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Resolution Number 65-4-12-7W RESOLUTION NO. 65-4-12-7 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN JUAN CAPISTRANO ORDERING PUBLICATION OF NOTICE INVITING BIDS FOR A NON-EXCLUSIVE FRANCHISE FOR THE CONSTRUCTION, INSTALLATION AND OPERATION OF TELEVISION RECEPTION AND TRANSMISSION SYSTEM WHEREAS, pursuant to Section 6001 et seq. of the Public Utilities Code an application has been made to the City Council of the City of San Juan Capistrano, California, by Jack Kent Cook, Inc., dba American Cablevision Co., for a non- exclusive franchise for the construction, installation, operation and maintenance of a television reception and transmission system, along, over, under and across the public streets and highways within the incorporated limits of the City of San Juan Capistrano, California; and WHEREAS, the provisions of law relating to the granting of such franchise require a call for bids therefore; NOW, THEREFORE, BE IT RESOLVED AND ORDERED by the City Council of the City of San Juan Capistrano that on Friday, the 4th day of June, 1965, at 7:30 o'clock P.M. at the Council Chambers of the City Hall, 31762 Camino Capistrano, San Juan Capistrano, California, be and it is hereby fixed as the time and place for the opening of sealed bids for said franchise. BE IT FURTHER RESOLVED AND ORDERED that the Clerk of this Council be and he is hereby authorized and directed to cause a Notice Inviting Bids for such franchise to be published in the Coastline Dispatch, a newspaper of general circulation, printed and published in the City of San Juan Capistrano, one each week for four successive weeks, beginning with the issue of the 14th day of April, 1965. Full publication shall be completed not less than twenty (20) nor more than thirty (30) days before the date herein set for the opening of sealed bids. Said Notice shall be substantiall in the following form, to wit: NOTICE INVITING BIDS FOR A NON-EXCLUSIVE FRANCHISE FOR THE CONSTRUCTION, INSTALLATION AND OPERATION OF A TELE- VISION RECEPTION AND TRANSMISSION SYSTEM NOTICE IS HEREBY GIVEN that an application has been made to the City Council of the City of San Juan Capistrano, California, by Jack Kent Cook, Inc., dba American Cablevision Co., for a franchise as hereinafter described, and it is pro- posed by said City Council to offer for sale and to grant by ordinance, to the highest bidder, a franchise on the terms and conditions hereinafter mentioned. terms: Said franchise is described, and will be granted substantially in the following ORDINANCE NO. AN ORDINANCE OF THE CITY OF SAN JUAN CAPISTRANO, CALIFORNIA, GRANTING TO (Name of successful bidder), M ITS SUCCESSORS AND ASSIGNS, A NON-EXCLUSIVE FRANCHISE TO CONSTRUCT, INSTALL, MAINTAIN AND OPERATE A SYSTEM OF POLES, WIRES, CONDUITS AND APPURTENANCES FOR A COMMUNITY ANTENNA TELEVISION AND FM TRANSMISSION SYSTEM IN, ALONG OR ACROSS, OVER OR UNDER THE PUBLIC STREETS, HIGHWAYS, ALLEYS, PUBLIC PROPERTIES OR PUBLIC EASEMENTS WITHIN SAID CITY OF SAN JUAN CAPISTRANO The City Council of the City of San Juan Capistrano, State of California, does ordain as follows: SECTION 1. The right, privilege, and non-exclusive franchise is hereby granted to (name of successful bidder), its successor and assigns, to construct, install, operate and maintain a television and. FM reception and relay system, to- gether with all wiring, poles and equipment necessary or convenient to transmit television and FM signals by coaxial cable, in, along or across, over or under the public streets, highways, alleys, public properties, or public easements within the incorporated limits of the City of San Juan Capistrano, State of California; provided however, that no poles shall be erected or maintained in any public high- way in which there then exists or is being erected a pole line of any public or private corporation or person engaged in service to the public as a public utility and which pole is reasonably availabel to the Grantee for use pursuant to a pole rental agreement. SECTION 2. The term of this franchise shall commence with the effective date hereof, and continue and remain in full force and effect for a term of twenty-five (25) years, or until such time as Grantee shall surrender or abandon the same, or until said franchise shall be forfeited for noncompliance by the possessor thereof with its terms. SECTION 3. (a) The word "Grantee" wherever used herein shall mean the (name of success- ful bidder), its employees, agents, successors and assigns. (b) The word "City" wherever used herein shall mean the City of San Juan Capistrano, State of California, in its present form or in any later reorganized, consolidated or enlarged form. (c) "Highways" wherever used herein shall mean and include public highways, streets, alleys, roads, ways, or other public places, as the same now or hereafter may be dedicated to the City of San Juan Capistrano for street purposes in said City. (d) "Franchise property" as used herein shall mean all property constructed, installed, operated or maintained, in any public street or highway, or public place pursuant to any right or privilege granted by this franchise. SECTION 4. This ordinance granting said franchise shall take effect thirty (30) days after its passage provided said Grantee shall file with the Clerk of the City of San Juan Capistrano a written acceptance thereof within thirty (30) days after its passage. This franchise and