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Home My WebLink AboutJune 7, 2005'1 ~""'°""o MEETING AGENDA . Arcadia City Council/Redevelopment Agency ~~a and ~. Redevelopment Agency 'om~.,._ _,Ava~ TUESDAY, ]UNE 7, 2005 This agenda contains a summary of each item of business which the Council may discuss or act on at this meeGng. The complete staff report and all other written documentation relatlng to each item on this agenda are on file in the office of the City Clerk and the reference desk at the Arcadia Public Lib2ry and are available for public inspection and review. If you have any questions regarding any matter on the agenda, please call the offce of the City Clerk at (626) 574-5455. In compliance with the Americans with Disabilities Act, if you need special assistance to participate in a City Council meeting, please contact the City Manager's office at (626) 574-5401 at least three (3) business days before the meetlng or time when special services are needed. This notlficadon will help City staff in making reasonabte arrangements to provide you with aaess to the meeting. 5:00 p.m., City Council Chamber Conference Room ROLL CALL AUDIENCE PARTICIPATION -(5 minutes per person) STUDY SESSION a, Discussion and direction concerning the Fiscal Year 2005-2007 Operating Budget, 2005- 2010 Capital Improvement and Equipment Plan, Redevelopment, and water, sewer, and refuse rates. • CLOSED SESSION a. Pursuant to Govemment Code Section 54957.6 to confer about labor contract negotiadons - California Teamsters Public, Professional and Medical Employees' Union 911 (Confidential, Supervisor, Professional and General Employee Unit and Public Works Employee Unit), Arcadia Police Officers' Association, Arcadia Firefghters' Association, and unrepresented employees: Departrnent Heads, Division Managers, Supervisors, and Part-time Employees (Gty Negotiators: Wiiliam W. Floyd and Tracey Hause). b. Pursuant to Government Code Section 54956.9(a) to meet with legal wunsel regarding the pending case of City of Arcadia, et al. v. California Regional Water Control Board, et al. - Los Angeles Superior Court Case No. BS 080548 and Related Case Nos: BS 060753, BS 080758, BS 080791, BS 080792 and 080807. c. Pursuant to Government Code Section 54956.9(a) to meet with legal counsel regarding the case of Marie Vasquez v. City of Arcadia, et al. (Pasadena Superior Court Case No. GC 33374). 7:00 p.m. in the Council Chamber INVOCATION PLEDGEOFALLEGIANCE ROLL CALL • SUPPLEMENTALINFORMATION FROM STAFFREGARDING AGENDAITEMS MOTION TO READ ALL ORDINANCES/RESOLUTiONS BY TITLE ONLY AND WAIVE READING IN FULL PRESENTATIONS ~ a. Presentation of Proclamation to Martin Plourde. b. Presentation of Proclamation declaring Relay for Life Day. c. Presentation of Certificate to Bea Chute for service on behalf of Public Libraries. AUDIENCE PARTICIPATION -(5 minutes per person) REPORTS FROM ELECTED OFFICIALS 1. CONSENT CALENDAR - ARCADIA REDEVELOPMENT AGENCY a. Minutes of the May 17. 2005 Regular Meetina. Recommendation: Approve CONSENT CALENDAR - CITY COUNCIL b. Minutes of the May 17. 2005 Reoular Meetina. Recommendation: Approve c. Renewal of Lxal Emeraencv Proclamation for Winter Storm Damaae. Recommendation: Approve d. Gift of 545.000 from the Friends of the Arcadia Public Librery for uroarams and materials for the Librarv. ~ Recommendation: Accept e. Ordinance No. 2208 - An Ordinance of the Citv Council of the Citv of Arcadia. Celifomia, amending the Arcadia Municipal Code relatino to electrical code regulations and settinga Qublic hearing on July 5. 2005 for consideration of said amendments. Recommendation: Introduce Ordinance No. 2208 and schedule a public hearing. f. Resolution No. 6468 - A Resolution of the Citv Council of the Citv of Arcadia Califomia dedicatinq Lot 3 of Parcel Mao No. 25852 for road purooses allowina access to Lot 2 of Parcel Map 60059 from Winnie Wav and acceot the dedication as set forth in Parcel Mao No. 60059 at 1630 South Santa Anita Avenue. RecommendaGon: Adopt g. Resoiution No 6473 - A Resolution of the Ciri Council of the City of Arcadia California aooointina reoresenqtives to the Indeoendent Cities Risk Manaaement Association (ICRMA). Recommendation: Adopt h. Resolution No. 6476 - A Resolution of the City Council of the Citv of Arcadia. California. designatino an Arcadia CiN Council Member and an Alternate Member to the Governin^ Board of the San Gabriel Valley Countil of Governments. Recommendation: Adopt i. Amendment No. 3 to the~cA reement for Leoal Services between the City of Arcadia and Best Best & Krieaer LLP. Recommendation: Approve ~ :~~ j. Authorize the City Manaaer to enter into an aareement with Los Angeles Countv Flood . Control Distrid for the installation of Catch Basin Trash Excluders Recommendadon: Approve k. Authorize the Citv Manaoer to enter into a contract with Doua Martin Contracting Co Inc in the amount of 5206 746 16 for the 2004-2005 Annual Slurrv Seal Project Recommendation: Approve Acceot all work oertormed bv C J Construction. Inc. for the 2004R005 Concrete Reoair Proiect as comolete and authorize the final oavment to be made in accordance with the contract documents. subiect to a retention of ~24.061 90. Recommendation: Approve m. Authorize the retention of Lewis Events in an amount uo to ffi35 000 00 for servic s relat to the Ci of Arcadia's Julv 4th Celebration. Recommendation: Approve 2. CITY MANAGER a. pMinance No 2206 - An Ordinance of the Gtv Council ofthe Cixy of Arcadia Califomia amendina in its entlretv Chaoter 7 Article VII of the Arcadia Munici~al Code regulatinq ~able. Video. and Telecommunications. Recommendation: Introd uce b. Guidelines for the Arcadia Beautlful and Holidav Decoration Awards. Recommendation: Adopt AD]OURNMENT • The City Council will adjourn this meetlng to June 21, 2005, 6:00 p.m. in the Council Chamber Conference Room. C~ ~' u'~"°~4 ANNOTATED AGENDA ~~~ _ Arcadia City Council/Redevelopment Agency ~ ^em~e o~a,a'' TUESDAY, JUNE 7, 2005 CLOSED SESSION ~ .. a. Pursuant to Government Code Section 54457.fi~to confer about labor contract negotiations ~ CaliFornia Teamsters Public, Professional and Medical Employees' Union 911 (Confdential, Supervisor, Professional and General Employee ~Unit and Public Works Employee Unit), ~Arcadia Police O~cers' Association, Arcadia Firefighters' Association, and unrepresented employees: Department Heads, Division Managers, Supervisors, and Part-time Employees NO REPORTABLE (City Negotiators: William W. Floyd and Tracey Hause). ACTION b. Pursuant to Government Code Section 599569(a) to~meet with legal counsel regarding the AUTHORIZE~ staff to pending case of City of Arcadia, et al. v. Califomia Regional Water Control Board, et al. - pursue appeal of Los Angeles Superior Court Case No. BS 080548~ and Related Case NoS: 85 080753, BS Superior Court 060758, BS 080791, BS 080792 and 080807. .~ Decision (5 - 0) c. Pursuant to Govemment Code Section 59956.9(a) to meet with legal counsel regarding the case of Marie Vasquez v. City of Arcadia, et aL (Pasadena Superior Court Case No. GC NO REPORTABLE 33374). ~ . ACI70N MOTION TO READ ALL ORDINANCES/RESOLUTIONS BY TITLE ONLY AND WAIVE READING IN FULL A modon was made by Council Member seconded.by Council Member and carried without objection to read all ordinances/resolutions by title only and waive reading in full. APPROVED 5- 0 1. CONSENTCALENDAR-ARCADIAREDEVELOPMENTAGENCY a. Minutesof the May ll 2005 Reaular Meeting. ~ APPROVED S- 0 Recommendation: Approve CONSENTCALENDAR-CITYCOUNCIL b. Minutes of ihe Mav 17. 2005 Regufar MeMino APPROVED 5- 0 RecommendaGOn: Approve ~ c. Renewal of Locaf Emeraencv Prodamation for Winter Storm Damagg. APPROVED 5- 0 Recommendation: Approve d. Gift of S45 000 from the Friends of the Arcadia Public Library for oroorams and materials for the Librarv. ~ pPPROVED 5- 0 Recommendation: Aaept e. Ordinance No 2208 - An Ordinance of the CiN Council of the CiN of Arcadia California amendina the Arcadia Muni[ioal Code rela[ina to eledriral code regulations and settina a ~ publi~ hearina on July 5 2005 for consideration of said amendments APPROVED 5- 0 Recommendation: Introduce Ordinance No. 2208 and schedule a public hearing. THIS IfEM WAS PULLED FROM THE AGENDA BY STAFF g. Resolution No 6473 - A Resolution of the Citv Council of the Ciri of Arcadia California . aooointina reoresentative~ r~ rhe Indeoe~dent Cities Risk Managemeot Association (ICRMA). . APPROVED 5 - 0 Recommendation: Adopt Recommendation: Adopt h. Resolution No. 6476 - A Resolution of the CiN Council of the Citv of Artadia California, Q~anating an Arcadia CiN Coundl Member and an Altemate Member to the Govemina Board of the San Gabriel Vallev Council of Governments. APPROVED 5- 0 . Recommendation: Adopt i. Amendment No. 3 to the Aareement for Leaal Services belween the CiN of Arcadia and Best Best & Krieaer LLC. APPROVED 5- 0 Recommendation: Approve j. Authorize the CiN Manaaer to enter into an aareement with Los Angeles CounN Flood Control Distnct for the installation of Catch Basin Trash Excluders APPROVED 5- 0 Recommendation: Approve k. Authorize the CiN Manaaer to enter into a conhact with Doua Martin Con[ractina Co.. Inc. in the amount of 5206.746.16 for the 2004-2005 Annual Slurry Seal Project. , APPROVED 5- 0 Recommendation: Approve - ~ I. Acceot all work oerformed bv C] ConsWCtion. Int. for the 2004/2005 Concrete Reoair Proiect as comolete and authorize the fnal oavment to be made in attordance with the contract documentr, subject to a retention of 824.061.90. APPROVED 5- 0 Rxommendation: Approve m. Authorize the retention of Lewis Events in an amount up to 835.000 00 for services related to the Ci of Arcadia's July 9th Celebration . APPROVED 5- 0 RecommendaUOn: Approve ~ ~ ~ 2. CITY MANAGER a. Ordinance No. 2206 - An Ordinance of the CiN Council of the CiN of Arcadia. California. amending in its entireN Chaoter 7. Artide VII of the Arcadia Municioal Code reaulatina APPROVED 5- 0 as Cable. Video, and Telecommunications amended Recommendation: In Voduce b. Guidelines for the Artadia Beautiful and Holidav Decoration Awards. APPROVED 5- 0 as Rewmmendation: Adopt amended 47:0050 ~^''"°R"~, MINUTES ~ ~ J~ Arcadia City CouncilJRedevelopment Agency r•-~ TUESDAY, )UNE 7, 2005 co m m~ e^n1e~ o[Ke 5:00 p.m., City Council Chamber Conference Room ROLL CALL PRESENT: Council/Agency Members Chandler, Kovacic, Marshall, Segal, and Wuo ABSENT: None AUDIENCE PARTICIPATION -(5 minutes per person) None. STUDY SESSION a, Discussion and direction concerning the Fiscal Year 2005-2007 Operating Budget, 2005- 2010 Capital Improvement and Equipment Plan, Redevelopment, and water, sewer, and refuse rates. Bill Kelly, City Manager, and Tracey Hause, Administrative Services Director, provided the City Council with an update regarding the status of the various city budgets, funds, revenues and expenditures for the upcoming fiscal year; Mr. Kelly also reviewed the impacts presented by the California State budget as well as potential revenue increases that may be realized via upcoming developments; he also reviewed potential impacts of contract negotiations with the various bargaining groups and provided options for the Council to consider for resolving short-term and long-term budget issues. CLOSED SESSION a. Pursuant to Government Code Section 54957.6 to confer about labor contract ~egotiations California Teamsters Public, Professional and Medical Employees' Union 911 (Confdential, Supervisor, Professional and General Employee Unit and Public Works Employee Unit), Arcadia Police Officers' Association, Arcadia Firefighters' Association, and unrepresented employees: Department Heads, Division Managers, Supervisors, and Part-time Employees (City Negotiators: William W. Floyd and Tracey Hause). b. Pursuant to Government Code Section 54956.9(a) to meet with legal counsel regarding the pending wse of City of Arcadia, et al. v. California Regional Water Control Board, et al. - Los Mgeles Superior Court Case No. BS 080548 and Related Case Noes: BS 080753, BS 080758, BS 080791, BS 080792 and 080807. c. Pursuant to Government Code Section 54956.9(a) to meet with legal counsel regarding the case af Marie Vasquez v. City of Arcadia, et aL (Pasadena Superior Court Case No. GC 33374). 06-07-05 ~ 47:0051 7:00 p.m. in the Council Chamber INVOCATION Reverend Dodor Robert Carter, Arcadia Congregational Church PLEDGE OF ALLEGIANCE Yvonne Rosas-Petty, Arcadia Relay for Life ROLL CALL PRESENT: Council/Agency Members Chandler, Kovacic, Marshall, Segal, and Wuo ABSENT: Nane SUPPLEMENTAL INFORMATION FROM STAFF REGARDING AGENDA ITEMS Bill Kelly, City Manager, reported that staff requested removing item 1. f. from the consent calendar and to allow representatives from the Arcadia Beautiful Commission to address the Council during item 2.b. on the City Manager Reports section of the agenda. REPORT FROM CLOSED SESSION Steve Deistch, City Attorney, noted that during tonighYs budget Study session the City Council took the following action: report and recommendation regarding water rates - note and file; report and recommendation regarding sewer rates - note and file; Residential Refuse and Recycling Rate - the Cty Council unanimously voted to direct the Public Works Services Department to conduct a public hearing at the June 21, 2005 meedng and prepare a Resolution authorizing the proposed refuse rate schedule for fiscal Year 2005- 2006 for presentation to the Ciry Council. Mr. Deitsch reported .that the City Council took no reportable action on items a. and c. during tonight's Closed Session. Regarding item b., the City Council unanimously direc[ed staff to have the City of Arcadia participate in an appeal of a Los Angeles Superior Court case with respect to the City of Arcadia versus the California Regional Water Control Board. MOTION TO READ ALL ORDINANCES/RESOLUTIONS BY TITLE ONLY AND WAIVE READING IN FULL A motion was made by Council Member Chandler, seconded by Council Member Segal and carried without objection to read all ordinances/resolutions by dtle only and waive reading in full. PRESENTATIONS a. Presentation of Proclamation to Martin Plourde. b. Presentation of Proclamation declaring Relay for Life Day. c. Presentation of Certifcate to Bea Chute for service on behalf of Public Libraries. AUDIENCE PARTICIPATION -(5 minutes per person) Pete Ulrich. Arcadia resident, appeared to speak regarding his pleasant experience volunteering as a member of the Arcadia Library Board of Trustees. Mercedes 0'Brvant, appeared to express her concem regarding door-to-door peddlers in Arcadia. 06-07-05 s araasz REPORTS FROM ELECTED OFFICIALS MARSHALL Spoke regarding door-to-door solicitors; noted the Household Hazardous Waste Round Up and the City's upcoming 4th of July festivities. SEGAL Congratulated Martin Plourde for his achievements as Arcadia High School's Principal. CHANDLER Congratulated Martin Plourde for his achievements as Arcadia High School's Principal. KOVACIC Congratulated Martin Plourde, Bea Chute, and Peter Ulrich for their service to the Arcadia community; encouraged residents to volunteer at the Library; congratulated Arcadia High School graduate Andrew Segal; thanked Police Chief Hinig for his years of service to the Arcadia Police Departrnent; noted the upcoming Arcadia Chinese Association event. WUO Thanked Council Member Segal for his donation to the American Cancer Society Relay for Life, noted his attendance at various events throughout the City including a luncheo~ honoring the Senior Citizens of the Year, the Memorial Day Ceremony at Los Angeles County Park, and the "Seniors on the Move" Event hosted by Supervisor Mike Antonovich; he encouraged all members of the community to participate in the upcoming American Cancer Society's Relay for Life. BARROWS None. 1. CONSENT CALENDAR - ARCADIA REDEVELOPMENT AGENCY a. Minutes of the Mav 17. 2005 Regular Meetina. Recommendation: Approve MOTION A modon was made 6y Agency Member Chandler, seconded by Agency Member Segal and carried on roll call vote to approve the ARA Consent Calendar. ROLL CALL Ayes: Agency Members Chandler, Kovacic, Marshall, Segal, and Wuo Noes: None CONSENT CALENDAR - CITY COUNCIL b. Minutes of the May 17 2005 Reaular Meeting Recommendation: Approve c. Renewal of Local Emeraencv Pr clamation for Winter Storm Damaoe Recommendation: Approve d. Gift of ~45 000 from the Friends of the Arcadia Public Librarv for oroarams and materials for the Librarv. Recommendation: Accept e. Orciinance No 2208 - An Ordinance of the Ciri Council of the CiN of Arcadia, California, amendinq the Arcadia Municipal Code relatina to electrical code requlations and settina a oublic hearino on Julv 5 2005 for consideration of said amendments Recommendation: Introduce Ordinance No. 2208 and schedule a public hearing. 06-07-05 a~:ooss f. Resolution No. 6468 - A Resolution of the Citv Council of the Citv of Arcadia Califomia, dedicatinq Lot 3 of Parcel Mao No. 25852 for road ourposes allowinq access to Lot 2 of Parcel Mao 60059 from Winnie Wav and accept the dedication as set forth in Parcel Mao No. 60059 at 1630 South Santa Anita Avenue. Recommendation: Adopt g. Resolution No 6473 - A Resolution of the City Council of the City of Arcadia. California. aooointinq re~resentatives to the Indeoendent Cities Risk Manaaement Association (ICRMAI. Recommendation: Adopt h. RPColution No 6476 - A Resolution of the Citv Council of the Citv of Arcadia. California. desiqnatina an Arcadia Cit~ouncil Member and an Alternate Member to the Govemina Board of the San Gabriel Vallev Council of Governments. Recommendation: Adopt i. Amendment No 3 to the Aqreement for Leaal Services between the City of Arcadia and 8est Best & Krieaer LLP. Recommendation: Approve j. Authorize the Citv Manaaer to enter into an aqreement with Los Anaeles CountkFlood Control Distrid for the installation of Catch Basin Trash 6ccluders. Recommendation: Approve k. Approve Acceot all work oerformed bv C J Construction Inc for the 2004/2005 Concrete Reoair Proiect as com~lete and authorize the final oavment to be made in accordance with the contract documents. subiect to a retention of $24.061 90. Recommendation: Approve m. Authorize the retention of Lewis Events in an amount uo to $35 000 00 for services related to the Cilv of Arcadia's Julv 4th Celebratioa, Recommendation: Approve MOTION A motion was made by Council Member Chandler, seconded by Council Member Segal, and carried on roll call vote to approve the City Council Consent Calendar. Roll Call Ayes: Council/Agency Member Chandler, Kovacic, Marshall, Segal, and Wuo Noes: None Z. CITY MANAGER a. Ordinance No 2206 - An Ordinance of the CiN Council of the Citv of Arcadia. California, amending in its entiretv Chaoker 7 Articie VII of the Arcadia Municioal Code, regulatlna Cable Video and Telecommunications Recom mendation: Introduce 06-07-OS ~ 47:0054 Mr. Deitsch provided background detail regarding this matter; he reported that the City is currently invoived in separate matters involving both of its two cable television providers, Adelphia and Atlrio; Altrio has recently announced an asset sale to Champion Broadbank LLC; Champion is in the process of appiying for a new franchise; Adelphia announced its intention to reorganize underfederal bankruptty protection; due to the many changes in technology and in state and federal laws during the past twenty years, City staff believe that it is necessary to recommend the adoptioin of new governing policies for cable television, open video systems, and multichannel video prog2mming providers that use the public rights of way; tonight's proposed Ordinance sets forth upgraded policies which address new technologies; Mr. Deitsch further noted that the recommended ordinance would likely have a positive firscal impact upon the City insofar as it provides for a method by which the City may grant franchises and which franchises would require a franchise fee to be paid to the City for the use of the City's riphts of way. Several Council Members noted the obtrusiveness of cable hardware on private property and the public rights of way and requested information on whether the City had any authority within the scope of the proposed franchise ordinance to require the franchisee to underground or bear the cost of undergounding obtrusive hardware; Mr. Deistch responded that the proposed Ordinance grants the City the authority to govern the franchisee to the fullest extent allowed possible by the law, however,, that this authority does not extend to mandatorv underaroundina or cost-bearina exceot where other utilities MOTION A motion was made by Council Member Marshall, sewnded by Council Member Segal, and carried on roll call vote to introduce Ordinance No. 2206, as revised, an Ordinance of the City Council of the City of Arcadia, Califomia, amending in its entirety Chapter 7, Article VII of the City of Arcadia Municipal Code, regulating cable, video, and telecommunicaUons. Roll Call Ayes: Council/Agency Member Chandler, Kovacic, Marshall, Segal, and Wuo Noes: None b. Guidelines for the Arcadia Beautiful and Holidav Decoration Awards Rxommendatlon: Adopt Mr. Kelly presented staff report; he reported that the Arcadia eeautiful Commission has requested that staff prepare a drak policy that establishes protocols for the Arcadia Beautiful and Holiday Decoration Awards Program; the draft policy includes restricting the winners of the Arcadia Beautiful and Holiday Decoration Awards to once every four (4) years and suggested that every year from 1 to 3 condominiums, apartments, or businesses may be selected for awards. Mr. Bob Hoherd, Chairman of the Arcadia Beautiful Commission, appeared to speak on this item; his comments included increasing the number of "honorable mention" certiflcates for the oroaram. MOTION A motion was made by Council Member Segal, seconded by Council Member Kovacic and carried on roll call vote to adopt the Arcadia Beautiful and Holiday Decoration Award Guidelines as outlined and dired staff to place such standards and guidelines into a document that explains the program. In addition, the program will award up to 14 single- family residential winners, up to 21 honorable mention awards, and up to 2 commercial, business, or multi-family residence awards on an annual basis. 5 06-07-05 47:0055 Roll Call Ayes: Council/Agency Member Chandler, Kovacic, Marshall, Segal, and Wuo Noes: None AD70URNMENT Noting no further business, at 8:45 p.m. the City Council adjourned this meeting to ]une 21, 2005, 6:00 p.m. in the Council Chamber Conference Room. James H. Barrows, City Clerk V~~~~ 8y: Vida Tolman Chief Deputy City Clerk, Records Manager 6 os-o~-oa ~ ., ,..~,. . •.~m ~,irn ' . °~~a,~y~S~°'`' STAFF REPORT Public Works Services Department ~J June 7, 2005 TO: Mayor and City Council FROM: Pat Malloy, Public WorksBervices Director~ Prepared By: Tom Tait, Field Services Man er SUBJECT: REPORT AND RECOMMENDATION REGARDING WATER RATES SUMMARY Based upon the Public Works Services DepartmenYs proposed Operating Budget for fiscal year 2005-06, the Water Master Pian and an analysis of a ten-year projection of the water fund balance, staff is not recommending a rate adjustment for a second consecutive year. BACKGROUND It has been City Council's policy to have staff project future infrastructure and financiai needs to operate and maintain a reliable water system. This policy allows the City to. generate necessary funding through smaller rate adjustments on an annual basis as opposed to larger adjustments at less frequent intervals. The City's water system was last evaluated during an update of the Water Master Plan that was approved by the City Council in 2001. The Water Master Plan update incorporates the results from the U.S. Army Corps of Engineers study, in addition to making recommendations for other required improvements to the water system. To date, the City has improved most of its major water system facilities including new production welis, improved booster stations, and new and seismically retrofitted water storage reservoirs. As a result, with #he completion of next year's capital improvement program we will have completed the major water facilities identified in our Water Master Plan and in the Seismic Reliability Study. The results of these improvements will not only ensure that daily system demands are met, but will ensure adequate protection following a natural disaster. Exhibit "A" shows Water Fund balances with no rate increase for FY 2005/06 and the foliowing nine years. DISCUSSION Proposed expenditures for the Water Operating Budget for 2005/06 are $7,984,471, about 4.47% more than this year's budget. In preparation of this budget, staff evaluated • each account, and where possible, reduced operation and maintenance expenditures while maintaining the reliability of the water system, complying with water quality standards and retaining the existing level of service. ~~d~ See. a~ Mayor and City Council June 7, 2005 Page 2 The Water Master Plan Update, which was presented.to the City Council in 2001, ~ outlines a Capital Improvement Program (CIP) over a ten (10) year planning horizon. Most of the major improvements have been completed and the remaining smaller, less expensive, projects are replacement of wells, aging water mains and other system improvements. Annual capital expenditures for these projects will be significantly less than past projects and play an important part in keeping our water rates constant for the next year. Also, since 1996/97 the City of Arcadia has received approximately $7,500,000 in Federal funding for water projects, which have essentially supplemented the Water Facilities Replacement Fund. This also played an important role in maintaining our rates at the same level for the next year. As Exhibit "A" shows, Water Fund projections indicate that we will reach the goal of a $20 million reserve by the end of fiscal year 2005/O6. This goal was established by the City's Finance Advisory Committee several years ago and is based on the value of the City's water system, which is estimated at $200 million: Industry standards recommend a ten (10) percent reserve to offset costs in the event of a natural disaster. As depicted in the Water Fund Projections, future projections without rate adjustments show a slight decrease in reserve funds over the next ten years. Annual adjustments may be necessary next year to maintain the $20 million reserve. Also, staff recommends an update to the Water Master Plan in.fiscal year 2006/07. This update should be the basis for future increases in water rates. Based upon the Department's proposed Operating Budget for fiscal year 2005-06, the Water Master Plan and an analysis of a ten-year projection of the water fund balance, ~ staff is not recommending a rate adjustment for the next year. ENVIRONMENTAL IMPACT The water rate is exempt from the requirements of the California Environmental Quality Act as specified in Title 14, Section 15273 of the California Administrative Code. FISCAL IMPACT . There is no fiscal impact to the City. RECOMMENDATION Receive and file this report. Approved by: _ ~"""' William R. Kelly, City Manager PM:TT:MA:dw Attachment - Exhibit "A" • ~ V ~ O N _ ~ ~ ~ m V • ~ ~ ~ ~ ~ ~ ` ~ ~ ~ 0 ~ ~ ~ 3 ~ • K~' ~sJ w S~C{4 ifx' Y# 1 5 ~ZE` 3 ~v : ' : m • ~ ~ ff w~J. } f 4 ~ 7 t r' i .,-,- ' 5 ~ y 6; ~ .. ~ # r s y t° ~ _ : o- ` ~µ i ~ y y} .- rt I 5 `r '~--..+Ar.- ~ ~ ~`~~ ~ ~ ~ ~ ~ h. ., x . ~ , ~. ,_ y ~d ~' ~ ~y G t ~ , f . .. v i ~ f i. > I ~ S ` ~~ 5 M1.._..T^.~ ` t ~i . ,~ .^ ,,~ > ~ q k w i Y ~ ~ % l 4 "~ k -..-.a,-...- ~ I ~ f s a ~ ° ~ v ~, y ~ / d dY ~,` h l' ~ t.N ~ ~ 4;' y .. , , 5~~ ~! Y r~. ~ ., ~ t .~. ~ " i t ~ ~ ~ rn ~ x a ~+.°m° ~~'1^'~„,' T 1 + "' 4 i . ~, k ~ rye~ r ,~~? ~~~~ ~ ~ ---•--..~. f u ': ~ s } a a ~ ' t 5 i- ~ ~ f 3 4 r M1 ' ; _ ..--~- ~~ ~ t r ~ S ~ n~ . . ;I ~ -~ ! . .t S~ d! ` 4 4t.. ! ~ ~ ~~ Y ~m .n ~^(,.~ ~~ . -r :• ~! W Z C~~ ¢ ` ~ ~! m „ " Z ~ !~ ~ ~ Q w .: °~ ;r z ~ W m ~ _ ~ W O ~ L L~ `R-.-r~ - Sp j F~' r Q W s a ~ "_'"..° 8o ~^ I V-~_F `~ .I ` t 'G l K ~ ~ f ~ ~ ~ P~. ~ . 'rC~ Y 1 ~ Y ~u 4 ~~ y~ ~. " r,'! f ~ ~~~~ -'TC f f.i} ~a ~O ~a so 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 o 0 0 0 0 0 0 0 0 0 0 • 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 ~ri ai .~ oi r~ ui ~'i .= oi ~ ~i N N N ~- ~ *- ~ ~- • e..a..w AYUt ~r 1HI e ~ STAFF REPORT Public Works Services Department June 7, 2005 TO: Mayor and City Council FROM: Pat Malloy, Public Works Services Direct ~ Prepared by: Tom Tait, Field Services Manager SUBJECT: REPORT AND RECOMMENDATION REGARDING SEWER RATES SUMMARY Normally, as part of the budget preparation and approval process, staff recommends rate adjustments based on the Sewer Operating Budget and the Capital Improvement Program. This year, staff is recommending that the City. Council defer any adjustment • in rates until late summer or early fall. Deferring this year's rate adjustment will allow staff the additional time necessary to complete this year's update of the Sewer Master Plan. Once the Sewer Master. Plan Update is complete staff will present the results of the Plan Update to the City Council and request appropriate rate adjustments based on a final analysis of the results. DISCUSSION An update to the Sewer Master Plan (Plan) was approved as part of the 2003/04 Capital Improvement Budget and CH2MHill Consulting Engineers was the successful consultant awarded to perform the Project. Currently, staff is in the process of reviewing the Plan and anticipates finalizing the plan this summer. Subsequently, staff wili present the results of the Plan along with the Hydraulic Modeling Report to the City Council late this summer or in early fall. At that time, appropriate sewer rate adjustments, predicated on the Sewer Master Plan's recommendations will be presented to the City Council for review and consideration. The Sewer Master Plan will contain Capital Improvement Projects, operation and maintenance issues and future federal mandates that the City will need to comply with when these regulations are adopted. Based on this information, staff is recommending that the City Council defer any adjustment in rates until late summer or early fall. ~ Mayor and City Council June 7, 2005 Page 2 FISCAL IMPACT There is no fiscal impact to the City at this time. RECOMMENDATION Receive and file this report Approved: ~ William R. Kelly, City Manager PM:TT:MA:dw ~ ~ u .. Gnv' ....n.~ . . ~...n•.•n+ ' . . M~utf.lbl c°~m~a,~Y~t~°~°' STAFF REPORT Public Works Services Department June 7,20Q5 TO: Mayor and City Council FROM: Pat Malloy, Public Works Services Director Prepared by: Toyasha Black, Management Analyst SUBJECT: RESIDENTIAL REFUSEAND RECYCLING RATE Recommendation: Direct the Public Works Services Department to conduct a public hearing at the June 21, 2005 meeting and prepare a Resolution authorizing the proposed refuse rate schedule for fiscal year 2005106 for presentation to the City Council SUMMARY ~ In accordance with the Residentia! Refuse and Recycling Agreemenf Between the City of Arcadia and Waste Management Colfection and Recyc(ing, lnc., Waste Management has requested that the City Council adjust the service rates for residential refuse/recycling collection to reflect the change in the Consumer Price Index (CPI) for the period of March 2004 to March 2005, and adjust the landfill disposal facility rates based on the previous year's percent change. The impact of this proposed adjustment on a typical single-family household with a standard 90-gallon collection service would be 43 cents, bringing the standard monthly service rate to $14.59, uP from the previous amount of $14.16. This adjustment represents an adjustment of 3.27 percent based on last years CPI and disposal increases. Standard bin service base rates (3-yard bin picked up once per week) for multi-family residences would also be $2.96 a month, bringing the standard monthly collection service rate to $86.66, up from the previous amount of $83.70. This adjustment represents an adjustment of 3.54 percent based on last years CPI and disposal increases. Staff is recommending that the City Council review the proposed rate schedule (Exhibit "A") and direct staff to prepare a report for a public hearing at the June 21, 2005 meeting and prepare a Resolution authorizing the proposed refuse rate schedule for ~ fiscal year 2005/06. Mayor and City Council June 7, 2005 Page 2 Waste ManagemenYs request for this year's refuse service rate adjustment was received by the City Manager's Office on April 26, 20o5, per the terms of the Agreement. Rate adjustments are based on changes in the CPI and disposal fees. The actual March-to-March change in the CPI is 4.0 percent. However, Waste ManagemenYs request was calculated per the formula provided in the Agreement (see Table One). The CPI changes were measured from March 2004 to March 2005 and are specific to the Los Angeles-Riverside-Orange County.statistical area in accordance with the Agreement. The Disposal Facility rate adjustment is also based on the March 2004 to March 2005 use. Sinqle-Familv Refuse Rate The impact of this proposed adjustment on a typical single-family household with a standard 90-gallon collection service will be a CPI/disposal adjustment of 3.27 percent or .43 cents, bringing the standard monthly senrice rate to $14.59, up from the previous amount of $14.16. ~ Table One: Disoosal Rate Increase Calculation for SINGLE-FAMILY RESIDENTS Cost Component Year 1 Year 2 % Change Weight Product (%) CPI 191.5 199.2 4.00% 78% 3.12 Disposal Facility Rate $23.33 $23.49 0.70% 22% 0.15 Total Change 3.27 Multi-Familv Refuse Rate Standard bin service base rates (3-yard bin picked up once per week) for multi-family residences will also be a CPl/disposal adjustment of 3.54 percent or $2.96 a month, bringing the standard monthly collection service rate to $86.28, up from the previous amount of $86.66. Table Two: Disoosal Rate Increase Catculation for MULTI-FAMILY RESIDENTS Cost Component Year 1 Year 2 % Change Weight Product (%) CPI 191.5 199.2 4.00% 78% 3.12 Disposal Facility Rate $37.49 $38.20 1.89% 22°/a 0.42 ~ ~ ~ Total Change 3.54 Mayor and City Council June 7, 2005 • Page 3 The Disposal Facility rate for Multi-Family units is slightly higher than the residential rate because 50% of the refuse stream from these units is dive~ted to a waste transformation facility. The Commerce Refuse-to Energy Facility (CREF), commonly referred to as a Waste-to-Energy Facility incinerates solid waste, transforming it to electricity. This Program significantly contributed to the City's 2Q03 Annual AB 939 diversion rate of 74%. Staff has worked with Waste Management representatives and has thoroughly reviewed and verified all rate adjustment data. Based on WMI's service record and continuing satisfactory performance, staff is in concurrence with their request for rate adjustments as provided for in the Agreement. In May a rate survey (Exhibit "B") was conducted, indicating the City of Arcadia's refuse rates are among the lowest in Los Angeles County even with the proposed rate adjustments. StafF recommends that the City Council review the proposed rate schedule (Exhibit "A") and direct staff to prepare a report for a public hearing at the June 21, 2005 meeting and prepare a Resolution authorizing the proposed refuse rate schedule for fiscal year 2005/06. ENVIRONMENTALIMPACT ~ Refuse rates are exempt from the requirements of the California Environmental Quality Act as specified in Title 14, Section 15273 of the California Administrative Code. FiSCAL iMPACT Residential refuse and recycling collection service rates are a fee-for-service that is paid directly to the contractor by the residential customer. The proposed rates will not impact the City's budget. RECOMMENDATION Direct the Public Works Services Department to conduct a public hearing at the June 21, 2005 meeting and prepare a Resolution authorizing the proposed refuse rate schedule for fiscal year 2005106 for presentation to the City Council. Approved: "--=-' """"~ William R. Kelly, City Manager PM:TB:MA:dw Attachments Exhibit "A" • City of Arcadia Refuse Collection Service Multi-family Base Rate Schedule Number of Bins STAB RATE end size ~ NUMBER OF PICKd1P5 PER-WEEK 1 - 1.5 Yard $61.73 $123.47 $185.21 $246.95 $308.69 $370.42 2-1.5 yard 5112.25 $224.50 E336.74 5448.97 $561.23 5673.48 3- 1.5 yard 5168.37 $336.75 5505.12 3673.50 $841.86 51,01025 4-1.5yard $224.51 $449.01 $673.51 $898.01 $1,122.53 ~ $1,347.02 5-1.5yard $280.62 5561.26 $841.89 $1,122.54 $1,403.17 51,683.80 1- 3 yard $73.55 3136.57 $220.65 $294.20 5367.76 $44~.31 2 • 3 yard $131.32 $273.18 $393.97 $525.28 $656.60 $787.92 3 - 3 yard $189.14 $409.76 5567.37 $756.49 $945.62 $1,134.75 4- 3 yard E246.91 $546.33 E740.71 5987.62 E1,234.53 51.481.43 5- 3 yard E304.71 $682.91 $914.10 $1,218.79 $1,523.50 E~,828.17 1 - 6 yard $137.83 $275.69 $413.52 $551.36 $689.20 $827.05 Number of Bins DISMOUNT RATE and Size ~ NUMBER OF PICK-UPS PER WEEK ~ 7 2 3 4 5 6 1- 1.5 yard E69.60 $139.22 5208.82 5278.43 $348.03 5417.64 2 - 1.5 yard $126.56 $253.12 $379.68 $50625 $632.80 $759.36 3 - 1.5 yard $189.83 $379.66 $569.49 $759.32 $949.15 31.138.96 4- 1.5 yard $253.11 5506.23 $759.33 51,012.43 $1,265.55 E1,518.66 ~ 5 - 1.5 yard $316.40 ' 3632.77 $949.17 $1,265.56 $1,581.95 $1,898.34 1 - 3 yard $82.95 $151.04 5240.33 $320.36 $400.54 $480.64 2- 3 yard 3145.79 5302.04 E437.33 $583.13 $728.90 5874.69 3- 3 yard E211.44 E452.78 5634.32 3845.76 51,057.20 51.268.65 4-3yard $277.09 3604.12 $831.30 $1,108.40 $1,385.51 $1,662.59 5-3yard $342.78 5755.17 $1,028.31 51,371.10 $1,713.87 52,056.64 1- 6 yard $150.89 5301.81 $452.68 $603.57 5754.45 $905.35 Number of Bins STAGE RATE . and Size NUMBER OF PICK-UPS PER WEEK 1 2 3 4 S 8 t - 1.5 yard $76.15 5152.33 $228.49 $304.65 $380.81 $456.97 2- 1.5 yard $138.50 5276.99 $415.49 $553.98 E692.48 5830.97 3- 1.5 yard $207.75 5415.50 $623.25 $830.99 $1.038.74 31,246.49 4 - 1.5 yard $277.00 $554.00 $831.00 $1,108.00 $1,385.02 $1,662.02 5 - 1.5 yard $346.25 $692.49 $1,038.73 $1,384.98 $1,731.23 52,077.48 1- 3 yard 386.66 $164.15 3260.03 L346.70 $433.39 5520.06 2 - 3 yard $160.22 $328.34 $480.64 . $640.86 $801.08 $981.30 3-3yard $233.77 $492.49 $701.31 $935.08 E1,168.84 51,402.60 4-3yard $307.33 $656.66 $921.99 $1,229.33 51.536.65 E1,844.00 5- 3 yard $380.86 $820.82 $1,142.58 E1,523.43 31.904.30 32,285.16 1 - 6 yard $163.81 $327.67 $491.43 $65524 $819.04 $982.86 'Please add the following fees to the rates listed above: ~ Recycling Fee (Reso # 6269) : 2-6 units = $1 .00 per unit 7 or more uni LS =$1.50 per unit A8 939 Fee = $0.30 per unit - ~ Exhibit "A" City of Arcadia Refuse and Recycling Collection Service Single-family 8ase Rate Schedule Single Family Greenwaste Bin Service: Includes one (7) greenwaste bin, one (1) refuse and one (1) recycling container serviced once weekly Curbside Bin Service: Resident rolls bin and containers to their curb and the trash truck drives directly to the container then empties the bin and containe Backyard Bin Service ~ W aste Management enters residents backyard, rolls out their greenw~ bin and refuse/recycling containers to the curb, empties them, then rel them to their original location on the same day. ~ ~ • Exhibit "A" City W Arcadia Rasldentlal Rafuse and Recycling Colleetlon SeMCe Single Famlly Rate Sehedule Effective July 1, 2005 the monthly residenUal refusa and recyGing service rates ara: STANDARO 9ERVICE RATES $ENIOR CRIZEN SERVICE RATES ~ ~ 7001 R Graan Total 20W R Grwn Tolal 9arvka Beae GW Wsste Necyclinp AB Y]9 MoMliy Sarvlu eece GW Wasle RecyUhp AB Y7Y 1bMhly Calepory Rate urb Rsle Chuge Fea Faa Cstepory Itam certe Reb Cherga Pae Rele SInBIeFamlly E9.74 1 57.51 30.76 50.30 $12.33~~SInpleFamily E8.77 1 $1.38 E~.78 E0.30 $N21 Dweltinp.