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ORD 2673 ORDINANCE NO. 2673 AN ORDINANCE granting to Sawtooth Technologies, LLC. the right and franchise to construct, maintain, and operate a fiber optic network, and related appurtenances, for the transmission of broadband Internet services, over, under, and across certain real property; and specifying the limitations and conditions of such franchise. THE CITY COUNCIL OF THE CITY OF CAMAS DO ORDAIN AS FOLLOWS : Section I GRANT OF FRANCHISE The City of Camas, a municipal corporation and non-charter code city in the State of Washington, 616 NE 4th Avenue, P. O. Box 1055, Camas, Washington 98607 (hereinafter referred to as "City") hereby grants to Sawtooth Technologies, LLC. , P. O. Box 857, Stevenson, WA 98648 (hereinafter referred to as "Grantee"), the right, privilege, and franchise to construct, maintain, and operate a fiber optic network and related appurtenances for the transmission of broadband Internet services, over, under, and across the City' s real property, as described in Exhibit A attached hereto (hereinafter referred to as "Franchise"). The Franchise herein granted shall be deemed non-exclusive, and shall continue and endure throughout the term of this ordinance so long as the Grantee is in compliance with all the terms of this ordinance and all applicable laws and regulations of the federal, state and local governments. Section 11 TERM This Franchise and the rights granted hereunder to Grantee in this ordinance shall extend and endure for a tern of twenty-five (25) years from the effective date of this ordinance unless terminated sooner by the City as hereinafter provided. Section III CONSTRUCTION AND MAINTENANCE All work done by Grantee in connection with the construction, operation, and maintenance of said fiber optic network shall be performed to the satisfaction and subject to the supervision of the city public works director or other duly constituted representative of the City. Grantee shall not cause any permanent injury to the streets of the City or to the City' s utilities located therein, nor shall Grantee in any manner unreasonably disturb or interfere with any water, gas or sewer lines or other conduits now or hereafter laid by the City or any authorized company or corporation in said streets. Except as to emergency repairs, Grantee shall, prior to installing, repairing or relocating any pipe, main, conduit, or service line, file with the Public Works Department, or such other person designated by the City, plans and specifications thereof showing the work to be done, the location City of Camas Franchise 1 of 7 Sawtooth Technologies, LLC. and nature of the installation to be made, repaired or maintained, and a schedule showing the time of beginning and completion, and shall secure the approval of the City before proceeding with any such work, and shall obtain all necessary permits prior to proceeding with such work. Any subsequent changes in the plans, specifications, or schedules shall require the approval of the City. Section IV REPAIR The Grantee shall, at its own cost and expense, promptly repair all streets and other public places in any way disturbed by the Grantee, its agents, employees, or contractors, and shall restore the same to as good a condition as the same were prior to doing any work therein. Whenever Grantee's construction, maintenance, and repair of the fiber optic require trenching in the improved roadway, Grantee shall design and install a 0. 12 foot depth asphalt pavement overlay over the entire roadway where Grantee has cut trenches into the improved roadway. Section V RELOCATION Nothing in this Ordinance shall be deemed or construed to limit the power of the proper authorities of the City of Camas to prosecute and maintain public or local improvements. Whenever in the prosecution or maintenance of such improvements it becomes necessary or convenient to remove, readjust, relocate, or change the location of Grantee's fiber optic cable and appurtenances thereto, the same shall be done by and at the sole expense of the Grantee. Grantees shall remove, readjust, relocate or change location of Grantee's fiber optic cable within 90 days of written notification from the City unless otherwise agreed to by City. In the event Grantee fails to do so, then City may, at Grantee's sole expense, have the fiber optic cable relocated by City's contractor. In such event, Grantee shall pay the cost of relocation within 30 days of submission of an invoice by City. Section VI INDEMNIFICATION The Grantee shall defend, indemnify and hold the City, its officers, officials, employees, and volunteers harmless from any and all claims, injuries, damages, losses, or suits, including attorneys fees, arising out of or in connection with activities or operations performed by the Grantee or on the Grantee' s behalf pursuant to this Franchise, except for injuries and damages caused by the sole negligence of the City. Should a court of competent jurisdiction determine that this Franchise is subject to RCW 4.24. 