Agenda Item Title:
Authorize Mayor and Finance officer to Sign Letter Agreement with Crown Castle for Cell Tower Lease Amendment
Origination Meeting Date:
Rod Seals, Pauline Sumption
Agenda Item Summary:
This Letter Agreement offers the terms under which the City and Crown Castle agree to amend the current agreement for the cell tower located adjacent to Fire Station 6 on Promise Road. The amendment will extend the term of the lease, modify the rent payments to increase by 3% each year (vs. current 10% every 5 years), and pay the city a $7,000 bonus for “expediting” the amendment (returning the letter agreement by August 10). The amendment would also add the possibility of the city being paid additional rent for subtenants (revenue sharing) if additional wireless companies co-locate on the tower.
Funding Source & Fiscal Impact (if applicable):
Funding Source & Fiscal Impact Notes:
Over the life of the lease, the City stands to earn over $250,000 more revenue with the new rent calculation (not including the possibility of revenue sharing).
Origination Recommendation Action: