TO:
Honorable Mayor and Members of the City Council
THROUGH:
Mark Danaj, City Manager
FROM:
Tony Olmos, Public Works Director
Joe Parco, City Engineer
SUBJECT:Title
Approval of Third Amendment to a License Agreement with Northrop Grumman Systems Corporation Related to an Aerial Fiber Optic Communication Line Connecting Northrop Grumman Facilities in Manhattan Beach and Redondo Beach (Public Works Director Olmos).
APPROVE
Line
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Recommended Action
RECOMMENDATION:
Staff recommends that the City Council authorize the City Manager to execute the third amendment to a license agreement with Northrop Grumman Systems Corp. related to an aerial fiber optic communication line connecting Northrop Grumman Facilities in Manhattan Beach and Redondo Beach.
Body
FISCAL IMPLICATIONS:
The original agreement with Northrop Grumman provided for payment to the City in the amount of $1,000 annually with consumer price index (CPI) adjustments. The proposed Amendment No. 3 will provide payment in the amounts indicated below through the proposed term of the agreement.
Payment Due Date
Term Year
Payment Amount
July 1, 2015
7/1/15 - 6/30/16
$1,292.00
July 1, 2016
7/1/16 - 6/30/17
$1,318.00
July 1, 2017
7/1/17 - 6/30/18
$1,344.00
July 1, 2018
7/1/18 - 6/30/19
$1,371.00
July 1, 2019
7/1/19 - 6/30/20
$1,398.00
The proposed amendment has an option to extend the Term of the License Agreement for an additional five (5) year period (July 1, 2020 through June 30, 2025) on the same terms and conditions as set forth in this Agreement. Amendment 2 will be expiring on 6/30/2015, thus the need to either renew or cancel the agreement with Northrop Grumman.
BACKGROUND:
Northrop Grumman facilities are located on the northwest and southeast quadrants of the Aviation Boulevard/ Marine Avenue intersection in cities of Manhattan Beach and Redondo Beach respectively. The facilities are connected ...
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