164871 ORDINANCE NO. 16,487 531
2
3
4 AN ORDINANCE TO GRANT TO THE HOUSING
5 AUTHORITY OF THE CITY OF LITTLE
6 ROCK, ARKANSAS THE EXCLUSIVE
7 FRANCHISE, RIGHT AND PRIVILEGE TO
8 CONTROL, SUPERVISE AND OTHERWISE
9 EXERCISE JURISDICTION OVER THE
10 STREETS, ALLEYS, PUBLIC WAYS AND
11 PUBLIC PLACES NOW LAID OUT OR
12 DEDICATED, AND ALL EXTENSIONS
13 THEREOF, AND ADDITIONS THERETO,
14 LYING WITHIN PROJECTS AND PROPERTIES
15 OWNED AND OPERATED BY THE HOUSING
16 AUTHORITY OF THE CITY OF LITTLE
17 ROCK, ARKANSAS; FOR AN EMERGENCY
18 AND FOR OTHER PURPOSES.
19
20 WHEREAS, the City of Little Rock owns all rights -of -way
21 which traverse the properties owned and maintained by the Little
22 Rock Housing Authority; and
23 WHEREAS, in recent years, the City rights -of -way are at
24 times a gathering place for loitering and drug dealing.
25 WHEREAS, the legal status of the City rights -of -way have
26 made it difficult for the Little Rock Housing Authority to
27 exercise jurisdiction over the City rights -of -way within the
28 Housing Authority projects; and
29 WHEREAS, it is imperative that the Housing Authority gain
30 legal jurisdiction of said rights -of -way in order to maintain
31 effective control over the operation and maintenance of its
32 property; and
33 NOW, THEREFORE, BE IT ORDAINED BY THE BOARD OF DIRECTORS OF
34 THE CITY OF LITTLE ROCK:
35 SECTION 1. That the exclusive franchise, right and
36 privilege is hereby granted to the Housing Authority of the City
OV7
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1 of Little Rock, Arkansas to control, supervise and otherwise
2 exercise jurisdiction over the streets, alleys, public ways and
3 public places now laid out or dedicated, and all extensions
4 thereof, and additions thereto lying within projects and
5 properties owned and operated by the Housing Authority of the
6 City of Little Rock, Arkansas. Said projects and properties are
7 described in a Dedication Deed filed November 19, 1929, Pulaski
8 Country Instrument No. 29 -55006 and Plat Book A -336 to A -343 in
9 the office of the Circuit Clerk of Pulaski County, Arkansas and
10 adopted by this ordinance.
11 Upon the condition that within sixty days after the date of
12 the passage of this ordinance, the grantee shall file with the
13 City Clerk its unconditional acceptance of this franchise and
14 promise to comply with and abide by its provisions, terms and
15 conditions. Such acceptance and promise shall be in writing duly
16 executed and sworn to, by or on behalf of the grantee before a
17 notary public or other officer authorized by law to administer
18 oaths, provided, however, that should the grantee fail to
19 provide with the latter prescribed filing of acceptance, the
20 grantee shall acquire no rights, privileges, or authority under
21 this exclusive franchises, whatever; further, the grantee shall
22 enter into a contract with the City in substantially the
23 following form:
24 This contract, made this day of 1993,
25 by and between the City of Little Rock, a municipal corporation
26 of the State of Arkansas, hereinafter referred to as "City", and
27 the Housing Authority of the City of Little Rock, Arkansas,
28 hereinafter referred to as "grantee ";
29 WITNESSETH
That for and in consideration of the mutual undertaking of
30
31 the parties to this contract, the City and the grantee hereby
32 covenant and agree each with the other as follows:
33 1• Purpose. The purpose of this ordinance is to provide for
34 the grantee an exclusive franchise to control the City
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rights -of -way that traverse on and through properties which are
2
owned and operated by the grantee.
3
2. Definitions.
4
A. City Manager means the City Manager of Little
Rock or its duly authorized representative.
