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HomeMy WebLinkAboutORD 1999-086 ORDINANCE N0.99-86 � AN ORDINANCE OF THE CITY OF GRAPEVINE, TEXAS, GRANTING A REVOCABLE LICENSE TO TOUCH AMERICA, INC. TO OCCUPY, MAINTAIN AND UTILIZE CERTAIN PUBLIC RIGHTS-OF-WAY WITHIN THE LIMITS OF THE CITY OF GRAPEVINE FOR THE PURPOSE OF THE INSTALLATION AND MAINTENANCE OF FIBER-OPTIC TELECOMMUNICATION CABLES; PROVIDING FOR THE TERMS AND CONDITIONS OF THIS LICENSE; PROVIDING FOR COMPENSATION TO BE PAID TO THE CITY; PROVIDING A SAVINGS CLAUSE AND AN EFFECTIVE DATE; AND DECLARING AN EMERGENCY. BE IT ORDAINED BY THE CITY COUNCIL OF GRAPEVINE, TEXAS: Section 1. That a revocable License, subject to the terms and conditions of this ordinance, is hereby granted to TOUCH AMERICA, INC., hereinafter referred to as "Licensee," to occupy, maintain and utilize for the purpose set out herein, in, on, above or below the subsurface space of the public rights-of-way of Grapevine, Texas (the "City'), within the limits of dedicated rights-of-way of said streets and alleys. Section 2. That this License is granted for a term of two (2) years, unless sooner terminated according to other terms and provisions herein contained. Section 3. (a) That there is hereby granted, subject to the City's prompt receipt of the monetary compensation stated herein and the acceptance hereof, to Licensee, for a term of two (2) years from passage of this revocable License ordinance (hereinafter referred to as the "License") (unless otherwise terminated as provided for herein), the non- exclusive right and privilege to have, acquire, construct, expand reconstruct, and maintain in, along, across, or through, and under the public streets, alleys, and rights-of-way of the City, a Fiber Optics Telecommunications Network (the "Network"). Licensee may not operate or use the Network in any manner without the express written consent and agreement of the City and shall not allow any other person or entity the use of the Network in any manner. (b) The City and the Licensee agree that this License does not permit the Licensee to use the Network as a telecommunications provider and the Licensee agrees that it is not the intent of the Licensee to be a telecommunications provider. In the event «.��. Licensee does desire to provide telecommunications services, it shall request and obtain a Municipal Consent Agreement to use the rights-of-way and the Network in such a �N.� manner, consistent with other consents granted by the City. The Licensee further agrees that it will allow no other person or entity to buy capacity in or to use the Network in any manner, except by sale to such person or entity a portion or .,,, .: component of the Network ("Network Elements"), which may be one or more fiber strands, or conduit space, but always in such a manner that the person or entity who is purchasing such Network Elements will own and have control over the physical facilities in the public rights-of-way in such a manner that they will be lawfully required to have express consent from the City to own or operate such Network Elements. Licensee shall verify with the City that such a person or entity has a franchise or consent to use the rights-of-way prior to allowing that person or entity to purchase and use in any manner the Network. Section 4. That Licensee shall pay to the City annually on the anniversary date of the adoption of this License by City Council the greater of the sum of either Thirty-Five Cents ($0.35) per linear foot of installation of the Network placed in, on or over the public rights-of-way, or a fee of One Thousand Dollars ($1,000.00). The first annual fee to be due and payable upon the acceptance of this Ordinance, as required in Section 7, together with the sum of One Thousand Dollars ($1,000.00) for each street crossing in the initial construction, which in any way alters or disturbs the surface of the public right-of-way, except for boring in the soil, which does not cause disruption to vehicle or pedestrian traffic, and for each such new street crossing in the finrelve months subsequent to the previous annual payment, which is due with the next annual payment after such street crossing. Such compensation shall be in addition to and exclusive of any other ` taxes or special assessments required by law to be paid by the Licensee. All sums payable to the City hereunder shall be paid to the City Secretary of the City. �,,..� Section 5. That the License hereby granted is subject to the following terms and conditions: (a) All facilities of the Licensee which are designed and installed within City rights-of-way shall be in accordance with the City Code of Ordinances and the requirements for Right-Of-Way/Easement Construction. All portions of the Network and any other facilities installed or maintained by the Licensee shall be placed overhead or underground, as required by current City requirements. The Licensee shall submit to the City Engineer detailed construction plans and maps showing the location and proposed routing of all facilities to be installed with the City streets and alley rights-of-way, to include if they are overhead or underground, not less than (15) days prior to the commencement of said construction. The