bellsouth long distance, inc. - wake county, north carolina(“bellsouth long distance”), the...

BellSouth Long Distance,Inc.CustomizedPricing Arrangement(CPA) SiebelNo. _______ Page1CustomerName:WakeCountyGovernmentContractNumber: BSLD-0505-115r3ProposalDate:6/21/2005

Thecustomeridentified above(the“Customer”)herebyagre~sto purchasefrom BellSouthLong Distance,Inc.(“BellSouthLong Distance”),thetelecommunicationsservicesdescribedherein(the“Services”). Foreaseofreference,BellSouthLong Distanceshallbereferredto hereinas“BellSouth”.

All termsnotdefmedin this CPA andusedin this CPA are definedin theapplicableGoverningDocument(s)(definedbelow). Therates,discountsandothertermsandconditionsapplicableto the Servicesaresetforth in, andgovernedby, this CPA, includingrelatedServiceorderformsand/orpromotionforms,andthefollowing documents(referredto, collectively,asthe“GoverningDocuments”):(a) therelevantBellSouthLongDistancePricingGuide(s)for Servicespurchasedfrom BellSouthLong Distancewhich arenotsubjectto tariff, andtheBellSouthLongDistancestatetariffs, or similardocumentsrequiredby the stateregulatorybodywith jurisdictionoverthe ServicesforBellSouthLongDistance’sregulatedServices. TheGoverningDocumentapplicableto BellSouthLongDistance’sinterstateServicesis theBellSouthLongDistanceComplexBusinessInterstatePricingGuide. TheGoverningDocumentsapplicableto BellSouthLong DistanceintrastateServicesarethe applicablestatetariffs orstatepricing guideswheretheintrastateServicesareprovided.’ EachGoverningDocumentapplicabletotheServicespurchasedhereunderis herebyincorporatedinto this CPA by referenceandmaybe amendedby BellSouthfromtimeto time. Wherethetermsandconditionsof theGoverningDocumentsare inconsistentwith theprovisionsofthis CPA,thetermsof this CPA shallgovernthetermsandconditionsof theService.In theeventthis CPA isattachedtoa BellSouthBusinessMasterAgreement(“BBMA”), wherethetermsandconditionsof theBBMA areinconsistentwith theprovisionsofthis CPA, the termsandconditionsof this CPA shall governthetermsandconditionsof theservice.

Customerisnotrelying uponanyrepresentationsorpromisesnotincludedin this CPA, or the GoverningDocuments,in executingthis CPA.

ThisCPA, theapplicableGoverningDocument(s),theInformationExchangeAgreementsbetweentheparties(the“NDA”), and,whereapplicable,theBBMA, representthe entireunderstandingbetweentheCustomerandBellSouthregardingthe Servicesandshall supersedeall priorproposals,agreements,promotions,understandings,negotiationsanddiscussions,whetheroral or written,relatingto equivalentServices.

To theextentnot inconsistentwith statelaw, this CPA andany informationconcerningitstermsandconditionsaretheconfidentialandproprietaryinformation of thepartiesandshall begovernedby thetermsof theNDA,incorporatedhereinby reference.Theterm oftheNDA shallbeextendedto becoterminouswith theTermof thisCPA.

To theextentpermissibleunderapplicablelaw, regulationor tariff, this CPA andtheGoverningDocuments,shall beconstruedin accordancewith, andgovernedby, the lawsof the StateofNorth Carolina,without regardto its conflictof lawsprovisions.BellSouthmayassignthis CPA at anytimeto aparent,subsidiary,subsidiaryof its parentor anyof its or its parent’saffiliates,subjectto anyapplicablefederalor statenoticerequirements.

1 The BellSouthLongDistanceComplexBusinessServicesInterstatePricing Guideandall oftheotherBellSouthLong Distancepricing guidesareavailableathttp://www.tariffs.netlbsld/index.mv.In addition,copiesof all theGoverningDocumentsareavailableduringnormalbusinesshours,atBellSouthLong Distance’smain office at400 PerimeterCenterTerrace,Suite350,Atlanta,Georgia30346.

