CHAPTER 13: CABLEVISION
   Article
      1.   IN GENERAL
      2.   CONSTRUCTION PROVISIONS
      3.   SERVICE STANDARDS
      4.   REVOCATION, ABANDONMENT, PURCHASE AND REMOVAL OF SYSTEM
      5.   SALE, TRANSFER AND RENEWAL OF FRANCHISE
      6.   GENERAL ADMINISTRATION
      7.   GENERAL FINANCIAL AND INSURANCE PROVISIONS
      8.   RIGHTS OF INDIVIDUALS PROTECTED
ARTICLE 1: IN GENERAL
Section
   13-101   Short title
   13-102   Definitions
   13-103   Compliance with applicable laws and the like
   13-104   Penalties for violation of chapter
   13-105   Notice of rate increase
   13-106   Required
   13-107   Issuance restricted
   13-108   Franchise non-exclusive
   13-109   Application
   13-110   Authority for use of streets
   13-111   Police powers
§ 13-101  SHORT TITLE.
   This chapter shall be known and may be cited as “Holdrege CATV Ordinance”.
(2005 Code, § 13-101)
§ 13-102  DEFINITIONS.
   For the purpose of this chapter, the following definitions apply unless the context clearly indicates or requires a different meaning.
   CITY. The City of Holdrege and all of the territory within its present and future boundaries as defined by the city limits.
   CITY COUNCIL. The governing body.
   FRANCHISE AGREEMENT. An agreement entitled “franchise agreement” entered into between city and licensee which is enforceable by city and licensee and which sets forth the rights and obligations between city and licensee arising out of the franchise.
   FRANCHISEE, LICENSEE or GRANTEE. The person granted a franchise to operate a system under this chapter.
   PAY OR PAID TELEVISION. The delivery over system of per channel or per program audiovisual signals to a subscriber for a fee or charge, in addition to the charge for basic service.
   PERSON. Any corporation, partnership, proprietorship, individual or organization authorized to do business in the state or any natural person.
   PUBLIC PROPERTY. Any real property owned by city or any other governmental unit, other than a street.
   STREET. The surface of and the space above and below any public street, road, cartway, highway, freeway, lane, path, public way, alley, court, sidewalk, boulevard, parkway, drive or any easement or right-of-way now or hereafter held by the city which shall, within its proper use and meaning in the sole opinion of the city, entitle the licensee to the use thereof for the purpose of installing or transmitting over poles, wires, cables, conductors, ducts, conduits, vaults, manholes, amplifiers, appliances, attachments and other property as may be ordinarily necessary and pertinent to system.
   SUBSCRIBER or RATE PAYER. Any person or entity who lawfully subscribes to a service provided by a licensee by means of or in connection with a system and pays a fee, unless such fee is lawfully waived.
   SYSTEM. A broadband telecommunications system of antennas, cables, wires, lines, towers, waveguides or other conductors, converters, equipment or facilities, designed and constructed for the purpose of distributing video programming to home subscribers and for producing receiving, transmitting, amplifying and distributing audio, video, digital or other forms of electronic or electrical signals, located in city.
(2005 Code, § 13-102)
§ 13-103  COMPLIANCE WITH APPLICABLE LAWS AND THE LIKE.
   (A)   Every person obtaining a franchise under the provisions of this chapter shall, at all times, during the term of such franchise, be subject to all lawful exercise of the police power of the city, and to such additional regulations as the City Council shall hereafter, by resolution or ordinance provide (and shall fully comply with both the National Electrical Code of the National Fire Protection Association, and the National Electrical Safety Code, and all applicable rules and regulations now in effect or hereafter adopted by the Federal Communications Commission, the state and the United States government).
   (B)   This chapter shall not be construed to require or compel a violation of any constitutional enactment of the Federal Congress or lawful rule or regulations of any agency of the United States government pertaining to wired or cabled television and radio systems and services.
(2005 Code, § 13-103)
§ 13-104  PENALTIES FOR VIOLATION OF CHAPTER.
   Any person violating any of the provisions of this chapter shall be deemed guilty of a misdemeanor. Unless otherwise specified in the particular article or section for which the person stands convicted of violating, the penalty for such violation shall be in any amount not to exceed $300 in the discretion of the court. Each day such violation is committed or permitted to continue shall constitute a separate offense and shall be punishable as such hereunder; provided that, any violation by a licensee, its assignee or successors of the provisions of this chapter or any material portions thereof or the failure promptly to perform any of the provisions thereof, shall be cause of the forfeiture of the franchise issued to such licensee, and all rights hereunder, to the city, after written notice to the licensee, assignee or successor, and continuation of such violation, failure or default.
(2005 Code, § 13-104)
§ 13-105  NOTICE OF RATE INCREASE.
   The licensee shall not increase rates until such time as it has provided a 30-day notice to each subscriber or rate payer of the franchise either by billing statement or other written notice and shall have posted, at least 30 days prior to the effective date of the rate increase a schedule of the increased rates with the City Clerk.
