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4087FOLLOWS: ORDINANCE NO. 4087 AN ORDINANCE OF THE CITY OF ANAHEIM GRANTING THE NONEXCLUSIVE RIGHT, PRIVILEGE AND FRAN- CHISE TO LAY AND USE LINES, WIRES, COAXIAL CABLE AND APPURTENANCES FOR TRANSMITTING, RECEIVING, DISTRIBUTING AND SUPPLYING RADIO, TELEVISION AND OTHER CABLE COMMUNICATION SER- VICES'ALONG, ACROSS AND UPON TEE PUBLIC STREETS, WAYS, ALLEYS, AND PLACES WITHIN SAID CITY OF ANAF-EIM. _ THE CITY COUNCIL OF THE CITY OF ANAHEIM DOES ORDAIN AS SrmrnION 1. FRANCHISE. A nonexclusive franchise is hereby granted to Storer T.V., Inc. for the transmitting, receiving, distributing and sup- plying radio, television, and other. -cable communication services along, across and upon the public streets, ways, alleys and Alaces within said City of Anaheim. SECTION 2. RULES OF CONSTRUCTION. This ordinance shall be construed liberally in order to effectuate its purposes s. Unless otherwise specifically prescribed in this ordinance, the following provisions shall govern its in- terpretation and construction: (a) When not inconsistent with the context, words used in the present tense include the future, words in the plural number include the singular number, and words in the singular number include the plural number. (b) Time is of the essence of this ordinance. Grantee shall not be relieved of its obligation to comply promptly with any pro- vision of this ordinance by any failure of City to enforce prompt compliance with any of itis provisions. (c) Any right or power conferred, or duty imposed upon any officer, employee, department or board of City is subject to trans- fer by operation of law to any other officer, employee, department or board of City. (d) Grantee shall have no recourse whatsoever against City for any loss, cost, expense or damage arising out of any provision or requirement of this ordinance or the enforcement thereof. (e) This ordinance does not relieve Grantee of'any require- ment of the City Charter or of any ordinance, rule,.regulation, or specification of City including, but not limited to, any require- ment relating to street work, street excavation permits, under - grounding of utility facilities, including cable system facilities, or the use, removal or relocation of property in streets. -2- e (f) Provisions of this ordinance shall be construed in accord- ance with Sections 1400, 1401, 1402, 14031 14049 1405 and 1406 of the Charter of the City of Anaheim. SECTION 3. PURPOSE AND INTENT. .--. It is the purpose and intent of this ordinance to grant a franchise to engage in the business of operating a cable com- munication system in the City of Anaheim particularly described in Section 6 of this ordinance. It is the further purpose and intent of this ordinance that the Grantee of the franchise granted by this ordinance provide the citizens of the City of Anaheim, the best possible community cable comr.unication services consistent with the state of art and rates reasonable to both Grantee and its subscribers. SECTION 4. DEFINITIONS. Whenever in this ordinance.the following words -or phrases are used, they shall mean: --(a) "City" shall mean the City of Anaheim, a municipal cor- poration in the State of California. (b) "Council" shall mean the City Council of the City. (c) "Franchise" shall mean the right and authority granted by this ordinance to Grantee to construct, maintain and operate a cable communication system through use of the public streets, other public rights of way or public places in City. (d) "Franchise Property" shall mean all property owned, in- stalled or used under authority of this ordinance by Grantee. (e) "Grantee" shall mean the person or entity to whom the franchise is granted by this ordinance and any lawful successor or assignee of the original Grantee. (f) "Street" shall mean the surface, the air space above the surface and the area below the surface of any public street, other public right of way or public place. (g) "Cable Communication System" referred to in this ordinance as "Cable System" shall mean the broadcast signal reception, proces- sing, and signal generation facilities and the cable distribution system, as described in the Specifications for construction, opera- tion and maintenance of the Cable Communication System for the City of Anaheim. (h) "Subscriber" shall mean any person or entity receiving for any purpose the cable service of Grantee. -3- J (i) "Total Gross Receipts" shall mean any and all compensa- tion and other consideration collected or received or in any manner gained or derived by Grantee from the operation of its cable service within the corporate limits of the City of Anaheim as such corporate limits now exist or may be established hereafter. Total gross receipts shall include regular monthly subscriber fees for both standard. and premium (pay) service, installation charges, disconnect !� and reconnect charges, and charges for use of access, origination or private service channels in either service direction. SECTION 5. APPLICATION FOR FRANCHISE. Application for a franchise hereunder shall be in writing, shall be accompanied by a nonrefundable application fee of Five Hundred Dollars ($500.00), shall be filed with the City Manager for transmission to the City Council and shall contain the following information: (a) The name and address of the applicant. If the apalicant Is a partnership, the name and address of each partner shall also be set forth. If the applicant is a corporation, the application shall also state the names and addresses of its directors, main offi-cers, major -stockholders and associates, and the names.and addresses of parent and subsidiary companies. (b) A technical proposal in response to appropriate City rules, regulations or specifications for the construction, operation and maintenance of the cable system and a statement of compliance to the requirements of all provisions of said rules and regulations or specifications or, as necessary, a listing of any exceptions, identified as to rule, regulation or paragraph in the specifications with recommended changes thereto. (c) A description, in detail, of the adequacy and feasibility of the construction arrangements for the equipment or facilities proposed to be constructed, installed and maintained. (d) A statement or schedule setting forth the number of channels and all of the television or radio stations and other communication services proposed to be received, transmitted, con- ducted, relayed or otherwise conveyed over its system. (e) A statement or schedule in a form approved by the City Manager of proposed rates and charges to subscribers for installa- tion and services, and a copy of proposed service agreement between the Grantee and its subscribers shall accompany the application. (f) A copy of any contract, if existing, between the appli- cant and any public utility providing for the use of facilities of such public utilities such as poles, lines -or conduits. -4- (g) A statement setting forth all agreements and understand- ings, whether written, oral or implied, existing between the ap- plicant and any person, firm or corporation with respect to the proposed franchise or the proposed cable system operation. franchise is granted to a person, firm or corporation posing as a front or as the representative of another person, firm or corpora- tion, and such information is not disclosed in the original appli- cation, such franchise shall be deemed void and of no force and effect whatsoever. (h) A detailed and complete financial statement of the aprli- cant, prepared by a certified public accountant, for the fiscal year next preceding the date of the aDrlication hereunder, or a letter or other acceptable evidence in writing from a recognized lending institution or funding source, addressed to both the appli- cant and the Council, setting forth the basis for a study rerforned by such lending institution or funding source, and a clear state- nent of its intent as a lending institution or funding source to provide whatever capital shall be required by the applicant to con-' struct and operate the proposed system in the City, or a sTatem:ent from a certified public accountant certifying that the applicant has available sufficient free, net tnd uncommitted cash resources to construct and operate the proposed system in the City. (i) A statement identifying: and describing any current or pending litigation against the applicant, its parent or subsidiaries and of any municipal, state or federal administrative sanctions pro- posed or in force against it, its parent or subsidiaries. (i) A statement Identi`'ying by place and date any other cable television franchise awarded to the applicant, its parent or subsi- diary, the status of said franchise with respect to completion thereof, the total cost of completion of such system.; and the amount OIL applicant's and its parent's or subsidiary's resources committed to the completion thereof. (k) .A detailed map indicating all areas proposed to be served and a proposed time schedule for the installation of all equipment necessary to become operational throughout the entire area to be served. (1) The Council may, at any time, demand and applicant shall provide such supplementary, additional or other information as the Council may deem reasonably necessary to determine whether the re- quested franchise should be granted. -5- SECTIO.. 6. NATURE AND EXTENT GRANT. The franchise granted by this ordinance to Grantee con- stitutes authority to use the public streets, other public rights of way or public places in City, to engage in the business of op- erating a cable communication system, as defined herein, within the service area described in Section 7 of this ordinance subject to all of the teras and conditions contained in this ordinance. Pursuant to such authority, until lawfully revoked, Grantee may construct, maintain and operate wires, cables, poles, conduits, manholes or any other equipment which is a means of transmitting and receiving signals. _ Grantee shall not engage in the business of selling at retail, leasing, renting, repairing or servicing television sets or radios nor engage in the sale of parts for such equipment. When requested, Grantee shall receive and distribute signals from and to headend of other (third party) communication service operators who are authorized by the City to offer such services within the City. Signal carriage shall be provided on cable system access channels by Grantee at uniform rates approved by the City. Equipment and installation required to bring t!le signals to and from the cable system headend and to condition such signals for application to the cable system shall be provided by the (third party) communication service operator. SECTION 7. TERRITORIAL AREA INVOLVED. This franchise relates to the present territorial limits of the City and to any area henceforth added thereto during the term of this franchise. SECTION B. DURATION OF GRANT. (a) The franchise shall become effective on the thirtieth (30th) day after the passage of this ordinance provided, prior to that date, Grantee has filed with the City Clerk: (1) a written instrument addressed to the Council accepting the franchise and agreeing to comply with all provisions of this ordinance; (2) a surety bond, cash deposit or deposit in any federal or State of California chartered bank or savings and loan association in accordance with the provisions of Section 20 of this ordinance. (b) -The term of the franchise shall be fifteen (15) years commencing on the effective date of the franchise as provided in Paragraph (a) of this section; provided that upon written no.tice given by City or Grantee to the other not less than one (1) year prior to the fifteenth (15th) anniversary of the effective date, the terms and conditions of this ordinance. may be subject to re- newal -and renegotiation as provided in Sections 1400, 14019 14029 14039 14042 1405 and 1406 of the City Charter for a succeeding fifteen (15) year term. Renegotiations shall be directed toward effecting alterations in the terms and conditions of the franchise in order to reflect those technical and economic changes which have -6- occurred during the interim period. I end of the term of the franchise does tween City and Grantee for continuance succeeding fifteen (15) year term, the without further action by City at the year term. f renegotiation prior to the not result in -agreement be - of the franchise for a franchise shall terminate end of its first fifteen (15) t..�. (c) In the event of purchase by the Grantor, or a change of Grantee, the current Grantee shall cooperate with the City, or with a representative appointed by the Grantor to operate the System for a temporary period -in maintaining continuity of ser- vice to all subscribers. SECTION 9. LIMITATIONS UPON GRANT. No privilege or exer.ption is granted or conferred by this ordinance except those specifically prescribed in it. The franchise granted by this ordinance is'subordinate to any existing public use or any existing franchise or lawful occupancy or any public highway, street'. -road or other Dublic property for the purpose 6erecting, operating and raintaining poles, lines, conduits, cables, gas pipelines and other necessary fixtures used in connection with the purpose of existing fran- chises or any extension of them. The franchise granted by this ordinance. is a privilege personal to the original Grantee. It cannot, in any event, be sold, transferred, leased, assigned, or disposed of as a whole, or in part, or otherwise, without prior consent of City expressed by ordinance, and then only under such conditions as may be pre- scribed in the consenting ordinance; provided, however, that no such consent shall be required for any transfer in trust, mortgage, or other hypothecation, as a whole, to secure an indebtedness. In the event that Grantee is a corporation, prior approval of the City Council, expressed by ordinance, shall be required where ownership or control of more than thirty percent (3O%) of the voting stock of Grantee is acquired by a person or group of persons acting in concert, none of whom already own or control thirty percent (30%) or more of the voting stock, singu- larly or collectively. Any such acquisition occurring without prior approval of the City Council shall constitute a failure to comply with a provision of this ordinance within the meaning of Subparagraph (1) of Paragraph (b) of Section 8 of this ordinance. SECTION 10. OPERATION OF SERVICE. (a) Within thirty (30) days after acceptance of any fran- chise,.the Grantee shall proceed with due -diligence to obtain all necessary permits and authorizations which are reouired in the conduct of its business including, but not limited to, any utility joint use attachment agreements, microwave carrier licenses, and any other permits, licenses and authorizations to be granted by —7— duly constitute---egulatory agencies having urisdiction over the operation of ca, -e television systems, associated microwave trans- mission/reception facilities and/or satellite communications facilities. (b) Within ninety (90)'days after obtaining all necessary permits, licenses and authorizations, including right of access to poles and conduits, Grantee shall commence construction and instal- lation of the cable television system. (c) Within one hundred eighty (180) days after the commence- ment of construction and installation of the system, Grantee shall proceed to render service to subscribers, and the'completion of the installation and construction shall be pursued with due reason- able diligence thereafter, so that service to the area covered by the franchise shall be provided within the period stated in the franchise granting ordinance. (d) Failure on the part of the Grantee to corLmence and dili- gently pursue each of the foregoing requirements and to complete each .o" the matters set forth herein, shall be grounds for term- ination of such franchise. By resolution., t.".e Council, in its discretion, may extend the time for the commencement and comple- tion of installation and construction for additional periods in the event the Grantee, acting in good faith, experiences delays by reason of circumstances beyond his control. By acceptance of the franchise granted hereunder, Grantee agrees that failure to comply with any time requirements referred to in Subsections (a), (b) and (c), or as extended by the City Council, of this section will result in damage to the City, and that it is and will be impracticable to determnine the actual amount of such damage in the event of delay; and Grantee therefore agrees that, in addition to any other damage suffered by City, he will pay to the City the sui: of Five Eundred•Dollars ($500.00) per day for each and every day's delay beyond the time prescribed, plus authorized extensions thereof, for completion of any of the acts required to be done by this section. SECTION 11. REGULATION OF RATES AND SERVICES. The City Council shall have the power and