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B. City means the City of Little Rock;
C. Board means the Board of Directors of the City
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of Little Rock;
D. Franchise means and includes any authorization
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granted hereunder in terms of a franchise,
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privilege, permit, license or otherwise to
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obtain the exclusive jurisdiction over City
12
rights -of -way described herein.
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E. Grantee means the person, firm or corporation to
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whom or to which a franchise is granted by the
15
Board under this ordinance, or anyone who
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succeeds said person, firm or corporation in
17
accordance with the provisions of this
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franchise.
19
F. Streets means the surface space of streets,
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avenues, highways, boulevards, bridges, tunnels,
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alleys, public places, and any other
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rights -of -way and easements within or belonging
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to the City, and which lie within or adjacent to
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properties owned and operated by the grantee,
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and as further described herein.
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3. Franchise required; duration; exclusivity.
2 7
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A. The City shall require an exclusive franchise
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for the jurisdiction of the streets so described
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herein for the operation and control by the
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grantee. No such rights shall be allowed without
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a franchise.
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B. The franchise shall be granted for a term of 15
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years; thereafter the franchise may be renewed
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[3)
33 promote the safety of the public using the
34 streets, alleys and other public places by the
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for terms of 10 years as provided in section 10
2 h
hereof.
3 C
C. T
The franchise, rights and privileges herein
4 g
granted are exclusive.
5 4
4. Use o
of the streets.
6 A
A. T
The grantee shall have the right to exercise
7 c
control over access to and use of the streets of
8 t
the City, as described herein, as if the grantee
9 w
was the owner in fee simple of all such streets.
10 B
B. N
Nothing in this section shall be construed to
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relieve the grantee from its obligation to pay
12 a
any fees or rents for its use of the streets and
facilities of the City, utility companies, or
13 f
14 o
other legal entities.
C. T
The grantees shall not erect or install, move,
15 C
alter, or change the location of any pole,
16 a
tower, wire, conduit, subway, line, manhole,
17 t
cable or equipment in any street, alley or other
18 c
public place of the City or dig, cut or disturb
19 p
any street, alley or other public place of the
20 a
City unless prior written notice of its
21 C
intention to do so is given to such department
22 i
or agency of the City as shall have been or may
23 o
be designated by the City Manager, or the Board
24 b
of the City and permission in writing to do so
25 o
is granted by such department or agency or such
26 i
requirement is waived by such department or
27 r
agency. Such permission shall be conditioned
28 a
upon compliance with the terms, conditions,
29 u
provisions and limitations of this franchise and
30 p
with such other terms, provisions, conditions
31 w
and limitations as will preserve, protect and
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534
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City or by any other public utility or public
2
service corporation for their respective
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purposes and functions. Such permission shall
4
also be conditioned upon such terms, conditions,
5
provisions and limitations as will preserve,
6
protect and promote the health, safety and
7
general welfare of the City, and its citizens
8
subject to the lawful exercise of the police
9
power.
D. In the event the relocation, construction,
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11
reconstruction, maintenance or repair by the
12
City of any of its streets, facilities or
13
services now or hereafter acquired and subject
to this franchise, and including, but not
14
limited to, any street, alley or other public
15
16
place, sewer, electric, water, fire alarm,
emergency communication or any part thereof, or
17
in the event access to any street, alley or
18
other public place to or from any property of
19
the City is required, and it is necessary to
20
move, alter or relocate, either permanently or
21
temporarily, any of the grantee's property or
22
equipment or any part thereof in the public
23
right -of -way in order for the City to relocate,
24
construct, reconstruct, maintain or repair any
25
such facility, service, street, alley or other
26
public place or in any such sewer or electric,
27
water, fire alarm, police communication or any
28
part thereof, or to obtain access to or from
29
such property, upon notice from the City, the
30
grantee will move, alter or relocate such
31
property or equipment, at its own costs and
32
expense; and should the grantee fail, refuse or
33
neglect to comply with such notice, such
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1 property or equipment or part thereof may be
2 removed, altered or relocated by the City at the
3 cost of the grantee and the City shall not be
4 liable to the grantee for damages resulting from
5 such removal, alteration or relocation.
