To: MAYOR AND CITY COUNCIL
From: ANDREW WINJE, PUBLIC WORKS DIRECTOR
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APPROVE AN AMENDMENT TO THE SITE LICENSE AGREEMENT WITH T-MOBILE WEST LLC. TO EXTEND THE AGREEMENT FOR THE OPERATION OF THE COMMUNICATIONS EQUIPMENT LOCATED AT 415 DIAMOND STREET, THROUGH MAY 19, 2028
APPROVE THE INCLUDED SETTLEMENT AGREEMENT (EXHIBIT F) TO RESOLVE OUTSTANDING CLAIMS ALLEGED BY THE CITY RESULTING IN A PAYMENT OF $23,425 TO THE CITY
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EXECUTIVE SUMMARY
T-Mobile West LLC (Licensee) has requested the attached first amendment to the License Agreement with the City (First Amendment) for the installation and operation of the communications monopole and associated equipment located at 415 Diamond Street. The equipment operates as a macro cell tower, which improves the cellular service for the surrounding community in Redondo Beach. The First Amendment includes a negotiated settlement agreement for the Licensee's failure to obtain approval for additional new equipment that was installed during previous maintenance activities.
Upon approval, T-Mobile West LLC, the current licensee, will pay the City $23,425, per the Settlement Agreement. In addition, the City will receive an estimated $96,000 in license fees for the first year of the First Amendment, and increased annual revenue based on a 5% escalator for each subsequent year through expiration of the Agreement. The First Amendment extends the term through May 19, 2028, with the option to renew for four additional five-year terms.
BACKGROUND
The City entered into a site license agreement with Cox Communications in 1998 for the cell tower located at 415 Diamond Street in the Redondo Beach Civic Center. The Agreement expired in 2003 when Cox Communications failed to exercise its option to extend the lease. At that time, the City was notified that Sprint assumed the role of Lessee under the Agreement. Sprint continued to maintain the site and make the required payments under the expired Agreement. ...
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