3426 ORDINANCE NO.-
AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF
SANFORD, SEMINOLE COUNTY, FLORIDA; ESTABLISYIING A
FRANCHISE ORDINANCE FOR CABLE COMMUNICATIONS SYSTEMS;
PROVIDING PROVISIONS FOR INTENT AND PURPOSE, DEFINITIONS,
CONFLICTING PROVISIONS, USE OF STREETS, GRANT OF
AUTHORITY, FRANCHISE REQUIREMENTS, FRANCHISE
CHARACTERISTICS, FRANCHISE SUBJECT TO OTHER LAWS,
INTERPRETATION OF FRANCHISE TERMS, GRANT OF FRANCHISE,
COMPLAINTS, RATES, INDEMNIFICATION, FRANCHISE AREA,
FRANCHISE FEE, MAPS, REPORTS AND RECORDS, DISCRIMINATION
PROHIBITED, WAIVER, TAXES, TRANSFERS, APPLICATION FOR
GRANT, REMOVAL, MODIFICATION, OR TRANSFER OF FRANCHISE,
MINIMUM FACILITIES AND SERVICES, ACCESS CHANNELS AND
FACILITIES, MINIMUM CUSTOMER SERVICE STANDARDS,
CUSTOMER COMPLAINTS, RENEWAL OF FRANCHISE, CITY RIGHTS,
FRANCHISE RULES, PERFORMANCE BOND, SECURITY FUNDS,
SUBSCRIBER PRIVACY, TECHNICAL STANDARDS, ENFORCEMENT
REMEDIES, REVOCATION OF FRANCHISE, PENALTIES, PROCEDURES,
CONTINUITY OF SERVICE MANDATORY, PERFORMANCE
EVALUATION, ADMINISTRATION, PERSONAL LIABILITY,
APPLICABILITY, TIMELINESS BY GRANTEE; AND PROVIDING FOR
CONFLICTS, SEVERABILITY, AND AN EFFECTIVE DATE.
SECTION 1: INTENT AND PURPOSES
The purposes of this ordinance are to:
a. Protect the public health, safety and welfare;
b. Provide for the granting of one or more franchises to permit the use of City streets and
other public ways for cable communication systems;
c. Provide for the regulation by the City of the erection, construction, reconstruction~
installation~ operation, maintenance, dismantling, tesfmg, repair and use of cable communication
systems ~ upon~ along~ across, above, over and under or in any manner connected with the streets
or other public ways within the City, as it now or in the future may exist;
d. Provide for the payment of fees and other valuable considerations to the City for the
use of City streets and other public ways by cable communication systems as well as to compensate
the City for costs associated with such use;
e. Provide for the development of cable communication systems as a means to improve
communications and serve the present and future needs of the citizens, govemment and private and
public institutions, organizations and enterprises of the City and surrounding communities;
f. Provide remedies and prescribe penalties for violations of this Ordinance and any
franchise agreements executed pursuant to this Ordinance; and
g. Provide for a level playing field for all companies providing service.
SECTION 2: DEFINITIONS For the purposes of this chapter the following terms,
phrases, words and their derivation shall have the meaning given herein:
Basic service shall have the meaning provided in federal law.
Cable System or Cable Television System or System means a system of antennas, cables,
wires, lines, towers, waveguides, optical fiber, or other conductors, converters, equipment or
fac'~ities, designed and constructed for the purpose of producing, receiving, transmitting, amplifying
and distributing audio, video, and other forms of electronic, electrical or optical signals, which the
City legally can regulate and located in the City. The definition shall not include any such facility that
serves or will serve only subscribers in one (1) or more multiple unit dwellings under common
ownership, control or management, and which does not use City rights-of-way.
City means the City of Sanford, Florida.
Control and/or Controlling Interest shall mean actual working control of a system in
whatever manner exercised. A change in the control or controlling interest of an Entity which has
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control or a controlling interest in a Grantee shall constitute a change in the control or controlling
interest of the System under the same criteria. Control or controlling interest as used here'm may be
held simultaneously by more than one Person or Entity.
Converter means an electronic device which converts signals to a frequency not susceptible
to interference within the television receiver of a subscriber.
FCC means the Federal Communications Commission and any legally appointed, designated
or elected agent or successor.
Franchisee or Grantee means a person or entity to whom or which a Franchise under this
chapter is granted by the City, along with the lawful successors or assigns of such person or entity.
Gross revenues means all revenue received directly or indirectly by the Grantee, from the
provision of cable services within the City, including, but not limited to, basic subscriber service
monthly fees, pay cable fees, installation and recormection fees, leased channel fees, converter rentals,
downgrade fees, revenue from the cablecast on the system of any programming, and any value (at
retail price levels) of any non-monetary remuneration received by Grantee in consideration of the
performance of advertis'mg or any other cable service of the system; provided, however, that this shall
not include any taxes on services furnished by the Grantee herein imposed directly upon any
subscriber or user by the state, local or other governmental unit and collected by the Grantee on
behalf of the governmental unit.
Initial service area means all areas in the City.
Installation means the connection of the system from feeder cable to subscribers' terminals.
May is permissive.
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Monitoring means observing a communications signal, or the absence of a signal, where the
observer is neither the subscriber nor the programmer, whether the signal is observed by visual or
electronic means, for any purpose whatsoever; provided monitoring shall not include system wide,
non-individually addressed sweeps of the system for purposes of verifying system integrity,
controlling return paths transmissions, or billing for pay services.
NormalBusiness Hours shall mean those hours during which most similar businesses in the
community are open to serve customers, as defined by federal regulations.
Normal Operating Conditions shall mean those service conditions which are within the
control of the Grantee. Those conditions which are not within the control of the Grantee include, but
are not limited to, natural disasters, civil disturbances, power outages, telephone network outages,
and severe or unusual weather conditions. Those conditions which are ordinarily within the control
of the Grantee include, but are not limited to, special promotions, pay-per-view events, rate increases,
regular peak or seasonal demand periods, and maintenance or upgrade of a Cable System.
Service InterrupHon means the loss of picture or sound on one or more channels.
Shall is mandatory.
Street means the surface of and all rights-of-way and the space above and below any public
street, road, highway, freeway, lane, path, public way or place, sidewalk, alley, court, boulevard,
parkway, drive or easement now or hereafter held by the City for the purpose of public travel and
shall include other easements or rights-of-way as shall be now held or hereafter held by the City which
shall, within their proper use and meaning, entitle the Grantee to the use thereof for the purposes of
installing poles, wires, cable, conductors, ducts, conduits, vaults, manholes, amplifiers, appliances,
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attachments, optical fiber, and other property as may be ordinarily necessary and pertinent to a Cable
Television System.
Subscriber shall mean any person, tinn, corporation, or association lawfully receiving cable
service from Grantee.
User means a party utilizing a cable television system channel for purposes of production or
transmission of material to subscribers, as contrasted with receipt thereof in a subscriber capacity.
SECTION 3: CONFLICTING PROVISIONS
a. This ordinance is adopted pursuant to the authority of the City under the Constitutions
and Statutes of the State of Florida and the United States of America, including but not limited to the
Cable Communication Policy Act of 1984, 47 U.S.C. 521, the Cable Consumer Protection and
Competition Act of 1992, the Telecommunications Act of 1996, and Florida Statutes 166.046 and
366.03 1.
b. In the case of a conflict between a provision in this ordinance and either a provision
in a franchise agreement executed pursuant to this ordinance or a provision in a franchise proposal
that is incorporated by reference into such franchise agreement, this Ordinance shah control, unless
the franchise agreement expresses an explicit intent to waive a requirement of this ordinance.
SECTION 4: USE OF STREETS
a. Before any construction is commenced, the grantee shall obtain any required
construction permit from the City and any other permits as may be required by law, and provide forty
eight(48)hours notice prior to star~ of construction. Grantee shall pay any and all generally applicable
inspection fees associated with obtaining such permits. The City shall have the right to inspect all
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construction or installation work performed by the grantee in the City's streets. Grantee must restore
private property and public thoroughfares to their former conditions in a reasonable manner
acceptable to the City; if this is not done within a reasonable amount of time, the City or private
property owners may, after prior written notice to grantee, cause reasonable repairs to be made at
the expense of grantee.
b. The Grantee shall file with the City Manager for approval plans and specifications for
the location or relocation of all facilities located within the City rights of way, excluding drops and
maintenance of existing plant, and such approval shall not be unreasonably withheld. The facilities
shall be so located or relocated and so erected or installed so as not to obstruct or interfere with the
use of streets, alleys, easements, and other public ways and places, or other utilities or structures
already installed or hereinafter to be installed, subject at all times to the lawful police power of the
City.
