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12-08-09 Item 2dAtlantic Broadband (Miami) L,LC Cable Franchise Agreement With City of South Miami, Florida Cable Franchise Agreement THIS CABLE FRANCHISE AGREEMENT ( "Agreement ") is entered into on this day of January, 2007, by the City of South Miami ( "Issuing Authority ") and Atlantic Broadband (Miami) LLC, a Delaware corporation with its principal place of business at 1 Batterymarch Park, Quincy, MA 02169 ("Franchisee "). WHEREAS, the City of South Miami as the "Issuing Authority," pursuant to Section 621 of the Cable Communications Policy Act of 1984 as now in effect ("Federal Cable Act "), is authorized to grant one or more nonexclusive franchises to construct, operate and maintain a cable television system within the municipal boundaries of the Issuing Authority (the "Service Area") and may not unreasonably refuse to award an additional competitive franchise; and, WHEREAS, the Issuing Authority has analyzed fully and considered the technical ability, financial condition and legal qualifications of Franchisee; and, WHEREAS, the Issuing Authority, after such consideration, analysis and deliberation as are required by applicable law, has approved and found sufficient the technical, financial and legal....qualifications_- of Franchisee (Atlantic Broadband (Miami), _ LLC.) to provide cable television service within the Service Area. NOW THEREFORE, in consideration of the foregoing and mutual promises, covenants and agreements contained in this Agreement, and for other good and valuable consideration, the receipt and sufficiency of which is acknowledged, the parties agree as follows: 1. Grant of Franchise a. Grant and Term. The Issuing Authority grants to Franchisee for the term ( "Term ") of ten (10) years commencing on the Effective Date (as defined below) the nonexclusive right and franchise ( "Franchise ") to construct, use, operate, own and maintain a cable system (as defined in the Federal Cable Act) ( "Cable System ") subject to all applicable local, state and federal laws and regulations. For purposes of this Agreement, the term "Effective Date" means the date that is 30 (thirty) working days after .the approval of this Agreement by the Issuing Authority. In the event that the Franchisee provides written notice of its intent to renew the Agreement within 180 days of the expiration hereunder, then the Issuing Authority may hold a public hearing and seek.eomment on the performance of the Franchisee as provided for the city's franchise code and the underlying agreement. The Issuing Authority may, consider the public comment and. upon the determination that the Franchisee has achieved substantial compliance with the material terms of the Agreement, (per city ordinance section 8 -9). shall renew the Agreement for one additional five (5) year period. b. Easements and Rights -of -Way. Without reducing its police powers to adopt and enforce ordinances of general applicability necessary to the health, safety and welfare of the public, the Issuing Authority grants Franchisee authority to use the Issuing Authority's streets, sidewalks, easements and rights -of -way for the purposes of this Agreement, and the Franchise shall be construed to authorize the construction of a Cable System over such rights-of- Page 1 of 20 way and through compatible -use easements in accordance with Section 621(a)(2) of the Federal Cable Act, and to grant access to such easements at the time of this Agreement and only for the duration of the Agreement. The parties acknowledge and agree that the purpose of the Franchise is to authorize Franchisee to construct, maintain and operate a Cable System and offer cable service in, along, among, upon, across, above, over or under the public rights-of-way within the Issuing Authority's legal boundaries as they may now exist, or as they may be extended through annexation, and for that purpose to erect, install, construct, repair, replace, reconstruct, maintain, or retain in, on, over, under, upon, across, or along any public right -of -way or bridges such poles, wires, cables, conductors, ducts, conduits, manholes, amplifiers, attachments and Equipment (as defined below) as may be necessary for the operation of the Cable System. Franchisee shall install equipment and restore all public rights of way at its own cost and provide the city a hold harmless agreement in accordance with section 9 of this Agreement. Pursuant to 47 U.S.C. § 54 1 (a)(2)(C), the owner of the property must be justly compensated by the cable operator for any damages caused by the installation, construction, operation, or removal of such facilities by the cable operator. C. Compliance with Applicable Laws and Ordinances. (1) The Franchisee shall, at all times during the term of this Agreement, be subject to all lawful exercise -of the policepower of the °Issuing Authority -The Franchisee shall comply with all laws, statutes, codes, ordinances, rules, or regulations applicable to its business. Including full compliance with all of the zoning and building regulations of the Issuing Authority. (2) Except as may be specifically provided for in this Agreement, the failure of the Issuing Authority or a Franchisee, upon more than one (1) occasion, to exercise a right or to require compliance or performance under this Agreement shall not be deemed to constitute a waiver of such right or a waiver of compliance or performance. d. Conveyance of Property Rights. The Agreement does not convey any property rights to the Franchise. In addition, the' Franchise is not entitled, to any compensation for damages from the Issuing Authority as a result of having to remove or relocate its property, lines, and cables from such public property or public rights -of -way in the ' event the Issuing Authority determines that a necessity exists for such removal or relocation. e. Franchise Not Exclusive. This Franchise shall not be constructed as any limitation upon the right of the City, through its proper offices, and in accordance with applicable law, to grant to other Person or corporations rights, privileges or authority similar to or different from the rights, privileges and authority herein set forth, in the same or other Streets and Public- Rights -of Way or public places or other places the City is entitled to occupy by this Agreement, permit or otherwise; provided, however, that such additional grants shall not operate to materially modify, revoke or terminate any rights granted to Grantee herein and shall be in accord with the provisions of Chapter 8. In the event that the City grants one (1) or more francluse(s) or similar authorization(s), for the construction, operation and maintenance of any cable system which shall offer services Page 2 of 20 substantially equivalent to services offered by the Grantee it shall not make the grant on more favorable or less burdensome terms. If Grantee finds that the agreement(s) granting said other franchise(s) contain provisions imposing lesser obligation on the company(s) thereof than are imposed by the provisions of this Franchise, Grantee may petition the City for a modification of this Agreement. The Grantee shall be entitled, with respect to said lesser obligations to such modification(s) of this Agreement as may be determined to be necessary to insure fair and equal treatment by this Franchise and said other agreements. In the event that a non - franchised multichannel video programming distributor provides services to the residents of the City using the same Public Rights -of -Way, the Grantee shall have a right to request Agreement amendments that relieve the Grantee of regulatory burdens that create a competitive disadvantage to the Grantee. In requesting such amendments, the Grantee shall file a petition seeking to amend the Franchise Agreement. Such petitions shall: (a) Indicate the presence of a non - franchised cable television compeiitor(s); and (b) Identify the basis for Grantee's belief that certain provisions of this Agreement place Grantee at a competitive disadvantage; and (c) Identify the regulatory burdens to be amended or repealed in order to eliminate ihe- competitive disadvariiage. The City shall not unreasonably withhold granting the Grantee's petition and so amend this Agreement. 