Title
Transportation Security Administration High-Speed Operational Connectivity Fiber Lease (Ordinance S-43497)
Description
Request to authorize the City Manager, or his designee, to enter into a fiber lease (Lease) with the Transportation Security Administration (TSA) to accommodate its High-Speed Operational Connectivity (HISOC) Network.
Report
Summary
The HISOC Network enhances communication between TSA personnel in various locations, enhances security, and enables the TSA to provide more effective and efficient passenger screening services. The TSA has leased fiber at Phoenix Sky Harbor International Airport since March 19, 2007 for its HISOC Network under a short-term agreement. That agreement expires May 31, 2017. The TSA currently leases 36 strands of single-mode fiber from the City of Phoenix at the current rate of $994.66 per strand annually. Total rent under the current agreement for 36 strands of fiber is $35,808 annually.
Contract Term
The term of the Lease will be one year with four one-year renewal options, which may be exercised at the sole discretion of the Aviation Director.
Financial Impact
Under the new agreement, the adjusted annual rent for 36 strands will be $36,882 for the first year of the Lease. The rent will be increased by 3 percent annually. The total financial impact over the five-year term will be $195,813, if all renewal options are exercised.
Location
Phoenix Sky Harbor International Airport is located at 3400 E. Sky Harbor Blvd.
Department
Responsible Department
This item is submitted by Deputy City Manager Paul Blue and the Aviation Department.