(i) A written application shall be filed with the City for grant of an initial or renewal OVS franchise.

(ii) To be acceptable for filing, a signed original of the application shall be submitted together with six copies. The application must conform to any applicable request for proposals, and contain all information required under subsection (2)(b) of this section. All applications shall include the names and addresses of persons authorized to act on behalf of the applicant with respect to the application.

(i) Identity of the applicant; the persons who exercise working control over the applicant; and the persons who control those persons, to the ultimate parent.

(ii) A proposal for construction of the OVS that includes at least the following:

(iii) Evidence satisfactory to the City that the applicant has the financial resources to complete the proposed project, and to construct, operate and repair the proposed facility over the franchise term. It is not the intent of the City to require an applicant to prove that the services it proposes to offer will succeed in the marketplace.

(iv) Evidence satisfactory to the City that applicant is technically qualified to construct, operate and repair the proposed facility. At a minimum, the applicant must show that it has experience or resources to ensure that work is to be performed adequately, and can respond to emergencies during and after construction is complete.

(v) Evidence satisfactory to the City that the applicant is legally qualified, which proof must include a demonstration that the applicant:

(vi) An affidavit or declaration of the applicant or authorized officer thereof certifying the truth and accuracy of the information in the application, and certifying that the application meets all requirements of applicable law.

(vii) To the extent that the applicant is in any respect relying on the financial or technical resources of another person, including another affiliate, the proofs should be provided for that person. An applicant will be presumed to have the requisite financial, or technical or legal qualifications to the extent such qualifications have been reviewed and approved by a state agency of competent jurisdiction; or if the applicant is a holder of a franchise in the City for a cable system or open video system, and conduct under such other franchise provides no basis for additional investigation.

(i) A person may apply for an initial or renewal franchise on its own initiative or in response to a request for proposals. Upon receipt of an application, the City shall promptly proffer the applicant a proposed OVS agreement, which shall be mailed to the person requesting its issuance and made available to any other interested party. The City may request such additional information as it deems appropriate.

(ii) An applicant shall respond to requests for information completely, and within the time directed by the City, and must strictly comply with procedures, instructions, and requirements as the City may establish.

(iii) An application may be rejected if it is incomplete or the applicant fails to follow procedures or respond fully to information requests.

(i) The extent to which the applicant has substantially complied with the applicable law and the material terms of any existing City OVS franchise;

(ii) Whether the applicant has the financial, technical, and legal qualifications to hold an OVS franchise;

(iii) Whether the application satisfies any minimum requirements established by the City for, or will otherwise provide, adequate public, educational, and governmental use capacity, facilities, or financial support (including with respect to institutional networks);

(iv) Whether issuance of a franchise would require replacement of property or involve disruption of property, public services, or use of the public rights-of-way;

(v) Whether the approval of the application may eliminate or reduce competition in the delivery of cable service in the City.

(i) The applicant must be willing to comply with the provisions of this chapter and applicable laws, and to comply with such requirements of an OVS agreement as the City may lawfully require.

(ii) The applicant must not hold a cable system franchise, or have pending an application for a cable system franchise.

(iii) The applicant must not have had any cable system or OVS franchise validly revoked (including any appeals) by the City within three years preceding the submission of the application.

(iv) The applicant may not have had an application for an initial or renewal cable system franchise to the City denied on the ground that the applicant failed to propose a cable system meeting the cable-related needs and interests of the community, or as to which any challenges to such franchising decision were finally resolved (including any appeals) adversely to the applicant, within three years preceding the submission of the application.

(v) The applicant may not have had an application for an initial or renewal OVS franchise denied on any grounds within three years of the applications.

(vi) The applicant shall not be issued a franchise if, at any time during the 10 years preceding the submission of the application, applicant was convicted of fraud, racketeering, anticompetitive actions, unfair trade practices or other conduct of such character that the applicant cannot be relied upon to deal truthfully with the City and the subscribers or to substantially comply with its obligations.

(vii) Applicant must have the necessary authority under Washington and federal law to operate an OVS, and must be certified by the FCC under Section 653 of the Cable Act, 47 USC § 573.

(viii) The applicant shall not be issued a franchise if it files materially misleading information in its application or intentionally withholds information that the applicant lawfully is required to provide.

(ix) For purposes of subsections (2)(f)(ii) through (2)(f)(v) of this section, the term “applicant” includes any affiliate of the applicant.

(i) A franchisee shall promptly notify the City of any proposed transfer, and submit an application for its approval.

(ii) The City may specify information that must be provided in connection with a transfer application. At a minimum, an application must: describe the entities involved in the transaction and the entity that will hold the franchise; describe the chain of ownership before and after the proposed transaction; show that the entity that will hold the franchise will be legally, financially, and technically qualified to do so; attach complete information on the proposed transaction, including the contracts or other documents that relate to the proposed transaction, and all documents, schedules, exhibits, or the like referred to therein; and attach any shareholder reports or filings with the Securities and Exchange Commission (SEC) that discuss the transaction.

(iii) For the purposes of determining whether it shall consent to a transfer, the City or its agents may inquire into all qualifications of the prospective transferee and such other matters as the City may deem necessary to determine whether the transfer is in the public interest and should be approved, denied, or conditioned. If the transferee or franchisee refuses to provide information, or provide incomplete information, the request for transfer may be denied.

(i) In deciding whether a transfer application should be granted, denied or granted subject to conditions, the City may consider the legal, financial, and technical qualifications of the transferee to operate the OVS; whether the incumbent OVS operator is in compliance with its OVS agreement and this chapter and, if not, the proposed transferee’s commitment to cure such noncompliance; whether the transferee owns or controls any other OVS or cable system in the City, and whether operation by the transferee may eliminate or reduce competition in the delivery of cable service in the City; and whether operation by the transferee or approval of the transfer would adversely affect subscribers, the public, or the City’s interest under this chapter, the OVS agreement, or other applicable law.

(ii) In order to obtain approval of a transfer, an applicant must show, at a minimum, that: the transferee is qualified; the transfer will not adversely affect the interests of subscribers, the public, or the City; and that noncompliance issues have been resolved. No application shall be granted unless the transferee agrees in writing that it will abide by and accept all terms of this chapter and the franchise, and that it will assume the obligations, liabilities, and responsibility for all acts and omissions, known and unknown, of the previous franchisee, whether arising before or after the transfer, for all purposes. The proposed transferee shall pay all reasonable costs incurred by the City in reviewing and evaluating the applications.

(i) A person leasing capacity from an OVS operator, other than a person whose revenues are included in the payment made under subsection (7)(a) of this section, shall pay the City a fee, in lieu of the franchise fee required by PMC 15.95.240, of five percent of the gross revenues of such person.

(ii) Notwithstanding the foregoing, where the OVS franchisee charges a person, other than an affiliate, to use its OVS (the “use payments”), and that person recovers those use payments through charges to its subscribers that are included in that person’s gross revenues, and that person fully recovers the use payments through the charges to its subscribers and pays a fee on those charges pursuant to subsection (7)(a) of this section, then the franchisee may deduct from its gross revenues the use payments it receives from that person.