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HomeMy WebLinkAbout1977-12-06; City Council; 5207-2; La Costa Community Antenna Systems* CITY OF CARLSBAD Initial: AGENDA BILL NO. S3&7 ' -^ rfyijL^Ot ** 3, Dept. Hd. DATE: December 6, 1977 DEPARTMENT: Public Works - Utilities & Maintenance Subject: ACCEPTING CORPORATE SURETY BONDS IN THE AMOUNT OF $25,000; LA COSTA COMMUNITY ANTENNA SYSTEM. Statement of the Matter Section 5.28.090 of the Carlsbad Municipal Code requires that all Cable TV franchises file a corporate surety bond in an amount approved by Council, as a condition of awarding the franchise. La Costa Community Antenna System has executed an agreement (Exhibit A) accepting the franchise and has posted a corporate surety bond in the amount of $25,000. This amount was arrived at during discussions held on October 14, 1977 and is considered reasonable based on degree of completion of the system and is comparable to other jurisdictions. Exhibit B, provides further information on this matter. EXHIBITS: A. Executing copy of Agreement by La Costa Community Antenna System. B. Memo from Director of Utilities & Maintenance to City Manager of November 28, 1977. RECOMMENDATION: If Council concurs with staff, set the bonding amount for La Costa Community Antenna System at $25,000 by minute motion. Council action 12-6-77 The City Council set the bonding amount for La Costa Community Antenna System at $25,000. November 28, 1977 MEMORANDUM TO: City Manager FROM: Director of Utilities & Maintenance SUBJECT:Executed Franchise Agreement; La Costa Community Antenna System, Inc. La Costa Community Antenna System, Inc. delivered an executed agreement accepting the Cable TV franchise in accordance with Ordinance 6058 at 1:30 p.m. on November 28, 1977. The completed agreement and supporting documentation (corporate bond, certificate of insurance and Equal Oppor- tunity Employment and Affirmative Action Plan) are on file in the City Clerk's office. Council has no further action on this matter other than to approve the amount of the corporate surety bond. La Costa has submitted a corporate surety bond in the amount of $25,000 based upon staff recommendation at a meeting held on October 14, 1977 with La Costa and Daniel's. The bonding amount discussed with Daniel's at that time was an amount of $125,000. Daniel's has submitted a letter requesting reduction to that amount, but at this time negotiations are continuing. It is recommended that Council approve a surety bond in the amount of $25,000 for the La Costa Community Antenna System. [R W7T3REER Crector of Utilities RWG:pag & Maintenance AGREEMENT AN AGREEMENT BY La Costa Community Antenna System, Inc. accepting the franchise granted by Ordinance No. adopted by the City Council of the City of Carlsbad, California, on nptnhpr 1ft > 19 22 • RECITALS WHEREAS, the City of Carlsbad, after public hearing, adopted Ordinance No. 6058 on October 18 , 19 77 , to grant to La Costa Community Antenna System, Inc., a nonexclusive franchise for a cable television service in certain designated areas of the City of Carlsbad; and WHEREAS, said Ordinance No. 6058 set the terms and conditions of said franchise, including the incorporation by reference of all of the provisions of Chapter 5.28 of the Carlsbad Municipal Code (Ordinance No. 6055, as amended by Ordinance No. 6057); and WHEREAS, said Ordinance provides that the franchise is not effective until the franchisee has filed a written acceptance of the grant with the City Clerk, which accepts each and every term and condition and limitation contained in Chapter 5.28 of the Carlsbad Municipal Code or said Ordinance; and WHEREAS, the franchisee is required by said Ordinance and Chapter 5.28 to agree to hold the City harmless and to file a surety bond with the City Clerk; NOW, THEREFORE, BE IT RESOLVED that La Costa Community Antenna System, Inc. agrees as follows: 1. That all of the above recitations are true and correct as set forth above and are, and shall be, a part of this agreement. 2. That by the execution of this agreement, La Costa Community Antenna System, Inc. hereby makes its written acceptance of the franchise granted by Ordinance No. 6058 , in accordance with the provisions of said Ordinance and Chapter 5.28 of the Carlsbad Municipal Code. 3. That La Costa Community Antenna System, Inc., the franchisee of the above-referenced franchise, hereby accepts every term, condition and limitation contained in said franchise or in Chapter 5.28 of the Carlsbad Municipal Code (Ordinance No. 6055, as amended by Ordinance No. 6057) and hereby agrees to fulfill the same as franchisee thereunder. That franchisee also agrees to be bound by and comply with and do all the things required by the provisions of that franchise and Chapter 5.28 of the Carlsbad Municipal Code as it now exists, or as it may be hereafter amended. 4. That La Costa Community Antenna System, Inc., hereby submits for approval its bond in the amount of $25,000. 5. That the franchisee hereby agrees to indemnify and hold harmless the City, its officers, boards, commissions, agents and employees against, and from any and all claims, demands, causes of actions, actions, suits, proceedings, damages (including but not limited to damages to city property and damages arising out of copyright infringements, and damages arising out of any failure by franchisee to secure consents from the owners, authorized distributors or licensees of programs to be delivered by franchi- see's cable television system), costs or liabilities (including costs or - 2 - liabilities of the city with respect to its employees) of every kind and nature whatsover, including but not limited to damates for injury or death or damage to person or property, regardless of the merit of any of the same, including reasonable attorney fees, reasonable accountant fees, reasonable expert witness or consultant fees, court costs, reasonable per diem expense, traveling and transportation expense or other provable and reasonable costs or expense arising out of or pertaining to the exercise or the enjoyment of the franchise granted to La Costa Community Antenna System, Inc. by Ordinance No. 6058 or the granting thereof by the City. LA COSTA COMMUNITY ANTENNA SYSTEM, INC, DATED: November 17, 1977 Vice- President ^p***4-&u T Secretary (NOTE: The Signatures of the persons authorized to sign for franchisee must be notarized) APPROVED AS TO FORM: VINCENT'F. BIONDO, JR. City Attorney - 3 - CERTIFICATE OF CITY CLERK I hereby certify that the foregoing acceptance of franchise was received by me at £,'&7 $fy./?.M.t on the ^/ day of Nt>iJetfbe.r , 19 77 . MAR6ARETE. ADAMS, CityClerk