To: Honorable Mayor and Members of Town Council
From: Mark Marlowe, P.E., Utilities Director
Title
Ordinance: Approving the Colorado Option and Structure Lease Agreement Between the Town of Castle Rock and New Cingular Wireless, aka AT&T Mobility for a Personal Wireless Facility to be located at 472 North Ridge Road (Second Reading)
Body
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Approved on first reading with a vote of 5 to 0 with no changes.
Executive Summary
The purpose of this memorandum is to request Town Council approval of an ordinance authorizing an Option and Lease Agreement (Land) between the Town and New Cingular Wireless, also known as AT&T Mobility. New Cingular Wireless would like to construct a stealth 70-foot monopole, an equipment shelter and a storage building adjacent to the Town's existing water tank serving the Castle Oaks/Terrain subdivision located at 472 N. Ridge Road (see Attachment A). This ordinance will approve a lease agreement that will allow New Cingular Wireless to use Town property for this purpose. The lease agreement will provide the Water Enterprise $1,500 per month in non-rate revenue, and likely improve cell service in the Town. This lease rate is consistent with the three other leases the Town has approved. Total revenues of these types of leases are approximately $80,000 annually.
Notification and Outreach Efforts
The communication for this project is discussed in the agenda memo for the related Use
By Special Review application.
History of Past Town Council, Boards & Commissions or Other Discussions
On May 22, 2015, Planning Commission voted 5 to 0 to approve a Skyline Variance to allow a 70-foot high structure (monopole) for this site, which is within the Moderate Skyline Protection Area. Planning Commission approval of the variance allowed AT&T to move forward with the UBSR application.
On June 25, 2015, Planning Commission voted 7 to 0 to recommend approval of this Use by Special Review to Town Council.
On July 21, 2015, Town Council approved the UBSR by a vote of 7 to 0.
Discussion
New Cingular Wireless would like to lease approximately 738 square feet of Town property for the proposed cell tower site. The purpose of this facility is to improve cellular telephone coverage and capacity for AT&T Wireless phones in a critical area in Castle Rock. Town staff and New Cingular Wireless have negotiated the terms of the attached lease agreement to this point (Exhibit 1). The provisions of the lease are consistent with a previous agreement entered into with the same provider. The agreement reflects an initial lease term of five years and an automatic renewal clause for four additional five-year terms. The lessee may terminate the lease agreement at the end of the first five-year term, and the Town may terminate it after the first ten years, with one year notice, if the Town requires that the portion of the property and the facility cannot be relocated on site. The agreement may be terminated with thirty days’ notice if the other party is in default of the terms of the agreement and fails to cure in the specified timeframe. The lessee agrees to install radio equipment that will not interfere with any of the Town's equipment to prevent any negative impacts to Utilities operations at this site.
The Town property is fully fenced and access is controlled and monitored. New Cingular Wireless access will be coordinated with Town staff similar to access control granted to other existing utilities on the site, such as IREA and Verizon. Per terms of the agreement, New Cingular Wireless agrees to maintain the property and take reasonable security precautions to keep the site secure from intrusion and interference.
The request is consistent with the goals from the Town's Vision 2020 Statement, as it meets two of the Town's cornerstones.
• To ensure the Town is carefully planned to accommodate the needs of existing and future residents while preserving and protecting Castle Rock's Town identity and quality of life.
• To ensure that all necessary community services are provided to support the public interest and well-being of all Castle Rock residents and businesses.
Budget Impact
The Town will collect rent in the amount of $1,500.00 per month for the first five years and an additional 15% for each subsequent five-year term. This income will provide non-sales tax revenue for the Town and will benefit the Utilities Water Enterprise Fund.
Staff Recommendation
Staff recommends approval of the ordinance authorizing the lease agreement and will execute the lease if Town Council approves it.
Proposed Motion
I move to approve Ordinance: Approving the Colorado Option and Structure Lease Agreement Between the Town of Castle Rock and New Cingular Wireless, aka AT&T Mobility for a Personal Wireless Facility to be located at 472 North Ridge Road (Second Reading)
Attachments
Attachment A: Ordinance
Exhibit 1: Agreement
Attachment B: Location map