AN ORDINANCE GRANTING TO EARL A. HURST, HIS SUCCESSORS AND ASSIGNS, HEREINAFTER REFERRED TO AS “GRANTEE”, FOR A TERM OF 20 YEARS, THE RIGHT, AUTHORITY, POWER AND FRANCHISE TO ESTABLISH, CONSTRUCT, ACQUIRE, MAINTAIN,AND OPERATE A COMMUNITY ANTENNA TELEVISION SYSTEM WITHINTHE CITY OF GOESSEL, KANSAS, TO RENDER, FURNISH, SELL, AND DISTRIBUTE TELEVISION, RADIO, AND ENTERTAINMENT PROGRAMS WITHIN THE CITY AND ENVIRONS HEREOF, AND TO USE AND OCCUPY THE STREETS, ALLEYS, EASEMENTS, AND OTHER PUBLIC PLACES OF THE CITY AS MAY BE NECESSARY TO CONSTRUCT THE SYSTEM.

Section 1. There is hereby granted to Earl A. Hurst for the full term of 20 years from the date hereof, the non-exclusive right, power, authority, and franchise to establish, construct, acquire, maintain, and operate a Community Antenna Television System with the City of Goessel, herein called the city; to render, furnish, sell, and distribute television signals and programs and entertainment for all purposes to the inhabitants of the city and its environs; and to use and occupy the streets, alleys, easements, and other public places of the city as the same now exist or may hereafter exist, for the grantee’s community television system, including the right to enter and construct, erect, locate, relocate, repair, and rebuild in, on, under, along, over, and across the streets, roads, alleys, easements, and other public places of the city all towers, poles, cables, amplifiers, conduits and other facilities owned, leased, or otherwise used by the grantee for the furnishing of a community antenna television service within the city and environs thereof during the continuance of the franchise hereby granted.

Section 2.

(a)   The grantee’s transmission and distribution system poles, wires, and appurtenances shall be located, erected, and maintained so as not to endanger or interfere with any improvements the city may deem proper to make, or to hinder unnecessarily or obstruct the free public use of the streets, roads, alleys, easements, bridges, or other public property. The grantee’s transmission and distribution system shall in no way interfere with other public utilities now in existence and in operation, nor will it interfere with the continued operations of the public utilities.

(b)   The grantee shall have the right to set, erect, install, and maintain his or her own poles for the mounting of his or her amplifiers, cable and appurtenances; provided, that the grantee shall keep and maintain a complete set of maps showing the location of all such poles and that the city shall be provided with a copy of this map; the map to be kept up to date and accurate at all times, such updating to be the responsibility of the grantee; provided further, that grantee shall make every reasonable available effort to utilize existing poles where possible.

(c)   In the maintenance and operation of his or her transmission and distribution system in the streets, roads, alleys, easements, and other public places and in the course of any new construction or addition to his or her facilities, the grantee shall proceed so as to cause the least possible inconvenience to the general public. All excavations shall be properly guarded and protected and shall be replaced and the surface restored in a good condition promptly after completion of such work. The grantee shall at all times comply with any and all rules and regulations which the city has made or makes applying to the public generally with reference to the removal or replacement of pavement and to excavations in the streets, roads, and other public places.

Section 3. The grantee shall have the authority to promulgate such rules, regulations, terms and conditions for his or her business as shall be reasonably necessary to enable the grantee to exercise the rights and perform the services under this franchise, and to assure uninterrupted service to each and all customers. The grantee shall have the right and power to fix, charge, collect and receive reasonable fees for the community antenna television services.

Section 4. The city reserves the right of reasonable regulation of the erection, construction or installation of any facilities by the grantee and to reasonably designate where such facilities are to be placed within the public ways and places.

Section 5. In the event the city shall lawfully elect to change or alter the location or grade of any street, road, alley, easement, or other public place, or change or relocate or replace its utility poles at any time during the existence of this franchise, the grantee shall, upon reasonable notice given by the city, remove, relay and/or relocate any system installation affected by such change at grantee’s expense.

Section 6. Grantee shall, upon the request of any person holding a building or moving permit, temporarily raise or lower his or her wires to permit the moving of building and other structures. The actual and necessary expense of such temporary removal, raising, or lowering of wires shall be paid by the person requesting the same, and the grantee shall be given not less than 48 hour notice to arrange for such temporary changes.

Section 7. Grantee shall have the authority to trim trees upon the overhanging streets, roads, alleys, sidewalks and public places and easements of the city so as to prevent the branches of such trees from coming in contact with the wires, cables, and appurtenances of the grantee, all trimming to be done under the supervision and direction of the city.

Section 8. The grantee shall, at all times during the existence of this franchise be subject to all lawful exercise of the police power by the city and to such reasonable regulations as the city shall hereafter by ordinance or resolution provide.

Section 9. The grantee shall pay to the city, on or before January 201 of each year, a three percent franchise fee based on gross annual subscriber revenues received for cable television operation in the city for the preceding 12 months.

Gross annual subscriber revenue shall consist only of service charges authorized by this franchise, or amendment hereto, but not including installation, pay services, and similar charges. The grantee shall make his or her full books of accounting and records available for inspection by an authorized agent of the city.

No other fee, charge, or consideration shall be imposed. At the time of each payment due hereunder, the grantee shall provide to the city an annual summary report showing gross annual subscriber revenues received during the preceding year.

Section 10. It is expressly understood by and between the grantee and the city that grantee shall defend the city from any claim, demand, or suit whatsoever resulting from the alleged negligence on the part of the grantee in the construction, operation or maintenance of his or her system in the city and shall hold the city harmless from all loss sustained by the city on account of any suit, judgment, execution, claim or demand whatsoever resulting from negligence on the part of the grantee in the construction, operation, or maintenance of his or her system. For this purpose the grantee shall maintain bodily injury liability insurance in an amount not less than $300,000 for any one person and $500,000 for any one accident or injury and property damage liability insurance in an amount not less than $50,000. Upon obtaining such insurance, the grantee shall submit to the city certificates from all companies insuring the grantee showing that the grantee is properly insured for all liabilities as required above and that no such insurance will be canceled or changed except after 30 day notice to the city.

Section 11. The city reserves the right to terminate this agreement and rescind all rights and authorities herein granted for just cause.

Section 12. All ordinances and parts of ordinance in conflict herewith are hereby repealed as of the effective date of this ordinance.

Section 13. All provisions of this ordinance shall be binding upon the grantee and all successors, lessees, and assigns of the grantee whether expressly stated herein or not and all of the rights, powers, authorities, grants and privileges secured by this ordinance to the grantee shall be held to inure to the benefit of the grantee, and all successors, lessees and assigns of the grantee.

Section 14. The grantee may renew the franchise of any additional 20 year term, subject to all provisions of this franchise as amended, in the event that the service provided under the franchise has been reasonable and satisfactorily provided by the franchise.

Section 15. If any portion of this ordinance shall be found to be at variance with the rules and regulations of the Federal Communications Commission, as presently constituted, or as hereafter enacted, this ordinance shall be modified so as to conform with the requirements of the Federal Communications Commission as they pertain to the regulation of a cable television system; and the grantee shall in turn be required to operate under this ordinance as hereafter constituted as it may be redrawn to conform with applicable rules and regulations of the Federal Communications Commission.

Section 16. The grantee shall assume the costs of publication of this franchise as such publication is required by law.

(04-21-88)