DEPARTMENT: Aviation
DEPARTMENT HEAD: Frank Miller
COUNCIL DISTRICTS IMPACTED: Citywide
SUBJECT:
Revisions to the Airline Operating Permit for the San Antonio International Airport
SUMMARY:
This Ordinance authorizes revisions to the Airline Operating Permit at the San Antonio International Airport (SAT). Airlines execute the Permit when they are not committing to becoming a full term signatory under the Airline Operating Agreement and Terminal Building Lease Agreement.
Under the current permit, non-signatory airlines must negotiate terminal building lease provisions under a separate agreement. The proposed revisions will allow non-signatory airlines to lease terminal building space through a combination Airline Operating Permit and Terminal Building Lease on a month-to-month term through one agreement: Airline Operating Permit and Terminal Building Lease.
BACKGROUND INFORMATION:
On July 26, 1984, City Council authorized Ordinance No. 59073 which allowed the City Manager to grant an Airline Operating Permit (Permit) to airlines operating without a long-term lease in the terminal building or cargo areas or those providing weekly or seasonal air service. The Permit was revised in 2011 through Ordinance No. 2011-11-17-0972 in order to align with the new Airline Lease Agreement and then in 2014 through Ordinance No. 2014-06-12-0433 in order to update the insurance requirements and indemnification sections.
Proposed Revision
The Permit was rewritten as an Airline Operating Permit and Terminal Building Lease to allow non-signatory airlines to lease terminal building space and operate at SAT on a month-to-month term through this agreement. Under the current permit, non-signatory airlines must lease terminal building space under a separate agreement.
ISSUE:
City Council authorization is required for revisions to the Airline Operating Permit.
ALTERNATIVES:
City Council could elect to not authorize the revisions to the Permit and continue the practice of non-signatory airlines leasing terminal building space at the San Antonio International Airport under a separate agreement.
FISCAL IMPACT:
There is no fiscal impact with this Council action.
RECOMMENDATION:
Staff recommends approval of the revision to the Airline Operating Permit at the San Antonio International Airport to allow non-signatory airlines to lease space under the Airline Operating Permit and Terminal Building Lease on a month-to-month term rather than lease terminal building space through a separate agreement.