A. In accordance with Public Utilities Code Section 5900 or its successor section, the City Council may from time to time adopt, by resolution, a schedule of penalties for any material breach, as that term is defined in subdivision (j) of Public Utilities Code Section 5900 or its successor section, by a holder of a state franchise.
B. The City Manager shall have the authority to assess penalties for any material breach by a holder of a state franchise. Prior to assessing penalties for a material breach, the City Manager shall first have provided the state franchise holder with written notice of any alleged material breach of the customer service provisions set forth in California Public Utilities Code Section 5900 and shall allow the state franchise holder at least thirty (30) days from receipt of the notice to remedy the specified material breach. If the material breach has not been remedied upon the expiration of this thirty (30) day period, the City Manager may commence the assessment of penalties. In the event that a specified material breach has not been remedied following the City Manager's assessment of penalties in the maximum amount permitted per occurrence, the City Manager, after providing a subsequent written notice of the alleged material breach, may treat the continuing occurrence as a subsequent material breach.
C. The city shall submit one half of any penalty amounts it receives to the Digital Divide Account established by California Public Utilities Code Section 280.5.
D. No monetary penalties shall be assessed for a material breach if it is out of the reasonable control of the state franchise holder.
(Ord. 2009-04 § 2 (part), 2009)