HomeMy WebLinkAboutORD 5763 CITY OF RENTON, WASHINGTON
ORDINANCE NO. 5763
AN ORDINANCE OF THE CITY OF RENTON, WASHINGTON, GRANTING UNTO
ASTOUND BROADBAND, LLC, D/B/A WAVE, AUTHORIZED TO DO BUSINESS
WITHIN THE STATE OF WASHINGTON, ITS AFFILIATES, SUCCESSORS AND
ASSIGNS, THE RIGHT, PRIVILEGE, AND AUTHORITY TO INSTALL
COMMUNICATIONS FACILITIES, SPECIFICALLY FIBER OPTIC CABLE AND RELATED
APPURTENANCES, UNDER, ALONG, OVER, BELOW, THROUGH AND ACROSS THE
STREETS, AVENUES AND ALLEYS OF THE CITY OF RENTON WITHIN THE PUBLIC
RIGHT-OF-WAY OF RENTON.
THE CITY COUNCIL OF THE CITY OF RENTON, WASHINGTON, DOES ORDAIN AS
FOLLOWS:
SECTION I: Definitions
For the purposes of this Franchise and Attachment 1, which is fully incorporated by
reference, the following defined terms, phrases, words and their derivations shall have the
meaning provided below. When not inconsistent with the context in which the word is used,
words used in the present tense include the future, words in the plural include the singular,
words in lower case shall have their defined meaning even if the words are not capitalized, and
words in the singular include the plural. Undefined words shall be given their common and
ordinary meaning.
1.1 Administrator: Means the Administrator of Renton's Public Works Department
or designee, or any successor office responsible for management of Renton's public properties.
1.2 Construct or Construction: Means to remove, replace, repair, and/or restore
any existing Facility, and may include, but are not limited to, digging and/or excavating to
remove, replace, repair, and restore existing pipeline(s) and/or Facilities.
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1.3 Cost: Means any costs, fees, or expenses, including but not limited to attorneys'
fees.
1.4 Day: Means calendar day(s) unless otherwise specified.
1.5 Facility or Facilities: Means, collectively or individually, any and all fiber optic
telecommunication transmission and distribution systems, including but not limited to, poles,
wires, lines, conduits, ducts, cables, braces, guys, anchors and vaults, switches, fixtures, and
communication systems; and any and all other equipment, appliances, attachments,
appurtenances and other items necessary, convenient, or in any way appertaining to any and all
of the foregoing, whether the same be located across, above, along, below, in, over, through, or
underground. Facilities do not include new utility and/or antenna poles for overhead lines,
wires, cables and/or antenna, or any noise-creating equipment.
1.6 Franchise: Means this ordinance and any related amendments, attachments,
exhibits, or appendices.
1.7 Franchise Area: Means all present and future Renton Rights-of-Way for public
roads, alleys, avenues, highways, streets, and throughways (including the area across, above,
along, below, in, over, through, or under such area), laid out, platted, dedicated, acquired or
improved, and; all city-owned utility easements dedicated for the placement and location of
various utilities provided such easement would permit Franchisee to fully exercise the privilege
granted under this Franchise within the area covered by the easement, without interfering with
any governmental functions or other franchises or easements.
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1.8 Franchisee: Means Astound Broadband, LLC, authorized to do business within
the State of Washington, and its respective successors and assigns, and when appropriate
agents, contractors (of any tier), employees, officers and representatives.
1.9 Hazardous Substance: Means any and all hazardous, toxic, or dangerous
substance, material, waste, pollutant, or contaminant, including all substances designated
under the Resource Conservation and Recovery Act, 42 U.S.C. § 6901 et seq.; the
Comprehensive Environmental Response, Compensation and Usability Act, 42 U.S.C. § 9601 et
seq.; the Hazardous Materials Transportation Act, 49 U.S.C. § 1801 et seq.; the Federal Water
Pollution Control Act, 33 U.S.C. § 1257 et seq.; the Clean Air Act, 42 U.S.C. § 7401 et seq.; the
Toxic Substances Control Act, 15 U.S.C. § 2601 et seq.; the Federal Insecticide, Fungicide,
Rodenticide Act, 7 U.S.C. § 136 et seq.; the Washington Hazardous Waste Management Act,
RCW Chapter 70.105, and the Washington Model Toxics Control Act, RCW Chapter 70.1050, as
they exist or may be amended; or any other Laws. The term "Hazardous Substance" shall also
be interpreted to include any substance which, after release into the environment, will or may
reasonably be anticipated to cause death, disease, injury, illness, abnormalities, behavioral
abnormalities, stunted or abnormal growth or development, or genetic abnormalities.
1.10 Laws: Means any federal, state, or municipal code, statute, ordinance, decree,
executive order, governmental approval, permit, regulation, regulatory program, order, rule,
published specification, public standard, Environmental Law, or governmental authority, that
relate to telecommunications services, including but not limited to 47 U.S.C. § 101, et. seq.
(Telecommunications Act of 1996), RCW 19.122 (Underground Utilities), WAC 480-80 (Utilities
General — Tariffs and Contracts), RCW 35.99 (Telecommunications, Cable Television Service —
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Use of Right-of Way), WAC Chapter 296-32 (Safety Standards for Telecommunications), RCW
Chapter 80.36 (Telecommunications), WAC Chapter 480-120, et. seq., (Telephone Companies),
RCW Chapter 35.96 (Electric and Communication Facilities – Conversion to Underground), and
any related Laws. All references to Laws shall mean as they exist, may be amended or created.
1.11 Parties: Means the City of Renton and Astound Broadband, LLC.
1.12 Public Properties: Means present and/or future property owned or leased by
Renton within Renton's present and/or future control and/or jurisdictional boundaries.
1.13 Public Ways: Means any highway, street, alley, sidewalk, utility easement (unless
their use is otherwise restricted for other users), or other public Rights-of-Way for motor
vehicles or any other uses under Renton's control and/or in its jurisdictional boundaries,
consistent with RCW 47.24.020 (Jurisdiction, control) and 47.52.090 (Cooperative agreements
— Urban public transportation systems — Title to highway — Traffic regulations —
Underground utilities and overcrossings — Passenger transportation — Storm sewers — City
street crossings).
1.14 Rights-of-Way: Means the surface and space across, above, along, below, in,
over, through or under any street, alley, avenue, highway, lane, roadway, sidewalk,
thoroughfare, court, easement and similar Public Property, Public Ways, and area within the
Franchise Area.Tariff: Has the meaning provided in WAC 480-80-030 (Definitions), or such
similar definition describing rate schedules, rules and regulations relating to charges and service
as may be adopted by the regulatory authority with jurisdiction, under the laws of the State of
Washington, over public service companies and/or competitive telecommunication service
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companies, and such competitive companies must file tariffs in accordance with WAC Chapter
480-80. (WAC 480-120-026 (Tariffs)).
1.15 WUTC: Means the Washington Utilities and Transportation Commission or such
successor regulatory agency having jurisdiction over public service and/or telecommunication
service companies.
1.16 Work: Means to construct, excavate, install, maintain, remove and/or repair by,
for, or at Franchisee's request.
SECTION II: Purpose
2.1 Authority: Under RCW 35A.47.040, Renton's City Council may grant or not grant
a franchise.
2.2 Conditions: The purpose of this Franchise is to delineate the conditions relating
to Franchisee's use of the Franchise Area and to create a foundation for the Parties to work
cooperatively in the public's best interests after this ordinance becomes effective. This
Franchise is granted subject to Renton's land use authority, public highway authority, police
powers, franchise authority, and any other case law, statutory or inherent authority, and is
conditioned upon the terms and conditions provided in this Franchise, and Franchisee's
compliance with all Laws.
2.3 Risk and Liability: By accepting this Franchise, Franchisee assumes all risks or
liabilities related to the Franchise, with no risk or liability conferred upon Renton. This
Franchise is granted upon the express condition that Renton retains the absolute authority to
grant other or further franchises in any Rights-of-Way and any Franchise Area. This and other
franchises shall, in no way, prevent or prohibit Renton from using any of its Franchise Area, or
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affect its jurisdiction over them or any part of them, and Renton retains absolute authority to
make all changes, relocations, repairs, maintenance, establishments, improvements,
dedications or vacations of same as Renton may see fit, including the dedication, establishment,
maintenance and improvement of all new or existing Rights-of-Way, Public Property or Public
Ways.
SECTION III: Privileges Conveyed
3.1 Franchise Granted: Pursuant to the Telecommunication Act of 1996 § 253(c),
RMC Chapter 5-19 and the laws of the State of Washington including, but not limited to, RCW
47.24.020 (Jurisdiction, control), RCW 47.52.090 (Cooperative agreements — Urban public
transportation systems — Title to highway — Traffic regulations — Underground utilities and
overcrossings — Passenger transportation — Storm sewers — City street crossings), RCW
35A.47.040 (Franchises and permits — Streets and public ways), RCW 35.22.280 (Specific
powers enumerated), RCW 35.99.020 (Permits for use of right-of way), and 80.36.040 (Use of
road, street, and railroad right-of way–When consent of city necessary), and any related laws,
Renton grants to Franchisee, a Washington limited liability company, and its successors and
assigns (subject to and as provided for in Section 6, Assignment and Transfer of Franchise),
under this Franchise's terms and conditions, the privilege to install, construct, operate,
maintain and improve its Facilities, together with all necessary equipment and appurtenances,
for the provision of telecommunications, private line, and internet access services, within the
existing Franchise Area, such lands being more particularly described in Attachment 1 which is
attached and fully incorporated by reference into the Franchise. Without a separate franchise
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agreement, Franchisee shall not have the privilege to provide cable services in the City of
Renton.
