(A) Upon expiration of the term of the franchise or upon any other termination thereof, as provided for in this chapter or by law, or upon application for transfer approval, the city, at its sole option, upon payment to the grantee of a price equal to the fair market value of the system, in accordance with generally accepted cable television appraisals and accounting principles, shall have the right to purchase and take over the system. The above price shall not include, and the grantee shall not receive, anything for the valuation of "good will" or of any right or privilege under this franchise. In determining the fair market value, salvage value, depreciated book value, cash flow, replacement costs and other factors of the system, may be considered, and further, in the event of dispute of the matter, at the option of the city, the matter may be submitted to arbitration for determination in accordance with the rules of the American Arbitration Association.
(B) Upon the exercise of this option by the city, and its service of an official notice of such action upon the grantee and upon payment of the purchase price, the grantee shall immediately transfer to the city the possession and title to the CATV business, free from any and all liens and encumbrances not agreed to be assumed by the city.
(C) It shall be the right of all consumers to receive all available services insofar as the consumers meet their financial obligations to the grantee. In the event that the grantee elects to sell the system or the city gives notice of intent to terminate or fail to renew the franchise, the grantee shall act so as to insure that all consumers receive continuous uninterrupted service, regardless of the circumstances. During any such period, the grantee shall be entitled to the revenues for any period during which it operates the system.
(Ord. 86-2 § 10, 1986)