HomeMy WebLinkAbout08-25-1969 Regular MeetingSTATE OF ALABAMA
COUNTY OF BALDWI N
The City Council of the City of Fairhope met in regular session
at the City Hall, Monday, August 25, 1969 at 7:30 P.M. with the
following members present: Mayor R. C. Macon, Councilmen: James
P. Nix, H. G. Bishop and Sam E. Box. Councilmen R. H. Cowen and
John A. Robertson absent.
Minutes of the previous regular meeting were approved.
The request of Fairhope Clay Products was given to committee for
study for uniform commercial rate for gas as recommended by
Councilman Box.
Motion by Councilman Bishop seconded by Councilman Box that
Ordinance No. ¢RQ, An Ordinance Amending Section 13, District
Boundaries, of Zoning Ordinance No. 295, introduced at the regilar
meeting of August 11, 1969, be adopted as introduced. Motion
carried.
Motion by Councilman Nix seconded by Councilman Box that the
following Resolution be adopted:
WHEREAS, Senate Bill S. 413 has been introduced in the United
States Senate to make provisions for the volunteer fire depart-
ments to obtain Federal funds for equipment and training; and
WHEREAS, fire protection over most of our State is provided
only by volunteer fire departments, as is the case in this City;
and
WHEREAS, the City Council of the City of Fairhope is de-
sirous of seeing Senate Bill S. 413 favorably acted upon;
BE IT RESOLVED by the City Council of the City of Fairhope
that the City favored Senate Bill S. 413 and that a copy of this
Resolution be sent to our Senators, the Honorable John Sparkman
and the Honorable James B. Allen, and to our Representative in
Congress, William L. Dickinson, u Iging them to support Senate
Bill S. 413.
Motion unanimously adopted.
The following Insurance bids were received on two Electric sub-
station and on athletic equipment in storage:
Pitman Realty Company $235.00
Maury Insurance Agency 328.00
Motion by Councilman Nix seconded by Councilman Box that the City
accept low bid of Pitman Realty Co. in the amount of $M5.00
Motion carried.
Motion by Councilman Box seconded by Councilman Bishop that the
following Resolution be adopted:
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAIRHOPE
that;
WHEREAS, Wallace W. Milham has deposited with the City of Faii
hope a� Bill of Sale to inventory of stock of goods on hand
including boats and all inventory, as security for his faithful
performance of the Marina Contract;
IT IS, THEREFORE, AGREED that he is relieved of keepigg the
bond given under this Contract, at the pleasure of the Council,
which bond may be reinstated on at any time by the Council.
Resolution unanimously adopted.
Motion by Councilman Bishop seconded by Councilman Box that the
City Council accept report of Fairhope Title and Survey dated
July 28, 1969 and approved at the regular meeting of August 5, 1969
and that the City Superintendent furnish necessary aid to proceed
with improvements as outlined in report. Motion carried.
ouncilman Bishop introduced Ordinance No. Al, AN ORDINANCE
RANTING A FRANCHISE TO TELEPROMPTER CABLE .V. COMPANY, INC.
TS SUCCESSORS AND ASSIGNS, TO OPERATE AND MAINTAIN A COMMUNITY
NTENNA TELEVISION SYSTEM IN THE CITY: SETTING FORTH CONDITIONS
CCOMPANYING THE GRANT OF FRANCHISE: PROVIDING FOR CITY REGULATIO
ND USE OF THE COMMUNITY ANTENNA TELEVISION SYSTEM: AND PRES_
RISING PENALTIES FOR VIOLATION OF THE FRANCHISE PROVISIONS:
Oridinance No.�
AN ORDINANCE GRANTING A FRANCHISE TO
TELEPROMPTER CABLE T.V. COMPANY, INC.
ITS SUCCESSORS AND ASSIGNS, TO OPERATE
AND MAINTAIN A CO'JIMUNITY ANTENNA TELEVISION,
SYSTEM IN THE CITY; SETTING FORTH CONDITIONS
ACCOMPANYING THE GRANT OF FRANCHISE; PROVIDING
FOR CITY REGULATIONS AND USE OF THE COM'14UNITY
ANTENNA TELEVISION SYSTEM; AND PRESCRIBING
PENALTIES FOR VIOLATION OF THE FRANCHISE,
PROVISIONS:
BE IT ORDAINED BY THE BOARD OF COMMISSIONERS OF THE CITY OF
FAIRHOPE, ALABA_MA, as follows:
Sec. 1. Short Titles. This Ordinance shall be known
and may be cited as the "TelePrompTer Cable T.V. Company, Inc.
