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HomeMy WebLinkAbout2007/07/17 Item 3 ITEM TITLE: SUBMITTED BY: REVIEWED BY: CITY COUNCIL AGENDA STATEMENT ~f:. CITY OF ~-<: <~ (HULA VISTA JULY 17, 2007, Item~ RESOLUTION ESTABLISHING A MASTER COMMUNICATIONS SITE LICENSE AGREEMENT WITH NEW CINGULAR WIRELESS PCS, LLC FOR THE INSTALLATION AND OPERATION OF AS MANY AS 25 WIRELESS TELECOMMUNICATIONS FACILITIES OR SUBSTANTIALLY SIMILAR FACILITIES ON CITY- OWNED AND CONTROLLED PROPERTY, SUBJECT TO ALL NECESSARY AFPROV ALS, FOR A PERIOD OF 5 YEARS WITH AN OPTION TO RENEW FOR AS MANY AS FIVE ADDITIONAL 5-YEAR TERMS; AND AUTHORIZING THE MAYOR TO EXECUTE THE AGREEMENT DIRECTOR~RVATION & ENVIRONMENTAL SERVICES ..... ACTING ASSISTAN~~\l.1 MANAGER S7 CITY MANAGER ~ C)/ 4/5THS VOTE: YES D NO ~ SUMMARY Staff is submitting a Master Communications Site License Agreement (MLA) for the City Council's review and consideration. Adoption of the proposed resolution would establish a MLA between the City and the New Cingular Wireless PCS LLC, a Delaware Limited Liability Company (Cingular), for the installation of as many as 25 total wireless telephone facilities (WTF) on property owned or controlled by the City. The proposed MLA includes mutually beneficial and agreed upon terms that are consistent with those provided other wireless carriers including but not limited to: accommodating Cingular's requests to formally incorporate Cingular's change in name subsequent to their disengagement from Pacific Bell Wireless, LLC, and establishing a new MLA for one five year term with up to five additional five-year options that are subject to the City's review and approval. The MLA also provides an additional rent reduction incentive for a smaller site option. The City retains its preferred technical conditions and will receive an annual fee adjustment of 3% that brings the fees up to current market value and makes them comparable to other City MLA carriers. 3-1 JULY 17,2007, Item .3 Page 2 of6 BACKGROUND The City Council approved Resolution 18601 on March 18, 1997, conceptually approving the marketing of City properties for use by telecommunications companies. On November 16, 1999, the City Council approved Master License Agreements (MLA) with AT&T and Cox PCS, Assets, LLC, for installation and operation of as many as 50 wireless communication sites on property owned or controlled by the City. The City also approved an MLA with Pacific Bell Wireless, LLC for as many as 25 sites on November 5,2002, and Cricket for as many as 35 sites on March 1, 2006. In 1998, when the City began negotiations, Council originally directed staff to negotiate rates that would provide wireless carriers an incentive to come to Chula Vista. It was Council's desire at that time to see Chula Vista commercial and residential consumers have the opportunity to be early adopters of the technology and benefit from the competition of multiple carriers. Staff reached out to the industry, held workshops and invited them to the City to structure "master" agreements that would provide prompt entry at below-market rates. Nine years later, now that the technology is readily available and provides competitive options, Council has asked staff to ensure that the City is receiving market rates for its sites. Additionally, over a relatively short period of time, the technology has evolved from a unique business tool, used by a few people, primarily in commercial areas, to a common business and household convenience used almost everywhere. That has put tremendous demand on sites in predominantly residential areas with few site options. The increase in sites to cover the varied topography of a growing city increases exponentially by: 1) the limitations that each site can carry during peak periods, 2) the increased intensity of bandwidth use for items such as music, video and internet uses versus the original voice functions, and 3) the desire to accommodate more carriers with the expectation of fostering greater consumer choice, competition for price and service quality. The public demand for these services continues to grow and all of these issues place a greater demand on sites, particularly in residential neighborhoods. Federal and state law does not allow cities to deny permits based on health or solely on aesthetics issues. The Council and staff have worked with industry for many years on a "master license agreement" approach to reduce the pressure on sitting these facilities in less appropriate areas. The MLAs provide the City with an opportunity to work cooperatively with the carriers to expedite their projects, provide adequate volume and coverage needed to meet public demand, provide incentives to pursue sites that have the least impact to residents and meet the aesthetic and safety goals of the community, while capturing revenue that helps the City fund public services at no additional cost to the ratepayer. Above all, the wireless industry values rapid deployment, and works with the City to accommodate the community's objectives based predominantly on our ability to demonstrate a record of timely zoning and construction approvals that support that goal. Cingular is an existing mobile phone service provider that is seeking to expand and improve its coverage in the region and accommodate a name change. Staff has been working on establishing a new MLA with Cingular, subsequent to their disengagement 3-2 JULY 17,2007, Item ...3 Page 3 of6 from the Pacific Bell Wireless MLA and to accommodate their request for a change in name. Staff is recommending that the City execute an MLA between the City and New Cingular Wireless PCS, LCC, (Attachment 1) which outlines mutually beneficial terms based predominantly on the terms and conditions currently in place with other City MLA partners. ENVIRONMENTAL REVIEW The Environmental Review Coordinator has reviewed the proposed activity, approval of a Master Licensing Agreement, for compliance with the California Environmental Quality Act (CEQA) and has determined that the activity is not a "Project" as defined under Section 15378 of the State CEQA Guidelines; therefore, pursuant to Section 15060 (c)(3) of the State CEQA Guidelines the activity is not subject to CEQA. Although environmental review is not necessary at this time, each individual wireless telecommunication facility will have environmental review once the projects are further defined and a CEQA determination will be completed prior to installation of any new facilities. RECOMMENDATION That Council adopt the resolution approving the new Master Communications Site License Agreement with Cingular for the installation and operation of as many as 25 total WTF or substantially similar facilities on property owned or controlled by the City for a period of five years, subject to all necessary approvals, with an option to extend the MLA for up to five additional five-year terms. BOARDS/COMMISSION RECOMMENDATION Not applicable. DISCUSSION MASTER LICENSE AGREEMENT: The MLA allows Cingular to install as many as 25 total WTF's on property owned andlor controlled by the City and to operate within the scope of this MLA for a period of five years. The MLA allows for as many as five additional five-year terms, each with the written request of Cingular and the subsequent written approval of the City Manager. Prior to the renewal of each five-year term, the annual license fee is subject to renegotiation to ensure that the City is receiving market value for its facilities. Cingular has completed that negotiation on what staff considers to be mutually beneficial terms. Cimrnlar's annual license fees vary based on the number of cabinets and antennae at each WTF site. The annual fee for each WTF site that includes as many as 7 equipment cabinets and 12 antennas would be adjusted as follows: 3-3 JULY 17,2007, Item...3..- Page 4 of 6 ... Maximum lO'x20' area or enclosure .. Maximum 1 Q'x 16' area or enclosure reduced ree by 25% ... Approximately 3'x3'x3' or 27 cubic reet cabinet Cingular has also agreed to make a 3% rate adjustment to bring rents inline with market rates for comparable sites in the region. The 3 % increase is reflected in the 2007 line item increases. The other line items reflect the standard 3 % annual increase. Staff has also secured a payment of approximately $107,000 that funds any Annual Fee obligations that the new Cingular's portion of rents due under the previous Pac Bell Wireless LLC agreement. Revenue from these projects has been anticipated in the 2008 budget. In some instances, Cingu1ar will require a site for antennas or cabinets only. Staff has also accommodated Cingular's request for a rent option for a smaller site configuration that they expect to use frequently. The annual license fee for those facilities will be less than a full site as identified in the table above. The MLA would also continue to include a clause that reduces these rates by as much as 40% with Cingular and other contractors if they propose projects that under ground the cabinets and pedestals or take other similar measures to reduce the impacts to land use. Council approved a similar clause in the 2002 Cingular and 2006 Cricket Licenses, and the 2006 Sprint License renewal. Cingular is required to comply with all local, state and federal applicable laws. The Schedule of Premises shall be administratively approved for each site and contain specific conditions that must be satisfied and maintained in order to use the wireless facility. The Schedule of Premises will be submitted to the Zoning Administrator and circulated to the Director of Conservation & Environmental Services and all other appropriate departments. Cingular shall continue to pay the appropriate full staff costs for processing each submittal. All of Cingular's construction, installation, maintenance and removal of the WTF facilities will be at their sole responsibility and cost. If Cingular causes any damage to the public right of way or City property, they are required to repair it promptly at their sole cost. Cingular will not be allowed to activate their site until the City signs off on final construction. The original MLA, the Schedule of Premises for each site and City Municipal Code provide for a number of risk mitigation measures for the City including: indemnity; insurance requirements; limitation on remedies available to Cingular in the event of a City breach; and reservation of the City's emergency and police powers. 