5.60.430 Franchise transfers, assignments or change in control – City’s determination.
A. A cable communications system shall not be sold, assigned, transferred, leased or disposed of, either in whole or in part, either by involuntary sale or by voluntary sale, merger or consolidation; nor shall title thereto, either legal or equitable, or any right, interest or property therein pass to or vest to any person, nor may there be any actual or proposed change in, or transfer of, or acquisition of control of, a grantee by any other person without the prior written consent of the City. Notwithstanding anything to the contrary in the foregoing sentence or this chapter, the prior approval of the City shall not be required for any sale, assignment or transfer or change in control of the franchise or the cable communications system to an affiliate of grantee; provided, that the proposed assignee or transferee or new controlling entity must show financial responsibility as may be determined necessary by the City and must agree in writing to comply with all of the provisions of the franchise. To the extent that a sale, transfer, assignment or change in control involves an entity, which was not an affiliate prior to the contemplated transaction, the City’s consent shall be required for such sale, transfer, assignment or change in control. In determining whether to grant, deny, or grant subject to conditions an application for a transfer, assignment or change in control of a franchise, the City may consider:
1. The legal, financial, and technical qualifications of the transferee, assignee or new controlling entity to operate the cable communications system;
2. Whether the incumbent grantee is in compliance with its franchise (regarding a transfer or assignment) and applicable law and, if not, the proposed transferee’s or assignee’s or existing grantee’s commitment to cure such noncompliance; and
3. To the extent permitted by law, whether the transferee, assignee or new controlling entity owns or controls any other cable communications system in the City, and whether operation by the transferee, assignee or new controlling entity may eliminate or reduce competition in the delivery of cable communications system service in the City.
B. Requests for approval of a transfer, assignment or change in control will not be unreasonably denied.
C. No application shall be granted unless the transferee or assignee agrees in writing that the transferee or assignee will abide by and accept all terms of this chapter and the franchise agreement, and that the transferee or assignee will assume the obligations, liabilities, and responsibility for all acts and omissions, known and unknown, of the previous grantee for all purposes. (Ord. 2546 § 2 (part), 2010: Ord. 2174 § 1 (part), 2003).