(2005 Code, § 13-105)
§ 13-106  REQUIRED.
   It shall be unlawful for any person to construct, install, operate or maintain in or along the streets, alleys and public ways, or elsewhere within the corporate limits of the city, a wired or cable television or radio system without first obtaining from such city a franchise authorizing the same.
(2005 Code, § 13-106)
§ 13-107  ISSUANCE RESTRICTED.
   The authority to issue franchises authorizing wire or cabled television or radio systems within the corporate limits of the city is hereby reserved unto the City Council.
(2005 Code, § 13-107)
§ 13-108  FRANCHISE NON-EXCLUSIVE.
   All franchises issued pursuant to this chapter shall be non-exclusive and for a term not to exceed 25 years. The city specifically reserves the right to grant, at any time, such additional franchises for a system as it deems appropriate. The city also reserves the right to grant one or more franchises for the provision of specifically defined services not being provided by any licensee including, but not limited to, institutional communications services and interactive residential services.
(2005 Code, § 13-108)
§ 13-109  APPLICATION.
   Every person applying for a franchise required by the provisions of this chapter shall file with the City Clerk notice of his or her acceptance of the provisions of this chapter and a covenant and agreement that such franchise, if granted, shall be subject to the provisions and conditions of this chapter and amendments thereto.
(2005 Code, § 13-109)
§ 13-110  AUTHORITY FOR USE OF STREETS.
   (A)   For the purpose of operating and maintaining the system in the city, the licensee may erect, install, construct, repair, replace, reconstruct and retain in, on, over, under, upon, across and along the streets within the city such lines, cables, conductors, ducts, conduits, vaults, manholes, amplifiers, appliances, pedestals, attachments and other property and equipment as are necessary and appurtenant to the operation of the system; provided that, all applicable permits applied for and granted, all fees paid and all other city codes and ordinances are otherwise complied with. The licensee will erect no poles.
   (B)   The right to use and occupy such streets, alleys, public ways and places for the purpose herein set forth shall not be exclusive, and the city reserves the right to grant a similar use of such streets, alleys, public ways and places, to any person at any time during the period of such franchise. The city specifically reserves the right to grant, at any time, such additional franchises for a system as it deems appropriate.
   (C)   Prior to construction or alteration, the licensee shall in each case file plans with all appropriate city departments and utility companies and receive written approval of such plans, which approval shall not be unreasonably withheld. The licensee shall provide a monthly progress report to city through the completion of construction or alteration.
   (D)   The licensee shall construct and maintain the system so as not to interfere with other uses of streets. The licensee shall make use of existing utility poles and other facilities available to the licensee, as outlined in separate pole agreement. The licensee shall individually notify all residents affected by proposed construction prior to the commencement of that work.
   (E)   Notwithstanding the above grant to use streets, no street shall be used by the licensee if the city determines that such use is inconsistent with the terms, conditions or provisions by which such street was created or dedicated, or presently used.
(2005 Code, § 13-110)
§ 13-111  POLICE POWERS.
   The licensee’s rights hereunder are subject to the police power of the city to adopt and enforce general ordinances necessary to the health, safety and welfare of the public. The licensee shall comply with all applicable general laws and ordinances enacted by the city pursuant to that power.
(2005 Code, § 13-111)
ARTICLE 2: CONSTRUCTION PROVISIONS
Section
   13-201   Permits
   13-202   Construction codes
   13-203   Reservation of street rights
   13-204   Repair of streets and property
   13-205   Undergrounding of cable
   13-206   Trimming of trees
   13-207   Street vacation or abandonment
   13-208   Movement of facilities
   13-209   Erection of poles prohibited
§ 13-201 PERMITS.
   The licensee shall obtain a permit from the proper city authority before commencing construction or alteration of the system, including the opening or disturbance of any street, sidewalk, driveway or public place. Any and all streets which are disturbed or damaged during the construction, alteration, operation, maintenance or reconstruction of the system shall be promptly repaired by the licensee, at its expense, and to a similar condition prior to the disturbance or damage.
(2005 Code, § 13-201)
§ 13-202  CONSTRUCTION CODES.
   (A)   All wires, conduits, cable and other property and facilities of the licensee shall be located, constructed, installed and maintained in compliance with applicable codes. The licensee shall keep and maintain all of its property so as not to unnecessarily interfere with the usual and customary grade, traffic or travel upon the streets and public places of the city or endanger the lives or property of any person. In the event of such interference, the city may require the removal of the licensee’s lines, cables and appurtenances from the street or property in question.
   (B)   The city shall have the right to inspect all construction or installation work performed subject to the provisions of the franchise and to make such tests as it shall find necessary to ensure compliance with the terms of the franchise and pertinent provisions of law and ordinances that are applicable.
   (C)   The following procedures shall apply to any inspection or testing required by the city.
      (1)   If such inspection or testing required by the city establishes that the system is not in compliance with applicable codes and standards, the licensee shall bear all costs of the inspection or testing.
