Loading...
HomeMy WebLinkAbout25E - JEROME PARK LEASE AGMTREQUEST FOR COUNCIL ACTION CITY COUNCIL MEETING DATE: FEBRUARY 20, 2007 TITLE: LEASE AGREEMENT WITH ROYAL STREET COMMUNICATIONS FOR CELLULAR ANTENNA AT JEROME PARK /~,. /.w...G, ' Ci ~TY MANAGER RECOMMENDED ACTION CLERK OF COUNCIL USE ONLY: APPROVED ^ As Recommended ^ As Amended ^ Ordinance on 1~~ Reading ^ Ordinance on 2ntl Reading ^ Implementing Resolution ^ Set Public Hearing For CONTINUED TO FILE NUMBER 1. Direct the City Attorney to prepare and authorize the City Manager and Clerk of the Council to execute a lease agreement with Royal Street Communications to collocate on cellular facility at Jerome Park. 2. Approve an appropriation adjustment recognizing $23,040 in the Capital Outlay Miscellaneous Recoveries revenue account (account no. 51-01- 5799) and appropriate same to the Capital Outlay Park Improvements expenditure account (account no. 51-250-6631). BOARD OF RECREATION AND PARKS Recommended approval of lease agreement with Royal Street Communications to collocate on cellular facility at Jerome Park, provided all revenue from the lease is used for deferred maintenance improvements at Jerome Park, at their meeting of January 24, 2007, by unanimous vote of 6:0:1. DISCUSSION On December 5, 2005 the City Council approved a lease agreement with Omnipoint Communications Inc. (T-Mobile) to install two 65-foot high monopalm cellular antennas and two equipment facilities at Jerome Park. T-Mobile was required to build the facility to receive a second carrier under the condition that the second carrier reimburses T-Mobile for a pro rata share of the hard construction costs. All improvements except for antennas and equipment required by the second carrier will be constructed by T-Mobile. The revenue from the T-Mobile lease is deposited in a special account for improvements at Jerome Park. Royal Street Communications (Metro PCS) has agreed to collocate and will reimburse T-Mobile for the expense of the second facility. The lease agreement with Metro PCS is for a 144 square foot area of approximately 12' X 12'. The agreement requires Metro PCS to pay $2,400 per month ($28,800 per year) for the lease of park property. The City's consultant (ATS Communications) will receive 20 percent ($5,760) of the annual 25E-1 Cellular Antenna at Jerome Park February 20, 2007 Page 2 revenue for their assistance in negotiating the agreement and performing contract administration. The term of the lease agreement is for 10 years, with three, 5-year extension options. The agreement also calls for a four percent increase per year for the term of the lease. The Board of Recreation and Parks is recommending approval of the collocation at Jerome Park provided all the revenue from the lease is used for deferred maintenance improvements at Jerome Park. FISCAL IMPACT The appropriation adjustment Miscellaneous Recoveries revenue Capital Outlay Park Improvements 6631) by $23,040. will enhance the Capital Outlay account (account no. 51-01-5799) and the expenditure account (account no. 51-250- Gerardo Mouet, Executive Dire for Parks, Recreation and Community Services Agency Approved as to Funds and Account: Francisco Gutierrez, Executive Director Finance and Management Services Agency 25E-2