HomeMy WebLinkAbout6A Antenna Lease PresentationCELLULAR ANTENNAS AND
SMALL CELL ANTENNAS
NICK ZURBEY, PUBLIC WORKS TECHNICIAN
SARAH SCHWARZHOFF, CITY ATTORNEY
INTRODUCTION
•Traditional antenna installations vs small cell installations
•Mobilitie
•City property (lease) vs City right-of-way (permit and registration)
•Limits on City authority
TRADITIONAL ANTENNAS
•Generally located on water towers or similar tall structures
•City and company enter into extensive lease including: rental,
location of equipment, maintenance of equipment, engineering
review, easements, removal, insurance and indemnification,
interference and interruptions, etc.
•Usually long term –15 to 25 years
•Fairly significant revenue for City
TOWER LOCATIONS
CEDARWOOD STREET WATER TOWER
TOWER STREET WATER TOWER
WILDS PARKWAY CIVIL DEFENSE SIREN
WILLOWS PARK MONOPOLE
EXISTING LEASES
•Leases beginning in 1991
•Many have expired recently or will expire soon
•Staff and attorney drafted new lease form for renewals
•Nick took over in November 2013 and updated review system
•Review plans and specs each time equipment is replaced or
new is installed –engineering review, increased rent
•Update easements for access and utilities running to antennas
REVENUE
$-
$50,000.00
$100,000.00
$150,000.00
$200,000.00
$250,000.00
$300,000.00
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031
Antenna Lease Known Revenue
REVENUE
$-
$50,000.00
$100,000.00
$150,000.00
$200,000.00
$250,000.00
$300,000.00
$350,000.00
$400,000.00
$450,000.00
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031
Goal Rent amounts vs Revenue Without Managment
FINANCIAL IMPACT
•Revenue projected to continue with regular annual increases
•Subject to new technology which could make traditional antenna
installations obsolete
•Subject to mergers of companies resulting in fewer installations or
the communications companies needs
SMALL CELL
•Generally located on small structures such as light poles
•City currently has none it is aware of
•If located on City structures/poles would enter into lease similar to
traditional antennas (master lease prepared for Scale)
•If located in City right-of-way subject to right-of-way permit and
registration
FINANCIAL IMPACT
•Right-of-way –expect revenue to offset costs incurred by City
•Lease -revenue expected to be much more limited based on
experience of Scott County and nearby cities
•Lease –expect limited small cell lease revenues due to limited
number of City structures/poles
•Small cell not expected to be as dense in Scott County as in
Ramsey or Hennepin
•City has a limited number of structures it owns, more are owned by
Scott County or private entities such as Xcel
LEGISLATION
•New legislation proposed by cell companies that severely limits
city authority
•League, Metro Cities and other local and state-wide organizations
have proposed alternative legislation
•If new legislation is adopted City may need to re -consider its
regulations
RIGHT-OF-WAY ORDINANCE
•Staff and attorney have drafted new right-of-way ordinance to
update the City’s right-of-way regulation and to address small cell
issues
•Generally applicability and definitions
•Right-of-way permit
•Telecommunications registration
•Siting of new structures