5.48 — CASTLE AIRPORT FEES

The purpose of this article is to provide for the imposition and collection of fees to cover, in whole or in part, the cost of maintaining the public telecommunications infrastructure at Castle Airport Aviation and Development Center ("Castle"), and to recover a share of the funding from federal and state grants for project improvement costs, as provided in the respective federal and state regulations.

(Ord. 1731 § 1, 2004)

• A. Several grants were awarded to the county of Merced to improve communications capability and services at Castle. These grants authorized the county to charge a fee for use of the publicly owned infrastructure developed through the aforesaid grant funds. The county also has the responsibility to maintain, repair, improve communications infrastructures on county property at Castle Airport, and is thereby authorized to charge a fee for use of such facilities and/or property.

• B. The county is authorized and required by the respective federal and state regulations to charge the fees in this article, as follows:

  1. On March 27, 2001, the county accepted a grant from the U.S. Department of Commerce, Economic Development Administration (EDA), in the amount of four million six hundred eighty thousand nine hundred eighty-three dollars ($4,680,983.00), for a total project cost of five million eight hundred fifty-one thousand two hundred twenty-nine dollars ($5,851,229.00). The grant provided for telecommunications infrastructure and demolition of old buildings at Castle. Under 42 U.S.C. Section 3141, et seq. Public Works and Economic Development Act, as amended, the EDA grant requires the establishment of fees to provide for maintenance and possible expansion of the publicly owned infrastructure.

  2. On May 30, 2001, the county accepted a grant of one million dollars ($1,000,000.00) from the state of California, Department of Housing and Community Development, Community Development Block Grant (CDBG) Program to match the aforesaid EDA grant. Under CDBG regulations in Title 25 of the California Code of Regulations, Section 7050, et seq., the CDBG grant requires the county to recover a "fair share" of the cost of the project from project beneficiaries, to be used for maintenance of the infrastructure and future CDBG-eligible activities to create jobs.

• C. Pursuant to Title 5, of the Government Code, Section 54999, et seq., the regulations permit the collection of fees for public communications facilities financing, planning, designing, acquisition or interests in property, construction, reconstructions and rehabilitation.

• (Ord. 1731 § 1, 2004)

The users of Castle telecommunications infrastructures will be charged three percent of the CALNET rate, or three percent of the tariff rate, or three percent of the non-tariff rate (to be provided by contracted non-tariff service provider) per month based on service level. The CALNET and tariff rates are subject to annual adjustment to reflect current market rates.

• A. Current rates are as follows:

Text read from an image; its layout may differ:
3% Per Month at CALNET Rate 3% Per Month at Tariff Rate
DS-0 $ 0.51 DS-0 $ 0.75
DSL/ISDN 2.30 DSL/ISDN 3.88
DS-1 5.16 DS-1 10.50
DS-3 75.00 DS-3 120.00
OC-3 132.00 OC-3 360.00
OC-12 396.00 OC-12 1,080.00
OC-48 1,188.00 OC-48 3,240.00
OC-192 3,564.00 OC-192 9,720.00
KB Service KB Service
$.51 per 56 KB Service $.75 per 56 KB Service
(i.e., 256 KB = 4.57 DS-0 x $.51 = $2.33) (i.e., 256 KB = 4.57 DS-0 x $.75 = $3.43)

• B. The cost of delivery of fiber to Castle users will be borne by the requestor through an approved vendor. Pursuant to the continued development of Castle telecommunications infrastructure, any new equipment/services added outside the scope of the EDA/CDBG requirements, i.e., wireless services, will be subject to the same fee structure as established in this article. Furthermore, existing services for all tenants will be charged the above fee rate on the effective date of the ordinance codified in this article.

• C. The charge for use of dedicated fiber is established at $17,000 per pair. The charge may be financed at an interest rate of five percent per year payable monthly for a maximum term of 10 years. The charge may be reduced on a pro rata basis when it is established that the dedicated fiber will be used on a temporary basis only.

• D. The fee for use of each vacant innerduct within the communications conduit (three innerducts per conduit) is established at one dollar per foot per year. Users will not be charged a fee for vacant innerduct if the county installs communications lines in the vacant innerduct to meet their needs.

• (Ord. 1731 § 1, 2004; Ord. 1755 § 1, 2005)