115 , then, in the event of liability for damages arising out of bodily injury to persons or damages to property caused by or resulting from the concurrent negligence of the Grantee and the City, its officers, officials, employees, and volunteers, Grantee ' s liability hereunder shall be only to the extent of the Grantee' s negligence. It is further specifically and expressly understood that the indemnification provided herein constitutes the Grantee' s waiver of immunity under Industrial Insurance, Title 51 , RCW, solely for the purposes of this indemnification. This waiver has been mutually negotiated by the parties. The provisions of this section shall survive the expiration or terntination of this Franchise. Section VII City of Camas Franchise 2 of 7 Sawtooth Technologies, LLC. INSURANCE Grantee shall procure and maintain, for the duration of the Franchise, insurance against claims for injuries to persons or damage to property which may arise from or in connection with operations or activities performed by or on the Grantee' s behalf with the issuance of this Franchise. Grantee ' s maintenance of insurance as required by the agreement shall not be construed to limit the liability of the Grantee to the coverage provided by such insurance, or otherwise limit the City' s recourse to any remedy available at law or in equity. A. Minimum Scope of Insurance Grantee shall obtain insurance of the type described below: 1 . Commercial General Liabilitv insurance shall be written on Insurance Services Office (ISO) occurrence form CG 00 01 and shall cover operations, independent contractors, products-completed operations, stop gap liability, personal injury and advertising injury, and liability assumed under an insured contract. The City shall be named as an insured under the Grantee' s Commercial General Liability insurance policy. 2. Automobile Liability insurance covering all owned, non-owned, hired and leased vehicles. Coverage shall be written on Insurance Services Office (ISO) form CA 00 01 or a substitute form providing equivalent liability coverage. If necessary, the policy shall be endorsed to provide contractual liability coverage. 3 . Excess or Umbrella Liability insurance shall be at least as broad in coverage scope, as the Grantee's Commercial General Liability and Automobile Liability insurance. B. Minimum Amounts of Insurance Applicant shall maintain the following insurance limits: 1 . Commercial General Liabilitv insurance shall be written with limits no less than $ 1 ,000,000 each occurrence, $2,000,000 general aggregate and a $2,000,000 products- completed operations aggregate limit. 2. Automobile Liabilitv insurance with a minimum combined single limit for bodily injury and property damage of $ 1 ,000,000 per accident. 3 . Excess or Umbrella Liability insurance shall be written with limits not less than $5 ,000,000 per occurrence and aggregate. This minimum amount requirement may be satisfied instead through the Grantee' s Commercial General Liability and Automobile Liability insurance, or any combination of Commercial General, Automobile Liability, and/or Umbrella. C. Other Insurance Provision The Grantee' s Commercial General Liability insurance policy or policies are to contain, or be endorsed to contain that they shall be primary insurance as respect the City. Any Insurance, self- City of Camas Franchise 3 of 7 Sawtooth Technologies, LLC. insurance, or insurance pool coverage maintained by the City shall be excess of the Grantee's insurance and shall not contribute with it. D. Acceptability of Insurers Insurance is to be placed with insurers with a current A.M. Best rating of not less than A:VII. E. Verification of Coverage Grantee shall furnish the City with original certificates and a copy of the amendatory endorsements, including the additional insured endorsement, evidencing the insurance requirements of the Applicant before issuance of the Permit. F. Notice of Cancellation The Grantee shall provide the City with written notice of any policy cancellation, within two business days of their receipt of such notice. G. Failure to Maintain Insurance Failure on the part of the Applicant to maintain the insurance as required shall constitute a material breach of the permit or agreement, upon which the City may, after giving five business days notice to the Grantee