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7 <br />0. "Franchise Fee" shall mean an annual fee of five percent (5%) of the Grantee's <br />Gross Revenues paid for Grantor's authorization to construct and operate a Cable <br />System within its jurisdiction. <br />P. "Government Access" shall mean noncommercial access where government <br />institutions or their designees are the primary or designated programmers or users <br />having editorial control over their programming, which shall concern their <br />governmental functions. <br />Q. "Grantee" or "Franchisee" or "Company" shall mean the person, firm, or <br />corporation to whom a Franchise, as hereinabove defined, is granted by the Grantor <br />and any lawful successor, transferee or assignee of said person, firm, or corporation. <br />R. "Gross Revenues" shall mean all revenue received by the Grantee, which is derived <br />from the operation of the Cable System to provide Cable Service which includes but <br />is not limited to: fees charged to Customers for Basic Cable Service; fees charged to <br />Customers for an optional video or audio service; fees charged to Customers for any <br />tier of video or audio program service other than Basic Cable Service; installation, <br />disconnection and re-connection fees for the provision of video or audio program <br />services; leased Channel fees; and equipment rentals and revenues. <br />Gross Revenues shall also include an allocated portion of revenues received by the <br />Grantee for the carriage of home shopping channels on the Cable System; marketing, <br />launch and carriage revenues, which exceed reimbursement for expenses; and <br />revenues from advertising on the Cable System sold by the Grantee or its agents.. The <br />allocation shall be a percentage of such revenues determined by dividing the number <br />of Customers in the Grantor's Franchise area by the total number Customers served <br />by the Cable System. This sum shall be the basis for computing the fee imposed <br />pursuant to Section 8A hereof. <br />The term "Gross Revenues" shall not include: converter or other equipment deposits; <br />bad debts; any sales, excise or any other taxes collected by the Grantee on behalf of <br />any state, city or other governmental unit; Franchise Fees; refunds to Customers by <br />the Grantee; reimbursement for expenses (including late fees, returned check fees, <br />copy expenses and similar items); or items excluded by local, state or federal law. <br />Gross Revenues shall be computed in accordance with Generally Accepted <br />Accounting Principles ("GAAP"). <br />S. "Initial Service Area" shall mean that geographical area within the unincorporated <br />portions of the County as it exists on the date of acceptance by the Grantee. <br />T. "Institutional Network" or "I-Net" shall mean capacity on the Cable System used <br />for the provision of services to the Grantor pursuant to the terns and conditions set <br />forth in Section 15.