City Engineer shall review said plans and may require reasonable modifications in order to protect existing �;�_ or anticipated public improvements or utilities, and to minimize traffic interruption. The Licensee shall then cause the appropriate public records ORD NO. 99-86 2 to be modified so as to notify other property owners or engineers of said improvements within the rights-of-way. Licensee may not begin construction until the location and proposed routing of the new construction or reconstruction and all required plans and drawings have been approved in writing by the City. Any request for expansion may be denied by the City when, in the reasonable opinion of the City Engineer, there is insufficient room in the City right-of-way to accommodate the expansion. The determination of the City Engineer shall be final. (b) The location and route of all conduits, fiber, cables and facilities placed and constructed by the Licensee in the construction and maintenance of its Network within the rights-of-way streets and alleys in the City shall be subject to the lawful, reasonable and proper control and direction of the City. (c) In the event the construction or maintenance of the Network requires the temporary closing of a traffic lane or lanes, the Licensee shall notify the Traffic Department of the City not less than 48 hours prior to the construction or maintenance. The Traffic Department may require the submittal of a traffic control plan, and may also require that all lanes be open and available to traffic during peak traffic hours. �;�,� This paragraph shall not apply to emergency repairs. (d) The Licensee shall conduct all traffic control in accordance with the latest version of the Texas Manual on Uniform Traffic Control Devices, as it may be amended from time to time. (e) The Licensee shall obtain a permit from the Engineering Department of the City prior to commencing any construction, reconstruction or maintenance. (fl Nothing contained in this ordinance shall obligate or restrict the Licensee in exercising its rights voluntarily to enter into joint ownership or other wire space or facilities agreements with light and/or power companies or with other wire-using companies which are authorized to operate within the City. (g) The surface of any public street, avenue, highway, alley, sidewalk, parkway or landscaped area disturbed by the Licensee in the construction or maintenance of the Network shall be restored to the satisfaction of the City �� Engineer within a reasonable time after the completion of the work. Should the City reasonably determine, within two (2) years from the date of such ORD NO. 99-86 3 � : restoration, that such surface requires additional restoration work to place it in as good a condition as before the commencement of the work, the ,,.;,,$ Licensee shall perform such additional restoration work to the reasonable satisfaction of the City. No public avenue, highway, alley, sidewalk, parkway, or landscaped area shall be encumbered for a longer period than shall be reasonably necessary to execute all work. (h) Upon request of the City and at Licensee's cost, the Licensee shall remove and abate any portion of the Network or any facility that is dangerous to life or property, or as required for public construction projects, as determined by the City. If Licensee, after written notice, fails or refuses to act, the City may remove or abate the same, at the sole cost and expense of Licensee, all without compensation or liability for damages to Licensee. Licensee shall promptly restore the public streets, alleys, and rights-of-way to as good a condition as before commencement of the work, to the reasonable satisfaction of the City Engineer. Licensee shall excavate only for the construction, installation, expansion, repair, removal, and maintenance of all or a portion of its network. (i) The Licensee is subject to the police powers of the City, other governmental powers, and the City's rights as a custodian of public property under state and federal laws. The Licensee is subject to City ordinances and requirements and federal and state laws and regulations in connection with ��°�� the construction, expansion, reconstruction, maintenance or repair of the Network that is in, on or over the public rights-of-way. (j) At the City's request, a Licensee shall furnish the City accurate and complete information relating to the construction, reconstruction, removal, maintenance, operation and repair of the Network perFormed by the Licensee in the public rights-of-way. (k) Within 60 days of completion of each new segment of Licensee's Network, the Licensee shall supply the City with a complete set of"as built" drawings for the segment in a format prescribed by the City. A Licensee must obtain the City's approval before relocating the Licensee's Network in, on or over the public rights-of-way. The City may not unreasonably withhold approval, subject to this paragraph and other applicable City Ordinances. (I) The City may require reasonable bonding requirements of the Licensee, as are required of other entities that place facilities similar to the Network in the public rights-of-way, which currently includes a $250,000.00 surety bond. ORD NO. 99-86 4 (m) If, during the term of a License, the City authorizes abutting landowners to occupy space under the surface of any public street, alley, or rights-of-way, .. .