HomeMy WebLinkAbout1981-04-13 81-141 ORDER81-141
Introduced by Councilor'Sancy, April 13, 1981':,
CITYOFBANGOR
(TITLE.) (Orhr A thokin ingExetution of French; g Agreement
By fin Cies Coarwit of the Cltp ofBaagur
ORDERED,
THAT the City Manager 1s hereby authorized and directed, on behalf
of the City of Bangor, to execute a new franchise agreement, a copy of
which is on file in the office of the City Clerk, grantiag to Coastal
Cable Corp. the nonexclusive right tp provide cable television services
within the boundaries of the City of Bangor.
Iu aty Coamen April 13.18n
Consider next, meeti%
City &erk ��—
rn City Council April 28,1981
Vote to move the question Failed
5 Yee 4 No Merdority of 6
Needed VotW Yes Gees,NC iernan
Weymouth, Wood Zendsian Voting no
Baldacci,Brwntas, Porter:®gC�.;
Vote to move the question Ties Me
voting yes Bioaetas,Caee�Ma Karmen,
3w4s1leymwth,Wood, Zendz ian
Voting We Baldaaci,Portar
Notion Passed
Vete to amend by substitution of
contract 6 Yes 3 No Pette yes
Brountas,Gass,Mc geronn,Porter,
Scury,Weymcmth Voting no Saldaoai,
Wood, Zendzian
Metion to amend Passed
o- iq R
Title, •91 APR -9
Authorising Amwtion oP Vrenchise .
.......... fil_..
Oe
Agreement with Coastal Cable Corp. CICitYC
Introduced and
/�i1/ted
Vote for passage as amended
6 yes 3 no Voting yes Broumtas,
Gees, Mc Rerun, Porter, Soucy
Weymouth .Voting No Baldacci,
Woml, Zemdsiam
Crier passed as amended
/U� ,u
ty Clerk
tZ
C A T V FRANCHISE
A FRANCHISE OF THE CITY OF BANGOR, MAINE, GRANTING TO
COASTAL CABLE CORP., ITS SUCCESSORS AND ASSIGNS, THE
FRANCHISE RIGHT, PRIVILEGE AND EXCLUSIVE AUTHORITY TO
CONSTRUCT, ERECT, OPERATE AND MAINTAIN IN, ALONG, UPON,
ACROSS, ABOVE, OVER AND UNDER THE STREETS, ALLEYS,
PUBLIC WAYS AND PUBLIC PLACES, AND ALL EXTENSIONS
THEREOF, AND ADDITIONS THERETO, IN THE CITY OF BANGOR,
MAINE, POLES, WIRES, CABLES, UNDERGROUND CONDUITS,
MANHOLES, CONDUCTORS, AND FIXTURES NECESSARY FOR THE
MAINTENANCE AND OPERATION OF A COMMUNITY ANTENNA
TELEVISION SYSTEM IN THE CITY OF BANGOR, MAINE, AND -
SETTING THE TERM AND CONDITIONS OF THE FRANCHISE.
WHEREAS, Coastal Cable Corp. ("Coastal") is currently
the holder of a franchise from the City of Bangor for the opera-
tion of a Community Antenna Television ("CATV") System which
franchise expires on April 26, 1981; and
WHEREAS, Adams -Russell CO., Inc. ("A -A") has acquired
all of the outstanding stock Of Coastal; and
WHEREAS, the City of BanSor is willing to terminate
the present franchiseandgrant a new franchise (the Franchise)
upon the terms and conditions hereinafter set forth:
NOW, THEREFORE, the City of Bangor, Maine, grants to
Coastal, its successors, heirs and assigns an extension of the
anchise to construct, own and operate a CATV system pursuant
to the following revised terms and conditions:
Section 1. Short Title
g� This Franchise shall be known as may be cited as
"Bangor CATV Franchise".
Section 2. Definitions
For the purpose of this Franchise the follow-
ing terms, phrases, words, abbreviations and their derivations
shall have the meaning given herein. when not inconsistent
with the context, words used in the present tense include
the future; words in the plural include the singular; and
vice versa. The word "shall" is always mandatory and not
merely directory. - -
(a) City shall mean the City of Bangor,
Maine, organized and existing under the laws of the State of
Maine.
