-Cambridge Cable Television Renewal License Term: 07/01/2011 -06/30/2021 CABLE TELEVISION RENEWAL LICENSE GRANTED TO -coMCAST OF MASSACHUSETTS I, INC. ROBERT W. HEALY, CITY MANAGER CITY OF CAMBRIDGE, MASSACHUSETTS 1 -Cambridge Cable Television Renewal License Term: 07 /01/2011 -06/30/2021 TABLE OF CONTENTS INTRODUCTION:: .............................. ......................................... _. ............................................................................... 6- ARTICLE 1 DEFINITIONS .............................................................................................................................................? SECTION 1.1-DEFINITIONS ......................................................................................................................... 7 ARTICLE 2 GRANT OF RENEWAL LICENSE ..... ~ .................................................................................................... 14 Section 2.1-GRANT OF RENEWAL LICENSE ............................................................................................ 14 Section 2.2-TERM OF RENEWAL LICENSE .............................................................................................. 14 Seciion 2.3-NON-EXCLUSIVITY OF RENEWAL LICENSE ........................................................................ 14 Section 2.4-POUCE AND REGULA TORY POWERS ........................................................_ . ....................... 15 Section 2;5-RENEWAL LICENSE GRANTS ONLY LIMITED RIGHTS ...................................................... 16 Section 2.6~RENEWAL LICENSE AGREEMENT NOT IN LIEU OF OTHER OBLIGATIONS ..................... 16 SECTION 2. ?--AFFILIATES MUST COMPLY ................................................................................................... 16 SECTION 2~8--REMOVAL OR ABANQONMENT.. ............................................................................................ 16 SECTION 2.9--TRANSFER OFTHE RENEWAL LICENSE .............................................................................. 17 SECTION 2.10--EFFECT OF UNAUTHORIZED TRANSFER ACTION ............................................................. 18 ARTICLE 3 CABLE SYSTEM DESIGN ....................................................................................................................... 19 Section 3.1-CABLE SYSTEM DESIGN AND FUNCTIONALITY .................................................................. 19 Section 3.2-CABLE SYSTEM INTERCONNECTION ................................................................................. ,20 Section 3.3-TECHNICAL STANDARDS AND TESTING ............................................................................. 20 Section 3.4-PARENTAL CONTROL CAPABILITY ...................................................................................... 20 Section 3.5-EMERGENCY ALERT AND OVERRIDE CAPACITY .............................................................. 20 ARTICLE 4 CABLE SYSTEM LOCATION AND OPERATIONAL STANDARDS .......................... : ............................ 22 Section 4.1-SERVICE AREA ..................................................................................................................... 22 Section 4.2-LOCATION OF THE CABLE TELEVISION SYSTEM ............................................................ 22 Section 4.3-UNDERGROUND FACILITIES ............................................................................................... 22 Section 4.4-TREE TRIMMING ..................................................................................................................... 23 Section 4.5-RESTORATION TO PRIOR CONDITION ................................................................................ 23 Section 4.6-TEMPORARY RELOCATION ................................................................................................... 23 Section 4.7-DISCONNECTION AND RELOCATION ................................................................................... 23 Section 4.8-EMERGENCY REMOVAL OF PLANT ...................................................................................... 23 Section 4.9-REMOVAL AND RELOCATION ............................................................................................... 24 Section 4.10-SAFETY STANDARDS ........................................................................................................... 24 Section 4.11-PEDESTALS .......................................................................................................................... 24 Section 4.12-PRIVATE PROPERTY ............................................................................................................ 24 Section 4.13-CABLE SYSTEM MAPS AND DATA ...................................................................................... 24 Section 4.14-SERVICE INTERRUPTION ................................................................................................... 25 SECTION 4.15---DIG SAFE ..............................................................................................................................2 5 2 -Cambridge Cable Television Renewal License Term: 07/01/2011-06/30/2021 ARTICLE 5 SERVICES AND PROGRAMMING ............................................................. ............................................ 26 Section 5.1-BASIC SERVICE ..................................................................................................................... 26 Section 5.2-PROGRAMMING ..................................................................................................................... 