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Consent Agenda Item <br /> V `ter <br /> INDIAN RIVER COUNTY FLORIDA <br /> DEPARTMENT OF UTILITY SERVICES <br /> 'a <br /> Date: November 5, 2013 <br /> To: Joseph A. Baird, County Administrator <br /> From: Vincent Burke, P.E., Director of Utility Services <br /> Prepared By: Cindy Corrente, Utilities Finance Manager <br /> Subject: Amendment to Elevated Water Tank Space Licensegreement with Sprint <br /> DESCRIPTIONS AND CONDITIONS: <br /> In August 2005, The Board of County Commissioners entered into a lease agreement with <br /> Sprint Spectrum Realty Company, L.P. (now known as Nextel South Corp.). The agreement <br /> allowed the Licensee to install and operate a communications facility at the Utilities <br /> Department's elevated tank located at 4690 28th Court (Gifford Tank). In June 2006, The First <br /> Amendment to the lease agreement was approved to allow for additional equipment to be <br /> mounted on the Gifford Tank. The license fee was $20,000 per year and included a clause that <br /> required a four percent increase per year. Presently, the annual lease fee is $26,318.64. <br /> ANALYSIS: <br /> Recently, representative for Nextel South Corp. contacted staff to request an upgrade to their <br /> equipment located on the Gifford Tank. In the past, staff has experienced various issues with <br /> the providers and their use of the tank. One of the issues is that many providers have <br /> equipment attached to the tower and most of the equipment is not labeled as to ownership. <br /> Secondly, the equipment was not mounted as per approved drawings that were part of the <br /> original lease agreements. This problem has resulted in increased cost for the utility to have <br /> the tanks properly painted and maintained. In order to eliminate these issues in the future, <br /> staff has worked with the attorney's office to modify the language in the lease agreement, <br /> building in some safeguards against such issues in the future. Important inclusions are the <br /> requirement to label all existing and new equipment and to provide an inspection report within <br /> 90 days of installation to confirm that the additional equipment was installed as per the <br /> approved drawings. Secondly, since the providers are continually expanding their services by <br /> adding equipment to the tower, and thus receiving expanded financial benefits from these <br /> towers, staff also worked with the provider to come to an agreement for a revised license fee <br /> that reflects this benefit. The agreed upon new license fee is $42,000.00 per year. The four <br /> percent increase per year remains in effect as well. <br /> w.. <br /> Page 1 of 2 <br /> 60 <br />