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1990/11/13 City Council Resolution (16)RESOLUTION NO. 90-25-3 A RESOLUTION OF THE ROHNERT PARK CITY COUNCIL APPROVING AN FRANCHISE RENEWAL AGREEMENT WITH M L MEDIA CABLE: TV WHEREAS, the staff of the City of Rohnert Park together with certain agents and representatives employed or retained by the City have conducted extensive negotiations with M L Media Cable TV, hereinafter referred to as M L Media, relative to a renewal of the M L Media franchise in Rohnert Park; and WHEREAS, the negotiations have resulted in a Staged Term Agreement which contains several proposals regarding operation of the cable system in Rohnert Park.; and WHEREAS, the Rohnert Park City Council has accepted the Staged Term Agreement and the terms and conditions contained therein. NOW THEREFORE, BE IT HEREBY RESOLVED by the Rohnert. Park City Council that it does approve the Staged Term Agreement under the terms and conditions and in the form shown on the attached Exhibit "A" and it does further hereby authorize the City Manager of the City of Rohnert Park to execute the agreement designated Exhibit "A" for and on behalf of the City of Rohnert Park. DULY AND REGULARLY ADOPTED by the Rohnert Park City Council this 13th day of November _., 19 9 0 . CITY OF ROHNERT PARK CITY -RONNE Mayor ATTEST: (_X /Cites ' DepuW COCHRAN -M ECG _LZHOPKINS NO SPIN _-E 0LUNGSWORTH AYE AYES _(51) imEs -( --) ABSEW L_). ABSTAIN (0) AGREEMENT AN AGREEMENT RENEWING A NON- EXCLUSIVE FRANCHISE HELD BY ML MEDIA PARTNERS L.P. TO OPERATE A CABLE TELEVISION SYSTEM IN THE CITY OF ROHNERT PARK AND SETTING FORTH CONDITIONS ACCOMPANYING THE RENEWAL OF THE FRANCHISE. TABLE OF CONTENTS Section Title Page 1. RENEWAL OF FRANCHISE . . . . . . . . . . . 2 1.1 Grant. . . . . . 1.2 Right to Grantor to Issue and Renew Franchise . . . . . . . . . . . . . 2 1.3 Representation by Counsel. . . . . . . . 2 1.4 Effective Date of Renewal. . . . . . 2 1.5 Duration . . . . . . . . . . . . . . . . 3 1.6 Franchise Not Exclusive. . . . . . . 3 1.7 Conflict with Cable Ordinance. . . . 3 1.8 Definitions. . . . . . . . . . . . . 4 2. GENERAL REQUIREMENTS , , , , , , , , , , , , , 5 2.1 Governing Requirements . . . . . . . . . 5 2.2 Franchise and Service Areas. . . 5 2.3 Franchise Fee. . . . . . . . . . 6 2.4 Recovery of Processing Costs . . . . 6 2.5 Payment to Grantor . . . . . . . . . 7 2.6 Insurance and Indemni'.fication. . . 7 2.7 Obtain Insurance Before Reconstruction Work . . . . . . . . . . . . . 12 2.8 Subcontractor's Compensation Insurance . 13 2.9 Security Fund. . . . . . . . . . . . 14 2.10 Procedure for Remedying Franchise Violations . . . . . . . . . . 15 2.11 Transfer of Ownership or Control . . . . 16 3. SYSTEM UPGRADING . . . . . . . . 19 3.1 System Upgrade or Rebuild. . 19 3.2 Institutional Network: Capacity 21 3.3 Interconnection. . . . . . 21 3.4 Emergency Alert Capability . . . . . . , 21 3.5 Standby Power. . . . . 22 3,6 Parental Control Lock. . . 22 3.7 Status Monitoring. . . . . . . . 22 3.8 Technical Standards. . . . . 22 3.9 Right of Inspection. . . . . . . . . . . 23 4. SERVICES . . . . . . . . . 24 4.1 Services and Programming . . . , . . , , 24 4.2 Rate - Regulated Universal Cable Service Package, , , , , , , , , , , , , 24 5. SUPPORT FOR LOCAL CABLE USAGE 26 5.1 PEG Access Operating Costs . 26 5.2 Grantee Support for Public Cable System Usage . . . . . . . . . . . . . . 26 5.3 Compliance with Federal Law. . . . . . . 28 TABLE OF CONTENTS Section Title Page 6. REGULATION . . . . . 29 6.1 Franchise Regulation . . . . 29 6.2 Force Majeure. . . . • • . • 29 6.3 Hold Harmless . . . . . . . . . . . . . . 29 Exhibits A. OWNERSHIP STRUCTURE B. GRANTEE'S TARGET TECHNICAL SPECIFICATIONS C. GRANTEE COMMITMENT TO PEG ACCESS FACILITIES AND EQUIPMENT 1. Governmental and Educational Access Channel 2. Operation of Studio Facilities and Access Assistance 3. Line Extension and Return Capability for New Civic Center 4. Provision of Production Cameras and Equipment 5. Access Operations 6. Title to PEG equipment D. SERVICE TO PUBLIC BUILDINGS 1. Public Buildings 2. School Buildings E. INSURANCE FORMS - 1 - A G R E E M E N T THIS AGREEMENT, made and entered into this 13`1, day of 00,�� f 1990, at Rohnert Park, California, by and between the City of Rohnert Park, a municipal corporation of the State of California ( "Grantor ") and ML Media Partners, L.P. dba ML Media Cable TV, a State of Delaware limited partnership ( "Grantee "). W I T N E S S E T H WHEREAS, the City of Rohnert Park, pursuant to Ordinance No. 486, is authorized to grant and renew one or more non - exclusive, revocable franchises to operate, construct, maintain and reconstruct a cable television system within the City; and WHEREAS, the City, after due evaluation of the Grantee, has determined that it is in the best interest of the Grantor and its residents to renew its franchise with ML Media Partners, L.P.; NOW, THEREFORE, the City (hereinafter also known as the "Grantor ") hereby grants to ML Media Partners, L.P. (hereinafter also known as the "Grantee ") a renewal of its cable television franchise in accordance with the provisions of Ordinance No. 486 and this Agreement. - 2 - 1. RENEWAL OF FRANCHISE 1.1 Grant. The cable television franchise granted on February 14, 1968, to Storer Cable TV, Inc., and now held by ML Media Partners, L.P., a corporation with ownership as indicated in Exhibit A, is hereby renewed, subject to the terms and conditions of this Agreement. The renewal extends the franchise, authority, right and privilege, to construct, reconstruct, operate and maintain a cable television system within the streets and public ways in the City of Rohnert Park. 1.2 Riqht to Grantor to Issue and Renew Franchise. Grantee acknowledges and accepts the right of Grantor to issue and /or renew a franchise and Grantee agrees it shall not now or at any time hereafter challenge any lawful exercise of this right in any way or in any local, State or Federal court. This is not, however, a waiver of any constitutional or legal right or privilege on the part of the Grantee. 1.3 Representation by Counsel. Both Grantor and Grantee were represented by legal counsel during negotiation of this Agreement. Full disclosure of the respective legal rights or privileges of the Grantor and the Grantee occurred. 1.4 Effective Date of Renewal. The renewal shall be effective , 1990, contingent upon the filing by Grantee with the City Clerk, of this executed Franchise Agreement and the required securities and insurance certificates. If the filing of the executed Franchise Agreement, securities or any such insurance certificate does not occur within thirty (30) days after the effective date of the resolution approving this renewal and any extension of time hereunder, the Grantor may declare this renewal null ,and void. - 3 - 1.5 Duration. The term of the renewal shall be six (6) years from the effective date hereof, subject to an extension of six (6) additional years as provided in Section 3.1 herein and subject to an extension of three (3) additional years as provided in Section 4.2 herein, at which time it shall expire and be of no force and effect unless renewed. Renewal shall be in accordance with applicable law. 1.6 Franchise Not Exclusive. This franchise shall not be construed as any limitation upon the right of Grantor, through its proper offices, and in accordance with applicable law, to grant to other persons or corporations rights, privileges or authority similar to or different from the rights, privileges and authority herein set forth, in the same or other streets and public ways or public places or other places the Grantee is entitled to occupy by franchise, permit or otherwise, provided, however, that such additional grants shall not operate to materially modify, threaten, revoke or terminate any rights granted to Grantee herein. 