Loading...
ORD1981388ai * (Re: Cablo TV Franchise) THE COMMON COUNCIL OF THE CITY OF MUSKEGO, WAUKESHA COUNTY WISCONSIN, DO ORDAIN AS FOLLOW::: SECTION 1: Section 1.2.19 of Chapter 12 of the Municipal 12.19 Cable TV franc:hise (1) It is the purpose of this Code is hereby created to read as follows: ordinance to grant to RVS Cablevision Corporation a non-exclusive franchise to construct, maintain, and operate a CATV system in the City of hluskego, Wisconsin and to set forth the obligations and rights of the City and Grantee accompanying said grant. (2) This Ordinance rlhall be known, and may be cited as 0 the "City of Muskego Cable Franchise Ordinance" and shall become Section 12.19 of the Municipal Code of the City. (3) Definitions. For the purpose of this Ordinance, the following terms, phrases, words and their derivations shall have meaning given herein. When not inconsistent with the context, words used in the present tense include the future, words in the plural number include the singular number, and words in the singular number not merely directory. include the plural number. The word "shall" is always mandatory and (a) "City" means thi, City of Muskego, Wisconsin, or any duly appointed designate thereof. (b) "Common Council" means the present governing body of the City or any successors to the legislative powers of said body, or any duly appointed designattt thereof. (c) "Cable system", "cable communications system" or"CATV system" means a system, located within the City of Muskego only, of electronic equipment or facilities designed, constructed or used for the production of television signals, interception and receipt of television or radio signals directly or indirectly off the air, and the distribution or transmission of such signals and other communications services by means of cable or'other similar devices to subscribers. e antennas, coaxial cables, wires, wave guides, or other conductors, any purpose the cable service Of the.0rantee. (d) "Subscriber" means any person or entity receiving for (e) "Person" means any person, firm, partnership, association, corporation, company or organization of any kind. '. Wisconsin. of money or its equivalent which the Grantee has received for providing basic service to its subscribers, including income from pay cable, advertising and leased access; provided that installation charges actually paid by subscribers and received by the Grantee shall be excluded from gross receipts in determining payments due to the (f) "Grantee" means RVS Cablevision Corporation, Wauwatosa, (9) "Gross receiptell means total receipts of the Grantee City. (h) "Channels" means a group of frequencies in the electro- magnetic spectrum capable of cnrrying an audio-data or an audio-visual television signal. Each channel is a block of frequencies containing GMIlz bandwith. -1 - (i) "Converter" means an electronic device converts signals to a frequency not susceptible to interference with the television receiver of a subscriber,' and tby an appropriate channel selector also permits a subscriber to view all signals delivered at designated dial locations. e (j) "Basic serviceP meqs the simultaneous delivery by the Grantee to television recei.vers, of those broadcast and nop- broadcast television channels which are required to be provided by subsections (7) (b) I., (7) (b) 2., (7) (b) 3., (7) (b) 4. I (7) (b) 5.e and (7) (b) 7, of this Ordinanc,e. (k) "Additional service" means a service provided by the Grantee other than a basic service. (1) "Franchise" means the right, privilege, and authority granted by this Ordinance to Ccmstruct, maintain and operate through use of public 'streets of the City. right of way in the City. (m) "Street" meanri any street, alley or other public (n) "User" means tt person utilizing a channel for purposes of production or transmission of material, as contrasted with receipt thereof, in a subscriber capacity. (0) "The Grantee's system8' or "the system" or "the cable system" or "the CATV system" means the CATV system consttucted or operated by the Grantee pursuant to the franchise granted herein, (p) "Access channels" means the channels which the Grantee is required to provide by subsections (7) (b) 3, (7) (b) 4, (7) (b) 5, and (7) (b) 6 of th:Ls Ordinance. (4) "Public acces:3 channel" means that channel which the Grantee is required to provide by subsection (7) (b) 3, of this Ordinance. (r) "Educational :access channel" means that channel which the Grantee is required to pro.vide by subsections (7) (b) 4 of this Ordinance. (6) "Municipal access channel: or "government access channel" means that channel which the Grantee is required to provide by subsection (7) (b) 5 of this Ordinance. e Grantee is required to provide by subsection (7) (b) 6 of this Ordinance. (t) "Leased access channel" means that channel which the (u) "FCC" means the Federal Communications Commission. communications signal without the express prior consent of the sub- (v) "TO monitor" means to observe a one-way. or two-way scriber receiving or sending said communication signal, whether said signal is observed by visual or electronic means, for any purpose whatsoever. (w) "Grantee's proposal" means and encompasses the fol- w lowing two documents: 1. the document entitled "An Application for the Con- struction and Operation-of a Cable Television System to Serve the City of M.uskego, 'Wisconsin, submitted to the office of the City Clerk of the City of Muskego by RVS Cablevision Corpora.tion, IWauwatosa, Wisconsin; dated October 30 1980, and amended April 17', 1981. 2. a cover letter from Richard V. Steffen, President of RVS Cablevision Corporation, dated October 27, 1981. * -2- (4) Use of City Streets. (a) Grant of Authority. 1. There is hereby,grant,ed by the City the right, privilege and franchise to construct, ope:rate and maintain a CATV system id the streets of the City for a period of fifteen (15) years, this time period to begin one month after the passage, acceptance and conditions and restrictions as :hereinafter provided. @effective date of this Ordinanoe, subject to the rights, obligations, 2. The right to use and ~sccupy said streets for the purpose .' -;;erein set forth shall not be e:xclusive and the City reserves the right to grant a similar use of said streets to any person at any time during the period of this Pranchise. 3. This Ordinance and thme franchise awarded pursuant to the terms of this Ordinance shall rselate to and cover the entire present territorial limits of the City ;and any area hereafter annexed there- to during the term of the franchise. The Grantee agrees to and shall instal1,and furnish CATV service to all residents of the City. (b) Expiration of the Gr:mt. 1. After the expiration of the term for which the franchise is granted, the City shall have the maintain the CATV system pendin:g the decision of the City as to the right to determine whether the Grantee shall continue to operate and future maintenance and operation of the system. 0 have the right to purchase the IGranteeIa cable system. Should the 2. Upon the expiration of this franchise, the City shall City decide to purchase said cable system, it shall do so at a price not to exceed its then fair value. In determining the fair value of the system, the original cost of all tangible and intangible property, as well as the salvage value, the book value, the re- placement cost, cash flow, and other factors may be considered. Under no circumstances shall any valuation be made for "good will" or for any right or privilege granted by this franchise Ordinance. Payment for the cable system shall be rendered to the Grantee within 120 days after the City has exercised its right in this area. 3. In the event that the City elects to purchase said cable system, or the franchise to operate said cable system is awarded to a new Grantee, upon expiration 'of this franchise the Grantee shall sell the system to the City or to the new Grantee, whichever is applicable. The price .for such sale shall be the fair value of the system, as defined in subsection 2, of this section. 4. In order to assure necessary or required investment in the 0 terms and provisiomof this Ordinance are followed by the Grantee system during the lnter years of the permit, and provided that all throughout the term of this Ordinance, and as feasible, the City shall make all reasonable efforts to assist the Grantee in finding a buyer for its cable system upon expiration of this franchise in the case that this franchise is not extended or renewed for the current Grantee. (c) Conditions Regarding Street Use. 1. All transmission and distribution structures, lines and equipment erected by the Grantee within the City shall be located so as not to interfere with the proper use of streets, alleys, and other public ways and places, and to cause minimum interference with the rights or reasonable convenience of Property owners who adjoin any of the said streets, alleys or other public ways and places, and not to interfere with existing public utility installation. All installations shall be underground in those areas of the City where either of the public utilities providing telephone or electric service are underground at the time of installation. In areas where both telephone and electric utility distribution facilities are above ground at the time of the installation the Grantee may install its facilities above ground but in such case the Grantee to the maximum extent possible and subject to approval by the affected public utilit.y, shall place its facilities on the poles of said public utilities. underground, the facilities of the Grantee shall go underground If, subsequently, said telephone or electric utility facilities go simultaneously. The use by the Grantee of any facilities Or installations of a telephone or electric utility and the conditions -3- of said uses shall be deterrnimd by negotiations between the Grantee ' and said utility. 