Each franchisee shall file with the certificate of acceptance which it files pursuant to the provisions of Section 5.28.440 of this chapter, a certified or cashier's check in the amount of two hundred fifty thousand dollars ($250,000.00) made payable to the order of the cable television commission. The check shall be cashed and the proceeds retained by the treasurer of the commission in a special account. Said sum shall be maintained by the treasurer as security for the faithful performance by the franchisee of all of the provisions of the franchise documents, any damages, including, but not limited to, liquidated damages, delinquent franchise fees, compensation and costs of completing or repairing the cable television system, and compensation and costs of removal of abandoned property, and repair of streets, and other public or private improvements incurred as a result of the failure of the franchisee to comply with the provisions of the franchise documents, and shall be payable from the account upon the terms, conditions and under the procedures prescribed by Section 5.28.1830 of this chapter. Interest earned upon the sum shall accrue to the credit of the account.
Within ten (10) calendar days after notice is mailed to the franchisee that any amount has been withdrawn from the special account, the franchisee shall deposit with the treasurer of the commission such sum as may be necessary to restore the account to its required amount, including any interest which may have accrued and been credited to the account.
On the date of issuance of the final order of completion pursuant to Sections 5.28.1000 or 5.28.1010 of this chapter, the commission shall reduce the amount of said security deposit by paying so much thereof to the franchisee as will reduce the amount of said deposit retained to one hundred thousand dollars ($100,000.00), unless on said date there are scheduled or pending or intended to be scheduled or pending proceedings relating to the alleged violation by the franchisee of any of the provisions of Section 5.28.950 of this chapter. In such event the reduction shall not occur and payment shall not be made until such proceedings are terminated and any damages determined to be owing, compensated. Subsequent to such reduction and payment, said deposit shall be maintained at one hundred thousand dollars ($100,000.00) plus interest accumulations credited thereto during the remainder of the term of the franchise.
Upon termination of the franchise and satisfaction of any damages, including liquidated damages, which may be due, the balance of the special account, including all interest credited thereto, shall be returned to the franchisee.
The rights reserved with respect to the special account are in addition to all other rights of the county, cities and cable television commission, whether reserved by the franchise documents or authorized by law, and no action, proceeding or exercise of a right with respect to such account shall affect any other right which the county, cities, or commission may have. Nor shall the amount of the special account constitute a monetary limit on the liability for any actual or liquidated damages resulting from breach of the franchise documents. (Prior code § 20.08.702)