Legislation Details

File #: 26-1021   
In control: Aviation - Capital Development
Agenda Date: 9/10/2026 Final action:
Title: MOTION TO APPROVE Second Amendment to the Second Addendum to the Signatory Terminal Building Lease Agreement between Broward County and JetBlue Airways Corporation, for management of the construction of Terminal 5 at Broward County’s Fort Lauderdale-Hollywood International Airport, to provide additional funding for increased costs and additional scope and to modify the terms of the Second Addendum for an increase in the amount of $398,954,000, increasing the total nottoexceed amount from $403,440,000 to $802,394,000, and to be substantially complete within 1,277 calendar days after issuance of the third Notice to Proceed; and authorize the Mayor to execute.
Indexes: Established Commission Goals
Attachments: 1. Exhibit 1 - Placeholder, 2. Exhibit 2 - OESBD Memo, 3. Exhibit 3 - Agreement History
Date Action ByActionResultAction DetailsMeeting DetailsVideo
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Broward County Commission Regular Meeting                               

Director's Name:  Mark Gale

Department:                       Aviation                                          Division: Capital Development

 

Information

Requested Action

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MOTION TO APPROVE Second Amendment to the Second Addendum to the Signatory Terminal Building Lease Agreement between Broward County and JetBlue Airways Corporation, for management of the construction of Terminal 5 at Broward County’s Fort Lauderdale-Hollywood International Airport, to provide additional funding for increased costs and additional scope and to modify the terms of the Second Addendum for an increase in the amount of $398,954,000, increasing the total not-to-exceed amount from $403,440,000 to $802,394,000, and to be substantially complete within 1,277 calendar days after issuance of the third Notice to Proceed; and authorize the Mayor to execute.

 

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Why Action is Necessary

In accordance with the Broward County Procurement Code, Section 21.47.a, Broward County Board of County Commissioners (“Board”) approval is required to approve all contracts over $500,000.

 

What Action Accomplishes

Approves the Second Amendment to the Second Addendum to the Signatory Terminal Building Lease Agreement (“Second Amendment”) between Broward County (“County”) and JetBlue Airways Corporation (“JetBlue”), to provide funding for increased costs and additional scope and to modify the terms of the Second Addendum to the Signatory Terminal Building Lease Agreement (“Second Addendum”), for the Terminal 5 (“T5”) project at Broward County’s Fort Lauderdale-Hollywood International Airport (“FLL”).

 

Goal Related Icon(s)

County Commission

Go Green

MAP Broward

 

Previous Action Taken

None

 

Summary Explanation/Background

THE AVIATION DEPARTMENT RECOMMENDS APPROVAL OF THE ABOVE MOTION.

 

This action approves the Second Amendment to the Second Addendum between Broward County and JetBlue for the Terminal 5 project at FLL.

 

The Office of Economic and Small Business Development (“OESBD”) established a County Business Enterprise (“CBE”) goal of 15% for the Program Management Services, Design Services and Inspection Services contracts under this project. JetBlue committed to 15% CBE participation. To date, JetBlue has been paid $37,770,034 and has paid its sub-contractors $6,903,864 for 18.28% CBE participation (Exhibit 2).

 

On June 15, 2021 (Item No. 128), the Board approved the Second Addendum between the County and JetBlue for management of the T5 construction project to be substantially complete within 890 calendar days after issuance of the third Notice to Proceed, in the not-to-exceed amount of $306,000,000. Additional information on the Signatory Terminal Building Lease Agreement and subsequent actions is included in Exhibit 3.

 

Construction associated with this project will build the new T5, located east of Terminal 4 (“T4”). The new T5 will consist of a two-level, five-gate domestic concourse with ticketing, inbound and outbound baggage processing, a security screening checkpoint, retail, food and beverage concessions, public spaces, circulation areas, and other airport support spaces necessary for operations. The project also includes a new terminal connector between T4 and T5 for secure and non-secure passenger access, a new pedestrian bridge linking T5 to the Cypress Garage, and additional remote aircraft parking positions relocated south of T4 to maximize airfield and gate capacity.

 

The Terminal 5 project has advanced through final design development, competitive trade procurement, and refinement of construction means and methods, resulting in updated cost, scope, and schedule values that reflect the fully defined project. The updates incorporate all major landside, terminal, and airside components including elevated pedestrian connectors, roadway and utility improvements, apron reconfiguration, hydrant fueling infrastructure, and integrated operational systems needed to support long term passenger growth and airline operations at FLL.

 

The 100 percent design was completed and submitted on December 4, 2025, providing the foundation for the Construction Manager at Risk (“CMAR”) to begin detailed pricing and subcontractor bidding. The construction packages, including the Final Guaranteed Maximum Price (“FGMP”), were submitted by the CMAR in late April 2026, after which the Broward County Aviation Department (“BCAD”) and JetBlue conducted a comprehensive review and validation of the proposed work plans, trade breakdowns, scope clarifications, and industry benchmarking. Following this extensive technical review, negotiations were finalized in June 2026, establishing a fully vetted and market supported basis for the updated project and confirming the FGMP.

 

Based on the completed design and competitively bid trade packages, the updated project cost now reflects actual market pricing rather than preliminary planning estimates developed at earlier design stages. The revised cost also incorporates continued construction-industry escalation and inflation, additional owner scope, including Gate 504 and temporary Perimeter Road work, and requirements related to approvals from the Authority Having Jurisdiction. Collectively, these factors provide a more accurate cost framework grounded in current market conditions.

The construction schedule has similarly matured as detailed sequencing, civil work phasing, roadway constraints, utility relocations, and operational interfaces were fully defined. The increase in the Terminal 5 construction schedule from 890 to 1,227 days is the result of the project evolving from an early, aggressively assumed planning duration into a fully developed and well-defined schedule that reflects completed 100 percent design, clarified scope, more complex civil and roadway requirements, operational constraints, added owner scope, and the actual contractor means and methods required to execute the work.

 

Together, these updates represent the transition from planning level assumptions to a complete, executable construction program supported by final design, validated scope, and real market data. BCAD staff recommends approval of the revised scope, schedule, and cost basis to support successful delivery of the T5 project.

 

The Second Amendment expressly confirms that the Second Addendum will remain in full force and effect notwithstanding the expiration of the Signatory Terminal Building Lease Agreement and modifies the County’s rights to require assignment of the Project Contracts. Approval of the proposed Second Amendment provides funding for increased costs and modifies the terms of the Second Addendum, for an increase in the amount of $398,954,000, for a revised total not-to-exceed amount of $802,394,000.

 

The Second Amendment has been reviewed and approved as to form by the Office of the County Attorney. At the time of submission of this action, the County had not received the Second Amendment executed by JetBlue. BCAD will submit the executed Second Amendment prior to the Board’s consideration of this action.

 

Source of Additional Information

Mark E. Gale, A.A.E., CEO/Director of Aviation, (954) 359-6199

 

Fiscal Impact

Fiscal Impact/Cost Summary

The proposed Second Amendment provides an increase in the amount of $398,954,000 for the T5 project.