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HomeMy WebLinkAboutS-935 0. 4 • r Ordinance No . 5-935 AN ORDINANCE GRANTING AUTHORIZATION TO CONSOLIDATED CABLE UTILITIES , INC. , TO CONSTRUCT , OPERATE AND MAINTAIN A COMMUNITY ANTENNA TELE- VISION SYSTEM IN THE CITY OF ELGIN . BE IT ORDAINED BY THE CITY COUNCIL YF-THE 'MT OF ELGIN , ILLINOIS : Section 1 . SHORT TITLE. This ordinance shall be known and may be cited as the Elgin- Consolidated -Cab':le- Utilities , Inc . Community Antenna Television Ordinance. O Section 2 . DEFINITIONS. For the purposes of this ordinance , the following terms , phrases , words and derivations shall have the meaning given herein : When-- not-inconsistent-.with the context, words used . in the present -'tense'"i'rc'la"de the-:future , words in the plural number include the singular number, and words in the singular number include the plural number. The word "shall " is always mandatory and not merely directory. a . "City" is the City of Elgin , Illinois . b. "Operator" is C_o-nsol} = =Aebqe .0 t"ilities , Inc . c. "City Council " is the Mayor and Councilmen of Elgin , . Illinois . d . "City - Manager" is the City Manager of. the City of Elgin , Illinois . e . "Person" is any person , firm, partnership , association , corporation , company, or organization of any kind . f . "System" shall mean the lines , fixtures , equipment attachments , and all appurtenances thereto which are used in the construction , operation and maintenance of the community antenna television system herein authorized . g . "Utility" means any public utility doing business in the City. h . "Service" means community antenna cable television service . Section 3 . GE-NERAL PROVISIONS . a . Operator shall within thirty ( 30) days from the date of the final passage of this ordinance by the City Council file with the City Clerk of the City a written statement signed in its name and behalf .and acknowledged before a Notary Public in the following form: 4 - • "To the Honorable Mayor and City Council of the City -of Elgin , Illinois: . Cons-o tdated.table_:Ut:i:lities , Inc . hereby accepts the attached orainance finally passed by the City Council of the City of Elgin , Illinois , on the day of , 1969 , and agrees to the terms and provisions thereof . Dated 10th day of December , 1969 . ... 00ap:L:1 a :D CABLE- UTILITIES , INC . By - � Its President Attest: Its Secretary" -�~-- • b , The rights , " privilege and franchise granted. hereby is not exclusive and nothing herein contained shall be construed to prevent City- from granting any other similar right , privilege and franchise to any . other person or corporation and City reserves the right to grant the same. _ c . This grant is subject to all valid powers and rights now or hereafter vested or reserved in City under and to all provisions of the Constitution and Laws of the: •State of Illinois . J . . .. Operator shall at all times during the life of this franchise be .subject . to all 'lawful exercise of the police power by City , and to such reasonable regulations as City shall hereafter by ordin.ance •provide . d . -if - any section , sub-section , sentence , clause or phrase -or portion of this ordinance is for any reason held invalid or unconstitutional by any court of competent jurisdiction , such portion shall be deemed a separate ; distinct and independent provision and such holding. shall not effect the validity of. the remaining portions hereof . Section 4 . GRANT OF AUTHORITY. - There is hereby granted to the Operator the right and privilege to construct , erect , install , operate and maintain in , upon , along , across , above , over and under , the streets , alleys , public ways and public places , and all extensions thereof and additions thereto , in the City wires , poles , cables , underground conduits , conductors and fixtures necessary -for - the maintenance and operation in the City of a community antenna television system . for the reception and distribution of television signals and energy , frequency modulated radio signals , and any visual and aural signals which are not otherwise herein prohibited ; provided , however, the Operator at its own expense shall place its facilities underground in those areas of the City where all utilities are underground . The rights herein granted shall • • — • F"' • • extend to any area annexed to the -City , and Operator shall be bound by the ' same rules and regulations as to such area as are otherwise herein or hereinafter provided . This grant extends to the leased or rented use of poles and other facilities of any utility now or in the future operating in the City . ' b : Should Operator use any poles or other facilities of any utility , the following provisions shall be met: ( a) Operator and . the utility shall execute a written agreement covering the terms of such usage , and ('b ) a certified copy of -such .agreement shall . be filed in the office of the City Clerk. c . The City , because of the importance of its services , reserves the right to inspect each new -installation .of ..the Operator on its poles and in space reserved for .its 'use ;on poles belonging to others and in the vicinity of its line or appliances and to make periodic inspections , - at reasonable intervals , semiannually or more often as plant -conditions may reasonably warrant , of the entire plant of the Operator . Such inspections , whether made or not, -shall not operate to relieve the Operator of any responsi - • bility , obligation , or liability assumed under :this agreement . d . Neither the Operator nor any -.of its officers or employees • shall engage in- the business of selling , renting , leasing , repairing or adjusting television sets or other electronic instruments other than those owned by the Operator. This paragraph .shall not be' construed to restrict the.O.perator from connectin-g-_Lts, di;stribution _..r.,,, ,_ .. -.-.,,n,, .. system . to television sets or other electronic' instruments . Operator agrees not to engage in the business of removing or. installing - - antennas . This shall include the- prohibition of the removal of .... antennas for- promotional purposes by the Operator . Section 5 . COMPANY LIABILITY AND INDEMNIFICATION . ( a) LIABILITY COVERAGE . It is expressly -understood and agreed by and between .Operator and the City that Operator shall save the City , .its officials and employees harmless from all loss sustained by the . City , its officials and employees on account of any suit , judgment , execution , claim or demand whatsoever arising out of th-e construction , operation and maintenance of the system by Operator . _Operator agrees to maintain and 'keep in full force and effect at all times during the term of this ordinance , liability insurance coverage to protect the City , its ' officials and employees against any such claims, suits , judgments , executions , or demands to. th.e extent of not. less than $500 ,000 . 00 per person as to any one claim, _ $1 ,000 ,000. 00 as to any one accident or occurrence , and not -less than $400.,000. 00 ' for property damage as to any one - accident or occurrence', or to such greater extent on any or all such coverage as may be required Of Operator by any other utility under Section 4 hereof . • • 1 • - -- - - b . . INSURANCE COVERAGE :-:. Thereshallbe...filed. in the office of the City,° Clerka Certificate: o.f:. Insurance-,• nam-ing -the City as additional : insured - under- the l i.abi l.i ty` i nsorance- requi red by this ordinance . — The: i nsurance- company-wri ting'. sach insurance and certificate shall be subject: toprior-.approval ..by: City: Manager and shall carry a "Triple -:A"= financial = rating- in: the then current edition of' Bes.t ' s- Insurance Guide . c . - BOND REQUIRED . . . Upon acceptance'. of_ this franchise the Operatorshall provide-and—furnish- to the• City. a . bond , in such form and with- surety- satisfactory-to the':City, 'in the amount of $100 ,000 . 00 , conditioned- upon- the- Operator' s faithful performance of all requirements on : its.zpart : to beperformed by the terms of this ordinance Section 6a :_-_ PEREORMANCEi: BY OPERATOR . . (a ) ' Subject..to:..the:•provisions: of'. Section 11:. hereof , Operator shall , within': twenty=four_ months from:.the'. effective- date of this ordinance; '..be offering- sereice : to _at-:least' thirty ( 30% ) per cent of the dwelling:::units -in- the- City , and. within' five, years of such effective- date shall :be:of'fering_: service: to_ all =.dwelling units in the City =provided . that: Operator: shal _l. :. not- be required to provideserviceto anyarea-having -a: population'. of less than 30 dwellings per cable mile-. Subsequent-_to five' years from date , Operator -shall - be'.requir.ed: to-.pay-. to- Citya penalty of $5 . 00 for each qualified applicant..who,..has : not:.been::provided'.