AVIATION AUTHORITY REGULAR BOARD MEETING and PUBLIC HEARING. Thursday, October 2, :00 A.M. Board Room Level 3 at Tampa International Airport

Transcription

1 AVIATION AUTHORITY REGULAR BOARD MEETING and PUBLIC HEARING Thursday, 9:00 A.M. Board Room Level 3 at Tampa International Airport AGENDA Any person who desires to appeal any decisions made at this meeting will need a record of the proceedings and for that purpose may need to ensure that a verbatim record of the proceeding is made which includes the testimony and evidence upon which the appeal is based. Any person requiring reasonable accommodations to attend any public meeting because of a disability or physical impairment must submit a written request to Joseph W. Lopano, Chief Executive Officer, Hillsborough County Aviation Authority, Post Office Box 22287, Tampa, FL or via facsimile at (813) Such request must be received at least 48 hours before the meeting. If you have any questions, please call (813)

2 AGENDA Page 2 TABLE OF CONTENTS A. CALL TO ORDER (PUBLIC HEARING)... 4 B. PLEDGE OF ALLEGIANCE... 4 C. PUBLIC HEARING Authority Plan of Financing and Refunding/Issuance of Airport Revenue Bonds and Other Debt Instruments, Tampa International Airport... 5 D. CALL TO ORDER (REGULAR BOARD MEETING)... 6 E. APPROVAL OF THE AGENDA... 6 F. PUBLIC COMMENTS... 6 G. APPROVAL OF THE MINUTES Regular Authority Meeting September 4, H. MANAGEMENT REPORT... 6 I. APPROVAL OF THE CONSENT AGENDA Consent to Assignment and Assumption Agreement for Agreement for Off-Airport Parking Concession, Memorial Airport Parking, LLC and Great Lakes Investments, LLC, Tampa International Airport, Resolution No Operating Agreement for Ground Handlers (Limited Service), QuickFlight Services, Inc., Tampa International Airport, Resolution No Renewal of Worker s Compensation and Employer s Liability Insurance Broker Agreement, Arthur J. Gallagher Risk Management Services, Inc., Tampa Executive, Peter O. Knight, Plant City and Tampa International Airports, Resolution No Amendment No. 1 to Reclaimed Water Agreement between the Hillsborough County Aviation Authority and the City of Tampa, Tampa International Airport, Resolution No Purchase Order, Miscellaneous IT Equipment utilizing State of Florida Alternate Contract Source No. 250-WSCA-10-ACS, Tampa International and Tampa Executive Airports J. POLICIES OR RULES FOR CONSIDERATION OR ACTION K. COMMITTEE REPORTS L. UNFINISHED BUSINESS Purchase Order(s), Owner-Controlled Insurance Program (OCIP), Willis of Florida, Inc., Tampa International Airport, Resolution No Purchase Order(s), Builder s Risk and Owner s Protective Professional Indemnity Insurance, Willis of Florida, Inc., Tampa International Airport, Resolution No Amendment No. 1, Contract for Broker Services for Owner-Controlled Insurance Wrap-Up Program, Willis of Florida, Inc., Tampa International Airport, Resolution No Part 2 Design-Build Contract, Taxiway J Bridge Reconstruction, HCAA Project No , Cone and Graham, Inc., Tampa International Airport, Resolution No M. NEW BUSINESS Purchase Order, Tampa Electric Company (TECO), Master Plan Phase 1, Tampa International Airport... 26

3 AGENDA Page 3 TABLE OF CONTENTS (Continued) NEW BUSINESS (Continued) 2. Purchase Order, Verizon, Master Plan Phase 1, Tampa International Airport, Resolution No Services and Software Contract, Operations Interactive Employee Training System Replacement, HCAA Project No , Safety and Security Instruction, Inc., Tampa International Airport, Resolution No Use and Lease Agreement, Sky Chefs, Inc., Tampa International Airport, Resolution No Reimbursement and Waiver of Conflict Resolution, Tampa International Airport, Resolution No Space Rental Agreement (Solar Generating Stations), Tampa Electric Company, Tampa International Airport, Resolution No N. PRESENTATIONS - None O. STAFF REPORTS P. ADJOURNMENT... 37

4 AGENDA Page 4 A. CALL TO ORDER (PUBLIC HEARING) B. PLEDGE OF ALLEGIANCE C. PUBLIC HEARING

5 AGENDA Page 5 C. PUBLIC HEARING 1. Authority Plan of Financing and Refunding/Issuance of Airport Revenue Bonds and Other Debt Instruments, Tampa International Airport I. Background: Under Federal law, and more specifically Section 147(f) of the Internal Revenue Code (Code), a public hearing must be held before the issuance of certain types of tax-exempt debt for the purpose of receiving comments and discussion concerning the proposed debt and the related plan of financing. As required, a public notice regarding the hearing was published in the Tampa Tribune on September 16, II. Proposal: The Authority proposes to issue the 2015 Tampa International Airport Revenue Senior Lien Bonds, the 2015 Tampa International Airport Revenue Subordinated Lien PFC-Backed Bonds, the 2015 Tampa International Airport CFC-Backed Bonds, and the 2015 Tampa International Airport Revenue Refunding Senior Lien Bonds (Tax-Exempt Bonds) in an amount not to exceed $685,000,000. The proceeds of the proposed Tax-Exempt Bonds and other debt instruments will be used to fund or refinance all or portions of certain projects, including the Automated People Mover, Guideway, Infrastructure and Stations project, the Reconstruct Taxiway J and Bridge project, the South Development Support Area Roadway Improvements project, the Main Terminal Transfer Level Expansion & Concessions Redevelopment project, the Concessions Consolidated Warehouse project, the Consolidated Rental Car Facility project and the East Airfield Pavement Rehabilitation project. The Tax-Exempt Bonds or other debt instruments may also be used to finance or refinance other projects within Tampa International Airport as defined in the public notice. The hearing is pursuant to required published notice.

