The County, pursuant to 220 ILCS 5/70–501(r)(1), does hereby provide for a schedule of penalties for any material breach of the Cable and Video Protection Law by cable or video providers in addition to the penalties provided in the law. The monetary penalties shall apply on a competitively neutral basis and shall not exceed Seven Hundred Fifty Dollars ($750.00) for each day of the material breach, and shall not exceed Twenty-Five Thousand Dollars ($25,000.00) for each occurrence of a material breach per customer.
(A) Material breach means any substantial failure of a cable or video provider to comply with service quality and other standards specified in any provision of the law.
(B) The County shall give the cable or video provider written notice of any alleged material breaches of the law and allow such provider at least thirty (30) days from the receipt of the notice to remedy the specified material breach.
(C) A material breach, for the purposes of assessing penalties, shall be deemed to occur for each day that a material breach has not been remedied by the cable or video service provider after the notice in (B).
The County hereby adopts the schedule of customer credits for violations. Those credits shall be as provided for in the provisions of 220 ILCS 5/70–501(s) and applied on the statement issued to the customer for the next billing cycle following the violation or following the discovery of the violation. The cable or video provider is responsible for providing the credits and the customer is under no obligation to request the credit.
The County does hereby pursuant to law declare its intent to enforce all of the customer service and privacy protection standards of the Cable and Video Protection Law with respect to complaints received from residents within the County.
(A) Adoption. The regulations of 220 ILCS 5/70–501 are hereby adopted by reference and may be applicable to the cable or video providers offering services within the County’s boundaries.
(B)Amendments. Any amendment to the Cable and Video Customer Protection Law that becomes effective after the effective date of this Article shall be incorporated into this Article by reference and shall be applicable to cable or video providers offering services within the County’s boundaries. However, any amendment that makes its provisions optional for adoption by municipalities shall not be incorporated into this Article by reference without formal action by the corporate authorities of the County.
(A) Audit Requirement. The County will notify the holder of the requirements it imposes on other cable service or video service providers to submit to an audit of its books and records. The holder shall comply with the same requirements the County imposes on other cable service or video service providers in its jurisdiction to audit the holder’s books and records and to recompute any amounts determined to be payable under the requirements of the County. If all local franchises between the County and cable operator terminate, the audit requirements shall be those adopted by the County pursuant to the Local Government Taxpayers’ Bill of Rights Act, 50 ILCS 45/1et seq. found in Chapter 36. No acceptance of amounts remitted should be construed as an accord that the amounts are correct. (See Chapter 36 – Taxation)
(B)Additional Payments. Any additional amount due after an audit shall be paid within thirty (30) days after the County’s submission of an invoice for the sum.
Nothing contained in this Article shall be construed to exempt a holder from any tax that is or may later be imposed by the County, including any tax that is or may later be required to be paid by or through the holder with respect to cable service or video service. A State-issued authorization shall not affect any requirement of the holder with respect to payment of the County’s simplified municipal telecommunications tax or any other tax as it applies to any telephone service provided by the holder. A State-issued authorization shall not affect any requirement of the holder with respect to payment of the local unit of government’s 911 or E911 fees, taxes or charges.
(A)PEG Fee Imposed. A PEG access support fee is hereby imposed on any holder providing cable service or video service in the County in addition to the fee imposed pursuant to Section 8–2‑2(B).
(B)Amount of Fee. The amount of the PEG access support fee imposed hereby shall be one percent (1%) of the holder’s gross revenues or, if greater, the percentage of gross revenues that incumbent cable operators pay to the County or its designee for PEG access support in the County.
(C) Payment. The holder shall pay the PEG access support fee to the County or to the entity designated by the County to manage PEG access. The holder’s liability for the PEG access support fee shall commence on the date set forth in Section 8–2‑2(D).
(D) Payment Due. The payment of the PEG access support fee shall be due on a quarterly basis, forty-five (45) days after the close of the calendar quarter. If mailed, the fee is considered paid on the date it is postmarked. Each payment shall include a statement explaining the basis for the calculation of the fee.
