(A) Grounds for Revocation. The city reserves the right to revoke any franchise granted hereunder and rescind all rights and privileges associated with the franchise in accordance with the Communications Act and with the procedures set forth herein in the following circumstances, each of which shall represent a default and breach under the chapter and the franchise grant:
(1) If the grantee shall default in the performance of any of the material obligations under this chapter or under such documents, contracts and other terms and provisions entered into by and between the city and the grantee.
(2) If the grantee shall fail to provide or maintain in full force and effect the liability and indemnification coverage or the performance bond as required herein.
(3) If the grantee shall violate any orders or rulings of any regulatory body having jurisdiction over the grantee relative to this chapter or the franchise and after notice thereof, shall continue the violation and not remedy the same within 60 days.
(4) If the grantee practices any fraud or engages in any unfair or deceptive act or practice with regard to the city or cable subscribers under the laws of this state.
(5) Failure by the grantee to comply with FCC regulations and properly maintain its FCC approvals and permits.
(6) If any construction is to be performed and the grantee's construction schedule is delayed later than the schedule submitted to the city by the grantee or beyond an extension granted by the city.
(7) The grantee becomes insolvent, unable or unwilling to pay its debts or is adjudged bankrupt.
(8) Failure to restore service after 132 consecutive hours of interrupted service, except when written approval of such interruption is obtained from the city.
(9) Material misrepresentation of fact in the application for or negotiation of the franchise or any extension or renewal thereof.
(10) If the grantee ceases to provide services for any reason that is within the control of the grantee over the cable communications system.
(B) Effect of Circumstances Beyond Control of Grantee. The grantee shall not be declared at fault or be subject to any sanction under any provision of this chapter in any case in which performance of any such provision is prevented for reasons beyond the grantee's control. A fault shall not be deemed to be beyond the grantee's control if committed by a corporation or other business entity in which the grantee holds a controlling interest, whether held directly or indirectly.
(C) Court Order. Grantor and grantee will abide by the terms of any stay order issued by a court of competent jurisdiction.
(D) Procedure Prior to Revocation.
(1) The city shall make written demand that the grantee comply with any such material requirement, limitation, term condition, rule or regulation or correct any action deemed cause for revocation. If the failure, refusal or neglect of the grantee continues for a period of 60 days following the written demand, the city shall place its request for termination of the franchise upon a regular Council meeting agenda. The city shall cause to be served upon the grantee at least 14 days prior to the date of the Council meeting, a written notice of this intent to request termination and the reason therefore, and the time and place of the meeting, notice of which shall be published by the Clerk to the City Council at least once, ten days before such meeting in a newspaper of general circulation with the city.
(2) The Council shall hear any persons interested therein, and shall determine in its discretion, whether or not any failure, refusal or neglect by the grantee was with just cause.
(3) If such failure, refusal or neglect by the grantee was with just cause, as reasonably defined by the city, the Council shall direct the grantee to comply within such time and manner and upon such terms and conditions as are reasonable.
(4) If the Council shall determine such failure, refusal, or neglect by the grantee was without just cause, then the Council shall, by resolution, declare that the franchise of the grantee shall be terminated and bond forfeited unless there be compliance by the grantee within 90 days.
(5) Evidence admitted shall be in any reliable form so long as it is relevant, material, and not unduly repetitious.
(E) Disposition of Facilities. In the event a franchise is revoked or otherwise terminated, the city may, in its sole discretion, do any of the following:
(1) Purchase the system under the procedures set forth in § 61.029.
(2) Effect a transfer of ownership of the system to another party.
(3) Order the removal of the system facilities required by public necessity from the city within a reasonable period of time as determined by the city or require the original grantee to maintain and operate its system for a period of six months or until such further time as is mutually agreed upon.
(F) Restoration of Property. In removing its plant, structures and equipment, the grantee shall refill, at its own expense, any excavation that shall be made by it and shall leave all public ways and places in as good a condition as that existing prior to the grantee's removal of its equipment and appliances without affecting the electrical or telephone cables, wires, or attachments. The owners shall inspect and approve the condition of the public ways and public places and cables, wires, attachments, and poles after removal. The liability, indemnity, insurance and performance bond as provided herein shall continue in full force and effect during the period of removal and until the grantee has fully complied with the terms and conditions of this paragraph, this chapter and the franchise.
(G) Restoration by City; Reimbursement of Costs. In the event of a failure by the grantee to complete any work required by the city by resolution, law, or ordinance within the time as may be established by the city and to the satisfaction of the city, the city may, following notice to the grantee, cause such work to be done and the grantee shall reimburse the city the cost thereof within 30 days after receipt of an itemized list of such costs or the city may, at its option, recover such costs through the performance bond provided by the grantee. The city shall be permitted to seek legal and equitable relief to enforce the provisions of this section.
(H) Extended Operation. Upon either the expiration or revocation of a franchise, the city may require the grantee to continue to operate the system for a period of six months from the date of such expiration or revocation, or until such time beyond six months as is mutually agreed upon. The grantee shall, as trustee for its successor in interest, continue to operate the cable television system under the terms and conditions of this chapter and the franchise and provide the regular subscriber service and any and all of the services that may be provided at the time. The city shall be permitted to seek legal and equitable relief to enforce the provisions of this section.
(Ord. 99-38, passed 7-6-99)