3.2 Limited Franchise: This Franchise conveys a limited privilege as to the Franchise
Area in which Renton has an actual interest. It is not a warranty of title or interest in the
Franchise Area. This privilege shall not limit Renton's police powers, any statutory or inherent
authority, jurisdiction over its property, Franchise Area, Rights-of-Way, or its zoning or land use
authority. The terms and conditions of this Franchise shall not be construed to apply to
Facilities located outside of the Franchise Area. This Franchise does not confer upon Franchisee
any privilege to install or use any Facilities outside the Franchise Area, including city-owned or
leased properties or easements.
3.3 Principal Use Limitation: This Franchise shall not authorize a principal use of the
Franchise Area for purposes other than for telecommunications, private line, and internet
access services. The Franchisee may use its Facilities' excess capacity, however, Franchisee
may not use, convey, lease or share excess space within the Franchise Area.
3.4 Franchise is Non-Exclusive: As detailed in Section 8, below, Renton grants this
non-exclusive Franchise to Franchisee to operate, maintain and improve its existing Facilities as
a telephone business and service provider (as those terms are used in RCW 35.21.860).
3.5 Acknowledgement: Franchisee acknowledges and warrants by its acceptance of
the granted privileges, that it has carefully read and fully comprehends the terms and
conditions of this Franchise. Franchisee accepts all reasonable risks of the meaning of the
provisions, terms and conditions of the Franchise. Franchisee further acknowledges and states
that it has fully studied and considered the requirements and provisions of this Franchise, and
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believes that the same are consistent with all Laws. If in the future Franchisee becomes aware
that a provision of this Franchise may be unlawful or invalid, it will not use such potential
invalidity to unilaterally ignore or avoid such provision. Instead, Franchisee will promptly advise
Renton of the potential invalidity or illegality, and the Parties will meet within thirty (30) days
and endeavor jointly to amend this Franchise to cure the invalidity or illegality.
3.6 Enforceable Contract: Franchisee specifically agrees to comply with the
provisions of any applicable Laws, as they exist or may be amended. The express terms and
conditions of the Franchise constitute a valid and enforceable contract between the Parties,
subject to any Laws.
3.7 Existing Facilities Outside Franchise Area: Existing Facilities installed or
maintained by Franchisee in accordance with prior franchise agreements on public grounds and
places within Renton (but which are not a part of the Franchise Area as defined by this
Franchise) may be maintained, repaired and operated by Franchisee at the location where such
Facilities exist as of the effective date of this Franchise for the term of this Franchise; provided,
however, that no such Facilities may be enlarged, improved or expanded without Renton's prior
review, written consent, and approval pursuant to the provisions of any applicable Laws.
SECTION IV: Term
4.1 Length of Term: Each of the provisions of this Franchise shall become effective
upon Franchisee's acceptance of the terms and conditions of this Franchise and the City
Council's passage of this ordinance, and shall remain in effect for ten (10) years, unless it is
terminated pursuant to Section XIII, Termination, Violations, and Remedies. At any time not
more than two (2) years nor less than one-hundred and eighty (180) days before the expiration
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of the Franchise Term, Franchisee may make a written request and Renton may consider, at its
sole discretion, renewing this Franchise for an additional five (5) year renewal period, unless
either party expresses its intention in writing to terminate this Franchise at the conclusion of
the ten (10) year term.
4.2 Extension upon Expiration: If the Parties fail to formally renew or terminate the
Franchise prior to the expiration of its term or any extension, the Franchise shall be extended
on a year-to-year basis until the Franchise is renewed, terminated or extended.
SECTION V: Recovery of Costs
5.1. Administrative Fee: Pursuant to RCW 35.21.860(1)(b), Renton may charge
Franchisee an administrative fee to recover all actual administrative expenses incurred by
Renton that are directly related to receiving and approving a permit, license and this Franchise,
to inspect plans and construction, or for the preparation of a detailed statement pursuant to
SEPA (RCW Chapter 43.21C). Where Renton incurs actual administrative expenses, including
but not limited to fees, expenses, and/ or costs for attorneys, consultants, staff and the City
Attorney Department, for review or inspection of activities undertaken through the authority
granted in this franchise, Franchisee shall pay such expenses directly to Renton. Renton shall
provide Franchisee with an itemized invoice identifying the administrative expenses incurred.
Renton employee time shall be calculated based on their rate of salary, including applicable
overtime, benefits and reasonable overhead, and all other costs will be bill based on an actual
cost basis.
5.2. Utility Tax: Pursuant to RCW 35.21.870 (Electricity, telephone, natural gas, or
steam energy business — Tax limited to six percent — Exception) and RCW 35.21.860(1)(a),
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Renton may impose a utility tax on Franchisee consistent with the utility tax imposed on other
similarly situated telephone businesses or service providers.
5.3. Franchise Fee: Pursuant to RCW 35.21.860 (Electricity, telephone, or natural gas
business, service provider — Franchise fees prohibited — Exceptions), Renton may only impose
a franchise fee or any other Cost of whatever nature or description upon Franchisee as is
consistent with federal law.
5.4. Cost of Publication: Franchisee shall bear the entire Cost of publication of this
ordinance.
5.5. Permit Fee: Franchisee shall be subject to all permit fees associated with
activities undertaken through the authority granted in this Franchise or under Laws.
5.6. Emergency Fee: Franchisee shall promptly reimburse Renton for any and all
Costs incurred by Renton while responding to any emergency involving public safety.
5.7. Reimbursement period: Franchisee shall reimburse Renton within forty-five (45)
days of Renton's submittal of an itemized billing for reasonably incurred Costs, itemized by
project, for Franchisee's proportionate share of all actual, identified expenses incurred by
Renton in planning, constructing, installing, repairing, altering, or maintaining any city facility
due to the presence in the Public Way of Franchisee's Facilities.
SECTION VI: Assignment and Transfer of Franchise
6.1 Assignment: Franchisee may not assign, dispose of, lease, sell, transfer, or permit
to be forfeited this Franchise, either in whole or in part, without the written consent of the City
Council of Renton by passage of an ordinance or resolution. Such consent shall not be deemed
to waive any of Renton's rights to subsequently enforce Franchise related non-compliance
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issues that existed at or before Renton's consent. Any telecommunications assignee or
transferee shall, at least thirty (30) days prior to the date of any assignment or transfer, file
written notice of the assignment or transfer with Renton, together with its written acceptance
of all of the Franchise terms and conditions. The Franchise terms and conditions shall be
binding upon the Parties' respective assigns and successors. Notwithstanding the foregoing,
Franchisee may pledge the Franchise for security purposes only with the City Council's consent,
and consent shall be required for Franchisee to transfer the Franchise or Facilities to a creditor.
The rights of any transferee are subject at all times to the terms and conditions of this
Franchise, and no transferee will have any greater rights under this Franchise than the rights of
Franchisee.
6.2 Acceptance: If Renton consents, within thirty (30) days of that consent,
Franchisee shall file with Renton a written instrument evidencing such sale, assignment or
transfer of ownership, with the assignee(s) or transferee(s) acceptance of the Franchise and all
of its terms and conditions.
SECTION VII: Compliance with Laws- Reservation of Powers and Authority
7.1. Compliance: In every aspect related to this Franchise, including but not limited to
all Work, Franchisee shall comply with all applicable Laws, whether specifically mentioned in
this Franchise or not.
7.2. Incorporation of RMC 5-19, Telecommunications Licenses and Franchises: The
conditions, provisions, requirements and terms and of RMC Chapter 5-19 are fully incorporated
by reference into this franchise agreement, unless this agreement requires something different.
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7.3. Legitimate Municipal Interest: As to matters subject to the terms and conditions
of this Franchise, if Renton determines during the Franchise term that the assertion of a
legitimate municipal interest is prohibited by application of federal or state law, then as to such
matter and such municipal interest and consistent with its legal obligations, Franchisee shall
cooperate with Renton in a good faith effort to address such municipal interest. In this context,
neither Party shall invoke this Franchise as a basis to assert that its consideration of a given
issue is excused by operation of the doctrines of estoppel or waiver.
7.4. Reference to Specific Law or Order: Upon a reasonably justified written inquiry
by Renton, Franchisee shall provide a specific reference to the federal, state, or local law or the
WUTC order or action establishing a basis for Franchisee's actions related to a specific Franchise
issue.
SECTION VIII: Non-exclusive Franchise
8.1 Non-exclusive: As provided in subsection 3.4, this Franchise is non-exclusive, and
as a result, Renton expressly reserves the right to grant other or further franchises or to use the
Franchise Area itself; provided that such uses do not unreasonably interfere with Franchisee's
use and placement of its Facilities in any Rights-of-Way and/or any Franchise Area.
8.2 Renton's Use of Franchise Area: This Franchise shall not prevent, prohibit, limit
or affect Renton's use of the Franchise Area, consistent with this Franchise; or Renton's
jurisdiction over the Franchise Area. The Parties agree that Renton reserves and retains all of
its statutory, inherent and other powers and franchise authority, as they exist or shall exist.
