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Ordinance No. 40-80-11 v • 4110 ORDINANCE NO. 40-80-11 AN ORDINANCE GRANTING A NON-EXCLUSIVE FRANCHISE TO COX CABLE OF JACKSONVILLE BEACHES, INC. , TO OPERATE A CABLE TELEVISION SYSTEM IN THE CITY OF Atlantic BEACH; AND SETTING FORTH CONDITIONS ACCOMPANYING THE GRANTING OF THE FRANCHISE. • 11/ SECTION 1: SHORT TITLE This ordinance shall be known and may be cited as the "Cox Cable of Jacksonville Beaches,Inc. Cable Television Franchise Ordinance" . SECTION 2: INTENT WHEREAS, the City of Atlantic Beach pursuant 40-79-9 as to Ordinance No. amended by is authorized to grant one or more non- 4U-80-l0 exclusive revocable franchises to operate, construct, maintain and reconstruct a cable television system witr.in the City, and; WHEREAS , the City has solicited applications for a cable television franchise on a competitive basis , and after due evaluation of the applications recieved, and after public hearings , the City has determined that it is in the best interest of the City and its residents to grant a franchise to Cox Cable of Jacksonville Beacnies,. Inc. NOW, THEREFORE , the City (hereinafter also known as the 410 Grantor) hereby grants to Cox Cable of Jacksonville Beaches , Inc . (hereinafter the Grantee) a cable television franchise in accordance 40-79-9 as amended with the provisions of Ordinance No. by 40-80-10 and this ordinance. SECTION 3: GRANT OF FRANCHISE A. Cox Cable of Jacksonville Beaches , Inc. , (Grantee) is hereby granted a non-exclusive revocable franchise to construct, operate, maintain and reconstruct a cable television system within the present and future limits of the City (Grantor) . The franchise is granted subject to the requirements contained in Ordinance No. 40-79-9 as amended by 40-80-10 and the provisions set forth herein. B. Grantee acknowledges and accepts the right of Grantor to issue a franchise and Grantee agrees it shall not now or at any time hereafter challenge this right in any way or in any City, State or Federal Court. C. Grantee acknowledges and accepts the right of Grantor to delegate regulatory powers to the Jacksonville Beaches CATV Board, which was created by the Cities of Atlantic Beach, Jacksonville Beach and Neptune Beach in an Interlocal Agreement dated March 12, 1979 , -2- r and Grantee agrees it shall . not now or at any time hereafter challenge this right in any way or in any City, State or Federal court. D. The effective date of the franchise shall be the date that Grantee shall file with the City Clerk a written, signed and notarized acceptance of all terms and conditions of the fran- chise. The franchise shall be null and void unless this acceptance shall be filed within thirty (30) days after final passage of this ordinance. E. The term of the franchise shall be fifteen (15) years from the effective date, at which time it shall expire and be of no force and effect, provided that Grantor may renew the fran- chise in accordance w;.th the provisions of Ordinance No. 40-79-9 as. amended by 40-80-10. SECTICN 4 : DEFINITIONS All words , terms , phrases and their derivations shall 40-79-9 as amended hE.ve the meanings set forth in Ordinance No. by 40-80-10 • SECTICN 5 : GENERAL REQUIREMENTS A. Grantee shall comply with the requirements of this 40-T9-9 as amended ordinance and Ordinance No.by 40-80-10 , and all offerings con- tained in Grantee' s franchise application. In the event of any conflict the provisions of this ordinance shall first govern, 40-79-9 as amended followed by the provisions of Ordinance No. by 40-80-10 • B. Advance on Franchise Fees. In recognition of Grantor ' s regulatory costs during system construction, Grantee shall initiate franchise fee payments to Grantor upon the effective date of the franchise at the minimum rate of two thousand dollars ($2, 000) per year. These payments are to be considered advances of payments due in later years and shall be credited in future years to those franchise fees that exceed two thousand dollars ($2 , 000) per year. Such advance fees shall not be recoverable from the Grantor in the event that the aggregate of future franchise fees do not exceed the total amounts of the advances . -3- C. Security Fund. ' (1) Within thirty (30) days after the effective date of the franchise, the Grantee shall deposit into a bank acocunt, established by the City and maintain on deposit through the term of this franchise, the sum of five thousand dollars ($5 , 000) , as security for the faithful performance by it of all the provisions of this franchise, and compliance with all orders , permits and directions of any agency of the Grantor having jurisdiction over its acts or defaults under this contract, and the payment by the Grantee of any claims , liens and taxes due the Grantor which arise by reason of the construction, operation or