REPORT/RECOMMENDATION TO THE BOARD OF SUPERVISORS
OF SAN BERNARDINO COUNTY
AND RECORD OF ACTION
March 25, 2025
FROM
TERRY W. THOMPSON, Director, Real Estate Services Department
LYNN FYHRLUND, Chief Information Officer, Innovation and Technology Department
SUBJECT
Title
Revenue License Agreement for Rack and Antenna Space with California Highway Patrol
End
RECOMMENDATION(S)
Recommendation
1. Find that approval of a Revenue License Agreement with the California Highway Patrol for rack and antenna space, is an exempt project under the California Environmental Quality Act Guidelines, Section 15301 - Existing Facilities (Class 1).
2. Find that pursuant to the California Government Code Section 25526.6, the grant of a license to the California Highway Patrol, a state agency, for the use of a portion of rack and antenna space at the County-owned equipment shelter and antenna tower located at Bertha Peak in Big Bear Lake, to operate California Highway Patrol’ wireless communication equipment is in the public interest, and that the license will not substantially conflict or interfere with County’s use of the site.
3. Approve Revenue License Agreement with the California Highway Patrol, for the use of a portion of rack and antenna space at the County-owned equipment shelter and antenna tower located at Bertha Peak in Big Bear Lake, for the California Highway Patrol’s continued maintenance and operation of wireless communication equipment, commencing April 1, 2025, through March 31, 2030, and automatically renewing for three additional five-year periods, for a total contract period of April 1, 2025 through March 31, 2045, generating revenue of $272,477 for the initial term, for a total aggregate contract amount of $1,231,649.
4. Direct the Real Estate Services Department to file the Notice of Exemption in accordance with the California Environmental Quality Act.
(Presenter: Terry W. Thompson, Director, 387-5000)
Body
COUNTY AND CHIEF EXECUTIVE OFFICER GOALS & OBJECTIVES
Operate in a Fiscally-Responsible and Business-Like Manner.
Pursue County Goals and Objectives by Working with Other Agencies and Stakeholders.
FINANCIAL IMPACT
Approval of this item will not result in the use of Discretionary General Funding (Net County Cost). The total revenue to be received by the County during the first five-year term of the Revenue License Agreement (License) is $272,477. There are three automatic five-year renewal periods for a total of 20 years, for a total contract amount of $1,231,649. The revenue will be deposited in the Real Estate Services Department (RESD) Rents budget (7810001000). Annual License revenue is as follows:
|
Initial Term |
Annual Revenue |
|
April 1, 2025 - March 31, 2026 |
$53,829* |
|
April 1, 2026 - March 31, 2027 |
$53,329 |
|
April 1, 2027 - March 31, 2028 |
$53,329 |
|
April 1, 2028 - March 31, 2029 |
$55,995 |
|
April 1, 2029 - March 31, 2030 |
$55,995 |
|
Total Revenue |
$272,477 |
*Includes a one-time contract administration charge of $500
|
* First Automatic Extension Period |
Annual Revenue |
|
April 1, 2030 - March 31, 2031 |
$55,995 |
|
April 1, 2031 - March 31, 2032 |
$58,795 |
|
April 1, 2032 - March 31, 2033 |
$58,795 |
|
April 1, 2033 - March 31, 2034 |
$58,795 |
|
April 1, 2034 - March 31, 2035 |
$61,735 |
|
Total Revenue |
$294,115 |
* Automatic Renewal
|
* Second Automatic Extension Term |
Annual Revenue |
|
April 1, 2035 - March 31, 2036 |
$61,735 |
|
April 1, 2036 - March 31, 2037 |
$61,735 |
|
April 1, 2037 - March 31, 2038 |
$64,822 |
|
April 1, 2038 - March 31, 2039 |
$64,822 |
|
April 1, 2039 - March 31, 2040 |
$64,822 |
|
Total Revenue |
$317,936 |
* Automatic Renewal
|
* Third Automatic Extension Term |
Annual Revenue |
|
April 1, 2040 - March 31, 2041 |
$68,063 |
|
April 1, 2041 - March 31, 2042 |
$68,063 |
|
April 1, 2042 - March 31, 2043 |
$68,063 |
|
April 1, 2043 - March 31, 2044 |
$71,466 |
|
April 1, 2044 - March 31, 2045 |
$71,466 |
|
Total Revenue |
$347,121 |
* Automatic Renewal
|
Total Contract Amount |
$1,231,649 |
* Including three Automatic five-year renewals
BACKGROUND INFORMATION
In mid-2022, the California Highway Patrol (CHP) contacted the Real Estate Services Department (RESD) and the Innovation and Technology Department (ITD) to request to add a rack and antennas on the County-owned structure at Bertha Peak South in Big Bear. ITD requested RESD to negotiate a new License for CHP which required a load study on the tower to confirm the tower could support the additional antennas. The State of California delayed the execution of the agreement while it worked through approvals to fund the study. A site visit was conducted to verify the radio equipment and the locations of the antennas, and the load study came back clear. ITD confirmed the report and instructed RESD to proceed with the License.
