HomeMy WebLinkAboutOrdinance 87.09 Adopting a cable communications ordinance ORDINANCE NO. 87.09
AN ORDINANCE ADOPTING A CABLE COMMUNICATIONS ORDINANCE
WHEREAS the Town of Marana desires to insure that cable
television systems and similar cable communications systems
within the Town are operated in an orderly manner and for the
public benefit; and
WHEREAS the Town Council of the Town of Marana, Arizona
did, on the 21st day of July, 1987, adopt a Cable Communications
Code for the Town of Marana; and
WHEREAS the Town Council of the Town of Marana, Arizona
has determined that it is necessary for the efficient
administration of the Town and its residents to have regulations
relating to cable communications.
NOW, THEREFORE, BE IT ORDAINED BY THE TOWN COUNCIL OF
THE TOWN OF MARANA, ARIZONA that the Cable Communications Code
for the Town of Marana, as approved by the Marana Town Council on
the 21st day of July, 1987, be and the same is hereby adopted by
this Ordinance as the Town's formal Cable Communications Code.
IT IS FURTHER ORDAINED that any violation of this
Ordinance and the Code it incorporates by reference shall
constitute a Class 1 Misdemeanor.
WHEREAS the immediate operation of this Ordinance is
necessary for the preservation of the public peace, health and
safety of the Town of Marana, an emergency is hereby declared to
exist, and this Ordinance shall be in full force and effect from
and after its passage, adoption and approval by the Town Council
of the Town of Marana.
PASSED AND ADOPTED by the Town Council of the Town of
Marana, Arizona this 21st day of July, 1987.
ATTEST:
MAYOR
TOk'N OF MaRANA, ARIZONA
CABLE COMMUNICATIONS ORDINANCE
September 4, 1g87 ~
I. TITLE
This ordinance shall be entitled the Town of Marana Cable
Communications Ordinance.
II. PURPOSE
It is the purpose of this Ordinance to:
A. Provide for the granting of licenses to operate cable
communications systems in the Town of Marana.
B. Provide for the payment of certain fees and other
consideration to the Town.
C. Promote the widespread availability of high quality
cable communications service to residents of the Town of
Marana.
III. DEFINITIONS:
For purposes of this Ordinance the following terms, phrases
and their derivations shall mean:
°~- Auplicant: Any person that applies for a license.
Cable Service: All subscriber services provided b
the monthly charge paid by all subscribers, includingeoptional
services such as Premium Programming for which a separate charge
is made.
Cable Television S stem Cable S stem or System: A system, under
common ownership or control, of antennas, cables, fiber optics,
wires, microwave, lines, towers, waveguides or other conductors,
converters, equipment or transmission paths any of which use,
cross, or occupy any public right of way, public utility easement
or other public property designed and constructed for the purpose
of generating, producing, receiving, transmitten
distributing and controlling audio, video and othermformsnof
electronic or electrical signals.
Charm 1= A six (6) megahertz (MHz) frequency band capable of
carrying either one standard video signal or a combination of
nonstandard signals.
Converter: An electronic tuning device which converts transmitted
signals to a frequency which permits their reception on an
ordinary television receiver.
"' Council: The Town Council of the Town of Marana.
Equipment: Any manholes, underground conduits, poles, antennas,
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cables, boxes, pedestals, Wire
"` facilities necessary, essential,
the cable television system.
fixtures, conductors or other
used or useful to and operated by
FCC: The Federal Communications Commission, its designated
representative or its lawful successor.
Gross Revenues: All payments received by the licensee from
subscribers within the Town for programming services.
Installation: The connection of the system from activated feeder
lines to subscribers' terminals for the reception cf cable
service,
-~----._
License: The right and authority to construct, maintain, and
operate a cable television system through use of the public
streets, public utility easements, other public rights-of-way or
public places in the Town.
Licensee: The person and the lawful successor
assign of said person, granted a license by the Towntransferee, or
Person: Any natural person and all domestic and foreign cor or -
tions, associations, syndicates, partnershi s p a
businesses, trusts, or other legal entities. p d°int van*_ures,
Premium Pro£ramminQ: A service or services delivered to sub-
scribers over the cable system for a fee or charge over and above
the charge for Basic Cable Service.
Property of Licensee: All property owned, installed or used
within the Town by a licensee in the conduct of its cable tele-
vision system business.
Resident: Any person residing in the Town yr as otherwise defined
by applicable law.
