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eke o S S Wanaa�a <br />MAYOR <br />13111 Blesener <br />COUNCIL <br />Rick Montour <br />John Kcis <br />Michael McGraw <br />Shelly Boss <br />515 Little Canada Road, Little Canada, MN 55117 -1600 ADMINISTRATOR <br />(651) 766 -4029 / FAX: (651) 766 -4048 Joel R. Hanson <br />www. cl.little- canada.mn. us <br />MEMORANDUM <br />TO: Mayor Blesener & Members of City Council <br />FROM: Bill Direks, Public Works Superintendent <br />DATE: May 5, 2011 <br />RE: AT &T Wireless Antenna Upgrades on Water Tower <br />AT &T Wireless is proposing to replace its existing antennas and to add two additional <br />antennas to the water tower as part of its upgrade to a 4G network. There are currently <br />two cell phone providers who have antennas on the tower; AT &T and T- Mobile. As you <br />may already know AT &T is in the process of acquiring T- Mobile. The deal has not been <br />finalized yet. If the deal is finalized there may be a chance that one set of the antennas is <br />no longer needed on the tower and the City could lose a revenue stream. It is not yet <br />known if both sets of antennas will be needed going forward. <br />Currently, the City receives $1,897.75 per month ($22,772.99 annually) from each tenant <br />with the amount increasing 4% each year. If the new provider decides it only needs one <br />set of antennas on the tower it can give thirty days notice to terminate one of the existing <br />agreements. <br />Staff would like to protect this income source and feels there may be some leverage with <br />the proposed antenna changes. While the proposed number of antennas is allowed under <br />the agreement even with the addition of two more, the size of the proposed antennas is <br />larger than the existing antennas. The lease agreement states that the tenant may update <br />or replace the existing facilities as long as they are not greater in number or size than the <br />existing facilities. The existing antennas are 80 "x11 "x5 ". The proposed antennas are <br />96 "x11.8 "x6 ". That is a difference of 1.39 cubic feet per antenna. <br />Staff feels we should attempt to renegotiate the lease to protect our revenue stream in the <br />event the new AT &T /T- Mobile company decides one set of antennas is no longer needed. <br />This may give us an opportunity to do so. Staff will be meeting with representatives of <br />AT &T early next week to try and secure both leases long -term. An update will be <br />1 <br />