Item Coversheet

Item Number 25.

  

City Council 
Staff Report


Subject:Whitney Community Park Communications Site License Agreements


Date:December 10, 2019


Submitted By:Phil Lewis, Director of Parks & Recreation


Department:Parks and Recreation

Staff Recommendation:

A. Adopt a Resolution of the City Council of the City of Rocklin approving and authorizing the City Manager to execute a Temporary Site Agreement with Sprint Spectrum L.P. for the construction of a temporary cellular communication tower and associated equipment at Whitney Community Park and rescind Resolution 2019-197 adopted on August 13, 2019.

B. Adopt a Resolution of the City Council of the City of Rocklin approving and authorizing the City Manager to execute a Permanent Site Agreement with Sprint Spectrum L.P. for the construction of a permanent cellular communication tower and associated equipment at Whitney Community Park, and rescind Resolution 2019-198 adopted on August 13, 2019.

C. Select the permanent cellular communication tower conceptual design (Exhibit A):

• Faux water tower design with City logo, or
• Faux tree design

BACKGROUND:

On August 13, 2019 the City Council approved agreements for temporary and permanent cellular communication towers (previous agreements) within the Whitney Community Park necessitated by the need to relocate an existing cellular communications tower due to impending construction. The previous agreements were to be entered into with GST Capital Partners, LLC (GST) on behalf of Sprint Communications (aka Sprint Spectrum L.P. herein Sprint). Approximately 120 days have passed since the approval, yet GST has failed to execute the agreements, provide the $20,000 option payment, and to staff’s knowledge have not entered into an agreement with a wireless communications carrier as contemplated by the previous agreements. Therefore, staff have no reason to believe those projects will proceed with GST and is recommending the City rescind its prior approval and enter into the new proposed agreements directly with Sprint (see Resolutions “A” and “B”).

The business terms within the proposed agreements largely mirror those of the previous agreements, except that the option payment language has been revised to provide the City greater surety the permanent project will proceed, and the location of the permanent project has been identified. Staff is also asking Council to select the permanent cellular communication tower conceptual design as either being a faux water tower or a faux tree (see Exhibit A).

The terms of the temporary site agreement include:

 

  1. Installation of a portable temporary cellular communication tower on a monopole with wireless antennas.
  2. Monthly rent to the City in the amount of $2,000.
  3. Whitney Park must remain open throughout the placement and operations of this facility.
  4. The temporary agreement shall terminate 24 months from the Commencement Date but does include a provision for the City to extend for 6 additional months at the City’s sole discretion.
  5. Tenant shall have the right, at its expense, to install or improve utilities servicing Owner’s Property (including, but not limited to, the installation of emergency power generators, power lines, fiber and utility poles installed to City design and with City approval). Payment for electric service and for telephone or other communications services to the temporary facility shall be Tenant’s responsibility.
  6. Repair any damage caused by construction of the facilities.

 

The terms of the permanent site agreement include:

 

  1. Option for exclusive right to pursue a permanent cellular communication tower within 24 months will be secured by an option payment of $20,000 to be paid within 60 days. The exclusive right period can be extended one (1) time for an additional 12 months with an additional $10,000 payment.
  2. Any related plans or required studies will be presented to Council at a later date for consideration.
  3. Monthly rent to the City in the amount of $2,000.
  4. Site will have the ability to co-locate any similar carrier not currently providing service within this park.
  5. City to receive 40% of any rental revenue generated from the 2nd and 3rd co-locating carriers and 35% of any rental revenue generated from all additional carriers.
  6. Term of agreement is 5 years, renewable for 5 successive terms for a maximum of 30 years.
  7. Cellular facility shall be concealed within a water tower or similar style design as approved by the City.
  8. All utility installation and ongoing expense shall be tenant’s responsibility.

Environmental Analysis:

The City’s Environmental Coordinator has reviewed the proposed temporary project and has determined that the project is consistent with the previous approval and therefore also exempt from review under the California Environmental Quality Act (CEQA) pursuant to California Code of Regulations Section 15301 – Existing Facilities; and Section 15303 – New Construction or Conversion of Small Structures.


Fiscal Impact:

The addition of a cell tower will increase the City’s revenue on a yearly basis.  The City will receive $24,000 per year in additional revenue for a period of 2 years for the temporary facility.  Upon execution of the permanent agreement, the City will also receive a $20,000 option payment.  These payments will be applied to the General Fund (100).


ATTACHMENTS:
Description
SR EXHIBIT A - Conceptual Designs
RESOLUTION A
RESOLUTION A - EX A - Temporary Site Agreement
RESOLUTION B
RESOLUTION B - EX B - Permanent Site Agreement
The ACM/CFO has reviewed this staff report and certifies that budgeted funds are available, unless a budget amendment is being requested as part of this action item.