HomeMy WebLinkAboutORD 3190
ORDINANCE NO. 319
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
PALM DESERT, CALIFORNIA, ISSUING A NON-EXCLUSIVE
LICENSE TO CONSTRUCT, OPERATE AND MAINTAIN A
TELEVISION ANTENNA CABLE SERVICE
WHEREAS, the City Council of the City of Palm Desert,
California, has received from William Bone, doing business
as Sunrise Company, an application for the issuance of a
non-exclusive two (2) year license to construct, operate and
maintain a television antenna cable service within certain
areas in the City of Palm Desert, in accordance with the
ordinances of the City of Palm Desert.
WHEREAS, the City has conducted extensive study and
research concerning the matter of adopting a new enabling
ordinance providing for the establishment and granting of
franchises or privileges for the construction, maintenance
and operation of cable communication, or cable television
T systems and further providing for the continuing regulation
and administration of these franchises and the activities
relative to them and is presently considering a draft of
such an ordinance.
WHEREAS, Sunrise Company has begun construction on the
parcels of property as to which the application for a
franchise applies and desires to secure an interim franchise
agreement pursuant to City Council Resolution 81-157, which
franchise will be later rewritten to conform (1) to the
enabling ordinance ultimately adopted by the City, and (2)
to the terms and conditions which shall control any and all
other cable television franchise agreements of cable
operators operating under the jurisdiction of the City, it
being the intent and purpose of the City to create parity
amongst all such cable operators after passage of the new
enabling ordinance.
NOW, THEREFORE, the City Council of the City of Palm
Desert, California DOES HEREBY ORDAIN as follows:
-1-
w
SECTION 1: That the City Council determines and
does hereby order the issuance of a license to William Bone,
doing business as Sunrise Company, in the following form:
"A NON-EXCLUSIVE INTERIM LICENSE OF THE CITY OF
PALM DESERT, TO CONSTRUCT, OPERATE AND MAINTAIN A
TELEVISION ANTENNA CABLE SERVICE IN, UNDER AND
ACROSS AN AREA AND PUBLIC ROADS AS THEY NOW OR MAY
HEREAFTER EXIST IN THE INCORPORATED CITY OF PALM
DESERT."
�. (1) A non-exclusive interim license is hereby granted
to William Bone, doing business as Sunrise Company,
hereinafter called "Licensee", to and including November 1,
1984, from the date hereof, to construct, operate and
maintain a television antenna cable service along, under and
cross the public roads and in the area as it now or may
hereafter exist within the incorporated boundaries of the
City of Palm Desert, and more particularly described as
follows:
Parr i-1 1
The Southeast quarter of the northwest quarter of
Section 10, Township 5 South, Range 6 East, San
Bernardino Meridian, in the City of Palm Desert,
County of Riverside, State of California, as shown
by the United States Government Survey.
Assessor's Parcel No. 619-06-1.
PArrPl 9-
The Northeast quarter of the Northwest quarter of
Section 10, Township 5 South, Range 6 East, San
Bernardino Meridian, in the City of Palm Desert,
County of Riverside, State of California.
EXCEPT the Northerly 44.00 feet conveyed to the
County of Riverside, by deed filed for record
April 7, 1958, as Instrument No. 25037
Assessor's Parcel No. 619-06-2.
PArrP1 *1-
The West half of the Northwest quarter of Section
10, Township 5 South, Range 6 East, San Bernardino
f Meridian, in the City of Palm Desert, County of
Riverside, State of California.
EXCEPT the Northerly 44.00 feet conveyed to the
County of Riverside by deed filed for record April
7, 1958, as Instrument No. 73928.
Assessor's Parcel No. 619-06-3.
Parcel 4•
The Northeast quarter of Section 10, Township 5
South, Range 6 East, San Bernardino Meridian, in
the City of Palm Desert, County of Riverside,
State of California.
-2-
EXCEPT the Northerly 44.00 feet thereof as granted
to the County of Riverside in Deeds recorded March
31, 1958, as Instrument No. 23191 and recorded
April 7, 1958, as Instrument No. 25038.
Assessor's Parcel No. 619-06-4.
Parcel 5:
The East half of the West half of the Northeast
quarter of Section 9, Township 5 South, Range 6
East, San Bernardino Meridian, in the City of Palm
Desert, County of Riverside, State of California.
