Broward County Commission Regular Meeting
Director's Name: Mark Gale
Department: Aviation Division: Administration
Information
Requested Action
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MOTION TO APPROVE Terminal Building Lease Agreement between Broward County and El Al Israel Airlines LTD Co., for the lease and use of 605 square feet of airline ticket office space in Terminal 3, Baggage Claim, 641 square feet of operations space in Terminal 3, Ramp Level, Concourse E, 120 square feet of operations space in Terminal 4, Concourse G, and 56 square feet of storage space in Terminal 3, Ticketing Level at Broward County's Fort Lauderdale-Hollywood International Airport, commencing April 1, 2024, and terminating March 31, 2029; and authorize the Mayor and Clerk to execute.
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Why Action is Necessary
Section 2-40(a) of the Broward County Code of Ordinances requires that the Broward County Board of County Commissioners (“Board”) authorize any commercial activities or occupation of any portion of the Broward County’s Fort Lauderdale-Hollywood International Airport (“FLL”) for any purpose unless specifically authorized by Broward County (“County”).
What Action Accomplishes
Approves the Terminal Building Lease Agreement (“TBLA”) between the County and El Al Israel Airlines LTD Co., (“EL AL”) to lease space in Terminal 3 (“T3”) and Terminal 4 (“T4”) in accordance with the provisions of the TBLA, which establishes the payment of rent for the leased space at FLL.
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Previous Action Taken
None
Summary Explanation/Background
THE AVIATION DEPARTMENT RECOMMENDS APPROVAL OF THE ABOVE MOTION.
This action approves the TBLA between the County and EL AL to lease space in T3 and T4 at FLL.
On August 17, 2023, the Director of Aviation approved a Short-Term TBLA between the County and EL AL to lease and use space in T3 and T4 to provide seasonal airline services at FLL during the holiday season (September-October 2023). The Short-Term TBLA terminated on October 19, 2023.
Since EL AL will start regular service at FLL in April 2024, this proposed TBLA will commence on April 1, 2024, and terminate on March 31, 2029. EL AL’s payments will be based on the actual amount payable under the proposed TBLA and will be adjusted according to the rates and charges established in Chapter 39 of the Broward County Administrative Code (“Administrative Code”).
The proposed TBLA allows EL AL to lease 605 square feet of airline ticket office space in T3, Baggage Claim, 641 square feet of operations space in T3, Ramp Level, Concourse E, 120 square feet of operations space in T4, Concourse G, and 56 square feet of storage space in T3, Ticketing Level, to continue providing airline services at FLL. Additionally, the proposed TBLA does not include an executed Exhibit H - Prevailing Wage Statement of Compliance because no construction work is contemplated as part of this TBLA.
The proposed TBLA has been reviewed and approved as to form by the Office of the County Attorney and the Risk Management Division.
Source of Additional Information
Mark E. Gale, A.A.E., CEO/Director, Aviation Department, (954) 359-6199
Fiscal Impact
Fiscal Impact/Cost Summary
The estimated annual rent for the first lease year is $512,607 in revenue to the Broward County Aviation Department and will be adjusted annually according to Chapter 39 of the Administrative Code.