HomeMy WebLinkAbout08/04/2025 07.I. Resolution authorizing the City Manager to sign a consent letter consenting to a change in control to the franchise agreement granted to Wholesail Networks LLC r `y s ljlt
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BUSINESS OF THE CITY COUNCIL
YAKIMA, WASHINGTON
AGENDA STATEMENT
Item No. 7.1.
For Meeting of: August 4, 2025
ITEM TITLE: Resolution authorizing the City Manager to sign a consent letter
consenting to a change in control to the franchise agreement granted
to Wholesail Networks LLC and Ziply Fiber Pacific, LLC pursuant to
Section 2.13 of the Franchise Agreement
SUBMITTED BY: Randy Beehler, Communications & Public Affairs Director
SUMMARY EXPLANATION:
Northwest Fiber Holdco, LLC, the parent company of Ziply Fiber, has entered into a merger agreement
with BCE Holding Corporation under which the control of Ziply Fiber and Wholesail Networks will be
transferred to BCE Holding.
Pursuant to Section 2.13 of the Franchise Agreement, Ziply Fiber and Wholesail Networks need City
Council consent to transfer the Franchise Agreement. The Council is being asked to adopt a resolution
authorizing the City Manager to sign a consent letter consenting to a change in control to the franchise
agreement granted to Wholesail Networks and Ziply Fiber.
WHEREAS, Wholesail Networks and Ziply Fiber will still be responsible for the Franchise Agreement.
ITEM BUDGETED: N/A
STRATEGIC PRIORITY 24-25: A Thriving Yakima
RECOMMENDATION: Adopt Resolution.
ATTACHMENTS:
Resolution re - Ziply Consent.docx
Ziply Consent Letter.pdf
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RESOLUTION NO. R-2025-
A RESOLUTION authorizing the City Manager to sign a consent letter consenting to a
change in control to the franchise agreement granted to Wholesail
Networks LLC and Ziply Fiber Pacific, LLC pursuant to Section 2.13 of the
Franchise Agreement.
WHEREAS, Wholesail Networks LLC and Ziply Fiber Pacific, LLC have been granted a
franchise as set forth in Ordinance No. 2015-045 and amended by Ordinance No. 2019-034 and
Ordinance No. 2022-015 to use rights-of-way located in the City of Yakima for the purpose of
providing telecommunications services; and
WHEREAS, Northwest Fiber Holdco, LLC, the parent company of Ziply Fiber, has entered
into a Merger Agreement with BCE Holding Corporation under which the control of Ziply Fiber
and Wholesail Networks will be transferred to BCE Holding; and
WHEREAS, Pursuant to Section 2.13 of the Franchise Agreement, Ziply Fiber and
Wholesail Networks need City Council consent to transfer the Franchise Agreement; and
WHEREAS, Wholesail Networks and Ziply Fiber will still be responsible for the Franchise
Agreement; now, therefore,
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF YAKIMA:
The City Manager is hereby authorized to sign the consent letter.
ADOPTED BY THE CITY COUNCIL this_day of , 2025.
ATTEST: Patricia Byers, Mayor
Rosalinda Ibarra, City Clerk
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VIA OVERNIGHT MAIL
January 6, 2025
Randy Beehler, Communications& Public Affairs Director
City of Yakima Community Relations Office
129 N. 2nd Street
Yakima, WA 98901
Re: Ordinance No. 2022-015 Amending the Non-Exclusive Franchise Previously Granted to
Wholesail Networks LLC("Ziply Fiber") by Ordinance No. 2015-25 and Amended by
Ordinance No. 2019-034 to add and include Wholesail's Affiliate Ziply Fiber Pacific, LLC
to Wholesail's Franchise to Construct, Operate, and Maintain and Telecommunications
System,with all necessary facilities, within the City of Yakima, Washington ("Grantor"),
dated as of July 11, 2022 (the "Franchise Agreement")
Dear Randy Beehler:
I am writing to inform you that Northwest Fiber Holdco, LLC("Northwest Fiber"),the parent
company of Ziply Fiber, has entered into a Merger Agreement ("Merger Agreement") with BCE Holding
Corporation ("BCE Holding") under which the control of Ziply Fiber and Wholesail Networks will be
transferred to BCE Holding. Pursuant to Section 2.13 of the Franchise Agreement, Ziply Fiber and
Wholesail Networks are seeking Grantor's consent to the transfer of the Franchise Agreement which will
result after the merger is complete.
BCE Holding is a wholly-owned United States subsidiary of Bell Canada, a Canadian corporation
and Canada's largest telephone and telecommunications company. Bell Canada is, in turn, a wholly-
owned subsidiary of BCE Inc., a publicly traded Canadian corporation headquartered in Montreal. Under
the Merger Agreement, BCE Holding will become the owner of all equity and voting interests in
Northwest Fiber and will, by virtue of this transaction, acquire ultimate ownership and control of
Northwest Fiber, Ziply Fiber, and Wholesail Networks. The transaction is currently being reviewed by
federal and Washington state regulatory authorities.
This transaction will seamlessly maintain the services that Ziply Fiber provides to its customers.
BCE Holding has no plans to change Ziply Fiber's operating systems, management or business plans. As a
result, Ziply Fiber will have all of the advantages provided by Bell Canada's expertise, experience and
resources, while maintaining it strong local focus to deliver services to residences and businesses in the
areas it serves. Upon closing of the transaction, Ziply Fiber will remain responsible for all obligations
under the Franchise Agreement and will not experience any disruption in service. All Ziply Fiber contact
information will remain unchanged.
Please sign this letter where indicated below to acknowledge your consent to the transfer of the
Franchise Agreement by operation of the transactions described in the Merger Agreement and return it
to me. We will provide you with prompt notice of the closing of the transaction once it occurs. We
appreciate your prompt consideration of this request which will help insure the seamless transition of
services.
ziplyfiber.com 142
Respectfully submitted,
(°1(61‘
Jessica Epley
Vice President, Regulatory and External Affairs
Ziply Fiber
The undersigned, as of the date set forth below, hereby consents to the transfer of the Franchise
Agreement as described in this letter.
City of Yakima
By:
Name:
Title:
Date:
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