Last Published: 12/5/2006 10:10:25 AM
KANSAS CITY COUNCIL RECORD
 
Upon Roll Call the following members were present:
Present:3 - TERESA LOAR, JIM ROWLAND, TERRY RILEY
Excused:1 - EVERT ASJES
 

001600
Authorizing a Lease with Vanguard Airlines, Inc., at Kansas City International Airport for a facility located at 533 Mexico City Avenue.


AVIATION COMMITTEE recommends "ADVANCE AND DO PASS"
Russ Widmar, Director, Aviation, spoke in favor of this ordinance. He stated that the lease could be expanded for two additional five-year terms when improvements to the terminal are complete. Mr. Widmar also stated that Vanguard must lease the entire old TWA training facility. Mr. Widmar presented members of the lease negotiations team.
Ayes: 3 - Loar, Rowland, Riley
Nays: 0

001617
(Sub.)
Authorizing a three year Lease Agreement with a 25 year extension with Trans World Airlines, Inc., for Project No. C000353 - Aircraft Maintenance Operation Center Lease at Kansas City International Airport.


AVIATION COMMITTEE recommends "ADVANCE AND DO PASS AS A COMMITTEE SUBSTITUTE"
Russ Widmar, Director, Aviation, spoke in favor of this ordinance. He re-introduced members of the lease negotiations team. Mr. Widmar explained the terms of the bonds that had be sold and what the city's revenue would be if the bonds were sold. Councilmember Rowland asked how far behind TWA was on their current lease payments and questioned how smart it was that we were signing a new lease when they were in default of their current lease. Mr. Widmar stated that TWA has shown good faith efforts to catch up the payments. Councilmember Loar asked if there was a market for these bonds and if the city would be left holding the bag if the bonds could not be sold. Mr. Widmar stated that an attempt was being made to bring other business into the base and that a large initial investment combined with the bond proceeds would make this happen. Mr. Widmar also stated that local hiring was the goal for as many positions as possible. Councilmember Rowland wanted an update to confirm if the payments for December had been made on time. Councilmember Riley agreed with Councilmember Rowland regarding the signing of a new lease when the previous lease was in arrears. Mr. Widmar answered that doing so, allowed for more flexibility and that staff should take the lead in determining if this is the right thing to do.
Ayes: 3 - Loar, Rowland, Riley
Nays: 0
 
 Review of Terminal Improvement Project October 2000 Program Management Report.