HomeMy WebLinkAboutOrd 3120 06/02/1981 RDINANCE NO. 3120
AN O~-~DINAN~ AMENDING THE MUNICIPAL CODE OF THE
VILLAGE OF MOUNT PROSPECT TO ADD THERETO A NEW
CHAPTER 6 ENTITLED "CABLE COMMUNICATIONS CODE"
PERTAINING TO THE FRANCHISE AND OPERATION OF A
CABLE TELEVISION SYSTEM WITHIN THE VILLAGE OP
MOUNT PROSPECT, ILLINOIS
WHEREAS, the Village of Mount Prospect has participated in many
'studies relative to entering into a franchise agreement for the
purpose of providing a cable television service within the Village;
and
WHEREAS, the Village of Mount Prospect has conducted hearings in an
effort to ascertain the needs and desires of the residents of the
Village, as well as the various agencies that could benefit from
such a cable television system; and
WHEREAS, the President and the Board of Trustees of the Village
of Mount Prospect have determined that such a cable television
system would be a benefit to the community.
NOW, THEREFORE, BE IT ORDAINED BY THE PRESIDENT AND BOARD OF
TRUSTEES OF THE VILLAGE OF MOUNT PROSPECT, COOK COUNTY, ILLINOIS:
SECTION ONE: Pursuant to ~e authority vested in the President
and Board of Trustees of the Village o[ Mount Prospect under Article VII
of the 1970 Constitution of the State of Illinois, the Municipal
Code of the Village of Mount Prospect of 1957, as amended, be and
the same is hereby further amended by deleting the word "Reserved"
from said Chapter 6 and st/bstituting therefor a new Chapter to be
entitled "CABLE COMMUNICATIONS CODE" and to read as follows:
HAPTER 6
ARTICLE I
ARTICLE I: CABLE COMMUNICATIONS CODE
SECTION 6.101 SHORT TITLE. This Chapter shall be known as
ihe Village of Mount Prospect Cable Communications Chapter.
SECTION 6.102 PURPOSES. The purpose oflthis,Chapter is to:
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Provide for ~zhe franchising and regulation of cable
television s~stems within the Village of Mount Prospect,
and
Provide for l~he payment of a fee and other valuable
consideratio~ to the Village of Mount-~Prospect for the
use of Village streets and other public ways in the
co?nstruction and operation of cable television systems,
and to compem~sate the Village of Mount Prospect for
costs associated therewith; and
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Provide for the regulation by the Village of ~fount
Prospect of tlhe rates and fees to be charged by Grantees
under this Ch.~pter and
P]3ovide for the development of cable television as a
m~ans to improve communication between and among the
citizens and public institutions of the Village of
Mount Prospects, and
Provide remedie:s and prescribe penalties for violation
of this Chapte~ and the franchises granted hereunder.
RTICLE II:
DEFINITIONS
SECTION 6~201. DEFINITIONS. For the purpose of this
Chapter, the following terms, phrases, words and their
derivations shall have the meaning given herein, unless the
context clearly indicat~es that another meaning is intended.
~men not inconsistent with the context, words used in the
present tense include the future, words in the plural number
include the singular number, and word,s in the singular
number include the plural number. The word "shall" is
always mandatory and not merely direc~tory.
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"Agency" means the person, depar~zment or agency designated
by the Village of Mount Prospect to act in matters
related to cable television or i~ fhe a~sence of such
designation, the President and Board of Trustees of the
Village of Mount-Prospect.
"Auxiliary Services" means any cc,mmunication service in
addition to "regular subscriber s~ervices" including,
but not limited to services for ~rhich a per program or
per channel charge is made, pay RTV, burglar alarm
services, data or other electronic transmission services,
facsimile reproduction services, meter reading services,
home shopping services, interactive two-way services
and any other service utilizing ~ny facility or equipment
of a cable television system ope~ating pursuant to a
franchise granted under this Chapter.
"Board" means the President and Board of Tru~stees of
the Village of Mount Prospect.
"Cable Television System" (or C~%TV system) m~ans any
non-broadcast facility consisti~g of a set of transmission
paths and associated signal gen~ration, reception, and
control equipment, that distrib~tes or is designed to
distribute to subscribers audio, video and other forms
of electronic or electrical signals, but such term
shall not include any such facility that serves or will
serve only subscribers in one or more multiple unit
dwellings under common ownership, control or management,
and does not use municipal right.s-of-way.
"Channel" is a band of frequenci~s, six megahertz wide
in the electro-magnetic spectrum capable of carrying
either one video signal and a fev~ non-video sign~ats, or
a large number of nonvideo signals.
"Converter" means an electronic device provided by a
Grantee which converts signals to a frequency not
susceptible to interference within the television
receiver of a subscriber, and by an appropriate clhannel
selector also permits a subscriber to view all signals
delivered at designated dial locations.
.201
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CABLE COMMUNICATIONS 6.20i
"Depreciated Replacement Value" means an amount to be
determined Which re~§~t~ the cost to duplicate or
replace or reconstruct all the tangible assets, as
built, less deductions for depreciation (straight line
method) representing the actual period in which such
facilities have been in place in the Village of Mount
Prospect, compared, to the estimated useful life of such
tangible assets. This estimate would be performed by a
qualified and nationally recognized consulting engineer,
expert in matters of cable television management and
financing.
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"Fair Market Value" means the price that a willing
buyer would pay to a willing seller for a going concern
based on the system valuation and sale multiples prevailing
in the industry.
"Federal ComMunications Commission" or "FCC" means the
present federal agency of that name as constituted by
the Communication Act of 1934, or any successor agency
created by the United States Congress.
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"Franchise" means the non-exclusive rights granted
hereunder, or as described in a Franchise Agreement
entered into between the Village of Mount Prospect and
a Grantee, to construct and operate a cable television
system along the public ways in the Village of Mount
Prospect, or within s~ecified areas in the Village of
Mount Prospect~ and is not intended to include any
license or permit required for the privilege of transacting
and carrying on a business within the Village of Mount
Prospect as may be required by other ordinance and laws
of the Village of Mount Prospect.
"Franchise Area" means that portion of the Village of
Mount Prospect for which a franchise is granted under
the authority of this Chapter. If not otherwise stated
in the franchise, the Franchise Area shall be the
corporate limits of the Village of Mount Prospect
including all territory thereafter annexed to the
Village of Mount Prospect.
"Grantee" means the natural person, partnership, domestic
or foreign corporation, association, joint venture, or
organization of any kind granted a franchise by the
Village of Mount Prospect under this Chapter and its
lawful successor, transferee or assignee.
"Gross Revenues" means all revenue, derived directly or
indirectly, excluding interest income, by the Grantee,
its affiliates, subsidiaries, parents, and any person
in which the Grantee has a financial interest, from the
operation or use of all or part of a Cable Television
System franchised pursuant to this Chapter, including
. 201 CABLE COMMUNICATIONS 6. 201
but not limited to~ revenue from regular subscriber
service fees, auxiliary service fees, installation
and reconnection fees, leased channel fees, converner
rentals, studio rental, production equipment and
personnel fees, and advertising revenues: Provided,
however, that this shall not include any taxes on
services furnished'by the Grantee herein imposed
directly upon any subscriber or user by the State,
local or other governmental unit and collected by the
Grantee on behalf of said governmental unit.
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"Persons" means any people, firms, corporations,
associations or other legally recognized entities.
"Public Way" means the surface, the~ air space above the
surface, and the area below the surface of any public
street, highway, lane, path, alley, sidewalk, boulevard,
drive, bridge, conduit, tunnel, park, parkways, waterways,
utility easements or other public right-of-way or
hereafter held by the Village of Mount Prospect which
shall entitle the Village of Mount Prospect and the
Grantee to the use thereof for the purpose of installing
and maintaining the Grantee's cable television system.
No reference herein, or in any franchise, to the "public
way" shall be deemed to be a representation or guarantee
by the Village of Mount Prospect that its title to any
property is sufficient to permit its use for such
purpose, and the Grantee shall, by its use of such
terms, be deemed to gain 0nly such rights to use property
in the Village of Mount Prospect as the Village of
Mount Prospect may have the undisputed right and power
to give.
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"Regula~ Subscriber Service" shall mean the distribution
to subscribers of signals over the cable television
system on all channels except those for which a per-
program or per-channel charge is made, two-way services,
and those intended for reception by equipment other
than a television broadcast receiver~
"Schools" means all public, and private, elementary and
secondary schools, junior colleges, colleges and universities
which have been granted a certificate of recognition by
the Illinois State Board of Education, pursuant to
Section 2-3.25 of the Illinois School Code.
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"Subscriber" means any person who receives the regular
subscriber service and/or any one or more of such other
services as may be provided by the Grantee's cable
television system, and does not further distribute such
service(s).
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CABLE COb~NICATIONS
6.201
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"Two-way Service" means the subscriber or any other
location shall have the capability no choose whether
or not to respond immediately or by sequential delay
by utilizing any type of terminal equipment wbatever,
by pushbutton coder dial code, meter, voice, video
including, but not'limited to, audio and video,
electrical or mechanically produced signal, display
and/or interrogation.
"User" means a person or organization utilizing a
system channel or system equipment and facilities for
purposes of production and/or transmission of material,
as contrasted with receipt thereof in a subscriber
capacity. ·
RTICLE III: AUTHORITY
SECTION 6.301 REQUIREMENT OF A FRANCHISE. No person, firm,
company~ corporation or association ~half' construct, install,
maintain or operate'a cable television system within the
Village of Mount Prospeqt, or within any other public property
of the Village of Mount Prospect, unless a franchise has
first been obtained pursuant to the provisions of this
Chapter, and unless such franchise is in full force and
effect. Such franchise shall not take the place of any
other license or permit which may be legally required of the
Grantee in order to conduct such a business.
SECTION 6.302 FRANCHISE APPLICATIONS
After receiving applications for a franchise, the Board,
after considering financial, technical, programming,
and rate proposals, and the legal and character qualifications
of the applicants, may, by ordinance, grant one or more
nonexctusive franchises creating a right to construct
and operate a cable television system within the public
ways of the Village of Mount Prospect. Franchise(s)
will be granted to the applicant(s) which in the Board's
judgement may best serve the public interest; provided,
however, no provision of this Chapter shall be deemed
or construed as to require the Board to grant a franchise.