(b) "CATV" shall mean community antenna
television.
(c) -Community antenna television system (or
CATV system)" shall mean any facility that, in whole or in
part, receives directly, or indirectly over the air, and amplifies
or otherwise modifies the signals transmitting programs broadcast
by one or more television or radio stations and distributes
such signals by wire or cable to subscribing members of the
public who pay for such service, but such term shall not include
'(1) any such facility that serves fewer than 50 subscribers, or
(2) any such facility that serves only the residents of one or
more apartment dwellings under common ownership, control, or manage-
ment, and commercial establishments located on the premises of
uch apartment dwellings.
(d) "City Council" is the City Council of the
City of Bangor, Maine and "City. Manager" is the City Manager of
the City of Bangor, Maine.
(e) "Grantor" is the City of Bangor, Maine.
(f) "Grantee" is coastal Cable Corp. a corporation
organized and existing under the laws of the State of Maine and
having a principal place of business in Bangor, Maine, its
'successors or assigns.
(g) "FCC" is the Federal Communications Com-
mission.
(h) "Person" shall mean any person, firm, partner-
pship, association, corporation, company or other organization of
any kind. - -
(i) "Subscriber" shall mean any "person" so
described in subsection (h) who purchases or receives service
from the Grantee. .
(]) "Franchise" shall mean the authorization
granted hereunder relating to the right, privilege and exclusive --
authority to construct, erect, operate and maintain, in, upon,
along, across, above, o and under the streets, alleys, public
ways, utility easements,,enonow laid out or dedicated, and all exten-
sions thereof, and additions thereto, in the City, asy stem of poles,
wires, cables, optical fibres, underground Conduits, manholes and
other conductors and fixtures necessary to maintain and
F•�
operate a
CATV system.
(k) "CPP' shall
mean the Consumer price
Index
published
by the Bureau of
Labor Statistics of the
U. S.
Department of Labor.
Section 3. Grant of Exclusive CATV Franchise
(a) There is hereby granted by Grantor to
Grantee the exclusive Franchise, right, privilege, authority;
easement and license to construct, reconstruct, replace,
remove, repair, erect, suspend, install, renew, maintain and
operate throughout the entire City in, upon, along, across,
above, over and under the streets, avenues, highways,
sidewalks, alleys, easements, public ways, public utility
easements and all extensions thereof, and additionsthereto,
a system of poles, wires, cables, underground conduits,
ducts, trenches, conductors, amplifying equipment, manhole
fittings and -any and all other fixtures, appliances and
appurtenances necessary for the installation, maintenance
and operation in the City of a CATV system. This Franchise
shall further include the Franchise, right, privilege, and
authority to construct, erect, suspend, install; lay, renew,
repair, maintain and operate such poles, wires, cables,
underground conduits, manholes, ducts, trenches, fixtures, .
appliances, and appurtenances for the purpose of distribution
to inhabitants both within and beyond the limits of the
City. without limiting the generality of the foregoing, .
this exclusive Franchise shall and does hereby include the
right to erect, install, construct, reconstruct, replace,
Oremove, repair, maintain and operate in or upon, under, .
across, and from the streets, avenues, highways, sidewalks,
bridges and other public ways, rights of way and land as now
existing and all extensions thereof and additions thereto in
the City, all equipment, poles facilities, appurtenances and
apparatus of any nature for the purpose of receiving, amplifying,
transmitting and distributing by studio, camera, projector,
recorder, antenna, transmitter, microwave, wires, cables,
co -axial cables, wave guides, and optical cables, any and all
television, radio, electrical and electronic energy, pictures,
sound, signals, impulses and communications onf-directional
and multi -directional of every nature and description, audio
and video, embracing any and all frequencies of the electro-
magnetic and optical spectrum, and to otherwise engage in ,
the business, service and activities familiarly known as, '
- and practiced, now and in the future, by cable television
systems in accordance with the laws of the United States of
America, the State of Maine and of the City. This grant
shall be subject to the rights of the public in the public
rights of way and shall also be subject to existing easement
and rights of abutting owners to the public right of way.
(b) This Franchise is for the corporate
limits of the city and for any areas henceforth added
thereto during the term of this Franchise, which hereinafter
shall be known as the Franchise Area.
