A. Customer service standards
B. Subscriber Bill of Rights
C. Privacy
D. Continuity of service
E. Installations and connections
F. Customer service and complaint procedures
G. Performance monitoring
H. Reports and recordkeeping requirements
I. Franchise violations
Amendments to the Cable Act in 1992 gave local franchise authorities broad authority to implement customer service and consumer protection standards, covering such items as telephone support, appointments, interruptions of service, and billing (as well as construction schedules and other construction-related requirements). Cities have the option of incorporating the FCC's customer service standards in the franchise during the renewal process or, with 90 days' notice to the operator, at any other time. Although these standards were issued by the FCC, that agency explains that "…local franchising authorities are responsible for adopting and enforcing customer service standards. Franchising authorities may also adopt more stringent or additional standards with the consent of the cable operator or through enactment of a state or municipal law." Typical of such standards are Austin's and Montgomery County's.
Montgomery County's customer service standards:
9 (c) Telephone and Office Availability.
(1) Each Franchisee shall maintain an office at a convenient location in the County that shall be open during Normal Business Hours to allow Subscribers to request service, pay bills, and conduct other business.
(2) Each Franchisee will maintain at least one local, toll-free or collect call telephone access line which will be available to subscribers 24 hours a day, seven days a week. Trained representatives of the Franchisee shall be available to respond to Subscriber telephone inquiries during Normal Business Hours.
(3) Under Normal Operating Conditions, the following standards shall be met by the Franchisee at least ninety (90) percent of the time, measured quarterly.
(A) Telephone answering time shall not exceed thirty (30) seconds, and the time to transfer the call to a customer service representative (including hold time) shall not exceed an additional thirty (30) seconds.
(B) A customer will receive a busy signal less than three percent (3%) of the time.
(C) When the business office is closed, an answering machine or service capable of receiving and recording service complaints and inquiries shall be employed. Inquiries received after hours must be responded to by a trained representative of the Franchisee on the next business day. To the extent possible, the after-hours answering service shall comply with the same telephone answer time standard set forth in this Section.
(4) The Franchisee must hire sufficient staff so that it can adequately respond to customer inquiries, complaints, and requests for service in its office, over the phone, and at the Subscriber's residence.
(d) Scheduling and Completing Service. Under Normal Operating Conditions, each of the following standards shall be met by all Franchisees at least 95% of the time, as measured on a quarterly basis:
(1) Prompt Service. Installations located up to 400 feet from the nearest Public Right-of Way shall be completed within seven (7) business days after the order is placed or Miss Utility marking, or at a later time if requested by the Subscriber. Repairs and maintenance for Service Interruptions and other repairs not requiring work within a Subscriber's premises must be completed within 24-hours of the time the Subscriber reports the problem to the Franchisee or its representative or the interruption or need for repairs otherwise becomes known to the Franchisee. Work on all other requests for service shall be scheduled for the next available appointment, or at a later time mutually agreeable to the Franchisee and the Subscriber. Franchisee shall exercise its best efforts to complete such work within three (3) days from the date of the initial request, except installation requests, provided that the Franchisee shall complete the work in the shortest time possible where, for reasons beyond the Franchisee's control, the work could not be completed in those time periods even with the exercise of all due diligence; the failure of the Franchisee to hire sufficient staff or to properly train its staff shall not justify the Franchisee's failure to comply with this provision.
(2) Service Times. The Franchisee shall perform service calls, installations, and disconnects at least during Normal Business Hours. In addition, maintenance service capability enabling the prompt location and correction of outages that affect 50% or more of channels in any tier or a channel for which there is a separate charge affects shall be available Monday through Friday from the end of Normal Business Hours until 12:30 a.m., and from 8:00 a.m. until 12:30 a.m. on Saturdays, Sundays, and holidays.
(3) Appointments. The appointment window for installations, service calls, and other installation activities will be either a specific time or, at maximum, a 4-hour time block during Normal Business Hours. Where a Subscriber cannot conveniently arrange for a service call or installation during Normal Business Hours, the Franchisee shall make reasonable efforts to schedule service and installation calls outside Normal Business Hours for the express convenience of the Subscriber.
(4) Cancellations. The Franchisee may not cancel an appointment with a Subscriber after the close of business on the business day preceding the appointment. If the Franchisee's representative is running late for an appointment with a Subscriber and will not be able to keep the appointment as scheduled, the Subscriber will be contacted, and the appointment rescheduled, as necessary, at a time which is convenient for the Subscriber.
(5) Emergency Maintenance. The Franchisee shall keep an emergency system maintenance and repair staff, capable of responding to and repairing system malfunctions or interruptions, on a twenty-four (24) hour basis at all times, and under Normal Operating Conditions shall provide an immediate response to System Outages twenty-four (24) hours a day, seven (7) days a week .
(6) Other Inquiries. Under Normal Operating Conditions, billing inquiries and requests for service, repair, and maintenance not involving Service Interruptions must be acknowledged by a trained customer service representative within twenty-four (24) hours, or prior to the end of the next business day, whichever is earlier. The Franchisee shall respond to all other inquiries within five (5) business days of receipt of the inquiry or complaint.
(7) To the extent consistent with federal law, no charge shall be made to the Subscriber for repairs or maintenance of Franchisee-owned equipment or facilities, except for the cost of repairs to the Franchisee's equipment or facilities where it can be shown that the equipment or facility was damaged by a Subscriber.
(8) Mobility-Limited Subscribers. With regard to mobility-limited Subscribers, upon Subscriber request, the Franchisee shall arrange for pickup and/or replacement of converters or other Franchisee equipment at the subscriber's address or by a satisfactory equivalent (such as the provision of a postage-prepaid mailer).
(e) Interruptions of Service: The Franchisee may intentionally interrupt service on the Cable System only for good cause and for the shortest time possible and, except in emergency situations or to the extent necessary to fix the affected Subscriber's service problems, only after a minimum of forty-eight (48) hours prior notice to Subscribers, the County, and municipal PEG channel operators of the anticipated service interruption; provided, however, that planned maintenance that does not require more than two (2) hours' interruption of service that occurs between the hours of 12:00 midnight and 6:00 a.m., shall not require such notice to Subscribers, but shall require notice to the County no less than twenty-four (24) hours prior to the anticipated service interruption. Brief interruptions of service of less than five minutes necessary to conduct planned maintenance shall not require notice to Subscribers, the County, or municipal PEG channel operators.
(f) Notice to Subscribers.
(1) The Franchisee shall provide the following materials to each Subscriber at the time Cable Service is installed, at least annually thereafter, and at any time upon request. Copies of all such materials provided to Subscribers shall also be provided to the County.
(A) a written description of products and services offered, including a schedule of rates and charges, a list of channel positions, and a description of programming services, options, and conditions;
(B) a written description of the Franchisee's installation and service maintenance policies, delinquent subscriber disconnect and reconnect procedures, and any other of its policies applicable to its subscribers;
(C) written instructions on how to use the cable service;
(D) written instructions for placing a service call;
(E) a written description of the Franchisee's billing and complaint procedures, including the address and telephone number of the County office responsible for receiving Subscriber complaints;
(F) a copy of the service contract, if any;
(G) notice regarding Subscribers' privacy rights pursuant to 47 U.S.C. ' 551;
(H) notice of the availability of universal remote controls and other compatible equipment (a list of which, specifying brands and models, shall be provided to any Subscriber upon request).