Community Antenna Television Franchise Ordinance".
Sec. 2: Definitions. For the purpose of this Ordinance
the following terms, Phrases, words, and their derivations shall
have the meaning given herein. Mien not inconsistent with the
context, words used in the aresent tense include the future,
words in the plural number include the singular number, and
words in the singular number include the plural number. The
word "shall" is always mandatory and not merely directory.
(1) ' "City" is the City of Fairhope.
(2) "Commission" is the Board of Commissioners of
the City of Fairhope.
(3) "Community Antenna Television System", herein-
after referred to as "CATV System" or "system" means a
system of coaxial cables or other electrical conductors
and equipment used or to be used primarily to receive
television signals directly or indirectly off -the -air
and transmit them to subscribers for a fee.
(4) "Persons" is any person,`firm, partnership,
association, corporation, company or organization of
any kind.
11
(S) "Grantee" is TelePrompTer Cable T.V. Company, Inc.
or anyone who succeeds TelePrompTer Cable T.V. Company, Inc.
in accordance with the provisions of. this Franchise.
Sec. 3. Grant of Nonexclusive Authority. ,
(a) There is hereby granted by the City to the
grantee the right and privilege to construct, erect, operate
and maintain; in, upon, along, across, above, over and under
the streets, alleys, public ways and public places now laid.
out or dedicated, and all extensions thereof, and additions
thereto, in the City, poles, wires, cables, underground conduits,
manholes, and other television conductors and fixtures necessary
for the maintenance -and operation in the City of a CATV
system for the interception, sale, and distribution of
television signals.
(b) The right to use and occupy said streets, alleys,
public ways and places for the purposes herein set forth shall
not be exclusive, and the City reserves the right to grant a
similar use of said streets, alleys, public ways and places, to
any, person at any time during the period of this Franchise.
Sec. 4. Compliance with Apnlicable Laws and Ordinances.
The grantee shall, at all times during the life of this Franchise,
be subject to all lawful exercise of the police power by the
City and to such reasonable regulation as the City shall
hereafter provide.
Sec. 5. Territorial Area Involved. This Franchise relates
to the present territorial limits of the City and to any area
henceforth added thereto during the term of this Franchise.
Sec. 6. Liability and Indemnification.
(a) The Grantee shall pay and by its acceptance of
this Franchise the Grantee specifically agrees that it will pay
all damages and penalties which the City may legally be required
to pay as a result of granting this Franchise. These damages
or penalties shall include, but shall not be limited to, damages
arising out of copyright infringements and all other damages
arising out of the installation, operation, or maintenance of
the CATV system authorized herein, whether or not any act or
omission complained of is authorized, allowed, or prohibited
by this Franchise.
(b) The Grantee shall pay and by its acceptance of
this Franchise specifically agrees that it will pay all expenses
incurred by the City in defending itself with regard to all
damages and penalties mentioned in sub -section (a) above. These
expenses shall include all out-of-pocket expenses, such as
attorney fees, and shall also include the reasonable value of
any services rendered by the City Attorney or his assistants
or any employees of the City.
(c) The Grantee shall maintain, at commencement of
construction, and throughout the terms of this Franchise, liability
insurance, with the City as an additional insured, with regard to all
damages mentioned in sub -paragraph (a) above in the minimum
of:
(1) $100,000.00 for bodily injury to death to
any one person, with the limit, however, of $300,000:00
for bodily injury or death resulting from any one accident.
(2) $200,000.00 for property damage resulting
from any one accident.
(3) $300,000.00 for the infringement of copyrights.
(4) $100,000.00 for all other types of liability.
(d) The Grantee shall maintain, at commencement of
construction, and by its acceptance of this Franchise specifically
agrees that it will maintain throughout the term of the Franchise
a faithful performance bond running to the City, with good and
sufficient sureties approved by the City, in the penal sum
of $100,000.00 conditioned that the grantee shall well and
truly observe, fulfil, and perform each term and condition of
this Franchise and that in case of any breach of condition of
the bond, the amount thereof shall be recoverable from the
principal and sureties thereof by the City of all damages
f
proximately resulting from the failure of the grantee to
well and faithfully observe and perform any provision of
this Franchise.
