A. Controlling interest in a cable system shall not be sold, assigned or transferred in any manner, nor shall the title, either legal or equitable, relating to a system pass to or vest in any person or entity without the written permission of the board, which approval shall not be unreasonably withheld. The foregoing restriction does not apply to the granting of a security or mortgage interest in the grantee's assets by the grantee to a financing institution for the purpose of financing the construction, maintenance or operation of the cable system. No consent shall be required, however, for: 1) a transfer in trust, by mortgage, hypothecation, or by assignment of any rights, title, or interest of a grantee in the franchise or its cable system in order to secure indebtedness, or 2) a transfer to an entity directly or indirectly owned or controlled by such grantee.
B. A person or entity wishing to transfer control of or a controlling interest in a cable system shall make a written request to the board for such approval. Upon receipt of any such request, the village may require the grantee or any other party involved in the transfer to provide such information as is necessary to evaluate the transfer.
C. Consistent with applicable law, a franchise agreement may authorize the village to approve the transfer, deny the transfer with cause, or conditionally approve the transfer, provided that the village shall not unreasonably refuse to approve the transfer or condition the transfer upon unreasonable conditions. The conditions the village may attach to the transfer approval may include (if consistent with applicable law), but are not limited to: reimbursement for reasonable and necessary expenses incurred in evaluating the transfer request; remedy of existing or historical violations of village ordinances or the franchise agreement; and payment of all fees and penalties owed by the grantee at the time of transfer approval.
D. When the village approves a transfer under this section 3-1-10, the new grantee shall file all necessary bonds, funds, proofs of insurance and certifications as required by the franchise agreement. (Ord. 09-4-5, 4-7-2009)