� the grant to an abutting landowner shall be subject to the rights of the Licensee. If the City closes or abandons a rights-of-way that contains a portion of Licensee's Network, the City shall close or abandon such rights-of-way subject to the rights conveyed in the License. (n) If the City gives written notice, the Licensee shall, at its own expense, temporarily or permanently, remove, relocate, change or alter the position of Licensee's Network that is in the public rights-of-way within 120 days. For projects expected to last beyond 120 days, the City will confer with Licensee before determining the alterations to be required and the timing thereof. The City shall give notice whenever the City has determined that removal, relocation, change or alteration is reasonably necessary for the construction, operation, repair, maintenance or installation of a City or other governmental public improvements in the rights-of-way. This section shall not be construed to prevent a Licensee's recovery of the cost of relocation or removal from private third parties who initiate the request for relocation or removal. (o) During the term of its License, Licensee may trim trees in or over the rights- of-way for the safe and reliable operation, use and maintenance of its ' Network. All tree trimming shall be performed in accordance with standards promulgated by the City. Should Licensee, its contractor or agent, fail to �°� remove such trimmings within twenty-four(24) hours, the City may remove the trimmings or have them removed, and upon receipt of a bill from the City, the Licensee shall promptly reimburse the City for all costs incurred within thirty (30) working days. Section 6. That this License is granted subject to the following conditions, terms and reservations: (a) That at such time as this License is terminated or canceled for any reason whatsoever, the Licensee, upon orders issued by the City, acting through its City Manger, shall remove all installations, improvements and appurtenances owned by it situated in, under or attached to the Licensed area, and shall restore the premises to their former condition, normal wear and tear excepted, in accordance with the reasonable requirements of the City Manager at the sole cost of Licensee. In the event, upon termination of this License, Licensee shall fail to remove its installations, improvements and appurtenances and to restore the Licensed area in compliance with orders issued by the City, or such work is not done to the reasonable satisfaction of �� the City Manager, then in either event the City shall have the right to do all work necessary to restore said area to its former condition, normal wear and ORD NO. 99-86 5 tear excepted, or cause such work to be done, and to assess the cost of all such work against Licensee; in neither event shall the City be liable to N, _ Licensee on account thereof. (b) The License is nonexclusive and is made to expressly subject and subordinate to the right of the City to use the Licensed area for any public purpose. The governing body of the City reserves the right at any time to unconditionally revoke this License, at will, by resolution duly passed by said governing body, giving Licensee not less than sixty (60) days notice of said revocation. Upon passage of said resolution, all rights granted hereunder shall thereupon be considered fully terminated and canceled and the City shall not be held liable by reason thereof. Said resolution shall be final and shall not be subject to review by the courts. Licensee shall have the right of cancellation upon giving the City sixty (60) days written notice of its intention to cancel, and in the event of termination or cancellation by the City or Licensee, as the case may be, this License shall become null and void and Licensee or anyone claiming any rights under this instrument shall remove any improvements and encroachments from said area at Licensee's expense. Failure to do so shall subject Licensee to the provisions contained in Subsection (a) above. All work shall be done at the sole cost of Licensee and to the reasonable satisfaction of the City Manager of the City, or his ° designee. Provided, however, that upon the adoption of a draft Uniform Telecommunications Franchise Ordinance by the City Council, the City will �'°" give Licensee forty-five (45) days notice of its intention to terminate the License granted herein, and Licensee shall have forty-five (45) days within which to accept the franchise ordinance or to vacate the City's rights-of-way and all rights of Licensee under this ordinance would be terminated. (c) It is further understood that if and when the City, in the exercise of its discretion, shall determine that the grade of any street, alley, sidewalk or parkway should be modified or changed, or that any other work should be done in connection with any public improvement which will affect the Licensed area, and/or any of Licensee's installations and improvements thereon, any modifications or changes in construction or reconstruction of any public improvements attributable to Licensee's use of the Licensed area and/or its installations and improvements thereon, shall be made at the sole expense of Licensee and to the reasonable satisfaction of the City Engineer of the City. (d) INSURANCE. �, (1) Licensee, and its agents and contractors that are in the public rights- of-way, shall obtain and maintain in full force and effect throughout ORD NO. 99-86 6 4a � the term of this License, and any extension or renewal thereof, insurance with an insurance company Licensed to do business in the $.