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Agenda - 12-10-2024; 6-c - Amendment to the Network Development Agreement for Broadband Deployment with Lumos to Extend the Project Deadlines
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Agenda - 12-10-2024; 6-c - Amendment to the Network Development Agreement for Broadband Deployment with Lumos to Extend the Project Deadlines
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12/10/2024
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6-c
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Agenda for December 10, 2024 BOCC Meeting
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50 <br /> AMENDMENT TO NETWORK DEVELOPMENT AGREEMENT BETWEEN ORANGE COUNTY AND NORTH <br /> STATE COMMUNICATIONS ADVANCED SERVICES, LLC <br /> This Amendment (the "Amendment") is made and entered into as of the_day of , <br /> 2024, by and between Orange County, a political subdivision of the State of North Carolina (hereinafter <br /> referred to as the "County"), and North State Communications Advanced Services, LLC(hereinafter <br /> referred to as the "Provider"). <br /> WHEREAS, the parties entered into a Network Development Agreement dated April 26, 2022 <br /> (hereinafter referred to as the "Agreement"),for the development of broadband infrastructure in <br /> unserved and underserved areas of Orange County, using funds from the Coronavirus Local Fiscal <br /> Recovery Fund (part of the American Rescue Plan Act of 2021, Pub. L. No. 117-2); and <br /> WHEREAS, the Agreement currently requires that all project costs be incurred by December 31, 2024, <br /> and that construction and work be completed by December 31, 2025; and <br /> WHEREAS, the parties wish to extend the project timeline due to construction delays experienced by <br /> Provider and to ensure compliance with ARPA deadlines, while clarifying the allocation of risks and <br /> responsibilities for compliance and prioritization of work within the County's normal governmental <br /> operations. <br /> NOW,THEREFORE,the parties agree to amend the Agreement as follows: <br /> 1. Extension of Timeline for Project Completion <br /> The following sections of the Agreement are hereby amended as follows: <br /> • Section 7(e)—Concealed or Unknown Conditions:The last sentence of subsection 7(e) shall be <br /> replaced with "If County determines that the conditions differ materially and will cause a <br /> material increase in time required by Provider to perform any part of the work, and that <br /> Provider could not have identified the conditions by exercising commercially reasonable due <br /> diligence prior to executing the Agreement, County will review and approve an equitable <br /> adjustment to the time necessary to complete a milestone, as applicable, provided such <br /> adjustment does not require obligation of County funds after December 31, 2025, or completion <br /> of work after December 31, 2026." <br /> • Section 13—Disbursement Schedule: The schedule for the final $6,000,000.00 milestone <br /> payment shall be replaced with "Upon Passing of and offering Communication Services to no <br /> less than 3,370 additional locations no later than December 31, 2025, and commitment to Pass <br /> additional locations no later than December 31, 2026." <br /> • Section 15—Project Closeout,Subsection a. Final Expenditures: Section 15(a) is replaced in its <br /> entirety with: "All Project costs must be incurred by December 31, 2025, and all Work must be <br /> completed no later than December 31, 2026, unless extended by Authorities. Provider shall <br /> deliver reimbursement requests and any invoices, receipts, hours, payroll information and any <br /> other supporting documentation for any work completed or to be completed, to the maximum <br /> extent feasible, by December 1, 2026.The County shall have no obligation to prioritize or <br /> expedite the processing of payment requests beyond its normal operational procedures. If the <br /> Provider fails to comply with the deadlines, documentation requirements, or any provisions of <br />
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