Agenda #: 5.5
Meeting Date: June 4, 2024
TO: Honorable Mayor and Members of the City Council
FROM: Daniel Fox, City Manager
TITLE: WIRELESS SITE LICENSE AGREEMENT WITH DISH WIRELESS LLC
TO ALLOW FOR THE CONSTRUCTION AND LOCATION OF A
CELLULAR SITE AT PETERSON PARK.
STRATEGIC
GOAL: Safe, Sustainable & Healthy Community
RECOMMENDATION:
Approve and authorize the City Manager to execute the Wireless Site License Agreement and associated documents required for the operation of the DISH Wireless cellular site at Peterson Park through June 2044.
FINANCIAL IMPACT:
The City will receive $2,500 per month ($30,000 annually) for the operation of DISH site at Peterson Park. The new total annual lease payment will be subject to annual Consumer Price Index (CPI) adjustments.
BACKGROUND:
The City was approached by representatives from DISH Wireless LLC to use a vacant enclosure at Peterson Park. There is one existing tenant at Peterson Park, which operates cellular equipment and an emergency generator on site. The DISH Wireless request would operate at Peterson Park, and similar to other City facilities that have multiple tenants on site.
ANALYSIS:
City staff and City Attorney’s Office have worked with the applicant on the DISH Lease Agreement, which is based within the fair market value range of similar agreements at the rate of $2,500 per month plus annual CPI. There are many considerations that go into lease rates for cellular sites, and depend on several factors such as the importance of the site to the network, property values and associated lease rates, as well as market
conditions when the lease was negotiated. Within that context, each municipality cellular leases will vary based on those characteristics.
The Peterson Park location has in the past operated with two providers. However, the secondary provider on site decommissioned their cellular equipment in 2016. With the addition of DISH, that will provide additional revenue stream to the City of $30,000 annually plus CPI. The initial term of five years will operate through 2029, with three additional five-year terms through 2044, should they be exercised.
It is requested that the City Council authorize the City Manager to execute the agreement and related documents as are necessary to approve the DISH Wireless request to locate at Peterson Park.
LEGAL REVIEW:
The City Attorney has reviewed and approved the Lease Agreement as to form.
PREPARED BY:
REVIEWED BY:
Attachments:
1. 5.5.a DISH Lease Agreement