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File #: RES 22-177    Version: 1 Name: Renew Water Tower Lease With AT&T
Type: Resolution Status: Passed
File created: 11/21/2022 In control: City Council
On agenda: 11/21/2022 Final action: 11/21/2022
Title: Approve First Amendment to Lease Agreement with AT&T on Water Tower at 1100 Paul Parkway NE
Sponsors: Dan Schluender
Attachments: 1. Amendment

Consent - Dan Schluender, City Engineer

 

Title

Title

Approve First Amendment to Lease Agreement with AT&T on Water Tower at 1100 Paul Parkway NE

end

 

Executive Summary

Amend lease agreement with AT&T for wireless communication equipment on the water tower located at 1100 Paul Parkway NE.

 

Background

The attached agreement is an amended agreement for AT&T to lease space for wireless communication equipment on the Water Tower located at 1100 Paul Parkway, NE.  As the lease was nearing expiration, AT&T initiated the request and proposed revised terms that are mutually beneficial to both parties.  Except as expressly stated in the attached First Amendment, the original standard lease agreement remains in place.  The lease being amended is scheduled to expire at the end of 2022.  The amended lease follows standard water tower lease agreements and is essentially a 25-year lease (original 5-year term with four 5-year automatic renewals). The new lease would expire in 2047.  The annual initial lease amount is $20,500 per year with a 3% annual escalator beginning in 2027 through the term of the agreement.  Council’s approval of the agreement is recommended.

 

Strategic Plan Relationship

Not Applicable

 

Board/Commission Review

Not required.

 

Financial Impact

Maintains existing revenue stream accounted for in the General Fund. As such, this revenue mitigates reliance on the tax levy to support general city activities.

 

Public Outreach/Input

None required.

 

Staff Recommendation

Adopt the following resolution, approving the amendment to the Lease Agreement with AT&T

 

 

Attachment List

Amended Lease Agreement

 

Body

WHEREAS, AT&T desires to maintain a communications facility on a City of Blaine water tower as described in the agreement; and

 

WHEREAS, AT&T will enter into an Agreement with the City of Blaine to utilize a Blaine water tower, and

 

WHEREAS, the Agreement has been reviewed by staff and the City Attorney and is recommended for approval by the Blaine City Council.

 

NOW, THEREFORE, BE IT RESOLVED, by the Blaine City Council that the Mayor and City Manager are hereby authorized and directed to enter into a lease agreement with AT&T pertaining to the use of the Blaine water tower site at 1100 Paul Parkway NE.

 

Passed by the City Council of the City of Blaine this 21st day of November 2022.