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HomeMy WebLinkAboutAgenda Packet 03/09/2010UTILITY ADVISORY COMMITTEE Vern Burton Meeting Room Port Angeles, WA 98362 March 9, 2010 3:00 p.m. I. Call To Order II. Roll Call III. Approval Of Minutes For February 23, 2010 IV. Late Items V. Discussion Items: A. Nomination and Election of Vice Chairman B. Reimbursement Resolution for Capital Project Financing C. N: \UACTINAL \030910 Industrial Wastewater Pretreatment Program Ordinance Amendments D. Metropolitan Network Services Agreement E. Nippon Paper Industries USA Co. Ltd. Supplement To Settlement Agreement F. GoogleTM Fiber for Communities VI. Information Only Items: G. 2009 Consumer Confidence Water Quality Report H. Broadband Technology Opportunities Program Grant Application Update (verbal report only) I. Advanced Metering Infrastructure and Demand Response Project Update (verbal report only) VII. Next Meeting Date: April 13, 2010 VIII. Adjournment PRINT NAME i M \0i0 S c_.)& Y i Y V lbw" (.z) Tni (41/ hizla D /,175 0,ki 4,40,,rt_p„ .0,212c ,,/.//?1 Ist2c.1 \CG 1\ CL r. C E.R.W� 1.-L-Ka Ch �a2 Rrr it Z Al S +p t1 N: P WKS LIGHT \CONS CATE SI GNUP. wp d UTILITY ADVISORY COMMITTEE GUEST SIGN UP SHEET ORGANIZATION 0_ ACL4 A& e6ait -I pn A/ c k zt J )ORT A NGELES W A S H I N G T O N U.S.A. Utility Advisory Committee Memo Date: March 9, 2010 To: Utility Advisory Committee From: Yvonne Ziomkowski, Finance Director Subject: Reimbursement Resolution for Capital Project Financing Summary: The City intends to issue bonds in 2010 and 2011 to cover the cost of utility improvements within the city limits of Port Angeles. The bond financing will occur later in 2010 and 2011. Some expenses, such as design costs, will necessarily be paid prior to the issuance of the bond. To assure the reimbursement for these costs from the bond proceeds, it is necessary to adopt a resolution authorizing the reimbursement. Recommendation: Forward a recommendation to City Council to adopt a resolution to authorize reimbursement from bond proceeds to the Water, Wastewater, Electric, and Stormwater Funds for expenditures made prior to the issuance of the bonds. Background /Analysis: On June 16, 2009, the Council approved the Capital Facilities Plan for the years 2009 -2015. Some of the projects are included in the 2010 Budget. The plan for financing utility improvements includes the issuance of bonds. Usually, the bonds would be issued first. However, it is beneficial to complete the design stage and ensure more accurate estimates of costs and construction schedule before proceeding with the bond issuance. Money for those costs will be advanced from the reserves. By adopting attached resolution, we assure reimbursement of those funds when the bonds are issued. A list of projects which will be considered for financing by the bonds is attached. N \UAC\Final\Reimbursement Resolution for Capital Project Financing doc WHEREAS, the City Council of the City of Port Angeles, Washington (the "City"), wishes to declare, on behalf of the City, the City's official intent to reimburse certain expenditures with proceeds of tax exempt debt to be incurred by the City; NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Port Angeles as follows: Section 1. The City has appropriated, and reasonably expects to appropriate, funds from the Electric, Water, Wastewater, and Stormwater Funds to pay costs of utility improvements within the City. The list of those projects is attached hereto as Exhibit "A Section 2. The City reasonably expects to reimburse the Electric, Water, Wastewater, and Stormwater Funds for such expenditures from the proceeds of tax-exempt debt to be incurred by the City (the "Reimbursement Bonds Section 3. This resolution shall become effective immediately upon its passage and approval by law. PASSED by the City Council of the City of Port Angeles at a regular meeting of said Council held on the day of 2010. ATTEST: Janessa Hurd, City Clerk APPROVED AS TO FORM: William E. Bloor, City Attorney RESOLUTION NO. A RESOLUTION of the City Council of the City of Port Angeles, Washington, declaring its intent to reimburse certain expenditures with proceeds of tax exempt debt to be incurred by the City. MAYOR G LEGAL \ORDINANCES &RESOLUTIONS \RESOLUTIONS 2010 \5 RetmburseTaxExcmptExpendttures 03 01 10 wpd Utility Electric Water Wastewater Water Water Wastewater ICIP Project *Advanced Metering Infrastructure CL03 -2008 *Advanced Metering Infrastructure WT01 -2008 *Advanced Metering Infrastructure WT01 -2008 *Design for Phase II III Transmission Line WT01 -2006 WT02 -2005 *Design for McDougal Subzone Improvements Additional Design for CSO Phase I WW08 -2008 Septage Receiving Station WW02 -2008 *Design 1st yr. of Construction for 4th Stormwater Street Stormwater Improvements *Use cash reserves to be replenished by bond proceeds Wastewater Electric Electric Water Water Water Wastewater Wastewater Wastewater Wastewater Wastewater Stormwater *Similar project timing 2010 Budget CIP Project Financing 2011 CIP Project Financing Utility Pole Replacement (200 poles /year) CL01 -2010 Street Lighting Replacement CL05 -2009 Concrete Cylinder Pipe Replacement WT02 -2009 Transfer Morse Creek Waterlines to PUD WT03 -2009 McDougal Subzone Improvements WT04 -2007 *Combined Sewer Overflow Phase I WW08 -2008 *Digester Mixing Improvements WW05 -2008 *Plant Dewatering Improvements WW02 -2005 2nd Yr.of Septage Receiving Station WW02 -2008 Sewer Trestle at Francis 8th WW05 -2009 2nd year of Construction of 4th Street Stormwater Improvements Exhibit "A" Funds Needed !Amount Financed I Earliest I Latest 2,777,000 Jul -10 Sep -10 1,113,000 Jul -10 Sep -10 1,113,000 Jul -10 Sep -10 575,000 Mar -10 Jul -10 40,000 Mar -10 Oct -10 700,000 Dec -10 102,500 Jun -10 Dec -10 325,000 Mar -10 6,745,500 Jul -10 1,000,000 Include 4X for future? 300,000 Include 4X for future? 1,430,000 Include 4X for future? 400,000 460,000 4,945,000 300,000 1,000,000 494,500 Jan -11 Jan -11 400,000 475,000 Jan -11 Jan -11 Date: To: From: Subject: W A S H I N G T O N U.S.A. Utility Advisory Committee Memo March 9, 2010 Utility Advisory Committee Kathryn Neal, Engineering Manager Industrial Wastewater Pretreatment Program Ordinance Summary: The Wastewater Utility is required by the Washington State Department of Ecology to update its Industrial Wastewater Pretreatment Program to comply with our Industrial National Pollutant Discharge Elimination System permit, and to comply with Environmental Protection Agency standards. Recommendation: For information only, no action requested Background /Analysis: At the February 9, 2010 Utility Advisory Committee meeting, a presentation was made on the proposed Industrial Wastewater Pretreatment (IWP) Program update, as well as elements of the draft ordinance. A favorable recommendation was made by the Utility Advisory Committee to City Council to proceed with a public hearing on the subject. A presentation was given at the March 2, 2010 City Council meeting, and the public hearing was opened. A first reading of the ordinance is scheduled for March 18, 2010, and a second reading for April 5, 2010. The proposed ordinance will both repeal the existing ordinance in its entirety and establish a new ordinance. It includes an array of administrative and judicial enforcement measures available to the Public Works and Utilities Director. The implementation manual includes an enforcement response plan to assure that enforcement actions are applied in a fair and consistent manner. It is anticipated that a draft of the proposed ordinance will be handed out at the UAC meeting, and staff will be available to answer questions about the IWP Program and proposed ordinance. Jeff Young, the Wastewater Treatment Plant Superintendent, will present additional information about proposed adjustments to the City's Industrial Wastewater Pretreatment fees. Via Electronic and U.S. Mail Mr. Larry Dunbar Deputy Director Public Works and Utilities Department 321 East Fifth Street P.O. Box 1150 Port Angeles, WA 98362 -0217 Dear Mr. Dunbar: "!CTC COMMUNICATIONS ANALYSIS FOR THE P I UB LI C INTEREST Columbia Telecommunications Corporation 10613 Concord Street Kensington, MD 20895 301.933.1488 fax: 301.933.3340 www.CTCnet.us Re: MAN Services Agreement Recommendations March 5, 2010 Based on our independent review and evaluation of the submitted proposals in response to the Metropolitan Area Network (MAN) Services Request for Proposals (RFP), Columbia Telecommunications Corporation (CTC) recommends that the City award the contract to CPI. We base our recommendation on the following factors and considerations. CTC assisted the City in preparing the RFP. The technical contents of the City's RFP were substantially based on findings and recommendations CTC developed from an assessment of the City's technical and functional requirements for MAN services. The City received competitive and responsive proposals from CPI and Wave Broadband. We found that both CPI's and Wave's proposals were technically compliant with the RFP, and therefore suitable to meet the City's technical and functional needs for MAN services. The key criterion influencing our recommendation is the significantly lower initial (start-up) and recurring (long -term) cost for MAN services offered by CPI. CPI already has extensive fiber connectivity to City facilities, and is thus able to provide ongoing service with little or no additional capital outlay. Moreover, recurring service charges proposed by CPI are significantly less than those proposed by Wave. The negotiated service rates with CPI will provide the City with a wide range of telecommunications services that are priced at levels significantly below those that are charged in other areas of the country. Table 1 provides a summary of pricing for comparable services compared to the negotiated rates with CPI. Mr. Larry Dunbar March 5, 2010 Page 2 of 2 Table 1: Cost Comparison of Recurring Costs for Commercial Metro Ethernet Services Typical Monthly Rate Provider city Region Service Name /Category (Contract Terms of 2 years or more) 5 -10 Mbps 1 100 Mbps 1 1000 Mbps CPI (Port Angeles, WA VLAN $751 $1751 $190 AT &T 'California OPT- E -MAN $1,0251 $1,7751 $3,4251 Qwest 'Nationwide (inlcuding Tacoma and Seattle) QMOE $1,2401 $1,8001 $6,6401 Venzon Maryland, Virginia, District of Columbia TLS $9051 $2,0501 Time Warner Durham, NC Business Class Ethernet $6501 I Ver¢on 'Pittsburgh, PA TLS 1 $1,2001 $0 Notes Based on published tariff rates for Basic Service Charge for a 60 -month contract with Committed Information Rates (CIR) of 5 Mbps, 100 Mbps, and 1,000 Mbps, respectively 2 Based on published tarrif rates for QMOE port fee, 60 -month contract, and bandwidth options for 5 Mbps, 100 Mbps, and 1,000 Mbps, respectively 3 Based on recent quoted rates to local government customers 4 Based on approximate pricing obtained by City sources The upgrade of the CPI backbone, along with the availability of redundantly routed fiber feeds to key facilities and enhanced network, security, will greatly enhance the City's backbone capability. As discussed in our "Metropolitan Area Network Requirements Assessment and Strategic Recommendations," much of the City -owned LAN equipment is in need of replacement or upgrade. We recommend that the City consider upgrades of key LAN equipment, as detailed within our assessment Thank you again for the opportunity to support the City on this project. Should you require any additional information regarding findings and recommendations, please feel free to contact me. Best Regards, Lee Afflerbach, PE Project Manager PORTNGELES W A S H I N G T O N U.S.A. Utility Advisory Committee Memo Date: March 9, 2010 To: Utility Advisory Committee From: Larry Dunbar, Deputy Director of Power Systems Subject: Metropolitan Area Network Services Agreement Summary: At the direction of the City Council, staff and Columbia Telecommunications Corporation completed the procurement process for Metropolitan Area Network services. A total of four Vendors participated in the process and two Vendors submitted proposals. After evaluations and interviews, Capacity Provisioning, Inc. was selected as the Vendor that provides the best value to the City. Recommendation: Following a presentation, forward a favorable recommendation to City Council to authorize the Mayor to sign the Metropolitan Area Network Services Agreement with Capacity Provisioning, Inc. Background /Analysis: On August 20, 2002, City Council approved an Institutional Network Services Agreement with Capacity Provisioning, Inc. (CPI). As part of the Agreement, CPI initially constructed approximately 13 miles of fiber optic infrastructure to provide wide area networking services to 35 municipal facilities and installed core networking equipment in 3 of the 6 Institutional Network node enclosures. The City has been receiving wide area networking services and Internet access from CPI since then. The former Institutional Network Services Agreement with CPI provided telecommunications services to the City at about 1 /10 of the cost of fiber optic service compared to other regional and national markets at that time. On March 17, 2009, after completing a selection process the City Council approved an agreement with Columbia Telecommunications Corporation (CTC) to prepare a network needs assessment. The assessment included an evaluation of the Institutional Network and City computer network security needs. Since the creation of the network in 2002, there have been technology advancements that provide enhanced capacity, security and overall network availability. As part of its assessment, CTC recommended that the City prepare a request for proposals (RFP) for future Metropolitan Area Network Services. On July 21, 2009, City Council approved an amendment to the agreement with CTC to proceed with an RFP and authorized the City Manager to negotiate and execute a one -year extension to the term of the Institutional Network Services Agreement with CPI. The RFP and additional background information on fiber optics is available from the City's ftp website http: /olvnen.com/cona/ under the "Metropolitan Area Network" folder. N \UAC\Final\MAN Services Agreement doc Metropolitan Area Network Services Agreement March 9, 2010 Page 2 As part of the recent procurement process, a total of four vendors registered with the City to participate in the RFP and two vendors (Wave Broadband and Capacity Provisioning, Inc.) submitted proposals. A summary of the Metropolitan Area Network Services RFP procurement schedule is provided below. Staff updated the Utility Advisory Committee on milestones and progress on this RFP on October 13, 2009, December 8, 2009, and February 9, 2009. Metronolitan Area Network Services RFP Procurement Schedule Milestone RFP advertisement Pre proposal conference Proposal deadline Vendor interviews Proposal