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HomeMy WebLinkAbout081407 NextG TelcomNextGNetworks NextGNetworks An Ordinance Granting A Temporary Nonexclusive An Ordinance Granting A Temporary Nonexclusive Revocable License Agreement to NextGNetworks Revocable License Agreement to NextGNetworks Atlantic, Inc. To Install And Operate A Atlantic, Inc. To Install And Operate A Telecommunications System Or Facilities In The City Of Telecommunications System Or Facilities In The City Of Virginia Beach’s Rights-Of-Way Virginia Beach’s Rights-Of-Way Presentation to City Council Presentation to City Council August 14, 2007 August 14, 2007 Background Background NextGNetworks is headquartered in San Jose, NextGNetworks is headquartered in San Jose, ? ? California, and operates regional subsidiaries California, and operates regional subsidiaries throughout the United States. throughout the United States. In February 2006 NextGrequested a right-of-way In February 2006 NextGrequested a right-of-way ? ? use agreement to access the City’s public ways for use agreement to access the City’s public ways for the provision of telecommunications services. the provision of telecommunications services. NextGcarries voice and data traffic handed off to it NextGcarries voice and data traffic handed off to it ? ? by wireless providers. by wireless providers. Traffic is carried via fiber optic lines from antennas Traffic is carried via fiber optic lines from antennas ? ? located on utility and/or street light poles to a located on utility and/or street light poles to a central switching-like location, and from there, central switching-like location, and from there, either back to another antenna or out to the public either back to another antenna or out to the public switched telephone network or Internet. switched telephone network or Internet. Key Considerations Key Considerations Under Virginia Code: Under Virginia Code: ? ? •No telecommunications service provider may locate its •No telecommunications service provider may locate its facilities in the public right-of-way without the consent of facilities in the public right-of-way without the consent of the City the City •City may not impose any restrictions or requirements on •City may not impose any restrictions or requirements on the use of the public rights-of-way which are: the use of the public rights-of-way which are: Unfair or unreasonable Unfair or unreasonable ? ? Any greater than those imposed on all providers of Any greater than those imposed on all providers of ? ? telecommunications services and non-public providers of cable telecommunications services and non-public providers of cable television, electric, natural gas, water and sanitary sewer television, electric, natural gas, water and sanitary sewer services services Ten year term, may be extended upon mutual Ten year term, may be extended upon mutual ? ? agreement for one additional five year term agreement for one additional five year term Non-exclusive agreement Non-exclusive agreement ? ? •Three other competitive local exchange service providers •Three other competitive local exchange service providers currently operating in the City Rights-of-Way (Cox, currently operating in the City Rights-of-Way (Cox, Cavalier, Telcove) Cavalier, Telcove) Key Considerations Key Considerations NextGRequired to maintain: NextGRequired to maintain: ? ? $50,000 Performance Bond during construction $50,000 Performance Bond during construction ? ? $25,000 Letter of Credit during construction $25,000 Letter of Credit during construction ? ? Commercial General Liability Insurance with Commercial General Liability Insurance with ? ? minimum single occurrence limit of $2,000,000 minimum single occurrence limit of $2,000,000 All trees, landscaping and grounds All trees, landscaping and grounds ? ? restored, as nearly as may be restored, as nearly as may be practicable, to the condition existing practicable, to the condition existing prior to the facilities work prior to the facilities work When construction is completed and When construction is completed and ? ? City approves, Performance Bond may City approves, Performance Bond may be reduced to $25,000 and Letter of be reduced to $25,000 and Letter of Credit to $10,000 Credit to $10,000 Pole Attachments Pole Attachments Attachment to City-owned poles, if any, will be Attachment to City-owned poles, if any, will be ? ? addressed in a separate pole attachment addressed in a separate pole attachment agreement agreement Prior to any construction, NextGmust obtain all Prior to any construction, NextGmust obtain all ? ? appropriate permits appropriate permits NextGfacilities pole attachments on existing or NextGfacilities pole attachments on existing or ? ? replacement utility poles only, subject to replacement utility poles only, subject to applicable federal and state law applicable federal and state law With City Manager’s prior written consent, With City Manager’s prior written consent, ? ? subject to City’s applicable permitting process, subject to City’s applicable permitting process, NextGcan install new poles in the absence of any NextGcan install new poles in the absence of any existing, available, or accommodating poles existing, available, or accommodating poles Compensation Compensation Governed by Virginia Code Section Governed by Virginia Code Section • • 56-468.1 56-468.1 Only a Public Rights-of-Way Use Fee may be Only a Public Rights-of-Way Use Fee may be • • charged charged A local ordinance is required for a locality to A local ordinance is required for a locality to • • impose a Public Rights-of-Way Fee impose a Public Rights-of-Way Fee Several years ago Virginia Beach opted not Several years ago Virginia Beach opted not • • to impose Public Rights-of-Way Fee to impose Public Rights-of-Way Fee Questions / Discussion Questions / Discussion