1.7 Cable Ordinance. Each and every applicable provision of Ordinance No. 486 of the City of Rohnert Park is hereby, by reference, made a part of this Agreement. In the event of any conflict between the provisions or meanings of the terms of this Agreement and Ordinance No. 486, the latter shall prevail provided, however, that if said conflict arises out of a contradiction of like provisions or terms in both documents, the Grantor shall consider appropriate amendments to Ordinance No. 486 which may be amended to contain the provision or terms exactly as written in this Franchise Agreement. - 4 - Should Ordinance No. 486 be amended, revised, superseded or otherwise changed after the effective date hereof in such a way as would materially affect the terms and provisions of this Agreement, said Amendment shall require prior review and approval by Grantee, provided that the parties to this Agreement shall negotiate in good faith. 1.8 Definitions. The definitions contained in Ordinance No. 486 are incorporated herein as if fully set forth. - 5 - 2. GENERAL REQUIREMENTS 2.1 Governing Requirements. Grantee shall comply with all lawful requirements of this Agreement, Ordinance No. 486 and applicable State and Federal law. 2.2 Franchise and Service Areas. (a) The franchise and service areas shall be the City of Rohnert Park as it is now constituted and may in the future be constituted. (b) Grantee shall provide the following or equivalent cable service to residences within the franchise area, as a minimum: (1) Provision of standard installation and cable service to all existing residential parcels at non - discriminatory installation charges and monthly rates. For the purposes of this section, standard installation includes the customary outdoor underground placement of a single cable for a distance not to exceed one hundred and fifty (150) feet from the Grantee's cable distribution plant. (2) Provision of cable service to multi -unit residential structures with a single owner, mobile home parks, and travel trailer parks at a single installation charge and either at a monthly service rate charge to the owner or at a non - discriminatory monthly rate charged to individual residences. - 6 - (3) Provision of cable service to all residences in newly constructed residential developments both within the Citv and in annexed areas at non - discriminatory installation charges and monthly rates. (4) Provision of cable service as soon as technically and economically feasible to residences in annexed subdivisions or areas which, on the effective date of this Agreement, existed and were located outside the City limits. (c) Grantee shall provide service, upon request, to businesses and commercial establishments, based upon a time and materials tat cost) basis. Grantee shall also utilize the least cost feasible method consistent with good engineering practice. 2.3 Franchise Fee. The Grantee shall pay to the Grantor an annual franchise tee of five percent (5` =0) of Gross Annual Receipts received by Grantee from operation of the cable system in the City of Rohnert Park. The fee shall be payable monthly and adjustable quarterly, no later than thirty (30) days after the end of the preceding quarter. The Grantee may request and the Grantor may approve changes in the payment schedule. 2.4 Recovery of Processing Costs. (a) As provided for in Ordinance No. 486, Grantee, within sixty (60) days after receipt from Grantor of a written itemization, shall reimburse Grantor for its reasonable out -of- pocket costs - 7 - incurred during the franchise renewal process, not to exceed fifteen thousand dollars ($15,000). (b) As necessary to aid in the analysis and resolution of any future disputed matters relative to the franchise, the Grantor and the Grantee, by mutual agreement (both as to whether to hire and whom to hire), may employ the services of technical, financial or legal consultants, in lieu of formal arbitration. All reasonable fees of the consultants incurred by the Grantor and /or the Grantee in this regard shall be borne by the party that loses the dispute, in the judgment of the employed consultant(s). 2.5 Payment to Grantor. No acceptance of any payment shall be construed as an accord that the amount is in fact the correct amount, nor shall such acceptance of payment be construed as a release of any claim the Grantor may have for further or additional sums payable under the provisions of this Agreement. All amounts paid shall be subject to the independent audit authorized by Ordinance No. 486. If, after audit, such computation indicates a franchise fee underpayment of more than two percent (2 %), Grantee shall reimburse Grantor for all reasonable out -of- pocket costs related to said audit and recomputation. 2.6 Insurance and Indemnification. (a) Upon the effective date of this agreement the Grantee shall at its sole expense, take out and maintain during the life of this Agreement insurance against claims for injuries to persons or damages to property which may arise from or in connection with the - 8 - Grantee's operation under the terms of this Agreement. Coverage shall be at least as broad as: (1) Insurance Services Office form number GL 0002 (Ed. 1/73) covering Comprehensive General Liability and Insurance Services Office form number GL 0404 covering Broad Form Comprehensive General Liability; or Insurance Services Office Commercial General Liability coverage ( "occurrence" form CG 0001). (2) Workers' Compensation insurance as required by the Labor Code of the State of California and Employers Liability insurance. (b) The Grantee shall furnish to the Grantor certificates of insurance and with original endorsements effecting coverage required by this section. The certificates and endorsements for each insurance policy are to be signed by a person authorized by that insurer to bind coverage on its behalf. The certificates and endorsements are to be on forms provided by the Grantor consistent with Exhibit E. Where by statute,, the Grantor's workers' compensation- related forms cannot be used, equivalent forms approved by the Insurance Commissioner are to be substituted. All certificates and endorsements are to be received and approved by the Grantor on the effective date of this Agreement and annually thereafter on the anniversary date of this Agreement. The Grantor reserves the right to require complete, certified copies of endorsements pertaining to all required policies, at any time. - 9 - (c) Grantee shall maintain limits no less than: (1) General Liability: $2,000,000 combined single limit per occurrence for bodily injury, personal injury and property damage. If Commercial General Liability Insurance or other form with a general aggregate limit is used the general aggregate limit shall be twice the required occurrence limit. (2) Workers' Compensation and Employers Liability: Workers' compensation limits as required by the Labor Code of the State of California and employers Liability limits of $1,000,000 per accident. (d) Grantor reserves the right to