2. In case of any disturbance of pavement, sidewalk, drive- way, or other surfacing, the Grantee shall, at its own expense, and in the manner provided by the City, replace and restore all paving, sidewalk, driveway, or other surface of any street or alley disturbed. 3. If at any time during the period of the franchise the City shall lawfully elect to alter or change the grade or location of any street, alley or other public way, the Grantee shall, upon reasonable notice by the City, remove, relay and relocate its poles, wires, cables, and underground fixtures at its own expense, and in each instance comply with the requirements of the City. * 4. The Grantee shall nsot place poles, conduits, wires or other facilities above or below ground where the same will interfere with or endanger any gas, electric or telephone facilities, water hydrant or other utility, nor shall the Grantee place poles, conduits, wires or other iacilities above or below ground in a manner which results in the public utility facility violating any applicable safety statute, ordinance or admtniatrative regulation. 5. The Grantee shall, on request of any person holding a moving permit issued by the City, temporarily move its wires or fixtures to permit the moving of buildings, the expense of such and the Grantee shall be given not lees than forty-eight (48) hours temporary removal to be paid by the person requesting the same, advance notice to arrange for euch temporary changes. 6. The Grantee shall have any authority that the city has to give to trim any trees upon and overhanging the streets, alleys, Of such trees from coming in contact with the wires and cables of the sidewalks and public places of the City so as to prevent the branches Grantee, except that at the option of the City, such trimming mav be e4 I dullc by it, or under its supervision ond direction, at the &enk and liability of the Grtrwtee. (d) Removal of Equipment. 1. Following the Grantee's commence- nwnt of service through and over its CATV system the Grantee, upon request of the City Common Council, shiill, following a public hearing held pur- suant to subsection (13) of this Ordinance, promptly remove from the public streets and other public: ways where its properties are located all or any of the facilities so located when one or more of the following enumerated conditions occur: of the services required in this Ordinance for a a, The Grantee ceases to provide a substantial amount continuous period of six months. a provided herein, b. The Grantee fails to construct said system as c. The franchise expires, or is revoked pursuant to notice, as provided herein. % .. 2. Provided that the Grantee shall be entitled to receive notices in writing from the Cit,y delivered to tho local office of the Grantee setting forth one or more of the occurrences hereinabove enumerated. (e) Joint Use by City and Utilities. 1. The Grantee may be required by the City to permit .joint use of its property and appurtenances located in the streets, alleys, or other public ways of the City, by other utilities insofar as such joint use may be reasonably practicable and upon payment of reasonable rental there- fore; provided that in the absence of agreement regarding such joint use, the City Common Council shall provide for arbitration of the terms and conditions of such joint use and the compensation to be paid therefrom, which award shall be final. 2. The City shall have the right, during the term of this -4- franchise, to install and maintain free of charge upon the property of the Grantee its own equipment, including, but not lirnlted to, a police alarm system, on the condition that such equipment does not unreasonably interfere with the CATV operations of the Grantee. e (5) Initial System Install!atiop Schedule. (a) Obligations 4 of the Grantee. 1. The Grantee shal1,:vithin thirty (30) days from the date hereof, make application to the Federal Communications nunission for a registration for the establishment of a cable levision system in the City and, if necessary, for the utilization of a microwave facility to lmporr. permissible signals, and the Grantee shall prosecute such application diligently and faithfully in order that necessary approvals can be obtained in the shortest possible time. The City reserves the right to intervene in said application for a registration, and the Grantee shall pay all expenses incurred by the City in connection with the submission and defense of an application f0r.a registration filed with the FCC by the Grantee. 2. The Grantee shall, within thirty (30) days from the date hereof, begin negotiations with utility companies for facility lease agreements. 3. Prior to the commencement of construction and prior to receipt of final approvals from the Federal Communications the necessary engineering studies so that the construction can com- mence immediately upon final approval of the Federal Communications Commission. Commission for establishment of the system, the Grantee shall conduct 4. The Grantee shall, within sixty (60) days from the date hereof, begin preliminary engineering of the pole line route and electronic layouts, begin negotiations for common carrier microwave contracts, and initiate engineering surveys for the receiving site and building locations of the Glrantee's CATV system. 5. The Grantee shall commence construction of the cable television system no later than thirty (30) days after the execution of pole attachment agreements and receipt of final approval from the Federal Communications Conurdssion to establish a cable television system and utilize a microwave facility to import permissible signals. 6. There shall be significant construction for the first ytur ~rnd I\ suhotrnttnl pcrccntngw extension of enersized trunK cable to 25% of the franchised households per year for its first four (4) lor each ensuing year. The Grantee shall extend energized trunk cable years of operation as a minimum standard. If possible, the Grantee shall complete construction of the system within the City within twenty-four (24) months after construction commences. Once energized cable has been extended to 25% of the franchised households,the Grantee shall commence providing basic service to subscr.ibers residing in said 25% of the frenchised households. The Grantee shall pro- vide basic service to other portions of the franchised households as soon as feasible after the !laying of energized trunk cable in any of said other portions. 7. Within six (6) months from the grant of permission by the Federal Communications Commission, the Grantee shall submit to the Comrlon Council an installation plan for the entire City, in- dicating the date on which the Grantee expects the installation of CATV system to be completed and available for service to subscribers in the various areas to the Ci.ty. 8. The Grantee shall furnish the Common Council with progress @ reports indicating in detail tlhe area of construction of the CATV system. Such periodic reports shall be furnlshed at six (6) month intervals, with the first report to be made three months after the construction commencement date. 9. The requirements established in subsections (1) through (8) above are maximums, and the Grantee may at any time proceed at a rate faster than required by said subsections (1) through (8) above. The Common Council shall have the riglit to inspect all construction or installation work performed pursuant to the pro- visions of this Ordinance. (6) Financlal Considerations. (a) Franchise Payments. 1. The Grantee shall pay to the City for the use of the streets and other facilities of the City in the operation of the CATV system and for the municipal supervision thereof a fee in the amount of 3% of the annual gross receipts of the Grantee. The Grantee shall file with the Common Council within thirty (30) days after the expiration of each half Year ending on January 1, and July 1, during the period thitr franchise shall be in force, a financial statement showing in detail the annual gross receipts e. of the Grantee during the preceding semi-annual period, It shall be the duty of the Grantee to pay to the City at the time of filing such statement the franchise fee Prescribed. The Grantee shall nlso file within ninety (90) days following the conclusion of each fiscal.year of the Grantee an annual report prepared and audited by an independent Certified Public Accountant, showing the yearly total gross receipts and payments to the City and any further relevant financial information in regard to the company as may be required by the City. 2. In the event this franchise should be terminated or forfeited prior to the end of the basic fifteen year term, the Grantee shall within thirty (30) days submit to the Common Council a financial statement preparedl as before required, showing the gross receipts of the Grantee for the time elapsed since the last period for which the Grantee has paid to the City the required percentnge of gross annual receipts, and the Grantee shall pay to the City not later than thlrty (30) days following the termination of the franchise, a like percentage of such gross receipts. 