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Home My WebLink About07-20 - Educational and Governmental Channel Access Facility FeeORDINANCE NO. 07-20 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF COSTA MESA, CALIFORNIA, AMENDING CHAPTER I OF TITLE 19 OF THE COSTA MESA MUNICIPAL CODE RELATING TO STATE -ISSUED FRANCHISES AND THE PUBLIC, EDUCATIONAL AND GOVERNMENTAL CHANNEL ACCESS FACILITY FEE. WHEREAS, the State of California has enacted the Digital Infrastructure and Video Competition Act of 2006 (the "Act", Public Utilities Code §5800 at seq.) to encourage competition in the cable and video service sector; and WHEREAS, the Act allows incumbent as well as new providers of cable and video services to voluntarily participate in a state -issued franchise authorization process, thereby preempting existing local franchise agreements; and WHEREAS, pursuant to the Act, local entities may, by ordinance, impose a fee to support public, educational and governmental (PEG) access channel facilities; and WHEREAS, imposition of the fee to support PEG access channel facilities as allowed by state law is necessary in order to satisfy local needs and deliver enhanced government services. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF COSTA MESA DOES HEREBY ORDAIN AS FOLLOWS: Section 1. Chapter I of Title 19 of the Costa Mesa Municipal Code is hereby amended as follows: Sec. 19-05. Franchise terms and conditions. (B) Franchise required. It is unlawful for any person to construct, install, or operate a cable television system or any video system within any street or public way in the city without first obtaining either a franchise with the state of California pursuant to the Digital Infrastructure and Video Competition Act of 2006 or a franchise under the provisions of this article. Sec. 19-09. Application required. (A) Before commencing the delivery of video programming services to consumers in the city over any video system, the video system operator must either possess a state issued franchise pursuant to the Digital Infrastructure and Video Competition Act of 2006 or file an application with the city. That application must include or be accompanied by the following, as applicable: Sec. 19-11. Agreement required. (A) No video programming services may be provided in the city by a video system operator unless the operator has obtained a state issued franchise pursuant to the Digital Infrastructure and Video Competition Act of 2006 or the operator and the city have executed a written agreement setting forth the terms and conditions under which the operation of the proposed open video system will be authorized by the city. Sec. 19-16. Defined terms and phrases. "Video programming provider" means any person or group of persons who has the right under the federal copyright laws to select and to contract for the carriage of specific video programming on any cable or video system. ARTICLE 6 PUBLIC, EDUCATIONAL AND GOVERNMENTAL (PEG) ACCESS CHANNELFEE Sec. 19-17. Public, educational and governmental (PEG) access channel fee. Any video service provider, cable service or video system service provider holding a state issued franchise pursuant to the Digital Infrastructure and Video Competition Act of 2006 (the "Act," Public Utilities Code 5 5800 et seq.) or a City of Costa Mesa franchise shall be subject to a fee, which shall not exceed one percent (1%) of the holder's gross revenues as defined in Public Utilities Code section 5860 or any subsequent amendment thereof. The fee shall be used to support public, educational and governmental (PEG) channel activities. The PEG fee required to be paid by this section shall be remitted to the City within forty five (45) days after the end of the fiscal year for which the fee is being paid, regardless of when during the fiscal year video services commenced being offered in the City. Each payment shall be accompanied by a summary explaining the basis for the calculation of the PEG fee. If the video service provider does not pay the PEG fee when due, the video service provider shall pay a late payment charge at a rate per year equal to the highest prime lending rate during the period of delinquency, plus one 1 percent. If the video service provider has overpaid its PEG fee, it may deduct the overpayment from its next annual payment. ARTICLE 7. VIOLATIONS; SEVERABILITY Sec. 19-18. Violations; enforcement. Section 19.19. Severability. Section 2. Any provision of the Costa Mesa Municipal Code or appendices thereto inconsistent with the provisions of this Ordinance, to the extent of such inconsistencies and no further, is hereby repealed or modified to that extent necessary to effect the provisions of this Ordinance. Section 3. If any section, subsection, sentence, clause, phrase or portion of this ordinance is for any reason held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this Ordinance. The City Council of the City of Costa Mesa hereby declares that it would have adopted this Ordinance and each section, subsection, sentence, clause, phrase, or portion thereof, irrespective of the fact that any one or more sections, subsections, sentences, clauses, phrases or portions be declared invalid or unconstitutional. Section 4. The Mayor shall sign and the City Clerk shall certify to the passage and adoption of this Ordinance and shall cause the same to be published and posted pursuant to the provisions of law in that regard and this Ordinance shall take effect 30 days after its final passage. PASSED AND ADOPTED this 41" day of December, 2007. ATTEST: �- Juli Folcik, City Clerk A/Y A/ Allan R. Mansoor, Mayor APPROVED AS TO FORM: Kimberly Hall Barlow, City Attorney STATE OF CALIFORNIA ) COUNTY OF ORANGE ) ss CITY OF COSTA MESA ) I, JULIE FOLCIK, City Clerk of the City of Costa Mesa, DO HEREBY CERTIFY that the above and foregoing Ordinance No. 07-20 was duly introduced for first reading at a regular meeting of the City Council held on the 20"' day of November, 2007, and that thereafter, said Ordinance was duly passed and adopted at a regular meeting of the City Council held on the 4"' day of December, 2007, by the following roll call vote, to wit: AYES: COUNCIL MEMBERS: MANSOOR, BEVER, DIXON, FOLEY, LEECE NOES: COUNCIL MEMBERS: NONE ABSENT: COUNCIL MEMBERS: NONE IN WITNESS WHEREOF, I have hereby set my hand and affixed the seal of the City of Costa Mesa this 5"' day of December, 2007. JULIE41OLCIK, CITY CLERK (SEAL) I hereby certify that the above and foregoing is the original of Ordinance No. 07-20 duly passed and adopted by the Costa Mesa City Council at the regular meeting held December 4, 2007, and that Summaries of the Ordinance were published in the Newport Beach -Costa Mesa Daily Pilot on November 29, 2007 and December 12, 2007. JUIYE FOLCIK, CITY CLERK (SEAL)