�.� State of Texas, approved by the State of Texas, and acceptable to the City. All companies will be required to be rated A-VI or better by A.M. Best or A or better by Standard and Poor's. The insurance shall be issued in the standard form approved by the State Board of Insurance. Licensee shall provide City with proof of such insurance so required at the time of filing the acceptance of License, as required by Section 7 herein. The City reserves the right to review these insurance requirements during the effective period of the License, and any extension or renewal thereof, and to adjust insurance coverage and their limits when deemed necessary and prudent by the City's Risk Manager, based upon changes in statutory law, court decisions, or the claims history of the industry or the Licensee. (2) Subject to Licensee's right to maintain reasonable deductibles in such amounts as are approved by the City, Licensee, and its agents and contractors in the public rights-of-way, shall obtain and maintain in full force and effect for the duration of this License, and any extension or renewal thereof, at Licensee's sole expense, insurance policy coverage in the following type and minimum amounts: (3) COMPREHENSIVE GENERAL LIABILITY: This insurance shall be ��°"'� an occurrence type policy written in comprehensive form and shall protect the provider and any subcontractors and the additional insureds against all claims arising from bodily injury, sickness, disease or death of any person other than the provider's employees, or damage to property of the City of Grapevine or others arising out of the act or omission of the provider or any subcontractors or their agents, employees, or subcontractors. This policy shall also include protection against claims insured by usual personal injury liability coverage, a (protective liability) endorsement to insure the contractual liability assumed by the provider and any subcontractors under the article entitled indemnification and completed operations, products liability, contractual liability, broad form property coverage, xcu, premises/operations, and independent contractors. Bodily Injury $1,000,000 peroccurrence Property Damage $2,000,000 aggregate (4) COMPREHENSIVE AUTOMOBILE LIABILITY: This insurance shall be written in the comprehensive form and shall protect the provider and any subcontractors and the additional insured against all claims ORD NO. 99-86 7 � for injuries to members of the public and damage to property of others arising from the use of motor vehicles, and shall cover operation on ��� and off the site of all motor vehicles licensed for highway use, whether they are owned, non-owned, or hired. The liability shall not be less than: Bodily Injury Property Damage $1,000,000 Combined Single Limit (5) WORKERS' COMPENSATION AND EMPLOYERS' LIABILITY: This insurance shall protect the provider and any subcontractors and the additional insured against all claims under applicable state workers' compensation laws. The insured shall also be protected against claims for injury, disease, or death of employees which, for any reason, may not fall within the provision of a workers' compensation law. This policy shall include an all states endorsement. The liability limits shall not be less than: Workers Compensation Statutory Employers' Liability $500,000 `�`'� The attached Rule 28 TAC 110.110 relating to REPORTING REQUIREMENTS FOR BUILDING OR CONSTRUCTION PROJECTS FOR GOVERNMENTAL ENTITIES; must be included in specifications for all building or construction contracts. (6) The City shall be entitled, upon request and without expense, to review copies of the policies and all endorsements hereto. The City may make any reasonable requests for deletion, revision, or modification of particular policy terms, conditions, limitations, or exclusions, except where policy provisions are established by law or regulation binding upon the underwriter for any such policies. Upon request for deletion, revision, or modification by the City, Licensee shall exercise reasonable efforts to accomplish the changes in policy coverage, and shall pay the cost thereof. (7) Licensee agrees that, with respect to the above required insurance, all insurance contracts will contain the following required provisions: (i) Name the City and its officers, employees, board members, and elected representatives as additional insureds (as the � interests of each insured may appear) as to all applicable coverage; � ORD NO. 99-86 8 (ii) Provide for thirty (30) days notice to the City for cancellation, ,� non-renewable, or material change; (iii) Provide for notice to the City Secretary by certified mail; and (iv) Provide that all provisions of the