| |
| DATE:
|
4/7/2020 7:00:00 PM |
| SUBJECT: |
| Council Consideration to Authorize the Mayor to Sign Amendment No. 1 of the Telecommunications Raceway Lease Between the City of Gillette and Advanced Communications Technology, Inc. |
| BACKGROUND: |
| Amendment No. 1 to the original Telecommunications Raceway Lease Agreement, signed December 31, 2018, will allow Advanced Communications Technology, Inc. to lease additional fiber optic raceway in the City of Gillette's multi-raceway fiber optic backhaul in order to install fiber optic cable owned by Advanced Communications Technology, Inc. to build out to their customers. |
| ACTUAL COST VS. BUDGET: |
Revenue received from this Raceway Lease Amendment No. 1 shall be deposited in the City's Fiber Fund No. 506.
Per the terms of the Agreement, the City will lease its raceway at a unit cost of $0.49862 per lineal foot with an inflationary increase of 3% per calendar year. Upon execution of Amendment No. 1, the annual lease revenue will increase by an estimated $15,105.69. |
| SUGGESTED MOTION: |
I Move for Approval to Authorize the Mayor to Sign Amendment No. 1 of the Telecommunications Raceway Lease Between the City of Gillette and Advanced Communications Technology, Inc. |
| STAFF REFERENCE: |
| Michael H. Cole, P.E., Utilities Director; Anthony Reyes, City Attorney |
|
|