3-4 JULY 17, 2007, Ite~ Page 5 of6 IMPACTS ON CITY PROPERTY: The installation will vary depending on the site Cingular needs. As mentioned, all installations will be required to receive all applicable permits and Cingular will work closely with Planning, General Services, Engineering, Conservation & Environmental Services and a representative from the host department to assure that they do not interfere with City operations or facility maintenance. The three primary types of installations are building mounted, ground mounted and light standard mounts. Building mounted installations generally involve mounting antennas on the facade or on the roof of the building, in addition to accommodating equipment cabinets on the ground or on the roof. Ground mounted applications involve construction of a "monopole" or more stealth applications where the monopole is camouflaged as an artificial pine, broadleaf or palm tree, flagpoles or complimentary structures such as clock towers or facility signs. In this case the cabinets are generally mounted on a concrete slab adjacent to the antenna structure. The largest size cabinet systems use an area of approximately 10 by 20 feet. Both applications will require some trenching and cabling. The installations will require maintenance and administration on a limited basis. All proposed facilities would be required to secure all necessary land use, building and engineering permits. Staff will encourage Cingular to take advantage of reductions in monthly site payments by undergrounding the cabinets and other structures whenever possible. FINANCIAL BENEFITS: Cingular will be compensating the City for use of each site by paying an annual license fee to the City General Fund for each system installed. Cingular's annual license fee for a typical site that includes both antennas and cabinets is approximately $26,000. The MLA authorizes as many as 25 WTF facilities by Cingular. The annual fee increases by 3% a year beginning January 2008, and is subject to renegotiation prior to the renewal of each five-year term to ensure the City is receiving market rate rent. Staff also works with Cingular and other carriers to implement basic facility improvements or enhancements at each site to help them compliment the facilities' function when the construction and demolition or site programming warrant it. For example, it is common for WTF equipment shelters to provide extra storage for Recreation or the Library, a pad for water fountains, vending machines or other amenities not currently available in that part of the facility. It is also common for light standards to be replaced or upgraded when antennae are added. These improvements are typically in addition to the lease payments. DECISION MAKER CONFLICT Staff has reviewed the decision contemplated by this action and has determined that it is not site specific and consequently the 500 foot rule found in California Code of Regulations section 18704.2(a)(I) is not applicable to this decision. FISCAL IMPACT Cingular will increase the annual fee paid the City for all future sites by 3%. Staff believes that will ultimately be approximately 4 sites at the end of this year. The MLA authorizes as many as 25 WTF facilities at a yearly rate of as much as $25,706 per WTF site at the current annual rate. If Cingular were to execute all the remaining full sites 3-5 JULY 17,2007, Item~ Page 6 of6 (approximately 23) it could generate up to approximately $650,000 in revenue per year and be subject to the annual 3% increase each January. Although it is difficult to identify development trends in the rapidly changing telecommunications field, staff projects the addition of at least 2-3 sites per year for the immediate future. Staff has also secured a payment of approximately $107,000. Additionally, the City is reimbursed for staff time spent on review and approval of each site application submitted for the planning process. There will be some staff time associated with monitoring and ensuring compliance with the MLA, which is budgeted as part of the Conservation & Environmental Services Department annual responsibility. The Finance Department also plays a key role in tracking and assisting with the collection of annual license revenues. ATTACHMENTS Master Communications Site License Agreement Prepared by: Michael Meacham, Director, Conservation & Errvironmental Services 3-6 RESOLUTION NO. 2007- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ESTABLISHING A MASTER COMMUNICATIONS SITE LICENSE AGREEMENT WITH NEW CINGULAR WIRELESS PCS, LLC FOR THE INSTALLATION AND OPERATION OF AS MANY AS 25 WIRELESS TELECOMMUNICATIONS FACILITIES OR SUBSTANTIALLY SIMILAR FACILITIES ON CITY-OWNED AND CONTROLLED PROPERTY, SUBJECT TO ALL NECESSARY APPROVALS, FOR A PERIOD OF 5 YEARS WITH AN OPTION TO RENEW FOR AS MANY AS FIVE ADDITIONAL 5- YEAR TERMS; AND AUTHORIZING THE MAYOR TO EXECUTE THE AGREEMENT WHEREAS, the City Council approved Resolution 18601 on March 18, 1997, conceptually approving the marketing of City properties for use by telecommunications companies; and WHEREAS, on November 16, 1999, the City Council approved Master License Agreements ("MLA") with AT&T and Cox PCS, Assets, LLC, for installation and operation of as many as 50 wireless communication sites on property owned or controlled by the City; and WHEREAS, in November 5, 2002, and March 1,2006, the City also approved MLAS with Pacific Bell Wireless, LLC, for as many as 25 sites, and Cricket for as many as 35 sites, respectively; and WHEREAS, Pacific Bell recently went through a divestiture process that resulted, in part, in the formation of New Cingular Wireless PCS, LLC ("Cingular"), which now seeks to enter into an MLA with the City; and WHEREAS, staff is recommending that the City enter into a new Master Communications Site License Agreement with Cingular to install and operate up to 25 wireless telecommunication facilities or substantially similar facilities on property owned or controlled by the City for a period of up to five years, with an option to extend the agreement for up to five additional five-year terms. NOW, THEREFORE, BE IT RESOLVED the City Council ofthe City ofChula Vista does hereby approve and authorize the Mayor to execute the Master Communications Site License Agreement with New Cingular Wireless PCS, LLC, a copy of which is attached to this Resolution. BE IT FURTHER RESOLVED that the Mayor of the City of Chula Vista is hereby authorized and directed to execute the Master Communications Site License Agreement with Cingular, for and on behalf of the City of Chula Vista. Presented by Approved as to form by Michael Meacham Director, Department of Conservation & Environmental Services ~\).fcA \0~lfkn , Ann Moore City Attorney J:\AlIomey\RESOIAGREEMENTSlCinJ::ular Wireless MLA_07+17-07.doc 3-7 THE A TT ACHED AGREEMENT HAS BEEN REVIEWED AND APPROVED AS TO FORM BY THE CITY ATTORNEY'S OFFICE AND WILL BE FORMALLY SIGNED UPON APPROVAL BY THE CITY COUNCIL ~~~~ Ann 'Moore City Attorney Dated: &\.~ \ \. ) 1.....acq Master Communications Site License Agreement between New Cingular Wireless PCS, LLC and City of Chula Vista 3-8 MASTER COMMUNICATIONS SITE LICENSE AGREEMENT THIS MASTER COMMUNICATIONS SITE LICENSE AGREEMENT ("Ucensc") dated as of , 2007 ,Effective Date"), is entered into between New Cingular Wireless PCS, LLC a Delaware Limited Liability Company ("Cingular"), and the CITY OF CHULA VISTA, A MUNICIPAL CORPORATION ("City") with reference to the following facts. A. Cingular wishes to attach, install, erect, operate, and maintain up to twenty-five (25) various unmanned wireless telecommunications facilities, or substantially similar facilities, on public property under the ownership and/or control of the City for purposes of providing wireless communications services. B. City is willing to allow Cingular to attach, instal~ erect, operate and maintain the Facilities subject to the terms and conditions set forth herein and in the site specific Schedule of Premises. NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties agree to the following covenants, terms, and conditions: 1. DEFINITIONS: 1.1. .. Licensed Premises or Premises: The 'City owns in fee, or controls through easement rights, certain real property located in the City of Chula Vista, California. Portions of such property shall be described in Ii Schedule (as defined below) approved by the City and attached hereto. The property described in such Schedules shall constitute and be described and collectively referred to herein as the "Licensed Premises" or "Premises." Licensed Premises shall include any appurtenant property the City owns, or controls on which Cingular installs-1ltility and transmission lines with City's prior approval pursuant to Section 2.4 below. 1.2. Schedule: Attached hereto and incorporated herein by reference shall be various Schedules of Licensed Premises (hereinafter .Schedule"). Each Schedule shall be substantially in the form attached hereto as Exhibit B and shall include the description of the specific Cingular Improvements (described below) or light standards allowed on the Licensed Premises, its configuration, and the site specific conditions necessary for approval (hereinafter .Conditions of Approval"). Both parties agree that Schedules may be added or deleted by administrative action by City from time to time subject to and in accordance with the provisions of this License, including but not limited to Section 5.3 regarding Governmental Approvals. No more than 25 Schedules may be in effect at anyone time. Both parties also agree that the City may add to, delete or modiiY the Conditions of Approval at any time during the term of this License to advance a legitimate and reasonable governmental interest. 1.3. Pre-existing CommuulcatioDs: "Pre_isting Communications" shall be defined as those communications configurations, equipment and frequencies which exist on City's property or are in use by the City within or around the City as of the Effective Date of this License or as of a Commencement Date of an applicable Schedule. 