2005-24 Creates Customer Service Standards for Cable TVORDINANCE 24-2005
AN ORDINANCE OF THE VILLAGE COUNCIL OF THE VILLAGE OF NORTH PALM
BEACH, FLORIDA, AMENDING ARTICLE I OF CHAPTER 17, LICENSES AND
MISCELLANEOUS BUSINESS REGULATIONS, OF THE CODE OF ORDINANCES OF
THE VILLAGE BY CREATING SECTION 17-2 ENTITLED "CUSTOMER SERVICE
REQUIREMENTS AND PERFORMANCE STANDARDS"; IMPOSING CUSTOMER
SERVICE AND PERFORMANCE STANDARDS FOR THE OPERATION OF CABLE
TELEVISIONS SYSTEMS WITHIN THE VILLAGE OF NORTH PALM BEACH;
TRANSFERRING SECTION 17-2, HOME OCCUPATIONS, TO SECTION 17-3, HOME
OCCUPATIONS; PROVIDING FOR SEVERABILITY; PROVIDING FOR THE REPEAL
OF ALL ORDINANCES OR PARTS OF ORDINANCES IN CONFLICT HEREWITH;
AND, PROVIDING FOR AN EFFECTIVE DATE.
WHEREAS, pursuant to 47 C.F.R. 76.309(b)(4), the Village may impose and enforce customer
service requirements that exceed those set by the Federal Communications Council, and
WHEREAS, the Village reserved the right to require additional or greater standards of
construction, operation, maintenance or otherwise of the Franchisee, which are consistent with
the highest standards of the cable television industry, and
WHEREAS, the Code of Ordinances of the Village does not incorporate adequate customer
service and performance standards and enforcement mechanisms for the operation of cable
television systems within the Village, and
WHEREAS, it is the Village's intent to protect its citizens and to require that all cable television
system operators provide adequate laws for customer service and performance standards for
cable television systems operating within the Village.
BE IT ORDAINED BY THE VILLAGE COUNCIL OF NORTH PALM BEACH, FLORIDA:
Section 1. ADOPTION OF REPRESENTATIONS: The foregoing Whereas Clauses are
hereby ratified and confirmed as being true, and the same are hereby made a specific part of this
Ordinance.
Section 2. Article I of Chapter 17, Licenses and Miscellaneous Business Regulations, of the
Code of Ordinances of the Village, is hereby amended by the creation of Section 17-2, Customer
Service Requirements and Performance Standards, and to read as follows:
"Section 17-2. Customer service requirements and performance standards.
(a) A Franchisee shall maintain all parts of its Cable System in good condition and in
accordance with standards generally observed by the cable television industry. Sufficient
employees shall be retained to provide safe, adequate, and prompt service for all of its
Subscribers and facilities.
(b) Cable System Office. Unless this requirement is expressly waived or modified by a
Franchise Agreement, a Franchisee shall maintain a Subscriber service center located within the
Village, which shall include a place where Subscribers may pay their bills, pick up and return
converters or other equipment and initiate installations or other action with respect to Cable
Service. This service office shall be open during Normal Business Hours, as defined below,
which as of the effective date of this Ordinance, are from 8:00 a. m. to 5:30 p.m., Monday
through Friday, and 9:00 a. m. to 1:00 p.m. on Saturday.
(c) Telephone Availability. Franchisee shall maintain apublicly-listed local, toll-free
telephone number and employ a sufficient number of telephone lines, knowledgeable personnel
and answering equipment to allow reasonable access by Subscribers and members of the public
to contact the Franchisee on a full-time basis, twenty-four (24) hours per day, seven (7) days per
week including holidays. Knowledgeable, qualified Franchisee representatives will be available
to respond to Subscriber telephone inquiries. Franchisee shall comply with the telephone
answer time standards set forth in Subsection (d) below.
(d) Franchisee shall answer all Subscriber service and repair telephone calls made under
Normal Operating Conditions, as defined below, within thirty (30) seconds, including wait time
and within an additional thirty (30) seconds to transfer the call. Under Normal Operating
Conditions, Subscribers shall receive a busy signal less than three (3%) percent of the time.
