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HomeMy WebLinkAboutRESOLUTION - 40-87 - 7/14/1987 - AGRMT/WESTERN UNION TELEGRAPH CORESOLUTION NO. 40-87 AN AGREEMENT GRANTING THE WESTERN UNION TELEGRAPH COMPANY, ITS LESSEES, SUCCESSORS, AND ASSIGNS CERTAIN RIGHTS IN THE VILLAGE OF ELK GROVE VILLAGE. ILLINOIS NOW, THEREFORE, BE IT RESOLVED by the President and Board of Trustees of the Village of Elk Grove Village, Counties of Cook and DuPage, State of Illinois: Section 1: That the Village President be and is hereby authorized to sign the attached documents marked: An agreement granting the Western Union Telegraph Company, its lessees, successors, and assigns certain rights in the Village of Elk Grove Village, Illinois. a copy of which is attached hereto and made a part hereof as if fully set forth and the Village Clerk is authorized to attest said documents upon the signature of the Village President. Section 2: That this Resolution shall be in full force and effect from and after its passage and approval according to law. PASSED this APPROVED this ATTEST: Patricia S. Smith Village Clerk 14th day of 14th day of July Charles J. Zettek Village President E 1987. An Agreement Granting The Western Union Telegraph Company, Its Lessees, Successors, and Assigns Certain Rights in the Village of Elk Grove Village, Illinois Be It Resolved by the President and Board of Trustees of the Village of Elk Grove Village , Illinois as follows: Section 1. Basic Grant; Term. That The Western Union Telegraph Company, its lessees, successors, and assigns, are hereby granted the right to acquire, construct, reconstruct, operate, maintain, inspect, protect, repair, replace, retain, and use in and through the Village of Elk Grove Village , Illinois, a Telecommunication System (not including Cable Television or local exchange telephone service now existing) and such extensions thereof and additions thereto as shall hereafter be made, and to acquire, construct, maintain, inspect, protect, repair, replace, retain and use such Telecommunications Equipment for such system in, under, upon, along and across each and all of the Public Property of Elk Grove Village , Illinois, subject to the regulatory powers of the Village of Elk Grove Village Illinois and subject to the conditions and regulations hereinafter set forth. The term of this Franchise shall be for a period of ten (10) years beginning Julq 14 19 87, and extending to Julg 14 , 19 97 , and thereafter, in ten (10) year terms with the terms hereof to be reviewed and renegotiated beginning six (6) months prior to the end of a ten (10) year term. This Franchise may be terminated by sixty (60) days prior written notice by the Village of Elk Grove Village , Illinois to the Company, only upon default by the company of the provisions contained herein. -1- During said sixty (60) day period the Company shall with due diligence cure said default and, provided the Company is responding in due diligence to cure said default, this Franchise shall remain valid. Section 2. Definitions. (a) "Company" shall mean The Western Union Telegraph Company. (b) "Exchange" shall mean a geographical area for the administration of telecommunications services, established and described by the tariff of a telecommunications carrier providing local exchange telecommunications service, and consisting of one or more contiguous central offices, together with associated facilities used in providing such local exchange telecommunications service. (c) "Facilities" shall mean Telecommunications Equipment or Telecommunication System. (d) "Local Exchange Telecommunications Service" shall mean telecommunications service between points within an exchange, as defined in subsection (b) of this Section, or the provision of telecommunications service for the origination or termination of switched telecommunications services; provided that a company providing local exchange telecommunications service solicits -2- and accepts all customers within the local exchange, for local rather than long distance calls and regularly holds itself out and advertises itself to be a local exchange telecommunications service. (e) "Long Distance Telecommunications Service" shall mean telecommunications service between points in an exchange and points outside an exchange as defined in subsection (b) of this Section, or the provision of telecommunications service or termination of switched telecommunications services; provided that the company providing the long distance telecommunications service solicits and accepts all customers within the exchange for the transmission of long distance calls only and regularly holds itself out as and advertises itself to be a long distance telecommunications service only. (f) "Municipality" means the village of Elk Grove villa Illinois. (g) "Public Property" or "Property" shall mean public rights of way and any improvements thereon and therein including but not limited to paved streets, alleys, sidewalks, grass, vegetation, trees, street lights, traffic signals, water mains, sewers and facilities within the corporate limits of the Village of Elk Grove Village as presently constituted or hereafter expanded by annexation or acquisition. (h) "Telecommunications Equipment" shall mean all equipment owned, leased or subleased by the Company and shall include but not be limited to poles, wires, fiber optic cables, underground conduits, ducts, manholes and other stuctures or appurtenances in connection with the telecommunication service owned, operated or maintained by the Company. -3- (i) "Telecommunications Service" shall mean the provision or offering for rent, sale or lease, or in exchange for other value received, of the transmittal of information, by means of electromagnetic, including light, transmission with or without benefit of any closed transmission medium, including all instrumentalities, facilities, apparatus, and services (including the collection, storage, forwarding, switching, and delivery