1.4. CinguJar Improvements or CinguJar's Improvements: Cingular Improvements shall be defined to be those unmanned wireless telecommunications facilities comprised of radio frequency transmitting and receiving equipment, antennas, cables, conduits, wires, batteries, utility lines, transmission lines, radio frequency transmitting and receiving antennas and supporting structures and improvements, which are approved by the City and whicb are located or proposed to be located per this License, on Licensed Premises. A typical example of the facilities comprising the Cingular Improvements is set forth in Exhibit A. attached hereto. Cingular Improvements shall exclude light Chula Vista I Cingular Master Comm. Site License Page I of 191?;aQ2Q I 3-9 standards or poles located in City rights-of-way, whether or not said light standards or poles are installed by City or Cingular. Such excluded improvements shall be owned by City. 1.5. Commencement Date: Upon execution hereof by all parties hereto the Commencement Date of this License shall be the Effective Date. The Commencement Date of this License with respect to each individual Licensed Premise shall be as specified in each related Schedule. 2. PREMISES AND LICENSED USES 2.1. Grant of Liceuse. Subject to the following terms and conditions and each Schedule's site specific Conditions of Approval, City hereby grants to Cingular a non-exclusive license to the Premises as depicted in the Schedules attached hereto and incorporated herein from time to time. Each Schedule executed hereunder shall be substantially in the fonn of Exhibit B. 2.2. Use. The Premises may be used by Cingular solely for the transmission and reception of non- franchised wireless telecommunication signals on various frequencies and the construction, maintenance and operation of City-approved Cingular Improvements. 2.3. Pre-Coostruction; Testing. Cingular shall have the right (but not the obligation) at any time following the full execution of this License and prior to the Commencement Date under each Schedule to enter the Premises for the purpose of making necessary inspections, engineering surveys (and soil tests where applicalile) and other reasonably necessary tests (collectively "Tests") to determine the suitability of the Premises for Cingular Improvements and for the purpose of preparing for the construction of Cingular Improvements at no expense to City. During any Tests or pre-construction work, Cingular shall have the insurance coverage set forth in Section 4.4, Insurance. Cingular shall provide the City with prior notice of any proposed Tests or pre-construction work and will coordinate the scheduling of same with Cicr.-cingular, at Cingular's sole cost and expense, will restore the Premises to the same condition as existed prior to any such tests or pre-construction work by Cingular. 2.4. Installation of Cingular Improvements. 2.4.1. In General. This License grants to Cingular the right to construct, maintain and operate Cingular Improvements on the Licensed Premises subject to the terms and conditions set forth herein and those Conditions of Approval found in each Schedule. All Cinguiar construction and installation work shall be perfonned at Cingular's sole cost and expense and in a good and workmanlike manner. Title to Cingular Improvements shall be held solely by Cingular, and all Cingular Improvements shall remain the personal property of Cingular and shall not be treated as real property or become a part of any Premises even though affixed thereto. All street light standards on property owned or controlled by the City, whether installed pursuant to this License by City or Cingular, shall be owned by the City. Prior to installation and operation of each set of Cingular Improvements, Cingular must obtain any and all required federal, state and local permits required for such installation and operation. City pennits required include, without limitation, building permits and an approved Schedule. City shall exercise its best efforts to process Improvements applications within forty-five (45) days after the submittal of a completed application. In addition, all work shall be scheduled in advance and coordinated with parks operations personnel, onsite recreational staff, Public Works, Engineering or other City staff as appropriate prior to commencement of the work to minimize tile potential for conflicts with recreation and other City programs or activities occurring on the site. Cingular agrees that the site will not be activated until the City has signed off on final construction, which sign off shall not be unreasonably withheld or delayed. Absent such sign off, Cingular shall have recourse to an appcallo the City Manager. Chula Vista I Cingular Master Comm. Site J..icense Page 2of191'1:!lBCl I 3-10 ;.-'." 2.4.2. Location of CinguIar Improvements. The location of Cingular Improvements on Licensed Premises shall be subject to the Zoning Administrator's prior approval. In deciding whether to approve a location, the Zoning Administrator will take into consideration City's goal to assure that wireless telecommunication networks are completed with the fewest possible facilities, in the least visible fashion, and with the least disruptive impact on neighborhoods and communities within the City of Chuta Vista. For example, denying or conditionally approving a location to preserve and enhance the aesthetic qualities of the City ofChula Vista shall not be deemed unreasonable. City approval shall be deemed given once the Zoning Administrator has approved the Schedule of Licensed Premises with associated Conditions of Approval. If a schedule is denied, Cingular shall have recourse to appeal to the City Manager, whose decision will be final. It is understood that both parties will work together to find the optimum location for Cingular's antennas on the Licensed Premises that have the least impact to City and private properly. Cingular agrees to reimburse City for the reasonable costs, including reasonable administrative overhead, of processing the approval of each Schedule. The process for reimbursement shall be conducted in the same or similar manner as the City's processing of a non-administrative conditional use permit. 2.4.3. Utilities. Cingular shall have the right to install utilities which are necessary for the operation of Cingular Improvements, at Cingular expense, and to improve the present utilities on or near the Premises (including, but not limited to the installation of emergency back-up power). Such utilities shall be subject to City approval and removal in the same manner as other Cingular Improvements as provided in Section 2.4.2, and 2. I 0, respectively. Cingular shall fully and promptly pay for all utilities furnished to the Premises for the use, operation and maintenance of Cingular Improvements. Payment of all costs for said utilities' deactivation and removal, including any costs, which would survive the term of said License or Schedule, shall be the exclusive obligation of Cingular. Cingular Improvements shall include separate utility meters. 2.4.4. Street Light Standards. In the case of installations on street light standards or mast arms, Cingular shall comply with all applicable City regulations for the installation of streetlights. If the installation is -to be done via replacement of an existing standard and/or mast arm, said replacement shall meet the same regulations as were applied to the existing standard and/or mast ann and be completed to the satisfaction of the Zoning Administrator. Said regulations shall include, but not be limited to, the form, size, strength and construction materials specified for City street lights. Consistent with the City's lawful exercise of police powers, such regulations may be amended at the City's sole and absolute discretion including, but not limited to, allowing for additional space for internal wiring of City and/or Cingular or, altered foundation requirements to accommodate joint City and Cingular uses, or other technical reasons; provided that (i) City shall pay costs to modify street light standards or mast arms which it owns in accordance with such amended regulations and (ii) Cingular shall pay all costs to modify Cingula!'s Improvements as required by such amended regulations. In making any such amendments, City shall use reasonable efforts to accommodate and not materially adversely impact the functioning of existing Cingular Improvements. In the event the amended regulations make existing Cingular Improvements unusable by Cingular, then City shall use reasonable efforts to provide a suitable alternate location. Upon reasonable notice and written request by the Zoning Administrator, Licensee shall provide a replacement pole that is pre-approved by the City Engineer and shall deliver the existing pole to the City Corporation Yard or some other suitable site within the City designated by the City Engineer. The design of the pole, method of attachment for Licensee's equipment and all other connections shall meet the specifications reasonably required by the Zoning Administrator. Chula Vista I Cingular Master Camm. Site License Page30f~ I 3-11 2.4.5. Compliance with Laws. Cingular's Installation and operations of Improvements must comply with any and all applicable federal, state and local laws. Installation of improvements in or near the public right of way shall meet the requirements of the Americans with Disabilities Act with regard to minimum clearance and public use of sidewalk areas. 2.4.6. Restoration. If any City sidewalk is disturbed in the course of installation, Cingular shall replace said sidewalk from cold joint to cold joint from each direction from the disturbed area and to the satisfaction of the City Engineer. If any existing landscaping, irrigation systems, utilities or other City facilities are disturbed in the course of installation, Cingular shall replace and restore said property to its pre-installation condition. 2.4.7. Maintenance. Maintenance of the Cingular Improvements shall be the sole responsibility of Cingular during the entire term of this License, and Cingtllar agrees to keep all Cingular Improvements in good condition and repair. 2.5. Access. 2.5.1. Cingular and Cingular employees, agents, contractors and subcontractors shall have access to the Premises twenty-four, (24) hours per day, seven (7) days per week, at no charge to Cingular, subject to the conditions set forth in each Schedule. City hereby licenses to Cingular all rights of ingress 'and egress held by City to the extent required to' construct, maintain, install and operate Cingular Improvements on the Premises. Cingular's exercise of such rights shall not cause undue inconvenience to City. 2.5.2. In connection with installations on light standards, mast arms or poles, Cingular shall provide at least seven (7) days written notice to the City Engineer of installation date and time. Cingular shall pay any and all costs associated with City shut off and reconnect of power to Premises, installation oversight and/or inspections if City reasonably deems necessary. 