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FAIRMONT -- After examining various aspects of the project, the Fairmont Public Utilities Commission approved an agreement Tuesday that will allow Verizon to install five small cell antennas to boost data coverage in the city.
At the PUC work session April 10, a Verizon representative explained the company's proposal to install small cell technology on existing light poles at 10th Street and Highway 15, the Salvation Army Center, St. Paul Lutheran Church, Kwik Trip and on Victoria Street near Fairmont Elementary School. The representative said today's average households have 13 electronic devices using about 5.2 gigabytes of data each month, but data demand will jump to about 48 gigabytes per month per household in five years due to the increasing use of technology. The small cell antennas would help existing towers handle that demand.
The city would receive an annual payment of $876 for electricity used at the five sites, as proposed by the agreement, which follows a League of Minnesota Cities template, but Troy Nemmers, city engineer/public works director thought that usage might be on the low side.
"I think it makes sense to put a meter on one to track it so we know," he said.
Marty Meixell, electric distribution superintendent, told commissioners that the antennas, which would be relatively unnoticeable mounted high up on the poles, do not seem to present an issue at this point, but he expressed concern if other wireless communication companies want to install similar devices.
"Are we going to end up with three, four or five of these things on a pole?" he said.
"I would envision that others will be coming," Nemmers said, adding that the antennas are in fairly innocuous locations.
Commissioners asked Wayne Hasek, City Council liaison to the PUC, if he had heard any comments from constituents about the small cell technology.
"I haven't heard a thing," Hasek said.
Nemmers reminded commissioners that they had the option to vote no on the agreement.
"That's when it goes back to providing that service to the city," he said. "It's not ideal, purely from a monetary standpoint, but I think the benefit is having that option for users."
"I think we've all got concerns, but we don't want to hold up progress. I think we need to get started on this," said Jeff Ziemer, PUC chairman.
"It's hard to figure out what's going to happen in five or 10 years," said Commissioner Mary Jo Moltzen.
Commissioners voted unanimously to approve the agreement, sending it on to the City Council for final approval. If the council approves the agreement, Verizon would begin the project next year.
In another matter, Nemmers said AT&T had requested a reduction of $1,000 a month on its lease to put equipment on the State Street water tower. The lease, which was negotiated in 2015 and expires in 2040, calls for AT&T to pay $2,800 per month.
"When we did the initial evaluation, we were a little high compared to other communities," Nemmers said. "Without this amendment to the lease agreement, they would look to remove or relocate."
Accepting the reduced payments still would generate more than $900,000 over the remaining life of the lease, with payments going into the city's water fund.
"It would not be a huge impact to the budget," Paul Hoye, city finance director, said of the possible reduction,
"I'd rather take income more in line (with other communities) than have it go away," said Commissioner Jeff Vetter.
Commissioners unanimously approved the reduced payments.