(c) As payment for the Franchise hereby
granted, the Grantee shall pay to the Grantor an annual fee
for each active subscriber listed on the books of the Grantee
on the last day of December of each year. For the first five -
years of the Franchise the annual fee shall be $0.50 per sub-
scriber, for the second five years it shall be $0.15 per sub-
scriber; the fee shall be $1.00 per subscriber if the option is re-
newed pursuant to Section 9 hereinbelow. Payment of the fee shall
be made to the Grantor prior to the following March 15. The
franchise fee shall be included in the base rates contemplated in
Section 9 hereof and shall not be separately stated on customer
bills.
G¢CilOn d. Effective Date, Term, and Renewal Option
(a) This Franchise shall take effect and be
i
in full force from and after the final execution of this
Franchise pursuant to authority of the City Council, and the
Franchise shall continue in full force and effect for ten (10)
years after date of final execution.
(b) At the request of Grantee, made not less
than nine (9) months prior to the expiration of the original
term of ten (10) years, the Grantor shall extend this Franchise
for an additional five (5) year period unless a determination
has been made by the City Council that the performance of the
_Grantee during the initial term has been unsatisfactory. Unsatis-
-I -
factory performance shall be defined as continuous failure over
a six months period to meet FCC technical specifications.in
a third or more of the system, and/or as consistent failure over
a significant period to respond to trouble calls and/or service
complaints within the time limits specified in the Franchise.
Section 5. Compliance with Applicable Law and
Police Powers
(a) The work done in connection with the -
construction, service or repair of Grantee's CATV system
shall be subject to and governed by all laws, rules and
Qregulations of the City now in force or hereafter passed and
adopted. In addition, the construction, maintenance and
operation of Grantee's CATV system and all property of .
Grantee subject to this Franchise shall be subject to all
police powers and regulations of Grantor. Grantor shall
have the power at any time to order and require Grantee to
_remove and abate any facility or condition that is dangerous
to life or property.
(b) Grantor shall have the right to adopt,
in addition to the provisions contained in this Franchise
and existing applicable ordinances, such local laws or
regulations as it shall find necessary from time to time in
the exercise of its police power.
Section 6. Indemnification and insurance
(a) Grantee shall indemnify and save Grantor
harmless from all losses sustained by the Grantor on account
of any suit, judgment, execution, claim, damage or demand
whatsoever occasioned by or arising out of the operation or
maintenance of Grantee's CATV system in the City. Grantor
shall notify Grantee within thirty (30) days after the
presentation of any claim or demand, either by suitor
otherwise, made against the. Grantor on account of any
negligence or other claim or liability occasioned by or
arising out of the operation or maintenance of Grantee's
CATV system in the City.
(b) Grantee shall pay, and by its acceptance
of this Franchise specifically agrees that it will pay, all
expenses incurred by the"City -'to defend itself in regard to
all damages, claims, suits, and penalties occasioned or
arising out of the maintenance on or operation of the CATV
system. These expenses shall include reasonable attorney's
fees and other expenses in defending any such claims, suits,
damages, or penalties.
(c) Grantee shall carry liability insurance
covering property damage from an insurance company or
companies qualified to do business in the State of Maine for
liability due to damage to property in an amount not less
than Three hundred Thousand Dollars ($300,000) for any cps
-9-
accident and covering liability due to injury or death of
persons in an amount not less than Five Hundred Thousand
Dollars ($SOO,000) as to any one person and One million
Dollars ($1,00,000) for any one accident. A certificate
evidencing theforegoinginsurance coverage shall be delivered
.by Grantee to the City manager within sixty (60) days after
effective date of this Franchise.
Section ]. Conditions of street occupancy
(a) Any work which requires disturbance of
the surface of any street and which will interfere with
traffic shall not be undertaken without the Grantee's first
obtaining a street opening permit.
(b) Grantee shall have the right to attach - -
its wires to existing poles owned by Grantor or any agency -
of Grantor without payment of annual rental fees, provided
Grantee shall pay in advance for all costs Of rearrangement
Of existing wires necessary to .achieve clearances as specified
by the National Electrical Safety Code,, and provided further
that all such poles are identified and inspected by the City
Engineer prior to any attachments. -
(c) All structures, lines, and equipment
erected by Grantee within the City shall be so located as to
cause no interference with the proper use of streets, alleys,
existing easements, and other public ways and places, and to
cause no interference with the rights or reasonable convenience
of property Owners who abut any of the said streets, alleys,
or other public ways and places. Existing poles, posts, and
0
-1g-
other such structures of the electric power company or any
telephone company or any other public utility which may be
available to the Grantee shall be used to the extent practicable.