to correct the breach, immediately terminate the contract or, at its discretion, procure or renew such insurance and pay any and all premiums in connection therewith, with any sums so expended to be repaid to the City on demand. Section VIII NON-EXCLUSIVE FRANCHISE Nothing in this ordinance shall be construed as granting an exclusive franchise or privilege for the use of the City' s property as described in Exhibit A, provided however, that any grantee of similar rights and privileges shall not in the exercise thereof unreasonably interfere with the exercise of the rights and privileges hereunder granted. Section IX ACCEPTANCE OF FRANCHISE Grantee shall forfeit and shall be deemed to have forfeited and abandoned all rights, privileges and authority hereby conferred, unless within thirty (30) days after the effective date of this ordinance, it shall file in the office of the City Clerk written acceptance of the rights and privileges conferred hereby, which acceptance shall contain an express understanding by the Grantee, for itself and its successors and assigns, to faithfully comply with and abide and be bound by the terms of this Franchise and all of the requirements hereof, and to faithfully and timely keep and perform each and every tern, covenant, agreement, obligation and condition required of, or imposed upon it or them by this Franchise and the Camas Municipal Code. Section X TERMINATION City of Camas Franchise 4 of 7 Sawtooth Technologies, LLC. In case of the failure on the part of the Grantee to comply with any of the provisions of this ordinance, or if Grantee does or causes to be done any act or thing prohibited by or in violation of the terms of this ordinance, the City may declare a forfeiture of all rights and privileges granted by this ordinance and all rights thereunder shall cease; provided however, that such forfeiture shall not occur or take effect until the City serves by certified mail, return receipt requested, a written notice upon the local manager of Grantee setting forth clearly and in detail the failure or violation complained of, and Grantee shall thereafter have thirty (30) days from the date of mailing said notice in which to comply with the conditions of this right and privilege. If such failure or violation continues beyond said thirty (30) days, then the City may terminate this right and privilege by ordinance. Section XI REMEDIES In addition to other remedies provided herein, the City reserves and shall have the right to pursue any remedy to compel or enforce the Grantee and/or its successors and assigns to comply with the terns hereof, and the pursuit of any right or remedy by the City shall not prevent the City from thereafter declaring a forfeiture for any reasons herein stated, after giving the notice required hereby, nor shall the delay of the City in declaring a forfeiture preclude it from thereafter doing so. Section XII ASSIGNMENT This franchise and the rights herein granted may be assigned only with the consent of the City, but no such assignment shall be of any force or effect until a copy thereof, certified as such by the property officials of the Grantee, shall have been filed in the office of the City Clerk, nor until the City Council of the City shall have consented to such assignment. Any such successor or assignee of the Grantee must file with the City Clerk written acceptance of the rights and privileges conferred hereby and such successor' s or assignee' s agreement to fully comply with and abide by and be bound by the terms of this ordinance and all the requirements hereof, and to faithfully and timely keep and perform each and every term, covenant, agreement, obligation and condition required of or imposed upon the Grantee hereunder. Section XIII FEDERAL INTEREST Federal Interest. Grantee will be using funds under a Federal Grant under the Broadband Technology Opportunities Program (`STOP") to finance the construction of fiber optic broadband facilities and equipment under this franchise. Pursuant to BTOP, Grantee holds its interest in the franchise and the broadband facilities and equipment as trustee for the Federal Agency administering that program, specifically, the National Telecommunications and Information Administration ("NTIA"). BTOP requires participants in that program to file a Covenant of Purpose, Use and Ownership (the "Federal Covenant") with the County Auditor where the property is located. The Federal Covenant requires that the Grantee' s interest in the franchise or in the broadband facilities or equipment located on or in the property that is subject to the franchise, not be sold during the useful life of those items without the prior consent of City of