-with service with'i'n thirty days::'after:..re'questing• the same '-. (b)` At the request of the City , Operator hereby agrees to provide serVice:. ( at no- charge than the _ direct charge , if any , which Operator pays a utility : in connection with the provision of such service under an agreement _ of the type contemplated by Section 3 hereof) to the following buildings within the City : all municipal buildings ; police . and _ fire'_ stations:, park or park district buildings ,' public . libraries , and public and private schools . Oberator' s` obligation . under . this Section shall be limited to;' )roviding the service to: one matching transformer in each such building . . . It is- agreed that the City may make such use of the 'droline into its municipal buildings as it shall deem desirable '°': c . The system operated - by Operators- shall contain not less than twenty ( 20) channels at least four ( 4 ) of which shall at all . times Pe, reserved-Jots, educa.tional - purposes , . The_ Operator ' s operational plan shall not . only-. pr.ovi.de. reception : o-f all stations in Chicago, . but also those in- other cities - in the immediate area such as South- Bend , condi ana ,- Mi lwauk.ee-, Wisconsin , ..and' Rockford , Illinois . Operator shall providelocal _. affairs : and time and weather programs regularly scheduled on- unused channels. Operator represents that it will e-stablish. and' maintain' a ' local ' studio for such programming wi ttii n: twenty= four: .(24') - months from: the date of this franchise ordinance . d . Operator agrees, that• all ..rates . charged itssubscribers to its service shall be standard ; ' uniform and reasonable ; a copy of the Operator' s scale of charges for installation and • furnishing of service shall be: filed- with: the City Clerk not . less - than 60 days prior: to the: effecti:.ve7:date of such charges . The scale of- rates-. and-.eharges: and' any amendments thereto shall be subject to the approval• of: the= City Council . -: The monthly rate to subscribers shaltnot per month for the first outlet and• shall not exceed $L25: per• month next outlet and shall not exceed $ . 75• for each additional outlet . The instal l atiow charge shal l • not exceed- $15'. 00- for the first outlet or $3 .00 for. each adzii tional i outlet: The:.operator; agrees that When- subscriber- saturation: in: theCity= reaches 75% ; there will be a 5% reduction - in rates : for: all; subscr. iber. s' in the City . When 90%• saturation- is reached ; there will be: an additional 5% reduction in rates . for. al l ; subscr.i bers: i n the City . The term " saturation" shall -mean:.S0% of. the . potential subscribers in the -City are receiving service . Operator hereby agrees that no free services. wi 1-1 be . permitted; to:any:. customer provided , however , that- this provision. shall ..no.t -:prevent- Operator from- conducting Promotional campaigns to- attract: new: customer.s , including elimination-or reducti on: of the. i ni ti al - connecti on fee or of the monthly-_ service charge:- for;_ a... speci.fi ed period . e . •. The City: shall . have- the ..right to::attach ..transmitting and receiving faci l i ti es�..to: any . tower., erected _.by. the Operator providing ,- however ,: that- the:. attacb:in'g:.of .such: equipment does not interfere with::.the• operation-.of: .the= CATV system . Section:.- CONDITIONS= Ofit:STREET: OCCUPANCY:. ANON. SYSTEM. CONSTRUCTION . • a . USE . All structures-,:.li.nes and 'equipment erected or installed by Operator wi thi n.-the: .Ci ty: shall be so: located as not to cause- unreasonable i nterfer. ence=. with i they. proper . use, of streets , . alleys , and- other public, ways and:.places:, . and.: to: avoi.d:: unreasonable interference with the• rights- or: reasonable- convenie-n-ce of property owners who adjoin; any- of. sai d: streets:, alleys , or • other-: public ways - . and places . b:. .- RESTORATION-. - In- case. of any: disturb:ante• by: 0_perator of pavement , sidewalks, driveways, orother- surfacing ; Operator shall , at i is own expense- and- i n: a- manner, approved;:by th.e, City , replace .. . and restore such places soZ disturbed. in : as : good condition as before said work was commenced , and shall-maintain- the-- restor`ation in a condition approved by the:City for the - full period of one year. c . RELOCATION . -An the event- that at any time- during the term of this ordinance , the City-shall lawfully -elect to alter or change the grade of any street , alley or:-other public way , Operator , upon reasonable noticer- by the City , shall Cexcept to • the extent that Operator ' s- equipment is located on private property ) remove ,: re-lay , and relocate- its - equipment- at its own expense . d. , PLACEMENT' OF: FIXTURES . _ : : The location by Operator of its lines and equipment shall.. ' io such manner as not to interfere with the normal t-ravel -- on said str.eets , ::alleys , and public ways • and normal- use of thesame- by:.uti :lity-;;_water- and: sewer lines and equipment . . r . e. TEMPORARY REMOVAL OF WIRES FOR BUILDING MOVING . Operator shall , on the request of the City., remporarily. raise-:o.r lower. iis • wires to permit the mov-ing of .buildings . This work shall be at the expense of the person moving the building , and the Operator shall • be given at least 48 hours •notice •of -such° request .• f . TREE TRIMMING . When necessary for the installation of poles , _ cables , conduit , house connections or other structures , Operator is hereby authorized to trim trees located on public property . Such -trimming shall be done in a workmanlike manner, in such a way •as to preserve the beauty and balan.ce .of the .t.r-ee ,...and • under the supervision of properly designated City personnel . . • g . NON-LIABILITY OF CITY. The City , its officials and employees shall not be liable for any damage occurring to the property of - Operator caused by employees of the City in the performance of their duties , nor shall the City, its officials and employees , be held liable for the interruption of service by actions of-city- employees in the performance of -their duties , nor shall the City be held liable for the failure of Operator to be able to perform normal services due to acts of God . .h . . . PERMITS . FROM OTHERS. . Operator shall be responsible for securing any rights-of-way , easements , permits or• agreements from •any ..other persons or utilities that may be needed by Operator for any reason . i, . LAYOUT PROPOSAL . The Operator must submit to the City , for its approval , -a preliminary lay out of proposed system showing the location of the head and trunk cables . The .layout must also indicate whether the cable is to be installed above or underground . Section 8. CONSTRUCTION APPROVAL BY CITY . Except -for individual service drops , Operator shall not erect any pole , run any _.line ,. make any attachment, nor shall construction of any kind be commenced without the prior approval (which shall not - be unreasonable withheld). .of the City, in the form of a permit issued by the City , upon approval of layout. maps showing the location of the facility or equipment to be installed . The City shall have and maintain the right to inspect the construction , operation and maintenance of the system by Operator to insure the proper compliance with the terms of this ordinance . .In the event Operator should violate any of the terms of this Section or the • terms of . any permit granted under authority of this Section or any rules and regulations that may be from time to time . 'lawfully adopted by the City , the City shall immediately give to Operator written notice to correct such violation , and in the event Operator does . not make such correction within 30 days from the receipt of such written notice , the City may make such correction itself and - cha.rge the cost of the same ' to Operator. Section 9 . CUSTOMER SERVICE . a . IN GENERAL , The .system :shalll carryall signals of every commercial television station as to .which the system tower and . antenna equipment are located .within . the .Feder.al Communications -- -- . — �, ' ' 'Commission approved predicted GradeB contour line of such . - television station . Except for emergencies , the television signals at no time shall be wilfully altered , interrupted, or blacked out in any way by Operator . ' b . EDUCATIONAL SERVICE . The Operator shall reserve four' television channels for the use of educational institutions within the City limits for the orgination of educational television telecasts and the interconnection of all said educational institutions . Section 10 . SERVICE STANDARDS. a . The Operator shall install and maintain its equipment in accordance with the National Electrical Safety Code prepared by the National Bureau of Standards . b . ° The system shall maintain at all times : ( 1 ) Equipment that passes standard color television signals without substantial degradation and with no appreciable phase shift and no appreciable effect on color fidelity and intelligence. The reception shall • be of broadcast signal quality. (2 ) A system and all equipment designed and rated for ' ' 24-hour day continous operation : (3) A signal -to-noise ratio of not less than 43 decibels . ( 4)". A television signal with a hum modulation less than 3% . (5) -' -Components having voltage- standing wave ratio of 1 . 