(A) Prior to any cable system construction, upgrade or other such work in the public rights-of-way, a franchisee shall establish in the county’s favor a performance bond to insure the franchisee’s faithful performance of the construction, upgrade or other work. The amount of such performance bond shall be equal to 10% of the total cost of the work unless otherwise specified in the franchise agreement.
(B) In the event a franchisee subject to such a performance bond fails to complete the cable system construction, upgrade or other work in the public rights-of-way in a safe, timely and competent manner, after notice and a reasonable opportunity to cure, there shall be recoverable, jointly and severally from the principal and surety of the bond, any damages or loss suffered by the county as a result, including the full amount of any compensation, indemnification or cost of removal or abandonment of any property of the franchisee, or the cost of completing or repairing the system construction, upgrade or other work in the public rights-of-way, plus a reasonable allowance for attorneys’ fees, up to the full amount of the bond. The county may also recover against the bond any amount recoverable against a security fund where such amount exceeds that available under a security fund.
(C) Upon completion of the system construction, upgrade or other such work in the public rights-of-way and payment of all construction obligations of the cable system to the satisfaction of the County Board, the County Board shall eliminate the bond after a time appropriate to determine whether the work performed was satisfactory, which time shall be established considering the nature of the work performed.
(D) The performance bond shall be issued by a surety with an B+7 or better rating of insurance in Best’s Key Rating Guide, Property/Casualty Edition; shall be subject to the approval of the County Attorney; and shall contain the following endorsement:
“This bond may not be cancelled, or allowed to lapse, until 60 days after receipt by the county, by certified mail, return receipt requested, of a written notice from the issuer of the bond of intent to cancel or not to renew.”
(1993 Code, § 72.171) (Ord. 96-12, passed 10-16-1996)