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plan to add any new poles or do any trenching in the right-of-way, however, Metricom will need <br /> to use the City's right-of-ways in order to access the light poles and power poles. <br /> BENEFITS TO CITY <br /> The main benefit will be for residents and businesses to have the choice of a high-speed wireless <br /> internet capability. In order to speed the rollout of our system in the Twin Cities market, <br /> Metricom is willing to go beyond the statutory limits that cities can charge for the use of the right <br /> of way. The Agreement provides for the following payments: <br /> Sec. 3.4- payment of all normal application fees for initial installation <br /> Sec. 4.1- annual payment of 1% of gross revenue for subscribers in the City as a <br /> simple way to calculate the City's ongoing right of way management costs <br /> for Metricom. This relieves the City from the need to calculate a right-of- <br /> way management fee for Metricom, whose use is a simple 15-minute stop <br /> to attach a radio to a pole. <br /> Sec. 4.2- annual payment of$60 per City-owned pole upon which a radio is <br /> attached <br /> Sec. 4.3 Metricom pays for all of its electricity use <br /> Sec. 4.4- Metricom will reimburse the City for its attorney's fees to review the <br /> Agreement up to $1 ,000 <br /> Sec. 4.5- the City will receive 10 or more free i nternet subscriptions based on <br /> population ($350 or more per month value) <br /> I look forward to reviewing any comments you may have on the proposed Right-of-Way Permit <br /> and Facility Use Agreement and discussing in more detail the City's approval process. Please let <br /> me know if you need any more information to complete your review. <br /> Thank you. <br /> Sincerely, <br /> r' <br /> R <br /> n <br /> r <br /> William R. Buie <br /> Representativeo _-Metricom <br /> 65 1-225-0793 <br /> Enclosure: 3 Copies of Right-of-Way Permit and Facility Use Agreement <br /> Reference Draft that highlights LMC and SRA changes <br />