Ordinance No. 0701 10-01-1979_ ,,;
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ORDINANCE N0. 701
AN ORDINANCE AMENDING CHAPTER 405 OF THE FRIDLEY CITY
CODE ENTITLED CABLE TELEVISION FRANCHISE
The Council of the C�ty of Fridley does ordain as follows
� Chapter 405 of the Fridley City Code is here6y amended as follows
405.01 CREATION
The Fridley City Council does orda�n that it �s �n the publ�c
interest to perm�t the use of publ�c right-of-ways and easements
for the construct�on, ma�ntenance and operat�on of cable
commum cat�ons systems under the terms of the following
Franchise Ord�nance; said Public Purpose be�ng specifically the
enhancement of communications within the C�ty, and the expans�on
of commum cations opportum ties outs�de the City.
SECTIDN 405.011, SUBDIVISION 9:
9 "Gross revenues° shall mean any and all compensation and
other consideration collected or received, or �n any manner
gained or derived by the company from the operat�on of �ts
cable telev�s�on service, includ�ng but not limited to
advertising, leased channel fees and origination or access
cablecasting operat�ons for which a per-program or
per-channel charge �s made, w�th�n the corporate l�mits of
the City of Fridley, as such corporate l�m�ts now exist or
may be established hereafter.
, 10. "Gross System Revenues" shall mean any and all compensat�on
or other considerat�on collected or received or in any
manner derived by the company or any su6s�diary, holding
company or subsidiary of said holding company, from the
operation of �ts cable telev�s�on service, including but
not lim�ted to advertising, merchandise sales, leased
channel fees and origination or access cablecast�ng
operat�ons for wh�ch a per-program or per-channel charge is
made, within the corporate limits of the City of Fr�dley.
405.05 PAYMENT TO THE CITY
On or before April 1 of each year follow�ng the commencement of
cablecasting, the company shall pay to the C�ty a use fee equal
to five percent (5%) of the annual gross system revenues
received by the company for serv�ces prov�ded w�thin the C�ty
during the preceding calendar year. Th�s fee payment shall be
in addition to any other tax or payment owned to the C�ty 6y the
company. In the event that any payment �s not made 6y Apr�l 1
as provided above, �nterest on the amount due shall accrue from
such date at the annual rate of 125% of the lowest "Prime"
commerc�al lend�ng rate established by any Fridley bank at the
time del�nquency occurs.
� Upon the petition of the company and a showing that it �s �n the
public interest to do so, the City Counc�l may, by a 4/5
affirmative vote, waive collection of all or any part of that
portion of the payment required by this sect�on that is
attributable to compensation rece�ved by the company from its
cablecast�ng operat�ons for wh�ch a per-program or per-channel
charge �s made.
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405.051 USE FEE DEDICATION
405.06 AUDIT
All monies received by the City from the company under Sect�on
405.05 of this ord�nance shall be segregatetl from the General
Fund and used by the City for purposes of CATU regulat�on and
other act�vities d�rectly related to achiev�ng the public
purposes for wh�ch this Franch�se is granted.
At the time of its annual use fee payment the company shall f�le
with the City a detailed financtal statement prepared by the
corporate treasurer or, when requested by the C�ty, a Certified
Pu61�c Accountant showing Gross System Revenues as defined
here�n. The company shall also file any further financ�al
�nformation in regard to the company, its subsidiaries, �ts
hold�ng company or �ts subsidiaries which may 6e required by the
C�ty Manager to assure compl�ance w�th the terms of this
Ordinance.
4D5.251 ADDITIONAL SERUICES
On or before the f�rst day of April, 1979, and on or before the
f�rst day of April of each succeeding year, the company shall
subm�t to the City Counc�l a plan for the coming year's
operat�ons which shall contain the following �nformation
The proposed number of channels to 6e prov�ded and the
allocat�on of those channels to spec�fied uses, including
proposed number of channels to be devoted to network
affiliated televis�on stations, non-network �ndependent
telev�s�on stat�ons, including educational telev�s�on
stat�ons, and channels to be devoted to locally originated
programs and leased channel uses.
2. An est�mate of the total number of cablecast�ng hours per
week per channel wh�ch the company proposes to devote to
local programming, and a general description of the types
of local programs it proposes to or�ginate.
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A descr�pt�on of its proposed advertis�ng program.
A statement of the use and availability of channels and
facilities by local political candidates.
A descr�pt�on of any plan for providing a duplex system and
FM multiplex stereo and music channels,
405.252 STUDIO FACILITIES
The company shall construct, maintain and operate a color studio
and production facil�ty within the Ctty l�mits. At the request
of the City Counc�l, the company shall submit to it a plan for
th�s fac�lity wh�ch shall �nclude a descr�ption of stud�o size,
type of facil�ty, techm cal equipment, hours and time it w�ll be
operated and estimated construct�on or reconstruction time. The
company's plan shall also include �nformation on how it will
maintain 7n proper work�ng condition its equipment to be used
for local or�g�nat�on cablecasting and by access channel users.
Sa�d plan shall be sub,7ect to the approval of the City. The
company shall execute a performance bond payable to the City to
insure conipliance with this section.
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PASSED AND A�OPTED BY THE CITY COUNCIL OF THE CITY OF FRIDLCY THIS 1ST DAY OF
OCTOBER, 1979.
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WILLIAM J. NEE - MAYO�`
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ATTEST
�J�'v�-�d��j�%I.G�A�
CITY L RK " MAR IN C. SELL �
First Readi�ig: September 24, 1979
Second Reading: October l, 1979
Publish . October 10, 1979
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