HomeMy WebLinkAbout10/4/2000 - STAFF REPORTS (24) DATE: October 4, 2000
TO: City Council
FROM: Deputy Director of Aviation via Assistant Director of Aviation
BAGGAGE CONVEYOR SYSTEM COMPONENTS PURCHASE AND INSTALLATION
RECOMMENDATION:
That the City Council approve purchase and installation of baggage conveyor
system components in the new ticket wing with Airline Baggage Handling, Inc.,
(ABHI) in an amount not to exceed $135,000.00
BACKGROUND:
Airport staff has recently been in negotiation with two new airline entrants as a result of
continued efforts for air service development. One entrant,America West Airlines, has
agreed to become a signatory carrier and has opted to lease the last remaining airline
ticketing office (ATO) in the old ticketing wing as their exclusive use area. The other
entrant, Continental Airlines, has thus been put into a situation that requires the use of
the airport's new ticket wing. This location does not have a baggage conveyor system.
Staff and Continental Airlines have attempted to arrange a space sub-lease with
several of the existing signatory carriers, as they did the year before. To date, these
efforts have been unsuccessful. Continental Airlines is scheduled to begin service at
PSP December 14,2000, However,Continental Airlines has major concerns about not
having a baggage conveyor system to take baggage from its customer at the new
ticket counter to baggagr loading area. This presents a timing issue in that the
installation of the baggage system must be completed in 77 days.
Airport staff recognizes Continental Airlines concern over the baggage conveyor
system, and in fact, the Airport would need to have the system in place for any carrier
looking to come into the market. Additionally, staff does not want the lack of a
baggage system to cause additional concern, due to the marginal load factors of the
Continental Airline's Houston flight.
Currently, Airport staff is in the process of completing the approved assignment of
property at Airport Park Plaza. As you will recall, one of the provisions of the deal
points was an exchange offer in the amount of $275,000 for proposed lease term
amendments. Staff is recommending that the cost of the baggage system be offset by
these funds.
In 1999 a nationwide request for proposal was developed for a baggage conveyor
system expansion in the Airport's baggage claim area. The Request for Proposal set
a minimum linear footage of claim devices and afforded proposers the opportunity to
design a layout for the expanded claim devices.
The proposals were evaluated by an evaluation committee. Input on the proposals
was also received from the airlines via the airline technical committee which consists of
& I
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BAGGAGE CONVEYOR SYSTEM COMPONENTS PURCHASE AND INSTALLATION
airline corporate representatives with experience in baggage claim issues at many
airports.
After establishing the ranking based on aggregate scores, ABHI scored the highest.
All the references were very favorable with regard to quality of installation work and
knowledge of baggage conveyor system designs. From this process, ABHI was
selected as the firm having submitted the best design and most cost effective solution
to the Airport's baggage conveyor system requirements. ABHI designed and installed
the baggage claim conveyor system expansion necessary to support the increased
capacity required to bring the new terminal building on line. That work, which was
authorized by City Council May 5, 1999 (MO 6407), was completed in January 2000,
on time and below the "not-to-exceed" amount.
In order to effectively promote air service at Palm Springs International Airport, the
proper facilities and equipment must be in place to attract the right Airline service. With
this said, staff is recommending we move forward with the purchase and installation
additional baggage conveyor system components in the Ticket Wing Expansion to
accommodate air service development.
It is requested that the City Council consider this as an Added Starter because
negotiations between airport staff,Continental Airlines and existing airline carriers have
not resulted in Airline Ticketing Office space sub-lease to accommodate Continental
Airlines as of this date, and we need to move forward to provide a baggage conveyor
belt as quickly as possible.
RICHARD STRICKLAND �_BAR�Y GjIFFITH'
Deputy Director of Aviation -Administration A,, nt Director of Aviation
Airport Operations
Jr U
HAROLD E. GOOD, CPPO
Procurement Manager
APPROVED:
City
,fflartager
Attachments: (1) Minute Order
MINUTE ORDER NO.
APPROVING PURCHASE AND INSTALLATION
OF BAGGAGE CONVEYOR SYSTEM
COMPONENTS IN THE NEW TICKET WING WITH
AIRLINE BAGGAGE HANDLING, INC. (ABHI) IN
AN AMOUNT NOT TO EXCEED$135,000.00.
I HEREBY CERTIFY THAT this Minute Order approving purchase and installation of baggage conveyor
system components in the new ticket wing with Airline Baggage Handling,Inc.,(ABHI), in an amount not
to exceed$135,000.00,was adopted by the City Council of the City of Pahn Springs,California,in a meeting
thereof on the 4th day of October,2000.
PATRICIA A. SANDERS
City Clerk