Subscriber: Any person lawfully receiving for an
service of the licensee's cable television system, y pure°Se any
Town: The Town of Marana, a Municipal corporation of the State of
Arizona, in its present incorporated form or in any later reorgan-
ized, consolidated, enlarged or reincorporated form.
Town `;anaQer: The Town Manager of the Town of Marana,
Two Way Capability; The technical capacity for the transmission
of telecommunications signals of any type or form from subscriber
locations or other points throughout the system back to the
system's control center or to other points on the system, as well
as transmission of signals from the system's control center or
another point on the system to any and/or all subscriber loca-
tions,
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Iv. LICENSE REQUIREMENT
No person shall construct, install, maintain or operate
a cable system or any cable plant including trunk, feeder or drop
lines within the Town, unless a license has first been granted and
is in full force pursuant to the provisions of this Ordinance.
~. LICENSING PROCEDURE
A • Any person or entity desiring to operate a cable tele-
vision system in the Town shall a l
license- If the Town has not issued aoseparateerequestsfor
proposals to solicit such applications, this Ordinance shall be
deemed to establish the terms and conditions for submitting such
applications, and all applications shall conform hereto.
B- Applications for licenses to construct or operate a cable
television system in the Town of Marana shall be filed with the
Town Manager's office aad shall contain, as a minimum, the
following:
Hess, and telephonen number dof ethe oapplicantl an1pa f place of busi-
entity having an interest of five percent (SZ) or cmo re rinnthe
applicant.
2• A statement setting forth any agreements or under_
standings, whether formal or informal, between the applicant and
any person who has., may have, or proposes to have an
interest with respect to the proposed license or the ownership
cable television operation. proposed
3• A statement describing the cable television system
Proposed to be constructed or operated by the applicant.
4• A statement describing the financial condition of
the applicant and the source of funds which will be used in
construction and operating the cable television system.
S. A description of the previous experience of the
applicant in providing cable television system service and in
related or similar fields.
5. A statement by the applicant agreeing to conform to
all requirements of Ordinance in the event that the a
application for a license is accepted. PPlicant's
C. The Town Manager shall not consider any application that
does not set forth the information required by Section V B
above. The Town Manager, in his sole discretion
may request
a ditional information from the applicant pertinent to the license
application. After receiving all information set forth in Section
V B, above, and any other information requested b
Manager shall forward the application to the Town Council rithThis
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recommendation.
D• In making a determination as to an a
Council may consider the information containedpinithei8n' the Town
pplication,
the background of the applicant and its owners, the proposed cable
television system and construction schedule
responsibility of the applicant, the willingness tend abilityiof
the applicant to abide by the license agreement, and an
y other
considerations deemed pertinent by the Council in the interest of
the Town. The Town Council shall determine the award of
license on the basis of such considerations and wit any
titive bidding, Nothing herein shall be deo hout coTpe_
require the granting of any cable television olicenserord to
approval of any application in any circumstances the
minations to be in the discretion of the Town Council.such deter-
E. After consideration by the Town Council but prior to the
issuance of a license, a public herrin shall b
any application which the Town Councilgproposesetoegrant~Cersuch
hearings shall be conducted in accordance with A.R.S. Sec.
9-507.B.
VI. LICENSE AGREEMENT
A• Upon a decision by the Town Council to grant an a
cation, the Town and the licensee shall enter into a license
agreement, h`o license shall be effective until
agreement is executed, The license agreement shall beh inlacform
acceptable to the Town and to the licensee and shall incorporate,
and the licensee shall expressly agree to accept and be bound by
all terms and provisions of this Ordinance.
B. Any cable television license granted by the Town shall be
nonexclusive. The Town may at any time grant one or more adds-
. tional cable television licenses in accordance with this Ordi-
nance. The Town shall not approve or grant any cable television
license without requiring the licensee to undertake and perform
all of the same duties, obligations, and other requirements as anv
prior licensee including, without limitation, those with respect
to system capability, construction and maintenance, extension of
the system into lower density service areas
channels, fees, deposits, and bonds, and inde~mnityvandoinsuran~eal
C• No license granted hereunder shall be for a period in
excess of twenty years, beginning with the execution of the
License Agreement.
VII. REGULATION OF FACILITIES AND EQUIPMENT
A• Any cable television system pro osed
-w° operated in the town of Marana shall meet they follows g tminimum
requirements:
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1- The bandwidth of the cable television system shall
be not less than 400 megahertz.