(71 {974 2 32.18 S0.7B 50.30 572.88 Dwepirq.(i) 58.77 2 $1.84 30.78 §0.30 Et779 60 Galbn Can 59.~0 3 32.97 $078 j0.30 ~ j13.73 BO Callon Can jB.77 3 EY.82 50.76 50.30 $72.Q 59.71 9 53.81 $0.78 50.30 31l.19 ~; .~ SB.77 4 {325 S0.]8 50.30 t13.10 EB.71 6 §0.43 E078 f0.S0 ~ ^,y 516.2613d $8.77 5 53.99 f0J8 50.30 {73.8~ Y~ ~ SInpIBFaMIy 512.00 1 57.57 f0.7B f0.30 51~.59 Si(plBFerttily E70.80 1 5138 5078 50.30 5152~ ~~~^0•I~) 512.00 2 52.78 $0.78 $0.30 576.24 ~Dwellinp,~1) E10.80 2 51.94 E0.78 $0.30 573.82 BO Gallon Cen E72.00 3 E2.97 $07B $0.30 E75.88 > x9p ~~lon Can ~ =70.80 3 §2.82 5078 $0.30 E70.50 ~ ' 272.00 4 f3.67 §07B 5030 578,88 0 510.80 4 f3.25 50.78 50.90 515.13 r 512.00 6 50.43 5078 §0.30 $17.61 ~ 570.80 5 {3.99 SO]B 5030 515.87 Slnpla FeMly 800 51.63 . So.00 $0.00 57.B3 IiYSInple Family 60q 18.87 50.00 50.00 56.87 Dweitinp,(tl ~0 Sz7s to.oa Sa.oo 5~78 ~rDwelllnp.Ul ~7 58.98 SD.00 50.00 58.88 Tima Per Can UmcheOuleC Pitlcup AbnWyPer 60p ACOitiorel Cen e0p BIV Aulomeled Colbcean Ser. an caiecnon i Time PN Pv Cen B!1' Atltlitional Cantainer 'BUlky Item PN Sherpe Pmp2m ~ Time Per Can ~~ Umche0ule0 Pkkup ~~ 55.37 $0.00 f0.00 j6.37 ~"MOntl~ryPw 60p S/.83 $0.00 50.00 56.83 EB~~ 50.00 $0.00 $8.63 ~~AOGIGOnalCan BDp 55.97 50.00 50.00 E5.B7 E §32.72 $5.33 $0.30 538.36 ~Bl1'AUloma~etl $28.46 §5.33 $0.30 $35.08 Cdlectlon Ser. .~ 511.77 §000 §0.00 571.77 ~~BlYCOIIeCliOn $10.69 50.00 E0.00 $10.58 i n~re aru Px Cen E17.86 $0.00 $0.00 $17.88 r~Bf/Atltlltlonal E18.07 j0.00 $O.OD $16.07 524.7f 50.00 SO.Oa 52~.71 528.50 Slze-One~wf AECitionaleimeavelaGe E372B Slze-OneGallo Adtlltiora191zesevaiWble Tamponry 3 -Yard Bin Sanka: Thrae Day Renlal {82.55 SBV~DeyRantal SBB.BB Atltlitlonel RetB Pef Dey 54.88 ' 71ds qicinp a071ies unly W reaiGe~ Cat eKCeetl Ne 4lree Bulky Item fAIIeCUone 'BUlky ttem PN 322.Y~ 50.00 50.00 E22.21 Shaipe Propram SZB.50 Slze- One ~uah AGEltlonal atrae aveYable $3728 Slze~ One Caelbn AGtlitlonal stree evaBade Temporary Roll-0X Bln Serlvu: Relee are ~repDYatetl unEertl~e commercWl nonanduaive contrecl • ~J m ~ t ~ W ~ 9 4'ti N ~ ~ cv ~ C ~ ~ ~ L.L O Q N ~ c~ ~ T ~ ~ ~ ~ ~ ~ ~ ~ ° ° ° ° ° ° ° , o o, o, o o o o, m , ~ ~ C' 7 N N ~ E~ EA ~ ~ EA EiR f~T EH L X W ~~ ~''G ,~~, o~ a~ a ra~~~so~ ~ J a,L~pas~J~o!o a ~0 ~°~ J ~~6, ~a ~q ~'9~ `~~ ~~b ~ • `°G.~ ~i~b 0 ~GO~/~~~ a,o ~ ~'~Ga~sa o~~O'9o,`O) ,J~j d~G~ ~/~~ ~G ~~ ~ ~ Gi a ~~ fG0 ~os~ `~ ~L ~~ ~~. `v°A ~'Oi~ ,,~ ~a~~ ~ ~A G a,,'~~6 0~'~°~ s~, ~~ '0 ~i ~ai ~,G'OG~ S o~ s ~~o~ d a,, ~G~A ~~J ~Os ~ O'~',~ oS, 0 0 N ~ ~ ~ d ~ ~ ~ L V ~ m a ~ N V ~ . • f"°°Rp~~T$°-'°°° STAFF REPORT Office of the City Clerk DATE: February 1, 2005 TO: Honorable Mayor and Members of the City Council FROM: ~da Tolman, Chief Deputy City Clerk/Records Manager~~l SUB]ECT: PROCLAMATION OF LOCAL EMERGENCY - __. Recommendation: Renew the Director of Emergency Services issuance of a local emergency proclamation. SUMMARY: Ordinance No. 1432 of the City of Arcadia empowers the Director of Emergenty Services to proclaim the existence or threatened existence of a local emergency when said City is affected or likely to be affected by a public calamity and the City Council is not in session. '• The Director of Emergency Services (Director) of the Ciry of Arcadia found that conditions of extreme peril to the safety of persons and property arose within Arcadia caused by torrential rain, which began on January 8, 2005. The Director signed and issued a local emergency proclamation on January 13, 2005 (see attached). Pursuant to Ordinance No. 1432, Section 2213.2.1., whenever a local emergency is proclaimed by the Director, the ~ty Council shall take action to ratify the proclamation within seven (7) days thereafter or the proclamation shall have no further force or effect. In addition, the City Council must act to renew the proclamation at each of theirsubsequentmeetings until final __ ._ termination of the emergency. At their January 18, 2005 meeting, the City Council acted to approve the local emergency proclamation via Resolution No. 6459, which reads as follows: A RESOLUTION OF THE CI7Y COUNCIL OF THE CITY OF ARCADIA, CALIFORNIA, RATIFYING THE PROCLAMATlON OF 7NE IXISTENCE OF A LOCAL EMERGENCY WITHIN SAID CITY PERTAINING TO THE TORRENTIAL RAIN AND RELATED MATTERS COMMENCING ON JANUARY 8, 2005. RECOMMENDATION: It is stafPs recommendation that the City Council act to renew the local emergency proclamation by again approving Resolution No. 6459. • APPROVED: '^''" '~ ~Iliam R. Kelly, City Manager Page 1 of 1 ( .G. t ~ i CITY OF ARCADIA PROCLAMATION ~ WHEREAS, Ordinance No. 1432 of the City of Arcadia empowers the Duector of Emergency Services to proclaim the existence or threatened existence of a local emergency when said Ciry is affected or likely to be affected by a public calamity and the City Council is not in session, and; WHEREAS, the Director of Emergency Services of the City of Arcadia does hereby find; that condirions of exh-eme peril to the safety of persons and property have arisen within said City caused by torrential rain; wluch began on the 8th day of January, 2005. and; T7~at these conditions aze or aze likely to be beyond the control of the services, personnel, equipment and facilities of said City, and; That the City Council of the City of Arcadia is not in session and cannot immediately be called into session; NOW, TEiEREFORE, IT IS HEREBY PROCLAIMS that a local emergency now exists throughout said City, and; IT IS FURTHER PROCLAIMED AND ORDERED that during the existence of said local • emergency the powers, functions and duties of the emergency organization of the ttris City shall be those prescribed by state law, by ordinances and resolutions of this City, and; that this e emergency proclaznation shall expire in 7 days after issuance unless confirmed and ratified by the goveming body of the City of Arcadia. January 13, 2005 By: IJ.~JJ t~ William R. Kelly City Mana~er/Director of Emergency Services C~ RESOLUTION NO. 6459 ~ A RESOLUTI~N OF TI~ CbTY COUNCIL OF THE CITY OF ARCADIA, CALIFORNIA, RA'TIFI'II~TG TI~ PROCLAMATION OF T~IE EXISTENCE OF A LOCAL EMERGENCY WIT'HIN SAID CITY PERTAINING TO Tf~ TORRENT'IAL RAIN AND RELATED MATTERS COMIvIENCING ON JANUARY 8, 2005 . WHEREAS, Ordinance No. 1432 of the City of Arcadia empowers the Director of Emergency Services to proclaim the elcistence or threatened existence of a local emergency when the City Council is not in session, subject to ratificarion by the City Council witUin seven (7) days; and WI~REAS, conditions of extreme peril to the safety of persons and property have. arisen within this City,. caused torrential rain commencing~ on ~ January 8, 2005, at which rime the City Council was not.in session; and WHEREAS, said City Council does hereby find that the aforesaid conditions. of extreme peril did warrant and necessitate the proclamation of the existence of a local emergency; and , WHEREAS; the Director of Emergency Services did proclaim the existence of a local emergency within said City on the 13`~ day of January, 2005. NOW, THEREFORE, 'TI~ CITY COUNCIL OF TI~ CITY OF ARCADIA, CALIFORNIA, DOES HEREBY FIND, DETERMINE AND RESOLVE AS FOLLOWS: ~ i SECTION L That said local emergency proclamation is hereby ratified and confirmed by the Arcadia City. Council and shall be deemed to continue to e~St until its tenninarion is proclaimed by the City Council of the City of Arcadia, State of Califoinia. SECTION 2. The City Clerk shall certify to the adoption of this Resolution. Passed, apprbved arid adopted this ATTEST: iSl JA ES H. ~~RROl~~S City Clerk APPROVED AS TO FORM: ~.. ~. ~~~~ City Attorney L8th da~i 0 f January ~ 2005. /S/ GARY Ao KO~~CIC Mayor of the City of Arcadia 2 ~ ~ ~. STATE OF CALIFOItNIA ) ~, COUNTY OF LOS ANGELES ) 5S:_ CITY OF ARCADIA ) I, JAlv~5 H. BARROWS, City Clerk of the City of Arcadia, hereby certifies that the foregoing Resolution No. 6459 was passed and actopted by the City Council of the City of Arcadia, signed by the Mayor and attested to by the Ciry Clerk at a regular meeting of said Council~hel~on the 1$th day of January, 2005 and that said Resolution was adopted by the following vote, to wit: AYES: Council Member Chandler, Marshall, Segal; Wuo and Kovacic NOES: None ~ ABSENT: None ~l _ee~ ~S kl ~.-.~RO~N~ i er c~of the City of Arcadia 3 n _.. ~ - ~ ~.~..~.. •.n.. s. i~a> ~~~a<<y~t~°~`~ STAFF REPORT Library and Museum Services Department June 7, 2005 TO: Mayor and City Council FROM: Janet Sporleder, Director of Librazy and Museum Services SUBJECT: Gift of $45,000 from the Friends of the Arcadia Public Library for programs and materials for the Library. Recommendation: Accept the donation Summarv: The Friends of the Arcadia Public Library aze offering the Arcadia Public Library a donation of $45,000 for the purchase of books and other materials and for programs for the public at the Library. ~ Discussion: The Friends of the Arcadia Public Library, as part of its ongoing mission to support the Library's goals and objectives, is donating a total of $45,000 to the Library. For many years now, funds from the Friends have been supporting the Summer Reading Program in the Children's Services Division of the Library. The Librazy now offers a Teen Sununer Reading Program as well. This donarion will be used for supplies, entertainers and books for the sunmier programs. Funds will also be used to support other programs throughout the year for children, teens and adults. There is considerable demand in the Library for new audiovisual materials, including books on tape and on CD, music on CD, videos and DVD's. These funds will enable the Library to purchase new audiovisual materials for both the adult and children's collections. Funds will also be used to purchase online databases that will be available to people either in the Library or from their personal computer at home or elsewhere. Subscriptions supported with this donation include Los Angeles Times Online which includes full text articles, Heritage Quest which offers access to genealogy and old census records, Novelist which provides reader's advisory, Grolier Databases for children, and the Statesman's Yearbook, a database of information about each country in the world. All gifts to the Library aze subject to approval by the City Council pursuant to City Charter article VIII section 809 (d). Fiscal Impact: The Library will experience an added $45,000.00 to its hudget allocation. ~ 1 , ~ ~ --; -~- Recommendatiou: Accept the donatibn of $45,000 to the Arcadia Public Library from the Friends of the Arcadia Public Library for the purchase of library materials and for programs for children, teens and adults. ~ Approved by: '~~i William R. Kelly, City Manager • !• i~ . . ~ ~....w ~ e ' A~~~~tS~~I~OI Co~m~altyofN°6`• STAFF REPORT Development Services Department June 7, 2005 TO: Mayor and City Council FROM: Don Penman, Assistant City Manager/Development Services Director~ By: Donna Butler, Community Develo ment Administrator~~p Greg Gerlach, Building Official ~~ SUBJECT: Ordinance No. 2208 amendina the Arcadia Municipal Code relatinq to electrical code repulations and settina a pubiic hearina on Julv 5. 2005 for consideration of said amendments Recommendation: Introduce Ordinance No. 2208 and schedule a public hearing. ~ SUMMARY The Development Services Department is proposing to adopt the 2004 California Electrical Code and the 2003 edition of the International Code Council (ICC) Electrical Code, Administrative Provisions, in order to bring the City's electrical regulations into compliance with state law. Staff is proposing to adopt the 2004 California Code without any technical changes and adopt the ICC Electrical Code, Administrative Provisions, with minor administrative changes. Staff is recommending that the City Council introduce Ordinance No. 2208 to amend the Arcadia Municipal Code and schedule a public hearing on July 5, 2005. BACKGROUND The City's current electrical code is the 2001 California Electrical Code. Also, the City adopted the Uniform Administrative Code Provisions for the National Electrical Code, 1996 edition, as the administrative regulations for the 2001 California Electrical Code. Both codes were adopted into the Municipal Code on November 5, 2002 by Ordinance Number 2167. Ordin~nce 2208 ~ Page 1 of 3 June 7, 2Q05 ` . ~_. . DISCUSSION ~ In the past, the state adopted the building code, mechanical code, plumbing code, conservation code and the housing code concurrently with the electrical code. The state's code review and adoption process has been slowed because of a prolonged debate at the state level about what building and safety codes are appropriate for California and only the electrical code is ready for adoption at this time. The 2004 California Electrical Code was published by the State of California on February 2, 2005. The state requires that the City either adopt the code or enforce the code by default within six months of the code's publication date. Therefore, the mandatory enforcement date is August 1, 2005. Staff is proposing to adopt the state code without any technical changes or amendments. In addition to adopting the state electrical code, staff is proposing to adopt the 2003 edition of ICC Electrical Code, Administrative Provisions, Chapter 1-10 and 13, as the administrative regulations for the 2004 California Electrical Code. Also, some minor revisions to the administrative sections are proposed in order to keep the administrative regulations consistent with the City's other building and safety codes. FISCAL IMPACT The adoption of the codes and amendments will have no fiscal impact on the City. PROCESS OF CODE CHANGES ~ Adoption and changes to the electrical code requires a different process under the law _ than other types of code adoptions or code changes. For the electrical code, the first step in.the process is the introduction and the first reading of the ordinance followed by the scheduling of a future public hearing to adopt the ordinance. Notice of the future pubiic hearing must be published twice in a newspaper of general circulation not less than twenty (20) days after the introduction and first reading of the ordinance. If the City Council approves the adoption of the codes with changes at the future meeting, the ordinance will become effective 31 days after adoption. ENVIRONMENTAL REVIEW The proposed amendments to the Arcadia Municipal Code will not have a potential for causing a significant effect on the environment and is, therefore, categorically exempt from CEQA per Sections 15061 (b)(3) and 15378(b)(2). , ~ Ordinance 2208 Page 2 of 3 June 7, 2005 ~ RECOMMENDATION The City Council should: 1. Introduce Ordinance No. 2208, an Ordinance of the City Council of the City of Arcadia, California, amending Chapter 3 of Article VIII of the Arcadia Municipal Code relating to electrical regulations and adopting by reference the 2004 California Electrical Code, including tables and State of California amendments applicable to local jurisdictions, published and adopted by the National Fire Protection Association; and, adopting by reference the 2003 edition of the International Code Council (ICC) Electrical Code, Administrative Provisions, Chapters 1-10 and 13, published and adopted by the International Code Council. 2. Schedule a pubiic hearing on July 5, 2005 to adopt the 2004 California Electrical Code and the 2003 edition of the ICC Electrical Code, Administrative Provisions with amendments. Approved By: r===-~ William R. Kelly, City Manager ~ Attachment: Ordinance 2208 O Ordinance 2208 Page 3 of 3 June 7, 2005 ORDINANCE NO. 2208 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ARCADIA, CALIFORNIA, AMENDING CHAPTER.3 OF ARTICLE VIII OF THE ARCADIA MUNICIPAL CODE RELATING TO ELECTRICAL REGULATIONS AND ADOPTING BY REFERENCE THE 2004 CALIFORNIA ELECTRICAL CODE; INCLUDING TABLES AND STATE OP CALIFORNIA AMENDMENTS APPLICABLE TO LOCAL JURISDICTIONS, PUBLISHED AND ADOPTED BY THE NATIONAL FIRE PROTECTION ASSOCIATION; AND, ADOPTING BY REFERENCE THE 2003 EDITION OF-THE INTERNATIONAL CODE COUNCIL (ICC) ELECTRICAL CODE, ADMII~TISTRATIVE PROVISIONS, CHAPTERS 1-10 AND 13, PUBLISHED AND ADOPTED BY THE IN'TERNATIONAL CODE COUNCIL THE CITY COUNCIL OF THE CITY OF ARCADIA, CALIFORNIA; DOES ORDAIN AS FOLLOWS: ~ SECTION 1. Chapter 3 of Article VIII of the Arcadia Municipal Code is ~ hereby deleted in its entirety. SECTION 2. A new Chapter 3 is hereby added to Article VIII of the Arcadia Municipal Code to read as follows: CHAPTER 3 ELECTRICAL CODE PART 1 ADOPTION 8310 ADOPTION The City Council hereby adopts, by reference, as the electrical regulations for 1 ~ ~ the City the 2004 Califomia Elecirical Code, including tables and State of California amendments applicable to local jurisdictions, published and adopted by the National Fire Protecrion Associarion. 'The code shall govern, regulate and control all of the activities therein referred to and the same is made a part of this Chapter as though set forth in this chapter in full. One (1) copy of said Code is on file in the office of the City Clerk for use and examinarion by the public. PART 2 ADOPTION 8320 ADOPTION ~ Subject to certain changes and amendments as hereinafter set forth in this Chapter, the City Council hereby adopts, by reference, as the administrative regularions for the California Electrical Code the 2003 edirion of the Internarional Code Council (ICC) Electrical Code, Administrarive Provisions, Chapters 1-10 and 13, published and adopted by the Internarional Code Council. The ICC Electrical Code, Administrative Provisions, shall govern, regulate and control all of the activities therein referred to and the same is made a part of this Chapter as though set forth in this Chapter in full. One (1) copy of said code is on file in the office of the City Clerk for use and examination by the public. O 2 ~ PART 3 PURPOSE 8330 PURPOSE The purpose of this code is to provide minimum standards to safeguard life or , limb, health, properiy and public welfare by regulating and controlling the design, constru'ction, quality of materials, erecrion, installation, alterarion, repair, location, relocarion, replacement, addition to, use or maintenance of any electrical system within the City. PART 4 ADDITIONS, DELETIONS ~ AND AMENDMENTS 8340 AMENDMENT, ADDITIONS, AND DELETIONS The ICC Electrical Code, Administrative Provisions, are amended to read as follows: 8340.1 ADDITION Section 304 is added to Chapter 3 of the ICC Electrical Code, Administrative Provisions, to read as follows: 304 Board of Appeals. Appeals of orders, decisions or determinations made 3 • ~ by the Building Official relating to the applicarion and interpretation of this code shall be as specified in the Arcadia Building Code. 8340.2 AMENDMENT Section 402.5 in Chapter 4 of the ICC Electrical Code, Administrative Provisions, is amended to read as follows: 402.5 Expiration of pian review. Applications for which no permit is issued within 180 days following the date of application shall expire by limitation, and plans and other data submitted for review may thereafter be returned to the applicant or destroyed by the Building Official. The Building Official may extend the rime for action by the applicant for a period not exceeding 180 days ~ on written request by the applicant showing that circumstances beyond the control of the applicant have prevented acrion from being taken. An applicarion shall not be extended more than once: In order to renew action on an application after expiration, the applicant sha11 resubmit plans and pay a new plan review fee. 8340.3 AMENDMENT Secrion 403.2 in Chapter 4 of the ICC Elecirical Code, Administrarive Provisions, is amended to read as follows: 403.2 Expiration of permit. Every permit issued by the Building Official A 4 under the provisions of this code shall expire by limitarion and become null and ~ void if the work authorized by such permit is not commenced within 180 days from the date of such pemut, or if the work authorized by such perrnit is suspended or abandoned at any time after the work is commenced for a period of 180 days. Before such work can thereafter be recommenced, a new permit shall be first obtained to do so, and the fee therefor sha11 be one haif the amount required for a new pernut for such work, provided no changes have been made or will be made in the original plans and specification for such work, and provided further that such suspension or abandonment has not exceeded one yeaz. In order to renew action on a pernut after expiration, the permittee shall pay a full new pernut fee. ~ A permittee holding an unexpired permit may apply for an extension of the time within which work may cotnmence under that permit when the permittee is unable to commence work within the time required by this secrion for good and satisfactory reasons. 'The Building Official may extend the time for action by the pernuttee for a period not exceeding 180 days upon written request by the pemuttee showing that circumstances beyond the control of the pernuttee have prevented action from being taken. Permits shall not be extended more than 5 ~ ~ 8340.4 DELETION once. Secrion 403.3 is deleted from Chapter 4 of the ICC Electrical Code, Administrarive Provisions. 8340.5 AMENDMENT Secrion 404.2 in Chapter 4 of the ICC Electrical Code, Administrarive Provisions, is amended to read as follows: 304.1 Plan review and permit fees. A fee for each electrical plan review or electrical permit shall be paid to the City in an amount established by City Council Resolution. ~ 8340.6 AMENDMENT Section 404.3 in Chapter 4 of the ICC Electrical Code, Administrative Provisions, is amended to read as follows: 404.3 Investigation fees: work without a permit. Whenever any work for which a permit is required by this code has been commenced without first obtaining said permit, a special investigarion shall be made before a permit may be issued for such work. An investigation fee, in addition to the pernut fee, shall be collected whether or 0 6 not a pernut is then or subsequently issued. The invesrigation fee shall be equal to the amount of the permit fee required by this code. The payment of such • invesrigarion fee shall not exempt any person from compliance with all other provisions of this code nor any penalty prescribed by law. 8340.7 AMMENDMENT Secrion 404.5 in Chapter 4 of the ICC Electrical Code, Administrative Provisions, is amended to read.as follows: 404.5 Fee refund. The Building Official may authorize refunding of any fee paid hereunder which was erroneously paid or collected. The Building Official may authorize refunding of not more than 80 percent of ~ the permit fee paid when no work has been done under a permit issued in accordance with this code. The Building Official may authorize the refunding of not more than 80 percent of the plan review fee paid when an applicarion for a permit for which a plan review fee has been paid is withdrawn or cancelled before any plan reviewing is done. 7 • The Building Official shall not authorize refunding of any fee paid except on A written application filed by the originai pernutee not later than 180 days after the date of fee payment. 8340.8 ADDITION Secrion 404.6 is added to Chapter 4 of said ICC Electrical Code, Administrarive Provisions, to read as follows. 404.6 Reinspection fee. A reinspecrion fee may be assessed for each inspecrion or reinspecrion whenever work for which inspection is called is not complete ar when corrections called for are not made. A A reinspecrion fee may be assessed when the approved plans are not readily availabie to the inspector, for failure to provide access on the date for which inspecfion is requested, or for deviating from the approved plans. The:work shall not be inspected until a reinspection fee is paid to the City in an amount established by City Council Resolution. 8340.9 ADDITION Secrion 802 is added to Chapter 8 of said ICC Electrical Code, Adminislrative Provisions, to read as follows. ~ 802.0 Release of electrical service. A new electrical service shall not be • approved for connection to the supplying electrical uriliries' system until all applicable laws and City requirements, conditions and ordinances have been complied with unless approved by the Building Official. SECTION 3. The City Clerk shall certify to the adoption of this ordinance and shall cause a copy of the same to be published in the official newspaper of said City within fifteen (15) days after its adoption. Passed, approved and adopted this day of 2005. Mayor of the City of Arcadia ~ ATTEST: City Clerk APPROVED AS TO FORM: C1~~ 1,~~ l'- ~ City Attorney 9 ~ w ~c~R~°oRATID9~~9o O ~ + ~ ~ STAF~ REP RT Development Services Department DATE: June 7, 2005 TO: Mayor and City Council FROM: Don Penman, Assistant City an~ger/Development Services Directo~ Philip A. Wray, City Engineer Prepared By: Tim Kelleher, S~or Engineering Assistant SUBJECT: Adopt Resolution No. 6468 dedicatinq Lot 3 of Parcel Map No. 25852 for road purposes allowinq access to Lot 2 of Rarcel Maq 60059 from Winnie Wav and acceot the dedication as set forth in Parcel Mao No. 60059 at 163o South Santa Anita Avenue Recommendation: Adopt and Accept ~ SUMMARY The Planning Commission approved tentative Parcel Map No. 60059 on August 12, 2003. The subdivision involves subdividing two lots into three lots at 1630 South Santa Anita Avenue and 20 East Camino Real. The developer would like to have the final map approved; however, this will require two separate and distinct actions by the City Councii. There is a required dedication from the developer to the City for which staff is recommending the City Council accept as set forth on the Parcel Map No. 60059. Also staff is recommending that the City Council adopt Resolution No. 6468, which will grant access to Winnie Way from the subject development. Currently, the City owns a strip lot in "fee simple", and legalfy denies access to the developer ot PM 60059 to Winnie Way. This action would change the title for the strip lot to "street purposes" thus granting ingress and egress to Lot 2 of Parcel Map No. 60059. BACKGROUND In 1999, Spring Hill Investments subdivided a single-family residential lot into two lots at 28 East Camino Real. The 28 East Camino Real property extended back to Winnie Way; however, Winnie Way terminated at 28 East Camino Real's easterly property line. Spring Hill Investments was conditioned to construct a cul-de-sac turnaround on their property. The cul-de-sac was constructed; however, due tc geometrical constraints not ~ all of the 12-foot parkway was dedicated ' ~ ~~ ~'~'~h~co.v9 4~ Staff Report Dedication of Parcel Map No. 60059 and Resolutio~ No. 6468 June 7, 2005 ^ Page 2 The Winnie Way extension was a cul-de-sac turnaround, which included not only the standard street improvements, but also sewer extension, water main, and substantial dedication of property. As a result of the Winnie Way extension, two abutting properties at 1702 and 1630 South Santa Anita Avenue gained access to Winnie Way. This access benefited the two properties by providing a second access for potential subdivisions. The original sub divider built the street and incurred all the costs, which greatly benefited the two abutting properties. In 1954, City Council adopted a resolution establishing a method of using a strip of land as a barrier between new street improvements and potentially benefiting lots. The strip of land was dedicated to the City in "fee simple" and the City would then dedicate the strip of land for "street purposes" at such time the benefiting lot paid a fai~ share of the cost to construct the street improvements to the original builder. ~ Spring Hill Investments dedicated Lot 3 of Parcel Map No. 25582 to the City in "fee simple" in 1999. Lot 3 was a one-foot wide lot along the southerljr and westerly boundaries of the Winnie Way extension abutting 1702 and 1630 South Santa Anita Avenue. In 2002, the City dedicated the southerly portion of Lot 3 for "street purposes" after a developer at 1702 South Santa Anita paid an equitable share to Spring Hill • Investments for the Winnie Way extension. At this time, a developer at 1630 is requesting that the City dedicate the remaining westerly portion of Lot 3 so that he may finalize his tentative pa~cel map. DISCUSSION On August 12, 2003, the Planning Commission approved the Tentative Parcel Map application No. 03-016 (Parcel Map No. 60059) to subdivide a single-family residential lot into two lots at 1630 South Santa Anita Avenue. A Condition of Approval for this subdivision was that the developer dedicate a 45-foot radius cut-off for street purposes to maintain a 12-foot parkway on the Winnie Way extension. The subject dedication will complete the missing piece of the 12-foot parkway width around the cul-de-sac. Without access to Winnie Way, the developer's parcel map (PM 60059) will not receive final approval 6ecause one of its lots will be land-locked. The developer has submitted proof to staff that he has paid the original builder, Spring Hill Investments, a fair share for the Winnie Way extension. In accordance with sections 66463(b) and 66477(a) of the State Subdivision Map Act, the City Council must accept or reject any offer to dedicate. The required dedication is shown on the final Parcel Map No. 60059 (copy attached). ~ . ~~ Staff Report Dedication of Parcel Map No. 60059 and Resolution No. 6468 June 7, 2005 Page 3 ~ Staff also requests the City Council adopt Resolution No. 6468, which will give ingress/egress to the Winnie Way extension to the developer at 1630 South Santa Anita Avenue. Currently, the City owns in "fee simple" a portion of Lot 3 of Parcel Map No. 25582, which essentially denies the developer of 1630 access to the Winnie Way extension. Resolution No. 6468 will change the underlying title from "Fee simple" to "road purposes" thus opening the way for this subdivision to proceed. FISCAL IMPACT There is no fiscal impact incurred by the City. RECOMMENDATION That the City Council adopts Resolution No. 6468 dedicating Lot 3 of Parcel Map No. 25852 for road purposes allowing access to Lot 2 of PM 60059 from Winnie Way, and that the City Council accept the dedication as set forth in Parcel Map No. 60059 at 1630 South Santa Anita Avenue. O Approved By: DP:PAW:TOK:pa ~ William R. Kelly, City Manager O' ~ ~ ~ DATE: Ju~e 7, 2005 TO: Mayor and City Council STAFF REPORT Administrative Services Department FROM: Tracey L. Hause, Administrative Services Director By: Michael A. Casalou, Human Resources Administrator ~.._ SUBJECT: Recommendation: Adopt ~ C_~ SUMMARY The City of Arcadia is currently a member of the Independent Cities Risk Management Authority (ICRMA), a Joint Powers Authority of twenty-nine cities that provides risk management programs of insurance to protect its members from the effects of unexpected losses. As a member, each city is required to designate a member of the City Council to represent the City on the Governing Board. Additionally, member cities are entitled to designate an alternate representative, and, if desired, a substitute alternate representative. Staff is recommending the City Council adopt Resolution No. 6473 designating the Mayor as the primary member, Tracey L, Hause, Administrative Services Director, as the aiternate member, and Michael A. Casalou, Human Resources Administrator, as the substitute alternate member. DISCUSSION The City of Arcadia and twenty-eight other cities participate in, and maintain representation on the Independent Cities Risk Management Authority (ICRMA) Governing Board. Each member city must appoint a member of the City Council as the primary representative to the Board. Historically, the City has selected the Mayor as the primary representative to ICRMA. In past years, the actual name of the Mayor was required to be included in the resolution designating the primary representative. As a result, a new resolution was required each time the City Council rotated the Mayor. ICRMA staff have now agreed to allow the position of Mayor to be designated, thus avoiding the need to submit a new resolution each time the City Council rotates the Mayor position. Therefore, if approved, Resolution No. 6473 wili designate the position ~~ ~y Mayor and City Council June 7, 2005 Page 2 ~ of Mayor as the primary ICRMA representative. In addition, staff is recommending that Tracey L. Hause, Administrative Services Director, and Michael A. Casalou, Human Resources Administrator, be designated as altemate and substitute alternate respectively. FlSCAL IMPACT The adoption of Resolution No. 6473 will not have a financial impact on the City's budget. That the City Council adopt Resolution No. 6473, a resolution of the City Council of the City of Arcadia, California, designating the position of Mayor as the primary representative to the Independent Cities Risk Management Authority Governing Board; Tracey L. Hause, Administrative Services Director, as the alternate representative; and Michaet A. Casalou, Human Resources Administrator, as the substitute alternate representative. Approved: ~ ~ William R. Kelly, City Manager ~ __~. RESOLUTION NO. 6473 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARCADIA, CALIFORNIA, APPOINTING A REPRESENTATIVE AND AN ALTERNATE AND SUBSTITUTE ALTERNATE REPRESENTATIVE TO THE GOVERNING BOARD OF THE INDEPENDENT CITIES RISK MANAGEMENT AUTHORITY {ICRMA) WHEREAS, the City of Arcadia is a member of the Independent Cities Risk Management Authority ("ICRMA"), a Joint Powers Authority created pursuant to the provisions of the California Government Code; and WHEREAS, ICRMA provides a Liability Risk Management Program, Property Risk Management Program, Workers' Compensation Risk Management Program, and other programs for its members; and WHEREAS the Joint Powers Agreement provides that the city council of each member city shall appoint a member of the city council as that city's representative to the ICRMA Governing Board and also authorizes the appointment of an alternate ~epresentative and a substitute altemate representative to represent the city's interest in the absence of the city council appointee; and W HEREAS City desires to designate its representative to the ICRMA Goveming Board; NOW, THEREFORE, the City Council of the City of Arcadia does hereby find,.. determine, and declare as follows: SECTION 1. That the Mayor is hereby appointed to serve on the ICRMA Governing Board and to the Risk Management Programs in which this City participa~s. .:. ~., , s ,' ? . . ~ ;~~ ~ 1. ~ . SECTION 2. That Tracey L. Hause is hereby appointed as the alternate, to serve on the ICRMA Governing Board and to the Risk Management Programs in which this City participates in the absence of the primary member noted in Section 1 above. SECTION 3. That Michael A. Casalou is hereby appointed as the substitute alternate, to serve on the ICRMA Goveming Board and to the Risk Management Programs in which this City participates in the absence of the primary and alternate members noted in Sections 1 and 2 above. SECTION 4. That the individuals designated by this City Council as the City's representative, alternate and substitute alternate representatives to the ICRMA Governing Board and to the Risk Management Programs in which this City participates are hereby confirmed and designated as the City's delegates for all purpDSes of representing the City's interests and exercising the authority of the City with respect to the Coverage and the Program and voting on behalf of the City on all matters delegated to the Governing Board and signing such amendments as are contemplated to be approved by the Governing Board. SECTION 5. That a certified copy of this Resolution shall be provided to the General Manager of the ICRMA. SECTION 6. That the City Clerk shall certify to the adoption of this Resolution. z Passed, approved and adopted this 7~' day of June, 2005. Mayor of the City of Arcadia ATTEST: 1S/ JAMES H. ~.~RRO~S City Cierk APPROVED AS TO FORM: c~'~ 0 ' _ _ _' ~' I<~ I~9~,~ City Attorney STATE OF CALIFOItNIA ) COIJNTY OF LOS ANGELE5 ) SS: CTTY OF ARCADIA ) I, JAMES H. BARROWS, City Clerk of the City of Arcadia, hereby certifies that the foregoing Resolution No. 6473 was passed and adopted by the City Council of the City of Arcadia, signed by tlie Mayor and attested to by the City Clerk at a regular meeting of said Council held on the 7th day of June, 2005 and that said Resolution was adopted by the following vote, to wit: AYES: Council Member Chandler, Kovacic, Marshall, Segal and Wuo NOES: None ABSENT: None IS/ JAMES Ho ~.~RRO~S City Clerk of the Ciry of Arcadia 4 O . ; STAFF REPORT Office of the City Manager DATE: June 7, 2005 TO: Mayor and City Council FROM: William R. Kelly, City Manager U~U '~ By: Linda Garcia, Communications, arketing and Special Projects Manager SUBJECT: RESOLUTION N0. 6476 DESIGNATING AN ARCADIA CITY COUNCIL MEMBER AND AN ALTERNATE MEMBER TO THE GOVERNING BOARD OF THE SAN GABRIEL VALLEY COUNCIL OFGOVERNMENTS Recommendation: Adopt A The San Gabriel Valley Council of Governments ("COG") requires that the selection of a Delegate and Alternate Member to their Governing Board be done by resolution. Consistent with the assignments announced at the May 3, 2005 City Council meeting, Resolution No. 6476 designates Mayor John Wuo as the City of Arcadia's Primary Delegate to the COG and Mayor Pro Tem Roger Chandler as the Alternate Delegate. RECOMMENDATION It is recommended that the City Council adopt Resolution No. 6476 designating an Arcadia City Councif Member and Alternate Member to the Governing Board of the San Gabriel Valley Council of Governments. Attachment: Resolution No. 6476 ~ ~~~~ ~~ ,~~ , . RESOLUTION N0. 6476 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARCADIA, CALIFORNIA, DESIGNATING AN ARCADIA CITY COUNCIL IVIEMBER AND AN ALTERNATE MEMBER TO THE GOVERNING BOARD OF THE SAN GABRIEL VALLEY COUNCIL OF GOVERNMENTS WHEREAS, the Arcadia City Council approved the formation of the San Gabriel Valley Council of Govemments; and WHEREAS, the Council of Governments is structured with a Governing Board (policy body) made up of elected officials selected by each member city; and WHEREAS, each member city is requested to designate by resolution a Governing Board Member and an Alternate Governing Board member. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF ARCADIA, CALIFORNIA, DOES HEREBY FIND, DETERMINE AND RESOLVE AS FOLLOWS: SECTION 1. The City Council hereby rescinds Resolution No. 6433 and designates Mayor John Wuo as the Delegate and Mayor Pro Tem Roger Chandler as the Alternate to the San Gabriel Valley Council of Governments. SECTION 2. The City Clerk shall certify to the adoption of this Resolution. - __ 7th June ,20~5. Passed, approved and adopted this _ day of ~~~~~` ~. ~~ Mayor of the City of Arcadia ATTEST: IS/ JAN~ES Ho ~ R~~~ City Clerk of the City of Arcadia APPROVED AS TO FORM: ~=~-~ ~". T~ .~-~.~. City Attorney R,~~ . ,~ ., STATE OF CALIFORNIA ) COLTNTY OF LOS ANGELES ) SS: CITY OF ARCADIA ) I, JAMES H. BARROWS, City Clerk of the City of Arcadia, hereby certifies that the foregoing Resolution No. 6476 was passed and adopted by the City Council of the City of Arcadia, signed by the Mayor and attested to by the City Clerk at a regular meeting of said Council held on the 7th day of June, 2005 and that said Resolution was adopted by the following vote, to wit: AYES: Council Member Chandler, Kovacic, Marshall, Segal and Wuo NOES: None ABSENT: None _~:~;;.._°___-- -~ ~..,.... _-- _ IS~ ~~ ES Ho ~~RRO~'S City Clerk of the City of Arcadia 2 \ iJ Date: June 7. 2005 TO: THE HONORABLE MAYOR AND CITY COUNCIL ' FROM: WILLIAM R. KELLY, CITY MANAGER ~~ BY: LISA MUSSENDEN, LEGAL COORDINATOR ~y~`L SUBJECT: AMENDMENT NO. 3 TO THE AGREEMENT FOR LEGAL SERVICES BETWEEN THE CITY OF ARCADIA AND BEST BEST & KRIEGER LLP RECOMMENDATION: APPROVE SUMMARY The law firm providing City Attorney services to the City of Arcadia, Best Best & ~ Krieger LLP, has requested a rate increase of $5.00 per hour for both Basic and Special Services and future annual cost of living increases. Staff recommends approval of their request. BACKGROUND The law firm of Best Best & Krieger LLP, and in particular, Stephen Deitsch has been providing City Attorney services to the City of Arcadia since November 1999. Best Best & Krieger is proposing an hourly rate increase of $5.00 for both Basic and Special Services effecfive July 1, 2005. The proposed amendment also provides for automaric annual cost of living increase in their rates effective July 1, 2006 and each fiscal year thereafter, provided that any such increase shall not exceed five percent (5%) for any year. If their request is approved, effective July 1, 2005, the rate for Basic Services will be $175.00 per hour and for Special Services the rate will be $185.00 per hour. The annual cap for Basic Services would increase to $133,180.00. All other terms and conditions of the existing Agreement will remain in effect. ~ '~ ~ t • H ~:, ~ Mayor and City Council June 7, 2005 Page 2 Staff believes that the proposed rate increase and future cost of living increases are reasonable and justified, and recommends approval. FISCAL IMPACT If the request for a new hourly rate and future annual cost of living increases is approved, the yearly cap on Basic Services will increase accordingly each fiscal year. ~ RECOMMENDATION It is recommended that the City Council authorize the City Manager to execute Amendment No. 3 to the Agreement for Legal Services between the City of Arcadia and Best Best & Krieger LLP; increasing the hourly rate for legal services and providing for automatic annual cost of living increases effective July 1, 2006, provided that any such increase shall not exceed five percent (5%) for any year. Attachment: Letter from Best Best & Krieger LLP Requesting Rate Increase ~ MHY-lb-G~5 15~Jtl I y y . . a , Y ' ; ~. ~NOian weu.s ~ y t700~ se926 ~ ~ ~ ~ ~ ~ 01RANIo 1pp0) 9Be-B503 , ; p 1 tltDl>!ltSl KK1tUtK ~ 7i77 bCG 1tl3G Y.k71/1~3 ` vr~ ~ .~' ~1 .~ KRIEGER LLP gEST BEST b ~': ~;;P~% , • uuro~HM u.orro u~nKn• .+mwswwn mcwenn mocswww~L w wou~+Gne " :~ LAVJYER3 $Ni00Ef~0 +~. 1 . ~ 3780UNrvERSRVAV~lUE IB197685•t'JCD 5~: ''f POS~ OA1CE BO% I02B ~ - ~ ~ • ,~•. ~~ y;:, qNp~9~pE. (JN,I~pU1N915M•~OLB ro5 ~ 7 68Q-~ a$O Ifls9) E63-ZE00 .'''~ f9517 6Bb90BJ FAx y~ BBItLAW.COM " RM16M10 ' ~sk^I 191 61 326~0000 e . ~ , ' :(;~~iF; $7Ef41fiN P. DEITSCM S~ 195 I ) 826-8204 i , $TEPNEN.D2A79CM~BBKLAK.GOM April 13, 2005 ~ Williazn R Kelly p Ciry Managa ~ City of Arcadia i 240 West Huntlngtan Drive ~, Ascadia, California 9]006 Y Re: proposed Amendment No. 3 to Best Best & Krieger LLP Legal Services ~ ~~eement , ~ Dear Bill: ~ i As we have discussed, Best Best & Krieger LLP seeks to amend our I.e~al Services ' Agreement with the City of Arcedia, as heretofore amended, for the purpose of providing for an i inctease in billing rates equivalcnt m the approximauly thres percent (3%) uicrease in the ~` Consumer Price Index for this geographical area for Calendar Year 2004. Our proposed ' Amendment No. 3 also provides for an automatic aanual cost of living increase ia ow rates ; effective July 1, 2006 and each fiscal year the~eafter, provided that any such increase shell not exceed five percent (59/0) for aay yeaz_ ~ If the proposed Amendment No. 3 is approved by the City Council, then effecGve July 1, ! 2005, our finn's blended hourly rate would increase from $170.00 to $175.00 for "Basic i Services", and fmm SI80.00 to 5185.00 for "Special Serviees", as defined in the Agreement. ~ Our Cap (as deSned in the Ap~reement) farBasic Services would increue accordingly. ~ ±• My ftrm and 1 appreciate the opportunity to provide legal seivices to the City and would welcome any questions which the City Council or you might have concerning this matter. Thank , you for the City's consideration of this request. ~ P Very truly yours, ~ ~~ ' f. Sup6en P. Deiuch ~ of BEST BEST & KRIEGER LLP °. SPA:kam ~ finclosure S. ~~ ~ ~~ RVPUBlSPD1697t39.1 I ~ . - o ~.~.. . ..~..~.:p~ e i STAFF REPORT Public Works Services Department June 7, 2005 TO: Mayor and City Council FROM:. Pat Malloy, Public Works Seroices Directdr~/~~ Prepared by: Tom Tait, Field Services Manager ~ Susannah Turney, _Environmental Services Officer SUBJECT: Installation of Catch Basin Trash Excluders Recommendation: Authorize the City Manager to enter into an Agreement with Los Angeles County Flood Control District for the installation of trash excluders in City owned storm drain catch basins SUMMARY O The City of Arcadia is among the cities of Los Angeles County (County), which drain to the Los Angeles River and are mandated to reduce the amount of trash and debris that enters the River: The City has been approached by the County to participate in a grant program with the California lntegrated Waste Management Board for the installation of "trash excluders" in City-owned catch basins. The function of the trash excluders are to reduce the amount of trash entering municipal storm drains and improve water quality in both downstream rivers and ultimately the ocean. Staff is recommending that the City Council authorize the City Manager to enter into an agreement with the Los Angeles County Flood Control District, to participate in a California lntegrated Waste Management Board grant program, for the installation of catch basin trash excluders. DISCUSSION The City of Arcadia is one of 43 cities that make up the Los Angeles River Watershed. In September of 2001, the cities of this watershed were issued a Total Maximum Daily Load (TMDL) for the reduction of the amount of trash discharged from cities into the storm drain system. This TMDL was contested by a number of affected cities through several lawsuits, including the City of Arcadia, as a member of the Coalition for Practical Regulation (CPR). Currently, both the State and Federal Trash TMDL lawsuits are on O appeat, with the State's case set to be heard later this year and a ruling to be handed down mid to late summer for the Federal suit. 1t; µ Mayor and City Council June 7, 2005 Page 2 The cities of CPR are continuing to litigate, seeking to secure additional consideration from the Regional Board. The cities are fully aware that we will eventually be subject to a Trash TMDL, however, the cities wish to have due consideration placed in our favor in regards to "safe harbor" language (to avoid fnvolous third-party' litigation), cost considerations for compliance (realistic costs ,vs. benefit) and practical targets for compliance, not weighted solely on numeric compliance, but on a City's best effort to comply with program regulations. However, once the Trash TMDL's are approved, the City of Arcadia will need to be at the desired reduction rate for trash as specified in the mandate. The Los Angeles County Department of Public Works (LACDPW) has asked the City to participate in a grant program from the California lntegrated Waste Management Board for the installation of trash excluders in the storm drain system. The County is offering to cover a~l costs for design and installation of 18 trash excluders in our system. This grant partnering opportunity will save the City of Arcadia approximately $40,000 for the initial design, purchase and installation of these devices. As ttie County is the Principle Permittee for the watershed's storm water permit it is in their best interest to seek grant funding opportunities which not only benefit the County, but also surrounding cities that contribute storm water to the LA River Watershed. I~ LI Staff has carefully selected eighteen (18) priority catch basins to install the trash excluders, focusing entirely on catch basins that drain to the Arcadia Wash. • Additionally, staff is working collectively on a separate project with the cities of Monrovia and Sierra Madre, along with LACDPW 8~ Cal Trans in the development of a sub- regional solution for the reduction of trash in the Los Angeles River. This sub-regional project focuses on drainage from the Santa Anita and Saw Pit washes exclusively, and incorporates two (2) structural treatment devices located at the Peck Road Conservation Park. Please refer to the attached location map. It is staff's opinion that the City will be in compliance with the TMDL mandate by participating in the grant program with the County and with the completion of the Trash TMDL regional solutions project at the Peck Road Conservation Park. Therefore, staff is recommending that the City Council authorize the City Manager to enter into an agreement with the Los Angeles County Flood Control District, to participate in a California lntegrated Waste Management Board grant program, for the installation of catch basin trash excluders. ENVIRONMENTAL IMPACT This project is categorically exempt per Section 15302 from the requirements of the California Environmental Quality Act (CEQA). • f~ Mayor and City Council June 7, 2005 Page 3 ~ FISCAL IMPACT There is no fiscal impact to the City. RECOMMENDATIONS Authorize the City Manager to enter into an Agreement with Los Angeles County Flood Control District for the installation of trash excluders in City owned storm drain catch basins in a form approved by the City Attorney. Approved By: ,_~~ William R. Kelly, City Manager PM:TT:ST:dw Attachment O O . ~ ~, s m' CATCH BASIN TRASH EXCLUDERS ~' 0 , ,~g ~o ~ :: rM ~ 6V b~ 51 ~^~,M : o ~ I o ' • w ~ e na • ~ W O ~ on~c ~ ~ cPwE I_ ~.y S~ ~ r ~ ~ . cow'uoo s 4 ~~ ~ ~ o ~ p ~ COLO BL ` ~ t w~r~ ~ y~ ~ ~, ~ v~~• ~ o r o 3 o. O~ a~ ~ + ~ e • p r ~ ~ ~ p • y o ~ ~ 4 A + u O ~ ~7} K ~ ~~ 'i ~ p ! ~• ~ , ~ r~ o j O r ~ ~~~ S~III~ IIIf~ ~~ ~ : ~ ~ ~ .~.o~. .. ~° ~ ~ ~ ~ ~ g ,~ t ~ RFA~ CMIINO Y t p 2 ~ Z F ~ ~ ; 6 ~ t LONGDEN AV ~ ~ AV l.~ l/5 NNAS ~ Y • ~ LEGEND ''~ TRASH EXCLUDERS • STRUCTURAL TREATMENT DEVICES LOCATION MAP NOT TO SCALE ~ w.i..~4~ro~ e % June 7, 2005 STAFF REPORT Public Works Services Department TO: Mayor and City Council FROM: Pat Malloy, Public Works Services Director ' Prepared by: Gary F. Lewis, General Services M nager Mark Rynkiewicz, Associate Civil Engineer SUBJECT: Award of Contract - 2004-2005 Annual Slurrv Seai Proiect Recommendation: Authorize the City Manager to enter into a contract with Doug Martin Contracting Co., Inc. in the amount of $206,T46.16 for the 2004-2005 Annual Slurry Seal Project SUMMARY As part of the City's Street Maintenance Program, the Public Works Services Department is O preparing to slurry seal various residential streets throughout the City. The street locations are shown on the attached location map, Exhibit "A." Staff recommends that the City Council award a contract in the amount of $206,746.16 to Doug Martin Contracting Co., Inc., for the 2004-2005 Annual Slurry Seal Project. DISCUSSION The Public Works Services Department is responsible for the maintenance and repair of approximately 147 miles of pavement within the community. In 1999, as part of the Pavement Management Program, staff prioritized the condition of all City streets and updated the eight (8) year slurry seal program to efficiently prolong the life of streets that are in good condition. The 2004/05 Capital Improvement includes the Annual Asphalt and Concrete Program for this work. The Department is scheduled to slurry seal approximately 17 miles of residential streets located within the City. An asphalt slurry seal is a mixture of well-graded fine aggregate, emulsified asphalt and water applied to the street pavement as a surface treatment. It is designed for both preventive and corrective maintenance to older pavement surfaces, where surface cracks and loss of surface material are evident. This process makes the pavement impermeable to air and water and improves skid resistance. To reduce the need for more costly maintenance or construction work in the future, this application is repeated once every eight (8) Years. rW ~ • I~+ ' , :'Mayor and City Council June 7, 2005 Page 2 ~ Notices inviting bids were published in the adjudicated paper and bid packages were distributed to area contractors. The following four (4) bids were received on May 17, 2005: Bidder Location _ Bid Amount Doug Martin Contracting La Habra, CA $206,746.16 Pavement Coatings Co. Cypress, CA $231,058.56 Roy Allen Slurry Seal Santa Fe Springs, CA $238,614.33 American Asphalt South, Inc. Fontana, CA $255,626.33 Staff has reviewed the bid documents for content and has investigated the Contractor's background and their recent projects for competency. It is staff's opinion that Doug Martin Contracting Co., Inc. can satisfactorily perform the work required and recommends that the City Council award a contract in the amount of $206,746.16 to Doug Martin Contracting Co., Inc. for the 2004-2005 Annual Slurry Seal Project. ENVIRONMENTAL ANALYSIS This project is categorically exempt per Section 15302 (c) replacement from the requirements of the California Environmental Quality Act. FISCAL IMPACT Sufficient funds are included in this year's Capital Improvement Program. $416,000 is ~ budgeted for the Annual Asphalt and Concrete Program and $80,000 for the repair of drainage and cross gutters at various locations. $208,575 has been spent on concrete repairs leaving a balance ot $207,424.42 for this portion of the project. RECOMMENDATIONS Award a contract to Doug Martin Contracting Co., Inc. in the amount of $206,T46.16 for the 2004•2005 Annual Slurry Seal Project. 2. Waive any informality in the bid or bidding process. 3. Authorize the City Manager and City Clerk to execute a contract in a form approved by the City Attorney. Approved: _ "" " '"~°' William R. Kelly, City Manager PM:GL:MR:dw Attachment - Exhibit °A" ~ . ~~' 2004/2005 SLURRY ~~: = SEAL PROJECT ~ . ~ PROJECT LOCATION MAP (~~~~~~ , ~, ~~~ ., , ~ ~~ ' •~ ~ ~ ~ SLURRY AREA ,~~, ; ~ ~'I - r ~ Ivaeepo~[~d Aqm~ S~ ]90) ~ . °~°ai~Y ~f4°~`° STAFF REPORT Public Works Services Deparhnent June 7, 2005. TO: Mayor and City Council FROM: Pat Malloy, Public Works Services Director~ Prepared by: Gary F. Lewis, General Servic s Manager Mark Rynkiewicz, Associate Civil Engineer SUBJECT: 2004/2005 Concrete Repair Proiect. Recommendation: Accept all work performed by CJ Construction, Inc, for the 2004/2005 Concrete Repair Project as complete and authorize two (2) change orders totaling $54,838.75 and the final payment to be made in accordance with the contract documents, subject to a retention of $24,061.90 ~ SUMMARY On November 16, 2004, the City Council awarded a contract to CJ Construction, Inc. in the amount of $185,780.25 for the construction of the 2004/20o5 Concrete Repair Project. The terms and conditions of this project have been compfied with and the work has been performed to staff's satisfaction for a total project cost of $240,619.00. This amount reflects the original contract amount of $185,780.25 plus two (2) contract change orders (CCO) totaling $54,838.75 or 29% above the original contract amdunt. The contract change orders reflect additional work performed to correct additional drainage locations and additional failed pavement. Staff recommends that the City Council accept all work performed by CJ Construction, Inc. as complete and authorize two (2) change orders totaling $54,838.75 and the final payment to be made in accordance with the contract documents, subject to a retention of $24,061.90. DISCUSSION The Public Works Services Department is responsible for the maintenance and repair of approximately 147 miles of pavement within the community. In 1999, as part of the Pavement Management Program, staff prioritized the condition of all City streets and established a program to slurry seal streets within the City based on a pavement ~ condition index. As part of the work, adjacent damaged concrete curbs arid gutters are repaired to correct safety and drainage problems. The 2004/05 Capital Improvement Program includes the Annual Asphalt and Concrete Program for this work. ~ ~ ~- 1 Mayor and City Council June 7, 2005 ~ Page 2 The terms and conditions of this contract have been complied with and the work has been performed to staff's satisfaction. Concrete repairs were conducted on various streets as identified on the attached location map (Exhibit "A"). In addition to the work originally covered by the contract, the contractor also performed the following work: CCO # Description Amount 1 Change Order for additional concrete repairs $19,847.00 requested by residents 2 Change Order for additional curb, gutter, cross-gutter, $34,991.75 driveway, and pavement repairs Totai Change Orders $54,838.75 C~ These contract change orders were added to the original scope of the project. The first was for the repairs of curbs and gutters resulting from residents' requests. The second was for additional repair work to the asphalt pavement damaged from the excessively wet winter weather. The following table summarizes the cost distribution of the changes: Description Percent Amount ~ ResidenYs Requests Pavement Repairs Associated with Storms Additional Concrete Repair Locations Additional Concrete Quantities to facilitate drainage Totals: associated with the West Nile Virus. 10% $19;847.00 8% $15,792.00 4°/a $ 7,607.90 7% $11,411.85 29% $54,838.75 This additional work was added to the project to assure a consistent level of repair throughout this section of the city. The initial inventory of damage was conducted during dry weather, prior to the damage experienced as a result of last winter's rainfall. The season's excessively high rainfall accelerated pavement damage and caused pavement failures beyond the initial engineers estimate. The heavy rainstorms during the construction period exposed concealed areas of pavement failure that became obvious following the heavy rain. The large amount of additional concrete work was completed to reduce the amount of standing water that could contribute problems Staff recommends that the City Council accept all work performed by CJ Construction, Inc. as complete and authorize two (2) change orders totaling $54,838.75 and the finai payment to be made in accordance with the contract documents; subject to retention of $24,061.90. This amount reflects the original contract amount of $185,780.25 plus 4wo (2) contract change orders (CCO) totaling $54,838.75 or 29% above the original contract amount for a total contract amount of $240,619.00. Mayor and City Council June 7, 2005 ~ Page 3 ENVIRONMENTAL ANALYSIS 0 This project is categorically exempt per Section 15302 (c) replacement from the requirements of the California Environmental Quality Act. FISCAL IMPACT Sufficient funds are included in this year's Capital Improvement Program. $416,000 is budgeted for the Annual Asphalt and Concrete Program and $80,000 for the repair of drainage and cross gutters at various locations. The balance of these funds will be applied to this year's Asphalt Slurry Program. RECOMMENDATION 1. Accept all work performed by CJ Construction, Inc. for the 200412005 Concrete Repair Project as complete. 2. Authorize two (2) change orders totaling $54,838.75 3. Authorize the final payment to be made in accordance with the contract documents, subject to a retention of $24,061.90. Approved by: ~~ William R. Kelly, City Manager PM:GFL:dw Attachment: Location Map - Exhibit "A" C~ ~004-2005 AN N UAL CC~NC:RFTF RFPAIR Pf PR S ~ ~ EXHIBIT .~ ~ rMC~~pOft1Tlfl~s'o' STAFF REPORT Office of the City Manager DATE: June 7, 2005 TO: Mayor and City Council FROM: William R. Kelly, City Manager ~~ By: Linda Garcia, Communica ions, arketing and Special Projects Manager SUBJECT: 2005 JULY 4T" CELEBRATION Recommendation: Authorize the retention of Lewis Events in an amount up to $35,000.00 to provide various services for the City of Arcadia's July 4 Celebration SUMMARY • The City of Arcadia is hosting a 4~h of July celebration this year featuring an aerial fireworks show, entertainment and games. To facilitate the procurement of performers, games, supplies and equipment for this event staff is recommending the use of an events management company. Contracting with one company for these services minimizes the number of individual contracts that need to be executed and will do much to ensure an orderly set-up the day of the event. Lewis Events previously worked with the City's Centennial Celebration Commission on the Grand Ball and they are highly recommended by the Ball's Chairperson. Staff has had several discussions with Lewis Events and with this report we are recommending that the City Council approve the use of their services at a cost of up to $35,000.00. DISCUSSION The activities planned for the July 4~' Celebration are specificaily designed to meet a variety of needs. Attracting people to the event and offering fun things to do to keep their interest once they are there is a primary goal. Focusing the activities in one central place (the track and field) is important because that helps create excitement and a festive atmosphere. At the same time, we needed to be cognizant of the special requirements of holding such an event on the high school's new synthetic turF field and the surrountling track. To protect the field surface we have intentionally selected • activities that will not require implements to be placed in the ground (field/track) and we are minimizing the use of tables and chairs. ~,m~ Mayor and City Council - Lewis Events June 7, 2005 • Page 2 From an event managemenUlogistical point of view, there is benefit to purchasing a group of similar services from one source rather than executing separate contracts with each supplier. Lewis Events has submitted a proposal to the City that covers the following items: entertainment, interactive games, patriotic decor, a sound system, equipment rental (sound system, tables, chairs, misceilaneous supplies), insurance, labor and delivery and professional services. Their proposal is in the amount of $29,792.00, which is subject to change based upon the City's actual needs on the day. For your reference, the entertainment and games that will be provided are a live band (Orange Colored Sky), a disc jockey, one roving juggler, one roving magician, three balloon artists, one trick roper, three caricature artists, a panning for gold and roping corral, speed pitch, a bungee.run inflatable, obstacle course inflatable, giant slide inflatable and an inflatabie rock climbing wall. Since the scope of services may be refined and modified to some extent over the next week or two (e.g. we may need more taliles and chairs, a different sound system, there may be some insurance issues, etc.), staff is recommending that the City Council authorize staff to retain Lewis Events for event management services related to the July 4`h celebration in an amount of up to $35,000.00. The additional money ($5,208.00) will • o~ be used if it is necessary; however; having the Council's authorization for this amount will facilitate any changes that need to be made in terms of allowing staff to proceed without having to go back to tfie City Council for approval to spend the additional amount. Ease of processing is particularly important at this time of year when obtaining services and materials is more difficult because of the holiday. FISCAL IMPACT Sufficient funds are available.in the project budget. RECOMMENDATION It is recommended that the City Council authorize the City Manager to retain Lewis Events in an amount up to $35,000.00 for event management services related to the City of Arcadia's July 4~h Celebration. r1 LJ o ~ • ~:n,°~:"i:~w~ . °°Amu~,~Y~=~°¢`' STAFF REPORT " Administrative Services Department DATE: June 7, 2005 TO: Mayor and City Council FROM: Stephen P. Deitsch, City Attomey Tracey L. Hause, Administrative Services Direct~ By: Chris Ludlum, Senior Management AnalystQ¢.- SUBJECT: Ordinance No. 2206 - Amending in its entiretv Chapter 7. Article VII of the Citv of Arcadia Municipal Code, requlatina cable, video, and telecommunications Recommendation: I ntrod uce • BACKGROUND: The City is currently involved in separate matters involving both of its two cable television providers. In June of 2002, Adelphia Communications (Adelphia) announced its intention to reorganize under federal bankruptcy protection. In addition, in March of 2004, Altrio Communications (Altrio) announced an asset sale to Champion Broadband, LLC (Champion). The City expects Adelphia to emerge from bankruptcy this year or to be sold to another company. Meanwhile, Champion is in the process of applying for a request to transfer Altrio's franchise agreement to Champion or, as Champion has more recently suggested, to apply for a new franchise altogether. Adelphia operates throughout Southern California as a traditional cable television company and is governed under local, state and federal cable television laws. Altrio and Champion are Competitive Local Exchange Carriers (CLECs) and operate in Arcadia as a cable television provider. However, in nearby Pasadena and Monrovia, Altrio and Champion operate as "Open Video Service Providers" (OVS Providers). Champion has requested that, if it applies for a new franchise agreement with the City, be granted an °OVS" franchise agreement. • ~yqa Mayor and City Council • June 7, 2005 Page 2 The City's charter allaws the City to establish, by ordinance or resolution, procedures governing the granting of franchises. However, since 1985, the City has not had an ordinance in place governing the granting of cable television franchises, Due to many changes in technology end in sfate and federal laws during the past twenty years, City staff believe that it is necessary to recommend the adoption of new governing policies for cable television, open video systems, and multichannel video programming providers that use the publiarights of way. Therefore, City staff recommends that the City Council consider the attached ordinance, DISCUSSION: The proposed ordinance sets forth policies governing the manner in which a cable television opera#or, a multichannel video.programming provider, OVS or other video programming provider that uses the public rights of way to deliver services applies for, qualifies for, and is granted a franchise agreement, regardless of the technology being proposed. Under the proposed ordinance, a franchise for OVS operators takes essentially • the same form as a traditional cable N franchise, albeit with some important differences. 1n all cases, the City retains rights to,require an application fee, rights to evaluate the applicanYs financial, technical, and legal qualifications, and rights to require public benefits in light of community needs. The proposed ordinance also contains provisions concerning, among other matters: • Quarterly.franchise fee payments equal to five percent of gross annual revenues • Rights of the City to establish terms for construction and rights-of-way matters • Conditions for undergrounding aboveground pedestals; maintenance and inspection standards for any facilities that must be installed above ground • Rights of the City to request security to guarantee performance of construction obligations as well as other security to assure performance of other franchise.requirements • Mayor and City Council • June 7, 2005 Page 3 . Rights of the City to require public, educational, and governmental (PEG) access channels, complimentary video service in public buildings and live cablecasting connections, as well as grants for PEG capital . Rights of the Ciry to condition use of the public right-of-way . Rights of the City to require compliance to standards established by the Federal Communications Commission regarding technical standards for operation of both cable television systems and open video systems . Rights of the City to require liability insurance and indemnification. . Consumer Protection And Service Standards . Operational Standards • Service Standards ' . Billing and Information Standards . Verification of Compliance with Standards . ~ Subscriber Complaints and Disputes « • . Disconnection/Downgrades _ , . Negative Option Billing Prohibited ~ . Deposits . Parental Control Options _. . Penalties for Noncompliance . Additional Consumer Protection and Services Standards . Compatibility with consumer electronics equipment . Billing procedures . Refunds . Notice of rate increases . Non-discrimination and customer privacy . Written or oral notice to enter property . Notice regarding channel scrambling . A process for remedying conditions of default by the Franchisee The Ordinance does not impose regulatory coniiitions on standard telephone service or other types of telecommunications services to the extent they are regulated by the FCC or California Public Utilities Commission. C~ Mayor and City Council • June 7, 2005 Page 4 ENVIRONMENTAL IMPACT: The proposed'ordinance is exempt from environmental review pursuant to State CEQA Guidelines sections 15378(b)(2),(4) and (5) and section 3.01 of the City of Arcadia Local Guidelines for Implementing CEQA because the proposed ordinance concerns general policy and procedure, making activities, and organizational or administrative activities that will not result in direct or indirect physical changes in the environment. FISCAL IMPACT: The recommended ordinance wouid likely have a positive fiscal impact upon the City insofar as it provides for a method by which the City may grant franchises, which franchises would require a franchise fee to be paid to the City for the use of the City's rights of way. RECOMMENDATION: It is recommended that the City Council introduce Ordinance No. 2206, an • Ordinance of the City Councll of the City of Arcadia, California, amending in its entirety Chapter 7, Article VII of the City of Arcadia Municipal Code, regulating cable, video, and telecommunications. Approved: _~ y~ William R. Kelly, City Manager • UNCODIFIED ORDINANCE NO. 2206 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ARCADIA, AMENDING IN ITS ENTIRETY CHAPTER 7, ARTICLE VII OF THE CITY OF ARCADIA 1VIUNICIPAL CODE, REGULATING CABLE, VIDEO, AND TELECOMMUNICATIONS SERVICE WHEREAS, the Communications Act of 1934 (48 Stat. 1064, 15 USC § 21; 47 USC §§ 35, Section 621 [47 U.S.C. 541] (b)(1) states, except to the extent provided in paragraph (2) and subsection ( fl, a cable operator may not provide cable service without a franchise; and ~ WHEREAS, the Communications Act of 1934 (48 Stat. 1064, 15 USC § 21; 47 USC §§ 35, Section 653. [47 U.S.C. 573] (a) (1) states a local exchange carrier may provide cable service to its cable service subscribers in its telephone service area through an open video system that complies with this section; and WHEREAS, California Government Code Section 53066 (a) states that any city or county or city and county in the State of California may, pursuant to such provisions as may be prescribed by its goveming body, authorize by franchise or license the construction of a community antenna television system. In connection therewith, the governing body may prescribe such rules and regulations as it deems r1 U -1- advisable to protect the individual subscribers to the services of such community antenna television system; and ~ WHEREAS, Califomia Government Code Section 53066 (b) states the award of the franchise or license may be made on the basis of quality of service, rates to the subscriber, income to the city, county or city and county, experience and financial responsibility of the applicant plus any other consideration that will safeguard the local public interest, rather than a cash aucrion bid; and WHEREAS, the federal Telecommunications Act of 1996 preempts and declares invalid all state rules that restrict entry or limit competition in both local and long-distance telephone service; and WHEREAS, the California Public Utilities Commission ("CPUC") is • primarily responsible for the implementation of local telephone competition, and it issues certificates of public convenience and necessity to new entrants that are qualified to provide competitive local telephone exchange services and related telecommunications service, whether using their own facilities or the facilities or services provided by other authorized telephone corporations; and WHEREAS, Section 234(a) of the California Public Utilities Code defines a "telephone corporarion" as "every corporation or person owning, controlling, operating, or rrianaging any telephone line for compensation within this state"; and ~ -2- WHEREAS, Section 616 of the California Public Utilities Code provides • that a telephone corporation °may condemn any property necessary for the construction and maintenance of its telephone line"; and WHEREAS, Section 2902 of the Califomia Public Utilities Code authorizes municipal corporarions to retain their powers of control to supervise and regulate the relationships between a public utility and the general public in matters affecring the health, convenience, and safety of the general public, including matters such as the use and repair of public streets by any public utility and the location of the poles, wires, mains, or conduits of any public utility on, under, or above any public streets; and ~ WHEREAS, Section 7901 of the California Public Utilities Code authorizes telephone and telegraph corporations to construct telephone or telegraph lines along and upon any public road or highway, along or across any of the waters or lands within this state, and to erect poles, posts, piers, or abutments for supporting the insulators, wires, and other necessary fixtures of their lines, in such manner and at such points as not to incommode the public use of the road or highway or interrupt the navigation of the waters; and WHEREAS, Section 7901.1 of the California Public Urilities Code confirms the right of municipalities to exercise reasonable control as to the time, place, and ~ ~ -3- manner in which roads, highways, and waterways are accessed, which control must be applied to all entities in an equivalent inamler, and may involve the imposition • of fees; and WHEREAS, Section 50030 of the California Government Code provides that any pernut fee imposed by a city for the placement, installation, repair, or upgrading of telecommunications faciliries, such as lines, poles, or~ antennas, by a telephone corporation that has obtained all required authorizations from the CPUC. and the FCC to provide telecommunications services, must not exceed the reasonable costs of providing the service for which the fee is charged, and must not be levied for general revenue purposes. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF ARCADIA ~ DOES ORDAIN AS FOLLOWS: SECTION 1. Chapter 7, Article VII of the City of Arcadia Municipal Code is hereby amended in its entirety to read as follows: CHAPTER 7, ARTICLE VII CABLE TELEVISION SYSTEMS GENERAL PROVISIONS Section 7700 Short title Section 7701 Authoriry • -4- Section 7702 Definitions ~ PROCEDURES FOR GRANTING, RENEWING, TRANSFERRING, AND ACQUIRING CABLE TELEVISION FRANCHISES Section 7703 A Franchise is required to operate a Cable System Section 7704 The City may grant a Cable Franchise Section 7705 Franchise duration and renewal Section 7706 Limitations of Franchise Section 7707 Rights reserved to the City • Section 7708 Transfers and assignments Section 7709 Franchise Area; annexations Section 7710 Application for Franchises; contents of application Section 7711 Selection of Grantee Section 7712 Section 7713 Section 7714 Section 7715 • Section 7716 Franchise renewal Multiple Franchises Franchise applicarion processing costs Franchise fee for Cable Services Contents of cable television Franchise -5- Section 7717 Breach of Franchise; grounds for assessment of penalries and • Franchise revocation Section 7718 Procedure for adjudication of breaches of the Franchise Section 7719 Hearing Officer hearing procedures Section 7720 City Council hearing procedures Section 7721 Penalties for breach of the Franchise Section 7722 Alternative remedies Section 7723 Removal and abandonment; purchase of system Section 7724 Receivership and foreclosure u DESIGN AND CONSTRUCTION Section 7725 Undergrounding Section 7726 Use of poles Section 7727 Construction standards Section 7728 Approvals Section 7729 Submission of drawings Section 7730 Relocation of facilities and-equipment Section 7731 Maintenance C~ -6- CONSUMER PROTECTION AND SERVICE STANDARDS ~ Section 7732 Section 7733 Section 7734 Secrion 7735 Section 7736 Section 7737 Operational Standards Service Standards Billing and Information Standards Verification Compliance with Standards Subscriber Complaints and Disputes Disconnection/Downgrades Section 7738 Negative Oprion Billing Prohibited • Section 7739 Deposits Section 7740 Parental Control Options Secrion 7741 Additional Requirements Section 7742 Penalties for Noncompliance Section 7743 Additional Consumer Protecrion and Services Standards Section 7744 Compatibility with consumer electronics equipment ~ -7- RATES • Section 7745 Section 7746 Section 7747 Section 7748 Section 7749 Section 7750 Section 7751 Rate regulation Billing procedures Refunds Notice of rate increases Non-discrimination and customer privacy Written or oral notice to enter property Notice regarding channel scrambling SERVICE PROVISIONS • Section 7752 Tenant rights Section 7753 Continuity of service mandatory OPEN VIDEO SYSTEMS Section 7754 Applicability Section 7755 Application required Section 7756 Review of application Section 7757 Agreement required and Fees ~ -8- OTHER VIDEO AND TELECOMMUNICATIONS SERVICE5 AND SYSTEMS ~ Section 7758 Other multichannel video programming distributors Section 7759 Video providers-registration; customer service standards Secrion 7760 Telecoinmunications service provided by telephone corporations GENERAL PROVISIONS Secrion 7700. SHORT TITLE. This title is known and may be cited as the "Cable, Video, and • Telecommunications Service Providers Ordinance" of the City of Arcadia. Section 7701. AUTHORITY. This chapter is enacted by the City of Arcadia pursuant to City's charter authority, the Cable Act, the City's police powers, its powers and rights to control the use of the Public Right-of-Way within the City, and all other applicable laws. Section 7702. DEFIrIITIONS. For the purposes of this chapter, the following terms, phrases, words, and abbreviations sha11 have the meaning given herein. When not inconsistent with the • context, words used in the present tense include the future tense, and words in -9- singular number include the plural number. Words not defined by this section shall be given the meaning set forth in the Cable Act, and if not defined therein, • their common and ordinary meaning. ACCESS, PEG ACCESS OR PEG USE. Refers to the availability or use of a Cable System or Open Video System far public, educational or government use (including Institutional Network use) by public or private agencies, institurions, organizations, groups, and individuals, including, but not limited to Grantor, and its designated Access providers, to acquire, create, and distribute programming not under Grantee's editorial control, including, but limited to, the following: (A) Public Access or Public Use where members of the general public are • the primary or designated programmers or users having editorial control over their programming. (B) Educational Access or Educational Use where educational institutions are the primary or designated programmers or users having editorial control over their programming. (C) Government Access or Government Use where Grantar or other governmental institutions designated by Grantor are the primary or designated progran7mers having editorial control over their programining. ~ -lo- AFFILIATE. The term "affiliate" means a person that, (directly or • indirectly) owns ~or controls, is owned or controlled by, or is under common ownership or control with, another person. For purposes of this paragraph, the term "own" means to own an equity interest (or the equivalent thereo fl of more than 10 percent. CABLE ACT. The Cable Communications Policy Act of 1984 (47 USC 521 et seq., as amended by the Cable Television Consumer Protection and Competition Act of 1992 (Public Law No. 102-385) and the Telecommunications Act of 1996 (Public Law No. 104-104), and as hereinafter may be amended. • CABLE SERVICE. Means the following: (A) the one-way transmission to Subscribers of (i) Video Programming, or (ii) other programming service, (B) Subscriber interacrion, if any, that is required for the selection or use of such video programming or other programming service, as hereinafter may be amended, regardless of the content of such video programming or communications or the technology or method used to deliver such programming. CABLE SYSTEM OR SYSTEM. Grantee's facilities, consisting of a set of closed transmission paths and associated signal generation, reception, and control equipment that is designed to provide video programming and that is provided to multiple Subscribers within the City. Such term does not include: LJ -11- (A) A facility that serves solely to retransmit the television, signals of one ~ or more television broadcast stations; or (B) A facility that serves Subscribers without using any Public Right-of- Way; or (C) A facility of a common carrier that is subject, in whole or in part, to the provisions of Subchapter II of Chapter 5 of Title 47 of the United States Code, except that such facility shall be considered a Cable System (other than for purposes of 47 USC 541(c)) to the extent such facility is used in the transmission of video programming directly to Subscribers, unless the extent of such use is • solely to provide interacrive on-demand services; or if such facility is used to provide Cable Service, whether on a common carrier or non-common carrier basis, directly to customers; or (D) An Open Video System, as defined below, that complies with 47 USC Section 573; or (E) Any facilities of any electric utility used solely for operating its electric utility systems. CITY. The City of Arcadia, California. n ~ -12- CITY MANAGER. The City Manager of the City of Arcadia, or his or her ~ designee. COMMIJNICATIONS ACT. The Communications Act of 1934 (48 Stat. 1064, 15 USC § 21; 47 USC §§ 35, 151--155, 201--221, 301--329, 401--416, 501-- 505, 601--609 (as subsequently amended and as hereinafter may be amended). COMPLETE SYSTEM CONSTRUCTION. The point in time when all transmission equipment, facilities, and construction work is installed and completed, and when all appropriate tests have been completed such that applicable performance standards pertaining to or dependant upon such • construcrion is verified. The term Complete System Construction does not include marketing and installarion of Subscriber service. CONTROL(ING/ED). The possession, directly or indirectly, of the power to direct, or to cause the direction of, the management and policies of a specified Person, whether through the ownership of voting securities, by contract or otherwise. ` DISTRIBUTION FACILITY/(IES). Cable equipment that is not specific to a Subscriber, including trunk and distribution lines, but excluding drop lines to specific locations. ~ -13- DROP LINES. The cable and related equipment connecting the Cable System's plant to equipment at the Subscriber's premises. ~ EDUCATIONAL AGCESS CHANNEL. A channel on the Cable System that designates educational institutions as the primary providers of non-commercial programming: FCC. The Federal Communications Cominission. FRANCHISE. The right to construct, operate and maintain a Cable System using the City's streets and rights-of-way pursuant to the terms and conditions of this chapter and other relevant provisions of the Municipal Code, the Franchise Agreement, and any Ordinance or Resolution approving the transfer of the Franchise, and any agreement between the City and Grantee relating to the • operation of the Cable System. FRANCHISE AGREEMENT. An agreement granting a Franchise pursuant to the terms of the agreement and this chapter. Any conflict between the terms of this chapter and the Franchise Agreement shall be resolved in favor of the Franchise Agreement. In the event a Franchise is in existence as of the effective date of this ordinance, the terms of the Franchise shall govern; provided however, that upon the renewal, extension, amendment or other modification of any such ~ -14- ~ Franchise, the renewed, extended, amended or otherwise modified Franchise shall comply with this ordinance. FRANCHISE AREA. The geographic area within the City designated in a franchise where Grantee may operate a Cable System, as defined in the Franchise Agreement. GOVERNMENT ACCESS CHANNEL. A channel on the Cable System ~ that is provided by Grantee to Grantor and other governmental institutions designated by Grantor on. which non-commercial informational programming ~ regarding government acrivities and programs may be presented. GRANTEE. Any Person to whom a valid Franchise is granted by the City under this chapter, and the lawful successor, transferee or assignee of such Person. GROSS REVENi.JES. All revenue, cash, credits, property of any nature, ~ and other considerarion derived directly or indirectly by Grantee, from or attributable to the sale or exchange of any Cable Service by or through the Cable System, or from or attributable to the sale or exchange of any Video Programuiing over the respecrive Open Video Service System; or in any manner derived from the operation of the Cable System or the respective Video Service System, unless otherwise prohibited by federal or state law Such revenue and other -15- consideration, regardless of technological platform, includes, without limitation, the following: ~ (A) Fees received from residential and commercial subscribers to any rier of Cable Service and for all Video Programming serVices. (B) Fees received for installation, reconnection, downgrade, upgrade, and similar services. (C) Late fees and interest collected on delinquent subscriber fees or charges: (D) Fees paid for channels that are designated for commercial use. (E) Fees paid in connection with the rental, lease, or sale of converters, remote controls, and other equipment. ~ (F) Leased or access channel revenues received in connection with the distribution of any Cable Service. (G) All bad debts that are recovered. (H) All revenue that is received by Grantee, or its subsidiaries or affiliates, from the conduct of any service-related activity directly involving the video portion of the Cable System, including without limitation revenues derived from advertising sales, the sale of products or services on home shopping channels, and the sale of program guides. ~ LJ -16- ~ (I) The fair market value of any nonmonetary consideration received by Grantee in any transaction with another person relating to the receipt of Cable Service or the operation of the Cable System as it pertains to the offering of Cable Service, such as a barter transaction, but not less than the customary prices paid in connection with equivalent transactions. (J) All carriage revenues received from video programming providers, including incentive fees for carriage, contra expense, barters, or other transactions where generally accepted accounting principles would require treatment as revenue. ~ (K) A franchise fee if itemized and added to the bill. The term "Gross Revenues" does not include the following: (A) Refundable deposits, rebates, or credits. (B) Bad debt that is unrecovered or unrecoverable. (C) Taxes imposed by law on subscribers that Grantee is obligated to collect on behalf of any governmental agency. (D) Revenues collected by unaffiliated video programming providers. (E) PEG fees paid to the Grantor per .subscriber as required by the Franchise Agreement. ~ -17- (F) Advertising commissions paid to advertisers that are not wholly- owned subsidiaries of Grantee. - • (G) Programming launch fees and marketing support payments where Grantee receives reimbursements for mandatory marketing costs associated with the launch and promotion of services offered. Gross Revenues shall include revenue received by any entity other than the Grantee where necessary to prevent evasion or avoidance of the obligation under this Agreement to pay the Franchise fees. MULTICHANNEL VIDEO PROGRAMMING DISTRIBUTOR A Person such as, but not limited to, a Cable System operator, an Open Video System ~ Operator, as defined below, a Multichannel multipoint distribution service, a direct broadcast satellite service, or a television receive-only satellite program distributor, who makes available multiple channels of video programming for purchase by Subscribers or customers. OPEN VIDEO SYSTEM. A facility consisting of a set of transmission paths and associated signal generation, reception, and control equipment that is designed to provide Cable Services, including video programming, and that is provided to ~ -18- multiple Subscribers within the City, provided that the FCC has certified that such ~ system complies with 47 CFR §§ 1500 et se~c ., entitled "Open Video Systems." OPEN VIDEO SYSTEM OPERATOR. Any Person or group of Persons who provides Cable Services over an Open Video System and directly or through one or more Affiliates owns a significant interest in that Open Video System, or otherwise controls or is responsible for the management and operation of that Open Video System. NORMAL OPERATING CONDITIONS. Service conditions that are within the control of Grantee. Those conditions that are ordinarily within the control of Grantee include, but are not limited to, special promorions, rate increases, regular • peak or seasonal demand periods, and scheduled maintenance or upgrade of the Cable System. Those conditions that are not in control of Grantee include, but are not limited to, natural disasters, civil disturbances, power outages, telephone network outages, and severe or unusual weather conditions. PERSON. Any individual, corporation, partnership, proprietorship, or other organization authorized to do business in the State of California. PUBLIC ACCESS CHANNEL. A channel on the Cable System that is provided by Grantee for non-commercial programming produced by members of ~ -19- the public or a nonprofit corporation formed by the City to operate and manage such a channel. • PUBLIC RIGHT(S)-OF-WAY. Any of the following that are controlled, used or dedicated for use by the public and located within the City's jurisdictional limits: streets, roadways, highways, avenues, lanes, alleys, sidewalks, public utility easements, rights of way and similar public property within which Grantee may place its facilities for operating a Cable System. SERVICE INTERRUPTION. The loss or impairment of the Cable Services on one ar more channels ar frequency bands of the Cable System used in connection with the provision of Cable Services to any Subscriber. • SUBSCRIBER. Any Person who pays for Cable Services provided by Grantee by means of the Cable System. VIDEO PROGRAMMING PROVIDER AND VIDEO SERVICE SUPPLIER. Any person, company, or service that provides one or more channels of video prograrruning including any communications that are ancillary, necessary or common to the use and enjoyment of the Video Programming, to ar from an address in the City, including to or from a business, home, condominium, or apartment, where some fee is paid, whether directly or included in dues or rental charges for that service, when Public Rights-of-Way are utilized in the delivery of ~ -20- the Video Programming or communications, regardless of the content of such • Video Prograinming or communications or the technology or method used to deliver such programming. VIDEO PROGRAMMING. Any and all video programming (including, but not limited to, originarion programming) provided by the Grantee to Subscribers and any communicarions that are ancillary, necessary or common to the use or enjoyment of such video programming ." PROCEDURES FOR GRANTING, RENEWING, TRANSFERRING, AND ACQUIRING CABLE TELEVISION FRANCHISES • Section 7703. A FRANCHISE IS REQiJIRED TO OPERATE CABLE SYSTEM. (A) It shall be unlawful for any Person to establish, operate or carry on the business of distributing to any Persons in the City any Cable Service or Video Programming, by means of a Cable System, unless a Franchise therefore is first obtained pursuant to the provisioris of this chapter, and unless such Franchise is in full force and effect. (B) It shall be unlawful for any Person to construct, install or maintain ~ within any Public Right-of-Way in the City, or within any other public property of -21- the City, or within any privately owned area within the City which has not yet become a Public Right-of-Way but is designated or delineated as a proposed Public • Right-of-Way on any tentative subdivision map approved .by the City, any equipment or facilities for distributing any Cable Services or Video Programming, by means of a Cable System, unless a Franchise authorizing such use of such street or property or area has first been obtained pursuant to the provisions of this chapter,. and unless such Franchise is in full force and effect. (C) It shall be unlawful for any Person to make any unauthorized connection, whether physically, electronically, acoustically, inductively or otherwise, with any part of a Franchised Cable System within this City for the purpose of enabling him or herself or others to receive any Cable Services carried • on a Cable System, without the pernussion of Grantee. (D) It shall be unlawful for any Person, without the consent of Grantee, to willfully tamper with, remove, or injure any cables, wires, or equipment used in conjunction with a Cable System. (E) This section shall be construed to require a Franchise in every instance, except to the extent that such requirement is preempted by state or federal law. Section 7704. THE CITY MAY GRANT A CABLE FRANCHISE. ~ _22_ ~ The City may by ordinance or resolution grant a Franchise to any Person, whether operaring pursuant to an exisring Franchise or not, who offers to provide a Cable Service pursuant to the terms and provisions of this chapter. The Franchise shall be subject to all ordinances and regulations of general application now in effect or subsequently enacted, including, without limitation, those concerning encroachment permits, business licenses, zoning, and building. Section 7705. FRANCHISE DURATION AND RENEWAL. (A) The term of the Franchise or any Franchise renewal shall be established in the Franchise Agreement. • (B) A Franchise may be renewed by the City upon application of Grantee pursuant to procedures established by the City, subject to applicable federal and state law. In the event the City does not establish such renewal procedures, the Franchise renewal procedures set forth in the Cable Act shall apply. Section 7706. LIMITATIONS OF FRANCHISE. (A) Any Franchise granted under this chapter shall be nonexclusive and for the term specified by the Franchise Agreement. (B) No privilege or exemption shall be granted or conferred by any • Franchise granted under this chapter except those specifically presented herein. -23-. (C) The grant of a Franchise,.right, or license to use Public Right-of-Way for purposes of providing Cable Service shall not be construed as a right or license ~ to use such Public Right-of-Way for any other purpose. (D) Any privilege claimed by Crrantee under a Franchise in a Public Right-of-Way or any other public property shall be subordinate to any prior or subsequent lawful occupancy or use thereof, or easement therein, by the City or other government entity. (E) . A Franchise granted hereunder shall not relieve Grantee of any obligation related to obtaining pole space from any department of the City, utility company, or from others maintaining poles in the Public Right-of-Way. • (F) Any right or power in, or duty imposed upon any officer, employee, deparhnent, or board of the City shall be subject to transfer by the City to any other officer, employee, department, or board of the City. Secrion 7707, RIGHTS RESERVED TO THE CITY. (A) Subject to those restrictions, if any, that are mandated by state ar federal law, neither the granting of any Franchise nor any of the provisions of this chapter shall be construed to prevent the City from granting additional Franchises. ~ -24- ~ (B) Grantee, by its acceptance of any Franchise, agrees to be bound by all ordinances and regulations of general application now in effect or subsequently enacted (including, without limitation, those that concern encroachment pernuts, business licenses, zoning and building) and to comply with any action or requirements of the City in its exercise of such rights or power; provided, however, that such ordinances and regulations shall not materially affect Grantee's rights ar obligations under the Franchise. (C) Neither the granring of any Franchise, nor any of the provisions of this chapter, shall constitute a waiver or bar to the exercise of any governmental right or power of the City. ~ (D) This chapter shail not be construed to impair or affect, in any way, the right of the City to acquire the property of Grantee through the exercise of the power of eminent domain, in accordance with applicable law. (E) The City Council may do all things that are necessary in the exercise of its jurisdiction under this chapter and may determine any question of fact that may arise during the existence of any Franchise granted under this chapter. Section 7708. TRANSFERS AND ASSIGNMENTS. ~ -25- (A) No Franchise shall be transferred, sold or assigned, nor shall any of the rights, privileges, interests or property related to the Franchise be transferred, ~ sold, hypothecated or assigned, either in whole or in part, directly or indirectly, voluntarily or involuntarily, to any Person without the prior consent of the City granted by resolution of the City CounciL T'he granting of a security interest in any assets of the Grantee, or any mortgage or other hypothecation, will not be deemed a transfer for the purposes of this section. (B) Transfer of a Franchise includes, but is not limited to, any transaction in which control of the Franchise is transferred from one Person or group of Persons to another Person or group of Persons, or ownership or:other interest in Grantee or its Cable System is transferred from one Person or group of Persons to • another Person or group of Persons, or the rights and obligations held by Grantee under the Franchise Agreement are transferred or assigned to another Person or group of Persons. In addition, a transfer of the Franchise shall be deemed to have occurred upon the transfer on a cumulative basis of ownership or control of 20% of (1) the voting interest of Grantee, or (2) the Person exercising management authority over Grantee. (C) Grantee shall promptly notify the City in writing of a proposed transfer and shall file with the City Manager an application requesting approval of ~ -26- • the proposed transfer ("Transfer Application"). The Transfer Application shall meet the requirements of Secrion 7710 (with the transferee being the applicant), and shall provide compiete information on the proposed transaction, including a copy of the bona fide offer, and details on the legal, financial, technical and other qualifications of the transferee. (D) In making a determinarion on whether to approve the Transfer Application, the City Council shall consider the legal, financial, technical and other qualifications of the transferee to operate the system, whether the incumbent Cable System operator is in compliance with its Franchise Agreement and this chapter and, if not, the candidate transferee's commitment and plan to cure such • noncompliance, whether operation by the transferee would adversely affect Cable Services to Subscribers or otherwise be contrary to the public interest, and such other criteria provided for by applicable state and federal law. (E) A Transfer Application shall not be granted unless the proposed transferee agrees in writing that it will abide by and accept all terms of this chapter, the Franchise Agreement, and such other agreements, regulations or restrictions that pertain to the Franchise, assume the obligations and liabilities of the previous Grantee under the Franchise, and assume such other conditions as may be prescribed by the City Council resolution approving the lxansfer. ~ _27_ (F) Approval by the City of a Transfer Application does not constitute a waiver or release of any of the rights of the City under this chapter or a Franchise ~ Agreement, whether arising before or after the date of the transfer. Section 7709. FRANCHISE AREA; ANI~IEXATIONS. (A) The Franchise Area shall be established by the Franchise Agreement. (B)_ Territory annexed to the City ("Annexed Territory") that is not within the Franchise Area of an existing Franchise may be added to Grantee's Franchise pursuant to City Council resolution. (C) All rights acquired under a Franchise or license granted by a public entity other than the City ("Foreign Franchise") shall ternunate by operation of law ~ as to Annexed Territory where Grantee of such Franchise or license has not commenced installation of a Cable System in the annexed territory before the date such annexation becomes effective. Where feasible, City shall provide notice to the holder of a Foreign Franchise of the City's intent to annex territory that may result in a termination under this section, Failure to provide such notice shall not affect the termination of the Foreign Franchise. (D) Where Grantee of a Foreign Franchise has commenced installation of a Cable System in annexed territory on or before the date such annexarion becomes ~ _Zg_ . effecrive, Grantee may continue to provide Cable Services to the annexed territory for the balance of the initial term of said Franchise (exclusive of any renewal or extension not granted by the City), subject to the terms and conditions then in effect under such Franchise, and the timely payment to the City of all Franchise fees paid in connection with such service (or such other fees imposed by the City up to the maximum permitted by law). Section 7710. APPLICATION FOR FRANCHISES; CONTENTS OF APPLICATION. (A) Applicarions for the grant of a new Franchise may be submitted by . any Person pursuant to the requirements of this chapter and subject to the terms of Arcadia Resolurion 5784, as such resolution may, from time to time, be amended. The City may, by adverrisement or any other means, solicit applications for a new Franchise pursuant to a request far proposal ("RFP"). (B) An application for a new Franchise to construct, operate, or maintain any Cable System in the City shall be filed with the office of the City Clerk and shall be on forms prescribed by the City. The City reserves the right to waive all application formalities where the City determines that the best interests of the City would be served by such waiver. The City may, at its sole discretion, request new ~ or additional proposals. -29- (C) Unless waived in writing by the City, all applications for a Franchise • shall at the minimum contain the following: (A) The name, address, and telephone number of the applicant; (B) A detailed statement of the corporation or business entity organization of the applicant, including, but not limited to, the following: (1) The names, residence and business addresses of all officers and directars of the applicant; (2) The names, residence and business address of all officers, Persons'and entities having an ownership interest of 5% or more in the applicant and the respective ownersYup share of each such officer, Person or entity; • (3) The names 'and address of any parent or subsidiary of the applicant, namely, any other business enrity owning or controlling applicant in whole or in part or owned or controlled in whole or in part by the applicant, and a statement describing the nature of any such parent or subsidiary business entity, including but not limited to Cable Systems owned or controlled by the applicant, its parent and subsidiary and the areas served thereby; ~ -30- (4) A detailed description of all previous experience of the ~ applicant in providing Cable Service or other similar or related communications services; (5) A detailed and complete financial statement of the applicant, certified by an independent certified public accountant, for the fiscal year preceding the date of the application. The City may require a statement from an independent certified public accountant or a recognized lending instifution, certifying that the applicant has available sufficient financial resources to conshuct and operate the proposed Cable System in the City; • (6) A detailed financial plan (pro forma) for the operation of the proposed Cable System, during the term of the proposed Franchise, in the format required by the City; and (7) A descriprion of any other Cable System Franchise(s) awarded to the applicant, its parent or subsidiary, including the place and term of these Franchises; the status of their completion, the total cost of completion of each Cable System; and the amount of applicant's and its parent's or subsidiary's resources committed to the completion of these Cable Systems; (C) A detailed description of the proposed plan of operation of the . applicant which shall include, but not be limited to, the following: -31- (1) A detailed map indicating all areas proposed to be served, and a proposed time schedule for the construction of the Cable System and the • installation of all equipment necessary to become operational throughout the entire area to be serviced; (2) A statement or schedule setting forth all proposed classifications of rates and charges to be made against Subscribers, including installation charges and other service charges; (3) A detailed statement describing the actual equipment and operational standards proposed by the applicant; (4) A copy of the form of any agreement, undertaking, or other , instrument proposed to be entered into between the applicant and any Subscriber; and (5) A detailed statement describing any existing or proposed agreements and undertakings between the applicant and any Person, which materially relates to the application and the granting of the Franchise; (6) A detailed description of the applicant's plan to provide Public, Educational and Government Access Channel capacity services, faciliries and equipment; ~ -32- • (7) A detailed description of the applicant's plans to address the institutional network needs of the City (8) A copy of any agreement covering the Franchise area, if exisring between the applicant and the local telephone and/or electric utilities providing for the use of any facilities of the utility including but not limited to poles, lines or conduits; and (9) Any other details, statements, ar information pertinent to the subject matter of such application which shall be required or requested by the City. Section 7711. SELECTION OF GRANTEE: • (A) The City may make such investigations as it deems necessary to deternune the ability of an applicant to sarisfactorily perform its obligations under a Franchise. The applicant shall timely fumish to the City all such informarion and data as the City may request. Failure to provide any such information shall constitute sufficient grounds for rejection of any application. (B) Upon receipt of a complete application, with all information required by the City, and after the City staff completes its investigation and review of the application, the City Manager shall prepare a report and make recommendations to the City Council concerning the application. ~ -33- (C) The City Council