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HomeMy WebLinkAbout2023-06-21 AIRPORT COMMISSION AGENDA 11. AIRPORT COMMISSION MEETING AGENDA Airport Conference Room, Palm Springs International Airport 3400 E. Tahquitz Canyon Way, Palm Springs, CA 92262 Wednesday, June 21, 2023 - 5:30 P.M. Pursuant to Assembly Bill 361, this meeting may be conducted by teleconference. There will be in-person public access to the meeting location. To submit your public comment to the Airport Commission electronically. Material may be emailed to: Christina.brown@palmspringsca.gov - Transmittal prior to the start of the meeting is required. Any correspondence received during or after the meeting will be distributed to the Airport Commission and retained for the official record. This is a hybrid in-person and virtual meeting. To virtually observe the meeting or to virtually provide public comments, please use the following Zoom link https://us02web.zoom.us/j/86019815290?pwd=ZitOZDIyeGZhNUNEQTVkU29nTUdPdz09 or call (669) 900-6833 and enter Meeting ID: 860 1981 5290 - Passcode: 583916 City of Palm Springs: Riverside County: Paul Slama City of Cathedral City: Tony Michaelis City of Palm Desert: Kevin Wiseman Aftab Dada - Chair David Feltman Kevin J. Corcoran Vice Chair Ken Hedrick City of Indian Wells: Paul Budilo City of Coachella: Denise Delgado City of Rancho Mirage: Keith Young Gerald Adams Scott G. Miller Patricia Breslin John Payne City of La Quinta: Kathleen Hughes City of Desert Hot Springs: Jan Pye City of Indio: Rick Wise Todd Burke M. Guillermo Suero Palm Springs City Staff Scott C. Stiles Harry Barrett Jr., A.A.E. Jeremy Keating City Manager Airport Executive Director Assistant Airport Director 1. CALL TO ORDER – PLEDGE OF ALLEGIANCE 2. POSTING OF AGENDA 3. ROLL CALL 4. ACCEPTANCE OF AGENDA 5. PUBLIC COMMENTS: Limited to three minutes on any subject within the purview of the Commission 6. APPROVAL OF MINUTES: Minutes of the Airport Commission Regular Meeting of February 15, 2023, and Special Meeting of February 28, 2023 Airport Commission Meeting Agenda June 21, 2023 – Page 2 _______________________________________________________________________________________ 7. DISCUSSION AND ACTION ITEMS: 7.A Palm Springs Air Museum Ground Lease 7.B Marketing Update 7.C Financial Summary Update 7.D Concessions Update 7.E Projects and Airport Capital Improvement Program Update 8. EXECUTIVE DIRECTOR REPORT 9. COMMISSIONERS REQUESTS AND REPORTS 10. REPORT OF COUNCIL ACTIONS: 10.A Past City Council Actions 10.B Future City Council Actions 11. RECEIVE AND FILE: 11.A Airline Activity Report May 2023 11.B Airline Activity Report Fiscal Year Comparison 12. COMMITTEES: 12.A Future Committee Meetings ADJOURNMENT: The Airport Commission will adjourn to a Regular Meeting on July 19, 2023, at 5:30 P.M. AFFIDAVIT OF POSTING I, Harry Barrett, Jr., Airport Executive Director, City of Palm Springs, California, hereby certify this agenda was posted on June 15, 2023, in accordance with established policies and procedures. PUBLIC NOTICES Pursuant to G.C. Section 54957.5(b)(2) the designated office for inspection of records in connection with the meeting is the Office of the City Clerk, City Hall, 3200 E. Tahquitz Canyon Way. Complete Agenda Packets are available for public inspection at: City Hall Office of the City Clerk. Agenda and staff reports are available on the City’s website www.palmspringsca.gov. If you would like additional information on any item appearing on this agenda, please contact the Office of the City Clerk at (760) 323-8204. It is the intention of the City of Palm Springs to comply with the Americans with Disabilities Act (ADA) in all respects. If, as an attendee or a participant at this meeting, or in meetings on a regular basis, you will need special assistance beyond what is normally provided, the City will attempt to accommodate you in every reasonable manner. Please contact the Department of Aviation, (760) 318-3800, at least 48 hours prior to the meeting to inform us of your particular needs and to determine if accommodation is feasible. DATE: June 21, 2023 TO: Chairman Dada and Airport Commission FROM: Christina Brown, Executive Program Administrator SUBJECT: February 15, 2023 Airport Commission Meeting Minutes __________________________________________________________________________ At the May 17th Airport Commission meeting, Commissioner Scott Miller requested that the February 15th Airport Commission meeting minutes be amended to show that he had attended the meeting, and the Commission voted to approve the meeting minutes with the amendment that Commission Miller had requested. After further research and with confirmation from Commissioner Miller, it was determined that Commissioner Miller did not attend the February 15th meeting. Per City Attorney Geremy Holms, the Airport Commission must revote to approve the February 15, 2023 meeting minutes. ITEM 6 Page 1 of 6 AIRPORT COMMISSION ACTION SUMMARY MINUTES OF REGULAR ADJOURNED MEETING February 15, 2023 – 5:30 P.M. 1.CALL TO ORDER: Chairman Dada called the Airport Commission Meeting to order at 5:30 P.M., and he invited Commissioner Payne to lead the Pledge of Allegiance. The meeting was held in-person and via videoconference. 2.POSTING OF THE AGENDA: Posted on February 9, 2023. 3.ROLL CALL: Commissioners Present: Gerald Adams (Palm Springs) Tony Michaelis (Cathedral City) Patricia Breslin (Palm Springs) John Payne (Palm Springs) Paul Budilo (Indian Wells) Jan Pye (Desert Hot Springs) Kevin Corcoran (Palm Springs) – Vice Chair Jhan Schmitz (Indio) Aftab Dada (Palm Springs) – Chair Paul Slama (Riverside County) David Feltman (Palm Springs) * M. Guillermo Suero (Palm Springs) Ken Hedrick (Palm Springs) Kevin Wiseman (Palm Desert) Kathleen Hughes (La Quinta) Commissioners Absent: Todd Burke (Palm Springs), Gabriel Martin (Coachella), and Scott G. Miller (Palm Springs) *David Feltman (Palm Springs) joined the meeting at 5:32 p.m. Staff Present: Harry Barrett, Jr., Airport Executive Director Jeremy Keating, Assistant Airport Daniel Meier, Deputy Director of Aviation, Marketing and Air Service Victoria Carpenter, Airport Administration Manager Kristopher Mooney, Assistant Director of Finance Christina Brown, Executive Administrative Assistant Others Present: Ron deHarte, City Councilmember Palm Springs Airport Commission Action Summary Minutes of Regular Adjourned Meeting February 15, 2023 Page 2 of 6 4.ACCEPTANCE OF THE AGENDA: ACTION: Accept the Agenda as presented. Moved by Commissioner Hedrick, seconded by Commissioner Breslin and unanimously approved noting the absence of Commissioners Burke, Feltman, Martin, and Miller. 5.PUBLIC COMMENTS: None 6.APPROVAL OF THE MINUTES: ACTION: Approve the minutes of the Airport Commission meeting of November 22, 2022. Moved by Commissioner Breslin, seconded by Commissioner Hedrick and unanimously approved noting the absence of Commissioners Burke, Martin, and Miller. 7.INTRODUCTIONS AND PRESENTATIONS: 7.A Cathedral City Appointed Commissioner Tony Michaelis Chairman Dada introduced Cathedral City appointed Commissioner Tony Michaelis, and Commissioner Michaelis provide a brief background. 8.DISCUSSION AND ACTION ITEMS: 8.A Working Groups Executive Administrative Assistant Brown explained that Municipal Code 2.16.060 Powers-Duties provides a list of the 15 items that the International Airport Commission shall be advisory to the Palm Springs City Council and shall have the duty and power to advise the City Council on. To assist the Airport staff with funneling Commissioner requests, each of the 15 items had been assigned to one of the following recipients: a) Committee Chair; b) Airport Executive Director; and c) Chairman, Vice Chairman, and Airport Executive Director. The Airport Commissioners were directed to refer to the 15 items to determine which item their request falls under and which recipient(s) their request should be submitted to for further consideration. The assigned recipient(s) would verify that the request does fall within the scope of the Municipal Code, and if the request qualifies, the recipient(s) would determine if the request should be included in a future Airport Commission agenda or if the request should be reviewed first by an Airport Commission subcommittee. Ms. Brown said that in regard to a request for creating working groups, the requesting Commissioner would need to refer to the 15 items to determine which Committee Chair to refer the request to, the Committee Chair would determine who would be in Palm Springs Airport Commission Action Summary Minutes of Regular Adjourned Meeting February 15, 2023 Page 3 of 6 the working group, and how long the working group would be active for. She said that the working group would provide their reports to the Committee Chair, the Committee Chair would report to the Airport staff, and the Committee Chair and the Airport staff would determine how to proceed with the information that was provided by the working group. 