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Consent   1.D.
Regular City Council Meeting
Meeting Date:
01/10/2011
TITLE
Amendment One to Concession Agreement with Opti-Fi Networks to Operate a WIFI Concession in the Airport Terminal Building
PRESENTED BY:
Tom Binford
Department:
Airport
Presentation:

PROBLEM/ISSUE STATEMENT

On October 24, 2005, the City Council approved a Concession Agreement with Opti-Fi Networks to operate a Wireless Fidelity Local Area Network (WIFI) Concession in the Airport Terminal Building. The five-year term of the Agreement expired on October 31, 2010. Currently, customers utilizing this WIFI service are charged a fee by Opti-Fi for using the service. Many airports around the country offer WIFI service free of charge to its traveling customers. Because the Airport has begun to receive requests from its customers for free WIFI service, staff has begun reviewing this possibility. In addition, staff is also in the process of evaluating the addition of new technology in the Terminal Building, which would require the use of WIFI access. Since both of these reviews are still underway, staff has worked with Opti-Fi to extend the term of the Agreement for an additional twelve (12) months to October 31, 2011, to allow for both reviews to be completed, and a new RFP developed for future WIFI service. In addition to extending the term of the Agreement, the Amendment provides for updates in the insurance language and reporting requirements.

ALTERNATIVES ANALYZED

The City Council may:
  • Approve Amendment One to the Concession Agreement; or
  • Not approve Amendment One to the Concession Agreement.

FINANCIAL IMPACT

The City will continue to receive 20% of the revenues generated on the WIFI concession at the Airport. Revenues to the City for FY 2011 are estimated to be $4,000 to $5,000.

RECOMMENDATION

Staff recommends that Council approve Amendment One to the Concession Agreement with Opti-Fi Networks to extend the term until October 31, 2011.

APPROVED BY CITY ADMINISTRATOR

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