of such information) used to provide such transmission. "Telecommunications Service" does not include, however: (1) the rent, sale, or lease, or exchange for other value received, of customer premises equipment; (2) telephone or telecommunications answering services, paging services, and physical pickup and delivery incidental to the provision of information transmitted through electromagnetic, including light, transmission; (3) community antenna television service which is operated to perform for hire the service of receiving and distributing video and audio program signals by wire, cable or other means to members of the public who subscribe to such service, to the extent that such service is utilized solely for the one-way distribution of such entertainment services with no more than incidental subscriber interaction required for the selection of such entertainment service. (4) Microwave radio transmission. -4- (j) "Telecommunication System" shall mean a system consisting of cables, wires, conduits, manholes, drains, pole lines, poles, splicing boxes and other facilities and appurtances necessary to the successful operation of said communications systema together with appropriate surface location markers as shown in approved plans." Section 3. Permits. Construction and Costs. (a) Permits. The Company shall obtain all permits required by the codes and ordinances of the Municipality prior to commencement of construction, repair or excavation or within one business day of the commencement of emergency construction, repair or excavation. The Company shall not be charged the fee required by the Municipality's codes and ordinances; provided, however, that if the Company fails to obtain the required permit within the time required, it shall pay two times the required fee. The Company shall pay the fee within ten (10) working days of written notification by the Municipality. (b) Construction. (1) General. All Telecommunication Equipment, laid in, under, upon, over, along, or across streets, alleys, avenues or other Public Property shall be laid in a workmanlike manner. All Telecommunication Equipment, shall be so located, relocated and installed so as to not injure any drains, sewers, catch basins, pavement, other public improvements, equipment of other utilities, or property of another, but should any drain, sewer, catch basin, pavement, other public improvement, equipment of another utility, or property of another, be injured by such location, relocation or installation, the -5- Company shall, at its own expense, forthwith repair or cause repair to the Public Property or other property damaged. The Company shall be subject to all reasonable regulations which may now or hereafter be prescribed by general ordinance of the Municipality with respect to the use of the Public Property. (2) Grade. Prior to installing any Telecommunication Equipment, in, under, over, along, across, or upon Public Property, the Company shall obtain the approval of the grade from the Municipality which approval shall not be unreasonably withheld and shall install the Telecommunication Equipment to the grade as approved. If the Company fails to lay the Telecommunication Equipment to the approved grade, the Company shall, if necessary, move the Telecommunication Equipment and Company shall pay the entire cost of such relocation. (3) Interference with traffic. The Company shall conduct its construction, reconstruction, repair, relocation, or maintenance work in such a manner that such work will cause as little interference as possible with the pedestrian and vehicular traffic. (4) Underground Construction. (A) The above ground cables and wires of the Company existing on the date of the acceptance of this Franchise may remain above ground; provided, however, that the Municipality may require burial of the existing cables or wires; if: (i) the poles of another utility in which the Company's Facilites are located buries its cables or wires; or (ii) the Municipality develops a policy requiring that all the utilities within a specified area of the Municipality must bury its wires and written notification of such is given to the Company that it must relocate or bury its Facilities in the aforementioned specified area. In no event shall the Company be required to bury its cables or wires prior to the expiration of one year from the date of the term commencement date of this Franchise as provided in Section 1. (B) The Municipality may require that the Company use underground construction for any new construction. The Municipality may require the burial of above -ground cables or wires constructed after the date of the acceptance of this Franchise if: (i) the poles of another utility in which the Company's Facilities are located buries its cables or wires; or (ii) the Municipality develops a policy requiring that all cables and wires within a specified area of the Municipality buries its cables or wires and written notification of such is given to the Company that it must relocate or bury its Facilities in the aforementioned specified area. In no event shall the Company be required to bury its cables or wires prior to the expiration of a year from the date of construction, and in no event shall the Company, if its Facilities are attached to poles owned by others, be required to bury its cables or wires until the owners of said poles first commence to do likewise. =M (C) In the event the Company disagrees with the policy of the Municipality or feels that the order to bury is in violation of the provisions that it need not bury within one year of the acceptance of the Franchise or construction, it may request a hearing by giving written notice to the Municipality. The Municipality's City Manager or someone in like authority shall hold a hearing, that may be attended by the Company, and shall make a written finding to the corporate authorities of the Municipality. The corporate authorities shall review the written finding and make a