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DIVISION 4: BONDS, INSURANCE, INDEMNIFICATION
(A) Performance bond. No later than 45 days after the effective date of the franchise, the grantee shall obtain and maintain during the entire term of the franchise and any extensions and renewals thereof, at its cost and expense, and file with the city a corporate surety bond or letter of credit, in an amount specified in the franchise agreement, to guarantee the faithful performance of the grantee of all its obligations provided under this chapter and the franchise. Failure to timely obtain, file and maintain said bond shall constitute a substantial violation of this chapter.
(B) Conditions. The performance bond shall provide the following conditions:
(1) There shall be recoverable by the city, jointly and severally from the principal and surety, and all fines and penalties due to the city and any and all damages, losses, costs and expenses suffered or incurred by the city resulting from the failure of the grantee to: faithfully comply with the provisions of this chapter and the franchise; comply with all applicable orders, permits and directives of any city agency or body having jurisdiction over its acts or defaults; pay any claims, liens or taxes due the city which arise by reason of the construction, operation, maintenance or repair of the cable system.
(2) The total amount of the bond shall be forfeited in favor of the city in the event:
(a) The grantee abandons the cable system at any time during the term of the franchise or any extension thereto;
(b) The grantee assigns the franchise without the express written consent of the city not including affiliate transfers as defined in this chapter.
(c) Upon written application by the grantee, the city may, at its sole option, permit the amount of the bond to be reduced or waive the requirements for a performance bond subject to the conditions set forth below. Reductions granted or denied upon application by the grantee shall be without prejudice to the grantee’s subsequent applications or to the city’s right to require the full bond at any time thereafter. However, no application shall be made by the grantee within 90 days of any prior application.
(d) Prior to drawing upon the performance bond for the purposes described in this section the city shall notify the grantee in writing that payment is due, and the grantee shall have ten days from the receipt of such written notice to make a full and complete payment of undisputed amounts. If the grantee does not make the payment within ten days, the city may withdraw the amount thereof from the performance bond.
(e) Within three days of a withdrawal from the performance bond, the city shall send to the grantee, by certified mail, return receipt requested, written notification of the amount, data and purpose of such withdrawal.
(f) No later than 30 days after receipt by the grantee of certified mail notification of a withdrawal pursuant to paragraph (e) above, the grantee shall replenish the performance bond in an amount equal to the amount so withdrawn. Failure to make timely replenishment of such amount to the performance bond shall constitute a substantial violation of this chapter.
(g) Nonrenewal, alteration or cancellation of performance bond. The performance bond required herein shall be in a form satisfactory to the city and shall require 30 days written notice of any nonrenewal, alteration or cancellation to both the city and the grantee. The grantee shall in the event of any such cancellation notice, obtain, pay all premium for, and file with the city, written evidence of the issuance of a replacement bond within 30 days following receipt by the city or the grantee of any notice of cancellation.
(Ord. passed 2-16-93)
(A) As of the effective date of this chapter, the grantee shall file with the city a certificate of insurance and thereafter maintain in full force and effect at all times for the full term of the franchise, at the expense of the grantee, comprehensive general liability insurance policy, naming the city as additional insured, written by a company authorized to do business in the state, protecting the city against liability for loss or bodily injury and property damage occasioned by the installation, removal, maintenance or operation of the cable communications system by the grantee in the following minimum amounts:
(1) One million dollars combined single limit, bodily injury and for the property damage in any one occurrence;
(2) One million dollars aggregate.
(B) The grantee shall also file with the city a certificate of insurance for a comprehensive automobile liability policy written by a company authorized to do business in the state for all owned, nonowned, hired and leased vehicles operated by the grantee, with limits no less than $1,000,000 each accident, single limit, bodily injury and property damage combined, or evidence of self insurance.
(C) Worker’s compensation and employer’s liability insurance. The grantee shall maintain, and by its acceptance of any franchise granted hereunder specifically agrees that it will maintain throughout the term of the franchise, worker’s compensation and employer’s liability, valid in the state, in the minimum amount of the statutory limit for worker’s compensation, and $500,000 for employer’s liability.
(D) All liability insurance required in this section shall be kept in full force and effect by the grantee during the existence of the franchise and until after the removal of all poles, wires, cables, underground conduits, manholes, and other conductors and fixtures installed by the grantee incident to the maintenance and operation of the cable communications system as defined in this chapter. All policies shall be endorsed to give the city 30 days written notice of the intent to amend, cancel or nonrenew by either the grantee or the insuring company.