(2) Subscribers and the County will be notified of any changes in rates, programming services or channel positions, and any significant changes in any other information required to be provided by this section, as soon as possible through announcements on the cable system and in writing. Notice must be given to subscribers and the County a minimum of thirty (30) days in advance of such changes and other significant changes if the change is within the control of the cable operator.
(3) All Franchisee promotional materials, announcements, and advertising of residential Cable Service to Subscribers and the general public, where price information is listed in any manner, shall clearly and accurately disclose price terms. In the case of pay-per-view or pay-per-event programming, all promotional materials must clearly and accurately disclose price terms and in the case of telephone orders, the Franchisee shall take appropriate steps to ensure that price terms are clearly and accurately disclosed to potential customers before the order is accepted.
(4) The Franchisee shall maintain a public file containing all notices provided to Subscribers under these customer service standards, as well as all promotional offers made to Subscribers. Copies of all notices, promotional or special offers sent to Subscribers and any agreements used with Subscribers shall be filed promptly with the County. All forms and notices distributed to customers which describe customer service policies and procedures shall be subject to County approval. County response to Franchisee's requests for review shall be made within five (5) working days of Franchisee's submission, and approval shall not be unreasonably withheld.
(g) Billing.
(1) Bills shall 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 shall clearly delineate all activity during the billing period, including optional charges, rebates, and credits.
(h) Rebate Policy: In the event of a Service Interruption of one or more channels to any subscriber, the Franchisee shall repair the Service Interruption as soon as possible. This obligation is satisfied if the Franchisee offers the Subscriber the next available repair appointment within the twenty-four hour period following the Service Interruption, or at the request of the Subscriber, to a mutually convenient later time for the repair call, and successfully repairs the Service Interruption during the agreed appointment. If the Service Interruption is not repaired at the time of the scheduled appointment, the Subscriber will receive a credit of 10% of the Subscriber's normal monthly bill for each 24 hour period, or segment thereof, that the Service Interruption continues beyond the scheduled repair call.
B. Subscriber Bill of Rights: An even more aggressive approach to consumer protection is the adoption of a subscriber bill of rights, which cities such as Seattle and Washington, DC, have undertaken.
Seattle's Cable Customer Bill of Rights:
ABOUT YOUR CABLE CUSTOMER BILL OF RIGHTS
Why does Seattle have the Cable Customer Bill of Rights?
In early 1999, the Seattle City Council held numerous public hearings and received many comments about cable services. You told us that you wanted better service – and we listened! The City’s Office of Cable Communications worked with City Council to develop your Cable Customer Bill of Rights to ensure that cable customers in Seattle would get competent, responsive service from the cable companies. The Bill of Rights also established procedures and remedies if you haven’t gotten competent, responsive service. Seattle is currently one of very few cities that have a Bill of Rights for its citizens who subscribe to television and Internet cable services. We believe that the Bill will help us – you, the cable companies, and the City of Seattle – work together for excellent customer satisfaction.
What does the Cable Customer Bill of Rights Do?
The Cable Customer Bill of Rights has been working to accomplish several things. Our primary goal is to help you get the best service possible! To achieve this, the Bill of Rights established levels and quality of service to ensure your satisfaction. Specific areas covered in the Bill are Courtesy, Accessibility, Responsiveness, and Services for Customers with Disabilities, Customer Information, Customer Privacy, Safety and a Satisfaction Guarantee. The Bill calls for employees of the cable companies to “be courteous, knowledgeable and helpful” and “provide effective and satisfactory service in all contacts with Customers.”
The Bill of Rights requires cable companies to meet standards for Accessibility. These include having walk-in service centers open weekdays until 7:00 p.m. and on Saturdays from 9:00 a.m. to 5:00 p.m. and local or toll free telephone access lines available during normal business hours for service or repair requests or to answer questions about your bill. The Accessibility provisions also require that your phone calls are answered promptly and that you do not get a busy signal. Last, the Accessibility provisions require the cable companies to have dispatchers and technicians on call 24 hours a day, every day, for emergency purposes.
Responsiveness is also addressed in the Cable Customer Bill of Rights. The Bill requires standard installations for TV and Internet within seven days of your request and within any available four-hour block of time. In the event of system outages, Responsiveness regulations require correction within 2 to 24 hours, depending on the extent of the outage and its source. Clear reception requirements are spelled out, as are regulations for treatment of your property, including landscaping. Responsiveness provisions also discuss billing procedures, including credits, refunds, and deposits as well as what customer service representatives can do for you when you call with a complaint.
Services for Customers with Disabilities are required under the Cable Customer Bill of Rights. Your cable company provides these services at no charge. Under provisions of Customer Privacy, your cable company is prohibited from monitoring what programs you watch without your prior written consent. They are also prohibited from selling your name or information about you to anyone else, without your prior written consent.
The Cable Customer Bill of Rights also specifies that when the cable company installs your service, they must provide you with various types of information, including a complete version of the Cable Customer Bill of Rights, which this brochure summarizes; products and services offered and their prices; installation and service maintenance policies; and policies about your privacy. Your cable company is also required to provide information on programs carried, channels and any changes to programming or channel positions.
Safety provisions in the Bill of Rights require that cable installation and equipment meet laws guaranteeing your safety and that of your property. In the event that a potential unsafe condition is reported to your cable company, they must respond immediately to correct the unsafe condition.
The Cable Customer Bill of Rights also values Customer Satisfaction, requiring your cable company to guarantee your satisfaction for new or additional cable service.
How Do I Get the Cable Company to Help Me?
Another major component of the Cable Customer Bill of Rights is procedures for your cable company’s handling your calls. In addition to courteous service, under the Bill of Rights you are also entitled to a rapid response (all questions or complaints must be answered within 15 days). If you do not agree with the response, or do not hear from your cable company within 15 days, please get in touch with us, your City of Seattle Office of Cable Communications. You can call our Cable Hotline at 206-684-849 or 206-386-1989 weekdays or e-mail us at www.cityofseattle.net/cable/comment. To help ensure that your cable company can provide good service, please read the Tips for Getting Good Service listed below.
Tips for Getting Good Service
1. If you have a question or complaint, always try your cable company first.
2. While we know you may be frustrated, if you are courteous with the customer service representative, they’ll be courteous to you.
3. Always get the name of the person who handles your call.
4. Make sure you give the customer service representative the name of the person on your bill – this will help them figure out who you are more easily. Please be aware, however, that your cable company is prohibited by Federal law from giving out account information to anyone but the account holder. It would be helpful then to have the account holder get in touch with your cable company, or to have more than one person listed on the account.
