(a) Grounds for revocation. The town reserves the right, subject to the provisions of subsection (b) and (c) of this section 9-58, to revoke any franchise granted hereunder and rescind all rights and privileges associated with the franchise in the following circumstances, each of which shall represent a default and breach under this chapter and the franchise grant:
(1) If the grantee shall default in the performance of any of the material obligations under this chapter or the franchise.
(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 which results in a default of any of the material obligations under this chapter or the franchise.
(4) If the grantee practices any fraud upon the town or pattern of fraud on cable subscribers.
(5) The grantee's construction schedule is delayed later than the schedule contained in the franchise or beyond any extended date set by the town or is not remedied through liquidated damages.
(6) The grantee becomes insolvent, unable or unwilling to pay its debts or is adjudged bankrupt.
(7) Failure to restore system-wide or area specific service after 96 consecutive hours of interrupted service, except when approval of such interruption is obtained from the town or if the grantee ceases to operate and provide services for any reason within the control of the grantee.
(8) Material misrepresentation of fact in the application for or negotiation of the franchise or any extension or renewal thereof.
(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) Procedure prior to revocation.
(1) The town shall make written demand that the grantee comply with any such 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 30 days following such written demand or, in any case where such compliance cannot reasonably be completed within 30 days, other such longer period of time as reasonably set by the town, the town shall place its request for termination of the franchise upon a regular council meeting agenda. The town shall cause to be served upon such grantee at least seven business days prior to the date of such council meeting, a written notice of this intent to request such termination, and the time and place of the meeting, notice of which shall be published by the town clerk at least once, seven business days before such meeting according to the advertising requirements in Section 2-2 of the Town Code.
(2) The council shall hear any persons interested therein at the public hearing, and shall determine in its reasonable judgment, whether 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 defined by the town in its judgment reasonably exercised, 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 may, 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.
(d) Disposition of facilities. In the event a franchise renewal is denied (and all appeals exhausted), is revoked or otherwise terminated, the town may require grantee to remove its facilities from town rights-of-way.
(e) Restoration of property. In the event grantee removes 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 property, rights-of-ways, private property, and places in as reasonably good condition as that prevailing prior to the grantee's removal of its equipment and appliances without affecting the electrical or telephone cable wires or attachments. The town shall inspect and approve the condition of the public rights-of-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 full compliance by the grantee with the terms and conditions of this subsection, this chapter and the franchise.
(f) Restoration by town; reimbursement of costs. In the event of a failure by the grantee to complete any work required by sections 9-46 and 9-47 and/or (e) above, or any other work required by town law or ordinance within the time as may be established and to the satisfaction of the town, the town may cause such work to be done and the grantee shall reimburse the town the cost thereof within 30 days after receipt of an itemized list of such costs, or the town may recover such costs through the performance bond or letter of credit provided by grantee. The town shall be permitted to seek legal and equitable relief to enforce the provisions of this section.
(g) Extended operation. Upon either the denial or renewal (including the exhaustion of all appeals) or revocation of a franchise, the town may negotiate with the grantee to continue to operate the system for a period of time from the date of such expiration or revocation, or until such time as is mutually agreed upon. The grantee shall, as trustee for its successor in interest, continue to operate the cable system under the terms and conditions of this chapter and the franchise and to provide the regular subscriber service and any and all of the services that may be provided at the time.
(Ord. No. 04-009, § 6-19, 8-26-2004; Ord. No. 2014-Code-01, 1-9-2014)