Authorize negotiation and execution of an amendment to the sublease with United Parcel Service, Inc., to include portions of the Airport cargo apron area for aircraft parking positions and cargo handling area for air freight and mail handling operations at Austin-Bergstrom International Airport, commencing on January 1, 2026. Funding: This item is projected to be revenue neutral in the Fiscal Year 2025-2026 Operating Budget of Austin Aviation.

The City Council will authorize the negotiation and execution of an amendment to the sublease with United Parcel Service, Inc. (UPS). This amendment will incorporate portions of the Airport cargo apron area for aircraft parking and cargo handling operations at Austin-Bergstrom International Airport, commencing January 1, 2026. UPS will have preferential use of approximately 11,173 sq ft of cargo handling space and 72,793 sq ft of aircraft parking area. This action is projected to be revenue neutral in the Fiscal Year 2025-2026 Operating Budget for Austin Aviation and consolidates existing contracts.

This amendment to UPS's sublease at the airport will streamline operations and is revenue neutral, meaning no direct financial impact on residents.

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