A. In consideration of the costs which must be incurred by the city in regulating the franchise and for the use of the public right-of-way for the construction and operation of a cable system, grantee shall pay quarterly the amount set forth in the franchise agreement as a percent of the grantee’s gross revenues. Payment shall be payable to the city of Bellevue treasurer and shall be submitted to the city treasurer.

B. Payment shall be received within 45 days of the close of the grantee’s calendar or tax quarter for which revenue was received. Payment shall be accompanied by a report showing the basis of the computation and any relevant information that may be reasonably requested by the treasurer or required in the franchise agreement.

C. In the event that any franchise payment is not received by the city on or before the applicable date due, interest shall be charged from such date at the rate of 12 percent per annum, or the statutory rate for judgments, whichever is less.

D. In addition, if any payment due is not paid by the due date, the city shall add a penalty of five percent of the amount due; and if the payment is not received on or before the last day of the month following the due date, the city shall add a total penalty of 10 percent of the amount due; and if the payment is not received on or before the last day of the second month following the due date, the city shall add a total penalty of 20 percent of the amount due.

E. If the FCC, federal law or other legislative body with appropriate authority or court of competent jurisdiction changes the maximum franchise fee, the city’s franchise fee shall change accordingly upon city council approval.

F. In the event a franchise is revoked or otherwise terminated prior to its expiration date, a grantee shall file with the city, within 90 days of the date of revocation or termination, a verified or, if available, an audited financial statement showing the gross revenues received by the grantee since the end of the previous year and shall make adjustments at that time for the franchise fees due up to the date of revocation or termination.

G. Nothing in this chapter shall limit the city’s authority to tax a grantee, or to collect any fee or charge permitted by law, and no immunity from any such obligations shall attach to a grantee by virtue of this chapter.

H. No acceptance of any payment by the city shall be construed as a release or as an accord and satisfaction of any claim the city may have for further or additional sums payable as a franchise fee or for the performance of any other obligation of the grantee. (Ord. 5531 § 2, 2004.)