AGENDA ITEM REPORT
TITLE:
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AN ORDINANCE AUTHORIZING THE MAYOR TO EXECUTE A LEASE AGREEMENT BY AND BETWEEN THE CITY AND VERIZON WIRELESS PERSONAL COMMUNICATIONS LP D/B/A VERIZON WIRELESS (SECOND READING)(PUBLIC HEARING)
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BACKGROUND:
This item was approved on First Reading at the January 14, 2016, Commission Meeting.
Verizon Wireless Personal Communications LP d/b/a Verizon Wireless (“Verizon”) has applied to lease a portion of city-owned land from the City located at 5555 Regency Lakes Blvd. (“Lakeside Park”) for the purpose of constructing and maintaining a communications facility on the existing tower. The lease provides for an original lease term of ten years from the effective date with two automatic five year renewals (unless Verizon advises the City of its intent not to renew at least six months prior to the end of the current term). The lease provides for a rent payment of thirty-nine thousand nine hundred dollars ($39,900) per year with annual increases in the amount of 3 percent.
DISCUSSION:
The City is committed to increasing its revenue by permitting Verizon to construct and maintain a communications facility on the existing tower located on its property in exchange for a rental payment of thirty-nine thousand nine hundred dollars ($39,900) per year.
RECOMMENDATION:
Staff recommends approval.
FISCAL IMPACT:
REVENUES: $ 39,900
EXPENDITURES: $ 0
BUDGETED?: N
NOTES: This item will increase revenue by $39,900 in General Fund Account 01-V36220 Tower Leases.