      (2)   If such inspection or testing required by the city establishes that the system is in compliance with applicable codes and standards, the city shall bear all costs of the inspection and testing.
(2005 Code, § 13-202)
§ 13-203  RESERVATION OF STREET RIGHTS.
   (A)   Nothing in the franchise shall be construed to prevent the city from constructing sewers, grading, paving, repairing and/or altering any street, or laying down, repairing or removing water mains or constructing or establishing any other public work. All such work shall be done, insofar as practicable, in such manner as not to obstruct, injure or prevent the free use and operation of the poles, wires, conduits, conductors, pipes or appurtenances of the licensee.
   (B)   If any such property of the licensee herein shall interfere with the construction or repair of any street or improvement, ten days’ notice shall be given to the licensee by the city and all poles, wires, conduits or other appliances and facilities shall be removed or replaced by the licensee in such manner as shall be directed by the city so that the same shall not interfere with the said public work of the city, and such removal or replacement shall be at the expense of the licensee herein.
(2005 Code, § 13-203)
§ 13-204  REPAIR OF STREETS AND PROPERTY.
   In constructing, operating, maintaining and testing the system, the licensee shall refill and compact, at its own expense, any excavation that shall be made and shall leave all streets and property, whether it be public or private, in as good a condition as that prevailing prior to the said work, and without affecting, altering or disturbing, in any way, electric, telephone or utility cables, wires or attachments. The city shall have the right to inspect and approve the condition of such streets and property after said work.
(2005 Code, § 13-204)
§ 13-205  UNDERGROUNDING OF CABLE.
   The placement of cables underground is encouraged. Previously installed aerial cable shall be placed underground in concert with all other utilities, when all other utilities may convert from aerial to underground construction. The city shall give notice to the licensee of all pending changes from aerial to underground utility installation. Developers shall be required by the city to give reasonable notice to the licensee of pending underground trenching. The licensee shall place cable underground in newly platted areas in concert with the other utilities.
(2005 Code, § 13-205)
§ 13-206  TRIMMING OF TREES.
   The licensee may trim trees upon any overhanging streets, berms, alleys, sidewalks and public places of the city so as to prevent the branches of such trees from coming in contact with the wires and cables of the licensee. The licensee shall give minimum of 72 hours’ advanced written notice to affected residents. Notwithstanding anything to the contrary, all trimming shall be done with the approval and under the supervision and direction of the city and at the expense of the licensee.
(2005 Code, § 13-206)
§ 13-207  STREET VACATION OR ABANDONMENT.
   In the event any street or portion thereof used by the licensee shall be vacated by the city or the use thereof discontinued by the licensee during the term of the franchise, the licensee shall forthwith remove its facilities therefrom unless specifically permitted to continue the same, and on the removal thereof restore, repair or reconstruct the street area where such removal has occurred, and place the street area where such removal has occurred to a condition similar to that existing before such removal took place. In the event of failure, neglect or refusal of the licensee, after 30 days’ notice by the city to repair, improve or maintain such street portion, the city may do such work or cause it to be done, and the cost thereof as found and declared by the city shall be paid by the licensee as directed by the city and collection may be made by court action or otherwise.
(2005 Code, § 13-207)
§ 13-208  MOVEMENT OF FACILITIES.
   In the event it is necessary temporarily to move or remove any of the licensee’s wires, cables, poles, or other facilities placed pursuant to the franchise, in order lawfully to move a large object, building or other structure over the streets of the city, the licensee, upon reasonable notice, shall move at the expense of the person requesting the temporary removal such of his or her facilities as may be required to facilitate such movements. Unless an emergency exists, REASONABLE NOTICE shall mean a minimum of 72 hours. The licensee may reserve the right to require payment in advance for such moving services. Additionally, any service disruption sections of the franchise shall not apply in the event that the removal of the licensee’s wires, cables, poles or other facilities results in temporary service disruptions; however, the licensee shall give five days’ advance written notice to affected subscribers if such removal will result in temporary service disruptions.
(2005 Code, § 13-208)
§ 13-209  ERECTION OF POLES PROHIBITED.
   The licensee shall not erect, for any reason, any pole on or along any street in an existing aerial utility system. If additional poles in an existing aerial route are required, the licensee shall negotiate with the utility for installation of the needed poles. Any such additional poles shall require the advance written approval of the city.
(2005 Code, § 13-209)
ARTICLE 3: SERVICE STANDARDS
Section
   13-301   Outline of standards
§ 13-301  OUTLINE OF STANDARDS.
   (A)   Every licensee under this article shall maintain and operate the system and render efficient service in accordance with the rules and regulations as are or may be set forth by the Council, or agency of the United States government having jurisdiction over such wired or cabled television and radio systems and services; provided, however, the licensee shall operate the system so that there will be no interference with television reception, radio reception now in use by the city or any persons in the city.
   (B)   Every licensee shall carry all signals of every television station where the community antenna television system tower or towers and antenna equipment are located within the Federal Communication Commission approved predicted Grade B contour line of that television station. The television signals at no time shall be altered, interrupted or blacked out in any way by the licensee.
