Sec. 7B-3. Findings; purpose.

   (a)   The mayor and council finds that the city's streets constitute valuable public property,

   (1)   Having been acquired and maintained by the city over many years at taxpayer expense;

   (2)   Being capable of providing rights-of-way uniquely valuable to private companies in their respective businesses for providing telecommunications services for hire;

   (3)   Constituting public investments for which the taxpayers are entitled to a fair monetary return on the city's past and future investment in the city's infrastructure; and

   (4)   Comprising significant assets which should be managed fairly and appropriately to enhance the public safety and economy.

   (b)   Therefore, this chapter is intended:

   (1)   To regulate the provision of long distance competitive access services and competitive telecommunications services within the jurisdiction of the city;

   (2)   To provide for the payment of certain fees; and other valuable considerations to the city to allow the construction, operation, use and development of the system within the city;

   (3)   To provide conditions under which the system will serve present and future needs of government, public institutions, commercial enterprises, lawful public and private organizations, and the citizens and general public of the city; and

   (4)   To provide remedies and prescribe penalties for any violation of this chapter.

(Ord. No. 8522, § 1, 6-12-95)

Sec. 7B-4. License application and agreement.

   (a)   Application for license. Any applicant desiring a license to occupy the streets and other municipal rights-of-way of the city to operate a long distance competitive access service shall file an application with the department of information services in the form prescribed by the department and shall pay the filing fee prescribed by this chapter. Such application shall be processed in accord with A.R.S. Section 9-563 and section 7B-29 below.

   (b)   License agreement. Prior to, or in no event later than sixty (60) days after written notification of the award of a license by the city, the selected applicant shall execute a license agreement which shall set forth the terms and provisions of the license. The license agreement shall be subject to all provisions of this chapter and shall incorporate all terms and provisions included in the licensee's proposal. The licensee shall provide all that is set forth in its proposal to provide long distance competitive access service within the city. In case of any conflict or ambiguity between the terms of the license agreement and this chapter, that provision which provides the greatest benefit to the city, in the sole opinion of the city, shall govern. The license agreement may be amended only in writing upon mutual agreement of the city and licensee provided, however, that the city reserves the right to amend this ordinance to reflect or accommodate local concerns, or changes in the Arizona Revised Statutes and rules or orders of the Arizona Corporation Commission or the Federal Communications Commission pertaining to telecommunications services and providers and to conform any license issued hereunder accordingly.

(Ord. No. 8522, § 1, 6-12-95; Ord. No. 8545, § 2, 7-10-95)

Sec. 7B-5. Franchise application and agreement.

   (a)   Application for franchise. Any applicant desiring a franchise to occupy the streets and other municipal rights-of-way of the city to operate facilities to provide competitive telecommunications services shall file an application with the department of information services in the form prescribed by the department and pay the filing fee prescribed by this chapter. Such application shall be processed in accordance with paragraph (b) of this subsection and Section 7B-29 below.

   (b)   Franchise election. Upon finding that the application is in good order, the department of information services shall promptly notify the applicant of its determination and advise it to pay a franchise election fee to the city clerk in an amount to be determined by the city clerk within a specified number of days thereafter. Upon the city clerk's receipt of the fee, the city clerk shall cause a franchise election to be scheduled at the next date as determined by the mayor and council.

   (c)   Franchise agreement. Within sixty (60) days after notification of acceptance of the terms of the franchise by the city, the applicant shall execute a franchise agreement which shall set forth the terms and provisions of the franchise and which shall be submitted to the electorate pursuant to subsection (b) above. The franchise agreement shall be subject to all provisions of this chapter and shall incorporate all terms and provisions included in the applicant's proposal. In case of any conflict or ambiguity between the terms of the franchise agreement and this chapter, that provision which provides the greatest benefit to the city, in the sole opinion of the city, shall govern. The franchise agreement may be amended only in writing upon mutual agreement between the city and the franchisee and upon approval of the electorate; provided, however, that the city reserves the right to amend this ordinance to reflect or accommodate local concerns, changes in the Arizona Revised Statutes and rules or orders of the Arizona Corporation Commission or the Federal Communications Commission pertaining to telecommunications services and providers and to conform any franchise issued hereunder accordingly.

(Ord. No. 8522, § 1, 6-12-95)

Sec. 7B-6. Policy of innovation.

Recognizing the fluid and expanding state of the development of communications technology and uses, it is the policy of the city to strongly encourage experimentation and innovation in the development of system uses, services, and techniques that will be of general benefit to the community; provided that all such experiments and innovations shall be subject to the rules of the FCC and any other state and city laws.

(Ord. No. 8522, § 1, 6-12-95)

Sec. 7B-7. Time is of the essence.

Whenever this chapter or the license or franchise agreement sets forth any time for any act to be performed by the licensee or franchisee, such time shall be deemed of the essence; and the licensee's failure to perform within the time allotted shall, in all cases, be sufficient grounds for the city to invoke the remedies available under the terms and conditions of this chapter and the license or franchise agreement.

(Ord. No. 8522, § 1, 6-12-95)

Sec. 7B-8. License or franchise required.

   (a)   License or franchise required. No person shall provide competitive telecommunications services within the city, unless a license or franchise has first been granted by the mayor and council pursuant to the provisions of this chapter, and unless the license or franchise agreement is in full force and effect. No applications for a license or franchise shall be considered unless the city has first requested proposals in the form and in the manner prescribed by the city. Nothing in this chapter shall be deemed to require the granting of any license or franchise when in the opinion of the city it would not be in the public interest to do so.

   (b)   License or franchise nonexclusive. Any license or franchise granted pursuant to this chapter by the city shall not be exclusive, and the city specifically reserves the right to grant other licenses or franchises to any persons at any time and in any area of the city if the city determines that the granting of additional licenses or franchises are in the public interest.

   (c)   License or franchise binding. All provisions of this chapter and any license or franchise agreement shall be binding upon the licensee or franchisee, its successors, lessees or assignees.

(Ord. No. 8522, § 1, 6-12-95)