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HomeMy WebLinkAboutORD 4412 y CITY OF RENTON, WASHINGTON ORDINANCE NO. 4412 AN ORDINANCE OF THE CITY OF RENTON, WASHINGTON, GRANTING TO TCI SEATTLE, INC. A FRANCHISE TO OPERATE A CABLE COMMUNICATION SYSTEM WITHIN THE CITY OF RENTON. Table of Contents: Section 1 . Purpose 2 . Length of Franchise 3 . Service Area 4 . Franchise Fee 5 . Future Provisions E . Access Channels 7 . Government Access Equipment NOW 8 . Institutional Networks 9 . Emergency Override 10 . Emergency Power 11 . Coverage 12 . Cable Availability 13 . Extraordinary Installation 14. Distribution Line Extension Charges 15 . Public Buildings 15 . Penalties 17 . Independent Contractors 18 . Entire Agreement 19 . Successors or Assigns %W 20. Acceptance 21 . Effective Date ORDINANCE NO. 4412 22 . Notice Appendix "A.. . . . . . . . . . . . .Access Studio and Equipment Appendix "B" . . . . . . . . . . . . . . . . . . . . . Building Locations Appendix "C" . . . . . . . . . . . . . . . . . . . . . . . . . Public Schools Appendix "D" . . . . . . . . . . . . . . . . . . . . . Programming Survey Section l: Purpose. This Franchise shall constitute an agreement between the City of Renton (hereinafter the "City" ) and TCI Seattle, Inc. (hereinafter the "Operator" ) . The Operator promises to construct, maintain, and operate a cable television system for the distribution of television and other electronic signals pursuant to the terms of this Franchise. The City agrees to grant the Operator all necessary rights and privileges to use public rights of way necessary for a cable television system. This agreement shall, as of its effective date, supersede and replace all existing franchises previously granted by the City of Renton to the Operator or any of its predecessors, subsidiaries or affiliated companies . Section 2: Length of Franchise. The length of this Franchise shall be for a term of fifteen (15) years from September 13 , 1993 through midnight September .1.3, -2008. Section 3: Service Area. The Operator' s service area shall be the entire incorporated area of the City of Renton, in its present incorporated form or in any later reorganized, consolidated, enlarged, or re-incorporated ,,form. 2 )RDINANCE NO. '4412 Section 4: Franchise Fee. Recognizing that current Federal law limits a franchise fee to five percent (5%) , the Operator shall pay to the City quarterly, on or before the thirtieth (30th) day of each January, April, July and October, a sum equal to five percent (5%) of gross revenues, for the preceding three calendar months, as defined in Ordinance 4413 Revenues that are derived as a portion of a national or regional service shall be computed on a per subscriber basis if such determination cannot be achieved by other means . The City may raise the franchise fee, if so permitted by Federal and State law. Prior to implementation of any increase in franchise fees the Operator may request a public hearing by the City Council to discuss said increases . Following such a hearing the City Council may require the implementation of such increase in -400 accordance with the provisions of this Ordinance. (a) Late Payment. Any quarterly franchise fee not paid by the Operator within thirty (30) days of the end of a quarter shall bear interest at the rate of twelve percent (12%) , per annum or whatever maximum amount is allowed under State law, whichever is greater, from the due date until paid. (b) Financial Reports . Each franchise fee payment shall be accompanied by a financial report on a form provided by the City showing the basis for the Operator's computation separately indicating revenues received by the Operator within the City from basic service, pay TV service, other applicable sources of revenue, and such other information directly related to confirming the amount of the Operator' s gross revenues as may be reasonably 3 .,RDINANCE NO. 4412 required by the City. (c) Audit by City. The City shall have the right, upon reasonable notice or no less than two (2 ) working days, to inspect the books and records of the Operator during normal business hours, for the purpose of ascertaining the actual gross revenues collected by the Operator. In the event that such audit discloses a discrepancy of more than ten percent (10%) between the financial report submitted by the Operator with a quarterly payment and the actual gross revenues collected by the Operator, the Operator agrees to pay to the City the costs of such audit. In the event that such audit results in a determination that additional franchise fees are due the City, the Operator further *,%Wagrees to pay interest as required for late payment on such additional franchise fees computed from the date on which such additional franchise fees were due and payable. (d)Non-waiver. Acceptance of any franchise fee payment by the City shall not be construed as an agreement by the City that the franchise fee paid is in fact the correct amount, nor shall acceptance of payment by the City be construed as a release or waiver of any claim the City may have for further or additional sums payable under the provisions of this Ordinance. (e) Taxes . Nothing in this section shall