2.5.3. In connection with Cingular's maintenance of Cingular Improvements on street light standards, mast arms or poles, Cingular shall provide at least twenty four, (24) hours notice to the City Engineer and pay City any and all costs associated with City shut off and reconnect of power to Premises, maintenance oversight and/or inspections if City deems reasonably necessary. In case of need for emergency maintenance of Cingular Improvements, Cingular shall use its best efforts to give prior notice to City Engineer but shall notify City of such work as promptly as reasonably possible after the work is commenced. 2.5.4. In connection with City's maintenance to street lights which share a standard or mast arm with such installations, City shall use its best efforts to provide Cingular at least twenty four (24) hours notice of said maintenance. If City desires to have a technician of Cingular on site during said maintenance, Cingular shall provide said technician upon at least twenty four, (24) hours notice. In case of need for emergency maintenance of City's street lights which sbare a standard or mast arm with such installations, City need not give prior notice to Cingular but shall notilY Cingular of such work as promptly as reasonably possible after the work is commenced. 2.6. Interference with CommunicatioDS. 2.6.1. Cingular Improvements at any given Premises shall not interfere with Pre-existing Communications (determined with respect to such Premises at the date the Schedule for such Premises is executed). Cingular Improvements shall also comply with all noninterference rules Chula Vista I Cingular Master Camm. Site License P.ge40f~ I 3-12 of the Federal Communications Commission ("FCC"). 2.6.2. Any radio equipment installed by Cingular on the Premises shall be frequency compatible with all radio transmitting and receiving equipment existing and in use on the Premises at the time initial installation of such equipment is made. In the event Cingular installation electronically or physically interferes with City's installation already existing on the Premises, Cingular shall take all necessary steps, at its own cost and expense, to eliminate such interference, whether so required by the FCC or not. 2.6.3. Except to the extent necessary to install, operate or maintain public improvements, or in the event of an emergency, the City shall not knowingly interfere with the location, configuration, frequency or operation of Cingular Improvements except in the case of Pre-Existing Communications that do not materially change their power level, frequency or location. In the event any equipment installation by City made subsequent to Cingular's installation causes interference with the location, configuration, frequency or operation of Cingular Improvements, City shall exercise reasonable best efforts to eliminate such interference after learning of such interference, whether required by the FCC or not. 2.6.4. Notwithstanding any other provision in this License to the contrary, in the event of an emergency, City shall have the right, in its sole discretion, to take such action it determines in its sole discretion is necessary under the circumstances to address the emergency, even though such actions may cause interference with Cingular Improvements or the operation thereof. If City must take action which causes or may cause interference, City shall endeavor to (a) give Cingular oral notice of such action as quickly as practicable and (b) to the extent practicable under the circumstances, upon notice by Cingular of the existence of interference, minimize the duration and extent of such interference. 2.6.5. City shall have the responsibility to cooperate with Cingular to identify and remedy to the extent reasonably necessary, any interference with the communications operations of Cingular described in Sections 2.6.3 and 2.6.4, above. 2.6.6. Subsequent to the installation of Cingular Improvements, City shall not permIt Its licensees or future licensees to install new equipment on the Licensed Premises or property contiguous thereto owned or controlled by City, if such equipment is likely to cause interference with Cingular's operations. Cingular shall cooperate in good faith with City to determine whether such interference is likely to be caused by the prospective future licensee. For purposes of this Section 2.6, the existence of electronic and physical interference shall be reasonably determined by City and Cingular. [n the event Cingular reasonably determines the likelihood of interference by newly installed facilities, City shall direct the party installing such facilities to meet and confer with Cingular in order to develop an approach or design that eliminates or materially reduces the potential for interference. Notwithstanding the foregoing, Pre-existing Communications operating on the Commencement Date that do not measurably change from this power level, frequency or location nn the Commencement Date shall not be deemed to be interfering at any time. 2.6.7. Cingular agrees to notify immediately the Director of Public Works of the City of any changes in Cingular frequencies to be used at the Premises. 2.7. Liens. Cingular shall keep the Premises free and clear of any and all liens or claims of liens and charges on account of labor and materials used in or contributing to any work performed by or related to this License, failing which City shall have the right, but not the obligation, to discharge any or all such Chula Vista I Cingular Master Comm. Site License P.g.Saf~ I 3-13 liens or claims, and Cingular shall, upon demand therefor, reimburse City for all costs and expenses incurred by City. 2.8. Removal of Cingular Improvements; Damage or Destructioa. 2.8.1. Upon expiration, cancellation or termination of this License or any Schedule hereunder, Cingular shall be responsible for: (a) removing from the Premises subject to such expiration, cancellation, or termination, at its sole cost, all Cingular Improvements except those which the parties agree shall not be removed or shall be transferred to City, (b) repairing, at its sole cost, all damage caused by such removal, and (c) surrendering the Premises to City in the Premises' original condition, ordinary wear and tear and damages caused by third parties excepted. Said return of Premises in their original condition shall include Cingular's remediation of any hazardous or toxic material discharge at the Licensed Premises caused by Cingular or its agents and shall be to the reasonable satisfaction of the City. 2.8.2. Within 30 days after the date this License or an applicable Schedule expires or otherwise terminates, Cingular at its expense shall remove all Cingular Improvements from the affected Premises; provided that if five or more Schedules expire or terminate contemporaneously, then Cingular shall have a reasonable amount of additional time to remove the affected Cingular Improvements so long as Cingular is diligently proceeding with removal. Any Cingular Improvements remaining on affected Premises beyond the time period available for removal as set.forth above shall, at the sole discretion of the City, either (a) in whole or in part become City property (b) in whole or in part be removed and disposed of by City, with the reasonable costs of said removal and disposal, including reasonable administrative overhead, to be reimbursed to City by Cingular within ten days after Cingular receives City's request for reimbursement together with reasonable evidence of the cost 2.8.3. If the Premises consist of a light standard, mast ann or pole and the same is damaged, knocked down or destroyed from any cause, the following provisions shall apply: Chula Vista I Cingular Master Conon. Site License a. If the damage or destruction renders Cingular unable to conduct normal operations and a temporary site is not available per subsection f. below, the fee for such Premises shall abate in full from the date such damage or destruction occurs until Cingular is able to commence normal operations; provided that Cingular shall have no right to abatement if the damage or destruction is caused by Cingular or its agents' negligence or willful misconduct. b. Non-replacement in case of damage. If Cingular chooses to terminate the use of any Licensed Premises suffering such damage, Cingular shall notif'y the City Engineer of such decision within ten (10) days after notice of such damage. Cingular shall comply with all terms of this License concerning removal of Cingular improvements. Cingular shall be responsible for any removal or replacement of wiring, foundation or other associated facilities that may be required to accommodate the replacement facilities. If this option is chosen by Cingular, Cingular shall not be obligated to replace or pay to replace the damaged light standard, mast arm or pole. c. Immediately following the damage or destruction, City shall exercise its best efforts to notif'y Cingular in writing thereof and shall commence 8Ild thereafter continue diligent efforts to repair or replace the light standard, mast arm or pole; provided that City shall have no obligation to repair or replace the light standard, P.