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HomeMy WebLinkAbout2023-06-20; City Council; ; Second Amendment to License Agreement with T-Mobile West Expanding the Wireless Communication Facility License Area at Calavera Hills Community ParkCA Review ___AF___ Meeting Date To: From: Staff Contact: Subject District: June 20, 2023 Mayor and City Council Scott Chadwick, City Manager Curtis Jackson, Real Estate Manager curtis.jackson@carlsbadca.gov, 442-339-2836 Second Amendment to License Agreement with T-Mobile West Expanding the Wireless Communication Facility License Area at Calavera Hills Community Park 2 Recommended Action Adopt a resolution approving the second amendment to the license agreement between T- Mobile West LLC and the City of Carlsbad to increase the sublicense area at Calavera Hills Community Park from 48 square feet to 112 square feet to accommodate a sublicense with Dish Wireless, LLC to operate a wireless communication facility and authorizing the City Manager to execute the amendment. Executive Summary T-Mobile West LLC operates wireless telecommunication facilities at the Calavera Hills Community Park for the use of its customers. The City Council is being asked to approve an amendment to the city’s license agreement with T-Mobile that would its increase the sublicense area from 48 square feet to 112 square feet. This will enable T-Mobile to accommodate a sublicense with Dish Wireless, LLC to operate a wireless communication facility at the park. The first amendment to the license agreement that allowed for the sublicense with Dish Wireless was previously approved by the City Council in September 2022. This second amendment would allow T-Mobile to expand the sublicense area with Dish Wireless. Only the City Council has the authority to approve license agreements or amendments to license agreements. The City Council’s approval of this action will authorize the City Manager to execute the proposed amendment. Explanation & Analysis History of agreement •The city and T-Mobile first entered into a license agreement to operate wireless telecommunication facilities at the park in 2008 (Resolution No. 2008-285) •In 2022, the city approved a second extension to a minor conditional use permit (MCUP (07-04) to allow for the wireless facilities. The permit is valid through March 15, 2033 June 20, 2023 Item #7 Page 1 of 16 •The city and T-Mobile entered into a new 10-year license agreement on April 12, 2019, that allowed the company to continue to operate the wireless communication facility at the park. The license provides for two automatic extensions of five years each, unless the license holder is in default, with the final extension expiring on April 11, 2039 (Resolution No. 2019-045) •The city approved Amendment No. 1 to the license agreement on Sept. 13, 2022, that allowed T-Mobile to sublicense 48 square feet of the facility to Dish Wireless (Resolution No. 2022-218) Proposed amendment As part of the building permit approval process related to the sublicense with Dish Wireless approved in 2022, the area necessary to allow for the sublicense to Dish Wireless was determined to be 112 square feet, or 64 square feet larger than the previously approved 48 square feet. This expansion in sublicense area triggered the need to amend the license agreement. The minor conditional use permit does not need to be amended. T-Mobile will pay half of the rent it receives from Dish Wireless to city each year for the duration the agreement. If Dish Wireless fails to occupy the premises, T-Mobile will be under no obligation to pay the city additional rent and