6 AGENDA Page 6 D. CALL TO ORDER (REGULAR BOARD MEETING) E. APPROVAL OF THE AGENDA F. PUBLIC COMMENTS G. APPROVAL OF THE MINUTES Regular Authority Meeting September 4, 2014 H. MANAGEMENT REPORT I. APPROVAL OF THE CONSENT AGENDA

7 AGENDA Page 7 I. CONSENT ITEM 1. Consent to Assignment and Assumption Agreement for Agreement for Off- Airport Parking Concession, Memorial Airport Parking, LLC and Great Lakes Investments, LLC, Tampa International Airport, Resolution No I. Background: Memorial Airport Parking, LLC (Memorial) currently has an agreement for Off- Airport Parking Concession (Agreement) with the Authority, which was approved by the Board on November 7, 2013, and became effective January 1, In August 2014, Memorial advised the Authority it had agreed to sell the company and its assets to Great Lakes Investments, LLC (Great Lakes), a limited liability company based in Birmingham, Alabama. The new company will operate under the name Great Lakes Investments, LLC d/b/a Memorial Airport Parking. II. Proposal: Memorial and Great Lakes have requested the Authority s consent to an Assignment and Assumption of the Agreement from Memorial to Great Lakes. III. Funding: N/A IV. Recommendation: Management recommends adoption of Resolution No V. Resolution: Resolution No approves and authorizes execution of the Consent to Assignment and Assumption Agreement for the Agreement for Off-Airport Parking Concession between Memorial Airport Parking, LLC and Great Lakes Investments, LLC; and authorizes the Chief Executive Officer or his designee to execute all other ancillary documents.

8 AGENDA Page 8 I. CONSENT ITEM 2. Operating Agreement for Ground Handlers (Limited Service), QuickFlight Services, Inc., Tampa International Airport, Resolution No I. Background: Ground handling operators providing service at Tampa International Airport must have, at a minimum, a ground handling operating agreement prior to commencing operations. All current ground handling operating agreements expire September 30, II. Proposal: QuickFlight Services, Inc. (QuickFlight) desires to provide non-exclusive limited ground handling services to air carriers at Tampa International Airport for a term commencing through September 30, The limited services include below wing ramp service and minor aircraft maintenance. Initially, QuickFlight will be providing its services to Silver Airways. For the privilege of providing ground handling services, QuickFlight will pay the Authority 5 percent of gross receipts. Gross receipts include QuickFlight s gross revenues from all sales made and services performed for cash, credit or otherwise at the Airport, excluding gross receipts from signatory air carriers at the Airport. Either party may terminate the Agreement upon 30 days' written notice. A security payment of $5,000 is required for the Operating Agreement. III. Funding: N/A IV. Recommendation: Management recommends adoption of Resolution No V. Resolution: Resolution No approves and authorizes execution of an Operating Agreement for Ground Handlers (Limited Service) with QuickFlight Services, Inc. at Tampa International Airport; and authorizes the Chief Executive Officer or his designee to execute all other ancillary documents.

9 AGENDA Page 9 I. CONSENT ITEM 3. Renewal of Worker s Compensation and Employer s Liability Insurance Broker Agreement, Arthur J. Gallagher Risk Management Services, Inc., Tampa Executive, Peter O. Knight, Plant City and Tampa International Airports, Resolution No I. Background: On September 1, 2011, the Board approved an Agreement for Arthur J. Gallagher Risk Management Services, Inc. (Gallagher) to provide broker services for Workers Compensation and Employer s Liability insurance for a three-year period effective October 1, 2011 through September 30, 2014, for a fixed annual fee of $25,000. The Agreement includes two, one-year options to renew at the same terms and conditions. II. Proposal: Staff recommends the Authority exercise both renewal options effective October 1, 2014 through September 30, III. Funding: The annual fee for the first renewal period is included in the FY 2015 O&M Budget. IV. Recommendation: Management recommends adoption of Resolution No V. Resolution: Resolution No authorizes the exercise of the two, one-year renewal options with Arthur J. Gallagher Risk Management Services, Inc. for Workers Compensation and Employer s Liability insurance broker services; and authorizes the Chief Executive Officer or his designee to execute all other ancillary documents.