These standards shall be met no less than ninety (90%) percent of the time under Normal
Operating Conditions, measured on a quarterly basis.
(e) Franchisee must meet each of the following standards no less than ninety-five
(95%) percent of the time under Normal Operating Conditions as measured on a quarterly basis:
(1) Standard installation work shall be performed within seven (7) business days after
an order has been placed except in those instances where a Subscriber specifically requests an
installation date beyond the seven (7) business day period. "Standard" installations are up to
one hundred and twenty-five (125) feet from the existing distribution System. If scheduled
installation is neither started nor completed as scheduled, the Subscriber will be telephoned by an
employee of the Franchisee the same day. If the call to the Subscriber is not answered, an
employee of the Franchisee shall telephone the Subscriber the next day;
(2) Excluding conditions beyond the control of the Franchisee, the Franchisee will
respond to service interruptions promptly and in no event later than twenty-four (24) hours after
the interruption becomes known. Other service problems will be responded to promptly and in
no event later than forty-eight (48) hours after the problem becomes known. All service
interruptions and service problems within the control of Franchisee will be corrected within
seventy-two (72) hours after receipt of a complaint;
-' (3) The appointment window alternatives made available for installations, service
calls, repairs, and other installation activities will be either a specific time, afour-hour time block
during Normal Business Hours, or at the election and discretion of the Subscriber, "all day;"
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(4) Franchisee may not cancel an appointment with a Subscriber after the close of
business on the business day prior to the scheduled appointment; and
(5) If, at any time, an installer or technician is running more than 30 minutes late for a
scheduled appointment, an attempt to contact the Subscriber will be made and the appointment
rescheduled as necessary at a time which is convenient for the Subscriber.
(f) The term "Normal Business Hours" shall mean those hours during which most similar
businesses in the community are open to serve Subscribers, which as of the effective date of this
Ordinance, are from 8:00 a. m. to 5:30 p.m., Monday through Friday, and 9:00 a.m. to 1:00 p.m.
on Saturday, or as otherwise defined by the FCC. In all cases, Normal Business Hours shall
include either some evening hours at least one night per week or some weekend hours. The term
"Normal Operating Conditions" means those service conditions which are within the control of
the Franchisee, or as otherwise defined by the FCC. Those conditions which are not within the
control of the Franchisee include, but are not limited to, natural disasters, civil disturbances,
power outages, telephone network outages and severe or unusual weather conditions. Those
conditions which are ordinarily within the control of the Franchisee shall include, but are not
limited to, special promotions, pay-per-view events, rate increase, regular peak or seasonal
demand periods, and routine maintenance or upgrade of the Cable System.
(g) Disconnection.
(1) Voluntary Disconnection.
a. A Subscriber may terminate service at any time.
b. A Franchisee shall promptly disconnect any Subscriber who so requests
from the Franchisee's Cable System. No period of notice prior to voluntary termination of
service may be required of Subscribers by any Franchisee. So long as the Subscriber returns
equipment to Franchisee's service center located in the Village or makes available to Franchisee
to pick up within three (3) business days of the disconnection, no charge may be imposed by any
Franchisee for such voluntary disconnection or for any Cable Services delivered after the date of
disconnection request.
c. A Subscriber may be asked, but not required, to disconnect the
Franchisee's equipment.
d. Any security deposit and/or other funds due the Subscriber shall be
refunded on disconnected accounts after the converter has been recovered by the Franchisee.
The refund process shall take a maximum of forty-five (45) days from the date disconnection
was requested to the date the Subscriber receives the refund.
(2) Involuntary Disconnection. If a Subscriber fails to pay a monthly Subscriber or
other fee or charge, the Franchisee may disconnect the Subscriber's service outlet; however, such
disconnection shall not be effected until forty-five (45) days after the date on which the
applicable monthly bill was sent to the Subscriber and advance written notice of intent to
disconnect to the Subscriber in question. The notice of delinquency and impending termination
may be part of a billing statement provided that the message is in bold or large type or other
similar manner designed to bring the information to the Subscriber's attention. If the Subscriber
pays within forty-five (45) days after the date on which the applicable monthly bill was sent and
after notice of disconnection has been given, the Franchisee shall not disconnect. After
disconnection, upon payment by the Subscriber in full of all proper fees or charges, including the
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payment of the reconnection charge, if any, the Franchisee shall promptly reinstate Cable
~" Service. Franchisee reserves the right to deny Cable Service to any Subscriber who has been
repeatedly disconnected for nonpayment of such services to the extent such rights are consistent
with applicable state and federal law.