The application for a cable television franchise shall
be submitted to the Village of Mount Prospect, or its
designee, on a written application form furnished by
the Village of Mount Prospect, and in accordance with
procedures and schedules to be established by the Village
of Mount Prospect. The application form may request
facts and information the Village of Mount Prospect
deems appropriate. Applications shall be accompanied
by a non-refundable application fee in an amount
determined by the Village of Mount Prospect, which
amount shall be used by the Village of Mount Prospect,
to offset direct expenses incurred in the franchising
and evaluation procedures, including, but not limited
to, staff time and consulting assistance.
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An applicant (Grantee) to whom the Village of Mount
Prospect grants a non-exclusive franchise shall, in
addition to the non-refundable fee specified hereinabove,
pay to the Village of Mount Prospect at the time the
Grantee files the written instrument specified in
Section 6.709 an amount determined by the Board to be
used to offset all direct, reasonable expenses actually
incurred by the Village of Mount Prospect in granting
the franchise which are not defrayed by fees forthcoming
from the provisions of Paragraph B of this Section.
RTICLE IV:
FRANCHISE CONDITIONS
SECTION 6.401 FRANCHISE TERM AND NON-EXCLUSIVITY. The term
~'f an original franchise shall be no more than fifteen (15)
years from the date the~franchise is accepted by the Grantee.
The term of a renewed franchise shall be no more than fifteen
(15) years. No franchise granted pursuant to this Chapter
shall give any exclusive right to a Grantee and every such
franchise shall be deemed to reserve the right to grant
other franchises to use and occupy the public ways of the
Village of Mount Prospect for cable television or any other
purpose on such terms as the Village of Mount Prospect may
then deem appropriate.
SECTION 6.402 NOTICE TO THE GRANTEE. Except as provided in
Section 6.404A of this Chapter 6 the Village of Mount Prospect
shall not take any final action involving the evaluation,
modification, renewal, revocation or termination of the
Grantee's franchise unless the Village of Mount Prospect has
(1) called a meeting for such purpose, (2) advised the
Grantee in writing, at least thirty (30) ~days prior to such
meeting, as to its time, place and purpose and (3) published
a notice, at least once, ten (10) days before the meeting in
a newspaper of general circulation within the Village of
Mount Prospect. The Grantee and any interested person shall
be entitled to be heard at such meeting.
SECTION 6.403 FRANCHISE REVIEW AND MODIFICATION. It shall
be the policy of the' Village of Mount Prospect to amend a
franchise, upon application of the Grantee, when necessary
to enable the Grantee to take advantage of technological
advancements which will afford ~it an opportunity to more
effectively, efficiently, or economically serve its subscribers;
provided, however, that this Section shall not be construed
to require the Village of Mount Prospect to make any amendment.
Further, within the term of the franchise, the Village of
Mount Prospect may after notice and hearing as required in
Section 6.402, adopt a resolution providing for reasonable
and appropriate modifications in Grantee's franchise of a
nature that would not result in effectively terminating
same, provided that the Village of Mount Prospect shall not
make any amendments or modifications to this Chapter or a
franchise granted hereunder which would alter the provisions
of Sections 6.405D or 6.406E during during the term of any
franchise granted hereunder.
ABLE COMMUNICATIONS
SECTION 6.404 .PERFORMANCE EVALUATION SESSIONS
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The Village of Mount Prospect and the Grantee shall
hold performance evaluation meetings within thirty (30)
days of the third,-fifth, tenth and fourteenth anniversary
dates of the Grantee's award of the franchise and as
required by federal and state law. Ail such evaluation
meetings shall be open to the public. Grantee shall be
solely responsible for notifying the Village of Mount
Prospect, in writing, at least sixty (60) days in
advance, of each of the specified performance evaluation
meetings, and no notice to the Grantee pursuant to
Section 6.402 shall be required.
Special evaluation meetings may be held at any time
during the term of the franchise at the request of the
Agency or the Grantee.
Ail evaluation meetings shall be open to the public and
announced by the Board in a newspaper of general circulation
in accordance with the notice requirements of Section
6.402 above. No such newspaper notice shall be required
as to any adjourned meetings. Grantee shall notify
subscribers of all evaluation meetings including any
adjourned meetings by announcement on the highest use
origination channel on the system no less than three
(3) times between the hours of 7 o'clock p.m. and 9
o'clock p.m. for five (5) consecutive days immediately
preceding each meeting.
Topics which may be discussed at any scheduled or
special evaluation session may include, but not be
limited to, service rate structures, franchise fees,
penalties, free or discounted services, applications of
new technologies, system performance, services provided,
programming offered, customer complaints, privacy,
amendments to this ordinance, modification to the
franchise, judicial and FCC rulings, line extension
policies and Grantee or Village of Mount Prospect
rules.
During a review and evaluation by the Village of Mount
Prospect, the Grantee shall fully cooperate with the
Village of Mount Prospect and shall provide such information
and documents as the Village of Mount Prospect may
request to reasonably perform its review.
.404~ ~
CABLE COM>~UNICATIONS
6.405
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If at any time during its review,.the Village of Mount
Prospect determines that reasonable evidence exists of
inadequate CATV system performance, it may require the
Grantee to perform tests and analysis directed toward
the suspected inadequacies. The Grantee shall fully
cooperate with the Village of Mount Prospect in performing
such testing and shall prepare results and a report if
requested within thirty (30) days after notice. Such
report shall include the following information:
1. The nature of the complaint or problem which
precipitated the special tests;
2. What system component was tested;
3. The equipment used and procedures employed in
testing;
4. The method, if any, in which such complaint or
problem was resolved.
5. Any other information pertinent to said tests and
analysis which may be required.
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The Village of Mount Prospect may require the test
to be supervised at Grantee's expense by a professional
engineer to be approved by the Village of Mount
Prospect not on the permanent staff of the Grantee.
The engineer should sign all records of special
tests and forward to the Village of Mount Prospect
such records with a report interpreting the results
of the test and recommending actions to be taken.
The Village of Mount Prospect rights under this Section
shall be limited to requiring tests, analysis and
reports covering specific Subjects and characteristics
based on said complaints or other evidence when and
under such circumstances as the Village of Mount Prospect
has reasonable grounds to believe that the complaints
or other evidence require that tests be performed to
protect the public against substandard cable service.
SECTION 6.405
FRANCHISE RENEWAL
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The Grantee shall be solely responsible for requesting
the Village of Mount Prospect, in writing, to hold a
special meeting, the purpose of which will be to
review the Grantee's performance during the term of its
franchise, to consider the adequacy of the franchise
from the standpoint of the Village of Mount Prospect,
the Grantee, and the Federal Communications Commission
Rules for Cable Television, and to determine the
advisability of renewing the Grantee's franchise.
ABLE COMMUNICATIONS
~_~- 6.405,
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Unless the Village of Mount Prospect shall consent to
some lesser notice, said request shall be made not less
than twelve (12) months prior to the franchise expiration
date. Upon receipt- of said request, the Village of
Mount Prospect shall adopt a resolution setting forth
the time and place of the special meeting. If no
request for renewal is made, the franchise shall expire
according to its terms, provided, however, that the
Board may extend the term of the franchise in six (6)
month increments during the franchise renewal process
provided for in this Section.
The Village of Mount Prospect shall'hear' any interested
persons during said special meeting and shall determine
whether or not the Grantee did reasonably comply with
the terms and conditions imposed by this Chapter and the
franchise. Notice of such meeting shall be given in
accordance with Section 6.402 and Section 6.404C above.
If the Village of Mount Prospect determines that the
Grantee has been in reasonable compliance with the
terms and conditions imposed by this Chapter and the
franchise, the Village of Mount Prospect may, by resolution,
renew the Grantee's franchise, with any modifications
it deems desirable, for a period of time not longer
than fifteen (15) years.
Notwithstanding the fact that the Board may determine
that the Grantee has been in reasonable compliance With
the terms and conditions imposed by this Chapter and the
franchise, the Board shall have the right not to renew
the franchise. If the Board does not renew the franchise,
the Board shall, to the extent then permitted by existing
law~ have the options to: Acquire at fair market value
all the assets of the Grantee's operations within the
Village; or require the sale at fair market value of
all such assets to a succeeding Grantee; or require the
removal of all such assets from the Village.
Except as provided in Section 6.408, the Board's above-
stated options must be exercised within one (1) year
from the date of the franchise expiration, unless such
period is extended with the consent of the Grantee,
The Village of Mount Prospect shall have the right to
recoup from the Grantee all direct expenses incurred
pursuant to renewal of the franchise whether or not the
franchise is renewed.
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· CABLE COM>~UNICATIONS
6.406
SECTION 6.406 FRANCHISE REVOCATION PROCEDURE
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Whenever a Grantee shall refuse, neglect or willfully
fail to construct, operate or maintain its cable television
system or to provide service to its subscribers in
substantial accordance with the terms of this Chapter
and the franchise or to comply with the conditions of
occupancy of any public way or to make required extensions
of service, or shall in any other way substantially
violate the terms and conditions of this Chapter, the
franchise, or any applicable rule or regulations, or
practices any fraud or deceit upon the Village of Mount
Prospect or its subscribers, or fails to pay franchise
fees when due, or if a Grantee becomes insolvent, as
.adjudged by a court of competent jukisdihtion, or is
unwilling to pay its uncontested debts, or is adjudged
bankrupt, or seeks relief under the bankruptcy laws,
then the franchise may be revoked.
In the event the Village of Mount Prospect or the
Agency believes that grounds for revocation exist or
have existed, the Village of Mount Prospect or Agency
may notify a Grantee~ in writing, setting forth the
nature and facts of such noncompliance. If, within
thirty (30) days following such written notification,
the Grantee has not furnished reasonably satisfactory
evidence that corrective action has been taken or is
being actively and expeditiously pursued, or that
alleged violations did not occur, or that the alleged
violations were beyond the Grantee's control, the
Agency shall thereupon refer the matter to the Village
of Mount Prospect.
Upon referral from the Agency or by its own motion, the
Village of Mount Prospect may, following notice of the
grounds for revocation, and hearing pursuant to Section
6.402 of this Article, evoke a franchise pursuant to
Paragraph Ao of this Section.
In the event that a franchise has been revoked by the
Village of Mount Prospect, the Village of Mount Prospect
shall, to the extent then permitted by existing law, have
the options to: Acquire, at the lesser of depreciated
replacement value, or fair market value, excluding any
value attributable to good will, all the assets of the
Grantee's operations within the Village of Mount Prospect;
or to require the sale, at the lesser of depreciated
replacement value, or the fair market value, excluding
any value attributable to good will, of all such assets
of the Grantee's operations within the Village of Mount
Prospect to a successor Grantee or to require the removal
of all such assets from the Village of Mount Prospect.