privilege is granted and shall be held and enjoyed only under the provisions and conditions prescribed by law and those con- tained in this ordinance. SECTION 5. All franchise property to be constructed and operated under this franchise shall be built and constructed in a good and workmanlike manner and of good material, and any and all poles or conduits laid, located or maintained under said franchise shall be so placed as not to interfere with the use of said public streets, alleys, or highways for public purposes. In constructing, installing, repairing and maintaining the franchise property, line, poles and conduits, the Grantee shall make and backfill all excavations in such manner and way as to leave the surface of the public street, alley, or highway in as good condition as it was prior to said excavation, as well as to conform to the statutes of the State of California, and ordinances of the City of San Juan Capistrano, including, but not limited to, Article 3, Division 3, Title 6 of the Codified Ordinances of the County of Orange as they now exist or may hereafter be amended. SECTION 6. Whenever any portion of the territory covered by this franchise shall be annexed to, or otherwise become a part of any municipal corporation, or of any other county, or of any other political subdivision of the State of California, the rights reserved under this franchise to the City of San Juan Capistrano, or to any officer thereof, shall inure to the benefits of such municipal corporation or county, and its appropriate officers. SECTION 7. If any construction, installation, or removal of franchise pro- perty is to be done within the public street or highway, the Grantee shall comply with the provisions of Sections 63.031 to 63.0329, inclusive, of the Codified Ordinances of the County of Orange, as they now exist or may hereafter be amended. All overhead facilities authorized pursuant to this franchise shall be constructed in conformance with General Orders of the California Public Utilities Commission, and its rules and regulations now in effect, or any additions or amendements there- to, hereafter adopted. SECTION 8. Grantee shall not sell, transfer or assign this franchise or any of the rights or privileges hereby granted without the prior consent of the City Council, and except by a duly executed instrument in writing filed in the office of the City Clerk of the City of San Juan Capistrano. SECTION 9. The City of San Juan Capistrano reserves the right to improve any highway, street, alley, or other public places, or any portions thereof, over and within which this franchise is granted, including the widening, change of grade, change of alignment, construction or reconstruction of such highway, street or alley, 101 or portion thereof, and there is further reserved to the City of San Juan Capistrano, the right to construct, reconstruct, install, repair and maintain any such highway, street, alley, or other public places, or any portions thereof, any public improvement. If notice in writing is given to the Grantee thirty (30) days in advance of the fact that work is to be done pursuant to any right reserved above in the section, specifying the general nature of the work and the area in which the same is to be performed, then the Grantee shall do all things necessary to protect its franchise property during the progress of such work, and if necessary, the Grantee shall re- locate its franchise property within the highway, street, or alley to such extent, in such manner, and for such period as shall be necessary to permit the performance of such work in an economical manner, and in accordance with the generally recogni- zed engineering and construction methods, and to permit the maintenance, operation and use of such public improvement, highway, street, or alley so improved. All of such things to be done and work to be performed by the Grantee shall be at the sole cost and expense of the Grantee. In the event that the City of San Juan Capistrano, or any public improvement or service district within the City of San Juan Capistrano, shall hereafter construct, install, reconstruct or repair any bridge or artificial support in or underlying any highway, street or alley in which the Grantee's franchise property is located, and in the event that the cost of such work as may reasonably be required is increased in order to provide for the installation, maintenance or operation of Grantee's franchise property in or on the area covered by or underlain by said bridge or other artificial support, the Grantee shall pay to the City of San Juan Capistrano, or district doing such work the full amount of such increase of cost, upon completion of such construction, installation or repair. Any damage done directly or indirectly to any public street, highway, alley or public improvement by the Grantee, in exercising directly or indirectly any right, power or privilege under this franchise, or in performing any duty under or pursuant to the provisions of the ordinance, shall be promptly repaired by said Grantee at its sole cost and expense, to the complete satisfaction of the City. SECTION 10. No franchise property shall be installed, constructed, erected or operated until plans for same are approved and a permit issued by the City Engineer of the City of San Juan Capistrano. The Grantee shall comply with any instructions of the City Council or of said City Engineer with respect to the loca- tion or relocation of any of