HomeMy WebLinkAboutORD281ORDINANCE NO.281
AN ORDINANCE OF THE MAYOR AND CITY COUNCIL OF THE CITY OF APACHE
JUNCTION,ARIZONA,AMENDING THE APACHE JUNCTION CITY CODE,CHAPTER 14
CABLE TELEVISION,SECTION 14-1-17 CONSTRUCTION SEQUENCING,14-1-21
TIMELINESS,14-1-22 LIQUIDATED DAMAGES,14-1-24 RATES,14-1-25
LICENSE FEE,14-1-33 REVERSION,14-1-46 INSURANCE,AND 14-1-47
PERFORMANCE BOND;AND BY ADDING ARTICLE 14-2 LICENSE GRANTED,SECTIONS
14-2-1 THROUGH 14-2-5,GRANTING A NON-EXCLUSIVE LICENSE TO CONSTRUCT,
INSTALL AND OPERATE LINES,WIRES,COAXIAL CABLE AND APPURTENANCES FOR
ORIGINATING,RECEIVING,DISTRIBUTING AND SUPPLYING RADIO,TELEVISION
AND OTHER CABLE COMMUNICATIONS SERVICES,ALONG,ACROSS AND UPON THE
PUBLIC'S STREETS,WAYS,ALLEYS AND PLACES WITHIN THE CITY OF APACHE
JUNCTION;REPEALING ANY CONFLICTING PROVISIONS;PROVIDING FOR SEVER-
ABILITY;AND DECLARING AN EMERGENCY.
BE IT ORDAINED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF APACHE
JUNCTION,ARIZONA,AS FOLLOWS:
SECTION I IN GENERAL
That Chapter 14 CABLE TELEVISION,Article 14-1 Cable Television,
Section 14-1-17 Construction Sequencing,Section 14-1-21 Timeliness,Section
14-1-22 Liquidated Damages,Section 14-1-24 Rates,Section 14-1-25 License
Fee,Section 14-1-33 Reversion,Section 14-1-46 Insurance,and Section
14-1-47 Performance Bond be amended to read as follows:
Section 14-1-17 Construction Sequencing
Permits for construction shall be issued sequentially at the discretion of the
City,limiting construction in certain areas.As construction nears completion
in one area,a permit for the next area may be issued.
Section 14-1-21 Timeliness
A.Licensee will agree that the complete proposed system will be installed
within twelve (12)months of awarding of the license.Exceptions can only
be granted by the City.The City shall have the right to monitor and enforce
pro rata construction schedules leading to this end as submitted by the licensee.
B.Areas subsequently annexed by the City will be completed within a time period
established by the licensee and the City,but not to exceed six (6)months
without the express permission of the City of Apache Junction,provided that
there are at least twenty (20)such dwellings per street mile and that
connections to which can be made by means of overhead construction or
underground trenches prepared for other utility services.Residents in
other dwellings with lesser densities may be charged by the licensee a pro
rate charge for labor and material for actual cost over and above the normal
installation fee once such residents have agreed to become a subscriber.
However,once such density reaches thirty (30)homes per mile,a reimbursement
of these charges will be made to the subscribers.
Section 14-1-22 Liquidated Damages
A licensee shall be assessed the sum of five hundred dollars ($500)per day as
compensatory liquidated damages for each day the installation is not fully
completed after the expiration of the twelve (12)month period following the
awarding of the license.
ORDINANCE NO.281
PAGE ONE OF FIVE
Section 14-1-24 Rates
No licensee shall impose upon the Subscribers rates or charges for Basic
Services,or increases in such rates or charges,until i t has been determined
by the City that such rates are not in excess of a reasonable amount.
1.Any applicant for a new license or for the renewal or extension of a
license and any licensee proposing any increases in rates and charges
for the installation of cable or Basic Services shall first file with
the City a schedule of the proposed rates and charges or the proposed
increased rates and charges together with an affidavit certifying
compliance with this section.The schedule shall include:
a.Installation of Basic Service
b.Periodic charges for Basic Service.
c.Installation for premium service.
d.Periodic charges for premium service.
e.Installation of FM service.
f .Periodic charges for FM service (including rates for FM service as
a primary service).
g.Charges for relocating and reconnection.
h.Converter charges.
i .Charges for parental control keys.
j .Installation charges for bulk/commercial service.
k.Periodic charges for bulk/commercial service.