Unless some later date is agreed to by the Grantee and
except as provided in Section 6.408 of this Article, such
option must be exercised within one (1) year from the
ABLE COMMUNICATIONS
6.408
date of the revocation of the franchise, or the entry
of the final judgement by a court reviewing the question
of the Village of Mount Prospect's revocation, or the
entry of a final order upon appeal of same, whichever
is later.
The termination of a Grantee's rights under a franchise
shall in no way affect any other rights the Village of
Mount Prospect may have under the franchise or under
any provision of law or ordinance.
SECTION 6.407 ARBITRARY AND CAPRICIOUS ACTION BY GRANTEE.
If a Grantee arbitrarily and capriciously discontinues
service to a substantial number of its s~bsc~ibers, the
Grantee's franchise may be revoked by a resolution of the
Village of Mount Prospect following notice to the Grantee
and an opportunity to be heard. Notwithstanding the provisions
of Section 6.402, notice to the Grantee under this Section
may be less than thrity (30) days. Provided further, the
Village of Mount Prospect may seek appropriate judicial or
other relief and/or may proceed to exercise its rights and
powers as provided for herein.
SECTION 6.408 PROVISION FOR ARBITRATION.
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In the event the Board exercises its options to acquire
all of the assets of the Grantee, and the fair market
or depreciated replacement value cannot be agreed upon,
said value(s) shall be determined by a panel of arbitrators,
which panel may be requested by either the Board or the
Grantee no sooner than ninety (90) days after notice
that the Village desires to purchase the system. The
panel shall be composed of one arbitrator chosen by the
Village, one arbitrator chosen by the Grantee, and a
third arbitrator chosen by the first two arbitrators.
The expenses of the arbitration, including the fees of
the arbitrators, shall be borne by the parties in such
mannter as the arbitrators provide in their award, but
in no event will the Village be obligated for more than
one-half of said expenses. The determination of a
majority of the arbitrators shall be binding on the
parties. The arbitrators shall follow the rules and
procedures of American Arbitration Association except
where in conflict with an express provision of this
ordinance. The arbitration hearing shall take place in
Cook County, unless otherwise agreed to by the parties
in writing. Notwithstanding any other timetable imposed
by this Chapter, the Village shall, within ninety (90)
days following notice to it of the decision of the
. 408 ~ CABLE COMMUNICATIONS /--~'~j 6.41~
decision of the arbit~ either withdraw any notice
it may have given of its intent or election to acquire
the Grantee's system or shall affirmatively accept the
decision of the arbitrators and affirm its election to
purchase the system or assets. If the Village of Mount
Prospect fails to accept the arbitrator's decision and
affirm its election to purchase within the aforesaid
ninety (90) day pe~%od, the rights of the Village of
Mount Prospect to purchase shall expire.
SECTION 6.409 TRANSFER OF OWNERSHIP TO GRANTOR. In those
circomstances wherein the Village of Mount Prospect shall
have elected to purchase ownership of all the assets of the
Grantee's operations within the Village of Mount Prospect,
the Village shall, unless the Grantee shall agree to some
other terms, pay, in cash to the Grantee, the_price of such
assets plus any interest calculated at an annual rate of two
(2) percentage points over the prime rate given by the
Continental Illinois National Bank to its most credit worthy
borrowers of demand loans, which may have accrued from the
date the Village of Mount Prospect or any interim operator
assumed direction and control of ~he Grantee's cable system
within the Village of Mount Prospect to the date of payment.
Such payment shall be m~de within twelve (12) months following
the date upon which the election to purchase becomes irrevocable.
Title to the system or assets shall pass to the Grantor upon
such payment.
SECTION 6.410 GRANTEE'S OBLIGATION AS TRUSTEE
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At all times from the expiration or revocation of a
franchise and until either (1) a Grantee transfers to
the Village of Mount Prospect or other succeeding
operator of the system all of its rights, title and
interest~to all assets, real and personal, related to
its cable television system in the Village of Mount
Prospect or (2) the Village of Mount Prospect's right
to either acquire or assign its rights to acquire any
of the Grantee's assets expires without the Village of
Mount Prospect having exercised such a right, whichever
occurs first, the Grantee shall have a duty to such
successor as a trustee holding such assets for the
benefit of such successor and the Grantee shall not
sell any of the system assets in the Village of Mount
Prospect nor shall the Grantee make any physical,
material, or administrative operational changes that
would tend to (1) degrade the quality of service to the
subscribers, (2) decrease gross revenues, or (3) materially
increase expenses without the expressed permission, i~
writing, of the Village of Mount Prospect or its assigns.
Immediately upon the assumption of operating control of
the system by the Grantee, as Trustee, or a successor
Trustee, the Village of Mount Prospect shall cause an
independent appraisal and inventory of all the assets
of the system to be made to verify and establish the
existence and condition of all such real and personal
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CABLE COMMUNICATIONS
property of the system. The Grantee shall at all times
operate the system in accordance with terms of this
Chapter and the terms of the franchise as if the franchise
had not expired or had not been revoked. In the event
the Grantee fails or refuses to operate the system as a
Trustee, the Village of Mount Prospect.shall have the
right to apply to a court of competent jurisdiction for
the appointment of a receiver or to operate the system
itself as a trustee in accordance with the terms of
this Chapter and the terms of the franchise.
In the event of expiration or revocation of a franchise,
this Section shall not be construed to give a Grantee
any vested or other franchise right, but the right of
the Grantee in such circumstances shall 'exist only on a
day-to-day basis until the transfer is affected.
As full compensation for its ownership interests during
this interim period, the Grantee shall be entitled to
receive the net profit generated during the period
between the expiration or revocation of the franchise,
as the case may be, and the transfer of title to the
Grantee's assets to the Village of Mount Prospect or a
successor Grantee. Net profit shall be determined in
accordance with generally accepted accounting principles
and reported on a basis which is consistent and comparable
with the format of the books and accounts maintained by
the Grantee during the immediately preceding two fiscal
years and as presented in the audited financial statements.
Further, this Section shall in no way limit the power
of the Village of Mount Prospect, upon expiration or
revocation of a franchise, to require the Grantee to
cease all operations whatsoever and/or remove its
assets from the Village of Mount Prospect, or otherwise
exercise any rights the Village of Mount Prospect would
otherwise have.
SECTION 6.411 FRANCHISE FEE
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The Grantee, in consideration of the privilege granted
under the franchise for the operation of a cable
television system, and the expense of regulation pursuant
to the franchise incurred by the Village, shall pay to
the Village a per cent of its annual gross revenues
during the period of its operation under the franchise.
This per cent shall be set forth in the franchise and
shall be no more than the maximum amount as may be set
from time to time by controlling Federal or State law.
Such franchise fee shall be payable to the Village of
Mount Prospect within thirty (30) days of the close of
each month.in which the Grantee provides service to the
Village of Mount Prospect.
.411
CABLE COMMUNICATIONS
~ 6. 412
The Grantee shall file with the Village of Mount
Prospect, within thirty (30) days after the expiration
of each of the Grantee's fiscal quarters, a statement
clearly showing the gross revenues received by Grantee
during the preceding quarter. The Grantee shall also
file, within one hundred twenty (120) days following
the conclusion of the Grantee's fiscal year, an annual
report prepared and audited, at Grantee's expense, by
an independent Certified Public Accountant acceptable
to the Village of Mount Prospect, clearly showing the
yearly total gross revenues.
The Village of Mount Prospect shall have the right,
consistent with the provision of Section 6.502,
Paragraph C, to inspect the Grantee's income records,
the right of audit and the recomputation of any amounts
determined to be payable under this Chapter. Any
additional amount due the Village of Mount Prospect as
a result of the audit shall be paid within thirty (30)
days following written notice to the Grantee by the
Village of Mount Prospect which notice shall include a
copy of the audit rep,orr. The cost of said audit shall
be borne by the Grantee if it is properly determined,
by an independent auditor chosen by the Village of
Mount Prospect and Grantee, if necessary, that the
Grantee's annual payment due to the Village of Mount
Prospect for the preceding year is increased thereby by
more than five percent (5%), otherwise, such costs
shall be borne by the Village of Mount Prospect.
Do
In the event that any franchise payment or recomputed
amount is not made on or before the applicable dates
heretofore specified, interest shall be charged from
such date at an annual rate of two (2) percentage
points over the prime rate given by the Continental
Illinois National Bank to its most credit worthy borrowers
of demand loans.
go
In the event the franchise is revoked or expires, the
Grantee shall file with the Village of Mount Prospect,
within thirty (30) days of such revocation or expiration,
a statement clearly showing the gross revenues received
by Grantee since the end of the previous fiscal quarter.
The Grantee shall pay the franchise fee due at the time
such statement is filed or within thirty (30) days,
whichever is sooner.
SECTION 6.412 LIABILITY AND INDEMNIFICATION
The Grantee shall save and hold the Village of Mount
Prospect, its corporate authorities, officers, boards,
ABLE COFSMUNICATIONS 6. 412
Co
commissions, employees and agents harmless from any
injury, claim, demand, suit, judgement, execution
liability, debt damages or penalty (hereinafter referred
to as "claims") arising out of, resulting from, or
alleged to arise out of or result from, the construction,
erection, installation, operation, maintenance of, or
other activity conhected with, the Grantee's cable
television system, whether such acts or omissions are
those of the Grantee, whether or not any such act or
omission is authorized, allowed or prohibited by this
Chapter of the Grantee's franchise. These damages
shall include but not be limited to penalties arising
out of copyright infringements and damages arising out
of any failure by Grantee to secure consents from the
owners, authorized distributors or licensees of programs
to be delivered by the Grantee's cJble television
system. The Grantor shall give immediate written
notice to Grantee of any "claim" or facts which might
given rise to a "claim" under this Section. Said
notice shall state particulars sufficient to identify
the "claim" and shall contain reasonably obtainable
information respecting the time, place, and circumstances
of the occurrence underlying the "claim" or potential
"claim." The Grantor shall immediately forward to
Grantee any demand, notices summons, or other process
received by it or its agents in connection with a
"claim" described in this Section. Further, the Grantor
shall cooperate with Grantee and assist in the investigation
of any "claim" and settle any "claim," and the right to
enforce any right of contribution or idemnity against
any third party who may be liable to Grantor or Grantee
because of any occurrence giving rise to a "claim."
