ORDINANCE 85-551
f I 4
~.
-e
4152C(18):TSE:041185
ORDINANCE NO.
85-550
AN ORDINANCE AMENDING ORDINANCE NO.81-486 TO
CHANGE THE NAME OF GRANTEE; TO EXTEND THE FRANCHISE
TERM; TO CHANGE THE INSURANCE REQUIREMENTS; AND TO
CHANGE THE COMPUTATION OF THE PURCHASE PRICE TO BE
PAID BY CITY UPON EXPIRATION OF THE FRANCHISE.
THE CITY OF
HOPKINS
, MINNESOTA DOES ORDAIN:
SECTION 1. That Article I, Section 2, Paragraphs J and S of
said Ordinance be amended to read as follows:
J. "Grantee n ~s Minnegot'O-€'Ob:lesyst~-&otrt.flw.e&t- Rogers
Cablesystems of Minnesota Limited Partnership, a Minnesota limited
partnership, with Rogers Cablesystems of Minnesota, Inc., a
Minnesota corporation, as the General Partner,4~~~~~-
employees";
S. "SWSCC" shall mean the Southwest Suburban .c-A!l'-lJ--St.-udy- Cable
Commission.
SECTION 2. That Article II, Section 4 of said Ordinance be
amended to read as follows:
This Franchise shall commence upon acceptance by Grantee
and shall expire on December 31, 1995. Provided, however, that if
by December 31, 1987, Grantee (i) is able to close on, and have J
funded, wIthout cond~tions, new long term fInancIng, reasonably
satIsfactory to CIty, to replace the obligatIon eVIdenced by loan
documents dated April 1, 1982, from Grantee to Toronto DomInIon Bank
of Toronto, Canada, in the original prIncipal amount of EIghteen
MIllion and No/IOO Dollars ($18,000,000.00) (the "EXlstlng
Indebtedness"), and (il) gives wrItten notIce of such new financing
to CIty with wrItten evidence thereof reasonably acceptable to CIty,
then, upon the occurrence of (i) and (Ii) by December 31, 1987, the
term of thIS FranchIse shall be extended by four (4) years, from
December 31, 1995 to December 31, 1999, subJect, however, to
approval of such extensIon by the Board, If required, and the FCC,
~f reqUIred, and any other governmental body haVIng jurIsdictIon
over the matter, If reqUIred. If any such approvals are required,
CIty and Grantee agree to cooperate in obtaInIng such approvalS. If
any such approvals are reqUIred, and are not obtaIned, for any
reason, then the four (4) year extensIon shall not become
effectIve. If such extensIon becomes effectIve, Grantee and City
shall sign and deliver an agreement evidenCIng such extension, but
such extensIon shall be effective even WIthout such addItIonal
agreemen t.
SECTION 3. That ArtIcle V, SectIon 2 of said Ordinance be
amended by addIng thereto a new Paragraph F as follows:
. .
.
4152C(18):TSE:041185
e
F. CIty may waIve, at any time and from tIme to time, for good
cause shown, by Council resolutIon, compliance by Grantee with any
or all of the requirements imposed on Grantee by this Section 2
relatIve to prOViding serVIce to any extended area or areas.
SECTION 4. That Article VIII, Section 2, Paragraph A,
subparagraph (4) of said Ordinance be amended to read as follows:
(4) Any and all claims which Grantee may now or
hereafter have or claim to have against City, its
officers, boards, commissions, servants, agents,
employees or officials, due to or arising out of,
damage to any of Grantee's property or equipment,
including, without lImitatIon, resulting or
consequential loss of income, injury to
reputation, or any other resulting or
consequential damages of any kind, caused by or
resulting from acts or omiSSIons of City or any
of its officers, boards, commissions, servants,
agents, employees or offICIals.
SECTION 5. That Article VIII, SectIon 3, Paragraph A of said
OrdInance be amended to read as follows:
A. Grantee shall maintain liability insurance covering its
obligations of indemnificatIon provided for In, or as a result of
the exerCIse of, thIS FranchIse (except, however, for the
indemnIfIcatIons in subparagraph (3) of ArtIcle VIII, SectIon 2,
Paragraph A of thIS FranchIse) covering both the CIty and Grantee
and shall maIntaIn saId Insurance during the term of this Franchise
in the minImum of:
1. $500,000.00 for property damage to anyone person;
2. $2,000,000.00 for property damage In anyone act
or occurrence;
3. $1,000,000.00 for personal injury to anyone
person; and
4. $2,000,000.00 for personal injury In anyone act
or occurrence.
The foregOIng insurance may be prOVIded by means of a blanket
liabIlIty Insurance POlICY or poliCIes WIth an annual aggregate
lImitation of not less than $26,000,000.00.
SECTION 6. That ArtIcle VIII, SectIon 3, Paragraph E of said
OrdInance be amended to read as follows:
-2-
( .
4152C(18):TSE:041185
E. All Insurance policies maIntained pursuant to this
FranchIse shall contain the following endorsements and provIsions:
ill It IS hereby understood and agreed that this
Insurance policy may not be cancelled nor the
intentIon not to renew be stated until 60 days
after receipt to City, by registered mail, of
written notice of such intention to cancel or not
to renew.
1iil A waiver of SUbrogation, in form and substance
acceptable to CIty, as to any and all claims
agaInst the CIty which are wa~ved hereunder by
Grantee or as to which Grantee has agreed
hereunder to indemnify and hold harmless the City'
and its officers, boards, commissioners,
servants, offIcials, agents and employees.
(i~i) A provision that if the aggregate insurance
coverage of the blanket polIcies provIded by
Grantee IS ever reduced below $10,000,000.00,
then notIce of such fact shall promptly be gIven
to City by Grantee or Grantee's insurance agent
and additional liability coverage shall
immediately be purchased by Grantee so as to
restore the annual aggregate to the mInImum
amount then required under thIS FranchIse. .
SECTION 7. That ArtIcle XI, SectIon 2, Paragraph C of saId
Ordinance be amended to read as follows:
C. The purchase prIce of the System to be paid by City upon
revocatIon or terminatIon of the FranchIse shall be the cost less
depreCIatIon (as shown on the books and records of Grantee) or the
faIr market value, whIchever is less, and goodwill shall not be---
included In the purchase price of the System. However, if this
FranchIse expIres (and IS not revoked or termInated) and If Grantee
has complIed WIth the reqUIrements of ArtIcle II, SectIon 4 of thIS
FranchIse, and all requIred approvals are obtaIned, so that the
FranchIse term IS extended for an addItIonal four (4) years pursuant
to saId SectIon 4, then the purchase prIce of the System to be paId
by City upon eXpIratIon of thIS FranchIse shall be the fair market
value of the System determIned on the baSIS of the System valued as
a gOIng concern but WIth no value gIven or allocated to this
FranchIse itself. If the CIty and Grantee cannot agree on the
urchase rIce, It shall be determIned b arbItration ursuant to
the prOVISIons of thIS SectIon
SECTION 8. ThIS OrdInance WIll be effectIve In accordance WIth
the prOVISIons of ArtIcle XIV of saId OrdlnanCet includIng delivery
-3-
,... ,"'")
e
4152C(18):TSE:041185
to City of the acceptance, opinion of legal counsel, guarantees and
other documents as required by said Article XIV.
SECTION 9. Subject to the provisions of SectIon 8 hereof, this
Ordinance shall be in full force and effect upon adoptIon and
publication.
Passed and adopted this 22nd day of
May
, 1985.
City of HOPKINS Jrl fjJjNESOTA
By ROb~$~!~
Its ayor
And J. Scott Renne
Its Cl ty Clerk
-4-