SECTION IX: Permits, Construction and Restoration
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9.1 Free Passage of Traffic: Franchisee shall at all times maintain its Facilities within
the Franchise Area so as not to unreasonably interfere with the free passage of traffic,
pedestrians or the use and enjoyment of adjoining property. Franchisee shall at all times post
and maintain proper barricades and comply with all applicable Laws, safety regulations and
standards during such period of construction.
9.2 Permit Application Required: Except in the event of an emergency, Franchisee
shall first obtain all required documentation and approvals, including permits from Renton to
perform Work on Franchisee's Facilities within the Franchise Area. The permit application shall
contain detailed plans, maps and specifications showing the position, depth and location of all
such Facilities in relation to existing Franchise Area, collectively referred to as the "Plans." The
Plans shall specify the class and type of material and equipment to be used, manner of
excavation, construction, installation, backfill, erection of temporary structures and facilities,
erection of permanent structures and facilities, traffic control, traffic turnouts and road
obstructions, and all other necessary information. Franchisee shall submit to Renton as-built
plans and, when available, digital facility location data in a format compatible with Renton's
geographic Information system. Such Work shall only commence upon the issuance of required
permits, and payment of the associated fees, which permits shall not be unreasonably withheld
or delayed after submission of a complete application. Franchisee shall further inform Renton
of any time or date that Franchisee is performing Work within the Franchise Area to allow
Renton to inspect such work.
9.3 Boring Required: Work involving undergrounding of Franchisee's facilities within
city streets shall be accomplished through boring rather than open trenching whenever
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reasonably feasible. Franchisee will CCTV all Renton owned sewer and storm drain lines on the
boring route following completion of the boring work and prior to activating the facility being
constructed to verify that these Renton owned lines were not damaged by the boring
work. Upon request from Franchisee, Renton may allow for other methods to meet the
requirement as may be approved by Renton as part of permitting.
9.4 Facility Placement: The Parties intend that the specific location of Facilities
within the Franchise Area (and similar facility-related matters of a specific nature requiring
detailed case-by-case analysis) is to be determined in accordance with applicable Laws
(including, without limitation, rights of appeal).
9.5 Lateral Support: Whenever Work on Facilities have caused or contributes to a
condition that in the City of Renton's sole determination would substantially impair or
substantially impairs the lateral support of the Franchise Area, Renton may direct Franchisee, at
Franchisee's sole expense, to take such actions as are reasonably necessary within the
Franchise Area to repair and/or not impair the lateral support. If Franchisee fails or refuses to
take prompt action, or if an emergency situation requires immediate action, Renton may enter
the Franchise Area and take any action necessary to protect the public, any Public Way, Public
Property, and Rights-of-Way, and Franchisee shall be liable to Renton for all costs, fees, and
expenses resulting from that necessary action. This provision shall survive the expiration,
revocation or termination of this Franchise for a period of five (5) years.
9.6 Limits on Construction: No park, public square, golf course, street Rights-of-Way
or public place of tike nature shall be bored, trenched, excavated or damaged by Franchisee if
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there is a substantially equivalent alternative. The determination of there being a substantially
equivalent alternative shall be at the sole determination of Renton.
9.7 Bond Requirement: Before undertaking any of the Work authorized by this
Franchise, as a condition precedent to the Renton's issuance of any permits, Franchisee shall,
upon the Renton's request, furnish a bond executed by Franchisee and a corporate surety
authorized to operate a surety business in the State of Washington, in such sum as may be set
and approved by Renton as sufficient to ensure performance of Franchisee's obligations under
this Franchise. Franchisee shall post a Performance Bond in the amount of twenty-five
thousand dollars ($25,000) that shall remain in effect for the term of this Franchise. The bond
shall be conditioned so that Franchisee shall observe all the covenants, terms and conditions
and shall faithfully perform all of the obligations of this Franchise, and to repair or replace any
defective work or materials discovered in the Franchise Area. The bond shall ensure the faithful
performance of Franchisee's obligations under the Franchise, including, but not limited to,
Franchisee's payment of any penalties, claims, liens, or fees due Renton that arise by reason of
the operation, construction, or maintenance of the Facilities within the Franchise Area.
Franchisee shall pay all premiums or other costs associated with maintaining the bond.
Additionally, if Renton determines that the Performance Bond is inadequate to ensure
Franchisee's performance of a project, Franchisee shall post any additional bonds required to
guarantee performance by Franchisee in accordance with the conditions of any permits and/or
the requirements of this Franchise. In lieu of a separate bond for routine individual projects
involving work in the Franchise Area, Franchisee may satisfy Renton's bond requirements by
posting a single on-going performance bond in an amount approved by Renton.
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9.8 Workmanship: All Work done by Franchisee or at Franchisee's direction or on its
behalf, including all Work performed by contractors or subcontractors, shall be considered
Franchisee's Work and shall be undertaken and completed in a workmanlike manner and in
accordance with the descriptions, plans and specifications Franchisee provided to Renton, and
be warranted for at least two (2) years. Franchisee's activities (including work done at
Franchisee's direction or on its behalf) shall not damage or interference with other franchises,
licenses, utilities, drains or other structures, or the Franchise Area, and shall not unreasonably
interfere with public travel, park uses, other municipal uses, adjoining property, and shall not
endanger the safety of or injure persons and property. Franchisee's Work shall comply with all
applicable Laws.
9.9 Material and Installation Methods: As a condition of receiving the privilege to
Work within the Franchise Area, Franchisee shall assume full responsibility for using materials
and installation methods that are in full compliance with city standards and shall verify this by
the submittal of documentation of materials and testing reports when requested by Renton. All
costs for performing on-site testing, such as compaction tests, shall be borne by Franchisee.
9.10 Damage During Work: In case of any damage caused by Franchisee, or by
Franchisee's Facilities to Franchise Area, Franchisee agrees to repair the damage to conditions
that meet or exceed requirement established by the Department of Transportation, at its own
cost and expense. Franchisee shall, upon discovery of any such damage, immediately notify
Renton. Renton will inspect the damage, and set a time limit for completion of the repair. If
Renton discovers damage caused by Franchisee to the Franchise Area, Renton will give
Franchisee notice of the damage and set a reasonable time limit in which Franchisee must
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repair the damage. In the event Franchisee does not make the repair as required in this section,
Renton may repair the damage, to its satisfaction, at Franchisee's sole expense.
9.11 Member of Locator Service: Franchisee shall continuously be a member of the
State of Washington one number locator service under RCW 19.122 (Underground Utilities) or
an approved equivalent, and shall comply with all applicable Laws.
9.12 Restoration Requirements: Franchisee shall after Work on any of Franchisee's
Facilities within the Franchise Area, restore the surface of the Franchise Area and any other
property within the Franchise Area which may have been disturbed or damaged by such Work.
All restoration of Rights-of-Way, sidewalks and other improvements or amenities shall conform
to the City of Renton Standard Specifications for Road, Bridge and Municipal Construction and
the City of Renton's Trench Restoration Standards in effect at that time, and must be warranted
for at least two (2) years. Restoration shall include all landscaping, irrigation systems and trees.
Renton shall have final approval of the condition of the Franchise Area after restoration
pursuant to applicable Laws, as they exist or may be amended or superseded, provided that
such provisions are not in conflict or inconsistent with the express terms and conditions of this
Franchise.
9.13 Survey Monuments: All survey monuments which are disturbed or displaced by
Franchisee in its performance of any work under this Franchise shall be referenced and restored
by Franchisee, in accordance with WAC 332-120 (Survey Monuments — Removal or
Destruction), and other applicable Laws.
9.14 Failure to Restore: If it is determined that Franchisee has failed to restore the
Franchise Area in accord with this section, Renton shall provide Franchisee with written notice
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including a description of actions Renton believes necessary to restore the Franchise Area. If
Franchisee fails to restore the Franchise Area in accord with Renton's notice within thirty (30)
days of that notice, Renton, or its authorized agent, may restore the Franchise Area at
Franchisee's sole and complete expense. The privilege granted under this section shall be in
addition to others provided by this Franchise.
9.15 Separate Permit Approval Needed For New Telecommunications Lines: The
limited privileges granted under this Franchise shall not convey any privilege to Franchisee to
install any new telecommunications lines or Facilities without Renton's express prior written
consent, including for example, permits as provided for in this Section IX.
SECTION X: Coordination and Shared Excavations
10.1 Coordination: The Parties shall make reasonable efforts to coordinate any Work
that either Party may undertake within the Franchise Area to promote the orderly and
expeditious performance and completion of such Work, and to minimize any delay or hindrance
to any construction work undertaken by themselves or utilities within the Franchise Area. At a
minimum, such efforts shall include reasonable and diligent efforts to keep the other Party and
other utilities within the Franchise Areas informed of its intent to undertake Work. Franchisee
and Renton shall further each exercise its best efforts to minimize any delay or hindrance to any
construction work either may undertake within the Franchise Area. Any associated costs
caused by any construction delays to Renton or to any contractor working for Renton due to
Franchisee's failure to submit and adhere to Franchisee's plans and schedule in relocating or
installing Franchisee facilities shall be the sole responsibility of Franchisee. Franchisee shall, at
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Renton's request, also attend construction meetings pertaining to performance of Work within
the Franchise Area and shall designate a contact person to attend such meetings.
