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<br />Lease Agreement with Nextel Communications <br />August 16, 2004 <br /> <br />Page 2 <br /> <br />Nextel Communications is proposing to collocate on the AT&T monopine and <br />has obtained tentative approval from AT&T, pending City approval of a lease <br />agreement for their equipment area. By collocating on the AT&T monopine, <br />Nextel Communications will improve their communication reception in the <br />Civic Center area. The Development Review Committee (DRC) has reviewed the <br />proposal and is recommending the following "Conditions of Approval" to be <br />included as part of the project: <br /> <br />1. Replace and slurry the parking lot on the southwest corner of the <br />Stadium. <br />2. Screen or camouflage antennas. <br />3. All electrical equipment and conduit to be underground or inside the <br />equipment structure. <br />4. Provide and plant three 24-inch box Canary Island pine trees and <br />irrigation to establish the trees. <br />5. Plans to be approved by DRC. <br />6. Cellular frequency shall not interfere with the City's radio <br />communication. <br /> <br />The Nextel equipment facility will be located under the concrete bleachers <br />on the southwest corner of the Stadium. The materials used to construct the <br />walls of the equipment facility shall match the Stadium concrete structure. <br />The antenna will be concealed, stealth and painted to blend into the <br />existing monopine. Nextel will install their own electrical service and pay <br />for all electrical use of their operation. <br /> <br />The AT&T lease is for a period of ten years with two five-year options. The <br />lease with Nextel will run concurrently with the AT&T lease. Nextel has <br />agreed to pay the City a one time initial payment of $30,000 and a lease <br />payment of $14,400 per year, with an annual rent increase of three percent <br />each year. Because the installation of the equipment is estimated to begin <br />in October 2004, only $10,800 in lease revenue is anticipated for fiscal <br />year 2004-05. <br /> <br />ENVIRONMENTAL IMPACT <br /> <br />In accordance with the California Environmental Quality <br />recommended action is exempt from further review. Categorical <br />Environmental Review No. 2004-73 will be filed for this project. <br /> <br />Act, the <br />Exemption <br /> <br />25C-2 <br />