(e) The insurance policy and bond obtained by
the grantee in compliance with this section must be approved
by the City Commission and such insurance policy and bond,
along with written evidence of payment of required premiums,
shall be filed and maintained in full force with the City .
Revenue Officer during the term of this Franchise, and shall
contain a provision requiring not less than thirty (30) days
n®tice to the City of cancellation.
Sec. 7. Prohibition of Pay TV: The grantee is
specifically barred from delivering television signals,
directly or indirectly, from any pay television source.
Sec. 8. Color TV. The facilities used by the grantee
shall be capable of distributing color TV signals, and when
the signals the grantee distributes are received in color
they shall be distributed in color where technically feasible.
Sec. 9. Signal Quality Requirements. The grantee
shall.
(l) Produce a picture, whether in black and white or
in color, that is undistorted, free from ghost images, and
accompanied with proper sound on typical standard production
TV sets in good repair, and as good as the state of the art
allows;
(2) Transmit signals of adequate strength to produce
good pictures with good sound at all outlets without causing
cross -modulation in the cables or interferring with other
electrical or electronic systems;
(3) Limit failures to a minimum by locating and
correcting normal malfunctions promptly, but in no event
longer than forty-eight (48) hours after notice, acts of
God excepted.
EM
a
0
(4) If reasonably requested, to demonstrate by
instruments and otherwise to subscribers that a signal of
adequate strength and quality is being delivered.
Sec. 10. Operation and Maintenance of System.
(a)" The Grantee shall render efficient service,
make repairs promptly, and interrupt service only for good
cause and for the shortest time possible. Such interruptions
insofar as possible shall be preceded by notice and shall
occur during periods of minimum use of the system.
(b) The Grantee shall maintain an office in the
City, which shall be open during all usual business house, have
a listed telephone, and be so operated that complaints and
requests for repairs or adjustments may be received at any
time.
Sec. 11. Carriage of Signals. The Grantee shall receive
and distribute television signals which are disseminated to the
general public without charge by broadcasting stations licensed
by the Federal Communications Commission, and shall distribute no
other signals except that the Grantee may distribute weather
information and time, music, news, and stock market reports
furnished as an incidental part of the -system to all subscribers,
without additional charge; may transmit occasional local events
of public interest and occasional closed circuit television
programs furnished as an incidental part of community antenna
service to all subscribers, without additional charge. The
Grantee shall not transmit or distribute live coverage of any
local events which are being telecast nationally but are not
being otherwise televised into the Mobile Metropolitan area.'
The Grantee will at all times carry all local channels and
in the event a program is being carried on two or more stations
at the same time, will black out the out-of-town stations
carrying the program, and during such times may originate its
own programs over such channel. All FCC regulations shall be
complied with regarding the carriage of the programming of
any existing or future television broadcasting station which
covers the City of Fairhope in its principal broadcasting area.
Sec. 12. Program Alteration. All programs of broad-
casting stations carried by the Grantee shall be carried in
their entirety as received, with announcements and
advertisements and without additions.
Sec. 13. Service to Schools, Hospitals, and Municipal
Buildings. Upon request by the City the Grantee shall provide
outside connections and service. to all hospitals, public
schools,, parochial or other religious schools, and municipal
buildings of :the City; provided, however, any and all inside
wiring or work shall be done at the expense of such hospital,
school or City; and that a service cable is located in
reasonable proximity to such building.
Sec. 14.. Emergency Use of Facilities. In the case of
any emergency or.disaster, the Grantee shall, upon request
of the City 'Commission, make available its facilities to the
City for .emergency use during the emergency or disaster period.
Sec. 15. Other Business Activities.
(a) The Grantee shall not engage in the business
of selling, repairing, or installing television receivers,
or accessories for such receivers within the City of Fairhope
during the term of this Franchise.
(b) This Franchise authorizes -only the operation
of a CATlr system as provided for herein, and does not take
the place of any other franchise, license, or permit which
might he required by law of the Granteel.
Sec. 16. Safety Requirements.