10.2 Joint Use Trenches: If Franchisee or Renton shall cause excavations to be made
within the Franchise Area, the Party causing such excavation to be made shall afford the other,
upon receipt of a written request to do so, an opportunity to use such excavation, provided
that: (a) such joint use shall not unreasonably delay the work of the Party causing the
excavation to be made; and (b) such joint use shall be arranged and accomplished on terms and
conditions satisfactory to both Parties.
10.3 Joint Use Policies: Concerning the Franchise Area, during the Franchise Term,
Renton may adopt policies which encourage joint use of utility facilities within the Franchise
Area. Franchisee shall cooperate with Renton and explore opportunities for joint use of the
Franchise Area utility facilities that are consistent with applicable Laws and prudent utility
practices.
SECTION XI: Hazardous Materials
11.1 Written Approval Required: In maintaining its Facilities (including, without
limitation, vegetation management activities), Franchisee shall not apply any Hazardous
Substance, pesticide, herbicide, or other hazardous material within the Franchise Area without
prior written approval of Renton. Renton will not unreasonably withhold approval, but such
application must be in conformance to the aquifer protection regulations of Renton. If
Franchisee shall first obtain Renton's approval to apply a specific product in accordance with a
defined procedure on an ongoing basis throughout the Franchise Area, it shall not thereafter be
necessary for Franchisee to obtain Renton's approval on each occasion such product is applied
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in accordance with such procedure. Franchisee shall notify Renton of any accident by
Franchisee involving Franchisee's use of Hazardous Substances within the Franchise Area.
11.2 Release of Hazardous Substance: Upon notice or discovery of a significant
release of any Hazardous Substance caused by Franchisee or expressly authorized by Franchisee
to occur upon the Franchise Area and Facilities covered by this Franchise, Franchisee shall
notify Renton within twenty-four (24) hours of discovery. If the encountered or suspected
Hazardous Substances are not the result of the acts or omissions of Franchisee, Renton shall, at
its own expense, determine if the material is hazardous, in accordance with applicable Laws. If
the material is found to be hazardous, Renton shall, at its own expense, if possible remove,
dispose, or otherwise handle such Hazardous Substances, as necessary, in accordance with
applicable Laws. If Hazardous Substances are removed, Renton also shall provide substitute
nonhazardous substance(s) to replace the removed substance for Franchisee to use in its
operation, if necessary. Upon approval by Renton to proceed, Franchisee shall proceed with
the operations at its own cost, with no recourse against Renton for the cost of schedule delays
incurred due to the delay in operation. If the encountered or suspected Hazardous Substances
within the Franchise Area are the result of Franchisee's acts or omissions, Renton's
characterization of the substances involved and any removal, disposal, or other handling costs
incurred in connection with the removal, disposal, or handling of the hazardous substances will
be at Franchisee's sole expense. Franchisee shall be solely responsible for any expense or cost
related to environmental mitigation requirements imposed, by operation of applicable Laws or
otherwise.
SECTION XII: Emergency Work- Permit Waiver
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12.1 Prompt Response Required: In the event of any emergency involving damaged
Franchisee Facilities located in or under the Franchise Area, or if Franchisee's Facilities within
the Franchise Area pose an immediately endanger the property, life, health or safety of any
individual, Franchisee shall, upon receipt of notification from Renton of the existence of such
condition, immediately take those actions as are necessary to correct the dangerous condition.
12.2 Permit Deferred: If an emergency occurs that requires Franchisee's immediate
action for the protection of Facilities, Renton's property or any individual's property, life, health
or safety, Franchisee may act immediately to correct the dangerous condition without first
obtaining any required permit so long as: (1) Franchisee notifies the Renton Fire & Emergency
Services Department through the dispatch system of the emergency; and (2) Franchisee informs
Renton's permitting authority of the nature, location, and extent of the emergency, and the
work to be performed, prior to commencing the work if such notification is practical, or where
such prior notification is not practical, Franchisee shall notify Renton's permitting authority on
the next business day; and (3) such permit is obtained by Franchisee as soon as practicable
following cessation of the emergency.
12.3 Public Service Obligations: Nothing in this section is intended, nor shall it be
construed, as a hindrance to Franchisee's ability to take such actions as it deems necessary to
discharge its public service obligations in accordance with the laws of the State of Washington.
Nothing in this section is intended, nor shall it be construed, as preventing Renton from
recovering from Franchisee, if otherwise so entitled in accordance with applicable Laws, any
extraordinary costs in responding to an emergency situation involving Franchisee's Facilities.
SECTION XIII: Records of Installation
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13.1 Future Construction Plans: Upon Renton's written request, Franchisee shall
provide to Renton copies of any plans prepared by Franchisee for potential improvements,
relocations and conversions to its Facilities within the Franchise Area; provided, however, any
such plans so submitted shall be for informational purposes only and shall not obligate
Franchisee to undertake any specific improvements within the Franchise Area, nor shall such
plan be construed as a proposal to undertake any specific improvements within the Franchise
Area.
13.2 As-Built Drawings: Upon Renton's written request, and at no cost to Renton,
Franchisee shall provide to Renton copies of drawings, maps, and records in use by Franchisee
showing the location of its Facilities at specific locations within the Franchise Area. As to any
such drawings so provided, Franchisee does not warrant the accuracy of the drawings as such
Facilities are shown in their approximate location.
13.3 Design Locates: Upon Renton's written request, in connection with the design of
any Public Works Project, Franchisee shall verify the location of its underground Facilities within
the Franchise Area.
13.4 Disclosure to Third-Parties: Any drawings and/or information concerning the
location of Franchisee's Facilities provided by Franchisee shall be used by Renton solely for
management of the Franchise Area. Renton shall take all prudent steps reasonably necessary to
prevent unnecessary disclosure or dissemination of such drawings, maps, records and/or
information to any third-party without the prior notice to Franchisee, unless the third-party is
an authorized governmental entity of any tier or a public records requestor. Renton will
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provide Franchisee with notice of any public records request for Franchisee paperwork as soon
as reasonably practicable.
13.5 Utility Locates: Notwithstanding the foregoing, nothing in this section is intended
(nor shall be construed) to relieve either Party of their respective obligations arising under
applicable Laws with respect to determining the location of utility facilities.
SECTION XIV: Undergrounding of Facilities
Undergrounding Required for New Facilities: Consistent with RMC 4-6-090.0
(Applicability), all new Facilities installed within the Franchise Area during the term of this
Franchise shall be located underground, consistent with the RMC, unless it is unfeasible in
Renton's reasonable estimation for it to be done; provided that installation of wires, cables,
conduits and similar equipment will be permitted and installed pursuant to the provisions of
any applicable Laws, and subject to and accordance with any applicable Tariffs on file with the
WUTC. In areas where all existing telecommunications and cable facilities are located
aboveground, Franchisee may install its Facilities above ground. Any new Facilities to be located
aboveground shall be placed on existing utility poles. No new utility poles shall be installed in
connection with placement of new aboveground Facilities.
SECTION XV: Relocation of Franchisee Facilities
15.1 Relocation Required: Renton shall have prior and superior right to the use of the
Franchise Area for the construction, installation, maintenance and repair of its utilities,
improvements and infrastructure, and capital improvement projects, and should any conflict
arise with Renton facilities, Franchisee shall, at its own cost and expense, conform to Renton's
utilities, improvements and infrastructure and capital improvement projects. Whenever Renton
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undertakes (or causes to be undertaken) any public works improvement within the Franchise
Area, and such public works improvement necessitates the relocation of Franchisee's then
existing Facilities within the Franchise Area, Renton shall:
a. Provide Franchisee with reasonable prior notice of Renton's intent to initiate a
public works improvement, and if applicable, written notice requesting such relocation;
and
b. Provide Franchisee with copies of pertinent portions of Renton's plans and
specifications for such public works improvement.
15.2 Franchisee Relocation Plans: After receipt of such notice and such plans and
specifications, Franchisee shall submit the Franchisee plan drawings for the relocation of the
Franchisee Facilities to Renton within a reasonable and agreed upon time in advance of the
preparation of Renton's final plans and specifications for incorporation into Renton's
construction plans. Franchisee shall complete the relocation work in a reasonable and agreed
upon time period to prevent delay to Renton project. Franchisee shall relocate such Facilities
within the Franchise Area at no charge to Renton, except that if Renton pays for or reimburses
the relocation costs of another telecommunications utility, under materially identical
circumstances, it shall pay for or reimburse a proportionate share of Franchisee's relocation
costs. The relocation completion date will be included in Renton's written request for said
relocation to Franchisee. Franchisee shall be solely responsible for any associated cost caused
by any construction delays to Renton's project due to Franchisee's failure to comply with
Franchisee's plans and schedule in relocating or installing Franchisee's Facilities.
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15.3 Emergency Relocation of Facilities: In the event an emergency posing a threat to
public safety or welfare requires the relocation of Franchisee's Facilities within the Franchise
Area, Renton shall give Franchisee notice of the emergency as soon as reasonably practicable.
Upon receipt of notice, Franchisee shall respond as soon as reasonably practicable to relocate
the affected Facilities, at Franchisee's sole expense.
