EXHIBIT 10.1.3
ORDINANCE NO. 153
CENTREVILLE C.A.T.V. ORDINANCE
VILLAGE OF CENTREVILLE
ST. JOSEPH COUNTY, MICHIGAN
An ordinance to amend C.A.T.V. ORD 127 effective May 16, 1981 a community
antenna television system franchise in the Village of Centreville, County of St.
Joseph, State of Michigan, to grant a non-exclusive franchise to Jones Cable
Income Fund 1-B/C Venture for the establishment and operation thereof.
The Village of Centreville hereby ordains:
SECTION 1. DEFINITIONS.
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"COMMUNITY ANTENNA TELEVISION SYSTEM", "C.A.T.V.", or "SYSTEM" shall mean
any facility that receives over the air or by other means, and amplifies or
otherwise modifies the signals broadcast by television or radio stations as well
as signals containing other information, and distributes such signals by cable
and/or other means to the public.
"VILLAGE" is the Village of Centreville, Michigan.
"VILLAGE COUNCIL" is the council of the Village of Centreville.
"COMPANY" shall mean Jones Cable Income Fund 1-B/C Venture doing business
as Jones Intercable, or anyone who succeeds the company in accordance with the
provisions contained herein.
"PUBLIC WAYS" shall mean streets, avenues, highways, boulevards,
concourses, driveways, bridges, tunnels, parks, parkways, waterways, alleys, all
other public rights of way, and public grounds or waters within or belonging to
the Village of Centreville.
"SUBSCRIBER" shall mean a purchaser of any service delivered over the
system to an individual dwelling unit, where the service is not to be utilized
in connection with a business, trade, or profession.
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"BASIC SERVICE" shall mean the provision by the Company to television
receivers of all signals of over-the-air television stations required by the
Federal Communications Commission (hereafter F.C.C.), public channels, and
additional channels at the option of the Company.
"VILLAGE CHANNEL" shall mean a channel on the system which is reserved for
use by the Village or for public access.
"COMPANY CHANNEL" shall mean a channel on the system which is reserved for
the carriage of program material originated by the Company or by another person.
"FRANCHISE" shall mean the grant of authority to the Company to operate a
C.A.T.V. system in the Village.
"GROSS REVENUES" shall mean the total revenues received by the Company from
all cable related services to the Village.
SECTION 2. GRANT OF FRANCHISE.
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A. There is hereby awarded to the Company a non-exclusive franchise for
the occupation or use of the public ways within the Village for the
construction, operation, and maintenance of a C.A.T.V. system.
B. This franchise shall remain effective for ten (10) years, unless
sooner revoked as herein provided in Section 3 hereof.
C. Nothing in the franchise shall affect the right of the Village to
grant to any other person a franchise to occupy and use the public ways for the
construction, operation, and maintenance of C.A.T.V. or similar facilities,
within the Village. Nothing contained in this franchise shall prohibit the
Company from appearing before the Village council and being heard on any
application for any additional franchise to another.
SECTION 3. REVOCATION OF FRANCHISE.
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A. If the Company should violate any of the terms, conditions or
provisions of this Ordinance, or if the Company should fail to comply with any
reasonable provisions of any ordinance of the Village of F.C.C. regulations, and
should the Company continue to violate the same for a period of thirty (30) days
after the Company shall have been notified in writing by the Village to desist
from
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such violation, the Company may, at the Village's option, be deemed to have
forfeited and annulled all the rights and privileges of this franchise grant.
B. Any franchise granted hereunder shall be subject to all applicable
provisions of Village ordinances, any amendments thereto.
C. Any franchise granted hereunder shall be subject to all applicable
state and federal laws, including rules and regulations established by the
F.C.C.
SECTION 4. LIMITATION OF FRANCHISE.
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A. This franchise applies only to the operation of a C.A.T.V. system as
provided herein, and does not take the place of any other franchise, license or
permit which might be required by federal, state and local law.
B. In the operation of its system, the Company shall not deprive an
inhabitant of any building, by contract or otherwise, or any existing right to
use an individual or master antenna for the purpose of receiving television
signals.
SECTION 5. CHANGE OF OWNERSHIP.