review and evaluation Vendor negotiations Utility Advisory Committee consideration City Council contract award Completion Date November 23, 2009 December 2, 2009 February 4, 2010 February 11, 2010 February 12, 2010 March 5, 2010 March 9, 2010 March 16, 2010 A staff team was assembled to work with CTC during the procurement process. The staff team participated in the development of the RFP, evaluation of vendor proposals, vendor interviews, and vendor selection. The staff team and CTC reported to the senior management team, which provided direction to the staff team. As a result of evaluating the Vendors Technical Proposals, Service Charge Proposals, and interviews, Capacity Provisioning, Inc. was selected as the most responsive Vendor and the one that provides the best value to the City. This conclusion was confirmed by senior management. Staff completed reference checks, background checks, and with support from CTC negotiated the attached Metropolitan Area Network Services Agreement with Capacity Provisioning, Inc. As part of the negotiation Capacity Provisioning, Inc. agreed to: provide a 10% overall reduction in the recurring service charge for 38 City sites; temporarily maintain its current recurring charges for 3 City sites receiving point -to -point dark fiber services; proceed with construction of redundant fiber optics for 12 high priority City sites in 2011 (afterward point -to -point dark fiber services will be discontinued), and will delay recurring service charges for 6 redundant City sites for up to three years. The Vendors proposals are available for review at City Hall in the Public Works and Utilities engineering office, confidential computer network security related information has been removed from all documents. Following a presentation, staff recommends that the Utility Advisory Committee forward a favorable recommendation to City Council to authorize the Mayor to sign the Metropolitan Area Network Services Agreement with Capacity Provisioning, Inc. Attachments: Columbia Telecommunications Corporation Letter of Recommendation Proposed Metropolitan Area Network Services Agreement Status Complete Complete Complete Complete Complete Complete Via Electronic and U.S. Mail Mr. Larry Dunbar Deputy Director Public Works and Utilities Department 321 East Fifth Street P.O. Box 1150 Port Angeles, WA 98362 -0217 Dear Mr. Dunbar: Re: MAN Services Agreement Recommendations COMMUNICATIONS ENGINEERING ANALYSIS FORTi -JE PUBLIC INTEREST Columbia Telecommunications Corporation 10613 Concord Street Kensington, MD 20895 301.933.1488 fax: 301.933.3340 www.CTCnet.us March 5, 2010 Based on our independent review and evaluation of the submitted proposals in response to the Metropolitan Area Network (MAN) Services Request for Proposals (RFP), Columbia Telecommunications Corporation (CTC) recommends that the City award the contract to CPI. We base our recommendation on the following factors and considerations. CTC assisted the City in preparing the RFP. The technical contents of the City's RFP were substantially based on findings and recommendations CTC developed from an assessment of the City's technical and functional requirements for MAN services. The City received competitive and responsive proposals from CPI and Wave Broadband. We found that both CPI's and Wave's proposals were technically compliant with the RFP, and therefore suitable to meet the City's technical and functional needs for MAN services. The key criterion influencing our recommendation is the significantly lower initial (start-up) and recurring (long -term) cost for MAN services offered by CPI. CPI already has extensive fiber connectivity to City facilities, and is thus able to provide ongoing service with little or no additional capital outlay. Moreover, recurring service charges proposed by CPI are significantly less than those proposed by Wave. The negotiated service rates with CPI will provide the City with a wide range of telecommunications services that are priced at levels significantly below those that are charged in other areas of the country. Table 1 provides a summary of pricing for comparable services compared to the negotiated rates with CPI. Mr. Larry Dunbar March 5, 2010 Page 2 of 2 Table 1: Cost Comparison of Recurring Costs for Commercial Metro Ethernet Services Typical Monthly Rate Provider Gty Region Service Name /Category (Contract Terms of 2 years or more) 5 -10 Mbps 1 100 Mbps 1 1000 Mbps CPI 1Port Angeles, WA VLAN $751 $1751 $190 AT &T (California OPT -E -MAN' $1,0251 $1,7751 $3,425 Qwest $Nationwide (Inlcuding Tacoma and Seattle) QMOE $1,2401 $1,8001 $6,640 Verizon Maryland, Virginia, District of Columbia TLS $9051 $2,0501 Time Warner (Durham, NC Business Class Ethernet $6501 I Verizon Pittsburgh, PA TLS I $1,2001 Notes 1 Based on published tariff rates for Basic Service Charge for a 60 -month contract with Committed Information Rates (CIR) of 5 Mbps, 100 Mbps, and 1,000 Mbps, respectively 2 Based on published tarrif rates for QMOE port fee, 60 -month contract, and bandwidth options for 5 Mbps, 100 Mbps, and 1,000 Mbps, respectively 3 Based on recent quoted rates to local government customers 4 Based on approximate pricing obtained by City sources The upgrade of the CPI backbone, along with the availability of redundantly routed fiber feeds to key facilities and enhanced network security, will greatly enhance the City's backbone capability. As discussed in our "Metropolitan Area Network Requirements Assessment and Strategic Recommendations," much of the City -owned LAN equipment is in need of replacement or upgrade. We recommend that the City consider upgrades of key LAN equipment, as detailed within our assessment Thank you again for the opportunity to support the City on this project. Should you require any additional information regarding findings and recommendations, please feel free to contact me. Best Regards, r- C Lee Afflerbach, PE Project Manager c 1 Lttd) Utility Advisory Committee Metropolitan, Metropolitan Communications Consultants Agenda 1. Background 2. Networking Terminology 3. Procurement Process 4. Metropolitan Area Network Services Agreement Summary 5. Questions and Answers page 1 3/9/2010 Optical Fiber in PA 1/14/02 4 !I: 4, a II -t 1 Vetta Gui rmit aaia. a C Oast I,,, 's Metropolitan Communications Consultants 1. Background -4, c a t,73- ,1 7 ,A; r N.- I '1.' t: NI tf .7, 1 page 2 3/9/2010 Needs and Interests (4/2001) Telecommunications Background Business Plan (5/200 Metropolitan Communications Consultants Fiber optic Cable Bid (1/2001) Comprehensive Ordinances (6/2001) Cable Franchise (5/2002) WAN Use Agreement (8/200 e ppOsumgoftoic4, y Action Plan Preliminary City Council Adopted Engineering Goal (1999) (10/2000) Study (2/2000) Network Recognition 2003 AWC Award "Opting for Fiber Optics" Institutional Network Services Agreement (9/2002) Olypen free Internet access 2003 2004 Additional background http•1j2 en.com /coQaL page 3 3/9/2010 2. Networking Terminology Networking Terminology A. Data Transmission Overview B. Network Components C. WAN Applications D. Internet Access Applications E. Current City sites F. Current Network charges page 4 Metropolitan Communications Consultants 3/9/2010 A. Data Transmission Overview V LN (Fast Ethernet) DS -3 (T -3) Cable Modern DS -1 (T -1) DSL Dial -Up Metropolitan Communications Consultants Millions bits per second) Bandwid Compon B' Network rk within a City site Local Area Net 5 a Networ (WAN) B. Wide Are Op tic fiber Sites Site Drop Metropolitan Commun%oattons Consultants Nodes Fiber Opt Ring Network (ALAN) B. Virtual °cal Area r* i4(i pag 6 C. WAN Applications (VLAN Service) SunGard enterprise system (Community, financial utility systems) Public safety connectivity Supervisory Control and Data Acquisition Systems (electric, water, wastewater) Video surveillance GroupWise Email and calendaring File records, exchange, collaboration ✓Telecommunications business continuity Voice over Internet protocol (phones) Geographic information systems (GIS) Voice radio communications D. Internet Access Applications Internet access to /from City Hall ✓Access to "Click to Gov" ✓Access to City website, Laser downloading documents Download /upload to ftp website Video conferencing epopcentral.com Public safety video conferencing Current redundancy off peninsula Future redundancy to City Hall Distributed to City sites 2 Mbps frugal 1 1 page 7 Metropolitan Communications Consultants 3/9/2010 E. Current City Sites ($5,679.92 February 2010) "Take or Pay" VLAN Service City Sites Coy Hall 321 E 5th Street Corp Yard 1703 S 8 St Wastewater Treatment Plant 1509 Columbia St Light Operations 2007 S O St PenCom 405 S Peabody Fire Staten 102E 5th St Senior Center 328 E 7th St Transfer Staten Budding A 3501 W 18" Parks Maintenance 16th St F St Willem Shore Pool 225E 5th St Cemetery Office 3127 W 18th St Park Surveillance Waterfront Park Survedlance France Park Park Surveillance Dream Playground Pump Staten 82 109 S Cherry Pump Staten #3 1506 Menne Dr Pump Staten #4 313 Marine Drive Pump Staten #5219 Er St Vern Burton Community Canter Water Treatment Plant 3439 W 18th St Mbos Redundant CM Sites 100 Laurel Substation 110E 14" St 100 Washington Substation 224 S Washington St 100 Valley Substation 206 S Valley St 100 College Substation 1306 E Park St 100 A Street Substation 1616 A St 100 F Street Substation 1604 S F St 100 I Street Substation 1538 W 7 St 100 Peabody Heghts Reservoir 601 Viewcrest Dr 100 Jones Street Reservoir 1211 E 9" Street 100 E Street Reservoir 1018 S E Street 100 Fairmont Pump Staten 4400 C St 5 Pump Staten #6 933 Church Ave 5 Pump Station #7 2250 W 19th St 5 Pump Staten 98 1312 H St 5 Pump Staten #0 226 Del Gum Dr 5 Pump Staten 010 1829-1/2 W 12 St 5 Pump Staten #11 10 Eclipse Industrial Pkwy 5 Fine Arts Center 1203 E Laundsen 100 Carnegie Library 205 S Lincoln 100 Current Point -To -Point Service From City Hall to Corp Yard 1703 S B St From Light Ops to Water Treatment Plant 3439 W 1851 St From Corp Yard to Light Operations 2007 S 0 St Carnegie Library Prior site drop LAN improvements part of remodel 2002 City Council take or pay decision New RFP includes City ability to discontinue services All past charges to Carnegie Library allocated are for VLAN service (no Internet access costs) VLAN service is not the same as Internet access Mbos 100 100 100 100 100 100 100 5 5 5 5 5 5 5 5 5 5 100 100 Door hangers originally installed at Carnegie Library to promote usage Check register should be changed from "INet Chgs -City Hall" which was meant to describe Institutional Network Services Agreement expenses for City Hall to "Network Svs -City Hall" Redundant Yes Yes Yes page 8 Metropolitan Communications Consultants 3/9/2010 Prior Service Charges ($906,444) From 9/2002 to 9/2009 Equipment Facilities, $394,634 44% Internet Access, $28,500 3% City Utility Taxes, $27,357 3% VLAN Services, $455,952 50% 3. Procurement Process page 9 Metropolitan Communications Consultants 3/9/2010 Procurement Schedule Milestone Completion Date Status RFP advertised for consultmg services December 14, 2008 Complete Consulting proposal deadline February 13, 2009 Complete Utility Advisory Committee consideration March 10, 2009 Complete City Council contract award March 17, 2009 Complete Network Needs Assessment Report October 13, 2009 Complete RFP advertisement for MAN services November 23, 2009 Complete Pre proposal conference December 2, 2009 Complete Proposal deadline February 4, 2010 Complete Vendor interviews February 11, 2010 Complete Proposal review and evaluation February 12, 2010 Complete Vendor negotiations March 5, 2010 Complete Utility Advisory Committee consideration March 9, 2010 City Council contract award March 16, 2010 Procurement team member Elizabeth Strait Jim Harper Bnan Smith Derek Beery Gary Brooks Michael McCarty Lee Afflerbach Matthew DeHaven Larry Dunbar Senior management oversight Kent Myers Glenn Cutler Yvonne Ziomkowski Nathan West Terry Gallagher Dan McKeen William Bloor Procurement Team Department/Division Finance /Information Technology Finance /Information Technology Police Community and Economic Development Police /PenCom Fire Columbia Telecommunications Corporation Columbia Telecommunications Corporation Public Works and Utilities /Power Systems Department City Manager Public Works and Utilities Finance Community and Economic Development Police Fire City Attorney page 10 Metropolitan Communications Consultants 3/9/2010 1st GENERATION NETWORK Fiber optic site drops Encryption for enhanced security Major computer network advances Network Evolution 2nd GENERATION NETWORK Redundant site drops Up to 100 Mbps site drops Up to 1 Gbps site drops 10 Gbps 1 Gbps ring ring LAN up to 1 Gbps Redundant LAN connections Modern security eliminates encryption More bandwidth, reliability, and security for less Procurement Process RFP consistent with consultant needs assessment Apples to apples competitive pricing Use of existing fiber optic infrastructure Core network equipment upgrade, 10X current capacity, enhanced security Vendor partnering exceptions allowed Redundant City sites 99.999% reliability Advertisements (City NWPPA websites, Daily Journal of Commerce) direct mailing (Qwest, Wave Broadband, Powerstream Communications, Capacity Provisioning) page 11 Metropolitan Communications Consultants 3/9/2010 Non disclosure agreement, background checks Service charge schedules for current sites, redundant sites, future possible sites Commitment to economic development Public safety service charges City Sites City Hall 321 E 5th Street Corp Yard 1703 S B St Wastewater Treatment Plant 1500 Columbia St Light Operations 2007 S O St PenCom 405 S Peabody Fire Station 102 E 5th St Senior Center 328 E 7th St Transfer Station Building A 3501 W 18 Parks Maintenance 18th St F St William Shore Pool 225 E 5th St Cemetery Office 3127 W 18th St Park Surveillance Waterfront Park Surveillance Francis Park Park Surveillance Dream Playground Pump Station *2 109 S Cherry Pump Station #31506 Marine Or Pump Station #4 313 Marne Dnve Pump Station 00 219E 2 St Water Treatment Plant 3439 W 18 St Procurement Process Future City Sites Tzi VLAN Service Mb. Redundant City Sites 1000 Yes Laura Substation 110E t4 St 1000 Yes Washmgton Substation 224 S Washington St 1000 Yea Valley Substation 208S Valley St 1000 Yes College Substation 1308 E Park St 100 1000 100 100 100 100 100 100 100 100 100 100 100 100 1000 A Street Substation 1818 A St Yes F Street Substation 1804 S F St I Street Substabon 1538 W 7 St Peabody Heights Reservgr 801 Vievxrest Dr Jones Street Reserver 1211 E 9° Street E Street Reservgr 1018 S E Street Fairmont Pump Station 4400 C St Pump Station 06 933 Church Ave Pump Station 07 2250 W 19th St Pump Station #8 1312 H St Pump Stases 09 228 Del Gum Or Pump Staban 010 1829 -1/2 W 12 St Pump Stabon #11 10 Eclipse Industrial Pkwy EAvha Water Treatment Plant 671 Crown Zee Water Rd Yes Ranney Well 873 Crown Zee Water Rd City Hall to Clallam County Courthouse Mbps 100 100 100 100 100 100 100 100 100 100 100 100 100 100 100 100 100 1000 100 PTP Temporary Point -To -Point Service From City Hall to Corp Yard 1703 S 8 St From Light Ops to Water Treatment Plant 3439 W 18111 St From Corp Yard to Light Operations 2007 S 0 St Redundant Yes Yes Yes Yes Yes Yes Yes Yes yes page 12 Metropolitan Communications Consultants 3/9/2010 Vendor Capacity Provisioning Wave Broadband Max Score Possible Vendor Proposal Evaluation Criteria Service charges, 25% Commitment to economic development 15% Qualifications 25% Commitment Technical to Economic Proposal Qualifications Development Technical proposal 35% Proposal Evaluation Summary Service Charge Proposal Overall Score 30 20 10 19 80 16 8 4 15 44 35 25 15 25 100 page 13 Metropolitan Communications Consultants 3/9/2010 Vendor Capacity Provisioning Wave Broadband Max Score Possible Interview Evaluation Summary Technical Proposal Qualifications 30 19 18 15 40 30 WAVE BROADBAND, 1 Dedicated core network equipment that places key City facilities directly on a 10 Gbps backbone ring at full cost to the City. Equipment would not be shared with others. 