2. Franchise Fees a. From and after the Effective Date of this Agreement and throughout the full Term of the Franchise, Franchisee shall pay to the Issuing Authority a franchise fee equal to five percent (5 %) of Annual Gross Revenues. "Annual Gross Revenues ", unless prohibited by applicable law, means all revenues recognized in accordance with Generally Accepted Accounting Procedures (GAAP) generated directly or indirectly by the Franchise from any source whatsoever arising from, attributable to, or in any way derived from the operation of the Cable System in the City to provide cable services. As of the effective date of this Ordinance, the provisions of this Section are pre - empted by the Communication Services Tax (Ch. 202 FL Stat.): The Issuing Authority shall retain all rights, if any, as permitted by law, or which may become permitted by law, to collect franchise fees for the delivery of non -cable service over the facilities of the cable system. 3. Construction and Maintenance of Cable System. a. . Maintenance. Franchisee shall maintain all wires, conduits, cables and other real and personal property and facilities owned by Franchisee and used in the operation of the Cable System in good condition, order and repair. In the event that Franchisee undertakes a Page 3 of 20 material and substantial upgrade to its existing system, the Franchisee shall submit to the Issuing Authority's City Manager: (1) Strand maps of the system authorized by the Franchisee showing plant routing, utility company poles to which the system facilities are to be attached; and (2) Copies of all pole attachment agreements in existence between Franchisee with Southern Bell and Florida Power and Light Company and any other utility or company to which an attachment is to be made. (3) The Issuing Authority may make reasonable periodic compliance checks to verify that all wires, conduits, cables, etc., have been properly maintained. . b. Compliance with Law. Franchisee shall comply with all applicable federal, state and local laws and regulations governing the construction, installation, operation and maintenance of a Cable System. Such laws and regulations shall 'include_ , without limitation, the requirements of Section 621(a)(2)(A) of the Federal Cable Act. C. Other Concerns. In addition to the above requirements: (1) Codes. Franchisee shall comply with the provisions of the 1994 National Electrical Safety Code of the National Bureau of Standards, the National Electrical Code of the National Board of Fire Underwriters and the Bell Telephone System's code or Pole Line Construction, as such codes are in force as of the time of installation or other work. (2) Parallel Installation. All cables and wires or other work shall be installed parallel with existing telephone and electric utility wires whenever possible. (3) Installation Above and Below Ground.. Except where otherwise provided by applicable law in areas where both telephone and electric utilities' facilities are above ground at the time of the installation of Franchisee's Cable System, Franchisee may install its facilities above ground. In areas where both the telephone and electric utility companies' facilities are underground, Franchisee shall install its facilities underground. If the same notice is given to Franchisee and to all telephone and electric utility companies of the Issuing Authority requesting that above - ground facilities be moved underground, Franchisee will comply with all such reasonable requests by the Issuing Authority to Franchisee. The Issuing Authority shall coordinate among Franchisee, telephone and electric utility companies and/or users of public rights -of -way to ensure that relocation is done in the most economical and appropriate manner possible. (4) Identification of Franchisee's Cable. Throughout the Term, Franchisee shall arrange to identify its cable drops (by color code, stamping, engraving, tags, stickers, or other appropriate method to be selected by Franchisee in its sole discretion) so as to distinguish Franchisee's cable from that of all other cable operators(s) in the Service Area. Page 4 of 20 (5) Emergency Alert System. Franchisee shall install as part of its Cable System, and shall operate through the Term, an Emergency Alert System (EAS) (or the successor to that system) in accordance with all requirements imposed from time to time by the Federal Communications Commission, including, without limitation, the requirements that cable television systems transmit a visual EAS message on at least one channel (47 C.F.R. § 11.51(g)(3)) and that cable systems also provide video interruption and an audio EAS message on all channels, with the audio message further stating which channel is carrying the visual message (47 C.F.R. § 11.51 (g)(2)). In establishing Franchisee's EAS system pursuant to this Section, Franchisee shall: (a) designate a channel (which may be the government channel which will be used for emergency broadcasts of both audio and video); (b) maintain all channel video blanking capability to be activated remotely by security measures deemed mutually agreeable by the Issuing Authority and Franchisee; (e) test the emergency override system not less than every three months; (d) cooperate with the Issuing Authority on the use and operation of the emergency alert system; (e) develop a reasonable and practical plan (with the Issuing Authority's concurrence) in order to provide continuity of multi - channel service, and response to service calls in the event of a natural or man -made emergency; and (f) comply with all city regulations, particularly Chapter 8 of the City's Code and the City's Building Code, which regulations do not directly contradict federal Iaw. (6) Notice of Change of Services. The Franchisee shall send written notice to the Issuing Authority's City Manager and to all subscribers at least thirty (30) days prior to rearranging, replacing, removing or retiering services. To the extent prior notice is not possible, the Franchisee will provide notice of such a change within a reasonable amount of time. Franchisee shall comply with quarterly and annual reports required under section 8 -55 through 8- 58 of the City's Code of Ordinances. Notice should be in compliance with section 20(b) of this Agreement. (7) Audit. The Issuing Authority shall have the right and authority to inspect the Franchisee's books and records, at any time under the franchise, and the right of audit and recomputation of any and all amounts payable under section 8 -17. All costs associated with any such audit shall be borne by the Franchisee when such audit results in increasing, by more than five (5) percent, the Franchisee's annual payment to the Issuing Authority. Upon reasonable notice, such records necessary to perform such audit and recomputation shall be made available to the Issuing Authority at the Franchisee's county office. Page 5 of 20 (8) Performance