OR 93-615 Franchise to Paragon Cable Communications ORDINANCE NO. 93615
AN ORDINANCE OF THE CITY OF COPPELL, TEXAS, EXTENDING A
FRANCHISE TO PARAGON COMMUNICATIONS D/B/A PARAGON
CABLE, ITS SUCCESSORS AND ASSIGNS, FOR A PERIOD NOT TO
EXCEED FIFTEEN YEARS TO OPERATE AND MAINTAIN A CABLE
TELEVISION SYSTEM IN THE CITY OF COPPELL, TEXAS; PROVIDING
A SEVERABILITY CLAUSE; AND PROVIDING AN EFFECTIVE DATE.
WHEREAS, Paragon Cable has been providing cable television service to the
citizens of Coppell; and
WHEREAS, notice was given that public hearings were to be held to assess
Paragon's performance and ability to adequately meet the needs of the community in the
future as required under the Cable Television Consumer Protection Act of 1992; and
WHEREAS, public hearings were held to determine Paragon's performance and
ability to adequately meet the needs of the community in the future; and
WHEREAS, it was determined that Paragon Cable has adequately met the
requirements for renewal.
NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY
OF COPPELL, TEXAS:
SECTION 1. DEFINITIONS
City: Shall mean the City of Coppall, a municipal corporation
in the State of Texas.
City Council: Shall mean the City Council of the City of
Coppall, Texas.
FCC: Shall mean the Federal Communications Commission,
Washington, D.C.
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Cable Television System: The facilities and equipment that
receives directly or indirectly over the air and amplifies or
otherwise modifies the signals, transmitting programs
broadcast by one or more television stations or radio stations,
and receives or originates other non-broadcast signals and
distributes such signals by wire or cable to subscribing
members of the general public who pay for such service.
Franchise: Shall mean and include any authorization granted
in terms of a license, privilege permit, or otherwise, to build,
operate and maintain a Cable Television System in the City.
Grantee: Shall mean the person, firm or corporation to whom
or which a franchise as herein defined, is granted by the City
Council under this ordinance, and the lawful successor,
transferee or assignee of said person, firm or corporation.
Street: Shall mean the surface, the air space above the
surface and the area below the surface of any public street,
alley, public utility easement, or other public rights-of-way or
public places.
Subscriber: Shall mean any person or entity receiving for
any purpose a Cable Television System service of the grantee
hereunder.
Premium Channel and/or Premium Program: Shall mean
an auxiliary service offered on one or more channels by
protected transmission techniques for which subscribers
desiring such service pay extra fees on a per channel or on
a per program basis.
Other Utilities: Shall mean any other public utility furnishing
utility services within the City.
SECTION 2. GRANT OF FRANCHISE
There is hereby granted to PARAGON CABLE
COMMUNICATIONS D/B/A PARAGON CABLE, hereinafter
called, "Grantee," the right and privilege to construct, erect,
maintain and operate towers, poles, wires, anchors, cables,
manholes, conduits and other electronic equipment along,
across, on, over, through, above and under the public streets,
avenues, alleys, roads and highways in the City, for the
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purpose of operating a cable television system to serve the
citizens of the City by the provision of television cable service
and other services which grantee may legally provide. Such
grant is made only to the extent that the City may lawfully
permit such use of the above described properties, only for
the purposes enumerated and only to the extent that such
use will not interfere with the use of such properties by the
City, the public and other public utilities furnishing utility
services within the City.
SECTION 3. TERRITORIAL AREA INVOLVED
This franchise shall cover the territorial limits of the City and
any area henceforth added to the City during the term of this
franchise.
SECTION 4. FRANCHISE TERM
This franchise shall take effect from and after passage of this
ordinance and acceptance by Grantee as herein provided,
and the same shall continue in full force and effect for a term
of fifteen (15) years, beginning with the date of such
acceptance.
SECTION 5. FRANCHISE FEES
Grantee shall pay the City a franchise fee equal to five percent
(5%) of its gross receipts from cable television operations in
the City. Said fee shall be paid in quarterly installments within
thirty (30) days after the end of each calendar quarter and
shall be based on the gross receipts during such quarter.
The City shall have the right to inspect during normal business
hours the Grantee's records showing the gross receipts from
which the franchise fees are computed. Grantee shall furnish
City a gross receipts statement prepared and signed by a
certified public accountant within sixty (60) days after the
close of Grantee's fiscal year. As a result of this final
statement, adjustments shall be made by either the City or the
Grantee to the quarterly amounts paid during the preceding
year.
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SECTION 6. TRANSFERS
All transfers of franchise rights or privileges shall be made in
compliance with the Cable Television Consumer Protection
Act of 1992 or any subsequent federal or state legislation.
