Whereas, the City of Ottawa, Kansas has the authority to enter into franchise agreements pursuant to KSA 12-2001 et. seq., and

Whereas, the franchisee Allegiance Communications L.L.C. seeks to provide cable television, informational and communication services within the city, and

Whereas, since 1991 the City’s cable franchise has been transferred to Communications Services Inc. (CSI); Telecommunications, Inc. (TCI); Multimedia Cablevision; and Cox Communications Inc.

NOW therefore, be it ordained by the Governing Body of the City of Ottawa, Kansas as follows: SECTION 1               DEFINITIONS

The following terms, phrases, words and their derivations shall have the meaning given herein.

A.    “Allegiance” is a Delaware limited liability company doing business in Kansas as a cable television, informational and communication system and services provider.

B.    “Cable Service” means (a) the transmission to subscribers of (i) video programming, or (ii) other programming service, and (b) subscriber interaction, if any, which is required for the selection or use of such video programming or other programming service. Cable Service as defined herein shall be consistent with Section 602(6) of the Cable Act (47 U.S.C. §522(6)), as may be amended from time to time.

C.    “Cable System” means a facility, consisting of a set of closed transmission paths and associated signal generation, reception and control equipment that is designed to provide Cable Service which includes video programming and which is provided to multiple subscribers within a community, but such term does not include (a) a facility that serves only to retransmit the television signals of one or more television broadcast stations; (b) a facility of a common carrier which is subject, in whole or in part, to the provisions of Title II of the Communications Act of 1934, as amended, except that such facility shall be considered a Cable system (other than for purposes of 47 U.S.C. 541(c)) to the extent such facility is used in the transmission of video programming to subscribers, unless the extent of such use is solely to provide interactive on-demand services; (c) an open video system that complies with 47 U.S.C. 573; or (d) Cable System as defined herein shall be consistent with Section 602(7) of the Cable Act (47 U.S.C. §522(7)), as may be amended from time to time.

D.    “City” is the City of Ottawa. When used to refer to the geographic boundaries of the community, such term means the present municipal boundaries and shall include any additions thereto.

E.    “Gross Annual Receipts” (GAR) means any subscriber revenues received by Allegiance from all services provided across the cable and communication system within the City, including any year­ end accounting adjustments to such revenues made in accordance with GAAP; revenue derived from subscription fees for basic and premium service, pay-per-view fees, installation and reconnection fees; commercial leased access fees; converter and other equipment rentals; revenue from home shopping to the extent derived from subscribers in the City; advertising revenues paid to Allegiance by parties using the cable system; payments or other consideration received by Allegiance for the use of the cable and communication system accounted for as revenue; and any other revenue permitted by law. For the purposes of calculating franchise fees, GAR does not include monies collected from subscribers as franchise fees, government access channel fees, or revenues from yellow pages advertising or sales of television guides or magazines. Taxes or fees on services furnished by Allegiance herein imposed directly or indirectly on a subscriber by a state, city or other governmental unit and collected by Allegiance on behalf of such entity are excluded.


A.    Subject to other provisions in this ordinance, Allegiance is hereby granted a nonexclusive franchise and right to construct on, through, along, under and over the streets , highways, utility easements, and public rights-of-way , a cable system which is to include, but not necessarily be limited to, a line or lines of wire, cables, fiber, or other conductors, together with all necessary feeders or service wires, poles, amplifiers, pedestals, power supplies and other attachments, devices or apparatus necessary to or usually used in connection with a cable system; to maintain, upgrade and keep the cable system in proper condition after its construction; and to operate the cable system. In the event Allegiance desires to install its cable system facilities on public property other •than a street, road, alley, highway or utility easement (such as a public ball park or golf course), the City shall require Allegiance to obtain its prior written approval as to the location of such cable system equipment. Nothing in this franchise shall be construed to prohibit Allegiance from offering any service over its cable system that is not prohibited by federal or state law. In the event Allegiance provides over the cable system telecommunications or data service (as such term is defined under applicable federal law) or any other service that is not a cable service (as such term is defined under applicable federal law), the City and Allegiance each reserves any and all rights it has under federal and state law regarding the regulation of any such service.