6 E. It is the intent of Grantee and the City that no
7 barriers will be erected that will endanger the
8 health, safety and general welfare of the
9 inhabitants of the projects.
10 S. Franchise fee. The grantee shall pay to the City in
11 consideration for the granting of the exclusive franchise to
12 use and control the public ways subject to the franchise, an
13 annual payment in lieu of taxes (PILOT).
14 The City shall use the franchise fee payments to assist
15 in funding the maintenance of the rights -of -way, the
16 responsibility for which has been retained herein by the
17 City.
18 6. Liability for damages.
19 A. The grantee shall pay and, by its acceptance of
20 this franchise, the grantee specifically agrees
21 that it will pay all damages and penalties which
22 the City may legally be required to pay as a
23 result of granting this exclusive franchise.
24 B. The grantee shall pay and, by its acceptance of
25 this franchise, the grantee specifically agrees
26 that it will pay all expenses incurred by the
27 City in defending itself with regard to all
28 damages and penalties mentioned in paragraph A
29 above. These expenses shall include all out of
30 pocket expenses, such as attorneys fees, and
31 shall also include the reasonable value of any
32 services rendered by the City Attorney or his
33 assistants or any City employee.
34 C. The grantee shall file with the City Clerk the
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insurance policies required by this section and
evidence of payment of required premiums on or
before the time of the execution of the
franchise agreement and thereafter maintained in
full force for the full time of the franchise
and in effect at all times, at the expense of
the grantee, a comprehensive liability insurance
policy with the City of Little Rock named as an
insured, written by a company authorized to do
business in the State of Arkansas, in a form
approved by the City Attorney, protecting the
City against liability for loss, for personal
injury and property damaged occasioned by the
right conferred to the grantee, by this
franchise, in the following minimum amounts:
1. $250,000 for property damage to any one
person;
2. $500,000 for property damage in any
one accident;
3. $500,000 for any personal injuries to any
one person;
4. $1,000,000 for personal injuries in any one
accident;
5. $1,000,000 for all other types of liability.
Transfer of franchise:
A. The exclusive franchise granted under this
ordinance shall be a privilege to be held in
personal trust by the grantee. It shall not be
assigned, transferred, sold or disposed of, in
whole or in part, by voluntary sale, merger,
consolidation or otherwise or by forced or
involuntary sale, without prior consent of the
Board expressed by ordinance and then on only
such conditions as may therein be prescribed.
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1 The City is hereby empowered to take legal or
2 equitable action to set aside, annul, revoke or
3 cancel the franchise, or the transfer of the
4 franchise, if said transfer is not made
5 according to the procedures set forth in this
6 ordinance.
7 B. Any sale, transfer or assignment shall be made
8 by a Bill of Sale or similar document, an
9 executed copy of which shall be filed with the
10 City Manager within 30 days after such sale,
11 transfer or assignment. The Board shall not
12 withhold its consent unreasonably, provided,
13 however, the proposed assignee agrees to comply
14 with all the provisions of this ordinance and
15 the franchise and must be able to provide proof
16 of financial responsibility as determined by the
17 Board.
18 C. The consent of the Board to any sale, transfer,
19 lease, trust, mortgage or other instrument of
20 hypothecation shall not constitute a waiver or
21 release of any of the rights of the City under
22 this ordinance and the franchise.
23 8. Foreclosure. Upon the foreclosure or other judicial
24 sale of all or a substantial part of the grantee's projects
25 or upon the termination of any lease covering all or a
26 substantial part of the grantee's projects, the grantee shall
27 notify the City Manager of such fact, and such notification
28 shall be treated as a notification that a change in control
29 of the grantee has taken place, and the provisions of Section
30 7 hereof, governing the consent of the City to such change
31 and control of the grantee shall apply.