limit the Operator' s obligation to pay applicable local, State, or Federal taxes . Section 5s Future Provisions. The City and the Operator acknowledge that the former should *wvoe provided with a cable system that has the same general capabilities and capacity as those provided other cities. served by 4 "RDINANCE NO. 4412 the Operator in the King-Pierce-Snohomish County area of the State of Washington. The City may, at its discretion, require that the Operator provide such interactive services as addressability, security, computer interaction, banking, shopping, voice and data transmission, High Definition Television (HDTV) , fiber optic and other such features, as well as upgrades capable of carrying at least fifty-four (54) channels, within the City within twenty-four (24) months of any of the following occurrences : Provision by the Operator of any of the same services identified above to a preponderance of a system; (a) Within the City of Seattle system, or; (b) Within any adjacent community, or; (c) Forty percent (40%) of the municipalities in the King, Pierce, and Snohomish Counties . Notwithstanding the above, the Operator shall in any event complete the upgrade to fifty-four (54) channels and have the capability of implementing these enhanced services within forty- eight (48) months from the effective date of this franchise. Prior to implementation of any such service the Operator may request a public hearing by the City Council, to discuss the benefits of said features to the citizens of the City. Upon a finding by the City Council that such features are reasonably required to meet community needs, taking into consideration ' the expense of providing such services and the potential costs. to subscribers, the City Council may require the implementation of such features in accord with the provisions of this agreement. If the Council deem it necessary, it may, at . its own option by a 5 ORDINANCE NO. 4412 majority vote, extend the time requirements established in this section. Additionally, the Operator, upon completion of the upgrade or by the expiration of the forty-eight (48) month period as prescribed herein, shall provide, maintain and operate a public access studio within a radius of eight (8) miles of the City Hall, or at a location mutually agreeable by all parties . Such facilities shall be subject to approval by the City as suitable. Such approval shall not be unreasonably withheld. Section 6: Access Channels. Upon completion of the upgrade conditions the City shall be provided with three (3) access channels including the government channel already in use, one of which shall be capable of broadcasting live from City Hall. The City may initially share a common public access channel with other communities, however, the City may elect, at its option, to provide programming over an individual public access channel for the City' s sole use. Additional channels over and above these shall be made available for City purposes when any of the three (3) designated channels is in use for access purposes with programming during fifty percent (50%) of the hours between 10 :00 a.m. and 10:00 p.m. , during any consecutive ten (10) week period. The Operator shall, within six ( 6) months following a request by the City, subject to the restrictions above, provide another designated access channel for this purpose. The Operator shall continue to provide additional channels under the same conditions. Programming on additional channels 6 IRDINANCE No. 4412 shall be distinct and non-repetitive of the previous channel. If additional channels are designated for community use, but, after one year, such channel(s) are not utilized at least twenty-five percent (25%) of the hours between 10 : 00 a.m. and 10 : 00 p.m. with programming, the access users will, within six (6) months of receiving written notice from the Operator, group their programming into one contiguous block of time of their choosing. The remaining broadcast time on such channel shall then revert to the Operator for its unrestricted use within the terms and conditions of this ordinance. Contributions to PEG access will not be considered in lieu of a franchise fee nor other obligations to the City. Section 7 : Government Access Equipment. The Operator shall provide, maintain, and install the necessary equipment for local government cablecasting within six (6) months of a request of the City unless extended by mutual written agreement. Such equipment shall not be less in quantity nor equivalent quality than those listed in Appendix A. Section 8: Institutional Networks. Upon completion of the cable system upgrade the Operator' s system shall have the capability of bi-directional Institutional Networks for educational and public safety communications. An entity desiring activation of such feature(s) will provide the City Council demonstrated need of such use. Prior to implementation of any such service the Operator may request a public hearing by the City Council, to discuss the benefits of said features to the citizens of the City. Upon a 7 ORDINANCE NO. 4412 finding by the City Council that such features are reasonably required to meet community needs, taking into