8.B USO Update Airport Executive Director Barrett noted that at the January Airport Commission meeting, it had been suggested that the Airport staff reach out to the USO to see what assistance the USO needs from the Airport. Mr. Barrett said that the Airport staff had meet with the USO manager and regional manager, and he said that they had informed the Airport staff that they were making sure that the troops were aware of the resources that are available to them and that it is ultimately up to the troops to decide how they utilize the resources. The USO managers said that donations are helpful for the USO. Mr. Barrett said that he asked if they were interested in receiving assistance to expand their operations to allow them to operate 24/7, and he said that the USO managers said that they didn’t believe that there was enough traffic to keep the USO open 24/7. Mr. Barrett said he assured the USO that the Airport staff was on standby to assist in any way needed. Commissioner Hedrick noted that there were several hotels that offer free lodging to the troops when the rooms are available, and he said that a majority of the troops prefer to stay overnight in the Airport because they are fearful of missing their early morning flights. 8.C Marketing Update Deputy Director of Aviation, Marketing and Air Service Meier noted that the February 2023 marketing and air service update was provided in the agenda packet, and he provided a timeline for the Airport logo project. Commissioner Wiseman said that the Marketing Committee intended on voting on two logo options at their next meeting to recommend to the Airport Commission. 8.D Ad Hoc Design Review Committee Update Committee Chairman Corcoran acknowledged Councilmember deHarte, and he expressed his appreciation for Councilmember deHarte attending the Airport Commission meeting. He said that a second committee meeting had been held with Paradies Lagardère (Paradies) and that Paradies had reviewed the updated food and beverage menus, and the design of the bar that would be located in the Bono concourse. Committee Chairman Corcoran said that at the next committee meeting, Paradies and the committee members would be submitting their suggestions for naming the bar. Palm Springs Airport Commission Action Summary Minutes of Regular Adjourned Meeting February 15, 2023 Page 4 of 6 Committee Chairman Corcoran said that the committee would be holding a second meeting with The Marshall Retail Group (MRG) on February 22nd to receive updates from MRG on the requests that had been submitted at the first committee meeting with MRG. He said that everything was moving along nicely and that he believed that the community was going to be very happy with the changes. Commissioner Feltman said that he agreed that the meeting with Paradies went well, and he said that he was focused on making sure that there are healthy and diverse food offerings. Commissioner Feltman said that Paradies had done a really good job on improving their breakfast options, and he believed that if they continue making improvements to the rest of the menus, the Airport Commission would be proud of the food offerings at the Airport. 8.E Budget and Finance Committee Update Chairman Dada announced that Commissioner Feltman had stepped down from the Budget and Finance Committee and that he had appointed Commissioner Hedrick as the Chair of the Budget and Finance Committee. Committee Chairman Hedrick noted that Commissioner Feltman had chaired the February committee meeting. Commissioner Feltman said that the February committee meeting was the culmination of the committee’s important work to evolve the financial reporting to reflect more year- over-year and quarter-over-quarter time periods which makes it much easier to understand the financial trends. He said that it was a team effort that involved Airport Administration Manager Carpenter, Assistant Director of Finance Mooney, and the committee members. Commissioner Feltman said that he appreciated all of the work that had been done and that there were a few more tweaks that needed to be implemented. 8.F Airport Mid-Year FY22/23 Budget Update Airport Administration Manager Carpenter provided a brief overview of the Airport’s Mid-Year FY22/23 Budget. 8.G Airport Staffing Update Airport Executive Director Barrett provided an update on the Airport’s current staffing, and the proposed staffing plan for the next two fiscal years. He explained that he was trying to balance the need to grow the organization while making sure that he doesn’t overgrow the organization and that he was also trying to create synergy between the Aviation Department and the other City Departments to ensure that resources could be shared for efficiency purposes. Commissioner Budilo asked if the Airport has enough space to accommodate the new positions that were being requested. Mr. Barrett said that some of the space has been identified, and he said that several of the positions would allow for flexible working Palm Springs Airport Commission Action Summary Minutes of Regular Adjourned Meeting February 15, 2023 Page 5 of 6 conditions for working remotely. Commissioner Budilo asked if the HR Department was overseeing the recruitment of the Airport and City staff. Mr. Barrett confirmed that the HR Department was overseeing the recruitment of the Airport and City staff, and he said that the HR Department was overseeing a significant number of recruitments . Commissioner Payne asked if Mr. Barrett felt that the City would be open to discussing the possibility of the Airport overseeing the recruitment of the Airport staff. Mr. Barrett said that he could see if the City was open to discussing the matter. Commissioner Wiseman inquired about the 10 Landside and Ground Transit Representatives listed for FY24-25. Mr. Barrett said that part of the staff would be overseeing traffic, ground transportation, and the parking lots which was currently being contracted out to ABM, and the other half of the staff would be overseeing the needs of the consolidated rental car facility. Commissioner Feltman voiced his support in regard to the Airport staff being more assertive with City for the purpose of requesting that the Airport have a dedicated HR specialist. Chairman Dada thanked City Councilmember deHarte for attending the Airport Commission meeting. City Councilmember deHarte said that he appreciated the opportunity to sit in the Airport Commission meeting, and he said that his intention was to continue to be a link between the City Council and the Airport Commission’s work. Councilmember deHarte said that the work that the Airport staff has been doing at the Airport has been incredible and that he was looking forward to good opportunities and growth at the Airport. Chairman Dada said that he hoped that City Councilmember deHarte saw firsthand the staffing struggles of the Airport and that he would relay the information to the City Council. Commissioner Payne asked Mr. Barrett how he felt about outsourcing. Mr. Barrett said that there were certain activities that outsourcing could be beneficial for, and he said that in regard to customer service, it would be better to have those services be provided in-house. 8.H Projects and Airport Capital Improvement Program Update Airport Executive Director Barrett noted that the update had been provided in the agenda. 