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HomeMy WebLinkAboutResolution 13-009-CCGRA�,TT CQLJN I"Y B(JAS�L} C}� CQMMISSIC}NERS Gr�nt Co�.inty, W�lshingtolz C?RI7INANCE NC?. 13 - t��� - CC I2ESQLUTIC�N NO. 13-�� -CC � .A � « . i,. � � �� �' � ,�. , x �, _ � AN OI�DINANC�, GRANTING A I'Rt1.NCkIISE TCl R.EPLACE AN ZX1S'I'ING FRANCHISE I-�4R N�RTHL.AND CAE�LE TEL�VISION, INC., TC} CON"CINUL TC} �PERATE AND MAIN"I'AIN A CABLE SYSTEM 1N T�IE CUUNTY (J�' GRANT f1ND, SETTING Ii ORTI-� CC)NDITItJNS �1CCOMPANYINC� THE GRANT (J�' FRANCHISE. The Eiaard af Couniy Com�alissioners af Grant County, Wasliingtan, actin� far and o�� b�lzalf of Grant Cot�nty, Washingtol�, ordain as faliows: Findings. Northland Cable Televisian, Inc. DBA Northlai�d Commux�ications ("NORTkILAND" or "GRAI�ITEE") is t11e grantee af a franchise (the "2002 Frallchise") far the operatian of a c�ble system within the ri�Izts o� way o�' Grant County ("COUNTY" ar "GRANTOR"). The 2002 Franchise was adapted by tlle Coznmissione�s pLxrsl�ant ta �rdinance Number 02-1Q0-CC, efieciive June 25, 2002, anc� continued in fo�ce until its cxpira�ion on June 2S, 2012. On o�� abotxt December 2, 2009, GR�I.NTET seni; to CC3UN�'Y a vaiid �nd proper "626" noiice in compliance with applicabie Iaw. Effecti�e June 26, 2012, the Comn�issioners adopted Resolution. No. 12� 0�2-CC extending the terin of the 2002 T.ranchise for six (6) manths, thxough December 25, 20�2 �the "Extension"}. Thereafter, GRAN�'EI-3 and GR�INTOR entered into a secolld extension for a period of approxiinately one i�zonth, to wit: Deceznber 25, 2012 through January 24, 2013 (the "Second Exiex�sion"}. GRAN'I'EE and the COtTNTY naw desire ta aineizd the 2002 Franchise to extend the term for an actditianal tei� t10} ycars e�fective as af the expiration of the Second Extex�sion. Negotiations between NOR'I'HLAND and Board of County Commissioners of Gxant CoLYnty, Washing�on, acting for ai�d on behalf of COUN`I`I� have been colnpleted and the fr�nchise process was followed 'zn accordance wzth the g�lidelixzes establislled by tipplicable l�w. As a condition of receivizzg this FRANCHISE, GRANTEE has agreed to abide by COUNTY's current and future lawft7l policies, ordinances and regL�Iations regarding ii�frastrttct�tre usage, street-cuts azld rights-� of-w�,y. Ado�ation. Tl�is ordizlance shall be lcnawn as the 1'�lorthland Cable Television, Iz1c. 2012 S�rancl�ise ("�'RANCI�ISE"} aild shali provide as Collows. NOR`1'HLAND CABLF T�LEVISION, INC. 2013 FRANCHISE P��ge 1 of 37 Civil 8\Daparh��ents�Co�nmissiaaters\20i3\Northland Cabtc Pr�nchise\T�rancl�ise 2-19-13 TABLE QF C4NTENTS SECTIQN Fl. DEFINITIO�S SECTI4N 2. GRANT C1F FRANCHISE 2.l 2.2 2.3 2.4 2.5 2.6 2.7 2.8 2.9 Crrazzt Use of Public Streets a��d Ways D11T�t1012 Effective Date �'RANCHZSE Nancxchlsive Grant of ather Franchises Police Powers Relations to Other Provisions of Law Effect of �cceptance SECTION 3. FRANCHISE FEE AND FINAN�ZAL CONTRULS 3.1 �,2 3.3 3.4 3.5 3.6 3.7 3.8 3.9 3.10 FRANCHISE Fee Payments Acecptance of Pay�nent and Recamputatian Moz�thly FRANC�-IIS� Fee Repoi�s Audits Interest an Late Payments Alterilative Remed'zes Additional Commitments Nat FR.ANCHISE �ecs Costs o� Publication Paymez�t on Termination �F.�TIi�N 4. ADIVIINISTRATI(3N AND REGULATION 4,1 4.2 4.3 4.4 4.5 4.b Autharity Rates and Charges Rate D'zsc�inainatian Fiiizlg of Rates az�d Charges Time L'zmits Strictly Construed Pcrformance Evah�ation Sessians S1+�CTI4N 5. FINANCIAL AND INSURANCE REQUII2EMFNTS S.1 Insuraiace Rec�iizrements 5.2 Indemnification 5.3 Wozl�nan's Compensatian Waiver NORTHLAND CABLE TELEVISION, INC, Zo � 3 r��cxls� Civil $1DeparEmants�Cammissioncrs12Ui3\Northland Cable FranchiseiFranclzise 2-19-13 Page 2 af 37 9 5.4 Perforznaz�ce. Bol�cl SECTIQN 6. CUSTIJM�R �ERVICE 6.1 G.2 6,3 6,4 Customer Service Standards Sz�bscriber Privacy Lacal Ofiice Eincrget�cy Broadcast S�CTION 7. REI'ORTS AND �2ECQRDS 7.1 '7.2 7,3 7.S 7.6 �p�11 �i�C01'C�S Cor�fidentiality Carnplailat File and Reports Inspection of Facilities Fa1se Statements SECTIt?N 8. P12�GIZAMMING 8.1 8.2 8.3 8.4 �.5 8.& Broad Progra�nmitlg Categories Parent�l Contral Device Leased Access Channels Cal�tinuity of Service Gommc�nity Programming Needs Service for Disabled SECTIOitT 9. G�NEI2AL ST +�`ET U�E ANll CONSTRUCTION 9.I 9.2 9.3 9.4 9.5 9.6 9.7 9.8 9.9 �.�a 9.11 9.12 9.13 Constructian Lacation af Faciiities Relacatian Restaratian of Streets Maznte�lancc and Warkinal�ship Reservation of Gr�ntar Street Rights Use of Conduits by Grantor Street Vacatioi� Discantinuing Use o�'�'�cilities �-Iazardous Substances Undergraundii�g of Cable Codes Siandards SECTIfJN 10. TE�T AND COMPLIANCE PROC�LIURE SECTIt�N It. SERVICE EXTENSI(JN, CONSTRUCTION AND IIVTERCOIVNECTION Nt�RTHL�ND CABLi� TEL�ViSIaN, INC. 2013 FRANCHISE P�g� 3 of 37 Civil 8iDep�rtmei3#s\Cozi�n7issionersl20t3\Noa�thland Ca61e Franci}iseli�rancllise 2-19-13 11.1 Equivalent Service 11,2 Service Availability 11.3 Connection of Public Facilities SECTION 12. STANDBY POWER SECTION 13. ]ERANCHISE VIOLATIONS; REVOCATION OF FRANCHISE 13.1 13.2 13.3 13.4 13.5 13.6 13.7 Procadure for Remedying FRANCHISE Violations Revocation Removal Receivership and Foreclosure No Recourse Against Grantor Non-enforcement by Grantor Relationship of Remedies SECTION 14. ABANDOl\TMENT 14.1 Effect of Abandonment 14.2 What Constitutes Abandonment SECTION 15. FRANCHISE RENEWAL AND TRANSFER 15.1 Renewal 15.2 Transfer of Ownership or Control SECTION 16. SEVERABILITY SECTYON 17. MISCELLAI�IEOUS PROVISIOl�S 17.1 17.2 17.3 17.4 17.5 17.6 17.7 17.8 17.9 17.10 17.11 Preferential or Discriminatory Practices Prohibited Notices Binding Et�fect Authority to Ainend Governing Law GLtarantee Captions Construction of FRANCHISE Entire FRANCHISE Time is of the Essence Force Maj eLu�e SECTION 1. DEFTNITIONS NORTHLAND CABLE TELEVISION, INC, 2013 FRANCHISE Civil 8�Departments\Commissioners�2013\Northland Cable Frauchise\Frinchise 2-19-13 Page 4 0� 37 @ For the pl�rposes oF this I�RANC�IISE and all exlaibits �ittached l�ereto, 1:11e follawing ter�ns, pllrases, words and tl�zeir derivations shall have thc� mea�zing given herein. When not incai�sistent with the co��text, waxds ��sed in the preserlt tense include the fi�ture, wo��ds in the plural izzclude the sing�.ilar, and worcls in the singul�r inclucle the pl�rral. Words not defi�led s11a11 be given their coznl��o�1 azld ordinary r�eazling. The vvard "shall" is always mandatory and not merely directary. l.� "Affiliate" whel� usecl in coz�zectian �v,Titl�. GRA.NTEE means any carporation, pe��son or entity ihai owns ar controls, is ownec� or cot�trolled by, or is �.inder common ownexshzp or control witl�, GR�INTBE. 1,2 "Basic Service" means any service tier, which includes the retransmissiaz� af local televisiar� broadcast sign�ls, or as suc11 service tiez znay be ftirther deCined by federal law. 1,3 "Cable Act" means the Cable Comlan�nications Paiicy Act of I984 and the C�b1e Television Consulner Proteciian and Coznpetztian �ct af 1992 and any amendments thereto, inciuding tl�ose containecl in ihe Telecomin�lnzcatiazzs Act of 1996, and any future feder�l cable televisiozllegislatiot�, 1.4 "Cable tJnerataz-" xneans any Persozl or graups of Persans, includ'zng GRANTEC, who provide Cable Sez�vice over a Cable System az�d directly ar thraugll ane or more Affiliates own a sig�lificant interest in stiicl� Cab3e System or who otherwise control or arc respo��sible foz, i:hrough any arrangeznent,l;he management and operatian of such a C�ble Systetn, 1.5 "Cable Service" zne�ns tk�e o�ie-way transmission of video programming or other progr�m�ni�lg service to Subscxil�ers, and Subscriber inte�action, if any, which is requixed £ar tlle selectian ar use of such vi�ea pragramming or other programming service, and as atherwise clefinecl or perinit�ed by the �'CC from tizne to time. 1.6 "Cable Systen�" meazas a facility, consistzng of a set of closecl tr.a�lstnission paths and associated sigz�al ge�7eratian, reception, and cozitrol eq�iipment that is desi�;ned to provide Cable Service wllich is provided to mLXltipie Subscribers within a community, but such terin does nat include (1) a facility that serves oxziy to retransmit the television sigllals of one ox� iaaore television broadcast st�tians; (2} a facility th�it serves SLtbscribers witl7out �.lsix�g any pubiic right-of-way; (3) � Facility ol a co�llmon carrier wi�ich is subject, in wllole or in ��rt, to tl�e provisions af Title II of tlae Calaie Act (47 V.S.C. 201 e� seq.), cxcept that such faciiity shall be considered a Cable System ta the extcnt such facility is used in the tzansmission of Cable Service directly to Subscribers; (4) an open viciea systein t[�at compiies with federal statutes; or (5) any �acilities of any electric utility tixsed solely for o��erating its eiectric utility systexns, 1.7 "Ch�►xinel" means � portioia of the electromagzletic spectrum which is Lised in a Cabie System and is capable of deliveri�lg a television ch��t�el, as television channei is defined by the FCC in otlaer applicable xeguiatio��s. NnRTHLAND CABLS� fiELrVISION, TNC. 2Q13 1�RANCHISE P�ge 5 of 37 Civil 8\Departi7�eaztslComr3�issioners\2013\Nortl�land Cable Franchisel�'r�nchise 2-19-13 1.8 "Downstre�m" means the transmission from the Headend to remote points on the Cable System or to Interconnection points on the Cable System. 1.9 "FCC" means the Federa� Communications Commission or any successor age�ncy thereto. 1.10 "FRANCHISE" means this non-exclusive and revocable authorization or renewal thereof for the construction, operation, upgrade, rebuild or maintenance of a Cable System within the Franchise Area such as is granted by this Ordinance, whether such autl�orization is designated as a fianchise, license, resolution, contract, certiiicate, agreement or otherwise. This FRANCHISE is an agreement between the County of Gzant and NORTHLAND. 1.11 "Fr�nchise Area" means the area within the jurisdictional boundaries of COUNTY of Grant, Washington, including any areas annexed by GRANTOR during the term of this FRANCHISE. 1.12 "Gross Revenues" means all amounts accrued by GRANTEE in whatever form and from all sources, from ihe operation of GRANTEE's Cable System to provide Cable Service within the Franchise Area. "Gross Revenues" shall include, withotit limitation, all amouzzts for all Cable Services, including, but not limited to, Basic, expanded basic, premium, and pay-per-view services, and installation fees and charges, "Gross Revenues" shall also include any revenue received by any Affiliate of GRANTEE where such revenue in the ordinary course oF business has been paid to GRANTEE from the operation of its Cable System to provide Cable Service within the Franchise Area. "Gross Revenues" shall not include Subscriber leased or purchased equipment related to Cable Service reception, advertising sales, customer bad debt, sales taxes, or other taxes, which are callected b� GRANTEE on behalF of and for payment to, the local, state or federal goveriunent. 1.13 "�Ieadend" means a facility for signal reception and dissemination on a Cable System, including cables, antennas, wires, satellite dishes, monitors, switches, modulators, processors and all other related equipment and facilities. 