right at all times for the duration of the franchise granted by this ordinance to require Grantee to conform to reasonable rules and regulations now or hereafter adopted by the City Council, including the power to regulate and establish reasonable rates and charges by Grantee for services rendered -under this ordinance. r^ SECTION 12. MINIMUM CABLE SERVICE REQUIREMENTS. (a) As a minimum, the cable television system permitted to be installed and operated hereunder shall: (1) Be operationally capable of relaying to all sub- scriber terminals those television and radio broadcast signals for the carriage of which the Grantee is.hereafter authorized by the Federal Communications Commission if such authorization is required. -8- (2) Be constructed with the capacity for two-way, non - voice return communication. Any applicant to operate a system must include a provision for immediate implementation of the two- way capability. Such applicant shall include a description of a feasible plan to implement this capability in the future. The Grantee shall provide nonvoice return communication when the City Council so directs and the same is economically feasible. (3) Have a minimum capacity of thirty-two (32)'tele- vision channels and twenty (20) FM channels to all subscribers expressly providing to all subscribers any required converters, cable selection switch(es) or other devices required for the sub- scriber to receive all carried standard channels. (4) Provide at least one (1) channel without charge for use as public access channel. As a minimum, the public access channel carabilities shall include a timebase corrected videotape playback capability (3/4" U cassette or other approved format). (5) Provide'a public information channel for utiliza- tion by the City of a City appointed designee. This channel shall employ a colorized alphanumeric character generator with local display to be located at the direction of the City. Said public Information charnel shall be programmed by the City. (6) Upon direction of the Council, provide at least three (3) channels without charge for local government and educa- tional access. (7) When the cable system has reached ten thousand (10,000) subscribers, install and maintain a studio and a headend that will be capable of producing live or recorded programming to be cablecast in color and/or black and white for distribution on the entire cable system. The Grantee shall make available equip- ment and assistance for the production of programming at its studio at lease rates for use by access channel users. For public access channel users described in Subsection (4) above, Grantee shall provide free use .of the production facilities and production assistance for the first five (5) minutes of air time and for a period of five (5) years after service is commenced. Any applicant to operate a system under the provisions of this ordinance shall demonstrate in its application how it plans to provide and make available the above facilities and services. (b) Grantee shall: (1) Operate the cable system authorized by this ordinance twenty-four (24) hours per day, seven (7) days per week. (2) Maintain an office in the service area, which office shall be open during all the usual business hours, have a local telephone number listed in the directories of the Pacific Telephone and Telegraph Company for Anaheim extended areas, and be so opera- ted that complaints and requests for repairs or adjustment may be received at any time day or night, seven (7) days a week. -9- (3) R4,,der efficient service, mak.nF repairs promptly and interrupting service only for good cause and for the shortest time possible; such interruptions insofar as possible shall be preceded by notice given to subscribers twenty-four (24) hours in advance and shall occur during periods of minimum use of the system. (4) Limit system 'failures to minimum time duration by locating and correcting malfunctions promptly but, in no -event, longer than twenty-four (24) hours after occurrence, if reasonably possible, irrespective of holidays or other nonbu$iness hours. No charge shall be made to the subscriber for this service. (5) Establish procedures for receiving, acting upon and resolvinF subscriber complaints to the satisfaction of the City Manager. The Grantee shall furnish a notice of such procedures to each subscriber at the time of initial subscription to the system. (6) Maintain a written record, or "log" listing date and bime of customer complaints, identifying the subscriber and describing the nature of the complaints and when and what action was taken by the Grantee in response thereto; such record shall be kept at Grantee's local of-fice, reflecting the operations to date for a period of at least three (3) years, and shall be available for inspection during regular business hours without further notice or demand by the City Manager. (c) In the event that a customer complaint is not resolved to the nutual satisfaction of the customer or the Grantee, either.the customer or the Grantee may request that the matter be presented to the City Manager for a hearing and resolution. When there have'been similar complaints made or where there exists other evidence which, in the ;judgment of the City Manager casts doubt on the reliability or quality of cable service, the City Manager shall have the right and authority to compel the Grantee to test, analyze, and report on the performance of that part of the system involved in the problem,Such test or tests shall be made -and the reports of -such test or tests shall be deliv- ered to the City no later than fourteen (14) days after the City formally notifies the Grantee. Such report shall include the following information: the nature of the complaint which precipi- tated the special tests; what system component was tested; the equipment used and procedures employed in said testing; the results of such tests; and the method in which such complaints were re- solved. Any other information pertinent to the special test shall also be recorded. The City's right under this provision shall be limited to ^ requiring tests, analyses, and reports covering specific subjects and characteristics based on said complaints or other evidence when and under such circumstances as the City has reasonable grounds to believe that the complaints or other evidence require that tests be performed to protect the public against substandard cable ser- vice. -10- (d) The cavie television system permi6L;ed to be installed and operated hereunder may also engage in the business of: (1) Transmitting original cablecast programming not received through television broadcast signals; (2) Transmitting television pictures, film and video- tape programs not received through broadcast television, signals, whether or not encoded or processed to permit reception by only selected receivers or subscribers; (3) Trarsr..itting and receiving- all other signals: digital, voice and video. (e) The Grantee shall provide one (1) subscriber ccrnection without cost and, as designated by the Council, when the system. passes within five hundred (500) feet of the lot lire or boundary of any of the following facilities: (1) Public schools and community colleges w.ithin the City. (2 ) Buildings ati�ned and controlled by the City used for public purposes and not for residential use (fire and police stations included). (f) When service is within five hundred (500) feet of the lot line or boundary of the Anaheim Convention Center, Civic Center, Stadium and such public utilities facilities as desig- nated by the City Manager, the Grantee shall provide both one (1) subscriber connection and an origination connection capability at- said tsaid facility. Said origination capability shall be limited to: (1) Installation of a lent device capable of utilizing signals. television modulator or equiva- standard audio and video baseband (2) The necessary cable distribution system upstream or equivalent transmission capacity. (3) The necessary system headend equipment required to distribute Convention Center, Civic -Center, Stadium and such public utilities facilities, as designated by the City Manager, programming to all subscribers. SECTION 13. TECHNICAL PERFORMANCE STANDARDS. The CATV system shall be designed, installed, maintained and tested in accordance with best CATV industry practice and, as a minimum, shall conform with the technical performance standards contained herein. In addition, should the•Federal Communications Commission (FCC) or other State or Federal authority having juris- diction impose CATV system technical performance standards either outside the scope of the technical performance standards contained herein, or requiring a higher level of CATV system performance, those standards are hereby incorporated herein by reference. -11- If, for any reason, the referenced FCC or other technical standards shall become reduced in the regional scope or service level, the more stringent standards herein shall remain in effect. (a) Performance of the CATV system as measured at any sub- scriber terminal with matched 75 ohm termination shall be as follows: (1) The frequency boundaries of cable television channels delivered to subscriber terminals shall conform to those set forth in FCC 73.603(a) or subsequent FCC standard. (2) if no frequency converter is supplied to the sub- scriber, the visual carrier frequency shall be maintained 1.25 MHz+25 kHz above the lower frequency boundary of the cable televi- sion charnel. If a frequency converter is supplied to the sub- scriber by the cable television system, the following requirement shall be applied at the interface between the converter and the subscriber's terminal equipment: when the visual carrier at the out_uut of the converter has been'tuned to a frequency 1.25MHz above the lower frequency boundary of a cable television channel with the converter stabilized at ars.ambiert temperature between 20°C and and 25°C, the frequency of the visual carrier shall not vary r..ore than -+250 Y.'rz for a period of at least three (3) hours, during which period the ambient temperature may vary ±5°C about the initial ambient temperature. (3) The aural center frequency of the -aural carrier shall be 4.5 MHz ± 1 kHz above the frequency of the visual carrier. (4) The visual signal level across a 75 ohm terminating impedance as viewed from subscriber terminals shall not be less than 1500 microvolts (+3.5 dBmV) at each subscribers outlet'. (5) The visual signal level on each channel shall be maintained within: (1) 3 decibels of the visual signal level of any visual carrier within 6 Mz nominal frequency separation, and (ii) 12 decibels of the visual signal level on any other channel, and (iii) A maximum level such that signal level de- gradation due to overload in the sub- scriber's receiver does not occur, and (iv) 12 decibels over any twenty-four (24)•period. (6) The rms voltage of the aural signal shall be main- tained.between 13 and 17 decibels below the associated visual signal level. (7) The peak—to-peak variation in visual signal level caused by undesired low frequency disturbances (hum or repetitive transients) generated within the system, or -by inadequate low frequency response, shall not exceed five percent (5%) of the visual signal level. -12- (8) The amplitude characteristic shall be within a range of +2 decibels from 0.75 MHz to 5.0 MHz above the lower boundary frequency of the cable television channel, referenced to the average of the highest and lowest amplitudes within these fre- quency boundaries. (9) The ratio of visual signal level to system noise shall be not less than 42 decibels. (10) The ratio of visual signal level to any undesired co -channel television signal operating on proper offset assignment shall be not less than 36 decibels. - (11) The ratio of visual signal level to the rms ampli- tude of any coherent disturbances such as intermodulation products or discrete -frequency interfering signals not operating on proper offset assignments shall not be less than 46 decibels. (12) The terminal isolation provided each subscriber shall be not less than 18 decibels but, in any event, shall be sufficient to prevent reflections caused by open -circuited or short- circuited subscriber terminals from producing visible picture im- Dairments at any other subscriber terminal. (13) As an exception to the general provision requiring measurements to be nade at subscriber terminals,. and without regard to the class of cable television channel involved, radiation from: a cable television shall be measured in accordance with procedures outlined in FCC regulations, and shall be limited as follows: Frequencies Up to and including 54 MHz Radiation Limit (microvolts/meter) 15 Over 54 up to and including 216 MHz 20 Over 216 MHz OR Distance (feet) 100 10 100 (14) The CATV system shall be rated for continuous twenty- four (24) hour per day operation. (15) The FM signal level across a 75 ohm terminating im- pedance as viewed from subscribers' terminals shall be not less than 100 microvolts (-20 dBmV) nor greater than the highest permitted channel 6 aural signal level. (16) The FM signal level on each channel shall be main- tained within: = (i) 3 decibels of the FM signal level of any FM signal on an adjacent (200 kHz spacing) channel, and (11) 6 decibels of the FM signal level of any other FM signal carried on the system. -13- (17) Th.. CATV system shall, as a m_ Lmum, be operational in full compliance with the applicable specifications contained herein, over the radio frequency spectrum from 50 to 300 MHz inclu- sive. Further, the system shall be designed such that thirty-two (32) channel operation is possible from the outset utilizing the 50 to 300 MHz spectrum. (18) The CATV system shall, as a minimum, be capable of operating in full compliance with the applicable specifications herein, a return signal capacity in all portions of the system, over the frequency range of 5 to ?0 14.Hz inclusive. (14) The Grantee shall at all times during the tern: of franchises properly install and maintain adequate shielding, filter- ing and grounding at affected installations within the CAT%7 systen to eliminate system interference from local radio/television broad- cast stationss comnercialt government, and aeronautical radio station- and/or frog: fundar:.er.tal frequency overload by radio amateur or citi- zen's radio service transmissions which are in compliance with Federal Cormurications Commission regulations. (b) Nonbroadcast signals carried on the CATV system shall meet the following baseband requirements. The PTF modulated signals associated with these baseband signals shall meet all requirements of Subsection (a) above. (1) Overall baseband system video frequency response shall be +2 decibels over a DC to 4.2 MHz bandwidth. (2) Baseband video tilt shall not exceed two percent {2,`..) as measured at the vertical or horizontal rate. (3) Overall baseband system video signal-to-noise ratio shall be not less than 42 decibels over a DC to 4.2 MHz bandwidth. (4) Video synchronizing wave form shall comply with the following applicable standard (latest edition or its equivalent): (1) 2:1 Interlace monochrome - EIA RS -330. (13) Full Interlace monochrome - EIA RS -170. Color - FCC 73.600 Figure 6. (5) Where applicable, minimum television camera (live and film) performance shall be: (i) Resolution (luminance) - 350 line center (vertical); 600 line center, 400 line corners (horizontal). (ii) Scan linearity - two percent (2x) maximum error (horizontal and vertical). (iii) Registration (color only) - two-tenths per- cent (0.2x) in centered circle of 0.8.picture height; four -tenths percent (0.4x) overall. (iv) Video tilt - two percent. (2x) maximum (hori- zontal rate). (6) Overall audio system frequency response shall be t 3 decibels over the frequency range 50 to 10,000 Hz. (7) Overall audio system signal-to-noise ratio shall be not less than 50 decibels over the frequency range 50 to 10,000 Hz. (8) Overall audio system harmonic distortion shall not exceed two percent (210) at any frequency from 50 to 10,000 Hz. (c) Any local origination studio provided by the Grantee shall meet the following minimum requirements: (1) 600 souare feet (net) space minimum. (2) 12 -foot ceiling height minimum. (3) 3200 degree K tungsten halogen professional TXF production lighting system (200 foot candles rinimum capability). (4) Acoustical noise level under normal studio operating conditions not to exceed NO. 25. (5) Minimum complement of production equipment to in - elude the following or approved equivalent: Two (2) studio cameras. At least two (2) color video tape'recorders with insert/assemble editor and capstan servo. At least one (1) digital video time base corrector for use with the color video tape recorders during. both editing and on -cable playback. Video production switching capability with special effects. Video picture and waveform monitoring equipment. Audio mixing and monitoring capability. (d) On the last regular working