9.EXECUTIVE DIRECTOR REPORT 10. COMMISSIONERS REQUESTS AND REPORTS Commissioner Feltman requested an update report on the Airport internet services. Commissioner Wiseman asked for a report on the Airport’s earthquake and disaster preparedness. Chairman Dada asked Executive Administrative Assistant Brown to provide an update on the subcommittee changes. Ms. Brown reported that Palm Springs Airport Commission Action Summary Minutes of Regular Adjourned Meeting February 15, 2023 Page 6 of 6 Commissioner Feltman had resigned from the Budget and Finance Committee, and he was now serving on the Operations, Properties and Facilities Committee. Commissioner Hedrick was made the chair of the Budget and Finance Committee, and Commissioners Adams and Michaelis were assigned to the Budget and Finance Committee. Chairman Dada had resigned from the Noise Committee to allow Commissioner Michaelis to be assigned to the Noise Committee to meet the requirement of the Municipal Code for the Cathedral City appointee to serve on the Noise Committee. 11. REPORT OF CITY COUNCIL ACTIONS: 11.A Past City Council Actions 11.B Future City Council Actions 12. RECEIVE AND FILE: 12.A Airline Activity Report January 2023 12.B Airline Activity Report Fiscal Year Comparison 13. COMMITTEES: 13.A Future Committee Meetings 14.ADJOURNMENT: ACTION: Adjourn the meeting. Moved by Commissioner Hedrick, seconded by Commissioner Adams and unanimously approved noting the absence of Commissioners Burke, Martin, and Miller. The Airport Commission adjourned at 6:54 P.M. to a Special Meeting on February 28, 2023, at 1:00 P.M. Christina Brown Executive Administrative Assistant Page 1 of 7 AIRPORT COMMISSION ACTION SUMMARY MINUTES OF SPECIAL ADJOURNED MEETING February 28, 2023 – 1:00 P.M. 1.CALL TO ORDER: Chairman Dada called the Airport Commission Special Meeting to order at 1:00 P.M., and he invited Commissioner Payne to lead the Pledge of Allegiance. The meeting was held in-person and via videoconference. 2.POSTING OF THE AGENDA: Posted on February 23, 2023. 3.ROLL CALL: Commissioners Present: Gerald Adams (Palm Springs) Tony Michaelis (Cathedral City) Patricia Breslin (Palm Springs) Scott G. Miller (Palm Springs) Paul Budilo (Indian Wells) John Payne (Palm Springs) Todd Burke (Palm Springs) Jan Pye (Desert Hot Springs) Kevin Corcoran (Palm Springs) – Vice Chair Jhan Schmitz (Indio) Aftab Dada (Palm Springs) – Chair Paul Slama (Riverside County) David Feltman (Palm Springs) Kevin Wiseman (Palm Desert) Ken Hedrick (Palm Springs) Commissioners Absent: Kathleen Hughes (La Quinta), Gabriel Martin (Coachella), and M. Guillermo Suero (Palm Springs) Staff Present: Harry Barrett, Jr., Airport Executive Director Jeremy Keating, Assistant Airport Daniel Meier, Deputy Director of Aviation, Marketing and Air Service Victoria Carpenter, Airport Administration Manager Christina Brown, Executive Administrative Assistant Others Present: Ryan Hayes, Mead & Hunt Matt Nisbet, Mead & Hunt Katie Franco, Aviatrix Communications Kim McNeil, Aviatrix Communications Neil McLean, Gensler Palm Springs Airport Commission Action Summary Minutes of Special Adjourned Meeting February 28, 2023 Page 2 of 7 4. ACCEPTANCE OF THE AGENDA: ACTION: Accept the Agenda as presented. Moved by Commissioner Burke, seconded by Commissioner Hedrick and unanimously approved noting the absence of Commissioners Hughes, Martin, and Suero. 5. PUBLIC COMMENTS: Mr. Salavador Amezquita said that he was representing Local Carpenters 951 which represents Riverside County, and he expressed their interest in the expansion of the Airport. Gary Wexler said that he was pleased to hear that the Airport was interested in preserving and restoring the Airport to the original Don Wexler design, and he said that the value of the Wexler terminal from 1966 increases with age. Mr. Wexler said that preserving the Don Wexler design would include the class one protected west façade and the Airport’s interior and landscaping that has set guidelines that are required by the current national registry designation. Mr. Wexler said that he believed that the historic Airport terminal was the most important City-owned asset, and he recommended to the Master Plan subcommittee and Mead & Hunt that the Master Plan sights be set high and that a world-class building and a world-class architecture firm would be the way to honor the integrity of the City’s rich architectural history. He noted that the community is filled with expertise regarding buildings and landscape design of this kind, and he asked that anyone interested in receiving the contact information for the people that could help provide guidance for this process could contact Executive Administrative Assistant Brown to receive his personal contact information. Tom Doyle said that he couldn’t find the words design, architecture or visual experience used as criteria in any planning goals or decision making in the Master Plan. He said that it was essential that these words are included as goals and objectives in the Master Plan. Mr. Doyle said that he expects high quality results not cookie cutter budget solutions, and he said that the Master Plan should state clearly that the restoration of the Wexler terminal is non-negotiable and that modern additions maintain a high level of architectural integrity. He noted that there is a large creative class of residents with illustrious careers and expertise in the fields of design and architecture, and Mr. Doyle said that including these residents in the process would assure that the Airport would continue to be the unique experience that visitors and residents expect with a world-class piece of architecture and design that represents the personality of Palm Springs. Jade Nelson, Palm Springs resident, voiced his concern in regard to the changes that had been made to the Airport’s design and landscaping, specifically the terrazzo flooring that is covered by carpet. He said that the Airport no longer had a wonderful easy breezy feeling to it, and he suggested that this was a golden opportunity to bring Palm Springs Airport Commission Action Summary Minutes of Special Adjourned Meeting February 28, 2023 Page 3 of 7 the Airport back to that wonderful feeling. Mr. Nelson noted that there have been other airport’s that have done wonderful things with their terrazzo flooring which included having competitions with various artists to create patterns within the terrazzo, and he said that he believed that there was an opportunity to do the same thing as well or to restore the terrazzo to the original terrazzo look. Julian Sanchez with Enterprise Rent-A-Car property development said that they were excited about the new Master Plan and how it would impact the Airport. 6. DISCUSSION AND ACTION ITEMS: 6.A Master Plan Process Airport Executive Director Barrett explained that there were challenges with the terminal, parking, the airfield, and general aviation, and he said that the plan was to fix those challenges with the Master Plan. Mr. Hayes with Mead & Hunt said that a Master Plan has four components: 1) It is a decision-making tool to guide orderly development of future airport facilities that includes management and operating policies, layout of airport facilities, and it identifies space for future airport development; 2) It is an FAA tool for planning and programming purposes that includes an Airport Layout Plan (ALP) and an Airport Capital Improvement Plan (ACIP); 3) It provides input related to CEQA and NEPA; and 4) It provides input to the City/County Land Use Planning and Regional Transportation Planning. Mr. Hayes explained that a Master Plan is not a business or marketing plan, and it is not a noise study, he said that there would be a financial implementation analysis to determine how the Airport would align funding sources with the capital project needs, and he said that a Master Plan is a physical development plan for PSP that reserves space for potentially needed facilities. Mr. Hayes said that the Master Plan process was important for addressing passenger growth, passenger level of service, and industry changes and planning considerations. Mr. Hayes reviewed the forecasted scenarios for passenger growth, and the key planning considerations which included: a) Public and stakeholder outreach; b) Air service analysis/forecasts; c) Data collection/AGIS; d) Terminal space programming and alternatives; and e) Financial implementation