2 Significant increase in monthly recurring charges to replace existing services 3 A significant non recurring charge to extend fiber optic facilities to existing City sites Commitment to Economic Development Proposal Comparison Responses to Interview Panel Overall Score 12 5 66 4 20 4 42 CAPACITY PROVISIONING 10 100 Core network equipment upgrade to 10 Gbps backbone ring providing advanced security and features at no charge to the City that includes excess capacity that can be shared with other institutions and businesses 10% reduction in monthly recurring service charges for current services A small non recurring charge to replace some customer premise equipment at existing City sites page 14 Metropolitan Communications Consultants 3/9/2010 4 Began offering commercial telecommunications services in 2009 5 Redundant fiber optic facilities for Internet access to be available in near future 6 Additional contribution to economic development included 200 free 30- second commercials per year within its Washington State networks Non- Recurring (One -Time) Charge Proposal Evaluation Service Description Core Network Equipment Current Sites Redundant Sites Totals Proposal Comparison WAVE BROADBAND CTC Future Cost Estimate 20,000 540,000 $1,080,000 CAPACITY PROVISIONING Began offering commercial telecommunications services in 2001 Redundant fiber optic facilities for Internet access currently available Additional contributions to economic development included free VLAN services to the Senior Center and William Shore Memorial Pool, and free Internet access to the Carnegie Library, Senior Center, William Shore Memorial Pool, Fine Arts Center, Council Chambers, Feiro Marine Life Center, Chamber of Commerce, Volunteers in Medicine, and Vern Burton Community Center Wave Broadband Capacity Provisioning $520,000 $131,432 $0 157,466 13,008 95,984 133,233 $384,882 $146,241 page 15 Metropolitan Communications Consultants 3/9/2010 Service Description Current VLAN Sites Current 3 PTP Sites Internet Access (2 Mbps) Sub Totals Future 12 Redundant Sites Totals Charges do not include City public utility taxes Total Future Service Charges Proposal From 9/2010 to 9/2017 Service Description Non recurring service charges Recurring service charges (84 Months) Totals Monthly Recurring Charge Proposal Evaluation CTC Future Cost Wave Capacity Estimate Broadband Provisioning $4,435 (Current) $11,835 $4,395 650 (Current) 0 650 500 (Current) 150 0 $5,585 (Current) 11,985 $5,045 3,900 (Estimated) 0 370 $9,485 (Total) $11,985 $5,415 CTC Future Cost Wave Capacity Estimate Broadband Provisioning $1,080,000 $384,882 $146,241 796,740 1,006,740 412,443 $1,867,740 $1,391,622 $583,431 Capacity Provisioning is 58% less than Wave Broadband and 36% less than prior service charges from 9/2002 to 9/2009 City public utility taxes not included page 16 Metropolitan Communications Consultants 3/9/2010 Total Future Service Charges ($583,431) Capacity Provisioning, Inc. Redundant Site Drops, $146,241, 24% Internet z Access, 0% City Utility Taxes, f VLAN $24,747 4% Services, $412,443 71% Recurring Charges Survey (Fast Ethernet 100 Mbps VLAN Service per site) "We are not aware of any area where rates are lower than Port Angeles" Lee Afflerbach, Columbia Telecommunications Corporation Qwest I e.- s*Vic:F.t'.:K4,7 442 r c Q t '..e 'tv,,; „a 5; i $1,800 A AT &T r:hog;.7itys -;i a"se,= ,c r,; 4~„..= 0 $1, '75 1 Venzon �s, 4M.,�a =a frJ r $1,200 Clallam County PUD 1 li $500 Waee Broadband I",{ i k.141 $300 Capacity Provisioning, Inc. $175 $500 $1,000 $1,500 $2,000 Monthly recurring service charge page 17 Metropolitan Communications Consultants 3/9/2010 Recurring Charges Survey (Very Fast Ethernet 1 Gbps VLAN Service per site) Capacity Provisioning, Inc $190 Metropolitan Communications Consultants Qwest b-SWXAOWNWAMWWW.CiRgNI $6, I AT&T ligf")16.:5AK,0A:i-liinsl $3,425 Clallam County PUD $1,800 Wave Broadband 3 $575 $1,500 $3,000 $4,500 $6,000 $7,500 Monthly recurring service charge 4. Metropolitan Area Network Services Agreement Summary 1 page 18 3/9/2010 Proposed Agreement Summary Non exclusive 7 -year term Institutional Network and Wide Area Network Use Agreement assignments C.P.I. owns core network equipment, fiber optics including site drops City rights -of -use for fiber optics beyond expiration City sites served can be added /deleted Maintain Occupation Right -of -Way Licenses Vendor provides O &M &M D. Anticipated Project Schedule City Council considers agreement Network core switching equipment installation Network testing Commercial operations Redundant site drop local area network plans 13 redundant site drop construction complete and 6 sites activated Commercial operations Temporary point -to -point connections end Additional 6 redundant sites activated 3/18/2010 8/6/2010 8/20/2010 9/7/2010 12/31/2010 4/15/2011 5/1/2011 5/1/2011 No later than 9/7/2013 page 19 Metropolitan Communications Consultants 3/9/2010 Optical Fiber in PA Staff Recommendation 3/5/10 /Appreciation for staff team and consultant /Appreciation for Vendor proposals /Needs assessment and procurement processes complete /Capacity Provisioning, Inc. proposal provides best value to the City Forward a favorable recommendation to City Council to authorize the Mayor to sign the Metropolitan Area Network Services Agreement with Capacity Provisioning, Inc. page 20 Metropolitan Communications Consultants 3/9/2010 5. Questions and Answers page 21 Metropolitan Communications Consultants 3/9/2010 CITY OF PORT ANGELES METROPOLITAN AREA NETWORK SERVICES AGREEMENT Between CITY OF PORT ANGELES, WA and CAPACITY PROVISIONING, INC. Dated March 5, 2010 PURPOSE 1. DEFINITIONS METROPOLITAN AREA NETWORK SERVICES AGREEMENT 2. SPECIAL PROVISIONS 2.1 Agreement is Non Exclusive 2.2 Occupation License Required 2.3 Right -of -Way License Required 2.4 Agreement Term 2.5 Interlocal Agreement for Acquisition of Metropolitan Area Network Services 2.6 Institutional Network and Wide Area Network Use Agreement Assignments 2.7 Due Diligence 2.8 Surety Bond 2.9 Certification 2.10 Service Standards 2.11 On -Call Network Consulting Services 2.12 Background Checks 3. SERVICES AND SITE DROPS 3.1 City Service Sites 3.2 City Site Changes 3.3 Services Provided to the City 3.4 Network Service Level Requirements 3.5 Site Drop Ownership and Maintenance 3.6 City Site Drop Route Plans, Procedure and Sch9dule 3.7 Interlocal Agreement Site Drops 4. SERVICE CHARGES AND PAYMENT 4.1 Vendor Service Charges 4.2 City Public Utility Tax 4.3 City Pole Attachment Charge Credit 4.4 Invoicing and Payment 4.5 Public Safety VLAN 5. MISCELLANEOUS PROVISIONS 5.1 Notices 5.2 Non Disclosure Agreement 5.3 Reports 5.4 Indemnification /Hold Harmless 5.5 Subcontractors /Assignment 5.6 Survival 5.7 Violations and Remedies 5.8 Termination 5.9 City Right to Purchase 5.10 Metropolitan Area Network Core Switching Equipment Lien Page 2 5.11 Force Majeure 5.12 Severability 5.13 Entire Agreement 5.14 Law Jurisdiction Venue and Attorney's Fees 5.15 Amendments 6. EXHIBITS 1 Metropolitan Area Network Services Schedule 2 Network Service Level Requirements 3 Interlocal Agreement for Acquisition of Metropolitan Area Network Services 4 Non Disclosure Agreement 5 Vendor Technical Proposal and Service Charge Proposal Page 3 1. DEFINITIONS METROPOLITAN AREA NETWORK SERVICES AGREEMENT PURPOSE THIS METROPOLITAN AREA NETWORK SERVICES AGREEMENT (the "Agreement between the City of Port Angeles, a Washington municipal corporation, hereinafter the "City and Capacity Provisioning, Inc., hereinafter "Vendor" sets forth the terms and conditions for provision by Vendor of Metropolitan Area Network Services. Said services consist of wide area networking, point to point fiber optic connections, broadband Internet access, on -call network consulting services and other telecommunications services (all of which collectively are referred to as "Metropolitan Area Network Services for non commercial use by the City for municipal purposes in accordance with the terms, conditions and specifications set forth in this Agreement. Words and terms shall be given their ordinary and usual meanings. The meanings shall be applicable to the singular, plural, masculine, feminine and neuter of the words and terms. Where used in this Agreement, the words and terms set forth in Section 11.14.020 of Chapter 11.14 of the Port Angeles Municipal Code (PAMC), Telecommunications Facilities within Rights -of -Way, and the Cable Television Franchise Ordinance No. 3116 shall be applicable to the same terms as used in this Agreement, except as modified herein. 2. SPECIAL PROVISIONS 2.1 Agreement is Non Exclusive This is a non exclusive Agreement for the purpose of providing metropolitan area network services within the City, excluding cable television services, by utilizing the Institutional Network consistent with the provisions of the Cable Television Franchise Ordinance No. 3116 and the Vendor's facilities and site drops to City sites. Any other substantially similar Metropolitan Area Network Services Agreement entered into by the City shall be on a competitively neutral basis in accordance with the Telecommunications Act of 1996, taking into account without limitation Vendor's obligations under this Agreement. 2.2 Occupation License Required From and after the effective date of this Agreement and throughout the Term of this Agreement, Vendor shall maintain an occupation license from the City pursuant to Chapter 5.80 PAMC, Licensing and Taxation. Vendor shall pay any federal, state, local and City taxes as may be levied, imposed or due from carriers, operators, providers, their customers or subscribers, or on account of the lease, sale, delivery or transmission of telecommunications services, provided said amounts may be added to the charges the City is required to pay pursuant to this Agreement. 2.3 Right -of -Way License Required Vendor shall maintain a Right -of -Way License from the City pursuant to Chapter 11.14 PAMC, Telecommunications Facilities within Rights -of -Way. Page 4 Vendor shall not allow other wholesale or retail service providers to provide telecommunications services under this Agreement until such service providers have received all requisite licenses, certificates and authorizations from the City, Federal Communications Commission, the Washington Utilities and Transportation Commission, or any other federal or state agency having jurisdiction. 2.4 Agreement Term Vendor shall begin its core network equipment upgrade upon execution of this Agreement however the service charges set forth in the July 31, 2009 extension and amendment to Institutional Network Services Agreement of September 6, 2002 shall remain in effect until September 6, 2010. This Agreement shall commence upon execution and continue to September 6, 2017, subject to extension at the City's sole discretion. City in its sole discretion may no later than 30 days prior to the expiration of this Agreement extend by giving written notice for additional 1 year extensions up to two times, extending to an eighth year and again for a ninth year under the same monetary terms. 2.5 Interlocal Agreement for Acquisition of Metropolitan Area Network Services Vendor agrees to allow the City to enter into Interlocal Agreements (Exhibit 3) with other governmental and public institutions, pursuant to Chapter 39.34 RCW, to extend the privileges, terms and conditions of this Agreement made with Vendor shown in Schedule H of Exhibit 5 for their sites not receiving similar Vendor services prior to the effective date of this Agreement. 2.6 Institutional Network and Wide Area Network Use Agreement Assignments The City grants Vendor consent to use up to fifty -one (51) rack -units within each Institutional Network node enclosure, environmental control systems within three Institutional Network node enclosures and a spare environmental control system, and up to twenty -four (24) dark fibers throughout the Institutional Network backbone that are not in operation for City purposes, which are provided to the City under the Cable Television Franchise Ordinance No. 3116. The City retains the right to recall Vendor use of dark fibers, limited to a maximum of two (2) dark fiber strands per year, rack -units and use of underground conduits, vaults and related structures upon one year's written notice from the City Manager to the Vendor. The City grants Vendor consent to use Wave Broadband underground ducts, conduits and related structures in accordance with the second amendment to the Fiber Optic Wide Area Network Use Agreement dated December 2, 2003 at no charge through May 31, 2017 to provide non commercial and commercial telecommunications services. City reserves the right to charge the Vendor and other telecommunications service providers a pro rata share of the electrical power consumption charges at each institutional network node location. 2.7 Due Diligence On and after the effective date of this Agreement, Vendor shall provide the City a list of any changes to the names, addresses, and social security numbers for Vendor personnel that will be permitted to have unrestricted access to the network operating center or central office, Institutional Network nodes, core switching equipment, and network operation and management Page 5 software. Such Vendor personnel may be subject to a background check in accordance with Section 2.12. On or before May 31, 2010, Vendor shall submit evidence that: (1) It has the financial resources to fulfill its obligations under this Agreement and shall file contemporaneously with the execution of core switching equipment loan agreements, if any, a Uniform Commercial Code U.C.C. -1 Financing Statement with the Washington State Department of Licensing. (2) It has obtained a surety bond, if required, in accordance with Section 2.8. (3) It has provided the City evidence that it has entered into an agreement, including technical support, with a core switching equipment manufacturer and that the service levels described in Exhibit 2 will be met. Technical support shall also include senior network engineering support services as a backup to Vendor staffing. On or before December 31, 2010, Vendor shall submit evidence that: (4) It has submitted the detailed implementation plan including: site drop construction schedule, local area network plans and specifications, construction permit application, and acceptance testing plan in accordance with Exhibit 1. 