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ORD 10-655ORDINANCE NO. 10-655 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF FEDERAL WAY, WASHINGTON, GRANTING SEATTLE SMSA LIMITED PARTNERSHIP DB/A VERIZON WIRELESS, A NONEXCLUSIVE FRANCHISE TO OCCUPY RIGHTS-OF-WAY OF THE CITY OF FEDERAL WAY, WASHINGTON, WITHIN THE SPECIFIED FRANCHISE AREA FOR THE PURPOSES OF WIRELESS COMMUNICATIONS SERVICE WITHIN AND THROUGH THE CITY OF FEDERAL WAY. WHEREAS, Seattle SMSA Limited Partnership d/b/a Verizon Wireless has requested a franchise from the City of Federal Way, in order to use space on and air-space above certain rights- of-way for the installation, operation and maintenance of certain communications facilities which include requisite antennas, connecting cables and appurtenant equipment; and WHEREAS, the City Council of Federal Way finds that it is in the public interest to grant such a franchise, which will specify the rights and duties of Seattle SMSA Limited Partnership d/b/a Verizon Wireless; and WHEREAS, RCW 35A.47.040 permits the City of Federal Way to grant nonexclusive franchises for the use of public streets, bridges or other public ways for, inter alia, conduits, wires and appurtenances for transmission of signals and other methods of communications; and WHEREAS, in granting such a nonexclusive franchise, the City of Federal Way reserves such other powers and authorities granted to Washington code cities by general law; NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF FEDERAL WAY, WASHINGTON, DOES HEREBY ORDAIN AS FOLLOWS: Ordinance No. 10-655 Page 1 of 26 DWT 14007567v2 0052051-000032 VZW Site: SEA SW320TH Section 1. Definitions Where used in this Franchise the following terms shall be defined as follows: 1.1 "Cit�' means the City of Federal Way, Washington, a municipal corporation of the State of Washington, and its respective successors and assigns. 1.2 "Council" means the City of Federal Way Council acting in its official capacity. 1.3 "Director" means the Public Works Director, or designee, of the City of Federal Way Public Works Department. 1.4 "Facilities" means Franchisee's equipment to be located within the public right-of- way. 1.5 "FWRC" means the Federal Way Revised Code. 1.6 "Franchise Area" means only that portion of the space on and air-space above certain rights-of-way located in the City of Federal Way and shown in Exhibit A attached hereto, and/or any other areas approved by the Federal Way City Council and incorporated into this Ordinance via amendment. 1.7 "Franchisee" means Seattle SMSA Limited Partnership d/b/a Verizon Wireless, and its respective successors and assigns if consented to by the City of Federal Way as provided in Section 24 herein. Section 2. GranUAcceptance 2.1 Grant of Franchise The City hereby grants to Franchisee the nonexclusive right to enter upon the Franchise Area for the limited purpose of constructing, excavating, installing, maintaining, restoring, and repairing Facilities within in the Franchise Area together with necessary space and rights for access and Ordinance No. 10-6SS Page 2 of 26 DWT 14007567v2 0052051-000032 VZW Site: SEA SW320TH utilities, described and depicted in attached Exhibit A. The Facilities shall be at Franchisee's expense. Subject to Section 6 of this Franchise, Franchisee shall have the right to replace, repair, add or otherwise modify its Facilities within the Franchise Area during the term of this Franchise. This franchise is specifically limited to the right for Franchisee to install Facilities owned and operated by Franchisee. This franchise does not permit Franchisee to lease, rent, or otherwise allow use of conduits, space or capacity provided by the Facilities to other third-party telecommunications providers, and Franchisee covenants and agrees thaf it will not do so. 2.2 Acce�tance by Franchisee. Franchisee shall have no rights under this Franchise, nor shall Franchisee be bound by the terms and conditions of this Franchise, unless Franchisee shall, within sixty (60) days after the effective date of this Franchise, file with the City its written acceptance of this Franchise and all of its terms and conditions. Section 3. Non-Franchise Area Citv Property This Franchise does not and shall not convey any right to Franchisee to install its Facilities on, under, over, across, or to otherwise use City-owned or leased properties of any kind outside the Franchise Area, or to install Facilities on, under, over, across or otherwise use any City owned or leased property within the Franchise Area other than public roads, streets, avenues, alleys and highways. Section 4. Term Subject to Franchisee filing its acceptance pursuant to Subsection 2.2, the term of this Franchise shall be for a period of ten (10) years commencing on the effective date of this Franchise, and ending at 12:00 a.m. (midnight) on the tenth (lO anniversary of the effective date, unless terminated earlier pursuant to this Franchise or other applicable law. This Franchise shall Ordinance No. 10-655 Page 3 of 26 DWT 1400756'7v2 0052051-000032 VZW Site: SEA SW320TH automatically renew for one (1) additional period of ten (10) years unless either party gives the other party written notice of the intent to terminate this Franchise at least six (6) months prior to the end of the preceding ten (10) year period. Section 5. Location of Facilities 5.1 Location. The Facilities permitted by this Franchise shall be as described and depicted in attached Exhibit A. The location of the Facilities, including any underground Facilities and appurtenances, their depths below surface of ground or grade of a right-of-way, and any related existing equipment (such as cellular antennae) to which the Facilities are connected shall be depicted on a map and submitted to the City within thirty (30) days of the installation of the Facilities. Upon written request of the City, Franchisee shall update such map to reflect actual or anticipated improvements to the system. Any such map (or update thereo fl so submitted shall be for informational purposes only and shall not obligate Franchisee to undertake any specific improvements, nor shall such map be construed as a proposal to undertake any specific improvements. 