analysis. Mr. Barrett explained that the role of the Master Plan working group would be to review and comment on working papers, and to serve as a sounding board for recommendations. He said that Chairman Dada, Vice Chairman Corcoran, Commissioners Hedrick and Miller, Airport staff, and City staff would be serving on the working group. Mr. Hayes presented the concept map from the 2015 Airport Master Plan, and he noted that the growth had been underestimated which led to the determination that no additional gates would be necessary. He said to help the Airport Commission start thinking conceptually, he would be reviewing concept plans from other Palm Springs Airport Commission Action Summary Minutes of Special Adjourned Meeting February 28, 2023 Page 4 of 7 airports to help the Commission understand the level of detail that goes into the Master Plan process. He explained that design would not be a part of the Master Plan process because the purpose of the Master Plan process is to come up with a concept for the terminal. Mr. Hayes said that Mead & Hunt would take the planning to a concept level which would provide enough detail to determine the cost estimates that would be needed to determine how to finance the project, and they would define the project. He said that the design of the project would go through an architecture firm, and airfield projects would be designed by an engineering firm. Mr. Hayes reviewed the concept plans for Northwest Arkansas National Airport, Phoenix Mesa Gateway Airport, and Reno Tahoe Airport to provide an example of the level of detail that is included in the concept plans. Commissioner Feltman suggested that Mr. Hayes review the concept plan for Sarasota-Bradenton International Airport. Commissioner Payne inquired about seasonality. Mr. Hayes said that seasonality would be evaluated in the air service market study. Commissioner Miller asked what would be changed to make sure that the Airport doesn’t have the same issues in terms of growth that is way out of the parameters of the previous Master Plan. Mr. Hayes said that they would be utilizing the passenger demand analysis to understand what is realistic, what is causing the additional service by the airlines, and what is the potential for that to continue. He said that they would use their forecast to develop planning activity levels to tie improvements to enplanements as opposed to tying them into years. Commissioner Feltman noted that reducing resources during the non-peak season can lessen the customer experience. Commissioner Payne asked if identifying properties for acquisition would be a part of the Master Plan process. Mr. Hayes said that identifying properties for acquisition would be considered in the Master Plan process. Commissioner Miller encouraged Mead & Hunt to address Heliports in the Master Plan. Mr. Hayes said that they would be considering electronic vertical takeoff aircraft in the Master Plan. Mr. Hayes reviewed the opportunities and constraints in the terminal area. Commissioner Feltman referred to the car rental facility (CONRAC), he noted that the CONRAC would be changing the fundamental customer arrival and departure experience at the Airport, and he urged Mead & Hunt to look at different scenarios before moving forward with the design of the CONRAC. Mr. Hayes reviewed the four steps of the Master Plan process which included pre- planning, investigation, solutions, and implementation. He also reviewed the 30-month schedule which he said was aggressive because they were going to try to do most of the planning work in the first 12 months. Mr. Hayes said that realistically, it would be 12 to 18 months for the full Master Plan concept to be developed, he said that the CEQA analysis would have to take place at 18 months, and he said that the Airport staff has asked Mead & Hunt to initially focus on the terminal area. Mr. Hayes explained that the CEQA analysis would have to be completed before the City Council could approve the Master Plan. Palm Springs Airport Commission Action Summary Minutes of Special Adjourned Meeting February 28, 2023 Page 5 of 7 6.B Master Plan Outreach Ms. Franco with Aviatrix Communications reviewed the Master Plan outreach process. She said that there would be multiple public open houses which would allow the public to provide input on the terminal concepts, to review the draft report and refined terminal concept, and to review the CEQA analysis. She said the public would be able to submit their comments through an online comment form, through paper forms that would be distributed at the public meetings, and during the public comment period at the Airport Commission meetings. Ms. Franco said that the public would be able to interact directly with the project staff at the open house meetings, and she said that the project website would be going live on the following week and that the website would include access to two-way communication, working documents, meeting materials, project timeline, and event calendar. She said that the website would be ADA complaint and it would be available in multiple languages. Ms. Franco said that there would be a community blog that would keep the community informed about the project progress offering high-level takeaways as well as access to the working papers and draft documents. The media and the press would be used to amplify the work and to make sure that their audiences understand the progress that is being made, and the Airport’s social media channels would be used to keep the Airport’s Master Plan at the top of the mind of the community and to invite the community to the public meetings. Ms. Franco said that as questions are received from the public, the questions and answers would be added to the website’s FAQ. Vice Chairman Corcoran asked Deputy Director of Aviation, Marketing and Air Service Meier if he would be working with Aviatrix Communications on the public outreach. Mr. Meier confirmed that he would be working with Aviatrix Communications on the public outreach. Commissioner Miller inquired about how the City Council would be updated through the 30-month process. Airport Executive Director Barrett said that he would be providing regular updates to the City Manager, and the City Manager would be providing the updates to the City Council. Commissioner Miller asked if staff would be looking into privately owned properties that could possibly be used for future facilities. Mr. Barrett said that all options would be on the table. Vice Chairman Corcoran said that although he believes that the Federal Inspection Station (FIS) is important for the Airport, he would like to confirm the feasibility of the FIS, and to understand the implications. Commissioner Burke voiced his support for more international and non-stop flights. Commissioner Adams said that he believed that parking is important for the Airport and that the customer experience needs to be a priority. Commissioner Breslin agreed that the customer experience is important for the Airport, and she said that it is also important to determine how the customer experience would be sustained after the project has been completed. Palm Springs Airport Commission Action Summary Minutes of Special Adjourned Meeting February 28, 2023 Page 6 of 7 Commissioner Feltman said that he believed that inbound and outbound customer intercepts could be valuable for the Airport. Commissioner Hedrick said that he believed that it was important to make the Airport sustainable and to look into alternative energy sources, he said that passenger circulation is important for the Airport, and he suggested that the governance of the Airport also be considered. Commissioner Miller said that he was interested in seeing how the Airport could be made future proof in terms of making sure that the Airport has the right technologies and mix of things, and he said that he was looking for the Airport to have an intelligent plan that takes the Airport’s limitations into consideration. Commissioner Wiseman said that he supported the FIS, and he said that he would like to see TSA moved to another location so that the Wexler design could be restored. Commissioner Payne said that he would like for the car rental experience to be more streamlined, and he