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Home My WebLink AboutCOUNCIL - AGENDA ITEM - 04/06/2010 - SECOND READING OF ORDINANCE NO. 032, 2010, AUTHORI DATE: April 6, 2010 kk A. STAFF: Helen Matson, Kayla Ballard, AGENDA ITEM SUM Bill Whirty FORT COLLINS CITY COUNCIL Second Reading of Ordinance No. 032, 2010, Authorizing an Option to Lease, and a Subsequent Lease of, City- Owned Property at Collindale Golf Course to Clear Wireless, LLC for the Installation of a Wireless Service Tower and Related Equipment, and the Grant of Associated Easements. EXECUTIVE SUMMARY Clear Wireless, LLC has requested to lease 625 square feet of City-owned property on South Lemay Avenue at the Collindale Golf Course to install a 50-foot tower and related equipment to enhance wireless service in the area. Additionally, Clear Wireless is requesting utility and access easements that are necessary for the operation and maintenance of its tower and equipment. This Ordinance,unanimously adopted on First Reading on March 16,2010, authorizes the lease and associated easements. There is a growing desire and need for improved wireless internet services in Fort Collins. For customers to receive optimal wireless service, wireless towers and antennas need to be placed about a mile apart and must be in sight range. The installation and operation of this tower will provide wireless services to many businesses and residences that currently do not have access to this service and it will improve the wireless service for customers in this area. STAFF RECOMMENDATION Staff recommends adoption of the Ordinance on Second Reading. ATTACHMENTS 1. Copy of First Reading Agenda Item Summary-March 16, 2010 (w/o attachments) 2. Photo simulation of tower ATTACHMENT 1 DATE: March 16, 2010 AGENDA ITEM SUMMARY STAFF: Helen Matson, Kayla Ballard _ Bill Whirty T COLLINS CITY COUNCIL AM First Reading of Ordinance No. 032, 2010,Authorizing an Option to Lease, and a Subsequent Lease of, City-Owned Property at Collindale Golf Course to Clear Wireless, LLC for the Installation of a Wireless Service Tower and Related Equipment, and the Grant of Associated Easements. EXECUTIVE SUMMARY �, vN, ,r, Clear Wireless, LLC has requested to lease 625 square f�et+okGity-ownetllproperty on South Lemay Avenue at the Collindale Golf Course to install a 50400t tower�and related equipment to enhance wireless service in the area. Additionally, Clear Wireless is requesting utility and access easements tkiat are necessary for the operation and maintenance of its tower and equipment. BACKGROUND / DISCUSSION Clear Wireless has approached the City regarding the possible lease of land for the installation of a 50-foot tower with related equipment to enhance wireless service and necessary utility and access easements needed for tower operation. The proposed lease area is located on South Lemay Avenue at the south end of the Collindale Golf Course Driving Range. Through a series of negotiations,staff developed aground site option and lease agreement with Clear Wireless that meets the needs of botfh/parties. (Thi�-Lease Aglreemled contains the following: (1) an option to lease for a six-month peri for a payment-of'$2,500Iwith one 6-month renewal period for an additional payment of$2,500: The option�to lea a alFows Clear Wireless the opportunity to complete its due diligence of the site, which incl'ud'es going fhrdugh the Communi0evelopment& Neighborhood Services' regulatory requirements process, and, if it continues; (2) a proposed lease term for an initial five (5) years with automatic renewal of four (4) successive five-year periods. FINANCIAL IMPACT Clear Wireless will be responsible for all costs to install and maintain its tower and fence. Clear Wireless will also be ^. r----� m responsible for all utility expenses forithe tower ann d equipment:The lease will generate $16,800 annually over the initial five-year term. The lease rate will increasW20% each additional five year term. The Golf Division will use the fl 1 k I `^*'/ � ./ revenue from this lease for minor capital improvements,knowmasl the Life Cycle Funding Program,at the golf courses for renovations and replacement of worm,.{,infr'astr\uctures. u SUSTAINABILITY: ECONOMIC, ENVIRONMENTAL AND SOCIAL IMPACTS There is a rapidly growing need for wireless internet. The installation and operation of this tower will provide wireless services to many businesses and residences that currently do not have access to this service. STAFF RECOMMENDATION Staff recommends adoption of the Ordin a on'Fir Read ing. ATTACHMENTS U u 1. Photo Simulation 2. Location Map T-0-0" I r••1 ZX0 NO m L1Zm � Z � o �Zp O r;. x x m D m 08 � O Z r L) m Z .. 