HomeMy WebLinkAboutORD. No. 1133ORDINANCE 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 Usage
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.
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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.
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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