Assessor's Parcel No. 621-23-05.
Parcel 6:
The Northeast quarter of Section 9, Township 5
South, Ranee 6 East, San Bernardino Base and
Meridian, in the City of Palm Desert, County of
Riverside, State of California.
EXCEPTING the West one-half thereof;
ALSO EXCEPTING therefrom the Northerly 44.00 feet
thereof as conveyed to the County of Riverside by
Deed recorded April 7, 1958, in Book 2250 page 555
of Official Records of Riverside County,
California;
ALSO EXCEPTING therefrom the Easterly 44.00 feet
thereof as conveyed to the County of Riverside by
Deed recorded August 6, 1962, as Instrument No.
73925 of Official Records of Riverside County,
f California.
Assessor's Parcel No. 621-23-06.
Parcel 10:
The West half of the West half of the Northeast
quarter of Section 9, Township 5 South, Range 6
East, San Bernardino Base and Meridian, in the
City of Palm Desert, County of Riverside, State of
California.
EXCEPTING therefrom the North 55.00 feet thereof
as conveyed to the County of Riverside by Deed
recorded April 7, 1958, as Instrument No. 25029
and October 12, 1972, as Instrument No. 136515,
both of Official Records of Riverside County,
California.
Assessor's Parcel No. 621-23-010.
Parcel 11:
if The East half of the East half of the Northwest
quarter of Section 9, Township 5 South, Range 6
East, San Bernardino Base and Meridian, as shown
by United States Government Survey approved July
'-' 15, 1956;
EXCEPTING therefrom the North 55.00 feet thereof
as conveyed to the County of Riverside by Deed
recorded April 7, 1958, as Instrument No. 25029
and October 12, 1972, as Instrument No. 136515,
both of Official Records of Riverside County,
California.
Assessor's Parcel No. 621-23-011.
-3-
Parrrcl 1 7 -
The West 4 of the East 1 of the Northwest 4 of
Section 9, Township 5 South, Range 6 East, San
Bernardino Base and Meridian, except the Northerly
44 feet thereof as conveyed to the County of
Riverside.
and such public roads as shall be necessary to construct and
operate said service in and upon said parcels, for
a
transmitting and distributing electrical impulses and
signals to produce reproductions of sights and sounds for
television or radio and other communication purposes.
(a) "Public roads" as used in this license
means for any public highway, road, street, lane, alley,
court, sidewalk, parkway, or easement therefor, dedicated or
offered for dedication to the City of Palm Desert.
(2) Licensee shall:
(a) Construct, install and maintain all
equipment and facilities in accordance with all requirements
of the City, and shall make no installation or excavation,
in, on or over any road under City's jurisdiction without
first obtaining an encroachment permit pursuant to any City
regulations dealing with excavation and encroachments. In
any State highway, Licensee shall abide by all provisions of
State laws and regulations relating to the construction,
location and maintenance of such equipment and facilities.
In any area of the City where existing pole lines of a
public utility company are reasonably available for use by
Licensee pursuant to a pole attachment agreement with the
public utility company, Licensee shall not erect any poles
for the purpose of installing its operating equipment.
(b ) Pay to the City on demand the cost of
all repairs to public property made necessary by any of its
operations, together with maintaining insurance protecting
the City against any damage to said public property.
(c) Indemnify and hold the City, its
officers, and employees harmless from all liability for
damages resulting from all operations under this license.
-4-
(d) Remove, relocate or place underground at
its own expense, any equipment and facilities installed
under this license, if the City determines that it is
necessary for construction of a new road, change of grade,
alignment or width of any existing road, or the
construction, use or maintenance of any bridge, subway,
viaduct or other public work, or the use of any public
property, or the construction, maintenance or relocation of
any installation of a public utility operating under a
franchise.
(e) Take out and maintain public liability
insurance satisfactory to the City to protect Licensee and
the City, its officers and employees, against the loss from
liability imposed by law for damages on account of bodily
injury, including death resulting therefrom, and property
damage, suffered or alleged to be suffered by any person or
persons whatsoever resulting directly or indirectly from any
{- act or omission of Licensee or any person acting under
Licensee's control or direction. The insurance shall be
kept in force during the term of this license in the amounts
of not less than $250,000.00 for one person injured in one
accident and not less than $500,000.00 for more than one
person injured in one accident, and not less than $50,000.00
property damage. Proof of insurance shall be filed with the
City Clerk of the City of Palm Desert.