2.8 Surety Bond If Vendor needs to obtain financing to fulfill its obligations under this Agreement, then Vendor shall provide a surety bond with a surety company approved by the City, in an amount equal to the cost of the core switching equipment and customer premises equipment at City sites financed during the Initial Term of this Agreement. The bond shall contain the following endorsement: "It is hereby understood and agreed that this bond may not be canceled by the surety nor shall it exercise any intention not to renew until thirty (30) days after receipt by the City, by certified mail, of written notice of such intention to cancel or not to renew The rights reserved to the City with respect to the bond are in addition to all other rights of the City, whether reserved by this Agreement or authorized by law; and no action, proceeding or exercise of a right with respect to such bond shall affect the City's rights to demand full and faithful performance under this Agreement or limit Vendor's liability for damages. 2.9 Certification Vendor certifies that the core switching equipment, customer premises equipment, and all work and materials furnished under this Agreement shall comply with the Network Service Level Requirements described in Exhibit 2 and accepted industry standards. 2.10 Service Standards (1) Vendor shall interconnect the Vendor network to provide Internet access within the City. Vendor shall provide a redundant interconnection point, from an Institutional Network node to an interconnection point to be specified by the Page 6 City, to provide Internet access that provides a diverse physical route for Internet access within the City. Prior to interconnecting the Vendor network to another wide area network, Vendor shall provide a detailed description of the network security to be provided by such interconnection which shall be in accordance with Exhibit 2. In the event a telecommunications service provider that has obtained a right of way license or master permit from the City requests an interconnection to the Vendor network for private telecommunications systems in writing, Vendor shall make commercially reasonable and lawful non exclusive arrangements for such an interconnection. The arrangement may include but is not limited to available network capacity and commercially reasonable terms and conditions for payment to Vendor of all recurring and non recurring costs, network security, problem reporting and restoration of service procedures, Network Service Level Requirements, and policies related to VLAN and dark fiber service sharing among single and common user group entities and private shared telecommunications services. The minimum term for interconnection charges shall be consistent with the Initial Term of this Agreement, unless otherwise approved by Vendor. Vendor shall not charge the City a non recurring or recurring service charge for a network interconnection for a Public Safety VLAN or for Public Safety dark fiber service. Vendor reserves the right to collect co- location, non- recurring and recurring service charges for a network interconnection if such charges are imposed by the interconnecting telecommunications service provider. (2) Vendor shall maintain arrangements with qualified service providers for retail broadband Internet access services within the City limits. Vendor charges to the City for retail broadband Internet access services shall be included in Exhibit 5 Schedule "G Upon the request of a qualified retail service provider, Vendor shall provide wholesale services subject to a charge to be paid by the retailer and reasonable contractual restrictions by the Vendor based on competitive market conditions. Vendor shall be permitted to provide wholesale broadband Internet access. Vendor shall also be permitted to charge a fee for wholesale Internet access, and wholesale non commercial use of the Institutional Network backbone fiber network and nodes, site drops, and all other appurtenant infrastructure. Furthermore, Vendor shall be permitted to impose reasonable contractual restrictions based on competitive market conditions to retail broadband Internet service providers. Page 7 Vendor shall use commercially reasonable efforts to ensure that the retail broadband Internet access services provided over the Metropolitan Area Network will conform substantially to the following: A. The platform will be kept current with industry standards for interoperability with Internet protocol applications. B. The City and institutions that receive the service will be able to reach the Internet. The City hereby recognizes that Vendor may provide wholesale Internet access and that qualified service providers may provide retail Internet access services without obtaining other City approvals. Upon request from public institutions to Vendor, subject to the availability of dark fibers assigned to the Vendor in accordance with Section 2.6 within the Institutional Network backbone from node to node, Vendor may provide dark fiber marketing services on behalf of the City to public institutions to use the Institutional Network backbone for non commercial purposes. Dark fiber marketing services shall include operation, maintenance and management of the Institutional Network backbone dark fibers and marketing, billing, and all other functions necessary to provide dark fiber marketing services under this Agreement. Vendor use of the Institutional Network nodes and non commercial dark fibers throughout the backbone shall be allowed for private telecommunications systems and private shared telecommunications services to a single user group entity in accordance with the Franchise and for other purposes and common user groups if approved in writing by the Vendor and the City Manager. Vendor may establish commercially reasonable contractual conditions for dark fiber marketing services which may include but are not limited to terms and conditions for non commercial use in accordance with the Franchise, payment to Vendor of all recurring and non recurring costs, network security, problem reporting and restoration of service procedures, Network Service Level Requirements, and policies related to single and common user group entities sharing or provided access to private telecommunications systems and private shared telecommunications services. The recurring and non recurring charges established by Vendor for dark fiber marketing services shall be based on competitive market conditions. The recurring service charge, City and Vendor sharing of the recurring service charge, and duration of dark fiber marketing services shall be mutually agreed to in writing by the Vendor and the City Manager. The City shall not be charged for its use of Institutional Network backbone dark fibers under this Agreement. Page 8 The City retains the right to recall Vendor use of Institutional Network backbone dark fibers, limited to a maximum of two (2) dark fiber strands per year, upon one year's written notice from the City Manager to Vendor. (4) Vendor may provide dark fiber site drop services from the Institutional Network nodes or Vendor owned infrastructure to public institutions. The recurring and non recurring service charges established by Vendor for dark fiber site drops to public institutions shall be based on competitive market conditions. 2.11 On -Call Network Consulting Services During the first year of the Initial Term of this Agreement, upon establishing a mutually agreed upon schedule that is approved in writing by both parties, Vendor shall provide one hundred (100) hours of on -call network consulting services at no charge for services requested by the City. Vendor shall obtain written City approval of on -call network consulting services. Upon written City request, Vendor shall provide additional on -call network consulting services for a charge. On -call network consulting services shall be available twenty -four hours a day, seven days a week. The charge for additional on -call network consulting services shall be in accordance with Exhibit 5 Schedule I. Upon written City request, Vendor shall also provide Local Area Network (LAN) materials, hardware, and installation services for municipal facilities. The charges for LAN materials, hardware and installation services shall be mutually agreed upon prior to commencing work. 2.12 Background Checks Vendor personnel and any of Vendor's subcontractor personnel that are permitted to have unrestricted access to the network operating center, central office, core switching equipment, and network operation and management software during the term of this Agreement may be subject to a background check, which shall be completed and approved by the City in its sole discretion and which shall be considered confidential in accordance with Section 5.2. The information that may be included in a background check includes but is not limited to driving records, vehicle registration, credit records, criminal records, social security number, education records, professional certifications, State licensing records, court records, workers' compensation, bankruptcy, character references, neighbor interviews, medical records, property ownership, employment verification, and military service records. Vendor personnel and any of Vendor's subcontractor personnel background checks not approved by the City shall not have access to the network operating center, central office, core switching equipment, and network operation and management software during the term of this Agreement. 3. SERVICES AND SITE DROPS 3.1 City Service Sites Vendor will initially provide Metropolitan Area Network Services to City sites listed in Exhibit 5 Schedules "A "B 1 "C "D 1", "E "F" and 3 Mbps of Internet Access in accordance Page 9 with Schedule "G Vendor shall be responsible for all costs to provide fully functional Metropolitan Area Network Services, which have been included in its charges in Section 4 and within Exhibit 5. Vendor will provide limited universal availability of services to additional City and institutional sites within the City. Limited universal availability of services within the City shall also include a standard overhead facility site drop from a site that is within 1,500 lineal feet of the nearest Institutional Network node or 1,500 lineal feet of Vendor owned infrastructure. For any site not included in Exhibit 5 that require overhead facilities beyond 1,500 lineal feet or underground drops, Vendor may charge the City and institutions for the actual cost for any such additional overhead facilities or underground drop installation. 3.2 City Site Changes City sites listed in Exhibit 5 Schedules `B2 `B3 `B4 and "F and other City sites determined by the City, may be added within the first three years of the term of this Agreement, and all additional site drops and non recurring and recurring service charges shall be governed by the same terms and conditions specified in this Agreement. City sites serviced under this Agreement may be discontinued by the City by providing ninety (90) days notice to Vendor. The monthly recurring services charges in accordance with Exhibit 5 Schedules "B!", "C "D 1", "D2" and "F" shall no longer be collected for City sites that are discontinued. The non recurring service charge shall not be reimbursed to the City for any City site that is discontinued. 3.3 Services Provided to the City Vendor shall initially provide wide area networking services to the City in accordance with the requirements contained in Exhibit 5 Schedules "B1 "C "D1 "F" and 3 Mbps of Internet Access in accordance with Schedule "G At no additional charge to the City, Vendor shall provide the core switching equipment, expansions to core switching equipment capacity as required, and operation, maintenance and management services required to meet its obligations to the City under this Agreement. Vendor shall also be responsible for marketing, billing, and all other retail services necessary to provide regular commercial services under this Agreement. 3.4 Network Service Level Requirements Vendor shall provide Metropolitan Area Network Services to the City and institutions in accordance with the service levels contained in Exhibit 2 attached. 3.5 Site Drop Ownership and Maintenance All site drops and dark fiber point to point connections, whether to City or non -City sites, shall be owned and maintained by Vendor unless otherwise agreed upon. Upon termination or expiration of this Agreement, Vendor agrees that all City site drops and dark fiber point to point connections will be available for use by the City who may continue to use such facilities at no further charge. However, upon termination of this Agreement, use of Interlocal Agreement site drops by other service providers shall be subject to competitive, industry standard access charges. 3.6 City Site Drop Route Plans, Procedure and Schedule. Vendor shall maintain fiber drops, consisting of a minimum of two (2) single mode fibers to each City site to be served as listed in Exhibit 5. Page 10 Each site drop connection shall be terminated within fifty (50) feet of entering the applicable building using a City provided path at a mutually agreed upon point of demarcation in a Vendor standard termination panel, mounted on a City furnished backboard. Vendor shall prepare a site drop route plan for each City site to be served and shall prepare detailed site plans for written City approval and permitting purposes, in accordance with the Metropolitan Area Network Services Schedule (Exhibit 1) and as follows: (1) In preparing the plans and specifications, Vendor and the City agree to coordinate closely to ensure that the project requirements are met expeditiously. (2) Vendor's plans and specifications shall be in sufficient detail to permit identification, correlation, verification, and understanding of the components of Vendor's plans and specifications. (3) The City will review the plans and specifications and, if acceptable, shall provide written approval. (4) If revisions are required by the City, the plans shall be resubmitted by Vendor to the City and, if acceptable, the City shall provide written approval. (5) In no event shall the City have any liability for any expenses Vendor incurs in preparation of such plans and specifications. (6) All site drop fibers and other Vendor provided fibers necessary to provide the services described in this Agreement shall be labeled at termination points to readily enable identification and ownership. (7) The site drops, core switching equipment, customer premises equipment, and local area network cabling at redundant City sites including all splicing and testing, shall be fully complete and operational in accordance with the Metropolitan Area Network Services Schedule (Exhibit 1). The City shall promptly conduct a final inspection to verify completion. (8) Vendor shall deliver as- builts of the network diagram/schematic for all City sites, a network route map including all of the Vendor's fiber optic infrastructure, City site drop maps and construction photographs, and identification and labeling of fibers. Vendor shall also deliver optical time domain reflectometer test results and local area network as- builts for City sites included in Exhibit 5 Schedule "D2 An electronic copy of the as- builts shall be provided by the Vendor in a mutually agreed upon format. 