26 Section 5.3-LEASED CHANNELS FOR COMMERCIAL USE .................................................................. 26 Section 5.4-CONTINUITY OF SERVICE ..................................................................................................... 26 Section 5.5-DROPS & MONTHLY SERVICE TO NON-SCHOOL PUBLIC BUILDINGS ......................... 27 Section 5.6-DROPS AND MDNTHLY SERVICE TO CAMBRIDGE SCHOOL BUILDINGS ..................... 28 -ARTICLE 6 PUBLIC, EDUCATIONAL AND GOVERNMENTAL ACCESS FACILIATIES AND SUPPORT ............... 30 Section1U-PUBLIC, EDUCATIONAL AND-GOVERNMENTAL ACCESS .........................................3 0 Section 62-ACCESS CORPORATION .......................................................................................3 0 Section 6.3-ANNUAL SUPPORT FOR PEG ACCESS ............... ., .........................................................3 0 Section 6.4-PEG ACCESS CHANNELS .............................................................................................3 1 Section 6.5-DEDICATED FIBER LINKS ................................................................................................3 2 Section 6.6---LIVE PEG SIGNAL TRAl\ISMISSION .......................................................................... 34 Section 6.7-EQUIPMENT/CAPITAL PAYMENTS ............................................................................... 34 Section 6.8-FIBER CONNECTION FOR ACCESS CORPORATION .......................................................... 34 Section 6.9-PEG ACCESS CHANNELS MAINTENANCE ............................................................... 35 Section 6.10-CENSORSHIP .................................................................................................... 35 ART4CLE T ANNUAL FUNDING TO-THE CITY ..................................................................................................... 36 Section 7.1-FRANCHISE FEES .............................................................................. ., ............................ 36 Section 7.2-LICENSEFEE PAYMENTS ................................................................................................3 7 Section 7.3-0THER PAYMENT OBLIGATIONS AND EXCLUSIONS ...............................................3 7 Section 7.4-LATE PAYMENT ....................................................................................................3 8 Section 7.5-RECOMPUTATION ........................................................................................................3 8 Section 7.6-AFFILIATES USE OF SYSTEM .........................................................................................3 9 Section 7.7-METHOD OF PAYMENT..... . ...........................................................................3 9 ARTICLE 8 RATES AND CHARGES ............................................................................................................ ...... .40 Section 8.1-RATES ............................................................................................................................... 40 Section 8.2-NOTIFICATION OF RATES AND CHARGES ................................................................... .40 Section 8.3-PUBLICATION AND NON-DISCRIMINATION .................................................................. .41 Section 8.4-CREDIT FOR SERVICE INTERRUPTION .................................................................. .41 ARTICLE 9 INSURANCE AND BONDS .................................................................................................. .42 Section 9.1-INSURANCE. ............................................................................................................... 42 Section 9.2-PERFORMANCE BOND ................................................................................................... 43 Section 9.3-REPORTING ....................................................................................................... 43 Section 9.4-INDEMNIFICATION ........................................................................................................ 43 Section 9.5-NOTICE OF CANCELLATION OR REDUCTION OF COVERAGE .................................. .44 ARTICLE 10 ADMINISTRATION AND REGULATION .............................................. :............................... . ......... 45 Section 10.1-REGULATORY AUTHORITY ............................................................................................... .45 Section 10.2-PERFORMANCE EVALUATION HEARINGS ....................................................................... .45 Section 10.3-NON-DISCRIMINATION ......................................................................................................... 45 Section 10.4-RIGHT TO INSPECTION OF SYSTEM .................................................................................. 46 Section 10.5-JURISDICTION ....................................................................................................................... 46 3 -Cambridge Cable Television Renewal License Term: 07/01/2011 -06/30/2021 ARTICLE 11 DETERMINATION OF BREACH-LIQUIDATEDDAMAGES-LICENSEREVOCATION ........................ 47 Section 11.1-DETERMINATION OF BREACH .......................................................... : ................................. .47 Section 11.2-LIQUIDATED DAMAGES ..................................................................................................... .48 Section 11.3-REVOCATION OF THE RENEWAL LICENSE ..................................................................... .49 Sectia_n-11".4-TERMINATION ................................................................................ .'. .... ~-················ ............ 49 Section 1-1.5-NOTICE TO CITY DF LEGAL ACTION ...................................... : ........................................ ..49 Section 11.6-NON-EXCLUSIVITY OF REMEDY ...................................................................................... 50 Section 11.7-NO WAIVER-CUMULATIVE REMEDIES ............................................................................... 50 ARTICLE 12 SUBSCRIBER RIGHTS AND CONSUMER-PROTECTION ................................................................... 51 Section 12.1-CUSTOMER SERVICE OFFICE ........................................................................................... 51 Section 12.2-TELEPHONE ACCESS .......................................................................................................... 51 Section 12.3-,--CUSTOMER SERVICE CALL CENTERS .............................................................................. 52 'section 12.4-INSTALLATION VISITS-SERVICE CALLS-RESPONSE TIME' ............................................. 52 Section 12.5-FCC CUSTOMER SERVICE'STANDARD OBLIGATIONS .................................................... 53 Seetion.12.6-BUSINESS PRACTICE STANDARDS ................................................................................... 53 Section 12.7-COMPLAINT RESOLUTION PROCEDURES ....................................................................... 54 Section 12.8.:_ELECTRONIC COMPLAINT REFERRAL SYSTEM'. .............................................................. 54 Section 12.9-REMOTE.CONTROL DEVIGES ............................................................................................. 55 Section 12.10-PICK-UP AND-DROP OFF-EQUIPMENT .............................................................................. 55 Section .12.11-EMPLOYEE-IDENTIFICATION CARDS ............................................................................... 55 Section 12.12-PROTECTION OF SUBSCR1BER PRIVACY ....................................................................... 55 Section 12.13-PRIVACY WRITIEN NOTICE .............................................................................................. 55 Section 12.14-MON!TORllNG ..................................................................................................................... 56 Section 12.15-DISTRIBUTION-OF SUBSCRIBER INFORMATION ............................................................ 56 Section 12.16~1NFORMATION ON VIEWING HABITS AND SUBSCRIPTION DECISlONS ....................... 56 Section 12.17--SUBSCRIBER'S RIGHT TO INSPEC_T AND VERIFY INFORMATION .................................. 57 Section 12.18--PRIVACY STANDARDS REVIEW .................................... , .................................................... 57 ARTICLE 13 REPORTS, AUDITS AND PERFORMANCE TESTS ....................................................................... :. .... <i8 Section 13.1-GENERAL .............................................................................................................................. 58 Section 13.2-FINANCIAL REPORTS ........................................................................................................... 58 Section 13.3-CABLE SYSTEM.INFORMATION .......................................................................................... 58 Section 13.4-IN-HOUSE TELEPHONE REPORTS ..................................................................................... 58 Section 13.5-SUBSCRIBER COMPLAINT REPORT ................................................................................... 58 Section 13.6-SERVICE INTERRUPTION REPORT.. ................................................................................... 59 Section 13.7-INDIVIDUAL COMPLAINT REPORTS ............................................................................. :. ..... 59 Section 13.8-SEMl-ANNUAL PERFORMANCE TESTS .............................................................................. 59 Section 13.9-QUALITY OF SERVICE .......................................................................................................... 59 Section 13.10-DUAL FILINGS ..................................................................................................................... 59 Section 13.11-ADDITIONAL INFORMATION .............................................................................................. 59 Section 13.12-INVESTIGATION .................................................................................................................. 60 ARTICLE 14 EMPLOYMENT ...................................................................................................................................... 61 Section 14.1-EMPLOYEE TN< COMPLIANCE AND REPORTING ............................................................. 61 Section 14.2-EQUAL EMPLOYMENT OPPORTUNITY ............................................................................... 61 Section14.3-NON-DISCRIMINATION ................................................................................................6 1 4 -Cambridge Cable Television Renewal License Term: 07/01/2011 -06/30/2021 ARl'ICLE 15 MISCELLANEOUS PROVISIONS .............. .......................................................................................... 62 Section 15.1-ENTIRE AGREEMENT ........................................................................................................... 