HomeMy WebLinkAboutPR 23611: 72 MONTH SERVICE AGREEMENT WITH SPECTRUM GULF COAST, LLC FOR INTERNET AND VIDEO SERVICES IN THE PLEASURE ISLAND RV PARK `art Arthhui ram, ,
www.PortArthurTx.gov
INTEROFFICE MEMORANDUM
Date: February 5, 2024
To: The Honorable Mayor and City Council
Through: Ron Burton, City Manager
From: George Davis, Director of Pleasure Island
RE: P.R. No. 23611 — Authorizing the City Manager to execute a 72-Month
Communications Network and Service Agreement with Spectrum Gulf Coast,
LLC for internet and video services in the Pleasure Island RV Park.
Introduction:
The intent of this Agenda Item is to request the City Council's approval of P.R. No. 23611
authorizing the City Manager to execute a 72-month Communications Network and Service
Agreement with Spectrum Gulf Coast, LLC to install, operate, use, maintain, repair, upgrade,
replace and/or remove internet and video services in the Pleasure Island RV Park.
Background:
Tenants in the Pleasure Island RV Park currently have digital cable boxes that they are leasing
from Spectrum, who has informed City staff on or after February 27, 2024,they will no longer
function.
Budget Impact:
The Bulk Service Fee is $37.00 per Unit x 47 Units= $1,739.00 per month(plus applicable fees
and annual rate increase) for a total projected budgetary impact amount of $149,928.12. The
funding for this project is available in the Communications Account 450-60-405-5482-00-00--
000.
Recommendation:
It is recommended that the City Council approve P.R. No. 23611 authorizing the City Manager
to execute a 72-month Communications Network and Service Agreement with Spectrum Gulf
Coast, LLC to install, operate,use,maintain,repair,upgrade,replace and/or remove internet and
video services in the Pleasure Island RV Park with a total projected budgetary impact of
$149,928.12.
"Remember,we are here to serve the Citizens of Port Arthur"
P.O.Box 1089 X Port Arthur,Texas 77641-1089 X 409.983.8182 X FAX 409.983.8294
P. R. 23611
2/5/24 gd
RESOLUTION NO.
A RESOLUTION AUTHORIZING THE CITY MANAGER TO
EXECUTE A 72-MONTH COMMUNICATIONS NETWORK AND
SERVICE AGREEMENT WITH SPECTRUM GULF COAST, LLC TO
INSTALL, OPERATE, USE, MAINTAIN, REPAIR, UPGRADE,
REPLACE AND/OR REMOVE INTERNET AND VIDEO SERVICES
IN THE PLEASURE ISLAND RV PARK WITH A TOTAL
PROJECTED BUDGETARY IMPACT OF $149,928.12. FUNDING IS
AVAILABLE IN THE COMMUNICATIONS ACCOUNT 450-60-405-
5482-00-00-000.
WHEREAS, the Pleasure Island RV Park currently has digital cable boxes that are leased
to its tenants; and,
WHEREAS, Spectrum Gulf Coast, LLC has informed the City of Port Arthur's staff that
on or after February 27, 2024, Spectrum TV Receivers and Digital Transport Adapters will no
longer function; and,
WHEREAS, Pleasure Island RV Park tenants will have to contact Spectrum to order new
receivers and set up accounts to watch television; and,
WHEREAS, several conversations have been held between Pleasure Island, IT staff and
Spectrum about the change of services; and,
WHEREAS, Spectrum has proposed a 72—month Communications Network and Service
Agreement, attached hereto as Exhibit"A",that will provide the Pleasure Island RV Park tenants
streaming capabilities for both cable television and the interne; and,
WHEREAS, the Bulk Service Fee is $37.00 per Unit x 47 Units = $1,739.00 per month
(plus applicable fees and annual rate increase) for a total projected budgetary impact amount of
$149,928.12 as delineated in Exhibit"B"; and,
WHEREAS, this type of procurement which is available from one source is authorized
pursuant §252.022(a)(7) of the Texas Local Government Code; now therefore,
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PORT ARTHUR,
TEXAS:
P. R. 23611
2/5/24 gd
Section 1. That the facts and opinions in the preamble are true and correct.