3.7 Interlocal Agreement Site Drops. Site drops provided under the Interlocal Agreement shall consist of a minimum of two (2) single mode fibers. Vendor shall construct such drops, subject to the requesting party's acceptance of an Interlocal Agreement (see Exhibit 3) for acquisition of Metropolitan Area Network Services in accordance with Section 2.5 or execution of an agreement with Vendor. Payment for Interlocal Agreement site drops shall be incorporated with and as part of the maximum monthly recurring service charges per Exhibit 5 Schedule "H unless other payment arrangements are approved by the Vendor. The minimum term for Interlocal Agreement site drop charges shall be consistent with the Initial Term of this Agreement, unless otherwise approved by Vendor. Each Interlocal Agreement site drop connection shall be terminated within fifty (50) feet of entering the applicable building using a customer provided path at a point of demarcation mutually Page 11 agreed upon by Vendor and the customer in a Vendor standard termination panel, mounted on a customer furnished backboard. 4. SERVICE CHARGES AND PAYMENT 4.1 Vendor Service Charges Upon the availability of commercial services in accordance with Exhibit 1 for Metropolitan Area Network Core Switching Equipment and Customer Premises Equipment (CPE), the City agrees to pay a non recurring service charge in the amount of $0.00 for Network Core Switching Equipment and $13,008.00 for CPE. Upon the availability of commercial services in accordance with Exhibit 1 for Site Drops and Local Area Network (LAN) Services, the City agrees to pay a non recurring service charge in the amount of $133,233.00, which includes non recurring service charges for City site drops, CPE, and local area networks plus all applicable taxes in accordance with Exhibit 5 Schedules "C "D2 "E" and "F Upon the availability of commercial services in accordance with Exhibit 1 for Metropolitan Area Network Core Switching Equipment and Customer Premises Equipment (CPE), the City agrees to pay a recurring service charge in the amount of $5,045.00 per month plus all applicable taxes in accordance with Exhibit 5 Schedules `B 1 "C "Dl", "F" and 3 Mbps of Internet Access in accordance with Exhibit 5 Schedule "G during the Initial Term of this Agreement. Upon the availability of commercial services in accordance with Exhibit 1 for Site Drop Construction and Local Area Network (LAN) Services, the Vendor agrees to a reduction in the recurring service charge in the amount of $150.00 per month plus all applicable taxes in accordance with Exhibit 5 Schedules `B 1 "C "D2 "F" and 3 Mbps of Internet Access during the Initial Term of this Agreement. No later than three years after the effective date of this Agreement, the City agrees to pay an additional recurring service charge in the amount of $520.00 per month plus all applicable taxes in accordance with Exhibit 5 Schedule "D2 during the remaining Initial Term of this Agreement. The monthly recurring service charges shown in Exhibit 5 Schedule "H" shall be available to additional City sites and institutions not included in Exhibit 5. Charges shown in Exhibit 5 Schedule "H" do not include any required local area network equipment expenses within additional City facilities and institutions not included in Exhibit 5 beyond the Vendor standard termination panel and customer premises equipment. The charges within Exhibit 5 Schedules "A "B 1 "C "D2 "E "F "G and "I" shall be available without adjustment throughout the Initial Term and any Extended Term of this Agreement. Vendor shall be responsible for all costs to provide fully functional core switching equipment, City site drops, and local area networks, patch panels and cords, jacks, faceplates, and all other required materials which have been included in the (recurring or non recurring) service charges. The City's payment for its site drops and point -to -point (PTP) connections shall entitle it to exclusive, irrevocable use of all City site drops and dark fiber PTP connections without any further ongoing charges during the Initial Term and Extended Term, if any, continuing beyond termination, cancellation or expiration of this Agreement, as provided in Section 5.6, Survival. Page 12 However, in the event the City continues its use of the site drops and PTP connections beyond termination, cancellation or expiration of this Agreement, the City shall pay a pro -rata share of Vendor's reasonable maintenance costs for City site drops and PTP connections. 4.2 City Public Utility Tax The monthly recurring service charges shown in Exhibit 5 do not include any City public utility taxes or Washington State sales taxes. Vendor shall collect City public utility taxes from all institutions and businesses, and remit such taxes to the City, in accordance with Section 2.2. 4.3 City Pole Attachment Charge Credit Vendor shall be responsible for and timely pay the City pole attachment charges in accordance with the Right -of -Way License required in Section 2.3 and Chapter 13.14 PAMC. On or about July 1 of each year, Vendor shall determine the total number of its pole contacts on City owned poles as of the preceding day. Vendor may request a credit against the annual charges payable to the City for the total number of Vendor pole contacts for site drop infrastructure made under this Agreement that are for the sole purpose of serving the City. The credit request shall be accompanied by a Vendor network route map that identifies all Vendor contacts on City -owned poles, all Vendor contacts on City -owned poles made under this Agreement that are for the sole purpose of serving the City, and all customer locations receiving Vendor's services. If the City determines that the Vendor pole contacts are for the sole purpose of serving the City, then the City shall grant the credit requested. 4.4 Invoicing and Payment Vendor charges will be invoiced to the City monthly (12 invoice periods per year). City payment is due within 30 days of receipt of invoice. Thereafter, interest of 1.0% per month will be charged on the balance due. Vendor payment of City public utility taxes shall be made to the City quarterly. Vendor payment is due within 30 days of the end of the preceding calendar month. Each payment shall show the gross revenue subject to utility tax in accordance with this Agreement. 4.5 Public Safety VLAN Vendor shall maintain site drops to current City sites included in Exhibit 5 Schedule "F Upon the availability of commercial services, the City shall begin to pay a monthly recurring service charge in accordance with Exhibit 5 Schedule "F" for wide area networking services to City facilities for a Public Safety VLAN. Upon the availability of commercial services and continuing throughout the Initial Term of this Agreement, the City agrees to pay a non recurring service charge representative of Vendor's actual costs for future site drops and non recurring and recurring service charges shown in Exhibit 5 Schedule "F" for wide area networking to additional City facilities. The recurring charges shown in Exhibit 5 Schedule "F" shall be available to additional City and non -City owned public safety facilities not included in Exhibit 5. Charges shown in Exhibit 5 Schedule "F" do not include an enclosure, electrical service, and any required local area network equipment expenses within facilities beyond the Vendor standard termination panel and customer premises equipment. Page 13 The Public Safety VLAN shall be used for a non commercial private telecommunications system and private shared telecommunications services for the sole purpose of police, fire and emergency services within the City. The private shared telecommunications system may be available to other police, fire and emergency service entities within and outside of the City and shall not be used for commercial purposes unless approved in writing by Vendor and the City Manager. 5. MISCELLANEOUS PROVISIONS 5.1 Notices All notices required to be in writing hereunder shall be deemed given when personally delivered, or if mailed by certified or registered mail, three (3) days following deposit in the United States mail, postage prepaid, or if via telecopy or facsimile, when received, or if sent by courier service providing evidence of delivery, when actually delivered by such service. All notices from Vendor to the City pursuant to this Agreement shall be directed to the City Manager at City Hall, 321 East Fifth Street, P.O. Box 1150, Port Angeles, WA 99362 -0217, or to such officer as designated by the City Manager. All notices from the City to the Vendor pursuant to this Agreement shall be directed to Mr. Bill Roberds, President, Capacity Provisioning, Inc., 116 1/2 West 8 Street, Port Angeles, WA 98362. 5.2 Non Disclosure Agreement The City will maintain confidentiality of any and all information provided or made available by Vendor to the extent permitted by law when Vendor has notified the City of the confidential nature of the information. Vendor shall maintain confidentiality of all information about the City's LANs, WANs, network information, security systems, and data under this Agreement. Vendor will maintain confidentiality of any and all additional information provided or made available by the City to the extent permitted by law when the City has notified Vendor of the confidential nature of the information. Vendor shall accept and comply with Exhibit 4 the Non Disclosure Agreement under this Agreement. 5.3 Reports Vendor shall report to the City such information relating to this Agreement as the City may reasonably require to demonstrate Vendor's compliance with the terms and conditions of this Agreement and shall comply with the City's reasonable determination of the forms for reports, the time for reports, the frequency with which any reports are to be made, and whether or not reports are to be certified. 5.4 Indemnification/Hold Harmless. Vendor shall defend, indemnify and hold harmless the City, its officers, officials, employees, and volunteers harmless from any and all claims, injuries, damages, losses or suits, Page 14 including attorney fees, arising or issuing out of or in connection with this Agreement, except as may be caused by the sole negligence or willful misconduct on the part of the City. 5.5 Subcontracts /Assignment. Vendor shall not subcontract, assign or transfer any right, title or interest under the terms of this Agreement without the prior written approval of the City. Such approval shall not be unreasonably withheld or delayed, provided it is demonstrated to the City's satisfaction that the assignee has accepted the Non Disclosure Agreement (Exhibit 4) and has the background, experience, certifications, ability, and the technical, financial and legal resources to perform the requirements of this Agreement 5.6 Survival. The provisions covering site drops, service charges and payment, and indemnification /hold harmless shall survive expiration of this Agreement. 5.7 Violations and Remedies If the City has reason to believe that Vendor has breached or is in violation of this Agreement, after informal and cooperative efforts have failed after two (2) meetings or ten (10) business days, whichever occurs first, the City shall notify Vendor in writing of the violation, setting forth the nature of such violation. Within thirty (30) days of Vendor receipt of such notice or such longer period specified by the City, Vendor shall respond in writing that the violation has been cured, provide a cure plan or schedule that reasonably satisfies the City, provide explanations in refutation or excuse with documentation to support that an alleged violation did not occur, refute the City's denial of Vendor's cure plan, or refute the City's denial of an additional time period to complete the cure plan. The City shall act on the Vendor's cure plan, if any, within thirty (30) days of City receipt of such plan. The City shall provide written acceptance or denial of Vendor's cure plan, which acceptance shall not be unreasonably withheld or delayed. Vendor shall be allowed thirty (30) days to cure violations after written City acceptance of Vendor's cure plan is received. If the nature of the violation is such that it cannot be fully cured within 30 days due to circumstances not under Vendor's commercially reasonable control, the period of time in which Vendor must cure the violation shall be extended by the City in writing for such additional time reasonably necessary to complete the cure, provided that (1) Vendor shall have promptly commenced to cure, and (2) Vendor is diligently pursuing its efforts to cure in the City's reasonable judgment. If the violation has not been cured within the time allowed under this section, then Vendor shall be liable for liquidated damages for the following violations: (1) Failure to promptly comply with Section 2: $100.00 per day; provided, however, in no event shall the aggregate amount for all such violations exceed $2,500.00 per year. (2) Failure to comply with Section 3: $100.00 per day; provided, however, in no event shall the aggregate amount for all such violations exceed $2,500.00 per year. Page 15 (3) (4) (5) Failure to comply with Section 4: $100.00 per day; provided, however, in no event shall the aggregate amount for all such violations exceed $2,500.00 per year. Failure to with Section 5: $100.00 per day; provided, however, in no event shall the aggregate amount for all such violations exceed $2,500.00 per year. Failure to comply with Section 6: $100.00 per day; provided, however, in no event shall the aggregate amount for all such violations exceed $2,500.00 per year Vendor agrees that each of the foregoing failures shall result in injuries to the City and institutions, the compensation for which would be difficult to ascertain and to prove. Accordingly Vendor agrees that the foregoing amounts are liquidated damages, not a penalty or forfeiture. If Vendor fails to make full and complete liquidated damage payments as required by this Agreement within ten (10) business days after receipt of written notice from the City, then the City may immediately take steps to deduct without further notice to Vendor the amount thereof from the service charges and payment due to Vendor in accordance with this Agreement. Liquidated damages shall accrue from whichever applies among the following: (1) thirty (30) days after City notice if no cure plan is submitted; (2) on the date of City denial of the Vendor 's cure plan; or (3) the date of the City accepted cure plan completion date. 5.8 Termination The City reserves the right to terminate this Agreement if Vendor fails to comply with the due diligence requirements in accordance with Section 2.7. Each party reserves the right to terminate this Agreement at any time upon breach by the other party of a material term or condition of this Agreement; provided that the non breaching party has first given 60 days written notice specifying in reasonable detail the alleged breach or failure of compliance and demanding the cure of the breach. If said breach or failure to comply cannot reasonably be cured in 60 days and the breaching party shall proceed promptly to cure the same, then the time for curing such failure to comply shall be extended for such period of time as may be reasonably necessary to complete such cure. In the event of termination of this Agreement, City payment of the recurring service charges to Vendor specified in Section 4 shall no longer be required. 