Any unreasonable obstruction of any street, alley, avenue, bridge, easement or other public
place or way of the City not removed by the Grantee after written notice often (10) business days
by the City demanding removal thereof; or not properly repaired by the Grantee after its work therein,
after written notice often (10) days by City demanding repair thereof; may be removed or repaired,
as the case may be, by the City and the reasonable cost thereof plus ten (10%) per cent of such cost
for administration and engineering expenses, shall be charged against said Grantee and shall be
collectible by the City in any lawful manner, and all costs and reasonable attorney's fees incurred by
the City in such enforcement shall be paid by the Grantee to the City.
c. Grantee may trim trees on private property at the grantee's expense, with prior
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approval of the property owner. Grantee may trim trees on public rights of way at its own expense,
but only after written notification to and the approval of the City. Approval will be deemed granted
within 3 bus'mess days after written notification to the City if the City has not contacted the Grantee.
In addition, removal of trees for new construction shall first require tree removal permits to be
obtained by the grantee at its expense.
d. At the request of any person holding a valid building moving permit, the grantee must
temporarily raise, lower or cut its wires, as necessary to facilitate such move, upon not less than
seventy-two (72) hours advance notice. The direct expense of such temporary changes must be paid
by the permit holder and the grantee may require payment in advance.
e. Grantee must utilize existing poles, conduits, or other sucll facilities wherever possible,
if available on reasonable terms and conditions. All transmission lines and structures must be installed
to cause minimum interference with the rights and reasonable convenience of property owners.
Grantee must obtain permission from the City before erecting any new poles or underground conduit
at the time grantee seeks to install any new lines. Approval shall not be unreasonably withheld.
f. On streets and roads where electrical and telephone utility wiring is installed
underground, at the time of the initial cable construction, or if subsequently both go underground,
cable must also be installed underground at no expense to the City to the extent other parties with
facilities in the road are required to bear such costs. If either electric and telephone utility wiring is
aerial, grantee may install aerial cable, except where a property owner or resident requests
underground installation, and property owner or resident agrees to bear the additional cost over aerial
construction.
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g. The City shall give grantee reasonable notice of plans for street improvements when
paving or resurfac'mg of a permanent nature is involved. Any relocation required by the City because
of said improvements shall be at the expense of the grantee to the extent other parties with facilities
in the rights of way are required to bear such costs. If all or part of a street within the City is closed
or discontinued, grantee shall not be entitled to damages from the City due to the closing or
discontinuance of such street, because of removal or relocation of lines or cables by the grantee in
said streets.
h. All poles, lines, structures, and other facilities of Grantee, in, on, over and under the
streets, sidewalks, alleys, easements and other public grounds or places within City shall be kept by
Grantee at all times in a safe, sound and substantial condition.
i. The Grantee's work, while in progress, shall be properly protected at all times with
suitable ba~icades, flags, lights, flares, or other devices to protect all members of the public having
occasion to use the portion of the streets involved or adjacent property.
SECTION 5: GRANT OF AUTHORITY: FRANCHISE REOUIRED
a. The City may grant one (1) or more franchises in accordance with this ordinance.
b. No person shall commence construction of a cable system on the public fights of way,
or operate a cable system in the City, without receiving a franchise granted by the City and executing
a franchise agreement with the City.
SECTION 6: FRANCHISE CHARACTERISTICS
a. A franchise authorizes use of the public rights-of-way for installing cables, wires, lines,
optical fiber, and other facilities to operate a cable system within a specified area of the City, but does
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not expressly or implicitly authorize the grantee to provide service to, or install cables, wires, lines,
optical fiber, or any other equipment or facilities upon private property without owner consent
(except for use of compatible easements pursuant to 47 U.S.C. §541 (a)(2)or as otherwise provided
by law), or to use publicly or privately owned utility poles or conduits without a separate agreement
with the owners.
b. A franchise is nonexclusive, and will not expressly or implicitly preclude the issuance
of other franchises to operate cable systems within the City or affect the City's right to authorize use
of public rights-of-way to other persons as it determines appropriate.
c. Once a franchise agreement has been accepted and executed by the City and a grantee,
such franchise agreement shall constitute a contract between the grantee and the City, and the terms,
conditions and provisions of such franchise agreement, together with all duly enacted and applicable
laws, ordinances, codes, rules, regulations and orders, shall define the rights and obligations of the
grantee and the City relating to the franchise, except as set forth in Section 40(a).
SECTION 7: FRANCHISE SUBJECT TO OTHER LAWS
a. A grantee is subject to, and must comply with, all generally applicable local, City,
State and Federal laws, ordinances, codes, rules, regulations, and orders.
b. Except as may be specifically provided in this Ordinance or under the terms of a
franchise agreement, the failure of the City, upon one or more occasions, to exercise a right, or to
require compliance, or performance under the Ordinance or a franchise agreement shall not be
deemed to constitute a waiver of such right or waiver of compliance or performance in the future.
SECTION 8: INTERPRETATION OF FRANCHISE TERMS
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a. Subject to provisions of Section 40, the provisions of this Ordinance will apply to a
franchise agreement, and the express terms of this Ordinance will prevail over conflicting or
inconsistent provisions in a franchise agreement, unless such franchise agreement expresses an explicit
intent to waive a requirement of the Ordinance.
b. The provisions of a franchise agreement will be liberally construed to effectuate its
purposes and objectives consistent with this Ordinance and the public interest. Except where federal
law or regulation is controlling, a franchise agreement will be governed by and construed in
accordance with the laws of the State of Florida.
SECTION 9: GRANT OF FRANCHISES
a The City may grant a franchise for a period not to exceed fifteen (15) years.
b. The City may make the grant of a franchise conditioned upon the completion of
construction within a prescribed time or upon the performance of other specific obligations, which
are to be set forth in the franchise agreement, specifying that failure to timely comply with the
condition will cause the franchise to be subject to revocation or other penalties consistent with the
provisions of this Ordinance.
c. In evaluating an application for a new franchise, the City shall consider among other
things, the following factors: the applicant's character, its technical, financial, and legal qualifications
to construct and operate the proposed system; the nature of the proposed facilities, equipment and
services; the applicant's record in other communities, if any; the economic impact on private property
within the proposed service area; the capability of the public rights-of-way to accommodate the
proposed system; potential disruption to existing users of the public rights-of-way and the public; and
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whether the proposal will meet reasonably anticipated community needs and serve the public interest.
Where an applicant proposes an overbuild of an existing cable system, the City shall also consider,
pursuant to Florida Statutes Section 166.046, the economic feasibility ofmukiple cable operators,
the impact on the existing grantee, including whether the operations of an existing cable grantee will
be interfered with or disrupted, and whether any adverse consequences to the public interest will
result if the application is granted.
d. The Commission shall hold a public hearing to consider any new application. Based
upon the application, the testimony presented at the public hearing, any recommendations of the City
Manager, and any other information it deems relevant to the application, the Commission shall decide
whether to grant or deny a franchise application and the terms and conditions of a grant. Any grant
of a franchise shall be under terms and conditions that are not more favorable or less burdensome than
those in the existing franchise.
e. If the Commission grants an initial franchise application, the City Manager and the
applicant must agree on the terms of a franchise agreement within ninety (90) calendar days from the
date of the adoption of the resolution which approved the grant. This time period may be extended
for good cause by the City. If agreement is not reached with the City within ninety (90) calendar days
or if the period is not extended by the City, the franchise grant will be null and void without further
action by the City.
f. After complying with the above requirements, the Commission, following a public
hearing, and considering the testimony presented at the public hearing, any recommendations of the
City Manager, and any other relevant information, shall approve or disapprove the proposed franchise
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agreement by resolution.
g. The grant of an initial franchise, a renewed franchise, or of an application to modify
a franchise, may be subject to a processing fee in an mount not to exceed the City's out-of-pocket
costs in considering the application. If the processing fee is not paid within sixty (60) days of the date
of the Commission resolution approving the franchise agreement or a modification thereof, the grant
will be null and void. Prior to a franchise becoming effective, the approved applicant must
demonstrate compliance with the surety, insurance and similar provisions of the franchise agreement.
SECTION 10: COMPLAINTS
a. Grantee shall maintain and operate its system and render efficient service in
accordance with the rules and regulations which are or which may be set forth by City from time to
time in the exercise of its authority under applicable law, and subject to Section 40(a) of this
Ordinance.
b. Whenever it is necessary to shut off or interrupt service for the making of repairs,
installations, or adjustments, Grantee shall do so at such times as will cause the least amount of
inconvenience to its customers and unless such interruption is unforeseen and immediately necessary;
it will give reasonable notice thereof to its customers.
c. The Grantee shall maintain a local office which shall be open at reasonable hours for
receiving complaints from subscribers and non-subscribers. Said complaints shall be investigated and
if attributable to the system, corrected immediately.