(E) Credit for Other Payments. An incumbent cable operator that elects to terminate an existing agreement pursuant to 220 ILCS 5/21–301(c) shall pay, at the time they would have been due, all monetary payments for PEG access that would have been due during the remaining term of the agreement had it not been terminated pursuant to that section. All payments made by an incumbent cable operator pursuant to the previous sentence may be credited against the fees that the operator owed under Section 8–2‑3(B).
(A)Fee Imposed. A fee is hereby imposed on any holder providing cable service or video service in the County.
(B)Amount of Fee. The amount of the fee imposed hereby shall be five percent (5%) of the holder’s gross revenues.
(C)Notice to the County. The holder shall notify the County at least ten (10) days prior to the date on which the holder begins to offer cable service or video service in the County.
(D)Holder’s Liability. The holder shall be liable for and pay the service provider fee to the County. The holder’s liability for the fee shall commence on the first day of the calendar month following thirty (30) days after receipt of the ordinance adopting this Article by the holder. The ordinance adopting this Article shall be sent by mail, postage prepaid, to the address listed on the holder’s application notice sent pursuant to 220 ILCS 5/21–401(b)(6) to the County.
(E) Payment Date. The payment of the service provider fee shall be due on a quarterly basis, forty-five (45) days after the close of the calendar quarter. If mailed, the fee is considered paid on the date it is postmarked. Each payment shall include a statement explaining the basis for the calculation of the fee.
(F)Exemption. The fee hereby imposed does not apply to existing cable service or video service providers that have an existing franchise agreement with the County in which a fee is paid.
(G)Credit for Other Payments. An incumbent cable operator that elects to terminate an existing agreement pursuant to 220 ILCS 5/21–301(c) with credit to prepaid franchise fees under that agreement may deduct the amount of such credit from the fees that operator owes under Section 116.02(b).
(C) “Gross Revenues” means all consideration of any kind or nature, including, without limitation, cash, credits, property, and in-kind contributions received by the holder for the operation of a cable or video system to provide cable service or video service within the holder’s cable service or video service area within the County.
Gross revenues shall include the following:
Recurring charges for cable or video service.
Event-based charges for cable service or video service, including, but not limited to, pay-per-view and video-on-demand charges.
Rental of set top boxes and other cable service or video service equipment.
Service charges related to the provision of cable service or video service, including but not limited to activation, installation, and repair charges.
Administrative charges related to the provision of cable service or video service, including but not limited to service order and service termination charges.
Late payment fees or charges, insufficient funds check charges, and other charges assessed to recover the costs of collecting delinquent payments.
A pro rata portion of all revenue derived by the holder or its affiliates pursuant to compensation arrangements for advertising or for promotion or exhibition of any products or services derived from the operation of the holder’s network to provide cable service or video service within the County. The allocation shall be based on the number of subscribers in the County divided by the total number of subscribers in relation to the relevant regional or national compensation arrangement.
Compensation received by the holder that is derived from the operation of the holder’s network to provide cable service or video service with respect to commissions that are received by the holder as compensation for promotion or exhibition of any products or services on the holder’s network, such as a “home shopping” or similar channel, subject to subsection (i).
In the case of a cable service or video service that is bundled or integrated functionally with other services, capabilities, or applications, the portion of the holder’s revenue attributable to the other services, capabilities, or applications shall be included in the gross revenue unless the holder can reasonably identify the division or exclusion of the revenue from its books and records that are kept in the regular course of business.
Refunds, discounts, or other price adjustments that reduce the amount of gross revenues received by the holder of the State-issued authorization to the extent the refund, rebate, credit, or discount is attributable to cable service or video service.
Regardless of whether the services are bundled, packaged, or functionally integrated with cable service or video service, any revenues received from services not classified as cable service or video service, including, without limitation, revenue received from telecommunication services, information services, or the provision of directory or Internet advertising, including yellow pages, white pages, banner advertisement, and electronic publishing or any other revenues attributed by the holder to non-cable service or non-video service in accordance with the holder’s books and records and records kept in the regular course of business and any applicable laws, rules, regulations, standards, or orders.
The sale of cable services or video services for resale in which the purchaser is required to collect the service provider fee from the purchaser’s subscribers to the extent the purchaser certifies in writing that it will resell the service within the County and pay the fee permitted by 220 ILCS 5/21–801(b) with respect to the service.