5.2 GIS Data. At such time as Franchisee develops or employs Geographic Information System ("GIS") technology, Franchisee shall submit the information required in Subsection 5.1 above in digital GIS format, showing the location of its Facilities within the Franchise Area. 5.3 Desi�n Markings. In the event the City desires to design new streets or intersections, renovate existing streets, or make any other public improvements, Franchisee shall at the City of Federal Way's reasonable request, provide the location of Franchisee's underground Facilities within the Franchise Area by either field markings or by locating the Facilities on the City's design drawings, and shall provide all other reasonable cooperation and assistance to the City. Ordinance No. 10-655 Page 4 of 26 DWT 14007567v2 0052051-000032 VZW Site: SEA SW320TH Section 6. Noninterference of Facilities Franchisee agrees to maintain its Facilities and perform any and all activities authorized by this Franchise: (1) so as not to unreasonably interfere with the free passage of traffic; (2) in accordance with the laws of the State of Washington and City Code requirements, franchise provisions, regulations, resolutions and rules, as now existing or as hereafter amended; and (3) as reasonably required in writing by the Director. This requirement applies whether or not the work.is performed by the Franchisee, its agents, employees, subcontractors, or other third parties at Franchisee's direction. Section 7. Repuirement to Obtain Permits 7.1 Permits and Permit Applications. Franchisee shall, at its expense, obtain all permits, (including rights-of-way permits), and pay all permit fees required by applicable City ordinances, regulations, resolutions and rules prior to commencing any work within the Franchise Area. Franchisee permit applications shall show the position and location of the proposed facilities to be constructed, laid, installed, or erected at that time, show their relative position to existing rights-of-way or property lines upon prints drawn to scale, designate rights-of-way by their names and improvements, such as, but not limited to, sidewalks, curbs, gutters, shoulders of roadway, ditches, paved roadways, roadways to property lines, turnouts, parking strips, telephone or electric distribution poles, and water pipes existing on the ground to be occupied, or as required by the Director. The Franchisee shall specify the class and type of materials to be used, equipment to be used, and mode of safeguarding and facilitating the public traffic during construction. Materials and equipment shall be in new or like-new condition for its type and kind. The manner of excavation, construction, installation, backfill, and temporary Ordinance No. 10-655 Page S of 26 DWT 14007567v2 0052051-000032 VZW Site: SEA SW320TH structures such as, but not limited to, traffic turnouts and road obstructions shall meet the standards of the FWRC and be reasonably satisfactory to the Director. All traffic control shall be in accordance with the right-of-way permit, and shall be in accordance with the Manual on Uniform Traffic Control Devices (MUTCD). The Franchisee shall indicate on any permit application the time needed to complete the work. The time needed to complete the work is subject to approval by the City as a condition of the issuance of the permit or approval. 7.2 Emergency Exception to Permit Requirement. In the event of an emergency in which Franchisee's Facilities within the Franchise Area are in a condition in Franchisee's discretion as to immediately endanger the property, life, health or safety of any individual, Franchisee may take action immediately to correct the dangerous condition without first obtaining any required permit so long as: (1) Franchisee informs the City of nature and extent of the emergency, and the work to be performed, prior to commencing the work; and (2) such permit is obtained by Franchisee as soon as practicable following cessation of the emergency. Section 8. Standard of Performance The Franchisee shall not excavate for a distance of more than one hundred feet (100') without immediately backfilling and compacting to surface grade and city standards. Backfilled trench areas within a driving lane must be patched, either temporarily or permanently, before the end of the work day in which they have been opened. Trench areas within the right-of-way, but not with in a driving lane, must also be patched within the time limits specified by the City on the right-of-way use permit. Final surface restoration shall be completed within thirty (30) days and shall be equal to or better than the surface condition prior to permit issuance. Ordinance No. 10-655 Page 6 of 26 DWT 14007567v2 0052051-000032 VZW Site: SEA SW320TH Any asphalt overlay completed within the Franchise Area during the five (5) year-period immediately prior to the date of permit application shall not be open cut by Franchisee unless required by an emergency and subject to the provisions of Subsection 7.2 above. Franchisee shall install new asphalt overlay on any street that is open cut, whether in an emergency or othervvise, for a minimum of one (1) block (approximately S00 feet) in length in both directions from the open cut, unless determined otherwise by the Director. Within fifteen (15) days of completion of any installation ofFranchisee's Facilities within the Franchise Area, Franchisee shall submit to the Director plans, stamped by a Professional Engineer licensed by the State of Washington, showing the "as-built" location of the Facilities. Section 9. Survev Markers and Monuments Franchisee shall, using a