DEPARTMENT: Center City Development & Downtown Operations
DEPARTMENT HEAD: John Jacks
COUNCIL DISTRICTS IMPACTED: 1
SUBJECT:
TEGNA d/b/a KENS-TV - Antenna License Agreement Amendment #2
SUMMARY:
This ordinance authorizes Amendment No. 2 (Amendment) to the Antenna License Agreement (Agreement) between the City of San Antonio and TEGNA d/b/a KENS-TV to renew the Agreement through December 31, 2023.
BACKGROUND INFORMATION:
On December 4, 2008, City Council approved Ordinance 2008-12-04-1095, which authorized an Antenna License Agreement with KENS-TV for the purpose of operating and maintaining an electronic news gathering relay station and associated equipment at the Tower of the Americas. The Agreement was for a term of five (5) years commencing January 1, 2008 through December 31, 2013.
On December 5, 2013, City Council approved Ordinance 2013-12-05-0851, which authorized Amendment #1 to the Agreement with KENS-TV which renewed the Agreement through December 31, 2018.
This ordinance will authorize Amendment #2 to the Agreement with KENS-TV to renew the Agreement through December 31, 2023. Amendment #2’s initial annual license fee is $26,617.00, with a 3% annual increase.
ISSUE:
Approval of this Amendment is consistent with the City’s policy of licensing public facilities to generate revenue.
ALTERNATIVES:
The City may elect not to approve the Amendment, which would result in KENS-TV reverting to a monthly license agreement or ceasing operations from the Tower of the Americas.
FISCAL IMPACT:
The initial annual license fee for this renewal term is $26,617.00. This fee will increase 3% annually. The total amount of revenue to be generated from the Amendment #2 is $141,314.00 over the five-year renewal term. All funds are deposited into the General Fund.
|
Year |
Amount |
|
1 |
$26,617 |
|
2 |
$27,416 |
|
3 |
$28,238 |
|
4 |
$29,085 |
|
5 |
$29,958 |
|
Total |
$141,314 |
RECOMMENDATION:
Staff recommends approval of Amendment No. 2 to the Antenna License Agreement between the City of San Antonio and TEGNA d/b/a KENS-TV to renew the Agreement through December 31, 2023.