HomeMy WebLinkAboutOrd 1133 and 1134 Res 07-11 Extension Cable TV Franchise Agmt �nae an� � - �� -�7
L� CONTINUED TO
CITY OF PALM DESE T�ppggEpTp 2N0 READING���7 _
COMMUNITY SERVICES DEPA
STAFF REPORT
REQUEST: Request for Approval of Extension to the City of Palm Desert Cable
Television Franchise Agreement
SUBMITTED BY: Frankie Riddle, Director of Special Programs
DATE: February 22, 2007
CONTENTS: 1. Resolution No. o�-ilextending the Cable Television
Franchise Agreement with Time Warner from June 30,
2006 to January 2, 2008
2. Ordinance No. 1133 Amending Chapter 14.01 of Title 14 of
the Palm Desert Municipal Code
3. Ordinance No. �134 Amending Title 2 Adding Chapter 2.72
of the Palm Desert Municipal Code
4. Analysis of AB 2987 (Nunez) by William Rudell
5. Public Utilities Code Section 5800-5970 (Digital
Infrastructure and Video Competition Act of 2006)
RECOMMENDATION:
By Minute Motion, waive further reading and adopt the following:
1. Resolution No. 0�-11 extending the Cable Television Franchise Agreement with
Time Warner Cable retroactive to June 30, 2006, with an extension to January 2,
2008;
2. Ordinance No. 1133 Amending Chapter 14.01 of Title 14 of the Palm Desert
Municipal Code; and
3. Ordinance No. 1134 Amending Title 2 Adding Chapter 2.72 of the Palm Desert
Municipal Code.
EXECUTIVE SUMMARY:
Approving the extension to January 2, 2008, aligns the Agreement with Section 5930(b)
of AB 2987 (Nunez), which states that any video service provider may obtain a
franchise with local jurisdictions until January 1, 2008; however, after January 1, 2008,
those without a local franchise must obtain a state franchise. The extension to January
2, 2008, would also require that incumbent cable operators and telephone corporations
meet specific requirements in order to obtain a State franchise in lieu of the local
franchise. Time Warner will be required to pay the 5% Franchise Fee regardless of
whether it approves the extension or decides to obtain a State franchise.
CABLE TELEVISION FRANCHISE AGREEMENT EXTENSION
FEBRUARY 22, 2007
PAG E 2 of 4
Approving the Ordinance amending Chapter 14.01 of Titie 14 ensures that the City
retains its rights to assess a PEG access fee, assess the five percent (5%) franchise
fee, and notices the right of the City to conduct an annual review of State franchise
holders' records, as well as establishing customer service penalties, as allowed under
State and federal customer service and protection standards.
Approving the Ordinance Amending Chapter 25.56 of Title 25 allows the City to be in
compliance with AB2987, Section 5885(c)(3) and (4).
BACKGROUND:
Staff has been negotiating with Time Wamer while awaiting the implementaion of
AB2987. With the enactment of AB2987, staff recommends approval of an extension to
the existing Agreement.
The Act became effective as of January 1, 2007, and allows the Public Utilities
Commission (PUC) until April 1, 2007, to commence accepting applications for a State
franchise that will be administered by the PUC. AB 2987 only allows video service
providers to enter into franchise agreements with local jurisdictions until January 1,
2008.
Franchise Fee: Section 5840(q)(1) establishes the State franchise fee as five percent
(5%) of gross revenues to local jurisdictions from all video service providers (i.e., cable
operators and telephone companies) that operate within the jurisdiction, unless a local
jurisdiction has adopted an ordinance approving a lesser percentage. Section 5860(h)
notes that the State franchise fee shall be remitted to the local entity quarterly, within 45
days after the end of that calendar quarter. Both State and local franchise holders are
required to remit the franchise fee to the local jurisdiction. Section 5840(i) notes that a
local entity may examine the business records of a State franchise holder once annually
to the extent necessary to ensure compensation in accordance with Section 5860(a).
Incumbent Cable Operator Options: Section 5810(4) provides incumbent cable
operators the option to secure a State-issued franchise through the preemption of an
existing cable franchise between a cable operator and any political subdivision of the
State (e.g., city, county, or city and county�; and (b) video service providers shall pay as
rent a franchise fee to local entities for the continued use of streets, public facilities, and
other rights-of-way of the local entity to provide service. The franchise fee is intended
as compensation for said use in the form of rent or a toll. See Section 5840(0)(1-3) for
additional information related to seeking a State franchise for providers with a local
franchise.
Notification Provision by State Franchise Holder: Section 5840(n} provides that
holdecs of State franchises must notify the local entity at least ten (10} days, but no
more than 60 days, prior to offering a video services notice to local jurisdictions by video
services providers prior to offering services within the entity's jurisdiction.
PEG Access: Section 5870 outlines the provisions for public, educational, and
governmental access (PEG) channels. State franchise holders are required to activate
the same number of PEG channeis as the incumbent operator has activated (utilized for
CABLE TELEVISION FRANCHISE AGREEMENT EXTENSION
FEBRUARY 22, 2007
PAG E 3 of 4
PEG programming for at least eight hours per day) as of January 1, 2007. The City
currently has one (1) active PEG channel. If there are less than three channels
active as of the specified date, the local entity can initially request the State franchise
holder to designate not more than a total of three (3) PEG channels. Section 5870(n)
specifies that a local entity may, by ordinance, establish fee to support PEG channel
facilities consistent with federal law. The fee shall not exceed one percent (1°lo)of gross
revenues as defined in Section 5860, unless a local entity had imposed a separate fee
by December 31, 2006. The fee shall be no greater than three percent (3%). This
does not apply to Palm Desert as the City does not assess nor collect a fee for
PEG access.
Section 5870(0) provides that the holder of a State franchise may recover the amount of
any fee remitted to a local entity by billing a recovery fee as a separate line item on the
regular bill of each subscriber. Ordinance No. 1133 Amending Chapter 14.01 of
Title 14 of the Palm Desert Municipa! Code (PDMC) addressing this issue is
attached for City Council review and approval. The Ordinance was written to
retain the City's right to assess a fee at a later date.
Building Agreements/Undergrounding: While AB 2987 and Section 5800-5970 do
not specifically address specific construction activities and compliance with local codes
related to undergrounding or other building codes, it does provide for local control under
Section 5885. See Rights-of-way Use and Encroachment Permit Process below for
details. Mr. Rudell also noted in his letter dated November 15, 2006, (attached) that the
Act preserves the right of local entities to manage their local rights-of-way consistent
with the provisions of Section 7901.1 and Section 5885. According to Mr. Rudell, these
provisions allow local entities to enforce local codes.
Rights-of-way Use and Encroachment Permit Process: Section 5885(a), in part,
notes that local entities shall alfow holders of a State franchise to install, construct, and
maintain a network within the public rights-of-way under the same time, place, and
manner as the provision governing telephone corporation under applicable state and
federal law including provisions of Section 7901.1. Public Utilities Code 7901.1
basically provides the City with reasonable control as to the time, place, and manner in
which roads, highways, and waterways are accessed and that control shall be
reasonable and equivalent to all entities.
Sections 5885(c)(2)(3) and (4) address the encroachment permits process, which
relates to any permit issued related to construction or operation of facilities. A local
entity shall either approve or deny an application for an encroachment permit within 60
days of receiving a completed application. If the application is denied, the local entity
must, at the same time as denial, provide detailed explanation of the reason(s) for
denial. The entity shall adopt regulations prescribing procedures for an applicant to
appeal the denial of an encroachment permit application issued by a department of the
lacal entity to the governing body of the local entity. Ordinance.No. 1134 Amending
Title 2 Adding Chapter 2.72 has been prepared that addresses this stipulation and
is attached for City Council review and approval.
CABLE TELEVISION FRANCHISE AGREEMENT EXTENSION
FEBRUARY 22, 2007
PAGE4of4
Consumer Services: Section 5890 states that cable operators or video service
providers may not discriminate against or deny access to service to any group of
potential residential subscribers because of the income of the residents in the local area
in which the group resides. It also sets out the guide{ines to determine if the holder is in
compliance.
Section 5900 provides consumer protection standards and the rights of local entities to
enforce all customer service and protection standards of Section 5900 with respect to
complaints received from residents. It also notes that local entities may not seek to
enforce any additional or different customer service or other performance standards
under Section 53055.3 or subdivision (q), (r), or (s) of Section 530888.2 of the
Government Code, or any other authority or provision of law. It notes that local entities
shall, by ordinance or resolution, provide a schedule of penalties for any material breach
by a holder of a State franchise of Section 5900. (See attached Ordinance)
Staff recommends that the City Council approve the extension of the Cable Television
Franchise Agreement to January 2, 2008.
Submitted By: Approval:
Frankie Riddle Carlos L. Ort a
Director of Special Programs City Manager
' �
C I?CUf:
/ , .
Sheila R. Gi igan
" ACM of Community Servic
RESOLUTION NO. 07-11
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
PALM DESERT EXTENDING THE TERM OF THE
NONEXCLUSIVE CABLE TELEVISION FRANCHISE
AGREEMENT WITH TIME WARNER ENTERTAINMENT —
ADVANCE/NEWHOUSE PARTNERSHIP
WHEREAS, the City of Palm Desert and Time Warner Cable entered a non exclusive
agreement to provide cable services within the community, which became effective with the
approval from the City Council of the City of Palm Desert; and
WHEREAS, the franchise agreement sets forth the franchise fee of five percent (5%)
within the City of Palm Desert; and
WHEREAS, in June 2006 the agreement expired and the City and Time Warner have
been operating under the expired agreement.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Palm
Desert, California, as follows:
Section 1. This resolution is adopted in recognition of the following facts and
circumstances:
A. Time Warner Entertainment — Advance/Newhouse Partnership, dba Time
Warner Cable ("Time Warner"), is the authorized assignee of a cable television franchise
agreement that is dated October 11, 1984.
B. By the City Council's prior adoption of various resolutions, the cable
television franchise agreement between the City and Time Warner was extended through and
including June 30, 2006.
C. The City has determined that the public interest would best be served by
extending the duration of the cable television franchise agreement, with such extension to be
retroactive to June 30, 2006.
Section 2. The nonexclusive cable television franchise agreement between the City
of Palm Desert and Time Warner Cable is extended until such time as a renewed cable television
franchise agreement becomes effective, or until January 2, 2008, whichever may occur first.
Section 3. Neither the City Council's adoption of this resolution, nor the acceptance
of this resolution by Time Warner Cable, will be deemed to waive or alter any rights of renewal,
whether formal or informal, that either party may have under 47 U.S.C. Section 546.
Resolution No. 07-11
Section 4. If the attached "Acceptance of Resolution" has been signed by an
authorized representative of Time Warner Cable prior to the City Council's adoption of this
resolution, then this resolution will become effective on the date of its adoption. Otherwise, this
resolution will become effective on the date that Time Warner Cable signs the "Acceptance of
Resolution."
PASSED, APPROVED AND ADOPTED at the regular meeting of the Palm Desert
City Council held on this day of , 2007, by the following vote,
to wit:
AYES:
NOES:
ABSENT:
ABSTAIN:
RICHARD S. KELLY, MAYOR
ATTEST:
RACHELLE D. KLASSEN, CITY CLERK
CITY OF PALM DESERT, CALIFORNIA
The undersigned, who is an authorized representative of Time Warner Cable,
acknowledges and accepts the extension of the cable television franchise agreement that is
authorized by this resolution.
TIME WARNER ENTERTAINMENT — ADVANCE/NEWHOUSE PARTNERSHIP,
dba TIME WARNER CABLE
By
Print Name Title
Signature Date
ORDINANCE NO.1133
AN ORDINANCE OF THE CITY OF PALM DESERT
AMENDING CHAPTER 14.01 OF TITLE 14 OF THE PALM
DESERT MUNICIPAL CODE BY ADDING NEW SECTIONS
14.01.082 AND 14.01.084 RELATING TO A SUPPORT FEE FOR
LOCAL CABLE USAGE AND SPECIAL PROVISIONS
APPLICABLE TO HOLDERS OF STATE VIDEO FRANCHISES
WHEREAS, the City of Palm Desert is committed to protecting public health, safety, and
welfare of its residents, and as such, promotes the use of the public, education, and government (PEG)
channels; and
WHEREAS, the City is actively seeking ways to maintain or reduce the cost of cable and video
services to its residents; and
WHEREAS, the City Council seeks to retain the franchise fee associated with the use of the City
of Palm Desert rights -of -way by cable and video service providers; and
WHEREAS, the City is amending Chapter 14.01 of Title 14 to keep consistent with AB2987
related to cable and video service providers.
NOW, THEREFORE, the City Council of the City of Palm Desert, California, DOES
HEREBY ORDAIN as follows:
Section 1. Chapter 14.01 of Title 14 ("Cable, Video and Telecommunications Service
Providers") of the Palm Desert Municipal Code is amended by adding a new Section 14.01.082 to read as
follows:
14.01.082. Fee for Support of Local Cable Usag
The City of Palm Desert retains the right to assess a fee paid to the City for the support of public,
educational, and governmental access facilities and activities within the City. The fee shall be one
percent (1%) of a Grantee's gross annual cable service revenues, as that term is defined in Section
14.01.170, or in the Grantee's franchise agreement, or in applicable provisions of state or federal law.
The one percent (1%) shall apply unless a higher percentage is authorized by applicable state or federal
law. This fee is also applicable to a state video franchise holder operating within the City, which shall
pay to the City one percent (1%) of its gross revenue, as defined in California Public Utilities Code
Section 5860.
Section 2. Chapter 14.01 of Title 14 ("Cable, Video and Telecommunications Service
Providers") of the Palm Desert Municipal Code is amended by adding a new Section 14.01.084 to read as
follows:
14.01.084. Special Provisions Applicable to Holders of State Video Franchises
A. Franchise Fee. A state video franchise holder operating in the City shall pay to the City a
franchise fee that is equal to five percent (5%) of the gross revenues of that state video franchise holder.
The term "gross revenues" shall be defined as set forth in Public Utilities Code Section 5860.
Ordinance No. 1133
B. Audit Authority. Not more than once annually, the City may examine and perform an
audit of the business records of a holder of a state video franchise to ensure compliance with all
applicable statutes and regulations related to the computation and payment of franchise fees.
C. Customer Service Penalties Under State Video Franchises.
1. The holder of a state video franchise shall comply with all applicable state and
federal customer service and protection standards pertaining to the provision of video service.
2. The City shall monitor a state video franchise holder's compliance with state and
federal customer service and protection standards. The City will provide to the state video franchise
holder written notice of any material breaches of applicable customer service and protection standards,
and will allow the state video franchise holder 30 days from receipt of the notice to remedy the specified
material breach. Material breaches not remedied within the 30-day time period will be subject to the
following monetary penalties to be imposed by the City in accordance with state law:
a. For the first occurrence of a violation, a monetary penalty of $500 shall
be imposed for each day the violation remains in effect, not to exceed $1500 for each violation.
b. For a second violation of the same nature within 12 months, a monetary
penalty of $1000 shall be imposed for each day the violation remains in effect, not to exceed $3000 for
each violation.
c. For a third or further violation of the same nature within 12 months, a
monetary penalty of $2500 shall be imposed for each day the violation remains in effect, not to exceed
$7,500 for each violation.
3. A state video franchise holder may appeal a monetary penalty assessed by the
City within 60 days. After relevant evidence and testimony is received, and staff reports are submitted,
the City Council will vote to either uphold or vacate the monetary penalty. The City Council's decision
on the imposition of a monetary penalty shall be final.
D. City Response to State Video Franchise Applications.
1. Applicants for state video franchises within the boundaries of the City must
concurrently provide to the City complete copies of any application or amendments to applications filed
with the California Public Utilities Commission. One complete copy must be provided to the City Clerk.
2. The City will provide any appropriate comments to the California Public Utilities
Commission regarding an application or an amendment to an application for a state video franchise.
E. PEG Channel Capacity. A state video franchise holder that uses the public rights -of -way
shall designate sufficient capacity on its network to enable the carriage of at least three public,
educational, or governmental (PEG) access channels.
1. PEG access channels shall be for the exclusive use of the City or its designees to
provide public, educational, or governmental programming.
2. Advertising, underwriting, or sponsorship recognition may be carried on the PEG
access channels for the purpose of funding PEG -related activities.
3. The PEG access channels shall be carried on the basic service tier.
Ordinance No. 1133
4. To the extent feasible, the PEG access channels shall not be separated
numerically from other channels carried on the basic service tier, and the channel numbers for the PEG
access channels shall be the same channel numbers used by the incumbent cable operator unless
prohibited by federal law.
5. After the initial designation of PEG access channel numbers, the channel
numbers shall not be changed without the prior written consent of the City, unless the change is required
by federal law.
6. Each PEG access channel shall be capable of carrying a National Television
System Committee (NTSC) television signal.
F. Interconnection. Where technically feasible, a state video franchise holder and
incumbent cable operator shall negotiate in good faith to interconnect their networks for the purpose of
providing PEG access channel programming. Interconnection may be accomplished by direct cable,
microwave link, satellite, or other reasonable method of connection. State video franchise holders and
incumbent cable operators shall provide interconnection of the PEG access channels on reasonable terms
and conditions and may not withhold the interconnection. If a state video franchise holder and an
incumbent cable operator cannot reach a mutually acceptable interconnection agreement, the City may
require the incumbent cable operator to allow the state video franchise holder to interconnect its network
with the incumbent's network at a technically feasible point on the holder's network as identified by the
holder. If no technically -feasible point for interconnection is available, the state video franchise holder
shall make an interconnection available to the channel originator and shall provide the facilities necessary
for the interconnection. The cost of any interconnection shall be borne by the state video franchise holder
requesting the interconnection unless otherwise agreed to by the parties.
G. Emergency Alert System And Emergency Overrides. A state video franchise holder must
comply with the Emergency Alert System requirements of the Federal Communications Commission in
order that emergency messages may be distributed over the holder's network. Provisions in City -issued
franchises authorizing the City to provide local emergency notifications shall remain in effect, and shall
apply to all state video franchise holders in the City for the duration of the City -issued franchise, or until
the term of the franchise would have expired had it not been terminated pursuant to subdivision (m) of
Section 5840 of the California Public Utilities Code, or until January 1, 2009, whichever is later.
Section 3. The City Clerk is directed to certify to the passage and adoption of this ordinance
and to cause this ordinance to be posted or published as required by law.
PASSED, APPROVED AND ADOPTED at a regular meeting of the City Council of the City of
Palm Desert, California, on the day of . 2007, by the following roll call vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
RICHARD S. KELLY, MAYOR
ATTEST:
RACHELLE KLASSEN, CITY CLERK
ORDINANCE NO.
1134
AN ORDINANCE OF THE CITY OF PALM DESERT,
CALIFORNIA, AMENDING TITLE 2 OF THE PALM DESERT
MUNICIPAL CODE ADDING CHAPTER 2.72 RELATIVE TO
APPEAL PROCEDURES TO THE CITY COUNCIL.
WHEREAS, the City of Palm Desert is committed to providing a fair and equitable process to
persons and/or businesses that submit applications to the City for review and approval; and
WHEREAS, the City considers establishing an appeals procedure to City Council for various
types of approvals at department, committee, and commission levels where the Palm Desert Municipal
Code does not otherwise provide for is a vital part of a fair and impartial approval process; and
WHEREAS, the City Council seeks to comply with AB2987 Section 5885(c)(4) amending the
Public Utilities Code requiring the adoption of an appeals procedure to the governing board (City
Council) of the City for denials of an encroachment permit application; and
WHEREAS, the City is amending Title 2 adding Chapter 2.72 in keeping with AB2987 Section
5885(cX4) related to cable and video service providers as well as to provide an appeal process for
permits, licenses, or other types of approvals not otherwise provided for within the Palm Desert
Municipal Code.
