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HomeMy WebLinkAbout1977-10-18; City Council; 6057; CMC 5.28.010/030-050/140/210 amend - Cable TV franchise regs revision1: 1; n 2( 21 22 22 24 2E 26 27 28 ORDINANCE NO. 6057 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, AMENDING TITLE 5, CHAPTER 5.28 OF THE CARLSBAD MUNICIPAL CODE BY THE AMENDMENT OF SECTIONS 5.28.010, 5.28.030, 5.28-040, 5.28.050, 5.28.140 AND 5-28.210 TO REVISE THE REGULATIONS REGARDING THE FRANCHISING OF CAB&E TELEVISION SYSTEMS IN THE CITY OF CARLSBAD The City Council of the City of Carlsbad, California, does irdain as follows: SECTION 1: That Title 5, Chapter 5.28, Section 5.28.101 of :he Carlsbad Municipal Code is amended by the amendment of Subsections (1) and (8) to read as follows: 'I (1) "Cable Television System", "CATV" and "CTV" shall mean my facility that, in whole or in part, receives directly or indirectly over the air, and amplifies or otherwise modifies the signals transmitting programs broadcasted by one or more television >r radio stations and distributes such signals by wire or cable :o subscribing members of the public who pay for such service and rhich uses any public street in the city or any other public >roperty of the city or any privately owned area within the city Jhich has not yet become a public street but is designated or ielineated as a proposed public street on any subdivision map ipproved by the city for said distribution. (8) "Gross Annual Revenues" shall mean any and all compen- ;ation and other consideration received directly and indirectly )y the Grantee as a result of the construction, maintenance and )peration of a cable television system. Any sales tax, service, :ent, occupational or other excise tax to the extent such taxes ire charged separately to any user of the system and are remitted )y the Grantee to the taxing authority shall not be considered." SECTION 2: That Title 5, Chapter 5.28, Section 5.28.030 If the Carlsbad Municipal Code is amended by the amendment of iubsection (a) (8) to add the following: .nd either or both have reached 3,500 subscribers, the Grantee lay petition the City Council and request a modification of .his requirement. rould be to preclude unnecessarily duplicating studio facilities n the city. uitable equivalent to the studio requirement. "In the event there are two or more systems in the city The intent and purpose of such request Grantee shall present the City with a plan for a Suitable 1 2 c r 4 € zc 13 12 0 B 1€ 1s 2c 21 22 2: 24 25 26 27 28 equivalents to the studio requirement will be determined by the City Council which shall be a condition of approval of any modifi- cation pursuant to this subsection." SECTION 3: That Title 5, Chapter 5.28, Section 5.28.030 of the Carlsbad Municipal Code is amended by the amendment of Subsection (d) to read as follows: "(a) The Grantee shall interconnect the system with any or all other cable systems in San Diego County, or elsewhere, as follows: (I) When the system has reached a level of 3,500 subscribers Grantee shall interconnect said system with all other systems within the City. channel, one direction, headend to headend communication applying the technical standards contained in Parts 76 or 78 of the Federal Communications Commission Cable Television Regulations. in this Section shall serve to prohibit Grantee from implementing the interconnection of the systems above described prior to reachinc a level of 3,500 subscribers; the Council directs and may be done by direct cable connection, microwave link, satellite, or other appropriate method. Inter- connection may be required for origination and access channels that are determined by Grantee and City to be technically and economically feasible; (3) Upon receiving the directive of city to inter- connect, the Grantee shall immediately initiate negotiations with the other affected system or systems in order that costs may be shared equally for both construction and operation of the interconnection link; interconnect or rescind its request to interconnect upon petition by the Grantee to the Council. request if it finds that the Grantee has renegotiated in good faith and has failed to obtain approval from the system or systems of the proposed interconnection, or that the cost of the interconnection would cause an unreasonable or unacceptable in- crease in subscriber rates; corporation, regional interconnection authority or county, state or federal regulatory agency which may be hereafter established for the purpose of regulating, facilitating, financing or other- wise providing for the interconnection of cable systems beyond the boundaries of the city; (6) Initial technical requirements to assure future interconnection capability will be: operate within the city shall use the standard frequency allocations for television signals. processors at the headend for each television signal. Said interconnection shall provide one Nothing (2) Interconnection with other systems shall occur when (4) City may grant reasonable extensions of time to The Council shall grant said (5) The Grantee shall cooperate with an interconnection (i) All cable systems receiving franchises to (ii) All cable systems are required to use signal 2. 