20250108-006 REVISED RCA - TSA Lease Agreement — original pdf

Backup

City of Austin Recommendation for Action File #: 24-6454, Agenda Item #: 3. 1/30/2025 Posting Language .Authorize negotiation and execution of an amendment to a Department of Aviation lease with the Transportation Security Administration (TSA) to add two (2) one-year option periods, and to provide for the issuance of a rent credit to TSA for reimbursement of costs incurred for remediation and site work on their leased premises, in an amount not to exceed $195,353.74. Funding: $55,968.74 is available in the Fiscal Year 2024-25 Operating Budget of the Department of Aviation. Funding for the remaining agreement term is contingent upon available funding in future budgets. Lead Department Aviation Fiscal Note It is anticipated that the agreement as amended will reimburse TSA an estimated $195,353.74 over an eight- year term. Funding in the amount of $55,968.74 is available in the Fiscal Year 2024-25 Operating Budget of the Department of Aviation. Funding for the remaining agreement term is contingent upon available funding in future budgets. For More Information: Inquiries should be directed to Tracy Thompson, Airport Chief Officer - Business & External Affairs at tracy.thompson@flyaustin.com. Council Committee, Boards and Commission Action: To be reviewed by the Airport Advisory Commission on January 8, 2025. Additional Backup Information: Effective February 1st, 2023, the City of Austin and TSA adjusted TSA’s leased site locations as amended by an additional 46,560 square feet of land for the placement of a temporary office space trailer. During the project’s exploratory work, hazardous material was found in utility pipes and infrastructure. It is the obligation of the City to remediate hazardous material on Airport land. TSA agreed to undertake the remediation process and costs, including engineering services, excavating, replacing/relocating new equipment, testing, and site correction. Documentation and proof of complete remediation of the site and payment by TSA for such remediation services for a total of $195,353.74 was submitted and verified. The total amount of the remediation services will be issued as a rent credit towards their monthly payable rent until fully recovered. City of Austin Page 1 of 1 Printed on 1/3/2025 powered by Legistar™