32 9. Receivership_ The City shall have the right to cancel
33 this franchise 120 days after the appointment of a receiver,
34 or trustee, to take over and conduct business of the grantee,
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36 18)
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1 whether in receivership, reorganization, bankruptcy, or other
2 action or proceeding, unless such receivership or trusteeship
3 shall have been vacated prior to the expiration of said 120
4 days, or unless:
5 A. Within 120 days after his election or
6 appointment, such receiver or trustee shall have
7 fully complied with all the provisions of this
8 ordinance and remedied all defaults
9 thereunder; and
10 B. Said receiver or trustee, within said 120 days
11 shall have executed an agreement, consented to
12 by the Board and duly approved by the court
13 having jurisdiction of the premises, whereby
14 such receiver or trustee assumes and agrees to
15 be bound by each and every provision of this
16 ordinance and the franchise granted to the
17 original grantee.
18 10. Review and renewal:
19 A. The Board shall not hold any meeting involving
20 the review, renewal, cancellation or expiration
21 of the grantee's franchise unless the City
22 Manager has (1) advised the grantee in writing,
23 at least 30 days prior to such meeting, and as
24 to its time, place and purpose, and (2)
25 published a notice, at least once, 10 days
26 before the meeting, in a newspaper of general
27 circulation within the City.
28 B. It shall be the policy of the City to amend this
29 franchise upon application of the grantee, when
30 necessary in order to carry out the intent of
31 this franchise; provided, however, that this
section shall not be construed to require the
32
33 City to make any amendment.
34 11. Cancellation and expiration.
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A. The City shall have the right to cancel the
2
franchise if the grantee fails to comply with
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any material or substantial provision of this
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ordinance, or amendments thereto, or of the
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grant of the franchise or any reasonable order,
6
direction or permit issued by any City
7
department or agency pursuant to such material
8
and substantial provision, or any rule or
9
regulation promulgated by the City which is
reasonable in light of, and consistent with, any
10
11
provision of this ordinance or the franchise, or
if the grantee persistently fails to comply with
12
13
any provision of either, or any reasonable
order, direction or permit. Cancellation shall
14
be by ordinance of the Board duly passed in
15
accordance with the following procedures:
16
1. The City Manager shall notify the grantee of
17
the alleged failure or persistent failure of
18
compliance and give the grantee a reasonable
19
opportunity to correct such failure or
20
persistent failure or to present facts and
21
argument and refutation of the alleged failure
22
or persistent failure.
23
2. If the City Manager then concludes that there
24
is a basis for cancellation of the franchise
25
pursuant to paragraph "A" of this section, he
26
shall notify the grantee thereof.
27
3. If within reasonable time the grantee does
28
not remedy or put an end to the alleged failure
29
or persistent failure, the Board, after a public
30
hearing on notice, may cancel the franchise if
31
it determines that such action is warranted
32
under paragraph "A" of this section.
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C. Grantee shall not be declared in default or be
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1 subjected to any sanction under any provision of
2 this ordinance or the franchise in any case in
3 which the performance of any such provision is
4 prevented for reasons beyond its control.,
5 D. If all or part of the streets within the City
6 that are the subject of this franchise are
7 closed or discontinued as provided by statute,
8 then the franchise, and all rights and
9 privileges hereunder with respect to said
10 streets or any part thereof so closed or
11 discontinued, shall cease and terminate upon the
12 date of the passage of the ordinance closing and
13 discontinuing such streets and the grantee shall
14 not be entitled to damages from the City due to
15 the closing or discontinuance of such street.
16 13. Appeals. In the event the grantee questions the
17 reasonableness of any order, requirement, decision or other
18 action taken by the City Manager or shall be of the opinion
19 that the City Manager lacks authority to take such action,
20 the grantee shall be allowed to appeal the order,
21 requirement, decision or other action to the Board of
22 Directors. The notice of objection and request for an appeal
23 shall be made in writing to the City Clerk within two weeks
24 of the objectionable order, requirement, decision or other
25 action.
26 14. Sundry provisions.
