Staff Report. Potential Master License Agreement for Telecommunications Facilities
PREPARED BY: Gabrielle Whelan, Town Attorney
Bridgette Falconio, Administrative Technician
Reviewed by: Assistant Town Manager, Town Attorney, and Interim Finance Director
110 E. Main Street Los Gatos, CA 95030 ● (408) 354-6832
www.losgatosca.gov
TOWN OF LOS GATOS
COUNCIL AGENDA REPORT
MEETING DATE: 10/04/2022 ITEM NO: 1
DATE: September 29, 2022
TO: Mayor and Town Council
FROM: Gabrielle Whelan, Town Attorney
SUBJECT: Study Session to Discuss Potential Master License Agreement for
Telecommunications Facilities in the Public Right-of-Way.
RECOMMENDATION:
Consider Request for Master License Agreement for Telecommunications Facilities in Public
Right-of-Way and Provide Direction to Town Staff.
BACKGROUND:
The Town has received a request from a telecommunications provider for a Master License
Agreement. A Master License Agreement would authorize the installation of “small cell”
infrastructure on Town streetlights on designated Town streets. The reason for the request is
that 5G service requires the installation of “small cells” within close proximity to one another.
The “small cell” infrastructure consists of an antenna and battery box affixed to a Town
streetlight pole.
Currently, state law authorizes telecommunications providers to use public right-of-way for
infrastructure, including “small cell” facilities (Public Utilities Code Section 7901.). As a general
rule, public right-of-way extends twenty feet from the center of the street in each direction. As
a result, cities and towns will occasionally receive applications for installations in what can be
perceived as a property owner’s front yard if there is a right-of-way easement that extends into
the front yard.
While state law authorizes the use of public right-of-way, cities and towns retain the right to
regulate the “time, place, and manner” of telecommunications facilities in the public right-of-
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BACKGROUND (continued):
way (Public Utilities Code Section 7901.1; 47 U.S.C. Section 332(c)(7)). Permissible “time, place,
and manner” regulations include aesthetic considerations.
The Town currently processes applications for telecommunications installations on a case-by-
case basis in accordance with Town Code Sections 29.20.205 and following. “Small cell”
installations on private property are subject to the permitting requirements for an
administrative land use permit approved by the Community Development Director. Factors
that are taken into consideration include conformance with General Plan, Zoning Code, and any
applicable guidelines. Decisions are appealable to the Planning Commission.
DISCUSSION:
The benefits of a Master License Agreement are that it would allow the Town to pre-approve
specified locations and the appearance of these “small cell” installations. Telecommunications
providers have expressed that, if they are able to utilize streetlight poles, they are less likely to
seek approval for independent installations in portions of the public right-of-way that may front
residential properties.
One question that often comes up is whether a city or town can charge for the use of its
streetlight poles. The Federal Communications Commission (FCC) currently authorizes a charge
of $270 per pole. The Town can charge a higher amount if the Town can demonstrate that its
costs to allow the installations exceed that amount.
Another question that frequently arises on this topic is the Town’s ability to regulate radio
frequency (RF) emissions. Currently, federal law allows cities and towns to require
confirmation that the RF emissions meet standards established by the FCC. However, cities and
towns do not have the ability to adopt standards for RF emissions that differ from those
established by the FCC.
If the Town were to pursue a Master License Agreement, the Town would also need to amend
its telecommunications ordinance and develop a new permitting program.
CONCLUSION:
Staff is seeking input from the Town Council regarding its interest in pursuing a Master License
Agreement for telecommunications providers that would authorize the use of designated
streetlight poles within the public right-of-way. If the Town Council would like to pursue this
project, Town staff will prepare an amendment to the Town’s telecommunications ordinance,
develop a new telecommunication permitting program, develop aesthetic standards, and
PAGE 3 OF 3 SUBJECT: Telecommunications Master License Agreement DATE: September 29, 2022
CONCLUSION (continued):
negotiate a master license agreement. Each of these items will return to the Town Council for
future consideration.
COORDINATION:
The Town Attorney’s Office, Town Manager’s Office, Community Development Department,
and Parks and Public Works Department coordinated this report.
FISCAL IMPACT:
FCC rules authorize the Town to charge $270 per streetlight pole annually, but this charge is to
cover necessary staff time to oversee and monitor the installations so no fiscal impact to the
Town is expected.
ENVIRONMENTAL ASSESSMENT:
Because the Town Council is providing preliminary direction to staff at this point, this study
session is not a project defined under CEQA.