adjust the limit coverage requirements at intervals no more often than every four (4) years to reflect inflation. (e) Any deductibles or self - insured retentions must be declared to and approved by the Grantor, such approval not to be unreasonably withheld. At the option of the Grantor, either: the insurer may reduce or eliminate such unapproved deductibles or self - insured retentions as respects the Grantor, its officials and employees; or the Grantee shall procure a bond guaranteeing payment of losses and related investigations, claim administration and defense expenses. (f) The policies are to contain, or be endorsed to contain, the following provisions: (1) General Liability - 10 - a. The Grantor, its officials, officers, employees and volunteers are to be covered as insureds as respects: liability arising out of premises owned, occupied or used by the Grantee. The coverage shall contain no special limitations on the scope of protection afforded to the Grantor, its officers, officials, employees or volunteers. b. The Grantee's insurance coverage shall be primary insurances as respects the Grantor, its officers, officials, employees and volunteers. Any insurance or self - insurance maintained by the Grantor, its officers, officials, employees and volunteers shall be in excess of the Grantee's insurance and shall not contribute with it. C. Any failure to comply with reporting provisions of the policies shall not affect coverage provided to the City, its officers, officials, employees or volunteers. d. Coverage shall state that the Grantee's insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the limits of the insurer's liability. (2) Workers' Compensation and Employers Liability Coverage: The insurer shall agree to waive all rights of subrogation against the City, its officers, officials, employees and volunteers for losses which may arise - 11 - from or in connection with the Grantee's operation under the terms of this Agreement (3) Each insurance policy required by this clause shall be: a. Endorsed to state that coverage shall not be suspended, voided, cancelled or reduced in coverage or in limits except after thirty (30) days prior written notice by certified mail, return receipt requested, has been given to the Grantor. b. The policy shall cover on an "occurrence" basis. C. The policy shall cover contractual liability subject to the standard universal exclusions of contractual liability included in the carrier's standard endorsement as to bodily injuries, personal injuries and property damage. d. Broad Form property damage liability shall be afforded. (g) Insurance is to be placed with insurers with a Best's rating of no less than A:VII. (h) Grantee agrees to, and shall, defend Grantor and its officers, officials, employees and volunteers from any suits or actions at law or in equity for damages caused by reason of any of the aforesaid operations; provided as follows: - 12 - (1) That Grantor does not, against Grantee which aforesaid hold harmle acceptance by Grantor, Grantee, of any of the this section. and shall not, waive any rights it may have by reason of the Iss agreement, because of the or the deposit with Grantor by insurance policies described in (2) That the aforesaid hold harmless agreement by Grantee shall apply to all damage; and claims for damages of any kind suffered by reason of any of the aforesaid operations referred to in this section, regardless of whether or not Grantor has prepared, supplied, or approved the plans and /or specifications for the project, or regardless of whether or not such insurance policies shall have been determined to be applicable to any of such damages or claims for damages. 2.7 Obtain Insurance Before Reconstruction Work. Grantee shall not commence any system reconstruction work or permit any subcontractor to commence work until both shall have obtained or cause to be obtained all insurance required under this section, and such insurance shall have been approved by the Grantor, as to form and amount. Said insurance shall be maintained in full force and effect until the completion of reconstruction, and approval thereof by the Grantor. Grantor shall inspect any system reconstruction within ten (10) days after receipt of notice of completion by the Grantee, and shall promptly approve or disapprove the completed work. All - 13 - requirements herein provided shall appear either in the body of the insurance policies or as endorsements and shall specifically bind the insurance carrier. 2.8 Subcontractor's Compensation Insurance. Grantee shall obtain and maintain Workers' Compensation and Employers' Liability Insurance for all Grantee's employees, and in case any work is sublet, Grantee shall require any subcontractor similarly to provide Workers' Compensation and Employers' Liability Insurance for all subcontractor's employees, all in compliance with State laws, and to fully protect the Grantor from any and all claims arising out of occurrences on the work. Grantee hereby indemnifies Grantor for any damage resulting to it from failure of either Grantee or any subcontractor to take out and maintain such insurance. Grantee shall provide the Grantor with a certificate of insurance indicating Workers' Compensation and Employers' Liability coverage from any subcontractor prior to that subcontractor commencing any work on the system. 2.9 Security Fund. (a) Within thirty (30) days of the effective date of this Agreement, Grantee shall establish and provide to Grantor a security fund, as security for the faithful performance by Grantee of all material provisions of this Agreement. The security fund shall be in the amount of twenty five thousand dollars ($25,000) and shall either be in the form of a corporate surety bond, an irrevocable letter of credit, or a cash deposit established in a local bank in an interest- - 14 - bearing account payable to the order of Grantor as trustee for Grantee, with all interest distributed to the Grantee. (b) The security fund shall be maintained at the twenty five thousand dollars ($25,000) level throughout the term of this Agreement provided that at intervals no more often than each five (5) years, Grantor shall have the right to require that the security fund be increased to reflect changes in the Consumer Price Index during the prior five (5) year period. (c) The security fund may be assessed by Grantor for those purposes specified in Ordinance No. 486, in accordance with the procedures of Section 2.10 herein, with Grantee given due notice and a reasonable opportunity to cure any material violations prior to any assessment. The Grantor may assess up to a cumulative assessment limit of twenty five thousand ($25,000) for all violations. Grantee agrees that it shall not attempt, through litigation, or otherwise, to prevent or inhibit Grantor from taking said funds. Grantee's recourse, in the event Grantee believes any taking of security funds is improper, shall be through legal action, after the security has been drawn upon. If Grantor's action or taking is found to be improper by any court or agency of competent jurisdiction, Grantee shall be entitled to a refund of the funds plus interest and /or any other award which such court or agency shall make. (d) If the security fund is assessed by Grantor for an amount exceeding the limits listed in paragraph 2.9(d) above, and Grantee believes that such assessment is improper, Grantor and Grantee - 15 - may mutually agree that the assessment shall be subject to binding arbitration, in accordance with the laws of the State of California. If no agreement on arbitration is reached, either party may pursue any legal remedies deemed appropriate. 