1.14 "Interconnect" meai�s the provision by GRANTEE of technical, engineering, physical, and all other necessary components to maintain a physical linlcing of GRANTEE's Cable System and Cable Service or any designated Channel or signal pathway thereof with neighboring C�ble Systems, so that Cable Service of technically adeqtYate quality may be sent to, and received from, other systems in accordance with this FRANCHISE. 1.15 "Person" means any individual, natural person, sole proprietorship, partnership, association, or corporation, or any other form of entity or organization, 1.16 "School" means any accredited educational institi.rtion, public or private, including, but not limited to, primary and secondary Schools, and colleges and universities. NORTHLAND CABLE TELEVISION, INC. 2013 FRANCHISE Page 6 of 37 Civil 8\Departments\Commissioners�2013\Northland Cable Franchise�Franchise 2-19-13 1.17 "�treet" meaxls eacll af tl�e followirlg whicll l�ave been decl.icated ta the public or are l�ereafter dedicated to the pubiic ancl maintained under pubiic altthorii:y ar l�y athers and located witlliz� the �razichise �rea: Streets, raad�vays, highways, avenues, Ianes, alleys, sic�ewalks, easer�aents (dedicatccl �:or campatibie uses), rights-of way and simiiar pt�blic pro��erty and areas. 1.18 "��bsci•il�er" Ineans a�zy Persoz� who elects to subscribe to, For any purpase, Cable Service providecl by GRf1.NTEE by means af, or zn connection with, the C�b1e System, and whose pretnises are physicaily wired and iawfi�Ily activated to recuive Cable Service frflz�� GRI�N'I'EE's Cable Syste�n servil�g thc� �ranchise 1-�re�. (A}"Cammercial Subscribe�" which ineans azzy S�cbscriber othar than Residential Subscriber. (B) "Kesidentia� Subscziber" wl�icll �neans any Persan who receives Cable Service delivered to sin�le or muliiple dwclling units, exclz�ding such multiple dwellin� units biiled on �i bl��lc-billzn� basis. 1.19 "Unstream" means the carrying of a tr�ns.mission to the Headend from remate points on the Cable Systeln or from Intercannection points oi� the Cable System. L20 "GRA.t�'TE�" means Northland C�ble Television, Inc. DBA Northland Cammux�ic�tioz7s, ar its Iawful successors and assigxis. S�CTIOI`� 2. GRANT (�F FRANCHISE 2.1 G�•�nt. t�.. GRANTOR hereby grants to GRANTEE a nonexclusive �nd revoc�blc atttl�orization to malce reasanable and lawf�il tise of the Streets within the I'ranchise Area to construct, operate, maintain, recanstruct, replace, tipgracle and r�pair � Cable System for the pG�rpose of providing Cable Services subject to the terms and canditians set forth in this FRANCHISE. B. This FRANCHISL is ir�tended to convey limited rigl�ts and interests anly as to those Str�ets in which GRANTOR may lawFuliy convey such rights and interests, Ii is nat � warranty of fiitle c>r interest in any right�of way; it daes not provide GR�.NTEE any interest in ai�y pai�:icular location within tlle right-of- way; and it does nat coi�fer rights other than as expressly provided in th� grant hereof. This T'RANCHISE does not deprive GRANTOR of any powers, rights or privileges i� now has, or nlay Iater aaquire in tlie firttire, to use, perforrn work on or to regulate tlie use oC and to cant�oi GRANTOR's Streets covered by this FRANCHISE, inclL7ding without lin�itatiozl the right to pez�form work on i�s roadways, right-of way or appLG�-tenant drainage faciiities, including constructi�lg, altering, paving, wide;tling, gr�ding, or excavatizlg thereof, C. Tl�is FTt�.NCHTSE is s�.rbject to the general lawCill police, pawer of GRANTOR affectii7g matters af inunicipal cancern and not inerely e�isting contractual rights NORTHLAND CA�3LI� TELFVISTC7N, INC, 20i3 FR�1.NC�HTSE Page 7 of 37 Civil 8\l�epurtments\Con�missiot�ers\2013\Norkhland Cable Franchise\I'ranchise 2-I9-13 of GRANTEE, Notlling in this FRANCHISE shall be deained to waive the requirements of the other codes and ordinances of general applicability enacted by GRANTOR. D. This FRANCHISE authorizes GRANTEE to engage in providing Cable Service. This FRA.NCHISE shall not be interpreted to prevent GRANTOR from imposing additional conditioi�s, including additional compensation conditions for use of the rights-of way should GRANTEE provide service other than Cable Service. How�ver, this FRANCHISE shall not be read as a concession by GRANTEE that it needs authorization to provide service other than Cable Service, E. GRANTEE promises, as a condition of exei�cising the privileges granted by this FRANCHISE, GRANTEE will comply with the terms and conditions of this FRANCHTSE. 2.2 Use of P�ublic Str•eets ancl W�ys. Subject to GRANTOR's supervision and control, GRANTEE may erect, install, construct, repair, replace, reconstruct, and retain in, on, over, under, upon, across, and along the public Streets within the Franchise Area such wires, cables, conductors, ducts, C011dL11tS, vaults, amplifiers, pedestals, attachments and other property and equipment as are necess�ry and appurtenant to the operation of a Cable System for the provision of Cable Service within the Franehise Area. GRANTEE shall comply with all applicable construction codes, laws, ordinances, regulations and procedures, must obtain any and all necessary perinits from the Public Works Department prior to commencing any coz�struction activities. GRANTEE, throl�gh this FRANCHISE, is granted extensive and valuable rights to operate its Cable System for profit using the streets within the Franchise Area in coinpliance with all applicable GRANTOR construction codes and proceduxes. As trustee for the public, GRA.NTOR is entitled to fair compensation to be paid for these valuable rights throughout the term of this FRANCHISE. 2.3 Dur�tion. The terrn of this FRANCHISE and all rights, privilages, obligations and restrictions pertaining thereto shall be from the Effective Date through December 31, 2022. 2.4 Effeetive Date. The effective date of this FRANCHISE shall be January 25, 2013, unless GRANTEE fails to file an unconditional written acceptance of this FRANCHISE and post the security required by Section 5,4 hereof by March 1, 2013, in which event this FRANCHISE shall be null and void, and any and all rights of GRANTEE to own or operate a Cable System within the Franchise Area under this FRANCHISE are hereby terininated. NORTHLAND CABLE TELEVISION, INC, 2013 FRANCHISE Page 8 of 37 Civil 8�Deplrtments\Commissioners�2,013\Northland Cable Prauchise\PrancUise 2-19-13 2.5 FRANCIIZSE Naz�exclusive. Tlais �'RA.NCIIISE sh�ll be nollcxcll�sive, �x�.d is subject to all pzior rights, interests, agreei��ez�ts, pelrz�its, easetnents or lice�lses gzarated by GR�INTC?R to any Person to use any Stieet, rigl�t-of way, case�nent, o� pra�aer-ty for any pltrpose whatsoe�er, znchtding the rigl�t of GRA.NTQR to use same for azly pur�aose i� deezns fit il� connection with its exercise of l�wfl�l police powel, GRANTQR may at any tizne gxanti authorization to use the p�.�blic rights-of=way Far aily purpose nat il�co�npatible with GIZANTEF's authority unc�er this FItANCHISE and fox sLich additianal �'�anchises far Cab1e Systems, as GR.ANTQR deezns appra�riate, upa�1 sucl� terms and conditians as GRANTC}R deems appropri�te. 2.6 Grani of Uther l�,rancliises. ri1 the evel�t GRANTOR ez�ters into a FRANCHISE, perznit, license, authorizatian, or other agreeznent of any kind with any other Perso�z ar entity atl�er than GRANTEE to enter into GRANT(�R's Streets for the pt�rpose af constructing ar operating a Cablc Syste�n or praviding Cable Service to any part a� the �`rallchise Area or is required ta extend Cal�1e Service ta utzder the provisions of Sectian 11.2 of this l�RA1�CHISE, fhe tnaterial �rovisiolls thereof shall be reasonably camp�rable to those contained herein, iz1 orcler that o�1e aperatar not be gra�lted an unfair competitive advantage aver another, and to provide ali parties ec�ual praiectio�z under the law. 2.7 Police Po���ers. GRANTEE's �igllts hereunder are subject to the lawful police powers af GRANTOR ta adopt al�d enfa�ce ordin�lces x�ecessary to the saf�ty, health, and welfare of the public, 111c1 GR�INTEE agrees to comply witla all �pplicable laws and ordinances enacied, or herea�'te� enacted, by GRAN`I'OR or any other legally-constitl�ted governmental unit llaving l�wfiil jurisdictian aver the si�bject rnatter hereof, Notwithstandin�; the foregoing, GP.�INTOR agrees it will not impnse ax7y regulation pursuant to the Cable Act not contlznecl herein dur�ing tl�e terzn of this �RANCHISE, Pravided however, in the event of coz�flicts betweeil pravisions o�� this FRANCHISE and. ather orc�inances of GRANTOR, the term5 of tlzis TR�NC�IISE shall prevaii except �s to health and s�fety isst�es. 2.8 Rci�tions to 4ther Provisions of La�v. This I'Rt�NCI�ISE and aIl ri�hts and privileges granted under the �RANCI-�ISE are sutaject to, �nd GI2�NTEF must exercise all riglats in accordat�ce with, applicable law, as ameneled over the FI�INCHISE term. T-Iowever, this FRANCHISE is a coniract, subject on�y to C7R�NTOR's exercise of its �aolice and other powers and all �pplicable laws, This k�2.ANC�IISE does nat confer xights or iinmunities upon GR�NTEE other than as expressiy �rovided herein. GRAl`�1T�E dc�es nat waive its right to challen�;e thc lawfi�lness of a particul�,r enactn�ent, inciudixag on the grourzds that a particL7lar action is an uncoi�stitutioz�al im��airment of cantractuai rights. The PRANCHISE issuec� and the NORTHLAND Cf1I�L� TELI�VISI(JN, INC. 2ot3 �'RANC�zzsE P�ge 9 af 37 Civil 8lDepflrtmei�ts\Conunissioners\20131Nortialand Cablc FranchiselFratiehise 2-19-I3 TRANCHISE fee paid hereunder are in lieu of any other required permit, authorization, fee, charge or tax, unless expressly stated herein. 2.9 Ef#'ect of Acceptnnce. By accepting this FRANCHIS�, GRANTEE: A. Acicnowledges and accepts GRANTOR's legal right to issue and enforce this FRANCHISE; B. Accepts and agrees to comply with each and every provision of this FRANCHISE; and C. Agrees that its will not raise any claim to the contrary. SECTI01�13. FRA,NCHISE FEE AND FINANCIAL CONTROLS 3.1 FRANCIIISE Fee. As compens�tion for the benefits and privileges granted under this FRANCHISE and in consideration of permission to use GRANTOR's Streets, GRANTEE shall pay as a FRANCHISE fee to GRANTOR, throughout the duration of this FRANCHISE, an ainoui�.t eqL�al to five percent (5%) of GRANTEE's Gross Revenues. Accrual of such FRANCHISE fees shall commence as of the effective date of this FRANCHISE. The FRANCHISE fees are in addition to all other fees, assessments, taxes or payments of general applicability that GRANTEE may ba required to pay under any federal or, state la�v and are in lieu of all other fees, assessinents, taxes or payments of general applicability that GRANTEE may be required to pay under any County or other local law. 3.2 Pnyments. GRANTEE's FRANCHISE fee payments to GRANTOR shall be computed monthly, Each znonthly paymer�t shall -be due and payable no later than thirty (30) days after the last da� of the preceding month. 