HomeMy WebLinkAbout38.79,,-
~,, ORDINANCE GRANTING A FRANCHISE TO VIDEO
ENGINEERING INC., TO CONSTRUCT, OPERATE,
AND MAINTAIN A CABLE TELEVISION SYSTEM "'~
WITHIN THE CITY OF SARATOGA
The City Council of the City of Saratoga does hereby ordain as follows:
Section 1: This Ordinance is enacted pursuant to the authority provided
in, and all of the provisions, terms and conditions of, Article VI of Chapter 4
of the Saratoga City Code (Sections 4-200 through 4-220), which Article is
captioned "CABLE TELEVISION FRANCHISES", as added to said Code by Ordinance 38.12
of said City, and as amended by Ordinance No. 38.12.3, Ordinance No. 38.12.4, and
Ordinance 38.12.5 passed and adopted on the 20th day of July, 1977, full and
complete copies of which Code and Ordinances are on file in the office of the City
Clerk.
Section 2: Pursuant to the provisions of said Article VI of Chapter 4
of the Saratoga City Code, a franchise is hereby granted to Video Engineering Inc.,
a corporation, hereinafter referred to as Grantee, to construct, operate, and
maintain a cable television system within the city limits of the City of Saratoga,
for a term of fifteen (15) years, subject to all of the terms, conditions, and
provisions of said Article VI of Chapter 4 of said City Code, and an option is
also granted said Grantee for a renewal of said franchise for a further term of
five (5) years, subject to all of the terms and conditions and provisions hereof
and of said Article VI of Chapter 4, provided said option is exercised by Grantee
by notice in writing to the City not less than ninety (90) days prior to the
expiration of the original term of this franchise and provided further that upon
receipt thereof a public hearing be held by the City Council for renewal of the
franchise of the Grantee at or near the end of said original fifteen (15) year
term and provided further that the City Council shall upon said public hearing
determine that the Grantee has complied with FCC rules and the terms of the franchise~
Section 3: The schedule of rates and charges and their modification as
set forth on Exhibit "A" attached hereto and incorporated herein by reference, which
schedule was filed by Grantee as required by Section 4-214(e) of the Saratoga City
Code, is hereby approved. Grantee shall charge subscribers and users an amount
not to exceed the rates and charges in said schedule. At such time Grantee may
wish to provide additional basic or non-basic subscriber services other than those
provided for in Exhibit "A", attached, or increase, modify, or add to those charges
for subscribers or users provided for in said schedule, Grantee shall submit such
request to the City Council for prior approval expressed by resolution or ordinance
before Grantee may impose such charges.
Section 4: '~Pursuant to the provisions of Section 4-206 of the Saratoga
City Code, the Grantee shall, during the term hereof, pay to the City a sum equal
to 3% of the gross annual basic subscriber and non-basic services (less cost of
product in case of pay T.V.), including advertising and channel leasing receipts of
the Grantee, such payments to be made annually, within fifteen (15) days of filing
statement for previous fiscal year (August 1 to July 31).
Section 5: The cable television system herein franchised shall be used and
operated solely and exclusively for the purposes expressly authorized by Article
VI of Chapter 4 of the Saratoga City Code, and for no other purpose or purposes
whatsoever.
In addition to the foregoing, the within franchise is additionally
made subject to the provisions as set forth in the application of Grantee, dated
March 31, 1977, save and except that if any of the matters set forth in said
application should conflict with the terms and provisions of Article VI of said
City Code, then the provisions of said Article and Chapter ~f said Code, shall
take precedence over any conflicting provisions in said original application.
Section 6: In accord with Section 4-209(c) and (d), of Article IV of Chapter
4, of the Saratoga City Code, Grantee shall proceed to render service~to~subsdriberr
no later then one year from start of construction, provided ~eqn~at~andsappli~atioh~
for.serviceuisimade..~Ser~ice~shatl~b~!made available within all areas of Service Zone
I as designated on the CATV construction schedule map, dated March 31 , 1977,
within twenty-four (24) months from start of construction.
forty-five percent (45Z) or more request service, Franchises shall within 90 days
conmence construction in Service Zone II, after obtaining all necessa.ry permits. If
less than forty-five percent (45%) of the residents request service, Franchises shall
not be obligated to expand construction to this service zone. Such solicitation for
additional service connections shall be on an annual basis to datemine if forty-five
(45%) or more of the residents desire service.
A similar process shall be followed for Service Zone III as mentioned above
after Service Zone II construction has been completed.
The Franchises shall have the right to expand the boundaries for Service Zone
I prior to the completion of construction if there is adenand for such cable
television service.
A Line Assessment Charge shall be computed and shall reflect the difference
in cost (added cost) to the Grantee for CATV cable plant construction costs, and
that cost to Grantee for equivalent CATV cable plant if home density is 60 homes
per plant mile. The cost to build CATV cable plant shall be that cost to Grantee
at that time Grantee is required to s~art pre-sell in the zone as outlined above.
