AN ORDINANCE AMENDING PORTIONS OF ORDINANCE NO. 1864 REGARDING THE FRANCHISE INITIALLY GRANTED TO COMMUNITY ANTENNA SYSTEMS, INC. FOR CABLE TELEVISION SERVICES.

BE IT ORDAINED BY THE GOVERNING BODY OF THE CITY OF COUNCIL GROVE, KANSAS:

Section I. Purpose. The purpose of this ordinance is to modify certain portions of Ordinance No. 1864 of the ordinances of the City of Council Grove, Kansas, regarding the franchise granted to Community Antenna Systems, Inc. on October 18, 1999.

Section 2. Current Section 10. Section 10 of the ordinance currently states as follows: In consideration for the rights, privileges and franchise hereby granted, and as compensation to the City for its use of its public ways and places by the Grantee, and in lieu of all occupation and license taxes, the Grantee shall, on or before the 31st day of January and the 31st day of July of each year in which this franchise is effective, pay to the City a sum equal to three percent (3%) of the gross receipts, accompanied by a certified notarized statement, from the sale of cable television and closed circuit television service within the then existing corporate limits of the City for the preceding six (6) month or fractional period ending on the 31st day of December and the 30th day of June, respectively. The term “Gross Receipts” as applied to sales of basic cable television and closed circuit electronic and other services as used in this section shall include basic service sold for domestic or residential consm11ption, and basic service for commercial or industrial constm1ption; provided, however, there shall not be included basic service sold to educational institutions not operating for profit, churches and charitable institutions, as such users are construed by the United States Department of Internal Revenue under current revenue acts.

Section 3. New Section 10. In consideration for the rights, privileges and franchise hereby granted, and as compensation to the City for its use of its public ways and places by the Grantee, and in lieu of all occupation and license taxes, the Grantee shall, on or before the 31st day of January and the 31st day of July of each year in which this franchise is effective, pay to the City a sum equal to two percent (2%) of the gross receipts, accompanied by a certified notarized statement, from the sale of cable television and closed circuit television service within the then existing corporate limits of the City for the preceding six (6) month or fractional period ending on the 31st day of December and the 30th day of June, respectively. The term “Gross Receipts” as applied to sales of basic cable television and closed circuit electronic and other services as used in this section shall include basic service sold for domestic or residential consumption, and basic service for commercial or industrial consumption; provided, however, there shall not be included basic service sold to educational institutions not operating for profit, churches and charitable institutions, as such users are construed by the United States Department of internal Revenue under current revenue acts.

(3-24-2008)