Section 4.70.480 Forfeiture or revocation.

1. Grounds for Revocation. The city reserves the right to revoke any franchise granted under this chapter and rescind all rights and privileges associated with the franchise in the following circumstances, each of which shall represent a default and breach under this chapter and the franchise ordinance:

a. If the franchisee should default in the performance of any of its material obligations under this chapter or under the franchise ordinance or under such documents, contracts and other terms and provisions entered into by and between the city and the franchisee;

c. If any court of competent jurisdiction, the FCC or any state regulatory body by rules, decision or other action determines that any material provision of the franchise documents, including this chapter, is invalid or unenforceable prior to the commencement of construction of the network by the franchisee;

f. If the franchisee ceases to provide services for any reason within the control of the franchisee over the BTN. The franchisee shall not be declared at fault or be subject to any sanction under any provision of this chapter in any case in which performance of any such provision is prevented for reasons beyond the franchisee's control. A fault shall not be deemed to be beyond the franchisee's control if committed by a corporation or other business entity in which the franchisee holds a controlling interest, whether held directly or indirectly.

a. The city manager may make written demand that the franchisee do or comply with any such requirement, limitation, term, condition, rule or regulation. If the failure, refusal or neglect of the franchisee continues for a period of thirty days following such written demand, the city manager may place his request for termination of the franchise upon the next regular council meeting agenda. The city manager shall cause to be served upon such franchisee, at least ten 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, notice of which shall be published by the city clerk at least once ten days before such meeting in a newspaper of general circulation within the city;

b. The council shall consider the request of the city manager and shall hear any persons interested therein, and shall determine, in its discretion, whether or not any failure, refusal or neglect by the franchisee was with just cause;

c. If such failure, refusal or neglect by the franchisee was with just cause, the council shall direct the franchisee to comply within such time and manner and upon such terms and conditions as are reasonable;

d. If the council shall determine such failure, refusal or neglect by the franchisee was without just cause, then the council may, by resolution, declare that the franchise of such franchisee shall be terminated and bond forfeited unless there is compliance by the franchisee within such periods as the council may fix.

3. Disposition of Facilities. In the event a franchise expires, is revoked, or otherwise terminated, the city may order the removal of the network facilities from the city within a period of time as determined by the city or require the original franchisee to maintain and operate its network until a subsequent franchisee is selected.

4. Restoration of Property. In removing its plant, structures and equipment, the franchisee shall refill, at its own expense, any excavation that shall be made by it and shall leave all public ways and places in as good condition as that prevailing prior to the company's removal of its equipment and appliances without affecting the electrical or telephone cable wires or attachments. The city shall inspect and approve the condition of the public ways and public places, cables, wires, attachments and poles after removal. The liability indemnity and insurance as provided in this chapter and the performance bond provided in this chapter shall continue in full force and effect during the period of removal and until full compliance by the franchisee with the terms and conditions of this subsection and this chapter.

5. Restoration by City, Reimbursement of Costs. In the event of a failure by the franchisee to complete any work required by subsection 3. and/or subsection 4. of this section, or any other work required by city law or ordinance within the time as may be established and to the satisfaction of the city, the city may cause such work to be done and the franchisee shall reimburse the city the costs thereof within thirty days after receipt of an itemized list of such costs or the city may recover such costs through the performance bond provided by the franchisee. The city shall be permitted to seek legal and equitable relief to enforce the provisions of this section.

6. Extended Operation. Upon either the expiration or revocation of a franchise, the city may require that the franchisee continue to operate the network for an extended period of time not to exceed six months from the date of such expiration or revocation. The franchisee shall, as trustee for its successor in interest, continue to operate the BTN under the terms and conditions of this chapter and the franchise and provide the regular subscriber service and any and all of the services that may be provided at that time. During such interim period the franchisee shall not sell any of the system assets, nor shall the franchisee make any physical, material, administrative or operational change that would tend to (a) degrade the quality of service to the subscribers, (b) decrease income, or (b) materially increase expenses without the express permission, in writing, of the city or its assignee. The city shall be permitted to seek legal and equitable relief to enforce the provisions of this section.