&e60f~ I 3-14 . mast arm or pole if (i) the City, determines, in good faith, that the facility is no longer required or desirable to serve the public health, safety and welfare and that the City has no existing or foreseeable intention of replacing or repairing the facility, or (iI) the damage or destruction occurs during the last 12 months of the Term or any Renewal Term, and Cingular does nol, within 10 days after receiving City notice of such destruction, exercise any option to extend or renew which may then be available regarding the subject Premises hereunder. d. If within ten days after written notice from Cingular of damage City has not commenced to repair or replace, then Cingular shall have the right, but not the obligation, to repair or replace the pole or light standard to the conditions existing immediately prior to the damage or destruction (or to any better condition consistent with the City's then-existing standards and regulations for design and construction of similar facilities); provided that Cingular shall have no obligation to restore any City operations served by the light standard, mast arm or pole unless the damage or destruction is caused by Cingular or its agent's negligence or willful misconduct. Cingular shall perform such work using only contractors approved by the City. Cingular shall complete such work as expeditiously as reasonably possible, subject to complying with the provision of Section 2.4, above. e. If Cingular repairs and replaces pursuant to subsection d. above, then the City shall reimburse Cingular for all its reasonable costs of repair and replacement, provided that (i) City shall have no obligation to reimburse if the City timely decides in good faith not to repair or replace pursuant to subsection c. above or if the damage or destruction is caused by Cingular or its agent's negligence or willful misconduct, and (iI) City shall not be required to pay more than the cost of repair and replacement the City would have incurred had the City contracted for the work using its customary method of procurement and customary time frame for the type of work in question. Reimbursement shall be due and payable within 30 days after receiving Cingular's request for reimbursement together with reasonable evidence of the costs. Cingular shall have the right to offSet license fees under all Schedules by the amount of any reimbursement owing but not timely paid. If the City timely decides in good faith not to repair or replace pursuant to subsection c. above, then all such work by Cingular shall be at its sole expense, but Cingular shall have the option to remove or leave in place any new or replacement light standard, mast arm or pole upon expiration or termination of the applicable Schedule. f. If Cingular is rendered unable to conduct normal operations due to damage or destruction, City shall use reasonable efforts to identifY and make available to Cingular, within ten days following the damage or destruction, a temporary site owned or controlled by City which in Cingular'sjudgment is equally suitable for Cingular's intended uses (subject to public safety issues). Cingular may construct and operate substitute Cingular's Improvements thereon until the Premises are fully repaired and available to Cingular. 2.9. Termination. 2.9.1. Neither this License nor any Schedule shall be revoked or terminated during the Term or any Renewal Term except as expressly stated in this License. Chula Vista I Cingular Master Comm. Site License Page 7 of ~Jg I 3-15 2.9.2. This License may be terminated by either party for any or no reason by delivering to the other party, at any time after the initial five (5) year term of this License, written notice of exercise of this right to terminate (the "Exercise Noticej. If this right to terminate is exercised, termination of this License shall be effective 12 months after the Exercise Notice is delivered to the other party. From and after the date the Exercise Notice is delivered to the other party until the effective date of termination, Cingular shall have no right to receive any further Schedule attachments to add Licensed Premises that were not executed prior to delivery of the Exercise Notice. Notwithstanding the foregoing. City retains the right to disapprove extensions of this License beyond the first five-year term as provided in Section 3.1 hereof. 2.9.3. Cingular shall have the right to terminate a Schedule on 30 days prior written notice to City (or any shorter notice expressly set forth below), if: Cingular delivers to City such 3()'day written notice at any time prior to the Commencement Date under such Schedule for any reason or no reason; Chula Vista I Cingular Master Comm. Site Llcen.e .. b. Cingular determines at any time after the Commencement Date under such Schedule that any governmental or non-governmental license, permit, consent, approval, easement or restriction waiver that is necessary to enable Cingular to install and operate Cingular Improvements cannot be obtained at acceptable expense or in an acceptable time period; - c. Cingular determines at any time after the Commencement Date under such Schedule that the Premises are not appropriate or suitable for Cingular operations for economic, environmental or technological reasons, including without limitation, any ruling or directive of the FCC or other governmental or regulatory agency, or problems with signal strength or interference not encompassed by Section 2.9.3 .d. below; provided that if Cingular exercises the right to terminate under this subsection, Cingular shall pay City (or City may deduct from any rebate due Cingular) as a termination fee 25% of the then Annual Fee for the subject Premises; d. Any Pre-existing Communications, or any communications facilities or other structures of any kind now or hereafter located on or in the vicinity of the subject Premises, interfere with the location, configuration, frequency or operation of Cingular Improvements and Cingular is unable to correct such interference through reasonably feasible means; e. City commits a default under this License with respect to such Schedule and fails to cure such default within the 30-day notice period, provided that if the period to diligently cure takes longer than 30 days and City commences to CUrl: the default within the 3().day notice period, then City shall have such additional time as shall be reasonably necessary to diligently effect a complete cure. f. The Premises under such Schedule are totally or partially damaged, knocked down or destroyed from any cause (other than due to Cingular or its agent's negligence or willful misconduct) so as, in Cingular judgment, to hinder Cingular normal operations and City does not provide to Cingular within 10 days after the casualty occurs a suitable temporary location site for Cingular Improvements pending repair and restoration of the subject Premises. Page 8 of 1919~gJg I 3-16 2.9.4. City shall have the right to terminate a Schedule if: a. Cingular commits a default under this License Agreement with respect to such Schedule and fails to cure such default within (i) ten business days after Cingular receives written notice of the default where the default is a failure to pay the annual fee for the subject Premises when due, or (ii) 30 days after Cingular receives written notice of any other default and fails to cure such default, provided that if the period to cure takes longer than 30 days and Cingular commences to cure the default within the 30-day notice period, then Cingular shall have such additional time as shall be reasonably necessary to diligently effect a complete cure. A violation of the Schedule's Conditions of Approval shall be deemed a default for purposes of this subsection; b. The Premises are wholly or partially damaged or destroyed so as to interfere with Cingular's normal operations, City has no obligation to repair under 2.8.3. above and neither party elects to repair pursuant to Section 2.8.3. above; or c. The City Manager determines in good faith that there exists an immediate and substantial threat to public health and safety due to particular circumstances affecting the Premises which cannot be rectified through means less onerous than termination (such as temporary emergency cessation of use by Cingular pending corrective work), in which case termination shall take effect 48 hours after Cingular receives written notice of termination setting forth the City Manager's determination and the reasons therefor. 2.9.5. A Scbedule shall automatically terminate as of the date when possession is delivered to any governmental authority pursuant to the exercise of its power of eminent domain over the subject Premises of such portion thereof as is sufficient, in Cingular's good faith opinion, to render the Premises unsuitable for Cingular's normal operations, or pursuant to a transfer of the subject Premises or such portion thereof under threat or in lieu of exercise of such power. 2.9.6. Upon termination of this License, neither party shall have any further rights, obligations or liabilities to the other except: (a) with respect to provisions of the License which by their sense and context survive termination; and (b) with respect to the rights and remedies of the parties relating to the period prior to termination. Upon termination of any Schedule, neither party shall have any further rights, obligations or liabilities to the other respecting such Scl1edule or the Premises thereunder except: (i) with respect to provisions of this License applicable to such Schedule which by their sense and context survive termination; (Ii) where termination is by reason of breach or default of the other party; and (Iii) with respect to the rights and remedies of the parties relating to the period prior to termination. 3. TERM 3.1. Term. 3.1.1. The initial term of this License shall begin on the Effective Date and shall expire on the date which completes five (5) years after the Effective Date, unless it is earlier terminated by either party in accordance with the provisions herein. The term of this License may be extended for up to five (5) additional successive terms of five (5) years (each a "Renewal icrm") on the same terms and conditions as set forth herein, except as the Annual Fee may be adjusted as Chula Vista I Cingular Master Comm. Site License Page 9 of 1919~g2g I 3-17 provided in Section 4.1, below. Subject to the termination rights set forth in Section 2.9, above, this License shall automatically be extended for each successive Renewal Term unless Cingular notifies City of its intention not to renew prior to commencement of the succeeding Renewal Term. 3.1.2. Subject to the maximum overall License term of 30 years set forth above, the term of any Schedule shall be as follows: A Schedule shall continue in effect for five years from said Schedule's Commencement Date; provided that Cingular shall have the right to extend the Term of such Schedule for five (5) additional periods of five (5) years (the "Renewal Term"). The Renewal Terms shall be on the same terms and conditions as the first Term except that the Annual Fee may be adjusted as provided in Section 4.1, below. Each Schedule shall be automatically extended for each successive Renewal Term unless Cingular notifies the City in writing of Cingular's intention not to extend such Schedule at least 90 days prior to expiration of such Schedule's Term. 4. COMPENSATION AND LIABILITY 4.1. Payment. 