2.10 Procedure for Remedying Franchise Violations. (a) In the event Grantor believes that Grantee has violated any material provision of the franchise, Grantor shall provide Grantee with written notice of the violation, by certified mail to the general manager of Grantee, including all relevant details and an opportunity to cure the violation within a reasonable period of time. (b) Within ten (10) days after receipt of a written notice of a violation, Grantee may request a hearing before the City Manager or a designated hearing officer. Such hearing shall be held within thirty (30) days of the receipt of the request therefor. Any findings of the City Manager or the hearing officer shall be subject to appeal to the City Council. Prior to or at such Council review, Grantee may request a full public hearing. (c) If the violation is reasonably curable within thirty (30) days of receipt of Grantor's written notice, and if Grantee has not commenced appropriate corrective action within that thirty (30) day period, or provided a plan to correct the violation in accordance with subsection (d) below, then the City Council may proceed to assess damages for Grantee's individual or repeated willful violation of a material franchise requirement of up to one hundred dollars ($100) per day or per incident for all such violations, provided that all such - 16 - violations of similar nature occurring at the same time shall be deemed one incident. (d) In the event any stated violation is not reasonably curable within thirty (30) days, the franchise will not be terminated or revoked or damages assessed if the Grantee has provided, within the said thirty (30) days, a plan, satisfactory to the Grantor, to remedy the violation and continues to demonstrate good faith in seeking to correct said violation. (e) In determining which remedy or remedies for Grantee's violation are appropriate, Grantor shall take into consideration the nature of the violation, whether the violation was chronic, the person or persons bearing the impact of the violation, the nature of the remedy required in order to prevent further such violations and such other matters as the Grantor may deem appropriate. 2.11 Transfer of Ownership or Control. (a) Any transfer of ownership or control of the cable system and transfer of the franchise, authority, right and privilege, to construct, reconstruct, operate and maintain a cable television system within the streets and public ways in the City of Rohnert Park shall be made in accord with Section 4.10 of Ordinance No. 486 and applicable state and federal law. The Grantee shall have the responsibility to show to the reasonable satisfaction of the Grantor whether the proposed purchaser, transferee, or assignee is technically, financially, and legally capable of performing the obligations of the franchise, and in that connection shall furnish - 17 - information as to whether the proposed purchaser, transferee, or assignee: (1) Has never been convicted or been held liable for acts involving moral turpitude including any violation of Federal, State or local law or regulations, or is not presently under an indictment, investigation or complaint charging such acts. (2) Has never had a judgement in an action for fraud, deceit or misrepresentation. (3) Does not have pending any legal claim, lawsuit or administrative proceeding arising out of or involving a cable system. (4) Is financially solvent and possesses the financial capability necessary to maintain and operate the cable system for the remaining term of the franchise and under the existing franchise terms. (5) Is technically capable to maintain and operate the cable system under the existing franchise terms. (b) In the event of a proposed sale of the cable system, the Grantor shall have the right to match the bona fide offer made by the prospective purchaser with the same terms and conditions and purchase the cable system. (c) All violations of any material provision of the franchise or Ordinance No. 486 shall be resolved prior to, or as a - 18 - condition of the completion of a transfer of ownership or control of the cable system. (d) Prior to the completion of a transfer of ownership or control of the cable system, the prospective new Grantee shall establish and provide to Grantor a security fund as required in Section 2.9 of this Agreement and shall obtain insurances and provide insurance certificates as required in Sections 2.6, 2.7, and 2.8 of this Agreement. (e) As provided for in Ordinance No. 486, if during the term of this renewal the Grantee initiates a request for approval regarding the transfer of this franchise or change in control of Grantee, within sixty (60) days after receipt from Grantor of a written itemization, the Grantee shall reimburse Grantor for all reasonable out -of- pocket costs incurred by the Grantor as part of Grantor's review and processing of the transfer request in an amount of no less than ten thousand dollars ($10,000) and not to exceed twenty five thousand dollars ($25,000). Any such costs shall not be charged against any franchise fee due to Grantor during the term of the franchise. - 19 - 3. SYSTEM UPGRADING 3.1 System Upgrade or Rebuild. (a) If Grantee, prior to the expiration of the six (6) year renewal term, completes an upgrade or rebuild of the cable system to provide a minimum of fifty -four (54) video channel operable capacity, the renewal term shall be extended automaticallv for an additional six (6) years. Grantee agrees to commence and pursue the system upgrade or rebuild with due diligence within the foregoing six (6) year renewal term. (b) No sooner than four (4) years after completion of the upgrade or rebuild as defined in 3.1(a) above, the Grantor may request expansion of the cable system channel capacity up to a maximum of sixty (60) video channel operable capacity. The Grantee may request deference and relief from this request. based upon the lack of demonstrated need and /or feasibility. If the Grantor determines after due process that such expansion is warranted and feasible, the Grantee shall upgrade the channel capacity as requested within two (2) years. (c) The Grantee, prior to the expiration of the six (6) year renewal term, may request and the Grantor may approve a specific time extension of the initial six (6) year renewal term in order to complete the upgrade or rebuild. The extension shall not be unreasonably withheld provided the Grantee has proceeded with due diligence as provided in 3.1(a) above and can demonstrate that the Grantee has a plan for expeditious completion of the upgrade or - 20 - rebuild. Regardless of approval of such an extension, the total term of the franchise shall not exceed fifteen (15) years. (d) Within thirty (30) days of the effective date of this Agreement, Grantee shall establish and provide to Grantor a security fund, as security for the faithful completion by Grantee of the system upgrade or rebuild as provided in Section 3.1 herein. The upgrade or rebuild security fund shall be in the amount of two hundred and fifty thousand dollars ($250,000) and shall either be in the form of a performance bond, an irrevocable letter of credit, or a cash deposit established in a local bank in an interest - bearing account payable to the order of Grantor as trustee for Grantee, with all interest distributed to the Grantee. The City Attorney shall approve the form of the upgrade or rebuild security fund, such approval not to be unreasonably withheld. The upgrade or rebuild security fund shall be maintained at the two hundred and fifty thousand dollar (5250,000) level until such time as an upgrade or rebuild of the cable system is completed as provided in Section 3.1 herein. (e) Grantor may assess the upgrade or rebuild security fund in its entirety, or in such lesser amount as the City Council may determine, if Grantee fails to complete the system upgrade or rebuild as provided for in Section 3.1 herein. In the event Grantor believes, ninety ( 90 ) days prior to the expiration of the six ( 6 ) year renewal term, that Grantee will not complete the system upgrade or rebuild as provided for in Section 3.1 herein, Grantor shall provide Grantee with written notice of same, by certified mail to the general manager of - 21 - Grantee. Within ten (10) days after receipt of such a written notice, Grantee may request a time extension as provided for in Section 3.1 herein. In the event that a time extension is granted for completion of the system upgrade or rebuild as provided for in Section 3.1 herein, the Grantor shall not assess the upgrade or rebuild security fund during the time extension. 3.2 Institutional Network Capacity. Grantee agrees to continue to make available one (1) upstream channel for shared Public /Educational /Governmental (PEG) access and institutional communications services, as well as for interactive residential subscriber services. Availability of this: capacity for PEG access use shall be as required by Exhibit C. If such capacity is not being used for shared PEG access/ institutional communication services, Grantee may use this capacity after giving prior notice to Grantor. 3.3 Interconnection. Upon Grantor request, Grantee shall negotiate in good faith to interconnect the cable television system with neighboring cable systems in the future. Within six (6) months of a Grantor request, Grantee shall report to Grantor the results of the negotiations. 3.4 Emergency Alert Capability. Within twelve months after approval of this franchise renewal, the Grantee shall provide the system capability to transmit an emergency alert signal to all participating subscribers, in the form of an emergency audio override capability to permit but not obligate the Grantor to interrupt and cablecast an audio message on all channels simultaneously in the event - 22 - of a disaster or public emergency. The Gr=antor shall designate up to three individuals who shall act in behalf of the Grantor in exercising the provisions of this paragraph. The Grantor shall indemnify and hold harmless the Grantee with respect to -any use of this capability. 3.5 Standby Power. Grantee shall provide standby power generating capacity at the cable communications system control center and at all hubs capable of providing at least twelve (12) hours of emergency supply. Grantee shall maintain standby power system supplies throughout the major trunk cable networks capable of providing emergency power within the standard limits of commercially available power supply units. 3.6 Parental Control Lock. Grantee shall provide subscribers, upon request and at no cost, with a parental control locking device or digital code that permits inhibiting the video and audio portions of premium channels. 3.7 Status Monitoring. Grantee shall provide an automatic status monitoring system or a functional equivalent when the cable system has been activated for two -way communications provided that such status monitoring is technically and economically proven. 3.8 Technical Standards. The Federal Communications Commission (FCC) Rules and Regulations, Part 76, Subpart K (Technical Standards), shall apply, to the extent permitted by applicable law. Grantee voluntarily agrees, however, to utilize as operational targets the performance standards listed in Exhibit B, and voluntarily agrees that - 23 - these standards are sanctionless operational objectives which may be utilized by Grantor as one measure of the Grantee's performance. 3.9 Right of Inspection. Grantor shall have the right to inspect all construction, reconstruction or installation work performed subject to the provisions of the franchise and otherpertinent provisions of the law, and as part of Grantor's obligation to protect the public health, safety and welfare of its citizens. - 24 - 4. SERVICES 4.1 Services and Programming. Under normal circumstances, Grantee shall not reduce the number of program services without thirty (30) days prior written notification to the Grantor and system subscribers. 4.2 Rate - Regulated Universal Cable Service Package. (a) Service Offering. Grantee shall make available within twelve (12) months after approval of this franchise agreement and thereafter throughout the remaining term of this renewal, among its cable service offerings in Rohnert Park:, a cable service package consisting of a minimum of twelve (12) video program channels carrying local broadcast channels and the PEG access channel. This universal service package shall be offered at a subscription rate initially set by the Grantee at a maximum of $12.95 per month, with any rate increases cumulatively in excess of five percent (5 %) per year to be subject to prior notification and request to, and prior approval of the City Council. (b) Extension of Term. In consideration of the regulated universal service package offered in Rohnert Park pursuant to Section 4.2(a), Grantor agrees that the duration of this renewal as otherwise set forth above shall be extended by an additional period of three (3) years. If the Grantor fails to complete a system upgrade or rebuild according to the provisions of Section 3.1, then the three (3) year extension of term in consideration for the regulated universal service package shall not apply. - 25 - (c) Non - Severable Subsections. Grantor and Grantee have each agreed to adhere to the provisions of this Section 4.2, and each subsection thereof, as a non - severable and integral whole, and as a voluntary accommodation, bargained for, between them and for the community. If Grantee (or any successor Grantee under this renewal) shall fail to abide by any provision of this Section 4.2 or initiate any legal proceeding resulting in the final judicial invalidation of any provision of this Section 4.2, the entire Section 4.2 and all its subsections and terms shall be deemed invalid, severed and stricken from this renewal. - 26 - 5. SUPPORT FOR LOCAL CABLE USAGE 5.1 PEG Access Operating Costs. (a) Based on the provisions of the Cable Communications Policy Act of 1984 and future applicable law, Grantor shall determine from time to time the funding level that it desires to make available for PEG access operating costs, and the most appropriate entity to manage PEG access operations. (b) Any Grantor request, in accordance with section 5.2 below, for equipment, facilities and channels for PEG access use shall be accompanied by an operating plan which delineates the source of the required operating funds. 