(a) The Grantee 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 Grantee shall install and maintain its
wires, cables, fixtures, and other equipment in accordance
with the requirements of the Electrical Code of the City of
Fairhope, as the same now exists or may be hereafter amended or
replaced by a later and subsequent Electrical Code, and in
such manner that they will no interfere with any installations
of the City or of a public utility serving the City.
(c) All structures and all lines, equipment, and
connections in, over, under, and upon the streets, sidewalks,
alleys and public ways or places of the City, wherever
situated, or located, shall at all times be kept and maintained
in a safe, suitable, substantial condition, and in good order
and repair.
(d) The Grantee shall maintain a force of one or
more resident agents or employees at all times and shall have
sufficient employees to provide safe, adequate and prompt
service for its facilities.
Sec. 17. New Developments. It shall be the policy of
the City liberally to amend this Franchise, upon application
of the Grantee, when necessary to enable the Grantee to take
advantage of any developments in the field of transmission
of television signals which will afford it an opportunity more
effectively, efficiently, or economically to serve its
customers. Provided, however, that this section shall not
be construed to require the City to make any amendment or to
prohibit it from unilaterally changing its policy stated herein.
%Sec.'18. Conditions on Street Occupancy.
(a) All transmissions and distribution structures,
lines, and equipment erected by the Grantee within the City shall
be so located as to cause minimum interference with the proper
use of streets, alleys, and.other public ways and places,.
and to cause minimum interference with the rights and
reasonable convenience of property owners who join any
of the said.streets, alleys or other public ways and
places.
(b) In case of disturbance of any street, side-
walk, alley, public way, or paved area, the Grantee shall,
at its own cost and expense and in a manner approved by the
City Engineer, replace and restore such street, sidewalk,
alley, public way, or paved area in as good a condition as
before the work involving such disturbance was done.
(c) If at any time during the period of this
Franchise the City shall lawfully elect to vacate, relocate,
alter or change the grade of any street, sidewalk, alley,
or other public way, the Grantee upon.reasonable notice by
the City, shall remove, relay, and relocate its poles,
wires, cables, underground conduits, manholes, and other
fixtures at its own expense.
(d) Any poles or other fixture placed in any
public way by the licensee shall be placed in such manner
as not to interfere with the usual travel on such public
way.
(e) The Grantee shall, on the request of any
person holding a building, moving:permit issued by the City,
temporarily raise or lower its wires to permit the moving of
buildings. The expense of such temporary removal or raising
or lowering of wires shall be paid by the person requesting
the same, and the Grantee shall have the authority to require
such payment in advance. The Grantee shall be given not less
than forty-eight (48) hours advance notice to arrange for
such temporary i,rire changes.
(f) The Grantee shall have the authority to
trim trees upon and overhanging streets, alleys, sidewalks,
and public ways and places of the City so as to prevent the
i
0
M,,
branches of such trees from coming in contact with the
wires and cables of the Grantee, except that at the
option of the City, such trimming may be done by or
under the supervision and direction of the City at the
expense of the Grantee.
Sec. 19. Preferential or Discriminatory Practices
Prohibited. The Grantee shall not, as to rates, charges,
service, service facilities, rules, regulations, or in any
other respect make or grant any undue preference or
advantage to any person, nor subject any person to prejudice
or disadvantage.
Sec. 20. Removal of Facilities Unon Request. Upon
termination of service to any subscriber, the Grantee shall
promptly remove all its facilities and equipment from the
premises of such subscriber upon his request.
Sec. 21. Transfer of Franchise. The (Irantee shall
not transfer this Franchise to another -person without prior
approval of the City by ordinance.
Sec. 22. Transactions affecting Ownership of Facilities.
(a) The Grantee shall not make, execute, or
enter into any deed, lease, sale, gift or similar agreement
concerning all of the facilities and property, real or
personal, of the CATV business without prior approval of the
City Commission. Provided, however, that this section shall
not apply to the disnosition of worn out or obsolete
facilities or personal property in the normal course of
carrying on the CATV business.
(b) Except as provided for in sub -section (a) above,
the Grantee shall at all times be the full and complete
owner of all facilities and property, real and personal, of
the CATV business.
u
See. 23. Chanae of Control of Grantee. Prior approval
of the City Commission shall be required where ownership or
control of more than 66 2/3 per cent of the right of control of
Grantee is acquired by a person or group of persons acting in
concert. By its acceptance of this Franchise the Grantee
specifically grants and agrees that any such acquisition
occurring without prior approval of the City Commission shall
constitute a violation of this Franchise by the Grantee.
