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Home My WebLink About5J - T-Mobile Antenna Agreements 0� PRIO U4646 Dakota Street SE Prior Lake,MN 55372 �jNNEso��' CITY COUNCIL AGENDA REPORT MEETING DATE: DECEMBER 22, 2014 AGENDA#: 51 PREPARED BY: KATY GEHLER, PUBLIC WORKS & NATURAL RESOURCES DIRECTOR PRESENTED BY: KATY GEHLER AGENDA ITEM: CONSIDER APPROVAL OF RESOLUTIONS AUTHORIZING THE MAYOR AND CITY MANAGER TO EXECUTE AMENDMENTS TO THE T-MOBILE WATER TOWER ANTENNA AGREEMENTS DISCUSSION: Introduction The purpose of this agenda item is to consider executing amendments to the Water Tower Antenna Agreements with T-Mobile to allow them to install additional equipment on both the Cedarwood and Tower Street water towers. History The City and T-Mobile Central LLC are parties to two Water Tower Antenna Agreements relating to installation of communications antennas on both the Cedarwood and Tower Street water towers. The original agreements were entered into on March 1, 1999 and May 30, 2000 respectively. Current Circumstances T-Mobile, along with several other communications companies, are in the process of upgrading technology for cellular service around the nation. As part of this process they would like to upgrade their antennaes that include adding additional equipment on the City's water towers. The original agreements did not anticipate the new equipement, therefore an amendment was determined to be appropriate. Conclusion The City Attorney reviewed the information and prepared the amendments to the existing agreements with T-Mobile. ISSUES: The City holds several lease agreements with Communication Companies to allow use of the City's Water Towers to mount antenna with ground equipment shelters. Over the last year, several companies have been working with the City to upgrade their antenna to what is commonly referred to as 4G. The newer technologies also require the mounting of additional equipment near the antenna with cabled connections. Phone 952.447.9800 / Fax 952.447.4245/www.cityofpriorlake.com Most of the antenna leases have similar provisions that address the use of the site for mounting of antenna and storage of equipment in ground shelters. They do not anticipate the new equipment on the towers. Based on review of the agreements by the City Attorney, it was determined that an amendment to the original agreements would be appropriate. A copy of the partially executed addendum is included with this agenda report. FINANCIAL A new increased rent amount for the Tower Street Water Tower Antennae IMPACT: Agreement has been agreed upon for the addition of a two foot microwave dish. There is also a 15% rent increase scheduled from the original agreement that will take place in 2015 for the remainder of the lease term to 2019. Rent amounts were not significantly changed for the Cedarwood Street Water Tower Antennae Agreement because a scheduled 15% rent increase took place in 2014 for the remainder of the lease term to 2018. Amended Current Amended Annual Ratensi Annual Rate Annual (2015-End . Location Rate Increase Rate(2014) Lease) i Cedarwood Street ; $19,771.38 $28.62 $19,800.00 $19,800.00 Water Tower Tower Street $17,192.50 ' $2,400 $19,592.50 $22,530.80 E Water Tower TOTAL $36,963.88 $2,428 62 $39,392.50 $42,330.80 ALTERNATIVES: 1. Approval as part of the consent agenda two resolutions to authorize the Mayor and City Manager to execute amendments to the T-Mobile Water Tower Antennae Agreements. 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: b� PR12 ti U tri 4646 Dakota Street SE �rlNrvEso�P Prior Lake,MN 55372 RESOLUTION 14-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 CEDARWOOD 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 Cedarwood Street water tower located at 5560 Cedarwood Street, Prior Lake Minnesota, 55372 (T-Mobile site ID Al P0401); and WHEREAS, T-Mobile Central LLC desires to upgrade antenna and install additional equipment at the Cedarwood Street Water Tower property for the sole benefit of it's customers and subscribers; and WHEREAS, T-Mobile Central LLC is installing and maintaining the antenna and additional equipment which will be located on/in the water tower, within an existing utility easement and in T- Mobile's Equipment Shelter; and WHEREAS, The City Attorney and City Staff have developed an"Amendment"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 "Amendment to Water Tower Agreement" prepared by the City Attorney and City Staff. 3. The Mayor and City Manager are hereby authorized to execute the"Amendment to Water Tower Agreement"on behalf of the City. PASSED AND ADOPTED THIS 22nd DAY OF DECEMBER 2014. VOTE Hedberg Keeney McGuire Morton Soukup Aye ❑ ❑ ❑ ❑ ❑ Nay ❑ ❑ ❑ ❑ ❑ Absent ❑ ❑ ❑ ❑ ❑ Abstain ❑ ❑ ❑ ❑ ❑ Frank Boyles, City Manager 2 O� PRI()) ti U 4646 Dakota Street SE :�12 r Eso"O' Prior Lake,MN 55372 RESOLUTION 14-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 TOWER STREET 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 Tower Street water tower located at 4741 Tower Street, Prior Lake Minnesota, 55372 (T-Mobile site ID Al P0420A); and WHEREAS, T-Mobile Central LLC desires to upgrade antenna and install additional equipment at the Tower Street Water Tower property for the sole benefit of it's customers and subscribers; and WHEREAS, T-Mobile Central LLC is installing and maintaining the antenna and additional equipment will be located on/in the water tower, within an existing utility easement and in T-Mobile's Equipment Shelter; and WHEREAS, The City Attorney and City Staff have developed an "Amendment"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"Amendment to Water Tower Agreement" prepared by the City Attorney and City Staff. 3. The Mayor and City Manager are hereby authorized to execute the"Amendment to Water Tower Agreement"on behalf of the City. PASSED AND ADOPTED THIS 22nd DAY OF DECEMBER 2014. VOTE Hedberg Keeney McGuire Morton Soukup Aye ❑ ❑ ❑ ❑ ❑ Nay ❑ ❑ ❑ ❑ ❑ Absent ❑ ❑ ❑ ❑ ❑ Abstain ❑ ❑ ❑ ❑ ❑ Frank Boyles, City Manager 2