Title
Renew Arizona State Land Department Commercial Lease No. 03-109730 and Right-of-Way No. 18-101899 for the Adobe Mountain Public Safety Communication Site and Service Road (Ordinance S-51052)
Description
Request to authorize the City Manager, or his designee, to renew Arizona State Land Department (ASLD) Commercial Lease No. 03-109730 and Right-of-Way No. 18-101899 for the Adobe Mountain public safety communication site and service road. Further request authorization for the City Controller to disburse all funds related to this item.
Additionally, request the City Council to grant an exception pursuant to Phoenix City Code § 42-20 to authorize inclusion in the documents of indemnification and assumption of liability provisions that otherwise would be prohibited by Phoenix City Code§ 42-18, as ASLD's form documents include such provisions.
Report
Summary
Regional Wireless Cooperative leases an approximate 10,019 square foot site for communication equipment and a service road to the site at Adobe Mountain to support public safety communication needs. The Adobe Mountain public communications site has been leased since Nov. 15, 1983, under ASLD Lease No. 03-109730, and the service road has been leased since March 13, 1997, under ASLD Right-of-Way No. 18-101899 (Agreements).
Both Agreements expire on Aug. 12, 2024, and will be renewed for a 10-year period beginning Aug. 13, 2024, through Aug. 12, 2034. There is a one-time application fee of $1,000 for the communication site lease and $500 for the service road right-of-way. Rent for the communication site lease (03-109730) is $2,400, plus applicable taxes, per year. Rent for the service road right-of-way (18-101899) is $3,748, plus applicable taxes, for the 10 year duration.
The Agreements shall contain insurance and indemnification acceptable to the City’s Risk Management Division and the Law Department. The Agreements may be canceled pursuant to Arizona Revised Statues 38-511 and may contain other terms and conditions deemed necessary by the City.
Contract Term
The term of each Agreement is 10 years beginning Aug. 13, 2024, through Aug. 12, 2034.
Financial Impact
The Agreements have a one-time application fee of $1,500 combined. Annual rent for the communication site lease (03-109730) is $2,400, plus applicable taxes. Rent for the service road (18-101899) is $3,748, plus applicable taxes, for the 10 year duration.
Concurrence/Previous Council Action
ASLD Commercial Lease No. 03-109730 (City Contract 138918) was authorized by Ordinance S-40866, adopted May 28, 2014.
ASLD Right-of-Way No. 18-101899 (City Contract 78500-ROW-2) was authorized by Ordinance S-43238, adopted on Feb. 15, 2017.
Location
Adobe Mountain, west of Black Canyon Highway and south of Pinnacle Peak Road.
Council District: 1
Department
Responsible Department
This item is submitted by Deputy City Manager Inger Erickson and the Information Technology Services and Finance departments.