determination as to whether the Company must bury its wires or cables. Written notification of such determination shall be given to the Company. (D) In the event the Company is required to relocate its Facilities underground, the Company must remove its poles and any other unnecessary appurtenances and Facilities. Section 4. Maintenance. (a) General. The Company, after doing any construction, repair or excavation, shall restore the surface of the ground to as good a condition as before said ground w$s disturbed by it. All Public Property disturbed by the Company shall be restored by it to as good a condition as before said Public Property thereon was disturbed by it. In the event that any Public Property shall become uneven, unsettled or otherwise require repair because of the disturbance by the Company, on or before two years from the date that the restoration of the Public Property occurred after construction, repair or excavation, the Municipality shall give written notice of such condition; provided, however, that verbal notice shall suffice in the event of an emergency. The Company shall, within five (5) days of receipt of notice from the Municipality and entirely at its own cost, cause such Public Property to be repaired or restored to a condition as good as before said Public Property was disturbed by the Company or commence the repair or restoration within five (5) days if such repair or restoration cannot be completed within five (5) days. The Company shall keep all structures and equipment which it shall construct in the Municipality's Public Property in reasonably safe condition at all times. (b) Failure to Comply; Remedy. If the Company fails to comply with the provisions of subsection (a) of this Section, the Municipality may: (1) repair or restore, or cause to be repaired or restored, the Public Property or improvement to a condition as good as the Property was in prior to the disturbance by the Company and to draw the cost of said repair or restoration from the sources set out in Section 14; and/or (2) charge the Company Twenty -Five Dollars ($25.00) per day if the condition continues unremedied after receipt of written notice by the Company until the date that the Company or the Municipality repairs or restores the Public Property. The Company shall pay the Municipality such costs and fines within thirty (30) days after billing. i= Section 5. Site Safet The Company shall maintain such barriers and danger signals during construction, relocation, repair, or renewal work performed on Public Property or adjacent thereto as will reasonably avoid damage to life, limb and property and as called for in the State of Illinois Uniform Manual of Traffic Control Devices, or the Illinois Department of Transportation Traffic Control Plans for Construction and Maintenance Projects as determined most appropriate by the Municipality, or as otherwise required by the Municipality. Section 6. Relocation. If the Municipality shall require the relocation or the lowering or raising of the grade of any Telecommunication Equipment, the Company shall commence to do so upon thirty (30) days written notice by the Municipality. The Company shall have ten (10) working days to respond after the expiration of the thirty (30) day notice period. The Company shall pay the entire cosc of the relocation or the lowering or raising of the grade of such Telecommunication Equipment. The Municipality shall provide reasonable assistance to the Company in determining alternative locations for the Telecommunication Equipment that the Municipality requires to be relocated, which assistance shall be limited to consultation with the Company. Section 7. Work by Others, Construction by Abutting Owners Alteration to Conform with Public Imorovements (a) The Municipality reserves the right to lay, and permit to be laid, sewer, gas, water, and other pipe lines or cables and conduits, and to do and permit to - 10 - be done, any underground and overhead installation or improvement that may be deemed necessary or proper by the corporate authorities of the Municipality in, across, along, over or under any Public Property occupied by the Company, and to change any curb or sidewalk or the grade of any street; provided, however, nothing herein shall relieve any other person or corporation from liability for damage to the Telecommunication Equipment of the Company. (b) In the event that the governing body of the Municipality authorizes abutting landowners to occupy space under the surface of any Public Property, such grant to an abutting landowner shall be subject to the rights herein granted to the Company. Section 8. Unified Computerized Utilitv Mapping Svstem. If the Municipality currently has, or should hereafter institute, a unified computerized utility mapping system, the Company shall participate in providing all necessary information. All data contained in the system shall be made available to the Company upon request by it for said data. Section 9. JULIE Participation. To the extent the Company is within the JULIE service area, the Company shall, either directly or through another company from which it leases or subleases Telecommunication Equipment or facilities, become a member of JULIE or its successors. Section 10. Plans and Coordination. (a) Construction, Excavation and Expansion Plans. On or before December 31 and June 30 of each year, the Company shall provide the Municipality with a schedule of all planned construction and excavation work, excepting emergency work, and planned expansion of the Telecommunication System within the Municipality or within unincorporated areas within one and one-half (1 1/2) miles of the Municipality's corporate limits for the next six (6) months, which schedule shall be used by the Municipality only for the purpose of planning and organizing growth and development of the Municipality. The Company shall, at the written request of the Municipality reschedule any such work to coordinate with any