day of each of the first three (3) operating quarters of each year, the Grantee shall submit to the City Manager system performance data taken within the previous seven (7) days. Measurements for said data shall be taken at the same test points selected to satisfy Subsection (e) below during the last annual system performance test that data has been submitted to.the City. Quarterly test data shall be limited to: (1) Visual signal level for all channels carried. (2) Visual signal-to-noise measurements on one active lowband and one active highband VHF channel. (3) Visual hum modulation on one channel or pilot carrier. Quarterly tests shall be performed on a scheduled basis. A repre- sentative of the City shall be permitted to accompany the Grantee during quarterly measurement activities. The Grantee shall not be permitted to make any system adjustments during quarterly measure- ment activities without noting such adjustments on the test data form. (e) The Grantee shall, during the last month of the.fourth operating quarter of each year, perform annual CATV system perform- ance tests. (1) Such tests shall be in full compliance with FCC regulations. (2) Such tests shall be independently witnessed and the resultant data analyzed by a representative of the City if directed by the City 'tanager. (3) All necessary test instrumentation shall be supplied by the Grantee. A current certificate of calibration by an inde- Dendent calibration laboratory shall be supplied for each test in- strument. All costs for instrumentation•and calibration shall be borne by the Grantee. (4) measurement locations for system compliance with Subsection (a) above, except those requirements regarding twenty- four (2u) hour visual signal amplitude and channel amplitude char- acteristics, shall include: (i) End.of each system major trunk, and (ii) End of eadh system trunk branch four (4) or more trunk amplifiers deep. Actual test locations shall be selected to measure performance of the system in the franchise area and shall be (or as closely as possible simulate) actual subscriber locations. (5) Measurements regarding twenty-four (24) hour visual signal level and channel amplitude characteristic shall be made as required by the FCC. (6) Measurement for system compliance with.Subsection (b) above shall be made where practical on all origination equip- ment employed in the system. (7) Measurement techniques shall be either (i) those suggested by the FCC or (ii) those mutually developed by the Grantee and the City and agreed to in writing prior to system testing. If agreement cannot be reached, the City shall prescribe acceptable methods of measurement. -16- (8) Concurrent with annual performance tests, the City representative shall inspect all system headend facilities and outside plant for adherence to best industry installation, workman- ship and safety practice. (f) The Grantee shall maintain the system so it consistently operates within the substantial compliance of the technical stand- ards herein; substantial compliance being defined as ninety-five percent (95%) of the channels received shall meet all applicable technical standards simultaneously at the time of measurement. SECTION 14. SPECIAL PROVISIONS. (a) Svstem Maps and Layout. The Grantee shall have at all times up-to-date route maps of suitable scale showing all trans- mitting and receiving pickup locations and the location of all amplifiers and trunk and distribution lines. Lines to individual home and business outlets within the public right of way shall be shown-. Maps shall be annotated so that a failure or -malfunction in the transmission lines and assorted equipment can be evaluated in terms of service area receiving less than full service. The scale of the maps shall be sufficient to clearly show details to include horizontal and vertical dimensions and in a size and shall be drawn to a scale approved by the City Engineer. Grantee shall pro- vide City current copies of said naps. At the beginning of con- struction and every six (6) months after, Grantee shall indicate to the City its plans for installation and engineering during the next six (6) months. (b) Svster.! Construction and Ecuipnent Standards. The system - shall be installed led and mainta ne •in accor ance with standard good engineering practices and 'shall conforn when applicable with the National Electrical Safety Code; Rules for -Overhead Line Construc- tion (General Order No. 95) of the California Public Utilities ConLmission; Rules for Underground Construction of Lines (General Order No. 128); the California Administrative Code, Title 24, Part 3; the City of Anaheim Municipal Gode; Federal Communications Commission Rules and Regulations -Parts 15, 739 T4v 76 and new parts as they may apply and ANSI.standard Y32.21 (latest edition). (c) Preferential or Discriminatory Practices Prohibited. The Grantee shall not, as to rates, charges, service, services,facili- ties, rules, regulations, or in any other respect, make or grant any undue preference or advantage to any person, nor subject any person to any prejudice or disadvantage. (d) Remedies for Inadequate Service. (1) In the event that its service to any subscriber is interrupted for twenty-four (24) consecutive hours, except for acts of God, acts beyond the control of Grantee.and except in circum- stances for which prior approval of the interruption is obtained from the City Manager, Grantee shall provide a ten percent (10%) rebate of the monthly fees -to affected subscribers. -17- (2) In the event that its service t0 any subscriber is interrupted for forty-eight (48) or more consecutive hours, except for acts of God, and except in circumstances for which the prior approval of the interruption is obtained from the City Manager, Grantee shall provide a twenty percent (20%) rebate of the monthly fees to affected subscribers. (3) In the event that the system fails to meet -any per- formance standards for a full three (3) month period, Grantee shall reduce all subscribers' fees by twenty-five percent (25h) until all. per_'ornance standards are met. The City Manager shall notify the Grantee during the first month of the three (3) month period that the system has failed to meet performance standards. (4) For failure to coL.mence construction in acccrdance with Section 10" of this ordinance, unless the Council approves the delay because of reasons beyond the control of the franchisee, the franchise term shall be reduced four (4) days for each day of delay. (5) For failure to begin service to subscribers or com- plete construction and installation of the system as provided for in Section, 10 of this ordfrance, unless the Council approves the delay because of reasons beyond the control of the franchisee, the franchise term shall be reduced four (4) days for each day of the delay. SECTION 15. LOCATION OF PROPERTY OF GRANTEE. The Grantee shall make such arrangements to install the cable system with the owner of the property or easement where such cable system is to be located as may be appropriate. Grantee shall furnish City with evidence of such arrangements. All street work will require an excavation permit. Any poles, wires, cable lines, conduits or other properties of the Grantee to be constructed or installed in streets, alleys or other rights of way -shall be so constructed or installed only at such locations and in such manner as shall be approved by the City act- ing in the exercise of its reasonable discretion. The Grantee must post a cash bond with the City in an amount to be determined by the City Engineer during and until com- pletion satisfactory to the City of said work and -restoration of street and -alleys including proper barricading, signing and tempor- ary paving if required. - The Grantee shall not install or erect any facilities or apparatus in or on other public property, places, -or rights-of-way, or within any privately -owned area within the City which has not yet become a public street but is designated or delineated as a proposed public street on any tentative subdivision map approved by the City, except those installed or erected upon public utility facilities now existing, without obtaining the prior written approval of the Public Works Executive Director or designated staff. —18— In those areas and portions of the City where the trans- mission or distribution facilities of either the public utility providing telephone service or those of the utility providing electric service are underground -or hereafter may be placed under- ground, then the Grantee shall likewise construct, operate and maintain all of its transmission and distribution facilities or other means of transmitting signals underground.. For the purposes of this subsection, "underground" shall include a partial under- ground system, e.g. streamlining. The City shall not in any manner be responsible for any costs incurred by the Grantee in placing Grantee's facilities underground. T'.ne entire distribution system of the Grantee, including poles, posts, a:ires, cables, appurtenances and facilities, shall be located or relocated and so erected as not to interfere with travel over, in, on or under any public way and with reasonable inCress and egress to abutting property. SECTION 16. REMOVAL OR ABANDONMENT OF FRANCHISE PROPERTY. R' In the event that, (1) the use of any franchise property is discontinued for any reason for a continuous period of twelve (12) months, (2) franchise property has been installed in any street or other dedicated public right of way without complying with the requirements of this ordinance, or the franchise has been terminated, cancelled or has expired, Grantee, at its expense, shall at the demand of the City reprove promptly from the street all franchise property other than any which the Public Works Executive Director may permit to be abandoned in place. In the evert of any such removal, Grantee shall promptly restore to a con- dition satisfactory to the Public Works Executive Director the street or other dedicated public right of way or other public places in City from which the franchise property has been removed. Franchise property to be abandoned in place shall be abandoned in the manner prescribed -by the Public Works Executive Director. Upon permanent abandonment of any franchise property in place, Grantee shall submit to the City Manager an instrument, sat- isfactory in form to the City Attorney, transferring to City the ownership of the franchise property abandoned. SECTION 17. CHANGES REQUIRED BY PUBLIC IMPROVEMENTS. Grantee shall,•at its expense, protect, support, tempor- arily disconnect, relocate in the same street, alley, or public place, or remove from any street, alley or public place, any fran- chise property when required by the Public Works Executive Director by reason of traffic conditions, public safety, street vacation, freeway and street construction, change or establishment of street grade,•installation of sewers, drains, and tracksor any othered type type of structures or improvements including, but placing such structures and improvements underground by governmental agencies when acting in a governmental or proprietary capacity, or any other structures or public improvements; provided, however, that Grantee shall in ationsltosuch abandones have franchiseepropertyges and bin places b sect to the obligations as provided in Section 16. SECTION 18. FAILURE TO PERFORM STREET WORK. Upon failure of Grantee to commence, pursue or complete any work required by law or by the provisions of this ordinance to be done in any street, within the time prescribed and to the sat- isfaction of the Public Works Executive Director, the Director may, at his option, cause such work to be done and the Grantee shall pay to the City the costs thereof in the itenized amounts reported by the Director to Grantee, within thirty (30) days after receipt of such itemized report. SECTION 19. FRANCHISE FEE. ' Any Grantee granted a franchise under this ordinance shall pay to the City, during the life of such franchise, a sum equal to five percent (5%) of the annual total gross receipts and in addition thereto such other sums as may be provided for else- where in this ordinance. If, during any part of the franchise term,'there is in effect a federal or state 11 -Mit regulating the franchise fee percentage to a lesser amount, such a limitation shall apply but only for tb&t time period such limit is legally operational. Franchise fee payment by the Grantee to the City shall be made annually by delivery of the same to the City Finance Director. Franchise payments required hereunder shall be in lieu of any business license, occupation tax or similar levy. The Grantee shall file with the City Auditor within ninety (90) days after the expiration of the Grantee's fiscal year or -por- tion thereof during which such franchise is in force, statement of profit and loss certified to.by a certified public accountant, or person otherwise satisfactory to the City Auditor, showing in detail the gross subscriber receipts, as defined herein, of Grantee during the preceding fiscal year or portion thereof. It shall be the duty of the Grantee to pay to the City, within fifteen (15) days after the time for filing such statements, the sum hereinabove prescribed or any unpaid balance thereof for the fiscal year or portion there- of covered by such statements. The City shall have the right to inspect and audit the Grantee's fiscal records. If any independent audit of .the Grantee's records directed by the City shows a franchise fee error in excess of two percent (2%) in the City's favor, the Grantee shall assume all reasonable costs for said audit. No acceptance of any payment shall be construed as a release or as an accord and satisfaction of any claim the City may. have for further additional sums payable un- der this section or for the performance of any other obligation hereunder. -20- Any neg.Lect, omission or refusal of the Grantee to file said verified statement, or to pay said percentage in full, at the time or in the manner hereinbefore provided, which neglect, omis- sion or refusal shall continue for more than fifteen (15) days following notice thereof to the Grantee from the City shall be grounds for the termination of this franchise as provided for in Section 23 hereof. SECTION 20. FAIT::FUAL PERFORMANCE BOND. Grantee shall, upon the award of this franchise, file and maintain in full force and -effect an acceptable corporate surety bond in the amount of Twenty -Five Thousand Dollars (525,000.00), and conditional that in the event Grantee shall -fall- to allto comply with any one or more of the provisions of this ordinance, then there shall be recoverable jointly and severally from the principal and surety of such bond anis damages suffered by Cite as a result thereof, including the Full amount of any compensation, Indemnifications or cost of removal or abandonment of property as prescribed by this ordinance -which may be in default, up to the full a*jounto of the bond, the condition to be a contiruin€ obliva- tion for the duration of the franchise granted by this ordinance and therea._%er until Grantee has liquidated all of its obligations with City that may have arisen from the acceptance of the franchise by Grantee or from its exercise of any privilege herein granted. In lieu of said bond, Grantee may deposit cash with the City of Anaheim or in a federal or State of California bank or savings and loan association in the name of the City of Anaheim, but with in- terest reserved to the Grantee, on terms and conditions approved by the City Attorney. Neither the provisions of this section, and any bond accepted by the City pursuant thereto nor any damages recovered by City thereunder, nor any withdrawal from any cash deposit shall be construed to excuse faithful performance by Grantee or to limit the liability of Grantee under this ordinance or for damages, either to the full amount of the bond or otherwise. SECTION 21. LIABILITY AND INDEMNIFICATION. The Grantee shall pay all damages and penalties which the City may legally be required to pay as a result of passage of this ordinance. These damages or penalties shall include damages arising out of the installation, development, operation, maintenance or expansion of the cable system authorized herein, whether or not any act or•omission complained of is authorized, allowed, or pro- hibited by this ordinance. The Grantee shall pay all expenses incurred by the City in defending itself with regard to all damages and penalties men- tioned above. The expenses shall include all out-of-pocket expenses, such as attorney fees, and shall also include the reasonable value of any services rendered by the City Attorney or his assistants or by any employees of the City or by any attorney retained by the City for its defense. -21- The Grantee shall maintain and pay for comprehensive auto and general liability insurance insuring the City and the Grantee with regard to damages charged against the -City and/or the