T-Mobile’s use of the additional 112 square feet of license area would be terminated. Fiscal Analysis Under the existing license agreement, T-Mobile pays the city $49,828 per year. With this amendment, T-Mobile will pay the city additional rent representing 50% of the rent it receives from Dish Wireless annually for the duration the agreement. T-Mobile anticipates charging $12,000 per year to sublicense the premises, so the city should receive approximately $6,000 per year in additional rent from T-Mobile, for a total of $55,828 per year. Options Staff recommend that the City Council approve this second amendment, which will allow Dish Wireless to provide wireless communication services in the area and have a minimal impact on the site. The city will also receive additional revenue from the facility being sublicensed. Staff see no drawbacks in approving this amendment. If it is rejected, T-Mobile would not be able sublicense the site to Dish Wireless, limiting that provider’s ability to serve its customers in Carlsbad. Next Steps T-Mobile and city staff will implement the terms of the amended agreement. Environmental Evaluation The proposed action is exempt from the California Environmental Quality Act as outlined in Guidelines 15301 – Existing Facilities. This section exempts the leasing of property involving negligible or no expansion of use beyond that existing at the time of the agency’s determination. Exhibits 1.City Council resolution June 20, 2023 Item #7 Page 2 of 16 RESOLUTION NO. 2023-178 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, APPROVING THE SECOND AMENDMENT TO THE LICENSE AGREEMENT BETWEEN T-MOBILE WEST LLC AND THE CITY OF CARLSBAD TO INCREASE THE SUBLICENSE AREA AT CALAVERA HILLS COMMUNITY PARK FROM 48 SQUARE FEET TO 112 SQUARE FEET TO ACCOMMODATE A SUBLICENSE WITH DISH WIRELESS, LLC TO OPERATE A WIRELESS COMMUNICATION FACILITY AND AUTHORIZING THE CITY MANAGER TO EXECUTE THE AMENDMENT WHEREAS, on Oct. 14, 2008, the city and T-Mobile West LLC first entered into a license agreement to operate wireless telecommunication facilities at the Calavera Hills Community Park (Resolution No. 2008-285); and WHEREAS, in 2022, the city approved a second extension to a Minor Conditional Use Permit (MCUP 07-04) to install six wireless antennae to an existing light standard monopole. MCUP 07-04 is valid through March 15, 2033; and WHEREAS, on April 12, 2019, the city and T-Mobile entered into a new ten-year license agreement that provides for two automatic extensions of five years each, unless Licensee is in default, with the final extension expiring on April 11, 2039 (Resolution No. 2019-045); and WHEREAS, on Sept. 13, 2022, the city approved Amendment No. 1 to the license agreement to allow T-Mobile to sublicense 48-square feet of the facility to Dish Wireless, LLC (Resolution No. 2022- 218); and WHEREAS, as part of the sub license, T-Mobile and Dish Wireless will now require 112 square feet of license area adjacent to T-Mobile's existing facilities, which is 64-square feet larger than the 48-square feet approved in the September 2022 Amendment No. 1; and WHEREAS, T-Mobile will pay the city additional rent in the amount of fifty percent (50%) of the rent they receive from Dish Wireless annually. If Dish Wireless fails to occupy the premises, T-Mobile will be under no obligation to pay the city additional rent and T-Mobile's use of the 112-square feet of license area would be terminated; and Exhibit 1 June 20, 2023 Item #7 Page 3 of 16 NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Carlsbad, California, as follows: 1. 