consideration the expense of providing such services and the potential costs to subscribers, the City Council may require the implementation of such features in accord with the provisions of this agreement. Section 9: Emergency Override. Upon completion of the system upgrade subject to the conditions of Section 5, Future Provisions the Operator shall make provisions for an emergency alert system. The Operator shall establish a process which will provide a character generated scroll and make the best effort to furnish a voice override notifying viewers and listeners of the emergency. Subject to Federal and ,;,tate laws and regional planning authorities, control of these emergency override facilities shall be the responsibility of the City. The City shall hold a franchisee, its agents, employees, officers, and assigns harmless from any claims arising out of the emergency use of its transmitting facilities by the City. The City, at its option may elect to share this service with adjoining communities . Section 10: Emergency Power. A franchisee shall provide a standby power system to automatically activate equipment at the headend and hubs, if. applicable, in event of a primary electrical failure. Section 11: Coverage. The City shall be provided with cable television service in the entire Franchise area. If such a condition does not now exist, the Operator shall complete such wiring and be in a position to offer 8 IRDINANCE NO. 4412 cable reception to all residents within twelve ( 12) months from the + grant of the Franchise. Areas subsequently annexed shall be provided with cable availability within twelve ( 12 ) months, subject to the terms in Section 13 Extraordinary Installation. Section 12: Cable Availability. Cable service shall not be denied to any group of potential residential cable subscribers because of the income of the residents of the local area in which such group resides . Section 13: Extraordinary Installation. All residents requesting cable service and living within one hundred fifty (150) feet of existing cable distribution lines shall have the cable installed at the prevailing published installation rate. In the event a request is made for service and the residence is more than one hundred fifty (150) feet from an existing cable distribution line, such installation shall be completed on a time and material cost basis for that portion of the service line extending beyond one hundred fifty (150) feet. Section 14: Distribution Line Extension Charges. Cable Service shall be available to all residents within the City provided there are at least thirty five (35) dwelling units per street mile. In the event a request is made for service by a resident(s) living in an area not meeting such criteria, the Operator shall enter into a contractual agreement with the resident(s) requesting service wherein the Operator shall be reimbursed for its construction costs . Whenever any subsequent subscriber who did not 9 ORDINANCE NO. 4412 contribute to the original cost of the extension connects to the extended distribution service line, that subscriber shall pay his/her pro rata share directly to the Operator prior to obtaining cable service. The Operator shall then promptly tender such payment to the original subscriber so long as the agreement remains in force. Reimbursement shall be calculated on a front foot basis as a percentage of the total cost of the service line extension. Reimbursements shall be made to the original subscriber for a period of up to five (5) years or to the point when the Operator has recovered its incremental costs to construct the distribution service line. The Operator may, at its option, record its contractual agreement with the original subscriber in the office of the King County Recorder prior to the time any subsequent subscriber connects to the extended service line. Section 15: Public Buildings. The Operator shall provide without charge for installation or monthly rate, basic service, one outlet, and converter, if needed at such public buildings and schools as specified in Appendix "B" and "C" as well as other such buildings that may be constructed during the period of the Franchise that are passed by cable and within one hundred fifty 150 feet of the trunk . or distribution system. Section 16: Penalties. '%r The City shall notify the Operator in writing stating the nature of a perceived deficiency in the operation of the cable 10 IRDINANCE NO. 4412 system and setting forth the time the Operator will be allowed to rectify such alleged improper condition. The Operator may request an extension of time if construction is suspended or delayed by the City, or where unusual weather, acts of God (e.g. earthquakes, floods, etc. ) , extraordinary acts of third parties, or other circumstances which are reasonably beyond the control of the Operator, delay progress provided that the Operator has not, through its own actions or inactions, substantially contributed to the delay. The amount of time allowed will be reasonably determined by the City and the Operator. The extension of time in any case shall not be less than the extent of the actual non- contributory delay experienced by the Operator. Failure of the