(d) Grantee shall have the right, and
authority, to remove, trim, cut, and keep clear trees and
bushes upon and overhanging all streets, alleys, easements, -
public utility easements, sidewalks, and public places in
the City so as to keep the same clear of its poles, wares
cables, conduits, and fixtures. -
(e) In the case of any disturbance of pavement,
sidewalk,driveway, or other surfacing, Grantee shall, at
its own cost and expense, in a. manner approved by the appropriate
city official, replace and restore all paving, sidewalk,
driveway, or surfacing so disturbed in as good condition as
before said, work commenced, but in any event, so that the
restored surface shall be safe for the general public.
(f) if at any time during the term of this
Franchise Grantor shall lawfully elect to alter or change
any street, alley, easement, or other public way requiring
the relocation of the facilities of Grantee, then_in such
vent, Grantee, at its expense, upon at least forty-five (45)
days written notice by the Grantor, shall, to the extent
necessary tq accomodate the change, remove, relay and relocate'
its facilities.
(g)_ Grantee'shall, upon the request of any
person wisbing to move a building or other similar large
object, temporardliy raise or lower its wires to permit such -
moving. The expense of such temporary removal or raising or
lcpering of wires shall be paid by the Person requesting the
aa%@a end the Grantee shall be given not less than five (5)
working days advance notice to arrange for such temporary
wire changes. Grantee shall have the right to demand a
deposit by certified check equal to the estimated cost of
such temporary rearrangement of its plant and facilities at
least two (2) full working days prior to temporary wire
changes. Upon completion of the move, Grantee shall present
a final bill to the person moving the house or object.
(h) Grantee shall be responsible for the
proper and safe installation of all equipment and facilities
and for the maintenance and inspection thereof.
Section B. Operation, Service, and Maintenance
of System
(a) Grantee shall maintain and operate the
CATV system and render efficient service to subscribers
during the term of this Franchise. The construction,
maintenance, and operation of Grantee's CATV system shall be
in conformance with the National Electrical Code, the
National Electrical Safety Code, and the rules and regulations
of the FCC and the State of Maine as the same exist or as
the same may be hereafter amended, or adopted, and in accordance
with the requirements of the Grantor.
(b) All structures erected by Grantee and
all lines, equipment, and connections in, over, under, and -
upon streets, sidewalks, alleys, and public ways and places
of Grantor, wherever situated or located, shall be kept and
Cmaintained at all times in safe condition and in good order
and repair by the Grantee.
(c) The signal of any television or radio
station carried on Grantee's CATV system shall be carried
without material degradation in quality within the limits
imposed by the nature of the technical equipment used.in.
Grantee's CATV system, and as set forth by the PCC. Grantee's
CATV system shall be operated so that there will be no
interference with television reception, radio reception,
telephone communications, or other installations which'are
now installed and in use by the Grantor or anyPersonin the
City.
(d) Grantee shall maintain an office in the
City with one or more agents o, employees and shall have
sufficient employees to provide safe, adequate, and proper
service for its facilities. Upon reasonable notice, Grantee
shall expeditiously investigate and resolve complaints
regarding the quality of service, equipment malfunctions,
and other matters.. Grantee's_ office shall be open to the
public from at least 9:30 AM to 9:00 PM Monday through
Friday, legal holidays excepted, and Grantee shall have a
listed local telephone number operated so that complaints
and requests for repairs or adjustments may be received
twenty-four hours a day, seven days a week. All customer -
complaints must be handled promptly and in no case shall go
IQ unanswered or uninvestigated for more than three (3) business
days. Upon installation, Grantee shall provide written
notice to each subscriber of the procedure for reporting and
resolving subscriber complaints.
