Broward County Commission Regular Meeting
Director's Name: Mark Gale
Department: Aviation Division: Administration
Information
Requested Action
title
A. MOTION TO APPROVE Airline-Airport Lease and Use Agreement template between Broward County and Signatory Airlines, for a seven-year term commencing on October 1, 2026, and expiring on September 30, 2033; and authorize the Director of Aviation to approve and execute (i) the final Airline-Airport Lease and Use Agreements with no material modifications from the approved template, and (ii) any modifications or amendments to such Airline-Airport Lease and Use Agreements that do not impose any additional material financial or legal risk on the County, in each case subject to review and approval for legal sufficiency by the County Attorney’s Office.
B. MOTION TO APPROVE Signatory Terminal Building Lease Agreement template between Broward County and Signatory Airlines, for a seven-year term commencing on October 1, 2026, and expiring on September 30, 2033; and authorize the Director of Aviation to approve and execute (i) the final Signatory Terminal Building Lease Agreements with no material modifications from the approved template, and (ii) any modifications or amendments to such Signatory Terminal Building Lease Agreements that do not impose any additional material financial or legal risk on the County, in each case subject to review and approval for legal sufficiency by the County Attorney’s Office.
C. MOTION TO AUTHORIZE Aviation Department to administratively bill Air Canada, Allegiant, American, Delta, Frontier, JetBlue, Southwest and United, effective October 1, 2026, in accordance with the Signatory fee structure in Chapter 39 of the Broward County Administrative Code, provided, however, that if any of these airlines fails to submit an executed Airline-Airport Lease and Use Agreement or Signatory Terminal Building Lease Agreement on or before December 31, 2026, the Aviation Department shall bill and collect from such airline the balance of the fees and charges due retroactively to October 1, 2026, in accordance with the non-Signatory fee structure in Chapter 39 of the Broward County Administrative Code.
body
Why Action is Necessary
Motions A-C: Chapter 2, Section 2-40(a) of the Broward County Code of Ordinances requires that the Broward County Board of Commissioners (“Board”) authorize any commercial activities or occupation of any portion of the airport.
What Action Accomplishes
Motion A: Approves the Airline-Airport Lease and Use Agreement template and authorizes the Director of Aviation, subject to review and approval by the Office of the County Attorney as to legal sufficiency, to approve and execute the final Airline-Airport Lease and Use Agreements (“Signatory Agreements ”) with no material modifications from the approved template, and any modifications or amendments to such Signatory Agreements that do not impose any additional material financial or legal risk on Broward County (“County”).
Motion B. Approves the Signatory Terminal Building Lease Agreement template and authorizes the Director of Aviation, subject to review and approval by the Office of the County Attorney as to legal sufficiency, to approve and execute the final Signatory Terminal Building Lease Agreements (“Signatory TBLA Agreements”) with no material modifications from the approved template, and any modifications or amendments to such Signatory TBLA Agreements that do not impose any additional material financial or legal risk on the County.
Motion C. Allows Signatory Airlines to be billed according to the Signatory Airline rates established in the Broward County Administrative Code pending receipt of their executed Signatory Agreements and Signatory TBLA Agreements prior to December 31, 2026.
Goal Related Icon(s)
N/A County Commission
N/A Go Green
N/A MAP Broward
Previous Action Taken
None.
Summary Explanation/Background
THE AVIATION DEPARTMENT RECOMMENDS APPROVAL OF THE ABOVE MOTIONS.
Broward County Aviation Department (“BCAD”) staff negotiated new Signatory Agreements and new Signatory TBLA Agreements with the Airport’s existing eight (8) Signatory Airlines: Air Canada, Allegiant, American, Delta, Frontier, JetBlue, Southwest and United (“Signatory Airlines”).
Motion A:
The Signatory Agreement defines the business relationship between the Signatory Airlines and Broward County’s Fort Lauderdale-Hollywood International Airport (“FLL”), and is subordinate to the Bond Resolution under which FLL’s debt has been issued. In exchange for entering into a lease with the County, requiring a threshold level of financial commitment to FLL, the Signatory Airlines are granted approval authority over certain capital outlays. The Signatory Agreement also provides access to the airfield in exchange for payment of landing fees. The term for the Signatory Agreements commences on October 1, 2026 and ends on September 30, 2033.
Motion B:
Pursuant to the Signatory Agreements, the Signatory TBLA Agreements in Motion B are required to be executed contemporaneously.
The Signatory TBLA Agreement specifies the terms and conditions under which terminal, gate, and other support facilities are leased to the Signatory Airlines. By entering into this agreement, the Signatory Airline is committing to lease a minimum amount of space for the full term, regardless if the Signatory Airline has service to FLL or not.
The terms and conditions of the Signatory TBLA Agreements are identical for all Signatory Airlines; however, the amount of leased space varies according to the operational needs of each Signatory Airline. The term for the Signatory TBLA Agreements commences on October 1, 2026 and ends on September 30, 2033.
Some of the key elements and provisions for the new Signatory Agreements and Signatory TBLA Agreements are as follows:
• Seven-year agreement term.
• Established formula to annually reset preferential gate allocations and associated space based on utilization and market share.
• BCAD retains a minimum of 10 common-use gates, adjustable as needed for facility optimization.
• Gates and check-in counters are non-exclusive. BCAD can assign other airlines to preferential areas when not in use.
• Greater utilization of dynamic versus proprietary signage (branding) for increased flexibility and utilization of these areas in the future.
Motions A and B request Board approval to delegate execution authority to the Director of Aviation for both the Signatory Agreement and Signatory TBLA Agreement, subject to review and approval by the Office of the County Attorney as to legal sufficiency. The agreement templates will be distributed to the Board as additional material.
Motion C:
All eight (8) Signatory Airlines have agreed to the execution of their respective Signatory Agreement and Signatory TBLA Agreement. As these require an internal corporate approval process that precludes their submission to BCAD by September 30, 2026, this action requests approval for BCAD to bill all Signatory Airlines according to their established rates and charges in the Broward County Administrative Code, provided that their Agreements are executed and submitted to BCAD by December 31, 2026. Failure to submit the executed Agreements by December 31, 2026, will result in these Airlines reverting to non-Signatory status and being charged the fee structure for non-Signatory Airlines retroactive to October 1, 2026.
Source of Additional Information
Mark E. Gale, A.A.E., CEO/Director of Aviation, (954) 359-6199
Fiscal Impact
Fiscal Impact/Cost Summary
Motions A-C: The estimated combined total Fiscal Year 2027 fees from the Signatory Agreements and Signatory TBLA Agreements is $ 176 million.
For the remainder of the term of the Agreements, the annual rent and fees will adjust annually according to the rates established in Chapter 39 of the Broward County Administrative Code.