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The Company shall not transfer, sell nor assign the rights granted to it by
this franchise grant without the express consent of the Village council. The
Village council shall not, however, unreasonably withhold its consent to the
assignment to a concern competent and responsible in the field of community
antenna television. The transfer, sale, or assignment of this franchise to a
company, which is a parent, subsidiary or division of the Company, shall not be
considered a transfer, sale or assignment requiring the consent of the Village
council.
SECTION 6. CONSTRUCTION AND INSTALLATION OF SYSTEM.
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Subject to the provisions and restrictions of this franchise and the
ordinances of the Village, the Company shall have the right, subject to the
prior approval of the Village Superintendent:
A. To construct, erect, operate and maintain in, upon, along, across,
above, over and under the public ways, poles, cables, underground conduits,
manholes and other conductors and fixtures necessary for the maintenance and
operation of a C.A.T.V. system in the Village.
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B. To lease, rent or in any other lawful manner, obtain the use of
towers, poles, lines, cables, and other equipment and facilities from any and
all holders of public licenses and franchises within the limits of the Village,
including but not limited to, Consumers Power Company and General Telephone
Company, and to use same on such terms as agreed upon. Existing poles used for
the Company's distribution system shall be those erected and maintained by
Consumers Power Company, General Telephone Company, or the Village, when and
where applicable, providing mutually satisfactory rental arrangements can be
entered into with said utilities or Village.
C. The Company shall obtain, prior to the commencement of the
construction and installation of the system, necessary and proper bonds to
guarantee the performance of the contract or contracts, and such labor and
material bonds as may be required by law, in such amount and such forms as may
be approved by the Village council.
SECTION 7. CONDITIONS ON PUBLIC WAY OCCUPANCY.
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A. All transmissions and distribution structures, lines and equipment
erected by the Company within the Village shall be so located as to cause
minimum interference with the rights and reasonable convenience of property
owners who adjoin any of the said public ways.
B. In case of disturbances of any public way or paved area, the Company
shall at its own cost and expense replace and restore such public way or paved
area in as good a condition as it was in before the work involving such
disturbance was done.
C. If, at any time during the period of this franchise, the Village shall
lawfully elect to alter or change the grade of any public way, the Company, upon
reasonable notice by the Village shall remove and relocate its poles, wires,
cables, underground conduits, manholes and other fixtures at its own expense.
D. Any poles or other fixtures placed in any public way by the Company
shall be placed in such manner as not to interfere with the usual travel on such
public way.
E. The Company shall, on request of any person holding a building-moving
permit issued in the Village, temporarily raise or lower its wires to permit the
moving of buildings. The expense of such temporary raising or lowering of wires
shall be paid by the person requesting the same, and the Company shall
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have the authority to require such payment in advance. The Company shall be
given not less than 48 hours advance notice to arrange for such temporary wire
changes. The Village, or any other non-profit organization, including historical
societies, shall be exempt from any charges.
F. The Company shall, after giving notice to the Village, have the
authority to trim trees upon and hanging over public ways and places in the
Village so as to prevent the branches of such trees from coming in contact with
the wires and cables of the C.A.T.V. system.
G. In all sections of the Village where all existing cable or other like
facilities of utility companies are presently or subsequently placed
underground, the Company shall place its cables or other like facilities
underground.
SECTION 8. SAFETY REQUIREMENTS.
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A. The Company shall at all times employ ordinary care, and shall install
and maintain in use, commonly accepted methods and devices for preventing
failures and accidents which are likely to cause damage, injuries, or nuisances
to the public.
B. The Company shall install and maintain its cables, fixtures, and other
equipment in accordance with all applicable federal, state, and other local
laws, ordinances, codes, rules and regulations, and in such manner that they
will not interfere with any installations of the Village or of a public utility
serving the Village.
C. All structures and all lines, equipment, and connections in, over,
under, and upon the public ways or places in the Village, wherever situated or
located, shall at all times be kept and maintained in a safe, suitable condition
and in good order and repair.
SECTION 9. ERECTION, REMOVAL AND COMMON USE OF POLES.
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A. Poles or other wire holding structures shall be erected by the Company
only with prior approval of the Village council.
B. Where a public utility serving the Village desires to make use of the
poles or other wire holding structures of the Company, but agreement therefore
with the Company cannot be reached, the Village may require the Company to
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permit such use for reasonable and just compensation, provided that such use
would not unduly interfere with the Company's operation.
SECTION 10. RIGHTS RESERVED TO THE VILLAGE.