Grantee resulting from the development, installation, operation, maintenance or expansion of the cable system authorized by this ordinance in the amount of Five Million Dollars ($5,000,000.00) combined single limit per occurrence. Said insurance should con- tain coverage for: (1) blanket contractural liability (2) explosion (3) underground hazards (4) collapse The Grantee shall, concurrently with the filing of an acceptance of award of.any franchise granted under this chanter, file with the City Clerk either a copy of such policy or a certi- ficate of insurance evidencing the same in a fora, satisfactory to the City Attorney. Such policy of insurance, and any certifi- cate evidencing the same, shall contain a contractural liability endorseTrent specifically extending the policy to cover the lia- bility assuned by Grantee under this subsection, and shall also contain a provision that such policy may -not be cancelled except after thirty (30) days' notice in writing to be given to the City Clerk. SECTION 22. FILING AND INSPECTION OF PROPERTY AND RECORDS. At all reasonable times Grantee shall.permit exanination by any duly authorized representative of the City Manager, Public Works Executive Director or the City Auditor of all franchise prop- erty, together with any appurtenant property of Grantee situated within or without the City. Grantee shall also permit any duly authorized representative of the City Manager, Public Works Executive Director or the City Auditor to examine and transcribe any and all maps and other records kept or maintained by Grantee or under its control concerning the operations, affairs, transactions or.prop- erty of Grantee. If any of such maps or records are not kept in the City, or upon reasonable request made available in the City, and if the City Manager, Public Works Executive Director or the. City Auditor shall determine that an examination of such maps or records is necessary or appropriate to the performance of'any of their duties, then all.travel and maintenance expense necessarily incurred in making such examination shall be paid by Grantee. -22- The Grantee shall prepare and furnish to the Public Works Executive Director and the City Auditor at the times and in the form approved by either of said officers, such reports with respect to its operations, affairs, transactions or property, as may be reasonably necessary or appropriate to the performance of any of the rights, functions.or duties'of the City or any of its ^ officers in connection with the franchise. Such reports shall include a daily log of service requests, customer complaints, cus- tomer suggestions and the Grantee's response thereto, including the type, manner and time of response. The Grantee shall at all times maintain at its local office for public inspection a file containing copies of all reports required by Federal Communications (FCC) Rules and Regulations, Part 76, Subpart H (Genera'_ Operating Requirements) as the sane now exist or may hereafter be changed or amended. The Grantee shall submit copies of all reports required by Federal Communications Commission (FCC) Rules and Regulations Part 76, Subpart 1 (Forms and Reports) as the same now exist or nay hereafter by changed or`"amended including, but not limited to, FCC Form 325, FCC Form 326, FCC Form 326-A and FCC Form 305. Said documentation must be submitted to the City Manager concurrent with submittal to the FCC, unless said requirement is waived from time to time by the City Manager. The Grantee shall give formal notice to the City that it has filed a signal registration statement or subsequently required equivalent registration or application with the Federal Comr:unica- tions Cor^ission (FCC). Within ten (10) calendar days after filing such a statement with the FCC, the Grantee shall file two (2) conies of its statement with the City Manager unless said require- ment is waived from time to time by the City manager. SECTION 23. TERMINATION. (a) The'City may terminate any franchise granted pursuant to the provisions of this ordinance in the event of the willful fail- ure, refusal or neglect by Grantee to do or comply with any mater- ial reouirement or limitation contained in this ordinance, or any material rule or regulation of the Council or City Manager validly adopted pursuant to this ordinance. (b) The City Manager may make written demand that the Grantee do, or comply with, any such requirement, limitation, tern, condition, rule or regulation. If the failure, refusal or neglect of the Grantee continues for a period of thirty (3Q) days following such written demand, the City Manager may place his request for termination of the franchise upon the Council meeting agenda. The City Manager shall cause to be served upon such Grantee, at least ten (10) days prior to the date of such Council meeting, a written notice of his intent to request such termination, and the time and place of the meeting. -23- (c) The Council shall consider the request of the City Manager and shall hear any persons interested therein, and shall determine whether or not any failure, refusal or neglect by the Grantee was with just cause. (d) If such failure, refusal or neglect by the Grantee was with just cause, the Council shall direct the Grantee to comply within such time and manner and upon such terms and conditions as are reasonable. (e) If the Council shall determine such failure, refusal or neglect by the Grantee was without just cause, then the Council may pass its resolution declaring that the franchise of such Grantee shall be terminated and forfeited unless there be compliance by the Grantee within such period as the Council may fix. (f) The termination and forfeiture of any franchise shall in no way affect any of the rights of the City under the franchise or any provision of law. (g) In the event of any holding over after the expiration or other termination of any franchise granted hereunder, without the prior consent of the City, expressed by resolution, the Grantee shall pay to the City reasonable compensation and damages, of not less than one hundred percent (100%) of its total gross revenue during said period. (h) Any and all minimum standards governing the operation of Grantee and any and all maximum rates, ratios, and charges speci- fied herein or in'any franchise issued hereunder, existing now and . at any time in the future, and any and all rights, powers, privi- leges, and authorities of the City to determine, establish, or fix any of the same, are each and all hereby declared by the City and by any Grantee accepting any franchise hereunder to be contractual in nature and to be for the.benefit of the City and all subscribers situated therein. SECTION 24. MISDEMEANORS. (a) It shall be unlawful for any person, firm or corporation to make any unauthorized connection, whether physically, electri- cally, acoustically, inductively or'otherwise, with any part of a franchised cable system within the City, for the purpose of taking or receiving television signals, radio signals, pictures, programs or sound. (b) It shall be unlawful for any person, firm or corporation to make any unauthorized connection, whether physieally, electri- cally, acoustically, inductively or otherwise, with any part of a franchised cable system within the City, for the --purpose of en- abling.himself or others to receive any television signals, radio signals, pictures, programs or sound, without payment to the owner of said system. -24- (c) It shall be unlawful for any person, -without the consent of the owner, to willfully tamper with, remove or injure any cable wires or equipment used for distribution of television signals, radio signals, pictures, programs or sound. (d) It shall be a misdemeanor punishable by a fine of not to exceed Five Hundred Dollars .($500.00), or by imprisonment for not �- to exceed six (6) months, or both, for any person to violate any of the provisions of this section. SECTIO14 25. ACQUISITION. In the event the'City wishes to acquire part or all of the cable system either by purchase or through the exercise of the right of er.inent domain, City and Grantee will each appoint one appraiser to establish the value of the equipment to be acquired by City. The two appraisers will. select a third appraiser who will be chairman of the appraisal board. The board will, by majority vote, determine the value of -the system to be acquired by City. This value will be final and binding on both City and Grantee and will be used as the purchase prate.of just coxpensation in an eminent domain proceeding between City and Grantee. SECTION 26. FILINGS AND COMUMUNICATION WITH REGULATORY AGENCIES. In addition to the filing requirements of Section 22, copies of all petitions, applications, reports and communications of all types submitted by Grantee to the Federal Communications Commission, Securities and.Exchange Commission, California Public Utilities Co=nission, or any other Federal'or State regulatory com- mission or agency having jurisdiction over any matter affecting op- eration of Grantee's cable system shall be submitted simultaneously to the City by delivery to*the City Clerk who shall advise interested City departments of such filing. A copy of each document filed with the City Clerk in accordance with this section shall be delivered to the City Attorney. SECTION 27. NEW DEVELOPMENTS. It shall be the policy of the City liberally to amend this franchise, upon application of the Grantee, when necessary to enable the'Grantee to take advantage of any developments in the, field of transmission of communication signals which will afford it an opportunity more effectively, efficiently, or economically to serve its customer; provided, however, that this section shall not be construed to require the City to make any amendment or to pro- hibit it from unilaterally changing its policy stated herein. -25- Grantee agrees to incorporate, as a part of the cable system installed, historically proven advances in equipment and services provided to the citizens of Anaheim at the first reason- able opportunity, and in any event not later than the times when such advances are installed in other cable systems operated by Grantee. Such equipment and.service shall include, but not be 1-0-11 limited to, two-way access available to all subscribers, equip- ment to facilitate such two-way services at both headend and subscriber terminals, availability of national or international transmission via communications satellites, application of fiber optic technology and other such advances. Such equipment and services shall be incorporated in the Anaheim Cable System with- out regard to the company,'corporation or other agency involved in its development. SECTION 28. OTHER COSTS. The Grantee shall assume the following costs upon the Grantee's filing of acceptance of this franchise associated with granting a franchise and verifying acceptable initial CATV system performance: (a) Costs of publication of this franchise as such publi- cation is required by law. (b) Costs associated with the City employing an independent Consultant to assist with development of the franchise ordinance and request for proposal, evaluate proposals received and assist the City in any negotiations required to grant a franchise. (c) Costs of an independent engineering firm to witness the design, installation and initial proof of performance testing of the system as a verification of the Grantee's adherence to the terms and conditions of the franchise. If said proof of perform- ance tests show that the cable television system is significantly below the performance standards outlined in Grantee's proposal and elsewhere in this franchise, the City shall give notice thereof to Grantee and Grantee shall have thirty (30) days to correct said deficiency. If Grantee fails to correct said deficiency within this time, the City may request mutually agreed upon independent engineers to demonstrate, at Grantee's cost, the appropriate cor- rection to the Grantee. Grantee shall then have sixty (60) days or other approved reasonable time required, to correct deficiency. If deficiency still has not been corrected, the City shall have the option to terminate this franchise subject to the City's rights, requirements, and restrictions regarding the termination -of this franchise stated elsewhere within. —26— SECTION 29. PROPOSAL Grantee has submitted a Cable Communication System proposal for the City of Anaheim, marked Exhibit "A" attached hereto, each and every provision of said proposal is hereby in- corporated by reference in this ordinance as though the same were set out in full except to those which expressly alter or modify said proposal, all provisions'of said proposal shall be binding upon Grantee. SECTION 30. CONSTRUCTION Grantee does agree as stated in its proposal to commence construction of its Cable Communication System within thirty (30) days of the date of this ordinance and will diligently proceed with all construction thereunder shown so as to cause Phase I to be com- pleted within eleven (11) months from the date of this ordinance and the phases completed in acdordance with Grantee's proposal. SECTION 31. RATE INCREASES Grantee does stipulate and agree that no rate increase will be proposed by Grantee for three (3) years from the date of this ordinance. All future rate increases shall be based upon the following criteria to be construed by the City Council: (a) Basic Rates. The initial rates for Basic CATV service, installation and connection charges shall not exceed the rates set forth in the franchise application or those otherwise approved by City Council action. Basic service rates and charges shall not be increased until the system'is completed, (b) Annual Rate Adjustment. The initial rates shall be adjusted a ter the system is completed, effective October 1 of the year the system is completed, and shall be adjusted for five (5) successive years thereafter, based upon the Consumer Price Index (Urban Wage Earners).prepared by the Bureau of Labor Statis- tics of the United States Department of Labor, relating to all items, Series A, for the Los Angeles -Long Beach area (1967-100) (herein the "CPI"), in accordance with the following formula: (1) The Grantee shall submit to the City by'September 1 of each year a report of the most recent CPI information for the twelve (12) -month period preceding the report. (2) The number of points of increase or decrease in the CPI for said twelve (12) month period, divided by the index base of one hundred (100) shall be used as the total annual per- centage increase in the CPI. _ (3) The Grantee may request and the City shall thereon grant an annual rate adjustment in the amounts requested by Grantee, provided that: 07- a. The amount of such annual rate adjustment divided by the current subscriber rates shall not exceed seventy-five percent (75%) of the total annual percentage increase in the CPI as determined under Subparagraph (2) above, and b. The Grantee provides the City with written financial statements showing that the rate adjustment is justified by increased ex- penses incurred by the Grantee in the oper- ation of its CATS' system. (4) The annual rate adjustment requested by the Grantee shall automatically become effective forty-five (45) days after submission of Grantee's application therefor, unless the City Council makes prior written findings that: 2. Grantee's expenses have increased in a lesser percentage amount than the increase in the CPI, or b. Grantee's net profit has increased in a greater percentage amount than the increase in the CPI, or c. Grantee has not adequately served or serviced the subscribers in the City,.or is in material breach of this ordinance or its franchise, or d. Grantee has not provided such sufficient finan- cial information upon which the City can make the findings set out in Subsections a. and b. above, and City identifies the additional in- formation necessary to make such findings. (c) Council Approval. Basic service rates and charges shall not be increaseds except under Subsection (b) above or upon approval of the City Council in accordance with the provisions of this sec- tion. Allowing an increase in basic service rates and charges is a legislative act. (1) Any application by the Grantee for a rate increase shall be accompanied and supported by the following information: a. Copies.of audited financial -reports and income statements for at'least the preceding three (3) final years. If the Grantee is a subsidiary of another firm, similar financial data shall be furnished for the parent corporation. -28- b. An itemization of capital assets, both tangible and intangible, including purchase dates and costs, the accounting basis for depreciation and the depreciation schedule. If intangible assets such as goodwill are being amortized, the amortization period shall be stated. c. A detailed breakdown of operating, marketing and general and administrative costs by cate- gory for each of the three (3) preceding years. d. The number