Council hears proposed amendment for small-cell technology fees

At an Aug. 19 work session, Vestavia Hills City Manager Jeff Downes told the council of a proposed amendment to the city’s already-passed ordinance regulating fees for small-cell technology.

The ordinance, passed in December 2018, sets out fees that will apply to telecommunications companies placing their technology, which will both enhance existing coverage and pave the way for the future 5G voice and data network, on existing utility poles or constructing a new pole.

After a discussion with AT&T, Downes said he and Mayor Ashley Curry agreed, subject to approval of the council at the Aug. 26 meeting, to a compromise that alters the fees. The fees that are proposed to be implemented are the Federal Communications Commission’s “Safe Harbor” fees, meaning municipalities do not have to justify implementing those rates. The city’s ordinance as it stands now had to be justified.

While the initial issuance fee will remain $100 under the proposal, the city would collect $500 from the permit fee instead of the existing $200, though the annual license fee would decrease from the existing $500 to the FCC’s proposed $270.

If the council passes the amendment Monday night, the fee structure would not change until June 1, 2020, with AT&T set to pursue similar actions in neighboring cities. If the city agrees to alter the fee structure, Downes said AT&T has agreed to not wait until next summer to begin sending in permit applications for up to 70 potential small-cell sites, and would send in those requests under the existing fee structure.

Council member George Pierce gave an update on a strategic plan undertaken by the Vestavia Hills Chamber of Commerce.

The chamber’s executive director, Karen Odle, told the Voice on Tuesday they have hired Joe Sumners, who formerly taught at Auburn University, to lead a strategic plan development this fall, which will lay out a plan for the chamber for the next five years.

A committee has been formed to help create the plan, and includes Downes, Pierces, Vestavia Hills City Schools Superintendent Todd Freeman and others, Odle said.

Also at the work session, the council set a budget hearing date of Sept. 4 at 2 p.m. at City Hall to discuss the next year’s budget.

At the end of the meeting, the council went into executive session to discuss real estate, with no action taken after the meeting.