Neither the county nor cities have or expect in the foreseeable future to receive
sufficient funds with which to defray the costs of administering and regulating cable
television franchises within the Sacramento Community. The ability to finance such
costs through franchise fees pursuant to the provisions of sections 90-337 and 90-338, above, constitutes a material inducement to initiate a cable television program
within the Sacramento Community, because neither the county nor cities would be willing
to reduce or eliminate other public programs in order to make public funds available
with which to defray the costs of administering and regulating the cable television
program.
Therefore, should any future law or regulation limit or prevent the cable television
commission from imposing a franchise fee in the amount provided for herein, each franchisee
shall cooperate with the cable television commission in filing and supporting a request
to obtain any possible waiver or permission to pay the full amounts provided for herein,
and, to the extent such future law or regulation permits a franchisee discretion to
make the limitation or prohibition applicable or inapplicable, each franchisee shall
elect to make the limitation or prohibition inapplicable.
Should any future law or regulation limit or prevent the franchisee from paying the
minimum advance fee required by section 90-338, above, the franchisee, by the filing of the certificate of acceptance hereto, agrees
to make a noninterest bearing loan to the commission annually in an amount equal to
the amount by which a minimum advance payment calculated pursuant to the provisions
of section 90-338 above, would have exceeded amounts reasonably anticipated to be due to the commission
within the ensuing year pursuant to section 90-337 above, which loan shall be repaid in subsequent years to the extent that the amount
paid as franchise fees by the franchisee pursuant to the provisions of section 90-337 exceeds an amount equal to an amount which would have been paid as a minimum advance
payment under section 90-338 above, in such subsequent years had such payments been permitted.
The failure of the commission to receive the fees or the loans prescribed by this
subdivision shall be deemed to constitute a substantial and material failure to comply
with the franchise documents within the meaning of section 90-51 in division 1, above.