   (C)   The community antenna television system shall at all times:
      (1)   Use all band equipment capable of passing the entire VHF television and FM radio spectrum;
      (2)   Use equipment that passes standard color television signals without perceptive degradation and no noticeable effect on color fidelity and intelligence;
      (3)   Provide a minimum level of 1,000 microvolts at the input terminals of not to exceed two television receivers on the line; additional sets will warrant additional line services and changes;
      (4)   Provide that the system and all equipment be designed and rated for 24-hour per day continuous operation;
      (5)   Provide a signal-to-noise ratio of not less than 42 decibels;
      (6)   Provide a television signal with a hum modulation less than 3%;
      (7)   Use components having voltage standing wave ratio of 1.4 or less;
      (8)   Provide an inter-modulation distortion not to exceed minus 52 decibels; and
      (9)   Provide that the plot of gain versus frequency across any six megacycle channel is to be flat plus or minus one decibel.
   (D)   A licensee shall immediately install for the operation of the system in the city a minimum 12 channel system capable of transporting and relaying all 12 channels and will provide an initial service of at least six channels of video or audio service, to include any channel received locally by antenna; the state ETY channel; output of FM radio stations furnishing background music on at least one channel; and, the licensee further will be obligated to improve the variety of service as the availability of signals make it practical.
   (E)   The licensee shall install, upon request of the city, one cable television outlet in each municipal building, fire station, public library and public schools within the city. Installation and service for each such outlet will be free; except that, any underground construction required will be charged at the cost of time and materials. Installation of additional outlets within each such building will be provided at the cost of time and materials. There shall be no monthly subscription fee charged for any outlets in such buildings, regardless of the number involved.
   (F)   Every program which a licensee carried from any television station shall be carried in its entirety and without change.
   (G)   Service shall be provided hereunder in areas added or annexed, from time to time, to the city, within a reasonable time.
   (H)   Every licensee shall provide and keep accurately calibrated test equipment on hand in the city at all times for the testing of all service and operational standards outlined in this chapter, and shall conduct these tests requested by the city under the supervision of a city representative in order to establish the level of performance of the system.
   (I)   Every licensee shall provide a local service channel providing local weather information and time information. The company will provide at no cost to the city with ability, including necessary equipment, programming and training, to have emergency audio override on all channels at once. The city will provide periodic testing and reporting as required by the company.
   (J)   Every licensee shall provide, without charge to the city, unless prohibited by law, regulation or licensee contract, commitments, the use of adequate unused frequencies on the cable system for the purpose of police work, fire department, civil defense, public emergency or disaster warning systems; provided that, any necessary equipment or installation or maintenance expense for such use, other than furnishing the existing cable, shall not be that of the licensee. The city, through its authorized agents, shall give written notice to the licensee of the type of use the city desires to make of the cable, and of the person or persons authorized to make such use, or to issue warnings, whereupon the licensee shall cooperate with the city to accomplish the ends desired by the city for the public good.
   (K)   Whenever it is necessary to shut off or interrupt service for the purpose of making repairs, adjustments or installations, a licensee shall do so at such time as shall cause the least amount of inconvenience to its customers, and unless such interruption is unforeseen and immediately necessary, it shall give reasonable notice thereof to its customers.
(2005 Code, § 13-301)
ARTICLE 4: REVOCATION, ABANDONMENT, PURCHASE AND REMOVAL OF SYSTEM
Section
   13-401   City’s right to revoke
   13-402   Procedures
   13-403   Removal of systems
   13-404   Purchase
   13-405   Abandonment
   13-406   Foreclosure
   13-407   Receivership
§ 13-401  CITY’S RIGHT TO REVOKE.
   (A)   The city reserves the right to terminate and cancel the franchise and all rights and privileges of the franchise in the event:
      (1)   The licensee substantially violates any material provision of the franchise;
      (2)   The licensee attempts to evade any material provision of the franchise;
      (3)   The licensee practices any fraud or deceit upon the city;
      (4)   The licensee becomes insolvent, unable or unwilling to pay its debts;
      (5)   The licensee is adjudged bankrupt;
      (6)   The licensee materially misrepresents a fact in the application for, negotiation of or administration of the franchise; or
      (7)   Upon the conviction of any director, officer, employee or agent of the licensee of the offense of bribery, fraud or extortion connected with or resulting from the awarding of the franchise.
   (B)   Nothing in the franchise shall preclude termination of it at any time by mutual agreement of both the city and licensee.
(2005 Code, § 13-401)
§ 13-402  PROCEDURES.
   (A)   The city shall provide the licensee with a written notice of the cause for termination and its intention to terminate the franchise and shall allow the licensee a minimum of 60 days after service of the notice in which to correct the violation.
   (B)   The licensee shall be provided with an opportunity to be heard at a public hearing before the city prior to the termination of the franchise. The city shall hear any persons interested therein, and shall determine, in its discretion, whether or not any failure, refusal or neglect by the licensee has occurred. If the city determines that such failure, refusal or neglect has occurred, the city shall decide whether or not it was with just cause.
