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A resolution approving Amendment 2 to a Location Agreement between the Metropolitan Government of Nashville and Davidson County, through the Department of Water and Sewerage Services, and T-Mobile South, LLC.
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WHEREAS, O98-1429 approved a Location Agreement dated December 1, 1998 (“Location Agreement”) between the Metropolitan Government of Nashville and Davidson County (“Metro”) and T-Mobile’s predecessor in interest, for the installation of certain communications equipment and appurtenances (“Equipment”) on properties belonging to Metro, for a term length of twenty-five (25) years; and,
WHEREAS, Amendment 1 to the Location Agreement clarified terms related to termination, notice and other administrative provisions, incorporated by approval of Amendment 1 executed by the parties; and,
WHEREAS, T-Mobile previously installed Equipment solely at one (1) location pursuant to the Location Agreement, which location is identified as 4601 Carlton Drive, Nashville, TN (“Location”); and,
WHEREAS, the Location Agreement expired on December 31, 2023, and the Parties hereto wish to extend the term of the Location Agreement and amend such other terms of the Location Agreement as set forth in Amendment 2, attached hereto and incorporated herein; and,
WHEREAS, O98-1429 provided that amendments to the Location Agreement shall be approved by resolution; and,
WHEREAS, it is to the benefit of the citizens of the Metropolitan Government of Nashville and Davidson County that Amendment 2 to the Location Agreement be approved.
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE METROPOLITAN GOVERNMENT OF NASHVILLE AND DAVIDSON COUNTY:
Section 1. That Amendment 2 to the Location Agreement between the Metropolitan Government of Nashville and Davidson County, through the Department of Water and Sewerage Services, and T-Mobile South, LLC, attached hereto and incorporated herein, is hereby approved.
Section 2. This resolution shall take effect from and after its final passage, the welfare of The Metropolitan Government of Nashville and Davidson County requiring it.
Agenda Analysis
Analysis
This resolution approves the second amendment to a location agreement between the Department of Water and Sewerage Services (“Metro”) and T-Mobile South, LLC.
T-Mobile previously installed certain communications equipment and associated items at a Metro-owned property at 4601 Carlton Drive, as provided through the location agreement approved by Ordinance No. O98-1429. Amendments to O98-1429 may be approved by resolution. The location agreement was previously amended through an amendment approved by Metro and executed by both parties on or around December 27, 2002, which clarified terms related to termination, notice, and other administrative provisions.
The location agreement expired on December 31, 2023. Since then, T-Mobile continued to make all required payments and has remained at the 4601 Carlton Drive location under the terms of the location agreement with Metro’s permission. The parties now wish to extend the term of the location agreement and amend other terms of the location agreement.
The amendment would be effective January 1, 2024, with a five-year term. The parties may extend the term of the location agreement for another five years by written amendment. No further extensions of this agreement shall occur. T-Mobile has stated that it will actively pursue an alternative location for its equipment.
T-Mobile will pay Metro annually for its use of Metro property. The payment will be $20,780.12 for the first year of the five-year term and increase by 3 percent annually for each remaining year of the term.
T-Mobile shall pay for all installation, operation and maintenance of its equipment. Metro, which owns the structure for which T-Mobile’s equipment will be attached, shall be responsible for maintenance of Metro’s structure.
If the agreement is terminated, T-Mobile will be refunded on a pro-rata basis for the remainder of the location agreement term, but only for the time that T-Mobile was not using the location and did not have any T-Mobile equipment at the location.
Fiscal Note: This amendment increases the T-Mobile South LLC’s payment, from the first amendment of the location agreement in 2002 of $1,000 per year location charge, to an initial payment of $20,780.12 on the commencement date for the first year. T-Mobile South LLC will pay Metro $20,780.12 per year thereafter throughout the terms of the location agreement. T-Mobile LLC will pay for installation and operation costs.