4.1. I, In consideration for the use of each Licensed Premises, Cingular agrees to pay City (to be deposited in the City's general fund) an annual fee ("Annual Fee") per Licensed Pre:mises during the initial term of this License: as folloWs: Chula Vista! Cingular Master Comm. Site License a. Cingular facilities that include five, six or seven equipment cabinets, and up to twelve (12) Antennas approximately 72 inches in beight, in addition to necessary cables, electrical power, telephone service, and other necessary fixtures, in an area no more than ten feet by twenty teet, for the - period from the Commencement Date of this License through December 31, 2007, in the amount of $25,706, ($2,142 per month); and/or b. Cingular facilities that include only up to seven (7) equipment cabinets, in addition to necessary transmission cables, electrical power, telepbone service and other necessary fixtures for the period from the Commencement Date of this License througb December 31, 2007, in the amount of $14,009 ($1,167 per mondl); and/or c. Cingular facilities that include only up to twelve antennas approximately 72 inches in height, in addition to necessary transmission cables, electrical power, telephone service, and other necessary fixtures for the period from Commencement Date of this License through December 31, 2007, in the amount of$12,386 ($1,032 per month); and/or d. Cingular facilities that include up to four (4) cabinets and six (6) antennae approximately 72 inches in height in addition to necessary cables, electrical power, telephone service, and other necessary fixtureS, in an area DO more than ten (10) by sixteen (16) teet, for the period from the Commencement Date oftbis License through December 31, 2007, in the amount of $19,280 ($1,606 per month); and/or e. Cingular facilities that include only up to two antennas approximately 72 inches in height, in addition to necessary transmission cables, electrical power, PagelOof~ I 3-18 telephone service, and other necessary fixtures and limited to one above ground cabinet/pedestal of not more than 27 cubic feet, for the period from commencement Date of this License through December 3 I, 2007, in the amount of$3,995 ($333 per month). f. The City may at its sole discretion decrease any of the fees listed above by up to 40% for under grounding cabinets or pedestals in a manner that by the City's sole judgment reduces the impact to land use and/or aesthetics. g. For each calendar year thereafter throughout the initial term, an amount equal to 103% of the Annual Fee for the immediately preceding calendar year. 4.1.2. Upon written request of City or Cingular, the Annual Fee for any Renewal Term shall equal the then fair market rental rate (the "FMRR") that a willing licensee would pay and a willing licensor would accept for the use of similar installation locations for similar telecommunications equipment for the same five.year period. The FMRR shall be in the same amount for each of the Licensed Premises. If the City and Cingular are unable to agree on the FMRR within 180 days prior to expiration of the term preceding a Renewal Term of this License, then at the request of either party, both parties shall attempt in good faith to appoint a real estate appraiser with at least five years' experience in the area in which the Licensed Premises are located to appraise and set the FMRR. If the parties are unable to agree upon such an appraiser within IS days after either party requests appointment, then the parties hereto agree that an appraiser shall be promptly determined in accordance with the rules of the American Arbitration Association. Within 30 days after the appraiser is selected, he or she shall investigate and report to the parties in writing his or her determination of the FMRR. The appraiser may in his or her sole discretion choose to meet with the parties-and take testimony, and may extend the time for determining the FMRR by not more than 15 days. The appraiser's determination shall be final and non-appealable, absent fraud. If Cingular is dissatisfied with the determination of FMRR, then Cingular shall have, as its sole and exclusive remedy, the right to rescind its exercise of the option to renew and allow this License and the then-existing Schedules to expire at the later of the end of the initial term of this License or 90 days after the appraiser issues his or her report on determination of the FMRR (the "Delayed Expiration Date''). The Annual Fee during the period, ifany, from and after expiration of the initial term of this License to the Delayed Expiration Date shall he the FMRR, prorated for such time period. If the FMRR is. not yet determined by expiration of the initial term of this License, then Cingular shall pay the Annual Fee at the at the immediately preceding year's rate pending such determination; and promptly after such determination the parties shall adjust such payment as necessary to the Annual Fee rate as determined by the appraiser, or, if Cingular elects to rescind its exercise of its right to renew, City shall make a rebate as provided in Section 4.1.6 below. The parties shall share equally the costs and fees of the appraiser. Notwithstanding the foregoing, in no event shall the Annual Fee for Licensed Premises adjusted hereunder for any Renewal Term be less than 103% of the Annual Fee for the Licensed Premises in the last year of the preceding term. 4. 1.3. The Annual Fee for each Licensed Premises shall be set at the rate in effect for the calendar year in which the Commencement Date for such Schedule occurs, and shall be adjusted on January 1 of each year thereafter during the term of the Schedule, beginning January I, 2008, according to the adjustment provisions of Sections 4.1.1 and 4.1.2 above. 4.1.4. The Annual Fee shall be payable in advance on each January I, except that any partial Annual Fee fer the first partial calendar year during the Term efany Schedule shall be payable in Chula Vista / Cingular Master Camm. Site License Page 11 ef~ I 3-19 advance on the Commencement Date of the subject Schedule. If the Commencement Date occurs other than JanulllY I, andlor if the Tenn or final Renewal Term ends on a date other than December 31, the Annual Fcc shall be prorated for the first and last partial calendar years during the Tenn or final Renewal Term, based on a 360 day year and 12 months of 30 days each. 4.1.5. Ifpayment is not received by JanulllY I, or the respective Commencement Date, a late fee of 5% of the balance due will be assessed. In addition, interest will accrue at a rate of 6% per annum until paid. 4.1.6. If a Schedule is tenninated prior to December 31 of any year for any reason other than Cingular's default, City shall rebate to Cingular the unearned portion of the Annual Fee for the calendar year in which teimination occurs, provided that City may reduce any such rebate by (a) any tennination fee owing to City under Section 2.9.3.c above and (b) those sums, if any, due from Cingular under Section 2.8 above. City shall pay such rebate within 60 days after the effective date of termination. Whenever Cingular is entitled to abatement of an Annual Fee under this License or any Schedule, City shall credit the amount of such abatement against the next Annual Fees due from Cingular; provided that if the amount of the abatement exceeds the total next Annual Fee (if any) due for the Premises respecting which the abatement has arisen, City instead shall rebate to Cingular the full abatement amount within 30 days after Cingular delivers to City written request for such rebate. 4.1. 7. Payments shall be made to The City of Chula Vista, Finance Department, 276 Fourth Avenue, Chula Vista, CA 91910, or to such other place as City may from time to time designate by written notice to Cingular. Payments shall be accompanied by a description of payment, which identifies the sites for which payment is being made. 4.2. Surety Bond. City shall have the right to require Cingular to furnish a bond, or alternative acceptable to City, to cover the faithful perfonnance by Cingular of its obligations under this License. If such a bond is required by City, it shall be issued by a commercial bonding company which is authorized to transact surety insurance business in the State of California and satisfactory to City; shall not be subject to termination or cancellation except upon ninety (90) days' prior written notice by certified mail to City; shall be in such fonn and in such amount, not to exceed $25,000, as City shall specitY from time to time; and, subject to tennination or cancellation as foresaid, shall be maintained in full force and effect throughout the life of this License and until City, in its sole discretion, detennines that Cingular has fulfilled all of its obligations under this License. 4.3. Hold Harmless. 4.3.1. Cingular shall defend, indemnitY, protect and hold harmless the City, its elected and appointed officers and employees (each a 'City Party'), from and against all claims for damages, liability, cost and expense (including without limitation attorneys' fees) arising out of the operation of the Cingular Improvements or conduct of the Cingular, or any agent or employee, subcontractors, or others acting under the direction or control of Cingular or the violation thereby of any hazardous materials laws or the release thereby of hazardous materials in connection with this License, except only to the extent of those claims arising from the sole negligence or sole willful misconduct of a City Party. Cingular 's indemnification shall include any and all costs, expenses, reasonable attorneys' fees and liability incurred by the City, its officers, agents, or employees in defending against such claims, whether the same proceed to judgment or not. Further, Cingular at its own expense shall, upon written request by the City, defend any such Chula Vista I Cingular Master Comm. Site License Page120f~ I 3-20 claims arising from Cingular's operations or conduct that are brought against the City, its officers, agents; or employees. Cingular also shall and does hereby agree to indemnify, protect, defend and hold hannless the City, its elected and appointed officers and employees (each a 'City party'), from and against all claims for damages, liability, cost and expense (including without limitation attorneys' fees) incurred by the City arising, directly or indirectly, from (a) City's approval and issuance of Schedule and (b) City's approval or issuance of any other permit or action, whether discretionary or non-discretionary, in connection with the use contemplated herein, except only those claims arising from the sole negligence or sole willful misconduct of a City Party. Cingular 's indemnification shall include any and all costs, expenses, reasonable attorneys' fees and liability incurred by the City, its officers, agents, or employees in defending against such claims, whether the same proceed to judgment or not 4.32. It is agreed between the parties that the City assumes no responsibility or liability for loss, damage, expenses or claims, direct or consequential, from (a) Cingular's inability to use the Licensed Premises for its intended purpose, contributed to or caused by the failure of existing facilities on which Cingular Improvements may be placed, inability to use the site, or otherwise, (b) Cingular's use of any related access roads, (c) Cingular's operation of the Cingular Improvements, or Cd) the termination of the License by either party. 