(A) The town, hereby reserves the right to amend any section, part or whole of this chapter.
(B) Nothing herein shall be deemed or construed to impair or affect, in any way, to any extent, any right of the town to acquire the property of the grantee its successors or assigns, by purchase at an agreed upon price. Said acquisition could only occur in the event of termination of franchise or in denial of a renewal period.
(C) At all reasonable times, the grantee shall permit any duly authorized representative of the town:
(1) To examine any and all financial records maintained by or under the control of the grantee relating to all revenue obtained by it from its operations under the franchise;
(2) To inspect and obtain copies of any or all maps or other diagrams maintained by or under control of the grantee showing the location and the layout of the various components of the CATV service operated by it under the franchise; and
(3) To inspect any and all installations owned, maintained or used by the grantee in its operations under its permit, including all towers, cables and other components of the grantee’s CATV service.
(D) The grantee shall indemnify and save harmless the town, its officers and employees from and against any and all claims, demands, actions, suits and proceedings by others, and against all liability to others, arising out of the exercise or enjoyer of its franchise, including, but not limited to, any liability for damages by reason of or arising out of any failure of the grantee to secure consents from the owners, authorized distribution or licensees of programs to be delivered by the grantee’s CATV service and against any loss, cost, expense and damages resulting therefrom, including reasonable attorney’s fees.
(E) Concurrently with the filing of the written acceptance as required in § 111.06, the grantee shall file with the town’s designated agent and at all times thereafter maintain in full force and effect for the term of such permit or any renewal thereof a good and sufficient liability insurance policy or policies, or in lieu thereof a certificate or certificates of insurance demonstrating the existence of such coverage, providing $300,000 coverage for personal injuries to each person; $500,000 coverage for all personal injuries in each accident; and $300,000 coverage for all property damage in each accident. The policy or policies shall name the town as additional insured and shall be for the purpose of insuring the town against any and all legal liability, court costs and costs of defense for any action, cause of action, claim or demand for personal injury, death or property damage arising out of the operations of the grantee under this chapter of its permit.
(F) Concurrently with the filing of the written acceptance as required in § 111.04, the grantee shall file with the town’s designated agent a corporate surety bond by a company authorized to do business in the state and found acceptable by the Town Attorney, in the amount of $50,000 to guarantee the timely construction, and full activation of the cable television system.
(1) The bond shall provide, but not be limited to, the following condition: there shall be recoverable by the town, jointly and severally from the principal and surety any and all damages, loss or costs suffered by the town resulting from the failure of the grantee to satisfactorily complete and fully activate the cable television system pursuant to the terms of the franchise.
(2) The construction bond shall be terminated only after the Town Council find that the company has satisfactorily completed and fully activated the cable system pursuant to the terms of the franchise.
(3) The rights of the town with respect to the construction bond are in addition to all other rights of the town, whether reserved by this chapter or authorized by the law and no action, proceeding or exercise of a right with respect to such construction bond shall effect any other right the town may have.
(G) Concurrently with the filing of the written acceptance as required in § 111.04, the grantee shall deposit with the town’s designated agent a letter of credit from a financial institution in the amount of $10,000. The identity of the financial institution, and form and consent of such letter of credit shall be satisfactory to the Town Attorney. The letter of credit shall be used to insure the faithful performance by the grantee of all provisions of this chapter and the franchise and compliance with all reasonable orders, permits and directions of any agency of the town having jurisdiction over its acts of defaults under this chapter of the franchise, and the payment by the grantee of any claims, liens and taxes due the town which arise by reason of the construction, operations or maintenance of the cable television system.
(1) The letter of credit shall be maintained at $10,000 during the entire term of the franchise or until such time as the town may reduce the amount or release the letter. The town shall consider said reduction or release upon request of the grantee and not prior to two years after completion of the initial system. Criteria that the town may consider in its decision shall include the grantee’s total performance record within the town. The grantee shall maintain the letter of credit of $10,000, even if amounts are withdrawn pursuant to this section.
(2) If the grantee fails to pay the town any compensation within the time fixed herein; or fails, after 30 days’ notice to pay to the town any taxes due or unpaid, or fails to repay the town within such 30 days, any damages, costs or expenses which the town shall be compelled to pay by reason of any act or default of the grantee in connection with this chapter of the franchise; or fails, after three days’ notice of such failure to comply with any provision of this chapter or the franchise which the town’s designated agent reasonably determines can be remedied by demand on the letter of credit, the town’s designated agent may immediately request payment of the amount thereof, with interest and any penalties, from the letter of credit.
(a) Upon such request for payment, the town’s designated agent shall notify the grantee of the amount and date thereof.
(b) The rights reserved to the town with the respect to the letter of credit are in addition to all other rights of the town, whether reserved by the ordinance or authorized by law, and no action, proceeding or exercise of a right with respect to such letter of credit shall affect any other right the town may have.
(H) The operation of any CATV system shall be subject to and restricted by the rules, regulations and specifications promulgated from time to time by the Federal Communications Commission and similar agencies affecting CATV systems of the type contemplated by this franchise.
(I) The grantee shall pay to the town all expenses, including reasonable legal and consulting fees in connection with the granting of a franchise pursuant to the provisions of this chapter less all application fees collected by the town pursuant to the process leading to the award of the franchise. Such payment shall be made within 30 days after the town furnishes the grantee with written statement of such expenses.
(J) The town hereby reserves the right to periodically review the technological operation of the grantee to ensure that the subscribers receive the highest technically financially feasible level of service than can be provided.
(Ord. passed 5-9-1983)