3.3 Acceptance of P�yment �nd Recomputation. No acceptance of any payment shall be construed as an accord by GRANTOR that the amount paid is, in fact, the correct amount, nor shall any acceptance of payments be construed as a release of any claim GRANTOR may have for further or additional sums pa�able or for the performance of any other obligation of GRANTEE. NORTHLAND CABLE TELEVISION, INC. 2013 FRANCHISE Page 10 of 37 Civil 8\Departments\Commissioners�2013\Northllnd Cable Franchise\Franchise 2-19-13 3.4 lYlonthly FI�NCHIS� I+ec Reparts. E�ch payznent shall be acco��np�nied by a writtel2 report ta GRANTOR, containing an accurate stateznezlt il� si�mzT�arized fornl, as well as in detail, of GRANTEE's Gross Re�Tex�ues and the colnputatian of the paymer�t axnount. 3.5 A�dzts. O�� ��1 a1�11��a1 basis, t2pozl thzrty {30} days' prior written notice, at GRANTOR's sole cast and e�pense (except as expressly provided below), GRANTOR shall have the right to cor�cl�lct ala iz�de�endent audit during no�znal bztsiness hours of GRANT�E's recards reasonably related to the adminzstraiio�z or enforcement of this FRANCHISE, in accardazace wzt1� gencrally accepted �ecot�l�ting princzples. C;OUNTY may l�ire an independe��,1 certified public accaz�ntazlt to auclit GRANTEE's financial recoids, in which case GRAI\TTEE sha11 provide copies of all necessary recards ta t1�e certified piiblic accou��tal�t. If the a�dit shaws that I�RANCHISE fees have been underpaid by F'ive �}�1�C{JI1� {J�fO} ar more, GRANTEE s�all pay the rcasonabl� fees of the inc�ependent certified pttblic accaztl�tant within thirty (30} days frain receipt of the al�dit results. If such az�dit reflects �n overpay���ent, �RANTOR shall refund such overpayment ta GR�I.NTE� wit�iz� tlairty {30} days o�` tlle audit results. Any such au�lit shaii take place within thirty- six {3b} ��aontlzs following the res�ective calendar year and for recards thereof in t�L�e.stzon. 3.6 Inte�•est on Late Paynients. In t11e evez7t il�at a FR�NCHISE fee payment ox othex suxn is not received by GRANTOR on or before thc due d�,te, or is uzlderpaid, t�`�rRANTEE shall pay in adtiition to thc paytneni, ar suzn due, interest from the dite date at a rate equal ta the interest rate spcci�'zecl for judgments ezltered in the Superiar Courts of the State of Wasl�ingtoil. 3.7 Aitez•z�ntive Remedies. If �2ny Sectioi�, subsectian, paragraph, term or provision of this FR1�NC�-ITSE or any ardin�ilce, la�, ar document incorporaied herein by reference is held by a caurt of coznpetez�t jurisd'zction to be invalid, t�ncoristi�ttion�l ar unenforceabie, stich holdin� s11a11 be cozifix�ec� iz� its opeiation t� the Section, st�bsectioia, par�graph, term or ��rovision dircctly involved in the controversy in which such holding shall have been rendered and sh�ll 1�ot in azzy way a[fect tlle validity af any other Sectzon, s�rbsectio�Y, par�rgraph, tcrm or provision hereof. 3.8 Aclditiional Cornmitrnents Not FRANCHISI�� Fees. No terin or conditior�. in this FRANCHISE sl�all itl �i1y way modify or affect GRANT�E's abligatio�7 to �ay I`RA.NCHTSE fees ta GR�I.NTOR. �Ithough the tatal sui1� of FI�NCHISE fee p��ymeiats �nd additional caminitXncnts set forth elsewhere in this FRANCHIST� (e.g. bl�siness license fee) may total xnare th�n five percent (S%) o�` NOR7"HLAND CAT3LI; TGLL,VISION, INC. 20t3FRANCHISE Page 11 of37 Civil 8\i7epartil�eflts\Cammissioiiers�20131Northl�nd C�ble Francl3ise\Franohise 2-19-13 3.9 3.10 GRANTEE's Gross Revenues in any 12-month period, GRANTEE agrees that the addition�l commitments herein are not FRANCHISE fees as defined under any federal law, nor are they to be offset or credited against any FRANCHISE fee payments due to GRANTOR. Costs of Publication. GRANTEE slzall pay the reasonable cost of newspaper notices and publication pertaining to this FRANCHISE and any amendments thereto, as such notice or publication is reasonably required by GRANTOR or applicable law. Pay�ner�t on Terrnin�tion. If this FRANCHISE terminates for any reason, GRANTEE shall file with COLJNTY within ninety (90) calendar days of the date of the termination, a financial statement, certiiied by a declaration or affidavit of an officer of GRANTEE, showing the Gross Revenues received by GRANTEE since the end of the previous fiscal year. COtJNTY reserves the right to satisfy any remaining financial obligations of GRANTEE to COUNTY by utilizing the funds available pursuant to secuxity provided by GRANTEE in accordazlce with Section 5. SECTION 4. A.AMINISTRATION AND REGULATION 4.1 4.2 4.3 Authority. GRANTOR is vested with the power and right to regulate the exercise of the privileges permitted by this FRANCHISE in the public interest, or to delegaCe that power and right, or any part thereof, to the extent permitted under state and local law, to any agent, in its sole discretion. R�tes nnd Charges. All of GRANTEE's subject to regulation state and local laws. rates and charges related to or regarding Cable Service shall be by GRANTOR to the full extent authorized by applicable federal, Rate Discrimi�n�tion. All of GRANTEE's rates and charges shall be published (in the form of a publicly available rate card), and shall be nondiscriminatory as to all Persons and organizations of similar classes, Lulder similar circumstances and conditions. GRANTEE shall apply its rates in accordance with governing law, with similar rates and charges fox all Subscribers receiving similar Cable Service, without regard to r�ce, color, familial, ethnic or national origin, religion, age, sex, sexual orientation, marital, military or economic status, or physical or mental disabiliiy, or geographic location in the Franchise Area. GRANTEE shall provide equivalent Cable Service to all Residential Subscribers at similar rates and NORTHLAND CABLE TELEVTSION, INC. 2013 FRANCHISE Page 12 of 37 Civil 8\Deplrtments\Commissioners�2,013Worthland C1ble Fr�nchise�I'ranchise 2-19-13 to Con�mercial Subscribers as authorized by applicable laws. Notlling he�•ein shall be constz�ued to prohibit; A. The temporary reduction or waiving of rates ox charges in conjunction with valid promotional campaigns and discounted rates in exchange for term commitments a�1d service bundles: B. Tl�e offering of reasonable discounts to senior citizens or economically disadvantaged citizens; C. GRANTEE from establishing difFerent and nondiscriminatory rates and charges and classes of service for commercial customers, as well as different nondiscriminatory monthly rates for classes of commercial customers as allowable by federal law and regulations; or D. GRANTEE from establishing different and nondiscriminatory rates and charges for residential Subscribers as allowable by federal law and regulations, 4.4 Frling of Raties �nd Ch�rges. A. Upon written request, not more frequent than monthly, GRANTEE shall provide to GRANTOR a complete schedule of applicable rates and charges for Cable Service provided uncler this FRANCHISE. Nothing in this subsection shall be constr�.ied to require GRANTEE to file rates and charges under temporary ieductions or waivers of rates and charges in conjunction with promotionll c�inpaigns [Note: all rates and promotions are available on company website at any time] . B. GRANTEE shall provide upon written or faxed request from GRANTOR a complete schedule of current rates and charges for any and all Leased Access Channels, or portions of such Channels, provided by GRANTEE. 4.5 Time Lrnaits Strictly Construed. Whenever this FRANCT�ISE sets forth a time for any act to be performed by GRANTEE, such time shall be deemed to be of the essence, and any failLtre of GRANTEE to perform withii� the allotted tiine may be considered a material violation of this FRANCHISE and strFficient grounds for GRANTOR to involce any relevant provision of this FRANCHISE, subject to the notice and cure provisions of Section 13, However, in the event that GRANTE� is prevented or delayed iz1 the performance of an� of its obligations under this FRANCHISE by re�son beyond the reasonable cozltrol of GRANTEE, such as acts of God (for ex�mple, floods, tornadoes, earthquakes, power outages, strikes or walkouts, technical failures or unusually severe weather conditions), GRANTEE's performance shall be excused during the force majeure occurrence and GRANTEE thereafter shall, under the circumstances, promptly perform the affected obligations under this FRANCHISE or procure a substitute for such obligation which is reasonably satisfactory NORTHLAND CABLE TELEVISION, INC, 2013 FRANCHIS� Page 13 of 37 Civil 8\Departments\Commissioners\2013\Northland Cable Franchise\Franchise 2-19-13 to GRANTOR, GRA,NTEE shall not be excused by mere economic hardship nor by misfeasance or malfeasazzce of its directors, officers or employees. 4.6 Perform�nce Evaluation Sessions. A. COUNTY may hold upon no less than ninety (90) days written notice to GRANTEE and no more frequently than once per calendar year regular perforrnance evaluation sessions upon the sixty (60) and one hundred twenty (120) month anniversary dates of the effective date of this FRANCHISE, All such evaluation sessions shall be conducted by COUNTY and GRANTEE jointly. B. Special evahiation sessions may be held at any time by COLJNTY during the term of this FRA.NCHISE upon the same notice as speciiied in Subsection (A), C. All regltlar evaluation sessions shall be open to the public and announced at least one (1) week in advance in a newspaper of general circulation in the Franchise Area. D. Evaluation sessions shall deal with GRANTEE's performance of the terms and conditions of the FRANCHISE and compliance with state and federal laws and regulations. E. As part of tl7e performance evaluation session, GRANTEE shall submit to COUNTY a plant survay report, or map, reasonably acceptable to COLJNTY which incll�des a description of the portions of the Franchise Area that are cabled and have all Cable Services avail�ble if so rec�uested by COUNTY. Such report shall also include the number.of miles and location of overhead and underground cable plant. I f COUNTY has reason to believe that a portion or all of the Cable System does not meet the applicable FCC technical standards, COUNTY, at its expense, retains the right to appoint a qualiiied independent engineer to evaluate and verify the techiiical performance of the Cable System; pxovided, GRANTOR promptly provides GRANTEE with a copy of sueh report, at GRANTEE's cost, and that GRANTEE l�.as a representative present during any such evaluation and verification. F. During evaluations under this Section, GRANTEE shall cooperate with COtTNTY and shall provide such information and documents that have been filed with the FCC within the most recent three (3) year period. SECTION 5. FTNANCIAL AND INSURANCE REQUIREMENTS 5,1 Insurance Requirernents. A. General Requirement. GRANTEE must have adequate insurance duting the entire term of this FRANCHISE to protect against claims for injuries to Persons or damages to property which in any way relate to, arise from, or are connected NORTHLAND CABLE TELEVISION, INC. 2013 FxANCHIs� Page 14 of 37 Civil 8\Departments\Commissioners�2013\Nortlillnd Cable Pranchise�Frinchise 2-19-13 witl� t]�is FRANC�IISL ar iz�volve CTRANTTE, its agents, representaiives, contractars, subcontractors and their ez�ployees, �3. I�Ziti�l Sl�sur��nce Limits. GRAN'��'EE must lceep i�1s�,irance in efCect iz� accardance witla the nlinil�auln insurance lirnits herein set foxth by GRANTOR frozn time to tizne. GRA.NTEE shall obtain po1'rcies for t11e follawing ilaitiai minirraum znsz�razzce limits; Colnznerczal General Liability: Two-mzllion dal�ars ($2,000,000) combined siz�gle limit �er accurrence for badily injury, persanal injury, alad prope�ty damage, and far those policies with aggregate limits, a two- az�d-ane-half million dal�ars {$2,500,000} aggregate limii; ii. Autalnabile Liabiliiy: T�vo-milizon dollars ($2,000,00�) combined single Iilnit per accident for badiiy injury and property damage; and iii. Employer's Liability: Two-millian dollars ($2,000,000}. 