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STAFFREPORT_PCS_AGREEMENTELPOTRERO .pdf

Moreno Valley City Council
August 19, 2025

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STAFFREPORT_PCS_AGREEMENTELPOTRERO .pdf
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August 19, 2025
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Moreno Valley City Council
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Text extracted from the city's file for reading and search. Open the original on pub-morenovalley.escribemeetings.com. That file is the official record.

Report to City Council

ID: 25-0311 Page 1

TO: Mayor and City Council
Mayor and City Council Acting in its Capacity as
President and Members of the Board of Directors of
the Moreno Valley Community Services District (CSD)

FROM: Jeremy Bubnick, Parks & Community Services
Director

AGENDA DATE: August 19, 2025

TITLE: TELECOMMUNICATIONS LICENSE AGREEMENT

WITH NEW CINGULAR WIRELESS PCS, LLC FOR A
CELL TOWER AT EL POTRERO PARK (REPORT OF :

THE PARKS AND COMMUNITY SERVICES
DEPARTMENT) (DISTRICT 4)

TITLE SUMMARY: Telecommunications License Agreement – El Potrero Park (Site ID# CSL04656/FA# 15547709) With New Cingular
Wireless PCS, LLC for Rental/Lease of Ground Area and
Maintenance Fees Associated with the Installation and
Operation of a Cell Tower (Mono-Pine)

DISTRICT: District 4

Recommendation(s)

That the City Council and CSD:

1. Authorize the City Manager/Executive Director of the Moreno Valley CSD to execute the Telecommunications License Agreement, as approved by the City Attorney with Licensee, New Cingular Wireless PCS, LLC, a Delaware limited liability company, for a License/Lease Agreement of 713 square feet of ground area located in El Potrero Park, as described in the Telecommunications License Agreement for the installation and use of telecommunications and related equipment for cellular telecommunications operations.

Licensee agrees, per the terms of the Agreement to pay to Licensor (City/CSD) License

ID: 25-0311 Page 2
Rental Fees that include a one -time payment of $25,000.00 and thereafter on the anniversary of the Commencement Date an annual License Rental Fee of $39,000.00, which shall increase annually at a rate of either CPI or 3%, whichever is greater, per the terms of the Agreement. Licensee further Agrees that upon acceptance of the site improvements, Licensee will pay a graffiti removal and landscape maintenance fee in the amount of $100.00 per month, which shall increase annually at a rate of CPI of 3%, whichever is greater, per the terms of the Agreement. The term of this Agreement shall be for five (5) years commencing on the Commencement Date and Licensee shall have the right to extend the Term of this License for five (5) additional terms ("Renewal Terms") of five (5) years each, per the Agreement.

2. Authorize the City Manager/Executive Director of the Moreno Valley CSD and/or their designee to submit necessary budget adjustments as applicable.

SUMMARY

This report recommends that the City Council and the City Council in their capacity as the Board of Directors of the Moreno Valley Community Services District (CSD), hereafter referred to as “City”, (Licensor) authorize the City Manager and the City Manager in their capacity as Executive Director of the Moreno Valley Community Services District to enter into (execute) the Telecommunications License Agreement with Licensee, New Cingular Wireless PCS, LLC , (Licensee) to establish a Telecommunications License Agreement (“Agreement”) with the Licensee for an initial one-time payment of $25,000.00 and an annual rental of ground area at El Potrero Park (APN 312-243-010), for a term of five (5) years, with the option to renew the Agreement for an additional five (5), five-year (5-year) periods, at the annual rental/lease amount of $39,000.00, which is subject to an annual increase of either CPI based on the Riverside-San Bernardino-Ontario Index CPI (U) all items for 12 months or 3%, whichever is greater, and a $100.00 per month graffiti abatement and landscape maintenance fee. The graffiti abatement and landscape maintenance fee shall also be increased annually on the Commencement Date at a rate of either CPI based on the Riverside-San Bernardino-Ontario Index CPI (U) all items for 12 months or 3%, whichever is greater.

DISCUSSION

Due to increased demand for telecommunications services, resulting from the proliferation of various personal communication devices making use of cellular tower facilities an ever growing necessary to meet consumer demand especially within populated areas throughout Southern California to meet the ever growing need for wireless connectivity.

Representatives with Licensee, New Cingular Wireless PCS, LLC, met with Parks and Community Services staff to review and discuss their request to enter into a Telecommunications License Agreement to lease approximately 713 square feet of ground area to install telecommunications equipment including a generator and antenna

ID: 25-0311 Page 3
structure(mono-pine) for the purpose of the provision of mobile/wireless communications services per the terms of the Telecommunications License Agreement (“Agreement”} the cell site would be located at 16901 Lasselle St, Moreno Valley, CA 92553 (Assessor Parcel No. (APN) 312-243-010), known as El Potrero Park. The Agreement would be for an initial one-time payment of $25,000.00. Thereafter, on the anniversary of the annual Commencement Date and throughout the Term of this License, Licensee shall pay Licensor (City/CSD) an annual License Rental Fee on the Commencement Date of Thirty- Nine Thousand Dollars ($39,000.00) per year, which is subject to an annual increase of either CPI based on the Riverside-San Bernardino-Ontario Index CPI (U) all items for 12 months or 3%, whichever is greater. The term of the Agreement is for five (5) years, with five (5) additional renewals terms of (5) five years each. The Rental/Lease amount of the initial term of the Agreement will provide the City/CSD with $25,000.00 in revenue and thereafter an additional $39,000.00, which is subject to an annual increase of CPI or 3%,whichever is higher, in revenue. In addition, a $100.00 per month graffiti abatement and landscape maintenance fee will be paid by the Licensee. The graffiti abatement and landscape maintenance fee is also subject to an annual increase on the Commencement Date of either CPI based on the Riverside-San Bernardino-Ontario Index CPI (U) all items for 12 months or 3%, whichever is greater.
.

ALTERNATIVES

1. Approve the recommendations as outlined in this Staff Report. Staff recommends this alternative as it would result in additional revenue to the City/CSD.

2. Do not approve and authorize the recommend ations outlined in this Staff Report.

Staff does not recommend this alternative as it would result in a loss of revenue to the City/CSD.

FISCAL IMPACT

Minimum Revenue (1st Year)
Rental (Account No. 5011-50-57-35210-463080)……………………………. $25,000.00 Maintenance (Account No. 5011-50-57-35210-501000)…………………….. $ 1,200.00 Total Minimum (1st Year)……………………………………………………… $26,200.00

NOTIFICATION

Posting of the agenda.

PREPARATION OF STAFF REPORT

Prepared By: Department Head Approval:

Sharon Goodale Jeremy Bubnick
Management Analyst Director of Parks and Community Services

Concurred By:

Dan Monto
Parks & Landscape Services Division Manager

ID: 25-0311 Page 4

CITY COUNCIL GOALS

Revenue Diversification and Preservation: Develop a variety of City revenue sources and policies to create a stable revenue base and fiscal policies to support essential City services, regardless of economic climate.

ID: 25-0311 Page 5
Report Approval Details
Document Title: STAFFREPORT_PCS_AGREEMENTELPOTRERO .docx Attachments: - Exhibit C _COAs.pdf
- Exhibit A to Agreement Property Description.pdf
- Exhibit B Site Plans.pdf
- Exhibit A Agreement_Draft.docx
Final Approval
Date:

Aug 12, 2025

This report and all of its attachments were approved and signed as outlined below:

Jeremy Bubnick
Natalia Lopez
Dena Heald
Launa Jimenez
Brian Mohan
Patty Rodriguez

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