15.4 Third-Party Construction: Whenever any person or entity, other than Renton,
requires the relocation of Franchisee's Facilities to accommodate the work of such person or
entity within the Franchise Area; or, Renton requires any Third-Party to undertake work (other
than work undertaken at Renton's cost and expense) within the Franchise Area and such work
requires the relocation of Franchisee's Facilities within the Franchise Area, Franchisee may
condition such relocation to require such person or entity to make payment to Franchisee, at a
time and upon terms acceptable to Franchisee for any and all costs and expenses incurred by
Franchisee in the relocation of Franchisee's Facilities.
15.5 Third-Party Construction of City Identified Project: Any condition or requirement
imposed by Renton upon any Third-Party (including, without limitation, any condition or
requirement imposed pursuant to any contract or in conjunction with approvals or permits
obtained pursuant to any zoning, land use, construction or other development regulation)
which requires the relocation of Franchisee's Facilities within the Franchise Area, then
Franchisee shall relocate its Facilities; provided, however, in the event Renton reasonably
determines and notifies Franchisee that the primary purpose of imposing such condition or
requirement upon such Third-Party is to cause or facilitate the construction of a Public Works
Project to be undertaken within a segment of the Franchise Area on Renton's behalf and
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consistent with Renton's Capital Investment Plan; Transportation Improvement Program; or the
Transportation Facilities Program, then only those costs and expenses incurred by Franchisee in
reconnecting such relocated Facilities with Franchisee's other Facilities shall be paid to
Franchisee by such Third-Party, and Franchisee shall otherwise relocate its Facilities within such
segment of the Franchise Area in accordance with subsection 15.1.
15.6 Alternatives: As to any relocation of Franchisee's Facilities whereby the cost and
expense is to be borne by Franchisee, Franchisee may, after receipt of written notice requesting
such relocation, submit in writing to Renton alternatives to relocation of its Facilities. Upon
Renton's receipt from Franchisee of such written alternatives, Renton shall evaluate such
alternatives and shall advise Franchisee in writing if one or more of such alternatives are
suitable to accommodate the work which would otherwise necessitate relocation of
Franchisee's Facilities. In evaluating such alternatives, Renton shall give each alternative
proposed by Franchisee fair consideration with due regard to all facts and circumstances which
bear upon the practicality of relocation and alternatives to relocation. If Renton determines
that such alternatives are not appropriate, Franchisee shall relocate its Facilities as provided in
subsection 15.1.
15.7 Non-Franchise Area: Nothing shall require Franchisee to bear any cost or
expense in connection with the location or relocation of any Facilities existing under benefit of
easement or other rights not arising under this Franchise.
15.8 Indemnity for Delay: Franchisee shall indemnify, hold harmless, and pay the
costs of defending Renton against any and all Third-Party actions, claims, damages, liabilities, or
suits for delays on Renton's construction projects arising from or caused by Franchisee's failure
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to remove or relocate it Facilities in a timely manner, though Franchisee shall not be liable for
damages due to delays that were out of Franchisee's reasonable or expected control.
SECTION XVI: Abandonment and Discontinuance of Franchisee's Facilities
16.1 Notification: Franchisee shall notify Renton of any abandonment or cessation of
use of any of its Facilities within sixty (60) days after such abandonment or cessation of use.
Any plan for abandonment or removal of Franchisee's Facilities within the Franchise Area must
be first approved by the Administrator, and all necessary permits must be obtained prior to
such Work.
16.2 Removal: In the event of Franchisee's abandonment or permanent cessation of
use of any portion of its Facilities, or any portion of the Franchised Area, Franchisee shall,
within one hundred and twenty (120) days after the abandonment or permanent cessation of
use, remove the Facilities at Franchisee's sole expense. However, with Renton's express
written consent, Franchisee may, at Franchisee's sole cost and expense, secure the Facilities in
such a manner as to cause it to be as safe as is reasonably possible, by removing all lines,
conduits and appurtenances, in compliance with all Laws, and abandon them in place, provided
that any aboveground Facilities shall be removed at Franchisee's sole expense.
16.3 Restoration: In the event of the removal of all or any portion of the Facilities, to
the extent reasonably possible, Franchisee shall restore the Franchise Area to it pre-installation
or better condition. Such restoration work shall be done at Franchisee's sole cost and expense
and to Renton's reasonable satisfaction. If Franchisee fails to remove or secure the Facilities
and/or fails to restore the premises or take such other mutually agreed upon action, Renton
may, after reasonable notice to Franchisee, remove the Facilities, restore the premises or take
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such other action as is reasonably necessary at Franchisee's sole expense and Renton shall not
be liable for any damages, losses or injuries. This remedy shall not be deemed to be exclusive
and shall not prevent Renton from seeking a judicial order directing Franchisee to remove its
Facilities.
16.4 Administrative or Abandonment Fees: Renton's consent to Franchisee's
abandonment of Facilities in place shall not relieve Franchisee of the obligation and/or costs to
remove, alter or re-secure such Facilities in the future in the event it is reasonably determined,
as adjudged in Renton's sole discretion, that removal, alteration or re-securing the Facilities is
necessary or advisable for the health, safety, necessity and/or convenience of the public, in
which case Franchisee shall perform such work its sole expense.
16.5 Survival of Provisions: The Parties expressly agree that the provisions of this
section shall survive the termination, expiration, or revocation of this Franchise.
SECTION XVII: Termination,Violations, and Remedies
17.1 Termination: If the Franchise Term expires and if either Party states that it does
not wish to renew, extend and/or continue the Franchise, this Franchise shall be terminated as
of the expiration date.
17.2 Termination by Breach: If Franchisee materially breaches or otherwise fails to
perform, comply with any of the terms and conditions of this Franchise, or fails to maintain any
required license, permit or approval, and fails to cure such breach or failure within thirty (30)
days of Renton providing Franchisee with written notice specifying with reasonable particularity
the nature of any such alleged breach or failure, or, if not reasonably capable of being cured
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within thirty (30) days, within such other reasonable period of time as the Parties may agree
upon, Renton may terminate this Franchise, without any penalty, liability, cost or damages.
17.3 City Council Termination: This Franchise shall not be terminated except upon a
majority vote of the City Council, after reasonable notice to Franchisee (which notice shall be
given at least thirty (30) days before the hearing) and an opportunity to be heard, provided that
if exigent circumstances necessitate immediate termination, the hearing may be held as soon
as possible after the termination.
17.4 Discontinue Operations: If the Franchise is terminated, Franchisee shall
immediately discontinue operation of Facilities through the Franchise Area. In such
circumstances, either Party may invoke the dispute resolution provisions in Section XVIII.
Alternatively, either Party may elect to seek relief directly in Superior Court, in which case the
dispute resolution requirements shall not be applicable. Once Franchisee's privilege has
terminated, Franchisee shall comply with Franchise provision regarding removal and/or
abandonment of Facilities.
17.5 Renton Retains Right for Action: Renton's failure to exercise a particular remedy
at any time shall not waive Renton's right to terminate, assess penalties, or assert any equitable
or legal remedy for any future breach or default by Franchisee.
17.6 Franchisee Liability and Obligation: Termination shall not release Franchisee
from any liability or obligation with respect to any matter occurring prior to such termination,
and shall not release Franchisee from any obligation to remove and secure its Facilities and to
restore the Franchise Area.
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17.7 Iniunctive Relief: The Parties acknowledge that the covenants set forth in this
Franchise are essential to this Franchise, and, but for the mutual agreements of the Parties to
comply with such covenants, the Parties would not have entered into this Franchise. The
Parties further acknowledge that they may not have an adequate remedy at law if the other
Party violates such covenant. Therefore, in addition to any other rights they may have, the
Parties shall have the right to obtain in any court of competent jurisdiction injunctive relief to
restrain any breach or threatened breach, or to specifically enforce any of the Franchise
covenants should the other Party fail to perform them.
17.8 Renton's Remedies: In addition to the terms of this Franchise, or rights that
Renton possesses at law or equity, Renton reserves the right to apply any remedy, including but
not limited to those detailed in Sections XVIII —XX below, alone or in combination, in the event
Franchisee violates any material provision of this Franchise. The remedies provided for in this
Franchise are cumulative and not exclusive; the exercise of one remedy shall not prevent the
exercise of another or any rights of Renton at law, in equity, or by statutes, unless specifically
waived in this Agreement or in a document signed by both parties.
SECTION XVIII: Dispute Resolution
18.1 Notice of Default: If there is any alleged default as to performance under this
Franchise, Renton shall notify Franchisee in writing, stating with reasonable specificity the
nature of the alleged default. Within ten (10) days of its receipt of such notice, Franchisee shall
provide a written response to Renton acknowledging receipt of notice and stating Franchisee's
response. Franchisee has thirty (30) days ("cure period") from the date of the notice's mailing
to:
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a. Respond to Renton, contesting Renton's assertion(s) as to the dispute or any
alleged default and requesting a meeting in accordance with subsection 18.2, or:
b. Cure the alleged default, or;
c. Notify Renton if Franchisee cannot cure the alleged default within thirty (30)
days, due to the nature of the default. Notwithstanding such notice, Franchisee shall
promptly take all reasonable steps to begin to cure the alleged default and notify
Renton in writing and in detail as to the actions that Franchisee will take and the
projected completion date. In such case, Renton may set a meeting in accordance with
subsection 18.2.