0 O TOWER EQUAL TO PROPOSED EXISTING NET POLE 8'-0" FENCE IN HEIGHT-PAINTTO MATCH EXISTING POLES f #. E' view of Proposed Tower and CO-DEN1024 COLLINDALE GOLF OC z AM Ground Equipment Compound N TFK SLM ORDINANCE NO. 032, 2010 OF THE COUNCIL OF THE CITY OF FORT COLLINS AUTHORIZING AN OPTION TO LEASE, AND A SUBSEQUENT LEASE OF, CITY-OWNED PROPERTY AT COLLINDALE GOLF COURSE TO CLEAR WIRELESS, LLC FOR THE INSTALLATION OF A WIRELESS SERVICE TOWER AND RELATED EQUIPMENT, AND THE GRANT OF ASSOCIATED EASEMENTS WHEREAS,the City is the owner of that certain parcel of real property described on Exhibit "A", attached and incorporated herein by reference (the "Property"); and WHEREAS, the Property is part of Collindale Golf Course; and WHEREAS, Clear Wireless, LLC ("Clear Wireless") has asked the City to lease it 625 square feet of space on the Property (the "Lease Parcel") for the installation of a 50-foot wireless service tower and related equipment to enhance its wireless service, and grant it a utility easement and an access easement to serve the tower (the "Easements"); and WHEREAS, the proposed Lease Parcel and Easements are described on Exhibit "B", attached and incorporated herein by reference; and WHEREAS, staff has worked with Clear Wireless on negotiating and preparing an option, lease and easement agreement(the"Agreement'),a copy of which is on file in the office of the City Clerk; and WHEREAS, under the terms of the Agreement, Clear Wireless would receive a six-month option to lease the Lease Parcel and acquire the Easements for a payment of$2,500 with one six- month renewal period for an additional $2,5 ft and WHEREAS, if Clear Wireless exercises the option, the Agreement would remain in effect for an initial lease term of five years,with four additional,successive five-year renewal periods;and WHEREAS, use of the Easements would be governed by the terms of the Agreement, and would terminate when the lease of the Lease Parcel terminates; and WHEREAS, the Agreement further provides that Clear Wireless shall make annual lease payments to the City at a rate of$16,800 per year for the initial lease term,said rate to be increased each renewal term by twenty percent; and WHEREAS,the Agreement would allow Clear Wireless to sublease space to up to two sub- tenants,including the right to partially assign its use of-the Easements,provided Clear Wireless pays the City rent for each such sublease in the amount of$7,200 per year for the first five years of each sublease, said rate to be increased by twenty percent for each additional five year period of a sublease; and WHEREAS, the Agreement requires Clear Wireless to proceed in accordance with any applicable regulatory requirements or restrictions, including the City Land Use Code and building permit requirements; and WHEREAS, City staff has determined that the proposed installation and use by Clear Wireless of its equipment on the Lease Parcel and use of the Easements on and under the Property are consistent with and will not conflict or interfere with the City's and the public's use of the Property; and WHEREAS, City staff has further determined that the financial benefits to the City of permitting the proposed use are substantial, and the impacts to the City are minimal; and WHEREAS, Section 23-111(a)of the City Code authorizes the City Council to sell,convey or otherwise dispose of any and all interests in real property owned by the City, provided that the City Council first finds, by ordinance, that such sale or other disposition is in the best interests of the City. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS as follows: Section 1. That the City Council hereby determines that the option to lease and the subsequent lease of the Lease Parcel to Clear Wireless, LLC , and the associated grant of a utility easement and an access easement on and across the Property, all as described on Exhibit "B", on terns and conditions consistent with this Ordinance, are in the best interests of the City. Section 2. That the Mayor is hereby authorized to enter into the Agreement with Clear Wireless, LLC for the option to lease and lease of the Lease Parcel and grant of the Easements, in substantially the form as is on file in the office of the City Clerk,together with such additional teens and conditions as the City Manager, in consultation with the City Attorney, determines to be necessary or appropriate to protect the interests of the City or effectuate the purposes of this Ordinance, including but not limited to any necessary changes to the legal description of the Lease Parcel or either of the Easements, as long as such changes do not materially increase the size or change the character of the Lease Parcel or either Easement. Introduced, considered favorably on first reading, and ordered published this 16th day of March, A.D. 2010, and to be presented for final passage on the i c ay of April, A.D. 2010. a Mayor ATTEST: City Clerk -2- Passed and adopted on final reading on the 6th day of April, A.D. 2010. Mayor . ATTEST: City Clerk -3-