Sec. 24. Filings and Communications with Regulatory
Agencies. Copies of all petitions, applications and
communications submitted by the Grantee to the Federal
Communications Commission, Securities and Exchange Commission,
or any other federal or state regulatory commission or agency
having jurisdiction in respect to anv matters affecting CATV
operations authorized pursuant to this.Franchise, shall also
be submitted simultaneously to the City Commission.
Sec, 25. City Rights in Franchise.
(a) The right is hereby reserved to the City or
the City Commission to adopt, in addition to the provisions
contained herein and in existing applicable ordinances, such
additional regulations as it shall find necessary in the
exercise of the police power; provided, that such regulations,
by ordinance or otherwise, shall be reasonable and not in
conflict withrthe rights herein granted.
(b) The City shall have the right to inspect the
books, records, maps, plans, income tax returns, and other
like materials of the Grantee at any time during normal
business hours.
(c) The City shall have the right, during the life
of this Franchise, to install and maintain free of
charge upon the poles of the Grantee any wire and pole
fixtures necessary for a police alarm system, on the condition
that such wire and pole fixtures do not interfere with the
CATV operations of the Grantee.
I
(d) The City shall have the right to supervise
all construction or installation work performed subject to the
provisions of this Franchise and make such inspections as it
shall find necessary to insure compliance with the terms of
this Franchise and other;:pertinent provisions of law.
(e) At the expiration of the term for which this
Franchise is granted, or upon its termination and cancellation,
as provided for herein, the City shall have the right to
require the Grantee to remove at its own expense all portions
of the CATV system from all public ways within the City.
Sec. 26. Maps, Plats and Reports.
(a) The Grantee shall file with the City Engineer
true and accurate maps or plats of all existing and proposed
"installations.
(b) The Grantee shall file annually with the
City Clerk not later than sixty (60) days after the end of
the Grantee's fiscal year, a copy of its report to its
stockholders (if it prepares such a report), an income state-
ment applicable to its operations during the preceding 12
months"period, a balance sheet and a statement of its
properties devoted to CATV operations. These reports shall
be prepared or approved by a certified public accountant and
there shall be submitted along with them such other reasonable
information as the Citv Commission shall request with respect
to the Grantee's pronerties and expenses related to its
CATV operations with the City.
(c) The Grantee shall keep on file with the
City Clerk a current list of its shareholders and bondholders.
Sec. 27. Payment to the Citv. The Grantee shall pay to
the City annually an amount equal to five (5) per cent of the
annual gross operating revenues taken in and received by it on
all sales of television signals within the City and all
receipts from installation charges within the City during the year, for
the use of the streets, and other facilities of the City in
the operation of the system and for the municipal supervision
This payment shall
thereof. be not less than $250.00 per year
this
from the date of acceptance obemade rwithin en 30daysifollowing
licenses. This payment shall
the close of the fiscal year of the Grantee. The fiscal year
of the Grantee under ferisFrenttlofeincome taxesthe
tosame
theas the UnitedfStates
year of the Granteepaym
of America or the State of Alabama.
Sec. 28 Forfeiture of Franchise.
(a) In addition to all other rights and powers
pertaining to the City by virtue of this Franchise or other-
wise, the City reserves the right to terminate and cancel
this Franchise and all rights and privileges of the Grantee
hereunder in the event that the Grantee:
(1) Violates and provisions of this Franchise
or any rule, order, or determination of the City
or City Commission made pursuant to this Franchise,
except where such violation, other than of Section
23 or sub -section (2) below, is without fault or
through excusable neglect;
(2) Becomes insolvent, unable or unwilling
to pay its legal debts, or is adjudged a bankrupt.
(3) Attempts to evade any of the provisions
of this Franchise or practices any fraud or
deceit upon the City; or
(4) Fails to make the minimum payment of j250.00
per year to the City, per section 27.
