Title
Pole Attachment Agreement (B)
Explanation
Historically BellSouth and GRU have "rented" pole space from each other to provide service within GRU's electric service territory. GRU owns the majority of the poles that are "rented". This practice has significantly reduced BellSouth's need to place duplicate infrastructure along streets and roads as well as on private property. The use of the GRU and BellSouth physical plant is established and governed by what is commonly called a "Pole Attachment Agreement". Such agreements must be renewed and updated periodically to reflect changes in technology, construction practice, as well as owning and operating costs. A new pole attachment agreement has been negotiated with BellSouth which allows GRU to be more explicit and definitive in promoting overhead to underground construction projects, to be more effective in ensuring that old pole stubs are removed in a timely manner, and to earn a more appropriate return on its pole plant investment.
Recommendations
The City Commission authorize the General Manager for Utilities to execute a new Pole Attachment Agreement with BellSouth Telecommunications, Inc., subject to approval of the City Attorney as to form and legality.
Fiscal Note
The proposed pole attachment agreement will result in a recurring annual revenue to the utility. This revenue is projected to be approximately $155,000 in FY 2002.
Drafter
Prepared by: David E. Beaulieu, Assistant General Manager for Energy Delivery
Submitted by: Michael L. Kurtz, General Manager