licensed surveyor, immediately replace all markers or monuments disturbed during any work by Franchisee within the Franchise Area. Franchisee shall pay all costs associated with such lost, destroyed or disturbed monuments or markers. Section 10. Surface Markings/Stakes Prior to Franchisee commencing any excavation work within the Franchise Area, Franchisee shall reference all monuments and markers relating to subdivisions, plats, highways, and other surveys. The reference points shall be located so that they shall not be disturbed during the . Franchisee's operations under this Franchise. The method of referencing these monuments or other points shall be approved by the City before placement. The construction shall be made as expeditiously as conditions permit, and as directed by the City. The cost of monuments or other markers lost, destroyed, or disturbed, and the expense of replacement of the monuments, shatl be borne solely by the Franchisee. A complete set of reference notes for monuments and other ties shall Ordinance No. 10-655 Page 7 of 26 DWT 14007567v2 0052051-000032 VZW Site: SEA SW320TH be filed with the City. Section 11. Right of Citv to Complete Work In the event Franchisee fails to comply with any applicable federal, state or City laws, ordinances, rules, regulations or standards or with any of the terms of this Franchise, and such noncompliance continues for a period of thirty (30) days after Franchisee receives written notice from the City regarding the noncompliance, the City may, but in no event is the City obligated to, order any work completed, including without limitation Franchisee's obligation to repair pursuant to Section 13 herein and Franchisee's obligation to remove or relocate facilities pursuant to Section 12 herein. If the City causes such work to be done by its own employees or by any person or entity other than Franchisee, Franchisee shall, upon the City's written request, immediately reimburse the City for all reasonable costs and expenses incurred by the City in having such work performed, which costs may include the City's reasonable overhead expenses and reasonable attorneys fees. However, the City shall not have any electrical work accomplished by any person or entity other than Franchisee or a qualified and licensed electrical contractor. Section 12. Required Relocation of Facilities 12.1 City Reservation of Ri ts. The City reserves the right to use, occupy and enjoy all or any part of the Franchise Area, either above, below, or adj acent to the Facilities, for any purpose that is not inconsistent with Franchisee's use of the Franchise Area and the terms and conditions of this Franchise. The rights reserved herein include, without limitation, the construction, installation, and/or maintenance of any electrical, water, sewer or storm drainage line, traffic signals, street lights, trees, landscaping, bicycle paths and lanes, equestrian trails, sidewalks, other pedestrian amenities, and other public street improvement projects. Ordinance No. 10-655 Page 8 of 26 DWT 14007567v2 0052051-000032 VZW Site: SEA SW320TH This Franchise is not an exclusive Franchise shall not be construed to in any manner prohibit the City from granting other and further Franchises in, under, over, upon, and along the Franchise Area, nor from exercising such other powers and authorities granted to the City by the Washington State Constitution and applicable law. 12.2 Citv's Duties. In the event the City undertakes any work, including necessary maintenance within a right-of-way in which Franchisee's facilities are located, and such work necessitates the relocation of Franchisee's then existing Facilities within the Franchise Area, the City shall: (a) Provide at least one hundred twenty (120) days written notice of the required relocation to Franchisee in advance of the commencement of such City work; and (b) Provide Franchisee with copies of pertinent portions of the City's plans and specifications so that Franchisee may relocate its Facilities to accommodate the City work Nothing in this section shall be construed as to relieve Franchisee of its duty and obligation to relocate its Facilities, at Franchisee's sole cost, for any improvement project undertaken by, or on behalf of, the City in the interest of public health, safety, welfare, necessity or convenience, as adjudged in the reasonable discretion of the City. 12.3 Franchisee's Duties. Within one hundred twenty (120) days of receipt of the City notice under Subsection 12.2(a) requiring relocation and receipt of the plans and specifications pursuant to Subsection 12.2(b), Franchisee shall raise, lower, or move such Facilities within the Franchise Area at its sole cost and expense to the location or position directed by the City, to cause the least interference with the improvement, repair, or alteration contemplated by the City and to conform to such new grades as may be established. If the City improves a right-of-way, Franchisee Ordinance No. 1 D-655 Page 9 of 26 DWT 14007567v2 0052051-000032 • VZW Site: SEA SW320TH shall, at its sole cost and expense, upon receipt of notice, replace the Facilities located in the improved subgrade of the improvement with substitute Facilities conforming to the specifications for the improvement of the right-of-way. Section 13. Dama�e Repair In case of damage by the Franchisee, its agents or employees or by the Facilities of the Franchisee to rights-of-way, or to public and private improvements within or adjacent to rights-of- way, the Franchisee agrees to repair the damage at its own cost and expense. The Franchisee shall, upon discovery of any such damage, immediately notify the City. The City will inspect the damage, and set a time limit for completion of the repair. If the City discovers damage caused by the Franchisee to rights-of-way, or to public and private improvements within or adjacent to rights-of- way, the City shall give the Franchisee notice of the damage and set a time limit in which the Franchisee must repair the damage. In the event the Franchisee does not repair a right-of-way or an improvement as required in this section, the City may repair the damage pursuant to Section 11 of this Agreement. Section 14. Default 14.1 Notice of Default. In addition to other remedies set forth herein, if either party shall fail to comply with any of the provisions of this Franchise, the non-defaulting party may serve a written notice to the defaulting party ordering such compliance and the defaulting party shall have sixty (60) days from the receipt of such notice in which to comply. 