A. Standards of operation shall be subject to the following:
1. Prior to receiving any applications for franchises, the council may adopt rules, regulations and standards governing the operation of cable television systems in the city. Such rules, regulations and standards shall apply to and shall govern the operations of the grantee of any franchise under this chapter, and are expressly declared a part of any franchise hereunder.
2. The standards adopted pursuant to these procedures shall be exclusively in those areas not either expressly or impliedly preempted by the Federal Communications Commission at the time of adoption.
3. The council may at any time adopt new rules, regulations or standards, or may amend, modify, delete or otherwise change its respective rules or regulations or standards previously adopted, in the following manner: the council shall pass its resolution of intention stating or describing the rules or regulations or standards to be adopted, amended, modified, deleted or otherwise changed, and fixing and setting forth a day, hour and place certain when and where any persons having any interest therein or objection thereto may appear before the council and be heard. Such resolution shall direct the city clerk to publish the same at least once within ten days of the passage thereof in a newspaper of general circulation within the city, and to mail a copy of the same to any grantee or applicant for a franchise not more than thirty days nor less than fifteen days prior to the time fixed for hearing thereon.
At the time set for such hearing, or at any adjournment thereof, the council shall proceed to hear and pass upon such comments as may be presented. Thereafter the council, by its resolution, may adopt, amend, modify, delete or otherwise change its respective rules, regulations and standards. Such determination by the council shall be final and conclusive. The rules and regulations, as amended, modified, deleted or otherwise changed by the council shall become effective upon the tenth day following the adoption of such resolution, unless a longer period shall be otherwise provided in such resolution.
B. Rates. The following limitations shall apply to the rates charged to subscribers by the grantee:
1. All services, including installation, programming and otherwise shall be offered at uniform rates and charges for the same class of services.
2. The grantee shall not increase the initial rates for a period of thirty-six months after the effective date of the franchise, or twenty-four months from the date the CATV system is complete, has been fully energized, and service can be offered to subscribers in every area served by the franchise, whichever period ends later.
3. After expiration of the time prescribed in subparagraph B2 of this section for maintenance of initial rates, rates set forth may only be increased by the grantee with the approval of the grantor, given only after compliance with the procedure provided in this section. Increases in rates shall be requested no more often than annually by the grantee. Upon receipt of a rate increase request, the grantor shall schedule a public hearing prior to arriving at a decision. No rate increase shall be approved without the grantee having given each subscriber thirty days' prior written notice of such public hearing. The grantor may request relevant financial and other information necessary to determine the justification for the requested increase. Within ninety days after receipt of the rate increase request, the grantor, by resolution, shall approve the request in full, approve the request in part, or disapprove the request. In any event, the grantor shall provide findings as to the basis for its decision. The grantor shall consider any or all of the following factors in determining whether to approve, modify or disapprove the grantee's requests for rate increases during the term of the franchise:
a. The grantee's substantial fulfillment of all material requirements of the franchise;
b. Quality of service, as indicated by the number and type of service complaints, the grantee's response to complaints, and the results of periodic system performance tests;
c. Prevailing rates for comparable services in other cable systems of similar size and complexity;
d. Rate of return on the grantee's financial investment and equity, as compared to businesses of equivalent risk. The rate of return shall be calculated on a cumulative basis for all system revenues and costs, including services such as pay-television that may be exempt from local rate regulation. The grantor shall have the right to request from the grantee all information as shall be reasonably necessary to determine revenues and costs of the cable television system regulated by the franchise;
e. Performance of the grantee in introducing new services and expanding the cable system's capability, as compared to other systems of similar size and complexity.
No rate increase shall become effective without the grantee having given each subscriber thirty days' written notice that such rate increase has been approved.
4. No charge shall be imposed upon any subscriber for termination of cable television service or removal of cable television apparatus upon termination of such service. No rate or charge of any type shall be imposed on a subscriber after receipt of notice of termination from such subscriber, unless such subscriber withdraws such notice prior to actual termination of service.
5. No charge shall be made to any subscriber by reason of the maintenance, repair, removal or replacement of any cable television apparatus, or property of the grantee, unless the same was caused by the deliberate and negligent act of such subscriber.
6. Except as otherwise provided elsewhere in this chapter, the grantee shall not charge different rates to subscribers within the same class of service, nor shall there be any difference in the services or facilities or in any other respect between subscribers within the same class, except as authorized in Section 230 and except that installation charges may vary according to the costs of installation. No grantee shall make or grant any preference to any corporation or person as to rates, charges, services, facilities or rebates or in any other respect, nor subject any corporation or person to any prejudice or disadvantage. (Prior code § 7-11)