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Lease Agreement with Omnipoint <br />Communication Inc. <br />April 6, 2009 <br />Page 2 <br />On November 19, 2008, the Board of Recreation and Parks approved the <br />stealth monopole sports lighting antenna, an equipment building and lighted <br />flagpole improvements at Thornton Park. The lease agreement with Omnipoint <br />Communications, Inc. (T-Mobile) is for a 300 square feet lease area (15' X <br />20' equipment room). T-Mobile will build an equipment building 20 by 45 <br />feet on the south-east side of Thornton Park ball fields, which includes <br />space for a future carrier (Exhibit 1) T-Mobile agreed to install the <br />necessary electrical service and lighting to light the existing flag pole <br />between the two ball fields. <br />The lease term is for 10 years, with three 5 year extension options . The <br />revenue from this lease is $2,400 per month ($28,800 per year). The city's <br />consultant (ATS Communications) will receive 20 percent ($5,760) of the <br />revenue annually for assisting in the negotiations and construction <br />administration of the lease agreement. The agreement also includes a 4 <br />percent per year increase for the term of the lease. T-Mobile will provide <br />all the proper insurances and obtain the necessary City permits prior to <br />construction. The terms of this agreement are similar to other city cell <br />tower agreements. <br />Cell tower revenues originally were intended to address deferred <br />maintenance in the park affected by the cell tower. Due to the city's <br />current economic challenges, future cell tower revenues will now be used to <br />fund general park landscaping and maintenance city wide. This proposed <br />reallocation of funds is temporary until the City's financial condition <br />improves. <br />ENVIRONMENTAL IMPACT <br />In accordance with the California Environmental Quality Act, the <br />recommended action is exempted from further review. Categorical Exemption <br />Environmental Review No. 2009-13 (Thornton Park) will be filed for this <br />project. <br />25A-2 <br />