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has determined that the public interest would be served by renewing Charter’s non-exclusive franchise according to the terms and conditions contained herein; NOW THEREFORE, in consideration of the mutual promises contained herein and intending to be legally bound hereby, the Village and Charter agree as follows: SECTION 1 DEFINITIONS The following terms used in this franchise shall have the following meanings: 1.1 Affiliated Entity - Any corporation, partnership or other business entity that owns or controls, is owned or controlled by, or is under common ownership or control with Charter. 1.2 Basic Service - The service tier that includes at least the retransmission of local broadcast television signals and, to the extent required by applicable law, any Public, Educational and Governmental (“PEG”) access channel. 1.3 Cable Act - Title VI of the Communications Act of 1934, as amended by the Cable Communications Policy Act of 1984, the Cable Television Consumer Protection and Competitive Act of 1992 and the Telecommunications Act of 1996, as it may, from time to time, be further amended. 1.4 Cable Service - The one-way transmission to Subscribers of Programming or other programming service and Subscriber interaction, if any, which is required for the selection or use of such Programming or other programming service. 1.5 Cable System - A facility, consisting of a set of closed transmission paths and associated signal generation, reception, and control equipment that is designed to provide Cable Service which includes video Programming and which is provided to multiple Subscribers within the Village but such term does not include (1) a facility that serves only to retransmit the television signals of one or more television broadcast stations; (2) a facility that serves Subscribers without using any Public Right-of-Way; (3) a facility of a common carrier which is subject, in whole or in part, to the provisions of Title II of the Communications Act, except that such facility shall be considered a Cable System (other than for purposes of Section 621 of the Cable Act) to the extent that facility is used in the transmission of video Programming directly to Subscribers unless the extent of that use is solely to provide interactive on-demand services; (4) an open video system that complies with Section 653 of the Cable Act; or (5) any facilities of any electric utility used solely for operating its electric utility systems. 1.6 Channel - A portion of the electromagnetic frequency spectrum which is used in a Cable System and which is capable of delivering a television channel. 1.7 Communications Act - The federal Communications Act of 1934, as amended, and as it may, from time to time, be further amended. 2