14.2 Termination of Franchise. If the defaulting party is not in compliance with this Franchise after the expiration of the sixty (60) day period, the City may, by resolution, declare the franchise immediately revoked, or Franchisee may immediately terminate this Franchise upon Ordinance No. 10-655 Page 10 of 26 DWT 14007567v2 0052051-000032 VZW Site: SEA SW320TH written notice to the City. Section 15. Limited Rights This Franchise is intended to convey only a limited right and interest to Franchisee in the Franchise Area. This Franchise is not a warranty of title or conveyance of any ownership interest in or to the Franchise Area to Franchisee. Section 16. Eminent Domain The existence of this Franchise shall not preclude the City from acquiring by condemnation, in accordance with applicable law, all or a portion of Franchisees Facilities within the Franchise Area for the fair market value thereof. In detertnining the value of such Facilities, no value shall be attributed to the right to occupy the Area conferred by this Franchise. Section 17. Vacation If at any time the City, by ordinance, vacates all or any portion of the Franchise Area, the City will not be liable for any damages or loss to the Franchisee by reason of such vacation. The City shall notify Franchisee in writing not less than 180 days before vacating all or any portion of the Franchise Area. The City may, after one hundred eighty (180) days written notice to Franchisee, terminate this Franchise with respect to any such vacated area. Section 18. Compliance with Laws 18.1 General. Franchisee shall comply with all applicable federal, state and City laws, franchises, resolutions, regulations, standards, policies and procedures, as now existing or hereafter amended or adopted, including without limitation the State Environmental Policy Act. 18.2 Future City of Federal Wav Re lgu ation. Franchisee acknowledges that the City may develop rules, regulations, ordinances and specifications for the use of the right-of-way which shall Ordinance No. 10-655 Page 11 of 26 DWT 14007567v2 0052051-000032 VZW Site: SEA SW320TH govern Franchisee's Facilities and activities hereunder as if they were in effect at the time this Franchise was executed by the City and Franchisee covenants and agrees to be bound by same. Section 19. Guarantee Franchisee shall guarantee work completed by the Franchisee under this Franchise for a period of 10 years against settlement or repair. Section 20. Charge for Administrative Costs Franchisee agrees to pay a fee or a charge to recover the actual reasonable administrative expenses incurred by the City that are directly related to preparing and approving this Franchise. Nothing herein shall preclude the City from charging administrative fees or recovering any administrative costs incurred by the City in the approval of permits or in the supervision, inspection or examination of all work by Franchisee in the Franchise Area as prescribed in accordance with applicable provisions of the Federal Way City Code. Section 21. Indemnifcation Franchisee agrees to indemnify and hold harmless and defend the City, its elected officials, officers, employees, agents, and volunteers from any and all claims, demands, losses, actions and liabilities (including costs and all reasonable attorney fees) to or by any and all persons or entities, including, without limitation, their respective agents, licensees, or representatives, arising from, resulting from, or connected with this Franchise to the extent caused in part or in whole by the acts, errors or omissions of the Franchisee, its officers, partners, shareholders, agents, employees, or by the Franchisee's breach of any provisions of this Franchise; provided, however, that this section shall not be construed as requiring Franchisee to indemnify, hold hannless or defend the City against claims or damages arising from the negligence or willful misconduct of the City, its elected officials, Ordinance No. 10-6SS Page 12 of 26 DWT 14007567v2 0052051-000032 VZW Site: SEA SW320TH agents, employees and volunteers. In the event any claim, demand, suit or action is commenced against the City that gives rise to Franchisee's obligation pursuant to this Section 21, the City shall promptly notify Franchisee in writing thereof. Franchisee's selection of an attorney to defend any such claim, demand, suit or action shall be subject to the City's approval, which shall not be unreasonably withheld. Franchisee shall not settle or compromise any such suit or action except with prior written consent of the City, which shall not be unreasonably withheld. The City shall have the right at all times to participate through its own attorney in any suit or action which arises pursuant to this Franchise when the City determines that such participation is required to protect the interest of the City or the public. In the event it is determined that RCW 4.24.115 applies to tlus Franchise, Franchisee agrees to defend, hold haxmless and indemnify the City to the maximum extent pernutted thereunder, to the full extent of Franchisee's negligence. The City agrees to indemnify and hold harmless and defend Franchisee, its officers, employees and agents from any and all claims, demands, losses, actions and liabilities (including