said that he believed that it was important to focus on the landside challenges and customer experience. Commissioner Pye agreed that the customer experience is important for the Airport and for the cities that the passengers are visiting, and she voiced her support for the FIS. Commissioner Budilo noted that the City of Indian Wells is dependent on travel and that he agreed that the customer experience is important for the Airport, he suggested that the growth of the Coachella Valley needed to be considered in the Master Plan, and he said that he believed that it is important for the nine cities to continue being included in the governance of the Airport. Commissioner Schmitz said that he believed that improving the technology at the Airport is important. Commissioner Michaelis said that he concurred with the prior Commissioner comments. Commissioner Slama said that he also concurred with the prior Commissioner comments, and he said that it was important for the Airport to include the tribal nation in the process. Vice Chairman Corcoran said that it was important for the Airport to determine how the Wexler design could be incorporated into the expansion, he said that if the CONRAC has to be located offsite, it is important to make the customer experience as convenient as possible, and he said that keeping the CONRAC in a central location should be a priority. Vice Chairman Corcoran inquired about the FAA grant for $5.7 million that the Airport was awarded for the baggage claim expansion, and he asked if the project could be started now or did it have to wait for the Master Plan to be approved. He also said that it was important for the concession projects to be taken into consideration, and he asked if there was a possibility that the airport in Thermal could become a competing airport. Chairman Dada said that from a hospitality perspective, he believes that the FIS should be a priority for the Airport, and he said that internal and external shade structures should be a priority to improve the customer experience. Commissioner Feltman inquired about finding a way to bridge the wide divide between LAX and PSP. Palm Springs Airport Commission Action Summary Minutes of Special Adjourned Meeting February 28, 2023 Page 7 of 7 7.COMMISSIONERS REQUESTS AND REPORTS None. 8.ADJOURNMENT: ACTION: Adjourn the meeting. Moved by Chairman Dada, seconded by Vice Chairman Corcoran and unanimously approved noting the absence of Commissioners Hughes, Martin, and Suero. The Airport Commission adjourned at 2:36 P.M. to a Regular Meeting on March 15, 2023, at 5:30 P.M. Christina Brown Executive Administrative Assistant AIRPORT COMMISSION STAFF REPORT DATE: June 21, 2023 SUBJECT: TO RECOMMEND THE AWARD OF A FIVE-YEAR GROUND LEASE TO THE PALM SPRINGS AIR MUSEUM FROM: Harry Barrett, Jr., Airport Executive Director _________________________________________________________________________ SUMMARY: The Palm Springs International Airport (Airport) proposes to enter into a five-year ground lease with the Palm Springs Air Museum (Air Museum) for additional aircraft parking. RECOMMENDATION: This action will recommend to the City Council the approval of the proposed Palm Springs Air Museum ground lease. BACKGROUND: In November of 1995, the Palm Springs Air Museum commenced with a land lease at the Airport for a term of forty years. The purpose of the lease was for the construction and operation of an aviation museum on a ten-acre parcel of land west of Gene Autry Drive and north of Ramon Road in Palm Springs, CA. The Air Museum serves as one of the main attractions for the entire Coachella Valley with a world-class aviation war history-themed venue. Attendees experience war history through an array of static aircraft, art, and a medley of World War II and Vietnam-era relics that memorialize these historic events. The Air Museum facility complex includes three large hangars with office space, an adjacent aircraft apron, and several public parking lots, including a temporary parking area under a short-term license agreement. The Air Museum constructed an additional 20,000 square foot temperature-controlled hangar to accommodate the growing demand. In addition, the Air Museum expanded its facilities which includes a full restaurant open to the public, expanded aircraft apron, and public roadway. In order to accommodate additional aircraft parking, the Air Museum requested to enter into a ground lease for 2.5 acres for a term of five-years with an option to extend as determined in the ground lease. The Executive Director has reviewed the request, plans, photos and ITEM 7.A Airport Commission Staff Report June 21, 2023 -- Page 2 Palm Springs Air Museum 2.5 Acre Ground Lease identified the processes that must be undertaken by the PSAM prior to entering into the ground lease which includes: • Filing the appropriate FAA Notice of Construction Form 7460 and achieve this approval prior to construction in accordance with any directives. • Coordinating all requisite approval and building permitting processes required by the City of Palm Springs, County of Riverside, and any other governing agency. • Coordinating the construction activity and phasing with the airport in advance of any construction commencement. • Completing an aeronautical study with the Federal Aviation Administration • Providing one set of construction post project as-builts drawings to the airport. The ground lease is identified in Figure 1 below as “B29 Parking”: FIGURE 1 To determine the fair market value of the proposed 2.5 acres, an appraisal was completed by the Air Museum and the Airport. After the appraisals were received, the rental rate was negotiated at $3,800 per month. Airport staff requests that the Airport Commission recommends to City Council the approval of this ground lease with the Air Museum. Airport Commission Staff Report June 21, 2023 -- Page 3 Palm Springs Air Museum 2.5 Acre Ground Lease FISCAL IMPACT: The total ground lease revenue to the airport will total $228,000 over the next five-years. All revenue will be applied to account 415.38075. Harry Barrett, Jr., A.A.E. Executive Director Airport Commission Meeting PSP Marketing & Air Service Report June 2023 ITEM 7.B Air Service Update New Seasonal Alaska Service to JFK December 14,202 -April 22, 2024 April Total Passenger Count: 5.9% increase over 2022 379,353 total passengers New April record May Total Passenger Count: 5.6% increase over 2022 233,239 total passengers New May record 2023 vs. 2022 % Change June -12.5% July -21.6% August -15% September -17.1% 2023 -Scheduled Departing Seats *Based on 06/05/23 Schedules -Subject to change 85,027 79,601 81566 89038 97,154 95,402 95976 95976 82,060 87,929 85750 85750 64267 58319 58300 58300 0 20,000 40,000 60,000 80,000 100,000 120,000 June July August September2023202220212019 2023 vs. 2019 % Change June 32.3% July 36.5% August 39.9% September 44.1% Brand Update Working with various departments to prepare for launch Phase 1 Begins July 6 Ph1 includes website, social media, digital advertising, uniforms, replacement/removal of existing old logos, business cards etc., public introduction of the brand and website. Phases 2 & 3 to follow Will include securing additional items for community engagement, events, airport vehicles, airport forms, etc. Other Initiatives Customer Experience Currently researching Plan to review in July with the Marketing Committee Advertising Concessions Fuse takes over July 1 New fixture installations will begin July 1 Phased in over four months Fuse has been meeting with new and existing advertisers CITY OF PALM SPRINGS Financial Summary Ending May 31, 2023 Fund 405 - Customer Facility Charges FY 22-23 Budget FY 22-23 Actual FY 22-23 % Of Budget FY 21-22 Actual FY 20-22 vs FY 21-23 % Change FY 20-21 Actual FY 20-21 vs FY 21-23 % Change Operating Revenue 7,465,000 8,002,852 107%2,459,526 225%1,156,351 592% Operating Expenditures 2,000,000 - 0%29,496 0%69,872 0% Net Balance 5,465,000 8,002,852 146%2,430,030 229%1,086,479 637% - 1,000,000 2,000,000 3,000,000 4,000,000 5,000,000 6,000,000 7,000,000 8,000,000 9,000,000 1 5,465,000 8,002,852 2,430,030 1,086,479 Fund 405 -Customer Facility Charges -Net Balance FY 22-23 Budget FY 22-23 Actual FY 21-22 Actual FY 20-21 Actual 