(e) Grantee's CATV system will be extended
to serve additional areas, where the average dwelling density
of the extension is seventy-five (75) dwelling units per
mile or thirty-five (35) subscribers per mile who sign two-
year irrevocable service agreements. In any event, if a
group of residents who would be served by an extension whose -
density is less than seventy-five ,(75)'homes per mile or
less than thirty-five (35) subscribers per mile desire
service and present a request for service to Grantee,
Grantee will prepare a cost estimate of the extension and
divide the cost by the nominal density of thirty-five (35)
subscribers per mile to establish the nominal unit extension
cost. it will then divide the same cost estimate by the
-
density per mile of those _requesting service to establish
the actual unit extension cost. The difference between the
actual 'unitextension costs and the nominal extension costs
shall become a special installation fee. Grantee shall
construct such extension if persons residing in fifty (50)
percent of homes passed agree to pay such special installation
fee and sign_irrevocable service agreements for a two-year
period. Grantee shall construct such extension within
twelve (12) months provided inclement weather does not delay
construction. In the event Grantee constructs such an
extension when subscribers pay a special installation fee `
calculated as outlined in this subsection, Grantee shall
Maintain separate records on each such extension for a
period of three (3) years after its completion. During such
three year period, as additional subscribers covered by any
such extension request cable services, they shall pay a
special installation fee equal to one-half (1/2) the original
special installation fee charged to the original subscribers.
The amount so received by Grantee shall be returned to the
original subscribers to such extension until said original
subscribers received an accumulative amount equal to one-
half (1/2) their original special installation fee. The
refund to original subscribersmaybe made in the form of a
credit against tbeir normal service charges at the option of
Grantee.
(f)' Grantee shall provide, without charge,
along its cable routes, a single outlet to each public and
private educational institution, police and fire station,
and public library passed by cable and located within the
City upon request of Grantor. upon request by Grantor in
writing, Grantee shall also provide additional outlets in
the public buildings designated above, but may charge for
the cost of labor, materials, and overhead for installation
of those outlets. monthly service for all such public
connections shall be free.
Section 9. Rates - Discrimination Prohibited
(a) Grantee shallnotmake or grant preference
or advantage to any person, nor subject any person to prejudice
or disadvantage as to rates, charges, services, facilities,
rules, regulations, or in any other respect: provided,
however, this shall not be, deemed to prohibit the establishment
of a graduatel. scale of charges and classified rate schedules
for residential and. commercial services to which any customer
coming within such classification shall be entitled, nor
shall it preclude reduced rates to senior citizens.
The initial rates charged by Grantee shall
be as follows:
(b) RESIDENTIAL RATES -
1. Installation and Disconnection CbargeS
Installation of First Outlet: $25.00, maximum (TV or FM)
Installation of Extra Outlets: $7.50 each, maximum (TV or FM)
Relocation of Existing Outlets: $7.50 each
Transfer of Account to
New Residence:
Reconnection Charge:
Disconnect charge:
Service Calls:
$ 1.00 for each outlet
$15.00
Free
Free
NOTE: Installation fees apply to normal installation, i.e.
where structures are located no more than 150 feet
from the cable. -
2. Monthly Residential Service Charges.._
Basic Charge for First Outlet: $6.50 per month (TV or FM)
Charge for Each Extra Outlet: $1.50 per month (TV or FM)
-16 -
NOTE 1: The rate for each TV outlet, whether a first outlet
or an extra outlet, does not include the use of a
converter. A"$15:00 -deposit per"banvetder"will be '
.required for converters, regardless of the number
of converters installed, if converters are ever used.
NOTE 2:. Residential rates apply to each residential housing
unit, whether in single-family or multi -family houses,
or in apartment buildings. If a landlord of an
apartment with four or more residential dwelling - -
units purchases service for his building and accepts '-
a single billing for all units. he shall be entitled
to a 25 percent discount calculated on the total sum
of all individual "net service charges for each apartment
unit in the building in consideration of the savings
-derived from single bill ing,-provided he pays his
bill within twenty (20) days of its due date. He shall
be liable for :the total amount of the sum ofall
individual gross service charges in the event his bill is
paid after the twentieth day. Installation in
such building shall becharged on the basis of cost
of material, cost of labor used, plus an
overhead factor equal to 50 percent of the cost of
tabor and materials. This discount does not apply
to premium TV charges.
L
NOTE 3: A residential dwelling unit is defined as private
quarters that include a sleeping area and a kitchen.
