(A) Except to the extent expressly required by federal or state law, if a renewal or extension of the permit is denied or the permit is lawfully terminated, and the City either lawfully acquires ownership of the cable system or by its actions lawfully effects a transfer of ownership of the cable system to another party, any such acquisition or transfer shall be at a fair market value, determined on the basis of the cable system valued as a going concern.
(B) The cable operator and the City agree that in the case of a lawful revocation of the permit, at the cable operator’s request, which shall be made in its sole discretion, the cable operator shall be given a reasonable opportunity to effectuate a transfer of its cable system to a qualified third party.
(C) The City further agrees that during such period of time, it shall authorize the cable operator to continue to operate pursuant to the terms of its prior permit; however, in no event shall such authorization exceed a period of time greater than six months from the effective date of such revocation. If, at the end of that time, the cable operator is unsuccessful in procuring a qualified transferee or assignee of its cable system which is reasonably acceptable to the City, the cable operator and the City may avail themselves of any rights they may have pursuant to federal or state law; it being further agreed that the cable operator’s continued operation of its cable system during the six-month period shall not be deemed to be a waiver, nor an extinguishment of; any rights of either the City or the cable operator.
(D) All of the rights and privileges and all of the obligations, duties and liabilities created by this permit shall pass to and be binding upon the successors of the City and the successors and assigns of the cable operator and the same shall not be assigned or transferred without the written approval of the City Council, which approval shall not be unreasonably withheld, conditioned or delayed; provided, however, that this section shall not prevent the assignment or hypothecation of the permit by the cable operator as security for debt without such approval; and provided further that transfers or assignments of this permit between any parent and subsidiary corporation or between entities of which at least fifty percent (50%) of the beneficial ownership is held by the same person, persons or entities which are controlled or managed by the same person, persons or entities, shall be permitted without the prior approval of the City. The cable operator shall notify the City in writing within 30 days of the closing of such intracompany transfer.
(Ord. 2023-12, passed 9-19-2023)