(3) With respect to any disconnection, whether requested or involuntary, a Franchisee
shall comply with the rules and regulations of the FCC and applicable law regarding ownership,
sale, removal and abandonment of home wiring.
(h) Franchisee shall intentionally interrupt service only for good cause and for the shortest
time possible. Franchisee shall use its best efforts to insure that such interruptions shall occur
only during the hours of 1:00 a.m. to 6:00 a. m. Franchisee shall maintain a written log for all
intentional service interruptions.
(i) Franchisee shall notify the Village Manager or designee immediately if a service
interruption affects two hundred (200) or more Subscribers for a time period greater than
four (4) hours.
(j) Franchisee shall cause all its field employees to wear a picture identification badge
indicating their employment by Franchisee. This badge shall be clearly visible to the public.
(k) A Franchisee shall develop written procedures for the investigation and resolution of all
Subscriber or Village resident complaints that are received by the Village. Such procedures shall
be submitted to the Village Manager or designee. A Subscriber or Village resident who has not
been satisfied by following the Franchisee's procedures may file a written complaint with the
Village Manager or designee who will investigate the matter and in consultation with the
Franchisee, as appropriate, attempt to resolve the matter. A Franchisee's performance in
resolving Subscriber and resident complaints in a fair and equitable manner will be considered in
connection with the Franchisee's renewal application. Franchisee shall maintain a complete list
of all complaints received during the previous twelve (12) months from Subscribers that required
a service call and were not resolved within seven (7) days of receipt and the measures taken to
resolve them. This list shall be compiled on a quarterly basis and, if such unresolved complaints
exist, submitted to the Village upon request. In providing such information, Franchisee shall be
obligated to protect Subscriber privacy in accordance with federal law.
(1) Franchisee shall permit the Village Manager or designee to inspect and test the Cable
System's technical equipment and facilities upon reasonable notice which shall be not less than
seventy-two (72) hours except in the case of an emergency, as determined by the Village
Manager or designee.
(m) Franchisee shall abide by the following requirements governing communications with
Subscribers, bills and refunds:
(1) Each Franchisee shall provide to Subscribers written information in each of the
following areas at the time of installation, or at least once annually, and at any future time upon
request by the Subscriber:
a. How to use the Cable Service;
b. Installation and service maintenance policies;
c. The products and services offered;
d. Prices and service options;
e. Channel positions of programming carried on the Cable System;
f. The Franchisee's procedures for the receipt and resolution of Subscriber
complaints and the Franchisee's address and telephone number to which complaints may be
reported if not otherwise provided.
g. The telephone number and address of the Village's office designated to
handle cable television complaints and inquiries;
h. The availability of a "lock-out" device;
i. The Franchise's information collection and disclosure policies for the
protection of a Subscriber's privacy.
(2) In addition, each Franchisee shall provide written notice in its monthly billing, at
the request of the Village Manager, of any Village meeting regarding requests or applications by
the Franchisee for renewal, transfer or modification of its license. The Village Manager shall
make such a request in writing, with reasonable notice prior to the mailing of any billing by
Franchisee, such that Franchisee's regular billing cycle shall not be interrupted. To the extent
that any notice requested by the Village would exceed the messaging limitations of the
Franchisee's billing system and would thus cause the Franchisee to print and insert a separate
document into the bill, the Village may be requested to pay printing costs and incremental
postage expenses for such notice.
(3) Franchisee's bills will be clear, concise and understandable.
(4) Refund checks will be issued promptly, but no later than the earlier of forty-five
(45) days or the Subscriber's next billing cycle following the resolution of a refund request, or
the return of the equipment supplied by the Franchisee if Cable Service is terminated.
(5) Credits for service will be issued no later than the Subscriber's next billing cycle
following the determination that a credit is warranted.
