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HomeMy WebLinkAboutIL262 Interlocal Agreement COA IL262 INTERLOCAL COOPERATIVE AGREEMENT FOR CONSTRUCTION OF FIBER OPTIC INFRASTRUCTURE BETWEEN PORT OF SKAGIT COUNTY AND CITY OF ANACORTES THIS AGREEMENT is made and entered into by and between the Port of Skagit County ("Port") and the City of Anacortes, a municipal corporation of the State of Washington ("City") pursuant to the authority granted by Chapter 39.34 RCW, INTERLOCAL COOPERATION ACT. The City and Port may be individually referred to herein as a "party", and may be collectively referred to herein as the "parties." WITNESS THAT: WHEREAS, entities in Skagit County applied for a total of $1,523,149.41 in Skagit County economic development infrastructure (0.09) grant funds for fiber infrastructure projects in 2017, including $1,098,149.41 in three different applications submitted by the Port, Public Utility District No. 1 of Skagit County, the City of Mount Vernon, the City of Anacortes, the City of Sedro-Woolley, and the Town of La Conner, as well as a total of $425,000 applied for by the City of Burlington for expanding fiber infrastructure within Burlington city limits; and WHEREAS, in 2016, Skagit County awarded $500,000 to the City of Anacortes for fiber infrastructure and $50,000 to the City of Mount Vernon for fiber infrastructure in response to 2016 grant applications by those respective entities; and WHEREAS, Skagit County awarded the Port $1,200,000 for all fiber related grant applications submitted in 2017, as well as the outstanding funding commitments to the City of Anacortes and City of Mount Vernon made by Skagit County in 2016; and WHEREAS, the Port has been asked by Skagit County to develop a countywide dark fiber optic backbone network; and Page 1of6 WHEREAS, the Port has been delegated responsibility by Skagit County for administering some of the 2017 0.09 grant funds, including $205,000 of the funds awarded to the City, for fiber optics in a manner to ensure the most effective use of the funds for development of a countywide fiber optic network; and WHEREAS, the City wishes to contract with the Port to receive funding for fiber optic installation according to the grant award to the City; and WHEREAS, the Parties acknowledge that the development of a City municipal broadband fiber system, including installation of dark fiber and development of a retail fiber system to serve Anacortes residents and businesses is concurrent with the county-wide strategic fiber plan and is an effective use of the funds for development of a countywide fiber optic network. NOW, THEREFORE, in consideration of the following terms and conditions, the parties mutually agree as follows: 1. PURPOSE: The Port shall provide funds to the City for the construction of a City fiber optic system. 2. RESPONSIBILITIES: A. The City shall design and construct a fiber optic system, which is open access and provides dark fiber connectivity between City facilities and has the potential to provide a retail fiber system to serve Anacortes Residents. B. The City shall ensure that all required permits are obtained and any land use and/or zoning issues have been mitigated by the City prior to entering into a construction contract. C. The City shall ensure that all laws and regulations are followed in construction and operation of the fiber optic system. D. The City will ensure the grant funds received are used for the sole purpose of construction of its municipal broadband fiber system. INTERLOCAL AGREEMENT Page 2 of 6 E. The City will oversee the construction of its system in compliance with state law. F. The Port will reimburse the City for eligible project costs up to the maximum amount detailed in Section 4 below provided that all contract terms are met. G. All construction shall be complete by August 1, 2019. H. The Port agrees not to provide internet services or dark fiber leases within the City of Anacortes urban growth area or the City of Anacortes water service area, or any area West of the Swinomish Slough, commonly referred to as Fidalgo Island, either directly or indirectly. I. The Parties agree to work cooperatively to enable commerce and coordination between service areas that supports a sustainable open access countywide fiber optic network. The Parties acknowledge that an intertie at the vault at the intersection of Young Road and LaConner Whitney Road is desirable location to facilitate that coordination. The Parties agree to work together to identify reasonable terms, including price, for an agreement to allow the intertie. 3. TERM OF AGREEMENT: The term of this Agreement shall be from August 1, 2017 through August 31, 2019. 4. MANNER OF FINANCING: Port shall pay an amount not to exceed $205,000.00 to the City allocated as follows: A. A maximum of $205,000 over the Term of Agreement. B. The City shall invoice amount to be repaid by Port as incurred.The City shall deliver invoices on a monthly basis. C. Payment Procedures: The City shall submit an invoice by the 10th of the month after the month in which costs were incurred. Failure to submit an invoice by the 10th may delay payment for 1 month. The City shall submit INTERLOCAL AGREEMENT Page 3 of 6 a final billing for this Agreement no later than 30 days after the agreement expiration date. D. Until notified otherwise, the City shall submit all requests for reimbursement to: Port of Skagit ATTN: Sara Young, Director of Planning and Facilities 15400 Airport Drive Burlington, WA 98233 5. ADMINISTRATION: The following individuals are designated as representatives of the respective parties. The representatives shall be responsible for administration of this Agreement and for coordinating and monitoring performance under this Agreement. In the event such representatives are changed, the party making the change shall notify the other party. A. City's representative shall be Darcy Swetnam City Attorney 904 6th Street Anacortes, Washington 98221 (360) 299-1955 darcys@cityofanacortes.org B. Port's representative shall be Patricia H. Botsford-Martin Executive Director 15400 Airport Drive Burlington, Washington 98233 (360) 757-0011 patsy@portofskagit.com 6. TREATMENT OF ASSETS AND PROPERTY: No fixed assets or personal or real property will be jointly or cooperatively held, used, or disposed of pursuant to this Agreement. 7. INDEMNIFICATION: Each party agrees to be responsible and assume liability for its own wrongful and/or negligent acts or omissions or those of their officials, officers, agents, or employees to the fullest extent required by law, and further INTERLOCAL AGREEMENT Page 4 of 6 agrees to save, indemnify, defend, and hold the other party harmless from any such liability. 8. TERMINATION: Any party hereto may terminate this Agreement upon thirty (30) days' notice in writing either personally delivered or mailed postage-prepaid by certified mail, return receipt requested, to the party's last known address for the purposes of giving notice under this paragraph. If this Agreement is so terminated, the parties shall be liable only for performance rendered or costs incurred in accordance with the terms of this Agreement prior to the effective date of termination. 9. CHANGES, MODIFICATIONS, AMENDMENTS AND WAIVERS: The Agreement may be changed, modified, amended or waived only by written agreement executed by the parties hereto. Waiver or breach of any term or condition of this Agreement shall not be considered a waiver of any prior or subsequent breach. 10.SEVERABILITY: In the event any term or condition of this Agreement or application thereof to any person or circumstances is held invalid, such invalidity shall not affect other terms, conditions or applications of this Agreement which can be given effect without the invalid term, condition, or application. To this end the terms and conditions of this Agreement are declared severable. 11. ENTIRE AGREEMENT: This Agreement contains all the terms and conditions agreed upon by the parties. All items incorporated herein by reference are attached. No other understandings, oral or otherwise, regarding the subject matter of this Agreement shall be deemed to exist or to bind any of the parties hereto. PORT OF SKAGIT COUNTY Patricia H. Botsford-Martin, Executive Director Date I /2; 11 Mailing Address: 15400 Airport Drive Burlington, WA 98233 INTERLOCAL AGREEMENT Page 5 of 6 CITY OF ANACORTES Laurie Gere, Mayor Date: Mailing Address: 904 6th Street Anacortes, WA 98221 INTERLOCAL AGREEMENT Page 6 of 6