(E) The grantee agrees and binds itself to indemnify, keep and hold free and harmless the city from any and all liability or costs, including attorneys’ fees and court costs pertaining thereto, arising from any activities herein authorized, in that the grantee shall pay, and by its acceptance of the franchise the grantee specifically agrees that it will pay, all damages and penalties which the city may be legally required to pay as a result of the franchise. These damages or penalties shall include but shall not be limited to damages arising out of copyright infringements and all other damages arising out of installation, operation or maintenance of the cable communications system authorized herein, whether or not any act or omission complained of is authorized, allowed or prohibited by this chapter.
(Ord. passed 2-16-93)
DIVISION 5: DESIGN AND CONSTRUCTION
(A) Authorization to commence new construction and application procedures. Within 30 days of the acceptance by the grantee of a franchise, the grantee shall register the system with the FCC (if required by law or FCC regulations) and apply for contracts for use of poles. Within 30 days after completion of the make ready survey identifying the routes of the system facilities, the grantee shall apply for all additional licenses from the state, city or other necessary parties, such as the railroads, for crossing under or over their property. In any event, all necessary applications for permits, licenses, certificates and authorizations shall be applied for in a timely fashion so that such filing and processing shall not interfere with or cause delay with the construction schedule as outlined in the franchise. Failure to make such timely application and timely filing shall constitute a substantial violation of this chapter.
(B) Power to contract. Upon grant of the franchise and in order to construct, operate and maintain a cable system in the city, the grantee may enter into contracts with any public utility companies or any other owner or lessee of any poles or underground areas located within or without the city; obtain right- of-way permits from appropriate city, state, county and federal officials necessary to cross or otherwise use highways or roads under their respective jurisdiction; obtain permission from the Federal Aviation Administration to erect and maintain antennas; and obtain whatever other permits a city, county, state or federal agency may require.
(Ord. passed 2-16-93)
(A) The grantee shall construct, reconstruct, install, operate and maintain its system in a manner consistent with all applicable laws, ordinances, construction standards, governmental requirements, FCC technical standards, and detailed technical standards submitted by the grantee as part of its application, which standards are incorporated by reference herein. The system shall be designed, constructed, operated and maintained for 24 hours a day continuous operation.
(B) The grantee shall construct, install, operate and maintain its system in accordance with, but not limited to, the following: The grantee shall maintain its system facilities in a manner which will continue to enable it to add new services and associated equipment as they are developed, available, and when proved economically feasible and marketable to subscribers.
(C) Prior to the erection or installation by the grantee of any towers, poles, underground conduits, or major fixtures for use in connection with the installation, construction, maintenance or operation of the cable communications system under this chapter, the grantee shall first submit to the city and other appropriate parties for approval a concise description of the facilities proposed to be erected or installed, including engineering drawings, if required, together with a map and plans indicating the proposed location of all such facilities.
(D) Any contractor proposed for work on construction, reconstruction, installation, operation, maintenance and repair of system equipment must be properly licensed under the laws of the state and all local ordinances.
(E) The city does not guarantee the accuracy of any maps showing the horizontal or vertical location of existing subcontractors. In public rights-of-way, where necessary, the location may be verified by excavation.
(F) Construction, reconstruction, installation, operation and maintenance of the cable communications system shall be performed in an orderly and workmanlike manner in accordance with then current technological standards. All cables and wires shall be installed, where possible, parallel with electric and telephone lines. Multiple cable configurations shall be arranged in parallel and bundled with due respect for engineering considerations.
(G) Grantee shall at all times comply with:
(1) Occupational Safety and Health Administration (OSHA) Regulations;
(2) National Electric Code;
(3) National Electrical Safety Code (NESC);
(4) National Cable Television Standards Code;
(5) AT & T Manual of Construction Procedures (Blue Book);
(6) Bell Telephone Systems Code of Pole Line Construction;
(7) All federal, state, and municipal construction requirements including FCC rules and regulations for utility construction and requirements;
(8) All building and zoning codes, and all land use restrictions as the same exist or may be amended hereafter.
(H) Any antenna structure used in the cable communications system shall comply with construction, marking, and lighting of antenna structure standards as required by federal and state laws and regulations.
(I) All worker facilities, conditions, and procedures that are used during construction, installation, operation and maintenance of the cable system shall comply with the standards of the Occupational Safety and Health Administration.
(J) Reserved.
(K) The grantee shall maintain equipment capable of providing portable standby power for a minimum of either four hours for the headend and two hours for transportation and any one trunk amplifier.
(Ord. passed 2-16-93)
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