License ordinance, as amended, concerning liability, duty and standard of care, including the Indemnity, Section 6(fl of this License ordinance, shall be underwritten by contractual coverage sufficient to include such obligations within applicable policies. (8) The insurance policies obtained by Licensee in compliance with this Section shall be subject to reasonable approval by the City, and such proof of insurance, along with written evidence of payment of required premiums, shall be filed and maintained with the City Secretary during the term of this License ordinance, or any extension or renewal thereof, and may be changed from time to time to reflect changing liability limits, as required by the City. Licensee shall immediately advise the City Secretary of any actual or potential litigation that may develop that would affect Licensee's insurance. (9) Insurers shall have no right of recovery against the City, it being the ��� intention that the insurance policies shall protect Licensee and the City and shall be primary coverage for all loses covered by the policies. (10) The policy clause "Other Insurance" shall not apply to the City where the City is an insured on the policy. (11) Companies issuing the insurance policies shall have no recourse against the City for payment of any premium or assessments which all are set at the sole risk of the Licensee. Licensee shall carry said insurance at its expense, and shall furnish to the City a certificate of such coverage. Said policy shall bear an endorsement to the effect that no cancellation will be effective without first giving thirty (30) days written notice to the City Manager. In the event Licensee shall allow said insurance coverage to lapse during the term hereof, then this License shall automatically be canceled and terminated. Nothing in this Ordinance shall be construed as to prevent Licensee from satisfying any insurance obligations pursuant to this Ordinance under a blanket policy or � policies or pursuant to a secession to self-insure or not insure. ORD NO. 99-86 9 µ M Should Licensee fail to provide a certificate evidencing insurance coverage ,�:,s� in accordance with the specifications as required by this section within thirty (30) days subsequent to mailing of a written request, the City Manager may terminate the License granted herein, upon written notice to Licensee. (12) This License is subject to all applicable State laws, the provisions of the Charter of the City as it now exists, or as may hereafter be adopted or amended, and the Ordinances of the City now in effect or those which may hereafter be passed or adopted. The City shall have the right to increase or decrease the compensation to be charged for the use contemplated by this section granted in accordance with the provisions of the Grapevine Code of Ordinances as it now exists, or as may hereafter be adopted or amended where necessary to ensure that the City is compensated for use of its valuable property. (fl INDEMNIFICATION (1) As a condition hereof, Licensee agrees and is bound to indemnify, defend, and hold the City whole and harmless against any and all claims for damages, costs and expense, to persons or property that ° may arise out of, or be occasioned by the use, occupancy and maintenance of Licensee's installations and improvements within � <� above-described public property, or from any act or omission of any representative, agent, contractor, and/or employees of Licensee, and where lawful, by reason or as a consequence of having granted permission to Licensee to use and maintain the above-described public property, unless damage or other loss or injury is caused by the gross negligence or willful misconduct of the City, its employees, contractors or agents. Licensee shall make no claim of any kind or character against the City for damages that it may suffer by reason of the installation, construction, reconstruction, operation and/or maintenance of any public improvement or utility installed within said rights-of-way, including but not limited to, any water and/or sanitary sewer mains and/or storm sewer facilities and whether such damage is due to flooding, infiltration, backflow and/or seepage caused from the failure of any such installation, natural causes, or any other cause. (2) This License is subject to any existing utilities or communication facilities, including drainage, presently located within the Licensed area, owned and/or operated by the City or any utility or communications company, public or private, and to any vested rights �"`��' presently owned by any utility or communications company, public or ,�� ORD NO. 99-86 10 � private, for the use of the Licensed area for facilities presently located within the boundaries of said Licensed area. It is the intent of the � foregoing that this permission herein is made expressly subject to the utilization of the Licensed area for communication and utility purposes, both public and private, including drainage, over, under, through, across and along the hereinabove described rights-of-way. No buildings shall be constructed or placed upon, over or across the Licensed area in such a manner as to interfere with the operation of any utilities and communication facilities. All