HomeMy WebLinkAbout10/20/2004 - STAFF REPORTS (4) DATE: October 20, 2004
TO: City Council
FROM: Director of Aviation
AMENDMENT TO CONTRACT SERVICES AGREEMENT FOR PUBLIC TELECOMMUNICATIONS
RECOMMENDATION:
That the City Council approve an amendment to the Contract Services Agreement between
Q3 Telecom, Inc, and the City of Palm Springs for public telecommunications services
SUMMARY:
The requested action would amend the present Agreement with Q3 Telecom, Inc. to allow
for the installation and operation of wireless equipment for public telecommunications
services (WiFi) at Palm Springs International Airport.
BACKGROUND:
Q3 Telecom, Inc. (Q3),formerly Texas O.A.P.,has provided public telephone services to the
City of Palm Springs and has occupied offices at Palm Springs International Airport since
September of 1996. In October of 2003, Q3 entered into the current 5-year Contract
Services Agreement with the City.This Agreement has one automatic 5-year renewal option.
The proposed amendment, which deals with "Scope of Services" and "Compensation"
changes,will run concurrently with the term of the original Agreement. No other provisions of
the Agreement are modified. Q3 is a locally-owned business and is certified as a Woman-
Owned Minority Business Enterprise (WBE).
Exhibit "B", Special Requirements, of the current Agreement states, in part, "For Public
Telecommunication purposes related to this agreement, Q3 may provide wireless
communication systems upon receiving written acceptance of such services from the
Contract Officer." In response to a written proposal to provide such services at the Airport,
staff formed a committee to discuss the issues.The committee consisted of representatives
from Airport Administration, Procurement and Information Services. After considering
various aspects of the original proposal,the committee oversaw a site survey and frequency
spectrum analysis to determine the location of access points necessary to provide complete
wireless coverage to all public areas of the terminal building. In their final revision of the
proposal, 03 is partnered with SBC Communications, Inc. (SBC),a leading provider of high-
speed intemet services throughout the nation.
A unique advantage of this partnership is that SBC has agreed to purchase $20,000 in
advertising in the Airport to accelerate start-up of service. The Airport, as part of our
advertising agreement with Airport Displays,will receive$10,000 of this amount in revenue.
This is in addition to the 5% of Gross Revenue derived from walk-up users and monthly
memberships.
Once a recommendation was reached by the committee, a final presentation was made to
the Assistant City Manager who is the "contract officer." It is with his approval that this
Contract Services Amendment is proposed.
The attached amendment has been reviewed by the CityAttomey and has been determined
to be acceptable.
Contract Services Agreement for Public Telecommunications
October 20, 2004
Page Two
J ,
Richard S. Walsh, A.A.E.
Director of Aviation
APPROVED: 31•1
Gity Manage `
Attachment:
1. Amendment 1 to Contract Services Agreement
2- Minute Order
10/04/2004 10 37 FAX 949 M 1180 ALESHIRE & WYNOER, UP
Rb02/005
AMPADMCNT NU. 1 TO CONTRACT SERVIQ, s RETIMEN'I' rlolz PUBLIC
I'Ma RCOMM1.1NICA'l'IQNS
This AMi:NI)MI N'i NO- 1 '10 C'ONTR-AC'I' Sh"RV10ES AGRI EMI?N F f•OR PUBLIC:TELECO MMUNICA' ION'S (•"Amendment No. I") is made and entered tnto Ibis _ day of
octoher" 2004, by and betwecn the CITY OP PALM SPPINCS,a Califotnin municipal corporation("('ity") ❑nd Q3
RECITALS
WHEREAS, on 2003, City and Contractor cniered into that ccilain C:ontttct
Services Agreement floc 1'ublic'1'cle communications("Agreement"), liar Contractor's IeAse ofofficc
space to Palm Springs Intet`rtational Airport ("Airport"), as more spccilicnlly ticScrihcd in ills
Agreement;
WIIEREAS" the Agreement, tit T N, hibit cgaltcm(alatcc, that, upon approval 6y the cy(y_
C'ontractnr would have rile right to install and operate wjreless eynipment for public
teiceomltlunication Novices in tlll IoctuionS covered under file ALyecmetlt; aaiCl
WHERL'AS, the parties wish to amend the Agreement pursuant la the terms of, this
Amendment to provide such vvirelesw telucommunicaflons scrviccs by Contractor,
A(iREI;MEN'1'
NOW, 'I'fII,5K1;1-Ui21;, in consideration of the mutual prorrlises of the patlic:s hereto
and for ether
good and valuable consideralion,the rccoipt rind sufficiency o!•which is hereby heltno�dcdged.City
and Contractor agree as follows;
I. IiAi hit„'!t' Exhibit "A"entitled ",Scope of Services", r�uached to the Agreement,shall be
Exhibit "A-1", a copy of which iS attached hereto is Exhibit ""A-1
supplcmenicc] by "
2. Ex tibil."C' Exhibit ``C'11 entitled "Schedule Of(;rrmpcns lliort��attacllc;d to tIle Agreement shall be supplvrncrt(ud by Exhibit "C-1" a copy oi'wlliuh is nl,tacaed hereto xhihit "`C-1".