3. In the event that any payment is not made on or before the applicable date fixed in Subsections 1. and 2. hereof, interest on such payments shall apply from such date at the yearly rate of 12% plus cost of collection. 4. Pursuant to subsection (.13) of this Ordinance, the Common Council shall have the right to inspect the Grantee!s records showing the gross receipts from which its franchise payments are computed. The right of audit and recomputation of any and all amounts paid under this franchise shall be always accorded to the Common Council. No acceptance of any payment by the City shall be construed as R release of or an accord or satisfaction of nny clnim the City might have for further or additional sums payable under the the terms of this Ordinance or for any other performance or obligation of the Grantee hereunder. 5. Payments of compensation made by the Grantee to the City pursuant to the provisions of this Ordinance shall not be considered in the nature of a tax but shall be in addition to any and all taxes which are now or hereafter required to be paid by any law of the United States, the State of Wisconsin or the City. (b) Insurance and Indemnity 1. At all times during the term of the franchise, the Grantee shall obtain, pay all premiums for and file with the Common Council at least ten (10) days before construction of the system commences a certificate of insurance or other proof evidencing the payment of premiums for the following. policy indemnifying, defending: and saving harmless the City, its officers, boards, committees, commissioners, agents, or employees, to or death of a person or persons occasioned by the operations of from any and all claims by any person whatsoever on account of injury been so caused or occurred with a minimum liability of $1,000.000 the Grantee under the franchise herein granted or alleged to have for bodily injury or death of any one or more persons in any one e a. A general comprebensive public liability insurance occurrence. Said policies are to include personal injury coverage and clvll rlghts coverage. saving harmless the City, its officers, boards, committees, commissions b. Property damage insurance indemnifying, defending and -6- agents and employees from and a.gainst all claims by any Person what- soever for property damage occasioned by the operation of the SO caused or occurred with a minimum liability of ~5~~~~~~ for property damage in any one occurrence. *Grantee under the franchise herein granted Or alleged to have been 2. All of the foregoing insurance contracts shall be in Common Council and shall be maintaided by companies authorized to form satisfactory to the City Attorney, shall be accepted by the do business in the State of Wisconsin acceptable to the City Attorney. Said insurance cont~racts~shall require 30 days written notice of any cancellation to both the City and the Grantee. e 3. The Grantee shall :also, at its sole cost and expense, fully indemnify, defend and hold harmless the City, its officers, boards, committees, conunission;s and employees against any and all claims, suits, actions, liability and judgements for damages and disbursements and liabilities assumed by the City in connection (including but not limited to expenses for reasonable legal fees therewith): a. Arising out of any claim for invasions of the right of privacy, for defamation of any person, firm or cor- poration, or for the violation or infringement of any copyright, trademark, trade name, service mark or patent, or of any other right of any person, firm or corporation (excluding claims arising out of or relating to City programming for:violation of a person's civil rights). e b. Arising out of the Grantee's failure to comply with the provisions of any Federal, State, or local statute, ordinance or regulation applicable to the Grantee in its business hereunder. 4. The foregoing indemnity is conditioned upon the following: The City shall give the Grantee prompt notice of the making of any claim or the commencement of any action, suit or other proceeding covered by the provisions of this Section. Nothing herein shall be deemed to prevent the City from cooperating with the Grantee and participating in the defense of any litigation by its own counsel at its sole cost and expense. (c) Surety Bond 1. The Grantee shall maintain, and by its acceptance of this franchise specifically agrees that it will main- tain throughout the term of this franchise, a faithful performance bond running to the City, with a good and sufficient surety approval by the City Attorney in the sum of $50,000 conditioned that the Grantee shall well and truly observe, fulfill and perform each term and condition of this franchise and of the Grantee's proposal and from the principal and sureties thereof the amount of all damages including all costs and attorney's fees incurred by the City, prox- imately resulting from the failure of the Grantee to well and faith- franchise. fully observe and perform any and all of the provisions <of this 0 that in case of any breach, the City shall be entitled to recover 2. No recovery by the City of any sum by reason of the bond required herein shall be any limitation upon the liability of the Grantee to the City, except that any sum received by the City by reason of the bond required herein shall be deducted from any recovery which the City might have against the Grantee, e (d) Acceptance of this Ordinance 1. This Ordinance and its terms and provisions shall be accepted by the Grantee by written be, and filed with the City Clerk within twenty (20) days after the instrument executed and acknowledged by it as a deed is required to passage of this Ordinance. Such written instrument shall state and express the acceptance of this Ordinance and its terms, conditions and provisions; and said Grantee shall agree in said instrument to abide by, to observe and perform same, and declare that statements and recitals herein are correct and that it has made and does make this agreement, statements and admissions in this Ordinance recited to have been or to be made. e' 2. This Ordinance shall take effect twenty (20) days after -7- terms and conditions by the Gra~,tec as herein provided in form approved by the City Attorney crnd the acceptance fee of not more than actual cost incurred to City 111 franchise award in the form of certified or cashier's check shall both have been filed and deposited virh the City Clerk within such twenty (20) days. The Grantee shall also bear the publication costrs for this Ordinance. If one or both of the aforementioned is not filed or deposited as required, this Ordinance shall not take effect but.shall be null and void. The instrument of acceptance or an exec.u,ted counterpnrt thereof shnll expense within thirty (30) dayrs after the same is filed with the City Clerk. The recorded copicte of such acceptance shall be obtained and preserved by the City Clerk. * flnii1 ,bacario!l providcd such focrnal acceptancc hereof 0 filed for record in the off:Lce of the City Clerk at the Grantee's 3. Snid acceptance fee fshall be utilized by the City to cover thc cxpclnses which it has incurred to date in choosing u cublo Lrunchiw and formulating this Ordinance. (7) Services to be Provided. (a) General Requirements. 1. The grantee sball intttall, maintain and operate its system in accordance with the highest standards of the art of cable com- munications and in accordance with any Code Of Conduct which has been adopted or shall be adoptod by the National Cable Television Association. 2. The Grantee shall render efficient service in accordance with such rules and regulationo as have been promulgated and will be promulgated by the Federal Communications Commission and other federal and state regulatory agencies. e 3. The Grantee shall provide a uniform, strong signal, free from distortion and interference, and shall not interrupt services unless absolutley necessary. 4. The Grantee shall provide cable television services which are identical to those sttrvices which the Grantee described in the Grantee's proposal; provided, that said Grantee shall not have to provide any proposed sctrvices which have been disapproved by the Federal Communications Commission; provided further that the Grantee ahall, upon petitioning the Federal Communications Commission for a registration,requeat that said Grantee be allowed to provide all of those services which said Grantee has formally proposed to the City. 5. Except where specifically atated otherwise in this Ord- inance the Grantee shall arranh:e to provide all feasible services requested by potential users 01: said services, including the Common Council. If no rate has been established tor a particular service, a rate may be established pursuant to Section 9 of this Ordinance; provided that if the Comn Council finds that fairness and equity require that said service be provided free of charge, the Common Council may require that said rtervice be provided free of charge. 