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MEMORANDUM 21 • DATE: 6/19/00 MEETING DATE: 6/27/00 TO: City Council THROUGH: City Manager Morrison FROM: Assistant City Manager Isom/ . RE: Resolution 00-053 Approves a Right-of-Way Permit and Facility Use Agreement with Metricom, Inc. Metricom is seeking,via a"Right-of-Way Permit and Facility Use Agreement,"the use/access of City-owned and NSP owned street light poles,light fixtures, and other structures within the Public rights-of-way. NSP has entered into a Master Lease Agreement with Metricom(see NSP communication dated 5/24/00). City Attorney Soth has reviewed the proposed agreement. Mr. Soth's June 7,2000 comments/recommendations are enclosed for your review. All of Mr. Soth's comments/recommendations were provided to Metricom's consultant,Bill Buell. Mr.Buell incorporated Mr. Soths comments/recommendations with the exception of the first one. Mr. Soth's comment/recommendation was: "In Section 2, the term is for 9years, and it renews automatically for three successive terms of 5 years each,for a total possible 24 years. It has a provision that permits either party to notify the other of its intention not to renew if notice is given 180 days prior to the renewal term. .There is no such termination right duri ng the original 9-year term." I have asked Mr.Buell to be prepared to explain to the Council why Mr. Soth's recommendation was not incorporated into the amended agreement. • Additionally, I asked Mr. Buell to provide the Council with necessary proof/assurance that the fee of 1% of Adjusted Gross Revenues to be paid to the City,with respect to those revenues from subscribers within the City, is equal to the fee paid to other cities in the Twin Cities area. Note: Staff is aware of the North Suburban Cable Commissions model agreement. Staff provided a copy of said agreement to the City Attorney for comment. Attorney Soth feels the proposed agreement, incorporating his comments,can serve the City's best interest. Cc: City Clerk Kroeplin