Any tax or fee of general applicability imposed upon the subscribers or the transaction by a city, state, federal, or any other governmental entity and collected by the holder of the State-issued authorization and required to be remitted to the taxing entity, including sales and use taxes.
Security deposits collected from subscribers.
Amounts paid by subscribers to “home shopping” or similar vendors for merchandise sold through any home shopping channel offered as part of the cable service or video service.
Revenue of an affiliate of a holder shall be included in the calculation of gross revenues to the extent the treatment of the revenue as revenue of the affiliate rather than the holder has the effect of evading the payment of the fee permitted by 220 ILCS 5/21–801(b) which would otherwise be paid by the cable service or video service.
(D) “Holder” means a person or entity that has received authorization to offer or provide cable or video service from the Commission pursuant to 220 ILCS 5/21–401.
(E) “Service” means the provision of “cable service” or “video service” to subscribers and the interaction of subscribers with the person or entity that has received authorization to offer or provide cable or video service from the Commission pursuant to 220 ILCS 5/21–401.
(F)“Service Provider Fee” means the amount paid under this Article and 220 ILCS 5/21–801 by the holder to a County for the service areas within its territorial jurisdiction.
(G)“Video Service” means video programming and subscriber interaction, if any, that is required for the selection or use of such video programming services, and which is provided through wireline facilities located at least in part in the public right-of-way without regard to delivery technology, including Internet protocol technology. This definition does not include any video programming provided by a commercial mobile service provider defined in 47 U.S.C. § 332(d) or any video programming provided solely as part of, and via, service that enables users to access content, information, electronic mail, or other services offered over the public Internet.
(A) Franchise Fee. A Franchisee shall pay the County a Franchise Fee of five percent (5%) of Gross Revenues. In accordance federal law, the twelve (12) monthperiod applicable under the Franchise for the computation of such Franchise Fee shall be a calendar year. Payment of the Franchise Fee shall be due annually and payable within ninety (90) days after the close of the calendar year. Each annual payment shall be accompanied by a report from the Franchisee showing the basis for the computation of the Franchisee Fee payable for the applicable calendar year.
(B) Regulation of Rates. The County may regulate rates for the provision of Cable Service to the extent permitted by federal law.
(A) Franchise Required. No person shall provide Cable Service within the Franchise Area without a Franchise Agreement.
(B)Granting of Franchise. The Board may grant one or more non-exclusive Franchises for the use of the Public Right-of-Way within the Franchise Area for the construction, operation and maintenance of a Cable System.
(C) Franchise Non-Exclusive. Any Franchise granted pursuant to this Chapter shall be non-exclusive.
(D) Franchise Application. The County may require that any Person seeking a Franchise under this Chapter provide the County with a written application in a format prescribed by the County.
(E)Term, Expiration, Renewal and Transfer.
Any Franchise granted pursuant to this Chapter shall be for a term no longer than fifteen (15) years.
Any Franchise granted pursuant to this Chapter shall terminate upon the expiration of the term of the Franchise unless renewed pursuant to this Section.
Any Franchise granted pursuant to this Chapter may be renewed by mutual agreement of the County and a Franchisee pursuant to federal law.
Any right, title, or interest in a Franchise granted pursuant to this Chapter shall not be sold, transferred, assigned, or otherwise encumbered, other than to an entity controlling, controlled by, or under common control with a Franchisee, without prior written notice to the County. No such notice shall be required, however, for a transfer in trust, by mortgage, by other hypothecation, or by assignment of any rights, title, or interest of a Franchisee in the Franchise or Cable System in order to secure indebtedness.
(D) Franchise Area. The geographic area covered by any Franchise granted pursuant to this Chapter shall be the unincorporated portions of the County.
(E) Use of Public Right-of-Way Non-Exclusive. Any use of the Public Right-of-Way granted pursuant to this Chapter and any Franchise Agreement shall be non-exclusive and the County may grant similar use of the Public Right-of-Way to any other person at any time.
(F) Use of County Property. Nothing in this Chapter or any Franchise Agreement shall grant a Franchisee any right to property owned by the County.
(G)Revocation of Franchise.