Evaluation. (a) The Issuing Authority's City Manager shall conduct an annual performance evaluations of the Franchisee. A Franchisee shall cooperate with this evaluation. If the Issuing Authority implements a survey of cable subscribers in connection with a performance evaluation, the Issuing Authority may require a Franchisee to distribute the Issuing Authority's questionnaire to its subscribers at the Issuing Authority's expense within 30 (thirty) days of issuance. The City Clerk shall calendar the annual performance evaluation within 90 days of the expiration of annual renewal date of the Franchise. The City Manager and Finance Director shall conduct the annual performance evaluation and may request Franchisee to issue a cable subscriber survey to a representative sample of its' subscribers within the City. The cost of the survey shall be borne by the Issuing Authority, however, the Franchisee shall distribute the cable survey to the cable subscribers and pay for the mailing associated with the distribution. The City Manager shall then report the findings of the performance review and the survey, if any, to the City Commission. (b) At the conclusion of the evaluation, the Issuing Authority's City Manager shall issue a report to the commission of the results of any performance evaluation together with, if necessary, any recommendations for methods to improve a Franchisee's -- performance under this Agreement. - - -- d. Standard Installation (1) Drops Exceeding 125 Feet. Where the drop to the customer's home is more than 125 feet in length, in addition to the prevailing installation charge, Franchisee may charge the customer the actual difference between Franchisee's cost of installing a 125 -foot- drop and the cost of installing the longer drop required by the customer. (2) Franchisee shall comply with the requirements under exhibit A. e. Ownership of Installed Cable. Franchisee shall own all cable installed by Franchisee with the Service Area; provided, however, that, if a similar requirement is imposed upon (by law, ordinance or regulation) all other cable operator(s) within the Service Area, Franchisee agrees that its customers shall own all cable installed by Franchisee inside the customers' dwellings plus such finther length of cable extending beyond the dwellings' exteriors as is required by law. 4. Municipal Facilities. During the Term, Franchisee shall provide, at no cost to the Issuing Authority, one above - ground cable drop of up to 125 feet expanded basis service (excluding premium and pay - per -view services) and one cable converter and (set top) box (if needed) to each municipal facility (as defined below) within the Service Area. If the Issuing Authority requests that a particular municipal facility receive either a cable drop which exceeds 125 feet in length and/or an underground installation, Franchisee may charge the Issuing Authority the actual difference between Franchisee's cost of installing a 125 -foot above- ground drop and Franchisee's actual cost of installing the drop as requested by the Issuing Authority. For purposes of this Agreement, the term "municipal facilities" means only: (1) the public Page 6 of 20 school buildings within the Service Area, (2) the public libraries within the Service Area, (3) the Issuing Authority's city hall (or comparable building), (4) police facilities within the Service Area, (5) fire facilities within the Service Area, and (6) one other facility within the Service Area that is designated by the Issuing Authority in its absolute discretion. 5. Public, Education and Government Support. (PEG Support) a. Franchisee shall provide an Access Channel and make available to all Subscribers in the City on the basic tier all government and education channels provided by Miami -Dade County. b. Franchisee shall provide a Government Access Channel and make it available to all Subscribers in the City on the basic tier. C. In full satisfaction - of Franchisee's obligation to provide broadcasting personnel or equipment to the Issuing Authority, Franchisee provide the funding to the Issuing Authority to enable the Issuing Authority to purchase the equipment as set forth on the attached - - - - - exhibit -S --to -the- Agreement: --- The--Issuing Authority- -acknowledges- that - the - Franchisee is -only providing the funding for the equipment and shall not bear any responsibility for the installation of the equipment. Furtber, the issuing authority acknowledges that the Franchisee shall not bear any responsibility to maintain the equipment or provide any warranty or assistance other than any warranty which may be provided from the manufacturer of the equipment to the Issuing Authority. This payment shall be deemed to fully satisfy all of the franchisee's obligations to provide PEG support for the term of this Agreement as set forth herein. 6. Warranties of Franchisee. The Franchisee hereby warrants and represents that all times during the term of this Agreement it shall maintain in good standing all required licenses, certifications and permits required under federal, state and local laws necessary to perform the specified services. 7. Liens.. The Franchisee is prohibited from placing a lien on the Issuing Authority's property. This prohibition shall apply to all of Franchisee's subcontractors. 8. Examination and Retention of Franchisee's Records. a. The Issuing Authority, or any of their duly authorized representatives shall, within 18 months of the final payment due to the Issuing Authority under this Agreement, have access to and the right to examine any of the Franchisee's directly pertinent books, documents, papers, or other records involving transactions related to this contract for the purpose of making audit, examination, excerpts, and transcriptions. b. The periods of access and examination in paragraphs (a) and (b) above for records relating to (1) appeals under the clause titled Disputes, (2) litigation or settlement of claims arising from the performance of this Agreement, or (3) costs and expenses of this Page 7 of 20 Agreement to which the Issuing Authority or any of its duly authorized representatives has taken exception shall continue until disposition of such appeals, litigation, claims, or exceptions. 9. Insurance and Indemnification. The Franchisee shall obtain all insurance required by the Issuing Authority. The Franchisee shall indemnify and save the Issuing Authority harmless from any and all claims, liability, losses and causes of actions arising solely out of a negligent error, omission, or act of the Franchisee incident to the performance of the Franchisee's services under this Agreement. The Franchisee shall pay all claims and losses of any nature whatsoever, in connection therewith. The Franchisee agrees and recognizes that the Issuing Authority shall not be held liable or responsible for any claims, which may result from actions or omissions of the Franchisee's actions. In reviewing, approving or rejecting any submissions or acts of the Franchisee, the Issuing Authority in no way assumes or shares responsibility or liability of the Franchisee or subcontractors. The Issuing Authority agrees to indemnify and hold harmless Franchisee, its officers diirectors, affiliates and employees against- any -loss -or damage caused° by -the-Issuing Authority's negligent or willful acts or omissions in the performance of this Agreement. The provisions of this subparagraph shall survive expiration or termination of this Agreement. The Franchisee shall maintain during the term of this contract. the following insurance: (a) Professional Liability Insurance