Camas Franchise 5 of Sawtooth Technologies, LLC. NFIA. In light of the foregoing, the parties hereto agree as follows: (a) Grantee may file a Federal Covenant pertaining to the franchise in a form substantially to that attached hereto. (b) Any provisions of this franchise that conflict with the rules and regulations under BTOP are made subject to the provisions of those rules and regulations. (c) Notwithstanding the provisions contained in Section X11 hereinabove, Grantee may assign its interest in this franchise to NTIA if required to do so under the rules and regulations of BTOP. Section XIV COMPENSATION As compensation for the franchise granted by this ordinance, Grantee shall pay to the City a one time franchise fee of $1 ,000.00. Said franchise fee shall be payable within 30 days of adoption of this Ordinance by City. The Grantee shall also be required to pay all license fees and taxes which it may be required to pay by any other ordinance now in effect or hereinafter enacted, including a business or occupation tax or public utility tax on persons engaged in the business carried on by Grantee. Section XV PUBLICATION EXPENSE In addition to the annual license fee, Grantee shall reimburse the City for the cost of publication of this ordnance. Section XVI EFFECTIVE DATE This ordinance shall take effect and be in force five (5) days from and after its passage and publication and after a eptance by the Grantee as above required. PASSED by the Co and PROVED by the Mayor this day of W(-S , 2013_. 4 SIGNED: Mayor ATTEST: / '\ f L` APPROVED as to form: Clerk City Attorney V City of Camas Franchise 6 of 7 Sawtooth Technologies,. LLC. EXHIBIT A Description of Fiber Optic Nehvork Sawtooth Technologies, LLC. See attached maps/drawings. Ciry of Camas Franchise 7 of 7 Sawtooth Technologies, LLC. NET L 91B1T A 21 - - - - 17 16 SAE / OF 27 Sawtooth Technologies, LLC. 50 SE Cascade Ave. Stevenson, WA 98648 Tel, 509-427-4865 Fax. -- 509-427-4828 22 LEGEND --_ } STATION _.._._ E HANDHOLE ® POLE ` :_....'... « .,..,., e. 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POLEx'11,,�7 509-427-0828 TEka 2Rr v "EvA2' LEGEND SE 20TH CIRCL I "oA29s•i___ - - _ II rtes 2T p. STATION fJ HANDHOLE -. NE eio,• ® POLE H°A2513 AERIAL FIBER BURIED FIBER EXISTING FIBER III NNNNNNgggg 80 _ ROAD 0 T[1c01 & u l A 2A%d M II NET RIS P PDA 25 I ill - 4] ROA 25 I ATECREATE — t1n42S12 TE REVISED. 1IMSEE012 HCA 25� Ul BY: ntemn I i RY GREEN h HOA 25 IIPANSCAL . _ 2001 COM Sa,Noom Tecnnolo In . LLC. HOA ZS PWA 2 I SYSTEM 14 PROJECTNUMeER. 1POLE918073 PAGE // OF 27 °ESCRIPTION: ROUTE SC-]A HCA 25 WEE 10 OF 26 I' MENOMINEE Ell NEOT3 TOY 24 CHR , Solutions TELCO CAW w3510,E10A 25' NET i LE.z.02e _ TELCO 231' HOA PM40 UG I TE Sawtooth Technologies, LLC. 50 SE Cascade Ave NELT 14 Stevenson, WA 98648 Tel. 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HF(3M4&X )T PAGE 27 OF 2 aM4(s/ellal 509-427-4865 Fax. BFO BEG,'EG i'xs^w�E � .„��/ • STORAGE i” LEGEND $ STATION A1A �..•� 7 HANDHOLE sHFM0Mk0N3GjT ® POLE RMg(5/8)(¢) AERIAL FIBER us IDOPSTORAGE BURIED FIBER EXISTING FIBER ROAD DATECREA M i DAM REVISED: 11115o012 DRAM BY. Raanc nmras N SCALE 11=2001 COMPANY sawmoth Technologl , LLC. SYSTEM: PROJECT NUMBER DESCRIPTION C- MAP. 26 OF 26 FCR,W Solutions CITYED OF iCAMA5 Sawtooth 50 SE Cascade Ave . 2013 MAY — 8 AMTIechnologies PO Box 857 Stevenson , WA 98648-0857 Tel. 509.427.4865 Fax: 509.427.4828 FOR FILING WITH CAMAS CITY CLERK May 3, 2013 City of Camas 616 NE Fourth Avenue R O. Box 1055 Camas, WA 98607 Re: Acceptance of Franchise Granted by City Ordinance No. 2673 Effective 4/29/2013 On April 15, 2013, the Camas City Council passed City Ordinance No. 2673 granting to Sawtooth Technologies, LLC. , as Grantee, a Franchise for the construction, operation and maintenance of a fiber-optic network. Section IX of the Ordinance and Franchise requires the Grantee to file with the City Clerk a written acceptance of the Franchise within 30 days of the effective date. Sawtooth Technologies, LLC. hereby accepts the rights and privileges conferred to it by the City of Camas pursuant to the subject Franchise. Grantee, for itself and its successors and assigns, expressly understands and agrees to faithfully comply with, and abide and be bound by, the terms of the Franchise and all of the requirements thereof, and to faithfully and timely keep and perform each and every term , covenant, agreement, obligation and condition required of, or imposed upon it or them by the Franchise and the Camas Municipal Code. Sincerely, Sawtooth Technologies, LLC. ro 0 By. cJ f � rn -... ._ ._ r O1M co �1r•n Brian J . Adams, Managefr �< = 3m 0 rn Franchise Acceptance Letter 1 of 1 Sawtooth-City of Camas