   (C)   If such failure, refusal or neglect by the licensee to comply within such time was with just cause, the city shall direct the licensee to comply within such time and manner and upon such terms and conditions as are reasonable.
   (D)   If the city shall determine such failure, refusal or neglect by the licensee was without just cause, then the city may, by resolution, declare that the franchise of the licensee shall be terminated unless there is compliance by the licensee within such period as the city may fix.
(2005 Code, § 13-402)
§ 13-403  REMOVAL OF SYSTEMS.
   Upon termination, forfeiture or expiration of the franchise, if not renewed, the licensee shall remove its cables, wires and appliances from the streets and other public and private property within the city if the city so requests, and the city shall follow procedures set forth in the franchise agreement in the event the licensee fails to remove its cable, wires and appliances from the streets and other public and private property within the city.
(2005 Code, § 13-403)
§ 13-404  PURCHASE.
   When the system or the franchise is offered for sale or at the termination of the franchise, the city shall have the right to purchase the system in the manner set forth in the franchise agreement.
(2005 Code, § 13-404)
§ 13-405  ABANDONMENT.
   The licensee may not abandon any cable communications service or any portion thereof without having given three months’ prior written notice to the city. Further, the licensee may not abandon any cable communications service or any portion thereof without compensating the city for damage resulting from the abandonment. The city may recover from the licensee damage for the reasonable cost of removal of the system.
(2005 Code, § 13-405)
§ 13-406  FORECLOSURE.
   Upon the foreclosure or other judicial sale of all or a part of the system, the licensee shall notify the city of such fact and such notification shall be treated as a notification that a change in control of the licensee has taken place, and the provisions of the franchise governing the consent to transfer or change in ownership shall apply without regard to how such transfer or change in ownership occurred.
(2005 Code, § 13-406)
§ 13-407  RECEIVERSHIP.
   (A)   The city shall have the right to cancel this franchise 120 days after the appointment of a receiver or trustee to take over and conduct the business of the licensee, whether in receivership, reorganization, bankruptcy or other action or proceeding, unless such receivership or trusteeship shall have been vacated prior to the expiration of said 120 days, or unless:
      (1)   Within 120 days after his or her election or appointment, such receiver or trustee shall have fully complied with all the provisions of the franchise and remedied all defaults thereunder; and
      (2)   Such receiver or trustee, within said 120 days, shall have executed an agreement duly approved by the court having jurisdiction in the premises, whereby such receiver or trustee assumes and agrees to be bound by each and every provision of the franchise.
   (B)   In the case of a foreclosure or other judicial sale of the plant, property and equipment of the licensee, or any part thereof, the city may serve notice of termination upon the licensee and the successful bidder at such sale, in which event the franchise herein granted and all rights and privileges of the licensee hereunder shall cease and terminate 30 days after service of such notice, unless:
      (1)   The city shall have approved the transfer of this franchise; and
      (2)   Such successful bidder shall have covenanted and agreed with the city to assume and be bound by all terms and conditions of this franchise.
(2005 Code, § 13-407)
ARTICLE 5: SALE, TRANSFER AND RENEWAL OF FRANCHISE
Section
   13-501   Sale or transfer of franchise
   13-502   Amendment of franchise ordinance
   13-503   Franchise renewal
   13-504   Administration of franchise
   13-505   Continuity of service
   13-506   Work performed by others
§ 13-501  SALE OR TRANSFER OF FRANCHISE.
   The sale or transfer of the franchise or sale or transfer of stock so as to create a new controlling interest is prohibited, except at the approval of the city, and that such sale or transfer is completed as agreed upon in the franchise agreement.
(2005 Code, § 13-501)
§ 13-502  AMENDMENT OF FRANCHISE ORDINANCE.
   After published notice, public hearings and deliberations of the city, this chapter may be amended upon a majority vote of the city and the written consent of the licensee.
(2005 Code, § 13-502)
§ 13-503  FRANCHISE RENEWAL.
   (A)   Any franchise granted under this chapter may be renewed by the city upon application of the license pursuant to the procedure established in subsections (B) and (C) below, and in accordance with the then applicable law.
   (B)   Except by mutual agreement of the city and the licensee, no earlier than two years and not less than 18 months prior to the expiration date of the franchise, the licensee may submit an application for renewal to the city. At that time, after giving due public notice, the city shall review the provisions of the franchise and shall evaluate the performance of the licensee, including but not limited to the results of the system performance and periodic review and evaluation sessions. In making this evaluation, the city shall consider relevant factors, including, but not limited to, the following:
      (1)   Technical development and performance of the licensee’s cable system as required by the franchise agreement;
      (2)   Programming;
      (3)   Additional services reasonably offered by the licensee;
      (4)   Cost of service;
      (5)   All obligations of the licensee as prescribed in the franchise;
      (6)   Cable industry performance nationwide; and
      (7)   Comments from residents and representatives of community organizations submitted in manner to be determined by the city.
