<div class="chunk-title">Sec. 23-101. - Performance bond and letter of credit.</div>
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               (a)
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               <span class="ital">Performance bond.</span> Upon the effective date of the franchise, the grantee shall obtain and maintain during
               the entire term of the franchise and any extensions and renewals thereof, at its cost
               and expense, and file with the county, a corporate surety bond in an amount specified
               in the franchise to guarantee the faithful performance of the grantee of all its obligations
               provided under this article and the franchise. Failure to timely obtain, file and
               maintain said bond shall constitute a substantial violation within the meaning of
               this section.
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               (b)
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               <span class="ital">Conditions.</span> The performance bond shall provide the following conditions:
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               (1)
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               There shall be recoverable by the county jointly and severally from the principal
               and surety, any and all fines, civil penalties, or liquidated damages due to the county
               or state and any and all damages, losses, costs, and expenses suffered or incurred
               by the county resulting from the failure of the grantee to: faithfully comply with
               the provisions of this article and the franchise; comply with all orders, permits
               and directives of any county agency or body having jurisdiction over its acts or defaults
               under the franchise or generally applicable state or local law; pay fees due to the
               county; pay any claims, liens or taxes due the county which arise by reason of the
               construction, operation, maintenance ore repair of the cable system. Such losses,
               costs and expenses shall include but not be limited to reasonable attorney's fees
               and other associated expenses.
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               (2)
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               The total amount of the bond shall be forfeited in favor of the county in the event:
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               a.
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               The grantee abandons the cable system at any time during the term of the franchise
               or any extension thereto; or
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               b.
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               The grantee assigns the franchise without the express written consent of the county.
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               (c)
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               <span class="ital">Reduction of bond.</span> Upon written application by the grantee, the county may, at its sole option, permit
               the amount of the bond to be reduced or waive the requirements for a performance bond
               subject to the conditions set forth below. Reductions granted or denied upon application
               by the grantee shall be without prejudice to the grantee's subsequent applications
               or to the county's right to require the full bond at any time thereafter. However,
               no application shall be made by the grantee within one year of any prior application.
               </p>
            		
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               (d)
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               <span class="ital">Letter of credit.</span> In addition to the performance bond required pursuant to subsection (a) above, the
               county may require the grantee to obtain, maintain and file with the county an irrevocable
               letter of credit from a financial institution licensed to do business in the state
               in an amount specified in the franchise, naming the county as beneficiary. The form
               and contents of such letter of credit shall be approved by the county and shall be
               released only upon expiration of the franchise or upon the replacement of the letter
               of credit by a successor grantee. Failure to obtain the letter of credit within the
               time specified herein shall constitute a substantial violation within the meaning
               of this section.
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               (e)
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               <span class="ital">Conditions.</span> The county may draw upon the letter of credit if the grantee, after notice and opportunity
               to cure, contains a failure to: faithfully comply with the provisions of this article
               and the franchise; comply with all orders, permits and directives of any county agency
               or body having jurisdiction over its acts or defaults under the franchise or generally
               applicable state or local law; pay fees due to the county; or pay any claims, liens
               or taxes due the county which arise by reason of the construction, operation, maintenance
               or repair of the cable system.
               </p>
            		
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               (f)
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               <span class="ital">Use of performance bond and letter of credit.</span> Prior to drawing upon the letter of credit or the performance bond for the purposes
               described in this section, the county shall notify the grantee in writing that payment
               is due and the grantee shall have ten days from the receipt of such written notice
               to make a full and complete payment. If the grantee does not make the payment within
               ten days, the county may withdraw the amount thereof, with interest as provided herein
               and liquidated damages, from the letter of credit or the performance bond.
               </p>
            		
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               (g)
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               <span class="ital">Notification.</span> Within three days of a withdrawal from the letter of credit or performance bond,
               the county shall send to the grantee, by certified mail, return receipt requested,
               written notification of the amount, date and purpose of such withdrawal.
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               (h)
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               <span class="ital">Replenishment of letter of credit and performance bond.</span> No later than 30 days after mailing to the grantee by certified mail notification
               of a withdrawal pursuant to subsection (f) above, the grantee shall replenish the
               letter of credit and/or performance bond in an amount equal to the amount so withdrawn.
               Failure to make timely replenishment of such amount to the letter of credit and/or
               performance bond shall constitute a substantial violation of this article.
               </p>
            		
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               (i)
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               <span class="ital">Nonrenewal, alteration, or cancellation of letter of credit or performance bond.</span> Any performance bond and/or letter of credit required herein shall be in a form satisfactory
               to the county and shall require 30 days' written notice of any nonrenewal, alteration
               or cancellation to both the county and the grantee. The grantee shall, in the event
               of any such cancellation notice, obtain, pay all premiums for, and file with the county,
               written evidence of the issuance of replacement bond or policies within 30 days following
               receipt by the county or the grantee of any notice of cancellation.
               </p>
            		
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               (j)
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               <span class="ital">Increases.</span> To offset the effects of inflation the amounts of the bond and letter of credit provided
               for herein, are subject to reasonable increases at the end of every three-year period
               of the franchise, applicable to the next three year period, upon the determination
               of the county.
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            <p class="historynote0">
               (Ord. of 10-10-05, Â§ 25-131)
               </p></div>