§ 26-24. Security fund.

(a)

The county shall require in a franchise agreement that the franchisee post with the county a security fund. Such fund may be in the form of a cash deposit, letter of credit, or bond as agreed to in the franchise agreement. The security fund will be used to ensure the franchisee's faithful performance of and compliance with all provisions of this chapter, the franchise agreement, and other applicable law, and the payment by the franchisee of any claims, liens, fees, or taxes due the county which arise by reason of the construction, operation, or maintenance of the cable system or OVS. The amount of the security fund shall be the amount that the county determines, under circumstances existing at the time, that is necessary to protect the public, to provide adequate incentive to the franchisee to comply with this chapter and the franchise agreement, and to enable the county to enforce effectively compliance therewith, and in no event shall be less than one hundred thousand dollars ($100,000). The franchise agreement shall provide for the procedures to be followed with respect to the security fund. Neither the posting of the cash deposit or filing of an indemnity bond or any form of surety bond with the county, nor the receipt of any damages recovered by the county thereunder, shall be construed to excuse faithful performance by the franchisee or limit the liability of the franchisee under the terms of its franchise for damages, either to the full amount of the bond or otherwise.

(b)

The rights reserved to the county with respect to the security fund are in addition to all other rights of the county, whether reserved by this chapter or authorized by other law or the franchise agreement, and no action, proceeding, or exercise of a right with respect to such security fund will affect any other right the county may have.

(Ord. No. 02-18, § 2, 7-30-02)