B.    The franchise granted to Allegiance hereunder includes the right for Allegiance to make such contracts as it deems necessary and proper and is able to negotiate with those public utilities and service corporations already holding franchises from the City, permitting it to use the existing utility poles and facilities for its installation.

C.    The franchise shall apply to the entire territorial area of the City, as it exists now or may later be configured. The City shall notify Allegiance in writing of any changes to the territorial area and shall provide addresses of any residential and commercial units located in such areas.

D.    Allegiance will notify the City of any existing city residences or businesses that do not have the present ability to connect to the cable system. Allegiance will notify the City within three (3) months of the adoption of this ordinance and shall provide a plan to connect these customers within sixty (60) days thereafter.

E.    Allegiance agrees to provide cable service to all residences in the City, subject to the density requirements specified in this Section. Whenever Allegiance receives a request for cable service from a potential subscriber in a contiguous unserved area where there are at least twenty (20) occupied residences within one (1) mile from the portion of Allegiance ‘s trunk or distribution cable which is to be extended, Allegiance shall extend its cable system to such subscribers at no cost to said subscribers for the cable system extension , other than the applicable installation charge; provided that such extension is technically feasible, and will not adversely affect the operation or market development of the cable system. Notwithstanding the foregoing, Allegiance shall have the right, but not the obligation, to extend the cable system into any portion of the City where another operator is providing cable service, into any annexed area which is not contiguous to the present service area of Allegiance, or into any area which is financially or technically infeasible due to extraordinary circumstances, such as a runway or freeway crossing.

F.    Allegiance shall not be required to offer cable service to individual units of a multiple dwelling unit facility within the City unless the owner of the facility consents in writing to the following: (i) to Allegiance providing cable service to individual units of the facility; (ii) to reasonable conditions and times for installation, maintenance ,and inspection of the cable system on the facility premises; (iii) to not demand or accept payment from Allegiance for permitting Allegiance to provide cable service to the facility and (iv) to not discriminate in rental charges, or otherwise , between tenants who receive cable service from Allegiance and those who do not.

G.    Allegiance will make every reasonable effort to install its infrastructure and lines in new developments during the time that other city or private infrastructure is being installed. The City will make reasonable efforts to provide advance notification to Allegiance of open utility trenches so that Allegiance can place its infrastructure and lines in trenches with other utility providers

H.    If a potential subscriber resides in an area that does not meet the density requirements of Section 2(E) above, Allegiance shall extend the cable system if the subscriber(s) in that area are willing to share the costs of extending the cable system by making a contribution in aid of construction, including cost of material, labor, and easements. Specifically, Allegiance shall contribute a capital amount equal to the construction cost per mile, multiplied by a fraction whose numerator equals the actual number of residences per mile of its trunk or distribution cable, and whose denominator equals 20. Subscribers who request service hereunder shall bear the remaining construction costs on a pro rata basis. Subscribers shall also be responsible for any applicable installation charges to extend the cable system from the tap to the residence.


A.    All work performed in the construction, operation, maintenance and repair of the cable system shall be performed in a safe, thorough and reliable manner using materials of good and durable quality. All construction, including installation, shall conform to all applicable federal and state laws and local regulations, ordinances, laws and codes .

B.    Any property damaged or destroy d by Allegiance shall be repaired or replaced by Allegiance and reasonably restored to its pre-existing condition within a reasonable time. All City standards related to use of public rights-of-way shall be met to the City’s satisfaction, including but not limited to backfill and compaction standards, depth of buried cable, clean up, seeding, etc.

C.    Allegiance shall have the authority to trim trees so as to prevent the branches of such trees from coming into contact with the facilities of Allegiance upon and overhanging any street, alley, easement, sidewalk or other public place, as long as such trimming is done in accordance with the techniques and standards in the: i) ANS I A300, 2001 Standard for Tree Care Operations, Tree, Shrub, and Other Woody Plant Maintenance; ii) International Society of Arboriculture Tree-Pruning Guidelines, and; iii) Pruning Trees Near Electric Utility Lines by Dr. Alex Shigo, copyright 1990.

D.    Allegiance shall, upon seven days advance written notice, from any person holding an appropriate permit issued by the City, temporarily raise or lower its lines to permit the moving of a structure. The actual expense of such temporary removal shall be paid by the person requesting the same and Allegiance shall have the right to require payment in advance for such temporary removal.

