REPORT TO THE CITY COUNCIL December 10, 2020 FROM: KEVIN R. MEIKLE, Director of Aviation Airports Department SUBJECT ..Title Actions related to a lease for Terminal Space with Transportation Security Administration at Fresno Yosemite International Airport: 1. Adopt a finding of Categorical Exemption pursuant to Section 15301 (Existing Facilities) of the California Environmental Quality Act Guidelines 2. Approve Lease Amendment No. 2 between the City of Fresno and the Transportation Security Administration, for Terminal Space at Yosemite International Airport (Council District 4) ..Body RECOMMENDATION Staff recommends that City Council authorize the Director of Aviation to approve Amendment No. 2 to the existing lease with the Transportation Security Administration (TSA) to extend the term for an additional two (2) years and Exhibit B at Fresno Yosemite International Airport (FAT) and execute all applicable documents. EXECUTIVE SUMMARY Pursuant to federal law, TSA provides the security screening of airline passengers and baggage at those US airports with scheduled passenger airline services, such as FAT. TSA pays rent on occupied exclusive use space (locker rooms, break rooms, training rooms and administrative offices). Under this Amendment, TSA will continue to lease a total of 2,593 square feet of such space in FAT's passenger terminal through January 31, 2023. BACKGROUND TSA's core function is to protect the nation's transportation systems to ensure freedom of movement for people and commerce. Their presence at FAT generates approximately 100 jobs. TSA's responsibilities include, but are not limited to, security screening of airline passengers and check baggage as per federal regulations. TSA has been a FAT terminal tenant since October 8, 2002. The current lease was entered into January 2015 for a term of three (3) years and Amendment No. 1 was executed in 2017 for an additional three (3) years. TSA contacted the Airport with a request to extend the agreement for an additional two (2) years for a total term of the full agreement of eight (8) years. The City Attorney has approved the Lease and Agreement as to form. ENVIRONMENTAL FINDINGS Pursuant to CEQA Guidelines Section 15378, this is not a project for the purposes of CEQA. LOCAL PREFERENCE The City's Local Preference Ordinance was not applied because this item is an amendment to an existing lease. FISCAL IMPACT There is no impact to the General Fund from this action. There are no changes in terminal rents or any other fees to TSA with this action, which are identified in the Agreement. The total revenue generated under Amendment No. 2 will be $276,857.62. All revenue will be deposited into the Airports Enterprise Fund and will contribute to the operation and maintenance of FAT. Attachment: Terminal Space Lease