HomeMy WebLinkAbout2006-117 Agrmt - Hunter Communications
AFN/HUNTER POLE CONTACT OWNER OF RECORD AGREEMENT
Contract dated this 24 tho day of July 2006 between the City of Ashland, by and through
its Ashland Fiber Network Division (AFN) and Hunter Construction, Inc., an Oregon
corporation dba Hunter Communications (Hunter).
Recitals:
A. AFN and Hunter under agreement dated September 5, 2000, jointly constructed
approximately 13 miles of a fiber optic cable with 48 single-mode strands of fibers and
all related equipment and facilities to connect AFN fiber optic system within the City of
Ashland to a point of presence on Owest nationwide network (Athe Owest POP@) in
Medford, Oregon (Athe link@).
B. Pursuant to the terms of the September 5, 2000, agreement, each party owned
the rights to 24 of the single-mode strands of fiber installed.
C. AFN entered into a pole contact agreement with PacifiCorp, formally Pacific
Power and Light, Inc. (PP&L), allowing the connection of the fiber optic line to the
PacifiCorp poles. Ashland is designated owner of record for the 48 strand fiber line with
PacifiCorp.
D. Hunter has been using its 24 strands of fiber to provide access to internet service
to customers in Talent, Phoenix and Medford.
E. PacifiCorp has given Hunter notice that since it is not owner of record of the fiber
line, it cannot have attachments to the line on PacifiCorp poles.
F. Hunter has requested AFN to transfer ownership of record of the fiber line to
Hunter with PacifiCorp I
G. AFN is amenable to transfer ownership of record under the following terms and
conditions.
AFN and Hunter agree:
1. All other terms of the oriGinal contract shall remain in effect and
obliGations supported by both parties.
2. Temporary transfer of ownership of record. AFN shall file the necessary
paperwork with PacifiCorp to transfer ownership of record of the pole contact
agreement to Hunter for an initial term of five years. If AFN does not provide notice
to Hunter at least fifteen days prior to the expiration of the initial term or any
subsequent renewal thereof of intent to terminate this agreement, the agreement
shall renew for subsequent five-year terms.
3. Reconveyance. Hunter agrees to execute all of the necessary, undated papers
to return 'owner of record' to AFN. AFN will retain these executed, undated papers
and may present them to PacifiCorp either upon termination of this agreement or
upon default of this agreement as set forth in paragraph 8, below.
4. Compliance with PacifiCorp reauirements. Hunter shall be responsible for all
costs and labor and materials to comply with all PacifiCorp rules, regulations or
other requirements relating to the pole attachment and any future attachments made
to the fiber line by Hunter. In the event Hunter receives notice from PacifiCorp that
any or all of the attachments do not comply, Hunter shall immediately provide AFN a
copy of the notice by faxing a copy of the notice to AFN at (541) 488-5320 and to
the Ashland legal department at (541) 552-2092, and shall take all necessary,
reasonable steps to timely correct the deficiencies at Hunter's labor and expense.
AFN will continue to provide, at its cost, the materials necessary for maintaining the
48 strand link line.
5. . Payment of Obliaations. Hunter shall promptly make payments to all persons
supplying labor, equipment, supplies, or materials for the work when they become
due under any subcontract or material contract entered into by Hunter for work on
the fiber line. Hunter shall be responsible for any lien or claim filed against AFN
related to the work.
6. Failure to make payment of any claim when due may necessitate AFN paying
such claim to the person furnishing the work and charging the amount against
Hunter. Such payment shall not relieve Hunter or Hunter's surety from Hunter's
obligation for any unpaid claims. AFN shall not make payment in the face of a
legitimate dispute between Hunter and a subcontractor or material supplier.
7. AFN Connections to Fiber. In the event that AFN needs to make a connection
to the fiber which requires PacifiCorp approval, AFN will provide all necessary
information to Hunter for the connection. Hunter agrees to file the connection
request with PacifiCorp in Hunter's name within 14 calendar days of the date AFN
submits the written request to Hunter.
8. Notices. All notices, requests and communications required or permitted under this
contract shall be in writing and shall be sufficiently given and deemed to have been
received upon personal delivery by messenger, overnight courier, electronic mail or
telecopier, or, if mailed, upon the first to occur of actual receipt or two work days
after being placed in the United States mail, postage prepaid. Any notices requiring
a response of a legal nature shall be made via registered or certified mail, with
return receipt requested. The following contact address shall be used for these
notices:
AFN
Attn: Joe Franell, Director
90 North Mountain Avenue
Ashland, Oregon 97520
Phone: (541) 552-2314
Fax: (541) 488-5320
Email: franellj@ashland.or.us
Hunter Construction, Inc. dba Hunter Communications
Attn: Richard W. Ryan
801 Enterprise Drive
Central Point, Oregon 97
Phone: (541) 772-9282
Fax: (541) 772-4805
Email: rryan@coreds.net
9. Contract Amendments. No change, amendment or modification of this contract
shall be valid or binding upon the parties hereto, unless such change, amendment or
modification shall be in writing and duly executed by both parties. No verbal agreement
or conversation with any officer, agent, or employee of AFN, either before or after
execution of the contract, shall affect or modify any of the terms or obligations
contained in the contract.
10. Default by Contractor. AFN may, without prejudice to any other right or remedy
and after giving Hunter seven days written notice, terminate this agreement with Hunter
if Hunter should:
a)
Be adjudged bankrupt;
b)
Make a general assignment for the benefit of Hunter' creditors;
c)
Have a receiver appointed on account of Hunter' insolvency;
d)
Fail to make timely corrections to any notice of default or deficiency
issued by PacifiCorp relating to the pole contact agreement.
f)
Upon expiration of a 15 day cure period, disregard laws, ordinances, or
the instructions of AFN; or
g)
Upon expiration of a 15 day cure period, be guilty of a material violation of
any provision of the contract.
AFN will take possession of the fiber line and all appurtenances, materials, tools,
and appliances necessary to continue operation of said line. AFN may immediately file
the reconveyance papers executed by Hunter and held by AFN. Any labor, costs or
materials necessary for AFN to cure a notice of default from PacifiCorp issued during
the time and related to Hunter's ownership of record shall be considered an obligation
of Hunter immediately owing to the City of Ashland and if not paid within 30 days of the
date Ashland provides notice thereof to Hunter, may be collected by Ashland in any
manner provided in law or equity.
Termination of any or all of the contract shall not relieve Hunter of the
responsibilities for any just claims arising out of the work performed.
Hunter Construction, Inc.
dba Hunter Communications
City of Ashland, by and through its
Department of Electric Utilities, Ashland
Fiber Network Division
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Information Technology Department
90 North Mountain Avenue
Ashland, Oregon 97520
(800) 735-2900
City of Ashland
Memo
To: Mike Franell- City Attorney, Lee Tuneberg - Finance/Administration Director
From: Joseph Franell -Information Technology Director
cc: Martha Bennett - City Administrator
Date: 7/28/2006
Re: Contract Review for Hunter Communications Pole Attachment Agreement
Attached is the contract negotiated and written in coordination with the City Attorney, Richard Ryan of
Hunter Communications, and myself. This contract does not change physical ownership but merely
gives Hunter Communications the ability to legally attach to the fiber they own on the fiber run between
Ashland and the Qwest central office in Medford. Since PacificCorp, the pole owner, only recognizes
one "owner of record", Hunter Communications has been unable to gain permission to legally attach to
the fiber in question.
Please expedite the review and signing of this document.
Thanks,
Joe
Legal
Administration
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