2. The above recitations are true and correct. That Amendment No. 2 to the site license agreement is approved and the City Manager is authorized to execute the Amendment, which is attached hereto as Attachment A. 3.That the City Manager, or designee, is hereby authorized to take all actions necessary to implement the second amendment to the license agreement with T-Mobile West, LLC, that are consistent with and in full compliance with the terms and conditions expressed in the aforementioned agreement and to the satisfaction of the City Attorney. PASSED, APPROVED AND ADOPTED at a Regular Meeting of the City Council of the City of Carlsbad on the 20th day of June, 2023, by the following vote, to wit: AYES: NAYS: ABSTAIN: ABSENT: Blackburn, Bhat-Patel, Burkholder, Luna. None. Acosta. None. KEITH BLACKBURN, Mayor SHERRY FREISINGER, City Clerk (SEAL) Exhibit 1 June 20, 2023 Item #7 Page 4 of 16 SECOND AMENDMENT TO AMENDED AND RESTATED COMMUNICATIONS SITE LICENSE AGREEMENT THIS SECOND AMENDMENT TO AMENDED AND RESTATED COMMVNICATI?NS SITE LICENSE AGREEMENT (the "Second Amendment") is made effective this i\'� day of � \I\.V\L , 2023 ("Effective Date"), by and between CITY OF CARLSBAD, a municipal corporation (hereinafter referred to as "City") and T-MOBILE WEST LLC, a Delaware limited liability company, by and through its Attorney In Fact, CCTMO LLC, a Delaware limited liability company (hereinafter referred to as "Licensee"). RECITALS WHEREAS, the City and Licensee entered into an Amended and Restated Communications Site License Agreement dated April 12, 2019 (the "Original License") whereby Licensee licensed certain real property, together with access and utility easements, located in San Diego County, California from the City (the "License Area"), all located within certain real property owned by the City ("City's Property"); and WHEREAS, the Original Lease was amended by that certain First Amendment to Amended and Restated Communications Site License Agreement dated September 13, 2022 ("First Amendment") (hereinafter the Original License and First Amendment are collectively referred to as the "License"); and WHEREAS, the License had an initial term that commenced on April 12, 2019 and expires on April 11, 2029. The License provides for two (2) automatic extensions of five (5) years each, unless Licensee is in default. According to the License, the final extension expires on April 11, 2039;and WHEREAS, the City and Licensee desire to amend the License on the terms and conditions contained herein. NOW THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are acknowledged, the City and Licensee agree as follows: I.Recitals; Defined Terms. The parties acknowledge the accuracy of the foregoingrecitals. Any capitalized terms not defined herein shall have the meanings ascribed to them in the License. 2.First Additional License Area. Section 3 of the First Amendment is hereby deleted in its entirety and replaced with the following: The existing License Area is hereby expanded in size to include additional space, which consists of a 9.35' x 11.97' or one hundred twelve (112) square foot parcel of real property adjacent to the existing License Area at a location more particularly described on Exhibit A-1 attached hereto and shown on the Site Plan attached hereto as Exhibit B (the "First Additional License Area"). The License Area, as expanded, is described on Exhibit A-2 attached hereto. Notwithstanding anything to the contrary in this Second Amendment, Licensee is not relinquishing any rights Site Name Calavcra Hills Comm Dusiness Unit#: 822887 Attachment A June 20, 2023 Item #7 Page 5 of 16 to any license area, access easements, and/or utility easements that it possesses prior to the date of this Second Amendment. Jn the event the location of any of Licensee's or its sublicensees' existing improvements, utilities, and/or access routes are not depicted or described on the Site Plan and/or legal descriptions, Licensee's leasehold rights and access and utility easement rights over such areas shall remain in full force and effect and the License Area shall be deemed to include such areas. 