HomeMy WebLinkAboutItem 11 - Ground and Tower Lease Agreement MEMO TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: BRUNO RUMBELOW, CITY MANAGER, I���
MEETING DATE: OCTOBER 2, 2012
SUBJECT: FIRST AMENDMENT TO GROUND AND TOWER LEASE
AGREEMENT WITH MetroPCS TEXAS, LLC FOR MUSTANG
WATER TOWER
RECOMMENDATION:
City Council consider adopting a resolution authorizing the First Amendment to the
Tower/Ground Lease Agreement with Grapevine-Colleyville Independent School District
and MetroPCS TEXAS, LLC for the co-location of two microwave dishes and installation
of communications equipment at the Mustang Water Tower, 3051 Ira E. Woods Avenue,
authorize the City Manager to sign said amendment, and take any necessary action.
FUNDING SOURCE:
The City of Grapevine and the GCISD will share the revenue earned from the lease
agreement. Each entity will receive half of an annual lease payment from MetroPCS of
$44,050 ($22,025 to each). The initial lease amount in 2006 was $31,000 ($15,500 to
each), current lease amount is $35,650 ($17,825 to each entity).
BACKGROUND:
The City of Grapevine, GCISD, and MetroPCS TEXAS, LLC, a Delaware Limited Liability
Company initially entered into a Tower/Ground Lease Agreement for 25 years on March
23, 2006. The installation of the proposed two microwave dishes is expected to add
service coverage to their customers in this area.
The main points of the amendment include:
• the installation of two microwave dishes,
• adjusting the annual rental rate (effective immediately), and
permits Lessee to add, modify and/or replace equipment in order to comply with
federal, state or local mandated applications.
Staff has reviewed the terms of the agreement and recommends approval.
R:WGENDA12012110-02-121MT LEASE WITH METROPCS W IRELESS 1st Amendment Agreement.doc
AMENDMENT TO GROUND AND TOWER LEASE AGREEMENT
This Amendment to Ground and Tower Lease Agreement (the "Amendment") is entered
into as of this day of , 2012, by and between The City of
Grapevine, Texas, a home rule municipal corporation, incorporated under Article XI, Section 5
of the Constitution of the State of Texas ("Grapevine"), the Grapevine-Colleyville Independent
School District ("GCISD"), and metroPCS Texas, LLC, a limited liability company organized
and existing under the laws of the state of Delaware, and authorized to do business in Texas
("Tenant").
A. On March 23, 2006, Grapevine, GCISD, and Tenant entered into a Ground and
Tower Lease Agreement (the "Lease") for the purpose of constructing, installing, operating, and
maintaining a communications facility, all as specified in the Lease.
B. Tenant now desires to install additional equipment, including additional antennas,
on the Tower situated on the Leased Site, and Tenant has therefore sought the approval of
Grapevine and GCISD to these additions.
C. Grapevine and GCISD are willing to give their approval of the additions pursuant
to this Amendment.
In consideration of the foregoing recitals and of the premises and the mutual obligations
set forth in this Amendment, the parties agree as follows:
1. Grapevine and GCISD hereby approve Tenant's request to install two microwave
dishes, Model ANT2 0.6 28 HP, each with a PT 2010 radio attached (the "Mini-
Link"). Exhibit A to this Amendment contains a technical description of the
Mini-Link and specifically describes where it will be located on the Tower.
2. Tenant agrees that it will use the Mini-Link for the sole purpose of providing
"back-haul" services to Tenant's equipment that is already located on the Tower,
as shown on Exhibit B, and that Tenant will not use the Mini-Link to provide any
other services or alternate services without the prior written consent of GCISD
and City.
3. In consideration for GCISD's and Grapevine's approval of the addition of the
Mini-Link to the Tower, the annual payment of Rent Annual Rent to be made by
Tenant shall increase by a total of $8,400.00, or $4,200.00 each to GCISD and
Grapevine (the "Additional Annual Rent'). The first payment of Additional
Annual Rent shall be made on the date this Amendment is fully executed,but will
be a pro rata amount based upon the dumber of days between the date this
Amendment is executed and March 23, 2013. By way of example only, if this
Amendment is executed on or before August 23, 2012, the pro rata payment of
Additional Annual Rent will be equal to seven-twelfths of $8,400.00, or
$4,900.00. Additional Annual Rent will be increased at the same time and in the
same manner that Rent or Annual Rent is increased pursuant to the Lease.
Amendment To Ground And Tower Lease Agreement 1
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4. Paragraphs 8.B. and 8.C. of the Lease are hereby amended to provide that Tenant
will provide Grapevine and GCISD copies of the insurance policies required by
those paragraphs rather than certificates of insurance evidencing their coverage.
5. Except as expressly amended by this Amendment, the Lease is otherwise
unmodified and remains in full force and effect. Each reference in the Lease to
itself shall be deemed to also refer to this Amendment.
6. All capitalized terms used but not defined in this Amendment shall have the same
meanings as specified in the Lease.
IN WITNESS WHEREOF, Tenant, Grapevine, and GCISD have duly executed this
Amendment as of the date first written above.
metroPCS, Texas,LLC
By:
Typed Name:
Title:
The City of Grapevine
By:
Typed Name:
Title:
Grapevine-Colleyville Independent School District
By:
Type Name:
Title:
Amendment To Ground And Tower Lease Agreement 2
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RESOLUTION NO.
A RESOLUTION OF THE CITY COUNCIII,,.. OF THE CITY OF
GRAPEVINE, TEXAS, APPROVING THE FIRST
AMENDMENT TO THE TOWER/GROUND LEASE
AGREEMENT WITH GRAPEVINE-COLLEYVILLE
INDEPENDENT SCHOOL DISTRICT AND METROPCS
TEXAS, LLC. FOR THE INSTALLATION OF
COMMUNICATIONS EQUIPMENT INCLUDING
ANTENNAS, CABLES AND OTHER COMMUNICATION
INSTRUMENTS ON THE MUSTANG WATER TOWER AND
PROVIDING AN EFFECTIVE DATE
WHEREAS, on March 23, 2006, the City of Grapevine and Grapevine-Colleyville
School District (hereinafter referred to as "Landlord") entered into a Tower/Ground
Lease Agreement with metroPCS Texas, LLC., a Delaware Limited Liability Company
for communications equipment on the Mustang Water Tower; and
WHEREAS, the City of Grapevine is in agreement to enter into Amendment#1 to
said Tower/Ground Lease Agreement with metroPCS Texas, LLC., a Delaware Limited
Liability Company; and
WHEREAS, Amendment #1 to the Tower/Ground Lease Agreement for the
Mustang Water Tower is attached as Exhibit "A".
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF GRAPEVINE, TEXAS:
Section 1. That all matters stated in the preamble of this resolution are true
and correct and are hereby incorporated into the body of this resolution as if copied in
their entirety.
Section 2. That the City Manager is hereby authorized to enter into said
Amendment#1 to the Tower/Ground Lease Agreement as attached.
Section 3. That all matters stated in the preamble of this resolution are true
and correct and are hereby incorporated into the body of this resolution as if copied in
their entirety.
Section 4. That this resolution shall take effect from and after the date of its
passage.
PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF
GRAPEVINE, TEXAS on this the 2nd day of October, 2012.
APPROVED:
ATTEST:
APPROVED AS TO FORM:
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