1 2 3 4 5 6 7 8 9 10 11 0 18 19 20 21 22 23 24 25 26 27 28 (iii) All local origination equipment is required to be compatible in order that videocassettes, or videotapes can be shared by various systems." SECTION 4: That Title 5, Chapter 5.28, Section 5.28.030 of the Carlsbad Municipal Code is amended by the amendment of Subsection (f) (7) to read as follows: "(f) (7) When there have been similar complaints made or where there exists other evidence, which, in the judgment of the City Manager casts doubt on the reliability or quality of cable service, the City Manager shall have the right and authority to compel the Grantee to test, analyze and report on the performance of that part of the system involved in the problem. Such test or tests shall be made at Grantee's expense by an independent third party selected by the City but in no case shall tests upon the same part of the system be conducted more frequently than once every two years. The results of such test or tests shall be delivered to the City no later than fourteen days after the City formally notifies the Grantee. Such results shall include the following information: the nature of the complaint which pre- cipitated the special tests; what system component was tested; the equipment used and procedures employed in said testing; the results of such tests; and the method in which such complaints were resolved. Any other information pertinent to the special test shall be recorded. ed to requiring tests, analyses, and reports covering specific subjects and characteristics based on said complaints or other evidence when and under such circumstances as the City has reason- able grounds to believe that the complaints or other evidence require that tests be performed to protect the public against substandard cable service." The City's right under this provision shall be limit- SECTION 5: That Title 5, Chapter 5.28, Section 5.28.040 of the Carlsbad Municipal Code is amended by the amendment of Subsections (a) and (b) to read as follows: "(a) In consideration of the granting and exercise of a franchise to use the streets, as herein defined, for the operation of a cable television system, any Grantee shall pay to the city, during the life of the franchise, in the manner, and at times directed in a Council resolution, a franchise fee of three percent of its gross annual revenues. of Grantee under the franchise and the right to audit and re- compute any and all amounts payable under this ordinance, City may require that any reports or financial statements result- ing from such audit or recomputation be certified by a certified public accountant. The cost of said audit and certification, if any, shall be borne by Grantee if it results in an increase of (b) The City shall have the right to inspect all records The 3. 1 2 3 4 5 6 7 8 9 10 11 12 n a m 5 13 .a E5 14 z 5a sz>2 mi341 15 u:. 3a +>wO z~~ci 16 8aNS 17 52 y >I- a 4 E - 0 18 19 20 21 22 23 24 25 26 27 28 a more than two percent in the Grantee's annual payment to the City. City shall bear such costs if the audit results in a smaller payment to City or if such increase is less than two per- cent. '' SECTION 6: That Title 5, Chapter 5.28, Section 5.28.050 of the Carlsbad Municipal Code is amended by the amendment of Subsection (j) to read as follows: "(j) Upon expiration or other termination of a franchise granted herein, the Council may require that Grantee continue to operate its cable television system upon the same terms and con- ditions as contained in the franchise until the effective date of any new franchise granted which includes the area of the old franchise. Unless the old Grantee and the new Grantee otherwise agree, the new Grantee shall purchase the old Grantee's cable, conduit, amplifiers, auxiliary equipment, headends and transmit- ting equipment, etc. If the parties cannot agree on a price, then the matter shall be determined by arbitration as set forth in this section. In the case of an expiration, the arbitrator shall determine the fair market value of the system as a going concern with due consideration given to the then state of the art and any obsolescence of the assets and equipment concerned. In the case of a termination for a material breach, the arbitrator shall determine the value of the system on the basis of its fair market value with no value assigned to the franchise with due considerati given to the then state of the art and any obsolescence of the assets and equipment concerned. SECTION 7: That Title 5, Chapter 5.28, Section 5.28.140 of the Carlsbad Municipal Code is amended by the amendment of Subsection (d) to change the words "10 percent" in the second to last sentence to read "more than 20 percent". SECTION 8: That Title 5, Chapter 5.28, of the Carlsbad Municipal Code is amended by the amendment of Section 5.28.210 to add Subsection (k) to read as follows: "(k) Grantee shall submit to City copies of a11 reports, correspondence or other communications between Grantee and the Federal Communications Commission." 4. EFFECTIVE DATE: This ordinance shall be effective thirty days after its adoption, and the City Clerk shall certify to the adoption of this ordinance and cause it to be published at least once in the Carlsbad Journal within fifteen days after its adoption. INTRODUCED AND FIRST READ at a regular meeting of the Carlsbad City Council held on the 4th day of October 1977 and thereafter. PASSED AND ADOPTED at a regular meeting of said City Council held on the18th day of October I 1977 by the following vote, to wit: AYES: NOES: None Councilmen Frazee, Lewis, Packard and Skotnicki ABSENT: Councilwoman Casler ATTEST : (SEAL) 5,