Consideration and Approval of Lease Amendment:  Lease No: GS-09P-94446 for Building 3 of the United States Geological Survey (USGS) facility located at 2255 North Gemini Drive, Flagstaff, Arizona 86001

The General Services Administration (GSA), under clause 552.270-21 - Changes of the lease, may make changes which Lessor must accept. The clause provides for monetary allowances for any changes which cause an increase in costs associated with the performance of the lease. The amendment submitted by the GSA places a prohibition on contracting for certain telecommunications and video surveillance services and equipment. We are already in compliance with this change and will remain in compliance of this change without any additional costs associated with performing our obligations under the lease.  

None

Priority Based Budget Key Community Priorities and Objectives

Yes, the original Lease dates back to 1996, and ten amendments/extensions have been
approved over the years. Copies of the Lease and amendments thereto are on file with the City Clerk, and available for
public inspection upon request.

Option 1: Acknowledge the Amendment to the Lease and do not assert a cost adjustment
Option 2: Acknowledge the Amendment to the Lease and assert a cost adjustment

The USGS Campus was established at its current location in 1963. Originally, it was the base of operations for scientists involved in astrogeology related to the Space Program. Since that time, the Campus has expanded to include scientists involved in geology, geography and water resources, as well as astrogeology. Today, the USGS Campus employs over 200 scientific personnel. The City of Flagstaff owns the buildings on the USGS campus with the GSA under lease for the following buildings:

USGS Building #3: 12/31/2021
USGS Buildings #4 and #5: 12/31/2021
USGS Building #6: 8/1/2037

Building 3 has been leased by the United States Geological Survey (USGS) under the administration of the General Services Administration (GSA) since 1974. On May 25, 2016, the City of Flagstaff submitted a proposal to GSA for a new office building and warehouse at the USGS Campus. The proposal was accepted as a new build to suit lease for additional buildings. Building 3 will be demolished and this lease will expire.

The USGS Campus has provided an array of economic benefits to the Flagstaff community. Currently, the facility employs over 200 people in the scientific sector, most of which are in high paying jobs. There is a strong connection between NAU and the USGS Campus that creates a synergy for the growth of both facilities.

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