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g. Use of PEG Capital Fee. The City and Grantee agree that the City will <br /> expend the PEG Capital Fees solely for capital costs (consistent with GAAP) associated <br /> with PEG Access. In consideration for Grantee's obligation to remit the PEG Capital <br /> Fee, the City agrees to provide financial support for PEG Access that is equivalent to the <br /> amount of PEG Capital Fees collected and provided to the City. Within sixty (60) days <br /> of written request, the City shall provide Grantee with an annual report of any <br /> expenditures of the PEG Access Capital Fee to insure such fees are used for capital costs <br /> related to PEG Access. The report shall also demonstrate how the City fulfilled its <br /> requirement to provide matching support for PEG Access. Based on the report, the <br /> Grantee may send a written notice to the City alleging that the City failed to demonstrate <br /> that the PEG Capital Fee was used for capital or that matching PEG Access support was <br /> provided. The City shall have thirty (30) days after receipt of the written notice to <br /> provide additional information demonstrating compliance with the requirements of this <br /> Section. If the Grantee continues to allege that the City has not complied with its <br /> obligations herein, the Grantee may provide written notice of its intent to reduce and/or <br /> discontinue collecting and remitting the PEG Capital Fee. If the City disputes the <br /> Grantee's actions, it may initiate any enforcement action under the Cable Ordinance it <br /> deems appropriate. <br /> h. Access Rules. The City may implement rules governing PEG Access <br /> Channels and programming. <br /> i. Parity of Obligations. The City will impose equivalent PEG Access <br /> obligations on any other franchised provider of Cable Service in the City. <br /> Section 4.3 Drops and Service to Public Buildings. <br /> a. Subject to applicable law, tThe Grantee must provide, without charge, <br /> monthly Basic Cable Service and Cable Programming Service (excluding pay-per- <br /> channel or pay-per-program), one (1) Drop, one (1) outlet, and one (1) Converter of the <br /> type and functionality made available to Subscribers ("Complimentary Service") to the <br /> public institutional sites listed in Exhibit A-2 attached which are served as of the <br /> Effective Date. The programming provided by Grantee is not for public display. The <br /> City shall hold the Grantee harmless for any copyright, or other penalties, incurred due to <br /> improper use of free service. If additional Converters or other customer premises <br /> equipment ("CPE") are required to receive Complimentary Service, Grantee reserves the <br /> right to charge the institution the published rate for such CPE consistent with applicable <br /> law. <br /> b. Subject to applicable law, tThe Grantee shall connect such additional <br /> public administration buildings as the City may subsequently designate, provided <br /> however, that the Grantee shall only be required to pay the cost of the first one hundred <br /> and fifty (150) feet of any necessary System or Drop construction as measured from an <br /> accessible System tie-in point actively delivering Cable Service, and further provided that <br /> the City or institution shall pay any additional mutually agreed upon construction cost. <br /> The Grantee will have a reasonable time from the designation of additional sites to <br /> complete extension. Institutions may add outlets at their own expense. The Grantee shall <br />