2• The cable television system shall have
capability and the ability to provide ewer enc two-way
audio portion of 811 channels during a declaredeemer enc the
disaster. 8 y or
3• All trunk and feeder lines and single drops shall be
placed, either aerially or underground, in the same manner as the
electric and telephone utilit
licensee shall be responsible for obtaining consentmof ache owners
to use poles or an
Town. No licensee y other equipment of utilities servin
shall erect any pole except as ma g the
ably required to fill small y be reason-
sgstems and with the prior approvalnofxthe1TownePlanningland
Zoning Commission.
4• The cable television system shall be installed and
maintained in accordance with accepted er.gineerin
shall conform when a g practices and
tions of PPlicable to the most recent rules or regula-
the Federal Communications Commission and with the
National Electrical Safety Code.
5• The licensee shall promptly and completely repair
anf and all streets, public ways, rights-of-wa
private easements which are disturbed or damageddduring~the
construction, operation, maintenance, or reconstruction
cable television system at licensee's expense and to the osatise
faction of the Town Manager.
5• The licensee shall be solel
obtaining any necessar e y responsible for
cable y p rmission or authorization to install any
line, or other equipment on either
property. Permission or authorization to crossuallcor rspecified
Property of the Town of Marana may be included in the License
Agreement.
~. The licensee shall maintain at all times current
route maps showing trunk and distribution lines as
Copies of such maps shall be furnished to the Town, installed.
B. Any licensee has the right to offer
television service to any resident, residence rooPheride cable
facility within the Town as now established and as ma Person or
at any time hereafter. Each licensee hereunder ehallybeeobligated
to offer to provide cable television service to each resident
within the Town residin
dwelling units g in areas containing not~less than 50
strand Per trench mile (underground construction) or
mile (aerial construction), whether or not
licensee is offerin to any other
area, g provide cable television service in such
A licensee shall be relieved of its obligation to offer
cable television service pursuant to the preceding sentence onl
in areas which become part of the Town as a result of extension
y
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'through annezation or otherrrise;if such area already receives
- cable television service provit~-ed by another, company, For
purposes of this section, offering cable television service shall
include having all equipment necessary to provide cable television
service in place and activated.
C. The licensee shall maintain an office accessible during
normal business hours or have a listed telephone and operate so
that complaints and requests for repairs and adjustments can be
received. The licensee shall maintain a written record listing
the date of customer complaints, identifying the subscriber, and
describing the nature of the co,liplaint, which record shall also
reflect the date and time responsive action is taken by the
licensee. Such record shall be kept at licensee's office and
shall be available for inspection during regular business hours.
The licensee shall notify each subscriber at the time of such
sutscriber's initial subscription service of the procedure
for reporting complaints.
D. The licensee shall render efficient service, make repairs
promptly, and interrupt service only for good cause and for the
shortest time possible. In the event of any question as to
whether the licensee is providing adequate cable television
service to a resident, the licensee shall demonstrate (by elec-
tronic instruments or otherwise) that a signal of adeQuate
- strength and Quality is being delivered to an outlet at the
residence of the subscriber,
E. The licensee shall, in addition to and not in lieu of the
above, comply with any service or technical standards established
by the FCC pursuant to 47 U.S.C. Sec. 554 (e). The licensee shall
conform to 47 U.S.C. Sec. 551, relating to subscriber privacy, and
any regulations promulgated thereunder.
F. The licensee shall make available, at direct cost (time
and material), one service outlet to a conveniently accessible
point in each school, non-profit college, or university, and each
police station, fire station, or other public facility or building
located within the licensee's service area as may be designated by
the Town, The monthly charge for service at such locations shall
be specified in the License Agreement.
G- The Tokn shall not regulate rates or charges for any
services provided by a licensee.
VIII. NEW CONSTRUCTION
A• At each new residential development consisting of more
than three units within the Town in which the de•eloper or
contractor provides a trench for underground utilities, the
licensee shall be allowed to utilize this trench and shall be
provided backfill under the same conditions as are eztended to
other trench users.
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.._ B. The licensee shall be apprised of any subdivision reviews
where locations of cable end utilities are discussed-prior to the
start of residential construction projects.
