CITY COUNCIL: Resolution Extending Lease Agreement with Crown Castle to Maintain Cell Phone Tower at Carmel Youth Center

Meeting Date: July 3, 2012
Prepared by: Steve Mclnchak

City Council

Agenda Item Summary

Name: Consideration of a Resolution extending the lease agreement with Crown Castle to maintain a cell phone tower on City property at the Carmel Youth Center.

Description: Since 2007, the City has leased a cellular phone tower at the Carmel Youth Center from Crown Castle (formerly Sprint). The lease expires this month and must be renewed.


Overall Cost:
City Funds: N/A
Grant Funds: N/ A

Staff Recommendation: Adopt the Resolution.

Important Considerations: The Carmel Youth Center receives funds from the City for its budget and the City uses the lease funds to offset that contribution.

Decision Record: The City Council approved the original agreement with Crown Castle in July 2007.


Reviewed:


Jason Stilwell, City Administrator  Date


CITY OF CARMEL-BY-THE-SEA
STAFF REPORT


TO: MAYOR BURNETT AND COUNCIL MEMBERS
THROUGH: JASON STILWELL, CITY ADMINISTRATOR
FROM: STEVE MCINCHAK, INFO SYSTEM/NETWORK MANAGER
DATE: 3 JULY 2012
SUBJECT: CONSIDERATION OF A RESOLUTION EXTENDING THE LEASE AGREEMENT WITH CROWN CASTLE TO MAINTAIN A CELL PHONE TOWER ON CITY PROPERTY AT THE CARMEL YOUTH CENTER


SUMMARY RECOMMENDATION

Extend the lease with Crown Castle for an additional five years.

BACKGROUND & PROJECT DESCRIPTION

Sprint originally installed the cell phone tower at the Carmel Youth Center in July 2003.  Crown Castle took over the management of the tower lease in July 2007 and has paid the City $1,859.46 per month or $22,313.52 per year. These funds are an offset that the City uses to provide the Carmel Youth Center with $18,000 annually.


Crown Castle refused all attempts to alter the amount in a positive manner to the City. It is unknown if another carrier in competition with Crown Castle would be able to increase the lease. Research of the options has shown that the Crown Castle lease would provide the most benefit to the City.


RECOMMENDATION

Extend the lease for another five years at the current rate.

CITY OF CARMEL-BY-THE-SEA
CITY COUNCIL
RESOLUTION 2012-
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARMEL-BY-THE-SEA EXTENDING THE LEASE AGREEMENT WITH CROWN CASTLE TO MAINTAIN A CELL PHONE TOWER ON CITY PROPERTY AT THE CARMEL YOUTH CENTER


WHEREAS, the City has leased a cellular phone tower on City property at the Carmel Youth Center since July 30, 2007; and


WHEREAS, the lease agreement expires in July 2012 and must be extended for another five years; and

WHEREAS, the City receives $22,313.46 annually from Crown Castle, the proceeds of which support the Carmel Youth Center.


NOW, THEREFORE, BE IT RESOLVED THAT THE CITY COUNCIL OF THE CITY OF CARMEL-BY-THE-SEA DOES:


1. Approve a five-year lease agreement between the City of Carmel-by-the-Sea and Crown Castle for the cellular tower at the Carmel Youth Center.


PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF CARMEL-BY-THE-SEA this third day of July 2012, by the following roll call vote:


AYES: COUNCIL MEMBERS:
NOES: COUNCIL MEMBERS:
ABSENT: COUNCIL MEMBERS:

SIGNED:


 JASON BURNETT, MAYOR

ATTEST:


Heidi Burch, City Clerk