Explanation
BACKGROUND: This legislation authorizes the Director of Public Utilities to execute a planned modification of an existing agreement that originated with Ordinance # 0793-2007 with Columbus Southern Power Company, currently called the Ohio Power Company d/b/a AEP Ohio. The City of Columbus operates an electric system that provides various electric, lighting, and communications services in Franklin County. The electric infrastructure includes over 55,000 utility poles that are owned by the City Electric department. Most City of Columbus owned poles are available for use by other electric and communications providers. When other entities choose to connect their facilities to a pole owned by the City, they are obligated to pay rental for the space that they occupy on the pole.
There are three primary pole owners in Columbus, namely AEP Ohio, AT&T and the City of Columbus. The growth of all three entities has resulted in our systems becoming completely and heavily intermingled. New circuits with new routes built, old ones retired, customers switching suppliers, new areas expanded to, new equipment and technologies, etc. has involved untold numbers of poles changing ownership. And the attachments to those poles are constantly changing.
The City has a contractual obligation with AEP Ohio to participate in a pole mapping and attachment inventory that will identify the owner and attachments on every pole in the Franklin County area every five years.
Amount of additional funds to be expended: The amount of additional funds needed for the first Franklin County inventory/audit, modification #1 is $65,000.00. The total cost of the original contract and this modification #1contract is $65,000.00.
Reasons additional goods/services could not be foreseen: This planned modification to provide funding for services needed for the pole audit which must be done every five years. This is the first inventory/audit for Franklin County.
Reasons other procurement processes are not used: The existing contract is based upon an agreement originally made between the City of Columbus and Columbus Southern Power, now called the Ohio Power Company d/b/a AEP Ohio. AEP Ohio, along with AT&T selected Venture Sum Corporation as the contractor for this project.
How cost of modification was determined: The City share is expected not to exceed $65,000. As a result of an existing contract with AEP Ohio, the city is required to participate in this venture every five years. By joining this effort, Power will only pay a fraction of the data acquisition costs. This information will enable Power to update their pole ownership records, pole locations, and attachers by electronically updating their GIS system. Updated attachment data for all entities that utilize the City's poles should result in a substantial increase in pole rental revenues. This will also result in much greater operational efficiency, safety and a reduction of the City's exposure to potential liability issues.
Contract Compliance Number: Ohio Power Company d/b/a AEP Ohio, CC # 314271000, expiration 7/11/2014.
The company is not debarred according to the Excluded Party Listing System of the Federal Government or prohibited from being awarded a contract according to the Auditor of State Unresolved Findings for Recovery Certified Search.
Emergency action is requested in order that services may continue without interruption to comply with PUCO requirements and that reimbursement for said service may be made in a timely manner.
FISCAL IMPACT: There are sufficient funds budgeted for this expenditure in the 2012 Power and Water (Power) operating budget. There were no similar charges in 2010 or 2011 for a Franklin County pole attachment inventory/audit.
Title
To authorize the Director of Public Utilities to enter into a modification of the existing agreement to pay AEP Ohio for mapping and creating a pole attachment inventory for Franklin County; to authorize the expenditure of $65,000.00 from the Electricity Operating Fund; and to declare an emergency. ($65,000.00)
Body
WHEREAS, the Department of Public Utilities, Division of Power and Water, AT & T and AEP Ohio own poles throughout the City of Columbus; and
WHEREAS, the City of Columbus, Division of Power and Water (Power) has a contractual obligation with AEP Ohio to participate in a pole mapping and attachment inventory/audit that will identify the owner and attachments on every pole in Franklin County ; and
WHEREAS, it is necessary to modify the existing agreement with AEP Ohio to reimburse the city's share of costs incurred in mapping and creating an attachment inventory for all the poles in Franklin County; and
WHEREAS, the mapping and attachment inventory is only necessary every five years and is estimated not to exceed $65,000.00; and
WHEREAS, an emergency exists in the usual daily operation of the Department of Public Utilities, division of Power and Water, in that it is immediately necessary to enter into an agreement with American Electric Power to reimburse for costs incurred in the transferring the City's facilities to replacement poles for the immediate preservation of the public health, peace, property, safety and welfare; now, therefore,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That the Director of Public Utilities is hereby authorized to enter into a modification of the existing agreement, to reimburse AEP Ohio for costs incurred in mapping and creating a pole attachment inventory/audit for City owned facilities in Franklin County, as may be necessary to comply with the contractual obligation with AEP Ohio, in an amount not to exceed $65,000.00. Total amount of modification #1 is ADD $65,000. Total contract amount including all modifications is $65,000.00.
SECTION 2. That the expenditure of $65,000.00, or so much thereof as may be needed, is hereby authorized from the Electricity Operating Fund 550, division No. 60-07, OCA 600783, Object Level Three 3336.
SECTION 3. That for the reasons stated in the preamble hereto, which is hereby made a part hereof, this ordinance is declared to be an emergency measure and shall take effect and be in force from and after its passage and approval by the Mayor, or ten days after passage, if the Mayor neither approves nor vetoes the same.