County of Sonoma Agenda Item Summary Report
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1 County of Sonoma Agenda Item Summary Report Agenda Item Number: 29 (This Section for use by Clerk of the Board Only.) Clerk of the Board 575 Administration Drive Santa Rosa, CA To: Sonoma County Board of Supervisors Board Agenda Date: July 21, 2015 Vote Requirement: Majority Department or Agency Name(s): General Services Staff Name and Phone Number: Marc McDonald: Title: Supervisorial District(s): Oak Ridge Tower License with Crown Castle GT Company, LLC Recommended Actions: Authorize the General Services Director to execute a License Agreement between the County of Sonoma and Crown Castle GT Company LLC, for the installation and operation of communications equipment on a portion of the communications tower at the Oak Ridge Lookout Communications site located in the unincorporated area of Annapolis, Sonoma County, for an initial term of ten (10) years at an annual rental cost of sixteen thousand eight hundred dollars ($16,800), with options for two (2) additional five (5) year extensions. Executive Summary: Purpose. General Services staff, in consultation with staff from the Sheriff s Office, are requesting Board consideration of a new license agreement needed for installation of communications network equipment at the Oak Ridge Lookout communications facility located in the unincorporated coastal community area of Annapolis, in western Sonoma County. A new license agreement is needed with Crown Castle GT Company LLC ( Crown Castle ) to allow for installation and operation of County antennas and other appurtenances on the existing 225 tower owned by Crown Castle, which leases ground space from the State of California, as the Oak Ridge Lookout property owner. Background. Radio coverage in the western hills and coastal areas of Sonoma County is problematic, primarily due to the hilly terrain and densely forested areas which impede the reach of transmission signals. There are no existing communication site facilities that can adequately cover large swaths of the coastal hills. This topography necessitates telecommunications equipment installations at multiple sites to achieve the County s radio coverage requirements. Consequently, staff has identified an operational network of existing communication sites to meet public safety communications objectives in coastal areas of the West County. Most of the identified network locations require that leases and/or licenses be secured with tower and property owners prior to installation of new facilities.
2 The County has operated its emergency communications system from the Oak Ridge communications site since County services utilizing the Oak Ridge site include the Sheriff, Public Works, Regional Parks, Animal Services, General Services, and Sonoma County Water Agency. In addition, a variety of State agencies use the County s communication infrastructure located on the site, including the California Department of Forestry and California Highway Patrol. Installation of the proposed improvements at Oak Ridge will provide the necessary infrastructure for communications systems upgrade. One of the upgrades will provide for connectivity to the new Moonraker radio site at The Sea Ranch. In addition, installation of two new transmit antennas will provide County Regional Parks, Animal Services, and Sonoma County Water Agency with County-wide interoperability and will add coverage in the north and northwest portion of the County. The Oak Ridge site, in conjunction with the Moonraker site, will cover critical missing coverage gaps along the north coast and the northwest portion of the County. These two sites work in tandem to create coverage for this area. If the Oak Ridge license agreement is not approved by the Board for project implementation, the new Moonraker site improvements recently approved for construction at The Sea Ranch will be inoperable, as there will be no way to connect to the rest of the County s telecommunications network. The current communications gap in the north and northwest portion of the County will remain unaddressed. License Agreement. The agreement form required by the Licensor is strongly favorable to the Licensor. The lack of suitable alternate communications facilities in this geographic area has resulted in identification of the Oak Ridge site as the sole opportunity in this region, with the capability being the County s essential communications link in this portion of the County s communications network. It also places the County in a weakened position for negotiation of more favorable agreement terms. The proposed tower license with Crown Castle (Licensor) will permit installation of two additional antennas, one microwave dish, and associated cabling to the County s existing equipment shelter. The license is subject to the terms and conditions of Crown Castle s master lease with the State of California, and contains the following key provisions: 1. An initial term of 10 years, to commence August 1, Two (2) automatic renewal periods of 5 years duration each, unless either party provides 180 days notice to the other party of its intention not to renew. 3. Base rent rate of $1,000 per month ($12,000 annually), plus a monthly Revenue Share Reimbursement Payment equal to 40% of the County s base rent ($400 per month for the first year), for the purpose of reimbursing Licensor for the cost of sharing revenues with the State of California as required by the Licensor s master lease with the State, for a total annual rental cost of $16, Annual rent increases of 3% over the previous year s rental rate, applicable to the base rent amount, to commence on the first anniversary of the term commencement date. 5. If at any time after the 5 th anniversary of the term commencement date, Licensor receives a proposal from a third party to license the premises for an amount that exceeds the County s base rent payment, County must agree to amend the rent payment to equal the offer within 90 days of receipt of notice from Licensor, or Licensor may either relocate County s equipment to another location on the existing tower or terminate the agreement.
