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STAFF REPORT •To: Michael Morrison, City Manager From: Kim Moore-Sykes, Management Assistant Date: April 20, 1999 Subject: Proposed Right-of-Way Ordinance In 1996, President Clinton signed the Telecommunications Deregulation Act of 1996,which essentially eliminated some of the protections previously afforded to some telecom- munications providers and opened up the competition arena to anyone who can provide telecommunications services. This deregulation consequently has caused increasing demands metro-wide for use of public rights-of-way, and that has resulted in more frequent construction and disruption of rights-of-way to meet this demand. The purpose of the proposed ordinance amendment is to give the City a uniform standard by which the use of all rights-of-way within the City's jurisdiction can be managed and regulated. This is especially important to St. Anthony because as one of the highest points in Hennepin *County,telecommunication providers have been interested in utilizing the community's public areas and rights-of-way to install equipment and other support facilities. The proposed amendment also provides the City with the ability to exercise its authority to recover actual costs associated with and incurred as the result of managing excavations and/or obstructions of a right-of-way. The proposed ordinance amendment is based on model ordinances as provided by Tom Creighton of Bernick and Lifson, P.A., and the League of Minnesota Cities (LMC) and conforms to the provisions of the telecommunications right-of-way legislation adopted-into _ law as Minn. Session Laws, 1997,Chapter 123. I received the attached copy of the fee schedule document from LMC and is the culmination of work done by LMC and the City of Bloomington. This document shows how the costs were computed and the suggested fees. The City's proposed fee structure is based on the City of Bloomington's fee schedule. A draft of the City's right-of-way ordinance with the proposed fee schedule has been submitted to the City's attorney for his review and comment. The Public Works Director and Licensing Clerk have also received copies for their review.