6. It shall be the right of all subscribers to receive all available services insofar as their financial and other obligations to the Grantee are honored. In the event that the Grantee elects to overbuild, rebuild, modify, or sell the system, or the City revokes or fails to renew this permit, or the City elects to purchase the system, the Grantee shall do everything in its power to ensure that all subscribers receive continuous, uninterrupted service regardless of the circumstance. In the event of purchase by the City, or a change of Grantee, 1:he current Grantee shall cooperate with the City, or with a representative appointed by the City to operate the system for a temporary period, in maintaining continuity of service to all subscribers. 7. Modification Of services offered and/or provided to any e served by the Grantee within the Milwaukee metropolitan Of service shall be tendered wi.thin One year of its first being provided area Shall also be offered to tihe City. Such offer and/or provision to any by the Grantee. The City shall not be obligated to accept such offer without due consideration. -8- (b) Channel Alloca,tions. 1. Off the Air Programmi,ng: a. The Grantee shall carry the signals of the following e television stations: (i) WTMJ-TV, Milwaukee, Wisconsin, Channel 4 (ii)WITI-TV, Milwa.ukee,.Wisconsin, Channel 6 (iii)WISN-TV, Milwwrtukee, Wisconsin, Channel 12 4 (iv)WTV, Milwaukee, Wisconsin, Channel 18 (v) WYVS, Milwaukee, Wisconsin, Channel 10 (Vi)WMVT, Yilwaukue, Wisconsin, Channel 36 (vii) WGN-TV, Chicalgo, Illinois, Channel 9 (viii) WELD-TV, Chiciago, Illinois, Channel 32 (ix)WTTW, Chicago, Illinois, Channel 11 (x) WHA-TV, Madison,, Wisconsin, Channel 21 (xi) WCIU-TV, Chicago, Illinois, Channel 26 b. The Grantee shall carry the signals of other TV stations pursuant to the present and future regulations oP the FCC. c. The Grantee shall carry a minimum of thirty radio channels which may be received on conventional FM receivers, con- nected to the Grantee's cable system. 2. Local Origination. The Grantee shall devote at least one channel to locally originated programming. The Grantee shall also submit a plan, subject to' the approval of the Common Council, stating the proposed number of channels which will be provided for additional services including channels to be devoted to locally originated programs. Said p1a.n shall contain an estimate oP the total number of broadcast hours per week per channel which the Grantee proposes to devote to local programming, the types of local programs it proposes to originate, and a provisonthat the Grantee shall submit to the Common Council each year a proposed programming schedule for locally originated channels. The City reserves the right to require reservation of one channel for City government and the dissemination of public information through the City Government. 3. Public Access Channel. a. Upon inauguration of the cable system's subscriber service, 1;he Grantee shall provide one fully operational channel as a non-discriminatory basis. Production facilities on this channel shall be made available without cost for live studio presentations of five (5) minutes or less. If such presentation exceeds five (5) minutes, fees for the use of the public access channel shall be limited to producti0.n costs at- tributed soley to personnel and equipment utilized in live studio presentations. This channel f;hall also be made available on a first- come, non-discriminatory basis, without fee, to the public for cable- The Grantee shall provide, at no cost to the public access users, equipment and personnel for cablecasting one-half (1/2) and one (1) inch color video tape and six.teen millimeter (16mm) sound movie film. Continuation of the public access channel shall be determined by the Common Council. * casting of programs prepared on video tape or film for presentation. b. Within twelve (1.2) months after the date of final adoption of this Ordinance, the Grantee shall complete a set of rules for the use of the public access channel which shall be promptly for- warded to the Common Council. The rules shall be prepared, to the The rules shall, at a minimum., provide for: greatest extent possible, in cooperation with the Common Council. -9- (i) access on a first-come, first-served, non-discriminatory basis for all reSident,s of the city: purposes, as defined by the FCC; (11) prohibition of advertising for commercial or political (ill) prohibition of any presentation of lottery information or obscene or Indecent material; provided that in saip rules the definition of obscene or indecent material shall conform to any such definition contained in any ordinance of ,the city which is currently in effect or which is subsequently passed 86 the Common Council; time, which shall be :retained for the duration of this franchise; (iv) public inspection of the log of requests for access (v) procedures by which individuals or groups who violate any rule may be preve:ated from further access to the channel; and negotiated equipment, negotiated technical support as are provided for in this franchise. (vi) free use of such reasonable amounts of channel time, 4. Educational Access Channel: Upon the inauguration of the operational channel for educational use. This channel shall be provie cable system’s subscriber service the Grantee shall provide one fully without charge for a period of five (5) years, said time commencing at completion of the cable system basic trunk line. Continuation of this channel shall be determined by the Common Council. 5. Municipal Access Cha.nne1: Upon inquguration of the cable system subscriber service, the Grantee shall provide one fully oper- ational channel for government use. This channel shall be provided without charge for a period of fifteen (15) years, said time commencing at completion of the cable system basic trunk line. Continuation of this channel shall be determined by the Common Council. 6. Leased Access Channel: Said cable system shall provide at least one channel which is reserved for leasing purposes. When not in use, said channel is to be used as an additional public access, education, or government channel, if the demand for such an additional channel exists. 7. Whenever all public nccess channels or all educational access channels or all government access channels are in use during the eighty percent (80%) of the weekdays (Monday through Friday) for eighty percent (80%) of the time during any consecutive three-hour period for six (6) consecutive weeks, the Grantee shall make an additional channel of like type available within six (6) months. The Grantee may make a one-t:tme charge for time and materials for this service. Such additional chrtnnel shall be operated on the same basis nnd in accordance with the sune rules as all other access channels. (c) Programming Facilities. 1. The Grantee shall provide a full color local origination television studio within the metropolitan simultaneous live and taped or filmed programming in separate facili area. This studio shall be constructed to enable preparation of within the studio, and at least one facility shall provide for audie I)&” participation. 2. The Grantee shall provide one full color mobile unit for local origination purposes. 3. The Grantee shall provide a studio with two black and white cameras for users of the public access channel. e -10- rs provide the necessary equipment for transmitting a signal from the 4. The Grantee shall upon the request of the Common Council City Hall. 5. The Grantee shall make its local origination studio and mobile unit facilities, including color cameras and other equipment, available for use by those persons and organizations utilizing the public access, educational, and government channels on the Grantee's cable system, subject to reasonable rules and regulations established by the Common Council pursuant to subsection (9) (e) of this Ordinance. 6. The Grantee shall provide all reasonable technical and programming assistance to all parties programming on the Grantee's cable system. 7. The Grantee shall make all reasonable efforts to encourage the use of its non-broadcast channels. \ (d) Emergency or Disaster. In the event of an emergency or disaster, the Grantee shall, upon request of the Mayor of his duly authorized representative, make available its facilities to the cits at no charge for emergency use during the period of such emergency or disaster and shall provide such personnel as necessary to properly operate under the circumstances. (e) Customer Service. 1. The Grantee shall maintain an office in the city in a location convenient to the public which shall be open during all usual business hours, have a listed telephone, and be so operated that complaints and requests for repairs or adjustments may be received at any time. 2. The Grantee shall respond to all service calls and Complaints and shall correct malfunctions in its equipment as promptly as possible. The Grantee shall respond to requests for service within 24 hours after request within said 24 hours, the Grantee shall refund 1/30 of Its its reception of said requests. If the Grantee does not respond to a following a request for service, except to the extent that the Grantee is prevented from responding to said request for service by strike, injunction, or other cause beyond the control of the Grantee. 