costs and all reasonable attorney fees) to or by any and all persons or entities, including, without limitation, its elected officials, officers, employees, agents and volunteers, arising from, resulting from, or connected with this Franchise to the extent caused in part or in whole by the acts, errors or omissions of the City, its elected officials, officers, employees, agents or volunteers, or by the City's breach of any provisions of this Franchise; provided, however, that this section shall not be construed as requiring the City to indemnify, hold harmless or defend the Franchisee against claims or damages arising from the negligence of the Franchisee, its agents or employees. Neither party shall be liable to the other, or any of their respective agents, representatives, employees for any lost revenue, lost profits, loss of technology, rights or services, incidental, Ordinance No. 10-655 Page 13 of 26 DWT 14007567v2 0052051-000032 VZW Site: SEA SW320TH punitive, indirect, special or consequential damages, loss of data, or interruption or loss of use of service, even if advised of the possibility of such damages, whether under theory of contract, tort (including negligence), strict liability or otherwise. Section 22. Insurance 22.1 Minimum Limits. The Franchisee agrees to carry as a minimum, the following insurance. (a) Workers compensation and employer's liability insurance in amounts sufficient pursuant to the laws of the State of Washington; (b) Commercial general liability insurance with combined single limits of liability not less than $5,000,000 for bodily injury, including personal injury or death, products liability, contractual coverage, operations, explosion, collapse, underground and property damage; and (c) Automobile liability insurance with combined single limits of liability not less than $5,000,000 for bodily injury, including personal injury or death and property damage. 22.2 Mandatorv Insurance Provisions. The comprehensive general liability insurance and automobile liability insurance policies shall be endorsed to contain the following provisions to the effect: (a) The City, its officers, elected officials, employees, and volunteers are to be named as additional insured; (b) Coverage shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the limits of the insurer's liability; Coverage shall not be canceled except after thirty (30) days prior written notice to the City Ordinance No. 10-655 Page 14 of 26 DWT 14007567v20052051-000032 VZW Site: SEA SW320TH delivered by mail, return receipt requested; and Coverage shall be primary as to the City, its officers, officials, employees and volunteers for Franchisee operations. Any insurance or self-insurance by the City, its officers, officials, employees or volunteers shall be in excess of Franchisee's required insurance in this respect. 22.3 Verification of Covera�e. Franchisee shall furnish the City with certificates of insurance evidencing the coverages required by this Section. The certificates shall be signed by a person authorized by the insurer to bind coverage on its behalf and must be received and approved by the City prior to the commencement of any work. Section 23. Bond Before commencing work within the City, the Franchisee shall post a bond in the form attached as Exhibit B and in the amount of $20,000 to guarantee performance of the construction, performance, maintenance or repair in accordance with any permits required and with any provisions of this franchise. In the event that the Franchisee fails to perform as required herein or by any permits required, the City may perform the work as provided herein, and may have recourse to the bond in addition to or in lieu of the remedies provided herein, at the City's sole discretion. Franchisee shall be entitled to return of the bond, or portion thereof, as remains sixty (60) days after the expiration of the term of the Franchise, provided the City has not notified Franchisee of any actual or potential damages incurred as a result of Franchisee's operations pursuant to the Franchise or as a result of default thereunder. Section 24 General Provisions 24.1 Entire A�reement. This Franchise contains all of the agreements of the Parties with respect to any matter covered or mentioned in this Franchise and no prior agreements or Ordinance No. 10-655 Page 1 S of 26 DWT 14007567v2 0052051-000032 VZW Site: SEA SW320TH understandings pertaining to any such matters shall be effective for any purpose. 24.2 Modification. No provision of this Franchise may be amended or added to except by agreement in writing signed by both of the Parties. 24.3 Assignment. Franchisee shall not have the right to transfer or assign, in whole or in part, any or all of its obligations and rights hereunder without the prior written consent of the City, which consent shall not be unreasonably withheld, conditioned or delayed. Any assignee shall, within thirty (30) days of the date of any approved assignment, file written notice of the assignment with the City together with its written acceptance of all terms and conditions of this Franchise. Notwithstanding the foregoing, Franchisee shall have the right, upon notice to the City but without such written contest, to assign this Franchise to the Franchisee's principal, affiliates, subsidiaries of its principal or to any entity which acquires all or substantially all of Franchisee's assets in the market defined by the Federal Communications Commission in which the rights-of-way are located by reason of a merger, acquisition or other business reorganization. 24.4 Attornev Fees. In the event the City or the Franchisee defaults on the performance of any terms in this Franchise, and the Franchisee or the City places the enforcement of the Franchise or any part thereof or for the collection of any monies due, or to become due hereunder, in the hands of an attorney, or files suit upon the same, the prevailing party shall be entitled to an award of all reasonable attorneys' fees, costs and expenses. The venue for any dispute related to this shall be King County, Washington. 