1999 AGN JUN 01 I10 - Laserfiche WebLink

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r'`� r� CITY OF COLTON AGENDA REPORT For the City Council Meeting of June 1, 1999 TO: Honorable Mayor and City Council APPROVAL: Henry Garcia, City Manage FROM: Thomas K. Clarke, Utility Director46/ SUBJECT: APPROVAL OF UNMETERED ELECTRIC SERVICE AGREEMENT BETWEEN THE CITY OF COLTON AND METRICOM DATE: Monday, May 24, 1999 The City Council recently approved a non-exclusive franchise agreement with Metricom, Inc. On May 18, 1999, the Council also approved Rate Schedule PR, establishing a basis for charging Metricom and other packet radio service providers in a manner consistent with the City's commercial electric rates. Metricom provides wireless Internet Access Service using packet radios typically deployed on streetlights. It is impractical to separately meter each installation. The agreement proposed establishes specific terms and conditions for Metricom's packet radios to be supplied electricity by the City. The Agreement is consistent with the economic terms set by the City Council in Rate Schedule PR. The fifteen -year term is deemed reasonable for the price quoted, as the trend in rates is anticipated to actually be downward or otherwise stable in the period. The load is of the most favorable kind: constant and continuous. Metricom defends and holds harmless the City in the event of a mishap involving a radio installation. 0 119:4 !W-'%9 VA Council can direct staff to negotiate other terms and conditions. The Electric Utility budget will obtain approximately $2,500 in new revenues each year. The annual marginal cost to serve the radios will be about $995. The net revenues shall be applied to the system's fixed annual costs. [;44*16r1I1U4k11•. That the City Council approves the attached Unmetered Electric Service Agreement between the City of Colton and Metricom, Inc. Report prepared by Timothy C. Trewyn, P.E. Item # 10 Page 1 of 1 (w/attachment)