(A) Payment records. On or before each of the dates on which payments pursuant to the franchise are to be made, and within 60 days after the expiration or cancellation of the franchise, and at such other times as the city shall designate, the grantee shall furnish and deliver to the city verified or certified reports of its business and operations hereunder and gross receipts derived therefrom in such form and in such detail as the city may prescribe.
(B) Reports filed with government entities. Within five days after the grantee, its affiliates and/or subsidiaries have filed a report, petition or communication with any city, state or federal agency, department or board, pertaining to any aspect of operations under the franchise or the financial arrangements therefore, it shall file a copy of such report, petition, or communication with the city and with the Minnesota Cable Communications Board.
(C) Access channel reports. The grantee shall file quarterly with the city a report or log describing the use being made and the users of access channels. The grantee shall file annually with the city a report of its expenditures for local origination and access programming and facilities including their operation and maintenance.
(D) Annual reports. Grantee shall file with the City Manager a certified annual report, on or before March 31 in each calendar year for the preceding calendar year ending December 31. The annual report shall include the following:
(1) A statement summarizing the previous year's activities in development of the system, including services commenced and terminated, and subscribers gained and lost;
(2) A financial statement including a statement of income, revenues, operating expenses, value of plant, annual capital expenditures, depreciation schedule, interest paid, taxes paid, balance sheet and a statement of sources and uses of funds certified by an officer of grantee and in a format approved by city. Such format shall be in the same format as any pro formas submitted by grantee.
(3) A current statement of cost of construction by component category;
(4) A statement of construction planned for the next year;
(5) A statement regarding complaints, identifying the number, nature and disposition;
(6) A current list of the names and addresses of each officer and director of grantee;
(7) A statement of current billing practices;
(8) A current copy of rules of grantee;
(9) A current copy of the subscribers service contract of grantee;
(10) Results of system performance tests, including a descriptive narrative, conducted within the previous 120 days for the purpose of verifying technical standards at such sites as were used to determine completion of construction. In the event the technical standards of this chapter are not met, grantee shall further report in writing what steps are being taken to meet said standards. A representative of city may, upon request of city, accompany grantee at the time such tests or repeat tests are conducted.
(11) Results of the annual subscriber survey.
(12) A marketing plan, including specific goals and projections, together with a reconciliation of projections and actual results from the previous year.
(E) Location and availability of books and records of grantee.
(1) The grantee shall maintain an office in the city of other location as approved by the city, for so long as it continues to operate the system or any portion thereof and hereby designates that office as the place where all notices, directions, orders, and requests may be served or delivered under the franchise.
(2) The requirement in subdivision (1) above shall be temporarily deferred in order to allow grantee to consolidate the following operations with the cable television system serving the North Suburban Cable Service Territory: Plant Manager; Technicians; Marketing; Administration; Programming. All access employees shall remain at the Columbia Heights public access studio.
(3) The consolidation described in subdivision (2) above shall be reviewed by city upon system-wide outages exceeding 24 hours per any 12-month period, as determined by city.
(a) Grantee achieving a 45% basic service penetration; or
(b) The third anniversary of this chapter amendment; or
(c) System-wide outages exceeding 24 hours per any 12-month period, as determined by city.
(4) At any review session described in subdivision (3) above, grantee shall bear the burden of establishing to the satisfaction of city that the consolidation described in subdivision (2) above is still necessary and appropriate.
(5) As a result of any review session described above, city may, at its sole discretion, request a termination of the consolidation or a modification to the consolidation and grantee shall comply with any such request including any reasonable time requirements established by city.
(6) The common costs due to the above-described consolidation shall be allocated to city in an amount which bears the same ratio to all the common costs of consolidation as the number of subscribers, plant mileage or homes passed in the city bears to the total number of subscribers, plant miles or homes passed in all of the systems participating in the consolidation. All costs that can be specifically identified will be allocated specifically to city.
(7) If this section or any of its subsections are deemed unenforceable under federal or state law or the implementation of its requirements are deemed illegal or unenforceable under federal or state law, then, to that extent, this section will be of no effect and the pertinent provisions of the Cable Communications Code as it existed immediately prior to the enactment of this chapter is automatically reconstituted and shall be of full force and effect.
(a) The grantee shall keep complete and accurate books of account and records of its business and operations under and in connection with the franchise in accordance with normal and accepted bookkeeping and accounting practices for the cable communications industry, and allow for inspection times at designated offices. The books and records to be maintained by grantee shall include:
1. A record of all requests for service;
2. A record of all subscriber or other complaints, action taken by grantee, and the disposition thereof;
3. A file of all subscriber contracts;
4. Grantee policies, procedures, and company rules; and
5. Financial records.
(b) The city or any other person designated by the City Council, shall have access to all books of account and records of the grantee for the purpose of ascertaining the correctness of any and all reports, and shall have authority to audit the grantee's accounting and financial records upon 24-hour notice. The Council may examine the grantee's officers and employees, under oath, in respect thereto.
(c) Any false entry in the books of account or records of the grantee or false statement in the reports required to be filed by the grantee shall constitute a breach of material provision of the franchise.
('77 Code, § 11.115) (Am. Ord. 982, passed 11-9-81; Am. Ord. 1125, passed 5-27-86; Am. Ord. 1202, passed 6-25-90)