in. the amount of $1,000,000 with deductible per claim if any, not to exceed 5% of the limit of liability providing for all sums which the Franchisee shall become legally obligated to pay as damages for claims arising out of the services performed by the Franchisee or any person employed by it in connection with this Agreement. This insurance shall be maintained for three years after completion of the construction and acceptance of any Project covered by this Agreement. However, the Franchisee may purchase Specific Project Professional Liability Insurance which is also acceptable. (b) Comprehensive general liability insurance with broad form endorsement, including automobile liability, completed operations and products liability, contractual liability, severability of interest with cross liability provision, and personal injury and property damage liability with limits of $1,000,000 combined single limit per occurrence for bodily injury and property damage. Said policy or policies shall name city as additional insured and shall reflect the hold harmless provision contained herein. (c) Workman's Compensation Insurance coverage to apply for all employees for statutory limits in compliance with the applicable state and federal laws. The policy must include employer's liability with a limit. of $500,000.00 each accident. Page 9 of 20 (d) The policies shall contain waiver of subrogation against the Issuing Authority where applicable, shall expressly provide that such policy or policies are primary over any other collective insurance that the Issuing Authority may have. The Issuing Authority reserves the right to request a copy of the required policies for review. All policies shall contain a "severability of interest' or "cross liability" clause without obligation for premium payment of the Issuing Authority. (e) All of the above insurance is to be placed with best rated A -8 or better insurance companies, qualified to do business under the laws of the State of Florida. The Franchisee shall provide certificates of insurance to the Issuing Authority prior, to the commencement of operations, which certificates shall clearly indicate that the Franchisee has obtained insurance in the type, amount, and classification as required for strict compliance with this Section and that no reduction in li nits by endorsement during the policy term, or cancellation of this insurance shall be effective without thirty (30) days prior written notice to the Issuing Authority. The companies issuing the insurance policies shall have no recourse against the Issuing Authority for payment of any premiums or assessments, and the same shall be the sole responsibility oft the Franchisee. _ - -- --- - -- -- - -The indemnified Partyshali- give Franchisee reasonably prompt written notice -of any- claim, demand, action or proceeding for which indemnification will be sought under this provision . of the Agreement and, if such 'claim, demand, action or proceeding is a third -party claim, demand, action or proceeding, Franchisee will have the right at its expense to assume the defense of such claim, demand,. action or proceeding, Franchisee and the Indemnified Party shall cooperate with each other and provide each other with access to relevant books and records in their possession. No such third -party claim, demand, action or proceeding shall be settled without the prior written consent of the Indemnified Party, which consent the Indemnified Party shall not unreasonably withhold or delay. Neither the provisions of this section, nor the acceptance of any bonds by the Issuing Authority pursuant to this Agreement, nor any damages received by the Issuing Authority thereunder, shall be construed to excuse performance by a Franchisee or limit the liability of a Franchisee for damages to the full amount of the bonds or otherwise. Compliance with the foregoing requirements shall not relieve the Franchisee of his liability and obligations under this section or under any other portion of this Agreement. Additionally, Franchisee shall comply with section 8 -21 of the City's Code of Ordinances and shall include premises and/or operations, independent contractors, and subcontractors and/or completed operations, broad form property damage, XCU coverage, and a contractual liability endorsement to the extent applicable to the Franchisee's operations. 10. Bonding Requirements; Construction Bond. a. Should material and substantial construction take place the existing Franchisees shall post a performance bond or irrevocable letter ' of credit with the Issuing Page 9 of 20 Authority and as required by the Issuing Authority's City Manager at the same time as, and in conjunction with, submission of a material and substantial construction plan or reconstruction plan for required construction, and, in any event, at least 30 days prior to the start of the required construction or reconstruction and comply with the requirements of sections 8 -24 and 8 -28. 11. Permanent Performance and Payment Bond. The Franchisee shall, within 30 days of the effective date of an initial franchise granted under this Agreement or within 30 days of the granting of a renewal or the transfer of a Iicense existing prior to this Agreement, furnish to the Issuing Authority a performance bond or an irrevocable letter of credit issued by a Florida bank or a federally insured lending institution in the amount of $25,000.00. The performance bond or letter of credit shall be used to guarantee the compliance with performance requirements and payment of all sums which may become due to the Issuing Authority under this Agreement. The performance bond or letter of credit shall be maintained in the full amount specified herein throughout the term of the franchise and for one year after the franchise expires or is terminated, without reduction or allowances for any amounts which are withdrawn or paid pursuant to this Agreement. 12. Privacy. - - - - -- - - -a� - - -- Cable-- T- apping°= Prohibited. - Franchisee - shall- not; - nor - shall - Franchisee - - ---- - knowingly permit any person, agency, or entity, without the customer's consent, to tap, or to arrange for the tapping, any cable, line, signal input devise or customer outlet to receiver for any purpose except routine maintenance of the system, polling with audience participation or audience viewing surveys to support advertising research regarding viewer where individual view behavior cannot be identified. b. Invasion of Privacy Prohibited. In the conduct of providing its services or pursuit of any collateral commercial enterprise resulting from its services, Franchisee shall take all necessary action to prevent an invasion of a customer's right to privacy as such right is defined by applicable law. Franchisee shall not without lawful court order utilize the Cable System's interactive two -way equipment or capability for personal surveillance of any customer or general citizen. C. Sale of Personalized Data Restricted. Franchisee shall not sell or otherwise make available to unaffiliated third parties (including the Issuing Authority) lists of names and addresses of customers, or any list which identifies, by name, customer viewing habits, or personalized. data pertaining to a customer's use of any of Franchisee's services without the express written consent of the customer to which the personalized data pertains. For purposes of this Section, "personalized data" shall mean the name and/or address of an individual customer directly associated with data obtained on his or her use of specific services provided by or through Franchisee. Nothing