5,2 Indemnific�tion. A. Scope of Indeinnitv. CrRANTEE shall, at its sole cost and expense, indemnify, holc� harmiess, and defend GRANT�R and its ofF'icers, boards, commissions, agents, az�d einployees against �ny arad ail ci�iins, includin�, but nat Iimited to, thzrd party claims, suits, causes of actian, proceedin�s, and judgmei�ts for damages c�r equitable relief {the "Claiins") salely to the extent tha Claims arise out of CrRANTEE's or GRANTEE's agent's negligent acts ar negligent omissions; �rovided, however, GRANTEE wiiZ nat be obligated to indemnify CxRANTOR or its afficers, camrnissia�is, agents, or empioyees should GRt�NTQR antervenc il7 any praceeding regarcling the grant af this FRANCHISE, This indemnity provision sha11 include dam�ges ax�d liabilities, if and to the extent s�1ch d�m�ges �,nd li�bilities are a res�;ilt of GRANTEE's or GR.ANTTE's agent's negligeut acts ar negligent omissiox�s, B. D�.ity to Give Natice and Tender Defeizse. GRANTOR shall give GRANTE� writien notice witl�in five (5) d�ys of receivin� �ny ciaim ox of the coiraznencement of ax�y action, suit or other proceeding covered by the indemnity in this Sectian. Failure of GRANTOR to provide such notice shail res�.ilt in waiver o£ C'rRANTEE's ir�dem�aifica�ion obligations wi�l� respect to such action; suit on- othet proceeding otherwise covered by tl�e indemnity in this Section, In the eveni atly such clairn arises, GRANTOR or any ather indemnified party, as defined by this FRANC�IISE, sl�all tender tlie defense thereof ta C-RANTEE and GRANTEE sl�all have the oblig�tion and ciuty to defend, settle or compromise any claims arising tl�ere�.inde��, and GRANTOR sh�ll caoperate fully therein, GRANTEF sllall accept or decline the tender within ten (10) da�s of its receipr of the written notice descrzbed at�ove. In the event that GRANTEE declines defense of the claim ii� vioi�tion of this Section 5.2, CrRANTOR may defend sucl� claim and seek NORTHI,AND CABL� T�LLVISIC)N, INC. 2013 PRANCHISE Page 15 of 37 Civii 8\Departments\Commissior�eis\20131Northitmd Cable Francl�ise\I'ranchise 2-29-13 recovery fram URANTEE its reasonable expeiases for attorncys' fees a�zd other expez�ses, inclti�ding expe7�t wit�aess Fees, i�acurred by GRANTC)R for defense al�d in seelcing st�ch recovery. 5.3 Warker's Compensation Waiver. 1'he provisions of Section 5.2 shall ap�ly to elaims by GRANT�E's own employees a11d the em��layecs of GRANTEE's agents, repr•esentatives, contractors, and sul�coniractors to which G1�.ANTEE might otherwise be iminL�ne under Tztle 51 RCW. This waiver of imi��unity ui�der Title 51 RCW has been ln�.�tually zxegotiated by the parties hereto, and GRANTEE acknowledges t11at COUNTY would nat enter into this FRANCH�SE withaut GRt�NTE�'s waiver thez�eaf. 5.4 Perfarznance Lond. Upan or befarc the effective date o:(" this FRANCHISE, GR�INTEE shall obtain and maintain du��ing the ezztire term of ihis FRA1'�CI�ISE, including any extensions or renawals thezeof, at its awn cost and expense; a performance bond that sl�all be filed wiih GRANTOR iz1 ihe amaunt af �'ive `I'housand dollrirs {$5,QOQ.00) as guarantee for the faithful perfc�rmance by it of all the provisio�ls of this FRANCHISE. SECTIt3N 6. CUSTOMER SERVICE 6.1 Custo�er Ser�vice �iandards. GRI�NTFE shall reasonably meet or exceed any customer service stanc�ards adopted by tlle �CC sa long as they are commercially reasonable. 6.2 Sa�iscribe�- Pri�vacy. GRI�NT�E wi11 comply with privacy rigl�ts of Subscribers in accordance with federal and state 1aw. 6.3 Loca1(}ffice. Thrac�ghaut the �RANC�IIS� terrza, GR.ANTEE must maintain, at a minimum, ane (1) custamer service center lacated in Urant Caunty, which will be open durin� normal basiness haurs ta provide S�.tbscxibers the opporiunity far ihe receipt and picicup af Subscriber eqti�ipinent azld far bill payments and coznplaints. GRANTEE shall maintain tele�hones and atl7er ec�l�ipment so thai customer complaints and service requests can be received 1�y GRANTE�; on a twenty-�aur {24} 11our basxs at a io11-free telepl�one ntimber. 6.4 Emergenc� Brondeast. GR�iNT];E slaail cooperate to the extent rec�tiired by FCC ruie or the Cable Act with Grant Couraiy Eznergel�cy Se�Yvices (GCES} or its successor agency to acco�nmod�te NC7R`I'HLAND CABL�, TELI;�ISI�N, INC. 2013 L'�Rrs.NCHISE Fage 16 of 37 Civii $1DepartnlentslCanunissianers\2Q131Notth(and Cable FranchiselFranchise 2-19-13 Emergency Alert System information oi• other information the GCES deems appropriate to be broadcast over GRANTEE's system compatible with GRANTEE's equipment, SECTION 7. REPORTS AND RECORDS 7.1 Open Records. A. Subject to the terms of Section 7.2, and other applicable law regarding subscriber privacy, COUNTY shall have reasonable access to, and the right to inspect, any boolcs and records of GRANTEE, �vvhich are reasonably related and necessary to the adininistration or enforcement of the terins of tllis FRANCHISE. GRANTEE shall not deny COLJNTY access to any such records of GRANTEE on the basis that GRANTEE's records are under the control of any parent corporation, affiliated entity or a third party related to this FRANCHISE. COLTNTY may, ii� writing, request copies of any such records or boolcs and GRANTEE shall provide such copies within thirry (30) days of the transmittal of such request. One (1) copy of all reports and records required under this or any other Section shall be fiirnished to COLTNTY at the sole expense of GRANTEE. If the requested boolcs and records are too voluminous, or for security reasons cannot be copied or removed, then GRANTEE may request, in writing within ten (10) days, that COUNTY inspect thein at one of GRANTEE's local area offices. If any books or records of GRANTEE are not kept in a local area office and not made available in copies to COL7NTY upon written request as set forth above, and if COLTNTY reasonably determines that an examination of such records is necessary or appropriate to the perFormance of any of COUNTY's duties, administration or enforcement of this FRANCHISE, then all reasonable travel expenses incurred in malcing such examination shall be paid by GRANTEE. If any books or records of GRANTEE are not lcept in a local office, GRANTEE will provide or otherwise malce such documents available for inspection and review at the local office within ten (10) worlcing days. 7.2 Confidentiality. Inforination that GRANTEE is required to inalce available to COLTNTY pursuant to tlie terms of this FRANCHISE contains valuable private information regarding the business affairs of GRANTEE. COUNTY agrees to treat as confidential any boolcs and records received from GRANTEE that constitute proprietary or confidential information under federal or state law, to the extent GRANTEE malces COLTNTY aware of such confidentialzt�, notwithstanding the Public Records Act, chapter 42,56 RCW, and record retention law, chapter 40.14 RCW. GRANTEE shall be responsible for clearly and conspicuously stamping the word "Coniidential" on eaah document that contains confidential or proprietary information. If COtJNTY receives a demand from any Person for disclosure of any information designated by GRANTEE as confidential, COtJNTY shall, so far as consistent with applicable law, will malce a good faith effort to advise GRANTEE in advance so that GRA.NTE� may take appropriate steps to protect its interests and provide GRANTEE with a copy of any written request by the party NORTHLAND CABLE TELEVISION, INC. 2013 FRANCHISE Page 17 of 37 Civil 8\Deplrtments\Commissioners�2013\Northland Cable Pranchise\Fraucl�ise 2-19-13 7.3 7.4 '1.S ctemandii�zg access �o sucl� infor�natian withir� 21 days af ��eceipt of such request. Notwithsl�ndil�g t��e foregoing, both pariies acicnawledge ihat the C(�UNTY is rec�uired to com�ly witla #he Public Records Act, chapter 42.56 RCW, and record retention law, cl�apter 40.14 RCW, an�ong other iaws and rtzles governzng disc�asure and retention of public recoY�ds. Az�,yilling hezein iz�ca7lsisterlt with si�ch laws and rttles is hereby s�.lpers�ded by this reference ta the extent of the inconsistency. CompZaint I'ile. GR.�NTEE shali lceep an accurate and camprehensive file of any and a11 co�nplainis zegardirlg the Cab1e Systern as required by the �CC, Ins�aectian af Faczlities, GRANTt)R ln�y, at iis o�vn cost and expex�se, inspect i��on reasanable written. request any of CrRANTTE's facilities a�ld equipmcnt to confirm performance under this �R�1NCI�ISE ai a��y time upan ai least five (5} business days notice, o�, in case af an eznergci�cy, upon demand wzthout priar natice. Faise Statements. �1.ny il�tentiazlal false or mislea�ing statement or representation in any repart required by this �'RANCHIS� may bc deemed a mate��ial vialation of this FRANC�-IISE and may sl�bject CxRA.NTEE to a1I re�nedies, 1cg�I oz equiiable, which are availabie to CC7UNTY under this FP�INCHIS� or otherwise, SECTit3N �. PROGRAMiVIING 8.1. l3ra�d Prograznnning CRtegories. �. GRANTE�'s Cab1e System sha11 provide a wide diversiiy of pragramming. GR�INTEE sllall provide at Ieast the foliowing broad categories of programming t� tlze exteX�t suc�z categories are commercially reasonably avazlabie: x�. Educ�tianal prog�ammzng; Washin�;ton State ncws and informatian; Spoz-ts; Getleral entertaii�ment (including znovies); Childxei�/faxnily-oriented; Aris, culture and performing arts; �'ozeign language; ,� C1e11Ce�C�O CLllxie11f�1'�,� �Veather inforn�ation; Progr�m�ni�lg acldressed to diverse ethnic Fr�ncllise �.rea; and National, state, and local government af:Cairs, NORTHLAND CAI3LE TI,LEVISIOi�1, INC. 2013 FRANCHISE Civi181Dep�rt�nents�Cammissianers120131Narthlanci Cable Pra�7chise\I'ra�7chise 2-19-13 and minority interests in the Pa�e � 8 of 37 B. GRANTEE s1�a11 �ot delete any broad category of p�ogramming within its coni:rol, C, T�ze p�rties expressly agree tllat tlze pragramzning desczibed in Sectiozl 8.I(A} represel7t t�road categorzes of videa prograinming within the meanirlg of 47 U.S.C. 544(b} {2} (}3}, as may be ainended from time to tizne. 8.2 Pnrenial Control Devzce. Upon rec�uest by azay Subse�iber, GRANTEE s1�all malce available a parental control or lacicout clevice; traps or filters io enable a Su6scriber to cot�trol access to both the audio �nd vide� portiaz�s of �ny ar al1 cl�annels, GRANTEE shall in�'arm zts Subscribers of the availat�ility of t1�e Iacicattt device at the time of their initiai subscript:ion and annually thereafter. $,3 Le�ised �.ccess Channels. GRANTTE sl�all compiy with the FCC's rules and regulations regarding Leased Access Ch�nnels. 