SECTION 11: RATES
a. Before any service is sold to any customer, a grantee shall file with the City Manager
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its schedule of rates for installation and monthly service charges, together with a statement of the
rights and obligations of subscribers.
b. Subsequent additions or amendments to rates, service charges and rights and
obligations statements shall likewise be filed with the City Manager at least thirty (30) days before
the same become effective, subject to exceptions provided in federal law. A grantee shall also provide
subscribers to the cable system with written notification of any such additions or amendments at least
thirty (30) days before the same become effective.
c. In the event that any state or federal law or regulation is at any time after the effective
date of this Ordinance, enacted, changed, modified, interpreted, amended, repealed or invalidated so
as to allow for the City's regulation of rates paid by cable subscribers, the City may, at its option,
regulate such rates.
d. Rate regulation proceedings shall be conducted at a duly noticed public hearing to
ensure that all interested panics have a reasonable oppoaunity to present their views. The Board may
conduct such hearings at its regularly scheduled meeting or at a meeting scheduled solely for the
purpose of regulating rates.
e. To the extent allowed by state and federal law, nothing in this section shall prevent
a grantee ftom applying a surcharge or late payment penalty to subscriber bills to reflect balances due
the grantee which are delinquent for thirty (30) days or more.
SECTION 12: INDEMNIFICATION
Prior to the beginning of any work by the Grantee within the prescribed limits of the City, the
Grantee shall file with the City and shall keep in force and effect at all times during the effective
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period hereof, insurance certification evidencing a commercial general liability insurance policy, in
the amount of $1 million per occurrence, combined single limit, the terms and conditions whereof
shall be such as to provide for the protection and indemnification of the City with respect to claims
of any person or corporation suffering injury, loss or damage to person or property by reason of the
construction, operation or maintenance of its cable television system within the prescribed limits of
the City which shall not be unreasonably withheld. Both the City and Grantee shall be named as
insured and there shall be no right of subrogation against the City. Such insurance policy shall be
subject to the acceptance and approval of the City. Any primary insurance policy must be issued by
a company having a policy-holders' surplus at least five times the amount of the coverage of the
policy, and the company must have management rating in Best's Insurance Guide of BB or better.
Any excess policy used must be issued by underwriters acceptable to the City. Each such policy shall
be in such minimum limits as are acceptable to the City, and said insurance coverage shall remain in
full force and shall be undiminished during the effective period of this franchise. Every such insurance
policy shall contain a provision whereby every grantee executing the same shall obligate itself to
notify the City in writing at least thirty (30) days before any alteration, modification, or cancellation
of such policy is to become effective.
A grantee shall indemnify, save harmless and defend the City, and all its agents, officials and
employees from any and all claims, demands, actions or causes of action of every name and
description brought against the City based on personal injury, bodily injury (including death) or
property damages (including destruction) received or claimed to be received or sustained by any
person or persons arising from or in connection with the Grantee's performance of its franchise
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agreement with the City. Grantee shall defend the City in any action or proceeding commenced for
the purpose of asserting any claim arising under a Grantee' s performance of its franchise agreement,
except for any claim asserted by a Grantee or asserted by the City against a Grantee. City shall
receive advance consent in wrifmg before settling any dispute that is subject to indemnification by the
Grantee. Nothing herein shall be construed as consent by an agency or subdivision of the State of
Florida to be sued by third pa~ies in any matter arising out of this ordinance, or a franchise
agreement; or as a waiver of sovereign immunity by any party to which sovereign immunity applies.
SECTION 13: SERVICE AREA
The Grantee shall provide service to the entire City, in accordance with the requirements of
Section 22(b). The City Commission may hold a public hearing as provided in Section 33(c)&(d) if
after receiving complaints and making an investigation, it is determined that the Grantee is not
endeavoring to expand its service in the franchise area.
SECTION 14: FRANCHISE FEE
a. A grantee, in consideration of the privilege granted under a franchise for the use of
public rights-of-way to construct and operate a cable system, must pay to the City five percent (5%)
of its gross revenue derived from the provision of cable services within its franchise area during the
period of its franchise. A grantee must pay the franchise fee due to the City, at a minimum, on a
quarterly basis for the preceding quarter.
b. A grantee must file with the City within, at a minimum, ninety (90) calendar days of
the end of each quarterly period, a detailed statement of revenue sources showing the gross revenue
received by the grantee during the preceding quarterly period and the number of subscribers served.
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A grantee must also present payment for the preceding quarter's franchise fees at the time the detailed
statement of revenue sources is due.
c. A grantee must file, within three (3) months of the end of its fiscal year, a gross
revenue report used to calculate the franchise fee for the preceding year certified by the financial
officer responsible for the preparation of the report that such computation is in accordance with the
terms of this Ordinance and the franchise agreement. The grantee will bear the cost of the
preparation of such gross revenue report.
d. Any payment of franchise fees to adjust for a shortfall in the quarterly payments for
the preceding year must be made no later than the filing date for the annual gross revenue report.
Adjustments for overpayments will be credited to subsequent quarterly payments.
e. The City may inspect and audit any and all books and records of the grantee for the
prior three (3) years relevant to the determination of gross revenue and the computation of franchise
fees due, and recompute any mounts determined to be payable under the franchise. The cost of the
audit will be borne by the grantee if the payment to the City is increased by more than five percent
(5%) for the period in question as a result of the audit. In the event that the City makes a cla'nn for
additional franchise fees as a result of the City's audit, the grantee shall be given a reasonable period
of time to review the results of the audit and challenge its results.
f In the event that a franchise payment is not received by the City on or before the due
date, interest will be charged from the due date at a rate of 1.5% (one and a half percent) of the
unpaid balance of the payment due quarte~y, or part thereof, that the payment remains delinquent.
g. When a franchise terminates for whatever reason, the grantee must file with the City
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within ninety (90) calendar days of the date its operations cease in the City, a financial statement,
cert'tfied by the financial officer responsible for the preparation of the report relevant to the franchised
system showing the gross revenues received by the grantee since the end of the previous fiscal year.
Franchise fees due to the date that the grantee's operations ceased must be paid at the same time.
SECTION 15: MAPS
The Grantee shall at all times keep an accurate map showing the location of all facilities
erected, constructed and maintained by the Company in the public rights of way under the provisions
of this franchise, and the maps shall be accessible for City inspection at all times during reasonable
hours.
SECTION 16: REPORTS AND RECORDS
a. As soon as available, and upon the request of the City, a grantee shall provide the City
an annual report that includes the following information:
1. A summary of the previous calendar year's activities in development of the
system, including but not limited to, services begun or dropped, number of subscribers (including
gains and losses), homes passed, and miles of cable distribution plant in service. The summary shall
also include a comparison of any construction, including system upgrades during the year, with any
projections previously provided to the City.
2. A grantee shall submit to the City, and bear the cost of, an annual gross
revenue report prepared according to generally accepted accounting principles. Such reports shall
be certified by the financial officer responsible for the preparation of the gross revenue report
express'mg an opinion thereon. At any other time, upon request of the City, the grantee shall submit
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any further information regarding the Grantee's performance of the franchise agreement as may be
reasonably required by the City.
3. A summaxy of written subscriber or consumer complaints, or those complaints
requiting a service call, identifying the number and nature of complaints and their disposition. Where
complaints involve one or more recurrent system problems, the nature of each problem and what
steps have been taken to correct it, shall be identified. When available, more detailed information on
complaints shall be submitted upon request of the City.
4. If the grantee is a corporation, a list of officers and members of the board and
the local officers and board members of any parent corporation; and where a parent corporation's
stock is publicly traded, a copy of its most recent annual report.
5. A list of all partners or known stockholders holding five percent (5%) or more
ownership interest in the grantee and any parent corporation; provided, however, when any such
entity has more than ten (10) persons holding five percent (5%) ownership interest, the ten (10)
largest such holders shall be listed. Alternatively, the annual ownership information required by the
FCC for broadcast licensees may be supplied, or ira parent corporation's stock is publicly traded, a
copy of its most recent annual report shall suffice.
6. A copy of customer notifications provided under Section 23.
b. Within 30 days of a request by the City, a Grantee shall make available to the City,
books and records adequate to enable the Grantee to demonstrate that it is in compliance with the
requirements of this Ordinance and the franchise agreement. This provision shall not be deemed as
a waiver of a Grantee' s right to assert that the information sought by the City is proprietary and
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shotrid not be disclosed, and to withhold such information upon the agreement of the City. If the City
Manager does not concur with such assertion, then the Grantee may appeal such decision to the City
Commission in accordance with applicable laws and procedures. If the City Commission finds the
books and records should be disclosed, and if the Grantee does not appeal such decision to a court
of law, then the Company shall promptly provide such documents, including the alleged proprietary
portion thereof, to the City.
c. The City will maintain confidentiality of information provided by a Grantee when a
Grantee has notified the City of the confidential nature of the information to the extent allowed by
the Public Records Act. The City will provide a Grantee prompt notice of any request by a third
party which pertains to information which has been identified as confidential by the Grantee.
