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HomeMy WebLinkAbout97-71 Resolution No. 97-71 RESOLUTION AUTHORIZING EXECUTION OF AN ENHANCED 911 NETWORK SERVICE CUSTOMER ACCEPTANCE AGREEMENT WITH AMERITECH BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN, ILLINOIS, that Kevin Kelly, Mayor, and Dolonna Mecum, City Clerk, be and are hereby authorized and directed to execute an Enhanced 911 Network Service Customer Acceptance Agreement on behalf of the City of Elgin with Ameritech, a copy of which is attached hereto and made a part hereof by reference. BE IT FURTHER RESOLVED THAT City staff is directed to make payment under such agreement pursuant to Option 3 providing for a one time payment of $374 ,218 . 57 . s/ Kevin Kelly Kevin Kelly, Mayor Presented: February 26, 1997 Adopted: February 26 , 1997 Vote: Yeas 5 Nays 0 Attest: s/ Dolonna Mecum Dolonna Mecum, City Clerk &ditech ENHANCED 9-1-1 NETWORK SERVICE CUSTOMER ACCEPTANCE AGREEMENT (NON-COUNTY SYSTEMS) This confirms an agreement between Ameritech and the City of Elgin, amunicipal iaum-toomer'�on located at 150 Dexter Ct.Elgin„ Illinois 60120 to continue Enhanced 9-1-1 service as described in Ameritech's I.C.C.Tariff No. 5,Part 8, Section 3. Customer's Service Area is defined as the area within the boundaries of Elgin, Illinois. The contract becomes effective when signed and shall automatically terminate 60 month(s)from date of this Agreement. In the event the Customer cancels this Agreement prior to establishment of the Enhanced 9-1-1 service,Ameritech will be reimbursed by the Customer for all costs incurred. Enhanced 9-1-1 is a telecommunications service which provides certain features such as Automatic Number Identification("ANI"),Automatic Location Identification("ALI")and Selective Routing of 9-1-1 calls to a specific Public Safety Answering Point("PSAP")which is selected from the various PSAP's servicing customers within the Enhanced 9-1-1 customer's service area. Enhanced 9-1-1 is further defined by tariff. The customer elects to pay Enhanced 9-1-1 subject to the following conditions. A. Customer elects a contract period of 60 months. During this period the monthly rate for Enhanced 9-1-1 is$ 162.00 per 1000 exchange access lines and is not subject to Ameritech- initiated rate changes. B. The Customer shall be responsible for Enhanced 9-1-1 monthly rates for the period of months stated in A above. The maximum termination charges associated with this Agreement are $437,400.00. If Customer requests termination of any or all Enhanced 9-1-1 services prior to the expiration of this Agreement,Customer will be liable for an amount equal to the number of months remaining in the term multiplied by the monthly rate per 1000 exchange access lines multiplied by the existing number of such items being billed. C. An Initial Non-Recurring Charge("I.N.C.")of N/A per 1000 exchange access lines at the time of Cutover is applicable to the establishment of the Enhanced 9-1-1 service. D. Customer may elect to prepay all or a portion of the monthly rate in accordance with the Regulations of I.C.C. Tariff No. 5. Ameritech has entered into agreements with companies referred to as Ameritech Authorized Representatives. Ameritech Authorized Representatives are independent companies. If selected by you,they are compensated by Ameritech to assist you in the selection and ordering of Ameritech products and services under applicable agreements. Page 1 Ameritech's Authorized Representatives may offer their own line of non-Ameritech products and services under separate agreements for price,terms,and conditions. The evaluation,selection and performance of these non- Ameritech products,and integration thereof, should be done independently of Ameritech offerings. The service and performance standards of Ameritech's network offerings are governed by tariff,Ameritech ultimately is only responsible for proper performance of its network offerings. All terms and conditions of the Enhanced 9-1-1 service offering are set forth in the applicable tariff which fully determines the rights and obligations of the Customer and Ameritech. NO REPRESENTATIONS OR AGREEMENTS,EITHER WRITTEN OR ORAL, SHALL ALTER OR IN ANY WAY AFFECT THESE RIGHTS OR OBLIGATIONS. Customer: CITY OF ELGIN, a municipal Ameritech corporation By: BY: e✓1 L l Kevin Kelly !!! Title: Mayor Title: /6411' _4 ` /Q4AfI,I/6t' Date: ez 2,7(y7 Date: I �/ Attest: !!! City Clerk Authorized Representative: q Date: - " / 7 Page 2 • CITY OF ELGIN OPTION 1 OPTION 2 OPTION 3 July 19th letter December 18th letter January 14th letter 60 months 56 months 60 month [without taxes) with taxes with taxes SPO 337,607.69 318,877..35 336,059.53 ONE-TIME 20.000.00 20.000.00 20.000.00 SUB TOTAL 357,607.69 338,877.35 356,059.53 5%FED. 17,803.85 16,943.87 17,802.98 .1%T.T. 359.61 338.88 356.06 TOTAL 375,771.15 356,160.10 374,218.57 SEE ATTACHMENT#3 Current bill shows balance of$36,345.83 which we will negate entire amount regardless of choice of 56 month or 60 month payment. ATTACHMENT#4 COMMITTEE OF THE WHOLE MEETING DECEMBER 4, 1996 The regular Committee of the Whole meeting