work to be done by the Municipality or shall reroute its construction work to a route acceptable to the Municipality. The Company's schedule shall be forwarded by it to the Municipality. Notwithstanding the foregoing, the Company shall not be denied a permit solely for failure to include proposed construction within the required semi-annual plan. (b) Coordinating Infrastructure Rehabilitation. The Municipality shall provide to the Company preliminary plans for rehabilitation, repair or reconstruction of Public Property work on or before January 1, and shall confirm plans on or before May 1 of each year. The Company shall advance any work on its Telecommunication System planned for the three year, period following such work so that it will be performed prior to any such work on Public Property. Further, the Company shall adjust to grade all appurtenances related to their Telecommunication System in the street at the time the street rehabilitation, repair or reconstrcution occurs. - 12 - (c) As Built Plans. The Company shall furnish to the Municipality a copy of all plans for all construction, reconstruction, repair, relocation or other work on or in the Telecommunication System as built by the Company. The Company need not provide as built plans for normal maintenance work or emergency repairs except where said work or repair results in permanent relocation. In that event the Company shall have thirty (30) days to provide the Municipality with revised plans. Section 11. Maps, Records, Reports and Documents (a) Original Records. The Company shall provide the Municipality an updated copy of the Company's Facilities located in the Municipality's Public Property at the same time the Company provides its construction schedule as required under Section 10. All original maps, records and documents pertaining to this Franchise shall be ma'_ntained and made available for inspection at the Company's regional Outside Plant Manager's office in Chicago, Illinois, during reasonable business hours for the benefit of the municipality or its officers, agents or employees. (b) Maintenance of Records. The Company shall keep complete and accurate maps and records on its operations under and in connection with this Franchise. The Municipality may require the keeping of additional records or maps which are reasonably necessary for purposes of identifying, accounting for, and reporting, changes in the Telecommunication System for purposes of Section 15 of this Franchise. The Company shall keep its maps and records in such a way that separate and specific identification of cables, fiber optic cables or other types of Telecommunication Equipment that constitute the Company's Telecommunication System are available by facility type within the Franchise area. - 13 - (c) Additional Records. The Municipality shall have the power to require that the Company report to the Municipality such information relating to the Company as the Municipality may consider useful in the identifying, accounting for, and reporting of Telecommunication System changes for the purposes of Section 15 of this Franchise. The Municipality shall have the right to establish forms for all reports, determine the time for reports and the frequency with which any reports are to be made, and require that any reports be made under oath. The requests for additional records shall be reasonable. (d) Examination and Audit of Records. The Municipality shall have the right, at reasonable times and for reasonable purposes, to examine, audit, review, and or obtain copies of the documents, maps, plans and other records of the Company pertaining to this Franchise. The Company shall fully cooperate in making available its records and otherwise assisting in these activities. (e) Inquiries. The Municipality may, at any time, make inquiries pertaining to this Franchise relating to the Company's operation of a Telecommunications Service within the Municipality. The Company shall respond to such inquiries within five (5) working days of an inquiry. (f) Annual Report. Annually, on or before the 14th day of July of each year during the term of this Franchise, the Company shall file with the Municipality a corrected list of Facilities, and an up-to-date map of the Telecommunication System, showing all Facilities newly installed, extended or removed during the previous calendar year, as well as those currently in use. - 14 - (g) Filings. Copies of all petitions, applications, communications and reports subaitted by the Company to the Federal Communications Commission, the Illinois Commerce Commission or any other regulatory agency, with respect to any matters affecting the Facilities located within the Municipality's Public Property and/or with respect to compensation due under this Franchise, shall be provided to the Municipality, or its designee, when such documents are filed with the agency. Section 12. Rules and Regulations. After reasonable notice and hearing, the corporate authorities of the Municipality may establish such rules and regulations as may be in the public interest regarding the construction and operation of the Company's Telecommunication System within the Municipality. Section 13. Franchise Violations. (a) Under evidence being received by the Municipality that violations of this Franchise are occurring, or have occurred, the Municipality shall at once cause an investigation to be made. If the Municipality finds that such a violation exists or has occurred, the Municipality shall take appropriate steps to secure compliance with the terms of this Franchise. (b) The Municipality shall notify the Company in writing that violations have occurred. The corporate authorities of the Municipality may impose those fines or other sanctions allowed by this Franchise after notice and hearing. Any orders issued by the corporate authorities of the Municipality shall be complied within five (5) working days of the date of the order. - 15 - Section 14. Liability and