§ 6-27. Revocation or termination of franchise.  


Latest version.
  • (a)

    A franchise may be revoked by the board because of the franchisee's material failure to construct, operate or maintain the cable system as required by this chapter or the franchise agreement or for any other material violation of this chapter or material breach of the franchise agreement. To invoke the provisions of subsection (a), the county shall give the franchisee written notice, by certified mail at its last known address, that the franchisee is in material violation of this chapter or in material breach of the franchise agreement, and describing the nature of the alleged violation or breach with reasonable specificity. If within thirty (30) calendar days following receipt of such written notice from the county, the franchisee has not cured such violation or breach, or has not commenced corrective action and such corrective action is not being actively and expeditiously pursued, the county may give written notice to the franchisee of its intent to revoke the franchise, stating its reasons.

    (b)

    Prior to revoking a franchise under subsection (a) above, the board shall hold a public hearing upon thirty (30) calendar days notice, at which time the franchisee and the public shall be given an opportunity to be heard. Following the public hearing the board may determine whether to revoke the franchise based on the evidence presented at the hearing, and other evidence of record. If the board determines to revoke a franchise, it shall issue a written decision setting forth the reasons for its decision. A copy of such decision shall be transmitted to the franchisee.

    (c)

    Notwithstanding subsections (a) and (b) hereof, at the option of the county, following a public hearing before the board, any franchise may be revoked one hundred twenty (120) calendar days after an assignment for the benefit of creditors or the appointment of a receiver or trustee to take over the business of the franchisee, whether in a receivership, reorganization, bankruptcy, assignment for the benefit of creditors, or other action or proceeding, unless within that one hundred twenty (120) day period:

    (1)

    Such assignment, receivership or trusteeship has been vacated; or

    (2)

    Such assignee, receiver or trustee has fully complied with the terms and conditions of this chapter and the franchise agreement and has executed an agreement, approved by a court having jurisdiction, assuming and agreeing to be bound by the terms and conditions of this chapter and the franchise agreement.

    (d)

    In the event of foreclosure or other judicial sale of any of the facilities, equipment or property of a franchisee, the county may revoke the franchise, following a public hearing before the board, by serving notice upon the franchisee and the successful bidder at the sale, in which event the franchise and all rights and privileges of the franchise shall be revoked and shall terminate thirty (30) calendar days after serving such notice, unless:

    (1)

    The county has approved the transfer of the franchise to the successful bidder; and

    (2)

    The successful bidder has covenanted and agreed with the county to assume and be bound by the terms and conditions of this chapter and the franchise agreement.

    (e)

    If the county revokes a franchise, or if for any other reason a franchisee abandons, terminates or fails to operate or maintain service to its subscribers, the following procedures and rights are effective:

    (1)

    The county may require the former franchisee to remove its facilities and equipment at the former franchisee's expense. Reasons for removal include, but are not limited to:

    a.

    Abandonment;

    b.

    Termination of franchise;

    c.

    Failure to operate or maintain service to subscribers; or

    d.

    Failure to obtain the proper license, permit or franchise to have facilities located in the streets or public rights-of-way and offer services via those facilities. Failure to obtain a permit to use the cable system for OVS services is reason for county requirement of removal of facilities. If the former franchisee fails to remove the facilities within a reasonable period of time, the county may have the removal done at the former franchisee's and/or surety's expense. This section does not apply to equipment which is leased by the franchisee from a third party.

    (2)

    The county, by decision of the board, may acquire ownership, or effect a transfer, of the cable system at an equitable price subject to the terms of applicable law.

    (3)

    If a cable system is abandoned by a franchisee, the county may sell, assign or transfer all or part of the assets of the system subject to applicable law.

    (f)

    Where the county has issued a franchise specifically conditioned in the franchise agreement upon the completion of construction of a cable system, a system upgrade or other specific obligation by a specified date, failure of the franchisee to complete such construction or upgrade or other obligation shall constitute a material breach of the franchise making it subject to revocation in accordance with the procedures set forth herein, unless the county, at its discretion and for good cause demonstrated by the franchisee, grants an extension of time.

    (g)

    This section shall not be interpreted as a waiver of rights granted by federal law to the county or any franchisee.

(Ord. No. 01-36, § 1, 10-1-01)