(b) Such termination and cancellation shall be by
ordinance duly adopted after thirty (30) days notice to the
Grantee and shall in no way affect any of the City's rights
under this Franchise or any provision of law. In the event
that such termination and cancellation depends upon a finding
of fact, such finding of fact as made by the City Commission
or its representative shall be conclusive in the absence of
fraud or a gross abuse of discretion. Provided, however,
that before this Franchise may be terminated and cancelled
under this section, the.Grantee must be provided with an
opportunity to be heard before the City Commission.
Sec. 29. City's Right of Intervention. The Grantee
agrees not to oppose intervention by the City in any suit
or proceeding to which the Grantee is a party.
Sec. 30. Further Agreement and Waiver by Grantee. The
Grantee agrees to abide by all provisions of this Franchise,
and further agrees that it will not at any future time set up
as against the City or the City Commission the claim that the
provisions of this Franchise are unreasonable, arbitrary, or
void.
Sec. 31. Duration and Acceptance of Franchise.
(a) This Franchise, and the rights, privileges
and authority hereby granted shall take effect and be in
force from and after final passage hereof, as provided by
law, and shall continue in force and effect for a term of
twenty (20) years, provided that within sixty (60) days after
the date of the passage of this ordinance the Grantee shall
file with the City Clerk its unconditional acceptance of this
Franchise and promise to comply with and abide by all its
provisions, terms, and conditions. Such acceptance and
promise shall be in writing duly executed and sworn to, by
or on behalf of the Grantee before a votary Public or other
officer authorized by law to administer oaths.
(b) Should the Grantee fail to comply with '
sub -section (a) above, it shall acquire no rights,
privileges, or authority under this Franchise whatsoever.
(c) The Grantee shall have an option to renew
this Franchise for one additional term of twenty (20) years by
giving written notice to the City at least six (6) months
before its expiration.
Sec. 32. Erection, Removal, And Common User of Poles.
(a) No poles or other wire -holding structures shall
be erected by the Grantee without prior approval of the City
Commission with regard to location height, type and any other
pertinent aspect. However, no location of any pole or wire -
holding structure of the Grantee shall be a vested interest
and such poles or structures shall be removed or modified
by the Grantee at its own expense whenever the City Commission •
determines that the public convenience would be enhanced
thereby.
(b) T%b ere poles or other wire -holding structures
already existing for use in serving the City are available for
use by the Grantee, but it does not make arrangements for such
use, the City Commission may require the Grantee to use such
poles and structures if it determines that the public
convenience would be enhanced thereby and the terms of the use
available to the Grantee are_just and reasonable.
(c) Where the City or a public utility serving
the City desires to make use of the poles or other wire-holdin
structures of the Grantee but agreement therefor with the
Grantee to permit such use for such consideration and upon
such terms as the Commission shall determine to be just and
reasonable, if the Commission determines that the use would
enhance the public convenience and would not unduly interfere
with the Grantee's operations.
0
See, 33. Number of Channels. The Grantee's cable
distribution system shall be capable of -carrying at least
twelve (12) television channels. ,The Grantee shall carry a
minimum of four (4) commercial television channels which shall
include all of the major television networks. Further, the
Grantee shall make available upon request of the City
commission one of said channels for educational TV and one
of said channels for any other non-commercial service for the
benefit of the inhabitants of the City.
See, 54, Rates,
(a) The rates and charges for television signals
distributed hereunder shall be fair and reasonable and no
higher than necessary to meet all costs of service, including
the establishment and maintenance of necessary reserves, funds
for replacement, and expansion, (assuming efficient and
eCenimical management), including a fair return on the original
Cpst, less depreciation, of the properties devoted to such
service (without regard to any subsequent sale or transfer
price or cost of such properties,)
(b) The City Commission shall have the power,
authority, and right to cause the Grantee's rates and charges
to Conform to the provisions of sub -section (a) hereof, and for
this nurnose, it may deny increases or order reductions in
such rates and charges when it determines that in the absence
of sueh action on its .part, the Grantee's rates and charges or
proposed increased rates and charges will not conform to
the said suh>section.(a),
(C) By its acceptance of this Franchise the
Grantee specifically. frants and agrees that its rates and
charges to its subscribers for television signals shall be'
fair and reasonable and no higher than necessary to meet all
its necessary costs of service, including the establishment,
and maintenance of necessary reserves, funds for replacement
and expansion, (assuming efficient and economical management),
including a fair return on the original cost, less depreciation,
of .its properties devoted to such service (without regard to
any subsequent sale or transfer price or cost of such properties).