3- Duc Execution. The person(k) cvccuting this Arncndnne:it No behalf ot'thc pttrtics
hereto warrant theft (i) such party is duly organized cold existing, (10 they arc duly authorised to
execute and Cleliver' this Amendment No. 1 on behal!" of saki party, (iii) by so c. ecuting this AnlendmCn(No. I,such party is formally[round to the provisions of this Amcndment NO, 1"told(iv)
the cnlering into this Amendment No. 1 does not violate any provision of any Other agreement 14)
1KvrrMl21vi
-1-
10/04/2004 10:37 FAX 949 223 1180 ALESWIRE & WVNt1ER, LLP U 003/005
W11Ich said I)grTy IS N)Lmd,
3. Full I'n1_Cc and Effect. The partieti furtllcr agree thM, except as specifically hrovidcd in
this Arnendm unt No. 1, the terms M-the Agreement shall rcrnain .muhangcd and in full force and
cfrect.
IN WVI-N SS W1117REOF. Lhc panics hereto have caused tbuw prescuts to be nNccuted on the
day of October, 2004,
-city"
ATTPST: CITY OF P/0,M SPRINGS, CALIFORNIA
By:
City Cltcxk — City Mamger
REVIPW= ) AND ICI' OVl-D:
city rtnrn(y
"Coll tractor•,
Q3 7T'LlX'OM, INC.
Name:
Name:
IRV 11 I,II2.4 vI 2
10/04/2004 10:37 FAX 348 223 1160 ALESHIRE & WYNQER, UP 16 004/005
SC{7PE PF 51jRVEClzS„.�cuntm)
C:olniractor-shall provide the following additional equipinnerit a-id aorvicus, in such quantities
determined by the Contract Cifficer:
Wireless (,nntmtlnications Svswins:
For Public '1`eleeormntrnicati01) purposes rclaled to (his A.;rccmunt, Contractor shall
provide and install wirelcss conrnilulication systems. known as the`SBC 1^reLdurnLink WiFi
Network ("WiN Network"), Contraiclor sh<di install and operale wireless equipment fiir public
tclaeolnnllmication services 10 cover all Public nrcas orth0 'I'erm=11al tit tine Palm Springs
International Airport ("Airport"), as described in Cbntraetol•'s September 13, 2004 proposal
("Proposal"). SUVh public t01CCooltt1a1licatiUf] Oquipinent Shall tic provided by Contraclor and
shall be deployed to the assigned locations 60r access to users oil a pay-per-use and/or
subscription basis_ Contractor shall install such WiFi Network in Ole locations described in the
Proposal. AI the end of too tcrin of this Agr"mmt or upon termination thomoras provided in
this Agreenienl,the Wil'i Nctwork egaipmant instaiied at the Airport shall become the ;sole
property ofibe City, except for any personal equipment that may be unplugged, without any
damage to the Airport linprovomeltts.
CoMractor sh;7ll provide II1Strue60ns al the pay phone Moires along, with rates and
information for its customer service. ' hc5c instilietinns will 6c placed oil panel doors and
enclosures throughout the Airport to assist the traveling public in accessing the WiFi Network.
In exchange rear the rights granted to Contractor hereunder,and in addition to tilt;
COnnpensatiolt provided tinder f3xhibit "C-1" Contractor shall pravi.de to City the li>llowitlg:
1. Contractor shall expend at least $20,000 directly at the Airport in mal'lceting lot' the
Airport's WiFi Network, its f'urthrr provided ill the Proposal. Upon request by City's
C'oritract Off iecr, Contractor shall provide City with a Copy of all invoices eonfirniing
sueli marketing, expL'nditurC,
2. Contractor shall irrsttrll for the unlimited use and benefit cTlllu City, a "wallacl aardcn",
which will allow i110 Airport's passcngUrs tree access to online infilrmation hosted and
maintained by the Airport. The City may plac% flight and Airport inflormation, weather
reports, or anything else it deems appropriate, 'klac wallets garden will not be linked to
ally other external websitc,
3. Contractor shall provide to City with fi-W unlimited access to the WiFi Network for 30
login nalttcs to C sly-assigncd users.
rRV 1114123 vi
10/04/2004 10,07 FAX 848 222 1180 ALESHTRE & WYNDER, LLP 005IOOd
EXHIBIT "C-1"
COMPRNSATICN
In ❑ddition lb those provided under I�shillit (". ,t,td fur the rights granted to Contraeto r under t111s
Agreentetnt related ]u the Wif+i Network. Contractor ~hall hay tc the City the li>llowing share of'
revenues:
For both walk-up user;s and rnnntlrly mcnlhorship (calcu ated as a percuntage of the t7rs(
ctlaath's tilling), Contractor shall pay City 5% Of gross revemc rccuivc;d from tho Airpo t, as
reported pet•agrumlent year,
IRV it IgIS7 VI 61.
MINUTE ORDER NO.
APPROVING AMENDMENT 1 TO CONTRACT
SERVICES AGREEMENT #4785 WITH Q3
TELECOM, INC., IN A FORM ACCEPTABLE TO
THE CITY ATTORNEY, FOR PUBLIC
TELECOMMUNICATIONS WITH THE CITY OF
PALM SPRINGS.
I HEREBY CERTIFY that this Minute Order, approving Amendment 1 to Contract
Services Agreement #4785 with Q3 Telecom, Inc., in a form acceptable to the
City Attorney,for telecommunications services to the City of Palm Springs, was
adopted by the City Council of the City of Palm Springs, California, in a meeting
thereof held on October 20, 2004.
PATRICIA SANDERS
City Clerk