in this Agreement shall be construed to prevent, as a normal incident of commercial enterprise, the sale or availability of "non- personalized" or "aggregate data" which is not personalized data as defined in this Agreement. d. Landlord/Tenant. Franchisee shall be required, in accordance with this Agreement and applicable law, to provide service to all units of a multiple housing Page 10 of 20 facility with all services offered to other dwelling units within the Service Area, so long as the owner of the facility consents in writing, if requested by Franchisee, to the following: (1) To Franchisee's providing of the service to units of the facility; (2) To reasonable conditions and times for installation, maintenance and inspection of the system of the facility premises; (3) To reasonable conditions promulgated by Franchisee to protect Franchisee's equipment and to encourage widespread use of the system; and (4) To not demand or accept payment from Franchisee for permitting Franchisee to provide service to the facility and to not discriminate in rental charges, or otherwise, between tenants which receive cable services and those who do not. . 13. Taxes, Rates and Charges. Nothing contained in this Agreement shall be construed to exempt Franchisee from any tax, levy or assessment, which is or may later on be authorized by law. With respect to rates and charges, the parties agree that they will abide by federal law and- Federal - Communications Commission-("FCC??) Regulations - - - - - -- - 14. Assignment, Transfer or Sale of Franchise General. There shall be no assignment of Franchisee's Franchise, in whole or in part, by Franchisee without the prior written notification and approval of the Issuing Authority. As used in this Agreement, the terms "assigned" and "transferred" shall mean any transaction which involves a "transfer of ownership in a cable system," within the meaning of 47 U.S.C. 537(a), as implemented by 47 C.F.R. Section 76.502 (with the exception of those transactions exempted in 47 U.S.C. 537(c)(3), as implemented by 47 C.F.R. Section 76.502(f)(3)), and as defined at section 8 -15 of the Issuing Authority's Code of Ordinances. 15. Renewal of Franchise. The Issuing Authority and Franchisee agree that any proceedings undertaken by the Issuing Authority that relate to the renewal of Franchisee's Franchise shall be governed by and comply with applicable federal law, including the renewal provisions in Section 626 of the Federal Cable act as then in effect. The Issuing Authority acknowledges that Franchisee will make a substantial investment in providing facilities and services pursuant to this Franchise Agreement and that renewal of the Franchise, provided it meets the criteria -specified in applicable law, is a significant factor in Franchisee's willingness to assume its obligations hereunder. Moreover, Franchisee understands that it shall comply with section 8 -14, of the Issuing Authority's Code of Ordinances.. 16. Force Majeure. Any delay, preemption, or other failure to perform, including but not limited to system construction, caused by factors beyond the parties' reasonable control, such. as an act of God, war, riot, or government, administrative or judicial order or regulation, shall not result in a default of this Agreement. Each party .shall exercise its reasonable efforts to cure any such delays and the cause thereof, and performance under the terms of this Agreement Page 11 of 20 shall be excused for the period of time during which such factor continues. Force Majeure also covers work delays caused by waiting for utility providers to service or monitor their own utility poles on which Franchisee's cable and/or equipment is attached. Further, pursuant to section 8- 20, of the Issuing Authority's Code of Ordinances, if at any time in case of fire, police action, disaster, or other emergency, it shall appear necessary in the reasonable judgment of the Issuing Authority to cut, move or otherwise interfere with any of the wires, cables, amplifiers, appliances or appurtenances thereto of the Franchisee, the Issuing Authority shall not be liable for any injury or damage to such property and equipment of the Franchisee as a result of such cutting, moving or interference. 17. Revocation of Franchise a. Major Breach of Franchise. When any event, act or omission on the part of Franchisee occurs which represents a substantial or repeated violation of a material provision of this Agreement, then such event, act or omission may be considered a major breach of this Agreement. Under such circumstances, the Issuing Authority shall notify Franchisee in writing by certified mail, of the specific breach, and direct Franchisee to I comply with all provisions of this Agreement for which the Franchisee is in violation. Any major breach of this Agreement will satisfy the Issuing Authority's burden to revoke the Franchise from the Franchisee. b. Events of Defaults. The events, acts and omissions referred to in this Section are the following: (1) bankruptcy; (2) insolvency; (3) failure to pay taxes or franchise fees; (4) failure to receive written Issuing Authority approval for assignment or transfer; (5) Franchisee practices any intentional fraud upon the Issuing Authority in connection with its responsibilities under its franchise; or (6) a major breach of this Franchise (as noted in Subsection 17a) that remains uncured for the 60 -day cure period described in Subsection 17c below.. Force majeure events as set forth in Section 15 of this Agreement do not constitute events of default. C. Opportunity to Cure. The Issuing Authority shall provide Franchisee with written notice of the violation alleged to have occurred and the Franchisee shall have thirty (30) days in which to: (1) cure such violation; (2) in the case of any alleged violation which cannot reasonably be cured within such 30-day period, commence and diligently pursue a cure; or (3) notify the Issuing Authority in writing that it disputes the Issuing Authority's claiin of an alleged violation. In the event that Franchisee disputes the Issuing Authority's claim, the Issuing Authority shall, upon reasonable prior written notice, set a public hearing before the City Commission at which the Issuing Authority, Franchisee and any interested parry may present evidence relating to the alleged violation. Following the hearing, the Issuing Authority shall make a determination as to whether a violation has occurred. In the event that the Authority reasonably determines that a violation has occurred, the Issuing Authority shall notify Franchisee in writing of its finding, and shall provide Franchisee thirty (30) days in which to cure such violation, or in the case of a violation which cannot reasonably be cured with such 30 -day period, such reasonable amount of time to allow Franchisee commence and diligently pursue a cure. Page 12 of 20 d. Public Hearing (1) Scheduling and Procedures. No sooner than 60 days after such written notice is sent by certified mail to Franchisee, the Issuing Authority may set a date for a public hearing before the City Commission on the matter pursuant to section 8 -74 of the Issuing Authority's Code of Ordinances. The hearing shall afford full due process to Franchisee and shall be held on the record. Both Franchisee and the Issuing Authority shall be permitted to compel the attendance of witnesses and the production or documents, to .present evidence and to cross - examine witnesses. The public hearing may be cancelled at any time, if the Issuing Authority is satisfied that Franchisee has corrected and/or cured the