NOW, THEREFORE, the City Council of the City of Palm Desert, California, DOES
HEREBY ORDAIN as follows:
Section 1. Title 2 ("Administration and Personnel") of the Palm Desert Municipal Code is
amended by adding a new Chapter 2.72 to read as follows:
Chapter 2.72 APPEALS TO THE CITY COUNCIL
2.72.10 APPEALS TO THE CITY COUNCIL
A. Unless an appeal procedure is otherwise specified in this Code, and subject to
paragraph B below, any person aggrieved by a decision involving the denial, conditional approval,
suspension, or revocation of a permit, license, or other approval applied for or held by that person
pursuant to any provision of this Code may appeal to the city council by filing with the city clerk a
written notice of appeal.
B. Notwithstanding the provisions of paragraph (A) above, no right of appeal to the
city council from any administrative decision made by a city official shall exist when that decision is
ministerial and does not involve the exercise of administrative discretion or personal judgment.
2.72.020 PROCEDURE FOR APPEALS
A. No notice of appeal will be processed unless filed within 10 days after service of
written notice of the decision from which the appeal is taken; provided that if written notice of the
decision has not been served, the appellant may, within 10 days after being apprised of that decision,
demand service of written notice and will have 10 days following that service in which to file the notice
of appeal.
Ordinance No. 1134
B. For purposes of this section, service upon the appellant means either personal
delivery or placement in the United States mail, postage prepaid, and addressed to the appellant's last
known address.
C. The notice of appeal must specify the specific decision from which the appeal is
taken, the specific grounds for the appeal, and the relief or action requested from the city council. If the
notice of appeal fails to set forth any information required by this paragraph, the city clerk will return the
notice to the appellant with a statement of the deficiency, and the appellant will thereafter have five days
in which to cure the deficiency and to refile the notice of appeal.
D. The notice of appeal must be accompanied by such fee as may have been
established by resolution of the city council.
2.72.030 HEARING AND NOTICE
Upon the timely filing of a notice of appeal in proper form, the city clerk will schedule
the matter for hearing by the city council at a regular meeting, but not later than 45 days after receipt of
the notice of appeal. The city clerk will cause the notice of hearing to be given to the appellant not less
than 10 days prior to the hearing, unless that notice is waived in writing by the appellant. The city clerk
will also cause a copy of the notice of appeal and the hearing to be transmitted to the city official or body
whose decision is being appealed.
2.72.040 CONDUCT OF HEARINGS
A. At the time of consideration of the appeal by the city council, the appellant will
be limited to a presentation on the specific grounds of appeal and related matters set forth in its notice of
appeal. Appellant will have the burden of persuading the city council that the decision appealed from
should be reversed or modified.
B. The city council may continue the hearing on the appeal from time to time as
deemed necessary by the city council. The city council may, by resolution, affirm, reverse, or modify, in
whole or in part, the decision appealed from and may take any action that might have been taken in the
first instance by the city official or body from whose decision the appeal has been taken.
C. The decision of the city council will be deemed final and conclusive upon
adoption of the resolution. A copy of the resolution adopted by the city council will be served upon the
appellant by placement in the United States mail, postage prepaid, to the appellant's last known address.
Section 2. The City Clerk is directed to certify to the passage and adoption of this ordinance
and to cause this ordinance to be posted or published as required by law.
PASSED, APPROVED AND ADOPTED at a regular meeting of the City Council of the City of
Palm Desert, California, on the day of , 2007, by the following roll call vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
RICHARD S. KELLY, MAYOR
ATTEST:
RACHELLE KLASSEN, CITY CLERK
. . � ��� ��
� �;�►�� RICHARDS � WATSON � GERSHON
���C� ATTORNEYS AT LAW-A PROFESSIONAL CORPORATION
355 South Grand Avenue,poth Floor,los Angeles,Califomia 9oo7i-3ioi N n
Telephone zi3.6z6.8q8q Facsimile Zi3.6z6.0078 � -o:-1
d` 7-G
r
n�
c �
�
ornt�
Willlam B.Rudell {V rn��
November 15 2006 r`r'.,�"L
v�rtudell@rv+glaw.com �
N
7� 7o ft'i
_ --�Op
— - -.�
�; n T
t �C)
Ms. Sheila Gilligan — r" �
Assistant City Manager
City of Palm Desert
?3-510 Fred Waring Drive
Palm Desert, CA 92260
Re: Analysis of AB 2987 (Nunez)
Deaz Sheila:
AB 2987 (Nunez), adopted overwhelmingly by the State Legislature and signed by
the Governor, will become effective January 1, 2007. This bill is formally called the
Digital Infrastructure and Video Competition Act of 2006 (the"AcY'). The Act
amends the Public Utilities Code by amending Section 401 and adding Sections 440
to 444 and 5800 to 5960. It also amends Section 107.7 of the Revenue and Taxation
Code.
The Act was adopted in anticipation of telephone companies offering video services
to their telephone customers in competition with incumbent cable operators. The Act
radically changes the manner in which video services are regulated by replacing local
franchising with a state franchising system administered by the Public Utilities
Commission(the "Commission").
Persons Governed By The Act
The Act applies to any person providing video service. Video service means video
programming services, cable services, or open video services provided through
facilities located at least in part in the public right-of-way without regazd to the
technology used to deliver the services, including Internet Protocol or any other
technology. Video programming means programming provided by, or generally
considered comparable to programming provided by, a television station. AT&T's
contention that it did not need to obtain a local cable franchise because it was using
an Internet Protocol delivery system for its video services will not exempt AT&T or
other Internet Protocol video service providers from the Act. The Act applies to all
persons who use any part of the public right-of-way to deliver video programming to
subscribers. Because satellite television providers do not use the public right-of-way
RICHARDS �WATSON � GERSHON
ATTORNEYS AT LAW-A PROFESSIONA�CORPORATION
Ms. Sheila Gilligan
November 15, 2006
Page 2
to deliver video services, these providers will not be subject to the Act and will
continue to be exempt from local franchise regulation under federal law.
State Franchise Authority Granted to PUC
The Commission is given the exclusive authority under the Act to grant state
franchises to video service providers. ;C�o Comt�tis�ioe is�equired to commeaice
accepti��g applioations for a s�te fra�chi+�o no later thsu April 1,2007.R The
Commission is currently conducting rule-making proceedings to adopt regulations for
the processing of state franchise applications. The Act provides an expedited process
for reviewing and granting state franchises that is effectively ministerial in nature, as
compared to the existing local cable franchising process that permits thorough needs
assessments and extensive negotiations of franchise terms.
The state franchise application is limited to the following information:
� The legal name, address and telephone number of the applicant and any parent
or subsidiary company. -
• A description of the video service area footprint that is proposed to be served,
including a description of the socioeconomic status of all residents within this
footprint.
• If the applicant is a telephone corporation, a description of the territory in
which the corporation provides telephone service.
• The expected date for the deployment of video service in each area proposed
for service in the application.
• Adequate assurance that the applicant possesses the financial, legal and
technical qualifications necessary to construct and operate the proposed
system and promptly repair any damage to the public right-of-way. A bond
may be required by the Commission to secure these objectives. In its notice
of rulemaking, the Commission proposes only to require proof that the
applicant has $100,000 of unencumbered cash on hand or that a$100,000
bond is posted.
RICHARDS �WATSON � GERSHON
ATTORNEVS AT LAW-A PROFESSIONAL CORPORATION
Ms. Sheila Gilligan
November 15, 2046
Page 3
The Commission must determine whether an application is complete within 30 days
after filing. If an application is found to be incomplete, the Commission has another
30 days to determine completeness after the application is amended. Once an
application is determined to be complete, the Commission is required to issue a state
franchise within 14 days. The language of the Act indicates that once an application
is found to be complete, the issuance of the state franchise is ministerial, and the
Commission does not have discretion to deny a complete application based on
financial, legal and technical qualifications. The failure of the Commission to notify
an applicant of the completeness or incompleteness of an application before the 44th
calendar day after receipt of an application is deemed to constitute issuance of a state
franchise without further action by the applicant.
Prior to offering video service in a local entity's jurisdiction, the state franchisee must
give notice to the local entity that it will be providing video service at least 10 days
but not more than 60 days prior to commencing service.
Application of Act to Incumbent Cable Operators
The Act makes it unlawful to provide video service without a state or locally-issued
franchise. Any person who seeks to provide video service in California after January
1, 2008, who does not already have a locally-issued franchise, must obtain a state
franchise. Therefore, until January 1, 2008, incumbent cable operators, new cable
operators and telephone corporations still may seek and obtain a local franchise.
Incumbent cable operators holding a local cable franchise may seek a state franchise
that would replace the local franchise under the following circumstances:
. The expiration,prior to any renewal or extension, of its local franchise.
• The written agreement of the local franchising entity and the cable operator
terminating the local franchise on a date specified by the agreement.
• When a video service provider that holds a state franchise provides written
notice to a local entity that it intends to initiate video service in all or part of
the jurisdiction that is served by an incumbent cable operator,provided that
the state franchise issued to the incumbent cable operator covers the same
territory as the superseded local franchise.
RICHARDS �WATSON � GERSHON
. ATTORNEYS AT LAW-A PROFESSIONAL CORPORATION
Ms. Sheila Gilligan
November 15, 2006
Page 4
An incumbent cable operator that is entitled under the Act to obtain a state franchise
must continue to serve all areas required by the local franchise existing on January 1,
2007, until that local franchise otherwise would have expired. ��,a s�q
.fi�anchise g�ant�ed�a sti�tnc�t t�tb��operato�will ac�t bec�omo effective un6I
]anuaty 2,24Q8. In the�ae�time,the local entity may unilaterally e�tend a local�
fraachise that has �acpirod or will•expire prior to January 2, 2008,to that date on the
satne terms and conditions.
,A tt�►�-ia�ad:�c�►�i��i fvr l0 yo�a�nd i#r�cctewsb�€or e�ccessive 10-year L
tern3s.�Renewal of a state franchise must be consistent with federal law and
regulations. The criteria for a renewal are the same as for a new state franchise, and
the Commission may not impose any additional or different criteria. Denial of a
renewal appears to be limited to the ground that the video service provider is in
violation of a nonappealable court order issued pursuant to the Act.
Franchise Transfers
A state franchise holder must give to the Commission, and to each local entity where
video services are being provided pursuant to the franchise, 14 days prior written
notice of any change of control, change of legal name, change of principal business
address, transfer of the franchise to another person, or termination of the state
franchise in one or more service areas. Any transferee must submit to the
Commission the same information required of a new franchise applicant.<`Neither the�-
Commission nor tlie affected:iocal�tities have ann�+discretionary approval authority
-,.,..�...,..�.,...a.W.,.r.:..�..,�., �
over state franchise transfers or changes in control.
Franchise Fee Preserved
��:�aa�r�At�:�►roi:���.t�,�'s�'vi�o p�ovid�r of a stat� franchiee
�w:��#4'�.1-lc�caY<�Eit�`f�n:�fii e rovider is¢�eliveririg.�vic�, As authorized by �
• fed�xal4aw,the flanct�o fee is based op gross t�v�a�s:�The Act's definition of
gross revenues is broad and appears substantially comparable in scope to the
definition of gross revenues typically found in recent local franchise agreements. No
franchise fee is payable to the local entity under the Act,however, until the local
entity provides documentation to the state franchise holder demonstrating the amount
of the franchise fee paid by the incumbent cable operator. The franchise fee paid by
the state franchise holder is equivalent to the franchise fee paid by the incumbent
cable operator until the incumbent's local cable franchise expires or is terminated.
RICHARDS �WATSON �GERSHON
ATTORNEYS AT LAW-A PROFESSIONAI CORPORATION
Ms. Sheila Gilligan
November 15, 2006
Page 5
�,�-st�e framchiae=h4td�or�m�t pay to the locai entity a frsnchise fee of
;3*��v f�+�s s�voaues d+e,rivod firn��p�a ti ons in�ha�c�cal en ' thc locat �
�tity adopts an ord�nanc�setting th�fee at less th� o. E franchise fee paid to
the local entity may be used for any lawful purpose)
.'�'he o�iligat[r�t to p�y the stataa$anrhrisa fee comm�nces when the state franchise,
holdec bcglns�to�delivar video sc�rvices in the local c�ity� The �pa�rrne'nt��
however, does not need to be made unti��t d�•'�tlb�8+�rvie�er i��'pmvrded.�'
Thereafter, payments must be made on a quarterly basis to the local entity within 45
days after the close of each quarter. Not more than once annually, �posl dntity mayv�
:�c�#i�btr�n�records o�;a:1�o�#a'��'•���isC#��ns�that the r
fi'�t�,cbdse tbe i�c being paid pr�perl�f The franchisee must keep records of its gross
revenues for at least four years after those revenues are recognized on its books. If
the audit of the franchise fees shows an underpayment of more than 5%, the state
franchise holder must pay all of the reasonable and actual costs of the audit. If such
an underpayment is not found, the local entity must pay all costs of the audit. The
local entity may collect underpayments for a period of three years from the remittance
of the franchise fee being audited. As in existing federal law, the state franchise
holder may identify and collect the amount of the state franchise fee from subscribers
as a sepazate line item on the subscriber's bill.
PEG Channels
;�T�a�at�a��o���:i.l�S+�i�:to�s��t�;t��ublfo,Ed�tcedonal,o� �
;�overnmental�"P��"i''��. If the incumbent cable operator is providing four
or more activated PEG channels on January 1, 2007, the state franchise holder must
match that number of channels. A key requirement, however, is that channels must
be activated. Under the Act, a PEG channel is deemed activated if it is being utilized
for PEG programming within the local entity for at least eight hours per day. The
state franchise holder has three months to designate and provide the requested
channels.
The PEG channels are for the exclusive use of the local entity or its designated PEG
provider and may be used for noncommercial purposes only. Advertising,
underwriting, or sponsorship recognition is permitted for the purpose of funding
PEG-related activities. PEG channels must be cazried on the basic service tier. To
the extent feasible, the channels may not be separated numerically. Once the channel
RICHARDS �WATSON � GERSHON
ATTQRNEYS AT LAW-A PROFESSIONAL CORPORATION
Ms. Sheila Gilligan
November 15, 2006
Page 6 �
numbers are designated, they may not be changed without the agreement of the local
entity unless the change is required by federal law.
Once the initial number of required PEG channels is established under the Act, the
holder of a state franchise must provide an additional PEG channel when the
nonduplicated locally-produced video programming televised on a given channel
exceeds 56 hours per week measured on a quarterly basis. "Locally produced video
programming"means programming produced or provided by any local resident, the
local entity, or any local public or private agency that provides services to residents
within the franchise area, or any transmission of a meeting or proceeding of any local,
state, or federal governmental entity.
Any PEG channel not utilized by the local entity for at least eight hours per day
measured on a quarterly basis may be reclaimed by the state franchise holder until
such time that the local entity can certify that it has a programming schedule meeting
the minimum eight hours of programming per day requirement. Although PEG
channels can be temporarily lost because of insufficient use, there is no time limit on
when these channels can be restored to the local entity if the minimum programming
requirements are later met.
In addition, upon request by the local entity, the state franchisee must activate a
channel for carriage of state public affairs programming administered by the state.
The Act requires the holder of a state franchise and an incumbent cable operator to
negotiate in good faith to interconnect their networks for the purpose of providing
PEG programming. If the parties do not reach an agreement, the local entity can
require the interconnection.
PEG Channel Facility Support
The Act provides funding for PEG programming. If the incumbent cable operator has
existing unsatisfied obligations to pay cash to the local entity for the costs of public,
educational, and government access channel facilities or institutional networks under
its existing franchise agreement, the local entity must divide these cash payments
among the incumbent cable operator and any state franchise holder on a pro-rata basis
determined by the number of subscribers each video service provider serves.
RICHARDS �WATSON � GERSHON
� � A7TORNEYSATLAW-APROFESStONAICORPORAT{ON
Ms. Sheila Gilligan
November 15, 2006
Page 7
When the unsatisfied PEG cash payments of the incumbent cable operator are fully
paid in the manner described above, a local entity may by ordinance establish a fee to
support PEG channel facilities consistent with federal law in an amount not to exceed
1% of gross revenues. Notwithstanding this limitation, if on December 31, 2006, a
local entity is imposing a separate fee to support PEG channel facilities that is in
excess of 1%, that jurisdiction may by ordinance establish a PEG fee no greater than
that sepazate fee and in no event greater than 3%. The ordinance will expire,but may
be reauthorized, upon the expiration of the state franchise. The critical question is
whether the PEG fee may be used for both capital and operational costs or only
capital costs. The Act requires the fee to be consistent with federal law. Existing
federal law provides that the portion of any PEG fee used to pay for operational costs
may be offset by the operator against the 5% franchise fee. This provision has the
effect of limiting PEG fees to capital costs unless the local entity is willing to have its
franchise fees reduced by the amount spent on operational costs.
The incumbent cable operator must continue to provide the PEG support and to
provide cable services to community buildings required by its existing local cable
franchise until the later of the date the local franchise expires or January 1, 2009.
Emergency Alert Requirements
Holders of state franchises must comply with federal Emergency Alert System
requirements. Any provision in a local franchise providing for local emergency alerts
remains in effect and applies to state franchise holders until the later of the expiration
of the local franchise or January 1, 2009.
Right-of-Way Management
The Act preserves the right of local entities to managa their local right-of-way �
coaaiat�nt with the prc�v�sions of�ublic L�tili�i�s Code Section 7901.1 and t�o require
�����'�'�Y"��"�iriti'�tCtl�fri��i$4�"�'t�'i�igh�'-es�w�$y. Thus, local
entities may continue to apply reasonable time,place and manner regulations on
video service providers with a state franchise. The Act makes clear that the
California Environmental Quality Act("CEQA") applies to the local projects of a
state franchise holder and that the local entity is the lead agency for the purposes of
environmental review and the preparation of CEQA documents. The Act requires the
local entity to act upon an encroachment permit application within 60 days after the
completed application is received, unless the parties mutually agree upon a time
RICHARDS �WATSON �GERSHON
ATTORNEYS AT LAW-A PROFESSIONAL CORPORATION .
Ms. Sheila Gilligan
November 15, 2006
Page 8
extension. An application will not be deemed complete until any CEQA review and
documentation is completed. The local entity is required to adopt regulations
prescribing procedures for an applicant to appeal to the governing body the denial of
an encroachment permit application.
Enforcement of Customer Service Standards
�:�,c�t:se���ato,frt�wc�ist�a,tocaa�y.'�+ovlth tha custom��.c� .
standards cstablished by state and federal law. Local e�tities may not adopt thcir own �
:customer service standards. Local entities are,however, delegated the responsibility �
for enforcement with respect to complaints received from their residents. The local '
,entity ia required to adopt an ordinance providing a schedule of pcnalties for any +
material breach of sta.te or federal customer service standards.a The maximum
monetary penalties that may be imposed aze as follows:
• For the first material breach of a standard, $500 for each day of violation,not
to exceed$1,500. '
• For the second breach of the same standard within 12 months, $1,000 for each
day, not to exceed$3,000.
• For the third breach of the same standard within 12 months, $2,500 for each
day,not to exceed $7,500.
With respect to video service providers operating under a local franchise agreement
or license, the penalties provided above must be offset dollar-for-dollar for any
liquidated damages imposed for the same customer service violations under the
franchise agreement or license. If an assessment of monetary penalties is challenged
in court, the reviewing court will conduct a de novo review of the issues presented
rather than apply the substantial evidence test, which is more deferential to local
governmental action.
Coverage and Build-Out Requirements
��t��r�qu�e.a vi,d�s���c�xider tindet a state&ancluse to_match the
• . J., f
•,�avaae area of the inc����"e flpera�cu or otl�erwis�-serve the entire jurisdiction
�'�f�t'I�ical enrity. The Act,how e;prohibits a state fr�chisee from discriminating
�u�st or denying access to service to any group of potential residential subscribers:
RICHARDS �WATSON �GERSHON
ATTORNEYS AT LAW-A PROFESSIQNAL CQRPORATION
Ms. Sheila Gilligan
November 15, 2006
Page 9
�,�;9f��=of�th�a,�idents in t�e lacat a�in v�hicit tl�group resides.