maintenance of the system. (2) Witii.n thirty (30) days after notice to it that any amount has been withdrawn by the City from the security fund pursuant to subdivision (3) of this section, the Grantee shall deposit a sum of money sufficient to restore such security fund to the original amount. (3) If the Grantee fails , after ten (10) days notice to pay to the City any taxes due and unpaid; or, fails to repay to the City, within such ten (10) days , any damages , costs or expenses which the City shall be compelled to pay by reason of any act or default of the company in connection with this franchise; or fails, after thirty (30) days notice of such failure by the City to comply with any provision of the franchise which the City reason- ably determines can be remedied by an expenditure of the security , the City may immediately withdraw the amount thereof, with interest and any penalties , from the security fund. Upon such withdrawal , the Grantor shall notify the Grantee of the amount and date thereof. (4) The security fund deposited pursuant to this section shall become the property of the Grantor in the event that the franchise is cancelled by reason of the default of the Grantee or revoked for cause . The Grantee, however, shall be entitled to the return of such security fund, or portion thereof, as remains on deposit at the expiration of the term of the franchise, or upon termination of the franchise at an earlier date, provided that there is then no outstanding default on the part of the Grantee. During the term of the franchise the fund shall be maintained in an interest bearing account with interest payable to the Grantee. -4- (5) The rights reserved to the Grantor with respect to the security fund are in addition to all other rights of the Grantor whether reserved by this contract or authorized by law, and no action, proceeding or exercise of a right with respect to such security fund shall affect any other right the Grantor may have. D. Recovery of Franchise Costs . Grantee, within sixty (60) days after the effective franchise date, shall reimburse Grantor for casts incurred during the franchise process to the extent not recovered by application fees . Grantor shall provide Grantee with an itemization of costs . SECTION 6 . CONSTRUCTION REQUIREMENTS A. Underground Construction. Grantee shall install all cable plant of the cable television system underground. Grantee shall notify the City sufficiently in advance of installation to permit City review and approval of all cable routing and equipment location. B. Construction Schedule. Grantee shall complete system construction and offer service to residents of the City within eighteen (18) months after the effective date of the franchise. C. Penalties for Delay in Construction. Grantor may, at its sole option, apply any or all of the following in connection with delays in system construction; (1) Reduction in the term of the franchise by one year for each three month delay exceeding the schedule of B. above. (2) Forfeiture of seven hundred fifty dollars ($750) per day for construction delays exceeding the schedule of B. above. (3) Revocation of the franchise for delays exceeding the schedule of B. above by one year . The Board may extend these construction requirements if, in its sole discretion, the Board determines that the grantee has , after acting in good faith, experienced delays caused by inclement weather conditions. Weather shall be the only circumstance under which the Board may grant an extension. -5- D. Richt of Inspection of Construction. Grantor shall have the right to inspect all construction or installation work performed subject to the provisions of the franchise and to make such tests as it shall find necessary to ensure compliance with the terms of the franchise and other pertinent provisions of law. E. Initial Service Area. Grantee shall provide service at standard installation charges to all City residents in areas with a density of thirty (30) or more dwellirr units per street-mile. F. Line Extension Policy. Grantee shall extend service at standard installation charges to low density areas within six (6) months after reaching a density of thirty (30) or more dwelling units per street-mile, Residents of lower density areas may request service and shall be provided service at installation charges based upon a pro-rata share of incremental construction costs. -6- • SECTION 7. SYSTEM DESIGN AND PERFORMANCE REQUIREMENTS A. System Configuration. The cable television system shall consist of at least two interconnected networks, a residential , or "A" Cable, network and an institutional , or "B" Cable, network. Both networks shall provide activated bidirectional communications capability in their initial configurations. B. Channel Capacity. The cable television system shall be installed to deliver