violation. (2) Notice. The Issuing Authority shall provide written notice, by certified mail, to Franchisee of the time and place of said hearing in a manner consistent with state law. (3) Evidence Regarding Status of Alleged Violation. At the time of the hearing, Franchisee may present information on the current status of the alleged breach of the Franchise. If the situation has been resolved, or steps are being taken to resolve the situation, - -- - -- then- -Franchisee should- present -such- information - atthe- hearing: -- e. Alternatives if Violation is Found. The Issuing Authority may (once it has held the public hearing) direct the Franchisee to take corrective action within a specified period of time, may declare the Franchisee in default of this Agreement, and afterwards, revoke, terminate or cancel the Franchise, or adhere to any of the remedies available under section 8 -71 through 8 -72, of the Issuing Authority's Code of Ordinances. £ Notice to Franchisee. If the Issuing Authority directs corrective action to take place within a specified time or declares Franchisee in default of this Agreement, then that declaration shall be reduced to writing, and the notice of corrective action or default shall be mailed, by certified mail, or in the alternative may be hand- delivered, to Franchisee within 15 days of the Issuing Authority's action. 18. Continuity of Service. As to continuity of service, subject to Franchisee's federal and state constitutional and statutory rights which the parties are deemed not have waived under this Agreement, the parties agree as follows: a. Service After Revocation, Termination, Nonrenewal, Abandonment or Withdrawal. Subject to applicable federal and state law, Franchisee shall provide service for an interim period of up to six (6) months beyond: (1) Any then - existing Terra of this Franchise Agreement or any renewal of the Term; (2) 45 days' notice from Franchise to the Issuing Authority of Franchisee's proposed abandonment, withdrawal or cessation of service; and Page 13 of 20 (3) The effective date of any revocation, termination or nonrenewal /expiration (absent renewal) of this Agreement. b. Issuing Authority Assistance. During such interim period, the Issuing Authority will assist and otherwise use its best efforts to assist Franchisee in providing a satisfactory basis for Franchisee to continue providing service under this Agreement. C. Revenues. During any such interim period in which Franchisee continues to provide service, Franchisee is entitled to all revenues collected, less any franchise fees or other moneys owed to the Issuing Authority. 19. Severability. If any provision of this Agreement or any related agreement is held . by any court or by ay federal, state or county agency of competent jurisdiction to be invalid as conflicting with any federal, state or county law, rule or regulation now or later on in effect, or is held by such court or agency to be modified in any way in order to confirm to the requirements of any such law, rule or regulation, that provision shall be considered as a separate, distinct and independent party of this Agreement or such other agreement, and such holding shall not affect the validity and enforceability of all other provisions of this Agreement or such other agreement. In the- event - that -such law;-ruie --or regulation -is- subsequently -repealed, — rescinded amended -or- - otherwise changed so that the affected provision of this Agreement (or such other agreement) which had been held invalid or modified is no longer in conflict with the law, rules and regulations then in effect, that provision shall immediately return to full force and effect and shall afterwards be binding on the parties to this Agreement, provided that the Issuing Authority shall give Franchisee 60 days' written notice of such change before requiring compliance with that provision. 20. Compliance with Laws a. Notwithstanding any other provisions of this Agreement to the contrary the Franchisee shall at all times comply with all applicable laws and regulations of the Federal, state, county and city governments and all administrative agencies thereof, including but not limited to judicial orders; provided, however, that if any such Federal, state, city, or county law or other applicable regulation shall require the Franchisee to perform any service, or shall permit the Franchisee to perform any service, or shall prohibit the Franchisee from performing any service, in conflict with the terns of this Agreement or of any law or regulation of the Issuing Authority, then as soon as possible following knowledge thereof the Franchisee shall notify the Issuing Authority of the point of conflict believed to exist between such regulation or law and the laws or regulations of the Issuing Authority of this Agreement, and the Franchisee shall be excused from performance hereunder, provided that it acts in good faith reliance thereon, pending resolution of such conflict; provided, further, that, from the date of this Agreement through and until. the expiration of the Term of the Franchisee granted under this Agreement, no change made by the Issuing Authority in its ordinances or regulations shall amend the Franchise or this Agreement without the Franchisee's written consent. In the event of a conflict between this Agreement and any local law, rule or regulation (including, without limitation, any Page 14 of 20 ordinance authorizing the grant of a cable television franchise), the terms of this Agreement shall prevail. b. If the Issuing Authority determines that a material provision of this Agreement or any related agreement is effected by such action of a court or of the Federal, state or county government, the Issuing Authority and Franchisee shall have the right to modify any of the provisions hereof or in such related agreements to such reasonable extent as may be necessary to carry out the full intent and purpose of this Agreement and all related agreements. C. For the purposes of this Agreement, Florida law shall govern the terms of this Agreement. Venue shall be in Miami -Dade County, Florida. d. The Issuing Authority does not waive sovereign immunity for any claim for breach of contract or for an award of prejudgment interest; provided, however, that in any action arising out of or to enforce this Agreement, the prevailing party shall be entitled to its reasonable attorney's fees and costs. C. Pursuant to section 8 -19 of the Issuing Authority's Code of Ordinances, the city reserves the right for the City Commission to adopt, in addition to the provisions - - - - contained-in Chapter- 4- 8--of the- Issuing Authority's- Code, - and- in- existingapplicable agreements, such additional rules and regulations as it shall find necessary in the exercise of the police power, for the proper administration and enforcement of the provisions of this Agreement; provided, that such regulations shall be reasonable and shall conform with the terms and conditions of the franchise and the rights herein granted and shall' not be in conflict with federal or state law. Rules and regulations promulgated by the Issuing Authority shall insure fair and equitable treatment for all persons affected by cable service. No such rules and regulations shall become effective until a public hearing has been held upon the proposed rules and regulations, and any amendments or modifications thereto, and the same have been filed with the city clerk. 