Form revised: December 6, 2011

 

 

 

FISCAL NOTE FOR NON-CAPITAL PROJECTS

 

Department:

Contact Person/Phone:

CBO Analyst/Phone:

Seattle Center

Chris Miller, SC 733-9711

Kerry Smith, SC 615-0358

Suzanne Smith, Law, 684-5472

Greg Shiring, 386-4085

 

Legislation Title:

AN ORDINANCE relating to the Seattle Center Department; authorizing execution of a right of entry agreement with Comcast Cable Communications Management, LLC and a license agreement with KCTS Television, to allow for access of conduit and installation of fiber optic cable and related equipment needed to provide various communication services at Seattle Center.

 

 

Summary of the Legislation:

This legislation authorizes a right of entry agreement with Comcast Cable Communications Management, LLC (“Comcast”) and a license agreement with KCTS to allow for access to conduit and installation of innerducts, fiber optic cable and related equipment in City and KCTS conduit to provide various communication services to Seattle Center tenants and facilities.

 
 
 


Background:

This legislation is the result of a cooperative effort between KCTS, Pacific Northwest Ballet (PNB), Comcast and Seattle Center. 

 

KCTS, PNB and Seattle Center want to improve communication services in their facilities by adding telecommunications infrastructure technology to provide higher speed and higher capacity internet connectivity.  Specifically, PNB requires an Ethernet dedicated internet (EDI) circuit to support their growing volume of on-line ticket sales and other internet based transactions between their two facilities.  At the same time, a growing number of McCaw Hall event clients desire this type of high speed/high capacity internet bandwidth for events which utilize video conferencing or multiple simultaneous Wi-Fi internet services.   Finally, as the cost of this infrastructure technology has become more affordable, KCTS desires to install high speed/high capacity connectivity between its facility and Seattle Center’s facilities, to enable possible broadcast of Seattle Center events by KCTS.

 

PNB received a grant from the Wallace Foundation to purchase and install EDI circuits for the Phelps Center and their school facility on the east side.  Comcast indicated to PNB that installing a direct conduit connection between their closest internet “point of presence” facility and the Phelps Center would be cost prohibitive for PNB.  Comcast was able to suggest an alternative and affordable connection method, utilizing existing conduit infrastructure between Comcast’s internet service vault adjacent to KCTS’s facility at 4th and Republican and the Phelps Center, via McCaw Hall’s main telecomm room.  This method saves PNB’s capital funds and provides benefits to all the parties at no additional cost.  It also provides Seattle Center the capability to significantly enhance the speed and capacity of internet service for its event clients at McCaw Hall which has become an expectation of many clients over the past several years.

 

EDI circuits operate exclusively over fiber optic cable, which is currently not available in the existing conduit between McCaw Hall, KCTS and the Exhibition Hall/Phelps Center.  Some of the conduit needed to connect these facilities to each other and to the vault in KCTS is owned by the City and some is owned by KCTS.  Two separate agreements, each contingent upon the other, are necessary to authorize the installations to implement the EDI circuit for PNB and for enhanced internet connectivity for McCaw Hall.

 

The right of entry agreement with Comcast will authorize Comcast to add innerducts and install fiber optic cable and related equipment in Seattle Center conduit so that PNB will be able to utilize an EDI circuit.  As consideration for being allowed to install this equipment, Comcast will also add additional innerducts and fiber optic cable in Seattle Center’s and KCTS’s conduit for use by Seattle Center and KCTS.  Those innerducts will be used by Seattle Center to serve McCaw Hall and the Exhibition Hall.  Comcast will install the necessary equipment at no expense to Seattle Center and KCTS will purchase the fiber optic cable.  Comcast will reimburse the City for the cost of fiber optic cable and the City will reimburse KCTS. 

 

The license agreement with KCTS will allow the City to use KCTS conduit to authorize Comcast to install innerducts and fiber optic cable for City use.  In exchange for City use of their conduit, KCTS will provide fiber optic cable to be connected between KCTS’s equipment room and the McCaw Hall telecomm room.  KCTS, subject to the Seattle Center Directors approval, will be able to use utilize the fiber optic cable for broadcast purposes for Seattle Center events. 

 

The right of entry agreement with Comcast has an initial five-year term that automatically renews for three additional five-year terms unless Comcast is in default.  The license agreement with KCTS allows the City access to the conduit for five years, with options for the City to renew the license for three additional five-year terms.

 

DoIT has been involved in determining the appropriate conduit and installation procedures necessary to implement the improved communication services.

  

Please check one of the following:

 

__X__ This legislation does not have any financial implications.

 

____    This legislation has financial implications.

 

Other Implications: 

 

a)      Does the legislation have indirect financial implications, or long-term implications?

            This legislation is not expected to expense implications for the City, although the availability of enhanced internet connectivity in McCaw Hall will be attractive to rental clients and may result in increased event revenue for the facility.

 

b)     What is the financial cost of not implementing the legislation?

            This legislation is being proposed to enable Seattle Center tenants and clients using the Center’s facilities to utilize an Ethernet dedicated internet (EDI) circuit and to provide the option for KCTS to broadcast Seattle Center events.  The circuit allows higher speed and higher capacity internet than is currently available.   The Center needs to meet current technology standards to maintain service to both tenants and clients in a competitive environment.

 

 

c)      Does this legislation affect any departments besides the originating department? 

            The Department of Information Technology will assist in overseeing the work of Comcast’s contractor while installing the cabling through Seattle Center conduit and telecomm rooms.   Kristine Henry-Simmons, DoIT Fiber Program Manager is aware of this legislation. 

 

d)     What are the possible alternatives to the legislation that could achieve the same or similar objectives?

            While Seattle Center tenants might be able to secure EDI service through other means, neither the City nor the rental facilities would benefit from this approach without additional expense.

 

e)      Is a public hearing required for this legislation? 

 

No

 

f)       Is publication of notice with The Daily Journal of Commerce and/or The Seattle Times required for this legislation?

No

 

g)      Does this legislation affect a piece of property?

No

 

h)     Other Issues:

                None

 

List attachments to the fiscal note below:

None