Council approves lease renewal with U.S. Customs and Border Protection after recusal; city to front hangar shell upgrades

The City Council approved a standstill agreement and an on‑airport lease renewal with U.S. Customs and Border Protection (CBP) for the air and marine operations hangar at 8092 Hangar Road and authorized shell improvements estimated at $996,223 to bring the facility up to code and usable standards.

Airport Director Justin Fletcher told council the facility comprises about 96,631 square feet of hangar and office space and 220,000 square feet of ramp and parking. Fletcher said the shell work includes installing a modern fire alarm, a fire‑suppression system compliant with NFPA codes, identifying and documenting electrical circuits, and repairing a crushed underground conduit that currently lies across pavement. He said the city will front the cost and the airport will reimburse the city over the course of the lease.

Because of his relationship to the property’s district, Council Member Joe Selfe recused from the discussion and vote; the item passed on a 6‑0 vote. Fletcher said the on‑airport lease will be for 10 years with two 5‑year renewal options (20 years total) and that, once fully executed, the lease is expected to generate about $368,000 in annual revenue to the airport.

Why it matters: The agreement formalizes long‑standing month‑to‑month occupancy by CBP, upgrades an aging hangar (Fletcher said the building dates to the 1960s–1970s) to modern safety standards and locks in a multi‑year revenue stream, while obligating the airport to front initial capital improvements that will be reimbursed under the lease.

Council action: Motion to approve carried 6‑0 with a recusal by Selfe. Fletcher said the government partner is expected to work with the city on timelines and that the 180‑day construction window in the standstill agreement can be extended by mutual agreement if needed. Fletcher said the estimated shell‑work quote of $996,223 came from CC3 Construction.