SECTION 7, INDEMNIFICATION AND INSURANCE
The Grantee shall, at all times during the existence of this
franchise, carry and require its contractors to carry insurance
as follows:
A. Workmen's Compensation Insurance in accordance
with the laws of the State of Texas.
B. Public Liability Insurance, with limits in the amount of
$300,000.00 for each person, $900,000.00 for each
accident, and $300,000.00 property damage liability. In
case the City is impleaded in any suit by reason of any
alleged accident or omission of the Grantee, its
successors or assigns, the City shall be entitled to
judgment over and against the Grantee, its successors
or assigns in such amount as may be obtained against
the City, by reason thereof, provided due written notice
is given the Grantee, its successors or assigns, on the
filing of said suit, so that proper defense may be made
to said action or suit.
C. The Grantee shall defend the City against all lawful
claims for injury to any person or property caused by
the negligence of the Grantee in the construction or
operation of its property; and, in the event of a
determination of liability, shall indemnify the City; more
particularly the Grantee herein, its successors and
assigns, does hereby agree to indemnify and hold
harmless the City from any and all liability, claim,
demand or judgment growing out of any injury to any
person or property as a result of the violation or failure
on the part of the Grantee, its successors and assigns,
to observe their proper duty or because of negligence
in whole or in part arising out of construction, repair,
extension, maintenance, or operation of its equipment
of any kind or character used in connection with this
franchise.
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SECTION 8. COMPLAINT PROCEDURE
Grantee shall maintain a business office or a toll-free
telephone listing in the City for the purpose of receiving
inquiries and complaints from its customers and the general
public. Grantee shall investigate all complaints within five (5)
days of their receipt and shall in good faith attempt to resolve
them swiftly and equitably. The following City officials shall be
responsible for receiving and acting upon any unresolved
complaints: City Manager. Written notice of this complaint
procedure, including the identity of the City official responsible
for receiving unresolved complaints, shall be mailed annually
to each subscriber. All other customer service standards for
Grantee shall be established by the FCC and enforced by the
SECTION 9. CONSTRUCTION AND MAINTENANCE
A. (1) Grantee shall comply with all rules and
regulations now in force or which may
hereinafter be put into force with respect to
proper installation and construction of lines,
cables, wiring and other electronic equipment
authorized by this permit and grant.
(2) Grantee shall use only new cables and
equipment with such shielding and protective
devices as may be necessary to insure the best
possible service and with the least possible
interference. Grantee shall, at its own cost and
expense, move its lines, cables, wiring, towers
and other appu~enances to other locations
when the City, through its authorities, may
require such removal for the safety and
convenience of said City and other franchise
holders and inhabitants affected thereby, or
when it is deemed necessary by the City to
widen, relocate, reconstruct or improve a street,
way or public place. In those areas where
telephone and electric service lines are
underground, Grantee shall place its cables and
service lines underground. In the event the
Grantee, after notice, fails or refuses to act, the
City shall have the power to remove or abate
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the same at the expense of the Grantee, all
without compensation or liability for damages
from the City to the Grantee. All structures, lines
and equipment erected by Grantee within the
City shall be so located as to cause minimum
interference with the proper use of streets,
alleys, easements and other public ways, and
placed to cause minimum interference with the
rights or reasonable convenience of property
owners and other utilities. Existing poles, posts,
conduits and other such structures of any
telephone company or other public utility which
may be made available to the Grantee under
lease or license and upon reasonable terms and
rates shall be used to the extent practicable in
order to minimize interference with service and
avoid unnecessary duplication of facilities.
(3) All installations made by the Grantee shall be
made in good, substantial and safe condition
and shall be maintained in such condition at all
times. Grantee shall make no excavations in the
streets, alleys, or other public places without
first obtaining a written permit from the City or
its agent or representatives. The surface of any
street, alley or other public place disturbed by
the Grantee in constructing, erecting,
maintaining, operating or repairing its system
shall be restored immediately by the Grantee
after completion of the work to as good a
condition as before the commencement of the
work, and such surface shall be maintained at
the cost of the Grantee to the satisfaction of the
City for a period of one (I) year from the date
such surface of said street, alley or public place
is restored, after which time responsibility for the
normal maintenance of such surface shall
become that of the City. Except in unusual
circumstances, the City shall require all street
crossings to be made by boring under the street
rather than cutting the street surface.
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B. Grantee shall be responsible for all costs and expenses
which Grantee's operation shall cause due to
disturbances or damage to the operation or property
of any other utility or franchisee operating utility
services within the City or to any such service or
operation provided by the City.
C. Grantee shall, on the request of any person holding a
building moving permit issued by the City, temporarily
raise or lower its lines to permit the moving of the
building. The expense of such temporary removal shall
be paid by the person requesting the same, and
Grantee shall have the authority to require such
payment in advance.
