The City of Chico REQUEST FOR PROPOSAL FOR THE MANAGEMENT, OPERATION, DEVELOPMENT AND MAINTENANCE OF THE CHICO MUNICIPAL AIRPORT

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1 The City of Chico REQUEST FOR PROPOSAL FOR THE MANAGEMENT, OPERATION, DEVELOPMENT AND MAINTENANCE OF THE CHICO MUNICIPAL AIRPORT RFP Issued: January 5, 2015 Proposal Due: February 6, 2015 No Later Than 5:00 pm Pacific Time

2 CITY OF CHICO REQUEST FOR PROPOSAL FOR THE MANAGEMENT, OPERATION, DEVELOPMENT AND MAINTENANCE OF THE CHICO MUNICIPAL AIRPORT INTRODUCTION The Chico Municipal Airport (CIC or Airport) is located in the City of Chico, Butte County, California (City). The City has a population of approximately 88,077 with an urban area population of approximately 100,000 and a county population of approximately 222,090. The City is located in the northern California region of the Sacramento Valley, approximately 90 miles north of Sacramento. Chico is the most populous of the five incorporated cities in the county and is home to approximately 40% of the county s population. California State University, Chico is an important economic stimulus to the area with an enrollment of 14,563 students. The Airport was first constructed in 1943 under defense programs and returned to the City in It is located in the northeastern corner of the City and consists of approximately 1,475 acres of City-owned property with two active runways. CIC is a Part 139 Certificated airport. Airfield Runways There are two parallel runways at the Chico Municipal Airport. The main runway, runway 13L- 31R, is the instrument runway and has VOR, DME, GPS and ILS approach capabilities, a localizer, glide slope, and MALSR approach lights. The main runway is 150 feet wide by 6,724 feet long and is paved with asphaltic concrete pavement. The Runway Protection Zones are 1,000 feet by 1,750 feet and 2,500 feet long. Runway 13R-31L is the visual general aviation runway and referred to as the short runway. It is located to the west of the main runway. The short runway is 60 feet wide by 3,000 feet long. The Runway Protection Zone for this runway is 250 feet by 450 feet and 1,000 feet long. This runway consists of an overlay over an asphaltic concrete mat that was constructed during World War II by the U.S. Army Air Corps. Taxiways A series of taxiways exist which adequately serve both runways. Taxiway A is a 75-foot wide asphalt-paved taxiway located 400 feet east of Runway 13L-31R. This taxiway is parallel to the runway 13L-31R. There are cross taxiways throughout the length of the runway. These cross taxiways extend from Runway 13L-31R through Taxiway A to the aircraft parking apron. The width of the cross taxiways that serve the larger aircraft is 75 feet. The width of the other cross taxiways ranges from 30 to 50 feet. There also exist one 30-foot and two 50-foot wide cross taxiways connecting Page 2 of 13

3 Runway 13L-31R to Runway 13R-31L. All taxiways are paved with asphaltic concrete pavement. Taxi Lane A taxi lane has been established on the westerly edge of the aircraft parking apron. This taxi lane is designated as 75 feet in width. Half of the taxi lane has been reconstructed with new asphaltic concrete with the other half consisting of old concrete. Aprons A large apron exists on the east side of the Airport. Half of this apron has been reconstructed with new asphaltic concrete with the other half being Portland cement concrete pavement that was constructed by the U.S. Army Air Corps during World War II. The total apron is 600 feet wide by 3,920 feet long. The westerly 75 feet of this apron is designated as taxi lane. Tee Hangers There are currently 104 privately owned tee hangars at the Airport with space available for the construction of new hangar facilities. Air Traffic Control Tower An FAA contract Air Traffic Control Tower is located on the easterly edge of the aircraft parking apron just south of the airport terminal building. The Airport s Air Traffic Control Tower is operated by Serco under a contract with FAA and is staffed seven days a week from 0700 hours to 1900 hours. CIC experienced approximately 45,855 aircraft operations in calendar year Airport Terminal Building The airport terminal building is located on the easterly edge and near the middle of the aircraft parking apron at about mid length. A moderately sized conference room is located in this building. Fixed Base Operators One fixed base operator (FBO), Northgate Aviation, is located in an existing airport-owned hangar located on the east side of the aircraft parking apron. Air Cargo Air cargo is currently handled by four carriers. The cargo aircraft currently used are Cessna 208, Cessna 402, Piper PA32 and Beech 99. These cargo aircraft operate from the aircraft parking apron. Page 3 of 13

