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Page 1 of 2 <br /> <br />CONSENT ITEM – 7E <br /> <br />MEMORANDUM <br /> <br />DATE: March 8, 2021 <br /> <br />TO: Honorable Mayor and City Councilmembers <br /> Dave Perrault, City Administrator <br /> <br />FROM: David Swearingen, Interim Public Works Director <br /> <br />SUBJECT: AT&T Cummings Park Drive Site Use Lease Agreement (Antenna Lease) <br /> <br /> Budgeted Amount: Actual Amount: Funding Source: <br /> $49,499 $49,499 General Fund <br /> <br />Council Should Consider <br /> <br />Motion to approve, table, or deny the following: <br /> <br />• AT&T Cummings Park Drive Site Use Lease Agreement <br /> <br />All items need a simple majority for action unless otherwise noted. <br /> <br />Background <br />The City of Arden Hills entered into a Site Use Lease Agreement with AT&T (New Cingular <br />Wireless PCS, LLC) on April 2014 for cell antenna equipment located at the City’s North Water <br />Tower at Cummings Park. The agreement established an annual lease rate of $33,000, with an <br />annual adjustment of 4 percent. The lease agreement was amended on July 2015 to provide <br />additional ground lease space to house an emergency power generator. The amendment added <br />$4,800 to the annual lease rate, with a 4 percent annual adjustment. <br /> <br />AT&T contacted the City to request renegotiation of the current lease at the North Water Tower. <br />At the November 23, 2020 Work Session City Council directed staff to work with AT&T to <br />renegotiate a lease amendment for a reduced annual rate and an adjustment factor of 3%. The <br />City Attorney prepared the amendment document for the amount of $40,000 and 3%, which <br />AT&T has accepted and signed (Attachment A). <br /> <br />