(f) Participate in negotiations with the
City Manager, in cooperation with the City Attorney, to
rewrite a franchise agreement at such time as the new cable
television enabling ordinance is adopted by the City and
franchise agreements pursuant to such enabling ordinance are
negotiated with other cable operators operating under the
`-' jurisdiction of the City.
(3) In any area of the City where either the
transmission and distribution facilities of a public utility
providing telephone service or a utility providing electric
service are underground or hereafter may be placed
underground, then the Licensee shall also place or relocate
-5-
all of its transmission amplification and distribution
facilities underground, at no cost to the City. Nothing
contained herein shall prevent the Licensee from charging or
obtaining compensation for placing lines underground from
the public right-of-way to the structure involved.
(4) Licensee, in making its service available
shall not discriminate for or against any suppliers of
television sets, and in those areas where service is made
available, Licensee shall provide service to all applicants
in the order of receipt of orders therefor, so far as
possible.
(5) The County, State, City or public agency may
construct, repair or maintain any existing road, or portion
thereof, or other public facility in which Licensee's
equipment and facilities have been constructed or installed,
and may remove any such road or other public improvement.
Upon 30 days' notice being given to the Licensee of the
work, and area in which it is to be performed, the Licensee
shall do all things necessary to protect its property during
the progress of the work and, if ordered by the governmental
agency performing such work, Licensee shall disconnect,
remove or relocate its property in such manner as shall be
required to permit the performance of the work, and the
maintenance, operation and use of the road or public
improvement. Any private easements acquired by Licensee for
the construction and installation of the equipment and
facilities shall be construed to be subordinate to the
rights of the City, presently existing or hereafter
acquired, for future road construction or reconstruction.
Ail of such things to be done and work to be performed shall
be at the sole cost and expense of Licensee.
(6) If the State, County, City or public agency
shall acquire the property of the Licensee, either by
purchase or through the right of eminent domain, the
Licensee shall not be assigned any value, before any court
or other public authority, in excess of the sum paid by the
-6-
Licensee to the City at the time of the issuance of the
license.
(7) Licensee shall submit to the City Council a
schedule showing all its rates and charges for services
rendered to customers under this license. No charge shall
be made except in accordance with the schedule submitted to,
• and not disapproved by, the City. If the City Council
.J
disapproves Licensee's rate schedule, it shall set a rate
hearing on its regular calendar as soon as reasonably
possible thereafter, and give notice to Licensee of the
hearing. Licensee shall attend the hearing fully prepared
to give specific and detailed information regarding its
capital investment, expenses of operation, income,
equipment, amortization schedule, and all other information
necessary for a determination of fair and just rates for
services rendered. The City shall allow and provide for a
fair and reasonable return upon investment to the Licensee.
In the event the California Public Utilities Commission
assumes jurisdiction over the operation and rates of the
Licensee, then the authority of the City to approve charges
shall cease. Upon submission to the Council by the Licensee
of a request for consideration of a rate increase, the
Licensee shall pay a fee of $100.00.
(8) This license shall not be construed to impose
upon the City any duty or obligation to construct, repair or
maintain any road in which Licensee's property is located.
(9) Licensee shall pay to the City of Palm
Desert, in addition to any business license that may
hereafter be adopted, the sums set forth hereinafter of the
gross subscriber revenue derived from the operation of
Licensee's television antenna cable service in Palm Desert:
n
Two percent (2%) of the gross subscriber
revenue drive from the operation of Licensee's television
antenna cable service in Palm Desert from the date of first
receipt of revenue for a period of two years thereafter.
Any change thereafter in the rate shall be negotiated
-7-
1
between the parties hereto reflected by a resolution of the
City Council of the City of Palm Desert.
Gross subscriber revenues shall be those
revenues derived from the supplying of basic subscriber
entertainment services, that is, the installation fees,
connection and reconnection fees and fees for basic
4
a entertainment cable benefits, including the transmission of
t_
broadcast signals and access and origination channels, if
any. Licensee shall estimate quarterly the gross subscriber
revenue for the year and shall pay an estimated amount based
on said quarterly estimate to said City within 30 days after
the expiration of each calendar quarter following the
issuance of this license. No later than ninety (90) days
after the expiration of each calendar year, a statement
certified by an officer of Licensee showing the total gross
receipts of the licensee during the preceding year derived
from Licensee's cable service business shall be filed with
the City of Palm Desert and within 14 days thereafter
Licensee shall forward to the City of Palm Desert any
necessary amount to equal to adjusted payment for the year.