3.License Area Descriptions. The descriptions of the License Area are herebyupdated as follows: The description of the First Additional License Area set forth on Exhibit A-1 to the First Amendment is hereby amended by the description set forth on Exhibit A-1 to this Second Amendment. The description of the License Area as Expanded set forth on Exhibit A-2 to the First Amendment is hereby amended by the description of the License Area as Expanded set forth on Exhibit A-2 to this Second Amendment. Exhibit B to the First Amendment is hereby amended by Exhibit B attached to this Second Amendment. Any conflicts between the descriptions or depictions attached to this Second Amendment and those contained in the First Amendment shall be resolved in favor of this Second Amendment. 4.Counterparts. This Second Amendment may be executed in separate and multiple counterparts, each of which shall be deemed an original but all of which taken together shall be deemed to constitute one and the same instrument. 5.Remainder of License Unaffected. ln all other respects, the remainder of theLicense shall remain in full force and effect. Any portion of the License that is inconsistent with this Second Amendment is hereby amended to be consistent. 6.Recordation. Licensee, at its cost and expense, shall have the right to record a memorandum of this Second Amendment in the official records of San Diego County at any time following the execution of this Second Amendment by all parties hereto. In addition, Licensee shall have the right in its discretion, to record a notice of lease, affidavit or other form to be determined by Licensee without the City's signature in form and content substantially similar to the memorandum, to provide record notice of the terms of this Second Amendment. Site Name. Calavera 11,lls Comm Business Unit #: 822887 [Signature pages follow] 2 June 20, 2023 Item #7 Page 6 of 16 City and Licensee have caused this Second Amendment to be duly executed on the day and year first written above. Site Name: Calavera II ills Comm Business Unit#: 822887 By:_+-----,.-c--t---r--------­ Print Name: _._......._.....,_-\r\-�..c:.L---'-"'"-""",._,,,=-:,__ Title: c.h \.A £'.LL\ a� The City a� that this SecondAmendment was approved at a duly noticed public meeting held on J\AN.. U 12023 [Licensee Execution Page Follows] 3 APPROVED AS TO FORM Cindie K. McMahon, City Attorney By:���Assistant/Deputy City AttorneyCity ot Carlsbad, California June 20, 2023 Item #7 Page 7 of 16 June 20, 2023 Item #7 Page 8 of 16 This Second Amendment is executed by Licensee as of the date first written above. Site Name: Calavera Hills Comm Business Unit#: 822887 4 LICENSEE: T-MOBILE WEST LLC, a Delaware limited liability company By: CCTMO LLC, a Delaware limited liability company Its: Attorney In Fact By: ~A::z~?d_ __ _ Print Name: Matthew Norwood Title: ___ S_r_. _M~g~r_N_tl_T_r~a~n~s_ Site Name: Calavera Hills Comm Business Unit #: 822887 5 Exhibit A-1 (Legal Description of the First Additional License Area) A PORTION OF LOT "J" OF RANCHO AGUA HEDIONDA, IN THE CITY OF CARLSBAD, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, ACCORDING