4 or less . (6) Operator guarantees that there shall be OdB 1 ,000 micro-volts per fee outlet . ! . c . Repairsto any malfunction in the system shallbe corrected within 72 hours . d . Operator shall provide accurately calibrated test equipment for the testing of all service and operational standards outlined in this ordinance and shall conduct these tests as requested by the City under the supervision of a City representative designated by the City Manager properly qualified in electronics , in order to establish the level of performance of the system . Section 11 . DEFAULTS. Operator shall not be deemed nor declared to be in default under any oftheconditions , provisions , requirements or limitations of this ordinance in any case in which the performance of any such condition , provision , requirement or limitation is prevented by reason of strikes , injunctions or any other cause , including lawsuit or administrative agency proceedings , reasonably beyond the control of Operator . ' In the event that Operator ' s performance is prevented by any such cause , the time for performance shall be extended by the period during which such — . ._. - . L cause was- in effect . Section- 12. - : PAYMENTS TO CITY . a . PAYMENT: . The.:. Operato-r .agrees . to_. pay-:.<to--the:.City for the privilege of operating; a...CATV .system.. under this- franchise an amount computed in accordance with .the following schedule : rn Five per cent - of all . gross . operating revenue up to fifty-five per cent of- saturation . Five and one-half'. per. _.cent; of all.. gross operating revenue up to sixty per-cent.: of' saturation . Six per cent -.of all . gross:: operati ng: revenue up to sixty-five per cent- of- saturation . Six and one-half per - cent of. all _ gross operating revenue up to seventy_.per. . cent:-of: all - saturation . Seven and one-half . per: cent.:of all : gross operating revenue up'. to eighty.:per:. cen t: of- saturation . Eight per. : cent: ofa.l l . gross -.operati ng' revenue when eighty per- cent- saturation' i s reached. Saturation- shall - mean 80% of the . potential . subscribers in the City are receiving . service: from- the- Opera-tor. r•;- = -_ : � _.._ b.. : MANNER OF PAYMENT . All payments of such tax'. or fee shall be made- to the City semi -annually and shall be due- on or before August 1 , and February 1= of - each. year:. commencing - with the year in which Operator begins . to_ render.: service - in the City. c . - GUARANTEED PAYMENTS . Operator- specifically agrees that in further considerationtothe City for: granting this franchise , Operator guarantees- to- pay_ to the . City not less than $5 ,000. 0.0 for any 12mont:h.--peri od= commencing wi :th.::the--date .: y::•:::.: . of passage of- this ordinance . Such minimum payment shall be made regardless of actual gross operating revenue during any such period , but shall not be- in addition to - the payments provided herein based upon gross operating reve,pue . Any s ch uarante d payments made not covered by current operating revenue shall be credited against subseuent gross operating revenue . Section on- 13. ' _ RECORDS. AND REPORTS. . On orbefore March 1 of each year , commencingwi th - the- year- following the - year in which Operator begins to render service-- in the - City ,-.. Operator shall - submi-t: to' the _ City-- a: summary: report,-. prepared-__by_a competent firm oF Certified Public Accounts, :.showi.ng'. gross _. revenue::.received by Operator from-. the operation- of—the- system- within the- City during the preceding year. Section- 14y TERM- Of ORDINANCE . : -: This ordinance shall remain in full force and effect fora- term: of. 20 years . unless- terminated prior thereto pursuant- to provistons contained herein , and the Operator at-- the end of said term' shall : have an option for the renewal for: an additional - term: of: 10 years- upon reasonable terms to....be negotiated ..by .the City and the Operator. for. -such additional period . . Section 15 . .REGULATION . The franchise herein granted shall be subject to and controlled by all . of the provisions of . the laws 3 of . the.