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HomeMy WebLinkAbout5D Execute Addendum to T-Mobile Water Tower Antenna Agreement4 1A, P U rrf 4646 Dakota Street SE '�nvxsso��' Prior Lake, MN 55372 CITY COUNCIL AGENDA REPORT MEETING DATE: MAY 2, 2011 AGENDA #: 5D PREPARED BY: JERILYN ERICKSON, FINANCE DIRECTOR PRESENTED BY: JERILYN ERICKSON AGENDA ITEM: CONSIDER APPROVAL OF A RESOLUTION AUTHORIZING THE MAYOR AND CITY MANAGER TO EXECUTE AN ADDENDUM TO THE T- MOBILE WATER TOWER ANTENNA AGREEMENT DISCUSSION: Introduction The purpose of this agenda item is to consider executing an addendum to the T- Mobile Water Tower Antenna Agreement which allows T- Mobile to install fiber optic to its existing equipment shelter. History The City and T- Mobile Central, LLC. as successor in interest to APT Minneapolis, Inc., are parties to a Water Tower Antenna Agreement relating to City property and the Crest Avenue water tower located at 5560 Cedarwood Street. The original agreement was entered into on March 1, 1999. Current Circumstances T- Mobile has entered into a contract with Zayo Bandwidth, LLC, a Delaware limited liability company, to replace its existing land line communication cables with fiber optic data /communication equipment for the sole use and benefit of T- Mobile and subscribers to its telecommunication service. The City Attorney reviewed the information and prepared an addendum to the existing agreement with T- Mobile. ISSUES: Section 4a of the original Agreement provides that T- Mobile may use the Property and Water Tower solely for the purpose of constructing, installing, removing, replacing, maintaining and operating the Antennae, subject to such modifications and alterations as may result from changes or improvements in technology. Replacing existing land line communication cables with fiber optic data /communication equipment qualifies as an improvement in technology. The purpose of the addendum is to insure that this upgrade is for the sole use and benefit of T- Mobile and their subscribers On August 16, 2010, the City entered into an agreement with Telecom Transport Management Inc (TTM) in which TTM installed fiber optics. The fiber provides additional phone lines for multiple carriers that are hard wired directly into the carriers' Telco equipment on the ground and is connected to TTM's fiber network already in place in the ground that transport the information through fiber all the way back to the carriers switch. TTM has separate ground equipment for providing this service; therefore, it was appropriate to execute a Standardized Communication Site Lease Agreement which included annual fees. A copy of the partially executed addendum is included with this agenda report. FINANCIAL There are no additional revenues associated with this agreement. IMPACT: ALTERNATIVES: 1. Approval of the resolution to authorize the Mayor and City Manager to execute an addendum to the T- Mobile Water Tower Antenna Agreement. 2. Deny this agenda item for a specific reason and provide staff with direction. 3. Table this item to a certain date in the future. RECOMMENDED Alternative #1. MOTION: Reviewed by: Frank Boyles, City Manager PRI 4r INV bw U 4646 Dakota Street SE '�jrnvEso - Prior Lake, MN 55372 RESOLUTION 11 -xxx A RESOLUTION AUTHORIZING THE MAYOR AND CITY MANAGER TO EXECUTE AN ADDENDUM TO THE WATER TOWER ANTENNA AGREEMENT WITH T- MOBILE CENTRAL LLC FOR THE CREST AVENUE WATER TOWER PROPERTY Motion By: Second By: WHEREAS, Various cellular companies have located their antennae equipment on City property and water towers; and WHEREAS, The public safety, health and welfare is served when cell phone coverage is uniform and unbroken; and WHEREAS, The City and T- Mobile Central LLC are parties to a Water Tower Antenna Agreement relating to City property and the Crest Avenue water tower located at 5560 Cedarwood Street, Prior Lake Minnesota, 55372 (Site #A1 PO401A); and WHEREAS, T- Mobile Central LLC desires to install fiber optic data /communications to enhance its capacity at the Crest Avenue Water Tower property for the sole benefit of it's customers and subscribers; and WHEREAS, T- Mobile Central LLC is contracting with Zayo for the installation and maintenance of the fiber optic data /communication enhancements (system) which will be located within an existing utility easement and T- Mobile's Equipment Shelter; and WHEREAS, The City Attorney and City Staff have developed an "Addendum" to the existing antenna agreement; and WHEREAS, T- Mobile Central LLC has executed said Agreement. NOW THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF PRIOR LAKE, MINNESOTA as follows: 1. The recitals set forth above are incorporated herein. 2. The City Council hereby approves the "Addendum #1 to Water Tower Agreement" prepared by the City Attorney and City Staff. 3. The Mayor and City Manager are hereby authorized to execute the Addendum #1 to Water Tower Agreement on behalf of the City. PASSED AND ADOPTED THIS 2 nd DAY OF MAY, 2011. YES NO Frank Boyles, City Manager M ser ckson Erickson E ser dber Hedber ene Keene uku Souku Frank Boyles, City Manager ADDENDUM No #1 TO WATER TOWER ANTENNA AGREEMENT This Addendum is entered into this day of April, 2011 by and between The City of Prior Lake, a Minnesota municipal corporation and T- Mobile Central, LLC, a Delaware limited liability company. RECITALS The City of Prior Lake, ( "City") and T- Mobile Central, LLC., ( "Communications Company"), as successor in interest to APT Minneapolis, Inc., are parties to a Water Tower Antenna Agreement relating to City property and the Crest Avenue water tower located at 5560 Cedarwood Street, Prior Lake Minnesota, 55372 (the "Property" and "Water Tower "), and Communications Company has entered into a contract with Zayo Bandwidth, LLC, a Delaware limited liability company ( "Zayo ") to replace its existing land line communication cables with fiber optic data/communication equipment for the sole use and benefit of Communications Company and subscribers to its telecommunication service. Now Therefore in consideration of the mutual promises and benefits provided for herein, the parties agree as follows: 1. The Recitals set forth above are incorporated herein. 