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Section 2.2 Franchise Term. This Franchise will be in effect for a period of fifteen (15) years from the date of acceptance by the Grantee, unless sooner renewed or revoked. Section 2.3 Service Area. a. This Franchise is granted for the corporate boundaries of the City, as it exists from time to time. Attached as Exhibit C is a description of Grantee's service area as of September 1, 2023. b. Pursuant to Minn. Stat. §238.08, Subd. 1(c), the Grantee will extend its System and offer Cable Service, within a reasonable time, to any areas, homes, and businesses within the City to which the Grantee, a telephone company as defined in Minn. Stat. §237.01, offers local exchange telephone service. SECTION 3. SYSTEM Section 3.1 System Capacity. Grantee will continue to operate a System capable of providing a minimum of at least 75 video programmed Channels throughout the term of this Franchise. The System must have return capability. Section 3.2 Construction Deadline. Grantee will use commercially reasonable efforts to complete any System extension and construction of new facilities for new developments contemporaneous with installation of other utilities. The City shall provide reasonable and timely advance written notice of the location of all new developments to Grantee. SECTION 4. COMMUNITY SERVICES Section 4.1 Commercial Video Programming. The Grantee will provide broad categories of video programming, including news, sports and entertainment. Section 4.2 PEG Access Facilities. a. Access Channels. The Grantee shall dedicate two (2) Channels for public, education, and government access ("PEG Access") programming. The two (2) PEG Access Channels must be cablecast on the Basic Cable Service tier. All Subscribers who receive Cable Services offered on the System must receive the PEG Access Channels at no additional charge. Only to the extent required by Minn. Stat. §238.084, Subd. 1. (z) and permitted by applicable law, the VHF spectrum must be used for the provision of at least one (1) of the PEG Access Channels. Nothing herein shall diminish the City's rights to secure additional channels pursuant to Minn. Stat. § 238.084, Subd. L(z), and applicable FCC regulations. b. Responsibility for PEG Access. The City will operate, administer, and manage PEG Access programming pursuant to this Section 4.2. The City may delegate its PEG Access authority and responsibilities to the Commission. The Grantee acknowledges that the Commission may coordinate DOCSOPEN\SH2551161843960.v2-2/3/23