10 AGENDA Page 10 I. CONSENT ITEM 4. Amendment No. 1 to Reclaimed Water Agreement between the Hillsborough County Aviation Authority and the City of Tampa, Tampa International Airport, Resolution No I. Background: In September 29, 2008, the Authority entered into an agreement with the City of Tampa for reclaimed water service at Tampa International Airport. The cost of the project to bring reclaimed water to the Airport was paid by the Authority. The City established a credit in the project amount of $839, to be used by the Authority for reclaimed water billed on a monthly basis at an initial cost of $1.20 per hundred cubic feet (CCF). The Authority has used reclaimed water for landscape irrigation and in a trial application as a replacement for potable water in the Airside F HVAC cooling tower. The Authority recently completed a project to extend reclaimed water service to the cooling towers of the remaining airside terminals as well as the main terminal. In order to encourage increased industrial and commercial use of reclaimed water, the City has found that it is necessary to improve the business case associated with using reclaimed water for cooling purposes by partially offsetting the additional treatment costs associated for cooling tower water use. Both parties have endeavored to increase the use of reclaimed water in a manner reflecting the sustainability of the reclaimed water system and have agreed on a lower rate for reclaimed water to be used for cooling purposes. II. Proposal: The Authority and the City now wish to amend the Agreement to reflect the revised rate of $0.50 per CCF for the reclaimed water used for cooling tower purposes; the elimination of a minimum quantity to be used; to include the use of the reclaimed water in cooling towers; update to whom notices shall be directed and other minor scrivener s revisions. III. Funding: Reclaimed water will continue to be funded by the project credit established by the City. The Authority will fund future reclaimed water costs as part of the annual O&M budgets after the credit is exhausted.

11 AGENDA Page 11 I4 (Continued) IV. Recommendation: Management recommends adoption of Resolution No V. Resolution: Resolution No authorizes the execution of Amendment No. 1 to Reclaimed Water Agreement between the Hillsborough County Aviation Authority and the City of Tampa, Tampa International Airport; and authorizes the Chief Executive Officer or his designee to execute all other ancillary documents.

12 AGENDA Page 12 I. CONSENT ITEM 5. Purchase Order, Miscellaneous IT Equipment utilizing State of Florida Alternate Contract Source No. 250-WSCA-10-ACS, Tampa International and Tampa Executive Airports I. Background: The Authority purchases miscellaneous IT equipment such as desktops, workstations, laptops, monitors, computers, servers, printers, pre-loaded software, maintenance parts and associated warranties to replace outdated, damaged or inoperable equipment and to provide additional equipment as identified by Authority projects. On October 4, 2012, the Board authorized the issuance of purchase order(s) utilizing the State of Florida Alternate Contract Source No. 250-WSCA-10-ACS to Dell Marketing L.P., Hewlett-Packard Company, and Apple, Inc. in a total amount not to exceed $2,500,000 for the term October 4, 2012 through October 14, On July 11, 2014, the State of Florida renewed Alternate Contract Source No. 250-WSCA-10-ACS for a three month period through December 31, Authority Policy P410 authorizes the utilization of federal, state, local or multistate cooperative purchasing contracts to purchase goods and services without obtaining three quotes or advertisement. II. Proposal: Authorize the continued use of the State of Florida Alternate Contract Source No. 250-WSCA-10-ACS for the issuance of purchase orders and credit card purchases to Dell Marketing L.P., Hewlett-Packard Company, and Apple, Inc., for Miscellaneous IT Equipment at Tampa International and Tampa Executive Airports through December 31, No additional funding is required. III. Funding: N/A

13 AGENDA Page 13 I5 (Continued) IV. Recommendation: The Chief Executive Officer recommends the Board authorize the issuance of the purchase order(s) to Dell Marketing L.P., Hewlett-Packard Company, and Apple, Inc., and authorize the Chief Executive Officer or his designee to execute all other ancillary documents. The Board may act on this by motion; no resolution is required.

14 AGENDA Page 14 J. POLICIES OR RULES FOR CONSIDERATION OR ACTION

15 AGENDA Page 15 K. COMMITTEE REPORTS

16 AGENDA Page 16 L. UNFINISHED BUSINESS 1. Purchase Order(s), Owner-Controlled Insurance Program (OCIP), Willis of Florida, Inc., Tampa International Airport, Resolution No I. Background: An Owner-Controlled Insurance Program (OCIP) is a consolidated insurance program purchased by a project owner to provide coverage for most contractors and subcontractors working on a project or at a project site. An OCIP differs from traditional construction project insurance in which owners, contractors and subcontractors purchase insurance independently to protect against claims related to the project because it consolidates the insurance policies. This may result in potential cost savings due to economies of scale; more efficient claims handling and less litigation since claims are handled by fewer insurance carriers; enhanced safety programs creating a safer construction environment and reduced initial financial outlay by contractors and subcontractors which enhances the opportunity for small and minority businesses to participate on large construction projects. The Authority s Capital Improvement Program Executive Advisor, Paslay Management Group, recommended an OCIP to the Authority in order to better manage risks associated with the very large construction projects in Phase I of the Master Plan. On January 27, 2014, the Board approved an Agreement for Broker Services for an Owner-Controlled Insurance Program with Willis of Florida, Inc. (Willis). On April 3, 2014, Willis presented to the Board a feasibility study comparing OCIP costs to traditional insurance costs. At that time, the feasibility study projected cost savings of $1,130,546 for general liability and workers compensation/employer s liability and excess liability coverage for the two largest projects in Phase I of the Master Plan: the Consolidated Rental Car Facility and Automated People Mover (ConRAC/APM) and the Main Terminal and Airport Concessions redevelopment (MTAC) projects. Subsequently, staff analyzed two additional interrelated Master Plan projects (Taxiway J Bridge Reconstruction and South Terminal Roadway Improvement) for inclusion in the OCIP. A revised feasibility study projects savings of $1,356,200 for all four projects. Another interrelated project includes the TIA Checked Baggage System Upgrade.