Indemnification. (a) The Company shall, at its own expense, defend all suits and any subrogated actions that may be brought against the Municipality on account of or in connection with the alleged violation by the Company of any of the obligations hereby imposed upon or assumed by it, or by reason of or in connection with any damage to life, limb or property as a result of the existence, construction, repair, inspection or disrepair of any Telecommunication Equipment under its ownership or control, or from the construction, repair, inspection or disrepair of Public Property in connection with any Telecommunication Equipment under its ownership or control. The Company shall save and keep harmless the Municipality from any and all injury, damages, claim, demand, suit, judgments, costs and expenses of every kind, that may arise by reason thereof; and whether such acts or omissions are those of the Company, whether or not any such act or omission is authorized, allowed or prohibited by this Franchise, provided that timely notice in writing shall be given to said Company of any claim or suit against the Municipality which, by the terms hereof, the said Company shall be obligated to defend; and provided, further, that the Municipality shall furnish to the Company all information in its possession relating to said claim or suit, and cooperate with said Company in the defense of said claim or suit. The Municipality may, if it so desires, assist in defending any such claim or suit and the Company shall not be required to reimburse the Municipality for expenses incurred by it in case of the election to so assist. If, however, the Company refuses to defend the Municipality when it is so obligated, the Company shall bear any costs incurred by the Municipality in such defense. -16- (b) Except as specifically set forth in subsection (a) above, the Company shall pay and by its acceptance of this Franchise shall be deemed to have specifically agreed that it will pay all reasonable expenses incurred by the Municipality in defending itself with regard to all claims mentioned in subsection (a) above. These expenses shall include all out-of-pocket expenses, such as attorneys' fees, and shall also include the reasonable value to any services rendered by any employee of the Municipality. (c) The Company shall maintain at its own expense, and by its acceptance of this Franchise shall be deemed to have specifically agreed that it will maintain throughout the term of this Franchise, general comprehensive liability insurance insuring the Municipality and the Company with regard to any claims mentioned in subsection (a) above in the minimum amounts of: (1) Five Million Dollars ($5,000,000) for bodily injury or death to any one person, within the limit, however, of ten million dollars ($10,000,000) for bodily injury or death resulting from any one accident; (2) Two Million Dollars ($2,000,000) for property damage, resulting from one accident. -17- (3) Two Million Dollars ($2>0 00,000) for automobile liability resulting from any one occurrence• struction> adequate coverage to meet f con Act' any Perio d os gtruetural Work (4) During Illinois liability under the tutory 1'mits and Insurance within es hundted Thousand (5) WorkeTs Come ensation f not less than One EmF1°vers Liability Insurance o Dollars ($100,000)• shall be 4laced with ae required by this Sectionn the state of Illinois by of insuran mite insurance Policy policies int in throughout the All P re qualified to c..Paoies which a e and which of %IV0 as of Insurance 1 site category for the Illinois Director ,&'% a Financia ...Vides of A and policy which F rat 'A po insurance P Dollars shall tezm a Geperal t ComFanY d ($250,000) the A.M. 5e at Thousan of Two Hundred fifty daterm'ried by a deductible 14 uirements of Chis section excess to meet the se4 and by its acceFtance o be accepted in at its o rt expense, d that it will mainta agree The ComFanY shall to have erfDrmance, sFeci¢ically (d) faithful P yranchi$e, shall be e' a deemed the term of this franchis Chis maintain throughout -18- license and franchise bond or penal bond running to the Municipality with at least one good and sufficient surety or a letter of credit or a cash escrow to be approved by the Municipality in an amount equal to the greater of $2,500.00 or one (1) dollar ($1.00) per linear foot of cable occupying the Municipality's Public Property which sum shall be a penal amount and which shall be conditioned that the Company shall well and truly observe, fulfill, and perform each term and condition of this Franchise and that in case of any breach of condition of the bond the amount thereof shall be recoverable from the principal and sureties or issues thereof by the Municipality for all fines, damages and costs, whether direct or indirect, resulting from the failure of the Company to well and faithfully observe and perform any provision of this Franchise. Such fines, damages and costs shall be deemed to include, as a minimum and without limitation any expenses as may be incurred by the Municipality as a result of the Company's failure to comply with the obligations imposed by this Franchise including, but not limited to, attorneys' fees and costs if any action or proceeding, the cost of enforcing provisions of this Franchise, the cost of refranchising, and the cost of removal or abandonment of any property, or other costs which may be in default, which costs shall be conclusively presumed to amount to a sum equal to at least the penal sum of such bond, and fines in an amount to be determined by the Municipality, after notice and hearing for failure to comply with provisions of this Franchise as described in Sections 1 and 13 of this Franchise. The Municipality shall have no obligation to devote the proceeds of such bond to the completion, connection, operation or removal of the Company's Telecommunication System, all of which shall -19- remain the obligation of the Company. The Municipality's right to recover