Special Notice / Hearing: None__
Vote Required: Majority
To: Honorable Board of Supervisors
From: Mike Callagy, County Manager
Subject: Amendment to the Permit Agreement with Sprint Spectrum Realty Company, LLC. for the continued operation of a wireless communication facility at the Tower Road Communication Facility in San Mateo, located at 81 Loop Road, in the City of San Mateo (Permit No. 5276)
RECOMMENDATION:
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Adopt a resolution authorizing:
A) The President of the Board of Supervisors to execute an Amendment to the Permit Agreement with Sprint Spectrum Realty Company, LLC for the continued operation of a wireless communication facility at the Tower Road Communication Facility in San Mateo, increasing the monthly rate to $4,346.23, and extending the term through May 31, 2024 with one option to extend for an additional five years; and
B) The County Manager, or his designee, to execute notices, options, consents, approvals, terminations, and documents associated with the agreement including, but not limited to, extension or termination of the agreement under the terms set forth therein. (Permit No. 5276)
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BACKGROUND:
Sprint Spectrum Realty Company, LLC (“Sprint”) has occupied space at the County’s Tower Road Complex, located at 81 Loop Road, in San Mateo, (“Property”), since 2001. The most recent Permit Agreement expired May 31, 2019, and Sprint has remained at the Property under the holdover provision of the Permit Agreement. Sprint currently occupies approximately 225 square feet of ground space for the installation, construction, operation and maintenance of a communications facility. Acceptance of the Second Amendment to Permit Agreement will authorize Sprint to continue to operate a wireless communication facility at an increased Monthly Base Permit Fee of $4,346.23, for a term of five years with one option to extend for an additional five years.
DISCUSSION:
Real Property Services has negotiated an Amendment to the Permit Agreement with Sprint, which extends the termination date of the lease to May 31, 2024, thus restoring Sprint from holdover status, and provides Sprint with one option to extend the term for an additional five years. By agreement, the increased Monthly Base Permit Fee of $4,346.23 will be effective as of June 1, 2019, the date that Sprint originally entered into holdover status. Under the terms of the Amendment, the Monthly Base Permit Fee will increase by three percent annually.
County Counsel has reviewed and approved the amendment as to form. The Director of Public Works concurs with this recommendation.
FISCAL IMPACT:
The current fiscal year’s revenue of $52,154.76 ($4,346.23 x 12 months) will be received in the form of monthly rent payments and will be deposited into the Other Rents & Concessions fund (47310-1559) in the Department of Public Works.