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(1) It is unlawful for any person to construct, install, or operate a cable television system within any street or public way in the City without first obtaining a franchise under the provisions of this Part 2. (2) The City Council finds and determines that certain multichannel video programming distributors and video providers, as those terms are defined in Section 15-268 of Part 6, provide cable service, including video programming, to subscribers within limited geographic areas where multi- family dwelling complexes and congregate-living complexes are located. That cable service, including video programming, is sometimes provided, in whole or in part, by the transmission of signals over wires or lines that are owned or controlled by telecommunications service providers or other public utilities and that are within or cross streets or public ways within the boundaries of a local franchising authority. The multichannel video programming distributor or video provider may obtain from the telecommunications service provider or other public utility, by lease, license, or similar contractual arrangement, the right to use those wires or lines in order to provide cable service, including video programming, to subscribers or customers within the multi-family dwelling complexes and congregate-living complexes referenced above. The City Council further finds and determines that these contractual arrangements for signal transmission facilitate the provision of cable service, including video programming, and create a nexus between that cable service and the use of the streets and public ways of the City. Consequently, to the maximum extent authorized under California law, it is the intent of the City Council to subject multi-channel video programming distributors and video providers that intend to use this signal-transmission methodology to the franchise requirements set forth in this Part 2, subject to such waivers and modifications of those requirements as may, in the discretion of the City Council or its designee, be warranted in view of the limited geographic area that is proposed to be served. (c) Term of the Franchise (1) A franchise granted under this Part 2 will be for the term specified in the franchise agreement, commencing upon the effective date of the ordinance adopted by the City Council that authorizes the franchise. (2) A franchise granted under this Part 2 may be application by the Grantee in accordance with the provisions of state and federal law and of this Part 2. renewed upon then-applicable (d) Franchise Service Area A franchise is effective within the territorial limits of the City, and within any area added to the City during the term of the franchise, unless otherwise specified in the ordinance granting the franchise or in the franchise agreement. Ordinance No. NS-2468 Page 4 of 24