4 California Department of Forestry and Fire Protection (CAL FIRE) The California Department of Forestry and Fire Protection (CAL FIRE), Chico Air Attack Base, operates from the northern portion of the aircraft parking apron. The current aircraft utilized by CAL FIRE are P2V/SP2H, S2, P-2, DC-7, C130, OV-10, Bronco, MD-87 and BAE-146. ARFF Airport Rescue and Fire Fighting (ARFF) services are provided by the City of Chico Fire Department at the Index A level. The fire station is located at the southeastern corner of the aircraft parking apron. Commercial Air Service Until recently, commercial air service was provided to/from San Francisco by SkyWest Airlines in partnership with United Airlines with three flights per day. Commercial air service ceased on December 2, The City has received numerous inquiries from other air service providers to explore the possibility of re-establishing commercial air service. Current City Staffing The City utilizes an airport maintenance field supervisor and fire department staff to perform daily airport operations activities such as the daily self-inspections. Airport management is currently performed as a collateral duty by a public works facilities manager and a management analyst. Roads and Access The primary access to the Airport from both the City and from U.S. Highway 99 is Cohasset Road. Cohasset Road can also be accessed from U.S. Highway 99 via Eaton Road which intersects with Cohasset Road immediately south of the Airport. From Cohasset Road the Airport can be accessed via Boeing Avenue, Airpark Boulevard, and Ryan Avenue. Airpark Boulevard leads directly to the airport terminal building. There is a major commercial/industrial development on the east side of the Airport. Hicks Lane provides access to the property on the west side of the Airport. Commercial/Industrial Development The property to the east side of the Airport, between Fortress Street and Cohasset Road, is privately owned and has been developed as a commercial/industrial area commonly known as the Airport Industrial Park. Page 4 of 13

5 Airport Commission The City of Chico is a charter City. Section 1007 of the Chico City Charter establishes an Airport Commission with the powers and duties to: Operate and maintain the airport and airport properties and to adopt such rules and regulations as may be necessary to govern the use of such airport and airport properties; Enter into leases and contracts in connection with the operation of the airport and airport properties belonging to or under the control of the city; provided, however, that any lease in excess of 15 years or any contract which encumbers city funds shall first require prior approval of the City council; and Confirm the appointment of the airport manager made by the city manager. (Note: The Airport Commission s duty to confirm the appointment of the airport manager was repealed by Ordinance 2344, Section 7.) REQUEST FOR PROPOSAL (RFP) The City of Chico invites qualified firms and individuals to submit proposals to perform the professional services required to manage, operate, develop and maintain the Chico Municipal Airport and related airport properties. If selected, the successful Respondent will exclusively negotiate with the City of Chico for a sufficient period, currently expected to be days, to determine specific terms and provisions of an agreement that will include all or part of the services necessary to provide professional management and operation of airside and landside facilities at the Airport. City Resources Available for Respondent The City will provide facilities for the successful Respondent to operate from as well as the ability to utilize existing City resources. The City intends to assign one paid City staff person, the Airport Field Supervisor, to the Airport to assist the successful Respondent with the daily operations and maintenance of the Airport Proposal Proposals shall be concise, containing no more than thirty (30) double-sided pages of material. Please note that a Cover letter, Table of Contents, completed Company Information Sheets (attached hereto as Exhibit A), completed Subcontractor Information Sheets (attached hereto as Exhibit B), Relationship Disclosure (attached hereto as Exhibit C), Resumes and Facility Renderings will not be considered part of the thirty (30) pages. Proposals should provide sufficient information to fully describe the scope of services to be provided in any proposed contractual arrangement with the City. Utilizing the cover letter or the entire proposal will not suffice as a scope of services under the contract. Applicants are expected to provide a detailed description of those tasks which the Airport Manager would conduct as the scope of services. Proposals are to include the Respondent s estimated cost for the provision of Page 5 of 13

