Consideration and Approval of Lease Amendment:  Lease No: GS-09B-LAZ00170 to issue a Notice to Proceed and provide lump sum payment procedures, to provide underground fiber and conduit installation, for the United States Geological Survey (USGS) facilities located at 2255 North Gemini Drive, Flagstaff, AZ 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.

This lease amendment is to include Section 7.02 Notice to proceed - Underground Conduit Installation.  This work includes a cost estimate in the amount of $238,676.84 for fiber and conduit installation at the USGS facility, to be completed by Aspen Communications. City will contract for this work, and USGS will reimburse City. The conduit will be used for USGS, and the City may use excess capacity for City purposes.

None anticipated.  Approval of this lease amendment will allow fiber and conduit work to move forward at the USGS facility, in the amount of $238,676.84.   The USGS (GSA) leasee will make a lump sum payment to City of Flagstaff in the amount of $238,676.84, to cover the entire cost of the work to be performed by Aspen Communications (a State Contract service provider).  

Priority Based Budget Key Community Priorities and Objectives
Regional Plan

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.

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 General Services Administration (GSA) under lease.

This lease amendment will allow critical infrastructure updates to be performed at the USGS facility.  Upgrading to dedicated fiber connections in a City-owned conduit will allow for a much faster connection to the USGS facilities, which will bring the facility's network capabilities up to date to allow for greater bandwidth, data processing, and productivity.

The agreement will allow a lump sum payment to cover the entire construction costs from USGS GSA, directly to the City of Flagstaff.  The City will manage the project and contract the work out to Aspen Communications, a State Contract service provider.   

The amendment will allow for critical infrastructure improvements to the USGS facility, a City of Flagstaff-owned property.  Eventually, this work will also benefit the Northern Arizona Center for Entrepreneurship and Technology (NACET) facility, by providing a pathway for fiber to the facility.  
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.