TO: Members of the City Council
FROM: Mayor Angela Birney
DEPARTMENT DIRECTOR CONTACT(S):
|
Finance |
Kelley Cochran |
425-556-2748 |
DEPARTMENT STAFF:
|
Finance |
David Amble |
Real Property Specialist |
|
Finance |
Terry Marpert |
Real Property Manager |
TITLE:
title
New Telecommunications Lease with Crown Castle GT Company LLC at City of Redmond Fire Station 14.
OVERVIEW STATEMENT:
recommendation
The City of Redmond has an existing lease with Crown Castle GT Company LLC to operate a wireless telecommunications facility at City of Redmond Fire Station 14, located at 5021 264th Ave. NE. The original lease in place since 1998, now assigned to Crown Castle after Crown’s parent company acquired the original leaseholder, GTE West, expired on June 30, 2023. A holdover clause allows for Crown to continue to operate the lease until renewal is approved or denied. To continue using their leasehold area at Fire Station 14, Crown Castle needs approval of a new lease by the City.
Crown Castle’s existing wireless facility consists of a ground pad with control boxes, a concrete pedestal, and a monopole mast with telecommunications arrays leased to existing wireless telecommunication subtenants, currently AT&T and T-Mobile. There are no plans to make any physical changes to the existing monopole structure; however, Crown Castle also has a Master License Agreement with DISH Wireless, LLC that will allow for DISH to go onto the tower, once this lease is approved, and subsequently the City of Redmond - DISH lease is approved under a separate action. Under the new lease terms, there are no changes to the existing infrastructure or footprint of Crown Castle’s leasehold area.
body
☒ Additional Background Information/Description of Proposal Attached
REQUESTED ACTION:
☐ Receive Information ☒ Provide Direction ☐ Approve
REQUEST RATIONALE:
• Relevant Plans/Policies:
N/A
• Required:
N/A
• Council Request:
N/A
• Other Key Facts:
N/A
OUTCOMES:
Approval of this lease replaces a lease that has been in place since 1998 with some amendments. The new lease will allow Crown Castle to continue to operate its wireless telecommunications equipment at Fire Station 14. Under the new lease starting annual rent would be $34,185, with an annual escalation of a minimum of 4%. Revenue generated from the lease is accrued to the Redmond Fire Department.
COMMUNITY/STAKEHOLDER OUTREACH AND INVOLVEMENT:
• Timeline (previous or planned):
N/A
• Outreach Methods and Results:
N/A
• Feedback Summary:
N/A
BUDGET IMPACT:
Total Cost:
$0.00
Approved in current biennial budget: ☐ Yes ☐ No ☒ N/A
Budget Offer Number:
N/A
Budget Priority:
N/A
Other budget impacts or additional costs: ☒ Yes ☐ No ☐ N/A
If yes, explain:
Revenue generated by this lease accrues to the Fire Department.
Funding source(s):
N/A
Budget/Funding Constraints:
N/A
☐ Additional budget details attached.
COUNCIL REVIEW:
Previous Contact(s)
|
Date |
Meeting |
Requested Action |
|
10/10/2023 |
Committee of the Whole - Finance, Administration, and Communications |
Approve |
Proposed Upcoming Contact(s)
|
Date |
Meeting |
Requested Action |
|
10/17/2023 |
Business Meeting |
Approve |
Time Constraints:
None. The existing lease has a holdover clause allowing for Crown Castle to remain operating their equipment and the City to manage the existing lease agreement on a monthly basis.
ANTICIPATED RESULT IF NOT APPROVED:
Cancelation of the existing lease with Crown, termination of T-Mobile lease at FS 14, suspension of lease approval for DISH at FS 14; reduced annual revenue from cellular leases of $55,800 in 2024.
ATTACHMENTS:
Attachment A - Telecommunications Facilities Lease Agreement
22137e81-4f39-44db-989f-670a972b8b52