BellSouth Long Distance,Inc.CustomizedPricingArrangement(CPA) SiebelNo. Page2CustomerName:Wake CountyGovernmentContractNumber: BSLD-0505-115r3ProposalDate:6/21/2005

1. SERVICES: Customerherebyagreesto purchaseServicesfrom theBellSouthBusinessClassFamily of Servicesproductoffering,which currentlyincludes(a) thefollowing Servicesprovidedby BellSouthLongDistance,Inc.:BellSouth®Dial Direct Service,BellSouth®Toll-FreeService,BellSouth®Long DistanceVoiceVPN, BellSouth®LongDistanceCalling Card,BellSouth®Long DistanceDedicatedAccessService(“DedicatedAccess”),BellSouth®Long DistancePrivateLine Service(“PrivateLine”), BellSouth®Long DistanceATM Service,BellSouth®Long DistanceFrameRelayServiceandBellSouth®Long DistanceLocal FrameRelayService.

The Serviceslisted abovemaybeprovidedto CustomerthroughBellSouth’spurchasefor resaleofunderlyingnetworkcapacityfrom oneormorenetworkproviders. Thetermsandconditionsof anyagreementbetweenBellSouthandanunderlyingnetworkprovider, includingthe identityof the networkprovider,areconfidential. IntheeventthatBellSouthprovisionsServicesthroughanunderlyingnetworkprovider,BellSouth,in its solediscretion,shall determinethenetworkproviderthroughwhich to provisionsuchServices.All Servicespursuanttothis CPAare offeredsubjectto theavailability of theservicecomponentsrequired.

2. TERM andTER1~4INATION:TheTerm of this CPA shall be36 months,including an initial 3 monthRampUpPeriod,from the CommencementDate.

After theexpirationof theTerm, this CPA shall automaticallyrenewon amonth-to-monthbasissubjectto thethen-currentper-minuteor monthlybaseratesset forth in therelevantGoverningDocumentfor eachServiceinstalledasof suchdate.During suchRenewalTerm, eitherpartymayterminatethis CPA uponthirty (30) dayspriorwrittennoticeto theotherparty.

A Partymayterminatethis CPA upontheotherParty’s failure to cure anyof thefollowing within thirty (30)daysafterwritten notice thereof: (a) the insolvency,arrangementwith creditors,receivershipor dissolutionoftheotherParty;(b)the institutionof bankruptcyproceedingsby or againsttheotherParty;(c) Customer’sassignmentorattemptedassignmentof this CPA or anyinteresttherein;or (d) a final orderby a governmententitywith appropriatejurisdictionthat a Serviceor therelationshiphereunderis contraryto law or regulation.

A Partymayterminatethis CPA upontheotherParty’sfailure to cureamaterialbreachofthis CPA,otherthanbreachesdescribedbelow,within forty-five (45) daysafterwritten noticethereof.

If Customerbreachesa paymentprovision,BellSouthmay, at its optionandin additionto otherremediesavailableinlaw orequity, takeoneormoreofthefollowing steps: (i) refuseto acceptadditionalordersfor Service;(ii) refusetoinstall newServicetypesor Servicelocations;(iii) disconnectorblock ANTs, circuits,or otherServiceelements;(iv)discontinuepromotionaldiscountsandinternationaldiscountratesfor Servicesprovideduntil Customeris in fullcompliancewith this CPA; or (v) terminatethis CPAuponthirty (30) days’prior written noticeto Customer.

3. MINIMUM SERVICECOMMITMENT (“MSC”). During theInitial TermandanyRenewalTermof this CPA,exclusiveof anyapplicableRampUp Period,Customerherebyagreesthat its Minimum Monthly Commitment(“MMC”) shallbe$500 in grossbilled revenueperContractMonth.

4. SERVICERESTRICTIONS. In additionto Customer’sMSC, Customermustmeetthefollowing condition:

A. Customermustbe a newBellSouthLong DistanceCustomer.

BellSouth Long Distance,Inc.CustomizedPricing Arrangement(CPA) SiebelNo. Page3CustomerName:Wake CountyGovernmentContractNumber: BSLD-0505-115r3ProposalDate:6/21/2005

B. Duringeachmonthofthe Termfollowing theRampUp Period,Customermustmaintainat leastoneBellSouthDomesticDedicatedAccessServicelocal channelateachNPA-NXX, or successorNPA-NXX dueto theintroductionof a newareacode,listed in theDedicatedAccesspricing sectionof AttachmentA.