8.4 CoYltianuity oi Service. A. It sl�all be the right of �11 Subscribers io cantinue to receive Cab1e Service from GRANTEE insof�r �s their financial and other obli�;ations to GRAI�TEE are s�tisfied anct GRANTEE coi�tinues ta serve the Franchise Ar�a. Subject to the force majeure provisions of this FRANCHISE, GRANTEE slzall use cona�nercialiy reasonable efforts to ensure that ail Subscrit�ers receive cantinuous, u�lintezrupte� Cable Service. B. In t11e eveni of a ckaange in owncrslzip, ox in the event a new Cab1e Operator acquires the Cable System in �ccorctance with this I�'RANCHISE, GRANTEE sha11 reasonably coopel�ate with GRANTOR and such new Cable Operator in i�aix�tainiz�g continuity of servicc to a11 Subscribers. �.S Comniuni1y Prograrnming Needs. At thc written rec�L�est of the legislativc authoriiy of COLTNTY, bl�t na more than twicc durin� t11e texm of this FRANC�-IISE, nit�aty (90) days after a Performance evaluation sessia�� as provided in Sectic�n 4.6, CrRANTLE xnay fiirnish to all Subscr.iUers a]ong with their x�nonthly service statenlei�t, a list of broad categorias af programming, and other services available to G.RANTEE. Tl1e rnenu may be in the format of � mailback surve� for deterrniYlation o�the Subscriber's progran�ming preference. The results of the survey are to be provzded COUNTY as soo�1 as commcrcially practical by GRA.NTEF with any prc�pased change(s) in progr�m�ning. 8.6 Service for Disnbled. NORTHLAND CABLE'I'BLEVTSION, INC. 2013 FRANCHISE Page 19 of 37 CiviI 3\DepnrtmentstConnnissiouers\2013iNorthland Cabfe Franchise\Princhise 2-I9-13 Ta tl�e extent tecl�lically feasible az�cl iz1 accardance witl� �iCC reqttirements, GR�NTLE shall z�etzanslnii all clased-c�ptioned sig�lals znade availal�le by programxners in conjunctiol� with progra��lming iz� its lzne- up a�d which are provided in arder to facilitate viewin� by handicapped persans. GRANTE� shall comply with the Azneric�ns with Disabilities Act, any an�endments thereto and any athel applicable federal, state o1� local laws or regulatiozls. Ta the extent technically feasible and 'zn accordance with FCC rcqL�iremellts, GRANTEE shall maintain the necessary head-end equipnlent to make Second A�.�clio Prograzn {SAF} feaiures available ta Subscribers. GIZANTEE's abligatians under this subsectioz� do not extend to providing customer preznises ec��iipment. �ECTIUN 9. GENERAL �TREET U�E AND CQNSTRUCTI(.�1'� g.� COTiStt`ACt1011. A. Stzbject to applicable 1aws, regulations and orclinanees af GRANTC?R and the provisians o� this FRA.NCHIS�, GRANTEL may perform a11 canstruction necessazy for the aperation of its Cable System. A11 canstr�.tctioi� and maintenance af any and all facilities �vithin Streets incident to GI2ANTEE's Cable Sysiem shall, regardless of whg performs the cc�nstruciian, be and remain �R�NTEE's responsibility. C7RANTEE shall apply for, and obtain, all permzts �aecessary far canstructiorl or ilzstallation af any faciliiies, a�d for excavating and Iayii�g �rny facilities within the Streeis. GRANTEE shall pay, prior ta issuance, all applicable fees af the �equisite constructian permits. B. Prior to begiruling any constrt�tction, CJRANTEL, sha�l provide GR�INTOR with � const�uctian schedule for worlc in tl�e Streets. �11 construction shall be performed ii� coz7ipliance �vitlz this FRANC�-IISE. When obtaining a permii, GRANTEE shall. i��qui�e aboui otl�er construction c�.trrenily in pragress, planned or proposed, 'rn order ta iz�vestigate tl�oroughly �11 oppartunities for joint trenching or boring. WheXlever it is possible and reasanab�y practicable to joint trench or share 1�ores or c�.rts, GR�NTEE shall woz�k with other providers, licensees, permittees and franchisees sa as io redt�ce as far as possible ihe n�trnber of Streei cuts. 9.2 Locaiion of Facilities. GRANTEE s1�aI1 use t17e ane call �ocator service prior ta perfarming any excavatian in GR �I�TOR's Streets, 9.3 �elocation, GRANTC�R shall have the right to reasonab�y require GRANTEE ta change the location of any p�rt of GRANT�E's Cable System within the Sire�ts when the public convenience rec�uires such cl�atlge, and the expense tl�ereof shall be paid by GRANTEE, Shoult� GR�NTEE fail io rexnove ar relocate any suc11 facilitzes by tl�e date reasanably NtJRTHLAND C�BL,E TELEVISION, INC. 2013 �RANCHISF Page 2Q of 37 Civil 81Depart3uent5lCommissioaiers120131Nortf�l�nci Cab(e FrinchiseiFraizcliise 2-19-23 established by GR.ANTOR, GRANTOR may efi'ect such removal or relocation, and the expense tl�.ereof s11a11 be paid by GRANTEE, including all reasonable costs and expenses incL7rred by GRANTOR due to GRANTE�'s delay. If GRANTOR requires GRANTEE to relocate its facilities located within the Streets, GR�INTOR shall malce a reasonable effort to provide GRANT�E with an alternate location within the Streets. 9.4 Restor�tion of Streets. A. Whenever GRANTEE disturbs the surface of any Street for any purpose, GRANTEE shall promptly restore the Street to at least its prior condition. B. All of GRANTE�'s worlc under this FRANCHISE, and this Section in particular, shall be done in strict compliance with this FRANCHIS� rules, regulations and ordinances of GRANTOR. Prior to malcing any Street or right-of-way cuts or openings, GRANTEE shall provide written notice to GRANTOR. 9,5 M�intenance �nd Workmanship. A. GRANTEE's Cable System shall be constructed and maintained in such manner as not to interfere with sewers, water pipes, or any other property of GRANTOR, or with any other pipes, wires, conduits, pedestals, structures, equipment or other facilities that inay have been laid in the Streets by, or under, GRANTOR's authority. B. GRANTEE shall provide and use any equipment necessary to control and carry GRANTEE's Cable System signals so as to prevent injury to GRANTOR's property or property belonging to any Person. GRANTEE, at its own expense, shall repair, change and improve its facilities to lceep them in good repair, and safe and reasonably presentable condition. 9.6 Reserv�tion of GRANTOR Street Rights. Nothing in this FRANCHISE shall prevent GRANTOR or utilities owned, maintained or operated by public entities other than GRANTOR, from constructing sewers; grading, paving, repairing or altering any Street; repairing or iemoving water mains; or constrLtcting or establishing any other public worlc or improvernent. All such worlc shall be done, insofar as practicable, so as not to obstruct, injure or prevent the use and operation of GRANTE�'s Cable System. However, if any of GRANTEE's Cable System interfexes with the constructioi� or repair of any Street or public improvement, including construction, repair or removal of a sewer or water main, GRANTEE's Cable System shall be relocated in accordance with 9.3. 9.7 Use of Conduits by GRANTOR. GRANTEE and COtJNTY shall grant to each other, free of expense, joint use of any and all poles, ducis, conduits or equipment in the streets or other public places owned by NORTHLAND CABLE TELEVISION, INC. 2013 FRANCHISE Page 21 of 37 Civi] 8\Deparhnents\Commissioners\2013\Northland Cable Franchise\Franchise 2-19-13 either party for ai�y proper purpose, insofar as the same may be done without interfering with the use and enjoyment of either party's own wires and other facilities and provided that all such joint use shall ba in full compliance with all rules, regulations, requirements and conditions of the National Electrical Safety Code prepared by the National Bureau of Stai�dards, the National Electrical Code of the National Boaid of Fire Underwriters affecting electrical installations which may be presently in effect or future amendments thereto as well as being subject to COUNTY's obligations to any other Franchise holder with which it may have a similar joint use agreement. Additionally, COUNTY may install or affix and maintain wires and equipment owned by COUNTY for municipal purposes in or upon GRANTEE's equipment in the Streets and other public places witliout charge to COLTNTY, to tha extent space therein or thereon is reasonably available, and pursuant to all applicable County Ordznances and Codes. For the purposes of this S�ibsection 9.7, "municipal purposes" includes, but is not liinitecl to, the use of the structures and installations by GRANTOR for fire, police, traffic, water, telephone, or signal systems, but not for Cable System purposes in competition with GRANTEE. GRANTEE shall not deduct the value of sl�ch use of its facilities room its FRANCHISE fees payaUle to GRANTOR. 9.8 Street V�cation. If airy Street or portion thereof used by GRANTEE is vacated by GRANTOR during the term of this FRANCHISE, unless GRANTOR speciiically reserves to GRANTEE the right to continue its installation in the vacated Street, GRANTEE shall with thirty (30) day written notice and without expense to GRANTOR either remove its facilities from sucl� streets and restore street in accordance with 9.4 or negotiate an arrangement with the owner or controller of the vacated Street apart from this FRANCHISE. 9.9 Discontinuing Use of Fncilities. Whenever GRANTEE discontinues using any facility v�ithin the Streets, GRANTEE shall provide written notice to GRANTOR's with � complete description of the facility and the date on which GRANTEE intends to discontinue using the facility. GRANTEE may remove the facility or request that GRANTOR allow it to remain in place. Notwithstanding GRANTEE's reqLtest that any such facility remain in place, GRANTOR may require GRANTEE to remove the facility from the Street or modify the facility to protect the public health, welfare, safety, and convenience, or otherwise serve the public interest, GRANTOR may require GRANTEE to perform a combination of modification and removal of the facility. GRANTEE shall comple�e such removal or modification in accordance vvzth a schedule appro�ved by GRANTOR. Until such time as GRANTEE removes or modifies the facility, or until the rights to and responsibility for the facility are accepted by another Person having authority to construct and maintain such facility, GRANTEE shall be responsible for all necessary repairs and relocations of the facility, as well as maintenance of the Street, in the same maruier and degree as if the facility were in active use, and GRANTEE shall retain all liability for such facility. If GRANTEE abandons its facilities, GRANTOR may choose to use such facilities for any purpose whatsoever including, but not liinited to, puUlic, goverrunental or educational purposes, NORTHLAND CABLE TEi,EVISION, INC. 2013 FRANCHISE Page 22 oi 37 Civil 8�Departments\Commissioners\2013Worthl�nd Cable Frinchise�F'ranchise 2-19-13 For purposes of this Section 9.9, "abandons" shall have the meaning set forth in Section 15,1 of this TRA.NCHISL;. 9.10 �I�zarclo�us Subst�nces. A. GRANTEE shall comply with �11 applicable local, state and federal laws, statutes, regulations and orders con.cerning haz�rdous substances relating to GRANTEE's Cable System in the Streets, B. GRANT�E shall maintain and inspect its Cable Systein located in the Streets. Upon reason�ble written notice to GRANT'EE, GRANTOR and GRANTEE may jointly inspect GRANTEE's facilities in the Streets to determine if any release of hazardous substances has occurred, or may occur, frozn or related to GRANTEE's Cable System. In removing or modifying GRANTEE's facilities as provided in this I'RANCHISE, GRANTEE shall also remove all residues of hazardous st�bstances related thereto. 