Description: AGENDAHED.JPG

Item No:                    4.C.3.

 

Meeting Date:           May 14, 2012

 

From:                          Jim Lemberg – Manager, Communications Utility

 

Subject:                      Resolution authorizing a Fiber Lease Agreement with Orlando Telephone Company, Inc.

 

 


Staff Recommendation:

Staff recommends approval of a Fiber Lease Agreement with Orlando Telephone Company, Inc. under which the City’s Communications Utility will lease optical fibers from Orlando Telephone.

 

Analysis:

At its March 12, 2012 meeting, Commission approved execution of a contract under which the City’s Communications Utility will provide communications services to Lake County Schools.  To ensure we serve Sawgrass Bay Elementary School which is located just east of US Highway 27 south of Clermont, the City of Leesburg (COL) would like to utilize the fiber connection provided by Orlando Telephone Company Inc., as specified in the lease agreement.  The original construction project costs included $200,000 for the Communications utility to construct the fiber, but COL will save approximately $75,000 by leasing the fiber from Orlando Telephone Company Inc.  The costs of the lease will be amortized over the 20 year term of the lease.  Once the construction estimates are finalized an amended Exhibit A stating the exact dollar amount of City’s lease fee will be brought to Commission for approval and incorporation into the contract. 

 

Options:

1.  Approve the resolution, or

2.  Such alternative action as the Commission may deem appropriate.

 

Fiscal Impact: 

To City’s lease is confidently estimated to be approximately $125,000 over 20 years, which will be included into the FY 12-13, but at a yearly amount of $6,250.  The Lake County School Board project budget of $732,784 (included in the 2nd quarter budget adjustments which are also on this agenda) will be decreased to reflect this change. 

 

Submission Date and Time:    5/10/2012 2:57 PM____

Department: _IT/Communications______

Prepared by:  __JIM LEMBERG______                     

Attachments:         Yes__X__   No ______

Advertised:   ____Not Required ___X___                     

Dates:   __________________________                     

Attorney Review :       Yes_X__  No ____

                                                

_________________________________           

Revised 6/10/04

 

Reviewed by: Dept. Head ________

 

Finance  Dept. __________________                                     

                              

Deputy C.M. ___________________                                                                         

Submitted by:

City Manager ___________________

 

Account No. _045-5023-539-4410___

 

Project No. ___________________

 

WF No. ______________________

 

Budget  ______________________

 

Available _____________________


 

RESOLUTION NO._______________

 

 

RESOLUTION OF THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE A FIBER LEASE AGREEMENT WITH ORLANDO TELEPHONE COMPANY, INC. FOR THE LEASE OF OPTICAL FIBERS; AND PROVIDING AN EFFECTIVE DATE.

 

 

 

BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA:

 

            THAT the Mayor and City Clerk are hereby authorized to execute a Fiber Lease Agreement with ORLANDO TELEPHONE COMPANY, INC. whose address is 4558 SW 35th Street, Orlando, FL  32811, for the lease of optical fibers.

 

             THAT this resolution shall become effective immediately.

 

PASSED AND ADOPTED by the City Commission of the City of Leesburg, Florida, at a regular meeting held the fourteenth day of May 2012.

 

 

 

                                                                            __________________________

                                                                             Mayor

 

ATTEST:

 

 

___________________________________

City Clerk