27 A. Every direction, notice or order to be served
28 upon the grantee shall be delivered or sent by
29 registered mail to its office at 1000 Wolfe
30 Street, Little Rock, Arkansas 72202. Every
31 notice served upon the City shall be delivered
32 or sent by registered mail to the City Manager,
500 W. Markham Street, City Hall, Little Rock,
33
34 Arkansas 72201.
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542
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B.
All provisions of this ordinance shall apply to
2
the grantee, its successors and assigns, as such
3
may be approved by the Board, in accordance with
4
the ordinance.
5
C.
The rights granted by this ordinance are subject
6
to all franchises and permits heretofore or
7
hereafter granted by the Board to use the
8
streets of the City by other public utility or
9
public service corporations. It is not intended
by the grant of this franchise to abridge the
10
11
exercise of the police power heretofore or
12
hereafter granted to the City by the laws of the
13
State of Arkansas. The grant of this franchise
is subject to all ordinances and resolutions of
14
15
the Board of Directors of the City of Little
16
Rock as the same now exists or may be hereafter
amended, revised or codified, and the lawful
17
18
exercise of any other power granted to the City
19
by the laws of this state.
D.
The specific mention of the materiality of any
20
of the provisions herein is not intended to be
21
exclusive of any others for the purpose of
22
determining whether any failure of compliance
23
hereunder is material and substantial.
24
E.
If any particular section of this ordinance or
25
the particular application thereof, shall be
26
held invalid, the remaining provisions, and
27
their application, shall not be affected
28
thereby.
29
F.
The grantee shall assume the cost of publication
30
of this ordinance and franchise as such
31
publication as required by law and such is
32
payable upon the grantee's filing of acceptance.
33
G.
Whenever this ordinance or the franchise sets
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• 543
forth any time for any act to be performed by or
on behalf of the grantee, such time shall be
deemed of the essence and the grantee's failure
to perform within the time allotted shall, in
all cases, be sufficient grounds for the City to
invoke the remedies available under the terms
and conditions of this ordinance and the
franchise.
IN FATNESS WHEREOF hereunto by its City Manager and its
corporate seal to be hereto affixed and attested by its City
Clerk and the grantee has caused its name to be subscribed
hereunto by its chairman as of the day and year first above
written.
SECTION 2. Emergency clause. The need for the Housing
Authority of the City of Little Rock to operate and control
rights -of -ways contained within their projects and thereby
maintain effective control over the operation and maintenance
of its property is important to preserve the public health,
safety and welfare. An.emergency is therefore declared to
exist and this ordinance shall be in full force and effect
from and after the date of its execution.
PASSED: September 7 , 1993
ATTEST:
[CI;KRR Robbie Hancock
6 t ,
/ MR M _I l
[13]
APPROVED: `
IMAYWI Jim Dailey
ll
(See Ordinance #16,487)
FRANCHISE AGREEMENT
This contract, made this 9th day of September , 1993,
by and between the City of Little Rock, a municipal corporation
of the State of Arkansas, hereinafter referred to as "City ", and
the Housing Authority of the City of Little Rock, Arkansas,
hereinafter referred to as "grantee ";
WITNESSETH
That for and in consideration of the mutual undertaking of
the parties to this contract, the City and the grantee hereby
covenant and agree each with the other as follows:
1. Purpose. The purpose of this ordinance is to provide for
the grantee an exclusive franchise to control the City
rights -of -way that traverse on and through properties which are
owned and operated by the grantee.
2. Definitions.
A. City Manager means the City Manager of Little
Rock or its duly authorized representative.
B. City means the City of Little Rock;
C. Board means the Board of Directors of the City
of Little Rock;
D. Franchise means and includes any authorization
granted hereunder in terms of a franchise,
privilege, permit, license or otherwise to
obtain the exclusive jurisdiction over City
rights -of -way described herein.
E. Grantee means the person, firm or corporation to
whom or to which a franchise is granted by the
Board under this ordinance, or anyone who
succeeds said person, firm or corporation in
.1
M
4.
accordance
franchise.
with the provisions of this
F. Streets means the surface space of streets,
avenues, highways, boulevards, bridges, tunnels,
alleys, public places, and any other
rights -of -way and easements within or belonging
to the City, and which lie within or adjacent to
properties owned and operated by the grantee,
and as further described herein.
