Title
Resolution Approving Settlement Agreement Between the City of Greensboro and MCI, Teleconnect, and MCImetro in the Amount of $297,159.63 for Their Installations in the City’s Rights-of-Way
Body
Department: Executive
Council District: All
Public Hearing: No
Advertising Date/By: N/A
Contact 1 and Phone: Tom Carruthers, City Attorney, 373-2320
Contact 2 and Phone: Jennifer Schneier, Assistant City Attorney, 373-2320
PURPOSE:
To approve the Settlement Agreement between the City of Greensboro and MCI, Teleconnect, and MCImetro in the amount of $297,159.63 for their installations in the City’s rights-of-way.
BACKGROUND:
A dispute arose between the City and the three divisions of MCI: MCI, Teleconnect, and MCImetro regarding the franchise fees for use of the City’s rights-of-way. The three divisions have not paid per-linear-foot charges since July, 2012.
MCI, Teleconnect, and MCImetro have agreed to pay the City the amount of $297,159.63 for the past-due fees, and that MCI, Teleconnect, and MCImetro will pay a yearly franchise fee of $0.30 per-linear-foot to the City based on their total linear foot occupation of the City’s rights-of-way.
The settlement amount of $297,159.63 consists of:
$176,893.50 for MCI Connect
$51,896.25 for Teleconnect
$68,369.88 for MCImetro
BUDGET IMPACT:
The City will receive $297,159.63 from MCI, Teleconnect, and MCImetro’s for their use of the City’s rights-of-way.
RECOMMENDATION / ACTION REQUESTED:
It is recommended that City Council approve the Settlement and Release Agreement between the City and MCI, Teleconnect, and MCImetro.
COMMITTEE ACTION: This item was referred to Council by the Infrastructure Committee.