24.5 No Waiver. Failure of either party to declare any breach or default by the other party immediately upon the occurrence thereof, or delay in taking any action in connection therewith, shall not waive such breach or default, but such party shall have the right to declare any such breach or Ordinance No. 10-655 Page 16 of 26 DWT 14007567v2 0052051-000032 VZW Site: SEA SW320TH default at any time. Failure of either party to declare one breach or default does not act as a waiver of such party's right to declare another breach or default. 24.6 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. � 24.7 Authoritv. Each individual executing this Franchise on behalf of the City and Franchisee represents and warrants that such individual is duly authorized to execute and deliver this Franchise on behalf of the Franchisee or the City. 24.8 Notices. Any notices required to be given by the City to Franchisee or by Franchisee to the City shall be delivered to the parties at the following addresses: Franchisee: Seattle SMSA Limited Partnership d/b/a Verizon Wireless 180 Washington Valley Road Bedminster, New Jersey 07921 Attn: Network Real Estate City: City of Federal Way Attn: City Attorney 33325 8 Avenue South P.O. Box 9718 Federal Way, WA 98063 Any notices must be in writing and shall be deemed validly given if sent by certified mail, return receipt requested or by commercial courier, provided that it guarantees delivery to the addressee by the end of the next business day following the courier's receipt from the sender. Notice shall be effective upon actual receipt or refusal as shown on the receipt obtained pursuant to the foregoing. 24.9 Captions. The respective captions of the sections of this Franchise are inserted for convenience of reference only and shall not be deemed to modify or otherwise affect in any respect any of the provisions of this Franchise. Ordinance No. 10-655 Page 17 of 26 DWT 14007567v2 0052051-000032 VZW Site: SEA SW320TH 24.10 Remedies Cumulative. Any remedies provided for under the terms of this Franchise are not intended to be exclusive but shall be cumulative with all other remedies available to the City at law, in equity or by statute. Section 25 Current Agreement The City and Franchisee previously entered into a Right-of-Way Use Agreement dated June 30, 2000, together with all exhibits, amendments and addenda thereto, referenced by Franchisee as Contract #NG 61361. ("Current Agreement"). The City and Franchisee hereby agree to terminate their respective rights and obligations under the Current Agreement commencing on the effective date of this Franchise and thereafter, the terms and conditions of this Franchise shall be the sole instrument governing the use of space by Franchisee at the rights-of-way of the City. Section 26. Severabilitv If any section, sentence, clause, or phrase of this Franchise should be held to be invalid or unconstitutional by a court of competent jurisdiction, such invalidity or unconstitutionality shall not affect the validity or constitutionality of any other section, sentence, clause or phrase of this Franchise. Section 27 Ratification Any act consistent with the authority and prior to the effective date of this Franchise is hereby ratified and affirmed. Ordinance No. 10-655 Page 18 of 26 DWT 14007567v2 0052051-000032 VZW Site: SEA SW320TH PASSED by the City Council of the City of Federal Way this 18` day of May, 2010. CITY OF FEDERAL WAY c 9- M OR, LINDA K CHMAR ATTEST: CITY CLERKC O MC LY, CMC APPR VED AS TO FORM: CI ATTORNEY, PATRICIA A. RICHARDSON FILED WITH THE CITY CLERK: 4/27/2010 COLTNCIL BILL NO. 534 PASSED BY THE CITY COUNCIL: OS/18/2010 PUBLISHED: OS/22/2010 EFFECTNE DATE: ORDINANCE NO. 10-655 Ordinance No. 10-655 Page 19 of 26 DWT 14007567v2 0052051-000032 VZW Site: SEA SW320TH ACCEPTANCE: The undersigned hereby accepts all the rights and privileges of the above granted Franchise and acknowledges that such rights and privileges are subject to and limited by all of the terms, conditions and obligations contained therein. DATED this 11��'" day of �t�1� , 2010. Seattle SMSA Limited Partnership d/b/a Verizon Wireless By: Cellco Partnership, its General Partner Name: Walter�,. Title: Area Vice Date: '� Network 1'� CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT STATE OF CALIFORNIA COUNTY OF ORANGE On J U�l.� !�o, .� a rG? before me, ��D,��� � x1 � i,�. k�.. � , Nota Public, personally appe ra ed Walter L. Jones, Jr. who proved to me on the basis of satisfactory eviilence to be the person whose name is subscribed to the within instrument and acknowledged to me that he executed the same in his authorized capacity, and that by his signature on the instrument the person, or the entity upon behalf of which the person acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. .J�'C-�-ti2-Gc J ��'YL� �'✓��'� Signature of Notary Public � eon+�a�ao� # � �e> >ee � Nofael► ruWic - Calltomla � Oranp� County MyCam�8��M0r2�'014 Place Notary Seal Above Orctinance No. l0-6.i.5 DWT 14007�67v200�20�1-000032 VZW Site: SEA SW320TH Page 20 of 26 IJ EXHIBIT A • LOCATION OF FACILITIES WITHIN THE FRANCHISE AREA (SEE ATTACHED MAPS) Ordinance No. 10-655 Page 21 of 26 DWT 14007567v2 0052051-000032 VZW Site: SEA SW320TH 0 � � �: �� � �- A S� � O S � �� � m rn C/) N � � O '�. N o O O N .� � x� 0 0 � N a�� �,c�c�ti�ar� �� ��cilit�r #1 (�t�c��n as �rr�id bi��� li�e} �� J^ko'�1r ���I1�{������� 1��ri�.il����.�}�� ��� #����+� �� Llt� ��C�����.�a31��'Q �� �:r�� ���y a�rill b� r��r�b�r�d ��qu�nti�lly. '�.t i�'i= �+�+���F: ts 3°� c ti rF�� I:R+�XAtR r t.'PR.."�vF� f+�.9' ��.T� ?7A�i? 