HomeMy WebLinkAboutTIC 2019-06-04 Item 2C - Ordinance - Franchise Agreement for Utility 1-Year Extension with Astound BroadbandTO:
FROM:
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Public Works Department Henry Hash, Director
INFORMATIONAL MEMORANDUM
Transportation and Infrastructure Committee
Henry Hash, Public Works Director
BY: Cyndy Knighton, Senior Program Manager
CC: Mayor Ekberg
DATE: May 31, 2019
SUBJECT: Astound Broadband, LLC Franchise Agreement
Ordinance 2445
Extension of Franchise Term
Allan Ekberg, Mayor
ISSUE
Approve an ordinance modifying Ordinance 2445 extending the franchise term with Astound
Broadband, LLC, to August 11, 2020.
BACKGROUND
State law provides cities the authority to establish franchises to telecommunication providers who
wish to occupy city owned rights -of -way. Tukwila Municipal Code 11.32.060 requires all
telecommunication providers to obtain franchise agreements with the City prior to approval to
construct, maintain and operate within the City limits. On August 4, 2014, the City Council passed
Ordinance 2445, granting a five-year franchise to Astound Broadband, LLC (d.b.a. "Wave"). The
current franchise agreement term ends on August 11, 2019.
DISCUSSION
A request to extend the franchise agreement by five years was submitted by Wave on May 8,
2019. Section 3 of Ordinance 2445 allows the City to extend the franchise by up to one year
beyond the term of the expiration date to allow processing of a renewal — meaning a new franchise
agreement would be negotiated during the one-year extension. Staff recommends granting the
one-time, one-year extension to allow time for a new franchise agreement to be developed and
agreed upon by both parties.
FINANCIAL IMPACT
There is no direct financial impact to the one-year extension but developing a new franchise
agreement will require staff time to complete.
RECOMMENDATION
The Council is being asked to approve the Ordinance and consider this at the June 10, 2019
Committee of the Whole meeting and subsequent June 17, 2019 Regular Meeting.
ATTACHMENTS
• Draft Ordinance
• Letter of Request for Extension
w:\pw eng\projects\franchise\telecom\astound\information memo - franchise extension 6-4-19.docx
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AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
TUKWILA, WASHINGTON, TO PROVIDE FOR A ONE YEAR
EXTENSION OF THE FRANCHISE TERM FOR ASTOUND
BROADBAND, LLC, AS AUTHORIZED IN ORDINANCE NO.
2445 §3; PROVIDING FOR SEVERABILITY; AND
ESTABLISHING AN EFFECTIVE DATE.
WHEREAS, the City Council passed Ordinance No. 2445 on August 4, 2014, granting
a five-year franchise to Astound Broadband, LLC, for the purposes of constructing and
maintaining a telecommunications system in certain public rights -of -way in the City; and
WHEREAS, the franchise granted to Astound Broadband, LLC, expires on August 11,
2019; and
WHEREAS, Section 3 of Ordinance No. 2445 allows the City to extend the franchise
by up to one year beyond the term of the expiration date to allow processing of a renewal of
said franchise; and
WHEREAS, Astound Broadband, LLC, has requested an extension of the franchise;
and
WHEREAS, both Astound Broadband, LLC, and the City Council agree an extension
serves the interests of both parties;
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA,
WASHINGTON, HEREBY ORDAINS AS FOLLOWS:
Section 1. Franchise Term Extended. The one time extension of the franchise for
Astound Broadband, LLC, as authorized in Ordinance No. 2445, Section 3, is hereby
granted for one calendar year to allow for processing of a renewal franchise, thereby
extending the current franchise term through August 11, 2020.
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Section 2. Corrections by City Clerk or Code Reviser. Upon approval of the City
Attorney, the City Clerk and the code reviser are authorized to make necessary
corrections to this ordinance, including the correction of clerical errors; references to other
local, state or federal laws, codes, rules, or regulations; or ordinance numbering and
section/subsection numbering.
Section 3. Severability. If any section, subsection, paragraph, sentence, clause,
or phrase of this ordinance or its application to any person or situation should be held to
be invalid or unconstitutional for any reason by a court of competent jurisdiction, such
invalidity or unconstitutionality shall not affect the validity of constitutionality of the
remaining portion of this ordinance or its application to any other person or situation.
Section 4. Effective Date. This ordinance or a summary thereof shall be published
in the official newspaper of the City, and shall take effect and be in full force five days
after passage and publication as provided by law.
PASSED BY THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, a
a Regular Meeting thereof this day of , 2019.
ATTEST/AUTHENTICATED:
Christy O'Flaherty, MMC, City Clerk
APPROVED AS TO FORM BY:
Rachel B. Turpin, City Attorney
Allan Ekberg, Mayor
Filed with the City Clerk:
Passed by the City Council:
Published:
Effective Date:
Ordinance Number:
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VIA FedEx
May 7th, 2019
Henry Hash
Director of Public Works
6300 Southcenter Boulevard
Suite 100
Tukwila, WA 98188
RE E1VPia
MAY 08 2019
'TUKWILA
PUBLIC WORKS
Re: Request for Telecommunications Franchise Extension
Mr. Hash:
Our records indicate that the telecommunications franchise passed by the City Council of the City
of Tukwila, Washington, and held by Astound Broadband, LLC doing business as Wave ("Wave") will expire
on August 12th, 2019. We are writing you now in advance of the franchise expiration date, to notify you
of Wave's desire to extend the franchise an additional 5 years. Attached is a copy of the current
Telecommunications Franchise Agreement.
Should you have any questions, please contact me at (609) 681-2184. Thank you for your attention
to this matter.
Very truly yours,
Joseph Kahl
VP of Regulatory & Public Affairs
Cc: David von Moritz
Fred Lutz
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