TIC 2017-09-12 Item 2E - Ordinance - Telecommunications Facilities Franchise with Sprint Communications Company

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order to secure indebtedness. Approval shall not be required for mortgaging purposes provided that the collateral pledged for any mortgage shall not include the assets of this franchise. Approval shall not be required for any transfer from Sprint to another person or entity controlling, controlled by, or under common control with Sprint. Sprint may license fibers to other users without the consent of the City provided that Sprint remains solely responsible for the terms and conditions outlined in this Franchise Agreement. B. In any transfer of this Franchise that requires the approval of the City, Sprint shall show that the recipient of such transfer has the technical ability, financial capability, and any other legal or general qualifications as reasonably determined by the City to be necessary to ensure that the obligations and terms required under this Franchise Agreement can be met to the full satisfaction of the City. The qualifications of any transferee shall be determined by a hearing before the City Council and the approval to such transfer shall be granted by resolution of the City Council. Any reasonable administrative costs associated with a transfer of this Franchise that requires the approval of the City shall be reimbursed to the City within 30 days of such transfer. Section 10. Administrative Fees. A. Pursuant to the Revised Code of Washington (RCW), the City is precluded from imposing franchise fees for "telephone businesses" as defined in RCW 82,16.010, or "service provider" as defined in RCW 35.99,010, except that fees may be collected for administrative expenses related to such franchise. Sprint does hereby warrant that its operations, as authorized under this Franchise Agreement, are those of a telephone business as defined in RCW 82.16,010 or a service provider as defined in 35,99,010. B, Sprint shall be subject to a one-time $5,000 administrative fee for reimbursement of costs associated with the preparation, processing and approval of this Franchise Agreement, These costs shall include, but not be limited to, wages, benefits, overhead expenses, equipment and supplies associated with such tasks as plan review, site visits, meetings, negotiations and other functions critical to proper management and oversight of the City's right-of-way. Administrative fees exclude normal permit fees as stipulated in Title 11 of the Tukwila Municipal Code. Payment of the one-time administrative fee is due 30 days after notice of franchise approval. C. The City reserves the right to exercise authority it has or may acquire in the future to charge a franchise fee as authorized by law. D. In the event Sprint submits a request for work beyond the scope of this Franchise Agreement, or submits a complex project that requires significant comprehensive plan review or inspection, Sprint shall reimburse the City for franchise amendments and expenses associated with the project. Sprint shall pay such costs within 60 days of receipt of a bill from the City, together with reasonable supporting documentation evidencing such costs. E. Failure by Sprint to make full payment of bills within the time specified shall be considered sufficient grounds for the termination of all rights and privileges existing under this ordinance, utilizing the procedures specified in Section 6 of this ordinance. W: Word Processing\Ordinancen\Sprint Franchise Agreement 8-11-17 BG -Ibis Page 8 of 12 203