shall hold a noticed public hearing on the application. Written notice shall be given at least ten (10) days prior to the hearing • on the application by U.S. mail, postage prepaid to the applicant and by publication once in a newspaper of general circulation within the City. Within sixty (60) days after the close of the hearing, unless an extension of time is mutually agreed upon by the City and the applicant, the Council shall make a written decision as to whether the Franchise should be granted, and if granted, subject to what conditions. The Council may grant one or more Franchises, or may decline to grant any Franchise. (D) In making its determinarion as to whether to grant an application for a new Franchise, the City may consider any and all factors which affect the interests ~ of the community including, but not limited to, the quality of the Cable Service proposed, the areas to be served, the rates to be charged, the amount of Franchise fee to be generated, the experience, character, background, performance history and financial responsibility of an applicant (and its management and owners), the technical performance and quality of equipment, the applicant's willingness and ability to meet construction requirements and all other limitations and requirements pertaining to the Franchise, and all other matters deemed pertinent by the City for protecting the interests of the City and the public. C~ -34- • (E) Any decision of the City Council concerning the granting or denial of a Franchise pursuant to this chapter shall be final. Section 7712. FRANCHISE RENEWAL. Franchise renewals shall be processed and reviewed in accordance with then applicable law. The City and Grantee, by mutual consent, may enter into renewal negotiations at any rime during the term of the Franchise. Section 7713. MULTIPLE FRANCHISES. (A) The City may in its sole discretion limit the number of Franchises • granted at any one time based upon its consideration of all appropriate criteria which shall include but not be limited to the following: (1) The capability of the Public Rights-of-Way to accommodate the facilities of any proposed additional Cable Systems. (2) The advantages and disadvantages that may result from additional Cable System competition. (B) The City may require that any Grantee be responsible for its own underground trenching and any associated costs if, in the City's opinion, the Public Rights-of-Way in any area do not feasibly and reasonably accommodate the •. additional cables, machinery, equipment, or other items contemplated in -35- connection with the construction, maintenance and operarion of a proposed new Cable System. In addition, Grantee shall comply with applicable federal and state • laws regarding pole attachments. Section 7714. FRANCHISE APPLICATION PROCESSING COSTS. (A) In connection with any application for a new Franchise, a Franchise renewal, or a Franchise transfer, each applicant shall pay a filing fee equal to the esrimated costs determined by the City in processing and analyzing the application, as such costs may be established by the City from time to time. Such costs shall include all administrative, consultant, noticing and document preparation expenses. No application shall be considered without payment of such fee. If the City's • actual costs in processing and reviewing the application are less than the amount of the fee, any remaining funds from the fee shall be refunded to the applicant within 60 days after final approval or denial of their applicarion. In the event that the deposit is less than the City's actual costs, Grantee shall pay such additional costs to the City within 30 days after written notice from the City that such additional payment is required. If payment of such amount is not made within such time, the City shall cease all further proceedings connected with the application. (B) Any applicarion fees are exclusive of Grantee's obligation to pay other costs and fees required by this chapter, the Franchise Agreement or the Franchise, ' ~ -36- • including without limitation construction inspection fees, permit fees, and Franchise fees. Section 7715. FRANCHISE FEE FOR CABLE SERVICES. (A) As compensation for any Franchise granted, and in consideration of permission to use the Public Right-of-Way in the operation of its Cable System, and because the City will incur costs (other than application fees) in regulating and administering the Franchise, Grantee shall pay to the City a Franchise fee in the amount equal to five percent of Grantee's Gross Revenues, or such other amount as the City Council may set by resolution or specify in the Franchise Agreement. ~ (B) The Franchise fee assessed shall be paid quarterly, to be received by the City Treasurer not later than 45 days after the close of each quarter of Crrantee's fiscal year. (C) On a quarterly basis, Grantee shall provide the City a complete and accurate statement verified by a financial officer of Grantee indicating Gross Revenues for the past quarter, listing every revenue source, and depicting gross revenue computations. (D) On an annual basis, Grantee shall file a complete and accurate statement certified by Grantee's chief financial officer, indicating all Gross ~ -37- Revenues far said year, listing every revenue. source, and depicting gross revenue computations. If the City has any concerns or objections relating to such report, • the City shall have 60 days to notify Grantee and request additional information. Grantee shall have 60 days to provide additional information to resolve any concerns or objections to the City's satisfaction. Thereafter, the City may, at its sole discretion, request that such statement be certified by an independent certified pub2ic accountant, at Grantee's sole cost; provided, however, that any such request shall be made within 60 days after Grantee's response is received. (E) At any rime during the term of a Franchise, the City shall have the right to conduct, or require Grantee to obtain, an independent audit by certified public accountants of any and all records of Grantee that are related to Gross • Revenue reparts or computations. Grantee shall pay the costs of such audit not more frequently than once every five years or upon a proposed transfer or change of control of the Franchise. Grantee shall cooperate with any such audit making readily available any and all information requested by the City. The certified public accountants shall be required to certify in the audit that the Grantee is in compliance with this chapter and the Franchise Agreement. Grantee shall maintain in a readily accessible place all such recards for a minimum of four years after any payment period that such record pertains to. This right shall be in addition to City's right to conduct any other audit. ~ -38- • (F) In the event that any Franchise fee payment is not paid by the due date, interest shall be charged monthly at a monthly rate of one and one-half percent. In addition, if ariy Franchise fee is not paid in full within 15 days after receipt of notice from the City as to the delinquency of such payment, a late fee in amount of five percent of the delinquent amount shall be assessed. (G) In the event Grantee claims to have overpaid by more than five percent the amount of Franchise fee actually due during any given quarter, it shall file an application with the City within one year after said payment was made. The failure to timely and properly make such claim shall constitute a waiver by Grantee of any right to such claimed overpayment, whether by refund, offset, credit or any • other accommodation. All such applications shall state the amount of ciaimed overpayment, the reason for the claimed overpayment, and sufficient documentation to allow the City to verify Grantee's claim. Upon request by the City, Grantee shall provide any further information that is deemed relevant by the City. All such applications shall be considered by the City Council, and the City Council's decision with respect to such applications shall be final. Section 7716. CONTENTS OF CABLE TELEVISION FRANCHISE (A) The terms and provisions of a Franchise Agreement for the operation • of a Cable System may include, without limitation, the following subject matters: -39- (1) The nature, scope, geographical area, and duration of the Franchise. • (2) The applicable Franchise fee to be paid to the City, including the percentage amount, the method of computation, and the time for payment. (3) Requirements relating to compliance with and implementation of state and federal laws and regulations pertaining to the operation of the Cable System. (4) Requirements relating to the construcrion, upgrade, or rebuild of the Cable System, as well as the provision of special services, such as outlets for public buildings, emergency alert capability, and parental control devices. • (5) Requirements relating to the maintenance of a perfonnance bond, a security fund, a letter of credit, ar similar assurances . to secure the performance of the Grantee's obligations under the Franchise Agreement. (6) Requirements relating to liability insurance, workers' compensation insurance, and indemnification. (7) Additional requirements relaring to consumer protection and customer service standards, including the resolution of Subscriber complaints and disputes and the protection of Subscribers' privacy rights. . -40- • (8) Requirements relating to the Grantee's support of local cable usage, including the provision of Public, Educational, and Govemment Access Channels, the coverage of public meetings and special events, and financial or technical support for Public, Education, and Governmental Access uses. (9) Requirements relating to construction, operarion, and maintenance of the Cable System witlun the Public Rights-of-Way, including compliance with all applicable building codes and pernut requirements, the abandonment, removal, or relocation of facilities, and compliance with FCC technical standards. • (10) Requirements relating to recordkeeping, accounting procedures, reporting, periodic audits, and performance reviews, and the inspection of Grantee's books and records. (11) " Acts or omissions constituring material breaches of or defaults under the Franchise Agreement, and the applicable penalties or remedies for those breaches or defaults, including fines, penalties, liquidated damages, suspension, revocation and termination. (12) Requirements relating to the sale, assignment, or otl~er transfer or change in control of the Franchise. r1 L.J -41- (13) The Grantee's obligation to maintain continuity of service and to authorize, under certain specified circumstances, the City's operation and • management of the Cable System. (14) Such additional requirements, conditions, policies, and procedures as may be mutually agreed upon by the parties to the Franchise Agreement and that will, in the judgment of the City, best serve the public interest and protect the public health, welfare, and safety. Section 7717. BREACH OF FRANCHISE; GROLTNDS FOR ASSESSMENT OF PENALTIES AND FRANCffiSE REVOCATION. (A) In addition to all other rights and powers retained by the City under • this chapter or otlierwise, the City reserves the right to ternunate any Franchise and all rights and privileges of Grantee, revoke any Franchise, or assess damages or penalties against Grantee, in the event of any material breach of its terms and conditions. A material breach by Grantee shall include, but not be limited to, the following: (1) Violation of any material provision of this chapter, the Franchise Agreement or.any material rule, order, regularion or directive issued in connection with the Franchise; ~ -42- (2) Evasion of any material provision of this chapter or the • Franchise Agreement, or the practice of fraud or deceit upon the City or its Subscribers and customers; (3) Material misrepresentarion of fact in an application for a new Franchise, renewal or transfer of a Franchise, whether by act or omission; (4) Failure to pay any Franchise fee when said payment is due; (5) Failure to restore Cabie Service after 72 consecutive hours of interrupted Cable Service, except in the event that the City approves in writing a longer period of interruption after making a determination that there exists just ~ cause for such longer period of interruption; (6) Failure to provide at least 80% of subscribed Cable Services over the Cable System for a period of five days, except in the event that the City approves in wriring a longer period of interruption after making a determination that there exists just cause for such longer period of interruption; (7) Failure to substantially meet customer service standards established in the Franchise over any consecutive three-month period of time; per Secrion 7749 n LJ -43- (8) Failure to initiate or Complete System Construcrion, or reconstruction within the time set forth in the Franchise, unless the City Council • expressly approves the delay by motion or resolution, due to the occurrence of conditions beyond Grantee's control; (9) Failure to provide or maintain in full force and effect at all times any insurance coverage, letter of credit or bonds required by the Franchise Agreement; (10) Violation of orders or rulings of any regulatory body having jurisdiction over Grantee relating to the Franchise; (11) Failure to provide, upon written request,. data, documents, • reports or information; and (12) Failure to pay debts .and obligations as they mature in accordance with normal business practices; assignment of Grantee or its assets for the benefit of its creditors; dissolurion, liquidation or ceasing to conduct business; application by Grantee for (or consent by Grantee to) the appointment of a receiver, trustee, liquidator; or the filing of a bankruptcy petition by Grantee to the extent pernutted by federal law ar the sale of all ar substantially all of Grantee's assets. n LJ -44- Section 7718. PROCEDURE FOR ADJLTDICATION OF BREACHES OF • THE FRANCHISE. (A) Prior to imposing any liquidated damages, sanction or penalty upon Grantee, including ternunation or revocation of the Franchise, the City Manager, sha11 demand in wriring that Grantee cure such breach within a specified period, which period shall not be less than 30 days following notification. However, only 15 days notice shall be required in the case of failure to pay monies due. In addition, the City may, in an emergency, prescribe a notice less than 30 days consistent with the nature of the emergency. An emergency under this subsection (A) means an occurrence or condition that creates an actual or imminent danger to life or property. (B) Should Grantee fail to provide sufficient written proof within the specified cure period that corrective action has been taken, or that correcrive action is being actively and expeditiously pursued by Grantee, then the City Manager may, in his ar her sole discrerion, elect to either place the issue of termination, revocation or other penalty before an appropriate hearing officer for his or her deternunation pursuant to section 7719 or the City Council pursuant to section 7720 of this Ordinance. ~ -45- (C) The City Council, the City Manager, or any hearing officer authorized to act pursuant to this ordinance shall have the power to issue subpoenas in order to carry out the fact-finding activities authorized by this Ordinance. The process for the issuance and enforcement of such subpoenas shall be governed by the California Code of Civil Procedure. Section 7719. ' HEARING OFFICER PROCEDURES. (A) The City Manager may, at his or her sole discretion and in lieu of the procedures set forth in Section 7720, refer to a hearing officer any controversy or claim arising out of or relating to the Franchise or its existence, construction, interpretation, performance, enforcement, operation, breach, continuance or ternunation. Such hearing pioceedings shall be initiated by the City Manager by written notice to Grantee. (B) The procedures set forth in Section 7749, subdivisions (B)(2)(a)-(n inclusive shall govern the conduct of such administrative hearing. (C) The hearing officer shall be vested with quasi judicial authority, and shall be authorized to: (1) order Grantee to undertake remedial action to cure any breach of its obligations under its Franchise, ~ ~ • -46- (2) assess liquidated damages and/or levy a penalty upon Grantee • in accordance with the terms of this chapter and the Franchise Agreement, (3) determine that Grantee has not violated any of its obligations under its Franchise and/or (4) recommend to the City Council grounds for the revocation of the Franchise. (D) Failure of Grantee to fully and promptly comply with an order of a hearing officer shall be deemed a material breach of the Franchise. Section 7720. CITY COUNCIL HEARING PROCEDURES. ~ (A) In the event the City Manager elects, in his sole and absolute discretion to refer a matter to the City Council pursuant to Secrion 7718, the City Council shall hold a public hearing to deternune whether Grantee materially breached the Franchise and the appropriate penalty to be imposed, if any, as a result of such breach. The City shall cause to be served upon Grantee, at least ten days prior to the date of such hearing, written notice of any intent to ternunate the Franchise and the time and place of the hearing. Grantee may appear at such hearing and present such evidence, orally or in writing that it deems relevant and appropriate to the Council's deliberations. Based on the evidence presented at the ~ -47- hearing, the City Council shall deternune, in writing, in its discrerion whether or not a material breach occurred and whether to ternunate the Franchise or take other ~ appropriate action. (B) Should the City Council find that there has been a material breach of the Franchise, but that ternunation of the Franchise is inappropriate, then the Council may assess and levy or impose such other relief as the Council deems appropriate, including, but not limited to, any relief specified in Sections 7719(C), 7721 or any combinarion thereof. (C) The City shall cause Grantee to be served with written notice of any action taken by the City Council following such puBlic hearing. The decision of the City Council as to such matters shall be final, but may be challenged by • Grantee in a court of competent jurisdiction. (D) Nothing herein is intended to limit the City Council's right to make other determinations that are reasonably related to the Franchise, or to seek any other appropriate relief to which the City may be entitled, at law or equity, as a result of any breach by Grantee of its obligations under the Franchise. Section 7721. PENALTIES FOR BREACH OF THE FRANCHISE. ~ -48- The hearing officer or City Council may impose the following penalties for ~ any breach of the Franchise, except any breach of Subscriber service standards, which shall be governed by Section 7749 of this Ordinance: _ (A) Up to $500 for each day of each material breach, or such other amount provided in the Franchise Agreement. (B) For a second material breach of the same nature occurring within 12 months where a fine or penalty was previously assessed, $1,000_for each day of each material breach. (C) For a third or further material breach of the same nature occurring • within 12 months of the first such breach, where a fine or penalty was previously assessed, up $2,000 for each day of each material breach. Section 7722. ALTERNATIVE REMEDIES. The remedies provided in this chapter are cumulative and in addirion to all other rights the City may have at law or equity ar under the Franchise Agreement, including but not limited, to liquidated damages, which remedies may be exercised at any time. In no event shall the amount of any insurance, bond, letter of credit or any other security instrument be construed to limit Grantee's liability for damages. n U -49- Section 7723. REMOVAL AND ABANDONMENT; PURCHASE OF SYSTEM. (A) Subject to applicable law, in the event that a Franchise is ternunated, revoked, or is not renewed upon expiration, then Grantee shall, upon demand of the City, and at its sole expense, promptly remove all or any portion of its Cable System. In removing its, Cable System, Grantee shall restore all streets to the City's standard specifications and repair any damage to utilities or other infrastructure caused by such removaL The liability, indemnity, insurance, security fund and bonds required under the Franchise shall continue in full force and effect until such removal is accepted as complete by the City. ~ (B) Subject to applicable law, in the event that a Franchise is not renewed ~ and the City acquires ownership of a Cable System or effects a transfer of ownership of a Cable System to another Person, any such acquisition or transfer shall be at fair market value, determined on the basis of the Cable System valued as a going concern, but with no value allocated to the Franchise itsel£ If a Franchise is revoked for cause and the City acquires ownership of the Cable System ar effects a transfer of ownership of the Cable System to another Person, any such acquisition or trarisfer shall be at an equitable price. The value of a Cable System (fair market value ar equitable price) shall be determined by an appraisal • -50- committee consisting of three disinterested appraisers. The City and Grantee shall • each select one appraiser, and the two selected appraisers shall agree upon and appoint a third appraiser. (C) If a Grantee's plant, or a portion thereof, is deactivated for a continuous period of 30 days, (except for reasons beyond the Grantee's control), and without prior written notice to and approval by City, then the Grantee must, at City's option and demand, and at the sole expense of the Grantee, promptly remove all of the Grantee's property from any streets or other Public Rights-of-Way. The Grantee must promptiy restore the streets or other public areas from which its properiy, including Distribution Facilities, has been removed to the condirion • existing prior to the Grantee's use. (D) City may, upon written application by a Grantee, approve the abandonment in place by a Grantee of any property, under such terms and condirions as City may approve. Upon City-approved abandonment in place of any property, the Grantee must cause to be executed such instruments as the City may prescribe in order to transfer and convey ownership of the abandoned property to the City. ~ -51- Section 7724. RECEIVERSHIP AND FORECLOSURE. • (A) Subject to applicable provisions of the United States Banlcniptcy Code, any Franchise shall, at the option of the City, cease and terminate 120 days after the appointment of a receiver or trustee to take over and conduct the business of Grantee whether in a receivership, reorganizarion, bankruptcy or other action or proceeding unless such receivership or riusteeship shall have been vacated priar to the expiration of said 120 days, or unless: (1) Such receiver or trustee shall have, within 120 days after his or her election or appointment, fully complied with all terms of the Franchise and remedied all breaches of the Franchise ar provided a plan for the remedy of such breaches which is approved in writing by the City; and, • (2) Such receiver or trustee shall, within said 120 days, execute an agreement duly approved by tHe Court having jurisdiction, under which such receiver or hustee agrees to be bound by each and every term, provision and limitation of the Franchise. (B) Upon the foreclosure or other judicial sale of all or a substantial part of a Cable System, Grantee shall notify the City of such fact, and such notification shall be treated as a notification that a change in ownership of Grantee has taken place and the provisions of this chapter governing such changes shall apply. • -52- DESIGN AND CONSTRUCTION ~ Section 7725. LTNDERGROiTNDING. (A) At no time shall Grantee place cable underground without appropriate authorization from the City. (B) The Cable System shall be placed underground in all portions of the Franchise area where either telephone or electric lines are underground. Whenever the poles on which the Cable System is constructed are eliminated, Grantee shall concurrently replace its aerial facilities with underground facilities. At no time shall the Cable System be the only aerial facility in any given area. ~ (C) Where the Cable System is installed underground, line extenders, amplifiers, taps, power supplies, traps and related electronic equipment and components may be placed in appropriate housings above the surface of the ground to the extent that the method employed is compliant with any and all applicable City, state, federal or other regulations, and consistent with any other generally applicable guidelines, policies or procedures that may, from time to time, be adopted by the City or other applicable government agency. Grantee shall provide a procedure for undergrounding taps and pedestals, the cost of which the Subscriber will bear, and relocating the taps and pedestals within the technical ~ constraints of the Cable System. -53- Section 7726. USE OF POLES. • Grantee shall be authorized to utilize existing poles, conduit, and other facilities of a public utility, but shall not be authorized to construct or install any new, different, or additional poles in any City streets without prior written approval by the City. Section 7727. CONSTRUCTION STANDARDS. Grantee shall install and maintain its wires, cables, fixtures, and other equipment in accordance with applicable California Public Utilities Commission pole attachment standards, electrical codes and industry standards of the Cable television industry generally applicable to the type of Cable System which Grantee ~ has constructed, owns or operates any applicable pole agreements, and all Franchise Agreement requirements. Grantee shall adhere to all building and zoning regulations currently in force or hereafter enacted. Grantee shall repair and restore any cuts and/or trenching in the roadway or sidewalks to City standards. Grantee shall locate and maintain its lines, cables, and other appurtenances, on public property, in such a manner as to cause no unreasonable interference with the use of such public property by any Person. n LJ -54- Secrion 7728. APPROVALS. ~ The City Engineer shall approve the location and method of construction of all underground facilities and equipment located on Public Right-of-Ways (including any above-grade portion of such faciliries and equipment). The City Engineer also shall approve the location and installation of all new aerial faciliries. All construction shall be subject to City permit and inspection fees as may be required by other applicabie laws or regulations. Section 7729. SUBMISSION OF DRAWINGS. Grantee shall file with the City "as-built" drawings of the entire Cable ` System, excluding technical specifications. Additionally, within 30 days after completion of any material modification of the Cable System (e.g., a system rebuild or Distribution Facility replacement), Grantee shall file with the City "as- ~ built" drawings, excluding technical specifications, of the modified Cable System. The City may require that the "as-builY' drawings be submitted in an electronic format specified by the City. Section 7730. RELOCATION OF FACILITIES AND EQUIPMENT. (A) Grantee shall remove or relocate at its sole cost any facilities installed, used or maintained in connection with the Franchise if and when such removal or ~ -55- relocation is made necessary by any project. For purposes of this section, the word "projecY' means any change of grade, alignment or width of any public street, way, • alley or place, including but not limited to, the construction of any subway or viaduct, that the. City may initiate, either by or through itself or any redevelopment agency, community facility district, assessment district, undergrounding district, reimbursement agreement or generally applicable impact fee program. (B) In the event that such removal or relocarion is required, Grantee shall commence physical fieldwork on the removal or relocation on or before 120 days after written notice of such requirement is provided by the City Manager. If, despite its reasonable efforts, Grantee is unable to commence removal or relocation within such period, Grantee shall provide the City Manager with written notice ~ explaining in detail the reasons for the delay and a date certain upon which such removal or relocarion is expected to commence. Grantee shall' diligently proceed and promptly complete all such removal or relocation after it is commenced. Section 7731. MAINTENANCE. Should Grantee fail, refuse or neglect to properly perform any maintenance or construction work required by the Franchise following due notice from the City and a reasonable opportunity to cure as provided for under this chapter, or should Grantee fail to commence performance of such work within the required period of ~ -56- rime, or fail to diligently proceed and promptly complete such work thereafter, the ~ City Manager may, upon five days prior written notice to Grantee (except in cases of emergency), cause such work or other act to be completed in whole or in part by the City forces or others, and upon so doing shall submit to Grantee an itemized statement of the costs thereof. Grantee shall pay to the City the entire amount due, without offset or deduction, within thirty (30) days from the date of such statement. CONSUMER PROTECTION AND SERVICE STANDARDS Section 7732. OPERATIONAL STANDARDS (A) Grantee must maii-tain the necessary facilities, equipment, and • personnel to comply with the following consumer protecrion and service standards under "normal operating conditions" as that term is defined below in subsection (D): (1) Provide sufficient toll-free telephone line capacity during normal business hours to ensure that telephone calls are answered promptly. Telephone answer rime by a customer service representative, including wait time, shall not exceed 30 seconds when the connection is made. Callers who must be transferred may not be required to wait more than 30 seconds before being connected to a service representative. ~ -57- (2) Under normal operating conditions, callers may not receive a busy signal more than three percent of the time, measured on a quarterly basis. • (3) Provide emergency toll-free telephone line capacity on a 24-hour basis, including weekends and holidays. After normal business hours, the telephone calls may be answered by a service or an automated response system, including an answering machine. Calls received after normal business hours must be responded to by a trained company representative on the next business day. (4) Provide a conveniently-located local business and service or payment office open during normal business hours at least eight hours daily on weekdays, and at least four hours weekly on evenings or weekends, and adequately staffed ~ with trained customer service representatives to accept subscriber payments and to respond to service requests, inquiries, and complaints. (5) Provide an emergency system maintenance and repair staff, capable of responding to and repairing major system malfuncrions on a 24-hour per day basis. (6) Maintain a.trained installation staff to provide service to any subscriber requiring a standard installation within seven days after receipt of a request, or such longer time as may be requested by the subscriber, in all areas where trunk and feeder' cable have been activated. "Standard installations" are r~ U -58- those that are located up to 150 feet from the existing distribution system, unless ~ otherwise defined in the franchise agreement. (7) The Grantee must schedule, within a specified four-hour time period Monday through Saturday (legal holidays excluded), all appointments with subscribers for installation of service, service calls, and other activities at the subscriber's location. The Grantee may schedule installation and service calls outside of normal business hours for the convenience of the subscriber. The Grantee may not cancel an appointment with a subscriber after the close of business on the business day prior to the scheduled appointment. If a Grantee representative is delayed in keeping an appoinrinent with a subscriber and will not • be abie to honor the scheduled appointment, the subscriber must be contacted prior to the time of the scheduled appoinhnent, and the appointment must be rescheduled, as necessary, at a time that is convenient for the subscriber. The Grantee must undertake appropriate quality control measures to ensure that the customer is satisfied with the work. (8) Subscribers who have experienced a late or a missed appoinhnent due to the fault of the Grantee will either receive an installation free of charge or a$20 credit. ~ -59- (9) Upon a subscriber's request; the Grantee will arrange for pickup or replacement of converters or other equipment provided by the Grantee at the ~ subscriber's address within 14 days after the request is made if the subscriber is mobility-limited. (B) Under normal operating conditions, the standards of subparagraphs (1), (2), (3), (4,) and (7) above must be met notless thari ninery percent of the time, measured on a quarterly basis. (C) As used in this paragraph (A), the term "normal business hours" means those hours during which most similar businesses in the community are open to serve customers. In all cases, "normal business hours" must include some • evening hours at least one night per week and/or some weekend hours. (D) As used in this paragraph (A), the term "normal operating conditions" means those service conditions that are within the control of the cable operator. Conditions that are not within the control of the cable operator include, but are not limited to, natural disasters, civil disturbances, power outages, telephone network outages, and severe or unusual weather conditions. Conditions that are ordinarily ~ within the control of the cable operator include, but are not limited to, special promotions, pay-per-view events, rate increases, regular peak or seasonal demand periods, and maintenance or upgrade of the cable system. ~ -60- Section 7733. SERVICE STANDARDS ~ (A) The Grantee will render efficient service, make repairs promptly, and interrupt service only for good cause and for the shortest time possible. Bxcept in emergency situations, scheduled interruptions will occur during a period of minimum use of the cable system, preferably between midnight and 6:00 a.m. Unless the scheduled interruption lasts for no more than two hours and occurs between midnight and 6:00 a.m. (in which event 24-hours prior notice must be given to the City), 48-hours prior notice must be given to subscribers. (B) The Grantee will maintain a repair force of technicians who will • respond to subscriber requests for service within the following time frames: (1) For a system outage: Within two hours, including weekends, of receiving subscriber calls or requests for service that by number identify a system outage of sound or picture of one or more channels, affecting five or more subscribers of the system. (2) For an isolated outage: Within 24-hours, including weekends; of receiving requests far service identifying an isolated outage of sound or picture for one or more channels. ~ -61- (3) For inferior signal quality: No later than the following business day, excluding Sundays and holidays, after a request far service identifying a • problem concerning picture or sound quality. (C) The Grantee will be deemed to have responded to a request for service under. the provisions of this paragraph (B) when a technician arrives at the scrvice location and begins work on a problem that. cannot be corrected from a remote location. If a subscriber is not home when the technician arrives, the technician must leave written notification of arrival. (D) The Grantee may not charge for the repair or replacement of defective or malfunctioning equipment provided by the Grantee to subscribers, unless the • defect or malfuncrion was caused by the subscriber. (E) The Grantee must, deternune the nature of the problem within 24 hours after commencing work and resolve all cable system related problems within three business days, unless technically infeasible. Section 7734. BILLING AND INFORMATION STANDARDS (A) Subscriber bills must 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 also must clearly delineate . -62- all activity during the billing period, including optional charges, rebates, and ~ credits. (B) The first billing to a subscriber after a new installation or service change must be prorated based upon when the new or changed service commenced. Subscribers must not be charged a late fee or otherwise penalized