4.20.102.26   Gross revenues.
   "Gross revenues" shall mean and include all amounts which are actually received, directly or, indirectly, by a franchisee from or in connection with the operation of the cable system, or any part of the system, located within the borders of the city and utilizing city streets and rights-of-way, or any other communications services, including but not limited to:
   4.20.102.26.1.   Any revenue (including franchise fees) received from subscribers for cable service, including but not limited to revenue for basic service, tier service, additional outlets, audio service, commercial service, premium service, pay-per-view service and related per-event services, or data transmission services, or for the distribution of any cable service over the system;
   4.20.102.26.2.   Any revenue received from subscribers for installation, change in service and reconnection charges and similar fees;
   4.20.102.26.3   Any revenue received from subscribers for converters, remote controls, modems, or other equipment leased or rented to subscribers in connection with the delivery of cable services to such subscribers;
   4.20.102.26.4.   Any revenue received from subscribers for service charges and late fees attributable to delinquent accounts;
   4.20.102.26.5.   Any revenue received from service related activities, including but not limited to revenue received from leased access programmers and other users, and revenue derived from or equivalent to the fair market value of trades and barters;
   4.20.102.26.6.   Any revenue, payment or consideration collected by the franchisee from subscribers for direct payment to a third party as a cost of doing business (including, but not limited to, copyright fees, program license fees and subscriber payments for PEG access, but excluding payments for leased access programming where franchisee serves as a collection agent and passes through leased access fees directly to leased access programmers without deducting franchisee's billing fees), and such revenue, payment or consideration shall be included in, and not deducted from, the total gross revenue figure on which franchise fees are to be paid;
   4.20.102.26.7.   Any revenue of any other person which is derived directly or indirectly from or in connection with the operation of a cable system within the city, including but not limited to revenue or compensation paid directly by such cable system subscribers or users, advertisers on such cable system or others:
   4.20.102.26.7.1.   To the suppliers of programming on such cable system,
   4.20.102.26.7.2.   To home shopping services in connection with the sales of products or services derived from programming over such a cable system, or
   4.20.102.26.7.3.   To leased access programmers for programming transmitted over such a cable system; provided, however, that the franchisee shall not be required to collect, and shall not be liable for, franchise fees based on such revenues from such other persons to the extent that such revenues are not collected by the franchisee, or, if they are collected by the franchisee such revenues are retransmitted directly to such other persons without the deduction of any billing or other fees by the franchisee;
   4.20.102.26.8.   Any revenue received by the franchisee from the delivery of other communications services over its cable system, including without limitation telephony, data transmission, interactive services and other broadband information services, to the extent that the inclusion of such revenue is not prohibited by law; and
   4.20.102.26.9.   Any revenue of any other person which is derived or received with the purpose or effect of excluding such revenue from the computation of the franchise fee otherwise due and payable to the city in accordance with the provisions of the ordinance codified in this chapter and the franchisee's franchise agreement;
   4.20.102.26.10.    There shall be deducted from gross revenues:
   4.20.102.26.10.1.   Bad debts written off by franchisee in the normal course of its business, provided, however, that bad debt recoveries shall be included in gross revenue; and
   4.20.102.26.10.2.   Refunds made to subscribers or other third parties;
   4.20.102.26.11.   Gross revenues shall not include any revenue specifically exempted by the cable act, or by federal or state judicial ruling, or by specific FCC ruling. For any revenue the cable service provider seeks to exempt, the cable service provider shall have the burden of proving to the city that any revenue that is excluded from the computation is specifically exempted by the cable act or by federal or state judicial ruling, or by specific FCC ruling. In addition to the above, gross revenues shall also not include the following:
   4.20.102.26.11.1.   Any tax of general applicability imposed upon a franchisee or upon the franchisee's subscribers by state, federal or any other governmental entity and required to be collected by the franchisee and passed through to the taxing entity (including, but not limited to, user taxes, service taxes and communications taxes), provided such taxes are identified as a separate line item on subscriber statements;
   4.20.102.26.11.2.   Any revenue received by the franchisee from any person for services not attributable in whole or in part to its cable system or to other communications services serving the city, including, but not limited to, revenue derived from electronics retailing, mall marketing or telephone answering services which do not rely upon the use of the franchisee's cable system or other communications services, delivery services and video production services for programming or other communications services which are not transmitted over or used in connection with the system; and
   4.20.102.26.11.3.   Any foregone revenue which franchisee chooses not to receive in exchange for its provision of free or reduced cost cable services or other communications services to any person, including without limitation employees of the franchisee, city institutions or other institutions designated in a franchise agreement; provided, however, that such foregone revenue which franchisee chooses not to receive in exchange for trades, barters, services or other items of value shall be included in gross revenues.
   4.20.102.26.12.   In computing gross revenues from sources other than a franchisee's subscribers, including, but not limited to, revenue derived from the sale of advertising, lists of the names and addresses of franchisee's subscribers, home shopping services, guide sales, or the lease of channel capacity over its cable system, which revenue is attributable both to the operation of franchisee's cable system inside the city and in areas outside the city, the aggregate revenue received by franchisee from such other sources shall first be multiplied by a fraction, the numerator of which shall be the number of franchisee's subscribers in the city as of the last day of such period and the denominator of which shall be the number of subscribers within all areas served by franchisee as of the last day of such period, and then assessed for franchise fees. (Ord. 205 § 3, 2001)