5. If you have a question or complaint, get in touch with your cable company as soon as possible.
6. If you are sending your complaint by mail, do not send it with your bill. Make sure you send it to the address listed at the top of the bill. Please do not send it to the City. If you do send it to us, we’ll forward it, but it takes time and may end up putting your account into arrears.
7. Be very specific about what it is you are asking about. If you have more than one question or complaint, it would be helpful to write them down so you can remember all your points when you talk to the cable company. It is also helpful if you can tell your cable company specific dates, times and duration when you may have had interrupted service, no show appointments, poor reception, etc.
8. Be specific about what it is you want the cable company to do. If you need service, ask for it. If you deserve a credit, tell them.
9. If you did not receive an answer to your question or complaint from the person who takes your call, ask to speak with a supervisor.
10. If you are still not satisfied, and if you are a Seattle resident, please get in touch with us at http://www.cityofseattle.net/cable/commentor through the Cable line at 206-684-8498, or call Brenda Tate at 206-386-1989.
What Can The City Do For Me?
What we can do:
• We will listen to your questions or complaints.
• We will work with your cable company to resolve your issue.
• We will get back to you usually on the same day to let you know we’ve heard from you and within 15 days (provided we don’t need too much additional information) with a resolution to your questions or complaints.
• We will have someone from the cable company contact you after we have spoken with them.
• We will compensate you if we are unable to resolve your issue with the cable company and we agree with you.
• We will send you a copy of the complete Cable Customer Bill of Rights. If you prefer, you can get it from your cable company or read it over the web at our site at www.cityofseattle.net/cable.
What we can’t do:
• Be the first source you turn to. You should go to your cable company first. For AT&T cable TV, call toll free 1-877-824-2288. For AT&T @Home call toll free 1-888-824-8101. For Millennium Digital Media call toll free 1-800-829-2225.
• Schedule your appointments with your cable company.
• Install cable service or perform repairs to your service or property.
• Accept your mail or in person payments. Please send payments to your cable company or make payments at one of your cable company offices.
• Accept returned equipment; it must be returned to your cable company.
How Can I Get In Touch With the City’s Office of Cable Communications?
You can call the 24-hour Cable line at 206-684-8498 or 206-386-1989 during normal business hours. If you prefer, you can comment over the web at: http://www.cityofseattle.net/cable/comment.
Cable Discount Program
If you meet certain income criteria and are a senior, disabled, and/or living in subsidized housing, you may be eligible for a discount on your cable bill. For information, please call 206-684-0500.
B.2. Washington, DC's Cable Customer Service Bill of Rights:
As a District cable television consumer, you have the following rights:
1. Consumers are entitled to receive high-quality cable television service including a clear picture and programming that meets consumer needs.
2. Consumers should expect to be notified at least 48 hours in advance of any scheduled interruption of cable television service.
3. Consumers have the right to receive dependable service, free of unnecessary outages. Consumers shall be credited one-day’s worth of service upon request for any service outage over 4 hours, and automatically for any outage over 12 hours.
4. Consumers are entitled to receive at least 30 days notice, prior to any changes in programming, channel line-up, rates or terms of service.
5. Consumers have the right to speak with a customer service representative by telephone within a reasonable amount of time or in person and receive courteous, professional and knowledgeable assistance from such representative.
6. Consistent with applicable law, consumers are entitled to request and to receive an appointment within 7 days of ordering service for a standard installation or upgrade of services.
7. Consumers are entitled to the prompt repair of service interruption or television reception problems. Total loss of picture shall be repaired within 24 hours of a consumer’s notification to a cable operator. All other reception problems must be repaired within 48 hours of consumer’s request.
8. Consumers are entitled to schedule service appointments to occur within a reasonable period of the day and not to exceed a 4-hour appointment window.
9. Consumers have the right to an accurate monthly bill that contains all pertinent information including: payment due date, an itemized listing of all charges and fees and the late fee assessment date.
10. Consumers have the right to disconnect service at no charge, except for the payment of any outstanding account balance.
11. Consumers are entitled to have appointments honored by the cable operator. An appointment may not be cancelled by the cable operator after close-of-business of the day prior to the appointment without reasonable attempts to contact the consumer on location.
12. Consumers are entitled to receive a copy of the work order describing all work performed during an appointment.
13. Spanish-speaking consumers have the right at all times to speak to a Spanish-speaking service representative.
C. Privacy: Especially as cable service has expanded to include Internet and telephone service, customer privacy has become even more important. Such protection is now a basic part of cable franchise agreements.
St. Paul's privacy policy:
Section 206. Subscriber privacy.
206.(a). No signals, including signals of an interactive communications channel, shall be transmitted from a subscriber terminal for the purposes of monitoring individual viewing patterns or practices without the express written permission of the subscriber. Neither the company, the city nor any other person shall initiate or use any procedure or device for procuring information or data from a subscriber's terminals or terminal by any means without the prior valid authorization of the affected subscriber. Valid authorization shall mean written approval from the subscriber which shall not have been obtained from the subscriber as a condition of service, except in those situations in which authorization is needed for billing, and which may be revoked by the subscriber at any time without penalty of any kind whatsoever. The request for such permission shall be contained in a separate document with a prominent statement that the subscriber is authorizing the permission with full knowledge of its provisions. Such written permission shall not extend longer than one (1) year; provided, however, that the subscriber shall have the option to renew upon expiration. No penalty shall be invoked for a subscriber's failure to provide or renew such authorization. Such authorization shall be required for each type or classification of signals transmitted from a subscriber terminal.
206.(b). The company shall not collect, compile or retain subscriber data except as necessary for internal business purposes. Neither the company, the city nor any of their agents or employees shall, without the specific written authorization of the affected subscriber, provide data identifying or designating any subscriber to any party other than to the company and its employees or agents for internal business use. This shall include, but not be limited to, lists of the names and addresses of such subscribers or any lists that identify the viewing habits of subscribers. Written permission from the subscriber shall not be required for the systems conducting systemwide or individually addressed electronic sweeps for the purpose of verifying system integrity or monitoring for the purpose of billing. Confidentiality of such information shall be subject to the provisions of this section.
C. 2. Monterey privacy protections:
6.2 Privacy. In Addition to the requirements of Section 15.5 of the Enabling Ordinance, the City and the Grantee shall maintain diligent vigilance with regard to possible abuses of the right of privacy of any subscriber, programmer, or any other person resulting from any device or signal associated with the cable system.
6.3 Sale of Subscriber Lists and Personalized Data.
A. The Grantee shall be subject to the provisions of federal law regarding limitations on the Grantee's collection and use of personally identifiable information, and other issues involving the protection of subscriber privacy.
B. Nothing in this section shall be read to limit the City's right to adopt other consumer/customer protection laws.
D. Continuity of service: Service interruptions have long been the bane of cable subscribers, and many franchise agreements now include continuity-of-service standards. St. Paul's is typical of these requirements.
St. Paul's requirement concerning "continuity of service":
Section 205. Continuity of service mandatory.
205.(a). It shall be the right of all subscribers to continue receiving service insofar as their financial and other obligations to the company are honored. In the event that the company elects to overbuild, rebuild, modify or sell the system, or the city gives notice of intent to terminate or fails to renew this franchise, the company shall undertake all reasonable efforts to ensure that all subscribers receive continuous, high-quality, uninterrupted service regardless of the circumstances.