for any failure attributable to the Grantee, including the failure to timely or correctly bill the subscriber. (C) In case of a billing dispute,. the Grantee must respond in writing to a written complaint from a subscriber within 10 days after receiving the complaint at ~ the office specified on the billing statement for receiving that complaint. (D) Upon request by a subscriber, credits or refunds must be provided by Grantee to subscribers who experience an outage, interruption, or disconnection of service of four or more consecutive hours, provided that such loss of service is neither caused by the subscriber nor attributable to scheduled repairs, maintenance, or construction in circumstances where Grantee has provided advance written notice to a subscriber, and the loss of service does not exceed the time period specified by Grantee. For subscribers ternunating service, credits or refunds must be issued promptly, but no later than 30 days after the return of any Grantee- ~ supplied equipment. -63- (E) The Grantee must provide written information on each of the following matters at the time of the installation of service, at least annually to all subscribers, and at any time upon request: (1) Products and services offered. (2) Prices and options for programming services and conditions of subscription to programming and other services. (3) Installation and service maintenance policies. (4) Instructions on the use of the cable service. (5) Channel positions of programming carried on the system. (6) Billing and complaint procedures, including the address and telephone number of the City's office designated for dealing with cable-related issues. (7) Consumer protection and service standards and penalties for noncompliance. (F) Subscribers must be notified of any changes in rates, 'programming services, or channel positions as soon as possible through announcements on the cable system and in writing. Notice must be given to subscribers a minimum of 30 days in advance of those changes if the change is within the control of the Grantee ~ r~ ~J ~ -64- In addition, Grantee will endeavor to notify the City of those changes at least five ~ working days before subscribers are notified. (G) The Grantee must maintain a public file containing all notices provided to subscribers under these consumer protection and service standards and all published promotional offers made by Grantee to subscribers. These documents must be maintained for a minimum period of two years. Section 7735. VERIFICATION COMPLIANCE WITH STANDARDS (A) Upon 30 days prior written norice, the City may require the Grantee to provide a written report demonstrating its compliance with any of the • consumer service standards specified in this section. The Grantee must provide sufficient documentation to enable the Grantor to verify compliance. (B) A repeated and verifiable pattem of noncompliance with the consumer protection and service standards of this section, after the Grantee's receipt of written notice and an opportunity to cure, may be deemed a material breach of the franchise agreement. Section 7736. SUBSCRIBER COMPLAINTS AND DISPUTES (A) The Grantee must establish written procedures for receiving, acting ~ upon, and resolving subscriber complaints without intervention by the City. The -65- written procedures must prescribe the manner in which a subscriber may submit a complaint, either orally or in writing, specifying the subscriber's grounds for • dissatisfaction. The Grantee must file a copy of these procedures with the City These procedures must include a requirement that the Grantee respond in writing to any written complaint from a subscriber within 10 days after receiving the complaint at the office specified on the billing statement for receiving that complaint, as provided for above in Section 7732(A)(4). (B) Upon request, and .subject to applicable law protecting subscriber privacy rights, the City has the right to review the Grantee's response to subscriber complaints. ~ (C) All subscribers have the right to continue receiving service so long as their financial and other obligations to the Grantee are honored. If the Grantee elects to rebuild, modify, or sell the system, or if the City gives notice of intent to terminate or not to renew the franchise, the Grantee must act so as to ensure that all subscribers receive service while the franchise remains in force. (D) Upon a change of control of the Grantee, or if a new operator acquires the cable system, the original Grantee must cooperate with tlie City, the new Grantee, or the new operator in maintaining continuity of service to all subscribers. ~ U -66- During that transition period, the Grantee is entitled to the revenues derived from ~ its operation of the cable system. Section 7737. DISCONNECTION/DOWNGRADES - (A) A subscriber may ternvnate or downgrade service at any time, and the Grantee must promptly comply with the subscriber's request within seven days or at any later time requested by the subscriber. No period of notice prior to voluntary ternunation or downgrade of service may be required of subscribers. Grantee will impose no charges for the voluntary terminarion or downgrade of service unless a visit to the subscriber's premises is required to remove a converter • box or other equipment or property owned by Grantee. Grantee may, in accordance with applicable law, charge a fee to downgrade seroice if a service call is required. (B) The Grantee may disconnect a subscriber's service in compliance with paragraphs (i), (j), and (k) of Section 53088.2 of the California Government Code. If service is disconnected for nonpayment of past due fees or charges, the Grantee must promptly reinstate service upon payment in full by the subscriber of all such fees and charges, including late charges. ~ ~ -67- (C) Notwithstanding the requirements of subsection (B) above, the Grantee may immediately disconnect service to a subscriber if the subscriber is ~ damaging or destroying the Grantee's cable system ar equipment. (D) The Grantee may also disconnect service to a subscriber when it causes signal leakage exceeding federal limits. If service is disconnected, the Grantee will immediately resume service without charge upon the satisfactory correction of the signal leakage problem if the signal leakage problem is attributable to the Grantee. (E) The Grantee may also disconnect service in case where customers are stealing service or have threatened Grantee's personnel with • physical violence. (F) Upon ternunation of service to a subscriber, the Grantee will remove its equipment from the subscriber's premises within 30 days. The equipment will be deemed abandoned if it is not removed within such time period unless the Grantee has been denied access to the subscriber's premises. Section 7738. NEGATIVE OPTION BILLING PROHIBITED ~ -68- No charge may be imposed for any service or equipment that the subscriber ~ has not affirmatively selected. Payment of the regular monthly bill will not by itself constitute an affirmative selection. Section 7739. DEPOSITS Grantee may require a reasonable, nondiscriminatory deposit on equipment provided to subscribers. Such deposits must be placed in an interest-bearing account. The deposit must be returned, with interest earned to the date of repayment, within 30 days after the equipment is returned to the Grantee. Section 7740. PARENTAL CONTROL OPTIONS • Grantee must provide parental control devices at no charge to all subscribers who desire to block the video or audio portion of any pay channels providing adult programming that the subscriber finds objectionable. For other programming, such devices will be provided at a reasonable charge to the subscriber. Secrion 7741. ADDITIONAL REQLJIREMENTS (A) All officers, agents, and employees of the Grantee, or of its contractors or subcontractars, who, in the normal course of work come into contact with members of the public, or who require entry onto subscribers' premises, must . display a photo- identification card. The Crrantee must account for all -69- identification cards at all times. All vehicles of the Grantee or its subcontractors must be clearly identified as . vehicles engaged in providing services for the ~ Graritee. (B) Additional standards relaring to service, consumer protection, and response by the Grantee to subscriber complaints not otherwise provided for in this section may be adopted by ordinance, and the Grantee must comply with those standards in the operation of the cable television system. A verified and continuing pattern of noncompliance may be deemed a material breach of the franchise agreement, provided that the Grantee receives written notice and an opportunity to cure before any penalty ar other remedy is imposed. ~ Secrion 7742. PENALTIES FOR NONCOMPLIANCE (A) Purpose The purpose of this paragraph is to authorize the imposition of monetary penalties for the violation of the customer service standards established by this Ordinance. The imposition of penalries authorized by this section 7742 will not prevent the City or any other affected party from exercising any other remedy to the extent permitted by law, including, but not limited to, any judicial remedy as provided below in subsection (B)(4) or otherwise by this Ordinance. . -70- (B) Administration and Appeals. ~ (1) The City Manager or the City 1Vlanager's designee is authorized to administer this section 7742. Decisions by the City Manager to assess monetary penalties ~against the Grantee must be in writing and must contain findings supporting the decisions. The written decision shall be filed with the City Clerk and a copy thereof shall be served on the Appellant in accordance with Section 1094.6 of the California Code of Civil Procedure. (2) If the Grantee or any interested person ("AppellanY') is aggrieved by a decision of the City Manager made pursuant to this Section, the aggrieved party ~ may, within 10 days of the written decision, appeal that decision in writing to the City Clerk. Such appeal shall be in a form prescribed by the City Clerk. The appeal letter must be accompanied by the fee established by the City Council for processing the appeal. The City Clerk will refer the matter to the City Manager who will iniriate the administrative hearing process outlined below: (a) The hearing officer shall be selected by the City Manager and compensated for the time expended in providing such service based upon a written agreement for that purpose. The hearing officer's employment or compensation shall not be based on the outcome rendered by the hearing officer. If the appellant n U -71- so elects in writing prior to the hearing, the appellant shall be entitled to pay for one half (1/2) of the costs of the services of the hearing officer. ~ (b) The hearing shall be conducted by the hearing officer on the date, time and place specified by the hearing officer. The hearing shall proceed solely on the issues or defenses raised in the request far a hearing filed by the Appellant; and all matters not contested in said request shall be deemed admitted. (c) The Appellant shall have the burden to establish, by a preponderance of the evidence, that either: (1) the City Manager has proceeded without, or in excess of jurisdiction; (2) there was not,a fair trial; or (3) there was any prejudicial abuse of discretion. Abuse of discretion is established if the City Manager has not ~ proceeded in the manner required by law, the decision is not supported by the findings, or.the findings are not supported by the evidence. The City Manager's written deoision and findings shall be admitted into evidence and shall constitute prima facie evidence of all matters contained therein. The parties may present such other evidence and reports as may be necessary or helpful to the hearing officer to resolve the issues raised by the citee. (d) , The parties shall be given the opportunity to testify and to present evidence relevant to the matters raised in the appeal. ~ _72_ (e) The City Manager's written decision and findings, and other reports ~ prepared by the City Manager, or at his or her request, concerning the alleged violation or violations or their attempted correction shall be accepted by the hearing officer as prima facie evidence of the violation or violations. (f j The hearing shall be conducted informally and the rules of evidence need not be followed; provided however that the decision of the hearing officer on any material issue may not be based upon hearsay evidence alone. The hearing officer may adopt such supplementary rules of procedure and evidence as may be useful in a deternunation of the issues involved, to the extent such rules are not otherwise provided for herein. ~ (g) The failure of the Appellant to appear at the hearing shall constitute a waiver of his or her contest to the City Manager's decision and a failure to e~aust administrative remedies concerning the City Manager's decision. Such failure to appear shall constitute an admission of the truth of all matters contained in the City Manager's decision, which shall be ordered in the decision of the hearing officer. (h) The hearing officer may continue the hearing upon the request of the Appellant, or the Appellant's representative, or the representarive of the City, or on the hearing officer's own motion, upon a showing of good cause. All conrinuance -73- requests shall.be made in writing. If the continuance is granted, a new hearing date shall be set, which continued hearing date shall be within fifteen days. ~ (i) After considering all the evidence and testimony submitted at the heating, the hearing officer shall issue his ar her written decision within five business days following the conclusion of the hearing. The decision of the hearing officer shall; either uphold or deny the City Manager's decision or any portion thereof and state the facts and reasons supporting the decision. The hearing officer also shall order any remedy necessary to effectuate the hearing officer's decision, including, but not limited to, a revision of the amount of money owed by the Grantee after due consideration of the circumstances pursuant to subparagraph (B)(6)(b), below. The written decision shall be filed with the City Clerk and a ~ copy thereof shall be served on the Appellant in accordance with Section 1094.6 of the California Code of Civil Procedure. (j) All decisions and orders of a hearing officer shall become final unless appealed as provided herein. (k) The Appellant or the City may seek judicial review of the decision of the hearing officer by filing an appeal with the Superior Court within ninety (90) in accordance with applicable law, including the provisions of California Code of Civil Procedure Section 1094.6. No appeal shall be pernutted from a decision ~ -74- based upon the failure of the Appellant to appear at the administrative hearing or • upon any other waiver of the administrative hearing by the Appellant. (~ If an appeal of any decision or order of a hearing officer that ordered the Appellant to pay any amount due is affirmed by the reviewing court, in whole or part, the court shall enter an order requiring the Appellant to pay such amount and said order shall constitute a money judgment. (3) Schedule of Penalties. The. following schedule of monetary penalties may be assessed against the Grantee for the material violation of the provisions of the customer service standards set forth in this section, provided that ~ the violation is within the reasonable control of the Grantee: (a) The maYimum penalty for a first material violation is two hundred dollars ($200) for each day of the material violation. (b) For a second material violation of the same nature within a 12-month period for which the City has provided notice and a penalty has been assessed, the ma~cimum penalty is five hundred dollars ($500) for each day of the material violation. (c) For a third ar further material violation of the same nature within a 12-month period for which the City has provided notice and a ~ -75- penalty has been assessed, the maximum penalty is seven hundred fifty dollars ($750) for each day of the material violarion. • (4) Judicial Remedy. This paragraph does not preclude any affected party from pursuing any judicial remedy available to that party without regard to this paragraph (k). (5) Notice of Violation. The City must give the Grantee written notice of any alleged violarion of the consumer service standards and allow the Grantee at least 30 days from receipt of the notice to remedy the specified violation. (6) Assessment of Monetary Penalties. (a) If a violation has not been corrected or cured by Grantee within the ~ time specified by the City, the monetary penalties specified above in subparagraph (c) may be assessed from the date of delivery to Grantee of the City's written notice of violation. (b) In assessing monetary penalties under this paragraph (k), the City Manager, Hearing Officer, ar the City Council, as applicable, may take into account the nature, circumstances, extent and gravity of the violation and, with respect to the Grantee, the degree of culpability, any history of prior violations, and such other matters as may be relevant. If warranted under the circumstances, the C~ -76- monetary penalty to be assessed may be less than the maximum penalty amount • specified above in subparagraph (c). Section 7743. ADDITIONAL CONSiTMER PROTECTION AND SERVICES STANDARDS (A) In addition to the consumer protection and service standards that are specified above in section 7732 -secrion 7750, the franchise agreement with a Grantee may require compliance with the following: (1) Federal statutes, and the rules, regulations, and orders of the Federal Communications Commission, including the following: • (a) The provisions of Section 76.309(c) of Title 47 of the Code of Federal Regulations, as it now exists or may later be amended, (b) The provisions of Section 76.630 of Title 47 of the Code of Federal Regularions, as it now exists or may later be amended. (c) The provisions of Section 551 of Title 47, United States Code, as it now exists or may later be amended. (d) The provisions of California Government Code Sections 53054, et seq., entitled the "Cable Television and Video Provider Customer Service and • Information Act." -77- (e) The provisions of California Government Code Section 53088, et seq., entitled the "Video Customer Service Act." (fl The provisions of California Civil Code Secrion 1722(b)(1)-(6) relating to service or repair transactions between cable television companies and their subscribers. (g) The provisions of California Penal Code Secrion 637.5 relating to subscribers' rights to privacy protection. (B) The City may, in its discretion, incorporate in a franchise agreement those customer service and protection standards referenced above in this paragraph (A) that are the most stringent, and that afford the greatest protection to consumers. These standards will apply, to the extent authorized by law, to all video, voice, and data services that are provided by the Grantee to its subscribers within the franchise service area. Section 7744. COMPATIBILITY WITH CONSUMER ELECTRONICS EQUIPMENT. (A) The Grantee shall not scramble ar otherwise encrypt signals carried on the basic service tier. Requests for waivers of this prohibition must demonstrate n LJ • C~ J -78- either a substantial problem with theft of basic tier service or a strong need to • scramble basic signals for other reasons. (B) The Grantee shall comply with equipment compatibility rules and commercial" availability of navigation equipment rules of the FCC. (C) The Grantee shall offer Subscribers the option to receive an A/B switch at the rime of inirial Cable Service instailation and shall provide Subscribers with written information as to how to use such a switch. The Grantee may charge a reasonable price for said switch. Upon Subscriber request, the Grantee shall provide ari A/B switch after the initial installation of Cable Service. If the • Subscriber requests installation of such a switch (to receive broadcast television without Cable hookup), the Grantee may charge reasonable fees for such installation and equipment. RATES Secrion 7745. RATE REGiJLATION. The City may regulate a Grantee's rates, charges, and prices to the maximum extent permitted by law now or at a future time. (A) Filing of Rates and Charges. Throughout the term of any Franchise Agreement entered into pursuant to this chapter, Grantee shall maintain on file ~ -79- with the City a complete schedule of all rates and charges related to providing Cable Services under the Franchise, in a form satisfactory to the City. • (B) Changes in Rates and Charges. Grantee shall provide written notice to the City and Subscribers at least thirty (30) days in advance of any proposed change in rates and charges within the control of Grantee. Such notice shall be provided in the Subscriber's bill. (C) . Regulation of Equipment ,for Hearing-Impaired. To the extent authorized by law, the City reserves the right to require and regulate the installation or rental of equipment that facilitates the reception of Cable Service by hearing impaired individuals. . Section 7746. BILLING PROCEDURES. Billing procedures shall be as follows: (A) Bills will be clear, concise, and understandable: Bills must be fully itemized, with itemizations including, but not limited to, basic and premium service charges and equipinent charges. Bills will also clearly delineate all activity during the billing period, including: (1) A list of each service or package received for that billing period; (2) The rate or charge for each service or package received; . _gp_ (3) The period of time over which said services are billed; (4) The total charges due for the monthly period, separate from any previous balance due; (5) Credits posted during the month; (i) Credits for service will be issued no later than the Subscriber's next billing cycle following the determination that a credit is warranted. (6) A specific date by which payment is required; and (7) The customer service telephone number to which billing inquiries or ~ complaints can be directed. (B) A Grantee's first billing statement after a new installation or service change shall be prorated as appropriate and shall reflect any security deposit. (C) A Grantee's billing statement must show a specific payment due date, and no late payment fee may be imposed on a Subscriber earlier than thirty (30) calendar days from the due date on the billing statement. Any balance not received within thirty (30) calendar days of the due date may be assessed a late fee consistent with this Chapter. Any late fee assessed must appear on the following month's billing statement. ~ -81- (D) A Grantee must norify the Subscriber that he or she can remit payment in Person at the Grantee's office located in or near the City and inform the • Subscriber of the address of that office. (E) Every customer who pays his or her bill directly shall have at least fifteen (15) days from the date of the bill for services is mailed to pay the listed charges. Customer payments shall be posted promptly. The Grantee shall not ternunate any residential service for nonpayment of a delinquent account without fifteen (15) days prior written notice. Such notice shall not be mailed until after the sixteenth (16th) day from the time the bill for services was mailed to the customer. The Grantee may not assess a late charge earlier than the twenty-second (22nd) day from the time the bill for services has been mailed. ~ (F) In case of a billing dispute, the Grantee must respond to a written complaint from a Subscriber within thirty (30) days. (G) At the time of the initial complaint, Grantee shall provide written or verbal notice to customers that in the event of a billing dispute, the Grantee, upon resolurion of the dispute when Grantee is at fault, shall waive a late fee. (H) Subscribers shall not be charged a late fee ar otherwise penalized for any failure by the Grantee, its employees, or contractors, including failure to timely ~ _82_ or correctly bill the Subscriber, or failure to properly credit the Subscribers for a • payment made in a timely manner. (I) Every notice of terminarion of service shall include: name and address of Subscriber whose account is delinquent; the amount of the delinquency; the date by which payment is required in order to avoid ternunation of service; the telephone number of the Grantee for additional information and/or to handle complaints or iniriate an investigation concerning service and charges in question. (J) Service may only be ternunated on days and at times in which the Subscriber can reach a Customer Service Representative of the Grantee either in • Person or by telephone. (K) The Grantee shall afford each Subscriber of the Cable System with a right to rescind the Subscriber's ordering of service within three (3) days after ordering, provided that such right of rescission shall end upon activation of the service ordered. (L) The Grantee will not pass-through Franchise fees to Subscribers which exceed 5.25% of the amount shown on the bill for Cable Services and equipment. ~ -83- (M) The Grantee shall assess any late fees in accordance with California law. In no event shall a late fee exceed the maximum amount pernussible under • California law. (N) Any Franchise Agreement entered into pursuant to this chapter may contain provisions for a discount on basic and Cable programming riers or any other Cable Services for Persons with specific income and disability qualifications. (O) Grantee will set rates for equipment deposits no higher than the actual replacement value of the equipment for which the deposit is applied. Equipment deposits shall be promptly returned to Subscribers upon the return in good working condition to the Grantee of the equipment for which said deposit was required. ~ Section 7747. REFUNDS. (A) Refund checks will be issued promptly, but no later than either: (1) the Subscriber's next billing cycle following resolution of the request or thirty (30) days, whichever is earlier, or (2) in cases involving the return of the equipment supplied by the Grantee if service is ternunated for any reason, by the Subscriber's next billing cycle following resolution of the request ar thirty (30) days, whichever is earlier. n U -84- (B) If the Grantee does not mail a check for a refund to any Subscriber • disconnecting service with an outstanding credit within the next billing cycle or thirty days, whichever is earlier, the Subscriber may request and is enritled to receive a ten dollar ($10.00) payment. Section 7748. NOTICE OF RATE INCREASES. Grantee shall provide written notice to the City and Subscribers at least 30 days in advance of the implementation of changes in any of its rates and charges which are not subject to regulation by the City. Section 7749. NON-DISCRIMINATION AND CUSTOMER PRIVACY. • (A) Service Availability. (1) No Person, firm or corporation in the existing seryice area of a Grantee shall be arbitrarily refused service; provided, however, that the Grantee shall not be required to provide service to any Subscriber who does not pay the applicable connection fee or monthly service charge hereby authorized. (2) A Grantee shall not deny any Cable Service ar otherwise discriminate against Subscribers or others on the basis of race, color, religion, national origin, sex, age or sexual preference. A Grantee shall strictly adhere to the equal • employment opportunity requirements of federal, state or local governments and -85- shall comply with all applicable laws and executive and administrative orders relating to non-discrimination. ~ (3) A Grantee may not require the subscription to any tier other than the basic service tier as a condition of access to video programming offered on a per cliannel or per program basis. A Grantee may not discriminate between Subscribers to the basic service tier and other Subscribers with regard to the rates charged for video programming offered on a per channel or per program basis. (4) A Grantee will abide by all customer privacy requirements of federal and State law. At least annually, a Grantee shall provide notice in the form of a separate, written statement to each Subscriber, which clearly and conspicuously informs the Subscriber o£ (a) the nature of personally idenrifiable information collected or to be collected with respect to the Subscriber and the nature of the use of such information; (b) the nature, frequency and purpose of any disclosure, which may be made of such information, including the identification of the types of Persons to whom the disclosure may be made; U ~ -86- (c) the period during which such information will be maintained by the • Grantee; (d)" the times and place at which the Subscriber may have access to such information in accordance with federal and State law; and (e) the limitations provided in federal and State law with respect to the collection and disclosure of information by a Grantee and the right of the Subscriber under law. (B) Data Collection. A Grantee's data collection and dissemination pracrices regarding • Subscribers shall be in compliance with the Cable Act (including Section 631) and this Chapter. (C) Revealing Subscriber Preferences. (1) A Grantee shall not reveal individual Subscriber preferences, viewing habits, beliefs, philosophy, creeds or religious beliefs to any third Person, firm, agency, governmental unit or investigating agency without court authority or prior written consent of the Subscriber. (2) Such written consent, if given, shall be limited to a period of time not • to exceed one (1) year or a term agreed upon by the Grantee and Subscriber. -87- (3) A Grantee shall not condition the delivery or receipt of Cable Services to any Subscriber on any such consent. • (4) Such a Subscriber may revoke without penalty or cost any consent previously made by delivering to the Grantee in writing a substantial indication of his intent to so revoke. (D) Revealing Subscriber Lists. A Grantee shall not reveal, or sell, or permit the release or sale of its Subscriber list without the prior affirmative written consent of each Subscriber, provided that the Grantee may use its Subscriber list as necessary for the construction, marketing, and maintenance of the Grantee's services and facilities • authorized by its Franchise, and the related billing of Subscribers for Cable Services. Consistent with applicable law, City may use Grantee's Subscribers list for the purpose of communication with Subscribers in connection with matters relating to operation, management, and maintenance of the Cable System. (E) Other Persons Affected. This Section shall apply to all of the following as well as to any Grantee: (1) Officers, directors, employees and agents of the Grantee; (2) General and limited pariners of the Grantee; • -88- (3) Any Person or combination of Persons owning holding or Controlling • five percent (5°/a) or more of any corporate stock or other ownership interest of the Grantee; (4) Any affiliated or subsidiary entity owned or Controlled by the Grantee, or in which any officer, director, stockholder, general or limited partner or Person or group of Persons owning, holding or Controlling any ownership interest in the Grantee, shall own, hold or Control five percent (5%) or more of any corporate stock or other ownership interest; (5) Any Person, firm or corporation acring or serving in the capability of holding or Controlling company of the Grantee. ~ Section 7750. WRITTEN OR ORAL NOTICE TO ENTER PROPERTY. Under Normal Operating Conditions, Grantee shall provide written or oral notice, in light of circumstances, prior to entering any private property. Section 7751. NOTICE REGARDING CHANNEL SCRAMBLING. Subscribers shall be given at least thirty (30) days written notice of any scrambling of a channel, and any de-scrambling of a channel(s) containing R-rated or stronger programming. Subscribers do not need to be notified of blackout periods required of the Grantee by programiners. ~ -89- SERVICE PROVISIONS Section 7752. TENANT RIGHTS. • It is the City's intent that tenants not be discriminated against in the ability to subscribe to Cable Services. Grantee shall be required to provide service to tenants in individual units of a multiple housing facility with all services offered to other dwelling units within the Franchise Area, so long as the owner of the facility consents in writing, if requested by Grantee, to the following: (A) Grantee's providing the service to units of the facility on such terms and conditions as are reasonable; provided that (1) the owner of the facility shall not seek to charge Grantee any fee or • consideration for access to the facility or for the right of providing Cable Service to the dwelling units within the facility, (2) Grantee shall not seek to charge the owner of the facility any fee or consideration for installing such service other than its actual costs as provided for herein, and (3) such terms and conditions shall be in compliance with applicable law; (B) Reasonable access to the premises by Grantee for installation, maintenance, and inspection of the system on the premises; • -90- (C) Reasonable conditions promulgated by Grantee to protect Grantee's • equipment and to encourage widespread use of the system; (D) The owner shall not discriminate in rental charges, or otherwise, between tenants who receive Cable Service and those who do not; and (E) The owner shall provide all easements, rights-of-way, and other rights of access deemed reasonably necessary or appropriate by Grantee for purposes of providing Cable television service to the facility. Secrion 7753. CONTINUITY OF SERVICE MANDATORY. (A) Subscribers shall have the right to conrinue to receive service so long ~ as their financial and other obligations to Grantee are honored. Grantee shall at all times, and under all conditions, to the greatest extent economically and technically possible, maintain conrinuity of service. In the event of an assignment of the Cable System, the assignor shall cooperate with the City and the assignee in order to maintain continuity of service to all Subscribers. (B) In the event Grantee willfully fails to operate the Cable System for a period of five consecutive days without prior approval of the City, the City may, in its sole discretion, elect to operate the Cable System or designate an operator until Grantee restores service under conditions acceptable to the City, or until the City C, J -91- selects a permanent operator. During the entire period while the City operates the Cable System on behalf of Grantee, or causes another party to do so, the City shall • be entitled to collect any and all revenues from the operation of the Cable System, and Grantee shall reimburse the City for all reasonable costs or damages in excess of the revenues collected by the City that are caused by Grantee's failure to perform. OPEN VIDEO SYSTEMS Section 7754. APPLICABILITY. The provisions of this chapter apply to an Open.Video System Operator that intends to deliver video progranuning to consumers in the City over an Open Video System. • Section 7755. APPLICATION REQUIRED (A) Before commencing the delivery of Video Prograiruning services to consumers in the City over an Open Video System, the Open Video System Operator must file an application with the City. That application must include or be accompanied by the following, as applicable: (1) The identity of the applicant, including all Affiliates of the Applicant. (2) Copies of FCC Form 1275, all °Notices of Intent" filed under 47 CFR section 76.1503(b)(1), and the Order of the FCC, all of whicfi relate to certification • -92- ~ of the applicant to operate an Open Video System in accordance with ~ Secrion 653(a)(i) of the Communicarions Act and the FCC's rules. (3) The area or areas of the City that the applicant desires to serve. (4) A description of the Open Video System services that will be offered by the applicant over its existing or proposed facilities. (5) A description of the transmission medium that will be used by the applicant to deliver the Open Video System services. (6) Informarion in sufficient detail to establish the applicant's technical qualifications, experience, and experrise regarding the ownership and operation of ~ the Open Video System described in the application. (7) Financial statements prepared in accordance with generally accepted accounting principles that demonstrate the applicant's financial ability to: (a) Construct, operate, maintain and remove any new physical plant that is proposed to be constructed in the City. (b) Comply with the City's Public, Educational, and Government Access Channel requirements as specified below in Section 