said franchise property, and shall coordinate the loca- tion or relocation of franchise property with said City Engineer. SECTION 11. The Grantee shall hold the City of San Juan Capistrano, its authorized officers, agents and employees, harmless from and against any and all 102 liability or less resulting from claims for damages by any person arising out of the acts or ommissions of the Grantee, its agents or employees in the performance of any work authorized hereunder. SECTION 12. The wires, cables, poles, equipment, attachments, appurtenances and appliances constructed, erected or maintained and operated under this franchise shall be used for the transmission of television and FM signals from a Master Antenna System operated by the Grantee herein, and not for the transmission of signals or electrical impulses for a subscription television system. SECTION 13. The Grantee, during the life of this franchise, shall keep on file with the Clerk of the City of San Juan Capistrano and maintain in good stand- ing a bond running to the City of San Juan Capistrano from a duly qualified corpor- ate surety in the penal sum of One Thousand. Dollars ($1,000.00) and conditioned that such Grantee shall well and truly observe, fulfill and perform each term and con- dition of this franchise and that in case of any breach of condition, the whole amount of the penal sum herein named shall be deemed to be liquidated damages and shall be recoverable from the principal and sureties upon said bond. Said bond shall be filed by the Grantee with the City Clerk within five (5) days after this franchise is awarded. SECTION 14. The Grantee shall, during the life of this franchise, pay to the City of San Juan Capistrano, in lawful money of the United States, two per cent (2%) of the gross annual receipts of the Grantee arising from the use, operation, or possession of this franchise. Payment of the percentage of gross receipts shall begin at once on the granting of the franchise. The Grantee shall file with the City Clerk of the City of San Juan Capistrano within three (3) months after the expiration of the City's fiscal year, or fractional fiscal year, following the effective date of this ordinance granting this franchise, and within three (3) months after the expiration of each and every fiscal year thereafter, a duly verified statement showing in detail the total gross receipts of said Grantee during the preceding fiscal year, arising from the use, operation or possession of this franchise. Within fifteen (15) days after the time for filing the aforesaid staterw nt, the Grantee shall pay to the City Treasurer of the City of San Juan Capistrano, in lawful money of the United States, the aforesaid two percent (2%) of its gross receipts arising from the use, operation or possession of this franchise during said preceding fiscal year, or such fractional fiscal year. SECTION 15. Any neglect, failure or refusal to comply with any of the con- ditions of this franchise, which neglect, failure or refusal shall continue for more than fifteen (15) days following notice thereof to the Grantee from the City, shall work a forfeiture hereof, and the said City, by its City Council, may there- 103 upon declare this franchise forfeited, and may exclude said Grantee from further use of the public streets, alleys, highways and public places of said under this fran- chise; and said Grantee shall tereupon surrender all rights in and to the same, and this franchise shall be deemed and shall remain null, void and of no effect. Said Grantee shall immediately remove all franchise property from the public streets, alleys, highways and public places of said City at Grantee's sole cost and expense. SECTION 16. That the terms and conditions of this franchise, or any of them, including customer rates and charges, and/or feesdue to the City of San Juan Capis- trano from the Grantee of the franchise, may at any time during the life of the franchise be amended or modified by the City of San Juan Capistrano after notice to the Grantee and hearing. Grantee shall at all times, during the term of the franchise, keep on file with the City Clerk, a correct mailing address for purposes of notice as herein provided. A notice deposited in the United States mail addres- sed to the Grantee, or his assignee, at the address on file, shall constitute sufficient notice for any purpose under the franchise. SECTION 17. The provisions of this franchise and all rights, obligations and duties hereunder shll inure to and be binding upon the Grantee, its successors and assigns. SECTION 18. The City Clerk of the City of San Juan Capistrano shall certify to the adoption of the ordinance granting this franchise and shall, before the expiration of fifteen (15) days after the passage thereof, cause the same to be published once, with the names of the members of the City Council voting for and against the same in the Coastline Dispatch, a newspaper of general circulation printed and published in said City. NOTICE IS FURTHER GIVEN that each bidder shall specify in his bid, the following: 1. (a) I£ an individual, his full name, addresa and duration of residence at such address. (b) If a partnership, the full names and addresses of all the partners, and the duration of their residence at such address. (c) If a corporation, the name of the Corporation and the location of its principle office, together with the names and addresses of the principle officers of such corporation. Z. That the bidder desires the requested franchise for a period of twenty- five (25) years, unless otherwise provided by the terms of the franchise as granted. 