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Ordinance No. 10- Page 23 of 26 DWT 14007567v2005205�000032 Rev 1/10 VZW Site: SEA SW320TH Bond No. 8218-07-48 x��T s • CITY UF FEDERAL WAY �ERFQRMANC� BOND F'4R : RIGHT OF WAY FRANCHIS� AGRE�M�NT KNOW ALL P�QPL� BX THESE PRE�ENTS: Seattle SMSA Limited Partnership We, the undersigned d/b/a verizon wireless � and FPCiPral Inc � ,�ran��sompanv , the undersigned corporation otg�zii��d and �xisfing undcr th� laws af the Stats of Indiana and lsgally doing busines� in the Stata of Washin�tan as a surety ("SurQty" ar� held and �irmly bound unto thc City af' F'edcral Way, a Washir�gton t�nwniaipal corpo�rtakion, ("�ity") in the per��l sum �f T T l,�oll� and r►o/lOQ ($ 20, 000.00 ) for the payman,t ofwhich wa finmly bind purselves and aux 1Qga1 representativt�s, heirs, successors and assigns, jointly and scverally. This abli$ation is entered inta putsuant to the statute� qf the State of Washington and the ordinaztces, r�gulations, staa�dat�ts and potieie� of th� City, as naw �xi�ting �r hereaftek amcnd�d or adopted. '�he Prinaipal has entered into an Agreernent with the City datad 5/18/2010 to occupy rights-of- way ofthe City oFFad�xal Way Washington wifhin the speeif��d Fr anchisc Aroa for thc purposes af installation, operation, maintenance a�nd rapair nf its wixeless communicataons fixtures az�d related equiprx�en�, cabies, acc�ssnries ar�d impr4vements in a parcion af the rights.-of way within ancl tluaugh the City of Federal 'Way. NQW, THEREFORE, if the Principal shall �erform all the provisions of the Agxeement in the mann�r and witi�in tMa tit�►e paraod �resQ�ibed by the City, or within such extensiar�s of rime as may be �ranted under ths Agr�emant, an.d sha11 pay all �aborers, m�chanics, subcontraetors and material �en or wocnen, azad a.11 person�s who shall supp�y the Principal or �ubcontractors with provisior�s and sup�lies far ths carryin$ on oPsaid work, and aha�l hnld th� City, their officials, agents, err�ployees and volunte�rs harmlcss from any lass or damage accasioned tQ any �erson ar prop�r�y by reason of any car�lessness oe na$ligence on the part of tho Principal, or any subcontractor in the qerforrnancc of s�id work, and sk�all it�d�mnify arid hald the �ity hatmless from any damage or. ex��nse by reusot� of failue� of p�rfot�aane� as sp�cifi�d in khe .flgreemant, or from defeGts appear�ng or develaping in the �at�rial or workmanship provided or performed under tha Agreemetnt within the period not less than: 1. the term of the Agreement; or 2. two (2) y�ars beyond the completion of fic�al insk��lation ar Cot�struction by the Pr�ncipa�l p�rsu�nt to th� A�e�ment if requir�d by thc City; r�vhichevcr is loz�$�r; th�n and ir� ths eve�nt this obligation shall be void; but c?th�rwise, it shall be and ramain in fi�ll force and cffcct. And th� Surety, for value received, hereby �u�ther st�pulates and agrees that no chang�, extension of tit�e, alteration oc addition to th� tarcns of th+� Agreement or to t.kie work to be per�ortx�c+d thar�under Ordinnnce No. l0 Page 24 of26 Dw�r �aoo�sb��z ooszosi-0000sz VZW Si[e: S�A SW320TH , or the specifications accompanying the same shall in any way affect its obligation on this bond, and it does hereby waive notice of any change, extension of time, alterations or additions to the terms of the Agreement or to the Work. Within forty-five (45) days of receiving notice that the Principal has defaulted on all or part of the terms of the Agreement, the Surety shall make a written commitrnent to the City that it will either: (a) cure the default itself within a reasonable time period, or (b) .tender to the City, the a�nount necessary for the City to remedy the default, including legal fees incurred by the City, or (c) in the event that Suret}�s evaluation of the dispute is not complete or in the event the Surety disput�s ►he Cit}rs claim of default, the Surety shall notify the City of its finding and its intent, if an��, to interplead. The Surety shall then fulfill its obligations under this bond, according to the option it has elected. Should Surety elect option (a) to cure the default, the penal sum of the Bond shall be reduced in an amount equal to the costs actually incurred by the Surety in curing the default_ [f the Surety elects option (b), then upon completion of the necessary work, the City shall notify the Surety of its actual costs. The City shall return, without interest, any overpayment made hy the Surety and the Surety shall pay to the City any actual costs which exceed the City estimate, limited to the bond amount. Should the Surety elect option (c), the Pazties shall first complete participation in mediation, described in the below paragraph, prior to any interplead action. In the event a dispute should arise between the Parties to this Bond with respect to the C'ity's declaration of default by the Principal, the Parties agree to participate in at least four hours of mediation in accordance with the mediation procedures of United States Arbitration and Medi alion ("USA&M"). The Parties shall proportionately share in the cost of the mediarion. The mediation shall be administered by the Seattie USA&M office, 4300 Two Union Square, 6p1 Union Street, Seattle, Washington 98101-2327. The Surety shall not interplead prior to completion of , the mediation. ' DATED this,�0� day of T�/��" , 20 f Q . Seattle SMSA Limited Partnership d/b/a Verizo Wireless By . �� �l r o (Name of on Executing Bond) �or �SrVS Its: 1'1/5 �'�i�f 1AQlt.tf� (Title �csn S�. �stua�e W�� r� sa3, �tlevua . �t� 4�g (Address) �a�-�c�-as� (Phone) , /" ' U` � � v Y �' �d Ordinance No. 10-655 Page 25 of lb DWT L4007567v20052051-000032 VZW Sitc: SEA SW320TH STA,�'� Qk� W���I'1�T�`�Al'�i � , ) a$. ��1U�+1'1"Y QF �°"� th�a d�� poraunally ����rcrd b�fo� rn� V r�,�, _��a�US . , t� m� k,��own tv b� the af a� ��€Qgut�d t�ne t�r�,�ai�� i��txurt��nt and ackc�o�wladgtsd ths said i�strutr�ent to be the fire� and volu�ta�y a�t an.d de�ed o��aicl lict�itsd tiability aotnp�un�. foe the uso� and purpas�s the��i� ��nt�o�sd, and �r�n oath �tat�d �hat ��is�t� was auth�rize�. t� �x�uE� s�id ir��trum�r�t, . ���� ��� ���� �h�$ 3� aa a� I���.,.