(6) A Franchisee shall provide Subscribers, the Village Manager, and the Village
Council with at least thirty (30) days' advance written notice of any changes in rates, charges,
channel lineup, or initiations or discontinuations or changes of Cable Services offered over the
Cable System if such change is within the control of the Franchisee, and in accordance with FCC
regulations.
(n) A Franchisee shall, upon an affected Subscriber's request, provide apro-rated 24-hour
credit to the Subscriber's account for any period of four (4) hours or more within a 24-hour
period during which a Subscriber experienced an outage of service or substantial impairment of
service, whether due to a Cable System malfunction or other cause.
(o) Billing.
(1) The Franchisee's first billing statement after a new installation or service change
shall be pro-rated as appropriate and shall reflect any security deposit.
(2) The Franchisee's billing statement must be fully itemized, with itemizations
including, but not limited to, basic and premium service charges and equipment charges. Bills
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will also clearly delineate all activity during the billing period, including optional charges,
"' rebates and credits.
(3) The Franchisee's billing statement must show a specific payment due date. Any
balance not received by the due date may be assessed a late charge consistent with applicable
law. The late charge will appear on the following month's billing statement.
a. Franchisee shall provide reasonable notice to the Village and Subscribers
of the amount of any processing fees for late payments and the manner of imposing such fees.
Any late fee that may be imposed shall be in an amount and manner consistent with applicable
state and federal law. Late charges on unpaid bills shall not exceed Five Dollars ($5.00). Such
fee shall be deemed to represent the Franchisee's reasonable administrative costs, and in no
event shall exceed eighteen (18%) percent per annum on the unpaid balance or the maximum
amount of interest allowed by law. If a Subscriber disputes a bill on or before the due date, the
Franchisee shall waive a late fee during the period until a final resolution of the dispute is agreed
upon between the Franchisee and the Subscriber.
b. Subscribers shall not be charged a late fee or otherwise penalized for any
failure by the Franchisee, its employees, or contractors, including failure to timely or correctly
bill the Subscriber, or failure to properly credit the Subscriber for a payment timely made.
(4) The Franchisee must notify the Subscriber that he or she can remit payment in
person at the Franchisee's office in the Village and inform the Subscriber of the address of that
office.
(p) Alteration of Service. Except as incident to an upgrade or rebuild of the Cable System, a
Franchisee may not substantially alter the Cable Service being provided to a Subscriber
(including by re-tiering, restructuring a tier or otherwise) without the express affirmative
permission of such Subscriber, unless it complies with this subsection.
(1) If a Franchisee wishes to alter the Cable Service being provided to a Subscriber
(including by re-tiering, restructuring a tier or otherwise) in such a way that the Subscriber will
no longer be able to obtain the same package of Cable Services then the Franchisee must provide
the Subscriber with thirty (30) days' notice of such alteration, explain the substance and the full
effect of the alteration, and provide the Subscriber the right within the thirty (30) day period
following notice, to opt to receive any combination of Cable Services offered by the Franchisee.
(2) Except as provided herein or under applicable federal, state or local law, no
charge may be made for any Cable service or product which the Subscriber has not affirmatively
indicated, in a manner separate and apart from payment of the regular monthly bill that the
Subscriber wishes to receive.
(q) Franchisee shall certify in writing to the Village as of January 1st and July 1st of each
year, based upon internal due diligence by the Franchisee, that to the best of Franchisee's
knowledge it is in substantial compliance with the standards set forth herein, said certification to
be made as of a date within thirty (30) days of January 1st and July 1st. At the request of the
"- Village, for reasonable cause including but not limited to discrepancies between the reports
provided to the Village and the certification required herein, the Franchisee shall submit such
documentation, as may be required, to demonstrate Franchisee's compliance with this
Section 17-2. This documentation shall be submitted within thirty (30) days of the Franchisee's
'" receipt of the Village's request.
(r) Notwithstanding anything to the contrary, Franchisee shall not incorporate within any
bulk residential subscriber contract the term of the Franchise granted by the Village as the length
of the term of a bulk contract(s) Franchisee shall make available to all residential bulk
Subscribers the same level of service provided to Franchisee's residential Subscribers in the
Village, including, but not limited to, the requirements of Section 17-2 herein, unless the parties
to the bulk contract have expressly agreed otherwise in writing.
