A. The grantee, concurrently with the filing of an acceptance of award of any franchise granted under this chapter, shall furnish to the city and file with the city clerk, and at all times thereafter maintain in full force and effect for the term of such franchise or any renewal thereof, at grantee's sole cost and expense, a corporate surety bond in a company approved by the city, and in a form approved by the city in an amount to be determined by grantor but not to exceed fifty thousand dollars renewable annually, and conditioned upon the faithful performance of the grantee of all of the grantee's obligations under this chapter and any franchise agreement, and upon the further condition that in the event grantee shall fail to comply with any one or more of the material provisions of this chapter or of any franchise issued to the grantee under this chapter, there shall be recoverable jointly and severally from the principal and surety of such bond any damages or loss suffered by the city as a result thereof, including the full amount of any compensation, indemnification, or cost of removal or abandonment of any property of the grantee as prescribed hereby which may be in default, plus a reasonable allowance for attorney's fees and costs, up to the full amount of the bond, such condition to be a continuing obligation for the duration of such franchise and any renewal thereof and thereafter until the grantee has liquidated all of its obligations with the city that may have arisen from the acceptance of such franchise or renewal by the grantee or from its exercise of any privilege therein granted. The bond shall provide that thirty days' prior written notice of intention not to renew, cancellation, or material change shall be given to the city.
B. At the end of the first three years of the term of this franchise, the amount of the aforesaid corporation surety bond, which the franchise holder shall maintain in full force and effect for the remainder of the term of the franchise, shall be in an amount to be determined by grantor but not to exceed twenty-five thousand dollars, but shall correspond in all other particulars to the bond required during the first three years of the term as required in this section.
C. Neither the provisions of this section, or any bond accepted by the city pursuant hereto, nor any damages recovered by the city pursuant hereto, nor any damages recovered by the city thereunder, shall be construed to excuse faithful performance by the grantee or limit the liability of the grantee under any franchise issued under this chapter or for damages, either to the full amount of the bond or otherwise.
(Ord. 505 § 1(part), 1987).