The Act provides criteria for determining whether a new entrant is discriminating on
the basis of the income of the residents in their service area. Local entities may bring
complaints to the Commission that a state franchise holder is not offering video
service as required by the Act, or the Commission may conduct an investigation on its
own motion. Public hearings on the complaint or investigation must be held. The
Commission may suspend or revoke the state franchise if it makes an adverse
determination against the franchisee. The Commission is also given the power to
impose a fine not to exceed 1%of the franchisee's total gross revenue received each
month from the provision of video service in the state from the date of the decision
until the date that compliance is achieved.
��°:'€�-��.�i�����it�t��#�Te�►ti�c:�panies with more than onc �
�:m.iiliAn custori�9t f�Ctkl��' If the provider is deploying fiber optic facilities to
the customer's premises (Verizon), it must provide access to video service to 25% of
its telephone customers within two years of commencing service and 40%of its
customers within five years. If the provider is not predominately providing fiber
optic facilities to the premises (AT&T), it must provide access to video service to
35%of its telephone customers within two years of commencing service and 50%of
its customers within five years. The 40% and 50%requirements will not be triggered
until two years after at least 30% of the households with access to the provider's
video service subscribe to it for six consecutive months. The Act also specifies
circumstances under which a telephone company may seek an extension of time from
the Commission.
Potential Impact of Federal Legislation
Congress has the power to preempt the Act with the adoption of federal
telecommunications legislation. Although it is unlikely that federal legislation will be
adopted this year, there is a strong possibility that a telecommunications bill will be
adopted next yeaz. If the adopted legislation permits only a national franchise, the
Act will be preempted unless existing state franchises are grandfathered for a period
of time. Also, Congress has the option of authorizing video providers to secure a
local or state franchise in lieu of a national franchise. At this time, we cannot predict
the outcome of the proposed federal legislation.
RICHARDS � WATSON � GERSHON
, ATTORNEYS AT LAW-A PROfE5510NAL CORPORATION
Ms. Sheila Gilligan
November 15, 2006
Page 10
Local Action Items To Be Considered
The following is a checklist of action items that a local entity may want to consider,
depending upon the circumstances of its existing cable franchise agreement:
• Extend by resolution any local cable franchise that has expired or will expire
before January 2, 2008, to that date.
• If the existing local cable franchise has a franchise fee of less than 5%, adopt
an ordinance establishing a 5% franchise fee, or such lower fee that the local
� entity may want to impose that will become effective when the local cable
&anchise expires.
• Provide documentation to the state franchisee stating the percentage amount
of the franchise fee being paid by the incumbent.
• If the existing local cable franchise provides for four or more PEG channels to
be used by the local entity or its designated providers, make sure that the
� channels are activated with eight hours of programming per day by January 1,
2007.
• Establish by ordinance a PEG fee of 1% of gross revenues unless the existing �
— cable franchise requires a greater contribution by the cable operator, in which
case set the PEG fee at that level which in no event may exceed 3%.
• Adopt by ordinance or resolution an appeal procedure for denials of an �
encroachment permit sought by a state franchise holder.
• Adopt an ordinance establishing the state-prescribed penalties for violations of
� customer service standards.
This lengthy letter provides only an overview of a complex statute. There are
provisions of the Act that are ambiguous and will likely result in conflicting
interpretations. It is anticipated that a clean-up bill will be introduced next year to
further clarify the requirements of the Act. Although it is possible that the Act will be
challenged in court, our recommendation is to proceed with the implementation of the
Act pending the final resolution of any litigation or the adoption of preemptive
federal legislation.
,�
RICHARDS �WATSON �GERSHON
,� ATTORNEVS AT LAW-A PROFESSIONAL CORPORATION
Ms. Sheila Gilligan
November 15, 2006
Page 11
We would be pleased to answer any questions you may have regarding AB 2987 and
steps that should be taken to implement its provisions.
Very truly yours,
V�/.�:.. B �;,�u-
William B. Rudell
P6401-1030�932083v1.doc
-- ----- _. . _- -. - � - - - --- - - -- - - - :
CA Codes(puc.5800•5970) Pal{e 1 of 22 CA Codes(puc-5800-5970) Pege 2 of 22
PUBLIC UTILITIES CODE a„�=,vi�e�a .a.,n,= „=a.o,� a�.pio�,a.�, o� :n.,� ,���=.b.��.
(1� Providinq s ncu�ant�c�bl�ope�etor tAe option to a
SECTION 5800-5970 I ,�.�.-,�,,,.a :�.��n.;. «�o�an�ne P�..��,o�ot .».x,��.�o`�;bi•�t
t[�ncLiae D�tv��r.e c�ble op�c�toc en7�ny politicel aubdiviaion ot
the atate, tncluCinq, b•�t n t lintt�d to, e c��rt�r Ctty, c unty, o
clty�nd c unty, ia s • a�nti�l �lement ot cRa n w taqul�tocy
t�em�vork �at�bliaAednby�c�ia act • a�tt�[ ot atsL�viAe c nce�n to
5900. 1'hia a aRell G� knovn and asy E• cit�d ea tA� Diqitel b�at a •qual pco[ec[ion entl pa[Sty emonp proviCa[a enG � .
In:[satructur�tand ViC�o Comp�ti[von Act ot 2006. ���Moloqlea, • ��1L �a co ec�aev�cRn go>:a ac�ted Dy th� .
Leqtaletu[• Sn� �ctinp thta ect.
IE) It 1e c��ninc�nt ot c�• L�pialexu�e cA�t e vid•o a
SB10. Ie) TA�1� I�:etute tinCa and d�cls��a �11 ot t�e tollovin v=ovid�t a1�11 p�y s.CVjC: e Sxenc�if• f�•to t�a locel��nt�ty u"
q 9� hoaa ]urledlctlon a a belnq D+ov1d�G to[ t�e c ntlnu�d ot
I1) Inc�aoaan t�t:cn !or viG�o�nd b[o�dbend a a Sa s �t[��ta, puDlic f�tSllcl�a,3�nG o[��[ raq�ta-of-v�y of th• locel
y compe entity in otd�i to pcovid� ae�vice. TT�Laqial�[ute tecopnlz�a t��t
m o! �tetwide c n fot �11 of the lolloving [ lot�l �ntttt�a ahould b�Conpena�tad tot cA� u of CM public
e[�A� V:d�o�nd c�bl�na f ptovltl�n [oua ben�t•tao[o•all �yq�ta-of-wiy antl thet th� [r�nchlaa L�• v intend�C to comp�naete
. C�.i!ccntena tncludinq e a•to�Va�t�ty at M�a, public cr�m in tne 2orm of r�nt ot � toll, fimils[ to t��t vhich the t u[t
sntor educstion, anAaent�[t�i�w�nt proptem:np. [ound to b� �pproprtete in 9�nt�!�[be�e County T�xpeye[a Aaaociation
IB) Inc���a�d copDetatlon ln tA� cebl� �nd viC�o a •ctot . Bos[d ot 9up�ivsaota tor th�County ot 9�nt� Berber• (1985) 25'1 �
pcovidas c �:c�s c�oac�, lw�ca pti��a, ap��Ef tM C�l. App. 615.
� d�ploynentool�n cetton end Dro�db�nQ[�cAnoloqt�e, cc�et�a (c� It ia [�� tnt�nt o! t�� L�qlflature t��t collectiv�be[p�tninq
, �oba, end benetl2acsheuCa:i[o�ni�• omy. eqi�enentf b� [�ap�ct�C. .
IC) 7o yromot� camp�cltion, tr� atac� ahould�ateblaar • �E) I[ La tM int�nt o! t�a L�plal�tute thet tM Cetinitlon ot
acas�-�aau�C f��ncAia� �uc�o[izecton pio a chet allova market q�o a in cAsa tltv�aaon�hell t aulc in lxel �nciciea
pa[:icipenta to u � tBa1r n�tvorka �nC ayet�u to provad�vidao, utnt�ininputhei[ �xsa[inq l�v�l oC Cavenw t�om tcenc��a• teea.
v •nd b[o�tlbend a a to�11 [ aadenta ot th� at�ta.
��(D� Compecaclon to[•video a rvic� a�ould incra�a�opporcunlcaee .
� to[ proqr.mninq chac appeals co Celifornsa'a Gsveia�populacion entl
. neny culcutel c unittaa.
12) Gqial�t�on xo dev�loy [Aia n�w p�oc�aa aTou1C�dA�n ta tM 5820. 1�1 Nothanq an tAia dlvlaion a��ll b� ee.�e.e e eetiny e i
tollovtnq princlplea: e�t�d r1gAc �n��tai�-:anv�E Sisnch)a�by th� f�encTia�hold�[ or
;A� Creete a t�i[ �n0 l�val pl�yanq [leld tor �11 m�[kat ita �tttli�[ea t�et would Di�tlud� the st�te (rom e �ndinq [he
comp�titor� c�at dote not dl�sdv�ntep� ot edvant�qe on�ae�vice p�ov�alona tA�t �ateblta� th� tetma �nd conda[tona a! • t[�nchle�. �
piovider or cachnoloQy o oc��t. (b1 Nokrinq sn thia daVi�ton aT�ll b�c nat[ueE t eliminet� ot
� IB) Ploaot� cM uid�apteedna o t�e moat t�chnoloqicelly i�tluc�a c�lapAone co[Da�atlon'a ot Vid�o � vita p[ovid�t'a
ativancad cebla end vtAeo e [vlcaa•to �11 [eli[o�nta c�unlciaa an • oblaq�cloni und�[ �ny appliuble at�c� o[ t�d�[�: envvronm�ntal
nondia imin�ta�y m�. c�p�cdl�as ot aocloeconomlc aceCua. prot�tcion lava. Y�e lot�l �n[ity a��ll � f th� leeC �Qency for
, IC)cProc�<t loeel yove�tw�nt e�v�nuea antl eent[ol o!puOl:e eny�nvlrotu�nt�l [ unGer t�ia div»ionend may ia¢oae
. rtp�ta-ol-��y. � onAltlone eo mltip�tee�nvltoew�ntel tmpeeea ot t�e applieent'a u •
;D1 R�W��e mack�t ps[cic�psnta Co comyly v>tif a11 eDD>>���1• of t��publlc tiqAti-of-v�y thst mey D� �equiteA purauent to th��
c c p�ot�ction lava. Ce:tfotnia Lnvironmen2al Qusllty Ac[ (�iviaion 13 �co�ancanp vith '
�nlLl Co�pl�Mnt e[Totta to lnc�ese• v •atm�nt an DtoaCbanA 9ac[lon 210001 ot [Aa PUElic R�sourc�f COG�I.
- initase[�ctute antl cloa� tM diqac�l divtG�. �c) i�e holAet of • atat� t�entAta� a�sll no[G� deem�d e public
- (l� Contlnue e •nd mstnt�n�nc� of [h�D�lic, education, utili[y• aulc of p[ovaAlnq v1d�o a rvlc� unG�t tAlf divlaion.
end 9a��i�ent (PCGl�channela. 7�1a dlviaion a��ll not b�c na[[ued aa qcencinp wchoctty co t�c -
IG) Meinca�n ell �xiatinq�uiTo[ity ot tM CeltLorni� Publlc mmlafaon to t�qul�ta t�• i�[�f, t�[wa, enG conCitione ot v1Geo
- Utali2lea Com�iaaion s eateEl�aAed ln atst�and [�d�r�l etetutea. s�tylcaa, eac�pt sa�xpltcitly f�t tor2� in 2�ta Civiaion. ,
- (J) Tha pu�lic i eat ia beac a v�d vh�n�u[ltcienc funOa •[•
�pp[op[i�ted co tRenc n to p�ovlCa �d�qu�ta at�[t snd
a to eppropiaet�ly�and timaly Drotaaa �ppllcatlona ot vid�o
a•p[ovidara and to• e full coppli�nc�vatA cM r�quir��enta 59J0. [or puxDoaea of ihia divia�on, iM tollwing vorda reve the
otrtAia Gtvlaion. It i t���inC��t of th� Leqlal�tura tA�C, alt�ou9� follovinq m tnpa:
viC�o a •ptovid�[a e noc publlc utsliti�a o (el 'B�o�GD�nd'm�ana �ny�e[vic� d�fined�a broeGbenG in t��m :
' cAe c aA�ll collecc eny feee�utl+o�iz�G by t�la�dtvtaion in �nt[�O��el Commun�t�taona Cwelaavon inquiry puiau�nc to Sectaont -
cM a n�i and unC�r tha lam� taima �a lt collact� tsea Iro� l06 of cAa 7�l�caemunicsctona Act of 1996 IP.L. 101-101�.
•tf, al�ctrtc�l coipoiec�ona, gaa co�po[�tvona. telephone �b) "Csbl� oper�to�'• eny p�i�on or qtoup of p�[�ona 2��t
o�poc�tiona, t�leq�ep�co�poretiona, vater cotpo�etlona, �n�� �[y •ich�� ptovld�a c�bl� a rvlc� o c�Ele ayat�m enC dt[�ttly, -
- ct��t public utilacy D�ov:tlinq a rvlc�di[�c[ly[o cuatwMta o throuq�o •tlilv�taa,vo aiqnifac�nt a aat ln e
aubfctibera aub]ect to 1ta jut�adlctaon auch t�ac it Goaa not � t�bl� ayat�s�[or�t�aC otA�rvla� cont[ola o[ la [eeponalELe to[,
hup:l/www leginfo.ugov/cgi-bin/displrycode?sectim�uc&group'OS001-06000kfi1r5... ?113R007 hapl/w�a�v leginfo.cagov2�-bin/displaycode�secdon-pucQcgrwp�5001-05000&filr5.. LI3ROo7
-�
- CA Codes(pue58U0-5970) Page 3 of 22 CA Codes(pur.5800-59'70) Pa�e 4 ot 22 �
c�rouQ�eny a •n9en�nt, tAa m�n�qes�nt •nd op�r�tion ot s caEle G�tinitton do�a not Snclud� f17 any vid�o piop[�mmtnp p�ovttl�d Gy•
' ayate�, a t�fottA tn 9�c[ion 522(5) of Tttl� 1� of th�Untt�G mm�i�lel mobll� �e[vlce p[ovlde[a.ei�.e in l�ction 3221d) ot itt:•
5tec�a Cod��• �� a! ch�Untc�C st>c�s coC�, ox (21 vi6�o psoqc��inp Piovldad• .
�c� •C�bl� f rv1c�" ia d�ttMtl sa tM o -vey crenamlaalon [o part of, •nd v tvica t��[�naDlaa u e to e ont�nt,�
auCac�i��[a of eic��t vid�o p�oq[a�tnq, o ao[Ae[ptoq��inq anfo[vution, alact[onic m�tl, oC otT�[ f�tvtc�a o[tered�ove[ t��
•rVac�, antl aubacttbe� inteiectlon, if any, cMt v ��qutced Coc tM puDlsc Int�xnet.
' a�l�ccton o ot vld�o ptoq[��anq o other proqr�vwanp a cvice, fc) 'ViE�o a�rvlce p[ovider'eesna •n�ntaty p[�vidtnp v1d�o
ea f�t to�[� 1�•9ec[1on 522(6� o! Tit:�`1� of CAa Un1[�tl 92et�a Cod�. ��[vsce.
;a� •c.e1•ayatee' ia d�[ined sa a�c toit� in J�ccion 523;�; ot
r,�i. +a oe cne o�i�.a su:.,coaa. se�o. t.� rn. � enio� .e ene ,oi. [[�nc�latnq.�sno�,ey :o: e
(.) ^co�iea�on^a ,cne Poellc vcllln�ea eomm�eaaon. ec.c. iv.ncni,. co peowa.vna.o a vvic.una.r cnia aiviaion. M.icn.: �
- �ei •r=.��n».• � ., .� .�,c..i e��non:.uo�, or : �.i ot . cn.coe.i.,e�on� .�y ioosi fnncAtaanq.ncicy o ocn.� io�.i
.�ceo�,:.c�oo, , �.a ey e r:.�on,���y.nc�cy, ns9e.eio��ot�n.cn.� ucy oe cne �uce m.y:.y�:�. cn.eoia.� o: . ,c.c. ere�on... co
tn� �utToxlzeti n�ia daaiqnated e n t�enc�laa, p�[m1t, licenaa, obt�ln a a�pe[�[e t�encAie� o ot��tvia� lmpoa� �ny r�Qui��m�nt on
• •aolutioc, con[�ect, ca[vta[e� eqteem�nt, ot���vis�, CAet •ny holtl�t ot a atet� tr�nchlae a c�pt ea •xpt�saly p[ovideC tn thia �
•uthoriz�a t!��c natructlon�nA operatton of eny n�tvo[k ln t�• tlivlelon. 9�ctiona 53066. 53066.01, 5J066.2, nnG 5706f.J of the
tiqht-ot-v�y cep�ble ot D�ovidtnq vitl�o a�rvic�to aubac[ibere. Gov�[w�nt Cotl� ahell not aDDly co�olde[a of �at�t� [renc�iae.
- (q) "Fr�nc�l�• [ee' p�pna the [ee adopi�d pu[au�nC co S�ct:on Ib) T�� sppllcataon D�a�» daac[aWd 1n tAia aectlon entl the
� SB10. �ut�o[ity q[�nteC to Ch� c und�r CAta aection aAell not �
��1 •Locnl fr�ncAialnq enti2y'm e t�e city, c unty, clty pnd e •�A cA�provlaaona a�t fo�t[A lnnthia aactton.
ur.[y, or ]oint pove�a euthocity�ntitl�d to [aquire t[ancAtaea and xcic) My pe[aon o[ otpo[atvon vAo aeeRa to p[ovide vidao a t c•
tmpo�e f��a o cable ope[�coia, aa aet !or[h in 9�ction 53066 0( t�e tn thta a[�te to�vn.�n s (c�nchia�R�a n e1c�aQy b��n ia u�d�,3
Gove<<ue�nc Cod�. •tts� .l�nu�ry 1, 1008, aAell til� e �ppllt�tion for � at�C•
- (t1 'Holtl�t"m s peraon ot q�oup ot p�[aona thet Asa G��n t�snc�i�e vit�the c aalon. 7M c�laaion s�y S�oaa• n the �
u�O e atet� t�encAl�• troa tTe co�mlaafon purauenY to cAia �ppltcant [�ac fhelL�not�acand cAe ectual enC x nsbla[oa[a ot
tliv pro eninp cA� �ppllcstion end aAel: not b� levi�C�tor 7ene[al
1}lo'Incumb�nt cebia opete!or'aea cebl� oD�r�toi or OV9 i �nw pu[poa�f.
•xV�ng au0ac�sb�[a undac a ttsnchaaent n pa[ticul�e city, wunty, eVid/ No p�zaon o oxpoxeiion ah�11 b� �liqibl• to[� atet�-Saeu�d .
o ctty�nd c unty t�enc�iae e n.1�nu�ty i, zoa�. :�.�on.�., ,��i�aa�a�.f[�nchia�oD[eln�tl ![om ren�v�l o[ L��nal�t ot
C �k1 "Loc�loenttty'meen�any ctty, c unty, city�nd county, or n�xl�canq f[�ncAia�, 1t chet pacaon or cotDoiecion ta an vtol�caon
� )oinc pw�cs �uthor�cy vi:�an cA�at�ca w�c�:n�I+oa� ]ux�adaction• ot eny ttn�l nan�pp��1�D1�ortle[ [�lettnq to�lt��c t��Cebl•
�olde[ of � at�t• ti�nc�tee unEet [Ti�Givveton mey p[ovida csble S�lwinion�nd Video Provld�[Cuatom�r 9ervite enE Inlotmstion Act
, � ��d�o � , IArticl• 7.5 �comenciny vst�9actlon SJO5/1 0! C�ept�r 1 of P�r[ 1 �
��11e'YetwoiR'm component o1 e tecillty t�aC 1 vrolly o et Divl�lon 1 0!'fitl� 5 0! [h� Gov�t�uent Code) t t��Vid�o
pettly p�yatcelly locetaC vlthin e public r1qAt-of-v�y anG thet la Cuatam�r 9ervlc�Act (Aiticl� 1.5 �co�n�nc�nq vtch��ction 530El1 of
a�d to p[ov1Ge vitl�o aaivtc�, cebl� ae�vlc�, volc�, oc Det• C��pt�[ 1 ot P�r' ! of D3vfaion 2 ot Tatl• 5 0! t�e,'.overnm�nt Cotl�).
