Under the Aviation and Transportation Security Act (ATSA), the Transportation Security Administration (TSA) is required to deploy TSA personnel to screen all passengers, property, and baggage at all airports.  The ATSA also requires airports to provide checkpoint/screening space rent free to the TSA.  The TSA has the authority to award agreements to an airport for TSA's use of Federally mandated checkpoint space at airports, and to provide a vehicle for reimbursing electrical consumption and janitorial costs for the TSA security checkpoint space.  This Agreement establishes the TSA's use of the security checkpoint space TSA needs to conduct both baggage and passenger screening under the requirements of ATSA, and provides for the reimbursement of electrical consumption and janitorial costs for this checkpoint space at the Airport.  Currently, the TSA utilizes 3,263 square feet of screening space for passenger screening in the Terminal Building, and 928 square feet of screening space for baggage screening, for a total of 4,191 square feet.  Under this Agreement, the TSA is required to update the worksheet listing the equipment it uses in the screening areas, along with the operating time and per unit cost, each time equipment changes are made.  The Airport is required to update the electrical cost on this worksheet.  This update requirement provides a mechanism for the Airport to potentially increase its reimbursement request in the event the cost of the electrical supply increases.  The Agreement is for a one-year base term beginning January 1, 2017 and ending December 31, 2017.   It also provides for four one-year extension options, for a total performance period of five years to end on December 31, 2021.  A copy of the Agreement is on file in the City Clerk's Office.

↵↵City Council may:

• Approve the Reimbursement Agreement with the TSA to reimburse the Airport for electric utility and janitorial expenses for checkpoint areas in the Terminal Building; or
• Disapprove the Reimbursement Agreement with the TSA to reimburse the Airport for electric utility and janitorial expenses for checkpoint areas in the Terminal Building.

The Agreement will generate $41,742.96/year of revenue for the City's Airport for the base year, and an estimated $208,714.80 for the total five-year period of performance.  The five-year estimated total is calculated on the base year rate.  In the event that the rate increases in one of the yearly extensions, the five-year total could also increase.

Staff recommends that Council approve the Reimbursement Agreement with the U.S. Government for the benefit of the TSA to reimburse the Airport for electric utility and janitorial expenses for checkpoint areas in the Terminal Building for an initial one-year base term beginning January 1, 2017 and ending December 31, 2017, and any future one-year extensions that extend the performance period to no later than December 31, 2021.