E.    Upon its receipt of reasonable advance written notice, not to be less than five (5) business days, Allegiance shall protect, support, raise, lower, temporarily disconnect, relocate or remove from the public rights-of-way as necessary, any property of Allegiance when lawfully required by the City by reason of any public improvement. The City shall have the right to require Allegiance to change the location of any of its system within the public rights-of-way when the public interest or public health, safety or welfare requires such a change, and the expense thereof shall be at no cost to the City.

F.    A general obligation of Allegiance is to attend pre-construction meetings called by the City with a representative knowledgeable of Allegiance’s infrastructure within the City.


A.    Allegiance shall at all times indemnify the City from any liability for damages or claims resulting from property damage or bodily injury which arise out of Allegiance’s negligent construction, maintenance or operation of the cable system in the city.

B.    Allegiance shall keep the cable system facilities continuously insured at limits as required by law, against such risks as are customarily insured against by businesses of like size and type, including but not limited to:

1.    Liability insurance for bodily injury, including death, and for property damage including loss of use occurring on, arising out of, or in any way related to the cable system and its facilities;

2.    Worker’s Compensation Insurance of statutory limits and Employer’s Liability Insurance.

3.    Comprehensive Automobile Liability Insurance for property damage including loss of use occurring on, arising out of, or in any way related to the cable system and its facilities.


A.    Within 12 months (year 1) from original adoption date of this Ordinance, Allegiance shall provide to the City the following:

1.    Free limited basic or expanded basic cable service to the locations identified in Attachment “A”, to be provided for the length of this franchise.

2. Continuation of the existing Government Access Channel (Channel 20).

3.    Technical consulting services sufficient to adequately assess the City’s Government Access Channel (GAC) and subsequently provide guidance on how to better operate and enhance its GAC hardware, software, operation. production and programming.

4.    Capital assistance. Allegiance agrees to provide financial support to help the City’s efforts to continuously develop its GAC. Such financial support is primarily for the costs incurred by the City ( or Allegiance) for acquisition of equipment, but also applies to other ancillary and related items such as maintenance and upgrades to equipment, equipment delivery, installation, training of staff, peripheral supplies related to the use of such equipment, ongoing or intermittent maintenance, maintenance agreement contracts, and other similarly related capital expenses. Large capital equipment purchases will be based upon recommendations by the GAC advisory committee. Total annual financial support provided by Allegiance shall be made up to the amounts in the following schedule, and under the terms expressed below:

Year 2005                         Amount $25,000

Year 2006 – 2008              Amount $10,000 per year

Year 2009                         Amount $25,000

Year 2010 – 2012              Amount $10,000 per year

i.     A year’s period as applied above shall be from 01 January to 31 December.

ii.    Upon written request from the City, Allegiance shall have thirty days to purchase the new equipment. Upon agreement by the City, if availability becomes an issue, substitute equipment may be purchased of equal or higher value and quality.

iii.   When the City makes purchases under the terms set forth above and submits appropriate records to Allegiance, Allegiance shall reimburse the City for such expenditures with 30 days of receipt of an invoice or reimbursement request. (For example, training opportunities that require immediate payment, replacement of essential peripheral equipment, etc.).

iv.   Ownership of major capital equipment purchased under this section may be in the name Allegiance. If ownership of equipment is in Allegiance’s name, ownership shall transfer to the City, without cost, upon any of the following conditions:

1.    Transfer of the franchise to another company;

2.    Termination of the franchise;

3.    Other good cause agreed to by the parties.

v.    GAC committee records will be kept by the City and upon request copies made available to Allegiance.

vi.   In 2013. capital assistance shall be examined and renegotiated. If no renegotiation is needed, the existing fee schedule repeats until the end of this agreement.

5.    One additional P.E.G. channel shall be made available when usage of the existing GAC channel reaches approximately 90% of the channel’s capacity and upon request by the City.

6.    High speed Internet access across its cable system within the city.

7.    Reserved free space on Allegiance’s tower for use by the City if needed for public or emergency services as long as Allegiance’s tower is structurally capable of accommodating the City’s equipment and such equipment does not interfere with Allegiance’s business.