NOTE 4: In the event that additional channels are added that
require a converter for reception of those channels:
set-top converters shall be furnished free of rental
to schools and other public buildings that receive
free service up to a total Of twenty-five (25) ,
converters in the entire city. The City shall have
the option of purchasing converters in excess of�
25 for Grantee at Grantee's cost or paying standard
Monthly xent'alcharges for converters in excess
of 25. The Grantee may charge for the loss
or damage from abuse Of these converters, but will
not make a charge for repairs occasioned by normal
.... vear..and tear.
(c) CWPoERCIAL RATES
1. Installation Charges"
First outlet: $25.00
Extra Outlets up to four (4): $7.50 each
The charges for the installation of more than four (4)
outlets will be the cost oflabor and materials used plus
g.aa.head-factor equal to 50 percent of the cost of labor and
materials.
2. Monthly Service
First Outlet: $ E.50 per month
All Extra Outlets used for TV:' $ 3.50 per month
18 -
All Extra Outlets used for FM: $1.50 per month
Grantee may offer uniform Quantity discounts from
these rates.
3. Converter rental rates will be the same as residential
converter rentals. Commercial rates will apply to all -
commercial establishments which display television sets
as either a part of their business or as an accommodation to
their customers. Such establishments shall in] code hotels,
motels, stores, restaurants, nursing homes, clubs, bowling
alleys, and other commercial establishments. Ifconverters
are installed, Grantee may charge a $15.00 deposit for each -
converter installed.
SPECIAL NOTE: If a Nursing Home or similar facility provides
units for its residents that include kitchen, such
units will be treated as apartments. If such
facilities do not provide individual kitchen
facilities, they will be treated as motels.
(d) DESIGNATED MUNICIPAL BUILDINGS
Installation First Outlet: Free
Extra Outlets: At cost of labor, materials,
-' Plus overhead factor equal
to 50 percent of cost of the
labor and materials
Monthly Service: -.Free
(e) SPECIAL CHARGES FOR UNDERGROUND SERVICE
Commercial and Residential Actual Cost
Installation of Extra Will be charged as outlined
Outlets: above for commercial or
residential units.
of Grantee.. _
(g) DISCONNECTION FOR NON-PAYMENT
Grantee shall have the right to disconnect subscribers
who are delinquent in excess of thirty (30) days,
Monthly Service Charges for underground service when
distribution cables are placed under street or
easement will be 150 percent of charges for aerial
service. This premium shall not apply when developer
provides the trenching costs. The monthly premium will
not be charged if developer puts in cable at his
cost to Grantee specifications._ ..
NOTE:
The installation rate for first outlet applies when
residential or commercialbuildingis set back no more
than 75 feet from street and where area between the
cable and the structure is lawn, or equivalent. if
the setback distance exceeds 75 feet, or if sidewalk
or paved area must be opened to bury cable, the -
charge will be calculated on cost of labor, material,
-
end rental of machinery, including a 50 percent
overhead factor on all elements of cost provided
Grantee performs the work.
(f). REBATE
Subscribers may apply for and receive a pro -rata
rebate for any interruption of service exceeding
twenty-fqur (24) hours, providing such interruption
is due solely to circumstances within the control
of Grantee.. _
(g) DISCONNECTION FOR NON-PAYMENT
Grantee shall have the right to disconnect subscribers
who are delinquent in excess of thirty (30) days,
F.-
_pB_
provided that Grantee gives the delinquent subscriber
at least three (3) days written notice of impending
disconnection for non-payment.
(h) SPECIAL RATES FOR CHARITABLE INSTITUTIONS
Grantee small provide CATV service to charitable -
institutions that serve the public on a non-profit
basis at reduced rates. Such non-profit institutions
as orphanages, non-profit hospitals, and non-
profit nursing homes, shall be served at one-half
the normal basic service charge. The exception to
this provision is any institution that either
rents televisions as a profit malting enterprise or
which has franchised a person or company to rent
televisions for profit. Installation of CATV
service in such institutions shall be done at cost
of 'labor, materials, and overhead.
(i) SPECIAL NOTES WITH RESPECT TO PAY TV CHARGES
NOTE 1: Pay TV service will only be available to residential
subscribers. Pay TV cannot be provided to clubs,
lounges, bars, taverns, restaurants, or other commercial
establi::hments.