�� �m)•'op�n-vidao�y�tem" 'OV9•m :�oa� � vicea a�t to[t� in (�1 T�� �pplic�cion Lot s et�te t�sncAta�a��ll b�aeC� n a [om �
� s�ction 5�7 oC T1t1� 1� of tha Vnited•9t�t�a CoE�•` praacriWtl by tM�commaa�ion anG aA�ll inclutl��31 of c�� followinq:
(nl •0�'S op�r�tor' na eny p�ta0n or proup ot peraona tAet �
•ith�r D+oviC�� c�bl�a�tVic�o open-vvC�o ayat�m di��ctly, o[ I1) A� �tttd�vit, fiqn�d untl��p�n�l[y ot pa[)uty by s
[AiauqA o elflliatae,Vou alqnitic�nt tnt�r�at ln• o[flc�t o Y nothei p�taon sutho�lz�d to btnd [h��pplicant, tR�t
� opan-vltleoeayat�at�oi t��c ot��rvsa� contiola o[ i� ��aDonaihl� foi, etticros �ll•of cAa follovinq: ,
[Aiaug�eny e snpee�nt, c��s n�q�ment ot e op�n-vid�o fyat�m. lal T��t [M �pplic�nt h�e t�:ed o[vill t�v�ly tila with cM
(01 'Public`tipAt-ol-��y'm a th� • slonQ end upon�ny puD11c F�d�cal Com.untCattona Comlaaion ell to�ma xequt[�Q by th�h6�c�l
i o�d or�14Avey, or�lonq ot �cioaa �ny of t�e vet�tf oi l�ntla ;omwuNtetlona Cc�miision b�to�a off�[inq<�bl�a�ivic� or viC�o
vith:n c111 atste. [vlc• 1n tllts �tec�.
(pl '9tet• Cc•nchi�•' meana s tcencAta� c�at la .eawG pucsunnt to • 161 Th�[ch•�D➢»csnt o ai� �ftil-�tea �px•ae to comply vict�a11
t�:a tlivlfion. t�Ge[el �nd etec�atetut�a, rulea, nnG iequletlona, 1ncluCinq, Du[ .
!q) 'Subacrlber' ���na s p�taon vho l�vfully tecet��a vad�o no[ 1tmlteC to, t�� lollo�snq: �
sec • t[om tM lfoldec of �atst� tsenc��se toT s fee. 11) 1�et�t�m�nt th�t 2r� eppllc�nt vill not tliec[1Ranec• 1n tA�
(i� •Vfdeo p[oqte�vnq'meen�proQrueminq provtC�d by, ot p[ovlalon of vidw or cabl• a�[vacaa �a ptoviGetl in Settlon 5890.
q�n�t�lly conaltle[�d cosps[�Dle to pYoq��mminq p�oviC�tl by. • (111 A atat�m�nt t��t th� �FPlac�nt vlll ebiC�by�11 epplateEl•
- x�lWla�on btoedcaet atation, t 2ortT 1n 9ec2ion 52I�20) ot c n�utwt prot�cclon l�va �nd rul�a �a p[ovided in Sacsion 5900.
� Yttle �� ot tAe United 9tatea Cotl�• � (111) A atet�m�nt tAat CA� aDPl3unt wall re�ic t�s f�• taqutc�d
(a) 'VyC�o a e vidao pYoq��mmtnq narvlc�a, cnble by aubdivtelon �e� ot 9�ctlon 5860 to t�e loc�l �ncity.
. r oVSea •D�ovlO�d tT�oupT fecillclea loc�t�d�t lesat (iv) A ft�tem�nt [het the epplieent vill provtd� PLG c�annela �nd
n�per[ in DubltcCr�qAta-ot-�ey vlt�out [�p�rtl to G�l1va[y [�e �equired [undinq�a r�qulted by Jection SB�O.
_ec�noloqy, inclueinq Inca[n�t p�ococo] oi otl:er t�c�noloqy. TAa� lC) :��t cM �ppllc�nt epreva to comply vStA a:l l�vtul clty,
hvp�l/wwwleginPo.ca.gov/cgi-bin/displaycode°secdm�uc&group-03001-06000kNr5.. 7/1320D7 I hdp�//wwwleginfo.c4gov/c�-0in/3syleycode^section-puc&group�5001-06000kfilr5 . 7J13/2007 �
I '
— — — — — -- -- — — --� -- --- ---- — -- — —.—. — — .—. .__
_ _. .- - --. _. _. . - -- -- - -- - - - - - -- ._ _.. - -
� - _ ._. _ - - - _ I
CA Codes(puc:5800-5970) Pege 5 of 22 I CA Codes(px'S800-5970) Pege 6 of 22
���y, o �,cy.�a � u�cy �sy��ec�o�� rey.�a,�� cn. c,m., vie�a, e�a ot cn. :oiio���q:
, enn�r ot[u tnp tM public �1qAta-ct-v�y, includtnq, but not limsc�d (11 A gc�nt ot �ut�o[ity<o pcovld�vid�o�aivic• :n:Ae ae[viGe
to, peyment�cf�pp1:c�D1��nc.cecM�anc, pe�mit, sntl tnap�ction feaa. a e footp[tnt • ��quvat�tl in th� eppltcation. '
•;2) A prant ot sutho[ity to u• [A�publlc rlqAta-ol-wey, tn
' ID� TA�Y tAe epplicent vi:l c n:ly Oeltv�r a coDY ot tha xtheng• [or cM fi�nchia� fe� alop[�d under nub7ivie>on �q), �n tM
epDlicec�cn to�ny loc�l •nticy v�nie t�� epp:lc�nc wall D�ovsG• d�liv�[y o1 vid�o a fup7�ct to tAs : ot [Ata �c�t�.
a IVlce. !31 A�tatam�nt [A�Let��ql�nt Ot sYCAOLlty 1! aubJec[ CO lewlul
e 121 '�e aDPlicant'a leqel n enC eny n und��v�3cA cAe op�r�tion ot t�� c�bl� fe[vit�or vltlao aetvtce by tS�appltunc oc
, �pplicen:Qoaa o v�11 Eo bva�nea> >n tTa� atate. i int�reat.
�3) Th� .ae�.�e end t�lepAon�numDei ot [h��pPlic�nt'a p�incipel C�(��CThe�at�t� tr�nc�l�e i u�d by th�CovOtaaion ney b� terminet�E
plac� ot bua�n�sa, elonq vtt�contec[ infotmatlon fo[ 'A�pa[acn by[A�vvd�o� •proviE�r�by aubmlttinq�t l��at 90 d�ye p[to[
�eaponaah:• to[ anqoinq c cnciona vith<M Q�psLtm�nt. r[it!an noticeetoltuatomeca, loc�l �ntitila, end t�e c anlaeion.
� (1) T�e nem�a enG t:tl�a�ofttM epplicent'a p[intlpal olticarf. (kl It i unl�vful to proviC� vid�o a�tvlc�ritAouC�� st�[a ot
�5� YAe l�q�l n eGtlt��e, �nd t�lephon�numDe� o[ tA� �pplic�n" locally iaaued (r�nc�ta�. -
a D�ten[ company, ��ny. �:) Sub]�ct to th�notic• [�qu1��a�nta ot t�ia d�vseton, • atete
(61 A deacription ot t�e vid�o a • footprint t�at i ncAta�puy b� ttenafe�r�C to�ny a c�faor i tn[e[�at o[ th� ,
' p[oyoaed to b� a vad, • i0�ntifi�tljbyc� coll�c[�on o! Unitad 9tat�a holtl�r to v�Sch t��t�cti[ic�[• i [iqinelly qY�nt�tl, proviC�G t�at
C�naua Buresu Block numb�re 11J tlipit) o e qeoqcep�ic intocm�t�on [h� t[anatec�e tiLat aubm�ts sll o1�c�� lnfoxmstvon teq�l�eC ot t�e
ayaC�e Atqacel boundety w�tlnq o eedanq nattonel m�p e recy epplic�nt by [Aii a�ction to t�e covmi�aton. -
at�nds[da. SAia d�actip[lon aA�ll lncluda t�� a Ca[etua (ml In c ac[fon viCA, o onAition of, t inq� �t�te
' into[metion ot all teald�n[a vttAin t�e a rvic��• •Clootp[int. tr�ncAie�, tM coamaaaton aA�11�i�Qutc�a ho1Qn[ tocnotvty CM
I�1 It the eDO�+c�nt 1� s tal�p�ona eorporatloen•ot• •ffalt�ee ot om�l�alon �nd�ny apDlic�bla loe�l �nticy vvcAin 11 buaan�aa daya ot �
- s t�lepAona co[poration, ea tletin�d ln 9�etlon 2J1, •d�acYfptlon ot •ny o1 tM lol3ovinq c�enq�a involvinq tA� Ao1G�r or tA� atate
t�� ce�cico�y , �ni�n ch�compeny provtd�� t�1�pAan� a . iA� trenc�i��:
d�acc�p<ion aAa12 �nclnEe�ocloeconomlc ft�tua info[Wtlonlof ell I1) My ttenesGt�on i volvtnq�cA�np� in t��o rahip, -
r atEenta wt!Atn cA• t�l•phone cocpotetion'a a�tvic• taretcoiy. op�retion, Control, o o[poist� oiq�nvzetaon of ch�•holCer,
• (e) TA� �xpact�tl det� foi t�� deDloyv�nt o[viGao a�tvic• in�ech includinq e e�y�[, s ptqutal[lon, o orqeniz�tton. '
o[ t�e s iG�nttti�d tn pn[�q[>y� (f�, �Z) A ch�nqa Sn tM ho1G�r'a leqel n � C�e sOoption of, o
�91 Ad�Que!�e a t��i CM �ppllt�nt poan�aa�� t�� flnanciel, c��nqe to, �n saaumed Duatn�aa n . 'fh��older aAell auEuit to t�• .
� leqs:, �nd t�cAr.ic�ljqusli[icetlona n •ty to c nat[uc[ enA c aalon s •rtifieA Copy of eit��� of [h� tollovtnq: �
op•ce:e ch•D�ePoa�tl ayecem antl prospcly�e�p�it any dem�ya co ch� IA) T�e p[opoe�tl.o.nCm.nt to cre et�ce tr.nc�tsa.
puDlic [tqht-of-vey c a�d by t���ppllc�nt. To�ccompltah tA�a• �BI Th� certilicet� a! • ue�G bwlneai n .
requir�menta, CM c ney requir� s Eond. (J) A c��nq• in t�e ho1C�['a pcincip�l Eue��» �ddi�sa o n t�e �
I!1 t�e c .�mey3r�qu1[� cAet • o[pox�tion vsth uholly of cM pecson nucloctx�C co c�c�av�nocica on Mhalt otCtT•
n�d aubatGi�ri�a o e[tiltet�� i •liq>bl� only foe e ainql• hold�i.
' cet�-ta�u�C t[ancAta��nd pto�lEi[ t�e holtlinp ot multipl• (11 My cr�nf[e� of tA� atet• t[enchia� to a tnter�at
' ft�ncAta�a t�rouq�a�p�[et�eubeitli�it�a o afftlist�a. T�� of th��o:d�[. Th��old�t �n�ll 1A�ntiCy[ha aucc�aao� tr, twc��eet
o�y eateEl:�h p[ocedu[�s to� p holtl�t ot a�tec�-iaau�tl [o�h1cA th� [r�naC�t t m�d�. �
trenc�i�anto wan0 �ta ![anthts� to r�tlecc ch�nq�a In lta a�tvice �5� Yha x in�tlon of�ny at�t• t[�nthie• 1 wd undar th�a
, • CLviaion. 7h�fAoldet aMll 1C�ntify bot�ot the�Collo�inq:
re19' Tha c aAall c teptinq eppliutiona for e IA) TAa numb�r of cuftom�rs in th� a�tvlc� �i�s cov��ed Dy t�•
et�te f[anchl�,no�l�tei t�an Ap[11•1sC200'1. atet• trenchia�beinq ta[m1neC�C.
i 1�) (11 7M cwatfaion fA�ll notify • epplicsnt toc • atec• (BI TM nat�od by vAic� [he�old�['a cuatom�[f v�[�notiti�C oL �
frenc�iae and eny�t[ect�tl local a titi�a v��tMc thn epplicanc'a tM c�rmin�Cion. �
epDlicetion i omDlet� o osplet�Defo[�th� IOtA calende[ E�y 16) A cAenp� 1n o ot t��� rv1c� a oL c�ia G1v�aion
' •[t�[ the aDolicant aubmtta3tA� �DP1�catlon. tAst vou1C 1 r d�cras�� [A� t�rrlto�y vitAln t�� a
12) It tM comuiaalon tinda tAe epplication i compl�[a, tt aAall . Sha�oldexea��ll C�acc1D�c��n v DounO�ivee ot t�e at2�ct�0 i
et�te ![sncAia�D�tor� t�a l�th cal�nde[�C�y eft�t tAac � rvic�• •[t�[ tA�D�opoa�d c��nq� 1a metl�.
tinding. (n) PrloY'to oft�ilnp v1E�o a rvlc• 1n e locel •n[\ty'a
. IJ) I[ th� commia�ion ttnda tAet tA� epDlicstton i acompl�t�, i[ ]utladattlon, tA� Aold�t of�ata[e f[anthlaa aRall notity tM locel .
e��:] spti[y vttr p�rticula[ity tM lt�ma in t���pplitetaon ch�t •ntlty tAat [M vld�o a e provld�r vlll provtda vitl�o a e tn
ompleta enG pe[iat tA��DPlic�nt to a end tM aDDllc�tton c tM loc�l �ntlty'a ��:i,ei�c,o�. rne not3c� ahell ba given atll�a�:
�ny O�f1cl�nty. Th� c ah�ll ��v� ]0 t�l�ntl�� Esya f[o� 10 tl�ya, buC n • cAen fi0 G�ya, b�[or� tAa v1d�o a�ivtc� p[ovid�t
th�•dsi�!�e apyl�c�tlOn >a emend�d to d�te�m1M 1ta conpl�t�neaa. b�Qina to offet a '
(�1 iM t�ilure ot C�e commlaalon to notity CM epplltent ot t�• lo) My Vitl�o a •DiovtC�t c��t c n23y ho1Cf a tt�nc�iae
ompleten�e+ o cov.pl�t�n�sa of [Ae npplacacion b�for� t�e��t� vit�• local t[ancAlainq �nt�ty t ncStl�d to ae�k• c�ts lr�ncAlae ,
cel�nGe� C�y att�t c ♦tpt ot n �ppllc�tton aAell b�d��m�d to n th�• e Geaipn�tetl in cT�i t�encAfa� u0on m�etinq eny ot tM
' natituc• i uance ot tM c�[tlticet�appli�d [o[vitAout tuitM� follovinq•condatlona:
•ctton on b���lf ot the�pplitent. 11) i�� expar�taon, prlor to sny ��nevel or ext�naton, of �t� .
!tl TAa at�te t[encAla• iaaueE Cy tha commtaeaon a��ll cont�ln sll loc�l tienchia�.
� hrtpJ/www.leginfo.cdgov/cgi-bin/dispiaycade?seaion-p�c&group�5001-06000defilr5... 2/13R007 hdp://ww�v.leQinfocdgov/cp-bin/Qisplrycode?sectiort�ud4group�5001-06000kfile=5... 7/172007
I
� CA Codes(puc:5600-5970) Pege 7 of 22 CA Codes(puc:3800-5970) Psge 8 of 22 �
(11 A mutu�lly eqr��d upon tl�te ��t by botA cM loc�l ft�ncAlalnq a pxov�dex a �ol�cion ot •ny tin�l non�pp�al�b1� cou�t
•ntity �nd vitl�o a [vlc�provlG�� to t��min�t� th� f[�ncAla�p[ovlded o�d�r<i�au�A pu[au�ntnto cA1�Giv=slon. '
� . v[ltinq by bocl:eps�ci�a to cA� c�laaion.
n �JI ll�en e vldeo a�rvvice p[ovtdei tA�c holda � atet• l��nc�iaa
p[cviCea th�notice tequlr�7 Ou� ent to aubdiviaion (m� a loc�l
7u[�adict�on tnec 1t vnt�nCa to inatt�te provldinQ viE�o• • ln SB60. (s) i���o1E�� oL a a[ec� t[enc�ia•CA�t of(ers vitleo
ell or pe[L of [h�t 7urlaCtction, e viEao a rv1c�provid�c•operstlnp tv1c�witAan cAa �uraadlcCion of tha loc�l enti[y a��ll celculst•
� under e fxencTie• a ��tl Dy s locel t�enc�i�inq�u[Aorlty m�y�l�c[ �nd r�m1t to th� loc�l �ntlty s at�t� 1r�ncAla• C��, �dopt�d purausnt
to obtetn � atat� f��nchla� to [�pl�ca ita loc�lly i u�G t[enc�ia �o �ubGivvalon �q� of D�ction SB10, a ptovid�C rn thta a�ctson. Yha
T�e tr�ncA�e• i ueA by tA� local t�enc�iainq�ntaty�f��ll t�rminet• oblip�tion to r�mlt tA� tt�nclflae [�� to a locel •ntity beqlna
�nd b� [�plec�d�by s et>t� ! nc��s�vMn ch� at�ta ls�ncAtiainq l��di�taly upon yrovlaion o! vltleo a rvlc�vi2hln thsC locel • ciCy' ,
, sutno�vty t s[�t� 2[�ncAia• tor th�viGeo a rv1c�ptovid�r > >��ieai�c,o�. xo�.�.:, cn. temltt�nc� a��ll n c b� Eus until cM
t��t ir.cludeautAas�ntiia e rvlce a ��tl by th�vid�o a�rvlc• �lue of CA• [trac qus[t�tly p�y�ant [aqul[�C untl�t auEdtviaien Ip)
providei enG cAe viC�o s • p�ovQ�[�nota(laa cM1� loul�nttty cA�c ]a et l��at 1B0 d�ya �ftat tAa pro ot a [vlca b�pen. TAe
c�st it vill beqin pioviGingCvideo a�tvic� in thec �res unA�t a aC�te 1�� sitted [o�city o icy�nd c unty�f��l:b�•b�a�C on qro •
� tienchaae. f d�lined i aubdivlalon cai, a.rivee ttom CM p�oviaion �
fpl NotVitAatendinq any riqhta to tA� con[�ery, • ncumb�nt c�bl• otVvatl�o a vSt�la tAat]uclaAtctiop, TA� ta� [ msttal co e
op�i�toi optvnq into• cat• t�anc�ia� und�r [hla aubdtvlaion aAsil unty a��11VG�eb�s�C on qrofa i �nuaa • netl�itAin Che
ontlnua c all e �equat�d by ita locel ![enc�i�a orporet�G• of t��c untyV No f��•und�r Lhva aectaon aAell �
•qie�ewnt e tetinq on J�nuery�l, 200'1, until t��t locsl f�enc�iae bacom�dw unlaaeat�e loc�l �n<ity ptovidee Cocu��nt�t.on to tM -
� otAetvia�voultl��ve explretl. Nowv��, an lncuvb�nt cabl�op�[�to[ ��1G�r of t�� atat� trenc�iaa aupDoittnq t��p��c�nt�pe pe�d by cAa
' tAat : elao s celep�oM co�por�tion vtt� l�aa cA�n 1�000,000 lncumbant cebl� oDetecor e vinQ tM • vi[hin tA� loc�l •ntlty'�
t�lepnom c n c�lito�nis�nd la ptoviClnp viG�o��[vsc• in 7uriadicclon, sa p[ovtG�d b�lov. TM te�sah�ll E� celculet�G a
ompeciclonUu�tA�noth•[ �ncumb•nc cabl• oyexacox shsll no<b� p�[c•ncsp� ot c��nold�r'a profa [�v�nuaa, •a d�tin.d i euDday.eion .