SECTION 17: DISCRIMINATION PROHIBITED
a. Unless approved by the City, or as othe~vise consistent with federal law, no grantee
may in its rates or charges, or in the availability of the services or facilities of its system, or in any
other respect, unlawfully make or grant undue preferences or advantages to any subscriber or
potential subscriber to the systen% or to any user or potential user of the system, nor subject any such
persons to any undue prejudice or any disadvantage; provided, however, a grantee may offer
discounts in order to attract or maintain subscribers, provided that such discounts are offered on a
non-discriminatory basis consistent with federal law. A grantee must not deny, delay or otherwise
burden service or discriminate against subscribers or users on the basis of age, race, creed, religion,
color, sex, handicap, national origin, marital status, or political affiliation, except for discounts for
senior citizens or other economically disadvantaged groups of subscribers that are applied in a
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uniform and consistent manner.
b. A grantee must not deny cable service to any potential subscribers because of the
income of the residents of the area in which the subscribers reside.
c. Grantee may offer services to commercial subscribers at rates different than those
charged residential subscribers and may enter into separate contracts with multiple dwelling unit
buildings. Grantee may also charge different rates for serqices based upon single point billing or other
contractual considerations.
SECTION 18: WAIVER
Nothing in this franchise shall be construed as a surrender by the City of its right or power to
pass generally applicable ordinances regulating the use of its streets and other public ways; neither
shall the Company be relieved from paying a reasonable annual business license fee and such taxes
as may be levied from time to time by appropriate government entities.
SECTION 19: TAXES
Nothing herein shall be construed as affecting in any manner the right of City to levy or collect
taxes payable by the consumer for services provided by the Grantee as now authorized under the laws
of the State of Florida.
SECTION 20: TRANSFERS
a. A transfer of a franchise must not occur without prior approval of the City.
b. An application to transfer a franchise must provide complete information on the
proposed transaction, includ'mg details on the legal, character, financial, technical and other pertinent
qualifications of the transferee. At minimum, the information required in FCC Form 394 must be
Ordinance No. 3426
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provided by the transferor and transferee. The information requ'tred in Section 2 1 (e)(5)-(10) must also
be provided whenever the proposed transferee expects material changes to occur in those areas.
c. An application for approval of aproforma transfer (i.e. to an entity under common
control with Grantee) shall be considered granted on the thirty first (3 1 st) calendar day following its
filing with the City, unless prior to that date, the grantee is notified to the contrary. An application
for approval of such a pro forma transfer shall clearly identify the application as such.
d. The City Manager shall make recommendations to the Commission on each transfer
application submitted to the Commission for final action. The Commission shall hold a public hearing
before taking final action on an application for transfer of a franchise.
e. In maldng a determination on whether to grant an application to transfer a franchise,
the Commission will consider the legal, financial, technical and character qualifications of the
transferee to operate the system and whether operation by the grantee would adversely affect the
cable services to subscribers or otherwise be contrary to the public interest.
Approval by the City of a transfer of a franchise does not constitute a waiver or release
of any of the fights of the City under this Ordinance or a franchise agreement.
g. A process'rag fee, not to exceed actual expenses, may be imposed to recover the City's
costs in excess of the filing fee in considering an application for transfer of a franchise.
SECTION 21: APPLICATION FOR GRANT, RENEWAL. MODIFICATION OR
TRANSFER OF FRANCHISES
a. An application must be filed with the City for grant of a new franchise, renewal of a
franchise, modification of a franchise agreement, or a transfer of a franchise. An applicant shall
provide the City with such information as the City may reasonably request to demonstrate compliance
Ordinance No. 3426 Page 21 of 51
with all requirements of the Ordinance and of federal law.
b. To be acceptable for filing, an application must be submitted in the number of copies
required by the City, be accompanied by the application filing fee where required, conform to any
applicable request for proposals, and contain all required information. All applications must include
the names and addresses of persons authorized to act on behalf of the applicant with respect to the
application.
c. All applications accepted for filing must be made available by the City for public
inspection.
d. An application for the grant ofa new franchise may be filed pursuant to a request for
proposals issued by the City or on an unsolicited basis. The City, upon receipt of an unsolicited
application, may issue a request for proposals. If the City elects to issue a request for proposals upon
receipt of an unsolicited application, the applicant may submit an amended application in response
to the request for proposals, or may inform the City that its unsolicited application should be
considered in response to the request for proposals, or may withdraw its unsolicited application. An
application which does not conform to the requirements of a request for proposals may be considered
non-responsive.
e. An application for the grant of an initial franchise must contain, at minimum, the
following information:
1. Name and address of the applicant and identification of the ownership and
control of the applicant, including: the names and addresses of the ten (10) largest holders of an
ownership interest in the applicant, and all persons with five percent (5%) or more ownership interest;
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the persons who control the applicant; all local officers and directors of the applicant; a description
of the applicant's otter bus'mess affiliations and cable system ownership interests. Where the applicant
or the parent corporation of the applicant issues stock which is publicly traded, a copy of its most
recent annual report shall suffice in lieu of the above information;
2. An indication of whether the applicant, or any person controlling the applicant,
or major stockholder of the applicant, has been adjudged bankrupt, had a cable franchise revoked,
or been found guilty by any court or administrative agency of a violation of a security or antitrust law,
or a felony, or any crime involving moral turpitude; and, if so, identification of any such person or
entity and a full explanation of the circumstances;
3. A demonstration of the applicant's technical, legal and financial ability to
construct and operate the proposed cable facility, including identification of key personnel;
4. A description of applicant's prior experience in cable operations and
identification of communities in which applicant or its principals have, or had, a cable franchise or an
interest therein, including the identification of any litigation between any such grantees and their
franchising authorities;
5. A detailed description of the physical facility proposed, including channel
capacity, technical design, performance characteristics, headend, and access facilities to be provided
to satisfy the requirements of this Ordinance;
6. A description of the construction oftte proposed system, including an estimate
of above-ground and below-ground mileage and its location, the proposed construction schedule, a
description, where appropriate, of how services will be converted from existing facilities to new
Ordinance No. 34 2 6
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facilities, and information on the availability of space on poles and conduits including, where
appropriate, an estimate of the cost of rearrangement of facilities to accommodate such use;
7. For informational purposes, a description of the services to be provided
initially, including all broadcast and non-broadcast signals to be carried and all non-television services
to be delivered over the cable system, and if services will be offered by tiers, identification of the
signals and/or services to be included on each tier;
8. For informational purposes, the proposed rate structure includ'mg charges for
each service tier, installation, and other equipment or services;
9. A demonstration of how the proposal will reasonably meet the future cable-
related needs and interests of the community, including a description of how the proposal will meet
the needs described in any recent community needs assessment conducted by or for the City;
10. Pro forma financial projections for the franchise term, including statement of
projected income and expenses, and a schedule of planned capital additions, with all significant
assumptions explained in notes or supporting schedules;
11. An affidavit of the applicant or authorized officer certifying the truth and
accuracy of the information in the application, and acknowledging the enforceability of application
commitments, and certifying that the proposal meets all federal and state requirements;
12. If an applicant proposes to provide cable service to an area already served by
an existing cable grantee, the identkfication of the area where the overbuild would occur, the potential
subscriber density in the area which would encompass the overbuild, and other information as
necessary for the City to make its determination pursuant to Section 9(c);
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13. If the applicant does not propose to provide cable service to City facilities and
primary and secondary schools an explanation of why it does not; and
14. Any other information as may be reasonably necessaxy to demonstrate
compliance with the requirements of this Ordinance or any information that the City may request of
applicant that is relevant to the City's consideration of the application.
f An application for modification of a franchise must include, at minimum, the following
information:
1. The specific modification requested;
2. The justification for the requested modification, including the impact of the
requested modification on subscribers and others, and the impact on the applicant if the modification
is not approved;
3. A statement whether the modification is sought pursuant to Section 625 of the
Cable Act, 47 U.S.C. §545, and, if so, a demonstration that the requested modification meets the legal
standards of 47 U.S.C. §545; and
4. Any other information necessary for the City to make a determination.
g. An :application for renewal of a franchise must comply with the requirements of
Section 25.
h. An application for approval of a transfer of a franchise must comply with the
requirements of Section 20.
i. To be acceptable for filing, an application must be accompanied by a non-refundable
filing fee as established by the City in accordance with the guidelines in the Cable Act.
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SECTION 22: MINIMUM FACILITIES AND SERVICES
a. The following minimum requirements for facilities and services apply to all franchises,
except where expressly specified in a franchise document. The City may require in a franchise
agreement that a grantee exceed these minimum requirements where it determines, under
circumstances existing at the time of the application, that the higher requirements are necessary to
meet reasonable public needs and that such requirements are consistent with current state-of-the-art
capabiliries and are economically feasible.
1. Any cable system construction occurring after the effective date of this
Ordinance should have a minimum capacity of fifty four (54) video channels, assuming 6 MHz per
channel, available for immediate or potential use and have the capability for two-way
communications.
2. A grantee must provide at least one (1) access channel for educational and/or
· governmental usage. A Grantee may be required to provide an additional access channel for
educational and/or governmental access upon direction of the Commission when it is determined that
a substantial demonstrated need for an additional dedicated channel exists, and that the subscribers
to the Grantee's system desire the dedication of the additional channel for such use. These access
channels shall be shared with the other franchise authorities served from the same cable system.
3. The City may have taped replay coverage of City Commission meetings, and
other important meetings or public hearings cablecast on the government access channel.
