4.6 ERMUSR 12-13-2022��i
Elk River
Municipal Utilities UTILITIES COMMISSION MEETING
TO:
FROM:
ERMU Commission
Theresa Slominski - General Manager
MEETING DATE:
AGENDA ITEM NUMBER:
December 13, 2022
4.6
SUBJECT:
Third Party Attachment to Assets Policy
ACTION REQUESTED:
Approve proposed ERMU Commission Policy G.414 - Third Party Attachment to Assets
BACKGROUND:
In 2017, with the increase to a five -member commission from a three -member commission, it
was determined to be beneficial to develop and update core governance policy to serve as a
guide for the expanded Commission. This process was started in 2016. Previously the policy
manual was a combination of management and governance policies, as well as procedures,
forms, and specifications. One of the goals of this project was to update the policy documents
the Commission is ultimately responsible for and separate out the procedures, forms, and
specifications that should fall under the responsibility of management. A consultant,
Collaboration Unlimited, was utilized for phase one of this project, to develop the core
governance policies. In February 2017, the core governance policies were developed as G.1—
G.3 items. In 2017-2019, additional work was done to identify and delegate the appropriate
items to management as policy, as G.4 items.
DISCUSSION:
Section 4 of the Commission Policies, noted a previous policy, ERMU Policy — E6. - Pole
Attachment Policy, was to be integrated into ERMU Policy - G.41 Protection of Assets as a new
policy. The purpose of this new policy is to identify the circumstances under which ERMU would
agree to have attachments on their assets, (whether a pole attachment for cable or phone, or a
tower attachment for phone, or a streetlight attachment for a banner, etc.) and still protect and
preserve the assets appropriately.
ERMU Policy G.414—Third Party Attachment to Assets is attached and intends to cover all the
attachments that exist or may exist in the future and states that no attachments are to occur
without a signed and executed agreement in place. The specifics of each attachment and their
terms are not incorporated in the policy, instead it refers to the appropriate agreements for all
the terms.
The specific attachments we currently have are identified as 1) Pole Attachments, 2) Water
Tower Attachments, and 3) Street Light Attachments. We also have 4) Other Attachments for
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any potential items that may come that ERMU would need to work with a third party to
negotiate an agreement for.
The full policy is attached for reference.
ATTACHMENTS:
• Proposed ERMU Policy - G.414 - Third Party Attachment to Assets
• Previous ERMU Policy— E6. —Pole Attachment Policy
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Elk River
Municipal Utilities
COMMISSION POLICY
Section:
Governance
Category:
Results Policies
Policy Reference:
Policy Title:
GAN
Third Party Attachment to Assets
PURPOSE:
Consistent with all Results Policies, the Commission shall establish clear expectations for
producing the right results for the right people in the right way. With this policy the Commission
affirms their commitment to the Organization Fundamentals Policies prioritizing financial and
organization health by protecting its assets.
Consistent with the Protection of Assets Policies, the General Manager shall be responsible for
appropriate oversight in the protection of the organizations assets to be sure that they are
protected, appropriately used, adequately maintained, or placed at undue risk. Part of this
oversight is maintaining competitive positions or business arrangements that safeguard's the
business purpose and financial return of ERMU's assets. Elk River Municipal Utilities will not
allow any attachments to our assets without a third party attachment agreement signed and
executed.
POLICY:
The various third party attachment to assets shall be as follows:
Pole Attachments - Elk River Municipal Utilities generally does not allow attachments to
poles due to the construction design elements of the poles. Elk River Municipal Utilities,
upon the terms and subject to the conditions set forth therein, may enter into an agreement
providing a grant of license to a third party for the attachment of communication equipment.
The Pole Attachment Agreement shall establish requirements for, but not limited to the
following: payment terms, method to determine allocation of installation costs, access,
design standards, and hold harmless terms. The Utility reserves the right to deny or remove
any unsafe or hazardous attachments or attachments made without proper permission or not
meeting the terms of the aforementioned agreement. The annual license fee for
communication equipment attachments per pole shall be adjusted as needed and published in
the Utilities Fee Schedule annually. The third party will be responsible for tracking and
inventorying all attachments and will periodically audit to assure accurate quantities for
billing purposes.
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ERMU Commission Policy — G.414 - Third Party Attachments
2. Water Tower Attachments - Elk River Municipal Utilities, upon the terms and subject to the
conditions set forth therein, may enter into an agreement providing a grant of license to a
third party to lease space for the attachment of communication equipment. The Water Tower
Lease Agreement shall establish requirements for, but not limited to the following: payment
terms, method to determine allocation of installation costs, access, design standards, and hold
harmless terms. The Utility reserves the right to deny or remove any unsafe or hazardous
attachments or attachments made without proper permission not meeting the terms of the
aforementioned agreement.
Streetlight Attachments — Elk River Municipal Utilities generally does not allow attachments
to streetlights due to the construction design elements of the lights. Elk River Municipal
Utilities, upon the terms and subject to the conditions set forth therein, may enter into an
agreement providing a grant of license to the City of Elk River for attachments, per the
G.2a2 Policy of Streetlight Installation and Maintenance Agreement. This is in support of
maintaining a working relationship with the City to realize opportunities for greater value.
The Utility reserves the right to deny or remove any unsafe or hazardous attachments or
attachments made without proper permission not meeting the terms of the aforementioned
agreement.
4. Other Attachments-- Elk River Municipal Utilities generally does not allow attachments to its
assets due to the construction design elements of the assets. Elk River Municipal Utilities,
upon the terms and subject to the conditions set forth therein, may enter into an agreement
providing a grant of license to a third party for attachments to assets. The Utility reserves the
right to deny or remove any unsafe or hazardous attachments or attachments made without
proper permission not meeting the terms of the aforementioned agreement.
POLICY HISTORY:
Proposed December 13, 2022
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Municipal Utilities
E.6 - Pole Attachment Policy
1.0 Purpose and Summary
Elk River Municipal Utilities, upon the terms and subject to the conditions set forth herein, may
enter into an agreement providing a grant of license to a third party for the attachment of
communication equipment. The Pole Attachment Agreement shall establish requirements for,
but not limited to the following: payment terms, method to determine allocation installation
costs, access, design standards, and hold harmless terms.
2.0 Fees
The annual license fee for communication equipment attachments shall be $6.50 per pole.
Adopted March 11, 1997
Revised July 12, 2011
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