� i�qutted to D�ovid� aervic�b�yonC t�e e��e tn�n,�n 1t ta p�ovlAinq �a�. rn. f�� t attt�d [o tA� loul �ntlty pu[ �nt co CAle aection
vi0�o e o[ J�nusry 1, 200�. msy b� ua�G PytM locel �ntlty foi eny lwtulupurpoae.
lQl (11,1'Mte la M[nby adopted� atec� t[�ncpla� fne p�yshl� • Ib1 th�et�te 2fanchlf�fe� a��ll W �p�rcenLsq� ot cl��holder'a
•nc o s coll for tA�u ot cA�public r1qAc-ot-vsy by�old�ca ot q[oaa t a d�lan�tl in euEGivlalon IG).
tA� lcet� Lr�ncAi�� i u�d yutauenc to cA1a Cav>aion. Th� �m unt of (c) No•local entacy o •ny ocMc policic�l aubdlviaaon ot cAia �
cM atet� lrenc�ie• fee aA�ll ba 5 p�r ant o[ qro acate mwy d�vunG�ny�dditton�l t��a o crr.ty�e oc��: ��mune�etaon
I defin�G in aubGiViaion ltl) of S�ct3on 5860, oi [M�p�i�nt�q��pp11�C of �ny kintl t�oq t�e Ao1C�t of �atst�ftt�nc�laa b�a�C aolely o tte
by xh� locel �ncicy co cAa q[oaa � ot xM lncumb�nt c�Cle ���cua s •p[ov1C�� ot vid�o or cebl� a�[vacea oc�er t��n e f�c
� op�r�toe, 4AvcAWet ia l�aa. :t t��[enla no inc4mban[ ubl� oD�+��oe tort� in�tA10 division�nC m�y not d�m�nE YA�u ef any othec
. uDon tN�xp�retion ot cA• i�cumA�nc e�bl� op���cor'a t[�ncAia�, c�lculntaon m�t�otl or d�tinicion of Qto a r�venu�a. xovw�r, nochinq �
CAe e unt ot tA� a[ete t[ancAia• [�e ahell De 5 p�rcent of pcoaa ln thl� aection sA�ll De c n�truad co liste • loc�l entity'� ebill:y I
a C�fineA ln�ubtlivtelon Itl) of S�ction 5860, unl��a tha to lmpoa utlllty u r tax�a �nd o[��t yen t�lly eDGl�cnbl•
� loc •ntlty edopta ortlinenc� a�[[inq th�emount ot t�� f�enc�lae . enG therq�a und�[ otAar eppliceEl�p[ovialons of ec�te lev thet
- te�•et l�aa t��n 5 p�[<�nt. er��epplled in�nontliecrlmin�[ory and comp�ctttv�ly n�uti�l m�nne�.
f2) (A) T�� atet� 1t�nchl�� fee aAsll �pply�quelly to ell vid�o
a e pcov�C�ca an cM local encity'a �v:.�a��c�on. iai To[purpoa�f ot tTlf a�c[ion, [�� [ern'qeoaa r v�nu�a"m�
� ' (BI Notvit�atandlnB»Ps[�qi�p� fA), t! t��vid�o f vic• ell r �ctually r�c�lved by the notae� of •etet�•trencAi��,•u I
, provid�i ia lesainp • e to s n�tvotk o md by• localr�nCity, [Ae e.c.�.i�.a i to[danc�vit�qm�[�lly e cept�d s untinp '
loc•1 a xicy my e�c ac[[nnc�ia• L.� foc a a co cM n�cro�k pclncipl�a, c��c 1a tl�t�vd ttoi tA�op•x�tion of tT�rold�r`s
Ciffe[ant f�om t�� trencAlaa te�c��tq�d [oC��vlG�o a rvic�provlde[ n�tvork to pLovid�c�bl• o vid�o s •V1tA1n th� )uiia0itt�on of
� to� ecceaa to tha riq�ta-ot-vay to inst�ll lta Ovn n�Cvork. C�� loc�l �n[ity, IncluGlnq all of t��,tollwinq: �
(1) All cl+e[q�a blll�d to au6accib�ta Loc�ny and ell c�bl•
vitl�o a a provid�d Dy t�� �old�r ot e at�t• fr�ncAia�,
� lncludlnq�ell r v.nw1ialat�C Co proqreaminq pxovvd•G to tM
5850. (sl A at�t�-iaauad ![antAla� a��ll only b�v�13d [or 30 y��ra fu�accib�r, �quipmanC r�ntala, l�t• [eea, entl vnauttacimt lunG tee�. �
s[tee cA�A�ce of i �nd t��video a �vic�provid�r aA�ll .
� epply to� e v�l�otetA� a[�t� tranchiae fo[ �n�dditlonel 10-yea[ 121 PiencAaaa (�ea impoaatl on t�e �oltle� o[• atat• tc�nc�i��by
yeiiod tf it vi���f to continu� co provid�video a rvlc�a In th� stes C�1a e�ction t�at���p�aa�tl t�touqA to, entl ps�tl by, t��
c i�tl by the lrancAia��fte[ tT� �xpi�ecion o! tre f[�ncr�a�. auDacrlb�ra.
�V(bl Lac�yt •a provttled in t�ia aectlon, t�� c�it�ri��nd proc�aa (J) Comp�na�taon r e�1v�G by CM ho1G�� o( e atet� tt�nc�if�t��t '
d�acttbed an S�ttion 5810 aAell �pply to• vel [�q1at[ation, •nG le d�[lvad f[om cA�operetlon o! ttfe ho1G�t'a n�tvo�k to provtda
cRe commlaaton aRsll noc tmpoae eny�ddi<ion�l•oc 0ltfex�nt tilc�xl�. c�Dl� f ice o v1Aao a�rvlc�vith r�apect t vmlaaaona th�t e
peld to•tA��old�[of �et�te lrencAia�• comp�na�cion tor promotlon
Icl Ran�v�. of e t�ce f�enc�fae s�el: ba conaiat�nt vith f�Eare3 •x�iEation ot eny producta o •tVicee�o cA�hold�r'a n�t�oik,
, lav�nd r�quletlon�.� ucR e! a 'lfom� ��oppin9� oc a�milex ch�nn�l, sub��ct io paxsg[ap�
(a) iM co�aeeion��ell not reMv tM Cr�ncnie• if c��video fd) ot euDtlivvaion (e).
� http-//www.le�nfo.cagov/c�-bin/displaycode^seaion=puc&group�05001-06000&file=5... 7/132007 http://wMov.leginfocagov/cA-bin/dsylaycade°sectio�yuc&�wp�03001-06000&filr5... 7JI3R007 i
- - -- _ _. _ _. - - - - - - - - -- - - -- � - - - - -- - - - - - -- - -
G Codes(poc.S800-S970) Page 9 oP 22 I CA Codes(pua5800-5970) Page 10 of 22
' I<1 A pto [�te potttor. ot ell r e d�r�ved by the hold�r o. • (S) R�vanue r�talv�d s •iabuta��ent by O�ogtuana�� ot apecitac, '
a[et• tCench:a�o tta •t[:l:ate�D���uanL to compen�acion i6�nt�ti�61�me[ketinQ coa<a � r�E by tT�holda[ of � at�te
si[�ng�vHnta !ot edvertiainq ae�i�.e t�om tA� ope�stion ot t1:� Aoldec' ltenchta• toY tA� int[oductionnot n v D�optevwtnq.
I a netvotk to p[ov:tle vi0eo e Wit�i.^. th� Ja+[tadlc:ion ct t�e I10� SecuYtty depoal[a t v�G trom aubactib�ta, excluCinp -
:xnl enttty, aub}�c' co pe[agxep4 (11 of aub6�via:on (�). tAe �[lty tleponita �pp11�d toctM outa[�nCanp belenc�of s >ubacttb�t'
ellocet�on a�sll G�bea�E o :�e nuubec o! auEacelbeca i 2�e loc�l e unt �nd [Aeteby C�k�n Snto[ _
� �nsicy aiv.e.a by_�e totelnnumber o[ auEa�ribeia in[�latton to th� el[) lot t��puYpoa�a o( thia a�ctiona in the c e of a v�d�o
�el�vsnc r�qton�l o netionsl comp�nastion ec[snq�ment. tv1c� t�et m�y b� bundl�C oi lnt�prat�tl : nally vltA oth�r
Ie� Co� purpo��a`ot thva aectlon, the C�rn'qroaa r aat up�btllti�a, o apDlicattona, t�enat�t• L�enchia� I�� �
torth tn�ubdivleion !tll do�a n nclude any ot cAn folSo�inq: �r�llcbe eppli�d only to [A� q[oaa r a d�tin�d in auCEvvteto�
, I11 Mounia not e ually r ved, • n 1[billed, fucA�a beC Itl), attciDuteEle t v>Geo a . KAar�•tM Aolder ot e a[et•
C�b:: ��[unda, teEat�a, or Ciecou-ta ' aubecrtbe�a o ot��c cn,�e t[anchiae o �ny�tlll�et�bunCl�a, lnt�qcatn�, ti�a, o coMima
p�rcv��: o inputetl ftom cAe p[ovsaton ot c�bl� !a[vicea o vitleo a v1tA n vitl�o a e�tvnq�Eund1�C packaq�, a
video a aVtot•t��� o et �educed c�t�a to�ny p�[aon• [�qut��C t��t aub�c[1Ca[a pey• inql• f��ltor m • then o clsa� o[ e c•
� •]lovedlby l�v, tncl�tlanp• but not ltmlted Co, the pcovielon oC e tl»coynt on vldeo a �,fq[oaa r v�nues ahell b�Vl
' t��ae a ic�a to D�bltc inatltutlona, puDllc achoola, qov�[twantal a.�e�m,�.a D�a�C o •qu�l �lloc�tion of the p�ck�q�O�acount, t�at
•q�nciearVo �mD�oY��� a cept t�et (orqon� � a C�o��n mt to b� , cA� toGl p[t o( tA• indtvldu�l cl�aa�a ot a nt
� vad � xcAeng� toxx2��E�a, betters, ae[vicea, or otAa[ Steu ot sdv�rtia�d [�[ea caop�[�C to t�e pack�p�p[ica, e onp`all cl�fa�a ot
velue a�sil b• includeG tn gro.sa [ t�ice toeQ�rialnq [��pecR�q�. 7h� t�c[ tA�t c�e Aold�t ot • atate
I 12) Rav�nuea t celv�d�y eny�tflli�ca o •ny oth�t p�raon i [tanctfia�ofSexa s bundl�d p�cksqe ���11 not De tl�em�G s p�omottonn: •
nc�en9a fot auDDlytnp 9ooCa o rvtcea uaed by th��old�t of • attavity. If th� Aolda[ ot � acat� L[�ncA1a�Aoss not otL�t eny
i at�t� t�encTiae to provlda cebla�a vva�o e . Hw�ver, ompon�nt of cM bunGl�d peckaq� a�p�r�cely, t�e hold�[ ot a
wC by e eff�'let�of cAe•holtl•x fxo�t�a�attili�ca`a [renc�aa� aAell d•cla[� �at�t•G tetail v�lu• foc e.c�compon�nc�
ptovis'on of•cebl� o vitleo eetvlc• ahell b� tnclutled in q[oaa bea�d o nsble wnpa[�bl�p[ic�• tot tA�protluct o e !o�
, [ •ollovl: ch�pu�poa •ot d�t�tmininq ftenchl��S��a bsa�C on tA�pscR�q�C
� •VIA)•To�the�xtent c�et t[astlnq c�� r of tA� dlacount daactlb�E�bo.h. �
etftll�te, inat�ed ot r of t�e notaa:��vouie�n.�.ucn. �tt�ct o[ (pl fo[ th�yu�poaea of d�tecuanlnq 9ioaa � unE�r t�ia
vadtnq tM pnya�nt o: t�aucAa<vould ocMxvlae D�psiC co tb� Givialon, •vitleo a •p[ovad�r ahall u � t��ea m�tAoC ot ,
I • cal entity. dK�rmantnp [ un7er Q�narplly�cc�ptad e untinq p[sncipela
� (e) ]'h� r enue la not o[Eerviae sub7ect co f��a to b�pald[o tA� n tA�t vhlth t��uviA�o a tvlc�pcovid�[ u rtcdet�[minlnq Yewnwa
loc�l •ntity.V . r t�e putpoae o! tepo[tanq to n�tton�l entl�atat• [�qula[ory �
(3) R�wnua C�riv�tl Lrom a cl�aaiti�d e c�bl�a�rvic�a eQanct�a.
vttleo a und�c t�G�t�C'.ela+, includtnq�but noc 11m1C�Q IT) T�� at�t• f[encTiae t�� ah�ll b� t mit[atl to t�� epOlicable •
to,nr • d[aved trom c�lecaemunic�tiona a enG SnLo[�tton c�l •ntity que[ta�ly, vtc�in 15 deyf att�� t�e �nG o! th�Quert�[
uotA�c then c�bl� e vldao a and any ot��r Lor tAst cel�nd�r que[t�t. L�ch p�yn�nt a��ll b� e oepanieC by e
•t[ribu;�d by cT�noia.r ot�e at�t� ftenc�ta� to nont�bl• ume�iy�xplsi tnq th�b�al� to[ tha Calcul�tion o(CCAe a
o.d.o � i�.�ora.��.wicn r.a.:ei �=n... a.. �:t cn.noia.r do., �oc p.y cn. :�e�on.�. r..��n.r.a�.,
cawu�uecno���coa.n,e�o�lrut�,, n.Q�1•c,on�, .,cana•�a.,, o o:a.�,. cn.noiae= sn.ii p•r . i.c.y.ym.nc ch�x9e .P.: yo �q�a .
��i ae�.��e pe1G ey,�e�or�ee�� co•noa. aAoGPlnq' o eim.i.: co �n. n,vne�c o:,v. i.�a��q �.c.a��.�v cn.2p.rioa oe a.i,�y�.��y,
ockf C:[�ccly ttom t�e a�l� of m[chantlia� t�touq� eny hom� plue 1 p�rcent. If tAa Ao1C�r ��a ov�tD�id Che frenc�iae tee, it mey
� ahoppin9 chsnnal ofta[�d s�psxt oi tT�c�bl� a�rvic a oc viOro deAuct t�e o�tpeymen- Crom tta n�zt qu�rt�[ly p�yment.
� •�ivac . Xovwe�, cosmaaai na [ oth�i colepenasilon D�id to C�� Il) Noc m a c��n onca�n ually, • local entity m�y• in� t�• �
�olde[•of e at�ta [[�ncAta��by •hoe� fAopptnq^ o aintl�i n�[vo[ka bualn�aa � otda o1 e Rold�cnot � at�C� t�nntria� to tAe%utenc
to[ the p[omotion o •v�ibition p[oducca or a�[vic�e ahall ba n�bly n •ry t comp�na�[1on i o[O�nc�vic�
. included in proaa r v�nue. aubdivlaion I�ID�iAe Aolda[uahell k��p �11 DuatMaa [ ortla
l51 Rw�nu� [[omec�e ael�ot ce�le e v1Q�o a vic�a tos retl�ctlnq�ny qxoaa r venu�a, • �f the[• a cAenpa i •
ael• 1 ��1CA t�e [ f�11aY 1 [eqYlCedttOccoll�Ct 0 [�e eilllsl Co taA1p. [ol �t l��at 10Yt y��Yan�[Cai CToaa�t
te n • a own� ev�nuan er•
� tA� [t�ncAlae f�• traw CAe Y�+�13�['a cuetomera. acoqnlz�G by t�e noia.� on I[a book�anG faco[Ca. I[ tA� ex�min�tion
�6� Amounta btll�d Co, �nC collecc�C ! aubactib�re to Y�cov�t �lacloa�! t��t [��holCer hs� und�rp�1G Lrant�iae fe�a by m !I:en '
�ny t�x, l��, o �cher9e impeaed Ey�ny�qovernm�nt�l �ntl[y o che 5 p�ic�ne durinq eM ��min�taon p�rlod, tl+� �030�� sAell pey ell ot
. holtl�r o[ e �et��tcenc�iae. ncludinq, but noc ltnit�C to, aelna FnQ cM � nebl� enG�tcvsl coeia oi t�e• _ St 2T�
e tex�a, q[oaa � •ipt� tl,xea, •zc1a� tuea, utlltty u f c�x�a, es�n�tSon dlacloaaa t��t t�� Ao3C�� nu�noc�una.ro.ie [c�nc�i�•
pubinc _ umucion ux.e, .ne any ocn.r�[••no2 . cna lout .ncicy en•11 vv•11 or cn. r n.el. .na. v.1 .
impoaed�byVtria•e�et�on.� coaca ot t�e e:eainetlon. In weey oth�r inat�nce, •�c�pe�ty`ahell
' (�) Rav�nue trom tha e . ot c�pic�l � a�ta o utpl�a equSym�n2 bee[ 1ta ovn Cwca o[ t�e e eminstton. My clalm.+by • locel �ntity
not us�tl Dy cA� Duic��a��at cebl� a vid�o a��vtG�a tRa[ comp�naetton ia not i ocCenc��1<h subdtv�saon (e�, �nd sny
fton tA� aall�r of t�oae s e�ta�o au[plua �quapm�nt.j claima tor ralunAa o otAer c •ttiona to c�� i mittence o[ the
(9) R�v�nue [�oa CirectoYy o� Int�cnet �tivertlaln9 ��`/�nu�, Aold�r o! s ate2• t�enc�ta�, •h�ll ba meC�w�tA1n c�r�e y�• and�S ,
ncludan9, Cuc n c lamsce�c ysllor p�g�s, ��at�peq�a, bsnn�t deya ot sr� end of t��Qusrt�t tor vA�c�cov��n�t1on a a itt�d, �
� etiveitia�m�nt, end eleet�on�c publia�inp. t��e• y���a ttom t�e de2�ot t�� rantctene�, �AleAav�c ia�leter.
� hnp!lwww.laginfocagov/cgi-�in(displaY�"�a^��S�aP"�5001-06000&fi1�5... SJ13l2001 http:/hvww.leginfo.ugov/cB-bin/deplrycode?xction�uc&group�5001-06000&Pde=S... 7J13R007
CA Codes(pur5800-5970) Page 1 I of 22 CA Coda(puc.5800-5970) Pege 12 of 22
; �
Ctt�er e loc�l •ntity o[ tAe hold�r msy, 1n tT� �en[ of s dtaD�te t��i p[oVidea a a to[�fld�nti of cM t�entAia� �ae: o eny
� ontetninp comp�n��cion unda� tAla a�ctton, b[LnaV�n ection ln• c • aallon of �Vm��tlnp o[ proc��Clnq ot �ny locsl, atet�,jo�
c o[ conp�t�nc )urtadiccaon. f�C���l Oov�rlu�ntal •ntlty.
ou;3' r��hc1C�t ot e at�ta :[ancAla�m�y SC�ntity�nC coll�ct cA� (el My PLG c��nn�l pioviG�tl purau�n2 to cAie aect on t�et � not
ot cM atetn Cc�ncA:a� tne ee p aepe[�te ltn� itan on t�a ui�lix�E by xh� 1ocs1 eniacy tox �c l�sat �aqTt Aoura3p�[ tl�y e
iequlet P�11 0. vec� .ub�«ie•�. ��.a on e qu��t�ily beals nsy no lonp�[b�m�d� •veilsble to cAe
e�l •nCity, �nd mey O� p[opt���G�e t�e Ao1Cer'a Eiaci�tion. At
' tha tlm� t�at cA� loc�l �ntlty c c�Itity to t�e �olda[ e ac��Gule '
58'1C. Ie) TM Ao1E�t ot e �t�t� f�entAla� a��ll C�faqne2� • tor ac le�at �1pAt �oura of d�ilynproq[�mming. CA� �old�[ ot t��
auttie o[ cepeeity o ita netvork to ellow t��D+oviaion atet• t�nneRta� a��ll e�etoea ttfe eMnnel ox channnls Sox <M ua�oi
cl t��1�emeenumbar ot public, aducecion�l, enC pov�tMentel �cc�a� tAe lot�: �ntlty. '
IPLGI ch�nn�l�, e sct�vat�d enC provld�d by c�e 1ncWaDent c�bla (�1 Th� ont�nt to b�proviG�d ov�r!�• PLG c��nnel cap�caty
• ope[ . z tA�t��>�a multaneovaly ect�vaced>ne p=o�,e.a cn.qraa2�ac p�ovitl�d pur t to [hta a�ctlon aAell be the t�aponaib�li[y ot c�e
number�ot PLG c��nnela v:thin t�� locel �ncity under tM c�[ma of eny locel �ncaty�otnitf d�aiqn� ceivinq CA� E�ne(it ot t��t cap�city,
tranc�ta •[Lec i the loc�l • cicy e of Jsnuaty 1, Y001. [oi enC cA� holde[ ot • tete f[ancAia�D�e�e only CAe r�aDa��i�ility (oi
� tha putpoa�� ot t�ielaection, s PCG ch�nn�l as d��m�d ectiv�t�d 1f it tM tienamiaaion o! chat contm[, auD)ect io t�cAnoloplcal '
a DetnQ u[ilis�C toi P¢G p[oyr�vming vvtAln tAe nunlcipelity for �t teat[�inCe.
