Item S8
BOARD OF COUNTY COMMISSIONERS
AGENDA ITEM SUMMARY
Meeting Date: Sept. 17, 2003
Division:
BOCC
Bulk Item: Yes
No -1L
Department: DISTRICT 5
AGENDA ITEM WORDING:
Discussion and conceptual approval of providing a 30 month abatement of monthly charges for tower
use for a non-profit radio station -- WMK.L and WGES.
ITEM BACKGROUND:
WLRN, a non-profit Miami-Dade County radio station, has been using the Sprint radio tower without
charge for years. WMK.L and WGES are asking for a 30-month abatement of monthly charges to
offset a relocation fee $79,126.94. WMK.L and WGES will provide $243,000 in tower fees to Monroe
County over the next 10 years.
PREVIOUS RELEVANT BOCC ACTION:
CONTRACT/AGREEMENT CHANGES:
STAFF RECOMMENDATIONS:
TOTAL COST:
N/A
BUDGETED: Yes
No
COST TO COUNTY:
SOURCE OF FUNDS:
REVENUE PRODUCING: Yes
No
AMOUNTPERMONTH_ Year
APPROVED BY: County Atty _ OMB/Purchasing _ Risk Management _
DIVISION DIRECTOR APPROVAL:
~MURRAYNELSON
DOCUMENTATION:
Included X
To Follow_
Not Required_
DISPOSITION:
AGENDA ITEM # vB
.'
. Co-location fee of$79,126.94 to be split between WMKL and WOES.
. Request for an abatement from a monthly $1,350 lease to the county for an initial period of
30 months to recoup this expense.
Justification
1. WLRN, also a non-profit educational radio station just like local stations WMKL and
WOES, currently uses five of the county's towers essentially for free and has never been
required to pay a co-location fee to use the towers. The market value of the space given for
free to WLRN exceeds 1 million dollars and would be as high as 1.6 million dollars given
the rate of the proposed community antenna. The county has a precedent in treating non-
commercial educational radio stations in a generous way.
2. As part of the Community Antenna Agreement, WMKL and WOES will generously provide
WLRN with a new antenna and a larger new transmitter at a cost exceeding $5,000.
3. WMKL is here to support other local non-profit organizations like Habitat for Humanity of
the Upper Keys, the Red Cross of the Florida Keys, the Nature Conservancy, Catholic
Charities Food Bank, Rotary Club, Upper Keys Animal Shelter, Boy Scouts, the Upper Keys
Ministerial Association and many other Monroe County local churches and non-profit
organizations. We air free announcements during prime listening times - the type of
publicity that a number of these organizations can't afford or obtain on the commercial radio
stations.
4. The current tower lease rate on Monroe County towers is $20,000 annually for 5-year terms.
WMKL and WOES will be paying $32,400 jointly per year. Therefore, even with an
abatement of the first 30 months rent, the county still generates $81,000 in the initial5-year
lease. During the second 5-vear lease term. the county would generate $162,000 from
WMKL and WOES (both non-profit organizations!) which is 62% more income than the
PCS companies generate (just over $100.000 during a 5-year lease).
The written lease has been drafted by the county attorney and is now agreeable with all of the parties.
Paragraph 4, sentence 2 should be changed to read as follows:
CO-LESSEES (WMKL and WGES), for the use of the Community Antenna and ground
space at the North Key Largo site must pay the COUNTY a combined annual fee of
$32,400.00 per year in monthly installments of $1,350.00 payable by each CO-LESSEE
beginning upon the first day [of the 31st month] of broadcast transmission and pro-
rated, thereafter due and payable on the first day of each month payable in advance.
Comparison of proposed abatement and WLRN
abatement (over 5 years)
$900,000
$800,000
$700,000
$600,000
$500,000
$400,000
$300,000
$200,000
$100,000
$0
$810,000
Community Antenna, 1
tower, 30 months
WLRN abatement, 5
towers, AA months
12-0
Income by tenant on N. Key Largo tower
over 5-year and 10-year leases
$300,000
$250,000
$200,000
$150,000
$100,000
$50,000
$0
m 5 years
. 10 years
$0
Sprint PCS Verizon Community WLRN
Antenna