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File #: 10900   
Type: Consent Status: Passed
File created: 9/16/2024 Department: Real Estate Services
On agenda: 9/24/2024 Final action: 9/24/2024
Subject: Revenue License Agreement with New Cingular Wireless PCS, LLC, a Delaware Limited Liability Company, for a Cellular Communications Site at Onyx Peak in Big Bear City
Attachments: 1. CON-RESD-092424-License Agmt w Cingular Wireless PCS, 2. COV-RESD-092424-License Agmt w Cingular Wireless PCS, 3. Item #69 Executed BAI, 4. 24-897 Executed Contract

REPORT/RECOMMENDATION TO THE BOARD OF SUPERVISORS

OF SAN BERNARDINO COUNTY

AND RECORD OF ACTION

 

September 24, 2024

 

FROM

TERRY W. THOMPSON, Director, Real Estate Services Department

         

SUBJECT                      

Title                     

Revenue License Agreement with New Cingular Wireless PCS, LLC, a Delaware Limited Liability Company, for a Cellular Communications Site at Onyx Peak in Big Bear City

End

 

En

 

RECOMMENDATION(S)

Recommendation

1.                     Find that approval of a License Agreement with New Cingular Wireless PCS, LLC, a Delaware Limited Liability Company, for a cellular communications site is an exempt project under the California Environmental Quality Act Guidelines Section 15303 - New Construction or Conversion of Small Structures (Class 3) and Section 15061(b)(3) common sense exemption.

2.                     Find that, pursuant to California Government Code Section 25526.6, a five-year license agreement, with three five-year options to extend the term of the license, with New Cingular Wireless PCS, LLC, a Delaware Limited Liability Company, commencing on the full execution of the license, for use of approximately 3,432 square feet of San Bernardino County-owned land located at Onyx Peak with an address of 3407 State Highway 38 in Big Bear City for the construction and operation of a cellular communications site is in the public interest and that the license agreement will not substantially conflict or interfere with San Bernardino County’s use of the property.

3.                     Approve a five-year revenue License Agreement, with three five-year options to extend the term of the license, with New Cingular Wireless PCS, LLC, a Delaware Limited Liability Company, commencing on the full execution of the license, for the use of approximately 3,432 square feet of San Bernardino County-owned land located at Onyx Peak, with an address of 3407 State Highway 38 in Big Bear City, for the construction and operation of a cellular communications site, for total revenue in the amount of $180,436.

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.

 

FINANCIAL IMPACT

Approval of this item will not result in the use of Discretionary General Funding (Net County Cost).  The total revenue of this five-year License Agreement (License) is $180,436.  Revenue will be deposited into the Real Estate Services Department (RESD) Rents budget (7810001000). Annual License revenues are as follows:

 

Year

Annual Revenue

*September 24, 2024 - September 23, 2025

$ 33,648

 September 24, 2025 - September 23, 2026

$ 34,826

 September 24, 2026 - September 23, 2027

$ 36,045

 September 24, 2027 - September 23, 2028

$ 37,306

 September 24, 2028 - September 23, 2029

$ 38,611

Total Revenue

$180,436

                     *Projected commencement date upon full execution of the license agreement

 

BACKGROUND INFORMATION

In January 2019, New Cingular Wireless PCS, LLC, a Delaware Limited Liability Company (New Cingular) proposed to construct and operate a new cellular communications lattice tower on land owned by San Bernardino County (County) to interconnect the new lattice tower on County-owned land with New Cingular’s existing towers at neighboring sites.  The proposed tower would increase cellular service in the mountain regions of Big Bear and surrounding communities.  In the five years since the new tower on County-owned land was proposed, New Cingular has recently acquired permit approval from the United States Department of Agriculture Forest Service (USFS) to use and maintain USFS roads that lead to the County-owned land at Onyx Peak.  Approval of this License will allow New Cingular to move forward with the planning and development of the proposed cellular communications facility on County-owned land, pending all additional regulatory and licensing requirements to construct the proposed facility.

 

This License with New Cingular is for a period of five years, commencing on the full execution, with three five-year options to extend the term for the premises consisting of approximately 3,432 square feet of unincorporated land and located at Onyx Peak with an address of 3407 State Highway 38 in Big Bear City for the construction, maintenance and operation of a cellular communications site.  The communication site is in the public interest to increase cellular service for community residents in the Big Bear mountain area and will not substantially conflict or interfere with County’s use of the property.  The improvements to the land will consist of 120-foot lattice work antenna tower with a total of 12 panel antennas, 36 remote radio units, one microwave antenna, one GPS antenna, four equipment racks, 36 solar panels, two generators, a 1,000-gallon propane tank mounted on a concrete slab, and other associated equipment as well as a six foot tall chain link perimeter fence.

 

The use of the County-owned land pursuant to the License was reviewed pursuant to the California Environmental Quality Act and determined to be categorically exempt under Section 15303 - New Construction or Conversion of Small Structures (Class 3) and Section 15061(b)(3) common sense exemption.

 

Summary of License Terms

 

Licensee: 

New Cingular Wireless PCS, LLC, a Delaware Limited Liability Company

 

 

Location:

3407 State Highway 38 in Big Bear City, known as Onyx Peak

 

 

Size:

3,432 square feet total area of unimproved land

 

 

Term:

Five years commencing upon full execution

 

 

Options:

Three five-year options to extend the term

 

 

Revenue:

Annual: $33,648

 

*Mid-range for comparable facilities in the Big Bear City area per the competitive set analysis on file with RESD

 

 

Annual Increases:

3.5%

 

 

Improvement Costs:

Provided by Licensee

 

 

Maintenance:

Provided by Licensee

 

 

Utilities:

Provided by Licensee

 

 

Insurance:

The Certificate of Liability Insurance, as required by the License, is on file with RESD

 

 

Holdover:

Upon the end of the term, if permitted by Licensor, the Licensee shall continue on a month-to-month term upon the same terms and conditions that existed at the time of expiration except that the license fee shall be increased to 150% of the rent due at the time of expiration.

 

 

Right to Terminate:

Licensee may terminate on 180 days’ notice if it cannot secure, loses, or forfeits any permits or licenses necessary for the cellular communications facility; County has the right to terminate upon Licensee’s default

 

PROCUREMENT

Pursuant to California Government Code Section 25526.6, the Board of Supervisors (Board) may grant licenses for use of any County-owned property to a public utility corporation in the manner and upon the terms and conditions as the Board determines, upon a finding by the Board that the licenses are 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 (Agnes Cheng, Deputy County Counsel, 387-5455) on September 4, 2024; Purchasing (Ariel Gill, Supervising Buyer, 387-2070) on August 26, 2024; Finance (Garrett Baker, Administrative Analyst, 387-3077) on September 6, 2024; and County Finance and Administration (Valerie Clay, Deputy Executive Officer, 387-5423) on September 9, 2024.

 

(BR: 531-2674)