Franchise required; duration; exclusivity.
A. The City shall require an exclusive franchise
for the jurisdiction of the streets so described
herein for the operation and control by the
grantee. No such rights shall be allowed without
a franchise.
B. The franchise shall be granted for a term of 15
years; thereafter the franchise may be renewed
for terms of 10 years as provided in Section 10
hereof.
C. The franchise, rights and privileges herein
granted are exclusive.
Use of the streets.
A. The grantee shall have the right to exercise
control over access to and use of the streets of
the City, as described herein, as if the grantee
was the owner in fee simple of all such streets.
B. Nothing in this section shall be construed to
relieve the grantee from its obligation to pay
any fees or rents for its use of the streets and
[ 2 ]
facilities of the City, utility companies, or
other legal entities.
C. The grantees shall not erect or install, move,
alter, or change the location of any pole,
tower, wire, conduit, subway, line, manhole,
cable or equipment in any street, alley or other
public place of the City or dig, cut or disturb
any street, alley or other public place of the
City unless prior written notice of its
intention to do so is given to such department
or agency of the City as shall have been or may
be designated by the City Manager, or the Board
of the City and permission in writing to do so
is granted by such department or agency or such
requirement is waived by such department or
agency. Such permission shall be conditioned
upon compliance with the terms, conditions,
provisions and limitations of this franchise and
with such other terms, provisions, conditions
and limitations as will preserve, protect and
promote the safety of the public using the
streets, alleys and other public places by the
City or by any other public utility or public
service corporation for their respective
purposes and functions. Such permission shall
also be conditioned upon such terms, conditions,
provisions and limitations as will preserve,
protect and promote the health, safety and
general welfare of the City, and its citizens
[ 3 ]
'C
subject to the lawful exercise of the police
power.
D. In the event the relocation, construction,
reconstruction, maintenance or repair by the
City of any of its streets, facilities or
services now or hereafter acquired and subject
to this franchise, and including, but not
limited to, any street, alley or other public
place, sewer, electric, water, fire alarm,
emergency communication or any part thereof, or
in the event access to any street, alley or
other public place to or from any property of
the City is required, and it is necessary to
move, alter or relocate, either permanently or
temporarily, any of the grantee's property or
equipment or any part thereof in the public
right -of -way in order for the City to relocate,
construct, reconstruct, maintain or repair any
such facility, service, street, alley or other
public place or in any such sewer or electric,
water, fire alarm, police communication or any
part thereof, or to obtain access to or from
such property, upon notice from the City, the
grantee will move, alter or relocate such
property or equipment, at its own costs and
expense; and should the grantee fail, refuse or
neglect to comply with such notice, such
property or equipment or part thereof may be
removed, altered or relocated by the City at the
[ 4 ]
cost of the grantee and the City shall not be
liable to the grantee for damages resulting from
such removal, alteration or relocation.
E. It is the intent of Grantee and the City that no
barriers will be erected that will endanger the
health, safety and general welfare of the
inhabitants of the projects.
5. Franchise fee. The grantee shall pay to the City in
consideration for the granting of the exclusive franchise to
use and control the public ways subject to the franchise, an
annual payment in lieu of taxes (PILOT).
The City shall use the franchise fee payments to assist
in funding the maintenance of the rights -of -way, the
responsibility for which has been retained herein by the
City.
6. Liability for damages.
A. The grantee shall pay and, by its acceptance of
this franchise, the grantee specifically agrees
that it will pay all damages and penalties which
the City may legally be required to pay as a
result of granting this exclusive franchise.
B. The grantee shall pay and, by its acceptance of
this franchise, the grantee specifically agrees
that it will pay all expenses incurred by the
City in defending itself with regard to all
damages and penalties mentioned in paragraph A
above. These expenses shall include all out of
pocket expenses, such as attorneys fees, and
shall also include the reasonable value of any
[5]
7.
services rendered by the City Attorney or his
assistants or any City employee.