205.(b). In the event of a change of franchise, or in the event a new operator acquires the system, the company shall cooperate with the city, new company or operator in maintaining continuity of service to all subscribers. During such period, the company shall be entitled to the revenues for any period during which it operates the system, and shall be entitled to reasonable costs for its services when it no longer operates the system.
205.(c). In the event the franchise is revoked or terminated, the company may be required to continue to provide service for a reasonable period as directed by the city in order to assure an orderly transition of service from the company to another entity. During any such transitional period, the company shall operate its cable system in accordance with the requirements of this franchise and applicable law.
205.(d). In the event the company fails to operate the system for four (4) consecutive days without prior approval of the city or without just cause, or willfully fails to provide service in accordance with its obligations hereunder for any period, the company will be deemed to have abandoned its cable system. The city may, at its option, do any or all of the following:
205.(d).(1). Operate the system or designate an operator until such time as the company restores service under conditions acceptable to the city or a permanent operator is selected. If the city or a designee is required to fulfill this obligation for the company, the company shall reimburse the city or its designee for all reasonable costs or damages in excess of revenues from the cable system received by the city or its designee that are the result of the company's failure to perform.
205.(d).(2). Declare the franchise forfeited and require the company to remove its cable system from the city by a time specified by the city, as provided in Article II, section 212.
205.(d).(3). Take possession of all or a portion of the abandoned facilities, in accordance with Article I, section 122(d).
205.(d).(4). Impose liquidated damages as provided for in this franchise.
205.(d).(5). Exercise any other remedy available to it as a matter of law or equity.
E. Installations and connections: Many franchise agreements include provisions concerning the rates and logistics of installations and connections.
Montgomery County's provision concerning installations and connections:
9 (b) Installations, Connections, and Other Franchisee Services.
(1) Standard Installations. Except as federal rate regulations may otherwise require, the Franchisee shall not assess a Subscriber any cost other than a standard installation charge for service drops of one hundred seventy-five(175) feet or less, to the primary outlet, unless the Franchisee demonstrates to the County's satisfaction that extraordinary circumstances justify a higher charge. Except as applicable law may otherwise require, where a drop exceeds one hundred seventy-five (175) feet in length from the nearest Public Right of Way, the Franchisee may charge a subscriber an additional charge, pursuant to the Franchisee's "long drop" policy, for any drop up to four hundred (400) feet long.
(2) Location of Drops. The Subscriber's preference as to the point of entry into the residence shall be observed whenever feasible. Runs in building interiors shall be as unobtrusive as possible. The Franchisee shall use due care in the process of installation and shall restore the subscriber's property to its prior condition. Such restoration shall be undertaken as soon as possible after the damage is incurred and shall be completed within no more than thirty (30) days after the damage is incurred.
F. Customer service and complaint procedures: Given the cable industry's generally low customer-satisfaction ratings (at the very bottom of the American Customer Satisfaction Index, in fact), complaint procedures have become a standard feature in many franchise agreements, including St. Paul's.
St. Paul's customer service and complaint procedures:
Section 208. Customer service and subscriber complaint procedures.
208.(a). The company shall comply with all federal and state customer service standards, and in addition will comply with the customer service requirements established by the city from time to time. Without limiting its obligation to comply with customer service standards established under federal, state and local law, the company shall comply with the customer service standards set forth in this franchise, which standards shall be treated as minimum, not maximum requirements. In the event of conflicts between standards, the stricter requirement shall control.
208.(b). At a minimum:
208.(b).(1). During the term of the franchise, the company shall maintain within the city a local business office or offices for the purpose of receiving and resolving all complaints regarding the quality of service, equipment malfunctions, billings disputes and similar matters. The office must be reachable by a local, toll-free telephone call, and the company shall provide the city with the name, address and telephone number of a person who will act as the company's agent to receive complaints regarding quality of service, equipment malfunctions, billings and similar matters.
208.(b).(2). The local office shall be open to receive inquiries or complaints from subscribers during normal business hours, and in no event less than 9:00 a.m. to 5:00 p.m., Monday through Friday, excluding legal holidays.
208.(b).(3). The company shall provide the means to accept complaint calls twenty-four (24) hours a day, seven (7) days a week. Any service complaints from subscribers shall be investigated and acted upon within twenty-four (24) hours. Any service complaint shall be resolved within three (3) calendar days.
208.(b).(4). Upon notification by a subscriber and verification by the company, the company shall credit a subscriber's account on a pro-rata basis for loss of service exceeding four (4) hours within a twenty-four-hour period, or for loss of service that exceeds forty-eight (48) hours in any thirty-day period. The subscriber will be credited for one (1) day of lost service for every four (4) hours the subscriber's service is out. Provided, however, that until March 1, 2001, or the date the upgrade required by Article III is completed, whichever is earlier, subscribers will only be credited for one (1) day of lost service related to the upgrade if there is a twelve-hour loss of service measured over a forty-eight-hour period, or if total outages over any thirty-day period exceed forty-eight (48) hours. Provided further, however, that this exception only applies if the company develops a reasonable cutover plan designed to minimize disruption to subscribers during the upgrade.
208.(b).(5). The company shall keep a maintenance service log which will indicate the nature of each service complaint, the date and time it was received, the disposition of said complaint and the time and date thereof. This log shall be made available for periodic inspection by the city.
208.(b).(6). As subscribers are connected or reconnected to the system, the company shall, by appropriate means, such as a card or brochure, furnish (i) information concerning the procedures for making inquiries or complaints, including the name, address and local telephone number of the employee or employees or agent to whom such inquiries or complaints are to be addressed; and (ii) information concerning the city office responsible for administration of the franchise, including at least the name of the office, the address and main telephone number of the office.
G. Performance monitoring: A number of franchises include provisions for the periodic monitoring of the cable operator's performance, covering such areas as "system performance and construction, Franchisee compliance with the Cable Law and this Agreement, customer service and complaint response, Subscriber privacy, services provided, programming offered, service rate structures, Franchise fees, penalties, free or discounted services, applications of new technologies, judicial and FCC filings, and line extensions."
Monterey's performance monitoring requirement:
22. PERFORMANCE MONITORING
22.1 Triennial Review
A. During the years which commence on the third and/or sixth anniversaries of the effective date of the Franchise, and every third year thereafter If the Franchise is renewed or extended, the City may commence a review of the Grantee's performance under the Franchise. As part of this review, the City may consider: (1) whether the Grantee has complied with its obligations under the Franchise and applicable law; (2) whether customer service standards, technical standards, or bond or security fund requirements are adequate or excessive; and (3) other issues as may be raised by the Grantee, the City, or the public.
B. The City shall conduct at least one public hearing at a lawfully noticed City Council meeting to provide the Grantee and the public the opportunity to comment on the Grantee's performance and other issues considered as part of this review.