�„�, z�! Q � r�. VANGEN NOTARY PUBLIC STATE QF WASHINGTON � - COMMISSION EXPIRES (typ� � nirtt�de� �ofno��ryj SEPTEMBER 29. 2011 �[+(p�ry �ublie in a�d for tt�� S te �f Washln�to�. My cQ�n�►i�si�t� e�pir-as �_�� . � ���flQ�AT� ��A�, Q�'" �U�tBTY; � Federal Insurance Company By: _ � A�tor�n� ' r r . (�,tt��� Powsr of �A.ctocttoy� . Patrick Bannon (I+Ta�� �f Psc��� ��a�ut�n� �o�d) 1401 H St. NW, 7th Floor Washin ton, DC 20005 _ ..�,,..,.., ��c��r�a�) 202-783-5810 (��v��� . �_.�.. APP�,OV�I� �s `TO �C?�M: �at�icia A. �ei�ardson, �ity At�or�t+c� f?r�ftnc�r�e� Na. t 0�6SS Pag� �6 of 16 p4V'f l.A0R9967vZ8q53091�OQUU32 1+'� 9itos 8¢A SW3209'M � RQW�R Federal Insuranee Campany Attn: Surety Department ChUbb 1a Mountain Vlew Road �!� Vigilant Insura�ee Company Surety ATTQRNEY p�,cific Ind�mnity Cpmpany Warren, N.) 07QS9 Qr�.r�w Know All !�y These Presents, That FEDERAL ItVSURANC� CQMPANY, an Indiana corporation, VIGILAWT INSIJRANC� COMPANY, a New Yprk cerporetion, and PACIFIC IP1p�MNITY COMPANY, a Wis�onsin co oration, do each Meraby eon�fituta and app�int Rat�i�k �a��c►n, IVI�nu�i .Jon��, �rlw M. Margealis, My�r�e Smith and �Fian St.Clair of W�shin�ton� D��------�--- s�cN as their itvg ans) I�wful Attomey in- Fact tq execute under such designatfan in their npmes �nd tp aHix tt�fr corperate geels tp end �iellver Ipr and pn thalr behelf es aursty ikoreen gr o4hprwla�, t�e+d6 ��d ur�d�rt8kinqe �nd eth�v wl�tfngs oGli�Atary In tMy� nature tHereof (pther iken b�il horod�) �iYen o� exeeuta9 �n the epu�a ol bucln.aa, end any IR�(F{dFT1ARt$ aR18flt�I/1� 9P aII�PIYig �H9 Q�dNt9 a�il eon�pnt4 Ra tho modifiGeilon pr alt9re�tion o( any inatrument refefred tp in said bonds E�r @bligatiens. In Witneos Whersof, said F�DERAL IN&URANG� COMPANY, VIGILANT INSURANCE COMPANY, and PACIFIC INDEMNITY COMPANY have each executed and attested theae presents and a(tixed their co�ppeaiq seals on ihis i�C?�Il d�,Y Q� S�ptember, 2007 : � r G. ° enne . Wende ,�si�ta ecretary David 9rris, Jr., Vfee res' �TAT� OF NEW .IER$EY ss. County of Samerset On ihis 2�th dey o( ,SBp��I'T!�'f81' �OO' before me, a Nptary Rublic pf New Jersey, personaliy came Kenneth C. Wendel, ta me known tc� � A;bslsEUnt wflei9tary a� ��C1ERA�. IN9URANC� COMR�ANY, VI�'aILANT (N�U�AN,f,E COMRANY, and PACIFIC IN�EMN�7`1' �MPANY, thp aom{aanlea whieh prp��tef! the tqre�ping Rewar af Attomay, and the sAid Ken�eth �, We�d�l, being htY vr�s duly �wo�n, did �•ps�&e d�d s�ay that he Ie Asaf�lant �eantery qf R�I9ffRAL IN9U�ANCE CQMPANY, VIGIL,ANT IN�URANCE C6MPANY, and RACIRIG INDEMPII'11` C�MPANY and knows ths corporaia eoeis th�reol, lhpt the ssais �Nized to thq foreq�ing Fower af Atlomey are such oorporale �eal� and weee thernt9 aNixed by euthoMty of Iho By Laws af seid Companles; and that he eiQnod aald Pow�r of Attemay an AsaistaM Secntary of seid Companies by Iike authpdiy; and that he Is eequainted with David B. Norrie, Jr., and kr�ow� him to be Vfoe Rresident of said Compani�s; and ihat ihq signeture of Davfd 8. Norrls, Jr„ subsaribed to seid Powgr at Attomey is in tha genuine hendwritin� of David 8. Norris, Jr., �nd was fheretv �ubscrlbed by authority pt aaid �y- l.aws &nd in deponeni's presence. Notarial Seal �� o;�� ST€PFfEN B. BRADT c � �p.�n.�yc�.,, NolaryPuN�o.232 p4NawJsrsey * ._......_ � ��„+...:.,qi Fxt�ires Qct. 25, 2009 r�tary ub�ie '•: q,' �' �"� '�'' GERTIFICATION Extract from the ey- Laws of FEDERAL IN&URANGE COMPANY, VIGILANT INSURANQE COMPANY, and PACIFIC INDEMNITY COMPANY: "All pow�ers of attomey fer a�d or+ behalf af the CQmpeiny mey and shall ba exeeuted in the nema efld on bahalt ot the Company, eflher by the Chafrman or the President or a Vice Presldent ar an Asslstant Vice President, jointly with the Socret8ry or an Assistant SeCr�lery, under tM�ir reepectiv� designations. The signeture at euch oHloera mey ba �ngrav�d, prinied ov lithographed. fihe SIg�tBture o1 e#�ch af the folipwl�lp �ffioqrs: G�hairmen, Praaldeik, any Yiae Prosidant, eny Assiste�M YICe Presidenk, ��y S�oretary, any ASSistant Secretary and the seal of the f;omp�ny may be gHixed by f�csimile ta any power at �riomey or tp any ee�tiffcata �Istinp theraro appointing A�sistant Secretarles ar Atlomeya- in- Faot fcr purposea only of executing and atlest��g bonds and undertakings and other writinqs pbtigatory In FNe na►ure thereaf, and any such power of attamey ar certffieata bear�ng such faesimile signsture or }aesimfle seal ahall ba va��d and bind��+g uppn the Campany and any such pawer ac+ ax�auted and certifled by such f�csimile sfpn�ture and fapsim0e seal ahall kie valid end binding upOn the Gompany with respeat fo any bond ar uridertaking Rq which it is atlaohod:' I, Kenneth G• Wendel, Assistani Secretary o� FEpEFiAL INSURANCE COMPANY, VIGILANT IN9URANC� GQMPANY, and PACIFIC INDEMNI7Y COMPANV (tha "�o�PSr�les'� da herek�y oeRity Ihat (i) tha fcaregpfng pxt�aCt of the By- lawa of th� Compani�s i3 true and eGrrect, (il) thp Companias aFe duiy Ueensed and authorized t� transacf surely lausl�e�a in ail 6p oi the United �tates s} Amerioa and the District of Columbla and are �uthorizsd by the U.S. Treasury Repa�ma�; furth�r, Feder�l �wd Vipilawl aro li¢enaed In Puerte Rica e�nd tFve U.�. Virgin lalpnds, and �eder�l Is li�enn�d In Americ�n €ar�oa, fivam. and 9eoh ef th� Prpvinces of Ganada exeept Prir+oe �dxrarci Island; end (ili) the foregaing Powee of Attomey is Erue, eorreGt and in ful! torcg and eHect. Glven under my hand and seals of sald Companies at Warren, NJ this p'{ � _. �R1� E�= ��= �� �°",ur�, �,;wu�� � �� � � � �*_ � �r �r ' ♦ � c i s �'OIAN�' . ~ EW YOw� Kenneth C. endel, AssisteM Secretery IN TME EV�NT YC)U WISM TO N�TIFY US Q� A GI.AIM, VERlFY THE AUTMENTIt�II'Y PJF THt� BQNQ OR NOTIFY U$ O� ANY QTHER MI�T�'�R. PI.�AS� ��NTA��' US A'f An�R�£�� LIST�Q ABf9V�, C}� �Y �'eleph�e (9fi8) 90�- 349� Fax (9R8) 9U3- 3868 �prm 15-1Q- 02256- U(Ed. b- 03) CQNS�NT