C. The licensee shall conform to the requirements of
Article 6.3 of Title 40, Arizona Revised Statutes (sometimes
referred to as the "Blue Stake Law"
underground facilities. If a portion tofg a olicenseee s ecable
television system is damaged, notwithstanding the licensee's
compliance with the Blue Stake Law, the licensee shall be excused
from service obligations set forth herein for that portion of the
system until lice,-,see is compensated in accordance with the Blue
Stake Law and such damage is repaired. Repeated or willful
failure to comply with the Blue Stake Law shall be grounds for
revocation of a license granted hereunder.
D• Dwelling units in new developments in which a licensee
requests and is refused access to an open or joint trench or
requests and is refused access to a multiple dwelling unit
building during construction for the purpose of prewiring shall be
ezcluded from the number of dwelling units in an area and their
occupants from the number of residents in an area for the purposes
of Section VII B, above. Refusal of access shall be demonstrated
by the licensee. If construction is completed or if the licensee
fails to request access to open or joint trenches or to the
construction site, such dwelling units shall be considered
dwelling units and their occupants residents for the purposes of
Section VII B, above, and the licensee shall be obligated to offer
to provide service to such residents as provided in Section VII B.
I%. FEES, DEPOSITS, AND BONDS
The following fees are required for each license granted
under the authority of this Ordinance.
A• Application Fee: Each application for a license to be granted
under the authority of this Ordinance shall be accompanied by a
non-refundable filing fee in the amount of $1,000 payable to the
Town of Marana.
B- License Fee: The licensee shall pay to the Town an amount
equal to ~~ of licensee's Gross Revenues from Cable Service. This
payment shall be computed quarterly, for the precedin
of March 31, June 30, September 30, and December 31 ofgeacheyears
Each quarterly payment shall be due and payable no later than 30
days after the relevant computation date. Each payment shall be
accompanied by a financial report showing in detail the Gross
Revenues from Cable Service of the licensee related to that
quarter.
C• Performance Bond: Within 30 days after the ezecution of the
License Agreement, the licensee shall file with the Town a
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performance bond for the benefit of the Town in the amount of
5100,000. In the event that licensee fails to comply with an
provision of thin Ordinance or the License Agreement, then there
shall be recoverable jointly and severally from the principal and
surety any and all damages or costs suffered b
damages or costs shall include but not be IimitedhtoToattorneyss
fees, and cost of any action or proceeding including the full
amount of any compensation indemnification, cost of removal or
abandonment of any property or other costs due and owing the
Town up to the full amount of such bond.
~i) The Bond shall be maintained ~n full as a
continuing obligation during the entire term
of the License Agreement,
~2) The Bond shall be issued by a surety company
authorized to do business in the State of
Arizona and shall be in a form approved by the
Town.
g- TERMINATION - REVOCATION
A, Termination: The License shall terminate upon the expiration
of its term unless renewed prior to the expiration date.
B, Revocation: Sufficient cause for revocation shall exist when
the licensee:
~l) Fails to comply with any provision of this
Ordinance or the License Agreement.
~2) Makes willful false or misleading statements
in any application.
(3) Engages in the practice of any fraud or deceit
upon the Town or subscribers.
(4) Fails to abide by the Privacy provision of
this Ordinance.
~S) Fails to make timely payment of say monies due
the Town pursuant to this Ordinance.
~6) Fails to commence construction in all required
service areas described in Section VII B
within 6 months or fails to commence basic
service in such required service areas within
Z8 months from the effective date of the
License Agreement or from the time when the
area first meets the requirements in Section
VII B, whichever occurs later.
C• Appeal of Revocation: The Town shall deliver to the licensee
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written notice of intent to revoke Betting forth the causes for
revocation. A Public Hearing on this revocation shall be held by
the Town Council no less than 30 days after issuance of said
notice.
D. System Disposal: In the event of termination or revocation of
a license, the licensee involved shall offer to sell the
system, at the fair market value, to a new licensee or a cable
for a license. The fair market value shall be determinedain
accordance with generally accepted appraisal rocedures.
original cost of all tangible and intano P The
salvage value, book value, replacement ~a bt e Property, as well as
factors will be considered. ~ cas=~ flow, and otI-,er
valuation be made for any right ordprlvilecercr nted b s shall any
g g y license.
Should the licensee fail to negotiate a sale, as described
above, the Town nay purchase the system at the fair market value
for the purpose of leasing to a qualified operator until a buyer
can be found.
