The Transportation Security Administration (TSA) has been an Airport tenant since 2002. TSA's Terminal Building Lease expired on May 31, 2012. The TSA desires to continue to lease the space it currently is using in the Terminal. Staff has worked with the General Services Administration (GSA) on a new five-year lease for the TSA, with the term beginning June 1, 2012 and expiring on May 31, 2017. Under the proposed lease, TSA will continue to lease 2,485 square feet of office and basement storage space in the Terminal.

The City Council may:

• Approve the Lease continuing the TSA's tenancy in the Terminal Building; or
• Not approve the Lease continuing the TSA's tenancy in the Terminal Building.

The Lease will generate annual rental revenue for the Airport of $98,157.48, for a total of $490,787.40 over the entire five-year lease term.

Staff recommends that Council approve Lease Agreement #GS-08P-14691 for the Terminal Building Lease with the U.S. Government for the benefit of the TSA, for the term beginning June 1, 2012 and ending on May 31, 2017.