C. The grantee shall file with the City Clerk the
insurance policies required by this section and
evidence of payment of required premiums on or
before the time of the execution of the
franchise agreement and thereafter maintained in
full force for the full time of the franchise
and in effect at all times, at the expense of
the grantee, a comprehensive liability insurance
policy with the City of Little Rock named as an
insured, written by a company authorized to do
business in the State of Arkansas, in a form
approved by the City Attorney, protecting the
City against liability for loss, for personal
injury and property damaged occasioned by the
right conferred to the grantee, by this
franchise, in the following minimum amounts:
1. $250,000 for property damage to any one
person;
2. $500,000 for property damage in any
one accident;
3. $500,000 for any personal injuries to any
one person;
4. $1,000,000 for personal injuries in any one
accident;
5. $1,000,000 for all other types of liability.
Transfer of franchise:
A. The exclusive franchise granted under this
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ordinance shall be a privilege to be held in
personal trust by the grantee. It shall not be
assigned, transferred, sold or disposed of, in
whole or in part, by voluntary sale, merger,
consolidation or otherwise or by forced or
involuntary sale, without prior consent of the
Board expressed by ordinance and then on only
such conditions as may therein be prescribed.
The City is hereby empowered to take legal or
equitable action to set aside, annul, revoke or
cancel the franchise, or the transfer of the
franchise, if said transfer is not made
according to the procedures set forth in this
ordinance.
B. Any sale, transfer or assignment shall be made
by a Bill of Sale or similar document, an
executed copy of which shall be filed with the
City Manager within 30 days after such sale,
transfer or assignment. The Board shall not
withhold its consent unreasonably, provided,
however, the proposed assignee agrees to comply
with all the provisions of this ordinance and
the franchise and must be able to provide proof
of financial responsibility as determined by the
Board.
C. The consent of the Board to any sale, transfer,
lease, trust, mortgage or other instrument of
hypothecation shall not constitute a waiver or
release of any of the rights of the City under
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this ordinance and the franchise.
8. Foreclosure. Upon the foreclosure or other judicial
sale of all or a substantial part of the grantee's projects
or upon the termination of any lease covering all or a
substantial part of the grantee's projects, the grantee shall
notify the City Manager of such fact, and such notification
shall be treated as a notification that a change in control
of the grantee has taken place, and the provisions of Section
7 hereof, governing the consent of the City to such change
and control of the grantee shall apply.
9. Receivership. The City shall have the right to cancel
this franchise 120 days after the appointment of a receiver,
or trustee, to take over and conduct business of the grantee,
whether in receivership, reorganization, bankruptcy, or other
action or proceeding, unless such receivership or trusteeship
shall have been vacated prior to the expiration of said 120
days, or unless:
A. Within 120 days after his election or
appointment, such receiver or trustee shall have
fully complied with all the provisions of this
ordinance and remedied all defaults
thereunder; and
B. Said receiver or trustee, within said 120 days
shall have executed an agreement, consented to
by the Board and duly approved by the court
having jurisdiction of the premises, whereby
such receiver or trustee assumes and agrees to
be bound by each and every provision of this
ordinance and the franchise granted to the
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original grantee.
10. Review and renewal:
A. The Board shall not hold any meeting involving
the review, renewal, cancellation or expiration
of the grantee's franchise unless the City
Manager has (1) advised the grantee in writing,
at least 30 days prior to such meeting, and as
to its time, place and purpose, and (2)
published a notice, at least once, 10 days
before the meeting, in a newspaper of general
circulation within the City.
B. It shall be the policy of the City to amend this
franchise upon application of the grantee, when
necessary in order to carry out the intent of
this franchise; provided, however, that this
section shall not be construed to require the
City to make any amendment.