Section 2. That the City Council hereby authorizes the City Manager to executed a
Communications Network and Service Agreement with Spectrum Gulf Coast, LLC for a term
period of 72 months for internet and video services, with a total projected budgetary impact of
$149,928.12, in substantially the same form as attached hereto as Exhibit"A"; and,
Section 3. That a copy of the caption of this Resolution be spread upon the Minutes of
the City Council.
READ, ADOPTED, AND APPROVED THIS day of , 2024 at a
Regular Meeting of the City of Port Arthur, Texas by the following vote:
AYES: (Mayor) ;
Councilmembers:
Noes:
Thurman Bill Bartie,
Mayor
ATTEST:
Sherri Bellard,
City Secretary
APPROVED AS TO FORM:
10J2-14-&-ei
al Tizeno, sq.,
City Attorney
P.R. 23611
2/5/24 gd
APPROVED AS TO ADMINISTRATION:
Ron Burton,
City Manager
Geor Davis
Director of Pleasure Island
Clifton Williams, CPPB
Purchasing Manager
30„, L'W,y
Fay Yc6.in
Information Technol y Director
APPROVED AS TO AVAILABILITY OF FUNDS:
Lynda Boswell,
Director of Finance
P. R. 23611
2/5/24 gd
Exhibit "A"
COMMUNICATIONS NETWORK AND SERVICE AGREEMENT
(Bulk)
The pages that precede the signature blocks below are referred to as the"Property-Specific Terms". The Property-Specific Terms together with the Attachments
listed below constitute the Communications Network and Service Agreement("Agreement"),which is entered into by the following customer ("Owner")and service
provider("Operator")on the"Effective Date"set forth under Operator's signature below. Each of Owner and Operator may be referred to in the Agreement as a
" rt",and,together,as the"parties". Capitalized terms used in these Property-Specific Terms without definition shall have the meanings assigned to them in the
applicable Attachment
Owner Name and Billing/Legal Notice Addresses: Operator Name and Legal Notice Addresses:
City of Port Arthur,Texas Spectrum Gulf Coast, LLC
Billing Office and Notice Address: All Notices Sent to Office at:
520 Pleasure Island Blvd 12405 Powerscourt Drive
Port Arthur,TX 77640
St.Louis,MO 63131
Attn: Property Manager
Attn: Legal Department—Operations
Telephone: 409-982-4675
All Notices Also Sent to Office at:
All Notices Also Sent to(if applicable):
6399 South Fiddler's Green Circle, Sixth Floor
444 4th Street Greenwood Village,CO 80111
Port Arthur,TX 77641
Attn: Legal Department—MDU
Attn: Property Manager
All Notices Also Sent to:
DL-SCS-Legal a7charter.com
Property Information: Owner's Property Management Company Information (If applicable):
Property Address: Corporate Office Address:
PLEASURE ISLAND RV PARK
540 S SPOIL LEVEE
PORT ARTHUR, TX 77640 Attn:
Attn: Property Manager Telephone:
Telephone: 409-651-4171
Property Type: Mobile Home Park
Number of Units: 47
On-Site Contact Name: George Davis Contact Name:
On-Site Telephone: 409-982-4675 Contact Telephone:
On-Site Email: george.davis@portarthurtx.gov Contact Email:
Owner owns(or is building),or,in the case of an owner's association, is the authorized representative for the multi-unit property referred to above (including the
underlying land and all improvements thereon,the"Property"). Owner and Operator desire that Operator install(as necessary) and operate the System to make the
Services available to Users in accordance with the terms of the Agreement Owner and Operator agree as follows:
1. Tenn. The Agreement commences on the Effective Date and may be terminated by either party at any time after the end of the Service Commitment Pericd
by providing a Termination Notice (defined hereafter)(the"Term').
2. Service Commitment Period. The"Service Commitment Period"is 72 months and commences on the later of the following two dates:(a)the date that System
installation or upgrading is complete(or the Effective Date if Operator currently serves the Property and no System modifica lions are required);or(b)if Owner
is purchasing any Bulk Service under the Agreement, the date that Operator first begins billing Owner the full(undiscounted)Bulk Service Fee to all Units .
