Title
Resolution to Approve a Fiber and Conduit Use Agreement with Merit Network, Inc.
Memorandum
The City's fiber network (A2 I-NET) was constructed with additional capacity to allow third party entities to utilize excess fiber strands. Merit Network, Inc., requested to use one pair of fiber strands on the A2 I-NET. This resolution seeks approval of a Fiber and Conduit Use Agreement for this non-governmental entity which is similar to the governmental Fiber and Conduit Use Agreements previously approved for the DDA, AAATA, and the AADL.
The fiber strands will be physically separate from all other fiber strands on the City's fiber network. Merit Network, Inc., intends to construct and own laterals with their fiber segments and the City will be responsible for splicing those fiber segments into the Merit strands on A2 I-NET.
The agreement includes general terms and conditions that govern the relationship between the City and Merit Network, Inc., and is set up such as the number and locations of fiber strands used and to allow Merit Network, Inc. to expand its usage. The agreement defines how compensation is calculated and payment to the City for Merit Network Inc. use of, and for maintenance of, the Merit Network Inc. share of the fiber optic network. The term of the agreement is through June 30, 2027.
Merit will compensate the City a One-Time fee of $105,000.00 and an Annual Usage Fee of $10,500.00, which the City may adjust annually based on the Consumer Price Index.
Staff recommends that Council approve the attached agreement for Merit Network, Inc.
Staff requests that City Council authorize the City Administrator to approve additional fiber strands and locations to this agreement, including applicable fee adjustments, to streamline the approval process.
Staff also recommends that City Council authorize the City Administrator to approve and enter into fiber and conduit use agreements with other third parties with the same or similar terms and con...
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