5.2 Grantee Support for Public Cable System Usage. Grantee shall provide the following or equivalent support for public cable usage within the franchise area, as a minimum: (a) Provision and use of the equipment, facilities and channels designated in Exhibit C of this Agreement for local programming and PEG access use at no charge in accordance with the requirements of Exhibit C. (b) Provision, if requested by Grantor no later than twelve (12) months of the effective date of this renewal, of a keyboard at City Hall to permit alphanumeric text insertion capability, directly from City Hall to a designated channel of the cable system. Upon the effective date of the Agreement, the capability shall be provided for the City to use Grantee's existing character generation capability at Grantee's headend. - 27 - (c) Provision of free public building standard installation and basic service to the public building locations specified in Exhibit D. Free standard installation in newly constructed public buildings shall be contingent upon Grantee receiving timely notice of the new construction project, opportunity to participate in the design of the building, and opportunity from the start of construction to install cable and /or equipment. Upon request, Grantee shall provide free standard cable installation to each School site, and the School building on the School site located nearest to the Grantee's cable distribution plant, specified in Exhibit D. When requested, Grantee shall install cable equipment in school buildings on a time and materials (at cost) basis utilizing the least cost, feasible method consistent with good engineering practice. (d) Provision of live cablecasting capability as specified in Exhibit C. (e) Other public buildings, including new buildings, shall be provided with a free standard installation and free basic service, upon request. (f) For the purposes of this section, standard installation includes the customary outdoor underground placement of a single cable for a distance not to exceed one hundred and fifty (150) feet from the Grantee's cable distribution plant and which may require trenching through landscaping, turf, dirt, gravel or limited sections of public streets but not extensive paved areas such as parking lots. At public building locations specified in Exhibit D, standard installation may - 28 - also include the interior installation of cable to a reasonably limited number of locations within a single building. Standard installation to each School site specified in Exhibit D shall not include interior installation of cable. (g) Installations in excess of a standard installation shall be provided based upon a time and materials (at cost) basis. Grantee shall also utilize the least cost, feasible method consistent with good engineering practice. 5.3 Compliance with Federal Law. In accepting this franchise, the Grantee agrees that the commitments indicated in Section 5.2 above are voluntarily entered into and will not be charged against any franchise fees due the Grantor during the term of the franchise. - 29 - 6. REGULATION 6.1 Franchise Regulation. The franchise renewed under this Agreement shall be subject to regulation by Grantor in accordance with Federal and State law and all of the lawful provisions of Ordinance No. 486. 6.2 Force Ma-jeure. In the event Grantee's performance of any of the terms, conditions, obligations or requirements of this franchise or Ordinance No. 486 is prevented or impaired due to any cause beyond its reasonable control or not reasonably foreseeable, such inability to perform shall be deemed to be excused and no penalties or sanctions shall be imposed as a result thereof, provided Grantee has notified Grantor in writing within fifteen (15) days of its discovery of the occurrence of such an event. Such causes beyond Grantee's reasonable control or not reasonably foreseeable shall include, but shall not be limited to, acts of God, civil emergencies and labor unrest or strikes, untimely delivery of equipment, inability to obtain gratis access to an individual's property and inability of Grantee to secure all necessary permits to utilize utility poles or conduit so long as Grantee utilizes due diligence to timely obtain said permits. 6.3 Hold Harmless. The Grantee on behalf of itself, its successors and assigns, shall defend, indemnify and hold harmless the Grantor, its officers, officials, employees, and volunteers, and each of them, against and from any and all claims, demands, actions, suits, liabilities and judgments of every kind and nature and regardless of the merits of the same, arising out of or related to the - 30 - exercise or enjoyment of the franchise renewed pursuant to this Agreement and to Ordinance No. 486, including costs of investigations, attorney's fees and court costs in the defense of any actions, to the extent that such claims or demands are found to be the result of any error, omission, intentional act or negligent act of Grantee or any persons employed by Grantee. IN WITNESS WHEREOF, Grantor and Grantee have hereunto set their respective hands and seals, the date and year first above written. CITY OF ROHNERT PARK A Municipal Corporation By: ", &*I,— Ci ager Date: ! v'-' Cis ATTEST: 0f"Mt6ft1knW City Clerk MULTIVISION CABLE TV CORP. By : / John A. Motulsky Senior- Vice President As Agent For: ML Media Partners, L.P. Date:: I11t3lcib ATTEST: (SEAL) �,�' /� �* ( CORPORATE SEAL) EXHIBIT A OWNERSHIP STRUCTURE t ML MEDIA PARMS, L.P. . - OMMIZATIM CHART - 1 LIMITED GENERAL PARTNERS= PARTNER= INDIVIDUAL MEDIA MANAGEMENT INVESTORS PARTNERS ML MEDIA RP MEDIA MANAGEMENT ' INC. MANAGEMENT MEDIA MANAGEMENT ML MEDIA PARTNERS, L.P. PARTNERS LIMITED PARTNERSHIP I I. MARTIN POMPADUR I CHIEF EXECTUVIE OFFICER & CHIEF OPERATING OFFICER EXHIBIT B GRANTEE'S TARGET TECHNICAL SPECIFICATIONS B -1 GRANTEE'S TARGET TECHNICAL SPECIFICATIONS The Grantee shall operate its cable system at all times using the following technical specifications as worst -case design and performance objectives, in accordance with Section 3.9. (1) Control headend to furthest subscriber tap: (a) Carrier -to -noise ratio 40 db (b) Composite triple beat 58 db (2) The minimum RF level delivered on any video carrier at the subscriber terminal shall be 0 dbmv. Grantee shall test the system at least once annually to assure that these specifications are being met, for at least six (6) locations at the end of the system's cable path. Grantee shall provide Grantor with a copy of the test results. EXHIBIT C GRANTEE COMMITMENT TO PEG ACCESS FACILITIES AND EQUIPMENT C -1 GRANTEE COMMITMENT TO PEG ACCESS FACILITIES AND EQUIPMENT 1. Governmental and Educational Access Channel. Grantee agrees to continue to make Educational use one (1) composite video be shared among communities served by dedicated for the term of the franchise i may utilize any portion of this channel and Educational use. No earlier than twelve (12) months available for Government and channel. This channel shall Grantee's cable system and -enewal, provided that Grantee not scheduled for Government after the completion of any system upgrade, Grantor may request and Grantee shall provide a second shared channel for Educational and Government use. Grantor may not submit such a request unless the access channel already being utilized is cablecasting at least one hundred (100) hours per month for six (6) continuous months, of unduplicated video programming, and, further, that additional contemplated Government and Educational programming cannot effectively utilize the existing channel during the time it is available. C -2 2. Operation of Studio Facilities and Access Assistance. Throughout the term of this Agreement, Grantee at its own expense shall maintain in operation its existing production studio facilities at the main office of Grantee's cable system (or another location reasonable accessible to Rohnert Park citizens), and shall maintain over time production and studio equipment and capabilities, for use for PEG access purposes as well as for other purposes served by Grantee for a maximum of thirty five (35) hours per week during the normal operating hours of the Grantee. Grantee shall continue to make available to access users its production and technical staff assistance for a maximum of twenty (20) hours per week during normal operating hours of the Grantee in connection with such facilities and access usage in Rohnert Park, in service of community needs for access programming activities and support. 