21. Miscellaneous a. Entire Agreement; Amendment. This Agreement, the documents that are referred to in this Agreement and the documents that are to be delivered pursuant to this Agreement constitute the entire agreement among the parties pertaining to the subject matter of this Agreement, and supersede all prior and contemporaneous agreements, understandings, negotiations and discussions of the parties, whether oral or written, and there are not representations or other agreements among the parties in connection with the subject matter of this Agreement, except as specifically set forth in this Agreement. No amendment, supplement, modification, waiver or termination of this Agreement shall be binding unless executed in writing by the party to be bound by such amendment, supplement, modification, waiver or termination. No waiver of any of the provisions of this Agreement shall be deemed or shall constitute a waiver of any other provision of this Agreement, whether or not similar, nor shall such waiver constitute a continuing waiver unless otherwise expressly provided in writing by the waiving party. b. Notice Page 15 of 20 (1) To Issuing Authority. All notices require or permitted to be given to the Issuing Authority under any provisions of this Agreement shall be in writing and shall be deemed served: (a) When delivered by hand or by Federal Express or similar service to the Issuing Authority's offices during normal business hours; or (b) When mailed to any other person designated in writing in this Agreement to receive such notice, via certified mail, return receipt requested. (2) To Franchisee. All notices required to be given to Franchisee under any provision of this Agreement shall be in writing and shall be deemed served when delivered by one of the methods described above. (3) Addresses. Notice shall be given to the following addresses: If to Issuing Authority: City of South Miami 6130 Sunset Drive -- - — -- - - -- -- - - - - -- - - -- - - -- -- - - - - -- - - -- - - -- - - - - -- South- Miamij FL-- 33143 -- . Attn: City Manager With a copy to: Eve A. Boutsis, Office of City Attorney Nagin Gallop Figueredo, P.A. 18001 Old Cutler Road Suite 556 Palmetto Bay, Florida 33157 If to Franchisee: Atlantic Broadband 1681 Kennedy Causeway North Bay Village, FL 33141 Attn: VP /General Manager With a copy to: Donna Garofano Vice President, Government & Regulatory Affairs Atlantic Broadband 1 Batterymarch Park Suite 405 Quincy, MA 02169 Either party may change its address for notice purposes at any time by giving notice of such address change on accordance with the foregoing. Page 16 of 20 (a) Successors. Subject to Section 8b of this Agreement, this Agreement shall inure to the benefit of, and be binding upon, the parties and their_ respective successors and assigns. (b) interpretation. Unless the context requires otherwise, all words used in this Agreement in the singular number shall extend to and include the plural, all words in the plural number shall extend to and include the singular, and all 'words in any gender shall extend to and include all genders. (c) This Agreement specifically incorporates the definitions found within 47 U.S.C. § 522. 22. Warranty of Authority. Each of the signatories to this Agreement warrant that he or she is duly authorized, by the appropriate action of his . or her respective village commission, board of directors or other authority, to execute this Agreement and to bind the parties hereto to the promises, terms, conditions and warranties contained in this Agreement. 23. Facsimile and Counterparts. This Agreement may be executed in one or more counterparts, and by the different parties hereto in separate counterparts, each of which when - -- -- -- executed- -shall -be- deemed- to -be -an- original- but - all --of- which taken- together- -shall - constitute- one - -- - - - - -- and the same agreement. The parties hereby acknowledge and agree that facsimile signature of this Agreement shall have the same force and effect as original signatures. 24. Miscellaneous. In the event a court must interpret any word or provision of this Agreement, the word or provision shall not be construed against either party by reason of drafting or negotiating this Agreement. IN WITNESS OF THIS AGREEMENT, the parties have signed below, effective as of the Effective Date, by their duly authorized representatives. WITNESSED: yrL� -=--- d r 1 City of South Miami' By . A". S her McKinley Its: *von-ne ity Manager Atlantic Broadband Mi mi) LLC By Its Page 17 of 20 EXHIBIT A - CUSTOMER SERVICE OBLIGATIONS 1. OFFICE HOURS AND TELEPHONE AVAILABILITY a. Franchisee will maintain a local, toll -free, or collect call telephone access line, which will be available to its customers 24 hours a day, seven days a week. i. Trained representatives will be available to respond to customer telephone inquiries during normal business hours. .. ii.. After normal business hours, the access line may be answered by a service or any automated response system, including an answering machine. Inquiries received after normal business hours must be responded to by a trained representative on the next business day. b. Under normal operating conditions, telephone answer time by a customer representative, including wait time, shall not exceed thirty (30) seconds when the connection is made. If the call needs to be transferred, transfer time shall not exceed thirty (30) seconds. These standards shall be met. less than ninety percent (90 %) of the time under normal operating conditions, measured on a quarterly basis. C. Franchisee will not be required to acquire equipment or perform surveys to measure compliance with the telephone answering standards above unless a historical record of complaints indicates clear failure to comply. d. Under normal operating conditions, the customer will receive a busy signal less than three percent (3 %) of the time. e. Bill payment locations will be open at least during nonnal business hours and will be conveniently located. 2. INSTALLATIONS, OUTAGES AND SERVICE CALLS: Under normal operating conditions, each of the following four standards will be met no less than. ninety -five percent (95 %) of the time measured on a quarterly basis: a. Standard installations will be performed within seven (7) business days after an order has been placed_ "Standard" installations are those that are located by to 125 feet from the existing distribution system b. Excluding conditions beyond its control, Franchisee will begin working on "service interruptions" promptly and in no event later than 24 hours after the interruption becomes know. Franchisee must begin actions to correct other service problems the next business day after notification of the service problem. C. The "appointment window" alternatives for installations, service calls, and other installation activities will be either a specific time or, at a maximum, Page 18 of 20 a four -hour time block during normal business hours. (Franchisee may schedule service calls and other installation activities outside of normal business hours for the express convenience of the customer.) d. Franchisee may not cancel an appointment with a customer after the close of business on the business day prior to the scheduled appointment. e. If a representative is running late for an appointment with a customer and will not be able to keep the appointment as scheduled, the customer will be contacted. The appointment will be rescheduled, as necessary, at a time which is convenient for the customer. 3. COMMUNICATIONS BETWEEN FRANCHISEE AND CABLE SUBSCRIBERS a. Notifications to subscribers i. Franchisee shall provide written information on each of the following areas at the time of installation of service, at least annually to all subscribers, and at any time upon request: - -- —1 - - - -- Products- and - services- offered; ---------_--------------_-.