HomeMy Public PortalAbout2022.020 (02-01-22) RESOLUTION NO. 2022.020
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LYNWOOD
AUTHORIZING THE MAYOR OR DESIGNEE TO ENTER INTO AND
SIGN A DEVELOPMENT AGREEMENT WITH SIFI NETWORKS TO
BUILD A CITYWIDE FIBER OPTIC NETWORK
WHEREAS, on December 14, 2021, the City Council discussed the
specifications of the SiFi Networks implementation and made further considerations of
the impact to the City's streets as well as the collection of franchise fees that will be
available to the City; and
WHEREAS, on July 6, 2021, the City Council authorized the Mayor or designee
to negotiate a development agreement with SiFi Networks to build a citywide fiber optic
network. Additionally, the City Council requested a cooperative agreement between the
Lynwood Unified School District and City to ensure we work together to provide lasting
benefits for students, residents, and businesses; and
WHEREAS, after the Council Meeting on July 6th, 2021, staff in conjunction with
the City Attorney's office had multiple rounds of communications with SiFi Networks
jockeying for best possible terms for the City through the Development Agreement and
as of last month, the terms were not favorable to the City and staff could not fully
support the project but last week after continued negotiations and back-and-forth of
redlined versions of the Development Agreement, SiFi Networks made modifications
with consideration of the issues the City raised specific to liability, future revenues, and
project timeline; and
WHEREAS, the purpose of this item is to get Council's final decision to approve
or deny the Development Agreement with SiFi Networks to buildout a citywide fiber
optic network within the City of Lynwood; and
WHEREAS, the potential benefits of this item to bring fiber optics to every home
and business is significant allowing synchronous gigabit speeds for prices anticipated to
be lower than the competition and this would be the next generation of technology to
augment the 30+ year old coaxial cable now provided by Spectrum and will offer
competition by new service providers; and
WHEREAS, staffs main concern of this item was the ability to collect franchise
fees from directly from SiFi Networks and wording on the development agreement now
states that the City will have to work with Service Providers with respect to Federal,
State, or City required fees or taxes to be invoiced monthly by each Service Provider as
a separate line item to help ensure there will be some benefit to the City; and
WHEREAS, micro-trenching up to a depth of 14 inches will take place on all City
streets and require access of up to two shelters approximately 1,000 square feet in size
subject to a separate lease; and
WHEREAS, Council support will be needed throughout completion of the project
which will take up to four years to complete and the term of the agreement is for 30
years with the option of one additional 30 year period; and
WHEREAS, city staff worked closely with the City Attorney's Office, the Public
Works Department, and SiFi Networks to finalize the development agreement and
specifications and minor adjustment to the development agreement and the
specifications may be required that will be approved as to form by the City Attorney's
office; and
WHEREAS, the Lynwood Unified School District is in support of this project to
connect schools and negotiate discounted pricing for all of its K-12 students and worked
with city staff to prepare a cooperative agreement between the City and the District; and
WHEREAS, the COVID-19 pandemic demonstrated the importance of the
internet with a need for fast reliable speeds in order to work and school from home and
SiFi Networks can build a state-of-the-art fiber optic network throughout Lynwood that
would be funded, built, owned, and operated by SiFi Networks and enable internet
service providers to deliver gigabit internet, TV and phone to all residents and
businesses; and
WHEREAS, SiFi Networks is currently deploying fiber-to-the-home in Placentia,
Simi Valley, Fullerton, Lancaster, Palmdale, and working on about 25 more out of state
that is funded by the Smart City Infrastructure Fund, a global investment fund in the
Netherlands.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LYNWOOD DOES
HEREBY RESOLVE AND DETERMINE AS FOLLOWS:
Section 1. That the City Council of the City of Lynwood approves and
authorizes the Mayor or designee sign and enter into a development agreement with
SiFi Networks, approved as to form by the City Attorney, to build a citywide fiber optic
network.
Section 2. This resolution shall go into effect immediately upon its adoption.
PASSED, APPROVED and ADOPTED this 1st day of February, 2022.
1
Jorge . _ , . .yo
2
ATTEST:
Maria Quinonez, ' nie Her dez,
City Clerk City Maner
APPROVED AS TO FORM: APPROVED AS TO CONTENT:
Noe a ia, Peter Han,
Cit Att rney Director of Technology
Services
3
STATE OF CALIFORNIA )
) §
COUNTY OF LOS ANGELES )
I, the undersigned, City Clerk of the City of Lynwood, do hereby certify that the
above and foregoing resolution was duly adopted by the City Council of said City at its
regular meeting thereof held in the City Hall of the City on the 1st day of February, 2022
and passed by the following vote:
AYES: COUNCIL MEMBERS FLORES, SANTANA, SOTO, MAYOR PRO TEM
SOLACHE AND MAYOR CASANOVA
NOES: NONE
ABSTAIN: NONE
ABSENT: NONE
Lttha, ..---
Maria Quinonez,
City Clerk 410
STATE OF CALIFORNIA )
) §
COUNTY OF LOS ANGELES )
I, the undersigned City Clerk of the City of Lynwood, and Clerk of the City
Council of said City, do hereby certify that the above and foregoing is a full, true and
correct copy of Resolution No. 2022.020 on file in my office and that said resolution
was adopted on the date and by the vote therein stated. Dated this 1st day of February,
2022.
,1
Maria Quinonez,
City Clerk
4