8.    To allow connectivity for existing GAC or future PEG programming on its system via insertion points at a) the Franklin County annex meeting room, b) City Hall Commission Chambers, and c) the USO 290 8.0.E. meeting room, and to assure that the delivery systems from insertion points meet the same technical standards as the remainder of the system.

B.    Within 48 months (year 4) from the original adoption date of this Ordinance Allegiance shall provide to the City the following: any other services provided by Allegiance to customers in communities of similar size, market, demographics and programming, including a) some form of telephony (such as Voice Over Internet Protocol), b) high definition television programming, c) interactive services to enable customers to play games order services, and access a variety of news related information, and d) an all-digital delivery format.

C.    Between 60 and 72 months (year 5-6) of the anniversary of the original adoption date of this Ordinance, Allegiance shall help reassess the City’s GAC equipment, programming, etc., (as done in “Section 5. A. 3” above) and make available technical assistance and training.


Allegiance shall remit monthly to the City as a franchise fee five percent (5%) of its gross receipts as based upon the previous month’s activity. The franchise fee shall be paid within thirty (30) days after the end of each month, and shall be accompanied by a brief report showing the basis for the computation and other relevant facts reasonably required by the City. The parties agree payment may be by automatic deposit.


Allegiance shall not unlawfully discriminate against any person in terms, conditions or privileges of employment because of age, race, sexual orientation, creed, color, national original or gender.


A.    Allegiance shall, at all times, comply with the customer service standards of the FCC as they may from time to time be amended.

Allegiance shall maintain a staffed local office in the City, which will be open at least during normal business hours. “Normal business hours” means those hours during which most similar businesses in the community are open to serve customers. Office hours and telephone availability:

1.    Allegiance will maintain a local toll free telephone access line which will be available to its subscribers 24 hours a day, seven days a week.

2.    Trained Allegiance representatives will be available to respond to customer telephone inquiries during normal business hours.

3.    After normal business hours, the access line may be answered by a service or an automated response system, including an answering machine. Inquiries received after normal business hours must be responded to be a trained Allegiance representative on the next business day.

4.    Allegiance shall provide a maintenance service that shall be promptly available to subscribers during normal business hours (as described above).

C.    Customers shall be notified of any changes in rates, programming services or channel positions as soon as possible in writing. Notice must be given to subscribers a minimum of 30 days in advance of such changes if the change is within the control of Allegiance.

D.    Bills must be clear, concise and understandable . Bills must be fully itemized, with itemizations including, but not limited to, basic and premium service charges and equipment charges. Bills shall also clearly delineate all activity during the billing period, including optional charges, rebates, and credits. In case of a billing dispute, Allegiance must respond to a written complaint from a subscriber within 1O business days.

E.    Refund checks will be issued promptly, but no later than either the customer’s next billing cycle following resolution of the request or 30 days, whichever is earlier, or the return of any equipment supplied by Allegiance if service is terminated. Credits for service will be issued no later than the customer’s next billing cycle following the determination that a credit is warranted.


A.    In those areas of the City where transmission or distribution facilities of all the public utilities providing telephone and electric power service are underground, Allegiance will construct, operate and maintain its transmission and distribution facilities therein underground. Certain of Allegiance’s equipment, which are normally placed above ground, such as pedestals, amplifiers and power supplies, may continue to remain in above ground enclosures.

B.    In those areas of the City where Allegiance’s cables are located on the above-ground transmission or distribution facilities of the public utility providing telephone or electric power service, and in the event that the facilities of both such public utilities are subsequently placed underground, then Allegiance shall likewise construct, operate and maintain its facilities underground at Allegiance’s cost.        Certain of Allegiance’s equipment, which are normally placed above ground, such as pedestals, amplifiers and power supplies, may continue to remain in above ground enclosures.

C.    When both electric power and phone service relocate to new poles, Allegiance shall also relocate its lines to the same poles.


A.    All rates and charges for any cable service provided by Allegiance shall, to the extent not preempted by State or Federal law, be subject to regulation by the City.

B.    The City of Ottawa and the cable and informational service subscribers within the city are entitled to the rates for services that are no higher than the average of the two (2) lowest rates offered by Allegiance in communities of similar size, market, demographics and programming.