1.Installation charges for additional outlet service.
m.Periodic charges for additional outlet service.
n.Discounts for multiple premium services,etc.
o.Interactive service charges.
p.Extended drop installation charges.
q.Teletext type service and equipment charges.
r .All other charges proposed.
2.The City shall examine and investigate the schedule submitted by the
applicant or licensee,and make recommendations to the City Council.
The City will use the following criteria for determining the reasonable-
ness of the rates:the fees charged to Subscribers by CATV providers
to persons in the surrounding communities;the cost and expense to the
licensee of the services provided;the extent of capital investment in
the City by the licensee;the State -of -the -Art and the technological
status of the system in the City of the licensee;and,a fair rate of
return on investment by the licensee.
3.If a request for a rate increase has not been acted upon within one
hundred (100)days of the date of submission by the licensee to the
City,the licensee may increase Subscriber rates in the interim,subject
to final action by the City.
4.The rates and charges to be initially charged by the licensee are hereby
established and fixed as follows:
A.Installation charges.
1.Normal Basic installation -$50
2.Premium Service installation -Free if done at time of Basic
installation,otherwise $10 all outlets.
3.Extraordinary installation (over 200')best available contract
rate.
4.Initial discounts are 1/2 off for full-time residents within
sixty (60)days of the first introductory period and part-time
residents who return to the same location each year.
ORDINANCE NO.281
PAGE TWO OF FIVE
B.
5.Multiple dwellings (including RV areas)the discount and conditions
are the same as 1,2,3 •and .4 above.
6.Second set hook-up -$10,waivable for new subscribers.
7.Disconnect -none.
8.Reconnect -$10.
9.FM stereo hook-up -$10,waivable for new subscribers.
10.Converter -$25 (refundable deposit)
Monthly charges.
1.Basic cable -$9.95
2.Premium channels -$9.95
3.FM stereo -$3
4.Second set -$3.50
5.Remote control -$3 ($75 one time
6.Parental control device -Free
Such rates
notice and
each.
purchase price).
and charges shall not be changed at any time except after due
hearing as provided herein.
Section 14-1-25 License Fee
The licensee shall pay to the City during the full term of the license a
sum equal to three (3%)percent of the gross subscriber revenue charged by
the licensee.However,the City of Apache Junction reserves the right to
increase this rate to that authorized by the Federal Communications Commission
under conditions set forth by that Agency.Furthermore,should Federal legis-
lation change this amount,such percentage of fees will automatically conform
with such regulations without further negotiation or amendment to this ordinance,
unless other required by the City.This fee shall be paid by the licensee
twice yearly;the first payment to be due and payable on the first of January
and the second on the first of July henceforth through the term of said license.
The City shall have the right,and reasonable time,to inspect the books
and records of the licensee for the purpose of ascertaining the actual
Subscriber charges and licensee shall furnish promptly with each payment
a statement outlining Subscriber charges upon which payment was based.This
license fee shall be in addition to the City Business License fee as set
forth in Chapter 8,Section 8-5-4 of this Code and in addition to sales tax
payments in accordance with Section 14-1-26 of this Chapter.
Section 14-1-33 Reversion
The City reserves the unconditional right to purchase the licensee's system
at a fair market price at the time of purchase and in accordance with all
Federal and State rules and regulations in the event of non-compliance with
any provisions of this ordinance.In determining fair market price,no
consideration of value will be made for right of privilege granted to
licensee.This provision is in addition to all other rights and remedies
available to the City under this ordinance or any other statutory or common
law and shall not require an exclusive election of such remedies.
Section 14-1-46 Insurance
The licensee shall,concurrently with the filing of an acceptance of award
of any license granted hereunder,furnish to the City and file with the City
Clerk and at all times during the existence of any license granted hereunder,
ORDINANCE NO.281
PAGE THREE OF FIVE
maintain in full force and effect,at its own cost and expense,a general
comprehensive liability insurance policy,in protection of the City,its
officers,boards,commissions,agents and employees in a form satisfactory to
the City Attorney,protecting the City and all persons against liability for
loss or damage for personal injury,death and property damage,occasioned by
the operations of licensee under such license,with separate minimum liability
limits of one million ($1,000,000)dollars for personal injury,death,and
property damage.