5.9 City Right to Purchase In the event Vendor is not capable of performing its obligations under this Agreement or the Agreement is terminated, expires or is not renewed, the City shall have the right of first refusal to acquire the core switching equipment, customer premises equipment, telecommunications facilities, and site drops owned by Vendor, in the event it is to be sold, transferred, liquidated, or assigned, at fair market value less the City's aggregate payment of non recurring service charges under this Agreement and the Institutional Network Services Agreement for a period of sixty (60) days following the date of termination, expiration or non renewal of this Agreement. 5.10 Metropolitan Area Network Core Switching Equipment Lien If Vendor obtains financing to fulfill its obligations to purchase the core switching equipment under this Agreement, the City reserves the right to file an equipment lien in an amount Page 16 not to exceed Exhibit 5 Schedule "A" to secure its payment of the non recurring service charge for core switching equipment specified in Section 4.1 of this Agreement. 5.11 Force Majeure The term "Force Majeure" shall mean acts of God, war, civil disturbances, fire, unavoidable casualty, construction delays due to weather, failure of supplier(s), or other similar causes beyond the control of Vendor. The time within which Vendor shall be required to perform any act under this Agreement shall be extended by a period of time equal to the number of days performance is delayed due to a Force Majeure. Vendor shall not be subject to any penalty hereunder because of acts or failure to act due to Force Majeure. 5.12 Severability Whenever possible, each provision of this Agreement will be interpreted to be effective and valid under applicable law. The invalidity, illegality or unenforceability of any provision will not affect the validity, legality or enforceability of any other provision of this Agreement, which will remain valid and binding. 5.13 Entire Agreement This Agreement and its Exhibit(s) represent the entire agreement between the parties hereto with respect to the subject matter hereof and supersede all prior oral negotiations and agreements. 5.14 Law, Jurisdiction, Venue and Attorney's Fees. The Parties agree that in the event any suit or other legal action is made in common that the law of the State of Washington shall apply. Venue shall be in Clallam County Superior Court. If any suit or other action is instituted in connection with any controversy arising under this Agreement, the prevailing party shall be entitled to recover all of its costs and expenses including such sum as the Court may judge reasonable for attorney fees, including fees upon appeal of any judgment or ruling. 5.15 Amendments. Any amendment to this Agreement shall be mutually agreed upon in writing. Page 17 AGREED TO BETWEEN THE PARTIES on the last date written below. VENDOR Date CITY OF PORT ANGELES By: Date ATTEST: APPROVED AS TO FORM: City Clerk City Attorney EXHIBITS 1 Metropolitan Area Network Services Schedule 2 Network Service Level Requirements 3 Interlocal Agreement for Acquisition of Metropolitan Area Network Services 4 Non Disclosure Agreement 5 Vendor Technical Proposal and Service Charge Proposal Page 18 EXHIBIT 1 The dates specified herein are required completion deadlines unless otherwise approved by the City Manager. METROPOLITAN AREA NETWORK SERVICES SCHEDULE METROPOLITAN AREA NETWORK CORE SWITCHING EQUIPMENT AND CUSTOMER PREMISES EQUIPMENT (CPE) Equipment installed Network testing Commercial operations SITE DROP CONSTRUCTION FOR EXHBIT 2 SCHEDULE D2 SITES Site plans for City approval and permitting due City revisions or approval If revisions required, date due Revisions approved by City Construction complete Commercial operations LAN SERVICES FOR EXHBIT 2 SCHEDULE D2 SITES LAN plans and specifications for City approval City revisions or approval If revisions required, date due Revisions approved by City Electrical outlets installed by City LAN installation complete Page 19 8/6/2010 8/20/2010 9/7/2010 12/31/2010 1/28/2011 2/18/2011 2/25/2011 4/15/2011 5/1/2011 12/31/2011 1/28/2011 2/18/2011 2/25/2011 4/1/2011 4/15/2011 EXHIBIT 2 NETWORK SERVICE LEVEL REQUIREMENTS 1. System Availability Vendor shall provide maintenance twenty -four (24) hours a day, seven (7) days a week and shall maintain the site drops and network equipment to the City demarcation at all times. The City demarcation shall be: 1) For Metro Ethernet services: The Ethernet interface provided from Vendor -owned customer premise equipment located at the City Designated Access Site for connection of customer equipment; or 2) For Dark Fiber services: The fiber optic connector located in a patch panel or fiber termination enclosure located at the City Designated Access Site for connection of customer equipment. In emergency conditions, including natural disasters, vandalism, or other cause of widespread service outage, the Vendor shall perform emergency repair work on the fiber and field equipment. During an emergency, all fibers and field equipment at a given damage location shall be repaired concurrently without preference to function. During normal operating conditions, City connections shall be available and operating within all specified technical parameters defined herein: At least 99.9% of the time for Basic Service Drops; and At least 99.999% of the time for Redundant Service Drops. Service Availability shall be measured over each billing period, not including scheduled maintenance resulting in outages that are scheduled in advance by the Vendor and approved by the City. During normal operating conditions, the Vendor shall respond to all Critical Outage reports within two (2) hours, and make necessary repairs to the extent feasible to restore service within four (4) hours of notification. Under normal operating conditions, the Vendor shall respond to Non Critical Outage or degradation reports within twenty -four (24) hours. The City shall have full discretion to define Critical and Non Critical, though "Critical" shall generally be defined to mean a complete loss of connectivity to one or more City- Designated Access Sites. 2. Reliability Recovery due to a logical or physical network outage on a City circuit with a Redundant Service Drop shall not be greater than 600 milliseconds under worst -case conditions. Recovery due to a physical network break or a node enclosure power, heating or air conditioning failure on a service drop shall be coordinated with Wave Broadband, which is required by Subsection 8.7.1 of the City's Cable Television Franchise Ordinance No. 3116 to restore City Institutional Network breaks within four (4) hours of outage notification. The Vendor shall maintain a spare battery backup hardware in the event of a failure. Page 20 3. Network Security Vendor shall provide protection against denial -of- service attacks with wire -speed extended access control lists, secure shell, secure copy, simple network management protocol version 3, and authentication with AAA, RADIUS or TACACS Vendor shall provide connections over a secure carrier -grade network that provides traffic engineering to allow for secure provisioning of multiple secure networks between departments and services, with support for dedicated capacity and security for specific applications. Candidate secure carrier -grade technologies include: Secure layer -2 VPN/VLAN service leveraging advanced, carrier -grade network segmentation solutions, such as Multi- Protocol Label Switching (MPLS), layer -2 VPNs, or Provider Backbone Bridges (PBB) supporting "QinQ" trunking to: 1) provide suitable security to eliminate the need for City encryption of internal data traffic, and 2) allow the City to implement its own internal VLAN scheme independent of the Vendor for greater flexibility for internal architecture changes and interconnections with other networks. Secure MPLS layer -3 VPN 4. Network Latency Transmission latency across the MAN will average no greater than 3 milliseconds between directly connected switches at Layer 2 only, during standard operating conditions. Average end to -end latency will not exceed 10 milliseconds during normal operating conditions, with maximum end -to -end latency not to exceed 600 milliseconds. 5. Packet Loss Packet Loss across the Institutional Network backbone shall average 0.3% or less. If the average Packet Loss across the Institutional Network backbone exceeds 0.3% during a calendar month, Vendor shall immediately take action to comply with this requirement. 6. Network Equipment All network equipment shall be standards- compliant, non proprietary technology, able to support a standards -based interface type such as Ethernet/IP. The equipment shall be scalable to meet future network expansion needs. The equipment shall be interoperable with other standards -based Ethernet networks and capable of enabling cooperative use by related networks. 7. Monitoring and Network Optimization Vendor will continuously monitor and optimize the operation of the network. Monitoring shall be done between the furthest client node using software and hardware components capable of accurately measuring traffic and responses at such nodes. The City acknowledges that such measurements may not meter the exact path traversed by the City's packets and that such measurements constitute measurements across the network backbone but not other networks to which the City may connect. Upon City request, the Vendor shall provide the City with an initial baseline monitoring report upon completion of its network and monthly reports thereafter detailing all outages, average and peak capacity usage, and any other available error information. Page 21 8. Problem Reporting and Escalation Procedure a. The City shall first troubleshoot network problems to determine that the problem is a Vendor network problem prior to contacting the Vendor Network Operations Center (NOC). b. A work order (trouble ticket) will be created based on the trouble call, and the Vendor troubleshooting process and time clock will begin. c. The Vendor will provide a problem reporting and escalation procedure to the City and will provide the City with progress and status information on trouble calls. The City should receive an initial callback regarding the status of the problem within thirty (30) minutes of the initial trouble report. d. The Vendor will attempt to resolve most problems within one (1) hour of the problem report initially being logged and a trouble ticket being generated. The Vendor NOC will notify the City regarding the status of the reported problem and the estimated time to repair completion. e. If, after one (1) additional hour, the problem has not been resolved (within the parameters of the Vendor escalation procedure), the City will have the option to contact the Vendor to escalate the problem priority. At this point, the Vendor will assess the situation, escalate the trouble ticket's priority as necessary, and provide a best estimate of time to complete the repair. f. If a representative of the Vendor technical support staff is required to visit a City site to repair or troubleshoot a problem, the City may be charged for this service. There will be no City charge if the problem necessitating the visit is due to a failure of the Vendor's equipment or network that was not the result of City activity or was caused by the Vendor. In all other situations, the City will be charged for repair or troubleshoot visits to City sites. The charge for this service will be in accordance with the Vendor fee schedule. The charge will include Vendor travel time, with a minimum one (1) hour charge. This Vendor charge will be added to the City's monthly invoice. 9. New Service For City sites already receiving managed network services, the Vendor will add new services requiring only a software change within ten (10) days from the receipt of a written request for the additional service from the City and Vendor engineering approval of the change. Services requiring hardware changes will be scheduled with the City. For City sites not receiving Vendor service, the Vendor will provide service to a new site where minimal facilities engineering and provisioning tasks are required within thirty (30) days from receipt of a written service request from the City. When more than minimal facilities engineering and provisioning tasks are required, the installation of service will be scheduled with the City. 10. Changes All requests for additions or changes to City sites shall be in writing. A connectivity change request form will be available from the Vendor and online at the Vendor website. The change request will be evaluated to assess engineering issues and to determine whether it is a no -cost change or an additional cost item. If it is an additional cost item, it shall be approved in Page 22 writing by the City, and the cost will be added to the Vendor's monthly invoice to the City. The Vendor will provision new service within ten (10) days of receipt of a signed change request order and Vendor engineering approval of the change. 