of subscribers for Basic CATV ser- vice and 'pay-Tt: service for each of the three (3) preceding years. e. The number of cable plant -miles and dwelling units passed•by the cable plant for each of the three (3) preceding years. f. A statement as to any allocation of funds to parent company overhead -or operating costs, and the basis for such allocation. (2) Upon receipt of a rate increase request, accompanied by all of the supporting information of (1) above, it shall be the obligation of the City Council to act upon this request within a period of 150 days from the date upon which all supporting mater- ial has been made available in adequate form. Prior to taking action on the request, at least one noticed public hearing shall be held upon the rate request.. The Council shall approve,•partially approve or disapprove any increase of rates or rates for additional services on the basis of the following considerations: a. Performance of the Grantee in abiding by the items of the ordinance and franchise. b. Value of the service or services provided. c. Rates for comparable service or services in surrounding communities. d. Quality of service. e. Efficiency df Grantee management. f. Revenues and profits from all services offered. -29- g. Depreciated original cost of the cable plant and associated equipment. All intangible assets for which costs have not actually been expended, such as the value of the franchise, goodwill, and the value of the going concern, shall not be amortized as an expense, and a return shall not be paid on any of these values. Actual costs, such as the purchase of a system above net book value, may be amortized over a period of not less than twenty (20) years, but the unamortized _portion shall not be included in any rate base or rate of return calculations. h. A fair's,, return on Grantee's investment com- pared to investments having corresponding risk. The decision of the Council approving or disapprov- ing the rate request shall be accompanied.by findings indicating the basis for the decision. (3) In the event a rate increase is granted as reauested, the Grantee shall refrain from applying for further increases for a period of eighteen (16) months from the date of the prior filing. If the rate request is denied, or a lesser increase than requested Is approved, the Grantee shall refrain from applying for further increases for a period of nine (9) months from the date of the prior filing. SECTION 32. STUDIOS. Grantee shall install a Color Access Studio at Cal State University Fullerton within fifteen (15) months of this ordinance and, within thirty-six (36) months, shall have installed a Color Access Studio in full and complete operation and a Mobile Van Color Access Studio in full and complete operation in the City of Anaheim. The Color Access Studios required pursuant to this Section shall be in lieu of the studios contained in Grantee's proposal incorporated herein pursuant to this Section. SECTION 33. CATV INTERCONNECT STANDARDS. The Grantee shall make all reasonable efforts to elec- trically interconnect the Anaheim CATV system with CATV systems to adjacent communities for.the purposes of sharing locally ori- ginated public and educational programming. Such an interconnect shall be effected by coaxial cable, fiber optic cable, microwave or other bi-directional signal transportation means -as appropriate to permit programming interchange in compliance with the technical provisions of the City's CATV franchise ordinance. - 30- Within the first two (2) years of the.life of the Anaheim CATV franchise, the Grantee shall contact all franchised operators in the communities immediately adjacent to Anaheim for the purposes of exploring and securing a mutually acceptable system interconnect agreement and report the results of said activity to the Anaheim City Manager or other designated City representative. Said report shall state each contacted operator's name, city and response, list all programming available to Anaheim residents via such an inter- connect agreement as well as list programming to similarly be transmitted from Anaheim to the adjacent community and explain the substance of the governing business agreement reached with the other' operators. If an adjacent operators) is not responsive to the Grantee's inquiry, a letter report, sUlaling that all reasonable at- tempts to gain an interconnect agreement were made but unsuccessful, shall similarly be filed with the City of Anaheim. Ir. the case of adjacent new CATV systems constructed after the Anaheir:. system, the Grantee shall have a period of six (6) months after the new system becomes operational to make the re- quired inquiries and attempt at an interconnect agreement. SECTION 34. ASSEMBLY BILL 699. Grantee is aware that the State. of California has enacted a new law commonly called Assembly Bill 699 pertaining to cost of living rate increases and Grantee does hereby waive its rights to the vrovisions and protection of AB699 during the term of this franchise plus any renewals or extensions of time hereunder. SECTION 35. SEVERABILITY. If any section, subsection, sentence, clause, phrase or portion of this ordinance is, for any reason, held invalid or un- constitutional by any court of competent jurisdiction, such portion shall be deemed a separate, distinct and independent provision and such holding shall not affect the'validity of the remaining portions hereof. SECTION 36. The City Clerk shall certify to the passage of this ordinance and shall cause the same to be printed once within fifteen (15) days after its adoption in the Anaheim Bulletin, a newspaper of general circulation, printed, published and circu- lated in said City, and thirty (30) days from and after its final passage, it shall take effect and be in full force. -31- THE FOREGOING ORDINANCE is approved and adopted by the City Council of the City of Anaheim this 26th day of December, 1979. ATTEST: STATE OF CALIFORNIA ) COUNTY OF ORANGE CITY OF ANAHEIM ) I, LINDA . D. ROBERTS, City Clerk .. of . the' City .. of ' Anaheim, do hereby.. certify that the'foregoiag Ordinance No. 4087 was-introduced'at a.regular.meeting of the' City Council . of the' City of ' Anaheim, .held - on' the 18th day .of ' December, 1979, and that the same was duly passed and adopted at a regular meeting of said City Council held on'the 26th -day of December; 1979, by the following vote of the members thereof: AYES: COUNCIL MEMBERS: Overholt, Kaywood, Bay, Roth and Seymour NOES: COUNCIL MEMBERS: None ABSENT: COUNCIL MEMBERS: None AND I FURTHER CERTIFY that the'Mayor'.of'.the'.City of'Anaheim signed said Ordinance No. -4087 on the'26th-..day-of'.December,.1979. IN WITNESS WHEREOF, I have hereunto set'my hand and affixed the official seal of'the City of'Anaheim this 26th day of'December, 1979. P�wl%, p wwf (SEAL) I, LINDA D. ROBERTS, City Clerk of the City of Anaheim, do hereby certify that the foregoing is the original Ordinance No. 4087 and was published once in the Anaheim Bulletin on the 4th day of January, 1980. SECTION 1 IDENTIFICATION OF APPLICANT TIEL BROADCAST 2 2' Los 3 Government Access 4 4 NBC Los 5 KTLA Independent Los Angeles 7 7 8 ABC Los 9 9 & TV Guide 10 28 KHJ 11 11 Angeles 12 PBS Los 13 13 Independent 14 17 Ccmunity Bulletin Board 15 9 KCOP 16 Los Angeles 17 Independent Atlanta, GA 18 18 Chicago, Ill. 19 Service - Home Box Office 20 Service - Showtime 21 KCSI Religious 22 22 Premium Movie 23 52 24 24 25 58 Independent 26 50 KBSC 27 Los Angeles 28 Educational San 29 KLCS Educational 30 30 KOCE 31 Huntington Beach Madison Square 32 Nickelodeon - 33 34 34 KHOF 35 San Bernardino 36 Business News & Stock Market 40 PROPOSED SERVICES KNXT CBS Los Angeles Government Access KNBC NBC Los Angeles KTLA Independent Los Angeles Community Public Access KABC ABC Los Angeles Local Weather & TV Guide KHJ Independent Los Angeles KCET PBS Los Angeles KTTV Independent Los Angeles Ccmunity Bulletin Board KCOP Independent Los Angeles WTCG Independent Atlanta, GA WGN Independent Chicago, Ill. Premium Movie Service - Home Box Office Premum Movie Service - Showtime KCSI Religious San Bernardino Premium Movie Service - HBO Take -Two Education Access - Unified School District Education Access - College/University KWHY Independent Los Angeles KBSC Independent Los Angeles KVCR Educational San Bernardino KLCS Educational Los Angeles KOCE Educational Huntington Beach Madison Square Garden Sports & Calliope Nickelodeon - Children's Programming C -SPAN - Live U.S. House of Representatives KHOF Religious San Bernardino Family Theatre Business News & Stock Market News Time - UPI Picture News ZHEX Speciality Los Angeles Modern Talking Pictures Lease Access Religious Access Future Expansion Future Expansion KTBN Future Expansion Independent See following pages for description of these services. Los Angeles 11 IDENTIFICATION OF APPLICANT: Storer Cable TV, Inc. 888 Thousand Oaks Blvd. Thousand Oaks, CA 91360 Storer Cable TV, Inc., a California Corporation, Is a wholly owned subsidiary of Storer Broadcasting Company, an Ohio Corporation with its main offices located at 1177 Kane Concourse, Miami Beach, Florida 33154. Please address inquiries regarding this Proposal to: Gary Massag lia Storer Cable TV, Inc. 888 Thousand Oaks Blvd. Thousand Oaks, CA 91360 805/497-3931 Storer Broadcasting Company is a public corporation traded on the New York Stock Exchange. 5,157,113 shares are issued and outstanding, distributed among approximately 5,000 shareholders. %TORER CABLE TV, INC. CORPORATE DIRECTORS Bill Michaels - Chairman of the Board Peter Storer John McCoy Arno W. Mueller Terry H. Lee 1177 Kane Concourse Miami Beach, Florida 33154 CORPORATE OFFICERS Bill Michaels - Chairman of the Board Peter Storer - President Terry H. Lee - Executive Vice President Arno W. Mueller - Vice President of Finance & Cable TV Ren Mosher - Vice President & Treasurer 1177 Kane Concourse Miami Beach, Florida 33154 William E. Schiller - Vice President & General Manager Ross W. Wileman - Vice President of Operations Gary Massag lia - Director of Operations David Randolph - Director of Engineering 888 Thousand Oaks Blvd. Thousand Oaks, California 91360 PRINCIPAL SHAREHOLDERS OF STORER The following entities own more than 5% of the ownership of the Parent Company: Shares % Detroit Trust Company TR UAW 341, —9.62 George B. Storer DTD 1/24/46 % Detroit Bank & Trust Company 211 W. Fort St. Securities Clearance Sec. Detroit, Michigan 48231 These shares are for investment purposes held by Detroit Trust Company in trust for several beneficial owners. Cede & Company 1,097,681 21.28 Box 20 Bowling Green Station New York, N. Y. 10004 Cede and Company is a Corporation which acts as a Clearing House for New York Stock Exchange transactions. Its ownership is for record purposes only. SECTION PROPOSED.SERVICES MARKETING PLAN CHANNEL CAPACITY The Cable Cammunications System proposed for Anaheim trill have a capacity of 40 channels with 37 active at the onset and 3 reserved for future expansion to accammodate additional programming or local access needs. We have not listed channels 46 KBSA or 68 RUST. included in the Request for Proposal, as we are infoffied that neither of these are currently broadcasting. Should they begin broadcasting, we would include them in our channel configuration. 3 GOVERrIl�2r1T ACCESS This channel will be originated fram the governmental center using an alpha -numerical character generator and keyboard. The channel will provide the City Immediate access to the public. A multitude of information can be provided; such as, Council tanda. Recreation Activities, areas under construction, etc. e channel could also be used in times of emergency. CHANNEL- b - COHMITY PUBLIC ACCESS Public Access is a non-commercial channel made available to private citizens and organizations upon request, and is intended to foster the development of community expression. Storer will train and assist citizens in the operation of the Public Access equipment at no charge. 8 - LOCAL WEATHER &TV GUIDE Local weather information is taken directly from the Anaheim area weather center. TV Guide lists all programming on the cable'system not carried in the local newspaper or TV Guide, (such as satellite services and local origination channels) . CHANNEL 12 - COMMUNI'T'Y BULLETIN BOARD Special channel set aside for cammunity events calendar. CHANNEL 14 - WTCG - ATLANTA WTCG Atlanta provides a non-stop schedule of 24 holy programing. Over 200 live sporting events yearly. The best of College & Pro's, covering just about every sport there is including Baseball, .�-.. Basketball, Hockey. Football and Tennis. Up to 44 of Hollywood's best Motion Pictures per week. In addition to sports and movies, the scheduling includes other family entertainment including popular off -network shows, talk shows, situation comedies, country and western music shows and other special family programs.- CHANNEL 15 - V= - CHICAGO VGN channel 9 is one of the nation's major independent television stations, origination from Chicago. The station features 58 hours weekly of ppopular movies, more than 10 hours of super sports, plus award Vinnimg special programming. CHANNEL 16 - HOME BOX OFFICE On Home Boa Office you'll enjoy many new movies each month. Uninterrupted by cammercials, uncut and uncensored. HBO is the entertainment alternative; to theatre, sports arena, nightclub and all in your home. CHANNEL 17 - SHOW DE As with Home Box Office, this channel will carry many new movies each month uncut and uninterrupted along with nightclub acts and specials. CHANNEL 19 - HOME BOX OFFICE - TARE -TWO Take -Two is the Mini -Pay service with only G & PG rated progra®ing. First -run theatrical Teleases usually shown about 60 days after their first -run on HBO's full service. Programming also includes Merry -Go -Round, a series for children over 8 that the entire family can enjoy. CHANNEL '20 - EDUCATIONAL ACCESS UNIFIEDSCHOOL DISTRICT Educational Access is a channel provided to the Anaheim Public School System for the transmission of instructional programming as well as school functions and events. In addition, a character generator keyboard will be located at a sight specified by the Anaheim School System. This will enable public school representatives to display messages and -bulletins directly on the educational access when other programing is not in progress. CHANNEL '-*21 - EDUCKL &OVAL ACCESS - COLLEGEIUNI'vzRSM College/University Access is a channel provided to the Colleges and Universities in the Anaheim area for the transmission of instructional programming as well as school functions and events. In addition, a character generator keyboard will be located at a sight specified by the Anaheim area Colleges -and Universities. This will enable school representatives to display messages and bulletins directly on the College/University access when other programming is not in progress. CHANNEL 27 - MADISON SQUARE GARDEN SPORTS AND 'CALLIOPE Madison Square Garden Sports and Calliope, the children's movie package, are two terrific programming series now offered via RCA satellite for cable television. These quality programs are meeting the demands for special sports and children's programing. This year the number of events has been increased from 135 to 160. Many of the events are scheduled on week nights, offering sport's fans a diverse selection of sports not otherwise available to them. Calliope, the children's movie package, has been well received by - the industry. as well as educators. The 'award winning films that comprise this series will be hosted by Eugene Francis and boast such renowned stars as; Michael Douglas, Burgess Meredith, Alan Arkin and Van Heflin. CHANNEL 28 - NICHELODEON Nickelodeon is a daily channel of "non-violent, quality" Children's Programing. This service will provide satellite - transmitted programs for ages fran pre=schoolers to young adults, and will occupy as much as 13 hours day, seven days a week. The Programming includes such things as "Bonanza" a live program for teenagers; "Video Comic Books with a format that allows children to read along with the show; "Pinwheel", a show for pre-schoolers; a public affairs magazine program and "Nickel Flicks". featuring all Cliffhanger Serials of the "Rin Tin Tin" type. CHANNEL 29 -'C -SPAN C -SPAN (Via Satellite) - Gavel -to -Gavel coverage of the U.S. House of Representatives. Coverage will extend from noon to the adjournment of the House Session each day - up to 7 hours daily. CHANNEL '31 - FAMILY 9EATRE From Storer Cable TV comes a channel that's all movies, 100% family features' and it's without commercials' As a part of the basic service, there's a variety of types of movies, fram Westerns and Comedies to romance and action. CHANNEL 32 - BUSINESS NEWS AND STOCK MARKT Business News/Stock Market will provide an update of daily business news. Also offered, are the latest stock quotations and closing market prices. CHANNEL 33 - NEWSTIM Satellite - Delivered UPI Newstime Picture News, plus Voice -Over Reports continuously via Slow -Scan. 24 hours a day, 7 days a week, updated 5 times a day. Each continuous 15 minute segment covers foreign and Domestic News, Sports, Business, Weather, People. CHANNEL 35 - MODERN TALKING PICTURES Programs suitable for general family viewing. CHANNEL 36 - LEASED ACCESS Channel available for cammercial access. CHANNEL '37 - RELIGIOUS ACCESS Religious Access is a channel provided to the local Anaheim area Religious Groups for the transmission of Religious Programming as well as Religious Group functions and events. In addition, a character generator keyboard will be located at a sight specified by the Anaheim area Religious Groups. This will enable Religious Group Representatives to display messages and bulletins directly an the Religious Access when other programing is not in progress. .