City Council

6. REQUEST TO INCREASE REVENUE BUDGET AND APPROPRIATION BASED ON THE THIRD AMENDMENT TO THE COOPERATIVE AGREEMENT WITH THE NAVY AS RELATED TO THE NORTH HANGAR FIRE INCIDENT The City expects to enter into a third amendment to the Cooperative Agreement with the U.S. Department of the Navy (Navy) to implement an emergency response related to the North Hangar Fire Incident. Staff is requesting the City Council’s approval to increase revenue budget and related appropriation by the Navy’s reimbursement amount specified in the third amendment. The City expects the third amendment will increase the reimbursement amount pledged by the Navy by approximately $13 million – for a current not to exceed total of approximately $24 million. The City expects the balance of costs, currently estimated at more than $50 million, the City is incurring on the Navy’s behalf to be pledged for reimbursement by the Navy in subsequent amendments. Recommendation: It is recommended that the City Council increase revenue budget and related appropriation by the Navy’s reimbursement amount outlined in the third amendment to the Cooperative Agreement.