HomeMy WebLinkAbout1998-24 Telecommunications FeesRecitals:
RESOLUTION NO. 98-,~..~'
A RESOLUTION ADOPTING FRANCHISE AND LICENSE FEES FOR
TELECOMMUNICATIONS SERVICES AND FACILITIES.
A. The city's telecommunications ordinance adopted in 1998 and codified in Title
16 of the Ashland Municipal Code provides that the city council shall set
telecommunication fees by resolution.
B. Telecommunication franchise and license fees are established by the city for
the purpose of assuring that the city's current and ongoing costs of granting and
regulating private access to, and the use of, public rights-of-way are fully
compensated by the persons seeking such access and causing such costs and to
secure fair and reasonable compensation to the city and its residents for permitting
private use of the public right of way.
THE CITY OF ASHLAND RESOLVES AS FOLLOWS:
SECTION 1. Franchise and License Fees (AMC § 16.24.070). As compensation for the
benefits and privileges under its franchise or license and in consideration of permission
to use the rights-of-way of the city, a telecommunications grantee shall pay a fee to the
city, through the duration of its franchise or license, as follows:
A. For all grantees except as provided in paragraphs B and C, a fee of 5% of
gross revenues paid quarterly. The minimum quarterly fee shall be $1,000.
Gross revenue is defined in section 16.04.040.L of the Ashland Municipal Code.
B. For local exchange carriers, 7% of the gross revenues of the
telecommunication utility earned within the city. Gross revenues for local
exchange carriers are defined by statute as revenues derived from exchange
access services, as defined in ORS 40i.710, less net uncollectibles from such
revenues.
The franchise fee from a local exchange carrier shall not exceed the maximum
amount under Oregon law. The city shall accept from a local exchange carrier, in
full payment of the franchise fee, the maximum amount allowed under Oregon
law.
C. For limited use telecommunications grantees, a minimum annual fee,
payable in advance, of $4,000 or $1.22 per lineal foot of right-of-way used,
whichever sum is greater. This fee shall increase annually in July of each year,
by multiplying the fee by a fraction, the numerator of which is the CPI Index
Figure for the month of March preceding the July in which the fee is to be
increased and the denominator of which is the Base CPI Index Figure. As used
in this section, "Index" refers to the All Urban Consumers (CPI-U), U.S. City
Average, CPI index published by the Bureau of Labor Statistics of the United
States Department of Labor. "Base CPI Index Figure" shall refer to the Index
number indicated for the month of March, 1998, and the "CPI Index Figure" for
any other month shall refer to the Index number for that month.
Beginning July 1, 2001, the fee shall be $2.50 per lineal foot. This fee shall
increase annually by the CPI Index as set forth above. The base CPI will be
March of 1998
A limited use telecommunication grantee is defined as one whose franchise or
license limits the amount of linear feet the grantee may occupy or one who has a
current franchise for the purpose of long distance telecommunications.
SECTION 2. Other telecommunication fees are established as follows:
A. Construction Permit Fee (AMC § 1612.070). Unless otherwise provided in a
license or franchise agreement, prior to issuance of a construction permit, the
applicant shall pay a permit fee equal to $250.00 or six tenths of one (0.6%) of
the estimated cost of constructing the telecommunications facilities, whichever is
greater.
B. Application and Review Fee for a License or Franchise (AMC § 16.20.040).
Unless otherwise provided in a license or franchise agreement the applicant will
shall pay a review fee of $250.00
On request, grantee must provide documentation to support its calculation.
This resolution was read by title only in accordance with Ashla,~ ~u~palz, C_od~e
§2.04.//~ duly PASSED and ADOPTED this ~ day of,/'~ , 1998.
Barbara Christensen, City Recorder
SIGNED and APPROVED this ,,/'~
Re)~ed as tp forl;r~:
Paul Nolte, City Attorney
day o~, 1998.
Catherine M. Shaw, Mayor