signals at frequencies up to four hundred (400) Megahertz (MHz) , with specific channel capacities as indicated below. Cable Network Signal Direction Signal Frequency Range Channel Capacity Residential (A) Outbound 54-400 MHz 54 plus FM band Residential (A) Inbound 5-30 MHz 4 plus data Institutional (B) Outbound 174-400 MHz 37 plus data Institutional (B) Inbound 5-108 MHz 17 plus data • C. Institutional Network. The institutional network shall provide transmission and reception connections, capable of carrying video, voice or data signals, to the following institutions, as a minimum. ° Governmental Facilities Atlantic Beach -- City Hall -- Fire/Police Station -- County Tax Collector Neptune Beach -- City Hall -- Fire/Police Station Jacksonville Beach -- Municipal Building -- Police Station -- Fire Station -- Auditorium -- Beach Hospital -- Health Dept. -- Life Guard Station -- Post Office -- Library -7- 0 Schools Fletcher High School Fletcher Jr. High School Atlantic Beach Elementary San Pablo Grade School St. Paul ' s by the Sea Jacksonville Beach Seabreeze Elementary St. Paul ' s Catholic Beaches Chapel D. Cablecasting Facilities . Grantee shall provide a cable- - casting studio within the service area, capable of full-color local origination and access cablecasting. The studio equipment list shall be as indicated in Exhibit 1 , or equivalent. Grantee also shall provide mobile facilities for access channel signal origination at various locations . The mobile facilities shall include the items listed in Exhibit 2 , or equivalent. E. Satellite Earth Stations . Grantee shall provide a minimum of two (2) satellite earth stations no later than the date of system construction.completed. F. Emergency Override. Grantee shall provde an emergency audio override capability to permit Grantor to interrupt and cable- cast an audio message on all channels simultaneously in the event of disaster or public emergency. G. Standby Power. Grantee shall provide standby power for emergency operation of the cable television system for a period of at least twenty-four (24) hours in the event primary commercial power is interrupted. H. Parental Control Lock. Grantee shall provide subscri- bers , upon request, with a parental control locking feature that permits inhibiting the viewing of premium channels . -8- I. Status Monitoring. Grantee shall provide an automatic status monitoring system as an integral part of the residential cable network, to locate faults more quickly and improve cable system reliability. J. Technical Standards. The Federal Communications Commission (FCC) Rules and Regulations, Part 76, Subpart K (Technical Standards) , shall apply. However, because of the recent development of interactive and other innovative services, modifications of FCC standards, as presented in the specifications below, are considered as necessary to meet system service objectives. Applicable Technical Standards (1 ) Forward Signals - Class I Channels The system shall be capable of carrying 54 Class I Television Channels and the full FM broadcast band. The combined forward trunk and distribution system shall deliver signals to each subscriber's TV receiver that will meet or exceed the following specifications at the mean system temperature ± 50°F. . This shall include the effects of drop cables, interior splits, and any terminal equipment such as descramblers and set top converters. A. Peak to Valley response, 54-400 MHz 4 dB B. Peak to Valley, any 6 MHz Video Channel 1 .0 dB C. Carrier to Noise, 4 MHz, bandwidth 44 dB D. Cross Modulation Ratio 51 dB E. Carrier to Hum Ratio 40 dB F. Carrier to Composite Triple Beat 55 dB G. Carrier to Discrete Triple Beat (CW Carriers) 58 dB H. Carrier to Second Order Beat 60 dB I. Chrominance-Luminance Delay Distortion (All Channels) ± 150 ns J. Carrier to Echo Ratio (greater than 2 microseconds displacement) 40 dB K. Differential Gain 0.5 dB L. Differential Phase 1 degree M. Customer Signal Levels - the signal level delivered to the customers' TV receiver, except as modified by peak to valley 0 dBmV Min. specifications +10 dBmV Max. N. Level Differential between adjacent channels 3 dB Max. —9— 0. FM levels shall be essentially uniform and carried at approximately the same level as the Channel 6 Sound Carrier. P. Isolation Between Subscribers. 