COUNCIL COMMUNICATION

 

DATE:                        SUBJECT:  FINAL READING  ORDINANCE 2002-0-264

10-21-02                      Authorizing the City Manager to execute a lease with Texas #20

                                    Rural Cellular, Inc., for a 40’ X 58’ ground space at the

                                    Lyon Street Water Tanks located at 1501 East Lyon Street,                                                        

                                    Laredo, Webb County, Texas and being more fully described in

                                    Exhibit “A” of lease agreement to construct on such premises an 80 ft.

                                    high monopole tower  and  related equipment building for use                                                      

                                    with its communications business.

                                    Term of the lease is five  (5) years commencing October 21, 2002

                                    And ending  October 20, 2007 with four (4) successive renewal

                                    terms of five (5) years.  Annual base rent shall be $8,400.00 each year

                                    during the term of the lease and will be adjusted by four  percent

                                    (4%) on each anniversary of the commencement date, providing for

                                    effective date.

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INITIATED BY:                                            STAFF SOURCE:

Larry Dovalina, City Manager                     Larry Dovalina, City Manager

______________________________________________________________________________

ACTION PROPOSED:  That the City Council approve the final reading of this ordinance. 

______________________________________________________________________________

BACKGROUND:

 

The Telecommunications Commission has proposed the use of City of Laredo property to

promote the orderly growth and placement of cellular tower sites in our municipality.  City

staff has diligently attempted to regulate the proliferation of towers in our community by

promoting the use of water tanks and other structures. 

 

The City currently has seven leases with United States Cellular, seven with Southwestern

Bell/Cingular Wireless, four with Texas Telecommunications, four with American Tower,

one with Towers of Texas, one with Nextel Partners and one with Voicestream.

 

 

______________________________________________________________________________

FINANCIAL:  The city will receive an annual rent of $8,400.00 with a 4% increase each

succeeding year.  Rent will be credited to General Fund-Telecommunications Revenue line

item #101-0000-361-2006.

______________________________________________________________________________

RECOMMENDATION:                              STAFF:

The Telecommunications Commission         Staff concurs with the recommendation of

recommends approval.                                   the commission.

 

 

ORDINANCE  2002-0-264

 

 

AUTHORIZING THE CITY MANAGER TO EXECUTE A LEASE WITH TEXAS #20 RURAL CELLULAR, INC.,   FOR A 40’ x 58’ GROUND SPACE AT THE LYON STREET WATER TOWERS LOCATED AT 1501 E. LYON STREET, LAREDO, WEBB COUNTY, TEXAS AND BEING MORE FULLY DESCRIBED IN EXHIBIT “A” OF LEASE AGREEMENT TO CONSTRUCT ON SUCH PREMISES AN EIGHTY (80) FOOT HIGH MONOPOLE TOWER AND RELATED EQUIPMENT BUILDING FOR USE IN CONNECTION WITH ITS COMMUNICATIONS BUSINESS.

 

1.     TERM OF THE LEASE IS FIVE (5) YEARS COMMENCING ON OCTOBER 21, 2002 AND OCTOBER 20, 2007, WITH AN OPTION FOR FOUR (4) SUCCESSIVE RENEWAL TERMS OF FIVE (5) YEARS.

2.     THE ANNUAL BASE RENT SHALL BE $8,400.00  EACH YEAR DURING THE TERM OF THE LEASE AND WILL BE ADJUSTED ON EACH ANNIVERSARY OF THE COMMENCEMENT DATE BY FOUR PERCENT (4%), PROVIDING FOR EFFECTIVE DATE.

 

            WHEREAS, the Telecommunications Commission recommends that the City Council approve the proposed lease between the City of Laredo (“Landlord”) and Texas #20 Rural Cellular, Inc., (“Tenant”), for a ground lease at the Lyon Street Water Tanks located at 1501 East Lyon Street, Laredo, Webb County, Texas, to construct on such premises an eighty  (80) foot high monopole tower and related equipment for use in connection with its communications business, as a contract and in furtherance of the development of the City of Laredo Telecommunications infrastructure.

 

            WHEREAS, the Telecommunications Commission finds that said lease and contract are in the best interest of the City of Laredo and

 

            WHEREAS, the City Council of the City of Laredo is of the same opinion.

 

            NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LAREDO THAT:

 

Section 1.        The City Manager be and is hereby authorized to execute a lease with Texas #20 Rural Cellular, Inc., for a 40’ X 58’ ground space  at the Lyon Street Water Tanks located at 1501 East Lyon Sreet, Laredo, Webb County, Texas, and being more fully described in Exhibit “A” of lease agreement to construct on such premises a eighty (80) foot high monopole tower and related equipment building for use in connection with its communications business, copy of which lease is attached hereto as Exhibit A and incorporated herein as if set out at length for all intents and purposes.

 

Section 2.        This Ordinance shall become effective upon passage hereof.

 

PASSED BY THE CITY COUNCIL AND APPROVED BY THE MAYOR ON THIS THE 21ST  DAYOF OCTOBER, 2002.

 

 

 

 

_______________________

ELIZABETH G. FLORES

MAYOR

 

ATTEST:

 

_______________________

GUSTAVO GUEVARA, JR.

CITY SECRETARY

 

APPROVED AS TO FORM:

 

JAIME L. FLORES

CITY ATTORNEY

 

 

___________________________

BY:  ALLAN W. MCGRAW

ASSISTANT CITY ATTORNEY