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HomeMy WebLinkAboutAgenda Packet - January 10, 1978 - CC I u6 MARTIN J. BURKE PHONE ROYAL M. SORENSEN DWIGHT A.NEWELL 3) 485-0101 JAMES T. BRADSHAW, JR. LAW OFFICES MARK C.ALLEN,JR.RICHARD R.TER2IAN BURKE, WILLIAMS & SORENSEN MARTIN L. BURKE SUITE 3300 HARRY C. WILLIAMS CARL K. NEWTON (1912-1967) J. ROBERT FLANDRICK UNITED CALIFORNIA BANK BUILDING DENNIS P. BURKE 707 WILSHIRE BOULEVARD LELAND C. DOLLEY LOS ANGELES, CALIFORNIA 90017 GEORGE W.WAKEFIELD COLIN LENNARD OF COUNSEL R. MICHAEL WILKINSON BRIAN J. SEERY NEIL F. YEAGER BRIAN A.PIERIK WILLIAM PAUL KANNOW January 10, 1978 W Mayor and Members of the �— City Council r City of Azusa = _ ' 213 East Foothill =. Azusa, CA 91702 y -_ Re: Cable Television Franchise } �J Dear Mayor and City Council Members: I was informed that the City Council directed a question to me at the City Council meeting of January 3, 1978, relative to remedies available to the City under Ordinance No. 1077, when a franchisee failed to comply with the terms of the franchise. Various sections of Ordinance No. 1077, bear upon this problem as follows : Section 14 . 06. 050 provides: "Section 14 . 06. 050. PROMPT PERFORMANCE Time shall be of the essence of any franchise granted hereunder. The grantee shall not be relieved of this obligation to comply promptly with any of the provisions of this title by any failure of the City to enforce prompt compliance. "The grantee shall have no administrative re- course against the City for any loss , cost, expense, or damage arising out of any provision or requirement of this title . " Section 14 . 07. 040 provides: "Section 14 . 07. 040. EXTENSIONS OF TIME Failure on the part of the grantee to commence and diligently pursue each of the requirements of this chapter and to complete Mayor and Members of the City Council Page 2 January 10, 1978 each of said matters , shall be grounds for termination of such franchise; provided, however, that the Council may extend the time for the commencement and completion and construction and installation for addi- tional periods in the event the grantee, acting in good faith, experiences delays by reason of circumstances beyond its control. " Section 14. 04 . 020 provides : "Section 14. 04. 020, TERMINATION Any franchise granted hereunder may be terminated by the Council prior to its date of expiration after a public hearing, held after sixty days notice to the grantee of any such proposed termination, if the Council finds the grantee has failed to com- ply with any condition, limitation, obliga- tion, or provision of this title, or has, by act or omission, violated any term, con- dition or provision of the franchise, permit, or license issued hereunder and has failed after sixty days written notice to completely obviate such default. " Based upon the foregoing provisions of Ordinance No. 1077, it appears that the remedy available to the City Council for failure of the franchisee to perform the obligations of the franchise within the time periods required can be implemented• as follows : 1. The ordinance granting the franchise to the franchisee should be reviewed to determine the time limits established for the performance of various acts by the franchisee such as commencement of construction, completion of construction, commencement of service, etc. 2. If review of the ordinance granting the franchise establishes that the franchisee has failed to substantially meet the time requirement set forth in said ordinance and the time requirement set forth in Ordinance No. 1077 , the Council can order that a sixty day notice be sent to the grantee specifying the failure on the part of the grantee to comply with the terms, conditions , provisions, and obligations of the franchise and in- forming the franchisee that a public hearing will be held at the Mayor and Members of the City Council Page 3 January 10, 1978 end of said sixty day period to determine whether said franchise should be terminated. 3. If prior to the expiration of said sixty day period the franchisee cured the failures specified in the notice of public hearing, then the public hearing could be cancelled. 4. If the franchisee failed to cure the defects noted in the notice of public hearing as of the end of said sixty day period, then the public hearing could be held, evidence could be presented on the part of the City and the franchisee relative to the issue of the failure on the part of the franchisee to meet the terms , conditions, provisions, and obligations of the franchise. 5. The City Council could then consider the evidence presented, make findings of fact relative to the issue, and thereafter either determine to continue the franchise subject to such conditions as it considered appropriate or to terminate the franchise. If you have any further questions relative to this matter, please don' t hesitate to call upon me. Sincerely, 'Ate. CARL K. NEWTON CKN/pkb