diff --git a/xos/synchronizer/event_steps/auth_event.py b/xos/synchronizer/event_steps/auth_event.py
new file mode 100644
index 0000000..0ddd30a
--- /dev/null
+++ b/xos/synchronizer/event_steps/auth_event.py
@@ -0,0 +1,66 @@
+
+# Copyright 2017-present Open Networking Foundation
+#
+# Licensed under the Apache License, Version 2.0 (the "License");
+# you may not use this file except in compliance with the License.
+# You may obtain a copy of the License at
+#
+# http://www.apache.org/licenses/LICENSE-2.0
+#
+# Unless required by applicable law or agreed to in writing, software
+# distributed under the License is distributed on an "AS IS" BASIS,
+# WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+# See the License for the specific language governing permissions and
+# limitations under the License.
+
+import json
+import time
+import os
+import sys
+from synchronizers.new_base.eventstep import EventStep
+from synchronizers.new_base.modelaccessor import VOLTService, HippieOSSServiceInstance, model_accessor
+
+class SubscriberAuthEventStep(EventStep):
+    topics = ["authentication.events"]
+    technology = "kafka"
+
+    def __init__(self, *args, **kwargs):
+        super(SubscriberAuthEventStep, self).__init__(*args, **kwargs)
+
+    def get_onu_sn(self, event):
+        olt_service = VOLTService.objects.first()
+        onu_sn = olt_service.get_onu_sn_from_openflow(event["device_id"], event["port_number"])
+        if not onu_sn or onu_sn is None:
+            self.log.exception("authentication.events: Cannot find onu serial number for this event", kafka_event=event)
+            raise Exception("authentication.events: Cannot find onu serial number for this event")
+
+        return onu_sn
+
+    def get_hippie_oss_si_by_sn(self, serial_number):
+        try:
+            return HippieOSSServiceInstance.objects.get(serial_number=serial_number)
+        except IndexError:
+            self.log.exception("authentication.events: Cannot find hippie-oss service instance for this event", kafka_event=value)
+            raise Exception("authentication.events: Cannot find hippie-oss service instance for this event")
+
+
+    def activate_subscriber(self, subscriber):
+        subscriber.status = 'enabled'
+        subscriber.save()
+
+    def disable_subscriber(self, subscriber):
+        subscriber.status = 'auth-failed'
+        subscriber.save()
+
+    def process_event(self, event):
+        value = json.loads(event.value)
+
+        onu_sn = self.get_onu_sn(value)
+        si = self.get_hippie_oss_si_by_sn(onu_sn)
+        if not si:
+            self.log.exception("authentication.events: Cannot find hippie-oss service instance for this event", kafka_event=value)
+            raise Exception("authentication.events: Cannot find hippie-oss service instance for this event")
+
+        si.authentication_state = value["authentication_state"];
+        si.no_sync = True
+        si.save(update_fields=["authentication_state", "no_sync", "updated"], always_update_timestamp=True)
diff --git a/xos/synchronizer/event_steps/test_auth_event.py b/xos/synchronizer/event_steps/test_auth_event.py
new file mode 100644
index 0000000..ad2ed8b
--- /dev/null
+++ b/xos/synchronizer/event_steps/test_auth_event.py
@@ -0,0 +1,111 @@
+# Copyright 2017-present Open Networking Foundation
+#
+# Licensed under the Apache License, Version 2.0 (the "License");
+# you may not use this file except in compliance with the License.
+# You may obtain a copy of the License at
+#
+# http://www.apache.org/licenses/LICENSE-2.0
+#
+# Unless required by applicable law or agreed to in writing, software
+# distributed under the License is distributed on an "AS IS" BASIS,
+# WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+# See the License for the specific language governing permissions and
+# limitations under the License.
+
+import unittest
+from mock import patch, call, Mock, PropertyMock
+import json
+
+import os, sys
+
+# Hack to load synchronizer framework
+test_path=os.path.abspath(os.path.dirname(os.path.realpath(__file__)))
+service_dir=os.path.join(test_path, "../../../..")
+xos_dir=os.path.join(test_path, "../../..")
+if not os.path.exists(os.path.join(test_path, "new_base")):
+    xos_dir=os.path.join(test_path, "../../../../../../orchestration/xos/xos")
+    services_dir=os.path.join(xos_dir, "../../xos_services")
+# END Hack to load synchronizer framework
+
+# generate model from xproto
+def get_models_fn(service_name, xproto_name):
+    name = os.path.join(service_name, "xos", xproto_name)
+    if os.path.exists(os.path.join(services_dir, name)):
+        return name
+    else:
+        name = os.path.join(service_name, "xos", "synchronizer", "models", xproto_name)
+        if os.path.exists(os.path.join(services_dir, name)):
+            return name
+    raise Exception("Unable to find service=%s xproto=%s" % (service_name, xproto_name))
+# END generate model from xproto
+
+class TestSubscriberAuthEvent(unittest.TestCase):
+
+    def setUp(self):
+
+        self.sys_path_save = sys.path
+        sys.path.append(xos_dir)
+        sys.path.append(os.path.join(xos_dir, 'synchronizers', 'new_base'))
+
+        # Setting up the config module
+        from xosconfig import Config
+        config = os.path.join(test_path, "../test_config.yaml")
+        Config.clear()
+        Config.init(config, "synchronizer-config-schema.yaml")
+        from multistructlog import create_logger
+        log = create_logger(Config().get('logging'))
+        # END Setting up the config module
+
+        from synchronizers.new_base.mock_modelaccessor_build import build_mock_modelaccessor
+        # build_mock_modelaccessor(xos_dir, services_dir, [get_models_fn("olt-service", "volt.xproto")])
+
+        build_mock_modelaccessor(xos_dir, services_dir, [
+            get_models_fn("hippie-oss", "hippie-oss.xproto"),
+            get_models_fn("olt-service", "volt.xproto"),
+            get_models_fn("../profiles/rcord", "rcord.xproto")
+        ])
+        import synchronizers.new_base.modelaccessor
+        from auth_event import SubscriberAuthEventStep, model_accessor
+
+        # import all class names to globals
+        for (k, v) in model_accessor.all_model_classes.items():
+            globals()[k] = v
+
+        self.log = log
+
+        self.event_step = SubscriberAuthEventStep(self.log)
+
+        self.event = Mock()
+
+        self.volt = Mock()
+        self.volt.name = "vOLT"
+        self.volt.leaf_model = Mock()
+
+        self.hippie_si = HippieOSSServiceInstance()
+        self.hippie_si.serial_number = "BRCM1234"
+        self.hippie_si.save = Mock()
+
+
+    def tearDown(self):
+        sys.path = self.sys_path_save
+
+    def test_authenticate_subscriber(self):
+
+        self.event.value = json.dumps({
+            'authentication_state': "APPROVED",
+            'device_id': "of:0000000ce2314000",
+            'port_number': "101",
+        })
+
+        with patch.object(VOLTService.objects, "get_items") as volt_service_mock, \
+            patch.object(HippieOSSServiceInstance.objects, "get_items") as hippie_si_mock, \
+            patch.object(self.volt, "get_onu_sn_from_openflow") as get_onu_sn:
+
+            volt_service_mock.return_value = [self.volt]
+            get_onu_sn.return_value = "BRCM1234"
+            hippie_si_mock.return_value = [self.hippie_si]
+
+            self.event_step.process_event(self.event)
+
+            self.hippie_si.save.assert_called_with(always_update_timestamp=True, update_fields=['authentication_state', 'no_sync', 'updated'])
+            self.assertEqual(self.hippie_si.authentication_state, 'APPROVED')