22.2 Reopener
A. The City may, at any point after the fifth anniversary of the effective date of this Franchise, commence a review to determine whether Grantee has satisfied its obligation to respond to community needs and interest by incorporating technological advances into its system through upgrades and rebuilds. Both the City and the Grantee agree to make a full and good faith effort to participate in the process in a manner which accomplishes this end.
B. The City shall conduct at least one public hearing at a lawfully noticed City Council meeting to provide the public the opportunity to comment on the issues which are to be considered in this franchise reopener process.
C. The City may require the Grantee to submit a proposal describing its plans including a timetable and costs, to incorporate technological advances into its system through upgrades and rebuilds. The City may set a deadline for submission of the proposal, which deadline shall provide the Grantee no fewer than sixty (60) days to prepare the proposal from the date a written request for the proposal is submitted to the Grantee.
D. Following receipt and analysis of any proposal, the City and the Grantee shall negotiate in good faith to develop a plan, including a timetable, for an appropriate upgrade or rebuild of the system.
E. At the end of the review and negotiation period, the City shall advise the Grantee of its determination regarding the upgrade/rebuild plan. The City shall award the Grantee a five (5) year extension beyond the initial ten (10) year term of this Franchise Agreement if the upgrade/rebuild plan submitted by the Grantee includes the completion of a system rebuild which is the greater of either a 750 MHz rebuild or a rebuild which brings the cable system functionality to that of systems which are initially constructed or rebuilt in the year this reopener is activated and if the Grantee agrees to complete such an upgrade/rebuild by the end of the seventh (7th) year after the effective date of this Agreement. If the Grantee objects to any requirement for modification, alteration, or expanded capabilities of the system requested by the City, it must do so in writing within fifteen (15) days of the City’s notification. If the Grantee is unwilling to comply with the City’s request, the City may, after a public hearing, shorten the existing franchise term so that the term expires not less than thirty-one (31) months after the decision is made to shorten the franchise term.
G.2. Palo Alto's franchise includes a requirement for periodic system inspections:
7.6 System Inspections. The City may inspect the Cable System during and after construction. The City shall have the right to inspect the Cable System, Subscriber installations of Cable Services at the Subscribers’ premises, and TCI’s [now Comcast's] equipment used in the maintenance of the Cable System at any time to determine compliance with the Agreement, the Enabling Ordinance, and other applicable Laws. The City shall provide five business days written notice to TCI of such inspection, and the Parties shall jointly identify the specific locations to be inspected. Any testing of the Cable System necessary to accomplish such inspections shall be performed only in the presence of an authorized employee of TCI. TCI shall be notified, in writing, of the determination of any violations found during the course of inspections. If, based on Subscriber complaints or on its own investigation, the City determines that the Cable System may not be operating in compliance with this Agreement or the Enabling Ordinance, it may require TCI to perform additional tests and to prepare a report to the City on the results of those tests, including a report identifying any problem found and steps taken to correct or attempt to correct the problem. TCI must cure violations within thirty days of the date it receives written notice of such violations. Inspection by the City will not relieve TCI of its obligation to maintain the Cable System in compliance with the provisions of the Agreement. This provision is subject to any limitations that may be placed or imposed by federal law on the City’s authority.
7.6.1 Continuing Tests. Upon thirty days prior written notice, the Parties will jointly select test points at various points of the Cable System to perform ongoing tests of the Cable System. The number of these test points will be mutually agreed upon based on what best represents the architecture of the Cable System. TCI shall perform FCC proof-of-performance tests at these locations as often as required by FCC Standards and in conformance with testing required by FCC Standards, and as mutually agreed upon where Cable System user complaints indicate tests are warranted or are required to test all major trunk lines. The City will be permitted to witness the tests. A written report of the test results shall be filed with the City within thirty days of the completion of the test. If a test location fails to meet the FCC Standards, TCI, without the requirement of additional notice or a request from the City, shall take corrective action and retest the test locations, and advise, in writing, the City of the action taken and results achieved, until the FCC proof-of-performance tests are completed in all respects.
G. 3. Montgomery County's franchise includes the "the integration of future technologies" in its performance evaluations requirement:
6 (u) Periodic Performance Evaluation: The County may schedule periodic public hearings to evaluate the performance of the Franchisee, or to discuss the integration of future technologies, other plans or operations of the Franchisee or any aspect of the Franchisee's Cable System. The Franchisee shall cooperate with the County in any such evaluation.
H. Reporting and recordkeeping requirements: In conjunction with performance monitoring and other customer-service requirements, many franchises impose strict reporting and recordkeeping requirements on cable operators.
Palo Alto's reporting requirements:
SECTION 20. REPORTS AND RESPONSES TO QUESTIONS
20.1 TCI [now Comcast] shall provide the following reports on a quarterly basis, in a form acceptable to the City, at the time TCI is scheduled to make its Franchise fee payment:
20.1.1 A report showing the number of service calls completed by type during the prior quarter and the number of service calls compared to the Subscriber base;
20.1.2 A report showing the number of outages as defined in the Enabling Ordinance for the prior quarter, identifying separately: (1) each planned outage, the time it occurred, its duration, and the estimated number of Subscribers affected; and (2) each unplanned outage, the time it occurred, its estimated duration, the area and the estimated number of Subscribers affected;
20.1.3 A Franchise fee report showing Gross Revenues received, by category, in a form acceptable to the City such report shall meet the requirement of Section 10; and
20.1.4 A report stating the Subscriber totals for each member of the Joint Powers for: (1) each basic Cable Service tier; (2) each premium Cable Service; (3) pay-per-view, and; (4) any other programming service, information service, or non-programming service.
20.2 Within ninety days after the close of TCI’s fiscal year, TCI shall submit a written annual report, in a form approved by the City, including, but not limited to, the following information:
20.2.1 A summary of the previous year’s activities in the development of the Cable System within the Service Area, including, but not limited to, additions, deletions, or improvements begun or discontinued during the reporting year, services initiated or discontinued, number of Subscribers (including gains or losses), homes passed, and miles of cable distribution plant in service;
20.2.2 An audited financial statement, including, but not limited to, a statement of TCI’s income and profit and loss statement, a statement of financial condition or any other operating statement that shall be certified by an officer of TCI; and
20.3 Unless otherwise specified and within thirty days upon request, TCI shall provide the following documents to the City:
20.3.1 Within thirty days of the date mailed to shareholders or partners, the annual report or reports, if any, of TCI and any Affiliate which controls, owns, or manages TCI;
20.3.2 Copyright filings regarding the operations of the Cable System;
20.3.3 FCC Forms 325 and 395 (or their successor forms) for the Cable System;
20.3.4 FCC proof of performance and RF signal leakage tests (or their equivalent); and
20.3.5 Such other information relevant to regulation of the Franchise which the City shall reasonably request.
20.4 TCI shall file with the City any notice of deficiency, forfeiture, or other document issued by any California or federal agency which has instituted any investigation or civil or criminal proceeding naming the Cable System, TCI, or any Operator of the Cable System, to the extent the same may affect or bear on the operations of the Cable System.
