ORDINANCE approving agreement for Professional Services between the City of Houston and HERRERA & BOYLE, PLCC for Legal Services in connection with complaint of Extenet Network Systems, Inc against the City of Houston for Imposition of fees for use of public right-of-way (Public Utility Commission Docket No. 45280); providing a maximum contract amount - $250,000.00 - Property & Casualty Fund

Extenet Systems, Inc. (“Extenet”) filed a complaint with the Texas Public Utility Commission (“PUC”) against the City challenging the City’s authority to grant permission for wireless network infrastructure providers to use the right-of-way and the fees associated with that use. The matter is pending before the State Office of Administrative Hearings (“SOAH”).

In its complaint, Extenet claims Chapter 283 of the Local Government Code allows it to use the municipal rights-of-way without obtaining the City’s permission and paying any associated fees. The City vigorously disputes this contention and is seeking to:

• Defend the City from Extenet’s claims;
• Protect the City’s authority over its right-of-way; and
• Preserve the City’s authority to collect fees for wireless networks companies’ use of the right-of-way, which is estimated to be as high as $1 million annually.


The City Attorney recommends that Herrera & Boyle PLCC law firm represent the City in this matter. Herrera & Boyle PLCC has represented cities before the PUC and SOAH in similar subject matters.

The Legal Department recommends adoption of the Ordinance and approval of the Agreement. Due to the unique nature of this representation, the Office of Business Opportunity approved an MWBE zero-percentage goal document

_____________________________

Donna Edmundson

City Attorney

$75,000 current allocation and $250,000 maximum contract amount - Property and Casualty Fund (1004)

YuShan Chang 832-393-6442

Mary McKerall 832.393.6422