(s) Responsibility for the administration of this Ordinance and any Franchise granted
pursuant to this Ordinance, and for the resolution of all complaints against the Franchisee
regarding the quality of service, equipment malfunctions, and related matters, is hereby
delegated to the Village Manager or his designee, who is empowered, among other things, to
settle, or compromise any controversy arising from operations of the Cable System by
Franchisee, either on behalf of the Village or any Subscriber, in accordance with the best
interests of the public. In cases where requests for service have been ignored or in cases where
the service provided is alleged to be in non-compliance with this Ordinance or a Franchise
Agreement, the Village Manager or his designee shall have the power to require the Franchisee
to provide service consistent with the terms of the Franchise, if in the opinion of the Village
Manager or his designee such request for service is reasonable. Any person aggrieved by a
decision of the Village Manager, including the Franchisee, may appeal the matter to the Village
Council for hearing and determination. The Village Council may accept, reject or modify the
decision of the Village Manager. No adjustment, settlement, or compromise, whether instituted
by the Village Manager or by the Village Council, shall be contrary to the provisions of this
Ordinance or any Franchise issued pursuant to this Ordinance and neither the Village Manager
nor the Village Council, in the adjustment, settlement, or compromise of any controversy shall
have the right or authority to add to, modify or delete any provision of the Ordinance or of the
Franchise Agreement, or to interfere with any rights of Subscribers or any Franchisee under
applicable federal, or state law or private contract.
(t) The Village Manager or designee shall have the authority to assess fines for violations of
this Section 17-2 in accordance with the schedule set out below or as otherwise provided in a
Franchise Agreement. The fines listed are to be assessed on a per violation basis with each day
of a continuing violation constituting a separate violation, except for those customer service
standards set forth in Subsections (d) and (e) above which are measured on a quarterly basis.
With respect to such standards that are measured on a quarterly basis, the fines for such
violations shall be assessed on a quarterly basis as follows; $5,000 per quarter if the Franchisee
falls below such standards by 10% or less; $10,000 per quarter if the Franchisee falls below such
standards by 20% or less and $15,000 per quarter if the Franchisee falls below such standards by
25% or more. For example, if Franchisee has answered the telephone standards set forth in
Subsection (d) on a quarterly basis 75% of the time, instead of the 90% required herein, the
quarterly fine shall be $10,000. Prior to assessing any fines set forth in the schedule below, the
Village Manager or designee shall following the procedures set forth in Section 17-2 of this
Ordinance.
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SCHEDULE OF FINES
' Single Violation o£ Maximum Fines
(a) Section 17-2, (a) hereof. $ 500.00
(b) Section 17-2, (b) hereof. $ 500.00
(c) Section 17-2 (c) hereof. $ as detailed above
(d) Section 17-2 (d), hereof. $ as detailed above
(e) Section 17-2 (e)(1-5), hereof. $ as detailed above
(f) Section 17-2 (g)(1-3), hereof. $ 250.00
(g) Section 17-2 (h), hereof. $ 350.00
(h) Section 17-2 (i), hereof. $ 350.00
(I) Section 17-2 (j), hereof. $ 350.00
(j) Section 17-2 (k), hereof. $ 500.00
(k) Section 17-2(m)(1-5), hereof. $ 250.00
(1) Section 17-2 (m)(6), hereof. $ 500.00
(m) Section 17-2 (n), hereof. $ 250.00
(n) Section 17-2 (o), hereof. $ 250.00
(o) Section 17-2 (p), hereof. $ 250.00
(p) Section 17-2 (q), hereof. $ 250.00
(q) Section 17-2 (s), hereof. $ 250.00
(1) Prior to assessing a fine, the Village Manager or designee shall consider any
justification or mitigating factor advanced in Franchisee's written response, including, but not
limited to rebates or credits to the Subscriber, a cure or commencement of a cure of the violation,
and the payment of any penalty to Palm Beac h County for the same violation. The Village
Manager or designee may, after consideration o f the response of the Franchisee, waive or reduce
any proposed fine.
