The Federal Way City Council unanimously approved a 10-year franchise agreement with Zayo Group LLC to allow that company to access city rights-of-way for the installation of fiber optic cables throughout Federal Way.

Deputy Public Works Director Marwan Salloum gave a brief presentation to the council on Feb. 5.

“The franchise ordinance before you is similar and typical to other franchise ordinances we have with other utility providers,” Salloum said. “Zayo Group will be required to have $5 million in liability insurance, and a $500,000 performance bond for the period of the franchise agreement.”

Salloum said Zayo Group would also pay for the administrative costs of negotiating and administering the franchise agreement, which costs $1,000. While the addition of a fiber optic network is certainly a boon to the city, Salloum did point out that the fiber optic service provided by Zayo Group is considered “wholesale.”

“Their customers are mainly cell phone companies, hospital(s), schools and large businesses. They will not be providing services to single-family homes,” he said.