4. The grantee may be required to contribute a minimum level of equipment and
fac'~hies for such access channel for educational or government use that will be specifically defined
Ordinance No. ~ a 9 ~
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in a franchise agreement.
5. A grantee shall include the govemment/educational access channel on any
channel lineup listing it provides.
6. A grantee may be required to provide the most commonly provided service
offering without charge to City officers and public primaxy and secondary schools within the City
passed by the cable system, as approved by this City Manager. Such service shall be provided by
means ofa s'mgle drop extending to the facility or, in the event the facility consists of more than one
( 1 ) building, to a s'mgle budding within such fac'dity selected by the governmental entity. The grantee
shall not be required to extend such single drop more than 200 feet from the cable distribution line
with the expense of any additional extension to be borne by the entity being served. Such single drop
may be internally extended by the govemmental entity without cost to, or responsibility of the
grantee, subject to such hitemal distribution meeting all FCC requirements relative to signal leakage.
7. A grantee must make every effort to design its system to allow the City to
interrupt cable service in an emergency to deliver necessary public safety information that will provide
both audio and video messages to subscribers, if consistent with the requirements of the FCC.
8. A grantee may make available to its subscribers equipment capable of decoding
closed circuit captioning information for the hearing impaired. A grantee may charge for such
equipment.
b. A grantee shall make cable service available to every unserved dwelling within the
grantee's service area where the dwelling is in an area with a minimum density of twenty (20)
dwellings per cable mile as measured from the grantee's existing cable plant. Density per cable mile
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shall be computed by dividing the number of dwelling units in the area by the length, in miles of
fractions thereof, of the total amount of aerial or underground cable negessary to make service
available to the dwelling units in such area in accordance with the Grantee's system design
parameters. The cable length shall be measured from the Grantee's nearest point of access to the
then-existing system, provided that extension is technically feasible from that point of access, and
located in the public rights-of-way. In the event that such extension is not technically feasible, at
point of access, Grantee shall provide a detailed written explanation to the City. Where potential
subscribers reside in a portion of the service area with dwelling density below the prescribed
minimum, the grantee shall extend service to such potential subscribers under the following
conditions: (1) if they are willing to pay a one time charge equivalent to the grantee's construction
cost per dwelling in each cable mile area; or (2) if fifteen (15) potential subscribers per cable mile
measured from the existing cable feeder plant commit themselves to taking service in a manner
reasonably satisfactory to the grantee.
c. The City may waive minimum requirements of this section where such waiver is
justified in the public interest.
SECTION 23: MINIMUM CUSTOMER SERVICE STANDARDS
a. Cable system office hours and telephone availability:
1. The Grantee will maintain a local, tolM~ee or collect call telephone access lines
which will be available to its subscribers 24 hours a day, seven days a week.
a. Trained company representatives will be available to respond to
customer telephone inquiries during normal business hours.
Ordinance No. 342 6
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b. After normal business hours, the access line may be answered by a
service or an automated response system, including an answering machine. Inquiries received after
normal bus'mess hours must be responded to by a trained company representative on the next business
day.
2. Under normal operating conditions, telephone answer time by a customer
representative, including wait thne, shall not exceed thirty (30) seconds when the connection is made.
If the call needs to be transferred, transfer time shall not exceed thirty (30) seconds. These standards
shall be met no less than ninety (90) percent of the time under normal operating conditions, measured
on a quarterly basis, and if requested, the results submitted to the franchising authority.
3. The Grantee will not be required to obtain equipment or perform surveys to
measure compliance with the telephone answering standards above unless an historical record of the
complaints taken by the franchising authority indicates a clear failure to comply.
4. Under normal operating conditions, the customer will receive a busy signal less
than three (3) percent of the time.
5. Customer service center and b'dl payment locations will be open at least during
normal business hours and will be conveniently located.
b. · Installations, outages and service calls - Under normal operating conditions, each of
the following four standards will be met no less than ninety-five (95) percent of the time measured
on a quarterly basis:
1. Standard installations will be performed within seven business days after an
order has been placed. "Standard" installations are those that are located up to 125 feet from the
Ordinance No. 3 4 2 6
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existing distribution system.
2. Excluding conditions beyond the control of the operator, the cable operator
will begin working on "service interruptions" promptly and in no event later than 24 hours after the
interruption becomes known. The Grantee must begin actions to correct other service problems the
next business day after notification of the service problem.
3. The "appointment window" alternatives for installations, service calls, and
other installation activities will be either a specific time or, at maximum, a four-hour time block during
normal business hours. (The operator may schedule service calls and other installation activities
outside of normal business hours for the express convenience of the customer.)
4. A Grantee may not cancel an appointment with a customer after the close of
business on the business day prior to the scheduled appointment.
5. If a Grantee' s representative is running late for an appointment with a
customer and will not be able to keep the appointment as scheduled, the customer will be contacted
within 30 minutes. The appointment will be rescheduled, as necessary, at a time which is convenient
for the customer even if it may fall outside the normal business hours.
c. Communications between Grantees and cable subscribers -
1. Notifications to subscribers -
a. The Grantee shall provide written information on each of the following
areas at the time of installation of service, at least annually to all subscribers, at any time upon
request:
1. products and services offered:
Ordinance No. 34 2 6
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2. prices and options for programming services and conditions of
subscription to programming and other services;
3. installation and service maintenance policies;
4. instructions on how to use the cable service;
5. channel positions of programming carried on the system; and,
6. billing and complaint procedures, including the address and
telephone number of the local franchise authority's cable
office.
b. Customers will be notified of any changes in rates, programming
services or channel positions as soon as possible in writing. Notice must be given to subscribers a
minimum of thinT (30) days in advance of such changes if the change is within the control of the cable
operator. In addif~on, the Grantee operator shall notify subscribers thirty (30) days in advance of any
significant changes in the other information required by the preceding paragraph.
d. Billing -
1. Bills will be clear, concise and understandable. Bills must be fully itemized,
with itemizations including, but not limited to, basic and premium service charges and equipment
charges. Bills also will clearly delineate all activity during the billing period, including optional
charges, rebates and credits.
2. In case of billing dispute, the Grantee must respond to a written complaint for
a subscriber within thirty (30) days.
e. Refunds - Refund checks will be issued promptly, but not later than either -
1. the customer's next billing cycle following resolution of the request or thirty
Ordinance No. 342 6
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(30) days, whichever is earlier, or
2. thirty (30) days a~cer the return of the equipment supplied by the cable operator
if service is terminated.
f. Credits - Credits for service will be issued no later than the customer's next billing
cycle following the determination that a credit is warranted. At the request of the customer, credit
or refund will be issued to the subscriber for each day cable service is not provided, if the service
interruption exceeds 24 hours after notification of the service problem.
SECTION 24: CUSTOMER COMPLAINTS
All complaints against a Grantee relating to its performance including, but not limited to,
those conceming quality of service, equipment malfunction, and billing disputes, shall be received at
the cable office. A Grantee shall endeavor to respond and satisfy any complaints by the next business
day. Upon request, a Grantee shall deliver to the City Manager, or other City official duly designated
by the City Manager, a report regarding any complaint which has not been timely dealt with by a
Grantee as required by regulations. The City shall have the authority to investigate complaints of
subscribers and nonsubscribers. In the event that such complaints, after investigation, are determined
to be well founded, the City Commission may conduct a public hearing in regard to the same upon
at least thirty (30) days notice to the Grantee and the public. In the event that such complaints are
found to be in violation of this Agreement, after public hearing, the City Commission may fine the
Grantee, or suspend, or revoke the franchise consistent with the provisions ofthis ordinance. Grantee
shall maintain a complete file of all written complaints made during the immediately preceding two
(2) years. Attached to each complaint shall be an appropriate written document showing the
Ordinance No. 342 6
P age 32 of 51
disposition or satisfaction thereof. This file is subject to review by the City. The City Manager may
establish procedures for the speedy resolution of such complaints.
SECTION 25: RENEWAL OF FRANCHISE
a. If a grantee decides to initiate a formal franchise renewal process in accordance with
Section 626(a)-(g) of the Cable Act, 47 U.S.C. §546(a)-(g), it must notify the City within 30-36
months of the franchise expiration date. Upon such notification, or at the City's own initiative, the
City must commence the following process:
1. The City shall review and evaluate the future cable-related community needs
and interests and the grantee's past performance. The review and evaluation process must include
opportunity for public comment.
2. Immediately upon completion of the review and evaluation process, the City
must notify the grantee that it may file a renewal application. The notice must specify the information
to be included in the renewal application and the deadline for filing the application, which must be no
earlier than thirty (30) calendar days following the date of the notice. The application must comply
with the requirements of Section 21 and provide the specific information requested in the notice and
other information required in Section 21 as the grantee deems applicable. The City may establish a
date by which a renewal proposal shall be submitted.
