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CONTRACT K-1415-140: A CONTRACT BY AND BETWEEN THE CITY OF NORMAN, OKLAHOMA, AND CHICKASAW TELECOMMUNICATIONS SERVICES, INC., (CTSI) TO PROVIDE FOR PAYMENT OF A THREE PERCENT (3%) FEE IN LIEU OF FRANCHISE FEE FOR ANY REVENUE GENERATED AS A RESULT OF THE USE OF A FIBER OPTIC CONDUIT CONSTRUCTED BETWEEN THE NORMAN REGIONAL HEALTH SYSTEMS (NRHS) FACILITY AT 901 NORTH PORTER AVENUE AND THE NRHS FACILITY AT 3400 WEST TECUMSEH ROAD FOR A PERIOD OF FIVE YEARS.
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BACKGROUND: On June 9, 2009, the Public Works Department received an application from Norman Regional Health System (NRHS) for the installation of fiber optics conduit connecting NRHS's Main Campus at Porter Avenue and Robinson Street to the NRHS's West Campus at 36th Avenue NW and Tecumseh Road. Chickasaw Telecommunications Services, Inc. (CTSI) proposed to install the fiber optics conduit on behalf of NRHS. The Application set forth the terms and conditions of the permit and provides the location of the installation.
Simultaneous to CTSI's installation of the fiber serving NRHS, CTSI applied to install conduit for later use. This conduit would be in place if, in the future, additional capacity may be needed or CTSI has a use for the conduit for a commercial purpose.
The Public Works Department and other appropriate departments reviewed and approved the plans when they were submitted in 2009. In addition, the Oklahoma Department of Transportation and the Burlington Northern Santa Fe Railroad approved permits for crossing their rights-of-way.
Normally, the Public Works Department accepts, reviews, and approves these applications. However, due to the magnitude of this project, City Staff asked Council to approve the permits in 2009. On July 14, 2009, City Council approved Contract K-0910-43 between the City of Norman and CTSI for the installation of the conduit for fiber. It provided that if CTSI were to enter the conduit with fiber, or leases, rents or sells the capacity for a...
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