5.20.380 Fee in lieu of franchise fee.

(A) OVS Operators. In lieu of the franchise fee required by Article II of this chapter, an OVS franchisee shall pay a fee of five percent of the gross revenues of the franchisee, its affiliates or any OV S operator of the OV S.

(B) Persons Leasing OVS Capacity.

(1) A person leasing capacity from an OV S operator, other than a person whose revenues are included in the payment made under subsection (A) of this section, shall pay the city a fee in lieu of the franchise fee required by Article 2 of this chapter of five percent of the gross revenues of such person.

(2) Notwithstanding the foregoing, where franchisee charges a person, other than an affiliate, to use its OVS (the "use payments"); and that person recovers those use payments through charges to its subscribers that are included in that person's gross revenues; and that person fully recovers the use payments through the charges to its subscribers and pays a fee on those charges pursuant to subsection (A) of this section, then franchisee may deduct from its gross revenues the use payments it receives from that person.