9.11 Unclergrounding of Cable. A. Wirin�. Where electric, tel�phone or other utility or other third party wiring is installed underground: at the time of Cable System construction, or when such wiring is subsequently placed Ltndergroltnd, all Cable System lines or wiring and equipment shall also be placed underground on a nondiscriminatory basis with other wire line service at no additional expense to GRANTOR. Related Cable System equipment such as pedestals must be placed in accordance with applicable Code requirements and underground �.rtility rules as reasonably interpreted by GRANTOR's Director of Public Worlcs. In areas where electric, telephone or other utility or other third party wiring is aerial, GRANTEE may install aerial cable, except when a property owner or resident requests underground installation ancl agrees to bear and pre-pay the additional cost in excess of aerial installation. ii. GRANTE� shall utilize existing poles and conduit wherever commercially reasonable. iii. This FRANCHISE does not grant, give or convey to GRANTEE the right or privilege i:o inst�ll its facilities in any manner on specific utility poles or eqtiipznent or any other Person without their permission except to the extent permitted under applicable federal and state law. B. Repair and Restoration of PropertX. NORTHLAND CABLE TELEVISION, INC. 2013 FRANCHISE Page 23 of 37 Civi18\Departments\Comtnissioners�2.013\Nortliland Cable Franchise\Frinchise 2-19-13 i. CTRANT�E shall protect pltblic and private property from damage by its C�ble System. If damage occuzs GRANTE� shall prolnptly notify tl�e prapezty awnez• witl�i� twenty-four {24} haurs of its lcnowledge of such danlage in wx•iting or in pe��sor1. ii. Sf public or private praperty is disturbed or damaged by GRANTEE, GRANT�E shall zestore the p�•ope7�ty to zis forzner condition, norrnal wear ancl iear eYcepted. Public rzght-of way shall be repaired and restored in accordance wilh Sectian 9,4. Private prope��ty must b� resto�ed promptly, cansidering ihc natti�re of the wo�•k tllat must be performed al�d in no event later than five (5} bl�siness days. iii. Prior ta enterinb onta private pz�aperty to canstruct, operate or repair iis Cable Syste7� whe�e the property ow�er has not requested such constructio�a, operatior� ar re�aair, GRANTEE shall give the Persan residing on or using the property adequate written not�ce (such as a doar laanger wllich clearly identifies the anticipate� constructian} ihat it intends to worlc on the property, a t�escripiion of the work it intends tc� perforxn and a name and phane number ihe Persan can call to protest or seelc zzlodific�tion of the �vork. Warlc shall be cione in a lilanner that catzses the least ir�terference �vith the rights and reasanable convenience of property owz�ers, residents and users. C. Mc�vemeni of Cable S�stezn I'or and By GRf-1NTOR. Ta the extent necessary, GR�INTOR zx�ay remove, replace, matiify or disec�r�neci GRANTCE's facilities and ec�i�zpmez�t locaied il1 t17e p��blic right-of- way or an any ather properiy of GR�N 1"OR in the case of ��•e, disaster, or otl�er emergency, ar wh�n a project or activzty of GRANT4R's m�kes the remaval, replaceinent, modificatian ar discazlnectzan necessary az less expensive for GRANTC?R. Except during an en�ergel�cy, �`rRAI�TOR shail �rovide r�asonable u�itten r�atice to GRANTEE priat to ta1�i�1g such actian and shall provide GR�NTEE with reasalzable opportu��iiy to perform sLtch actioz�. Following noti.ce by GR�INTOI�, GRANT�E shal� reznove, rep�ace, modify or discor�tlect any a�` its faci�ities ar equi�ment witl�izz afly public xight-af-way, or on any other property of C�RANT{�R, except that GRANTC}R shall pravide at least sixty (60} days' written noticc of' any major capital imprc�veme�lt project wlzich would rec�ti�ire the removal, replacenient, �nodif catian oz• disconzlectiozl of �R�INTEE's facilities or ec�uipment. If GRANTE]�, �`ails to con�plete tllis work withixa the time prescribed and to GRAN'1'OR's reasonable satisfactiorz, G12ANTOR may ca�,lse such work to be dane alzd bili the cost of the wo�•k to GR.ANTT;E. Wztl�in thirty {30) days of receipt of an itelnized list of thase reasonable costs, GRANTEE sha11 pay GRANTOR. TJ. iVlovemeni E'or {�ther �'�•az�chise �Tolders. If any removal, replaceznent, n�octzfication ar discon��.eciion is req�.ii.red to accaznmodate the constriXction, operation or re�air of the facilities or equiprnent of anathex Franchise halder, NOR'I�HLAND CABLI; TI;LI;VISION, INC. 2013 FRANCHis� Page 24 of 37 Civii 8\C�eparkme3�ts�Conunissioners12Q13�Nartlilauci Cabie Fi•�nchisalFranchise 2-19-i3 GRANTEE shall, after at least thirty (30) days' advance written notice, talce action to effect the necessary changes requested by the responsible entity at the responsible entity's sole and pre-paid cost and expense. �. Movement for Other Permittees. At the request of any Person holding a valid permit and upon reasonable advance notice, GRANTEE shall temporarily raise, lower or xemove its wires as necessary tio permit the moving of a building, vehicle, equipment or otl7er item. The permit holder must pay the expense of such teinporary changes, and GRANTEE may require a reasonable deposit of the estimated payinent in advance. F. Tree Triznmin�. Subject to 1CC1t111'lllg pT101 written permission of COIJNTY, GRANTEE shall have the authority but not the obligation to trim trees that overhang a public right-of-way of COUNTY so as to prevent the branches of such trees from coming in contact with its Cable System, in accordance with applicable codes and regulations and accepted pro�essional tree trimming practices; provided that in an emergency situation GRANTEE may trim trees ta protect its iacilities in which circumstance written notice of that the trimming occurred shall be delivered to GRANTOR. 9.12 Codes. GRANTEE shall strictly adhere to all building and zoning codes in effect at the time of applicable construction. GRANTEE shall arrange its lines; cables and other appurtenances, on both public and private property, in such a manner as to not cause unreasonable interference with the use of said public or private property by any Person, In the event of such interference, GRANTOR may require the removal or relocation of GRANTEE's lines, cables and other apptirtenances from the property in question. 9.13 Standards. A. All worlc authorized �nd required hereunder shall be done in a safe, thorough and worlananlilce manner. GRANTEE must comply with all safety requirements, rules and practices and employ all necessary devices as required by applicable law during construction, operation and repair of its Cable Sys�em. By way of illustration and not limitation, GRANTEE must comply with the National Electric Code, National Electrical Safety Code and Occupational Safety and Health Administration (OSHA) Standards. B. GRANTEE s11a11 ensure that the drops are properly bonded to the electrical power gro�.lz�d at t11e home, consistent with the requirements of the National Electric Code and the National Electrical Safety Code. All non-conforming or non- perforining drops shall be replaced by GRANTEE as necessary. SECTION 10. TEST AND COMPLIANCE PROCEDURES NORTHLAND CABL� TELEVISION, INC, 2013 FRANCHISE Page 25 of 37 Civil 8\Departmeirts\Commissioners\2013\Northland C�ble Franchise\Fr�nchise 2-19-13 Upon reaso��able writtcxl request, GRAI'�ITEE shall advise GRE1NTflR af schedules and rnethods for testing 11xe Cable System on a regul�r basis to delerznine compliance with the provisians of applicable FCC technzcal stazldards. Representatives of GRANTOR may witness tests, and any written test reports filed with 112e FCC m�y be made available to GRANTOR upon reasonable wriiten requesfi, As required by I-�CC Rules, GRA�ITEE shall co��duct proo� af perform�.nce tests a��d cumulative leaka�;e index tests desigzled to denzonstrate compliance with FCC r�quirements. GRANTLE shall provide GRANTOIZ capies of the results of such tests that are filed wilh the FCC upon written request. SEC"TIt�N 11.. SGI�V�C� +XTEN�rON, CC?NSTRUCTIQN, AND INTERC01�iNECTiON 11,1 Equivalent Sex-viee. It is GRAN"CE�'s gene�•a1 policy tlzat all residential dwelling units in the Frar�chise Area served by GRANTEE's Cable System have eq�.zivalent availability ta Cable Service from GRANTEE's Cable System under n�ndiscrzmin�tary rates and reasonable terms and conditians. 11.2 Service Availability. A. With respect to aezial line extensians, GRAN'I'EE shall extend energized cable from any existing tarmin�.�s of trunk cable of its Cable System to any area in COLTN7'Y in wl�ich aerzal power ancl telephonc t�tility services are available and whiclll�as a density o�` ai least eight (8} Dwelling Units alol�g one- ql�az�ter (1/4) af a linear mile aC c�ble, �xovided thai the Dwelliz�g Unit r�earest ta the existing te�•lninus of tri�nlc cable af the Cable System is situaied na more than ane-eiglxth { 1 tS) a C a linear mile of cablc fram the existing ierminus of trunk eable af the Cable System. B. Wi�t�a respect to undergro�.tnd line extez�sians, GRANTEE sk�all exiend e�zergized clble from aiay existiilg terininus of tr��nlc cable of its Cable System to any area m CC}UNTY in which i�nderground power and telephone utility services are available and �vhicll has a density of at ieast ten (1Q} Dwelling Units alang one- quaxter (1/4) of a�inear �n1le of cable, providec� that t�e DweSling Unii nearest to the existi�ag ter�nin�.ts of irltt�k cable af ihe Cab1e System is situaied no mc�r� ihan one-eighth (�/8} o�'a linear znile af cable Cram ihe existizlg terminus a�"trl�nk cable ottlae Cable System. C, Consirlxctian of the line ext;ensians rec�uired by subseciion {A) al�d (8} above sha11 camznence wiihin ane hundred t�venty (120) days a�er the (i) the determination af tlle mi7�imux� densitzes as provideci in sucl� claz�ses ar�d {ii} il�e receipi by GR�I.NTEE of a�ec�uest far sezvice io such a Dwe.11ing IJnit aiang w'rth the associatecl firsi morltl�t's pa�ment for services a�zcl th� applic�ble installation fees. f1s L�sect in tlzis Section 12.2, the term "Dwellizag I1nit" shall mean a single-family NORTHI.,�1ND CABL�' T�LJ;VISION, INC. 2013 T�RANCHISE Pa�e 26 of 37 Civii 81Departmei�tslCoi�mlissioners\2Q131Nortliland C",ab1e Frliicl�iselFrancl�ise 2-19-13 or multi-family dwelling unit that (x) is fully-constructed and capable of occupancy in accordance with applicable building, housing and zoning codes, and (y) is situated along public easements to which GRANTEE can gain access. 