ORDINANCE NO: 1990-67 "AN ORDINANCE GRANTING TO FIL PRODUCTS/ FIL VISION, INC. TO CONSTRUCT, INSTALL, AND OPERATE A COMMUNITY ANTENNA TELEVISION CABLE SYSTEM WITHIN THE TERRITORIAL JURISDICTION OF PAGADIAN CITY" BE IT ORDAINED BY THE SANGGUNIANG PANLUNGSOD OF PAGADIAN CITY THAT: ARTICLE I - An open franchise is hereby granted to Fil Vision Services Incorporated in Pagadian City, to construct, install, and operate a community antenna television cable system on the following terms and conditions, to wit: Section 1. - This open franchise shall be for a period of ten years, counted from the approval of this Ordinance with the option on the part of the grantee to renew the same, with the approval of the City Council for the same period of years at the option of both parties, PROVIDED, that in the event that the operation of the service would turn out to be financially unprofitable to the grantee and that there is satisfactory proof of its difficult financial position, then it may effect discontinuance of the service for at least three (3) months. Written Notice to the City Mayor, the Sangguniang Panlungsod, and the subscribers must be made. Furthermore, termination of services should be aired on the CATV system. Any cessation of service shall not release the grantee from whatever obligation arising from any contract or agreement it may have entered into with the subscribers. All legal proceedings must be made in Pagadian City. Section 2. - The grantee shall provide the following efficient/quality services and requirements: It shall furnish television signals from at least six (6) Greater Manila Channels, namely: Channel 2, 4, 7, 9, 13 and 6 and such other channels as may hereinafter be installed. The grantee obligates itself to obtain the consent of all such existing channels, whose signals are tapped, copy of which consent should be submitted to the City Council within one (1) month from approval hereof for form an integral part of this grant; PROVIDED, that the consent of such other channel that may hereafter be installed shall, likewise, be submitted to the same body within the same period of aforesaid upon demand by the City Council. Very high frequency (VHF) and Ultra-High Frequency (UHF) as well as Sub-Very High Frequency Channels for distribution by cables locally originated by local television channels or repeater television channels; Background music facilities commercial and industrial establishments; specially pay-by program channel for channels and other communications; facsimile reproduction and program facilities as may be feasible. Section 3. - The community antenna and the trunk cable from the community antenna to the City of Pagadian area, as shown in the plan of cable distribution which shall be filed within ten (10) months from said approval with the City Engineer shall be installed as operative within one (1) year from the approval of this franchise; Section 4. - The City of Pagadian shall collect from the grantee the service tax, the business tax, and such other taxes levied upon it under the Local Tax Code and City Ordinance and in addition thereto, another one-forth (?) of one (1%) percent of the gross collections to be paid quarterly to the City Treasurer; Section 5. - The right-of-way over all city property are hereby granted by the City of Pagadian to the grantee for the installation of the Fil Vision Services Incorporated Cables, including the right to attach to all City facilities; PROVIDED, FURTHERMORE, that they will not prejudice existing City services; Section 6. - The grantee is hereby granted the necessary authority and permit to construct an antenna tower of Two Hundred Fifty (250) feet high more or less, at the proposed antenna site; Section 7. - The City of Pagadian shall provide all other local constructions permits and/or other permit requirements for the construction and operation of the Fil Vision Services to the payment of the necessary fees as provided for under existing City Ordinances; PROVIDED, that nothing herein shall be construed as exemption of the grantee from compliance with building and related rules and regulations; Section 8. - The grantee is hereby authorized, to charge subscribers the following maximum rate, provided, however, that an increase of rates shall be subject to the prior approval of the City Council: a. For each subscriber's monthly subscription fee for one (1) TV set P100.00 For every additional TV set extension in the same subscriber's private residence for use by his family an additional monthly charge of P60.00 Installation Fee P1,000.00 Re-installation Fee P100.00 Section 9. - The grantee shall retain ownership of all constructions, installation of lines and other materials necessary for the business subject of the open franchise upon the expiration of the period thereof; PROVIDED, FURTHERMORE, that the first one hundred fifty (150) feet feeder line will be owned solely by the Fil Products grantee as company's property while in excess of such feeder line purchased by the subscriber for the installation of the system and can be resold to the company with a ten (10%) percent depreciation cost; and repair of such lines shall be chargeable against the company. Section 10. - In case of violation by the grantee of the terms, conditions, and/or requirements specifically provided herein the City shall the power to revoke or withdraw the franchise granted and shall have the right to impose a fine against the franchise holder in the amount of Five Hundred (P500.00) Pesos for every subscriber and shall be a lien on the property of the franchise holder. Section 11. - Agents of the grantee be provided with necessary identification for the protection of the people most especially subscribers; Section 12. - The grantee shall be required to put up three (3) Studio Transmitter Link Antenna (STL) in three (3) strategic areas namely: City Hall, Provincial Capitol Building and Shopping Center for public officers to disseminate information, and Section 13. - This Ordinance is subject to the existing laws, rules and regulations. Article II - This Ordinance shall take effect upon its approval. ENACTED AND APPROVED by the Sangguniang Panlungsod of Pagadian City during its 15th Regular Session held at the SP Session Hall.