20 dB Max. In any event, sufficient isolation shall be provided to prevent interference between ' terminal equipment and other portions of the system. (2) Reverse Signals The reverse channels of both the residential and institutional networks shall have the capability of providing return signals from each subscriber tap to the extreme end of any area without noticeable signal degradation or interference. A. The system capability shall include transmission of color video, black and white video, and both low and high speed data, whether analog or digital . B. If necessary to prevent the build=up of noise and distortion products, the area shall be divided into sections, and sub-trunks run to a central hub within the area. Equivalent alternatives such as addressable taps or switches may be utilized. . C. No more than + 54 dBmV output level shall be required out of any customer modem to meet the system specifications. D. Where applicable, the end of the system specifications shall include the effects of any signal reprocessing equipment necessary to achieve forward transmission. E. For Class I signals, the signal delivered to the subscribers' TV receiver, after being transmitted to the headend, processed and retransmitted down a forward channel shall meet the specifications of (1 ) above. K. Performance Testing. Grantee shall perform all tests necessary to determine compliance with the technical standards of FCC 76.601 . Tests shall include the following: Initial Proof of Performance Annual Compliance Tests Tests in Response to Subscriber Complaints Monthly Monitor Tests Written records of test results shall be maintained, and shall be available for Grantor inspection upon request. —10— /Fr • SECTION 8: SERVICE AND PROGRAMMI"!G REQUIREMENTS A. Initial Services and Programming. Grantee shall provide initial services and programming as follows: (1 ) Basic Television Service. This service shall include: (a) Carriage of four (4) Jacksonville television broadcast stations, WJXT, Channel 4; WJCT, Channel 7; WTLV, Channel 12; WJKS, Channel 17, and one Gainesville station, WUFT, Channel 5. (b) Carriage of at least two imported television broadcast stations, WTBg, Channel 17, Atlanta (full -time) and either of WGN, Channel 9, Chicago or WOR, Channel 9, New York. (c) Carriage of at least thirteen (13) programs delivered via communications satellite, including the following: Christian Broadcasting Network, People That Love, Nickelodeon, Madison Square Garden Sports, Cable Satellite Public Affairs Network, Entertainment and Sports Programming Network, Satellite Program Network, Thursday Night Baseball , United Press International Newstime, Calliope, Cable News Network, Total Communications System Satellite Network, Public Service Satellite Consortium. (d) Carriage of at least thirteen (13) automated . programs including National News, Financial News, Sports News, Senior Citizens Bulletin Board, Cultural Events Calendar, Program Guide, Employment • Opportunities, Consumer Shopping Guide, Swap and Shop Services, Municipal Bulletin Board, Community Bulletin Board , School System Bulletin Board, Weather Service (including Radar Weather, National Oceanographic and Atmospheric Administration Weather, and Storm Alert Service). (e) Carriage of at least ten (10) local cablecast channels including Local Origination, Movie Channel , Public Access, Government Access, Educational Access, Health Services Access, Library Access, Religious Access, Cultural Access, Leased Access. CO Network Fill Service. This service shall include the provision of imported signals from distant television stations affiliated with the three broadcasting networks, American Broadcasting Company, Columbia Broadcasting System and National Broadcasting Company, so that any individual network program preempted by a Jacksonville television station in favor of a local program can be provided from one of the imported station signals. —11— /Fr (2) Basic Radio Service. This service shall include carriage of all local FM radio stations. (3) Premium Television Service. This service shall include at least one full -range premium channel , such as Home Box Office, and one limited service, such as Home Box Office - Take Two. (4) Security Alarm Monitoring Service. This service shall include the automatic monitoring of fire, intrusion and medical alarm signals in subscribers' residences and/or businesses. (5) Institutional Network Service. This service shall include the provision of appropriate terminal equipment and the carriage of closed-circuit video, audio or data signals on a point-to-point basis over the institutional network portion of the cable television system. B. Composite Channels. Grantee may combine programming into composite channels to improve efficiency of channel utilization or to attract a larger viewing audience. C. Changes in Programming. Grantee shall not reduce the number of program services without prior Grantor approval . Grantee may add new services at any time. If addition of new services is accompanied by a request for rate increases, the request shall be considered in accordance 40-79-9 as amended with the provisions of Ordinance No.by 40-80-10 . D. Development of Institutional Services. Grantee, within 60 days after the effective franchise date, shall deposit one hundred thousand dollars (S100,000) in an escrow account at a bank within the service area. These funds shall be allocated for development of institutional services, in accordance with a development plan mutually agreeable to Grantor and Grantee. -12- SECTION 9: RATES AND CHARGES A. Initial Rates and Charges. Grantee shall provide service at the initial rates and charges enumerated below. Installation Monthly Residential Service Charge Rate Basic Cable TV Service - First Outlet $ 15.00 $ 7.50 Basic Cable TV Service - Add 'l Outlets (each) 7.25 3.00 Reconnection Charge 15.00 0 FM Outlet (without cable TV service) 15.00 5.00 FM outlet (with cable TV service) 0 3.00 Home Box Office 15.00 7 . 