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File #: 21-0580    Version: 1
Type: Consent - Agreements Status: Passed
File created: 10/18/2021 In control: City Council
On agenda: 11/9/2021 Final action: 11/9/2021
Title: First Amendment to Permit Agreement with Los Angeles SMSA Limited Partnership, dba Verizon Wireless.
Attachments: 1. Staff Report, 2. First Amendment to Permit Agreement

TO:                                          Honorable Mayor and Members of the City Council

 

FROM:                     Thomas R. Hatch, Interim City Manager

                                                                                                          

                                          

                     

1.                     Subject

title

First Amendment to Permit Agreement with Los Angeles SMSA Limited Partnership, dba Verizon Wireless.

body

2.                     Summary

This First Amendment would extend the term of the original agreement by twenty years for a wireless facility mounted on a street light pole on Jamboree Road near the city boundary with Tustin.

3.                     Recommended Action

recommendation

Approve First Amendment with Los Angeles SMSA Limited Partnership, dba Verizon Wireless; and authorize the Mayor and City Clerk to execute on behalf of the City.

end

4.                     Fiscal Impact

None.

5.                     Strategic Plan Goals

Goal 2: Be a fiscally healthy community

d: Effectively manage and develop City assets.

6.                     Discussion and Background

In 2003, the City entered into an agreement with Los Angeles SMSA Limited Partnership, dba Verizon Wireless (Verizon) to install a small cell facility on a City-owned street light pole on Jamboree Road near the city border with Tustin. This agreement expires on October 1, 2023, and the proposed amendment would extend the term of the agreement for an additional twenty years. In exchange for extending the term of the agreement, Verizon has agreed to increase the annual attachment fee by 25% to $3,992.76 and increase the fee amount by 4% each year during the term extension. Staff believes that the proposed terms will bring the lease in line with market rates for similar installation types.

Staff recommends approving the proposed amendment to allow Verizon to continue providing robust wireless coverage in the City of Orange while also providing lease revenue to support City infrastructure and services.

7.                     ATTACHMENT

                     First Amendment to Permit to Attach, Install, Operate, and Maintain a Wireless Communications Network