ROTC 3: Pay TV can be delivered only to residential subscribers
who a._so take basic cable television service.
_21 -
NOTE: 4 A parental control key will be offered to pay TV
subscribers. It will be installed free i.f requested
at time of initial installation, and will be installed
at a charge of $10.00 on a call back. A $10.00 deposit
will be required for each key device, but will be
refunded when the device is removed from the
subscriber's premises.
(3) COLLECTION COSTS
Grantee shall have the right to make a charge to _
cover the collection. of delinquent accounts. This charge shall
fall into two 'class5fi-cations' --- -
1. "Grantee may charge a fee of fifty cents to
customers on monthly billing or a fee of one dollar..
to customers on bi-monthly .billing who do not pay
their bill within twenty (20) days of the
start of the billing period. Grantee may include
this charge as part of a gross amount due on
all bills with a statement that only the net
amount of the bill is due if the payment is
received by Grantee on or before the twentieth
(20th) day of the billing period. _
2. Grantee may make a collection charge not to
- exceed the reconnection fee if it is necessary
to send an employee to subscriber's premises to
collect amounts overdue for forty-five (45) or
more days.
IC
(k) FEDERAL Copy RIGH7�FEE
Any copyright fee due to the United States Government
pursuant to 17 U.S.C.A. Bill (d), any amendment thereto or any
successor provision shall'be passed through to the customers of
the Grantee by means of a separately stated charge on customer
bills and shall not be included as a part of the base charges
contemplated in this Section 9. A schedule showing the
copyright fee as from time to time calculated shall be filed
by the Grantee with the City Manager.
- (1) CHANGES IN RATES
The rates, or one or more of them, provided for in
Subsections (b), (c), (d), (e), (h) and (j) of this Section 9
_may he changed at the option of the Grantee. Changes may be
made no more often than once in each rate year, which for the
purposes hereof shall be defined as the twelve calendarlmonths
following each April 1. Without the consent of the Grantor,. _
no category of rate provided for in the aforesaid subsections
of this Section 9 shall be established which represents a per-
-centage increase over the original rate so provided which is
greater than one half_ theercentage increase_ in the most
recently available LPI, over the CPI on the date of the
Previous rate increase.
-
In making a change in a rate or rates, the Grantee
shall file with the City Manager a schedule setting forth the
original rates set forth in this agreement, the proposed rates,
a comparison which shows the percentage increase of each of
the proposed rates oveE the original rates, the most recently
available CPI and the date thereof, and the percentage
-23 -
change in the CPI since the date of the last increase. Unless
a percentage increase is sought which exceeds one.half the
percentage increase in the CPI. The proposed. schedule of rates
shall become effective at the expiration of thirty (30) days after
filing with the City Manager, unless the City Council notifies
She Grantee in writing that the proposed increases, or any of
them, will be reviewed. Within fifteen days following such
notification, if the Grantee and the City Council (or a committee
thereof) have not reached agreement with respect to the proposed
increases, then the City Council shall hold a public hearing for
the purpose of determining the reasonableness of the proposed
increase or increases and shall issue its final order with
respect to the proposed rates not later than (90) days _-
after that date on which the schedule ofproposed rates was
Q filed with the City Manager. Approval of such proposed rate
increases shall not be unreasonably withheld if the grantee
demonstrates that such an increase is necessary for it to earn
a reasonable return on its investment. Said order shall be subject
to appeal to the Penobscot County Superior Court and shall be
governed by the provisions of Rule BOB of the Maine Rules of
Civil Procedure. '
Section 10. Grantee's Rules
Grantee shall have the authority to promulgate
such rules, regulations, terms, and conditions governing the
conduct of its business as shall be reasonably necessary to
enable Grantee to exercise its rights and perfrom its obligations
under this Franchise and to insure an uninterrupted service to
® each and all of the subscribers to its CATV system.
Section 11. Reports and Information -'
(a) Grantee shall furnish to the City Manager
one (1) copy of any and all petitions and applications
submitted by Grantee to FCC, or any other State or Federal
Regulatory Agency, commission, or agency having jurisdiction
V and in respect to any matters affecting CATV operations
pursuant to this Franchise. -
(b) The City Manager is the official who shall
be responsible for administration of the Franchise.