20.5 TCI shall file, within ten days of filing or receipt, with the City any request for protection under bankruptcy laws, or any judgment related to a declaration of bankruptcy by TCI or any Affiliate which owns, controls, or manages or which is owned, controlled or managed by TCI, or any Operator of the Cable System.
H.2. Palo Alto's record-keeping requirements:
SECTION 21. RECORDS MAINTENANCE
21.1 TCI [now Comcast] shall maintain records described below in a form reasonably acceptable to the City. The records shall be kept at TCI’s local office and shall be available for review and copying by the City during normal business hours. Except for the records referred to in Section 21.1.4, copies of records made and retained by the City pursuant to this Section 21 shall be subject to Section 19.2. Records of any event recorded shall be kept for the time frame indicated below:
21.1.1 Records of outages, indicating date, duration, area and the estimated number of Subscribers affected, type of outage, and cause to be maintained for four years, notwithstanding the provisions of Sections 2.10.080(a) and 2.10.110(a) of the Palo Alto Municipal Code;
21.1.2 Records of service calls for repair and maintenance, indicating the date and time that service was requested, the date and time that service was scheduled (if it was scheduled), the date that service was provided, and (if different) the date the problem was solved to be maintained for four years, notwithstanding the provisions of Sections 2.10.080(a) and 2.10.110(a) of the Palo Alto Municipal Code;
21.1.3 Records of installation/reconnection and requests for service extension, indicating the date of request, the date of acknowledgment, and the date and time that service was extended (to be maintained for four years, notwithstanding the provisions of Sections 2.10.080(a) and 2.10.110(a) of the Palo Alto Municipal Code); and
21.1.4 Maps depicting the current location of all of TCI’s Cable System plant in public rights-of-way, including the location of all trunk and feeder lines.
H.3. Austin's Customer Service reporting requirements:
EXHIBIT D
CONSUMER SERVICE REPORTING REQUIREMENTS
All reports shall be provided for the Austin franchise area where the capability exists. Otherwise, system-wide reports are acceptable and shall be deemed to reflect Austin franchise area numbers based on the Allocation Percentage (the number of Franchise Area Subscribers divided by the total system Subscribers).
1. MONTHLY REPORTS
1.1 Monthly reports shall be due within (10) ten business days of the close of each month, unless otherwise agreed upon by the Office of Cable & Regulatory Affairs and the Grantee.
1.2.01 The Grantee shall provide monthly reports to the Director containing a summary of service calls and other complaints by category which shall be agreed to by the Office of Cable & Regulatory Affairs. (Re: Section 5 in Customer Service Standards)
1.2.02 The summary shall include the following:
A. Number of Subscribers in service tier
B. Report total number of service calls by category that were resolved within:
* 48 hours
* 7 calendar days
* more than 30 calendar days
2. QUARTERLY REPORTS
2.101 Quarterly reports shall be due within (10) ten business days of the close of each quarter, unless otherwise agreed upon by the Office of Cable & Regulatory Affairs and the Grantee.
2.102 The Grantee shall provide quarterly reports to the Director containing but not limited to the following information:
A. Telephone Report shall contain information relevant to the question of whether its telephone answering system continues to conform to Section 1.3 of Exhibit A.
1. Total number of calls received for the total system
2. Total number of calls abandoned for the total system
3. Total percentage of calls abandoned
4. Average time on hold before abandoned
5. Average speed of calls answered
6. Percentage of calls answered within thirty (30) seconds (FCC standards)
7. Percentage of calls receiving a busy signal
8. A description of significant events impacting the response times
In addition to the above, the Quarterly Report shall include a graph(s) which depicts the first seven (7) items above for a three (3) year period to end with the quarter in question (beginning with 4th quarter of 1995). FCC standards shall be used as benchmark.
If the Director determines, based on complaints or any other evidence, that the Grantee's telephone service does not meet the standards set forth in Consumer Service Standards, or any variations in those standards previously agreed to by the Director, then the Director has the authority to order the Grantee to take appropriate action to meet such standards. Failure of the Director to issue such order, however, shall not constitute a waiver of the City's rights with respect to any failure by the Grantee to comply with its obligations pursuant to this Exhibit or this Agreement.
B. Number of free standard installations or number of $20 credits that were issued for failure to arrive for installations or service calls by appointment within four-hour scheduled timeframe
C. Number of $10.00 penalty payments given to subscribers for failure to refund outstanding credits greater than $3.00 within 45 days of the date Service is ended
D. Significant Service Interruptions report which shall track information on a monthly basis to include:
1. Total number of significant service interruptions
2. Time of the significant service interruptions
3. Total hours that the system is out of-service as related to planned maintenance or channel line-up changes performed by Grantee
4. Submit reports in graphs as well for comparative analysis
E. Subscriber churn report for total system. The City may request to review at Grantee's office and shall maintain confidentiality of this information.
F. Updated construction schedule for the cable system until the completion of the upgrade
G. INet outage report of the major causes of outages similar to format as the Significant Service Interruptions report, and a one-page summary of the major causes of outages
H. INet upgrade construction schedule until the completion of the upgrade
I. Statement of costs including equipment, maintenance and upgrade related to the INet
J. Grantee shall provide results of any technical testing on the system during the quarter
3. ANNUAL REPORTS
3.1 Annual Reports shall include but not be limited to the following:
A. A list of free cable television service connections pursuant to Section 5 of franchise
B. A cumulative summary of the information submitted to the City in the corresponding quarterly reports.
C. Affirmative action
H. 4. Montgomery County's report and recordkeeping requirement:
11. REPORTS AND RECORDS.
(a) Open Books and Records.
(1) The County shall have the right, upon reasonable notice, to inspect and copy at any time during normal business hours at the County Cable System office or at such location as the County may designate, all books, receipts, maps, plans, financial statements, contracts, service complaint logs, performance test results, records of requests for service, computer records, codes, programs, and disks or other storage media and other like material which the County deems appropriate in order to monitor compliance with the terms of the Cable Law, this Agreement, or applicable law. This includes not only the books and records of the Franchisee, but any books and records the County deems relevant held by an Affiliate, a cable operator of the Cable System, or any person holding any form of management contract for the Cable System. With respect to books and records held by contractors and subcontractors other than entities described in the preceding sentence, the Franchisee shall cooperate with the County and exercise Franchisee's best efforts to obtain access to the books and records. The Franchisee is responsible for collecting the information and producing it at the location specified above.
(2) The Franchisee shall maintain financial records that allow analysis and review of its operations in the Franchise Area.
(3) Access to the Franchisee's records shall not be denied by the Franchisee on the basis that said records contain "proprietary" information. Refusal to provide information required herein to the County shall be grounds for revocation. All such information received by the County shall remain confidential insofar as permitted by the Maryland Public Information Act and other applicable state and federal law.
(4) The Franchisee shall maintain a file of records open to public inspection in accordance with applicable FCC rules and regulations.