A.    The City shall be provided a full and complete set of (digital or paper) plans, records and “as-built” maps showing the location of cable system installed or in use in the city, exclusive of subscriber service drops and equipment in subscribers’ homes. Annually, Allegiance shall provide two copies of such facilities and infrastructure maps to the City, if changes occurred in the previous year.

B.    Allegiance shall establish a process for resolving complaints from subscribers about the quality of the services delivered. Aggregate data based upon these complaints shall be made available for inspection by the City, upon request. Records shall be maintained pursuant to FCC requirements.

C.    Upon 48 hours written notice, Allegiance shall permit examination by any duly authorized representatives of the City, of any records, property and facilities of Allegiance’s inside or outside of the City, and all records necessary to enable the City to ascertain Allegiance’s compliance with this Ordinance. Such records include all books, records, maps, plans, engineering reports and related contracts, financial statements, service complaint logs, performance test results, records of request for service, and other like materials of Allegiance.

D.    If any of the records described in the previous subsection are proprietary in nature or may be kept confidential by state, federal or local law, upon proper request by Allegiance, such information obtained during such an inspection shall be treated as confidential, making it available only to those persons who must have access to perform their duties on behalf of the City, including but not limited to the City Manager, City Clerk, accounting and information technology staff and legal counsel.

E.    Upon request by the City, Allegiance shall in a timely manner provide copies of other reports, such its annual notice to subscribers, systems proof of performance, systems EEO filings, an annual report of channels and additional plant miles installed.


A.    At least once every two years Allegiance shall conduct a subscriber satisfaction survey regarding products and services offered and provide the City the results of such surveys. Each questionnaire shall be prepared and conducted in good faith so as to present reasonably reliable measures of subscriber sentiment regarding at least the following factors : 1) signal strength, 2) responsive ness to concerns and complaints, 3) billing practices, 4) program services, and 5) installation practices .

B.    Annually following the subscriber survey, Allegiance shall make a good faith determination about whether adjustments to its programming or other cable services are reasonable necessary to accommodate the cable related community needs and interests, including an assessment of the cost of meeting those needs and interests, and in the event such changes are determined in good faith by Allegiance to be necessary, shall implement them within a reasonable time. Allegiance. as part of its annual report to the City, shall report in writing the steps, if any, it is taking to implement the findings of the survey (e.g. correcting problems, amending services, etc.).


Allegiance shall comply with the applicable rules and regulations of the FCC regarding emergency alert systems (EAS) specifically 47 C.F.R. Part 11. Allegiance agrees to upgrade the EAS throughout the term of the franchise and periodically test the EAS as the City may reasonably require and as required by the FCC.


A.    The franchise granted pursuant to this ordinance can only be altered or amended upon mutual written consent of the City and Allegiance. The City reserves the right to adopt, in addition to the provisions contained in this Ordinance and existing applicable ordinances, such additional regulations as it shall find necessary in the lawful exercise of its police power; provided, however, that such regulations shall be reasonable and not materially in conflict with the rights and privileges granted to Allegiance hereunder, or with any provision of federal law.

B.    If Allegiance adds new services for subscribers not covered under the terms within this Ordinance, including but not limited to services in the telecommunications industry, Allegiance and the City agree to execute an amendment to this Ordinance covering those services.

C.    If Allegiance provides cable television, informational or communication services, or other services, to two (2) other cities of similar size, market, demographics and programming, then Allegiance shall provide such services to the citizens of Ottawa on the same terms, rates and conditions as provided in the such other cities.


At the City’s request, Allegiance shall meet with officials of the City, to discuss items of mutual interest. including annexation of property, extension or improvement of the cable system, service problems, or such other subjects as may be deemed by the City to be mutually beneficial to the parties. Nothing contained in this section, however, shall be construed as requiring either the City or Allegiance to negotiate a new franchise, or modify or extend an existing franchise.


The initial term of the franchise within this Ordinance is ten (10) years. Subsequent renewals shall be pursuance to the renewal provisions of the Cable Act.


If any portion of this Ordinance is for any reason held invalid by any court or agency of competent jurisdiction, such portion shall be deemed a separate, distinct and independent provision and such holding shall not affect the validity of the remaining portions of the Ordinance.


A.    In the event that the City believes that Allegiance has not complied with the terms of the Ordinance, the City shall discuss the matter with Allegiance. If these discussions do not lead to resolution of the issue, the City shall notify Allegiance in writing of the exact nature of the alleged noncompliance.