(d) By its acceptance of this Franchise the
Grantee further specifically grants and agrees that the City
Commission shall have the power, authority, and right to
cause the Grantee's rates and charges to conform to the
provisions of sub -section (c) hereof, and for this purpose
the Commission may deny increases or order reductions in such
rates and charges when it determines that in the absence of
such action on its part, the Grantee's. rates and charges or
proposed increased rates and charges will not conform to
the said sub -section (c).
(e) However, no action shall be taken by the
City Commission with respect to the Grantee's rates under
this section until the Grantee has been Given reasonable
notice therof and an opportunity to be heard by the
Commission with regard thereto.
(f) The following rates and charges are hereby
authorized for service tinder this Franchise and shall not
be changed by the Grantee without prior approval by the
City Commission, and shall remain in effect until changed
or modified in accordance with the general standards and
principals set out in this section.
(1)' Initial tap -in and connection charges: $12.50.
(2) Monthly rates: $5.00 per month, for one set or
outlet and $1.00 for each additional set or outlet in the
same building.
M
(g) The Grantee shall receive no deposit, advance
payment, or penalty from any subscriber or potential subscriber
without approval of the Commission.
(h) The Grantee shall recieve no consideration
whatsoever for or in conncetion with.its service to its
subscribers other than in accordance with this section. '
(i) If in the future, the State of Alabama
regulates the rates of the Grantee for the service provided
for in this Franchise, this section shall be of no effect
during such :state regulation to the extent of any conflict
therewith.
Sec. 35. Flow -Through of Refunds.
(a) If during the term of this Franchise the
Grantee receives refunds of any.payments made for television
signals, it shall without delay notify the City Commission,
suggest a plan for flow -through of the refunds to its
subscribers, and retain such refunds pending order of
the Commission. After considering the plan submitted
by the Grantee, the Commission shall order the flow -through
of the refunds to the Grantee's subscribers in a fair and
equitable manner.
Sec. 36. Subscriber Refunds on Termination of Service.
If any subscriber of the Grantee of less than two (2) years
terminates service because of the Grantee's failure to render
service to such subscriber of a type and quality provided for
herein, or if service to a subscriber of less than two (2) years
is terminated without good cause or because the Grantee ceases
to operate the CATV business authorized herein for any reason,
except expiration of this Franchise, the Grantee shall refund
to such subscriber an amount equal to the initial tap -in and
connectioncharges paid by him divided by 24 and multiplied
by a number equal to 24 minus the number of months the
subscriber has been on the system.
W
Sec. 37. Publication costs. The Grantee shall pay the
cost of publication of this Franchise Ordinance as such
publication is required by law.
Sec. 38. Separability. If any section, subscetion,
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 protions hereof.
Sec. 39. Ordinance Repealed. All ordinances or parts
of ordinances in conflict with the provisions of this ordinance
are hereby repealed.
Adopted:
Mayor Macon appoiftd Councilman Sam E. Box as representative of
the City of Fairhope to the South Alabama Regional Planning
Commission.
Motion by Councilman Nix seconded by Councilman Box that the
Mayor and City Clerk be authorized to pay $50,000.00 plus interes
on note due September 10, 1969 from monies in the Beach and Pier
Account. Motion carried.
Motion by Councilman Nix seconded by Councilman Box that the City
ask for bids on Line Truck for the Electric Department as per
specifications. Bids will be accepted until 7:30 P.M. September
B, 1969 at which time bids will be opened. The City reserves
the right to reject any or all bids. Motion carried.
Motion by Councilman Bishop seconded by Councilman Nix that Counc:
authorize transfer of $25,000.00 from Electric Fund to the Genera:
Fund. Motion carried.
Motion by Councilman Nix seconded by Councilman Box that City
accept proposed increased coverage on City Employees as presented
by Blue Cross - Blue Shield of Alabama. Motion carried.
Councilman Nix commended the Electric Department, Police Depart-
ment and other City Crews for their hard work and long hours
during hurricaneCamille.
Letter from Rev. William Hill requesting that the lower portion
of Gayfer Court and Druid Hill Drive be included in proposed new
sewer plan was presented and held for further study.
It was duly moved and seconded that the meeting adjourn. Motion
carried.
Approved
Mayor
Attest:
City Clerk