5. GENERAL CONDITIONS - PRICING.

5.1. Rates: BellSouthwill chargeCustomerandCustomershall pay,a fixedNet Effective UsageRate,inclusive ofall TermandVolume discounts,in theapplicableamountfrom AttachmentA to this CPA,for all Servicesshown inAttachmentA. All Servicesnotpricedin AttachmentA ofthis CPA will receiveVolume andTerm discountsinaccordancewith BellSouth’sstandardratesasdesignatedin the GoverningDocumentsfor a 3 year,$500permonthMSC.

5.2. AdditionalDedicatedAccessPricing: ForadditionalNPA-NXXs not listed in theDedicatedAccessPricingSectionofAttachmentA, Customerwill receive20% off monthlybasetariff ratesaslisted in theGoverningDocuments,for eachBellSouthDomesticDedicatedAccessServiceline (excludingACF andCOCcharges)installedor in serviceduring theTerm.

5.3 ACF/COCWaiver: BellSouthwill waive75%of themonthlyrecurringACF chargesand 100% of themonthlyrecurringCOCchargeson BellSouth-provided,DomesticLocalaccesslinesinstalledor in serviceduring theTerm.

5.4 InstallationWaivers:

A. BellSouthwill waivethe followinginstallationcharges:

1. BellSouthDomesticDedicatedAccessServicelines (includingnon-recurringACF andCOC)2. DomesticBellSouthLong DistanceFrameRelayServicePortsandPVCs3. DomesticBellSouthLong DistanceLocalFrameRelayServicePSLs,PSL-Es,ISALs, Ports,andPVCs.4. DomesticBellSouthLong DistanceATM ServicePortsandPVCs.

Customermustuseanylocal accesslines, PVCs,andports,receivinginstallationwaiversunderthis sectionfor 12continuousmonths. If Customerdisconnectsanylocal accessline, PVC, or portreceivinganinstallationwaiverbeforetheendof 12 months,Customerwill pay BellSouth100% of thewaivedinstallationcharges.

B. BellSouthwill waivetheNon-RecurringCharges(“NRC”) in theapplicableamount,asdefinedin the GoverningDocuments,for the inter-exchangeportionofeach interstateor intrastateBellSouthLong DistancePrivateLinechannel,installedor in serviceduring the Termatthe speedsshown inAttachmentA. Eachchannelis subjectto aCircuit Minimum ServiceTerm(“CMST”). Channelswith bandwidthsofDSI andloweraresubjectto a CMST of 6months. Channelswith bandwidthsof DS3 orgreateraresubjectto aCMST of 1 year. BellSouthwill chargeCustomer,andCustomershall pay,all waivedNRCsassociatedwith a PrivateLine channelwhich hasnot fulfilledtheCMSTuponterminationof theCustomer’sCPA or upon disconnectof suchPrivateLine channel.

6. OTHERTERMSAND CONDITIONS.

A. Servicesare for useby Customeronly andare notavailablefor resale.

B. By executingthis CPA, CustomerherebygrantsaLetterof Agencyto BellSouthto act on its behalffor orderingaccessservicesandaffirms its exemptstatuswith regardto SpecialAccessasdefinedin Section7.4of theBellSouthLong DistancePricingGuide.

BellSouth Long Distance,Inc.CustomizedPricingArrangement(CPA) SiebelNo. _______ Page4CustomerName:Wake CountyGovernmentContractNumber: BSLD-0505-1I5r3ProposalDate:6/21/2005

C. ContractoracknowledgesthatCounty is a governmentalentity,andthecontractvalidity isbasedupontheavailability of public fundingundertheauthorityof its statutorymandate.In theeventthatpublic fundsareunavailableandnot appropriatedfor theperformanceof County’sobligationsunderthis contract,then this contractshall automaticallyexpirewithoutpenaltyto Countythirty (30) daysafterwritten notice to Contractoroftheunavailabilityandnon-appropriationofpublic funds. It isexpresslyagreedthatCountyshall notactivatethis non-appropriationprovisionfor its convenienceor to circumventthe requirementsofthis contract,but only as anemergencyfiscal measureduringa substantialfiscal crisis.