I lnefc �tqht�outs p�c day. TM hold�c .n.ii n.�e tAx�e montAa fxon c Iq) 1]) T�e loc�l �niity �h�11n'nmaur� tshste=ll crenamtaaion', [
cE�tlate the local �ntlty r�qu��ta t�� PCG c��nnala to d�alqns��tAe ont�nt, or p[oq[s�1np to be cr• itt�d by�holtl�[ ot � atet•
cepacicy. Movev�[, [Ae t�tee-mone�pe[loG fhell W toll�d by any ([anthi�• •�a pcovided or�upmltt�tl in e �n or torm[�ec �
p�ilod durir.p vhtc� the O�aiqnetion ot p[oviaion ot PCG cA�nn�l omp�tlbl��S[A t�a Ao1G�t'a n�tvo[R, �t t�enlocal �ntity p[oducea o
cepnctty ia c�c�nicelly �ntaaaiEle, lncludinp�ny failu�� or delay ot meintsana [A� PEG proqcamminq in thst n nn�[ or :ot . :[ the loc�l
� !M lncwob�nt cnbl� cDe�eto[ [o mek� �EaqY}C! int�cconn�ctlon entity do�s nOt pcoduc�o metn[�Sn PLG p[oax�mminp 1n c�et ma
ev�llebl�, sa i�quttad Ey thi� e�ction. form, tMn th� loc�l �ntity m�y aubmlt o[ provid� P¢G Dioqc��minqii
(E7 Y�e PLG cAenn�la ahell be to[ [he �zc3ualv� u o[ tAa loc�l [ [Otm[��[ t atands[E Sn t�• inGuat[y. The holtler a��lln .
� •ntity o[ tta d�etpnee to provid�publlc, ��ucecton�l, enE be I�apomtEle foc �ny c��nqea tn cA� torm of the tt�namvaaion
qove[rve�ntsl �n.��.i�. rn� PCG chenn�la ahall be ua�G only fot �teaae[y to m�ke lt caopstable vttA th� t�chnoloqy or piotocol
iel D��P�� . Novw�t, �dv�[tiainp, undervLltinp, utvliz�tl by 2h� ho1C�[ to C�livei a •a IL cM �oldn� t� caqutxed
aponao�rs�iD+��oqnation mey be e rried on e�e e�enn�la Lot tA� to e��nq� tA� toem ot t�� trena�laaa nleths lxel •n[aty ah�ll �
i puipoa o1 fundinq PCG-��lated ect:vi[i�a. Yhe PCG c�enn�li ahsll •13 peivit th��olA�[ io do ao in e��nner thac ia moat econowa�sl to [0•
De i�G on cM O�a�c a •i�e�. To th� �xt�nt t.,,�oi., cn. �oldar
PLGCcA�nn�la aAell not C� aape[�t�d n cally f�a�otAe[ c��nn�la (�) T��p[o�a�ion ot t�o�� t�enamiaatona, content, o� proqrsm�i.^.q
e[[-�C on t��Deaic a • tiar anC tA�lC��nnal numbere !oc [A� PEG to cAe Ao1Eet of •at�[• lcenchaa� aA�ll e nattiu[� �uthoelz�tion to[
- c�annela s�all b� t�e a cchem�l number�u�ad by tM anc�eb�nt �M I+oltl�r to c t�y t�oaa t[�nami.+aiona, tont�ne, or ptogr�neing.
- ceCl�opere [ unl�aa prohaDited by ted�[a] lev. Afte� the initl�l 'f��Toltl�r msy c�iry[�� tieNmiaalon, cont�nt, ec p[opre�tnq
. de�:q�attontot PLG chann�l n�mC�c�. CAa cRannel numb�ca s��ll not h� a�d�of tM local entliy'a�nilaEictaon it tTe holEet sq[•
cAenq��uithout tA• �Vreement ot cAe locel �ntity unlaaa cAe chenpe pey tM loc�l �n21ty o[ 1ta d�aiqnee eny inc �nt�l ltc�n�inq�co e
- i�qui�eG Ey t•C�rel lsv. eech chann•1 ahell be c.peEle o! c•rryinp incu�[�C by ch� locel encixy or ica d•aiqneerea� caec�d vtc� c��c�t ,
a�N�tional Yel�viaton 9y�tem Commltt�� IM:SCI t�lavaaion a1pn�1. tt�naaiaalon. Lotel •ntltl�a sAsll be p[o�sbst�d trom ent�[1nq into
� (c) (11 It laaa t��n t�[�� PCG c�ann�l��te eciiv�[�tl�nd provid�d llc�nalnq �qce�unCa tAat Sepoa�h1pMt p[opoitionel coeta !o[ �
i vit�ln t�� loe�l •ntiey a of Senuery 1, 200'1, a loeal entlty r�oa• teanamiaatow ee au6ae[ibe[s oueelda ehn loeel�neiey'a �usia6�ec>on.
)u�>etlaccion liea vit�in cM •uc!�o�iz•d a�rvace ac �of [M Aoltl�� o! I
• l�enc�iaa m�y tnita�lly r�queat th�hold�r•to tl�aiqns2�not Il) YA� P¢G atqn�l ahell be [ceiv�ble by�11 auDacrlbera, vMtM[
' n •t��n e tot�1 ot thi��YLG chennel�. [h�y t w diqlt�l o n�lop a combin�Cion thereot,
0`11) The Aold�t ahsll Aev� tA�ee montAa Leoi Lh� tl�t�oL t�e �ithoutcth�n��d [o[ •ny�quipmentVotM[ot�en the equtpsant n sty
i�qwfc co G��iqnet� che c�p�csty. Hovev�[, cha c�ree-monc�pacloG co r�c�ive ch� lov�at coac ciei of a va •. SM PeG�c aa c�Decicy �
ahali Ee to1:�C by eny perioC Cu�inq r�ic�t��d�aiqn�tion o p[oV1d�d a��ll G�O! e1m11�t qu�laty�nde[unetlona112yCto�tA�t i
provia:on ot PLG c�annel cap�caty ta CecAnically 1nI��f161�,r o(fet�d by tom�resel ch�nnal� on the lov�at coet tve[ of aery
;va�nq eny :s�lu� :delsy o1 tA� 1nc�uhmc cebl�opececor to unl�aa ch� alqnel ia p[ovitl�d to tha Tolde[ at e lovec qu�licylor
• veke etiequete lnterconnectton�veilsbl�, ea r�qU1r�C by t�la aec[ion. �st� l�aa tunctlon�lacy.
�A; Ml��re t�c�nscs:ly te�alDle, t��holO�t oL e ac�t• f��nc�vae �.
' Idl (11 i�e Ao1G�t a�ell provitl� • edtlttlonel PCG cA�nnel vA�n anA e ntumE�nt cabl� operetot aA�ll n�qotiete in qooC tatt� to
eA�nonduplic�ted locelly p[oCucetl vitlao pYoqteuming tel�vla�tl on ante�connect CMSi n�tworka for cA�pu�poaa of ptovtdtnq PCG
qtv�n chenn�l exu�da 56 I:ouca p�c venk aa e nd o •que�c�tly Pio9r��n9• I^��t<o��ctlon m�y ba• mpliaMd by dlx�ct c�Dle,
bea . TT�edtli[ionsl chenr.�l aAell not b�ua�dutot any putpoa otTac mlc�ov�ve llnk, e�C�llit�, ot�er r�• neDl�m�tAod o( c n�ction.
:�en�to contlnue pLOQiemninq edC�ctonel qovetnm�nt, adue�[ion,•o� Noltl�ta ot e atate te�nCAla�`�nG incumb�nt cebl�opei�toia�aA�ll '
publtc �cc e televtaion. p�ovide lnt�rconn�ction ot N� PEG c�ann�lf on i��noneble c rm anC
III Co�eth�puipoe o[ t�i> > "loe�lly DrOduc�G vid�o onGitiona •nd m�y� w.ennoie tl+� Snta�eonnaeeion. It ��olde� of e
proQ[�snsnq' me�na F+oq[emminq pioAuced or➢rovitled by eny loc�l c�ta fc�ncAa�� and a tncumhnnt ubl�opatnto ce not � ec�s .
:.,:e��c, ene lx�l �nti_y, t �ny loc�l puE:1c o[p[ivet� �qency mu,u�lly eccepeebl• inc�tconn�ctton�qieem�-t,tt��nlocal'entity mey
hap-//www.leginfo.cagov/cgi-bin/displaycode''uuion�uc&group�05001•06000kfile�5... 7/13/2007 http:/hvww.leginfocngov/cgi-bin/displaycode°section�uc&group�O5001-06000&filr-5.. L13200)
CA Codes(puc.3600-5970) Page 13 oC22 CA Coda(puc'S800-5970) Page 14 of 22
� �ey�, �n. ���e.,c �.ei. o�« < co.iio�:n. noiae� : p�e�edi�a o.t.�a.: que[t�r, end a.y o�:y pa �,.e ey nn. �o�.: er.c,cy �
tncevconn.cclace n ork vlcn :ne`incumbenc•a necvork ee . . ucnor::.a unae: t.a.r.l le�.
�chnit�lly t�ss>EleVpoint on t��holde�'e n�t�oik e tdentilt�C by In) A locel �ntt[y m�y, by oYGtnanc�, eateDllaA s f�e [o fuppo[t
I tT��older. It no cecAnicslly : aibl�pcint toc tnt�tconnact�on :a PLG channel tactliti�a c iat�nt vtth t�G�[�1 :v t�et vould b�come
. s�laDl�, tT��oltl�t ot s ent�encTla� ar�ll mek� • •ffec auD�aqu�nt to th� �xpat�[ion of �ny fee lmyoa�d puYauent to
•ctton�etl�Dle tottM c��nnal ortqin�toi antlnaAell pioviGe p�rsq[aD� 111 of aubdtv�fion (1). :t n ucA [ee • ifta, tM locel
tAeafscilt:iea n •ry for 2�� vnt�rconn�ctlon. T�� oat ot sny enCity m�y�at�bliah tM f��at eny ttma�TR� te�a��ll not e e�C 1
. aA�ll b�Dotn�by cA��olda� r�qu�atinq 2�• p�Ccent ot t�e hold�r'n Qioaf r�v�nw�, ne daftned tn S�ctionx5B60.
i unlea otAervtae sq���C to by th�➢�«+�a. NOLrttAacenClnq tAia limit�tion, tf, n D�temb�r 71, 2006, • locel
•t1oAnAo:tl�x o. a<et� tcenc�ia�aAell not be c�wfY�d co •nti2y i vmpoelnp e a�p�t�t• [�� to auppo�t PCG c�annel l�ciliti�a .
t tot,,o oc��rwiae to t[�namit, PLG content cA�t 1 t�et ie 1n�xc�aa of 1 D�icen2, cAst �nt1[y msy, by o[tlinanc�, '
biend�tlnvith tA� loqo, n otAa[ ltl�ntifyinq m�tka of �noth�C •ac�bliaA a fea no prae[�[ then t��t a�pet�te f��, �nd 1n n •nc
csDle opeietor n vid�o awiivlc�p[ovitl�t. lo[ putpoaea of t�ia qr��!ec t��n 3 p�rcent, to aupport PLG�cCivlti�a. Tha otdinanc•
�ction, PCG con[ant t no[b�end�G it it SncluEaa only Droduction fAell �xpit�, anC mey D� raeuc�otizad, upon tA� expi[ation of tha
r�tlita o otMt a intoimetion G:aplay�d ac tM c ncLua�on oC e at�ta lxsncAlae.
ptoq�em. T�• locelle ctty ry [�qu1r��cebl�op�retoc o video lol 7M�old�r oC� at�te (L�nt�ia�m�y � cM • unt of sny
•provader to i ita loqo, n otMr tdan�Sfytnq me[k• t�� remltt�A to� loc�l �n[tty und�[ t�ia a�ctioneby bllltnq • .
' trom1PCG c ent t�et�iaVto b�m�d� e �l�bla chrouqA [�Covery !�� �a � a�p�tet• lvna it�e on th� t�yvlat bill of eecA .
int�tconn�ctton Co e ot��r ptovid�r of PLG ceD��lty. aubac�lber.
�]) In ejdition to any ptovv�ion for tha PCG c��nn�la [�qult�d (p1 A cou[c ot coapntenc )u[�ad�ccion eMll hev��xcl�a�ve
under .�ea.viaaon� Isl to (i1, inclualve, t��hold�r ���11 r •rw, juC�atllctlon to enforce�ny requtr�m�nt und�t [Ata a�cticr. o .ve
I C�aiqn�c�, and, upon r�queft, ectivate a cA�nn�l to[ c[rl�qe�at eny tliaput�Iaq�[dlr.q t�� [�qutram�nta aet Lort�in t�ia a�ction�o, ,
. atet�puD11c etlsi[f proq[emminq �dminl�t�r�tl by the at�c�. •n0 no p[ovade[may by berretl [rom tA�piovlaion of a �vtce or b•
Ik) All obliqatvona to p[ovlde end aupDo[[ PEG c��nn�l fec111taaa �equlr�tl [o t�min�ta a�rvlc� sa � re�ult ot [Ast tllaput� or
end 1 cutionel n�tvorRs and to provide cebl� � s to c u�i[y �nforcem�nt �ttion.
buildinqe con[�ined 1n e loc�lly i uad lrsnc�iae e iatlnq o -
D�c�mE�r J1, 2006, aA�ll continue until t�a : cel [t�ncAi���xpa�
� ttl the : o! t�e t�enchlf�vould�av �xpir�tl it it �aC not b��n 5!80. Ho1C�[a of at�te trencMtaea a��ll coap:y�it� tAe Cmet9ancy
termin�ted puceuent to auEdtviaion (o) of•Jactton SB�O, o[ untii Al�it Syat�m tpul[�m�nta oL t�e�aG�t�l Co�unac�tiona Cormiaaion :n
.r�nuery 1, 2�09, v�ichw�r ie l�t��. ordai c��t wiq�ncy s aasp�a n�y b�dsatiibuceA ov�c cAe holdnc'•
I1) Att�t J�nue�y 1, 200�, an0 until t���zpir�tton af tA� ork. My p[ovlaton ln e lx�lly t uad lc�ncAi�� �utAo[izinq �
ncunb�nt ce�:�opetetoc'a tt�nch>a�, it the tncusbant c�bl�op�r�[oc loc�l enttti�a to ptovid� loc�l •�[q�ncy nottfic�tlona a��ll r '
Ase i�tsnq u a�tiafiad ob1lQ�tlona untl�r ch� fr�ncAia� to �mit to •tLec •nd�hall �pply to ellm�old�� of • cet�-�aau�tl tr�nc�tae
tAe locsl �ntity�ny c�a�p�yv�nta [or tA�onpoinq cwta of public, n CA� a e locel • , fot tM Cut�tlon of [���locally i ��d
�tlucecionel, •nd qov�[tw�nC e channel f�cilicl�a o ltsncAt• un[al tAa�t�i�ot th• fr�ncAla��oulO hev •npireE v
' natitutlonel n o[kf, [Aa locel�entity ��all dlvitl• [�oa�csaA t�e lrenchia�not t�nln�t�d purau�nt to lubdivaaion (m) ot laction
peyeanca e onq all ceDl�oY v3Ceo pcovitl�ra sa p[ovlded in thla 5810, or unttl S�nusey 1, 2009, vAlcAeve� ls l�te[. •
•ctlon. T�� t�� ah�ll b�LM Aolde['a p�o r s p�r aub�c[1Eat aAar•
01 t��c�aA peym�nt tequiretl to be paid Oy the incumEant ceEl•
op�[atot to tAe locel entity fot CM coata ot PCG ch�nnal [ec111ti�e.
All v1Ceo s c�p[oviE�xa �ntl tAe �ncumbent cebl� ope[sto[ ah�1] SB85. (�� T�• locel entlty�h�ll •llov CA��olde� of e tet•
� b�aub7�ct to the a raquirem�nta !o� [ inq pay��nca tor c�� trsncAia� unde� c�la dtvialon to inat�ll, c natiuct� �nC m intsin s
' auppoct of PCG ch�nn�l l�cSlict�a �nd Lnstltutionel n�twotka, vMthai n�tvotk vtt�ln puClic r19�ta-of-vey undar t�� a • tim�, pl�ce, er.0
�xpr�aaed a e ptc�n[eq�ot Qroaa [ v�nue or ea �n �nount D�t f th�D+oviaiona pow[nlnq t�l�p�on� cocDe�ationa und�r
�ubac�ibe[,�p�t montA, o etAetviae.• eppllc�Dle �C�t� end L�C��el lw, lncluCinq, buT not llmi[aG to, tA�
(m) Zn d�t�[wininq th�tee o e Dro c�ca p�c aubx�lb�x b�a�a, sll p[aviaiona of ]�ction�901.1.
cebl�antl viCao e ivlce provtd�ta ahsll [�Dor[, 10[ t��p�[toC ln (b� Nothanq ln thla Aivlfion a��ll b�c nat[u�C to cAsnqs�ztetinq
que to [Aa loc�l �ntity tM totel nu�be� ot aubatilba[� a�tv�G l�vi ceqerCvnq tM p�tmltclnq pro conplisnc�Vit�t�e �
tt�in th� locel �ntaty'a ]urlatliction, vA1cA a�all be ci�et�G e Ce11[orni� Ln�lro��nt�l puslityCAc[ IDivialon 17 (cot�enctnp vitA
� ontiC�ncie:by cA� loc�l entity�nd aAell be ua�!only to tl�rlva th� 9ecclon 210001 0[ t�e Public R�fou�c�a Cade� fot p�o7�cca by• noie.r
. p�r aubac[i0�t tea r�Quic�d by x�ia aec[ion. YM loc�l �ntlty aA�Ll of n c�ca ti�nchla�.
cAen E�t�tmine t��pay��nt tlw [rom�ec�ptovid�[b�aad o s p�i Ic) Il) �or pu�poa�f ot c�lf aactlon, s eclwent p�tmit•
I
euDacrib�i b�a a fo� tM pe�:od Ey multiplylnq t�a u a�t1a11�C c�a� any p�imat a wC by s lot�l �ntlty r�l�tanq to conat[uctton or
I psyventa for !ha onqoinq csptt�l coete ot PLG chann�l tecilitiea by• op�[�tion oL lscilttl�a pu[au�nt to t�1a dtvlaion.