-".OGRAMTING PHILOSOPHY Storer Cable TV's concept of cable operations for all its systems is one of service to the interests, convenience and needs of each community served; and to perform this service with the finest programming and technology the industry's "State of the Art" will allow. Our proposed 40 channel system with two-way capability will be constructed and operated with that concept in mind. Virg such an approach as our guide, Storer accepts the challenge f presenting access to the system's viewers by institutions and individuals on anon -discriminatory basis (as described in our access rules). We employ the best technical equipment, offer our technical expertise, and provide training for -proper use of studio and portable equipment, and continually encourage the citizens to use this important community resource. Not only will we promote use of the access and local origination facilities, but we also see our role as assisting users to become self-sufficient and comfortable in producing and airing programming. Local origination is an opportunity for the cable system to air programming of specific interest to the community not available off -the -air. s able resources as a laxte broad- ator of seven to avis on and radio stations in ma"or cities. You will see the running theme taroig r- out this proposal Hat such an experienced broadcaster can provide the exceptional broadcast quality production facilities; the - extensive allotment of channel capacity to air the programs produced in the community; plus the expertise to attract and hold the interest of Anaheim subscribers. As a broadcaster. our Proposal Roes well beyond basic requirements access system and production capability to produce programs for t ese channels. a see an exciting use of this facility by local people producing programs featuring Anaheim people ex loring issues important to the City and exposing special skills of residents to all the ccmm-unity, from gardening to music and dance. In addition to the access production, Storer will be producing programming primarily for the local origination channel to cover community events such as parades, high school sports, local news, etc. Storer will provide the technical personnel and equipment to allow live or taped programming from any point within the franchise. In ,,..addition, there will be available portable cameras and portable video ipe recorders with editing capability, so that qualified persons .: groups may produce programming outside cable origination locations. In summary, the Storer progra®ing philosophy expressed by this sophisticated cable system, is to be one of complete service to all interests in the community as technology will allow, and to be of easy access for those interested in programming to that community of interests. STORER MARKETING PLAN The Storer Cable Marketing staff will conduct research in Anaheim and sill be talking to many of the residents on an individual basis. The residents will be aware of the construction schedule for their particular area and will be educated into the particular installation process for their particular neighborhood and home. All residents in Anaheim will be contacted by mail, in person, or by telephone, and given a description of the total services provided and an opportunity to subscribe for such services. A series of two mailers will explain and introduce.cable TV to residents. Follow- up with door-to-door sales and telephone solicitations will further give each person a subscription option. Our marketing plan does not begin and and with attempts to generate subscribers. Once a person has cable TV installed, the maintenance marketing process is initiated and activities begin designed to retain satisfied customers. All subscribers are given a user's manual, a channel guide, fine tuning instructions, billing information, channel alignment, numbers to call should service be required and answers to questions typically asked by subscribers. The Storer Cable TV, Inc. marketing plan is fashioned after many of our major market systems. This marketing plan illustrates the thought and planning, which has already been devoted to the cable system proposed in this application, and is one indication of how Storer'9 vast experience will be brought to bear in Anaheim. SECTION 4 ACCESS CHANNELS, FACILITIES & ADMINISTRATION ACCESS CHANNELS,' FACILITIES & ADMINISTRATION The Anaheim System will be served by a main centrally located color studio, color mobile unit, access studios, and color pporta-pak camera recorder units. All of these facilities will be available for use by public, educational, religious and governmental access groups. The color mobile studio van is -equipped with microwave for live origination on location inside or outside the Anaheim area. This equipment, coupled with a strong commitment from Storer personnel, will help meet any gublic access requests from our Anaheim subscribers. The System as been designed to provide institutional interconnection between educational institutions. In addition, our commitment to the governmental access capability includes live coverage of city council meetings and central keyboards use to assure interconnection with other sources. GENERAL ACCESS PROVISIONS The Storer Proposal has a minimum of five (5) full-time access channels with other access time available in case of further need when other channels are not programed. The access channels we are providing initially, are.for local government, the general public, universities, local religious organizations, leased access primarily for commercial operations, and elementary and secondary education. In addition to making available the best technical equipment, we offer our expertise at no cost to interested and qualifying parties to provide training for proper use of studios and portable equipment. We will aggressively encourage the use of these important new communication resources through on -system and in -community promotions. Individuals or representatives of organizations may use the channels, equipment, and our personnel on a first-come, first -serve, non- discriminatory basis for presentation of programs of their own development. We will make available to them, at no cost, the equipment and training necessary to produce and broadcast such programs. We will exercise no control over "access channels" requiring only compliance with FCC rules. And we encourage the groups to which they are assigned to form representative boards to administer the programming on these channels. Leased Access Demand is uncertain for "leased" channels and use is bound to be highly variable. For example, some lessees may require more than one video channel, others might want only a small amount of band- width, some may require one-way service, others plan bi-directional use, etc. Our rates will be consistent with the needs of the user and applied after consultation with local officials and subject to FCC regulation. The unpredictability of "lease" use has'led to no Inclusion of income from this source in projections. CATV ACCESS. OPMULTING RULES FOR CITY OF ANAIMM Public Access Operating Rules 1. Availabilit Storer trillprovide public access on a first- -came.non- scriminatory basis. Storer, however, reserves the right to limit the amount of time granted any one party in order -to ensure that all users have access opportunity. Use limitations will be imposed only in those situations where demand exceeds availability. 2. Program Content Control: Storer will not exercise any control over program content wTEh the following exceptions. a. A participant in public access cablecasting may not present any advertisement of, or information concerning any lottery, gift enterprise or similar scheme, offering chance, or any list of the prizes. This prohibition does not apply to advertisements or information concerning state -conducted lotteries where the transmission is permitted by federal statue or FCC rule. b. A participant in access cablecasting may not present obscene or indecent material. (1) System management may pre-screen or take other appropriate steps to ensure that obscene or indecent material is not cablecast. Such steps may include, but are not limited to, requesting that the offending portions be deleted or refusing to allow the program on the system. (2) The system reserves the right to schedule programs, which although not obscene or indecent, may be distasteful to some subscribers in order to minimize exposure to children. c. A participant may not present any advertising material designed to promote the sale of commercial products or services, including advertising by or on behalf of candidates for public office. 3. Equipment: Equipment is available for the production and presentation of access programming. 4. E ui ent Char es: There will be no equipment charge, however, a deposit will be required when the equipment is checked out. His deposit will be refunded when the equipment is returned undamaged. 5. Workshops: Periodically Storer will conduct workshops on how to use and care for the equipment. Announcements will be made as to the date and time. )'he workshop lasts approximately six hours and must be successfully completed before an individual is eligible to use the equipment. CATV ACCESS OPERATING RULES. 6. E ui ent Bandwidth Request: Adeqquate indentification, including name, ad reso an phone number will.be required, as well as other information relating to equipment and bandwidth use. 7. Equipment Damage/Responsibility: a. The individual or group checking out the equipment will bear all costs if the equipment must be repaired or replaced due to damage, theft or abuse. b. Storer may refuse to loan equipment to individuals or groups which have in the past misused the equipment, failed to return it on time or in any other way abused the privilege. 8. Channel Charges: Storer will not charge for channel use. 9. Studio Charges: Storer will not charge for studio presentations. 10. Cablecastimg Identification: Storer will identify the type of cablecast ng service being presented (origination or access cablecasting) and the person or group presenting the program. 11. Records: Storer will maintain a record in its public file con— t— a Ung the names and addresses of all persons or groups requesting access time. The record will be retained for two years. Educational Access Operating Rules 1. Prozram Content Control: Storer will not exercise any control over program content with the following exceptions: a. A participant in educational access cablecasting may not present any advertisement of, or information concerning any lottery, gift enterprise or similar scheme, offering chance or any list of the prizes drawn or awarded by means of any such lottery, gift enterprise or scheme, whether said list contains any part or all of such prizes. This prohibition does not apply to advertisements or information concerning state -conducted lotteries where the transmission is permitted by federal statute or FCC rule. b. A participant may not present obscene or indecent material. (1) System management maypre-screen or take other appropriate steps to ensure that obscene or me indecent material anot liis not cablecast. Such steps may Include, but ed to, requesting that the offending portion be -deleted or refusing to allow the program on the systam.- (2) The system reserves the right to reschedule programs which, although not obscene or indecent, may be distasteful to some subscribers in order to minimize exposure to children. CATV ACCESS OPERATING _.JLES C. A participant may not present any advertising material designed to promote the sale of commercial products or services, including advertising by or on behalf of candidates for public office. 2. Channel Charge: Storer will not charge for channel time. 410_� 3. Cablecasti Identification: Storer will identify the type of cablecastirg service being presented (origination or access cablecasting) and the person or group presenting the program. 4.'Records: Storer will maintain a record in its public file containing the names and addresses of all persons or groups requesting educational access time. The record will be retained for two years. Leased Access Operating Rules 1. Availability: Storer will offer portions of its non -broadcast bandwidth or leased access services on a first -came, non- discriminatory basis. Storer, however, reserves the right to limit the amount of time granted any one party in order to ensure that all users have an opportunity for leased access. Use limitations will be imposed only in those situations where demand for access exceeds availability. 2. Program Content Control: Storer will not exercise any control over program content with the following exceptions: a. A participant in leased access cablecasting may not present any advertisement of, or information concerning any lottery, gift enterprise, or similar scheme, offering prizes dependent in whole or in part upon lot or chance, or any list of the prizes drawn or awarded by means of any such lottery, gift enterprize or scheme, whether said list contains any part or all of such prizes. This prohibition does not apply to advertisements or information concerning state -conducted lotteries where the transmission is permitted by federal statute of FCC rule. b. A participant may not present obscene or indecent material. (1) System m anag anent may pre-screen or take other appropriate steps to ensure that obscene or indecent material is not cablecast. Such steps may include, but are not limited to, requesting that the offending portion be deleted or refusing to allow the program on the system. (2) The system reserves the right to schedule programs which, although not obscene or indecent, may be distasteful to same subscribers in order to minimize exposure to children. (3) channelharxes: Storer will time, and studio use. Rae for tes esaretaavailableupon request from system management. CATV ACCESS OPERATING RULES 4. Cablecastirz identification: Storer will identify the type or cablecasting service being presented (orignation of access cablecasting) and the person or group presenting the program. S. Ponsorship Identification: Storer will comply with the FCC's sponsorship Identification rules. (See Section 76.211 of the Rules). S. Records: Storer will maintain a record in its public file con— taMug the names and addresses of all persons or groups requesting leased access time. The record will be retained for two years. CENTRAL STUDIO PRODUCTION EQUIPMENT & FACILITIES A main color studio will be centrally located to serve the Anaheim System. The follows equipment will beprovided, and it is available for Public Access as well as other access users. Equipment manufacturers have not been chosen at this time due to the rapid technological charges taking place. Exact equipment to be utilized will be chosen upon consultation with the city and access users prior to equipment purchase. (3) Color television cameras (2) One -inch video tape recorders w/edit and edit control (2) 3/4 inch video tape recorders w/edit and edit control (2) Color slide/film chains (1) Special effects generator (1) Character generator (1) Production switcher (1) Control console (1) Color studio.monitor (3) Rack -mounted color camera monitors (1) Rack -mounted color camera monitors (1) Color sync generator (1) Wavefo= monitor (1) Complete studio lighting equipment (3) Tripods and dollies (6) Headsets (4) Miniature microphones (4) Hand-held/desk-mount microphones (1) Boom microphone (1) Audio amplifier (1) Audio mixer (2) Audio cartridge record/playback units (2) Three speed turntables (4) Video distribution amplifiers (1) Risers, sets, drapes, props, etc. ACCESS STUDIOS Access studios are to provide access origination capability for the City of Anaheim. Each studio will be equipped to operate Independently to provide live or video taped programming for ,,,.origination on the cable system. Additionally onecom®e=8e color porta-pak , self-contained, battery-operated, recorder vill be available for access. use at each of the access sites. ' ACCESS EQUIPMENT LIST Two (2) B A11 television cameras Two (2) 3/4"tape recorders with edit Slide/film chains Special effects generator Character generator Production switcher Control console Master monitor Rack mounted camera monitors Rack -mounted line monitor Sync generator Wave fomm monitor Remote lighting equipment Tripods and dollies Headsets Minature microphones Microphones Bo= microphone Audio amplifier Audio mixer Audio cartridge record/playback units Three speed turntables Video distribution amplifiers MOBILE PRODUCTION EQUIPHM & FACILITY A fully operational color mobile studio van will be provided for the Anaheim System. The unit will be equipped to record programming for later playback as well as providing live television production. This mobile unit will be available for use by Public Access as well •'^ as other access users. Equipment manufacturers have not been chosen at this tame due'to rapid technological changes in video equipment. Exact equipment to be utilized will be chosen after consultation with the City and access users -prior to equipment purchase. MOBILE PRODUCTION STUDIO VAN (1) Mobile studio van (1) Portable power (2) Color television cameras (2) 3/4" inch video tape recorders with edit (1) Character generator (1) Video switcher (1) Color studio monitor (1) Color sync generator (2) Rack -mounted color camera monitor (1) Rack mounted color line monitor (1) Waveform monitor (1) Appropriate lighting equipment (2) Tripods (3) Headsets (2) Xi*nature microphones (2) Hand-held microphones (1) Audio Amplifier (1) Audio mixer (4) Video distribution amplifiers (1) Portable STL microwave link SECTION RATES & CHARGES Storer Cable TV, Inc. proposes the following rates and charges: INSTALLATION - RESIDENTIAL CUSTOMERS Primary Installation - Aerial $15.00 Primary Installation - Underground $25.00 Primary installation includes up to two (2) outlets at this charge: Additional Outlet Relocate Outlet Reconnect Service Premium ' Service 5.00 5.00 $10.00 $29.95 Customer subscribing to a premium service at the time of initial installation would pay only the $29.95 charge. The cable installation charge would be waived. Free installation to all within the first thirty days service is available to a home. MONTHLY SERVICE RATES 'RESIDENTIAL CUSTOMERS Primary Outlet $6.00 Additional Outlet $1.50 FM Outlet 1.50 Showtime Premium Service 17.50 Home Box Office Premium Service $7.50 HBO Take -Two $4.95 Converter Rental -Per Outlet $1.50 Converter rented on a lease -purchase arrangement.