(a) Generally. A franchisee shall pay franchise fees to the County in the amounts designated in the franchise agreement. Franchise fees shall apply from the effective date of the franchise agreement.
(b) Payment. Franchise fee payments shall be made in accordance with the schedule in the franchise agreement or, if the franchise agreement does not specify a schedule, in quarterly installments within 30 days after the expiration of a franchisee's fiscal quarter. Each payment shall be accompanied by a financial statement listing the franchisee's gross revenues during that quarter, broken down on a monthly basis.
(c) Late payments. If a payment is not made on or before the due date, the franchisee shall pay as additional compensation:
(1) an interest charge, computed from the due date, at an annual rate equal to the average rate of return on invested funds of the County during the period for which the payment was due; and
(2) if the payment is late by 45 days or more, an amount equal to 5% of the amount due as a charge incidental to enforcement of the franchise.
(d) Fee not a tax. Payment of a franchise fee may not be considered in the nature of a tax or in lieu of other taxes or fees imposed by the County, except to the extent that federal law includes those taxes or fees in the franchise fee. A franchisee may not designate the franchise fee as a tax in any communication to a subscriber.
(e) No release or accord and satisfaction. The acceptance of any payment by the County is not a release or an accord and satisfaction of any claim the County has for further and additional sums payable as a franchise fee under this article or for the performance of any other obligation of the franchisee.
(f) Pass-through costs. Any franchisee "pass-through" or itemization of franchise fee costs on subscribers' bills shall be in accordance with federal law.
(Bill No. 54-06)