3611 ORDINANCE NO. 3611
AN ORDINANCE OF THE CITY OF SANFORD FLORIDA
ASSESSING A FEE ON TELECOMMUNICATIONS
COMPANIES THAT OCCUPY MUNICIPAL RIGHTS-OF-
WAY FOR TELECOMMUNICATIONS FACILITIES;
PROVIDING FOR WHEN PAYMENTS ARE DUE;
PROVIDING FOR INTEREST; PROVIDING FOR REVIEW
OF RECORDS; PROVIDING FOR SEVERABILITY;
PROVIDING AN EffECTIVE DATE.
WltEREAS, Section 337.401, Florida Statutes (2000), references fees or other
consideration which municipalities may require tiom telecommunications companies to occupy
municipal fights-of-way for telecommunications facilities; and
WHEREAS, it is the City' s intent to establish fees for occupation of the City' s rights-of-
way for telecommunications facilities of telecommunications companies not otherwise paying a fee
to the City for occupation of the City' s rights-of-way; and
WHEREAS, it is the City's intention that any telecommunications company paying fees
for the occupation of the City' s rights-of-way for telecommunications fanilities as of the effective
date of this Ordinance shall continue to pay fees to the City as the company has been paying them
and that any other telecommunications company occupying the City's rights-of-way for
telecommunications facilities pay the fees for occupation set forth in this Ordinance.
NOW, TltEREEFORE, BE IT ENACTED BY TIlE PEOPLE OF TltF~ CITY OF
SANFORD, FLORIDA:
SECTION 1. Purpose and application. The purpose of this Ordinance is to establish fees
for occupation of the City' s fights-of-way for telecommunications facilities of talecommunications
companies not otherwise paying a fee to the City for occupation of the City' s rights-of-way. Any
telecommunications company paying fees for the occupation of the City's fights-of-way for
telecommunications facilities as of the effective date of this Ordinance shah continue to pay fees to
the City as the company has been paying them.
The fees imposed pursuant to this Ordinance shall apply to all telecommunications
companies occupying the City's rights-of~way for telecommunications facilities and not otherwise
paying a fee to the City for occupation of the City' s rights-of-way.
The fees imposed pursuant to this Ordinance are a fee and not a tax as specified in Section
337.401, Florida Statutes (2000); consequently, (1) the payments to be made pursuant to this
Ordinance shall not be deemed to be in the nature of a tax; (2) such payments shah be in addition
to any and all taxes of a general applicability; and (3) the fee specified herein is consideration for
occupation of the City' s fights-of-way, including all public easements, for the purpose of erecting,
constructing and maintaining telecommunieations systems.
SECTION 2. Fee for telecommunications company occupation of fights-of-way.
(a) (i) Any telecommunicatinns company providing local telephone
service, as defined in Section 203.012(3), Florida Statutes (2000), in the City and
that is occupying municipal streets or fights-of-way within the corporate limits of
the City with poles, wires or other fixtures shall pay to the City a fee in the amount
of one percent (1%) of the gross receipts on recurring local service revenues for
services provided within the corporate limits of the City by such
telecommunicntions company. Included within the fee are all taxes, licenses, fees,
in-kind contributions accepted pursuant to Section 337.401, Florida Statutes
(2000), and other impositions except ad valorem taxes and amounts for
assessments for special benefits, such as sidewalks, street pavings, and similar
improvements, and occupational license taxes levied or imposed by the City upon
the telecommunications company.
(ii) In the event that a telecommunications company .which
provides telecommunications services defined as toll services in Section
203.012(7), Florida Statutes (2000), occupies the City's rights-of-way, the
telecommunications company shall pay to the City annually Five Hundred Dollars
($500) per linear mile, which amount is prorated for any portion thereof, for any
cable, fiber optic, or other pathway that makes physical use of the City's rights-of-
way. Such annual fee shall be prorated to reflect the expiration date of this
Ordinance and shall be payable annually, in advance. If a telecommunications
company that is required to pay a fee pursuant to this subparagraph (a) (ii)
increases the amount of its fac'~ities occupying the City' s rights-of-way after such
advance payment has been made, but prior to the expiration date of this Ordinance,
the fees due for the additional facilities shall be prorated and paid in full at the time
the facilities are installed in the City' s fights-of-way.