Operator to correct these deficiencies, except in those circumstances cited above, may result in the City calling a hearing to determine if penalties should be imposed upon the Operator or if a material violation of the franchise has occurred. If, following such hearing, it is determined by the City Council that the Operator has failed to comply with the schedule set forth in the Franchise, monetary penalties will be imposed as set forth below for each day beyond thirty (30) days that the Operator has not fulfilled the requirement(s) : a. Upgrade improvements and regional P.E.G. facilities required by Section 5 Future Provisions, two hundred dollars ($200.00) per day. b. Equipment and channels committed by the Operator to the City for access purposes. Sections 6 Access Channels; 7 Government Access Equipment; and 8 Institutional Networks, two hundred 11 . ADINANCE NO. 4412 dollars ($200 . 00) per day. c. Coverage of annexed areas where such is not completed as required by Section 11 Coverage, two hundred dollars ($200.00) per day. Monetary penalties may be assessed retroactive to the date that notification was provided to the Operator in such cases where the Operator has been non-responsive in correcting the situation or in the case of flagrant violations . Termination of the Franchise pursuant to the procedure outlined in Ordinance No. 4413 may be imposed for any violation of one or more of the above listed items . The Operator and the City agree that any of the above described violations, unless excused, r not corrected by the Operator within the time allotted, shall Nave constitute failure to comply with a material provision of the Franchise. No penalty, bond, forfeiture, or termination shall be imposed for delays where such delays are the result of causes beyond the reasonable control and/or without substantial fault or negligence of the Operator, as reasonably determined by the City. If payment of any of these penalties is delinquent by three (3) months or more, the City may require partial or total forfeiture of performance bond or other surety. Section 17 : Independent Contractors. This agreement shall not be construed. to provide that the Operator is the agent or legal representative of the City for any *awpurpose whatsoever. The Operator is not granted any express or implied right or authority to assume or create any obligation or 12 RDINANCE NO. 4412 responsibility on behalf of or in the name of the City or to bind the City in any manner or thing whatsoever. Section 18: Entire Agreement. This agreement, including the Master Cable Ordinance and exhibits that are attached hereto and incorporated herein by reference represents all of the covenants, promises, agreements, and conditions, both oral and written, between the parties. However, the City reserves the right to waive any of these sections without affecting the applicability of other sections not so specifically waived. Waiver of any Franchise requirement or Ordinance sections by the City shall be in writing in order to be effective. Section 19: Successors or Assigns. This Franchise Agreement, including all addenda, and the City' s Master Cable Ordinance shall be binding to the Operator, its heirs, successors, and assigns. Section 20: Acceptance. This grant of Franchise and its terms and provisions shall be accepted by the Operator by the submission of a written instrument, executed and sworn to by a corporate officer of the Operator before a Notary Public, and filed with the City Clerk within sixty (60) days after the effective date of this Franchise. Such instrument shall evidence the unconditional acceptance of this Franchise and the promise to comply with and abide by all its .provisionsr terms and conditions. Section 21: Effective Date. This Ordinance shall take effect five (5) days from and after 13 JRDINANCE NO. 4412 its passage and publication, provided, however, the Franchise granted by this Ordinance shall not become effective until the Operator files written acceptance thereof. Section 22: Notice. Written notices shall be deemed to have been duly served if delivered in person to the individual or entity for whom it was intended, or if delivered at or sent by registered or certified United States mail to the last business address known to the party who gives the notice. All notices and requests shall be addressed to the City of Renton and the Operator as follows: CITY: City Clerk City of Renton 200 Mill Avenue South Renton, WA 98055 OPERATOR: TCI Seattle, Inc. 15241 Pacific Highway South Seattle, WA 98188 ADDITIONAL NOTICE: TCI Seattle, Inc. Attn: Legal Department P.O. Box 5630 Terminal Annex Denver, CO 80217 SECTION II. This Ordinance shall be effective upon its passage, approval, and thirty days after its publication. PASSED BY THE CITY COUNCIL this 9th day of August , 1993 . Marilyn J (!�tersen, City Clerk 14 IRDINANCE NO. 4412 APPROVED BY THE MAYOR this 9th day of August , 1993 . Earl Clymer, i ayor Approved as to form: Law e . arr City Attorney Date of Publication: August 16, 1993 ORD. 303:4/23/93:as . 