. iatto of tAa �epo[t�G aubac[lb�ta o[�ec�pcoviC�[ co t�� tot�l IP) A lx�l entlty fhall ��tA�r eppco [ Eeny s •ppllc�t�on
�ubatribera vltTin th� loc�l e 2tty♦ ot cA� �nd of c��D�tLotl. TAe t[on e Ao1Q�r o[ s atace ttancRta� tot a �cRm�nt pecmit r�c��n
locsl �ntity e�ell no[ify c�� ieapac •p�ov:tl�ta, v[itlnq, ot 60 C�ya ot r�c�ivinq�conpl�t�tl�ppllc�tionC�M eppllc�t:on [oi s
[1e r eultinp pro [ate e . Atte�Ct��notice, anylteaa r�quir�d Ey �clwent D�rmat i cou�pl�t�v�en tA��ppllc�nt hea conpla�E vic� '
t�le a�ction e�ell ba tct�A to tA� �DPlicebl• loc�l •n[�ty sll(at�tuto[y tequlc�Mnta, ncludinq t�e Celitotni�Lnvironm�nt�l
i quar2�[ly, ritAin 95 dsya eft�r t�� �nG of tha qua[[�t to[ t�e Quellty Act �Uivlaion 13 �covue�nctnq vit� Dactlon 21000) ot t�•
hap//www.lrypnfo.csgov/cgi-biddisplaycode?secdm�uc8cgrwp�3001-06000&file=5... 7JI3R007 hap:/hvww.leginfo.ugov/c�-bin/dsplrycode°section�uc&group�5001-06000&filr-5... 7/I7R007 j
CA Codes(puc.5800-5970) Page I S of 22 CA Coda(puc:5800-5970) Page 16 of 22
i I
� Pub:ic R��ou�cea CoA�), a
(71 If c�� loc�l e ity deni�a • �ppllc�taon to[ • actu�nt �le) [o[ �old�ie ot CA�ir�ffila�t�a vac�mo ihen 1,000,000
p�rmit, i a��ll, et tM tim�ot notlfyinq tM eppllc�nt•ofrcM t�lapAon� cuatom�ca 1n C�liforna�, •1th�� of tAa�Collwinq aA�ll
��ni�l, tuinla�to [Ae epplic�nt e Get�31�tl�xpl�netlon ot [A� [��aon epyly:
tor t�e tl�nlal. ll) If CAe ho1C�x ia p[�Eom�n�ntly d�ploylnp f1D�t opt�c �
, 1�1 T�• locel anttty aA�ll eGopt requletiom pi• cibinq [�cilitt�a to th�cuatoe�r'a ptamta�, tha �oltle� a�all provtC• •
procedu[ a tot epplic�nt to epp��l tA� G�n1e1 of�e ecM�nt to 1ta vltl�o a rviu to e nvwb�� ot �ouaeAoltla �t l�sat equel to�25��
permtt �DD�lca[aon i uad by e tlepe�tnmc o: [h� loc�l ancity to the per ot CMecwtow[ �oua�holda tn tM Aoltla�'a c�lep�om f
governinq EOGy of tM�: c�l enclty. vitAin tvo yae •t[er it beqtna provlCinq vldeo a un�er•
�5) Nothsnq i thia a n pceclvG�a • �pplic�nt �nd s lot�l t�va dlviaion. �nG to�numb�c �c l��at nquel to �0 D�«n<cof cAoa�
entity lrom mutuslly epteainq to en ext�naion ot eny time ltmtt �ou��holda vlthan tiv� yaa�a. .
, p[ovtG�d by c�ta aection. 12) If tA�Ao1Eet la not pc�donin�ntly tl�ploylnp flba[ oDt1c
(CI A locel entaty mey not ento[c� eqsinat cM Aold�[ of� atet• t�ctlltt�a to tM tuetom�r'a pc�mla�f, t�� Aold�[ a��ll provlde
tr�nch�ee eny rule, ragulation, o ortllnanc� th�[puiporta to ellow a to Ste viC�o a�Yvice to a numba[ oL �ow�holCa et l��at equal
t�� loc�l anttty co puicAee� ei .orc� the asl�of e na[voiR. toc35 p�i ent of t�e Aoua�holAa tn t�� �o1C�r'a tal�p�one a [vlce
v1t�1n tA�e� y�• eft�[ it Wgina p�ovaAtnq vsd�o a rv�c� under '
tAl� Oiviaion, �nd to�number et l��at �qu�l to 50 Decc�nt of thee• .
, no�.,.noia,�icni� e�� y..r�.
u> a nota.r .n.ii �oc e. �.y�„r.a co e..c cn� �o-Pe«.�:
5990. (e) A cs01�opecato[ o vid�o a e p�ov:tl�t t�et Aaa baen r�qulrati�nt in p�capr�ph �1) or [he SO-y�tcant requv[�m�nt a
qxant��� atete tienchvae unC�[ thia dtviaion msy not diac[i�tn�te D���9�epA 12) untll tvo y�>[a •tt�[ at lesat 30 pe[c�nt ot t��
eqeln�t o� G�ny s s to f •ny q�oup c!pot�nt>�1 Aouf�holda vtt�• a to [h� �o1Ge['a v1Gao��[vtce ��bectib� cc it
atdenti�l aubac[ibere becaua�colCCM vncom� o! tAe c�alEenta ln tAa tor aix c cutiv��non[ha.
' lcc v�icA c�� p[oup ie�1O�e. 11) It�lO•Der ent of tM Aoua�holda rith s a [o t�e hold�t'a '
(E)eNasd�ia o 2Mit stfili�t�a vlth m e then :,000,000 t�1�pAon� vitl�o a cvlc�hav�not aubscrvbed to t��ho1G��•a v1G�o a �vi<e to�
veto�Y> >n C�laLoxn�s ae[�afy aubdfv�eion {�) �f s11 of cM cutive montra vltTtn th[a�y��ra el2�i Lc Wgina�p[ovlGinq
[oll�v�nq eontlleiona s m�t: vid�o a rv1e�, tM Aold�[��y aubait v�3ltl�tinq tloeummtacton to ch�
' I11 Nic�tn c�t�e yee[a atce� it b�pana p[oviCinq viG�o a comPiaaion. If cM e a�ton tinGa cA�c tA�docuvwnt�cion v�lid�tee .
und�r :h�a diviaton, e[ lesat 25 pe�canc of Aoua�AolGa vitT�cc�ea to tM holde['a cl�im, t�en th�c�laaion a��ll p�rmit e G�l�y i ,
tAa�old�t'a vid�o a • lov-Lncom��oua�Aolda. ��tinq tM 10-p�rc�nt taqut[�ment in D�t�q[epA (1� or t�e 50-p�tcent
(21 Nat�ln tive y�acac�tt�� it beytna pcovidtnp v1d�o a m�qu�x�mant an pex�q[eyA i2) unt11 tT�ttm�th�t tTe holtl�r do�a
unde� c�la tlivtaion anG continutnq th�c�att�t, et l��at JO p�rcent o! p[ovltla a�[vac• to ]0 p�tc�nt ot [h� houa�Aolda tot aix conaecuclv�
xM�ouaeAoltla vtch e •aa to cAe �o1C�c'a vitl�o aervlc��t• nonth�.
. - •AouaeAold�cc I!1 I1) Aft�r two y��ra o[piov111nq a unG�t tAla Ctviaion,
�I])cHoltl�ia p�ovltl� a unity c�nta�a t unde�a�rv�E cM noia.:msy spply to tM at�u 1r�nchia>nq1�utAo�ity to� s
' a tlet��min�G by c��1�olA�r��v�ic�ouc chs�q�, at a retio af o �xcanaton to m��c th� c�quicnmence of aubdlv�a�on {bl, Icl, oi (e1. '
c �n:cy canca[ fot every 30,000 vidao cuftoma[a. TM hold�i a�elln• Notic�ot thia �pplic�tton ahell alao b�p[ovaded to t�e te1�D�one �
� no[b� t�quared to tsk� Sta tsctlitiea beyontl the �ppropC3�ta uatom�ra ot tM�olAe[, cA�9ec[ecezy ot tM 9�n�t�, •ntl [A�C�le[ �
, d�m�ic�[ion potnt out�id�tM c nity c�ntai buildinq oc p�[toim C1�[k ot tM Aaa�mEly. �
� sny i e>G�v ing. TM cwmunity cm[e�m�y no[ �a • s�tvic• [ron 121 Vpon �ppllc�caon, tA� fr�nchlainq�ut�orlty aAell �o1C public
t��n o �atet� tc�ncAtaa�o1C�r et e unde�tt�if a�ction. ���rinqa ln tA� c�1�D�one a [vlc� s of th� eppltcanc. .
. Io[epurpoa s�o c�ia �ecc�on. ' icy c�nc�c'm eny f�cillty (J) In r �vinq ch� t�llut� to a�ciily cM obliqeciona �oncnined •
n�y• o�qeniz�tlon tAst ��aCqu�la[t�C Loi tAe Cellfoenie ln eubOlviaton (E)� (el, or �e�, t�e t�ene�aalnq eut�otity a��l:
- T�l�conn�ct FunC, a ea[eblia��C in 9accion 2B0 snC tA�t vill m�ke onftd�r Lectora CAet • �beyonC tA� cont[ol of c�e hold�r,
• cMe holder•a a rvic•sv�il�Ole co c��c unicy. Sncludlnq, buc noc laaic.d co, ch• follovinp: ,
(cl No1G��aeo c�ei[ aff111ec��vlt� [�v�[ th�n 1,000,000 Ill T��ebiltty ot t��hold�r to obt�in accaa� to[tqhta-o[-w�y
� t�l�p�one cuetom�[a in Celtfo[n1s a iafy tAia •�ction 11 t��y olt�[ unG�t � n�Ola t�rma �nd conGiclom. �
vtAw a • to ell cuatom�ta v1tA1n c�e1r C�1�Dhone a�tvlce e 111)•S�� A�qr�� to vAich Cw�lop�en2e ot builCtnp� s not aub��cc
�tt�tn• onnbl� time, ef G�ternin�d by t�e cqemifaion. Xw�v�t, to comy�titlon b�c�uae of�xiatinq�xclualv�a �nqem�n2e.
� :��c aAell not �equlr�t�e ha1G�r to otf�r viGeo a [vlc• li>ll i�a d�qc�� to vAtc�tl�velope�nta or butlGlnqa e
vE�n t��lc o provtde vid�o a • la aubatsntaally Wov� tA� •a1E1� u inQ r nsbl�t�chnlc�l aolutlona under coeme�cielly
�aqa coetLot p[ovldinq v1C�o a xvlc• in t`�et telephon� a�rvic• r�saon�ble t�ru �nd conClciona.
• liv) N�tu[el CSasac�ia. i
' re(d) men e Aold�r provid�a viO�o a oucaad•of ica t�1�D�ons (�) i�� tr•nchaainq •uthority mey pc�nc cA•�xtanaion only at c�•
not e c�l�y�om co�po[etlon, o oft�ra vvd�o e Aolda[ ��a n�da aubat�nt3�1 •nG c ncanuoua a[lorc to m t t�•
ew�ere n ocM[video a rvlc• 1a 6�1np ofta[ad, ot��r•tAen ��qutr�m�nta ol auDdivaaaon (bl, (c), ot (�1. It • ,
tl�cecS�to�Aom�aace11i2� a�tvice,�tA�z� a ��D�ttable yx�w�DTlon p+entetl tre t[encrlaanq suthorlty aTsll �at�b3taA e nev complianc•
x�ec Gia 2ion in p�ovteinp a a ��a noc o r�d vithan Cesdlin�.
tAoae • 03TAe c �aton m�y� vct�a ho1G�['acp�opoa�G v1Aeo Ig) Locsl qov may bring compleinta to t�� ateta
, aeivice s[�a .o enaure c��t t�e erae ia not d[a�n an e dt�crtminstory trenc�iaanq eut�otitynthet •holda[ 1a not olf�tinq vitl�o aervlc��a .
hvp://wvnv.le�nfo.ca6ov/cgi-bin/displaycode°ucrion-�uc8egraup�5001-06000.tfiIr5.. 7/13/2007 hep:/hvuw.leginfo.cagov/cgi-bin/dsplaycade?sectioo=WrBcgroup�5001-06000&file=5... 7JI3R007
CA Codes(puc.5800-5970)..-- � -��—� --- Pa�ye V of II I CA Coda(puc:5800-5970) - - -.._ ..—. — Page 1 B of 22 .
[�quvi�d by thte a�ctton, o t�� ate:e ! nch:ainp �utAo[tty mey opan e end�rda.
v�atipetion o motlon. 7h�[�tate (�enchtetnq�utho�ity C Ib� T1+��o1Ce[ o[ � �tet• ttenchia� aAsll comp:y vitA p�ovtaione
ahell �o1G public Aee �nqanb�for inq e��c . TA�c n oE 9�ction 6J�.5 ot 2A� P�nel GoO� end t�e prt acy f enC�tda _
mey a�ep�nA o vok��_M fraccAia �st :h�I:olde�`taila to comp�yl� ont�:naC ln Sectton 631 0: t�� tede[al Cebl�Ac! (11 U.S.C. Sat. SS1 •
v�[h t��proviaiona o! tAaa O�v�a�on, e, eeq.1. .
(hl It cl:� atate ! nc�aaing euthoiity finG� chs: tC� �o3A�t (c) T�e loc�l enttty fhall •nforca ell ot t��cuatoe�r a rvlc• snd .
toletion ot 2�te aacteon, it ary, etl]icion c •ny ocA�[ c medi�en prot�ctvon aCenQatda oL cAia a tt� teap�ct to compl�inta
pcovtC�G by lev, impoe� • fine not t ��d 1 pe[c�nt of cAa•holOat' wC lrom raalG�nta wi2Aln t��o: c�l entlty'a ]urlatlaction, but
a total montAly q[osa t v�d•trom p�ov:eaon ot vid�o it�mey not •dop[ o eek to�nfo�c� any edGttionel or dtft�r�nt
r,t�e a cR santR ttom th�dat� ot th�6�ciatcn until uatomn� a�cvice o ottfe� p�cfoxm�nc� ai�ndexd�yndei s�ction S)OSS.J
- ChaVdat�1:A�t complienc• le ecRieved. aubdivlaion Iqli It), lal of 4�ccton 57088.2 ot c�a Gove['unent
' li) :. ute [inda tAet t�e Aolder ot c�e ac�ce tranc�iee i [od�, o any otAe[ euc�o[ocy o[ptovia:on ot lay. ,
iolet:on otctAis a�ction, th� c ui[m�y immedint�ly tetminet� tM�n Id) T�e lOcel �ntity ahell, by oiGan�nce o solution, p[oviae e
� �o1C�t'a �_�t• : nc�iae, end t�e coutt ahell, i •tldi[ton to�ny ��n.e�i.o!p�n�lti�a to[ any m t�l b[�ac�Cby a �o1Cec of e atet• ,
oc��r r medlea p�ovttl�O by lav, Smpoa� • fin�not c eed 1 perc�nt ncRia ot thta e�ctton. No�netecy p�nel<i�e ahsll Ee s aed
t��Eoltle�'a t cel proaa � of tta entir�csO:���nd a tot e •rlel b[��c� if lt 1a out o( tAe r nebla conttol�of [A�
footp�ir.t in t�� atste in t�e�tull•cslende[montA imm�Al�t�ly pito[ ho1Ce���[u[th�c, n netn�y p�nel[1��msy b�Lmpoaed prio� to
co the��cia:on. J�nue[y 1, 200�. My acA�dul�ot m nat��y p�neltl�f �Copt�d pucauenc
171 A� uaed in t�te e�ction, [M follorinQ de[anttlona aAsll to Chta f�c[Son aA�ll ln n an� • eed fav�hunGrld dollare (550�) .
� spD�Y� [o� asc�C�y ot ��cA ast�it�lVbceecnC not to a ��d o a t�oua�nd
I1) 'MouaaAo:d'm nalatent ult� CAa Un1[�tl 9[�taa C�naua tiv� huntl�ad doll�ia �91,500) 1or��cA o . iel
Bur��u, e e�oua�, •neps[twnt, •scbal��om�, e q[oup ot [ , or breecA. Mov�V�i, lt •vuteri�l br�ecA otC[htaaa�ct�on A�ato ted, .
inqle � :h�t � •ntl�E fot o cupency • ��ps[�t• Itvinq �nd xM loc�l enclty haa p[ovidad notice entl a fin�or peneltyrM�a
qus . . 3e0�+ste livinp qu��t�ia sY� cAoae i �Atc�tAe occupenta bee aed, enG it n auEa�quant m�t�rael Er��ch o[ t�e a n�tura
�nd e e�par�tely t[on eny otAe� p�caonanin tha hutldlnq end �tt�1n 12 sont�f, tA�p�n�ltv�a�y be i a�d by the loc�l
�hich Aeva tlit�c[ ecceaa ![om t�e out�id• o[ [Ae bulldtnp ot [�rouQ� •ntity to�raximum of o e tAoua�nd doll�t� IS1n000� to[ •�ch Gey ot
� e n �ell. ecA m�teti�l Er��cA, no[ to a •�G thcae t�ouaend dolleia (53,0'J01
' c�Z) •�ouaeAo:d' a [�oae ��a�d�nei�l how�Aolda foi •tA o o( t�e met�[i�l b[eac�. It e t�i�d or futtM�
loc�ted^v�tAtnc2�� �olda['� � amattnp tal�p�on�a vhe�� tA• met�risl bc�ac�otetM a netute o vlthan tAoaa a • 12
[eq� usl hcu�e�o1C i a la l��a th�r. 575•�OOcE�aad•on t�e �:n., .�a Cha loc�l entlty A�a provld�d nottce end n t�ina o[
' Unit�d St�t�� Cac�ua But��UCe�timec�a aC]uated s ually to[�tl�ct Denslty��f ba�n aed, t��penelti mey W inct��a�A to e
tatea ot chenq� and dia[[ibutlon tArouqA J�nu�Lynl, 200]. exlmum ot c o tAo�aenG five Auntlr�d dolleta 112,500) tor eac�dsy ot
IJ) "[uacon�i'a houaeholtl' m a choa• : aid�nciel how�Aolda ac�wca�i�l O�e�c�, not co• •�G � n cno��s�a fiva �unGred '
locet�tl vit�in t���oitlet'e• inq c�lepAone e rvlce e tA�t sca doll�[a (3�.500) tor �ech o of•th�natetisl bi�ecA. Ntch
ot tA� a�rvtce by vhac�t��t [e:�pAon�•a�rvica e[�e ia eap�ct to vid�o ptovldera aubJactcto� t[�nc�iae o[ licenae, eny
d�tin�d•� n�t�ry p�n�lti�� • a�A und�� t�ia a ccion aAall be raauc�G �
��) 'Acceaa• • that the �oltl�Y i c�p�bl� of pcovidinQ vtG�o dollec-tor-tlollsr to�t�� ut�nt eny liQuidet�0 Asmeqa r Denelty
et tAe ho�e��c1C�ddieaa ueing eny cecMoloqy, oth�[ c�an ptovlsion ot • •n[ cebl� televtaton orCinenc�, t�ncAtae '
tlirect•to-hom� aet�llite a provadinq 2 -v�y broeCbentl ac[, r 11c�naa eg[• �nt twpoa net�cy obliqetion upon e
Int n�t c�p�bili�y antl videolp�oq[enminQ, and viC�o provid�[ to� th� a uatom�r aervl�• tailu[ra, end no otAei
!ur n�li!y, xege[dl�s ot v�e<��x eny cvatom�zttua oxdex�C a �ce m n�t�ty dmep�a asy b� s a�d.
v�et�e� t�� o r len�lot0 0 otAe� naponaibl�p�[ n AsaIV (a) Th� loc �ntlty �Aell pive [A�vltlao p[ovider vrttten n
qtented e � tontAe�houaaAoltl. It m e t��n o a tec�nolopy fa of �ny n11�q�A•�et�[i�l bi�ec��a ot t��c at�nda[aaco.
utlltz�tl,c[M tecAnolopi�a aAell pioVtGe aimile[ tvo-v�y biostlb�nd chta tllv3alon�nC�llov t��vid�o provld�cn�t leee[[70cdaya :[om
in2�rnet e atb(lity�nd a mil�[vsdeo p[oqr�tinp. r c�1D[ ot cM no[Sc�to r�ady t�� apecifl�C met�rl�l b�asch.