18.2 Meeting: If any alleged default is not cured or if a subsection 18.1 meeting is
requested, Renton shall promptly schedule a meeting between the Parties to discuss the
alleged default. Renton shall notify Franchisee of the meeting in writing and the meeting shall
take place not less than ten (10) days after Franchisee's receipt of notice of the meeting. Each
Party shall appoint a representative who shall attend the meeting, represent their party's
interests, and who shall exercise good faith to reach an agreement on any alleged default
and/or any corrective action to be taken. Any dispute (including any dispute concerning the
existence of or any corrective action to be taken to cure any alleged default) that is not
resolved within ten (10) days following the conclusion of the meeting shall be referred by the
Parties' representatives in writing to the Parties' senior management for resolution. If senior
management is unable to resolve the dispute within twenty (20) days of referral (or such other
period as the Parties may agree upon), each Party may pursue resolution of the dispute through
Section XIX, Arbitration, of this Franchise. All negotiations pursuant to these procedures for the
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resolution of disputes shall be confidential and shall be treated as compromise and settlement
negotiations for purposes of the state and federal rules of evidence.
18.3 Additional Resolution Options: If, at the conclusion of the steps provided for in
subsections 18.1 and 18.2 above, Renton and Franchisee are unable to settle the dispute or
agree upon the existence of a default or the corrective action to be taken to cure any alleged
default, Renton or Franchisee (as Franchisee may have authority to do so) may:
a. Take any enforcement or corrective action provided for by Law, including the city
code; provided such action does not conflict with this Franchise's provisions, and/or;
b. Demand arbitration, pursuant to Section XIX below, for disputes arising out of or
related to Sections III, Grant of Franchise (or such other sections with respect to the
existence of conflicts or inconsistencies with the express terms and conditions of this
Franchise and any applicable Laws); XIII, Records of Installation; XIV, Undergrounding of
Facilities (except as preempted by WUTC authority); and XV, Relocation of Franchisee
Facilities (excluding project delay claims exceeding $30,000) of this Franchise (the
"Arbitration Claims"), and/or;
c. By ordinance, declare an immediate forfeiture of this Franchise for a breach or
default of any material, non-Arbitration Claims, obligations under this Franchise and/or;
d. Take any action to which it is entitled under this Franchise or any applicable
Laws.
18.4 Continuation of Obligations: Unless otherwise agreed by Renton and Franchisee
in writing, Renton and Franchisee shall, continue to perform their respective obligations under
this Franchise during the pendency of any dispute.
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SECTION XIX: Arbitration
19.1 Rules and Procedures: The Parties agree that any dispute, controversy, or claim
arising out of or relating to Arbitration Claims, shall be referred for resolution to the American
Arbitration Association in accordance with the rules and procedures in force at the time of the
submission of a request for arbitration.
19.2 Discovery: The arbitrators shall allow appropriate discovery to facilitate a fair,
speedy and cost-effective resolution of the dispute(s). The arbitrators shall reference the
Washington State Rules of Civil Procedure then in effect in setting the scope and timing of
discovery. The Washington State Rules of Evidence shall apply. The arbitrators may enter a
default decision against any Party who fails to participate in the arbitration proceedings.
19.3 Compensatory Damages: The arbitrators may award compensatory damages,
including consequential damages. Such damages may include, but shall not be limited to: all
costs and expenses of materials, equipment, supplies, utilities, consumables, goods and other
items; all costs and expenses of any staff, all costs and expenses of any labor (including, but not
limited to, labor of any contractors and/or subcontractors); all pre-arbitration costs and
expenses of consultants, attorneys, accountants, professional and other services; and all taxes,
insurance, interest expenses, overhead and general administrative costs and expenses, and
other costs and expenses of any kind incurred in connection with the dispute. The arbitrator
may award equitable relief in those circumstances where monetary damages would be
inadequate.
19.4 Award: Any award by the arbitrators shall be accompanied by a written opinion
setting forth the findings of fact and conclusions of law relied upon in reaching the decision.
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The award rendered by the arbitrators shall be final, binding and non-appealable, and judgment
upon such award may be entered by any court of competent jurisdiction.
19.5 Each Party's Costs: Except as provided in subsection 19.7 below, each Party shall
pay the fees of its own attorneys, expenses of witnesses, and all other expenses and costs in
connection with the presentation of such Party's case including, without limitation, the cost of
any records, transcripts or other things used by the Parties for the arbitration, copies of any
documents used in evidence, certified copies of any court, property or city documents or
records that are placed into evidence by a Party.
19.6 Arbitration Costs: Except as provided in subsection 19.7 below, the remaining
costs of the arbitration, including without limitation, fees of the arbitrators, costs of records or
transcripts prepared for the arbitrator's use in the arbitration, costs of producing the
arbitrator's decision and administrative fees shall be borne equally by the Parties.
19.7 Costs for Multiple Arbitrations: Notwithstanding the foregoing subsections 19.5
and 19.6, in the event either Party is found during the term of this Franchise to be the
prevailing party in any two (2) arbitration proceedings brought by such party pursuant to this
Section XIX, then such party shall be entitled to recover all reasonably incurred Costs, including
attorneys' fees, for any subsequent arbitration brought by them in which they are found to be
the prevailing party.
19.8 Transcript Costs: In the event a Party makes a copy of an arbitration proceeding
transcript for its use in writing a post-hearing brief, or an arbitration decision copy to append to
a lawsuit to reduce the award to judgment, etc., then that Party shall bear the cost, except to
the extent such cost might be allowed by a court as court costs.
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SECTION XX: Alternative Remedies
No provision of this Franchise shall be deemed to bar the right of Renton or Franchisee
to seek or obtain judicial relief from a violation of any Franchise provision or any rule,
regulation, requirement or directive promulgated for non-Arbitration Claims. Neither the
existence of other Franchise remedies nor the use of such remedies shall bar or limit the right
of Renton or Franchisee to recover monetary damages for violations by the other Party, or to
seek and obtain judicial enforcement of the other Party's obligations by means of specific
performance, injunctive relief or mandate, or any other remedy at law or in equity.
SECTION XXI: Amendments to Franchise
This Franchise may only be amended by written instrument, signed by the Parties,
specifically stating that it is an amendment to this Franchise and is approved and executed in
accordance with State of Washington laws. Without limitation, and unless required by any
Laws, this Franchise shall govern and supersede and shall not be altered, limited, supplemented
or otherwise amended by any permit, approval, license, agreement or other document required
by or obtained from Renton in conjunction with Franchisee's exercise or failure to exercise any
and all benefits, privileges, obligations or duties in and under this Franchise, unless such permit,
approval, license, agreement or other document specifically:
a. References this Franchise; and
b. States that it supersedes this Franchise to the extent it contains terms and
conditions which alter, limit, supplement or otherwise amend the terms and conditions
of this Franchise. In the event of any conflict or inconsistency between the provisions of
this Franchise and the provisions of any such permit, approval, license, agreement or
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other document, except as expressly required by Laws and/or superseded by such
permit, approval, license, agreement or other document, the Franchise provisions shall
control.
SECTION XXII: Indemnification
22.1 Renton: In Sections XXII and XXIII, "Renton" means the City of Renton, and its
elected officials, agents, employees, officers, representatives, consultants (of any level), and
volunteers.
22.2 Indemnification by Franchisee: Franchisee shall indemnify, defend, and hold
harmless Renton, from and against any and every Third-Party action, claim, cost, damage,
death, expense, harm, injury, liability, or loss of any kind, in law or in equity, to persons or
property, including reasonable attorneys' and experts' fees and/or costs incurred by Renton in
its defense, arising out of or related to, directly or indirectly, to Franchisee's Work or
abandonment of Facilities, or from the existence of Franchisee's Facilities, and the products
contained in, transferred through, any signals or emissions from the Facilities, released or
escaped from the Facilities, including the reasonable costs of assessing such damages and any
liability for costs of investigation, abatement, correction, cleanup, fines, penalties, or other
damages arising under any Laws, including, but not limited to, Environmental Laws, and any
action, claim, cost, damage, death, expense, harm, injury, liability, or loss, to persons or
property which is caused by, in whole or in part, and only to the extent of, the willfully tortious
or negligent acts or omissions of Franchisee or its agents, contractors (of any tier), employees,
representatives or trainees related to Franchisee's granted Franchise privileges. If any action or
proceeding is brought against Renton by reason of Franchisee's Facilities, Franchisee shall
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defend Renton at Franchisee's sole expense, provided that, for uninsured actions or
proceedings, defense attorneys shall be approved by Renton, which approval shall not be
unreasonably withheld. The terms of this section shall not require Franchisee to indemnify
Renton against and hold harmless Renton from claims, demands or suits based upon Renton's
negligent or willful conduct, and provided further that if the claims or suits are caused by or
result from the concurrent negligence of(a) the Franchisee's agents, officers, or employees and
(b) Renton, this provision with respect to claims or suits based upon such concurrent negligence
shall be valid and enforceable only to the extent of Franchisee's negligence or the negligence of
Franchisee's agents or employees except as limited in this Franchise.