3. Termination Notice. In addition to any early termination rights contained elsewhere in the Agreement,either party may terminate the Agreement after the end
of the Service Commitment Period by providing the other with a termination notice(the"Termination Notice"). The Termination Notice must provide at least 90
days advance notice of termination.
Charter Communicators Confidental ®2022 Charter Communications Inc.All rights reserved 1
STATE OF
COUNTY OF
On ,20_,before me, ,personally appeared personally known to me(or proved to me the basis of
satisfactory evidence) to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that
he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instru ment the
person(s) or the entity upon behalf of which the person(s)acted,executed the instrument.
WITNESS my hand and official seal.
Signature:
Expiration Date:
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4. Service Activation Date and Commencement of Baling. Operator will begin providing and billing for Services(to Users for individually-billed Services and/or
to Owner for Services provided on a bulk-billed basis) on the Service Activation Date. The"Service Activation Date" is:
•no later than 60 days after the Effective Date.
5. Special Terms. The following special terms supplement and/or supersede,as the case may be and as the context requires, any contrary terms in the
Attachments.
5.1 Bulk Service Fee. The"Bulk Service Fee"is$37.00 per Unit x 47 Units=$1,739.00 per month(plus applicable taxes and fees)for the Services provided
on a bulk-billed basis as described below. Operator may increase the Bulk Service Fee by 6%each year beginning the later of the(a)January following
the start of the Service Commitment Period,unless the Service Commitment Period starts on the Effective Date and the Effective Date occurs in October,
November,or December, in which case Operator shall not increase the Bulk Service Fee until January of the following calendar year or(b)January,
2024 as further specified in the applicable Bulk Service Attachment(s).
5.2 Bulk Video Service. Owner is purchasing from Operator on a bulk-billed basis(a)the Service currently known as Spectrum TV®Choice;and(b)the
CPE, if any, listed in the Section below, if any(collectively, the"Bulk Video Service"). The Bulk Video Service will be provided to the appropriately
installed CPE provided by Operator. Upgrades to the Bulk Video Service,if available,will be provided per Operator's then-current terms and conditions.
Concurrently with signing the Agreement,Owner shall provide Operator with a complete list of addresses of all Units to receive the Bulk Video Service.
The channel line-up for the Bulk Video Service is available at httpsJ/www.spectrum.com/bulk-channel-lineup or the applicable successor URL. The
channel line-up for Spectrum IV Choice shall indudefifteen (15)channels selected by Owner on the Effective Date.The channel line-up selection may
be modified by Owner annually thereafter,by sending notice of such modification request within thirty(30)days of the annua I anniversary of the Effective
Date,to Charter Communications Operating,LLC at12012 N Mopac Expressway, Austin,TX 78758 Alto: SOS Operations.
5.3 Bulk Video Service CPE. The Bulk Service Fee includes
• no CPE,but certain Operator-owned Equipment may be located within Units.
5.4 Bulk Internet Service. Owner is purchasing from Operator on a bulk-billed basis (a)the Service currently known as Community WiFi Ultra (Mbps x
Mbps) and/or hard wired port speeds of(Mbps x Mbps);and(b)the CPE listed in the Section below, if any(collectively, the"Bulk Internet Service").
The Bulk Internet Service will be provided to the appropriately installed CPE provided by Operator and/or each wireless access point installed by Operator.
Upgrades to the Bulk Internet Service,if available,will be provided per Operator's then-current terms and conditions. Concurrently with signing the
Agreement,Owner shall provide Operator with a complete list of addresses of all Units to receive the Bulk Internet Service. In addition,Owner shall pay
a one-time installation fee of$0.00 as stated in the signed proposal between Operator and Owner for the Property.
5.5 Bulk Internet Service CPE. The Bulk Service Fee includes
Owner Responsible
•one modem and wireless router per Unit. Operator will install this CPE. Owner is responsible for returning the CPE to Operator. Users may request
CPE upgrades directly from Operator,and,if available,will be provided per Operator's then-current terms and conditions. If a User upgrades CPE, then
the User becomes responsible for all Internet Service CPE,and when such User vacates the Unit,Owner is responsible to contact Operator to request
that Operator install new CPE for such Unit Owner is responsible for such newly-installed CPE.