--------.-__- 2. Franchisee shall provide written information; 3. Prices and options for programming services and conditions of subscription to programming and other services; 4. Installation and service maintenance policies; S. Instructions on how to use the cable service; 6. Channel positions of programming carried on the system; 7. Billing and complaint procedures, including the address and telephone number of Grantor's cable office. b. Customers will be notified of any changes in rates, programming services or channel positions as soon as possible in writing. Notice must be given to subscribers a minimum of thirty (30) days in advance of such changes if the change is within the control of Franchise. In addition, Franchisee shall notify subscribers thirty (30) days in advance of any significant changes in the other information required by paragraph (c)(3)(i)(A) of this Section. Notwithstanding any other provision of Part 76, Franchisee shall not be required to provide prior notice of any rate change that is the result of a regulatory fee, franchise fee, or any other fee, tax assessment, or charge of any kind imposed by any Federal agency, State, or [Grantor] ' on the transaction between the operator and the subscriber. C. Billing i. Bills will be clear, concise and understandable. Bills must be fully itemized, with itemizations including, but not limited to, basic and premium service charges and equipment charges. Bills will also clearly Page 19 of 20 delineate all activity during the billing period, including option charges, rebates and credits. ii. In case of a billing dispute, Franchisee must respond to a written complaint from a customer within thirty (30) days. d. Refunds. Refund checks will be issued promptly, but no later than either: i. The customer's next billing cycle following resolution of the request of thirty (30) days, whichever is early, or ii. The return of the equipment supplied by Franchisee if service is terminated. e. Credits for service will be issued no later than the customer's next billing cycle following the determination that a credit is warranted. 4. DEFINITIONS. a. Normal Business Hours. The term "normal business hours" means those hours during which most similarly businesses in the community are open to serve customers. In all cases, "normal business hours" must include - - -- -- — —some- evening- hours -at- least--one-night-per--week-and/or-some-weekend--- -- - - hours. b. Normal Operating Conditions. The term "normal operating conditions" means those service conditions, which are within the control of Franchisee. Those conditions which are not within the control of franchisee include, but are not limited to, natural disasters, civil disturbances, power outages, telephone network outages, and several or unusual weather conditions. Those conditions, which are ordinarily within the control of Franchisee, include, but are not limited to, special promotions, pay- per -view events, rate increases, regular peak or seasonal demand periods, and maintenance or upgrade o the cable system. C. Service Interruption. The term "service interruption" means the loss of picture or sound on one or more cable channels. Page 20 of 20 ORDINANCE NO.: 01- 0 7 -19 0 2 AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF SOUTH MIAMI, FLORIDA, RELATING TO FRANCHISES; AUTHORIZING THE RENEWAL REQUEST BY ATLANTIC BROADBAND, L.L.C. FOR A TEN YEAR RENEWAL TERM, WITH A AUT-0,A"TIC TERM AN OPTION TO RENEW FOR AN ADDITIONAL FIVE YEAR TERM; PROVIDING FOR A FIVE PERCENT FRANCHISE FEE AS PROVIDED UNDER STATE AND FEDERAL LAW; PROVIDING FOR STANDARDS OF INSURANCE; PROTOCOL FOR PROVIDING SERVICES; PROVIDING FOR SEVERABILITY, ORDINANCES IN CONFLICT, AND AN EFFECTIVE DATE. WHEREAS, the Mayor and City Commission of the City of South Miami previously granted a cable television franchise pursuant to a cable television franchise agreement to Charter Communications, L.L.C. ( "Franchisee "); and, WHEREAS, Atlantic Broadband (Miami), L.L.C. ( "Atlantic "), and the Franchisee entered .__into_an_Asset__Purchase Agreement,__dated September _2,2003 (the . "asset_ purchase agreement "), pursuant to which the franchise was assigned to Atlantic; and, WHEREAS, on February 3, 2004 the city via ordinance no. 01 -04 -1808, approved the transfer of the franchise to Atlantic for transfer of control of cable television franchise;'and, WHEREAS, the transferred franchise expired on July 30, 2005; and, WHEREAS, the parties in due diligence have negotiated certain terms, including certain funding to the City for improvements of the audio - visual equipment for the city hall chambers; and, WHEREAS, Atlantic is seeking to renew the cable franchise with the I city for a ten (10) year; and a possible five (5) year extension period, which extension will be determined after public hearing; and, WHEREAS, the Mayor and City Commission desire to approve the renewal subject to acceptance of the terms and conditions set forth in the attached franchise agreement, having determined that such consent is consistent with federal, state, and municipal law and in the best interest of the city. NOW, THEREFORE, BE IT ORDAINED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF SOUTH MIAMI, FLORIDA: Section 1. The city approves the renewal of the franchise for Atlantic Broadband, L.L.C., as provided for in the franchise agreement, which is attached and incorporated by reference as exhibit 1 to this ordinance. Atlantic shall be responsible for any obligations and liabilities under the franchise after such closing date. Pq.2 of Ord. No. 01 -07 -1902 Section 2. Additionally, Atlantic has agreed to pay $20,000 for upgrade or update of communications equipment within the city hall chambers. Section 3. The city corms that (a) the franchise is valid and outstanding and in full force and effect; (b) to the best of the city's knowledge, the Franchisee is materially in compliance with the provisions of the existing franchise; and (c) to the best of the city's knowledge, there are no defaults under the existing franchise, or events which, with the giving of notice or passage of time or both, could constitute events of default thereunder. Section 4. The city manager of the City of South Miami is authorized to enter into, execute and deliver in the name and on behalf of the City of South Miami a certificate, along with such other documents as may be necessary evidencing the franchise without further act of this governing body. This franchise shall be for a ten (10) year period, with a possible five (5) year extension after public hearing, as'provided for in the attached franchise agreement. Section 5. If any section, clause, sentence, or phrase of this ordinance is for any reason held invalid or unconstitutional by a court of competent jurisdiction, the holding shall not affect the validity of the remaining portions of this ordinance. Section 6. All ordinances or parts of ordinances in conflict with the provisions of this ordinance are repealed. Section 7. This ordinance shall be codified and included in the code of ordinances. Section 8. This ordinance shall take effect immediately upon enactment. PASSED AND ADOPTED this � day of January, 2007. ATTEST: APPROVED: CITY CLERK MAYOYZO—� 1St Reading - 12/19/Y6 2 °d Reading_ 01 /09/07 COMMISSION VOTE: 5 -0 D QVED A ORM Mayor Feliu: Yea Vice Mayor Wiscombe: Yea Commissioner Birts: Yea R. eredo, Commissioner Palmer: Yea n Gallop & Figueredo, P.A., Commissioner Beckman: Yea :e of City Attorney