Cell phone towers and frozen water lines were the main topics of discussion for the South Haven City Council on Tuesday, March 4.
Negotiations on an agreement with AT&T that would allow the placement of a cell tower at the city’s wastewater treatment plant began last month, with the company making a relatively low offer and the city responding with a request for higher rent, an annual rent increase and a co-locator agreement for any other outfits that might rent space on AT&T’s tower.
Council members had been concerned that the company could simply walk away if the city demanded too much, but didn’t want to be taken advantage of either.
Last week, they learned from city attorney Tim Young that their counteroffer had paid off.
Young explained that AT&T’s original offer had been for $500 per month with a 10 percent rent increase every five years.
While $500 per month would give the city an extra $6,000 in income each year – not an insignificant amount given the city’s small size – it was far lower than the rent collected by surrounding cities such as Annandale, which receives rent of $1,200 per month for a similar arrangement.
While acknowledging that any extra income would be welcome, the city council decided last month to counteroffer with rent of $700 per month, a 3.5-percent annual increase and a co-locator agreement of $700 for any additional entities that used space on the tower.
In response, Young explained that the company had adjusted its position, making a new offer of $650 per month for rent ($7,800 per year), along with an annual increase of 3 percent. The company did not agree to a co-locator agreement, though such agreements are common for communications and water towers.
Still, Young said his recommendation was for the city to accept the second offer, and the council was inclined to agree.
"Personally, I think we’ve done OK by pushing the button a little bit," said Mayor John Lemke. "I don’t think we can really ask for a whole lot more."
While the council agreed to accept the terms of the lease agreement, Lemke noted that one outstanding issue remains – the city has not yet seen a site plan that would clarify whether or not guy wire anchors and tower construction would interfere with the irrigation system in place at site.
Young said that protection of the irrigation system is specified in several places in the agreement, but the council decided to make its final approval of the tower contingent on receipt of the site plan.
AT&T still has a final say in whether or not to move ahead with the arrangement, and there will still be an option period when the company can cancel if the tower does not receive adequate reception.
"It’s probably a few months away before you’ll know for absolute positive whether this thing is going to go long term," said Young."
Frozen lines
Like many other cities around the area, South Haven has been experiencing frozen water lines as a result of frost that has reached a depth of around seven feet.
Four properties on Main Street alone had been frozen as of the meeting date, along with at least two additional residential properties.
As a result, the council decided to issue a notice to residents to keep their water running in a pencil-size stream to keep water moving through their pipes and avoid freezing.
"That’s all you see in the papers. Everybody’s having problems with it. There’s not a whole heck of a lot you can do except leave some water running," said Lemke. "As far as I’m concerned, it’s a lot cheaper to let them run some water than it is to thaw them out."
To avoid a spike in water bills, the city will be averaging the bills starting with the March billing for February, and will continue to bill on averages until the frost is gone this spring.
According to the Minnesota Rural Water Association, a pencil-size stream of water uses about a quarter of a gallon per minute, or 10,800 gallons in 30 days.
Other items
In other business, the council:
■ Agreed to acquire two vacant lots of land on Main Street that were opened when the buildings at 500 Oak Avenue and 520 Oak Avenue were destroyed by fire.
City Clerk Carol Banken said the city has already spent $58,000 to get the lots cleaned up, and the land has now gone into tax-forfeiture.
To claim the land the city must identify a public use for it, and the council agreed that converting the lots to a parking lot for some off-street parking would be beneficial, since parking can be difficult to find on Main Street when there are large events downtown.
"If we’ve already got $58,000 into it, we might as well do something with it," said Councilor Russ Christinsen.
Three more commercial properties are also in tax-forfeiture, and the council approved the public auction of those locations since it did not see an appropriate use for them.
■ Adjusted the water connection service fee on city bills, which comes from the Minnesota Department of Health.
The state charges $6.36 per connection per quarter. However, when the city set up its billing that charge was mistakenly passed on as $6.36 per year rather than per quarter.
"So we’ve been collecting 60 cents a month instead of ($2.12) per month," said Banken. "The water fund has been covering it either way, but we’re collecting a quarter of what we should be."
As a result, the council agreed to increase that charge to $2.15 per quarter.
"In 10 to 15 years, that three cents we gain, we’ll make up for the mistake," said Lemke with a laugh.
The council clarified that this is a state fee that is mandated, so correcting the mistake is not optional.
■ Heard a report from Fire Chief Oscar Laney. There were four rescue calls and two fires calls last month.
"We’ve been slow, which is good when it’s this cold," said Laney.
As for the new truck, delivery is still expected in mid-May, and Laney said the department has purchased all new hose for it.
■ Accepted a $450 donation from SHFR charitable gambling to the South Haven Days committee for events.
■ Approved the annual public fish fry held by the South Haven Sportsmen, which will be held on Friday, April 4, in the fire hall.
■ Approved a temporary consumption and display permit for the Fairhaven Lions for the sale of beer and pop at the fish fry, contingent on proper insurance.
■ Approved $1,500 in working capital for the municipal liquor store for April 4.
■ Approved certification to the state that a consumption and display permit has been approved to Lavon Maurer of LaLa’s Bar & Grill for the renewal date of April 1.
■ Approved use of the city park by the Annandale baseball and softball traveling teams from mid-May through the first week of July.