The Grantee shal/ pay and by its acceptance of a franchise
shall be deemed to have specifically agreed that it
will pay all expenses incurred by the Village of Mount
Prospect in defending itself with regard to all claims
mentioned in Subsection Ao above. These expenses shall
include all out-of-pocket expenses, such as attorneys'
fees, and shall also include the reasonable value to
any services rendered by any employee of the Village of
Mount Prospect.
The Grantee shall maintain at its own expense, and by
its acceptance of a franchise shall be deemed to have
specifically agreed that it will maintain throughout
the term of such franchise, comprehensive general
liability insurance insuring the Village of Mount
Prospect and the Grantee with regard to all claims
mentioned in Subsection A above in the minimum amounts
of:
.412~
CABLE COMMUNICATIONS
(1)
Five Million D61~'~[$5,000,000) for bodily
injury or death to any one person, within the
limit, however, of Ten Million Dollars ($10,000,000)
for bodily injury or death resulting from any one
accident;
(2)
Two Million Dollars ($2,000,000) for property
damage, including damage to Village property,
resulting from any one accident;
(3) Two Million Dollars ($2,000,000) for all other
types of liability resulting from any one occurrence.
(4)
During any period of construction, adequate coverage
to meet liability under the Illinois Structural
Work Act;
(5)
Workers' Compensation Insurance within statutory
limits and Employers' Liability Insurance of not
less than One Hundred Thousand Dollars ($100,000).
Ail policies of insurance required by this Section
shall be placed with companies which are qualified to
write insurance in the State of Illinois by the Illinois
Director of Insurance and which maintain throughout the
policy term a General Rating of "A" and a Financial
Size Category of "XV" as determined by the A.M. Best
Company. No insurance policy which provides for a
deductible in excess of Two Hundred Fifty Thousand
($250,000) Dollars shall be accepted to meet the requirements
of this Section.
The Grantee shall maintain at its own expense and by
its acceptance of a franchise shall be deemed to have
specifically agreed that it will maintain throughout
the term of such franchise, a faithful performance,
license and franchise bond or letter of credit, as
specified in the franchise agreement, running to the
Village of Mount Prospect, with at least two good and
sufficient sureties approved by the Village of Mount
Prospect, in the penal sum of TWo Hundred Thousand
Dollars ($200,000), or such greater or lesser sum as
may be specified in such franchise. When regular
subscriber service is available to more than ninety per
cent (90%) of the occupied dwelling units within the
Primary Service Area, as described in Section 6.602,
the amount of the bond or letter of credit shall be
reduced to the amount specified in the franchise, or if
no amount is specified therein, then to the sum of
Fifty Thousand Dollars ($50,000). Said bonds or letter
of credit shall be conditioned that the Grantee shall
well and truly observe, fulfill, and perform each term
and condition of this Chapter and its franchise and
that in case of any breach of condition of the bond,
or letter of credit, the amount thereof, shall be
recoverable from the principal and sureties thereof by
CABLE COM~UNICATIONS I~:' ~-~ 6.412
the Village 5f Mount Prospect for all damages and
costs, whether direct or indirect, resulting from the
failure of the Grantee to well and faithfully observe
and perform any provision of this Chapter or its franchise.
Such damages and costs shall be deemed to include, as a
minimum and without limitation any expenses as may be
incurred by the Village of Mount Prospect as a result
of Grantee's failure to comply with the obligations
imposed by this Chapter and the franchise including,
but not limited to, attorneys' fees and costs if any
action or proceeding, the cost of refranchising, and
the cost of removal or abandonment of any property, or
other costs which may be in default, which costs shall
be conclusively presumed to amount to a sum equal to at
least the penal sum of such bond. The Village of Mount
Prospect shall have no obligation tO de~ote the proceeds
of such bond or letter of credit to the completion,
connection, operation or removal of Grantee's cable
television system, all of which shall remain the obligation
of the Grantee. The Village of Mount Prspect's right
to recover under the bond or letter of credit shall be
in addition to any other rights retained by the Village
of Mount Prospect under this Chapter and other applicable
law.
In addition to the requirements of Paragraph D above,
the Grantee shall maintain at its own expense, and by
its acceptance of a franchise be deemed to have agreed
that it will maintain on deposit with the Village of
Mount Prospect throughout the term of such franchise a
cash escrow or a letter of credit as specified in the
franchise agreement, from an Illinois financial institution
in the amount of Ten Thousand Dollars ($10,000) or such
greater or lesser amount as may be specified in the
franchise agreement. The form and content of such
escrow or letter of credit shall be approved by the
Village of Mount Prospect's attorney. The escrow or
letter of credit shall be conditioned in the same
manner as the bond hereinabove required and may be
drawn on by the Village of Mount Prospect to compensate
itself for any of the damages or costs specified in
subsection D above. In particular, but without limitation,
such escrow or letter of credit shall be drawn on in
the case of any default or failure of the Grantee to
pay any fees, penalties, claims, liens or taxes due the
Village of Mount Prospect under Section 6.712 of this
Chapter or the franchise. Upon drawing on such escrow
or letter of credit for any reason, the Village of
Mount Prospect shall notify the Grantee. The Grantee
shall, within three (3) days of the receipt of such
notification, take all action required to restore the
escrow or letter of credit to its original full amount.
.412
CABLE COM~UNICATIONS
6.413
The rights reserved to the Village of Mount Prospect
with respect to the escrow or letter of credit are
in addition to all other rights of the Village of
Mount Prospect, whether reserved by this Chapter or
the franchise or authorized by law, and no action,
proceeding or exercise of a right with respect to
such escrow or letter of credit shall affect any
other right the Village of Mount Prospect may have.
Fo
Ail insurance policies, bonds, escrows and letters of
credit required by this Section shall contain a provision
requiring at least thirty (30) days written notice to
both the Village of Mount Prospect and the Grantee of
any cancellation, termination, or other expiration and
shall provide that no such cancellation,~termination or
expiration shall be effective prior to such notice.
Each such policy, bond, escrow and letter of credit
must be approved by the President and Board of Trustees
of the Village of Mount Prospect and copies of such
documents, along with written evidence of payment by
the Grantee of required premiums or fees shall be filed
and maintained with the Village Manager. Notices of
renewal of any expiring policy or bond shall be filed
with the Village Manager at least sixty (60) days prior
to the date of such expiration.
Go
If the Grantee proposes to secure a new insurance
policy, bond or letter of credit instead of renewing an
existing policy, bond or letter of credit, the Grantee
shall, at least thirty (30) days prior to the expiration
date of any such existing insurance policy, bond or
letter of credit, submit to the President and Board of
Trustees of the Village of Mount Prospect a copy of the '
proposed new policy, bond or letter of credit, and such
proposed new policy, bond or letter of credit shall
become effective only upon the expiration date of such
expiring policy, bond or letter of credit if the President
and Board of Trustees of the Village of Mount Prospect
have approved the terms and coverage of the said proposed
new policy, bond or letter of credit. The Grantee
shall comply with all applicable provisions of this
Section as to any such new policy, bond or letter of
credit.
SECTION 6.413 TRANSFER OF FRANCHISE
Ao
A franchise granted under this Chapter shall be a
privilege to be h~ld personally in trust by the Grantee.
Except as otherwise provided in the franchise agreement,
the franchise shall not be assigned, transferred,
mortgaged, leased or sublet, sold or disposed of,
transferred in trust, pledged~ in whole or in part, by
voluntary sale, merger, sale and leaseback, consolidation
or otherwise or by forced or involuntary sale, without
prior consent of the Village of Mount Prospect expressed
~j CABLE COMMUNICATIONS '~- 6. 413.
by resolution and then on only such conditions as
may therein be prescribed. Any sale, transfer or
assignment not made according no the procedures set
forth in this Chapter shall render the franchise
void. The sale, transfer or assignment in bulk of
the major part of ghe tangible assets of the Grantee
shall be considered an assignment and shall be subject
to the provisions of this Section.
Bo
Any sale, transfer or assignment authorized by the
Village of Mount Prospect shall be made by a bill
of sale or similar document, an executed copy of
which shall be filed with the Village of Mount Prospect
within thirty (30) days after such sale, transfer or
assignment. The Village of Mount P~ospect shall not
withhold its consent unreasonably; provided, however,
the proposed assignee agrees to comply with all the
provisions of this Chapter and the franchise and
reasonably amendments thereto, and must at a minimum,
satisfy the legal, financial, technical and character
qualifications required by Section 6.302 of this
Chapter.
Prior approval of the Village of Mount Prospect shall
be required where ownership or control of more than
twenty per cent (20%) of the right of control of the
Grantee is acquirad during the term of the franchise in
any transaction or series of transactions by a person
or group of persons acting in concern, none of whom
owned or controlled twenty (20) per cant or more of
such right of control, singularly or collectively on
the effective date of the franchise. By its acceptance
of this franchise, the Grantee specifically grants and
agrees that any such acquisition occurring without
prior approval of the Village of Mount Prospect shall
render the franchise void.
Do
The consent of the Village of Mount Prospect to any
sale, transfer lease, trust, mortgage or other instrument
of hypothecation shall not constitute a waiver or
release of any of the rights of the Village of Mount
Prospect under this Chapter and the franchise.
RTICLE V: ~~'AND USER FEES AND RECORDS
SECTION 6.501 SUBSCRIBER AND USER FEES
By accepting a franchise granted pursuant to the terms
and conditions imppsed by this Chapter, the Grantee
agrees that the ViIlage of Mount Prospect shall have
the authority and right to cause the Grantee's fees for
regular subscriber service, and all other subscriber
and user services to the extent permitted by law or FCC
rules and regulations, to conform to the provisions
contained herein. The Village of Mount Prospect shall
also have the authority and right to fix fees and to
deny increases or order reduction of fees when it
determines that in the absence of spch action on its
part, the Grantee's fees or proposed fees do not conform
to the stiuplations contained herein.
Bo
Ail charges to subscribers and users shall be consistent
with a schedule of fees for all services offered as
established by the Grantee. Changes in the fee schedule
shall not take effect until at least ninety (90) days
after notification of same is delivered to the Village
of Mount Prospect and to current subscribers and users.
All charges to subscribers and users, and any proposed
increase in such charges, shall be fair, reasonable and
just and in no event shall any such charge be greater
than necessary to meet the costs of service (assuming
efficient and economical management) and to provide a
fair rate of return.