3. Line Extension and Return Capability for New Civic Center. Grantee shall extend its cable system to connect to the contemplated new Rohnert Park Civic Center, 500 City Hall Drive, as and when it is constructed, and shall include a return line capability for video transmissions from the new civic center, at Grantee's expense. Grantor shall notify Grantee within thirty (30) days of the award of contract for applicable civic center construction. Grantor reserves the option of designating an alternative site to which the Grantee shall install return line capability for video transmissions provided that the Grantee's expense shall not exceed that for installation to the Civic Center site. C -3 4. Provision of Production Cameras and Equipment. Grantor may request and Grantee shall provide at its expense a package which may include the following major studio equipment for governmental access production /cablecasting purposes: fixed position video cameras, video monitors, time base corrector, audio mixer, telecommunications modems, and necessary switching equipment The cost of the package shall not exceed. a current cost of seventy five thousand dollars ($75,000) adjusted annually according to the consumer price index. It is anticipated that the studio equipment will be installed in the new Rohnert Park Civic Center, 500 City Hall Drive, and that the Grantor's request for studio equipment will be made upon award of contract for applicable civic center construction. Grantor reserves the option of designating an alternative site for installation of the studio equipment package. 5. Access Operations. Grantor may negotiate agreements with neighboring jurisdictions served by the same cable system, educational institutions, or others to share operating expenses, as appropriate. Grantor and Grantee may C -4 negotiate an agreement for management of access facilities, if so desired by both parties. 6. Title to PEG Equipment. Grantor shall receive title to all equipment provided with funding made available in accordance with paragraph 4 above. EXHIBIT D SERVICE TO PUBLIC FACILITIES D -1 EXHIBIT D PUBLIC BUILDINGS TO BE PROVIDED WITH FREE CABLE TELEVISION CONNECTIONS AND BASIC SERVICE (1) Public Buildings: 2. City Hall 6750 Commerce Blvd. Community Center 5401 Snyder Lane Codding Center 100 Enterprise Drive Benecia Park Rec. Center 7450 Santa Barbara Way "M" Park Recreation Center (Under design) 7800 Mitchell Drive Public Safety Station 435 Southwest Blvd. Public Safety Station 1312 Maurice Ave. School Buildings: Rancho Cotate Senior High School 5450 Snyder Lane Library 6600 Hunter Drive Performing Arts Center 5409 Snyder Lane Burton Avenue Rec. Center 7421 Burton Ave. "G" Park Recreation Center (Planned) 1450 Golf Course Drive Public Safety Headquarters (Under design) 500 City Hall Drive Public Safety Station 5200 Country Club Drive Sports Center 5405 Snyder Land Rohnert Park Junior High School 7165 Burton Ave. John Reed Elem. School 390 Arlen Drive Crane Elem. School 1290 Southwest Blvd. Hahn Elem. School 825 Hudis Street "M" Elem. School 1400 Magnolia Ave. D -2 Waldo Rohnert Elem. School 550 Bonnie Ave. Evergreen Elem. School 1125 Emily Ave. Goldridge Elem. School 1455 Golf Course Drive EXHIBIT E INSURANCE FORMS GENERAL LIABILITY ENDORSEMENT City-Of Rohnert Park ( "the City") 6750 Commence Bouivard, Rohnert Park, CA 94927 Endorsement # 1. Insurance Company _ ; Policy Number 2. Policy Term (From) (To) : Endorsement Effec. Date 3. Named Insured 4. Address of Named Insured S. Limit of Liability Any One Occurrence/Aggregate $ Commercial General Liability Aggregate (check one): Applies 'per location/project' Is twig the occurrence limit 6. Deductible or Self- Insured Retention (Nil unless otherwise specified): $ 7. Coverage is equivakmt to: Comprehensive General Liability form GL0002 (Ed 1/73) Commercial General Liability 'occurrence' form CG0001 Commercial General Liability 'claims -made' form CG0002 8. Bodily Injury and Property Damage Coverage is: 'claims -made' 'occurrence' 9 claims -made, the retroactive date is jam: The City's standard insurance requirements specify "occurrence'" coverage. "Claims -made' coverage requires special approval. If commercial general liability form or equivalent is used, the general aggregate must apply separately to this location/project or the general aggregate must be twice the occurrence limit. WORKERS' COMPENSATION/EMPLOYERS LIABILITY ENDORSEMENT City Of Rohnert Park ("the City l 6750 Commerce Boulvard, Rohnert Park, CA 94927 -• •:,,:1 Lei ► 1. Insurance Company Policy Number 2. Effective Date of This Endorsement 3. Named Insured 4. Employers Liability Limit (Coverage B) Endorsement # ( "the Company"); in consideration of the policy premium and notwithstanding any inconsistent statement in the policy to which this endorsement is attached or any other endorsement attached thereto, it is agreed as follows: 1. Cancellation Notice. The insurance afforded by this policy shall not be suspended, voided, cancelled, reduced in coverage or in limits except after thirty (30) days' prior written notice by certified mail return receipt requested has been given to the City. Such notice shall be addressed as shown in the heading of this endorsement. 2. Waiver of Subroaatlon. The Insurance Company agrees to waive all rights of subrogation against the City, its elected or appointed officers, officials, agents and employees for losses paid under the terms of this policy which arise from work performed by the Named Insured I, (print/type name), warrant that I have authority to bind the below listed insurance company and by my signature hereon do so bind this company. ORGANIZATION: ADDRESS: SIGNATURE OF AUTHORIZED REPRESENTATIVE (originai signature required on endorsement furnished to the City) TITLE: TELEPHONE: ( aP.1021 bViNd W M AW n- Coetpiat•d Ur-IFT11MATECIFINSURANC - - - -- Oh1YRWrofFFd -- Pintsfain ian.e: TO ofceni mwatktauralm 4 Rot~ Park CITY OF ROHNERT PARK ("the Clty' j wilt be aw"d Commerce Blvd. on Paris, CA 94927 to the City that the following described policies have been issued to the Insured named below and are in force at this time. Insured Address option of operations/kxa0or - proms insured (show contract name and/or number, if any): POLICIES AND INSURERS UMITS POUCY NUMBER EXPIRATION DATE Workers' Compensation ,xm and Completed Ooonnom ti Employers Liability $ s Liability Clause (or equivalent wording) (Nance of Insurer) . xnal Injury, Perils A. B and C Bests Rating i Form Property Damage Check policy type: Comprehensare General Liability rectual Liability Coverage applying to this Contract imprehensive General Liability