3 6. County must obtain Licensor s prior written approval to sublet or assign the license. 7. The County s tower equipment is subject to relocation to another site on the tower upon delivery of notice to the County at least 90 days prior to the move, with relocation performed at Licensor s expense. 8. The County may terminate the license agreement in the event of non-appropriation of funds by the Board of Supervisors, following 180 days prior written notice to Licensor and payment of rent to the later of either the termination date, or the date County equipment is removed. 9. County tower installation and maintenance staff must meet Licensor s tower vendor requirements to perform work on the tower. Staff utilized the services of an industry consultant, G Squared Consulting, Inc., to assist with establishment of fair market rent values, lease negotiations and preparation of the agreement. The negotiated rent represents an acceptable rate for this singular location, and is in alignment with rent rates at other commercially managed tower sites. Project Costs and Installation Schedule. The total project cost for installation of the new equipment is estimated at $20,000. The costs include a County contribution of $18,937 proportionate share of needed tower structural upgrades and permitting costs. The funding for this project is included in the County s adopted Capital Projects telecommunications towers construction budget. Installation of the new equipment is expected to commence immediately following approval of the proposed plans, and will be completed in approximately three months. Ongoing operating costs will include additional electrical utility charges, estimated at $85 per month. An annual inventory of any hazardous chemicals stored at the site, including batteries or fuel tanks, will need to be reported to Crown Castle prior to January 15 th of each year of the agreement. At present, the Sheriff stores only propane for an existing emergency generator and emergency batteries at the site. Regulatory Conformance. On August 6, 2013, the Permit and Resource Management Department (PRMD) staff issued a Notice of Categorical Exemption for the Oak Ridge BayWEB Antennae Additions Project, which included the currently proposed County antennas. The BayWEB additions are no longer proposed, which has resulted in a reduced overall number of antennas now proposed for installation. The Notice included findings that the project is categorically exempt from the requirements of the California Environmental Quality Act (CEQA) under Section 23A-11 of the Sonoma County Code, and Section 15301(b) of the State CEQA Guidelines, as a minor alteration of a publicly owned facility involving negligible expansion of use. Procedural Authority. Government Code Section requires the Board to publish a notice of its intention to enter into a lease or license agreement valued at more than $50,000 for three (3) consecutive weeks before consummation of the agreement. The required notice was published by the Clerk of the Board in accordance with Government Code Section 25350, with the first notice being published on June 13, No public comments regarding the proposed license have been received by General Services staff.
4 Prior Board Actions: 06/09/15 Declared intent to execute a tower license with Crown Castle GT Company LLC, and directed Clerk to publish a Notice of Intent pursuant to Government Code Section /18/08 Resolution authorizing General Services Director to execute a First Amendment to the 1995 lease; and to execute a Revocable License Agreement with the County of Mendocino for a portion of the premises. 12/16/97 Acceptance of easement for road access to the site. 05/03/95 Approved Resolution authorizing Chair to execute a lease. 09/26/89 Approve Resolution authorizing Chair to sign a lease. 12/08/81 Approved Resolution authorizing Chair to sign a Grant of Easement providing site access. 08/04/81 Approved Resolution authorizing Chair to execute a lease. Strategic Plan Alignment Goal 1: Safe, Healthy, and Caring Community The license agreement provides for tower upgrades which support the public safety and public works needs of the residents of Sonoma County, and will result in continued and improved communication coverage to the surrounding areas. The upgrades also provide needed infrastructure for future communications systems upgrades. Expenditures Fiscal Summary - FY Funding Source(s) Budgeted Amount $ 17,820 County General Fund $ 17,820 Add Appropriations Reqd. $ State/Federal $ $ Fees/Other $ $ Use of Fund Balance $ $ Contingencies $ $ $ Total Expenditure $ 17,820 Total Sources $ 17,820 Narrative Explanation of Fiscal Impacts (If Required): Rent and utility impacts estimated at $17,820 ($16,800 for tower rent, and $1,020 for utilities) for FY are included in the General Services budget. Project installation costs of approximately $20,000 are included in the Sheriff s FY Recommended Telecommunications Budget. Staffing Impacts Position Title (Payroll Classification) Monthly Salary Range (A I Step) Additions (Number) Deletions (Number)
5 Narrative Explanation of Staffing Impacts (If Required): None Attachments: None Related Items On File with the Clerk of the Board: License Agreement between the County and Crown Castle GT Company LLC
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