Co
The Grantee shall not, with regard to fees, discriminate
or grant any preference or advantage to any person;
provided, however, that the Grantee may establish
different rates for different classes of subscribers or
users based upon cost of service differentials, provided
that the Grantee not discriminate between any subscribers
or users of the same class.
Notwithstanding the foregoing provisions, and except in
the case of extraordinary circumstances as approved by
the Village of Mount Prospect, the Grantee shall not
increase the fees for services proposed in the franchise
application above the rates specified in said application
for a period of thirty-six (36) months from the time
service is provided to the first subscriber pursuant to
the Grantee's franchise; provided, however, that the
Grantee shall have the authority and the right to add
to its service or installation fees any Federal, State
or local taxes or fees directly imposed on subscribers,
and for any additional copyright fees that may be
imposed as a result of legislative or judicial action
ABLE COMMUNICATIONS ~ v~501
at the Federal, State or local level taken after the
filing of the franchise application. If during the
term of the franchise, the Grantee receives refunds of
any copyrigh~ payments, it shall without delay notify
the Village of Mount Prospect, suggest a plan for flow-
through of the refunds to its subscribers, and retain
such refunds in an interest bearing escrow account
pending order of the Village of Mount Prospect. After
considering the plan submitted by the Grantee, the
Village of Mount Prospect shall order flow-through of
the refunds with accrued interest to the Grantee's
subscribers in a fair and equitable manner.
Eo
Nothwithstanding Subsections A. through D. hereof, no
action shall be taken by the President and Board of
Trustees of the Village of Mount Prospect with respect
to the Grantee's rates, nor rules and regulations
applicable thereto, until at least the expiration of
thirty (30) months following the date service is provided
to the first subscriber under the franchise. At any
time thereafter, the Board may after proper notice as
provided in Section 6.402. hold public hearings to
consider the necessity of regulating the subscriber
rates charged by the Grantee, and may following such
hearings establish procedures for the review of subscriber
and user rates and may order adjustments to such rates
in accordance with the provisions of this Section
provided, however, that this Section shall not permit
the Village of Mount Prospect to order the Grantee to
rebate any fee or portion thereof charged during the
period when such fees were not subject to regulation by
the Village of Mount Prospect.
The Grantee shall be required to apprise in writing
each new subscriber of all applicable fees and charges
for providing cable television service.
Go
Grantee may, at its own discretion, in a non-discriminatory
manner, waive, reduce or suspend connection fees or
monthly service fees for promotional purposes.
Ho
Except as may be otherwise provided in a franchise, a
subscriber shall have the right to have its service
disconnected without charge, which shall include the
removal of any equipment owned by the Grantee from the
subscriber's residence. Such disconnection shall be
made as soon as practicable and in no case later than
thirty (30) days following written notice to the Grantee
of same. No Grantee shall enter into any agreement
with a subscriber which imposes any charge following
disconnection of service, except for reconnection and
subsequent monthly or periodic charges, and those
charges shall be no greater than charges for new customers.
This Section shall not prevent a Grantee from refusing
service to any person because of the Grantee's prior
accounts with that person remain due and owing.
.501 CABLE COMMUNICATIONS 6.502
I.. Except as may be otherwise provided in a franchise, a
Grantee may offer service which requires advance
payment of periodic service charges for no more than
one (1) year in advance subject to the conditions
contained in this ~aragraph. A subscriber shall have
the right, at any time, to have its service disconnected
without charge and with a refund of unused service
charges paid to the customer within thirty (30) days
from the date of service. Rate increases shall not be
effective with respect to any subscriber until after
the expiration of any period for which advance payment
has been accepted by the Grantee.
SECTION 6.502 BOOKS AND RECORDS
Ao
A Grantee shall, (1) within thirty (30) days following
the acceptance of a franchise, and (2) at least yearly
thereafter, and (3) within thirty (30) days of the
change of ownership of three percent (3%) or more of
any class or series of the outstanding voting stock or
equivalent ownership interest of a Grantee, furnish the
Village of Mount Prospect a list, showing the names and
addresses of persons owning three percent (3%) or more
of any class or series of the outstanding voting stock
or equivalent ownership interest of the Grantee, together
with a roster of the Grantee's officers and directors
(or equivalent managerial personnel) and their addresses.
A Grantee shall maintain books and records of its
operations within the Village of Mount Prospect to show
the following in sufficient detail, consistent with
generally accepted accounting principles:
1. Total revenues, by service category.
o
Operating expenses, categorized by general and
administrative expenses, technical expenses, and
programming expenses, and overhead where applicable.
3. Capital expenditures, to include capitalized
interest and overhead, if any.
4. Depreciation (straight line) expense, by category.
A grantee shall maintain such books and records for the
Franchise Area specified in the franchise separately
from any other operations; provided, however, that any
expenses or expenditures which apply to both the system
in said Franchise Area and any other operations shall
be reasonably allocated between all such operations,
consistent with generally accepted accounting principles.
CABLE COMMUNICATIONS 6. 502'
Such books and records shall be retained, in any
reasonable form, for a period of not less than fifteen
(15) years. The Village of Mount Prospect shall have
the right to extend the retention period through the
term of any renewed franchise.
The books and records of the Grantee's operation within
the Village of Mount Prospect, which are required to be
maintained pursuant to paragraph (B) above, shall be
made available in the Grantee's local office during
normal business hours, for inspection and audit by the
Village of Mount Prospect within thirty (30) daYs after
such request has been made.
Copies of the Grantee's schedule o~ charges, contract
or application forms for subscriber and user services,
policy regarding the processing of subscriber complaints,
delinquent subscriber disconnect and reconnect procedures
and any other terms and conditions adopted as the
Grantee's policy in connection with its subscribers or
users shall be filed with the Village Manager and shall
be made available for inspection by the public in the
Grantee's local office.
RTICLE ~VIj SYSTEM OPERATIONS
SEC%ION 6.601 FRANCHISE AREAS
Every application shall designate a proposed Primary
Service Area (PSA) and a proposed schedule for making
service available throughout the PSA. The boundaries
of the Primary Service Area shall be subject to
approval by the Village of Mount Prospect, and shall
be incorporated into the franchise granted pursuant
to this Chapter. If no PSA is specifically delineated
in a franchise, the PSA shall be considered to be
coterminous with the Franchise Area. If no schedule is
specified, service shall be made available throughout
the entire PSA within twenty-four (24) months of the
effective date of the franchise.
Grantee shall furnish to the Village of Mount Prospect
a map of suitable scale indicating the Primary Service
Area to be served and showing all roads and public
buildings within the PSA.
The areas of the Village of Mount Prospect for which
applications for franchise will be accepted shall be
specified by the Village of Mount Prospect; in the
absence of such specification, applications shall be
accepted for any area within the Village of Mount
Prospect.
SECTION 6.602 EXTENSION OF SERVICE. Following completiOn of
construction within the PSA, each-Grantee shall extend its
CATV System and make CATV Service available beyond the PSA
as follows:
Bo
Co
Along streets or parts of streets beginning at the
boundary of the PSA or at any trunk or feeder line
extension beyond the PSA within one (1) year after any
such street reaches a minimum density of fifty (50)
dwelling units per street mile, and,
Concurrently with the installation of utility lines to
developing areas having a planned minimum density of
fifty (50) dwelling units per street mile, which lie
contiguous to the boundary of the Primary Service Area
or at the end of any trunk or feeder line extensions
beyond the Primary Service Area.
The Grantee, in its application, may propose a line
extension policy which will result in serving more
residents of the Village of Mount Prospect than as
required above, in which case the Grantee's application
will be incorporated by reference in the franchise, and
will be binding on the Grantee.
SECTION 6.603 INDIVIDUAL SERVICE DROPS
mo
Grantee shall extend and make cable television service
available to any isolated subscriber within or without
he Primary Service Area ~equesting connection at
the standard connecti~'~'~arge, if the connection to
such subscriber would require no more than a standard
one hundred and fifty (150) foot aerial or buried drop
line measured from the subscriber's property line
nearest to a trunk or feeder cable required to be
installed pursuant to Section 6.601 or 6.602 of this
Article, to the subscriber's connection.
B. With respect to requests for connection requiring an
aerial or'buried drop line in excess of one hundred and
fifty (150) feet, Grantee shall extend and make available
cable television service to such subscribers at a
connection charge not to exceed the actual installation
costs incurred by the Grantee for the distance exceeding.
one hundred fifty (150) feet.
SECTION 6.604 SYSTEM DESCRIPTION AND SERVICE
The cable television system to be installed by Grantee
shall comply in all respects with the requirements set
forth in the FCC's Rules for Cable Television including
applicable amendments thereto, provided, however, that
nothing contained herein shall be construed to prohibit
the Grantee from proposing to comply with more rigid
technical performance requirements~ in which case the
Grantee's application shall be incorporated by reference
in the franchise and will be binding on the Grantee.
If the FCC should delete said requirements, the Village
of Mount Prospect hereby reserves the right to amend
this Chapter to incorporate similar standards and every
franchise granted pursuant to this Chapter shall be
subject to such reserved power whether or not expressly
so conditioned.
Applications for franchise may include proposals for
the provision of public, education, local governments,
and leased access channels. Such proposals by a Grantee,
if accepted by the Village of Mount Prospect, shall be
incorporated into the franchise granted. No such
proposal shall be accepted unless it complies with the
following minimum requirements:
The Grantee shall have available equipment for
local production and presentation of cablecast
programs other than automated services and shall
permit its use for the production and presentation
of public access programs. The Grantee shall not
enter into any contract, arrangement, or lease for
use of its cablecast equipment which prevents or
inhibits the use of such equipment for a substantial
portion of time for public access programming.
.604
CABLE COMMUNICATIONS
6.604
The Grantee shall have no connrol over the
content of access cablecast programs, however,
this 'limitation shall not prevenn taking appropriate
steps to ensure compliance with the operating rules
described herein; failure to comply with such
operating rules shall constitute a violation of
this Chapter~
The public access channel(s) shall be made available
to residents of the Village of Mount Prospect on a
first-come, first-served, non-discriminatory
basis, consistent with the goal of the maximum
availability of access, free of charge. Charges
for equipment, personnel, and production of
public access programming shall be.reasonable and
consistent with the goal of affording users a low-
cost means of television access. The Grantee
shall adopt operating rules for the public access
channel(s), to be filed with the Village of Mount
Prospect prior to the activation of the channel(s),
designed to prohibit the presentation of: any
advertising material designed.to promote the sale
of commercial products or services (including
advertising by or on behalf of candidates for
public office); lottery information; programming
in violation of any federal, state or local law,
as well as rules requiring first-come nondiscriminatory
access, and rules permitting public inspection of
a complete record of the names and addresses of
all persons or groups requesting access time.