B.    Allegiance shall have thirty (30) days from receipt of the notice described above to: 1) respond to the City, contesting the assertion of noncompliance, or, 2) cure such default, or 3) in the event that, by the nature of default, such default cannot be cured within the thirty (30) day period, initiate reasonable steps to remedy such default and notify the City of the steps being taken and the projected date that they will be completed.

C.    In the event that Allegiance fails to respond to the notice described in Section 18-A pursuant to the procedures set forth in Section 18-8, or in the event that the alleged default is not remedied within thirty (30) days or the date projected pursuant to Section 18-B, if it intends to continue its assertion of, and investigation into, the alleged default, then the City shall schedule a public hearing to investigate the default. The City shall provide Allegiance at least ten (10) days prior written notice of such hearing, which notice shall specify the time. place and purpose of such hearing. At such hearing, Allegiance shall be provided a full and fair opportunity to be heard.

D.    Subject to applicable federal and state law, in the event the City, after the hearing set forth in Section 17-C, determines that Allegiance is in default of any provision of the Ordinance, the City may pursue any legal or equitable remedy available under applicable law. Allegiance may appeal such determination of the City to an appropriate court, which shall have the power to review the decision of the City “de novo”. Such appeal to the appropriate court must be taken within sixty (60) days of the issuance of the determination of the City.


A.    The rights, privileges, obligations, duties and liabilities granted to Allegiance herein shall pass to and be binding upon the successors of the City and successors and assigns of Allegiance.

B.    The franchise and other obligations described with this Ordinance cannot be assigned or transferred, in any manner, without the prior written consent of the City.


Allegiance shall, upon a subscribers’ written request, provide such subscriber on of the following devices by which the subscriber can block completely the video and audio signals of a particular cable service consistent with the requirements of federal law during periods selected by that subscriber: a) a parental control devices; or b) a converter with a parental control feature, or c) within a reasonable time after the request and without cost to the subscriber a filter, trap or other method or device.


In the event Allegiance continues to operate all or any part of the cable and informational service system [over] the term of the franchise agreement, then Allegiance shall continue to comply with all applicable provisions of the agreement including without limitation, all compensation and other payment provisions, throughout the period of such continued operation, provided that any such continued operation shall in no way be construed as a renewal of or other extension of the agreement.


All Ordinances ,whole or in part, in conflict herewith are repealed as of the effective date of this Ordinance.


The franchise granted to and obligations assigned to Allegiance herein shall take effect upon adoption of this Ordinance by a majority vote of the Governing Body of the City of Ottawa, Kansas and its full publication in the official City newspaper.


Identifying Locations and Levels of Service for Free Cable Television Service

a.     Free limited-basic cable television installed and activated to the following:


Auditorium -- 301 S. Hickory

Carnegie Cultural Center -- 515 S. Main

Electric Plant - 800 W. 2nd

Orlis Cox Ball Field -- 106 S. Beech

Parks Department -- 320 W. Forest

Public Works Garage -- 322 S. Beech

Sewer Plant -- 703 E. 1st

Street Division -- 320 S. Beech

Swimming Pool -- 310 N. Locust

Utility Center Warehouse -- 324 S. Beech

Water Plant -- 301 S. Beech

Woodward Center -- 517 E. 3rd


Eisenhower Elementary -- 1404 S. Ash

Eugene Field Elementary -- 720 Tremont

Garfield Elementary -- 1213 College

Hawthorne Elementary -- 501 S. Poplar

Lincoln Elementary -- 728 N. Cedar

Ottawa High School -- 1120 S. Ash

Ottawa Middle School -- 1230 S. Ash

Ottawa Board of Education/Administration -- 123 W. 4th


Chamber of Commerce -- 109 E. 2nd

National Guard Armory - 208 W. 17th

b.    Free expanded-basic cable television installed and activated to the following sites:


City Hall -- 101 S. Hickory

Ottawa Library -- 105 S. Hickory (located in City Hall)

Fire Station -- 720 W. 2nd

Law Enforcement Center -- 715 W. 2°d


Franklin County Courthouse -- 315 S. Main

Neosho County Community College -- 226 S. Beech

Franklin County Visitor Information Center -- 2011 E. Logan