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CUC OKs new agreement with MCV
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Posted on Oct 13 2004
The Commonwealth Utilities Corp. approved yesterday a new agreement governing Marianas Cable Vision’s attachments to CUC-owned power poles.
The pole attachment agreement grants MCV the right to attach cables, hardware and apparatus to CUC’s power poles at an annual rental fee of $7.50 per pole, or the same fee MCV has been paying in the past several years.
CUC said the fee was not increased in consideration of the economic situation, particularly the typhoons that recently hit the islands.
“We have improved a lot of provisions from the old pole attachment agreement. The new contract puts us on the safe side by allowing CUC to regulate everything [related to pole attachments],” said CUC chair Francisco Q. Guerrero.
The contract will be effective for a three-year period, with an option to renew within 90 days before expiration.
Under the agreement, CUC and MCV will determine the number of poles to which MCV can attach its equipment, cable lines, and other apparatus on or before Oct. 1 of each fiscal year. Any disputes as to the number of poles would be resolved by the CUC administrative hearing office.
The contract binds MCV to pay CUC the undisputed amounts, while the disputed amount will be paid upon resolution of the disagreement.
Further, the contract requires MCV to follow the practices of the National Electric Safety Code. CUC may issue a notice of violation if MCV fails to comply with safety rules. The utility firm also has the authority to “take corrective measures” if MCV fails to submit a plan to comply with safety rules after30 days notice.
MCV agreed to carry public liability and property damage insurance amounting to $100,000, naming CUC as an additional insured. MCV would also free CUC of any liability and claims arising out of the cable TV provider’s use of CUC power poles and installation of its equipment.