it Liability or Each Occurrence $ Commensal General Liability Aggregate $ Commercial General Liability (Name of insurer) Each Occurrence $ Bests Rating General Aggregate either: Per projeWbcation $ ims -Made or Occurrence or twice occurrence limit $ Business Auto Policy Each Person Each Accident s s iiity Coverage Symbol Each Accident, Property Damage s (Name of Insurer) Bests Rating or Combined Single Limit $ Umbrella Liability Occurrence/ Aggregate $ (Name of Insurer) Bests Rating Self- insured Retention $ ims -Made or Occurrence : If commerciai general liability insurance is used, the general aggregate must apply per beanorvprgect or the aggregate Omit must be at least twice the occurrence limit. following coverage or condit Ions are in effect: Yes No :ity. its offidals, officers. emptoyses are valtmtaers are named an all liability policies described above as insureds as rasps= xvntss performed for the Guy by or an beftaff of the named insured, (b) products and completed operations of the Named Insured, c) promises, owned. loosed or used by the Named insured. ,xm and Completed Ooonnom ti mdersigned will Mai b the City 30 days' written nonce of cancellation or reduction of coverage or Omits. s Liability Clause (or equivalent wording) xnal Injury, Perils A. B and C i Form Property Damage U Hazards included rectual Liability Coverage applying to this Contract it Liability gage afforded to City, its officials, officers, employees and volunteers as Insureds appiies as primary and not excess or contributing to any once in the no"* of the city, or of subrogation from Workers' Compensation insurer. nsured shall save. keep and hold harmless the City, its officers, aaems. emolove" and volunteers from all damages, costs or expenses in law or equity that may at any time at be set up tnecewo of damages to oimemr or penonaf initiry renewed b • raetor! of or +_mss cx.�s^, of pcd m;ing work wilticln may be oaeasiorwd by arty wiNiul or negligent r omissions of the Contractor, any of the Contractors employees. or any subcontractor. The City VAN not behold liable for any accidem loss or damage to the work prior to its ietion and acceptance. certificate is issued as a matter of informat ion. This certificate is not an insurance pobw and does not amend. extend or alter the coverage afforded by the policies listed n. Notwirtuto ng arty requ►ernoM term or condition of any con. or other document with respect to which this Certificate of insurance may be issued or may pertain, the once afforded by the policies described herein is subject to ail the tsmns. exclulubm and conditions of such policies. ncy or Brokerage ress tie of Person to be Contacted phone Number i Aa.111111C'.a..� Insurance Company Home Office Authorized Signature Date Note: Authorized signatures may be the agents if agent has placed insurance through an agency agreement with the insurer. If Insurance is brokered, authorizedsignaturoinsros be:thatotofficiallot insuirrr.- AUTOMOBILE LIABILITY ENDORSEMENT City Of Rohnert Park ("the City'l 6750 Commerce Boulevard, Rohnert Park, CA 94928 Endorsement # 1. Insurance Company ; Policy Number 2. Policy Term (From) (TO) ; Endorsement Effect Date 3. Named Insured 4. Address of Named Insured 5. Limit of Liability Any One Occurrence/Aggregate $ 6. Deductible or Self - Insured Retention (Nil unless otherwise specified): $ B. POLICY AMENDMENTS This endorsement is issued in consideration of the policy premium. Notwithstanding any inconsistent statement in the policy to which this endorsement is attached or any other endorsement attached thereto, it is agreed as follows: 1. INSURED The City, its elected or appointed officers, officials, employees and volunteers are included as insureds with regard to damages and defense of claims arising from: the ownership, operation, maintenance, use. loading or unloading of any auto owned, leased,hired or borrowed by the Named Insured, regardless of whether liability is attributable to the Named Insured or a combination of the Named Insured and the City, its elected or appointed officers, officials, employees or volunteers. 2. CONTRIBUTION NOT REQUIRED. As respects work performed by the Named Insured for or on behalf of the City, the insurance afforded by this policy shall: (a) be primary insurance as respects the City, its elected or appointed officers, officials, employees or volunteers; or (b) stand in a unbroken chain of coverage excess of the Named Insured's primary coverage. In either event, any other insurance maintained by the City, its elected or appointed officers, officials. employees or volunteers shall be in excess of this insurance and shall not contribute with it. 3. SCOPE OF COVERAGE. This policy, if primary, affords coverage to the Named Insured at least as broad as: (1) Insurance Services Office form number CA 0001 (Ed. 1178), Code 1 ( "any auto") an endorsement CA 0025. (2) If excess, affords coverage which is at least as broad as the primary insurance forms referenced in the preceding section (1). 4. SEVERABILITY OF INTEREST. The insurance afforded by this policy applies separately to each insured who is seeking coverage or against whom a claim is made or a suit is brought, except with respect to the Company's limit of liability. 5. PROVISIONS REGARDING THE INSURED'S DUTIES AFTER ACCIDENT OR LOSS. Any failure to comply with reporting provisions of the policy shall not affect coverage provided to the City, its elected or appointed officers, officials, employees or volunteers. 6. CANCELLATION NOTICE. The insurance afforded by this policy shall not be suspended, voided, cancelled, reduced in coverage or in limits except after thirty (30) days' prior written notice by certified mail return receipt requested has been given to the City. Such notice shall be addressed as shown in the heading of this endorsement. • ► k IF-1 ►a u U '•: 1► ':• all : Incidents and claims are to be reported to the insurer at: ATTN: (rte) (DepwurwV (c 4mv) (Satyr Address) (hy) (Seam) (--p Code) (Tekphar Nuf " I, (printltype name), warrant that 1 have authority to bind the below fisted insurance company and by my signature hereon do so bind this company. ORGANIZATION: ADDRESS: SIGNATURE OF AUTHORIZED REPRESENTATIVE (final signature required on endorsemo t furnished to the City) TrTLE: TELEPHONE: ( ) mna+saMOKraw CORPORATE SURETY BOND WHEREAS, pursuant to Section 2.9(a) of that certain Agreement between ML Media Partners, L.P. (the "Obligor ") and the City of Rohnert Park, California, a municipal corporation (the "city"), dated as of December 13, 1990 and adopted by the City Council (the "Agreement "), the Obligor desires to give an undertaking as so provided in the Agreement. NOW, THEREFORE, ML Media Partners, L.P. a limited partnership organized under the laws of the State of Delaware and authorized to transact business in the State of California, does hereby well and truly obligate itself, its successors and assigns and promises to pay to the City of Rohnert Park, California the sum of Twenty -Five Thousand Dollars ($25,000) payable unconditionally in the events and amounts and upon the terms and conditions set forth in Section 2.9 of the Agreement, and this instrument shall constitute the corporate surety bond provided for therein with full recourse and remedy for the benefit of the City. Dated this 13th day of December, 1990. MULTIVISION CABLE TV CORP. John A. Motulsky Senior Vice President As Agent For: ML Media Partners, L.P. JM395