E. Continuity of Service: The licensee shall provide continuous
service for the entire term of the license agreement to all
subscribers and users in return for payment of the established
rates, fees, and charges. If the licensee seeks to sell or
transfer, or if the Town revokes or fails to renew the license,
the Iicensee shall continue to operate the system as trustee for
its successor in interest until an orderly and lawful change of
operation is effected. This period of operation shall not exceed
b months from the occurrence of any of the above events.
%I. CHANGE OF CONTROL
A licensee shall not sell, transfer, assign, exchange or
release, or permit the sale, transfer, assignment, exchan a or
release of more than 5x of the cumulative ownership of the System
without prior written authorization from the Town. The sale of
less than fifty one percent of the stock of a licensee shall not
be deemed a transfer or assignment, Nothing in this section shall
be deemed to prohibit a pledge or hypothecation or mortgage or
similar instrument transferring conditional ownership of the
system's assets to a lender or creditor in the ordinary course of
business, unless such interests shall exceed 75~ of the original
cost or the fair market value whichever is higher.
%II. INDEMNITY - INSURANCE
Each licensee shall, at its sole cost and expense, indemnify,
hold harmless, and defend the Town, its officials
commissions, agents, and employees, by providing immediate defense
against any and all claims, suits, causes of action
and judgments for damages arisin ~ Proceedings
tenance, or operation of the cable system, of construction, main-
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-- Each licensee, within 60 days after ezecuting
Agreement, shall provide the Town with and maintain in
throughout the term of the License Agreement, insurance
a company duly authorized to do business in the State o
insuring with respect to the installation, construction,
and maintenance of the system as follows:
a) Liability, comprehensive general and auto-
mobile liability coverage including, but not
limited to blanket contractual liability,
completed operations liability, broad form
property damage including but not limited to
coverage for explosion, collapse, and under-
ground hazard, and automobile non-ownership
liability. This insurance shall be written in
the following minimum amounts.
- for bodily injury, including death:
SS00,000 combined single Limit.
- property damage: X500,000 combined single
limit.
- comprehensive automobile liability: bodily
injury ~500~pQ0 combined single limit.
- ezcess umbrella liability in the minimum
amount of X1,000,000.
b) Workmen's Compensation coverage as required by
the Laws and regulations of the State of
Arizona.
c) All insurance policies required herein shall
include the Town of Marana as a named insured
party.
d) Licensee shall be solely responsible for all
premiums due and payable for insurance
required herein. .
e) All insurance policies required herein shall
be in a form approved by the To~:n and shall
include a 60 day notice of cancellation
endorsement-
IIII. ADMINISTRATION
a License
full force
issued by
f Arizona,
operation
A• Inspection of Rom
term of the License Agreementhandoduringenormalhbusinessduring the
upon the giving of reasonable notice to examine hours and
obtain copies of licensee`s contracts, engineerinaudit, review and
8 Plans, account-
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ing, financial data, and service records relating to the property
and operations of the licensee and to all other records required
to be kept pursuant to this Ordinance.
B• Licensee Rules and Re ulations: Copies of such rules,
regulations, terms and conditions adopted by each licensee for the
conduct of its business shall be filed with the Town.
ZIV. GENERAL PROVISIONS
A. Non-Discrimination: Licensees shall not deny service,
access, or otherwise discriminate against subscribers, users, or
residents of the Town. A licensee shall comply at all times with
all applicable Federal, State, and Town laws, rules and regu-
lations, executive and administrative orders relating to non-dis-
crimination and equal employment opportunities requirements.
B. Laws and Codes: Each licensee shall comply fully with all
applicable local, county, state, and Federal laws, codes, rules
and regulations.
C. Severability: If any provision, sectioa, ara ra h
clause or phrase of this Ordinance is for any reason held tto cbe
invalid or unconstitutional, such invalidity or unconstitu-
tionality shall not affect the validity of the remaining portions
of this Ordinance. It is the intent of the Town, in adopting this
Ordinance, that no portion or provision shall become inoperative
or fail by reason of any invalidity or unconstitutionality of any
other portion or provision, and to this end all provisions of this
Ordinance are declared to be severable.
D. Cumulative Rights and Remedies: All rights and remedies of
the Town in this Ordinance are cumulative and map be exercised
singly or cumulatively at the discretion of the Tokn.
BE IT FURTHER RESOLVED BY THE TOWN COUNCIL OF THE TOWN OF
MARANA THAT THE EFFECTIVE DATE OF THIS ORDINANCE SHALL BE
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TOkN COUNCIL OF THE TOWN OF MARANA
By :_
IZ