4.3.3. Notwithstanding any contrary provision of this License, each party hereby waives any right to recover from the other party or other party's partners, affiliates, agents and employees any loss or damage resulting from any cause or hazard to the extent the loss or damage is covered by property insurance carried by the party suffering loss or damage, including any loss or damage resulting from loss of the use of any property and provided that at the time of loss the property insurers for both parties have waived rights of subrogation. These waivers shall apply between the parties and to any property insurer claiming under or through either party as a result of any asserted right of subrogation, unless any property insurer has not waived its right of subrogation (in which case these waivers shall have no effect). 4.4. Insurance. Cingular, at its sole cost and expense, shall maintain in full force and effect at all times during the term of this License (including the period between the expiration hereof and Cingular's removal of the Cingular Improvements or other equipment from the Premises or appurtenant property), Comprehensive General Liability or Commercial General Liability insurance covering bodily injury (including death), personal injury and property damage. Limits shall be in an amount of not less than one million dollars ($1,000,000) per occurrence, and two million dollars ($2,000,000) aggregate if applicable. Such insurance shall name the City, its officers, agents and employees, individually and collectively, as additional insureds with respect to any covered liability arising out of Cingular's performance of work under this License. Throughout the term of this License, Cingular, at its sole cost and expense, shall also maintain in full force and effect, insurance coverage for bodily injury (including death), and property damage which provides total limits of not less than one million dollars ($1,000,000) combined single limit per occurrence applicable to all owned, non-owned and hired vehicles/aircraft/watercraft. Additionally, Cingular shall maintain not less than fifty thousand dollars ($50,000) Fire Legal Liability on all real property being licensed, including improvements and betterments owned by City. Cingular shall also provide fire insurance on all personal property contained within or on the Licensed Pl"Bmises. The policy shall be written on a standard "all risk" contract, excluding earthquake and flood. The contract shall insure for not less than (90) percent of the actual cash value of the personal property, and shall name the City as an additional insured. Coverage shall be provided in accordance with the limits specified and the Provisions indicated herein. Claims-made policies are not acceptable. When an umbrella or excess Chula Vista I CinguJar Master Comm. Site License Pagel3of~ I 3-21 coverage is in effect, coverage shall be provided in following fonn. Such insurance shall not be canceled or materially altered to reduce coverage until the City has received at least thirty (30) days' advance written notice of such cancellation or change. Cingular shall be responsible for notifying the City of such change or cancellation. 4.4.1. Filing of Certificates and Endorsements. Prior to the commencement of any work pursuant to this License, Cingular shall file with the City the required original certificate(s) of insurance with endorsements, subject to the City's prior approval, which shall clearly slate all of the following: a. Provide on a form approved by the City's Risk Manager, an original plus one (1) copy of a Certificate of Insurance certifying that coverage as required has been obtained and remains in force for the period required by the License. b. All policies shall contain a special provision for thirty (30) days prior written notice of any cancellation, or change to no longer meet the herein specified insurance requirements, to be sent to the City's Risk Manager, 276 Fourth Avenue, Chula Vista, Ca 91910, or to the address shown on the Certificate of Insurance.; and c. That Cingular's insurance is primary as respects any other valid or collectible insurance that the City may possess, including any -self-insured retentions the City may have; and any other insurance the City does possess shall be considered excess insurance only and shall not be required to contribute with this insurance. d. City is an additional insured. The certificate(s) of insurance with endorsements and notices shall be mailed to the City as the address specified in 4.4.I.b.above. 4.4.2. Workers' Compensation Insurance. Throughout the term of this License, Cingular, at its sole cost and expense, shall maintain in full force and effect, insurance coverage for: a. Statutory California Workers' Compensation coverage including a broad form all-states endorsement. b. Employer's Liability coverage, for not less than one million dollars ($1,000,000) per occurrence for all employees engaged in services or operations under this License. Policy is to include a wavier of subrogation. 4.4.3. Insurer Criteria. Any bond or insurance provider of Cingular shall be admitted and authorized to do business in California and shall be rated at least A V in A..M. Best & Company's Insurance Guide. Insurance policies and certificates issued by non-admitted insurance companies are not acceptable. 4.4.4. Severability of Interest. Prior to the execution of this License, "Additional insured", "Cross liability," "severability of interest," or "separation of insured" endorsements/clauses shall be made a part of the commercial general liability and commercial automobile liability policies. Chula Vista f Cingular Master Comm. Site License Page 14 of 1919~Q10 I 3-22 4.4.5. Contractors' and Subcontractors' Insurance. Cingular shall require that all contractors and subcontractors obtain insurance meeting the criteria set forth herein and shall furnish to the City copies of all certificates evidencing such policies of instlrance. 4.4.6 Insurance and Indemnification Obligation. Cingular's compliance with the insurance requirements herein shall not excuse, replace, or otherwise affect Cingular's duty to indemnify and defend the City pursuant to 4.4 of this License. 4.4.7 E:'[cept as may be specifically provided for elsewhere in this License, City and Cingular hereby each mutually waive and all rights of recovery from the other in event of damage to the premises or property of either caused by acts of God, perils of fire, lightning, and extended coverage perils as defined in insurance policies and forms approved for use in the State of California. Each party shall obtain any special endorsements, if required by their insurer, to evidence compliance with the aforementioned wavier. 4.5. Nuisance. Cingular shall not use the licensed Premises in any manner, which, in the reasonable opinion of the City, creates a nuisance or disturbs the quiet enjoyment of the surrounding area by persons in said area. City reserves its rights to exercise its police powers and authority as they may apply to nuisance response and abatement, as provided by City ordinance exclusive of any contract provisions. 5. MISCELLANEOUS 5.1. Possessory Interest. Cingular shall pay personal property taxes and possessory interest taxes, if any, assessed against the Cingular Improvements or the Premises arising from the installation of the Cingular Improvements. Cingular recognizes and understands that this license may create a possessory interest subject to property taxation and that Cingular may be subject to the payment of property taxes levied on such interest. Cingular further agrees that such tax payment shall not reduce-any fee paid to City hereunder and that such tax shall be paid by Cingular before becoming delinquent. City has no responsibility or liability for any such tax. 5.2. Utility Users' Tax. Cingular acknowledges and agrees that the wireless communication services utilizing the Cingular Improvements licensed hereunder are subject to the City's utility users' tax ("Utility Tax") pursuant to City's Municipal Code. Cingular agrees to collect the tax from service users and remit such tax to the City in accordance with the City's Municipal Code. 5.3. Governmental Approvals. Each Schedule under this License is conditioned upon Cingular, or Cingular 's assigns, obtaining all governmental permits and approvals enabling Cingular, or its assigns, to construct and operate mobile/wireless communications facilities on the Cingular Improvements for that Schedule. Cingular shall at its sole cost and expense comply with all the requirements of all municipal, state, and federal authorities now in effect or which may hereafter be in effect, which pertain to Cingular's Improvements and use thereof. City shall have no responsibility or liability for any such requirements. Cingular shall be responsible for obtaining any permits and approvals from any agency having jurisdiction over Cingular 's activities. 