(10) The television cable service to be
constructed, operated and maintained under this license
shall have the minimum capabilities from inception as
detailed in Licensee's proposal to the City of Palm Desert,
a copy of which is attached hereto, marked Exhibit "A" and
incorporated herein as if set forth at length.
(11) Licensee shall form or cause to be formed, an
organizational maintenance unit with personnel of sufficient
numbers and technological capability and with full financial
abilities to operate and maintain the television antenna
i
cable service herein provided for, in such a manner, and to
i- such standards as to be satisfactory to the subscribers of
said service and to the City.
Nothing herein shall be construed to prevent
Licensee from contracting with an organization, agency, or
business, for the purpose of said operation and maintenance,
provided such contract shall first be submitted to City for
its approval.
The responsibility of the Licensee for
continuing operation and maintenance of the service shall
run with the term for which this license is granted and may
not be traded, given, sold, transferred or assigned in whole
or in part, to others in any manner other than as herein
provided.
"Standards -- satisfactory to the subscribers
--- and the City" shall include but not necessarily be
limited to:
a) In -home installation and full operation within
three working days (excluding Sundays) of a
request for'service.
b) Field response to service complaints within 24
hours of receipt of complaint. Subscriber may
have lodged complaint either by telephone or in
writing.
c) Correction of service malfunctions within two
working' days (excluding Sundays) of receipt of
complaint.
d) Requirement that Licensee's maintenance unit stock
an adequate inventory of all system parts which
can reasonably be expected to require replacement
under condition of malfunction. Time required to
order such parts or to repair parts shall not be
recognized as a justifiable reason for a delay in
restoring a subscriber's service.
(12) This franchise may be terminated prior to its
date of expiration by the City Council in the event that
said Council shall have found after thirty days' notice of
proposed termination and public hearing, that (a) the
Licensee has failed to comply with any provision of this
ordinance or any reasonable technical standards adopted by
the City to assure adequate service, or has, by act or
omission violated any term or condition of any franchise or
permit issued under this ordinance; or (b) any provision of
this ordinance become invalid or unenforceable, and the City
Council further finds that such provision constitutes a
consideration material to the grant -of said franchise; or
consideration material to the grant of said franchise; or
(c) the City acquires the CVTV property of Licensee.
(13) Licensee shall file an approved corporate„
surety bond or letter of credit, in favor of the City in the
penal sum of $80,000.00, conditioned that Licensee shall
well and truly perform every term and any condition hereof
and in case of any breach of condition, the whole amount of
the penal sum shall be taken and deemed to be liquidated
damages and shall be recoverable from the principal and
surety upon said bond. The bond shall be filed with the
City Clerk within ten (10) days after issuance of this
license. A cash deposit in the same amount may be made in
lieu of said bond. This license shall not be effective
until Licensee has filed an approved bond.
f (14) This license is issued pursuant to California
jGovernment Code, Section 53066; and is not exclusive. The
l same shall not be transferable without prior approval of the
City Council of the City of Palm Desert, except to a nominee
corporation in which licensee is the majority shareholder,
nor may the Licensee sell or transfer its equipment or
operation to another or transfer more than 50% of the stock
of the corporation to any other individual, partnership or
other entity. All rights, obligations and duties are
binding on the Licensee, its successors and assigns.
SECTION 2: The City Clerk shall certify to the
passage and adoption of this Ordinance and shall cause the
same to be published once in the Palm Desert Post, a
newspaper of general circulation, printed, published and
circulated within the City of Palm Desert and the same shall
be in full force and effect thirty (30) days after its
adoption.
-10-
PASSED, APPROVED and ADOPTED this 14th day of
October 1982, by the following vote:
AYES: McPherson, Newbrander, Puluqi & Wilson
NOES None
-11-
ORDINANCE N L9
1
Licensee hereby accepts and agrees to faithfully
perform and abide by all the terms and conditions of this
license and understands that this license is not effective
until an approved surety bond has been fil
Dated: NO v Q &", bQ �- �9 , 1982
WEETAM BONE, ing busingss as
SUNRISE COMPANY
-12-