under the bond shall be in addition to any other rights retained by the Municipality under this Franchise and other applicable law. The Municipality shall inform the Company and its surety or sureties of the imposition of the costa and fines in writing. Said costs and fines shall be paid by the surety within five (5) working days of the receipt of the notice. Any withdraw of funds from either the bond, letter of credit or cash escrow under the provisions of this subsection shall be restored to the required amount of the greater of $2,500.00 or one (1) dollar ($1.00) per linear foot of cable occupying the Municipality's Public Property by the Company within fourteen (14) working days after written notice by the Municipality that it has utilized the protections afforded to it under the provisions of this subsection. (e) In addition to the requirements of subsection (d) above, the Company shall maintain at its own expense, and by its acceptance of this Franchise be deemed to have agreed that it will maintain on deposit with the Municipality throughout the term of this Franchise a cash deposit in the amount of Five Thousand Dollars ($5,000.00). The cash deposit shall be made directly to the Municipality. The cash deposit shall be conditioned in the same manner as the bond hereinabove required and may be drawn on by the Municipality to compensate itself for restoring Public Property when the Company fails to comply with its obligation to so restore Public Property, and has failed to respond within seven (7) days of prior written notice of such failure to comply with its obligations to so restore Public Property. Upon response to said written notice the Company shall have seven (7) working days to cure the -20- restoration requirement(s) of the Municipality. Such cash deposit shall be restored to its full amount by the Company within fourteen (14) working days after written notice by the Municipality that it has drawn upon the cash deposit by depositing with the Municipality the amount draw by the Municipality. The rights reserved to the Municipality with respect to the cash deposit, are in addition to all other rights of the Municipality, whether reserved by this Franchise or authorized by law, and no action, proceeding or exercise of a right with respect to such cash deposit shall affect any other right the Municipality may have. (f) The Company shall maintain at its ow expense, and by its acceptance of this Franchise, shall be deemed to have specifically agreed that it will maintain throughout the construction of any Facilities on or in the Public Property of the Municipality a construction bond with at least one good and sufficient surety or a letter of credit or a cash escrow to be approved by the Municipality in the estimated amount of construction of the Facilities located on or in the Public Property of the Municipality and which shall be conditioned that the Company shall well and truly observe, fulfill, and perform each condition of this Franchise during the construction of Facilities on or in the Public Property of the Municipality and that the Company shall perform and complete said construction on or in the Public Property to the satisfaction of the Municipality, and that in the event of any breach of this Franchise or the failure to perform or complete the construction on or in the Public Property to the satisfaction of the Municipality the amount thereof shall be recoverable from the principals or sureties thereof or may be draw from the letter of credit or cash escrow for all fines, damages or costs whether direct or indirect, resulting from the -21- failure of the Company to well and faithfully observe or perform any provisions of this Franchise or complete the construction of Facilities on or in the Public Property of the Municipality. Such fines, damages and costs shall be deemed to include at a minimum and without limitation any expenses as may be incurred by the Municipality as a result of the Company's failure to comply with the obligations imposed by this Franchise or failure to perform or complete the construction of Facilities on or in the Public Property of the Municipality to the satisfaction of the Municipality, including but not limited to, attorney's fees, the cost of construction or completion of construction, restoration of property, the removal of Facilities, or other costs which may be in default, which costs shall be conclusively presumed to amount to a sum equal to at least the amount of such bond, letter of credit or cash escrow, and fines in an amount to be determined by the Municipality. The fines shall be imposed only after notice and hearing for failure to comply with the provisions of this Franchise or to perform or complete construction of Facilities on or in the Public Property of the Municipality to the satisfaction of the Municipality. The Company shall have the same notice provisions and time to cure protections as stated under Sections 1 and 13 of this Franchise. The Municipality shall have no obligation to devote the proceeds of the bond, letter of credit or cash escrow to the completion, connection, operation or removal of the Company's Telecommunication System, all of which shall remain the obligation of the Company. The Municipality's right to recover under the bond letter of credit or cash escrow shall be in addition to any other rights retained by the Municipality under this Franchise and other applicable law. The Municipality shall inform the Company and its surety, holder of the letter of credit or escrowee of the imposition of costs and fines in writing. Said costs and fines shall be paid within five (5) working days of receipt of the notice. - 22- The bond, letter of credit or cash escrow shall be released by the Municipality by written notice to the Municipality upon completion of construction of the Facilities to the satisfaction of the Municipality. (g) All insurance policies, bonds, escrows and letters of credit required by this Section