11.3 Connection of Prxblic Fncilities. GRANTEE shall, at no cost to GRANTOR, provide at least one (1) outlet of Basic and expanded basic programming to all buildings in the Franchise Area owned by GRANTOR, as designated by GRA.NTOR on the attached Schedule A. I� addition, GRANTEE shall provide, at no cost to the blulding owner, one (1) otrtlet of Basic and expanded Uasic prograinming to all such future public buildings owned by GRANTOR if the drop line to such building does not exceed one-hunc�red twenty-five (125) cable feet from the terinintts of trui�lc cable of tha Cabla System or if GRANTOR agrees to pay the incremental cost of such drop line in excess of one-hundred twenty-five (125) cable feet, including t11e cost of such excess labor �nd materials. Outlets of Basic and expanded basic programming provided in accordance with this subsection may be used to distribute Cable Service tllroughouti sttch buildings, provided such distribution ean be accomplished without causing Cable System disruption and general technical standards are maintained. COUNTY shall be responsible f.or all costs of such distribution of the Cable Service provided, to insure it is done in accordance with the technical requirements of the industry to avoid an impact on GRANTE�'s Cable System, and any such distribution wiring shall be tested by GRANTEE to insure the expansion does not impair GRANTEE's Cable System. SECTION 12. STANDBY PO'WER GRANTEE shall provide standby power gener�ting capacity at the Cable System Headend capabla of providing at least twelve (12) hours of einergency operation. GRANTEE shall maintain standby po�ver system supplies, for outages affecting more than ten (10%) of Subscribers, rated for �t least two (2) hours duration, throtighout the trunlc and distribution networlcs. In addition, tllroughout the term of this FRANCHISE, GRA.NTEE shall have a plan. in place, along with all resources necessary for implementing sllch plan, for dealing with outages affecting more than ten (10%) of Stibscribers for more than two (2) hours. This outage plan and evidence of reqLYisite impleinentatio�l resources shall be presented to GRANTOR no later than ninety (90) days follotiving the effective date of this FRANCHISE. SECTION 13. I'RANCHIS� VIOLATIONS; REVOCATION OF FRANCHISE 13.1 P�rocedure for Remec�ying FRANCHTS� Violations. A. If GRANTOR reasonably believes that GRANTEE has failed to perform any obligation under this FRANCHISE or has failed to perform in a timely manner, GRANTOR shall notify GRANTEE in writing, stating with reasonable specificity the natLue of the alleged violation. GRANTEE shall have thirty (30) days from the date of receipt of s�ich notice to: NORTHLAND CABLE TBL�VISION, INC. 2013 FRANCHISE Page 27 of 37 Civil 8\Departments\Convnissioners\2013\Northland Cable Franchise�F'rancliise 2-19-13 I�.espand to GRANZ"OR, contesting GIi�NTOR's assertion tlzat a vialatiol� laas accurred, and request a hearzng in accor�ance with sul7section C below; or ii. Cl�ze �he violation; or iii. Notify GRl1NTOR tl�at URt�NT�E caniaot cure the vialation within the thizty {3Q} d�ys, because af the z�ature of the violation and notify GRANTQR in writing of what sieps GRANTEE shall take ta cure the violation including GRAN'I'EE's prajected completion date for such cure. Z�z sttcl7 case, GRtANTOR shall set a lzearin� date within tllirty {30) days of receipi of st��ch respanse in accaz•dance with subsection {B) below. F3. In tl�e e�vent tllat G�NTEL notifies GRA.NTOR thai it cannot cure the violatian �vithin tlie thirty {3Q) day ct�re period, GRANTOR or its designee shall set a pub�zc hearing witlxin thiriy {30} days of GRANTQR's receipt of such natice to review anc� deter�nine whether GRA.NTEE has taken reasanable steps to cure the vial�tiozl arlcl whetizer Gl�-1NTEE's praposed plan and completion date for cure are reasanable, In the even�t such plan and compleiion date are found to be reasonable, the same s11a11 be appraved by CxRANTQR. C. In ihe evez�i illat GRAN'S'EE �`ails to cure the vialatian within the thirty (30) day basic cure pez�iod, or wit(�in an exie�ded cure period appraved by GRANTCJR or d�;sigl�ee pttrst�ant ta subsection {B}, GRANTC}R ar designee s1�a11 set a public hcaring to determine what san.ctio�is sha11 be applied. In the eveni thai CRANTEE cantcsts GRANTOR's assez�tian thai a vialatian has occurred, and requests a hearing in accardance with subsection (A}(i) above, GRANTOR or designee sha1� set a pl�l�lzc hearin� wiihin sixty (60) days of GRANTC}R's rcceipt of the heari�lg request to detezmzne wheiher the via�atiail has accurred, and if a violatian is fo�,�nd, wh�i sa��ctions shall be appliccl. D. In t��e case of �ny hearing pu��suant to thxs Sectian, G12�NTOR shall notify GR�1.N`I~E� af tlze heari�ig in writing and at the hearing, GRANTEE sha11 be provicle,d a�3 oppaz•tunity ta be hearel ai�d to present evidence in its defense, G�NTOR sha11 also hear any othez� Person intcrested therezn. �. Zf, aC-�er i:lae public hearing, GR�INTOR or designee determi�les ihat a violation exists, GRANTOR or designee t�ay utiliz:e ol�e or more of t�e following remedies slrbjcct to GR�.N`�,EE's rigllts under fedezal, state or local law to appeal such deterzni�lation: i. Orc�ex GRANT'El; to carrect or remedy the violatzon wiihin a reasanable tinae fraine as GRANT{�R or designee sha1� determine; �i, Revolce this FIt�NCHISE, sitbject to si�bsection (F) ofthis Section; and/or NORTHLAND CABL�; T�LI;VISION, TNC. 2013 �'RANCHISE �'age 28 of 37 Civi! $1Departulel�tslCan�inissianers12Q131Nortliland Cab1e FranchiselFranchisa 2-1)-13 iii. Pursue any other legal or equitable remedy available under this FRANCHIS� or any applicable law. F. This I'RANCHIS� shall not be revolced except by County legislative authority after notice and hearing as set forth i11 this Section and in accordance with the Cable Act and other applicable law. G. The determination as to whether a violation of this FRANCHISE has occur.red sh�ll be within the sole discretion of GRANTOR or its designee, provided that any such fii�al determination shall be subject to review by a court of competent jurisdiction under applicable law. 13.2 Revocation. In addition to all other rights and powers retained by GRANTOR under this FRANCHISE or otherwise, and subject to the provisions of Section 13.1 GRANTOR reserves the right to forfeit and terminate this I'RANCHISE and all rights and privileges of GRANTEE hereunder in tlle event of a material violation of its terms and conditions. A material violation b� GRANTEE shall incltide, but shall not be limited to, the following: A. Violation of an� material provision of this FRANCHISE or any other Franchise between GRANTOR and GRANTEE, or any material rule, order, regulation or determination of GRANTOR or authorized agent made pursuant to this FRANCHISE or other agreement; B. Attempt to evade an� material provision of tlzis FRANCHISE or to practice any fratrd or deceit L7pon GRANTOR or its Subscribers or customers; C, Material i�iisrepresentation of fact in the application for or negotiation of this FRANCHISE; or D. If GRANTEE becomes insolvent, or the subject of a bankrtiptcy proceeding. 13.3 Remov�l. A. In t11e event of termination, expiration or revocation of this FRANCHISE, GRANTOR may order the removal of the above-ground Cable System facilities and such LYnderground facilities as required by GRANTOR in ordar to achieve reason�ble engineering or Street-use purposes, from the Franchise Area at GRANTEE's sole expense. GRANTE� s11a11 have one (1) nine (9) month period within which to sell, transler or convey its Cable System to a qualified purchaser, or to reinove its plant, structures and equipment from GRANTOR's Streets and otl�er public places as directed by GRANTOR, During this period which shall run from the effective date of the final, non-appealable order or decision of COLTNTY NORTHLAND CABLE TELEVISION, TNC. 2013 FxANCHISE Page 29 of 37 Civil 8\Deplrtmeuts\Commissioners\2013\Northland Cable Princhise�Franchise 2-19-13 " ti councilor a court of competent jurisdiction imposing termination, GRANTEE shall have the ability to operate the Cable System pursuant to the provisions of this FRANCHISE. Tn removing its plant, structures and equipment, GRANTEE shall refill, at its own expense, any excavation that is made by it and shall leave all Streets, public places and private property in as good a condition as that prevailing prior to GRANTEE's removal of its equipment. B. If GRANTEE fails to complete any required removal pursuant to Subsection (A) to the satisfaction of GRANTOR, GRANTOR rnay cause the work to be done and GRANTEE slzall reimburse GRANTOR for the reasonable costs incurred within thirty (30) days after raceipt of an itemized list of the costs or GRANTOR may recover the costs through the security provided by GRANTEE. 13.4 Receivershxp �nd Foreclosure. A. At the option of GRANTOR, subject to applicable law, this FRANCHISE may be revolced one-hundred twenty (120) days after the appointment of a receiver or trustee to talce over and conduct the business of GRANTEE whether in a receivership, reorganization, bankruptcy or other action or proceeding unless: The receivership or trusteeship is vacated within one-hunc�red twenty (120) days of appointment; or ii. The receiver(s) or trustee(s) have, within one hundred twenty (120) days after their election or appointme�t, fully complied with all the terms and provisions of this FRANCHISE, a�d have remedied all violations under the FRANCHISE. Additionally, the receiver(s) or trustee(s) shall have executed an agreement duly approved by the court having jurisdiction, by vvhich the receiver(s) or trustee(s) assume and agree to be bound by each and every term and provision of this FRANCHISE. B, If thera is a foreclosure or other invohintary sale of the whole or any part of the plant, property and equipment of GRANTEE, GRANTOR may serve notice of revocation on GRANTEE and to the purchaser at the sale, and the rights and privileges of GRANTEE under this FRANCHISE shall be revolced thirty (30) days after service of such notice, unless: ' i. GRANTOR has approved �he transfer of the FRANCHISE, in accordance with the procedures set forth in this FRANCHISE and as provided by law; and ii. The purch�ser has agreed with GRANTOR to assume and be bound by all of the terms and conditions of this FRANCHISE. NORTHLAND CABLE TELEVISION, INC. 2013 FRANCHISE Page 30 of 37 Civil 8\Dep�rtments\Commissioners�2013\Nortlll�nd Cable Franchise�Franchise 2-19-13 13.5 No Recourse Against GRA.NTOR. Except where otherwise provided herein, GRANTEE shall not have any monetary recourse �g�inst GRANTOR or its officials, boards, commissions, agents or employees for any loss, costs, expenses or damages arising out of any provision or requirement of this F'RANCIIISE or the enforcement thereof, in accordance with the provisions of applicable federal, state and local law. The rights oF GRANTOR under this FRANCHISE are in addition to, and shall not be read to limit, any immunities GRANTOR may enjoy under federal or state law. 13.6 Nonenforcememt by GRANTOR. GRANTEE is i�ot relieved of its obligation to comply with any of the provisions of this FRANCHISE by re�son of any failttre of GRANTOR to enforce prompt compliance. GRANTOR's forbearance or failure to enforce any provision of this �'RANCHISE shall not serve as a basis to stop any subsequent en�orcement. The failure of GRANTOR on one or more occasioi�s to exercise a right or to require compliance or performance under this FRANCHISE or an� applicable law shall not be deemecl to constitute a waiver of such right or a waiver of compliance or performance, unless such right has been specific�lly waived in writing. Any waiver of a violation is not a waiver of any other violation; whetlxer similar or different from that waived. 13.7 Relltionship of Rernedies. The remedies provided for in this rRANCHISE are cumulative and not exclusive; the exercise of one remedy shall not prevent the exercise of another or any rights of GRANTOR at law or equity. SECTION 14. ABANDONMENT 14.1 Effect of AbnncloY�ment. If GRANTEE abandons its Cable System serving the Franchise Area during this FRANCHISE terin, GRANTOR, at its option, may operate the Cable System or designate another entity to operate ihe Cable System temporarily until GRA.NTEE restores service under conditions acceptable to GRANTOR or until the FRANCHISE is revolced and a new franchisee is selected by GRANTOR. 