11. Network Interface Equipment Vendor Technical Support Vendor shall obtain and maintain through the term of the Agreement, and any extensions thereof, the support services of its network interface equipment. 12. Internet Access Internet access shall be dedicated to the City and not shared with other Vendor customers, and shall have equivalent upload and download capacity. 13. On -Call Networking Consulting Services The City requires on -call networking consulting services to support its information technology systems. The Vendor's tasks may include, but are not limited to Exhibit 5, the Vendor's Technical Proposal and Service Charge Proposal. Page 23 EXHIBIT 3 INTERLOCAL AGREEMENT FOR ACQUISITION OF METROPOLITAN AREA NETWORK SERVICES Pursuant to Chapter 39.34 of the Revised Code of Washington and other provisions of the law, hereinafter called OTHER PARTY, and the CITY OF PORT ANGELES, a non charter code City of the State of Washington, hereinafter called CITY, hereby agree to cooperatively obtain services according to the following terms and conditions: 1. The City has negotiated a Metropolitan Area Network Services Agreement with Capacity Provisioning, Inc., hereinafter called VENDOR, for the purchase of telecommunications services, which is attached hereto as Exhibit A, and agrees to extend the privileges of said negotiation to the OTHER PARTY to the extent permitted by law and agreed upon by the CITY, the OTHER PARTY, and the VENDOR. 2. This Agreement is limited to services under the City's Metropolitan Area Network services agreement with the VENDOR under Service Charge Schedule "H 3. The OTHER PARTY accepts responsibility for compliance with all laws and any additional or varying laws and regulations governing its acquisition of services. Acquisition of services by the OTHER PARTY shall be effected by a purchase order directed to the VENDOR. 4. The CITY accepts no responsibility for the performance of any purchasing contract by the VENDOR and accepts no responsibility for payment of services by the OTHER PARTY to the VENDOR. 5. Either the CITY or the OTHER PARTY may contract independently for the acquisition of services, with or without notice to each other. 6. This Agreement is for services necessary for the operation of the CITY and the OTHER PARTY. 7. This Agreement shall remain in force until canceled by the CITY or the OTHER PARTY, which cancellation may be effected with or without notice to each other. Page 24 CITY OF PORT ANGELES, WA Authorized Name Authorized Name Title Title Date Date ,WA THIS AGREEMENT (Agreement) made and entered into this day of 2010, by and between the City of Port Angeles, a municipal corporation (City) And Capacity Provisioning, Inc. (Vendor) (collectively Parties). WITNESSETH EXHIBIT 4 NON DISCLOSURE AGREEMENT NOW, THEREFORE, in consideration of terms and covenants contained herein, the Parties agree as follows: 1. The Vendor submitted a Technical Proposal and Service Charge Proposal to the City in response to the City's request for proposals for Metropolitan Area Network Services whereby Vendor shall perform telecommunications services for the City, including but not limited to certain assessments and examination of the City's local area networks and computer systems. 2. As a condition of such request for proposal and the Metropolitan Area Network Services Agreement, Vendor is required to enter into this non disclosure agreement with the City. 3. The Vendor may have access to and become familiar with various confidential information (City Information) regularly used in the operation of the City's business. City Information includes, but is not limited to, reports, devices; processes; applications; compilations of information; records; computer system and network security systems; specifications; and financial, accounting, statistical, security and personnel information. Vendor shall not disclose any such City information to any person, directly or indirectly, nor use it in any way, except as required or authorized by the City. 4. City Information is not to be stored on any local workstation, laptop, or media such as CD/DVD, USB drives, external hard drives or other similar portable devices unless Vendor can ensure security for City Information so stored. 5. The agreement not to disclose City Information and City and third party software and related documentation as set forth in Sections 1 through 4 above shall apply during the term of the Metropolitan Area Network Services Agreement and at any time thereafter unless specifically authorized by the City in writing. 7. All files, records, documents, drawings, specifications, equipment, software, and similar items relating to the City's business, whether or not prepared by Vendor, shall Page 26 remain the exclusive property of the City and shall not be removed under any circumstances from the premises where the City's work is being carried on without the prior approval of the City. Vendor shall make no copies of any City Information obtained. 8. Attachment 1 of this non disclosure agreement shall be signed by each Vendor and subcontractor employee prior to his or her access to confidential City Information. 9. If Vendor breaches this Agreement, the City may immediately terminate this Agreement and withdraw Vendor's right to access City Information. 10. Vendor acknowledges that throughout the term of the Metropolitan Area Network Services Agreement, the City will, based upon the representations made in this Agreement, disclose security information which is critical to the continued success of the City's business. Accordingly, Vendor agrees that the City does not have an adequate remedy at law for breach of this Agreement and therefore, the City shall be entitled, as a non exclusive remedy, and in addition to an action for damages, to seek and obtain an injunction or decree of specific performance or any other remedy from a court of competent jurisdiction to enjoin or remedy any violation of this Agreement. 11. No act of omission or commission of either the City or Vendor, including without limitation, any failure to exercise any right, remedy, or recourse, shall be deemed to be a waiver, release, or modification of the same. Such a waiver, release, or modification is to be effected only through a written modification to this Agreement. 12. This Agreement is to be construed in accordance with the laws of the State of Washington. Venue and jurisdiction for any cause of action or claim asserted by either party hereto shall be in the Superior Court of Clallam County, Washington. Page 27 IN WITNESS WHEREOF the Parties have executed this Agreement on the date first above written. VENDOR: BY: Title: APPROVED AS TO FORM: William E. Bloor, City Attorney CITY OF PORT ANGELES: 321 E. 5th Street Port Angeles, WA 98362 BY: ATTEST: Janessa Hurd, City Clerk Page 28 NON DISCLOSURE AGREEMENT ATTACHMENT 1 As a condition precedent to being made aware of confidential information, I have read the foregoing Agreement and agree to be bound by its terms. Employee Name (Print) Page 29 Employee Signature EXHIBIT 5 VENDOR TECHNICAL PROPOSAL AND SERVICE CHARGE PROPOSAL Intentionally left blank. A copy of the Vendor's proposal is available for review at City Hall in the Public Works and Utilities engineering office. Confidential computer network security- related information has been removed from all documents. Page 30 I)oRTAGELEs W A S H I N G T O N U.S.A. Utility Advisory Committee Memo Date: March 9, 2010 To: Utility Advisory Committee From: Larry Dunbar, Deputy Director of Power Systems Subject: Nippon Paper Industries USA Co. Supplement to Settlement Agreement Summary: The City and Nippon Paper Industries USA Co. entered into a Settlement Agreement related to the Bonneville Power Administration Residential Exchange Program. The proposed Supplement to Settlement Agreement is related to City payment of the associated State utility taxes to Nippon Paper Industries USA Co. Recommendation: Forward a favorable recommendation to City Council to authorize the Mayor to approve a Supplement to Settlement Agreement with Nippon Paper Industries USA Co., and authorize the City Manager to make minor modifications to the agreement, if necessary. Background /Analysis: On June 25, 2008, the City and Nippon Paper Industries USA Co. (NPI) entered into a Settlement Agreement. The Settlement Agreement was related to a Standstill and Interim Relief Payment Agreement between the City and the Bonneville Power Administration (BPA) in reference to the Residential Exchange Program. The Settlement Agreement created an obligation of the City to reimburse NPI if the City receives a refund of its State utility taxes. Although the City has not received a refund of State utility taxes, it did receive an $83,836.47 credit. However, the tax credit is subject to audit for a four year period and until then the State can deny the credit to the City. The attached Supplement to Settlement Agreement was negotiated with NPI, which includes a discounted present value of the tax credit and repayment to the City if the State later reclaims or disallows the City from retaining the tax credit during the next four years. Staff recommends that the Utility Advisory Committee forward a favorable recommendation to City Council to authorize the Mayor to approve a Supplement to Settlement Agreement with Nippon Paper Industries USA Co., and authorize the City Manager to make minor modifications to the agreement, if necessary. Attachment: Supplement to Settlement Agreement N• \UAC \Final\NPI Supplement to Settlement Agreement doc SUPPLEMENT TO SETTLEMENT AGREEMENT BETWEEN CITY OF PORT ANGELES AND NIPPON PAPER INDUSTRIES USA CO., LTD. THIS SUPPLEMENTAL AGREEMENT is made effective this 2nd day of March, 2010, by and between the City of Port Angeles, a municipal corporation of the State of Washington, hereinafter referred to as "City and Nippon Paper Industries USA Co., Ltd., a Washington corporation, hereinafter referred to as "Nippon." In consideration of the benefits to be derived by this agreement, the parties recite, covenant, and agree as follow: 1. Recitals: a. The City and Nippon entered into an Settlement Agreement on June 25, 2008. Among other things, the Settlement Agreement, in Section 5.3, authorized the parties to enter into Supplemental Agreements as appropriate to carry out the purpose and intent of the Settlement Agreement. b. Section 2.3 of the Settlement Agreement creates a conditional obligation on the City to reimburse Nippon if the City receives a refund of State utility taxes. c. The City did not receive a refund of State utility taxes, but it did receive a conditional credit for State utility taxes. The amount of the credit is $83,836.41 "the Tax Credit The Tax Credit is subject to audit through December 31, 2013. In the event of an audit, the State could deny the Tax Credit in its entirety or limit the amount of it. d. Nippon claims that under the Settlement Agreement the City should pay the Tax Credit to it now. e. It is in the best interests of the citizens of Port Angeles to resolve this claim, avoiding the casts associated with a contested dispute, saving potential interest costs to the City, and satisfying a conditional legal obligation of the City under the Settlement Agreement. 2. Agreement. In compromise of its claim, Nippon agrees to accept the discounted present value of the tax credit. Therefore, the City agrees to pay to Nippon 4819- 8160 -4101 02 022610/0912/16682 00094 1 the sum of $73,058.59, which is the discounted present value of the Tax Credit. Nippon agrees to accept that amount as full and complete settlement, compromise, and satisfaction of the City's obligation under the Settlement Agreement on account of State utility taxes. Nippon releases the City from any and all claims it may have arising from, or related to, State utility taxes. 3. Hold Harmless. In the event that the State later determines that the City is not entitled to all or a part of the Tax Credit, Nippon agrees to indemnify, hold the City harmless, and repay to the City Nippon's proportionate share of any amount up to but not exceeding $73,058.59, which the State later may reclaim or disallow from the Tax Credit. 4. Full Force and Effect. Except as expressly set forth in this Supplement, the Settlement Agreement of June 25, 2008 between the parties shall remain unchanged and in full force and effect. IN WITNESS WHEREOF, the Parties, intending to be legally bound, have executed this Agreement on the date first written above. CITY: THE CITY OF PORT ANGELES NIPPON: Nippon Paper Industries USA Co., Ltd., a Washington corporation ATTEST: Janessa Hurd, City Clerk APPROVED AS TO FORM: William E. Bloor, City Attorney By: Name: Title: 4819 8160 -4101 02 022610/0912/16682 00094 2 By: Name: hi o, s Id s 4 d Title: P-4 t v 41. ci_ pORTANGELES W A S H I N G T O N U.S.A. Utility Advisory Committee Memo Date: March 9, 2010 To: Utility Advisory Committee From: Larry Dunbar, Deputy Director of Power Systems Subject: GoogleTM Fiber for Communities Request for Information Summary: GoogleTM is planning to build and test ultra -high speed broadband networks in a small number of trial locations across the country. As a first step, GoogleTM put out a Request for Information (RFI) to help identify interested communities and welcomes responses from local government. Recommendation: Forward a favorable recommendation to City Council to authorize the Mayor to respond to the GoogleTM Fiber for Communities Request for Information. Background /Analysis: GoogleTM is planning to build and test ultra -high speed broadband networks in a small number of trial locations across the country. GoogleTM wants to deliver Internet speeds more than 100 times faster than what most Americans have access to today with 1 gigabit per second, fiber -to- the -home connections. GoogleTM plans to offer service at a competitive price to at least 50,000, and potentially up to 500,000 people. Their goal is to experiment with new ways to help make Internet access better and faster for everyone. As a first step, GoogleTM put out a Request for Information (RFI) to help identify interested communities and welcomes responses from local government. Responding to the RFI would include responding to a 14 -page questionnaire by March 26, 2010. Additional information about the RFI is available from http: /www.google.com/appserve /fiberrfi. Below are some specific things that they have in mind: Next generation applications: to see what developers and users can do with ultra high speeds, whether it's creating new bandwidth intensive "killer applications" and services, or other uses we can't yet imagine. New deployment techniques: to test new ways to build fiber networks; to help inform and