' Ikl No[hir.q tn CAia a eRall Ee c u�G to �aqulc� a hoLdac • (t) A m�taci�l bce�cA!ox Ctfa pvsyoa�a o2 • inp p�nalt�ea
o p�ovide vitl�o a �vlc�o te1G� ita w1��lin�Cfootp�int ot to metc� a�all be de�MG to A�v� o i�d tor��cA dey vltAin tM )u�tftltction
� t���xiftinp ceE1�•f�encAiae ce[rttoty ot eny cebl� o�o�te•r. ot �sc� loc�l •ntity, tollovtnp t�a �xDlt�xton ot th�p�tioC
� ep�citted 1n aubGlvlaton (�1, tAet �ny m i�l bi�ec� ��a not b�en �
�m��i�tl by c��video pzoviGer, i�c��pecciv� ot tA� nwvbe� ot
c .ft.cc.a.
u�Iql My pm�lty a�all Ee p[oviC�d to t�� locel •ntity v�o eAe:l
5900. (e� T�e Aolde[ 01 a at�ta f�enchia� aA�ll comply vith 2�• aubmlt o�-h�l! of th�D���lty co t��Diqit�l Div1C�Account
' p�oviatona of secciona SJO55, 5]OS5.1. 53055.2, enG SIOBB.2 of the •atsElia��C Sn Saction 280.5. '
� Gcv��`v.�nt Code, enG eny o[A�r cuatoe�[ a�cv1 e atanaards p�rcelnlnp � lh) My 1nt��eat�d p�t my���k�•�dtci�l r ry ot e Gac:aion I
t��pio ot video •at�bltaAaCcby f�tl���l lev of tM loc�l �ntaty ln• of •pp[op[i�te )u tedtction. tot thia
� �equletlonVo letlopt�tl Oy>ubaaquent ��cts�nt ot tA�Leqialetu[�. All purpoa cour. ot lsu ahellCconGuct e E� novo ravi�v ot eny laauea ,
m�[ e snd c t proteccion at�nd�rda unG�r thla pr�entade
' •cttor. ah�lllb• int�rpceted enE epplaed [o e �mod�te n���[ o Itl t�lf aactton aA�ll n c pteclud� a 0�+'Y etf�ctaj by cT1a
Cttt�rent [ecAnologt�>v�11e v��tinp ot exc��tltnp cM qoala of the aectaon ltom utllizlnp �ny 7uA1t1e1 [�n�Cy avetlable to t�a[ pe�:y
' hap�//wwwle�nfocagov/cgi-bir✓dsplaycode°xcdon�puc&grwp�03001-06000&file�5... 7JI3/2007 hap�//www.leginfo.cagov/c�-biNdisplrycode'secuon-puc8cgra+p�S001-06000&Ne=5.. 2/13/2007 �
� CA Codes(puc:5800�5970) Pege 19 of 22 CA Coda(puc.SB00-5970) Page 20 of 22
I
vttAouc i�geid to tAia a . Actlona tak�n by• local l�qialecav� M10 by �ealdenta ot C�lilorni�avploy�tl by Ao1C�ta ot atat•
body, ncluAlnq • locel f�enc�lainq�uthc�lty, D�i o t�ia ttencTle�a �nd th��v�raq�p�y�ntl ben�tlt� ot t�oa• 7obs en0,
eh�ll not be binEanq uGon e urt ot l�v. [orn[�i� pu�poa • a�Der�[ely, t��numbe� of out-o[-at�t• t�ald�nta �mploy�C by ,
c u�t�o( l�v a��l: contluct tl� n o[ •ny i e prs ent�d, 1nd�pmEent ront[�cto�a, conp�nl�a, enQ c aultanta At[�tl by [�e .
, 171 (o� pu�poa of [Ala � iel b[��cA• •ny �olde[ cal<ul�ted o • full-tlm� ot tull�tim�aquivntent bee», when '
aubatanca�l en][�p��t�d teilu�e�o[ a v3deo a�Y�tc�p�ovid�r to t��hold�[ i not c ntiactu�lly pro�ibitad Srom diacloalnq che
acply vlth a ic�quelity�nd ot��r at�nd�rda ap�cl!tad in lntotm�cvon co tM public. l�ia p�rep[�DA eppli�a only co thoae
subGtvtaion (s)V �eployaa o[ �n indap�ntl�nt cont[ectot, o�p�ny, aultenc t�et
(k) T�� Diviaion ot Rst�D�Yei Aavocet�a ahsll �ev sutAoricy to si�p�raonelly ptovidinq a�tvic�f to c�echolG�[, anEcGo�a not apply
• eGvoc�te on beAelf o[ video c ieqe�dlnq r v�l ot e to eeploy�• ot sn 1nC�pend�nt contrscto[, company, o� ccnaulC�nt not �
atec�-iaaued frenc�ts��nd ent ccen�nc of leccaonan5B90, 5900, end peraonally p�rtorninq f � tor tM Aold�c.
5950. lo� t�ie yurpoa c�e tliviaion sAe:l �nve e a to�ny (4) Th� numb�r ot n�[Cn v poattaona p[oDoa�C to b�c e�ted
tnto�mecton :n tha pcaa�aaion ot tAe c aub]�cc [o ell tllrettly by cA��old�[ of �at�c• [t�nc�ia�Guting cA� uptoning y��r
eat�icctona on dtaclo�ura o[ thet intormetionnthet a[� �ppltc�b:• Co by xcup�tion�l cl�aaaficetiona antl Dy c c�qory o! full-time,
cM caomi�a.on. p�rc-tlm�, tempor�iy, anG c [ecc �eploy�•
Ib) Th�co�nlaaion s�ell�• u�lly tepor�t�� in[a� iequir�d -
� to b� [�potted by Bo1Cet�of at�ie tisnc�ia�a pu[ausnt to aubAiv:aio�
(.), co tM Aaaambly commicce� on ucillci�a �nd comm�tce end x�e
5330. la) TM Aoldar ot a at�:e t�enchiae ah�ll pe[form beckqrounE Senet�Commltte� on Ln�tqy, Uctlrtlea snE Comnunacetiona, x��tc
c��ck+o[ eppl:cen'� [�t employmenc, accotCanq co curten[buain�aa cosmitt��a, end vit�ln e n�bl� ttm� theraefc�r, ehe':
aucc�eaor [��ao
p[scc�c�a. mek�the intocmatlon evsal�bl• to [T�publac on ita In2�[n�t Neb
(b) A beckqtound c�eck putv�lent c c��t p��tormad by the Aold�� a:te.
�neu ai.o e•conau�cae o .it ot cne eoilo�inq: !
� �ti e.� � �i[ed Dy.nola•� unae: .Pe. n•i � ��.�.conc�.�c.
i
1�1 Intl�pendent c �cto�a end!h�1[ �mploye�a.e 53J0. 1�) Notvlt�a[�ntlinq eny otA�c p�ovlaion ot c�ia tllvia�on, I
(]; V�nGota nnd cMi[ employ��e. �ny vid�o s �vice pxov�Q�t cAsc Cuxx�ntly�o1Ga e t[anc��ae vi2�a .
Icl :ndepeneenc c ecto�a en�venAora eAell c�ttily c��c cB�y loc�l 1�encAl.+inp entity i unty c�ac Sa �patcy, ich�c �lone or
�ave obteln�C cM D�ckqcound c��cka tequireC purauent to�u0Clviaion 1n conJunction vlt�eny ot��r local f�snc�aaing�ntity loceted t
(E), end ��ell meAe tT�beckp�ound c��cka �vs11eb1� to the Aold�[ t�a� c unty, to� atipuletion �nd t ant 7utlQment • cu[ed by c�e
upon requeat. p�cti�s tAeiato�nG�pprovad Ey� t�d�[al Gie[�ac[ c urt ahell
� Idl Lzc�pt �a otAerwiae piovltleO by c �ct. the Aold�r ot• •ttAe�h��ntttled c �at�aut� [tanchta� i �ny e ot thec
at�t• ttsnc�ta� a��:l not be r�eponatble ! edmtnla[eclnp cA� ounty, incluGanq �ny unlncoipo�ac�E • end nny lncorpor�ted ctty
CeckqrounE thecka entl a��ll not eaeum� cAe�coata o[ t�e beckq[ounG ot t��[c un[y, n �b�oqet��ny• iatanq t��nc�tae betor� July 1,
cA�cRa o! indlvtduala v�o e�e noc epplic�n[a [a[ �mployw�nc of t�e 3011. P[io[ to Suly 1, 2031, tha vi0�o a �vSc�ptovid�[ ah�ll '
�o1Eer. ontinu� to W exclualwly qov�rn�G Ey�ny�xietinq frenc��ae rit� n
��� (1) Subdivsaion (el on:y appli�� to sppllcen2f tot amploym�nt locsl 2t�nchialnQ�ntity tor c�� term o! t��t t�enc�ia��nd eny en0
c po>>[iona Chet vou1C�:lov tAe eppltcent to�ave Earect c •c[ e:l lefu�a ialetlnp to r v�l, c��na[a[, o o[her�ie• t teletton to 1�
v�ic�o a to th� �o1Q�['f n�tvo[k, �n[t�l otttc�, uatomer tA�t tr�nc�ia� sAnll be eolveA pu[ •nt to t��t • is[inq fcen��:ae
p[�Na�f,�c�nd pa�fc[m ecttvlttee [hec i volva the inetall�tion, anE otA�rvaf� �pplitebl�[I�E�t�l enG�loc�l lev. T�la aubdiva�t�n
a tvlce, o r�peat ot xA�Aoltl�r'f n�tvo[k o �quipm�nt. ��all nat b�deem�G to extend eny�xlatinQ f[�nc�ia�G�yond •ta t�rm. �
� e 12) lvbAivlfion Ib) only appli�a to pe�sone thet Aev�di[�ct '
ect vitA o a to the holder'�n�tvork, c r�l otftce, or (bl Mh�n• ncumbent cebl� opa�etor ia p+oviCtnq a unG�r sn ,
u�tom�s piemiaasCCenE petto�m activiti�a tS�t i volv� the •xpir�d 1[�nc�lae o e ![enchl�e tAet �xplrea b�for� ]�nu�cy 2, .
lnfc�ll�cion, a�[vlc�, ot r�p�v� ot c��holder'ennaxvork ot 2008, the loc�l entity way�xc�nd ch�t ft�ncAia� on che a
� equlpm�nt. •nG condltiona cn:ouvn Jenus�y 2, 2008. A ft�t� frenc�ta�•t ueC@co
� (tl Th�a a�ction tlo�f not epply to t�mDoreiy�o[t�ra p�rto[uonp any intucbant cebl�op���tor a��ll not b�com� oDe��[iv�prlor to
_ e�qency functlona to i • tM n�[vo�k ot s�o1G�� to i rm�l ]�nue�y 2, 3008. I
atete i t�e � �nt of s �al C:eaatet o n�m�[q�ncy thec n Ic) 1fh�n s vaO�o a�[vtc�Drovide� tAet �olda s a[e2• trenc�va•
t�[�ecena oi r�sults in t��u:oaa ot aa[vice. p�ovitl�a tT� nocica [�qulretl p�� ent to aubdlvlalon Im) of 9�ccion
SB�O c s loc�l anticy, t�� locelut[�ncAiainq�ntity my[�qui[e el:
nc�mE�nt c�bls op�[store to a��k a at�te fcenc�ia� �nd a�sll
� [�rmin�t� CA� t[�nchia• i u�d Dy che loc�l ttencTlfinp entaty vT�n
5970. (al A�clde� of e • [ranc�iae epployinq mo e thsn 150 [Ae c mniaaion laauas e et�te ttenchla• fo[ tM vttl�o a vlce
total employeee 1n Cali[otnls[ahell ennually r�pocc toL[he comoiaaton provlG�i thet tnclutl�a tAa�ntlr• a ivlc� a• vetl by(the v�tl�o �
ell ot tAe !olloving: •proviC�r �nC tAe vitl�o a a p[ovtAe��nott[1�a ths locel
(:1 TAe num��[ o[C�l1to[n1e [ aiG�nta �mplcyeA by the holde[, •nt1[y CAat it vill beqin proviElnqlvld�o f�rvac• tn [��t �c�s untl�t
celcul�ced o s full-ctm�oc tull•c_m� �qu�v�lenc beale. s �cste fxsnc�la�.
131 T�e Deicenceq�o[ t.".e Aolde�'e tot�l doaaa[ic vorkfoice,
c .�ted o • full-t�me o[ f�ll-:1me aqutvel�nt D�aia. �
. (7i TAe typ�a antl nuvbe�a ot 7oba by occupatton�l cleseittcetlon
http�.//www.leginfo.cagov/cgi-bin/displaycode"'secdm�uc&group�05001-06000Bcfilr5.. I11JR007 hnp:/Mn`w.leeinfo.cagov/c�-bin/displeycode�section-puc&group-05001-06000&filr5.. 7/13/2007
- CA Codes(puc5600-5970) Page 21 of 22 CA Codes(pur5800-5970) Page 22 oR2
ss�o. rne noia.. o. �c.ce :�en�n.�e ��aer cn,a a�v,�.on�no•t�o � cr.•c n pu� .nc co cnia a an.:t e•a���io�ea co cn•
ptovidea atend-elon�,• aid�ncie:, pcimcy Itn . baa c�l�phon p�;bl:c�n:yl�s psoviO�E tcx ptix ant3to Sect�on 50]. No acCivtdual`y
a0si1 not i�ci�ee• t�ia r e to finenc� t�� coa[ o! d�ployinq tdenttf��bla cuatome� ln[otmetton aA�ll G� aub7�ct [o puE11c
e netvo�k co p�ovtde vttl�o aetv.ce. dlaclwuca.
� 5950. T�e . aA�ll not p�[mit a t�lpAon�co�po[ n tAst '
- a provlCsr.p�v�ideols •tltxect:y or t�rouq�ita •Sfili�taa 59]0. 9ubj�ct to tAa [�quvr�pnta ot tAi! diviaton, e :ete
pu[au�nt Co e cst�-tffued t[encAtae e ncumb�n[ local �xt�enq� 1r�ncAta��y b� t[�nat�[r�d to �ny a int�Y�at ot tM
[ to i rst�a toi � ettl�nti�ln pcs�ery 11n�, baaic Ao1G�r to.,n.�n cna c�rta[icet� otiqinally�ia 9�.�c.a, �n.c:�« cAia
t�1�D�on� a �aDOVe tAe r ot July 1, 2006, unttl Jenuery 1, tz�nat�i ia by�erq�r aela, aiqtw�nt, b�nk�uptcy, ucturinq, .
2009, unllaaf[het t�l�p�on�co�po[e:ion t �equl�c�G und�� [ . eny otA�[ typ�ot trsna�ction, p[ovvded t�at th� fo:lovinq .
. �.tuin c.qu:.cion. xov.ver, cne c n.y ellor rec. incr..s.a conaiciona . a.c:
[o teflecC i a Sn 1nl1�[ton�1�Ao�n :n t�e Conawn�[ Piice (�) TA� ti�nffe[�� au0mi[a to t��c oifalon ell o! tn�
In6�x puClsahed bytM Buxe�v o2 LeCox Sc�tlacica. T�ia a ccion Eoe� in2o[mation[�quireG by trif dlviaton ot e •DPlicent.
not •[f�cc tha sut�ority ot tha c n to�ut�oriza• aa �bl TA• tr�nafe��� sateea CAet �ny coll�c[iv�barq�ininq �aceea�nt
[et�a for b�aic t�l�p�cna a �lt��t ia bunCl�tl vi[AnotMree r�G 1n[o by�vld�o a •provide� eA�ll t • to b• �
en!pric�tl e e bundl�(VNotAinq ln t�af aection t intendeE Aonot�d, peitl, ot p�rfor��GVto tM a •Xt�nt e ould be r�quiied .
to`p�ohib>t impl�m�nt�tior. o[ c n d�ciaton D. 06-01�0'11 to t�� :[t�e v1d�o a tv1c�yrovlCet continued c op��eteVuntler ite
•xt�nt i[hea not b��n impl�m�nt�G1D�io� to]uly 1, 2006. nc�1a• for t��Cur�tlon of t��t ![�ncAlaa unl�ea the Cute!ion ot
thet spr��m�nc la li�it�C by lta t�cma oc by C�Get�l ac •t�Ce Lev.
I
5960. (el Foi pu[pon�s of CA1a a a t[�ct' Asa tM a . �
inq e s�G by th�Untt�G sc.ce�lc.�,u,�a��e.�, .�a •no��.noie^e
. AsancA� e �nq s sD��ified in 9�ction 5890.
(b� Lvemy Aoltl�[, no 1�[er [�an hp�il 1, 2008, �nd e nuplly n
I 1si�: t��n 1pii1 1 cMc��lter, ah�il x�porc co tr�cosmiaaion on• '
, c �ct beaia t�� !olloving inform�tion:
en`11 8[o�tlb�nd Into[�etion:
(A1 Th� number ot �oua��clda to v�ich tAe Aoltl�[m�kea b[oetlDend
� sileb]• tn t�ia atet�. IC t�a hold�[ do�a not m tntein Chia
ntortition o a tr�ct bsale tn ica noiwl�c ot bueineaa,
cM Aold�r m�y i neDly�pp�oximece ch• numb•i oL�Aouaahold. b�a�d ��
o nformstion itekeapa 1n cAe n mel c ol buaan�aa.
n (e� T��n�dmbet ot �oua�holda thec auEacr•ba to b[o�d��nd cAet t��
. noie.r uk�a :ebl• n[Aia et�te.
�ci .necne��:n.eno.an.�a Pro�.a.a ey cn. noiaer �c,ii:..
I viielin�-b�aetl f�cilicl�a ot enotA�r t�cMnoloqy.
121 Vidao Intormetion:
� Ir7 If tAa Toltl�r i s telap�on� coipo[etion: ,
i�� :n.��,mee� oe noo,.noia� .�cn. noia.��., c.i.vno�e �e��,�.
•���,�� rn. ��e. oa no��.noid� , nn.noia.:•� t�l�p�ona �.��.o.
a -n.c a otee�ea�ae.o, rva�.ey cn• nota.:.
i �ie> >e cn.noia.< <.i.vno�< <orPo:•c.e�:
� t�� Tn. o„mee: o: no�,.noia, .�cn.noia.r, �,a.o, .
i��� xn.�ww.r oe no��.noia. ��cn. noia.�•� o:a.o e.ro��. .�..
cn.c . ctte�ed vie.o a e ey nn•no;ae�.
� �����o�-:�oove x��..noial:neo�ee��o�:
„i Te.�„�m.� oe io�-i��om.no�.,.noia. �� cn.�oldet'e�ie.o j
i � j�.i� Tn.�o�,on« ot to�-in�o.e no�,.noie� i��n.noiae�•��,a.o
� ., . cn.� e oee.�.a�ia.o., ��i�.ey cn.noia.�. �
��c�i�Tnee� o i.�.� cn.�a�ty i, zooe, .�a.N,u.0 y,
l.c.� tn.n Julyll�cn.c.1c.�, a�.11 �uEmac co cn.cov.rno� .na cn.
Laqialatut� • �epoit t�et includee be��C on y�a[-�nd C�t�, o
eqq�eget�7 beava, t�� infors�tion aubmitt�d by Aoltl�[a pu�euancnto
aubGivl>ion Ib�.
(CI All intoimeclon�uEmitted tc !��eom�aatoa and cnpoet�d Ey '
I
http.//ww�v.leginfocagov/cgi-bin/dsplaycode''uctim-puc&cgroup-05001-06000&filr5... 7/13R007 htlp:/hvww.leginfo.cagovR�-bin/displrycode�sectionryuc&group�05001-06000&filr-5... 1/13/2007 