The policies mentioned in the foregoing paragraph shall name the City,its
officers,boards,commissions,agents and employees,as additional insured and
shall contain a provision that a written notice of cancellation or reduction
in coverage of said policy shall be delivered to the City thirty (30)days in
advance of the effective date thereof;i f such insurance is provided by a
policy which also covers licensee or any other entity or person other than those
above named,then such policy shall contain the standard cross -liability
endorsement.
Section 14-1-47 Performance Bond
Each licensee shall promptly repair or cause to be repaired,any damage to City
property of every type caused by the licensee,or any agent or firm acting on
behalf of the licensee,during the life of the license.Licensee shall comply
with all present and future ordinances and regulations of the City regarding
excavation or construction and,whenever deemed necessary by the City,shall
be required to post a performance bond in favor of the City warranting,among
other things,that all restoration work shall be done promptly and in a
workmanlike manner.
Initially,a performance bond in the amount of One Hundred Thousand ($100,000)
Dollars shall be posted by the licensee to ensure compliance with said ordinance.
However,upon satisfactory completion of construction,said bond may be reduced
to Twenty Thousand ($20,000)Dollars;providing,that at such time when and
i f an area is annexed by the City that,at the discretion of the City,the bond
may be raised again to the original amount during the time of construction.
That Chapter 14 CABLE TELEVISION,be further amended by adding
Article 14-2 License Granted,Sections 14-2-1 License Granted through 14-2-5
License Acceptance,as follows:
Section 14-2-1
Section 14-2-2
Section 14-2-3
Section 14-2-4
Section 14-2-5
License Granted
License Acknowledgment
License Effective
License Area
License Acceptance
Section 14-2-1 License Granted
That Dow -Sat of Arizona,Inc.,hereafter referred to as the "the licensee",is
by ordinance granted a non-exclusive license to install,construct,operate and
maintain a cable television system on the streets,other public rights -of -way
or other public places within the limits of the City of Apache Junction,provided
notwithstanding the licensee has been granted a license for such construction,
prior to the commencement of any actual construction,permits therefore shall
be obtained from the appropriate department of the City of Apache Junction.
ORDINANCE NO.281
PAGE FOUR OF FIVE
Section 14-2-2 License Acknowledgment
This license shall not become effective for any purpose unless written acceptance
thereof shall have been received by the City Clerk not later than 12:00 p.m.on
the 30th day following the effective date of this ordinance.
Section 14-2-3 License Effective
This license shall become effective at 12:00 p.m.on the 30th day following the
effective date of this ordinance,providing i t has been properly accepted.
Section 14-2-4 License Area
The licensee's service area shall be the entire incorporated area of the City
of Apache Junction,in its present incorporated form or in any later re -organized,
consolidated,enlarged,or re -incorporated form.
Section 14-2-5 License Acceptance
The licensee's cable television proposal dated January 3,1984,is incorporated
by reference in this Code and made a part hereof as though fully set forth herein;
and the licensee,by accepting this non-exclusive license,specifically agrees
to be bound by all the terms and conditions as contained herewithin.
SECTION I I REPEALING ANY CONFLICTING PROVISIONS
All ordinances and parts of ordinances in conflict with the provisions
of this ordinance or any part of the Code adopted herein by reference are hereby
repealed.
SECTION III PROVIDING FOR SEVERABILITY
I f any section,subsection,sentence,clause,phrase or portion of
this ordinance or any part of the Code adopted herein by reference is for any
reason held to be invalid or unconstitutional by the decision of any court of
competent jurisdiction,such decision shall not affect the validity of the
remaining portions thereof.
SECTION IV EMERGENCY CLAUSE
I t is necessary for the preservation of the peace,health and safety
of the City of Apache Junction,Arizona,that this ordinance become effective
immediately,an emergency is hereby declared to exist and this ordinance shall
be effective immediately upon passage and adoption.
PASSED AND ADOPTED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF
APACHE JUNCTION,ARIZONA,THIS 15TH DAY OF MAY ,1984 •
ATTEST:
<A LEEN CONNELLKATHLEENCONNELLY,City Clerk
APPROVED AS TO FORM:
ORDINANCE NO.281
PAGE FIVE OF FIVE
Ad/4
ENDELL J.CL E,MAYORENDELLJ.cLgRxE,MAYOR