was called to order by Mayor Kelly at 6 : 30 p.m. at the Hemmens Cultural Center Exhibition Hall . Present: Councilmembers Gavin, Gilliam (arrived at 6 : 33 p.m. ) , Schock, Walters, Yearman and Mayor Kelly. Absent: Councilmember McKevitt. APPROVAL OF MINUTES Councilman Schock made a motion, seconded by Councilman Gavin, to approve the minutes of the November 20, 1996, meeting. Yeas : Councilmembers Gavin, Schock, Walters, Yearman and Mayor Kelly. Nays : None. Contract with Children's Theatre of Elgin to Co-sponsor a Production of Sleeping Beauty at the Hemmens Cultural Center Councilman Walters made a motion, seconded by Councilman Schock, to enter into an agreement with Children' s Theatre of Elgin for the production of "Sleeping Beauty" on April 10-12 , 1996, and to provide the up-front coordination funding of $10, 000 . Yeas: Councilmembers Gavin, Schock, Walters, Yearman and Mayor Kelly. Nays : None. Agreement with Ameritech for E-911 Service Councilman Schock made a motion, seconded by Councilman Gilliam, to enter into a five-year contract with a lease with Ameritech for E-911 services . Yeas : Councilmembers Gilliam and Schock. Nays : Councilmembers Gavin, Yearman and Mayor Kelly. Councilmember Walters abstained due to conflict of interest. The motion failed. A discussion was held regarding paying the five-year contract in full from 1996 unprogrammed riverboat revenue to save the interest which would be incurred with a lease agreement. The riverboat revenue fund would be reimbursed by periodic payments made from E-911 funds . Councilman Gavin made a motion, seconded by Councilwoman Yearman, to enter into a five-year contract to be paid off in a lump sum from 1996 unprogrammed riverboat revenue. Yeas : Councilmembers Gavin, Yearman and Mayor Kelly. Nays : Councilmembers Gilliam and Schock. Councilmember Walters abstained due to a conflict of interest. f , v( OF E4c 44a' y§ — City of Elgin Agenda Item No. 110 November 25, 1996 TO: Mayor and Members of the City Council FROM: Robert O. Malm, Interim City Manager SUBJECT: Contract with Ameritech for E911 Service PURPOSE The purpose of this memorandum is to give information to the Mayor and City Council to consider a lease with Ameritech for E911 emergency telephone services. BACKGROUND The City of Elgin has been receiving E911 (Enhanced 911) service from Ameritech for many years . In May, 1996 the City began examining possible payment options in conjunction with our expiring contract. Ameritech is currently the only provider of this service, which includes the name and address information on anyone calling the Elgin emergency communica- tions center using the 911 number. There are three payment options available: 1) Month-to-month; 2) five-year contract with a lease, and 3) a five-year contract without a lease. The benefit of the five year contract with a lease is that it locks the rate for 5 years, thereby protecting the City from any rate increases and making budgeting of the funds easier. Also, the 5-year contract with lease incorporates the $20,000 one-time charge for additional lines into the monthly payment. The E911 service is supplied on a cost per 1,000 line basis. The City currently has 45,000 E911 lines. The financing options are enumerated in Attachment A. The options highlights are as follows: 1) Month-to-month, no contract- Rate subject to change: 2) 5 yr contract without lease- rate locked. 3) 5 yr contract with lease- rate locked, reduced rate due to pre-payment discount. Ameritech E911 Service November 25, 1996 Page 2 r COMMUNITY GROUPS/INTERESTED PERSONS CONTACTED The E911 board and the Finance Director have considered and recommended the five year contract with a lease option. FINANCIAL IMPACT This is a multi-year agreement extending through 2001 . In 1997 the E911 Fund, Account number 220-0000-791. 38-01, Tele- phone, has sufficient revenues to cover this expenditure. Future years ' expenditures will be included as part of the annual budget process. State law closely regulates the allowable uses for 911 surcharges and this lease is an allow- able use. LEGAL IMPACT None. ALTERNATIVES The City may choose to use other funds to pay this contract in advance and avoid finance charges . A one time payment of $357,607 .69 would satisfy a five year contract. RECOMMENDATION It is recommended that the City enter into a five year con- tract with a lease with Ameritech for E911 services. Respectfully submitted, eii.4.449/14&dat.„// Charles A. Gruber Ch' f of Police Ro ert Malm Int rim City Manager JB/jb r Payment Options Resulting Mo.Payment One time charge Cost per year Cost for 5 years Coat per 1,000 lines $4,000 per new 1,000 (45,000 lines) lines (5,000 new lines 1996) Month to month $150 x 45 $6,750.00 $20,000.00 $81,000.00 $425,000.00** 5yr Contract $162 x 45 $7,290.00 $20,000.00 $87,480.00 $457,400.00 (without lease) 5 yr contract $158* x 45 $7,134.77 Included in lease $85,248.00 $426,240.00 (with lease) - * Resulting rate includes monthly payment of one time$20,000 charge ** Five year total based upon 11/96 rate Rate subject to change at any time over the five years Attachment A