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Ord 2517 - Zayo Group FranchiseCOUNCIL BILL NO. 2950 ORDINANCE NO. 2517 AN ORDINANCE GRANTING A TELECOMMUNICATIONS FRANCHISE TO ZAYO GROUP TO OCCUPY CERTAIN RIGHTS-OF-WAY WITHIN THE CITY OF WOODBURN WHEREAS, the City regulates the placement of telecommunications facilities within the City rights-of-way pursuant to Ordinance 2284, which governs the construction and franchising of telecommunications utilities operating within the City and desiring to occupy City rights-of-way; and WHEREAS, the City received a request from Zayo Group, a Delaware limited liability company, registered in Oregon, to place telecommunications facilities in certain rights-of-way within the City in order to provide service within the City, which proposed facility locations are shown on the attached Exhibit "A"; and WHEREAS, the City has reviewed the request and application filed by Zayo Group and finds that the company has the requisite authority to provide these services from the Oregon Public Utility Commission ("OPUC") and that the level of impact on the City's rights-of-way will be acceptable, and the City Council therefore desires to issue a franchise; NOW, THEREFORE, THE CITY OF WOODBURN ORDAINS AS FOLLOWS: Section 1. Franchise Grant. A. Subject to the terms and conditions contained herein, the City of Woodburn does hereby grant to Zayo Group, (hereinafter "Grantee") a telecommunications franchise to locate its facilities within the rights-of-way of the City, as shown on Exhibit "A" and described in Grantee's application for a franchise. B. Such grant is subject to all of the laws and ordinances of the City of Woodburn and to applicable state and federal law. C. The scope of this grant allows the installation of facilities by Grantee in the City's rights-of-way as depicted in Exhibit "A". Such facilities shall be used by Grantee to provide telecommunications services consistent with the authority granted by the OPUC. In the event either the location of Grantee's facilities or the nature of the services provided is proposed for modification, Grantee shall be required to obtain an additional or revised franchise from the City. Page 1 - Council Bill No. 2950 Ordinance No. 2517 Section 2. Construction Standards. A. The construction standards of the City of Woodburn, as well as any other applicable construction standards in existence at the time of this franchise grant or hereafter enacted, shall apply to all work performed by the Grantee in City rights-of-way. B. The Grantee's facilities shall not interfere in any way with any of the City's communications or other public and city -permitted facilities, including other franchised facilities, either as installed or during operation. The Grantee will compensate the provider of power directly for the cost of power consumed in support of Grantee's facilities, and shall hold the City completely harmless from any power cost. C. The Grantee shall locate below the surface of the ground all wiring and physical improvements within City rights-of-way, unless it is physically impossible to do so. Placement of any improvements above ground, or on poles shall only be with the prior review and approval of the City. D. Where permission is granted by the City to locate Grantee's facilities upon poles, Grantee shall independently obtain prior written approval from the owner and/or operator of the poles on which its facilities shall be placed. Upon request, Grantee shall provide copies of such written approvals for City review. E. Where permission is granted by the City to locate Grantee's facilities upon poles, Grantee shall undertake all wiring and physical improvements required by the owner of each pole to which its facilities are to be attached. In the case of City -owned poles or fixtures, such work shall be performed subject to the approval of the City Engineer or his designee. Section 3. Franchise Fee. The franchise fee payable to the City shall be 7% (seven percent) of the Grantee's gross revenues earned within the corporate limits of the City. Notwithstanding the type of telecommunications services provided, Grantee shall pay a minimum annual franchise fee of $1,000 for the privilege of using the City's rights-of-way. Franchise fees shall be payable quarterly, on or before April 30, July 31, October 31 and January 31, for the preceding calendar quarter. Payments made more than ten calendar days beyond the due date shall bear interest at the rate of 9% per annum. Section 4. Audit. The City shall have the right to annually audit the books and records of the Grantee to verify compliance with the terms and Page 2 - Council Bill No. 2950 Ordinance No. 2517 conditions of this franchise. At the City's request, the Grantee shall provide the City's agents access to the Grantee's books and records, as necessary, to conduct a thorough audit. Section 5. Term. The term of this franchise shall be five (5) years. This franchise shall be subject to one automatic renewal on the same terms and conditions for an additional period of five (5) years unless notice is given by either party 180 days in advance of the expiration of the franchise of its intention to terminate or renegotiate the franchise. This franchise shall be effective upon the date of Grantee's written acceptance of this grant. Section 6. Indemnification. To the extent permitted by law, the Grantee shall defend, indemnify and hold the City and its officers, employees, agents and representatives harmless from and against any and all damages, losses and expenses, including reasonable attorney's fees and costs of suit or defense, arising out of, resulting from or alleged to arise out of or result from the negligent, careless or wrongful acts, omissions, failures to act or misconduct of the grantee or its affiliates, officers, employees, agents, contractors or subcontractors in the construction, operation, maintenance, repair or removal of its telecommunications facilities, and in providing or offering telecommunications services over the facilities or network, whether such acts or omissions are authorized, allowed or prohibited by this Ordinance or by a franchise agreement made or entered into pursuant to this Ordinance. Section 7. Acceptance. The grant of franchise herein is conditioned upon Grantee's acceptance of all terms and conditions hereof in writing in a form acceptable to the City. Approved as to form: City Aft Passed by the Council Submitted to the Mayor Approved by the Mayor Page 3 - Council Bill No. 2950 Ordinance No. 2517 J iszo14 Akan -eJ_A L ► ao►4 �-kcurcln Ia., 9014 Filed in the Office of the Recorder ATTEST:.t�l�c¢�5�� Heather Pierson, City Recorder City of Woodburn, Oregon Page 4 - Council Bill No. 2950 Ordinance No. 2517 Mart j,' 12-2=01!A EXHIBIT'A' ZAYO GROUP FACILITY LOCATIONS 21