7757 B(4). ~ -93- (c) Comply with the City's requirement that gross revenue fees be paid in the sum of 5 percent (5%), as specified below in Section 7757 (B)(2). ~ (8) An accurate map showing the location of any existing telecommunications facilities in the City thaY the applicant intends to use, to purchase, or to lease. (9) If the applicant's operation of the Open Video System will require the construction of new physical plant in the City, the following additional information must be provided: (a) A preliminary construction schedule and completion dates. (b) Preliminary engineering plans, specifications, and a network map of any new facilities to be constructed in the City, in sufficient detail to identify: (i) The location and route requested for the applicant's proposed faciliries. (ii) The locations, if any, for interconnection with the facilities of other telecommunications service providers. r1 U C~ -94- (iii) The specific structures, improvements, ~ facilities, and obstructions, if any, that the applicant proposes to remove or relocate on a temporary or permanerit basis. (c) The applicant's statement that, in constructing any new physical plant, the applicant will comply with all applicable ordinances, rules, and regulations of the City, including the payment of all required pemut and processing fees. (10) The information and documentation that is required to be ~ submitted to the City by a Video Provider, as specified below in paragraph (B) of Section 7759. (l l) Such additional information as may be requested by the City Manager. (12) A nonrefundable filing fee in an amount established by resolution of the City Council. (B) If any item of information specified above in paragraph (A) is ~. deternuned under paramount federal ar state law to be unlawful, the City Manager is authorized to waive the requirement that such information be included in the application. -95- Section 7755. REVIEW OF;APPLICATION. Within 30 days after receipt of an application filed under Section 7755 • that is deemed to be complete, the City Manager will give written notice to the applicant of the City's intent to negotiate an agreement setting forth the terms and conditions under which the operation of the proposed Open Video System will be authorized by the City. The commencement of those negotiations will be on a date that is mutually acceptable to the City and to the applicant. Section 7756. AGREEMENT REQUIRED AND FEES. (A) No Video Programming services may be provided in the City by an Open Video System operator unless the operator and the City have executed • a written agreement, which may be designated as a Franchise, setting forth the terms and conditions under which the operation of the proposed Open Video System will be authorized by the City. (B) The agreement between the City and the Open Video System operator may contain terms and condirions that relate to the following subject matters, to the extent that such terms, conditions, and subject matters are not preempted by federal statute or regulations: ~ -96- (1) The nature, scope, and duration of the agreement, ~ including provisions for its renewal or extension. (2) The obligation of the Open Video System operator to pay to the City, at specified times, fees on the gross revenue received by the operator, as authorized by 47 CFR section 76.1511, in accordance with the following standards and procedures: (a) The amount of the fees on the gross revenue will be five percent (5%), and will be paid in lieu of the Franchise fees authorized under Section 622 of the Communications Act. • (b) T'he term "OVS Gross Revenue" means all gross revenue as defined in Secrion 7702 and (i) all revenue all carriage revenue received from unaffiliated video programming providers; and (ii) all other revenue derived directly or indirectly from or attributable to the operation of Open Video system.. The term "OVS Gross Revenue" does not include revenue, such as Subscriber or advertising revenue, collected by unaffiliated video programming providers and other exclusions described in the definition of "Gross Revenues" defined within Section 7702 of this Ordinance (3) The obligation of the Open Video System operator to • comply with requirements relating to information collection and recordkeeping, -97- accounting procedures, reporting, periodic audits, and inspection of records in order to ensure the accuracy of the fees on the OVS Gross Revenue that are • required to be paid as specified above in paragraph (B)(2). (4) The obligation of the Open Video System operator to meet the City's requirements with respect ~ to Public, Educational, and Governmental Access Channel capacity, services, facilities, and equipment, as provided for in 47 CFR section 76.1505. In this regard, the following standards and procedures are applicable: (a) The Open Yideo System operator is subject to the same Public, Educational, and Governmental Access Channel requirements that apply within the cable television Franchise service area with which its system • overlaps. (b) The Open Video System operator must ensure that all Subscribers receive all Public, Educational, and Govemment Access Channels within the Franchise service area in which the City's Subscribers are located. (c) The Open Video System operator may negotiate with. the City to establish the operator's obligarions with respect to Public, Educational, and, Government Access Channel capacity, services, facilities, and equipment. These negotiations may include the City's Franchised cable operator if • -98- the City, the Open Video System operator, and the Franchised cable operator so • desire. (d) If the Open Video System operator and the City are unable to reach an agreement regarding the operator's obligations with respect to Public, Educational, and Government Access channel capacity, services, facilities, and equipment within the City's jurisdiction, then the following obligations will be imposed: (i) The Open Video System operator must sarisfy the same Public, Educational, and Government Access Channel obligations as the City's Franchised cable operator by providing the same amount of channel • capacity for public, educational, and governmental access and by matching the City's Franchised cable operator's annual financial contributions in support of Public, Educational, and Government Access services, facilities, and equipment that are actually used by the City. For in-kind contributions, such as cameras or production studios, the Open Video System operator may satisfy its statutory obligation by negotiating mutually agreeable terms with the City's Franchised cable operator, so that public, educational, and governmental access services to the City are improved or increased. If such terms cannot be agreed upon, the Open Video System operator must pay to the City the monetary equivalent of the ~ -99- Franchised cable operator's depreciated in-kind contribution, or, in the case of facilities, the annual amartization value. Any matching contributions provided by . the Open Video System operatar must be used to fund acrivities arising under Section 611 of the Communications Act. (ii) The City will impose upon the Open Video System operator the same rules and procedures that it imposes upon the Franchised cable operator with regard to the Open Video System operator's use of channel capacity designated for Public, Educational, and Government Access Channel use when that capacity is not being used far such purposes. (e) The City's Franchised cable operator is required under federal law to pernut the Open Video System operator to connect with its • Public, Educational, and Governmenf Access Channel feeds. The Open Video System operator and the Franchised cable operator may decide how to accomplish this connection, taking into consideration the physical and tecluiical characteristics of the cable and the Open Video Systems. involved. If the Franchised cable operator and the Open Video System operator cannot agree on how to accomplish the connection, the City has the right to.decide. The City may require that the connection occur on City-owned property or on Public Rights-of-Way. ~ -loo- (fl All costs of connection to the Franchised cable • operator's Public, Educational, and Government Access Channel feed must be bome by the Open Video System operator. These costs will be counted towards the Open Video System operator's matching financial contributions set forth above in subparagraph (d)(i). (g) The City will not impose upon the Open Video System operator any Public, Educational, or Government Access Channel obligations that are greater than those imposed upon the Franchised cable operator. (h) If there is no existing Franchised cable operator, the provisions of 47 CFR section 76.1505(d)(6) will be applicable in deternuning • the obligations of the Open Video System operator. (i) The Open Video System operator must adjust its system to comply with new Public, Education, and Access Channel obligations imposed on the City's Franchised cable operator following a renewal of the cable television Franchise; provided, however, that the Open Video System operator will not be required to displace other programmers using its Open Video System to accommodate Public, Educational, and Government Access Channels. The Open Video System operator must comply with such new Pubiic, Educational, and Government Access Channel obligations whenever additional capacity is or ~ -101- becomes available, whether it is due to increased channel capacity or to decreased demand for channel capacity. • (5) If the City and the Open Video System operator cannot agree on the application of the FCC's rules regarding the Open Video System operator's obligations to provide Public, Educational, and Government ?.ccess Channel under the provisions of subsection (4) set forth above, then either party may file a complaint with the FCC in accordance with the dispute resolurion procedures set forth in 47 CFR section 76.1514. No agreement will be executed by the City until the dispute has been finally resolved., (6) If the Open Video System operator intends to maintain an institutional network, as defined in Section 611(fl of the Communications Act, the • City will require that Educarional and Government Access Channels be designated on that institutional netwark to the same extent that those channels are designated on the institutional network of the City's Franchised cable operator. In addition, to the extent authorized by federal law, the Open Video System operator may be required by the City to sarisfy the same financial obligations and other requirements that are imposed upon the Franchised cable operator to support data- transmission and related services that are provided by the institutional network. ~ -102- (7) The authority of an Open Video System provider to • exercise editorial control over any Public, Educational, or Government use of channel capacity will be restricted in accordance with the provisions of 47 CFR section 76.1505( fl. (8) The obligation of the Open Video System operator to comply with all applicable federal, state, and local statutes, ordinances, and regulations relating to customer service standards, including the Cable Television and Video Customer Service and Information Act (Government Code §§ 53054, et se~c.), the Video Customer Service Act (Government Code §§ 53088, et se .), and Section 18.04.050 of Chapter 18.04 of this title. ~ (9) If a new physical plant is proposed to be constructed within the City, the obligation of the Open Video System operator to comply with the following rights-of-way use and management responsibilities that are also imposed by the City upon other telecommunications service providers in a nondiscriminatory and competitively neutxal manner: (a) Compliance with all applicable City codes, including applications for excavation, encroachment, and construction pernvts and the payment of all required pernut and inspection fees. • (b) The coordination of construction activities. -103- (c) Compliance with established standards and procedures for constructing lines across private property. ~ (d) Compliance with all applicable insurance and indemnificarion requirements. (e) The repair and resurfacing of construction- damaged streets. ( fl Compliance with all public safety requirements that are applicable to telecommunications service providers using public property or Pubiic Rights-of-Way. (10) Acts or omissions constituting breaches ar defaults of the • a agreement, and the applicable penalties, liquidated damages, and other remedies, including fines or.the suspension, revocarion, or termination of the agreement. (11) Requirements relating to the sale, assignment, or transfer of the Open Video System. (12) Requirements relating to the Open Video System operator's compliance with and implementation of state andfederal laws, rules, and regulations pertaining to the operation of the Open Video System. ~ -104- (13) Such addirional requirements, conditions, terms, • policies, and procedures as may be mutually agreed upon by the City and the Open Video System operator and that will, in the judgment of the City Council, best serve the public interest and protect the public health, welfare, and safety. OTHER VIDEO AND TELECOMMUNICATIONS SERVICES AND SYSTEMS Section 7757. OTHER MLTLTICHANNEL VIDEO PROGRAMMING DISTRIBUTORS. ~ (A) The term "Cable System" does not include a facility that serves Subscribers without using any Public Rights-of-Way. Consequently, the categories of Multichannel Video Programming Distributors identified below are not deemed to be "Cable Systems" and are therefore exempt from the City's Franchise requirements and from certain other local regulatory provisions authorized by federal law, provided that their distribution or transmission facilities do not involve the use of the City's Public Rights-of-Way. (B) Multichannel multipoint distribution service ("MMDS"), also lrnown as °wireless cable", which typically involves the transmission by an FCC- n ~ -105- licensed operator of numerous broadcaststations from a central location using line- of-sight technology. • (C) Local multipoint distribution service ("LMDS"), another form of over-the-air, wireless video service for which licenses are auctioned by the FCC, and that offers video progranuning, telephone, and data networking services. (D) Direct broadcast'satellite ("DBS"), also referred to as "direct-to- home satellite services", which involves the distribution or broadcasting of prograinining or services by satellite directly to the Subscriber's premises without the use of ground receiving ar distribution equipment, except at the Subscriber's premises or in the uplink process to the satellite. Local regulation of direct-to- home satellite services is further proscribed by the following federal statutory • provisions: (1) 47 U.S.C. section 303(v) confers upon the FCC exclusive jurisdiction to regulate the provision of direct-to-home satellite services. (2) Secrion 602 of the Communications Act states that a provider of direct-to-home satellite service is exempt from the collection or remittance, or both, of any tax or fee imposed by any local taxing jurisdiction on direct-to-home satellite service. The terms "tax" and "fee° are defined by federal statute to mean any local sales tax, local use tax, local intangible tax, local income • -106- tax, business license tax, utility tax, privilege tvc, gross receipts tax, excise tax, • franchise fees, locai telecommunications tax, or any other tax, license, or fee that is imposed for the privilege of doing business, regulating, or raising revenue for a local ta~cing jurisdiction. Section 7758. VIDEO PROVIDERS - REGISTRATION; CUSTOMER SERVICE STANDARDS. (A) Unless the customer protection and customer service obligations of a Video Provider are specified in a Franchise, with the City, a Video Provider must comply with all applicable provisions of the following state statutes: • (1) The Cable Television and Video Customer Service and Information Act (Government Code §§ 53054, et se~c .). (2) The Video Customer Service Act (Government Code §§ 53088, et s~.). (B) All Video Providers that are operating in the City on the effective date of this title, or that intend to operate in the City after the effective date of this title, and are not required under applicable law to operate under a Franchise, license, lease, or similar written agreement with the City, must register lJ -107- with the City. The registration form must include, or be accompanied by the following: • (1) The Video Provider's name, address, and local telephone numbers. (2) The names of the officers of the Video Provider. (3) A copy of the Video Provider's written policies and procedures relating to customer service standards and the handling of customer complaints, as required by Califomia Government Code §§ 53054, et se . These customer service standards must include, without limitation, standards regarding the following: • (a) Installation, disconnection, service and repair obligations, employee identification, and service call response time and scheduling. (b) Customer telephone and office hours. (c) Procedures for billing, charges, refunds, and credits. (d) Procedures for termination of service. ~ -108- (e) Notice of the delerion of a progranuning service, • the changing of channel assignments, or an increase in rates. ( fl Complaint procedures and procedures for bill dispute resolution. (g) The Video Provider's written acknowledgement of its obligation under California Government Code section 53055.1 to provide to new customers a notice describing the customer service standards specified above in subparagraphs (a) through ( fl at the time of installation or when service is initiated. The notice must also include, in addition to all of the information ~ described above in subparagraphs (a) through ( fl, all of the following: (i) A listing of the services offered by the Video Provider tfiat clearly describes all levels of service and the rates for each level of service. (ii) The telephone number or numbers through which customers may subscribe to, change, or ternunate service, request customer service, or seek general or billing information. -109- , (iii) A description of the rights and remedies that the Video Provider may make available to its customers if the Video Provider does ~ not materially meet its customer service standards. (h) The Video Provider's written commitment to distribute annually to its employees and customers, and to the City, a notice describing the customer service standards specified above in subparagraphs (a) through (f j. This annual notice must include the report of the Video Provider on its performance in meeting its customer service standards, as required by California Government Code secrion 53055.2. (4) Unless a Video Provider is exempt under federal,. law from its payment, a registration fee in an amount established by resolution of the • City Council to cover the reasonable costs incurred by the City in reviewing and processing the registration form. (5) In addition to the registration fee specified above in subsection (4), the written commihnent of the Video Provider to pay to the City, when due, all costs and expenses reasonably incurred by the City in resolving any disputes between the Video Provider and its Subscribers, which dispute resolution is mandated by California Government Code section 53088.2(0). • -110- (C) The customer service obligations imposed upon Video • Providers by the Video Customer Service Act California Government Code §§53088 et se~c .) consist of the following: (1) Every Video Provider must render reasonably efficient service, make repairs promptly, and interrupt service only as necessary. (2) All Video Provider personnel contacting Subscribers or potential Subscribers outside the office of the provider must be clearly identified as associated with the Video Provider. (3) AT the time of installarion, and annually thereafter, all • Video Providers must provide to all customers a written notice of the programming offered, the prices for that programming, the provider's installation and customer service policies, and the name, address, and telephone number of the City's office that is designated for receiving complaints. (4) All Video Providers must have knowledgeable, qualified company representatives available to respond to customer telephone inquiries Monday through Friday, excluding holidays, during normal business hours. i _l,l_ (5) All Video Providers must provide to customers a toll-free or local telephone number for installation, service, and complaint calls. These calls • must be answered promptly by the Video Providers. (6) All Video Providers must •render bills that are accurate and understandable. (7) All Video Providers must respond promptly to a complete outage in a customer's service. The,response must occur within 24 hours of the reporting of such outage to the provider, except in those situations beyond the reasonable control of the Video Provider. A Video Provider will be deemed to respond to a complete outage when a company representative arrives at the outage location within 24 hours and begins to resolve the problem. • (8) All Video Providers must proyide a minimum of 30 days' written notice before increasing rates or deleting channels. All Video Providers must make every reasonable effort to submit the notice to the City in advance of the distribution to customers. The 30-day notice is waived if the increases in rates or deletion of channels are outside the control of the Video Provider. In those cases, the Video Provider must make reasonable efforts to provide customers with as much notice as possible. ~ 112- (9) Every Video Provider must allow every residenrial • customer who pays his or her bill directly to the Video Provider at least 15 days from the date the bill for services is mailed to the customer, to pay the listed charges unless otherwise agreed to pursuant to a residential rental agreement establishing tenancy. Customer payments must be posted promptly. No Video Provider may terminate residential service for nonpayment of a delinquent account unless the Video Provider furnishes notice of the delinquency and impending termination at least 15 days prior to the proposed ternunation. The notice must be mailed, postage prepaid, to the customer to whom the service is billed. Notice must not be mailed until the 16th day after the date the bill for services was mailed ~ to the customer. 'The notice of delinquency and impending termination may be part of a billing statement. No Video Provider may assess a late fee any earlier than the 22nd day after the bill for service has been mailed. (10) Every norice of ternunation of service pursuant to the preceding subsection 9 must include all of the following information: (a) The name and address of the customer whose account is delinquent. (b) The amount of the delinquency. ~ -113- (c) The date by which payment is required in order to avoid ternunation of service. ~ (d) The telephone number of a representative of the Video Provider who can provide additional information and handle corriplaints ar initiate an investigation concerning the service and charges in quesrion. (11) Service may only be ternunated on days in which the customer can reach a representative of the Video Provider either in Person or by telephone. (12) Any service terminated without good ,cause must be restored without charge for the service restorarion. Good cause includes, but is not • limited to, failure to pay, payment by check for which there are insufficient funds, theft of service, abuse of equipment or system personnel, or other similar Subscriber actions. (13) All Video Providers must issue requested refund checks promptly, but no later than 45 days following the resolurion of any dispute, and following the return of the equipment supplied by the Video Provider, if service is ternunated. ~ -114- (14) All Video Providers must issue security or customer ~ deposit refund checks promptly, but no later than 45 days following the terminarion of service, less any deductions permitted by law. (15) Video providers must not disclose the name and address of a Subscriber for commercial gain to be used in mailing lists or for other commercial purposes not reasonably related to the conduct of the businesses of the Video Providers or their Affiliates, unless the Video Providers have provided to the Subscriber a norice, separate or included in any other customer notice, that clearly and conspicuously describes the Subscriber's ability to prohibit the disclosure. Video providers must provide an address and telephone number for a local Subscriber to use without toll charge to prevent disclosure of the Subscriber's name and address. (D) Penalties for Noncompliance (1) Purpose The purpose of this paragraph (D) is to authorize the imposition of monetary penalties for the violation of the customer service standards established by this Section 7759. The imposition of penalties authorized by this paragraph (D) will not prevent the City or any other affected party from exercising any other ~ -115- remedy to the extent permitted by law, including but not limited to any judicial remedy as provided below in subsection (2)(iv). • (2) Administration and Appeals. (i) The City Manager or the City Manager's designee is authorized to administer this paragraph (D). Decisions by the City Manager to assess monetary penalties against the Grantee must be in writing and must contain findings supporting the decisions. Decisions by the City Manager are final, unless appealed by the Grantee or aggrieved party. (ii) .If the Grantee or any interested person is aggrieved by a decision of the City Manager, the aggrieved party may, within 10 days of the ~. written decision, appeal that decision in writing to the City Clerk. The appeal shall be conducted in accoidance with the provisions of Section 7749(B)(2). (iii) Schedule of Penalties. The following schedule of monetary penalties may be assessed against the Grantee for the material violation of the provisions of the customer service standards set forth in this section, provided that the violation is within the reasonable control of the Grantee: (a) The maximum penalty for a first material violation is two hundred dollars ($200) for each day of the material violation. ~ -116- (b) For a second material violation of the same nature within a 12- ~ month period for which the City has provided notice and a penalty has been assessed, the maximum penalty is five hundred fifty dollars ($500) for each day of the material violation. (c) For a third or further material violation of the same nature within a 12-month period for which the City has provided notice and a penalty has been assessed, the maximum penalty is seven hundred fifty dollars ($750) for each day of the material violation. (iv) Judicial Remedy. This paragraph does not preclude any affected party from pursuing any judicial remedy available to that party without • regard to this paragraph (k). (v) Notice of Violation. The City must give the Grantee written notice of any alleged violarion of the consumer service standards and allow the Grantee at least 30 days from receipt of the notice to remedy the specified violation. (vi) Assessment of Monetary Penalties. (a) If a violation has not been corrected or cured by Grantee within the time specified by the City, the monetary penalties specified above in ~ -117- subparagraph (iii) may be assessed from the date of delivery to Grantee of the City's written notice of violation. • (b) In assessing monetary penalries under this paragraph (k), the City Manager or the City Council, as applicable, may take into account the nature, circumstances, extent and gravity of the violation and, with respect to the Grantee, the degree of culpability, any history of prior violations, and such other matters as may be relevant. If warranted under the circumstances, the monetary penalty to be assessed may be less than the maximum penalty amount specified above in subparagraph (iii). (E) Additional Consumer Protection and Service Standards : • (1) In addition to the consumer protection and, service standards that are specified above in paragraphs (a) through (h) of subparagraph (B)(3) of this section, the franchise agreement with a Grantee may require compliance with the following: (a) Federal statutes, and the rules, regulations, and orders of the Federal Communications Commission, including the following: (i) The provisions of Section 76309(c) of Title 47 of the Code of Federal Regularions, as it now exists or may later be amended. ~ 118- (ii) The provisions of Section 76.630 of Title 47 of the Code of ~ Federal Regulations, as it now exists or may later be amended. (iii) The provisions of Secrion 551 of Title 47, United States Code, as it now exists or may later be amended. (iv) The provisions of California Government Code Sections 53054, et seq., entitled the "Cable Television and Video Provider Customer Service and Information Act." (v) The provisions of California Government Code Secrion 53088, et seq., entitled the "Video Customer Service Act." • (vi) The provisions of California Civil Code Section 1722(b)(1)-(6) relating to service or repair transactions between cable television companies and their subscribers. (vii) The provisions of California Penal Code Section 637.5 relating to subscribers' rights to privacy protection. (2) The City may, in its discretion, incorporate in a franchise agreement those customer service and protection standards referenced above in this paragraph (1) that are the most stringent, and that afford the greatest protection to consumers. These standards will apply, to the extent authorized by law, to all ~ -119- video, voice, and data services that are provided by the Grantee to its subscribers within the franchise service area. • Section 7760. TELECOMMUNICATIONS,SERVICE PROVIDED BY TELEPHONE CORPORATIONS. Any video programming that is provided by a Telephone Corporarion that uses public . rights-of-way in the delivery of the Video Programming, regardless of tfie technology used, will be considered a Cable Service under this Ordinance, unless such prograiruning is otherwise preempted by state or federal law. (A) In recognition of and in compliance with the statutory authorizations and requirements set forth above in the Recitals of this • Ordinance, the following regulatory provisions are applicable to a telephone corporation that desires to provide telecommunications service by means of facilities that are proposed to be constructed within the City's Public Rights- of-Way: (1) The telephone corporation must apply for and obtain, as may be applicable, an excavation permit, an encroachment permit, or a building pernut (°Ministerial Permit.") ~ -120- (2) In addition to the information required by this Code in ~ connection with an application for a Ministerial Permit, a telephone corporation must submit to the City the following supplemental information: (a) A copy of the certificate of public convenience and necessity issued by the CPUC to the applicant, and a copy of the CPUC decision that authorizes the applicant to provide the telecommunications service for which the facilities are proposed to be constructed in the City's Public Rights-of-Way. (b) If the applicant has obtained from the CPUC a certificate of public convenience to operate as a"competitive local carrier," • the following additional requirements are applicable: (i) As required by Decision No. 95-12-057 of the CPUC, the applicant must establish that it has filed with the City in a timely manner a quarterly report that describes the type of construction and the locarion of each construcrion project proposed to be undertaken in the City during the calendar quarter in which the application is filed, which information is sufficient to enable the City to coardinate multiple projects, as may be necessary. ~ -121- (ii) If the applicant's proposed construction project will extend beyond the utility rights-of-way into undisturbed areas or • other rights-of-way, the applicant must establish that it has filed a petition with the CPUC to amend its certificate of public convenience and necessity and that the proposed construction project has been subjected to a full-scale environmental analysis by the CPUC, as required by Decision No. 95-12- 057 of the CPUC. (iii) The applicant must inform the City whether its proposed construction project will be subject to any of the mitigation measures specified in the Negative Declaration ["Comperitive Local Carriers (CLCs) Projects for Local Exchange Communication Service throughout • California"] or to the Mitigarion Monitoring Plan adopted in connection with Decision No. 95-12-057 of the CPUC. The City's issuance of a Ministerial Pernut will be conditioned upon the applicant's compliance with all applicable mitigation measures and monitoring requirements imposed by the CPUC upon telephone corporations that are designated as "competitive local carriers." (B) In recognition of the fact that numerous excavations in the Public Rights-of-Way diminish the useful life of the surface pavement, ~ -122- and for the purpose of mitigating the adverse impacts of numerous • excavations on the quality and longevity of public street maintenance within the City, the following policies and procedures are adopted: (1) The City Manager is directed to ensure that all public utiliries, including telephone corporations, comply with all local design, construction, maintenance and safety standards that are contained within, or are related to, a Ministerial Pernut that authorizes the construction of faciliries within the Public Rights-of-Way. (2) The City Manager is directed to coordinate the construction and installarion of facilities by public utiliries, including • telephone corporations, in order to minimize the number of excavations in the Public Rights-of-Way. In this regard, based upon projected plans for street consriuction or renovarion projects, the City Manager is authorized to establish on a quarterly basis one or more construction time periods or "windows" for the installation of facilities within the Public Rights-of-Way. Telephone corporations and other public utilities that submit applications for Ministerial Pernuts to construct facilities after a predeternuned date may be required to delay such construction until the next quarterly "window" that is established by the City. ~ -123- SECTION 2. The City Council hereby declares that the provisions of this Ordinance are severable and if for any reason a court of competent jurisdiction shall hol~ any sentence, paragraph or section of this Ordinance to be invalid, such decision shall not affect the validity of the remaining parts of this Ordinance. SECTION 3. The City Clerk shall certify to the adoption of this Ordinance and shall cause a copy of same to be published in the official newspaper of said City within fifteen (15) days after its adoption. This Ordinance shall take effect on the thirty- first (31s1) day after its adoption. Passed, approved and adopted this day of , 2005. ~ ATTEST: City Clerk of the City of Arcadia APPROVED AS TO FORM: ~~ ' ~ ~~~¢~~uC~~f ~ ~~'n" ~~ . / , ..., .. .._,.b*;. . . City Attorney Mayor of the City of Arcadia ~ -124- i i ' ~ ARCADIA CABLE ORDINANCE SECTIONS AMENDED: SECTION 7714(A) SECTION 7718(A) SECTION 7745(B) SECTION 7746(L) SECTION 7749(A)(2) SECTION 7756(B)(4)(g) 1 i Section 7714. FRANCHISE APPLICATION PROCESSING COSTS. (C) ~ ' ' ~ ' , , , . , , a~ ~E~ri-~~t~E-P+•ePare~ier~ e~~et3s~s. All chartres and fees incidental to awardin~, renewin~, extendin~ andlor enforcin~v Franchise shall be paid by the Franchisee or applicant. No application shall be considered without acQ,t~;~,~w~ I~iC'~,~o-.rc~,.