17 AGENDA Page 17 L1 (Continued) For interrelated capital infrastructure improvement projects interconnecting transportation of persons or cargo via an airport with a combined estimated costs exceeding $125 million, Section , Florida Statutes allows public agencies to purchase to an OCIP including general liability, workers compensation, employer s liability and pollution liability coverage if the OCIP is determined necessary and in the best interest of the public agency and certain enumerated conditions are met. II. Proposal: Willis approached the insurance markets and obtained quotations for OCIP coverage consisting of general and excess liability, workers compensation, employer s liability and environmental liability insurance. The following summarizes the quotes for each line of coverage and the proposed course of action: General Liability and Workers Compensation/Employer s Liability: Seven insurance carriers provided quotations for general liability and workers compensation/employer s liability coverage: ACE, AIG, Hartford, Liberty Mutual, Old Republic, XL and Zurich. The quotations from XL provide the best pricing for the recommended coverage, lowest estimated claims and claim-related expenses, and most favorable escrow/collateral requirements of the quotes received. The general liability quote of $1,120,912 includes coverage of $2 million per occurrence and $4 million aggregate per year. The workers compensation and employer s liability quote of $2,288,402 includes statutory workers compensation coverage and an employer s liability limit of $1 million. Both policies are for a four-year term and are subject to a $250,000 per occurrence deductible. General liability and workers compensation/employer s liability claims and claims-related expenses are estimated by Willis to be $3,872,899. Excess Liability: Excess liability insurance provides follow form coverage in excess of the general liability policy. Nine insurance carriers provided quotations for excess liability coverage: AIG, AWAC, Berkshire Hathaway, CV Starr, Endurance, Great American, Ironshore, Westchester and XL. The quote of $2,129,380 provides

18 AGENDA Page 18 L1 (Continued) layered coverage of $100 million per occurrence and aggregate. Insurance carriers that will share responsibility for the excess layers include AWAC, Westchester, Endurance and Berkshire Hathaway. The excess liability policy is for a four-year term and is not subject to a deductible. Environmental: Environmental coverage is proposed to include Contractors Pollution Liability for incidents arising from the work performed by contractors at the project site and Pollution Legal Liability coverage for claims involving unknown contaminants encountered during construction. Three insurance carriers provided quotations for both lines of coverage: ACE, AIG and Ironshore. The lowest combined quote was received from Ironshore in the amount of $380,578 and includes $25 million of coverage for each line of coverage. The policies are for a four-year term and are subject to a $100,000 deductible for each line of coverage. The environmental policies also will cover the Automated People Mover Design Build Operate Maintain (APM-DBOM) project. The Authority s insurance consultant, Siver Insurance Consultants, and Willis have concurred with staff s recommendation that the implementation of an OCIP is necessary to effectively manage the risk associated with the ConRAC/APM, MTAC, Taxiway J Bridge Reconstruction and South Terminal Roadway Improvement projects and to provide Environmental insurance coverage for Automated People Mover Design Build Operated Maintain (APM-DBOM) project, which is in the best interest of the Authority. Willis also has determined the proposed policies and program comply with Florida law including Section , Florida Statutes. Staff also recommends the Board authorize the Chief Executive Officer to include additional interrelated capital infrastructure improvement projects (including but not limited to the APM-DBOM and TIA Checked Baggage System Upgrade) into the OCIP if determined in his discretion to be necessary and in the best interest of the Authority and to otherwise meet applicable legal requirements for inclusion. The above premiums are estimated amounts and the final premium paid will be based on actual payroll and construction values of all incorporated projects. III. Funding: This item is included in the FY 2014 Capital Budget Amendment.

19 AGENDA Page 19 L1 (Continued) IV. Recommendation: Management recommends adoption of Resolution No V. Resolution: Resolution No provides staff with the authority to procure the proposed Owner-Controlled Insurance Program; finds that the purchase of an Owner-Controlled Insurance Program in connection with Consolidated Rental Car Facility/Automated People Mover, Main Terminal and Airport Concessions Redevelopment, Taxiway J Bridge Reconstruction and the South Terminal Roadway Improvement Design Build Operate Maintain (with respect to Environmental insurance) projects is necessary and in the best interest of the Authority; authorizes the issuance of the purchase order(s) to Willis for the purchase of General Liability, Workers Compensation and Employer s Liability, Excess Liability and Environmental insurance in an amount not to exceed $7,103,126; authorizes the Chief Executive Officer to include additional interrelated capital infrastructure improvement projects in the OCIP which in his discretion he determines are necessary and in the best interest of the Authority and meet applicable legal requirements; authorizes the payment of additional premiums based on actual payroll and construction values; authorizes the payment of applicable deductibles, claims and claimsrelated expenses in an amount not to exceed $4,800,000; provides certain findings with respect to the foregoing; provides certain other details with respect thereto; and authorizes the Chief Executive Officer or his designee to execute all other ancillary documents.

