(A) (1) For areas within the village, but outside the franchise area, including areas annexed after the effective date of its franchise, subject to ILCS Chapter 55, Act 5, § 5-1095, a franchisee shall upon request of the Village Board extend its trunk and distribution system to serve households desiring service without any construction charge, other than standard connection charges and drop charges as indicated in division (B) below, unless the franchisee demonstrates to the Village Board’s satisfaction evidenced by written decision that circumstances justify a specific charge, where the new subscriber requesting service is located within 500 feet from the termination of the cable system or the number of potential subscribers to be passed by the extension is equal to or greater than six potential households per quarter mile measured from any point on the system.
(2) In the event that the requirements set forth in the foregoing division (A)(1) above are not met, the franchisee shall, on request of the Village Board, extend its cable system based upon the following cost-sharing formula. The franchisee shall contribute an amount equal to the construction costs per mile multiplied by the length of the extension in miles, multiplied by a fraction where the numerator equals the number of potential households per quarter mile at the time of the request and the denominator equals six. Households requesting service as of the completion of construction can be required to bear the remainder of the total construction costs on a pro rata basis.
(3) (a) The “construction costs” are defined as the actual turnkey cost to construct the entire extension including lines, materials, electronics, pole make-ready charges and labor, but not the cost of drops except as provided below. If the franchisee proposes to require a household requesting extension to make a contribution in aid of extension, it must:
1. Notify the Village Board in advance;
2. Send the Village Board a copy of the invoice showing the amount actually charged each household requesting extension; and
3. Within 30 days of completion of the extension, furnish proof of the total cost of the extension and make any appropriate refunds if the total cost is less than the amounts charged in advance of construction.
(b) At the end of each calendar year, the franchisee must calculate the amount any contributing person would have paid based on the number of persons served at that time and pay back the difference between the amount actually collected from that person and the amount which would then be owed. The franchisee shall report such calculations and refunds to the Village Clerk by the end of January of the following year.
(B) (1) Except as federal rate regulations may otherwise require, the franchisee shall not assess any additional cost for service drops of 150 feet or less unless the franchise demonstrates to the Village Board’s satisfaction, evidenced by written decision, that circumstances justify a specific charge.
(2) Where a drop exceeds 150 feet in length, a franchisee may charge the subscriber for the difference between franchisee’s actual costs associated with installing a 150-foot drop and the franchisee’s actual cost of installing the longer drop, provided that drop length shall be the shorter of the actual length of installed drop or the shortest practicable distance to the point where the franchisee would be required to extend its distribution system.
(C) Except as federal rate regulations may otherwise require, in any area where a franchisee would be entitled to install a drop above ground, the franchisee will provide the subscriber the option to have the drop installed underground, but may charge the subscriber the difference between the actual cost of the above-ground installation and the actual cost of the underground installation.
(D) A franchisee must extend service to any person who requests it within seven days of the request within the franchise area or where service can be provided by activating or installing a drop within 150 feet of the existing distribution system; within 90 days of the request for service outside the franchise area where an extension of mile or less, but more than 150 feet, is required; or within six months for service outside the franchise area where an extension of mile or more is required.
(E) Because existing conditions can vary dramatically, the franchisee may, in its discretion, require commercial customers to pay all reasonable costs, including time and materials, in excess of the average cost of connection for residential services.
(`92 Code, § 8-1-54) (Ord. 96-19, passed 10-2-96) Penalty, see § 116.999