-State of Illinois and of the United States , and State and Federal _regulations , now existing or hereafter enacted . - 1 .Section .. .PENALTIES° Should Operator :violate any of the I16 . . provisions of this ordinance , or any rules -and regulations lawfully adopted' by the City or any other laws , or fail to perform any s of the . provisions hereof, Operator. shall forfeit all. 'its rights 1 hereunder . to the City upon the continuation- of such violation 1 or failure for. a period of more than 30 days from the date Operator receives written -notice from the : Ci:ty of - such violation or failure . , In . the event of the .bankruptcy or receivership of f Operator, all . rights herein given to Operator shall at the option of the City' be forfeited - and terminated . . Section 17 . PAY TV PROHIBITED. The Operator shall not , without the . express consent of the _City Council , engage in furnishing Pay : TV ; -.that, is , the . charging . of any sum. of money , over and above the regular monthly service charge , for special programs . Section 18 . -. SALE OR TRANSFER WITHOUT . APPROVAL PROHIBITED . . The`-Operator shall n_ot sell or transfer its plan _ o-r,. system , nor transfer: a-ny:.rights under- this . franch i se. wi thout approval. of the City Council : : .Provided , however , that no . sale or transfer shall - . be effective until the vendee or transferee has filed in the office of -tile City Clerk an i-nstrument, . duly executed , reciting the fact of such .sale.. or. transfer , .and accepting the terms of . the franchise , and .agreeing to perform :all the conditions thereof . Secton 19'. -SERVICE PROTECTION .--The Operator ' s . s.ystem-_must transmit . signal.s and . pr..oduce high quality -TV . p.icturesjin.cl.udi-ng - color-) . that-will not Interfere with. other electrical or electronics ..system . :The • distribution- system. sh'all ` b-e. iristal'1'ed;`'-:o0rated` a'n'd . maintained in such ,a _manner that no interference will be . caused to .the reception of signals from standard television broadcast... stations or to the .reception of signals transmitted :by. any- communi - cations service authorized by any Federal agency . hn=.the -event that the. .Ci ty should comp) ai n ,.or. recei ve a . . complaint from :any . ci ti aen , pertaining . to interference by the , Operator-=s' systerp .with, other. electrical or :e.lectronic systems , the ci.t.y • may : designate a qualified third party , electronic engineer or __,- • -testinglaboratory , .to _investigate such complaint, at - the sole cosh-.and -expense -of; the Operator. .... . In the event such .investigation should .:sustain. th.e . complaint , the Operator shall - have twenty-four hours , after due notice from City , _ to remedy such situation to the satisf.action .of such third party engineer or firm . If - such interference cannot be eliminated within-24 -hours , the Operator shall suspend operation of that porti-on .of :the 'system causi:ng . such. . . interference .'and .sha.l l have an -addi'ti onal-:30 days in which to make pr.ovi sions._ to. permanently .e.l.i.mi nate :su.ch...i nter.ference ':and .r.e.i'ns tate c, I -`y• • its. servi ce. -If this -is not accomplished within .30 . days ,• this fi:anchise agreement may be terminated• and rescinded by majority 'action of the City Council . HI Section 20 . FINAL TERMINATION OF. THE -"ORDINANCE" '.Upon: termination • of the ordinance the Operator shall remove _ its cables ,. wires ; and equipment from all poles- of =the City and all space. reserved for the. City ' s use on poles belonging to others . If not so removed, the. City-: shall have the right to remove or have its contractor removethem._ at . the risk ; cost , and expense of the .Operator and wi:thout ' liability :therefor . ' " Section 21 . SEPARABILITY. In -the event anysection or part of. this-, ordinance shall be held invalid , such' invalidity shall not affect the ' remaining sections or portions Of this ordinance . Section 22 , CONFLICTING ORDINANCES Where theprovi•sion of any ordinance or parts of ordinances are in conflict herewith , the more':restrictive regul.ati on =s'hal l '. apply . .Section , 23 That •this, ordinance shall be effective from and after : i t$ •:pas:s`a-ge :as ' provided by law and shall be published in pamphlet-form let"form by authority of_ :.the . City, Council _ • g. C. Alla (Signature) ; . • : r::,r. ;:.. E . C . Aift , Mayor Presented: • December 10, 1969 • Pas$e.:d : December 10, 1969 ;31Nays i • Recorded :. ` December .10, 1969 " Published`: Decembelr 10, 1969 Attest: . ' • • Narneiet A. Shales (Signature) .. Margaret 'A . Shales , City Clerk • • • • . - . ;. ;:.. , • • ' ' ' , : • • .- - • • i .