurred in pursuing the action. 14 Section 309.27: FRANCHISE FEE. Subd. 1: Grantee shall pay to the Grantor quarterly an amount equal to three percent (3%) of the Gross Revenues for such calendar quarter. Subd. 2: Each year during which the Franchise is in force, Grantee shall pay Grantor no later than thirty (30) days after the end of each calendar quarter the franchise fees required by this section, together with a financial statement showing total Gross Revenues derived from the Cable System during such quarter. The Grantor shall have the right to review the previous year’s books of the Grantee to the extent necessary to ensure proper payment of the fees payable hereunder. Section 309.28: EFFECTIVE DATE. The Franchise granted herein will take effect and be in full force from such date of acceptance by Grantee recorded on the signature page of this Franchise. This Franchise shall expire on September 30, 2030, unless extended in accordance with Section 309.03 of this Franchise or by the mutual agreement of the parties. Section 309.29: ACCEPTANCE AND ENTIRE AGREEMENT. The Grantor and the Grantee, by virtue of the signatures set forth below, agree to be legally bound by all provisions and conditions set forth in this Franchise. The Franchise constitutes the entire agreement between the Grantor and the Grantee. No modifications to this Franchise may be made without an appropriate written amendment signed by both parties. If any fee or grant that is passed through to Subscribers is required by this Franchise, other than the franchise fee, such fee or grant shall go into effect sixty (60) days after the Effective Date of this Franchise. 15