3. Upon receipt by the City of the renewal application, the application shall be
referred to the City Commission for its review and consideration. The Commission shall hold one
(1) or more public hearings at which comments from the public on the application shall be received.
b. In considering a renewal application, the City must consider whether:
Ordinance No. 3426
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1. The grantee has substantially complied with the material terms of the existing
franchise and with applicable law;
2. The quality of the grantee's service, including signal quality, response to
consumer complaints, and billing practices (but without regard to the mix, or quality, of cable services
or other services provided over the system), has been reasonable in light of community needs;
3. The grantee has the financial, legal and technical ability to provide the services,
facilities, and equipment set forth in its proposal; and
4. The grantee's proposal is reasonable to meet the future cable-related
community needs and interests, taking into account the cost of meeting such needs and interests.
c. The Commission shall hold a public hearing to consider the application. Following
the public hearing on the renewal application, the Commission must either:
1. Adopt a resolution agreeing to renew the franchise, which shall be based on
the terms of the application; or
2. Adopt a resolution that makes a preliminary assessment that the franchise
should not be renewed.
d. Commission action under subsection (c) above should be taken within four (4) months
of the date of the renewal application notice to the grantee required in subsection (2) above.
e. If a preliminary assessment is made that a franchise should not be renewed, at grantee
request or on its own initiative, the City must commence an administrative proceeding in accordance
with Section 626(c) of the Cable Act, 47 U.S.C. §546(c).
£ The City Manager shall initiate an administrative proceeding by issuing a hearing
Ordinance No. 3426
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order. Such hearing order shall be based on the input of the Grantee and the City, and shall name a
presiding officer, and shall establish the issues to be addressed in the hearing;! and the procedures to
be followed.
When the hearing is completed, the presiding officer shall issue a recommended decision.
Parties to the hearing, and the public shall have thirty (30) calendar days to comment on the
recommended decision after its issuance.
g. Within thirty (30) calendar days after the receipt of comments, based on the
recommended decision, the comments and arguments presented, and other evidence of record, the
Commission, following a public hearing, shall make a final determination on whether to grant or deny
the renewal application. The Commission shall issue a written decision setting forth the reasons for
its determination.
h. The provisions of subsections (a)-(g) above notwithstanding, a grantee may submit
a proposal for renewal of a franchise in accordance with 47 U.S.C. §546(h). The City must hold one
or more public hearings or implement other procedures under which comments on the proposal from
the public may be received. Following such public hearings or other procedures, the Commission
shall determine whether the franchise should be renewed and the terms and conditions of any renewal.
i. In renewals under 47 U.S.C. §546(h), once the Commission grants a renewal
application, the City and the grantee must agree on a fi'anchise agreement, pursuant to the procedures
specified in Section 9, before the renewal becomes effective.
j. If renewal of a franchise is denied, the City may acquire ovmership of the cable system
or effect a transfer of ownership of the system to another person upon approval of the Commission
Ordinance No. 3426
Page 35 of 51
if the franchise agreement so provides as a contractual matter. Any such acquisition or transfer will
be carried out as provided by federal law.
k. If renewal of a franchise is denied and the City does not purchase the cable system or
otherwise effect a transfer, the City may require the former grantee to remove its facilities and
equipment. If the former grantee fails to do so within a reasonable period of time, the City may have
the removal done at the former grantee's and/or surety' s expense.
SECTION 26: CITY RIGHTS
a. The City may amend this Ordinance, and a franchise granted hereunder, to incorporate
amendments to federal law which impose mandatory requirements upon cable operators and which
are intended to supersede existing requirements contained in franchise agreements.
b. Subject to Section 40(a), the City reserves the right to further amend this ordinance,
or adopt additional ordinances, if it finds it necessary to protect the public health, safety and welfare.
c. In the event that the federal government or any other governmental agency allows the
City to exercise powers which the City does not have with respect to rates and other matters at the
time a franchise is granted under this Ordinance, the City reserves the right to exercise those powers.
d. During the term of a franchise the City may, where aerial construction exists, maintain
free-of-charge upon any poles owned by the grantee, wire and pole fixtures necessary for a police,
fire alarm system and emergency medical services, provided such fixtures shall not interfere with
grantee's operation of its cable system. Such wires and fixtures shall be constructed and maintained
in accordance with all applicable safety standards and laws.
e. The City may inspect all construction or installation work during such construction
Ordinance No. 3426
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or installation, or at any time after completion thereof, in order to insure compliance with the
provisions of this Ordinance and all other governing ordinances.
£ A grantee shall provide one outlet of free basic service to any and all public buildings
as required in Section 22(a)(6) of this Ordinance and as set forth in a franchise agreement. Additional
outlets, approved by the City Manager, shall be provided at the grantee's actual cost of installation.
In the event of the addition of a new building eligible for service under Section 22(a)(6)during the life
of the franchise, the grantee shall provide such service within ninety (90) days of a request by the City
to do so.
SECTION 27: GRANTEE RULES
A grantee may promulgate such rules, regulations, terms and conditions governing the
conduct of its business as shall be reasonably necessary to enable the grantee to exercise its rights and
perform its obligations under the franchise and to assure uninterrupted service to all its subscribers.
However, such rules, regulations, terms and conditions shall not be in conflict with the provisions of
this ordinance, other City Ordinances or state or federal statutes.
SECTION 28: PERFORMANCE BOND
Any franchise agreement with the City shall require the grantee to maintain throughout the
term of the franchise, or any renewal or extension thereof, a faithful performance bond running to the
City with one good and sufficient surety approved by the City, or some other type of security in an
amount acceptable to the City. The bond shall be conditioned upon the faithful performance of the
grantee and upon the further condition that, in the event the grantee shall fail to comply with any law,
ordinance, or regulation goveming the franchise, there shall be recoverable, jointly and severally, from
Ordinance No. 34 ? 6
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the pxindpal and the surety of the bond any damage or loss suffered by the City as a result, including
the full amount of any compensation, indemnification, or cost of removal or abandonment of any
property of the grantee, plus an allowance for attorney fees and costs up to the full amount of the
bond.
SECTION 29: SECURITY FUNDS
a. Prior to a franchise becoming effective, the grantee may have to post with the City a
cash security deposit or an irrevocable letter of credit in an amount specified in a franchise agreement
to be used as a security fund to ensure the faithful performance of all provisions of law and the
franchise agreement and compliance with all orders, permits and directions of the City, and the
payment by the grantee of any claims, liens or taxes due the City which arise by reason of the
constrncrion, operation or maintenance of the system. The security deposit shall be in the amount
a franchise agreement specifies, taking into account the effects of inflation, the extent of the grantee's
operations in the City, and the grantee's history of compliance in the City and other jurisdictions.
b. The City shall place the security deposit in an interest-bearing account. The interest
will accrue to the benefit of the grantee, but may not be withdrawn; all interest will be added to, and
become part of, the original security fund during the term of the franchise.
c. Ifa grantee fails to pay the City any fees or taxes due, liquidated damages, damages
or costs or expenses incurred by the City be reason of any act or default of the grantee, or if the
grantee fails to comply with any provision of a franchise agreement that the City reasonably
determines can be remedied by an expenditure of the security fund, the City may, after ten (10)
calendar days notice of the grantee, withdraw that amount with any interest or penalties from the
Ordinance No. ~ a ~ a
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security fund unless, within such ten (10) day period the grantee objects to such withdrawal and
requests a heating in accordance with Section 33(b) and (c) hereof Upon such withdrawal, the City
shall notify the grantee of the amount and date of the withdrawal.
d. Within thirty (30) calendar days after notice to it that an amount has been withdrawn
by the City ftom the security fund, the grantee must deposit a sum of money sufficient to restore the
security fund to the original amount. If the grantee fails to restore the security fund to the original
amount within thirty (30) calendar days, the entire security fund remaining may be forfeited, and/or
such failure may be considered a material breach of this ordinance and may be used as grounds for
revocation of the franchise, unless within such thirty (30) day period, the grantee requests a hearing
in accordance with Section 35 hereof.
e. Following the revocation and termination of a franchise, the grantee is entitled to the
return of that portion of the security fund that remains, provided that there is no outstanding default
or unpaid amounts owed to the City by the grantee. Any such unpaid amounts due the City shall be
withdrawn from the security fund prior to its release.
£ Rights reserved to the City with respect to the security fund are in addition to all other
rights of the City whether reserved by this Ordinance or authorized by other law; and no action,
proceed'rag, or exercise of a right with respect to such security fund will affect any other right the City
may have.
SECTION 30: SUBSCRIBER PRIVACY
A grantee shall protect the privacy of all subscribers pursuant to the provisions of Section 63 1
of the Cable Act, 47 U.S.C. §551. A grantee shall not condition subscriber service on the
Ordinance No. 34 ? 6
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subscriber's grant of permission to disclose information, which pursuant to federal law, cannot be
disclosed without the subscriber's explicit consent.