Such a record shall be retained for a period of
two years.
The education access channel(s) shall be made
available for the use of schools free of charge.
The Grantee shall adopt operating rules for the
education access channel(s), to be filed with the
Village of Mount Prospect prior to activation of
the channel(s), designed to prohibit the presentation
of: any advertising material designed to promote
the sale of commercial products or services (including
advertising by or on behalf of candidates for
public office); lottery information; programming
in violation of any federal, state or local law.
The local government access channel(s) shall be
made available for the use of the Village of Mount
Prospect or other such unit of local government as
shall be designated by the Village of Mount Prospect,
free of charge.
6
Do
CABLE COMMUNICATIONS
6.604
The leased access channel(s) as specified in the
franchise application shall be made available to
leased access users. Priority shall be given
part-time users on at least one channel. The
Grantee shall adopt operating rules for the channel(s),
to be filed with the Village Manager prior to
activation of, the channel(s), designed to prohibit
the presentation of: lottery information, to the
extent such information is prohibited by state
law; and obscene or indecent matter and shall
establish rules to this effect; and other rules
requiring non-discriminatory access, sponsorship
identification, specifying an appropriate rate
schedule and permitting public inspection of a
complete record of the names and addresses of all
persons or groups requesting time. Such a record
shall be retained until the earliest scheduled
performance evaluation session described in
Section 6.404 of this Chapter or for a longer
period as determined by the Village of Mount
Prospect.
Grantee shall provide, without charge-within the Primary
Service Area, one service outlet activated for regular
subscriber service to each fire station, school,
police station, public library, and such other buildings
used for governmental purposes as may be designated
in the franchise agreement; provided, however,
that if it is necessary to extend Grantee's trunk or
feeder lines more than three hundred (300) feet solely
to provide service to any such school or public building
the Village of Mount Prospect shall have the option
either of paying Grantee's direct costs for such extension
in excess of three hundred (300) fee, or of releasing
Grantee from the oblication to provide service to such
building. Furthermore, Grantee shall be permitted to
recover, from any public building owner entitled to
free service, the direct cost of installing, when
requested to do so, more than one outlet, or concealed
inside wiring, or a service outlet requiring more than
three hundred (300) feet of drop cable; provided,
however, that the Grantee shall not charge for the
provision of megular subscriber service to the additional
service outlets once installed.
The Grantee shall not permit the transmission of any
programming in violation of any federal, state or local
law. Grantee shall inform each subscriber of the
availability of a device capable of locking out any
programming video and audio signals and shall provide
such a device for each outlet to any subscriber upon
request at no additional charge.
.605
CABLE COMMUNICATIONS
6.605
SECTION 6.605 OPERATIONAL REQUIREMENTS AND RECORDS
A~
Grantee shall construct, operate, and maintain the
cable television system in full compliance with the
rules and regulations, including applicable amendments,
of the Federal Communications Commission and all other
applicable Federal, State, or local laws and regulations,
including the latest editions of the National Electrical
Safety Code and the National Fire Protection Association
National Electrical Code. The cable teievision system
and all its parts shall be subject to inspection by the
Village of Mount Prospect, and the Village of Mount
Prospect hereby reserves the right to review Grantee's
construction plans prior to the commencement of construction.
The Village of Mount Prospect shall-not,'however, be
required to make inspections or approve the Grantee's
system and plans, and specifically disclaims such
obligation. The Grantee shall be solely responsible
for taking all steps necessary to assure compliance
with such laws and regulations and the safety of its
system as installed.
Grantee shall maintain an office, within the Village of
Mount Prospect unless otherwise stated in the franchise,
which shall be open and accessible to the public with
adequate telephone service during normal business
hours. Grantee shall employ an operator or maintain a
telephone answering service twenty-four (24) hours per
day, each day of the year, to receive subscriber complaints
and to dispatch assistance in the case of any emergency
or major system malfunction affecting a number of
subscribers.
Grantee shall design, construct, operate, and maintain
the system at all times so that signals carried are
delivered to subscribers without material degradation
in quality (within the limitations imposed by the
technical state-of-the art).
Do
Copies of all correspondence, petititons, reports,
applications and other documents filed by Grantee with
Federal or State agencies having appropriate jurisdiction
in matters affecting cable television operation or
received from said agencies shall be furnished simultaneously
to the Village of Mount Prospect by Grantee.
In the case of any emergency or disaster, the Grantee
shall, upon request of the Village of Mount Prospect,
make available its facilities to the Village of Mount
Prospect, without cost, for emergency use during the
emergency or disaster period.
.606 CABLE COMi~UNICATIONS 6.606'
SECTION 6.606 TESTS AND PERFORMANCE MONITORING
No later than ninety (90) days after any new or substantially
rebuilt portion of the system is made available for
service to subscribers, technical performance tests
shall be conducted~by the Grantee to demonstrate full
compliance with the Technical Standards applicable
pursuant to Paragraph A of Section 6.604, and Paragraph
C of Section 6.605 of this Chapter. Such tests shall
be performed by, or under the supervision of a qualified
and independent registered professional engineer or an
engineer with proper training and experience. A copy
of the report shall be submitted to the Village Manager,
describing test results, instrumentation, calibration,
and test procedures, and the qualificat{ons of the
engineer responsible for the tests.
System monitor test points shall be established at or
near the output of the last amplifier in the longest
feeder line, at or near trunk line extremities, or at
the locations to be specified in the franchise. Such
periodic tests shall be made at the test points as
shall be required by the Village of ~unt Prospect or
the Agency.
Co
At any time after commencement of service to subscribers,
the Village of Mount Prospect may require additional
reasonable tests, including full or partial repeat
tests, different test procedures, or tests involving a
specific subscriber's terminal, at the Grantee's expense
to the extent such tests may be performed by the Grantee's
employees utilizing its existing facilities and equipment;
provided, however, that the Village of Mount Prospect
reserves the right to conduct its own tests upon reasonable
notice to the Grantee and if non-compliance is found,
the expense thereof shall be borne by the Grantee. The
Village of Mount Prospect will endeavor to arrange its
request for such special tests so as to minimize hardship
or inconvenience to Grantee or to the subscriber.
Do
A copy of the annual performance tests report required
by the Federal Communications Commission shall be
submitted to the Village Manager within thirty (30)
days of its completion.
go
The Village of Mount Prospect shall have the right to
employ qualified consultants if necessary or desirable
to assist in the administration of this, or any other
Section of this Chapter.
. 607 CABLE COMMUNICATIONS ~ 6. 607
SECTION 6. 607 SERVICE, ADJUSTMENT AND COMPLAINT PROCEDURE
Bo
Bo
Grantee shall fill all requests for CATV service, once
facilities are in place, within thirty (30) days after
the date of each request. A record of all service
requests shall be kept until the next scheduled performance
evaluation session.described in Section 6.604 of this
Chapter or for a longer period as determined by the
Board and shall be available for public inspection at
the local office of the Grantee during regular office
hours.
Grantee shall furnish each subscriber at the time
service is installed written instructions that clearly
set forth procedures for placing a service call, or
requesting an adjustment. Said ins~ruct~ions shall also
include a reminder that the subscriber can contact a
Village of Mount Prospect employee for infoznLation
regarding terms and conditions of the Grantee's franchise
if the Grantee fails to respond to the subscriber's
request for installation, service or adjustment within
a reasonable period of time.
Grantee shall establish a maintenance service capable
of locating and correcting major system malfunctions
promptly which shall be available at all hours, to
correct such major system malfunctions affecting a
number of subscribers.
A listed local telephone number shall be made available
to subscribers for service calls at any time of the day
or night. Investigative actions shall be initiated in
response to all service calls, other than major system
malfunctions, not later than the next business day
after the call is received, action on major malfunctions
shall be initiated immediately upon receipt of notice.
Corrective action shall be completed as promptly as
practicable. Appropriate records shall be made of
service calls showing when and what corrective action
was completed. Such records shall be available to the
Village of Mount Prospect during normal business hours
and retained in Grantee's files until the next scheduled
performance evaluation session described in Section 6.404
of this Chapter or for a longer period as directed by
the Village of Mount Prospect. 'A summary of such calls
shall be prepared by the Grantee and submitted to the
Village of Mount Prospect annually, beginning twelve
(12) months after service is provided to the first
subscriber.
In the event a subscriber does not obtain a satisfactory
response or resolution to his request for service or an
adjustment within a reasonable period of time, he may
. u,~7
CABLE COM~4UNICATIONS
6. 608'
advise the Agency or other designated employee in
writing of his dissatisfaction and the Agency or other
designated employee shall have authority to investigate
any subscriber or user complaint or request for adjustment
and to order corrective action as shall be appropriate.
The Village of Mount Prospect may require Grantee to
establish rules and procedures regulating complaint
resolution in the franchise agreement.
Fo
The Grantee shall interrupt system service after 7:00
a.m. and before 1:00 a.m. only with good cause and for
the shortest time possible and, except in emergency
situations, only after cablecasting notice of service
interruption at least twenty-four (24) hours in advance
of the service interruption. Servfce may be interrupted
between 1:00 a.m. and 7:00 a.m. for routine testing,
maintenance, and repair with notification, on any day
except Saturday or Sunday or a legal holiday.
SECTION 6.608 STREET OCCUPANCY
Ao
Grantee shall-~utilize existing poles, conduits and
other facilities whenever possible, and shall not
construct or install any new, different, or additional
poles, conduits, or other facilities whether on the
public way or on privately-owned property within the
Village of Mount Prospect until the written approval of
the Village of Mount Prospect, and, if necessary, of
the property owner is obtained. Such approval shall
not be unreasonably withheld by the municipality. No
location of any pole, wire-holding structure or other
facility of the Grantee shall be a vested interest and
such poles, structures and facilities shall be removed,
relocated or modified by the Grantee at its own expenses
whenever the Village of Mount Prospect or other governmental
authority determines that the public convenience would
be enhanced thereby. Nothing herein or in any franchise
shall be construed to entitle Grantee to the use of any
property other than the public way.
The Village of Mount Prospect shall be entitled to make
use of the Grantee's poles and other wire-holding
structures so long as such use does not unreasonably
interfere with Grantee's operations.