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A. The Village shall have the right to install and maintain free of
charge upon the poles and cables of the Company any wire and pole fixtures
necessary for a police or fire alarm system, on the condition that such wire or
pole fixtures do not interfere with the C.A.T.V. operation of the Company, and
that such installations shall be installed in a safe manner, in conformance with
state and Village regulations.
B. At the expiration of this franchise or upon its revocation, as
provided for herein, the Village shall have the right to require the Company to
remove at its own expense all portions of the C.A.T.V. system from all public
ways and places within the Village.
SECTION 11. MAPS, PLATS, AND REPORTS.
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The Company shall, on or before the first day of April of each year, file
with the Village clerk, true and accurate maps or plats, showing the location of
all existing cables, whether leased or owned outright. Attached to such maps or
plats shall be a list by address of current subscribers.
SECTION 12. CARRIAGE OF SIGNALS.
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A. The Company shall comply with all rules and regulations of the F.C.C.
with respect to the reception, carriage, and distribution of signals.
B. Minimum channel compliment shall include all V.H.F. channels
significantly viewed, public, community, and education channels as required by
the F.C.C.
C. The Company shall transmit and deliver over Village channels the
signals designated therefore by the Village council at such times as the Village
council shall determine.
SECTION 13. SIGNAL QUALITY REQUIREMENTS.
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A. The Company shall operate facilities capable of distributing color
television signals, free from ghost images, interferences, or distortions, and
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accompanied with proper sound, state of the art television sets in good repair
without interfering with other electrical or electronic system.
B. For the purposes of this Section, the standards to be applied in
determining whether or not the Company is producing a good picture or
transmitting signals of adequate strength to produce same are those acceptable
standards as set forth in the rules and regulations of the F.C.C. relative to
C.A.T.V. systems.
C. The Company shall demonstrate by instruments or otherwise to
subscribers, upon request that a signal of adequate strength and quality is
being delivered. Such demonstration shall be made by taking a standard
production state-of-the-art television set with a screen sufficient area as to
clearly demonstrate the relative merit of the delivered signal.
SECTION 14. OPERATION AND MAINTENANCE OF SYSTEM.
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A. The Company shall maintain an office in the area which shall be open
during all normal business hours, have a listed local telephone, and be so
operated that complaints and requests for repairs or adjustment may be received
at any time, 24 hours per day.
B. The Company shall render efficient service, make repairs promptly, and
interrupt service only for good cause and for the shortest time possible. Such
interruptions, insofar as is possible, shall be preceded by notice, and shall
occur during periods of minimum use of the system.
C. The Company shall limit failures to a minimum by locating and
correcting malfunctions promptly, but in no event longer than twenty-four (24)
hours after receiving notice of same, except as provided herein.
D. Should it be impossible or impractical to correct any malfunctions
within twenty-four (24) hours or less, then each subscriber whose television
reception is so disrupted shall receive a rebate from the Company in the amount
of one-thirtieth of such subscriber's monthly charge for every additional
twenty-four (24) hour period that said subscriber's television reception is so
disrupted, unless said disruption in service was entirely beyond its control.
E. Any rebate made to any subscriber under this Section, in any month,
shall not exceed said subscriber's normal monthly fee paid to the Company.
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F. Complaint procedures shall be given to each new subscriber by the
Company at the time of initial subscription to the C.A.T.V. system. In the
instance of existing subscribers, changes in complaint procedures shall be
included with the next monthly billing.
SECTION 15. RATES.
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A. The initial rates and charges for television and radio signals
distributed within the Village shall not exceed the rates specified below.
1. "Basic Service": $24.43 per month; includes all channels with the
exception of HBO and Showtime.
2. Installation charge for "Basic Service": $45.00 underground;
$40.00 aerial.
3. Each additional outlet at time of installation: $15.00.
4. Monthly charge of additional outlet: No charge.
5. Reconnection within 30 days after disconnection due to subscriber
non-payment: $25.00
6. No greater rates or charges may be charged by the Company, its
agents and assigns for any of the above services unless made in
conformance with federal law related to such rate regulation.
B. Company also agrees to provide at least thirty (30) days prior written
notice to the Village and the Company's customers prior to instituting any rate
increase. If, in the future, the State of Michigan regulates the rates of the
Company for the services provided under this franchise, those portions of this
Section so regulated by the State of Michigan shall be of no effect during such
State regulation to the extent of any conflict therewith.