   (C)   After holding a public hearing, the city shall take such actions as it deems appropriate, which may include any of the following.
      (1)   If the city finds the licensee’s performance satisfactory, a franchise renewal may be granted pursuant to this chapter as amended, for an additional period of up to 25 years. Subsequent renewal for up to 25-year periods may be applied for by the grantee in accordance with the procedure outlined in this section.
      (2)   In the event the licensee is determined by the city to have performed unsatisfactorily, new applications may be sought and evaluated and a franchise awarded in accordance with franchising procedures then in force.
      (3)   The city may direct the licensee to remove and dismantle its system at the licensee’s cost.
      (4)   Absent a timely request from the licensee to renew the franchise, the franchise shall terminate at the end of its initial or any renewal term.
      (5)   The city may take such other action as allowed by law which, in its sole discretion, it shall deem appropriate.
(2005 Code, § 13-503)
§ 13-504  ADMINISTRATION OF FRANCHISE.
   (A)   The City Administrator, or his or her designee, shall be responsible for the continued administration of the franchise.
   (B)   The city shall have continuing regulatory jurisdiction and supervision over the system and the licensee’s operation under the franchise. The city may issue such reasonable rules and regulations concerning the construction, operation and maintenance of the system as are consistent with the provisions of the franchise.
   (C)   The licensee shall construct, operate and maintain the system subject to the reasonable supervision of all the authorities of the city and in compliance with all laws, ordinances, departmental rules and regulations affecting the systems.
(2005 Code, § 13-504)
§ 13-505  CONTINUITY OF SERVICE.
   Upon the expiration of a franchise, the city may require the licensee to continue to operate the system for an extended period of time not to exceed six months from the date of such expiration unless extended by city resolution. The licensee shall, as trustee for its successor in interest, continue to operate the 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 that time. In the event the licensee does not so operate the system, the city may take such steps as it, in its sole discretion, deems necessary to assure continued service to the subscribers.
(2005 Code, § 13-505)
§ 13-506  WORK PERFORMED BY OTHERS.
   (A)   The licensee shall give notice to the city specifying the names and addresses of any other entity, other than the licensee, which performs services pursuant to the franchise; provided, however, that, all provisions of the franchise remain the responsibility of the licensee.
   (B)   All provisions of the franchise shall apply to any subcontractor or other performing any work or services pursuant to the provisions of the franchise.
(2005 Code, § 13-506)
ARTICLE 6: GENERAL ADMINISTRATION
Section
   13-601   Records and reports
   13-602   Maintenance and complaints
   13-603   Rates and other charges
   13-604   Rate changes
   13-605   Resident manager required
§ 13-601  RECORDS AND REPORTS.
   (A)   All franchises issued by the city shall be subject to the imposition tax. The city shall have access at all reasonable hours to all of a licensee’s plans, contracts and engineering, accounting, financial, statistical, customer and service records relating to the franchised system and the operation of the licensee and all other records required to be kept hereunder.
   (B)   The following records and reports shall be filed with the City Clerk and in the local office of the licensee:
      (1)   Licensee rules and regulations. Copies of such rules, regulations and terms and conditions adopted by the licensee for its business; and
      (2)   Revenue. An annual report showing total revenues and gross receipts shall be filed in the office of the City Clerk no later than 120 days following the end of the licensee’s fiscal year.
(2005 Code, § 13-601)
§ 13-602  MAINTENANCE AND COMPLAINTS.
   A telephone number for the reception of complaints shall be provided to subscribers and the licensee shall maintain a repair service capable of responding to subscriber complaints within 24 hours after receipt of the complaint pursuant to the agreement. The licensee shall investigate and resolve all complaints regarding quality of service, equipment malfunction, billing disputes and other matters pursuant to the procedure set forth in the franchise agreement. The licensee will bear the cost included in making such repairs, adjustments or installations unless the licensee deems such repairs necessary due to neglect or abuse of a subscriber. All costs for repairs necessary due to neglect or abuse of a subscriber shall be borne by the subscriber.
(2005 Code, § 13-602)
§ 13-603  RATES AND OTHER CHARGES.
   (A)   (1)   Unless preempted by federal law, all rates and charges for basic service shall be subject to regulation by the city in accordance with the provisions of Neb. RS Ch. 18, Art. 22.
      (2)   In the absence of any city action taken to exercise rate regulation, the licensee shall be subject to the rate regulation provisions provided herein.
   (B)   Rates and charges charged by the licensee for monthly services and installation and all other charges hereunder shall be uniform, fair and reasonable and designed to meet all necessary costs of service, including a fair rate of return.
(2005 Code, § 13-603)
§ 13-604  RATE CHANGES.
   (A)   Unless permitted by federal law, increases in the rates and charges for basic service as set forth by the franchisee may not be made without prior approval of the city. All such increases shall be subject to the procedures set forth below.