25 Take 2 15.00 4 .00 Commercial and Apartment Service First Outlet - Single Bill Cost plus 5.00/subscriber First Outlet - Individual Bill Cost plus - 7.50/subscriber • Each Additional Outlet Cost plus 3.00 Reconnection Charge 15.00 0 Studio and Equipment Usage Noncommercial Users Studio Product Time 30 minutes allocated, no charge for first 10 minutes of tape recording if complete in 30 minute period, $0.25 per minute for taping over 10 minutes within 30 minute period, $0.35 per minute within next hour, 30.50 per minute within next hour. Supervision and Instruction No Charge Leased Channel Costs Negotiated System Playback Costs No Charge Editing Costs No Charge —13— • Commercial Users Studio Product Time $90.00 per hour Remote Production Time Negotiated Supervision and Instruction Hourly Rate + 20% Leased Channel Costs • Negotiated System Playback Costs $45.00 per hour Editing Costs $20.00 per hour Advertising Public Service No Charge Commercial - 60 seconds $9.50 Commercial - 30 seconds $5.50 B. Maintenance of Initial Rates. Grantee shaTI not increase the initial rates for a period of twenty-four (24) months after system completion, or forty-two (42) months after the effective franchise date, whichever is longer. The maintenance of initial rates shall include pay-cable rates, and Grantee shall not utilize FCC preemption of pay-cable rates to increase such rates prior to the expiration of the period above. C. Rate Increase Requests. Subsequent to the initial period of B. above, rate increase requests shall be submitted by Grantee to Grantor, and con id red by Grantor, in accordance with the provisions of Ordinance 40-79-9 as amended No.by 40-80-10 D. Service to Public Agencies. Grantee shall provide one cable outlet to government and educational facilities at no installation charge and no monthly service rate. Grantee shall provide at no charge a character generator to Grantor to permit entry of informational material on a governmental or community access channel . Section 10; This ordinance shall take effect immediately upon its pass age; n ia n ti n '� * Sn i * * a * h n n A* Passed by the City Commission First Reading Peril 28, 19 0; Passed by the City CoRmission on Second Reading-April 28:, 1980, • a1n Passed-by the City Commission on Third & Final Rea 'May 26, 1980, Al'1'iST: I (SEAL) = A.- aloe , iuc er City Clerk -14- I EXHIBIT 1 LOCAL ORIGINATION/ACCESS STUDIO EQUIPMENT LIST 2 Sony color studio cameras with tripods and dollies 2 Sony VTR's with edit and remote control 2 Sony video tape players with remote control 1 Dynair production switcher with special effects 1 Gates vidicon tube camera with NTSC encoder and color bar generator 1 Laird Telemedia multiplexer-3 in, I out, with remote controls and adapters 1 Eastman Kodak TV-16mm projector with lens 1 Laird dual carousel slide projector with lens 1 Dynair audio follow video 6x1 vertical interval switcher 1 MetroData television event display system with computer, interfaces and keyboards 1 Sony Trinitron color monitor 1 Conrac monochrome monitor 6 Hitachi monochrome monitors 1 CVS time base corrector 1 Tektronix wave form monitor 1 Tektronix Sync Generator 1 Shure 8 Channel audio console 1 Spotmaster cartridge player 5 Electric-Voice Lavalier microphones 1 Systematics automatic VTR including switcher and video player Camera cable - coax cable - Sony video, audio and pulse D.A.'s - audio speakers and connectors. appropriate Colortran or Kleigel lighting. —15— EXHIBIT 2 ACCESS :MOBILE UNIT EQUIPMENT LIST 2 Sony portable color cameras with CCU, tripods, dollies 2 Sony portable record/playback 3/4" VTR 1 Minicom 10x1 vertical interval switcher with AFV 1 Sony Trinitron color monitor 4 Hitachi monochrome monitors 1 Shure channel audio mixer 1 Sony color sync generator 4 Electro-Voice Lavalier microphones 1 Colortran portable lighting kit Mobile Unit(s) (Local origination) 2 Sony portable color cameras with CCU, tripods, dollies 2 Sony portable record/playback 3/4" VTR 1 Minicom 10x1 vertical interval switcher with AFV 1 Sony color sync generator I Sony Trinitron color monitor 4 Hitachi monochrome monitors I Shure channel audio mixer 4 Electro-Voice Lavalier microphones 1 Colortran portable lighting kit —16—