20 AGENDA Page 20 L. UNFINISHED BUSINESS 2. Purchase Order(s), Builder s Risk and Owner s Protective Professional Indemnity Insurance, Willis of Florida, Inc., Tampa International Airport, Resolution No I. Background: In addition to an Owner-Controlled Insurance Program (OCIP), staff recommends the purchase of Builder s Risk and Owner s Protective Professional Indemnity (OPPI) insurance for the projects covered by the OCIP. Builder s risk provides coverage for buildings, structures and systems while under construction. OPPI insurance provides coverage for the Authority in excess of the professional liability insurance provided by the design-build firms for professional liability errors. II. Proposal: The Authority s OCIP broker, Willis of Florida, Inc. (Willis), approached the insurance markets and obtained quotations for builder s risk and OPPI coverage. The following summarizes the quotes for each line of coverage and the proposed course of action: Builder s Risk: Thirteen carriers provided quotations for builder s risk coverage: ACE, Beazley, Travelers, Zurich, XL, Swiss Re, HDI-Gerling, Lexington, Ironshore, Generali, Berkshire Hathaway, Allianz and Munich Re. The quote of $2,400,000 provides shared coverage up to $592,284,657 for property in the course of construction, $50 million named windstorm and flood coverage and varying sub-limits for a number of exposures for a 37-month term. Insurance carriers that will share responsibility for the builder s risk layers include ACE, Allianz, Beazley, Berkshire Hathaway, Generali and Travelers. Named windstorm and flood coverage is subject to a 3% deductible with a $100,000 minimum deductible. All other perils are subject to a deductible of $50,000.

21 AGENDA Page 21 L2 (Continued) Owner s Protective Professional Indemnity: Three carriers provided quotations for OPPI coverage: Arch, Catlin and Zurich. The quote received from Catlin in the amount of $1,200,000 provides the recommended coverage of $20 million with favorable terms for a four-year term. The OPPI is not subject to a self-insured retention in the event the design-build firms provide professional liability coverage. The OPPI policy also will cover the Automated People Mover Design Build Operate Maintain (APM-DBOM) project. Staff recommends the Board authorize the Chief Executive Officer to include additional interrelated capital infrastructure improvement projects (including but not limited to the TIA Checked Baggage System Upgrade) into the policies. The above premiums are estimated amounts and the final premium paid will be based on actual construction values of all incorporated projects. III. Funding: This item is included in the FY 2014 Capital Budget Amendment. IV. Recommendation: Management recommends adoption of Resolution No V. Resolution: Resolution No authorizes the issuance of the purchase order(s) to Willis for the purchase of Builder s Risk and Owner s Protective Professional Indemnity insurance in an amount not to exceed $4,320,000; authorizes the Chief Executive Officer to include additional interrelated capital infrastructure improvement projects (including but not limited to the TIA Checked Baggage System Upgrade) into the policies; authorizes the payment of additional premiums based on actual construction and related costs; authorizes the payment of applicable deductibles, claims and claims-related expenses in an amount not to exceed $600,000; and authorizes the Chief Executive Officer or his designee to execute all other ancillary documents.

22 AGENDA Page 22 L. UNFINISHED BUSINESS 3. Amendment No. 1, Contract for Broker Services for Owner-Controlled Insurance Wrap-Up Program, Willis of Florida, Inc., Tampa International Airport, Resolution No I. Background: On January 27, 2014, the Authority entered into a Contract for Broker Services for Owner-Controlled Insurance Wrap-Up Program (Contract) with Willis of Florida, Inc. (Willis) to provide broker services for an owner-controlled insurance program (OCIP) and other construction insurance for the Consolidated Rental Car Facility/Automated People Mover (ConRAC/APM) and Main Terminal and Airport Concession Redevelopment Program (MTAC) projects at Tampa International Airport. The Contract terminates on December 31, 2018, with two, one-year renewal options. The current total annual fixed fee under the Contract for broker services related to workers compensation/employer s liability, general liability, excess liability, Owner s Protective Errors and Omissions, pollution liability and builder s risk insurance, as well as a surety assistance program is $341,720. II. Proposal: This Amendment No. 1 clarifies that the Taxiway J Bridge & Service Road Relocation; South Terminal Support Area - Roadway Improvements; and Automated People Mover - Design Build Operate Maintain (APM-DBOM) projects are included in the $341,720 annual fixed fee and updates Attachment B which contains the fee schedule. This Amendment also provides the option to include additional services related to the Contract, including additional projects identified by the Authority and additional construction safety measures, at the discretion of the Chief Executive Officer in a maximum amount not to exceed $100,000 annually. This Amendment No. 1 also changes the Woman and Minority Owned Business Enterprise reporting requirement from monthly to quarterly commensurate Willis s invoicing schedule and updates Willis s designated account executive and notice address and the Authority s contract representative. III. Funding: N/A

23 AGENDA Page 23 L3 (Continued) _ IV. Recommendation: Management recommends adoption of Resolution No V. Resolution: Resolution No approves and authorizes the execution of Amendment No. 1 to Contract for Broker Services for Owner-Controlled Insurance Wrap-Up Program at Tampa International Airport with Willis of Florida, Inc.; and authorizes the Chief Executive Officer or his designee to execute all other ancillary documents.

