Title
A RESOLUTION AUTHORIZING THE CITY MANAGER TO ENTER A LEASE AGREEMENT WITH NORTHSTAR TOWERS II, LLC.
Brief Description: Consideration of a long term lease agreement between the City of Hudson and Northstar Towers II, LLC for the lease of City-owned property for the construction, installation, and operation of a telecommunications (cell) tower and related communications equipment to benefit the southern portion of the City.
Body
Legislative History
None
Purpose & Explanation
The purpose of this Lease Agreement is to allow Northstar Towers II, LLC to develop and operate a telecommunications facility on City-owned property across from City Hall. The goal is to materially enhance wireless infrastructure and service capacity within the City.
The proposed lease establishes an initial term of five (5) years, with up to five (5) automatic renewal terms of five (5) years each. NorthStar will pay base rent plus additional rent payments for each cell provider that lease space on the tower. In addition to base rent, the City will receive a one-time co-location fee of $5,000 for each additional telecommunications carrier that installs equipment on the tower.
The proposed lease also provides a public benefit by allowing the City to install public safety and governmental communications equipment on the tower at no additional cost, subject to certain limitations.
In short, this lease is intended to generate revenue from City-owned property while supporting improved telecommunications services for residents, businesses, and emergency response operations.
Legal Authority for Proposed Legislation
Pursuant to Charter Section 6.04:
Competitively bid and advertised for three consecutive weeks; bid tab attached: [Yes/No/NA])
Joint or Cooperative Purchase Program
Professional Services
X Other [provide explanation]
Fiscal Impact
Currently Budgeted (Account #, $)
Supplemental Appropriation Required (Account #, $)
Appropriation Not Required.
Does this legislation require use of an emergency clause?
Yes [if so, explain why]
X No
Recommendation
Suggested Action
Staff recommends that City Council approve the Lease Agreement with Northstar Towers II, LLC, and authorize the City Manager to execute the agreement, subject to any final revisions approved by the City Manager and City Solicitor.
Submitted by,
Thomas J. Sheridan, City Manager