-- At the and of 40 months converter becomes property of the subscriber and no additional charges are incurred= or converter can be purchased outright for $60.00. COEMCIAL INSTALLATION Billed on a time and materials basis MONTHLY SERVICE RATES, COMMERCIAL (Bulk Billing Same rates for primary and additional outlets with a 2O% discount for bulk billing if wiring done by Storer. If vsiag acceptable master antenna, per wiring, rates would be negotiated. SPECIAL FEATURES We offer one free month of service when the subscriber pays eleven (11) months in advance. This represents a savings of 6 1137.. Parental control key device available forremiun channels at our cost (approximately $10.00, and would be repurchased by the Company at time of disconnect. Do deposit required for converters to residential customers. It is Storer's policy to offer special non-discriminatory special promotions during the life of the franchise. SPECIAL BATE Due to the excellent off areas of Anaheim and the community to participate following offer: air reception available desire of members of the in local access . ' we make in most the For a one-time charge of $25.00 a residence will be provided,via cable,channele 2 thru 6. No additional monthly charges would be levied.' This feature 'could allow them to receive both the camunity public access channel (3) and the local government access channel (6) in addition to local off -air channels 2. 4 6 5. ' Throtigh the use of an A -B antenna switch, the subscriber can change fram these low band channels to their regular antenna for the same reception as presently received at their residence. This would allow persons with remote control sets, to use their remote units. SECTION 6 TECHNICAL DATA SECTION 7 CONSTRUCTION SCHEDULE SERVICE AREA We feel that the timti requirements in Section 1u of the proposed Ordinance are reasonable, and that we would have no difficulty in not only meeting these requirements, but in performing ahead of this schedule. Being one of the largest operators in the County of Orange, Storer brings with them a high degree of experience in working with local utility companies and construction contractors. This experience will prove itself invaluable in the construction of a quality cable television System for the City of Anaheim. Service Area: Storer will construct its cable serve all residents of the City will be completed within three necessary permits and licenses. System Expansion: communications System to of Anaheim. This construction (3) years after obtaining all Our policy will be to extend per cable system to all new areas having a density of 30 homes per cable mile. The following map of the City of Anaheim outlines our plan for construction. Each phase of this construction would be coordinated with the city staff. Permits, Pole Attacbment Agreements and Licenses for all three phases would be applied for during the first 30 days following the award of the franchise. Month 0 4 8 11 23 36 CONSTRUCTION TIME TABLE Event Award of franchise Selection of Headend Site First Subscribers Served in Phase One Phase One Completed Phase Two Completed Phase Three Completed CONSTRUCTION PROCEDURES The following procedures will be adhered to in order to provide safe reliable construction and improved service: I. Pole line construction shall be in accordance with specifications of utility company Pole Lease Agreements, the National Electrical Safety Code - as amended by the latest edition, and standard utility practices. II. 'The CATV strand shall be attached to the side of the pole (field or street side) to which the telephone strand is attached. Where no telephone strand is attached, the CATV strand, cable and associated equipment shall be installed on the street side of the pole. III. (a) The system shall be installed on 1/4" high-strength, seven wire galvanized, zinc coating 'A' supporting strand, having a minimum breaking strength of 4,750 pounds. (b) Where three or more consecutive spans exceed 250 feet in any given run, 1/4" extra high-strength, seven wire galvanized zinc coating 'A' supporting strand, having a minimum breaking strength of 6,600 pounds shall be used. (c) Supporting strand shall be attached to poles using 5/8' machine bolts and associated hardware. 1. Anchors shall be 3/4" x 5', six-inch screw-type o: eight -inch, 8 -way expanding anchor with 5/8" x 6' rod. 2. Guy strand size shall be the same as the supporting strand when the guy has a lead over height ratio of 1/2" or better. 3. Guys shall be attached to standard pole line hardware and anchor rods using a performed dead-end or strand vice. Where authorized, an auxilliary eye attachment will be used to attach the guy to an existing anchor rod. 4. Guy guards shall be utilized where required by local conditions, or at the option of purchaser. IV. SYSTEM BONDING AND GROUNDING: (a) The CATV strand shall be bonded to all telephone strand and/or other existing pole grounds in accordance with the utility campany Pole Lease Agreement, except there shall be a m inim un bonding between parallel CATV and telephone strands at the first, last and every tenth pole. (b) The CATV strand shall be grounded at each power supply location using a copper -clad rod driven their full length plus six inches below the ground using #6 soft drawn, bare copper wire. Our Systan is designed to provide the highest quality and reliability through the use of "State of the Arts" equipment. Superior performance is insured with amplifier cascade reduced by using .750 inch cable trunk. The entire trunk system is designed with stand-by power to prevent interruptions of service 'during commercial power failures. A master headend with two earth stations for satellite reception serve the city. Maj or trunk runs emanate from the hub to the outer areas of the city. Through the'use of .a central hub, additional return signal capacity is available to each of the main trunk line. The forty (40) channel system will have thirty seven (37) channels active at the outset with three (3) channels reserved for future expansion to accommodate additional programming a local access needs. In addition, we will install a bi-directional institutional cable system, cable 'B'. This system will provide access of origination programming as well as taped programming from local educational, city, sports and convention facilities. This programming will provide instruction, information and entertainment from local centers. Thio -way plant will be activated at all locations in the service areas. Modular amplifiers are used including selectable equalizers and duplex filters. This provision will allow for the addition of new amplifier modules as they become available to increase the system bandwidth. The system it thus ex andable to 50 channels when industry techno cgy and programming resources make that advance. The modern two-way cable system designed for the City of Anaheim has the capability to accommodate a variety of unique services to residents that are now available. Several of these technological developments increase the safety of loved ones and may indeed save lives. By installing smoke detectors alarm buttons, sensors, etc. in the home with a connection y cable to nearby police,ire an health ac es these security a ces can reduce response time, even the st scriber is away from his residence. Regardless of what form the application of technology may take, Storer guarantees the protection of subscriber privacy. The system to be constructed for the City of Anaheim will utilize existing utility and/or public right-of-ways whenever jossible. In most cases, the system will be constructed on existing utility poles where available. In areas that have underground .utilities, the cable plant will be placed underground. Additionally, when existing aerial utilities plant.is placed underground the cable system will also be so placed. Most Pay television programs will be received from satellite to provide the highest technical performance consistent with out- standing programming. In addition, Storer will have video tape origination equipment available for prcg ramming not available on satellite. The system is designed to include two premium services of -approximately sixteen (16) events per month, plus one (1) with approximately five (5). Both audio and video on these channels will be scrambled for subscribers not taking Pay TV, and only when specifically contracted for by the subscriber will be "unscrambled" by means of a "positive" scrambling technique (the Eagle Comtronics System or equivalent). In no case will 'W' rated movies be shown. Storer retains the rigs to delete, and will delete, any movie or event taht does not meet the moral standards of the community. As an additional safeguard for those homes wishing to control access within the home to the Pay TV charnel, Storer will provide, at our cost of'$10.00, a key -operated parental control locking device for any of the Pay channels. Two earth stations for reception of satellite services will serve the City of Anaheim System. One dish will look at the RCA bird and receive services presently available from RCA's SATCOM satellite including, Showtime, Madison Square Garden, Atlanta Channel 17, Christian Broadcasting, Fanfare, Oakland KTVi1 Channel 2, Chicago WGN-9 charnel and others as available. An additional dish will be installed so that the Anaheim System can communicate with other satellites such as "SATCOM F2" and the Western Union satellites "WESTAR I" and "WESTAR II". This capability would allow us to interconnect with satellite stations anywhere in the country and by further interconnection to international satellites, anywhere in the world! An antenna with both up and down link capability is within the means of this system and would be installed as soon as a legitimate need for such satellite interconnection developed. Spare satellite components such as receivers and low noise amplifiers will be maintained to assure satellite communications center reliability. Specialized test equipment will be provided to assure maintenance to optimum performance level. In order to ensure continued operation during commercial power failure, the Satellite Communication Center will have a complete stand-by power system. Construction Procedures (Cont'd_) (c) -At the purchaser's option, additional rods will be driven to whatever depth required to establish a maximum of 10 obms ground. V. CABLE INSTALLATION: (a) The cable shall be lashed to the supporting strand using .045 stainless lashing wire, having an average of one wrap per linear foot of strand. (b) At each pole and equipment location, the cable and strand shall be separated by the use of cable supports and spacers. The lashing wire shall be temminated with a suitable clap at each of these locations. (c) Expansion loops shall be made at each pole and each side of equipment and splice locations. Configuration of expansion loop shall be per cable manufacturers standard practice, but shall be done in such a manner as not to create wrinkles in the bend of the cable. Also, no splices shall be in the trunk and subtrunk line. (d) After splicing. all connectors or exposed cable sheath shall have shrink tubing in sufficient lengths installed to completely seal all possible intrusions of moisture. VI. POWER SUPPLIES: (a) All trunk system power supplies shall have stand-by powering to continue to provide power for minimum of two hours in the event of an electrical power failure. (b) The headend location will have stand-by powering provided with a gasoline driven generator to provide power during interruption and outages of comercial power. (c) Power supplies shall be located throughout the system required by system design. (d) Power supplies shall be mourned as required by the utility company Pole Lease Agreements. (e) A lightning arrestor shall be installed at each power supply location on the line side of the service. (f) The AC power connection from the weather head to the �-- power supply shall consist of two #10TW copper_ conductors enclosed in %" galvanized, rigid conduit except when required otherwise by the utility company Pole Lease Agreement or other codes and ordinances. (g) Where required, meters, meter bases, and supply and connection of the AC power between the power supply and the meter shall be by the purchaser. Construction Procedu= (Cont d_) VII. To assure safety for citizens and workmen both during and after construction, purchaser gill adhere to the following nationally and locally recognized agencies and organization's safety and construction standards: 1. Federal Cammunications Coamission Rules and Regulations. .2. rational Electrical Safety Code, National Bureau of Standards Handbook as amended by the latest edition. 3. National Electrical Code.of National Board of Fire Underwriters. 4. All applicable ordinances and regulations of City, County or State. 5. All applicable requirements of the local power and telephone campanies. 6. OSHA The Cable System dedicated plant throughout. I. CABLE designed for the City of Anaheim is a fully utilizing "State of the Art" equipment and cable All aerial cable used will be solid aluminum sheath cable with an outer jacket of high molecular weight polyethylene. All underground cable will be flooded cable with a standard outerj acket. Additionally, to maintain high system Integrity and protection. a corrvg ated steel armor is applied longitudinally over the original jacket and covered with a second outer jacket of polyethylene. A. CABLE TYPES TO BE UTILIZED 1. 1.00" Times Wire JT41000 2. .750 Times Wire JT4750 3. .500 Times Wire JY4500 4. Armored Comm -Scope 6030A 5. Armored Comm -Scope 6020A II. TRUNK EQUIPMENT All trunk equipment will be modular construction to ensure system flexibility. All amplifier modules used have hybrid integrated circuitry to provide high outputs, low distortions, and reliability. All system amplifiers are fully capable of two-way return activation by plig -in addition of modules. All passive equipment utilized will have low VSWR, weather proofed housings, seized center conductor ports, and be fully bi-directional. A. LINE EQUIPMENT 1. Trunk and distribution amplifiers are Sylvania series 2000. 2. All line extenders are Sylvania series 3000. 3. Two-way splitters are Sylvania 3502. 4. Three-way splitters are Sylvania 3503. 5. All directional couplers are Sylvania 3600 series. 