The County may revoke a Franchise and any and all rights and privileges of a Franchisee under this Chapter, and under any Franchise Agreement, upon the occurrence of any substantial breach of this Chapter or of any Franchise Agreement. For purposes of this Chapter, and any Franchise Agreement made pursuant to this Chapter, substantial breach shall include the following:
Failure, after notice and an opportunity to cure, of a Franchisee to pay any portion of a Franchise Fee; or
Failure, after notice and an opportunity to cure, of a Franchisee to comply with any material provision of this Chapter or any Franchise Agreement; or
Material fraud or misrepresentation by the Franchisee in obtaining the Franchise; or
Insolvency or bankruptcy of the Franchisee.
Upon the occurrence of any substantial breach, the County shall provide the Franchisee with written notice describing the nature of the substantial breach and, if applicable, requiring that the Franchisee correct the substantial breach within thirty (30) days. Within thirty (30) days of delivery of such written notice, the Franchisee shall respond in writing either contesting the County’s notice of substantial breach or outlining correction measure being undertaken by the Franchisee. The Franchisee may file a written request for a hearing on the matter. The County shall hold such hearing within thirty (30) days of any such request filed by the Franchisee. The Board shall preside at any such hearing and determine whether a substantial breach has occurred. The Board shall render a record of its proceedings and of its findings.
(B)“Board” means the Board of Commissioners of the County.
(C) “Cable Service” means:
the one-way transmission to Subscribers of video programming or other programming service; and
Subscriber interaction, if any, which is required for the selection of such video programming or other programming service.
(D)“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 to Subscribers within the County; provided, however, Cable System does not include the following:
a facility that serves only to re-transmit the television signals of one or more television broadcast stations; and
a facility that serves only Subscribers in one or more multiple unit dwellings under common ownership, control or management, unless such facility uses any Public Right-of-Way; and
a facility of a common carrier which is subject, in whole or in part, to the provisions of Title II of the Act; provided, however, that such a facility shall be considered a Cable System (other than for purposes of Section 621(c) of such Act) to the extent such facility is used in the transmission of video programming directly to Subscribers, unless the extent of such use is solely to provide interactive on-demand services; and
an open video system that complies with Section 653 of Title VI of the Act; and
a facility of an electric utility used solely for operating its electric utility system.
(E)“County” means the County of Union, Illinois.
(F) “Franchise” means an initial authorization, or renewal of such authorization, by the County which authorizes the construction or operation of a Cable System within the Franchise Area by a Franchisee.
(G)“Franchise Agreement” means a written agreement by and between the County and a Franchisee regarding a Franchise.
(H)“Franchise Area” means the unincorporated portions of the County.
(I) “Franchise Fee” means any tax, fee or assessment imposed by the County on a Franchisee solely because of such Franchisee’s status as a Franchisee; provided, however, Franchise Fee shall not include the following:
Any tax, fee or assessment of general applicability; and
Capital costs incurred by a Franchisee associated with the installation or maintenance of PEG Access Facilities required under this Chapter or a Franchise Agreement; and
Requirements or charges incidental to the awarding or enforcing of a Franchise as provided for or required under this Chapter or a Franchise Agreement including, but not limited to, payments for bonds, security funds, letters of credit, insurance, indemnification, penalties or liquidated damages; and
Any fee imposed pursuant to federal law.
(J)“Franchisee” means any Person holding a Franchise pursuant to this Chapter and any lawful successor or assign of such Person.
(K)“Gross Revenues” means all revenues of a Franchisee derived from the operation of a Cable System within the County; provided, however, Gross Revenues shall not include any Franchise Fee collected by a Franchisee from Subscribers.
(L)“PEG Access Facilities” means:
Channel capacity for public, educational or governmental use; and
Facilities and equipment for the use of such channel capacity.
(M)“Person” means an individual, partnership, association, joint stock company, trust, corporation or governmental entity.
(N)“Public Right-of-Way” means the surface of, and the space above and below, any public street, highway, freeway, bridge, land path, alley, court, boulevard, sidewalk, parkway, way, lane, public way, drive, circle or other public right-of-way, including, but not limited to, public utility easements, dedicated utility strips, or rights-of-way dedicated for compatible uses now or hereafter held by the County in the Franchise Area.
(O)“Subscriber” means a Person who lawfully receives Cable Service from a Franchisee.