   (B)   (1)   The licensee may make application to the city for a revision of the rate schedules.
      (2)   No revisions shall be approved unless all of the standards and prerequisites of revision have been met and complied with and determinations have been made, all pursuant to this section, unless further review is deemed not necessary.
      (3)   The rate schedule will be deemed revised upon approval of a majority vote of the city.
   (C)   The standards for granting a revision, where review is deemed necessary, will include at least the following:
      (1)   The ability of the licensee to render the system services and to derive a reasonable profit therefrom under the existing rate schedule and proposed rate schedule;
      (2)   Cash flow derived from system services;
      (3)   Rate of return on the licensee’s equity as compared to businesses of equivalent risk. The rate of return shall be calculated on a cumulative basis for all system revenues and costs including services such as pay television that may be exempt from local rate regulation. Upon request of the city, the licensee shall promptly provide all information as shall be necessary to determine the system revenues and costs;
      (4)   A fair rate of return with respect to investments having similar risks to that of providing cable communication services;
      (5)   Capital expenditures by the licensee in providing updated technology and service to subscribers as compared to other systems of similar size and complexity;
      (6)   Prevailing rates for comparable services in other systems of similar size and complexity and similar material franchise requirements; and
      (7)   Such other factors as the city or the licensee may deem relevant.
   (D)   In any proceeding, the city may exclude from the accounts of the licensee any payment or compensation to any parent corporation or any affiliated interest for any services rendered or property or service furnished unless the licensee shall establish the legitimacy and reasonableness of such payment or compensation.
   (E)   The procedures to be followed in revising the rate schedule shall include at least the following:
      (1)   A proposal for rate change will be submitted to the city;
      (2)   The proposal shall be supported by statistical and other proof indicating that the existing rate or charge is inadequate and unreasonable and that the proposed changes are required and will enable the licensee to render service, to fulfill its obligations under the franchise and to derive a reasonable profit therefrom;
      (3)   The proposal shall include (or the licensee shall provide at the request of the city) current information and financial information with at least the following from the licensee concerning the cost of serving the city:
         (a)   Balance sheet;
         (b)   Income statement;
         (c)   Statement of sources and applications of funds;
         (d)   Detailed supporting schedules of expense, income, assets and other items as may reasonably be required by the city;
         (e)   Statement of current and projected subscribers; and
         (f)   A current list of rates and charges of the licensee applicable to other systems owned or operated by the licensee.
      (4)   The city and the franchisee will follow the procedure established by Neb. RS 18-2206.
(2005 Code, § 13-604)
§ 13-605  RESIDENT MANAGER REQUIRED.
   A licensee shall, throughout the entire duration of this chapter, maintain an office, open to the public during all reasonable business hours, within the city, and the licensee shall require a resident manager of the system, and such person shall be available to and be active in the management of the system throughout the duration of this chapter.
(2005 Code, § 13-605)
ARTICLE 7: GENERAL FINANCIAL AND INSURANCE PROVISIONS
Section
   13-701   Security fund
   13-702   Liability insurance and indemnification
   13-703   Performance guarantee required
   13-704   Duty to licensee
   13-705   No recourse against the city
§ 13-701  SECURITY FUND.
   (A)   At the time a franchise is accepted and at all times thereafter until the licensee has liquidated all of its obligations with the city, the licensee shall furnish a security fund approved by the city in such amount as the city deems to be adequate compensation for damages resulting from the licensee’s non-performance.
   (B)   The city may, from year to year, in its sole discretion, reduce the amount of the security fund. The amount of the security fund shall be as set forth in a franchise agreement.
(2005 Code, § 13-701)
§ 13-702  LIABILITY INSURANCE AND INDEMNIFICATION.
   (A)   The licensee shall indemnify and hold harmless the city at all times during the term of the franchise, and maintain throughout the term of the franchise, liability insurance in such amount as the city may reasonably require insuring both the city and the licensee with regard to all damages and penalties which they may legally be required to pay as a result of the exercise of the franchise. The licensee shall initially maintain insurance in such amounts as set forth in the franchise agreement.
   (B)   Every licensee under this article shall indemnify and hold harmless the city, against and from any and all claims, demands, causes of action, damages, costs or liabilities in law or in equity of any kind and nature whatsoever, directly or indirectly resulting from or caused by the construction, installation, operation or maintenance of the franchised system within the corporate limits of the city. Every licensee shall, during the term of his or her franchise, maintain in full force and effect, written by a company or companies authorized and qualified to do business in the state, and serviced through an authorized agent doing business within the city and satisfactory to the city:
      (1)   Worker’s compensation insurance in compliance with the law of the state and employees’ liability insurance with limits of $100,000 each accident:
         (a)   Five hundred thousand dollars for disease (policy limit); and
         (b)   One hundred thousand dollars for disease (each employee).
      (2)   (a)   General liability limits of general aggregate: $2,000,000;
         (b)   Products completed operations aggregate: $2,000,000;
         (c)   Personal and advertising injury: $1,000,000; each occurrence $1,000,000; and
         (d)   Fire damage: $50,000, on occurrence form of liability.