3. A general description of the City area for which service will be provided, and the location of the master antenna or antennas proposed to be utilized in exer- cising the proposed franchise. 4. A schedule of the rates and charges bidder proposes to make to each customer, and the frequency of collection. 5. The amount the bidder proposes to pay the City of San Juan Capistrano as consideratinn for the grant of the franchise. Cash or a certified check in said amount payable to the City of San Juan Capistrano shall be included with each bid. 6. Such propositions, terms or conditions as bidder may desire to offer or receive the benefit from an addition to or in conflict with terms and conditions specified in this Notice. BIDDERS ARE FURTHER NOTIFIED that: 1. The award of this franchise may be made by the City Council on the basis of duality or service, rates to the subscribers, income to the City, experience andfinancial responsibility of the applicant plus any other considerations that will safeguard the local public interest, pursuant to Section 53066 of the Govern- ment Code. 2. The City Council reserves the right to reject any and all bids or to waive any irregularities in any bid. 3. If the applicant does not bid for the franchise and the franchise is not awarded to any person, or if the franchise is awarded to the applicant and he fails to :accept it, the applicant shall pay the entire cost of the publication of the Notice of Sale. The amount of money which he deposited shall first be applied and, if insufficient, within thirty (30) days of notice thereof, the applicant shall pay the difference to the City. 4. If the franchise is awarded to a person other than the applicant, such Grantee shall pay all publication costs to the City, and upon such payment, the City shall refund to the applicant the amount which he deposited, minus such portion thereof, if any, already refunded to him. NOTICE IS FURTHER GIVEN that sealed bids in writing will be received for said franchise up to 7:30 o'clock P.M. on the 4th day of June 1965, and at the time above mentioned in the office of the City Clerk of the City of San Juan Capistrano, any and all sealed bids will be opened; and that the franchise will be struck off, sold and awarded to the person, firm or corporation making the highest and best bid therefor; that at the time of the opening of the bids any person, firm or corporation, who to the satisfaction of the City Council is responsible, present or represented, may bid for the franchise a sum not less than ten per cent (10%) above the highest cash bid therefor, and the bid so made may be reaised not less than ten per cent (10%) by any other responsible bidder and the bidding may so con- tinue until the franchise is finally struck off, sold, and awarded to the highest or best responsible bidder therefor in lawful money of the United States. Each sealed bid shall be accompanied with cash or a certified check payable to the Treasurer of the City of San Juan Capistrano, for the full amount of the bid, 105 and no sealed bid shall be considered unless said cash or check is enclosed there- with. Any successful bidder shall deposit at least ten per cent (10%) of the amount of his bid with the City Clerk of the City of San Juan Capistrano before the fran- chise is struck off to him. If such a successful bidder fails to make the deposit immediately, his bid shall not be received, and is void, and the franchise shall then and there be again offered for sale to the next highest or best bidder, subject to the same conditions as above mentioned. This procedure shall be had until the franchise is struck off, sold and awarded to a bidder who makes the necessary deposit of at least ten per cent (10%) of the amount of his bid as provided herein. Any successful bidder shall further deposit with the City Clerk of the City of San Juan Capistrano, within twenty-four (24) hours of acceptance of his bid, the remaining ninety per cent (90%) of the amount thereof. If such bidder fails to deposit said remaining ninety per cent (90%) of his bid with said City Clerk within twenty-four (24) hours after its acceptance, the award to him of the fran- chise shall be set aside, the deposit made by him shall be forfeited, and no further proceedings for a sale of the franchise shall be had unless it is readver- tised and again offered for sale in the manner hereinbefore provided. BE IT FURTHER RESOLVED that Resolution 65-3-8-1 be and it is hereby rescinded. BY ORDER OF THE CITY COUNCIL OF THE CITY PASSED, APPROVED and ADOPTED this 12th ATTEST: City Clerk of the City of San Juan Capistrano STATE OF CALIFORNIA ) COUNTY OF ORANGE ) ss CITY OF SAN JUAN CAPISTRANO ) April, San Juan CALIFORNIA. I, ERNEST A. THOMPSON, City Clerk of the City of San Juan Capistrano, California, hereby certify that the foregoing is a true and correct copy of a resolution of the City Council of said City numbered 65-4-12-7, adopted by the City Council of said City on the 12th day of April, 1965, and was so passed and adopted by the following stated vote, to wit: AYES: COUNCILMEN: CHERMAK, BATHGATE, BUCHHEIM, OLIVARES and DURNFORD NOES: COUNCILMEN: NONE ABSENT: COUNCILMEN: NONE and was thereafter on said day signed and approved by the Mayor of said City. City Clerk of the City of San Juan Capistrano