REPORT TO THE CITY COUNCIL December 3, 2015 FROM: KEVIN R. MEIKLE, Director of Aviation Airports Department SUBJECT ..Title Approve Amendment No. 2 to the Airport Use Agreement between the City of Fresno and the State of California for the California Army National Guard Aviation Classification Repair Activity Depot (AVCRAD) facility at Fresno Yosemite International Airport (FAT) (Council District 4) ..Body RECOMMENDATION Staff recommends City Council approve Amendment No. 2 to the Airport Use Agreement between the City of Fresno and the State of California. EXECUTIVE SUMMARY The AVCRAD facility is an Army National Guard helicopter maintenance base located at FAT. AVCRAD desires to reduce its current rental area and accommodate the California Air National Guard's (CANG) munitions storage area safety zone which encroaches onto the AVCRAD leasehold. BACKGROUND The AVCRAD facility provides maintenance for the Army National Guard (ARNG) aviation units from thirteen western states. The facility also provides a mission ready force to the federal government and a ready force to the citizens of California during natural disasters and other emergencies. The CANG occupies land directly to the west of the AVCRAD leasehold, which incorporates a safety zone that extends onto the AVCRAD leasehold. AVCRAD is willing to allow this encroachment; however, AVCRAD's current Airport Use Agreement with the City does not address this issue. Amendment No. 2 will authorize the Director of Aviation to allow such an encumbrance on a case by case basis. Additionally, AVCRAD no longer has a use for Parcel 4, which abuts the CANG leasehold and is approximately 20,075 square feet. Amendment No. 2 removes said parcel from the leasehold area. Refer to the attached site map. Lease Amendment No. 2 has been approved as to form by the City Attorney's Office. ENVIRONMENTAL FINDINGS Reduction of the lease site and modification to the lease language is not a "project" pursuant to CEQA Guidelines Section 15378. LOCAL PREFERENCE Local preference does not apply because this Amendment does not include a bid or award of a construction or services contract. FISCAL IMPACT Revenue from the AVCRAD Airport Use Agreement is based on an Airport Use Fee and will remain unchanged. There is no revenue tied to land rent. Therefore, there is no impact to the Airport Enterprise Fund and no impact to the General Fund from this item. Attachments: Airport Use Agreement Amendment No. 2 Site Map