•the modem contained within the in-unit media distribution hub. Operator will install this CPE. Owner is responsible for returning the CPE to Operator.
No upgrades are available for this CPE.
5.6 Capital Investment by Operator. Operator is making the following capital investment at the Property,which is subject to the Capital Investment Return
Attachment:$48,220.73
6. Attachments. The following Attachments are incorporated into and made a part of the Agreement by this reference.
System Installation and Services Attachment
Internal Wiring(Operator Install or upgrade)Attachment
Non-Exclusive Marketing Rights Attachment
Bulk Video Attachment
Bulk Internet Attachment Community Non RVMarina
Capital Investment Return Attachment
Form of Memorandum of Agreement Attachment
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7. Sianatures; Authority. The individuals signing below represent to Owner and Operator that they are duly authorized to execute and deliver the Agreement
on behalf of the entity for which they have signed. Electronic signatures or exact copies(such as facsimiles) of original signatures shall have the same force
and effect as original signatures.
OWNER OPERATOR
Spectrum Gulf Coast,LLC
By: Charter Communications, Inc.,its Manager
Signature Signature
George Davis William Sokolowaki
Printed Name Printed Name
Director of Pleasure Island VP,Spectrum Community Solutions
Title Title
Effective Date:
3
MEMORANDUM OF AGREEMENT
RECORDING REQUESTED BY AND
WHEN RECORDED MAIL TO:
Charter Communications
Attn:SCS Operations
Address: 12012 N.Mopac Expressway
Austin, TX 78758
Above space for recorder's use only
This Memorandum of Agreement("MOA") is entered into by the"Owner" and"Operator" set forth in the signature blocks below,
effective as of the date Operator signs this MOA.
1. Agreement and Property. Concurrently with this MOA,Owner and Operator have entered into a Communications Network and
Services Agreement(the "Agreement")relating to the property described in Property Address and Legal Description attached to
this MOA(including all improvements now or hereafter located thereon)(the "Property"). The Agreement and MOA are integrally
related and coterminous (as further described below). Because any acquiror of the Property is obligated to assume the
Agreement,such acquiror should request a copy of the Agreement from Owner for its review.
2. Grant of Access;Recording. In consideration of the covenants and agreements in the Agreement and as such may be amended
between Owner and Operator from time to time, and for other valuable consideration, the receipt and sufficiency of which are
hereby acknowledged by Owner and Operator,Owner hereby grants and conveys to Operator and its Authorized Representatives
(as defined in the Agreement)a nonexclusive easement across, under, over, within and through the Property, as necessary for
Operator to perform its obligations under the Agreement, including the right, on an exclusive or nonexclusive basis as set forth
in the Agreement,to(a)install, operate,use,maintain, repair, upgrade,replace and/or remove the System (defined hereafter)to
as permitted by the Agreement;and (b) to offer, provide and market any services that Operator can provide to the Property
("Services") as permitted by the Agreement. "System"means conduit,wiring(such as fiber,coaxial cable,category of performance
wiring, copper, etc.),hardware (such as wireless access points,gateways,switches, routers, amplifiers, etc.), software, fa cilities
(such as building entrance facilities, vaults, above-ground enclosures, pedestals, lockboxes, etc.)equipment,rooftop antennas,
and all other network infrastructure installed, upgraded and/or used by Operator at the Property to provide the Services. Operator
may record this MOA in the public records at any time.
3. Term; System Removal. The easement granted in this MOA touches and concerns the Property, runs with the land (and title
to the Property), and is binding on Operator, Owner,all subsequent acquirors of the Property, others who may claim any interest
in the Property, and all of the foregoing parties' successors and assigns. The easement granted in this MOA, unless terminated
earlier as permitted by the Agreement,automatically terminates on the date that is six months after Operator has ceased usin g
the System to provide any Services at the Property(the 'Term"). Notwithstanding the foregoing,after the Term, Operator shall
have an additional 60-day period to access the Property to remove or dispose of the System as permitted by the Agreement.