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(c) Annual Report. Unless this requirement is waived in whole or in part by the County, no later than 90 days after the end of Franchisee's fiscal year, the Franchisee shall submit a written report to the County, in a form directed by the County, which shall include:
(1) a summary of the previous year's activities in development of the Cable System, including but not limited to descriptions of services begun or dropped, the number of subscribers gained or lost for each category of service, the number of pay units sold, the number of subscribers using converters, the amount collected annually from Users of the System, and the character and extent of the services rendered to such Users, including Leased Access Channel Users;
(2) a summary of complaints, identifying both the number and nature of the complaints received and an explanation of their dispositions, as such records are kept by the Franchisee. Where complaints involve recurrent System problems, the nature of each problem and the corrective measures taken shall be identified.
(3) A report showing the number of service calls received by type during the prior quarter, and the percentage of service calls compared to the Subscriber base by type of complaint.
(4) A report showing the number of outages and service degradations for the prior quarter, and identifying separately each planned outage, the time it occurred, its duration, and the estimated area and number of Subscribers affected; each unplanned outage or service degradation, the time it occurred, its estimated duration and the estimated area and the number of Subscribers affected; and the total hours of outages and service degradations as a percentage of total hours of Cable System operation.
(5) A copy of the Franchisee's rules and regulations applicable to subscribers of the cable system;
(6) An annual statement of Gross Revenues derived from the operation of the Cable System, certified by the Franchisee's Vice President of Accounting or an independent certified public accountant;
(7) No later than 120 days after the end of its fiscal year, the Franchisee shall provide an annual financial report for the previous calendar year, certified by the Franchisee's Vice President of Accounting or an independent certified public accountant, including year-end balance sheet; income statement showing Subscriber revenue from each category of service and every source of non-Subscriber revenue, line item operating expenses, depreciation expense, interest expense, and taxes paid; statement of sources and applications of funds; capital expenditures; and depreciation schedule;
(8) An annual list of officers and members of the Board of Directors or similar controlling body of the Franchisee and any Affiliates;
(9) An organizational chart showing all corporations or partnerships with more than a five (5) percent ownership interest in the Franchisee, and the nature of that ownership interest (limited partner, general partner, preferred shareholder, etc.); and showing the same information for each corporation or partnership that holds such an interest in the corporations or partnerships so identified and so on until the ultimate corporate and partnership interests are identified;
(10) An annual report and SEC 10(k) filing for each entity identified in subsection (9) of this Section that generates such documents;
(11) Unless previously provided, a detailed copy of updated maps depicting the location of all cable plant, showing areas served and locations of all trunk lines and feeder lines in the County, and including changes in all such items for the period covered by the report;
(12) a full schedule of all Subscriber and other user rates, fees and charges;
(13) the Franchisee's policies regarding A/B switches;
(14) the Franchisee's policies regarding Subscriber privacy; and
(15) a summary of programs and statistical results which quantify Franchisee's implementation of nondiscrimination, equal opportunity, and minority business policies as required by the County.
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(f) Records Required.
(1) The Franchisee shall at all times maintain:
(A) Records of all complaints received. The term "complaints" as used herein and throughout this Agreement refers to complaints about any aspect of the Cable System or the Franchisee's operations, including, without limitation, complaints about employee courtesy. Complaints recorded may not be limited to complaints requiring an employee service call.
(B) A full and complete set of plans, records, and "as built" maps showing the exact location of all System equipment installed or in use in the County, exclusive of Subscriber service drops.
(C) Records of outages, indicating date, duration, area, and the number of Subscribers affected, type of outage, and cause.
(D) Records of service calls for repair and maintenance indicating the date and time service was required, the date of acknowledgment and date and time service was scheduled (if it was scheduled), and the date and time service was provided, and (if different) the date and time the problem was solved.
(E) Records of installation/reconnection and requests for service extension, indicating date of request, date of acknowledgment, and the date and time service was extended.
I. Franchise violations: As a last resort (and as a means of adding leverage to the local franchise authority's relationship with the system operator) provisions for addressing franchise violations are a standard part of franchise agreements.
Montgomery County's remedies for franchise violations:
14 (f) Remedies.
(1) If the Franchisee violates any provision of the law or this Franchise Agreement, the County may have one or more of the following actions:
(A) impose liquidated damages in the amount, whether per day, incident, or other measure of violation, as provided in the franchise agreement. Payment of liquidated damages by the Franchisee will not relieve the Franchisee of its obligation to meet the Franchise requirements;
(B) reduce the duration of the Franchisee on any basis the County determines is reasonable and affords the Franchisee reasonable due process;
(C) require the Franchisee to pay its subscribers or classes of subscribers in an amount and on a basis the County determines is necessary to cure the breach or default, or equitably compensate for the violation; or
(D) revoke the Franchise.
(2) In determining which remedy or remedies are appropriate under subsection (1), the County must consider the nature of the violation, the person or persons bearing the impact of the violation, the nature of the remedy required in order to prevent further violations, and any other matters the County determines are appropriate.
(3) In addition to or instead of these remedies, the County may seek legal or equitable relief from any court of competent jurisdiction.
(4) Before initiating a remedy under this section other than revocation of the Franchise, the County must give the Franchisee written notice of the violations claimed and at least 10 working days to correct the violations.
(g) Liquidated Damages: Because the Franchisee's failure to comply with provisions of the Franchise and this Franchise Agreement will result in injury to the County, and because it will be difficult to estimate the extent of such injury, the County and the Franchisee agree to the following liquidated damages for the following violations of the Franchise and of this Agreement, which represent both parties' best estimate of the damages resulting from the specified violation. To maintain that estimate, the parties agree that the liquidated damage amounts are in 1998 dollars and shall be increased each year by the CPI. The County may draw on the Security Fund to recover any liquidated damages.
(1) For failure to submit any required plans indicating expected dates of installation of various parts of the System: $400/day for each day the violation continues;
(2) For failure to substantially complete the System Rebuild, including the timeline of completion, in accordance with this Agreement: $2,000/day for each day the violation continues;
(4) For a Transfer without approval: $2,000/day for each day the violation continues;
(5) For failure to make PEG capacity available; failure to comply with the Institutional Network provisions of the Franchise; failure to construct required links to PEG facilities; or failure to make payments to support PEG or the I-Net under this Agreement: $1,000/day for each day the violation continues, in addition to any monetary payment due under this Agreement or the Cable Law;
(6) For failure to supply information, reports, or filings lawfully required under the Franchise Agreement or applicable law or by the County: $200/day for each day the violation continues;
(7) For violation of customer service standards: $200 per violation;
(8) For failure, unless such failure is beyond the Franchisee's control, of the Emergency Alert System to perform in the event of a public emergency or vital information situation: $250 per occurrence;
(9) For failure to render required payment for reimbursement of any Franchise expenses, or liquidated damages: $100 per day, in addition to any monetary payment due under this Agreement or the Cable Law;
(10) For failure to file, obtain or maintain any required Security Fund in a timely fashion: $50 per day;
(11) For failure to restore damaged property: $50 per day, in addition to the cost of the restoration as required elsewhere herein; and
(12) For violation of technical standards established by the FCC: $100 per day.