In the eventof a changein the County’sstatutoryauthority,mandateandmandatedfunctions,by stateandfederallegislativeor regulatoryaction,which adverselyaffectsCounty’s authorityto continueits obligationsunderthiscontract,thenthis contractshallautomaticallyterminatewithoutpenaltyto Countyuponwritten noticeto Contractorof such limitation or changein County’slegalauthority.

REMAINDER OF PAGE LEFT BLANK INTENTIONALLY

BellSouthProprietary InformationRESTRICTED

BellSouth Long Distance, Inc.CustomizedPricingArrangement(CPA) SiebelNo. Page5CustomerName:WakeCountyGovernmentContractNumber: BSLD-0505-11 5r3ProposalDate:6/21/2005

Any productor Serviceprovidedto Customerby BellSouthduring theTermthat is notthesubjectof fixed ordiscountedpricingunderthis CPA; is nota Serviceidentified in SectionI ofthis CPA; or isnotthesubjectof aseparatewritten agreementbetweenthe parties,shallbebilled to Customerby BellSouth in accordancewith therelevantGoverningDocumentapplicableto suchproductor Service.

CommencementDateIn orderto becomeeffective,this CPA mustbe executedby a dulyauthorizedrepresentativeof BellSouthandCustomeranddeliveredto anauthorizedrepresentativeof BellSouthwithin thirty (30) daysof theProposalDatestatedabove. This CPA shall beeffectiveuponthesignaturedateof the lastpartyto signandthe Termshallcommenceon thefirst dayofthe nextbilling month following theearlierto occurof: (1) Ninety (90)daysafterthisCPA is signedby bothParties;or (2) the dateon which a ServiceComponentorderedhereunderis installedat aCustomerlocationor activatedin the caseof calling card. Forpurposesofthis CPA,a “ServiceComponent”shallmeana Serviceport, PVC,privateline, dedicatedaccesscircuit, packetservice line, PlC change,or activationofcalling card.Any modification(s),interlineation(s),addition(s)supplement(s)and/orotherchange(s)to this CPA byCustomerwill renderthetermsandconditionsof this CPA null andvoid.

WAKE COUNTY GOVERNMENTBELLSOUTH BUSINESS SYSTEMS, INC. on behalf of CUSTOMER FULL LEGAL BUSINESS NAME:BELLSOUTH LONG DISTANCE, INC.

Signature: ~ ~ ~ ~

Printed Name: Ron Friday — Printed Name: ~ . ,~ ~4 i Z_______________________ ,‘~__-W7~’ti

Title: Sr. Director, Pricing and Policy Strategy Title:

Date: ~ / ,~ ‘7 / es-. Date:

Address: 2180 Lake Blvd Address: 337 S. SalisburyStreet

Atlanta, GA 30319 Raleigh, NC 27601

BellSouth Long Distance,Inc.CustomizedPricing Arrangement(CPA) SiebelNo. Page6CustomerName:WakeCountyGovernmentContractNumber: BSLD-0505-l l5r3ProposalDate:6/21/2005

ATTACHMENT A: PRICE SHEET

BellSouth will charge Customer, and Customer shall pay, a fixed Net Effective rate in the applicable amount from the rate tables listedbelow for its BellSouth Long Distance Services Charges. The rates listed below are inclusive of all standard Term/Volume discounts setforth in the Governing Documents applicable to the BellSouth Long Distance Services listed. All otherrates, taxes, surcharges and/orfees not specifically referenced herein, will be priced in accordance with the Governing Documents.

Long Distance Frame Relay Port Pricing:

The Long Distance Frame Relay pricing for Ports and VFR-nrt PVCs listed below iscontingent upon the Seniiceinterconnecting with BellSouth® Managed Network VPN. If these BellSouth® Long Distance Frame Relay Servicecomponents are not interconnected with BellSouth® ManagedNetwork VPN, the corresponding pricing listed below willnot apply.Bandwidth MRC

256 Kbps $132.65

Long Distance Frame Relay Permanent Virtual Circuit (PVC) Pricing (Duplex):

Bandwidth VFR-NRT256 Kbps $143.85

The following Monthly Recurring Charges (MRC) will apply for each interstate Dedicated Accesslocal channel at the NPA-NXXs listed below:

Dedicated Access - DSI :~

NPA-NXX MRC919-552 $400.78

** Note: Dedicated Access Monthly Recurring Charges (MRC) listed above are exclusive ofall ACF/COC charges.