24 AGENDA Page 24 L. UNFINISHED BUSINESS 4. Part 2 Design-Build Contract, Taxiway J Bridge Reconstruction, HCAA Project No , Cone and Graham, Inc., Tampa International Airport, Resolution No I. Background: As part of the Master Plan Phase 1 Program, an automated people mover (APM) will connect the new Consolidated Rental Car Facility with the Main Terminal. It will be necessary to reconstruct the Taxiway J Bridge to include an opening for the APM to pass underneath the Bridge and to expand roadway capacity on the George J. Bean Parkway (Parkway). This project will provide for the design and construction of the Taxiway J Bridge. To date, the Board has approved the following: Contract Part 1 Agreement Scope All required planning, design up to 90%, and permitting for Taxiway J bridge replacement, new guard lights and modifications to Runway 10 threshold Board Approved Date Total Amount March 6, 2014 $2,113, II. Proposal: This Part 2 Contract provides for the completion of the design, construction of early enabling work and the Design-Builder s General Conditions for the entire project. This Contract will consist of all work necessary to enable construction of the project to begin per the current project schedule including construction of new AOA fence to secure the airport during construction, relocation of existing utilities, lengthening of the existing box culvert under the Parkway, a temporary ARFF facility, maintenance of traffic and clean-up work to be done by the Design-Builder. Also included in this Part 2 Contract are the Design-Builder s General Conditions, payment and performance bonds, surveying, quality control

25 AGENDA Page 25 L4 (Continued) testing, final design, construction administration services including inspection from the design professional for the entire project. The Guaranteed Maximum Price (GMP) for this Part 2 Contract will be $5,796, bringing the total combined project agreement amount to date to $7,909, This Contract is scheduled to be supplemented by a supplemental contract at the February 2015 Board meeting which will be the final GMP for the project. The Master Plan Phase 1 budget, as identified in the approved business plan, is $943,554,200. The amount currently approved by the Board as part of the FY14 CIP is $930,940,700. The remaining $12,613,500 will be included in the FY16 budget. The Part 2 Design-Build Contract incorporated a DBE participation of at least 20.2% for design and 9.4% for construction. III. Funding: This item is included in the FY 2014 Capital Budget. IV. Recommendation: Management recommends adoption of Resolution No V. Resolution: Resolution No authorizes execution of the Part 2 Design-Build Contract for Taxiway J Bridge Reconstruction with Cone and Graham, Inc.; and authorizes the Chief Executive Officer or his designee to execute all other ancillary documents.

26 AGENDA Page 26 M. NEW BUSINESS 1. Purchase Order, Tampa Electric Company (TECO), Master Plan Phase 1, Tampa International Airport _ I. Background: As part of the Master Plan Phase 1 Program, it will be necessary to relocate existing TECO conduits and cabling located adjacent to Bessie Coleman Service Road and Taxiway J. TECO has existing primary electrical service feeds that will be impacted by the demolition and reconstruction of the Taxiway J Bridge, the proposed Consolidated Rental Car Facility and Automated People Mover, and the Bessie Coleman Service Road relocation. To mitigate this conflict, the service feeds are required to be relocated outside of the limits of work. II. Proposal: Authorize a purchase order for an amount not to exceed $875,360 for the relocation of TECO conduits and cabling. III. Funding: This item is included in the FY 2014 Capital Budget. IV. Recommendation: The Chief Executive Officer recommends the Board authorize the issuance of the purchase order to Tampa Electric Company, and authorize the Chief Executive Officer or his designee to execute all other ancillary documents. The Board may act on this by motion; no resolution is required.

27 AGENDA Page 27 M. NEW BUSINESS 2. Purchase Order, Verizon, Master Plan Phase 1, Tampa International Airport, Resolution No I. Background: As part of the Master Plan Phase 1 Program, it will be necessary to relocate existing Verizon conduits and cabling located adjacent to Bessie Coleman Service Road and Taxiway J. Verizon has existing primary service feeds that will be impacted by the demolition and reconstruction of the Taxiway J Bridge, the proposed Consolidated Rental Car Facility and Automated People Mover, and the Bessie Coleman Service Road relocation. To mitigate this conflict, the service feeds are required to be relocated outside of the limits of work. II. Proposal: Authorize a purchase order for an amount not to exceed $1,095, for the permanent relocation of existing Verizon conduits and cabling, and execution of Letter of Intent for Advance Payment of such amount. III. Funding: This item is included in the FY 2014 Capital Budget. IV. Recommendation: Management recommends adoption of Resolution No V. Resolution: Resolution No , approves and authorizes the issuance of the purchase order; execution of Letter of Intent for Advance Payment with Verizon; and authorizes the Chief Executive Officer or his designee to execute all other ancillary documents.

28 AGENDA Page 28 M. NEW BUSINESS 3. Services and Software Contract, Operations Interactive Employee Training System Replacement, HCAA Project No , Safety and Security Instruction, Inc., Tampa International Airport, Resolution No I. Background: The Authority is required to provide movement and non-movement area training in compliance with FAR Part 139 and 49 CFR Part 1542 to all individuals requiring access to secure areas at the Airport. The Authority s current training system is a stand-alone, interactive, network based training system. It was purchased in 2003 and is currently used to deliver and record the results of Secure Identification Display Area (SIDA) and Movement Area Training (MAT) training and testing. II. Proposal: On June 20, 2014, a request for proposals was issued for Operations Interactive Employee Training System Replacement at Tampa International Airport. Services include all computer software; customized digital video productions, graphics, and narrations for the training modules, including editing services; and on-going service, maintenance and support. The system is web-based and can be accessed from any computer with internet access. One response was received from Safety and Security Instruction, Inc. and evaluated by staff. No specific expectancy for W/MBE participation was established; however, Safety and Security Instruction Inc. is certified as a Disadvantaged Business Enterprise (DBE) in Florida under the Unified Certification Program (UCP) in accordance with 49 CFR Part 26. The initial term of the Contract is for the period of October 3, 2014 through October 2, 2019 with one, five-year renewal option at the sole discretion of the Chief Executive Officer. The total not-to-exceed amount for the five-year initial term of the Contract is $325,000. The total not-to-exceed amount for the fiveyear renewal term of the Contract is $150,000. The Authority will have the right to terminate the Contract immediately and without notice for cause, and may also terminate without cause at any time upon 30 days written notice.