2. The Water Tower Antenna Agreement originally entered into on March 1, 1999, ( "Agreement ") is incorporated by reference herein. The Agreement sets out the terms and conditions governing the Communications Company's use of the Property and Water Tower. 3. Section 4a of the Agreement provides that Communications Company may use the Property and Water Tower solely for the purpose of constructing, installing, removing, replacing, maintaining and operating the Antennae, subject to such modifications and alterations as may result from changes or improvements in technology. 4. Section 6 of the Agreement provides in relevant part that: Communications Company shall have the right to install utilities, at Communications Company's expense, and to improve the present facilities on the Property. 5. Communications Company acknowledges, consents and agrees that for the purposes of this Addendum Zayo is an agent of Communications Company and Communications Company accepts full and complete responsibility for any and all damages and injuries, regardless of their nature and kind, arising out of or resulting from Zayo's work on the Property and installation and maintenance of its fiber optic data/communication conduit, cables and related equipment ( "System "). 6. City grants Communications Company, pursuant to Section 6 of the Agreement, permission for its agent, Zayo to enter the Property to install and maintain fiber optic data/communication conduit, cables and related equipment (the "System "). 7. In order for Zayo to provide fiber optic data/communication service to Communications Company Zayo will install equipment relating to its System in Communications Company's Equipment Shelter. City consents to Zayo's use of the Equipment Shelter for the sole purpose of providing fiber optic data/communication service to Communications Company. Communications Company shall not permit Zayo to use its equipment or System to provide service to any other user of the City's Property or Water Tower; including any entity affiliated with or in which Communications Company has a financial interest. Communications Company affirmative states to City that it does not have a financial interest in Zayo, nor does Zayo have a financial interest in Communications Company. 8. Prior to any work on the Property Communications Company will require Zayo to submit entrance and construction plans to the City specifying the location, construction and method of installation related to the System. Communications Company will not permit Zayo to perform any work unless and until Zayo receives written approval of its entrance and construction plans from the City. 9. Communications Company will be responsible for Zayo performing all work on the System in such a manner that it will not interrupt any operations occurring at the Property. If the contract between Communication Company and Zayo is terminated by either party, Communications Company will require Zayo to remove its System from the Property restore the Property affected by the installation to a condition as good as its condition prior to installation of the System. If Zayo fails to remove its System or complete the required restoration to the Property, Communications Company shall be responsible, at its sole cost and expense, for removing the System and completing restoration of the Property. 10. Communications Company's contract with Zayo shall contain a provision that requires Zayo to indemnify Communications Company for any costs, expenses, claims or liabilities for property damage or personal injury occurring at the Property, directly relating to or caused by Zayo's installation, maintenance, use, operation, protection, repair, or removal of the System installed to benefit Communications Company. 11. Communications Company may permit Zayo to access, maintain, upgrade, modify or remove its System on a 24/7 basis by providing reasonable advance notice and coordinating such activities with the City. 12. Communications Company shall require Zayo to maintain a general liability insurance policy under the same terms and conditions required of Communications Company by the City pursuant to Paragraph 17 of the Agreement. Communications Company shall require Zayo to provide Communications Company with evidence of its insurance and further require that the City be named an additional insured. 13. This Agreement is valid for the term of Communications Company's Water Tower Antenna Agreement and any renewal thereof. This Agreement automatically terminates, without any further notice or formalities, upon the expiration or termination of the Water Tower Antenna Agreement; or upon the termination by Communications Company of its contract with Zayo. 14. Communications Company may not assign this Agreement without the prior written consent of the City which consent shall not be unreasonably withheld. 15. No subsequent agreement between Communications Company and City shall be effective or binding unless it is made in writing and signed by both parties. This Addendum has been executed this City of Prior Lake, MN: day of April, 2011. Communications Company: By Its: Mayor Signed: Name: By Its: twee, cilec7 h io Signed: N Name: 0 By Its: City Manager By Its: Si Name: Signed: Name: Site number /name: A1PO401A/Prior Lake — Crest Ave. Water Tower