11. Cancellation and expiration.
A. The City shall have the right to cancel the
franchise if the grantee fails to comply with
any material or substantial provision of this
ordinance, or amendments thereto, or of the
grant of the franchise or any reasonable order,
direction or permit issued by any City
department or agency pursuant to such material
and substantial provision, or any rule or
regulation promulgated by the City which is
reasonable in light of, and consistent with, any
provision of this ordinance or the franchise, or
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C.
if the grantee persistently fails to comply with
any provision of either, or any reasonable
order, direction or permit. Cancellation shall
be by ordinance of the Board duly passed in
accordance with the following procedures:
1. The City Manager shall notify the grantee of
the alleged failure or persistent failure of
compliance and give the grantee a reasonable
opportunity to correct such failure or
persistent failure or to present facts and
argument and refutation of the alleged failure
or persistent failure.
2. If the City Manager then concludes that there
is a basis for cancellation of the franchise
pursuant to paragraph "A" of this section, he
shall notify the grantee thereof.
3. If within reasonable time the grantee does
not remedy or put an end to the alleged failure
or persistent failure, the Board, after a public
hearing on notice, may cancel the franchise if
it determines that such action is warranted
under paragraph "A" of this section.
Grantee shall not be declared in default or be
subjected to any sanction under any provision of
this ordinance or the franchise in any case in
which the performance of any such provision is
prevented for reasons beyond its control.
If all or part of the streets within the City
that are the subject of this franchise are
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closed or discontinued as provided by statute,
then the franchise, and all rights and
privileges hereunder with respect to said
streets or any part thereof so closed or
discontinued, shall cease and terminate upon the
date of the passage of the ordinance closing and
discontinuing such streets and the grantee shall
not be entitled to damages from the City due to
the closing or discontinuance of such street.
13. Appeals. In the event the grantee questions the
reasonableness of any order, requirement, decision or other
action taken by the City Manager or shall be of the opinion
that the City Manager lacks authority to take such action,
the grantee shall be allowed to appeal the order,
requirement, decision or other action to the Board of
Directors. The notice of objection and request for an appeal
shall be made in writing to the City Clerk within two weeks
of the objectionable order, requirement, decision or other
action.
14. Sundry provisions.
A. Every direction, notice or order to be served
upon the grantee shall be delivered or sent by
registered mail to its office at 1000 Wolfe
Street, Little Rock, Arkansas 72202. Every
notice served upon the City shall be delivered
or sent by registered mail to the City Manager,
500 W. Markham Street, City Hall, Little Rock,
Arkansas 72201.
B. All provisions of this ordinance shall apply to
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the grantee, its successors and assigns, as such
may be approved by the Board, in accordance with
the ordinance.
C. The rights granted by this ordinance are subject
to all franchises and permits heretofore or
hereafter granted by the Board to use the
streets of the City by other public utility or
public service corporations. It is not intended
by the grant of this franchise to abridge the
exercise of the police power heretofore or
hereafter granted to the City by the laws of the
State of Arkansas. The grant of this franchise
is subject to all ordinances and resolutions of
the Board of Directors of the City of Little
Rock as the same now exists or may be hereafter
amended, revised or codified, and the lawful
exercise of any other power granted to the City
by the laws of this state.
D. The specific mention of the materiality of any
of the provisions herein is not intended to be
exclusive of any others for the purpose of
determining whether any failure of compliance
hereunder is material and substantial.
E. If any particular section of this ordinance or
the particular application thereof, shall be
held invalid, the remaining provisions, and
their application, shall not be affected
thereby.
F. The grantee shall assume the cost of publication
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of this ordinance and franchise as such
publication as required by law and such is
payable upon the grantee's filing of acceptance.
G. Whenever this ordinance or the franchise sets
forth any time for any act to be performed by or
on behalf of the grantee, such time shall be
deemed of the essence and the grantee's failure
to perform within the time allotted shall, in
all cases, be sufficient grounds for the City to
invoke the remedies available under the terms
and conditions of this ordinance and the
franchise.
ATTEST
�4-7-
Secre a
ATTEST:
aCitoy-4 er �
LITTLE ROCK HOURSING
AUTHORITY BOARD
ChairMan
CITY OF LITTLE ROCK, AFKANSAS
By: %� 9
Mayo
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