C. Where an unusually difficult or abnormal installation is encountered
or requested, the Company reserves the right to require additional charges to
reasonably recover the Company's costs. Such charges may, at the subscriber's
request, be added to the subscriber's monthly charges over a negotiable period
of time.
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SECTION 16. CAPACITY AND COMMENCEMENT OF SYSTEM.
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A. The Company shall extend the installation of cables, amplifiers, and
related equipment throughout the Village as rapidly as is practicable.
B. Within one (1) year from the date of certification from the F.C.C.,
the Company shall be capable of providing "Basic Service" on a regular basis to
at least twenty-five per cent (25%) of the Village residences.
C. Company shall provide a minimum channel capacity of at least fifty-one
(51) channels. Initial channel capacity of the system shall be no less than
eighteen (18) channels.
D. The Company shall provide "Basic Service" to one outlet on each floor
of all existing or future police and fire stations, the Village Hall, and all
public and private schools located within 300 feet of the Company's cables
within the Village without any charge therefore.
E. The Company also agrees to make available one Village channel with
access from one location mutually agreed upon by the Village council and the
Company. The Village shall retain an option to have a second access channel if a
review of the circumstances indicates a need therefore.
F. In the event of an emergency situation, the Village may interrupt
signals otherwise being distributed by the Company for the delivery of signals
necessitated by such emergency (Emergency Broadcast System).
SECTION 17. LIABILITY INSURANCE AND INDEMNIFICATION.
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A. The Company shall maintain throughout the term of its franchise,
liability insurance insuring the Village and the Company with regard to all
damages for which the Village and/or the Company may be liable, including, but
not limited to, damages arising from the installation, operation, maintenance or
removal of the Company's C.A.T.V. system, whether or not any act or omission
complained of is authorized, allowed or prohibited by the franchise.
B. The liability insurance referred to in this Section shall be in the
following amounts:
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1. $500,000 for bodily injury or death to any one person, with a
limit of $1,000,000.00 for bodily injury or death resulting from
any one accident;
2. $500,000 for property damage resulting from any one accident;
3. $500,000 for all other types of liability.
C. The Company shall indemnify and save the Village harmless from any and
all liability arising out of or by granting of this franchise or the operation
of the system hereunder. The Company shall pay for all expenses incurred by the
Village in defending itself with regard to all damages and penalties which the
Village may be required to pay as a result of this franchise, including, but not
limited to, all reasonable investigation, witness and attorney fees.
SECTION 18. ANNUAL FRANCHISE FEE.
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Commencing one year from the effective date of this Ordinance, and each
year thereafter, the Company shall pay to the Village treasurer a franchise fee
equal to three percent (3%) of the Company's gross revenues derived from all
cable services within the Village, or $250.00, whichever is greater.
In keeping with the above, and as of the close of business at the end of
each calendar year, the Company shall compile a report of annual gross receipts,
certified by a certified public accountant. The report, together with the amount
due, shall be delivered to the Village clerk within ninety (90) days following
the close of such calendar year.
The Company shall keep full and accurate books and records of account. The
duly authorized agent of the Village shall have the right, power and authority
to inspect and audit the current records of gross revenues of the Company at any
reasonable time. The Village shall have the right, at its own expense, to
audit the records of gross revenue of the Company for any annual period at any
reasonable time within three (3) years after expiration of such annual period.
No payments provided herein by the Company to the Village shall be considered in
lieu of taxes.
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SECTION 19. SEVERABILITY.
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If any Section, subsection, sentence, clause, phrase, or portion of this
Ordinance is for any reason held invalid or unconstitutional, by any court of
competent jurisdiction, such portion shall be deemed a separate, distinct, and
independent provision and such holding shall not affect the validity of the
remaining portions thereof.
SECTION 20. EFFECTIVE DATE.
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This ordinance shall take effect immediately upon publication as provided
by law.
This Ordinance adopted at the Regular Meeting of the Village council held
January 20, 1997.
/s/ Catherine J. Peacock
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President
/s/ Tammy Mosher
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Clerk
(#27435)
1, Tamny Mosher, Village Clerk, hereby certify that a copy of the above
Ordinance was duly published in the Three Rivers Commercial, as required by law
on January 31, 1997.
/s/ Tammy Mosher
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Tammy Mosher, Village Clerk
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