0. monthly charge to a subscriber for each 24 hours or fraction thereof 3. The Grantee shall cmomply with the method for settling consumer complaints established pursuant to Section (13j.(:1) G. Of this Ordinance. 4. The Grantee shall not engage in the business of srlling, s(!rvicinfi, installinfi. or leasing television or radio receivers, converters, or antennae. be engineered, installed, maintained, operated and equipped TI,(! Technical C0nfigurat:ion and Capacity. (a) The cable system so to* 3t all times, meet the technical standnrds \vhicll (:UrrC!nt "state of the Rrt" or cnble communicntions industry. by the FCC, including specificzitions for frequency boundaries, visual carriers, frequency levels, aural carrier frequency levels, channel other standards which the FCC may set. tiIp also at all times meet the technical st:indards establjshcd (c) The facilities used by the Grantee, including studio, mobile and local origination programming equipment, shall be: capable' of producing and distributing color TV signals, and when the signals the Grantee distributes are received in color, they shall be dis- tributed in color unless' techmically unfeasible. the cnpacity for two-way comnlunicativns in accordance with the re- gulations of the Federal Communications Commission now in effect or which may be promulgated. (d) The cable system shall be engineered and installed with (e) The cable system shall utilize a single trunk, providing a frequency range of 54 to 300MHz. (f) The Grantee shall utilize microwave distribution systems where necessary to fulfill all of the representations made to the City in the Grantee's proposirl. (9) The converters utilized in the cable system shall be capable of delivering thirty-six (36) television channels. (h) At the option of any individual subscriber, the Grantee shall install a switching device upon said subscriber's television receiver whereby said subscriber may disconnect his television receiver from the Grantee's cable system in order to receive over- the-air television signals. The price of this device to said sub- scriber shall be the cost of said device to the Grantee, or less nt the option of the Grantee, and the Grantee shall not charge the subscriber any fee for the installtion of said device. The Grantee e shall make all reasonable efforts to obtain said devices at the low- est possible cost to him. (i) At the option of any individual subscriber, the Grantee shall provide a device which allows said individual subscriber to utilize a key to disconnect those channels providing additional of said device shall be the cost of said device to the Grantee, or services to the subscriber, such as pay-TV channels. The price less at the option of the Grantee, and the Grantee shall not charge the subscriber any fee for the installation of said device. The Grantee shall make all reasmable efforts to obtain said devices at the lowest possible cost to him. (9) Rates. (a) .Rate Schedule. 1. The rate charged subscribers shall be fair and reasonable. Said rates shall also be nondiscrim- below. inatory, except as provided in Subsections 2., 3., 4., 6., and 7., to charge rates not exceeding those set forth as follows: e (i) For a First cutlet to provide basic service to 2. Initial Rate Schedule: a. The Grantee shall be permitted residential subscribers, a monthly fee of $8.00; (ii)For installation of a first outlet to provide basic service to residential1 subscribers, a fee of $25.00; (iii)For additional outlets to provide basic service to residential subscribers, a monthly fee of $3.00 per outlet, and an installation fee of $15.00 per outlet; provided that installation no charge to the subscriber if said installation is ordered by fee of said additional outlet shall be undertaken by the Grantee at the subscriber to occur at the same time as the installation of an a outlet for which a fee is charged; (iv)For reconnection of.an outlet to provide basic service to a subscriber, after said subscriber has been disconnected from the Grantee's cable system, an installation fee of $15.00; (v) For relocation of an outlet to provide basic service 'e to a subscriber within a su'bscriber's residence, a fee of $15.00; (vi)For installation of an outlet to provide basic service to a residential subscriber who has moved to a new residence with- in the City of Muskego and had subscribed to the Grantee's cable -. ? ': - system at his old residenoe within the City of Muskego until the time at which he moved, a fee of $15.00; provided that if the Grantee must install a new drop atsaid subscriber's new residence, the Grantee may charge the fee specified in subsection (ii)above; 0 required to be provided by subsection (7) (b) 1.c. of this Ordinance (vii) For a first outlet to provide the radio services no monthly fee nor installtion fee to the subscribers of the basic service provided by the Grantee; ! I required to be provided by subsection (7) (b) 1.c. of this Ordinance, a monthly fee of $5.00 and an installation fee of $15.00 to parties who do not subscribe to the basic service provided by the Grantee. (viii)For a first outlet to provide the radio services (ix) For additional outlets to provide the radio services required to be,provided by subsection (7) (b) 1.c. of this Ordinance, a monthly fee of $1.00 per outlet, and an installation fee of $10.00 per outlet; provided that installation of said additional outlet shall be undertaken by the Grantee at: no charge to the subscriber if said installation is ordered by the subscriber to occur at the same time as the installation of an outltrt for which a fee is charged; (X) For reconnection of a subscriber's radio outlet after said outlet has been disconnected, a fee of $15.00; within a subscriber's residence, a fee of $15.00' (xi) For relocation of a subscriber's radio outlet (xii) For motels, apartment houses, and other multi- unit dwellings, rates, fees, and charges as stated in the Grantee's proposal. b. All fees set forth in subsection (9) (a) 2.a.above include charges for converters and no additional charge for converters shall be made. c. The Grantee shall :at no time whatsoever charge any fee for disconnecting any outl'et in the residence of any subscriber. 3. The Grantee. shall :provide, without charge, one outlet to each municipally owned building, fire station, police station, library, public and parochial school, and institution of higher learning that is passed by its cable. If more than one outlet is required at any of said locati,ons, the Grantee shall install same at the cost of time and material only, and in no event will there be a monthly service charge at said locations. e CATV system by the Grantee shall be as set forth in the Grantee's proposal. 4. Rates for all other services to be provided over the 5. If the Grantee desires to provide new services not set forth in the Grantee's proposal, the rates for such.services shall be approved pursuant to subsection (9) (b) of this Ordinance. 6. Nothing in subsection (9) (a) 1. above shall be con- strued to prohibit the reduction or waiving of charges in conjunction nor shall this provision be interpreted to prohibit the establishment with promotional campaigns for the purpose of attracting subscribers, of a graduated scale of charges and classified rate schedules to which any subscriber or programmer included within a particular classification shall be entitled; provided that said classified rate schedules are approved by the Common Council pursuant to subsection(a) (b) of this Ordinance. 7. Nothing in subsection (9) (a) 1. above shall prohibit e special rates for large institutions, motels,. multiple-family dwelling units, or any other type of dwelling or building; provided that said special rates are approved by the Common Council, pursuant to sub- section (9) (b) of this Ordinance. -13- 8. The rates establiished in subsection (9) (a) 2. and (9) (a) 4. above shall not be subjsect to increase through the first three years following commencement of service. 9. The Grantee will construct the cable system and provide service throughout the franchise area at the normal installation charges, so long as the averagle density of construction is 50 homes per cable mile or greater. Whsere the average density is less than 50 homes per cable mile, service will be provided subject to the a Company's line extension formula, shown below: In any area where thse average density is less than 50 homes per cable mile, the system shall bear its prorata share of the cur- e rent aerial construction cost 'based on the actual number of potential subscribers per mile divided by SO, The remaining construction cost will be borne on a prorata basis by each actual cable television applicant commiting to service within the prorata extension. Mileage will be measured from the end 'of the nearest trunk cable. After completion of the extension, should additional sub- scribers request cable television service, then the Prorata shares shall be recalculated. Each new subscriber shall pay the new Pro-rata share and all prior applicants shall receive Pro-rata funds. At such time as there are said 50 potential subscribers per mile, the subscribers shall receive a return of their pro- rata share of said current aerial construction costs, In any event, at the end of two (2) years from the completion of said project, the applicants are no longer eligible for refunds, and the amount paid in construction costs will be retained by the Grantee. (b) Rate Supervision. 