6 services necessary to operate the Airport and proposed terms of an agreement with the City, including the contract period required to amortize start-up and mobilization costs and other terms as may be necessary or unique to the proposed Scope of Services. The proposed terms will be utilized in negotiation of a contract between the City and the successful Respondent. This RFP does not commit the City to award a contract or contracts, to defray any costs incurred in the preparation of a response to this RFP, or to procure or contract for services. The City reserves the right to cancel, in part or in its entirety, this RFP, including but not limited to: selection schedule, submittal date and submittal requirements. If the City cancels or revises the RFP, all Respondents of record will be notified in writing by the City. If mail delivery is used, it is advised that the proposal be mailed early enough to ensure arrival by the deadline. Use of the U.S. Postal Service or courier service will be at Respondent s own risk. The City will not be liable or responsible for any late delivery of proposals. The City reserves the right to request additional information and/or clarification from any or all Respondents to this RFP. These requests will be made in writing by the City. All submitted Proposals and proposal documents are subject to the provisions of the Government Code Section 6250, et seq., commonly known as the California Public Records Act. All Proposals and related documents are to become the property of the City and will become a public record. SCOPE OF SERVICES The City desires to obtain comprehensive proposals from Respondents to manage, operate, develop and maintain the Airport. Utilizing the cover letter or the entire proposal will not suffice as a description of the scope of services, Respondents are expected to provide a detailed description of those tasks which the Airport Manager would conduct as the scope of services. Each Respondent should include at a minimum the basic services listed below as well as any other additional services that Respondent believes will enhance the management, operation, development and maintenance of the Airport, and a description of Respondent s plan to achieve all such services. Basic Services In coordination with City, manage, operate, develop and maintain the Airport and associated aviation activities and facilities. Although specific services, and the manner in which those services may be provided, will be determined through negotiations, the City requests each Respondent respond with services which would typically include, but are not limited to: Maintain and operate the day-to-day activities of the Airport safely, efficiently and in accordance with all federal, state and local requirements. This may include coordination with and supervision of City employees and fire department personnel. Page 6 of 13

7 Preparation of the Airport budget and management of the Airport's expenses and revenue generating operations with the goal of building a profitable business enterprise and eliminating the Airport s reliance on City General Fund subsidies, for review by City Administration staff. Preparation of the annual Airport Capital Improvement Program (ACIP) and assist in the management of Airport Improvement Program (AIP) capital projects, for review by City Administration staff. Provide sufficient trained personnel for the performance of the duties and responsibilities necessary to ensure compliance with FAA (14 CFR Part 139), TSA (49 CFR Part 1542), California Department of Transportation, and local regulations, to meet the needs of the tenants and flying public, and to provide emergency and/or off-hour personnel availability. Enforce all applicable FAA, TSA and Airport rules and regulations to include acting as the Airport Security Coordinator and maintaining the Airport's certification, emergency, and security manuals, and maintaining and implementing the Airport Wildlife Hazard Management Plan. Develop, manage, and oversee all lease agreements, operating agreements and service contracts of City-owned airport resources. Direct air service development efforts to attract and expand commercial air service. (Note: This task is a very high priority for the City and should be discussed thoroughly by Respondent as to how this will be achieved.) Market the Airport to potential tenants, aviation groups, and the general public (Note: This task is a very high priority for the City and should be discussed thoroughly by Respondent as to how this will be achieved.) Provide staff support to the Airport Commission at its quarterly meetings and prepare and present reports, as necessary, to the City Council. Additional Services In coordination with City, the Respondent may propose additional services to further manage, operate, develop and maintain the Airport and associated aviation activities and facilities. Each Respondent can propose services based on the needs of the Airport and the capability of the responding firm or individual(s). Page 7 of 13