~,~y payment o~such fee. If the City's actua] costs in processing and reviewing the application are less than the amount of the fee, any remaining funds from the fee shall be refunded to the applicant within 60 days after final approval or denial of their application. In the event that the deposit is less than the City's actual costs, Grantee shall pay such additional costs to the City within 30 days after written norice from the City that such additional payment is required. If payment of such amount is not made within such rime, the City shall cease all further proceedings connected with the application. (D) Any application fees are exclusive of Grantee's obligation to pay other costs and fees required by this chapter, the Franchise Agreement (10) Violation of orders or rulings of any regulatory body having jurisdiction over Grantee relating to the Franchise; (11) Failure to provide, upon written request, data, documents, reports or information; and (12) Failure to pay debts and obligations as they mature in accordance with normal business practices; assignment of Grantee or its assets for the benefit of its creditors; dissolution, liquidation or ceasing to conduct business; application by Grantee for (or consent by Grantee to) the appointment of a receiver, trustee, liquidator; or the filing of a bankruptcy pedtion by Grantee to the extent permitted by federal law or the sale of all or substantially all of Grantee's assets. Section 7718. PROCEDURE FOR ADNDICATION OF BREACHES OF Tf~ FRANCHISE. (A) Prior to imposing any liquidated damages, sanction or penalty upon Grantee, including termination or revocation of the Franchise, the City Manager, shall demand in writing that Grantee cure such breach or. dIlie~ CQmxntence a cure ~zf ~G~ bteach within a specified period, which period shall not be less than 30 days following notification. However, oniy 15 days notice shall be required in the case of failure to pay monies due. In addirion, the City may, in an emergency, prescribe a notice less than 30 days consistent with the nature of the emergency. An emergency under this subsection (A) means an occurrence or condifion that creates an actual or imminent danger to life or property. (B) Should Grantee fail to provide suff'icient written proof within the specified cure period that corrective action has been taken, or that corrective action is being actively and expeditiously pursued by Grantee, then the City Manager may, in his or her sole discretion, elect to either place the issue of termination, revocarion or other penalty before an appropriate hearing officer for his or her determination pursuant to sec6on 7719 or the City Council pursuant to section 7720 of this Ordinance. (C~ The City Council, the City Manager, or.any hearing officer authorized to act pursuant to this ordinance shali have the power to issue subpcenas in order to carry out the fact-Snding activities authorized by this Ordinance. The process for the issuance and enforcement of such subpoenas shall be govemed by the Califomia Code of Civil Procedure. Section 7719. HEARING OFFICER PROCEDURES. (A) The City Manager may, at his or her sole discretion and in lieu of the procedures set forth in Section 7720, refer to a hearing of6cer any Subscribers with written information as to how to use such a switch. The Grantee may charge a reasonable price for said switch. Upon Subscriber request, the Grantee shall provide an A!B switch after the initial installauon of Cable Service. If the Subscriber requests installation of such a switch (to receive broadcast television without Cable hookup), the Grantee may charge reasonable fees for such installation and equipment. RATES Section 7745. RATE REGULATION. The City may regulate a Grantee's rates, charges, and prices to the ma~cimum extent permitted by law now or at a future time. (A) Filing of Rates and Charges. Tluoughout the term of any Franchise Agreement entered into pursuant to this chapter, Grantee shall maintain on file with the City a complete schedule of all rates and charges related to providing Cable Services under the Franchise, in a fotm sa6sfacrory to the City. (B) Changes in Rates and Charges. Grantee shall provide written notice to the City and Subscribers at least thirty (30) days in advance of any proposed change in rates and charges within the control of Grantee. Such notice shall be provided in the Subscriber's bill or in a sep~rate maiin Q, (C) Regulation of Equipment for Heazing-Impaired. To the extent authorized by law, the City reserves the right to require and regulate the installation or rental of equipment that facilitates the reception of Cable Service by hearing impaired individuals. Section 7746. BILLING PROCEDURES. Billing procedures shall be as follows: (A) BIlIs will 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 will also clearly delineate all activity during the billing period, including: (1) A list of each service or package received for that billing period; (2) The rate or chazge for each service or package received; (3) The period of time over which said services aze billed; (4) The total charges due for the monthly period, sepazate from any previous balance due; I (5) Credits posted during the month; (i) Credits for service will be issued no later than the Subscriber's next billing cycle following the determination that a credit is warranted. (6) A specific date by which payment is required; and ('~ The customer service telephone number to which billing inquiries or complaints can be directed. (B) A Grantee's fust billing statement after a new installation or service change shall be prorated as appropriate and shall reflect any security deposit. (C~ A Grantee's billing statement must show a specific payment due date, and no late payment fee may be unposed on a Subscriber earlier than thirty (30) calendar days from the due date on the billing statement. Any balance not received within thirty (30) calendar days of the due date may be assessed a late fee consistent with this Chapter. Any late fee assessed must appear on the following month's billing statement. (D) A Grantee must notify the Subscriber that he or she can remit payment in Person at the Grantee's office located in or near the City and inform the Subscriber of the address of that office. ~ (E) Every customer who pays his or her bill d'uecfly shall have at least fifteen (15) days from the date of the bill for services is mailed to pay the listed charges. C~stomer payments shall be posted promptly. The Grantee shall not terminate any residential service for nonpayment of a delinquent account without fifteen (15) days prior written norice. Such norice shall not be mailed until after the sixteenth (16th) day &om the time the bill for services was mailed to the customer. The Grantee may not assess a late chazge earlier than the twenty-second (22nd) day from the time the bill for services has been mailed. (F) In case of a billing dispute, the Grantee must respond to a written complaint from a Subscriber within thirty (30) days. (G) At the time of the uiltial complaint, Grantee shall provide written or verbal notice to customers that in the event of a billing dispute, the Grantee, upon resolution of the dispute when Grantee is at fault, shall waive a late fee. (f~ Subscribers shall not be charged a late fee or othervvise penalized for any failure by the Grantee, its employees, or contractors, including failure to timely or correctly bill the Subscriber, or faIlure to properly credit the Subscribers for a payment made in a timely manner. (n Every nodce of termination of service shall include: name and address of Subscriber whose account is delinquent; the aznount of the delinquency; the date by which payment is required in order to avoid temunation of service; the telephone number of the Grantee for addidonal information and/or to handle complaints or initiate an investigation conceming service and charges in question. (.~ Service may only be terminated on days and at times in which the Subscriber can reach a Customer Service Representative of the Grantee either in Person or by telephone. (I~ The Grantee shall afford each Subscriber of the Cable System with a right to rescind the Subscriber's ordering of service within three (3) days after ordering, provided that such right of rescission shall end upon activation of the service ordered. lsi, •rn..e n_..~...oe •n F;~.~,g ~.:.,., c_°~ 10-uk}~98Fi~CL~S l I -z'nO'~«'Txscc=nin-n8~-~fl$9-~f9i~}i' 0a_:.*~-r~ (~Iv~ The Grantee shall assess any late fees in accordance with California law. In no event shall a late fee exceed the maximum amount permissible under Califomia law. (M~}) Any Franclilse Agreement entered into pursuant to this chapter may contain provisions for a discount on basic and Cable programming tiers or any other Cable Services for Persons with specific income and disability qualifications. I (~9) Grantee will set rates for equipment deposits no higher than the actual replacement value of the equipment for which the deposit is applied. Equipment deposits shall be prompdy retumed to Subscribers upon the retum in good working condition to the Grantee of the equipment for which said deposit was required. Secrion 7747. REF[JNDS. (A) Refund checks will be issued promptly, but no later than either: (1) the Subscriber's next billing cycle following resolution of the request or thirty (30) days, whichever is earlier, or (2) in cases involving the return of the equipment supplied by the Grantee if service is terminated for any reason, by the Subscriber's neact billing cycle following resolution of the request or thirty (30) days, whichever is earlier. (B) If the Grantee does not mail a check for a refund to any Subscriber disconnecting service with an outstanding credit within the next billing cycle or thirty days, whichever is earlier, the Subscriber may request and is entifled to receive a ten dollar ($10.00) payment. Section 7748. NOTICE OF RATE INCREASES. Grantee shall provide written notice to the City and Subscribers at least 30 days in advance of the implementation of changes in any of its rates and charges which are not subject to regulation by the City. Section 7749. NON-DISCRIMINAT'fON AND CUSTOMER PRIVACY. (A) Seroice Availability. (1) No Person, firm or corporation in the existing service area of a Grantee shall be arbitrarily refused service; provided, however, that the Grantee shall not be required to provide service to any Subscriber who does not pay the applicable connection fee or monthly seivice charge hereby authorized. ~ise-~i~j~ate~ga~iast-fie~se~i~er~er~{~Etre~~sen-fl~e-#tsis-ef-~ae~eeic~ekgie~r ~~ , . , aek~'rniss~a~ve-er~iers-rela~g~to-nen-~ise~i~ina~e~: (23) A Grantee may not require the subscription to any rier other than the basic service rier as a condition of access to video programming offered on a per channel or per program basis. A Grantee may not discriminate between Subscribers to the basic service tier and other Subscribers witli regard to the rates charged for video pro~amming offered on a per channel or per program basis. (~4) A Grantee will abide by all customer privacy requirements of federal and State law. At least annually, a Grantee shall provide notice in the form of a separate, written statement to each Subscriber, which clearly and conspicuously informs the Subscriber of: (a) the nature of personally identifiable information collected or to be collected with respect to the Subscriber and the nature of the use of such information; (b) the nature, frequency and purpose of any disclosure, which may be made of such information, including the identification of the types of Persons to whom the disclosure may be made; (c) the period during which such information will be maintained by the Grantee; (d) the times and place at which the Subscriber may have access to such information in accordance with federal and State law; and (e) the limitarions provided in federal and State law with respect to the collection and disclosure of information by a Grantee and the right of the Subscriber under law. (B) Data Collection. A Grantee's data collection and dissemination practices regarding Subscribers shall be in compliance with the Cable Act (including Section 631) and this Chapter. (C~ Revealing Subscriber Preferences. (1) A Grantee shall not reveal individual Subscriber preferences, viewing habits, beliefs, phIlosophy, creeds or religious beliefs to any third Person, Srm, agency, governmental unit or invesrigating agency without court authority or prior written consent of the Subscriber. (2) Such written consent, if given, shall be limited to a period of time not to exceed one (1) yeaz or a term agreed upon by the Grantee and Subscriber. (3) A Grantee shall not condition the delivery or receipt of Cable Services to any Subscriber on any such consent. (4) Such a Subscriber may revoke without penalry or cost any consent previously made by delivering to the Grantee in writing a substantiai indication of hisintentto so revoke. (D) Revealing Subscriber Lists. A Grantee shall not reveal, or sell, or permit the release or sale of its Subscriber list without the prior affirmarive written consent of each Subscriber, provided that the Grantee may use its Subscriber list as uecessary for the construction, marketing, and maintenance of the Grantee's services and faciliries authorized by its Franchise, and the related billing of Subscribers for Cable Services. Consistent with applicable law, Ciry may use Grantee's Subscribers list for the purpose of communicarion with Subscribers in connection with matters relating to operation, management, and maintenance of the Cable System. (E) Other Persons Affected. This Section shall apply to all of the following as well as to any Grantee: (1) Officers, directors, employees and agents of the Grantee; (2) General and limited partners of the Grantee; (3) Any Person or combination of Persons owning holding or Controlling five percent (5%) or more of any corporate stock or other ownership interest of the Grantee; (4) Any affil,iated or subsidiary entity owned or Controlled by the Grantee, or in which any officer, d'uector, stockholder, general or limited partner or Person or group of Persons owning, holding or Controlling any ownership interest in the Grantee, shall own, hold or Control five percent (5%) or more of any corporate stock or other ownership interest; (5) Any Person, firm or corporation acting or serving in the capability of holding or Controlling company of the Grantee. Section 7750. WRITTEN OR ORAL NOTICE TO ENTER PROPERTY. Under Normal Operating Conditions, Grantee shall provide written or oral notice, in light of circumstances, prior to entering any private property. proposed Open Video System will be authorized by the City. The wmmencement of those negotiations will be on a date that is mutually acceptahle to the City and to the applicant. Section 7756. AGREEMENf REQUIltED AND FEES. (A) No Video Programming services may be provided in the City by an Open Video System operator unless the operator and the City have executed a written agreement, which may be designated as a Franchise, setting forth the terms and condirions under which the operation of the proposed Open Video System will be authorized by the City. (B) 'The agreement between the City and the Open Video System operator may contain terms and conditions that relate to the following subject matters, to the extent that such terms, conditions, and subject matters aze not preempted by federal statute or regulations: (1) The nature, scope, and duration of the agreement, including provisions for its renewal or extension. (2) The obligation of the Open Video System operator to pay to the City, at specified times, fees on the gross revenue received by the operator, as authorized by 47 CFR secrion 76.1511, in accordance with the following standards and procedures: (a) The amount of the fees on the gross revenue will be five percent (5%), and will be paid in lieu of the Franchise fees authorized under SecNon 622 of the Communications Act. (b) The term "OVS Gross Revenue" means all gross revenue as defined in Section 7702 and (i) all revenue all carriage revenue received from unaffiliated video programming providers; and (ii) all other revenue derived direcfly or indirecdy from or attributable to the operarion of Open Video system.. The term "OVS Gross Revenue" does not include revenue, such as Subscriber or adveRising revenue, collected by unaffiliated video programming providers and other exclusions described in the defmition of "Gross Revenues" de£med within Section 7702 of this Ordinance (3), The obligation of the Open Video System operator to comply with requirements relating to information collection and recordkeeping, accounting procedures, reporting, periodic audits, and inspection of records in order to ensure the accuracy of the fees on the OVS Gross Revenue that are required to be paid as specified above in paragraph (B)(2). (4) The obligation of the Open Video System operator to meet the City's requirements with respect to Public, Educarional, and Governmental Access Channel capaciry, services, faciliHes, and equipment, as provided for in 47 CFR section 76.1505. In this regard, the following standards and procedures are applicable: (a) The Open Video System operator is subject to the same Public, Educarional, and Govemmental Access Channel requirements that apply within the cable television Franchise service area with which its system overlaps. (b) The Open Video System operator must ensure that all Subscribers receive all Public, Educational, and Govemment Access Channels within the Franchise service area in which the City's Subscribers are located. (c) The Open Video System operator may negotiate with the City to establish the operator's obligadons with respect to Public, Educarional, and Government Access Channel capacity, services, faciliries, and equipment. T'hese negoriations may include the City's Franchised cable operator if the City, the Open Video System operator, and the Franchised cable operatorso desire. (d) If the Open Video System operator and the City are unable to reach an agreement regarding the operator's obligations with respect to Public, Educational, and Govemment Access channel capaciry, services, facIlities, and equipment within the City's jurisdicdon, then the following obligarions will be imposed: (i) The Open Video System operator must satisfy the same Public, Educational, and Government Access Channel obligations as the City's Franchised cable operator by providing the same amount of channel capacity for public, educational, and governmental access and by matching the City's Franchised cable operator's annual financial contributions in support of Public, Educadonal, and Govemment Access services, facilities, and equipment that are actually used by the City. For in- kind contributions, such as cameras or production studios, the Open Video System operator may satisfy its statutory obligation by negotiating mutually agreeable terms with the City's Franchised cable operator, so that public, educarional, and govemmental access services to the City are improved or increased. If such terms cannot be agreed upon, the Open Video System operator must pay to the City the monetary equivalent of the Franchised cable operator's depreciated in-kind contribution, or, in the case of faciliries, the annual amortization value. Any matching contributions provided by the Open Video System operator must be used to fund activities arising under Section 611 of the Communications Act. (ri) The City will nnpose upon the Open Video System operator the same rules and procedures that it imposes upon the Franclused cable operator with regard to the Open Video System operator's use of channel capacity designated for Public, EducaHonal, and Govemment Access Channel use when that capacity is not being used for such purposes. (e) The City's Franchised cable operator is required under federal law to permit the Open Video System operator to connect with its Public, Erlucational, and Govemment Access Channel feeds. The Open Video System operator and the Franclrised cable operator may decide how to accomplish this connection, taking into consideration the physical and technical characterisdcs of the cable and the Open Video Systems involved. If the Franchised cable operator and the Open Video System operator cannot agree on how to accomplish the connection, the Ciry has the right to decide. The City may require that the connection occur on City-owned property or on Public Rights-of-Way. (fl . All costs of connection to the Franchised cable operator's Public, Educational, and Government Access Channel feed must be bome by the Open Video System operator. T'hese costs will be counted towards the Open Video System operator's matching financial contributions set forth above in subpazagraph (d)(i). (g) The City will not impose upon the Open Video System operator any Public, Educational, or Govemment Access Channel obligations that aze greate~more favorable or le c h rdencom than those imposed upon the Franchised cable operator. (h) If there is no existing Franchised cable operator, the provisions of 47 CFR section 76.1505(d)(6) will be applicable in determining the obligations of the Open Video System operator. (i) The Open Video System operator must adjust its system to comply with new Public, Education, and Access Channel obligations unposed on the City's Franchised cable operator following a renewal of the cable television Franchise; provided, however, that the Open Video System operator will not be required to displace other programmers using its Open Video System to accommodate Public, Educational, and Government Access Channels. The Open Video System operator must comply with such new Public, Educational, and Govemment Access Channel obligations whenever additional capacity is or becomes avaIlable, whether it is due to increased channel capacity or to decreased demand for channel capacity. (5) If the City and the Open Video System operator cannot agree on the application of the FCC's rules regarding the Open Video System operator's obligatioas to provide Public, Educational, and Govemment Access Channel under the provisions of subsection (4) set forth above, then eiWer party may file a complaint with the FCC in accordance with the dispute resoludon procedures set forth in 47 CFR section 761514. No agreement will be executed by the City until the dispute has been finally resoived. (6) If the Open Video System operator intends to maintain an institutional network, as defined in Section 611(~ of the Communications Act, the Ciry will require that Educational and Govemment Access Channels be designated on that insritutional network to the same extent that those channels are designated on the insritudonal network of the City's Franchised cable operator. In addirion, to the extent authorized by federal law, the Open Video System operator may be required by the City to satisfy the same financial obligations and oflier requirements Wat are imposed upon the Franchised cable operator to support data-transmission and related services that are provided by the insdmtional network. (7) The authority of an Open Video System provider to exercise editorial control over any Public, EducaHonal, or Govemment use of channel capacity will be restricted in accordance with the provisions of 47 CFR section 76.1505( fl. (8) The obligation of the Open Video System operator to comply with all applicable federal, state, and local statutes, ordinances, and regulations relating to customer service standards, including the Cable Television and Video Customer Service and Informa6on Act (Government Code §§ 53054, et se~c .), the Video C~stomer Service Act (Govemment Code §§ 53088, et seq.), and Section 18.04.050 of Chapter 18.04 of this title. (9) If a new physical plant is proposed to be constructed within the City, the obligadon of the Open Video System operator to comply with the following rights-of-way use and management responsibilities that are also imposed by the City upon other telecommunications service providers in a nondiscriminatory and comperirively neutral manner: (a) Compliance with all applicable City codes, including applications for excavation, encroachment, and construction permits and the payment of all required pernut and inspection fees. (b) The coordination of construction activities. (c) Compliance with established standards and procedures for constructing lines across private property. (d) Compliance with all applicable insurance and indemnification requirements. (e) The repair and resurfacing of construction- ~ damaged streets: (fl Compliance with all public safety requirements that aze applicable to telecommunications service providers using public property or Public Rights-of-Way. (10) Acts or omissions constituting breaches or defaults of the agreement, and the applicable penalties, liquidated damages, and other remedies, including fines or the suspension, revocarion, or termination of the agreement. (11) Requirements relating to the sale, assignment, or transfer of the Open Video System. (12) Requirements relating to the Open Video System operator's compliance with and implementation of state and federal laws, rules, and regulations pertaining to the operation of the Open Video System. (13) Such additional requirements, condirions, terms, policies, and procedures as may be mutually agreed upon by the City and the Open Video System operator and that will, in the judgment of the City Council, best serve the public interest and protect the public health, welfare, and safety. OTHER VIDEO AND TELECOMMU1vICAT'IONS SERVICES AND SYSTEMS Section 7757. OTf~R MULTICHANNEL VIDEO PROGRAMMING DISTRTBiTTORS. , ~. , ~ , ~ `°°~$p~8.==~-~•°° STAFF REPORT Office of the City Manager DATE: June 7, 2005 TO: . Mayor and City Council FROM: William R. Kelly, City Manager ~,Q,~,~ ~~_- _l SUBJECT: GUIDELINES FOR THE ARCADIA BEAUTIFUL AND HOLIDAY DECORATION AWARDS Recommendation: Adopt SUMMARY The Arcadia Beautiful Commission has asked staff to present for your consideration a request to establish a policy that does two things: . 1. Restricts the winners of the Arcadia Beautiful and Holiday Decoration Awards to once every 4 years; and 2. Suggests that every year from 1 to 3 condominiums, apartments or businesses may be selected for awards. This report brings forth the Commission's recommendation and also discusses a broader scope of standards for the Arcadia Beautiful and Holiday Decoration Awards. BACKGROUND The primary purpose and goals of the Arcadia Beautiful Program (which encompasses the annua! Holiday Awards) are to promote a beautiful city and to encourage residents, businesses and property owners to participate in beautification efforts and pay attention to proper property maintenance. Within these goals are four objectives: • To encourage residential and commercial property owners in the City to take an active part in the improvement and beautification of their property. . To plan beautification and improvement pro,grams and special events, including those that recognize Arcadians for their exceptional efforts in this regard. ~ . To foster community pride in the appearance of the city. • To support practices that help maintain an attractive community. ~ .b, Mayor and City Council June 7, 2005 • Page 2 This staff report was provided to members of the Arcadia Beautiful Commission in both draft and final form. Commissioner Hubbard called with a few comments and Commission Chair Bob Fioherd sent comments by way of the attached letter. Their comments have either been incorporated into the guidelines noted below, or are discussed in further detail. DISCUSSION REQUEST OF THE ARCADIA BEAUTIFUL COMMISSION As stated above, the Arcadia Beautiful Commission would like to see the foliowing incorporated into a policy statement concerning both the spring Arcadia Beautiful Awards and the Holiday Decoration Awards: ~ • Limit properties to winning an award in the same program to every four years. • Adopt a statement of policy such that every year behnreen one and three condominiums, apartments or businesses may be selected for awards. • Since the City Council is considering the Commission's request, staff thought this would be a good time to `considering adopting a set of guidelines for the entire program. Acco~dingly, the following is presented for your consideration: In addition to the goals and objectives mentioned above, staff suggests that the following be incorporated into a document that explains the program standards: PROGRAM DEVELOPMENT Create and maintain an identity for the program. Make it clear to the public what the program is and how it is administered. Use a consistent logo and aggressive promotion. Ezpand the notion of "Arcadia Beautiful" to include elements other than landscaping (e.g. property maintenance, design, architecture, no littering, no posting of illegai yard or garage sale signs). Make the awards prestigious. Give residents something to look forward to every year and instill in them a sense that the City, and community, appreciates their efforts. Publicize the activities and the winners. Use photographs and names whenever • possible. Include quotes from the judges on why a particula~ property ivas selected. Purchase a"Keep Arcadia Beautiful" over-the-street banner or use light pole banners with a similar message (would require a budget allocation). ° .~' i~' Mayor and City Council June 7, 2005 ~ Page 3 JUDGES Members of the Arcadia Beautiful Commission are to serve as the judges for both the spring and holiday awards following the guidelines referenced herein. JUDGING STANDARDS Properties may not win the same award in consecutive years. That is, a property can only win an Arcadia Beautiful or Holiday Decoration Award once every fourth year. In the case of the Arcadia Beautiful Awards, properties are to be evaluated on overall appearance, landscaping, architecture, use of color and related. Judging shall take place in April or May when gardens are at their best. This differs from the currenf practice of se/ecting winners based on landscaping only. in the case of the Holiday Decoration Awards, properties are to be judged on creativity, overall design, use of lights and other decorations, and festive appearance. • Twelve properties (each) will be designated as Arcadia Beautiful and Holiday Decoration Award Winners each year. The twelve will be made up of a combination of single-family homes, condominiums, apartments and/or businesses and may include one block award. This differs from the current practice of determining year-by-year how many winners will be selected and designating a speci~c number of winners per category (e.g. single-family homes, businesses, condominiums, etc.) Staffs recommendation allows the winners to be from any area of the city and does not require a certain number of winners from each Commission-designated judging zone. The goal is to allow flexibility in order to honor those most deserving. At the same time, it is expected that Commissioners will view the entire city for winners and take into account the different types and sizes of homes in our various neighborhoods. The suggestion of always giving awards to 12 properties is to provide consistency in terms of the overall program/number of winners, as well as the budget. The number of 12 is not pr~posed as a cost savings, but it is helpful to know at the beginning of the fiscal year how many awards will be given per program in terms of designing the recognition "event." In addition to the twelve winners, the Commission may select up to six honorable mentions for each award program and these property owners will receive a letter advising them of their honorable mention status. In light of comments that have been received from honorable mention recipients in the past, the above referenced letter was revised this year to reflect a more positive and congratulatory tone. In the future, this letter is to be signed by both the Chair of the Arcadia Beautiful Commission and the • Mayor. ;, . Mayor and City Council June 7, 2005 Page 4 RECOGNITION In honor of their achievement, at a minimum both groups of winners will receive a certificate of commendation and a sign to display in their yard. The sign will incorporate the event logo and year of award. Additional recognition in terms of a reception, yisit from the "prize patrol" or some other activity will be determined annually by City staff based on budget and current conditions. FISCAL IMPACT ~ The adoption of a set of guidelines for the Arcadia Beautiful and Holiday Decoration Awards has no fiscal impact. Money has been included in the preliminary 2005-2006 budget to implement both programs, with the exception of the over-the-street and light pole banners ceferenced above. These banners would require an additional budget allocation. RECOMMENDATION ~ It is recommended that the.City Council adopt the Arcadia Beautiful and Holiday ~ Decoration Award Guidelines as outlined in this report and direct staff to place such standards and guidelines into a document that explains the program. Attachment ~ ._ . / ~ : May 25, 2005 To: Mayor and City Council Fmm: Bk~E~e d, Arcadia Besudful Commission Chairn-an 9 Snbjeai: GUIDELIIdES FOR THE ARCADIA.BEAUTIF[JL AND HOLIDAY DECORATION AWARDS recommendations per William R. Kelly, City Manager's dtaft proposal dated June 7, 2005 Mr. Kelly's above referenced draft memo addresses some of the eoncerns the Arcadia Besutiful Commission (ABC) had during tlus pest year as well as makes a few edditional suggestions: The purpose of tbis memo is to clarify the ABC concems and comment on Mr. Kelly's other suggestions. I will start on page two (2) on Mr. Kelly's memo on PROGRAM DEVELOPMENT: 1~ Paza. This paragraph makes six suggestioas. I believe the first one (1°~ sentence) atready exi.4ts. As to the other five suggestions (sentences) I completely agree with him and assume he will provide the resources to do them. 2na PBrs. I compietely agee with his suggestion but again essume he will provide ~ the resources to accomplish these ideas. On page three (3) of Mr. Kelly's memo on NDGING STANDARDS: 1°1 Paza Mr. Kelly is proposing thai a property can only win once every three years. It was the Commission's unanimous recommendation that a property could only win once every four years, in other words, once it had won, three years including the year it won would have to go by before that proparly became eligible again. The rational for this was to allow more propertiea a chance to win. 2°d Para. Mi. Kelly is suggesting architecture, among other suggesdons, be part of the judging criteria for the SPRING AWARD. Though a good idea, it is felt that the landscaping, use of color and general appearance were the primary factors to be considered aad to a lesser degree on how they fit in with the architecture of the property. We agree that judging should be done in late Aprii when most of the gardens aze at their best. 3'~ Para I agiee with lus comaients. 4~` Para. Mr. Kelly proposes only twelve awards be given for the Spring and Holiday awazda wlrich would include businesses, apartments, condos, etc. The Commission agreea thai thera has in the past, been a variety of numbers of winners over the yeazs. However, this last year we agreEd that for the single family home category ~ there would be fourteen. The reason for this number was that it would give each of the ~ seven Commissio~r's aa opportunity to have iwo winners from the area they judged and made their nominations from. Also, each Commissioner spends three or more hours • going up and down each end every street in the azea they have been assigned to review, to select just five nominations for t6e e~tire Commission to vote oa We do ~t believe there is a sig~rificant cost savings in reducing this number. As for not sending the 21 nomittees (7 Com+*+;c~;on membere x 5 aominations each = 351ess tha 14 winners = 21) who did ~t win the SPRING or HOLIDAY awards an honorable me~ion letter of congat~ilations, I think, ia penny wiae and pound foolish. After all, don't we want to recognize as maay of our citizens as we can7 The cost to do ttua cannot be that much, Further, it was felt only two businesses be considered eligible for the SPRING and AOLIDAY.award each year. Even then it's sometimes hard to find~a winner. We also felt hying to judge aparlments, condos and townhouses was too compiex aad dropped them from consideration. This could change ~if the Council felt so inclined. Finally, regarding thc block awards. For the two years I've been on the Commiasion no block awards have be~- given. Primsrily because there haven't been my blceks worth nominating. But also I believe because of the diveraity of our City, neighbors no longer seem to get together to decorate as a group. Only a cursory ride through the Hestiags Ranch area (which gtanted is in Pasadena) makes the poi~. Yeers ago it was one on the highiight areas in all Los Angeles for Holiday decoraYions, but in rccent years that is no longer true. So I do not think block awerds aze necessary sny ionger. I plan on being at the June7th Council meeting (but you can never tell because of my persoaal situation) apd hope I along with the other ABC members will be allowod to participabe in discussion on tlris important subject. . Cc: William R. Kelly, City Manager ARCADIA BEAUTIFUL COMMISSION MEMBERS Gary Brewer Richard Cordano Carmie Falabrino Eileen Hubbard Catherine Ken Jan Torrington , Ps. To Commissioners: Whether you agree or disagee with Mr. Kelly's or my comments, I 6npe you will try.to attend Tuesday's, June '7m Council meeting staRing at 7:00 p.m. and voice your opinions. If you can't attend, then at least send a note eacpressing how you feel regardiag these issues. ~