6/15/2023Page 1 of 8 ITEM 7.C CITY OF PALM SPRINGS Financial Summary Ending May 31, 2023 Fund 410 - Passenger Facility Charges FY 22-23 Budget FY 22-23 Actual FY 22-23 % Of Budget FY 21-22 Actual FY 20-22 vs FY 21-23 % Change FY 20-21 Actual FY 20-21 vs FY 21-23 % Change Operating Revenue 6,867,000 5,337,002 78%4,732,201 13%1,156,351 362% Operating Expenditures 2,521,000 452,135 18%484,420 -7%520,920 -7% Net Balance 4,346,000 4,884,867 112%4,247,781 15%635,431 669% - 500,000 1,000,000 1,500,000 2,000,000 2,500,000 3,000,000 3,500,000 4,000,000 4,500,000 5,000,000 Fiscal Year 4,346,000 4,884,867 4,247,781 635,431 Fund 410 -Passenger Facility Charges -Net Balance FY 22-23 Budget FY 22-23 Actual FY 21-22 Actual FY 20-21 Actual 6/15/2023Page 2 of 8 CITY OF PALM SPRINGS Financial Summary Ending May 31, 2023 Fund 415 - Airport Operations & Maintenance FY 22-23 Budget FY 22-23 Actual FY 22-23 % Of Budget FY 21-22 Actual FY 20-22 vs FY 21-23 % Change FY 20-21 Actual FY 20-21 vs FY 21-23 % Change Operating Revenue 41,069,398 50,805,746 124%29,768,319 71%20,551,564 147% Operating Expenditures 33,880,956 22,792,236 67%19,410,815 17%17,489,291 30% Net Balance 7,188,442 28,013,510 390%10,357,505 170%3,062,273 815% 50,805,746 29,768,319 20,551,564 71% 45% 0 10,000,000 20,000,000 30,000,000 40,000,000 50,000,000 60,000,000 FY 22-23 FY 21-22 FY 20-21 YTD Actual Revenue 22,792,236 19,410,815 17,489,291 17%11% - 5,000,000 10,000,000 15,000,000 20,000,000 25,000,000 FY 22-23 FY 21-22 FY 20-21 YTD Actual Expenditures 6/15/2023Page 3 of 8 CITY OF PALM SPRINGS Financial Summary Ending May 31, 2023 Fund 415 - Airport Operations & Maintenance FY 22-23 Budget FY 22-23 Actual FY 22-23 % Of Budget FY 21-22 Actual FY 20-22 vs FY 21-23 % Change FY 20-21 Actual FY 20-21 vs FY 21-23 % Change Operating Revenue Airline Revenue Scheduled Landing Fees 3,340,000 3,293,709 99%3,130,735 5%1,900,599 73% Landing Fee Surcharge 1,783,000 2,002,388 112%1,908,970 5%715,756 180% Terminal Airline Space 2,094,000 1,994,705 95%2,001,723 0%1,824,630 9% Terminal Usage Hold Room 1,034,000 1,300,895 126%1,268,039 3%837,321 55% Total Airline Revenues 8,251,000 8,591,697 104%8,309,467 3%5,278,305 63% Non-Airline Revenue CARES Act 5,989,698 5,989,698 100%- 3,451,322 74% CRRSAA-Airport 1,100,000 - 0%- - CRRSAA-Concessions 4,800,000 280,390 6%- - ARPA-Airport - 9,310,342 - - Airfield Concessions 310,000 368,359 119%405,988 -9%266,428 38% Property Rental - Non Aviation 450,000 387,023 86%417,458 -7%382,322 1% Land Rental 1,223,000 1,295,939 106%1,256,979 3%1,222,099 6% Leased Parking 4,704,000 5,844,773 124%4,938,387 18%2,332,991 151% Ariport Use Permits 75,000 82,749 110%72,981 13%39,617 109% Terminal Non-Airline Rental 1,741,300 2,097,959 120%1,538,977 36%743,483 182% Advertising 400,000 423,074 106%430,060 -2%212,145 99% On Airport Rental Car 8,899,000 11,432,110 128%9,952,544 15%4,543,292 152% Commerical Airport Fee 853,000 1,079,630 127%847,110 27%623,751 73% Taxi Access Fees 667,000 1,086,346 163%981,685 11%23,823 4460% Customs 349,000 403,187 116%419,230 -4%209,647 92% All Other Revenue 1,257,400 2,132,470 170%197,453 980%1,222,340 74% Total Non-Airline Revenue 32,818,398 42,214,049 129%21,458,852 97%15,273,259 40% Total Operating Revenues 41,069,398 50,805,746 29,768,319 20,551,564 CARES Act 14% CRRSAA-Concessions 1% ARPA-Airport 22% Airfield Concessions 1% Property Rental -Non Aviation 1% Land Rental 3% Leased Parking 14% Terminal Non-Airline Rental 5% Advertising 1% On Airport Rental Car 27% Commerical Airport Fee 3% Taxi Access Fees 3% Customs 1% All Other Revenue 5% AIRPORT OPERATIONS & MAINTENANCE REVENUE 6/15/2023Page 4 of 8 CITY OF PALM SPRINGS Financial Summary Ending May 31, 2023 Fund 415 - Airport Operations & Maintenance FY 22-23 Budget FY 22-23 Actual FY 22-23 % Of Budget FY 21-22 Actual FY 20-22 vs FY 21-23 % Change FY 20-21 Actual FY 20-21 vs FY 21-23 % Change Operating Expenditures Airport Administration 6,296,049 4,517,293 72%3,489,406 77%2,866,056$ 58% Airport Information Technology 92,323 - 0%- Airport Law Enforcement 3,138,357 2,813,923 90%2,322,672 83%2,391,354 18% Aviation Security - - - Airside Operations 1,054,902 386,859 37%549,047 142%457,646 -15% Airport Rescue - Fire 4,237,176 3,232,824 76%2,922,370 90%3,233,181 0% Landside Operations 1,516,675 1,410,351 93%1,103,913 78%921,436 53% Grounds Maintenance 662,081 499,705 75%410,238 82%242,975 106% Terminal Building Operations 7,032,956 6,024,277 86%5,111,116 85%4,260,130 41% Passenger Boarding Bridges - 14,475 - 0%- Bagagge Handling System - 341,041 - 0%- Control Center Operations 4,285,199 3,183,380 74%3,134,627 98%2,920,331 9% U.S. Customs 276,484 275,785 100%365,986 133%196,183 41% Planning & Projects - - - - PERS Cost Recovery - - - - Budget Transfer Out 5,381,078 - 0%- - Total Operating Expenditures 33,880,957 22,792,236 67%19,409,374 72%17,489,291 11% Operating Revenues in Excess of Operating Expenditures 7,188,441 28,013,510 10,358,945 3,062,273 Airport Administration 20% Airport Law Enforcement 12% Airside Operations 2% Airport Rescue -Fire 14% Landside Operations 6% Grounds Maintenance 2% Terminal Building Operations 27% Passenger Boarding Bridges 0% Bagagge Handling System 2% Control Center Operations 14%U.S. Customs 1% Planning & Projects 0% AIRPORT OPERATIONS & MAINTENANCE EXPENDITURE Salaries & Benefits 55%Contractual Services 12% Utilities 6% Materials & Supplies 6% Insurance 3% Other City Services 15% Airline Incentive Program 3% AIRPORT OPERATIONS & MAINTENANCE EXPENDITURES BY CATEGORY 6/15/2023Page 5 of 8 CITY OF PALM SPRINGS Financial Summary Ending May 31, 2023 Fund 416 - Airport Capital Projects FY 22-23 Budget FY 22-23 Actual FY 22-23 % Of Budget FY 21-22 Actual FY 21-22 vs FY 21-23 % Change FY 20-21 Actual FY 20-21 vs FY 21-23 % Change Operating Revenue 12,038,000 2,824,100 23%13,989,244 495%14,515,035 -4% Operating Expenditures 12,038,000 4,365,246 36%11,234,348 257%14,682,470 -23% Net Balance - (1,541,146) 2,754,896 (167,434) -1745% (2,000,000) (1,500,000) (1,000,000) (500,000) - 500,000 1,000,000 1,500,000 2,000,000 2,500,000 3,000,000 2,754,896 (167,434) Fund 416 -Airport Capital Projects -Net Balance FY 22-23 Actual FY 21-22 Actual FY 20-21 Actual 6/15/2023Page 6 of 8 CITY OF PALM SPRINGS Financial Summary Ending May 31, 2023 CASH SUMMARY FY 22-23 Acutal FY 21-22 Actual FY 20-21 Actual Fund 405 37,436,340 28,098,934 25,105,181$ Fund 410 2,261,665 2,223,251 2,157,741 Fund 415 Unrestricted Sub-Total 32,375,466 7,516,583 7,577,972 Fund 416 5,547,265 6,161,378 6,488,230 37,436,340 2,261,665 32,375,466 5,547,265 28,098,934 2,223,251 7,516,583 6,161,378 $25,105,181 2,157,741 7,577,972 6,488,230 - 5,000,000 10,000,000 15,000,000 20,000,000 25,000,000 30,000,000 35,000,000 40,000,000 Fund 405 Fund 410 Fund 415 Unrestricted Sub- Total Fund 416 Cash by Fund FY 22-23 Acutal FY 21-22 Actual FY 20-21 Actual 6/15/2023Page 7 of 8 CITY OF PALM SPRINGS Financial Summary Ending May 31, 2023 Coronavirus Aid, Relief, and Economic Security Act (CARES) - Expires - May 10, 2024 Coronavirus Response and Relief Supplemental Appropriations (CRRSA)- Airport Operations Expires - April 14, 2025 Coronavirus Response and Relief Supplemental Appropriations (CRRSA)- Concessions Expires - May 31, 2025 American Rescue Plan Act of 2021 (ARPA) - Concession Expires - May 31, 2025 American Rescue Plan Act of 2021 (ARPA) - Airport Operations Expires - August 10, 2025 Bipartisan Infrastructure Law (BIL)* Expires - 2027 Beginning Balance 11,067,877 4,785,805 280,390 1,121,560 10,791,632 10,366,004 Use as of 5/31/23 11,067,877 -280,390 1,121,560 9,310,342 - Remaining Balance -4,785,805 --1,481,290 10,366,004 $11,067,877.0 $4,785,805.0 $280,390.0 $1,121,560.0 $10,791,632.0 $10,366,004.0 $0 $2,000,000 $4,000,000 $6,000,000 $8,000,000 $10,000,000 $12,000,000 Grants -Remaining Balance 6/15/2023Page 8 of 8 ITEM 10 .A / AC 0 6 -21-2 3 Page 1 | 6 ITEM 10.A - PAST CITY COUNCIL ACTIONS Airport Commission Meeting of June 21, 2023 City Council Meeting of May 11, 2023: 1. CONSENT CALENDAR: MOTION BY COUNCILMEMBER HOLSTEGE, SECOND BY MAYOR PRO TEM BERNSTEIN, CARRIED 5-0. SUBJECT FINDINGS TO CONDUCT CITY COUNCIL AND BOARD, COMMISSION, AND COMMITTEE MEETINGS VIRTUALLY UNDER ASSEMBLY BILL 361 RECOMMENDATION: 1. The City Council has reconsidered