8 MIMINUM QUALIFICATIONS Respondent must demonstrate a minimum of five (5) years of continuous and comprehensive experience in the management and operation of a commercial airport in compliance with all applicable federal, state and local regulations. The Airport is a business that must be run as an enterprise with customer service and profitability in mind. Respondent must be able to demonstrate business acumen in the areas of airport revenue and expenditure projections, budgeting and the ability to identify and reach business objectives. A firm will be considered in compliance with these requirements by demonstrating that one or more of its principals has the requisite experience. SUBMITTAL Proposals must include the following: Cover Letter Summarizing the Proposal and key aspects of the services to be provided as well as Respondent's relevant history in the aviation industry. The letter must be signed by an individual having the legal authority to negotiate and sign contracts on behalf of the Respondent and identify the individual designated as the primary point of contact. Management Capacity, Qualifications and Experience Identify the individual or individuals that would be actively engaged in the management and operations of the Airport. Include a description of their credentials, business acumen, familiarity with airport operations and experience in managing airport enterprises. Specifically describe recent, within the past five (5) years, experience with an emphasis on experience at airports of a similar size and with similar regulatory requirements. Resumes may also be included as an attachment to the Proposal. Familiarity with Chico Municipal Airport Describe the Airport s current challenges and the steps Respondent would propose to resolve or mitigate the issues. Conceptual Plan and Approach Describe the specific services Respondent anticipates providing, approach to staffing, training, coverage and work shifts, the partnership with the City and its key staff in policy decisions and implementation, approach to customer service and relations with existing tenants and contractors and any other information Respondent deems relevant to the services to be provided. Scope of Services Address each basic service with details regarding Respondent s capability. List other additional services and Respondent s capabilities related to those additional services. Draft Cost Proposal With the understanding that the successful Respondent and City will enter into good faith negotiations to finalize mutually acceptable compensation, services and other provisions to be incorporated into a Professional Services Agreement, Page 8 of 13

9 Respondents are requested to submit a draft cost proposal that has one or all of the following components: a. The anticipated compensation expected for each of the basic or additional services as proposed; b. A base management fee of a fixed annual amount detailing what services will be provided for that base fee; and/or c. An incentive fee based on specified financial metrics or performance objectives and what services will be provided for that incentive fee. References Include the name, address, phone number and address of at least three references who are willing to provide information as to Respondent s experience and performance within the last five (5) years related to airport management. Include a brief description of the airport management services that were provided either as a direct employee or under a similar airport management contract. SUBMISSION REQUIREMENTS AND COMMUNICATIONS Respondents shall submit their Proposal in a sealed envelope bearing the name and address of the Respondent and clearly marked Professional Airport Management Services on the outside of the envelope. Proposals must be submitted no later than 5:00 p.m. local time on Friday, February 6, 2015, to the address set forth below: Mail: City of Chico City Manager's Office Attn: Debbie Collins, Management Analyst P.O. Box 3420 Chico, CA Hand Delivery: 411 Main Street, 3rd Floor Chico, CA Proposals received after this date and time will not be considered. Facsimile and electronic submittals will not be accepted. Questions regarding this RFP should be directed to Management Analyst Debbie Collins at debbie.collins@chicoca.gov or (530) The City reserves the right, in its sole discretion, to reject any Proposal which fails to meet the requirements outlined in this RFP in any respect, to reject all Proposals for any reason whatsoever and to waive minor irregularities in any Proposal. Respondent is solely responsible for all costs incurred responding to this RFP. Page 9 of 13

10 SELECTION PROCESS A selection committee will evaluate submittals based on the following evaluation criteria. 1. Overall qualifications and experience in the field of airport management, demonstrated success in the running and managing of airport business operations, meeting revenue projections, accomplishing business objectives, and a demonstrated capacity to provide airport management and operations services. 2. Familiarity with the Chico Municipal Airport and its particular strengths and challenges. 3. The detail of the conceptual plan and approach. Evidence of an understanding of the scope of services being requested, and a demonstrated capacity and capability to provide the services. 4. The detail of the scope of services. Detailed description of Respondent s capability to provide the services. 5. The detail of the draft cost proposal. 6. Nature of responses from references. Criteria for Respondent Selection: Primary regard will be given to the technical competence and ability of the Respondent as demonstrated in the Proposal and by successful prior experience with similar assignments. The draft cost proposals will be a consideration in Respondent selection but is not the sole criterion for Agreement award. The Respondent's willingness and ability to coordinate with City staff as well as the overall quality and thoroughness of the Proposal will be considered. The City will also consider the availability and on-going workload of the Respondent and proposed staff. Following review of the Proposals, Respondents will be ranked, and one or more Respondent may be asked to participate in an interview. Whether or not interviews are conducted the successful Respondent will enter into good faith negotiations with the City to determine mutually acceptable compensation, services and other provisions to be incorporated into a Professional Services Agreement. All Respondents will be notified in writing of the outcome of the selection process. Limitations: All reports and pertinent data or materials shall become the property of the City. This RFP does not commit the City to award an Agreement, to pay any costs incurred in the preparation of the Proposal, or to procure or contract for any services. The City reserves the right to accept or reject any or all Proposals received as a result of this request, to negotiate with any qualified Respondent, or to cancel in part or in its entirety this RFP, if it is in the best interest of the City to do so. Page 10 of 13