1. The Grantee may decrease the rates to subscribers at any time. All rate increases above maximums pre- viously approved, advance charges for additional services and con- verters, classified rate schedules, and special rates for certain dwellings or buildings shall not go into effect until approved by the Common Council, pursuant to subsection (9) (b) 2. and (9) (b) 3. below. 2. The Common Council shall approve rates, pursuant to this Section(S)(b)only after a public hearing has been held on the rate change in question. Said public hearing shall be announced by written notice published in a newspaper of general circulation at least ten (10) days before the date of the hearing, At said public hearing, the Grantee must make such showing as the Common Council requires to substantiate the necessity for the rate change in question. 3. The Common Council shall either approve said rate change or fail to do the same through the use of a resolution. e 4. The Comon Council reserves the right to review and approve rates for new services. If fairness and equity require that a new service be provided free of charge, the Common Council may require that said service be provided free of charge. (c) Advance Charges. 1. The Grantee may require sub- scribers to pay for each month of basic service and FM service in advance at the beginning of each month. No other advance payment or deposit of any kind shall be required by the Grantee for basic subscriber service. No deposit or advance payment of any kind shall of the Common Council. Additional advance payments may be made be charged for the provision of any converter without prior approva available, as an option, by the Grantee to subscribers. Nothing in this provision shall be construed to prohibit charges for initial installation and reconnection. 2. The Grantee may make available or require advance charges or deposits for various additional services, provided that the Common Council shall have authorized such charges or deposits, pursuant to subsection (9) (b) of this Ordinance. * (d) Termination of Service. 1. If any subscriber fails to pay ;L properly due monthly subscriber fee, or any other properly due fee or charge, the Grantee may disconnect the subscriber's service -14- outlet. Such disconnection shall not be effected until sixty (60) days after the due date of said delinquent fee or charge, or until ten (10) days after adequate written notlce of the intent to disconnect has been delivered to the subscriber in question. After disconnection, upon payment of the dellnqueni; fee or charge and the payment of a recommended charge, the Grantee shall promptly reinstate the subscriber's cable service. 2. Upon termination of service to any subscriber, the Grantee shall promptly remove all bf its facilities and equipment from the premises of such subscriber upon his written request. The service wlll be disconnected at the poles if above ground or at the connection box If under ground so that such disconnection shall be outside rather than inside the home. For multiple family dwellings such disconnection shall be made in the basement or other appropriate service area outside the living area itself. Any such removal shall be at no cost to the subscriber. a', (e) Refunds to Subscribers and Programmers. 1. If the Grantee fails to provide any material service requested by a subscriber or programmer, the Grantee sha.11, after adequate notification and being afforded the opportunity to provide the service, promptly refund all deposits or advance charges paid for the service in questions by said subscriber or programmer. the first twelve (12) months of said service because of the failure 2. If any subscriber terminates any monthly service during of the Grantee to render the service in accordance with the standards 0 set forth in this franchise, the Grantee shall refund to such subscriber multiplied by the fraction of the twelve (12) month period for which the subscriber will not be receiving service. to subsection (7) (e) 2. of this Ordinance, 3. The Grantee shall make refunds to subscribers pursuant (10) Protection of Individual Rights. (a) Discriminatory Practices Prohibited. The Grantee shall not deny service, deny access, or otherwise discrimin,ate against subscribers, programmers, Or general citizens on the basis of race, color, religion, national origin, creed, or sex. Nothing in this provision shall be construed to prohibit the reduction or waiving of charges in conjunction with promotional campaigns for the purpose of attracting subscribers, nor shall this provision be, interpreted to prohibit the establishment of a graduated scale of charges and classified rate schedules to which any subscriber or progra.mmer included within a particular classification shall be entitled. 0 out of the construction, maintenance and operation of its CATV (b) Employment Prac.tices of the Grantee. In the carrying system, the Grantee will not ddscriminate against any employee or applicant because of race, creed, color, religion, sex, or national origin. The Grantee shall strictly adhere to the equal employment opportunity requirements of the FCC, as expressed in Section 76.13 (a) (8) and 76.311 of Chapter 1 of Title 47 of the Code of Federal Regulations. The Grantee shall comply at all times with all other applicable Federal, State, City and County laws, and all executive and administrative orders relating to non-discrimination in employment. The Grantee will take affirmative action to ensure that applicants are employed, and that employees are treated during employment, with- out regard to their race, creed, color, sex, religion or national origin. Such action shall inc,lude, but not be limited to the following: advertising, layoff or termination, rates of pay or other forms of compensation, and selection for training, including apprenticeship. The Grantee shall post in conspicuaus places, available to employees and applicants for employment, notices setting forth .the provisions of this non-discriminatory clause. The Grantee shall, in all solicitation: or advertisements for employees placed by or on behalf of the Grantee, e state that all qualified applicants will receive consideration for employment without regard to race, creed, color, sex, religion, or of this paragraph in all of its contracts for work relative to national origin. The Grantee will incorporate the foregoing requirements construction, maintenance and operation of the CATV system, other than '* employment, upgrading, demotiamn or transfer, recruitment or recruitment I -15- contracts for standard commercial supplies or raw materials, and will require all of its contractors for such work to incorporate such re- quirements in all subcontracts for such work, (c) Cable Monitoring. Neither the Grantee, nor any governmental bureau, department, unit, agency or entity, at the federal, state, County, or local level, no anh other person or entity, shall Inonitor, or arrange for the monitoring of, any e cable, line, Signal input device, .or subscriber outlet or receiver for any purpose whatsoever. (d) Right Of Privacy. 1. The Grantee shall not transmit any signal to or from any dwelling or any other building without the express authorization of the owner of said dwelling or other building; provided that where said owner has leased said dwelling or other building or a portion thereof, said express authorization shall be obtained from the lessee and not from the owner. 2. Nothing in this section shall diminish any rights of residents of dwellings or other buildings protected by Section (10) (e) of this Ordinance. (e) Rights of Residents. 1. An owner or operator of an apartment building, condominium, nursing home, or any other rental facility may not interfere with or charge a fee for the installation of cable facilities for the use of a lessee of said property or premises, except that such owner or operator may require: a. Installation to conform to reasonable conditions a necessary to protect the safety, appearance and func- tioning of the premises; b. The Grantee, occupant, or tenant to pay for the installation, operation or removal of such facil- ities; or c. The Grantee, occupant or tenant to agree to indemnify the owner or operator for any damages caused by the installation, operation or removal of such facilities. 2. It shall be unlawful for the Grantee to reimburse or offer to reimburse any person, or for any person to demand or receive reimbursement from the Grantee, for the placement upon the premises of such person of Grantee's facilities necessary to connect such person's premises to the distribution lines of Grantee to provide CATV service to said premises. 