HB 1160
Department of Legislative Services
Maryland General Assembly
2021 Session
FISCAL AND POLICY NOTE
Third Reader
House Bill 1160 (Calvert County Delegation)
Environment and Transportation Education, Health, and Environmental Affairs
Calvert County – Long–Term Contracts for Cellular Tower Leases
This bill authorizes Calvert County to enter into a contract for a cellular tower lease,
including a cellular tower lease on a water tower, if the initial term of the lease is not more
than 20 years.
Fiscal Summary
State Effect: None.
Local Effect: The bill is authorizing in nature and does not directly affect Calvert County
government finances. If Calvert County decides to enter into lease agreements, county
revenues could increase by a significant amount.
Small Business Effect: None.
Analysis
Current Law: Calvert County is authorized to contract to purchase supplies or services
for periods of more than one year if (1) funds for the total cost of the contract are available
at the time the contract is executed or (2) the county commissioners approve a contract
requiring the payment of funds from appropriations of more than one fiscal year, as
specified.
Local Fiscal Effect: In 2016, Calvert County began a $21.4 million project to update its
public safety communications system. The new communications system replaces 5 existing
communication towers with 5 new towers, adds 4 new tower sites, and utilizes 4 water tank
sites and 2 State tower sites for a total of 15 sites. The project is anticipated to be completed
during calendar 2021. Upon completion of the project, the county will own its
communication towers and under the bill, will be able to lease space on these towers to
vendors that require tower space. The county estimates that revenues may increase by
approximately $1 million annually beginning in fiscal 2022 from these lease agreements,
and the revenues will be used to offset the costs of operating the new public safety
communications system.
Additional Information
Prior Introductions: None.
Designated Cross File: None.
Information Source(s): Calvert County; Public Service Commission; Department of
Legislative Services
Fiscal Note History: First Reader - March 3, 2021
rh/tso Third Reader - March 19, 2021
Analysis by: Arnold Adja Direct Inquiries to:
(410) 946-5510
(301) 970-5510
HB 1160/ Page 2


Statutes affected:
Text - First - Calvert County – Long–Term Contracts for Cellular Tower Leases: 6-103 []
Text - Third - Calvert County – Long–Term Contracts for Cellular Tower Leases: 6-103 []