This is reflected in the following fomula:
Cost of total CAT~ cable plant minus cost
Line Assessment ChargeS ~.'~ of equivalent plant at 60 homes/mile
~L'~_~,~-'~'~' '~' 5~.Of total homes
(cost of equivalent plant at 60 homes/mile =-equivalent miles x cost/mile)
total ho~es
(equivalent miles~=~ 60~
Such Line Assessment Charge shall be applied, in conformagce with the density
prescribed herein, based on the final engineering design of the:~able television
system.
Section 7: ~ursuant to Section 4-211(a) of the Saratoga City Code, the
Grantee"'shal~ post a $25,000 c~sh or surety bond concurrently with the filing of
the acceptance Award of the CA~ franchise. Said bond shall remain in effect for
the term of such franchise for the renewal thereof.
Section 8: Pursuant to Section 4-204(a) of the Saratoga City Code, the
Grantee shall construct acable television system having a minimum capacity of
eighteen (18) channels, with thirty (30) channel capacity. It is understood that
during'initial construction of the system, provision will be made for cable in all
areas where undergroundinS.occurs, for space therefore on utility poles when
rearrangements are made, and for service drops. The ultimate thi~ty~(30) channel
capacity system shall be made operational as soon as channel signals in excess of
eighteen (18) are reasonably available to Grantee, or if the state of the art provides
a greater channel capacity on the amplification system then when that capacity is
reached.
S~ction 9: Pursuant to Section 4-213(h), Grantee shall periodically update
the cable system, once installed, to conform with advances in the state of the art
to provide features which keep the system from becoming obsolete.
Section 10: If any section, subsection, sentence, clause, or phrase of this
ordinance is for any reason held by a court of competent jurisdiction to be invalid,
such decision shall not affect the validity of the remaining portions of this
ordinance. The City Council of the City of Saratoga hereby declares that it would
have passed this ordinance and each section, subsection, sentence, clause, and
phrase thereof, irrespective of the fact that any one or more sections, subsections,
sentences, clauses or phrases be held invalid or uneonstitutional.
Section 11: This ordinance shall take effect and be in full force and effect
thirty (30) days after the date of its passage and adoption; provided, however, that
the franchise herein granted shall not become effective unleab' and until Grantee
fil;~s written acceptance thereof, and an agreement to be bound by and comply with
all the requirements thereof, and otherwise complies with all the requirements of
Sections 4-211 and 4-217 of the Saratoga City Code.
The above and foregoing ordinance was regularly introduced, and after the
waiting time required by law, was thereafter passed and adopted at a regular
meeting of the City Council of the City of Saratoga on the 3 day of August ,
1977, by the following vote:
AYES: CounciJmen Bridge% Brigham, Kraus, Corr &Ma~eoni
NOES: None
ABSENT: None
:,::,,:::,
copy of ~rdin~nce
pub
DepUty Cit~ Clerk '_:_ Date
EXHIBIT A
Single Family
Hookup Fee 1st outlet $ 35.00 for houses up to
150 feet from cable line (Note)
Hookup Fee Additional Outlet $12.00 (each)
Move Outlet $12.00
Monthly Fee 1st outlet '$ 8.50
Extra Outlets $ 1.50
Converter deposit $30.00
(Note) All houses over 150 feet to pay the actual time and material costs
to construct the distance over 150 feet.
Apartments, Condominiums (Individual subscribers)
Hookup Fee (each unit) $ 35.00
Additional outlets $ 12.00 (each)
Move outlet, $ 12.00
Converter Deposit $Z30,00
(All fees the same as single family)
Bulk Rate (Unites requiring new wiring)
Hookup Fee $ 35.00 1st apt. unit (and 1st outlet
$ 20.00 each additional unit
$ 12.00 each additional outlet in a
unit.
Monthly Fee each unit $ 7.00
Bulk rate users that have existing wiring will be charged a flat
rate of $7.00 per month for all existing outlets (up to 6 per unit).
Additional outlets will be installed for a one time charge of $50.00.
No additional monthly charge will be made bulk rate users for their
extra outlets. Hookup fee for these installations will be actual cost
of time and material
Provision for a pay movie,channel after 1000 subscribers are on line at
a rate of $9.50 per month.
0F EXhiBIT A
The above rate schedule shall remain in effect for a period of two years from
the effective date of said franchise.
At the end of each two year period Franchisee may seek a rate increase for the
monthly service f~e based on a percentage amount equal to the increase in
the Consumer Price Index as published by the U.S. Department of Labor for the
United States for the two year period immediately preceeding the previous rate
adjustment.
Such request prior to being implemented by Franchisee shall be submitted
thirty (30) days in advance to City for City Council review. The City shall
have a period of 30 days in which to comment on proposed rate increase. If
a response is not forthcoming within said period, the new rate shall automatically
become effective at the end of th~rtbi~t~)dayTp~iod.
Said schedule does not include fees or rates for basic and non-basic service
other then those listed herein.
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