I.2. Portland's requirements concerning franchise violations and remedies:
Section 23. FRANCHISE VIOLATIONS AND REMEDIES, EXPIRATION AND RENEWAL
23.1 Remedies for Franchise Violations.
(A) Remedies. In addition to any rights set out elsewhere in this Franchise, or such other rights as it may possess, the Jurisdictions reserve the right at their discretion to apply any of the following remedies, alone or in combination, in the event Grantee violates any material provision of this Franchise. In determining which remedy or remedies are appropriate, the Jurisdictions shall consider the nature of the violation, the Persons burdened by the violation, the nature of the remedy required in order to prevent further violations, and any other matters the Jurisdictions deem appropriate.
(1) Impose reasonable penalties, up to one thousand dollars ($1,000) per day, incident or other measure of violation;
(2) To the extent authorized by law, require Grantee to reduce its rates and charges by such amount or amounts as is reasonable in light of the violation;
(3) To the extent authorized by law, require Grantee to make payments or grant refunds to its Subscribers or Subscriber Classes in such amounts, and on such bases as are reasonable relative to damages sustained by Subscribers, for violations relating to Subscriber service. At Grantee's option, such payments or refunds may be made in the form of a credit against Subscriber service bills. For purposes of this Subsection, "Subscriber Class" means any group of actual or potential Subscribers identified by the Grantee on the basis of specified characteristics for the purpose of providing, marketing or establishing any combination or package of Cable Services, rates or charges, or for the purpose of providing or directing customer services or marketing in any form;
(4) To the extent authorized by law, require Grantee to correct or cure the violation prior to any rate increase becoming effective, or otherwise delay consideration of any rate request until the violation is corrected or cured;
(5) Reduce the duration of the term of this Franchise for the effected Jurisdiction on such basis as is reasonable provided that in no event shall the amount of the term remaining after the reduction be less than three (3) years; or
(6) Revoke this Franchise for the effected Jurisdiction.
(B) Remedies for Delays. In addition to the remedies set forth in Section 23, the Jurisdictions may, at their sole discretion, apply any one or more of the following remedies in connection with material delays in Cable System Upgrade:
(1) Find the Grantee in material violation of this Franchise;
(2) Reduce the duration of the term of this Franchise of the effected Jurisdiction on a month-to-month basis for each month of delay exceeding six (6) months provided that in no event shall the amount of the term remaining after the reduction be less than three (3) years;
(3) Declare a forfeiture of any construction bond required under Section 15.4 for any delay exceeding one (1) year; or
(4) Terminate this Franchise for the effected Jurisdiction for any delay exceeding eighteen (18) months.
(C) In determining which of the foregoing remedies is appropriate, and in the exercise of specific remedies, the Jurisdictions shall consider, among other things, (1) the nature and extent of the violation, (2) whether Grantee has had a history of similar violations, (3) the remedy that can be expected to deter such violations in the future, and (4) the damage suffered by the public and the cost of remedying the violation.
(D) A Jurisdiction also has the right to shorten the term of this Franchise or revoke this Franchise for the effected Jurisdiction in the manner described in Sections 23.1(A)(5) and (6) upon the occurrence of any of the following acts or events:
(1) Grantee is found by a court of competent jurisdiction to have practiced any fraud or deceit upon the Jurisdiction; or
(2) Grantee becomes insolvent or is adjudged to be bankrupt, or otherwise initiates corporate or partnership dissolution; or
(3) Grantee fails to obtain and maintain any permit required by any federal or state regulatory body in order to own and operate the Cable System.
(E) Receivership. In addition to its other rights and remedies as set forth in this Franchise, the Jurisdictions shall have the right to revoke this Franchise one hundred and twenty (120) days after the appointment of a receiver or trustee to take over and conduct the Grantee's business, whether in receivership, reorganization, bankruptcy or other similar action or proceeding, unless such receivership or trusteeship shall have been vacated prior to the expiration of said one hundred and twenty (120) days, or unless:
(1) Within one hundred and twenty (120) days after such appointment, the receiver or trustee shall have fully complied with all provisions of this Franchise and remedied any and all violations or defaults, as approved by the Jurisdictions; and
(2) Within said one hundred and twenty (120) days, such receiver or trustee shall have executed an agreement with the Jurisdictions, duly approved by the Jurisdictions and the court having competent jurisdiction, in which such receiver or trustee assumes and agrees to be bound by each and every provision of this Franchise.
(F) In the event that the Jurisdictions make a preliminary determination that the Grantee has violated this Franchise, the Jurisdictions shall commence a contested case proceeding under the rules adopted by the Jurisdictions. The Jurisdictions' final determination, following a contested case proceeding, may be appealed to a Jurisdiction's governing body. The Jurisdiction's governing body shall consider the appeal based on the record established in the contested case proceeding, under rules established by the Jurisdictions.
23.2 Notice and Opportunity to Cure.
(A) The Jurisdictions shall give Grantee thirty (30) days prior written notice of its intent to exercise any of their rights under Section 23.1, identifying the reasons for such action.
(B) If Grantee removes or otherwise cures the asserted violation constituting the stated reason within the thirty (30) day notice period, or if cure is not reasonably possible within the thirty (30) day period and the Grantee initiates good faith efforts satisfactory to the Jurisdictions within the thirty (30) day period to cure the asserted violation constituting the stated reason and the efforts continue in good faith, the Jurisdictions shall not exercise their rights under Section 23.1.
(C) If Grantee fails to remove or otherwise cure the asserted violation constituting the stated reason within the thirty (30) day notice period, or if the Grantee does not undertake and continue efforts satisfactory to the Jurisdictions to remedy the stated reason, then the Jurisdictions may exercise any or all of the remedies available under Section 23.1 or such other rights as the Jurisdictions may possess.
I.3. Monterey's penalties for any cable operator violations of franchise agreement:
16. REMEDIES -- LIQUIDATED DAMAGES
16.1 Because the Grantee's failure to comply with provisions of this Franchise will result in injury to the City, and because it will be difficult to estimate the extent of such injury, pursuant to Section 22 (Remedies -- Liquidated Damages) of the Enabling Ordinance, the City and the Grantee hereby agree to the following liquidated damages, which represent both parties' best estimate of the damages resulting from the specified injury. Damage amounts may be adjusted throughout term of Franchise by the City by resolution to take into account increases in the Consumer Price Index.
16.2 for failure to complete construction or extend service in accordance with the Franchise: seven hundred fifty dollars ($750) per day for each day the violation continues;
16.3 for failure to comply with material requirements for PEG access use of the cable system: five hundred dollars ($500) per day for each day the violation continues;
16.4 for repeated, willful, or continuing failure to submit reports, maintain records, provide documents or information: two hundred dollars ($200) per day for each day the violation continues; 16.5 for violation of customer service standards: three hundred fifty dollars ($350) per violation per day (for matter of clarification, the liquidated damages that may be assessed under this Section
16.5 are not intended to be computed on a per customer, per violation, per day basis);
16.6 for failure to comply with transfer provisions: five hundred dollars ($500) per day from the date of any unlawful transfer; and
16.7 for all other material violations: five hundred dollars ($500) per day for each day the violation continues.