§ 22-23. Bond, security fund and remedies.

(a)

Bond. During the construction or substantial rebuild of a cable system, the grantee shall file with the village a performance bond in the amount of $50,000.00. The bond shall be released when the grantee certifies to the village that the construction or substantial rebuild is complete and the village accepts such certification as proven.

(b)

Security fund. At the time a franchise is accepted, the grantee shall file with the village and maintain through the term of the franchise a bond in the amount of $5,000.00 as a common security fund for the faithful performance by the grantee of all the provisions of the franchise. Provision shall be made to permit the village to withdraw funds from the security fund pursuant to subsection (c) of this section. The grantee shall not use the security fund for other purposes and shall not assign, pledge or otherwise use this security fund as security for any purpose. Within ten days after notice to it that any amount has been withdrawn by the village from the security fund pursuant to this section, the grantee shall replenish the bond to the required amount.

(c)

Failure to comply. Any violation by a grantee, its vendor, lessee or successor, of the provisions of a franchise or any material portion or portions thereof, or the failure promptly to perform any of the provisions thereof shall, after 30 days' written notice and opportunity to cure is given to the grantee, cause the grantee to be fined up to $100.00 a day from the security fund until proper correction is made. The village also reserves the right to forfeit the franchise and cancel all rights under this chapter. A grantee is not responsible for failure to provide adequate service when that failure is caused by acts of God, strikes, governmental or military action, or other conditions beyond its control, including the unavailability of material or parts.

(Ord. No. 96-4, § 22.16, 4-1-96)