D. Grantee shall have the authority to trim trees upon and
overhanging all streets, alleys, easement, sidewalks
and public places of the City so as to prevent the
branches of such trees from coming into contact with
Grantee's facilities upon approval of the City in writing.
E. Before any poles or other fixtures are placed in any
street or public way by Grantee, the location thereof
shall be reviewed by the City Manager or such other
person as the City Manager may appoint. Such poles
or other fixtures shall be placed in such a manner as
not to interfere with the usual traffic on such public way
or any other utility. All poles, lines, structures and other
facilities of Grantee in, on, over and under the streets,
sidewalks, alleys, easements and public grounds or
places of the City shall be kept by Grantee at all times
in a safe condition.
SECTION 10. REVOCATION OF FRANCHISE
If Grantee violates any provision of this ordinance, this
franchise may be revoked by the City Council. Grantee will be
notified in writing by the City Manager of any such violation
and will have ninety (90) days to correct such violation, and
further, said Grantee shall have a right to a public hearing
before the Mayor and Council, if so demanded.
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SECTION 11. ADDITIONAL SERVICES TO BE PROVIDED
A. Grantee will provide an input point at both Coppell High
School and the Coppell City Hall allowing the City the
technical capability to insert live or delayed video
signals onto the Coppell cable system. Grantee will
provide the switching equipment and modulation
equipment to enable the signal to be cablecast.
B. Grantee will carry a channel of the Dallas County
Community College program on an uninterrupted basis
for a period of one year from the effective date of the
franchise. After such time, the City of Coppell will
verify the number of students taking such programming
within the City of Coppell city limits. If less than one
percent (1%) of all subscribers within the City of
Coppell are taking the program, Grantee shall have the
option to discontinue coverage at that time.
C. In order to replace lost video equipment which was
donated to the City in 1989 by Grantee, Grantee will
pay the City $5,000.00. Recommendations as to the
use of such payment shall be made by the Cable
Review Board and acted upon by the City Council.
D. Grantee will at all times cooperate with any City official
or designee to aid the City in conducting a technical
review of the Coppell system to satisfy the community
that the Grantee's cable system meets or exceeds the
technical standards of the Federal Communications
Commission.
E. In order to facilitate the dissemination of accurate and
timely community information, Grantee will, at the City's
request, move the character generator which is
currently providing information on Channel 19 or any
subsequent channel, back to the Coppell Paragon
office. Grantee will transcribe community information
provided during regular business hours for cablecast
on the City's local channel.
F. Within one hundred and eighty (180) days of a request
by the City Council, Grantee's video production
department will work with the City to produce a
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promotional video for the City of Coppell. All
necessary production, other than scripting and
providing on-camera talent, including location shooting,
direction of on-camera talent and post-production
editing resulting in a finished video tape of up to
approximately thirty (30) minutes length will be
provided by Grantee.
G. Excepting Subsection F, such services will be
implemented within one hundred twenty (120) days
following the Council's approval of this franchise
agreement.
SECTION 12. RATES
Grantee shall establish "basic tier" rates in accordance with
FCC benchmark standards. All other rates shall be in
accordance with the Cable Television Consumer Protection
and Competition Act of 1992, or any subsequent governing
federal statute.
SECTION 13. NON-EXCLUSIVE FRANCHISE
This franchise is not exclusive and nothing herein contained
shall be construed to prevent the City from granting any other
like privilege to any other applicant.
SECTION 14. If any section, subsection, sentence, clause, phrase or portion of
this ordinance is for any reason held invalid or unconstitutional by any Federal or State
Court or administrative or governmental agency of competent jurisdiction, specifically
including the FCC, such portion shall be deemed a separate, distinct and independent
provision, and such holding shall not affect the validity of the remaining portions hereof.
SECTION 15. This ordinance shall become effective thirty (30) days after passage
and upon publication as the law in such cases provides.
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DULY PASSED by the City Council of the City of Coppell, Texas, this
day of ''''J. 993.
APPROVED:
'~'~'[VIAYOR
A'I'I'EST: -
\ ,,;/ ~, t'
CITY SECRETARY /~ _% £ '/
APPROVED AS TO FORM:
CITY ATI'ORNEY
ACCEPTANCE
The provisions of this Ordinance No. "2 ';;~):~ of the City of Coppell, Texas,
granting a cable television franchise in the City to Paragon Communications are accepted
this 27~h day of Sept:embe~ , 1993.
PARAGON COMMUNICATIONS D/B/A
PARAGON CABLE
/ // ,.
/ -
By: ' "' '~ >~/~ '-- ~' ~ ~-
A~EST:
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