Co
Where a public utility serving the Village of Mount
Prospect desires to make use of the poles or other
wire-holding structures of the Grantee but agreement
therefore with the Grantee cannot be reached, the
Village of Mount Prospect may require the Grantee to
permit such use for such consideration and upon such
terms as the Village of Mount Prospect shall determine
to be just and reasonable, if the Village of Mount
Prospect determines that the use would enhance the
public convenience and would not unduly interfere with
the Grantee's operations.
.608~
CABLE COMMUNICATIONS
6.608
Fo
All transmission lines, equipment and structures shall
be installed and located in compliance with all applicable
local ordinances and so as to cause minimum interference
with the rights and reasonable convenience of property
owners who adjoin any public way and at all times, shall
be kept and maintained in a safe, adequate, and substantial.
condition, and in good order and repair, consistent
with the provisions of Paragraph F, of this Section.
The Grantee shall at all times employ reasonable care
and shall install and maintain in use commonly accepted
methods and devices for preventing failures and accidents
which are likely to cause damage, injuries, or nuisances
to the public. Suitable barricades, flags, lights,
flares, or other devices shall be used at such times
and places as are required by applicable ordinances and
at such additional times and places as are reasonably
required for the safety of all members of the public.
Any poles or other fixtures placed in any public way
by the Grantee shall be placed and maintained in such a
manner as not to interfere with the usual travel or
other existing or projected uses of such public way.
Unless expressly provided otherwise in the franchise,
the Grantee shall at all times comply with any and all
rules and regulations enacted or to be enacted by the
Village of Mount Prospect with reference to construction
activity in public ways.
Grantee shall remove, replace, or modify at its own
expense, the installation of any of its facilities when
directed to do so by the Village of Mount Prospect.
Ail installations shall be underground in those areas
of the Village of Mount Prospect when public utilities
providing both telephone and electric service are
underground at the time of installation. In areas
where either telephone or electric facilities are
aboveground at the time of installation, the Grantee
may install its service aboveground, provided that at
such time as those facilities are required to be placed
underground by the Village of Mount Prospect or are
placed underground, the Grantee shall likewise place
its services underground without additional cost to the
Village of Mount Prospect or to the individual subscriber
so served within the Village of Mount Prospect. Where
not otherwise required to be placed underground by this
Chapter, the Grantee's system shall be located underground
at the request of the adjacent property owner, provided
that the excess cost over aerial location shall be
borne by the property owner making the request.
ABL~ COMMUNICATIONS 6.60~
Go
In the event of disturbance of any public way, private
property or improvement on either of them by the Grantee,
it shall, at its own expense and in a manner approved
by the Village of Mount Prospect or other appropriate
governmental authority and the owner, replace and
restore such public way, private property or improvement
in as good a condition as before the work causing such
disturbance was done. In the event the Grantee fails
to perform such replacement or restoration the Village
of Mount Prospect or the owner shall have the right to
do so at the sole expense of the Grantee. Demand for
payment to the Village of Mount Prospect or owner for
such replacement os restoration shall be in writing.
Whenever, in case of emergency~ it~becomes necessary in
the judgement of the Village of Mount Prospect to
remove or damage any of the Grantee's facilities, no
charge shall be made by the Grantee against the Village
of Mount Prospect for restoration and repair.
At the request of any person holding a valid building
moving permit issued by the Village of Mount Prospect-
or other appropriate governmental authority and upon at
least forty-eight (48) hours notice, Grantee shall
temporarily raise~ lower, or cut its wires as may be
necessary to facilitate such move. The direct expense
of such temporary changes, including standby time,
shall be paid by the permit holder, and Grantee shall
have the authority to require payment in advance.
Grantee shall not cut or trim any tree, shrub or vegetation
on public property without first obtaining written
authorization from the Village. Any such work shall be
done at Grantee's expense and shall be subject to the
supervision and direction of the Village of Mount
Prospect.
SECTION 6.609 CONSTRUCTION SCHEDULE AND REPORTS
Upon accepting the franchise, Grantee shall, within
sixty (60) days, file the documents required to obtain
all necessary Federal, State and local licenses,
permits and authorizations required for the conduct of
its business, and shall submit monthly reports to the
Village Manager's Office on progress in this respect
until all such documents are in hand. Failure of the
Grantee to pursue all necessary steps to secure the
aforementioned authorizations with due diligence shall
constitute a substantial violation of this Chapter.
.609
CABLE COMiVfUNICATIONS
6.610
Bo
Co
Do
Franchise applications shall include a schedule for
construction of the cable television system, including
a timetable for commencement of cable television service
to subscribers. Said schedule shall be incorporated
into the franchise and shall be enforceable as to the
Grantee under the grovisions of this Chapter.
Within one hundred twenty (120) days after accepting a
franchise, Grantee shall furnish the Village of Mount
Prospect a copy of the preliminary engineering drawings
and an operating construction schedule setting forth
target dates by area for construction activity. The
drawings and schedule shall be updated whenever substantial
changes become necessary.
Every three (3) months after the stuart of construction,
Grantee shall furnish the Village 6~' MOunt ProsPect a
report on progress of construction until complete. The
report shall include a map that clearly defines the
areas wherein regular subscriber service is available.
SECTION 6.610 PROTECTION OF PRIVACY
Grantee shall not permit the transmission of any signal,
aural, vi~uat or digital, including "polling" the
channel selection, from any subscriber's premises
without first obtaining informed consent of the subscriber
which shall not have been obtained from the subscriber
as a condition of any service for which transmission is
not an essential element. The request for such consent
shall be contained in a separate document, which spec±fically
enumerates and describes the transmissions being authorized
and includes a prominent statement that the subscriber
is authorizing the permission in full knowledge of its
provision and shall be revocable at any time by the
subscriber without penalty of any kind whatsoever.
This provision is not intended to prohibit the use or
transmission of signals useful only for the control or
measurement of system performance or used for billing
subscribers.
Bo
Grantee shall not permit the installation of any special
terminal equipment in any subscriber's premises that
will permit transmission from subscriber's premises of
two-way services utilizing aural, visual or digital
signals without first obtaining written permission of
the subscriber as provided in Paragraph A of this
Section.
ABLE CO~NICATIoNs :
6.612
Grantee, or any of its agents or employees, shall not,
without the specific written authorization of the
subscriber involved, as provided in Paragraph A of this
Section, sell or otherwise make available to any party
any information which identifies the viewing habits or
responses of individual subscribers.
SECTION 6. 611 OTHER BUSINESS ACTIVITIES
The Grantee, its subsidiaries and affiliates are
specifically prohibited from engaging directly or
indirectly, in the sale or leasing of television receivers,
radio receivers, or television or radio parts, except
such parts and accessories required for any type of
cable connections, such as convert,rs and connection
plugs and accessories, individually or with any person,
anywhere in the Village of Mount Prospect, whether or
not for a fee or charge, and is further prohibited from
'engaging in any type of repair service to television
receivers or radio receivers.
Bo
Grantee is expressly prohibited from requiring the
removal or from offering to remove or to provide any
inducements for removal of any potential or existing
subscriber antennas as a condition for provision of
service.
SECTION 6.612 AREAWIDE INTERCONNECTION OF CATV SYSTEMS
Ao
Co
Each Grantee, if ordered to do so by resolution of the
Village of Mount Prospect shall interconnect Access
Channels and/or Local Origination Channels of its CATV
System with all other CATV Systems in adjacent areas.
Upon receiving an order to interconnect, the Grantee
shall make a good faith effort to obtain agreements for
the sharing of interconnection costs among all interconnecting
companies. The Village of Mount Prospect may extend
the time to interconnect or may rescind its order to
interconnect upon finding that the Grantee has made a
good faith effort but has been unable to obtain a
reasonable interconnection agreement or that the cost
of the interconnection would cause an unreasonable
increase in subscriber rates.
Each Grantee shall cooperate with any entity established
for the purpose of regulating, financing, or otherwise
providing for the interconnection of CATV Systems,
.612 CABLE COFSVfUNICATIONS 6.612
Fo
The Village of Mount Prospect may require a Grantee to
provide Local Origination equipment that is compatible
with that used by other CATV Systems within the adjacent
areas.
Grantee shall make every reasonable effort to cooperate
with cable television franchise holders in contiguous
communities in order to provide cable service in areas
outside the Grantee's Franchise Area.
The Village of Mount Prospect shall make every reasonable
effort to cooperate with the franchising authorities in
contiguous communities, and with the Grantee, in order
to provide cable television service in areas outside
the Village of Mount Prospect.
ARTICLE VII: GENERAL PROVISIONS
SECTION 6.701 LIMITS ON GRANTEE'S RECOURSE
Ao
Co
Grantee shall have no recourse against the Village of
Mount Prospect for any loss, expense or damage resulting
from the nerms and conditions of this Chapter or the
franchise because Sf the Village of Mount Prospect's
granting or enforcement thereof nor for the Village of
Mount Prospect's failure to have authority to grant the
franchise. The Grantee expressly~agrees that upon its
acceptance of the franchise, it does so relying upon
its own investigation and understanding of the power
and authority of the Village of Mount Prospect to grant
said franchise.
The Grantee, by accepting the franchise, acknowledges
that it has not been induced to accept same by any
promise, verbal or written, by or on behalf of the
Village of Mount Prospect or by any third person regarding
any term or condition of this Chapter or the franchise
not expressed therein. The Grantee further pledges
that no promise or inducement, oral or written, has
been made to any Village of Mount Prospect employee or
official regarding receipt of the cable television
franchise other than as contained in the franchise
agreement.
The Grantee further acknowledges by acceptance of the
franchise that it has carefully read the terms and
conditions of this Chapter without reservation the
obligations imposed by the terms and conditions thereof.
The decision of the Board concerning Grantee selection
and awarding of the franchise shall be final.
The grantee shall not apply for any waivers, exceptions,
or declaratory rulings from the Federal Communications
Commission or any other Federal or State regulatory
agency without prior written notice to the Village of
Mount Prospect.
SECTION 6.702 COMPLIANCE WITH STATE AND FEDERAL LAW. The
Grantee shall, at all times, comply with all laws of the
State and Federal government and the rules and regulations
of any Federal or State administrative agency.
SECTION 6.703 SPECIAL LICENSE. Upon such conditions as the
Village of Mount Prospect may deem necessary, and notwithstanding
'the provision of Article III of this Chapter, the Village of
Mount Prospect may issue a license, easement or other permit
to anyone other than a Grantee to permit that person to
traverse any portion of the Village of Mount Prospect in
order to provide service outside the Village of Mount Prospect.