15 Access Equipment APPENDIX 'A In accordance with Section 7 Government Access Equipment the following equipment or its equivalent will be supplied by the Operator. Quantity Description of Item 1 Texscan MSI—SG 4-B Character Generator 3 Panasonic CCD Two-Color Chip Cameras 3 Telco Remote Camera Control Systems 1 Amega 3000 Computer System with Omni Link and Video Toaster 2 Panasonic AG 8350 SVHS 1/2 " Recording Decks 1 Shure Audio Microphone System 10 Lavalier Microphones *low 3 12" Color Monitors 1 19" Color Monitor 2 Panasonic AG460 1/2" SVHS Cameras 2 LTM 4 Pepper 420 Light Kits (with accessories) 2 Bogen 3062 Video Tripods (w/3066 fluid head) 2 Tripod Adaptors 20 1/2" 20 Minute Video Cassettes 20 1/2" 30 Minute Video Cassettes 20 1/2" 60 Minute Video Cassettes Miscellaneous lighting system as required to adequately allow for the video taping and broadcast of City meetings in the existing City Council Chambers Miscellaneous cable as required to complete the wiring of the existing City Council Chambers. t Menton Public Buildings APPENDIX B CARCO THEATER BLDG. 1717 Maple Valley Hwy. Renton, WA 98055 CITY HALL 200 Mill Avenue South Renton, WA 98055 CITY SHOPS 3555 NE 2nd St. Renton, WA 98055 COMMUNITY CENTER 805 Union Avenue N. E. Renton, WA 98055 FERE STATION # 11 211 Mill Avenue South Renton, WA 98055 FIRE STATION #12 W/S Harrington Ave N. E. & NWC of 9th N Renton, Wa 98.055 FIRE STATION #13 17040108th Avenue S. E. Renton, WA 98055 FIRE STATION #16 12923 156th Avenue S.E . rENTON, wa 98055 HIGHLANDS LIBRARY 2902 N. E. 12th St. Renton, WAS 98055 HIGHLANDS NEIGHBORHOOD CENTER OFFICE, GYM & WATER DEPT. 800 Edmonds Avenue N. E. Renton, WA 98055 HISTORICAL MUSEUM 235 Mills Avenue South Renton, WA 98055 LIBERTY PARK CON. BLDG 1101 Bronson Way North Renton, WA 98055 17 05/25/93 r MAIN LIBRARY 535 Bronson Way Renton, WA 98055 MAPLEWOOD GOLF COURSE CLUB HOUSE & RESTAURANT 4000 Maple Valley Highway Renton, WA 98055 NO. HIGHLAND NEIGHBORHOOD CENTER N. E. 16th & Jefferson N. E. Renton, WA 98055 PHILLIP ARNOLD PARK REC. BLDG. S. 7th At Arnold Park Renton, WA 98055 POLICE/CITY HALL ANNEX 1010 S. 2nd St Renton, WA 98055 RENTON COMMUNITY CENTER 1715 Maple Valley Highway Renton, WA 98055 RENTON POLICE RADIO BLDG. 3310 N. E. 10th Street Renton, WA 98055 SENIOR CITIZEN BLDG. 211 Burnett Avenue North Renton, WA 98055 THE HOLM BUILDING 230 Main Avenue South Renton, WA 98055 THOMAS TEASDALE PARK ACTIVITY CENTER William Avenue St. 98th S. Renton, WA 98055 WINDSOR HILL PARK RECREATION BLDG. 420 Windson Way N. E. Renton, WA 98055 logo 18 05/25/93 Renton Schools APPENDIX C BENSON HILL ELEMENTARY 18665 116th Ave. S. E Renton, WA 98058 CASCADE ELEMENTARY 16022 116th Ave. S. E. Renton, WA 98055 HAZEN HIGH SCHOOL 1101 Hoquiam Ave N.E. Renton, WA 98056 HIGHLANDS ELEMENTARY. 2727 N. E. 9th Street Renton, WA 98056 KENNYDALE ELEMENTARY 1700 N. E. 28th Street Renton, WA 98056 LINDBERG HIGH SCHOOL 16426 128th Ave. S. E. Renton, WA 98058 MCKNIGHT MIDDLE SCHOOL 2600 N. E. 12th Street Renton, WA 98056 NELSON MIDDLE SCHOOL 2403 Jones Ave. So Renton, WA 98055 MAPLEWOOD HEIGHTS ELEMENTARY 13430 144th Ave. S. E. Renton, WA 98056 RENTON AREA YOUTH SERVICES 1025 So Third Ave Renton, WA 98055 RENTON HIGH SCHOOL 400 So. 2nd Street Renton, WA 98055 RENTON PARK ELEMENTARY 16828 128th Ave. S. E. Renton, WA 98058 19 04/26/93 RENTON SCHOOL DISTRICT NO 403 Administrative Center 435 Main Ave. So. Renton, WA 98055 SIERRA HEIGHTS ELEMENTARY 9901 132th Ave S.E. Renton, WA 98056 SPECIAL EDUCATION- HILLCREST Special Prog/Multicultural 1800 Index Ave N. E. Renton, WA 98056 SPRING GLEN ELEMENTARY 2607 Jones Avenue So. Renton, WA 98055 TALBOT HILL ELEMENTARY 2300 Talbot Road So. Renton, WA 98055 TIFFANY PARK ELEMENTARY 1601 Lake Youngs Way S. E. Renton, WA 98058 VTI/BUSINESS TECHNOLOGY CNTR. 800 Union Ave N.E. Renton, WA 98056 VTI/SARTORI PROGRAMS 315 Garden Ave No. Renton, WA 98055 20 04/26/93 ,?ROGRAMMING SURVEY Appendix D Results of Random Sampling of 1000 Residences 8/10/90 % Responding Interest as Type of Programming Very High or Somewhat High News . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 93% OldMovies . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 82% Adult Education. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 78% Health. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 78% Consumer Information. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 77% Weather. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 76% Sports . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 74% Business. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 64% Fine Arts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 59% VideoMusic. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 59% Children ' s Programs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 52% Country. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 52$ U.S. Congress Proceedings. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 51% Local Bulletin Board. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 45% SeniorCitizens . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 41% Local Advertisement. . . . . . . . . . . . . . . . . . . . . . . . . . . 37% Religious . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24% Spanish Language. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9% 21 04/26/93