3. A landlord may not discriminate in the amount of a rent charged to tenants or occupants who receive cable services and to those who do not, 4. The Grantee may not take actions which would diminish or interfere with the privilege of any tenant or other.occupant of any such building to use or avail himself of master or individual antenna equipment. (f) Sale of Subscriber Lists Prohibited. The Grantee shall not sell, or otherwise make available, lists of the names and addresses of its subscribers, or any list which identifies, by name, subscriber viewing habits, to any person, agency, or entity, for any purpose whatsoever. (11) Rights Reserved to the City. (a) The rlght is hereby reserved to the City to adopt, in addition to the provisions contained herein and In existing applicable ordinances, such additional regulations as it shall find necessary in the exercise of the police powers; provided, that such regulations, by ordinance or otherwise, shall be reasonable and not in conflict with the rights herein grante a (b) Nothing in this Ordinance shall limit the right of the City to acquire the cable system of the Grantee through the exercise of eminent domain, condemnation proceedings or otherwise. -16- . (c) Nothing con.tained in this ordinance shall be con- strued to limit or in any way impair the powers and authorities of * the City of Muskego, except a:3 expressly stated in this Ordinance. (12) Protections Afforded the Grantee (a) Tampering with Cable Equipment. A person who willfullY Or maliciously damages, or causes to be damaged, any wire, cable, conduit, apparatus or equipmept of the Grantee, or who commits any act with intent to the Grantee, or who taps, tampers with, or connects any Wire Or device to a wire, cable, conduit QT equipment of the Grantee with intent to obtain a signal or impulse therefrom without authorization of the Grantee, shall be subject to a forfeiture of not more than $200.00 as determined by the court and shall be liable in a civil action for three times the actual amount of damages sustained thereby, but this section shall not prevent a public utility from removing, disconnecting or otherwise rendering inoperable any of Grantee's apparatus or equipment attached or in any way connected to such public utility's facilities, if done for reasonable cause. cause damage to any wire, cable, conduit, apparatus Or equipment of - (b) Liability of the Grantee in Libel Action. The Grantee or its agents shall not, in an action for slander or for publishing a libel, be held liable in damages for or on account of any defamatory matter uttered, telecast, cablecast, or published over the facilities of the Grantee by any person whose utterance, telecast, cablecast, or publication is not, under the provisions of any law of the United States or any regulation, ruling or order of the Federal Communications Commission, subject to censorship or control by the Grantee. e (13) Supervision of the Grantee. (a) Books and Records of the Grantee, 1. The Grantee shall file with the City Engineer accurate copies of maps and/or plats of the location and character of all existing and proposed installation over, upon, or under the streets. These maps and plats shall conform to the requirements of the City Engineers, shall be kept continuously up-to-date, and shall be filed at least quarterly. 2. The Grantee shall continually keep on file with the Common Council current list of its shareholders, holding 5% or more of the outstanding stock, and officers, with their current addresses. These lists must also be included in the annual report of the Grantee required In subsection (6) (a) 1. of this Ordiance 3. All books and records of the Grantee concerning its operations within the City, including but not limited to all income tax returns and financial records of the Grantee, shall be made available for inspection and audlt by the Common Council or or audit shall be made. its designate thirty (30) days after any request for such inspection required by the FCC. Copies of said records and all other rules 4. The Grantee shall keep and maintain all records and regulations, terms and conditions established by the.Grantee for the conduct of his business shall be filed with the Common Council at the local office of the Grantee. 5. Copies of all petitions, applications and corn- * Commission, Securities and Exchange Commission, or any other munications submitted by the Grantee to the Federal Communications federal or state regulatory commission or agency haveing jurisdiction in respect to any matter affecting cable operation shall also be submitted simultaneously to the City by filing the same with the City Clerk. 6. The Grantee shall maintain records of those subscriber of such reception, and the time at which it responded to said complaints and requests for siervice which it has received, the time subscriber complaints and requests for service. Every two months, The Grantee shall also keep ft copy of said records at its local copies of said records shall be submitted to the Common Council. office. 7. The Grantee shall keep and maintain a complete i - 17- record of all persons or groups requesting time on its access channels. Said record shall be made avai.lable for public inspection and a copy of said record shall be submit.ted to the cable review committee. 8. All records required by this Subsection (13) (a) shall be kept on file by the Grantee for the duration of this franchise. (b) Revocation of this Franchise. 1. In addition to all other rights and powers pertaining to the City by virtue of this Ordinance or otherwise, the City reserves the right to revoke, terminate and cancel the franc:hise and all rights and privileges of the Grantee hereunder in tt.\e event that: of this Ordinance, any material provision of the a. The Gra.ntee violates any material provision Grantee's proposal, or any rule, order or determination . of the City madle pursuant to this Ordinance, except where such violation, other than subsection b. below, is without fau1.t or through excusable neglect; or b. The Grantee becomes insolvent, unable or unwilling to pa.y its debts, or is adjudged a bank- rupt; or c. A receiver or trustee has, at least one hundred and twenty (120) days beforehand, been appointed to take over and conduct the business of the Grantee, wh.ether in receivership, reorganization, bankruptcy, or other action or proceedings unless such receivership or trusteeship shall have been vacated prior to the expiration of said one hundred and twenty (120) days, or unless; (i) within one hundred and twenty (120) days after his election or appointment, such rec- eiver or trustee shall have fully complied with all the provisions of this Ordinance and remedied all defaults thereunder; and (ii) such receiver or trustees, within said one hundred and twenty (120) days, shall have executed an agreement, duly approved by the court having jurisdiction in the premises, whereby such receiver or trustee assumes and vision of this Ordinance; or agrees to be bound by each and every pro- d. There has been a change in the control of the Grantee requiring the consent of the Common Council, pursuant to subsection (13) (c) of this Ordinance, and such consent has been denied or not given; or material provisions of this Ordinance or practice any e. The Grantee attempts to evade any of the fraud or deceit upon the City; or f. The Grantee fails to have service available to ninety percent (90%) of the residential structures in all areas of the City where there are at least fifty (50) residential structures per line within 0 four (4) years after receipt of authorization from all required governmental agencies and acceptable pole attachment agreements have been obtained by the Grantee; provided that this period may be extended by the Common Council if the Grantee is diligently pursuing such authorization and pole attachment agreements and the delay is not caused by any fault of the Grantee or results from strikes, natural disaster or other occurrences over which the Grantee would have no control. - 18- g. The Grantee intentionally violates or permits the violation of subsection (10) (c), (10) (d) or (10) (f) of tlnis Ordinance; h. The Grantee intentionally violates or permits the violation of subsection (13) (a) 3. of this 0 Ordinance. occur only after a public he:aring has been conducted by the Common Council. If as a result of :said public hearing, the Common Council 1) approves and recommends revooation, termiqation, and cancellation, the Common Council may put s.uch revocation, termination, and cancel- lation into effect by ordina.nce duly adopted after thirty (30) days notice to the Grantee. Such revocation, termination, and cancellation shall in no way affect any of the rights under this Ordinance or any provisions of law. In the event that such revocation, termination. and cancellation depends upon a finding of fact, such finding of fact, as made by the Common Council shall be conclusive; provided, how- ever, that before the franchise may be revoked, terminated, and cancelled under this Section, the Grantee must be provided with an opportunity to be heard before the Common Council. 