Agenda - Item 6-e - Memorandum of Understanding with Hillsborough and Contract for Design, Permitting, & Construction Administration for Orange County – Hillsborough Fiber Optic Network

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Attachment 1 INTERLOCAL AGREEMENT BETWEEN TOWN OF HILLSBOROUGH AND THE COUNTY OF ORANGE FOR CONSTRUCTION AND OPERATION OF A FIBER NETWORK IN THE TOWN OF HILLSBOROUGH AND THE UNICORPORATED AREAS OF ORANGE COUNTY This agreement is dated, made, and entered into as of the by the County of Orange, a North Carolina political subdivision (“Orange”) and the Town of Hillsborough, a North Carolina municipal corporation ("Hillsborough"). Purposes. The purposes of this agreement are (1) to further the economic development potential of fiber network pathways identified by Town of Hillsborough and the County of Orange in their respective planning documents as particularly suitable for development, as well as (2) to promote the public health and safety of residents within the Town of Hillsborough. 1. Design. Orange will solicit and receive proposals for the design of fiber infrastructure to serve Hillsborough. Before awarding contracts for such design, Orange will provide Hillsborough with the proposals and other responses to the request for proposals so that Hillsborough may review and comment to Orange regarding the selection of the designer(s). Orange will then proceed to negotiate the professional fees with the designer(s). The fees must be satisfactory to Hillsborough. Orange will not select any designer to which Hillsborough objects based on the qualifications and/or professional fees. If Hillsborough does not object within a reasonable time to a designer and its proposed fee structure, Orange may award a contract to the designer for such design in which the proposed fee structure applies. Hillsborough will reimburse Orange for all payments that Orange is required to pay under the contracts. Therefore, Orange will invoice Hillsborough at a rate of 50% of the invoices are received from the selected designer(s) for payments made or required to be made under the design contracts. Hillsborough will pay each invoice within thirty (30) days after it receives it. 2. Construction. Orange will solicit bids for the construction of the infrastructure. Orange will share the proposals with Hillsborough. Hillsborough may comment to Orange as to which contractor(s) the award should be made. If Orange concurs, and if Orange determines it appropriate to do so, Orange will award the contract(s) to those contractor(s) and execute contract(s) with them. If Orange does not concur, or if Orange otherwise finds it appropriate to rebid, Orange will rebid and continue the process described in this paragraph until Orange makes an award unless the Orange County Manager and the Hillsborough Town Manager jointly agree to suspend or abandon the process. By authorizing their respective managers to sign this agreement, the parties' governing bodies authorize them to agree to suspend or abandon the process if they jointly determine it is prudent to do so. If the managers do not jointly agree it is prudent to suspend or abandon the process, it is agreed that suspension or 4