SECTION 31: TECHNICAL STANDARDS
a. Any cable system constructed within the City shall meet requirements established by
the FCC.
b. All construction, installation and maintenance must comply with the National Electrical
Safety Code, the National Electric Code, all state and local regulations, and good and accepted
industry practices.
c. At specified stages of construction outlined in a franchise agreement, the grantee must
perform, at its expense, proof of performance tests as required by the FCC regulations. The grantee
must provide the proofofperformance test resuks promptly to the City, upon request. The City shall
have the right to inspect the cable system facilities during and after their construction to insure
compliance.with the requirements of the franchise agreement and this ordinance.
d. Consistent with FCC rules, an annual proof of performance or other tests shall be
performed at the expense of the grantee. The grantee must provide test results promptly to the City,
upon request.
e. A City observer may be present when a proof of performance test is performed.
f. A grantee must not design, install or operate its facilities in a manner that will interfere
with the signals of any broadcast station, the electrical system located in any building, the cable
system of another grantee, or individual or master antennas used for receiving television or other
broadcast signals.
Ordinance No. 34 ? ~
Page 40 of 51
SECTION 32: ENFORCEMENT REMEDIES
a. The City has the right to apply any one (1) or combination of the following remedies
in the event a grantee violates any provision of the law, this ordinance, or its franchise agreement:
1. Impose liquidated damages in such amount, on a per day, incident, or other
measure of violation basis. Payment of liquidated damages by the grantee will not relieve the grantee
of its obligation to meet the franchise requirements.
2. In the event of a material violation, revoke the franchise pursuant to the
procedures specified in Section 34(c).
b. In determining which remedy or remedies are appropriate, the City must take into
consideration the nature of the violation, the person or persons bearing the impact of the violation,
the nature of the remedy required in order to prevent further violations, and such other matters as are
appropriate.
c. In addition to or instead of any other remedy, the City may seek legal or equitable
relief from any court of competent jurisdiction.
SECTION 33: REVOCATION OF FRANCHISE
a. A franchise may be revoked by the Commission for material failure to construct,
operate or maintain the cable system, as required by this ordinance or the franchise agreement, or for
other material breach of this Ordinance or the franchise agreement. If, within thirty (30) calendar
days following written notice from the City to the grantee that it is in material breach of this ordinance
or the franchise agreement, the grantee has not taken corrective action or corrective action is not
being actively and expeditiously pursued, the Commission may give written notice to the grantee of
Ordinance No. !
Page41 of 51
its intent to consider revocation of the franchise, stating its reasons.
b. The Commission may initiate an administrative proceeding to investigate facts and
make recommendations. Such a proceeding shall be commenced by the issuance of a hearing order,
which establishes the issues to be addressed in the hearing and the procedures to be followed, and the
Commission shall appoint a hearing officer for the hearing. Upon completion of the hearing, the
hearing officer shall issue a recommended decision. The grantee and any members of the public shall
have thirty (30) calendar days, or such other greater period of time as the hearing order may specify,
to comment on the recommended decision after its issuance.
c. Within thirty (30) calendar days after receipt of any such comments, or such other
period, as the hearing order may specify, the Commission shall hold a public hearing, at which fnne
the grantee and members of the public shall be given an opportunity to present evidence, cross
examine witnesses and make argument. Following the public hearing, the Commission shall
determine whether or not to revoke the franchise based on any recommended decision, the evidence
and argument presented at the hearing, or any recommendations of the City Manager. The
Commission's determination shall be reflected in a written opinion setting forth the reasons for its
decision. Such decision may be appealed to a court of competent jurisdiction within thirty (30) days
after issuance of the Commission's written decision.
d. Any franchise may, following a public hearing before the Commission, be revoked one
hundred twenty (120) calendar days after an assignment for the benefit of creditors or the
appointment of a receiver or trustee to take over the business of the grantee, whether in a
receivership, reorganization, or other action or proceeding, unless within that one hundred twenty
Ordinance No. ~ ~ ~ ~
Page 42 of 51
(120) day period:
1. Such assignment, receivership or trusteeship has been vacated; or
2. Such assignee, receiver or trustee has fully complied with the terms and
conditions of this Ordinance, and has executed an agreement, approved by the court having
jurisdiction, assuming and agreeing to be bound by the terms and conditions of a franchise agreement.
e. In the event of foreclosure or other judicial sale of any of the facilities, equipment or
property of a grantee that affects the operation of the system, the City Commission may revoke the
franchise, following a public hearing before the Commission, by serving notice upon the grantee and
the successful bidder at the sale, in which event the franchise and all rights and privileges of the
franchise will be revoked thirty (30) calendar days after serving such notice, unless:
1. The City Commission has approved the transfer of the franchise to the
successful bidder; and
2. The successful bidder has covenanted and agreed with the City to assume and
be bound by the terms and conditions of the franchise.
£ If the City Commission revokes a franchise, or if for any other reason a grantee
abandons, terminates or fails to operate or maintain service to its subscribers, the following
procedures and rights are effective:
1. The City may require the former grantee to remove its facilities and equipment.
If the former grantee fails to do so within a reasonable period of time, the City may have the removal
done at the grantee's and/or surety*s expense.
2. The City, by resolution of the Commission, may acquire ownership of the cable
Ordinance No. 34 2 ~
Page 43 of 51
system at an equitable price if the franchise is revoked for cause, pursuant to federal law.
3. If a cable system is abandoned by a grantee, the City may sell, assign or
transfer all or part of the assets of the system.
g. Consistent with applicable law, the City may, upon resolution of the Commission,
acquire ownership of and operate a cable system, whether or not such ownership is acquired
following revocation or forfeiture of a franchise.
h. Where the City Commission has issued a franchise specifically conditioned in the
franchise agreement upon the completion of construction or other specific obligation by a specified
date pursuant to Section 9, failure of the grantee to complete construction or comply with other
specific obligation, as required, will make the franchise subject to revocations pursuant to this
ordinance.
i. No adverse action against a grantee may be taken by the City pursuant to this section,
except after a noticed public heating, at which the grantee is given an opportunity to be presented by
counsel, to present evidence, to cross examine witnesses, and to make argument.
SECTION 34: PENALTIES
For the violation of any of the following provisions of this franchise, penalties shall be
chargeable to the letter of credit or performance bond, as applicable, as follows, and the City may
determine the amount of the fine for other violations which are not specified in a sum not to exceed
five hundred dollars ($500.00) for each violation, with each day constituting a separate violation.
1. Failure to furnish, maintain, or offer all cable services to any potential Subscriber, as
defined by Section 22(b), upon order of the City: Two Hundred dollars ($200.00) per day, per
Ordinance No. 3 4 2 6
Page 44 of 51
violation, for each day that such failure occurs or continues;
2. Failure to obtain or file evidence of required insurance, construction bond,
performance bond, or other required financial security: Two Hundred dollars ($200.00) per day, per
violation, for each day such failure occurs or continues.
3. Failure to provide access to data, documents, records, or reports to the City, as
required by Section 16, upon order of the City: One Hundred dollars ($100.00) per day, per
violation, for each day such failure occurs or continues;
4. Failure to comply with applicable construction, operation, or maintenance standards:
Three hundred dollars ($300.00) per day, per violation.
5. Failure to comply with a rate decision or refund order: Five Hundred dollars
($500.00) per day, per violation, for each day such a violation occurs or continues.
Grantor may impose any or all of the above enumerated measures against Grantee,
which shall be in addition to any and all other legal or equitable remedies it has under the Franchise
or under any applicable law.
7. Any violations for non-compliance with the customer service standards of Sections
24: the Grantee shall pay Two Hundred dollars ($200.00) per day for each day, or part thereof, that
such noncompliance continues.
8. Any other violations of this franchise agreement to be determined by the Grantor in
a public heating but not specifically noted in this Section, fine shall not exceed $500.00 per day, per
violation.
SECTION 35: PROCEDURES
Ordinance No. 34 ? 6
Page 45 of 51
a. Whenever the City believes that the Grantee has violated one (1) or more terms,
conditions or provisions of this Ordinance, and wishes to impose penalries, a written notice shall be
given to the Grantee informing it of such alleged violation or liability. The written notice shall
describe in reasonable detail the specific violations so as to afford the Grantee an opportunity to
remedy the violation. The Grantee shall have thirty (30) days subsequent to receipt of the notice in
which to correct the violation before the City may impose penalties unless the violation is of such a
nature so as to require more than thirty (30) days and the Grantee proceeds diligently within the thirty
(30) days to correct the violation, or as promptly as possible thereafter to correct the violation. In
any case where the violation is not cured within sixty (60) days of notice from the City, or such other
thne as the Grantee and the C~ty may mutually agree to, the City may impose a penalty under Section
34.
b. The Grantee may, within twenty (20) days of receipt of notice, notify the City that
there is a dispute as to whether a violation or failure has, in fact, occurred. Such notice by the
Grantee to the City shall specify with particularly the matters disputed by the Grantee, and shall stay
the running of the thirty (30) day cure period pending Commission decision as required below. The
Commission shall hear the Grantee's dispute. Grantee must be given at least fifteen (15) days notice
of the hearing. At the hearing, the Grantee shall be entitled to be represented by counsel, the fight
to present evidence, to cross examine witnesses, and to make argument. After the hearing, the City
shall provide Grantee a copy of its action, along with supporting documents. In the event the City
upholds the finding of a violation, the Grantee shall have thirty (30) days subsequent to such
determination, or such other time period as the Grantee and the City mutually agree, to correct the
Ordinance No. 3426
Page 46 of 51
alleged violation before penalties may be imposed. No penalty shall be assessed until the City has
determined that a violation has occurred in accordance with the above procedures. Grantee shall have
the right to appeal any adverse decision of the Commission to a court of competent jurisdiction within
thirty (30) days of the Commission' s written consent.
c. The rights reserved to the City under this section are in addition to all other rights of
the City whether reserved by this fi'anchise or authorized by law or equity, and no action, proceeding
or exercise of a right with respect to penalties shall affect any other right the City may have.
d. Force Majeure. The time within which a Grantee shall be required to perform any act
under this Ordinance or a franchise shall be extended by a period of time equal to the number of days
performance is delayed due to a force majeure, nor shall a Grantee be subject to any penalty
hereunder because of acts or failure to act due to force majeure. The term "force majeure" shall mean
delays due to acts of God, war, civil disturbances, fire, unavoidable casualty, construction delays due
to weather, failure of supplier(s), or for other similar causes beyond the control of a Grantee.