14.2 Wh�t Constiit�tes Ab�ndonment. GRANTOR shall be entitled to exercise its options and obtain any required injunctive relief if: A. GRA.NTEE Iails to provide any Cable Service to 90% of its Subscribers in accordance �vith this �RANCHISE for more than twenty (20) consecutive NORTHLAND CABLE TELEVISION, INC. 2013 FRANCHISE Page 31 of 37 Civil 8�Departu�ents\Commissioners�2013\Northland C�ble Franchise�Franchise 2-19-13 business days, unless GRANZ'OR or dcsignee �uthorizes a longer intcrruption of service vvhich authariratian sha�l not be unreaso�ably wzthheld; or B. Far �u�poses af t1�is FRANCI-�ISE, "abandons" shall rnear� GRANTEE's iz�tei�tio��.�l surrender, dese�tion or relinquishnxent of its Cable System where GRA.N�'E� fails to pravidc any Cable Service to 104% af its Subscribers for a pe�iod of no less than nineiy (94) days. SECTION 15. F:ftANCIIISE REI�EWAL ANl) TRANSFEI2 15.1 Rene�va�. A. GRANT�R and GR�NTEE agree that any p�oceedin�;s undertaken by GRANTOR tl�at relate to the rez�evval of GRANTEE's FRANCHISE sha11 be governed by and comply with the provisions o�' Seclion 626 of the Cable Acts unless the pracedures and substantive protectio�ls set forth thereirl slzall be deemed to be preempted and superseded by t11e pravisioza.s of any si�bsec�uent pravision af federal law. B. In addition to the �rocedl�res set forth in said Section 626{a) of the Cable Act, GRANTC7R agrees to naiify GkANTEE in writiz�g t�vithizl9Q days c�E 11ze completion af its assessments regazcting the identification of future cable-related commcl�aity nceds and itltez•ests, as well �s the past perfarmance of GRANT�E under the then cur�ent FRr1NCHIS� tezzn. Notwitlzstanding anything to the contra�y sei forth hereii�, GRANTI�E ai�d GRANTC)R aglee that at any ti�ne during the ierm of the then current FRANCHISE, �1�i1e af.fording the public adec�uate natice ar�d apportunity for comment, GRt�NTOR and CrRANTFE may agree i� undertalce ancl finalize infortnal negotiations regarding rel�ewal of the then current TR�NC��ISE ancl GRANTC?R may grant a renewal thereaf. GRA.NT�E and GRt�NTUR eonsider the terms set forth iiz this Section to be consiste�zt �zth the express provisio��s af Section 626 of the Cable �ct. 15.2 Transfer of O�v�ers�ip ar Coniral. A. This FRANCHZS� shall noi be asszg�ed az transfez~s•ed, either in whale ar in part, either b� izlvoluntary sale ar by volt�ntary sale, withot�t ihe prior writterl eansent of GRANTC}R, which cal�ser�t slaall x�ot be �.�nreasonably withheld or delayed; I'ROVIDED: GRANTEE may from �zzne to time transfex and assign tllis FIZANCHISE withotxt pric>r naiiee or co�zsent to {i) zts lelider{s} far security pl�rpases, a�1d (ii} to its Af�liate(s} B. GRt�NT1�,E shall promptly noiify GRANTOR a� any actual or proposed chan�;e in, or iransfer of, ar acc�ti�isitia�l by �ny other party af contr�l of GR�NTEE. The ward "controi" as �.�sed herein is nor liinitecl io znajarity stockholders but includes actual worl�ing co�irol i�z �wl�atever manner exe�•cised, � rebuitable presumption that a iransfer of control has occ�,lrred sha11 arise on ihe �cquisiiion or accumulatian by any Persan ar �;rotlp af l'ersa�ls ofte�l percent { 1 Q°lo} o� the slaares or the general parinership interest in GR�NT�.;E, exce�t ihat this sentence shall not apply ir� the case af �. transfer ta any 1'erson or gra�.�p a�ready ownirlg at least � ten perceni (10°l0} interest of the shares or the N�R`I'HLAND CAF3LE TLLF,VISIC;N, INC. 2013 rx�.NCKiS� Page 32 of 3'7 Civil 8lllepartments\Couvuissioners124131Northland Cab(e Franchise\Francllise 2-19-13 general partnership interest in GRANT�E. Every change, transfer or acquisition of control of GRANT�E shall make this FRANCHISE subject to cancellation unless ai�d until GRANTOR shall have consented thereto. C. The parties to the sale or tiansfer shall malce a written request to GRANTOR for its approval oF � sale or transfer and furnish all information required by law and GRANTOR. D. GRANTOR shall rendex a final written decision on the request within one-hundred twenty (120) days of the request, provided it has received all information requested in accordance witl� the CaUle Act and the FCC regulations promulgated thereunder. Subject to the foregoing, if GRANTOR. fails to render a final decision on the request within one- htitndred twenty (120) days, such request shall be deemed granted unless the requesting party and GRANTOR agree in writing to an extension of time. E, Within thirty (30) days of any transfer or sale, if approved or deemed granted by GRANTOR, GRANTEE shall file with GRANTOR a written notice confirming such sale or transfer of ownership or control, certified and sworn to as correct by GRANTEE and the transferee. F. In reviewing a request for sale or transfer, GRANTOR may inquire into the legal, technical and financial qualifications of the prospective controlling p�rty or transferee, and GRANTEE shall assist GRANTOR in so inquiring. GRANTOR may condition said sale or transfer upon such terms and conditions as it deems reasonably appxopriate, provided., however, any such terms and conditions so attached shall be directly and solely related to the legal, technical, and financial qualifications of the prospective co�ltrolling party or transferee and. to the resollrtion of outstanding and unresolved issues of noncoinpliance with the terms and conditions of this FRANCHISE by GRANTEE as permitted by the Cable Act and the FCC's regulations promulgated thereunder. G, The consent. or approval of GRANTOR to any transfer by GRANTEE shall not constitute a wliver or release of any rights of GRANTOR, and any transfer shall, by its terms, be expressly subordinate to the terms and conditions of this FRANCHISE. SECTION 16. SEVERAl3ILITY If any Section, s�.ibsectiozl, paragraph, term or provision of this FRANCHISE is determined to be illegal, invalid or �rncozlstit�.itional by any court of competent jurisdiction or by any state or federal regulatory �trthority having jLuisdiction thereof, such determination shall have no effect on the validity of any other Section, subsection, paragraph, term or provision of this FRANCHISE, all oF which will remain in full force and effect for the term of the FRANCHISE, NORTHLAND CABL� TELEVISION, INC, 2013 FRANCHISE Page 33 of 37 Civil 8\Dep�rtments\Commissioners\2013\Northland CaUle Franchise�i'ranchise 2-19-13 SECTION 17. MTSCELLANEOUS PROVISTONS 17.1 Preferential or Discriminator� Practices Prohibited. GRANTEE shall not discriminate in hiring, employment or promotion on the basis of race, color, color, etlmic ox national origin, religion, age, sex, sexual orientation, marital status, or playsical or mental disability. Throughout the term of this FRANCHISE, GRANTEE shall fiilly comply with all equal employment or nondiscrimination provisioi�s azzd reqLrirements of federal, state and local law and, in particular, FCC rules and regulatioi�.s relating thereto. 17.2 Notices. Tluougho�tt the term of the FRANCHISE, GRANTEE shall maintain and file with GRANTOR � designated legal or local address for the service of notices by mail. A copy of all noiices from GRANTOR to GRANTEE shall ba sent, postage prepaid, to sueh address and s�.tch zzotices sl�all be effective upon tllree (3) days after the date of mailing, At the effectzve date o� this FRA.NCHISE, such addresses shall be: Northland Cable Television, Ine. 101 Stewart Street, Suite 700 Seattle, Wasl�ington 98101 Attention: Legal Department Witl� � copy to: North.land Cable Television, Inc. 254 N. Fig Street Moses Lake, Washington 98837 Attention: Genex�al Manager All notices to be sent by GRANTEE to GRANTOR under this FRANCHISE shall be sent, postage prepaid, and such notices shall be effective upon three (3) days after the date of mailzng. At the effective date of this FRANCHISE, such address shall be: Board of Coui�ty Commissioners POBox37 Ephrata WA 98823-0037 17.3 Binding Effect. This FRANCHISE shall be binding upon the parties hereto, their permitted successors azzd assigz�s. NORTHLAND CABLE TELEVISION, INC, 2013 FRANCHISE page 34 of 37 Civil 8\Departuients\Coulmissioners\2013Wortlilaud Cable Franchise\Frinchise 2-19-13 17.4 Autliority to An�encl. This FRANC�IISE znay be amended at any tiine by written agreement between the parties. 17.5 Governing L�w. This FRANCHISE shall be governed in all respects by the laws of the State of Wasliingtoi�. 17.6 Gu�rantee. The performance of GRANTEE shall be guaranteed in all respects by GRANTEE until this FRANCHISE expires, is terininated as p.rovided herein or is assigned. 17.7 Captions. The captioi�.s and l�eadizlgs of this FRANCHISE are foi� convenience and reference purposes only and shall not affect in any way the meaning or interpretation of any provisions of this FRANCHISE. 1.7.8 Constiruction of FRANCHISE. The provisions of this FRANCHISE shall be liberally construed to promote the public interest. 17.9 Entire FRAIV�CTIIS�. This FRANCHIS� contains all of the agreements of the parties with respect to any matter covered or mentioned in this FRANCHISE and no prior or contemporaneous agreements or t�nderstanclings �ertaining to any such matters shall be effective for any purpose. No provision of t11is FRANCHISE may be amended or added to except by agreement in writing signed by both of the parties. 17.10 Foarce Ma,�errre. The performance of either party under this FRANCHISE is excused for such period of time as its perForinance is rendered impossible by acts of nature, war, terrorist attacks, or labor disputes. 17.11 Tirne is of the Essence. Time is of tlae essence of this FRANCHISE and each and all of its provisions in which performance is a factor. NORTHLAND CABLE TEL�VISION, INC. 2013 FRANCHISE Page 35 of 37 Civil 8\Departments\Conm�issioners�2013Worthland Cable Francliise\Franchise 2-19-13 N�W TI-IE��E�ORLS,, I3E IT �-IEREBY RCS(�LVFD T�IAT 'THE GRANT CQUN'I'Y COIvIMISSIONFRS adapt tl�is ordiilance on FebrL�azy 19, 2Q13. PASSED tl�is � � � � � day of �-t'��-��, 2013. BQARD OF COUN1"Y COMMISSIONERS CrRANT COUNTY, WASI�INGTON � �m j Cindy Carter,� hair � ��� � C�rolai3n Swartz, Member ,, - �=-Y-�._ Ricllard Stevens, Member ATTEST: J13; By ��... Daltan Lee P._�r�� Deputy Proseci7ting �1.ttarney Date: � � �� ��a� Nt�RfiHLAND CABI,.E TELEVISIQN, INC. 2013 �'R�NCHISE Page 36 af 37 Civi181Departments�Commissios�ers\2013�3�Iortliland Cab1e FrinchiselI'ranchise 2-19-13 ACCEPTED: NORTHLAND CABLE TELEVISION, INC, : Name: Richard I, Clarlc Title: Executive Vice President State of Washington County of King I hereby certify that I lcnow or have satisf�ctory evidence that Richard I. Clark signed this instrument in his capacity as the Executive Vice President of Northland Cable Television, Inc. and acicnowledged it to be their free and volltntary act for the uses and purposes mentioned in the instrument. DATED: Notary Public �or My Commission expires; NORTHLAND CABLE TELEVISION, TNC. 2013 FRANCHIS� Page 37 of 37 Civil 8�Dep�rtments\Cou�missioners�2013\Nortliland Cable Franchise\Frinchise 2-19-13