2. Such revocation, termination and cancellation shall 3. In the eve'nt that the City revokes, terminates, and cancels this permit, pur.suant to appropriate provisions of this Ordinance, the City shall have the right to purchase the Grantee's cable system at a :price not to exceed its then book value (that is, original cost of property less accumulated depreciation). The book value shall be determined by the City in accordance with generally accepted appraisal and accounting principles. Under no circumstances shall any valu.ation be made for "good will" or any right or privilege granted b:y this Ordinance. After purchasing the Grantee's cable system, the (City shall have the right to sell said cable system to another operiator if the City so chooses. for any act to be performed by or on behalf of the Grantee, such 4. Whenever t:his franchise shall set forth any time time shall be deemed of the essence and any failure of the Grantee to perform within time allot.ted shall always be sufficient grounds for the City to revoke this :franchise. 5. If grounds for the revocation of this franchise exists, the Common Council may, pass a resolution imposing any penalty or sanction including a modification of the franchise term not amounting to revocation, upon the Grantee; provided that said penalty or sanction not amounting to revocation is agreed upon by both the Grantee and the Common Council. If no agreement is reached between the Grantee and the Common Council, the Common franchise. 0 Council shall decide whether or not to revoke the Grantee's shall not be assigned or transferred either in whole or in part or leased, sub-let or mortgaged in any manner, nor shall title there- to either legal or equitable, or any right, interest, or property Grantee or by operation of lltw without the express consent of the therein, pass to or vest in llny person either by the act of the Common Council. The grantink:, giving or waiving of any one or more of such consents shall not render unnecessary any subsequent consent or consents. (c) Restrictions against Assignment. 1. This franchise I 2. The Grantee shall promptly notify the Common Council of any actual or proposed change in or transfer of, or acquisition by, any other party of control of the Grantee. Within sixty (60) days after receiving said notice, the Common Council shall hold a public hearing on this matter and within ninety (90) days shall make its decision on this matter. For the purpose of determining whether it will consent to such change, transfer, or acquisition of control, the Common Council may inquire into the * qualifications of the prospective controlling party, and the Grantee shall assist the Common Counail in any such inquiry. 3. Every change, transfer or acquisition of control of -19 - the Grantee with respect to whi.ch tbe consent Of the C0mmon Council is required. pursuant to suboection 1. abwve, shall make this fran- chise subject to revocation unless and until the Common Council shall have consented thereto.. In the event that the Common Council denies consent, and such change, transfer, or acquisition of control has been effected, the City may revoke this permit unless control of the Grantee is restored to its status prior to the change, or to a status acceptable to the Common Council. a 4. Upon the foreclosure or other judicial sale of all or a substantial part of the Grantee's cable system, or upon the termination of any lease covering all or a substantial part of said system, the Grantee shall notify the Common Council of such a. fact, and such notification shall be treated as a notification that a change In control of the Grantee has taken place, and the pro- visions of subsection l., 2., and 3. above shall apply. 5. The consent or approval of the Common Council to any assignment, lease, transfer, sub-lease, or mortgage of this franchise shall not constitute a waiver or release of the rights of the City in and to the streets. 6. Nothing in this Section shall be deemed to prohibit mortgage or pledge of the cable system equipment or any part thereof or a leasing by the Grantee from another person of said cable system equipment or part thereof for financing purposes or otherwise. Any such morti:age, pledge, or lease shall be subject and subordinate to the rights of the City under this contract or applicable law. e (14) Intended Scope of this Ordinance. (a) Compliance with Local, State and Federal Law. 1. The Grantee shall construct, operate and maintain the CATV system subject to the supervision of all of the authorities of the City who hnve juris- diction in such matters and in strict compliance with all laws, ordinances and department rules and regulations. or any agency or official of the City are transferred by law to any other board, authority, agency or official, this board, authority, agency or official shall have the power, rights and duties previously vested under this Ordinance or by law in the Common Council or any agency or official of the Cit,y. 2. If at any time the powers of the Common Council 3. Notwithstanding any other provisions of this franchise, the Grantee shall at all times comply with all laws and regulations of the state and federal government or any administrative or regulation shall require the Grantee to perform any service or agency thereof; provided, however, if any such state or federal law shall permit the Grantee to perform any service in conflict with e the terms of this Ordinance or of any law or regulation of the City, then as soon as possible foll.owing knowledge thereof, the Grantee shall notify the Common Counc:il of conflict believed to exist between such regulations or law and the laws or regulations of the City or this Ordinance. If the Common Council determines that a material provision of this Ordinance is affected by such subsequent action, the Common Council shall have the right to modify any of the provisions herein to such reasonable extent as may be necessary to carry out the full intent and purpose of this Ordinance. Waiver of the Terms Thereof. The Grantee shall not be excused from 'e complying with any of the terms and conditions of this franchise by any failure of the City upon any one or more occasions to insist upon or to seek compliance with any such te,rms or conditions. (b) Failure of City to Enforce this Franchise No (c) Captions. The captions to sections throughout this Ordinance are intended solely to facilitate reading and ref- erence to the sections and provisions of this Ordinance. Sqch captions shall not affect the meaning or interpretation of this e (d) Severability. If any provision of this Ordinance or the application of such provision to any circumstance is held invalid for any reason whatsoever, the remainder of this Ordinance -20- . ' . -or the application of the provision to other circumstances shall not be affected thereby. (15) Limitation on the Grantee's Recourse. (a) Except as expressly provided in this franchise the Grantee herein cost, or expense or damage aritsing out of the provisions or requirements shall have no recourse whatsoever against the City for any loss, of this Ordinance or because of tha'enforcement thereof by the City. 4) (b) The Grantee, expressly acknowledges that upon accepting this franchise, it did so relying upon its Own investigation and understanding of the power and authority Of the City to grant this franchise. By the acceptance of this franchise the Grantee agrees they will not at any time set up against the City in any claim or proceeding any condition or term of this franchise as unreasonable, arbitrary or void or that the City had not power or authority to make such term or conditions of this franchise in their entirety'. (c) The Grantee by acceptance Of this franchise acknowledges that it has not been induced to enter into this verbal or written by or on behalf of the City or by any other franchise by any understanding or promise of other statement whether third person concerning any term or condition of this franchise not expressed herein. e (d) The Grantel9 further acknowledges by acceptance of this franchise that it has carefully read the terms and conditions hereof and is willing to and does accept all reasonable risks of the meaning of such terms and conditions and agrees that in the event of any ambiguity thereon or in the event of any other dispute over the meaning thereof, the same shall be construed strictly against the Grantee and in favor of the City. (16) Incorporation of the Grantee's Proposal. The Grantee's propol3a1, as defined in subsection (3)(W) of this Ordinance, is hereby iacorporated by reference into this Ordinance and shall be conside:red to be part of this Ordinance. All representations made by the Grantee in the Grantee's proposal shall be required to be performed or provided by the Grantee, and any failure by the Grantee to perfmom any act or provide any service of this Ordinance. or equipment proposed in the Grantee's proposal shall be a violation e the City of Muskego. (17) The Grantee will not locate a tower in SECTION 2. All Ordinances or parts of Ordinances inconsistant with or contravening this Ordinance are hereby repealed. SECTION 3. This Ordinance shall be in full force and effect from and after its passage and publication. Passed and Approved this J&H Day Of oV&rnBR?, 1981. * ATTEST : -21-