This new License with the CHP is for an initial period of five years commencing on April 1, 2025, through March 31, 2030, automatically renewing for three additional five-year periods. The License will allow for CHP use of a portion of County’s existing rack space within the County-owned equipment shelter and existing antenna space on the County-owned antenna structure at Bertha Peak South near Big Bear, to install and operate Licensee’s communication equipment.
The project to approve the License was reviewed pursuant to the California Environmental Quality Act (CEQA) and determined to be categorically exempt under CEQA Guidelines Section 15301 - Existing Facilities (Class 1) because approval of a license agreement for existing facilities is an exempt activity under CEQA. There is negligible or no expansion of existing or former use and no possibility that the licensing of the subject property will have a significant effect on the environment; therefore, the activity is exempt from the provisions of CEQA.
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Summary of License Terms |
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Licensee: |
California Highway Patrol |
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Location: |
Bertha Peak Communication Site in Big Bear Lake |
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Size: |
Rack and Antenna Space |
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Term: |
Five years, commencing on April 1, 2025, through March 31, 2025 |
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Options: |
Three five-year automatic options to extend |
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Rent: |
Monthly: $4,444 |
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Annual: $53,329 |
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*Mid-range for comparable facilities in the Big Bear Lake area per the competitive set analysis on file with RESD |
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Annual Increases: |
Five percent every third year |
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Improvement Costs: |
Provided by Licensee |
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Maintenance: |
Provided by County for County’s equipment shelter and antenna tower; provided by Licensee for Licensee’s equipment |
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Utilities: |
Provided by County for electric but reimbursed through the rental rate |
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Insurance: |
Both parties are self-insured public entities |
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Holdover: |
None |
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Right to Terminate: |
Both parties have the right to terminate with 180-days’ prior written notice |
PROCUREMENT
Pursuant to California Government Code Section 25526.6, the Board of Supervisors (Board) may grant licenses for use of any County property to a public agency in the manner and upon the terms and conditions as the Board determines, upon a finding by the Board that the License is in the public interest and that the License will not substantially conflict or interfere with the County’s use of the property.
REVIEW BY OTHERS
This item has been reviewed by County Counsel (John Tubbs II, Deputy County Counsel, and Bonnie Uphold, Supervising Deputy County Counsel, 387-5455) on February 24, 2025; Innovation and Technology Department (Steve Miller, IT Division Chief, 388-0705) on February 27, 2025; Purchasing (Ariel Gill, Supervising Buyer, 387-2070) on February 27, 2025; Finance (Ivan Ramirez, 387-4020, and Eduardo Mora, 387-4376, Administrative Analysts) on March 5, 2025; and County Finance and Administration (Paloma Hernandez-Barker, Deputy Executive Officer, 387-5423) on March 10, 2025.
(BR: 531-2674)