62 Section 15.2-CAPTIONS ....................................................................................... , ..................................... 62 Section 15.3-SEPARABILITY ...................................................................................................................... 62 Secticm 15.4-ACTS OR OMISSIONS OF AFFILIATES ............................................................................... 62 Section 15.5-RENEWAL LICENSE EXHIBITS ............................................................................................ 62 Section 15.6-WARRANT1ES ...........................................................................................................'. ........... 62 Section 15.7-FORCE MAJEURE ................................................................................................................. 63 Secticm 15:8-SUBSCRIBER TELEVISION SETS ..............................................................................- ......... 63 Section 15.9-APPLICABILITY OF RENEWAL LICENSE. ............................................................................ 63 Section 15.10-NOTICES. .............................................................................................................................6 3 Section 15.11-NO RECOURSE AGAINST THE ISSUING AUTHORITY ..................................................... 64 Section 15.12-CITY'S RIGHT OF INTERVENTION .................................................................................... 64 Section 15.13-TERM ..................................................................................................................................6 4 Section 15.14---NO THIRD PARTY RIGHTS CREATED .............................................................................. 65 EXHIBIT 1-PROGRAMMING ..................................................................................................................................6 6 EXHIBIT 2--DROPS AND MONTHLY SERVICE TO NON-SCHOOL PUBLIC BUILDINGS ................................. 67 EXHIBIT 3 --DROPS AND-MONTHLY SERVICE TO-CAM8RIDGE SCHOOL BUILDINGS ................................ 68 EXHIBIT 4 --SCHEMATIC-DESIGN OF PEG CHANNEL TRANSPORT... . ..............................................6 9 EXHIBIT 5 --ANNUAL GROSS REVENUES REPORTING FORM ...................................... ........................ 70 EXHIBIT 6 --207 CMR 10.00-BILING AND TERMINATION OF SERVICE ................................. ................... 71 EXHIBIT 7 -- FCC CUSTOMER SERVICE OBLIGATIONS ............... .........................................................7 6 SIGNATURE PAGE ............................................................................................................................ 80 5 -Cambridge Cable Television Renewal License Term: 07/01/2011- 06/30/2021 INTRODUCTION AGREEMENT This Cable Television Renewal License entered into this 1st- day of July, by and between the City~anager of the City of Cambridge, Massachusetts, as lssuir:ig Authority for the grant ofcable television licenses pursuant to M.G.L. c. 166A, and Comcast of Massachusetts I, Inc. ("Comcast"). WITN ESSETH WHEREAS, the Issuing Authority of the City of Cambridge, Massachusetts, pursuant to M.G.L c. 166A, is authorized to grant one or more nonexclusive cable television licenses to construct, operate and maintain a Cable Television System within the City of Cambridge; and WHEREAS, the Issuing Authority conducted a detailed contract -compliance review, a telephone_ survey, an on-line survey, a review of all Public, Educational and Government Access facilities and six (6) focus groups, followed by one public ascertainment hearing on February 3, 2010, pursuant to Section 626 of the Cable Act, in order to (1) ascertain the future cable related cemmunity needs and interests of Cambridge, and (2)-review the performance bf Gomcast during its then-current license term; and WHEREAS, Comcast submitted a proposal and Massachusetts Cable Division Form 100 to the City of Cambridge, dated June 30, 2011, for a renewal license to operate and maintain a Cable Television System in the City of Cambridge; and WHEREAS, the Issuing Authority and Comcast did engage in good faith negotiations regarding said Request for a Renewal Proposal and Comcast's proposals and did agree on terms and provisions for Comcast's continued operations and maintenance of its Cable Television System in the City of Cambridge; and WHEREAS, the lssuing Authority has determined that it is in the best interests of the City of Cambridge to grant a non-exclusive Cable Television Renewal-License to Comcast. NOW THEREFORE, in consideration of the mutual covenants herein contained and intending to be legally bound, the parties agree as follows: 6 -Cambridge Cable Television Renewal License Term: 07/01/2011- 06/30/2021 ARTICLE 1 DEFINITIONS SECTION 1.1-DEFINITIONS For the purpose of this Renewal-License, the following words, terms, phrases and their derivations shall have the meanings given herein, unless the context clearly requires a different meaning. Words not defined herein shall be given the meaning set forth in the Cable ~ommunications Policy Act of 1984, 47 U.S.C. SS 521 et seq. (the Cable Act), as amended from time to time, '3nd if not defined therein then the meaning ascribed in Massachusetts General Laws Chapter 166A as amended from time to time. Wlien not inconsistent with the context, the masculine pronoun includes the feminioe pronoun, words used in the present tense incl[ide the future tense, words in the plural number ioclude the singular namber and words in the singular number include the plural