22.3 Environmental Indemnification: Franchisee shall indemnify, defend, and save
Renton harmless from and against any and every Third-Party action, claim, cost, damage, death,
expense, harm, injury, liability, or loss, either at law or in equity, to persons or property,
including, but not limited to, costs and reasonable attorneys' and experts' fees incurred by
Renton, arising directly or indirectly from: (a) Franchisee's breach of any environmental Laws or
Laws applicable to the Facilities, or (b) from any release of a hazardous substance on or from
the Facilities, or (c) other activity related to this Franchise by Franchisee. This indemnity
includes, but is not limited to, (a) liability for a governmental agency's costs of removal or
remedial action for Hazardous Substances; (b) damages to natural resources caused by
Hazardous Substances, including the reasonable costs of assessing such damages; (c) liability for
any other person's costs of responding to Hazardous Substances; (d) liability for any
investigation, abatement, correction, cleanup, costs, fines, penalties, or other damages arising
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ORDINANCE NO. 5763
under any Laws; and (e) liability for personal injury, property damage, or economic loss arising
under any statutory or common-law theory or Laws.
22.4 Title 51 Waiver: Franchisee's indemnification obligations pursuant to this Section
shall include assuming potential liability for actions brought by Franchisee's own employees
and the employees of Franchisee's agents, representatives, contractors (of any tier) even
though Franchisee might be immune under RCW Title 51 from direct suit brought by such
employees. It is expressly agreed and understood that this assumption of potential liability for
actions brought by the aforementioned persons is limited solely to claims against Renton
arising by virtue of Franchisee's exercise of the privileges set forth in this agreement. The
obligations of Franchisee under this Section have been mutually negotiated by the Parties, and
Franchisee acknowledges that Renton would not enter into this agreement without
Franchisee's waiver of immunity. To the extent required to provide this indemnification and this
indemnification only, Franchisee waives its immunity under Title 51 RCW as provided in RCW
4.24.115 (Validity of agreement to indemnify against liability for negligence relative to
construction, alteration, improvement, etc.,...).
22.5 Real Estate Indemnity: Should a court of competent jurisdiction determine that
this Franchise is subject to RCW 4.24.115, (Validity of agreement to indemnify against liability
for negligence relative to construction, alteration, improvement, etc.,...), as it exists or may be
amended, then, in the event of liability for damages arising out of bodily injury to persons or
damages to property caused by or resulting from the concurrent negligence of Franchisee, its
officers, officials, employees, and volunteers and/or the contractor, or Renton, its elected
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ORDINANCE NO. 5763
officials, officers, officials, employees, and volunteers, and or the contractor, the party's liability
shall be only to the extent of the party's negligence.
22.6 Notice: In the event any matter for which Renton intends to assert its rights
under this section is presented to or filed with Renton, Renton shall promptly attempt to notify
Franchisee in accordance with Section XV of this Franchise, and Franchisee shall have the
privilege, at its election and at its sole costs and expense, to settle and compromise such matter
as it pertains to Franchisee's responsibility to indemnify, defend and hold harmless Renton. In
the event any suit or action is started against Renton based upon any such matter, Renton shall
likewise promptly attempt to notify Franchisee, and Franchisee shall have the privilege, at its
election and at its sole cost and expense, to settle and compromise such suit or action, or
defend the same at its sole cost and expense, by attorneys of its own election, as it pertains to
Franchisee's responsibility to indemnify, defend and hold harmless Renton. Franchisee's
indemnification obligations do not apply to the extent that Renton fails to provide attempt to
notice in accordance with Section XV of this Franchise, and such failure materially prejudices
Franchisee or the defense of an action, claim, cost, damage, death, expense, harm, injury,
liability, or loss of any kind.
22.7 Recovery of City Costs: In the event that Renton is required to defend a "suit or
action" as referenced in subsection 22.2 and Renton is determined to be without fault for the
claim or demand giving rise to such "suit or action," Franchisee shall reimburse Renton for a
percentage of Renton's total defense costs. The percentage of Renton's total defense costs to
be reimbursed shall be a percentage equal to the percentage (if any) of fault attributable to
Franchisee for the claim or demand giving rise to such "suit or action."
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ORDINANCE NO. 5763
22.8 Survival: The provisions of this section shall survive the expiration or termination
of this Franchise if the basis for any such claim, demand, suit or action as referenced in
subsection 25.2 occurred during the Franchise term.
22.9 Negotiated: THE PARTIES HAVE SPECIFICALLY NEGOTIATED SECTION XXII,
INDEMNIFICATION.
SECTION XXIII: Insurance
23.1 Insurance Required: Franchisee shall procure and maintain for the duration of
the Franchise, insurance, or provide evidence of self-insurance, against all claims for injuries to
persons or damages to property which may arise from or in connection with the exercise of the
privileges granted by Franchise to Franchisee. Franchisee shall provide to Renton an insurance
certificate, and/or a certificate of self-insurance, together with an endorsement on the general
and automotive liability policies, naming Renton as an additional insured upon Franchisee's
acceptance of this Franchise, and such insurance certificate shall evidence the following
minimum coverages:
a. Commercial general liability insurance, including but not limited to, blanket
contractual, property damage, operations, explosions and collapse hazard, underground
hazard (XCD) and products completed hazard, with limits not less than five million
dollars ($5,000,000) for each occurrence and with limits not less than five million dollars
($5,000,000) in the aggregate for bodily injury or death to each person, property
damage, or any other type of loss;
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ORDINANCE NO. 5763
b. Automobile liability for owned, non-owned and hired vehicles with a limit of
three million dollars ($3,000,000) for each person and three million dollars ($3,000,000)
for each accident;
c. Worker's Compensation within statutory limits consistent with the Industrial
Insurance laws of the State of Washington; and
d. Pollution legal liability shall be in effect throughout the entire Franchise term,
with a limit not less than one million dollars ($1,000,000) for each occurrence, and not
less than two million dollars ($2,000,000) in the aggregate, and not less than fifty
thousand dollars ($50,000) for environmental crisis management, to the extent such
coverage is reasonably available in the marketplace for any pollution condition or
occurrence after the effective date of this Franchise.
23.2 Claims Made Basis: If coverage is purchased on a "claims made" basis, then
Franchisee warrants continuation of coverage, either through policy renewals or the purchase
of an extended discovery period, if such extended coverage is available, for not less than three
(3) years from the date of termination of this Franchise and/or conversion from a "claims
made" form to an "occurrence" coverage form.
23.3 Deductibles: All deductibles shall be the sole responsibility of Franchisee. The
insurance certificate required by this section shall contain a clause stating that coverage shall
apply separately to each insured against whom claim is made or suit is brought, except with
respect to the aggregate limits of the insurer's liability.
23.4 Named Insured: Renton, its officers, officials, employees, agents and volunteers
shall be named as an additional insured on the insurance policy, as respects to work performed
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ORDINANCE NO. 5763
by or on behalf of Franchisee and the endorsement naming Renton as additional insured shall
be indicated on the certificate of insurance or certification of self-insurance.
23.5 Primary Insurance: Franchisee's insurance shall be primary insurance with
respect to Renton. Any insurance maintained by Renton shall be in excess of Franchisee's
insurance and shall not contribute with it. Franchisee shall give Renton thirty (30) days prior
written notice by certified mail, return-receipt requested, of suspension, cancellation, or
material change in coverage.
23.6 Cancellation: In addition to the coverage requirements set forth in this section,
the certificate of insurance shall provide that: "The above described policies will not be
canceled before the expiration date, without the issuing company giving sixty (60) days prior
written notice to the certificate holder." In the event of cancellation or a decision not to renew,
Franchisee shall obtain and furnish to Renton evidence of replacement insurance policies
meeting the requirements of this section before the cancellation date.
23.7 Certificates and Endorsements: Franchisee shall furnish Renton with certificates
of insurance evidencing the coverage or self-insurance required by this section upon
acceptance of this Franchise. The certificates and endorsements shall be signed by a person
authorized by the insurer to bind coverage on its behalf and must be received and approved by
Renton prior to the commencement of any Work.
23.8 Separate Coverage: Franchisee's insurance shall contain a clause stating that
coverage shall apply separately to each insured against whom claim is made or suit is brought,
except with respects to the limits of the insurer's liability.
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ORDINANCE NO. 5763
23.9 Self-Insurance: In addition to the foregoing insurance/self-insurance
requirements, Franchisee may also insure or self-insure against additional risks in such amounts
as are consistent with prudent utility practices. Franchisee shall, upon request, provide Renton
with sufficient evidence that such self-insurance is being so maintained.
23.10 Survival: The indemnity and insurance provisions under Sections XXII and XXIII
shall survive the termination of this Franchise and shall continue for as long as Franchisee's
Facilities remain in or on the Franchise Area or until the Parties execute a new Franchise that
modifies or terminates these indemnity or insurance provisions.
SECTION XXIV: Discrimination Prohibited
In connection with this Franchise, including and not limited to all Work, hiring and
employment, neither Franchisee nor its employees, agents, subcontractors, volunteers or
representatives shall discriminate on the basis of race, color, sex, religion, nationality, creed,
marital status, sexual orientation or preference, age (except minimum age and retirement
provisions), honorably discharged veteran or military status, or the presence of any sensory,
mental or physical handicap, unless based upon a bona fide occupational qualification in
relationship to hiring and employment, in employment or application for employment or in the
administration of the delivery of services or any other benefits under this agreement.
Franchisee shall comply fully with all applicable Laws that prohibit such discrimination. A copy
of this language must be made a part of any contractor or subcontractor agreement.