the circumstances of the state of emergency. Even though the State and local declared states of emergency have ended, community spread of COVID-19 continues to exist, and measures to reduce the spread, including physical distancing measures, continue to be necessary for the public, health, safety and welfare; and 2. State and local officials continue to recommend social distancing measures, which can impact the ability of the City and the public to meet safely in person; and 3. The City Council, and its subordinate bodies (Boards, Commissions, and Committees), shall be authorized to conduct public meetings in accordance with Government Code section 54953(e)(2) and other applicable provisions of the Brown Act for remote only or hybrid teleconference meetings. Attachments Item 1A The Palm Springs City Council and all of Palm Springs Board, Commission, and Committee meetings may be conducted by videoconference, in accordance with AB 361. SUBJECT AWARD OF A CONSTRUCTION CONTRACT TO CALTEC CORPORATION IN THE AMOUNT OF $1,805,000 FOR THE AIRPORT COMMON USE PODIUMS - BONO CONCOURSE, CITY PROJECT 21-28 RECOMMENDATION: 1. Approve the construction contract with CALTEC Corporation, a California corporation, in the amount of $1,805,000 for the Airport Common Use Podiums - Bono Concourse, City Project No. 21-28. 2. Authorize the City Manager or his designee to execute all necessary documents. 3. Appropriate $1,411,654 from Airport Special Capital Projects fund balance. ITEM 10 .A / AC 0 6 -21-2 3 Page 2 | 6 Attachments Item 1E SUBJECT APPROVE SERVICE AGREEMENT NO. 23B079 WITH WEST AVIATION SERVICES- SAN DIEGO DBA SIERRA AVIATION GROUP FOR BAGGAGE RELOCATION SERVICES RECOMMENDATION: 1. Approve Contract Services Agreement No. 23B079 with West Aviation Services-San Diego DBA Sierra Aviation Group for baggage relocation and wayfinding services in an amount not to exceed $2,000,000 for the initial three-year term beginning June 1, 2023, through May 31, 2026, with two one-year extension options at the City’s sole discretion. 2. Authorize the City Manager or his designee to execute all necessary documents. Attachments Item 1O City Council Meeting of May 25, 2023: 1. CONSENT CALENDAR: MOTION WAS NOT ANNOUNCED IN THE MEETING. FINDINGS TO CONDUCT CITY COUNCIL AND BOARD, COMMISSION, AND COMMITTEE MEETINGS VIRTUALLY UNDER ASSEMBLY BILL 361 RECOMMENDATION: 1. The City Council has reconsidered the circumstances of the state of emergency. Even though the State and local declared states of emergency have ended, community spread of COVID-19 continues to exist, and measures to reduce the spread, including physical distancing measures, continue to be necessary for the public, health, safety and welfare; and 2. State and local officials continue to recommend social distancing measures, which can impact the ability of the City and the public to meet safely in person; and 3. The City Council, and its subordinate bodies (Boards, Commissions, and Committees), shall be authorized to conduct public meetings in accordance with Government Code section 54953(e)(2) and other applicable provisions of the Brown Act for remote only or hybrid teleconference meetings. Attachments Item 1A ITEM 10 .A / AC 0 6 -21-2 3 Page 3 | 6 The Palm Springs City Council and all of Palm Springs Board, Commission, and Committee meetings may be conducted by videoconference, in accordance with AB 361. SUBJECT REAPPOINTMENTS TO VARIOUS BOARDS AND COMMISSIONS RECOMMENDATION: Re-appoint Gerald Adams, Todd Burke, and David Feltman to the Airport Commission effective immediately for a term ending June 30, 2025. Appoint Tracy Martin, Daniel Caldwell, and J. Craig Fong to the Airport Commission effective July 1, 2023, for a term ending June 30, 2026. Attachments Item 1C SUBJECT ADOPTION OF A RESOLUTION TO AMEND THE CONSUMER PRICE INDEX TO BE USED FOR ANNUAL INCREASES OF THE CITY’S COMPREHENSIVE FEE SCHEDULE, AND ADOPTION OF A RESOLUTION MODIFYING CERTAIN USER FEES, DEVELOPER FEES, AND CHARGES BY IMPLEMENTING A CONSUMER PRICE INDEX INCREASE AND ADOPTING THE COMPREHENSIVE FEE SCHEDULE FOR FISCAL YEAR 2023-2024 RECOMMENDATION: 1. Open the public hearing and receive public testimony. 2. Adopt a Resolution entitled, “A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA, SETTING A PUBLIC HEARING TO CONSIDER AMENDING THE CONSUMER PRICE INDEX TO BE USED FOR ANNUAL INCREASES OF THE CITY’S COMPREHENSIVE FEE SCHEDULE.” 3. Adopt a Resolution entitled, “A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA, MODIFYING CERTAIN USER FEES, DEVELOPER FEES, AND CHARGES BY IMPLEMENTING A CONSUMER PRICE INDEX INCREASE AND ADOPTING THE COMPREHENSIVE FEE SCHEDULE FOR FISCAL YEAR 2023-2024.” Attachments Item 2D Amended Staff Report ITEM 10 .A / AC 0 6 -21-2 3 Page 4 | 6 City Council Meeting of June 5, 2023: 1. CONSENT CALENDAR: MOTION BY MAYOR GARNER, SECOND BY MAYOR PRO TEM BERNSTEIN, CARRIED 5-0. FINDINGS TO CONDUCT CITY COUNCIL AND BOARD, COMMISSION, AND COMMITTEE MEETINGS VIRTUALLY UNDER ASSEMBLY BILL 361 RECOMMENDATION: 1. The City Council has reconsidered the circumstances of the state of emergency. Even though the State and local declared states of emergency have ended, community spread of COVID-19 continues to exist, and measures to reduce the spread, including physical distancing measures, continue to be necessary for the public, health, safety and welfare; and 2. State and local officials continue to recommend social distancing measures, which can impact the ability of the City and the public to meet safely in person; and 3. The City Council, and its subordinate bodies (Boards, Commissions, and Committees), shall be authorized to conduct public meetings in accordance with Government Code section 54953(e)(2) and other applicable provisions of the Brown Act for remote only or hybrid teleconference meetings. Attachments Item 1A The Palm Springs City Council and all of Palm Springs Board, Commission, and Committee meetings may be conducted by videoconference, in accordance with AB 361. SUBJECT ACCEPTANCE OF THREE FEDERALLY FUNDED GRANTS FOR THE AIRPORT MASTER PLAN/GIS STUDY, THE INBOUND BAGGAGE CLAIM SYSTEM AND THE OUTBOUND BAGGAGE HANDLING SYSTEM EXPANSION-DESIGN, FOR FUNDING OF THE PALM SPRINGS INTERNATIONAL AIRPORT PROJECTS RECOMMENDATION: 1. Approve acceptance of Federal Aviation Administration AIP Grant No. 3-06-0181- 067-2023 for Airport Master Plan/GIS Study in the amount of $2,108,584. 2. Approve acceptance of Federal Aviation Administration BIL-ATP Grant for Inbound Baggage Claim System in the amount of $5,700,000. 3. Approve acceptance of Transportation Security Administration OTA Grant for Outbound Baggage Handling System Expansion-Design in the amount of $1,388,995. 4. Authorize the City Manager or designee to execute all necessary grant documents. ITEM 10 .A / AC 0 6 -21-2 3 Page 5 | 6 Attachments Item 1C SUBJECT APPROVAL OF AMENDMENT NO. 6 TO THE AIRPORT CAR RENTAL CONCESSIONAIRE AGREEMENTS AND APPROVAL OF AMENDMENT NO. 7 FOR AVIS-BUDGET AT PALM SPRINGS INTERNATIONAL AIRPORT RECOMMENDATION: 1. Approve Amendment No. 6 and Avis-Budget Amendment No. 7 (Attachment A) to all Airport rental car concession agreements doing business as eight car rental agencies at PSP which include: Avis/Budget Car Rental, LLC (Amendment No. 7), The Hertz Corporation (Amendment No.6), Enterprise Rent-A-Car, LLC dba Alamo Rent a Car / National Car Rental (Amendment No. 6), Enterprise Rent-A- Car Company of Los Angeles (Amendment No. 6), DTG Operations, Inc. dba Dollar Rent a Car /Thrifty Car Rental (Amendment No. 6) 2. Authorize the City Manager or his designee to execute all necessary documents. Attachments Item 1D SUBJECT APPROVE CONSULTING SERVICES AGREEMENT NO. 23Q112 FOR THE DESIGN OF AN INLINE BAGGAGE HANDLING SYSTEM FOR THE PALM SPRINGS INTERNATIONAL AIRPORT RECOMMENDATION: 1. Approve Consulting Services Agreement No. 23Q112 (Attachment A) with AECOM Technical Services, Inc. to provide inline baggage handling system design services for the Airport for a three-year term in an amount not to exceed $3,174,638. 