support deployments elsewhere, and share key lessons learned with the world. Openness and choice: to operate an "open access" network, giving users the choice of multiple service providers. Staff recommends that the Utility Advisory Committee forward a favorable recommendation to City Council to authorize the Mayor to respond to the GoogleTM Fiber for Communities Request for Information. N \UAC \Final \Google Fiber For Communities doc P ORT A NGELES W A S H I N G T O N UTILITY ADVISORY COMMITTEE MEMO DATE: March 9, 2010 TO: UTILITY ADVISORY COMMITTEE FROM: Ernie Klimek, Water Superintendent SUBJECT: 2009 Consumer Confidence Water Quality Report Summary: The Washington State Department of Health requires that every water system provide an annual Consumer Confidence Report to its customers. The report is to contain information on the potential contaminants present in the water supply that customers receive. The attached report for the Port Angeles Water Supply has been prepared for distribution to the City's water customers. Recommendation: For information only, no action requested. Background /Analysis: In 1996 Congress passed amendments to the Safe Drinking Water Act that included a mandate from the Environmental Protection Agency (EPA) to require community water systems to provide each of their customers with a Consumer Confidence Report (CCR) every twelve months. This year's CCR, using 2009 data, will be delivered to all City of Port Angeles water customers with the May /June utility billing statements, along with a public information announcement in the local paper, and posted on the City's website. This year's CCR must be distributed by July 1, 2010. The attached CCR for calendar year 2009 has been developed in accordance with the EPA/CCR regulations by City staff. The regulations require information on the quality of the water delivered by the system, and characterization of any risks from exposure to contaminants in the drinking water in an accurate and understandable manner. The City has already provided the content of the CCR to our wholesale customers and Clallam County Public Utility District #1 as it is required to do by April 1, 2010. Attachment: 2009 Consumer Confidence Water Quality Report N \UAC\Final \UAC Memo WQ Report-2009 doe ter Customer The City of Port Angeles is pleased to provide you with our Annual Consumer Confidence'Water Quality Report for 2009. The purpose of this report is to share infor- mation with you, our customers, about the quality of your water and to convey a basic nowledge of our water system. This re- ort is a summary of the quality of water +e provided to you in 2009, gives details bout where the water comes from. and compares it to standards set by regulatory agencies. The year 2009 was Active for the Water Utility. The new Port Angeles Water Treat ment Plant (PAWTP) haas been completed and is going through acceptance testing. When fully tested and accepted the facil- ity will be transferred from the National Park Service to the city of Port Angeles. 'When online the City will be in compliance with treatment technique requirements set out by the EPA and Washington State Department of Health Office of Drinking Water. The Utility also passed the second round of Lead and Copper sampling in 2009. This testing was a follow up to prove the operation of our Orthophosphate injection system. Orthophosphate is a drinking we- ter approved product that treats the lines nd protects against the potential harmful ERE Q .ES dune 20 I 0 effects of lead and copper leaching into the water. Sampling from 60 locations has shown it is working and we continue to be in compliance with Federal lead copper drinking water standards, If you have any questions about this report or at anytime have concerns about the quality of your drinking water please visit our website at www.cityofpa.ust pwwaterU.htm or contact me by e-mail at eklinnek @oityofpa.us or phone 360.417.4855. Thank you, Ernie Klimek Water Superintendent WOM 3/WTPD 3 ***UPDATE As of February 22, 2010 the Washington State Department of Health Office of Drinking Water has ap- proved Interim Online Operations of the Port Angeles Water Treatment Plant pending final modifications. With this approval, the City of Port Angeles has now met all requirements of the State Agreed Order (2007-SAG -0O1) and is in compliance with the Safe Drinking Water Act. Ernie Whir We teetterbYPX.P.IihitiLlg.Wfflier k.2009. we conducted over 504 tests for contaminants Three hundred and eighty-three of these were r outine Co form sampling, one sample for Nitrate-N. four lone-per quarter) samples each for toter trihalomethene (TTHIVl), and haloacetiC acid (HAAS), twelve monthly samples for total organic carbon (IOC's). tweive monthly samples for fluoride, twelve monthly samples for aryptosporidiorn, sixty samples for lead end copper, and seventeen samples for new construction and lnvestigation. The r esu1ts listed or page 3 are a summerj of these tests as submitted to the DOH/Office of Drinking Water and the U.S. Environmental Protection Than you. Larry Messinger Water Treatment Lead WD M 2/WIPO 3 WATER TREATMENT Yadmext0 Exertilt.P115 In 2003 the City requested and was approved to reduce monitoring of Disinfection/Disinfectant-By-Products by the DOH by having met the sampling requirements agreed to and being below the Maximum Contaminant Level (Ma) for TTHM's. HAA(5) and TOC's Exceesleages On November 30. 2009 a coliform presence was der- tected in a routine sample. Repeat samples returned None Detected (NO). The inital test was invalidated with re-s and the initial results were determined to rep- resent sampling procedural error or non-system contami- nation. A51.4 itkngiostkil During 2009 the Utility also ran an array of testtng for Volatile Organics (VOC's), Synthetic Organics (Secs), !nor genies anc Unregulated Contaminates (UCMR2i. These teats monitored for the presence of 1.65 regulated and unregulated chemicals. All returned non detect with the exception of Barium C,003rngit).Chloride (3.2rng( L, and Sulfate (9rng/L) which were blow the State Re- porting Levels (0.1. 20.10 mgit respectively). kitOnOiAvegt*ei:'4 WgkettiVery:`, tIme iit vr n our water tap The 0,600i CidirpoteP„ Of *`;eriit?1:0s..'44iptiiiiii*:star04 Benjre Larry, ar ac (00,t„e,*10 In 00 nett, 1 *lif0 t*:#41 ficatides held bi staff and )satiettbit4 WaShingtOrk,43tit 0,00.3ifilfiept He'oittiAaki00 0nbt 166116 Wa* 11° 3 4*O'NPikrit 9.McSMER CONPIIIENCit' WAtV, ,10; 5Ani_plirte Co ndtgAN 5Arnple,pvtg ting, wtg. mclo Detected Viola- Malor Souroeq Level fort etyptosporkfium (EPA/ Monthly 00cyst/L 0 NO Naturally Occurring LIZ Nitrates at source—Et 7/27/09 ppm 10 SRL 110 tic) Run- ingii 0.1 mg orf,Septit,Femlizers Microbielogicaf Contarni- Monthly an N/A Conterni- No Contami- 11epga _tiot NA Naturally present in rents es Needed rant Pre nant Pre- ND the environment Monthly Samples (3,10 Pius sent sent 17 New Construclion investigative Total Organic Carbons I, Sample per ppm RE titil NV mono* sampTirsz (TOC's) Month ing/L required for reduced monitoring of twoeP Trinalomettiane (1 1 Sample per ugii_ 100 100 toftg,..Qt: NA Byproduct of Chlorine Quarter WO Disinfect:anis 'Process 2.611 Raloacetic Acid (HAAS) i. Sample per 441,1 60 NE ,NLIIR, NQ Byproduct of Cr:tor:no Quarter tftgef4 Disinfections Process Q Lead 04/09 mg& AL SRI 93= ttO From specific plumb- 0.015 0,002 mail ing in certaln year malt, harries Copper 04/09 AL, SRL 9115 tlp From 5 pecifit plumb- 1.3 mg/L 0.02 mai ing in oertain year nernes Ptia Radionuclide kig1 Water Sampling Conducted in 2009 I cion Leve,t1 mia:ograms per bier Fluoride Monthly mgit. 4 2 0,90 Ayg. K Chemical is teat:- fatet.i by State Asbestos I sample Arlf/i.. 7 .1 NQ Naturally Occurring Radionuclides- R228 I, sample PC/ 5 OP fi,9 Naturally Occurring Radionuclides Al- I. sample palL 1.5 NO No Naturally Occurring 1. sample ;CO., 50 NP NQ Naturally Occurring Term Dpfi nition Definition Parts pe miLlion. ut rriiIiigrerns per titer trogii;,.: ri,KM Total Trihatomethene NO Not Detected Cal Picocunes per Liter tail, 1 4.U...0. Ilitarorron Contaminant Level Goal State re fling Loei HaIoaceue Acid ISE Not Evalvatee PED.5F, Otsinfettarq/Distrfectiort BAR Maximunl Contarrirll3M Million Fibers per Liter PORT ANGELES WATER TREATMENT PLANT epckflow Protection To protect our customers from possible cross connection con- tamination to the drinking water distribution system the City of Port Angetes aggressivety Inspects and requires testing of back- flow devices on an annual basis. In the year 2009 we evaluated 986 sites with a total of 1548 hazards. We surveyed 370 new sites and added 75 new locations requiring annual inspections and testing to protect the dnnking water system. if you have any questions in regards to bacKftow requirements you may contact me at: 360.417.4886 or e-mail at rbecker @cityof pa.us Thank you Ron Becker Backflow Assembly inspector WDM3/BAT Maturation Mixer ACTIFLO Process Area Chemical Storage Port Angeles Water Treatment Plant (top) CROSS CONNECTION CONTROL Xite74tERCONMekrog WATEKOKAterrYttePbrd Source waterassessment and its llabilitv Water from the Penney Collector IS tested following the guidelines estab- lished by the DOH to detect potential f contaminants that could reasonably be expected to be found in drinking water. z; Because most of the land through which the Elwha River flows Is inside the Olympic National Park, there is limited opportunity for human contamination of the water. Contaminants that might be expected in untreated water include biological contaminants such as viruses and bacteria, inorganic contaminants such as salts and metals, pesticides A „rco. and herbicides, organic chemicats from zoo industrial or petroleum use, and radio- active materials. WyiPere contamkkam JadrioNrig Waterl Drinking water. including bottled water, may reasonably be expected to contain at least small amounts of some con. taminants. The presence of con rants does not necessarily indicate that water poses a health risk. More infor- mation about contaminants and poten- tial health effects can be obtained by calling the EPA's Safe Drinking Water Hotline (800,426.4791), This informa- tion can also be accessed at the EPA's website, www.eoa.srovisa(ewareri bot/inelkidex.html. The source of drink- ing water (both tap and bottled water) induce rivers, lakes. Weems, ponds, reservoirs. springs, and wells. As water travels over the surface of the land or through the ground, it dissolves natik rally occurring minerals and, in some cases, radioactive material, and can pick up substances resulting from the presence of animals or from human activity. Contaminants that may be present in source water include: Al Microbial contaminants, such as vi- ruses and bacteria, that may come from sewage treatment plants, septic systems, agricultural livestock opera- tions, and wildlife; 8)lnorganic contaminants, such as WATER INFOR srit o t t Lake Angeles salts and metals. which can be natu- rally occurring or result from urban stormwater runoff, industrial, or do- mestic wastewater discharges. all and gas production. mining or farming; Ci Pesticides and herbicides. which may come from a variety of sources such as agriculture, urban stormwater runoff. and residential uses; D) Organic chemical contaminants, in- cluding synthetic and volatile organic chemicals, are by-products of industrial processes and petroleum production, which can also come from gas sta- tions, urban stormwater runoff, and septic systems; E) Radioactive :contaminants, which can be naturally occurring or be the result of oil and gas production and milling activities. In order to ensure that tap water is safe to drink, EPA prescribes regulations that limit the amount of certain contaminants in the water provided by public water systems. TION pjal Precautions Some people may be more vulnerable to contaminants in drinking water than the general population. Immuno- compromised persons such as persons with cancer undergoing chemotherapy, persons who have undergone organ ransplants, people with HIV/AIDS or other immune system disorders, some elderly, and infants can be particularly at risk from infections. These people should seek advice about drinking wa- ter from their health care providers. EPA/Centers for Disease Control (CDC) guidelines on appropriate means to lessen the risk of infection by crypto- sporidium and other microbial con- taminants are available from the Safe Drinking Water Hotline 800.4264791). Wild Flowers in Grand Val „p •I Water Conservation/ Water Use Efficiency :frz pps toet, et 2:00s4 it w .qter savrg d4s fatets pfis invictif biiot t6oe(.*.:10,01 kesrtrtho es 14 r "41*.oerfillga eieri a Us t-rstkiteri;s6v11.0 Consr !u s im 490 V■f, WATER USE EFFiCIEN„Or.f to-0 irifoLOOtiorv;,01*;1440,i' Water USC qcinc Par LEAKAG ikFpRmATI4N,If O6 Lin »Ite 914 t‘w#shiri. cAtilertif,y, it, n''e OrerePCAr Avoast'dtirci in i',._ 40t9 4 1 0 0 5 MG =,TQiat Authorieci e§0§trfip0On-iri MIIkW GQfl$ 'y 5 849 MO Uriaccouitec1 for Distribution Systom Water in Miflion G.iion: 156 1G Summary for 2009 In 2009 we iiei o'cliiiribtottrirto.os of 15.6:-. afeorii,:a,' high f We 0 te 4i fOte*,:tra:dki,rltin*Ou e#:ria1,1;vttiiir ,Z4 ipd tiiotk.i604**01C; #1 :2000 i0c our 00\ i* 000,1: a fiCi*.. Psit;Itft s Pi711. Of oaftkrij..00,if in tho 2009 reportng period fo4t,a4if,:of 8.6% durin the 3yr. repos We continued our leak iucticn program at irs arid in classrooms, showed use hiStory eptiej.4 6ti. ‘rit I. Call To Order Chairman Di Guilio called the meeting to order at 3:00 p.m. II. Roll Call Members Present: Chairman Di Guilio, Max Mania, Paul Elliott, Brooke Nelson Members Absent: Orville Campbell Staff Present: Glenn Cutler, Larry Dunbar, Cate Rinehart III. Approval Of Minutes Chairman Di Guilio asked if there were any corrections to the minutes of February 9, 2010. Councilmember Mania moved to approve the minutes. Councilmember Nelson seconded the motion, which carried unanimously. IV. Discussion Items A. Utility Advisory Committee Membership Larry Dunbar, Deputy Director of Power Systems, advised that the community representative and Medic 1 representative reached the end of their four -year term and recruitment had resulted in one application for the community representative and no applications for the Medic 1 representative. B. Applicant Interview Utility Advisory Committee Special Meeting Jack Pittis Conference Room Port Angeles, WA 98362 February 23, 2010 3:00 p.m. Dean Reed interviewed for the position of community representative. Councilmember Mania moved to recommend City Council appoint the applicant to serve on the Utility Advisory Committee to represent the community. Councilmember Nelson seconded the motion, which carried unanimously. V. Next Meeting Date: March 9, 2010 VI. Adjournment: 3:20 p.m. Dan Di Guilio, Chair Cate Rinehart, Administrative Specialist N. \UAC\Final \feb 23meet.wpd