SECTION XXV: Notice
25.1 Whenever notice to or notification by any Party is required, that notice shall be
in writing and directed to the recipient at the address set forth below, unless written notice of
43
ORDINANCE NO. 5763
change of address is provided to the other Party. Any notice or information required or
permitted to be given to the Parties under this Franchise may be sent to following Addresses
unless otherwise specified:
City Address:
City of Renton
Administrator, Public Works Department
1055 South Grady Way
Renton, WA 98055
Phone: (425) 430-7311
Company Address:
Astound Broadband, LLC
401 Kirkland Parkplace, Suite 500
Kirkland, WA 98033
Attn: Steve Weed, CEO &Jim Penney, EVP
Phone: (425) 896-1891
25.2 If the date for making any payment or performing any act is a legal holiday,
payment may be made or the act performed on the next succeeding business day which is not a
legal holiday.
25.3 The Parties may change the address and representative by providing written
notice of such change by accepted e-mail or certified-mail. All notices shall be deemed
complete upon actual receipt or refusal to accept delivery. Facsimile or a .pdf e-mailed
transmission of any signed original document and retransmission of any signed facsimile
transmission shall be the same as delivery of an original document.
SECTION XXVI: Miscellaneous
26.1 As Is: Franchisee's agrees and accepts the Franchise Area in an "as is" condition.
Franchisee agrees that Renton has never made any representations, implied or express
warranties, or guarantees as to the suitability, security or safety of the location of Franchisee's
44
ORDINANCE NO. 5763
Facilities or the Franchise Area, or possible hazards or dangers arising from other uses or users
of the Franchise Area, Rights-of Way, Public Property, and Public Ways including any use by
Renton, the general public, or by other utilities. As to Renton and Franchisee, Franchisee shall
remain solely and separately liable for the Work, function, testing, maintenance, replacement
and/or repair of the Facilities or other activities permitted by this Franchise.
26.2 Assignees and Successors: This Franchise and all of the terms and provisions shall
be binding upon and inure to the benefit of the Parties' respective successors and assignees.
26.3 Attorneys' Fees: If a suit or other action is instituted in connection with any
controversy arising out of this Franchise, the prevailing party shall be entitled to recover all of
its Costs, including such sum as the court may judge as reasonable for attorneys' fees, costs,
expenses and attorneys' fees upon appeal of any judgment or ruling.
26.4 Conflicts: If there is a conflict between this and any previous Franchise between
the Parties, the terms of this Franchise shall supersede the terms of the previous Franchise.
26.5 Contractors (of any tier): Franchisee's contractors may act on Franchisee's behalf
to the extent that Franchisee permits its contractors to do so. Franchisee is responsible for
ensuring that Franchisee's contractors have every obligation, duty and responsibility that
Franchisee has in discharging its duties related to this Franchise agreement.
26.6 Eminent Domain: This Franchise shall not preclude a governmental body from
acquiring the Franchise Area by lawful condemnation, or Renton from acquiring any portion of
the Facilities by lawful condemnation. In determining the Facilities' value, no value shall be
attributed to the right to occupy the Franchise Area.
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ORDINANCE NO. 5763
26.7 Force Maieure: In the event that Franchisee is prevented or delayed in the
performance of any of its obligations under this Franchise by reason(s) beyond the reasonable
control of Franchisee, then Franchisee's performance shall be excused during the Force
Majeure occurrence. Upon removal or termination of the Force Majeure occurrence
Franchisee shall promptly perform the affected obligations in an orderly and expedited manner
under this Franchise or procure a substitute for such obligation or performance that is
satisfactory to Renton. Franchisee shall not be excused by mere economic hardship or by
misfeasance or malfeasance of its directors, officers or employees. Events beyond Franchisee's
reasonable control include, but are not limited to, Acts of God, war, acts of domestic terrorism
or violence, civil commotion, labor disputes, strikes, earthquakes, fire, flood or other casualty,
shortages of labor or materials, government regulations or restrictions and extreme weather
conditions. Franchisee shall use all commercially reasonable efforts to eliminate or minimize
any delay caused by a Force Majeure event.
26.8 Forfeiture and Other Remedies: If Franchisee willfully violates or fails to comply
with any of the Franchise provisions, or through willful or unreasonable negligence fails to heed
or comply with any notice that Renton may give to Franchisee under the Franchise provisions,
at the election of the Renton City Council, this Franchise may be revoked or annulled after a
hearing held upon reasonable notice to Franchisee (which notice shall be given at least thirty
(30) days before the hearing), and upon such revocation, all privileges conferred under this
Franchise shall be forfeited.
26.9 Franchisee's Acceptance: Renton may void this Franchise ordinance if Franchisee
fails to file its unconditional acceptance of this Franchise within thirty (30) days from the final
46
ORDINANCE NO. 5763
passage of same by the Renton City Council. Franchisee shall file this acceptance with the City
Clerk of the City of Renton.
26.10 Governing Law: This Franchise shall be made in and shall be governed by and
interpreted in accordance with the laws of the State of Washington.
26.11 Jurisdiction and Venue: Any lawsuit or legal action brought by any party to
enforce or interpret this Franchise or any of its terms or shall be in the United States District
Court for the Western District of Washington, in Seattle, Washington, or in the King County
Superior Court for the State of Washington at the Maleng Regional Justice Center, Kent,
Washington.
26.12 No Duty by Renton: This Franchise neither creates any duty by Renton nor any of
its elected officials, agents, employees or representatives, and no liability arises from any action
or inaction by Renton or any of its elected officials, agents, employees or representatives in the
exercise of their powers or authority. Renton is not required to inspect or guarantee
Franchisee's Work. This Franchise is not intended to acknowledge, create, imply or expand any
duty or liability of Renton with respect to any function in the exercise of its police power or for
any other purpose. Any duty that may be deemed to be created in Renton by this Franchise
shall be deemed a duty to the general public and not to any specific party, group or entity.
26.13 Notice of Tariff Changes: Franchisee shall, when making application for any
changes in Tariffs affecting the provisions of the Franchise, notify Renton in writing of the
application and provide Renton with a copy of the submitted application within five (5) calendar
days of filing with the WUTC. Franchisee shall further provide Renton with a copy of any actual
approved Tariff(s) affecting the provision of this Franchise.
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ORDINANCE NO. 5763
26.14 Other Obligations: This Franchise shall not alter, change or limit Franchisees
obligations under any other agreement or its obligations as it relates to any other property or
endeavor.
26.15 Renton's Police Powers: Nothing in this Franchise shall diminish, or eliminate, or
be deemed to diminish or eliminate that governmental or police powers of Renton, including
the right to create new Laws or modify existing Laws.
26.16 Public Document/Public Disclosure: This Franchise will be considered a public
document and will be available for reasonable inspection and copying by the public during
regular business hours. This document may be disclosed pursuant to RCW 42.56 (Public Records
Act).
26.17 Section Headings: The Section headings in this Franchise are for convenience
only, and do not purport to and shall not be deemed to define, limit, or extend the scope or
intent of the section to which they pertain.
26.18 Severability: In the event that a court or agency of competent jurisdiction
declares a material provision of this Franchise to be invalid, illegal or unenforceable, the Parties
shall negotiate in good faith and agree, to the maximum extent practicable in light of such
determination, to such amendments or modifications as are appropriate so as to give effect to
the intentions of the Parties. If severance from this Franchise of the particular provision(s)
determined to be invalid, illegal or unenforceable will fundamentally impair the value of this
Franchise, either Party may apply to a court of competent jurisdiction to reform or reconstitute
the Franchise so as to recapture the original intent of said particular provision(s). All other
48
ORDINANCE NO. 5763
provisions of the Franchise shall remain in effect at all times during which negotiations or a
judicial action remains pending.
26.19 Survival: With respect only to matters arising during the period of time this
Franchise shall be in full force and effect, the Parties intend that any term or condition
applicable to such matters shall survive the expiration or termination of this Franchise to the
extent such survival can be reasonably inferred under the circumstances presented and to the
extent such an inference is necessary to prevent substantial injustice to an injured party.
26.20 Third-Parties: The Parties do not create any obligation or liability, or promise any
performance to, any Third-Party, nor have the Parties created any Third-Party right to enforce
this Franchise beyond what is provided for by Laws. "Third-Parties" are any party other than
Renton and Franchisee. This Franchise shall not release or discharge any obligation or liability of
any Third-Party to either Party.
26.21 Time of the Essence: Whenever this Franchise sets forth a time for any act to be
performed, such time shall be deemed to be of the essence, and any failure to perform within
the allotted time may be considered a material violation of this Franchise.
SECTION XXVII: Effective Date
This ordinance shall be in full force and effect from and after its passage, approval, and
five (5) calendar days after its legal publication as provided by law, and provided it has been
duly accepted by Franchisee.
PASSED BY THE CITY COUNCIL this 13th day of July, 2015.
F
Jasont. Seth, Cl y Clerk
49
ORDINANCE NO. 5763
APPROVED BY THE MAYOR this 13th day of July, 2015.
)DiIjU 1-77'j-
Denis Law, Mayor
Approved as to form:
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CfaAAJ-��?Z
Lawrence J. Warren, City Attorney AL y /
Date of Publication: 7/17/2015 (Summary)
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50
ORDINANCE NO. 5763
UNCONDITIONAL ACCEPTANCE
The undersigned, Franchisee, accepts all the privileges of the above-granted franchise, subject
to all the terms, conditions, and obligations of this Franchise.
DATED: , 2015.
Astound Broadband, LLC
By: James A. Penney
Its: EVP Business and Legal Affairs
ORDINANCE NO. 5763
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