5.4. Governing LawNenue. This License shall be governed by and construed in accordance with the laws of the State of California. Any action arising under or relating to this License shall be brought only in the federal or state courts located in San Diego County, State of California, and if applicable, the City of Chula Vista, or as close thereto as possible. Venue for this License, and performance hereunder, shall be the City of Chula Vista. 5.5. Signs. No signs shall be displayed on the Premises without the prior written consent of the City Chum Vista I Cingular Master Camm. Site L.icense Page 150f~Jg I 3-23 in its sole discretion. 5.6. License Administraton. For administrative purposes, any activity covered by this License, which requires pennission or consent of City shall be referred to the City Manager or Manager's duly designated representative at the following address: City Manager, City ofChula Vista 276 Fourth Avenue Chula Vista, California 91910 Phone: (619) 691-5031 Fax: (619) 585-5884 The designated person, address, and phone number for serving official notice on Cingular shall be: If to Tenant: New Cingular Wireless PCS, LLC Attn: Network Real Estate Administration Re: CinguJar Wireless Cell Site #: ~ Cell Site Name: _ 6100 Atlantic Boulevard Norcross, Georgia 30071 Phone No: 1-877-231-5447 With a copy to: New Cingular Wireless PCS, LLC Attn.: Legal Department Re: Cingular Wireless Cell Site #: _; Cell Site Name: '_ 560 I Legacy Drive -_. Bldg. A Piano, TX 75024 Local Market contact. Rhonda Myers Deployment Manager of Real Estate and Construction 6925 Lusk Blvd San Diego, CA 92121 Phone: 858 220 5257 5.7. Successon and Assigns. 5.7.1. Except as provided in subsection 2 below, Cingular shall not assign any rights granted by this License nor any interest therein without the prior written approval of the City. Approval of any such proposed assignment may be withheld in the sole and absolute discretion of the City. Any assignment by operation of law shall automatically tenninate this License. Tile terms and provisions of this License shall extend to and be binding upon and inure to the benefit of any successors and assigns of the respective parties hereto. 5.7.2. Notwithstanding Section I above, Cingular may, without City's approval and in Cingular's sole discretion, from time to time, do any of the following: a. Grant to any person or entity a security interest in some or all of Cingular's Improvements andlor other property used or to be used in connection with th is License; Chula ViSlllI Cingular Master Comm. Site License Page l~of~JQ I 3-24 b. Assign or pledge Cingular's interest in this License or any Schedule to any person or entity to finance Cingular's equipment or operate Cingular's business; and c. Assign (i) to any entity which has, directly or indirectly, a 30% or greater interest in Cingular (a "parentj or in which Cingular or a Parent has a 30% or greater interest (an "Affiliate"); (ii) to any entity with whicb Cingular and/or any Affiliate may merge or consolidate; (iii) to a buyer of substantially all of the outstanding ownership units or assets of Cingular or any Affiliate; or (iv) to the holder or transferee of the Federal Communications ("FCC") license under which Cingular's Improvements are operated, upon FCC approval of any such transfer. Any such assignment shall not be effective until the assignee signs and delivers to City a document in which the assignee assumes responsibility for all Cingular's obligations under this License arising from and after the effective date of assignment. 5.8. Non-Waiver of Breaches. The City's or Cingular's failure to insist, respectively, in anyone or more instances, upon strict performance of any of the covenants or conditions ofthis License shall not be considered as a waiver or relinquishment for the future of said covenants, terms or cond itions, but the same shall continue and remain in full force and effect. 5.9. Entire Agreement. This instrument contains the entire agreement between the parties relating to the rights herein granied and the obligations herein assumed. No alteration or variation of this 'License shall be valid or binding unless made in writing and signed by the parties hereto. 5.10. Time is of the Essence. Time is of the essence in performing each and all of the terms and provisions of this License. 5.11. Waiver of Property, Relocation and Condemnation Rights. Cingular acknowledges and agrees that this License does not confer any of the following: a property right or interest or, a right to relocation or relocation assistance. 5.12. Hazardous Materials. Cingular shall not bring any Hazardous Materials onto the Licensed Premises except for those contained in Cingular's back-up power batteries (e.g. lead-acid batteries) and properly stored, reasonable quantities of common materials used in telecommunications operation (e.g. cleaning solvents). Cingular shall handle, store and dispose of all Hazardous Materials it brings onto the Licensed Premises in accordance with all federal, state and local laws and regulations. "Hazardous Materials" means any substance, chemical, pollutant or waste that is presently identified as hazardous, toxic or dangerous under any applicable federal, state or local law or regulation and specifically includes but is not limited to asbestos and asbestos containing materials, polychlorinated biphenyl's (PCBs) and petroleum or other fuels (including crude oil or any fraction or derivative thereot). City makes no representation or warranty regarding the existence of hazardous materials on some or all of the Licensed Premises, which are being licensed to Cingular in an AS IS condition. Cingular is solely responsible for investigation of any and all Licensed Premises as it sees fit to determine the suitability of the Premises for its intended use. 5.13. City Police Powers. Notwithstanding any provision in this License to the contrary, Cingular acknowledges and agrees that City retains any and all police powers authority available at Law or in equity to regulate the conduct of Cingular within the City or to otherwise act in accordance with the public health, safety and welfare of the City and that nothing in this License is intended to or shall have the affect of condemning or limiting such authority in any way. Chula Vista I Cingular Master Comm. Site License Page 17 of 191VJQ2Q I 3-25 5.14. Limitation on City Liability. Notwithstanding any provision in this License to the contrary Cingular's sole remedies for the City's breach of the License shall be (I) termination of the License or one or more Schedules, as appropriate; (2) specific performance or injunction; or (3) the right to withhold amounts otherwise due and payable to City hereunder with respect to one or more Licensed Premises; provided that; the foregoing limitation on liability does not apply to City's rebate obligation under Section 4.1.6 above. Except as expressly provided in the preceding sentence, in no event shall Cingular be entitled to monetary damages against the City for breach of contract hereunder. 5.1 5. Condemnation. If a condemning authority takes all of City's Property, or a portion, which in both parties' opinion is sufficient to render a Premise unsuitable for Cingular 's use, then the applicable Schedule shall terminate as of the date when possession is delivered to the condemning authority. In any condemnation proceeding each party shall be entitled to make a claim against the condemning authority for just compensation. Sale of all or part of the Premises to a purchaser with the power of eminent domain, shall be treated as a taking by a condemning authority. 5.16 Authorized Signatory. By its signature below, each party: (i) agrees to the terms of this License; (ii) warrants and represents that it is authorized to enter into this License; and (iii) warrants and represents that the person(s) executing this License on its behalf is duly authorized to do so, without the need for any further action. [The Next Page is the Signature Page] Chula Vista I Cingular Master Comm. Site License P.geI80f~g I 3-26 SIGNATURE PAGE TO MASTER COMMUNICATIONS SITE LICENSE AGREEMENT IN WITNESS WHEREOF, the parties hereto have executed this License thereby indicating that they have read and understood same, and indicate their full and complete consent to its terms as of the date first written above. Dated: 2007 City of Chula Vista By: Cheryl Cox, Mayor Attest Susan Biszelow. CilV Clerk Aooroved as to Form: Ann Moore. CilV Attornev Dated: CilV Cimrular: New Cingular Wireless PCS, LLC, A Delaware Limited Liability Company, ~d-d Ch(1~A Na~k"lA..c...... '-- M'f-t.v~ Title: MA~~ Es..J...k. ....c....~ Dated: 1/ II (,,"7 Exhibit List to Agreement (I) Exhibit A Sample Improvements (2) Exhibit B Schedule of Premises MTM:Cin8u1arl License 6-28-07 Chula Vista I Cingular Master Comm. Site License Pagelgof~O I 3-27 EXHIBIT A Sample Cingular Improvements [To be Inserted] 3-28 P" PI"" Ipr'..1 ,Illldl i'l' el'i :Inl Ii 1;11 ! j I ,II. 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IZ 10 l:ll :t J!! ~ ::t o Z i I ! I, ~ I I imun ~ I h I i~ II i 11 ~ I E~ ~ I ~ I I i I d 1I!I!j1d ~ HI I i~ I ~ I. Ji i I . -.-J L I j ~ i nlii!!P ph il iiq ~ ~ II n ~ I il ~~ i ~ II !I II I II~ i!~~1 ..llllllfO EXHIBIT B Attachment I Schedule of Premises Each Licensed Premises Should be described in a Schedule in the format outlined below and made part of this Attachment I. Schedule: Cingular Site No: Commencement Date: Location: APN: Description of Installation (Attach Site Plan): Building Permit No: Conditions of Approval: Note: Violations of these conditions may result in the termination of the right to use this site for wireless communications (see Section 2.9.4a of the Master Communications Site License Agreement). Also, pursuant to Section 1.2 of the Agreement the City may add to, delete or modify this Schedule's Conditions of Approval at any time during the term of the Agreement to advance a legitimate governmental interest. Other: In addition, all work shall be scheduled in advance and coordinated with parks operations personnel, onsite recreational staff, City Engineer and Public Works Staff or other City staff as appropriate prior to commencement of the work to minimize the potential for conflicts with recreation and other City programs occurring on the site. The applicant agrees that the site will not be activated until the City has signed off on final construction. City of Chula Vista Applicant's Authorized City Representatives 3-33