Such license or easement, absent a grant or a franchise in
accordance with this Chapter shall not authorize nor permit
said person to provide a cable television service of any
nature to any home or place of business within the Village
6.7~'-~%~> CABLE COFiMUNiCATIONS 6.706
of Mount Prospect, nor to render any service or connect any
subscriber within the Village of Mount Prospect to a Grantee's
cable television system.
SECTION 6.704 FRANCHISE VALIDITY
The Grantee agrees?~ by the acceptance of the franchise,
to accept the validity of the terms and conditions of
this Chapter and the franchise in their entirety and
that it will not, at any time, proceed against the
Village of Mount Prospect in any claim or proceeding
challenging any term or provision of this Chapter or the
franchise as unreasonable, arbitrary or void~ or that
the Village of Mount Prospect did not have the authority
to impose such term or condition.
In case of conflict or ambiguity between this Chapter,
the franchise or the Grantee's franchise application,
the Grantee agrees that the provision which provides
the greatest benefit to the Village of Mount Prospect
in the sole discretion of the Village of Mount Prospect
shall prevail.
SECTION 6.705 FAILURE TO ENFORCE FRANCHISE. The Grantee
shall not be excused from complying with any of the terms
and conditions of this Chapter or the franchise by any
failure of the Village of Mount Prospect upon any one or
more occasions, to insist upon the Grantee's performance or
to seek Grantee's compliance with any one or more of such
terms or conditions.
SECTION 6.706 RIGHTS RESERVED TO THE GRANTOR
The Village of Mount Prospect hereby expressly reserves
the following rights which shall not be deemed to be
waived or abrogated by any franchise granted pursuant
to this ordinance:
To exercise its governmental powers, now or
hereafter, to the full extent that such powers may
be vested in or granted to the Village of Mount
Prospect.
To adopt, in addition to the provisions contained
herein and in the franchise and in any existing
applicable ordinance, such additional regulations
as it shall find necessary in the exercise of its
police power.
To amend this Chapter or any franchise granted
pursuant to this Chapter as provided in Section 6.403
to require reasonable and appropriate modifications
in a Grantee's franchise of a nature that would
not result in effectively terminating same, provided
that the Village of Mount Prospect shall not make
.
CABLE COMMUNICATIONS
6. 708 '
any amendments or modifications to this Chapter
or a franchise granted hereunder which would
alter the provisions of Section 6.405(D) or 6.406(E)
during the term of any franchise granted hereunder.
To renegotiatg any franchise granted pursuant to
this Chapter should substantial Section(s) of the
Chapter or franchise be rendered void by the
Federal Communications Commission, or by subsequent
changes in applicable Federal or State laws,
rendered void by the Federal Communications
Commission, or by subsequent changes in applicable
Federal or State laws.
SECTION 6.707 EMPLOYMENT REQUIREMENT, The Grantee shall not
refuse to hire, nor discharge from employment, nor discriminate
against any person regarding compensation, terms, conditons,
or privileges of employment because of age, sex, race,
color, creed, or national origin. The Grantee shall take
affirmative action to ensure that employees are treated
fairly and equally during employment, w~thout regard to
their age, sex, race, color, creed or national origin. The
condition includes, but is not limited to, the following:
recruitment advertising, employment interviews, employment,
rates of pay, upgrading, transfer, demotion, lay-off, and
termination.
SECTION 6.708 TIME ESSENCE OF AGREEMENT/FORCE MAJEUR.
Whenever thi~ Chapter or the franchise sets forth any time
for any act to be performed by the Grantee, such time shall
be deemed of the essence and the Grantee's failure to perform
within the time allotted shal~, in all cases, be sufficient
grounds for the Village of Mount Prospect to invoke the
remedies available under the terms and conditions of this
Chapter and the franchise.'
Whenever a period of time is provided for in this Chapter
for either the Village of Mount Prospect or the Grantee to
do or perform any act or obligation, neither party shall be
liable for any delays due to: war; riot; insurrection;
rebellion; strike; lockout; unavoidable casualty or damage
to personnel, materials or equipment; fire; flood; storm;
earthquake; tornado; orders of a court of competent jurisdiction;
any act of God; or any cause beyond the control of said
party. And, in any event, said time period shall be extended
for the amount of time said party is so delayed. An act or
omission shall not be deemed to be beyond a Grantee's control
if committed, omitted, or caused by a corporation or other
business entity which holds a controlling interest in the
Grantee, whether held directly or indirectly. Further, the
failure of a Grantee to obtain financing, or to pay any
money due from it to any person, including the Board, for
whatever reason, shall not be an act or omission which is
"beyond the Grantee's control."
.70.
CABLE COM}~UNICATIONS
6.712
SECTION 6.709 ACCEPTANCE. This Chapter and the franchise
and their terms and conditions shall be accepted by the
Grantee by written instrument filed with the Village of
Mount Prospect within thirty (30) days after the granting of
the franchise, unless said period is extended by the Village
of Mount Prospect at its sole discretion. In its acceptance,
the Grantee shall declar~ that it has carefully read the
terms and conditions of this Chapter and the franchise and
accepts all of the terms and conditions imposed by this
Chapter and the franchise and agrees to abide by same.
SECTION 6.710 PUBLICATION COSTS. The Grantee shall assume
~he cost of publication of this Chapter and franchise and
such is payable at the time of the Grantee's filing of
acceptance as in Section 6.709 herein.
SECTION 6.711 RESELLING SERVICE PROHIBITED. No person
receiving within the Village any cable service, program or
signal transmitted by a cable teleyision company operating
under a franchise issued by the Village of Mount Prospect
shall resell such service, program or signal without the
expressed, written consent of both the Grantee and the
Board.
SECTION 6.712 PENALTIES
It shall be unlawful for any person to attach or affix
or to cause to be attached or affixed any equipment or
device which allows access to or use of any cable
television service without payment to the Grantee for
same.
Bo
In addition to recover of any monies owed by Grantee to
t'he Village of Mount Prospect or damages to the Village
of Mount Prospect as a result of any acts or omissions
by Grantee pursuant to the Cable Communications Code
or Franchise, the Village of Mount Prospect in its sole
discretion, may charge to and collect from the letter
of credit or cash escrow provided for in Section 6.412,
above, the following penalties:
For failure to activate the system in accordance
with the franchise agreement, unless the Village
of Mount Prospect approves the delay, the penalty
shall be Two Hundred Dollars ($200) per day for
each day, or part thereof, such failure occurs or
continues.
o
For failure to complete system construction, in
accordance with Grantee's franchise, within the
Primary Service Area, unless the Village of Mount
Prospect approves the delay, the penalty shall be
Two Hundred Dollars ($200) per day for each day,
or part thereof, such failure occurs or continues.
ABLE COM>fUNICATIONS
For failure to provide data, documents, reports or
information or to cooperate with the Village of
Mount Prospect during any performance evaluation
session 'provided for in Section 6.404. the penalty
shall be Fifty Dollars ($50) per day for each day,
or part thereof, such failure occurs or continues.
For failure to test, analyze and report on the
performance of the system following a request by
the Village of Mount Prospect, the penalty shall
be Fifty Dollars ($50) per day for each day, or
part thereof, such failure occurs or continues.
For failure by Grantee to modify the system or
provide additional services wi~thin 'forty-five (45)
days after required by the Village of Mount Prospect
following a performance evaluation sessi'on the
penalty shall be Two Hundred Dollars ($200) per
day for each day, or part thereof, such failure
occur or continues.
For failure by Grantee to comply with construction,
operation or maintenance standards with forty-five
days (45) following notice from the Village of
Mount Prospect, the penalty shall be Two Hundred
Dollars ($200) per day for each day, or part
thereof, such failure occurs or continues.
C. Exclusive of the penalties set out above in this Section,
persons, whether natural or artificial, or commercial
entities who violate any of the provisions of this
Chapter shall be subject to a fine not to exceed Five
Hundred Dollars ($500) for each offense. Each day a
violation continues or is permitted to exist shall
constitute a separate and distinct offense. In addition
to any penalty which may be imposed herein, the Village
of Mount Prospect may initiate injunctive relief,
including the issuance of temporary restraining orders
and preliminary injunctions in the Circuit Court of
Cook County, including Municipal Branch Districts
within the jurisdiction of the Village of Mount Prospect,
to abate any violation of this Chapter the continuation
of which would be injurious to the welfare of the
residents or which would frustrate or defeat the intent
and purpose of this Chapter.
SECTION 6.713 GRANTEE MAY PROMULGATE RULES. Grantee shall
have the authority to promulgate such rules, regulations,
terms and conditions of its business as shall be reasonably
necessary to enable it to exercise its rights and perform
its services under this Chapter and rules of the FCC, and to
assure uninterrupted service to each and all of its subscribers.
.713
CABLE COMMUNICATIONS
6.715
Such~rules and regulations shall not be deemed to have the
force of law. Such rules and regulations shall be filed
with the Village of Mount Prospect and shall not, unless the
Village of Mount Prospect consents in writing to an earlier
effective date, take effect~ until thrity (30) days after
such filing.
SECTION 6.714 DELEGATION OF POWERS. Any right, power or
duty ~f the President and Board of Trustees of the Village
of Mount Prospect, the Village Manager, the Agency, or any
official of the Village of Mount Prospect under this Chapter
may be transferred or delegated by ordinance, resolution, or
other appropriate action of the Village of Mount Prospect to
an appropriate officer, employee, or dep~rtment of the
Village of Mount Prospect, or any legal authority, including
any intergovernmental agency created for the purpose of
regulating the operation and development of the cable television
system.
SECTION 6.715 SEVERABILITY. If any Section of this Chapter
or the franchise, or any portion thereof, is held invalid or
unconstitutional by any court of competent jurisdiction or
administrative agency, such decision shall not affect the
validity of the remaining portions hereof, except as otherwise
provided for herein.
ECTION TWO: Article VIII of Chapter 11 of the said Municipal
Code of the Village of Mount~Prospect is hereby amended by deleting
therefrom the wording "Conununity Antenna Television Systems -
Reserved" and by substituting therefor the wording "Article VIII -
Re served" .
SECTION THREE: This Ordinance shall be in full force and effect
from and after its passage, approval and publ'iCa~ion in pamphlet
form, as provided by law.
PASSED this 2 day of June ,'1981.
AYES: Arthur, Farley, Floros, Miller, Wattenberg
NAYS: None
ABSENT: Murauskis
APPROVED this 2 day of June , 1981.
~- ~
V~LLAGE PRESIDENT
ATTE ST:
VILLAGE CLERK