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pay the legal rate of interest set forth at Section 6.1-330.53 of the Virginia Code (currently, six <br />percent (6%) per annum). <br />5.2.1.3. Franchisee shall deliver all PEG Capital Fee payments <br />to the following address, which the LFA may change at any time by providing at least thirty (30) <br />days advance written notice to Franchisee: City of Portsmouth Marketing Department, ATTN: <br />PEG Capital Fee, 801 Crawford St., Portsmouth, VA 23704. <br />5.2.2. The LFA shall, upon thirty (30) days advance written request, <br />provide Franchisee with a complete accounting annually of the distribution of funds granted <br />pursuant to this Section 5.2. <br />5.3. LFA shall require all local producers and users of any of the PEG facilities <br />or Channels to agree in writing to authorize Franchisee to transmit programming consistent with <br />this Agreement. The LFA shall, to the extent permissible under applicable law, use reasonable <br />efforts to further require all local producers and users of any of the PEG facilities or Channels <br />other than the LFA and the School Board to defend and hold harmless Franchisee and the LFA <br />from and against any and all liability or other injury, including the reasonable cost of defending <br />claims or litigation, arising from or in connection with claims for failure to comply with <br />applicable federal laws, rules, regulations or other requirements of local, state or federal <br />authorities; for claims of libel, slander, invasion of privacy, or the infringement of common law <br />or statutory copyright; for unauthorized use of any trademark, trade name or service mark; for <br />breach of contractual or other obligations owing to third parties by the producer or user; and for <br />any other injury or damage in law or equity, which result from the use of a PEG facility or <br />Channel. <br />5.4. To the extent permitted by federal law, the Franchisee shall be allowed to <br />recover from Subscribers the costs of the PEG Capital Fee or any other costs arising from the <br />provision of PEG services and shall be allowed to include such costs as a separately billed line <br />item on each Subscriber's bill. Without limiting the forgoing, if allowed under state and federal <br />laws, Franchisee may externalize, line -item, or otherwise pass-through interconnection costs to <br />Subscribers. <br />6. COMMUNICATIONS SALES AND USE TAX <br />The parties shall comply with all applicable requirements of the provisions of Section <br />58.1-645 of the Code of Virginia (the "Communications Sales and Use Tax") in its current form <br />and as it may be amended. Should at any time during the term of this Agreement the <br />Communications Sales and Use Tax be repealed or amended to reduce or eliminate the payment <br />of taxes by the Franchisee on the provision of Cable Services over the Cable System, the LFA <br />may, to the extent allowable under applicable law, require, upon sixty (60) days written days <br />notice, that the Franchisee pay to the LFA a franchise fee based on Gross Revenue in an amount <br />established by the LFA that is no greater than that allowed by federal law; provided, however, <br />that: (1) any such requirement to pay a franchise fee applies equally to all franchised cable <br />operators in the LFA; (2) the Franchisee shall not be compelled to pay any higher percentage of <br />gross revenue as franchise fees than any other franchised cable operator providing service in the <br />LFA; and (3) Franchisee shall not be obligated to pay franchise fees on revenues not included in <br />