29 AGENDA Page 29 M3 (Continued) III. Funding: This item is included in the FY2015 Capital Budget. IV. Recommendation: Management recommends adoption of Resolution No V. Resolution: Resolution No authorizes award and execution of the Services and Software Contract for Operations Interactive Employee Training System Replacement with Safety and Security Instruction, Inc.; and authorizes the Chief Executive Officer or his designee to execute all other ancillary documents.

30 AGENDA Page 30 M. NEW BUSINESS 4. Use and Lease Agreement, Sky Chefs, Inc., Tampa International Airport, Resolution No I. Background: Sky Chefs, Inc. (Sky Chefs) has operated an in-flight kitchen facility at Tampa International Airport under a lease with the Authority since May 5, The Authority s 2012 Master Plan calls, in part, for the redesign of the areas south of the Airport where the Sky Chefs leased premises are located. The planned redevelopment of this area of the Airport will require Sky Chefs to vacate its leased premises by March 31, Authority staff has been working with Sky Chefs to identify a suitable alternative location on-airport. Currently Sky Chefs pays land rent for the leased premises at the rate of $1.05 per square foot per year, equal to $173, per year, payable in equal monthly payments of $14,445.59, plus applicable taxes. In addition, Sky Chefs must pay a percentage privilege fee, if greater than the rent. II. Proposal: Sky Chefs and Authority staff have located a building that could serve as a suitable on-airport alternative location. However, reconstruction of the building to accommodate the in-flight kitchen functions of Sky Chefs will cost approximately $4.15M. Sky Chefs will invest $2.65M of the reconstruction costs and the Authority will contribute the remaining $1.5M, which amount was previously approved in the Authority s 2014 amended capital budget and allocated to the Consolidated Rental Car Facility (ConRAC) Project. The Authority s contribution will be reimbursed to Sky Chefs following Sky Chefs submission of certified reconstruction costs paid by Sky Chefs and acceptable to the Authority. This Use and Lease Agreement commences September 4, 2014 to allow Sky Chefs to begin reconstruction of the building while continuing to carry out operations from its current location. Due to Sky Chefs corporate headquarters location in Germany and the time required for review by Sky Chefs, the Use and Lease Agreement could not be executed and returned to the Authority prior to the Board meeting.

31 AGENDA Page 31 M4 (Continued) During the reconstruction period of September 4, 2014 through March 31, 2015, Sky Chefs will continue to pay its rental payments for the current leasehold, but will not pay rent at the new leasehold location. Sky Chefs will not begin paying rent for the new leasehold location until April 1, Rents for the new leasehold location will be as follows: Period Description Sq. Ft. Rate Annual Monthly 9/4/2014-3/31/2015 No rent is charged during the reconstruction period. 4/1/2015-8/31/2015 9/1/2015-8/31/2034 Fixed Improvements 23,698 $4.00 $94, $7, Land Rent 183,300 $0.65 $119, $9, Total Rent $213, $17, Fixed Improvements rent increases by 3% each year. Land Rent adjusts every five years to then current fair market rental value. In addition, Sky Chefs must pay a percentage privilege fee, if greater than the rent, in an amount equal to five percent of gross receipts from the sale of goods and services to airlines on-airport, plus two percent of gross receipts from the sale of goods and services to airlines off-airport. The Agreement terminates on August 31, 2024 with two five-year renewal options upon approval in writing by the Authority s Chief Executive Officer or his designee. During the first ten years of the term, neither party can terminate the Lease without cause. Thereafter, either party can terminate upon 180 days written notice to the other. III. Funding: $1.5M of the reconstruction costs is included in the 2014 amended capital budget and will be paid under the ConRAC project. IV. Recommendation: Management recommends adoption of Resolution No V. Resolution: Resolution No approves and authorizes the execution of the Use and Lease Agreement at Tampa International Airport with Sky Chefs, Inc.; and authorizes the Chief Executive Officer or his designee to execute all other ancillary documents.