The fee or other consideration imposed pursuant to this subsection (ii) shall
not apply in any manner to any telecommunications company which provides local
telephone service as defined in Section 203.012(3), Florida Statutes (2000), for any
services provided by such telecommunications company.
(iii) Telecornmunications company, as used in this Ordinance, shall
have the meaning set forth in Section 364.02(12), Florida Statutes (2000).
(b) The fees provided for in subsection (a)(i) shall be paid by the
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Ordinance No. 3611
telecommunications company to the City in quarterly installments. The installment
payments shall be based upon such gross receipts on recurring local service
revenues for the immediately preceding installment period or portion thereof after
the effective date of this Ordinance, and shall be made within 30 calendar days
following the end of the period. Past due payments or underpayments shall bear
interest accrued from the last day of the quarter for which the payment was due.
Interest shall be paid at the Florida statutory rate of interest on judgments as
established by Section 55.03, Florida Statutes (2000). Payments shall include a
statement as to how the fee amount was determined and the statement shall be
certified by the telecommunications company' s chief financial officer or other duly
authorized representative of the company.
(c) If the City wishes to verify the payments due to the City under this
section, the telecommunications company shall permit the City or a designated
representative of the City, upon reasonable advance written norice, and during
normal business hours, at the location of the telecommunications company where
such records are maintained in the City, at another location satisfactory to the City,
or elsewhere pursuant to (i) or (ii) below, to review or audit the
telecommunications company's bil/tng and payment records kept in the ordinary
course of business upon which the payments were based. If a telecommunications
company's records are not maintained in the City, the telecommunications
company shall either:
(i) pay all reasonable expenses, including travel, following the
provisions of subsections 112.061 (6), (7) and (8), Florida Statutes (2000), to the
City for the City to have a review or audit performed; or
(ii) provide the City with access to copies of the
telecommtmications company' s records in the City or within 55 miles of the City or
by an electronic method satisfactory to the City.
However, without the specific written consent of a telecommunications company's audit
representative, no company records may be duplicated or taken from the telecornmunicafions
company's premises, and the City shall maintain the confidenfmlity of the information disclosed in
these records and use the information solely for the purposes of verifying payments by the
telecommunications company. No acceptance of payment shall be construed as a release or as an
accord and satisfaction of any claim the City may have for sums due and payable under this
Ordinance unless the City agrees in writing. In the event that the City, pursuant to final audit
findings, determines that there exists a difference between the amount due to the City and the
amount paid to the City, indicating an underpayment to the City, in excess of five percent (5%) of
the amount due, such telecommunications company shall pay all reasonable costs, fees and expenses
of the audit.
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Ordinance No. 3611
(d) This Ordinance is adopted consistent with the provisions of Section
337.401, Florida Statutes (2000), and other applicable provisions of law. This
section shall not be construed as a waiver or limitation of the power of the City to
prescribe and enforce reasonable rules and regulations pursuant to applicable
provisions of law.
(e) If required by applicable City ordinances, codes or regulations, a
telecommunications company shall be registered with the City and obtain all
permits that may be required by the City regarding occupation of the City' s public
rights-of-way for telecommunications facilities.
SECTION 3. The provisions of this Ordinance are declared to be severable and if any
section, sentence, clause or phrase of this Ordinance shall, for any reason, be held to be invalid or
unconstitutional, such decision shall not affect the validity of the remaining sections, sentences,
clauses, and phrases of this Ordinance but shall remain in effect, it being the legislative intent that
this Ordinance shall stand notwithstanding the invalidity of any part.
SECTION 4. The effective date of this Ordinance shall be Janumy 1, 2001. This
Ordinance shall no longer be of effect as of October 1, 2001.
PASSED AND ADOPTED this,2~"Z/'~aaa/of ~j// , A.D., 200
ATTEST:
As the City Commission of the
City of Sanford, Florida
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Ordinance No. 3611
CERTIFICATE
I, ~lanet R. Dougherty, City Clerk of the City of Sanford, Florida, do hereby certify that a
posted t the front door of the City Hall in the City of Sanford~ Flo~af~ ~ay of
v64g/t~/, 2001.
of Sanford, Florida
I:Xkre\edr\Ci~es\Sanford\OrdinaneesXt~le ord.wpd
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Ordinance No. 3611