4. Other Terms. This MOA includes adequate space for Operator to place its System components in locations mutually acceptable
to Owner and Operator. Any Pathways where the System is to be located that are owned by Owner or a third party shall, as
4
between Owner and Operator,be owned by Owner,and Owner hereby grants to Operator the nonexclusive right to access,use,
and maintain such Pathways. "Pathways"means all conduits, poles, moldings, risers, raceways, shafts, rooftops and similar
pathways and areas at the Property where the System is or will be installed. If Owner is an association (such as a homeowners'
association, condominium owners'association,etc.)or cooperative and only has the authority to provide Operator with access to
the common areas of the Property,then the easement granted in this MOA automatically shall be limited to such common areas
If any unit owner or occupant does not provide Operator with access to their unit to install, maintain and operate the System,
Operator shall have no obligation to perform any of its obligations under the Agreement with respect to such unit (including
providing Services). Owner may grant other rights of access to the Property, but will not allow such other grants to interfe re with
the easement granted to Operator or Operator's use of the System. Operator shall have 24x7 access to the System to address
emergency conditions (such as to correct a hazardous condition or general Service outage). Operator shall conduct all routin e
work at the Property (such as installations, disconnections, routine maintenance,testing, etc.) during normal and reasonable
working hours established by Owner for the Property. At either party's request, an Owner Authorized Representative will
accompany Operator's Authorized Representatives while accessing the Property. Notwithstanding termination of the Agreement
or any contrary provision in the Agreement,if Laws(as defined in the Agreement)require Owner to provide Operator with acce ss
to the Property for the provision of any Service, then(a)Operator shall continue to own and be permitted to access and use any
System components to provide Services to the Property; and(b) any System ownership and removal rights shall apply at such
time as Laws no longer provide for Operator's access to the Property. Nothing in this paragraph shall operate as,or be construed
to be, a waiver of any rights that Operator may have under any Laws, and all such rights are hereby reserved by Operator.
Owner shall not(a) enter into any bulk-billed, bulk-provision (regardless of whether for a fee), bulk or volume discount, or any
other similar arrangement with any other provider at the Property for services similar to the Services;or(b)sell, resell, or distribute
the Services to any third party(including Property occupants)except as specifically permitted by the Agreement.
Spectrum Gulf Coast,LLC
By: Charter Communications,Inc.,its Manager
Signature Signature
George Davis William Sokolowski
Printed Name Printed Name
Director of Pleasure Island VP, Spectrum Community Solutions
Title Title
Effective Date
5
STATE OF
COUNTY OF
On ,20_,before me, ,personally appeared personally known to me(or proved to me the basis of
satisfactory evidence) to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me th at
he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the
person(s) or the entity upon behalf of which the person(s)acted,executed the instrument.
WITNESS my hand and official seal.
Signature:
Expiration Date:
6
P. R. 23611
2/5/24 gd
Exhibit "B"
To: George Davis
Subject: RE: Spectrum - Estimated cost
From: "Marinez, Dina S" <Dina.Marinez@charter.com>
Date: February 6, 2024 at 4:28:15 PM CST
To: George Davis<george.davis@portarthurtx.gov>
Subject: [NON-CoPA] Spectrum - Estimated cost
George,
As requested, here is an estimated cost per year including possible increases,
taxes and fees.
Year 1 - $21,494.04
Year 2 - $22,785.60
Year 3 —$24,150.48
Year 4 - $25,599.96
Year 5 - $27,134.04
Year 6 - $28,764.00
Total Contract Value $149,928.12
When contract is within 18 months of expiration you can request to negotiate
new agreement and new rate.
Thanks.
Have a great day!!
Respectfully,
SpectrurnI°P
COMMUNITY SOLUTIONSTM
Dina Marinez I Account Executive I M: 254-644-6783
0: 254-761-1405 1215 Factory Dr 1 Waco,TX 76710
For dedicated bulk customer support please call:
Bulk Owner Customer Support: 877-647-7732
Bulk Tenant Customer Support: 833-697-7328
Managed WiFi Customer Support: 855-895-5302
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