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<br />The parties agree that any costs to the Grantee and payments from the Grantee associated <br />with the provision of support for PEG access, the DFOI or the Institutional Network <br />pursuant to Sections 6 and 7 of this Franchise and the terms and conditions of the MOU <br />do not constitute and are not part of a franchise fee and fall within one or more of the <br />exceptions to 47 U.S.c. 9 542. <br /> <br />SECTION 7. INSTITUTIONAL NETWORK (I-NET) PROVISIONS AND RELATED <br />COMMITMENTS <br /> <br />7.1. Institutional Network Facilities and Capacity. <br /> <br />7.1.1 Within the timeframe specified for the subscriber network upgrade in subsection <br />4.2 herein, the Grantee shall, at no cost to the City, the Commission or any <br />institution, upgrade, construct and activate an Institutional Network which <br />consists of the following facilities: (i) a minimum of three (3) bi-directional fiber <br />optic lines to each of a minimum of nine (9) Nodes dedicated solely to the I-Net; <br />and (ii) bi-directional coaxial cable links between all the sites listed in Exhibit A <br />(the "HFC I-Net Sites"), which exhibit is made a part hereof, and the nearest I-Net <br />Node. In addition, the Grantee shall, without charge to the City, the COmrllission, <br />or I-Net Users, ensure that the existing I-Net is fully functional and in good <br />working order within sixty (60) days of the Effective Date of this Franchise. As <br />part of the foregoing requirement, the existing I-Net shall be capable of providing <br />all existing services to all locations and institutions connected to the existing I-Net <br />within sixty (60) days of the Effective Date. The upgraded Institutional Network <br />shall have the capability to transmit any and all signals between the sites listed in <br />Exhibit A. The institutions listed in Exhibit A ("I-Net Users") may not sell or <br />resell services or capacity to any third party. However, I-Net Users may provide <br />services to themselves, including those which the Grantee otherwise sells to <br />others (for example, an institution may provide Internet service to itself or to other <br />institutions that the Grantee sells to others). The limitations of this paragraph <br />shall not prevent the City or the Commission from subleasing, bartering, selling, <br />reselling or giving away capacity on the Institutional Network to any other public <br />or nonprofit entity for Noncommercial purposes that do not directly compete with <br />any products or services offered by the Grantee. Failure to timely complete <br />construction of the I-Net upgrade shall be a violation ofthis Franchise. <br /> <br />7.1.2 All I-Net Nodes shall be connected via a minimum of three (3) bi-directional fiber <br />optic lines to the hub serving the North Metro Franchise Area. The hub shall act <br />as signal aggregation and turn-around points for I-Net signals within the North <br />Metro Franchise Area. Such hub may also act as the main point of <br />interconnection to the Grantee's regional fiber infrastructure for purposes of <br />connecting to other institutional networks facilitated by the Grantee within the <br />Minneapolis/St. Paul metropolitan area. The Grantee shall provide space for all <br />necessary I-Net equipment at the pertinent hub, free of charge, and shall provide <br />appropriate I-Net Users with access to I-Net equipment at the hub, immediately <br /> <br />36 <br />