shall contain a provision requiring at least thirty'(30) days written notice to both the Municipality and the Company of any cancellation, termination, or other expiration and shall provide that no such cancellation, termination or expiration shall be effective prior to such notice. Every such policy, bond, escrow and letter of credit must have the approval of the Municipality. Copies of all bonds, escrows or letters of credit, along with written evidence ofpaymentby the Company of required premiums or fees shall be filed and maintained with the Municipal Clerk. Should the Municipality desire a copy of any insurance policies required by this Franchise the Company shall, within ten (10) working days of receipt of a written request from the Municipality, furnish the Municipality a copy of any requested insurance policy required by this Franchise, provided said insurance policy is in the Company's possession or attainable from the Company's insurance carrier(s). (h) If the Company proposes to secure a new escrow, bond or letter of credit instead of renewing an existing escrow, bond or letter of credit, the Company at least thirty (30) days prior to the expiration date of any existing escrow, bond or letter of credit, shall submit to the Municipal Attorney and Clerk of the Municipality a copy of the proposed new escrow, bond or letter of credit, and such proposed new escrow, bond or letter of credit shall become effective only upon the expiration date of such expiring escrow, bond or letter of credit if the Municipal Attorney and Clerk of the Municipality have approved the terms and coverage of the said proposed new escrow, bond or letter of credit. The Company shall comply with all applicable provisions of this Section as to any such new escrow, bond or letter of credit. - 23 - Section 15. Franchise Fee. (a) The Company, where it owns its own conduits or poles, shall pay the Municipality an annual fee of $2.50 per cable per linear foot of Public Property occupied within the Municipality. The fee shall be paid semi-annually on or before December 31 and June 30 based on the footage of operating cable shown on plans and maps submitted as required under Section 10 of this Franchise. (b) The Company, where it leases conduits or poles owned or maintained by others shall pay the Municipality an annual fee of $0.75 per cable per linear foot of Public Property occupied within the Municipality. The fee shall be paid semi-annually on or before December 31 and June 30 based on the footage of operating cable shown on plans and maps .submitted as required under Section 10 of this Franchise. (c) The Company, where it utilizes Public Property pursuant to this Franchise, shall, in addition to items (a) and (b) above, pay the Municipality a semi-annual administrative fee of $2,000.00 which amount shall be paid semi-anually on or before December 31 and June 30 of each year. Section 16. Breach. Ia case Company shall fail or neglect to comply with any or all of the provisions of this Franchise (unless by valid order of a court of competent jurisdiction said Company is otherwise directed or unless the compliance by Company with such provision is prohibited or adjudged unlawful by a valid order of a court of competent jurisdiction), the Municipality reserves the right to repeal this -24- Franchise or rescind this contract, and forfeit the rights hereby created or sought to be created, provided that no such repeal recision or forfeiture shall exist or be claimed because of failure or neglect, until written notice of such failure or neglect so claimed shall have been given to Company, and a reasonable opportunity afforded it to comply with the provisions hereof or to prove that such compliance already exists. Repeated violation of this Franchise may be cause for repeal or recission of this Franchise. Further, the cancellation provisions of Section 1 shall not apply to this Section. Section 17. Removal of Telecommunications Equipment. The Company shall cease operations within the Municipality immediately upon recission, repeal or cancellation of this Franchise. Within thirty (30) working_ days of a recission, repeal or cancellation of this Franchise, the Company shall remove all Telecommunications Equipment owned, leased or otherwise controlled by it and shall return all Public Property to as good a condition as prior to its removal. In the event the Company feels that thirty (30) days is insufficient time to remove its Telecommunications Equipment it may request an extension of thirty (30) days in writing and shall cite sufficient reasons for the extension. The Municipality shall grant the extension upon showing of sufficient reasons for the extension. The Company may request additional extensions but the Municipality may refuse extensions past ninety (90) days whether or not the Company has sufficient reasons for the continued extensions. -25- Section 18. Severability. In the event that a court of competent jurisdiction shall adjudge any provision or provisions hereof invalid or illegal, or direct a change by the Company in any matter or thing herein contained, such invalidity or illegality or change shall in no way affect the remaining provisions of this ordinance or their validity or legality, and this Franchise in all other respects shall continue in full force and effect, as if said provision or provisions had not been so adjudged invalid or illegal or such change directed, or shall, at the Municipality's option, cause a termination of the Franchise. Section 19. Prior Franchises Repealed. All grants, franchises, agreements, franchises -in -fact, rights, licenses, and privileges heretofore made or granted by the Municipality by ordinance or otherwise to the Company and all rights of the Company thereunder made by the Municipality to others from which the Company may have purchased any part of its Telecommunications Equipment, are hereby revoked and repealed, it being the intention that this ordinance shall contain