6. All subscriber taps are RMS series 3500. III. STAND-BY POWER All trunk and distribution equipment will be powered by stand- by power supplies. The equipment that will be used is Lectro Products, PP30/60. The System to be built for City of Anaheim is a high capacity "State of the Art" Cable System with fudge expansion potential. The system is capable of carrying 40 television chainels, audio and data signals, and the full FM band within a pass band of 54- 330 Mz. The return capability of the system includes 25MEz of "inbound" bandwidth, which yields 4 television channels and/or a number of data channels and voice channels. n ITIAL AND ANNUAL PROOF OF PERFORMANCE The Proof of Performance tests shall be conducted according to the following procedures: REPORT OF SYSTEM PERFORMANCE: The technical performance of the system was examined over the period of (Date) through (Date) to determine the degree of compliance with the FCC technical standards as embodied in FCC Rule 76,605, st.al This system utilized the 54 to 330 HEz band to provide a 40 channel capacity, with the use of a set top converter. Proof of Performance measurements are made at extremity locations on each of the major hub trunk lines. In all cases at least three test points are utilized for Proof of Performance tests. Unused system taps are used to simulate subscriber conditions with a drop cable of RG6 of approximately 100 foot length. The examination of the headend is made at the trunk sampling coupler at the output of the headend. Although examination of Class II channels is not required at this time by the FCC, all channels will be examined for compliance to Class I channel standards. Each channel carried on the system, along with the visual carrier frequencies and the intercarrier separations as measured at the trunk line output is measured and recorded. Pilot carrier frequencies used for system gain and slope control are also noted. Also, at the same time, an examination is made for co -channel interfering signals. Photographs of individual channel response from the respective channel input through the headend combiner test point are made. The balance of the testing is done at the test points at extremity locations in the system. Tabulations of aural and visual carrier levels, as noted at all test points and at the headend sampling coupler, are made. These measurements are made with the Tktronix 7Lk2 spectrum analyzer, with the set at 300KHz, and the Tektronix 7Kll preamplifier. Absolute calibration of levels is maintained by the internal calibrator of the 7L12, using the standard 50MHz signal at -.30dbM. This calibration is checked at suitable intervals against the output of the Singer Type SG,.1000 standard signal generator. Videband noise (over a 4Mz video bandwidth) and hum on each channel Is measured at each test point. The peak -to -peak hum valve also includes low frequency disturbances such as vertical sync "tilt" and other variations in the peak value of sync through a viden field. This must necessarily include such degradation as introduced by the transmitting station on Class I channels. The results are then recorded. The noise is det* min.. by tuning the demodulator &n the Sony Monitor/Receiver to the desired channel, looping the output video throigh the Tektronix 147 video test set and observing noise on Line 15 of either field. The level of the noise generator was .adjusted by observing Line 16 on the Tektronix 7A18 and 7B53A scope, until the inserted noise matched that of the signal from the demodulator. As noted by the manufacturer, the 147 test set yields noise ratios referenced to video. Since the FCC specification is In terns of -carrier -to -noise, an additional 4dB is added to the value indicated on the 147 -test set. Because some of the sync generators associated with Class II local origination channels are of the random interlace type, it is not always possible to make a noise measurement by this method since the vertical interval will have substantial time jitter preventing proper line selection by the Vertical Interval keyer. In these cases, no noise data is given. **Actual Photographs will be attached when tests are made. At each test point each channel is examined for the presence of spurious discrete frequency interferences. inhere found, these are noted in Tables. Levels shown are relative to visual carrier, except as noted. An examination is also made at each test point of the overall system frequency response from the headend to the test point. This examination is made using an Avantek CT -2000 cable test system. This system consists of a transmitter which is operated at a level approximately lOdB below picture carriers leaving the headend. The signal consists of a fixed level sweep signal (from 5 to 300 MHz), and a frequency modulated pilot signal in the band 49.7 to 52 MHz. The m odylation of this pilot contains the necessary information to synchronize the receiver with the swept frequency covering the entire cable band. The output of the detector is displayed in a fashion similar to a spectrum anaXlzer, except that the level of the wideband signal is displayed as a 'floor". A picture is then taken of each test point response. An examination is also made at each test point to determine if system cross -modulation is present. This test is made by careful examination of the pilot carriers to determine if measureable amplitude modulation of other visual carriers has been impressed on these pilots. Such modulation is detected using the 7L12 spectrum analyzer for 15 kc sidebands. Since the pilot levels are below any of the picture carriers, this is a sensitive test. The isolation between adjacent cable taps is measured at each test point on three frequencies, using the Singer SG -1000 signal generator as a source and the 7L12 analyzer as a voltmeter. Two 100 -foot lengths of RG -6 are used to simulate subscriber drops. The measured isolation at each test point is recorded. The frequencies selected were chosen to permit testing without causing interference to subscriber signals where possible. An examination is made to determine if level changes due to temperature occurred. The test point chosen is the longest cascade.of trunk amplifiers. The largest change noted over a 24 hour period is recorded. Radiation tests were nducted throughout the ant__a system on the Avantek Pilot Carriers. Results are again recorded. The test equipment used in making the tests is believed to be the optimum in tears of commercially available equipment. All absolute parameters can be maintained within calibration by cross-reference within the equipment package. The complete list of equipment used in the tests is listed below. The field data is taken by a qualified engineer, under the direction of our Director of Engineering. The original documents are on file in our Engineering Department. Equipment List for System Performance Tests quantity Item Type 1 Tektronix Oscilloscope 7603 1 Spectrum Analyzer 7K12 1 Counter 7D14 1 Dual Trace Amplifier 7A18 1 Time Base 7B53A 1 Camera GP59A 1 Singer Signal Generator SG1000 1 Wavetek Sweep Generator 1801A 1 Mid State Signal Processor SP -2 1 Avantek Transmitter/Receiver CR -2000, 1 Tektronix Preamplifier 7K11 1 NTSC Generator 147-950A 1 Werlatone Directional Coupler DC -10B 1 Sony Color Monitor/Receiver CVM -1225 1 Midstate Radiation Detector RD -1 CT -2000 RECURRING TESTS Readend: One maintenance technician skilled in understanding B—as-el-a-n-7 video vavefoxms will be responsible for daily observations as follows at the main headend site: (a) Visual inspection of all channels. (b) Modulation depth on all channels - included off air, microwave, and satellite. (c) Sync compression on each channel. (d) -Burst amplitude on each channel. (e) Outgoing visual and aural carrier levels on each channel. (f) Waveforms on all channels carrying the VITS. (g) Logging Levels for future reference. Monitor Check Points: We propse to establish test points at key locations in t e distribution off of all trunks. A terminated drop cable would be secured to a convenient pole with a suitable texminal accessible to the maintenance van without a ladder or climbing. On at least a weekly basis, maintenance technicians would be assigned responsibility for the following at each monitor point: (a) Visual and aural carrier level on each channel. (b) Carrier -to -noise level at two convenient but separated parts of the spectrum. (Without interrupting service to subscriber). (c) Visual inspection of all channels. (d) Preparing a record of the above for future reference. A trunk technician continuously monitors system condition and trunk cable levels in the system. He evaluates and corrects any deficiencies through the use of Spectrum analyzers, RF sweep systems, monitors, field strength meters and time domain reflectometers. On a continuous basis, each service vehicle will be equipped with leakage monitoring equipment and will be constantly alert for evidence of leakage. All leakage indications shall be promptly reported to the technical office for repair. All ..leakage will be corrected Immediately. _ TESTS IN RESPONSE TO SUBSCRIBERS COMPLAINTS A customer desiring service or to make a complaint will be able to make inquiry in person or by telephone at the office during regular business hours between 8:00 AM and 5:00 PM Monday through Friday, and on Saturday, if necessary. and by telephane at any other time 24 hours per day. 7 days per geek. Customer service ersonnel will ask questions regarding name, address. nature or service or complaint and note same on appropriate form and dispatch service personnel via radio- telephone -equipped vehicles at customer's convenience. During non -business hours, maintenance personnel are on assigned duty throughout the City and will be dispatched by radio -telephone contact. The majority of customer complaint calls will be answered an the same day or at customer convenience. Major system repairs and tests will be performed at a time likely to cause least inconvenience to the subscriber. The following procedures are utilized in responding to a subscriber complaint: 1. Upon receipt of a complaint a trouble call form is written. 2. The technician is dispatched to the subscriber residence. 3. The technician measures and records on the trouble form the signal levels as measured on a field strength meter. 4. A high quality TV not is utilized to evaluate cable television reception. 5. When necessary, a spectrum analyzer and/or a sweep system is utilized to determine response, or identify and correct any interfering signals or hum modulation. TECHNICAL STANDARDS THAT EXCEED FCC STANDARDS The Anaheim System has been designed to provide the best possible service to subscribers. Reliability and system performance have been greatly enhanced by limiting the total number of amplifiers to 14 trunk amplifiers and two line extenders in cascade. This design has been accomplished through the use of super trunk cable and "State of the Art" amplifiers. The resulting system performance is indicated below. Within the passband, the system performance shall be equal to or better than the following: SYSTEM PARAMETER. PERFORMANCE 1.Carrier-to-noise ratio a. Measured at 70OF temperature 47 2.Carrier-to-hum ratio ( 2%) 3. Gain vs frequency 12dB response across any six MHz channel + ldB 4.Isolation between subscribers 30dB S.Second Order Distortions -60 6.Cross Modulation -52 7. Total Harmonic Distortions -52 8.Visual Signal Level Behind TV Set 6 FCC REQUIREMENTS DIFFERENCE 36dB 11 5% 37. + 1.5dB 1dB 18dB 12dB 46 14dB 46 6dB 46 6dB 0 6dB Group delay shall not exceed + 120 nscc'in the forward direction. SYSTEM PREVENTIVE MAINTENANCE A. DaLIZ Checks 1. Technicians will measure and record �.. throughout the plant at subscriber addition, signal reception will be on television receivers. system levels promises. In checked visually 2. Beadend levels will be checked and logged on a daily basis. B. Weekly Checks 1. System test points at system extremities will be checked for proper operation through the measurement of signal/noise, bun, response and beat products. In addition, picture quality will be checked on television receivers. C. Annually 1. Each year a complete Proof of Perfozmance of the total system will be made. STAFF DESCRIPTION The Technical Manager is responsible for the efficient operation of tE—e—o—ve—r-aM plant. Under his direction is the Chief Technician, the Construction Supervisor and the System Microwave Engineer. He assists in the development of system extensions into new areas and complexes. He is, also, responsible for budget preparations, Technical Department employees, training and procurement. The Chief Technician is responsible to the'Technical Manager for the technical operation of the system. He oversees all technical manpower in the system. He knows how to test and repair facilities involving the use of sophisticated electronic test equipment. In addition, he is capable of headend and system maintenance. He directs and assists others in various maintenance chores. He is responsible for all technical reports and files. The Technician is responsible to the Chief Technician for maintenance of all trunk and distribution plant facilities, including headend equipment and aerial and/or buried electronic equipment. Be is capable of constructing such facilities of Installing such equipment as may be necessary. He executes service calls at customers promises in a prompt and -courteous manner and makes necessary repairs and/or adjustments, as required. Technicians may be required to assist in antenna ins tallation.or maintenance. On occasion, he may be required to perfozm subscriber Installations as dictated by service demands. STAFF DESCRIPTION - continued The Installation SHpervisor is responsible to the Chief Technician fora nsta ation problems. He is available to assist the installers with extremely difficult installs and to serve and/or resolve any installation related customer complaints. In addition, he is responsible for installation -- inventory and control. The Installer is responsible for installing new cable, adding outlets, mo outlets and disconnecting subscriber service. Be makes installation calls at customer's premises and determines and executes the best possible cable installation for any given location. The Microwave Technician is responsible to the Technical Manager for all microwave, eo equipment and system equipment repair. He will assist in the Proof of Performance and may assist the Chief Technician with system performance. The Construction Supervisor is responsible to the Technical Manager for all construction. He will be responsible for permit application, obtaining new development prints and executing all pole line rearrangements. In addition, he will oversee all phases of construction in new plant including cable installation splicing and initial system activation. We will provide technical staff and management to insure that the Anaheim System will be operated and maintained to provide the highest quality throighout the term of the Franchise. Should additional personnel be necessary to insure prompt service or unanticipated construction occur, the staff will beincreased to meet the community needs. CONSUMER CMe1 AINTS Storer has a record of prompt and complete response to subscriber complaints and assures full competent consumer response in the City of Anaheim. Skilled ns villl�obe amperienced in diagnosing television di how to read signals, adjust amplifiers and line extenders. Each technician will have available at least a high quality test TV set, a field strength meter, spectrum analyzer and/or sweep system. and other test equipment. Storer's general policy is to be on-call 24 hours.per day responding immediately to system outages and within 24 hours for set problems. The priority for service is established in this order: 1. System Outage 2. Distribution Outage 3. Individual - No Pictures 4. Individual.- Poor Pictures on all Channels 5. Individual -.Single Channel Problem SERVICE CALL PROCEDURE The following procedures are utilized in responding to a subscriber complaint: 1. Upon receipt of a complaint a trouble call form is written. 2. The technician is dispatched to the subscriber residence. 3. The technician measures and records on the trouble form the signal levels as measured on a field strength meter. 4. A high quality TV set is utilized to evaluate cable television reception. 5. When necessary, a spectrum analyzer and/or a sweep system is utilized to dete=ine response, or identify and correct any interfering signals or hum modulation. IL --_!I '- i �I �) •���rr ��; I I_'I:l '�"- j lam_-� _!r:_� !' ���� - -,...—�•{iv'� 'I�'i� � ��•j�:l_ha 1y7 rL 1- -_ _ r '; Iln., 1 �•!- v_.- 1�..: . ••� . T r J ' : +�•'._. L. 1• f � .11 .. rs�� •'', �• " �1 � 11!� � '�. _ t ��•' +~ ;.�•_.es•; �� :��♦�- • 1 `� ��1� • _�� �'•I • :i e �� 1. �"� � ., - -. ; :� 11 , - �Ij;=Yr � '•: • r:.:� • • £s. • -`,- 1.11 r� �i •{iyf��j .�. 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PHASE I Consists of: that portion of the City East of Highway 57 PHASE II 'Consists of: that portion of the City located between Highway 57 and Interstate 5 .ii i I PHASE III Consists of: that portion of the City located West of Interstate 5