REPORT/RECOMMENDATION TO THE BOARD OF SUPERVISORS
OF BOARD GOVERNED COUNTY SERVICE AREAS
AND RECORD OF ACTION
June 23, 2026
FROM
NOEL CASTILLO, Director of Public Works - Special Districts
TERRY W. THOMPSON, Director, Real Estate Services Department
SUBJECT
Title
Amendment to License Agreement with Los Angeles SMSA Limited Partnership, a California Limited Partnership dba Verizon Wireless, for Use of County Service Area 70J Land in Hesperia
End
RECOMMENDATION(S)
Recommendation
Acting as the governing body of County Service Area 70J:
1. Find that approval of Amendment No. 1 to License Agreement No. 21-206 with Los Angeles SMSA Limited Partnership, a California limited partnership dba Verizon Wireless, for use of 900 square feet of land, is an exempt project under the California Environmental Quality Act Guidelines, Section 15301 - Existing Facilities and Section 15304 - Minor Alterations to Land (Class 1).
2. Approve Amendment No. 1 to License Agreement No. 21-206 with Los Angeles SMSA Limited Partnership, a California limited partnership dba Verizon Wireless, for use of approximately 900 square feet of County Service Area 70J land with the addition of 450 linear feet of fiber and installation of solar canopy, located at 11505 El Centro Road (Assessor’s Parcel Number 3039-441-19-0000) in Hesperia, for a telecommunications site, which:
a. Exercises the first of two five-year options to extend the term from July 1, 2026 through June 30, 2031, following a permitted holdover period from April 1, 2026 through June 30, 2026.
b. Approves additional revenue in the amount of $194,763, inclusive of the extended term amount of $182,437 and holdover amount of $12,326, increasing the total contract revenue from $153,602 to $348,365.
c. Approves consent to Los Angeles SMSA Limited Partnership, a California Limited Partnership dba Verizon Wireless’ assignment and lease back of operation, management and administration of the improvements and telecommunications operations to Vertical Bridge, LLC.
3. 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
Promote and Fulfill the Countywide Vision.
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). Total additional revenue to be received by County Service Area 70J (CSA 70) for Amendment No. 1 (Amendment) to License Agreement No. 21-206 (License) for the five-year extension is $194,763, which includes an extended term amount of $182,437 and a permitted holdover period amount of $12,326. Expenses associated with administrative costs, notice of exemption and California Environmental Quality Act (CEQA) fees will be associated with CSA 70 (1350004634).
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Term |
Annual Fee |
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*April 1, 2026 - June 30, 2026 |
$12,326 |
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July 1, 2026 - June 30, 2027 |
$34,021 |
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July 1, 2027 - June 30, 2028 |
$35,212 |
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July 1, 2028 - June 30, 2029 |
$36,444 |
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July 1, 2029 - June 30, 2030 |
$37,720 |
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July 1, 2030 - June 30, 2031 |
$39,040 |
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Total |
$194,763 |
*Permitted holdover period
BACKGROUND INFORMATION
On March 23, 2021 (Item No. 68), the Board of Supervisors (Board) approved the five-year revenue License with Los Angeles SMSA Limited Partnership, a California limited partnership dba Verizon Wireless (Verizon). The original term of the License was from April 1, 2021 through March 31, 2026, including two five-year options to extend the term.
The recommended action will amend the existing License to extend the term with Verizon, from July 1, 2026 through June 30, 2031, following a short-term permitted holdover period from April 1, 2026 through June 30, 2026, due to timing associated with negotiations and administrative processing, for the use of 900 square feet of County CSA 70 land and approximately 450 linear feet of fiber, located 11505 El Centro Road (Assessor’s Parcel Number 3039-441-19-0000) in Hesperia (Property), for a telecommunications site.
This Amendment extends the License with Verizon for access to CSA 70 Property. The Amendment includes plans for the installation of approximately 450 linear feet of fiber. These plans will need to go through the permitting process with the County before proceeding with the improvements. The Amendment also includes the County’s consent to Verizon’s assignment to and lease back from Vertical Bridge, LLC (VB), for transfer to VB of certain rights related to the operation, management, and administration of Verizon’s improvements and telecommunications operations at the Premises and the concurrent lease back to Verizon, or otherwise grant to Verizon, the rights necessary for Verizon to continue to operate, maintain, repair and replace Verizon’s authorized equipment at the Premises. All other terms and conditions of the License remain the same.
The project to approve the Amendment was reviewed pursuant to CEQA and determined to be categorically exempt under Section 15301 - Class 1 Existing Facilities and Section 15304 - Class 1 Minor Alterations to Land because the proposed Amendment continues an existing use of previously disturbed land with negligible or no expansion of use. Accordingly, no further action is required under CEQA.
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Summary of License Terms |
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Licensee: |
Los Angeles SMSA Limited Partnership, a California limited partnership dba Verizon Wireless |
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Location: |
11505 El Centro Road (Assessor’s Parcel Number 3039-441-19-0000) in Hesperia |
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Size: |
Approximately 900 square feet and 450 linear feet of fiber |
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Term: |
Five years, July 1, 2026 through June 30, 2031 |
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Options: |
One remaining 5-year option to renew |
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Rent: |
Monthly equivalent: $2,835.08 |
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Yearly: $34,021.00 |
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*Mid-range for comparable telecommunications facilities in the Hesperia area per the competitive set analysis on file with the Real Estate Services Department (RESD) |
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Annual Increases: |
Approximately 3.5% annually |
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Improvement Costs: |
None |
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Custodial: |
Licensee’s Responsibility |
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Maintenance: |
Licensee’s Responsibility |
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Utilities: |
None |
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Insurance: |
The Certificate of Liability Insurance, as required by the License, is on file with RESD |
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Holdover: |
Upon the end of the term, if permitted by Lessor, the License shall continue on a month-to-month term except that the monthly License fee shall be an amount equal to 150% of the annual fee immediately in effect prior to the initiation of the month-to-month divided by 12 |
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Right to Terminate: |
One-year notice prior to the date of termination |
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Parking: |
None |
PROCUREMENT
Not applicable.
REVIEW BY OTHERS
This item has been reviewed by County Counsel (John Tubbs II, Deputy County Counsel, 387-5455) on May 21, 2026; Special Districts (Henry Mac, Division Manager, 389-8822) on May 19, 2026; Purchasing (Ariel Gill, Supervising Buyer, 387-2070) on May 19, 2026; and County Finance and Administration (Matthew Dalton, 387-5005, and Eduardo Mora, 387-4376, Administrative Analysts) on June 4, 2026.
(CM: 840-266-0977)