ORLANDO, Fla. \u2013 The Greater Orlando Aviation Authority board (GOAA) voted unanimously Wednesday to grant a $7 million \u201callowance\u201d to Mitsubishi, the contractor for the ongoing Gate Link Replacement Project at Orlando International Airport.<\/p>\n
The project, which got underway this month, aims to create a \u201csmoother, faster, and more reliable journey from the security checkpoints to the airside,\u201d according to MCO\u2019s website.<\/p>\n
[WATCH: Orlando International Airport begins replacing trams. What that means for travelers]<\/p>\n
The phased upgrade is expected to continue into 2027.<\/p>\n
The measure granting Mitsubishi additional funding was added to the board\u2019s agenda due to \u201cunforeseen conditions,\u201d according to an agenda packet reviewed by News 6.<\/p>\n
One of those conditions was the need for Mitsubishi to comply with the Federal Railroad Administration requirements for construction within a railroad right of way. That \u201callowance\u201d costs $3 million.<\/p>\n
The other condition was prompted by President Donald Trump\u2019s implementation of tariffs earlier this year.<\/p>\n
The agenda packet cited a \u201c15 to 25% tariff increase on U.S. imports originating from Japan.\u201d<\/p>\n
\u201cThis directly impacts Project BP-0477REP,\u201d airport staff wrote in an attachment to the agenda. \u201cAs critical components, including train systems, controls, hardware, and miscellaneous equipment, are being sourced from Japan. This allowance is being established to reimburse the Contractor for the increase in tariffs.\u201d<\/p>\n
[WATCH: Orlando International Airport tests biometric facial recognition technology]<\/p>\n
The \u201callowance\u201d to reimburse Mitsubishi for the costs of tariffs is $4 million.<\/p>\n
\u201cWhen [the project] was bid in August of 2023, there was no talk of tariffs,\u201d said Angela Starke, a spokesperson with Orlando International Airport. \u201cNow, we have to consider tariffs. And so that $4 million is built in as an allowance to ensure the project does not have any delay with cars being manufactured in Japan.\u201d<\/p>\n
Starke explained that the additional funds are not coming from taxpayer money, but rather from a line of credit to be reimbursed by General Airport Revenue bonds.<\/p>\n
With the additional $7 million approved to go to Mitsubishi, the total amount for the contract stands at nearly $186 million.<\/p>\n
The information outlined in the agenda packet stipulates that any part of the $4 million allowance for tariffs that is not used would be returned to the Orlando International Airport.<\/p>\n
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