number. The word shall is always mandatory and not merely directory. All references or citations to-statutes or-regulations found within this Renewal License shall incorporate all amendments which mayirom time to time be made during the term of-this Renewal License, unless otherwise expressly stated. (1) Access: The right or ability of any Cambrid9e1esident and/or any-Persons affiliated with·a Cambridge institution to use designated PEGfacilitfos, equipment afldtor channels of the Cable Television System, subject to the conditions and procedures established for such-use. (2) Access Channel: A video and/or audio channel which the Licensee shall make available, without charge, for the purpose of transmitting non-commercial programming by members of the public, City departments and agencies, public schools, educational, institutional and similar organizations. (3) Access Corporation: The entity, as may be designated by the Issuing Authority of the City of Cambridge from time to time, organized for the purpose of operating and managing the use of public Access funding, equipment and channels on tl:le Cable Television System, or any other successor entity in accordance with this Renewal License. (4) Affiliate or Affiliatea Person: When used in relation to any Person, this term shall have the meaning found in 207 CMR 4.01 (2). (5) Basic Cable Service or Basic Service: Any service-tier which includes the retransmission of local television broadcast Signals and all PEG Access Channels. (6) CFR: The Code of Federal Regulations, or "Federal Cable Regulations" as they apply to cable television or a Cable Television System, and as presently found in part at 47 CFR, part 76, and elsewhere, as such regulations may from time to time be amended. (7) CMR: The Code of Massachusetts Regulations or "Massachusetts Cable Regulations" presently found at 207 CMR 2.00 et seq., and as they may from time to time be amended. 7 -Cambridge Cable Television Renewal Ucense Term: 07/01/2011-06/30/2021 (8) Cable Communications Act:(the "Cable Act" or "Federal Cable Act") presently found at 47 USC 521 et seq., and as it may from time to time be amended: Public Law No. 98-549, 98 Stat.-2779 (1984) (the Cable Communications Policy Act of 1984), as amended by Public Law No. 102-385, 106 Stal 1460 (1992) (the Cable Television Consumer Protection and Competition Act of 1992, and as further amended-by Public Law-No. _104-458, 110 Stat. 110 (1996) (the Telecommunications Act of 1996), (codified at 47 USC 521 et seq.). (9) Cable-Division: The Cable Television Division of the Massachusetts Department of Telecommunications and Cable established purst1ant to Massachusetts General Laws Chapter 166A (M. G. L. c. 166A) or its successor. (10) Cable Operator: Shall mean any person or group of persons (a) who provides Cable Service over a cable-system and directly or through one or more affiliates owns a significant interest in such cable system, or (b) who otherwise controls or is responsible for, through any arrangement, the management and operations otsuch a cable system. (11) Cable or Video Programming or Programming: Programming provided by, or generally-considered comparable to programming provided by, a-televisioR broadcast station. (12) Cab1e Service or Service: l'he one-way transmission to Subscribers of (i) Video Programming, or (ii) other Programming service, and Subscriber ir.teraction, if any, which is required for the-selection or use of such Video Programming or other Programming service. (13) Cable Television System or Cable System: The facility owned, constructed, installed, operated and maintained by Licensee in the City of Cambridge, consisting of a set of closed transmission paths and associated Signal generation, reception, and control equipment that is designated to provide Cable Service which includes Cable or Video Programming and which is provided to multiple Subscribers within a community, but such term does not include (a) .a facility that serves only to retransmit the television signals of one or more television broadcast stations; (b) a facility that serves Subscribers without using or connecting to a facility that uses any Public Way within the City; (c) a facility of a common carrier which is subject, in whole or in part; to the provisions of Title II of the Cable Act, except that such facility shall be considered a Cable System (other tharr for-purposes of Section 621 (c) of the Cable Act) to the extent such facility is used in the transmission of Cable- or Video Programming directly to Subscribers unless the extent of such use is solely to provide interactive on-demand services; or (d) an open video system that is certified by the FCC pursuant to Section 653 of the Cable Act, or (e) any facilities of any electric utility used solely for operating its electric utility systems. Any reference to cable system includes the cable system as a whole, or any part thereof, including all facilities, pedestals, equipment cabinets, electronic equipment and devices appurtenant to the system. (14) Change of Control and/or Transfer: For purposes of this Renewal License and consistent with 207 CMR 4.01 (2), a transaction through which a person (or other entity), a family group, or a group of persons (or entities) acting in concert, gains or loses control of a license or licensee shall constitute a transfer or assignment of a license or control thereof under 8 -Cambridge Cable Television Renewal License Term: 07/01/2011- 06/30/2021 M.G.L c. 166A, § 7. A transfer or assignment of a license or control thereof between commonly controlled