Loading...
(A) No transfer of effective ownership or control of the CATV system may take place, whether by force or voluntary sale, lease, mortgage, assignment, encumbrance or any other form of disposition, without prior notice to and approval by the Board of Alderpersons. The notice shall include full identifying particulars of the proposed transaction and the Board of Alderpersons shall act by resolution.
(B) The franchisee shall not issue any additional capital stock and shall not permit the transfer of more than 10% of its presently outstanding shares without the prior written consent of the Board of Alderpersons. No sale, lease, assignment or transfer shall be effective until the vendee, lessee, assignee or transferee has filed with the Board its acceptance of this grant.
(D) Prior approval of the Board of Alderpersons shall be required where ownership or control of more than 10% of the right of control of or interest in the franchise is acquired by a person or a group of persons acting in concert, none of whom already own or control 10% or more of the right of control or interest, singularly or collectively; provided, that the Board of Alderperson’s approval shall not be unreasonably withheld after proper application is made therefor.
(E) “Transfer of effective ownership or control” shall not include:
(1) Pledge or hypothecation or mortgage or similar instrument transferring conditional ownership or all or part of the system’s assets to a lender or creditor in the ordinary course of business, so long as the lender does not thereby acquire the right to control the system’s operations, but no transfer of conditional title can be made absolute or become effective without prior approval of the Board of Alderpersons; or
(2) The disposition of facilities or equipment no longer required in the conduct of business.
(F) The franchisee may hypothecate its interest under this chapter and the franchise agreement and in the CATV system to be constructed pursuant thereto for the purpose of securing a loan, the entire proceeds of which will be utilized in construction and operation of its CATV system in the franchise area. All terms and conditions contained in the hypothecation agreement shall be subject to the prior approval of the Board of Alderpersons and the successor in interest shall own and operate the CATV system subject to all provisions of this chapter and the franchise agreement.
(Prior Code, § 4.1-10) (Ord. passed 9-19-1979)
The franchisee shall be required to provide continuous service to all subscribers in return for payment of the established fee. If the franchise agreement becomes void for whatever reason, including normal expiration, revocation or foreclosure, the franchisee is required, at the option of the Board and as a part of the franchise, to continue to operate the system until an orderly change of operation is effected. In the event the franchisee fails to operate the system or allows a lapse in service without prior approval of the Board of Alderpersons, the Board or its agent shall operate the system until the time as a new operator is selected. If the Board is required to fulfill this obligation for the franchisee, the franchisee shall reimburse the Board for any costs or damages that are the result of the franchisee’s failure to perform.
(Prior Code, § 4.1-10) (Ord. passed 9-19-1979)
In the event the Board elects to revoke the franchise or fails to renew the franchise and providing the Board elects not to purchase the system, the Board may require that the system be sold to a franchisee designated by the Board of Alderpersons, at a purchase price that shall be equivalent to the fair market value determines in the same manner described in § 110.024 of this chapter.
(Prior Code, § 4.1-10) (Ord. passed 9-19-1979)
(A) Because of the regulatory, technical, financial, marketing and legal uncertainties associated with cable communications, the franchisee shall agree to the following review provisions, in order to provide for a maximum degree of flexibility in the franchise and to help achieve a continued advanced and modern system for the town.
(1) The Board and the franchisee shall hold scheduled review sessions within 30 days of the fifth and tenth anniversary dates of the franchisee’s obtaining certification for the system from the FCC.
(2) Special review sessions may be held in the Board’s meeting place at any time during the term of the franchise, upon reasonable notice by either party to the other. A special review session shall be held in the event any clause or section of this chapter is voided, nullified, deleted or modified by the authority of any regulatory agency, including the FCC and the franchisee will comply with the FCC rules within one year from adoption of the new rule.
(B) The following topics shall be discussed at every scheduled review session: Service, rate structures, free or discounted services, application of new technologies, state of the art, system performances, services provided, programming offered, customer complaints, privacy in human rights, amendments to this chapter, undergrounding provisions, judicial and FCC rulings and extension of service. In addition, other topics may be discussed as determined by the Board.
(C) At either a scheduled or special review session, a public hearing may be called, if and as determined by the Board of Alderpersons.
(Prior Code, § 4.1-10) (Ord. passed 9-19-1979)
FRANCHISE SERVICE AREA
(A) The franchise is for the area described in § 110.002.
(B) The franchisee agrees to make available basic CATV service to all residents of the town within the basic service area, subject to the provisions of § 110.047 of this chapter. The franchisee shall accomplish significant construction within one year after receiving Commission certification and shall thereafter equitably and reasonably extend energized trunk cables into a substantial percentage of its franchise area each year; the percentage shall be not less than:
(1) Fifty percent at the end of two years;
(2) Seventy percent at the end of three years;
(3) Eighty percent at the end of four years; and
(4) Ninety percent at the end of five years.
(Prior Code, § 4.1-11(b)) (Ord. passed 9-19-1979)
The franchisee may negotiate with any citizen or group of citizens outside the corporate limits for the extension of CATV service. Service may be extended to areas outside the corporate limits, provided there is no deterioration of service to citizens inside the corporate limits that results from the extension and provided all residents of the town have service available if they desire it. Negotiations for extension of service shall in no way result in any change in rate schedules.
(Prior Code, § 4.1-11) (Ord. passed 9-19-1979)
Loading...