AGENDA ITEM REPORT
TITLE:
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AN ORDINANCE AUTHORIZING THE MAYOR TO EXECUTE A LEASE AGREEMENT WITH DISH WIRELESS L.L.C., A COLORADO LIMITED LIABILITY COMPANY, TO LEASE CERTAIN SPACE WITHIN THE CITY’S WINSTON PARK FOR AN INITIAL TERM OF TEN (10) YEARS WITH THE TENANT’S RIGHT TO EXTEND FOR THREE (3) SUCCESSIVE FIVE (5) YEAR PERIODS UNDER SPECIFIC TERMS AND CONDITIONS. (SECOND READING)(PUBLIC HEARING)
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BACKGROUND:
This item was approved on First Reading at the February 8, 2024, City Commission Meeting.
In 2008, the City executed a lease agreement with T-Mobile that, among other things, provided for the construction of a monopine, which is a telecommunications tower that looks like a pine tree, and the lease of space both on the tower and adjacent to it, located within the City’s Winston Park. In 2019, the City executed a lease agreement with AT&T that, among other things, provided the lease of space both on the tower and adjacent to it, located with the City’s Winston Park. Recently, the City’s Tower Manager was contacted by DISH WIRELESS L.L.C. to negotiate the terms and conditions of its occupancy on that tower to enhance service in that area.
DISCUSSION:
Over the years, the City has become aware of a service gap for DISH WIRELESS L.L.C. customers in the area, and believes that DISH WIRELESS L.L.C.’s occupancy on the City’s tower may alleviate some of those residents’ concerns. Both the City’s Tower Manager, CityScape Consultants, Inc., and City staff have spent several months negotiating and site planning with DISH WIRELESS L.L.C., and propose the attached lease agreement. It provides for an initial term of ten (10) years, with automatic extensions of three (3) successive five (5) year periods. In addition, the City, through its Tower Manager, is entitled to $39,500 per year payable in equal monthly installments, with an automatic annual increase of three percent (3%), beginning at the appointed commencement date.
RECOMMENDATION:
Staff recommends approval of this ordinance.
FISCAL IMPACT:
REVENUES: $ 39,500
EXPENDITURES: $ 0
BUDGETED? No
NOTES: Account No. 01-V36220, Tower Leases.