HomeMy WebLinkAbout09 STATUS OF WIRELESS FACILITIES ON CITY-OWNED PROPERTIES•
r/`--~ ,~ f AGENDA REPORT Ree e eld m 9
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City Manager
Finance Director
MEETING DATE: APRIL 20, 2010
TO: WILLIAM A. HUSTON, CITY MANAGER
FROM: REDEVELOPMENT AGENCY STAFF
SUBJECT: STATUS OF WIRELESS FACILITIES ON CITY-OWNED PROPERTIES
SUMMARY:
Councilwoman Gavello has requested an update on the current status of negotiations
on the placement of wireless facilities on City-owned properties.
RECOMMENDATION:
Receive and file report and presentation materials.
FISCAL IMPACT:
There is no specific fiscal impact for this agenda item. However, licensing of wireless
facilities on City-owned properties is a net revenue generator for the City's General Fund.
As currently estimated, gross revenues per license will range from $21,600 to $28,000
annually depending on the location, the investment required of the carrier/facility owner in
the construction and maintenance of the facility, and the number of antennas. Proposed
licenses are anticipated to have initial terms ranging from 10 to 15 years with options for
extending the term of the license. Annual license rate adjustments are anticipated to
range from 4% to 5% annually depending on the term of the license and the required
investment in a facility. Proposing facility developers will be required to provide security
deposits and make aone-time capital contribution. The investment to the facility
developer in constructing a wireless facility and associated antennas is $100,000 to
$250,000 per site depending on the location, size, and design of the facility.
The City will not incur costs for the installation of wireless facilities, all costs of construction
maintenance and operation will be the responsibility of the carrier/facility owner. ATS,
under the current agreement with the City will receive twenty-five percent (25%) of gross
revenues from each license as compensation for procuring carriers, processing carrier
applications, inspecting the installation of new facilities, inspecting the maintenance of
existing wireless facilities under the new licenses and related issues impacting the terms
and conditions of the license agreement as directed by the City. In addition, ATS will be
responsible for updating the Wireless Master Plan, as requested by the City. All license
City Council Agency Report
April 20, 2010
Status of Wireless Facilities on City-Owned Properties
Page 2
agreements for proposed wireless facilities on City-owned properties will be submitted to
the City Council for consideration.
BACKGROUND:
In November 2007, the City entered into an agreement with ATS Communications to
develop and implement a Wireless Communications Master Plan (WMP) for the City
and to act as the City's agent in procuring qualified wireless carriers wanting to locate
facilities on City-owned property. In August 2009, ATS Communications presented the
WMP to the City Council. The WMP did the following:
• identified the adequacy of existing wireless infrastructure citywide including
identification of existing wireless carriers on both City-owned properties and private
properties,
• identified potential industry, regulatory and technology changes impacting future
development of the City's wireless infrastructure;
• evaluated the City's existing wireless ordinance;
• provided design standards for future wireless facilities;
• identified City-owned properties that have the greatest potential for licensing, and;
• provided an application and review process for wireless carriers interested in
locating on City-owned properties including the inclusion of a standard form license.
Status of Activities post Wireless Master Plan (WMP)
• ATS has solicited and received interest from six (6) telecommunications carriers and
facility developers on the following City-owned properties: (a) Pine Tree. Park, (b)
Citrus Ranch Park, (c) Cedar Grove Park, and (d) Tustin Sports Park. The current
status of the wireless carrier proposals at various City-owned sites are included as
Attachment 1 to this Agenda Report.
• ATS and City staff have worked with proposing facility developers to arrive at
wireless facility designs that minimize the visual and functional impact on proposed
park sites and minimize the visual impact to adjacent residential properties,
depending on the specific locations. Proposed designs currently being reviewed for
some of the proposed City-owned sites are included as Attachment 2 to this Agenda
Report.
City Council Agency Report
April 20, 2010
Status of Wireless Facilities on City-Owned Properties
Page 3
• The standard form license agreement has been revised after receiving feedback
from proposing facility developers. The revised standard form agreement was
reviewed and approved by the City Attorney.
~~~
Christine Shingleton
Assistant City Mana r
Attachments
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Jo n Buchanan
evelopment Program Manager
1. Status Report on Proposed Wireless Carriers on City-Owned Properties
2. Types of Antenna Designs
Attachment No. 1-Status Report on Proposed Wireless Carriers on City-Owned Properties
Citrus Ranch Park Mobilite/Verizon Design under review Letter of interest received from Mobilite.
Wireless Mobilite offered less than market rents;
found unacceptable to City. Mobilite
reviewing terms and conditions of
counter offer from City.
Cedar Grove Park T-Mobile Mono Cedar Lease template with TMO legal.
Resubmission of faux cedar tree design
to go to City to finalize.
AT&T Wireless Mono Cedar collocate Lease template with AT&T legal.
Resubmission of faux cedar tree design
to go to City to finalize.
Tustin Sports Park Sprint/Crowne Existing light standard Proposed lease language being reviewed
by carrier
Metro PCS New light standard Lease template with Metro PCS legal
collocate Collocate on Sprint Awaiting conclusion of Sprint
renegotiation
Tustin Metrolink No carriers identified Stealth facade within ATS currently marketing. Availability of
Parking Structure yet design of garage cell site dependent upon parking
structure being constructed by OCTA.
Amendment No. 2 -Types of Antenna Designs
faux Cedar Tree Design
for Cedar Grove Park