32 AGENDA Page 32 M. NEW BUSINESS 5. Reimbursement and Waiver of Conflict Resolution, Tampa International Airport, Resolution No I. Background: The 2012 Master Plan was approved by the Board at the April 4, 2013 Board meeting. Six projects under Phase I of the 2012 Master Plan were included in the amended fiscal year 2014 budget approved by the Board at the January 27, 2014 Board meeting. The east airfield pavement rehabilitation project was included in the fiscal year 2015 budget approved by the Board at the September 4, 2014 Board meeting. Partial funding for these seven projects may include general airport revenue bonds, PFC and CFC backed bonds, Transportation Infrastructure Finance and Innovation Act (TIFIA) loans, advances under the revolving credit agreement or other types of short-term financing (Bonds). Treasury Regulation Section allows the Authority to pay costs of these projects before the Bonds are issued and to then reimburse those expenditures from the Bond proceeds after the Bonds are issued. Treasury regulations, however, requires the Aviation Authority to express its intent to make such a reimbursement from the Bond proceeds by adopting a resolution to that effect. II. Proposal: Design efforts are beginning for these projects and the Authority expects to make advances under the revolving credit agreement prior to pricing and selling airport revenue, PFC backed or CFC backed bonds in the first and third quarter of Therefore, a reimbursement resolution must be initiated to provide the necessary mechanism to reimburse expenditures made prior to the receipt of Bond proceeds for the following seven projects. Automated People Mover, Guideway, Infrastructure and Stations Reconstruct Taxiway J and Bridge South Development Support Area Roadway Improvements Main Terminal Transfer Level Expansion & Concessions Redevelopment Concessions Consolidated Warehouse Consolidated Rental Car Facility East Airfield Pavement Rehabilitation

33 AGENDA Page 33 M5 (Continued) The reimbursement resolution provides a description of the capital projects, an effective date of the resolution and establishes the maximum principal amount of tax-exempt debt expected to be issued to finance the cost of the projects prior to the issuance of revenue, PFC backed or CFC backed bonds at $685,000,000. Approval of this resolution does not represent approval by the Board to issue debt. That approval will be requested during the process of the debt issuance. The Authority anticipates issuing several series of bonds in 2015 with multiple issuance dates. Bank of America Merrill Lynch ( BOA ) will be the managing underwriter for the first series of bonds. Citigroup Global Markets Inc. ( Citigroup ) will be the managing underwriter for the second series of bonds. The Authority's bond counsel is Holland & Knight LLP. Holland & Knight LLP also represents both BOA and Citigroup with respect to various bank financings and other matters unrelated to the Authority and the Bond Transactions (the BOA Matters and the Citigroup Matters ). Holland & Knight has provided written disclosure of the potential conflict to the Authority, BOA and Citigroup and also confirmed their ability to provide competent and diligent representation to BOA on the BOA Matters, to Citigroup on the Citigroup Matters and to the Authority on the Bond Transactions. The Authority agrees to waive the potential conflict with Holland & Knight LLP s concurrent representation of the Authority in connection with the first series of Bond Transactions and BOA in the BOA Matters with the understanding that BOA also waives the potential conflict. The Authority also agrees to waive the potential conflict with Holland & Knight LLP s concurrent representation of the Authority in connection with the second series of Bond Transactions and Citigroup in the Citigroup Matters with the understanding that Citigroup also waives the potential conflict. In the event litigation develops between the Authority and BOA or the Authority and Citigroup regarding the Bond Transactions, each client will retain separate and independent counsel which will not include Holland & Knight LLP. III. Funding: N/A IV. Recommendation: Management recommends adoption of Resolution No

34 AGENDA Page 34 M5 (Continued) V. Resolution: Resolution No expresses the Hillsborough County Aviation Authority s intention, for purposes of compliance with Treasury Regulation Section , to reimburse expenditures which may be made with respect to the acquisition, development, construction, and equipping of certain airport improvements including the Automated People Mover, Guideway, Infrastructure and Stations project, the Reconstruct Taxiway J and Bridge project, the South Development Support Area Roadway Improvements project, the Main Terminal Transfer Level Expansion and Concessions Redevelopment project, the Concessions Consolidated Warehouse project, the Consolidated Rental Car Facility project and the East Airfield Pavement Rehabilitation project; provides an effective date and confirms the two waivers of potential conflict of interest as noted above.

35 AGENDA Page 35 M. NEW BUSINESS 6. Space Rental Agreement (Solar Generating Stations), Tampa Electric Company, Tampa International Airport, Resolution No I. Background: Tampa Electric Company (TECO) provides electricity to the Airport and desires to install an electricity grid-connected photo-voltaic solar power generating station with a capacity of at least 2mW on a canopy over existing parking spaces in the South Economy Parking Garage. II. Proposal: In order to install, maintain and operate the solar power generating station, TECO desires to lease space from the Authority above the South Economy Parking Garage at Tampa International Airport. The Agreement is effective upon execution. TECO will commence operation on or before December 31, The Agreement expires twenty-five (25) years thereafter, with one fiveyear renewal option upon written approval by letter from the Authority s Chief Executive Officer. Authority may terminate the Agreement, solely for Airport purposes, upon 90 days' written notice. The annual rent begins at $.09 per square foot in year one (1), with increases every five (5) years of the Lease to a high of $.1149 per square foot in years (if renewed), payable in yearly installments, plus sales tax. The Agreement requires a co-terminus electric distribution line easement to be given to TECO once the facility is sited. III. Funding: N/A IV. Recommendation: Management recommends adoption of Resolution No

36 AGENDA Page 36 M6 (Continued) V. Resolution: Resolution No approves and authorizes the execution of the Space Rental Lease Agreement (Solar Generating Station) with Tampa Electric Company at Tampa International Airport; authorizes the Chief Executive Officer to execute a co-terminus electric distribution line easement from the facility; authorizes the Chief Executive Officer to determine the final size of the Facility in consultation with TECO; and authorizes the Chief Executive Officer or his designee to execute all other ancillary documents.

37 AGENDA Page 37 N. PRESENTATIONS - None O. STAFF REPORTS P. ADJOURNMENT