      (3)   Auto liability of $500,000, combined single limits using Symbol 1 “any auto” with hired auto’s included.
   (C)   (1)   Failure to carry and maintain such insurance in full force and effect and furnish continuing evidence thereof, in the required amounts, may, in the discretion of the City Council, result in termination of such franchise in the manner and under the conditions otherwise specified in this chapter.
      (2)   The licensee assumes all risk of loss, damage or destruction of or to the licensee’s equipment and other property by the city, its departments, officers and employees, or resulting from or attributable to the condition of any public street, alley or other public place, other than willful and deliberate misconduct on the part of any official or employee of the city.
(2005 Code, § 13-702)
§ 13-703  PERFORMANCE GUARANTEE REQUIRED.
   Every applicant under the provisions of this article shall, together with its application for the franchise hereunder, and acceptance of the terms and conditions of this chapter, file with the City Clerk a U.S. Treasury Department approved corporate surety performance bond in the amount of $25,000, which will be discharged and released in case of the completion and installation of the system as herein required within 18 months after the date of commencement of construction; provided, the licensee commenced construction within 120 days or completion of pole agreements, whichever is of the latest date, and shall have completed the construction of the system and is offering wired or cabled television or radio service to not less than 100% of the land area within the existing corporate limits of such city as of the effective date of the grant of each respective franchise, within 18 months; further provided, the preparations of the proposed system shall constitute the starting or commencement of construction hereunder; and, further provided, a map of such basic survey shall be filed with the City Administrator within such 120 days or after completion of pole agreements, whichever is the latest date.
(2005 Code, § 13-703)
§ 13-704  DUTY TO LICENSEE.
   Nothing contained in the franchise shall relieve any person from liability arising out of the failure to exercise reasonable care to avoid injuring the licensee’s facilities while performing any work connected with grading or changing the line of any street or public place or with the construction or reconstruction of any sewer or water system.
(2005 Code, § 13-704)
§ 13-705  NO RECOURSE AGAINST THE CITY.
   The licensee shall have no recourse whatsoever against city or its officials, agents or employees for any loss, costs, expense or damage arising out of any provision or requirement of the franchise or because of the enforcement of the franchise.
(2005 Code, § 13-705)
ARTICLE 8: RIGHTS OF INDIVIDUALS PROTECTED
Section
   13-801   Monitoring subscriber viewing
   13-802   Sale of subscriber lists prohibited
   13-803   Protection of system integrity
   13-804   Discrimination prohibited
§ 13-801  MONITORING SUBSCRIBER VIEWING.
   (A)   No signals of a cable communications channel may be transmitted from a subscriber terminal for purposes of monitoring individual viewing patterns or practices without the express written permission of the subscriber. Request for such permission shall be contained in a separate document with a prominent statement that the subscriber is authorizing the permission in full knowledge of its provisions. Such written permission shall be for a limited period of time not to exceed one year, or until the subscriber changes services, and shall be renewed at the option of the subscriber.
   (B)   No penalty shall be invoked for the subscriber’s failure to provide or renew such authorization. The authorization shall be revocable at any time by the subscriber without penalty of any kind whatsoever. Such permission shall be required for each type or classification of cable communications activity planned for the purpose.
(2005 Code, § 13-801)
§ 13-802  SALE OF SUBSCRIBER LISTS PROHIBITED.
   (A)   No information or data obtained by monitoring transmission of a signal from a subscriber terminal, or by any other means, including, but not limited to, lists of the names and addresses of such subscribers or any lists that identify the viewing habits of subscribers shall be sold or otherwise made available to any party other than to the licensee and its employees for internal business use, and also to the subscriber who is a subject of that information, unless the licensee has received specific written authorization from subscriber to make such data available.
   (B)   The sale of any subscriber list, however generated, is also prohibited.
(2005 Code, § 13-802)
§ 13-803  PROTECTION OF SYSTEM INTEGRITY.
   Written permission from the subscriber shall not be required for the conducting of system-wide or individually addressed electronic sweeps for the purpose of verifying system integrity or monitoring for the purpose of billings. Confidentiality of such information shall be subject to the provision set forth in § 13-704 of this chapter.
(2005 Code, § 13-803)
§ 13-804  DISCRIMINATION PROHIBITED.
   (A)   The licensee shall not deny service, deny access or otherwise discriminate against subscribers, channel users or general citizens on the basis of race, color, religion, national origin, age or sex. The licensee shall comply at all times with all other executive and administrative orders relating to non- discrimination which are hereby incorporated and made part of this chapter by reference.
   (B)   The licensee shall strictly adhere to the equal employment opportunity requirements of the FCC, state and local regulations, and as amended from time to time.
   (C)   A licensee shall not, as to rates, charges, service, facilities, rules, regulations, or in any other respect, make or grant any preference or advantage to any person, nor subject any person to any prejudice or disadvantage.
(2005 Code, § 13-804)