(c) Grantee shall furnish annually to the City'
Council on or before May 1, a. general written review of its
CATV operations for the year past, outlining the progress of
the system, the count of subscribers, the number of homes
passed, miles of system, the effect of new regulatory actions
on the system, and information to keep .the City Council
reasonably familiar with Grantee's overall business, together
with a copy of its financial statements included in the annual
audited financial statements of its parent corporation.
(d) _ Grantee shall keep complete and accurate
records of subscribers in its local office together with
records on service calls and trouble calls which shall be
made available on twenty-four (24)hour notice for inspection
by a designated representative of the City Manager at
Grantee's office.
Section 12. Abandonment of Service
Grantee is expressly, prohibited from abandoning
any portion of the system constructed under this Franchise
or any portion thereof without the written consent of the
City Council. In the event Grantee makes a showing of financial
loss without any reasonable expectation of terminating such .
losses, such written consent shall not be unreasonably withheld.
Section 13. Assignment
(a) without the prior approval of the City Council,
�y which approval shall not be unreasonably withheld, Grantee shall
not transfer, sell or assign control or ownership of the Franchise
n r sell substantially all of the assets of its CATV system
which would have the effect of transferring control of the system,
and A -R, the owner of the capital stock of the 'Grantee, shall not
sell or assign a majority of such stock.
(b) Grantee shall have the right to pledge
this Franchise as security for financing but all details of
such arrangement must be filed with the City Manager.
Section 14. construction
This Franchise shallbeconstrued and enforced
in accordance with the laws of the State of Maine.
Section 15. Equal Employment Opportunity
Grantee shall not refuse to hire or employ
nor discharge or bar from employment nor discriminate
against any person in compensation or in terms, conditions,
and privileges of employment because of age, race, creed,
color, national origin; or sex.
Section 16.
Except as otherwise provided herein, any j
inquiry, proceeding, investigation, or other action to be
taken or proposed to be taken by the City Council in regard
to the operations of Grantee's CATV system, shall be taken
only after thirty (30) days public notice of such action or
proposed action is served_ directly on Grantee and Grantee
and all insterested parties and citizens have been given an
opportunity to respond in writing and/or at a hearing as may
be specified by the City Council.
Section 17. Severability
If any -section, subsection, sentence, clause,
phrase, or portion of this Franchise is for any reason Teld__..
invalid or unconstitutional, such portion shall be considered
a separate, distinct and independent provision and such holding
shall not affect the validity of the remaining portion thereof.
Section 18. Cancellation of the Franchise
Grantor shall have the right to cancel this _
Franchise for any of the following reasons:
(a) If Grantee knowingly. submits false records -
or reports to Grantor.-
(b) If Grantee persistently and deliberately fails
to comply in any material respect with the provisions of this
agreement and such failure shall continue beyond thirty (30) days
after receipt of _written notice of such failure from the City.
manager; provided, however, that noncompliance shall not be cause
for cancellation if Grantee is making a bona fide attempt to cure
the condition causing noncompliance.
(c) If any officer of.Grantee gives perjured
sworn testimony to the City Council.
Section 19._ Disposition of Terminated Franchise
In the event of a cancellation or in the
event this Franchise is not renewed at the end of its term,
then Grantor shall, after at least six months have elapsed
from the date of cancellation or termination, hold a sale
and sell the system. The system shall be priced and sold as
a going business and the recent sales of similar CATV systems
shall be taken into consideration in setting a price for any
sale. After deducting any amounts owed to Grantor, including _
legal fees, the balance of the proceeds shall be returned to
Grantee.
Section 20.
The effective data of this Franchise shall be
CITY OF BANGOR, MAINE
By
ATTEST:
Secretary
Adams -Russell Co., Inc. hereby accepts the restrictions
on the transfer of the stock of the Grantee imposed by Section 13(a)
of this agreement. -
I.
ADAMS -RUSSELL CO., INC.
Hy
(Title) ��
City Manager
ATTEST
City Clerk
COASTAL
CABLE CORP. --_ -�-
By
President
ATTEST:
Secretary
Adams -Russell Co., Inc. hereby accepts the restrictions
on the transfer of the stock of the Grantee imposed by Section 13(a)
of this agreement. -
I.
ADAMS -RUSSELL CO., INC.
Hy
(Title) ��