TO MAP THEREOF NO. 823 FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY ON NOVEMBER 16, 1896, AND MORE PARTICULARLY DESCRIBED AS FOLLOWS: COMMENCING AT A BRASS CAP IN HANDHOLE AT THE CENTERLINE INTERSECTION OF CARLSBAD VILLAGE DRIVE & GLASGOW DRIVE, THENCE SOUTH 18 DEGREES 37 MINUTES 12 SECONDS EAST A DISTANCE OF 465.91 FEET; THENCE DEPARTING THE CENTERLINE OF GLASGOW DRIVE, SOUTH 70 DEGREES 16 MINUTES 05 SECONDS WEST A DISTANCE OF 321.48 FEET TO THE POINT OF BEGINNING; THENCE SOUTH 19 DEGREES 43 MINUTES 55 SECONDS EAST A DISTANCE OF 9.35 FEET TO A POINT; THENCE SOUTH 70 DEGREES 16 MINUTES 05 SECONDS WEST A DISTANCE OF 11.97 FEET TO A POINT; THENCE NORTH 19 DEGREES 43 MINUTES 55 SECONDS WEST A DISTANCE OF 9.35 FEET TO A POINT; THENCE NORTH 70 DEGREES 16 MINUTES 05 SECONDS EAST A DISTANCE OF 11.97 FEET TO THE POINT OF BEGINNING, SAID PARCEL CONTAINING 112 SQUARE FEET OR 0.0026 ACRES OF LAND MORE OR LESS. June 20, 2023 Item #7 Page 9 of 16 Site Name: Calavera Hills Comm Business Unit #: 822887 6 Exhibit A-2 (Legal Description of the License Area as expanded) LICENSE AREA, AS EXPANDED BY FIRST ADDITIONAL LICENSE AREA (comprised of Tower Lease, Equipment Lease, and Add Land) TOWER LEASE A PORTION OF LOT "J" OF RANCHO AGUA HEDIONDA, IN THE CITY OF CARLSBAD, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, ACCORDING TO MAP THEREOF NO. 823 FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY ON NOVEMBER 16, 1896, AND MORE PARTICULARLY DESCRIBED AS FOLLOWS: COMMENCING AT A BRASS CAP IN HANDHOLE AT THE CENTERLINE INTERSECTION OF CARLSBAD VILLAGE DRIVE & GLASGOW DRIVE, THENCE SOUTH 18 DEGREES 37 MINUTES 12 SECONDS EAST A DISTANCE OF 435.36 FEET; THENCE DEPARTING THE CENTERLINE OF GLASGOW DRIVE, SOUTH 70 DEGREES 16 MINUTES 05 SECONDS WEST A DISTANCE OF 331.48 FEET TO THE POINT OF BEGINNING; THENCE SOUTH 19 DEGREES 43 MINUTES 55 SECONDS EAST A DISTANCE OF 10.00 FEET TO A POINT; THENCE SOUTH 70 DEGREES 16 MINUTES 05 SECONDS WEST A DISTANCE OF 10.00 FEET TO A POINT; THENCE NORTH 19 DEGREES 43 MINUTES 55 SECONDS WEST A DISTANCE OF 10.00 FEET TO A POINT; THENCE NORTH 70 DEGREES 16 MINUTES 05 SECONDS EAST A DISTANCE OF 10.00 FEET TO THE POINT OF BEGINNING, SAID PARCEL CONTAINING 100 SQUARE FEET OR 0.0023 ACRES OF LAND MORE OR LESS. EQUIPMENT LEASE A PORTION OF LOT "J" OF RANCHO AGUA HEDIONDA, IN THE CITY OF CARLSBAD, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, ACCORDING TO MAP THEREOF NO. 823 FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY ON NOVEMBER 16, 1896, AND MORE PARTICULARLY DESCRIBED AS FOLLOWS: COMMENCING AT A BRASS CAP IN HANDHOLE AT THE CENTERLINE INTERSECTION OF CARLSBAD VILLAGE DRIVE & GLASGOW DRIVE, THENCE SOUTH 18 DEGREES 37 MINUTES 12 SECONDS EAST A DISTANCE OF 465.91 FEET; THENCE DEPARTING THE CENTERLINE OF GLASGOW DRIVE, SOUTH 70 DEGREES 16 MINUTES 05 SECONDS WEST A DISTANCE OF 299.48 FEET TO THE POINT OF BEGINNING; THENCE SOUTH 19 DEGREES 43 MINUTES 55 SECONDS EAST A DISTANCE OF 9.35 FEET TO A POINT; June 20, 2023 Item #7 Page 10 of 16 Site Name: Calavera Hills Comm Business Unit #: 822887 7 THENCE SOUTH 70 DEGREES 16 MINUTES 05 SECONDS WEST A DISTANCE OF 22.00 FEET TO A POINT; THENCE NORTH 19 DEGREES 43 MINUTES 55 SECONDS WEST A DISTANCE OF 9.35 FEET TO A POINT; THENCE NORTH 70 DEGREES 16 MINUTES 05 SECONDS EAST A DISTANCE OF 22.00 FEET TO THE POINT OF BEGINNING, SAID PARCEL CONTAINING 206 SQUARE FEET OR 0.0047 ACRES OF LAND MORE OR LESS. ADD LAND A PORTION OF LOT "J" OF RANCHO AGUA HEDIONDA, IN THE CITY OF CARLSBAD, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, ACCORDING TO MAP THEREOF NO. 823 FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY ON NOVEMBER 16, 1896, AND MORE PARTICULARLY DESCRIBED AS FOLLOWS: COMMENCING AT A BRASS CAP IN HANDHOLE AT THE CENTERLINE INTERSECTION OF CARLSBAD VILLAGE DRIVE & GLASGOW DRIVE, THENCE SOUTH 18 DEGREES 37 MINUTES 12 SECONDS EAST A DISTANCE OF 465.91 FEET; THENCE DEPARTING THE CENTERLINE OF GLASGOW DRIVE, SOUTH 70 DEGREES 16 MINUTES 05 SECONDS WEST A DISTANCE OF 321.48 FEET TO THE POINT OF BEGINNING; THENCE SOUTH 19 DEGREES 43 MINUTES 55 SECONDS EAST A DISTANCE OF 9.35 FEET TO A POINT; THENCE SOUTH 70 DEGREES 16 MINUTES 05 SECONDS WEST A DISTANCE OF 11.97 FEET TO A POINT; THENCE NORTH 19 DEGREES 43 MINUTES 55 SECONDS WEST A DISTANCE OF 9.35 FEET TO A POINT; THENCE NORTH 70 DEGREES 16 MINUTES 05 SECONDS EAST A DISTANCE OF 11.97 FEET TO THE POINT OF BEGINNING, SAID PARCEL CONTAINING 112 SQUARE FEET OR 0.0026 ACRES OF LAND MORE OR LESS. CONTAINING A COMBINED TOTAL OF 418 SQUARE FEET, MORE OR LESS June 20, 2023 Item #7 Page 11 of 16 Site Name: Calavera Hills Comm Business Unit #: 822887 8 Exhibit B (Site Plan) June 20, 2023 Item #7 Page 12 of 16 TO W E R S U R V E Y 82 2 8 8 7 SU R V E Y P R O C E D U R E S & E Q U I P M E N T TH E A C C U R A C Y O F T H I S S U R V E Y M E E T S O R E X C E E D S T H E MIN I M U M S T A N D A R D S A S R E Q U I R E D B Y [ S T A T E RE Q U I R E M E N T S F O R B O U N D A R Y S U R V E Y S ] . IN S T R U M E N T S U S E D : - S P E C T R A P R E C I S I O N S P 6 0 G N S S R E C E I V E R U S I N G T H E SM A R T N E T V R S N E T W O R K - T R I M B L E S 6 S E R I E S R O B O T I C T O T A L S T A T I O N CO V E R S H E E T CA L A V E R A H I L L S C O M M 29 9 7 G L A S G O W D R , CA R L S B A D , C A 9 2 0 0 8 SA N D I E G O C O U N T Y CA L A V E R A H I L L S C O M M 82 2 8 8 7 29 9 7 G L A S G O W D R , CA R L S B A D , C A 9 2 0 0 8 SA N D I E G O C O U N T Y SU R V E Y P E R F O R M E D F O R : SU R V E Y P E R F O R M E D B Y : SU R V E Y C O O R D I N A T E D B Y : SU R V E Y O R ' S C E R T I F I C A T I O N : I h e r e b y c e r t i f y t o [C r o w n E n t i t y T o B e D e t e r m i n e d ] , C r o w n C a s t l e US A I n c . , i n c l u d i n g i t s p a r e n t s , s u b s i d i a r i e s a n d a f f i l i a t e d e n t i t i e s , a n d We s t c o r L a n d T i t l e I n s u r a n c e C o m p a n y . 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TR A N S F O R M E R TR A N S F O R M E R P A D CA T C H B A S I N IN L E T UT I L I T Y V A U L T MA N H O L E HA N D H O L E PU L L B O X PE D E S T A L RIS E R ME T E R VA L V E CL E A N O U T JU N C T I O N B O X PU M P S T A T I O N UT I L I T Y B O X CO N T R O L L E R FIR E H Y D R A N T FL A G P O L E SH R U B TR E E - P A L M TR E E - C O N F E R O U S TR E E - D E C I D U O U S GU Y E D P O L E VI C I N I T Y M A P - N T S TO P O - H I G H P O I N T TO P O - L O W P O I N T PR O P E R T Y T I E WUN K TUTST MSGFO U FOEUE CT V - E CSCUCT VPL CA B L E , E L E C & T E L E U . G . CT V - E - T U CA B L E , E L E C & T E L E CT V - E - T CA B L E T V & E L E C U . G . CT V - E U C. L . TO W E R E A S E M E N T PA R E N T P R O P E R T Y PL BR E A K L I N E MA T C H L I N E LI G H T P O L E S. M . S H E E T M E T A L AR E A SQ . F T . 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PO I N T OF BE G I N N I N G -- - - - 1 \ , - - - AD D LA N D 11 2 0. 0 0 2 6 T.P . O . B . TR U E PO I N T OF BE G I N N I N G e AC C E S S & UT I L I T Y LI C E N S E 14 , 1 6 2 0. 3 2 5 1 R.O . W . RI G H T - O F - W A Y 8' UT I L I T Y LIC E N S E 3, 4 2 6 0. 0 7 8 7 C. L . 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