Ordinance 954
MCI TELECOMMUNICATIONS CORPORATION FRANCHISE

ORDINANCE NO. 954

AN ORDINANCE GRANTING TO MCI TELECOMMUNICATIONS CORPORATION, ITS SUCCESSORS AND ASSIGNS, THE NON-EXCLUSIVE PRIVILEGE TO USE HOLLY STREET WITHIN THE CITY OF JUNCTION CITY TO CONSTRUCT AND MAINTAIN PUBLIC COMMUNICATION FACILITIES, ESTABLISHING CONDITIONS, AND DECLARING AN EMERGENCY.

Section 1. Definitions. As used in this Ordinance, the following words and phrases shall mean:

City: The City of Junction City, Oregon.

Communications Facilities: All conduits, fiber optic systems, and associated structures owned by Grantee for use by Grantee in providing telecommunications services.

Grantee: MCI Telecommunications Corporation, its successors and assigns.

Section 2. Privileges. Subject to the provisions and restrictions of this Ordinance and the City Administrator’s authority to prescribe the specific location, City grants to Grantee the non-exclusive privilege to use the Holly Street right- of-way to construct, operate, repair, relocate, and maintain underground communications facilities within the corporate limits of the City.

Section 3. Construction Reimbursement. Grantee shall notify all affected utilities and businesses and reimburse them for any costs or expenses associated with Grantee’s construction.

Section 4. Construction Approval. Grantee’s use of Holly Street shall comply with the standard specifications of City and all other applicable Federal, state, and local laws and regulations. No work affecting the use of Holly Street shall be done by Grantee without first obtaining City permission, and may include plan submittal and approval and the payment of fees.

Section 5. City’s Rights. Nothing in this Ordinance shall be construed in any way to prevent City from constructing and maintaining any public improvement in Holly Street. In its construction and maintenance of public improvements, City shall endeavor not to obstruct or prevent the use by Grantee of its communication facilities.

Section 6. Notice. City may determine it necessary that any communications facilities of Grantee be moved or relocated to accommodate the maintenance, operation or improvement of any areas for any public purpose, including grading or widening. City shall provide written notice 180 days in advance when practical, but no less than 90 days directing Grantee to move or relocate such communications facilities to an area within the city public way mutually agreed upon, at no cost to the City. City may, however, relocate, move or take what actions necessary in the case of an emergency as reasonably determined by City and all associated costs shall be reimbursed to City.

Section 7. Private Improvements. Should it ever become necessary to temporarily rearrange or temporarily remove Grantee’s communications facilities at the request of a private person or business, Grantee shall perform such rearrangement or removal as expeditiously as possible upon receipt of reasonable written notice from the person or business desiring the temporary change of the communications facilities. The notice shall:

(a) be approved by the City Administrator,

(b) detail the route of movement,

(c) provide that the costs incurred by Grantee in making the temporary change be borne by the person or business giving said notice,

(d) provide that the person or business giving the notice shall indemnify and hold harmless the Grantee of and from any and all damages or claims of whatsoever kind or nature caused directly or indirectly from such temporary change of the Grantee’s communications facilities, and

(e) if required by Grantee, be accompanied by a cash deposit, a good and sufficient bond and adequate insurance to pay any and all of the Grantee’s estimated costs as estimated by Grantee.

Section 8. Maintenance. Grantee shall at all times maintain all of its communications facilities in a good state of repair.

Section 9. Hold Harmless. Grantee shall indemnify and hold harmless City of and from any and all damages of any kind or character growing out of or arising by reason of the maintenance of the Grantee’s communications facilities in the City. This Section shall not be construed to require Grantee to indemnify and save harmless City as to any damages of any kind or character arising out of the negligence of City.

Section 10. Consideration. In consideration of the privileges granted, Grantee shall pay an annual fee in the amount of $5,000 per year. Such payment shall be due and payable no later than December 31, of each year this Ordinance is in effect. The payment of this fee shall not be credited toward the payment of any other fees or taxes as may be appropriately imposed or assessed against Grantee.

Section 11. Term. The privileges herein granted shall continue and be in force for a period of ten (10) years from and after the date this Ordinance becomes effective; provided that Grantee, in the event of abandonment of its communications facilities, may terminate this franchise by giving the City 180 days’ written notice of such abandonment. Should these facilities be abandoned, they shall be removed within one (1) year or may be accepted by the City for its use.

Section 12. Renewal. This franchise, at the expiration of the original term, shall automatically renew for successive five (5) year terms, unless either party notifies the other 180 days prior to the expiration of the term of their desire for termination. The franchise fee for each renewal term will be an increase in the current franchise fee by a percentage equal to the percentage of increase in the CPI-U for Portland, Oregon, from the date of the beginning of the current term until the date of renewal.

Section 13. Recipients. Any notice required to be given by this agreement shall be served upon the parties at the following addresses:

MCI Telecommunication Corporation

Office of the General Counsel

1133 19th Street NW

Washington, DC 20036

with copy to:

MCI Telecommunications Corporation

Site Management

400 International Parkway

Richardson, TX 75085

Section 14. Emergency Clause. In order to assure the receipt by City of the franchise fee and to prevent undue delay in Grantee’s construction of facilities, an emergency is declared to exist and this Ordinance shall be in full force and effect immediately upon its passage by the Council and approval by the Mayor, and filing with the City the grantee’s written acceptance of all the terms and conditions of this ordinance.

PASSED by the City Council on this 13th day of August, 1991.

APPROVED by the Mayor this 13th day of August, 1991.

APPROVED:

_____________________________

Mayor

ATTEST:

_____________________________

Recorder