SECTION 36: CONTINUITY OF SERVICE MANDATORY
a. It is the right of all subscribers to receive all available services from the grantee as long
as their financial and other obligations to the grantee are satisfied.
b. In the event of a termination or transfer of the franchise for whatever reason, the
grantee must do eveC/thing in ks power to insure that all subscribers receive continuous,
uninterrupted service regardless of the circumstances. The grantee shall cooperate with the City to
operate the system for a temporary period following termination or ~ransfer as necessary to maintain
confmuity of service to all subscribers. The temporary period will not exceed six (6) months without
Ordinance No. ~ a 9 6
Page 47 of 51
the grantee's written consent. During such period the cable system must be operated under such
terms and conditions, as the City and the grantee may agree, or such other terms and conditions that
will continue, to the extent possible, the same level of service to subscribers and that will provide
reasonable compensation to the cable operator.
SECTION 37: PERFORMANCE EVALUATION
a. The City may conduct periodic performance evaluations of a grantee as the City
determines is necessary. The grantee shall cooperate fully with these evaluations.
b. The performance evaluation process is conceived as a dialogue process that should
include discussions between the City and a grantee that reviews the grantee's performance in all
aspects of its franchise agreement.
c. The City Manager shall issue a report to the Commission of the results of any
performance evaluation together with, if necessary, any recommendations for methods to improve
a grantee's performance under the franchise agreement or the Ordinance.
SECTION 38: ADMINISTRATION
a. The City Manager or a designee shall have the responsibility for overseeing the day-to-
day administration of this Ordinance and all franchise agreements. The City Manager shall be
empowered to take all administrative actions on behalf of the City except for those actions specified
in this Ordinance which are reserved to the Commission. The Manager may recommend that the
Commission take certain actions with respect to the franchise and shall keep the Commission apprised
of developments in cable and provide the Commission assistance, advice and recommendations as
appropriate. The Manager shall assist and provide staff support to the Advisory Committee as the
Ordinance No. ~ 4 ~ a
Page 48 of 51
Manager deems necessary.
b. The Commission has the sole authority to: gram franchises, enter into franchise
agreements, modify franchise agreements, renew franchises, revoke franchises, and authorize the
transfer of franchises; provided however, the Manager may act on pro forma transfer applications.
c. All filings and reports required of grantees or applicants pursuant to this Ordinance
or a franchise agreement shall be made with the City Manager unless otherwise specified.
SECTION 39: PERSONAL LIABILITY OF CITY OFFICIALS
Any officer or employee charged with the enforcement or administration of this Ordinance
or a franchise agreement, act'rag for the applicable governing body in the discharge of his duties, shall
not thereby render himself liable personally, and is hereby relieved from all personal liability for any
damage that may occur to persons or property as a result of any act required or permitted in the
discharge of his duties. Any suit brought against any officer or employee because of such authorized
act performed by him in the enforcement of any provision of this ordinance shall be defended by the
City or its representatives until the final termination of the proceedings. Nothing in this Ordinance
shall be interpreted as a waiver of sovereign immunity as per Section 768.28 Florida Statutes.
SECTION 40: APPLICABILITY
a. This ord'mance shall be applicable to all cable franchises granted in the area of Sanford
by the City, whether or not such franchises were issued prior to the effective date of this Ordinance;
provided however, that such applicability shall not abrogate any rights or obligations of an existing
grantee or the City, as may be in existence as of such effective date under the terms of a then-existing
franchise agreement, or a prior ordinance controlling such existing franchise agreement. Further, any
Ordinance No. 3426
Page 49 of 51
amendments to this Ordinance occurring after such effective date shall not impose material burdens
or materially impair rights, as may exist under the terms of a franchise agreement or Ordinance, which
were in effect prior to the effective date of such amendment.
b. Any cable grantee whose franchise agreement predates the effective date of this
ordinance, shall notify the City in writing within ninety (90) calendar days of the passage of this
ordinance, or any subsequent amendment thereof, of:
1. Any provision which it believes should not be applicable to it by reason of the
pre-existing franchise agreement or the continuing applicability of the prior ordinance; and,
2. The reason for each such claim of non-applicability.
SECTION 41: TIMELINESS BY GRANTEE As further consideration for the grant of
this franchise, the Grantee agrees to, and shatl, upon final acceptance, promptly make and pursue with
all due and reasonable diligence its application for Federal Communication Commission (FCC), and
any other required regulatoxy governmental agencies, approval, license or permit to so engage in
business as provided herein. If the Grantee's application is approved as provided herein and the
Grantee fails to begin substantial construction or installation of the cable television system, hereinafter
sometimes referred to as "cable television service", within 120 days from the date of the approved
licenses and permits, then this franchise shall be declared to be void and repealed.
SECTION 42: SEVERABILITY If any section, subsection, sentence, clause, phrase or
portion of this franchise is for any reason held invalid or unconstitutional, such portion shall be
deemed a separate, distinct, and independent provision and such holding shall not affect the validity
of the remaining portions hereof.
Ordinance No. 3426
Page 50 of 51
SECTION 4:t: EFFECTIVE DATE This franchise shall become effective immediately
upon execution of this Ordinance.
IN WITNESS WHEREOF, the parties hereto have hereunto set their hands and seals the day
and year first above written.
(Witness) a . a e, ayor
ATTEST:
.C~-RTIFICATE
I, Janet R. Dougherty, City Clerk of the City of Sanford, Florida,
do hereby certify that a true and correct copy of the foregoing Ordinance No.
3426, PASSED and ADOPTED by the city Cor~ission of the City of sanford, Florida,
on the 10th day of August, 1998, was POSTED at the front door of the City Hall
in the city of Sanford, Florida, on the llth day of August, 1998.
cit~hof sanf6rd, jo~r~l~da
Ordnance No. 3426 Page 51 orS1
INDEX
SECTION TITLE PAGE #
1 Intent and Purposes ....................................... 1
2 Definitions .............................................. 2
3 Conflicting Provisions ..................................... 5
4 Use of Streets ........................................... 5
5 Grant of Authority; Franchise Requirements ..................... 8
6 Franchise Characteristics .................... : .............. 8
7 Franchise Subject to Other Laws ............................. 9
8 Interpretation of Franchise Terms ............................. 9
9 Grant of Franchise ....................................... 10
10 Complaints ............................................. 12
11 Rates ................................................. 12
12 Indemnification ......................................... 13
13 Service Area ........................................... 15
14 Franchise Fee ........................................... 15
15 Maps ................................................. 17
16 Reports and Records ..................................... 17
17 Discrimination Prohibited .................................. 19
18 Waiver ................................................ 20
19 Taxes ................................................. 20
20 Transfers .............................................. 20
21 Application for Grant, Renewal, Modification
or Transfer of Franchises .................................. 21
22 Minimum Facilities and Services ............................. 26
23 Minimum Customer Service Standards ........................ 28
24 Customer Complaints ..................................... 32
25 Renewal of Franchise ..................................... 33
26 City Rights ............................................. 36
27 Grantee Rules .......................................... 37
28 Performance Bond ....................................... 37
29 Security Funds .......................................... 38
30 Subscriber Privacy ....................................... 39
31 Technical Standards ...................................... 40
32 Enforcement Remedies .................................... 41
33 Revocation of Franchise ................................... 41
34 Penalties .............................................. 44
35 Procedures ............................................. 45
36 Continuity of Service Mandatory ............................ 47
37 Performance Evaluation ................................... 48
38 Administration .......................................... 48
39 Personal Liability of City Officials ........................... 49
40 Applicability ............................................ 49
41 Timeliness by Grantee .................................... 50
42 Severability ............................................ 50
43 Effective Date .......................................... 51
ii