11 EXHIBIT A COMPANY INFORMATION SHEET Legal Name of Company: Corporate Address: Corporate Address: Telephone: Fax: Type of Business (Check one): [ ] Corporation [ ] Limited Liability Company [ ] Partnership [ ] Joint Venture [ ] Individual [ ] Other [ ] Individual doing business under a Firm Name State/County of Incorporation or Formation: PRINCIPALS/OFFICERS OF COMPANY (List all Principals and Officers, including Joint Venture Partners, in addition to investors/investment companies; principals and officers include any listed as such or who have greater than 5% interest in the company/venture/partnership) Name _ Title IDENTIFICATION OF PRINCIPALS/OFFICERS/REPRESENTATIVES OF THE COMPANY AUTHORIZED TO EXECUTE PROPOSALS AND RELATED DOCUMENTS: The Company has authorized and does hereby designate the following individuals to execute proposals and related documents on Respondent s behalf. Type or Print Name Type or Print Name Title Title NOTE: City may request documents to substantiate information provided on this form. This may include requesting copies of Articles of Incorporation or other relevant documents. Respondent must provide documents upon request. Failure to comply may result in disqualification from the selection process. Page 11 of 13

12 EXHIBIT B SUBCONTRACTOR INFORMATION SHEET Legal Name of Subcontractor: Corporate Address: Corporate Address: Telephone: Fax: Type of Work to be performed by Subcontractor: Type of Business (Check one): [ ] Corporation [ ] Limited Liability Company [ ] Partnership [ ] Joint Venture [ ] Individual [ ] Other [ ] Individual doing business under a Firm Name State/County of Incorporation or Formation: PRINCIPALS/OFFICERS OF SUBCONTRACTOR (List all Principals and Officers, including Joint Venture Partners, in addition to investors/investment companies; principals and officers include any listed as such or who have greater than 5% interest in the subcontractor company/venture/partnership) Name _ Title NOTE: City may request documents to substantiate information provided on this form. This may include requesting copies of Articles of Incorporation or other relevant documents. Respondent must provide documents upon request. Failure to comply may result in disqualification from the selection process. Page 12 of 13

13 EXHIBIT C RELATIONSHIP DISCLOSURE Each Principal and/or Officer of the Company or Subcontractor must complete this form disclosing any relationship to City, Airport, or Airport related entity employees and/or officials that may create a conflict or the perception of conflict. One form must be completed for each employee/official of the City, Airport, or Airport related entity. The successful candidate for management of the airport will be required to file a statement of economic interest (Form 700) upon execution of the agreement and annually thereafter, disclosing all real estate, economic, property, and business interests the company and its principals have within the City of Chico. [ ] I have a relationship with City, Airport, or Airport related entity employee/officers which I choose to disclose. Name of Principal/Officer _ Title Name of City, Airport, or Airport related entity employee/official: _ Description of Relationship: [ ] I certify under penalty of perjury that I do not have any relationships with City, Airport, or Airport related entity relationships which are or can be perceived as conflicts. _ Signed Date NOTE: It is the Respondent s responsibility to disclose any relevant relationship or to seek the consult of the City s representative accepting the Submittal (Debbie Collins, Management Analyst) if the Respondent has any question regarding whether the relationship is or can be perceived as a conflict and would be subject to disclosure. Failure to provide complete information in this disclosure will result in disqualification of the RFP Submittal. Page 13 of 13

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