(2) Subsequent to the notice of proposed fine to Franchisee and consideration of the
Franchisee's response, if any, and after followin g the procedures set forth in Section 17-2 hereof,
the Village may issue an assessment of fine. Any fine will commence as of the date of the
written notice specifying the violation at issue. The fine shall be paid within thirty (30) days of
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written notice of assessment to the Franchisee. The Village may enforce payment of the refund
or fine in any court having jurisdiction or if Franchisee challenges the assessment in a court of
competent jurisdiction, within thirty (30) days of a final non-appealable decision that the
assessment is valid. This fine shall constitute liquidated damages to the Village for the violation
and the Village may enforce payment of the fine in any court having jurisdiction. It is the intent
of the Village to determine fines as a reasonable estimate of the damages suffered by the Village
and/or its Subscribers, whether actual or potential, and may include without limitation, increased
costs of administration, enforcement and other damages difficult to measure.
(3) Any Person who intentionally files a false complaint against a Franchisee shall be
subject to a fine, payable to the Village, in the amount of $50 for the first violation and $100 for
each subsequent violation.
(4) Intentional misrepresentation by a Franchisee in any response to a notice of
proposed refund and/or fine shall be grounds for revocation of the Franchise.
(5) In addition to complying with the customer service standards set forth in this
Ordinance or in any Franchise issued pursuant to this Ordinance, a Franchisee shall comply with
all customer service standards applicable to Cable Systems of the FCC and any other applicable
law governing the operations of the Cable System within the Village. If during the term of any
Franchise granted pursuant to this Ordinance, the FCC modifies the customer service standards
applicable to Franchisee, the Village may modify this Ordinance to reflect any such new
customer service standards.
(u) The Village expressly reserves the right to consider violations of the customer service
requirements in evaluating any renewal, modification or transfers of any Franchise Agreement.
(v) The Village and Franchisee recognize that the customer service standards set forth in this
Section 17-2 reflect the current operating procedures of Franchisee. If Franchisee's current
operating procedures change during the term of any Franchise granted pursuant to this
Ordinance, the Village agrees to meet with Franchisee to discuss appropriate modifications to
such standards and to consider such reasonable modifications to the standards set forth herein as
requested by a Franchisee to reflect any such new operating procedures. Upon request of the
Franchisee, the Village shall also discuss with Franchisee the need to continue such regulation in
light of the competition that Franchisee may face in the provision of Cable Services to
Subscribers and to consider such reasonable modifications to the customer service standards set
forth herein in light of the competitive environment. Notwithstanding anything to the contrary,
Franchisee shall be obligated to comply with this Section 17-2 unless modifications are agreed
upon by the Village and Franchisee in writing.
(w) Subscriber Privacy.
(1) A Franchisee shall at all times protect the privacy of all Subscribers to the full
extent required by Section 631 of the Communications Act, 47 U.S.C. § 551 and state law.
(2) Unless otherwise permitted by federal or state law, neither the Franchisee nor its
agents or employees shall, without the prior and specific written authorization of the Subscriber
involved, sell, or otherwise make available for commercial purposes the names, addresses or
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telephone numbers of any Subscriber or Subscribers, or any information which identifies the
'"' individual viewing habits of any Subscriber or Subscribers."
Section 3. Section 17-2, Home Occupations, of Article I of Chapter 17 of the Code of
Ordinances is hereby transferred to Section 17-3 of the Code.
Section 4. If any section, paragraph, sentence, clause, phrase or word of this Ordinance is for
any reason held by a Court to be unconstitutional, inoperative or void, such holding shall not
affect the remainder of this Ordinance.
Section 5. All Ordinances or parts of Ordinances in conflict herewith are hereby repealed.
Section 6. This Ordinance shall take effect immediately upon passage.
PLACED ON FIRST READING THIS 30th DAY OF AUGUST, 2005.
PLACED ON SECOND, FINAL READING AND PASSED THIS 22nd DAY OF
SEPTEMBER, 2005.
(Village Seal)
ATTE,"~T:
~---
VILLAGE CLERK
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