all grants, franchises, agreements, rights, licenses, and privileges of the Company with respect to its Facilities on or in Public Property in the Municipality and all obligations of the Company in connection therewith. -26- Section 20. Successors. (a) Whenever the word "Company" or the words "Grantee" or "Franchisee" are used in this Franchise, they shall be construed to mean The Western Union Telegraph Company, its lessees, successors and assigns, and this Ordinance shall be binding upon and inure to the benefit of the Company, its lessees, successors and assigns, where such assignment is made pursuant to subsection (b) of this Section. (b) This Franchise shall not be assignable without the express consent of the corporate authorities of the Municipality; such consent to be evidenced by an ordinance that fully recites the terms and conditions, if any, upon which such consent is given. Any such consent shall not be unreasonably withheld upon demonstration that the proposed assignee has equal or better ability to operate and maintain the Telecommunication System. Section 21. Notification of Contractual Arrangements. (a) The Company shall notify the Municipality within five (5) working days in writing when it enters into a contractual relationship whereby the Company sells or leases its Telecommunications Equipment located in the Municipality's Public Property to another person or entity. (b) From the date of execution of this Franchise, the Company shall notify the Municipality within five (5) working days in writing when it enters into a contractual relationship or agreement to dedicate part or all of the Telecommunication System located in the Municipality's Public Property to another telecommunication carrier or provider of Telecommunications Service. The Company shall be obligated to disclose the name of who that telecommunica- tion carrier or Telecommunications Service provider is. -27- (c) Any agreement or contractual relationship between the Company and another telecommunication carrier or provider of Telecommunications Service to dedicate part or all of the Telecommunication System located in the Municipality's Public Property made prior to the execution of this Franchise shall have certain grandfathered rights and privileges in that said agreements or contractual relationships, that have non disclosure provisions in them that do not permit the Company to identify to the Municipality the name of the telecommunication carrier or provider of Telecommunications Service, shall not require notification to the Municipality as set forth in subsection (b) above. The Municipality shall have the right to request in writing the name of said telecommunication carrier or provider of Telecommunications Service and the Company, upon receipt of this request, shall have the obligation to make written request to the telecommunication carrier or provider of Telecommunications Service for permission to disclose its name to the Municipality. The telecommunication carrier or Telecommunications Service provider as herein described shall have the right to deny permission to the Company and if such refusal is made the Company shall seek to obtain written notification of refusal from the telecommunication carrier or provider of Telecommunications Service and, without indentifying the name of the telecommunication carrier or Telecommunications Service provider, the Company shall supply to the Municipality all such supporting documentation that will verify the fact that refusal had been received by the Company. -28- Section 22. Vacation of Public Property. So long as the Company exercises the rights granted to it hereunder and so long as the Municipality shall receive the considerations therefore as recited in this Franchise, the Municipality will not, by ordinance or otherwise, vacate any Public Property in which the Company has its Telecommunications Equipment installed without reserving the following rights: the Company, its successors and assigns, are granted the right to construct, reconstruct, add to, remove, operate and maintain a Telecommunication System consisting of Telecommunications Equipment as the Company may from time to time require together with the right to access to the same in aforesaid described vacated Public Property all to be provided in sufficient width to provide access and accessibility to the Company's Telecommunications Equipment. Section 23. Delivery of Notices. Any notices required or permitted hereunder shall be in writing and shall be delivered via certified mail, return receipt requested, addressed to the parties as follows unless otherwise indicated in the future: If to the Municipality: C. A. Willis, Village Manager 901 Wellington Ave. Elk Grove Village Illinois 60007 If to the Company: western Union Telegraph Company One Lake Street, Upper Saddle River, N. J. 07458 ATTN: R. P. Brogi provided, however, that in the case of an emergency, notices may be given verbally to the above named. Notice shall be deemed given on date of mailing. -29- Section 24. Effective Date. This Franchise shall be in full force and effect upon receipt, by the Municipal Clerk, of the Company's written and unconditional acceptance of all the provisions of this Franchise executed by its proper officers thereunto duly authorized, under the corporate seal of said Company, and attested to by its Secretary or Assistant Secretary. Upon acceptance of this Franchise the ten (10) year term commencement date as approved and provided for under Section 1 shall be established by inserting the appropriate dates in Section 1 of this document. Section 25. Certified Copy. That the Municipal Clerk is directed to send a certified copy to Mr. R. P. Brogi, Western Union Telegraph Company, One Lake Street Upper Saddle River, N. J. 07458. RESOLUTION No. 40-87 PASSED: July 14, 1987 APPROVED AS TO FORM: George B. Knickerbocker Village Attorney -30- APPROVED: (harTac .T_ 7.pt-tek President ATTEST: Patricia S. Smith Village Clerk