entities, between affiliated companies, or between parent and subsidiary corporations, shall not constitute a transfer or assignment of a license or control thereof under M.G.L. c. 166A, § 7. The term "Affiliated Company" shall have the meaning found in207 CMR 4.01 (2). (15) City: The City of Cambridge, Massachusetts. (16) CJty Solicitor: The City Solicitor of the City of Cambridge, Massachusetts. (17) Commercial Subscriber: A commercial, non-residential Subscriber to Cable Service. (18) Converter: Any device altering a Signal coming to a Subscriber. A Subscriber Converter may control reception capacity and/or unscramble coded Signals distributed over the Cable System, among other capabilities. (19) Department af Publtc Works ("DPW"): The Department of Public Works of the City of Camsridge, Massach1:1setts: (20) Downstream -Channel: A channel over wt:rich Signals travel from the Cable System Headend to an authorized recipient of Programming. (21) Drop or Cable Drop: The cable thcatconnects an Outlet to the feeder line of the Cable System. (22) Educational Access Channel: A specific channel(s) on the Cable System made available by the Licensee to Cambridge educational institutions and/or educators wishing to present non-commercial-educational Programming and information to the public. (23) Effective Date of Renewal License: July 1, 2011 (the "Effective Date"): (24) Execution Date of Renewal License: July 1, 2011 (the "Execution Date"): (25) FCC: The Federal Commul"lications Commission, or any successor governmental entity. (26) FCC Customer Service Regulations: Federal Cable Regulations located at 47 CFR 76.309 et seq. (27) Feeder Line: A branch off one of the Cable System distribution trunks, which feeds a small area or neighborhood. (28) Franchise Fee: As used in this Renewal License, the term "Franchise Fee" shall have the same meaning as that set forth at 47 U.S.C. §542(g) (of the Cable Communications Act). 9 -Cambridge Cable Television Renewal License Term: 07/01/2011 -06/30/2021 (29) Government Access Channel: A specific channel(s) on the Cable System made available by the Licensee to- the Issuing Authority and/or his or her designees for the presentation of non-commercial governmental Programming and/or information to the-public. (30) "Gross Revenues" means and shall be construed to include all revenues derived by the Licensee and its Affiliates, or by any other entity that is a Cable -Operator of the Licensee's Cable Television System, attributable to, or in any way derived from the operations of Licensee's Cable System to pr0vide Cable Services within the City, including but not limited to: monthly fees for Cable Services, revenues derived from the provision of all Cable or Video Programming services; Cable Services installation, reconnection, downgrade, upgrade, late fees, or similar charges associated with changes in subscriber Cable Service levels; fees paid to Licensee for Cable Service -channels designated for commercial/leased access use; converter, remote control and other Cable Services equipment rentals and/or leases or sales; advertising revenues on Licensee's Cable System; revenues from Cable Service program guides; Cable Service fees, payments, studio rental, production equipment and personnel fees; commissions from home shopping channels attributable to Licensee's Cable System; and such other Cable Service revenues as may no!- yet exist or hereafter develop. Gross Revenues subject to Franchise Fees shall include revenues derived from sales of advertising that run on Licensee's Cable System within the City of Cambridge aAd shall be allocated on a pro rata basis using total CablecService Subscribers reached-by the advertising. Gross Revenues shall be the basis for computing the Franchise Fee and shall be interpreted in a manner consistent with Generally Accepted Accounting- Principles ( GAAP) that permit the City to collect the maximum Franchise Fee permitted by law. Gross Revenues shall not include: (i) any taxes on services furnished by a Licensee which are imposed directly on any Subscriber or User by the state, City, or other governmental unit and which are collected by the Licensee on behalf of said governmental unit (the Franchise F_ee is not such a tax); (ii) any bad debt (defined as unpaid Subscriber or advertiser accounts, including, but not limited to, residential and commercial Subscribers and advertising sales customers that are charged off as uncollectible, net of any actual recoveries during each period); and (iii) Programming revenues of any Affiliate of a Licensee whose Programming is carried on the Cable System, where such revenues are paid to said Affiliate by the Licensee and recovered by the Licensee through charges to S1o1bscribers that are included in Gross Revenues. The amount paid as a Franchise Fee shall not be deducted from Gross Revenues unless requiredto be deducted under federal law. With regard to resolution of disputes over the classification of revenue, the parties agree to refer to Generally Accepted Accounttng Principles ("GAAP") as promulgated by the Financial Accounting Standards Board ("FASS"), Emerging Issues Task Force ("EITF") and/or the U.S. Securities and Exchange Commission ("SEC"). Notwithstanding the forgoing, the City reserves its right to challenge the Licensee's calculation of Gross Revenues, including GAAP as promulgated by the FASS, EITF and/or the SEC. (31) Headend: The electronic control center of the Cable System containing equipment that receives, amplifies, filters and converts incoming Signals for distribution over the Cable System. 10