2. Authorize the City Manager or designee to execute all necessary documents. Attachments Item 1E ITEM 10 .A / AC 0 6 -21-2 3 Page 6 | 6 3. BUSINESS & LEGISLATIVE: SUBJECT UPDATE TO GENERAL FUND, CAPITAL, AND AIRPORT DRAFT BUDGET FOR FISCAL YEARS 2023-24 AND 2024-25 RECOMMENDATION: Provide direction to staff on any changes to the draft fiscal year 2023-24 and draft fiscal year 2024-25 budgets. Attachments Item 3A ITEM 10 .B / AC 0 6 -21-2 3 Page 1 | 1 ITEM 10.B - FUTURE CITY COUNCIL ACTIONS Airport Commission Meeting of June 21, 2023 June 29, 2023 • Gensler – Amendment No. 1 to agreement for on-call aviation consulting services & Task Order No. 3 for inbound baggage claim expansion design and construction administration services. • WGJ Enterprises Inc. dba PCI – Contract services agreement for aircraft gate parking restriping. • Push Media dba Gleeson Digital Strategies, Inc. – Amendment to agreement for Airport advertising and promotional services. • Appointments to Airport Commission Palm Springs International Airport MONTHLY PASSENGER ACTIVITY REPORT - 2023 2023 2022 % Change 2023 2022 % Change 2023 2022 % Change January 169,746 118,204 43.6%171,910 119,184 44.2%341,656 237,388 43.9% February 184,973 142,206 30.1%188,877 150,130 25.8%373,850 292,336 27.9% March 223,314 202,993 10.0%226,832 200,890 12.9%450,146 403,883 11.5% April 200,753 185,946 8.0%178,600 172,169 3.7%379,353 358,115 5.9% May 129,695 123,736 4.8%116,491 109,503 6.4%246,186 233,239 5.6% June 73,861 -100.0%68,663 -100.0%- 142,524 -100.0% July 68,071 -100.0%65,593 -100.0%- 133,664 -100.0% August 65,368 -100.0%64,584 -100.0%- 129,952 -100.0% September 79,599 -100.0%83,235 -100.0%- 162,834 -100.0% October 120,659 -100.0%126,798 -100.0%- 247,457 -100.0% November 160,129 -100.0%159,108 -100.0%- 319,237 -100.0% December 159,846 -100.0%161,369 -100.0%- 321,215 -100.0% Year to Date 908,481 1,500,618 17.5%882,710 1,481,226 17.4%1,791,191 2,981,844 17.5% Enplaned Deplaned Total Passengers ITEM 11.A Page 1 of 4 Palm Springs International Airport Best Month Comparison ENPLANEMENTS 2019 2020 2021 2022 2023 Vs Best Mo Jan 140,896 136,157 39,614 118,204 169,746 20.5% Feb 156,486 156,909 57,530 142,206 184,973 17.9% Mar 201,350 113,166 107,577 202,993 223,314 10.0% Apr 160,452 5,811 111,376 185,946 200,753 8.0% May 99,027 10,751 92,820 123,736 129,695 4.8% Jun 55,385 14,827 66,885 73,861 -100.0% Jul 49,864 17,231 65,869 68,071 -100.0% Aug 48,112 18,389 58,793 65,368 -100.0% Sep 52,283 23,087 65,682 79,599 -100.0% Oct 84,627 41,597 108,923 120,659 -100.0% Nov 117,794 52,874 135,677 160,129 -100.0% Dec 121,198 41,517 136,897 159,846 -100.0% TOTAL 1,287,474 632,316 1,047,643 1,500,618 908,481 % Chg.10.58%-50.89%65.68%43.24% TOTAL PASSENGERS 2019 2020 2021 2022 2023 Vs Best Mo Jan 280,738 276,099 79,082 237,388 341,656 21.7% Feb 317,535 320,906 120,657 292,336 373,850 16.5% Mar 401,972 198,850 214,477 403,883 450,146 11.5% Apr 304,855 10,082 215,777 358,115 379,353 5.9% May 190,756 19,154 174,535 233,239 246,186 5.6% Jun 105,350 28,748 129,872 142,524 -100.0% Jul 97,834 33,776 129,463 133,664 -100.0% Aug 97,941 36,482 117,952 129,952 -100.0% Sep 106,211 47,915 136,666 162,834 -100.0% Oct 177,363 88,777 225,991 247,457 -100.0% Nov 235,656 108,043 271,944 319,237 -100.0% Dec 247,744 83,262 276,527 321,215 -100.0% TOTAL 2,563,955 1,252,094 2,092,943 2,981,844 1,791,191 % Chg.10.18%-51.17%67.16%42.47% Page 2 of 4 Palm Springs International Airport ACTIVITY BY AIRLINE MAY 2023 (E & D) AIRLINES 2023 2022 % Change 2023 2022 % Change 2023 2022 % Change Market Share Air Canada - - 0.0%- - 0.0%- - 0.0%0.0% Alaska 25,260 31,467 -19.7%20,932 26,878 -22.1%46,192 58,345 -20.8%18.8% American 20,464 16,490 24.1%19,319 15,329 26.0%39,783 31,819 25.0%16.2% Avelo 988 - 100.0%906 - 100.0%1,894 - 100.0%0.8% Delta Air 3,559 1,108 221.2%2,804 692 305.2%6,363 1,800 253.5%2.6% Mesa (AA)- - 0.0%- - 0.0%- - 0.0%0.0% SkyWest (Delta Connection)4,794 6,148 -22.0%4,511 5,500 -18.0%9,305 11,648 -20.1%3.8% SkyWest (United Express)9,668 8,439 14.6%7,914 7,113 11.3%17,582 15,552 13.1%7.1% SkyWest (AA)2,042 3,013 -32.2%1,789 2,956 -39.5%3,831 5,969 -35.8%1.6% Southwest Air 34,529 24,710 39.7%34,324 23,036 49.0%68,853 47,746 44.2%28.0% United 14,351 16,906 -15.1%12,599 14,966 -15.8%26,950 31,872 -15.4%10.9% WestJet 10,750 8,209 31.0%8,797 6,619 32.9%19,547 14,828 31.8%7.9% Allegiant Air 883 1,499 -41.1%618 1,231 -49.8%1,501 2,730 -45.0%0.6% ExpressJet - 311 -100.0%- 258 -100.0%- 569 -100.0%0.0% Flair - - 0.0%- - 0.0%- - 0.0%0.0% JetBlue 476 2,463 -80.7%321 2,257 -85.8%797 4,720 -83.1%0.3% MN Airlines (Sun Country)1,931 2,577 -25.1%1,657 2,267 -26.9%3,588 4,844 -25.9%1.5% Swoop Air - 396 -100.0%- 401 -100.0%- 797 100.0%0.0% Charters - - 0.0%- - 0.0%- - 0.0%0.0% TOTAL 129,695 123,736 4.8%116,491 109,503 6.4%246,186 233,239 5.6%100.0% Enplaned Deplaned Total Page 3 of 4 Palm Springs International Airport AIRCRAFT OPERATIONS 2023 2023 2022 vs. Prior 2023 ITINERANT AC AT GA MI AC & AT TOTAL TOTAL CHANGE GA/CIVIL % Jan 3,547 1,119 1,433 145 4,666 6,244 6,152 1.5%23.0% Feb 3,468 1,204 1,638 72 4,672 6,382 6,019 6.0%25.7% Mar 3,913 1,466 2,076 141 5,379 7,596 7,192 5.6%27.3% Apr 3,498 1,384 2,038 81 4,882 7,001 6,804 2.9%29.1% May 2,363 869 1,549 110 3,232 4,891 4,692 4.2%31.7% Jun - - 3,005 #DIV/0! Jul - - 2,806 #DIV/0! Aug - - 2,853 #DIV/0! Sep - - 3,246 #DIV/0! Oct - - 4,134 #DIV/0! Nov - - 5,984 #DIV/0! Dec - - 5,869 #DIV/0! TOTAL 16,789 6,042 8,734 549 22,831 32,114 58,756 4.1%27.2% 2023 2022 vs. Prior Yr.2023 LOCAL CIVIL MI TOTAL TOTAL TOTAL CHANGE GA/CIVIL % Jan 233 10 243 6,487 6,594 -1.6%25.7% Feb 232 5 237 6,619 6,263 5.7%28.3% Mar 603 6 609 8,205 7,431 10.4%32.7% Apr 286 4 290 7,291 7,023 3.8%31.9% May 398 - 398 5,289 5,114 3.4%36.8% Jun - - 3,097 #DIV/0! Jul - - 2,906 #DIV/0! Aug - - 3,133 #DIV/0! Sep - - 3,434 #DIV/0! Oct - - 4,259 #DIV/0! Nov - - 6,174 #DIV/0! Dec - - 6,215 #DIV/0! TOTAL 1,752 25 1,777 33,891 61,643 4.5%30.9% https://aspm.faa.gov/aspmhelp/index/OPSNET_Reports__Definitions_of_Variables.html 2023 2023 Page 4 of 4 Palm Springs International Airport PASSENGER ACTIVITY REPORT - FISCAL YEAR COMPARISON FY '22-'23 % CHANGE FY '21-'22 % CHANGE FY '20-'21 % CHANGE FY '19-'20 FY '22-'23 % CHANGE FY '21-'22 % CHANGE FY '20-'21 % CHANGE FY '19-'20 FY '22-'23 % CHANGE FY '21-'22 % CHANGE FY '20-'21 % CHANGE FY '19-'20 July 68,071 3%65,869 282%17,231 -65%49,864 65,593 3%63,594 284%16,545 -66%47,970 133,664 3%129,463 283%33,776 -65%97,834 August 65,368 11%58,793 220%18,389 -62%48,112 64,584 9%59,159 227%18,093 -64%49,829 129,952 10%117,952 223%36,482 -63%97,941 September 79,599 21%65,682 184%23,087 -56%52,283 83,235 17%70,984 186%24,828 -54%53,928 162,834 19%136,666 185%47,915 -55%106,211 October 120,659 11%108,923 162%41,597 -51%84,627 126,798 8%117,068 148%47,180 -49%92,736 247,457 9%225,991 155%88,777 -50%177,363 November 160,129 18%135,677 157%52,874 -55%117,794 159,108 17%136,267 147%55,169 -53%117,862 319,237 17%271,944 152%108,043 -54%235,656 December 159,846 17%136,897 230%41,517 -66%121,198 161,369 16%139,630 234%41,745 -67%126,546 321,215 16%276,527 232%83,262 -66%247,744 January 169,746 44%118,204 198%39,614 -71%136,157 171,910 44%119,184 202%39,468 -72%139,942 341,656 44%237,388 200%79,082 -71%276,099 February 184,973 30%142,206 147%57,530 -63%156,909 188,877 26%150,130 138%63,127 -62%163,997 373,850 28%292,336 142%120,657 -62%320,906 March 223,314 10%202,993 89%107,577 -5%113,166 226,832 13%200,890 88%106,900 25%85,684 450,146 11%403,883 88%214,477 8%198,850 April 200,753 8%185,946 67%111,376 1817%5,811 178,600 4%172,169 65%104,401 2344%4,271 379,353 6%358,115 66%215,777 2040%10,082 May 129,695 5%123,736 33%92,820 763%10,751 116,491 6%109,503 34%81,715 872%8,403 246,186 6%233,239 34%174,535 811%19,154 June -100%73,861 10%66,885 351%14,827 -100%68,663 9%62,987 352%13,921 - -100%142,524 10%129,872 352%28,748 YTD 1,562,153 10%1,418,787 112%670,497 -26%911,499 1,543,397 10%1,407,241 113%662,158 -27%905,089 3,105,550 10%2,826,028 112%1,332,655 -27%1,816,588 ENPLANED PASSENGERS DEPLANED PASSENGERS TOTAL PASSENGERS ITEM 11.B ITEM 12 .A / AC 0 6 -21-2 3 Page 1 | 1 ITEM 12.A - FUTURE COMMITTEE MEETINGS Airport Commission Meeting of June 21, 2023 Date Time Committee June 27, 2023 TBD Operations, Properties and Facilities July 19, 2023 4:00 P.M. Noise Committee October 18, 2023 4:00 P.M. Noise Committee TBD TBD Budget and Finance Committee TBD TBD Ad Hoc Design Review Committee TBD TBD Marketing and Business Development Committee