AGENDA ITEM REPORT
TITLE:
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An Ordinance Authorizing the Mayor to Execute the Second Amendment to the Lease Agreement by and Between the City and Omnipoint Holdings, Inc. d/b/a T-Mobile South, LLC dated December 9, 2004. (SECOND READING)
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BACKGROUND:
This item was approved at First Reading with no changes or conditions.
T-Mobile South, LLC, as successor-in-interest to Omnipoint Holdings, Inc. (“T-Mobile”) has an existing Lease Agreement with the City dated December 9, 2004 (“Lease”) to lease a portion of city-owned land from the City located at 5555 Regency Lakes Boulevard. (“Regency Lakeside”) for the purpose of constructing and maintaining a communications tower and related equipment. The lease provides that for an original lease term of ten (10) years from December 9, 2004 with four (4) automatic five (5) year renewals (unless T-Mobile advises the City of its intent not to renew at least sixty (60) days prior to the end of the current term). The lease provided for a rent payment of Thirty Thousand Dollars ($30,000.00) per year and the First Amendment dated April 24, 2008 provided for a rent payment of Thirty-Five Thousand, Eight Hundred and Fourteen Dollars ($35,814.00) per year with annual increases. The current lease amount is $44,123.
DISCUSSION:
The City is committed to accommodating technological advances in cellular service that is provided to its residents and visitors by permitting T-Mobile to remove and replace its related equipment with updated equipment on the tower.
RECOMMENDATION:
Staff recommends approval.
FISCAL IMPACT:
REVENUES: $ 44,123
EXPENDITURES: $ 0
BUDGETED? Y
NOTES The current lease amount is budgeted in Account 01-V36220 Tower Leases.