and any communication companies and utilities, both public and private, shall have the right to remove and keep removed all or parts of any buildings which may in any way endanger or interfere with the construction, maintenance or efficiency of its respective systems within the Licensed area, and all communication companies and utilities, both public and private, shall at all times have the full right of ingress and egress to or from and upon the said Licensed area for the purpose of constructing, relocating, inspecting, patrolling, maintaining and adding to or removing all or part of its respective systems without the necessity at any time of procuring the permission of anyone. Section 7. That the License granted hereby shall not become effective until and unless the Licensee files an acceptance, in writing, to the terms and conditions of this ordinance with the City Secretary of the City. In the event said acceptance in writing is not � filed within six (6) months after passage of this ordinance as provided herein, then this ordinance shall be no further effect and shall be considered as having been canceled fully. Section 8. That the terms and conditions contained in this License shall be binding upon Licensee, its successors and assigns. Section 9. That this License may not be assigned without prior written approval from the City Manager, or his designee, which consent shall not be unreasonably withheld. Such assignment shall recite that it is subject to the terms, restrictions, and conditions contained in this ordinance. The assignee shall deliver a copy of this assignment, along with the assignee's written acceptance of the provisions of this ordinance to the City Secretary within ten (10) days of such assignment. Should Licensee fail to obtain prior approval for assignment of this License or fail to provide the City with the required written acceptance and a copy of the assignment, the City Manager may terminate this License. Section 10. That the City Secretary is hereby authorized and directed to certify a copy of this ordinance for recording in the Deed Records of Tarrant County, Texas, which certified copy shall be delivered to the City Manager, or his designee. Upon receipt of the compensation fee for the year and acceptable certificate of insurance, the City Manager, '�4� or his designee, shall deliver to Licensee the certified copy of this ordinance. The City .;� ORD NO. 99-86 11 ,� , Manager, or his designee, shall be the sole source for receiving certified copies of this ordinance one (1) year after its passage. �3�� Section 11. If any section, subsection, sentence, cause, phrase, term, provision, condition, covenant or portion of this License ordinance is for any reason held invalid or unenforceable by any court of competent jurisdiction, the remainder of this License ordinance shall not be affected thereby but shall be deemed as a separate, distinct and independent provision, and such holding shall not affect the validity of the remaining portions hereof, and each remaining section, subsection, sentence, clause, phrase, term, provision, condition, covenant and portion of this License ordinance shall be valid and enforceable to the fullest extent permitted by law. Section 12. All notices required or permitted to be given to either party by the other party under any provisions of this License shall be in writing and shall be deemed served: (a) When delivered by hand or by Federal Express or similar service to that party's address set forth below during normal business hours; or (b) When mailed to any other person designated by that party in writing herein to receive such notice, via certified mail, return receipt requested. Notice shall be given to the following: If to City: City Manager, City of Grapevine 200 South Main St./P.O. Box 95104 Grapevine, Texas 76051 / 76099 If to Licensee: Touch America, Inc. Patrick M. Hogan, General Manager, Operations P.O. Box 5329/1315 N. Main Helena, MT 59604 (406) 442-9934 (406) 442-8730 Section 13. That this ordinance shall take effect from and after its passage and at such time as Touch America, Inc. submits written acceptance, which written acceptance shall be attached to this ordinance and labeled Exhibit "A". Section 14. The fact that the present ordinances and regulations of the City of Grapevine, Texas, are inadequate to properly safeguard the health, safety, morals, peace, .��� ORD NO. 99-86 12 y �, and general welfare of the inhabitants of the City of Grapevine, Texas, creates an emergency for the immediate preservation of the public business, property, health, safety and general welfare of the public which requires that this ordinance shall become effective � from and after the date of its final passage, and it is accordingly so ordained. PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF GRAPEVINE, TEXAS on this the 1st day of June, 1999. APPROVED: _%����-� William D. Tate Mayor ATTEST: _ n .. . /, � - � $., ; in Huff City �ecretary APPROVED AS TO FORM: John F. Boyle, Jr. , City Attorney �A�:�. ORD. NO. 99-86 13 Exhibit A to ROW License C.Qh��d• ���� Page 1 of 1 —Touch America, Inc. EXHIBIT A ACCEPTED: Touch America, Inc Representative Name: ' - - Title: _ . . -, Date of Acceptance: � 1<